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ANNUAL REPORT
OF THE

Fed eral 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




FOR THE YEAR ENDED
DECEMBER 31, 1960




LETTER OF TRANSMITTAL

F ederal 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

Washington, D . C., June 8,
SIRS: Pursuant to the provisions of Section 17(a) of the
Federal Deposit Insurance Act, the Federal Deposit Insurance
Corporation is pleased to submit its annual report.

Respectfully,

E r l e C o c k e , S r .,

T h e P r e s id e n t
T h e Speaker

of th e

of t h e




H

Se n a t e
ou se of

R

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

Chairman

FEDERAL OEPOSIT INSURANCE CORPORATION




FEDERAL DEPOSIT INSURANCE CORPORATION
N a tio n a l Press Building — W ashington 25, D. C.

BOARD OF DIRECTORS
Chairman................................................................................ E r le Cocke, Sr.
Comptroller of the Currency................................................. Ray M. Gidney
Director....................................................................................Jesse P. W o lc o tt

OFFICIALS—June 8, 1961
Assistant to Chairman.......................................................... William M. Moroney
Assistant to Director (Acting) ............................................. Neil G. Greensides
Assistant to Director..............................................................William Matthews
Chief, Division of Examination.......................................... Neil G. Greensides
General Counsel, Legal Division......................................... Royal L. Cobum
Controller................................................................................ William G. Loeffler
Chief, Division of Liquidation............................................ A. E. Anderson
Chief, Division of Research and Statistics.........................Edison H. Cramer
Chief', Audit Division........................................................... Mark A. Heck
Deputy Chief, Division of Examination............................ Edward H. DeHority
Secretary................................................................................. Miss E. F. Downey
Assistant to the Board.......................................................... Don Lester Waage




V

DISTRICT OFFICES
D ist. Supervising
Exam iner

No,

A ddress

States

in

D istrict

1. Lundie W . Barlow

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

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

2. Philip C. Lods

74 Trinity Place,
New York 6, N. Y.

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

3.. Gilbert E. Mounts

Suite 500,
50 West Gay Street,
Columbus 15, Ohio

Ohio, Pennsylvania

4„ W . F. Parkerson,
Acting Supervising
Examiner

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

District of Columbia,
Maryland, Virginia,
West Virginia, North
Carolina, South Carolina

5. John E. Freeman

1000 Bank of Georgia
Building, Atlanta 3, Ga.

Georgia, Florida, Alabama,
Mississippi

6. Charles M. Dunn

1059 Arcade Building,
St. Louis 1, Mo.

Kentucky, Tennessee,
Missouri, Arkansas

7. William T. Hammill

715 Tenney Building,
Madison 3, Wis.

Indiana, Michigan,
Wisconsin

8. Darrell E. Wilkins

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

Illinois, Iowa

9. Charles F. Alden

950 Federal Reserve
Bank Building,
Minneapolis 2, Minn.

Minnesota, North Dakota,
South Dakota, Montana

10. James H. Meek, Jr.

1207 Federal Reserve
Bank Building,
Kansas City 6, Mo.

Nebraska, Kansas,
Oklahoma, Colorado,
Wyoming

11. Lloyd Thomas

Federal Reserve Bank
Building, Station K,
Dallas 13, Texas

Louisiana, Texas,
New Mexico, Arizona

12. Walter W . Smith

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

Idaho, Utah, Nevada,
Washington, Oregon,
California, Alaska,
Hawaii, Guam




vi




FEDERAL DEPOSIT INSURANCE CORPORATION DISTRICTS

PUERTO RICO

C

\

VIRGIN I.




CONTENTS
Page
Summary,

xv

Part One
Operations of the Corporation
Deposit insurance participation and coverage...........................................................
Insurance operations to protect depositors of failing banks...................................
Supervisory activities......................................................................................................
Legal developments.........................................................................................................
Administration of the Corporation...............................................................................
Finances of the Corporation..........................................................................................

3
4
7
14
15
16

Part Two
Changes in the Number of Banking Offices, 1859-1959,
and in the Relative Posi tion o f Banks, 1921-1958
Changes in number of banks and banking offices in the United States, 1859-1959
Character of bank and branch changes.......................................................................
Bank changes by State...................................................................................................
Accessibility of banking offices......................................................................................
Relative position of banks..............................................................................................
Some observations on bank competition.....................................................................

27
31
40
46
49
59

Part Three
Legislation and Regulations
Federal legislation............................................................................................................
Rules and regulations of the Corporation...................................................................
State banking legislation................................................................................................

65
72
84

Part Four
Banking Developments
Supervisory status of banks at the end of 1960........................................................
Banking developments during 1960.............................................................................
Relative position of banks.............................................................................................
Income of insured banks.................................................................................................

91
94
99
104

Part Five
Statistics of Banks and Deposit Insurance
Bank absorptions approved by the Corporation.......................................................
Number, offices, and deposits of banks.......................................................................
Assets and liabilities of banks.......................................................................................
Earnings, expenses, and dividends of insured banks................................................
Deposit insurance disbursements..................................................................................




ix

110
110
138
152
180

LIST OF CHARTS
Organization chart of the Federal Deposit Insurance Corporation......................

Page
iv

Federal Deposit Insurance Corporation districts (map).........................................

vii

A.

Application of new banks for insurance and of insured banks for approval
of new branches acted upon by the Federal Deposit Insurance Corpora­
tion, 1946-1960.....................................................................................................

9

B.

Ratios of deposit insurance fund to total insured deposits, all insured banks,
mid-year and year end, 1934-1960...................................................................

19

LIST OF TABLES
Part One
Operations of the Corporation
I nsurance

operations to protect depositors of failing b a n k s :

1. Protection of depositors of insured banks requiring disbursements by the
Federal Deposit Insurance Corporation, 1934-1960.....................................

5

2. Analysis of disbursements, recoveries, and losses by the Federal Deposit
Insurance Corporation in insurance transactions, 1934-1960.....................

6

S upervisory

activities :

3. Applications acted upon by the Board of Directors of the Federal Deposit
Insurance Corporation during 1960.................................................................

8

4. Mergers, consolidations, acquisitions of assets, and assumptions of liabilities
approved under section 18(c) of the Federal Deposit Insurance Act,
May 13 to December 31, 1960.........................................................................

10

5. Bank examination activities of the Federal Deposit Insurance Corporation
in 1959 and 1960..................................................................................................

12

6. Actions to terminate insured status of banks charged with unsafe or un­
sound banking practices or violations of law or regulations, 1936-1960..

13

A dministration

of the corporation :

7. Number of officers and employees of the Federal Deposit Insurance
Corporation, December 31, 1960......................................................................
F inances

15

of the corporation :

8. Statement of financial condition, Federal Deposit Insurance Corporation,
December 31, 1960..............................................................................................

17

9. Statement of income, Federal Deposit Insurance Corporation, and changes
in the deposit insurance fund, year ended December 31, 1960.................

18

10. Determination and distribution of net assessment income, Federal Deposit
Insurance Corporation, year ended December 31, 1960.............................

18

11. Administrative and operating expenses, Federal Deposit Insurance
Corporation, year ended December 31, 1960................................................

19

12. Income and expenses, Federal Deposit Insurance Corporation, by years,
from beginning of operations, September 11, 1933, to December 31, 1960,
adjusted to December 31, 1960........................................................................
13. Insured deposits and the deposit insurance fund, 1934-1960.........................

20
21

14. Report on audit of Federal Deposit Insurance Corporation, year ended
June 30, 1960........................................................................................................

22




x

L IS T O F T A B L E S

xi

Part Two
Changes in the Number of Banking Offices, 1859-1959,
and in the Relative Position of Banks, 1921-1958
Page
C hanges in number
1859-1959:

of banks and banking offices in the united states ,

15. Number of banks and population per bank, 1859-1934, and number of
branches and offices and population per office, 1900-1934, continental
United States................................................................................................................

29

16. Number of banks and branches in the United States (continental U. S.
and other areas), 1933-1959.....................................................................................

30

C haracter

of bank and branch changes :

17. Analysis of changes in number of incorporated commercial banks in con­
tinental United States, 1921-1934 .........................................................................

32

18. Analysis of changes in the number of banks and branches in the United
States (continental U. S. and other areas), 1934-1959...................................

33

B ank

changes by state :

19. Number of banks and banking offices, selected years, by State..................... ........ 41
20. Population per bank and per banking office, selected years, by State......... ........ 42
21.

Change in number of banks and branches, selected periods, by State......... ........ 43

22. Percentage change in number of banks and banking offices, selected periods,
by State..........................................................................................................................

44

23. Classification of States according to status of branch banking and locational
requirements for branches, December 31, 1958................................................

45

A ccessibility

of banking offices :

24. Commercial banks and branches, 1920 and 1958, in States grouped accord­
ing to status of branch banking at the end of 1958, by metropolitan and
other areas.....................................................................................................................

46

25. Number of operating offices of commercial banks in the continental United
States, June 30, 1958

Grouped by number of commercial banking offices and population of center
in which located....................................................................................................
R elative

48

position of b a n k s :

26. Relative importance of the largest commercial banks in continental United
States, December 31, selected years, 1920-1958...............................................
27. Relative importance of the largest commercial banks or bank groups,
continental United States, December 31, 1934, 1940, and 1958................

51

28. Deposits in the largest commercial bank, and in the largest five commercial
banks, in each State, 1920, 1934, 1940, and 1958............................................

54

29. Deposits in the largest commercial bank, and in the largest five commercial
banks, in the principal county (or counties) in 48 metropolitan areas,
1920, 1934, and 1958..................................................................................................

56

51

Part Four
Banking Developments
Supervisory

status of banks at the end of

1960:

30. Classification of banks according to supervisory status and Federal deposit
insurance participation, December 31, 1960......................................................

91

31. Assets of banks classified according to supervisory status and Federal
deposit insurance participation, December 31, 1960......................................

92




xii

FEDERAL DEPOSIT INSURANCE CORPORATION

Page
32. Deposits of banks classified according to supervisory status and Federal
deposit insurance participation, December 31, 1960................. ..................

93

33. Capital account ratios of banks of deposit classified according to super­
visory status and Federal deposit insurance participation, December 31,
1960........................................................ ................................................................

94

Banking developments during 1960:

34. Analysis of changes in number of banks and branches in the United States
(States and other areas) during 1960..............................................................

95

35. Banks and banking offices, and population per bank and per banking office,
United States, December 31, 1960...................................................................

96

36. Major categories of assets and liabilities of all banks in the United States
(States and other areas), 1957-1960, with annual percentage changes. . .

97

37. Assets and liabilities of the entire banking and currency system, 1957-1960,
with annual percentage changes.......................................................................

98

R elative

position of b a n k s :

38. Relative importance of the largest commercial banks in the United States,
December 31, 1960..............................................................................................

100

39. Commercial banking offices and percentage of deposits in the largest banks
in each State, December 31, 1960....................................................................

101

40. Commercial banking offices and percentage of deposits in the largest banks
in the principal county (or counties) in 65 metropolitan areas, June 15,
1960.........................................................................................................................

102

I ncome

op insured b an k s :

41. Sources and disposition of total income, insured commercial banks in the
United States (States and other areas), 1958-1960......................................

105

42. Selected operating ratios of insured commercial banks in the United States
(States and other areas), selected years, 1940-1960.....................................

106

43. Distribution of insured commercial banks by deposit size of bank, and
percentage of selected banking totals in each size group, 1960.................

107

44. Sources and disposition of total income, insured mutual savings banks
in the United States, 1958-1960.......................................................................

107

Part Five
Statistics of Banks and Deposit Insurance
B a nk

absorptions approved by the corporation :

101. Description of each merger, consolidation, acquisition of assets or assump­
tion of liabilities approved by the Corporation, May 13 to December 31,
1960.......................................................................................................................
N umber ,

112

offices, and deposits of ba n k s :

Explanatory note..............................................................................................................

110

102. Changes in number and classification of banks and branches in the United
States (States and other areas) during 1960................................................

126

103. Number of banking offices in the United States (States and other areas),
December 31, 1960
Grouped according to insurance status and class of bank, and by State
or area and type of office...........................................................................

128

104. Number and deposits of all banks in the United States (States and other
areas), December 31, 1960
Banks grouped according to insurance status and by district and State. .

136




L IST OF T A B L E S

xiii
Page

A ssets

and liabilities of b a n k s :

Explanatory note......................................................................................................................

138

105. Assets and liabilities of all banks in the United States (States and other
areas), June 15, 1960
Banks grouped according to insurance status and type of bank...............

140

106. Assets and liabilities of all banks in the United States (States and other
areas), December 31, 1960
Banks grouped according to insurance status and type of bank...............

142

107. Assets and liabilities of all banks in the United States (States and other
areas), December 31, 1960
Banks grouped by district and State.................................................................

144

108.

Assets and liabilities of insured banks in the United States (States and
other areas), December 31,1960, June 15,1960, and December 3 1 ,1 9 5 9 .

146

109. Distribution of insured commercial banks in the United States (States
and other areas), December 31, 1960

Banks grouped according to amount of deposits and by ratios of selected
items to assets......................................................................................................
E arnings ,

150

expenses , and dividends of insured b a n k s :

Explanatory note......................................................................................................................

152

110. Earnings, expenses, and dividends of insured commercial banks in the
United States (States and other areas), 1952-1960.......................................

154

111. Ratios of earnings, expenses, and dividends of insured commercial banks
in the United States (States and other areas), 1952-1960..........................

156

112. Earnings, expenses, and dividends of insured commercial banks in the
United States (States and other areas), 1960
By class of bank.....................................................................................................

158

113. Ratios of earnings, expenses, and dividends of insured commercial banks
in the United States (States and other areas), 1960
By class of bank.....................................................................................................

160

114. Earnings, expenses, and dividends of insured commercial banks operating
throughout 1960 in the United States (States and other areas)
Banks grouped according to amount of deposits............................................

162

115. Ratios of earnings, expenses, and dividends of insured commercial banks
operating throughout 1960 in the United States (States and other areas)
Banks grouped according to amount of deposits............................................

164

116. Earnings, expenses, and dividends of insured commercial banks in the
United States (States and other areas), by State, 1960..............................

166

117. Income, expenses, and dividends of insured mutual savings banks, 19521960................................................................................................................................

176

118. Ratios of income, expenses, and dividends of insured mutual savings
banks, 1952-1960.......................................................................................................

178

D eposit

insurance disbursements :

Explanatory note......................................................................................................................

180

119. Depositors, deposits, and disbursements in insured banks requiring dis­
bursements by the Federal Deposit Insurance Corporation, 1934-1960

Banks grouped by class of bank, year of deposit payoff or deposit
assumption amount of deposits, and State................................................ A 182

,

120. Insured bank requiring disbursement by the Federal Deposit Insurance
Corporation during 1960........................................................................................

184

121. Recoveries and losses by the Federal Deposit Insurance Corporation on
principal disbursements for protection of depositors, 1934-1960..............

185







SUMMARY
Out of a total of 13,999 banks in the United States at the end of 1960,
13,451 participated in Federal deposit insurance. Deposits in insured
banks totaled $260 billion, and an estimated $150 billion was insured
under the limit of $10,000 for each depositor. (Pp. 3, 21.)
The deposit insurance fund amounted to $2,222 million on December
31, 1960, or 0.85 percent of total deposits in insured banks. (Pp. 20-21.)
One insured bank required disbursements from the insurance fund in
1960. This raised to 440 the total number of banks whose depositors have
received financial assistance from the Corporation since the beginning
of 1934. (Pp. 4-5.)
Although normal growth and wartime expansion have led to larger
banks, statistics indicate that the largest 100 and the largest 10 com­
mercial banks in the United States hold a smaller percentage of total
deposits than was the case in 1934 or in 1940. Similarly, in the majority
of the States the proportion of deposits held by the largest banks, and
by the largest five banks, in the State declined during the past two
decades. Consequently, insofar as concentration in banking can be used
as a criterion, evidence would suggest that there has been no diminution
of competition within the commercial banking system since the 1930’s.
(Pp. 27-61, 99-104.)
There were 25,105 banking offices operating in the United States at the
end of 1960, an increase of 863 over the 1959 level. (P. 94.)
Assets of all banks totaled $299 billion at the end of 1960, an increase
of 5 percent during the year. Insured commercial banks held $256 billion,
and insured mutual savings banks, $35 billion. (Pp. 92, 95, 97.)
Net profits after taxes of insured commercial banks reached $2 billion
in 1960, a third greater than in 1959, and the highest rate of return since
1945. Retained profits were two-thirds greater than in 1959, and were
primarily responsible for raising total capital accounts to 8.1 percent of
total assets. (Pp. 94, 106.)
The Federal Deposit Insurance Act was amended in 1960 by two
significant measures. One requires approval by a Federal bank supervisory
agency of absorption transactions between insured banks. The other
provides for a simplification of the method of determining deposit insur­
ance assessments. (Pp. 10, 14, 65-72.)




xv




PART ONE
OPERATIONS OF THE CORPORATION







D

e p o s it

I n s t jb a n c e P a r t i c i p a t i o n

and

C overage

The Federal Deposit Insurance Corporation was created by Congress
in 1933, during the depths of the most severe banking crisis and business
depression in the nation/s history. The situation at that time was de­
scribed as follows in the report of the Committee on Banking and
Currency of the House of Representatives:
Experts advise us that more than 90 percent of the business of the
nation is conducted with bank credit, or check currency. The use of
bank credit has declined to the vanishing point . . . The result is cur­
tailment of business, decline in values, idleness, unemployment,
bread lines, national depression, and distress. We must resume the
use of bank credit if we are to find our way out of our present
difficulties.1
The record of events since 1933 has substantiated the belief that
deposit insurance, together with other banking reforms, would revive
and maintain confidence in the nation’s banks, permitting uninterrupted
use of their obligations as the major means of making payments. For
the next ten years business recovery was continuous, except for an inter­
ruption in 1937-1938. War financing then brought an unparalleled ex­
pansion in bank assets and liabilities, with a consequent price inflation;
but at the close of World War II the contraction and deflation that had
followed previous major wars was avoided. From 1946 to 1960, inclusive,
only 42 insured banks were closed because of financial difficulties re­
quiring disbursements by the Corporation, with no more than five in
any one year. Most of the closings were due to defalcations.
Participation in Federal deposit insurance. The Corporation
began its insurance operations on January 1, 1934, with 86 percent of
all banks participating. The proportion of banks participating in Federal
deposit insurance has increased each year to more than 96 percent at
the end of 1960. On that date the Corporation was insuring deposits
in 13,451 banks, out of a total of 13,999 operating in the United States.
The 548 nonparticipating banks at the end of 1960 included diverse
types of banking institutions. Only 168 were incorporated commercial
banks operating under the general banking codes of the various States.
There were 28 each in Iowa and Nebraska; the remainder were distributed
among 35 States, no one of which had more than 12. In Massachusetts
177 mutual savings banks, and in other States 13 such banks, were not
participating in Federal deposit insurance. In a few States some un1 Report No. 150, House of Representatives, 73d Congress, 1st session, submitted by Mr. Steagall
from the Committee on Banking and Currency to accompany H. R. 5661, Banking Act o f 1983, p. 6.




3

FEDERAL DEPOSIT INSURANCE CORPORATION

4

incorporated banks of deposit remain in operation, though no State
now permits their establishment, and they are not eligible for admission
to insurance. The number at the end of 1960 was 85, of which 54 were
in Georgia, with no more than 11 in any other State. Another group of
noninsured institutions consists of trust companies not regularly engaged
in deposit banking, numbering 54 at the end of 1960, which also are
ineligible for admission to deposit insurance. The remaining 51 noninsured
banks at the end of 1960 consisted of a variety of institutions operating
under special State laws, government operated banks, and branches
in the United States of banks chartered in foreign countries.
Deposit insurance coverage. In the law of 1933 Congress provided
two separate plans of deposit insurance: a temporary plan, effective
January 1, 1934, and a permanent plan, which was intended to become
effective on July 1, 1934, but which did not become effective as it was
superseded by a revised permanent plan embodied in the Banking Act
of 1935. The temporary plan limited the insurance to $2,500 for each
depositor, which was later increased to $5,000. The original permanent
plan provided for full coverage on the first $10,000 of each depositor,
75 percent coverage on the next $40,000 of deposits, and 50 percent
coverage on all deposits in excess of $50,000.
The revised permanent plan, as adopted in 1935, continued the pro­
vision of the temporary plan limiting the insurance coverage afforded
to each depositor to $5,000. The Corporation was authorized to effect
assumptions, mergers, or consolidations by making loans secured by
assets of insured banks, by purchasing assets from insured banks, or
by guaranteeing an insured bank against loss by reason of its assuming
the deposit liabilities and taking over the assets of another insured bank,
when such loan, purchase, or assumption transaction would reduce the
risk or avert a threatened loss to the Corporation. In these transactions
the depositors sustain no loss.
In 1950 the insurance coverage was increased to a maximum of $10,000
for each depositor, and a provision was added authorizing the Corporation
to make a subordinated deposit in or loan to, or purchase assets from,
an insured bank in danger of closing when the continued operation of
the bank is deemed essential to provide adequate banking service in
the community.
I n s u r a n c e O p e r a t io n s

to

P rotect D

e p o s it o r s o f

F a il in g B a n k s

Bank failing during I960. On July 29, 1960, the Capitol Hill State
Bank, Oklahoma City, Oklahoma, was closed as the result of financial
irregularities. The Corporation was appointed Liquidating Agent for
the State Bank Commissioner. The bank had approximately 11,200
depositors, with total deposits of nearly $7 million.



INSURANCE OPERATIONS TO PROTECT DEPOSITORS

5

Insured deposits were promptly paid by the Corporation, starting
within ten days after the bank closed; and on February 23, 1961, pay­
ment in full of all deposit claims was authorized by means of a liquidating
dividend.
Banks failing, 1934-1960. The Corporation acts to make insured
deposits available to their owners as soon as possible after an insured
bank is closed as a result of inability to meet the demands of its depositors.
By the end of 1960 the Corporation had made disbursements to protect
the depositors in 440 failing insured banks. In 258 of these cases, the

T able 1. P rotection o f D epositors o f Insured Banks Requiring
Disbursem ents by th e F e d e r a l D eposit Insurance
C orporation, 1934-1960
Deposit payoff
cases
(258 banks)

All cases
(440 banks)

Deposit
assumption cases
(182 banks)

Item
Number or
amount

Percent

Number or
amount

Percent

Number or
amount

Percent

1,451,960

100.0%

417,227

100.0%

1,034,733

100.0%

1,447,101
1,404,808
36,709

99.7
96.8
2.5

412,368
370,075*
36,709

98.8
88.6
8.8

1.034.733
1.034.733

100.0
100.0

2,803
2,781

.2
.2

Full recovery not received as
of December 31, 1 9 6 0 ....

4,859

Terminated cases.....................
Active cases..............................

2,781
2,078

A m ount of deposits (in thou­
sands)— to ta l.....................

$602,191

100.0%

$466,527

Paid or made available..........

599,502

99.6

132,975

98.0

466,527

100.0

FD IC2..................................
offset8 ..................................
security or preference9. . .
receiver10.............................

571,398
8,814
8,714
10,576

94.9
1.5
1.4
1.8

104,8717
8,814
8,714
10,576

77.3
6.5
6.4
7.8

466,527

100.0

N ot paid as of December 31,
1960........................................

2,689

.4

2,689

2.0

Terminated cases.....................
Active cases..............................

1,779
910

.8

1,779
910

1.3
.7

Num ber of depositors or ac­
counts— total1....................
Full recovery received or
available...............................
From FDIC2.............................
By offset4..................................
Through security or prefer­
ence3
From receiver6..........................

By
By
By
By

2,803
2.781

.7
.7

.3

4,859

1.2

.2
.1

2.781
2,078

.7
.5

100.0%

.1

$135,664

100.0%

1 Number of depositors in deposit payoff cases; number of accounts in deposit assumption cases.
2 Through direct payment to depositors in deposit payoff cases; through assumption of deposits
of other insured banks, facilitated by FDIC disbursements of $198,074 thousand, in deposit assumption
cases.
8 Includes 55,309 depositors in terminated cases who failed to claim their insured deposits.
4
Includes only depositors with claims offset in full; most of these would have been fully protected
by insurance in the absence of offsets.
8 Excludes depositors paid in part by FDIC whose deposit balances were less than the insurance
maximum.
6 The insured portions of these depositor claims were paid by the Corporation.
7 Includes $176 thousand insured deposits in terminated cases available but unclaimed from Corpo­
ration (see note 3).
8 Includes all amounts paid by offset.
9 Includes all secured and preferred claims paid by receiver; excludes secured and preferred claims
paid by Corporation.
1 Includes unclaimed deposits paid into trusts by receiver.
0




6

FEDERAL DEPOSIT INSURANCE CORPORATION

deposit payoff method was used, with direct payments by claim agents
of the Corporation of amounts due insured depositors in closed banks.
In these cases the protection given to depositors by the Corporation
was limited to $2,500 per depositor in one bank closed between January
1 and July 1, 1934; to $5,000 per depositor in 244 banks closed between
July 1, 1934, and September 21, 1950; and to $10,000 per depositor in
13 banks closed subsequent to September 21, 1950. In 182 cases the
deposit liabilities of banks in serious financial difficulties were assumed
by other insured banks and became immediately available in full to
depositors. These assumption transactions were made possible by Corpo­
ration disbursements in the form of loans to, or the purchase of assets
from, the failing banks.
Table 2. A nalysis op Disbursem ents, R ecoveries, and Losses by th e
F e d e r a l D eposit Insurance Corporation in Insurance
Transactions, 1934-1960
(In thousands)

Type of disbursement

Disbursements

1
Recoveries1

Losses

All. disbursements— tota l...........................................................

$353,310

$324,373

$28,937*

Principal disbursements in deposit assumption and
payoff cases— to ta l.......................................................

$302,822

$274,704

$28,118

Loans and assets purchased (182 deposit assumption
/»oqpq\•
To December 31, 1960........................................................
Estimated additional..........................................................
Deposits paid (258 deposit payoff cases):
To December 31, 1960.......................................................
Estimated additional..........................................................

198,0741

184,2451
727/

13,102

104,695 \
53J

84,2281
5,504 /

15,016

Advances and expenses in deposit assumption and
payoff cases— total.......................................................

$ 48,625

$ 47,262

Expenses in liquidating assets in 182 deposit assumption
cases:
Advances to protect assets................................................
Liquidation expenses...........................................................
Insurance expenses..............................................................
Field payoff and other insurance expenses in 258 deposit
payoff cases.......................................................................

32,849
14,413
212

32,849
14,413
s

212

1,151

s

1,151

Other disbursements— total................................................
Assets purchased to facilitate termination of liquidations:
To December 31, 1960...............................................
Estimated additional..........................................................
Unallocated insurance expenses............................................

$

1,863
1,7621

i'oi

$

2,407
2,2621
145/
>

$

$

1,363

(544)4
(645)«
101

1 Recoveries in a few individual cases were in excess of the amount due the Corporation. These
recoveries were returned to the stockholders and are not included.
2 Net loss of funds after allowing for interest and allowable return collected of $8,985 thousand
was $19,952 thousand.
* Not recoverable.
4 Net recovery in excess of disbursements.
5 Net profit and net income.

By December 31, 1960, fewer than five thousand out of the approxi­
mately 1,452,000 depositors in the insured banks which closed since the
beginning of Federal deposit insurance had not had their deposits in
excess of the insurance maximum made available to them in full. The



INSURANCE OPERATIONS TO PROTECT DEPOSITORS

7

amount of the deposits which had not been paid was less than one-half
of 1 percent of the total deposits in these banks. Table 1 shows, by type
of case, the degree to which depositors have been protected in the 440
insured banks requiring disbursements by this Corporation.
Corporation disbursements and losses. Between January 1, 1934,
and December 31, 1960, Corporation disbursements in insurance transac­
tions amounted to $353 million. Amounts paid to depositors of insured
banks or to banks in financial difficulties in order to facilitate the assump­
tion of their deposit liabilities by other insured banks, designated principal
disbursements, constituted more than five-sixths of total disbursements.
An analysis of the disbursements, recoveries, and losses to the Corpora­
tion is shown in Table 2.
Almost 92 percent of the Corporation's disbursements have been or
will be recovered. The loss to the Corporation is estimated at slightly
less than $29 million.

S u p e r v is o r y A

c t iv it ie s

Admission to insured status. To be admitted to insurance, banks
must satisfy criteria set forth in the Federal Deposit Insurance Act.
The factors which must be taken into account by the appropriate au­
thority are: (1) the financial history and condition of the bank, (2) the
adequacy of its capital structure, (3) its future earnings prospects,
(4) the general character of its management, (5) the convenience and
needs of the community to be served by the bank, and (6) the consistency
of its corporate powers with the purposes of the Federal Deposit In­
surance Act. Upon certification to the Corporation that these factors
have been considered, national banks and State banks admitted to the
Federal Reserve System become insured automatically. State banks not
members of the Federal Reserve System may apply to the Corporation
for admission to insurance.
An applicant bank must be in operation, or prior to Corporation
action have a charter, or a permit to organize, from the appropriate
State banking authority. Banks applying to the Corporation for deposit
insurance in 1960 totaled 172. Seven of these applicants were disapproved.
About one-half the banks applying for insurance in 1960 were operating
banks. Most of these were in Connecticut, where all the mutual savings
banks not previously participating in Federal deposit insurance applied
and were admitted. New banks approved for insurance by the Corpo­
ration were scattered among 30 States. As in 1959, the three States
having the largest number approved for admission to insurance were
Texas, Florida, and Illinois, with 18, 10, and 8, respectively, in 1960.



8

FEDERAL DEPOSIT INSURANCE CORPORATION

Other applications from banks. Certain other actions by insured
banks require Corporation approval. Those acted upon by the Board of
Directors in 1960, along with applications for admission to insurance,
are classified in Table 3.

Table 3.

A p p l ic a t io n s A c t e d U p o n
Federal D

e p o s it

b y the

B oard

of

I n s u r a n c e C o r p o r a t io n D

Type of application

D

ir e c t o r s o f t h e

u r in g

Total
acted
upon

1960

Approved

All applications1................................................................................

805

792

Admission to insurance— to ta l...............................................
New banks2....................................................................................
Operating banks...........................................................................

172

165

94
78

Dis­
approved

87
78

Continuation of insurance of banks withdrawing from
Federal Reserve S ystem .....................................................
Change in type of business— to ta l........................................
To engage in trust business.......................................................
To engage in commercial banking...........................................
Assum ption of deposit liabilities— to ta l.............................
Of another insured bank3...........................................................
Of a noninsured bank4.................................................................
Operation of branches— to ta l..................................................
New branch offices.......................................................................
Banks to become branches as result of absorption..............
Continue branches of absorbed predecessor, or bank be­
coming insured..........................................................................

23

23

47

47

43
4

43
4

26

26

22
4

22
4

335

334

248
25

247
25

62

62

175

174

Change of location— tota l.........................................................
Main offices...................................................................................
Branches.........................................................................................

121
54

120
54

Retirement or adjustm ent of capital..................................

21

21

Service of persons convicted of breach of tru st...............

6

2

1 Excludes applications supplementary to a primary application; for example, for an extension
of time with respect to an insurance commitment for a new bank. Also excludes a few applications acted
upon in prior years on which additional action was taken during 1960.
2 Of these, two were newly-chartered banks organized to succeed noninsured banking institutions
not eligible for deposit insurance.
3 One approved prior to, and 21 after, amendment of Federal Deposit Insurance Act May 13, 1960.
4 Approved prior to May 13, 1960.

The Corporation approved 247 new branch offices in 1960. New York
State had 33, Connecticut 21, North Carolina 19, Michigan and Pennsyl­
vania 15 each, and California 12. The 25 banks which became branches
as a result of mergers approved by the Corporation were scattered among
14 States, with one-half of them in Pennsylvania, North Carolina, and
Maryland.
The number of applications from new banks for admission to insured
status approved and disapproved by the Corporation, and applications
for new branches approved and disapproved, in each year from 1946
to 1960, are shown in Chart A. During the 15-year period 87 percent
of the applications for new banks and 97 percent of the applications
for new branches were approved.



9

S U P E R V IS O R Y A C T IV IT IE S

C hart A . Applications o f N ew Banks f o r Insurance and o f Insured
Banks f o r Approval o f N ew B ranches A cted Upon by th e
F e d e r a l D eposit Insurance Corporation, 1946-1960
APPROVED

1 4 14
9 6 97

14
98




15
90

15
91

15
92

DISAPPROVED

15
93

15
94

15
95

15
96

15
97

15
98

15
99

i9 0
6

10

FEDERAL DEPOSIT INSURANCE CORPORATION

Regulation of bank mergers. An amendment to the Federal Deposit
Insurance Act, approved May 13, I960, gave Federal banking authorities
additional responsibilities for the regulation of bank merger transactions.
The amendment provides that without prior written consent of one of
the Federal banking authorities no insured bank may merge or consolidate
with any other insured bank, or acquire the assets of, or assume liability
to pay any deposits in any other insured bank. Consent to engage in
a transaction in which the acquiring, assuming, or resulting bank is
to be a national bank or is located in the District of Columbia must be
obtained from the Comptroller of the Currency; if it is to be a State
member bank, except in the District of Columbia, from the Board of
Governors of the Federal Reserve System; and if a nonmember insured
bank, except in the District of Columbia, from the Corporation.
T able 4. M ergers , C onsolidations , A cquisitions of A ssets, and
A ssumptions of L iabilities A pproved U nder Section 18(c) of
the F ederal D eposit I nsurance A ct, M a y 13 to D ecember 31, 1960
Offices operated8
Banks

Number
of
banks1

Resources
(in thou­
sands) 2

Prior to
trans­
action

After
trans­
action

ALL CASES

Banks Involved........................................................
Absorbing banks....................................................
Absorbed banks.....................................................
National..............................................................
State banks members F R S............................
Not members F R S...........................................

191
92
99
39

1.143
1.143

$18,021,686
16,287,301
1,734,385
694,619
678,456
361,310

1,174
964

650
516
134
54
47
33

622
622

22

8,000,326
6,861,625
1,138,701
391,605
564,104
182,992

34
17
17
7
5
5

$ 9,135,600
8,680,100
455,500
284,200
82,800
88,500

397
358
39
17
9
13

396
396

40
19

885,760
745,578
140,184
18,814
31,552
89,818

127
90
37
3
7
27

125
125

20
40

210
74
63
73

CASES WITH RESULTING BANK A
NATIONAL BANK

Banks Involved........................................................
Absorbing banks...................................................
Absorbed banks.....................................................
National..............................................................
State banks members F R S .............................
Not members F R S...........................................

117
56
61
29

10

CASES WITH RESULTING BANK A STATE
BANK MEMBER OF THE FEDERAL
RESERVE SYSTEM

Banks involved......................................................
Absorbing banks....................................................
Absorbed banks.....................................................
National..............................................................
State banks members FRS.............................
Not members FRS...........................................
CASES WITH RESULTING BANK NOT A
MEMBER OF THE FEDERAL
RESERVE SYSTEM

Banks involved........................................................
Absorbing banks....................................................
Absorbed banks.....................................................
National..............................................................
State banks members F R S.................. ..
Not members F R S...........................................

21
3
5
13

1
The number of resulting banks is smaller than the number of transactions, which totaled 97,
because a few banks engaged in more than one transaction.
*
In cases where an absorbing bank engaged in more than one transaction, the resources included
are those of the bank before the latest transaction, and the number of offices before the first and after
the last transaction.




SUPERVISORY ACTIVITIES

11

In granting or withholding consent for a bank to engage in a merger,
consolidation, acquisition of assets, or deposit assumption transaction,
the appropriate Federal bank supervisory agency must consider the six
factors specified for consideration in the admission of banks to insurance,
commonly referred to as banking factors, and must also take into con­
sideration the effect of the transaction on competition, including any
tendency toward monopoly. A transaction may not be approved unless,
after weighing all of these factors, it is found to be in the public interest.
The agency must request in each case a report on the competitive factors
from the other two Federal banking agencies and from the Attorney
General; and must include in its annual report to Congress a description
of each transaction approved, the basis for its approval, and a summary
prepared by the Attorney General of the substance of his report.
From the date of approval of the amendment on May 13 to December
31, 1960, the Federal Deposit Insurance Corporation granted permission
in 21 cases, involving 40 banks with resources of $886 million, to engage
in these types of transactions. Data regarding each bank participating
in these transactions, together with a statement in each case of the basis
for approval and the Attorney General’s summary of his report, are
shown in Table 101. Information regarding the number, resources,
and offices of all insured banks involved in such transactions approved
by the appropriate bank supervisory agency is given in Table 4.
Bank examinations. The Corporation regularly examines insured
State banks other than District of Columbia banks and members of the
Federal Reserve System, and reviews reports of examination of other
insured banks made by the Comptroller of the Currency and by the
Federal Reserve banks. It also investigates proposals for new banks
and branches, and proposals for bank absorptions where the resulting
bank would be a nonmember insured bank. During 1960 the Corporation
conducted a total of 11,199 examinations and investigations; these are
classified in Table 5.
Examinations comprise the principal contact of the Corporation with
insured banks, and furnish information about the nature and extent of
the Corporation’s risk. They are the medium by which the Corporation
has encouraged the development of and adherence to sound banking
practices. Equally, they provide information about insured risks and
alert the Corporation to situations requiring attention. The field activities
of the Division of Examination in examining insured State banks not
members of the Federal Reserve System are conducted through twelve
district offices located in different parts of the United States, and require
the services of about three-fourths of the Corporation’s employees.
Reports of such examinations are forwarded to the Washington office
for review and any necessary action.



12

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 5.

Bank Examination A ctivities o f th e F e d e r a l
D eposit Insurance Corporation in 1959 and 1960
Number
Activity

Fileld examinations and investigations— total.....................................

11,199

10,767

Examinations of main offices...............................................................

6,837

6,872

6,674
95
68

6,646
123
103

Regular examinations of insured banks not members of Federal Reserve
System...........................................................................................................
Re-examinations; or other than regular examinations...........................
Entrance examination of operating noninsured banks..........................

Examinations of departments and branches...................................

3,251

Examinations of trust departments............................................................
Examinations of branches.............................................................................

2,915

964
2,287

908
2,007

Investigations...........................................................................................

1,111

New bank investigations...............................................................................
National banka or State banks members of Federal Reserve System
Banks not members of Federal Reserve System
New branch investigations............................................................................
Miscellaneous investigations........................................................................

980

206
62
1U
355
550

224
59
165
260
496

Washington office review of reports of examination of insured
banks—total........................................................................................

11,§36

12,333

National banks...................................................................................................
State banks members of Federal Reserve System....................................
State banks not members of Federal Reserve System.............................

3,297
1,286
6,453

4,535
1,621
6,177

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

Citations for unsafe and unsound banking practices and
violations of law. Prohibited and unsound banking practices reported
by examiners are usually corrected by normal supervisory actions with
the cooperation of the offending bank. However, when examination shows
that a bank has persisted in operating in an unsafe or unsound manner
or in violation of law or regulations, the Corporation has the authority
and duty to begin proceedings for termination of the bank’s insured
status. Proceedings are initiated only after other corrective methods
have been exhausted, and during the proceedings, which include an
administrative hearing, the bank is given ample opportunity to present
its case. If and when insurance is withdrawn, the insured deposits of
each depositor on the date of termination, less subsequent withdrawals,
continue to be insured for two years, and each depositor is so notified.
During 1960 proceedings were instituted against two banks operating
with hazardous management. One of these cases was discontinued when
the bank made the necessary corrections; the other was pending at the
end of 1960. One case instituted during 1959 was continued to permit
the bank to complete necessary corrections.
During the entire period of Federal deposit insurance, proceedings
for the termination of insurance have been initiated against 182 banks.
In more than a third of the cases the necessary corrections were made;
and in more than one-half of the cases the banks were absorbed or sue


13

SUPERVISORY ACTIVITIES

ceeded by other banks or suspended operations prior to Corporation
action setting a date for termination of insurance. In 12 cases the Corpo­
ration set a date for termination of insurance. Of these, nine suspended
prior to and one shortly after the insurance was terminated; only two
continue in operation. Details concerning the outcome of termination
proceedings are given in Table 6.

Table 6. Actions t o Term inate Insured S ta tu s o f Banks Charged
w ith U n safe o r Unsound Banking P ractices o r V io lation s
o f Law o r R egu lations, 1936-1960
Disposition or status

Total banks against which action was taken..................................................................
Cases closed.................................................................................................................
Corrections made..........................................................................................................................
Banks absorbed or succeeded by other banks.......................................................................
With financial aid of (he 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 operation

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

.................
a
..........................................................

1936-19601

182
180
68
68
62
6

32

12
9
3

Cases not closed, December 31, 1960..............................................................................
1 No action to terminate the insured status of any bank was taken before 1936. In 5 cases where
iaitial 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.

Reports from banks. The reports obtained from banks are useful
for supervisory purposes and as a source of data regarding economic and
banking conditions. Each insured bank submitted statements of its
assets and liabilities as of June 15 and December 31,1960, and a statement
of its income for the calendar year 1960, to the appropriate Federal
supervisory agency. Noninsured banks also furnished data, to State
supervisory authorities or to the Corporation, on their assets and lia­
bilities, making possible a tabulation covering assets and liabilities of
all banks. No information is received by the Corporation on the income
of noninsured banks.
Certified statements of deposit insurance assessments were filed by
each insured bank for the six months ended on December 31, 1959, and
June 30, 1960, respectively, showing its deposit insurance assessment
base and the semiannual assessment due the Corporation.
Statistics on the income of insured banks, and tabulations of the
assets and liabilities of both insured and noninsured banks, are presented
in Parts Four and Five of this report. Tabulations of reports of assets
and liabilities classified by State are published semiannually by the
Corporation in separate reports.



14

FEDERAL DEPOSIT INSURANCE CORPORATION

L egal D

evelopm ents

Federal legislation. The Federal Deposit Insurance Act was amended
during 1960 by two significant measures. The first of these acts, Public
Law 86-463, which was signed by the President on May 13, 1960, re­
quires approval by a Federal bank supervisory agency for merger,
consolidation, asset acquisition, and deposit assumption transactions
between insured banks, and has been described above.
The second measure, Public Law 86-671, providing for a simplification
of the method of determining the deposit insurance assessment under
the Federal Deposit Insurance Act, was approved by the President on
July 14, 1960. Under this law, assessments will be based on the average
of deposits shown in two reports of condition in each semiannual assess­
ment period, with authorized deductions of 16-2/3 percent of demand
deposits and 1 percent of time and savings deposits. The basic annual
assessment rate of one-twxlfth of 1 percent remains unchanged. The
credit to insured banks will be computed at 66-2/3 percent of the net
assessment income instead of the former 60 percent. These changes in
the manner of computing the assessment will take effect with the certified
statement to be submitted in July 1961. The change in the ratio of net
assessment income to be credited to insured banks will become effective
with the credit for calendar year 1961, to be made to insured banks for
application toward the payment of their assessments which will become
due in July 1962.
The two statutes are published in Part Three of this report.
Rules and regulations of the Corporation. Because of the amend­
ments of the Federal Deposit Insurance Act, Parts 301, 303, 304, and
327 of the Corporation’s Rules and Regulations were amended to conform
to and implement the new provisions and to effect other changes. Former
Part 326 of the Rules and Regulations, relating to bank obligations
prescribed as deposits, was repealed, effective January 16, 1961, because
of the amendment of the definition of the term “ deposit” in subsection
(1) of Section 3 of the Federal Deposit Insurance Act, as amended by
Public Law 86-671, approved July 14, 1960, and effective January 1,
1961, except as to the determination and payment of assessments due
on January 15, 1961 (12 U.S.C. 1813 (1)). However, rights and liabilities
existing on or before January 1, 1961, with respect to insured deposits,
and existing on or before January 15, 1961, with respect to the determi­
nation and payment of assessments, are not affected by the repeal of
former Part 326 or the amendment of Part 327. The amended Parts of
the Rules and Regulations, published in the Federal Register of January
14, 1961 (26 F.R. 287-292), are set forth in Part Three of this report.
State legislation. Part Three also includes a summary of State
banking legislation enacted in 1960.



15

ADMINISTRATION OP THE CORPORATION

A d m in is t r a t io n

of th e

C o r p o r a t io n

Structure and employees. Management of the Corporation is
vested in a three-member Board of Directors. Two directors are appointed
by the President of the United States, one of whom serves as Chairman
of the Board; the Comptroller of the Currency, also appointed by the
President, serves as the third director. Mr. Jesse P. Wolcott was Chairman
throughout 1960. With the change in the Federal administration, Mr.
Wolcott resigned as Chairman and the Board of Directors elected Mr.
Erie Cocke, Sr., as Chairman, effective at noon on January 20, 1961.
Mr. Wolcott and the Comptroller of the Currency, Mr. Ray M. Gidney,
continue to serve as directors.
The main office of the Corporation is in Washington, D. C., and
district offices are maintained in 12 major cities. During 1960 plans went
forward for construction of a headquarters building for the Corporation
in downtown Washington. Ground was broken early in 1961 at the site
at the corner of 17th Street and New York Avenue, N. W., and completion
of the building is expected in about two years.
Corporation officials are listed on page v of this report, adjacent to
an organization chart of the Corporation. The location of each District
office and the area it includes, with the names of the respective Super­
vising Examiners, are given on pages vi and vii.
T able 7.
D

N

um ber of

e p o s it

O f f ic e r s

and

E m ployees

I n s u r a n c e C o r p o r a t io n , D

Division

of th e

ecem ber

Total

F ederal

31, 1960

Washington
office

District
and other
field
offices

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

1,242

319

923

Directors.....................................................................................
Executive offices.......................................................................
Legal Division...........................................................................
Division of Examination........................................................
Division of Liquidation..........................................................
Division of Research and Statistics....................................
Audit Division..........................................................................
Office of the Controller...........................................................

3
17
23
938
38
46
55
122

3
17
23
53
34
46
21
122

885
4
34

The Corporation had a net increase of seven employees in the year
ended December 31, 1960. Turnover was appreciably greater than during
1959. For all employees (excluding temporary personnel engaged in field
liquidation activities) the turnover ratio was 16 employees per 100,
compared with 13 per 100 in 1959. Among field examiners, the turnover
ratio rose from 10 to nearly 14 per 100 during the same period. Almost
one-half of the 96 departing field examiners went to banks and other
financial institutions or supervisory agencies. At the end of 1960, 107



16

FEDERAL DEPOSIT INSURANCE CORPORATION

employees had more than 25 years, and 193 between 15 and 25 years,
of service with the Corporation. A distribution of the Corporation’s
employees at the end of 1960, according to Division and location, is
presented in Table 7.
Employee benefits and programs. Corporation employees receive
the benefits generally available to Federal employees. The most important
of these benefits are retirement annuities, life insurance, vacation and
sick leave, compensation for on-the-job injuries, and unemployment and
health benefits.
The educational program for examiners instituted by the Corporation
in 1946 had resulted by the end of 1960 in completion of over 2700
courses of study. The program has consisted principally of correspondence
courses conducted by the American Institute of Banking, but also includes
resident graduate work at eight outstanding universities. In addition,
nearly 300 examiners have attended the Interagency Bank Examination
School conducted in Washington jointly by the Federal bank supervisory
agencies.
Further educational purposes are served by a program of detailing
a limited number of field examiners to the Washington office. The pro­
gram includes special training in the analysis of municipal credits and
the investment portfolio of banks and short tours of duty as review
examiners. Progress was made also in 1960 in training employees to meet
the emerging demand for new kinds of skills necessitated by the increasing
use of automatic data processing equipment.

F in a n c e s

of

the

C o r p o r a t io n

Assets and liabilities. Assets of the Corporation totaled $2,337
million on December 31, 1960. United States Government obligations,
valued at amortized cost, with accrued interest, comprised $2,325 million
of that amount. Half of the remaining $12 million consisted of the esti­
mated net value of assets acquired in insurance transactions, after pro­
vision for losses. Cash exceeded $3 million. Most of the remaining assets
was represented by the building site and planning costs of the Corpora­
tion’s new headquarters building.
Liabilities of the Corporation totaled $115 million on December 31,
1960. Net assessment income credits and other credits due insured
banks, amounting to $112 million, were the principal liability item. The
excess of the Corporation’s assets over its liabilities constitutes the
deposit insurance fund, and comprises the Corporation’s financial re­
sources for the protection of depositors. At the end of 1960 this fund
amounted to $2,222 million. Assets and liabilities of the Corporation
on December 31, 1960, are presented in Table 8.



FINANCES OF THE CORPORATION

Table 8.

17

Statem ent o f F inan cial Condition, F e d e r a l D eposit
Insurance C orporation, Decem ber 31, 1960
ASSETS
$

C a sh .........................................................................................................
U. S. Government obligations:
Securities at amortized cost (face value, $2,319,246,000;
market or redemption value, $2,268,489,406)......................
Accrued interest receivable............................................................

2,310,456,124
14,316,357

Assets acquired in receivership and deposit assumption
transactions:
Subrogated claims of depositors against closed insured banks
Net insured balances of depositors in closed insured banks, to
be subrogated when paid— contra............................................
Loans to insured banks...................................................................
Loan to receiver for closed insured bank..................................
Equity in assets acquired under purchase agreements............
Assets purchased outright...............................................................

2,324,772,481

6,227,689
52,504
1,371,457
175,000
5,302,575
145,023
$

Less— reserves for losses..................................................................

3,491,973

13,274,248
6,898,105

6,376,143

Deferred charges and sundry assets..........................................
Building site and planning costs.................................................
Furniture, fixtures, and equipm ent..........................................

144,500
1,899,505

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

$2,336,684,603

1

LIABILITIES1
Accounts payable and accrued liabilities.......................
Earnest m oney, escrow funds, and collections held for
oth ers.........................................................................................
Accrued annual leave of employees...........................................
Due insured banks:
Net assessment income credits available July 1, 1961..............
Other....................................................................................................
Deferred credits..................................................................................

650,877
431,562
1,255,605
$ 100,756,370
11,352,094

112,108,464
7,673

Net insured balances of depositors in closed insured
banks— con tra..........................................................................

52,504

T otal liabilities............................................................

$ 114,506,685

DEPOSIT INSURANCE FUND
Fund (See Table 9)2......................................................................

2,222,177,918

T otal liabilities and fu n d .......................................

$2,336,684,603

1 Capital stock was retired by payments to the United States Treasury in 1947 and 1948, pursuant
to the Acts of August 5, 1947 (61 Stat. 773), and June 29, 1948 (62 Stat. 1092).
2 The Deposit Insurance Fund represents the cumulative net income (surplus) of the Corporation
from its inception to December 31, 1960. For the protection of depositors, in addition to this Fund,
the Corporation is authorized to borrow up to three billion dollars from the United States Treasury
when in the judgment of the Board of Directors such funds are required for insurance purposes.

Incom e in 1960 and its disposition. During 1960 the deposit
insurance fund increased $132 million. Net income from assessments on
insured banks amounted to more than $79 million, and income from
United States Government securities totaled $65 million. Expenses and
losses amounted to $12 million. Table 9 presents a statement of the
Corporation’s income in 1960, and of changes in the deposit insurance
fund during the year.
Income from assessments is determined by a formula which takes
account of the Corporation’s operating expenses and insurance losses.
Under the statutory assessment rate of one-twelfth of 1 percent of asses


18

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 9.

St a t e m e n t

C o r p o r a t io n ,

and

Y

of

I ncome, F ederal D

C hanges

ear

in th e

E nded D

D

e p o s it

ecem ber

e p o s it

I n surance

Insurance F und,

31, 1960

Incom e:
Deposit insurance assessments:
Assessments becoming due in the year.................................
Less net assessment income credits due insured banks. . .

$180,292,950
100,740,244

79, 552,706

Corporation's share of adjustments of assessments for
prior years...........................................................................

169,692
$79 ,722,398
64 ,884,767
131,785

Net income from U. S. Government securities.
Other income.............................................................
T otal Incom e.

$

144,738,950

$

Expenses and losses:
Administrative and operating expenses (Table 11)...............
Provisions for reserves for insurance losses:
Adjustments to provisions for reserves established prior
to 1960— (reductions):
Applicable to net assessment income for 1960...............
Not applicable to net assessment income for 1960........

12,430,336

129.330(D)
41,066(D)

170,396(D}

Other insurance losses and expenses........

91,537

T otal expenses and losses.

$
$

Net addition to the fund during the year ended December
31 ,1 9 6 0 ..................................................................... ..........

12,351,477
132, ,387,473

Deposit insurance fund, December 31, 1959...................

2,089, 790,445

Deposit insurance fu n d , December 31, I9601..................

$2,222,177,918

1 See note 2, Table 8.
(D) Deduct.

Table 10.

D

e t e r m in a t io n a n d

F ederal D
Y

ear

D

e p o s it

i s t r i b u t io n o f

N

et

A sse ssm e n t I n c o m e ,

I n s u r a n c e C o r p o r a t io n ,

E nded D

ecem ber

31, 1960

Determ ination of net assessment incom e:
$180,292,950

Total assessments which became due during the calendar year.
Less:
Administrative and operating expenses......................................
Net additions to reserves to provide for insurance losses—
Adjustments to provisions for reserves made prior to 1960
(reduction).....................................................................................

$ 12,430,336
129,330(D)

Other insurance losses and expenses............................................

91,537

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

$ 12,392,543

Net assessment income for 1960...........................................

$167,900,407

Distribution of net assessment income, December 31, 1960:
Net asssessment income for 1960:
40 percent transferred to deposit insurance fund.....................
Balance credited to insured banks...............................................

$ 67,160,163
100,740,244
$167,900,407___

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

Percent of total
assessments be­
coming due in 1960

Allocation of net assessment income credit am ong Insured
banks, December 31, 1960:
Credit for 1960....................................................................................
Adjustments of credits for prior years..........................................

$100,740,244
16,126

55,876%
.009

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

$100,756,370

55.885%

(D) Deduct.




19

FINANCES OF THE CORPORATION

sable deposits, assessments due in 1960 totaled $180 million. However,
in accordance with the provisions of the Act of 1950, the Corporation
retained only 40 percent of this amount, after deducting its expenses
and losses. Accordingly, $101 million of the net assessment income in
1960 was credited to insured banks to be applied against future assess­
ments. The determination and distribution of net assessment income
in 1960 is shown in Table 10, and the distribution of administrative
and operating expenses is given in Table 11.
T able 11. Administrative and Operating Expenses, F e d e r a l D eposit
Insurance C orporation, Y e a r Ended Decem ber 31, 1960
Personal services.......................................................................................................................
Civil Service retirement fund and F .I.C .A . payments...................................................
Transportation of things.........................................................................................................
Communication services..........................................................................................................
Rents and utilities....................................................................................................................
Printing and reproduction......................................................................................................
Supplies and materials............................................................................................................
Equipment..................................................................................................................................
Other contractual services......................................................................................................

$ 8,664,912
547,681
2,231,607
19,618
93,838
473,426
79,162
65,431
76,876
194,147

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

$12,436,698

Less— Recoverable expenses and other credits..................................................................

6,362

Net administrative and operating expenses..............................................................

$12,430,336

C hart B .

R atios o f D eposit Insurance Fund to T o t a l and Insured D eposits,
A l l Insured Banks, M id -Y e ar and Y e a r End, 1934-1960




20

FEDERAL DEPOSIT INSURANCE CORPORATION

Income and the deposit insurance fund, 1934-1960. The cumu­
lative income of the Corporation since its establishment reached $2,494
million at the end of 1960. Expenses and losses during the period totaled
$272 million, of which $81 million was interest paid to the United States
Treasury for the use of the Corporation’s initial capital to the time of
its retirement, leaving a balance or fund of $2,222 million for the pro­
tection of depositors.

Table 12. I ncome and E xp e n se s , F ederal D eposit I nsurance C orporation ,
by Y ea rs, From Beginning o f Operations, September 11, 1933,
to Decem ber 31, 1960, Adjusted to Decem ber 31, 1960
(In millions)
Income
Year
Total

Expenses and losses

Deposit
insurance
assess­
ments

Invest­
ments
and
other
sources

Total

Deposit
insurance
losses and
expenses

Interest
on capital
stock1

Adminis­
trative
and
operating
expenses

$80.6

Net
income
added to
deposit
insurance
fund2

1933-60..

$2,493.9

$1,750.83

$743.1

$271.7

$28.9

$162.2

$2,222.2

1960
1959.........

144.6
136.5

79.6*
78.6*

65.0
57.9

12.5
12.2

.1
.3

12.4
11.9

132.1
124.3

1958
1957
1956
1955
1954

126.8
117.3
111.9
105.7
99.7

73.83
69.1s
68.23
66.1*
62.43

53.0
48.2
43.7
39.6
37.3

11.6
9.7
9.6
9.0
7.8

.1
.5
.3
.1

11.6
9.6
9.1
8.7
7.7

115.2
307.6
102.3
96.7
91.9

1953
1952
1951
1950
1949

94.2
88.6
83.8
84.8
151.1

60.23
57.33
54.33
54.23
122.7

34.0
31.3
29.5
30.6
28.4

7.3
7.8
6.9
7.8
6.4

1.4
.3

7.2
7.0
6.9
6.4
6.1

86.9
80.8
76.9
77.0
144.7

1948
1947.........
1946
3945
1944

146.9
157.7
130.9

27.6
43.3
23.9
27.5
18.6

7.3
10.4
10.4
9.7
3.7

.7
.1
.1
.1
.1

.6
4.8
5.8
5,8
5.8

6.0
5.5
4.5
3.8
3.8

139.6
147.3
120,5
111.5
89.8

.1
.8

99.5

119.3
114.4
107.0
93.7
80.9

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

10.2
10.3
10.1
12.9
16.4

.2
.5
.6
3.5
7.2

5.8
5.8
5.8
5.8
5.8

4.2
4.0
3.7
8.6
3.4

76.5
59.1
51.9
43.0
34.8

1938
1937
1936
.1935
1S 33-34..

47.7
48.2
43.8
20.8
7.0

38.3
38.8
35.6
11.5
i

9.4
9.4
8.2
9.3
7.0

11.3
12.2
10.9
11.3
10.0

2.5
3.7
2.6
2.8
.2

5.8
5.8
5.8
5.8
5.6

3.0
2.7
2.5
2.7
4.2^

36.4
36.0
32.9
9.5
-3.0*

121.2

1 Paid in 1950 and 1951, but allocated among years to which it applies. Initial capital of $289 million
was retired by payments to the United States Treasury in 1947 and 1948.
2 The amounts shown herein give effect to adjustments to the deposit insurance fund in the years
to which they are applicable, whereas the amounts of the Fund shown in Table 13 represent the Fund
as reported on the dates specified. Hence the deposit insurance fund reported in Table 13 cannot be
computed by annual addition of income reported herein, except for the Fund as of December 31, 1960.
*
Net after deducting the portion of net assessment income credited to insured banks, pursuant to
provisions of the Federal Deposit Insurance Act of 1950. Since that time, assessment credits to insured
banks have amounted to $931.8 million, equal to 56.276% of gross assessments.
1 Assessments collected from insured banks, members of the temporary insurance funds which
became insured under the permanent plan, 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.
5
Net after deducting the portion of expenses and losses charged to banks withdrawing from the
temporary insurance funds on June 30, 1934.
,JDeduction.




21

FINANCES OF THE CORPORATION

The amounts and disposition of the Corporation’s income for each
year from 1933 to 1960, and cumulatively, are presented in Table 12.
The relationship of the deposit insurance fund to deposits in insured
banks for each year from 1934 to 1960 is shown in Table 13. Chart B
shows the ratio of the fund to total deposits and to insured deposits
at the middle and at the end of each year. At the end of 1960 the fund
amounted to 0.85 percent of total deposits in insured banks.
Table 13.

In sured D

e p o s it s a n d t h e

D

Deposits in
insured banks
(in millions)
Year
(Dec. 31)

e p o s it

In surance F u n d ,

Percent
of
deposits
insured

Total

Insured1

1960...............................................
1959...............................................

$260,495
247,589

$149,684
142,131

1958...............................................
1 9 5 7 ..............................................
1956...............................................
1955...............................................
1954...............................................

242,445
225,507
219,393
212,226
203,195

137,698
127,055
121,008
116,380
110,973

56.8
56.3
55.2
54.8
54.6

1953...............................................
1952...............................................
1951...............................................
1950...............................................
1949...............................................

193,466
188,142
178,540
167,818
156,786

105,610
101,842
96,713
91,359
76,589

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

153,454
154,096
148,458
158,174
134,662

1948...............................................
1942...............................................
1941...............................................
1940...............................................
1 9 3 9 ..............................................
1938...............................................
1937...............................................
1936...............................................
1935...............................................
1934...............................................

Deposit
insurance
fund
(in
millions)

57.5%
57.4

$2,222.2
2,089.8

1934-1960

Ratio of deposit
insurance fund to—

Total
deposits

Insured
deposits

.85%
.84

1.48%
1.47

1,965.4
1,850.5
1,742.1
1,639.6
1,542.7

.81
.82
.79
.77
.76

1.43
1.46
1.44
1.41
1.39

54.6
54.1
54.2
54.4
48.8

1,450.7
1.363.5
1,282.2
1,243.9
1,203.9

.75
.72
.72
.74
.77

1.37
1.34
1.33
1.36
1.57

75,320
76,254
73,759
67,021
56,398

49.1
49.5
49.7
42.4
41.9

1,065,9
1,006.1
1,058.5
929.2
804.3

.69
.65
.71
.59
.60

1.42
1.32
1.44
1.39
1.43

111,650
89,869
71,209
65,288
57,485

48,440
32,837
28,249
26,638
24,650

43.4
36.5
39.7
40.8
42.9

703.1
616.9
553.5
496.0
452.7

.63
.69
.78
.76
.79

1.45
1.88
1.96
1.86
1.84

50,791
48,228
50,281
45,125
40,060

23,121
22,557
22,330
20,158
18,075

45.5
46.8
44.4
44.7
45.1

420.5
383.1
348.4
306.0
333.0

.83
.79
.68
.68
.83

1.82
1.70
1.54
1.52
1.84

1 Estimated by applying to the deposits in the various types of account at the regular call dates
the percentages insured as determined from special reports secured from insured banks, the latest of
which was for September 21, 1955.

Audit. The Audit Division of the Corporation makes a continuous
audit of its financial operations. Outside audits have been made each
year from the beginning of the Corporation, first by private firms, and
since 1945 by the General Accounting Office.
The short form report on audit for the year ended June 30, 1960,
furnished by the Comptroller General, is presented in Table 14. As
indicated there, and in his larger report to the Congress, the Comptroller
General found the financial accounts to be as represented and in general
conformity with accepted accounting principles. In the report to Congress,
two ■recommendations were repeated from earlier audit reports: (a)
'



22

FEDERAL DEPOSIT INSURANCE CORPORATION

that the Federal Deposit Insurance Act be amended to require the
Corporation to pay, currently and retroactively from its creation, the
Government’s share of the cost of administering and providing retire­
ment, disability, and workmen’s compensation benefits to the Corpo­
ration’s employees; and (b) that the Act be amended to require the
General Accounting Office to make its report of audit on a calendarvear rather than a fiscal-year basis. The Board of Directors of the Corpo­
ration has expressed its accord with each of these recommendations.
Table 14.

R eport

on

A udit of F ederal D eposit I nsurance C orporation ,
Y ear E nded June 30, 1960

C omptroller G eneral of the U nited States
W ashington 25

B -l 14831

December 8, 1960

To
Federal Deposit Insurance Corporation
The General Accounting Office has made an audit of the Federal Deposit Insurance
Corporation, an independent Government agency, for the year ended June 30, 1960,
pursuant to section 17(b) of the Federal Deposit Insurance Act (12 U.S.C. 1827).
Our audit included an examination of the Corporation's financial condition as of
June 30, 1960, and the related income and expenses for the year then ended, in ac­
cordance with generally accepted auditing standards and such tests of the accounting
records and such other auditing procedures as we considered necessary in the circum­
stances and appropriate in view of the effectiveness of the system of internal control
and the work performed by the Corporation's internal auditors.
The financial statements in this report were prepared by us from the accounts
and related records of the Corporation. The statements are similar in format to the
official financial statements issued by the Corporation on a calendar-year basis except
that in the statement of income (schedule 2) we have included $699,663 representing
adjustments to prior years' income, which type of adjustments the Corporation
normally credits directly to its deposit insurance fund. Of this amount, $541,210
represents a decrease in the Corporation's estimate of insurance losses applicable to
banks closed in prior years and $158,453 represents a net increase in assessments
applicable to prior years.
The Corporation's accumulated net income has been retained as a deposit insurance
fund and is available for future deposit insurance losses. We are unable to express
an opinion on the adequacy of the deposit insurance fund to meet future losses because
the amount that may be needed is dependent on future economic conditions which
cannot be predicted.
In our opinion, subject to the comments in the preceding paragraph, the accompany­
ing financial statements (schedules 1 and 2) present fairly the financial position of
the Federal Deposit Insurance Corporation at June 30, 1960, 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.




/ s / Joseph C ampbell
Comptroller General of the United States

23

FINANCES OF THE CORPORATION

Table 14.

R ep ort on Audit o f F e d e r a l D eposit Insurance Corporation,
Y e a r Ended June 30, 1960— Continued

Schedule 1. F e d e r a l D eposit Insurance C orporation,
Statem ent o f Financial Condition, June 30, 1960
ASSETS
$

C a sh ..........................................................................................................
IJ. S. Government obligations:.....................................................
Securities at amortized cost (face value, $2,291,996,000;
market or redemption value, $2,213,148,123)................. ..
Accrued interest receivable............................................... ..............

$2,288,786,045
12,146,398

Assets acquired in deposit assumption and receivership
transactions:
Subrogated claims of depositors against closed insured banks.
Net balances of depositors in closed insured banks, to be sub­
rogated when paid— see related liability..................................
Loans to insured banks and to receiver of closed insured bank.
Equity in assets acquired under purchase agreements.............
Assets purchased outright................................................................

3,267,616

2,300,932,443

2,283,834
19,600
1,714,402
5,489,984
159,411
9,667,231

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

7,328,965

2,338,266

Accounts receivable, deferred charges, and sundry assets

116,357

Building site and planning costs (note 1 ).................................

1,692,850

Furniture, fixtures, and equipm ent, cost $737,224................

1

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

$2,308,347,533

LIABILITIES AND DEPOSIT INSURANCE FUND
Accounts payable and accrued liabilities................................

$

668,918

Earnest m oney, escrow funds, and collections held for
others...............................................................................................

410,738

Employees* accrued annual leave................................. ..............

1,212,021

Deferred credits.............................................................. ....................

887

Net balances of depositors in closed insured banks— see
related asset.....................................................................................

19,600

Net assessment income credits due insured banks (note 2):
Available July 1, 1960......................................................................
Estimated amount available July 1, 1961, from net assess­
ment income for 6 months ended June 30, 1960....................

$

99,926,339
50,976.747

Deposit insurance fund, accumulated income available for
future deposit insurance losses (note 3):
Balance July 1, 1959.........................................................................
Net income for year ended June 30, 1960 (schedule 2 ) ............

150,903,086
153,215,250

Total liabilities...........................................................

2,026,703,780
128,428,503

Balance, June 30, 1960.............................................

2,155,132,283

Total liabilities and deposit insurance fu n d ..

$2,308,347,533

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




24

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 14.

R ep ort on A u dit o f F e d e r a l D eposit Insurance Corporation,
Y e a r Ended June 30, 1980— Continued

Schedule 2.

F e d e r a l D eposit Insurance Corporation,
Statem ent o f Income, Y e a r Ended June 30, 1960

In co m e:
Deposit insurance assessments........................................................
Less net assessment income credits due insured banks (note 2)

$180,424,253
101,149,593
79,274,660

Income from U . S. Government securities.

60,842,251

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

116,850

Total in com e..............................

140,233,761

Expenses and losses:
Administrative and operating expenses:
Salaries........................................................
Travel.........................................................
Rents and utilities....................................
Other...........................................................
Other deposit insurance expenses.

$ 8,276,035
2,212,331
467,537
1,028,112
11,984,015
85,061
12,069,076

Less net reduction in estimated loss on banking assets ac­
quired in deposit assumption and receivership transactions. .

263,818

Total expenses and losses.................. ....................

11,805,258

N et income for the year ended June 30, 1960, transferred
to deposit insurance fund (schedule 1 )....................................

$128,428,503

The following notes are an integral part of this statement.

N otes to th e F inancial Statements— June 30, 1960
1. The Corporation has acquired a building site in the District of Columbia on which it plans to
construct its own office building. The Corporation estimates that the completed structure will cost about
7.5 million dollars and will be ready for occupancy during calendar year 1962.
2. The Federal Deposit Insurance Act (12 U.S.C. 1817(d)) provides that insured banks shall be
allowed, against current semiannual insurance assessments, pro rata credits totaling 60 percent of the
Corporation’s net assessment income (as defined by the act) for the prior calendar year. At June 30,
1960, the amounts due the banks for net assessment income credits totaled $150, 903,086 which comprised
credits of $99,926,339 for calendar year 1959 and prior years and estimated credits of $50,976,747 for
the first 6 months of calendar year 1960.
3. The deposit insurance fund of $2,155,132,283 at June 30, 1960, is available for future deposit
insurance losses and related expenses. The fund amounts to about 1.54 percent of all insured deposits,
which the Corporation estimates at 140 billion dollars. The existing law does not specify either the
amount or the ratio of insured deposits to which the insurance fund is to be accumulated.
The fund is not a measure of the deposit insurance risk. Its adequacy to meet future losses is de­
pendent on future economic conditions which cannot be predicted. The Corporation from its inception
to June 30, 1960, has made disbursements of about $348,400,000 in protecting depositors of 439 insured
banks and in facilitating the termination of liquidations. The Corporation’s accumulated losses amount
to about $29,000,000, including estimated losses of $7,329,000 on cases not terminated at the close of
the year ended June 30, 1960.
The Corporation is authorized to borrow from the United States Treasury up to 3 billion dollars
outstanding at any one time when, in the judgment of the board of directors, such funds are required
for insurance purposes. The Corporation has never used this borrowing authority.




