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FEDERAL RESERVE BANK OF NEW YORK r Circular No. 956"1 L January 6. 1930J Fifteenth Annual Statement To the Stockholders of the Federal Reserve Bank of New York: We hand you herewith a condensed statement of the condition of this bank at the close of its fiscal year, December 31, 1929, and of the Profit and Loss account for that year. For convenient comparison, the relative items for the previous year, 1928, are also shown. There is also included a comparative statement showing the volume of the principal operations conducted by the bank. We trust that you will find these various statements of interest, pending the issuance of the annual report of the bank which you will receive shortly. GEORGE L. HARRISON, Governor. Statement of Condition RESOURCES Dec. 31, 1929 Dec. 31, 1928 $238,593,918.26 $198,684,435.65 16,813,705.22 20,143,971.71 339,616,539.21 355,489,488.96 154,835,138.11 142,380,038.48 50,382,220.00 22,040,487.00 $800,241,520.80 $738,738,421.80 $12,946,493.58 $23,448,743.37 $127,012,250.00 $349,156,350.00 44,746,515.44 114,823,824.23 191,745,088.72 152,413,222.32 239,205,400.00 49,377,400.00 CASH RESERVES held by this bank against its deposits and note circulation: GOLD H E L D BY T H E FEDERAL R E S E R V E A G E N T as part of the collateral deposited by the bank when it obtains Federal Reserve notes. This gold is lodged partly in the vaults of the bank and partlv with the Treasurer of the United States GOLD REDEMPTION F U N D in the hands of the Treasurer of the United States to be used to redeem such Federal Reserve notes as are presented to the Treasury for redemption GOLD AND GOLD CERTIFICATES in vault GOLD I N T H E GOLD SETTLEMENT F U N D lodged with the Treasurer of the United States for the purpose of settling current transactions between Federal Reserve districts L E G A L T E N D E R N O T E S , SILVER, AND SILVER CERTIFICATES in the vaults of the bank (available as reserve only against deposits) TOTAL CASH RESERVES NON-RESERVE CASH consisting largely of National Bank Notes, and minor coin LOANS AND INVESTMENTS LOANS TO M E M B E R BANKS : On the security of obligations of the United States By the discount of commercial or agricultural paper or acceptances ACCEPTANCES bought in the open market U N I T E D STATES GOVERNMENT bonds, notes, bills, and certifi- cates of indebtedness OTHER SECURITIES $7,150,000.00 $609,859,254.16 $665,770,796.55 $16,087,269.97 ALL OTHER MISCELLANEOUS RESOURCES $15,663,777.65 220,003,280.94 3,500,931.32 TOTAL MISCELLANEOUS RESOURCES $239,167,989.91 $212,164,663.25 TOTAL LOANS AND INVESTMENTS MISCELLANEOUS RESOURCES BANK PREMISES CHECKS AND OTHER ITEMS IN PROCESS OF COLLECTION. . . TOTAL RESOURCES 195,086,461.94 990,931.34 $1,662,215,258.45 $1,640,122,624.97 Federal Reserve Bank of New York LIABILITIES Dec. 31, 1929 Dec. 31, 1928 $318,970,747.00 $354,182,618.25 $318,970,747.00 $354,182,618.25 $985,790,644.26 $970,894,567.47 5,851,460.29 8,497,390.46 12,727,457.81 9,384,907.24 $1,004,369,562.36 $988,776,865.17 $187,720,689.22 $172,070,145.45 3,851,995.58 3,687,141.30 $191,572,684.80 $175,757,286.75 CAPITAL PAID I N , equal to 3 per cent, of the capital and surplus of member banks $67,301,450.00 $50,123,950.00 SURPLUS—That portion of accumulated net earnings which the bank is legally required to retain 