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3^*2.1 C43-2a. v.3 Cop. 2. FEDERAL RESERVE BANK OF CHICAGO THIRD ANNUAL REPORT TO THE FEDERAL RESERVE BOARD DECEMBER 31. 1917 • .•/ • • ' • y .. v • ' •*' • vUX OFFICERS AND DIRECTORS FEDERAL RESERVE BANK OF CHICAGO DISTRICT NO. 7 DIRECTORS W. A. HEATH, CHAIRMAN AND FEDERAL. RESERVE AGENT J. B. FORGAN, CHICAGO, ILLINOIS CHICAGO, ILLINOIS M. B, HUTCHISON, A, H. VOGEL, E. L. JOHNSON, WATERLOO, IOWA JAMES SIMPSON, deputy chairman JOHN W. BLODGETT, OTTUMWA, IOWA MILWAUKEE. WISCONSIN G. M. REYNOLDS, Chicago, Illinois grand rapids, MICHIGAN E. T. MEREDITH, des moines, iowa OFFICERS W. A. HEATH, CHAIRMAN OF THE BOARD AND FEDERAL RESERVE AGENT W. F. McLALLEN, assistant federal RESERVE AGENT AND SECRETARY MARK A, LIES, RESERVE assistant federal AGENT JAS. B. McDOUGAL, governor C. R. MCKAY, DEPUTY GOVERNOR B. G. McCLOUD, cashier S. B. CRAMER, asst, cashier CLARKE WASHBURNE, asst, cashier F. J. CARR, asst, cashier DON A. JONES, asst, cashier F. R. BURGESS, auditor MEMBER FEDERAL ADVISORY COUNCIL J. B. FORGAN, CHICAGO, ILLINOIS COUNSEL C. L. POWELL, Chicago Illinois THSUBRMW to W? AUG 20 & ;JNIV£8&TV OF HUNOlS 1^-2. A <2 4 \) ^ 1 FOREWORD The Federal Reserve Agent submits an Annual Report to the Federal Reserve Board at the close of each year. This report, however, is not given general circulation until after the larger and more comprehensive report of the Federal Reserve Board has been issued. The following pages contain the text of the report for the Seventh Federal Reserve District in practically the same form in which it was submitted to the Federal Reserve Board. The first part of this report is general in its nature and em¬ bodies such discussion and forecast as the Agent deemed himself qualified to offer. The second section, or appendix, is statistical and consists of the following Exhibits: 1. A comparative yearly statement for 1916 and 1917 respectively; 2. A statement of earnings and expenses for 1917; 3. A list of member banks in the Seventh Federal Reserve District to whom permits have been granted for the exercise of trust powers; 4. A list of State member banks in the Seventh Fed¬ eral Reserve District; 5. A statement in detail of the issues of Federal Re¬ serve Notes; 6. A statement of transactions through the Gold Set¬ tlement Fund; 7. A list of the principal committees having in charge the first and second Liberty Loan campaigns; 8. A list of Securities Committees and Custodians for the several states in this District; 9. A statement covering subscriptions to the first Liberty Loan; 10. A statement of subscriptions, allotments, and sub¬ scribers, by states, to the Second Liberty Loan; 11. A statement covering sales of Treasury Certifi¬ cates of Indebtedness; 12. A statement of expenses incurred in connection with the First and Second Liberty Loans and Certificates of Indebtedness. • • / ■ r ’ * . . 19 17 THIRD ANNUAL REPORT TO THE FEDERAL RESERVE BOARD GENERAL BUSINESS CONDITIONS The beginning of 1917 found generally satisfactory busi¬ ness conditions in the Seventh Federal Reserve District, with some indications of increasing activity and a plentiful supply of money at low rates. The entrance of the United States into the war constituted a factor which up to that time had not been taken into serious consideration and necessarily brought about a great deal of readjustment. The promotion of new enterprises was, of course, greatly curtailed and as the year advanced it was increasingly evi¬ dent that expansion of already existing activities should be carefully guarded, except as necessitated by the demands of the Government in connection with carrying on the conflict. Some lines of commercial operation have suffered greatly. The distilling business, because of legislation enacted by the last Congress, has greatly diminished. The Seventh Federal Reserve District has felt this for the reason that a large amount of such business was conducted within its bounds, perhaps the largest internal revenue-producing district in the country being located within its limits. Building, construc¬ tion, and engineering lines have also been very quiet and their operations much reduced. Those lines of business, however, which have been directly affected through Government contracts for food, clothing, munitions, and other supplies have seen greatly increased activity. Bank clearings have increased and indications are that the current year will show largely increased profits for banking institutions in general, except along the line of in¬ vestment banking. Legitimate business, except as above noted, has, of course, felt the effects of the war; but it is 6 THIRD ANNUAL REPORT TO THE becoming increasingly evident that the business public is ad¬ justing itself to the situation and that the people are learn¬ ing that commerce and trade may, notwithstanding such con¬ ditions, be transacted, if not as usual, at least on a sane and conservative basis. Notwithstanding the fact that some of the greatest indus¬ trial centers of this country are located within its borders the District, as a whole, is largely an agricultural one. The rural communities have been the last to appreciate that the country was really and actually in war and to comprehend the serious¬ ness of the situation which confronts the nation. In the northerly States of the District beans, potatoes, and other vegetables constitute this year a large part of the farm product, and these suffered from early frosts. The wheat crop for the district was probably not more than two-thirds of an average yield. The prices for the above-mentioned articles, however, were so satisfactory that the financial re¬ turn will probably equal that of the ordinary one hundred per cent. crop. The hay crop was somewhat below normal but prices were good. The oats crop was the largest on record all over the district and prices were more than satis¬ factory. While the corn crop is rated as the largest on record the quality cannot yet be determined. Much of it is not fully matured owing to unseasonable summer conditions and early frosts. Much of that which is at present unmarketable can, however, by proper handling and treatment be made of com¬ mercial value, but