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Monthly Review
ATLANTA, G E O R G IA , M A R C H 31, 1955
ln
%
is I s s u e :
T u fte d T e x tile s
M e m b e r B a n k E a rn in g s D o w n B u t P ro fits U p
D is tric t B u s in e s s H ig h lig h ts
SixthDifiridStatistics:
Condition of 27 Member Banks in Leading Cities
Debits to Individual Demand Deposit Accounts
Department Store Sales and Inventories
Instalment Cash Loans
Retail Furniture Store Operations
Wholesale Sales and Inventories
SfrtfiVffiridIndexes:
Construction Contracts
Cotton Consumption
Department Store Sales and Stocks
Electric Power Production
Furniture Store Sales
Manufacturing Employment
Manufacturing Payrolls
Petroleum Production
Turnover of Demand Deposits
S ^ d e ra f^ se rre B a n ^ o J fitfa n ta
DISTRICT BUSINESS HIGHLIGHTS
T h e e x p a n s i o n i n D i s t r i c t e c o n o m ic a c tiv ity , w i t h fe w e x c e p tio n s , h a s g a i n e d m o m e n
t u m . C o n s u m e r b u y i n g h a s r i s e n t o n e w h e ig h ts ; b a n k l o a n s a n d d e b its h a v e in c r e a s e d ;
i n s u r e d u n e m p l o y m e n t h a s d e c lin e d
c o n tr a - s e a s o n a lly ; a n d r e s i d e n t i a l c o n t r a c t a w a r d s
h a v e b e e n m a i n t a i n e d a t r e c o r d h ig h s . M a n u f a c t u r i n g
a c tiv ity , h o w e v e r , h a s i m p r o v e d
o n l y s lig h tly , a n d p r o s p e c t s f o r a g r i c u l t u r a l in c o m e h a v e b e e n m a t e r i a l l y d im in is h e d b y
a d v e rse w e a th e r in so m e a re a s .
D e p a r tm e n t sto r e s a le s ,
F u r n itu r e s t o r e s a le s ,
seasonally adjusted, rose to record peaks in early March.
seasonally adjusted, continued upward in February.
N e w c a r r e g i s t r a t i o n s in January were considerably ahead of the previous year,
and in Atlanta they continued to increase sharply in February.
C r e d i t s a l e s a t D i s t r i c t d e p a r t m e n t s t o r e s in February accounted for a larger
proportion of total sales than they did a year earlier.
B a n k d e b i t s , after seasonal adjustment, increased in February and were well above
the year-earlier level.
T o t a l d e p o s i t s at member banks increased at a seasonal rate in February and were
considerably higher than a year earlier.
at member banks, seasonally adjusted, increased during February and
according to preliminary data continued to gain during March.
T o ta l lo a n s
I n s u r e d u n e m p l o y m e n t dropped somewhat in February, although increases are
customary during that month.
R e s i d e n t i a l c o n t r a c t a w a r d s during February were about the same as for January,
but were the largest for any February on record.
as a percent of capacity, rose further between mid-February and
mid-March in Birmingham, but were still slightly below those in the nation.
S te e l o p e r a tio n s ,
e m p l o y m e n t , after seasonal adjustment, remained almost un
changed during January; seasonally adjusted m a n u f a c t u r i n g p a y r o l l s fell slightly.
M a n u fa c t u r in g
i n c o m e p r o s p e c t s have worsened because of severe damage to the
peach, pecan, tung, strawberry, and grain crops from the freezing temperatures and
because of the drought conditions which are persisting in South Georgia, South
Alabama, and North Florida.
A g r ic u ltu r a l
e m p l o y m e n t this spring has been less than normal, principally because ad
verse weather conditions have interfered with springtime farm work.
F arm
A c r e a g e s of cotton, rice, tobacco, and corn will be smaller than last spring, but
acreages of oats, soybeans, potatoes, and hay will be larger if farmers follow present
intentions.
B r o i l e r p r i c e s have held at the higher levels reached in February, and farmers have
consequently scheduled a significant increase in broiler production.
M em ber
bank
b o r r o w in g s
declined in mid-March, but remained at moderately
high levels.
•
2
•
T
R a p id
u
ft e d
D e v e lo p m e n t o f a L o c a l In d u s try
Southern industrial development is thought by many to
have been achieved almost solely through the transfer of
industry from other sections of the United States. Although
this has occurred to a certain extent, other types of indus
trial development undoubtedly have been of greater impor
tance. The establishment of branch plants by national firms
in recent years has been more often in the nature of a
general expansion of these companies than a transfer of
their operations.
A considerable amount of native industrial development
has taken place. Local entrepreneurs using local capital
have organized many manufacturing firms in the District,
and these have merely grown along with the economy of
the region and with the national market. A striking ex
ample of an industry that originated in the District and
developed in this manner, but which has recently begun
to lose some of its local, small-size characteristics, is the
tufted textile business.
The origin of the tufting industry can be traced to 1900,
when a Dalton, Georgia, farm girl who had revived the art
of hand tufting sold her first tufted (chenille) bedspread.