80,000,814.29 71,281,904.80 $147,302,264,29 $121,405,854.80 CURRENCY IN CIRCULATION FEDERAL R E S E R V E N O T E S in actual circu'ation, payable on demand. These notes are secured in full by gold and discounted and purchased paper TOTAL CURRENCY IN CIRCULATION DEPOSITS R E S E R V E D E P O S I T S maintained by m?mber banks as legal reserves against the deposits of their customers UNITED STATES GOVERNMENT D E P O S I T S carried at the Reserve Bank for current requirements of the Treasure OTHER DEPOSITS including foreign deposits, deposits of non-member banks, etc TOTAL DEPOSITS MISCELLANEOUS LIABILITIES DEFERRED ITEMS, composed mostly of uncollected checks on banks in all parts of the country. Such items are credited as deposits after the average time needed to collect them elapses, ranging from 1 to 7 days A L L O T H E R MISCELLANEOUS LIABILITIES TOTAL MISCELLANEOUS LIABILITIES CAPITAL AND SURPLUS TOTAL CAPITAL AND SURPLUS TOTAL LIABILITIES $1,662,215,258.45 $1,640,122,624.97 Profit and Loss Account For t h e calendar years 1929 and 1928 1929 1928 EARNINGS FROM LOANS TO M E M B E R BANKS and paper discounted for $12,492,641.58 $12,210,526.66 FROM ACCEPTANCES OWNED 3,522,642.34 3,482,648.63 FROM U N I T E D STATES GOVERNMENT OBLIGATIONS owned... 2,459,162.69 2,421,172.24 839,832.62 368,694.55 $19,314,279.23 $18,483,042.08 546,927.82 97,168.96 $6,313,909.95 $6,192,386.68 new notes to replace worn notes in circulation, and to maintain supplies unissued and on hand, and the cost of redemption 738,555.41 251,878.14 F O R DEPRECIATION, SELF-INSURANCE, O T H E R R E S E R V E S , LOSSES, ETC 545,518.11 1,117,513.57 ',597,983.47 $7,561,778.39 $12,263,223.58 $11,018,432.65 I N DIVIDENDS paid to member banks, at the rate of 6 per cent on paid-in capital $3,544,314.09 $2,743,724.61 I N ADDITIONS TO SURPLUS—The bank is required by law to accumulate out of net earnings, after payment of dividends, a surplus amounting to 100 per cent, of the subscribed capital; and after such surplus has been accumulated to pay into surplus each year 10 per cent, of the net income remaining after paying dividends. 8,718,909.49 8,274,708.04 $12,263,223.58 $11,018,432.65 them OTHER EARNINGS T O T A L EARNINGS ADDITIONS TO EARNINGS FOR SUNDRY ADDITIONS to earnings, including income from Annex Building DEDUCTIONS FROM EARNINGS F O R C U R R E N T BANK OPERATION. (These figures include most of the expenses incurred as fiscal agent of the United States) F O R FEDERAL R E S E R V E CURRENCY, mainly the cost of printing T O T A L DEDUCTIONS FROM EARNINGS N E T I N C O M E available for dividends, additions to surplus, and payment to the United States Government DISTRIBUTION OF NET INCOME Any net income remaining after paying dividends and making additions to surplus (as above) is paid to the United States Government as a franchise tax. No balance remained for such payments in 1929 or 1928. T O T A L N E T INCOME DISTRIBUTED , Earnings by Months The following figures show in comparison the gross earnings of the bank by months for the years 1929 and 1928: 1929 $1,824,933.96 1,248,163.69 1,384,447.34 1,344,820.13 1,271,806.96 1,409,135.64 1,980,91^.13 1,887,174.26 1,800,434.28 1,453,791.83 1,580,613.63 2,128,042.38 February. March... April May June July August... September October. . November December. $1,039,631.08 867,890.86 999,249.28 1,165,227.13 1,423,236.24 1,752,645.84 1,784,315.68 1,630,214.68 1,888,208.46 1,968,589.60 1,717,395.37 2,246,437.86 $19,314,279.23 January.. 