a goodly proportion of the crop is available only for stock feeding purposes, and within the last month or two a very strong demand has arisen in the. country districts for funds for purchasing cattle and hogs to thus utilize this otherwise useless product. Prices are such, however, that notwithstanding the poor quality of much of the crop the re¬ turns will be very satisfactory and all kinds of live stock are selling at high figures. Whatever the complete returns may demonstrate, the im¬ pression is general that money paid out on account of the war is slow in returning to this district; and with the value of our great staple, corn, yet undetermined, it is evident that FEDERAL RESERVE BOARD 7 a comprehensive forecast of conditions in the district might widely miss the mark. Winning the war is the thing upper¬ most in our minds, and to that end, and, until it is accom¬ plished, the Seventh District will be found ready, as it has been, to sacrifice to the utmost of its abundance and of its best blood. OFFICERS AND DIRECTORS An amendment to the Act was passed during the current year abolishing the office of Deputy Federal Reserve Agent and authorizing the Federal Reserve Agent to appoint one or more assistants. Mr. W. F. McLallen, who held the office of Deputy Federal Reserve Agent, was at once appointed “Assistant Federal Reserve Agent” for the remainder of the calendar year. Toward the close of the year Mr. Mark A. Lies was appointed an additional Assistant Federal Reserve Agent. Mr. McLallen was also designated by the Federal Reserve Board Deputy Chairman of the Board of Directors. Additional Assistant Cashiers were appointed during the year as follows: Mr. F. J. Carr, Mr. Clarke Washburne and Mr. D. A. Jones. At the annual election for Directors in December, 1917, Mr. E. L. Johnson was elected to succeed himself for the full three-year term as a Director of Class “A”, Group 3, and Mr. M. B. Hutchison was elected to succeed himself for the full three-year term as a Director of Class “B”, Group 2. On December nineteenth the Federal Reserve Board elected Mr. James Simpson of Chicago Class “C” Director for three years and designated him Deputy Chairman for one year. On December twenty-first the Federal Reserve Board re¬ designated the present incumbent as Chairman and Federal Reserve Agent of the Federal Reserve Bank of Chicago for a period of one year, dating from January 1st, 1918. MEETINGS Directors: The board of Directors has held twelve regular meetings during the year. 8 THIRD ANNUAL REPORT TO THE Committees: First—Executive: The Executive Committee is composed of Governor McDougal, Mr. W. F. McLallen, Mr. J. B. Forgan, Mr. G. M. Reynolds and the Federal Reserve Agent. This Committee has held regular meetings once each week, but the great increase of business toward the close of the year has necessitated two regular meetings each week. Second—Membership: This Committee is composed of Governor McDougal, Mr. A. H. Vogel and the Federal Re¬ serve Agent. ' Officers: Early in the year the plan was inaugurated of holding in¬ formal meetings of the officers daily before business hours. This plan has been followed throughout the year except as it has been interfered with to some extent through unusual activities in connection with the Liberty Loan campaigns and other emergencies. MEMBERSHIP Seven national banks have surrendered their charters dur¬ ing the year, the total reduction of Federal Reserve Bank stock from this source amounting to $45,400.00. Twelve new national banks have been organized during the year. Applications for membership from sixty-three State Banks have been approved during the same period. Of these fifty-one have paid in their capital stock and reserve. Three have paid in their capital only. The remaining nine were approved so recently that their payments could not be made before the first of the year. Fifty-two banks were transferred to this District from the Minneapolis District at the beginning of the year. Member¬ ship December 31, 1916, 993; December 1, 1917, 1,100. The net increase in the stock of the Federal Reserve Bank of Chicago, from all sources, during the year has been $2,408,150. A complete list of State Bank members will be found in the appendix. FEDERAL RESERVE BOARD 9 The prospect for a branch of the Federal Reserve Bank at Detroit, Michigan, has had a stimulating effect on State Bank membership in that City. In November a special session of the Michigan Bankers’ Association was held at Lansing, Michigan, at the instance of the Governor of the State, the Bank Commissioner and the President of the Bankers’ Asso¬ ciation, for the special purpose of arousing interest amongst State Banks concerning membership in the Federal Reserve System. Addresses were made at this session by the abovenamed officials and also by Mr. Frederick R. Fenton, Federal Reserve Chairman for Michigan, and the results were most gratifying as will be seen by the increased membership from that State. The appeal of the President of the United States urging State Banks to join the System has not up to this time met with a generous response. Two or three of the larger State institutions in Chicago, and a few scattering banks throughout the district, came in as a direct result of that appeal. There are, however, ap¬ proximately 2,000 State Banks in the district which are eligible for membership and less than 100 applications all told have been received up to this time. It is nevertheless evident that greater interest in this subject is being mani¬ fested throughout the district than heretofore. Many of the larger State institutions are seriously considering the matter and some of them have signified their intention of applying for membership in the near future. BANKING QUARTERS The Federal Reserve Bank of Chicago has very inadequate quarters, both as to working space and vault capacity. At the present time the bank is occupying space in four different buildings in Chicago. The Executive Committee has been instructed to investigate the question of new and adequate quarters for the bank, but there is nothing available in Chi¬ cago at the present time and no one seems willing to take the responsibility of constructing an entirely