PART TWO
CHANGES IN THE NUMBER OF BANKING OFFICES, 1859-1959,
AND IN THE RELATIVE POSITION OF BANKS, 1921-1958







C hanges

in

the

N

um ber

of

B a n k in g

1859-1959,
1921-1958

O f f ic e s ,

AND IN THE RELATIVE POSITION OF BANKS,

During the four decades since 1920 there have been fundamental and
far-reaching changes in the number of operating banks and branches in
the United States. In 1921, approximately 31,000 banks were in opera­
tion, the largest number in the nation’s history. From that peak the
number of banks has declined to about 14,000. Branches, on the other
hand, numbered fewer than 1,500, or less than five percent of all banking
offices, in 1921; but there are now nearly 11,000 branches, comprising
more than 40 percent of all banking offices.
These changes in the numbers of banks and branches have given rise
to diverse reactions. Some people view the decline in number of banks
and the rise in number of branches with alarm; others see the same
developments as beneficial, or at least as natural and reasonable adjust­
ments to more fundamental changes in our economic system. An analysis
is given here of changes in the number of banks and branches, with
comments regarding their effect on the competitive character of the
banking system.1
C hanges

in

N

um ber of

Banks

and

U n it e d St a t e s ,

B a n k i n g O f f ic e s

in t h e

1859-1959

Because of the peak in the number of banks in 1921, the magnitude
of the subsequent decline, and the lack of annual data on the character
of bank changes prior to 1921, that year has become the bench-mark
from which changes in the banking structure are usually measured. Use
of 1921 as the starting point in analyses of bank changes carries a con­
notation of normality in the banking structure of that year. Such an
implication is unwarranted; in fact the banking structure in 1921 appears
to have been inherently unstable. Many sections of the country were
undoubtedly “ over-banked” in the sense that they could not support
for long the number of banks attempting to do business. Accordingly,
bank changes since 1920 should be viewed in the perspective of such
changes over a longer period of time.
Changes in num ber o f banks, 1859-1959. The past 100 years of
American banking have been characterized by periods of remarkably
rapid change, intermixed with periods of minor change. For approxi­
mately six decades, from 1859 to 1921, the number of banks moved
almost continuously upward—sometimes slowly or with interruptions as
in the 1870’s and 1890’s, and sometimes very rapidly, as during the early
1900’s. The decline which began in 1921, like the rise that preceded it,
» Changes in the number of banks and branches during 1960 are described in Part Four of this
report.




27

28

FEDERAL DEPOSIT INSURANCE CORPORATION

has been virtually continuous and also at an uneven pace. There was a
precipitous fall in the number of banks during the 12 years after 1921, and
during the quarter of a century subsequent to 1933 a slow downward
drift. Annual data are given in Tables 15 and 16.
Although the growth in number of banks during the six decades from
1860 to 1920 did not proceed at an even pace, in all but a few years that
growth exceeded the rate of population increase. By 1920 the average
bank in the United States depended for its potential business on a smaller
number of people than ever before or since in the nation’s history. A
century ago there were about 3,000 banks in the nation, and about
11,000 people for each bank. By 1880 the number of persons per bank
had declined to about 8,000, by 1890 to 6,000, and by 1920 to fewer
than 3,500.
The instability of the 1921 banking structure was demonstrated by
the fact that the number of banks fell by half in the next 12 years. About
one-third of this great reduction occurred during the predominantly
prosperous period of the 1920’s, and two-thirds during the depression
years, 1930-1933. The decline in number of banks from 1920 to 1933, when
adjusted for those that reopened after the banking holiday of 1933, was
enough to offset the increase, relative to population, of the 40 years
prior to 1920, so that the population per bank was again about 8,000.
During 1934 there was a significant increase in the number of banks,
due almost entirely to reopening of banks previously closed. From 1934
to 1959 there was a slow decline in the number of banks, at an average
rate of about one-half of 1 percent per year. However, the growth of
population during this time resulted in a rise in population per bank to
nearly 13,000.
Changes in number of branches and total banking offices, 19001959. Changes in the number of banks do not, of course, accurately
reflect changes in the availability of banking services. Because of the
increase in the number of branches, particularly in most of the large
cities and throughout several States, the population per banking office
is now much smaller than the population per bank. Annual data since
1920, and by 5-year periods from 1900 to 1920, are given in Tables
15 and 16.
The earliest year for which a tabulation of branches is available is
1900, when about a hundred branches were being operated by incorporated
commercial banks.1 During the next twenty years, when there was an
increase of about 18,000 in the number of banks, the increase in number
of branches was about 1,200. From 1920 to 1934, when the number of
1
Information regarding the number of branches of private banks and of mutual savings banks
prior to 1934 i3 not available, but the number is believed to have been small.




CHANGES IN NUMBER OF BANKS AND BANKING OFFICES

29

Table 15.

Number o f Banks and Population P er Bank, 1859-1934, and
Number o f Branches and O ffic e s and Population P er O ffic e ,
1900-1934, C o n tin e n ta l U nited S ta tes
1896-1934

1859-1896
Population
per
bank2

Year

Number
of
banks1

1859

2,829

10,847

1860
1861
1862
1863
1864

3,051
2,905
2,778
2,853
3,016

10,329
11,136
11,947
11,926
11,559

1865
1866
1867
1868
1869

3,696
4,013
4,183
4,308
4,258

9,659
9,105
8,935
8,870
9,171

1870
1871
1872
1873
1874

4,491
5,089
5,374
5,680
5,994

8,886
8,044
7,810
7,571
7,347

1875
1876
1877
1878
1879

6,087
6,125
6,256
6,136
6,074

7,405
7,528
7,535
7,851
8,101

1880
1881
1882
1883
1884

6,110
6,377
6,825
7,304
7,757

8,226
8,082
7,739
7,407
7,139

1885
1886
1887
1888
1889

7,939
8,366
9,171
9,606
10,236

7,137
6,925
6,457
6,298
6,035

1890
1891
1892
1893
1894

11,055
11,738
12,006
12,393
12,196

5,704
5,483
5,469
5,404
5,598

1895
1896

12,347
12,324

5,635
5,752

Year

Total
offices

] Number
Number
of banks
of
(midyear)3 branches4

Population Population
per
per
bank2
office2
5,852
5,976
6,042
6,004

12,112
12,079
12,163
12,459

1896
1897
1898
1899
1900
1901
1902
1903
1904

13,172

13,053
14,054
15,112
16,433
17,659

119

5,777

5,830
5,520
5,238
4,907
4,653

1905
1906
1907
1908
1909

19,117

18,767
20,407
21,986
23,161
23,734

350

4,385

4,466
4,187
3,957
3,830
3,813

1910
1911
1912
1913
1914

25,699

25,151
25,815
26,472
27,285
27,864

548

3,596

3,674
3,636
3,601
3,563
3,557

1915
1916
1917
1918
1919

28,802

28,017
28,362
28,919
29,480
29,767

785

3,491

3,589
3,595
3,576
3,546
3,530

1920
1921
1922
1923
1924

32,190
32,531
32,537
32,498
31,898

30,909
31,076
30,736
30,444
29,601

1,281
1,455
1,801
2,054
2,297

3,307
3,337
3,382
3,445
3,577

3,444
3,493
3,581
3,677
3,855

1925
1926
1927
1928
1929

31,577
31,053
30,169
29,539
28,921

29,052
28,350
27,255
26,401
25,568

2,525
2,703
2,914
3,138
3,353

3,668
3,781
3,946
4,079
4,210

3,987
4,141
4,368
4,564
4,763

1930
1931
1932
1933
1934

27,795
25,709
22,512
17,555
18,918

24,273
22,242
19,317
14,771
15,913

3,522
3,467
3,195
2,784
3,005

4,428
4,825
5,545
7,153
6,680

5,071
5,577
6,463
8,502
7,942

1 1859-1877: banks other than national and mutual savings compiled from listings for those operating
at end of year in Homan’s Bankers Almanacs and (for a few States) histories of banking and other sources,
omitting agencies and brokers listed among private bankers and including institutions listed as branches
because many of these were more closely akin to present-day independent banks (particularly in Indiana,
Iowa, and Ohio prior to 1865), or to chain banks, than to branches; national banks, number at call date
nearest end of year, annual report of Federal Deposit Insurance Corporation for 1934, p. 107 (original
data from annual reports of Comptroller of the Currency); mutual savings banks, 1859-1864, Emerson
W . Keyes, A History of Savings Banks in the United States (New York, 1878), vol. II, p. 532, and 18651877, annual report of Federal Deposit Insurance Corporation for 1934, p. 112. 1878-1896: State banks,
trust companies, and private banks, George E. Barnett, State Banks and Trust Companies, publication
of National Monetary Commission, Senate Document No. 659, 61st Congress, 3d Session, 1911, pp.
248-50 (original data from State reports and Homan’s Bankers Almanacs); national banks, number
at call date nearest June 30, annual report of Federal Deposit Insurance Corporation for 1934, pp. 107-08
(original data from annual reports of Comptroller of the Currency); mutual savings banks, annual
report of Federal Deposit Insurance Corporation, 1934, pp. 112-13 (original data from various sources).
2 Computed from number of banks or offices and population as of July 1 as estimated by Bureau
of the Census and published in Historical Statistics o f the United States, 1789-19k5.
* Board of Governors of the Federal Reserve System, AU-Bank Statistics, United Stales, 1896-1955
(1959), p. 33. Number of banks in territories and possessions, not included, ranged from none in 1896
and 1 in 1897 to 60 in 1929 and 44 in 1934 (ibid. p. 1153).
* Branches of incorporated commercial banks, Board of Governors of the Federal Reserve System,
Banking and Monetary Statistics, p. 297. For years prior to 1924 the figures are not for any uniform
month; for 1924 and 1927-1931 they are as of June; for 1925-1926 and 1932-1934, as of December.
Branches of private banks and mutual savings banks, for which data are not available prior to 1934
and numbered about 125 in that year, are omitted.




30

FEDERAL DEPOSIT INSURANCE CORPORATION

banks was reduced by about 15,000, there was an increase of about
1,700 in the number of branches; and from 1934 to 1959, when there was
a slow downward trend in number of banks with a total reduction of
about 2,000, there was a relatively large growth, about 7,000, in number
of branches.
Table 16.

Number o f Banks and Branches in th e U nited S ta te s
(C o n tin e n ta l U.S. and O th e r A reas), 1933-1959
Total
banking
offices1

December 31

Number of
banks1

Number of
branches1

Population
per office*

Population
per bank3

1933*...............................................
1934.................................................

18,402
19,360

15,363
16,128

3,039
3,232

6,943
6,643

8,316
7,974

1935.................................................
1936.................................................
1937.................................................
1938............ ...................................
1939.................................................

19,395
19,298
19,162
19,018
18,889

16,023
15,809
15,556
15,370
15,196

3,372
3,489
3,606
3,648
3,693

6,677
6,755
6,845
6,952
7,058

8,083
8,246
8,432
8,602
8,773

1940.................................................
1941.................................................
1942.................................................
1943.................................................
1944.................................................

18,791
18,757
18,650
18,740
18,841

15,063
14,988
14,837
14,740
14,700

3,728
3,769
3,813
4,000
4,141

7,154
7,234
7,330
7,323
7,222

8,925
9,054
9,213
9,310
9,256

1945.................................................
1946.................................................
1947................................................
1948.................................................
1949.................................................

18,881
18,967
19,171
19,363
19,594

14,713
14,747
14,763
14,750
14,730

4,168
4,220
4,408
4,613
4,864

7,185
7,535
7,635
7,697
7,739

9,220
9,691
9,914
10,105
10,295

1 9 5 0 ...............................................
1 9 5 1 ................ ...............................
1952.................................................
1 9 5 3 ................................................
1954.................................................

19,851
20,156
20,449
20,780
21,160

14,693
14,662
14,616
14,553
14,409

5,158
5,494
5,833
6,227
6,751

7,769
7,762
7,769
7,768
7,765

10,496
10,670
10,869
11,092
11,404

1955.................................................
1 9 5 6 ...............................................
1957.................................................
1958.................................................
1959.................................................

21,676
22,315
22,907
23,553
24,242

14,285
14,209
14,130
14,060
14,004

7,391
8,106
8,777
9,493
10,238

7,728
7,640
7,579
7,498
7,407

11,726
11,999
12,287
12,560
12,823

1
Tabulations of the Federal Deposit Insurance Corporation. Data have been revised and for most
years differ slightly from those published in the respective annual reports of the Corporation. For 1938
and 1934 numbers exceed those in Table 15 by the number of mutual savings branches in continental
United States plus the number of commercial and mutual savings banks and branches in other areas
(Alaska, American Samoa, Hawaii, Mariana Islands, Panama Canal Zone, Puerto Rico, and Virgin
Islands).
* Population data used are Bureau of the Census estimates for July 1, as published in Historical
Statistics of the United States 1789-19U5, and various issues of the Statistical Abstract of the United States.
* As of January 1, 1934. Figures differ from those for December 30, 1933, because of banks absorbed
or otherwise ceasing operations after the close of business on December 30, and because of those un­
licensed on that date but approved for insurance or licensed in time to reopen on the morning of
January 2, 1934.

,

The consequence of these changes was a growing divergence between
the population per bank and the population per banking office. Both
in 1900 and in 1920 the population per banking office was only a little
smaller than the population per bank. By 1934 there was a greater
difference, with about 8,000 persons per bank and 6,600 per banking office.
But at the end of 1959, when the population per bank was nearly 13,000,
the population per office was about 7,400. The latter figure was smaller
than in 1880, when the population per bank was over 8,000 and there were
relatively few branches. This seems remarkable in view of the much



CHARACTER OF BAN K AND BRANCH CHANGES

31

greater accessibility of banking offices today because of urbanization
and transportation developments and the consequent ability of a banking
office to serve conveniently a larger number of persons.
C haracter

of

Bank

and

B ranch C hanges

Character o f bank changes, 1859-1920, Detailed statistics regarding
the character of bank changes prior to 1921 are not available. However,
there was a remarkable increase in number of banks during the twenty
years preceding 1921, with a consequent decline in population per bank.
Character o f bank changes, 1921-1934. From 1920 to 1959 the
number of banks going out of business exceeded the number opened in
all years except 1934 and 1945-1947. However, the changes from 1920
to 1934 were of a different order of magnitude, largely different in char­
acter, and the available statistics are somewhat different, than for the
period after 1934. It is accordingly convenient to present separately,
in Tables 17 and 18, the pertinent data for these two periods.
In the years 1921-1933, the number of banks going out of business was
far greater than the number opened. Annual data for each year of this
period and for 1934 are shown in Table 17, with the closings classified
into those suspended, those absorbed, and those placed in voluntary
liquidation, and the openings divided between new banks and reopenings
of suspended banks. The data pertain to incorporated commercial banks
in continental United States. Most of the changes occurred among
those banks, the net decrease in the number of incorporated commercial
banks for 1920 to 1934 being approximately 14,000, compared with about
900 for unincorporated commercial banks and about 50 for mutual
savings banks.
The decline of 14,000 in the number of incorporated commercial banks
during the years 1921-1934 represented the difference between the closing
of 22,000 banks and the opening of about 8,000 banks, with the latter
figure including reopenings of suspended banks and the chartering of
previously unincorporated banks. About half of the openings were new
banks, and nearly half reopenings of suspended banks.
Bank suspensions from 1921 to 1934 accounted for nearly two-thirds
of the 22,000 banks that ceased business during that period. Suspensions
were numerous during the prosperous years of the 1920’s. In each year
from 1923 through 1929 the number of banks ceasing operation because
of financial difficulties substantially exceeded the number of newly
organized banks, the typical ratio being about two failed banks for each
new bank. In all, over 5,400 banks suspended during the nine years,
1921-1929, or an average of about 600 per year during one of the most
prosperous decades in the nation’s history. These failures represented,



Table IT.

A n a l y s is

op

C h anges

in

N

u m b e r of

I n c o r p o r a t e d C o m m e r c ia l B a n e s

in

C o n t in e n t a l U n it e d St a t e s ,

Began operations
Net
change
during
period

Total

New
banks2

Ceased operations

Reopenings
of suspended
banks3

Total

1 Absorbed4

Suspended5

Voluntary
liquida­
tions

Other
changes—
net®

3,035

21,777

6,516

14,267

994

+ 341

565
527
526
491

472
409
458
383

S3
118
68
108

814
772
1,003
1,191

305
394
329
373

461
343
623
738

48
35
51
80

+ 61
+47
+ 53
+28

1925..............................................................
1926..............................................................
1927..............................................................
1928..............................................................
1929..............................................................

27,724
27,223
26,280
25,468
24,703

-501
-943
-812
-765
-1,008

484
505
423
305
304

403
345
296
252
235

81
160
127
53
69

1,001
1,461
1,260
1,084
1,321

363
462
567
534
636

579
924
636
479
628

59
75
57
71
57

+ 16
+ 13
+25
+ 14
+9

1930..............................................................
1931..............................................................
1932..............................................................
1933..............................................................
1934?.............................................................

23,695
21,877
19,149
17,578
14,352

-1,818
-2,728
-1,571
-3,226
+891

308
380
372
1,020
1,263

153
105
93
323
511

155
275
279
697
752

2,129
3,110
1,950
4,302
379

769
798
433
322
231

1,292
2,213
1,416
3,891
44

68
99
101
89
104

+3
+2
+ 7
+ 56
+ 7

» Federal Reserve Bulletin, November 1937, p. 1087. Excludes mutual savings banks and private banks.
3 Excludes new banks organized to succeed operating banks, but for 1933 and 1934 includes new banks organized to succeed national and State banks unlicensed after the banking
holiday.
* For 1921-32 includes reopenings accompanied by a change of name and issuance of a new charter. For 1933-34 includes banks closed during the banking holiday in March 1933
which were licensed subsequent to June 30, 1933. Banks licensed between March 15 and June 30, 1933, are not included in this table (either as suspensions or reopenings).
4 Decrease in number resulting from consolidations, mergers, and absorptions of going banks. Does not include suspended banks that were taken over by other banks.
5 Includes banks which reopened in the same or a subsequent year.
8 Chiefly conversions from private banks, but including some unclassified changes, particularly in 1933.
7 Changes in 1934 include banks that had been closed at the time of the banking holiday and were unlicensed as of December 30, 1933, but were approved for deposit insurance
or licensed in time to reopen on January 2, 1934, and other changes between those dates.




CO R PO R ATIO N

4,438

-188
-198
-424
-672

INSURANCE

7,473

29,206
29,018
28,820
28,396

DEPOSIT

-13,963

1921..............................................................
1922..............................................................
1923..............................................................
1924..............................................................

T otal 1921-1934.......................................

FEDERAL

Year

Number at
end of
preceding
year1

1921-1934

Table 18.

A n a l y s is

op

C h a n g e s in th e N u m b e r op B a n k s a n d B r a n c h 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 ), 1934-1959

in t h e

U n it e d St a t e s

Banks

Year

Total
banking
offices—
net
change

Began operations

New
banks1

Ceased operations

Reopenings
of
Absorbed3 Suspended4
suspended
banks2

Opened for business
Other or
unclassified
changes
net

Other
liquida­
tions

Net
change

Succeeded
absorbed
banks

Other or
Dis­
Other
unclassified
new
continued* changes—
branches5
net7

+ 5 ,8 4 0

-1,359

2,070

1,224

3,177

561

915

+7,1 9 9

2,130

6,375

1,385

+ 79

19348...............

+958

+ 765

130

1,042

212

62

131

-2

+ 193

75

186

100

+82

1935.................
1938.................
1837.................
193 8
193 9

+35
-97
-136
-144
-129

-105
-214
-253
-186
-174

97
61
63
44
34

110
22
12
2
9

170
161
177
87
100

32
72
83
80
72

109
65
68
65
45

-1
+ 1

+ 140
+ 117
+ 117
+42
+45

87
73
90
43
43

138
100
96
51
52

86
56
69
52
50

+ 1

48
16
23
5
2

54
51
71
62
34

+35
+ 41
+44
+ 187
+ 141

41
19
28
23
36

51
59
68
212
138

57
39
52
48
83

O
F

T otal 1934-1959

BANK

194
194
194
194
194

0
1
2
3
4

-98
-34
-107
+ 90
+ 101

-133
-75
-151
-97
-40

41
48
22
52
69

6
3
2
1

78
59
81
82
74

194
194
194
194
194

5
6
7
8
9

+40
+ 86
+204
+ 192
+ 231

+ 13
+34
+ 16
-13
-20

118
144
114
79
78

1
3
2
1
1

77
93
82
77
76

1
2
6
3
9

28
18
12
13
14

+27
+ 52
+ 188
+2 0 5
+ 251

40
55
55
59
61

133
171
165
162
201

146
174
31
20
11

-1
+4

195
195
195
195
195

0
1
2
3
4

+257
+ 305
+293
+331
+380

-37
-31
-46
-63
-144

68
65
69
65
72

1
3
1

89
79
99
115
207

5
5
4
5
4

11
12
13
11
6

+294
+ 336
+339
+ 394
+ 524

73
59
84
97
181

231
298
278
323
378

22
24
21
29
37

+ 12
+3
-2
+3
+2

195
195
195
195
195

5
6
7
8
9

+
+
+
+
+

-124
-76
-79
-70
-56

117
122
87
96
115

231
189
161
152
169

5
3
3
9
3

5
7
3
5
2

+
+
+
+
4

206
168
145
135
154

483
582
555
615
649

50
39
33
37
69

+ 1
+4
+4
+3
+ 11

+2

CHANGES

1

640
715
671
716
745

BRANCH

1

1
1

+2
AND

516
639
592
646
689 |

CHARACTER

Net
change

Branches

1 Mostly new banks, but includes previously operating financial institutions which became banks of deposit.
2 Reopenings of or successors to suspended banks, including banks previously in conservatorship, operating under restrictions, or in receivership or liquidation.
* Net decrease as a consequence of absorptions, consolidations, and mergers (excluding cases involving financial aid by the Federal Deposit Insurance Corporation).
CO
4
Banks closed because of financial difficulties, including banks the deposits of which were assumed by other insured banks with the financial assistance of the Federal Deposit
CO
Insurance Corporation.
6
Includes a small number of branches replacing banks relocated or placed in liquidation or receivership, and facilities established in or near military or other Federal government
installations.
6 Includes facilities discontinued at military or other Federal government installations.
7 For 1934, includes branches of banks reopened or previously operating under restrictions.
8 Changes in 1934 exclude banks approved for insurance or licensed to reopen on January 2, 1934, and other changes between the close of business on December 30, 1933, and
the opening of business on January 2, 1934.




34

FEDERAL DEPOSIT INSURANCE CORPORATION

primarily, the inability of banks in the agricultural regions of the nation
to adjust themselves to the impact of a set of economic circumstances
having an adverse effect on agriculture and on the trading centers of
agricultural areas, even though business throughout the nation was
generally prosperous. The depression of the early 1930’s saw a catastrophic
rise in bank suspensions, as approximately 9,000 banks failed during
four years. This depression, which was nation-wide, together with the
financial panic of 1933, was primarily responsible for the extraordinarily
large number of failures during those years.
Bank absorptions, using that term to include consolidations, mergers,
and assumption of deposit liabilities of one bank by another, were of
significant importance in the decline in the number of banks between
1920 and 1934, although they ranked well below bank suspensions as a
cause of the decline in number of banks. Absorptions accounted for about
three out of every ten banks ceasing business during this period, whereas
suspensions were responsible for approximately six out of every ten banks
that closed.
Expansion of branch banking systems was not a primary force in
these bank absorptions. The number of banks absorbed was much
larger than the increase in the number of branches operated and a
relatively small proportion of the absorptions occurred in the same
States as most of the increase in branches. Moreover, during most of
the period from 1920 to 1934, the number of absorptions appears to have
been related to the number of suspensions. Both tended to rise during
the 1920’s and both increased with the onset of the depression, though
absorptions dropped back to earlier levels as the depression continued.
Also, the majority of the absorptions occurred in the same States as the
majority of suspensions. Many, if not most, of the absorption transactions
of that period appear to have been alternatives either to failure or to
voluntary liquidation. To the extent that this was true, bank absorptions
were not a direct cause of decline in the number of banks but, instead,
only the means by which many banks, which would have ceased business
in any event, happen to have left the banking scene.
Of the banks that suspended during the years 1921-1930, more than
200 were taken over, after suspension, by another bank. Thus whether a
distressed bank was deleted from the count because it suspended or be­
cause it was absorbed apparently depended to a great extent on whether
it was able to find a purchaser; i.e., another bank, prior to suspension;
if it was successful it appears in tabulations as an absorption; if not
immediately successful it appears in such tabulations as a suspension.
It is noteworthy that with the precipitous decline in number of bank
failures after 1933 and the consequent stabilization of the banking



CHARACTER OF BANK AND BRANCH CHANGES

35

system there occurred a decline of similar proportions in the number of
bank absorptions.1
Voluntary liquidations accounted for less than 5 percent of the banks
ceasing operations during the period from 1920 to 1934. Little specific
information is available regarding the reasons for these liquidations, but
it is highly likely that the motivation in most of them was unprofitability.
In summary, the character of bank changes from 1920 to 1934 in­
dicates that most of those changes were a consequence of a previous
uneconomic and hence undesirable expansion in the number of banks, or
of an inevitable adjustment to changes in communications and trans­
portation facilities that brought more competition into banking and
made survival of many of the smaller banks impossible, or were due to
the impact of the forces that produced the deep depression of the early
1930’s. Consequently, the great reduction in number of banks that re­
sulted from the changes of the 1920-1934 period has no significant rele­
vance to bank absorptions today.
Character o f bank changes, 1934-1959. Both the number of banks
beginning operations and the number ceasing operations were much
smaller during the 25 years from 1934 to 1959 than during the preceding
thirteen years. However, the number of branches experienced far more
change in the recent period than in the earlier one. Table 18 shows for
all banks in the entire United States the character of changes occurring
each year from 1934 to 1959, inclusive, with a classification similar to
that for changes among incorporated commercial banks in continental
United States in the preceding table; and also shows the character of
changes among branches each year. The figures in this table are more
inclusive than those in the preceding table, because they include not
only commercial banks in continental United States, but also private
banks, mutual savings banks, and banks in Alaska, Hawaii, Puerto
Rico, and other noncontiguous parts of the nation. The figures are also
compiled from different sources and by somewhat different methods
than the preceding table. The difference in method of compilation is
especially important for 1934, which is covered in both tables, because
in this table newly chartered banks that succeeded banks *‘unlicensed’ ’
'
after the banking holiday (that is, remaining in conservatorship, operat­
ing under restrictions, or otherwise in a state of suspended animation
without formal placement in receivership or liquidation) are classified
with reopenings of suspended banks instead of with new banks as in
the preceding table.
1
The probability that many absorptions during the 1920’s and early 1930’s were “ forced lifesaving
jobs . . . to prevent failure” was noted in Concentration o f Banking in the United States, a Staff Report
of the Board of Governors of the Federal Reserve System submitted to the Subcommittee on Monopoly
of the Select Committee on Small Business, U. S. Senate, September 10, 1952, p. 6.




36

FEDERAL DEPOSIT INSURANCE CORPORATION

Of the approximately 3,300 banks beginning operations in the entire
United States from 1934 to 1959, inclusive, about 1,200 were reopened
suspended banks. Most of the reopenings were in 1934; after 1935 the
number of suspended banks reopened became almost negligible. For the
26-year period new banks organized averaged 80 per year, ranging from
a low of 22 in 1942, during World War II, to a high of 144 in 1946, the
first post-war year. During recent years the number of new banks opened
has averaged about 100 per year.
Various reasons account for the fact that since 1934 the rate of opening
of new banks has been much smaller than prior to 1920 or during the
decade of the 1920,s. A survey made by the Joint Economic Committee
and published in February 1952 reveals that State bank supervisors,
except for those in States in the rapidly growing Southwest, reported
receiving relatively few bank applications. Generally speaking, the
reasons given were the adequacy of existing banking facilities and the
low level of bank profits relative to other industries.1 During the past
few years the number of applications for new bank charters has increased
somewhat because of the high level of economic activity and larger bank
profits, but the number is still much lower than in the 1920’s. The growth
in branch banking is undoubtedly an important factor helping to explain
the reduced demand for new banks, particularly in those States which in
the 1930’s changed their banking codes to permit more expansive or
statewide branch banking.
Another factor has been the attitude of bank chartering authorities.
With the experience of thousands of bank failures between 1920 and 1934,
attributed in many instances to weak or under-capitalized banks in
population centers unable to support them, bank chartering authorities
were alert to prevent a repetition of the over-banked situation of the
early 1920’s. While it may to some persons now seem a desirable situation
to have, as in 1921, more than 30,000 banks with “ open doors for
borrowers and depositors throughout the United States,” 2 bank super­
visors and chartering authorities of the 1930’s and 1940’s knew that
many of those banks closed their doors with great losses and hardships
to their depositors and were determined that this should not happen
again. The Federal Deposit Insurance Corporation has particularly
stressed capital adequacy as a requirement for insurance.
The closing of banks because of financial difficulties has been of small
importance in accounting for changes in the number of banks since 1933.
During the entire period from that year to 1959 the net decline in number
1 Monetary Policy and the Management of the Public Debt, Replies to questions and other material
for use of Subcommittee on General Credit Control and Public Debt Management, Joint Committee
on the Economic Report (1952), Part 2, pp. 995-97.
2 Bank Mergers and Concentration of Banking Facilities, a Staff Report to Subcommittee No. 5 of
the Committee on the Judiciary, United States House of Representatives, 82d Congress, 2d Session,
September 17, 1952, p. 6.




CHARACTER OF BANK AND BRANCH CHANGES

37

of banks attributable to bank suspensions, including absorptions with
Corporation aid, was only 561, less than the number closed because of
financial difficulties during a typical year in the 1920’s.1 The principal
causes of the failures that have occurred since 1934 have been: (1) the
weakened condition of banks as a consequence of the depression of
1930-1933, which accounted for a substantial percentage of those during
the early years of Federal deposit insurance; (2) the inability of small
and uneconomic banking units to continue operations; and (3) financial
irregularities in banks. The latter factor has accounted for about onefourth of the banks in financial difficulties handled by the Federal De­
posit Insurance Corporation since January 1, 1934.
The fact that bank failures have been relatively infrequent since 1933
of course accounts for the fact that most of the decline in number of
banks since 1920 occurred between 1921 and 1934. With the drop in
number of bank failures, the precipitous decline in the number of banks
which was so apparent during the 1920’s, and particularly during the
early 1930’s, also ceased.
Since 1933 absorptions have been the leading cause of banks ceasing
operations, and thus have been largely responsible for the slow down­
ward drift in number of banks during the past 25 years. However, the
annual number of absorptions was only about one-fourth of that prior
to the depression of the 1930’s, and from 1938 to 1952 did not exceed 100
in any one year. The year 1952 appears to mark the beginning of an
upturn in bank absorptions, although after reaching a high of 231 cases
in 1955 the number declined to 152 in 1958 and 169 in 1959.
Over 900 banks ceased business by voluntary liquidation during the
26 years from 1933 to 1959, accounting for about one-fifth of all banks
ceasing business. This is about the same number as during the preceding
13 years. Though the average annual number since 1933 is only about
half that of the earlier period, the rate of closing for this reason relative
to the number of banks in operation is about the same.
No recent tabulation of the reasons for voluntary liquidations of banks
is available, but it appears that in most cases such liquidations reflect
unprofitability, or a management succession problem, combined with
inability to find a purchaser. A tabulation of reasons for voluntary liquida­
tions of national banks from 1941 through 1950 supports this conclusion.2
In summary, an analysis of bank changes after 1920 shows a much
higher degree of stability since 1933 than during the preceding 13-year
period. The rapid decline in number of banks ceased abruptly in 1934 as
many banks closed during the depression were reopened. Since that time
1 Absorptions facilitated by financial aid of the Federal Deposit Insurance Corporation are included
with suspensions, and excluded from the figures for absorptions, consolidations, and mergers in Table 18.
2 Bank Mergers and Concentration of Banking Facilities, a Staff Report to House Committee on the
Judiciary, op. cit., p. 18.




38

FEDERAL DEPOSIT INSURANCE CORPORATION

all elements affecting bank changes have been of lesser magnitude than
during the 1920’s and early 1930’s, with the greatest difference being
that between bank suspensions during the two periods. The organization
of new banks has substantially exceeded the number of banks placed in
voluntary liquidation or closed because of financial difficulties. The
banking facilities which were not uneconomic but were lost in the de­
pression have been replaced. Nevertheless, there was a slow and small
decline in the total number of banks, attributable to bank absorptions.
Character of changes in number of branches, 1921-1959. Changes
in number of branches have been different from changes in number of
banks. In 1921 there were about 32,500 banking offices, including both
commercial and mutual savings banks, in the entire United States, of
which about 1,500 were branches. At the end of 1959 there were about
24,200 banking offices, including over 10,200 branches.
Except for a relatively small decline during the early 1930’s the number
of branches has grown in each year of the period, 1921-1959. Since
World War II there has been a noticeable acceleration in this growth,
reflected in the fact that in recent years the number of branches has been
increasing at between 8 and 9 percent per year, compared to an increase
of about 4 percent per year during the immediate post-war years.
From 1933 to 1959 growth in number of branches more than offset
the decline in number of banks, so that the total number of banking offices
increased by more than 30 percent. Though the number of banking offices
increased by nearly 6,000 during that period, the total at the end of 1959
was less than three-fourths of the number in 1921. However, in recent
years the growth in banking offices has been keeping pace with, or ex­
ceeding, the growth in population.
Growth in number of branches is due principally to the opening of
new offices. For the entire period, 1934-1959, six times as many branches
were opened as were discontinued. Within recent years the number of
branches opened has approached 800 per year. Approximately threefourths of all branches opened during the years, 1934-1959, were new
offices, and one-fourth were at the locations of absorbed banks. For that
period as a whole approximately two-thirds of the absorbed banks were
continued in operation as branches of the absorbing bank, though in
recent years this proportion has been about nine out of ten. Thus bank
absorptions now have comparatively little effect on changes in the number
of banking offices, a different situation than prior to 1934, when only a
few of the absorbed banks were continued as branches.
Much of this growth in the number of branches would not have been
possible without changes in legislation regarding establishment of branches.
Since 1920 many of the States have enlarged the areas within which



CHARACTER OF BANK AND BRANCH CHANGES

39

branches are permitted, and a few abolished laws prohibiting branch
banking. The pressure for changed banking laws and the actual growth
in the number of branches are both traceable to the same set of forces.
The most important underlying reason for the expansion in the number
of branches has been a need for additional banking facilities. Whereas
many parts of the nation were doubtless over-banked in 1921, by the
end of 1933 an under-banked situation existed in many places as a con­
sequence of the disappearance during the preceding four years of about
40 percent of the nation’s banks. Some of the States in which bank
suspensions had left many communities without adequate banking facili­
ties and which had previously prohibited branch banking changed their
banking codes to permit branches, at least for limited types of business.
With the continued, though much slower, decline in the number of banks
after 1934 additional branch offices were opened. However, at the end
of World War II there were fewer banking offices in the United States
than in 1934. During the intervening years there had been substantial
increases in both population and national output, so that the accelerated
growth in the number of branches since the end of World War II may be
viewed as representing primarily a response to a need for banking facili­
ties that had been accumulating since the depression of the 1930’s.
An additional aspect of population growth which in recent years has
been of particular importance to branch banking has been the great
development of suburbs and expansion of metropolitan areas in many
parts of the country. Except in States where branch banking is prohibited,
this has led to the development of suburban business centers in which
banks have found it advantageous to operate branches. Existing banks
are usually desirous of opening branches in such areas prior to the time
when an independent bank would appear to be profitable enough to
stimulate its promotion. In addition, city banks have found that they
need branches with parking facilities and drive-in windows that cannot be
provided at their head office locations.
To some extent the increase in demand for banking facilities has
been met by the organization of new banks. However, many places
which are unable to support an independent bank can support a branch,
sometimes doing only a limited business. More strict requirements of
banking legislation and chartering authorities, in comparison with the
period before 1920, make establishment of new banks more difficult in
many instances.
In States permitting Statewide branch banking and to some degree
in those permitting branches in limited areas, the growth in number of
branches may also reflect intense competition between two or more
large branch banking systems. This has led to aggressive drives for
branch locations, including absorptions of unit banks. In such situations



40

FEDERAL DEPOSIT INSURANCE CORPORATION

competition may lead to establishment of a branch in an area of potential
economic growth, thereby reducing the need for and making more difficult
the establishment of a unit bank when the community achieves the size
needed for profitable operation.

B an k C hanges

by

St a t e

Table 19 shows for selected years— 1880, 1900, 1920, 1934, and 1958—
the number of banks in each State, and for the latter three of these years
the number of banking offices. Table 20 shows for the same years the
population per bank and per banking office in each State. Table 21 gives
for each State the change in number of banks for three periods— 1900
to 1920, 1920 to 1934, and 1934 to 1958—and in number of branches for
the last two of these periods. Table 22 shows percentage changes in
number of banks and number of banking offices in each State for the
same periods.
Changes in num ber o f banks by State, 1880-1958. When the
growth in the number of banks prior to 1920 is looked at by States, it
becomes evident that this growth was largely concentrated in the agri­
cultural States of the Great Plains. Nine States of this area accounted
for 45 percent of the net increase in number of banks between 1900 and
1920 in the entire United States. The extent to which the rapid increase
in number of banks reduced the potential clientele of individual banks is
indicated by the population per bank. In 1880 there was one State and
in 1900 four States with fewer than 2,500 persons per bank. By 1920 there
w
e>re thirteen States with less than 2,500 people per bank, all of them
in the Great Plains and Rocky Mountain areas. The State with the lowest
figure was North Dakota, with a bank for every 720 persons.
To a considerable degree the decline in number of banks between
1920 and 1934 was also concentrated in the agricultural States of the
Great Plains, with the largest reductions in the nine States having
the largest increases of the preceding twenty years. These States—Illinois,
Io wa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Oklahoma,
and Texas—accounted for 50 percent of the net decrease in number of
banks in the entire United States from 1920 to 1934.
The tremendous reduction in the number of banks between 1920 and
1934 reversed the trend toward more and more States with a small
number of persons per bank, and raised the population per bank in almost
every State. However, the data by States do not indicate that the conse­
quence was an unduly small number of banks in any part of the country
in comparison with the situation prior to 1900. In 1934, as in 1900, there
were three States with a population per bank above 15,000, but in 1880
there had been fourteen States in this category. In 1934, as in 1900, there



BANK CHANGES BY STATE
T a b le 1 9 .

N

umber of

B anks

and

41

B a n k i n g O f f ic e s , S e l e c t e d Y

ears, b y

St a t e

Number of
banking offices1

Number of banks1
State
1880

1900

1920

1934

1958

1920

1934

1958

Entire United States2..................

6,110

13,067

30,962

16,128

14,060

32,282

19,360

23,553

Continental United States. . . .

6,110

13,053

36,909

16,084

14,018

32,190

19,262

23,305

Alabama.........................................
Arizona...........................................
Arkansas........................................
California.......................................
Colorado........................................
Connecticut.................... ..............
Delaware........................................

39
2
14
107
45
199
24

107
21
125
287
118
205
25

352
87
487
717
403
237
41

221
19
241
272
165
199
49

239
8
237
124
181
151
29

372
108
493
896
403
251
57

237
37
248
1,078
165
209
62

301
151
272
1,590
187
353
75

District of Columbia...................
Florida............................................
Georgia...........................................
Idaho...............................................
Illinois.............................................
Indiana...........................................
Iowa................................................

7
8
81
6
489
239
370

20
38
223
40
990
489
1,140

45
263
779
222
1,969
1,057
1,922

22
150
342
63
891
548
663

13
280
410
28
946
463
670

49
265
804
222
1,969
1,060
1,922

52
150
369
89
891
587
759

73
293
486
109
950
711
833

Kansas............................................
Kentucky.......................................
Louisiana........................................
Maine..............................................
Maryland.......................................
Massachusetts..............................
Michigan........................................

153
134
25
136
77
482
245

487
314
78
150
141
468
521

1,349
584
267
162
260
526
851

741
441
149
105
201
404
479

593
360
186
87
149
356
393

1,349
585
347
194
319
526
1,069

741
466
203
164
298
548
621

607
476
342
210
390
777
886

Minnesota......................................
Mississippi.....................................
Missouri.........................................
Montana........................................
Nebraska.......... .............................
Nevada...........................................
New Hampshire...........................

114
31
212
10
78
16
117

619
113
676
56
516
10
116

1,515
332
1,652
431
1,225
33
126

686
213
703
120
447
10
113

687
194
613
115
423
6
109

1,515
356
1,652
431
1,227
33
127

692
248
703
120
450
15
114

693
318
617
116
425
39
113

New Jersey....................................
New Mexico..................................
New York......................................
North Carolina.............................
North Dakota...............................
Ohio.................................................
Oklahoma......................................

112
11
742
29
16
426

190
14
907
118
153
721
156

402
123
1,125
578
899
1,145
960

426
42
934
246
207
707
414

283
53
561
203
155
609
387

423
128
1,354
624
899
1,251
960

543
44
1,615
317
209
876
414

670
96
1,935
615
182
1,174
402

Oregon............................................
Pennsylvania................................
Rhode Island................................
South Carolina.............................
South Dakota...............................
Tennessee......................................
Texas..............................................

9
623
115
34
(8)
54
111

78
795
90
137
205
183
410

277
1,482
48
461
679
548
1,681

106
1,133
33
133
212
334
947

56
750
17
144
172
298
971

278
1,518
93
476
679
579
1,681

136
1,242
74
159
215
383
947

221
1,465
124
272
226
481
994

Utah................................................
Vermont.........................................
Virginia...........................................
Washington...................................
West Virginia................................
Wisconsin.......................................
Wyoming.......................................

10
70
94
3
39
145
7

39
89
159
107
127
349
33

133
108
496
394
340
976
160

58
96
328
204
180
627
60

49
64
312
93
183
556
52

133
108
516
404
340
985
160

68
108
398
235
181
722
60

117
95
546
353
183
708
53

1 For 1880, 1900, and 1920, call dates nearest June 30, from sources described in Table 15; for 1934
and 1958, end-of-year call dates, from sources described in Table 16.
2 Including territories and other areas (except the Philippines).
* Included with North Dakota.

was no State with more than 25,000 persons per bank, though in 1880
there had been nine such States.1
1 In these comparisons the District of Columbia has been omitted because of its greater compara­
bility with metropolitan areas than with the States.




42

FEDERAL DEPOSIT INSURANCE CORPORATION

From 1934 to 1958 the changes in number of banks by State were
of great diversity. In twelve States the number of banks increased. In
only one State was there a reduction in the population per bank. In the

Table 20.

P o p u l a t io n P e r B a n k
Selected Y ea r s,

P e r B a n k in g O f f ic e ,
Sta t e

and
by

Population
per banking office1

Population per bank1

State
1880

1900

1920

1934

1958

1920

1934

1958

Entire United States..................

8,214

5.914

3,472

7,974

12,561

3,330

6,643

7,498

Continental United S tates.. . .

8,208

5,822

3,420

7,857

12,360

3,284

6,561

7.434

32,371

17,091
5,854
10,493
5,174
4,574
4,431
7,389

6,671
3,841
3,598
4,779
2,332
5,825
5,439

12,353 13,435
24,368 142.500
7,876
7,451
22,831 115,621
6,515
9,453
8,307 15,338
5,122 15,655

6.312
3,094
3,554
3,825
2,332
5,501
3,912

11,519
12,514
7,653
5,761
6,515
7,909
4,048

10,668

57,323
8,081
4,318
3,129
6,108

District of Columbia.
Florida.........................
Georgia........................
Idaho...........................
Illinois.........................
Indiana........................
Iowa.............................

25,374
33,686
19,039
5,435
6,294
8,277
4,390

13,936
13,909
9,512
4,044
4,870
5,146
1.958

9,724
3,682
3,717
1,945
3,294
2,772
1,251

25,591
10,573
8,787
7.619
8,705
6,066
3.775

63,462
15,864
9,312
23,643
10,453
9,894
4,212

8,930
3,655
3,602
1,945
3,294
2,765
1,251

10,827
10,434
8,144
5,393
8,705
5,663
3,298

11,301
15,160
7,856
6,073
10,409
6,443
8,388

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

K sas...........
an

6,510
12,303
37,597
4,771
12,142
3,699
6,681

3,019
6,838
17,713
4,630
8,426
5,994
4,647

1,312
4,138
6,736
4,741
5.576
7,324
4,311

2,483
6,161
14,872
7,810
8,532
10,743
9.775

3,568
8,556
16,720
10,943
19,839
13,657
20,015

1.312
4,131
5,183
3,959
4,544
7,324
3,432

2,483
5,830
10,916
5,000
5,755
7,920
7,539

3,486
6,471
9,094
4,533
7,579
6,257
8,878

Minnesota..........
Mississippi.........
Missouri..............
Montana.............
Nebraska............
Nevada...............
New Hampshire.

6,848
36,503
10,228
3,915
5,800
3,891
2,965

3,375
13,728
4,596
4,345
2,066
4,234
3,548

1.576
5,393
2,061
1,274
1,058
2,346
3,517

3,885
9,798
5,265
4,567
3,029
9,900
4,221

4,913
11,268
6,967
5,983
3,444
44.500
5,358

1,576
5,030
2,061
1,272
1,057
2,346
3,489

3,851
8,415
5,265
4,567
3,009
6,600
4,184

4,870
6,874
6,922
5,931
3,428
6,846
5,168

New Jersey........
New M exico.. . .
New York..........
North Carolina.
North Dakota. .
Ohio.....................
Oklahoma...........

10,099
10,869
6,850
48,267
8,448
7,507

9.914
13,951
8,014
16,049
2,086
5,766
5,067

7,850
2,930
9,231
4,428
720
5,030
2,113

9.620
11,190
13,905
13,602
3,213
9,573
5,734

20,314
15,887
28,929
22,409
4,194
15,345
5,904

7,461
2,815
7,670
4,101
720
4,604
2,113

7,547
10,682
8,041
10,555
3,182
7,726
5,734

8,581
8,771
8,387
7,397
3,571
7,960
5,684

Oregon...............
Pennsylvania. .
Rhode Island. .
South Carolina.
South Dakota..
Tennessee.........
Texas.................

19,418
6,874
2,404
29,281
28,562
14,340

5,302
7.927
4,762
9,783
1.959
11,042
7,436

2,828
5,884
12,592
3,652
937
4,266
2,774

9,557
8,615
20,667
13,609
3,198
8,228
6,426

31,661
14,801
51,471
16,694
4,064
11,641
9,657

2,818
5,744
6,499
3,537
938
4,038
2,774

7,449
7,859
9,216
11,384
3,153
7,175
6,426

8,023
7,577
7,056
8,838
3,093
7,212
9.434

Utah................
Vermont.........
Virginia...........
Washington. . .
West Virginia.
Wisconsin. . . .
Wyoming. . . .

14,396
4,746
16,091
25,038
15,857
9,072
2,969

7,096
3,861
11,662
4,842
7,550
5.928
2,804

3,379
3,263
4,656
3,443
4,305
2,697
1,215

9,086
3,750
7,729
8,034
10,028
4,829
3,950

17,653
5,813
12,612
29,774
10,760
7,083
6,154

3,379
3,263
4,475
3,358
4,305
2,672
1,215

7,750
3,333
6,369
6,974
9,972
4,194
3,950

7,393
3,916
7,207
7,844
10,760
5.562
6,038

Alabama
Arizona.........
Arkansas.. . .
California. . .
Colorado
Connecticut.
Delaware___

20,220

(*)

7,550
6,493
9,017
9,150
6.561
6,053

1 For 1880, 1900, and 1920 computed from number of banks and offices at call dates nearest June 30
and population at census dates; for 1934 and 1958 from number of banks and offices at end of year and
population estimates for July 1. Data for number of banks and offices from Table 19; for population,
from, various issues of Statistical Abstract o f the United States.
* Included with North Dakota.




BANK CHANGES BY STATE

43

remaining States there was a wide variation in the proportionate change
in number of banks, and considerable differences in the rate of growth
of population. As a consequence, by 1958 population per bank ranged
from about 3,400 in Nebraska to 142,000 in Arizona.

T able 21.

C hange in N umber of B anks and B ranches ,
Selected P eriods , by State
Change in number of banks1

Change in number
of branches1

State
1900 to
1920

1920 to
1934

1934 to
1958

1920 to
1934

1934 to
1958

Entire United States..................................

17,895

-14,834

-2,068

1,912

6,261

Continental United S tates......................

17,856

-14,825

-2,066

1,897

6,109

Alabama.......................................................
Arizona..........................................................
Arkansas.......................................................
California......................................................

-131
-6 8
-246
-445
-238
-38
8

18
-11
-4
-148
16
-48
-20

-4
—
3
1
627

Connecticut.................................................
Delaware.......................................................

245
66
362
430
285
32
16

46
125
28
660
6
192
83

District of Columbia.................................
Florida...........................................................
Georgia..........................................................
Idaho.............................................................
Illinois...........................................................
Indiana..........................................................
Iowa...............................................................

25
225
556
182
979
568
782

-23
-113
-437
-159
-1,078
-509
-1,259

-9
130
68
-35
55
-85
7

26
-2
2
26

Kansas...........................................................
Kentucky......................................................
Louisiana......................................................
Maine............................................................
Maryland......................................................
Massachusetts.............................................
Michigan.......................................................

862
270
189
12
119
58
830

-608
-143
-118
-5 7
-59
-122
-372

-148
-81
37
-18
-52
-48
—
86

Minnesota............................... .....................
Mississippi....................................................
Missouri........................................................
Montana.......................................................
Nebraska..................................................
Nevada..........................................................
New Hampshire..........................................

996
219
976
375
709
23
10

-829
-119
-949
-311
-778
-23
-13

1
-19
-9 0
-5
-24
-4
-4

6
11

New Jersey...................................................
New Mexico.................................................
New York.....................................................
North Carolina............................................
North Dakota..............................................
Ohio................................................................
Oklahoma............. ........................................

212
109
218
460
746
424
804

24
—
81
-191
-332
-692
-438
-546

-143
11
-373
-43
-52
-98
-2 7

96
-3
452
25
2
63

270
41
693
341
25
896
15

Oregon...........................................................
Pennsylvania...............................................
Rhode Island...............................................
South Carolina............................................
South Dakota..............................................
Tennessee......................................................
Texas.............................................................

199
687
-42
324
474
865
1,271

-171
-349
-15
-328
-467
-214
-734

-50
-883
-16
11
-40
-86
24

29
73
-4
11
3
18

185
606
66
102
51
134
23

Utah...............................................................
Vermont........................................................
Virginia.........................................................
Washington..................................................
West Virginia...............................................
Wisconsin.....................................................
Wyoming......................................................

94
19
837
287
213
627
127

-75
-12
-168
-190
-160
-349
-100

-9
-32
-16
-111
3
-71
-8

10
12
50
21
1
86

58
19
164
229
-1
57
1

-4
-3

36
96

80
13
49
55
4
209
67

24
-26
27
88
144
-76

14
91
102
64
144
277
351

1
5

89
4
1
-1
28
8

1 Computed from number of banks in Table 19, for dates near June 30, 1900 and 1920, and at end
of year, 1934 and 1958; changes in number of branches computed from data for the same dates. Branches
include facilities established in or near military or other Federal Government installations at request
of the Treasury or Commanding Officer of the installation.




44

FEDERAL DEPOSIT INSURANCE CORPORATION

Changes in number of hanking offices by State. Both in 1934
and in 1958 there was a narrower range in the population per banking
office than in population per bank. In 1958, population per office ranged
from about 3,100 in South Dakota to 15,100 in Florida. In 1934, the range

Table 22.

P e r c e n t a g e C h a n g e in N u m b e r o f B a n k s
Se l e c t e d P e r io d s , b y St a t e

and

B a n k i n g O f f ic e s ,

Percentage change in
number of banking
offices1

Percentage change in number
of banks1

State
1900 to
1920

1920 to
1934

1934 to
1958

1920 to
1934

1934 to
1958

Entire United States...............................

136.9

-47.9

-12.8

-40.0

Continental United States........ ..........

136.8

-48.0

-12.8

-40.2

21.0

A1abama........................................................
Arizona.........................................................
Arkansas.......................................................
California.....................................................
Colorado.......................................................
Connecticut..................................................
Delaware.......................................................

229.0
314.3
289.6
149.8
241.5
15.6
64.0

-37.2
-78.2
-50.5
-62.1
-59.1
-16.0
19.5

8.1
-57.9
-1.7
-54.4
9.7
-24.1
-40.8

-36.3
-65.7
-49.7
20.3
-59.1
-16.7
8.8

27.0
308.1
9.7
47.5
13.3
68.9
21.0

District of Columbia..................................
Florida..........................................................
Georgia..........................................................
Idaho.............................................................
Illinois...........................................................
Indiana..........................................................
Iowa...............................................................

125.0
592.1
249.3
455.0
98.9
116.2
68.6

-51.1
-43.0
-56.1
-71.6
-54.7
-48.2
-65.5

-40.9
86.7
19.9
-55.6
6.2
-15.5
1.1

6.1
-42.6
-54.1
-59.9
-54.7
-44.6
-60.5

40.4
92.8
31.7
22.5
6.6
21.1
9.7

Kansas...........................................................
Kentucky......................................................
Louisiana......................................................
Maine............................................................
Maryland.....................................................
Massachusetts.............................................
Michigan......................................................

177.0
86.0
242.3
8.0
84.4
12.4
63.3

-45.1
-24.5
-44.2
-35.2
-22.7
-23.2
-43.7

-20.0
-18.4
24.8
-17.1
-25.9
-11.9
-18.0

-45.1
-20.3
-43.5
-15.5
-6 .6
4.2
-41.9

-18.1
2.1
68.5
28.0
30.9
41.8
42.7

Minnesota................................................
Mississippi....................................................
Missouri........................................................
Montana....................... ...............................
Nebraska......................................................
Nevada..........................................................
New Hampshire..........................................

191.9
193.8
144.4
669.6
137.4
230.0
8.6

-54.7
-35.8
-57.4
-72.2
-63.5
-69.7
-10.3

-8.9
-12.8
-4 .2
-5 .4
-40.0
-3 .5

.1

-54.3
-30.3
-57.4
-72.2
-63.3
-54.5
-10.2

.1
28.2
-12.2
-3.3
-5 .6
160.0
-.9

New Jersey...................................................
New Mexico...............................................
New York........................... .........................
North Carolina............................................
North Dakota.............................................
Ohio...............................................................
Oklahoma.....................................................

111.6
778.6
24.0
389.8
487.6
58.8
515.4

6.0
-65.9
-17.0
-57.4
-77.0
-38.2
-56.9

-33.6
26.2
-39.9
-17.5
-25.1
-13.9
-6.5

2S.4
-65.6
19.3
-49.2
-76.8
-30.0
-58.9

23.4
118.2
19.8
94.0
-12.9
34.0
-2.9

Oregon...........................................................
Pennsylvania...............................................
Rhode Island...............................................
South Carolina............................................
South Dakota.............................................
Tciiinessee.....................................................
Texas.............................................................

255.1
86.4
-46.7
236.5
231.2
199.5
310.0

-61.7
-23.5
-31.3
-71.1
-68.8
-39.1
-43.7

-47.2
-33.8
-48.5
8.3
-18.9
-10.8
2.5

-51.1
-18.2
-20.4
-66.6
-68.3
-33.9
-43.7

62.5
18.0
67.6
71.1
5.1
25.6
5.0

Utah...............................................................
Vermont........................................................
Virginia.........................................................
Washington..................................................
West Virginia..................... .........................
Wisconsin............................................... ..
Wyoming............................................

241.0
21.3
211.9
268.2
167.7
179.7
384.8

-56.4
-11.1
-33.9
-48.2
-47.1
-35.8
-62.5

-15.5
-33.3
-4.9
-54.4
1.7
-11.3
-13.3

-48.9
-22.9
-41.8
-46.8
-26.7
-62.5

72.1
-12.0
37.2
50.2

21.7

1.1
-1 .9
-11.7

1 Computed from number of bank3 and offices in Table 19, for dates near June 80, 1900 and 1920,
and at end of year, 1934 and 1958.




45

BANK CHANGES BY STATE

was rather similar, from 2,500 in Kansas to 12,500 in Arizona. These
differences between the changes in population per bank, on the one hand,
and population per office, on the other, are, of course, the result of rapid
expansion of branch banking in some States and its absence or limited
development in other States.
The differences among the States in the development of branch banking
have been decisively influenced by State legislation. Statewide branch
banking has become prevalent in nearly a third of the States; limited
area branch banking, largely within county limits, has become prevalent
in a third of the States; and unit banking remains predominant in more
than a third of the States. Table 23 shows the States in each of these
categories at the end of 1958, together with a sub-classification and with
notes regarding variations among State laws respecting places in which
branches may be located.
T able 23.
and

C l a s s i f i c a t io n o f S t a t e s A c c o r d in g t o S t a t u s o f B r a n c h B a n k i n g
L o c a t io n a l R e q u ir e m e n t s f o r B r a n c h e s , D e c e m b e r 31, 19581

Statewide branch
banking prevalent2
Without
locational
limitations1

Arizona
California
Delaware
Maryland
Nevada
North Carolina
Rhode Island
South Carolina
Vermont

With some
locational
conditions4

Connecticut
Idaho
Oregon
Utah
Washington

Limited area branch
banking prevalent
Countywide6

Indiana
Kentucky
Louisiana
Massachusetts
Michigan
New Jersey
New Mexico
Ohio
Tennessee

Other6

Alabama
District of
Columbia
Georgia
Maine
Mississippi
New York
Pennsylvania
Virginia

Unit banking prevalent
throughout the State
With limited
branch
banking7

Arkansas
Iowa
Kansas
North Dakota
Oklahoma
South Dakota
Wisconsin

Without
branch
banking^

Colorado
Florida
Illinois
Minnesota
Missouri
Montana
Nebraska
New Hampshire
Texas
West Virginia
Wyoming

1 Capital requirements, and those pertaining to approval by the supervisory authority, are not
considered in this classification. Minor locational requirements in a few States, such as a requirement
that any branch established shall be within the limits of a city or incorporated town, are also neglected.
For the most part, the classification is also applicable to the major part of period since Dec. 31, 1920.
* Several of these States did not permit branches prior to 1933.
* Capital requirements according to location of branch are not included here as locational require­
ments.
4 The locational conditions in these States are each different, but all follow the principle that a
branch can be established in a place outside of the head office town or county which has an operating
bank only by absorption of an existing bank.
6 In Kentucky, Massachusetts, and New Jersey establishment of a branch outside of the parent
bank’s head office town or municipality is limited to specified conditions, such as through absorption
or in a place with no bank or with one under liquidation. In Louisiana, Michigan, and New Mexico,
a branch may be established in an adjoining county or within a certain distance from the parent bank,
under specified similar conditions.
« Alabama: within the head office county in eleven counties and within the head office city in two
other counties. District of Columbia: throughout the District (classified in this category because Districtwide branch banking is more comparable to countywide or citywide branch banking than to state­
wide branch banking). Georgia: within head office city in the two largest cities, and throughout the
State if established prior to 1927. Maine: within head office county or contiguous county. Mississippi:
limited function offices within head office county or contiguous county, but not in a place under 3,500
opulation with an existing office; other branches under more stringent restrictions. New York: within
ead office city or district (each district consisting of 3 to 15 counties), but in a city or village with an
operating bank only through absorption of a bank. Pennsylvania: within head office county or con­
tiguous county or by absorption of an existing bank. Virginia: within head office city or county.
7 Limited function offices permitted within specified distance from head office or in a place with no
operating bank within the head office county or contiguous county, to be closed (in most cases) upon
establishment of a bank; and in Wisconsin, only if established prior to 1947. In South Dakota, other
branches upon absorption of a bank, without locational restrictions.
8 The few branches in these States were established prior to existing prohibitory legislation or
under unusual circumstances.

E




46

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 24.
A

C o m m e r c i a l B a n k s a n d B r a n c h e s , 1920 a n d 1958, i n S t a t e s G r o u p e d
S t a t u s o f B r a n c h B a n k i n g a t t h e E n d o f 1958,
b y M e t r o p o l it a n a n d O t h e r A r e a s

c c o r d in g t o t h e

Number of banks
Status of branch banking and
type of area

Number of
branches

Change from
1920 to 1958

Dec. 31, June 30, Dec. 31, June 30,
1958
1920
19581
1920

Banks

Branches

Continental United States— to ta l............

30,434

13,483

1,252

8,253

-16,951

7,001

Metropolitan area counties2...................
Other counties..............................................

6,329
24,105

3,201
10,282

847
405

5,476
2,777

-3,128
-13,823

4,629
2,372

States with statewide branch banking:*
9 States without locational limitations:
Metropolitan area counties......................
Other counties.............................................

734
1,598

202
523

168
174

1,547
821

-532
-1,075

1,879
647

5 States with some locational limitations:
Metropolitan area counties......................
Other counties.............................................

289
888

120
182

4
8

315
379

-169
-706

311
371

States with limited area branch banking
prevalent:*
9 States with countywide branch banking
prevalent:
Metropolitan area counties......................
Other counties.............................................

1,494
3,802

796
1,993

408
97

1,742
579

-698
-1,809

1,334
482

7 States and D .C . with other limited area
branch banking prevalent:4
Metropolitan area counties......................
Other counties.............................................

1,711
2,911

762
1,666

258
114

1,801
617

-949
-1,245

1,548
503

States with unit banking prevalent through­
out the State:*
7 States with limited branch banking:5
Metropolitan area counties......................
Other area counties....................................

610
6,723

320
2,441

8
8

61
377

-290
-4,282

53
369

11 States without branch banking:8
Metropolitan area counties......................
Other area counties...................................

1,491
8,183

1,001
3,477

1
4

10
4

-490
-4,706

9

1 Excluding trust companies not regularly engaged in deposit banking and “ facilities" at Federal
Government establishments.
* Includes all metropolitan areas in continental United States a3 defined by the Bureau of the Budget,
January 15, 1957, except that in States where metropolitan areas are defined in terms of cities and towns
(Connecticut, Maine, Massachusetts, New Hampshire, and Rhode Island) counties with the majority
of their population in the metropolitan portions are included in lieu of the specified cities and towns.
Metropolitan area counties include the District of Columbia and 295 counties and independent cities
out of 3,102 counties and independent cities in continental United States.
* For the States in each group see Table 23.
4 For the branch banking areas see note 6 to Table 23.
* For the type of branches permitted see note 7 to Table 23.
* See note 8 to Table 23.

The growth of branch banking during the past quarter of a century
should not be regarded as a sequel to the great decline in number of
banks subsequent to 1920. The development of branch banking has oc­
curred, for the most part, in different States and in different areas within
States from those in which the decrease in number of banks was concen­
trated. Only 3 percent of the increase in number of branches from 1920
to 1958 was in the nine States which accounted for 50 percent of the great
reduction in number of banks from 1920 to 1934. The increase in branches
occurred chiefly in metropolitan areas; the decrease in banks in other
areas. This is indicated in Table 24, which compares the number of
commercial banks and branches in 1920 and 1958 in metropolitan and



B ANK CHANGES B Y STATE

47

other counties in States grouped according to the status of branch banking
as shown in the preceding table. Of the total reduction of nearly 17,000
in number of commercial banks between the end of 1920 and the middle
of 1958, nearly 14,000 were in counties not classified as metropolitan in
1958. In these counties the increase in number of branches during the
same period was less than 2,400. In contrast, the metropolitan counties,
with a decrease of about 3,100 in the number of banks from the end of
1920 to midyear 1958, showed an increase during the same period of
about 4,600 in the number of branches.
Between 1920 and 1958, the total number of commercial banking
offices in non-metropolitan counties declined by nearly 11,500; those in
metropolitan areas increased by 1,500. In 1920, 79 percent of all com­
mercial banks and 77 percent of all commercial banking offices were in
the non-metropolitan counties; in 1958, 76 percent of all commercial
banks but only 60 percent of all commercial banking offices were in the
non-metropolitan counties. That is, in 1920, 21 percent of the commercial
banks and 23 percent of commercial banking offices were in counties
that in 1958 were classified as metropolitan; while in the latter year, 24
percent of the commercial banks and 40 percent of their offices were in
the metropolitan areas.
A c c e s s ib il it y

of

B a n k in g O ffice s

Location of banking offices by size of center. The number of
localities in which there is only a single banking office is sometimes cited
as evidence of lack of competition. In using such figures careful attention
must be given to the ability of such places to support more than one
banking office. Table 25 gives a distribution of banking offices on June
30, 1958, according to the number of offices in the centers in which
they were located and the population of those centers. This table differs
from previous tabulations of this sort by treating each metropolitan
area, rather than each city or town in such metropolitan areas, as a
single center. In earlier tabulations, including those published in the
annual reports of the Federal Deposit Insurance Corporation, numerous
banking offices located in metropolitan areas, but not within the limits
of the principal city therein, were classified as located in a place with
only one or two banking offices, although in fact the patrons of such
offices had convenient access to other offices within the metropolitan
area. Those tabulations therefore gave an erroneous impression of the
number of places served by only one or two banking offices.
It will be noted from this table that on June 30, 1958, 7,703 of the
21,736 commercial banking offices in the continental United States,
excluding “ facilities” at Federal Government establishments, were
located in population centers with only one banking office. Put another



48

FEDERAL DEPOSIT INSURANCE CORPORATION

way, there were 7,703 population centers with only one banking office
each. However, almost all of these centers had a population of less than
5,000 and three-fifths of such centers had a population of less than 1,000;
some of them had less than 250 people. Thus although it is statistically
correct to say that in each of these centers there was only one office
available to provide banking services, this fact must be tempered by
the realization that in most communities of this size it is probably im­
practicable, because unprofitable, for more than one banking office to
operate successfully. Nevertheless, the figures do suggest that some
population centers may be “ underbanked” in the sense that an increase
in banking facilities could be supported and would be advantageous to
the communities. However, no final conclusion can be drawn with re­
spect to the need for additional facilities in any particular case without
going beyond the data available in this table to consider such questions
as the existing availability of banking facilities in nearby communities.
Table 25.

N

O p e r a t i n g O f f ic e s o f 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 n i t e d S t a t e s , J u n e 30, 1958

um b er of

in th e

g r o u p e d b y n u m b e r o f c o m m e r c ia l b a n k i n g o f f ic e s

AND POPULATION OF CENTER IN WHICH LOCATED
Offices in centers or metropolitan areas with—
Population of center
or metropolitan area

All
offices1

All banking offices1...........

21,736

7,703

3,412

921

472

644
4,116
4,843
2,848
860
3,024
2,723
2,678

642
3,950
2,919
192

2
160
1,788
1,422
40

6
120
675
120

16
308
148

In centers or m etro­
politan areas with
population of—
Less than 250................
250 to 1,000....................
1.000 to 5,000. ...............
5.000 to 25,000..............
25.000 to 100,000...........
100.000 to 500,000.........
500.000 to 2,500,000 . . .
2.500.000 or more.........

2
1
4
6
7 or 8 9 to 19 20 or
5
3
office offices offices offices offices offices offices offices more
offices

220

204

217

872

135
80
5

66
132
6

50
132
35

208
664

7,715

2,314
2,72S
2,678

1 Excludes trust companies not regularly engaged in deposit banking and “ facilities” at military
o:r other Federal Government establishments.

Counties without banking facilities. The importance of considering
the availability of banking facilities in nearby communities, when ex­
amining the need for such facilities in a place with only one banking office
or none, may be illustrated by some of the counties in the nation with
no banking office. In June 1958, there were 62 such counties, ranging in
population in 1950 from 241 to over 17,000. The five with the largest
populations in 1950 were as follows:
Alleghany County, Virginia, with a population of 17,000, is served by banks in an
independent city (Covington) almost in its center, and another (Clifton Forge) at ite
border.1




ACCESSIBILITY OF BANKING OFFICES

49

Sandoval County, New Mexico, with a population of 12,000, is situated north of
Albuquerque and west of Santa Fe, both of which are in adjoining counties near the
borders of Sandoval County, with the most populous portion of Sandoval in its south­
eastern corner directly between those two cities.
Spotsylvania County, Virginia, with a population of 12,000, has the independent
city of Fredericksburg on its northeastern border.1
Torrance County, New Mexico, with a population of 8,000, has its populous portion
in its western side, which adjoins Bernalillo County in which Albuquerque is located.
Oconee County, Georgia, with a population of 7,000, is a small county not far from
Athens, located in an adjoining county.

In all these cases, it is apparent that the size of population of the
county cannot be used as a criterion for concluding that banking services
are inadequate, though the availability of banking services in nearby
cities also cannot be taken as conclusive evidence that banking services
are reasonably available and adequate.

R e l a t iv e P o sit io n

of

B anks

The concern which has been expressed over the decline in number of
banks has been accompanied by anxiety about concentration of banking
services, for the nation as a whole or in various sections or localities, in
the hands of a relatively small number of banks. To understand what
changes have occurred, it is necessary to distinguish between various
aspects of concentration and to make use of tabulations not hitherto
available.
Increasing size of banks. The generally larger size of banks in
recent years as compared with that of a quarter of a century ago, and the
accompanying greater numbers and percentages of the banks in the
upper categories and the reduced numbers and percentages in the smaller
categories of standardized size groups, have been cited as an indication
of increasing concentration in banking.2 Such data, however, may reflect
normal growth or wartime expansion without indicating any change in
concentration. In a growing economy banks furnish the largest part of the
money supply and therefore should be expected to grow in size, and in
wartime the government may pursue financial policies resulting in an
abnormal rate of expansion of bank assets and deposits. The growth in
average size of banks in the United States has been due primarily to
these factors. For example, the average commercial bank increased in
size from $2.6 million deposits in 1934 to $16.0 million in deposits at
the end of 1958. If there had been no change in number of banks during
this period the average size of a commercial bank would have increased
1 In Virginia, counties and independent cities are mutually exclusive areas, and county tabulations
therefore exclude data for cities which are adjacent to or surrounded by a county.
*
Bank Mergers and Concentration of Banking Facilities, Staff report to House Committee on the
Judiciary, op. cit., pp. 25-26.




50

FEDERAL DEPOSIT INSURANCE CORPORATION

to $13.9 million, or more than five times as large as in 1934. The growth
in average size of banks has therefore been dependent to only a minor
extent upon the decrease in number of banks. As an indicator, therefore,
banks with, say, $100 million of deposits in 1934 should be compared
with banks of more than $500 million of deposits in 1958.
It is possible, of course, for concentration to increase even though the
average size of banks merely keeps pace with the expansion of the banking
system as a whole. That is, banks toward the lower end of the size scale
may be smaller relative to the average, and those toward the upper end
of the size scale larger relative to the average, than at some former time.
The hundred and the ten largest banks. A measure of change in
the relative position of banks frequently used is the change in the pro­
portion of total commercial bank deposits held by a selected number,
such as 100 or 10, of the largest commercial banks. This avoids the use of
banks in standardized size groups. Use of this measure indicates that
concentration increased during the 1920’s and 1930's, decreased during
the 1940’s, and was approximately unchanged during the 1950’s. This
is shown by Table 26 which gives for selected years from 1920 to 1958 the
percentage of deposits of all commercial banks in continental United
States held by the largest 100 and the largest 10 banks.1 At the end of
1958, by number, the 100 largest banks comprised 0.74 percent, and the
10 largest 0.074 percent of all commercial banks in continental United
States. The 100 largest held 46 percent and the 10 largest 20 percent of
the deposits of all commercial banks. These ratios are slightly higher
than in 1949, but substantially below those in 1934 and 1940.
Data for a given number of the largest banks do not give as accurate
a measure of concentration as those for a selected percentage of the
banks. The lower part of Table 26, therefore, gives the proportion of
deposits of all commercial banks held by the largest one-half of 1 percent,
and by the largest one-tenth of 1 percent, of such banks. These figures
substantiate the conclusion that there was less concentration of the
banking business in the largest banks in 1958 than in 1929 or 1940.
Group banking. The degree of concentrated control of banking in
the United States is somewhat greater than the figures in the preceding
table indicate. This is because of the development, over a period of
several decades, of group and chain banking. Group banking refers to
control through stock ownership by a corporation, trust, or similar
organization; chain banking to ownership of stock in a number of banks
by one individual, or one family, or by a small group of persons.2 Data
1
It is also supported by annual tabulations based on deposits of large banks as published in The
American Banker, though such tabulations, because of the inclusion of deposits of foreign branches,
exaggerate by about one percentage point the proportion of deposits of all commercial banks held by
the largest banks.
s Federal Reserve Committee on Branch, Group and Chain Banking, Banking Groups and Chains
(mimeographed, 1932); and Federal Reserve Bulletin, February 1938, p, 92.




