Full text of Federal Reserve Bulletin : December 1971
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FEDERAL RESERVE
BULLETIN
DECEMBER 1971
BOARD OF GOVERNORS • THE FEDERAL RESERVE SYSTEM • WASHINGTON, D.C.
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FEDERAL RESERVE
BULLETIN
NUMBER 12 •
CONTENTS
VOLUME 57 •
DECEMBER 1971
957
Prices in 1971
971
Revision of Bank Credit Series
977
Planned and Actual Long-Term Borrowing by State and Local
Governments
989
Record of Policy Actions of the Federal Open Market Committee
1000
Law Department
1043
Announcements
1048
National Summary of Business Conditions
Financial and Business Statistics
A
A
A
A
A
1
3
3
4
74
A
96
Board of Governors and Staff
A
98
Open Market Committee and Staff; Federal Advisory Council
A
99
Federal Reserve Banks and Branches
Contents
Guide to Tabular Presentation
Statistical Releases: Reference
U.S. Statistics
International Statistics
A 100
A 107
Federal Reserve Board Publications
A 109
Index to Volume 57
Index to Statistical Tables
Map of Federal Reserve System on Inside Back Cover
EDITORIAL
COMMITTEE
Charles Molony
J. Charles Partee
Robert C. Holland
Robert Solomon
Kenneth B. Williams
Elizabeth B. Sette
The Federal Reserve BULLETIN is issued monthly under the direction of the staff editorial committee. This committee is responsible for opinions expressed except in official
statements and signed articles. Direction for the art work is provided by Mack Rowe.
Prices in 1971
ALTHOUGH THE RECOVERY in economic activity had been
moderate, price increases continued at a high rate this year prior
to the announcement of the President's wage and price stabilization program. Rising costs were a major source of inflationary
pressure, as wage increases continued to outstrip gains in productivity. Moreover, inflationary expectations were affecting both
wage negotiations and price decisions. Nevertheless, after the very
high rates of price advance around the end of last year, the rate of
increase had moderated in several sectors.
Under Phase I of the stabilization program prices were frozen
for the period mid-August through mid-November. The freeze
was very inclusive, and it dramatically reduced the rate at which
prices were increasing. Wholesale prices, which had been rising
rapidly this year, declined slightly between mid-August and midNovember, and the rate of rise in consumer prices slowed notably
in September and October.
Before Phase I ended on November 13 the President had established a Price Commission—with seven public members—and a
Pay Board—with five representatives each from labor, management, and the public—to devise and administer programs to continue the stabilization effort after the freeze.
On November 11, the Price Commission announced the over-all
target of Phase II to be "holding average price increases throughout the economy to a rate of no more than 2.5 per cent per year."
This objective was based on the Pay Board's goal of reducing the
rate of increase in wages to 5.5 per cent per year and on an assumption that productivity would rise at the rate of about 3 per cent.
958
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Thus far the Pay Board has been concerned mainly with wage
increases called for by contracts ratified before Phase II began.
The most important of these was the contract between the coal
producers and the United Mine Workers, which called for a substantial first-year increase of 16 per cent in wages and benefits. This
increase was authorized by the Pay Board because the wage agreement pre-dated the announcement of the Pay Board's guidelines.
However, the Board now has pending some difficult decisions
concerning more recent contracts that stipulate wage raises larger
than 5.5 per cent. For example, a settlement in the aerospace industry involves a wage boost of about 12 per cent in the first year.
Some deferred increases, particularly in the construction industry,
are also larger than the guideline amount.
The guidelines for pricing issued by the Price Commission
generally allow cost increases to be passed on. However, it is
stipulated that costs must include allowance for productivity increases and that profit margins should be no higher than in the
base period—the average of two of the last three fiscal years.
Total profits are free to rise within this constraint in response to
an increase in volume of output or sales.
Only about 1,500 of the largest firms—those with annual revenues
of $100 million or more—are required to notify, and obtain the
approval of, the Price Commission before raising prices. Smaller
firms are free to raise prices within the guidelines although mediumsize firms must file quarterly reports on profits, costs, and prices.
In the case of wholesalers and retailers average mark-ups must
be no larger than in the base period, and retailers are required
to post freeze-period prices.
By mid-December applications for increases had been filed by
more than half of the large firms required to give pre-notification
of a price rise, and the Price Commission has made a number of
important determinations affecting farm machinery, automobiles
and trucks, tin-plate, other steel products, coal, and chemicals.
Priority has been given to firms with increases in labor costs resulting from contracts signed before the end of the freeze. For these
firms the Commission has attempted to render decisions within
72 hours, but the need for additional cost, profit, or price data has
delayed some decisions. Implementation of the increases granted
is being delayed in some cases until the applications of competing
firms have been acted upon. Moreover, the smallest increase on
a given product granted to any major firm within an industry may
determine the market price.
According to announcements made before the freeze, automobile
PRICES IN 1971
959
producers had tentatively planned to raise prices on 1972 models
this fall by 4 to 5 per cent, largely owing to last December's wage
boost of more than 6 per cent for auto workers. However, the Phase
II price rise may average not much more than 2.5 per cent. Although two major producers have been authorized to put larger
increases into effect, competition is likely to restrict the rise to the
smallest figure authorized. The recent repeal of the manufacturers
excise tax, retroactive to August, will more than offset the retail
price increases associated with manufacturers' higher prices.
Following a 3-year wage settlement on August 1, steel producers
raised prices of some products and announced that further increases averaging about 8 per cent on the remaining ones would
take place later. Although these increases were forestalled by
the freeze, the Price Commission recently awarded a major producer a price rise—on all products—that averaged 3.6 per cent. The
producer subsequently announced an increase of about 7.7 per
cent on tin mill products and sheet and strip—products that account
for close to half of its output. Similar increases are being extended
to other producers, and prices may be raised further next August.
In awarding price increases to coal producers, the Commission
required the companies to absorb the difference between a 5.5
per cent wage increase—plus a payment into the United Mine
Workers' welfare fund of 4 per cent—and the 16 per cent increase
in wages for mine workers that had been approved by the Pay Board.
The Price Commission stated that in the future it will generally
require firms to absorb labor cost increases in excess of the target of
5.5 per cent.
The administration expected that during the early stages of Phase
II both wage and price increases would average higher than the
longer-term goals. The price increases allowed by 137 decisions
handed down by mid-December, when weighted by sales, have
averaged about 3 per cent. However, the proportion of total sales
represented by these decisions is too small to evaluate the effect
on the over-all rate of price change. Moreover, some of the approved
increases may not be put into effect.
THE ECONOMIC
SETTING
Although the economy has been recovering since the trough of
the recession in November 1970, real growth has remained slower
than usual for a recovery period. True, the upturn in the first quarter
of 1971 was brisk, but this reflected in large part the resumption
of full-scale auto production following a major strike in the fall
of 1970. The gain in real gross national product moderated during
the second quarter despite a high rate of inventory building of
FEDERAL RESERVE BULLETIN • DECEMBER 1971
960
RATIO SCALE, 1 9 6 7 = 1 0 0
Constant dollars = 1958 prices. G N P :
c o m m e r c e Dept. data; latest
figures,
Q 3 . Industrial production: FR data;
latestfigures,October preliminary
steel in anticipation of a strike. In the third quarter growth in
real GNP slowed further, reflecting in part a sharp decline in steel
production as efforts were made to reduce inventories following
a labor agreement reached in August without a strike.
Before the freeze, gains in employment had been modest and
average hours of work had changed little. Nevertheless, disposable
income had risen as money wages and social security benefits
increased and per capita real income, which had failed to improve
in 1970, began to move up. After the new economic program—
including the proposed elimination of the 7 per cent excise tax
on autos—was announced in mid-August, there was a sharp rise
.
in the demand for automobiles. Retail sales in general rose more
.
.
rapidly in the final quarter of the year, and the economy as a whole
r
and November estimated. Seasonally
adjusted.
.
.
.
.
.
.
assumed a firmer tone. Nevertheless, capacity utilization in manufacturing remained relatively low and in November the unemployment rate for the civilian labor force was still 6 per cent.
Collective bargaining settlements before the freeze had provided
for wage increases that were roughly comparable in size with those
in 1970. In the manufacturing, transportation, and construction
industries a number of long-term contracts had expired, and in many
instances large first-year wage increases had been granted, in part
to compensate workers for price increases in the previous 2 years.
Hourly earnings in most organized sectors rose even faster
than during the comparable period in 1970. But in the less wellorganized sectors, such as trade and services, gains were somewhat slower. On balance, employee compensation, which includes
fringe benefits as well as wages and salaries, rose a little faster
in the first half of 1971 than in 1970. However, the rise in output
per manhour in the private nonfarm economy, although modest for
a recovery year, was much larger than in 1969 and 1970. As a result, the increase in unit labor costs was substantially reduced.
TABLE I
I N C R E A S E S IN L A B O R C O S T S
Change from previous period, per cent
Private nonfarm e c o n o m y
Output
per manhour
Period
1968
1969
1970
Compensation
per manhour
Unit
labor costs
2.9
.1
.7
7.3
6.9
7.0
4.3
7.1
6.3
3.7
3.7
3.2
7.4
7.8
6.9
3.6
3.9
3.7
-
1971--Q1
Q2
Q3
SOURCE.—Dept. of Labor.
961
PRICES IN 1971
The slower rise in labor costs and a higher volume of output have contributed to a moderate rebound in profits this year. In
the first three quarters profits before taxes, including the inventory
valuation adjustment, were 8 per cent above the same period in
1970, and the rise would have been larger except that the figures
reflect a liberalization of accounting rules regarding depreciation
allowances. Nevertheless, profit margins improved very little over
1970 and remained depressed compared with the first half of the
1960's and with 1968, the last full year before the economic
slowdown. Less than 11 per cent of the value of output of nonfinancial corporations flowed to profits, including inventory valuation, in both 1970 and the pre-freeze period of 1971, compared
with about 15 per cent in the early 1960's and 1968. The drop
reflects to some extent an increase in labor's share of the value of
output, but the proportion absorbed by taxes, interest, and capital
consumption allowances has increased more.
TABLE 2
TRENDS IN PROFITS AND COSTS 1
Percentage shares
1971
Item
Total cost or value
Profits before tax 2 ...
Capital consumption
allowances
Other costs
Labor
Interest
Taxes
\ d d e n d u m : Profits
plus consumption
allowances
1960-64
average
1968
1969
1970
100.0
100.0
100.0
100.0
15.1
14.7
12.4
10.3
9.4
75.5
64.4
1.3
9.8
9.6
75.7
64.2
2.2
9.3
9.9
77.8
65.8
2.6
9.4
10.5
79.2
66.7
2.9
9.7
24.5
24.3
22.2
20.8
Q3»
HI
100.0
100.0
3
3
10.2
3
11.3
78.5
65.4
3.0
10.1
10.5
3
11.1
78.4
65.7
2.9
9.8
3
21.6
3
21.5
""Preliminary.
1
Nonfinancial corporations only.
2
Includes inventory valuation adjustment.
3
Profits in 1971 will be revised up, and consumption allowances will be reduced accordingly, to reflect recent legislation regarding depreciation allowances.
SOURCE.—Dept. of C o m m e r c e .
THE PROFILE
OF THE INFLATION
In the first quarter of 1971, prices in the private economy—as
measured by a fixed-weight index of price changes in the gross
private product—rose at a seasonally adjusted annual rate of 5.5
per cent, a peak somewhat above that in the final quarter of
1970 and considerably above that in the preceding quarters of that
year. The increase in the second quarter of 1971 was only moderately lower, but in the third quarter the rate of rise dropped to 4.1
per cent—the smallest quarterly increase since mid-1968.
The high rate of price increase early this year and the reduction in the rate in the third quarter may be traced in large part to
prices of farm products, which rose in the first half of this year
962
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1 | PRICE INCREASES have moderated recently
CHANGE FROM PREVIOUS QUARTER, PER CEI
GROSS PRIVATE
PRODUCT
NONDURABLES
LESS FOOD
CONSUMER DURABLES
SERVICES
PRODUCERS' DURABLE
EQUIPMENT
5
1970
1971
1970
1971
mil Inl
1970
1971
1970
1971
1970
M
0
1971
1967 expenditure weights. Seasonally adjusted Commerce Dept. data at annual rates. Consumer nondurable goods excluding food:
FR estimate. Latest figures, Q3.
but reversed themselves rather sharply in July. (Similarly, the
rising phase of the farm price cycle had increased the rate of inflation in mid-1969, which rate had crested just below that in the
first quarter of 1971.) By contrast, declines in prices of farm
products offset some of the rise in nonfarm prices in the final
quarter of 1970 when such prices rose at accelerated rates.
A spurt in prices of durable goods in that quarter reflected in part a
large price increase for new-model automobiles. This surge in automobile prices—which reflected a catch-up on cost increases over the
preceding year as well as the post-strike wage settlement—carried
over into retail prices in the first quarter of 1971. But in the second
and third quarters of 1971 prices of both consumer and producer
durable goods rose more slowly, and the rise in costs of services
was less rapid. These improvements were partially offset by sharp
increases in food prices in the second quarter, but in the third quarter
crop prices fell sharply in response to prospects of a bumper harvest,
and food costs increased only a little.
A somewhat different picture of price trends this year is indicated
by the implicit deflator for the gross private product, the slackening
in which reflects only in part price trends. The deflator has currentvalue weights, and hence is much affected by changes in the composition of output in the private sector. These have moved in a direction that reduces the apparent rapidity of price changes since
the final quarter of last year. By contrast, the fixed-weight index for
the gross private product reflects more nearly developments in prices
alone.
Before the freeze it appeared likely that price increases among
commodities that normally post most or all of their annual changes
late in the year would cause prices to accelerate in the fourth
quarter. These commodities include apparel, automobiles and
trucks, and some types of machinery. Large price increases for
1972 model automobiles and trucks had been tentatively an-
963
PRICES IN 1971
nounced prior to the freeze. Price increases covering a high percentage of steel products had also been announced for October 1
and December 1.
WHOLESALE PRICES Prices at wholesale rose at much faster rates in the first half of
1971 than they had during the previous year. While the acceleration
reflected in part rising prices of farm products and foods, which
had declined appreciably in 1970, prices of industrial commodities also accelerated. In the third quarter of 1971 farm prices turned
down, but industrial price increases remained large through midAugust. In fact, in the 6 months ending in August, a resumption of a
fast gain in prices of materials caused seasonally adjusted industrial
prices to accelerate to an annual rate of almost 6 per cent, exceeding
the rise for any other 6-month period since early 1956.
The freeze covered most of the commodities included in the
wholesale index. However, prices of imported commodities were
free to change in response to world market conditions—although
cost increases arising from higher import prices could not be passed
on to prices of fabricated products. Most imported commodities
were subject to the surcharge—a maximum of 10 per cent on the
import price—which could be passed on to processors or consumers cent for cent. In addition, raw agricultural products, including eggs and raw fruits and vegetables, were exempted from
control. Finally, producers of commodities that had a higher price
on May 25, 1970, had the option of using this as a maximum price
FOOD PRICES have fluctuated
widely this year
RATIO SCALE, 1 9 6 7 = 100
120
10
1
105
1969
1971
Dept. of Labor data for retail and wholesale prices; latest figures: retail October, wholesale
November. Dept. of Agriculture data for farm value of market basket foods; latest figure,
October.
964
FEDERAL RESERVE BULLETIN • DECEMBER 1971
rather than the price prevailing in the 30 days immediately prior
to the freeze. Thus, even during the freeze there was room for
price fluctuation.
During the freeze period from mid-August to mid-November,
there was a slight decline in wholesale prices. Prices of farm and
food products fell about seasonally, and industrial commodity
prices declined about 0.2 per cent without seasonal adjustment and
0.3 per cent when so adjusted. The freeze prevented many prices
from rising and was largely responsible for the drop in industrial
prices. Nevertheless, the failure of demand for industrial products to
improve substantially this fall was also quite important.
Nonferrous metals, the most important group of commodities
free to move up on the basis of the alternative pricing date, continued to decline. In addition, there were declines between August
and November in a number of products that had previously
been rising. For example, there was a drop in prices of machinery
and equipment in September—the first since June 1967—and a
further decline in November. Lumber and plywood prices, after
rising for 8 months, dropped between September and November.
Prices of domestic automobiles, though subject to the freeze, rose
in October—apparently reflecting smaller rebates to dealers on the
1972 models than had been allowed on 1971 models—and prices of
imported cars also increased. However, passenger car and truck
prices dropped on a seasonally adjusted basis over the period
September to November.
It may be noted that, even during inflationary periods, a
large number of commodity groups decline in price each month.
For example, in the first half of this year, about one-half of 231
product classes regularly tabulated by the Bureau of Labor Statistics
rose in a typical month but at the same time almost 20 per cent
declined. In the last 3 months, the number of increases was cut by
more than one-half; but in addition the number of declines was
unusually large.
Developments in industrial prices. The decline in domestic
business activity and an easing in the supply-demand situation
abroad slowed the rise in prices of materials appreciably in the
second half of 1970 and during the early months of this year. However, there was a resurgence of price increases prior to the freeze.
Among durable materials, prices of steel mill products were
raised several times as inventories were built up. Prices of lumber
and plywood and other construction materials, which had changed
little in 1970, increased rapidly early in the year in response to an
acceleration in homebuilding. Cotton textile prices, which had
PRICES IN 1971
965
3 | Most INDUSTRIAL PRICES have declined since August
RATIO SCALE, 1967=100
CRUDE MATERIALS
PRODUCERS'
FINISHED 7
GOODS X
CONSUMER
NONFOODS
ERMEDIATE
MATERIALS
1969
Dept. of Labor data; latest figures, N o v e m b e r . Livestock and
products and crops and products derived by FR. Seasonally
adjusted e x c e p t sensitive industrial materials, livestock and
products, and crops and products. Crude materials are for further processing and e x c l u d e crude f o o d s t u f f s , feedstufFs, plant
and animal fibers, o i l s e e d s , and leaf tobacco. Intermediate
materials include supplies and c o m p o n e n t s but e x c l u d e intermediate materials for f o o d manufacturing and manufactured
animal f e e d s .
started to rise in the latter part of 1970, have maintained an almost
continuous climb, and synthetic fiber textiles reversed a downward
trend that had lasted since mid-1969. The cost of coal and electric
power, which had added so much to the inflation last year, continued
to rise in 1971, but prices of important petroleum products have
declined. Sensitive industrial materials and nonferrous metals
prices fluctuated at reduced levels.
The accelerated pace of the advance in prices of materials was
not reflected in prices of finished goods prior to the freeze; in
fact, for both producer and consumer nonfood finished goods the
rise in wholesale prices moderated. But this slowing reflected in
part customary marketing patterns. The rise in prices of finished
goods in recent years has tended to be concentrated in the final
quarter of the year; in 1970 more than half of the total rise in prices
of finished durable goods occurred in the fourth quarter.
Fuels and power. Following last year's sharp climb, prices of
fuels and power rose at a rate of about 3 per cent this year before
the freeze. For electric power, prices increased at a rate of about
9 per cent, and prices of coal rose 6 per cent to a level more than
80 per cent above that in 1967. On the other hand, prices of
petroleum products, including gasoline and fuel oils, have declined over the year. Prices of heavy fuel oils weakened more than
seasonally at midyear, reflecting reduced prices abroad and a cut
in tanker rates; a further decline has occurred this fall. The increase
in natural gas prices this year has been small, but the Federal
Power Commission has issued regulations allowing natural gas
966
FEDERAL RESERVE BULLETIN • DECEMBER 1971
prices to rise more rapidly in the future in order to stimulate exploration and development.
Textile products and apparel. Cotton textile prices increased
substantially this year before the freeze, after several years of relative stability. Cotton stocks have been reduced by several poor
crops, forcing prices up in the spring. Increases for synthetic fiber
textiles reversed a generally declining trend since mid-1969.
Prices of wool products, on the other hand, have continued to decline this year as production of fiber has continued high and
demands have been reduced. Apparel prices increased less this
year than in 1970 or in the preceding 2 years.
Construction materials. One of the sectors with especially
sharp increases in prices this year has been construction. Rising
prices of materials were responsible only in part; major settlements
in the first 6 months of 1971 resulted in wage rate increases averaging 13.5 per cent. The Construction Industry Stabilization Board,
which began its operations in May, was able to reduce the size of
wage settlements somewhat, but wages in this industry continued
to gain at a faster pace than in the rest of the economy.
The rise in housing starts from 1.4 million units in 1970 to around
2 million this year was the major cause of the turnaround in prices
of materials. Prices of construction materials rose about 9 per cent
through November, in contrast to only a slight increase in 1970.
Lumber and plywood prices, which had dropped in both 1969
and 1970, rose sharply. In November 1971, despite some recent
declines these prices were more than 20 per cent above a year
earlier and about one-third above their level in 1967.
4 | MOST PRICES rose sharply before the freeze
RATIO SCALE,
1969
1971
1969
1971
1969
1967=100
1971
Dept. of Labor data; latest figures, November. Series for lumber and wood products and other
construction materials derived from Dept. of Labor data.
PRICES IN 1971
967
Metals and metal products. Prices of metals and metal products increased at a much faster rate prior to the freeze than in 1970.
This was the result almost entirely of sharp increases for a broad
range of steel mill and fabricated products, since prices of nonferrous metals—which had declined earlier this year—had by August
recovered to a level only slightly above that of December 1970.
In 1970, boosts in prices of steel products had averaged about 6
per cent, but through August of this year increases were close to
10 per cent.
In August following a wage settlement, major steel companies announced that price increases averaging about 8 per cent would
become effective in the second half of this year. The first step of the
increase, involving about one-half of all steel products, took place
in early August, but the second step, scheduled for October 1, was
forestalled by the wage-price freeze. However, late in the year
major producers announced price increases of 7 to 8 per cent
on products not increased since August.
Prices of nonferrous metals have fluctuated around a declining
trend this year. Continuing the downward course of the latter part
of 1970, domestically produced copper declined in price early in
1971 but rose again in March, in large part as a result of rising
housing starts and inventory building in anticipation of a strike.
Prices of imported copper ingots, which also declined through
most of 1970 and into 1971, strengthened prior to the wage contract settlement, but have since softened, forcing major U.S.
producers to cut prices.
List prices of aluminum ingots have remained unchanged this
year, but large discounts have been reported. Only lead and zinc
prices are higher now than they were in late 1970.
Developments in farm and food prices. Wholesale prices of
farm products began to rise again in the first half of 1971, with livestock, meats, and fresh produce leading the way. Livestock prices
had fallen sharply in the fall of 1970 in response to a large increase
in hog marketings. At the same time that pork supplies were increasing (and prices declining) last year, however, grain prices
were beginning a sharp uptrend, as supplies were cut by a poor
corn crop.
Prices of beef recovered in the first half of this year, but depressed hog prices coupled with the high level of feed prices
lessened returns to producers, who therefore cut production of
hogs for marketing this fall and winter to levels below those of
a year earlier. The resulting reduction in pork supplies, in conjunc-
968
FEDERAL RESERVE BULLETIN • DECEMBER 1971
tion with an increase in demand for beef, is sustaining meat prices
at a very high level. Declines in other important commodity
prices since midyear have reduced prices of farm products about
seasonally. Owing to good growing conditions, blight-resistant
seed, and increased acreage, the corn crop reached record levels
this year. Prices of feed crops have dropped since June, and
prices of eggs and of fresh produce were also lower in November.
Wholesale prices of food products for consumer use dipped
much less sharply than prices at the farm level in the fall of 1970,
and this year they have risen appreciably. In November, average
prices of consumer foods were up about 3.3 per cent from a year
earlier. Meats and produce increased the most, but prices of
almost all major commodities except eggs were higher.
CONSUMER PRICES
CONSUMER PRICE INDEX
CHAN6E FROM PREVIOUS PERIOD, >ER CENT
8
Dept. of Labor seasonally
data; latest figures, Q 3 .
adjusted
This year the consumer price index (CPI) has been rising somewhat
more slowly than in 1969 and 1970. However, the slackening of the
rise—as well as the large variation among quarters this year—is
attributable mainly to changes in mortgage costs related to homeownership and in food prices. Apart from these, the rise in consumer
prices moderated little until the third quarter of this year.
Mortgage costs, which depend on both the level of mortgage
interest rates and the costs of new and used homes, leveled off in
1970 and declined in the early months of this year. Had it not
been for this reversal, it is estimated that the CPI would have continued to increase in the first half of this year at about the same
annual rate—about 5 per cent—as in the second half of 1970.
The slower rate of increase in the index in the third quarter reflected in large part a leveling in food costs, as well as the freeze
in September.
In the first half of this year, despite offsetting movements, there
was a slowing of the rise in prices of nonfood commodities. Gasoline
prices declined markedly, but in August these regained a level above
that in January. In addition, the rise in prices of apparel, houses,
and household durable goods moderated over that in 1970. On the
other hand, after an extraordinary increase last fall and winter,
new-car prices rose further on a seasonally adjusted basis in the prefreeze period. Prices of used cars fluctuated widely, but in September, both new and used cars were about 6 per cent above levels a year
earlier.
After rising at the rate of about 7 per cent annually in the
latter half of 1970, the increase in service costs slowed abruptly
in the first quarter of this year to a rate of about 3 per cent. The
drop was due entirely to a reversal in mortgage interest rates as
PRICES IN 1971
969
5 | Price increases have moderated for important CONSUMER ITEMS
RATIO SCALE, 1 9 6 7 = 1 0 0
Dept. of Labor data; latest figures, October. Apparel, new cars, and household durables seasonally adjusted.
these rates are reflected in the CPI; except for this, the cost of
services accelerated in the first quarter. But in the second and
third quarters, the advance in services slackened—with reduced
increases for such important components as rent, household
utilities, medical care, and public transportation.
In addition to prices of raw foods and imported commodities,
the freeze exempted from control certain items—for instance,
mortgage interest rates and certain taxes—that affect mainly the
service component of the CPI. The August CPI was relatively
unaffected by the freeze, since many of the prices had been collected
—and others may have increased—before August 15. Even in
September and October, the effect of the freeze on the CPI was
limited in large part because some price changes are recorded in
the index with a lag.
Prices of foods are collected monthly in all cities. In the five largest
Standard Metropolitan Statistical Areas, prices of most nonfood
items and services are also collected monthly; in smaller cities,
however, the prices of these items are collected in three sets of
sample cities. Each sample set is priced every 3 months. A few
items—such as rents, property taxes, and college tuition—are
priced even less frequently. Therefore, the September index reflects in part price changes since June, and the October index includes changes since July.
Despite the fact that a significant part of the price rise following
the freeze may have reflected increases that occurred before the
freeze, the advance in the seasonally adjusted CPI slowed sharply
in September and October. In September a sharp decline in exempted
food items reduced the over-all advance. Even aside from this drop,
970
FEDERAL RESERVE BULLETIN • DECEMBER 1971
however, the rise in the index would have moderated from the 4.7
per cent average rate of increase between March and August. In
October changes in the exempted items were offsetting and the freeze
had a greater impact. The ceiling on new-car prices, which prevented a substantial rise, was especially important in the reduced
rate of over-all price increase, particularly on a seasonally adjusted
basis.
Prices of new cars usually are raised in October, reflecting smaller
concessions by dealers on new-model cars as compared with the
models of the preceding year, and in recent years, increases in
manufacturers' list prices. As a result of the stabilization program, retail prices for 1972 models dropped on a seasonally
adjusted basis. The repeal of the auto excise tax, retroactive to
August, will reduce retail prices of new cars by about 5 per cent.
The levels of the CPI for August and subsequent months will be reduced to reflect rebates to consumers.
The most important commodity price rise in the 2 months
following the freeze was the greater-than-seasonal advance in
apparel with the introduction of the new fall lines. Services rose
less rapidly in September than in the third quarter—despite a sharp
increase in college tuition—and slackened somewhat further in
October. But in the main the October slackening reflected a technical
downward adjustment affecting the cost of medical services over
the preceding year.
Revision of Bank Credit Series
The seasonally adjusted series on commercial bank credit and its major components have been revised to reflect
changes in both coverage and seasonal
factors. The changes made in coverage
were in the loan component, and seasonal
factors were revised for both loans and
investments.
The revised series for loans includes
loans made to foreign commercial banks;
previously such loans had been excluded
from the monthly bank credit series. In
addition, the loan series, which has included valuation reserves since June 1969,
has been revised to include such reserves
back to the beginning of 1959. The revised data are shown in the table on pages
974 and 975. 1 That table also includes
a new series for "loans plus loans sold
outright to bank affiliates" for the period
beginning with May 1969.
EFFECTS OF REVISION
The principal effect of the revisions was
to raise the levels of loans and total bank
credit beginning with 1959. A major discontinuity was removed from these two
series by the addition of vajuation reserves for the period prior to June 1969, 2
and for both series the levels were raised
from 1959 to date by the addition qf loans
to foreign banks. While the amounts of
M o n t h l y data for the period 1948-58 are available in
the Augpst 1968 B U L L E T I N . However, the data published
there are net of valuation reserves, and they exclude loans
to foreign banks.
2
The series now breaks in 1959, because adjustments
for valuation reserves and for foreign loans were not
carried back. The amounts involved were $ 2 . 0 billion
and $ 0 . 4 billion, respectively, at the beginning of 1959.
N O T E . — T } i e revised series were prepared by Edward
R. Fry and Mary F. Weaver of the Banking Section of the
Board's Division of Research and Statistics.
the adjustments associated with these
two changes increased over the years, the
effects on percentage rates of growth were
minimal.
The accompanying table shows a comparison of percentage annual rates of
growth for the period 1969-71. Recent
over-all growth patterns were not altered
to a significant degree by the revision;
relatively slow expansion in bank credit
in the second half of 1969 was followed
by substantial expansion as credit restraint eased in 1970. In general, however, growth rates in total bank credit and
in each of the component series were increased slightly in the first half of the year
on the revised basis and reduced slightly
in the second half because of changes in
seasonal factors.
With coverage broadened to include
loans to foreign commercial banks, the
only loans now excluded from "loans
adjusted" are those to other domestic commercial banks. This treatment of domestic
interbank loans in the bank credit series
is similar to that accorded interbank deposit liabilities in the money stock series.