1928 $18,483,042.08 Ratio of Net Earnings 1929 1928 20.7 24.1 Per cent earned on capital and surplus 9.4 10.1 Per cent earned on capital, surplus, and deposits 1.1 1.1 Per cent earned on capital paid in Comparative Statement Showing Volume of Operations The following table presents in comparative form for the past three years the volume of the principal operations of the Federal Reserve Bank of New York, which are of such character that they can be expressed in quantitative terms. At the close of business December 31, 1929, the total personnel of the bank, including the Buffalo Branch, numbered 2,451. SUPPLYING CURRENCY AND COIN 1929 1928 1927 709,940,000 $10,206,866,000 666,298,000 $8,866,402,000 640,967,000 $8,386,293,000 1,574,002,000 8,685 1,341,373,000 7,352 1,189,801,000 6,458 320,578 303,160 284,288 49,705 38,056 31,024 CURRENCY PAID OUT, RECEIVED, OR REDEEMED Individual notes counted Dollar amount paid and received COIN PAID OUT OR RECEIVED, a service previously performed largely by the Sub-treasury, but now entirely in the hands of the Federal Beserve Bank. Individual coins received Tons of coin received during year CURRENCY AND COIN SHIPMENTS, number of shipments to and from out-of-town banks during the year MAKING LOANS AND INVESTMENTS BILLS DISCOUNTED TOR MEMBER BANKS, either discounted customers' paper or advances against the notes of member banks secured by collateral in the form of Government securities or commercial or agricultural paper. Number of bills discounted Dollar amount $23,602,022,000 $24,791,838,000 $13,854,347,000 ACCEPTANCES AND GOVERNMENT OBLIGATIONS purchased for the account of this bank and other Federal Reserve Banks. Dollar amount $5,353,414,000 $6,445,726,000 $7,403,868,000 COLLECTING CHECKS, DRAFTS, NOTES, AND COUPONS CASH ITEMS, mostly checks, handled for collec- tion for banks in all parts of the country. Number of items Dollar amount 196,373,000 177,349,000 168,724,000 $156,641,846,000 $115,190,618,000 $100,206,587,000 NON-CASH ITEMS, handled for collection, in- eluding drafts, notes and coupons. Number of items 2,600,000 6 2,615,000 2,259,000 $2,683,627,000 Dollar amount $2,803,037,000 $2,385,753,000 1929 1928 1927 $804,299,000 $1,142,075,000 $1,357,900,000 OB SOLD for member banks, and foreign banks. Dollar amount $2,247,257,000 $] ,931,081,000 $1,674,324,000 SUPPLEMENTARY SERVICES SECURITIES HELD in safekeeping for the United States Government, the War Finance Corporation, and others. Average dollar amount ACCEPTANCES AND OTHER SECURITIES BOUGHT FUNDS TRANSFERRED BT TELEGRAPH to and from all parts of the country for the Treasury Department and member banks. Number of transfers 445,000 402,000 355,000 Dollar amount $67,426,244,000 $55,469,947,000 $50,898,108,000 SERVICES I N CONNECTION W I T H GOVERNMENT LOANS UNITED STATES GOVERNMENT SECURITIES issued, redeemed, or exchanged, including Government bonds, notes, and certificates of indebtedness. Number of items Dollar amount 565,000 $3,286,509,000 1,504,000 $3,985,049,000 2,196,000 $5,219,626,000 COUPONS PAID ON GOVERNMENT SECURITIES. Number of coupons 5,567,188 7,602,000 9,931,000 Dollar amount $237,610,000 $250,025,000 $250,622,000 (In addition to these operations for the Treasury, the