Full text of Economic Review (Federal Reserve Bank of Atlanta) : March 31, 1954

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ATLANTA, GEORGIA, MARCH 31, 1954

ln % ts Issue:

A n o th e r G o o d Y e a r fo r D istric t
M em b er Banks
W h a t ’s H a p p e n i n g in T e x t i l e s ?
D is t r ic t B u s i n e s s H i g h l i g h t s

S ix t k D if lr id S m $ k s :

C o n d itio n of 27 M em b er Banks in Leading C itie s
D ebits to Individual Dem and D eposit A cco u n ts
D epartm ent S to re Sales and Inventories
Instalm ent Cash Loans
R e ta il Furniture S to re O p eratio n s
W holesa le Sales and Inventories

S ix t h V ittr ie tIn d e x e s :

C on struction C o n tra cts
C o tto n Consum ption
D epartm ent S to re Sales and Stocks
E le c tric Pow er Production
Furniture S to re Sales and Stocks
M anufacturing Em ploym ent
M anufacturing Payrolls
Petroleum Production
Turnover of Dem and D eposits

S e c fe r a f^ s e iv e lB a n tig 0 tfa tita



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D ebits to d e m a n d d e p o s its at District banks in February were higher
than a year ago and were off less than seasonally from January this year.
•
C onsum er in sta lm en t cred it o u tsta n d in g at commercial banks con­
tinued to decline, with non-automotive credit showing the largest drop.
•
D ep artm en t sto r e s a le s , after adjustment for seasonal variation,
steadied in February but declined in March.
M ore n e w cars w e r e r e g is te r e d in the District during January than
a year earlier, but throughout the nation registrations were down.
Farm prices r e c e iv e d for cotton, cottonseed, peanuts, corn, rice,
beef, hogs, and chickens advanced from January to February but egg,
milk, and orange prices declined.
•
C otton prices str e n g th e n e d in February; fewer bales were put under
CCC loans; volume of loan repayments mounted.
Farm e m p lo y m e n t is moving up seasonally; the rise about equals
that of early spring last year.
•
C onstruction contract a w a r d s, residential and non-residential, during
January and February were ahead of those for the same period last year.
•
M anufacturing e m p lo y m e n t, seasonally adjusted, fell only slightly
during January because of the first pick-up for several months in the
food, apparel, and fabricated metals employment, and a continued rise
in the transportation equipment field.
•
M anufacturing p a y ro lls after seasonal adjustment continued to drop
during January.
•
U n em p lo y m en t co m p en sa tio n claim s were higher during Febru­
ary than at any time in the 1948-49 recession.
•
S te e l production in the Birmingham area during the week of March
18 was lower in relation to capacity than on the same day of the previous
month and was considerably lower than a year earlier.
•
Total d e p o s its a t m e m b er b a n k s in c r ea se d just about seasonally
during February and, according to preliminary data, continued to grow
in March, largely reflecting a gain in time and Government deposits.
•
Loans a t all m e m b er b a n k s increased more than seasonally during
February, primarily because of increases in commercial, industrial, and
agricultural loans and loans to brokers.
•
The in te r e st r a te charged to prime borrowers was lowered by most
large banks in major District cities following a similar reduction by
New York City banks in the middle of the month.

•2•

A n o th e r

G o o d

Y e a r f o r

Total earnings of Sixth District member banks reached a
peak of 224 million dollars in 1953, the highest level in
the history of this District’s banking operations. The in­
crease in earnings largely reflected the higher volume of
loans made during 1953 as well as the higher rates earned
on loans and investments during the early part of the year.
Net profits also increased, but on the average they bore the
same relationship to total capital accounts as they did in
the preceding year, 9 percent. The average ratio of net
profits to total assets in 1953 of .64 of one percent also
was unchanged from 1952.
That the ratio of net profits to total capital accounts
failed to rise from the 1952 level despite the growth in net
profits resulted from a greater rate of growth in capital
than in assets in 1953. Member banks added to their capi­
tal by retaining two-thirds of their net profits and also by
selling substantial amounts of stock. As a result of the
increase in capital, the average ratio of total capital ac­
counts to total assets rose to 7.5 percent, the highest point
since 1943, compared with 7.2 percent in 1952.
Commercial bank earnings result from the complex in­
teraction of many factors that are often concealed by the
aggregate figures. In order to be able to better understand
the relationship of various types of assets, expenses, and
earnings to total operations, this Bank, as well as the other
Federal Reserve Banks, makes an operating ratio study
for each of its member banks at least once a year. The
ratios for 1953 were computed by using averages of data
taken from the reports of condition for December 30,
1952; June 30, 1953; and September 30, 1953, together
with data from the banks’ reports of earnings and dividends
for 1953. Averages of these ratios for all District member
banks in 1953 and several preceding years are shown in
the table on page 4.