RELATIVE POSITION OF BANKS

51

for banking chains are not available for recent years, and those for earlier
years are not as satisfactory as for groups.

Table 26.

R

I m p o r t a n c e o f t h e L a r g e s t 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 n i t e d S t a t e s , D e c e m b e r 31,
S e l e c t e d Y e a r s , 1920-1958

e l a t iv e

in

Bank group

1920

1929

1934

1940

1949

1958

All commercial banks
Number.........................................................
Deposits (millions)....................................

30,444
$35,947

24,287
$51,282

15,518
$40,060

14,477
$65,431

14,156
$145,174

13,499
$215,995

Largest 100 banks
Percent of number of all commercial
banks.........................................................
Deposits (millions).....................................
Percent of deposits of all commercial
banks.........................................................

0.33%
0)

0.41%
$21,506

0.64%
$21,462

0.69%
$37,081

0.71%
$64,611

0.74%
$98,731

0)

41.9%

53.6%

56.7%

44.5%

45.7%

$3,481

$8,400

$9,169

$17,244

$27,505

$42,939

9.7%

16.4%

22.9%

26.4%

18.9%

19.9%

Largest 10 banks
Deposits (millions).....................................
Percent of deposits of all commercial
banks.........................................................
Largest bank
Deposits (millions).....................................
Percent of deposits of all commercial
banks.........................................................

$699

$1,314

$1,629

$3,466

$5,656

$9,928

1.9%

2 .6 %

4.1%

5.3%

3.9 %

4 .6 %

Largest % of 1 percent of the banks
Number of banks........................................
Deposits (millions).....................................
Percent of deposits of all commercial
banks.........................................................

152
(l)

121
$22,555

78
$20,135

72
$34,159

71
$58,519

67
$87,333

0)

44.0%

50.3%

52.2%

40.3%

40.4%

Largest 1 /10 of 1 percent of the banks
Number of banks........................................
Deposits (millions).....................................
Percent of deposits of all commercial
banks.........................................................

30
0)

24
$13,315

16
$11,897

14
$20,360

14
$32,607

13
$48,305

(»)

26.0%

29.7%

31.1%

22.5%

22.4%

1 Not available.

Table 27.

R e l a t iv e I m p o r t a n c e o f t h e L a r g e s t C o m m e r c ia l B a n k s
G r o u p s , C o n t i n e n t a l U n i t e d S t a t e s , D e c e m b e r 31, 1934, 1940 a n d
Bank group

1934

1940

or

B ank

1958
1958

All commercial banks or bank groups
Number..........................................................................................
Deposits (millions).......................................................................

15,006
$40,060

14,099
$65,431

13,097
$215,995

Largest 100 banks or bank groups
Percent of all commercial banks or bank groups.................
Deposits (millions).......................................................................
Percent of deposits of all commercial banks.........................

0.67%
$22,718
56.7%

0.71%
$38,843
59.4%

0.76%
$105,961
49.1%

Largest 10 banks or bank groups
Deposits (millions)......................................................................
Percent of deposits of all commercial banks.........................

$9,501
23.7%

$17,577
26.9%

$44,708
2 0.7%

Largest Vi of 1 percent of the banks or bank groups
Number of banks or groups......................................................
Deposits (millions)......................................................................
Percent of deposits of all commercial banks.........................

75
$21,253
53.1%

70
$35,800
54.7%

65
$93,509
43.3%

Largest 1/10 of 1 percent of the banks or bank groups
Number of banks or groups.......................................................
Deposits (millions).......................................................................
Percent of deposits of all commercial banks.........................

15
$11,959
29.9%

14
$20,996
32.1%

13
$51,159
23.7%




52

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 27 shows for 1934, 1940, and 1958 measures of bank concen­
tration similar to those in the preceding table, except that the deposits
of banks that were members of a group have been tabulated as though
they were branches of the leading bank in the group.1 Tabulation of the
data in this way shows that at the end of 1958 one-half of 1 percent of
the banks or groups held 43 percent of the deposits of all commercial
banks, compared with 40 percent held by the same percentage of the
banks. Similarly, one-tenth of 1 percent of the banks and groups held
24 percent of the deposits of all commercial banks, compared with 22
percent held by the same percentage of the banks. The data available for
chains indicate that these percentages would be increased very little by
treating chains also as though they were branch systems.2 The data for
banks and groups, like those for banks, show considerably less concen­
tration in 1958 than in 1934 or 1940.
Relative position o f banks by States. It is well known that banking
concentration in the United States is far below that in other countries,
such as Canada, Great Britain, and Germany, where nationwide branch
banking is permitted. In the United States, similarly, there is a tendency
for the greatest concentration to occur in the States with statewide
branch banking. This is illustrated by Table 28, which shows for four
dates the percentages of deposits in the largest bank and the largest
five banks in each State, with the States grouped in three categories:
those in which statewide branch banking is prevalent, those in which
limited area branch banking is prevalent, and those in which unit banking
is prevalent throughout the State.
In the statewide branch banking States the largest five banks in 1958
held from 35 percent to 99 percent of the total deposits of all commercial
banks in the State. In States with limited area branch banking the cor­
responding range was from 25 percent to 52 percent and in the States
with unit banking predominant from 18 percent to 44 percent. In the
majority of the States with statewide branch banking the largest bank
alone held more than 30 percent of the total deposits of all commercial
banks in the State. In the States with limited area branch banking or
unit banking no bank held so large a proportion.
In all of the States except Florida, Louisiana, and New Hampshire,
there was a greater concentration of deposits in the largest bank, and
in the largest five banks, in 1958 than in 1920. However, most of this
increase occurred between 1920 and 1934, and almost all of it between
1920 and 1940. From 1940 to 1958 the percentage of all commercial bank
1 Tabulations by the Federal Deposit Insurance Corporation, with banks members of groups identifi«d from Federal Reserve records and other sources.
2 In 1939 and 1941 the deposits of chains for which information was available were 12 and 11 percent,
respectively, of the deposits of groups, though the number of chains was more than twice the number
of groups. Banking and Monetary Statistics (Board of Governors of the Federal Reserve System, 1943),
pp. 317-322.




RELATIVE POSITION OF BANKS

53

deposits in the largest bank declined in 31 States, remained the same in
1 State, and increased in 16 States. During the same period the percentage
of all commercial bank deposits in the largest five banks declined in 30
States, and increased in 18 States. Of the States with an increased con­
centration, whether measured by the largest bank or the largest five banks,
the majority were in the group with statewide branch banking prevalent.
Figures are also given in Table 28 to show for 1934,1940, and 1958 bank
concentration in each State if the members of any bank group in a State
are tabulated as a bank and branches in that State.1 These data differ
in one important respect from the tabulations by banks without regard to
group banking: they show much more concentration in some of the States
in which unit banking is predominant throughout the State. However,
they show the same results with respect to changes over time, namely,
that in most of the States the largest bank or bank group, and the largest
five banks or bank groups, held in 1958 smaller proportions than in
1940 of the deposits of all commercial banks in the State.
Relative position o f banks in leading cities or m etropolitan
areas. Another frequently used method of indicating bank concentration
pertains to the proportion of all bank assets or deposits in a given city
held by the largest bank, or by a few of the largest banks. A tabulation
of this kind was presented in a statement before the Senate Banking and
Currency Committee considering bank merger legislation.* Such a tabula­
tion spotlights those cities in which the degree of bank concentration
may seem excessive. However, such figures may be misleading because
they do not take into account banking facilities in the full metropolitan
areas of the respective cities.
In many cities, as in the majority of the States, there has been a de­
crease in banking concentration in recent years, even if no allowance is
made for the inclusion of metropolitan areas. Of the 53 cities included
in the tabulation as of June 30, 1956, presented to the Senate Banking
and Currency Committee, two-fifths had less bank concentration than on
June 30, 1936, whether the concentration is measured by the proportion
of assets held by the largest bank or by the largest five banks in the city.
If only the proportion of assets held by the largest bank is considered,
in over three-fifths of the cities the largest bank owned a smaller per­
centage of the assets in 1956 than in 1936. These findings have no bearing,
of course, on the question of whether there was an excessive degree of
concentration on either date in many cities; the point is simply that
measurements of this type for a single recent date may lead to the in­
ference that concentration in major cities is increasing, whereas the
facts do not warrant such a conclusion.
* Data are not available for making this kind of tabulation for 1920.
1 Regulation of Bank Mergers, Hearings before the Committee on Banking and Currency, United
States Senate, 86th Congress, 1st session, on S. 1062, p. 88.




Table 28* D eposits in th b L a rg est Commercial Bank, and in th e L a rg est Five Commercial Banks,
in Each State, 1920, 1934, 1940 and 1958
Percentage of all deposits
in the largest five banks or bank group1

Percentage of all deposits
in the largest bank or bank group1
State

Dec. 31,
1940

77.1
35.7
46.1
34.3
45.6
52.0
27.5
35.2
19.2
25.2
20.5
12.6
29.5
6.2

11.2
8.5
13.5
10.2
10.6
8.6
16.3
3.1
6.3
12.0
3.2
9.8
6.0
3.6
6.3
4.9

32.3
30.2
20.1
26.7
14.4
13.4
30.2
9.0
7.4
16.0
4.5
13.3
11.0
12.6
11.9
8.7

33.6 (38.6)
30.6
21.4
24.1
17.4
16.0
26.1
11.4 (18.5)
8.4
15.8
6.9
14.7
13.8 (14.5)
14.2
12.1
8.8

65.9 (75.4)
53.9
47.5
43.6
43.4
38.0
36.8
33.3
31.9 (32.9)
25.3
20.6
18.0
12.7
10.2

49.4
71.9
26.7
23.4
42.0
63.4
18.7
22.4
32.6
12.6
13.9
21.7
20.3
18.8

83.7
81.5
68.2
63.1
73.2
73.3
57.4
53.8
65.4
46.0
43.9
35.6
52.5
21.9

28.7
21.6
18.2
17.3 (21.1)
17.1
16.3
15.2
13.4
12.9
12.7
11.8
11.7
11.2
10.3
7.5
6.8

35.5
26.2
34.4
26.4
27.3
28.5
47.1
12.4
23.1
25.5
13.8
21.9
24.7
11.8
20.0
16.3

55.6
55.1
51.0
60.7
55.8
46.0
63.2
30.0
29.2
38.1
19.7
32.9
46.3
27.3
34.4
21.6

Dec. 31,
1940

Dec. 31,
1958

14 States with statewide branch banking prevalent
Nevada........................................... .............. ......................................
Rhode Island......................................................................................
Arizona.................................................................................................
California.............................................................................................
Oregon..................................................................................................
Delaware..............................................................................................
Idaho.....................................................................................................
Washington.........................................................................................
Utah......................................................................................................
South Carolina...................................................................................
North Carolina...................................................................................
Connecticut............................................................... .........................
Maryland.............................................................................................
Vermont...................................................... ........................................

(80.8)
(38.0)
(35.5)

(25.6)

(84.1)
(63.9)
(60.2)
(55.6)
(79.3)
(37.3)

91.3
79.6
85.3
65.2
87.3
81.3
68.0
69.1
61.6
51.3
48.4
38.7
55.3
22.6

(94.8)
(81.9)
(89.2)
(66.4)
(87.7)

57.7
57.7
54.5
61.7
54.3
51.7
59.1
32.9
29.3
38.3
22.2
36.6
48.7
29.5
35.2
21.9

(63.5)

(77.8)

98.5
96.2
98.8
75.9
89.1
86.1
85.9
72.3
77.6
51.1
47.1
53.5
48.4
35.4

(100.0)

50.4
51.0
40.8
48.1
46.3
52.1
39.6
37.3
40.5
32.9
28.3
32.2
40.3
27.4
27.5
24.6

(60.8)

(99.4)
(80.2)

(73.1)
(78.6)

16 States with limited area branch banking prevalent

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

ATftftg f^ > t.
fl h |
Michigan..............................................................................................
Alabama...............................................................................................
Georgia.................................................................................................
New Mexico........................................................................................
New York............................................................................................
Louisiana.............................................................................................
Pennsylvania......................................................................................
Maine...................................................................................................
Ohio......................................................................................................
Mississippi. .........................................................................................
Kentucky.............................................................................................
Tennessee............................ .. .............................................................
Virginia.................................................................................................
New Jersey..........................................................................................




(37.4)
(21.1)

(17.7)

(15.9)

(61.4)
(51.9)
(67.3)

(39.0)
(30.4)
(39.2)
(35.8)
(56.1)
(21.8)

(67.6)

(42.0)
(29.9)
(38.9)
(39.6)
(55.4)

(56.7)
(55.5)

(35.1)
(32.8)

CO R PO R ATIO N

52.9
38.9 (41.6)
25.8
29.9 (30.6)
40.6
35.2
29.7
24.9
19.1 (26.1)
14.2
19.2
11.8
30.7
5.8

Dec.
31,
1920

INSURANCE

12 5
30.7
6.4
6.9
11.9
23.6
4.9
5.5
8.3
5.0
5.8
4.6
4.9
4.7

Dec. 31,
1934

Dec. 31,
1958

DEPOSIT

Dec. 31,
1934

FEDERAL

Dec.
31,
1920

18 States with unit banking prevalent
4.5
10.7
10.5
9.8
5.9
6.7

13.2 (15.9)
24.9 (34.5)
27.5
19.0
28.0

6.6
8.1

17!l (38.4)
9.6
16.5
6.0 (29.4)
6.5

9.4

2.1

1.6

8.6
8.1
14.9
8.5
6.9
9.2
7.8

(18.9)
(7.6)
(38.0)
(10.7)

8 A (24.1)
7.8 (8.4)
7.7
7.0
6.8 (13.4)
6.5

6.1 (10.8)
5.6 (30.6)
4.6 (6.7)

11.0
14.0
28.0
12.7
23.9
15.4

6.0

40.5
38.5
70.1
57.7
44.0
42.1
53.9
38.1
55.3
21.6

21.6

25.4
31.8
46.7
31.0
29.2
38.3
23.6

(47.6)
(46.9)
(67.2)
(70.4)
(56.1)
(49.5)
(26.8)
(59.4)
(31.4)
(69.3)
(26.6)

41.7
38.7
66.5
54.7
37.5
44.5
51.4
40.6
53.4
36.1
22.2
23.3
36.7
42.6
30.0
26.2
36.4
22.6

(45.6)
(44.0)
(58.5)
(67.8)

(24.6)
(58.3)
(29.3)
(63.9)
(25.0)

36.6
29.3
42.2
44.1
27.8
43.5
35.8
41.2
36.6
30.3
18.8 19.4)
27.7
24.1
21.0
24.3
25.3
24.5
17.6

O
F
BANKS




25.9
33.4
11.7
15.4
30.0
25.0
25.4
6.9
5.8

POSITION

1 Figures in parentheses indicate percentages if banks in a group are tabulated as a bank and branches in the State.

15.2

20.6

RELATIVE

1.5
2.7
4.1
9.7
3.2
7.5
4.1

19 Q

16.5
16.3 (20.2)
16.1
15.7
15.3
13.5
12.1 (29.7)
11.9 (16.8)

00

Nebraska.......................................................
Wisconsin......................................................
Illinois..............................................................
Colorado........................................................
North Dakota.............................................. .
Oklahoma...................................................... .
Minnesota.....................................................
Wyoming.......................................................
Missouri.........................................................
South Dakota.................................... ..........
Kansas.............................................................
Texas..............................................................
Arkansas..........................................................
Florida.............................................................
West Virginia.................................................
New Hampshire............................................
Montana..........................................................
Iowa..................................................................

C71

OI

o
Table 29.
in

D eposits in the L argest C ommercial Ba n k , and in the L argest F ive C ommercial B anks ,
the P rincipal C ounty ( or C ounties ) in 48 M etropolitan A reas , 1920, 1934, and 19581
Percentage of ail
deposits in the largest five
banks or bank group2

Percentage of all
deposits in the largest
bank or bank group8
Metropolitan area
Dec. 31,
1934

Dec. 31,
1958

Dec.
31,
1920

43.8
22.1
19.9
33.1
11.9
18.1
24.9
13.2
31.4
25.1
22.6
25.5
26.2
39.5
20.7
30.9
19.3
35.3
37.8
20.7
18.2
35.9
13.7
24.5
15.4
23.6
10.3
10.6
9.8
6.8
8.9

64.0
48.8
71.3
54.4
24.3
50.3
64.1
40.1
41.6
32.1
27.3
40.4
65.5
52.0
39.6
52.9
53.8
48.8
46.0
29.4
26.0
35.2
29.4
39.5
29.0
26.2
26.7
15.9
15.4
10.3
15.3

62.1
56.3
54.9
54.6
53.1
52.2
50.4
49.6 (52.1)
48.8
46.4
46.0
45.5
44.6
44.4
41.7
41.6
41.2
39.8
33.6
33.3
33.0
32.5
32.4
31.3 (35.3)
29.0
25.5
25.1
20.5
20.4
16.9
16.0

89.9
61.7
64.9
69.1
39.6
57.5
82.6
56.7
64.7
68.2
73.2
65.9
86.7
80.2
65.8
89.2
59.4
84.5
90.7
61.4
56.8
79.9
45.8
75.4
61.7
65.1
31.6
34.9
31.2
30.5
29.7

Dec. 31,
1934

Dec. 31,
1958

FEDERAL

Dec.
31,
1920
31 metropolitan areas in States with lim ited area branch banking prevalent

(62.6)
(50.4)
(41.8)
(52.2)

(29.1)

(99.2)

(84.6)
(86.4)
(96.6)
(91.3)

(99.7)

(89.5)

(38.3)

98.8
97.2
93.6
93.5
85.8
91.6
100.0
92.8
95.2
96.8
99.6
97.2
89.7
97.3
99.5
99.7
89.4
98.9
97.6
81.2
94.9
89.7
85.0
94.9
85.7
84.4
85.1
65.8
55.1
49.9
58.1

(95.3)

(97.4)
(92.5)

(91.4)

CO R PO R ATIO N

(49.0)
(48.9)

96.7
92.3
97.3
94.3
70.5
86.3
99.4
95.0
86.6
96.1
86.8
99.3
98.9
98.2
86.0
100.0
9 5.5
99.3
92.4
76.6
80.0
85.9
68.1
91.6
80.6
80.4
65.4
54.8
43.6
41.3
37.9

INSURANCE




(66.9)

DEPOSIT

Birmingham: Jefferson County, Alabama.............................................................................................
Norfolk-Portsmouth: Norfolk County and Norfolk and Portsmouth Cities, Virginia...............
Toledo: Lucas County, Ohio.....................................................................................................................
Dayton: Montgomery County, Ohio......................................................................................................
Pittsburgh: Allegheny County, Pennsylvania......................................................................................
Boston: Suffolk County, Massachusetts................................................................................................
Knoxville: Knox County, Tennessee......................................................................................................
Columbus: Franklin County, Ohio..........................................................................................................
Buffalo: Erie and Niagara Counties, New Y ork.................................................................................
Akron: Summit County, Ohio..................................................................................................................
Rochester: Monroe County, New York.................................................................................................
Memphis: Shelby County, Tennessee....................................................................................................
Atlanta: DeKalb and Fulton Counties, Georgia.................................................................................
Cleveland: Cuyahoga County, Ohio.......................................................................................................
Indianapolis: Marion County, Indiana..................................................................................................
New Orleans: Orleans County, Louisiana.............................................................................................
Detroit: Wayne County, Michigan.........................................................................................................
Nashville: Davidson County, Tennessee...............................................................................................
Syracuse: Onondaga County, New York...............................................................................................
Albany-Schenectady-Troy: Albany, Rensselaer and Schenectady Counties, New York..........
Cincinnati: Hamilton County, Ohio.......................................................................................................
Louisville: Jefferson County, Kentucky................................................................................................
Washington: District of Columbia..........................................................................................................
Richmond: Richmond City and Henrico County, Virginia.............................................................
Springfield-Holyoke: Hampden County, Massachusetts.................................................................
Youngstown: Mahoning and Trumball Counties, Ohio....................................................................
Philadelphia: Philadelphia County, Pennsylvania..............................................................................
New York City: Bronx, Kings, New York, Queens, and Richmond Counties, New York. . .
Wilkesbarre-Hazleton: Luzerne County, Pennsylvania....................................................................
Allentown-Bethlehem-Easton: Lehigh and Northampton Counties, Pennsylvania...................
Northeastern New Jersey: Essex, Hudson, and Passaic Counties, New Jersey.........................

17 metropolitan areas in States with unit banking prevalent
84.1
51.3
64.8
44.3
46.0
45.7
43.2
46.0
21.7
36.5
31.6
39.1
59.8
29.6
34.3
34.0
33.4

(67.7)

(39.1)
(65.1)
(59.1)

47.4
44.5
43.3 (43.5)
41.0
36.9
34.8
32.9
31.9 (34.9)
30.8
29.7
28.8
28.5
27.5
24.2 (45.3)
22.5

71.6

68.6

22.1

73.5
64.0
77.4
84.3
76.2
93.0
83.0
53.7
70.0
63.2
90.7
60.0
39.9
59.2

15.6

66.0

95.5 (98.4)
95.6
92.9 (94.9)
88.0
98.4
96.5 (99.0)
97.7

100.0
79.7
82.8 (85.4)
93.3
94.8
94.1 (99.3)
90.8 (97.7)
87.3
80.1
86.9

91.2
83.3
74.8
91.0
83.8
87.8
88.3
89.5
75.6
71.5
80.9
78.7
53.3
71.3
59.1
60.7
57.8

(94.5)
(77.0)
(87.3)
(95.4)
(73.9)
(55.1)
(92.2)
(63.6)

O
F
BANKS




POSITION

1 Principal counties in 47 of the 57 most populous metropolitan areas in continental United States, as defined by the Bureau of the Budget, January 15, 1957. The metropolitan
areas to which the table pertains are those with a population in 1950 of over 300,000, excluding 10 which are in States with statewide branch banking prevalent. For this table the New
York-Northeastern New Jersey metropolitan area is divided between the New York and the New Jersey portions, so that 48 areas are listed. In these areas, as defined by the Bureau
of the Budget, there are 139 counties and independent cities and the District of Columbia. Of these, 66 counties and independent cities and the District of Columbia are included in
this tabulation as principal counties. For treatment of counties in New England States (where metropolitan areas are defined in terms of cities and towns) see note 2 to Table 24.
* Figures in parentheses indicate percentages if banks in a group are tabulated as a bank and branches in the area.

RELATIVE

Omaha: Douglas County, Nebraska..........................................................
Oklahoma City: Oklahoma County, Oklahoma......................................
Milwaukee: Milwaukee County, Wisconsin.............................................
Wheeling-Steubenville: Ohio County, West Virginia............................
Fort Worth: Tarrant County, Texas.........................................................
Dallas: Dallas County, Texas......................................................................
Charleston: Kanawha County, West Virginia........................................
Jacksonville: Duval County, Florida.........................................................
Houston: Harris County, Texas..................................................................
Kansas City: Clay and Jackson Counties, Missouri.............................
Denver: Denver County, Colorado............................................................
San Antonio: Bexar County, Texas...........................................................
Miami: Dade County, Florida....................................................................
Minneapolis-St. Paul: Hennepin and Ramsey Counties, Minnesota.
Chicago: Cook County, Illinois...................................................................
St. Louis: St. Louis City and St. Louis County, Missouri..................
Tampa-St. Petersburg: Hillsborough and Pinellas Counties, Florida

3

58

FEDERAL DEPOSIT INSURANCE CORPORATION

A more comprehensive tabulation relating to banking concentration by
cities is given in Table 29, which shows for 48 metropolitan areas the
percentage of all commercial bank deposits in the principal counties of
the area that were held by the largest bank, and by the largest five
banks, in 1920, 1934, and 1958.1 The 48 metropolitan areas are in States
in which limited area branch banking, or unit banking throughout the
State, is prevalent. Similar tabulations from available data for ten
metropolitan areas in the States in which statewide branch banking is
prevalent are not presented because they would be meaningless.2
At the end of 1958 the percentage of the deposits of the banks in the
principal metropolitan area counties held by the largest bank ranged from
16 percent to 62 percent in the 48 metropolitan areas; the corresponding
range in 1934 was from 10 percent to 71 percent, and in 1920 from 7
percent to 44 percent. The percentage of deposits held by the largest
five banks in the respective areas ranged from 50 percent to 100 percent
in 1958, from 38 percent to 100 percent in 1934, and from 30 percent to
93 percent in 1920. These ranges indicate a tendency for an increasing
concentration from 1920 to 1934 and suggest that there may have been a
similar tendency from 1934 to 1958. But when the data for the individual
metropolitan areas are examined, it is clear that there was considerable
difference between the two periods. In all but two of the 48 areas the
largest bank held a larger proportion of the deposits of all the banks
in 1934 than in 1920, and in all but one the proportion held by the largest
five banks also increased. But in 29 of the areas, the largest bank in 1958
held a smaller proportion than in 1934 of the deposits of all the banks;
and in 25 of the areas, the largest five banks in 1958 held a smaller pro­
portion than in 1934 of the deposits of all the banks. Evidently, in the
majority of these metropolitan areas, any increased concentration since
1934 consequent upon bank mergers has been more than offset by ex­
pansion of the smaller banks of the area.
In 19 of the 48 metropolitan areas tabulation of the banks in a group
as though they were a bank and branches yields higher figures for per­
centages of the deposits of the area held by the largest bank or bank
group, or by the largest five banks or bank groups, or both, for 1934 or
1958, or both of these years, than for the largest bank or the largest
five banks. However, as in the case of the data by States, these do not
affect the conclusion that in a majority of the metropolitan areas the
degree of concentration of deposits in one or in five banks or bank groups
was less in 1958 than in 1934.
i
Tabulations for 1940, included in the preceding table by States, are not given because tabulations
pertaining to all banks by county are not available. The State data suggest that the bank concentration
in metropolitan areas was higher in 1940 than in 1934.
*
This is because they would pertain to the deposits in branches throughout the State, with the
banks grouped according to the head office county. Tabulations of commercial bank deposits in offices
located in each county are available for some recent years, but the data for individual banks from which
the county tabulations are derived are not available at the Federal Deposit Insurance Corporation,
and comparable data were not reported for any pre-World War II date.




OBSERVATIONS ON BANK COMPETITION

S o m e O b s e r v a t io n s

on

59

B a n k C o m p e t it io n

A general analysis of changes in bank competition during the last
several decades is beyond the scope of this report on changes in number
of banking offices and the relative position of banks. Nevertheless, the
two subjects are related, since data on changes in the number and dis­
tribution of banks and branches are essential, though not sufficient, for
an appraisal of changes in competition among banks. It has been asserted
in recent years that there has been a marked decrease in bank competition
as a direct result of the decline in number of banks since 1920. Information
collected for this report does not support such an assumption.
The decline in number of banks during the 1920’s and early 1930’s is
largely attributable to the elimination of uneconomic units which could
not survive economic changes and excessive competition of too many
banks. The significant question is whether there has been a decline in
competition over and above that attributable to the elimination of
uneconomic units in that period.
The three measures of concentration used above—proportion of de­
posits held by a specific number or percentage of banks in the nation,
the proportion of deposits in each State held by the largest bank and the
largest five banks in the State, and the proportion of deposits in the
leading counties in each of 48 metropolitan areas held by the largest
bank and the largest five banks in the area—all point toward the con­
clusion that there has been no general increase in bank concentration
during the past twenty or twenty-five years. If increasing concentration
is taken as evidence of declining competition, the data suggest that the
banking system of the nation in the late 1950’s, though less competitive
than in 1920, was more competitive than in the middle 1930’s or early
1940,s.
However, it should be kept in mind that there is no fixed relationship
between changes in concentration and changes in competition. Other
developments in the economy also have an impact on the degree of com­
petition. To what extent, for example, has the quite remarkable change in
transportation and communication facilities since 1921 altered the com­
petitive picture? Is the banking situation in a town which had three
banks in 1921 less competitive today with only one bank, but with two
banks within easy driving distance? Banks in neighboring towns, in
neighboring counties, and in neighboring States often compete with the
local bank in today’s market, at least for certain types of business, but
there is no way of measuring the extent of this competition, nor is it
possible to compare the degree of such competition with that which may
have existed in 1921.



60

FEDERAL DEPOSIT INSURANCE CORPORATION

fg^Quite apart from the possibility of competition from banks located
near a particular community, a reduction in number of banks within a
community will not, by itself, justify a conclusion that competitiortjhas
been diminished. For example, when the number of banks is reduced
from five to three, is competition increased or decreased thereby if the
result is three strong banks rather than five weak banks? Or if a com­
munity had two banks in 1921 and now has in their places two branches,
each of a different bank, is competition for the banking business in the
community likely to be any less between the two branches than it was be­
tween the two banks? Still another element in the competitive picture
is the continuing growth of metropolitan areas. Many local communities
which have undergone a reduction in the number of banks during the
past forty years have, during the same period, become a part of a metro­
politan area, and now have more ready access than formerly to a broad
range of banking services.
From the point of view of an individual bank customer, the decline in
number of banks since 1921 may or may not have altered the competitive
picture, the answer depending in part on the magnitude of the customer’s
own business. For large business concerns it seems quite probable that
there has been an increase during the past 40 years in the competition
among banks for their business. That is to say, the larger banks, mostly
located in large cities, compete with each other for the patronage of
concerns doing a nationwide business. With the greatly increased facilities
of transportation and communication of recent years, there is more
competition of this sort now than formerly, regardless of the changes
which have occurred in the number of banks or the number and location
of banking offices.
However defined, the banking “ giants” competing on a nationwide
basis appear to be sufficiently numerous to maintain active competition
among themselves. Banking is perhaps the only industry in which at­
tempts to demonstrate a decline in competition invoke the size of the
100 largest—or 50 or 25 or 10 largest—units in the industry in the nation.
In any other industry—say automobile, steel, or electronics—this many
“ giants” would be taken as prima facie evidence of a high degree of
competition.
Of course, not all bank customers have access to the nation’s large
banks; the majority depend upon banks in their own area for such
facilities and services as they require. For an individual or a small firm,
a reduction in the number of banks operating in a community from two
to one may effectively remove the only nearby alternative source of
bank credit. On the other hand, some of the requirements of such bank
customers can be handled by other financial institutions, which have
grown in considerable importance in many areas of the country, or by



OBSERVATIONS ON BANK COMPETITION

61

banks at a greater distance away than would have been feasible a few
decades ago.
It must also be recognized that though we have a changing econon^
that increases the need for banking services in most parts of the nation,
some localities are adversely affected and as a consequence some in­
dependent banks are destined to disappear. New highways, particularly
those with limited access, may divert the patronage of some local banks
to other places because of changes in the flow and routing of traffic.
Working forces of an industrial establishment that formed a significant
part of the clientele of a local bank may be curtailed because of technical
developments, or disappear entirely with the closing of a plant. Absorption
of the remaining business of a local bank caught in such a situation may
be the only reasonable solution to its difficulties.
No easy or simple answer can be given to the question of the extent
to which bank competition has been affected by changes in the number
of banks and in the relative position of banks since 1921. If there have
been significant changes in the nature of competition among banks, or
an appreciable reduction in the intensity of competition among them, the
evidence of such changes must come from something other than an
examination of changes in the number of banks and in their relative
position.







PART THREE
LEGISLATION AND REGULATIONS







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

AMENDMENTS TO THE FEDERAL DEPOSIT INSURANCE ACT
P u b lic L a w

86— 463

86th C on gress,
M ay

S. 1062

13, 1960

AN ACT
To amend the Federal Deposit Insurance Act to require Federal approval for
mergers and consolidations of insured banks.

Be it enacted by the Senate and House of Representatives of the United States of America
in Congress assembled, That subsection (c) of section 18 of the Federal Deposit In­
surance Act is amended by striking out the third sentence and inserting in lieu thereof
the following: “ No insured bank shall merge or consolidate with any other insured
bank or, either directly or indirectly, acquire the assets of, or assume liability to pay
any deposits made in, any other insured bank without the prior written consent
(i) of the Comptroller of the Currency if the acquiring, assuming, or resulting bank
is to be a national bank or a District bank, or (ii) of the Board of Governors of the
Federal Reserve System if the acquiring, assuming, or resulting bank is to be a State
member bank (except a District bank), or (iii) of the Corporation if the acquiring,
assuming, or resulting bank is to be a nonmember insured bank (except a District
bank). Notice of any proposed merger, consolidation, acquisition of assets, or assump­
tion of liabilities, in a form approved by the Comptroller, the Board, or the Corpo­
ration, as the case may be, shall (except in a case where the furnishing of reports
under the seventh sentence of this subsection is not required) be published, at appro­
priate intervals during a period (prior to the approval or disapproval of the transaction)
at least as long as the period allowed under such sentence for furnishing such reports,
in a newspaper of general circulation in the community or communities where the
main offices of the banks involved are located (or, if there is no such newspaper in
any such community, then in the newspaper of general circulation published nearest
thereto). In granting or withholding consent under this subsection, the Comptroller,
the Board, or the Corporation, as the case may be, shall consider the financial history
and condition of each of the banks involved, the adequacy of its capital structure,
its future earnings prospects, the general character of its management, the convenience
and needs of the community to be served, and whether or not its corporate powers
are consistent with the purposes of this Act. In the case of a merger, consolidation,
acquisition of assets, or assumption of liabilities, the appropriate agency shall also
take into consideration the effect of the transaction on competition (including
any tendency toward monopoly), and shall not approve the transaction unless, after
considering all of such factors, it finds the transaction to be in the public interest.
In the interests of uniform standards, before acting on a merger, consolidation, ac­
quisition of assets, or assumption of liabilities under this subsection, the agency
(unless it finds that it must act immediately in order to prevent the probable failure
of one of the banks involved) shall request a report on the competitive factors involved
from the Attorney General and the other two banking agencies referred to in this
subsection (which report shall be furnished within thirty calendar days of the date
on which it is requested, or within ten calendar days of such date if the requesting
agency advises the Attorney General and the other two banking agencies that an
emergency exists requiring expeditious action). The Comptroller, the Board, and the




65

66

FEDERAL DEPOSIT INSURANCE CORPORATION

Corporation shall each include in its annual report to the Congress a description of
each merger, consolidation, acquisition of assets, or assumption of liabilities approved
by it during the period covered by the report, along with the following information:
the name and total resources of each bank involved; whether a report has been sub­
mitted by the Attorney General hereunder, and, if so, a summary by the Attorney
General of the substance of such report; and a statement by the Comptroller, the
Board, or the Corporation, as the case may be, of the basis for its approval.”
Approved May 13, 1960.

P u b l ic L a w
86th C ongress,
Ju l y

86— 671
H. R. 12465

14, 1960

AN ACT
To provide for a simpler method of determining assessments under the Federal
Deposit Insurance Act, and for other purposes.

Be it enacted by the Senate and House of Revresentatives of the United States of America
in Congress assembled, That subsection (1) of section 3 of the Federal Deposit Insurance
Act, as amended (12 U.S.C. 1813(1)), is amended to read as follows:
“ (1) The term ‘deposit* means—
“ (1) the unpaid balance of money or its equivalent received or held by a bank
in the usual course of business and for which it has given or is obligated to give credit,
either conditionally or unconditionally, to a commercial, checking, savings, time, or
thrift account, or which is evidenced by its certificate of deposit, or a check or draft
drawn against a deposit account and certified by the bank, or a letter of credit or a
traveler's check on which the bank is primarily liable: Provided, That, without limiting
the generality of the term ‘money or its equivalent', any such account or instrument
must be regarded as evidencing the receipt of the equivalent of money when credited
or issued in exchange for checks or drafts or for a promissory note upon which the
person obtaining any such credit or instrument is primarily or secondarily liable,
or for a charge against a deposit account, or in settlement of checks, drafts, or other
instruments forwarded to such bank for collection,
“ (2) trust funds as defined in this Act received or held by such bank, whether held
in the trust department or held or deposited in any other department of such bank,
“ (3) money received or held by a bank, or the credit given for money or its equiva­
lent received or held by a bank, in the usual course of business for a special or specific
purpose, regardless of the legal relationship thereby established, including without
being limited to, escrow funds, funds held as security for an obligation due to the
bank or others (including funds held as dealers reserves) or for securities loaned by
the bank, funds deposited by a debtor to meet maturing obligations, funds deposited
as advance payment on subscriptions to United States Government securities, funds
held for distribution or purchase of securities, funds held to meet its acceptances or
letters of credit, and withheld taxes: Provided, That there shall not be included funds
which are received by the bank for immediate application to the reduction of an
indebtedness to the receiving bank, or under condition that the receipt thereof im­
mediately reduces or extinguishes such an indebtedness,




FEDERAL LEGISLATION

67

“ (4) outstanding draft (including advice or authorization to charge bank’s balance
in another bank), cashier’s check, money order, or other officer’s check issued in
the usual course of business for any purpose, including without being limited to those
issued in payment for services, dividends, or purchases, and
“ (5) such other obligations of a bank as the Board of Directors, after consultation
with the Comptroller of the Currency and the Board of Governors of the Federal
Reserve System, shall find and prescribe by regulation to be deposit liabilities by
general usage: Provided f urther, That any obligation of a bank which is payable only
at an office of the bank located outside of the States of the United States, the District
of Columbia, Puerto Rico, Guam, and the Virgin Islands, shall not be a deposit for any
of the purposes of this Act or be included as part of total deposits or of an insured
deposit.”
S e c . 2. Subsections (a), (b), and (c) of section 7 of the Federal Deposit Insurance
Act (12 U.S.C. 1817 (a), (b), and (c)) are amended to read as follows:

“ (a)(1) Each insured State nonmember bank (except a District bank) shall make
to the Corporation reports of condition which shall be in such form and shall contain
such information as the Board of Directors may require. Such reports shall be made
to the Corporation on the dates selected as provided in paragraph (3) of this subsection
and the deposit liabilities shall be reported therein in accordance with and pursuant
to paragraphs (4) and (5) of this subsection. The Board of Directors may call for
additional reports of condition on dates to be fixed by it and may call for such other
reports as the Board may from time to time require. The Board of Directors may
require reports of condition to be published in such manner, not inconsistent with
any applicable law, as it may direct. Every such bank which fails to make or publish
any such report within ten days shall be subject to a penalty of not more than $100
for each day of such failure recoverable by the Corporation for its use.
“ (2) The Corporation shall have access to reports of examination made by, and
reports of condition made to, the Comptroller of the Currency or any Federal Reserve
bank and to all revisions of reports of condition made to either of them, and they
shall promptly advise the Corporation of any revisions or changes in respect to deposit
liabilities made or required to be made in any report of condition. The Corporation
may accept any report made by or to any commission, board, or authority having
supervision of a State nonmember bank (except a District bank), and may furnish
to the Comptroller of the Currency, to any Federal Reserve bank, and to any such
commission, board, or authority, reports of examinations made on behalf of, and
reports of condition made to, the Corporation.
“ (3) Each insured State nonmember bank (except a District bank) shall make
to the Corporation, each insured national bank and each insured District bank shall
make to the Comptroller of the Currency, and each insured State member bank shall
make to the Federal Reserve bank of which it is a member, four reports of condition
annually upon dates which shall be selected by the Chairman of the Board of Directors,
the Comptroller of the Currency, and the Chairman of the Board of Governors of
the Federal Reserve System, or a majority thereof. The dates selected shall be the
same for all insured banks, except that when any of said reporting dates is a non­
business day for any bank, the preceding business day shall be its reporting date.
Two dates shall be selected within the semiannual period of January to June inclusive,
and the reports on such dates shall be the basis for the certified statement to be filed
in July pursuant to subsection (c) of this section, and two dates shall be selected
within the semiannual period of July to December inclusive, and the reports on
such dates shall be the basis for the certified statement to be filed in January pursuant
to subsection (c) of this section. The deposit liabilities shall be reported in said reports




68

FEDERAL DEPOSIT INSURANCE CORPORATION

of condition in accordance with and pursuant to paragraphs (4) and (5) of this sub­
section, and such other information shall be reported therein as may be required by
the respective agencies. Each said report of condition shall contain a declaration by
the president, a vice president, the cashier or the treasurer, or by any other officer
designated by the board of directors or trustees of the reporting bank to make such
declaration, that the report is true and correct to the best of his knowledge and belief.
The correctness of said report of condition shall be attested by the signatures of at
least three of the directors or trustees of the reporting bank other than the officer
making such declaration, or by at least two if there are not more than three directors
or trustees, with the declaration that the report has been examined by them and to
the best of their knowledge and belief is true and correct. At the time of making said
reports of condition each insured national, District and State member bank shall
furnish to the Corporation a copy thereof containing such signed declaration and
attestations. Nothing herein shall preclude any of the foregoing agencies from re­
quiring the banks under its jurisdiction to make additional reports of condition
at any time.
“ (4) In the reports of condition required to be made by paragraph (3) of this
subsection, each insured bank shall report the total amount of the liability of the
bank for deposits in the main office and in any branch located in any State of the
United States, the District of Columbia, any Territory of the United States, Puerto
Rico, Guam, or the Virgin Islands, according to the definition of the term ‘deposit
in and pursuant to subsection (1) of section 3 of this Act, without any deduction for
indebtedness of depositors or creditors or any deduction for cash items in the process
of collection drawn on others than the reporting bank: Provided, That the bank in
reporting such deposits may (i) subtract from the deposit balance due to any bank
the deposit balance due from the same bank (other than trust funds deposited by
either bank) and any cash items in the process of collection due from or due to such
banks shall be included in determining such net balance, except that balances of time
deposits of any bank and any balances standing to the credit of private banks, of
banks in foreign countries, of foreign branches of other American banks, and of
American branches of foreign banks shall be reported gross without any such sub­
traction, and (ii) exclude any deposits received in any office of the bank for deposit
in any other office of the bank: And 'provided further, That outstanding drafts (in­
cluding advices and authorizations to charge bank’s balance in another bank) drawn
in the regular course of business by the reporting bank on banks need not be reported
as deposit liabilities. The amount of trust funds held in the bank’s own trust depart­
ment, which the reporting bank keeps segregated and apart from its general assets
and does not use in the conduct of its business, shall not be included in the total deposits
in such reports, but shall be separately stated in such reports.
“ (5) The deposits to be reported on such reports of condition shall be segregated
between (i) time and savings deposits and (ii) demand deposits. For this purpose
and for the computation of assessments provided in subsection (b) of this section,
the time and savings deposits shall consist of time certificates of deposit, time depositsopen account, deposits accumulated for the payment of personal loans, and savings
deposits; and demand deposits shall consist of all deposits other than time and savings
deposits.
“ (6) The Board of Directors, after consultation with the Comptroller of the Cur­
rency and the Board of Governors of the Federal Reserve System, may by regulation
define the terms ‘cash items’ and ‘process of collection’, and shall classify deposits
as ‘time’, ‘savings’, and ‘demand’ deposits, for the purposes of this section.
“ (b)(1) The annual assessment rate shall be one-twelfth of 1 per centum. Except




FEDERAL LEGISLATION

69

as provided in subsection (c)(2) of this section, the semiannual assessment due from
any insured bank for any semiannual period shall be equal to one-half the annual
assessment rate multiplied by such bank’s average assessment base for the immediately
preceding semiannual period.
“ (2) For the purposes of this section the term ‘semiannual period’ means a period
beginning on January 1 of any calendar year and ending on June 30 of the same year,
or a period beginning on July 1 of any calendar year and ending on December 31 of
the same year.
“ (3) A bank’s average assessment base for any semiannual period shall be the
average of such bank’s assessment bases for the two dates, falling within such semi­
annual period, for which the bank is required to submit reports of condition pursuant
to paragraph (3) of subsection (a) of this section (referred to hereafter in this section
as ‘reports of condition’).
“ (4) A bank’s assessment base for any date shall be equal to the bank’s liability
for deposits (including the deposits of any other bank for which it has assumed lia­
bility) as reported in its report of condition for such date, plus the assessment base
additions set forth in paragraph (5), and less the assessment base deductions set
forth in paragraph (6).
“ (5) The assessment base additions shall be the amounts of—
“ (A) uninvested trust funds required to be separately stated in the bank’s
report of condition; and
“ (B) any deposits received in any office of the bank for deposit in any other
office of the bank located in the United States, the District of Columbia, Puerto
Pdco, Guam, or the Virgin Islands, except those which have been included in deposits
in the report of condition or which have been offset in the report of condition by
an equal amount of cash items in its possession drawn on itself (on the same type
of deposit as those offset) and not charged against deposit liabilities at the close
of business on the date as of which the report of condition is made, either in their
actual amount as shown on the books of the bank, or, if not so shown, in an amount
determined by means of an experience factor pursuant to regulations prescribed
by the Board of Directors.
“ (6) The assessment base deductions shall be the amounts of—
“ (A) cash items in the bank’s possession, drawn on itself, which have not been
charged against deposit liabilities at the close of business on the date as of which
the report of condition is made, either in their actual amount as shown on the books
of the bank, or, if not so shown, in an amount determined by means of an experience
factor pursuant to regulations prescribed by the Board of Directors;
“ (B) deposits included in reported deposit liabilities which are accumulated
for the payment of personal loans and are assigned or pledged to assure repayment
of the loans at maturity;
“ (C) 1 per centum of the bank’s adjusted time and savings deposits (as defined
in paragraph (7)); and
“ (D) 16% per centum of the bank’s adjusted demand deposits (as defined
in paragraph (8)).
Each insured bank, as a condition to the right to make any such deduction in de­
termining its assessment base, shall maintain such records as will readily permit
verification of the correctness of its assessment base. No insured bank shall be required
to retain such records for such purpose for a period in excess of five years from the




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FEDERAL DEPOSIT INSURANCE CORPORATION

date of the filing of any certified statement, except that when there is a dispute be­
tween the insured bank and the Corporation over the amount of any assessment
the bank shall retain such records until final determination of the issue.
“ (7) The term 'the bank’s adjusted time and savings deposits* means the amount
of the bank’s time and savings deposits as reported in its report of condition, as
adjusted—
“ (A) either by adding the amount of all deposits of the type described in subparagraph (5) (B) or, if the bank elects to ascertain the respective amounts of such
deposits creditable to time and savings deposits and to demand deposits, by adding
the amount creditable to time and savings deposits;
“ (B) by subtracting, if the bank elects to ascertain the respective amounts
of its items of the type described in subparagraph (6) (A) chargeable against time
and savings deposits and against demand deposits, the amount chargeable against
time and savings deposits; and
“ (C) by subtracting the amount of all deposits of the type described in subparagraph (6)(B).
“ (8) The term ‘the bank’s adjusted demand deposits’ means the amount of the
bank’s demand deposits as reported in its report of condition, as adjusted—
“ (A) by adding the amount of all deposits of the type described in subparagraph

(5)(A);
“ (B) by adding, if the bank elects to ascertain the respective amounts of its
deposits of the type described in subparagraph (5) (B) creditable to time and savings
deposits and to demand deposits, the amount creditable to demand deposits; and
“ (C) either by subtracting the amount of all items of the type described in
subparagraph (6) (A), or, if the bank elects to ascertain the respective amounts
of such items chargeable against time and savings deposits and against demand
deposits, by subtracting the amount chargeable against demand deposits.
“ (c)(1) On or before the last day of the first month following each semiannual
period, each insured bank which became insured prior to the beginning of such period
shall file with the Corporation a certified statement showing its average assessment
base for such period, and the amount of the semiannual assessment due to the Corpo­
ration for the semiannual period which begins with such month. Each such bank
shall pay to the Corporation the amount of the semiannual assessment it is required
to certify.
“ (2) A bank shall not be required to pay any assessment for the semiannual period
in which it becomes an insured bank. On or before the last day of the first month
following the semiannual period during which any bank becomes an insured bank,
such bank shall—
“ (A) file with the Corporation a certified statement showing, as its assessment
base for such period, its assessment base for the last date, if any, within such period
for which it was required to submit a report of condition, or
“ (B) if such bank became an insured bank after the last date in such period
for which a report of condition was required, such bank shall make a special report
of condition as of the last day of such semiannual period, and shall file with the
Corporation a certified statement showing, as its assessment base for such period,
its assessment base for the date of such special report.
The semiannual assessment due from such bank for the semiannual period which




FEDERAL LEGISLATION

71

begins with such month shall be equal to one-half the annual assessment rate multiplied
by the assessment base computed pursuant to subparagraph (A) or (B) of this para­
graph, and the amount of such assessment shall be shown on such certified statement.
Each such bank shall pay to the Corporation the amount of the semiannual assessment
it is required to certify.
“ (3) The certified statements required to be filed with the Corporation under
paragraphs (1) and (2) of this subsection shall be in such form and set forth such
supporting information as the Board of Directors shall prescribe and shall be certified
by the president of the bank or any other officer designated by its board of directors
or trustees that to the best of his knowledge and belief the statement is true, correct
and complete and in accordance with the Federal Deposit Insurance Act and regula­
tions issued thereunder. The assessment payments required from insured banks
under paragraphs (1) and (2) of this subsection shall be made in such manner and at
such time or times as the Board of Directors shall prescribe, provided the time or
times so prescribed shall not be later than sixty days after filing the certified state­
ment setting forth the amount of assessment.
“ (4) Except as otherwise provided in this section, the Board of Directors shall
prescribe all needful rules and regulations for the enforcement of this section. The
Board of Directors may limit the retroactive effect, if any, of any of its rules or regu­
lations.”
Sec. 3. Section 7 of the Federal Deposit Insurance Act (12 U.S.C. 1817) is amended
by substituting for the date “December 31,1950” in subsection (d) the date “ December
31, 1961” ; by substituting for the numerical figure “40” in subsection (d) the numerical
figure “33%” ; by substituting for the words “fails to file” in subsection (f) the words
“ fails to make any report of condition under subsection (a) of this section or to file” ;
by substituting for the words “file such statement” in subsection (f) the words “ make
such report or file such statement” ; by substituting for the word “ filed” in the first
sentence of subsection (g) the words “ made any such report of condition under sub­
section (a) of this section or filed” ; by substituting for the words “ to file” in the first
sentence of subsection (g) the words “ to make any such report or file” ; by substituting
for the words “ to file” in the first sentence of subsection (h) the words “ to make any
report of condition under subsection (a) of this section or to file” ; and by substituting
for the words “in its trust or deposited in any other department or in another bank”
in the first sentence of subsection (i) the words “ in its trust department or held or
deposited in any other department of the fiduciary bank” and by striking the words
after the colon in the second sentence and substituting a period for said colon.
S ec. 4. Section 10 of the Federal Deposit Insurance Act (12 U.S.C. 1820) is amended
by striking out subsections (e) and (f) thereof and relettering subsection (g) as sub­
section (e).
S ec. 5. (a) Section 5211 of the Revised Statutes of the United States (12 U.S.C.
161) is amended by striking out the first paragraph thereof and inserting in lieu of
such paragraph the following:

“ (a) Every association shall make reports of condition to the Comptroller of the
Currency in accordance with the Federal Deposit Insurance Act. The Comptroller
of the Currency may call for additional reports of condition, in such form and con­
taining such information as he may prescribe, on dates to be fixed by him, and may
call for special reports from any particular association whenever in his judgment
the same are necessary for his use in the performance of his supervisory duties. Each
report of condition shall contain a declaration by the president, a vice president,
the cashier, or by any other officer designated by the board of directors of the bank
to make such declaration, that the report is true and correct to the best of his knowl­




72

FEDERAL DEPOSIT INSURANCE CORPORATION

edge and belief. The correctness of the report of condition shall be attested by the
signatures of at least three of the directors of the bank other than the officer making
such declaration, with the declaration that the report has been examined by them
and to the best of their knowledge and belief is true and correct. Each report shall
exhibit in detail and under appropriate heads the resources and liabilities of the asso­
ciation at the close of business on any past day specified by the Comptroller, and shall
be transmitted to the Comptroller within ten days after the receipt of a request
therefor from him; and the statement of resources and liabilities in the same form
in which it is made to the Comptroller shall be published in a newspaper published
in the place where such association is established, or if there is no newspaper in the
place, then in the one published nearest thereto in the same county, at the expense
of the association, and such proof of publication shall be furnished as may be required
by the Comptroller. Special reports called for by the Comptroller need contain only
such information as is specified by the Comptroller in his request therefor, and publi­
cation of such reports need be made only if directed by the Comptroller.
“ (b) Every association shall make to the Comptroller reports of the payment of
dividends, including advance reports of dividends proposed to be declared or paid
in such cases and under such conditions as the Comptroller deems necessary to carry
out the purposes of the laws relating to national banking associations in such form
and at such times as he may require.”
(b)
The paragraph which, prior to the amendments made by this Act, was the
second paragraph of such section, is amended (1) by inserting “ (c)” at the beginning
thereof, and (2) by striking out “ three” in the first sentence and inserting “four” in
lieu thereof.
S e c . 6. The Act of February 26, 1881, entitled “An Act defining the verification
of returns of national banks” (12 U.S.C. 162) is repealed.

Sec . 7. The amendments made by this Act shall take effect on January 1, 1961,
except that the certified statements covering the semiannual period ending December
31, 1960, and the determination and payment of assessments (for the semiannual
period ending June 30, 1961) required to be certified in such statements, shall be made
as if such amendments were not in effect.

Approved July 14, I960.

R ules

and

R e g u l a t io n s

of the

C o r p o r a t io n

METHOD FOR COMPUTING AND REPORTING OF ASSESSMENTS
ON DEPOSITS AND OBLIGATIONS PRESCRIBED AS DEPOSITS*
M

is c e l l a n e o u s

A m endm ents

A.
In the F e d e r a l R e g is t e r of November 29, 1960 (25 F .R . 12203— 12207),
proposed amendments of Part 327 of the Corporation’s rules and regulations relating
to assessments were published with notice of proposed rule making. The following
amendment of Part 327, which includes such proposed amendments, is adopted
effective January 16, 1961: Provided, That all of the provisions of Part 327 (including
the Corporation’s Assessment Decisions Nos. 1— 167 in §§327.100— 327.267 thereof),
which were in effect immediately prior to the adoption of the following amendment
* Federal Register, vol. 26, pp. 287-292.




RULES AND REGULATIONS OF THE CORPORATION

73

thereof, remain applicable to the determination and payment of assessments due on
or before January 15, 1961. Part 327 is amended to read as follows:
Part
Sec.
327.1

327— A s s e s s m e n t s

Reporting of assessment base additions for unposted credits and deductions for unposted debits.

327.2

Classification of deposits.

327.3

Payment of assessments by banks whose insured status has terminated.

327.4

Time of payment.

§§ 327.1 to 327.4 issued under sec. 7, 74 Stat. 551, sec. 9, 64 Stat. 882; 12 U.S.C. 1817,
1819. Interpret or apply secs. 7, 8, 74 Stat. 546-551 and 64 Stat. 877-881; 12 U.S.C. 1817, 1818.
A u t h o r it y :

§ 327.1 Reporting of assessment base additions for unposted credits and deductions
for unposted debits.
(a) Definitions. (1) The term “ unposted credit” as used in this section means
any deposit received in any office of the bank for deposit in any other office of the
bank located in any State of the United States, the District of Columbia, Puerto
Rico, Guam, or the Virgin Islands, except those which have been included in total
deposits in the report of conditions or which have been offset in the report of condition
by an equal amount of cash items in its possession drawn on itself (on the same type
of deposits as those offset) and not charged against deposit liabilities at the close of
business on the date as of which the report of condition is made*
(2) The term “ unposted debit” as used in this section means a cash item in the
bank's possession drawn on itself which has been paid or credited and is chargeable
against, but has not been charged against, deposit liabilities at the close of business
on the date as of which the report of condition is made.
(3) The above terms “ unposted credit” and “ unposted debit” do not include items
which have been reflected in deposit accounts on the general ledger and in the report
of condition, although they have not been credited or debited to individual deposit
accounts.
(b) Methods of reporting unposted credits and unposted debits. (1) Each insured
bank shall report unposted credits in reports of condition for addition to the assess­
ment base in the following manner:
(1) When the records of the bank show the actual amounts of unposted credits
segregated between demand deposits and time and savings deposits, the actual segre­
gated amounts thereof must be reported; or
(ii) When the records of the bank show the actual amount of all unposted credits
with no such segregation thereof, the actual amount thereof must be reported, for
addition to time and savings deposits, unless the bank determines by experience
factors and reports the amounts of the unposted credits so segregated; or
(iii) When the records of the bank do not show the actual amount of unposted
credits either in total or in segregated amounts, the amounts of unposted credits must
be determined by experience factor or factors and reported in total amount for addition
to time and savings deposits or in segregated amounts.
(2) Unposted debits may be reported in the same manner for deduction from
the assessment base, except that unsegregated amounts may be reported for deduction
only from demand deposits.
(c) Bank reporting actual amounts. When actual amounts are shown on the records
of the bank, an insured bank shall separately state in the report of condition for
additions to deposits for assessment purposes the actual amount of unposted credits




74

FEDERAL DEPOSIT INSURANCE CORPORATION

in Schedule FDI either segregated between demand deposits and time and savings
deposits according to the type of account to which the item is to be credited, or the
total amount shall be reported for additions to time and savings deposits. If the
bank elects to take deductions for unposted debits chargeable to deposit accounts
and actual amounts are shown on the records of the bank, it shall separately state
in the report of condition the actual amounts of the unposted debits either segregated
between demand deposits and time and savings deposits according to the type of
account against which the items are chargeable, or the total amount shall be reported
for deductions from demand deposits. When only the total amount of such unposted
credits or unposted debits is shown on the records of the bank, the bank may elect
to determine by experience factors such segregated amounts for either unposted
credits or unposted debits or both.
(d) Bank reporting on basis of experience factor. An insured bank whose records
do not show the amounts of unposted credits and unposted debits shall compute
by experience factor or factors the unposted credits and may so compute the unposted
debits. Banks with two years’ experience on January 1, 1961 may establish an ex­
perience factor or factors under paragraph (f) of this section, or, upon application
to and approval by the Corporation, may establish an experience factor or factors
under paragraph (g) of this section, the same as banks with less than two years’
experience. Such a bank, upon written approval by the Corporation, may be permitted
to use separate factors for computing the additions to demand deposits and to time
and savings deposits, or for computing the deductions from such deposits; or may be
permitted to use a single factor for computing additions to be made in total amount
to time and savings deposits or for computing deductions to be made in total amount
from demand deposits. When a single factor is used, the additions or deductions are
required to be made to or from the type of deposit giving the lesser advantage to
the bank in taking the 16% percent deduction from demand deposits and the 1
percent deduction from time and savings deposits.
(e) Procedure for obtaining approval of experience factor. Each bank operating
as an insured bank prior to January 1, 1961, which intends to use an experience
factor in computing the amounts of unposted credits or unposted debits, shall signify
its intention in writing to the Corporation not later than March 1, 1961. Any bank
becoming an insured bank on or after January 1, 1961, whose records do not show
amounts of unposted credits and unposted debits, and which proposes to report
such items for assessment purposes by means of experience factors, shall so inform
the Corporation within thirty (30) days after it becomes an insured bank. Upon
receipt of such notice, the Corporation will furnish to the bank a form for use in
submitting to the Corporation the computations used in determining the percentage
factor. Upon approval by the Corporation of such experience factors, the bank shall
thereafter use such factors in reporting unposted credits or debits until new experience
factors are established pursuant to paragraph (k) of this section,
(f) Experience factors for banks with not less than two years* experience on January 1,
1961. (1) The reporting bank may use either of the following experience factors in
reporting unposted credits for addition to the assessment base:
(i)
Separate experience factors for additions to demand deposits and to time and savings
deposits. The factor for:
(a)
Demand deposits shall be the percentage obtained by dividing the average
amount of unposted credits creditable to demand deposits which were added to
deposits in certified statements for the assessment base days in the last two years prior
to January l f 1961, by the average amount of total demand deposits shown on the
books of the bank on such base days; and




RULES AND REGULATIONS OF THE CORPORATION

75

(b)
Time and savings deposits shall be the percentage obtained by dividing the
average amount of unposted credits creditable to time and savings deposits which
were added to deposits in the certified statements for the assessment base days in
the last two years prior to January l f 1961, by the average amount of total time and
savings deposits shown on the books of the bank on such base days.
There shall be separately stated in the report of condition for addition to demand
deposits for assessment purposes, the amount obtained by multiplying the amount
of total demand deposits shown in the report of condition by the factor for demand
deposits, and for addition to time and savings deposits for assessment purposes the
amount obtained by multiplying the amount of total time and savings deposits
shown in the report of condition by the factor for time and savings deposits. In the
event that the records of the bank show the total amount of unposted credits which
were added to deposits in certified statements for the assessment base days in the last
two years prior to January 1, 1961, but do not show the amounts thereof segregated
as to those creditable to demand deposits and to time and savings deposits, the bank
may determine such segregated amounts for use in determining its separate experience
factors hereunder, in the following manner: The bank shall ascertain the percentage
to total unposted credits, of the unposted credits which are creditable to demand
deposits, and the percentage to total unposted credits, of the unposted credits which
are creditable to time and savings deposits, for the business days in the week commenc­
ing on March 15, 1961 and ending on March 21, 1961, both days inclusive, and shall
apply such percentages to the average amount of all unposted credits which were
added to deposits in such certified statements.
(ii)
Single experience factor. The factor shall be the percentage obtained by dividing
the average amount of all unposted credits which were added to deposits in certified
statements for the assessment base days in the last two years prior to January 1, 1961,
by the average amount of total deposits shown on the books of the bank for such base
days. There shall be separately stated in the report of condition for addition to time
and savings deposits for assessment purposes, the amount obtained by multiplying
the amount of total deposits shown in the report of condition by such factor.
(2)
The reporting bank may use either of the following experience factors in re­
porting unposted debits for deduction from the assessment base:
(i)
Separate experience factors for deductions from demand deposits and from time
and savings deposits. The factor for:
(a) Demand deposits shall be the percentage obtained by dividing the average
amount of unposted debits chargeable to demand deposits which were claimed as
deductions in the certified statements for the assessment base days in the last two
years prior to January 1, 1961, or, if not claimed as a deduction thereunder, the
amount of such unposted debits deducted from deposit liabilities before entry in such
certified statements, by the average amount of total demand deposits shown on
the books of the bank on such base days; and
(b) Time and savings deposits shall be the percentage obtained by dividing the
average amount of unposted debits chargeable to time and savings deposits which
were claimed as deductions in the certified statements for the assessment base days
in the last two years prior to January 1, 1961, or, if not claimed as a deduction there­
under, the amount of such unposted debits deducted from deposit liabilities before
entry in such certified statements, by the average amount of total time and savings
deposits shown on the books of the bank on such base days.
There shall be separately stated in the report of condition for deduction from




76

FEDERAL DEPOSIT INSURANCE CORPORATION

demand deposits for assessment purposes, the amount obtained by multiplying the
amount of total demand deposits shown in the report of condition by the factor for
demand deposits, and for deduction from time and savings deposits for assessment
purposes the amount obtained by multiplying the amount of total time and savings
deposits shown in the report of condition by the factor for time and savings deposits.
In the event that the records of the bank show the total amount of unposted debits
which were claimed as deductions in certified statements for the assessment base
days in the last two years prior to January 1, 1961 or deducted from deposit liabilities
fciefore entry in such certified statements, but do not show the amounts thereof segre­
gated as to those chargeable to demand deposits and to time and savings deposits,
the bank may determine such segregated amounts for use in determining its separate
experience factors hereunder, in the following manner: The bank shall ascertain the per­
centage to total unposted debits, of the unposted debits which are chargeable to
demand deposits, and the percentage to total unposted debits, of the unposted debits
which are chargeable to time and savings deposits, for the business days in the week
commencing on March 15, 1961 and ending on March 21, 1961, both days inclusive,
and shall apply such percentages to the average amount of all unposted debits which
were claimed as deductions in such certified statements or deducted from deposit
liabilities before entry in such certified statements,
(ii)
Single experience factor. The factor shall be the percentage obtained by dividing
the average amount of all unposted debits which were claimed as deductions in the
certified statements for the assessment base days in the last two years prior to January
1, 1961, or, if not claimed as a deduction thereunder, the amount of unposted debits
deducted from deposit liabilities before entry in such certified statements, by the
average amount of total deposits shown on the books of the bank on such base days.
There shall be separately stated in the report of condition for deduction from demand
deposits for assessment purposes, the amount obtained by multiplying the amount
of total deposits shown in the report of condition by such factor. If the amount of
deductions so obtained exceeds demand deposits, the excess thereof may be deducted
from time and savings deposits.
(g)
Experience factors for banks with less than two years1experience. (1) The reporting
bank may use either of the following experience factors in reporting unposted credits
for addition to the assessment base for two years:
(i)
Separate experience factors for additions to demand deposits and to time and savings
d£posits. The factor for each semiannual period for:
(а) Demand deposits shall be the percentage obtained by dividing the amount
of unposted credits on March 15, 1961 and thereafter on the first business day of
February or August which are creditable to demand deposits by the amount of total
demand deposits as shown on the books of the bank at the close of business on the same
day; and
(б) Time and savings deposits shall be the percentage obtained by dividing the
amount of unposted credits on March 15, 1961 and thereafter on the first business
day of February or August which are creditable to time and savings deposits by the
amount of total time and savings deposits as shown on the books of the bank at the
close of business on the same day.
The bank shall determine, on March 15, 1961 and thereafter on the first business
day of February or August until two years’ experience has been obtained, the actual
amount of unposted credits segregated according to the type of account to which
creditable. There shall be separately stated in each report of condition for addition
to demand deposits for assessment purposes, the amount obtained by multiplying




RULES AND REGULATIONS OF THE CORPORATION

77

the amount of total demand deposits shown in the report of condition by the factor
for demand deposits for such semiannual period, and for addition to time and savings
deposits for assessment purposes the amount obtained by multiplying the amount
of total time and savings deposits shown in each report of condition by the factor
for time and savings deposits for such semiannual period.
(ii) Single experience factor. The factor for each semiannual period shall be the
percentage obtained by dividing the amount of all unposted credits on March 15,
1961 and thereafter on the first business day of February or August by the total
deposits as shown on the books of the bank at the close of business on the same day.
The bank shall determine, on March 15, 1961 and thereafter on the first business
day of February or August until two years’ experience has been obtained, the actual
amount of all unposted credits. There shall be separately stated in each report of
condition for addition to time and savings deposits for assessment purposes, the
amount obtained by multiplying the amount of total deposits shown in the report
of condition by the factor for such semiannual period.
(iii) Permanent experience factor. When two years’ experience has been obtained
under this paragraph, a new factor shall be computed and used for the ninth and
subsequent reports of condition. This factor shall be the percentage obtained by divid­
ing the aggregate amount of the unposted credits by the aggregate amount of the
deposits, which were used in establishing each factor for the four preceding semiannual
periods.
(2)
Reporting bank may use either of the following experience factors in reporting
unposted debits for deduction from the assessment base for two years:
(i) Separate experience factors for demand deposits and for time and savings deposits.
The factor for each semiannual period:
(а) Demand deposits shall be the percentage obtained by dividing the amount
of unposted debits on March 15, 1961 and thereafter on the first business day of
February or August which are chargeable to demand deposits by the amount of total
demand deposits as shown on the books of the bank at the close of business on the
same day; and
(б) Time and savings deposits shall be the percentage obtained by dividing the
amount of unposted debits on March 15, 1961 and thereafter on the first business
day of February or August which are chargeable to time and savings deposits by the
amount of total time and savings deposits as shown on the books of the bank at the
close of business on the same day.
The bank shall determine, on March 15, 1961 and thereafter on the first business
day of February or August until two years’ experience has been obtained, the actual
amount of unposted debits segregated according to the type of account against which
chargeable. There shall be separately stated in each report of condition for deduction
from demand deposits for assessment purposes, the amount obtained by multiplying
the amount of total demand deposits shown in the report of condition by the factor
for demand deposits for such semiannual period, and for deduction from time and
savings deposits for assessment purposes the amount obtained by multiplying the
amount of total time and savings deposits shown in the report of condition by the
factor for time and savings deposits for such semiannual period.
(ii) Single experience factor. The factor for the semiannual period shall be the
percentage obtained by dividing the amount of all unposted debits on March 15,
1961 and thereafter on the first business day of February or August by the total




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FEDERAL DEPOSIT INSURANCE CORPORATION

deposits as shown on the books of the bank at the close of business on the same day.
The bank shall determine, on March 15, 1961 and thereafter on the first business
day of February or August until two years' experience has been obtained, the actual
amount of all unposted debits. There shall be separately stated in each report of
condition for deduction from demand deposits for assessment purposes, the amount
obtained by multiplying the amount of total deposits shown in the report of condition
by the factor for such semiannual period. If the amount of deductions so obtained
exceeds demand deposits, the excess thereof may be deducted from time and savings
deposits.
(iii)
Permanent experience factor. When two years' experience has been obtained
under this paragraph, a new factor shall be computed and used for the ninth and
subsequent reports of condition. This factor shall be the percentage obtained by divid­
ing the aggregate amount of the unposted debits by the aggregate amount of the de­
posits, which were used in establishing each factor for the four preceding semiannual
periods.
(3)
When it is impractical to segregate the amounts of unposted credits or debits
outstanding in a “ branch clearings” account or similar account or to segregate such
unposted credits or debits between demand deposits and time and savings deposits
in computing a factor or factors under this paragraph, such amounts may be ascer­
tained in accordance with computation methods approved by the Corporation,
upon application of the bank to the Corporation for permission to compute such
amounts.
(h) Experience factors for newly insured banks. A newly insured bank may determine
its experience factors in the same manner as that provided for banks with less than
two years' experience in subparagraphs (1) and (2) of paragraph (g) of this section,
except that in preparing its first report of condition for assessment purposes it shall
determine the actual amounts of unposted credits, debits and deposits on a day
designated by the Corporation, instead of on the first business day of February or
August.
(i) Mergers, consolidations, deposit assumptions, and conversions. The continuing
or resulting bank in a merger, consolidation or deposit assumption transaction, in­
volving one or more banks which used an experience factor, shall use new experience
factors based on the combined experience of the participating banks for the two-year
period prior to such transaction or may establish a new factor or factors in accordance
with paragraph (g) of this section. A bank resulting from the conversion of a bank
shall continue to use the experience factors of the converted bank.
(j) Use of experience factor. Experience factors for the computation of unposted
credits or unposted debits or both, once established by any bank and approved by
the Corporation, must continue to be used for a period of at least three years and
until a new factor or factors are established with the approval of the Corporation
or until such time as the accounting methods of the bank are changed to show actual
amounts thereof from day to day.
(k) Bank establishing new experience factors. Upon thirty days’ written notice to
the Corporation, a bank may establish new permanent factors in the manner provided
in subparagraphs (1) and (2) of paragraph (g) of this section: Provided, however,
That until such new permanent factors have been determined and approved in writing
by the Corporation the bank shall continue to use its pre-established factors.
(1)
Corporation requiring new experience factors. The Corporation may require
a bank to establish new factors at any time as provided in subparagraphs (1) or (2),
or both, of paragraph (g) of this section, and for this purpose may designate a day




RULES AND REGULATIONS OF THE CORPORATION

79

or days and a period or periods other than those specified therein for the determination
of deposits and the actual amounts of unposted credits or unposted debits, or both.
When such new factor or factors have been computed either by the bank or the Corpo­
ration and have been approved in writing by the Corporation, the bank shall use
such new factor or factors for reports of condition filed thereafter.
(m) Notice to Corporation of changes in accounting methods. When a bank changes
its accounting procedures from those used in the period in which its experience factors
were established, in such manner as to increase or decrease the amount of unposted
credits or unposted debits, it shall promptly give written notice to the Corporation
of such change.
§ 327.2 Classification of deposits.
(a) The deposits to be reported in the reports of condition required to be made
under section 7 of the Federal Deposit Insurance Act (12 U.S.C. 1817) shall be segre­
gated between the time and savings deposits and the demand deposits.
(b) The time and savings deposits for the purpose of such reports and for the
computation of assessments as provided in subsection (b) of section 7 of the Act
(12 U.S.C. 1817) shall consist of:
(1) Time certificates of deposit evidenced by an instrument providing on its face
that the amount of such deposit is payable on a certain date not less than thirty
days after the date of deposit, at the expiration of a specified period not less than
thirty days after the date of the instrument, or upon written notice to be given not
less than thirty days before the date of payment;
(2) Time deposits, open account, being a deposit other than a time certificate of
deposit or a savings deposit, with respect to which there is in force a written contract
with the depositor that neither the whole nor any part of such deposit may be with­
drawn prior to the date of maturity which shall not be less than thirty days after the
date of the deposit or prior to the expiration of the period of notice which must be
given by the depositor in writing not less than thirty days in advance of withdrawals,
including deposits such as Christmas club accounts and vacation club accounts,
which are made under written contracts providing that no withdrawal shall be made
until a certain number of periodic deposits have been made during a period of not
less than three (3) months, even though some of the deposits are made within thirty
(30) days from the end of such period; and
(3) Deposits accumulated for the payment of personal loans representing the
aggregate of amounts which are accumulated by borrowers for payment of personal
loans in accounts opened by borrowers in connection with personal loans (whether
or not the bank maintains a separate personal loan department) and which, under
contracts between the bank and the borrowers, do not immediately reduce the unpaid
balances of the loans but are assigned or pledged to assure repayment of the personal
loans at maturity, except that amounts received by the bank which under contracts
with the borrowers constitute installment payments on personal loans and immedi­
ately reduce the unpaid balances of the loans even though recorded on separate
accounts on the books of the bank shall not be reported as deposits; and
(4) Savings deposits being deposits evidenced by a passbook or written receipt
or agreement (i) deposited to the credit of one or more individuals or of a corporation,
association, or other organization operated primarily for religious, philanthropic,
charitable, educational, fraternal, or other similar purposes and not operated for
profit, or (ii) in which the entire beneficial interest is held by one or more individuals
or by such a corporation, association, or other organization and in respect to which




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FEDERAL DEPOSIT INSURANCE CORPORATION

(iii) the depositor is required, or may at any time be required, by the bank to give
notice in writing of an intended withdrawal not less than thirty (30) days before
such withdrawal is made and (iv) withdrawals are permitted in only two ways, either
upon presentation of a passbook, if any, through payment to the person presenting
the passbook, or without presentation of a passbook, through payment to the de­
positor himself but not to any other person, whether or not acting for the depositor.
(c)
Demand deposits shall consist of all deposits other than time and savings
deposits.
§ 327.3 Payment of assessments by banks whose insured status has terminated.
(a) Assumed deposits of terminating bank become deposits of assuming bank. When
the deposit liabilities of an insured bank are assumed by another insured bank the
assumed deposits, for assessment purposes, shall be deposit liabilities of the assuming
bank and shall cease to be deposit liabilities of the bank whose deposits are assumed
from and after the effective date of the assumption.
(b) Payment of assessments by assuming bank on assumed deposits of terminating
bank. Where the deposit liabilities of an insured bank are assumed by another insured
bank and the assuming bank agrees to file the Certified Statement which the termi­
nating bank is required to file, the filing of such Certified Statement and the payment
of the assessment thereon by the assuming bank shall be deemed the acts of the
terminating bank: Provided, That the requisite notice of assumption1 be given to
the depositors of the terminating bank, and Provided further, That such Certified
Statement shall be filed separately from that required to be filed by the assuming bank.
(c) Resumption of insured status before insurance of deposits ceases. If a bank whose
insured status has been terminated under section 8 (a) or (b) of the Federal Deposit
Insurance Act, makes application to the Corporation, before the insurance of its
deposits shall have ceased, to be permitted to continue or to resume its status as an
insured bank and if the Board of Directors grants the application, the bank will be
deemed, for assessment purposes, to continue as an insured bank and must thereafter
furnish Certified Statements and pay assessments as though its insured status had
not been terminated. For the procedure to be followed in making such application,
see § 303.7 of this chapter.
§ 327.4 Time of payment.
Each insured bank shall pay to the Corporation the amount of the semiannual
assessment due to the Corporation, as shown on its Certified Statement,2 at the
time such statement is required to be filed under section 7 (c) of the Federal Deposit
Insurance Act.
B.
Part 326 of the Corporation’s rules and regulations, relating to bank obligations
prescribed as deposits, is repealed effective January 16, 1961, because of the amend­
ment of the definition of the term “ deposit” in subsection (1) of section 3 of the
Federal Deposit Insurance Act, as amended by Public Law 86— 671, approved July
14, 1960 and effective on January 1, 1961 except as to the determination and payment
of assessments due on January 15, 1961 (12 U.S.C. 1813 (1)): Provided, That rights
and liabilities existing on or before January 1, 1961, with respect to insured deposits,
and existing on or before January 15, 1961 with respect to the determination and
payment of assessments, are not affected by such repeal.
As the repeal of Part 326 as provided herein and the following amendments of
§§ 301.1, 303.5, 304.1, 304.2 and 304.3 do not diminish the rights of insured banks,
1 The requisite notice of assumption shall be the notice prescribed in § 307.3 of this chapter.
2 See §§ 304.1 and 304.3 of this chapter.