Loans to foreign banks—practically all
of which are held by large commercial
banks—increased from about $400 million in early 1959 to about $1.7 billion by
the end of 1964; consequently, the growth
rates for both loans and total bank credit
were raised slightly in this period. Subsequently, the outstanding amounts of such
loans fluctuated within a narrow range
through 1970. In 1971 loans to foreign
banks doubled from nearly $1.5 billion
in March to more than $3.0 billion in
August. The bulk of this increase oc971
FEDERAL RESERVE BULLETIN • DECEMBER 1971
972
I N C R E A S E S IN C O M M E R C I A L B A N K L O A N S A N D I N V E S T M E N T S
Seasonally adjusted annual rate, in per cent
Total
bank credit
Period
Old
series
Securities
Loans adjusted
Other
U.S. Government
Revised
series
19691
1st H.1
2nd H
3.1
4.1
2.0
8.4
2.5
14.1
8.4
3.1
13.5
1971—11 mos. 2
Ql 2
QII
QUI
Oct.-Nov
10.5
12.4
9.0
9.9
8.6
10.6
12.5
10.3
9.8
7.6
Old
series
Revised
series
-15.7
-13.7
-19.0
1.4
-1.4
1.7
-1.7
-
12.7
8.5
16.3
1.2.6
9.3
15.2
20.6
10.4
29.3
20.6
10.7
29.1
1.9
19.8
9.8
-14.0
-11.9
1.7
21.4
11.1
-18.5
-10.0
19.2
27.9
17.0
9.9
18.2
20.4
27.9
20.5
12.0
15.1
Revised
series
Old
series
Revised
series
8.4
9.9
6.6
2.9
5.1
.7
1970
1st H
2nd H
Old
series
8.2
10.5
5.5
-15.7
-17.2
-15.6
4.5
.5
9.4
4.5
.1
8.9
9.6
6.5
6.4
15.0
9.3
9.5
6.2
7.0
15.0
8.6
1
Rates calculated from data adjusted to eliminate discontinuities: both revised and old series, to include data
for domestic subsidiaries; old, to include valuation reserves.
2
Rates calcuated from data adjusted to eliminate effects of transfer of Farmers' Home Administration insured
notes from " L o a n s " to "Other securities."
curred in August as adjustments in foreign
exchange rates led to sharp increases in
foreign borrowing. However, changes in
seasonal factors for the bank loan series
offset the effects of this increase in loans
to foreign banks in the third quarter and
the rapid expansion rate for total loans
was unchanged on balance. Since August,
loans to foreign banks have declined
about $300 million.
The adjustment of loans to a gross basis
prior to mid-1969 makes data for the earlier
period consistent with current reporting
procedures, which were adopted by the
three Federal banking supervisory agencies in 1969: Beginning with the June
1969 call report, loans and securities have
been reported on a gross basis—that is,
without deduction of valuation reserves.
Previous call report procedures had called
for reporting both of these items net of
valuation reserves, and call report benchmarks for the bank credit series were
constructed on this basis.
For purposes of this revision, reserves
on loans prior to June 1969 were estimated on the basis of data reported weekly
by large commercial banks and data reported semiannually by other banks. The
estimated amount of adjustment for reserves on loans increased gradually from
$2.0 billion in 1959 to $5.3 billion as of
June 1969. Inclusion of valuation reserves
in June 1969 raised the level of bank investments in securities by $0.2 billion.
However, back data on such reserves
are not available, and no adjustments
have been made in the investments series
to remove this small discontinuity.
BANK LOANS PLUS LOANS SOLD TO
AFFILIATES
A new, supplementary series on " b a n k
loans plus loans sold outright to affiliates"
is included in the table on page 975.
Transfers of loans to affiliates increased
sharply in 1969 and early 1970 in response to restraints on bank credit expansion. 2 Over this period the new combined series reflects more accurately the
total volume of lending by commercial
banks, inasmuch as loans initiated by the
banks and then transferred to their affiliates
were removed from the banks' books and,
2
W e e k l y data f o r l o a n s s o l d t o b a n k s ' o w n s u b sidiaries, foreign branches, holding c o m p a n i e s , and
other affiliates are p u b l i s h e d r e g u l a r l y , as s h o w n o n p .
A - 3 3 of this B U L L E T I N . T h e b a n k s h a v e r e p o r t e d s u c h
data s i n c e M a y 1 9 6 9 .
REVISION O F B A N K C R E D I T
SERIES
consequently, were not reported in the
usual condition statements.
The accompanying chart shows that
GROSS LOANS A D J U S T E D
B I L L I O N S OF DOLLARS
* Loans sold outright by commercial banks to their
own subsidiaries, foreign branches, holding companies,
and other affiliates.
Seasonally adjusted monthly data. Gross loans are
adjusted to exclude loans to domestic commercial banks.
973
after taking these transferred loans into
account, bank lending was maintained at a
considerably higher level in late 1969 and
early 1970. The combined series—bank
loans plus transfers—increased at a 5 per
cent annual rate during the year ending
June 1970, compared with only 2.8 per
cent for the loans that banks continued to
hold in their portfolios. During this period
domestic affiliates typically raised funds
in the commercial paper market, and foreign branches tapped the Euro-dollar market—channeling these funds to the banks
by purchasing the banks' loan assets.
In the second half of 1970, however, as
banks reduced their use of commercial
paper and Euro-dollar funds, they repurchased more loans than they sold. Consequently, bank balance sheet figures
somewhat overstated the volume of bank
lending, and the series on loans plus loans
sold provided a more accurate measure
of bank lending in that period.
•
FEDERAL RESERVE BULLETIN •
974
DECEMBER
1971
GROSS LOANS AND INVESTMENTS AT COMMERCIAL BANKS, 1 9 5 9 - 7 0
In billions of dollars
Seasonally adjusted
Month i
Total
2
Loans
2,3
Not seasonally adjusted
Securities
Total
U.S. Govt.
1959—Jan..
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
Dec..
186.4
185.6
184.6
186.2
187.3
187.1
188.2
189.0
188.7
188.3
188.3
188.7
99.3
99.5
100.6
101.9
103.4
104.1
106.3
107.8
108.4
109.1
109.9
110.5
61.2
1960—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
Dec..
188.8
188.4
189.1
189.6
189.9
190.2
191.6
192.5
194.0
195.8
196.0
197.4
1961—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
Dec..
198.9
201.0
2
Loans
2,3
Other 3
Securities
U.S. Govt.
60.7
59.6
58.6
57.9
57.7
20.6
20.6
20.5
20.8
20.7
20.6
20.6
20.6
20.6
20.6
20.5
20.5
186.2
184.3
183.6
186.2
186.3
186.5
188.1
188.6
188.9
189.2
188.7
192.3
98.3
98.3
99.8
101.7
103.0
105.1
106.4
107.8
108.9
109.0
109.9
112.8
67.5
65.5
63.2
63.6
62.6
60.9
61.1
60.3
59.2
59.6
58.5
58.9
111.5
112.2
112.9
113.8
114.2
114.6
114.9
115.4
115.9
116.1
116.1
116.7
56.9
55.9
56.2
55.9
55.9
55.8
56.7
57.0
58.0
59.4
59.3
59.8
20.4
20.2
20.1
19.9
19.8
19.8
20.0
20.0
20.0
20.3
20.5
20.8
188.6
187.3
186.4
189.2
188.9
189.6
191.5
191.9
194.3
196.7
196.8
201.5
111.0
110.4
112.1
113.3
113.9
115.6
114.8
115.3
116.4
115.9
116.3
119.6
58.0
56.2
54.2
55.8
55.1
54.2
56.7
56.6
57.7
60.4
60.2
61.0
60.7
203.2
204.3
206.2
207.3
209.8
210.2
211.4
212.8
117.1
118.7
118.3
118.5
119.0
118.9
119.5
119.8
120.5
121.6
122.5
123.6
61.2
61.0
62.3
63.3
64.4
64. £
66.3
65.5
65.3
65.3
21.1
21.4
21.6
21.6
21.9
22.0
22.2
22.6
23.1
23.1
23.6
23.9
198.8
200.1
198.7
200.4
202.1
203.9
206.3
205.9
210.5
211.2
212.1
217.7
116.0
117.5
117.3
117.9
118.8
120.0
119.3
119.2
121.1
121.4
122.5
127.2
61.9
61.3
59.7
60.7
61.5
61.8
64.7
64.2
66.1
66.6
66.2
66.6
1962—Jan...
Feb..
Mar..
Apr..
May.
June.
Jiily. .
Aug..
Sept..
Oct...
Nov..
Dec. 4
214.4
215.4
217.3
218.9
220.4
221.8
222.5
224.7
225.7
227.6
229.4
231.2
124.2
125.2
126.9
128.1
128.7
129.8
130.2
131.6
133.3
134.4
135.7
137.3
66.0
65.6
65.1
64.9
65.4
65.1
65.0
65.4
64.4
64.6
64.7
64.7
24.3
24.6
25.3
25.9
26.2
26.9
27.8
28.0
28.6
29.1
29.2
214.2
214.9
215.7
218.2
218.6
222.7
221.3
222.5
226.4
229.1
230.1
237.0
122.9
124.4
125.9
127.4
128.2
131.2
129.6
130.8
134.0
134.9
135.7
141.3
67.2
66.0
64.4
64.7
64.4
64.4
64.2
63.9
64.3
65.6
65.6
66.4
1963—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
Dec.4
232.9
234.6
235.7
236.8
238.8
241.0
242.6
243.3
244.8
246.2
248.2
250.2
138.3
139.6
140.6
141.2
142.8
144.8
145.9
147.2
148.9
150.5
152.5
153.6
64.9
64.9
64.4
64.4
64.1
63.9
63.9
62.7
62.0
61.3
61.3
61.7
29.8
30.2
30.7
31.2
31.9
32.3
32.8
33.4
33.9
34.4
34.4
35.0
232.4
233.7
235.1
235.7
236.9
242.9
241.5
240.9
245.8
246.3
248.9
256.5
136.7
138.5
139.6
140.4
142.2
146.9
146.1
146.3
149.8
149.9
152.5
158.0
66.2
65.3
64.8
64.0
63.0
63.5
62.5
60.9
61.8
62.0
62.3
63.4
1964—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
Dec..
250.9
252.8
253.8
255.8
257.5
259.6
260.6
263.4
266.6
267.1
270.3
272.4
155.3
156.7
157.9
159.6
60.6
60.8
60.3
60.5
60.4
60.3
59.7
60.8
61.4
60.6
61.5
60.8
35.0
35.3
35.6
35.7
35.9
36.2
36.4
36.8
37.5
37.9
38.5
38.7
250.3
251.3
254.0
254.8
255.7
261.9
258.8
260.7
266.9
267.1
271.0
279.2
153.6
154.7
157.0
158.9
160.9
166.2
164.0
164.8
168.4
167.7
170.2
177.4
62.1
61.5
61.5
60.1
59.1
59.3
58.3
58.8
60.7
61.4
62.7
63.0
201.1
201.1
161.2
163.1
164.5
1(55.8
167.7
168.6
170.3
172.9
66.6
65.5
63.5
63.5
63.2
62.4
61.0
1 Data are for last Wednesday of the month and are partly estimated
except for June 30 and Dec. 31 call dates. Data for June 29, 1968, are
estimates.
2
Adjusted to exclude domestic commercial interbank loans. Beginning June 9, 1966, about $1.1 billion of balances accumulated for
payment of personal loans were deducted as a result of a change in
Federal Reserve regulations.
27.4
3 Beginning June 30, 1966, CCC certificates of interest and ExportImport Bank portfolio fund participation certificates totaling an estimated $1 billion are included in "Other" securities rather than in
loans.
4
Data are estimates for Dec. 31.
REVISION O F B A N K C R E D I T
SERIES
975
GROSS LOANS AND INVESTMENTS AT COMMERCIAL BANKS, 1959-70—Continued
In billions of dollars
Seasonally adjusted
Securities
Total
2
Loans 2 plus loans
sold to bank
affiliates 5
Not seasonally adjusted
Loans 2 '3
Securities
Total
U.S.
Govt.
2
Loans
Othei- 3
2,
3
U.S.
Govt.
Other
S.A.
275.1
278.0
278.8
282.9
284.3
286.7
289.0
290.5
292.1
295.6
297.0
300.1
175.9
178.2
180.2
182.8
184.4
186.5
188.5
190.0
191.7
194.2
195.5
198.2
59.7
59.8
58.0
58.9
58.6
58.3
58.1
57.4
56.8
57.6
57.4
57.1
39.5
40.0
40.5
41.2
41.3
41.9
42.4
43.1
43.5
43.9
44.2
44.8
274.4
276.0
279.2
281.3
282.5
289.3
286.5
288.5
292.1
295.5
191.1
307.6
173.8
175.8
179.9
181.6
184.2
190.2
187.7
189.6
192.3
192.9
195.1
203.2
61.5
60.5
59.0
58.3
57.2
56.9
56.3
55.5
55.9
58.5
58.8
59.5
39.1
39.7
40.3
4l . 4
41.1
42.2
42.6
43.4
43.9
44.1
43.8
44.9
303.3
304.2
304.5
307.7
309.7
313.1
313.7
314.6
315.0
314.1
314.2
316.1
200.3
202.2
203.8
206.0
207.8
209.4
210.3
211.0
211.8
212.8
212.9
213.9
58.0
56.5
54.9
55.5
54.7
55.3
54.9
55.5
54.6
53.0
52.9
53.5
45.0
45.5
45.8
46.2
47.2
48.4
48.5
48.0
48.6
48.4
48.4
48.7
302.4
301.6
303.8
307.1
307.8
315.9
312.6
313.1
314.6
313.8
314.8
324.0
198.4
199.2
203.0
205.2
207.1
213.6
211.2
211.0
212.2
211.6
212.5
219.0
59.6
57.3
55.4
55.5
53.6
53.5
52.7
53.7
53.6
53.6
54.4
56.2
44.4
45.1
45.4
46.5
47.1
48.8
48.6
48.4
48.8
48.7
47.9
48.8
320.6
323.3
327.0
328.8
330.9
332.7
338.3
342.7
345.1
347.6
350.0
352.0
216.4
216.5
217.8
218.7
219.1
220.3
222.3
224.0
226.2
121.1
228.5
231.3
54.2
55.7
56.8
56.5
57.0
56.2
59.5
61.3
60.9
61.7
61.2
59.3
49.9
51.1
52.3
53.6
54.8
56.2
56.6
57.3
58.0
58.8
60.3
61.4
319.8
320.4
325.9
328.3
329.4
335.3
337.7
340.1
344.7
347.6
350.0
360.8
214.4
213.1
216.1
2i8.2
218.9
224.4
223.9
223.2
226.3
126.2
227.4
236.8
56.0
56.6
57 J
56.2
55. &
54.2
57.1
59.1
60.1
62.4
62.9
152.5
49.4
50.7
52.0
54.0
54.7
56.7
56.7
57.8
58.3
59.0
59.8
61.5
355.8
359.3
360.0
361.0
363.8
364.8
371.0
376.4
381.2
386.0
387.8
390.6
233.5
234.4
235.4
237.3
238.5
240.4
244.2
247.4
250.4
253.2
256.8
258.2
60.2
62.2
61.4
60.3
61.7
60.5
62.3
63.3
63.4
64.0
61.0
61.0
62.2
62.7
63.2
63.4
63.6
63.9
64.5
65.7
67.4
68.8
70.0
71.4
356.3
356.6
357.4
360.5
361.3
367.7
371.9
373.8
380.6
385.4
387.6
400.4
232.3
231.3
233.0
236.8
237.5
244.8
246.8
246.3
250.5
251.8
255.3
264.4
62! 2
63.2
61.2
59.8
60.3
58.6
60.5
61.5
62.5
64.8
62.8
64.5
61.7
62.2
63.1
63.8
63.5
64.4
64.6
66.0
67.6
68.8
69.5
71.5
392.5
393.4
395.4
398.5
399.8
400.6
399.5
398.9
398.6
399.5
402.3
402.1
260.4
263.1
265.3
268.3
271.0
271.9
271.6
272.1
273.6
275.6
277.8
279.4
60.9
58.9
58.6
58.4
56.8
56.9
56.8
56.1
54.1
53.6
53.2
51.5
71.2
71.5
71.4
71.8
72.0
71.8
71.1
70.6
70.9
70.4
71.3
71.2
391.4
390.4
392.3
398.3
397.1
403.2
399.4
396.2
398.0
398.7
402.0
412.1
257.7
260.1
262.3
268.0
269.9
276.8
273.5
271.0
273.6
273.9
276.1
286.1
63.2
59.5
58.5
58.0
55.4
54.0
54.7
54.3
53.2
54.4
55.1
54.7
70.5
70.9
71.4
72.3
71.8
72.4
71.3
70.9
71.2
70.4
70.9
71.3
272.5
274.0
274.4
275.4
277.4
280.3
282.6
283.3
271.4
278.9
276.3
274.3
277.4
278.7
280.9
290.0
400.3
400.4
403.9
405.9
407.7
408.4
414.3
419.5
424.3
426.2
429.3
435.9
278.5
278.3
279.6
279.3
279.1
279.5
283.2
285.7
288.4
289.1
290.0
292.0
50.5
50.7
51.6
52.8
54.1
53.9
55.6
56.9
56.8
56.3
56.3
58.0
71.3
71.4
72.6
73.8
74.5
75.0
75.5
76.9
79.2
80.8
83.0
85.9
399.1
397.2
400.5
404.8
405.3
411.7
414.1
416.8
424.7
425.6
429.3
446.8
275.6
275.0
276.3
278.2
278.4
284.5
284.9
284.7
289.5
287.5
288.4
299.0
53.0
51.4
51.5
52.3
52.6
51.6
53.5
55.1
55.8
57.2
58.3
61.7
70.6
70.8
72.7
74.3
74.3
75.6
75.7
77.1
79.5
81.0
82.5
86.1
284.5
284.8
286.5
286.5
287.2
287.6
291.4
293.7
293.6
293.5
293.8
294.9
281.5
281.5
283.1
285.3
286.4
292.6
293.1
292.7
294.7
291.8
292.3
301.9
For notes 1-4, see preceding page.
5
Loans sold outright by commercial banks to own subsidiaries,
foreign branches, holding companies, and other affiliates. See p. A-33.
6
Beginning June 30, 1969, data revised to include all bank-premises
subsidiaries and other significant majority-owned domestic subsidiaries; earlier data include commercial banks only. Also, loans and
investments are now reported gross, without valuation reserves deducted, rather than net of valuation reserves as was done previously.
For a description of the revision, see Aug. 1969 BULLETIN, pp. 642-46.
Data shown in this table beginning January 1959 have been revised
to include valuation reserves.
NOTE.—For revised data for 1971, see p. A-18.
Planned and Actual Long-Term Borrowing
by State and Local Governments
During fiscal 1971 State and local governments, stimulated by relatively favorable
market conditions, issued a record volume of
long-term municipal securities to meet their
accumulated and growing capital requirements. Altogether, the $23.1 billion of longterm borrowing by this sector was in sharp
contrast to the $13.3 billion borrowed in
fiscal year 1970 when, because of the record
levels of interest rates and the existence of
ceilings on borrowing rates, financing was well
below planned levels.
The sensitivity of State and local governments to changes in credit market conditions and the subsequent effect that credit
policy may have upon capital expenditures
of these governments have spurred interest
in the cyclical experiences of this sector. To
gather information on the behavior of the
market for tax-exempt securities and associated spending impacts, the Federal Reserve, in conjunction with the U.S. Bureau
of the Census, has conducted quarterly
surveys of anticipations and realizations of
borrowing by State and local governments
since 1969.1
By means of the survey, universe estimates
of the quarterly pattern of long-term borrowing expectations were projected, ex ante,
from reports of a stratified sample of State
and local governments, agencies, and authorN O T E . — P a u l Schneiderman of the Board's Division
of Research and Statistics prepared this article. Both the
article and the surveys themselves have benefited from
the efforts of many individuals at the Federal Reserve,
the U . S . Bureau of the Census, and the Investment
Bankers Association.
*For a report on the experience for fiscal year 1970
see J. E. Petersen, "Response of State and Local
Governments to Varying Credit Conditions," Federal
Reserve B U L L E T I N (Mar. 1971).
ities.2 Subsequently, a subsample of respondents who deviated from their anticipations was asked to provide reasons for the
deviation. Where borrowing was below
planned levels, respondents were also asked to
indicate the impact such shortfalls had upon
capital spending plans or, alternatively, the
financial expedients relied upon to maintain
capital outlays as planned. 3
This article chronicles the borrowing experience of State and local governments for
fiscal 1971. After a review of the events
that helped to shape the nature of this market
during that year, the results of the survey are
presented. Particular emphasis is given to a
detailed analysis of (1) interest-rate-induced
borrowing that was either above or below
planned levels, (2) the related impacts on
spending, and (3) the use of financial alternatives to support planned capital spending.
2
This sample contains 4,368 units: all State governments and agencies, all large local units, and a stratified
sample of smaller local governments, agencies, and
authorities. Data provided by the Investment Bankers
Association allow indentification of those units that
borrowed without having indicated previous plans.
The surveys have always had excellent response.
Response rates for the anticipations surveys were 87 and
78 per cent in June 1970 and December 1970. Nonrespondents generally did not borrow during the quarters
that followed, and therefore the anticipations estimates
are believed to be rather complete. The four
follow-up realizations surveys as of September and
December 1970 and March and June 1971 had response
rates of 80, 79, 90, and 81 per cent. In each of these
surveys, however, 95 to 98 per cent of the borrowing
accomplished during the survey quarter was accounted
for. N o attempt is made to analyze the probable behavior
of nonrespondents.
3
The terms "shortfalls" and "setbacks" are used interchangeably to indicate the amount of long-term borrowing postponed or canceled by State and local governments. Throughout this article the terms "government" and "units" refer to State and local governments.
All dates are calendar unless otherwise noted. "Longterm borrowing" refers to debt with original maturity
of more than 1 year.
977
978
FEDERAL RESERVE BULLETIN •
MUNICIPAL MARKET DEVELOPMENTS
As in other security markets, interest rates on
tax-exempt obligations dropped sharply in
fiscal 1971 from the historic highs reached
during the preceding fiscal year. In view of
the reduced cost of credit and strong demands
for funds, State and local governments
floated long-term debt at a record pace. The
increase in net long-term obligations of these
governments (Table 1) totaled about $12.5
billion in fiscal 1971. This rise in outstanding debt contrasts with the net increase of
$4.4 billion for fiscal 1970 when higher
yields prevailed and interest rate ceilings inhibited borrowing.
TABLE 1
NET CHANGE IN INVESTMENT IN STATE AND LOCAL
OBLIGATIONS
Fiscal 1971 and 1970
In billions of dollars
Investor group
1971
1970
14.7
-2.1
1.2
.3
2
3.1
.3
17.5
2.7
-.1
1.2
-.3
2
3.4
.4
7.3
5.0
12.5
Commercial banks
Individuals1
Fire and casualty insurance c o m p a n i e s
O t h e r n o n b a n k financial i n s t i t u t i o n s
Nonfinancial corporations
State and local g o v e r n m e n t s
Total
3.0
4.4
MEMO:
Short-term
Long-term
NOTE—Details m a y not
D a t a a r e f l o w of f u n d s t o t a l s
1
Includes
households,
institutions.
2
Short-term acquisitions
these net a d d i t i o n s .
a d d t o t o t a l s b e c a u s e of r o u n d i n g .
of u n a d j u s t e d q u a r t e r l y n e t c h a n g e s .
partnerships, and
eleemosynary
r e p r e s e n t a s u b s t a n t i a l p o r t i o n of
4
Separate totals for net additions of short- and longterm municipals by each investor group are not available
for fiscal 1970 and 1971. However, the bulk of shortterm debt has been traditionally held by commercial
banks and nonfinancial corporations.
1971
bank fund availability was constrained and
loan demand was relatively stronger, particularly in the second half of 1969.
Of the two other major investor groups that
hold long-term municipals, fire and casualty insurance companies increased their holdings
of tax-exempts whereas individuals were net
liquidators. Casualty companies had favorable underwriting experience and because of
their high marginal tax brackets were attracted to municipals, even at the low yields
obtainable in fiscal 1971. These insurance
companies added more than $1.2 billion of
both long- and short-term maturities to their
portfolios. Individuals, on the other hand,
reduced their holdings of State and local obligations by $2.1 billion during fiscal 1971,
apparently in response to changed rate relationships and perhaps also to shifting asset
preferences related to demands for liquidity
and to revised income tax regulations.
Throughout fiscal 1971, interest rate movements and leve^ no longer influenced State
and local governments to postpone or
cancel their planned long-term borrowing.
Municipal yields, after having reached an historic high of 7.12 per cent in the last week
of May 1970, dropped to 6.75 per cent by July
1970 and, more dramatically, fell to a low of
5 per cent by mid-March 1971. In spite of a
-
Commercial banks financed most of the increase in State and local borrowing during
fiscal 1971, and thereby added $14.7 billion
in short- and long-term municipal debt to
their portfolios.4 Bank activity in municipals
reflected the sluggishness in demand for commercial loans and the considerably increased
flows of deposits into these institutions during
most of fiscal 1971. This contrasts with the
$2.7 billion absorbed during fiscal 1970 when
DECEMBER
1
MUNICIPAL BOND YIELDS: Bond Buyer
2 0 - b o n d index
PER CENT
Bond Buyer Index (20 issues);
first-Thursday-of-the-monthdata.
STATE AND LOCAL BORROWING
979
TABLE 2
ANTICIPATED AND ACTUAL LONG-TERM BORROWING
BY STATE AND LOCAL GOVERNMENTS
Fiscal year 1971
In billions of dollars
Local govt.
Borrowing
Anticipated 1
Net shortfall 2
Actual
Ratio: actual/planned
All
types
State
govt
Total
County
City or
town
Special
district
School
district
23.80
74
23.06
8.34
(1.31)
9.65
15.46
2.05
13.41
1.79
.08
1.71
6.77
.96
5.81
2.56
.04
2.52
4.34
.97
3.37
.87
.96
.86
.98
.78
97
1.16
'Based upon anticipations surveys.
2
B a s e d u p o n r e a l i z a t i o n s s u r v e y s , the net b o r r o w i n g shortfall a c c o u n t s f o r b o r r o w i n g b e l o w
p l a n n e d levels o f f s e t by b o r r o w i n g a b o v e o r i g i n a l l y p l a n n e d levels. P a r e n t h e s e s i n d i c a t e
borrowing above plans.
rate reversal during the last quarter of fiscal
1971, tax-exempt yields remained considerably below the highs in the previous fiscal
year (Chart 1).
SURVEY RESULTS
State and local governments planned to float an
estimated $23.8 billion5 in long-term debt in
fiscal 1971 (Table 2). The increase in
planned borrowing over th£ approximately
$18 billion scheduled for fiscal 1970 reflects
not only a natural growth in demand for debtfinanced capital projects, but also a desire by
governments to reinstate debt plans abandoned
in fiscal 1970 when these units could not
enter the capital markets because of the high
rates of interest coupled with interest cost
ceilings. Results of the follow-up realizations
surveys indicate that some units, either unable or unwilling to realize their plans fully,
experienced shortfalls of $5.8 billion from
anticipated borrowing levels. Other governmental units, however, borrowed $5.1 billion above reported goals.
Problems in obtaining proper authorizations, as well as other legal and administrative
delays, accounted for $3.3 billion of the un5
The anticipation surveys were made at the end of
June and of December 1970, and were adjusted quarterly
for units responding to the realizations questionnaires.
The totals shown here for borrowing plans have been
adjusted to eliminate double counting. For instance, a
postponed borrowing plan is counted only once no matter how often postponed and rescheduled.
realized borrowing plans for 1970-71. Voters,
according to the Investment Bankers Association, defeated 40 per cent of the $8.9 billion
of proposed borrowing authorizations during
fiscal 1971. A sizable number of issues were
also being postponed as of June 30, 1971,
apparently to await Internal Revenue Service guidelines on and approval of the taxexempt status of industrial aid pollution control
bonds.6 In addition, there was the question
of the constitutionality of a two-thirds majority required for a bond authorization vote
in some jurisdictions.
Despite these various legal and technical
problems, substantially improved market
conditions—lower costs and increased availability of credit—in fiscal 1971, compared
with fiscal 1970, caused net borrowing shortfalls of only $0.7 billion, one-third of which
was interest rate related. Whereas the respondents to the survey noted that reaction
to and expectations about interest rate behavior accounted for $1.1 billion of the longterm borrowing setbacks, changes in and
levels of yields influenced other units to
borrow $0.8 billion above original anticipa6
The interest payments on industrial aid bonds are
exempt from Federal income taxes under two alternative
sets of conditions: (1) regardless of the cost of the
project, bond issues for such financing total less than
$1 million; or (2) the project cost is under $5 million,
and bond issues do not exceed that amount. However,
the guidelines for such bonds are under review.
980
FEDERAL RESERVE BULLETIN •
DECEMBER
1971
TABLE 3
LONG-TERM BORROWING BEHAVIOR INDUCED BY BEHAVIOR OF
INTEREST RATES
Fiscal year 1971
In billions of dollars
1970
Borrowing
G r o s s s h o r t f a l l s in b o r r o w i n g
i n i t i a t e d as r e p o r t e d q u a r t e r l y
S a l e s of o f f e r i n g s p o s t p o n e d
in e a r l i e r q u a r t e r s
A c t u a l g r o s s s h o r t f a l l in b o r r o w i n g . . .
Borrowing above plans
N e t s h o r t f a l l s f r o m or a c c e l e r a t i o n s
above borrowing plans
1971
Fiscal
1970
Fiscal
1971
Q3
Q4
Q1
Q2
7.37
1.84
.60
.45
.45
.34
2.21
5.16
*
.70
1.14
.78
t
.60
.08
.11
.34
.34
.34
.11
.15
.25
.09
.21
5.16
.36
.52
...
(.04)
(.12)
* Less than $10 million.
t T h i s a m o u n t is not c a r r i e d f o r w a r d f r o m p r e v i o u s fiscal y e a r s a n d is t r e a t e d as h a v i n g a z e r o
value.
tions. This result was markedly more favorable than the $5.2 billion of net borrowing
setbacks experienced in fiscal 1970 when
credit conditions were less favorable.