D is t r ic t




b e r

B a n k s

the form of loans and securities than in 1952. On an aver­
age for the year, loans equaled 30.8 percent of total assets,
compared with 29.8 percent in 1952, and Government
Chart I
Distribution of Net Current Earnings
S ix th D istrict M em ber Ban ks
M IL L IO N S

OF D O LLA R S

M IL L IO N S O F D O L L A R S

p------ 1------ 1------ 1------ 1------ 1------ 1------ 1------ 1------ n

and other securities averaged 41.8 percent, compared with
41.6. Not only did the banks have more of their asset dol­
lars at work in 1953, but these dollars were bringing higher
average returns.
Between January and June 1953, the monthly average
rate of yield on United States long-term bonds rose from
2.80 percent to 3.09 percent, and the rate of increase on
Treasury bills and certificates was even greater. Conse­
quently, on the average, the banks earned higher returns
on their United States Government security holdings and
on other types of securities—2 percent in 1953, compared
with 1.9 percent in 1952. By the end of the year rates
Chart II

Changes in Earnings

Banks obtain their earnings from four sources: interest on
securities, interest on loans, service charges on deposit
accounts, and “other current earnings,” Of these sources
the first two, sometimes called the earning assets, supply
about 85 percent of total earnings, with loans generally
yielding a higher rate of return than securities. Conse­
quently, an increase in loans and investments, either abso­
lute or in relation to total assets, will have a marked influ­
ence on total earnings. Furthermore, other things being
equal, earnings will be greater the more that earning assets
consist of loans rather than securities. Changes in the rates
of return on either loans or securities are, of course, one
of the major factors affecting bank earnings.
The banks not only increased their total assets during
1953, but also had a larger proportion of those assets in

M e m

Bank Earnings by Source
S ix th D istrict M em ber Banks
M ILLIO N S OF

D O LL A R S

M ILLIO N S O F D O LL A R S

•3•

Chart III

expenses was the higher rate of interest paid time deposi­
tors, indicated by the increase in the ratio of interest to
time deposits from 1.1 percent in 1952 to 1.23 percent in
1953. At banks with time deposits, these interest pay­
ments constituted 9.1 percent of total earnings, compared
with 8.4 percent in 1952. Salaries and wages also increased
in importance in relation to total earnings from 31.7 per­
cent to 32 percent.

Earnings at District Member Banks in 1953
V a ry by Size of Bank

O perations V a ried by Size of Bank

[a v e r a g e r a t io o f
[_ A LL s i z e b a n k s

How a bank’s earnings position is affected by the relative
importance of loans and investments to total assets and
by the rates of return on them is strikingly illustrated by
comparing the ratios of banks grouped by size. As is indi-

10.0 TO 5 0 .0
OVER 5 0 .0
3 .5

Total earnings were higher in relation to total assets at small
banks, because . .

D E P O S IT S IZ E OF BANK

LOANS AS P E R C E N T OF
T O TA L A S S E T S

(IN M IL L IO N S O F D O L L A R S )

T E OF RETURN
ON LOANS

—i--- 1--- r—r
UP TO 2 .0
2 .0 TO 10.0
[ a v e ra g e RATIO OF
ALL S IZ E BANKS

I

10.0 TO 5 0 .0
OVER 50.0
30

0

5 .0

7.0

the ratio of loans to total assets and the rate of return on loans
were higher at small banks, and . . .

GOVT. S E C S . AS P E R C E N T
OF T O T A L A S S E T S

D E P O SIT S IZ E OF BAN K
(IN

M I L L IO N S O F D O L L A R S )

R A T E OF RETURN
ON GOVT. SECS.

“i--i—i—r

r

UP TO 2 .0
2 .0 TO 10.0
[a v e r a g e RATIO OF
[ A L L S IZ E BANKS_
10.0 TO 5 0 .0
OVER 5 0 .0
0

30

35

0

2 .0

small banks earned greater returns on their investments.

were well below the June level. The rate of return on loans
averaged 6.30 in 1953, which was practically the same as
in 1952 with some exceptions, particularly at the larger
banks, where loans earned slightly higher rates of return.
Expenses Higher

Total expenses constituted, on an average, a higher pro­
portion of total earnings in 1953 than in 1952, increasing
from 63.4 percent to 64.5 percent. One factor raising total