RULES AND REGULATIONS OF THE CORPORATION

81

notice of them as proposed rules is found to be unnecessary. Further, it is found that
the effective date of the amendment of Part 327 and of the repeal of Part 326 as
provided herein should not be deferred for thirty days, because of the effective dates
of the amendments of the Federal Deposit Insurance Act by Public Law 86— 671,
approved July 14, 1960, and the effective date of the other amendments should not
be deferred for thirty days, because they relate to applications, reports and forms
and do not impose additional substantive burdens upon insured banks.
The following amendments of the rules and regulations of the Corporation are
adopted effective January 16, 1961:
§ 301.1 [Amendment]
1. In § 301.1 delete the following: “ (Act of Sept. 21, 1950, Pub. Law 797, 81st
Cong.),” and substitute therefor the following: “ (12 U.S.C. 1811— 1831)/’.
§ 303.5 [Amendment]
2. Paragraph (c) of § 303.5 is amended to read as follows:
(c)
Merger, consolidation, asset acquisition or assumption transaction between insured
banks. Application by an insured bank for the consent of the Corporation to merge
or consolidate with, acquire the assets of, or assume the liability to pay any deposits
made in, another insured bank— when the resulting or assuming bank is to be an
insured State nonmember bank (except a District bank)— together with copies of all
agreements or proposed agreements relating thereto, including the charter or articles
of incorporation of the resulting or assuming bank, should be filed with the Supervising
Examiner of the Federal Deposit Insurance District in which the resulting or assuming
bank is located. The appropriate form of application and instructions for completing
the same may be obtained upon request from the office of said Supervising Examiner.
§ 304.1 [Amendment]
3. In § 304.1 delete the words “ and pursuant to the instructions” in the first sentence
and delete the words “and instructions for completing the same” in the second sentence.
§ 304.2 [Amendment]
4. In § 304.2 delete the words “ by the board of directors pursuant to law” in the
first sentence and add at the end of the section the following sentence: “ Each insured
national bank and each insured District bank at the time of making reports of con­
ditions to the Comptroller of the Currency and each insured State member bank at
the time of making reports of condition to the Federal Reserve bank, required under
the Federal Deposit Insurance Act, shall furnish an executed and attested copy
thereof to the Corporation.”
§ 304.3 [Amendment]
5. In paragraph (a) of § 304.3 insert after the words “ other application” in the
third sentence the words “may be”.
6. In paragraph (d) of § 304.3 delete the words “ other application retained by the
bank as part of its permanent records” in the third sentence and substitute therefor
the words “ other application may be retained by the bank”.
7. In paragraph (g) of § 304.3 delete the words “ other application retained in the
files of the bank as part of its permanent records” in the fourth sentence and substitute
therefor the words “ other application may be retained by the bank” .




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FEDERAL DEPOSIT INSURANCE CORPORATION

8. Amend § 304.3 by redesignating paragraphs (i) through (u) as paragraphs (j)
through (v), respectively, and by adding a new paragraph (i) to read as follows:
(i)
Form 86: Application for merger, consolidation, asset acquisition or assumption.
The bank applying for prior written consent to merge with, consolidate with, acquire
the assets of, or assume liability to pay deposits made in, another bank or institution,
pursuant to section 18(c) of the Federal Deposit Insurance Act and for the establish­
ment of branches incident thereto pursuant to section 18(d) of the Act is required to
submit statements, representations, and information with respect to the several
factors enumerated in said section 18(c). Twelve copies of the application and all
documents, schedules and exhibits, including the agreement between the participating
banks and the charter or articles of incorporation of the resulting or assuming bank,
axe to be executed by an authorized officer with the bank’s corporate seal affixed
and forwarded to the Supervising Examiner. The Corporation will furnish the ap­
plicant bank with a form of the notice (Form 116) for publication provided for in
said section 18(c).
9. In redesignated paragraph (k) of § 304.3 delete the words ‘‘one copy retained
in the bank’s files” in the fifth sentence and substitute therefor the words “ one copy
may be retained by the bank” .
10. In redesignated paragraph (1) of § 304.3 delete the parenthetical statement
“ (Short form)” wherever it appears in said paragraph, and at the end of the first
sentence add the words “and information for assessment purposes” .
11. In redesignated paragraph (m) of § 304.3 delete the parenthetical statement
“ (Short form)” .
12. Section 304.3 is amended by deleting redesignated paragraphs (q) through (v),
inclusive, and substituting therefor the following paragraphs (q) through (y):
(q) Form 545: Certified Statement (for banks other than mutual savings). A Form 545
must be submitted on or before January 31 and July 31 of each year by every insured
fctank, except any newly insured banks which must submit their First Certified State­
ment on Form 645, and any mutual savings banks which must use Form 545 (Savings).
Farm 545 shows the deposit liabilities, less authorized deductions, reported in two
reports of condition in each semiannual assessment period. The form will show the
computation of the assessment base and the amount of the assessment due the Corpo­
ration. It must be prepared in duplicate, certified by the president of the bank or
any other officer designated by its board of directors and an original must be forwarded
to the Fiscal Agent. The duplicate copy should be retained in the bank’s file.4 The
forms are mailed to all insured banks each six months in ample time to permit com­
pliance with the law, but if not received on or before January 1 or July 1, they should
be obtained from the Fiscal Agent. Any questions in respect to such forms should
be directed to the Fiscal Agent.
(r) Form 545 (Savings): Certified Statement (for mutual savings banks). This form
is substantially the same as Form 545, and should be used by mutual savings banks.
(s) Form 645: First Certified Statement (for banks other than mutual savings). The
First Certified Statement, Form 645, must be submitted on or before July 31 or January
31 following the semiannual period in which the bank began operation as an insured
4 Section 7 (b) (6) of the Federal Deposit Insurance Act, which relates to assessment base deductions,
provides, in part, as follows: “ Each insured bank, as a condition to the right to make any such deduction
in determining its assessment base, shall maintain such records as will readily permit verification of the
correctness of its assessment base. No insured bank shall be required to retain such records for such
purpose for a period in excess of five years from the date of the filing of any certified statement, except
that when there is a dispute between the insured bank and the Corporation over the amount of any
assessment the bank shall retain such records until final determination of the issue.”




RULES AND REGULATIONS OF THE CORPORATION

83

bank. The form shows the deposit liabilities, less authorized deductions, as provided
by law, on the last date within such period for which it was required to submit a
report of condition or if such bank became an insured bank after the last date in such
period for which a report of condition was required, such bank shall make a report
of condition as of the last day of such semiannual period, and shall file with the Corpo­
ration a Certified Statement showing, as its assessment base for such period, its
assessment base for the date of such special report. The form will show the computation
of the assessment base and the amount of the assessment due the Corporation. It
must be prepared in duplicate, certified by the president of the bank or any other
officer designated by its board of directors, and the original must be forwarded to
the Fiscal Agent. The duplicate copy should be retained in the bank’s file.4 The forms
will be mailed by the Fiscal Agent to newly insured banks with appropriate instructions
for their preparation.
(t) Form 645 (Savings): First Certified Statement (for mutual savings banks). This
form is substantially the same as Form 645 and should be used by mutual savings
banks.
(u)
Form 845: Final Certified Statement—for use by an insured bank (except mutual
savings banks) whose deposits are assumed by another insured bank. This statement,
Form 845, shows the deposit liabilities, less authorized deductions of the bank in
the report or reports of condition prior to the assumption date. Form 845 accompanied
by appropriate letter of explanation and instructions will be mailed by the Fiscal
Agent to each insured bank whose deposit liabilities are assumed by another insured
bank. The form must be prepared in duplicate, certified by the president of the bank
or any other officer designated by its board of directors and the original must be
forwarded to the Fiscal Agent. The duplicate copy should be retained in the bank’s
files.4 If the deposits of the liquidating bank are assumed by a newly insured bank,
the liquidating bank is not required to file Form 845 or to pay any assessments upon
the deposits so assumed after the semiannual period in which the assumption takes
effect.
(v) Form 845 (Savings): Final Certified Statement (for mutual savings banks). This
form is substantially the same as Form 845 and should be used by mutual savings
banks.
(w) Form 845A : Final Certified Statement—for use of an insured bank (other than
mutual savings banks) whose deposit liabilities are assumed by another insured operating
bank. (To be used when the assuming bank executes the Certified Statement for the
bank whose deposits were assumed.) Form 845A may be substituted for Form 845
described in paragraph (u) of this section if the assuming bank is executing the Certified
Statement for the bank whose deposit liabilities were assumed. Form 845A is prepared
in the same manner as Form 845 except the certification is executed by an official
of the assuming bank.
(x) Form 845A (Savings): Final Certified Statement—for use of an insured mutual
savings bank whose deposit liabilities are assumed by another insured operating bank.
(To be used when the assuming bank executes the Certified Statement for the bank
whose deposits were assumed.) Form 845A (Savings) may be substituted for Form 845
(Savings) described in paragraph (v) of this section if the assuming bank is executing
the Certified Statement for the bank whose deposit liabilities were assumed. Form
845A (Savings) is prepared in the same manner as Form 845 (Savings) except the
certification is executed by an official of the assuming bank.
* See footnote above.




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FEDERAL DEPOSIT INSURANCE CORPORATION

(y) Amended and corrected Certified Statements. Forms for use in amending or
correcting previously submitted Certified Statements are identical in number and
form with Forms 545, 645, 845 and 845A (for other than mutual savings banks)
and Forms 545 (Savings), 645 (Savings), 845 (Savings), and 845A (Savings) described
above except the title of the form contains the additional word “ Amended” or “ Cor­
rected” . These forms may be obtained on request from the Fiscal Agent.
Federal D
[s e a l ]

E.

F. D

e p o s it

I n surance

C o r p o r a t io n ,

ow ney,

Secretary.
[F.R. Doc. 61-359; Filed, Jan. 13, 1961; 8:53 a.m.]

St a t e B a n k in g Le g is l a t io n
In 1960, the legislatures of twenty-one States held regular sessions. Four of these
legislatures also held special sessions, along with the legislature of one other State.
Some of the more important State banking legislation enacted in 1960 is summarized
below.
s u p e r v is o r y a u t h o r it y

Establishment of mutual savings banks............................................Alaska (Ch. 132)
Fees for examination of certain trust companies............................. Georgia (Art. 932)
Authority of Superintendent of Banks to regulate banks...............Georgia (Art. 442)
Fees for examinations...............................................................................Georgia (Art. 647)
State Depository Board and depositories............................................Georgia (Art. 912)
New or additional private banks prohibited....................................... Georgia (Art. 939)
Establishment of drive-in windows at branch offices or branch banks.......................
............................................................................................................Mississippi (S.B. 1858)
Service of copy of examination reports on president or secretary of board of directors
.....................................................................................................................Nevada (Ch. 147)
Investigation fees for approval of organization and branch offices........ ..................
............................................................................................. New York (Ch. 51), (Ch. 555)
Discretion of Superintendent of Banks............................................New York (Ch. 146)
Fees for changes in location............................................................... New York (Ch. 153)
Extension of time within which Superintendent may make investigation...............
................................................................................................................New York (Ch. 453)
Amendments to charter.....................................................................Rhode Island (Ch. 71)
g e n e r a l o p e r a t i n g p r o v is io n s

Amendment to gift of securities to minors act................................Georgia (Art. 563)
Periodic distribution of income from trust property.....................Georgia (Art. 533)
Amendment to Securities Act..............................................................Georgia (Art. 656)
Bank investments in small business investment companies operating under Federal
Act.............................................................................................................. Hawaii (S.B. 247)
Validity of certain open end mortgages.. .Kentucky (Ch. 89); So. Carolina (Art. 902)
Uniform gifts to minors act................................................................ Kentucky (Ch. 108)
Transfers of property or money of deceased persons.....................Louisiana (Art. 35)




STATE BANKING LEGISLATION

85

Sales of securities by banks and trust companies...........................Louisiana (Art. 164)
Uniform law for simplification of fiduciary security transfers...................................
................................................Georgia (Art. 615); Louisiana (Art. 444); Maryland
(Ch. 92); Mississippi (S.B. 1939); So. Carolina (Art. 829); Virginia (Ch. 21)
Payment of dividends of savings institutions................................. Maryland (Ch. 94)
Safekeeping of certain securities and pass books of depositors.. Massachusetts (Ch. 27)
Time for filing annual reports of savings banks........................... Massachusetts (Ch. 58)
Encouraging organization of small business companies................................................
............................................................ Mississippi (H.B. 472); So. Carolina (Art. 999)
Deposits of moneys and investment of funds of minors...............New Jersey (Ch. 71)
Uniform Securities Law........................................................................ New Jersey (Ch. 75)
Transfer of securities by fiduciaries.................................................. New Jersey (Ch. 200)
Examinations by trustees of savings banks.......................................New York (Ch. 39)
Opening and operating foreign branches by banks and trust companies...................
..................................................................................................................New York (Ch. 76)
Regulation of interest charged by banking organizations...........New York (Ch. 349)
Power of savings banks to service mortgages....................................New York (Ch. 475)
Conflicting claims of authority to act with respect to property held by banks and
trust companies........................................New York (Ch. 519); (Ch. 521); (Ch. 520)
Transaction of business by foreign banks..........................................New York (Ch. 553)
Advances by banks and trust companies...........................................New York (Ch. 784)
Permissive closing one day a week................................................So. Carolina (Art. 604)
Requirement of cash for par value of stock issued. . . . So. Carolina (Art. 813); (Art. 915)
Retention and disposition of records of banks...........................So. Carolina (Art. 811)
Annual approval of officer and employee bonds by board of directors.......................
............................................................................ .............................. So. Carolina (Art. 812)
Legality of checking accounts of minors..................................... So. Carolina (Art. 957)
Negotiation of instrument by agent after death of drawer or endorser.......................
.............................................................................. ............................ So. Carolina (Art. 911)
Transfer of securities registered in joint names................................... Virginia (Ch. 20)
Permissive closing of certain banks on Saturdays...............Virginia (Ch. 24); (Ch. 588)
Industrial Development Corporation Act..............................................Virginia (Ch. 80)
Payment of commissions, fees, etc. for sale of stock of banks and trust companies
.................................................................................................................... Virginia (Ch. 276)
Recordation of security trusts..................................................................Virginia (Ch. 565)
loans

Loans by foreign banks and similar lending institutions...................Alaska (Ch. 113)
Loans to veterans......................................................................................... Alaska (Ch. 137)
Regulation of real estate loan brokers..............................................California (Ch. 78)
Exemptions from limitations on maximum debts to banks and trust companies..
.................................................................................................................Kentucky (Ch. 152)
Borrowings by credit unions from banks................................... Massachusetts (Ch. 60)
Increase in aggregate balance of principal of certain participation loans by a savings
bank............................................................................................... Massachusetts (Ch. 256)




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FEDERAL DEPOSIT INSURANCE CORPORATION

Authorizing savings banks to make certain collateral loans in participation with
other savings banks.................................................................... Massachusetts (Ch. 257)
Increasing amount savings banks may lend on certain personal loans and extending
time of payment..........................................................................Massachusetts (Ch. 272)
Mortgage loans by savings banks.......... Massachusetts (Ch. 289); New York (Ch. 973)
Authorizing banks to make certain FHA insured loans................................................
........................................................ Massachusetts (Ch. 422); West Virginia (Ch. 14)
Limitation on loans........................................................................ Michigan (P.Act. 87);
New Jersey (Ch. 181); Virginia (Ch. 27), (Ch. 23)
Restriction on real estate loans by private banks.....................New York (Ch. I l l )
Restrictions on loans by industrial banks............................... New York (Ch. A.B. 326)
Restrictions on real estate loans by banks and trust companies. .New York (Ch. 357)
Loans by savings banks........................................................New York (Ch. 505), (Ch. 970)
Loans to other banks.........................................................................So. Carolina (Art. 810)
Certain loans to manufacturing and industrial businesses considered commercial
loans.............................................................................................................Virginia (Ch. 22)
Removal of defense of infancy in college loans................................... Virginia (Ch. 78)
Minimum interest on certain loans.......................................................... Virginia (Ch. 74)
INVESTMENTS

Investments by fiduciaries................................... Kentucky (Ch. 155); Virginia (Ch. 589)
Investment of bank funds................................... Kentucky (Ch. 153); Virginia (Ch. 522)
Investment in securities of federal housing agencies.......................Kentucky (Ch. 163)
Investment in mortgage loans by savings banks...................Massachusetts (Ch. 607)
Investments by savings banks in bonds and mortgages on certain real property
........................................... New York (Ch. 221), (Ch. 239); So. Carolina (Art. 748)
Investments of savings banks funds...........................New York (Ch. 704), (Ch. 966)
Removal of certain restrictions on investments by savings bank investment funds
........................................................................................................ Massachusetts (Ch. 219)
reserves

Prescribed amount of paid-up capital and surplus............................. Nevada (Ch. 146)
Method of computing cash and balances required on hand...............Nevada (Ch. 145)

d e p o s it s

Acceptance of savings banks of deposits to secure performance of lease...................
............................................................................................................... New York (Ch. 119)
Deposits of custodians of certain funds......................................... New York (Ch. 476)
Disposition of unclaimed deposits.......... Rhode Island (Ch. 60); Virginia (Ch. 330)

Penalty for issuing false checks.............................................................. Arizona (Ch. 61)
Regulation of sale of checks, drafts, and money orders as a service or for a fee.. . .
............................................................................................................. Michigan (P. Act 136)
Bad Check law............................................................................................. Nevada (Ch. 214)
Jurisdiction in issue of fraudulent checks........ ...................... So. Carolina (Art. 993)




STATE BANKING LEGISLATION

87

DIRECTORS, TRUSTEES, OFFICERS AND EMPLOYEES

Public Notice of names of Directors and Shares (repealed)...............Arizona (Ch. 40)
Embezzlements and false entries, penalty....................................... Michigan (P.Act 31)
LIQUIDATION

Purchase and sale of property of savings banks in possession of commissioner.. . .
........................................................................................................ Massachusetts (Ch. 477)
Accounting by receivers and liquidating agents...........................So. Carolina (Art. 814)
Compensation of receivers............................................................... So. Carolina (Art. 815)
MISCELLANEOUS

Legal rate of interest.........................................................................Delaware (H.B. 544)
Financing of sale of motor vehicles.................................................Delaware (S.B. 102)
Retail installment sales...................................................................... Delaware (H.B. 550)
Tax on bank deposits.............................................................................. Kentucky (Ch. 186)
Business Development Corporation Act............................................. Kentucky (Ch. 73)
Escheat of unclaimed property......................................................... Kentucky (Ch. 142)
Taxation of savings banks........................................................... Massachusetts (Ch. 558)
Regulation of bank holding companies............................................New York (Ch. 237)
Amending negotiable instrument law in relation to when instrument is payable
to bearer..............................................................................................New York (Ch. 726)
Effect of taking usurious interest................................. New York (Ch. 963), (Ch. 960)
Maintenance of public accommodation offices............................. New York (Ch. 1064)
Tax on intangible personal property........................................... Rhode Island (Ch. 52)
Tax on bank deposits generally.................................................... Rhode Island (Ch. 59)
Borrowing powers of savings banks..............................................Rhode Island (Ch. 123)
Tax on bank and trust company stock.................................................Virginia (Ch. 335)










PART FOUR
BANKING DEVELOPMENTS




S u p e r v is o r y

S ta tu s

of

B anks a t th e

End

of

1960

Supervisory status o f banks. Under the Banking Act of 1933, as
amended in 1935 and 1959, all banks of deposit are required to submit to
examination and regulation under the laws of the United States or of the
State, Territory, or District in which the bank is located.1 Table 30
classifies the banks and trust companies operating in the United States
at the end of 1960 according to the supervisory authority or authorities
to which they are subject. Of the 13,999 banks, 32 percent were subject to
Federal Government supervision only, 64 percent to both Federal and
State supervision, and 4 percent to State supervision only.

Table 30.
and

C l a s s i f i c a t io n o f B a n k s A c c o r d in g t o S u p e r v is o r y S t a t u s
F e d e r a l D e p o s it I n s u r a n c e P a r t i c ip a t i o n , D e c e m b e r 31, 1960
Commercial banks
and trust
companies1

All banks

Mutual savings
banks

Supervisory status
Total

N um ber of banks and trust
companies— to ta l.........
Banks of deposit..............
Examined by and report­
ing to:2
Comptroller of the
Currency3......................
State authorities and
Federal Reserve banks4
State authorities and
Federal Deposit In­
surance Corporation5.
State authorities only8. .
Trust companies not
regularly engaged in
deposit banking7...........
Percentage insured and
noninsured:
All banks and trust com­
panies .................................
Banks of deposit.................
Trust companies not regu­
larly engaged in de­
posit banking.................

Insured

Non­
insured

Insured

Non­
insured

Insured

Non­
insured

13,999

13,451

548

13,126

358

325

190

13,945

13,451

494

13,126

304

325

190

4,537

4,537

4,537

1,639

1,639

1,637

7,275
494

7,275

6,952

323

494

96.1%
96.5

100.0

304

54

54

100.0%
100.0

2

54

3 .9 %
3.5
100.0

97.3%
97.7

2 .7%
2.3

190

63.1%
63.1

36.9%
36.9

100.0

1 Includes stock savings banks.
2 Classification relates to regular examination and periodic submission of reports of condition (assets
and liabilities).
3 Includes all national banks and 7 nonnational banks in the District of Columbia; of the latter, 4 are
members of the Federal Reserve System.
*
Includes all State banks that are members of the Federal Reserve System except 4 commercial banks
in the District of Columbia and 1 noninsured trust company.
5 Includes all insured banks not members of the Federal Reserve System except 3 in the District of
Columbia. Includes 1 unincorporated bank which is insured.
6 Includes 85 unincorporated banks located in seven States. Unincorporated banks in 3 of these States
are not examined by the State authorities: these banks and industrial banks in one other State do not sub­
mit periodic condition reports to the State authorities. At the end of 1960 no State permitted the estab­
lishment of new unincorporated banks.
7 Subject to supervision by State authorities only except for 1 which is a member of the Federal
Reserve System but not insured.
i United States Code, Title 12, section 378.




91

92

FEDERAL DEPOSIT INSURANCE CORPORATION

Banks subject only to Federal supervision include all national banks
and all other banks located in the District of Columbia, and are under the
jurisdiction of the Comptroller of the Currency. Of the banks subject to
both Federal and State supervision, more than four-fifths are not members
of the Federal Reserve System and are regularly examined by and submit
reports of condition to the Federal Deposit Insurance Corporation. Less
than one-fifth of the banks subject to both Federal and State supervision
are members of the Federal Reserve System and are examined by and
submit reports of condition to the Federal Reserve banks of the respective
districts in which they are located. The banks and trust companies which
are subject to State supervision only are those not insured by the Federal
Deposit Insurance Corporation. However, some of the noninsured banks,
mostly unincorporated banks in Georgia, Iowa, and Texas, do not submit
reports of condition to and are not examined by the State bank super­
visory authority. About three-tenths of all the noninsured banks and trust
companies are not eligible for participation in deposit insurance, because
they are trust companies not regularly engaged in deposit banking, or are
unincorporated banks, or operate under laws which do not bring them
within the definition of State banks in the Federal Deposit Insurance Act-

Table 31.

A s s e t s o f B a n k s C l a s s if ie d A c c o r d in g t o S u p e r v is o r y S t a t u s
a n d F e d e r a l D e p o s i t I n s u r a n c e P a r t i c i p a t i o n , D e c e m b e r 31, 1960
Commercial banks
and trust
companies

All banks

Mutual savings
banks

Supervisory status1
Total

B Insured

Non­
insured

Insured

Non­
insured

Insured

Noninsured

Assets of banks and trust
companies (in m il­
lions)— to ta l................... $298,932

$291,415

$7,517

$256,323

$2,036

$35,092

$5,481

298,716

291,415

7,301

256,323

13 2 0

35,092

5,481

139,996

139,996

139,996

76,761

76,761

76,740

74,658
7,301

74,658

Banks of deposit..............
Examined by and report­
ing to:
Comptroller of the
Currency...................
State authorities and
Federal Reserve banks
State authorities and
Federal Deposit In­
surance Corporation. .
State authorities on ly...
Trust companies not
regularly engaged in
deposit banking...........
Percentage in insured and
noninsured banks:
All banks and trust com­
panies .............................
Banks of deposit.............
Trust companies not regu­
larly engaged in deposit
banking.........................

100.0
100.0

39,587

216

97.5%
97.6

1,820

216

2.5 %
2.4
100.0

1 See notes to Table 30.
Note: Due to rounding, components may not add to total.




35,071

7,301

216

100.0%

21

99.2%
99.3

0 .8 %
0.7
100.0

5,481

86.59
86.5

13.5%
13.5

SUPERVISORY STATUS OF BANKS AT THE END OF 1 9 6 0

93

Assets and deposits. The total assets of the banks in the various
categories shown in the preceding table are given in Table 31 and their
total deposits in Table 32. About 47 percent of the assets and deposits in
all banks and trust companies are in those which are examined by and
report to the Comptroller of the Currency; about 25 percent in banks
subject to examination and supervision by the State authorities and by
Federal Reserve banks; another 25 percent in banks subject to super­
vision and examination by State authorities and the Federal Deposit
Insurance Corporation; and less than 3 percent in banks subject to control
by State authorities only.
Table 32.

D e p o s its o f B a n k s C l a s s if ie d A c c o r d in g t o S u p e r v is o r y S t a t u s
a n d F e d e r a l D e p o s i t I n s u r a n c e P a r t i c i p a t i o n , D e c e m b e r 31, 1960
Commercial banks
and trust
companies

All banks

Mutual savings
banks

Supervisory status1
Total

Insured

Non­
insured

Insured

Non­
insured

Insured

Non­
insured

Deposits of banks and trust
companies
(in m il­
lions)— to ta l................... $266,885

$260,496

$6,389

$228,994

$1,538

$31,502

$4,851

266,814

260,496

6,318

228,994

1,467

31,502

4,851

125,579

125,579

125,579

67,612

67,612

67,593

67,305
6,318

67,305

Banks of deposit...................
Examined by and report­
ing to:
Comptroller of the
Currency.......................
State authorities and
Federal Reserve banks
State authorities and
Federal Deposit In­
surance Corporation. .
State authorities only. . .
Trust companies not
regularly engaged in
deposit banking...........
Percentage in insured and
noninsured banks:
All banks and trust com­
panies .................................
Banks of deposit..................
Trust companies not regu­
larly engaged in deposit
banking............................

100.0

35,822

31,483

6,318

97.6%
97.6

1,467

71

71

100.0%
100.0

19

71

2 .4 %
2.4
100.0

99.3%
99.4

0.7%
0.6

4,851

86.7%
86.7

13.3%
13.3

100.0

1 See notes to Table 30.
Note: Due to rounding, components may not add to total.

Capital accounts and capital ratios. Banks have relatively small
amounts of liabilities other than deposits. Most of the difference between
their total assets and total deposits consists of their capital accounts. For
all insured banks, the ratio of total capital accounts to total assets at the
end of 1960 was 8.1 percent, a slight increase over the preceding year.
In Table 33 ratios of total capital accounts to total assets are given for
the banks examined by and reporting to the Federal and State supervisory
agencies, with separate figures for mutual savings banks and for com­
mercial banks and trust companies.



94

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 33.

C a p ita l A c c o u n t R a tio s o f B a n k s o f D e p o s it C la s s ifie d
A c c o r d in g t o S u p e r v is o r y S t a t u s a n d F e d e r a l D e p o s it
I n s u r a n c e P a r t ic ip a t io n * D e c e m b e r 31, 1960

All banks of deposit

Commercial banks
and trust
companies

Supervisory status1
Total

All banks of deposit............
[Examined by and report­
ing to:
Comptroller of the
Currency.......................
State authorities and
Federal Reserve banks
State authorities and
Federal Deposit In­
surance Corporation. .
State authorities only.. .

8.2%

Insured

8.1%

Non­
insured

11.2%

Insured

8.1 %

8.0

8.0
8.2

8.2

8.4
11.2

8.4

14.6%

Insured

Non­
insured

8.5 %

10.1%

8.0

8.2

Non­
insured

Mutual savings
banks

9.5

8.2
11.2

8.5
14.6

i’o. i

1 See notes to Table 30.

B a n k in g D e v e l o p m e n t s D u r in g

1960

Number of banking offices. At the end of 1960 there were 25,105
banking offices in the United States, an increase of 863 during the year.
All of the increase represented additional branches, since there was a
reduction of five in the number of banks and an increase of 868 in the
number of branches. More new banking offices were opened in 1960 than
in any other year since the beginning of Federal deposit insurance. The
great majority of the new offices were branches; only 14 percent were new
banks. Of the new banks, 40 percent were in three States, Texas, Florida,
and Illinois, in which branch banking is prohibited, and a large proportion
of the remainder were in other States which also prohibit branch banking
or were outside the areas in which branches are permitted.
Table 34 shows the character of the changes during 1960 among banks
and branches, with separate figures for commercial banks and trust
companies and for mutual savings banks. The 133 banks which began
operations in 1960 practically offset the 138 banks which ceased operation.
Six banks were placed in liquidation. The 132 banks ceasing business
because of absorption were succeeded by 113 branches. In 1960 there were
815 other new branches beginning operations and 60 branches discon­
tinuing operations.
From the end of 1950 to the end of 1960 the total number of banking
offices in the United States increased by 26 percent, in comparison with
an increase in population of less than 20 percent. At the end of 1960, the
population per banking office, including both commercial and mutual
savings banks, was approximately 7,200; and for commercial banks only,
about 7,500 per office. The population per bank was, of course, much



BANKING DEVELOPMENTS DURING 1 9 6 0

95

larger; about 13,000 if both eommereial and mutual savings are included,
and 13,500 if only commercial banks are counted. Table 35 shows the
number of banks and offices, and population data, for the entire United
States, and also for the 50 States and the District of Columbia, and for the
48 States and the District of Columbia formerly referred to as “ con­
tinental United States.”
Table 34.

A n a l y s i s o f C h a n g e s in N u m b e r o f B a n k s a n d B r a n c h e s
i n t h e U n i t e d S t a t e s ( S t a t e s a n d O t h e r A r e a s ) D u r i n g 19601

Type of office and change

Commercial
banks and
trust
companies

All
banks

Mutual
savings
banks

ALL BAN K IN G OFFICES
Number, December 31, 1959............................................

25,105
24,242

24,103
23,276

1,002
966

Net change during year.............................................

+863

+827

+36

13,999
14,004

18,484
13,486

515
518

BANKS
Number, December 31, 1960............................................
Number, December 31, 1959............................................
Net change during year.............................................

-5

-2

Banks beginning operations:
New banks opened2.....................................................
Successor to suspended bank....................................

132
1

132
1

Banks ceasing operations:
Absorbed........................................................................
Suspended.....................................................................
Other liquidations.......................................................

132
2
4

129
2
4

3

Number, December 31, 1960............................................
Number, December 31, 1959............................................

11,106
10,238

10,619
9,790

487
448

N et change during year.............................................

+868

+829

+39

Branches beginning operations:
Succeeded absorbed banks........................................
Other new branches4...................................................

113
815

111
776

2
89

Branches discontinued....................................................

60

—3

BRANCHES8

Branches transferred as result of absorption............

60
+2

-2

1 Excludes changes not affecting number of banks or branches of commercial banks and trust com­
panies or of mutual savings banks.
a Includes 7 banks opened prior to December 81, 1959, but not previously reported.
*
Includes facilities established in or near military or other Federal Government installations at
request of the Treasury or Commanding Officer of the installation.
4 Includes 3 branches opened prior to December 31, 1959, but not previously reported.
Detailed data (including changes referred to in note 1): Table 102, pp. 126-127.
Back data for all banks: Table 18, p. 33.

Changes in bank assets and liabilities. The amounts of the major
classes of bank assets, the chief types of bank loans, the major categories
of deposits, and the total capital accounts of the banks at the end of 1960
are compared, in Table 36, with the corresponding amounts at the end of
each of the preceding three years. Total assets increased 5.1 percent
during 1960, more than double the rate of increase of 2.3 percent during
the preceding year, but less than the 7.2 percent rate of increase in 1958.



96

FEDERAL DEPOSIT INSURANCE CORPORATION

There was considerable diversity in rate of growth among the various
types of assets. For the major loan categories the rates of change in 1960
ranged from an increase of 13.1 percent for agricultural loans, other than
those on real estate, to a decrease of 9.5 percent for loans to banks and
other financial institutions. Commercial and industrial loans increased
7.3 percent, and real estate loans 4.9 percent: these two categories together
make up approximately two-thirds of all the loans of the banks.

Table 35.

B a n k s a n d B a n k in g O f f i c e s , a n d P o p u l a t i o n P e r B a n k
a n d P e r B a n k in g O f f i c e , U n i t e d S t a t e s , D e c e m b e r 31, 1960

Item

Entire
United
States

50 States
and
D . C.

48 States
and
D . C.

N UM BER OF B A N K IN G OFFICES
All banks— total offices..................................................
Banks..................................................................................
Branches.............................................................................

25,105
13,999
11,106

24,954
13,985
10,969

24,810
13,960
10,850

Commercial banks and trust companies—
total offices.................................................................
Banks..................................................................................
B ranches............................................................................

24,103
13,484
10,619

23,954
13,471
10,483

23,810
13,446
10,364

M utual savings banks— total offices........................
Banks. . . ...........................................................................
Branches.............................................................................

1,002
515
487

1,000
514
486

1,000
514
486

Population per office:
All banks............................................................................
Commercial banks and trust companies....................

7,269
7,551

7,212
7,526

7,220
7,523

Population per bank:
All banks............................................................................
Commercial banks and trust companies....................

13,036
13,534

12,869
13,327

12,831
13,321

Est imated population— July 1,1960 (in thousands)1. .

182,492

179,977

179,118

POPULATION PER OFFICE OR PER BAN K

1 For 50 States and D . C ., Bureau of the Census estimate (release January 26, 1961, Series P-25,
No. 223); for entire United States, foregoing plus population April 1 of Puerto Rico (preliminary), Ameri­
can Samoa, Canal Zone, Guam, and Virgin Islands; for 48 States and D . C., July 1 figure for 50 States
and D . C. minus population April 1 of Alaska and Hawaii.
Back data, all banks: 1859-1934, States and D . C .t Table 15 of this Report, p. 29; 1933-1959, entire
United States, Table 16 of this Report, p. 30.

As in the preceding year, deposits increased during 1960 at a lower, and
capital accounts at a higher, rate than total assets. Deposit growth was
at the rate of 4.5 percent in 1960, which compares with 1.7 percent in
1959, and 7.3 percent in 1958. Among categories of deposits the highest
rates of increase were in those of the United States Government and of
States and subdivisions. Of the business and personal deposits, those
classified as time and savings increased much more rapidly than demand
deposits, the rates being 5.6 percent and 1.3 percent respectively, during
1960. Both of these rates were higher than the corresponding rates in 1959
but lower than in 1958. Capital accounts increased 7.1 percent in 1960,
compared with 5.3 percent in 1959 and 6.3 percent in 1958.



BANKING DEVELOPMENTS DURING 1 9 6 0

97

Table 36.

M a jo r C a te g o r ie s o f A s s e ts and L ia b ilitie s o f A l l B a n k s
in t h e U n i t e d S t a t e s ( S t a t e s a n d O t h e r A r e a s ) , 1957-1960,
W it h A n n u a l P e r c e n t a g e C h a n g e s
Amount, December 31
(millions of dollars)

Percentage change
during—

Asset or liability item
1960

1959

1958

1957

1960

Assets— to ta l............................
Cash and funds due from
banks....................................
U . S. Government
# obligations...........................
Other securities......................
Loans and discounts1............
Other assets............................

$298,933

$284,358

$277,880

$259,188

53,105

50,362

50,147

49,539

5.4

.4

1.2

67,343
28,674
145,255
6,556

65,882
26,131
136,410
5,574

73,935
26,390
122,287
5,121

66,066
23,051
115,760
4,771

2.2
2.1
6.5
17.6

- 1 0 .9
- 1 .0
11.5
8.8

11.9
14.5
5.6
7.3

Loans— gross total2................
Commercial and industrial3.
Agricultural (except real
estate) ..................................
For carrying securities.........
Real estate loans...................
Other loans to individuals. .
To financial institutions5. . .
All other6.................................

147,845
43,463

139,812
40,490

124,476
40,771

117,760
40,825

6.5
7.3

11.5
(4
)

5.7
-.1

5,689
5,127
55,741
26,781
8,102
2,941

5,030
4,877
53,137
24,509
8,957
2,812

4,993
4,698
48,786
21,034
(5
)
4,194

4,087
4,250
44,506
20,512
(5
)
3,581

13.1
5.1
4.9
9.3
-9 .5
4.6

.7
3.8
8.9
16.5
(5
)
(7
)

22.2
10.5
9.6
2.5
(5
)
17.1

Deposits— to ta l........................
Business and personal
deposits:
Demand8.............................
Time and savings..............
Government deposits:
States and subdivisions.. .
United States.....................
Interbank deposits9..............

266,885

255,497

251,332

234,178

4.5

1.7

7.3

121,991
103,383

120,389
97,883

119,728
94,012

113,780
85,403

1.3
5.6

0.6
4.1

5.2
10.1

16,370
6,223
18,917

14,749
5,352
17,123

14,722
4,644
18,226

13,655
4,268
17,072

11.0
16.3
10.5

.2
15.2
-6 .1

7.8
8.8
6.8

Capital accounts— t o t a l.. . .

24,603

22,973

21,822

20,536

7.1

5.3

6.3

5.1%

1959
2.3%

1958
7.2%

1 Net of valuation reserves.
* Including valuation reserves.
* Data for 1957 and 1958 are not comparable with those for 1959 and 1960. Prior to 1959, a large
proportion of loans to financial institutions other than banks (see note 5) were included with commercial
and industrial loans.
* Estimated at about 14 percent, after allowance for change in classification.
6 Loans to banks and other financial institutions. Loans to other financial institutions were not
separately reported prior to 1959.
* Data for 1957 and 1958 are not comparable with those for 1959 and 1960. Figures for 1957 and
1958 include loans to banks and a small proportion of loans to other financial institutions.
7 Not computed because of change in classification.
3Includes certified checks, letters of credit, etc.
* Includes postal savings deposits.
Note: Due to rounding, components may not add to total.
Back data, 'percentage changes, 19U8-1956: Annual Report for 1959, p. 91.

Assets and liabilities of the entire banking and currency system.
Bank deposits and the circulating notes and coins issued by Federal
Reserve banks and the United States Treasury all serve the same basic
role in the economic affairs of the nation, namely, as means of payment
and cash reserves available for immediate or later use. The circulating
notes are all direct obligations of the United States Treasury.
Table 37 shows for the end of 1960 and each of the preceding three years
the aggregate assets and liabilities of the entire banking and currency
system, which includes not only commercial and mutual savings banks,
but also Federal Reserve banks, the postal savings system, the gold
accounts and currency issues of the Treasury, and the exchange stabiliza­
tion fund. The assets of the system are divided into two major groups.
One group includes assets which are obligations of other components of



FEDERAL DEPOSIT INSURANCE CORPORATION

98

Table 37.

A s s e t s a n d L i a b i l i t i e s o f t h e E n t i r e B a n k in g a n d C u r r e n c y S y s te m ,
1957-1960, W i t h A n n u a l P e r c e n t a g e C h a n g e s
Amount, December 31
(millions of dollars)

Item
1960

Percentage change
during—

1959

1958

1957

Total assets1.............................. $405,995
Assets consisting of ob­
ligations of other parts
of the banking and cur­
109,625
rency system 2..................

$393,962

$387,353

$370,526

108,145

106,924

107,760

1.4

1.1

296,371

285,817

280,430

262,767

3.7

1.9

22,704

24,309

25,294

27,467

-6 .6

-3 .9

- 7 .9

96,053
26,265
144,283
7,066

94,074
25,744
135,585
6,105

102,011
26,025
121,564
5,536

92,161
22,707
115,029
5,403

2.1
2.0
6.4

15.7

- 7 .8
-1 .1
11.5
10.3

10.7
14.6
5.7
2.5

405,995

393,962

387,353

370,526

3.1

1.7

4.5

108,670

107,394

106,094

106,412

1.2

1.2

33,061

29,379

27,796

26,218

12.5

5.7

264,263

257,187

253,462

237,897

2.8

1.5

6.5

6,197

6,131

6,877

6,005

1.1

- 1 0 .8

14.5

7,191
250,875

6,560
244,496

5,678
240,907

5,745
226,147

9.6
2.6

15.5
1.5

-1 .2
6.5

N et total assets...................
Gold and other monetary
metals3.............................
United States Govern­
ment obligations4..........
Other securities5.................
Loans and discounts6.........
Other assets7.......................
Total liabilities and capital
accounts1...........................
Claims of (i.e., owed to)
other parts of the banking
and currency system8. . . .
Capital account and miscel­
laneous liabilities9.............
Net total deposits and cir­
culating currency10. . . .
Foreign owned11.................
United States Govern­
ment1 ..............................
2
Other holders18...................

1960

3.1%

1959

1.7%

1958

4.5%

-.8
6.7

-.3
6.0

1 Sum of total assets, or total liabilities and capital accounts, of commercial and savings banks,
Federal Reserve banks, postal savings system, Exchange Stabilization Fund, and items in the Treasury
Circulation Statement of United States M oney.
2 Includes “ cash and due from banks/’ loans to banks, and Federal Reserve bank stock reported
in the assets of commercial and savings banks; gold certificate reserves and other cash, Federal Reserve
notes of other Federal Reserve banks, member bank discounts and advances and acceptances, and
uncollected items reported in the assets of Federal Reserve banks; cash in depository banks and reserve
fund in the Treasury, reported in assets of the postal savings system; deposits in Federal Reserve banks
and gold account at the Treasury reported in assets of the Exchange Stabilization Fund; and obligations
of Federal Reserve banks for Federal Reserve notes issued by the Treasury to such banks.
8 Gold stock, and silver and other metals in coins or held in Treasury against silver certificates at
monetary value.
4 Held in all parts of the banking and monetary system.
5 Held by commercial and mutual savings banks.
6 Loans and discounts of commercial and savings banks, minus loans to banks.
7 Bank premises and equipment of commercial and mutual savings banks and of Federal Reserve
banks, and miscellaneous assets of those banks and other parts of the banking and monetary system.
8 Includes domestic interbank deposits and deposits equal to cash items in process of collection,
member bank reserve accounts and deferred availability items at Federal Reserve banks, Federal Reserve
notes issued by the Treasury to Federal Reserve banks and gold certificates held for and by such banks,
and various other items in the liabilities of the parts of the banking and currency system owed to other
parts of the system.
9 Capital accounts and minor liabilities of commercial and mutual savings banks, Federal Reserve
banks (except paid-in capital which is included in claims of other parts of the banking and currency
system), and Exchange Stabilization Fund, and minor liabilities of the postal savings system.
1 Currency issued by the Treasury and Federal Reserve banks adjusted to exclude amounts held
0
within the banking and currency system, deposits in commercial and savings banks and in Federal Reserve
banks other than those classified as claims of the banking and currency system, and deposits in the postal
savings system.
1 Foreign deposits in Federal Reserve banks, foreign bank deposits in commercial and mutual savings
1
banks, deposits due foreigners other than banks and official institutions reported in Treasury Bulletin, and
United States currency held abroad as estimated in connection with balance of payments estimates of the
Department of Commerce. Does not include foreign deposits with American agencies of foreign banks
or other institutions not included in banking statistics, nor balances of foreign branches of American
banks with their head offices.
1 United States Government deposits in commercial and savings banks and in Federal Reserve
2
banks (including amounts in process of collection at Federal Reserve banks and “ all other” depositslof
those banks except the account of the Exchange Stabilization Fund) and currency in the general fund
of the Treasury.
1 Balance of net total deposits and circulating currency.
8
Note: Due to rounding, components may not add to total.
Back data, 19U7-1957: Annual Report for 1959, pp. 98 and 99.




BANKING DEVELOPMENTS DURING 1 9 6 0

99

the banking and currency system itself. The other group, designated “ net
total assets” in the table, includes gold, other monetary metals, United
States Government obligations, other securities, loans and discounts, and
miscellaneous assets. The net total assets of the system increased by 3.7
percent during 1960, in comparison with 1.9 percent during 1959, and
6.7 percent during 1958.
The total liabilities and capital accounts of the entire banking and
currency system are divided into three groups: claims of, or amounts
owed to, other parts of the banking and currency system; capital accounts
and miscellaneous liabilities; and the balance, designated in the table as
net total deposits and circulating currency. The net total deposits and
circulating currency, which represent the total circulating medium of the
nation, increased 2.8 percent during 1960, in comparison with 1.5 percent
during 1959, and 6.5 percent during 1958. Variations in the rate of growth
of the circulating medium are intimately related, on the one hand, to
policies of restraint and ease exercised by the nation’s monetary authori­
ties, and on the other, to business downswings and upswings.
The table also gives estimates of the portions of the total circulating
medium that are foreign owned, owned by the United States Government,
and owned by other holders, the last being what is sometimes referred to
as the money supply available to business and individuals.
R e l a t iv e P o sit io n

of

B anks

Entire United States. Table 38 presents data regarding the deposits
of the largest commercial banks in comparison with those of all com­
mercial banks in the United States. Figures are for the end of 1960 and
are shown for the entire United States, for the 50 States and the District
of Columbia, and for the 48 States and the District of Columbia formerly
designated “ continental United States.” There is very little difference
among these areas in the percentages indicating the concentration of
deposits in the largest bank and in groups of the largest banks.
The largest 100 banks at the end of 1960 held 46 percent of the deposits
of all commercial banks, and constituted about three-fourths of 1 percent
of the number of banks. The largest bank held 4.5 percent, and the largest
ten held 20 percent, of the deposits of all commercial banks. These various
percentages differ only slightly from the corresponding percentages for
December 31, 1958.2
Relative position o f banks by States. Table 39 shows for each
State, as of the end of the year, the number of commercial banks and trust
companies, the number of offices operated, the population per bank and
per office, and the percentage of deposits of all commercial banks in the
a See Table 26 of this Report, page 51.




FEDERAL DEPOSIT INSURANCE CORPORATION

largest bank, the largest three banks, and the largest five banks. The
States are placed in three groups: those in which Statewide branch bank­
ing is the prevalent type of bank organization; those in which limited area
branch banking is prevalent; and those in which unit banking is prevalent
although in some of these States some branching is permitted. Within the
three groups the States are listed in the order of the percentage of the
deposits in the largest bank.

Table 38.

R e l a t i v e I m p o r t a n c e o f t h e L a r g e s t 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 , D e c e m b e r 31, 1960

Bank group

Entire
United
States

50 States
and
D . C.

48 States
and
D . C.>

AM com mercial banks
Number..............................................................................
Deposits (millions).........................................................

13,484
$230,532

13,471
$229,824

13,446
$228,888

Largest 100 banks
Percent of number of all commercial banks.............
Deposits (millions)..........................................................
Percent of deposits of all commercial banks.............

0.74%
$105,838
45.9%

0.74%
$105,838
46.1%

0.74%
$105,837
46.2%

Largest 10 banks
Deposits (millions)..........................................................
Percent of deposits of all commercial banks.............

$46,436
20.1%

$46,436
20.2%

$46,436
20.3%

Largest bank
Deposits (millions)..........................................................
Percent of deposits of all commercial banks.............

$10,285
4 .5 %

$10,285
4 .5 %

$10,285
4 .5 %

Largest 1 percent of the banks
Number of banks.............................................................
Deposits (millions)..........................................................
Percent of deposits of all commercial banks............

135
$115,032
49.9%

135
$115,032
50.1%

134
$114,657
50.1%

Largest V of 1 percent of the banks
fc
Number of banks.............................................................
Deposits (millions)..........................................................
Percent of deposits of all commercial banks.............

67
$93,522
40.6%

67
$93,522
40.7%

67
$93,522
40.9%

Largest 1 /10 of 1 percent of the banks
Number of banks.............................................................
Deposits (millions)..........................................................
Percent of deposits of all commercial banks.............

13
$52,783
22.9%

13
$52,783
23.0%

13
$52,783
23.1%

1 Comparable with data for “ Continental United States” in Table 26 of this report, p. 51.

In most of the States the percentage of the deposits of all commercial
banks held by the largest bank, and the percentage held by the largest
five banks, are similar to the corresponding percentages on December 31,
1958. In the majority of the States there was a slight decline in these
percentages between the two dates. In fourteen States there was a slight
increase in the percentage of deposits of all commercial banks held by the
largest bank, and in twenty States by the largest five banks.
Relative position o f banks in m etropolitan areas. Table 40
pertains to the number of offices and percentages of deposits in the 65
most populous metropolitan areas. It shows the number of commercial
banks operating in the principal counties in those areas, the number of
offices operated, the population per office, and the percentage of all



RELATIVE POSITION OF BANKS

101

commercial bank deposits held by the largest bank, the largest three
banks, and the largest five banks. The metropolitan areas are placed in
three groups, as in Table 39, according to the most prevalent type of
banking organization, with the areas in each group listed in the order
of the percentage of the deposits in the largest bank.
Table 39.

C o m m e r c ia l B a n k in g O f f i c e s a n d P e r c e n t a g e o f D e p o s i t s
in t h e L a r g e s t B a n k s in E a c h S t a t e , D e c e m b e r 31, 1960
Percentage of deposits
of all commercial banks
in—

Number of
commercial
banks and
trust
companies

Number
of
offices
oper­
ated

Popula­
tion
per
bank1

Popula­
tion
per
office1

Largest
bank

Largest
three
banks

Largest
five
banks

16 States with Statewide
branch banking prevalent2
Nevada.........................................
Rhode Island..............................
Arizona.........................................
Delaware......................................
Oregon..........................................
Hawaii..........................................
California.....................................
Idaho............................................
Washington.................................
Utah..............................................
Alaska..........................................
South Carolina...........................
North Carolina...........................
Connecticut.................................
Maryland.....................................
Vermont.......................................

7
17
10
22
52
12
117
32
91
50
13
145
183
141
139
62

44
135
189
80
247
98
1,793
115
391
124
46
292
691
396
422
96

40,754
50,558
130,216
20,286
34,013
52,731
134,335
20,850
31,354
17,813
17,397
16.432
24,897
17,980
22,307
6,288

6,484
6,367
6,890
5,579
7,161
6,457
8,766
5,802
7,297
7,182
4,917
8,160
6,594
6,402
7,348
4,061

63.1%
52.6
47.2
44.8
43.7
43.0
42.3
36.0
33.4
30.3
29.4
24.7
23.3
18.0
16.2
9.4

86.4%
89.9
86.1
79.2
86.3
87.9
65.7
74.5
60.7
64.4
62.2
42.2
46.2
42.1
40.3
25.6

97.2%
95.9
96.9
91.5
88.4
95.7
77.7
83.8
72.2
76.5
79.1
51.3
56.1
55.6
55.1
35.2

16 States with limited area
branch banking prevalent2
Massachusetts............................
Michigan......................................
Alabama.......................................
Georgia.........................................
New York....................................
New Mexico................................
Louisiana.....................................
Maine...........................................
Pennsylvania..............................
Ohio..............................................
Mississippi...................................
Tennessee....................................
Kentucky.....................................
Indiana.........................................
Virginia........................................
New Jersey..................................

356
380
238
421
529
55
190
79
710
587
193
297
355
447
305
274

852
958
328
527
2,066
111
366
218
1,552
1,228
329
513
501
758
589
731

14,462
20,587
13,726
9,366
31,725
17,291
17,142
12,269
15,943
16,536
11,286
12,010
8,558
10,431
13,006
22,142

6,043
8,166
9,960
7,482
8,123
8,568
8,899
4,446
7,293
7,904
6,620
6,953
6,064
6,151
6,735
8,299

27.5
21.5
17.8
17.2
16.6
16.5
14.3
13.2
12.9
11.8
11.7
11.5
11.2
9.8
7.7
6.3

42.9
40.7
31.3
40.0
39.6
37.1
29.3
32.9
27.8
23.4
24.7
28.6
27.0
23.8
20.2
16.8

53.4
50.1
40.6
48.2
54.8
45.4
38.7
46.5
38.7
30.9
28.7
40.8
33.5
29.3
27.7
23.5

18 States with unit banking
prevalent2
Illinois..........................................
Colorado......................................
Wisconsin....................................
Nebraska......................................
North Dakota............................
Oklahoma....................................
Minnesota....................................
Wyoming.....................................
Missouri.......................................
South Dakota.............................
Texas............................................
Florida..........................................
Arkansas......................................
Kansas..........................................
West Virginia..............................
Montana......................................
New Hampshire.........................
Iowa..............................................

966
192
563
426
156
389
690
55
626
174
1,011
309
237
587
182
121
107
673

970
199
721
438
185
412
696
56
651
233
1,039
323
283
612
182
122
113
856

10,436
9,135
7,019
3,313
4,054
5,985
4,948
6,001
6,901
3,911
9,475
16,024
7,537
3,711
10,222
5,577
5,672
4,097

10,393
8,814
5,481
3,222
3,419
5,651
4,905
5,894
6,636
2,921
9,220
15,330
6,312
3,560
10,222
5,531 I
5,371
3,221

15.9
15.8
15.4
14.8
14.0
12.3
12.0
11.2
9.5
8.8
8.2
7.0
6.8
6.8
6.1
5.7
5.7
4.7

35.4
37.5
24.9
27.9
21.2
32.6
31.1
28.7
26.5
22.4
21.0
15.0
17.2
14.3
17.2
15.8
16.3
11.9

42.1
47.0
28.6
37.6
27.4
42.1
35.6
38.8
35.7
31.2
27.8
20.3
23.3
18.7
22.6
24.4
25.5
17.4

1 Computed from population, April 1, 1960.
2 Classification of States by prevalent type of bank organization as of December 31, 1958, described
in Table 23 of this Report, p. 45.




T a ble 40.

C ommercial B anking O ffices and P ercentage of D eposits in the L argest B anks
P rincipal C ounty (or C ounties ) in 65 M etropolitan A reas , J une 15, 1960 1

Metropolitan area

Number
of
offices
opera­
ted

Popula­
tion
per
office2

Percentage of deposits
of all commercial banks
in— 3
Largest
bank

Largest
three
banks

Largest
five
banks

13 metropolitan areas in States with Statewide branch banking prevalent4

flftiinti'ps. California
Hmifitv Marvland

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

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

51.1%
50.8
47.8
44.7
42.6
42.0
40.1
39.3
38.4
31.9
29.1
28.1
23.0

91.8%
96.9
86.7
79.6
87.1
87.3
81.7
86.5
77.9
67.9
67.7
59.6
58.7

7
7
12
33
15
6
16
8
7
9
6
24
6
9
6
8
15
15
12
8

36
39
33
141
93
21
49
48
30
51
52
240
39
43
82
148
129
37
77
47

17,635
11,716
15,972
11,550
8,509
11,930
13,938
9,818
17,119
12,294
11,276
11,110
16,090
9,296
8,507
11,134
10,131
13,872
9,922
9,001

60.9
53.5
52.4
51.7
51.5
49.1
47.6
47.5
45.1
43.9
43.7
42.6
41.8
41.4
41.1
38.1
37.4
35.3
34.9
34.8

92.8
90.1
82.2
82.2
78.3
88.2
87.6
76.1
83.6
92.6
87.5
78.1
84.8
89.4
96.8
78.1
76.7
62.5
74.4
77.0

96.2%
99.2
93.2
96.3
96.7
98.5
87.9
91.4
90.3
88.0
88.7
76.4
79.1

34 m etropolitan areas in States with lim ited area branch banking prevalent4

\Ta^a1L-

rihr PnrfQTTimith ritv ond "NTnrfnlk Countv* Vircrmia.................................. ..

Tliiffnln* Tprio on/1 "N ia arQ rinilTlriPfi NpW York
J cy




.

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

99.3
97.5
92.5
89.4
90.5
100.0
91.5
88.2
96.3
97.0
99.5
89.2
99.3
98.4
99.6
97.9
91.2
77.8
87.0
97.2

CORPORATION

10,930
8,092
9,332
9,047
8,203
10,650
11,122
10,256
10,669
9,445
8,998
7,359
12,340

INSURANCE

*QolfimnrD f!ifv on/1

46
82
77
71
61
97
62
62
566
99
90
224
116

DEPOSIT

O T A n -n ia PnrDrcirlD or»rl Qqti
nm 2 f< n r)i'v *
t j lfirv>A *A
T '

10
6
7
8
10
7
18
11
47
15
13
18
13

FEDERAL

Number of
commercial
banks and
trust compa­
nies operating
in county (or
counties)1

in the

34.7
34.2
33.4
32.3
30.9
30.1
27.6
26.1
23.0
21.8
20.3
19.1
17.9
17.3

79.5
67.7
81.7
71.6
71.8
67.5
60.0
63.7
58.5
56.0
49.0
40.6
37.1
39.2

95.3
76.0
95.2
88.1
87.1
88.0
87.4
83.6
82.1
65.0
67.5
51.6
43.1
56.7

15
32
7
19
24
21
38
12
16
57
24
62
37
23
66
64
154
32

18
46
7
20
30
22
38
12
19
62
29
63
38
25
72
70
154
33

19,083
22,523
9,777
17,302
14,650
24,477
25,040
21,077
23,969
11,455
17,031
19,733
24,607
27,486
17,575
20,765
33,310
23,408

45.7
42.2
41.4
38.8
37.0
35.1
35.0
32.3
30.8
29.4
28.7
28.2
26.8
26.8
23.1
22.6
22.2
14.8

82.0
68.4
70.4
81.4
69.7
76.6
79.8
70.4
79.4
63.0
68.6
60.1
41.1
66.8
60.4
51.5
48.1
38.0

89.2
74.4
90.7
87.3
79.5
80.9
84.8
84.6
86.6
69.4
85.3
72.6
49.8
77.9
69.0
58.8
57.5
53.4

18 m etropolitan areas in States with un it banking prevalent4
Omaha: Douglas County, Nebraska.....................................................................................
Milwaukee: Milwaukee County, Wisconsin........................................................................
Wheeling: Ohio County, West Virginia................................................................................
Tulsa: Tulsa County, Oklahoma............................................................................................
Oklahoma City: Oklahoma County, Oklahoma............................. ...................................
Fort Worth: Tarrant County, Texas....................................................................................
Dallas: Dallas County, Texas.................................................................................................
Charleston: Kanawha County, West Virginia....................................................................
Jacksonville: Duval County, Florida....................................................................................
Kansas City: Clay and Jackson Counties, Missouri.........................................................
Denver: Denver County, Colorado.......................................................................................
Houston: Harris County, Texas.............................................................................................
Miami: Dade County, Florida................................................................................................
San Antonio: Bexar County, Texas......................................................................................
Minneapolis: Hennepin and Ramsey Counties, Minnesota............................................
St. Louis: St. Louis City and St. Louis County, Missouri..............................................
Chicago: Cook County, Illinois..............................................................................................
Tampa: Hillsboro and Pinellas Counties, Florida.............................................................

BANKS

7,844
9,972
9,096
9,541
11,784
8,854
10,012
14,004
10,830
10,422
12,352
6,672
9,974
8.249

O
F

43
57
95
45
69
69
61
143
47
137
630
52
119
52

POSITION

10
15
11
9
28
11
14
21
15
33
51
32
42
31

RELATIVE

Richmond: Richmond City and Henrico County, Virginia............................................
Albany: Albany, Rensselaer and Schenectady Counties, New York............................
Cincinnati: Hamilton County, Ohio......................................................................................
Springfield: Hampden County, Massachusetts..................................................................
Atlanta: Fulton and DeKalb Counties, Georgia...............................................................
Louisville: Jefferson County, Kentucky...............................................................................
Jersey City: Hudson County, New Jersey..........................................................................
Philadelphia: Philadelphia County, Pennsylvania............................................................
Youngstown: Mahoning and Trumbull Counties, Ohio...................................................
Newark: Essex and Union Counties, New Jersey.............................................................
New York: Bronx, Kings, New York, Queens and Richmond Counties, New York
Wilkesbarre: Luzerne County, Pennsylvania........................................ .............................
Paterson: Bergen and Passaic Counties, New Jersey.......................................................
Allentown: Lehigh and Northampton Counties, Pennsylvania......................................

1 Principal counties in standard metropolitan areas as defined by the Bureau of the Budget, with population of 400,000 or more on April 1, 1960, except that in Connecticut, Massa­
chusetts, and Rhode Island (where standard metropolitan areas are defined in terms of cities and towns) they are counties with the majority of the population within standard metro­
politan areas.
2 Computed from population, April 1, 1960.
3 For some areas data are not strictly comparable with those shown for earlier years in Table 29, pp. 56-57.
4 Classification of States by prevalent type of bank organization as of December 31, 1958, described in Table 23 of this Report, p. 45.




O

C
O

104

FEDERAL DEPOSIT INSURANCE CORPORATION

The deposit data in Table 40 are of a type not hitherto available,
though for most of the areas in States with limited area branch banking
or unit banking prevalent they are roughly comparable with those for
earlier dates given on pages 56-57. Lack of strict comparability arises
from the fact that the figures for the prior dates are computed from the
total deposits of each bank with its head office located in the specified
metropolitan area, including in some cases deposits in branches located
outside the areas; while the deposits for June 15, 1960, pertain to those
held by the banking offices located within the county, therefore excluding
any deposits in branches of the same banks outside the specified counties.
Though the data are not strictly comparable, they support the conclusion
that in the majority of the leading metropolitan areas in 1960 there was
slightly less concentration in the largest bank and in the largest five banks
than in 1958. In only about one-third of the areas for which data are given
for both dates was one or the other of these percentages higher in 1960
than in 1958.
There appears to be a relationship between the character of the banking
system with respect to branching and the number of offices in the respec­
tive areas relative to population. In the 18 selected metropolitan areas in
States in which unit banking is prevalent the range in population per
office is from 9,800 to 33,300, compared with a range from 6,700 to 17,600
in 34 areas in States in which limited area branch banking is prevalent,
and a range from 7,300 to 12,300 in areas in States in which statewide
branch banking is prevalent .

Income

of

I nsured B an k s

Income in 1960. Income of banks insured by the Corporation was
higher in 1960 than in any previous year. Almost nine-tenths of the total
was received by commercial banks; the remainder, by mutual savings
banks.
Income of insured commercial banks. Income of insured com­
mercial banks reached $11,299 million in 1960. Income from loans, which
accounted for three-fifths of the total, was responsible for most of the
increase over 1959. Income from securities and miscellaneous sources each
comprised one-fifth of the total. Sources and disposition of income of
insured commercial banks in 1958, 1959, and 1960 are shown in Table 41.
Several of the more significant operating ratios of insured commercial
banks, at 5-year intervals from 1940 to 1960, are presented in Table 42.
The greater loan income in 1960 was due about equally to a larger volume
and higher average rates of return. Loan income averaged 5.96 percent
of loans, appreciably higher than in 1959, and almost twice the rate in
1945. Income on United States Government obligations averaged 3.10



INCOME OF INSURED BANKS

105

percent in 1960; and on other securities, 2.88 percent. Income from service
charges on demand deposits totaled $590 million in 1960, representing a
rate of 0.39 percent of demand deposits, approximately twice the rate
received in 1950.
Table 41. Sources and D isposition of T otal I ncome, I nsured C ommercial B anks
in the U nited States (States and Other A reas ), 1958-1960
Amounts (in millions)
Income

1960

Percent of total

1959

1958

1960

1959

1958

Total in com e........................................

$11,299

$9,998

$9,369

100.0%

100.0%

100.0%

Sources
Loans.....................................................
U . S. Government obligations........
Other securities...................................
Service charges on deposits.............
Other current income........................
Recoveries, etc.1.................................

6,807
1,791
579
590
957
575

5,969
1,732
546
532
890
329

5,141
1,544
502
487
827
868

60.2
15.9
5.1
5.2
8.5
5.1

59.7
17 3
5.5
5.3
8.9
3.3

54.9
16.5
5.3
5.2
8.8
9.3

Disposition
Salaries and wages.............................
Interest on deposits...........................
Other current expenses.....................
Charge-offs, etc.2................................
Income taxes.......................................
Dividends to stockholders1..............
Additions to capital accounts.........