In spite of a generally receptive market,
borrowing difficulties experienced by the State
and local sector during fiscal year 1971 led
to cancellations and postponements of an estimated $1.2 billion of capital projects. About
one-sixth of these were reinstated during
the year. Many governments elected to proceed with their planned capital outlays by
utilizing other means of financing; when longterm borrowing deficiencies would have
affected capital outlays, governments relied
most heavily upon short-term borrowing—
$2.03 billion—and use of liquid assets—$0.78
billion—as alternative sources of funds.
EFFECTS OF INTEREST RATES ON
BORROWING AND SPENDING
Responses to the survey show that throughout most of fiscal year 1971—in contrast with
fiscal year 1970—interest rate movements and
levels no longer caused State and local
governments to postpone or cancel their
planned long-term borrowing (Table 3). The
survey indicated, in fact, that the State and
local sector was willing and able to place
an amount equal to 97 per cent of its
planned borrowings.7
7
For note see opposite column.
LONG-TERM BORROWING of STATE and
LOCAL G O V E R N M E N T S
1965
1966
1967
1968
1969
1970
1971
If fiscal year 1970 was the year when proposed borrowing was rationed out of the
market, 1971 was indeed the year for fulfilling
those pent-up borrowing needs. Chart 2 indicates the steady growth in borrowing volume
from fiscal 1965 to 1969. The rather strenuous
burst above the trend during the past fiscal
year reflected the need to recover the postponed borrowing of 1969-70, coupled with
normal and regular requirements of governments to fund capital projects by means of
long-term financing.
7
It should be recalled that the survey revealed $5.8
billion of shortfalls below borrowing plans of $23.8
billion by some units. Other units were responsible for
borrowing $5.1 billion above reported plans. Altogether, the net shortfall in borrowings amounted to only
$0.7 billion.
981
STATE AND LOCAL BORROWING
TABLE 4
LONG-TERM BORROWING SHORTFALLS INDUCED BY INTEREST RATES
Fiscal year 1971
In millions of dollars
Local govt.
Reason
Interest rate c e i l i n g
Interest rates:
T o o high
E x p e c t e d to fall
All
types
State
govt.
Total
County
City or
town
Special
district
School
district
160
160
26
65
7
62
77
187
351
367
76
47
104
52
84
158
87
110
1,142
Total
428
554
264
878
149
221
249
259
To help clarify the role played by interest
rates in the decisions of State and local
governments to effect borrowing plans, the
earlier survey questionnaire was revised
(see Appendix).8 Respondents who reported
interest-rate-motivated shortfalls from anticipations were asked whether interest rate
ceilings were a barrier, whether rates were too
high even though below ceilings, or whether
rates were expected to fall. The responses are
shown in Table 4. Whereas it was felt that
interest rate ceilings had played an important
role in the $5.2 billion of interest-rateinduced setbacks in borrowing during fiscal
1970, the effect in fiscal 1971 was minimal;
such ceilings accounted for only 14 per cent
of the $1.1 billion of interest-rate-induced
setbacks, partly because many ceilings had
been raised or removed since fiscal 1970.
8
The original format of the questionnaire allowed
respondents only one interest rate option. An example
of this older format can be seen in Appendix B to the
report in the March 1971 B U L L E T I N , pp. 2 2 7 - 3 0 .
Expectations about the behavior of interest
rates had a strong effect upon the realizations
of borrowing plans. Although interest rates
turned downward, some units chose to postpone borrowing in the expectation of still
further declines. On the other hand, as shown
in Table 5, when interest rates started up
again, additional debt offerings were brought
to market by units that—recalling the experience of the previous year—believed
yields would rise even further.
State and local governments reported that
interest rates provided the motivation behind
the nearly $600 million of borrowing shortfalls these governments had during the third
quarter of 1970. More than 65 per cent of
these setbacks occurred because units felt
interest rates were too high. Another 18 per
cent of the interest-rate-induced shortfalls
represented the action of governments that
had postponed borrowing in anticipation of a
further decline in interest rates.
In the fourth quarter, State and local govern-
TABLE 5
STATE AND LOCAL LONG-TERM BORROWING ABOVE REPORTED PLANS
Fiscal year 1971
In millions of dollars
Local g o v t .
Reason
Authorized sooner than
expected
Interest rates e x p e c t e d t o
rise
Interest rates d e c l i n e d
Project plans ready early ...
P r o j e c t m o r e costly t h a n
expected
N o reason given, and other
Total
All
types
State
govt.
Total
County
City
or t o w n
Special
district
School
district
822
199
623
105
225
113
180
235
546
462
108
200
141
127
346
321
31
33
37
46
138
177
22
97
68
28
78
39
270
983
108
193
162
790
22
229
40
191
66
202
34
168
3,318
949
2,369
457
817
568
527
982
FEDERAL RESERVE BULLETIN • DECEMBER 1971
ments had $533 million in interest-rateinduced borrowing shortfalls. Half of these
abandonments were sustained by units that
felt interest rates would decline still further.
Less than 2Vi per cent of the shortfall resulted from interest cost ceilings. By the end
of the first quarter of 1971, 84 per cent of the
$451 million of postponements and cancellations of borrowing for interest rate reasons
were accounted for by governments that,
despite the record drop in yields over the past
9 months, were awaiting even lower yields.
The decline of interest rates over the first
9 months of fiscal year 1971 influenced governments to bring to market at least $570
million more in long-term municipal securities than reportedly had been planned—83
per cent in response to the decline of rates
and the remainder undertaken in anticipation
of higher yields. When yields on municipal
bonds rose during the second quarter of 1971,
about $345 million of long-term borrowing anticipations went unrealized. The bulk of such
setbacks were sustained by units that reasoned
that rates were too high at the time or that
rates would soon fall back to earlier levels.
Units borrowed $140 million above plans
during the second quarter of 1971 because they
expected an increase in tax-exempt yields.
Although actual shortfalls owing to interest rates were about one-fifth of those reported a year earlier, postponed and canceled borrowing during fiscal year 1971
resulted in the postponement or cancellation
of only $150 million of capital projects—10
per cent of the amount for the previous year.9
Most capital projects were undertaken as
planned even though long-term financing was
not realized on schedule. With the expectation that long-term funding would eventually be accomplished, many units that were
facing borrowing setbacks turned to other
9
The reduction of capital spending was of only
marginal significance. State and local governments
undertook $ 2 9 . 6 billion of such spending in fiscal 1970.
TABLE 6
ALTERNATIVE MEANS OF FINANCING LONG-TERM
BORROWING SHORTFALLS
Fiscal year 1971
Shortfalls
Interest-rate-induced
All
Means
Short-term
borrowing
Use of liquid assets...
Postpone other cash
outlays
Other
Total
Millions of
dollars
Per cent
Millions of
dollars
Per cent
2,032
784
56.3
21.7
910
266
74.0
21.6
342
449
9.5
12.5
22
32
1.8
2.6
3,607
100.0
1,230
100.0
NOTE—Delays in projects to be financed equaled $3.06 billion.
financial expedients to maintain expenditures.
Contributing to the willingness to try alternative measures were (1) a feeling that market
conditions would not deteriorate and might
improve, (2) the fact that short-term borrowing costs were relatively low, and (3) the fact
that ceilings on interest costs were no longer
a restraining factor. Where the long-term
borrowing was postponed because of delays
in the projects themselves, no financial alternatives were sought. Such delays in
projects totaled $3.1 billion in fiscal 1971.
The use of short-term borrowing as a
temporary financing device in fiscal year 1971,
although only one-third as large as in the preceding year, was nevertheless quite notable.
Units most often turned to short-term borrowing because of its lower cost and its general
availability, whereas funds from other sources
probably were not so plentiful. As in fiscal
1970, when high interest rates forced a cutback in long-term funding below plans, shortterm borrowing was relied upon to maintain
capital expenditures in nearly three-fourths
of the cases in fiscal 1971. Altogether such
borrowings amounted to $910 million. Units
reported plans to fund 92 per cent of this total
in the near future. As indicated in Table 6,
some other units drew down $266 million of
their liquid assets instead of borrowing to
finance projects affected by interest rate conditions.
983
STATE AND LOCAL BORROWING
APPENDIX: Questionnaire Forms
ANNUAL 1971
Q.M.R. No. 41-R2519; Approval Expires December 31, 1973
FORM BN-5
Data supplied by
U.S. DEPARTMENT OF COMMERCE
Name
SURVEY OF BOND ANTICIPATIONS
Title
In correspondence pertaining to this report,
please refer to this number
#
Agency
O f f i c i a l a d d r e s s (Number
State, ZIP
code)
and street,
city,
(Please
Telephone
Area code
Number
correct any error in name and address
including
ZIP
Extension
TO:
Bureau of the Census, Governments Division
Washington, D . C . 20233
Dear Sir:
At the request of the Federal Reserve Board, the Bureau of the Census is conducting a survey of long-term borrowing anticipated for one year ahead. The
rapidly growing importance in the capital markets of bonds issued by State and
local governments makes the forecasting of their credit demands of major interest
to the Board. The data will be used to develop national estimates of long-term
borrowing plans.
Please complete the form on the reverse side and return the addressed copy to us
at your earliest possible convenience. The duplicate copy is for your files. An
official envelope, which requires no postage, is enclosed for your reply.
Your cooperation and participation in this survey are greatly appreciated.
Sincerely,
J
/v
/ R
GEORGE H. BROWN
Director
Bureau of the Census
2 Enclosures
Please complete form on reverse side
code)
984
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1. P l e a s e indicate below the amounts of long-term borrowing that your government plans for the next four quarters,
beginning with the first quarter of calendar 1 9 7 1 . In providing us with your plans in the table below, p l e a s e
keep in mind the following:
a. Long-term debt c o n s i s t s of the par value of debt
payable MORE THAN ONE YEAR after the date of
i s s u e , and includes both funding and refunding
obligations.
and the same i s s u e will be offered in subsequent
quarters,
this information will be picked up by a
followup quarterly survey.
b. DO NOT include any bond i s s u e s sold prior to the
periods indicated.
e . On the first line, indicate those borrowing plans
for which all n e c e s s a r y authorizations have already
been obtained.
c . Borrowing plans should be placed in a s p e c i f i c
quarter on the b a s i s of your present anticipation of
ISSUE DATE and NOT on the b a s i s of the date of
approval, authorization, or e l e c t i o n r e s u l t s .
f. On the s e c o n d line, indicate the amount of bonds
e x p e c t e d to be i s s u e d in e a c h quarter for which
required authorizations have not yet been received
(such a s referendum approvals).
d. Make entries only for the first quarter in which a
bond i s s u e i s planned for s a l e . If plans are r e v i s e d
g. Enter a zero for any period in which no borrowing
is anticipated.
Thousands of dollars
Status of
borrowing plans
Jan.-March
1971
Apri l - J u n e
1971
July-Sept.
1971
Oct.-Dec.
1971
2. Borrowing already authorized
3. Borrowing not yet authorized
4.
TOTAL
•
5. P l e a s e l i s t below the anticipated bond s a l e s that comprise the amounts in the table above.
The sum of t h e s e amounts should equal the total shown in line 4 of the table.
Title of bond issue or functional category
(Education, roads, etc.)
Line
No.
Amount of issue
(Thousands)
1
2
3
4
5
6
7
8
9
10
11
12
FORM
BN-S (9-21-70)
USCOMM-DC
985
STATE AND LOCAL BORROWING
FOURTH QUARTER
O.M.B. No. 41-R2487; Approval Expires December 31, 1973
1970
FORM BN-4
(9-9-70)
Potq supplied by
U.S. D E P A R T M E N T OF COMMERCE
BUREAU OF
Name
QUARTERLY SURVEY OF BOND REALIZATIONS
In c o r r e s p o n d e n c e p e r t a i n i n g to t h i s report,
p l e a s e refer to t h i s n u m b e i y ^
Title
Agency
Official address (Number and street,
State, ZIP
code)
Area code
Te lepho
Number
city,
Extension
TO: Bureau of the Census, Governments Division
Washington, D.C. 20233
Dear Sir:
In a survey of anticipated long-term borrowing which the Bureau of the Census is
conducting for the Federal Reserve Board, you indicated that it was the intention
of your government or agency to issue bonds in the October—December quarter of
1970.
We are now conducting a followup survey to determine the extent to which your
borrowing plans were realized and the impact of any changes in those plans on
your agency's expenditures and future long-term financing plans.
Please complete this form and return the addressed copy to us at your earliest
possible convenience. The duplicate copy is for your files. An official envelope, which requires no postage, is enclosed for your reply.
Your cooperation and participation in this survey are greatly appreciated.
Sincerely,
GEORGE H. BROWN
Director
Bureau of the Census
2 Enclosures
P l e a s e c o m p l e t e form on r e v e r s e s i d e
THE
CENSUS
986
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1. In response to a recent questionnaire your unit reported that it planned to borrow long-term in
the October—December quarter of 1970; this amount (in thousands) i s shown in the right portion
of the address label. P l e a s e enter the amount that your unit actually borrowed long-term
during that quarter:
$ _
(If your actual borrowing w a s within 10% of the sum of your planned authorized and not
authorized borrowing, skip to question 4. If l e s s than planned, go to question 2. If
more than planned, skip to question 3.)
2. If your unit borrowed less than the sum of the authorized and not yet authorized amount, and if the d e f i c i e n c y w a s
greater than 1 0% of the total amount planned for the October—December quarter:
a. Which of the following reasons explain best why
it did so?
(Please
check appropriate
box(es))
(1) • Authorization w a s not obtained
(including referendum defeated)
(2) •
Other administrative or legal d e l a y s
(3) •
Interest rates e x c e e d e d l e g a l c e i l i n g
(4) •
Interest rates judged too high even
though below legal c e i l i n g s
(5) [ • Interest rates expected to decline
(6) [ 3 ! Construction c o s t s became too high
(7) •
Federal or State grants or loans
were not available
(8) •
Other r e a s o n s — Please state
briefly
d. If you answered NO to question 2b, check which of the
following means are being used to maintain the level
of your expenditure program.
(1) •
Short-term borrowing (one year or l e s s )
(2) • ) U s e of liquid a s s e t s , including e x i s t i n g
bond funds
(3) • ] Reductions or postponements of other cash
outlays
(4) • Money not needed immediately for construction
payments
(5) • Other means — Please state
briefly
e. At this time, do you plan to borrow long-term in the
future to make up the short-fall from your OctoberDecember quarter borrowing plans?
b. Has the shortfall in either previously authorized or
unauthorized borrowing from that originally intended
for the October—December quarter led to any reduction in current (or will it lead to any reduction in
prospective) capital outlays or contracts?
•
Ye
•
No
c. If you answered YES to question 2b, what is the
approximate amount of such reductions or postponements in contract awards or other capital outlays?
•
Yes
•
No
{1) If YES, p l e a s e be sure to include t h e s e amounts
in question 4.
(2) If NO, do you:
(a) Q N o w plan to c a n c e l or postpone the project
over the next four quarters?
(b) •
Have other plans — Please state
briefly
Please skip to item 4
3. If your unit borrowed more than the sum of the authorized and not yet authorized amount, and if the excess was
greater than 10% of the total amount planned for the October-December quarter, which of the following reasons
describes best why it did so?
(Please
check the appropriate
box(es))
(1) •
Authorization made sooner than originally
expected
(2) • Sold i s s u e in advance of quarter planned
b e c a u s e interest rates were expected to
rise later
(3) • Sold i s s u e in advance of quarter planned
b e c a u s e interest rates declined in the
October—December quarter
(4) •
Project plans were ready ahead of time
(5) •
Cost of project higher than originally planned
(6) •
Other reasons — Please
state
briefly
STATE AND LOCAL BORROWING
987
4. FOR A L L RESPONDENTS: Taking into consideration short-falls and a c c e l e r a t i o n s , p l e a s e enter below the
amounts of long-term borrowing that your unit plans for the next four quarters beginning with the first quarter
of calendar 1971. P l e a s e keep in mind the following:
a. Long-term debt c o n s i s t s of the par value of debt
payable MORE THAN ONE YEAR after the date of
i s s u e , and includes both funding and refunding
obligations.
and the same i s s u e w i l l be offered in subsequent
quarters, this information w i l l be picked up by a
followup survey.
b. DO NOT include any bond i s s u e s sold prior to
the periods indicated.
e . On the first line, indicate those borrowing plans
for which all n e c e s s a r y authorizations have already
been obtained.
c. Borrowing plans should be placed in a s p e c i f i c
quarter on the b a s i s of your present anticipation of
ISSUE DATE and NOT on the b a s i s of the date of
approval, authorization, or e l e c t i o n r e s u l t s .
f . On the s e c o n d line, indicate the amount of bonds
expected to be i s s u e d in each quarter for which
required authorizations have not yet been received
(such a s referendum approvals).
d. Make entries only for the first quarter in which a
bond i s s u e i s planned for s a l e . If plans are r e v i s e d
g. Enter a zero for any period in which no borrowing
is anticipated.
Status of
borrowing plans
Thousands of dollars
Jan.-March
1971
April-June
1971
July-Sept.
1971
Oct. —Dec.
1971
5. Borrowing already authorized
6. Borrowing not yet authorized
7.
TOTAL
•
8. L i s t below the anticipated bond s a l e s that comprise the amounts in the table above. The sum of t h e s e amounts
should equal the total shown in line 7 of the table.
Line
No.
1
2
3
4
5
6
7
8
9
10
Title of bond issue or functional category
(Education, roads, etc,)
Amount of
issue
(Thousands)
Record of Policy Actions
of the Federal Open Market Committee
Records of policy actions taken by the Federal Open Market Committee at
each meeting, in the form in which they will appear in the Board's Annual
Report, are released approximately 90 days following the date of the meeting and are subsequently published in the Federal Reserve B U L L E T I N .
The record for each meeting includes the votes on the policy decisions
made at the meeting as well as a resume of the basis for the decisions. The
summary descriptions of economic and financial conditions are based on
the information that was available to the Committee at the time of the
meeting, rather than on data as they may have been revised since then.
Policy directives of the Federal Open Market Committee are issued to
the Federal Reserve Bank of New York—the Bank selected by the Committee to execute transactions for the System Open Market Account.
Records of policy actions have been published regularly in the
BULLETIN beginning with the July 1967 issue, and such records have continued to be published in the Board's Annual Reports.
The records for the meetings held in 1971 through July 27 were published in the BULLETINS for April, pages 3 2 0 - 2 7 ; May, pages 3 9 1 - 9 8 ;
June, pages 5 0 3 - 1 1 ; July, pages 5 9 9 - 6 0 6 ; August, pages 6 6 3 - 7 1 ;
September, pages 7 1 5 - 2 2 ; October, pages 8 2 0 - 2 7 ; and November, pages
9 2 5 - 3 0 . The record for the meeting held on August 2 4 , 1 9 7 1 , follows:
989
990
FEDERAL RESERVE BULLETIN • DECEMBER 1971
MEETING HELD ON AUGUST 24, 1971
1. Authority to effect transactions in System Account.
Real output of goods and services, which had increased at an annual
rate of 4 per cent in the second quarter, apparently was expanding at
a somewhat slower pace in the third quarter, mainly because steel
users and producers were working down excess stocks following the
August 1 agreement on a new labor contract in the steel industry.
Expectations of faster growth in real GNP during the rest of 1971
were enhanced when the President announced a new economic program on August 15. In addition to a number of fiscal proposals, the
program included a 90-day freeze on prices and wages, a temporary
surcharge of 10 per cent on dutiable imports, and suspension of full
convertibility of dollars into gold and other reserve assets for settlement of international transactions.
Industrial production dropped in July, reflecting mainly reductions
in output of steel and some other industrial materials. Nonfarm payroll employment declined substantially further, and the unemployment
rate rose to 5.8 per cent; in June the unemployment rate had fallen
0.6 percentage point to 5.6 per cent, but that decline apparently was
attributable in part to technical measurement problems. Retail sales,
which had increased considerably in June, declined in July to about
the average monthly level in the second quarter. The volume of private housing starts advanced sharply further.
The rise in consumer prices slowed in July from the rapid pace
of the second quarter, but the increase in wholesale prices of industrial commodities accelerated. Over the 6 months through July wholesale industrial prices had risen more than in any comparable period
since 1956. Major labor contract settlements of recent months continued to provide for large increases in wage rates.
According to a tentative staff reappraisal of the outlook for the rest
of 1971 in light of the new economic program, growth in real GNP
would moderate less in the third quarter and speed up considerably
more in the fourth quarter than had been anticipated earlier. Also,
the rate of advance in prices was now expected to slow significantly.
As a consequence of the changed outlook for prices, the projected
increases in current-dollar GNP for both quarters had been reduced
somewhat.
RECORD OF POLICY ACTIONS OF FOMC
It now appeared that the real volume of consumer purchases would
rise more than had seemed likely earlier, as a result of the stimulus
to automobile sales of the proposed elimination—retroactive to August 15—of the Federal excise tax on autos and the more general
stimulus provided by improved consumer confidence. It was expected
that business inventory investment would decline in the third
quarter—not only because stocks of steel would be worked down but
also because part of any step-up in final sales probably would be met
initially out of inventories—and that such investment would rebound
in the fourth quarter. The growth in Federal outlays projected for
both quarters had been reduced, reflecting the various economy measures included in the new program and the assumption that the military
pay increase, previously assumed to take effect in early October,
would be deferred until the beginning of 1972.
The projections for other key sectors of activity had been changed
relatively little. Thus, it was still anticipated that the rise in residential
construction expenditures would slow as the year progressed but
would remain sizable, and that State and local government outlays
would expand at a substantial rate. Also, the projections continued to
suggest little change in capital outlays by business in the third and
fourth quarters, on the assumption that the proposed investment tax
credit would not significantly increase outlays before 1972.
The deficit in the U.S. balance of payments, which had been
extremely large in the first and second quarters, increased sharply
further after midyear mainly because of an acceleration of capital
outflows in anticipation of shifts in exchange rates. In the first half of
August the deficit reached massive proportions.
Following the mid-August suspension of dollar convertibility, all
major European central banks discontinued operations in their foreign
exchange markets. These markets were reopened on August 23 under
diverse arrangements, including a continuation of floating rates for the
German mark and the Dutch guilder; suspension of the upper intervention limit for the British pound; and a dual exchange rate system,
separating commercial from other transactions, for the French franc.
On the day of this meeting rates of exchange between these currencies
and the dollar were all somewhat above the previous upper intervention limits, at least for certain types of transactions.
In contrast to the European markets, the Japanese exchange market
991
992
FEDERAL RESERVE BULLETIN • DECEMBER 1971
had remained open throughout the period, and the Bank of Japan
had purchased a large amount of dollars in preventing the yen from
moving above its upper intervention limit. Japanese exchange controls were tightened further during the period.
In the Treasury's mid-August refunding, $2.7 billion of the $4.1
billion of maturing securities held by the public were exchanged for
the new issues—$251 million for the 10-year bonds and the remainder
for the 51-month notes. Cash subscriptions for the bond by individuals, which were permitted in amounts up to $10,000, totaled $192
million. On August 5, to cover the attrition in the refunding and to
raise additional cash, the Treasury auctioned $2.5 billion of 18-month,
6V2 per cent notes at an average yield of 6.54 per cent.
In July business credit demands at banks and in the commercial
paper market remained moderate and the volume of new corporate
bond issues declined to the lowest level in 16 months. The volume of
corporate bond offerings in prospect for August and September also
was appreciably below the monthly average in the first half of the
year. Bond flotations by State and local governments, while still large,
appeared to be moderating slightly.
Despite the easing of such credit demands, interest rates on most
types of market securities had remained steady or had increased somewhat further in the interval between the July 27 meeting of the Committee and the President's announcement of the new economic program. Among the contributing factors were the continuation of rapid
advances in prices and costs, the further firming of money market
conditions that occurred during the period, and the uncertainties
generated by developments in international financial markets.
Following the announcement of the new economic program, interest rates on long-term market securities declined sharply, reflecting
the improved prospects for more effective control of inflation and of
the balance of payments problem. For the most part, rate declines on
short-term securities were much less pronounced. However, Treasury
bill yields—which, in an exception to the general trend, had been
moving down earlier as a result of heavy demands from foreign official
accounts—fell considerably further. For example, on the day before
this meeting the market rate on 3-month bills was 4.75 per cent, 40
basis points lower than on August 13 and 75 basis points lower than
on the day before the July 27 meeting.
RECORD OF POLICY ACTIONS OF FOMC
Contract interest rates on conventional new-home mortgages and
secondary market yields on federally insured mortgages rose somewhat further in July. Inflows of savings funds to nonbank thrift institutions were again large.
At commercial banks, inflows of consumer-type time and savings
deposits slowed markedly in July. The volume of large-denomination
CD's outstanding increased substantially further, however, and growth
in total time and savings deposits remained relatively large. Although
business loans rose considerably, the expansion was only a little
greater than the contraction that had occurred in June and it appeared
to reflect irregular and seasonal influences rather than a significant
strengthening in underlying demands. Holdings by banks of U.S. Government securities declined sharply, but their holdings of other securities increased substantially.
The narrow measure of the money supply (private demand deposits
plus currency in circulation, or Mx) continued to grow rapidly in July,
at an annual rate only slightly below the 11.5 per cent pace of the
second quarter.1 The broader measure of money (Mi plus commercial
bank time deposits other than large-denomination CD's, or M 2 ) moderated from the 12.5 per cent second-quarter rate as a result of the
marked slowing of inflows of consumer-type time and savings deposits.
Total bank credit, as measured by the adjusted credit proxy—dailyaverage member bank deposits, adjusted to include funds from nondeposit sources—increased slightly faster than in the second quarter,
when it had expanded at a rate of 6.5 per cent.
System open market operations in the period immediately following
the July 27 meeting had been directed at maintaining prevailing money
market conditions, against the background of the Treasury financing
then in process. Later, as incoming data indicated that the monetary
aggregates—in particular Mi—were continuing to grow at a rapid
pace, slightly firmer money market conditions were sought. For the
period as a whole the average Federal funds rate was somewhat
higher than 5V2 per cent, compared with 5Va per cent in the previous
periods between meetings. Member bank borrowings, which had
1
Calculated on the basis of the daily-average level in the last month of the
quarter relative to that in the last month of the preceding quarter.
993
994
FEDERAL RESERVE BULLETIN • DECEMBER 1971
increased substantially in the preceding period, declined somewhat; in
the 4 weeks ending August 18, borrowings averaged $770 million
compared with $880 million in the preceding 4 weeks.
Staff analysis suggested that the new economic program, along with
other forces—including lagged reactions to earlier increases in shortterm interest rates—should tend to produce lower rates of growth in
the monetary aggregates over the rest of the year. The new program
was expected to reduce transactions demands for money insofar as it
led to a smaller rise in prices and thus to slower growth in currentdollar GNP; and to reduce desired money holdings generally insofar
as it allayed uncertainties about the economic and financial outlook
and moderated expectations of continuing inflation and further firming
of money market conditions.
It was noted, however, that because of the difficulties of assessing
the precise impact of such forces, any projections of the monetary
aggregates at this time were subject to larger-than-usual margins of
error. According to tentative staff projections, if prevailing money
market conditions were maintained growth in Mx would moderate
somewhat in August and September and would slow substantially
further in the fourth quarter. Growth in M2, which was projected to
remain near the July pace during the rest of the third quarter,
appeared likely to moderate less than Mx in the fourth quarter because
banks were expected to be reasonably successful in competing for
consumer-type time and savings deposits. The rate of growth in the
bank credit proxy over the latter half of the year was projected to
remain somewhat above that of the second quarter, in part because
prospects favored some strengthening of the demands for bank credit
and, therefore, more aggressive solicitation of funds by banks through
sales of large-denomination CD's.
It was noted in the Committee's discussion that, while the new economic program had profoundly affected the economic atmosphere and
outlook, the ultimate consequences for business activity and prices—
and therefore the implications for monetary policy over the longer
run—could not yet be assessed with assurance. Accordingly, it was
suggested that any marked change in the stance of policy would be
premature. Some members placed particular stress on the risk that an
overt easing of money market conditions at this time, against the background of the recent rapid growth in Mu could rekindle inflationary
RECORD OF POLICY ACTIONS OF FOMC
expectations and thus nullify the favorable impact that the announcement of the new program had had on confidence.
The Committee agreed that open market operations should continue to be directed at achieving growth rates in the monetary aggregates over the months ahead well below the rapid rates recorded in
recent months. The following current economic policy directive was
issued to the Federal Reserve Bank of New York:
The information reviewed at this meeting indicates that real output of goods and services has been expanding moderately, that
unemployment has remained substantial, and that prices and wages
have been rising rapidly on average in recent months. However, the
economic program announced by the President on August 15 enhances prospects for higher rates of growth in real economic activity, increased job opportunities, and curtailed inflationary pressures.
In July inflows of consumer-type time and savings funds slowed
markedly at banks, but inflows to nonbank thrift institutions continued large. Growth in the narrowly defined money stock remained
rapid in July, but growth in broadly defined money slowed and
bank credit continued to expand at about the second-quarter pace.
Interest rates on most types of market securities declined sharply in
the days following the announcement of the new program. The
deficit in the U.S. balance of payments reached extraordinarily
large proportions in early August, mainly reflecting an acceleration
of capital outflows related to expectations of shifts in foreign exchange rates. Following the suspension of convertibility of the dollar
into gold and other reserve assets, major European central banks
discontinued foreign exchange market operations for a week. When
most of the European markets were reopened on August 23 these
central banks pursued diverse exchange rate policies, but all allowed
at least some types of market transactions to take place at rates of
exchange for their currencies relative to the dollar above previous
upper intervention limits. In light of the foregoing developments, it
is the policy of the Federal Open Market Committee to foster financial conditions consistent with the aims of the new governmental
program, including sustainable real economic growth and increased
employment, abatement of inflationary pressures, and attainment of
reasonable equilibrium in the country's balance of payments.
To implement this policy, the Committee seeks to achieve more
moderate growth in monetary and credit aggregates over the months
995
996
FEDERAL RESERVE BULLETIN • DECEMBER 1971
ahead. System open market operations until the next meeting of the
Committee shall be conducted with a view to achieving bank reserve
and money market conditions consistent with that objective.