AVERAGE OPERATING RATIOS OF ALLMEMBER BANKS IN THE
SIXTH FEDERAL RESERVE DISTRICT
1948
SUMMARY RATIOS:
Percentage of total capital accounts:
Net current earnings before inc.
taxes .......................................................... 17.1
Profits before inc. t a x e s ...................... 13.9
Net p r o f it s ................................................. 10.4
3.3
Cash dividends declared........................
Percentage of total assets:
?,6
Total earnings
......................................
Net current earnings before inc.
1.0
.6
Net p r o f i t s .................................................
SOURCE AND DISPOSITION OF EARN INGS:
Percentage of total earnings:
Int. on U. S. Govt, sec......................25.8
6.5
Int. & div. on other sec.....................
Earnings on lo a n s ................................. 52.3
6.8
Serv. chgs. on dep. accounts . . .
8.6
Other current earnings ...........................
Total earnings ...................................... 100.0
Salaries and w a g e s ................................. 29.5
Other current expenses ........................... 31.9
Total expenses ...................................... 61.4
Net current earnings before inc.
taxes ....................................................... 38.6
Net losses (or net recoveries+ ) 1 ., 6.6
Net increase (or net decrease+ ) in
valuation re se rve s...........................
Taxes on net in co m e............................ 7.9
Net p r o f it s ................................................., 24.1
RATES OF RETURN ON S E C U R IT IE S & LOANS:
Return on securities:
Int. on U. S. Govt, sec..........................
1.6
Int. & div. on other sec.......................
2.9
Net losses (or net recoveries + ) on
total sec.2 ............................................
Return on loans:
Earnings on loans ...........................
5.7
Net losses (or net recoveries+ ) on
.5
loans3 ......................................................
DISTRIBUTIO N OF ASSETS:
Percentage of total assets:
U. S. Govt, sec..................................... .... 39.3
Other sec..........................................................
6.9
Loans................................................................. 25.5
Cash a s s e t s .................................................27.5
Real-estate a sse ts.................................................7
All other a s s e t s .................................................1
Total a s s e ts ........................................... 100.0
OTHER RATIOS:
Total cap. accts. to:
Total a s s e ts .................................................6.2
Total assets less Govt. sec. and
cash a s s e t s ........................................... 21.5
Total d e p o sits........................................... 6.7
Time deposits4 to total deposits . . . 22.4
Int. on time deposits4 to time deposits
.9
Trust department earnings4 to
total earnings ....................................................
Interest on time deposits4 to
total earnings .....................................................
Number of b a n ks............................................344

1949

16.8
14.2
10.5
3.3

1950

1951

1952

16.7
14.5
10.6
3.2

16.1
13.8
9.4
3.1

16.4
14.1
9.0
3.2

1953

16.3
14.2
9.0
3.1

2.87

3.05

3.05

3.12

3.25

1.11
.70

1.18
.75

1.13
.68

1.14
.64

1.15
.64

24.1
6.3
54.7
7.0
7.9
100.0
30.0
31.2
61.2

21.9
6,0
57.5
6.9
7.7
100.0
30.7
30.8
61.5

21.2
6.0
58.5
6.9
7.4
100.0
31.7
31.0
62.7

22.1
5.9
58.7
6.6
6.7
100.0
31.7
31.7
63.4

23.0
5.7
58.6
6.4
6.3
100.0
32.0
32.5
64.5

38.8
5.4

38.5
4.4

37.3
4.8

36.6
4.5

35.5
3.8

8.6
24.8

9.0
25.1

10.0
22.5

11.4
20.7

.47
11.3
19.9

1.7
2.8

1.7
2.7

1.8
2.6

1.9
2.6

2.04
2.67

6.0
.2

.1
6.0
.1

5.S

.2
37.1
7.2
28.2
26.4
.9

35.9
7.6
30.1
25.4

6.9

7.3

.1
6.3

.1

.08
6.30

.20

33.8
7.6
30.4
27.1
.9

33.9
7.7
29.8
27.5
.9

33.9
7.9
30.8
26.2

7.3

7.2

7.5

1.0
.8
.2
.2
.2
.2
.2
100.0 100.0 100.0 100.0 100.0

20.1 20.0
20.8
21.5
8.0 8.0 7.9 8.2
7.5
23.7
22.7
22.6 23.5
23.9
1.0 1.0 1.0 1.1 1.23
2.6 2.2 2.2
20.4

347

350

7.6
353

8.4
355

9.1
358

^The 1948-1952 ratios include net recoveries or losses and net changes in valuation
reserves. The 1953 ratio excludes changes in valuation reserves.
2The 1948-1952 ratios include changes in valuation reserves; the 1953 ratio excludes
them.
3Net recoveries or losses excluding changes in valuation reserves.
4Banks with none were excluded In computing this average.

cated in Chart III, there is a tendency for smaller banks to
have higher ratios of total earnings to total assets than
larger banks. This tendency is explained partly by the
greater proportion of earning assets in loans at smaller
banks than at larger banks.
There is also a tendency for smaller banks to earn
greater returns on their loans than larger banks do. The
higher average rate of earnings on loans at small banks
reflects the type of loans made; for the most part loans
are small and are more likely to be concentrated in real
estate, consumer, and farm loans and loans to small busi­
nesses than those of the larger banks. Although the smaller
banks have higher earnings in relation to total assets than