For the next twenty years, neighboring housewives pre
occupied themselves with the tufting of bedspreads for sale.
The commercial success enjoyed by these women induced
their husbands to form tufting businesses, and individuals
who had manufactured textile products elsewhere in the
District and outside the region were also attracted to the
industry. Hand tufting, however, in the homes of nearby
mountain people remained the principal method of manu
facturing until minimum wage and hour laws were enacted
in the early 1930’s, which made such operations unprofit
able and hastened the introduction of machinery and a
change to the factory system. Tremendous strides in the
development of machinery since then has made possible
an increasing variety of tufted products.
Rapid Growth Since World War II
The principal expansion of the industry, therefore, is of
recent origin. As late as 1939, for example, manufacturers’
shipments totaled only 15 million dollars, according to the
Tufted Textile Manufacturers Association. Bureau of
Census data indicate that shipments of tufted products in
1953 amounted to about 165 million dollars, and in the
first half of 1954, such shipments were 16 percent above
the like period of 1953.
Although shipments of tufted robes and bedspreads
declined in 1953, the latest year for which data are
available, the value of shipments of floor coverings in
creased sharply. Rug production did not exceed 3 mil
lion square yards before World War II, and most of
that consisted of bathmats and bath sets, but with the
introduction of scatter rugs, total output rose considerably.
More recently room-size rugs and wall-to-wall carpeting
brought total production of tufted floor coverings to more
T e x t ile s
than 29 million square yards in 1952. The value of ship
ments of tufted carpeting and rugs in the first half of
1954 accounted for about three-fourths of all tufted
product shipments during that period.
There are probably no more than 20,000 employees en
gaged in tufting production in the nation, but this industry
is of considerable importance in northern Georgia and to a
lesser extent in eastern Tennessee, where most of the plants
in the nation are located. In Georgia, in Whitfield County
alone, of which Dalton is the county seat, more than 8,300
covered workers were employed in tufting factories and
finishing plants in September 1954.
S h ip m e n t s
of
T u fte d
T e x t ile
P ro d u cts,
f.o .b .
P la n t
U . S. M a n u fa c tu re r s
1 9 5 2
* Rugs
larger than
1 9 5 3
1 9 5 4
4' X 6 '
That geographical concentration continued in or around
the industry’s birthplace reflects various economic forces.
During the early stages of development, availability of
low-cost labor in the area and the native handicraft tradi
tion induced tufting firms to locate there. Subsequently,
manufacturers of tufting machines, suppliers of yarn and
other materials, and eventually finishing plants began to
locate in the same general area, with the result that tufting
firms already there remained and new ones moved in.
These external economies are somewhat less applicable
to the making of floor coverings than bedspreads so that
the trend is toward slightly greater dispersion. Several
woven carpet manufacturers who have recently gone into
tufted rug making have located or are about to locate out
side the traditional tufted textile area. Some conventional
rug mills, however, either do their own producing or have it
done at plants within a 75-mile radius of Dalton, where
practically all tufted floor covering plants are found.
•3•
Economic Structure Changing
About two-thirds of Georgia’s manufacturers of miscel
laneous fabricated textiles, largely consisting of tufted bed
spreads, employed less than 20 workers each as recently
as 1947, an indication of the extremely small size of many
manufacturers at one time. Today, the average company is
apparently larger. Despite the entry of carpeting firms,
the total number of tufting concerns has declined since
1946 from more than 300 to about 150, largely as a result
of consolidations and failures. Total output has become
more concentrated in the hands of fewer firms. According
to persons intimately associated with the industry, less than
twenty firms were responsible for about 50 percent of total
output in 1953. The degree to which companies are locally
owned has declined with the entry of national concerns.
Changes in the economic structure of the industry have
occurred because the firms have been forced to adjust to
technological advances and product diversification. A
firm manufacturing carpets would have to be fairly large
to succeed because of the intricate operations involved and
the expensive machinery requirements. Less than 30
companies belonging to the trade association, which claims
to represent producers of 80 percent of output of tufted
carpets and rugs, were engaged in this activity last year,
and only a handful of these were traditional carpet and
rug manufacturers who had gone into tufting because their
sales and profits had declined in the last few years. Other
influences causing this shift undoubtedly included a change
in consumer tastes toward tufted rugs and the low cost
of producing a tufted carpet, compared with that of pro
ducing a woven one. Some observers estimate that sales
of tufted carpets made up more than one-third of all
carpet sales in 1954.
These changes in structure are impressive, but the in
dustry is, nevertheless, still one of fairly small operations
and is composed of a number of comparatively small
firms. Even the largest company engaged solely in the
manufacture of tufted products probably employs no
more than 1,500 persons. Most firms still specialize in
only one or two major products, and usually they do not
spin the yarn or weave the duck and other backing.
Capital Investment Rising
Costliness of the equipment naturally would be less of a
handicap to an old, established, large rug concern, than
to the typical tufted bedspread or bathroom-set manu
facturer who considers going into carpet production.