Votes for this action: Messrs. Burns, Hayes,
Brimmer, Clay, Daane, Kimbrel, Maisel, Mayo,
Mitchell, Morris, Robertson, and Sherrill. Votes
against this action: None.
2. Amendment to continuing authority directive.
At this meeting the Committee amended paragraph 1(a) of its continuing authority directive to the Federal Reserve Bank of New York
with respect to domestic open market operations to authorize outright
operations in securities issued by Federal agencies. With this amendment, the first part of the directive read as follows:
1. The Federal Open Market Committee authorizes and directs
the Federal Reserve Bank of New York, to the extent necessary to
carry out the most recent current economic policy directive adopted
at a meeting of the Committee:
(a) To buy or sell U.S. Government securities and securities that
are direct obligations of, or fully guaranteed as to principal and
interest by, any agency of the United States in the open market,
from or to securities dealers and foreign and international accounts
maintained at the Federal Reserve Bank of New York, on a cash,
regular, or deferred delivery basis, for the System Open Market
Account at market prices and, for such Account, to exchange
maturing U.S. Government and Federal agency securities with the
Treasury or the individual agencies or to allow them to mature without replacement; provided that the aggregate amount of U.S. Government and Federal agency securities held in such Account at the
close of business on the day of a meeting of the Committee at which
action is taken with respect to a current economic policy directive
shall not be increased or decreased by more than $2.0 billion during
the period commencing with the opening of business on the day following such meeting and ending with the close of business on the
day of the next such meeting.
Votes for this action: Messrs. Burns, Hayes,
Brimmer, Clay, Daane, Kimbrel, Maisel, Mayo,
Mitchell, Morris, Robertson, and Sherrill. Votes
against this action: None.
RECORD OF POLICY ACTIONS OF FOMC
This action, which was taken under legislation enacted in September 1966, was for the purpose of widening the base of System open
market operations and at the same time adding breadth to the market
for agency securities. In November 1966 the Committee had authorized repurchase agreements in agency issues, and on a number of subsequent occasions it had considered the desirability of also authorizing
outright transactions. The decision to do so at this time was taken
against the background of the substantial growth in the market for
agency issues in recent years, and the consequent reduction of the
risk that System purchases or sales could dominate the market.
The Committee also approved certain initial guidelines for the conduct of open market operations in agency issues, with the understanding that they would be subject to review and revision as experience
was gained. These initial guidelines were as follows:
1. System open market operations in Federal agency issues are an
integral part of total System open market operations designed to
influence bank reserves, money market conditions, and monetary
aggregates.
2. System open market operations in Federal agency issues are
not designed to support individual sectors of the market or to channel funds into issues of particular agencies.
3. As an initial objective, the System would aim at building up a
modest portfolio of agency issues, with the amount and timing
dependent on the ability to make net acquisitions without undue
market effects.
4. System holdings of maturing agency issues will be allowed to
run off at maturity, at least initially.
5. Purchases will be limited to fully taxable issues for which there
is an active secondary market. Purchases will also be limited to
issues outstanding in amounts of $300 million or over in cases
where the obligations have a maturity of 5 years or less at the time
of purchase, and to issues outstanding in amounts of $200 million
or over in cases where the securities have a maturity of more than
5 years at the time of purchase.
6. System holdings of any one issue at any one time will not
exceed 10 per cent of the amount of the issue outstanding. There
will be no specific limit on aggregate holdings of the issues of any
one agency.
997
998
FEDERAL RESERVE BULLETIN • DECEMBER 1971
7. No new issue will be purchased in the secondary market until
at least 2 weeks after the issue date.
8. All outright purchases, sales and holdings of agency issues will
be for the System Open Market Account.
3. Amendment to authorization for System
foreign currency operations.
The Committee ratified actions taken by members on August 9 and
11, 1971, to increase the System's swap arrangements with the
National Bank of Belgium from $500 million to $600 million and
with the Swiss National Bank from $600 million to $1 billion, and to
make corresponding amendments to paragraph 2 of the authorization
for System foreign currency operations. As a result of these actions,
which were effective August 12, 1971, paragraph 2 of the authorization read as follows:
2. The Federal Open Market Committee directs the Federal
Reserve Bank of New York to maintain reciprocal currency arrangements ("swap" arrangements) for System Open Market Account for
periods up to a maximum of 12 months with the following foreign
banks, which are among those designated by the Board of Governors
of the Federal Reserve System under Section 214.5 of Regulation N,
Relations with Foreign Banks and Bankers, and with the approval
of the Committee to renew such arrangements on maturity:
Foreign bank
Amount of
arrangement
(millions of
dollars equivalent)
Austrian National Bank
National Bank of Belgium
Bank of Canada
National Bank of Denmark
Bank of England
Bank of France
German Federal Bank
Bank of Italy
Bank of Japan
Bank of Mexico
200
600
1,000
200
2,000
1,000
1,000
1,250
1,000
130
RECORD OF POLICY ACTIONS OF FOMC
Foreign bank
Netherlands Bank
Bank of Norway
Bank of Sweden
Swiss National Bank
Bank for International Settlements:
Dollars against Swiss francs
Dollars against authorized European
currencies other than Swiss francs
999
Amount of
arrangement
(millions of
dollars equivalent)
300
200
250
1,000
600
1,000
Votes for ratification of these actions: Messrs.
Burns, Hayes, Brimmer, Clay, Daane, Kimbrel,
Maisel, Mayo, Mitchell, Morris, Robertson, and
Sherrill. Votes against ratification of these actions:
None.
These actions had been recommended by the Special Manager after
consultation with the Treasury Department. The Special Manager had
advised that the swap line increases in question should prove helpful
in avoiding further immediate drains on U.S. reserve assets.
Law Department
Statutes, regulations, interpretations, a n d decisions
SECURITY CREDIT TRANSACTIONS:
MAXIMUM LOAN VALUE OF STOCKS
The Board of Governors has amended the Supplements to Regulation G, "Securities Credit by
Persons Other than Banks, Brokers, or Dealers";
Regulation T, "Credit by Brokers and Dealers";
and Regulation U, "Credit by Banks for the Purpose of Purchasing or Carrying Margin Stocks",
effective December 6, 1971. The amendments
lowered the margin requirement from 65 to 55 per
cent for credit extended by brokers, dealers,
banks, and other lenders to finance purchase of
stocks. No change was made in the 50 per cent
margin requirement for purchasing or carrying convertible bonds or in the 70 per cent retention requirement applicable to undermargined accounts.
The text of the amendments to the Supplements
reads as follows:
SUPPLEMENT TO REGULATION G
Effective December 6, 1971, section 207.5(a)
(the Supplement to Regulation G) is amended to
read as follows:
SECTION 207.5—SUPPLEMENT
(a) Maximum loan value of margin securities.
For the purpose of § 207.1, the maximum loan
value of any margin security, except convertible
securities subject to § 207.1(d), shall be 45 percent
of its current market value, as determined by any
reasonable method.
SUPPLEMENT TO REGULATION T
Effective December 6, 1971, section 220.8(a)(1)
and (d) (the Supplement to Regulation T) is
amended to read as follows:
SECTION 220.8—SUPPLEMENT
(a) Maximum loan value for general accounts.
The maximum loan value of securities in a general
account subject to § 220.3 shall be:
(1) of a registered non-equity security held in
the account on March 11, 1968, and continuously
thereafter, and of a margin equity security (except
1000
as provided in § 220.3(c) and paragraphs (b) and
(c) of this section, 45 per cent of the current
market value of such securities.
(d) Margin required for short sales. The
amount to be included in the adjusted debit balance
of a general account, pursuant to § 220.3(d)(3),
as margin required for short sales of securities
(other than exempted securities) shall be 55 per
cent of the current market value of each security.
%
s
f
c
SUPPLEMENT TO REGULATION U
Effective December 6, 1971, section 221.4(a)
(the Supplement to Regulation U) is amended
to read as follows:
SECTION 221.4—SUPPLEMENT
(a) Maximum loan value of stocks. For the
purpose of § 221.1, the maximum loan value of
any stock, whether or not registered on a national
securities exchange, shall be 45 per cent of its
current market value, as determined by any reasonable method.
*
*
*
*
*
T R U T H IN L E N D I N G
The Board of Governors has amended Regulation Z, "Truth in Lending", effective December
31, 1971, to permit creditors to ignore any variance
in terms which occurs as a result of leap year so as
to facilitate the use of preprinted disclosures without the need for preparation of new forms solely
as a result of leap year. The text of the amendment
reads as follows:
AMENDMENT TO REGULATION Z
Effective December 31, 1971, paragraph (1) is
added to section 226.6 as follows:
SECTION 226.6—GENERAL DISCLOSURES
^
-Jfc
sc
f
^
(1) Leap year. Any variance in the amount of
any finance charge, payment, percentage rate, or
other term required under this Part to be disclosed,
or stated in any advertisement, which occurs by
reason of the addition of February 29 in each leap
year, may be disregarded, and such term may be
disclosed or stated without regard to such variance.
INTERPRETATION OF REGULATION M
CREDIT EXTENDED BY FOREIGN
BRANCHES OF MEMBER BANKS TO
DOMESTIC SUBSIDIARIES OF EDGE
ACT CORPORATIONS.
The Board of Governors recently considered the
applicability of § 213.7 of Regulation M to credit
extended by a foreign branch of a member bank to
a domestically-chartered financing subsidiary of
the member bank's subsidiary Edge Act corporation. 1 The financing subsidiary proposed to use the
credit to make loans and investments abroad.
Such loans would not be to United States residents;
such investments would not involve the acquisition of assets from the member bank (other than
assets described in clause (2) of footnote 7 to
§ 213.7).
Section 213.7 is designed to affect the flow of
foreign funds into the domestic banking system.
Section 213.7(b)(2) exempts from reserve requirements credit extended to enable the borrower to
comply with requirements of the Office of Foreign
Direct Investments, Department of Commerce.
The justification for that exemption is that the
borrowing does not directly affect the availability
of credit for use in the United States.
Consistent with the purpose of § 213.7 and the
exemption for credits under the OFDI program,
the Board concluded that a foreign branch of a
member bank need not maintain reserves against
credit extended to a domestically-chartered financing subsidiary of any of the member bank's
Edge Act corporations on any portion of the credit
that is used by the financing subsidiary to make
loans and investments abroad of the type proposed.
ORDER UNDER BANK MERGER ACT
THE HURON COUNTY BANKING COMPANY,
NOR WALK, OHIO
In the matter of the application of The Huron
County Banking Company, Norwalk, Ohio, for
approval of merger with The Savings and Loan
Banking Company, New London,
Ohio.
C o r p o r a t i o n organized under section 25(a) of the Federal
Reserve Act (12 U . S . C . 6 1 1 - 6 3 1 ) .
ORDER A P P R O V I N G A P P L I C A T I O N F O R M E R G E R OF
BANKS UNDER BANK MERGER
ACT
There has come before the Board of Governors,
pursuant to the Bank Merger Act (12 U.S.C.
1828(c)), an application by The Huron County
Banking Company, Norwalk, Ohio ("Norwalk
Bank"), a member State bank of the Federal Reserve System, for the Board's prior approval of
the merger of that bank with The Savings and Loan
Banking Company, New London, Ohio ( " N e w
London B a n k " ) , under the charter and name of
Huron Bank. As an incident to the merger the
present office of New London Bank would become
a branch of Norwalk Bank. Notice of the proposed
merger, in form approved by the Board, has been
published as required by said Act.
In accordance with the Act, the Board requested
reports on competitive factors involved from the
Attorney General, the Comptroller of the Currency,
and the Federal Deposit Insurance Corporation. The
Board has considered all relevant material contained in the record in the light of the factors set
forth in the Act, including the effect of the proposal on competition, the financial and managerial
resources and prospects of the banks concerned,
and the convenience and needs of the communities
to be served, and finds that:
Norwalk Bank, with deposits of $32 million, and
two banking offices, is located in Huron County
and operates in the Sandusky banking market
which consists of all of Erie County and the
northern portion of Huron County. Norwalk Bank
is the fourth largest of 13 banks headquartered in
the Sandusky banking market, holding 11.1 per
cent of the deposits in that market. (All banking
data are as of December 31, 1970.) New London
Bank, with deposits of $9 million, operates its sole
office in New London. New London Bank, although
located in Huron County, operates in a separate
banking market consisting of New London and its
immediate surroundings. The nearest offices of
Norwalk Bank to New London Bank are 17 miles
distant from one another. Although there are no
banking offices in the territory between New London and Norwalk, there are offices of other banks
which provide alternative banking services to
residents of New London and which are located
closer to New London Bank than is Norwalk Bank.
There is no substantial existing competition between New London Bank and Norwalk Bank.
Although Norwalk Bank could branch de novo
into the New London banking market, substantial
potential competition would not be foreclosed by
1001
1002
FEDERAL RESERVE BULLETIN • DECEMBER 1971
consummation of this proposal because of the
small size of New London Bank and because of
the rural nature and modest growth prospects of
the New London area which make branching into
that market by Norwalk Bank unlikely. Consummation of the proposed transaction would not result
in a substantial increase in concentration levels in
any relevant area. Based upon all the facts revealed in the record, the Board concludes that
the merger would not have an adverse effect on
competition in any relevant area.
The financial and managerial resources and
future prospects of the merging banks and the
resulting bank are satisfactory and consistent with
approval of the application. Considerations relating to the convenience and needs of the community
lend some weight toward approval since the merger
would increase the lending limit of New London
Bank. New London Bank would, as a result, be
able to serve more adequately the credit needs of
the New London community. Based upon the
foregoing, it is the Board's judgment that con-
summation of the proposal would be in the public interest and that the application should be approved.
IT IS HEREBY ORDERED, On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Cleveland
pursuant to delegated authority.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) TYNAN S M I T H ,
Secretary of the Board.
[SEAL]
LAW DEPARTMENT
1003
ORDERS UNDER SECTION 3 OF BANK HOLDING
COMPANY ACT
THE GRAND BANKS CORPORATION,
MILWAUKEE, WISCONSIN
In the matter of the application of The Grand
Banks Corporation, Milwaukee,
Wisconsin,
for
approval of action to become a bank holding company through the acquisition of 80 per cent or
more of the voting shares of Bank of North Lake,
North Lake,
Wisconsin.
O R D E R D E N Y I N G A C T I O N TO B E C O M E
A BANK HOLDING
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(1) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(1)) and
section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by The Grand
Banks Corporation, Milwaukee, Wisconsin, for
the Board's prior approval of action whereby Applicant would become a bank holding company
through the acquisition of 80 per cent or more of
the voting shares of Bank of North Lake, North
Lake, Wisconsin ( " B a n k " ) .
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Wisconsin Commissioner of Banking and requested his views and recommendation. The Deputy Commissioner recommended approval of the
application.
Notice of receipt of the application was published in the Federal Register on July 17, 1971
(36 Federal Register 13300), providing an opportunity for interested persons to submit comments
and views with respect to the proposal. A copy of
the application was forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and all
those received have been considered by the
Board.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is denied
for the reasons set forth in the Board's Statement
of this date.
By order of the Board of Governors, November 4, 1971.
Voting for this action: Vice Chairman Robertson and Governors Mitchell, Brimmer, and Sherrill. Voting against this
action: Governors Daane and Maisel. Absent and not voting:
Chairman Burns.
(Signed)
Secretary
[SEAL]
TYNAN
SMITH,
of the
Board.
STATEMENT
The Grand Banks Corporation, Milwaukee, Wisconsin ( " A p p l i c a n t " ) , has filed with the Board,
pursuant to section 3(a)(1) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(1)),
an application for approval of action to become a
bank holding company through the acquisition of
80 per cent or more of the voting shares of Bank
of North Lake, North Lake, Wisconsin ( " B a n k " ) .
Views and recommendation
of
supervisory
authority. As required by section 3(b) of the Act,
the Board notified the Wisconsin Commissioner
of Banking of receipt of the application and requested his views and recommendation thereon.
The Deputy Commissioner recommended approval of the application.
Statutory considerations. Section 3(c) of the Act
provides that the Board shall not approve an acquisition that would result in a monopoly or
would be in furtherance of any combination or
conspiracy to monopolize or to attempt to monopolize the business of banking in any part of the
United States. Nor may the Board approve a proposed acquisition the effect of which, in any section of the country, may be substantially to lessen
competition, or to tend to create a monopoly, or
which in any other manner would be in restraint of
trade, unless the Board finds that the anticompetitive effects of the proposed transaction are clearly
outweighed in the public interest by the probable
effect of the transaction in meeting the convenience
and needs of the communities to be served. In each
case, the Board is required to take into consideration the financial and managerial resources and future prospects of the bank holding company and
the banks concerned, and the convenience and
needs of the communities to be served.
Competitive effect of proposed transaction. Applicant is a newly-formed organization and has no
operating history. Upon acquisition of Bank ($4.2
million of deposits), Applicant would control
about .004 per cent of the commercial bank deposits in the State. (All banking data are as of
December 31, 1970.) As the proposed transaction
represents a transfer of individuals' ownership of
Bank into a presently nonoperating holding company, consummation would not eliminate any
existing or potential competition and would not
result in any increase in the concentration of banking resources in any relevant area.
Financial and managerial resources and future
prospects. Bank is presently in satisfactory financial condition with adequate capital and capable
operating management. Its location in a rapidly
growing resort community about 30 miles west of
1004
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Milwaukee should insure favorable growth. However, because of the proposed method of financing
the acquisition of Bank, the financial condition and
prospects of Applicant and Bank would be adversely affected by consummation of the proposed transaction.
Applicant, upon consummation of the proposed
acquisition, would incur acquisition debt of
$213,000 which would result in a debt-to-equity
ratio of 71 per cent. Applicant proposes to repay
the debt with interest in six consecutive annual
installments. Applicant estimates that discontinuation of large salary withdrawals added to projected
dividends of Bank will be sufficient to meet its debt
obligations. However, any benefits to be derived
from the elimination of this major expense item
would be more than outweighed by the withdrawals
in dividends for debt service. Based upon Bank's
past and potential earnings and assuming a 10
per cent rate of earnings growth, Applicant
would need dividends from Bank ranging from
more than 70 per cent of Bank's net income in
the first year to approximately 50 per cent in the
sixth year. The effect of approval of the application would be to replace Bank's present ownership
with a holding company which would continue
the drain on Bank's income, and thereby appear
to place an undue burden on Bank's resources.
Applicant's initial capitalization of $300,000 includes $180,000 of called outstanding stock subscriptions held by the proposed owners of Applicant's stock. This capital had been pledged to
meet capital needs of Bank and to provide funds
for a major remodeling of Bank's building. By
now acquiring this capital, Applicant is reducing its flexibility in providing for Bank's future
needs in attempting to somewhat lessen the strain
on Bank's future earnings.
The Board is of the view that the reduced capital resources of Bank and the high level of acquisition debt by Applicant, which would hinder its
ability to meet any emergency capital needs of
Bank should such need arise, weigh strongly
against approval of the application. These considerations, it should be clear, in no way reflect
adversely on the financial soundness of Bank at
the present time. On the contrary Bank's financial
condition is presently sound, although continuation
of the practice of extracting management fees for
the purpose of servicing the debt incurred to acquire
the bank might affect that condition. Board approval of the instant proposal, however, would in
effect give tacit consent to continued extraction
of earnings at potentially undesirable levels.
On the basis of the foregoing, the Board concludes that although considerations relating to the
present financial and managerial resources of Applicant and Bank are consistent with approval,
the effects of Applicant's plan for financing the
purchase of Bank weigh heavily against approval.
Convenience
and needs of the
communities
involved. The banking needs of the residents of
Bank's service area appear to be adequately served
at the present time by the existing institutions.
Therefore, benefits to be derived from consummation of the subject proposal would result
only from the added flexibility of a holding company structure.
The weakened financial condition contemplated
by Applicant's proposal would hinder Bank in
meeting the already recognized need for a new
bank building and in providing additional capital
to support anticipated growth.
These considerations weigh against approval of
the application on the basis of the financial arrangements contemplated by Applicant.
Summary and conclusion. On the basis of all
the relevant facts contained in the record, the
Board concludes that the acquisition debt involved
in the proposal presents adverse circumstances
bearing on the financial condition and prospects
of Applicant and Bank. Accordingly, the Board
concludes that consummation of the proposal would
not be in the public interest, and that the application
should be denied.
DISSENTING STATEMENT OF GOVERNOR
MAISEL
The present application represents a restructuring whereby ownership of the bank would be
transferred from individuals to a corporation. Debt
incurred by the individuals for the purchase of
the bank's stock would also be transferred to the
corporation.
Approval of the application would increase the
ability of the new owners of the bank to service
the debt incurred for its purchase: First, Applicant
would owe less than is presently owed by the
owners of the bank and second, tax benefits implicit in the corporate ownership of bank would
enable Applicant to more easily service its debt
obligations than could the individual owners of
the bank.
The application raises no competitive considerations and convenience and needs factors are largely neutral. The important effect of approval
of the application would be to improve the financial
situation. Therefore, I would approve the application.
1005
LAW DEPARTMENT
FIRST SECURITY NATIONAL
CORPORATION, B E A U M O N T , TEXAS
In the matter of the applications of First Security
National Corporation, Beaumont, Texas, for approval of acquisition of (1) 37.5 per cent of the
voting shares of Gateway National Bank of Beaumont; (2) 56.95 per cent or more of the voting
shares of Sour Lake State Bank, Sour Lake; (3) 51
per cent or more of the voting shares of Peoples
State Bank of Kountze, Kountze; (4) 24 per cent
of the voting shares of The Village State Bank,
Beaumont, all of Texas.
ORDER APPROVING ACQUISITION OF B A N K STOCK
BY B A N K
HOLDING
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U . S . C . 1842(a)(3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), applications by First Security
National Corporation, Beaumont, Texas, for the
Board's prior approval of the acquisition through
merger with its affiliate First Beaumont Corporation
("First Beaumont") of (1) 37.5 per cent of the
voting shares of Gateway National Bank of Beaumont ( " G a t e w a y " ) ; (2) 56.95 per cent or more of
the voting shares of Sour Lake State Bank, Sour
Lake ( " S o u r L a k e " ) ; (3) 51 per cent or more of
the voting shares of Peoples State Bank of Kountze
("Peoples B a n k " ) ; (4) 24 per cent of the voting
shares of The Village State Bank, Beaumont,
("Village B a n k " ) , all of Texas.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the applications to
the Comptroller of the Currency and the Texas
Commissioner of Banking and requested their
views and recommendations. Both recommended
approval of the applications.
Notices of receipt of the applications were published in the Federal Register on July 23, 1971 (36
Federal Register 13709) and August 3, 1971 (36
Federal Register 14283), providing an opportunity
for interested persons to submit comments and
views with respect to the proposals. Copies of the
applications were forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and all
those received have been considered.
The Board has considered the applications in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisitions on competition, the financial and managerial
resources and future prospects of the Applicant and
the banks concerned, and the convenience and
needs of the communities to be served, and finds
that:
Applicant, a one bank holding company by virtue
of its ownership of First Security National Bank
("First B a n k " ) , Beaumont, Texas ($138.8 million of deposits) is the largest banking organization
in the Beaumont banking market controlling approximately 24.4 per cent of deposits in that area
and .5 per cent of the commercial bank deposits
in the State. (All banking data are as of December
31, 1970 and reflect holding company formations
and acquisitions approved through September 30,
1971.) Consummation of Applicant's proposals
will increase its share of the Beaumont banking
market by approximately 3 per cent to 27.4 per cent
of commercial bank deposits in the area and will
have no meaningful effect on concentration of bank
resources in the State.
Applicant proposes to restructure its existing
multi-corporate organization by means of a merger
with its affiliate, First Beaumont and, as an incident
to the merger, to acquire the voting shares of Gateway, Sour Lake, Peoples and Village banks presently held by First Beaumont. 1 In addition, Applicant proposes to acquire additional shares of Sour
Lake and Peoples Bank held by two corporations
organized by Applicant's management in 1967 and
1968 to hold stock of the respective banks and will
make an equal offer to remaining shareholders of
those banks. The stock of Applicant and its affiliate
First Beaumont is " s t a p l e d " and the two corporations have identical stockholders, officers and directors. Since the stock of these banks is held by
Applicant's " s t a p l e d " affiliate and two associated
corporations, the Board views acquisition of stock
owned by the affiliate as neither an expansion of
the group nor an increase in the banking resources
controlled by Applicant.
Gateway Bank ($9.7 million in deposits), fifteenth largest of nineteen banks in the Beaumont
banking market, located approximately 3 miles
west of First Bank, was organized in 1959 by
individuals associated with First Bank and has been
continuously associated with that bank through
First Beaumont since that time.
Village Bank ($7.3 million in deposits), seventeenth largest of nineteen banks in the Beaumont
banking market, located approximately 4.5 miles
northwest of First Bank, was organized in 1960 by
individuals associated with that bank. These banks
A p p l i c a n t plans to dispose of First Beaumont's present interest in Lamar State Bank, Beaumont, Texas, soon after consummation of the present proposal.
1006
FEDERAL RESERVE BULLETIN • DECEMBER 1971
have operated on a cooperative basis through First
Beaumont since 1960.
Sour Lake Bank ($5 million in deposits), the
third largest of four banks in Harden County, controlling approximately 20 per cent of area deposits,
is located 19 miles west of First Bank. A majority
of the voting shares of Sour Lake Bank was acquired in 1967 by First Beaumont and a corporation
organized by persons associated with First Bank
for the purpose of holding shares in the bank.
Peoples Bank ($3.2 million in deposits), smallest
of four banks in Harden County, is located 25 miles
northwest of First Bank and controls approximately
12.6 per cent of commercial bank deposits in that
area. A majority of the voting shares of Peoples
Bank was acquired in 1968 by First Beaumont and
a corporation organized by persons associated with
First Bank for the purpose of holding shares in the
bank.
Although some service overlap exists among
Applicant's present banking subsidiary and the four
proposed subsidiary banks, it appears that insofar
as Gateway Bank and Village Bank, the proposed
transaction is essentially a corporate reorganization
of established interests and relationships. Insofar
as Sour Lake Bank and Peoples Bank, since the
banks are small and there appears to be little likelihood of discontinuance of the present relationship,
no meaningful existing or potential competition
would be eliminated or foreclosed by consummation of Applicant's proposed acquisitions.
On the basis of the record before it, the Board
concludes that consummation of Applicant's proposals would not have significant adverse effects
on competition in any relevant area. Considerations
relating to financial and managerial resources and
prospects as they relate to Applicant, First Bank
and the four proposed subsidiary banks are consistent with approval of the applications. Although
Applicant proposes no significant changes in services to the public as a result of the proposed acquisitions, the convenience and needs of the communities involved should benefit from the improved
economies and efficiencies of operation expected
to result from the proposed restructuring of Applicant into a coordinated multi-bank holding company organization. Convenience and needs considerations are therefore consistent with approval.
It is the Board's judgment that the proposed transactions would be in the public interest and that the
applications should be approved.
IT IS HEREBY ORDERED, On the basis of the
record, that said applications be and hereby are
approved for the reasons summarized above, pro-
vided that the acquisitions so approved shall not
be consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Dallas
pursuant to delegated authority.
IT IS FURTHER ORDERED, That upon the consummation of the proposed transaction, Applicant shall
not retain or acquire any nonbank shares or engage
in any nonbanking activities to a greater extent or
for a longer period than would apply in the case
of a bank holding company which became such
on the date of such consummation, except to the
extent otherwise permitted in any regulation of the
Board hereafter adopted specifically relating to the
effect of the acquisition of an additional bank on
the status of nonbank shares and activities of a one
bank holding company formed prior to 1971, or
unless the Board fails to adopt any such regulation
before the expiration of two years after the consummation of the proposed acquisition.
By order of the Board of Governors, November
4,1971.
Voting for this action: Governors Mitchell, Daane, Maisel,
Brimmer, and Sherrill. Absent and not voting: Chairman Burns
and Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
FIRST NATIONAL CHARTER CORPORATION
KANSAS CITY, MISSOURI
In the matter of the application of First National
Charter Corporation,
Kansas City,
Missouri,
for approval of acquisition of 80 per cent or more
of the voting shares of The North Side
Bank,
Jennings,
Missouri.
ORDER A P P R O V I N G ACQUISITION OF B A N K
STOCK BY B A N K H O L D I N G C O M P A N Y
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by First
National Charter Corporation, Kansas City, Missouri, for the Board's prior approval of the acquisition of 80 per cent or more of the voting
shares of The North Side Bank, Jennings, Missouri
("Bank").
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the applica-
1007
LAW DEPARTMENT
tion to the Commissioner of Finance for the State
of Missouri, and requested his views and recommendation. The Commissioner responded that his
office had no objection to approval of the application.
Notice of receipt of the application was published
in the Federal Register on September 8, 1971
(36 Federal Register 18035), providing an opportunity for interested persons to submit comments
and views with respect to the proposal. A copy of
the application was forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and all
those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant has five subsidiary banks with total
deposits of $444.2 million, representing 3.9 per
cent of the total commercial bank deposits in the
State, and is the fifth largest banking organization and bank holding company in Missouri.
(All banking data are as of December 31, 1970,
adjusted to reflect holding company formations and
acquisitions approved by the Board through September 30, 1971.)
Bank (deposits $31.6 million), located approximately eight miles northwest of downtown
St. Louis, is the second largest of three banks in
Jennings, and the fifth largest of the eleven banks
within its service area, which is approximated
by the surrounding 30 square mile area. Applicant's
closest subsidiary (deposits ($36.5 million) is
located about seventeen miles southwest of Bank,
and neither it nor any other of Applicant's subsidiaries compete with Bank to any significant
extent. Nor does it appear likely that such competition would develop in the future in light of
the presence of numerous alternative banking
sources, the distances separating Applicant's
subsidiaries from Bank, and Missouri's restrictive
branching law. On the basis of the record before
it, the Board concludes that consummation of the
proposed acquisition would not adversely affect
competition in any relevant area.
Considerations relating to the financial and
managerial resources as they relate to Applicant,
its subsidiaries, and Bank are regarded as consistent with approval of the application. Con-
siderations relating to the convenience and needs
of the communities to be served lend weight in
support of approval since affiliation with Applicant
would enable Bank to expand its mortgage lending and trust services. It is the Board's judgment
that the proposed transaction would be in the
public interest, and that the application should
be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Kansas
City pursuant to delegated authority.