2,798
1,785
2,350
979
1,384
832
1,171

2,577
1,580
2,107
1,362
884
776
712

2,400
1,381
1,832
783
1,271
726
976

24.8
15.8
20.8
8.6
12.2
7.4
10.4

25.8
15.8
21.1
13.6
8.8
7.8
7.1

25.6
14.7
19.6
8.4
13.6
7.7
10.4

1 Recoveries from assets previously charged off (except those credited to valuation reserve accounts),
profits on assets sold, and transfers from valuation reserve accounts.
2 Losses and other charge-offs (except those charged to valuation reserve accounts), and transfers
to valuation reserve accounts.
8 Includes interest on capital notes and debentures.

Much of the increase in current operating earnings of insured com­
mercial banks during the last several years has been absorbed by mount­
ing operating expenses. In 1960 almost two-thirds of gross operating
earnings were thus absorbed, about the same proportion as in 1959. The
largest component, salaries and wages, increased 9 percent in 1960, due
both to a greater average number of employees and higher rates of com­
pensation. The average bank officer earned $9,564 in 1960, and other
employees averaged $3,707. Interest paid on time and savings deposits
advanced by 13 percent in 1960. The rate of interest on such deposits,
which averaged 2.56 percent in 1960, was almost twice the rate recorded
only five years earlier.
Operating earnings and expenses change at comparable rates, and with
the greater earnings magnitudes, have led to increasing amounts of net
current operating earnings. Only once during the last twenty years—in
1958—have net current operating earnings failed to surpass the preceding
year. In 1960 they reached $3,791 million, an increase of 11 percent over
1959. This represented a record rate of return on assets of 1.54 percent.
Income from current operations is reduced by losses and charge-offs
on assets, which typically exceed recoveries on assets previously charged


FEDERAL DEPOSIT INSURANCE CORPORATION

106

off and profits on the sale of assets. In 1960 net charge-offs amounted to
$404 million, a sharp reduction from the $1,033 million recorded in 1959.
The change principally reflected rising prices of securities throughout 1960.

T able 42.

S e l e c t e d O p e r a t i n g R a t i o 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 ( S t a t e s a n d O t h e r A r e a s ) ,
S e l e c t e d Y e a r s , 1940-1960
Item

Average rate of income on loans........................................
Average rate of income on U. S. Government obligations
Average rate of income on other securities.....................
Average service charges on demand deposits.................
Average interest paid on time and savings deposits. . .
Current operating expenses to current earnings............
Income taxes to net profits before income taxes............
Net current operating earnings to total assets...............
Net profits after taxes to total capital accounts.........
Dividends to total capital accounts..................................

1960

1955

1950

1945

5.96%
3.10
2.88
.39
2.56
64.65
40.87
1.54
10.03
4.16

4.88%
2.09
2.15
.25
1.38
62.09
40.70
1.19
7.90
3.87

4.34%
1.59
2.04
.19
.94
62.19
31.35
.93
8.51
3.55

3.09%
1.37 f
2.52 f
10
.87
61.35
24.80
.66
10.87
3.29

1940

4.41%
2.16
i

1.30
72.80
1.40
.67
6.08
3.59

1 Not available.

The combination of record net current operating earnings and lower
net charge-offs resulted in record net profits, both before and after income
taxes. Net profits after taxes reached $2 billion, and were over one-third
greater than in 1959. They represented a return of 10.03 percent on total
capital accounts, the highest rate since 1945.
The general banking practice of maintaining dividends at a fairly
constant rate led in 1960 to exceptional additions to capital accounts from
retained earnings. Such retentions in 1960 totaled $1,171 million, almost
two-thirds greater than in 1959; as the principal source of new banking
capital, they were largely responsible for the increase during the year in
the capital ratio.
The proportions of total net earnings and net profits received by
insured commercial banks in 1960 in the different size groups, along with
a distribution of the banks, bank employees, and bank assets by deposit
size of bank, are given in Table 43. Except for the groups of smallest and
largest banks, the proportions of total earnings and profits received by
banks in the different groups corresponded generally with the proportions
of assets held. The proportions of employees in the different groups
showed wider variations; and the proportions of banks, still wider varia­
tions. Banks with deposits of $10 million or less, constituting four-fifths
of the insured commercial banks, received 13 percent of the net earnings
and 16 percent of the net profits after taxes of all insured commercial
banks. The 53 largest banks, each having deposits of $500 million or
more, received 44 percent of net earnings and 41 percent of net profits
after taxes.



107

INCOME OF INSURED BANKS

T able 43. D istribution of I nsured C ommercial B anks by D eposit
Size of B an k , and P ercentages of Selected B anking T otals in
E ach Size G roup, 1960
Number
of
banks
(Dec. 31)

Size of group

Number
of
employees
(Dec. 31)

Assets
(average)

100.0%

100.0%

100.0%

9.1
19.1
33.3
18.5
12.4
3.8
1.6
1.8
.4

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

.8
2.4
7.5
8.3
12.0
8.3
6.8
22.3
31.6

Net
current
operating
earnings

.4
1.6
6.1
7.2
10.4
7.4
6.3
21.7
38.9

Net
profits
after

taxes

100.0%

100.0%

Banks with deposits of—
Less than $1,000,000.......................................
$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............................
$50,000,000 to $100,000,000..........................
$100,000,000 to $500,000,000.......................
$500,000,000 or more.......................................

.4
1.5
5.4
6.2
8.9
6.4
5.7
21.3
44.2

.5
1.9
6.5
7.2
9.9
6.9
5.6
20.6
40.9

Incom e o f insured m utual savings banks. Income of insured
mutual savings banks in 1960 totaled $1,605 million. Almost one-half of
the $233 million increase over 1959 was received by mutual savings banks
admitted to Federal deposit insurance during 1960. Income from loans,
which comprised two-thirds of the total, amounted to $1,089 million.
Income from securities totaled $352 million; and other income, $164
million. The sources and disposition of income of insured mutual savings
banks in 1958, 1959, and 1960 are presented in Table 44.

Table 44. Sources and D isposition of T otal I ncome ,
I nsured M utual Savings B anks in the U nited States , 1958-1960
Amounts (in millions)
Income

Percent of total

1960

Total income.....................................

1959

1958

1960

1959

1958

$1,605

$1,372

$1,216

100.0%

100.0%

100.0%

1,089
153
199
53
111

934
146
181
41
70

821
142
167
37
49

67.9
9.5
12.4
3.3
6.9

68.1
10.6
13.2
3.0
5.1

67.5
11.7
13.8
3.0
4.0

108
1,073
184
108
14
168

97
897
116
116
12
134

92
812
110
66
10
126

6.7
66.9
8.3
6.7
.9
10.5

7.1
65.4
8.4
8.4
.9
9.8

7.6
66.8
9.0
5.4
.8
10.4

Sources
Loans.....................................................
U . S. Government obligations........
Other securities...................................
Other current income1.......................
Recoveries, etc.2.................................

Disposition
Salaries and wages.............................
Dividends and interest on deposits.
Other current expenses1....................
Charge-offs, etc.*................................
Income taxes4......................................
Additions to surplus accounts........

1 Includes amounts classified as “ nonrecurring” income or expenses.
2 Recoveries from assets previously charged off (except those credited to valuation reserve accounts),
profits on assets sold, and transfers from valuation reserve accounts.
3 Losses and other items charged off (except those charged to valuation reserve accounts), and
transfers to valuation reserve accounts.
4 Includes franchise taxes computed on an income basis.




108

FEDERAL DEPOSIT INSURANCE CORPORATION

Mutual savings banks specialize in real estate mortgage loans. These
provided 98 percent of the loan income of the insured mutuals in 1960,
and afforded an average return of 4.73 percent. The return on holdings of
United States Government obligations averaged 2.99 percent; and on
other securities, 3.96 percent.
The specialized character of mutual savings banks accounts for their
relatively small staffs. In 1960, for instance, only 7 percent of the income
of insured mutual savings banks went for salaries and wages, as contrasted
with 25 percent so required by insured commercial banks. Other current
expenses of insured mutual savings banks absorbed 8 percent of income;
franchise and income taxes, 1 percent; dividends and interest on deposits,
67 percent; charge-offs on assets, 7 percent; and additions to surplus
accounts, 10 percent.
In 1960 depositors of insured mutual savings banks received dividends
and interest totaling $1,073 million. These dividends averaged 3.49
percent of savings and time deposits, compared with 3.19 percent in 1959.
The $168 million of income retained by insured mutual savings banks
raised surplus accounts to 8.5 percent of assets at the end of 1960.




PART FIVE
STATISTICS OF BANKS AND DEPOSIT INSURANCE




B a n k A b so r p t io n s A ppro ved

Table 101.

Table 103.

Table 104.

um ber,

O f f ic e s ,

and

C o r p o r a t io n

D ep o sits

of

B anks

Changes in number and classification of banks and branches in the United States
(States and other areas) during 1960
Number of banking offices in the United States (States and other areas), Decem­
ber 31, 1960
Grouped according to insurance status and class of bank, and by State or area and
type of office
Number and deposits of all banks in the United States (States and other areas),
December 31, 1960
Banks grouped according to insurance status and by district and State

Tabulations for all banks are prepared in accordance with an agree­
ment among the Federal bank supervisory agencies. Provision of
deposit facilities for the general public is the chief criterion for dis­
tinguishing between banks and other types of financial institutions.




the

Description of each merger, consolidation, acquisition of assets, or assumption of
liabilities approved by the Corporation, May 13 to December 31, 1960
N

Table 102.

by

However, trust companies engaged in general fiduciary business though
not in deposit banking are included; and credit unions and savings and
loan associations are excluded except in the case of a few which accept
deposits under the terms of special charters.

Commercial and stock savings banks include the following
categories of banking institutions:
National banks;
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;
Stock savings banks, including guaranty savings banks in New
Hampshire;
Industrial and Morris Plan banks which operate under general
banking codes, or are specifically authorized by law to accept deposits
and in practice do so, or the obligations of which are regarded as
deposits for deposit insurance;
Special types of banks of deposit: cash depositories in South
Carolina; cooperative exchanges in Arkansas; a savings and loan
company operating under Superior Court charter in Georgia; govern­
ment operated banks in American Samoa, North Dakota, and Puerto
Rico; a cooperative bank, usually classified as a credit union, operat­
ing under a special charter in New Hampshire; a savings institution,
known as a “trust company,” operating under special charter 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.
Private banks under State supervision, and such other private
banks as are reported by reliable unofficial sources to be engaged in
deposit banking;

Nondeposit trust companies include institutions operating under
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.




Mutual savings banks include all banks operating under State
banking codes applying to mutual savings banks.
Institutions excluded. Institutions in the following categories are
excluded, though such institutions may perform many of the same
functions as commercial and savings banks:
Banks which have suspended operations or have ceased to accept
new deposits and are proceeding to liquidate their assets and pay off
existing deposits;
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
authorized to accept deposits from the public or from their members
and regardless of whether such institutions are called “banks” (a few
institutions accepting deposits under powers granted in special
charters are included);
Morris Plan companies, industrial banks, loan and investment
companies, and similar institutions except those mentioned in the
description of institutions included;
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;
Institutions chartered under banking or trust company laws, but
operating as investment or title insurance companies and not engaged
in deposit banking or fiduciary activities;
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.

FEDERAL DEPOSIT INSURANCE CORPORATION

112

Table 101.

D e s c r i p t i o n o f E a c h M e r g e r , C o n s o l i d a t i o n , A c q u is i t io n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960

N e of bank, a d type of tran
am
n
saction1
(in ch ological ord of d
ron
er eterm ation
in )
N 1 A ericanB k&T C pan M roe, N C a
o. — m
an rust om y, on
orth arolin
to merge with.
W awB k g &T st C Wxh w
axh an in
ru o., a a

B k g offices
an in
R rces
esou
(in
In
To be
th sa d
ou n s
of dollars) operation operated
1 ,1 6
31
15
,3 0

5
1

6

Summary report by Attorney General, June 17, 1960
The communities in which the banks are situated are twelve miles apart. Each
bank, however, primarily serves the area within five miles of its own community.
Approximately half the Monroe bank’s loans were made to farmers. There do not
appear to be any other banks in the area which are competitive with the Waxhaw
bank. The addition of Waxhaw Bank’s resources to those of the Monroe bank will
not give the latter significant advantages over its competitors. Accordingly, com­
petition will not be adversely affected to any appreciable extent as a result of the
merger.
Basis for Corporation approval, June 22, 1960
Banking in this area of North Carolina is dominated by large local institutions
and branch offices of the extensive branch bank systems operating throughout the
State. The merged bank’s resources will be only about 2 percent of the total resources
available to this area. Despite this relatively small position, the merger will be of
public benefit. This is particularly true at Waxhaw which sorely needs, and will
obtain, improved physical facilities and increased banking services. Both areas in­
volved need the increased lending limit which will be available through the merger.

N 2— he B kof W W W V ia
o. T an
ar, ar, est irgin
to acquire the assets and assume the liabilities of
B in B k B in
erw d an , erw d

2,187
1,170

1
1

1

Summary report by Attorney General, June 17, 1960
It may be that the economic distress facing the Berwind Bank brings the acquisi­
tion in question within the permissible ambit of International Shoe Co. v. The Federal
Trade Commission, 280 U.S. 291. But in any event, the acquisition does not appear
to have any significant anticompetitive effect. Bank of War will still have to face
the competition of McDowell County National Bank at the not too-distant county
seat of Welch. With assets of $18.1 million and deposits of $16.3, the McDowell
County National Bank is some five times larger than Bank of War, even when the
latter will be augmented by the assets of Berwind Bank.
Basis for Corporation approval, June 30, 1960
Because of depressed economic conditions in the coal fields, the Berwind Bank
determined to go into voluntary liquidation on June 30,1960. This transaction afforded
the customers of that bank the most convenient method for transferring their banking
business to the nearest banking office, The Bank of War.




BANK ABSORPTIONS APPROVED BY THE CORPORATION

Table 101.

113

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued
Banking offices

Name of bank, and type of transaction 1
(in chronological order of determination)

No. 3— Berks County Trust Company, Reading, Pennsylvania
to merge with
M t. Penn Trust Company, Mount Penn

Resources
(in
thousands
of dollars)

In
operation

130,600

8

16,233

To be
operated

1

9

Summary report by Attorney General, July 12, 1960
From the information supplied to us in the application papers, it would appear
that any existing competition will be eliminated between Berks County Trust Com­
pany and Mt. Penn Trust Company by the proposed merger. This is significant in
the case of deposits, and homeowner and consumer loans.
Of particular importance is the effect of the proposed merger on the already domi­
nant position of Berks County Trust Company. This position would be increased
by the merger to 51.7% of total assets, 56.1% of demand deposits, 48.1% of time
deposits and 57.5% of loans, in the competitive area. Berks County Trust has achieved
its present dominance in part by mergers and acquisitions. It already has branches
in three surrounding towns as well as five offices in Reading.
Also relevant is that the third and fourth largest banks in Reading, Peoples Trust
and City Bank have a merger application pending before the Federal Reserve Board.
If both applications should be approved there will only be three banks remaining
in Reading of any significant size.

Basis for Corporation approval, July 28, 1960
The competitive, operational and service region of the two banks involved is the
whole of Berks County. The County, outside the city of Reading, has approximately
$135 million of banking resources. Berks County Trust Company in its operations
caters strongly to loans to commercial and manufacturing enterprises, whereas the
smaller institution tends toward residential and consumer loans. Their merger would
add to the opportunities of the resulting bank to accomplish a more favorable overall
banking program for serving the entire area of Berks County. The large Philadelphia
banks are active in their solicitation of accounts from Reading and Berks County.
Mt. Penn Trust Company cannot successfully compete against this invasion. Berks
County Trust Company is more successful in this competitive field, and after the
merger its ability to compete with these outside institutions will be enhanced. Com­
petition for loans and deposits in the Berks County area otherwise is not limited to
the remaining 16 local banking corporations with 36 banking offices. Some 20 finance
and small loan companies hold about one-third of the entire consumer loan volume
in the County. Five savings and loan associations operating on a county-wide basis
have total accounts approximating $25 million and aggregate mortgage loan holdings
in excess of $31,700,000. Furthermore, competition between the two merging banks
is indicated to have been negligible in the past inasmuch as Berks County Trust
Company has acted as the principal correspondent of the Mt. Penn Trust Company
and has participated in numerous overloans of the smaller institution.




114

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 101.

D e s c r i p t i o n o f E a c h M e r g e r , C o n s o l i d a t i o n , A c q u is i t io n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, a d type of tran
am
n
saction1
(inch ological order of d
ron
eterm ation
in )
N 4 S B kan T st C pan G w
o. — tate an d ru om y, reen ood,
S th C a
ou arolin
to merge with
T B kof A
he an
bbeville, A
bbeville

B k goffices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated
4 ,791
2

1
4

6
,785

2

1
6

Summary report by Attorney General, July 18, 1960
Thej-merging banks are The Bank of Abbeville, with assets of $6,727,000, deposits
of $6,237,000, and capital funds of $400,000, and State Bank and Trust Company,
with assets of $46,478,000, deposits of $40,608,000, and capital funds of $3,546,000.
Within the Abbeville competitive area, according to the application, there are eighteen
other banks, among them South Carolina National Bank with total deposits of
$276,059,000 and First National Bank of South Carolina with total deposits of
$71,191,000.
South Carolina permits branch banking. There are in the State 25 national banks
with 90 branches, 121 State banks, with 39 branches, five facilities, a total of 146
banks and 129 branches. State Bank holds about 4 % of total assets of all banks in
the State, and Abbeville Bank holds about one-half of 1%.
In view of the existing and potential competition in the State of South Carolina,
it does not appear that this merger will have a substantially adverse effect on com­
petition in the Abbeville area or in South Carolina.
Basis for Corporation approval, August 4, 1960
The principal benefit of this merger is the improved and expanded banking services
which will become available to the Abbeville and Calhoun Falls communities.

N 5 S b rba T st C pan H
o. — u u n ru om y, yattsville, M
arylan
d
to merge with
F rm an M an B k U p M
a ers d erch ts an , p er arlboro

14 8
4 ,9 2
3,238

1
5
2

1
7

Summary report by Attorney General, July 28, 1960
The merger of the Suburban Trust Company, Hyattsville, Maryland, and the
Farmers and Merchants Bank, Upper Marlboro, Maryland, would have the following
effects upon competition in the areas served by these banks:
1. Suburban Trust is already by far the largest bank in the area which it serves.
The proposed merger would increase concentration of banking resources in the com­
petitive area of the combined bank and would thereby increase the advantages of
Suburban Trust over its much smaller competitors. The latter effect would be of
particular importance to such banks as the First National Bank of Southern Maryland
which now serve Upper Marlboro and other nearby communities;
2. Potential competition between Suburban Trust Company and Farmers and
Merchants Bank would be foreclosed;




BANK ABSORPTIONS APPROVED BY THE CORPORATION

115

Table 101. Description of Each Merger, Consolidation, Acquisition
of Assets or Assumption of Liabilities Approved by the Corporation,
May 13 to December 31, 1960— Continued

N e of bank, a d type of tran
am
n
saction1
(in ch ological order of d
ron
eterm ation
in )

B k g offices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated

3.
The Farmers and Merchants Bank would be eliminated as a small, independent
and locally operated bank, providing an alternative source of banking services.
Basis for Corporation approval, August 11, 1960
With one exception, all of Farmers and Merchants’ competitors are substantially
larger in resources and this situation has made it difficult for the bank to produce
satisfactory earnings. This merger will provide the Upper Marlboro and Forestville
areas, where Farmers and Merchants now operates, with greatly increased banking
resources, with aggressive management in depth, and with improved and enlarged
banking services, thus redounding to the overall benefit of both communities. These
substantial public benefits result in a favorable determination on the banking factors.

N 6 P
o. — eoplesB kan T st C pan M
an d ru om y, adisonville, K tu
en cky
to acquire the assets and assume the liabilities of
F rm an M an B k S u ters
a ers d erch ts an , la gh

3,249
63
1

2
1

3

Summary report by Attorney General, July 21, 1960
Peoples Bank is located in Madisonville, in the center of Hopkins County, Kentucky.
Merchants Bank is located in Slaughters, twelve miles north of Madisonville, on the
boundary between Hopkins County and adjacent Webster County. It appears likely
that some competition between these banks takes place in the area between them.
The principal competitors of Peoples Bank are two other banks in Madisonville
both of which are larger than Peoples. There are no other banks in Slaughters, but
Merchants Bank also competes with banks to the north and east to which it has
apparently lost accounts. Merchants Bank lacks safe deposit box and installment
loan facilities and pays only 1% interest on time deposits. Peoples Bank on the other
hand offers the above services and pays 3 % interest. It has expanded greatly in the
last year. It states that it will provide the above services and interest rate in Slaughter*
after the merger.
It therefore appears that while the proposed merger may eliminate some competition
between the merging banks in the area between Madisonville and Slaughters, com­
petition in the area would not be adversely affected to any substantial degree. This
is particularly so in view of the larger banks which would still be in the area after
the merger.
Basis for Corporation approval, August 18, 1960
The merger will provide increased resources, modern physical facilities and aggres­
siveness, thus improving banking services in the Slaughters area and placing that
office in a more advantageous competitive position relative to its neighboring institu­
tions. It will also improve the standing of Peoples Bank in relation to its two sub­
stantially larger competitors in Madisonville.




FEDERAL DEPOSIT INSURANCE CORPORATION

116

Table 101.

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b t t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued
Banking offices

Name of bank, and type of transaction 1
(in chronological order of determination)

No. 7— The Somerville Bank & Trust Company,
Somerville, Tennessee
to merge with
Rossville Savings Bank, Rossville

Resources
(in
thousands
of dollars)

In
operation

4,762

1

841

To be
operated
2

1

Summary report by Attorney General, July 22, 1960
Somerville and Rossville are located in Fayette County, in the southwestern corner
of Tennessee. Fayette County is an appropriate area of competition for consideration
of the effects of the proposed merger.
Somerville Bank is by far the largest of the four banks in Fayette County, having
60.5% of the banking assets in the county; Rossville Bank has 12.2% of Fayette
County’s bank assets. The remaining two banks are in Moscow and Oakland; Moscow
has 16.1%, and Oakland has 11.2%.
Merger of Rossville and Somerville Banks will, therefore, reduce competition
substantially by elimination of one of the four banks presently competing as a separate
organization in the area. Moreover, the proposed merger would concentrate over
70% of the banking resources of the county in the Somerville Bank. The reduced
number of competitors will offer fewer alternatives to prospective borrowers and
depositors. The concentration of resources would be likely to reduce the competition
from the much smaller remaining banks.
There is already a significant amount of joint stock holding by the holders of Somer­
ville and Rossville stock which is reflected in the interlocking directorates of the two
banks.
Officers and directors of Rossville and Somerville Banks are also, in some cases,
officers and directors of Barrettville Bank, the largest of the two banks in adjacent
Shelby County, outside of Memphis. Similar connections exist with the First State
Bank of Henderson, in Chester County, 40 miles to the east of Somerville. Thus,
the proposed merger would appear to increase concentration of banking resources
not only in Fayette County but in southwestern Tennessee generally.
Basis for Corporation approval, August 18, 1960
Because of substantial common ownership, these two banks have not been con­
sidered to be truly competitive with each other. The increased banking resources now
available to the Rossville area will be of substantial benefit to that community.
Further, this merger amounts to the formalization of an existing relationship, and
has no substantial effect on competition in the area.

No. 8— The Dime Bank, Akron, Ohio
(change of title to The Akron-Dime Bank)
to merge with
The Bank of Akron Company, Akron




101,091

5

22,262

3

8

117

BAN K ABSORPTIONS APPROVED BY THE CORPORATION

Table 101. Description of Each Merger, Consolidation, Acquisition
of Assets or Assumption of Liabilities Approved by the Corporation,
May 13 to December 31, 1960— Continued

N e of bank, a d type of tran
am
n
saction 1
(inchron
ological order of determ ation
in )

B k goffices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated

Summary report by Attorney General, August 5, 1960
The merger of The Dime Bank and The Bank of Akron Company would combine
two banks which are now substantial and independent factors in competition in bank­
ing in the City of Akron and Summit County, Ohio. It would eliminate an independent
source of banking services and would increase concentration in banking in both the
City of Akron and Summit County, giving the two largest of six banks in the County
about 68% of total assets. The merger would also substantially lessen both existing
and potential competition in banking in Akron and Summit County.
Basis for Corporation approval, September 29, 1960
During the past decade the population of this highly industrialized area increased
by 32 percent and the outlook for the future is very bright. This dynamic economy
needs large financial institutions, and this merger partially fills that need. The types
of services presently offered by the two banks are largely complementary rather
than competitive, and the same is true of their respective branch office locations. The
relatively small loan limit of The Bank of Akron Company has restricted its ability
to serve its larger customers, and some such customers have been lost for that reason.
Also, The Bank of Akron Company is a specialist in personal and consumer installment
lending; with the additional resources available for this purpose, as a result of the
merger, thousands of workers in the area should benefit. The merged institution will
be in position to effectively compete with the dominant banking institution which
has 45 percent of the banking resources and half the number of bank offices in the
service area.

— n nB k a d T st C pan
Joh stow an n ru om y,
Joh stow , P n
n n en sylvan
ia
to acquire the assets and assume the liabilities of
N F ce N al B k N F ce
ew loren ation an , ew loren

No. 9

28,680

4

2,525

5

1

Summary report by Attorney General, August 23, 1960
The application sets forth fully and completely the inability of the New Florence
management presently to adequately serve the community and the manner in which
the acquisition will improve banking in the New Florence area. Johnstown Bank
and Trust is in a position to offer more complete banking and trust services, has a
greater lending ability, and can provide a modern array of consumer lending facilities
without substantial detriment to competition in the area involved.
On balance, the proposed acquisition would not appear to substantially adversely
affect competition or increase any trend toward monopoly in the field of commercial
banking in the respective area(s) of operation of the two banks.
Basis for Corporation approval, September 29, 1960
This transaction solved a management succession problem, created by the impending
retirement of the executive officer, at the New Florence Bank. Broader and better
banking services will accrue to the New Florence area.




118

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 101.

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, an type of tran
am
d
saction1
(inchronological order of determ ation
in )
N 1 — eoples B k of T ton T ton M igan
o. 0 P
an
ren , ren , ich
(ch ge of title to P
an
eoples B k
an )
to consolidate with
T S S gs B kof F R F R
he tate avin an
lat ock, lat ock,

B k g offices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of d
ollars) operation operated
1 ,4 6
65
4
,743

5
1

6

Summary report by Attorney General, August 18, 1960
The Peoples Bank of Trenton, with offices at Trenton, Riverview, Rockwood
and Gibraltar, Michigan, has assets of $16,455,743 and deposits of $15,012,665 and
net current operating income in 1959 of $159,573. The State Savings Bank of Flat
Rock, with offices at Flat Rock, Michigan, has assets of $4,743,364 and deposits
of $4,286,721 and had a net operating income in 1959 of $49,622.
These banks are located within the same trade area and the area appears to have
sufficiently available banking facilities so that the combining of the seventh largest
and eighth largest, on the basis of deposits resulting in less than 9 % of the banking
resources in the area, with the consolidated bank being able to offer improved and
expanded service to the public in this area would not appear to have a substantial
adverse effect upon competition.
Basis for Corporation approval, October 6, 1960
In recent years industrial expansion and population growth have been very rapid
in this general area south of Detroit, creating a need for enlarged and improved
banking services. The consolidating banks are among the smallest in the service area
and both have been hard pressed to provide adequate credit accommodations in this
expanding economy. Although the resulting institution will still face the competition
of the several considerably larger banks in the area its ability to serve the needs
of the area will be materially enhanced.

N 1 — itusville T st C pan T
o. 1 T
ru om y, itusville, P n
en sylvan
ia
to acquire the assets and assume the liabilities of
C s B kof P
itizen an
leasan
tville, P
leasan
tville

2
6,092
2,721

1
1

2

Summary report by Attorney General, August 29, 1960
It is estimated that subsequent to the acquisition, Titusville Trust will have $28.6
million as combined banking resources, as compared with Second National’s $5.8
million, the only other banking institution in the trade area. Citizens will of course
become a part of Titusville Trust. Titusville Trust accordingly will dominate the
area to an important degree.
Without passing upon their propriety, historical relationships between the banks
have indicated an absence of competition between them. The applicants have stated
that for some time there has been a close relationship between Titusville Trust and
Citizens, both from an investment and personnel standpoint, and “it has been the
practice for many years for the active management of [Citizens] to confer with the
management of [Titusville Trust] on all major policy matters.”




BAN K ABSORPTIONS APPROVED BY THE CORPORATION

Table 101.

119

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, an type of tran
am
d
saction1
(inchronological order of determ ation
in )

B k goffices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of d
ollars) operation operated

Based upon the facts as to existing competition in the field of commercial banking
in the area served by these banks, it would appear that the fact of the proposed
acquisition alone would not bring about a substantial lessening of competition in
the area or serve to increase substantially the relative size of Titusville.
Basis for Corporation approval, October 6, 1960
These two banks are only six miles distant from each other. Through ownership
and management they have been closely associated since 1920, and the general public
has regarded them as a single institution. Actually, the purchase and assumption
does little more than change the corporate aspects of the participants.

N 1 — an of A a, A a, M igan
o. 2 B k lm lm ich
to consolidate with
R
iverdale S S gs B k R
tate avin an , iverdale

1 ,2 1
67
1
,977

2
2

4

Summary report by Attorney General, August 9, 1960
The Bank of Alma with offices at Alma and Ashley, Michigan, has assets of
$16,271,278 and deposits of $14,708,751 and trade net current operating income in
1959 of $122,174. The Riverdale State Savings Bank with offices at Riverdale and
Vestaburg, Michigan, has assets of $1,977,466 and deposits of $1,807,947 and had
a net current operating income in 1959 of $12,097.
These banks are located within the same trade area and the area appears to have
sufficiently available banking facilities so that the combining of the sixteenth largest
with the second largest, on the basis of deposits, when the bank to be acquired is in
need of modernization, additional personnel, and larger capital would not appear
to have a substantial adverse effect upon competition.
Basis for Corporation approval, October 31, 1960
Consummation of this transaction will bring to the communities of Riverdale
and Vestaburg improved and enlarged lending facilities, more efficient operating
services, and continuity of management.

N 1 — u u nT st C pany, H
o. 3 S b rba ru om
yattsville, M
arylan
d
to merge with
T eM
h arylan S B kof M tgom C n
d tate an
on ery ou ty,
G ith u
a ersb rg

12 8
5 ,1 6
8
,302

1
7
3

2
0

Summary report by Attorney General, October 26, 1960
The merger of the Suburban Trust Company, Hyattsville, Maryland, with the
Maryland State Bank of Montgomery County, Gaithersburg, Maryland, would
have the following effects upon competition:




120

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 101.

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, an type of tran
am
d
saction1
(in chron
ological order of determ ation
in )

B k g offices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated

(1) Suburban Trust is already by far the largest bank in the Prince Georges—
Montgomery County area. It presently accounts for over 36% of the banking
resources in this area and is over three times as large as its largest competitor.
The merger of Suburban Trust with the Maryland State Bank would contribute
to a recent series of mergers which would substantially increase Suburban’s size,
thus increasing its already substantial advantages over its smaller competitors
with a resulting tendency to monopoly.
(2) The Maryland State Bank would be eliminated as a successful, independent
competitive factor in commercial banking in this area. Although the banks’ merger
application stresses the need for increased banking facilities in the Gaithersburg—
Germantown area in which the Maryland State Bank operates the only existing
banking offices, it would appear that this need could better be met by the opening
of new banking offices which would insure that such increased facilities would
be accompanied by effective competition. The proposed merger, on the contrary,
would eliminate an effective existing competitor and the size of Suburban Trust
may be expected to stifle rather than encourage future competition.
Basis for Corporation approval, November 22, 1960
Friction between two groups in the management at Maryland State Bank and
lack of coordination in the supervision of its affairs have caused a deterioration in
its condition. There is a definite public need for increased and improved banking
services in the Gaithersburg-Germantown area, and Suburban Trust through its
branch coverage of a two-county area and its sound management in depth is fully
competent to supply these services.

N 1 — a d a S B k P en T (ch ge of title to
o. 4 P sa en tate an , asad a, exas an
F P sa en S B k
irst a d a tate an )
to merge with
F N al B kof P en P sa en
irst ation an
asad a, a d a

17,8 1
7

1

8,462

1

1

Summary report by Attorney General, October 5, 1960
The proposed merger involves banks ranking second and third in deposits and
loans within their immediate trading area. The merged bank would become the largest
in its area, and there would remain one large and six smaller banks.
Both banks compete for the same types of business, and the proposed merger
would eliminate this substantial competition. In view of the small size of some of
the remaining banks in the area the merger may also have a tendency to monopoly.
Basis for Corporation approval, December 1, 1960
This merger eliminates one competitive bank; however, any decrease in competition
is overshadowed by the positive benefits that will accrue to the public by having a
larger locally owned bank. This area has experienced a rapid growth and the merged




121

BANK ABSORPTIONS APPROVED BY THE CORPORATION

Table 101.

D e s c r ip tio n o f E a c h M e r g e r , C o n s o lid a tio n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, a d type of tran
am
n
saction 1
(inchron
ological order of d
eterm ation
in )

B k g offices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of d
ollars) operation operated

institution, with its much larger capital account and loan limit, will be in a position
to better serve this expanding economy and to compete with the large Houston
banks which are only ten miles distant.

N 1 — u u n T st C pany, H
o. 5 S b rba ru om
yattsville, M
arylan
d
to merge with
B kof M
an
aryland, S P n
eat leasa t

13 3
6 ,4 0
2
6,416

2
0
9

2
9

Summary report by Attorney General, November 23, 1960
The merger of the Suburban Trust Company, Hyattsville, Maryland, with the
Bank of Maryland, Seat Pleasant, Maryland, would have the following effects upon
competition:
(1) The merger would eliminate substantial existing competition between the
two banks.
(2) The merger would eliminate the Bank of Maryland as a substantial inde­
pendent competitive factor offering an alternative source of banking services.
The Bank of Maryland has in recent years been a vigorous competitor in commercial
banking in the Prince Georges County— Montgomery County area, and as the
area’s fourth largest bank it clearly constitutes an important alternative source
of banking services.
(3) The merger would continue to increase the competitive advantages of
Suburban Trust over its smaller competitors. As a result of this merger and of the
bank’s proposed merger with the Maryland State Bank, Suburban Trust would be
nearly four times as large as its largest competitor. The growth of this great dis­
parity of size between Suburban Trust and the remaining banks in the area will
clearly make it more difficult for these remaining banks to compete effectively.
(4) The merger constitutes a major step in a tendency toward monopolization
by Suburban Trust of commercial banking in the Prince Georges County— Mont­
gomery County area. The proposed merger is the third of a series by which Suburban
Trust has in less than a year attempted to substantially increase its position in
commercial banking in Prince Georges and Montgomery Counties. As a result of
these mergers Suburban Trust’s share of the area’s total banking resources is now
approaching 50% while its next largest competitor still accounts for less than 12%.
Such growth by acquisition, combined with Suburban Trust’s already dominant
position, clearly constitutes a tendency toward monopoly.
Basis for Corporation approval, December 8, 1960
The field of competition in which the merging banks have been engaged cannot
realistically be limited to two counties in Maryland. The merging institutions have
long been subject to intense competition from large District of Columbia banks
which have numerous branch offices located near the line separating the District




122

FEDERAL DEPOSIT INSURANCE CORPORATION

Table 101. Description of Each Merger, Consolidation, Acquisition
of Assets or Assumption of Liabilities Approved by the Corporation,
May 13 to December 31, 1960— Continued
Banking offices
Name of bank; and type of transaction 1
(in chronological order of determination)

Resources
(in
thousands
of dollars)

In
operation

To be
operated

from Montgomery and Prince Georges Counties. That Suburban Trust is extremely
active in the District of Columbia is shown by the fact that one-eighth of its personal
loan and automobile loan customers (with loans aggregating in excess of $1.5 million)
reside in the District; almost one-fourth of its customers maintaining checking ac­
counts with balances of $25,000 or more reside in the District; and more than onethird of commercial loan customers with approved lines of more than $10,000 each
(aggregating almost $8,000,000) have places of business in the District. Furthermore,
nine of thirty directors have their main offices in the District, and 13 percent of the
bank’s shareholders reside in the District.
The result of this transaction is a suburban bank with the financial strength and
widespread branch system justifying the confidence and serving the convenience of
the area, capable of providing the required banking services for industrial and com­
mercial expansion in the region, and capable of effectively competing for business
with competitor banks of the District. The resulting bank will be a substantial aid
to additional economic expansion in the regional area. Upon the injection of the
required new capital funds, approximating $2 million, (effected on April 17, 1961,)
and the resulting ability to make commercial and industrial loans in excess of SI
million each, this bank will be able to more adequately and capably service its area
of effective competition. The substantial public benefits of increased lending power
and capacity for more intense competition with other banks outweigh the elimination
of one bank.

No. 16— Edgecombe Bank and Trust Company, Tarboro,
North Carolina
to merge with
Bank of Fountain, Fountain

6,606

2

1,130

3

1

Summary report by Attorney General, September 30, 1960
The proposed merger of Bank of Fountain, Fountain, North Carolina, into Edge­
combe Bank and Trust Company, Tarboro, North Carolina, will unite two small
banks which compete with several large banks, including the two largest in the State.
The acquiring bank, Edgecombe Bank and Trust, has increased its resources from
$1,226,000 at its organization in 1942, to $6,606,000 presently, in what is primarily
an agricultural area. The smaller bank has total resources of $1,130,000.
The merger will apparently not result in any seriously adverse competitive effects.
Basis for Corporation approval, December 8, 1960
Both of these small banks serve areas which are primarily agricultural. The Edge­
combe Bank’s farm management service will become available to and benefit the
farmers in the Fountain section who do not now have such service. Joined together
the two banks can somewhat better compete with the State’s two largest branch
bank systems which are active in their service areas.




123

BANK ABSORPTIONS APPROVED BY THE CORPORATION

Table 101.

D e s c r ip t io n o f E a c h M e r g e r , C o n s o lid a t io n , A c q u is itio n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, a d type of tran
am
n
saction1
(inch ological order of determ ation
ron
in )
N 1 — ixon S vin B k D
o. 7 D
a gs an , ixon, Iow
a
to acquire the assets and assume the liabilities of
F T st &S vin B k W eatlan
irst ru
a gs an , h
d

B k goffices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated
1,4 5
0
2,832

1
2

3

Summary report by Attorney General, November 17, 1960
The proposed acquisition of First Trust and Savings Bank, Wheatland, Iowa, by
the Dixon Savings Bank, Dixon, Iowa, will unite two small banks now competing
with about a dozen other small banks in the surrounding area. The acquiring bank,
Dixon Savings Bank, has increased its net operating income from $9,034.59 in 1955
to $25,506.12 in 1959, and has total assets of $1,405,000. The other bank has total
assets of $2,832,000.
The acquisition apparently will not have substantial adverse competitive effects.

Basis for Corporation approval, December 15, 1960
The broadened and improved banking services resulting from this
will benefit the communities of Dixon, Wheatland and Lost Nation.

N 1 — ecu B k of O , P
o. 8 S rity an
regon ortlan O
d, regon
to merge with
P eer B kof M au ie, M au ie
ion an
ilw k ilw k

1 ,5 8
29
3
,420

5
1

transaction

6

Summary report by Attorney General, September 9, 1960
The Department of Justice has reported to the Federal Deposit Insurance Corpo­
ration that the proposed merger of the Security Bank of Oregon, Portland, Oregon,
and the Pioneer Bank of Milwaukie, Milwaukie, Oregon, would not have substantial
adverse effects on competition.
The Security Bank of Oregon, which operates four banking offices in the City of
Portland and one in Trautdale, controls less than one percent of the area’s commercial
bank deposits. Merger of the Security Bank of Oregon with the Pioneer Bank of
Milwaukie, the smallest commercial bank in the area, would increase the share of
the area’s commercial bank deposits held by the Security Bank of Oregon by less
than three-tenths of one percent.
If the merger is effectuated, the Security Bank of Oregon will acquire a small bank,
in a rapidly developing suburban area to the south of Portland where it is not presently
represented, with which it presently competes, if at all, only to a limited extent.
The merger will result in the elimination of a minor competitive factor in the area.
Nevertheless, the increase in concentration will be small and the effects on concen­
tration in Portland and the surrounding suburban communities will not be substantial.




FEDERAL DEPOSIT INSURANCE CORPORATION

124

Table 101.

D e s c r i p t i o n o f E a c h M e r g e r , C o n s o l i d a t i o n , A c q u is i t io n

o f A s s e t s o r A s s u m p tio n o f L i a b i l i t i e s A p p r o v e d b y t h e C o r p o r a t i o n ,
M ay

13

to D ecem ber

31, 1960— Continued

N e of bank, a d type of tran
am
n
saction1
(in chronological order of determ ation
in )

B k g offices
an in
R rces
esou
(in
th sa d
ou n s
In
To be
of dollars) operation operated

Basis for Corporation approval, December 21, 1960
Milwaukie is a rapidly growing suburb of Portland and has become a major distri­
bution and warehousing center. The increased banking resources available to Mil­
waukie as a result of this merger will be an important element in the continued
expansion of that area.

N 1 — n B kan T st C pan of B leh ,
o. 9 U ion an d ru om y eth em
B leh , P
eth em a.
to merge with
Liberty B kan T st C pan A tow
an d ru om y, llen n

5 ,2 9
88

3

8
,444

4

1

Summary report by Attorney General, November 25, 1960
The proposed merger would unite the fourth largest bank in the BethlehemAllentown area with the sixth in size among six banks in the area. The trend in banking
in the area has been toward consolidation, each of the two banks in Bethlehem having
acquired another bank in 1959 and the largest bank in Allentown, which is the largest
bank in the area, has just acquired a $20,000,000 bank.
The possibility should be noted that the cumulative effect of such consolidations in
the pertinent area, including the one under consideration, may give rise to further
consolidations among competing banks with substantial adverse competitive results.
Basis for Corporation approval, December 21, 1960
The relatively small Liberty Bank has not been an active competitor in its effective
area of existing competition. This bank has not been able to keep pace with its com­
petitors which have from five to almost fifteen times its resources. Its substitution
by a branch of the resulting bank where management is aggressive will have the effect
of increasing competition in all fields of banking, particularly installment lending and
residential home mortgages. This will be of material benefit to the public.

N 2 — du
o. 0 In strial T st C pan P
ru om y, hiladelph P n
ia, en sylvan
ia
to merge with
P iom N al B k E G ville
erk en ation an , ast reen

44,1 6
8
7,827

8
1

9

Summary report by Attorney General, November 17, 1960
The proposed merger of Industrial Trust and Perkiomen National would not appear
to present serious competitive problems. Industrial Trust is a Philadelphia metro­
politan bank with a number of branch offices located in Philadelphia alone. Its distance
from East Greenville leads to the conclusion that its competitive activity in that area
is quite remote. On balance the proposed merger would not appear to adversely affect
competition to any substantial degree in the competitive area involved.




BANK ABSORPTIONS APPROVED BY THE CORPORATION

125

Table 101. D escription
of

A ssets

or

of E ach M erger , C onsolidation , A cquisition
A ssumption of L iabilities A pproved by the C orporation ,
M a y 13 to D ecember 31, 1960— Continued

Banking offices
Name of bank, and type of transaction 1
(in chronological order of determination)

Resources
(in
thousands
of dollars)

In
operation

To be
operated

Basis for Corporation approval, December 21, 1960
The East Greenville area will materially benefit by the introduction to that com­
munity of complete banking services, including trust department services, and by the
increased lending base now available.

No. 21— First Seneca Bank and Trust Company,
Oil City, Pennsylvania
to acquire the assets and assume the liabilities of
Farmers and Merchants Trust Company, Greenville

60,896

7

8,893

8

1

Summary report by Attorney General, December 5, 1960
The proposed acquisition would have little, if any, adverse effect on competition
between the two banks, inasmuch as they do not, for practical purposes, compete with
each other at the present time. However, First Seneca Bank and Trust Company is
the largest bank in the service areas in which it does business, and the acquisition would
further increase the disparity in size between it and its competitors. The same situation
would exist in the service areas in which the resulting bank would do business. Further,
in Greenville, the service area of Farmers and Merchants Trust Company, the resulting
bank would be much larger than First National Bank of Mercer County, which is now
Farmers and Merchants only competitor.
These changes in size effected by the proposed merger would tend toward creating
a monopoly in the resulting bank in each of its service areas and probably would pro­
mote efforts by smaller commercial banks toward merger or acquisition, thus perhaps
increasing the tendency toward concentration of commercial banking facilities in
those areas.
Basis for Corporation approval, December 29, 1960
The merging banks do not presently compete with each other. The modest increase
in resources of First Seneca, as a result of this merger, will have inconsequential effects
on the Oil City area where the resulting bank will still face keen competition from a
strong national bank, six savings and loan associations, twenty-one sales finance and
personal loan companies, and four credit unions, which collectively offer intense
competition. Such competition will continue. The principal effect of this transaction
will be to furnish Greenville with larger and more diversified banking resources and
to intensify competition for the banking business in a trade area of some 25,000
population which is now served only by the Farmers and Merchants and its commercial
bank competitor which is three times larger. The larger lending facilities, broader
services, and more aggressive management resulting from the merger will be of
substantial benefit to the Greenville area.
1 Unless otherwise indicated, the first named bank is the resulting insured nonmember bank.




Table 102.

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 B a n k s a n d B r a n c h e s

in t h e U n ite d S t a t e s (S ta te s a n d O t h e r A r e a s ) D u r in g

1960

Commercial and stock savings banks
and nondeposit trust companies

All banks

Insured
Type of change

Total
National State

Non­
Not
mem­ Banks deposit Total
bers
trust
of de­
F. R.
com­
posit
System
panies1

Non­
In­
sured2 insured

13,451
13,382

548
622

+69

-7 4

13,484
13,486

13,126
13,114

4,530
4,542

1,641
1,687

6,955
6,885

304
317
-1 3

+ 12

-1 2

-4 6

+70

132
125
7

111
111

21
14
7

132
125
7

111
111

32
32

4
4

75
75

Banks ceasing operations..........................................................
Suspended bank not reopened or succeeded..........................
Absorptions, consolidations, and mergers..............................
Other liquidations.........................................................................

137
1
132
4

128
128

9
1
4
4

134
1
129
4

8
1
3
4

325
268

190
250

-3

+ 57

—60

21
14
7

Net change during year..................................................................

-5

49

24

53

49

24

53
+27
+3
+24

+27
+3
+24

-8 6
-3
-8 3

+ 5
-2 6
+ 15
-9
-1 0
+ 1
+ 7
Admissions to F. R. System......................................................
Withdrawals from F. R . System.............................................. - 2 5
Non deposit trust company becoming commercial bank

Other changes in classification...............................................
National banks succeeding State banks..................................
State banks succeeding national banks..................................

Changes not involving num ber in any c la ss:...................
Bank succeeding suspended bank.............................................
Successions......................................................................................
Absorptions of noninsured nondeposit financial institu­
tion (not accompanied by establishment of additional
banking offices).........................................................................
Changes in title, location, or name of location....................
Change in general character of business.................................
Change in corporate powers4.....................................................




1
3

1
1

4
121
1

4
119
1

43

43

2

2

1
3

1
1

4
119
1
43

4
117
1
43

3

1

2

1

+59

+ 1

-5 9

+59

-2 7
-3
-2 4

-5 9

-1

+ 1

+21
-6
+9
-7

2

3

-1

+25

1
1
1
44

2
2
17

CO R P O R A T IO N

+86
+3
+83

Noninsured banks becom ing insured ..................................
Successors to noninsured banks................................................
Admission to insurance, operating banks...............................

126
126

-1

515
518

INSURANCE

-2

Banks beginning operations.....................................................
New banks......................................................................................
Banks added to count*................................................................

54
55

DEPOSIT

BANKS
N um ber of banks, December 31, 1960........................................... 13,999
Num ber of banks, December 31, 1959........................................... 14,004

FEDERAL

Total

Members F. R .
System

In­
Non­
sured insured Total

Mutual savings banks

Noninsured

1
56
1
43

1

1

2

2

BRANCHES

Branches opened for busin ess................................................
Facilities provided as agents of the government6.................
Absorbed banks converted into branches..........................
Branches replacing head offices relocated or placed in
liquidation..................................................................................
Other branches opened...............................................................
Branches added to count6..........................................................

10,940
10,053

166
185

10,619
9,790

10,559
9,735

5,508
4,974

2,624
2,519

2,427
2,242

46
45

14
10

487
448

381
318

106
130

+868

+887

-1 9

+829

+824

+534

+ 105

+ 185

+ 1

+4

+39

+ 63

-2 4

928

912
12
112

881
12
111

507
12
70

166

208

2

4

41

31

10

1

887
12
111

20

21

2

1

1

14
1

9
752
3

9
747
2

2
422
1

2
144

5
181
1

39

30

9

60
8
52

60
8
52

31
5
26

19
2
17

10
1
9

+2

+3

+58

-4 2

-1 3

+32

-3 4

+ 16

-1 5

+34

-3 4

+2

+42

+5
-2 5
—7

-1
+ 1
-5
+25
-3 3

53

16
226

20
132

17
52

OFFICES, AND

N et change during year.

11,106
10,238

NUMBER,

N um ber of branches, December 31, 1960.
N um ber of branches, December 31, 1959.

23,685
22,849

10,038
9,516

4,265
4,206

9,382
9,127

350
362

12

113
9
791

9
777
2

Branches discontinued...............................................................
Facilities.........................................................................................
Branches.........................................................................................

60
8
52

Other changes in classification am ong branches...........
Branches of national banks succeeding branches of State
banks...........................................................................................
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
Branches transferred as result of absorption or succession.

+ 35

16

-3 5

+ 1
+2

3
1

-1

-2

-1
-2

53
415

53
415

53
410

25,105
24,242

24,391
23,435

714 24,103
807 23,276

+863

+956

-9 3

+827

+836

+522

+59

+255

1,060
132
928

1,023
111
912

37
21
16

1,019
132
887

992
111
881

539
32
507

170
4
166

283
75
208

197
137
60

188
128
60

9
9

194
134
60

186
126
60

80
49
31

43
24
19

63
53
10

8
8

+ 121
+86
+35

-1 2 1
-8 6
-3 5

+2

+30
+27
+3

+63
+ 5
+58

-6 8
-2 6
-4 2

+35
+48
-1 3

-2 7
-2 6
-1

410

-2

N um ber of offices, December 31, 1960.
N um ber of offices, December 31, 1959.

68
65

1,002
966

706
586

296
380

N et change during year.
Offices opened.
Banks..............
Branches.........

-1 2

+ 3

+36

+ 120

-8 4

23
21
2

4

41

31

10

4

41

31

10

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

3
3

2
2

1
1

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

+2

+91
+59
+32

-9 3
—59
-3 4

-1
—1

-2
-2

1 Includes 1 trust company member Federal Reserve System, December 31, 1960, and December 31, 1959.
2 Includes 2 mutual savings banks members of the Federal Reserve System, December 31, 1960, and 3 on December 31, 1959.
8 Banks opened prior to 1960 but not included in count as of December 31, 1959.
4 Information available only for insured banks not members of the Federal Reserve System.
6 Facilities established in or near military or other Federal Government installations at request of the Treasury or Commanding Officer of the installation.
• Branches opened prior to 1960 but not included in count as of December 31, 1959.




BANKS

5

O
F

5

ALL B A N K IN G OFFICES

DEPOSITS

Changes not involving num ber in any class:..........
Branches transferred as result of absorption or succession.
Changes in title, location, or name of location....................

+35

-3 5

2

to

Table 103.

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

31, 1960

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE
Commercial and stock savings banks
and nondeposit trust companies

All banks

Member F. R.
System
National

Total

In­
sured

Non­
insured Total

Percentage insured1

Noninsured

Insured
State and type of bank or office

Mutual savings banks

State

Not
mem­
bers
F.R .S.

Total

Non­
Banks deposit Total
trust
of de­
com­
posit
panies2

Non­
In­
sured3 insured

All
banks
of de­
posit

Com­
mercial
banks
of
deposit

Mutual
savings
banks

23,685
13,126
10,7 k0
2,886
10,559

10,038
4,530
8,562
968
5,508

4,265
1,641
1,285
k06
2,624

9,382
6,955
5,9k3
1,012
2,427

350
304
285
19
46

68
54
50
k
14

1,002
515
320
195
487

706
325
19k
181
381

296
190
126
6k
108

97.4
96.5
96.k
96.8
98,6

98.5
97.7
974
99.2
99.6

70.5
63.1
60.6
67.2
78.2

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

24,810
13,960
11,880
2,580
10,850

24,127
13,427
10,929
2,U98
10,700

683
533
k51
82
150

23,810
13,446
11,060
2,386
10,364

23,421
13,102
10,735
2,367
10,319

9,967
4,520
8,560
960
5,447

4,265
1,641
1,285
k06
2,624

9,189
6,941
5,9k0
1,001
2,248

328
296
280
16
32

61
48
k5
8
13

1,000
514
320
19k
486

706
325
19 k
181
381

294
189
126
63
105

97.5
96.5
96.k
96.9
98.7

98.6
97.8
97.5
99.3
99.7

70.6
63.2
60.6
67.5
78.4

50 States and D . C .— a l l offices. . .
Banks....................................................
Unit banks.......................................
* \Banks operating branches..............
Branches...............................................

24,954
13,985
11,891
2,59k
10,969

24,260
13,443
10,933
2,510
10,817

694 23,954
542 13,471
k58 11,071
2,k00
8k
152 10,483

23,554
13,118
10,739
2,879
10,436

10,036
4,529
3,562
967
5,507

4,265
1,641
1,285
k06
2,624

9,253
6,948
5,9k2
1,006
2,305

333
300
283
17
33

67
53
k9
k
14

1,000
514
320
19k
486

706
325
19 k
131
381

294
189
126
63
105

97.5
96.5
96.k
96.9
98.7

98.6
97.8
97.k
99.3
99.7

70.6
63.2
60.6
67.5
78.4

151
14
k
10
137

131
8
1
7
123

149
13
k
9
136

131
8
1
7
123

2
1

17
4
2
2
13

1
1
1

2
1

2
1

1
1

129
7
1
6
122

1
1

1
1

87.3
61.5
83.3
70.0
89.8

88.5
66.7
33.8
77.8
90.4

328
238
21U
2U
90

328
238
21k
2k
90

328
238
21k
2k
90

328
238
21k
2k
90

146
69
51
18
77

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

46
13
5
8
33

41
9
2
7
32

5
4
5
1
1

46
13
5
8
33

41
9
2
7
32

38
7
1
a
81

89.1
69.2
ko.o
87.5
97.0

89.1
69.2
ko.o
87.5
97.0

189
10
$
7
179

180
9
8
6
171

9
1

189
10
3
7
179

180
9
3
6
171

133
3

10
1

8
130

1
9

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

48 States and D . C .— a l l offices4. ..

Dtliar oroQfi— oil AnirAfl
Unit banks
P/imbo
*R t sh£q
i* >

n

20
6
8
g
14

State
Aid

C
l__Q1 A
1

T Zff
ifivi *
P 10
/ym *
"R vinlioa
i»o

ppo
n /irnw

AlooVa— oil AfViPAfl
T m 'I
Ta
p/}MZa
>
A rlv ah

n J Y7 iV.0
\ / V n f&
11

AiTir^&

Unit banks
P/tMZo
*

h+n*}+li0Q




1
8

30
24
20
k
6

152
145
IkS
2
7
3
2
1
1
1
37
5
8
2
32

5
4
3
1
1
9
1
1
8

CORPORATION

714 24,103
548 13,484
k61 11,075
87 2,k09
166 10,619

INSURANCE

24,391
13,451
10,93k
2,517
10,940

DEPOSIT

25,105
13,999
11,895
2,601
11,106

Unit banks.......................................

FEDERAL

... .... .

283
237
201
36
46

278
232
196
36
46

72
55
U
11
17

California— all offices....................
Banks................................................
Unit banks....................................
Banks operating branches..........
Branches...........................................

1,793
117
55
62
1,676

1,783
112
52
60
1,671

10
5
3
2
5

1,793
117
55
62
1,676

1,783
112
52
60
1,671

1,314
40
20
20
1,274

Colorado— all offices......................
Banks................................................
Unit banks....................................
Banks operating branches..........
Branches...........................................

199
192
186
6
7

169
162
156
6
7

30
30
SO

199
192
186
6
7

169
162
156
6
7

83
78
7U
U
5

19
18
17

67
65

Connecticut— all offices...............
Banks................................................
Unit banks...................................
Banks operating branches..........
Branches...........................................

396
141
85
56
255

387
132
76
56
255

9
9
9

268
70
37
S3
198

259
61
28
S3
198

122
23
10
IS
99

65

72
29
16

7
56

IS

8
8
8

Delaware— all offices......................
Banks................................................
Unit banks....................................
Banks operating branches..........
Branches...........................................

80
22
IS
9
58

77
21
13
8
56

3
1

74
20
13
7
54

71
19
13
6
52

3
3
3

26

42
14
10
28

District of Colum bia— all offices
Banks..................................................
Unit banks................................... .
Banks operating branches...........
Branches...........................................

77
12
1
11
65

77
12
1
11
65

77
12
1
11
65

77
12
1
11
65

39
5

29
4

5
34

'‘v

Florida— all offices..........................
Banks..................................................
Unit banks................................... .
Banks operating branches...........
Branches.............................................

323
309
296
13
14

318
304
291
IS
14

5
5
5

323
309
296
13
14

318
304
291
IS
14

130
119
109
10
11

10
10
10

178
175
172
3
3

2
2
2

Georgia— all offices..........................
Banks................................................ .
Unit banks.....................................
Banks operating branches............
Branches..................... .......................

527
421
39U
27
106

469
363
336
27
106

58
58
58

527
421
39U
27
106

469
363
336
27
106

115
53
uo
IS
62

41
14

313
296
288
8
17

58
58
58

Hawaii— all offices..........................
Banks..................................................
Unit banks....................................
Banks operating branches...........
Branches........................... , ........... .

98
12
6
6
86

92
7
*
5
85

6
5
h
1
1

98
12
6
6
86

92
7
2
5
85

31
2
1
1
29

98.6
98.3
98.0
100.0
100.0

30
30
30




1
2

17

180
156
135
21
24

248

221

26

21

U

21

6

15
227

1
1

2

*’ 2
24

25

27

4
4
h

10
5
3
2
5

51
26
25
170

66

1
1

1
1
1

h

100.0

|

100.0
100.0

100.0

3
1

6
2

6
2

1
2

2
4

2
4

96.3
95.5
100.0
88.9
96.6
100.0
100.0
100.0

1
2
6

1
U

56

100.0

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

99.4
99.3
99.3
100.0

100.0
89.0
86.2
85.3
100.0

100.0

6
5
A
1
1

100.0

84.9

88.4
77.8
100.0
100.0

98.0
94.3
90.5
100.0
100.0

100.0

61
5

100.0

84.4
83.9
100.0
100.0

128
71
18
23
57

3
3
3

100.0

84.9
84.4
83.9
100.0
100.0

128
71
U8
23
57

43

98.3
98.0
100.0
100.0

100.0
100.0
100.0

A

|
|
1
1
1
1

98.6

100.0

100.0
100.0
100.0

100.0

97
.0

95.9

95.0
100.0
85.7
96.3

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0

100.0

100.0

100.0
100.0

200.0
100.0

99.4

89.0

BANKS

5
5
5

O
F

278
232
196
36
46

DEPOSITS

283
237
201
36
46

N U M B E R , OFFICES, AND

Arkansas— all offices......................
Banks................................................
Unit banks....................................
Banks operating branches..........
Branches...........................................

99.3
99.3
100.0
100.0

86.2
85.5
100.0
100.0

10
0 .0

100.0
100.0
100.0

100.0

to
C
D

T a b le

103.

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

GROUPED ACCORDING

to

Commercial and stock savings banks
and nondeposit trust companies

All banks

Non­
In­
sured insured

Total

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

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

Banks....................................................




Non­
In­
sured3 insured

All
banks
of de­
posit

Com­
mercial
banks
of
deposit

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

99.7
99.7
99.7
100.0
100.0

99.7
99.7
99.7
100.0
100.0

99.3
98.9
98 4
100.0
100.0

99.3
98.9
98.U
100.0
100.0

115
32
21*
8
83

78
10
6
h
68

16
8
6
2
8

21
14
12
2
7

6
6
6

970
966
962
U
4

964
960
956
h
4

400
396
392
k
4

127
127
127

437
437
AS7

3
3
S

3
3
3

752
441
315
126
311

6
6
6

754
443
317
126
311

748
437
311
126
311

303
125
80
1
*5
178

134
99
78
21
35

311
213
153
60
98

5
5
5

1
1
1

856
673
533
IhO
183

816
635
U97
138
181

40
38
36
2
2

856
673
533
1U0
183

816
635
J>97
138
181

104
96
88
8
8

75
68
63
5
7

637
471
3U6
125
166

39
37
35
2
2

1
1
1

612
587
563
2U
25

608
583
559
n
25

4
4
1
*

612
587
563
2U\
25

608
583
559
2k
25

183
167
152
15
16

48
46
U
2
2

377
370
363
7
7

4
4
u

99.3
99.3
99.3
100.0
100.0

99.3
99.3
99.3
100.0
100.0

501
355
285
70
146

491
345
275
70
146

10
10
10

501
355
285
70
146

491
345
275
70
146

163
87
62
25
76

40
16
8
8
24

288
242
205
37
46

10
10
10

98.0
97.2
96.5
100.0
100.0

98.0
97.2
96.5
100.0
100.0

115
32
2U
8
83

970
966
962
U
4

964
960
956
U
4

758
447
321
126
311

4
4
U

4
4
h

Mutual
savings
banks

95.4
94.5
93.U
98.6
98.9

95.4
94.5
98.U
98.6
98.9

100.0
100.0
100.0

C O R PO R AT IO N

JJfllt % T 8
)Q lfC
*.........* ••.
Banks operating branches..............

Total

INSURANCE

pO
G

Non­
Banks deposit
trust
of de­
posit
com­
panies2

DEPOSIT

_oil
r

National State

Not
mem­
bers
F .R .S.

115
32
2U
8
83

115
32
2U
8
83

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

Member F. R.
System

Total

Percentage insured1

FEDERAL

Total

Mutual savings banks

Noninsured

Insured
State and type of bank or office

31, 1960—Continued

INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE

365
189
125
6U
176

1
1
1

M aine— all offices.................
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................

218
79
U
35
139

192
64
35
29
128

26
15
9
6
11

Maryland— all offices.........
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................

422
139
80
59
283

415
137
79
58
278

M assachusetts— all offices
Banks......................................
Unit banks.........................
Banks operating branches
Branches5...............................

852
356
198
158
496

M ichigan— all offices.........
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................
M innesota— all offices. . . .
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................

194
136
102
3U
58

1
1
1

44
13
U
9
31

15
5

99.7
99.5
99.2
100.0
100.0

384
133
78
55
251

378
132
78
5U
246

137
50
29
21
87

565
174
78
96
391

287
182
120
62
105

545
171
80
91
374

539
166
75
91
373

312
103
55
U8
209

1

6
5
5

20
101

105
42
19
23
63

958
380
2U6
13 U
578

954
378
2U5
133
576

4
2
1
1
2

958
380
2U6
1SU
578

954
378
2U5
183
576

286
76
U5
31
210

399
140
95
U5
259

269
162
105
57
107

3
1
1
2

696
690
688
2

686
680
678
2

10
10
10

185
179
177
2
6

471
471
U71

10
10
10

Mississippi— all offices
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................

6
327
191
122
69
136

685
679
677
2
6

29
29
29

6
329
193
12 h
69
136

695
689
687
2
6

2
2
2

329
193
12A
69
136

327
191
122
69
136

54
27
11
16
27

23

250
156
107
U9
94

2
2
2

Missouri— all offices............
Banks.....................................
Unit banks.........................
Banks operating branches
Branches................................

651
626
601
25
25

635
610
585
25
25

16
16
16

651
626
601
25
25

635
610
585
25
25

85
77
69
8

446
439
1*32
7
7

12
12
12

4
4
U

M ontana— all offices...........
Banks.....................................
Unit banks.........................
Banks operating branches,
Branches................................

122
121
120
1
1

120
119
118
1
1

2
2
2

122
121
120
1
1

120
119
118
1
1

33
33
33

1
1
1

1
1
1

8
43
42
Ul
1
1

11

U

7
24

99.7
99.5
99.2
100.0
100.0

88.1
81.0
79.5
82.9
92.1

91.7
89.4
100.0
83.9
92.5

U

43

44
8

2

6
36

122
21

U

15

104
94

8
U

10

10
44
44

U

197
74
U7
27
123

38
32
28
U
6

1

1
1
1

98.3
98.6
98.8
98.3
98.2

98.4
99.2
100.0
98.2
98.0

26
8
3
5
18

281
177
115
62
104

66.3
48.9
89.U
60.8
78.8

98.9
97.1
93.8
100.0
99.7

99.7
99.7
100.0
99.8
99.7

99.7
99.7
100.0
99.3
99.7

98.6
98.6
98.5
100.0

98.6
98.5
98.5
100.0
100.0

99.4
99.0
98.U
100.0

1
5

37
5
1
U
32

307
185
118
67
122

6
1

11
10
9
1
1

38
6
2
L
32

5
10

27
22
19
3
5

100.0

49
6
2

99.4
99.0
98.U
100.0

98.1
98.1
98.0
100.0

98.1
98.1
98.0
100.0

1
1
1

1
1
1

1
1
1

100.0

100.0
99.2
99.2
99.2
100.0
100.0

100.0

100.0

99.2
99.2
99.2
100.0
100.0

71.1

100.0
100.0
100.0

BANKS

7
2
1
1
5

72
23
10
13
49

35

O
F

136
42
19
23
94

180
47
16
31
133

365
189
125
6*\
176
165
42
16
26
123




366
190
126
6U\
176

DEPOSITS

366
190
126
6U
176

AND

Louisiana— all offices.........
Banks.....................................
Unit banks.........................
Banks operating branches,
Branches................................

Table 103.

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

31, 1960—Continued

GROUPED ACCORDING TO INSURANCE STATUS AND CLASS OF BANK, AND BY STATE OR AREA AND TYPE OF OFFICE
Commercial and stock savings banks
and nondeposit trust companies

All banks

In­
sured

Non­
insured

U tiH bctTilcs

731
274
131
IhS
457

728
271
128
1US
457

111
55
SO
25
56

131
121
112
9
10

19
18
17
1
1

254
253
252
1
1

44
7
2
5
37

44
7
2
5
37

25
3
1
2
22

12
2

78
74
70
1
*
4

74
70
66
h
4

54
51
U8
3
3

1
1
1

19
18
17
1
1

3
3
3

689
253
119
1SU
436

686
250
116
1SU
436

417
160
80
80
257

192
55
19
36
137

111
55
30
25
56

59
29
16
13
30

10
8
7
1
2

X aiit V
T

1
1

Up it bcLT
ilcs
T yqy
3* \




...........

2,050
2,066
529
517
291
300
229 1
226
1,537
1,533

1,786
402
21>2
160
1,384

1,770
390
233
157
1,380

713
239
156
83
474

943
109
52
57
834

114
42
25
17
72

16
12
9
g
4

2
10

Com­
mercial
banks
of
deposit

93.5
93.3
93.2
100.0
100.0

6
6
6

42
18
7
11
24

111
55
SO
25
56

5
37

All
banks
of de­
posit

Mutual
savings
banks

93.5
93.3
93.2
100.0
100.0

100.0
100.0
100.0
100.0
100.0

28
28
28

77
35
17
18
42

111
55
30
25
56

Non­
In­
sured3 insured

7
2
1
1
5

4
4
U

Total

100.0
100.0
100.0
100.0
100.0

35
33
31
2
2
3
3
3

11
7
■
4
3
4

5
5
5

35
33
31
2
2

96.5
96.3
96.0
100.0
100.0

94.9
94.6
9k.S
100.0
100.0

100.0
100.0
100.0
100.0
100.0

42
21
12
9
21

42
21
12
9
21

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
100.0
100.0

4
4
h

100.0
100.0
100.0
100.0
100.0

99.5
98.7
98.6
98.7
99.7

99.4
98.2
98.3
98.1
99.7

280
127
58
69
153

280
127
58
69
153

100.0
100.0
100.0
100.0
100.0

COR PO R ATIO N

Unit l)Q iJ
rT c8

109
103
97
Q
6

404
392
381
U
12

34
34
3k

44
7

113
107
101
6
Q

438
426
U1B
11
12

NonBanks deposit.
trust
of de­
posit
com­
panies2

INSURANCE

44
7
2
5
37

National State

Not
mem­
bers
F.R.S.

DEPOSIT

404
392
381
11
12

New Mexico— all offices....................

Total
Total

438
426
415
11
12

New Hampshire— sill offices...........

Member F . R .
System

FEDERAL

Total

Percentage insured1

Noninsured

Insured
State and type of bank or office

Mutual savings banks

691
183

North Dakota— all offices................
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

185
156
ISA

Ohio— all offices...................................
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

1,228
587

Oklahoma— all offices.......................
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

412
389
S69

U

89
508

22

29

U
00

187
641

20
23

687
182
9A
88
505

167
36
13
23
131

3
3
3

185
156
ISA
22
29

182
153
131
22
29

40
38
36
2
2

2
1
1
1

1,227
586
399
187
641

1
1
1

1,223
585
399
186
638

1,222
584
398
186
638

529
223
137
86
306

395
149
103
A6
246

409
386
366
20
23

3
3
3

412
389
369
20
23

409
386
366
20
23

219
200
183
17
19

30
26
23

246
51
31
20
195

244
49
29
20
195

171
10
7
3
161

12
4

4
1

182
153
131
22
29

1
3

77
3
74
3

3

443
143
81
62
300

4
1

139
113
9A
19
26

3
3

298

1
1

212
158
5A
86

1

160
160
160

2
2

1
1

2

1

61
35
20
15
26

1
1

1
1

1

1

245
50
30
20
195

2
2
2

Pennsylvania— all offices.................
Banks.....................................................
Unit banks........................................
Banks operating branches..............
Branches5..............................................