new building until after the war is over. 10 THIRD ANNUAL REPORT TO THE BRANCHES The Board of Directors at its regular meeting on Novem¬ ber 27 authorized the establishment of a branch of the Fed¬ eral Reserve Bank of Chicago, to be located in the City of Detroit, Michigan. The following named have been chosen as Directors of said branch: Mr. Robert B. Locke, at present Manager of the De¬ troit Clearing House Association; Mr. John Ballantyne, President of the Merchants’ Na¬ tional Bank, Detroit; Mr. Charles H. Hodges, President, Detroit Lubricator Co., Detroit; Mr. Emory W. Clark, President of the First & Old Detroit National Bank; Mr. Julius H. Haass, President of the Wayne County & Home Savings Bank, Detroit; Mr. Robert B. Locke will be Manager of the branch. It is the expectation that this branch will be formally opened for business shortly after the first of the year. PUBLICITY WORK The publicity work of the bank during the past year has been conducted through personal interviews, correspondence and attendance by the bank’s officers at many bankers’ con¬ ventions and group meetings. The monthly business reports of the bank have been circulated as Bulletins. A special pamphlet on “Trade Acceptances,” has been printed and widely circulated, and Mr. Clarke Washburne, Assistant Cashier, has made a number of informal talks to various trade organizations on that subject. VISIT OF THE GOVERNOR OF THE BANK OF ENGLAND On May 8th, Chicago and the Federal Reserve Bank were honored by a visit from Lord Cunliffe, Governor of the Bank of England. He attended one of the regular meetings of the Board of Directors and expressed himself as greatly inter¬ ested in our methods. 11 FEDERAL RESERVE BOARD OPERATIONS OF THE FEDERAL RESERVE COLLEC¬ TION SYSTEM, JAN. 1, 1917, TO DEC. 31, 1917. 7,532,366 items have been handled during the year as follows: Amount Total Cost Items on banks in Chicago.. 1,807,728 Items on banks in District outside of Chicago. 4,362,436 Items on banks in other districts. 511,438 Government Checks. 850,764 Items $3,985,878,000 $ 7,200.00 7,532,366 Cost per Item $ .004 Cost per $1,000 Service Charge per Item $ .0018 $ .0 987,821,000 ) .0125 .0518 1 187,450,000 202,461,000 1 60,885.87 ) 4,800.00 .0125 .0056 \ . 015 .0518 j .0237 .0 $5,363,610,000 $72,885.87 $ .00967 $ .0136 The disbursements or expenses of the Transit Department made necessary by and in connection with the handling of items drawn on “banks in district outside of Chicago/’ and “items on banks on other districts/’ total $60,885.87, while the net service charges at one and one-half cents per item assessed against the member banks and other Federal Re¬ serve Banks covering same, total $62,449.87, a net profit in handling these two classes of Transit items during the year of $1,564.00. Adding, however, the cost of handling items on banks in Chicago ($7,200) and Government checks ($4,800) it increases the total expenses ($12,000) to a total of $72,885.87, or a net cost for the year in handling the above four classifications of $10,436. The bank has handled a small amount of collections, drafts, notes, etc., for its customers during the year on a basis of actual cost. But one non-member bank carrying an account with the Federal Reserve Bank is making use of its collection system. FEDERAL RESERVE TRANSFER AND EXCHANGE DRAFTS During the year five banks in this district have ordered a supply of Federal Reserve transfer and exchange drafts. But one of the banks is using the plan. Twelve member banks in other districts have drawn Fed¬ eral reserve transfer drafts on this bank. The total trans¬ actions have been small. LIBRARY --->• UNIVERSITY Of IIUN08 12 THIRD ANNUAL REPORT TO THE GOLD SETTLEMENT FUND A complete statement showing the volume of transactions through this fund on a basis of weekly averages appears in the appendix. FEDERAL RESERVE NOTES The Federal Reserve Agent maintains in Chicago con¬ stantly a reserve supply of Federal Reserve Notes amount¬ ing to $41,500,000. There is held in the Sub-treasury in Chi¬ cago an additional reserve supply of Federal Reserve Notes amounting to $26,160,000, and in Washington, printed or in process of printing, in round numbers, $185,000,000, it being the desire of the Board of Directors to keep always in sight a total reserve stock of over $250,000,000. In addition to the above, there are $5,000,000 of Federal Reserve Bank Notes printed and held in stock in Washington. Detail of these issues is given in the appendix. NON-MEMBER BALANCES—CHICAGO CLEARINGS During the summer a plan was agreed upon whereby all non-member banks belonging to the Chicago Clearing House should open accounts with the Federal Reserve Bank, and Clearing House balances be settled by certified check on the Federal Reserve Bank. This plan became operative Septem¬ ber 1st, and seems to have worked to the satisfaction of all concerned. Eleven non-member banks at that time opened accounts with the Federal Reserve Bank. Four of these have since that date entered the Federal Reserve System, leaving seven non-member banks still carrying balances with us. These balances total about $5,000,000, on the average. One of the non-member banks is using the Federal Reserve Col¬ lection System. PERMITS TO ACCEPT UP TO 100% During the current year the Federal Reserve Board has granted to The National Bank of the Republic of Chicago, and the Continental and Commercial National Bank of Chi¬ cago, the right to accept up to one hundred per cent, of their capital and surplus. FEDERAL RESERVE BOARD 13 FIDUCIARY POWERS Permits have been issued during the year to a number of institutions for the exercise of various trust functions which are permitted under the Federal Reserve Act. A detailed list of these permits appears in the appendix. RESERVES Fluctuation in reserves during the year is indicated as fol¬ lows : Against Deposits: Gold.High 81.5% Gold.Low 50.9% Gold and Lawful Money. .. .High 83.2% Gold and Lawful Money.Low 52.2% Against Federal Reserve Notes: Gold. High 157.0% Gold.Low 59.5% Against Combined Note and Deposit Liability: Cash Reserve.High 85.9% Cash Reserve.Low 60.6% on on on on February June February June on January on Nov. 2,1917. 20,1917. 2, 1917. 20, 1917. 