By order of the Board of Governors, November
4,1971.
Voting for this action: Governors Mitchell, Daane, Maisel,
Brimmer, and Sherrill. Absent and not voting: Chairman Burns
and Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
FIRST VIRGINIA BANKSHARES
CORPORATION,
ARLINGTON, VIRGINIA
In the matter of the application of First Virginia
Bankshares Corporation, Arlington, Virginia, for
approval of acquisition of 100 per cent of the
voting shares of the successor by merger to The
Bank of Westmoreland, Colonial Beach,
Virginia.
ORDER APPROVING ACQUISITION OF B A N K
S T O C K BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by First
Virginia Bankshares Corporation, Arlington, Virginia, a registered bank holding company, for the
Board's prior approval of the acquisition of 100
per cent of the voting shares of the successor by
merger to The Bank of Westmoreland, Colonial
Beach, Virginia ( " B a n k " ) . The bank into which
Bank is to be merged has no significance except
as a means of acquiring all of the shares of Bank.
Accordingly, the proposed acquisition of the
1008
FEDERAL RESERVE BULLETIN • DECEMBER 1971
shares of the successor organization is treated
herein as the proposed acquisition of the shares
of Bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Virginia Commissioner of Banking, and requested his views and recommendation. The Commissioner recommended approval.
Notice of receipt of the application was published in the Federal Register on September 8,
1971 (36 Federal Register 18035), providing
an opportunity for interested persons to submit
comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views has
expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant, the sixth largest banking organization in Virginia, controls 16 banks with deposits
of $478.5 million, representing 6.0 per cent of
total commercial bank deposits in the State. (All
banking data are as of December 31, 1970, and
reflect holding company formations and acquisitions approved through September 30, 1971.)
The acquisition of Bank ($21.5 million deposits),
would increase Applicant's share of deposits in the
State by only 0.3 percentage points, representing no significant increase in Applicant's control
of deposits in the State, or change in its present
ranking.
Bank, with five offices, is the largest of five
organizations operating in its service area, which
is approximated by King George, Westmoreland
and Northumberland Counties, where it holds
47.4 per cent of area deposits. Bank does not
appear to exert a dominant competitive influence
in the area, and its share of area deposits has
actually declined slightly in recent years. Due to
the distances separating each of Bank's offices
within this three-county area, Bank's head office
and each branch have developed distinct service
areas of their own. The closest office of any of Applicant's subsidiary banks is located 35 miles from
the King George branch of Bank. No present
competition exists between Bank and this office, or
any of Applicant's other offices. It also appears
unlikely that consummation of this proposal would
preclude potential competition because of Virginia's restrictive branching laws, the wide separation between Applicant's offices and Bank, and
the low population-to-bank ratio in Bank's service
area. Based on the foregoing, and the record before
it, the Board concludes that consummation of the
proposed acquisition would not have an adverse
effect on competition in any relevant market.
The banking factors, as they relate to Applicant,
its subsidiaries, and Bank are satisfactory and consistent with approval of the application. Considerations relating to the convenience and needs
of the area lend some weight toward approval.
The major banking needs of the area are being
served at the present time; however, as a result of
its affiliation with Applicant, Bank would be able
to offer expanded and improved services, including auditing, trust and data processing services, and
greater mortgage lending capability. It is the
Board's judgment that the proposed transaction
is in the public interest and should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Richmond pursuant to delegated authority.
By order of the Board of Governors, November
4,1971.
Voting for this action: Governors Mitchell, Daane, Maisel,
Brimmer, and Sherrill. Absent and not voting: Chairman
Burns and Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
In the matter of the application of First Virginia Bankshares Corporation,
Arlington,
Virginia, for approval of acquisition of 100 per cent
of the voting shares (less directors'
qualifying
shares) of the First Commerical Bank,
Orange,
Virginia, a proposed new bank.
ORDER APPROVING ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
1009
LAW DEPARTMENT
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by First
Virginia Bankshares Corporation, Arlington, Virginia, a registered bank holding company, for
the Board's prior approval of the acquisition of
100 per cent of the voting shares (less directors'
qualifying shares) of First Commercial Bank,
Orange, Virginia ( " B a n k " ) , a proposed new
bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Virginia Commissioner of Banking, and requested his views and recommendation. The Commissioner recommended approval.
Notice of receipt of the application was published in the Federal Register on September 8,
1971 (36 Federal Register 18036), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been considered .
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be served,
and finds that:
Applicant presently controls 16 banks with aggregate deposits of approximately $478.5 million,
representing 6 per cent of the total commercial
bank deposits in the State, and is the sixth largest
banking organization in Virginia. (All banking
data are as of December 31, 1970, and reflect
holding company formations and acquisitions
approved through September 30, 1971.) Since
Bank is a proposed new bank, no existing competition would be eliminated nor would concentration be increased in any relevant area.
Bank will be located in the town of Orange, the
county seat of Orange County. The largest and
twelfth largest banks in the State have six offices in Orange County and control virtually all
area deposits. Applicant's closest subsidiary to
Bank is located 30 miles southwest, on the outskirts of Charlottesville in Albemarle County. It
appears that none of Applicant's subsidiary banks
derives a significant amount of banking business
from the area to be served by Bank. Consumma-
tion of the proposal would represent the entry of a
third large banking organization in the area, and
should stimulate competition without having an
undue adverse effect on other banks in the market.
The financial and managerial resources of Applicant and its subsidiary banks are generally
satisfactory and the prospects for the group appear favorable. Bank has no operating financial
history. It will open with satisfactory capital,
and it will be able to draw on Applicant for its management. Its prospects are favorable. The banking
factors are consistent with approval. Although
there is no evidence that existing needs of the
area are not being served adequately, the proposed
location of Bank, one block from the heart of
Orange's business district, is expected to serve
the convenience of the area businesses and residents. Further, the establishment of Bank would
provide an additional banking alternative to residents of the Orange area. Thus, considerations
relating to convenience and needs of the community
lend some weight in favor of approval of the application. It is the Board's judgment that consummation of the proposed acquisition would be in
the public interest and that the application should
be approved.
IT IS HEREBY ORDERED, On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order;
and provided further that (c) First Commercial
Bank shall be opened for business not later than
six months after the date of this Order. Each of
the periods described in (b) and (c) hereof may be
extended for good cause by the Board, or by the
Federal Reserve Bank of Richmond pursuant
to delegated authority.
By order of the Board of Governors, November
4, 1971.
Voting for this action: Governors Mitchell, Daane, Maisel,
Brimmer, and Sherrill. Absent and not voting: Chairman
Burns and Governor Robertson.
(Signed) T Y N A N SMITH,
Secretary of the Board.
[SEAL
SHOREBANK, INC.,
QUINCY, MASSACHUSETTS
In the matter of the application of Shorebank,
Inc., Quincy, Massachusetts,
for approval of
1010
FEDERAL RESERVE BULLETIN • DECEMBER 1971
acquisition of 80 per cent or more of the voting
shares of Attleboro Trust Company,
Attleboro,
Massachusetts.
O R D E R A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by Shorebank, Inc., Quincy, Massachusetts, for the
Board's prior approval of the acquisition of 80
per cent or more of the voting shares of Attleboro Trust Company, Attleboro, Massachusetts
("Bank").
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application
to the Massachusetts Commissioner of Banks and
requested his views and recommendation. The
Commissioner offered no objection to approval
of the application.
Notice of receipt of the application was published in the Federal Register on September 8,
1971 (36 Federal Register 18037), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c) of
the Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be served,
and finds that:
Applicant controls South Shore National Bank,
Quincy, Massachusetts ($167.1 million in deposits) and, thus, is the ninth largest banking organization in Massachusetts, controlling 1.5 per
cent of the State's total deposits. Bank ($23.9
million in deposits) is the fourth largest of 17
banking organizations in the Attleboro area (approximated by the 12 townships in Massachusetts
northeast of Providence, Rhode Island). Affiliation
with Applicant should enhance Bank's ability to
compete with the larger organizations in the area,
the two largest of which control over 55 per cent
of area deposits. At the same time, consummation of the proposal would contribute to Appli-
cant's emergence as a significant competitor on
the State-wide level with the larger Boston-based
organizations; the 5 largest such organizations
control 63.8 per cent of the State's total deposits.
Although Applicant's lead bank has two branches
within 9 miles of an office of Bank, the competitive overlap is not considered significant, and
intervening banking alternatives are present.
Thus, little existing competition would be eliminated by consummation of the proposal. In view
of the number of intervening banks, Massachusetts'
restrictions on branches, and other facts of record,
it appears unlikely that significant potential competition would be eliminated.
Applicant plans to assist Bank in offering
specialized services such as leasing, international
banking, and trust services. Therefore, considerations relating to the convenience and needs of the
community to be served lends some support for
approval.
The financial and managerial resources and future prospects of Applicant, of Applicant's lead
bank, and of Bank are satisfactory and consistent
with approval. It is the Board's judgment that the
proposed acquisition would be in the public
interest and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not
be consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Boston
pursuant to delegated authority.
I T IS F U R T H E R O R D E R E D , That upon the consummation of the proposed transaction, Applicant shall not retain or acquire any nonbank
shares or engage in any nonbanking activities to
a greater extent or for a longer period than would
apply in the case of a bank holding company which
became such on the date of such consummation,
except to the extent otherwise permitted in any
regulation of the Board hereafter adopted specifically relating to the effect of the acquisition of an additional bank on the status of nonbank shares and
activities of a one bank holding company formed
prior to 1971, or unless the Board fails to adopt
any such regulation before the expiration of two
years after the consummation of the proposed
acquisition.
LAW DEPARTMENT
1011
By order of the Board of Governors, November
4,1971.
Voting for this action: Governors Mitchell, Daane, Maisel,
Brimmer, and Sherrill. Absent and not voting: Chairman
Burns and Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
C O M M E R C E BANCSHARES, INC.,
KANSAS CITY, MISSOURI
In the matter of the application of Commerce
Bancshares, Inc., Kansas City, Missouri, for approval of acquisition of more than 80 per cent of
the voting shares of Blue Hills Bank of Commerce,
Kansas City, Missouri.
O R D E R A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by Commerce Bancshares, Inc., Kansas City, Missouri, a
registered bank holding company, for the Board's
prior approval of the acquisition of more than 80
per cent of the voting shares of Blue Hills Bank of
Commerce, Kansas City, Missouri ( " B a n k " ) .
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Commissioner of Finance of the State
of Missouri and requested his views and recommendation. The Commissioner indicated that his
office had no objection to approval of the application.
Notice of receipt of the application was published in the Federal Register on August 12, 1971
(36 Federal Register 15074), providing an opportunity for interested persons to submit comments
and views with respect to the proposed transaction. A copy of the application was forwarded to
the United States Department of Justice for its
consideration. The time for filing comments and
views has expired and all those received have
been considered by the Board.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources of the Applicant and the banks concerned, and the convenience and needs of the
communities to be served. Upon such consideration, the Board finds that:
Applicant, the third largest bank holding company and third largest banking organization in
Missouri, controls 19 banks with aggregate deposits of $880.8 million, representing 7.7 per cent
of the total commercial bank deposits in the State.
(All banking data are as of December 31, 1970,
adjusted to reflect bank holding company formations and acquisitions approved by the Board
through August 31, 1971.) Upon consummation of the proposal herein, Applicant's share of
deposits in the State would increase only slightly,
and its position relative to the State's other banking organizations would remain unchanged.
Bank ($12.3 million deposits), one of the
smaller banks in the Kansas City banking market,
is the eighth largest of eleven banks in its primary
service area, which is approximated by a 25 square
mile area just south of downtown Kansas City.
Applicant's lead bank, Commerce Bank of Kansas City, is located downtown six and a half miles
from Bank, and its service area fully encompasses
that of Bank. Such factors would usually indicate
that competitive considerations would weigh for
denial of the application; however, other facts in
the record provide evidence that there is no meaningful competition between Bank and any of Applicant's subsidiary banks. Shareholders of Applicant control approximately 78 per cent of
Bank's stock. This close relationship has existed
since Bank's inception, and it appears that the relationship would continue to exist regardless of the
Board's action on the present application. Additionally, Bank, which has experienced slow
growth during the last several years, has not been
an effective competitor to the other area banks due
to its small size. On the basis of the foregoing,
the Board concludes that consummation of the
proposed acquisition would not adversely affect
competition in any relevant area.
Considerations relating to financial and managerial resources and propects as they relate to
Applicant and its subsidiaries are satisfactory
and consistent with approval of the application
and lend some weight toward approval as they
relate to Bank, since Applicant would be able
to solve Bank's management succession problem
by providing it with greater management depth.
Although the major banking needs of Bank's
service area are being met by existing institutions,
a portion of that area has experienced economic
decline, and Applicant intends to assist Bank in
offering a full range of banking services, includ-
1012
FEDERAL RESERVE BULLETIN • DECEMBER 1971
ing urban and business development services, in
an attempt to revitalize the area. Thus, considerations relating to the convenience and needs lend
additional weight toward approval. It is the
Board's judgment that the proposed transaction
would be in the public interest, and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order, unless such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Kansas
City pursuant to delegated authority.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
FIRST NATIONAL HOLDING CORPORATION,
MEMPHIS, TENNESSEE
In the matter of the application of First National Holding Corporation,1 Memphis,
Tennessee, for approval of acquisition of 100 per cent of
the voting shares of the successor by merger to The
Banking & Trust Company, Jonesboro,
Tennessee
ORDER APPROVING ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by First
National Holding Corporation, 1 Memphis, Tennessee, a bank holding company, for the Board's
prior approval of the acquisition of 100 per cent
of the voting shares of the successor by merger to
The Banking & Trust Company, Jonesboro,
Tennessee ( " B a n k " ) .
The bank into which Bank is to be merged
has no significance except as a means to facilitate
1
During consideration of this application, the Board has been
formally apprised that Applicant has changed its name to First
Tennessee National Corporation.
the acquisition of the voting shares of Bank. Accordingly, the proposed acquisition of the shares
of the successor organization is treated herein as
the proposed acquisition of the shares of Bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Superintendent of Banks of the State
of Tennessee and requested his views and recommendation. The Superintendent offered no objection to consummation of the proposal.
Notice of receipt of the application was published in the Federal Register on September 11,
1971 (36 Federal Register 18347), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the United States Department of Justice for its consideration. Time for filing comments and views has
expired and all those received have been considered .
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of Applicant and the
banks concerned, and the convenience and needs
of the communities to be served, and finds that:
Applicant, the largest bank holding company
and second largest banking organization in Tennessee, has one subsidiary bank with $738.7
million in deposits, representing approximately 9.9
per cent of the total commercial bank deposits in
the State. (All banking data are as of December
31, 1970, adjusted to reflect holding company
formations and acquisitions approved by the
Board through September 30, 1971.) Consummation of the proposal herein would increase Applicant's share of deposits to 10.2 per cent and
would make Applicant the largest banking organization, measured by both total deposits and
banking offices, in the State.
Bank ($24.5 million deposits), with 18.1 per
cent of the deposits held by commercial banks
in the Jonesboro banking market, approximated
by Washington County, ranks third among the four
banking organizations in that market. The distance of approximately 500 miles that separates
Bank and Applicant's only subsidiary bank has precluded the existence of significant competition
between the two institutions, and the State's restrictive branching law effectively prohibits the development of future competition between Bank
and Applicant's present subsidiary. Consummation of the proposal would have a procompetitive
1013
LAW DEPARTMENT
effect by enhancing Bank's ability to compete
with the two larger banks competing in the
Jonesboro banking market both of which are subsidiaries of multi-bank holding companies and
which together hold more than 80 per cent of the
total deposits held by commercial banks in the
market. Based upon the foregoing, the Board
concludes that consummation of the proposal
would not have an adverse effect on competition in any relevant area.
The financial and managerial resources and future prospects of Applicant and its subsidiary
bank are satisfactory and are consistent with approval. Considerations relating to the financial and
managerial resources and future prospects of Bank
lend weight in support of approval, since Applicant intends to strengthen Bank's less than satisfactory capital position. Although all major local
banking needs are presently being served in the
Jonesboro banking market, considerations relating to the convenience and needs of the communities to be served lend some weight toward approval. Bank's competitive ability should be
strengthened by consummation of this proposal.
Furthermore, Applicant plans to expand Bank's
trust services and to add international and data
processing services to those services presently
offered by Bank.
It is the Board's judgment that the proposed
transaction would be in the public interest, and
that the application should be approved.
I T IS HEREBY ORDERED, On the basis of the
record, that said application be and hereby is approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of St.
Louis pursuant to delegated authority.
I T IS FURTHER ORDERED, That upon the consummation of the proposed transaction, Applicant
shall not retain or acquire any nonbank shares
or engage in any nonbanking activities to a greater
extent or for a longer period than would apply in
the case of a bank holding company which became such on the date of such consummation,
except to the extent otherwise permitted in any
regulation of the Board hereafter adopted specifically relating to the effect of the acquisition of an
additional bank on the status of nonbank shares
and activities of a one-bank holding company
formed prior to 1971, or unless the Board fails to
adopt any such regulation before the expiration of
two years after the consummation of the proposed
acquisition.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
FIRST AT ORLANDO CORPORATION,
ORLANDO, FLORIDA
In the matter of the application of First at Orlando Corporation,
Orlando, Florida, for approval of acquisition of 90 per cent or more of the
voting shares of National
Bank Gulf
Gate,
Sarasota,
Florida.
O R D E R A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G C O M P A N Y
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U . S . C . 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by First at Orlando Corporation, Orlando, Florida, for the
Board's prior approval of the acquisition of 90
per cent or more of the voting shares of National
Bank Gulf Gate, Sarasota, Florida.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency, and requested his views and recommendation. The
Comptroller recommended approval of the application.
Notice of receipt of the application was published in the Federal Register on August 28,
1971 (36 Federal Register 17384), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired, and all those received have been considered by the Board.
I T IS HEREBY ORDERED, For the reasons set
forth in the Board's Statement of this date, that
said application be and hereby is approved,
provided that the acquisition so approved shall
not be consummated (a) before the thirtieth calendar day following the date of this Order or (b)
later than three months after the date of this Order,
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1014
unless such period is extended for good cause by
the Board or by the Federal Reserve Bank of Atlanta pursuant to delegated authority.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Maisel, Brimmer and Sherrill. Absent and not voting:
Governors Robertson and Daane.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
In the matter of the application of First at Orlando Corporation,
Orlando, Florida, for approval of acquisition of 90 per cent or more of
the voting shares of National Bank of Sarasota,
Sarasota,
Florida.
ORDER D E N Y I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U . S . C . 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by First at
Orlando Corporation, Orlando, Florida, for the
Board's prior approval of the acquisition of 90
per cent or more of the voting shares of National
Bank of Sarasota, Sarasota, Florida.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Comptroller of the Currency, and requested his
views and recommendation. The Comptroller
recommended approval of the application.
Notice of receipt of the application was published
in the Federal Register on August 28, 1971 (36
Federal Register 17384), providing an opportunity for interested persons to submit comments and
views with respect to the proposal. A copy of the
application was forwarded to the United States Department of Justice for its consideration. Time for
filing comments and views has expired, and all
those received have been considered by the
Board.
Is IS H E R E B Y O R D E R E D , For the reasons set
forth in the Board's Statement of this date, that
said application be and hereby is denied.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Maisel, Brimmer, and Sherrill. Absent and not voting:
Governors Robertson and Daane.
(Signed) T Y N A N
Secretary of the
[SEAL]
STATEMENT
First at Orlando Corporation, Orlando, Florida
( " A p p l i c a n t " ) , a bank holding company, has applied to the Board of Governors, pursuant to section 3(a)(3) of the Bank Holding Company Act of
1956 (12 U.S.C. 1842(a)(3)), for prior approval
of the acquisition of 90 per cent or more of the
voting shares of National Bank of Sarasota
("Sarasota B a n k " ) , and National Bank Gulf Gate
("Gulf B a n k " ) , both located in Sarasota, Florida.
Views and recommendation
of supervisory authority. As required by section 3(b) of the Act,
the Board notified the Comptroller of the Currency
of receipt of the applications and requested his
views and recommendations. The Comptroller recommended approval of the applications.
Statutory considerations.
Section 3(c) of the
Act provides that the Board shall not approve
an acquisition that would result in a monopoly or
would be in furtherance of any combination or
conspiracy to monopolize or to attempt to monopolize the business of banking in any part of the
United States. Nor may the Board approve a proposed acquisition the effect of which, in any
section of the country, may be substantially to
lessen competition, or to tend to create a monopoly, or which in any other manner would be in
restraint of trade, unless the Board finds that the
anticompetitive effects of the proposed transactions
are clearly outweighed in the public interest by
the probable effect of the transactions in meeting
the convenience and needs of the communities
to be served. In each case, the Board is required
to take into consideration the financial and managerial resources and future prospects of the
bank holding company and the banks concerned,
and the convenience and needs of the communities
to be served.
Competitive effect of proposed
transactions.
Applicant, the fifth largest banking organization
in Florida, controls 19 banks with approximately
$574 million 1 in deposits representing 4.1 per cent
of commercial bank deposits in the State. Sarasota
Bank has deposits of $36.7 million; Gulf Bank
controls deposits of $18.2 million. Applicant's
acquisition of both Gulf Bank and Sarasota Bank
would increased its share of deposits in Florida by
.4 per cent and would not change its ranking.
Sarasota Bank and Gulf Bank operate in the
Sarasota market which is approximated by the
SMITH,
Board.
1
All banking data are as of December 31, 1970, and reflect
holding company formations and acquisitions approved by the
Board through September 30, 1971.
1015
LAW DEPARTMENT
city of Sarasota and portions of Manatee County.
There are 12 banks in the market in which Gulf
Bank is sixth largest, and Sarasota Bank is the
third largest. Gulf Bank was organized by the
owners of Sarasota Bank in 1963 and the two
have common stock ownership. The two banks
control approximately 17 per cent of the deposits
in the Sarasota market.
The closest office of Applicant to either proposed subsidiary is located 45 miles north of Sarasota in Tampa, Florida. No existing competition
would be eliminated and, due to Florida law regarding branching and the aforesaid distance,
approval of the application is unlikely to foreclose potential competition between the proposed
subsidiaries and Applicant's existing banks.
On the other hand, Applicant's acquisition of
both banks or of Sarasota Bank alone would have
serious adverse effects on potential competition
resulting from the prospect of Applicant's de
novo entry into their market area. Sarasota is
relatively attractive for de novo entry (based on
population growth and population per banking
office), the market is relatively concentrated (the
two largest organizations control 71 per cent of
deposits), and Applicant, considering its history
of expansion, may be considered a likely entrant
into the market. However, acquisition of only
Gujf Bank would break up the existing relationship between Sarasota Bank and Gulf Bank and
decrease concentration in Sarasota which would
have a beneficial effect on competition. At the
same time, Sarasota Bank, the older and stronger
of the two banks, would remain a viable, independent competitor. Based on the foregoing, the Board
concludes that, whereas Applicant's acquisition
of both banks or the Sarasota Bank would have
serious competitive consequences in foreclosing
potential competition, Applicant's acquisition of
the Gulf Bank presents no similar impediment to
approval of that application. 2
Financial and managerial resources and future
prospects. The financial condition of Applicant
and its subsidiary banks is satisfactory, their management is capable, and prospects of the group are
favorable. The financial condition and management of Sarasota Bank and Gulf Bank are generally satisfactory, and their prospects, whether
operating individually or as a subsidiary of Ap2
After the Board reached a decision on these two applications but before the issuance of its Orders and Statement, the
Department of Justice expressed its views in a letter dated
October 26, 1971. The letter is not part of the record in this
case, and it raised no new issues that had not been discussed by
the Board in its action on the applications.
plicant, are favorable. These considerations,
while consistent with approval of the applications,
provide no significant weight in support of such
action.
Convenience and needs of the communities involved. The Sarasota market area is presently well
served by existing banking organizations. However, the initial entry by Applicant as a Statewide
holding company could possibly improve quality
of services through introduction of new auditing
techniques and increased management depth.
Moreover, the decrease in concentration resulting
from disaffiliation of Sarasota Bank and Gulf
Bank should increase the competitive vigor of
the Sarasota market and thus provide better
service for banking customers. These considerations lend weight for approval of the acquisition
of Gulf Bank but argue against approval of both
applications.
Summary and conclusion. On the basis of all
relevant facts contained in the record, and in the
light of the factors set forth in section 3(c) of the
Act, it is the Board's judgment that the application
to acquire Gulf Bank is in the public interest and
should be approved while the application to acquire Sarasota Bank is not in the public interest
and should be denied.
AMERICAN HOLDING CORPORATION OF
NEW JERSEY,
PRINCETON, NEW JERSEY
In the matter of the application of American
Holding Corporation of New Jersey,
Princeton,
New Jersey, for approval to become a bank holding company through the acquisition of 100 per
cent of the voting shares (less directors'
qualifying
shares) of the successor by merger to American
National Bank & Trust, Montclair, New Jersey,
and 100 per cent of the voting shares of Princeton Bank and Trust Company, Princeton,
New
Jersey.
O R D E R A P P R O V I N G A C T I O N TO B E C O M E
A BANK HOLDING
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(1) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(1))
and section 222.3(a) of Federal Reserve Regulation
Y (12 CFR 222.3(a)), an application by American
Holding Corporation of New Jersey, Princeton,
New Jersey, for the Board's prior approval of action to become a bank holding company through
the acquisition of 100 per cent of the voting shares
1016
FEDERAL RESERVE BULLETIN • DECEMBER 1971
(less directors' qualifying shares) of the successor
by merger to American National Bank & Trust,
Montclair, New Jersey ("American B a n k " ) ,
and 100 per cent of the voting shares of Princeton
Bank and Trust Company, Princeton, New Jersey
("Princeton B a n k " ) .
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency and the
Commissioner of Banking of the State of New
Jersey. The Comptroller offered no objection to
approval of the application and the Commissioner
recommended approval.
Notice of receipt of the application was published in the Federal Register on September 18,
1971 (36 Federal Register 18686), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the United States Department of Justice for its consideration. Time for filing comments and views has expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant and
the banks concerned, and the convenience and
needs of the communities to be served, and finds
that:
Applicant is a newly organized corporation.
Consummation of this proposal herein would result in Applicant controlling $418.9 million in
deposits, representing 2.8 per cent of total commercial bank deposits in the State, and Applicant
would become the ninth largest banking organization and the seventh largest bank holding company in New Jersey. (Unless otherwise noted, all
banking data are as of December 31, 1970, adjusted to reflect holding company formations and
acquisitions approved by the Board through September 30, 1971.)
American Bank ($341.4 million deposits), the
twelfth largest bank in New Jersey, has 32 banking offices and operates throughout the First
Banking District. American Bank operates primarily in the Newark banking market, which is approximated by Essex County, a small part of
Hudson County, most of Union County and the
eastern half of Morris County. American Bank
controls 7.5 per cent of commercial bank deposits,
and is the fourth largest bank in that market.
(Banking data concerning market control and size
are as of June 30, 1971.)
Princeton Bank ($77.5 million deposits), headquartered in the Second Banking District, has
eight banking offices, and operates in the Trenton
banking market. Princeton Bank controls 7.7 per
cent of commercial bank deposits and is the fourth
largest bank in the Trenton banking market, which
is approximated by Mercer County, plus the communities adjacent to Mercer County located in
Hunterdon, Somerset, Middlesex, Monmouth and
Burlington Counties in New Jersey and Bucks
County in Pennsylvania. (Banking data concerning market control and size are as of June 30,
1971.)
American Bank and Princeton Bank do not
compete with each other to any significant extent,
and the development of such competition in the
future appears unlikely. The nearest offices of the
two banks are twenty-eight miles apart, and New
Jersey law prohibits either bank from branching
or merging across Banking District lines. It appears that the affiliation of the two banks in a
holding company would not have any adverse
effects on other banks in the Newark or Princeton
markets, and may promote competition in the
Princeton market by enabling Princeton Bank to
become a more effective competitor. On the basis
of the record before it, the Board concludes
that consummation of the proposal would not have
an adverse effect on competition in any relevant
area.
The financial and managerial resources of each
bank appears satisfactory. It appears that Applicant would begin operations in satisfactory
condition and with competent management. Applicant's future prospects, which are largely dependent upon those of its two subsidiaries,
also appear favorable. Although there is no evidence that the existing banking needs of the communities involved are not being met, affiliation of
Princeton Bank in the holding company would enable it to increase its lending limit and offer a wider
range of specialized banking services. These considerations relative to the convenience and needs
of the communities to be served lend some weight
toward approval. It is the Board's judgment that
the proposed transaction is in the public interest
and should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order, un-
1017
LAW DEPARTMENT
less such period is extended for good cause by
the Board or by the Federal Reserve Bank of
New York pursuant to delegated authority.
By order of the Board of Governors, November
9,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N
Secretary of the
SMITH,
Board.
[SEAL]
EXCHANGE BANCORPORATION, INC.,
TAMPA, FLORIDA
In the matter of the application of Exchange
Bancorporation,
Inc., Tampa, Florida, for approval of acquisition of 51 per cent or more of
the voting shares of Bank of Osceola,
Kissimmee,
Florida.
ORDER A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by Exchange Bancorporation, Inc., Tampa, Florida,
for the Board's prior approval of the acquisition
of 51 per cent or more of the voting shares of
Bank of Osceola, Kissimmee, Florida ( " B a n k " ) .
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Florida Commissioner of Banking
and requested his views and recommendation.
The Commissioner recommended approval of the
application.
Notice of receipt of the application was published in the Federal Register on September 10,
1971 (36 Federal Register 18262), providing an
opportunity for interested persons to submit comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been
considered.
The Board has considered the application in
the light of the factors set forth in section 3(c) of
the Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Ap-
plicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant, the tenth largest bank holding company and banking organization in the State, controls six banks with aggregate deposits of approximately $323 million, representing 2.3 per cent of
the deposits held by commercial banks in Florida.
(Banking data are as of December 31, 1970, and
reflect holding company formations and acquisitions approved by the Board through September
30, 1971.) Consummation of the proposal would
add less than one half of one per cent to Applicant's percentage share of such deposits and
would not change its relative position among the
State's banking organizations.