Frame-type or so-called yardage machines that can turn
out tufted broadloom usually cost more than 10,000
dollars each, and often twice that much. Some machines
tuft floor coverings up to 15 feet in width and contain as
many as 1,200 needles. Once the roll of duck, or jute, is
fed into the machine, these needles tuft either loops or
cut pile into the backing at much greater rates than the
looms that turn out woven carpets. The yarn that goes
into the tufting machine comes from many spools mounted
on a creel, a piece of equipment costing an additional
few thousand dollars. The finishing of the carpet, how
ever, involves the costliest investment, sometimes running
as much as several hundred thousand dollars. The neces
sary equipment is elaborate; in a sequence of principal
operations, it washes and dyes the carpet, extracts mois
ture from it, rubberizes its underside, and dries the latex.
Making bedspreads, bathmats, and small rugs today in
volves a greater capital outlay than in years gone by, but
the machinery used for this purpose is far less intricate
and costly than that used for carpets, especially in the
finishing process.
F lo o r c o v e r in g s a c c o u n t f o r m a j o r p r o p o r t io n o f t o t a l
t u f t e d p r o d u c t io n , w h e r e a s in 1 9 4 6 b e d s p r e a d s w e r e
m o s t im p o r t a n t, a s m e a s u r e d b y v a lu e o f U . S.
m a n u fa c t u r e r s ’ s h ip m e n ts
1946
1953
A typical medium- or large-size manufacturer today
makes a bedspread on a smaller yardage machine than
that used for carpets. The design is traced on an electric
drum that then imprints it on a bolt of sheeting. The
yardage machines produce the entire pattern or, if the
design is complicated, a partial pattern, in which case,
operators using punchwork or small table machines finish
the job after the tufted cloth is cut into segments. The
bedspread is later dyed, washed, extracted, and dried in a
large laundry tumbler.
The typical small operator uses table machines that
cost only several hundred dollars— in some cases even for
making room-size rugs. Some firms arrange with others
possessing yardage machines to tuft rugs for them. It is
not essential, and in many cases it is uneconomical, for
companies to have their own finishing plant because there
are firms that specialize in this work. These outside facili
ties, however, are considered by many to be inadequate.
Few large carpet manufacturers do their own finishing,
but an increasing number of bedspread, bathmat, and
scatter rug firms do so. One reason why so many small
operators can survive is that labor and raw materials are
such a large proportion of total costs, although growing
mechanization is undoubtedly putting the smaller-size firm
at an increasing disadvantage.
Other Distinguishing Characteristics
The tufting industry is a seasonal business, probably less
so now than in the past because seasonal variations in con
sumer purchases of tufted rugs and carpets are not ex
tremely pronounced. Skill requirements in general have
diminished, yet they remain comparatively high. Because
men are usually employed on yardage machines whereas
women work on table models, the proportion of women
•4 •
employed in the industry has declined, but it is believed
that women still outnumber men. As the industry came to
use more male labor and as rug production became more
important, the average wage rate became larger. Hourly
wages are probably not much different from those received
by the District’s textile workers, who averaged $1.20 an
hour last year.
Financing by Banks and Factors
Tufting firms meet some of their capital needs by borrow
ing from District financial institutions. Although several
banks that are located in the principal area of tufting
production have had little experience with lending to this
industry, a small number of them have engaged in such
financing to a considerable extent. Much of the credit
extended has been for the purpose of satisfying working
capital requirements, which are fairly considerable, not
only because of the seasonal nature of both production and
sales but also because tufting firms frequently offer longer
credit terms than they receive from their own suppliers.
Some banks have extended lines of credit to selected
manufacturers who used the borrowed funds primarily
to buy raw materials or to build up finished goods inven
tories before the beginning of a season. A number of
companies that do not have their accounts factored rely
on banks to lend to them on receivables. Equipment
financing is probably less common than accounts receiv
able financing. Some bankers have been reluctant to lend
to tufting firms that have enjoyed such remarkable growth
that their capital structure has become inadequate.
Factors are a fairly important source of short-term
M
e m
b e r
B a n k
E a r n in g s
Net profits after taxes at Sixth District banks in 1954
amounted to 55.6 million dollars, 13 million dollars more
than the 1953 amount. Little of the increase in profits,
however, came about because of an increase in operating
income from such sources as loans and investments. Net
profits from the sale of securities, together with recoveries,
accounted for most of the growth in the banks’ net profits.
The operating ratios for 1954, just completed by this
Bank, help explain the seeming contradiction between the
changes in net profits and operating earnings. The 1954
ratios were computed by using averages of data taken from
reports of condition for December 31, 1953; June 30,
1954; and October 7, 1954, together with data from the
banks’ reports of earnings and dividends for 1954. The
averages for 1954 and several preceding years are shown
in the table on page 6.