2, 1917. 23,1917. on February 2,1917. on Nov. 23, 1917. _ DIVIDENDS AND EARNINGS During the year dividends amounting, in all, to 12 per cent. (12%) have been paid. All dividends accrued to December 31, 1917, are therefore paid in full. Also payment to the U. S. Treasury of its pro-rata of surplus earnings has been made, amounting to $215,799.18. Furniture and fixtures, depreciation on bonds and the cost of Federal Reserve Notes issued to the bank have all been charged off in full. A detailed statement of Profit and Loss appears in the appendix. LOANS AND REDISCOUNT OPERATIONS 3,747 applications for loans and rediscount approved amount¬ ing to $524,377,167.01 at 3% to 5^% basis from 541 banks as follows: Illinois... Indiana.. Iowa. Michigan. Wisconsin 156 88 198 51 48 banks.$287,515,277.88 banks. 28,124,689.39 banks. 53,912,233.29 banks. 92,127,979.10 banks. 62,696,987.35 541 banks $524,377,167.01 Trade Acceptances amounting to $429,845.19 are included in the above total. Loans and Rediscounts secured by Liberty Bonds and Treasury Certificates of Indebtedness amounting to a total of $191,757,389.66 are also included in the above figures. 14 THIRD ANNUAL REPORT TO THE OPEN MARKET OPERATIONS Investments r.' • Municipal warrants amounting to $2,164,488.64, represent¬ ing the obligations of seven municipalities, all maturing within six months, were purchased during the year at 2f% to 4%. Acceptances $66,714,060.14 in Bankers’ Acceptances and Foreign Trade Acceptances were purchased during the year at 2\°/o to 4%, all represented by bills drawn in connection with imports or exports; these being acceptances by eighty-nine institutions of known responsibility and purchased in the open market. U. S. Government Bonds $1,461,500 2% Consols and Panamas were purchased and converted during the year. $39,524,260 3J% Liberty Loan Bonds were purchased and sold by the bank during the year. Treasury Certificates of Indebtedness Purchased by the Bank Date March 31. $ April 25. May 10. August 9. August 28. September 17. September 26. October 18. Amount 5,000,000 785,000 1,252,000 1,000,000 1,000,000 2,060,000 5,150,000 250,000 Rate 2% 3 % 3 % 31% 31% 31% 4 % 4 % $ 16,497,000 The above figures include the bank’s own direct subscrip¬ tions to the various issues. FISCAL AGENCY OPERATIONS FIRST LIBERTY LOAN When the Secretary of the Treasury offered the first issue of two billion dollars of 3J% bonds, a meeting of representa¬ tives of prominent banks, trust companies and bond houses was called to consider ways and means for its sale. There FEDERAL RESERVE BOARD 15 were present at this meeting some fifty or sixty representa¬ tives. This body appointed an Executive Committee, which committee in turn organized itself into a Publicity Committee. The Publicity Committee took charge of the selling cam¬ paign and appointed an assistant to the Chairman, a corre¬ sponding secretary and a recording secretary. The assistant to the Chairman was the active officer in the conduct of the campaign. Another important committee appointed was the Distribution Committee, which consisted of a Chairman and six other members, one being named for each state in the district and one for the Chicago territory. These chairmen for the various sections secured the serv¬ ices of several hundred experienced bond salesmen and sent them out all over the District, building up working organ¬ izations in every section. These organizations were by coun¬ ties, cities and towns. The Chairman for Chicago organized a flying squadron of several hundred volunteers and these men made an office-to-office canvass within the “loop district.” Amongst other committees covering District-wide activi¬ ties were the following: Public speakers, advertising, foreign language papers, posters, insurance companies, churches, moving pictures and Four-Minute men, fraternal societies, public utilities, etc. The Governors of all five states united in issuing proclama¬ tions making one week “Liberty Loan Week”. Partial payment plans were devised for banks and other organizations to carry those subscribers who were not pre¬ pared to meet their subscriptions in full. Secretary McAdoo visited the District during the cam¬ paign and spoke in several cities. The District's quota of bonds was over-subscribed. 16 THIRD ANNUAL REPORT TO THE SECOND LIBERTY LOAN This campaign was organized by an executive committee composed of the same members as the former executive and publicity committees and with the same chairman as the old publicity committee. Several additions were made, however, to the membership before the campaign began. An Execu¬ tive Secretary was chosen and placed in active charge of the campaign. The active work of the campaign was carried on under the following divisions: Department of Sales Department of Publicity Department of Public Speaking Woman’s Work. Additional committees covering District-wide activities were appointed as in the first campaign, and the same chair¬ men served as before for Chicago and the various states. The unit of organization for the second campaign was the county, and this organization was subdivided so as to reach down to the city, the town, the school district, and in some cases the voting precinct. In addition thereto, all of the larger cities formed their own organizations. Volunteer workers from banks, bond houses, stock exchange firms, commercial paper houses, insurance companies, and so on, canvassed the entire District, encouraging local workers and doing pioneer work in indifferent communities. In each State an Advisory Committee was formed, con¬ sisting of the Governor, the State Superintendent of Banks, the President of the State Bankers Association and repre¬ sentatives of labor, religion, agriculture, commerce, industry, State Council of Defense and others. The District’s quota of the four billions of bonds offered was over-subscribed. The work of the Second Liberty Loan campaign was much better organized and more efficiently conducted than that of the first. It is a matter of regret that space forbids personal recog¬ nition of the many workers and instrumentalities co-operating FEDERAL RESERVE BOARD 17 toward the success of the two campaigns. They are numbered by the