Bank (deposits of $5.9 million) is the smallest
of three banks in the Osceola County area controlling about 20.7 per cent of area deposits and
is the only independent banking organization
there. Applicant's closest banking subsidiary to
Bank is located about 24 miles south of Bank and
has deposits of less than $10 million. There is
little existing competition between this subsidiary
and Bank and considering the small size of both
and the intervening distance, there is little probability of substantial competition developing between the two. Bank's affiliation with Applicant
offers the prospect of increased competition in
the Osceola County area, since Bank should be
able to compete more vigorously with the two
larger banks there, both of which are members
of bank holding companies that are larger than
Applicant. Consummation of the proposed acquisition would not adversely affect competition in
any relevant area and would not have an adverse
effect on any competing bank.
The financial and managerial resources and
future prospects of Applicant and its subsidiary
banks are regarded as generally satisfactory. Considerations relating to the banking factors lend
weight for approval in that affiliation with Applicant would give Bank greater experience and
depth of management. Considerations related to
the convenience and needs of the community
lend some weight for approval since Bank,
through Applicant's assistance, will be able to
provide a broader and more sophisticated range
of services such as larger loans resulting from
the expanded demand developing from the opening of Walt Disney World, in neighboring Orange
County. It is the Board's judgment that the proposed transaction is in the public interest and
should be approved.
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1018
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not
be consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order,
unless such period is extended for good cause
by the Board, or by the Federal Reserve Bank
of Atlanta pursuant to delegated authority.
By order of the Board of Governors, November
9, 1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
FIRST BANCSHARES OF FLORIDA, INC.,
BOCA RATON, FLORIDA
In the matter of the application of First Bancshares of Florida, Inc., Boca Raton, Florida, for
prior approval of the acquisition of 80 per cent
or more of the voting shares of Jensen Beach
Bank, Jensen Beach, Florida.
ORDER A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G C O M P A N Y
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by First
Bancshares of Florida, Inc., Boca Raton, Florida,
for the Board's prior approval of the acquisition
of 80 per cent or more of the voting shares of
Jensen Beach Bank, Jensen Beach, Florida
("Bank").
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Florida Commissioner of Banking
and requested his views and recommendation.
The Commissioner responded that he recommended approval of the application.
Notice of receipt of the application was published in the Federal Register on September 18,
1971 (36 Federal Register 18687), providing an
opportunity for interested persons to submit comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its con-
sideration. Time for filing comments and views
has expired and all those received have been
considered.
The Board has considered the application in
the light of the factors set forth in section 3(c)
of the Act, including the effect of the proposed
acquisition on competition, the financial and
managerial resources and future prospects of the
Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant has five subsidiary banks with aggregate deposits of approximately $128 million,
representing 0.9 per cent of the commercial bank
deposits in Florida. (Banking data are as of December 31, 1970, and reflect holding company
formations and acquisitions approved by the
Board through September 30, 1971.) Approval
of the acquisition of Bank would increase Applicant's percentage share of such deposits in
Florida by less than one tenth of one per cent.
Bank (deposits of $12.9 million) is the third
largest of five banks in Martin County, which is
approximately 120 miles north of Miami, with
about 17.8 per cent of deposits in the County.
Applicant's closest subsidiary to Bank is some
thirty miles to the south and there is little existing
competition between the two. Due to the presence
of several intervening banks and the Florida
branching laws, there appears to be little likelihood of substantial competition developing between Bank and this subsidiary. Considering these
factors and others of record, the Board concludes
that consummation of the proposed acquisition
would not adversely affect competition in any
relevant area.
The financial and managerial resources and
prospects of Applicant, its subsidiary banks and
Bank are regarded as satisfactory. However,
Bank's President plans to retire shortly and Applicant's acquisition of Bank will provide for continuity of management so that these considerations lend some weight for approval of the application. Considerations related to the convenience and needs of the community lend weight
for approval of the application in that Applicant
will be able to provide trust services and increased mortgage financing. Both of these types of
services are in increasing demand in Martin County.
It is the Board's judgment that the proposed acquisition would be in the public interest and that
the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
1019
LAW DEPARTMENT
approved for the reasons summarized above,
provided that the action so approved shall not
be consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order,
unless such period is extended for good cause by
the Board, or by the Federal Reserve Bank of
Atlanta pursuant to delegated authority.
By order of the Board of Governors, November
9,1971.
V o t i n g for this action: Chairman Burns and Governors
Mitchell, D a a n e , M a i s e l , Brimmer and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
SHOREBANK, INC.,
QUINCY, MASSACHUSETTS
In the matter of the application of Shorebank,
Inc., Quincy, Massachusetts, for approval of acquisition of 80 per cent or more of the voting
shares of The Falmouth National Bank, Falmouth, Massachusetts.
ORDER APPROVING ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by
Shorebank, Inc., Quincy, Massachusetts, for
the Board's prior approval of the acquisition of
80 per cent or more of the voting shares of The
Falmouth National Bank, Falmouth, Massachusetts ("Bank").
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency and requested his views and recommendation. The
Comptroller offered no objection to approval of
the application.
Notice of receipt of the application was published in the Federal Register on September 14,
1971 (36 Federal Register 18440), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views has
expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant controls 2 banks with deposits of
$191 million. Bank ($18 million in deposits) is
the second largest of 8 banks in the Falmouth
area (approximated by the towns of Falmouth,
Bourne, Sandwich, Mashpee, and Barnstable),
controlling 24.7 per cent of area deposits. (All
banking data are as of December 31, 1970, and
reflect a holding company acquisition approved
November 4, 1971.1) Over 50 miles and numerous
intervening banks separate the closest offices of
Applicant's present subsidiaries and Bank; consequently, no significant existing competition
would be eliminated. Consummation of this proposal would foreclose the possibility of Applicant
entering the area de novo or through acquisition
of one of the smaller banks in the area. De novo
entry, however, is unlikely because the area's
population to banking office ratio is considerably
less than that of the State. The potential competition that would be eliminated by consummation
of this proposal is not considered significant and
is offset by the benefits attributable to the formation of a holding company better able to compete
with the larger Boston-based holding companies.
The financial and managerial resources and
future prospects of Applicant, Applicant's present
subsidiaries, and Bank are generally satisfactory
and consistent with approval. Applicant plans to
expand the services now offered by Bank to include leasing, international banking services, aircraft financing, accounts receivable financing,
and electronic data processing services. Therefore, considerations relating to the convenience
and needs of the community to be served lend
some weight in favor of approval. It is the Board's
judgment that the proposed transaction is in the
public interest and that the application should
be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
1
Banking data relating to banks in the Falmouth area are
as of June 3 0 , 1970.
1020
FEDERAL RESERVE BULLETIN • DECEMBER 1971
than three months after the date of this Order,
unless such period is extended for good cause by
the Board, or by the Federal Reserve Bank of
Boston pursuant to delegated authority.
I T IS F U R T H E R O R D E R E D , That upon the consummation of the proposed transaction, Applicant
shall not retain or acquire any nonbank shares or
engage in any nonbanking activities to a greater
extent or for a longer period than would apply
in the case of a bank holding company which
became such on the date of such consummation,
except to the extent otherwise permitted in any
regulation of the Board hereafter adopted specifically relating to the effect of the acquisition of
an additional bank on the status of nonbank shares
and activities of a one bank holding company
formed prior to 1971, or unless the Board fails
to adopt any such regulation before the expiration of two years after the consummation of the
proposed acquisition.
By order of the Board of Governors, November
9, 1971.
Voting for this action: Chairman Burns and Governors
Mitchell, D a a n e , M a i s e l , Brimmer, and Sherrill. A b s e n t and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
FIRST SECURITY CORPORATION,
SALT LAKE CITY, UTAH
In the matter of the application of First Security
Corporation, Salt Lake City, Utah, for approval
of acquisition of 100 per cent of the voting shares
(less directors' qualifying shares) of First Security
Bank of Bountiful (N.A.), Bountiful, Utah, a
proposed new bank.
ORDER APPROVING ACQUISITION OF B A N K
BY B A N K H O L D I N G
STOCK
CCOMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by First
Security Corporation, Salt Lake City, Utah, for
the Board's prior approval of the acquisition of
100 per cent of the voting shares (less directors'
qualifying shares) of First Security Bank of Bountiful (N.A.), Bountiful, Utah ("Bank"), a proposed new bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency and requested his views and recommendation. The
Comptroller recommended approval of the application.
Notice of receipt of the application was published in the Federal Register on September 14,
1971 (36 Federal Register 18439), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the United
States Department of Justice for its consideration.
Time for filing comments and views has expired
and all those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c)
of the Act, including the effect of the proposed
acquisition on competition, the financial and
managerial resources and future prospects of the
Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant controls three banks with aggregate
deposits of $544 million, representing 29.6 per
cent of the total commercial bank deposits in
the State, and is the largest banking organization
in Utah. 1 (All banking data are as of December
31, 1970, unless otherwise noted, and reflect
holding company formations and acquisitions approved through September 30, 1971.) Since
Bank is a proposed new bank, no existing competition would be eliminated nor would concentration be increased in any relevant area.
Bank would be located in Bountiful, 12 miles
north of Salt Lake City, and would be the fifth
bank operating in that area. Bank would be competing in the Salt Lake City banking market,
where Applicant with 23.9 per cent of market deposits 2 is the largest of 15 banking organizations.
Applicant's two closest subsidiaries to Bank have
offices fifteen miles south of Bank, in downtown
Salt Lake City.
Applicant's status as the largest banking organization in the relevant market could present a
competitive problem if it dominated the market
and was establishing banks before a need for
them existed. Cf., Application of First Wisconsin
Bankshares Corporation, 1968 Federal Reserve
B U L L E T I N 1024. However, two of the four offices
A d d i t i o n a l l y , Applicant controls an Idaho bank ( $ 3 8 8
million in deposits) and a W y o m i n g bank ( $ 1 0 million in deposits). These banks were o w n e d by Applicant at the time of
enactment of the H o l d i n g C o m p a n y Act and were "grandfathered".
2
Market data are as of June 3 0 , 1970.
1021
LAW DEPARTMENT
in Bank's proposed service area are branches
of the second and third largest banks in the banking market, each of which controls approximately
22 per cent of market deposits. 2 In addition, Applicant presently derives only an insignificant portion of its business from Bank's proposed service
area. Accordingly, consummation would not
appear to adversely alter the competitive situation
in the market.
The financial and managerial resources and the
future prospects of Applicant and its subsidiary
banks are generally satisfactory. Prospects for
Bank appear favorable since it would have capable
and experienced management and would be adequately capitalized. Bank would be able to provide an additional source of full banking services
in an area which has experienced rapid population growth during the last two decades. Considerations relating to the convenience and needs
of the area to be served lend slight support to,
and are consistent with, approval of the application. It is the Board's judgment that consummation of the proposed acquisition would be in the
public interest and that the application should be
approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order; and
provided further that (c) First Security Bank of
Bountiful (N.A.) shall be opened for business
not later than six months after the date of this
Order. Each of the periods described in (b) and
(c) hereof may be extended for good cause by
the Board, or by the Federal Reserve Bank of
San Francisco pursuant to delegated authority.
By order of the Board of Governors, November
9, 1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board
[SEAL]
UNITED TENNESSEE
CORPORATION,
BANCSHARES
MEMPHIS,
TENNESSEE
In the matter of the application of United
Tennessee Bancshares Corporation,
Memphis,
Tennessee, for approval of acquisition of 80 per
cent or more of the voting shares of Nashville City
Bank and Trust Co., Nashville, Tennessee.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K
S T O C K BY B A N K H O L D I N G C O M P A N Y
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by United
Tennessee Bancshares Corporation, Memphis,
Tennessee, a bank holding company, for the
Board's prior approval of the acquisition of 80 per
cent or more of the voting shares of Nashville
City Bank and Trust Co., Nashville, Tennessee
("Bank").
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Superintendent of Banks of the State of Tennessee and requested his views and recommendation. The Superintendent offered no objection to
consummation of the proposal.
Notice of receipt of the application was published in the Federal Register on September 14,
1971 (36 Federal Register 18440), providing an
opportunity for interested persons to submit comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant and
the banks concerned, and the convenience and
needs of the communities to be served, and finds
that:
Applicant, the fourth largest bank holding company and seventh largest banking organization in
Tennessee, has three subsidiary banks controlling
$317.4 million in deposits, representing approximately 4.3 per cent of the total commercial bank
deposits in the State. (All banking data are as of
December 31, 1970, adjusted to reflect holding
company formations and acquisitions approved by
the Board through September 30, 1971.) Consummation of the proposal herein would increase
the percentage of total State deposits controlled by
Applicant to 5.0 per cent and would make applicant
the State's sixth largest banking organization.
Bank ($55.9 million deposits), controlling 4.1
1022
FEDERAL RESERVE BULLETIN • DECEMBER 1971
per cent of the commercial bank deposits in the
Davidson County banking market, ranks fourth of
the seven banks in that market. Bank's three larger
competitors together hold approximately 94 per
cent of deposits in the market. Applicant's closest
subsidiary bank is more than 200 miles from Bank.
Due to this distance, as well as Tennessee's restrictive branching law, consummation of this proposal would foreclose neither existing nor potential
competition between Bank and any banking subsidiary of Applicant. As a result of its affiliation
with Applicant, Bank should be able to compete
more effectively with the larger banks in the concentrated Davidson County banking market. Based
upon the foregoing, the Board concludes that consummation of the proposal would not have an
adverse effect on competition in any relevant area.
The financial and managerial resources and
future prospects of Applicant, its subsidiaries, and
Bank are considered generally satisfactory and consistent with approval. Considerations relating to the
convenience and needs of the communities to be
served lend weight in support of approval. Although the convenience and needs of the area are
not, to any significant extent, going unserved,
consummation of this proposal will strengthen
Bank's competitive position in the Banking market and enable Bank to offer new and expanded
services in the areas of industrial development,
business management, and trust services. Furthermore, access to Applicant's specialized computer
facilities should provide greater efficiency to Bank's
operations, further enhancing its competitive
posture in a concentrated banking market. It is the
Board's judgment that the proposed transaction
would be in the public interest, and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the Board
or by the Federal Reserve Bank of Atlanta pursuant to delegated authority.
By order of the Board of Governors, November
9, 1971.
Voting for this action: Chairman Burns and Governors Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and not
voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
FIRST VIRGINIA BANKSHARES
CORPORATION, ARLINGTON, VIRGINIA
In the matter of the application of First Virginia
Bankshares Corporation, Arlington, Virginia, for
approval of acquisition of 100 per cent of the voting
shares of the successor by merger to Bank of Surry
County, Inc., Surry, Virginia.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K
S T O C K BY B A N K H O L D I N G C O M P A N Y
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by First Virginia
Bankshares Corporation, Arlington, Virginia, a
registered bank holding company, for the Board's
prior approval of the acquisition of 100 per cent
of the voting shares of the successor by merger to
Bank of Surry County, Inc., Surry, Virginia
("Bank"). The bank into which Bank is to be
merged has no significance except as a means of
acquiring all of the shares of Bank. Accordingly,
the proposed acquisition of the shares of the successor organization is treated herein as the proposed acquisition of the shares of Bank.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application
to the Virginia Commissioner of Banking and requested his views and recommendation. The Commissioner offered no objection to consummation
of the proposal.
Notice of receipt of the application was published in the Federal Register on September 21,
1971 (36 Federal Register 18760), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the United
States Department of Justice for its consideration.
Time for filing comments and views has expired
and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of Applicant and the
banks concerned, and the convenience and needs of
the communities to be served, and finds that:
Applicant, the sixth largest banking organization in Virginia, controls 16 banks with aggregate deposits of $478.5 million, representing 6.0
per cent of total commercial bank deposits in the
State. (All banking data are as of December 31,
1023
LAW DEPARTMENT
1970, and reflect holding company formations
and acquisition approved through September 30,
1971.) The acquisition of Bank ($5.3 million
deposits) would increase Applicant's share of
deposits in the State by only .07 percentage point,
representing no significant increase in Applicant's
control of deposits in the State, or change in Applicant's present ranking. In separate applications
filed concurrently with the instant matter, Applicant proposes to acquire 100 per cent of the voting
shares of the successor by merger to The Bank
of Westmoreland, Colonial Beach, Virginia, and
to organize de novo First Commercial Bank,
Orange, Virginia. Affiliation of both banks in addition to the one proposed here would increase
Applicant's share of the total commercial bank
deposits in Virginia to 6.4 per cent and would not,
therefore, have any significant effect on the concentration of banking resources in the State or on
Applicant's Statewide competitive position.
Bank operates its sole office in the town of Surry,
and is the only banking institution located in Surry
County. Bank's major competition comes from
banks located in the adjacent counties of Sussex,
Southampton and Isle of Wight. The office of any
of Applicant's subsidiary banks closest to Bank is
located 34 miles southeast of Bank. No present
competition of any significance exists between
Bank and this office, or any of Applicant's other
offices. On the facts of record, notably Virginia's
restrictive branching laws and the distances between offices of Applicant's subsidiaries and Bank,
it appears unlikely that consummation of the subject proposal would preclude potential competition.
Further, the steady decline in population which
Surry County has experienced over the past decade
suggests that de novo entry by Applicant is not
warranted. Based on the foregoing, and the record
before it, the Board concludes that consummation
of the proposed acquisition would not have an adverse effect on competition in any relevant market.
The financial and managerial resources and prospects of Applicant, its subsidiaries, and Bank are
regarded as satisfactory and consistent with
approval of the application. As a result of affiliation with Applicant, Bank would be in a position
to offer trust and other banking services it is now
unable to provide. Moreover, Applicant will be
able to provide Bank with administrative and technical support in such areas as personnel, auditing,
data processing, investments, and mortgage banking. Considerations relating to the convenience
and needs factors, therefore, lend some weight in
support of approval of the application. It is the
Board's judgment that consummation of the proposed transaction would be in the public interest,
and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Richmond pursuant to delegated authority.
By order of the Board of Governors, November 9, 1971.
Voting for this action: Chairman Burns and Governors Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and not
voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
MID AMERICA BANCORPORATION, INC.,
ST. PAUL, MINNESOTA
In the matter of the application of Mid America
Bancorporation, Inc., St. Paul, Minnesota, for
approval of acquisition of 100 per cent of the
voting shares (less directors' qualifying shares)
of The First National Bank of Hutchinson,
Hutchinson,
Minnesota.
ORDER A P P R O V I N G ACQUISITION OF B A N K
BY B A N K H O L D I N G
STOCK
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by Mid
America Bancorporation, Inc., St. Paul, Minnesota, a registered bank holding company, for the
Board's prior approval of the acquisition of 100
per cent of the voting shares (less directors' qualifying shares) of The First National Bank of Hutchinson ("Bank"), Hutchinson, Minnesota.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency and requested his views and recommendation. The Board
also gave notice to the Commissioner of Banks
of the State of Minnesota. The Comptroller
1024
FEDERAL RESERVE BULLETIN • DECEMBER 1971
recommended approval of the application. The
Commissioner advised that he had no objection
to the proposed acquisition.
Notice of receipt of the application was published in the Federal Register on September 14,
1971 (36 Federal Register 18439), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views has
expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant controls four banks with aggregate
deposits of approximately $35 million, representing .4 per cent of the total commercial bank deposits in the State, and is the sixth largest bank
holding company in Minnesota. 1 (All banking data
are as of December 31, 1970, and reflect holding
company formations and acquisitions approved
through September 30, 1971.) Applicant's acquisition of Bank ($11 million in deposits) would increase Applicant's share of deposits in the State
by 0.1 percentage point. Bank is the smaller of the
two banks located in the City of Hutchinson, is
the second largest of nine independent banks in
McLeod County, the relevant market, and holds
16.4 per cent of deposits in the market. Applicant's
subsidiary located closest to Bank is approximately
70 miles distant; and it appears that approval of
this application would eliminate no existing competition. On the facts of record, notably, the distances involved, the number of banks in the intervening areas between Bank and Applicant's
subsidiaries and Minnesota's prohibitive branching
law, there appears to be little likelihood that
significant competition between Bank and Applicant would develop in the future. On the basis
of the record before it, the Board concludes that
consummation of the proposed acquisition would
not adversely affect competition in any relevant
area.
Affiliation with Applicant would increase the
A p p l i c a n t has received Board approval for the acquisition
of a proposed new bank in Mendota Heights, Minnesota. Consummation has not taken place.
lending capability of Bank through particpation
arrangements with other subsidiaries of Applicant,
and would enable Bank to benefit from certain
internal efficiencies resulting from a holding company structure. Considerations relating to the convenience and needs of the communitites to be
served are consistent with approval.
Considerations relating to financial and managerial resources and future prospects as they
relate to Applicant, its subsidiaries and Bank, are
regarded as satisfactory. Applicant's stated intention to contribute additional capital funds to Bank,
as well as management expertise lend weight toward approval of the application. It is the Board's
judgment that consummation of the proposed acquisition would be in the public interest and that
the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Minneapolis pursuant to delegated authority.
By order of the Board of Governors, November
11, 1971.
V o t i n g for this action: Governors D a a n e , M a i s e l , Brimmer,
and Sherrill. Absent and not voting: Chairman Burns and G o v ernors Robertson and Mitchell.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
STS CORPORATION,
BILLINGS, MONTANA
In the matter of the application of STS Corporation, Billings, Montana, for approval of action to
become a bank holding company through the
acquisition of 98.68 per cent of the voting shares
of Security Trust and Savings Bank, Billings,
Montana.
ORDER APPROVING
A BANK
ACTION
HOLDING
TO
BECOME
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(1) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(1)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by STS Corporation, Billings, Montana, for the Board's
1025
LAW DEPARTMENT
prior approval of action whereby Applicant would
become a bank holding company through the
acquisition of 98.68 per cent of the voting shares
of Security Trust and Savings Bank ("Bank"),
Billings, Montana.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Montana Superintendent of Banks and requested his views and recommendation. The
Superintendent recommended that favorable consideration be given to the application.
Notice of receipt of the application was published
in the Federal Register on August 28, 1971 (36
Federal Register 17385), providing an opportunity for interested persons to submit comments
and views with respect to the proposal. A copy of
the application was forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and all
those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of Applicant and the
banks concerned, and the convenience and needs
of the communities to be served, and finds that:
Applicant, a nonoperating corporation, was
formed for the express purpose of acquiring Bank
($99 million deposits). (All banking data are as of
December 31, 1970.) The Scott family presently
owns 98.72 per cent of the outstanding shares of
stock of Bank, which, except for directors' qualifying shares to be held by Homer A. Scott, Applicant will acquire through the proposed exchange.
The remaining shares of stock of Bank are held
by persons who have decided to retain their stock.
The purpose of the proposed transaction is to
effect a corporate reorganization, and all shareholders of Bank were included in the exchange
offer. Since Applicant has no present operations
or subsidiaries, it appears that consummation of
the proposal would neither eliminate existing
competition, significantly affect potential competition nor have an adverse effect on other area
banks.
The financial and managerial resources and future prospects of Bank are satisfactory and consistent with approval of the application. Applicant
was recently organized and its financial condition, management, and future prospects, which
are dependent on those of Bank, appear to be satisfactory and also are consistent with approval of
the application. Although the acquisition debt to
be assumed by Applicant will be relatively high,
it appears that Applicant can satisfactorily service
the debt without placing an undue strain on the
resources of Bank. It appears further that consummation of the proposal would have no immediate effect on the convenience and needs of the
community, which appear to be adequately served
at this time; however, considerations under this
aspect of the proposal are consistent with approval
of the application. It is the Board's judgment that
the transaction would be in the public interest, and
that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of Minneapolis pursuant to delegated authority.
By order of the Board of Governors, November
15,1971.
Voting for this action: Governors Mitchell, Daane, Brimmer,
and Sherrill. Absent and not voting: Chairman Burns and Governors Robertson and Maisel.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
THE CENTRAL BANCORPORATION, INC.,
CINCINNATI, OHIO
In the matter of the application of The Central
Bancorporation, Inc., Cincinnati, Ohio, for approval of acquisition of 100 per cent of the voting
shares (less directors' qualifying shares) of the
successor by merger to The Canal Winchester
Bank, Canal Winchester, Ohio.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K
S T O C K BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by The
Central Bancorporation, Inc., Cincinnati, Ohio,
a registered bank holding company, for the
Board's prior approval of the acquisition of 100
per cent of the voting shares (less directors'
qualifying shares) of the successor by merger to
The Canal Winchester Bank ("Bank"), Canal
1026
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Winchester, Ohio. The bank into which Bank
is to be mefged has no significance except as a
means of acquiring all of the shares of Bank. Accordingly, the proposed acquisition of the shares
of the successor organization is treated herein as
the proposed acquisition of the shares of Bank.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Ohio Superintendent of Banks and requested
his views and recommendation. The Superintendent offered no objection to the proposed acquisition.
Notice of receipt of the application was published in the Federal Register on September 21,
1971 (36 Federal Register 18760), providing an
opportunity for interested persons to submit
comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its
consideration. Time for filing comments and views
has expired and all those received have been considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant, the ninth largest banking organization in Ohio, controls four banks which hold
combined deposits of approximately $592 million, representing 2.7 per cent of the total commercial bank deposits in the State. (All banking data are as of December 31, 1970, and
reflect holding company formations and acquisitions approved through September 30, 1971.)
Upon acquisition of Bank ($11 million deposits),
Applicant would increase its share of deposits
in the State by only .05 percentage point, representing no significant increase in Applicant's
control of deposits in the State, or change in its
present ranking.
Bank operates its main office in the village of
Canal Winchester and one branch office on the
Lockbourne Air Force Base, 10 miles southwest of
the main office. Both offices are located in Franklin County. However, the corporate limits of Canal
Winchester extend beyond Franklin County and
include a small part of Fairfield County to the
east. The service area of Bank extends approximately 12 miles around Canal Winchester
to include parts of Franklin, Fairfield, and
Pickaway Counties.
The Columbus banking market, which includes Franklin County and portions of Pickaway, Madison, Fairfield, and Licking Counties,
is regarded as a relevant banking market within
which the competitive effects of the instant
proposal may be evaluated. It appears that the
banks in the Columbus banking market are influenced by rate structures at several Columbus
based banks. Canal Winchester (population
2,412) is eight miles southeast of Columbus,
the State capital and largest city in Franklin
County. A modern network of highways links
Franklin County with all of the surrounding
counties, enabling a substantial portion of the
residents of these counties to commute to work
and shop in the Columbus area. Television programs and newspapers from Columbus circulate
throughout the neighboring counties.
Applicant's subsidiary office closest to Bank
is located 45 miles east of Canal Winchester, and
apparently no significant present competition exists between Bank and this office, or any of
Applicant's other offices. Under Ohio's restrictive branching laws, none of the subsidiaries of
Applicant may branch into either Franklin or
Fairfield County. Similarly, Bank may not branch
beyond Franklin and Fairfield Counties. Because of
Bank's small size, and the facts before the
Board, it seems evident that Bank is not in a
position to lead the formation of a holding
company. On the facts of record, it appears that
consummation of the proposed acquisition would
not foreclose significant potential competition.
The Columbus banking market is highly concentrated. Three banking organizations, representing the second, sixth, and seventh largest
banking organizations in the State, control in the
aggregate 95.5 per cent of deposits in the area.
Bank is the fifth largest of 15 banking organizations in the Columbus market, but holds only 0.6
per cent of deposits in the area. Consummation
of the proposed transaction would represent the
initial entry by an out-of-area based holding company into the Columbus market, and would enable Bank to compete more effectively with the
Columbus area offices of the above-mentioned
three large bank holding companies, without having
an adverse effect on other competing banks.
The financial condition and management of Applicant and its subsidiaries are regarded as satisfactory and the prospects of each seem favorable.
Applicant has made a commitment to supply a
minimum of $500,000 equity capital to Bank if
the proposed acquisition is made, and to furnish
1027
LAW DEPARTMENT
experienced management for the Bank. Such
improvements for Bank are desirable and Applicant's commitments along these lines weigh
strongly in favor of approval of the application.
Prospects of Bank, as a member of Applicant's
system, would be favorable.
Considerations relating to the convenience and
needs of the area lend additional weight toward approval. Although the more important banking
needs of the area are being served at the present
time, affiliation with Applicant should enable
Bank to meet the competition of the banks now
dominating the area. In this connection, Applicant
states that it intends to assist Bank in setting up
five new branches in the next three to five years.
Further, Applicant advises of plans to expand
Bank's services through increased mortgage, commercial and industrial lending, and to assist Bank
in providing trust services. Such new and improved services would enable Bank better to serve
the expanding needs of the rapidly growing Columbus metropolitan area. It is the Board's judgment
that consummation of the proposed transaction
would be in the public interest, and that the
application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided
that the action so approved shall not be consummated (a) before the thirtieth calendar day following the date of this Order or (b) later than three
months after the date of this Order, unless such
period is extended for good cause by the Board, or
by the Federal Reserve Bank of Cleveland pursuant to delegated authority.
By order of the Board of Governors, November
15,1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
FIRST NATIONAL CHARTER
CORPORATION,
KANSAS CITY, MISSOURI
In the matter of the application of First National Charter Corporation, Kansas City, Missouri, for approval of acquisition of 80 per cent
or more of the voting shares of Bank of Overland,
Overland, Missouri.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K S T O C K
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by
First National Charter Corporation, Kansas City,
Missouri, for the Board's prior approval of the
acquisition of 80 per cent or more of the voting
shares of Bank of Overland, Overland, Missouri.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Commissioner of Finance for the State
of Missouri, and requested his views and recommendation. The Commissioner responded that his
office had no objection to approval of the application.
Notice of receipt of the application was published in the Federal Register on September 16,
1971 (36 Federal Register 18539), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been
considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of
the Act, including the effect of the proposed
acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant has six subsidiary banks with total
deposits of $475.8 million, which represents 4.2
per cent of the total commercial bank deposits in
the State, and is the fifth largest banking organization and bank holding company in Missouri. (All
banking data are as of December 31, 1970, adjusted to reflect holding company formations and
acquisitions approved by the Board to date.)
Bank, with deposits of $22.6 million, is the
fifty-ninth largest of the 105 banks competing
in the St. Louis banking market, which is approximated by St. Louis County, the City of St.