1,552
710
502
208
842

1,538
698
A91
207
840

14
12
11
1
2

1,496
703
A99
20A
793

1,482
691
m
203
791

928
462
SSA
128
466

279
71
AO
31
208

275
158

Rhode Island— all offices.................
Banks.................. ..................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

135
17

133
16
2
1A
117

2
1

100
9

98
8

54
4

20

24

1
1

9
91

8
90

A
50

"i
19

21

1
1

6
6
6

292
145
10 A
At
147

286
139
98
A1
147

126
25
8
17
101

10

A

150
108
86

6
6
6

4

233
174
1AA
30
59

233
174
1AA
SO
59

61
33
28
5
28

26
26




10 A
A1
147
233
174
1AA

30
59

286
139
98
A1
147
233
174
1AA
SO
59

1

6
2

11

*

11

1

99.9
99.8
99.7
100.0
100.0
99.5
99.5
99.5
100.0
100.0

99.6
98.0
96.8
100.0
100.0

100.0
100.0
100.0
100.0
100.0

3
d
£
w
tl
e
W

99.6
98.0
96.7
100.0
100.0

100.0
100.0
100.0

11

1

56
71
3[
a \
49 R

56
7
3
A
49

99.3
98.7
98.A
99.5
99.8

99.3
98.7
98.A
99.5
99.7

100.0
100.0
100.0
100.0
100.0

35

35
8
2
6
27

98.5
94.1
100.0
93.3
99.2

98.0
88.9
88.9
98.9

100.0
100.0
100.0
100.0
100.0

42

97.9
95.9
9A.2
100.0
100.0

97.9
95.9
9A.2
100.0
100.0

146
115
90
25
31

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

1U
AA
117

8

"s

22

1

11
9
8
1
2
2
1

3
3
3

8
2
6
27

BANKS

South Dakota— all offices................
Banks.....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

292
145

R

99.9
99.8
99.8
100.0
100.0

O
F

South Carolina— all offices.............
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

1
1

3

|

247
52
82
20
195

2

1
1

3

4

2
2

5
2

5

2

98.4
98.1
97.8
100.0
100.0

99.5
99.5
99.5
100.0
100.0

3

99.4
99.5
100.0
98.9
99.4

98.4
98.1
97.8
100.0
100.0

1

3

Oregon— all offices..............................
Banks.....................................................
Unit banks........................................
Banks operating branches..............
Branches5..............................................

15
118

99.4
99.5
100.0
98.9
99.4

DEPOSITS

691
183
9A
89
508

687
182
9A
88
505

OFFICES, AND

North Carolina— ail offices.............
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

co
CO

T a b le

103.

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

31, 1960—Continued

CO

g r o u p e d a c c o r d i n g t o i n s u r a n c e s t a t u s a n d c l a s s o f b a n k , a n d b y s t a t e o r a r e a a n d t y p e o f o f f ic e

Commercial and stock savings banks
and nondeposit trust companies

All banks

State and type of bank or office

In­
sured

Non­
insured

1Member F . R.
System

Total

Percentage insured1

Total
National State

Not
mem­
bers
F .R .S.

Non­
Banks deposit
trust
of de­
posit
com­
panies2

6
6
6

513
297
222
75
216

507
291
216
75
216

205
75
U
U
SI
130

25
8
5
s
17

277
208
167
U
69

3
3
S

Total

Non­
In­
sured* insured

All
banks
of de­
posit

Com­
mercial
banks
of
deposit

99.4
99.0
98.6
100.0
100.0

3
3
S

Mutual
savings
banks

99.4
99.0
98.6
100.0
100.0

1,039
1,011
982
29
28

1,018
990
961
29
28

21
21
21

1,039
1,011
982
29
28

1,018
990
961
29
28

488
468
U7
21
20

114
106
98
8
8

416
416
U16

21
21
21

98.0
97.9
97.9
100.0
100.0

98.0
97.9
97.9
100.0
100.0

124
50
87
IS
74

120
46
33
IS
74

4
4

124
50
87
IS
74

120
46
S3
IS
74

52
7
5
2
45

31
13
7
6
18

37
26
21
5
11

4
4
U

96.8
92.0
89.2
100.0
100.0

96.8
92.0
89.2
100.0
100.0

96
62
U7
15
34

95
61
k6
15
34

1
1
1

88
55
U
1
U
33

48
31
25
6
17

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

589
305
201
iou
284

589
305
201
iou
284

589
305
201
iou
284

589
305
201
10 h
284

273
129
86
us
144

130
69
51
18
61

186
107
6U
us
79

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

391
91
G
U
27
300

389
89
62
27
300

378
87
62
25
291

376
85
60
25

287
26
IS
IS
261

28
9
6
8
19

61
50
U
1
9
11

99.5
97.8
96.9
100.0
100.0

99.5
97.7
96.8
100.0
100.0

Banks operating branches..............
U tah— a l l offices..................................
Banks operating branches..............

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




U

2
2
2

89
56
U2
U\
33

291

1
1
1

40
24
16
8
16

2
2
2

7
6
5
1
1

13
4
2
2
9

7
6
5
1
1

13
4
2
2
9

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

CORPORATION

Texas— a l l offices.................................

INSURANCE

75
216

DEPOSIT

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

507
291
216
75
216

513
297

FEDERAL

Total

Mutual savings banks

Noninsured

Insured

182
182
182

181
181
181

1
1
1

182
182
182

181
181
181

77
77
77

34
34
5-4

70
70
70

1
1
1

721
*68
95
158

715
557
U62
95
158

6
6
6

717
559
m
95
158

712
554
!&9
95
158

118
99
92
7
19

67
58
5U
h
9

527
397
813
8L
130

2
2
2

56
55
5U
1
1

56
55
5U
1
1

56
55
5U
1
1

56
55
su
1
1

27
26
25
1
1

14
14
U

15
15
15

Pacific Islands— all offices6..............
Banks....................................................
Unit banks7.......................................
Banks operating branches..............
Branches8..............................................

7
1
1

3

7
1
1

3

3

6

3

3

6

3

3

Panama Canal Zone— all offices. .
Banks.....................................................
Unit banks........................................
Banks operating branches..............
Branches9..............................................

4

4

4

4

4

Puerto Rico— all offices....................
Banks.....................................................
Unit banks........................................
Banks operating branches..............
Branches10.............................................

131
10
2
8
121

122
7
1
6
115

9
3
1
2
6

131
10
2
8
121

122
7
1
6
115

Virgin Islands— all offices...............
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches11.............................................

9
3
1
2
6

6
1

3
2
1
1
1

7
2
1
1
5

6
1

2
1

4

1
5

1
1

4

W est Virginia— all offices................
Banks.................. ..................................
Unit banks........................................
Banks operating branches..............
Branches...............................................
Wisconsin— all offices........................
Banks....................................................
Unit banks........................................
Banks operating branches..............

99.5
99.5
99.5

99.7
99.6
99.6
100.0
100.0

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

4
1
1

42.9

42.9

3

50.0

50.0

93.1
70.0
50.0
75.0
95.0

93.1
70.0
50.0
75.0
95.0

4
4

3
3
3

1
1
1

Other area

4

4

4
122
7
1
6
115

1

9
3
1
2
6
1
1
1

2
1

2
1

75.0
50.0

100.0
100.0

1
1

1
1

50.0
83.3

100.0
100.0

O BANKS
F

1
5

4
1
1

75.0
75.0
75.0

DEPOSITS

99.6
99.5
99.%.
100.0
100.0

3
3
3

NUMBER, OFFICES, A D
N

Wyoming,— all offices.........................
Banks....................................................
Unit banks........................................
Banks operating branches..............
Branches...............................................

99.5
99.5
99.5

1N
ondeposit tru com ies a exclu incom tin th p tages.
st pan re
ded
pu g ese ercen
2Includes 1tru com in M ri m b of th F era R
st pany
issou em er
e ed l eserveS
ystem
.
*Includes 2 ban s in W sinm b of th F era R
k
iscon
em ers e ed l eserveS
ystem
.
4F erly d ateda “C en U itedStates.” A sk w sadm to Stateh J u 3,1959; H aii, A gu 21, 1 59
orm esign
s ontin tal n
la a a
itted
ood an ary
aw u st
9 .
6Includesbran esoperatedby b n slocatedinoth statesorinP ertoR a follow 1n in redbran inM
ch
ak
er
u
ico s
s: on su
ch assach settsoperated by a N Y ban ; 2in red b n es
u
ew ork k su ra ch
in N Y operated by a P
ew ork
uerto R ban ; 1in red bra ch in O on operated by a C
ico k su
n
reg
aliforn ban ; 1 in red bran in P n
ia k su
ch en sylvan operated by aN J
ia
ew ersey ba k a d 1
n n
n in red bran in P n
on su
ch en sylvan operated by aN Y b n ; a d 2 in red b n es in W in operated by a C
ia
ew ork a k n
su ra ch
ash gton
aliforn bank.
ia
6InU itedS p
n
tates ossession (A ericanS oa, G a , a dM ayIsla d a dT st T
s m
am u m n idw
n s) n ru erritories (K ajaleina dSaipan).
w
n
7In A erican S oa.
m
am
8C sists of 4 bran es in M a Islan (3 in redon G a a d 1n in red on S ip n operated by a C
on
ch
arian
ds
su
u m n on su
a a)
aliforn ban a d2 n in red b ch (1 on M ay a d 1in ^
ia k; n on su ran es
idw n
M rsh ll Islan on K ajalein operated by a H w iia ban .
a a
ds
w
)
aa n k
9C sists of 4 n in red bran es operated by 2 N Y b n s.
on
on su
ch
ew ork a k
1 In des 1 in red bran es operated by 2 N Y b k
0 clu 3 su
ch
ew ork an s.
1 In des 4in red bran es operated by aN Y ban .
1 clu
su
ch
ew ork k
Back figures: S th A n al R
ee e n u eport of 19 9 pp. 11 9 a dea reports.
5,
2-11 , n rlier



Table 104.

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

31, 1960

b a n k s g r o u p e d a c c o r d in g t o i n s u r a n c e s t a t u s a n d b y d is t r ic t a n d s t a t e

Deposits (in thousands of dollars)

Number of banks
Commercial and stock savings
banks and nondeposit
trust companies

FDIC District
and State

In­
sured

13,999

13,484

13,126

13,960

13,446

13,985

13,471

Other areas............

14

FDIC District
District 1 ..................
District 2*.................
District 3
...
District 4 ..................
District 5
District 6
District 7 ..................
District 8
District 9
.
...
District 10
District 11
District 12*
.. .

48 States and
D . C .2................
50 States and
D . C ...................

State
Alabama
Alaska
Arizona
Arkansas
California

•.
•■
..
.

Colorado
..
Connecticut
.
Delaware...................
District of Columbia
Florida
Georgia
Hawaii

<•

Illinois
••

Indi&QA
...........

AU
banks

Non­
Banks deposit
of de­
trust
posit1
com­
panies

Total

In­
sured

C
O
O

Mutual savings banks

Total

Nonin­
sured

In red
su

Nonin­

Total

In red
su

Nonin­

230,531,864

228,993,232

1,538,632

36,352,684

31,502,252

4,850,432

su
red

su
red

304

54

515

325

190

266,884,548

13,102

296

48

514

325

189

265,240,473

228,887,968

227,474,826

1,413,142

36.352.505 J 31,502,252

4.850.253

13,118

300

53

514

325

189

266,176,522

229,824,017

228,381,233

1,442,784

36.352.505

f

4.850.253

13

8

4

1

.

1

708,026

707,847

611,999

95,848

179

762
838
1,297
966
1,161
1,515
1,390
1,639
1,141
1,649
1,266
375

427
687
1,288
960
1,161
1,515
1,382
1,639
1,140
1,649
1,266
370

402
667
1,275
951
1,096
1,478
1,369
1,595
1,125
1,578
1,243
347

23
11
10
9
62
29
8
40
14
64
22
12

2
9
3

335
151
9
6

148
150
9
5

187
1

7

1

1

1

5

5

10,255,385
53,693,737
25,576,364
12,513,523
11,304,262
13,083,553
18,248,053
20,634,134
6,525,815
9,243,848
17,275,672
32,177,518

10,061,072
53,088,099
25,539,144
12,325,082
11,265,742
13,044,911
18,218,885
20,533,599
6,406,078
9,196,829
17,225,848
32,087,943

194,313
605,638
37,220
188,441
38,520
38,642
29,168
100,535
119,737
47,019
49,824
89,575

9,900,938
22,943,701
2,118,464
561,119

8

20,156,323
76,637,438
27,694,828
13,074,642
11,304,262
13,083,553
18,330,557
20,634,134
6,847,113
9,243,848
17,275,672
32,602,178

238
13
10
237
117

238
13
10
237
117

238
9
9
232
112

2,120,719
209,858
1,272,548
1,291,573
24,338,228

2,120,719
209,858
1,272,548
1,291,573
24,338,228

2,120,719
191,233
1,264,913
1,289,215
24,338,228

18,625
7,635
2,358

192
141
22
12
309

192
70
20
12
309

2,022,640
4,906,381
866,964
1,532,054
4,882,276

2,022,640
2,384,461
707,225
1,532,054
4,882,276

2,005,382
2,349,823
701,497
1,532,054
4,866,695

17,258
34,638
5,728

421
12
32
966
443

2,939,997
726,191
649,226
17,501,955
4,811,329

2,939,997
726,191
649,226
17,501,955
4,754,270

2,927,017
715,174
649,226
17,467,743
4,748,235

12,980
11,017

421
12
32
966
447



3
8
5
4
1
7
1
11

4
4

1
1
5

162
61
19
12
304

30
8
1

1

2

3

363
7
32
960
437

58

71
2

71
2

5
3
5

3
1

4

4

1

31,502,252

179
5,057,226
22,943,522
2,118,464
555,304

4,843,712
179

726

82,504

81,778

321,298

321,298

424,‘ 60
6

424,660

2,521,920
159,739

2,521,920
159,739

57,059

57,059

15,581

34,212
6,035

5,815

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

Total

Total United
S tates...............

Mutual savings banks

Noninsured

All
banks1

Commercial and stock savings
banks and nondeposit
trust companies

Iowa...........................
Kansas.......................
Kentucky..................
Louisiana..................
Maine........................

673
587
355
190
79

673
587
355
190
47

635
583
345
189
42

Maryland..................
Massachusetts.........
Michigan...................
Minnesota.................
Mississippi................

139
356
380
690
193

133
171
380
689
193

132
166
378
679
191

Missouri....................
Montana...................
Nebraska...................
Nevada......................
New Hampshire., . .

626

121

121

426
7
107

426
7
74

610
119
392
7
70

New Jersey...............
New Mexico.............
New York.................
North Carolina........
North Dakota.........

274
55
529
183
156

253
55
402
183
156

250
55
390
182
153

Ohio............................
Oklahoma.................
Oregon.......................
Pennsylvania...........
Rhode Island...........

587
389
52
710
17

585
389
51
703
9

South Carolina........
South Dakota..........
Tennessee.................
Texas..........................
Utah...........................

145
174
297

145
174
297

1,011

1,011

50
62
305
91
182
563
55

3,065,856
2.409.676
2.291.277
2,964,164
629,009

66,323
2,044
9,700
688
33,801

3,051,101
11,286,045
8,855,913
4,509,246
1,361,270 I

2,489,982
5,492,946
8,855,913
4,187,948
1,361,270

2,350,876
5,404,847
8,837,864
4,176,980
1,351,311

139,106
88,099
18,049
10,968
9,959

6,168,610
829,061
1,678,448
440,902
956,349

6,168,610
829,061
1,678,448
440,902
413,049

6.150.277
829,004
1,652,371
440,902
403,302

18,333
57
26,077
9,747

543,300

543,300

8,578,398
713,173
66,537,749
2,927,365
758,803

7,231,174
713,173
45,101,190
2,927,365
758,803

7,231,143
713,173
44,568,939
2,889,161
650,091

31

1,347,224

1,347,224

532,251’
38,204
108,712

584
386
49
691

8

11,308,979
2,709,931
2,056,390
16,385,849
1,407,145

11,280,687
2,709,931
2,013,527
14,295,677
899,392

11,278,837
2,708,291
2,005,018
14,260,307
871,364

1,850
1,640
8,509
35,370
28,028

1,026,544
750,003
3,322,393
12,325,099
1,005,254

1,026,544
750,003
3,322,393
12,325,099
1,005,254

1.022.677
750,003
3,314,142
12,283,598
1,000,895

3,867

50

139
174
291
990
46

56
305
87
182
559
55

55
305
85
181
554
55

402,727
3,264,111
2,740,633
1,273,467
4,637,870
421,109

402,727
3,264,111
2,721,788
1,266,203
4,632,786
421,109

2

10

6
185

1

177

33

33

21

21

’ 127

' 127

522,536 i
3,264,111
3,122,430 f
l
1,273,467 f
l
4,663,315
421,109
32,267
21,432
618,504
35,823

32,267 i
21,432 I
618,504
35,644

25,479
’550,876*
35,644

|
415,057

309,244

105,813

561,119
5,793,099

555,304
1,055,200

5,815
4,737,899

321,298

’321,298

12
21,436,559 I i ^436,559

28,292

28,292

42,863
2,090,172
507,753

42,863
2,090,172
507,753
y
1
|
|

8,251
41,501
4,359
119,809
18,845
7,264
5,084

119,809

381,797

381,797

25,445 |

24,719

726

6,788
21,432
67,628
179

179

1 Includes 28 noninsured banks of deposit (3 in Colorado, 19 in Georgia, 2 in Iowa, and 4 in Texas) for which asset, liability, and capital account data are not available.
2 Formerly designated as “ Continental United States” . Alaska was admitted to Statehood January 3, 1959, and Hawaii, August 21, 1959.
8 Includes Puerto Rico and the Virgin Islands.
4 Includes Alaska, Hawaii, Pacific Islands, and the Panama Canal Zone.
5 In United States possessions (American Samoa, Guam, and Midway Islands) and Trust Territories (Kwajalein and Saipan). Consists of deposit data for 1 noninsured bank in
American Samoa and for the following branches: 4 branches in the Mariana Islands (3 insured on Guam and 1 noninsured on Saipan) operated by an insured bank in California; and
2 noninsured branches (1 on Midway Island and 1 on Kwajalein Island in Marshall Islands) operated by an insured bank in Hawaii.
6 Consists of asset and liability data for 4 noninsured branches operated by 2 insured banks in New York.
7 Includes asset and liability data for 13 insured branches operated by 2 insured banks in New York.
8 Includes asset and liability data for 4 insured branches operated by an insured bank in New York.
Note: Data for the above branches are not included in the figures for the States in which the parent banks are located.
Back figures: See the Annual Report for 1959, pp. 126-127, and earlier reports.




O BANKS
F

10

32

DEPOSITS

Other area
Pacific Islands5........
Panama Canal Zone6
Puerto Rico7.............
Virgin Islands8........

3,132,179
2,411,720
2,300,977
2,964,852
662,810

NUMBER. OFFICES, A D
N

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

626

a

3,132,179 f
l
2,411,720
2,300,977
2,964,852
1,077,867

oo

A s s e t s a n d L ia b il it ie s o f B a n k s

Table 105.

Assets and liabilities of all banks in the United States (States and other areas),
June 15, 1960
Banks grouped according to insurance status and type of bank

Table 106.

Assets and liabilities of all banks in the United States (States and other areas),
December 31, 1960
Banks grouped according to insurance status and type of bank

Table 107.

Assets and liabilities of all banks in the United States (States and other areas),
December 31, 1960
Banks grouped by district and State

Table 108.

Assets and liabilities of insured banks in the United States (States and other
areas), December 31, 1960, June 15, 1960, and December 31, 1959

Table 109.

Distribution of insured commercial banks in the United States (States and other
areas), December 31, 1960
Banks grouped according to amount of deposits and by ratios of selected items to
assets




The data in these tables relate to banks operating in the United States
(States and other areas). Data from the same tabulations for all 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 15, 1960

Report No. 53, pp. 6-7.

For December 31, 1960

Report No. 54, pp. 6-7.

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.

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.
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 are shown separately.




Total deposits shown in these tables are not the same as the deposits
upon which assessments paid to the Federal Deposit Insurance Corpora­
tion 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; and reports from
individual banks.

A S T A D LIA ILITIE O BAN
SES N
B
S F
KS

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.

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.

T a b le 105.

A ss e ts

and

L ia b il it ie s o f A l l B a n k s

in t h e

U n i t e d S t a t e s (S t a t e s

and

O t h e r A r e a s ), J u n e 1 5 ; I 9 6 0 1

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
Total

Cash, balances with other banks, and cash
collection item s— tota 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...................
Securities— to ta l.....................................................
U. S. Gov’t, obligations (incl. guaranteed)...
Obligations of States and subdivisions............
Other bonds, notes, and debentures.................
Corporate stocks....................................................
Loans and discounts, net— to ta l.....................
Valuation reserves............................................. ..
Loans and discounts, gross— to ta l.................
Real estate loans— total.......................................
Secured by farm land.........................................
Secured by residential properties:
Insured by F H A ............................................
Insured or guaranteed by V A ......................
Not insured or guaranteed by F H A or V A .
Secured by other properties...............................
Loans to commercial and foreign banks*........
Loans to other financial institutions*...............
Loans to brokers and dealers in securities----Other loans for carrying securities....................
Loans to farmers directly guaranteed by the
Commodity Credit Corporation....................
Other loans to farmers (excl. real estate). . . .
Commercial and industrial loans................... ..
Other loans to individuals...................................
All other loans (including overdrafts)..............
Miscellaneous assets— to ta l...............................
Bank premises owned, furniture and fixtures.
Other real estate— direct and indirect.............
All other miscellaneous assets............................




Non­
insured

Total

Insured

B k
an s
of
deposit

4
,7
3 ,4
7
282,871,696 2 3,540,203 9,3 1 93 2 3,273,551 241,329,397 1 37,161

Nondeposit
trust
com­
panies*

Total

Insured

Non­
insured

20 93 39,598,145 32,210,806 7,387,339
6,9
74 6
6 ,3 3

63 9
2 ,6 3

10 7
4 ,6 0

3,252,596
17,917,456
10,702,249
56,468
96,059
14,856,475

2
74,535

35,7 2
2

’ 234,749*
409
1,126
15,021

28,407'
2,250

,784,577 74
,960,946 73,995,605
87,191,273 8 ,406,696 3
3

8
52,732

1 2 0 1 ,230,327 9,411,091 2,819,236]
1 ,6 9 2

5
48,257
3,638
5 1,8
5 95

4 ,9
1
3 ,219 26,069,419 2 ,721,496 4,3 7 23
2
15,736
210,787
226,523
57
1
3 ,2 6 26,295,942 2 ,932,283 4,363,659
27

47,955,923 4 ,504,996
7
3,892,428
17,918,423
11,472,884
170,421
97,206
14,904,561

3,336,866
17,918,423
11,110,019
167,663
96,059
14,875,966

450,927
55,562
362,865
2,758
1,147
28,595

61,614,235
17,524,131
6,654,946
1,397,961

59,150,305
17,193,716
6,024,683
1,037,992

2,463,930
330,415
630,263
359,969

141,836,281
2,452,599
144,288,880
54,221,345
1,694,298

1 6,9 ,8 2
3 07 8
2,433,168
1 9,3 1 5
3 4 ,0 0

4,928,399
19,431
4,947,830
4,371,545
27,857

12,535,747
11,899,607
19,127,959
8,963,734
2,373,287
7,089,137
2,604,307
1,755,168

11,928,882
10,803,26416,926,081
8,525,632
2,366,667
7,069,795
2,586,204
1,731,889

607,365
1,096,31#
2,201,878

130,561
5,243,918
42,150,087
25,935,914
2,785,156

125,973
5,204,008
41,945,213
25,703,380
2,758,121

4,588
39,910
204,874
232,534
27,035

5,888,219

3,033,995
341,825
2,512,399

49,849,800

1,666Ml

5
,720,629

2,973,741
325,537
2,421,351

U 8,102
S
6,620
19,342
18,103
23,279

17 9
6 ,5 0
60,254
16,288
91,048

47,191,560
3,277,109
17,917,456
10,965,405
59,127
97,206
14,875,257
54,986,539
16,827,248
2,542,195
604,964

46,881,303

54,407,790
16,581,317
2,450,881
555,617

11 66 6 11 86 8
5,7 ,8 2 5,1 ,3 6
2,222,381
2,226,076
117,9 ,9 8 1 7,408,767
92 3 1

23,230

530,855
212,835
88,349
20,693

100,554
15,235

1,283

47,894
33,096
2,965
28,654

1,885,181]
84,484
538,949
310,622

3,629
1,073
6,253
2,617

6,546,770
8,857,831
7,825,845
2,499,111

5,949,420
7,770,166
5,681,182
2,083,992

(»)
(•
)

(*)
(»)

597,350
1,087,665
2,144,663
415,119
(3
)

15,099

12,141

2,958

1,680
163,740
303,274 I
29,510

1,656
161,261
207,433
23,431

24
2,479
95,841
6,079

5,420
4,356

125,973
130,561 I
5,202,352
5,242,238 I
41,783,952
41,986,347
25,632,640 I 25,495,947
2,755,646
2,734,690

4,588
39,700
198,062
135,328
19,053

186
4,333
1,365
1,903

9,582
3,634
48,421

4,742,515
612,399
3,573,802
482,375

4,256,278
11,481

6,386
7,605
50,962
20,366
6,620
19,342
12,683
15,965

61,637

6,627,696
696,883
4,112,751
792,997

9,813

21,526,361
41,601

5,978,962
3,033,098
11,244,899
6,441,640
2,366,667
7,069,795
2,586,204
1,719,748

5,266,103

19,491

25,782,639
53,082

5,988,977
3,041,776
11,302,114
6,464,623
2,373,287
7,089,137
2,604,307
1,740,069

2,767,773
315,801
2,182,529

29,304

31,049

99,709
99

14,713
1,141

28,323,439
1,624,840

5,354,183

84,270
967
407,770
111,195

21
3,761

28,438,706
1,611,216

2,784,142
327,767
2,242,274

115,319
967
507,479
111,294

26,4 3
4
6,787
8,332
11,324

5 4,0 1 454,526
3 36

249,853
14,058
270,125

205,968
9,736
238,822

b

7 ,5 0
91

43,885
4,322
31,303

F D R L D P S IN U A C CORPO
EEA
E O IT S R N E
RATION

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

Insured

T otal liabilities and capital accou n ts...............
Business and personal deposits— to ta l.........
Deposits of individuals, partnerships, and
corporations— demand.....................................
Deposits of individuals, partnerships, and
corporations— time............................................
Certified and officers’ checks, and letters of
credit and travelers’ checks sold for cash. .

282,871,696 1 273,540,203

9,331,493

243,273,551

241,329,397

1,737,161

206,993

39,598,145

32,210,806

7,387,339

213,172,166

205,709,267

7,462,899

177,856,117

176,902,408

884.427

69,282

35,316,049

28,806,859

6,509,190

110,652,175

109,987,978

664,197

110,630,839

109,966,680

604.428

59,731

21,336

21,298

38

98,802,633

92,051,782

6,750,851

63,513,299

63,271,183

232,597

9,519

35,289,334

28,780,599

6,508,735

32

3,664,545

47,402

221,294
25,207
3,412
116,478
76,197

21,173,549
6,429,930
253,986
10,835,431
3,654,202

1 20,954,434
S 6,405,223
J
250,578
1 10,718,953
j
3,579,680

219,115
24,707
3,408
116,478
74,522

Interbank and postal savings deposits—
t o ta l.....................................................................
Banks in the United States— demand.............
Banks in the United States— time....................
Banks in foreign countries— demand...............
Banks in foreign countries— time.....................
Postal savings

15,397,9321 15,110,435
12,493,940 J 12,364,558
227,459
116,463
1,436,364
1,400,509
1,221,209
1,209,959
18,960
18,946

287,497
129,382
110,996
35,855
11,250
14

15,395,7821 15,108,373
12,493,597 8 12,364,215
225,652 B
114,744
1,436,364 1
1,400,509
1,221,209 1
1,209,959
18,960 J
18,946

286,921
128,896
110,908
35,853
11,250
14

488
486

3,711,979 |

4,962

417

14,673
2,450
30
1,751
10,442

2,179
500
4

2,062
343
1,719

88

35,335,051 I 28,823,594
31,759
30,80A
35,303,292 | 28,792,790

6,511,457

2,150 I
343 8
1,807 1

1,675

88

2

7,971,690
1,018,970
6,952,720

214,425,448
1U5,538,1 U0
68,887,308

212,965,215
1AA,520,125
68,U 5,090

1,390,463
957,764
U32,699

69,770
60,251
9,519

Miscellaneous liabilities— to ta l.......................
Rediscounts and other borrowed money.........
Ail other miscellaneous liabilities......................

9,254,149
2,616,850
6,637,299

9,010,879
2,583,760
6,427,119

243,270
33,090
210,180

8,456,167
2,612,547
5,843,620

8,358,514
2,580,185
5,778,329

83,535
31,006
52,529

14,118
1,356
12,762

797,982
4,303
793,679

652,365
3,575
648,790

145,617
728
144,889

Total liabilities
(excluding capital
accounts).......................................................

259,014,648

250,799,688

8,214,960

222,881,615

221,323,729

1,473,998

83,888

36,133,033

29,475,959

6,657,074

Capital accounts— to ta l..................................
Preferred capital....................................................
Common stock
...
Surplus.....................................................................
Undivided profits and reserves..........................

23,857,048
70,183
6,165,213
11,983,441
5,638,211

22,740,515
40,183
6,051,579
11,458,784
5,189,969

1,116,533
30,000
113,634
524,657
448,242

20,391,936
20,005,668
40,033
70,033
6.165.213
6.051.579
9,588,308 I
9,463,906
4,568,382 J 4,450,150

263,163
30,000
74,557
86,065
72,541

123,105

3,465,112
150

2,734,847
150

730,265

39,077
38,337
45,691

2,395,133
1,069,829

1,994,878
739,819

400,255
330,010

Number of banks4..........................................................

14,019

13,415

604

301

55

516

268

248

13,147

6,510,502

1 Data are as of June 30, 1960, for some noninsured banks.
2 Amounts shown as deposits are special accounts and uninvested trust funds with the latter classified as demand deposits of individuals, partnerships, and corporations,
8 Not reported separately for mutual savings banks.
4 Includes 23 noninsured banks of deposit for which asset and liability data are not available.
, ,
Back figures: See the Annual Report for 1959, pp. 130-131, and earlier reports,
^




BANKS

241,788,809
1 U ,550,929
97,237,880

O
F

249,760,499
145,569,899
10^,190,600

LIABILITIES

T otal deposits..................................................
Demand............................................................
T im e..................................................................

13,503

AND

47,851

20,969,107
6,407,673
250,608
10,720,704
3,590,122

ASSETS

3,669,507

21,190,401
6,432,880
254,020
10,837,182
3,666,319

5,379
16,852
2,950
34
1,751
12,117

3,717,358

Governm ent deposits— to ta l.............................
United States Government— demand..............
United States Government— time.....................
States and subdivisions— demand.....................
States and subdivisions— time...........................

T a b le 106.

A s s e t s a n d L i a b i l i t i e s o f A l l B a n k s in t h e U n i t e d S t a t e s ( S t a t e s a n d O t h e r A r e a s ) , D e c e m b e r 31, 1960
b a n k s g r o u p e d a c c o r d in g t o in s u r a n c e s t a t u s a n d t y p e o f b a n k

(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

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

298,932,893

291,415,291

7,517,602

258,358,952 | 256,322,819

437,373
44,458

51,901,992
52,232,712
3,347,489
3,370,676
16,719,644
16,719,644
13,643,775 f 13,369,072
i
65,237
67,517 1
139,553
144,129
18,286,971 [ 18,260,997

Insured

Total

Banks
of
deposit

1,820,577

Nondeposit
trust
com­
panies1

3,512,975
16,720,423
14,201,172
192,786
144,129
18,333,706

52,667,818
3,468,517
16,720,423
13,849,277
190,486
139,553
18,299,562

351,895
2,300
4,576
34,144

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

94,017,014
67,343,341
18,280,540
6,936,857
1,456,276

90,962,106
65,308,493
17,954,009
6,517,679
1,181,925

3,654,908
2,034,848
326,531
419,178
274,351

Loans and discounts, net— to ta l.....................
Valuation reserves.....................................................
Loans and discounts, gross— to ta l.................
Real estate loans— total.......................................
Secured by farm land.........................................
Secured by residential properties:
Insured by F H A ............................................
Insured or guaranteed by V A ......................
N ot insured or guaranteed by F H A or V A .
Secured by other properties. . ..........................
Loans to commercial and foreign banks8.........
Loans to other financial institutions3...............
Loans to brokers and dealers in securities----Other loans for carrying securities....................
Loans to farmers directly guaranteed by the
Commodity Credit Corporation....................
Other loans to farmers (excl. real estate). . . .
Commercial and industrial loans.......................
Other loans to individuals...................................
All other loans (including overdrafts)..............

145,254,712
2,590,553
147,845,265
55,741,451
*1,700,719

141,373,751
2,573,216
143,946,967
52,425,085
1,677,97k

3,880.961
17,337
3,898,298
3,316,366|
222,7k5

12,92 hr17 9
11,845,6*7
*19,898,5U9
29,872,857
971,278
7,130,811
3,284,120
1,842,750

12,509,962
10,98k,k00
18,269M 7
8,983,702
970,914
7,114,961
3,247,309
1,819,642

U 1,217
861,2h7
*1,629,502
2388,655
364
15,850
36,811
23,108

5,850,521
2,859,3k6
ll,6 5 2,k 79
6,796,147
971,278
7,130,811
3,284,120
1,833,199

5,8J>1,001
2,851,097
11,596,256
6 ,77k,992
970,914
7,114,961
3,247,309
1,811,120

5,888
7,808
k9,k8k
18,688
364
15,850
30,170
17,623

6,641
4,456

686,458
5,002,992
43,463,105
26,780,907
2,941,393

677,001
4,964,534
43,236,257
26,574,705
2,916,559

9,457
38,458
226,848
206,202
24,834

686,458
5,001,092
43,358,596
26,512,302
2,909,168

677,001
4,962,634
43,132,100
26,376,970
2,890,400

9,457
38,283
221,904
133,917
16,856

175
4,592
1,415
1,912

144,360
50,968
15,233
78,159

2,846,313
387,703
2,734,379

Miscellaneous assets— to ta l...............................
Bank premises owned, furniture and fixtures.
Other real estate— direct and indirect.............
All other^miscellaneous assets............................




6,555,976

3,107,655
403,990
3,044,331

6,4
11,616

3,056,687
388,757
2,966,172

82,025,350
61,104,156
17,608,566
2,685,649
626,979

I
I
f
I

81,020,238
60,521,956
17,336,667
2,590,562
571,053

118,132,495 117,521,611
2,356,217
2,360,839
120,493,334 f 119,877,828
l
28,694,419
28,806,310
I,6k7,5k7 I t.l ,631,073

5,968,395

5,878,978

2,829,328
375,212
2,674,438

Non­
insured

32 4
,9 9
1,297

' 248,897'
389
4,565
22,030

25,806
1,891
11
3,944

88 26
3,4

121,686

8
72,479
142,299
779
557,397
125,269

’ 46 ,735 I

7 5,8
6 26

121,028
779
480,205
125,249
‘ 38,565

16 5
0 ,6 3
21,271

* 77,192

20

8,170

,049,796
1 ,9 1,66 9,941,868 2
19 4
6,239,185
671,974
4,251,208
829,297

4,786,537
617,342
3,927,117
610,872

1,452,648
54,632
324,091
218,425

534,589
237,043
91,381
20,413

47,611
34,856
3,706
35,513

57 93
6,4
4,565
5 1,0
8 58

34 9 27,122,217 23,852,140 3,270,077
,3 1
12,715
216,999
229,714
57
5 1 24,069,139 3,282,792
34,448 27,3 1,93

96,634
15,321

62,887
10,197
3,880
48,810

15,257
1,153

6,789
2,787

2 ,5 0
63
6,788
8,611
11,131

26,935,141 23,730,666
k6,901
253,172 I

3,204,475
26,271

7,073,658
8,986,301
*8,2k6,070
*2,575,9kO
<*)
(3
)

6,668,961
8,183,303
6,672,791
2,208,710
(3
)
(*)

k0k,697
852,998
2
1,573,279
2
367,230

9,551

8,522

1,029

1,900
104,509
268,605
32,225

1,900
104,157
197,735
26,159

352
70,870
6,066

57 8
8 ,5 1

261,342
16,287
309,952

5 2,6
3 38

227,359
13,545
291,734

(3
)
(3
)

5 ,9 3
44

33,983
2,742
18,218

CO R P O R A TIO N

5 ,1 5 9 ^
3 0 ,1 1

21,890

Insured

,481,469
2 5,5 40,573,941 35,092,472 5
1 56

Cash, balances with other banks, and cash
collection item s— tota 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...................

29 ,7 1
77

Total

INSURANCE

Noninsured

DEPOSIT

Insured

FEDERAL

Total

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

298,932,893

291,415,291

7,517,602

258,358,952 | 256,322,819

1,820,577

215,556

40,573,941

35,092,472

5,481,469

Business and personal deposits— to ta l.........
Deposits of individuals, partnerships, and
corporations— demand.....................................
Deposits of individuals, partnerships, and
corporations— time...........................................
Certified and officers’ checks, and letters of
credit and travelers’ checks sold for cash. .

225,373,996

219,497,827

5,876,169

189,043,122

188,016,114

955,728

71,280

36,330,874

31,481,713

4.849.161

117,370,273

116,627,730

742,543

117,348,348

116,605,805

682,059

60,484

21,925

21,925

103,383,477

98,288,936

5,094,541

67,079,483

66,834,103

234,641

10,739

36,303,994

31,454,833

4,620,246

4,581,161

39,085

4,615,291

4,576,206

39,028

57

4,955

4,955

Government deposits— to ta l.............................
United States Government— demand..............
United States Government— time.....................
States and subdivisions— demand.....................
States and subdivisions— time...........................

22,593,551
5.965.582
257,658
11,768,729
4.601.582

22,373,193
5,943,322
254,281
11,652,355
4,523,235

220,358
22,260
3,377
116,374
78,347

22,573,529
5,961,518
257,474
11,766,747
4,587,790

22,354,442
5,939,686
254,101
11,650,373
4,510,282

219,087
21,832
3,373
116,374
77,508

20,022
4,064
184
1,982
13,792

18,751
3,636
180
1,982
12,953

Interbank a n d i postal savings ^deposits—
to ta l.....................................................................
Banks in the United States— demand.............
Banks in the United States— time....................
Banks in foreign countries— demand...............
Banks in foreign countries— time.....................
Postal savings.........................................................

18,917,001
15,470,903
316,941
1,627,020
1,484,177
17,960

18,624,464
15,355,326
200,192
1,582,246
1,468,754
17,946

292,537
115,577
116,749
44,774
15,423
14

18,915,213
15,470,578
315,478
1,627,020
1,484,177
17,960

18,622,676
[ 15,355,001
1
198,729
1,582,246
f
i
I
1,468,754
f
l
17,946

292,397
115,437
116,749
44,774
15,423
14

140
140

1,788
325
1,463

1,788
325
1,463

Total deposits..................................................
Demand............................................................
T im e.................................................................

266,884,548
156,822,753
110,061,795

260,495,484
155,7^2,H 0
104,758,8U

6,389,064
1,080,613
5,308,451

230,531,864
156,789,502
78,7^2,862

228,993,232
155,709,817
73,283,915

1,467,212
1,019,50 U
447,708

71,420
60,681
10,789

36,352,684
83,251
36,319,433

31,502,252
82,823
31,469,429

4,850,432
428
4,850,00k

Miscellaneous liabilities— to ta l........................
Rediscounts and other borrowed money.........
All other miscellaneous liabilities......................

7,445,646
184,371
7,261,275

7,263,444
154,979
7,108,465

182,202
29,392
152,810

6,777,064
180,817
6,596,247

6,671,245
151,900
6,519,345

88,307
26,678
61,629

17,512
2,239
15,273

668,582
3,554
665,028

592,199
3,079
589,120

76,383
475
75,908

T otal liabilities
(excluding capital
accounts).......................................................

274,330,194

267,758,928

6,571,266

237,308,928

235,664,477

1,555,519

88,932

37,021,266

32,094,451

4,926,815

Capital accounts— to ta l......................................
Preferred capital....................................................
Common stock........................................................
Surplus.....................................................................
Undivided profits

24,602,699
68,019
6,283,597
12,510,308
5,740,775

23,656,363
38,019
6,169,795
12,076,683
5,371,866

946,336
30,000
113,802
433,625
368,909

21,050,024
67,869
6,283,597
10,041,491
4,657,067

20,658,342
37,869
6,169,795
9,916,178
4,534,500

265,058
30,000
74,593
85,585
74,880

126,624

3,552,675
150

2,998,021
150

554,654

‘ 89,209
39,728
47,687

2,468,817
1,083,708

2,160,505
837,366

308,312
246,342

13,999

13,451

548

13,484

13,126

304

54

515

325

190

1,271
428
4

ASSETS
AND
LIABILITIES
O
F
BANKS

Number of banks4. .. .

4.849.161

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 Revised.
8 Not reported separately for mutual savings banks.
4 Includes 28 noninsured banks of deposit for which asset and liability data are not available.
Back figures, 1934.-1959: See the preceding table and the Annual Report for 1959, pp. 132-133, and earlier reports.




00

Table 107.

A s s e t s a n d L i a b i l i t i e s o f A l l B a n k s in t h e U n it e d S t a t e s ( S t a t e s a n d O t h e r A r e a s ), D e c e m b e r

31, 1960

BANKS GROUPED BY DISTRICT AND STATE
(Amounts in thousands of dollars)
Liabilities and capital accounts

Assets

Deposits
FDIC District
and State

48 States and D . C .8. .
50 States and D . C .. .
Other areas.
FDIC District
District 1 .. .
District 2®. .
District 3 . . .
District 4 . . .
District 5 . . .
District 6 .. .
District 1 . . .
District 8 .. .
District 9 . . .
District 10..
District 11..
District 127.

U. S. Gov­
ernment
obligations

Other
securities

Loans, dis­
counts, and
overdrafts

Miscel­
laneous

Business
and
personal2

Govern­
ment3

Inter­
bank4

Miscel­
laneous
liabilities

Total
capital
accounts

4
9 ,932,893 225,373,996 22
,593,551 1 ,917,001 7,445,646 2 ,602,699
8
7 3 4 ,2 4 1
1 ,9 9 53,105,191 67,343,341 26,6 3,67 1 5 5 ,7 2 6,555,976 I 2 8
39
5 6
2
13 6 52,859,038 66,960,680 26,5 7,52 1 4,2 3 5 6,450,552 297,071,149 2 4,190,206 22,168,308 18,881,959 7,376,480 24,4 4,19
,9 0
4 4 4 5 ,3 5
3 8
2
,897,753 7,390,697 24,5 7,64
1 3 4,7 ,9 7
1 ,9 5 53,018,572 67,236,284 26,6 3,88 14 55 5 6,480,171 298,104,867 2 4,860,602 22,418,167 18
33
5 ,949
4
6 ,0 1
55
8 8,0
2 26
1 ,2 8
94
75
,805
5 3,3
1 94
86,619
5 ,7 0
99
48 5
9 ,7 5
15 8
7 ,3 4
107,057
1
4
762
838
1,297
966
1,161
1,515
1,390
1,639
1,141
1,649
1,266
375

2,471,927
14,160,731
5,118,619
2,841,512
2,834,423
3,330,833
3,456,632
4,328,420
1,336,795
2,335,431
4,843,944
6,045,924

5,121,448
15,259,765
7,424,658
3,783,915
3,236,373
3,622,433
5,958,258
6,402,896
1,976,108
2,610,805
4,213,542
7,733,140

2,244,362
8,130,542
3,373,366
1,237,606
1,091,257
1,116,292
1,707,437
2,089,602
719,888
820,658
1,440,843
2,701,820

12,669,551
47,444,766
14,665,290
6,473,855
5,084,174
6,207,497
8,698,275
9,746,472
3,394,589
4,314,573
8,028,370
18,527,300

358,686
2,586,497
506,848
303,056
257,827
190,928
330,371
289,606
123,736
139,924
472,438
996,059

22,865 ,974
87,582,,301
31,088!,781
14,639 ,944
12,504 ,054
14,467 ,983
20,150! ,973
22,856!,996
7,551 ,116
10,221 ,391
18,999 ,137
36,004! ,243

18,591,789
65,494,975
24,496,014
10,922,665
8,791,130
10,196,075
15,827,795
17,148,566
5,646,729
7,299,509
13,178,828
27,779,921

957,325
4,082,112
1,972,235
1,321,676
1,577,547
1,298,053
1,861,106
1,713,506
731,867
1,244,513
2,134,299
3,699,312

607,209
7,060,351
1,226,579
830,301
935,585
1,589,425
641,656
1,772,062
468,517
699,826
1,962,545
1,122,945

561,647
5,513,758
594,854
343,319
192,822
187,001
320,254
338,012
98,110
109,191
227,156
959,522

2,148,004
7,431,105
2,799,099
1,221,983
1,006,970
1,197,429
1,500,162
1,884,850
605,893
868,352
1,496,309
2,442,543

238
13

483,760
37,222
269,755
340,890
4,499,704

590,509
73,506
242,035
329,798
5,572,033

252,586
16,371
96,316
168,402
1,968,861

985,067
92,845
759,816
560,364
14,079,198

38,350
5,162
49,671
19,463
773,334

2,350 ,272
225 ,106
1,417, ,593
1,418 ,917
26,893 ,130

1,704,923
148,911
1,078,082
1,069,049
20,857,146

313,108
59,331
165,151
128,283
2,561,005

102,688
1,616
29,315
94,241
920,077

33,420
1,247
37,402
8,135
802,022

196,133
14,001
107,643
119,209
1,752,880

492,025
583,229
155,189
349,727
1,243,388

549,429
1,009,140
276,374
465,554
1,584,703

103,427
735,584
136,204
56,103
405,390

1,045,105
3,112,506
420,609
772,944
2,013,955

38,023
75,196
18,403
34,741
127,470

1,686,019
4,654,748
785,256
1,410,805
3.824.459

190,840
196,810
70,834
48,163
641,253

145,781
54,823
10,874
73,086
416,564

33,519
126,266
39,976
26,097
78,104

171,850
483,008
99,839
120,918
414,526

32
966
447

783,379
122,312
110,183
3,672,454
1,024,644

719,890
202,098
201,696
5,517,876
1,745,779

209,759
49,988
48,451
1,775,522
333,595

1,517,986
409,757
334,808
8,174,153
2,145,396

65,481
24,457
12,696
257,482
74,311

2,243,546
521,485
549,234
14,477,617
4,017,683

385,803
190,528
93,464
1,430,044
629,079

310,648
14,178
6,528
1,594,294
164,567

68,099
12,970
8,126
322,587
97,779

288,399
69,451
50,482
1,572,945
414,617

673
587
355
190
79

655,966
527,700
577,910
801,987
123,457

885,020
716,123
723,979
845,737
291,117

314,080
314,225
141,602
289,835
157,379

1,572,319
1,075,912
1,083,741
1,263,249
628,004

32,124
27,447
28,923
54,136
20,405

2,670,949
1,786,446
1.857.459
2,193,717
1,015,067

283,462
505,401
224,260
461,133
49,431

177,768
119,873
219,258
310,002
13,369

15,425
18,961
27,212
34,373
22,734

311,905
230,726
227,966
255,719
119,761

State
Alabama. . .
Alaska.........
Arizona. . . .
Arkansas...
California. .
Colorado......................
Connecticut................
Delaware.....................
District of Columbia.
Florida.........................
Georgia.
Hawaii..
Idaho. . .
Illinois. .
Indiana.
Iowa..........
Kansas. . . .
Kentucky.
Louisiana.
for FRASER
Maine........

Total
Cash and
due from
banks

Digitized


10

237
117
192
141

22
12

309
421

12

2,228,009
5,515,655
1,006,779
1,679,069
5,374,906 |
3,296,495
808,612
707,834
19,397,487
5,323,725
3,459,509 |
2,661,407
2,556,155
3,254,944
1,220,362

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

T otal United S tates..

Num­
ber of
banks1

1,505,283
7.025.355
4,348,920
2,342,584
567,166

90,755
214,043
164,321
84,028
26,526

3,377,568
12,872,274
9,739,246
4,982,970
1,482,381

2,658,500
10,201,634
7,690,642
3,710,433
1,018,202

266.554
574,605
904,477
393,933
237,383

126,047
509,806
260,794
404,880
105,685

50,154
338,378
162,481
66,634
13,199

276,313
1,247,851
720,852
407,090
107,912

Missouri..................
Montana.................
Nebraska.................
Nevada....................
New Hampshire...

626

426
7
107

1,583,816
160,159
407,772
55,640
92,159

1,769,210
272,536
482,916
124,633
244,924

516,785
80,607
122,359
37,385
100,761

2,874,536
377,345
835,324
251,899
639,070

79,137
16,190
20,536
12,041
17,209

6,823,484
906,837
1,868,907
481,598
1,094,123

4,736,989
692,818
1,331,172
365,521
896,781

591,649
101,300
170,127
73,930
47,520

839,972
34.943
177,149
1,451
12,048

81,468
14,722
22,758
10,254
23,666

573,406
63,054
167,701
30,442
114,108

New Jersey.............
New Mexico...........
New York...............
North Carolina----North Dakota. . . .

274
55
529
183
156

1,242,097
168,142
12,684,673
775,713
107,116

2,203,404
227,319
12,675,111
682,778
277,741

1,331,991
45,648
6,602,557
338,738
127,317

4,530,196
321,442
42,008,715
1,473,679
315,398

159,488
13,925
2,364,092
70,419
11,569

9,467,176
776,476
76,335,148
3,341,327
839,141

7,832,184
540,397
56,391,836
2,239,498
607,732

658,802
154,833
3,202,905
366,155
138,004

87,412
17.943
6,943,008
321,712
13,067

199,685
8,973
5,219,978
142,793
8,280

689,093
54,330
6,577,421
271,169
72,058

Ohio..........................
Oklahoma...............
Oregon.....................
Pennsylvania.........
Rhode Island.........

587
389
52
710
17

2,203,770
806.967
393,397
2,914,849
150,677

3,450,905
715.446
525,524
3,973,753
292,314

993,699
252,117
246,002
2,379,667
214,584

5,716,142
1.180.355
1,065,410
8,949,148
902,093

193,629
46,010
51,171
313,219
21,840

12,558,145
3,000,895
2,281,504
18,530,636
1,581,508

9,856,971
2,160,768
1,755,984
14,639,043
1,330,901

1,042,720
310,364
264.555
929,515
61,263

409,288
238,799
35,851
817,291
14,981

225,027
29,189
46,326
369,827
41,457

1,024,139
261,775
178,788
1,774,960
132,906

South Carolina........
South Dakota........
Tennessee...............
Texas.......................
Utah...........................

145
174
297
50

236,916
132,114
828,217
3,604,060
221,536

308,007
255,105
799.446
2,898,451
248.657

128,647
63,738
289,503
1,009,044
68,609

459,996
359,262
1,688,856
5,683,863
545,134

18,801
11,949
63,405
354,706
17,826

1,152,367
822,168
3,669,427
13,550,124
1,101,762

816,426
635,746
2,532,578
9,366,632
786,690

169,212
98,630
353,861
1,353,182
163,801

40,906
15,627
435,954
1,605,285
54,763

28,774
8,474
70,186
146,408
19,432

97,049
63,691
276,848
1,078,617
77,076

62
305
91
182
563
55

56,125
671,514
598,083
275,774
898,639
100.967

112,929
901.657
782,812
492,492
1,504,526
146,891

40,482
298,247
266,153
99,636
389,139
28,530

362,523
1,706,204
1,734,740
555,749
2,203,959
177,877

9,993
65,220
68,081
23,120
91,739
7,908

582,052
3,642,842
3,449,869
1,446,771
5,088,002
462,173

492,658
2,715,488
2,767,255
1,081,948
4,119,470
335,104

27,696
337,567
266,885
134,025
327,550
67,781

2,182
211,056
88,290
57,494
216,295
18,224

9,146
70,588
58,315
24,913
59,994
4,764

50,370
308,143
269,124
148,391
364,693
36,300

4,898
2,949
73,779
4,993

99,004
5,872

56,645
3,145

11,599
1,910
467,903
17,343

14,662
16,629
37,920
6,594

33,340
21,488
735,251
37,947

18,317
9,378
465,674
20,025

13,867
11,946
133,892
15,679

83
108
18,938
119

774
56
53,660
459

63,087
1,665

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

121

1,011

Other area
Pacific Islands8........
Panama Canal Zone
Puerto Rico10...........
Virgin Islands11. . . .

2,181

299

BANKS

316,235
995,572
984,703
448,226
223,522

O
F

933,427
3,171,024
2,707,953
1,170,726
341,271

LIABILITIES

531,868
1,466,280
1,533,349
937,406
323,896

AND

139
356
380
690
193

ASSETS

Maryland................
Massachusetts. . . .
Michigan.................
Minnesota...............
Mississippi..............

4 Interbank deposits and postal savings deposits.
6 Formerly designated as “ Continental United States’ Alaska was admitted to Statehood January 3, 1959 and Hawaii, August 21, 1959.
6 Includes Puerto Rico and the Virgin Islands.
7 Includes Alaska, Hawaii, Pacific Islands, and the Panama Canal Zone.
------ uu mmnojr ioiauu auu J uu.
.
XSldUU 11 lY L IS U AKiailUS) operated Dy an
1 J H irn
9 Consists of asset and liability data for 4 noninsured branches operated by 2 insured banks in New York.
1 Includes asset and liability data for 13 insured branches operated by 2 insured banks in New York.
0
1 Includes asset and liability data for 4 insured branches operated by an insured bank in New York.
1
N ote: Data for the above branches are not included in the figures for the States in which the parent banks are located.
Back figures, 1945-1959: See the Annual Report for 1959, pp. 134-135, and earlier reports.




i4^
Ox

Table 108.

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 in t h e U n it e d S t a t e s ( S t a t e s a n d O t h e r A r e a s ) ,
D e c e m b e r 3 1 , 1 9 60, J u n e 15, 1960, a n d D e c e m b e r 3 1 , 1 9 5 9
(Amounts in thousands of dollars)
All insured banks

Insured commercial banks1

Insured mutual savings banks

Dec. 31,
1960
T otal assets ..............................................................................

June 15,
1960

Dec. 31,
1959

Dec. 31,
1960

June 15,
1960

Dec. 31,
1959

Dec. 31,
1960

June 15,
1960

Dec. 31,
1959

2 1 1 ,2 1 2 3 4 ,2 3 2 5 6 ,3 6 25 22 1 241,3 ,3 7 2 3,4 ,6 0 3
9 ,4 5 9 7 ,5 0 0 7 ,1 5 7
6,3 ,8 9
29 9 4 22 6 5,092,472 32 1 6 3 ,7 2 1
,2 0,80 1 4 ,7 6

1 ,0
0 0 0
65,308,493 5 ,150,305 63,4 6,56 6 ,521,956 54,407,790 5 ,390,541 4,786,537 4,742,515 5,0 6 19
9
8

Other securities— tota l ....................................................
Obligations of States and subdivisions.........................
Other bonds, notes, and debentures..............................
Federal Reserve bank stock............................................
Other corporate stocks......................................................
Total securities........................................................




84,270
967

3,114,381
17,932,211

3,347,489
16,719,644

3,252,596
17,917,456

3,010,391
17,930,867

13,849,277
190,486
139,553
18,299,562

11,110,019
167,663
96,059
14,875,966

12,393,949
137,634
110,539
16,208,826

13,369,072
65,237
139,553
18,260,997

10,702,249
56,468
96,059
14,856,475

407,770
11,928,087
480,205
111,195
55,771
125,249
110,539
16,175,827 ........ 38,'565 ........ 19,491

8,110,441
2,965,060
19,628,561
796,533
22,082,834
7,528,832
2,540,359
1,527,198
128,675

3,686,299
2,276,615
15,739,899
971,072
24,999,941
8,173,070
2,380,916
814,329
108,164

6,335,854
2,492,967
15,229,161
1,347,518
22,535,155
11,260,410
3,271,790
867,055
66,650

7,998,543
2,887,207
18,876,659
586,994
21,647,553
6,086,334
1,815,058
523,879
99,729

3,531,518
2,186,020
15,096,743
705,251
24,517,777
6,111,663
1,724,900
460,624
73,294

6,191,754
2.405.804
14,735,040
784,386
22,046,880
9.547.804
2,182,690
454,285
41,898

,813,385 20,498,282 19
,587,815 2 ,191,801
0
2 ,653,613 2 ,2 6 9 24
5
4 5 ,3 1
17,954,009
6,517,679
408,754
773,171

17,193,716
6,024,683
398,491
639,501

17,390,826
6,384,676
387,358
650,525

17,336,667
2,590,562
408,698
162,355

16,581,317
2,450,881
398,436
157,181

16,753,880
2,898,781
387,275
151,865

121,028
779

6 3,6
2 93

3,336,866
17,918,423

111,898
77,853
751,902
209,539
435,281
1,442,498
725,301
1,003,319
28,946

154,781
90,595
643,156
265,821
482,164
2,061,407
656,016
353,705
34,870

66 5
8 ,0 8
103,990
1,344

465,862
81,863
” ” 32,999

144,100
87,163
494,121
563,132
488,275
1,712,606
1,089,100
412,770
24,752

5,155,331 4,668,576 4,621,584

617,342
3,927,117
56
610,816

612,399
3,573,802

5
5

482,320

,4 1 91
,219,945 81,020,238 73,995,605 78,582,342 9,941,868 9 1 ,0
90,962,106 8 ,406,696 88
3

636,946
3,485,895
83
498,660

9,637,603

CO R PO R ATIO N

Obligations of the U. S. G overnm ent, direct and
guaranteed— to ta l......................................................
Direct:
Treasury bills..................................................................
Treasury certificates of indebtedness........................
Treasury notes................................................................
United States non-marketable bonds.......................
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...................................................

75 2
6 ,8 6

3,468,517
16,720,423

INSURANCE

5 ,6 7,81 4 ,5 4 9 4 ,8 7,54 5 ,9 1,99 4
2 6 8 7 0 ,9 6 9 9 0 1 0 2 6,881,303 49,211,482

DEPOSIT

Cash, balances with other banks, and cash col­
lection item s— to ta l..................................................
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................................

FEDERAL

Assets

T otal loans and securities..................................
Bank premises, furniture and fixtures, and other
real estate— to ta l........................................................
Bank premises.....................................................................
Furniture and fixtures......................................................
Real estate owned other than bank premises.............
Investments and other assets indirectly representing
bank premises or other real estate............................
Miscellaneous assets— to ta l...........................................
Customers’ liability on acceptances outstanding. . . .
Other assets.........................................................................

1 1 7 ,7 1 1 6 0 ,8 2 1 1,6 ,8 2 1 7 2 ,6 1 1 5 8 ,3 6 1 0 9 ,8 2 23,8 2,14 2 ,7 1 9 2 ,9 2 2
4 ,3 3 5 3 ,9 7 8 3 36 7 1 ,5 1 1 1 ,1 6 8 1 ,6 4 5
5 0 1 2 ,4 6 0 4 ,0 0
2,573,216
2,433,168
2,377,750
2,356,217
2,222,381
2.171.789
216,999
210,787
205,961
1 3 4 ,9 7 1 9 4 ,0 0 1 4 1 ,6 2 1 9,8 ,8 8 117,4 ,7 7 1 2 6 ,6 1 24,069,139 2 ,9 2 8 2 ,1 7 8
4 ,9 6 6 3 ,3 1 5 3 ,0 4 2 1 77 2
08 6 1 ,8 6 4
1 3 ,2 3 1 4 ,9 1
52,425,085
1,677,97k

49,849,800
1,666,U1

48,915,438
1,612,66 k

28,694,419
1,631,073

28,323,439
1,62k,81*0

28,031,357
1.570.790

23,730,666
U6,901

21,526,361
1*1,601

20,884,081
hi ,87 U

12,509,962
10,98k,k00
18,269,0k7
8,983,702
970,914
7,114,961
3,247,309
1,819,642

11,928,382
10,803,26k
16,926,081
8,525,632
2,366,667
7,069,795
2,586,204
1,731,889

11,829,192
10,677,98k
16,535,555
8,260,0k3
819,148
7,118,825
2,981,904
1,832,509

5,8U1,001
2,851,097
11,596,256
6,77k,992
970,914
7,114,961
3,247,309
1,811,120

5,978,962
3,033,098
11,2U ,899
6 ,UU ,6k0
2,366,667
7,069,795
2,586,204
1,719,748

6 ,1 1 2 ,m
3,152,759
10,981,k76
6,213,8U8
819,148
7,118,825
2,981,904
1,828,239

6,668,961
8,133,303
6,672,791
2,208,710
(2
)
(2
)

5,9U9M 0
7,770,166
5,681,182
2,083,992
(2
)
(2
)

5,716,708
7,525,225
5,55 k,07 9
2,0k6,195
(2
)
(2
)

8,522

12,141

4,270

677,001
4,964,534

125,973
5,204,008

196,071
4,789,080

677,001
4,962,634

125,973
5,202,352

196,071
4,787,399

1,900

1,656

1,681

43,236,257
26,574,705
2,916,559

41,945,213
25,703,380
2,758,121

40,287,616
24,287,265
2,786,766

43,132,100
26,376,970
2,890,400

41,783,952
25,495,947
2,734,690

40,195,317
24,133,935
2,774,446

104,157
197,735
26,159

161,261
207,433
23,431

92,299
153,330
12,320

2 2,3 ,8 7 2 0 1 ,5 8 21
3 35 5 2 ,3 4 7
9,856,817 1 8 4 ,8 9 18 ,1 1 9 1 9 7 ,1 4 33,794,008 31,1 2,58 3 ,5 9 2
9 ,5 1 4
9 8 ,9 1 8 ,2 7 9
3 7 0 7 ,6 3
3 4 ,4
,4 5 44

2,389,061
667,626
90,024

3 9 ,2 8
,2 9 7

2,333,899
639,842
91,929

3,108,764

2,235,914
588,720
72,893

3
,204,540

2,182,887
646,441
76,479

3,083,574

2,147,196
620,577
82,193

2,90 ,5
0 56

2,053,061
571,433
64,825

298,733

233,608

211,237

298,733

233,608

2 2 ,3 1
,4 1 5

2,30 ,2
2 55

2
,674,438

2,182,529

2
,033,428

25 0
1 ,7 4
186,703
19,265
9,736

28 0
0 ,2 8
182,853
17,287
8,068

211,237

2 6 ,1 2
,9 6 7

20 0
4 ,9 4

206,174
21,185
13,545

1,409,041
1,557,131

982,163
1,439,188

759,720
1,542,535

1,409,041
1,265,397

982,163
1,200,366

759,720
1,273,708

21 3
9 ,7 4

28 2
3 .8 2

28 2
6 .8 7

291/734

238.822

268.827

PERCENTAGES
To 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......................................................
To total assets other than cash and U. S. Govern­
m en t obligations:
Total capital accounts......................................................




18.1%
22.4
8.8
48.5
2.2
8.1

17.4%
21.6
8.9
50.0
2.1
8.3

18.1%
23.1
9.0
47.8
2.0
8.0

20.2%
23.6
8.0
45.9
2.3
8.1

19.4%
22.6
8.1
47.7
2.2
8.3

20.2%
24.0
8.3
45.5
2.0
7.9

2 .2%
13.6
14.7
68.0
1.5
8.5

2.0%
14.7
14.5
67.4
1.4
8.5

2.2%
15.8
14.5
66.0
1.5
8.4

13.7

13.6

13.5

14.4

14.3

14.2

10.1

10.2

10.2

A S T A D LIA ILITIE O BAN
SES N
B
S F
KS

Loans and discounts, net— to ta l.................................
Valuation reserves..................................................................
Loans and discounts, gross— to ta l..............................
Real estate loans— total...................................................
Secured by farm land.....................................................
Secured by residential properties:
Insured by F H A .........................................................
Insured or guaranteed by V A ..................................
Not insured or guaranteed by F H A or V A ...........
Secured by other properties...........................................
Loans to domestic commercial and foreign banks2. ..
Loans to other financial institutions2............................
Loans to brokers and dealers in securities...................
Other loans for carrying securities................................
Loans to farmers directly guaranteed by the Com­
modity Credit Corporation.........................................
Other loans to farmers (excl. real estate)....................
Commercial and industrial loans (including open
market paper).................................................................
Other loans to individuals for personal expenditures.
All other loans (including overdrafts)..........................

Table 108.

A

ssets an d

L ia b il it ie s

D ecem ber

of

31, 1960,

Insured B an ks

in t h e

and

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

31, 1959— C o n t i n u e d

Insured commercial banks1

All insured banks
Liabilities and capital

U n it e d S t a t e s (S t a t e s

J u n e 15, 1960, a n d D e c e m b e r
(Amounts in thousands of dollars)

Insured mutual savings banks

June 15,
1960

Dec. 31,
1959

Dec. 31,
1960

June 15,
1960

Dec. 31,
1959

Dec. 31,
1960

June 15,
1960

Dec. 31,
1959

291,415,291

273,540,203

275,165,376

256,322,819

241,329,397

243,422,660

35,092,472

32,210,806

31,742,716

Business and personal deposits— to ta l...................... 219,497,827
Deposits of individuals, partnerships, and cor­
porations— demand........................................................ 116,627,730
Deposits of individuals, partnerships, and cor­
98,288,936
porations— time3.............................................................
Certified and officers’ checks, and letters of credit
4,581,161
and travelers’ cheeks sold for cash............................

205,709,267

210,806,402

188,016,114

176,902,408

182,247,441

31,481,713

28,806,859

28,558,961

109,987,978

115,694,170

116,605,805

109,966,680

115,672,124

21,925

21,298

22,046

92,051,782

91,229,464

66,834,103

63,271,183

62,697,268

31,454,833

28,780,599

28,532,196

3,669,507

8,882,768

4,576,206

3,664,545

3,878,049

4,955

4,962

4,719

Government deposits— tota l..........................................
United States Government— demand...........................
United States Government— time.................................
States and subdivisions— demand..................................
States and subdivisions— time........................................

22,373,193
5,943,322
254,281
11,652,355
4,523,235

20,969,107
6,407,673
250,608
10,720,704
3,590,122

19,893,473
5,051,388
275,889
11,434,085
3,132,111

22,354,442
5,939,686
254,101
11,650,373
4,510,282

20,954,434
6,405,223
250,578
10,718,953
3,579,680

19,877,259
5,048,477
275,544
11,432,447
3,120,791

18,751
3,636
180
1,982
12,953

14,673
2,450
30
1,751
10,442

16,214
2,911
345
1,638
11,320

Interbank and postal savings deposits— to ta l. . . .
Banks in the United States— demand..........................
Banks in the United States— time.................................
Banks in foreign countries— demand............................
Banks in foreign countries— time..................................
Postal savings......................................................................

18,624,464
15,355,326
200,192
1,582,246
1,468,754
17,946

15,110,435
12,364,558
116,463
1,400,509
1,209,959
18,946

16,888,877
13,832,298
101,823
1,675,163
1,259,695
19,898

18,622,676
15,355,001
198,729
1,582,246
1,468,754
17,946

15,108,373
12,364,215
114,744
1,400,509
1,209,959
18,946

16,886,805
13,831,980
100,069
1,675,163
1,259,695
19,898

1,788
325
1,463

2,062
343
1,719

2,072
318
1,754

T otal deposits..............................................................
Demand.........................................................................
T im e..............................................................................

260,495,484
155,7^2,1^0
10k,753,3 U

241,788,809
lk k ,550,929
97,237,880

247,588,752
151,569,872
96,018,880

228,993,232
155,709,317
73,283,915

212,965,215
lk k ,520,125
68,U 5,090

219,011,505
151,538,2k0
67^73,265

31,502,252
32,823
31,U69429

28,823,594
30,80k
28,792,790

28,577,247
31,632
28,5k5,615

Miscellaneous liabilities— to ta l....................................
Bills payable, rediscounts, and other liabilities for
borrowed money.............................................................

7,263,444

9,010,879

5,691,502

6,671,245

8,358,514

5,179,650

592,199

652,365

511,852

154,979
1,451,324
5,657,141

2,583,760
1,022,861
5,404,258

617,647
808,920
4,264,935

151,900
1,451,324
5,068,021

2,580,185
1,022,861
4,755,468

608,805
808,920
3,761,925

3,079

3,575

8,842

589,120

648,790

503,010

T otal liabilities (excluding capital accounts). 267,758,928

250,799,688

253,280,254

235,664,477

221,323,729

224,191,155

32,094,451

29,475,959

29,089,099

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

Other liabilities...................................................................




F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

Dec. 31,
1960

Capital accounts— to ta l...................................................
Capital stock, notes, and debentures...........................
Surplus..................................................................................
Undivided profits................................................................
Reserves................................................................................

2 5 3 2 ,7 0 1 21,885,122 2
3,6 6,36
2 4 ,5 5
0,658,342 2
0,005,668 1 ,231,505 2,998,021 2,734,847 2
9
,653,617
6,207,814
6,091,762
5,861,297
12,076,683
4,586,490
785,376

11,458,784
4,543,449
646,520

11,243,009
4,113,496
667,320

6,091,612
9,463,906
4,010,528
439,622

5,861,147
9,276,052
3,632,356
461,950

150
2,160,505
565,611
271,755

150
1,994,878
532,921
206,898

150
1,966,957
481,140
205,370

M EM O R AN D A
Pledged assets and securities loaned.........................
Capital stock, notes, and debentures:
Par or face value— to ta l...............................................
Common stock................................................................
Capital notes and debentures.....................................
Preferred stock................................................................

2 ,512,668 2 ,137,557 2
8
8
7,026,126 2
8,512,668 28,137,557 27,026,126
6,208,114
6,170,095
23,369
14,650

6,0 2 62
9 ,0
6,051,879
25,427
14,756

5,861,597
5,818,413
26,364
16,820

6,207,964
6,170,095
23,219
14,650

6,091,912
6,051,879
25,277
14,756

5,861,447
5,818,413
26,214
16,820

Retirable value of preferred stock.................................

16,287

16,415

19,167

16,287

16,415

13,451

13,415

13,382

13,126

13,147

13,114

10
5

10
5

150

150

325

268

268

19,167

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

10
5
150

1 Includes stock savings banks.
2 Not reported separately for mutual savings banks.
8 As of June 15, 1960, the segregation of “ Time deposits of individuals, partnerships, and corporations” of insured commercial banks was obtained by a supplementary schedule
and is as follows:
Savings deposits.................................................................................54,823,011
Deposits accumulated for payment of personal loans.............
708,810
Christmas savings and similar accounts......................................
677,021
Certificates of deposit...................................................................... 4,559,453
Open accounts of banks* own trust departments...................... 1,424,260
Other open accounts......................................................................... 1,078,628
Back figures, 1934-1959: See the Annual Report for 1959, pp. 136-139, and earlier reports.




A S T A D LIA ILITIE O BAN
SES N
B
S F
KS

6,207,664
9,916,178
4,020,879
513,621

CO

Table 109.

D

is t r ib u t io n o f

(S t a t e s

and

I n s u r e d C o m m e r c ia l B a n k s
O t h e r A r e a s), D

ecem ber

in t h e

U n it e d S t a t e s

31, 1960

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS AND BY RATIOS OF SELECTED ITEMS TO ASSETS

All
banks

Less
than
$1,000,000

$1,000,000
to
$2,000,000

$2,000,000
to
$5,000,000

$5,000,000 $10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000
to
or
to
to
to
to
more
$10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000

Ratios of obligations of States and su b ­
divisions to total assets of—
Zero .
......................................................
More than zero but less than 1 percent........
1 to 5 percent.......................................................
5 to 10 percent.....................................................
10 to 15 percent...................................................
15 to 20 percent
.
...
20 percent or more
...........