thousands. Their names are on file with the Federal Reserve Bank and the result of their effective labors will not be forgotten. A list of officers and executive committees is given in the appendix. GOVERNMENT BOND DEPARTMENT The Federal Reserve Bank organized a Government Bond Department through which the actual accounting for and distribution of Liberty Bonds has been handled. A state¬ ment of the expenses of this department appears in the appendix. In the appendix will also be found an exhibit of the result of both the first and second Liberty Loan campaigns. TREASURY CERTIFICATES OF INDEBTEDNESS A table showing the sales of the different issues of these certificates will be found in the appendix. WAR SAVINGS CERTIFICATES The Secretary of the Treasury has designated the Federal Reserve Banks as fiscal agents for the distribution of War Savings Certificates and Stamps. The Federal Reserve Banks become the warehouses to which banks, express companies, railways, and other authorized agents go to receive their sup¬ plies and to whom they account for the proceeds. Up to and including December 31 the Federal Reserve Bank of Chicago has accounted for $915,725.00 par value from the proceeds of these certificates. DEPOSITORIES FOR PROCEEDS OF LIBERTY BONDS AND TREASURY CERTIFICATES Many banks throughout the District qualified as deposi¬ tories under the regulations prescribed by the Treasury De¬ partment. In order to accommodate the various sections of the District, securities committees and custodians for col¬ lateral were appointed in each state, serving without com¬ pensation. A list of such securities committees and custodians appears in the appendix. 18 THIRD ANNUAL REPORT TO THE FEDERAL RESERVE BOARD IN CONCLUSION The Federal Reserve System has already justified the ex¬ pectation of those who were instrumental in framing the Act and responsible for its enactment. Through it, the reserves of the country have been largely mobilized and much of the free gold brought into its coffers. As a result of its estab¬ lishment public confidence exists and the integrity of our business fabric has been maintained, although our country has entered upon what is perhaps the most momentous epoch in its history. In all this, the Federal Reserve Bank of Chicago has borne its part. With all other Federal Reserve Banks, its note issues have largely increased during the year. Much of this increase has been directly against gold, and the greater de¬ mands of business have necessitated the remainder. The Board of Directors of this bank, slow in the beginning to make use of this issue power, have not hesitated to avail themselves of it when the situation demanded, and yet fur¬ ther use of it will be inevitable during the continuance of the war. The problem of differentiating between necessary ex¬ pansion on the one hand and dangerous inflation on the other is yet to be solved. The wise conservatism which has thus far directed the operation of the Federal Reserve Banks and the administration of the System may be trusted to handle this situation in a satisfactory manner when it is presented for solution. APPENDIX THIRD ANNUAL REPORT TO THE FEDERAL RESERVE BOARD 21 EXHIBIT 1 Federal Reserve Bank of Chicago COMPARATIVE YEARLY STATEMENT Assets Dec. 31 1917 Bills discounted—Members.$105,923,175.99 Bills discounted—Bought. 9,182,429.93 U. S. Bonds and Notes. 10,384,600.00 Investments. Dec. 31, 1916 $ 4,437,460.35 10,337,161.09 10,375,100.00 1,325,760.88 $125,490,205.92 $ 26,475,482.32 Total Interest accrued on U. S. Bonds and Notes .$ 63,695.00 Premium on U. S. bonds. Liberty Loan Bonds—$10.00 Part. Ctfs. 163,100.00 Furniture and Fixtures. Cost of Unissued Federal Reserve Notes... Due from Member Banks—Overdrafts. 330,615.85 Due from Federal Reserve Banks. 5,992,720.41 Federal Reserve Banks—Transfers Bought. 8,178,412.26 Transit and Exchanges for C. H. 19,868,657.09 Federal Reserve and National Bank Notes. 10,635,500.00 Gold Coin and Gold Certificates. 32,189,305.00 Bank of England, Sterling Gold Account.... 7,350,000.00 Other Lawful Money. 963,872.27 Gold Settlement Fund. 58,960,460.00 Gold with Federal Reserve Agent. 130,723,530.00 5% Redemption Fund. 646,490.00 50,896.48 193,311.66 28,304.53 67,957.83 1,723.57 29,913,819.08 4,692,553.71 2,986,185.00 27,600,625.00 396,102.95 26,183,000.00 200,000.00 Total Cash Reserve.$230,833,657.27 $ 54,379,727.95 Other Assets. 349,181.34 $401,905,745.14 $118,789,962.13 Liabilities- Capital Paid in.$ 9,091,700.00 $ 6,683,550.00 Surplus. 215,799.18 Profit and Loss. 61,978.07 Discount on U. S. Bonds. 77,603.50 Unearned Discount. 318,087.33 46,451.23 6,051.22 Unearned Interest—Investments. Reserved for Sundry Expenses. 4,833.62 5,391.08 Difference Account. 254.61 Federal Reserve Notes Outstanding. 190,788,530.00 Federal Reserve Bank Drafts. 1,471,347.45 Liberty Loan—$10.00 Part. Ctfs. Sold. 163,100.00 Uncollected Funds. 18,183,306.82 U. S. Government Deposits. 3,052,436.84 2,045,784.95 14,550,742.93 Due to Federal Reserve Banks. 6,165,983.77 Due to Member Banks—Reserves. 169,174,348.05 95,390,012.65 Due to Non-Member Clearing Banks. 3,198,413.97 $401,905,745.14 $118,789,962.13 59.2% 59.7% 69.8% 70.3% 72.7% 158.0% Gold Reserve against net deposit liability.. Cash Reserve against net deposit liability.. Gold Reserve against Federal Reserve Notes in circulation. 22 THIRD ANNUAL REPORT TO THE EXHIBIT 2 Federal Reserve Bank of Chicago EARNINGS AND EXPENSES FOR CALENDAR YEAR 1917 ALSO PROFIT AND LOSS ON DECEMBER 31, 1917 Earnings for 1917.$2,020,714.10 Net service charges in excess of Transit Depart¬ ment disbursement. 1,564.00 Total. $2,022,278.10 Expense of operation of bank proper .$ 320.357.29 Cost of Federal Reserve currency issued (inch expressage, insurance, etc.). 157,510.57 Cost of Federal Reserve currency unissued, charged off. 43,001.01 Miscellaneous charges account note issues. 2,314.11 Depreciation on furniture and equipment. 32,225.53 Depreciation U. S. Bonds. 237,118.24 Total $ 792,526.75 1,229,751.35 Net earnings for year. Profit and loss, January 1, 1917. 