Louis, portions of Jefferson and St. Charles
counties in Missouri, and portions of Madison
and St. Clair counties in Illinois. Applicant received Board approval on November 4, 1971,
to acquire voting shares in a bank, The North
Side Bank of Jennings, which is located ap-
1028
FEDERAL RESERVE BULLETIN • DECEMBER 1971
proximately eleven miles east of Bank, but the
record discloses that there is no meaningful competition between -that approved subsidiary and
Bank because of a close relationship based on
common ownership and common directors which
has existed for over 20 years. Moreover, Applicant's other subsidiaries do not compete with
Bank to any significant extent and, in light of
Missouri's restrictive branching law, the number
of available banking alternatives, and the distances separating Applicant's subsidiaries from
Bank, the development of any such competition
appears remote. On the basis of the record before
it, the Board concludes that consummation of the
proposed acquisition would not have significant
adverse effects on competition in any relevant
area.
The financial and managerial resources and
prospects of Applicant, its subsidiaries, and Bank
are regarded as consistent with approval of the
application. Applicant proposes to assist Bank in
expanding business services, developing a trust
department, and providing data processing services. These considerations relating to convenience
and needs of the community lend weight in support
of approval of the application. It is the Board's
judgment that consummation of the proposed
acquisition would be in the public interest, and
that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order,
unless such period is extended for good cause by
the Board, or by the Federal Reserve Bank of
Kansas City pursuant to delegated authority.
By order of the Board of Governors, November
15, 1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, M a i s e l , Brimmer, and Sherrill. A b s e n t and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
THE CHASE MANHATTAN CORPORATION,
NEW YORK, NEW YORK
In the matter of the application of The Chase
Manhattan Corporation, New York, New York,
for approval of acquisition of 100 per cent of the
voting shares (less directors' qualifying shares)
of Chase Manhattan Bank of Long Island (N.A.),
Melville, Suffolk County, New York, a proposed new bank.
ORDER APPROVING ACQUISITION OF B A N K
BY B A N K H O L D I N G
STOCK
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by The
Chase Manhattan Corporation, New York, New
York, for the Board's prior approval of the acquisition of 100 per cent of the voting shares (less
directors' qualifying shares) of Chase Manhattan Bank of Long Island (N.A.), Melville, Suffolk
County, New York ("Bank"), a proposed new
bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Comptroller of the Currency and
requested his views and recommendation. The
Comptroller offered no objection to approval of
the application.
Notice of receipt of the application was published in the Federal Register on September 1,
1971 (36 Federal Register 17532), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. 1 A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views has
expired and all those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c)
of the Act, including the effect of the proposed
acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
A p p l i c a n t requested confidential treatment for the information submitted in response to Exhibits C - 3 , C - 4 , and E - l in its
application. Pursuant to Board Order (36 Federal Register
1 9 1 9 5 ) , a public oral proceeding was held on October 15,
1971. The information i n v o l v e d falls within the fourth and
eighth e x e m p t i o n s
of the Public Information Act (5
U . S . C . 5 5 2 ) . While the Act d o e s not require confidential
treatment, applying the test set forth in the Board's Rules Regarding Availability of Information, § 2 6 1 . 4 , the Board has
determined on the record of the proceeding that any public
interest in disclosure of this information for the purposes of
c o m m e n t on the instant application is o u t w e i g h e d by the potential competitive harm to Applicant.
LAW DEPARTMENT
Applicant, the largest banking organization in
New York, has one subsidiary bank controlling
total domestic deposits of $14.3 billion, representing 16.3 per cent of the State's total deposits.
(All banking data are as of December 31, 1970,
adjusted to reflect holding company formations
and acquisitions through September 30, 1971.)
Bank, which will not be opened if the application
is denied, would serve primarily the BabylonIslip banking market into which Applicant's subsidiary bank cannot branch. The closest banking
office of Applicant's bank is located 5.5 miles
west of Bank in the adjoining Nassau County
banking market, and there are many banking
offices in the intervening area. Consummation of
the proposed transaction would have no adverse
effects on existing or potential competition in
any relevant area and would have no adverse
effects on any competing bank.
The financial and managerial resources and future prospects of Applicant and Bank are satisfactory, and consistent with approval. Although
there is no evidence that the existing banking
needs of the communities involved are not being
met, Applicant proposes that Bank will provide
the community with an alternative source of specialized banking services. Accordingly, considerations relating to the convenience and needs
of the community to be served lend slight weight
toward approval. It is the Board's judgment that
the proposed transaction would be in the public
interest and that the proposed application should be
approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day following the date of this Order or (b) later than three
months after the date of this Order, and provided
further that (c) Chase Manhattan Bank of Long
Island (N.A.), Melville, Suffolk County, New
York, shall be open for business not later than six
months after the date of this Order. The periods
prescribed in (b) and (c) hereof may be extended
for good cause by the Board, or by the Federal
Reserve Bank of New York pursuant to delegated
authority; and
I T IS F U R T H E R O R D E R E D , That upon the consummation of the proposed transaction, Applicant
shall not retain or acquire any nonbank shares or
engage in any nonbanking activities to a greater
extent or for a longer period than would apply in
the case of a bank holding company which be-
1029
came such on the date of such consummation, except to the extent otherwise permitted in any regulation of the Board hereafter adopted specificially
relating to the effect of the acquisition of an
additional bank on the status of nonbank shares
and activities of a one-bank holding company
formed prior to 1971, or unless the Board fails to
adopt any such regulation before the expiration
of two years after the consummation of the proposed acquisition.
By order of the Board of Governors, November
15, 1971.
Voting for this action: Chairman Burns and Governors
Mitchell, Daane, Maisel, Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
FIRST CITY BANCORPORATION OF TEXAS,
INC., HOUSTON, TEXAS
In the matter of the application of First City
Bancorporation of Texas, Inc., Houston, Texas,
for approval of acquisition of 52 per cent or more
of the voting shares of Humble State Bank,
Humble, Texas.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K S T O C K
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a) (3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by First City
Bancorporation of Texas, Inc., Houston, Texas,
for the Board's prior approval of the acquisition
of 52 per cent or more of the voting shares of
Humble State Bank, Humble, Texas ("Bank").
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Texas Commissioner of Banking and
requested his views and recommendation. The
Commissioner recommended approval of the application.
Notice of receipt of the application was published
in the Federal Register on August 13, 1971 (36
Federal Register 15141), providing an opportunity
for interested persons to submit comments and
views with respect to the proposal. A copy of the
application was forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and
all those received have been considered.
1030
FEDERAL RESERVE BULLETIN • DECEMBER 1971
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant controls five banks with aggregate
deposits of approximately $1,142 million, representing 4.3 per cent of total commercial bank deposits in Texas. (All banking data are as of
December 31, 1970, and reflect holding company
formations and acquisitions approved by the
Board through August 31, 1971.) Applicant's
acquisition of Bank (about $12 million in deposits) would not represent a significant increase
in Applicant's share of total deposits in the State.
Applicant controls three banks in the Houston
SMS A, with deposits aggregating about $1,128
million or 18.5 per cent of commercial bank
deposits in the area. Bank ranks 74th among the
140 banks in the Houston SMS A, the relevant
banking market, and holds 0.2 per cent of the
commercial bank deposits in the market. The
service area of Bank is considered to be Humble
and the surrounding area. Although a small
amount of the deposits of First City National Bank
("FCNB"), Applicant's lead bank, derives from
the service area of Bank, FCNB (about $1 billion
in deposits) is primarily a large wholesale bank
(68.5 per cent of whose deposits are in accounts
each of which exceeds $100,000), while Bank is
a small retail-oriented institution serving a suburban community. There appears to be no significant existing competition between Bank and any
of Applicant's present subsidiaries; and on the
facts of record, notably, the geographical separation of Bank from each of Applicant's subsidiaries,
the number of banks in the intervening areas,
Texas' laws prohibiting branching, and the differences in the types of business of FCNB and
of Bank, it appears that significant future competition is not likely to develop. On the basis of
the record before it, the Board concludes that
consummation of the proposed acquisition would
not adversely affect competition in any relevant
area nor have an adverse effect on any competing
bank.
The financial and managerial resources and future prospects of Applicant, its present subsidiaries,
and Bank are regarded as satisfactory and consistent with approval.
The community served by Bank has grown
rapidly, and Bank has experienced rapid deposit
growth. The construction of the Houston Intercontinental Airport 3 miles west of Humble apparently has led several national and international
firms to locate nearby. Affiliation with Applicant
should enable Bank to obtain additional capital
funds and additional qualified personnel which
are needed to meet the needs of its developing
community. Considerations relating to the convenience and needs of the community to be
served lend some weight for approval. It is the
Board's judgment that consummation of the
proposed transaction would be in the public interest
and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar
day following the date of this Order or (b) later
than three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Dallas
pursuant to delegated authority.
By order of the Board of Governors, November
18, 1971. 1
Voting for this action: Chairman Burns and Governors
Mitchell, D a a n e , M a i s e l , Brimmer, and Sherrill. Absent and
not voting: Governor Robertson.
[SEAL]
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
FIRST TENNESSEE NATIONAL CORPORATION, MEMPHIS, TENNESSEE
In the matter of the application of First Tennessee National Corporation (formerly named First
National Holding Corporation), Memphis, Tennessee, for approval of acquisition of 100 per cent
of the voting shares of the successor by merger to ;
Whites Creek Bank and Trust Company, Whites
Creek, Tennessee.
ORDER APPROVING ACQUISITION OF B A N K
BY B A N K H O L D I N G
STOCK
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by First National Tennessee Corporation (formerly named
First National Holding Corporation), Memphis,
^ h e vote on this case w a s taken N o v e m b e r 15, 1971.
LAW DEPARTMENT
Tennessee, a bank holding company, for the
Board's prior approval of the acquisition of 100
per cent of the voting shares of the successor by
merger to Whites Creek Bank and Trust Company,
Whites Creek, Tennessee ("Bank").
The bank into which Bank is to be merged has
no significance except as a means to facilitate the
acquisition of the voting shares of Bank. Accordingly, the proposed acquisition of the shares of the
successor organization is treated herein as the
proposed acquisition of the shares of Bank.
As required by section 3(b) of the Act, the Board
gave written notice of receipt of the application to
the Superintendent of Banks of the State of Tennessee and requested his views and recommendation. The Superintendent offered no objection to
consummation of the proposal.
Notice of receipt of the application was published
in the Federal Register on September 24, 1971
(36 Federal Register 18980), providing an opportunity for interested persons to submit comments
and views with respect to the proposal. A copy of
the application was forwarded to the United States
Department of Justice for its consideration. Time
for filing comments and views has expired and all
those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c)
of the Act, including the effect of the proposed
acquisition on competition, the financial and managerial resources and future prospects of Applicant and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant, the largest bank holding company
and second largest banking organization in Tennessee, has one subsidiary bank1 with $738.7
million in deposits, representing approximately 9.9
per cent of the total commercial bank deposits in
the State. (All banking data are as of December 31,
1970, adjusted to reflect holding company formations and acquisitions approved by the Board
through September 30, 1971.) Consummation
of the proposal herein would increase Applicant's
share of deposits in the State to 10.0 per cent and
would make Applicant the largest banking organization in the State measured by both total deposits
and banking offices.
Bank ($5.5 million deposits) is the seventh
largest of seven banking organizations located in
the Nashville area. Applicant's present subsidiary
^ h e Board of Governors, on N o v e m b e r 9, 1971, approved
Applicant's acquisition of a s e c o n d subsidiary bank, The Banking & Trust C o m p a n y , Jonesboro, T e n n e s s e e (deposits $ 2 4 . 5
million). That bank is located 3 0 0 m i l e s east of N a s h v i l l e .
1031
bank is 200 miles from Bank and there exists no
significant competition between the two institutions. Because of the State's restrictive branching
law and other facts of record, substantial competition between Applicant and Bank is unlikely to
develop. Consummation of the proposal would
have a procompetitive effect by enhancing Bank's
ability to compete with the three largest banks
competing in the Nashville banking market, which
together hold approximately 94 per cent of the
total deposits held by commercial banks in the area.
Based upon the foregoing, the Board concludes
that consummation of the proposal would not
have an adverse effect on competition in any relevant area.
The financial and managerial resources and
future prospects of Applicant, its subsidiary bank
and Bank are satisfactory and consistent with
approval. Although all major local banking needs
are presently being served in the Nashville banking market, considerations relating to the convenience and needs of the communities to be
served lend some weight toward approval. Bank's
competitive ability should be strengthened by
consummation of this proposal. Furthermore,
Applicant plans to expand Bank's trust services
and to add international and automated customer
services to those services presently offered by
Bank.
It is the Board's judgment that the proposed
transaction would be in the public interest, and
that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board, or by the Federal Reserve Bank of St.
Louis pursuant to delegated authority.
I T IS F U R T H E R O R D E R E D , That upon the consummation of the proposed transaction, Applicant shall not retain or acquire any nonbank shares
or engage in any nonbanking activities to a
greater extent or for a longer period than would
apply in the case of a bank holding company which
became such on the date of such consummation,
except to the extent otherwise permitted in any
regulation of the Board hereafter adopted specifically relating to the effect of the acquisition of an
additional bank on the status of nonbank shares and
activities of a one-bank holding company formed
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1032
prior to 1971, or unless the Board fails to adopt
any such regulation before the expiration of two
years after the consummation of the proposed
acquisition.
By order of the Board of Governors, November
18,1971.
Voting for this action: Chairman Burns and Governors Robertson, Daane, and Maisel. Absent and not voting: Governors
Mitchell, Brimmer, and Sherrill.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
tSEALl
MERCANTILE BANCORPORATION INC.,
ST. LOUIS, MISSOURI
In the matter of the application of Mercantile
Bancorp oration Inc., St. Louis, Missouri, for
approval of acquisition of up to 100 per cent of
the voting shares of Red Bridge Bank, Kansas
City, Missouri.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K S T O C K
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3)) and
section 222.3(a) of Federal Reserve Regulation Y
(12 CFR 222.3(a)), an application by Mercantile
Bancorporation Inc., St. Louis, Missouri, ("Applicant"), for the Board's prior approval of the
acquisition of up to 100 per cent of the voting
shares of Red Bridge Bank, Kansas City, Missouri ("Bank").
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Missouri Commissioner of Finance
and requested his views and recommendation.
The Commissioner offered no objection to approval
of the application.
Notice of receipt of the application was published in the Federal Register on September 23,
1971 (36 Federal Register 18910), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been
considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant controls four banks with deposits of
$1,162 million, accounting for 10.1 per cent
of the State's total deposits. (All banking data are
as of December 31, 1970, and reflect holding
company formations and acquisitions approved to
date.) Bank ($8.6 million in deposits) ranks 80th
of 102 banks in the Kansas City market and is the
smallest of five banks within its primary service
area. Applicant's closest subsidiary, the Mercantile Bank and Trust Company, Kansas City, Missouri, is located approximately 13 miles from
Bank and is the 8th largest bank in the Kansas
City area, controlling 2.1 per cent of deposits in
the area's commercial banks. The Mercantile
Bank and Trust Company ($68.6 million in deposits) is a relatively large bank in the downtown
area, while Bank is a small bank serving a suburban
community. No significant competition exists between Bank and the Mercantile Bank and Trust
Company, and in view of the number of intervening banks, Missouri's restrictive branching
law, and other facts of record, it appears unlikely
that such competition would develop. Consummation of the proposal would therefore have no
adverse effects on existing or potential competition.
The financial and managerial resources and
future prospects of Applicant, its subsidiaries, and
Bank are satisfactory and consistent with approval.
Applicant plans to enable Bank to expand loan
and retail depository services and to initiate trust,
bond, and investment services to the extent necessary to meet the growing needs of its economically
developing community. Accordingly, considerations relating to the convenience and needs of the
communities to be served lend some weight toward approval. It is the Board's judgment that
the proposed transaction would be in the public
interest and that the application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above,
provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of St. Louis
pursuant to delegated authority.
LAW DEPARTMENT
1033
By order of the Board of Governors, November
18,1971.
Voting for this action: Chairman Burns and Governors
Robertson, Daane, and Maisel. Absent and not voting: Governors Mitchell, Brimmer, and Sherrill.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
VIRGINIA COMMONWEALTH
BANKSHARES, INC.,
RICHMOND, VIRGINIA
In the matter of the application of Virginia Commonwealth Bankshares, Inc., Richmond, Virginia,
for approval of acquisition of 100 per cent of the
voting shares of the successor by merger to Bank
of Warren, Front Royal, Virginia.
ORDER A P P R O V I N G ACQUISITION OF B A N K STOCK
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by Virginia Commonwealth Bankshares, Inc., Richmond, Virginia, a registered bank holding company, for the Board's prior approval of the acquisition of 100 per cent of the voting shares of the
successor by merger to Bank of Warren ("Bank"),
Front Royal, Virginia. The bank into which Bank
is to be merged has no significance except as a
means of acquiring all of the shares of Bank. Accordingly, the proposed acquisition of the shares
of the successor organization is treated herein as
the proposed acquisition of the shares of Bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Virginia Commissioner of Banking and requested his views and recommendation. The Commissioner recommended approval of
the application.
Notice of receipt of the application was published in the Federal Register on September 22,
1971 (36 Federal Register 18817), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been
considered.
The Board has considered the application in the
light of the factors set forth in section 3(c) of the
Act, including the effect of the proposed acquisition on competition, the financial and managerial
resources and future prospects of the Applicant
and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant, the fourth largest banking organization in Virginia, controls 15 banks which hold
combined deposits of approximately $674.5 million, representing 8.4 per cent of the total commercial bank deposits held by Virginia banks.
(All banking data are as of December 31, 1970,
adjusted to reflect holding company formations
and acquisitions through September 30, 1971.)
The acquisition of Bank ($13.6 million deposits)
would increase Applicant's share of deposits in
the State by only 0.2 percentage point, representing no significant increase in Applicant's control
of deposits in the State, or change in its present
ranking. In a separate application filed concurrently with the instant matter, Applicant proposes
to acquire the successor by merger to the Bank
of Whaleyville, Incorporated, Whaleyville, Virginia. Affiliation of both banks would increase
Applicant's share of the total commercial bank
deposits in Virginia to 8.6 per cent and would not,
therefore, have any significant effect on the concentration of banking resources in Virginia or on
Applicant's Statewide competitive position.
Bank operates its main office and a single
branch in the town of Front Royal. Deposits in
Warren County (Bank's relevant market) are almost equally divided between Bank and a competing bank which operates three branch offices in
Front Royal. However, the competing bank, headquartered in Winchester, 16 miles north of Front
Royal, has total deposits five times greater than
that of Bank. Thus, the proposed affiliation of
Bank with Applicant could serve to enhance competition in Warren County in view of the present
disparity in the competitive strength of the two
institutions.
Applicant's subsidiary office closest to Bank is
located 37 miles east of Front Royal, and apparently no significant present competition exists
between Bank and this office, or any of Applicant's
other offices. It appears that consummation of this
proposal would not foreclose significant potential
competition in the light of the facts of record,
notably, the distances involved, the restrictive
branching laws in the State of Virginia, and the
unlikelihood that Applicant would enter Bank's
1034
FEDERAL RESERVE BULLETIN • DECEMBER 1971
market de novo. Based on the foregoing, and the
record before it, the Board concludes that consummation of the proposed acquisition would not
have an adverse effect on competition in any
relevant market.
Considerations related to financial condition,
management, and prospects, as they relate to
Applicant, its subsidiaries, and Bank are regarded
as satisfactory and consistent with approval of
the application. It is noted that Applicant has
made a public offering of common stock. Considerations relating to the convenience and needs
of the area lend some weight toward approval.
Although the more important banking needs of the
area are being served at the present time, Applicant plans to assist Bank to strengthen its retail
business as well as to add other services to create
a full-service bank. Operating economies of scale
and access to the specialized talents of the holding
company are regarded as likely to benefit Bank
and facilitate its serving the needs of the community. It is the Board's judgment that consummation of the proposed transaction would be in the
public interest, and that the application should
be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Richmond pursuant to delegated authority.
By order of the Board of Governors, November
18, 1971.
Voting for this action: Chairman Burns and Governors
Robertson, Daane, and Maisel. Absent and not voting: Governors Mitchell, Brimmer, and Sherrill.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
In the matter of the application of Virginia Commonwealth Bankshares, Inc., Richmond,
Virginia, for approval of acquisition of 100 per cent
of the voting shares of the successor by merger
to Bank of Whaleyville, Incorporated,
Whaleyville, Virginia.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K S T O C K
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by Virginia Commonwealth Bankshares, Inc., Richmond, Virginia, a registered bank holding company, for the Board's prior approval of the acquisition of 100 per cent of the voting shares of the
successor by merger to Bank of Whaleyville,
Incorporated ("Bank"), Whajeyville, Virginia.
The bank into which Bank is to be merged has no
significance except as a means of acquiring all of
the shares of Bank. Accordingly, the proposed
acquisition of the shares of the successor organization is treated herein as the proposed acquisition
of the shares of Bank.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Virginia Commissioner of Banking and requested his views and recommendation.
The Commissioner recommended approval of the
application.
Notice of receipt of the application was published in the Federal Register on September 22,
1971 (36 Federal Register 18817), providing an
opportunity for interested persons to submit comments and views with respect to the proposal.
A copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c)
of the Act, including the effect of the proposed
acquisition on competition, the financial and managerial resources and future prospects of Applicant and the banks concerned, and the convenience
and needs of the communities to be served, and
finds that:
Applicant, the fourth largest banking organization in Virginia, controls 15 banks which hold combined deposits of approximately $674.5 million,
representing 8.4 per cent of the total commercial
bank deposits held by Virginia banks. (All banking data are as of December 31, 1970, adjusted to
reflect holding company formations and acquisitions through September 30, 1971.) The acquisition of Bank ($4.2 million deposits), would increase Applicant's share of commercial bank deposits in the State by an insignificant amount. In
a separate application filed concurrently with the
instant matter, Applicant proposes to acquire the
successor by merger to the Bank of Warren, Front
1035
LAW DEPARTMENT
Royal, Virginia. Affiliation of both banks would
increase Applicant's share of the total commercial
bank deposits in Virginia to 8.6 per cent and would
not, therefore, have any significant effect on the
concentration of banking resources in Virginia or
on Applicant's Statewide competitive position.
Bank operates its single office in the Town of
Whaleyville (population 332), and serves the surrounding rural area within a radius of about 10
miles. With but 5.9 per cent of total deposits in
the Whaleyville banking market (approximated
by the southern part of Nansemond County including the independent City of Suffolk), Bank is
the smallest of five banking organizations in the
area. Competing in this market are two bank
holding companies and the State's second largest
bank. Applicant's subsidiary office closest to
Bank is located 30 miles northeast of Whaleyville and separated by the intervening City of
Suffolk. Apparently no significant present competition exists between Bank and this office, or
any of Applicant's other offices. It also appears
unlikely that consummation of this proposal
would foreclose potential competition in the light
of the facts of record, notably, Virginia's restrictive
branching laws and the unlikelihood that Applicant would establish a de novo bank in a community of the size Bank serves. Based on the foregoing, and the record before it, the Board concludes that consummation of the proposed transaction would not have an adverse effect on competition in any relevant market.
Considerations relating to financial condition,
management and prospects, as they relate to Applicant, its subsidiaries, and Bank are regarded
as satisfactory and consistent with approval of the
application. The major banking needs of the area
are presently being met by the existing institutions;
however, as a result of its affiliation with Applicant, Bank would be able to offer expanded
and improved services. Further, Applicant states
that it intends to augment the capital of Bank
to enable it to establish branches. Affiliation with
Applicant should enable Bank to improve the
quality and scope of its services and to become
a more viable competitor to the other banks in
the area. It is the Board's judgment that consummation of the proposed transaction would be in
the public interest, and that the application should
be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, provided that the action so approved shall not be con-
summated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Richmond pursuant to delegated authority.
By order of the Board of Governors, November
18, 1971.
Voting for this action: Chairman Burns and Governors
Robertson, Daane, and Maisel. Absent and not voting: Governors Mitchell, Brimmer, and Sherrill.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
BANCOHIO CORPORATION,
COLUMBUS, OHIO
In the matter of the application
Corporation, Columbus, Ohio, for
acquisition of at least 80 per cent
shares of The Niles Bank Company,
of BancOhio
approval of
of the voting
Niles, Ohio.
O R D E R A P P R O V I N G A C Q U I S I T I O N OF B A N K S T O C K
BY B A N K H O L D I N G
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(3) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(3))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by
BancOhio Corporation, Columbus, Ohio, for the
Board's prior approval of the acquisition of at
least 80 per cent of the voting shares of The Niles
Bank Company ( " B a n k " ) , Niles, Ohio.
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Ohio Superintendent of Banks
and requested his views and recommendation.
The Superintendent offered no objection to approval of the application.
Notice of receipt of the application was published in the Federal Register on September 28,
1971 (36 Federal Register 19099), providing an
opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those recived have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c) of
1036
FEDERAL RESERVE BULLETIN • DECEMBER 1971
the Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant, the largest bank holding company
and second largest banking organization in Ohio,
has 28 subsidiary banks controlling deposits in
excess of $1.6 billion, representing approximately
7.2 per cent of the total commercial bank deposits in the State. (All banking data are as of
June 30, 1971, and reflect holding company formations and acquisitions approved by the Board
through October 31, 1971.) Consummation of the
proposal herein would increase the percentage
of total State deposits controlled by Applicant
slightly to 7.3 per cent and Applicant would remain the State's second largest banking organization.
Bank with $24.6 million deposits controls 2.8
per cent of deposits in the Youngstown-Warren
SMSA which approximates the relevant market
within which the competitive aspects of the proposal are to be considered. Bank is the ninth
largest of fourteen banking organizations in the
market; the five largest banks in the market each
have deposits in excess of $100 million. Applicant's closest subsidiary to Bank is located
about 30 miles away from the Mineral Ridge
branch of Bank. There is, therefore, no existing
competition between Applicant and Bank. Ohio's
county-wide branching restrictions (Applicant
neither has subsidiaries within Bank's home
county nor in counties contiguous thereto) and
other facts of record make it unlikely that future
competition will develop between them. Consummation of this proposal would thus foreclose
neither existing nor potential competition between
Bank and any banking subsidiary of Applicant.
Affiliation with Applicant is likely to enable Bank
to compete more effectively in the market while
not having a detrimental effect on the smaller wellestablished banks within the market. Accordingly,
the Board concludes that consummation of the
proposal would not have an adverse effect on
competition in any relevant area.
The financial and managerial resources and prospects of Applicant, its subsidiaries, and Bank are
satisfactory and consistent with approval of the
application. As a result of affiliation with Applicant,
international banking services and fiduciary
services would be made available to Bank's customers through lead bank of Applicant. Appli-
cant would also provide Bank with expertise
which would permit Bank to offer directly FHA
and VA insured loans and which would permit
Bank to expand other services such as floor planning financing. Consequently, considerations related to the convenience and needs factor lend
some weight toward approval. It is the Board's
judgment that the proposed transaction would be
in the public interest and that the application should
be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is
approved for the reasons summarized above, provided that the action so approved shall not be
consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Cleveland pursuant to delegated authority.
By order of the Board of Governors, November
22, 1971.
Voting for this action: Chairman Burns and Governors
Robertson, Mitchell, Daane, and Maisel. Absent and not voting:
Governors Brimmer and Sherrill.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
ASSOCIATED BANK CORPORATION,
DES MOINES, IOWA
In the matter of the application of Associated
Bank Corporation, Des Moines, Iowa, for approval of action to become a bank holding company through acquisition of 55 per cent or more
of the voting shares of Iowa Trust & Savings
Bank, Estherville, Iowa.
O R D E R A P P R O V I N G A C T I O N TO B E C O M E
A BANK HOLDING
COMPANY
There has come before the Board of Governors,
pursuant to section 3(a)(1) of the Bank Holding
Company Act of 1956 (12 U.S.C. 1842(a)(1))
and section 222.3(a) of Federal Reserve Regulation Y (12 CFR 222.3(a)), an application by Associated Bank Corporation, Des Moines, Iowa,
for the Board's prior approval of action whereby
Applicant would become a bank holding company
through the acquisition of 55 per cent or more of
the voting shares of Iowa Trust & Savings Bank,
Estherville, Iowa ( " B a n k " ) .
1037
LAW DEPARTMENT
As required by section 3(b) of the Act, the
Board gave written notice of receipt of the application to the Iowa Superintendent of Banking
and requested his views and recommendation.
The Superintendent recommended approval of the
application.
Notice of receipt of the application was published in the Federal Register on August 21, 1971
(36 Federal Register 16536), providing an opportunity for interested persons to submit comments and views with respect to the proposal. A
copy of the application was forwarded to the
United States Department of Justice for its consideration. Time for filing comments and views
has expired and all those received have been considered.
The Board has considered the application in
the light of the factors set forth in section 3(c) of
the Act, including the effect of the proposed acquisition on competition, the financial and managerial resources and future prospects of the Applicant and the banks concerned, and the convenience and needs of the communities to be
served, and finds that:
Applicant is a recently organized corporation.
Upon consummation of this proposal, Applicant
will control $14.3 million in deposits, representing .2 per cent of total commercial deposits in
Iowa. (All banking data are as of December 31,
1970.) Bank, the second largest of three banks in
the Emmet County banking market, controls 40.6
per cent of the commercial deposits in that market.
Applicant was recently organized for the purpose
of consummating this proposal and has no present
operations or subsidiaries. Therefore, consummation of this proposal would eliminate neither existing nor potential competition, nor does it appear
that there would be any adverse effects on any
bank in the market.
Applicant's financial condition and future prospects are dependent on those of Bank. The financial and managerial resources and future prospects
of Bank are generally satisfactory and consistent
with approval of the application. Although consummation of the proposal would not have any
immediate effects on the convenience and needs of
the community, considerations related to these
factors are consistent with approval. It is the
Board's judgment that consummation of the proposal would be in the public interest and that the
application should be approved.
I T IS H E R E B Y O R D E R E D , On the basis of the
record, that said application be and hereby is approved for the reasons summarized above, pro-
vided that the action so approved shall not be consummated (a) before the thirtieth calendar day
following the date of this Order or (b) later than
three months after the date of this Order, unless
such period is extended for good cause by the
Board or by the Federal Reserve Bank of Chicago
pursuant to delegated authority.