1,166
924
3,537
3,976
2,180
876
467

347
136
391
196
85
43
25

402
338
826
540
244
100
80

300
286
1,173
1,344
754
310
188

61
67
510
892
555
231
99

40
57
340
615
359
135
62

11
21
139
183
98
30
9

1
11
53
80
44
21
3

4
6
81
107
33
6
1

R atios of U. S. Governm ent obligations
to total assets of—
Less than 10 percent
.
.................
10 to 20 percent...................................................
20 to 30 percent...................................................
30 to 40 percent..
..............................
40 to 50 percent .
..................................
50 to 60 percent
60 percent or more

334
2,073
4,498
3,832
1,704
546
139

61
205
318
324
200
81
34

82
341
710
743
434
186
34

113
640
1,420
1,351
614
174
43

52
395
908
737
252
49
22

18
256
669
474
146
41
4

3
83
226
129
36
13
1

4
33
109
48
17
2

1
89
116
26
5

Ratios of loans to total assets of—
Less than 10 percent
10 to 20 percent
..
20 to 30 percent
30 to 40 percent...................................................
40 to 50 percent...................................................
50 to 60 percent...................................................
60 percent or more..............................................

39
361
1,629
3,559
4,591
2,414
533

14
57
170
310
342
251
79

6
93
363
669
782
472
145

8
136
600
1,289
1,467
690
165

7
47
297
656
894
439
75

2
23
141
448
641
314
39

1
2
38
100
215
117
18




2
24
19
8

31
22

1

2
15
44
106
40
6

1
1
5
40
112
73
6

3
32
18

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

Number of banks with deposits of
Ratios

88
335
273
213
134
98
82

241
755
716
403
228
112
75

354
1,355
1,226
781
397
152
90

183
844
748
389
154
62
35

112
568
539
250
89
32
18

34
181
142
90
35
8
1

13
64
61
39
23
11
2

11
40
61
55
43
21
7

1
1
18
14
11
5
3

Ratios of total capital accounts to total
assets other than cash and due from
banks and U . S. Governm ent obliga­
tions of—
Less than 10 percent......................................
10 to 15 percent...............................................
15 to 20 percent...............................................
20 to 25 percent...............................................
25 to 30 percent...............................................
30 to 35 percent...............................................
35 to 40 percent...............................................
40 percent or more..........................................

431
4,317
4,103
2,043
997
506
259
470

2
113
249
276
192
140
72
179

16
382
744
585
352
178
98
175

81
1,234
1,591
797
346
144
78
84

107
1,099
829
247
74
28
7
24

123
888
460
98
19
12
2
6

54
297
109
23
5
1
1
1

19
135
44
5
6
3
1

24
140
62
8
3

5
29
15
4

Ratios of total capital accounts to total
assets other than cash and due from
banks, U. S. Governm ent obligations,
C. G. G. loans and F. H . A . and V . A.
real estate loans—
Less than 10 percent..........................................
10 to 15 percent...................................................
15 to 20 percent...................................................
20 to 25 percent...................................................
25 to 30 percent...................................................
30 to 35 percent...................................................
35 to 40 percent...................................................
40 percent or more..............................................

293
3,544
4,221
2,258
1,175
646
357
632

2
72
190
251
206
157
107
238

10
278
670
567
410
231
131
233

61
962
1,567
922
419
202
101
121

73
915
944
309
96
39
11
28

85
776
540
152
29
11
5
10

40
260
148
33
7
1
1
1

13
119
62
9
4
5
1

Ratios of total capital accounts to total
assets to—
Less than 4 percent.............................................
4 to 6 percent.......................................................
6 to 8 percent.......................................................
8 to 10 percent.....................................................
10 to 12 percent...................................................
12 to 15 percent...................................................
15 percent or more.............................................

18
747
3,795
4,255
2,423
1,352
536

4
68
244
326
378
203

24
348
788
692
472
206

2
142
1,152
1,660
939
366
94

3
195
964
844
298
90
21

4
229
766
447
123
32
7

6
81
241
136
20
5
2

1
44
96
52
16
3
1

2
24
134
66
6
4
2

4
26
18
3
2

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

13,126

1,223

2,530

4,355

2,415

1,608

491

213

238

53




8
137
77
11
4

1
25
23
4

BAN S
K

Back figures: See the following Annual Reports: 1958, pp. 192-193; and 1959, pp. 140

1

O
F

1,037
4,143
3,784
2,234
1,114
501
313

A S T A D LIA ILITIE
SES N
B
S

Ratios of cash and due from banks to total
assets of—
Less than 10 percent......................................
10 to 15 percent...............................................
15 to 20 percent...............................................
20 to 25 percent...............................................
25 to 30 percent...............................................
30 to 35 percent...............................................
35 percent or more..........................................

1

E a r n in g s , E x p e n s e s ,

and

D iv id e n d s

of

I nsured B a n k s

Table 110.

Earnings, expenses, and dividends of insured commercial banks in the United
States (States and other areas), 1952-1960

Table 111.

Ratios of earnings, expenses, and dividends of insured commercial banks in the
United States (States and other areas), 1952-1960

Table 112.

Earnings, expenses, and dividends of insured commercial banks in the United
States (States and other areas), 1960
By class of bank

Table 113.

Ratios of earnings, expenses, and dividends of insured commercial banks in the
United States (States and other areas), 1960
By class of bank

Table 114.

Earnings, expenses, and dividends of insured commercial banks operating through­
out 1960 in the United States (States and other areas)
Banks grouped according to amount of deposits

Table 115.

Ratios of earnings, expenses, and dividends of insured commercial banks operating
throughout 1960 in the United States (States and other areas)
Banks grouped according to amount of deposits

Table 116.

Earnings, expenses, and dividends of insured commercial banks in the United States
(States and other areas), by State, 1960

Table 117.

Income, expenses, and dividends of insured mutual savings banks, 1952-1960

Table 118.

Ratios of income, expenses, and dividends of insured mutual savings banks,
1952-1960




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

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.

Other insured banks: Federal Deposit Insurance Corporation.

BANKS

State banks members of the Federal Reserve System: Board of
Governors of the Federal Reserve System.

INSURED




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 discussion
of the history and principles of this uniform report see pp. 50-52 in
Part Two of the 1951 Annual Report.

O
F

Averages of assets and liabilities shown in Tables 110-113 and 116
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 Guam of an insured bank in
California as well as insured branches in Puerto Rico and the Virgin
Islands of insured banks in New York. Consequently, the asset and
liability averages are not strictly comparable with the earnings data,
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.

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 1952-1960 are given in Tables 117 and
118.

DIVIDENDS

The uniform report of earnings and dividends for commercial 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.

Mutual savings banks

E X P E N S E S , AND

Earnings data are included for all insured banks operating at the end
of the respective years, unless indicated otherwise. In addition, ap­
propriate adjustments have been made for banks in operation during
part of the year but not at the end of the year. Data for 3 insured
branches in Guam of an insured bank in California, for 13 insured
branches in Puerto Rico and for 4 insured branches in the Virgin Islands
of insured banks in New York are not available.

E A R N IN G S,

Reports of earnings, expenses, and dividends are submitted to the
Federal supervisory agencies on either a cash or an accrual basis.

Assets and liabilities shown in Table 114, and utilized for computation
of ratios shown in Table 115, are for the identical banks to which the
earnings data pertain. The assets and liabilities are as of December 31,
1960.

Table 110.

E

a r n in g s ,

Earnings or expense item

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ) , 1 9 5 2 -1 9 6 0
(Amounts in thousands of dollars)
1952

4,931,688

5,483,954

1954

5
,773,787

1955

6
,377,705

1956

7,231,921

1957

8,050,416

205,935
426,016
258,381

218,566
460,251
278,340

5
,119,182

5
,612,723

6,264,207

6 3 ,8 0
,9 2 2

42,614
805,857
45,392
187,526

45,396
1,141,715
49,538
205,903

48,271
1,380,575
24,161
221,571

51,866
1,580,250
78,350
252,763

56,292
1,785,086
87,385
285,801

108,306
1,038,228

128,085
1,154,600

146,262
1,262,823

168,371
1,369,305

191,424
1,532,739

212,493
1,707,797

2 3 ,7 0
,1 5 0

2,417,533

2,774,724

2,931,235

2,888,223

3,405,145

3
,790,725

61 9
3 ,4 6

29 9
3 ,5 8

20 7
5 ,1 1

18 1
9 ,4 3

868,115

32 89
8,8

574,826
12,927
55,568
329,322
25,684
70,211
81,114

1,333,690
351,041
3,625,528
71,048
339,975

121,868
204,967
199,713

132,978
217,996
201,101

144,140
246,223
210,621

155,004
281,841
219,579

168,497
322,117
229,068

186,815
354,520
249,828

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 money...............
Taxes other than on net income..................................
Recurring depreciation on banking house, furniture
and fixtures....................................................................
Other current operating expenses................................

3,028,575

3 7 ,5
,3 5 52

3 3 ,0 7
,6 8 8

3,96 ,1
0 73

4,457,198

30,871
458,059
20,921
139,290

34,591
534,493
24,171
148,783

37,197
618,341
8,556
166,452

39,563
678,237
23,093
176,840

74,953
809,252

84,085
897,137

94,720
950,945

Net current operating earnings.................................

1,9 3 12
0 ,1

2
,108,398

14 4
4 ,1 6

12 7
5 ,3 3

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




0
9,669,352 1 ,723,545

191,408
379,395
256,183

1,272,731
324,823
3,205,894
57,550
311,806

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

1960

1,790,341
578,783
6,698,655
108,655
589,954

1,206,965
297,739
3,107,885
47,850
271,444

582,405
1,069,890

8,500,949

1959

1,732,174
546,253
5,856,688
111,991
531,916

1,099,059
276,993
2,742,100
42,295
244,696

530,035
965,197

1958

622,862
1,139,013

666,152
1,229,756

1,342,842
370,045
4,339,866
73,562
385,927

720,866
1,372,262

1,442,379
412,497
4,879,676
83,815
440,892

773,769
1,493,778

1,544,023
501,978
5,046,782
94,674
486,507

827,142
1,573,330

892,657
1,684,159

966,643
1,831,323

11,191
20,492
33,806

11,454
27,545
38,865

14,912
60,555
416,520

20,586
39,930
57,085

14,090
41,001
31,151

9,295
20,751
64,368

9,646
57,145
681,554

27,946
111,447
47,277

22,004
27,330
29,324

28,423
18,292
27,794

34,014
57,965
47,530

27,379
50,899
43,722

20,762
77,606
65,563

21,183
39,757
43,063

22,439
42,158
55,176

20,551
57,607
64,062

32 4
6 ,4 4

48 2
4 ,3 3

52 0
5 ,6 6

77 5
0 ,1 5

93 3
9 ,5 4

77 3
5 ,4 2

73 1
8 ,2 3

1,36 ,5
1 15

978,422

97,512
29,531

155,969
54,160

66,670
126,173

221,232
67,276

317,381
101,830

237,480
84,996

93,657
268,159

745,081
168,003

219,767
156,232

23,637
154,510
57,253

31,774
132,127
74,291

29,269
222,998
107,497

28,159
303,600
86,886

32,018
452,940
89,369

25,636
321,870
87,452

25,053
282,227
114,117

25,459
318,965
104,006

35,760
451,667
114,996

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

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

1953

in t h e

N et profits before incom e taxes.................................
Taxes on net incom e— to ta l.........................................
Federal................................................................................
State....................................................................................

1 8 ,8
,6 4 13
64 8
9 ,8 3
662,277
32,606

1 1 ,4 1
,8 2 5
76 9
8 ,4 0
750,796
35,693

2,2
14,591
9 7,5
0 60
862,065
45,495

1
,949,976
79 37
3,7
753,883
39,855

2,031,360
814,636
769,843
44,793

2,372,217
998,397

2,973,128
1,271,459

2,372,519
88 ,4 8
45

3,387,129
1,3
84,397

1,198,890
72,570

832,797
51,661

1,300,940
83,457

99 3
8 ,9 1
41 7
4 ,9 1

1 2 ,9
,0 5 63
43 6
7 ,8 6

1 0 ,0
,3 7 32
5 6,9
1 77

1
,156,240
5 6,1
6 24

1,216,725
61 90
6,8

1,3 3 21
7 ,8
68 0
7 ,1 1

1,701,667
7 5,8
2 66

1,4 8 6
8 ,0 1
76 8
7 ,3 6

2,002,732
81 4
3 ,5 6

3,675
438,298

2,979
470,888

2,912
514,066

2,581
563,543

2,389
614,501

2,234
675,867

2,366
723,500

2,219
774,167

2,024
829,522

Net additions to capital from profits......................

57 6
4 ,9 1

52 9
5 ,0 7

7 0,0
9 55

50 1
9 ,1 8

5
99,835

6
95,720

9 5,8
7 02

71 7
1 ,6 5

1 7 ,1
,1 1 86

M emoranda
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.............................................................................

4,355
31,508

2,232
33,612

3,154
40,384

3,146
39,794

3,332
42,717

2,646
50,824

10,410
69,073

5,585
73,790

18,294
68,232

25,598
64,607

38,480
89,186

15,841
89,495

68,140
88,417

95,505
123,529

74,529
117,937

19,741
127,515

207,061
122,315

47,716
264,405

Net profits after incom e taxes....................................
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 9 0 ,4 3 1 5 8 ,2 3 193,3 ,6 4 2
7 ,8 3 6 8 ,6 5 8
39 1 02,331,676 209,712,780 214,790,440 228,359,687 2 77 8 2 6,7 ,7 2
37,5 ,3 9 4 76 2
42,952,808
61,065,059
13,562,462
59,999,743
2,223,391

43,192,523
60,868,295
14,082,070
65,213,144
2,329,251

42,976,798
64,372,065
15,209,165
68,148,039
2,633,547

43,510,745
63,808,049
16,294,075
75,800,688
2,918,119

45,728,691
58,257,149
16,179,498
86,291,628
3,255,814

45,474,318
57,238,574
16,725,206
91,493,989
3,858,353

46,766,041
62,355,819
19,237,561
95,666,835
4,333,431

46,881,654
61,878,548
20,284,525
103,872,351
4,660,311

49,317,003
57,773,429
20,092,632
114,275,450
5,318,208

130,023,191
46,842,306
2,712,778
13,761,339

184,734,232
135,^22,891
49,311,3U
2,965,764
14,631,680

190,786,522
139,690,432
51,096,090
3,372,960
15,553,298

193,993,484
139,023,597
54,969,887
4,242,293
16,554,663

206,196,015
143,813,475
62,382,540
4,440,097
17,723,575

213,428,979
146,599,745
66,829,234
5,410,250
18,738,160

220,099,028
150,451,481
69,647,547
6,712,522
19,965,172

Number of active officers, December 3 1 .......................
Number of other employees, December 3 1 ...................

76,754
358,325

79,574
376,750

82,167
386,625

84,931
408,791

88,462
433,563

91,597
452,218

95,308
457,023

98,934
481,666

103,211
506,596

Number of banks, December 31 ......................................

13,439

13,432

13,323

13,237

13,218

13,165

13,114

13,126

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Note: Due to rounding differences, data for 1952-1959 may not add to total.
Back figures, 1934-1951: See the following Annual Reports: 1951, pp. 162-163; 1950, pp. 250-251; and 1941, pp. 158-159.




13,1 4
2

BANKS

127,028,332
43,047,556
2,667,917
12,941,478

INSURED

165,031,495
125,213,842
39,817,653
2,501,055
12,270,913

O
F

1 9 0 ,4 3 1 5,6 5 8 19 39 1 2
7 ,8 3 6 8 8 ,2 3 3,3 ,6 4 02,331,676 209,712,780 214,790,440 228,359,687 2 7,577,389 24 76 2
3
6,7 ,7 2
170,075,888 176,865,497

Liabilities and capital— to ta l......................................
Total deposits....................................................................
Demand deposits...........................................................
Time and savings deposits..........................................
Borrowings and other liabilities...................................
Total capital accounts....................................................

DIVIDENDS

Average assets and liabilities1
Assets— to ta l.......................................................................
Cash and due from banks..............................................
United States Government obligations......................
Other securities.................................................................
Loans and discounts........................................................
All other assets.................................................................

EAR N IN G S, E X P E N S E S , AND

947,998
50,401

Or
Or

T a b le 111.

R

a t io s o f

Earnings or expense item

Current operating expenses— to 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................................
Net current operating earnings.................................
A m ounts per $100 of 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 ac­
counts— total.....................................................................
Net profits before income taxes........................................
Net profits after income taxes...........................................
Am ounts per $100 of total capital ac­
counts1
Net current operating earnings.........................................
Recoveries, transfers from reserve accounts, and
profits— total.....................................................................
Losses, charge-offs, and transfers to reserve ac­
counts— total.....................................................................
Net profits before income taxes........................................
Taxes on net income............................................................
Net profits after income taxes...........................................
Cash dividends declared.....................................................
Net additions to capital from profits..............................




1952

1953

1954

1955

1956

1957

in t h e

1958

Ox
o
1959

1960

$100.00
22.29
5.62
56.46
4.96

$100.00
22.01
5.43
57.55
4.95

$100.00
22.04
5.63
56.52
5.40

$100.00
20.91
5.51
57.96
5.33

$100.00
18.57
5.12
61.03
5.33

$100.00
17.92
5.12
61.65
5.48

$100.00
18.16
5.91
60.48
5.72

$100.00
17.91
5.65
61.73
5.50

$100.00
16.69
5.40
63.48
5.50

2.47
8.20

2.42
7.64

2.50
7.91

2.43
7.86

2.33
7.62

2.32
7.51

2.25
7.48

2.13
7.08

2.04
6.89

6 .4
11

6 .55
1

63 1
.0

62.09

6 .63
1

30.95
9.29
2.82

30.76
9.75
2.71

31.16
10.71
2.88

30.35
10.63
2.77

29.53
11.14
2.60

28.73
14.18
2.56

63.59

28.80
16.24
2.61

66.02

64.78
27.19
16.34
2.61

64.65
26.62
16.65
2.66

1.52
16.83

1.53
16.80

1.64
16.62

1.70
16.64

1.77
16.59

1.82
16.30

1.98
16.39

1.98
16.66

1.98
16.74

3
8.59

3 .4
85

36.99

3 .9
71

38.37

36 1
.4

33.98

35.22

3 .3
55

2.74
1.68
1.06

2.96
1.82
1.14

2.98
1.88
1.10

3.15
1.96
1.19

3.45
2.13
1.32

3.74
2.38
1.36

3.72
2.46
1.26

4.07
2.64
1.43

4.35
2.81
1.54

.08

.08

.33

.12

.12

.09

.38

.14

.23

.20
.94
.55

.24
.98
.55

.28
1.15
.68

.35
.96
.57

.47
.97
.58

.35
1.10
.64

.34
1.30
.75

.57
1.00
.63

.40
1.37
.81

15.51

16.29

15.52

16.52

17.84

17.71

16.30

18.17

18.99

1.17

1.18

4.59

1.64

1.61

1.20

4.89

1.76

2.88

2.95
13.73
5.66
8.07
3.60
4.47

3.46
14.01
6.08
7.93
3.66
4.27

4.02
16.09
6.59
9.50
3.76
5.74

4.83
13.33
5.43
7.90
3.87
4.03

6.39
13.06
5.24
7.82
3.96
3.86

4.58
14.33
6.03
8.30
4.10
4.20

4.42
16.77
7.17
9.60
4.09
5.51

7.27
12.66
4.72
7.94
4.14
3.80

4.90
16.97
6.94
10.03
4.16
5.87

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

Am ounts per $100 of 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.................................

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ) , 1952-1960

4.64

4.84

4.79

4.88

5.11

5.42

5.37

5.75

5.96

1.80
2.04
.20
1.15

1.98
2.11
.21
1.24

1.98
2.14
.24
1.32

2.09
2.15
.25
1.38

2.31
2.29
.28
1.58

2.52
2.47
.32
2.08

2.48
2.61
.34
2.21

2.80
2.69
.36
2.36

3.10
2.88
.39
2.56

$0
10

10 0
0 .0
23.89
33.96
7.54
33.37
1.24

Number of banks, December 3 1 ......................................

13,439

91.78
69.64
22.14
1.39
6.83

10 0
0 .0
91.59
68.41
23.18
1.44
6 97

13,432

10 0
0 .0
22.23
33.29
7.87
35.25
1.36

10 0
0 .0
91.48
67.25
24.23
1.40
7.12

13,323

10 0
0 .0
21.51
31.54
8.05
37.46
1.44

10 0
0 .0
91.30
66.93
24.37
1.47
7.23

13,237

10 0
0 .0
21.81
27.78
7.71
41.15
1.55

10 0
0 .0
90.97
66.61
24.36
1.61
7.42

13,218

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1934-1951: See the following Annual Reports: 1951, pp. 164-165; 1950, pp. 252-253; and 1941, pp. 160-161.

21.17
26.65
7.79
42.60
1.79

10 0
0 .0
90.32
64.73
25.59
1.97
7.71

13,165

10 0
0 .0

10 0
0 .0

10 0
0 .0

10 0
0 .0
89.83
61.70
28.13
2.28
7.89

100.00
89.19
60.97
28.22
2.72
8.09

13,124

13,114

13,126

20.48
27.31
8.42
41.89
1.90
90.30
62.98
27.32
1.94
7.76

19.73
26.05
8.54
43.72
1.96

100.00
19.98
23.41
8.14
46.31
2.16

BANKS




10 0
0 .0

INSURED

10 0
0 .0

23.26
32.78
7.58
35.12
1.26

O
F

Liabilities and capital— to ta l......................................
Total deposits...................................................................
Demand deposits...........................................................
Time and savings deposits..........................................
Borrowings and other liabilities...................................
Total capital accounts....................................................

10 0
0 .0

DIVIDENDS

Assets and liabilities per
of total
assets1
Assets— to ta l.......................................................................
Cash and due from banks..............................................
United States Government obligations......................
Other securities.................................................................
Loans and discounts........................................................
All other assets.................................................................

E A R N IN G S. E X P E N S E S , AND

Special ratios1
Income on loans per $100 of loans..................................
Income on U. S. Government obligations per $100
of U . S. Government obligations.................................
Income on other securities per $100 of other securities.
Service charges per $100 of demand deposits...............
Interest paid per $100 of time and savings deposits. .

Or

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ), 1 9 6 0

in t h e

BY CLASS OF BANK
(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

10,723,545
1,790,341
578,783
6,698,655
108,655
589,954
218,566
460,251
278,340

5,755,580
941,697
307,682
3,662,497
57,090
327,719
97,501
200,599
160,795

3,171,412
472,439
159,600
1,977,442
32,371
135,947
64,627
241,429
87,557

1,796,553
376,205
111,501
1,058,716
19,194
126,288
56,438
18,223
29,988

10,649,717
1,778,586
575,457
6,658,505
107,851
585,401
217,055
449,852
277,010

73,828
11,755
3,326
40,150
804
4,553
1,511
10,399
1,330

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 money....................................................................
Taxes other than on net income.......................................................................................
Recurring depreciation on banking house, furniture and fixtures...........................
Other current operating expenses.....................................................................................

6,932,820
966,643
1,831,323
56,292
1,785,086
87,385
285,801
212,493
1,707,797

3,709,258
487,502
983,101
25,797
978,705
49,904
163,688
116,270
904,291

1,944,638
243,907
574,034
11,083
455,035
34,316
74,825
51,511
499,927

1,278,924
235,234
274,188
19,412
351,346
3,165
47,288
44,712
303,579

6,879,774
957,969
1,817,324
55,861
1,775,456
87,017
283,985
211,085
1,691,077

53,046
8,674
13,999
431
9,630
368
1,816
1,408
16,720

Net current operating earnings......................................................................................

3,790,725

2,046,322

1,226,774

517,629

3,769,943

20,782

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

574,826

309,650

194,057

71,119

570,885

3,941

12,927
55,568
329,322

7,530
33,258
171,798

2,807
18,029
112,190

2,590
4,281
45,334

12,719
55,478
326,665

208
90
2,657

25,684
70,211
81,114

8,558
37,976
50,530

11,324
28,569
21,138

5,802
3,666
9,446

25,454
70,202
80,367

230
9
747

Losses, charge-offs, and transfers to reserve accounts— tota l..........................
On securities:
Losses and charge-offs.....................................................................................................
Transfers to reserve accounts........................................................................................
On loans:
Losses and charge-offs.....................................................................................................
Transfers to reserve accounts........................................................................................
All other..................................................................................................................................




978,422

568,316

279,135

130,971

971,447

6,975

219,767
156,232

122,139
101,994

73,374
40,441

24,254
13,797

217,435
155,946

2,332
286

35,760
451,667
114,996

16,299
264,921
62,963

6,514
124,935
33,871

12,947
61,811
18,162

33,204
451,117
113,745

2,556
550
1,251

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

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

1,787,656

1,141,696

457,777

3,369,381

17,748

1,384,397
1,300,940
83,457

741,237
704,756
36,481

499,423
460,776
38,647

143,737
135,408
8,329

1,376,697
1,293,811
82,886

7,700
7,129
571

2,002,732

1,046,419

642,273

314,040

1,992,684

10,048

831,546

450,929

283,881

96,736

827,221

4,325

Cash dividends declared on common stock...................................................................

2,024
829,522

99
450,830

1,074
282,807

851
95,885

1,866
825,355

158
4,167

Net additions to capital from profits..........................................................................

1,171,186

595,490

358,392

217,304

1,165,463

5,723

18,294
68,232

13,668
42,948

2,808
15,104

1,818
10,180

18,294
68,210

22

47,716
264,405

32,233
165,384

11,419
68,398

4,064
30,623

47,712
264,355

4
50

Average assets and liabilities2
Assets— total
.........................................................................
Cash and due from banks
.
........................................
United States Government obligations
................................................
Other securities
................................................
Loans and discounts
• •..............................................
All other assets
................................. ..................

246,776,722
49,317,003
57,773,429
20,092,632
114,275,450
5,318,208

134,443,385
27,506,140
31,256,790
10,882,104
62,017,797
2,780,554

74,355,677
16,205,053
15,216,551
5,333,382
35,656,312
1,944,379

37,977,660
5,605,810
11,300,088
3,877,146
16,601,341
593,275

I.liihiliHps and riiniffll— total
. ..................... .. .
Total deposits
..
.................................................................
Demand deposits
..
.........................................................................
Time and savings deposits
. .
...........................................................................
Borrowings and other liabilities
.
.....................
Total capital accounts
...............................

246,776,722
220,099,028
150,451 ,481
69,647,547
6,712,522
19,965,172

134,443,385
120,242,246
82,086,067
38,156,179
3,505,599
10,695,540

74,355,677
65,487,430
47,692,674
17,794,756
2,735,824
6,132,423

37,977,660
34,369,352
20,672,740
13,696,612
471,099
3,137,209

Number of other employees, December 3 1 .......................................................................

103,211
506,596

50,131
273,477

21,553
144,843

31,527
88,276

102,607
504,214

604
2,382

Number of banks, December 3 1 ..........................................................................................

13,126

4,530

1,641

6,955

12,989

137

Dividends and interest on capital— to ta l...................................................................
Dividends declared on preferred stock and interest on capital notes and

M emoranda
Recoveries credited to reserve accounts (not included in recoveries above):
On securities
.................................... .................. ...........................................
Losses charged to reserve accounts (not included in losses above):

INSURED
BANKS




O
F

1 Includes banks operating less than full year and a few banks which engage primarily in fiduciary business.
2 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1934-1959: See Table 110, pp. 154-155, the Annual Report for 1959, pp. 148-149, and earlier reports.

DIVIDENDS

3,387,129

Taxes on net income— to ta l.............................................................................................

E A R N IN G S, E X P E N S E S, AND

Net profits before income taxes.....................................................................................

Table 113.

R

a t io s o f

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ) , 1960

in t h e

BY CLASS OF BANK

Earnings or expense item

National

State

$100.00
16.69
5.40
63.48
5.50
2.04
6.89

$100.00
16.36
5.35
64.63
5.69
1.69
6.28

$100.00
14.90
5.03
63.37
4.29
2.04
10.37

$100.00
20=94
6.21
60.00
7.03
3.14
2.68

Current operating expenses— to 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.................................................................................................................................

64.65
26.62
16.65
2.66
1.98
16.74

64.45
26.00
17.01
2.84
2.02
16.58

61.32
26.14
14.35
2.36
1.62
16.85

71.19
29.44
19.56
2.63
2.49
17.07

INSURANCE

N et current operating earnings..................................................................................................................................

35.35

35.55

38.68

28.81

A m ou n ts per $100 of 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...........................................................................................................................................

4.35
2.81
1.54
.23
.40
1.37
.81

4.28
2.76
1.52
.23
.42
1.33
.78

4.27
2.62
1.65
.26
.37
1.54
.86

4.73
3.37
1.36
.19
.34
1.21
.83

.01
.03

.01
.03

(2
)
.02

(2
)
.03

.02
.11

.02
.12

.02
.09

.01
.08

Memoranda
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 ounts per $100 of 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.................................................................................................................................

DEPOSIT

FEDERAL

Not
members
F. R.
System

Members F. R. System
Total

$0
10

Am ounts per
of total capital accounts1
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........................................................................................

18.99
2.88
4.90
16.97
6.94
10.03
4.16
5.87

19.13
2.89
5.31
16.71
6.93
9.78
4.21
5.57

20.00
3.16
4.55
18.61
8.14
10.47
4.63
5.84

16.50
2.27
4.18
14.59
4.58
10.01
3.08
6.93

.13
.40

.05
.25

.06
.32

.24
1.32

.30
1.55

.19
1.12

.13
.98

Special ratios1
Income on loans per $100 of loans.......................................................
Income on U. S. Government obligations per $100 of U. S. Government obligations........................
Income on other securities per $100 of other securities........................................................
Service charges per $100 of demand deposits...............................................................
Interest paid per $100 of time and savings deposits......................................................

5.96
3.10
2.88
.39
2.56

6.00
3.01
2.83
.40
2.56

5.64
3.10
2.99
.29
2.56

6.49
3.33
2.88
.61
2.57

$0
10

10 0
0 .0

10 0
0 .0

10 0
0 .0

Liabilities and capital— to ta l....................................................................
Total deposits............................................................................
Demand deposits
Time deposits
Borrowings and other liabilities........................................................
Total capital accounts.........................................................................

10 0
0 .0

10 0
0 .0

10 0
0 .0

10 0
0 .0

Number of banks, December 3 1 ....................................

13,126

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

19.98
23.41
8.14
46.31
2.16

89.19
60.97
28.22
2.72
8.09 |
1

1

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
2 Less than .005.
Bach figures 193^-1959: See Table 111, pp. 156-157, the Annual Report for 1959, pp. 150-151, and earlier reports.

,




20.46
23.25
8.09
46.13
2.07

89.44
61.06
28.38
2^61
7.95

4,530

21.79
20.47
7.17
47.95
2.62

88.07
64.1 U
23.93
3.68
8.25
1,641

14.76
29.76
10.21
43.71
1.56
90.50

36.07
1.24
8.26
6,955

BANKS

10 0
0 .0

O INSURED
F

Assets and liabilities per
of total assets1
Assets— to ta l.......................................................................
Cash and due from banks.............................................................................
United States Government obligations...................................................
Other securities.......................................................................
Loans and discounts....................................................................
All other assets....................................................................................

DIVIDENDS

.09
.34

EXPENSES, A D
N

^Memoranda
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.......................................................................................................................

Table 114.

E

a r n in g s ,

E

x pe n se s, and
in t h e

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s )

hroughout

1960

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS
Banks with deposits of— 2

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.........

Less
than
$1,000,000

$1,000,000
to
$2,000,000

$2,000,000
to
$5,000,000

10,649,717
1,778,586
575,457
6,658,505
107,851
585,401

44,115
11,158
1,986
26,078
169
1,989

182,887
47,110
9,767
106,233
857
8,601

673,328
162,053
44,188
393,730
3,079
38,821

797,416
175,106
55,966
469,449
5,601
56,420

1,157,436
235,181
75,728
681,514
10,379
93,039

820,017
155,478
46,728
491,952
9,580
60,779

680,395
126,479
40,187
411,825
7,166
41,864

2,301,063
353,462
113,076
1,440,159
24,415
118,512

3,993,060
512,559
187,831
2,637,565
46,605
165,376

217,055
449,852
277,010

2,161
38
536

7,860
244
2,215

21,263
789
9,405

19,583
3,306
11,985

23,850
16,196
21,549

16,338
17,480
21,682

11,118
24,306
17,450

37,523
141,528
72,388

77,359
245,965
119,800

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 money. .
Taxes other than on net income. ....................
Recurring depreciation on banking house,
furniture and fixtures.....................................
Other current operating expenses...................

6,879,774
957,969
1,817,324

30,662
11,711
3,519

126,504
39,318
17,330

470,227
112,206
79,647

563,911
103,761
113,191

821,780
126,657
188,883

578,349
79,348
142,789

465,979
61,132
119,176

1,497,965
179,092
431,968

2,324,397
244,744
720,821

55,861
1,775,456
87,017
283,985

908
5,773
63
1,272

3,584
30,824
267
5,138

11,678
129,781
966
18,663

10,232
165,809
1,048
22,579

10,478
232,749
2,192
31,956

4,878
161,578
2,654
22,692

3,195
126,404
3,334
19,724

6,865
341,222
18,459
66,210

4,043
581,316
58,034
95,751

211,085
1,691,077

674
6,742

3,429
26,614

16,623
100,663

21,510
125,781

32,155
196,710

22,138
142,272

16,007
117,007

45,140
409,009

53,409
566,279

Net current operating earnings.....................

3,769,943

13,453

56,383

203,101

233,505

335,656

241,668

214,416

803,098

1,668,663

Recoveries, transfers from reserve ac­
counts, and profits— to ta l.......................
On securities:

570,885

1,165

4,785

19,084

25,596

47,843

43,143

34,136

143,884

251,249

12,719
55,478
326,665

68
7
256

217
129
1,419

851
511
9,186

812
1,527
15,127

2,413
4,064
32,198

937
4,055
30,262

345
3,169
23,938

1,543
12,990
97,181

5,533
29,026
117,098

25,454
70,202
80,367

704
13
117

1,986
235
799

4,791
1,034
2,711

2,631
1,764
3,735

2,040
2,245
4,883

910
1,641
5,338

410
2,544
3,730

2,618
10,798
18,754

9,364
49,928
40,300

Other current operating earnings....................

Losses, charge-offs, and transfers to re­
serve accounts— to ta l.................................
On securities:
Transfers to reserve accounts......................
On loans:
Transfers to reserve accounts......................




971,447

2,477

10,989

47,201

57,719

87,002

68,578

63,156

209,286

425,039

217,435
155,946

319
59

1,400
319

8,733
1,480

12,417
2,811

18,620
8,905

16,641
8,607

14,889
9,235

36,463
61,542

107,953
62,988

33,204
451,117
113,745

1,269
461
369

3,885
3,231
2,154

9,457
19,245
8,286

5,484
26,834
10,173

3,828
42,645
13,004

1,355
33,332
8,643

849
29,662
8,521

2,346
86,205
22,730

4,731
209,502
39,865

CORPORATION

Transfers from reserve accounts.................
All other................................................................

INSURANCE

Transfers from reserve accounts.................
Profits on securities sold or redeemed. . . .
On loans:

$5,000,000 $10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000
to
to
to
to
to
or
$10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000
more

DEPOSIT

All
banks1

FEDERAL

Earnings or expense item

3,369,381

12,141

50,179

174,984

201,382

296,497

216,233

185,396

737,696

1,494,873

Taxes on net income— to ta l............................
Federal...................................................................
State.......................................................................

1,376,697
1,293,811
82,886

2,997
2,864
133

12,604
11,935
669

45,881
43,669
2,212

57,031
54,601
2,430

98,845
95,000
3,845

79,572
76,610
2,962

72,978
70,314
2,664

327,622
313,158
14,464

679,167
625,660
53,507

N et profits after income taxes........................

1,992,684

9,144

37,575

129,103

144,351

197,652

136,661

112,418

410,074

815,706

Dividends and interest on capital— t o t a l..
Dividends declared on preferred stock and
interest on capital notes and debentures..
Cash dividends declared on common stock..

827,221

2,835

11,525

41,032

45,832

64,015

45,861

44,578

192,034

379.509

1,866
825,355

1
2,834

11
11,514

41
40,991

93
45,739

232
63,783

215
45,646

234
44,344

1,039
190,995

379.509

N et additions to capital from profits..........

1,165,463

6,309

26,050

88,071

98,519

133,637

90,800

67,840

218,040

436,197

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

18,294
68,210

177

26
1,020

148
4,707

320
6,917

646
8,275

870
5,214

752
5,297

3,422
11,019

12,110
25,584

47,712
264,355

1
330

72
2,001

227
11,755

597
17,047

1,922
24,518

1,515
16,634

2,394
14,367

12,988
38,814

27,996
138,889

Assets and liabilities2
Assets— to ta l............................................
255,350,211
Cash and due from banks..................
51,745,389
United States Government obligations......... 60,317,049
Other securities.....................................
20,451,934
Loans and discounts............................
117,019,734
All other assets......................................
5,816,105

982,918
192,419
308,429
64,487
410,903
6,680

4,135,430
743,062
1,325,021
314,985
1,713,771
38,591

15,639,096
2,787,588
4,739,780
1,544,322
6,377,228
190,178

18,467,477
3,135,191
5,320,222
2,024,212
7,718,037
269,815

26,572,388
4,481,005
7,607,562
2,719,515
11,311,086
453,220

18,742,906
3,156,999
5,234,574
1,662,922
8,316,797
371,614

16,169,142
2,949,342
4,360,666
1,482,196
7,087,721
289,217

55,355,654
12,019,254
12,589,559
4,049,620
25,615,468
1,081,753

99,285,200
22,280,529
18,831,236
6,589,675
48,468,723
3,115,037

Liabilities and capital— to ta l.................
255,350,211
Total deposits............................................
228,149,644
Demand deposits.....................
155,11*8,1*81*
Time and savings deposits.....................
73,001,160
Borrowings and other liabilities......................
6,639,649
Total capital accounts.................................
20,560,918

982,918
863,147
628,253
231*,891*
2,968
116,803

4,135,430
3,678,662
2,1*11*,389
1,261*,273
17,506
439,262

15,639,096
14,110,186
8,798,088
5,312,098
96,489
1,432,421

18,467,477
16,758,096
9,922,791*
6,835,302
174,961
1,534,420

26,572,388
24,119,082
11*,1*35,381
9,683,701
400,657
2,052,649

18,742,906
16,993,868
10,361,577
6,632,291
355,380
1,393,658

16,169,142
14,650,853
9,371*,363
5,276,1*90
307,811
1,210,478

55,355,654
49,897,249
35,656,967
11*,21*0,282
1,233,062
4,225,343

99,285,200
87,078,501
63,556,672
23,521,829
4,050,815
8,155,884

O
F

102,607
504,214

2,778
1,854

7,081
7,345

16,624
28,941

13,020
37,233

13,805
59,188

7,756
42,710

5,696
35,669

15,611
119,767

20,236
171,507

12,989

1,182

2,485

4,324

2,402

1,603

491

212

BANKS

237

53

1 This group of banks is the same as the group shown in Table 112 under the heading “ Operating throughout the year.”
2 Asset and liability items are as of December 31, 1960.
Back figures, 191*1-1959: See the Annual Report for 1959, pp. 152-153, and earlier reports.




INSURED

Number of banks, December 3 1 ...................

DIVIDENDS

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 ... .

E AR N IN G S, E X P E N S E S, AND

N et profits before income taxes.....................

T a b le

115.

R

a t io s o f

E

a r n in g s ,

E

x pen ses, and

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s )

hroughout

1960

14
6

in t h e

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS
Banks with deposits of— 2
Earnings or expense item

All
banks1

Less
than
$1,000,000

$1,000,000
to
$2,000,000

$2,000,000
to
$5,000,000

$100.00
16.70
5.40
63.54
5.50

$100.00
25.29
4.50
59.50
4.51

$100.00
25.76
5.34
58.56
4.70

$100.00
24.07
6.56
58.93
5.77

$100.00
21.96
7.02
59.57
7.07

$100.00
20.32
6.54
59.78
8.04

$100.00
18.96
5.70
61.16
7.41

$100.00
18.59
5.91
61.58
6.15

$100.00
15.36
4.91
63.65
5.15

$100.00
12.84
4.70
67.22
4.14

2.04
6.82

4.90
1.30

4.30
1.34

3.16
1.51

2.46
1.92

2.06
3.26

1.99
4.78

1.63
6.14

1.63
9.30

1.94
9.16

Current operating expenses— to 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...................

64.60
26.58
16.67
2.67

69.50
36.58
13.09
2.88

69.17
32.93
16.85
2.81

69.84
30.23
19.28
2.77

70.72
28.49
20.79
2.83

71.00
28.17
20.11
2.76

70.53
27.68
19.71
2.77

68.49
26.97
18.58
2.90

65.10
26.85
14.83
2.88

58.21
24.28
14.56
2.40

1.98
16.70

1.53
15.42

1.88
14.70

2.47
15.09

2.70
15.91

2.78
17.18

2.70
17.67

2.35
17.69

1.96
18.58

1.34
15.63

Net current operating earnings.....................

35.40

30.50

30.83

30.16

29.28

29.00

29.47

31.51

34.90

41.79

4.17
2.69
1.48

4.49
3.12
1.37

4.42
3.06
1.36

4.31
3.01
1.30

4.32
3.06
1.26

4.36
3.09
1.27

4.38
3.09
1.29

4.21
2.88
1.33

4.16
2.71
1.45

4.02
2.34
1.68

.22

.12

.12

.12

.14

.18

.23

.21

.26

.25

.38
1.32
.78

.25
1.24
.93

.27
1.21
.91

.30
1.12
.83

.31
1.09
.78

.33
1.12
.74

.37
1.15
.73

.39
1.15
.70

.38
1.33
.74

.42
1.51
.82

.01
.03

.02

(3
)
.02

00
.03

(3
)
.04

(8
)
.03

(3
)
.03

(8
)
.03

.01
.02

.01
.03

.02
.10

00
.03

(8
)
.05

(3)
.08

(3
)
.09

.01
.09

.01
.09

.01
.09

.02
.07

.08
.14

CORPORATION




INSURANCE

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

DEPOSIT

Am ounts per $100 of total assets?
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..............................

FEDERAL

A m ounts per $100 of 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....................

$5,000,000 $10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000
to
to
to
to
to
or
$10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000
more

$0
10

M emoranda
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.................................................................

12.84

14.18

15.22

16.35

17.34

17.71

19.01

20.46

.99

1.08

1.33

1.66

2.33

3.10

2.82

3.40

3.08

4.73
16.39
6.70
9.69
4.02
5.67

2.12
10.39
2.56
7.83
2.43
5.40

2.50
11.42
2.87
8.55
2.62
5.93

3.29
12.22
3.21
9.01
2.86
6.15

3.76
13.12
3.71
9.41
2.99
6.42

4.24
14.44
4.81
9.63
3.12
6.51

4.92
15.52
5.71
9.81
3.29
6.52

5.21
15.32
6.03
9.29
3.68
5.61

4.95
17.46
7.75
9.71
4.55
5.16

5.21
18.33
8.33
10.00
4.65
5.35

.09
.33

.15

.01
.23

.01
.33

.02
.45

.03
.40

.06
.87

.06
.44

.08
.26

.15
.31

.23
1.29

(8
)
.28

.02
.46

.02
.82

.04
1.11

.09
1.19

.11
1.19

.20
1.19

.31
.92

.34
1.70

5.78

6 39

6.25

6.22

6.16

6.12

6.03

5.91

5.72

5.54

2.95

3.62

3.56

3.42

3.29

3.09

2.97

2.90

2.81

2.72

2.81
.38

3.08
.32

3.10
.36

2.86
.44

2.76
.57

2.78
.64

2.81
.59

2.71
.45

2.79
.33

2.85
.26

2.43

2.46

2.44

2.44

2.43

2.40

2.44

2.40

2.40

2.47

10 0
0 .0
20.26
23.62
8.01
45.83
2.28

10 0
0 .0

Number of banks, December 3 1 ..........................

12,989

89.35
60.76
28.59
2.60
8.05

19.58
31.38
6.56
41.80
.68

10 0
0 .0
87.82
63.92
23.90
.30
11.88
1,182

10 0
0 .0
17.97
32.04
7.62
41.44
.93

10 0
0 .0
88.95
58.38
30.57
.43
10.62

2,485

10 0
0 .0
17.82
30.31
9.87
40.78
1.22

10 0
0 .0
90.22
56.26
33.96
.62
9.16

4,324

10 0
0 .0
16.98
28.81
10.96
41.79
1.46

10 0
0 .0

10 0
0 .0
16.86
28.63
10.23
42.57
1.71

90.74
53.73
37.01
.95
8.31

100.00
90.77
54.33
36.44
1.51
7.72

2,402

1,603

10 0
0 .0
16.85
27.93
8.87
44.37
1.98

10 0
0 .0
90.67
55.28
35.39
1.90
7.43
491

10 0
0 .0
18.24
26.97
9.17
43.83
1.79

10 0
0 .0
90.61
57.98
32.63
1.90
7.49
212

10 0
0 .0
21.71
22.74
7.32
46.28
1.95

100.00
22.44
18.96
6.64
48.82
3.14

10 0
0 .0

10 0
0 .0

90.14
64.41
25.73
2.23
7.63

237

87.71
64-02
23.69
4.08
8.21

53

1 This group of banks is the same as the group shown in Table 112 under the heading “ Operating throughout the year.” These ratios differ slightly from the ratios for all insured
commercial banks shown in Tables 111 and 113.
2 Asset and liability items are as of December 31, 1960.
3 Less than .005.
Back figures, 1941-1959: See the Annual Report for 1959, pp. 154-155, and earlier reports.




BANKS

Liabilities and capital— to ta l..........................
Total deposits.......................................................
Demand deposits...............................................
Time deposits....................................................
Borrowings and other liabilities......................
Total capital accounts........................................

10 0
0 .0

O INSURED
F

Assets and liabilities per $100 of
total assets2
Assets— to ta l...........................................................
Cash and due from banks.................................
United States Government obligations.........
Other securities....................................................
Loans and discounts...........................................
All other assets.....................................................

11.52

2.78

DIVIDENDS

Special ratios2
Income on loans per $100 of loans......................
Income on U. S. Government obligations per
$100 of U. S. Government obligations.. . .
Income on other securities per $100 of other
securities............................................................
Service charges per $100 of demand deposits. .
Interest paid per $100 of time and savings
deposits..............................................................

18.34

EARNINGS. EXPENSES, A D
N

A m ounts per
of total capital
accounts2
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...............

Table 116.

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ), b y S t a t e , 1960
(Amounts in thousands of dollars)

in t h e

Other areas
Earnings or expense item

Total
United
States

Puerto
Rico

48 States
and
D. C.i

Virgin
Islands

50 States
and
D . C.

Alabama

Alaska

Arizona

Arkansas

California

Colorado

10,701,354
1,788,734
577,307
6,683,642
107,515
589,310

101,533
18,186
6,786
62,607
588
6,692

10,782
1,475
401
6,535
578
982

72,050
6,707
2,476
50,324
1,990
5,817

55,864
10,900
4,910
32,385
160
3,400

1,252,373
146,925
51,231
858,788
21,447
92,998

98,967
16,232
2,975
62,942
1,133
8,871

218,566
460,251
278,340

1,912
11
317

68
3

215,100
460,205
277,452

216,586
460,240
278,020

2,698
2,072
1,904

636
35
140

1,871
1,301
1,564

2,626
463
1,020

21,109
36,724
23,151

1,831
3,334
1,649

Current operating expenses— to ta l............
Salaries— officers................................................
Salaries and wages— employees.....................
Fees paid to directors and members of ex­
ecutive, discount, and other committees.
Interest on time and savings deposits.........
Interest and discount on borrowed money. .
Taxes other than on net income...................
Recurring depreciation on banking house,
furniture and fixtures...................................
Other current operating expenses.................

6,932,820
966,643
1,831,323

16,785
2,123
4,382

553
50
145

6,883,758
960,949
1,818,083

6,915,482
964,470
1,826,796

65,019
11,387
15,939

7,997
1,353
2,423

50,620
6,749
14,935

37,661
8,122
7,784

851,221
90,900
240,459

65,425
10,799
17,289

56,292
1,785,086
87,385
285,801

154
4,334
333
931

5
230
5

55,952
1,771,514
86,893
284,117

56,133
1,780,522
87,052
284,865

701
16,232
232
1,209

37
1,338
83
231

117
10,502
142
1,041

836
8,036
136
1,373

1,204
288,626
8,133
33,167

777
14,519
501
1,185

212,493
1,707,797

481
4,047

15
103

210,805
1,695,445

211,997
1,703,647

2,214
17,105

383
2,149

2,003
15,131

1,455
9,919

20,189
168,543

1,997
18,358

N et current operating earnings..................

3,790,725

4,676

177

3,772,227

3,785,872

36,514

2,785

21,430

18,203

401,152

33,542

574,826

6,447

2,225

50,681

5,507

5,403

86
143
1,406

1,220
7,621
15,298

47
21
4,402

Other current operating earnings.................

Recoveries, transfers from reserve ac­
counts 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...............

1,195

572,184

573,631

5,176

654

12,927
55,568
329,322

753
221

12,886
54,767
328,106

12,927
54,815
329,101

76
116
3,800

41
48
393

25,684
70,211
81,114

23
139
59

25,548
70,025
80,852

25,661
70,072
81,055

318
109
757

98
43
31

943
101

357
67
166

6,517
13,300
6,725

342
166
529

Losses, charge-offs, and transfers to re­
serve accounts— to ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................

978,422

1,263

219,767
156,232

40
156

35,760
451,667
114,996

256
735
76

3,387,129

4,608

N et profits before income taxes...................




13

975,001

977,146

8,610

1,021

5,665

4,683

103,096

7,656

219,670
156,076

219,727
156,076

1,367
617

27

29
1,026

713
320

18,045
19,497

811
1,433

10
3

35,105
449,598
114,552

35,504
450,922
114,917

772
4,829
1,025

174
734
86

1,470
2,651
489

725
1,857
1,068

1,990
49,917
13,647

598
3,096
1,718

164

3,369,410

3,382,357

33,080

2,418

22,212

15,745

348,737

31,393

CORPORATION

10,655,985
1,782,005
575,440
6,653,410
105,904
586,469

INSURANCE

730
161
73
396
18
11

DEPOSIT

21,461
1,446
1,403
14,617
1,122
633

FEDERAL

10,723,545
1,790,341
578,783
6,698,655
108,655
589,954

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 deposits accounts...........
Other service charges, commissions, fees,
and collection and exchange charges. . . .

1,384,397
1,300,940
83,457

770
461
309

28
28

1,378,021
1,295,114
82,907

1,383,599
1,300,451
83,148

11,734
10,558
1,176

925
918
7

10,394
9,746
648

4.220
4.220

155,027
137,082
17,945

13,313
11,587
1,726

Net profits after income taxes.....................

2,002,732

3,838

136

1,991,389

1,998,758

21,346

1,493

11,818

11,525

193,710

18,080

831,546

1,220

13

827,759

830,313

5,903

427

5,018

4,226

96,879

6,301

2,024
828,289

4,226

49
96,830

6,301

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..

427

5,018

123

1,163,630

1,168,445

15,443

1,066

6,800

7,299

96,831

11,779

18,294
68,232

123

2

18,278
67,793

18,294
68,107

33
890

152

586

5
287

284
10,809

5
1,076

47,716
264,405

340

6

47,704
262,926

47,716
264,059

17
2,146

592

2,133

59
1,326

12,205
27,235

10
2,605

Average assets and liabilities2
Assets— to ta l........................................................ 246,776,722
Cash and due from banks............................... 49,317,003
United States Government obligations. . . .
57,773,429
Other securities.................................................. 20,092,632
Loans and discounts......................................... 114,275,450
All other assets..................................................
5,318,208

368,262
44,246
46,197
48,114
216,975
12,730

19,052 245,479,342 246,389,408
49,268,810
3.947 49,128,869
57,721,283
5,949 57,494,889
2,065 19,980,474 20,042,453
6,845 113,591,749 114,051,630
5,305,232
246
5,283,361

2,259,547
466,002
552,246
247,621
956,965
36,713

187,665
29,889
57,875
13,455
82,200
4,246

1,332,087
230,940
219,853
86,826
751,721
42,747

1,351,476 26,158,878
318,700 4,447,724
325,970 5,209,001
166,768 1,914,003
521,670 13,904,080
18,368
684,070

2,112,903
459,503
519,268
99,137
998,977
36,018

Liabilities and capital— to ta l....................... 246,776,722
Total deposits..................................................... 220,099,028
Demand deposits............................................. 150,451,481
Time and savings deposits............................ 69,647,547
Borrowings and other liabilities....................
6,712,522
Total capital accounts.....................................
19,965,172

368,262
326,829
155,862
170,967
13,357
28,076

19,052 245,479,342 246,389,408
17,793 218,922,762 219,754,406
7,385 149,833,191 150,288,234
10,408 69,089,571
69,466,172
238
6,685,108
6,698,927
1,021 19,871,472
19,936,075

2,259,547
2,041,583
1,452,325
589,258
29,708
188,256

187,665
173,750
102,114
71,636
2,749
11,166

1,332,087
1,206,589
808,480
398,109
31,631
93,867

1,351,476
1,227,907
932,369
295,538
8,333
115,236

26,158,878
23,655,868
12,725,952
10,929,916
822,779
1,680,231

2,112,903
1,926,623
1,362,508
564,115
29,372
156,908

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

103,211
506,596

319
1,628

5
42

102,577
502,634

102,887
504,926

1,356
5,102

109
550

729
4,329

1,138
2,722

9,436
57,998

1,144
5,018

Number of banks, December 3 1 ........................

13,126

7

1

13,102

13,118

238

9

9

232

112

162

1
Formerly designated as “ Continental United States.” Alaska was admitted to Statehood January 3, 1959, and Hawaii, August 21, 1959.
n
3 Asset and liability items are averages of figures reported at beginning, middle, and end of year, adjusted to exclude data for 3 insured branches in Guam of an insured bank in
California, 13 insured branches in Puerto Rico of insured banks in New York, and 4 insured branches in the Virgin Islands of an insured bank in New York; earnings data of these
branches are not available.
Back figures, 1946-1959: See the Annual R eport for 1959, pp. 156-165, and earlier reports.




BANKS

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 .. .

INSURED

5,903

2,618

O
F

13

1,171,186

N et additions to capital from profits. . . .

DIVIDENDS

1,220

2,024
825,735

E X P E N SE S , AND

2,024
829,522

EA R N IN G S,

Taxes on net incom e— to ta l..........................
Federal.................................................................
State.....................................................................

Table 116.
U

Earnings or expense item

E

a r n in g s ,

n it e d

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
S t a t e s (S t a t e s a n d O t h e r A r e a s ) , B y S t a t e , 1960— Continued
(Amounts in thousands of dollars)

Connec­
ticut

Delaware

District of
Columbia

Florida

Georgia

Hawaii

in t h e

Cb

Illinois

Idaho

Indiana

Iowa

Kansas

230,537
49,066
11,498
129,177
4,108
20,137

157,552
23,389
6,250
98,871
2,397
11,487

34,587
5,254
1,466
23,697
1,033
1,859

33,644
6,332
1,348
21,060
441
2,824

752,475
168,678
48,973
430,235
6,330
29,106

212,597
51,772
8,679
126,228
1,199
10,316

141,696
27,470
8,438
89,533
410
8,551

105,146
25,515
8,377
57,958
406
7,675

1,836
10,999
2,539

235
4,968
570

1,209
3,843
1,286

4,790
5,304
6,457

6,779
4,570
3,809

850
428

831
173
635

12,927
41,173
15,053

3,881
5,278
5,244

3,278
1,626
2,390

1,689
856
2,670

Current operating expenses— to ta l............
Salaries— officers................................................
Salaries and wages— employees.....................
Fees paid to directors and members of ex­
ecutive, discount, and other committees.
Interest on time and savings deposits.........
Interest and discount on borrowed money. .
Taxes other than on net income....................
Recurring depreciation on banking house,

86,477
13,111
26,488

19,924
3,425
6,360

43.903
6,202
13,445

159,540
23,027
42,594

107,625
17,504
26,725

23,727
2,168
6,290

21,777
3,758
5,164

469,635
63,952
116,307

147,304
23,121
36,012

94,754
22,181
18,469

67,210
16,556
13,793

619
15,270
916
3,033

292
2,863
134
601

423
8,486
426
2,577

1,728
34,963
1,329
5,191

1,358
19,902
1,106
6,169

144
7,670
76
517

138
6,378
213
506

3,844
134,587
9,379
16,313

1,827
37,214
482
8,062

984
23,794
526
3,308

1,095
13,554
258
2,681

Other current operating expenses.................

2,717
24,323

763
5,486

1,441
10.903

7,901
42,807

4,286
30,575

809
6,053

812
4,808

10,208
115,045

4,941
35,645

2,710
22,782

2,117
17,156

N et current operating earnings...................

38,772

16,230

23,888

70,997

49,927

10,860

11,867

282,840

65,293

46,942

37,936

2,477

2,534

794

8,944

12,370

793

2,595

48,417

15,200

4,684

3,525

99
262
1,645

26

411
150
5,927

177
64
10,201

3

2,208

10
332
224

602

2,498

2,287
12,410
27,420

676
1,853
10,818

456
236
2,849

16
57
1,572

80
34
357

12
270
18

83
42
103

316
224
1,916

481
172
1,275

15
4
172

41

609
3,476
2,215

351
672
830

307
293
543

932
206
742

9,672

2,036

2,753

21,281

11,449

1,124

1,683

84,208

19,905

9,695

7,538

4,285
4,964

3,156
244

1,568
348

Recoveries, transfers from reserve ac­
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...............
Losses, charge-offs, and transfers to re­
serve accounts— to ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
N et profits before incom e taxes...................




53

2,780
946

268
288

672
174

4,293
1,202

988
3,070

30

405

28,087
14,464

106
3,491
2,349

31
910
539

189
1,171
547

944
12,590
2,252

757
4,562
2,072

225
590
279

194
905
179

1,282
33,057
7,318

588
7,278
2,790

696
3,567
2,032

1,672
2,046
1,904

31,577

16,728

21,929

58,660

50,848

10,529

12,779

247,049

60,588

41,931

33,923

CORPORATION

67,791
13,194
1,615
41,187
656
4,801

INSURANCE

36,154
6,638
1,037
21,189
638
879

DEPOSIT

125,249
16,840
6,358
76,692
907
9,078

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

10,662
10,662

21.663
21.663

19.783
19.783

4,653
4,419
234

4,342
3,887
455

94.727
94.727

24.155
24.155

12,118
12,118

10.223
10.223

19,047

8,560

11,267

36,997

31,065

5,876

8,437

152,322

36,433

29,813

23,700

8,273

4,730

5,579

11,278

11,320

2,127

2,331

47,482

11,831

9,174

6,648

4,730

5,579

35
11,243

11,320

2,127

2,331

45
47,437

10
11,821

18
9,156

6,648

3,830

5,688

25,719

19,745

3,749

6,106

104,840

24,602

20,639

17,052

1
589

108

95

4
2,219

115
1,229

16
162

59

161
4,848

121
1,458

10
699

80
1,105

607
1,853

76
456

410

289
8,542

104
3,192

12
541

454

3,188
16,028

132
4,753

5
1,627

69
2,021

EARNINGS, EXPENSES, A D
N

Average assets and liabilities1
Assets— to ta l........................................................
Cash and due from banks...............................
United States Government obligations. . . .
Other securities..................................................
Loans and discounts.........................................
All other assets..................................................

2,579,035
480,199
555,770
250,914
1,240,686
51,466

776,531
142,551
218,656
34,424
365,214
15,686

1,636,204
334.824
466,278
55,951
744.824
34,327

5,220,379
1,138,989
1,568,242
402,636
1,989,924
120,588

3,180,466
723,345
697,865
205,123
1,492,149
61,984

722,401
110,052
168,519
48,524
377,681
17,625

694,532 18,768,382
107,538 3,601,370
196,473 5,398,347
47,685 1,712,206
330,508 7,844,176
12,328
212,283

5,104,475
979,142
1,697,341
319,899
2,038,100
69,993

3,295,549
601,163
849,552
311,859
1,501,620
31,355

2,525,097
486,201
728,588
307,959
975,673
26,676

DIVIDENDS

Liabilities and capital— to ta l.......................
Total deposits.....................................................
Demand deposits.............................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts.....................................

2,579,035
2,284,043
1,693,828
590,215
84,378
210,614

776,531
671,502
522,518
148,984
28,156
76,873

1,636,204
1,490,301
1,125,374
364,927
30,289
115,614

5,220,379
4,743,928
3,420,667
1,323,261
86,973
389,478

3,180,466
2,838,312
2,107,146
731,166
70,813
271,341

722,401
657,894
352,929
304,965
11,070
53,437

694,532 18,768,382
637,552 16,934,385
405,254 11,619,904
232,298 5,314,481
385,247
9,517
47,463 1,448,750

5,104,475
4,628,264
3,121,113
1,507,151
84,098
392,113

3,295,549
2,977,781
2,052,471
925,310
24,038
293,730

2,525,097
2,284,503
1,744,553
539,950
19,005
221,589

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 .. .

1,178
7,319

329
1,847

506
3,435

2,569
13,303

2,083
8,241

201
1,742

402
1,607

6,096
30,655

2,642
10,829

2,742
6,250

2,238
4,628

61

19

12

304

363

7

32

960

437

635

583

12,530
10,942
1,588

N et profits after incom e taxes......................
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.

8,273

N et additions to capital from profits. . . .

10,774

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

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1946-1959: See the Annual Report for 1959, p p. 156-165, and earlier reports.




BANKS

Number of banks, December 3 1 .......................

O INSURED
F

8,168
7,791
377

Taxes on net income— to ta l..........................

Table 116.

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 in t h e
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ) , B y S t a t e , 1960— Continued
(Amounts in thousands of dollars)
*<I
___________________________________________________________________________________________________________________________________________
Missouri

Montana

63,459
12,424
6,550
33,985
108
4,163

254,536
50,042
14,267
161,252
1,605
11,484

41,265
8,333
2,302
24,405
572
3,158

74,071
15,417
3,324
46,426
239
4,458

23,854
3,578
1,060
15,335
851
1,193

10,827
6,055
4,174

3,600
431
2,198

3,528
7,000
5,358

1,199
238
1,058

1,355
1,110
1,742

680
690
467

290,876
30,698
75,549

143,749
26,261
31,824

43,467
8,413
9,475

155,766
26,420
40,017

28,652
5,183
6,010

46,438
12,604
10,555

14,928
2,178
3,997

1,291
17,395
1,359
6,794

1,874
94,919
2,141
14,441

1,715
38,573
2,766
3,058

750
8,633
274
1,976

1,927
33,255
2,372
5,821

241
6,924
129
2,095

799
5,315
513
1,742

41
4,434
108
628

1,937
18,071

6,066
51,949

7,709
63,545

3,452
36,100

1,338
12,608

4,881
41,073

862
7,208

1,407
13,503

497
3,045

9,560

33,378

119,303

124,016

65,847

19,992

98,770

12,613

27,633

8,926

5,022

1,840

5,724

29,702

15,038

4,438

2,506

18,437

5,409

3,551

409

38
131
3,104

16
7
1,343

474
63
4,401

183
610
21,221

168
1,001
8,211

271
78
2,434

211
272
1,133

98
360
15,149

329
3,721
502

46
185
2,416

13
362

257
1,952
2,173

246
382
1,121

101
152
221

120
51
615

353
286
7,049

229
2,386
3,043

669
86
900

378
100
412

535
1,425
870

488
122
247

232
345
327

34

9,974

11,948

3,557

9,771

37,569

32,313

9,539

8,092

21,717

4,248

6,646

1,253

1,039
2,187

922
2,234

702
545

2,367
1,053

13,492
4,708

8,470
6,745

2,758
154

1,370
1,108

2,246
10,421

1,647
731

1,169
1,213

363
200

Transfers to reserve accounts....................

654
4,582
1,512

714
6,278
1,800

254
1,634
422

348
4,511
1,492

2,187
7,685
9,497

1,222
11,709
4,167

854
3,585
2,188

689
3,589
1,336

1,010
5,562
2,478

670
866
334

367
2,329
1,568

28
566
96

N et profits before income taxes...................

40,129

35,931

7,843

29,331

111,436

106,741

60,746

14,406

95,490

13,774

24,538

8,082

Minne­
sota

286,102
41,259
9,806
172,385
2,297
18,643

414,892
80,901
27,191
255,177
3,788
21,646

209,596
36,338
11,353
126,002
1,614
13,233

1,221
3,610
2,256

4,765
1,034
3,575

487
1,088
492

2,295
2,516
2,483

8,702
24,246
8,764

6,643
13,115
6,431

62,502
12,774
14,490

86,418
13,727
21,466

24,461
3,206
5,989

71,370
8,543
19,717

166,799
24,918
57,027

1,071
11,345
481
3,434

1,144
17,503
994
7,549

262
7,279
82
996

801
18,054
471
3,776

1,789
17,118

2,814
21,221

962
5,685

N et current operating earnings...................

38,676

42,857

Recoveries, transfers from reserve ac­
counts, and profits— to ta l.....................
On securities:

11,427
75
1,004
5,966

Current operating expenses— to ta l............
Salaries and wages— employees.....................
Fees paid to directors and members of ex­
ecutive, discount, and other committees.
Interest on time and savings deposits.........
Interest and discount on borrowed money.
Taxes other than on net income...................
Recurring depreciation on banking house,
furniture and fixtures...................................
Other current operating expenses.................

■
p

p
q

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

Transfers from reserve accounts...............
Profits on securities sold or redeemed. . .
On loans:
D DPAVAn P
Q

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

Transfers from reserve accounts...............
Losses, charge-offs, and transfers to re­
serve accounts— to ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:




CORPORATION

104,748
21,529
5,789
60,916
1,247
7,973

O

Nevada

INSURANCE

34,021
5,597
1,223
22,817
254
2,063

Nebraska

DEPOSIT

129,275
26,757
8,394
75,964
614
8,172

Missis­
sippi

FEDERAL

101,178
23,138
4,379
61,623
868
4,083

Other current operating earnings..................

Maryland

Michigan

Louisiana

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. . . .

Maine

Massa­
chusetts

Kentucky

Earnings or expense item

Taxes on net income— to ta l..........................
Federal.................................................................
State.....................................................................

14.881
14.881

13.083
13.083

3.105
3.105

12.135
12.135

54,776
45,740
9,036

36.269
36.269

25,333
20,933
4,400

4.322
4.322

41,743
40,252
1,491

4,495
4,198
297

8.526
8.526

3.455
3.455

4,738

17,196

56,660

70,472

35,413

10,084

53,747

9,279

16,012

4,627

6,607

2,269

7,326

26,686

26,737

13,506

4,040

19,351

2,922

5,524

2,203

3
7,241

2
6,605

5
2,264

2
7,324

10
26,676

140
26,597

43
13,463

5
4,035

28
19,323

2,922

5,524

2,203

N et additions to capital from profits. . . .

18,004

16,241

2,469

9,870

29,974

43,735

21,907

6,044

34,396

6,357

10,488

2,424

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

687
1,063

5
884

42
341

107
395

9,099
3,372

1,033
2,649

830

55
716

22
1,677

33
253

14
592

61

78
2,450

314
5,599

18
620

11
1,218

625
4,274

4,851
6,491

7
2,341

47
1,954

2,287
2,523

59
618

17
1,363

308

Average assets and liabilities1
Assets— to ta l........................................................
Cash and due from banks...............................
United States Government obligations. . . .
Other securities..................................................
Loans and discounts.........................................
All other assets...................................................

2,473,766
540,946
724,975
136,616
1,044,648
26,581

3,168,103
731,902
853,866
291,297
1,238,681
52,357

695,761
103,395
180,394
46,642
350,663
14,667

2,486,788
478,669
698,762
206,742
1,059,384
43,231

5,975,206
1,260,007
1,297,382
357,257
2,929,556
131,004

9,430,437 4,520,389 1,427,395 6,528,368
1,494,129
873,827
297,496 1,480,698
2,641,194 1,118,180
348,388 1,691,409
961,617
373,602
216,085
508,183
4,178,462 2,078,865
539,760 2,773,099
155,035
75,915
25,666
74,979

873,883 1,753,492
154,041
378,871
256,273
473,736
78,469
121,575
369,990
760,616
15,110
18,694

462,201
58,395
121,264
41,412
229,819
11,311

Liabilities and capital— to ta l........................
Total deposits.....................................................
Demand deposits.............................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts.....................................

2,473,766
2,230,536
1,727,582
502,95k
25,177
218,053

3,168,103
2,878,717
2,197,785
680,932
42,176
247,210

695,761
618,457
3^0,368
278,089
16,007
61,297

2,486,788
2,263,952
1,563,081
700,871
33,465
189,371

5,975,206
5,185,183
U,395,678
789,505
226,794
563,229

9,430,437
8,578,909
U,6U1,551
3,937,358
158,728
692,800

873,883 1,753,492
799,887 1,572,652
5U2,175 1,356,115
257,712
216,537
14,870
24,691
59,126
156,149

462,201
423,576
21+2,301
181,275
10,634
27,991

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 .. .

1,824
4,979

1,436
6,459

403
2,098

1,074
6,340

2,393
16,598

2,975
20,132

3,150
9,784

1,055
3,105

3,256
12,684

592
1,909

1,557
3,617

255
1,149

Number of banks, December 3 1 ........................

345

189

42

132

166

378

679

191

610

119

392

7

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 193+6-1959: See the Annual Report for 1959, pp. 156-165, and earlier reports.




4,520,389 1,427,395 6,528,368
4,060,526 1,311,068 5,902,260
2,595,580
987,706 U,538,865
323,362 1,363,395
l,U6U,9h6
92,965
10,884
92,073
366,898
105,443
534,035

BANKS

22,848

7,244

O INSURED
F

25,248

EARNINGS, EXPENSES, A D DIVIDENDS
N

Net profits after Income taxes.....................
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..