The ratios reveal that in 1954 the banks earned a slightly
greater return on total assets, 3.26 percent compared with
3.25 percent in 1953. For one thing, earning assets con
stituted a greater part of total assets in 1954. For another
thing, banks shifted some of their earning assets from
Government securities to loans and other securities, which
normally yield higher average returns. Government security
holdings in 1954 constituted 33.4 percent of total assets,
capital. Although some of them have made loans to carry
inventories, their principal activity is apparently the financ
ing of accounts receivable. The factor commonly assumes
the credit risk, does the collecting of invoices for the
manufacturer, and pays him a large advance payment
almost immediately after the merchandise has been
shipped. For performing credit investigation, bookkeeping,
and related services, the factor receives a commission.
He also charges interest on the money given his client in
advance of collections from the manufacturers’ customers.
Future Is Bright
In view of the rapid development and tremendous changes
in a comparatively few years, the industry may reasonably
expect further expansion. Not only are new products
being offered, of which tufted automotive floor coverings
and tufted upholstery fabrics are the latest, but also the
potential of some of the more familiar tufted articles has
not been reached.
Much research by the companies and the industry’s
vigorous trade association has been directed toward fur
ther improvement of its products. Moreover, experiments
with synthetics and various blends have been going on
for some time, and these fibers are being used to an
increasing extent in the making of tufted floor coverings.
New machines and equipment are also continually being
devised. Even though the trend toward geographic dis
persion, mass production, and larger-size national con
cerns is expected to go on, this District will benefit from
a continuing growth of the tufting industry.
H arry B randt
D
o w
n
B
u
t
P
r o f it s
U
p
compared with 33.9 percent in 1953. The corresponding
ratios for other securities and loans rose from 7.9 to 8.1
percent and from 30.8 to 31.5 percent, respectively.
Net
p r o fits
at
D is t r ic t m e m b e r
p r im a r ily
b ecau se
fro m
s a le
th e
of
r e c o v e r ie s
banks
and
rose
in
1954
p r o fits
o f s e c u r it ie s
m illion d o lla rs
240
1947
1948
1949
1950
1951
1952
1953
1954
The shift from Government securities to loans was the
expected reaction of the policy of active ease followed by
the Federal Reserve System during 1954. Declining rates
on Governments encouraged banks to expand their loans—
one of the desired effects of an anti-recessionary monetary
and credit policy. Also, for banks that could expand loans
only by selling securities, declining security yields during
the first part of the year and a corresponding rise in market
values made the sale of such securities attractive.
Government securities yielded an average of 2.06 per
cent in 1954, compared with 2.04 percent in 1953, largely
because banks concentrated more of their investment funds
in the longer-term, higher-yield securities. Rates on Govern
ments declined during the first half of the year but increased
during the last half. Rates on loans, judging by rates on
new business loans at selected banks, were still falling at
the end of 1954. The average rate of return on loans
declined from 6.30 percent in 1953 to 6.19 percent in 1954.
AVERAGE OPERATING RATIOS OF ALL MEMBER BANKS IN THE
SIXTH FEDERAL RESERVE DISTRICT
1949
1950
1952
1951
1953
SUMMARY RATIOS:
Percentage of total capital accounts:
Net current earnings before inc.
16.7
16.1
16.4
16.3
taxes .............................. 16.S
14.1
14.2
14.5
13.8
Profits before inc. taxes . . . . 14.2
10.6 9.4
9.0
9.0
10.5
Net profits..........................
3.2
3.1
3.2
3.3
3.1
Cash dividends declared . . . .
Percentage of total assets:
2.87
3.25
3.05
3.05
3.12
Total earnings .....................
Net current earnings before inc.
1.11 1.18 1.13 1.14 1.15
taxes ..............................
.70
.64
.75
.68 .64
Net profits..........................
SOURCE AND DISPOSITION OF EARNINGS:
Percentage of total earnings:
21.9
21.2 22.1 23.0
Int. on U. S. Govt, sec...........
24.1
Int. & div. on other sec...........
6.3
6.0 6.0 5.9
5.7
54.7
57.5
58.5
58.7
58.6
Earnings on loans.................
7.0
6.9
6.9
6.6 6.4
Serv. chgs. on dep. accounts . .
Trust department earnings1 .
Other current earnings ............
Total earnings ..................
Salaries and wages.................
Interest on time deposits2. .
2.6
2.2
2.2
31.7
31.7
32.0
7.4
7.9 7.7
6.7
6.3
100.0 100.0 100.0 100.0 100.0
30.0
30.7
7.6
8.4
9.1
1954
15.5
15.1
9.9
3.1
3.26
1.10
.71
22.4
5.9
58.8
6.7
2.6
6.2
100.0
32.3
10.4
33.9
32.5
Other current expenses ............ 31.2
30.8
31.0
31.7
66.2
63.4
64.5
61.5
62.7
Total expenses .................. 61.2
Net current earnings before inc.
35.5
33.8
38.5
36.6
taxes ........................... 38.8
37.3
3.8
+ 1.0
5.4
4.4
Net losses (or net recoveries +)3
4.8
4.5
Net increase (or net decrease + )
1.4
.47
in valuation reserves............
11.4
Taxes on net income..............
8.6 9.0 io.o 11.4 11.3
19.9
22.0
20.7
Net profits..........................