W

h a t ’s

H

No Substitute for Sound M anagement

With more of their earning assets concentrated in loans
than at any time since 1941, member bank profits have
been increasingly sensitive to changes in demand for loans
and in interest rates. Since this demand largely depends
upon general economic conditions, and since monetary
and credit policies determine in part banks’ ability to grant
credit, they have only limited control over future earnings.
Nevertheless, how well the individual bank fares in the
economic environment of 1954 will continue to depend
upon sound management.
Charles S. Overmiller

a p p e n in g

As 1953 ended, 12,000 fewer workers were employed in
the District’s largest industry than a year earlier, and tex­
tile employment was 2,200 less at the end of January 1954
than it had been at the beginning of the year. Since tex­
tiles account for 16 percent of total manufacturing in the
District, a continued decline or possible revival in employ­
ment is of considerable significance to the economy of the
region.
Textile Business in the Doldrums

Over-all activity in textiles has been declining in the
United States since the spring of 1951, although there was
a moderate upturn during the last half of 1952 and first
six months of 1953. The widely heralded recovery, how­
ever, was short-lived. By January 1954, the country’s tex­
tile production (seasonally adjusted) had dropped 23 per­
cent below the June 1953 level, with output of cottons af­
fected proportionately less than wool and synthetics.
Cotton textile production in the District represents over
85 percent of the value of total textile output, and develop­
ments in cotton, therefore, are of major importance. Cot­
ton output, as measured by the District’s seasonally ad­
justed index of cotton consumption, was off 17 percent in
February from the June 1953 peak. Employment showed
a smaller decrease than output; a number of textile mills
adopted a shortened work week in preference to lay-offs,
at the same time maintaining operations on a three-shift
basis. Wholesale prices for cotton products fell rapidly
and almost continuously after early 1951 and mill margins
shrank substantially.
Banks in communities where textile manufacturing pre­
dominates were directly influenced by conditions in the
industry, but not seriously. In communities of less than
15,000 population where textiles are the principal indus­



the larger banks, their expenses are also higher in relation
to total earnings.

in

T e x tile s

?

try, both demand (exclusive of interbank) and time
deposits rose during 1953. This increase was smaller than
for banks in similar size communities having little textile
employment. An earlier study by this Bank showed that in
the recession of early 1949, demand deposits within textile
communities showed a percentage decline from the pre­
vious year, although they rose percentagewise in other
communities. The explanation for the contrasting trends
in deposits between the two periods is that the drop in
textile activity was more moderate in 1953 than in
1948-49.
Reasons for the Textile Famine

Following cessation of hostilities in Korea in July 1953, a
marked curtailment of military buying undoubtedly con­
tributed to the adverse developments in cotton textiles.
The District states’ total of contracts awarded by the Fed­
eral Government for all types of textile goods was lower in
1953 than in the previous year. A drop in exports was
another unfavorable element. Exports ordinarily are not a
significant factor, since they make up only in the neighbor­
hood of 10 percent of this country’s aggregate sales of tex­
tile mill products. In November 1953, however, exports
of cotton cloth were off about one-third from a year earlier,
a loss large enough to cause repercussions.
Still another unfavorable element in the demand situa­
tion was the slackening in industrial purchases. Production
of cotton tire cord and fabric dropped from 22 million
pounds in the second quarter of 1953 to 14 million in the
final quarter, partly because of the substitution of syn­
thetics for cotton in tire cord manufacture. This was the
chief reason for a substantial labor surplus in the Cedartown-Rockmart region of Georgia, one of the five small

• 5•

areas in the District where more than 6 percent of the
labor force was unemployed in 1953.
Consumer demand also showed a decline. Sales of
apparel in the United States, allowing for seasonal varia­
tions, in January 1954 were 10 percent lower than in June,
and 7 percent lower than in last January. As consumer
spending waned, retailers began to diminish their apparel
purchases and inventories (seasonally adjusted) after the
autumn of 1953. The impact of this liquidation was felt
Textile Production, Employment, and
Price Indexes
S ix th D istrict S ta te s
PERCEN T

PERCENT

PRODUCTION AND EMPLOYMENT
.1 9 4 7 - 4 9 .1 0 0

ADJUSTED FOR
SEASONAL VARIATION

^

A

m/7

1

\

^

-

C O TTO N

1 7

-

-

1*

TEXTILE EMIPLOYMENT

0/J M 111 I 11 I i I I I i 1 I i i i i i i i 11 1 i i i i t

1 1 1 1 1 1 1 1 l 1 1 11 1 1 1 1 1 1 1 1 1 111 id,

by wholesalers, whose sales of clothing and dry goods
during 1953 fell more rapidly than inventories. Manufac­
turers, finding that wholesalers provided them with less
orders, also pursued a policy of retrenchment. In the last
months of 1953, inventory liquidation at textile manufac­
turers generally was accelerated, and brought more into
line with falling sales.
Finally, the so-called “textile famine” can be attributed
to a reluctance on the part of buyers to make advance
commitments. This development was precipitated by an
increased cotton supply and uncertainty regarding raw
cotton prices. “Hand-to-mouth” buying at textile mills also
can be traced to expectations of further declines in cloth
prices, and was reflected in a diminishing in the backlog
of unfilled orders.
No M ajor Revival in Sight