Table 116.
U

E

a r n in g s ,

n it e d

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
S t a t e s (S t a t e s a n d O t h e r A r e a s ) , By S t a t e , 1960—Continued

in t h e

(Amounts in thousands of dollars)

_________________________________________________________________________________________ ________________________ ____________________________________
Earnings or expense item

New
Hampshire

New
Jersey

New
Mexico

New
York

North
Carolina

North
Dakota

Ohio

Oklahoma

Oregon

Pennsyl­
vania

140,197
19,974
8,399
86,731
2,205
8,527

33,723
8,702
2,575
17,052
206
1,788

518,154
104,982
28,891
313,381
3,794
27,059

120,001
23,787
6,552
72,736
579
8,791

99,761
13,882
5,204
64,706
789
9,083

694,521
109,418
44,004
442,255
4,704
26,432

48,349
6,474
2,195
30,711
169
2,597

348
426
323

3,737
10,348
6,565

923
327
739

39,001
161,731
81,352

7,521
4,332
2,508

2,629
183
588

6,986
19,428
13,633

1,636
1,357
4,563

2,005
2,375
1,717

8,339
44,244
15,125

766
3,680
1,757

15,122
2,304
3,070

243,849
28,300
61,828

23,820
4,118
6,326

1,158,055
126,290
362,565

93,609
16,692
24,845

21,892
4,743
3,956

339,979
39,097
83,710

75,277
16,623
17,041

69,352
10,562
18,091

456,551
56,715
117,099

31,443
3,256
7,792

241
4,334
69
428

2,437
76,173
1,106
10,913

202
4,727
54
1,210

4,643
248,870
30,588
32,603

733
18,056
836
2,265

252
6,351
64
534

2,656
105,856
2,650
23,376

829
13,289
1,357
1,544

241
22,306
673
2,041

5,043
128,302
3,836
23,773

213
10,115
411
1,662

542
4,134

9,114
53,978

1,073
6,110

28,248
324,248

5,012
25,170

701
5,291

10,192
72,442

3,115
21,479

2,195
13,243

15,108
106,675

829
7,165

N et current operating earnings..................

5,864

87,014

11,283

871,248

46,588

11,831

178,175

44,724

30,409

237,970

16,906

Recoveries, transfers from reserve ac­
counts, and profits— to ta l.....................
On securities:

1,651

14,726

1,932

147,146

5,331

1,090

38,227

3,006

3,645

25,347

578

260
188
962

146
1,605
10,229

38
3
1,331

277
11,106
69,885

22
92
4,011

31
5
809

284
6,423
26,901

238
233
1,214

2
3
3,200

2,786
745
9,324

254

43
26
172

464
352
1,930

145
316
99

3,691
29,708
32,479

118
224
864

68
22
155

525
2,329
1,765

732
164
425

44
2
394

592
9,009
2,891

25
210
44

2,105

31,971

3,094

231,149

10,658

2,399

49,882

7,275

4,608

68,977

5,331

490
2,061

18,199
6,569

2,994
120

Other current operating earnings..................
Current operating expenses— to ta l............
Salaries— officers................................................
Salaries and wages— employees.....................
Fees paid to directors and members of ex­
ecutive, discount, and other committees.
Interest on time and savings deposits.........
Interest and discount on borrowed money. .
Taxes other than on net income...................
Recurring depreciation on banking house,
furniture and fixtures...................................
Other current operating expenses.................

Transfers from reserve accounts
Profits on securities sold or redeemed. . .
On loans:
Recoveries.......................................................
Transfers from reserve accounts...............
Losses, charge-off8, and transfers to re­
serve accounts— to ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
N et profits before income taxes...................




45

703
299

8,638
5,125

255
169

53,572
28,532

2,042
1,538

276
10

7,722
20,287

1,502
365

42
573
488

420
14,254
3,534

236
1,925
509

1,318
136,425
11,302

825
4,932
1,321

127
1,372
614

810
16,805
4,258

1,659
2,381
1,368

55
1,390
612

960
35,683
7,566

49
1,340
828

5,410

69,769

10,121

787,245

41,261

10,522

166,520

40,455

29,446

194,340

12,153

CORPORATION

2,029,303
267,231
103,931
1,287,162
20,499
68,396

INSURANCE

35,103
7,549
1,110
21,191
468
2,796

DEPOSIT

330,863
54,243
29,725
201,611
2,932
21,702

FEDERAL

20,986
3,302
1,143
13,492
123
1,829

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. . . .

to

Rhode
Island

Taxes on net income— to ta l..........................
Federal.................................................................
State.....................................................................

1.422
1.422

Net profits after income taxes.....................
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.
Net additions to capital from profits. . . .

19.736
19.736

4.007
4.007

353,816
318,894
34,922

17,116
15,711
1,405

3,988

50,033

6,114

433,429

24,145

1,158

21,141

1,970

211,786

9,137

4
1,154

593
20,548

1,970

781
211,005

1
9,136

2,830

28,892

4,144

221,643

69.793
69.793

15,819
14,827
992

14,161
11,013
3,148

71.880
71.880

7,096

96,727

24,636

15,285

122,460

6,376

2,599

32,718

8,168

6,479

64,754

4,379

2,599

10
32,708

8,168

6,479

6
64,748

4,379

15,008

4,497

64,009

16,468

8,806

57,706

1,997

3,426
3,296
130

5,777
4,992
785

68
152

22
1,311

12
639

2,729
10,049

600
281

128

308
2,259

1,241

511

1,376
3,469

183

18
428

1,307
3,612

1
1,852

6,398
88,855

1,078
1,485

453

3,885
5,849

27
2,312

9
1,406

9,347
23,536

667

E A R N IN G S, E X P E N S E S , AND

Average assets and liabilities1
Assets— to ta l........................................................
Cash and due from banks...............................
United States Government obligations. . . .
Other securities..................................................
Loans and discounts.........................................
All other assets...................................................

448,257
74,531
104,956
33,324
227,979
7,467

7,709,435
1,145,716
1,921,589
1,053,614
3,456,895
131,621

749,138
156,182
228,015
42,672
309,095
13,174

48,971,695
11,163,086
8,418,065
3,365,656
24,319,530
1,705,358

3,098,170
685,335
609,784
329,407
1,408,447
65,197

702,419 12,279,262
94,204 2,241,978
235,093 3,288,561
85,623
961,110
276,291 5,600,737
11,208
186,876

2,867,449
723,980
726,030
247,513
1,124,016
45,910

2,184,813 15,755,784
379,157 2,842,169
523,482 3,532,509
212,389 1,496,699
1,022,922 7,613,406
46,863
271,001

962,023
127,973
208,095
77,565
530,988
17,402

DIVIDENDS

Liabilities and capital— to ta l.......................
Total deposits.....................................................
Demand deposits.............................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts.....................................

448,257
390,487
247,401
148,086
13,382
44,388

7,709,435
6,983,144
3,905,627
3,077,517
175,589
550,702

749,138
691,100
505,894
185,206
9,221
48,817

48,971,695
41,994,469
32,688,331
9,306,138
2,641,789
4,335,437

3,098,170
2,730,212
2,009,826
720,386
108,329
259,629

702,419 12,279,262
639,064 11,056,799
407,120 6,734,031
231,944 4,322,768
9,116
233,404
54,239
989,059

2,867,449
2,572,152
2,072,902
499,250
42,663
252,634

2,184,813 15,755,784
1,960,754 13,887,818
1,132,891
8,947,711
827,863 4,940,107
53,641
322,296
170,418 1,545,670

962,023
844,461
468,274
376,187
35,725
81,837

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 .,

314
1,030

2,831
17,432

450
1,954

9,700
85,309

1,984
8,070

632
1,405

4,012
22,943

2,031
5,401

1,269
4,861

6,053
32,993

338
2,512

Number of banks, December 3 1 .......................

70

250

55

390

182

153

584

386

49

691

8

O
F

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

INSURED
BANKS

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures , 1946-1959: See the Annual Report for 1959, pp. 156-165, and earlier reports.




^
-1

CO

Table 116.

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
U n i t e d S t a t e s (S t a t e s a n d O t h e r A r e a s ) , B y S t a t e , 1960— Continued
(Amounts in thousands of dollars)

in t h e

__________________________________________________________________________________________
Earnings or expense item

South
Dakota

South
Carolina

Tennessee

Texas

Utah

Vermont

Virginia

Wash­
ington

West
Virginia

Wisconsin

516,781
86,526
29,133
326,933
3,738
30,153

49,645
6,826
2,241
32,612
1,476
3,737

21,259
2,918
1,064
14,797
227
1,286

161,746
25,821
8,562
105,007
1,700
9,883

143,136
18,818
6,413
92,336
1,820
13,820

59,121
14,850
2,772
34,923
498
2,329

195,439
46,153
10,483
117,570
1,400
9,844

19,599
4,425
861
11,605
293
1,275

2,773
851
633

2,153
242
521

3,202
2,635
3,309

7,698
9,287
23,313

1,299
1,039
415

261
305
401

3,102
5,032
2,639

3,560
3,755
2,614

1,004
1,388
1,357

2,683
3,310
3,996

582
113
445

Current operating expenses— to ta l............

32,890
6,750
9,085

25,131
6,030
4,490

97,847
14,731
21,602

334,521
59,993
76,226

31,959
4,419
7,380

16,602
2,123
2,956

109,778
16,392
25,915

95,831
14,003
27,987

37,190
6,498
8,427

137,035
23,163
26,956

12,504
2,428
2,857

442
4,383
162
785

397
6,702
127
564

848
29,170
738
5,179

3,837
60,879
6,197
25,285

286
10,277
272
589

284
7,024
58
324

1,352
31,900
653
4,552

366
24,612
327
2,764

649
9,383
155
1,557

1,953
46,919
846
2,967

189
3,331
111
476

1,383
9,900

745
6,076

3,072
22,507

14,609
87,495

828
7,908

572
3,261

4,142
24,872

3,798
21,974

1,454
9,067

4,113
30,118

492
2,620

18,163

12,918

50,724

182,260

17,686

4,657

51,968

47,305

21,931

58,404

7,095

1,175

910

10,283

12,538

3,189

618

8,850

5,255

2,365

8,576

667

2

12

34

608

485
1,034
4,962

18

788

43
2,146
7,144

3,044

435

37
93
7,705

336
68
4,097

5
129
1,617

283
184
7,284

389

40
30
315

102
13
175

277
55
618

2,590
532
2,935

32
1
94

24
36
89

213
327
475

44
35
675

137
212
265

103
103
619

242
1
32

3,092

2,247

14,090

37,592

2,015

1,073

12,909

8,401

4,209

13,909

1,458

334
18

2,660
4,364

2,514
721

1,206
57

5,186
277

93
7

N et current operating earnings...................
Recoveries, transfers from reserve ac­
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..............................................................
Losses, charge-off8, and transfers to re­
serve accounts— to ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
N et profits before incom e taxes...................




3

656
96

511
30

1,678
4,213

4,029
1,303

398
23

106
1,953
281

165
1,163
378

489
5,287
2,423

5,443
20,321
6,496

113
1,240
241

21
568
132

487
4,419
979

100
4,024
1,042

320
1,302
1,324

120
6,660
1,666

229
758
371

16,246

11,581

46,917

157,206

18,860

4,202

47,909

44,159

20,087

53,071

6,304

CO R PO R ATION

148,571
24,119
8,225
100,366
889
5,826

INSURANCE

38,049
9,123
1,979
21,435
364
2,232

DEPOSIT

51,053
9,725
3,389
29,335
164
4,183

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

Salaries and wages— employees.....................
Fees paid to directors and members of ex­
ecutive, discount, and other committees.
Interest on time and savings deposits.........
Interest and discount on borrowed money. .
Taxes other than on net income...................
Recurring depreciation on banking house,
furniture and fixtures...................................
Other current operating expenses.................

^

Wyoming

Taxes on net income— to ta l..........................
Federal.................................................................
State.....................................................................

6,108
5,788
320

4,137
3,794
343

19,187
18,929
258

N et profits after incom e taxes.....................

10,138

7,444

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..

3,647

2,375

2
3,645

N et additions to capital from profits. . . .

1,223
1,097
126

19.343
19.343

20,081
20,081

8.042
8.042

16,259
15,240
1,019

2.331
2.331

27,730

95,795

11,096

2,979

28,566

24,078

12,045

36,812

3,973

9,419

42,650

4,207

1,149

11,321

9,368

4,114

12,554

1,278

2,375

9,419

8
42,642

1
4,206

67
1,082

46
11,275

9,368

4,114

106
12,448

4
1,274

6,491

5,069

18,311

53,145

6,889

1,830

17,245

14,710

7,931

24,258

2,695

105
150

185

37
613

524
4,808

234

68

298
955

493

222
236

4
742

57
196

755

567

47
1,892

140
16,258

3
419

21
321

302
2,604

36
1,912

1
618

6
2,144

3
441

Average assets and liabilities1
Assets— to ta l........................................................
Cash and due from banks...............................
United States Government obligations. . . .
Other securities..................................................
Loans and discounts.........................................
All other assets...................................................

1,105,826
231,226
289,727
120,696
445,958
18,219

794,517
119,089
264,148
64,186
335,812
11,282

3,503,700
779,478
778,976
285,354
1,606,712
53,180

12,806,270
3,274,555
2,785,797
977,305
5,427,876
340,737

1,047,927
204,407
230,930
70,751
524,505
17,334

440,303
51,176
95,383
37,376
248,251
8,117

3,537,536
652,733
863,913
284,492
1,673,881
62,517

2,978,652
598,896
653,419
224,970
1,438,664
62,703

1,410,661
267,203
486,209
100,468
534,702
22,079

4,893,264
856,488
1,498,450
378,230
2,081,306
78,790

440,911
88,740
142,485
28,566
173,946
7,174

Liabilities and capital— to ta l.......................
Total deposits.....................................................
Demand deposits.............................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts.....................................

1,105,826
989,795
790,608
199,187
22,623
93,408

794,517
723,267
478,702
244,565
10,117
61,133

3,503,700
3,178,707
2,140,280
1,038,427
59,808
265,185

12,806,270
11,542,984
8,993,081
2,549,903
223,991
1,039,295

1,047,927
955,987
563,473
392,514
18,987
72,953

440,303
393,416
143,585
249,831
7,994
38,893

3,537,536
3,179,851
1,920,035
1,259,816
61,685
296,000

2,978,652
2,703,668
1,791,605
912,063
50,378
224,606

1,410,661
1,247,720
826,412
421,308
19,466
143,475

4,893,264
4,480,683
2,569,570
1,911,113
66,828
345,753

440,911
401,360
272,583
128,777
5,275
34,276

Number of active officers, December 3 1 .........
Number of other employees, December 3 1 .. .

841
3,019

811
1,592

1,947
7,284

6,671
23,063

523
2,395

291
967

2,086
8,426

1,498
7,528

812
2,623

2,648
8,829

277
861

Number of banks, December 3 1 ........................

139

174

291

990

46

55

305

85

181

554

55

O
F

M emoranda
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...............................................................

DIVIDENDS

7,764
7,444
320

E A R N IN G S, E X P E N S E S , AND

61.411
61.411

INSURED
BANKS

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures , 1946-1959: See the Annual Report for 1959, pp. 156-165, and earlier reports.




Oi

Table 117.

Incom e, E

x pen ses, and

D

iv id e n d s o f

I nsured M

utual

S a v in g s B a n k s ,

1952-1960

(Amounts in thousands o f dollars)

Sources and disposition of income

1952

1953

1954

1955

1957

1956

1958

1959

1960
^1
Gi

174,758
28,590
58,310

187,758
30,099
61,797

201,402
32,082
64,396

224,789
36,608
71,295

16,478
3,007

18,314
3,203

20,006
3,366

22,656
3,731

17,492

19,326

20,925

22,695

25,255

25,380
7,888
8,437
3,058
32,055

27,846
8,520
9,407
3,251
36,389

30,252
9,827
10,183
3,501
39,736

82,268
9,578
11,316
4,445
43,096

35,120
9,865
11,707
4,740
48,797

740,123

851,569

961,885

1,078,945

1,236,974

8,955
8,321
634

9,060
8,972

10,342
9,831
511

11,649
11,172
477

13,637
13,190
447

644,957

731,168

842,509

951,543

1,067,296

1,223,337

536,256

609,335

716,383

812,254

897,469

1,073,542

104,630

108,701

121,833

126,126

139,289

169,827

149,795

36,962
12,372

59,228
12,334

44,430
11,586

48,192
10,537

48,148
18,434

66,160
17,295

91,205
21,147

142,009
31,133

5,243
155
216
240

5,287
783
304
1,489

23,914
389
219
943

18,070
481
3,179
977

17,355
456
413
1,435

16,022
259
437
431

30,974
138
367
624

39,498
192
646
2,498

34,860
283
535
6,576

12,223
24,692

6,132
9,965
275
355

10,858
8,450
126
1,995

1,878
7,710
157
892

4,463
12,501
29
1,003

5,939
10,850
65
711

8,345
8,068
28
321

14,270

57,588
10,480
86
468

1,149,643
141,950
167,489
808,975
836,515
25,985
1,555
11,749

103
97
8,328
8,867

147,678
24,200
50,879

158,317
25,861
53,962

13,544
2,697

14,643
2,809

898,440
146,624
102,590
623,586
645,592
20,475
1,581
8,439

292
206
7,746
7,753

127,336
21,142
44,351

139,931
22,870
48,074

11,566
2,303

12,623
2,526

721,323
155,869
96,205
447,022
461,769
11,922
2,825
6,642

568,498
163,879
62,958
326,785
340,497
7,666
6M6
4,068
588
431
5,833
4,873

261
7,171
6,107

Current operating expense— to ta l..............................................
Salaries— officers..................................................................................
Salaries and wages— employees.......................................................
Pension, hospitalization and group insurance payments, and
other employee benefits............................................................
Fees paid to trustees and committee members...........................
Occupancy, maintenance, etc. of bank premises (including
taxes and recurring depreciation)— net. ..........................
Occupancy, maintenance, etc. o f bank premises (including
taxes and recurring depreciation)— gross............................
Less: Income from bank building.................................................
Deposit insurance assessments................................... .. . ; .............
Furniture and fixtures (including recurring depreciation). . . .
All other current operating expense...............................................

116,763
19,249
40,996
10,648
2,123
12,162

13,521

15,019

15,094

19,104
6,942
6,203
2,387
22,995

20,926
7,405
6,837
2,445
25,171

22,495
7,476
7,562
2,755
28,502

22,793
7,699
7,979
2,790
30,495

Net current operating in com e.......................................................

451,735

519,731

581,392

654,004

Franchise and income taxes— to ta l.............................................
State franchise and income taxes....................................................
Federal income taxes..........................................................................

9,189
6,962
2,227

8,569
6,459

10,643
7,231
3,412

9,047
7,818
1,229

N et current operating income after taxes................................

442,546

511,162

570,749

Dividends and interest on deposits.............................................

365,481

414,951

466,119

N et current operating income after taxes and dividends.

77,065

96,211

57,917
14,893

Non-recurring incom e, realized profits and recoveries
credited to profit and loss, and transfers from valua­
tion adjustm ent provisions— to ta l..................................
Non-recurring income.......... #........................................................
Realized profits and recoveries on:
Securities sold or matured........................................................
Real estate mortgage loans......................................................
Other real estate.........................................................................
All other assets............................................: ...........................
Transfers from valuation adjustment provisions1 on:
Securities.......................................................................................
Real estate mortgage loans.......................... ...........................

Other real estate.........................................................................
All other assets............................................................................
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

102

111
144

4,886

5,184
77

888

2,110

86

6

2

1,280,347
146,353
180,535
921,315
951,952
29,154
1,488

12,021
17
916

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

189
187
8,384
11,094

12,669
-1
216
217
7,486
11,990

1,461,763
152,458
199,258
1,070,173
1,
104,100
32,848
1,584
18,407
27
897
870
7,474
13,966

1,026,327
147,157
127,212
720,215
744,803
28,188
950
10,848
31
140
109
7,898
12,966

801,682
150,657
99,190
528,426
545,841
15,628
1,792
7,322
-17
247
264
8,171
7,933

647,067
164,630
82,003
381,895
896,264
9,488

Current operating income— to ta l.................................................
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 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......................................................

Non-recurring expense, realized losses charged to profit
and loss, and transfers to valuation adjustm ent pro-

83,870
12,958

79,852
13,699

126,876
11,385

123,664
16,981

25,875
176
110
62

28,333
152
39
106

12,773
112
49
551

21,673
636
101
823

26,991
542
171
149

35,526
1,036
179
191

25,056
603
191
684

66,875
330
260
440

63,846
508
210
315

14,359
15,474
63
4,100

10,639
17,005
11
2,066

12,403
20,380
7
4,496

10,630
19,219
42
3,174

16,689
16,194
46
153

18,062
15,236
16
666

21,946
16,733
45
895

30,347
16,151
40
1,048

23,352
17,679
19
754

50,959

62,666

98,808

86,746

98,445

90,404

125,597

134,156

168,140

135
69
1
218

15
33
10
1

220
41

23
50

1,151
268

571
14

24

9

5

173
99
2
37

471
136

2

972
365
39
5

Realized losses charged to valuation adjustm ent pro­
visions1 (not included in realized losses above) on :
Securities...............................................................................................
Real estate mortgage loans....................................... ......................
Other real estate
......................................................................
All other assets
......................................................................

14,581
882
206
616

12,523
469
683
89

7,527
166
234
45

4,250
326
180
326

4,055
318
51

8,741
342
127
67

6,267
217
3
300

9,339
197
26
385

8,110
1,131
13
165

Average assets and liabilities2
Assets— to ta l..........................................................................................
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....................................................................................

17,905,674
728,979
6,755,471
2,064,761
8,012,488
85,996
2,675
255,304

19,625,429
744,369
6,620,535
2,591,176
9,288,364
102,768
2,432
275,785

21,872,622
874,215
6,755,391
3,015,662
10,802,477
120,350
2,957
301,570

22,740,783
809,152
5,993,243
3,008,656
12,467,355
130,165
2,019
330,193

24,533,839
757,496
5,730,449
3,034,920
14,494,241
155,376
2,197
359,160

26,904,256
723,830
5,592,025
3,559,430
16,445,982
185,174
3,586
394,229

29,160,570
742,225
5,338,796
4,378,447
18,045,621
227,027
4,361
424,093

31,248,671
689,698
5,236,825
4,677,222
19,937,652
244,010
7,002
456,262

34,339,564
721,308
5,092,512
5,036,291
22,628,058
355,327
11,555
494,513

Liabilities and surplus accounts— to ta l....................................
Total deposits......................................................................................
Savings and time deposits..............................................................
Demand deposits
......................................................................
Other liabilities .................................................................................
Total surplus accounts......................................................................

17,905,674
16,102,806
16,080,015
22,791
93,253
1,709,615

19,625,429
17,718,957
17,688,777
80,180
119,359
1,787,113

21,872,622
19,738,300
19,694,981
43,319
159,912
1,974,410

22,740,783
20,577,403
20,525,629
51,774
199,228
1,964,152

24,533,839
22,202,156
22,167,537
34,619
249,779
2,081,904

26,904,256
24,322,261
24,295,761
26,500
318,445
2,263,550

29,160,570
26,304,610
26,274,758
29,852
431,019
2,424,941

31,248,671
28,136,390
28,106,089
30,301
512,192
2,600,089

34,339,564
30,822,839
30,790,599
32,240
598,011
2,918,714

Number of active officers, December 3 1 ..........................................
Number of other employees, December 3 1 ......................................

1,810
11,932

1,908
12,525

1,999
13,227

2,042
13,618

2,130
13,860

2,239
14,590

2,356
14,925

2,504
15,110

2,885
16,753

Number of banks, December 3 1 .........................................................

206

219

218

220

223

239

241

268

325

Realized losses on:

Transfers to valuation adjustment provisions1 on:

Net additions to total surplus accounts from operations.
M emoranda
Recoveries credited to valuation adjustm en t provisions1
(not included in recoveries above) o n :

585

1 Includes “ Valuation reserves” and “ Other asset valuation provisions (direct write-downs)” .
2 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1934-1951: Data for 1934-1950, which however are not comparable with figures for 1951-1960, may be found in the following Annual Reports: 1950, pp. 272-273, and
1941, p. 173. For 1951 see the Annual Report for 1951, p. 184.




BANKS

71,580
10,645

INSURED

66,385
10,087

O
F

65,050
14,279

DIVIDENDS

70,507
12,156

E A R N IN G S, E X P E N S E S , AND

84,023
23,804

Table 118.

R

a t io s o f

I ncom e, E xpen ses,

and

D

iv id e n d s o f

I nsured M

utual

S a v in g s B a n k s ,

1952-1960

1956

1957

1958

1959

1960

$100.00
28.83
11.07
57.48
.72
1.04
.86

$100.00
25.44
12.67
59.02
.80
1.12
.95

$100.00
21.61
13.34
61.97
.92
1.09
1.07

$100.00
18.79
12.37
65.92
.91
1.02
.99

$100.00
16.32
11.42
69.41
.94
.92
.99

$100.00
14.34
12.40
70.17
1.06
.77
1.26

$100.00
12.35
14.57
70.37
1.02
.73
.96

$100.00
11.43
14.10
71.96
.99
.58
.94

$100.00
10.43
13.63
73.21
1.26
.51
.96

Current operating expense— to ta l...................................................................
Salaries— officers.....................................................................................................
Salaries and wages— employees..........................................................................
Pension, hospitalization and group insurance payments, and other
employee benefits...............................................................................................
Fees paid to trustees and committee members..............................................
Occupancy, maintenance, etc. of bank premises (including taxes and
recurring depreciation)— net...........................................................................
Deposit insurance assessments...........................................................................
Furniture and fixtures (including recurring depreciation)..........................
All other current operating expense..................................................................

20.54
3.39
7.21

19.68
3.27
6.85

19.40
3.17
6.67

18.42
3.02
6.35

17.62
2.88
6.00

17.03
2.79
5.68

16.33
2.62
5.37

15.73
2.51
5.03

15.38
2.50
4.88

1.87
.37

1.79
.35

1.75
.35

1.69
.34

1.63
.31

1.60
.29

1.59
.28

1.56
.26

1.55
.26

2.14
1.09
.42
4.05

2.09
1.06
.38
3.89

2.08
1.05
.38
3.95

1.88
.99
.35
3.80

1.95
.94
.34
3.57

1.88
.92
.32
3.55

1.82
.89
.30
3.46

1.77
.88
.35
3.37

1.73
.80
.32
3.34

N et current operating in com e..........................................................................

79.46

80.32

80.60

81.58

82.38

82.97

83.67

84.27

84.62

Franchise and income taxes— to ta l................................................................
State franchise and income taxes.......................................................................
Federal income taxes.............................................................................................

1.62
1.23
.39

1.32
1.00
.32

1.47
1.00
.47

1.13
.98
.15

1.00
.93
.07

.88
.87
.01

.90
.86
.04

.91
.87
.04

.93
.90
.03

Am ounts per $100 of current operating income
Current operating income— to ta l....................................................................
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..........................................................................

Net current operating incom e after taxes..................................................

77.84

79.00

79.13

80.45

81.38

82.09

82.77

83.36

83.69

Dividends and interest on deposits................................................................

64.29

64.13

64.62

66.89

67.82

69.80

70.65

70.10

73.44

Net current operating income after taxes and dividends....................

13.55

14.87

14.51

13.56

13.56

12.29

12.12

13.26

10.25




CO R PO R ATIO N

1955

INSURANCE

1954

DEPOSIT

1953

FEDERAL

1952

Sources and disposition of income

3.17
.65
2.52
.05
2.47
2.04
.43

3.30
.65
2.65
.05
2.60
2.11
.49

3.30
.64
2.66
.05
2.61
2.13
.48

.32

.19

.47
.28

.36
.32

2.43
3.05

3.53
.65
2.88
.04
2.84
2.36
.48

3.66
.64
3.02
.04
2.98
2.48
.50

.27

.19

.19

.30
.45

.29
.38

.29
.40

2.49
3.16

2.31
3.19

2.51
3.30

2.56
3.38

3.81
.65
3.16
.03
3.13
2.66
.47

3.94
.64
3.30
.04
3.26
2.78
.48

4.10
.65
3.45
.03
3.42
2.87
.55

4.28
.66
3.60
.04
3.56
3.12
.44

.18

.22

.29

.41

.31
.34

.27
.43

.41
.43

.36
.49

2.63
3.57

2.66
3.83

2.79
3.86

2.99
3.96

Special ratios1
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.....................................................................................................

4.08

4.11

4.14

4.24

4.30

4.38

4.48

4.62

4.73

4.73
2.27

5.04
2.35

5.52
2.37

5.63
2.61

5.43
2.75

5.86
2.95

5.18
3.09

5.19
3.19

5.18
3.49

2.98

3.51

5.00

4.42

4.73

3.99

5.18

5.16

5.76

Assets and liabilities per $100 of total assets1
Assets— to ta l.............................................................................................................
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.......................................................................................................

100.00
4.07
37.73
11.53
44.75
.48
.01
1.43

100.00
3.79
33.74
13.20
47.33
.52
.01
1.41

100.00
4.00
30.88
13.79
49.39
.55
.01
1.38

100.00
3.56
26.36
13.23
54.82
.57
.01
1.45

100.00
3.09
23.36
12.37
59.08
.63
.01
1.46

100.00
2.69
20.78
13.23
61.13
.69
.01
1.47

100.00
2.55
18.31
15.01
61.88
.78
.02
1.45

100.00
2.21
16.76
14.97
63.80
.78
.02
1.46

100.00
2.10
14.83
14.67
65.90
1.03
.03
1.44

Liabilities and surplus accounts— to ta l.......................................................
Total deposits.........................................................................................................
Savings and time deposits.................................................................................
Demand deposits.................................................................................................
Other liabilities.......................................................................................................
Total surplus accounts.........................................................................................

100.00
89.93
89.80
.IS
.52
9.55

100.00
90.28
90.13
.15
.61
9.11

100.00
90.24
90.01+
.20
.73
9.03

100.00
90.49
90.26
.23
.87
8.64

100.00
90.50
90.36
•U
1.02
8.48

100.00
90.40
90.30
.10
1.19
8.41

100.00
90.20
90.10
.10
1.48
8.32

100.00
90.04
89.91+
.10
1.64
8.32

100.00
89.76
89.67
.09
1.74
8.50

Number of banks, December 3 1 ............................................................................

206

219

218

220

223

239

241

268

325

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)” .
h_.
Back figures, 19S1+, 191+1-1950, and 1951: Data for 1934 and 1941-1950, which however are not comparable with figures for 1951-1960, may be found in the following Annual Reports:
1950, pp. 274-275, and 1947, pp. 156-157. For 1951 see the Annual Report for 1951, p. 185.
50




EARN G EXPEN
IN S,
SES, A D D ID N S O IN U E BANKS
N IV E D F S R D

A m ounts per $100 of total assets1
Current operating income— total...........................................................................
Current operating expense— total.........................................................................
Net current operating income................................................................................
State franchise and income taxes..........................................................................
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................................

D e p o s it I n s u r a n c e

Table 119.

D is b u r s e m e n t s

Depositors, deposits, and disbursements in insured banks requiring disbursements
by the Federal Deposit Insurance Corporation, 1934-1960
Banks grouped by class of bank} year of deposit payoff or deposit assumption,
amount of deposits and State

,

Table 120.

Insured bank requiring disbursement by the Federal Deposit Insurance Corporation
during 1960

Table 121.

Recoveries and losses by the Federal Deposit Insurance Corporation on principal
disbursements for protection of depositors, 1934-1960




in financial difficulties are paid off, or when the deposits of a failing
bank are assumed by another insured bank with the financial aid of the
Corporation. In deposit payoff cases the disbursement is the amount
paid by the Corporation on insured deposits. In deposit assumption
cases the principal disbursement is the amount loaned to failing banks,
or the price paid for assets purchased from them; additional disburse­
ments are made in those cases as advances for protection of assets in
process of liquidation and for liquidation expenses.

Noninsured bank failures
One noninsured bank failed in 1960. This was Boulder Industrial




Bank, Boulder, Colorado, which suspended October 10, 1960, having
deposits of $1,035,000.
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; 1952, p. 139;
1953, p. 131; 1954, p. 165; 1955, p. 161; 1956, p. 143; 1957, p. 145; and
1958, p. 223.

Sources of data
Insured banks: books of bank at date of closing; and books of FDIC,
December 31, 1958.

D P S IN U A C D
E O IT S R N E ISBU
RSEM TS
EN

Disbursements by the Federal Deposit Insurance Corporation
to protect depositors are made when the insured deposits of banks

oo

Table 119.

D e p o s i t o r s , D e p o s i t s , a n d D is b u r s e m e n t s in I n s u r e d B a n k s R e q u i r i n g

D is b u r s e m e n ts b y 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 tio n ,

1934-1960

BAN KS GROUPED B Y CLASS OF B A N K , YEAR OF DEPOSIT PAYOFF OR DEPOSIT ASSUMPTION, AMOUNT OF DEPOSITS, AND STATE

Number of depositors1

Number of banks

Disbursements by FDIC
(in thousands of dollars)

Deposits1
(in thousands of dollars)

Principal disbursements
Classification
Total JDeposit
payou
cases

Deposit
assump­
tion
cases

Total

47,474

62,265
85,156
269,806

244,676
285,606
504,451

125,164
188,820
288,208

25,451
27,701
82,512

99,712
161,119
205,696

57,352
102,235
143,234

18,739
21,965
64,044

38,614
80,271
79,190

202
109
840

6,196
19,270
22,008

15,767
44,655
89,018
130,387
203,961
392,718
256,361
73,005
60,688
27,371

15,767
32,331
43,225
74,148
44,288
90,169
20,667
38,594
5,717
16,917

12,324
45,793
56,239
159,673
302,549
235,694
34,4H
54,971
10,454

1,968
13,319
27,508
33,349
59,684
157,772
142,429
29,718
19,186
12,525

1,968
9,091
11,241
14,960
10,296
32,738
5,657
14,730
1,816
6,637

4,229
16,267
18,389
49,388
125,034
136,773
14,987
17,369
5,888

941
8,890
14,781
19,160
30,480
67,770
74,134
23,880
10,825
7,172

941
6,026
8,056
12,045
9,092
26,196
4,895
12,278
1,612
5,500

2,865
6,725
7,116
21,387
41,574
69,239
11,602
9,213
1,672

43
108
67
103
93
162
89
50
38
53

272
934
905
4,902
17,603
17,234
1,479
1,076
72

1
1
1
5
3
4
4
2
3
2

5,487
12,483
1,383
10,637
18,540
5,671
6,366
5,276
6,752
24,469

899

4,588
12,483
1,383
10,637
18,540
5,671
6,366
5,276
6,752
24,469

1,915
5,695
347
7,040
10,674
5,475
5,513
3,408
3,170
18,262

456

1,459
5,695
347
7,040
10,674
5,475
5,513
3,408
3,170
18,262

1,503
1,768
265
1,724
2,990
2,552
3,986
1,885
1,369
5,017

404

2
1
1

1,811
17,790
15,197
2,338
9,570
3,074
11,185

8,080
5,465
2,338
4,363
3,074
11,185

1,811
9,710
9,732

998
11,953
11,329
1,163
8,240
2,595
6,955

6,503
4,702
1,163
4,156
2,595
6,955

998
5,450
6,628
4,084

913
6,784
3,333
1,031
3,027
1,844
4,799

38,347
83,370
89,949
155,284
198,704
242,391
201,468
170,119
272,328

29,695
65,512
56,777
69,638
59,497
63,752
11,185
61,171

6,418
17,759
20,975
49,182
64,252
103,044
84,429
96,713
159,418

4,947
13,920
12,462
22,394
15,435
26,907
6,955
32,644

1,471
3,839
8,513
26,788
48,817
76,138
77,474
64,068
159,418

Y ear8
1934
.. •
1935.............................................
1936.............................................
1937.............................................
1938.............................................
1939.............................................
1940.............................................
1941.............................................
1942.............................................
1943.............................................

9
25
69
75
74
60
43
15
20
5

9
24
42
50
50
32
19
8
6
4

1
27
25
24
28
24
7
14
1

1944.............................................
1945
1946
1947
1948
.............
1949
1950
1951
1952
1953

2
1
1
5
3
4
4
2
3
2

1

wO U jvvv y U v /jVv
^ tv v
v jVV v

Federal Reserve Bank of St. Louis

83
86
36
30
12
8
1
2

1
1

1

24
23
23
35
33
25
12
3
4

...........

6,207

8,652
17,858
33,172
85,646
139,207
178,639
190,283
108,948
272,328

4,999
12,906
14,588
32,525
33,996
53,324
31,083
45,747
73,653

4,438
2,795
1,031
2,797
1,844
4,799
4,309
11,554
10,223
17,668
11,817
18,702
4,799
25,676

1,099
1,768
265
1,724
2,990
2,552
3,986
1,885
1,369
5,017
913
2,346
538
230

691
1,352
4,365
14,857
22,179
34,622
26,284
20,070
73,653

9

106
84
20
37
48
40
88
209
147
261
118
204
40
84

37
96
11
335
200
166
522
127
195
428
140
664
51
24

154
173
583
2,115
3,316
5,518
5,490
5,404
24,720

F D R L D P S IN U A C CO RATIO
EEA
E O IT S R N E
RPO
N

1,151

306,941
370,762
774,257

107
109
59
65
45
33
13
5
4

tion
cases7

198,074

53
16
113

Banks with deposits of—
$100,000 or less........................
$100,000 to $250,000..............
$250,000 to $500,000..............
$500,000 to $1,000,000..........
$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. .
< oc non nnn to
g
http://fraser.stlouisfed.org/ non (inn • .
tU

Deposit

104,748

24
7
227

4
1
1
3
3
1

Deposit
payoff
cases5

302,822

77
23
340

2
5
2
1
4
3
1

Deposit
assump=
tion
cases6

466,527

Class of bank
National banks.........................
State banks members F. R. S.
Banks not members F. R . S ..

.....

payoff
cases4

Total

135,664

182 1,451,960

1954
1955
....................................
1956.............................................
1957
1958.............................................
1959
....
iQfin
... .

eases3

Deposit
payoff
cases

Advances and
expenses2

602,191

258

..........

Total

Deposit
assump­
tion
cases

417,227 1,034,733

440

All b anks......................................

Deposit
payoff
cases

Deposit
assump-

State
Alabama
Arkansas. . . .
California. . .
Colorado
Connecticut.

3

7,905
4,434
7,516

794
3,529
4,347

2

5,379

5,379

2

448
7,773
2,451
5,372
12,549

6

2

10

1

10

7,111
905
3,169

2,285
1,764
4,792

217
998
1,894
1,637
3,932

5,517
1,234
8,888
1,652
5,450

498
539
3,953
1,652

4,566
3,019
13,532
818
334

828

6,053
215
1,041
83,128

Iowa..........
Kansas
Kentucky.
Louisiana..
Maine. . . .

6
9
23
3
1

13,665
5,145
36,139
6,087
9,710

1,676
2,254
18,490
6,087

5

6,643

8
5
3

22,567
9,046
31,663
2.650
1.651

Missouri..............
Montana.............
Nebraska............
New Hampshire.
New Jersey........

47
5
5
1
39

35,961
1,500
2,661
1,780
522,564

27,792
849
2,661

8,169
651

103,798

1,780
418,766

8,086
1,095
1,041
296
194,630

New York...........
North Carolina.
North Dakota. .
Ohio.....................
Oklahoma...........

26
7
29
4
9

269,621
10,408
14,103
13,751
21,980

28,440
3,677
6,760
7,585
17,059

241,181
6,731
7,343
6,166
4,921

145,439
3,266
3,830
7,223
11,326

2

3,439
166,894
1,848
12,515
12,358

1,230
43,828
403
11,412
9,993

2,209
123,066
1,445
1,103
2,365

31,501
11,057
26,041
4,179
8,346

29,973
8,687
2,964

26,898
3,212

18,739

Maryland.........
Massachusetts.
Michigan..........
Minnesota........
Mississippi

Oregon...............
Pennsylvania. .
South Carolina.
South Dakota..
Tennessee.........
Texas...............
Vermont.........
Virginia...........
Washington...
West Virginia.
Wisconsin.
Wyoming.

2
18

2

29

2
23

12
23
3

20

1,194
613
37,919
17,457
11,989
2,891
17,649
9,710

"

’ 928
2.650
1.651

15,924
9,046
30,735

94
841

995
144
861

1
8

1,242

25,684
9,662

300
915
1,493
9,224
6,197

203
846
1,493
1,242
3,096

7,982
3,101

3
15
29
30
39

5.018
694
4,934

1,456
974
5,455

385
482
3,329

1,071
492
2,126

5
44

668

668

‘ 5,450

159
818
334

8

1,242

2,346

3,738
3.019
13,372

3,109
1,564
6,290
640
257

274

2,033
880

(9)

6

139
640
257

13
33
791
384
113
72
197

10

2,346
735

91
48
138

8

97
69

664

2,374
1,564
6,150

9
2

371
1,030
759

17
5

5,012
186
796

646
453

296
161,502

5,658
640
796
117
82,126

26,468

13,286
1,421
1,552
2,345
8,614

132,153
1,845
2,278
4,877
2,712

67,872
2,387
2,657
2,097
7,243

2,670
75.756
849
2,987
1,942

1,368
14,340
136
2,862
1,620

1,302
61,416
714
126
322

1,528
2,370
23,077
4,179

12,415
3,725
10.756
1,538
2,006

11,729
3,375
629

8,159
3,212

9,512
2,033

8,346

34

2 ,1 2 0
8

85

77

6
20

21

117
55,657

161

20,154

10,836
1,156
1,397
1,610
5,932

57,037
1,231
1,259
488
1,311

32
23
24
7
84

10,847
179
203
38
104

1,948
51,291
274
2,412
1,278

986
10,133
136
2,388
1,164

962
41,159
138
23
114

11

75

81
9,521

26
28

9
25

350
10,127
1,538

8,697
3,445
4,908
935
1,458

8,404
3,259
511

293
186
4,396
935

211
21
8

3,545
2,033

7,188

5,096

2,092

54

' 2,006

1,458

202

8

(9)

10

44
22

505
512

11

202

391
19

Note: Due to rounding differences, components may not add to total.
1 Adjusted to December 31, 1960.
anothSX
^sureS
d$bankth° USand ° f non"recoverabIe insurance expenses in cases which were resolved without payment of claims or a disbursement to facilitate assumption of deposits by
3 Number of deposit accounts.
4 Includes estimated additional disbursements in active cases.
«
uXCess co^ecti°ns turned over to banks as additional purchase price at termination of liquidation.
7 f
i j dlsbJirsements are not recoverable by the Corporation; they consist almost wholly of field payoff expenses.
6S advances to Protect assets and liquidation expenses of $47,262 thousand, all of which have been fully recovered by the Corporation, and $ 2 1 2 thousand of non-recoverable

expt3I136S#

• Less than1
|500tOtalS f° F 6aCh yGEr related to cases occurring during that year and may thus contain some amounts disbursed in subsequent years.




D IS B U R S E M E N T S

20

1,642
8,386
2,451
43,291
30,006

1,089
984
2,981

INSURANCE

491
1,087
1,894
27,321
13,593

8

2,185
596
1,078

DEPOSIT

1,526

Florida..
Georgia.
Idaho.. .
Illinois. .
Indiana.

9

100
1,168
3,714
8
1,526

00

co

00
T a b le 120.

ank

R

D

e q u ir in g

Name and location

by

the-

Federal 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

Date of closing

First payment to
depositors

Disburse­
ment2

Receiver

NM

11,201

July 29, 1960

August 8, 1960

$4,798,815

Federal Deposit Insurance
Corporation

U. S. Gov­
ernment
obligations

Other
securities

Loans,
discounts,
and
overdrafts

Banking
house,
furniture &
fixtures

$1,169,089

$732,133

$573,860

$3,327,590

$85,809

Other
real
estate

Other
assets4

Total

Deposits

Other
liabilities

Capital
stock

Other
capital
accounts

$1,617,121

$7,505,602

$6,955,025

$2,996

$200,000

$347,581

1 At date of closing.
2 To December 31, i960, plus estimated additional disbursements.
8 As determined by FDIC agents after adjustment of books of bank for liabilities or overdrafts discovered subsequent to closing.
4 Includes shortage account of $1,541,625 in cash and securities due to irregularities attributed to officers.
Back figures, 198U-1959: Annual Report for 1954, Table 119, p. 168; Annual Report for 1958, Table 122, p. 226; Annual Report for 1959, Table 122, p. 174.




CO R PO R ATIO N

Cash and
due from
banks

INSURANCE

Liabilities and capital accounts3

DEPOSIT

Deposit
payoff
260

1960

Number of
depositors1

Assets*
Case
number

u r in g

Class of
bank

The Capitol Hill State Bank
Oklahoma City, Oklahoma

Deposit
payoff
260

is b u r s e m e n t

FEDERAL

Case
number

Insured B

Table 121.

R e c o v e r ie s and L osses b y 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 tio n on

P r i n c i p a l D is b u r s e m e n t s f o r P r o t e c t i o n o f D e p o s i t o r s ,
(Amounts in thousands of dollars)
Liquidation
status and
year of de­
posit payoff
or
deposit
assumption

All cases

Number
of
banks

Principal
disburse­
ments

1934-1960

Deposit payoff cases

Re­
coveries Estimated
to Dec. additional
31, I9601 recoveries

Losses2

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

4 0 30 22 2 8,4
4
2,8
6 73

63
,2 1

Status
Active..............
Terminated. . .

80
410

100,950
201,872

87,820
180,652

6,231

Year
1934.............
1935.............
1936.............
1937.............
1938.............

9
25
69
75
74

941
8,890
14,781
19,160
30,480

734
6,161
12,326
15,611
28,055

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

60
43
15
20
5

67,770
74,134
23,880
10,825
7,172

60,607
70,179
23,288
10,137
7,048

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

2
1
1
5
3

1,503
1,768
265
1,724
2,990

1,462
1,768
265
1,573
2,349

1949.............
1950.............
1951.............
1952.............
1953.............

4
4
2
3
2

2,552
3,986
1,885
1,369
5,017

2,183
2,593
1,792
574
5,017

1954.............
1955.............
1956.............
1957.............
1958.............

2
5
2
1
4

913
6,784
3,333
1,031
3,027

647
6,441
2,622
1,031
2,652

4
103
392
298

77

1959.............
I960.............

3
1

1,844
4,799

1,358

281
4,799

205

157

Re­
coveries
to Dec.
31,1960

Estimated
additional
recoveries

Losses2

Number
of
banks

Re­
Principal coveries Estimated
disburse­
to Dec. additional
ments4 31, I9601 recoveries

28 14 4
5
0 ,7 8

8 ,228
4

5,504

1 ,0 6
51

12 1 8 7 1 4 4
8
9 ,0 4 8 ,2 5

77
2

1 ,1 2
30

21,220

11
247

15,893
88,855

9,612
74,616

5,504

777
14,239

19
163

85,057
113,017

78,208
106,037

727

6,122
6,980

207
2,707
2,455
3,550
2,425

24
42
50
50

941
6,026
8,056
12,045
9,092

734
4,274
6,595
9,520
7,908

207
1,751
1,460
2,524
1,184

1
27
25
24

2,865
6,725
7,116
21,387

1,887
5,730
6,090
20,147

956
995
1,025
1,241

26,196
4,895
12,278
1,612
5,500

20,399
4,313
12,065
1,320
5,376

5,798
582
213
292
123

28
24
7
14
1

41,574
69,239
11,602
9,213
1,672

40,209
65,866
11,223
8,816
1,672

1,357
3,216
379
396

404

363

40

1
1
1
5
3

1,099
1,768
265
1,724
2,990

1,099
1,768
265
1,573
2,349

4
4

2,552
3,986
1,885
1,369
5,017

2,183
2,593
1,792
574
5,017

913
2,346
538

647
2,346

230

35

6,898

7,155
3,798
592
688
123
40

67

Principal
disburse
ments*

32
19
8

6

4

84
641
369
1,383
5
793

2
3

2
263
240
319

2

4,438
2,795
1,031
2,797

4,095
2,259
1,031
2,617

103
217

1,844
4,799

1,358

281
4,799

240
319

104

1
1

84
641
1,383
5
793
4

D P S IN U A C D
E O IT S R N E ISBU
RSEM TS
EN

22

2 ,1 8
81

Number
of
banks

Deposit assumption

263

’ 175
’ 195

205
00

Note: Due to rounding differences, components may not add to total.
1 Excludes in deposit assumption cases recovery of all advances for asset protection, totaling $32,849 thousand, and of all liquidation expenses totaling $14,413 thousand.
2 Includes estimated losses in active cases. Not adjusted for interest or allowable return, which was collected in some cases in which the disbursement was fully recovered.
3 Includes estimated additional disbursements in active cases.
4 Excludes excess collections turned over to banks as additional purchase price at termination of liquidation.










INDEX




I n d e x

Page
Absorptions:
Concentration, in relation to............................................................................ 34, 37-38
Of insured banks requiring disbursements by the Corporation. See
Banks in financial difficulties.
Of operating banks, May 13 to December 31, 1960............................... 10, 112-125
Of operating banks, 1936-1960....................................................................13, 182-183
Regulation of.................................................................................................10, 14, 65-66
Admission of banks to insurance:
Applications for, 1946-1960....................................... , .........................................

7-9

Different methods followed...................................................................................

7

Number of banks admitted, by class of bank, 1960...................................... 126-127
American Banker, The...................................................................................................

50n

American Institute of Banking.....................................................................................

16

Applications from banks................................................................................................

7-11

Areas outside continental United States, banks and branches located in:
Assets and liabilities, December 31, 1960........................................................ 144-145
Deposits, December 31, 1960............................................................ 136-137, 144-145
Earnings, expenses, profits, and dividends, 1960............................................166-167
Number, December 31, 1960.....................................................................128, 135-137
Assessments for deposit insurance. See Federal Deposit Insurance Corporation.
Assets and liabilities of closed banks. See Banks in financial difficulties.
Assets and liabilities of entire banking and currency system, 1957-1960.......... 97-99
Assets, liabilities, and capital of banks (see also Deposits):
All banks:
Amounts by type and supervisory status, December 31, 1960............. 91-94
By FDIC district and State, December 31, 1960.................................. 144-145
In banks grouped according to insurance status and type of bank,
June 15 and December 31, 1960............................................................140-143
Percentage changes, each year, 1958-1960................................................ 97-98
Commercial banks, June 15 and December 31, 1960.................................... 140-143
Insured banks, December 31, 1959, June 15 and December 31, 1960. . . . 146-149




189

190

FEDERAL DEPOSIT INSURANCE CORPORATION

Page
Insured commercial banks:
Amount,

December

31,

1959,

June

15

and

December

31,

1960............................................................................................ 140-143, 146-149
Average for each year, 1952-1960................................................................
155
Average for 1960, by class of bank.............................................................

159

Average for 1960, by State............................................167, 169, 171, 173, 175
Percentage distributions, average for each year, 1952-1960..................

157

Percentage distributions, average for 1960, by class of bank................

161

Percentage distributions, December 31, 1959, June 15 and Decem­
ber 31, 1960..................................................................................................

147

Percentage distributions of totals among size groups of banks, 1960..

107

Ratio of selected items to total assets, by size of bank, December
31, 1960...................................................................................................... 150-151
Insured mutual savings banks:
Amount, December 31, 1959, June 15 and December 31, 1960........ 146-149
Major categories, average, 1952-1960.........................................................

177

Percentage distributions, 1952-1960............................................................

179

Mutual savings banks, June 15 and December 31, 1960.............................. 140-143
Noninsured banks, June 15 and December 31, 1960..................................... 140-143
Sources of data........................................................................................................13, 139
State legislation........................................................................................................ 85-86
Assets and liabilities of the Federal Deposit Insurance Corporation...............16-17, 23
Assets pledged to secure bank obligations..................................................................

149

Assets purchased by the Federal Deposit Insurance Corporation from banks
in financial difficulties. See Banks in financial difficulties.
Assumption of deposits of insured banks with financial aid of the Corporation
(see also Banks in financial difficulties).......................................5-6, 182-185
Audit of the Federal Deposit Insurance Corporation.............................................. 21-24
Bad-debt reserves. See Valuation reserves.
Bank supervision. See Supervision of banks; Examination of insured banks.
Banking offices, number of. See Number of banks and branches.
Banking practices. See Unsafe and unsound banking practices.
Banks, applications from, acted on by the Federal Deposit Insurance
Corporation..................................................................................................

7-11

Banks in financial difficulties:
Insured banks requiring disbursements by the Corporation:
Assets and liabilities of, 1960........................................................................

184

Deposit size o f..................................................................................................4, 182
Deposits protected, 1934-1960......................................................... 4-6, 182-184
Disbursements by the Corporation, 1934-1960...................4-7, 24n, 181-185




IN D E X

191

Page
Loans made and assets purchased by the Corporation...........................

6

Location by State, 1934-1960........................................................................ 4, 183
Losses incurred by the Corporation..........................................................6-7, 185
Losses incurred by depositors.......................................................................

5-6

Name and location of, 1960.......................................................................... 4, 184
Number of, 1934-1960....................................................................................

5-6

Number of deposit accounts, 1934-1960............................................ 5, 182-184
Recoveries by the Corporation on assets acquired, 1934-1960.............. 6, 185
Sources of data.........................................................................................................

181

Suspensions, 1921-1959........................................................................................... 31-38
Suspensions of noninsured banks, 1934-1960................................................. 126, 181
Banks, number of. See Number of banks and branches.
Banks operating branches. See Number of banks and branches.
Board of Directors of the Federal Deposit Insurance Corporation. See Federal
Deposit Insurance Corporation.
Board of Governors of the Federal Reserve System........ 10, 29n, 35n, 52n, 139, 153
Branches {see also Number of banks and branches):
Establishment approved by Federal Deposit Insurance Corporation, 1960.

8-9

Examination of, 1959 and 1960............................................................................

12

Increase, branches of all banks, 1959-1960.................................................94-95, 126
Bureau of the Budget....................................................................................... 46n, 57n, 103n
Bureau of the Census....................................................................................... 29n, 30n, 96n
Business and personal deposits. See Deposits (items referring to type of
account).

Call reports. See Assets, liabilities, and capital of banks; Reports from banks.
Capital of banks. See Assets and liabilities of entire banking and currency
system; Assets, liabilities, and capital of banks; Banks in financial
difficulties; Earnings and expenses of insured commercial banks;
Examination of insured banks.
Charge-offs by banks. See Earnings and expenses of insured commercial banks;
Earnings and expenses of insured mutual savings banks; Valuation
reserves.
Class of bank, banking data presented by:
Admissions to and terminations of insurance..................................................126-127
Assets and liabilities of all banks......................................................................... 92-94
Earnings of insured commercial banks, 1960.................................................. 158-159
Insured banks requiring disbursements by the Corporation, 1934-1960..

182

Insured bank requiring disbursements by the Corporation, 1960.................

184

Number of banks and banking offices, 1960....................................................126-135




FEDERAL DEPOSIT INSURANCE CORPORATION

192

Page
Ratios of earnings of insured commercial banks, 1960..................................160-161
Classification of banks.................................................................................... 91-94, 110-111
Closed banks. See Banks in financial difficulties.
Commercial banks. See Assets, liabilities, and capital of banks; Deposits;
Earnings and expenses of insured commercial banks; Number
of banks and branches.
Concentration in banking:
By State and metropolitan areas......................................................................... .52-58
Competition, in relation to ......................................................................................59-61
Group banking, in relation to .................................................................................50-52
Size of bank, in relation to.................................................................................... ..49-51
Comptroller General of the United States.................................................................

22

Comptroller of the Currency............................................................ 11, 91, 93-94, 139, 153
Consolidations. See Absorptions.
Coverage of deposit insurance, banks participating.........................3-4, 91-92, 126-137
Credit, bank. See Assets, liabilities, and capital of banks.
Demand deposits. See Assets, liabilities, and capital of banks; Deposits
(items referring to type of account).
Deposit insurance fund, adequacy of.......................................

..

24n

Deposits:
All banks:
By insurance status of bank and type of account, December 31, 1960.

143

By insurance status of bank and type of account, June 15, 1960. . . .

141

By supervisory status and insurance status, December 31, 1960. . . .

93

By type of account in each State and FDIC district, December 31,
1960..............................................................................................................144-145
By type of bank and insurance status, December 31, 1960...............

93

By type of bank in each State and FDIC district, December 31,
1960..............................................................................................................136-137
Percentage change, 1958-1960.....................................................................

97

All insured banks:
By type of account, December 31, 1960....................................................

143

By type of account, December 31, 1959, June 15 and December 31,
1960................................................................................................................

148

Ratios of deposit insurance fund to, 1934-1960......................................19, 24n
Commercial banks:
By FDIC district and State, December 31, 1960.................................. 136-137
By type of account, December 31, 1960....................................................

143

By type of account, June 15, 1960..............................................................

141

Percentage held, classified by bank size, State, and metropolitan area. . 99-104




INDEX

193

Page
Insured banks requiring disbursements by the Corporation. See Banks in
financial difficulties.
Insured commercial banks:
Amount, by type of account, December 31, 1959, June 15 and Decem­
ber 31, 1960..................................................................................................

148

Percentage distributions of selected totals among size groups of
banks, 1960...................................................................................................

107

Insured mutual savings banks:
By FDIC district and State, December 31, 1960.................................. 136-137
By type of account, December 31, 1959, June 15 and December 31,
1960................................................................................................................

148

Interest and dividends on, 1960...................................................................

108

Mutual savings banks:
By FDIC district and State, December 31, 1960.................................. 136-137
By type of account, June 15 and December 31, 1960...........................141-143
Noninsured banks:
By FDIC district and State, December 31, 1960.................................. 136-137
By type of account and type of bank, June 15 and December 31,
1960.............................................................................................................141, 143
Sources of data.........................................................................................................

139

State legislation........................................................................................................

86

Deposits, insured by FDIC, December 31, 1934-1960............................................

21

Deposits in the largest commercial banks, selected years, classified by:
Continental United States................................................................................ 49-52, 99
Selected metropolitan areas and character of branch system___ 53, 56-58, 100-104
State and character of branch system....................................................52-55, 99-101
Directors of the Federal Deposit Insurance Corporation. See Federal Deposit
Insurance Corporation.
Disbursements. See Banks in financial difficulties.
Dividends:
To depositors in insured mutual savings banks.................... 107-108, 176, 178-179
To stockholders of insured commercial banks. See Earnings and expenses
of insured commercial banks.

Earnings and expenses of insured commercial banks:
Amounts of principal components:
Annually, 1952-1960..................................................................................... 154-155
By class of bank, 1960................................................................................. 158-159
By size of bank, 1960...................................................................................162-163
By State, 1960............................................................................................... 166-175
Charge-offs and recoveries, 1958-1960.............................................105-106, 154-155
Income, sources and disposition of total, 1958-1960..................................... 105-106




FEDERAL DEPOSIT INSURANCE CORPORATION

194

Page
Profits, 1960.......................................................................................................... 106, 155
Rates of income on assets, 1952-1960.............................................................. 156-157
Rate of net profit on total capital accounts, 1960..................... 106, 156, 161, 165
Ratios of earnings items:
Annually, 1952-1960..................................................................................... 156-157
By class of bank, 1960................................................................................. 160-161
By size of bank..............................................................................................164-165
Ratios of expense items.................................................... 156-157, 160-161, 164-165
Sources of data.........................................................................................................

153

Earnings and expenses of insured mutual savings banks:
Amounts of principal components, 1952-1960.................................................176-177
Income, sources and disposition of total, 1958-1960.......................................

107

Rates of income on assets, 1952-1960.................................................................

179

Ratios of earnings items.......................................................................................178-179
Ratios of expense items........................................................................................178-179
Sources of data.........................................................................................................

153

Educational program for bank examiners. See Federal Deposit Insurance
Corporation.
Employees:
Federal Deposit Insurance Corporation.............................................................

15-16

Insured commercial banks:
Number and compensation, 1952-1960.....................................................154-155
Number and compensation, by class of bank, by size of bank, and
by State, 1960........................................................ 158-159, 162-163, 166-175
Insured mutual savings banks, number and compensation, 1952-1960.. 176-177
State legislation........................................................................................................ 84-87
Examination of insured banks:
Bants

examined

by

the

Federal

Deposit

Insurance

Corporation,

1959-1960...........................................................................................11-12, 91-92
Examination staff....................................................................................................

vi

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..............................................7-14, 36, 65-84, 91-94
Federal Deposit Insurance Act (see also Legislation relating to deposit insurance
and banking).....................................................................iii, 10, 14, 20n, 65-72
Federal Deposit Insurance Corporation:
Assessments on insured banks.............................................................14, 17-20, 66-84




INDEX

195

Page
Assets and liabilities.......................................................................................... 16-17, 23
Audit.......................................................................................................................... 21-24
Banks examined by, and submitting reports to.......................................... 11-13, 91
Board of Directors, actions on applications and banking practices..........

7-13

Borrowing power.................................................................................................. 17n, 24n
Capital stock............................................................................................................

17n

Coverage of deposit insurance...................................................... 3-4, 91-94, 128-137
Deposit insurance fund (surplus)............................................... 16-18, 20-21, 23-24n
Directors (members of the Board).................................................................... iv-v, IS
Disbursements for protection of deposits. See Banks in financial difficulties.
Districts..................................................................................................................... vi-vii
Divisions.................................................................................................................iv-v, 15
Educational program for bank examiners..........................................................

16

Employees................................................................................................................. 15-16
Examination of banks. See Examination of insured banks.
Expenses. See Income and expenses.
Financial statements..................................................................................17, 20, 23-24
Income and expenses..........................................................................................17-21, 24
Insured banks requiring disbursements by. See Banks in financial
difficulties.
Liabilities............................................................................................................. 16-17, 23
Loans to and purchase of assets from insured banks. See Banks in financial
difficulties.
Losses incurred, 1934-1960. See Banks in financial difficulties.
Methods of protecting depositors. See Banks in financial difficulties.
Organization and staff..................................................................................iv-vi, 14-15
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................................................................................................

13

Reserve for losses on assets acquired..................................................................

17-18

Retirement of capital stock of the Corporation................................................

17n

Rules and regulations........................................................................................14, 72-84
Supervisory activities.......................................................................................... 7-11, 91
Federal Deposit Insurance Corporation districts, banking data classified by:
All banks:
Assets and liabilities, December 31, 1960..................................................

144

Number and deposits, by type of bank, December 31, 1960.................

136

Federal Reserve System. See Board of Governors of the Federal Reserve System.
General Accounting Office.............................................................................................
Government deposits. See Assets and liabilities of entire banking and currency
system; Deposits (items referring to type of account).




21

FEDERAL DEPOSIT INSURANCE CORPORATION

196

Page
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.......................................................................................

3-7

Insurance status, banks classified by:
Assets and liabilities, December 31, 1959, June 15 and December 31,
1960................................................................................ 92-93, 140-143, 146-149
Changes in number, 1960.................................................................................... 126-127
Deposits, June 15 and December 31, 1960................................... 136-137, 141, 143
Number, December 31, 1960....................................................................... 91, 136-137
Percentage of banks insured, by State, December 31, 1960....................3, 128-135
Insured banks. See Assets, liabilities, and capital of banks; Banks in financial
difficulties; Deposits; Earnings and expenses of insured commercial
banks; Earnings and expenses of insured mutual savings banks;
Number of 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; Coverage of deposit
insurance, banks participating.
Insured State banks members of the Federal Reserve System. See Class of bank,
banking data presented by.
Interagency Bank Examination School......................................................................

16

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.
Investments. See Assets and liabilities of entire banking and currency system;
Assets, liabilities, and capital of 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 1960................................................................................... 14, 65-72
State, enacted in 1960....................................................................................... 14, 84-87
Loans. See Assets and liabilities of entire banking and currency system; Assets,
liabilities, and capital of banks; Banks in financial difficulties.




IN D E X

197

Page
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
Insurance Corporation; Banks in financial difficulties.
Provision for, in insured banks, 1952-1960..................................... 154-155, 176-177

Mergers. See Absorptions.
Methods of tabulating banking data:
Assets and liabilities of banks...............................................................................

139

Deposit insurance disbursements.........................................................................

181

Earnings, expenses, and dividends of insured banks.......................................

153

Number, offices, and deposits of banks............................................................ 110-111
Metropolitan areas, banking data classified by. See Number of banks and
branches.
Mutual savings banks. See Assets, liabilities, and capital of banks; Deposits;
Earnings and expenses of insured mutual savings banks; Number
of 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.
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 banks and branches.
Noninsured banks. See Absorptions; Admission of banks to insurance; Assets,
liabilities, and capital of banks; Banks in financial difficulties;
Classification of banks; Class of bank, banking data presented by;
Deposits; Number of banks and branches; Reports from banks.
Number of banks and branches:
Banking offices (banks and branches):
Analysis of changes in, 1921-1959............................................................... 31-46
Competition, in relation to ........................................................................... 59-61
By character of branch system, State, and population per office,
December 31, 1960......................................................................................

101

By insurance status, type of bank, and State, December 31, 1960... 126-135
By metropolitan areas and population per office, June 15, 1960........100, 104




FEDERAL DEPOSIT INSURANCE CORPORATION

198

Page
By status of branch banking in States and metropolitan areas. . . . 46, 101-104
By number of offices in center in which located, and population of
center, June 30, 1958.................................................................................. 47-48
Change, each year, 1859-1959..................................................................27-29, 33
Percentage change by State, selected periods...........................................

44

Population per banking office:
Entire United States..........................................................................28-31, 96
Metropolitan areas...............................................................................100, 104
States............................................................................................40-43, 99-101
Banks:
Population per bank...................................................................29-30, 42, 96, 101
By insurance status and type of bank, December 31, 1960............... 126, 143
By insurance status and type of bank, June 15, 1960............................

141

By insurance status, type of bank, and State, December 31, 1960. .128-135
By insurance status, type of bank, FDIC district and State,
December 31, 1960................................................................................... 136-137
By State, selected years......................................................... 40-41, 101, 128-137
Concentration of services.............................................................................. 49-61
Changes during 1960, by type of bank................................................94-95, 126
Operating branches, by insurance status and State, December 31,
1960..............................................................................................................128-135
Branches:
Banking concentration, in relation to....................................... 39-40, 46, 52-58
By insurance status, type of bank, and State, December 31, 1960. .127-135
By metropolitan areas, June 15, 1960...................................................... 102-103
By State, selected years......................................................... 40-41, 101, 128-135
By status of branch banking in metropolitan and other areas, 1920
and 1958.......................................................................................................

45-47

Changes in, 1920-1960............................................33-34, 38-40, 43, 46, 95, 127
Number of, 1900-1960..................................................................29-30, 46, 95-96
Insured commercial banks:
December 31, 1952-1960.............................................................................155, 157
December 31, 1960, by class, deposit size of bank, or State.................
................................................................... 91, 159, 163, 167, 169, 171, 173, 175
Distributed by capital ratios and distribution of assets, December 31,
1960..............................................................................................................150-151
Insured mutual savings banks, December 31, 1952-1960............................ 177, 179
Mutual savings banks, December 31, 1960......................................91, 126, 128-135
Noninsured banks, December 31, 1960.................................... 3-4, 91, 126-137, 181
Trust companies, December 31, 1960........................................... 4, 91, 126, 128-135
Unit banks, by insurance status and State, December 31, 1960.......... 91, 128-135
Obligations of banks. See Assets, liabilities, and capital of banks; Deposits.
Officers of insured banks. See Employees.




INDEX

199

Page
Officers of the Federal Deposit Insurance Corporation........................................ v-vi, 15
Operating banks. See Number of banks and branches.

Payments to depositors in closed insured banks. See Banks in financial
difficulties.
Personnel. See Employees.
Population per bank, 1859-1960.................................................................29-30, 40-42, 96
Population per banking office, 1900-1960 ....................................................... 29-30, 42, 96
Population per bank and per banking office, selected years, by State................ 42, 101
Population per commercial banking office, 65 metropolitan areas, June 15,
1960..............................................................................................................102-103
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.
Reports from banks.........................................................................................................

13

Reserves:
Of Federal Deposit Insurance Corporation, for losses on assets acquired.. 17-18
Of insured banks for losses on assets. See Valuation reserves.
With Federal Reserve banks. See Assets, liabilities, and capital of banks.

Salaries and wages:
Federal Deposit Insurance Corporation.................................................. 18-19, 23-24
Insured banks. See Earnings and expenses of insured commercial banks;
Earnings and expenses of insured mutual savings banks.
Savings and time deposits. See Deposits (items referring to type of account).
Securities. See Assets and liabilities of entire banking and currency system;
Assets, liabilities, and capital of banks; Assets and liabilities of
the Federal Deposit Insurance Corporation; Banks in financial
difficulties.




200

FEDERAL DEPOSIT INSURANCE CORPORATION

Page
Size of bank, data for banks classified by amount of deposits:
Assets and liabilities, insured commercial banks, 1960...................................

163

Banks requiring disbursements by the Corporation, 1934-1960....................

182

Disbursements for protection of depositors, 1934-1960...................................

182

Earnings data of insured commercial banks, 1960......................................... 162-163
Earnings ratios of insured commercial banks, 1960.......................................164-165
Number of employees of insured commercial banks, 1960.............................

163

Number of insured commercial banks, 1960................................................... 163, 165
Number of insured commercial banks grouped by ratios of selected items
to assets, December 31, 1960................................................................. 150-151
Percentages of selected totals, insured commercial banks, 1960................. 106-107
State bank supervisory authorities:
Data obtained from.................................................................................................

139

Number of banks supervised by ............................................................... 3-4, 7, 91-92
State legislation regarding.....................................................................................

84

State, banking data classified by:
Analysis of changes in the number of banks and banking offices, selected
years............................................................................................. 8, 40-46, 99-101
Assets and liabilities of banks, December 31, 1960........................................144-145
Deposits in the largest commercial banks, selected years............................... 52-53
Deposits of banks, by class of bank, December 31, 1960............................. 136-137
Disbursements, deposits, and depositors in insured banks requiring
disbursements by the Corporation, 1934-1960.....................................

183

Earnings and expenses of insured commercial banks, 1960..........................166-175
Number of banks and banking offices, selected years..................................... 41, 101
Number of banks and branches, by class of bank and type of office,
December 31, 1960....................................................................................128-137
Percentage of banks insured, December 31, 1960..................................... 3, 128-135
Percentage of deposits in the largest commercial banks.................. 50-58, 101-103
Status of branch banking and locational requirements for branches...........

45

State banking legislation enacted in 1960............................................................. 14, 84-87
State banks members of the Federal Reserve System. See Class of bank, bank­
ing data presented by.
State banks not members of the Federal Reserve System. See Class of bank,
banking data presented by.
Stockholders of banks, net profits available for. See Earnings and expenses of
insured commercial banks.
Summary of this report..................................................................................................

xv

Supervision of banks (see also Examination of insured banks):
By the Federal Deposit Insurance Corporation......................... vi, 7-11, 91-94
State legislation, 1960............................................................................................. 84-87




INDEX

201

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

12-13

Time and savings deposits. See Deposits (items referring fc type of account).
o
Trust companies, classification of................................................................... 4, 92, 110-111
Trust powers:
Applications for........................................................................................................

8

State legislation.......................................................................................................

85

Unit banks. See Number of banks and branches.
Unsafe and unsound banking practices....................................................................... 12-13

Valuation reserves (see also Assets, liabilities, and capital of banks):
Amounts held, December 31, 1959, June 15 and December 31, 1960..
........................................................................................................... 140, 142, 147
Changes, 1952-1960............................................................................ 154-155, 176-177
Violations of law or regulations, banks charged with. See Unsafe and unsound
banking practices.
Voluntary liquidations.............................................................................................. 32-33, 37