24.8
25.1
22.5
RATES OF RETURN ON SECURITIES & LOANS:
Return on securities:
1.9
2.04
2.06
1.7
1.7
1.8
Int. on U. S. Govt, sec...........
2.60
2.8 2.7
2.6 2.6 2.67
Int. & div. on other sec...........
Net losses (or net recoveries + )
+ .27
.1
.08
.1
on total sec.4....................
Return on loans:
6.30
6.19
5.8
6.0 6.0 6.3
Earnings on loans ..................
Net losses (or net recoveries + )
.2
.2
.1
.1
.20
.17
on loans5 ........................
DISTRIBUTION OF ASSETS:
Percentage of total assets:
37.1
35.9
33.9
33.9
33.4
33.8
U. S. Govt, sec....................
7.2
7.6
7.6
7.7
7.9
8.1
Other sec............................
28.2
30.1
30.4
29.8
30.8
31.5
Loans .................................
25.4
26.2
27.1
27.5
25.8
Cash assets ........................ 26.4
.9
1.0
1.0
.9
.8
.9
Real-estate assets .................
.2
.2
.2
.2
.2
.2
All other assets....................
100.0
Total assets ..................... 100.0 100.0 100.0 100.0 100.0
OTHER RATIOS:
Total cap. accts. to:
7.2
Total assets ........................
6.9
7.5
7.7
7.3
7.3
Total assets less Govt. sec. and
21.5
20.8 20.4 20.1 20.0 19.6
cash assets.............. ..
7.5
8.0 8.0 7.9
8.2
8.4
Total deposits.....................
23.7
22.7
22.6 23.5
24.8
Time deposits6 to total deposits . . 23.9
Int. on time deposits6to time deposits
1.0
1.0
1.0
1.1
1.23
1.36
362
NUMBER OF BA N K S................. 347
350
353
355
358
1Banks with none were excluded. Ratio included in “Other current earnings.”
2Banks with none were excluded. Ratio included in “Other current expenses.”
3The 1949-1952 ratios include net recoveries or losses and net changes in valuation
reserves; the 1953-1954 ratios exclude changes in valuation reserves.
4The 1949-1952 ratios include changes in valuation reserves.
5Net recoveries or losses excluding changes in valuation reserves.
"Banks with none were excluded in computing these averages.
Although the average return on assets thus increased
modestly, the increase was more than offset by greater ex
penses. In 1954, expenses as a ratio of total eamings were
66.2 percent—higher than a year earlier and the highest
since the war years. The increase in expenses stems
primarily from higher costs for wages and salaries and a
higher interest cost on time deposits.
The sum total of all these developments was a smaller
ratio of net current earnings (before taxes) to total assets
in 1954 than the year before, 1.10 percent compared with
1.15 percent. During 1954, banks added substantially to
their capital accounts. With only a moderate increase in
earnings, net earnings as a percent of total capital declined
to 15.5 percent in 1954 from 16.3 percent in 1953.
Losses on loans and recoveries on loans previously
written off and amounts added to reserves for bad debt
losses on loans are not included in the banks’ operating
earnings or expenses. Losses or profits from the sale of
securities are also excluded. The items, however, were in
cluded in arriving at the net profit figures.
In 1954, profits from sales of securities amounted to
one percent of banks’ total earnings. In 1953, they had
incurred losses on the sale of securities amounting to 3.8
percent of total earnings. It was the net profits and re
coveries on securities in 1954, made possible by condi
tions in the money market, that increased net profits from
9 percent of total capital accounts to 9.9 percent. Income
from this source was only partly offset by greater transfers
to valuation reserves in 1954 than in 1953.
Changes in the Internal Revenue Code authorized a
somewhat more liberal basis for providing for possible
losses on loans in the future. Actual net losses on loans
in relation to total loans were lower in 1954. Profitwise,
1954, which was considered to be a recession period, was a
favorable year for bank operations. Although their expenses
followed the trend of recent years, banks were able to meet
dividend payments and to further add to capital funds.
C harles S. O vermiller
B a n k A n n o u n c e m e n ts
On February 24, the Avon Citrus Bank, Avon Park,
Florida, a nonmember bank, began to remit at par
for checks drawn on it when received from the Federal
Reserve Bank. Its officers include James Sottile, Jr.,
President; William Sottile and W. D. Dorminey, Vice
Presidents; W. V. Proctor, Jr., Assistant Vice President;
Leon L. DeLaney, Cashier; and Mrs. Mary F. Garrett,
Assistant Cashier. Capital amounts to $100,000 and
surplus and undivided profits to $165,455.
On March 1, the Bank of Crestview, Crestview, Flor
ida, was admitted to membership in the Federal Reserve
System. Officers of this bank are C. B. McLeod, Presi
dent; M. L. Campbell, Executive Vice President; A . B.
Moore and Mrs. Virginia McLeod, Vice Presidents;
Ralph Baggett, Cashier; Miss M. B. Anderson, Mrs.
Margaret Holmes, and Mrs. N. J. Matros, Assistant
Cashiers; and Alex Clemmons, Farm Representative.