Press reports give some evidence of a recent pick-up in
mill orders and of a price stiffening in early 1954. Un­
filled orders for carded cotton sales yarn, for example, in­
creased slightly in January, marking the first upturn since
August, and continued to rise during February. Restric­
tions of cotton acreage also seemed to have had a salutary
effect to the extent that raw cotton prices became stabilized
in early 1954, and yarn purchases, in turn, were stepped
up in anticipation of higher prices. On the basis of these
fragmentary signs of improvement, it is too early to tell



whether we are emerging from the slump. In this connec­
tion, it is interesting that loans by District reporting banks
to textile and apparel manufacturers rose during the first
two months of 1954. A similar development had occurred
in the corresponding period of 1952 although in the first
two months of 1953, the movement was in the other di­
rection. The development is encouraging if the borrowed
funds were to be used to finance new orders.
The inventory situation is not too unsatisfactory. Retail
stocks of apparel in January 1954 were considerably
lower than a year ago. Seasonally adjusted textile manu­
facturers’ inventories, in general, at the close of 1953 were
large and at about the same level as in the early part of
the year. Stocks of broad woven cotton goods, however,
were relatively low. An increase in demand at this time,
therefore, would result in a fairly rapid improvement in
mill operations.
Regardless of the immediate short-run outlook, the
weakness of underlying forces provides scant hope for a
major revival in cotton textiles during 1954 to prosperous
early 1951 levels. Military buying is expected to decline
even more, in view of planned cut-backs in defense spend­
ing. The downward trend in exports is likely to continue
unless there is unforeseen relaxation in the restrictions
now imposed on American textiles by other nations. If
consumer spending continues to decline, personal con­
sumer demand cannot be counted on as a sustaining in­
fluence. Industrial demand is likely to dwindle since the
long-term substitution of synthetics for cotton in the manu­
facture of tire cord and the switch to burlap and paper in
making bags can be expected to continue.
Despite tribulations and unfavorable prospects, textile
manufacturers continue to establish new plants in the Dis­
trict as well as expand old ones. The textile industry is,
therefore, still one to be reckoned with.
Harry Brandt

Bank Announcement
The Federal Reserve Bank of Atlanta is pleased to
welcome The Florida National Bank at Gainesville,
Florida, into the membership of the Federal Reserve
System . This addition came about through the con­
version of the Florida Bank at Gainesville, a state
nonmember, on March 11.
Officers of the bank were listed as Justus L. Wil­
liams, President; W. Carlos Zetrouer, Vice President
and Cashier; Earl Hardee and Joseph H. Riggs, Vice
Presidents; Mrs. Ruth R . Brumby, Assistant Vice
President; and Woodrow W. Parker, Assistant Cash­
ier. The capital stock totals $100,000 and surplus
and undivided profits amount to $529,900.

• 6

•

Sixth District Statistics
Instalment Cash Loans
Volume
Percent Change
Feb. 1954 from
Jan.
Feb.
1954
1953
+ 14
+ 13
+8
—2
+9
+1
— 21
—3
— 13
—6
—5
— 17

No. of
Lenders
Report­
Lender
ing
Federal credit unions .
33
State credit unions . .
16
Industrial loan companies
8
Industrial banks . . .
7
Consumer finance companies. . . 32
Commercial banks . . .
32

Condition of 27 Member Banks in Leading Cities
Outstandings
Percent Change
Feb. 1954 from
Jan.
Feb.
1954
1953
+ 27
+0
+2
—1
+1
+ 11
—1
+1
—3
+ 10
—1
+8

Retail Furniture Store Operations

Item
Total s a le s .........................
Cash s a le s .........................
Instalment and other credit sales
Accounts receivable, end of month .
Collections during month
Inventories, end of month . .

Percent Change
Feb. 1954 from
Jan. 1954
Feb. 1953
+ 13
+0
—4
—8
+ 16
+3
—1
-3
—2
-7
—2
+2

Number
of Stores
Reporting
142
126
126
127
127
99

W holesale Sales and Inventories*

Type of
Wholesaler

Firms
Report­
ing

4
Automotive supplies. . .
8
Electrical— Wiring supplies
7
“
Appliances . .
9
Hardware................................
19
Industrial supplies . . . .
4
Jewelry......................................
6
Lumber and blda. mat’ ls .
Plumbing & heating supplies
4
Refrigeration equipment . .
6
Confectionery......................
Drugs and sundries . . . .
11
Dry g o o d s ........................... .
16
Groceries— Full-line . . . .
35
“
Specialty lines .
8
Tobacco products . ; . .
M iscellaneous...................... . 12
T o ta l.......................................... . 163