bank performed other work for the Government connected with the currency, the collection of checks, the custody, purchase and sale of securities, the transfer of funds, etc., which have been referred to under their respective headings.) DIRECTORS AND OFFICERS DIRECTORS Term ^ a Expires § © Dec. SI o Term Expires Dec. SI tt CHARLES E. MITCHELL, New York City 1931 B 2 THEODORE F. WHITIIARSH, New York City 1932 B 3 SAMUEL W. REYBURN, New York City 1930 THOMAS W. STEPHENS, Montclair, N. J . President, Bank of Montclair 1932 DELMER "RUNKLE, Hoosick Falls, N. Y. 1930 „ Chairman, The National City Bank of New York c Chairman, Peoples National Bank of Hoosick Falls N Y WILLIAM H. WOODIN, New York City ° 1931 C Chairman, Francis H. Leggett & Company President, Lord & Taylor GATES W MCGARRAH, New York City Chairman „ _ „ „ 1931 1, ': _ . ,.„„ OWEN D. YOUNG, New York City Deputy Chairman Chairman, General Electric Company 1932 CLARENCE M. WOOLLEY, Greenwich, Conn. 1930 President, American Car & Foundry ComChairman, American Radiator and Standpany ard Sanitary Corporation MEMBER OF FEDERAL ADVISORY COUNCIL WILLIAM C. POTTER President, Guaranty Trust Company of New York FEDERAL RESERVE GATES W. MCGARRAH, W. RANDOLPH BURGESS, Assistant Federal Reserve Agent HERBERT S. DOWNS, Assistant Federal Reserve Agent and Manager, Bank Relations Department AGENT'S FUNCTION Federal Reserve Agent WILLIAM H. DILLISTIN, Assistant Federal Reserve Agent CARL SNVDER, General Statistician HAROLD V. ROELSE, Manager, Reports Department, and Assistant Secretary EDWARD L. DODGE, General Auditor GENERAL OFFICERS GEORGE L. HARRISON, Governor J. HERBERT CASE, Deputy Governor EDWIN R. KENZEL, Deputy Governor JAY E. CRANE, Deputy Governor and Secretary WALTER S. LOGAN, Deputy Governor and General Counsel ARTHUR W. GILBART, Deputy Governor LESLIE R. ROUNDS, Deputy Governor Louis F. SAILER, Deputy Governor CHARLES H. COE, Assistant Deputy Governor J. WILSON JONES, Assistant Deputy Governor RAY M. GIDNEY, Assistant Deputy Governor WALTER B. MATTESON, Assistant Deputy Governor JAMES M. RICE, Assistant Deputy Governor JUNIOR DUDLEY H. BARROWS, Manager, Administration Department WESLEY W. BURT, Manager, Accounting Department „ __ „ _ __ EDWIN C. FRENCH, Manager, Cash Department ROBERT F. MCMURRAY, Manager, Collection Department OFFICERS JACQUES A. MITCHF.LL, Manager, Loan and Discount Department ROBERT M. MORGAN, Manager, Bill Department WILLIAM A. SCOTT. Manager, Foreign Department ' ' ,, ,f .* j a * 7 T _ I. WARD WATERS, Manager, Government Bond and Safekeeping Department, and Manager, Check Department BUFFALO BRANCH DIRECTORS Term Expires Dec. SI JOHN T. SYMES, 1931 Term Expires Dec. SI GEORGE F. RAND, President, Niagara County National Bank and Trust Co., Lockport, N. Y. A> T T » n tm T T TI/%TT^TT i non FREDERICK 1931 LEWIS G. HARRIMAN, ARTHUR l*. IIOUGH, W™ President, Wiard Plow Company, Batavia, N. Y. GEORGE G. KLEINDINST, President, Liberty Bank of Buffalo B . COOLEY, President, New York Car Wheel Co., Buffalo ' ' President, M & T Trust Company, Buffalo ROBERT M. O 'HARA, Managing Director OFFICERS ROBERT M. O'HARA, Managing Director HALSEY W. SNOW, JR., Cashier 1930 President, Marine Trust Company, Buffalo R. B. WILTSE, Assistmit Manager CLIFFORD L. BLAKESLEE, Assistant Cashier 1932 1932
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