Capital amounts to $100,000 and surplus and undivided
profits to $95,000.
•6-
Sixth District Statistics
I n s t a l m e n t C a s h L o a n s __________________
Condition of 27 Member Banks in Leading Cities
(in Thousands of Dollars)
Lender
Federal credit unions. . .
State credit unions . . .
Industrial banks...........
Industrial loan companies .
Small loan companies . .
Commercial banks . . . .
_____ Volume
Percent Change
Feb. 1955 from
Jan.
Feb.
1955
1954
+6
+ 20
— 23
—12
— 14
+35
—2
+ 15
+ 40
+1
—2
+39
Report
ing
. . 38
17
. . 8
. . 11
. . 33
. . 32
Outstandings
Percent Change
Feb. 1955 from
Feb.
Jan.
1954
1955
+1
+ 12
—2
+ 17
+1
+8
+1
+ 15
+0
+ 34
+5
+0
R e t a il F u r n itu r e S t o r e O p e r a t io n s
Percent Change Feb. 1955 from
Jan. 1955
Feb. 1954
+8
+ 13
—10
+ 13
+ 10
+ 13
—1
+5
—7
+3
+6
+4
Number of Stores
Item
Reporting
136
Total sales..................
111
Cash s a le s..................
Instalment and other credit sales . . . . 111
Accounts receivable, end of month . . . 128
128
Collections during month .
100
Inventories, end of month .
W h o le s a le
S a le s
and
In v e n t o r ie s *
Sales
Inventories
Percent change Feb. 28,1955, from
Percent change Feb. 28,1955, from
No. of Jan. 31 No. of Feb. 28 No. of Jan. 31 No. of Feb. 28
1955 Firms
1954 Firms
1954
1955 Firms
Type of Wholesaler
Firms
22 —2
—7
28
+3
12
—5
Grocery, confectionery, meats 39
14
+4
+10
13
+4
12 + 40
Edible farm products . . . 15
—4
—2
13
+9
7
5
+8
Drugs, chems., allied prods. 16
6 —3
+ 25
Furniture, home furnishings 7
+
5
5
—
6
Paper, allied products . . .
6
5
+ 17
+30
Automotive.................. 8
Electrical, electronic &
8 —11
+7
16
8 +8
+4
appliance goods . . . . 16
15
+8
—4
18
+ 10
Hardware.....................19
Lumber, construction
6 + 17
—12
8 +1
+ 12
ii
—4
—8 30
Machinery: equip. & supplies 36
6 + 14
—4
17
—10
Iron & steel scrap &
8 +71
8 —7
10 + 13
+0
waste materials . . . . 10
* Based on information submitted by wholesalers participating in the Monthly Wholesale
Trade Report issued by the Bureau of the Census.
D e p a rtm e n t Sto re
S a le s
and
In v e n t o r ie s *
Percent Change
Sales
Inventories
Feb. 28,1955, from
Feb. 1955 from
2 Months
Feb. 28
Jan. 31
1955 from
Feb.
Jan.
1954
1954
1955
1954
1955
+2
+8
+ 10
+7
+2
ALABAMA ............
+3
+6
+ 12
+7
+ 11
Birmingham . . . .
—3
+1
—8
M ob ile ...............
+
13
+ 11
Montgomery . . . . —10
—0
+4
+ 14
+ 12
—1
FLORIDA ...............
—10
+ 13
+5
+2
—4
Jacksonville . . . .
+2
+ 25
+3
+ 23
—0
Miami . . . . . .
+8
—4
+4
Orlando...............
+3
+1
St. Ptrsbg-Tampa Area —2
+0
—5
+9
+6
St. Petersburg . . +8
—2
—4
T am p a............ —10
+8
+9
+ 14
+ 13
—1
GEORGIA ..............
+8
+9
+ 17
+ 15
—3
Atlanta**............
+3
+5
+3
Augusta...............
+
14
+
6
+
18
+ 20
Columbus............ + 14
—2
+14
+8
+8
+4
Macon . . . . . .
—4
—6
+3
Rome**...............
+9
—4
+3
Savannah** . . . .
+5
+9
+3
—3
—9
LOUISIANA............
—1
+5
+ 11
+3
+0
Baton Rouge . . . .
+7
+ 10
+2
—4
New Orleans . . . . —10
+3
+ 16
+5
+2
MISSISSIPPI . . . . —0
—1
+5
+4
+0
Jackson ...............
+3
+2
—4
Meridian** . . . . — 9
+4
+ 13
+7
+5
+0
TENNESSEE ............
Bristol (Tenn.
+ 14
—8
—9
— 13
& Va.)** . . . . +1
Bristol-Kingsport—7
—11
Johnson City** . . —1
—2
—2
Chattanooga . . . . — 3
+42
+ 16
+ 19
+ 14
Knoxville............
+2
—3
+9
+5
Nashville............ —0
+4
+5
+8
+10
+8
DISTRICT ............ —1
^Reporting stores account for over 90 percent of total District department store sales.
**ln order to 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 percent changes.
Item
Loans and investments—
T o t a l .....................