Sales
Percent Change
Feb. 1954 from
Jan.
Feb.
1954
1953
+5
+ 13
+ 19
+2
+8
+ 15
+5
+ 19
+ 18
+2
—8
+4
—3
—2
—7
+4
+2

+ 20
+ 43
— 31
—5
+ 12
—9
+1
+ 12
+34
+7
—6
—5
+3
—7
—9
+2
—1

No. of
Firms
Report­
ing

Inventories
Percent Change
Feb. 28,1 9 54 , from
Jan. 31 Feb. 28
1953
1954

4
7
6
5
8
3
5
3
6

+7
—3
+8
+1
+1
+ 16
—8
+ 11
+ 11

3
11
17
4
7
6
95

—3
+9
+7
—1
+6
+2
+4

+ 15
—0
— 15
+3
+3
+ 19
+2
+3
—3

+2
+4
+6
—0
+9
— 19
+1
Based on information submitted by wholesalers participating i n ithe Monthly Wholesale
Trade Report issued by the Bureau of the Census.

Department Stores Sales and Inventories*
Percent Change
Inventories
Sales
Feb. 28, 1954, from
Feb. 1954 from
2 Months
Jan. 31,
Feb. 28,
1954 from
Feb.
Jan.
1954
1953
1954
1953
1953
Place
—8
—7
+ 15
—3
+8
ALABAMA .........................
—7
—9
+ 12
—3
+ 13
Birmingham . . . .
—2
+3
+1
M o b i l e .........................
—7
— 10
—6
Montgomery . . . .
—0
—4
—3
+3
+3
FLORIDA .........................
— 11
—5
—1
—3
+ 11
Jacksonville . . . .
+4
—4
+
2
—
2
+
4
Miami...............................
—2
—3
+2
O rla n d o .........................
—3
—3
St. Ptrsb-Tampa Area
+3
—5
—7
—3
—6
St. Petersburg . . + 15
—8
Tampa.........................
+1
+0
—4
—5
+9
—3
+0
GEORGIA .........................
—4
—3
—2
—1
+ 11
Atlanta** . . . .
—7
—9
—2
A u g u s ta .........................
—ii
—3
—3
+8
—1
Columbus........................
— 11
+ 14
—9
+1
M acon..............................
+3
—1
—5
+7
Rome** .........................
—8
—2
Savannah** . . . .
+4
—2
+3
+5
LOUISIANA . . . .
+3
+ 11
+2
—2
+ 12
Baton Rouge . . .
+3
+3
—2
+4
+3
New Orl eans. . . .
+3
+ 11
—6
—3
+1 3
+8
+2
M ISSISSIPPI . . . .
—9
—3
+6
Jackson ......................... + 12
+3
—4
—1
Meridian**
. . .
+1
—4
+9
—2
—1
TENN ESSEE . . . .
+3
—1
—7
+ 13
—3
B r is t o l * * ......................... + 5
Bristol-Kingsport—1
—5
+2
Johnson City**
.
—3
—3
Chattanooga . . . .
—3
— i9
+3
+ 10
Knoxville......................... + 10
+i
+7
—3
—6
—8
Nashville . . .
+1
—4
—
4
+
8
—
1
D ISTRIC T .........................
+3
^Includes reports from 125 stores throughout the Sixth Federal Reserve District.
* * ln order to permit publication of figures for this city, a special sample has been
constructed which is not confined exclusively to department stores. Figures for non­
department stores, however, are not used in computing the District percent changes.




(In Thousands of Dollars)

Item
Loans and investments—
Total .....................................
Loans— G r o s s .........................
Commercial, industrial,
and agricultural loans
Loans to brokers and
dealers in securities .
Other loans for pur­
chasing or carrying
s e c u ritie s .........................
Real estate loans . . .
Loans to banks . . . .
Other loans .........................
Investments— Total . . . .
Bills, certificates,
and notes .........................
U. S. bonds .........................
Other securities . . . .
Reserve with F. R. Bank . .
Cash in vault .........................
Balances with domestic
Demand deposits adjusted .
Time d ep osits.........................
U. S. Gov’t deposits . . .
Deposits of domestic banks
Borrowings.................................