61,978.07 Amount paid by Federal Reserve Bank, Minne¬ apolis, January 30, 1917, to equalize stock of said bank transferred to Federal Reserve 2,127.22 Bank, Chicago, capital stock. $1,293,856.64 Total. Dividends Paid: Date paid, 6/29/17; period covered, 1/1/16 to 6/30/16, inclusive; amount. $205,710.22 Date paid, 12/28/17; period covered, 7/1/16 to 12/31/17, inclusive; amount. 654,347.08 862,258.28 Interest paid on stock surrendered. 2,200.98 Profit and loss, December 31, 1917. 431,598.36 Distribution of Profit and Loss: One-half of balance 12/31/17 remitted to United States Treasury—Franchise tax paid U. S. Government. 215,799.18 One-half of balance transferred to Surplus 431,598.36 Fund. 215,799.18 EXHIBIT 3 Member Banks in Seventh Federal Reserve District to Whom Permits Have Been Granted for the Exercise of Trust Powers Date of Permit Anderson.Indiana.. Batesville.Indiana.. Battle Creek.Michigan Battle Creek.Michigan Bay City.Michigan Beaver Dam..... .Wisconsin .. Belvidere.Illinois. . Benton Harbor... .Michigan Birmingham.Michigan Bloomington.Illinois. . Boone..Iowa... . .Peoples State National Bank. June .First National Bank.Sept. .Central National Bank.Oct. .Old National Bank.April .First National Bank.April .Old National Bank.April .Second National Bank.April .Farmers & Merchants Natl. Bank.Aug. .First National Bank.Sept. .State National Bank.Jan. .First National Bank.Oct. 8, 1915 13, 1916 6,1917 29, 1915 13, 1915 29, 1915 29, 1915 18, 1917 22, 1917 18, 1916 9,1916 FEDERAL RESERVE BOARD 23 Date of Permit Boyne City.Michigan. . .First National Bank.June 1, 1915 Brazil.Indiana.First National Bank.Oct. 13, 1916 Brazil.Indiana.Riddell National Bank.April 29, 1915 Brookville.Indiana.Franklin County Natl. Bank..Sept. 30, 1915 Brookville.Indiana.National Brookville Bank. .. .Aug. 23, 1916 Casey.Illinois.First National Bank.Dec. 30, 1915 Cedar Rapids.Iowa.Cedar Rapids National Bank.May 9, 1916 Cedar Rapids.Iowa.Merchants National Bank. .. .April 24, 1915 Chicago.Illinois.National City Bank.Aug. 9, 1915 Clarence.Iowa.First National Bank.April 19, 1916 Clinton.Iowa.City National Bank.Nov. 8, 1915 Coon Rapids.Iowa.First National Bank.Dec. 29, 1916 Council Bluffs. . . .Iowa.City National Bank.June 8, 1915 Council Bluffs. . . .Iowa.First National Bank.Mar. 9, 1917 Crawfordsville... .Indiana.Citizens National Bank.May 5, 1917 Decatur.Illinois.Millikin National Bank.Jan. 18, 1916 Decorah.Iowa.National Bank of Decorah... .Sept. 20, 1917 Des Moines.Iowa.Des Moines National Bank. . .July 20, 1916 Dubuque.Iowa.First National Bank.May 5, 1917 Dyer.Indiana.First National Bank.June 8, 1915 Emmetsburg.Iowa.Emmetsburg National Bank. .May 5, 1917 Flint.Michigan:. .First National Bank.Dec. 26, 1917 Fonda.Iowa.First National Bank.July 26, 1915 Franklin.Indiana.Franklin National Bank.July 26, 1915 Freeport.Illinois.First National Bank.April 26, 1915 Gladbrook.Iowa.First National Bank.Aug. 27, 1917 Grand Rapids.Michigan. . .Old National Bank.April 29, 1915 Greencastle.Indiana.First National Bank.Oct. 9, 1916 Humboldt.Iowa.First National Bank.Jan. 18, 1916 Independence.Iowa.First National Bank.Aug. 26, 1915 Indianola.Iowa.First National Bank.Jan. 18, 1916 Janesville.Wisconsin.. .First National Bank.May 5, 1915 Joliet.Illinois.First National Bank.April 15, 1915 Kanawha.Iowa.First National Bank.Jan. 25, 1917 Kokomo.Indiana.Citizens National Bank.Jan. 26, 1916 Kokomo.Indiana.FIoward National Bank.Aug. 26, 1915 Lansing.Michigan. . .Capital National Bank.Aug. 15, 1917 La Porte.Indiana.First National Bank.June 8, 1915 Le Mars.Iowa.First National Bank.July 20, 1916 Liberty.Indiana.Union County National Bank.June 4, 1915 Logansport.Indiana.First National Bank.Oct. 13, 1916 Macomb.Illinois.Union National Bank.April 13, 1915 Manchester.Iowa.First National Bank.Dec. 1, 1917 Marengo.Iowa.First National Bank.Oct. 9, 1916 Marion.Indiana.First National Bank.Aug. 26, 1915 Marion.Indiana.Marion National Bank.Feb. 21, 1916 Marseilles.Illinois.First National Bank.April 13, 1915 Mattoon.Illinois.National Bank of Mattoon... .Dec. 29, 1916 Michigan City... .Indiana.Merchants National Bank. .. .Oct. 18, 1916 Mishawaka.Indiana.First National Bank.Mar. 7, 1917 Monroe.Wisconsin.. .First National Bank.April 29, 1915 Monrovia.Indiana.First National Bank.Oct. 6, 1917 Montezuma.Iowa.First National Bank.Oct. 9, 1916 Moweaqua.Illinois.First National Bank.Jan. 17, 1916 Muncie.Indiana.Merchants National Bank. .. .Mar. 14, 1917 Odebolt.Iowa.First National Bank.Sept. 13, 1915 Oskaloosa.Iowa.Oskaloosa National Bank.Jan. 17, 1916 Peterson.Iowa.First National Bank.Aug. 10, 1916 Petoskey.Michigan.. .First National Bank.Dec. 2, 1915 THIRD ANNUAL REPORT TO THE 24 Date of Permit Port Huron.Michigan.. .First National Bank.Feb. Red Oak.Iowa.First National Bank.June Richmond.Indiana.First National Bank.April Richmond.Indiana.Second National Bank.April Rochester.Indiana.First National Bank.Oct. Rochester.Michigan.. .First National Bank.July Rockford.Illinois.Rockford National Bank.June Rockford.Illinois.Third National Bank.April Rockville.Indiana.Rockville National Bank.June Rushville.Indiana.Rush County National Bank. .April Rushville.Indiana.Rushville National Bank.June Russiaville.Indiana.First National Bank.April St. Clair Heights.Michigan.. .Michigan National Bank.Feb. Saginaw.Michigan. . .Second National Bank.April Sheridan.Indiana.Farmers National Bank.April Sheridan.Indiana.First National Bank.Dec. Sibley.Iowa.First National Bank.April Sioux Rapids.Iowa.First National Bank.Mar. South Bend.Indiana.First National Bank.Feb. Stanton.Iowa.First National Bank.Aug. Story City.Iowa.First National Bank.June Tipton.Indiana.Citizens National Bank.Sept. Traverse City. . . .Michigan.. .First National Bank.Nov, Valparaiso.Indiana.Farmers National Bank.May Wabash.Indiana.Farmers & Merchants Natl. Bank.Dec. Waterloo.Iowa.Commercial National Bank.. .Aug. Waterloo.Iowa.Leavitt & Johnson Natl. BankDec. Waukesha.Wisconsin.. .National Exchange Bank.April Waverly.Iowa.First National Bank.June Webster City.Iowa.Farmers National Bank.June Whiteland.Indiana.Whiteland National Bank. . . .Nov. Wilkinson.Indiana.Farmers National Bank.July 23, 15, 29, 24, 18, 26, 1, 29, 8, 13, 8, 29, 21, 15, 7, 27, 13, 28, 21, 9, 8, 13, 8, 14, 1916 1917 1915 1915 1916 1915 1915 1915 1915 1915 1915 1915 1916 1915 1916 1916 1915 1916 1916 1916 1915 1915 1915 1915 2, 9, 29, 24, 15, 8, 25, 1, 1915 1915 1916 1915 1917 1915 1916 1915 National Banks in the State of Illinois are not as yet exercising trust powers. It is understood that the Supreme Court of the State is shortly to pass on a test case now pending, to determine whether the state laws permit the exercise of such powers by national banks. EXHIBIT 4 STATE MEMBER BANKS Seventh Federal Reserve District Illinois Chicago. Austin State Bank. Chicago.