Loans— Net..................
Loans— G r o ss...............
Commercial, industrial,
and agricultural loans .
Loans to brokers and
dealers in securities .
Other loans for pur
chasing or carrying
securities...............
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
Mar. 23
1955
Feb. 23
1955
Percent Change
Mar. 23,1955, from
Feb. 23
Mar. 24
1955
1954
Mar. 24
1954
850,957
854,879
777,090
—1
+1
+1
—0
19,094
18,193
15,143
+5
+26
34,330
35,694
33,890
122,415
118,426
85,908
27,770
21,389
18,339
455;884
446,057
396,676
1,738,309 1,779,486 1,686,173
—4
+3
+30
+1
+42
+51
+ 15
+3
3,224,489 3,249,927 2,991,825
1,486,180 1,470,441 1,305,652
1,510,450 1,494,638 1,327,046
614,258
799,038
325,013
485,381
45,776
644,720
815,189
319,577
495,125
48,108
+2
—2
579,772
840,397
266,004
494,552
45,655
—5
D e b its t o
In d iv id u a l
Dem and
+
10
+6
—2
+2
—2
—5
+ 22
—0
—3
+2
—11
+2
+5
+7
+7
— 16
+5
*
—5
246,507
247,094
234,961
Demand deposits adjusted . 2,293,349 2,352,170 2,153,289
Time deposits...............
621,250
608,692
582,602
U. S. Gov’t deposits . . .
83,115
93,356
99,012
Deposits of domestic banks
684,925
668,707
652,527
Borrowings..................
36,755
28,425
16,200
*100 percent or over.
+8
+ 14
+ 14
+ 29
—2
+0
D e p o s it A c c o u n ts
(In Thousands of Dollars)
ALABAMA
Anniston............
Birmingham . . . .
Dothan...............
M o b ile ...............
Montgomery . . . .
Tuscaloosa* . . . .
FLORIDA
Jacksonville . . . .
M i a m i ...............
Greater Miami* . . .
Orlando...............
Pensacola ............
St. Petersburg . . .
T a m p a ...............
West Palm Beach* .
GEORGIA
Albany ...............
Brunswick............
Columbus . . . . ,
Gainesville* . . . .
Percent Change
Feb. 1955 from 2 Months
Feb. Jan. Feb. 1955 from
1954
1954 1955 1954
Feb.
1955
Jan.
1955
28,011
434,307
18,146
22,957
176,603
107,362
33,744
31,552
493,287
19,563
25,970
196,291
105,868
37,583
26,095
379,569
17,565
20,595
160,900
86,174
31,427
—11
—12
—7
—12
—10
+1
—10
482,235
503,883
816,613
113,907
56,275
119,435
225,416
74,159
510,012
530,200
846,158
127,642
57,194
131,404
236,627
83,188
442,262
425,788
659,008
86,118
52,334
99,495
199,544
65,711
—5
+9
— 5 + 18
— 4 +24
—11 +32
—2 + 8
— 9 +20
— 5 + 13
—11 + 13
42,256
1,243,429
86,384
13,536
79,434
4,025
29,547
12,663
90,254
12,017
31,424
116,766
19,412
48,101
1,330,235
94,353
14,123
93,773
4,470
34,292
14,200
106,834
13,702
33,274
135,483
21,431
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
—12
—7
—8
—4
— 15
—10
— 14
—11
— 16
—12
—6
+7
+ 14
+3
+ 11
+ 10
+25
+7
+ 18
+5
+ 15
+5
+ 15
—7
+ 23
+3
+24
+ 17
+ 13
+4
+ 14
Savannah ............
— 14
Valdosta . . . .
—9
LOUISIANA
Alexandria* . . .
+7
41,957 — 9
44,807
49,343
Baton Rouge . . .
126,959 — 9 +6
135,134
148,618
Lake Charles . . .
60,487
63,523
48,737 — 5 + 24
New Orleans . . . ■ 1,010,957
1,075,510
927,853 —6 + 9
MISSISSIPPI
Hattiesburg . . .
20,723 — 5
+7
22,094
23,311
Jackson . . . . .
183,566
143,553 — 14 + 10
158,310
Meridian . . . .
+7
30,043
25,685 — 9
27,467
Vicksburg . . . .
15,646
16,941
15,191 —8 + 3
TENNESSEE
Chattanooga . . .
+7
209,610
266,577
196,431 —21
Knoxville . . . .
140,692 — 19 + 10
190,860
154,107
Nashville . . . .
415,586 —6 + 10
490,193
45?!,593
SIXTH DISTRICT
32 Cities . . .
6,807,257
5,647,843 —8 +11
6,248,455
UNITED STATES
345 Cities. . . . . 149,718,000 163,388,000 141,933,000 —8 + 5
*Not included in Sixth District totals.