Percent Change
Mar. 17,1954, from
Feb. 17
Mar. 18
1954
1953

March 17
1954

Feb. 17
1954

March 18
1953

3,082,732
1,301,330
1,322,723

3,041,312
1,309,315
1,330,632

2,899,149
1,240,335
1,262,011

+1
—1
—1

776,418

777,732

727,601

—0

+7

14,142

12,939

12,393

+9

+ 14

33,953
86,733
17,645
393,832
1,781,402

34,256
86,277
24,393
395,035
1,731,997

34,063
95,411
7,552
384,991
1,658,814

—1
+1
— 28
—0
+3

—0
—9
*
+2
+7

678,461
838,594
264,347
486,587
45,695

682,462
787,695
261,840
514.784
4 4 J2 6

695,972
711,874
250,968
536,021
46,154

—1
+6
+1
—5
+2

—3
+ 18
+5
—9
—1

245,014
2,190,155
580,647
91,221
713,851
25,500

244,552
2,204,249
579,751
86,062
688,391
27,500

232,212
2,151,477
560,020
69,241
676,624
19,000

+0
—1
+0
+6
+4
—7

+6
+2
+4
+32
+6
+ 34

+6
+5
+5

*100 Percent or over.

Debits to Individual Demand Deposit Accounts
(In Thousands of Dollars)

February
1954

January
1954

26,095
379,569
17,565
20,595
160,900
86,174
31,427

29,522
445,159
20,396
23,544
169,828
97,020
35,309

27,167
386,119
15,872
21,345
145,119
85,048
28,227

— 12
— 15
— 14
— 13
—5
— 11
— 11

—4
—2
+ 11
—4
+ 11
+1
+ 11

—4
—3
+6
—7
+2
—2
+8

442,262
425,788
659,008
86,118
52,334
99,495
199,544
65,711

460,513
424,835
671,225
101,578
57,436
108,341
215,346
71,100

389,615
385,554
597,368
91,756
50,302
94,408
190,273
70,257

—4
+0
—2
— 15
—9
—8
—7
—8

+ 14
+ 10
+ 10
—6
+4
+5
+5
—6

+7
+6
+7
—3
+4
+0
+4
—4

40,683
1,190,245
82,434
13,281
79,807
4,444
28,218
12,800
79,085
11,950
29,997
119,351
20,619

36,805
1,044,675
82,818
12,403
70.874
57293
22,400
13,895

.
.

35,697
1,180,614
75,183
12,862
68,839
4,339
24,040
12,284
72,526
10,309
27,704
112,635
16,990

8,252
24,641
107,854
14,350

— 12
—3
— 1 + 13
—9
—9
—3
+4
— 14
—3
— 2 — 18
+7
— 15
— 4 — 12
—8
+1
— 14 + 2 5
— 8 + 12
—6
+4
— 18 + 18

—3
+7
— 12
+4
—5
— 12
+ 11
—9
—1
+9
+9
—4
+ 15

.
.
.
.

41,957
126,959
48,737
927,853

47,912
137,544
58,344
916,862

41,082
119,591
51,857
848,723

— 12
—8
— 16
+1

+2
+6
—6
+9

+0
+3
—4
—3

.
.
.

20,723
143,553
25,685
15,191

21,367
195,982
27,290
15,352

19,769
164,819
30,257
13,653

—3
— 27
—6
—1

+5
— 13
— 15
+ 11

+1
— 10
— 16
+4

.
.
.

196,431
140,692
415,586

248,001
176,427
429,084

186,018
143,764
400,510

— 21
— 20
—3

+6
—2
+4

—1
+5

.

5,647,843

6,021,670

5,316,620

—6

+6

+1

141,933,000 154,294,000 129,163,000

—8

+ 10

+8

Place
ALABAMA
Anniston . . .
Birmingham . .
Gadsden

. . .

Montgomery .
Tuscaloosa* .
FLO RIDA
Jacksonville .
Miami . . . .
Greater Miami*

.
.
.
.

Pensacola . . .
St. Petersburg .
Tampa . . . .
West Palm Beach*
GEORGIA

Brunswick.
Columbus .
Elberton .
Gainesville*
G riffin * . .

.
.
.
.
.

Savannah . .
Valdosta . .
LOUISIANA
Alexandria* .
Baton Rouge.
Lake Charles .
New Orleans .
M ISSISSIPPI
Hattiesburg .
Jackson . . . .
Meridian . .
Vicksburg . .
TEN N ESSEE
Chattanooga .
Knoxville . .
Nashville . .
SIXTH DISTRIC T
32 Cities . .
UNITED STATES
345 C itie s. .

_______ Percent Change_______
Feb. 1954 from
2 Months
February
Jan.
Feb. 1954 from
1954
1953
1953
1953

.
.
.
.
.

.

71,757

*Not Included in Sixth District totals.

• 7•

—2

Sixth District Indexes
Manufacturing
Employment
Jan.
1954
UNADJUSTED
District Total
Alabama. .
Florida . .
Georgia . .
Louisiana .
Mississippi .
Tennessee .
SEASONALLY
District Total
Alabama ..
Florida . .
Georgia . .
Louisiana .
Mississippi .
Tennessee .