*Central Trust Company of Illinois (1914). Chicago. Chicago Savings Bank & Trust Company. Chicago. First Trust & Savings Bank. Chicago. Foreman Bros. Banking Company. Chicago. Harris Trust & Savings Bank. Chicago. Hyde Park State Bank. Chicago. Kaspar State Bank. Chicago. Merchants Loan & Trust Company. Chicago. Noel State Bank. Chicago.. Standard Trust & Savings Bank. Chicago. State Bank of Chicago. Chicago. Union Trust Company. Chicago.. United State Bank. FEDERAL RESERVE BOARD Illinois—Continued Cicero.Kirchman State Bank. Elmhurst.*Elmhurst State Bank (1915). Evanston. State Bank of Evanston, tjftl Joliet.Commercial Trust & Savings Bank (1915). Joliet.Joliet Trust & Savings Bank. '*■ Kewanee.Union State Savings Bank & Trust Company. Martinsville.JMartinsville State Bank. Oak Park. Suburban Trust & Savings Bank. Indiana Elkhart.St. Joseph Valley Bank. Kentland. Discount & Deposit State Bank. Iowa Cedar Falls. Security Trust & Savings Bank. Clinton. Peoples Trust & Savings Bank. Des Moines.Iowa Loan & Trust Company. Gilman. Citizens Savings Bank. Mason City. Commercial Savings Bank. Ottumwa. Ottumwa Savings Bank. Sioux City.*Bankers Loan & Trust Company (1916). Sutherland.fFirst Savings Bank. Vail.^Farmers State Bank. Michigan Albion.Commercial & Savings Bank (1915). Charlotte. Eaton County Savings Bank. Detroit.^American State Bank. Detroit. Central Savings Bank. Detroit. Detroit Savings Bank. Detroit. Dime Savings Bank. Detroit. First State Bank. Detroit.fPeninsular State Bank. Detroit. Peoples State Bank. Detroit. Wayne County & Home Savings'Bank. Flint.Citizens Commercial & Savings Bank. Flint. Industrial Savings Bank. Flint. Union Trust & Savings Bank. Fremont.JOld State Bank. Grand Haven. Grand Haven State Bank. Grand Rapids. Grand Rapids Savings Bank. Grand Rapids.Kent State Bank. Hart.JOceana County Savings Bank. Highland Park.Highland Park State Bank. Hudson. Boies State Savings Bank. Jackson. Central State Bank. Jackson. Union Bank. Lansing.JLansing State Savings Bank. Lapeer.Lapeer Savings Bank. Monroe.fB. Dansard & Sons State Bank. Mt. Pleasant.Exchange Savings Bank. Niles. Niles City Bank. Petersburg. H. C. McLachlin & Co. State Bank. Port Huron. St. Clair County Savings Bank. Rochester.JRochester Savings Bank. Romeo. Romeo Savings Bank. Saugatuck.*Fruit Growers State Bank (1915). St. Clair.JCommercial & Savings Bank. 25 THIRD ANNUAL REPORT TO THE 26 Wisconsin Clinton. Citizens Bank Madison.*Bank of Wisconsin (1914). Milwaukee.^American Exchange Bank. Milwaukee.*Badger State Bank (1915). Milwaukee.Marshall & Ilsley Bank. *Banks which joined the System before 1917. fBanks approved; capital paid; reserve not paid. JBanks approved; capital and reserve not paid. Banks Admitted Previous to 1917 Illinois. Iowa. Michigan. Wisconsin. 3 1 2 >. 2 Total. 8 Banks Admitted During 1917 Illinois.19 Indiana. 2 Iowa. 8 Michigan.31 Wisconsin. 3 Total.63 Total State Banks in Federal Reserve System.71 Applications in process of examination.22 EXHIBIT 5 FEDERAL RESERVE NOTES Notes Outstanding December 31, 1916 683,839 67,780 125,850 3,490 3,950 5’s.$ 3,419,195 10’s. 677,800 20’s. 2,517,000 50’s. 174,500 100’s. 395,000 $ 7,183,495 Notes Issued to Bank During Year 1917 3,496,000 6,924,000 4,004,000 228,000 104,000 5’s.$17,480,000 10’s. 69,240,000 20’s.•. 80,080,000 50’s. 11,400,000 100’s. 10,400,000 Total. $188,600,000 $195,783,495 Notes Retired During Year 1917 350,829 147,853 76,212 3,923 419 5’s.$ 1,754,145 10’s. 1,478,530 20’s. 1,524,240 50’s. 196,150 100’s. 41,900 Notes outstanding December 31, 1917.. $ 4,994,965 $190,788,530 FEDERAL RESERVE BOARD Notes Outstanding December 31, 3,829,010 6,843,927 4,053,638 227,567 107,531 27 1917 5’s.$19,145,050 10’s. 68,439,270 20’s. 81,072,760 50’s. 11,378,350 100’s. 10,753,100 $190,788,530 Total Notes Retired Since Organization 626,990 156,073 86,362 4,433 469 5’s.$ 3,134,950 10’s. 1,560,730 20’s. 1,727,240 50’s. 221,650 100’s. 46,900 $ 6,691,470 $ 641,000 Total Notes Returned to Agent Since Organization Unfit Notes 128,000 5’s.$ 640,000 5’s.$ 20’s. 50’s. 100’s. 50 600 250 100 Fit Notes 10 30 5 1 $198,121,000 Total Notes Issued and Reissued Since Organization 4,584,010 7,000,000 4,140,030 232,005 108,001 5’s.$22,920,050 10’s. 70,000,000 20’s. 82,800,600 50’s. 11,600,250 100’s. 10,800,100 $198,121,000 Total Notes on Hand by Agent December 31, 1917 1,236,000 760,000 716,000 100,000 44,000 5’s.$ 6,180,000 10’s. 7,600,000 20’s. 14,320,000 50’s. 5,000,000 100’s. 4,400,000 . $ 37,500,000 EXHIBIT 6 Federal Reserve Bank of Chicago TRANSACTIONS THROUGH THE GOLD SETTLEMENT FUND WEEKLY (000’s omitted) Week Ending 1917 Jan. 3 .$ 10 . 17 24 31 . . . Debits 36,705 42,545 39,225 38,210 42,329 Credits $ 29,668 43,911 36,097 39,688 36,913 Balance $33,220 31,854 34,982 33,504 38,920 THIRD ANNUAL REPORT TO THE 28 Transactions Through the Gold Settlement Fund Weekly—Continued (000’s omitted) Week Ending 1917 Feb. 7 14 21 28 Mar. 7 14 21 28 April 4 11 18 25 May 2 9 16 23 30 June 6 13 20 27 July Aug. Sept. Oct. Nov. Dec. 4 11 18 25 1 8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 28 5 12 19 26 Debits Credits Balance $40,607 38,004 32,352 41,375 43,094 33,111 36,584 32,368 33,794 45,617 52,304 46,735 68,944 59,718 75,741 59,791 58,235 53,944 60,305 85,672 76,628 $42,929 34,554 39,706 29,686 40,391 32,704 40,207 41,109 35,466 42,095 48,531 65,540 57,446 68,082 70,614 53,417 67,661 45,587 72,705 85,008 61,133 $36,598 40,048 32,694 44,383 47,086 47,493 43,870 35,129 33,457 36,979 40,752 21,947 33,445 25,081 30,208 36,582 27,156 35,513 23,113 23,777 39,272 Sub-Total. .$1,273,937 $1,260,848 . . . . . . . . . . . .:. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. 