• 7
•
+7
+ 12
—1
+ 11
+ 13
+ 16
+7
+10
+ 22
+25
+29
+3
+21
+ 11
+ 15
+ 18
+9
+ 15
+6
+ 17
—3
+22
+7
+ 30
+ 16
+ 12
+9
+9
+5
+7
+ 16
+ 13
+8
+1
+9
+7
+7
+9
+ 12
+12
+6
Sixth District Indexes
1 9 4 7 - 4 9 == 1 0 0
M a n u fa c t u r in g
M a n u fa c t u r in g
C o tto n
C o n s tr u c t io n
F u r n itu r e
E m p lo y m e n t
P a y r o lls
C o n s u m p t io n * *
C o n tra c ts
Sto re S a le s * / * *
Jan.
1955
Dec.
1954
Jan.
1954
Jan.
1955
111
102
113
103
149r
116r
104r
112
157
139
UNADJUSTED
District T otal............
Alabam a...............
Florida..................
Georgia..................
Louisiana...............
M ississippi............
Tennessee ...............
SEASONALLY ADJUSTED
District T otal............
Alabam a...............
Florida..................
Georgia..................
Louisiana...............
M ississippi............
Tennessee . . . . . .
Jan.
1954
Feb.
1955
Jan.
1955
Feb.
1954
153
136r
198r
153r
146r
154r
154r
104
105
101
97
96
162
141
161
158
160r
142r
211r
164r
148r
166
159r
102
li6
100
98
98
103
94
124
89
151
135
183r
151r
150r
159r
156r
97
97
110
110
157r
137r
199r
161r
144r
164
157r
91
103
135r
114r
107r
109r
113r
155
138
194
161
146
166
159
S a le s
and
Sto ck s**
149
115
98
111
110
111
101
111
110
112
101
139
115
210
112
143r
115
lOOr
100
113
111
D e p a rtm e n t Sto re
105
145r
114r
104r
lOSr
lllr
Dec.
1954
104
Atlanta1 ...................135
Baton R o u ge ............HOP
Birmingham............... 128
Chattanooga............... .117
J a ck so n ..................112
Jacksonville................107
Knoxville.................. 148p
Macon..................... .128
M ia m i.....................148p
Nashville...................121
New Orleans.............. .127
St. Ptrsbg-Tampa Area . 134
Tampa.......................113
DISTRICT STOCKS* . . . 146p
137r
143
118
117r
122
llOr
llOr
145
126
153r
128
129
143
126
146r
123r
117r
107r
115r
120r
lllr
105r
130r
118r
120r
116r
133r
133
118
140r_________
lOSp
110
86p
101
92
86
81
113p
97
161p
91
101
129
95
145p
106r
109
82
90r
91
80r
82r
106
90
155r
87
107
126
102
133r
Jan.
1955
Feb.
1954
140
252
226
194
126
190
123
225
287
294
213
150
203
339
137
71
83
Feb.
1955
94p
99
104p
121
102
89p
Jan.
1955
Feb.
1954
84r
83
93
84
96r
83
84
82
91
89
74
68
72
112 p
117
125p
113
104p
109r
119
107
116
117r
99r
lOOr
98r
lOlr
104r
90
9ir
87r
O t h e r D is t r ic t In d e x e s
______ Adjusted
Unadjusted_____
Feb.
Jan.
Feb.
Feb.
Jan.
Feb.
_____________________ 1955
1955
1954________ 1955
1955
1954
DISTRICT S A L E S * . . . . 132p
Feb.
1955
lOlr
95r
S3r
91r
95r
86r
80r
99r
90r
131r
87r
105r
127
99
138r
aTo 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 entire six states.
**Daily 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.
1955
Construction contracts* . . .
Residential..................
Other ........................
Petrol, prod, in Coastal
Louisiana and Mississippi** 141
Furniture store stocks* . . . 109
Turnover of demand deposits*. 21.0
10 leading cities . . . . 21.7
Outside 10 leading cities . 18.5
Jan.
1955
Elec. power prod., total** . .
Mfa. emn. by type
147
Chem icals.................. 126
154
Fabricated metals . . . .
Adjusted
Jan.
Feb.
1955
1954
138
107r
20,0
20.7
17.3
Dec.
1954
111
Lbr., wood prod., furn. & fix. 82
Paper and allied prod. . . 148
94
Primary metals............
95
Trans, equip................. 160
143r
126r
151r
109r
83r
149r
94
95
170
Unadjusted
Jan.
Feb.
1954
1955
Feb.
1955
138
107
20.5
21.4
17.2
206
232
186
226r
236r
218r
187
177
195
143
106
140
105r
140
104
20.3
20.8
20.6
Jan.
1954
Jan.
1955
227
Dec.
1954
218
146r
128r
156r
115r
83r
151r
94
95
167
145
128
156
143r
124r
158r
llOr
83r
143r
97r
95r
177r
21.6
21.7
17.6
21.9
17.9
110
82
148
95
95
160
16.7
Jan.
1954
190
141r
125r
160r
109r
83r
143r
98r
95r
177r
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Reserve Bank Cities
• Branch Bank Cities
mm District Boundaries
—
Branch Territory Boundaries
Board of Governors of the Federal Reserve System
O
DALLASO
* El Paso
11
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@FedFRASER