......................112
......................105
......................139
......................113
......................110
......................106
......................113
ADJUSTED
......................112
......................103
......................130
......................113
. . . . .
112
......................108
......................114

Dec.
1953

Jan.
1953

114r
105
137r
114
113r
110
114r
113r
103
131r
114
109r
109
114r

113
107r
137r
115r
105r
113
114r
113
105r
128r
115r
107r
115
116

1 9 4 7 -4 9 = 100
Manufacturing
Cotton
Payrolls
Consum ption**
Jan.
1954

Dec.
1953

153
136
191
152
152
151
155
151
135
177
150
156
155
157

Jan.
1953

Feb.
1954

Jan.
1954

Feb.
1953

152
140
184
155
140
161
154

97
96

93
92

111
112

98

94

iii

120
89

124
108

155r
138r
188r
153r
160r
155r
158r
152r
132
178r
150r
155r
153r
156

124
89

151
139
170
154
145
166
156

91

90

D ISTRICT SA LES* . . .
Atlanta1 ...........................
Baton Rouge . . . .
Birmingham.....................
Chattanooga .......................
Jackson ................................
Jackso n ville ......................
K n o xville ...........................
M a co n ................................
M ia m i.................................
N a sh v ille ...........................
New Orleans.....................
S t. Ptrsbg-Tampa Area .
T a m p a .................................
D ISTRIC T STOCKS* . .

Adjusted
Jan.
1954

. 123p
116
105p
114
121
112p
104
129
117
123
, 116
. 133p
. 133
. 118
. 140p

122r
121r
109
99
127
102
103r
116
116
122
121r
118
136
127
142

Feb.
1953
123r
119r
102r
H Sr
125
109r
lOSr
117r
128r
126r
126r
120r
137r
H Sr
146

Feb.
1954
lO lp
94
82p
90
95
87p
79
98
89
134
87
105 p
127
99
139p

Unadjusted
Jan.
1954
94r
92r
76
77
95
74
76r
85
83
123
82r
98
119
103
129

Feb.
1954

Jan.
1954

121
203
339
137
71
83

126
224
137
277
85
94

Furniture
Store S a le s * / * *

Feb.
1953

157
136
221
309
237
100

104

Feb.
1954

Jan.
1954

Feb.
1953

83
84
82
91
89

73r
67
85r
70
S ir

83
85
87
91
S3

72

60

70

90r
90r
97r
90
98r

98
97
98
103
96

80

89

98
97
92
103
103

91

Department Store Sales and Stocks**
Feb.
1954

Construction
Contracts

Other District Indexes
Feb.
1953
lO lr
96r
80r
93
99
84 r
82
89r
98r
137r
94 r
95r
131
99
144

1To permit publication of figures for this city, a special sample has been constructed
that is not confined exclusively to department stores. Figures for non-department stores,
however, are not used in computing the District index.
*For Sixth District Area only. Other totals for entile six states.
**D aily Average basis.
Sources: Mfg. emp. and payrolls, state depts. of labor; cotton consumption, U. S. Bureau
Census; construction contracts, F. W. Dodge Corp.; furn. sales, dept, store sales,
turnover of dem. dep., FRB Atlanta; petrol, prod., U. S. Bureau of Mines; elec. power
prod., Fed. Power Comm. Indexes calculated by this Bank.

Feb.
1954
Construction contracts* . . .
R e sid e n tial.................................
Other ...........................................
Petrol, prod, in Coastal
Louisiana and Mississippi** 134
Furniture store stocks* . . . 107
Turnover of demand deposits*
20.5
10 leading cities . . . .
21.4
Outside 10 leading cities .
17.2

Adjusted
Jan.
1954

Feb.
1953

135
lllr
19.2
19.8
17.0

142
122
19.2
19.7
17.1

Jan.
1954

Dec.
1953

Jan.
1953

141
121
150
111
87
140
96
96
178

139r
122r
148r
lO Sr
89
143
lOOr
96
176r

140r
117r
156r
lO Sr
93r
137r
. 99r
101
155r

Elec. power prod., total** .
Mfg. emp. by type
C h e m ic a ls .................................
Fabricated metals . . . .
Lbr., wood prod., furn. & fix.
Paper and allied prod. . .
Primary m e ta ls ......................
Trans, equip................................
r Revised

Feb.
1954

Unadjusted
Feb.
Jan.
1954
1953

185
172
195

190r
158r
213

192
162
214

136
104
20.3
21.6
16.7

138
109r
19.8
20.8
17.3

144
119
19.0
19.9
16.6

Jan.
1954

Dec.
1953

Jan.
1953

190

183

178

139
122
151
110
87
140
97
96
178

142r
123r
153r
114r
89
145r
100
97
173r

138r
119r
158r
107r
93r
137r
lOOr
101
155r

p Preliminary

IEWYORK
Philadelphia

O Reserve Bank Cities
• Branch Bank Cities
mm District Boundaries
— Branch Territory Boundaries
"fa Board of Governors of the Federal Reserve System