87,051 87,111 69,563 105,694 72,032 80,092 72,749 75,508 79,741 76,009 94,597 77,424 97,064 80,385 96,884 92,012 113,536 102,053 119,920 102,504 173,061 125,307 107,425 98,909 155,930 124,405 54,661 84,045 85,890 111,159 99,326 60,819 77,592 67,984 66,681 56,454 104,320 92,864 100,034 98,027 76,345 80,947 107,828 126,580 107,316 103,579 166,149 125,771 110,780 101,001 157,816 132,109 Total..$3,840,903 798,567 Total, 1916.. 1917 increase.. 3,042,336 $3,816,925 774,570 3,042,355 71,662 74,728 58,401 52,936 25,642 44,915 40,072 47,596 60,656 80,211 70,488 55,048 52,078 34,436 54,975 66,040 71,748 47,221 59,825 58,750 65,662 65,198 61,843 59,751 57,865 50,161 FEDERAL RESERVE BOARD 29 EXHIBIT 7 FIRST LIBERTY LOAN CAMPAIGN Executive Committee James B. McDougal (Chairman), Governor Federal Reserve Bank. Federal Reserve Agent (Chairman Publicity Committee). E. K. Boisot, President First Trust and Savings Bank. Howard W. Fenton, Vice-President Harris Trust and Savings Bank. Arthur Reynolds, Vice-President Continental and Commercial National Bank. John E. Blunt, Jr., Vice-President Merchants Loan and Trust Co. Harry L. Stuart, of Halsey, Stuart & Company. Charles H. Schweppe, of Lee, Higginson & Company. Solomon A. Smith, President Northern Trust Company. Secretary—H. C. Burnett. Corresponding Secretary—Lyman A. Walton. Assistant to the Chairman—Edward Clifford. Distribution Committee W. M. L. Fiske (Chairman), of William A. Read & Company. Charles W. Folds, of Hathaway, Smith, Folds & Company, Chairman for Chicago. Joseph A. Rushton, Jr., of Babcock, Rushton & Company, Chairman for Illinois (outside of Chicago). C. Frederick Childs, of C. F. Childs & Company, Chairman for Indiana. Frederick R. Fenton, of C. W. McNear & Company, Chairman for Michigan. William L. Ross, of Keane, Taylor & Company, Chairman for Wisconsin. Watkin W. Ivneath, of Spencer, Trask & Company, Chairman for Iowa. SECOND LIBERTY LOAN COMMITTEE Executive Committee James B. McDougal, Governor Federal Reserve Bank. Federal Reserve Agent. E. K. Boisot, President First Trust and Savings Bank. Howard W. Fenton, Vice-President Harris Trust and Savings Bank. Arthur Reynolds, Vice-President Continental and Commercial National Bank. John E. Blunt, Jr., Vice-President Merchants Loan and Trust Co. Harry L. Stuart, of Halsey, Stuart & Company. Charles H. Schweppe, of Lee, Higginson & Company. Solomon A. Smith, President Northern Trust Company. W. M. L. Fiske, of William A. Read & Company. John J. Abbott, Vice-President Continental and Commercial Trust and Savings Bank. Miss Grace Dixon. (Miss Dixon was appointed Chairman for women for the Seventh Federal Reserve District by the National Woman’s Organization at Washington.) Executive Secretary—Albert W. Bullard. Department Heads Director of Sales—Harry L. Stuart. Director of Publicity—Charles H. Schweppe. Director of Public Speaking—-John J. Abbott. Director for Women—Miss Grace Dixon. THIRD ANNUAL REPORT TO THE 30 District Chairmen Charles W. Folds, Chairman for Chicago. Joseph A. Rushton, Jr., Chairman for Illinois (outside of Chicago). C. Frederick Childs, Chairman for Indiana. Frederick R. Fenton, Chairman for Michigan. William L. Ross, Chairman for Wisconsin. Watkin W. Kneath, Chairman for Iowa. EXHIBIT 8 SECURITIES COMMITTEES Illinois —Chicago C. E. Estes, Vice-President, Merchants Loan & Trust Co. (Chairman). Burt C. Hardenbrook, Vice-President, First Trust & Savings Bank. John F. Craddock, Manager Credit Dept. Continental & Commercial National Bank. Indiana—Indianapolis Stoughton A. Fletcher, President, Fletcher-American National Bank (Chairman). Evans Woollen, President, Fletcher Savings & Trust Co. Frank Stalnaker, President, Indiana National Bank. Iowa—Des Moines C. A. Barr, Vice-President, Des Moines National Bank (Chairman). J. H. Blair, Vice-President, Iowa National Bank. C. T. Cole, Jr., Vice-President, Valley National Bank. Michigan—Detroit John W. Staley, Vice-President, Peoples State Bank (Chairman). Emory W. Clark, President, First & Old Detroit National Bank. Richard P. Joy, President, National Bank of Commerce. Wisconsin—Milwaukee E. J. Hughes, Vice-President, First National Bank (Chairman). R. W. Baird, Manager Bond Dept. Wisconsin Trust Company. J. H. Puelicher, Vice-President, Marshall & Ilsley Bank. CUSTODIANS Illinois. .Northern Trust Company. . .. Chicago Solomon A. Smith, President Indiana. .Indiana Trust Company. . . Indianapolis J. P. Frenzel, President Iowa. .Central Trust Company. J. S. Rawson, President Michigan.T. ..Detroit Trust Company . . . Detroit Ralph Stone, President Wisconsin. .First Trust Company. . . . Milwaukee Robert Camp, President FEDERAL RESERVE BOARD 31 EXHIBIT 9 FIRST LIBERTY LOAN Subscriptions by States—Federal Reserve District No. 7 Illinois.$ Indiana. Iowa. Michigan. Wisconsin. 197,315,150 35,323,100 31,343,850 62,538,800 30,866,100 Total.$357,387,000 Allotment by States.Not available Allotment for District.$ 272,202,100 Number of Subscribers.Not available Number of Banks Subscribing.About 4,000 U. S. Government Liberty Loan Bond Participation Certificates The Federal Reserve Bank of the Seventh District issued $1,000,000 of the above Certificates, subscribing for $1,000,000 of bonds to be used in redemption thereof. The purchaser of five of these certificates was privi¬ leged to exchange them for a Fifty-dollar Bond. EXHIBIT 10 SECOND LIBERTY LOAN Subscriptions, Allotments and Subscribers, by States Federal Reserve District No. 7 Illinois. Indiana. Iowa. Michigan. Wisconsin. Filed by individuals and corpora¬ tions direct with Federal Re¬ serve Bank. Subscriptions 244,202,800 69,352,700 82,859,850 106,062,450 77,694,300 Allotment Subscribers $206,121,800 451,152 67,047,100 172,124 79,857,550 247,167 95,473,650 323,227 72,809,300 198,551 5,681,250 4,741,450 4,981 $ 585,853,350 $ 526,050,850 1,397,202 Subscriptions by Member and Non-Member Banks, by States Illinois. Indiana. Iowa... Michigan. Wisconsin.. Filed by individuals and corporations direct with Federal Reserve Bank. Member Banks 92,927,150 35,895,350 37,018,200 68.296.750 50.199.750 Non-Member Banks 151,275,650 33,457.350 45,841,650 37,765,700 27,494,550 5,681,250 $284,337,200 $301,516,150 $450,473,740 had been paid in on the above allotment of $526,050,850 up to and including December 31, 1917. 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