By order of the Board of Governors, November
30, 1971. 1
Voting for this action: Chairman Burns and Governors
Mitchell, D a a n e , M a i s e l , Brimmer, and Sherrill. A b s e n t and
not voting: Governor Robertson.
(Signed) T Y N A N S M I T H ,
Secretary of the Board.
[SEAL]
ORDERS UNDER SECTION 4(c)(8) OF
BANK HOLDING COMPANY ACT
THE CITIZENS AND SOUTHERN
NATIONAL BANK AND THE CITIZENS
AND SOUTHERN HOLDING COMPANY,
SAVANNAH, GEORGIA
In the matter of the applications of The Citizens
and Southern National Bank and The Citizens and
Southern Holding Company, Savannah, Georgia,
for a determination under section 4(c)(8) of the
Bank Holding Company Act of 1956 relating to
the planned activities of their nonbanking subsidiary, The Citizens & Southern Credit Service
Corporation.
ORDER MAKING
DETERMINATION
REGARDING PLANNED
OF N O N B A N K I N G
ACTIVITIES
SUBSIDIARY
UNDER BANK HOLDING
ACT. DOCKET NO.
COMPANY
BHC-99
Applicants, The Citizens and Southern National
Bank and The Citizens and Southern Holding Company, Savannah, Georgia, both holding companies
within the meaning of §2(a) of the Bank Holding
Company Act of 1956 (12 U.S.C. §1841(a)), have
filed a request for a determination by the Board of
Governors that the activities planned to be undertaken by their nonbank subsidiary, The Citizens &
Southern Credit Service Corporation, are of the
kind described in §4(c)(8) of the Act (12 U.S.C.
§ 1843(c)(8)).
The applications were filed prior to the passage
of the Bank Holding Company Act Amendments of
1970. In accordance with the requirements of the
Act prior to the passage of the 1970 Amendments,
a hearing was held in this matter on November 20,
J
T h e vote on this case w a s taken N o v e m b e r 15, 1971.
1038
FEDERAL RESERVE BULLETIN • DECEMBER 1971
1969, pursuant to an Order of the Board of Governors, before a hearing examiner selected by the
Civil Service Commission pursuant to section 3344
of Title 5 of the United States Code. The record
made at said hearing has been duly filed with the
Board. Inasmuch as section 4(c)(8) of the Act, as
amended, is controlling with respect to the issues to
be determined in this matter, on April 29, 1971,
the Board issued a Notice of Opportunity for Hearing in this matter pursuant to section 4(c)(8), as
amended. No request for hearing was received.
On June 9, 1971, therefore, the Board of Governors
issued an Order referring this matter to Hearing
Examiner La Macchia for his recommended decision pursuant to section 4(c)(8), as amended. On
August 10, 1971, Hearing Examiner La Macchia
filed his Recommended Decision, a copy of which
is annexed hereto, wherein he recommended that
the Board make the requested determination subject to certain conditions. The time for filing exceptions to the Recommended Decision has expired. No exception has been filed to the Recommended Decision of the Hearing Examiner. The
findings of fact, conclusions of law, and recommendations of the Hearing Examiner are adopted,
and, on the basis of the entire record,
I T IS H E R E B Y O R D E R E D , That the activities proposed to be undertaken by The Citizens & Southern
Credit Service Corporation are determined to be so
closely related to banking or managing or controlling banks as to be a proper incident thereto. Said
Order is entered on the conditions that The Citizens
& Southern Credit Service Corporation shall
amend its charter so as to authorize it to perform
its functions and make its services available to
banks, but not to lenders other than banks and
amend its proposed contracts with correspondent
banks so as to provide that any correspondent bank
may terminate its contract with The Citizens &
Southern Credit Service Corporation respecting
future transactions upon 90-day prior written
notice, and on the further condition that The
Citizens & Southern Credit Service Corporation
shall be subject to the same limitations with
respect to the ownership of any collateral acquired
in the course of the conduct of its proposed
activities as are its parents The Citizens and
Southern National Bank and The Citizens and
Southern Holding Company, Provided, however,
That Applicants shall not proceed in reliance upon
the terms of this Order for 10 days from the date
hereof and thereafter shall conduct their operations
in conformity with the requirements of section
222.4(c) of Regulation Y (12 CFR 222.4(c)).
By order of the General Counsel of the Board of
Governors, October 14, 1971, acting on behalf of
the Board pursuant to delegated authority (12 CFR
section 265.2(b)(2)).
(Signed) T Y N A N S M I T H ,
tSEAL]
Secretary of the Board.
HEARING EXAMINER'S
RECOMMENDED
DECISION1
The Applicants propose to expand their activities
under a "pool-reserve plan" to include correspondent banks. Currently, such activities are
limited to subsidiary banks. The plan is described
as " a method of pooling of loss reserves with
respect to term loans to small businesses and the
establishment of uniform credit standards with respect thereto, thus permitting banks * * * to adopt
a uniform and liberal credit policy in extending
credit and eliminating the usual method of exchanging participations between these banks."
(Application, p. 4) The question presented for
determination by the Board is whether the proposed activities under the plan can be said to be
"so closely related to banking or managing or
controlling banks as to be a proper incident
thereto." 2
Based upon a consideration of the complete
record, the Applicants are entitled to a favorable
determination under section 4(c)(8) of the Act, as
amended. Findings of fact and conclusions of
law follow:
FINDINGS OF FACT
1. The Citizens and Southern Holding Company (the "Holding Company") and The Citizens
and Southern National Bank (the "National Bank")
are both bank holding companies under section 2(a)
of the Bank Holding Company Act of 1956, as
amended (12 U.S.C. §1841(a)) (the " A c t " ) . (Tr.
8-9) The National Bank owns all of the stock of the
}
T h i s d e c i s i o n is submitted pursuant to the Board's Order For
R e c o m m e n d e d D e c i s i o n of Hearing Examiner dated June 9 ,
1 9 7 1 , w h i c h recites, a m o n g other things, that the Hearing
Examiner previously designated and before w h o m the record
in this matter was made has b e c o m e unavailable; that section
4 ( c ) ( 8 ) of the Bank H o l d i n g C o m p a n y Act of 1956 ( 1 2 U . S . C .
1 8 4 3 ( c ) ( 8 ) was substantively amended on D e c e m b e r 3 1 , 1 9 7 0 ,
by the passage of the Bank H o l d i n g C o m p a n y Act A m e n d m e n t s
of 1970 (Public Law 9 1 - 6 0 7 , 8 4 Stat. 1760); that section
4 ( c ) ( 8 ) , as a m e n d e d , is controlling with respect to the issues to
be determined in this matter; that on April 2 9 , 1 9 7 1 , the Board
issued a Notice of Opportunity for Hearing pursuant to section
4 ( c ) ( 8 ) , as amended; and that no request for hearing was received within the time prescribed.
2
S e c t i o n 4 ( c ) ( 8 ) of the Bank H o l d i n g C o m p a n y A c t of 1 9 5 6 ,
as amended by the Bank H o l d i n g C o m p a n y A c t A m e n d m e n t s
of 1970.
LAW DEPARTMENT
Holding Company. (Application 1). The banking
subsidiaries of the Holding Company within the
meaning of the Act are: the Citizens and Southern
Bank of Albany, the Citizens and Southern DeKalb
Bank, the Citizens and Southern Bank of Dublin,
the Citizens and Southern Bank of East Point, the
Citizens and Southern Emory Bank, the Citizens
and Southern Bank of LaGrange, the Citizens and
Southern Newnan Bank, and Citizens and Southern
Bank of Thomaston (the "Subsidiaries") (Exh.
"H").
2. The Holding Company owns all of the stock
of the Citizens and Southern Credit Service
Corporation ("CSC"). (Application 1). CSC is
a corporation incorporated under the laws of the
State of Georgia on September 13, 1968. (Exh.
" C " ) . Since October 15, 1968, CSC has been performing certain services for the National Bank and
the Subsidiaries pursuant to sections 4(c)(1)(C) and
4(c)(1)(D) of the Act.
(Tr. 37, et seq.)
3. All of the officers, directors and employees
of CSC are officers or employees of the National
Bank or the Holding Company. (Stipulation)
4. The only office of CSC is located at 35 Broad
Street, N.W., Atlanta, Georgia, in the office building in which the principal Atlanta branch office of
the National Bank is located. (Stipulation)
5. The activities of CSC consist of the operation
of a pooled-reserve plan (the "Plan") as well as
incidental consulting and educational services incidental to the up-dating, promotion and development of the small business loan activities of the
National Bank and the Subsidiaries. CSC has entered into a written contract with each bank for
which it is performing services, which contract
is in the form of Exhibit " D " . The Plan operates
in accordance with the contract. (Tr. 37-67) In
establishing the pooled reserve, CSC makes
certain investments, including common stock.
(Tr. 37-38)
6. The principal amount of each loan covered
by the Plan varies from $5,000 ($2,500 prior to
February 11, 1969) to not in excess of $100,000,
with a limit on the total liability of any one borrower to the National Bank and the Subsidiaries of
$250,000. Participating banks must submit all their
"small business loans" as defined in section 1.1 of
Exhibit " D " for participations. Eligibility for participation depends upon certain standards being
met. Small business loans are divided into two
categories, "automatic approved loans", as defined in section 1.5 of Exhibit " D " , and "nonautomatic loans". (Tr. 37-67)
1039
7. Automatic approved loans are small business
loans in the principal amount not exceeding
$25,000 where (a) the total liability of the borrower
to all participating banks does not exceed $25,000
principal amount after the loan is made, (b) where
the business conducted by the borrower has been
in operation at least two full years, (c) where the
operation for the prior fiscal year has resulted in a
profit after provision for all applicable taxes, (d)
where after the prior year's operations the assets of
the business exceeded the liabilities, (e) where the
loan is not a renewal or rework of current debt
owed to the lending bank, and (f) where the
loan is repayable in nearly equal installments over
a period not in excess of five years. (Exh. " D "
§1.5; Tr. 55-57)
8. With respect to all non-automatic loans, participation in the Plan is conditioned on specific
acceptance of each such loan by CSC. Application for participation is submitted to CSC on the
form represented by Exhibit F-l (Exh. " F " represents an application form formerly used by
CSC). (Tr. 44-45). In addition to the application,
the submitting bank must send to CSC copies or
originals of the following:
(a) Financial statements on all involved companies for at least one year and three years if
possible.
(b) Current personal statements on principals
and endorsers.
(c) Current Dun & Bradstreet reports on all involved companies.
(d) One to two year projections of income statements and balance sheets of the borrowing company.
(e) Credit and character reports on principals
and endorsers.
(f) Term loan agreement if used.
(g) A memo commenting on any unfavorable
answers to the Term Loan Checklist (Exh. " E " )
that are significant to an evaluation of the loan
request. (Exh. " F - l " ; Tr. 41).
9. The participating bank pays CSC a fee in
connection with each participating loan in the
amount of 1% per annum of the original principal
amount of the loan over the original term of the
loan. All such fees are paid in full at the time the
loan is submitted to CSC. (Exh. " D " , §2.3; Tr.
46).
10. When a participating loan is eligible for
charge-off in accordance with the lending bank's
standard policy for charge-off on any loan or
when the loan has been classified as "loss" by any
bank supervisory or regulatory authority or by any
1040
FEDERAL RESERVE BULLETIN • DECEMBER 1971
committee of the Board of Directors of the lending
bank or of the officers of the lending bank, CSC will
purchase said loan from the lending bank for the
amount of the unpaid principal balance due at the
time of acquisition after any proceeds generated
by the sale of collateral have been deducted.
(Exh. " D " , §3.1) CSC does have the option to
purchase the loan with the collateral unsold.
(Exh. D. sec. 3.2) The loans are purchased without
recourse against the selling bank, which has no
further liability, other than to continue local collection services as payments may be received (Exh.
D. sec. 2.5).
11. Applicants propose, if this Application is approved, to make available through CSC the Plan
and incidental education and consulting services
to correspondent banks of the National Bank and
of the Subsidiaries (the "Correspondents"),
which Correspondents are not "subsidiaries"
within the meaning of the Act of either the National Bank or the Holding Company. (Application
§9; Tr. 119-123)
12. At the present time the Correspondents,
most of which are small banks, are very reluctant
to make small business loans. This is partly due to
the lack of training and education of the bank personnel in the techniques and procedures of small
business lending. This is also due to the fact that
many small business loans involve risks which
banks with small loss reserves are not willing to
take. (Tr. 132-135)
13. The Plan will allow these banks to spread
the risks on such loans and the incidental educational, promotional and consulting services afforded by CSC will help upgrade the small business
lending techniques and procedures of these banks.
(Tr. 100-102)
14. The experience of the Subsidiaries, which
have participated in the Plan since October 15,
1968, shows that the availability of the services of
CSC to small banks allows such banks to make
small business loans to their local customers which
would not have been made without the CSC
activities. (Tr. 81-89)
15. A part of the business of banking as conducted by the National Bank and the Subsidiaries is the creation, promotion and maintenance of correspondent banking relationships.
(Tr. 120-123; Exh. " L " ) A bank that carries an
account or maintains a balance with another bank
is known as a "correspondent bank" (Tr. 99, 144).
The Applicants consider as "correspondents"
those banks that have a close working relationship with the C & S National Bank (Tr. 116).
Correspondent banks may request the bank with
which they carry an account to participate in making
loans (Tr. 99), and it is a common banking practice
in Georgia for larger banks to arrange for the
purchase and sale of participations in loans made
by small, local banks; this activity is a part of
correspondent banking as presently conducted in
Georgia (Exh. L, Tr. 158ff). Check clearing and
investment assistance are other services provided
to correspondent banks (Tr. 144, 145).
16. The extension of the activities of CSC to
Correspondents would inure to the benefit of the
National Bank and the Subsidiaries by strengthening the correspondent banking relationships between them and their Correspondents. The availability of the services of CSC to the Correspondents would enable them better to meet the credit
needs of their local customers, thus assisting
the Correspondents in their competition for local
loans and deposits. (Tr. 119-123, 132-135)
17. By applying the ratio of small business loans
to deposits, for the applicants' subsidiaries outside the Atlanta area, to the deposits of 213 selected correspondent banks, the Applicants estimate that the correspondents have a potential
small business loan volume of over $40 million,
and project that CSC might cover up to $10 million of these loans over the next five years. This
would be about one-third of CSC's expected total
volume. (Tr. 114-116, 124-126, 139-142)
18. In addition to the Plan, CSC in cooperation with the National Bank furnishes incidental
educational and promotional services to participating banks, such as seminars in the local communities attended by local bankers and their customers
and individual advising and consulting with regard
to particular small business loans. (Tr. 126-128)
19. The activities of CSC are viewed by the
Georgia insurance authorities as those of a salvage
and liquidation company, not doing an insurance
business (TR.. 151).
20. The proposed agreement to be entered into
between CSC and the Applicants' correspondent
banks does not provide any termination privilege
to the correspondent bank (Exh. D, §4).
21. The increases in both quantity and quality
of small business loans by small participating
banks, resulting from the Plan, will benefit the
public by providing greater convenience to the
public by affording the customers of such banks
better opportunities to obtain financing in their
local communities. Such increases will also benefit the public by increasing competition, since the
ability of the small banks to compete with larger
banks will be increased. (Tr. 81, 83, 87, 93, 96,
101-102)
1041
LAW DEPARTMENT
22. The resulting increases in loans by the small
participating banks will help them to increase
their deposits, thus adding to their overall economic
strength and helping to avoid undue concentration of resources in larger banks. (Tr. 82, 83, 88)
23. The improved expertise and small business
lending techniques of the small participating banks
will benefit the public by helping to avoid unsound
banking practices which might result from the making of small business loans by inexperienced and
untrained lending officers. (Tr. 87)
24. The Plan will also help prohibit unsound
banking practices by affording advance review by
CSC of potential small business loans, where requested by the local banks, thus giving the local
banks the benefit of the expertise and experience
of CSC in making particular credit judgments, and
thereby reducing the chances of making unsound
loans. (Tr. 82, 89)
25. The improved procedures and expertise
developed by the participating banks will make
their lending officers more efficient, and benefit
the public by promoting gains in efficiency. (Tr.
87)
26. The educational seminars to which customers of the local banks are invited will benefit the
public by improving the financial and administrative know-how of the local businessmen, thus
helping them to improve their businesses, resulting in increased competition among the local business community and helping to avoid undue concentration of resources due to small business
failures. (Tr. 87)
27. Extension of the Plan as sought by Applicants will not result in any decrease in competition or in any unfair competition, since other
large banks will likely follow in a general pattern
by affording similar services for their correspondent
banks, if the CSC Plan proves successful. (Tr.
123, 153)
28. The Plan will promote greater competition
between the local participating banks and their
local competitors by causing the competitors to
improve their small business lending techniques.
(Tr. 153)
DISCUSSION
Under section 4(c)(8) of the Bank Holding
Company Act of 1956, as amended by the Bank
Holding Company Act Amendments of 1970, the
Board may approve this application if it finds the
activities of Service are 4 'so closely related to
banking or managing or controlling banks as to be
a proper incident thereto." The expanded activities in which Service proposes to engage meet
these conditions.
In amendments to Regulation Y, section
222.4(a), effective June 15 and July 1, 1971, the
Board has set forth eight types of activities which
it deems closely related to banking. The activities
of Service would not fall squarely within any of
the categories, or any combination of the eight.
However, the listing of the categories does not
preclude the existence of other activities which
might be shown to meet the test of section 4(c)(8).
The record shows that the expanded services of
Service would be offered only to correspondent
banks of the Citizens and Southern National Bank
and subsidiaries of the Citizens and Southern
Holding Company; that numerous services will be
offered by Service to correspondent banks participating in the program to better enable them
to make small business loans; that the existence
of a "pooled reserve" will make it more feasible
for smaller banks to extend credit to small business; and that the "pooled reserve" has many of
the same practical effects as a loan participation
among banks, a practice now common among
Georgia banks. These activities relate to financing
small business and providing a kind of credit insurance on small business loans made by participating correspondent banks. These factors provide
sufficient basis for a determination that the activities of Service are "closely related to banking."
Applicants have shown that it can reasonably
be expected that the increased ability of participating correspondent banks to knowledgeably extend
small business credit will benefit small business
concerns in cities in which the banks are located,
thus indirectly benefiting the economics of those
cities. Applicants have also shown that the increased ability of local banks to more effectively
engage in this business can reasonably be expected to provide many small businesses a more
convenient source of credit, and may enhance
the effectiveness of local banks in competing with
banks in larger cities to meet the credit needs of
small businesses. There is no evidence in the
record that the activities of Service will result
in an undue concentration of resources, decreased
or unfair competition, conflicts of interest, or unsound banking practices. These factors provide
sufficient basis for a determination that the activities of Service are a "proper incident" to banking.
CONCLUSIONS OF L A W
1. The present and proposed activities of CSC
are so closely related to banking or managing or
controlling banks as to be a proper incident thereto.
2. The performance of the present and proposed
activities by CSC can reasonably be expected to
produce benefits to the public that outweigh possible adverse effects.
The foregoing conclusions are made conditionally upon the Applicants doing the following: (a)
amending the charter of CSC so as to authorize
it to perform its functions and make its services
available to any banks, but not to*lenders other
than banks; and (b) amending its proposed contract with correspondent banks so as to provide
that the correspondent banks may terminate the
agreement with respect to future transactions
upon 90 days prior written notice thereof to CSC.
RECOMMENDATIONS
Subject to the condition specified in the preceding paragraph, it is recommended that the Board
of Governors of the Federal Reserve System: (1)
enter an order determining the issues in this proceeding in accordance with the above Findings of
Fact and Conclusions of Law, and (2) grant the
request of The Citizens and Southern Holding
Company for an order pursuant to section 4(c)(8)
of the Bank Holding Company Act of 1956, as
amended by the Bank Holding Company Act
Amendments of 1970.
(Signed) P H I L I P J . L A M A C C H I A ,
Hearing Examiner
ZIONS UTAH
BANCORPORATION,
SALT LAKE CITY,
ORDER APPROVING
OF INDUSTRIAL
UTAH
ACQUISITION
BANK
Zions Utah Bancorporation, Salt Lake City,
Utah, a bank holding company within the meaning of the Bank Holding Company Act of 1956,
as amended, has applied for the Board's approval
under § 4(c)(8) of the Act and § 222.4(b)(2) of the
Board's Regulation Y to acquire all of the voting
shares of Guaranty Industrial Bank, Loveland,
Colorado. Notice of the application, affording
opportunity for interested persons to submit comments and views, has been duly published. The
time for filing comments and views has expired
and all received have been considered.
The operation by a bank holding company of
an industrial bank is an activity that the Board
has determined is closely related to banking if conducted in the manner authorized by State law, so
long as the institution does not both accept demand deposits and make commercial loans and the
activities of the institution are not conducted in a
1042
manner that is inconsistent with limitations the
Board has established pursuant to § 4(c)(8) of the
Act (§ 222.4(c) of Regulation Y).
It appears that Guaranty Industrial Bank does
not accept demand deposits and engages solely
in the activities described in § 222.4(a)(2) of
Regulation Y. Accordingly, the activities of Guaranty are closely related to banking.
Guaranty has assets of approximately $1 million; it serves a portion of Laramie County. Zions
presently operates four industrial banks in Colorado, one of which (with assets of $373,000) is
located 15 miles south of Loveland in Fort Collins
on the periphery of Laramie County. Numerous
other financial institutions compete with Guaranty
for savings deposits; 13 small loan companies,
including three in Loveland, and a number of
credit unions compete with Guaranty for loans.
It is anticipated that, following consummation
of the proposal, Zions would augment Guaranty's
capital structure, which will enable Guaranty to
expand on a sound basis and allow it to make
larger loans to individual borrowers. Affiliation
with Zions would also provide Guaranty with
access to improved marketing and auditing services. As a result, Guaranty should be in a position better to serve its customers and to provide
more effective competition in its market area.
There is no significant competition between
Zions' existing subsidiaries and Guaranty. Because of the large number of competing institutions within Laramie County, consummation of the
proposal would only minimally decrease competition. There is no evidence in the record indicating that consummation of the proposed transaction would result in any undue concentration
of resources, unfair competition, conflicts of interests, unsound banking practices, or other adverse effects on the public interest.
Based upon the foregoing and other considerations reflected in the record, the Board has determined that the balance of the public interest factors the Board is required to consider under
§ 4(c)(8) is favorable. Accordingly, the proposed
activity is a proper incident to banking or managing
or controlling banks within, the meaning of that
section. The application is approved, but the transaction shall not be consummated until 10 days
from the date hereof.
By order of the General Counsel of the Board,
November 19, 1971, acting on behalf of the Board
pursuant to delegated authority (12 CFR 265.2
(b)(2)).
(Signed) T Y N A N S M I T H ,
[SEAL]
Secretary of the Board.
Announcements
RESIGNATION OF MR. SHERRILL AS A
MEMBER OF THE BOARD OF GOVERNORS
Mr. William W. Sherrill, who had been a Member
of the Board since May 1, 1967, resigned effective
at the close of business on November 15, 1971.
At the time of his appointment as a Member of
the Board of Governors, Mr. Sherrill was a member of the Board of Directors of the Federal Deposit Insurance Corporation. Before his service
with the Federal Government in Washington, he
had served in various official capacities with the
City of Houston, Texas, and as President of the
Homestead Bank of Houston and Executive Vice
President of the Jamaica Corporation.
Mr. Sherrill's letter of resignation and the President's letter of acceptance follow:
November 15, 1971.
My dear Mr. President:
I respectfully submit my resignation as a Member of the Board of Governors of the Federal Reserve System. It has been a privilege to serve in
this position, and my decision to leave has been
reached after careful consideration and with much
reluctance.
It has been a genuine pleasure serving with Dr.
Arthur Burns and my other colleagues, all men
of unusual competence, and I shall miss their
association. Dr. Burns' appointment as Chairman
of the Federal Reserve Board will be marked, I
believe, as one of the best appointments made
by any President.
May I say that your courageous leadership in
moving the nation toward economic stability has
been a source of inspiration to me, Mr. President.
As a private citizen, I hope to provide you continuing support as you carry the heavy burdens of
your office. You may be sure that government
service has made me recognize more clearly than
most citizens how very much we all depend upon
you.
Faithfully yours,
William W. Sherrill
The White House
December 10, 1971.
Dear Mr. Sherrill:
Your letter of November 15 has come to my
attention, and as you have requested, I accept
your resignation as a Member of the Board of
Governors of the Federal Reserve System, effective November 15, 1971.
Your distinguished service in government,
first as Director of the Federal Deposit Insurance
Corporation and then for four years as a Member
of the Board, has justly earned you the gratitude
and admiration of every American. You have discharged your exacting responsibilities with great
skill and dedication, and I have especially valued
your important contributions and support during
the past few months in our efforts to revitalize
the nation's economy.
As you return to private life, you may be certain
that I am pleased to join with your many friends
and colleagues here in extending my warm wishes
for continued success and happiness in the years
ahead.
Sincerely,
Richard Nixon
APPOINTMENT OF DIRECTORS
Fred Adams, Jr., was appointed by the Board of
Governors as a director of the New Orleans
Branch of the Federal Reserve Bank of Atlanta,
effective October 27, 1971, for the remainder of
a 3-year term expiring December 31, 1971, and
for a new 3-year term beginning January 1, 1972.
President of Cal-Maine Foods, Inc., in Jackson,
Mississippi, he succeeds Frank G. Smith, former
vice president of Mississippi Power & Light Company in Jackson, who resigned.
The Board of Governors also appointed John
E. Sheehan, of Louisville, Kentucky, as a director
of the Louisville Branch of the Federal Reserve
Bank of St. Louis for the remainder of a term that
expires December 31, 1971. Mr. Sheehan, who
is chairman of the board of Cohart Refractories
Company, succeeds the late Dr. Ronald E. Reitmeier. Director John G. Beam was elected chairman of the Louisville Branch for the rest of 1971.
1043
1044
FEDERAL RESERVE BULLETIN • DECEMBER 1971
ELECTION OF CLASS A AND CLASS B DIRECTORS
The Federal Reserve Banks have announced the results of the annual elections by their member banks of
Class A and Class B directors as shown below. The directors have been elected to serve for three years,
beginning January 1, 1972:
Boston
Class A
Class B
New York
Class A
Class B
Philadelphia
Class A
Class B
Cleveland
Class A
Class B
Richmond
Class A
Class B
C. W H E E L E R , Chairman of the Board and President, New England Merchants National Bank of Boston, Massachusetts. Mr. Wheeler
succeeds John Simmen, Chairman of the Board and Chief Executive
Officer, Industrial National Bank of Rhode Island, Providence.
MARK
W. G O R D O N R O B E R T S O N , General Trustee, Bangor Punta Corporation,
Bangor, Maine. (Re-elected)
N O R M A N B R A S S L E R , Chairman of the Board and Chief Executive
Officer, New Jersey Bank N. A., Clifton, New Jersey. Mr. Brassier
succeeds Charles E. Treman, Jr., President, Tompkins County Trust
Company, Ithaca, New York.
President and Chief Executive Officer, Kennecott Copper Corporation, New York, New York. Mr. Milliken succeeds
Milton C. Mumford, Chairman of the Board, Lever Brothers Company, New York, New York.
FRANK R . MILLIKEN,
H. D A W S O N , President and Chairman of the Board, Bank of
Delaware, Wilmington. Mr. Dawson succeeds Harold F. Still, Jr.,
President, Central Penn National Bank, Philadelphia, Pennsylvania.
JAMES
C. G R A H A M B E R W I N D , JR., President and Chief Executive Officer,
Berwind Corporation, Philadelphia, Pennsylvania. (Re-elected)
A. B R U C E B O W D E N , Vice Chairman of the Board, Mellon National
Bank and Trust Company, Pittsburgh, Pennsylvania. Mr. Bowden
succeeds George F. Karch, Chairman of the Board and Chief Executive
Officer, The Cleveland Trust Company, Cleveland, Ohio.
D O N A L D E. N O B L E , President and Chief Executive Officer, Rubbermaid Incorporated, Wooster, Ohio. Mr. Noble succeeds J. William
Henderson, Henderson & Associates, Columbus, Ohio.
N. E V A N S , President, The Farmers and Merchants National
Bank, Cambridge, Maryland. Mr. Evans succeeds Douglas D. Monroe,
Jr., President, Chesapeake National Bank, Kilmarnock, Virginia.
EDWARD
C. H O F H E I M E R , II, Member of the Executive Committee, Lone
Star Industries, Inc., Norfolk, Virginia. Mr. Hofheimer succeeds Charles
D. Lyon of Hagerstown, Maryland.
HENRY
1045
ANNOUNCEMENTS
Atlanta
Class A
Class B
Chicago
Class A
Class B
St. Louis
Class A
Class B
Minneapolis
Class A
J A C K P. K E I T H , President, First National Bank of West Point, Georgia.
Mr. Keith succeeds John W. Gay, President, The First National Bank
of Scottsboro, Alabama.
O W E N C O O P E R , President, Mississippi Chemical Corporation and
Coastal Chemical Corporation, Yazoo City, Mississippi. (Re-elected)
W H I T M O R E , President, The Okey-Vernon National Bank,
Corning, Iowa. (Re-elected)
FLOYD F.
T. H A C K E T T , Treasurer and Vice President (Finance), Cummins
Engine Company, Columbus, Indiana. Mr. Hackett succeeds Joseph
O. Waymire of Indianapolis, Indiana.
JOHN
S. J O N E S , Chairman and Chief Executive Officer, First National
Bank in St. Louis, Missouri. Mr. Jones succeeds James P. Hickok, Director, First National Bank in St. Louis, Missouri.
EDWIN
S. T U H O L S K I , President, Mead Johnson and Company, Evansville, Indiana. Mr. Tuholski succeeds Sherwood J. Smith, Chairman
of the Board and President, D/P Computer Services, Inc., Evansville,
Indiana.
JAMES
R O Y H. J O H N S O N , President, First National Bank of Negaunee, Michigan. Mr. Johnson succeeds Gustav A. Dahlen, President, First National
Bank of Iron wood, Michigan.
H. B A I L E Y , President, The Cretex Companies, Inc., Elk River,
Minnesota. (Re-elected)
Class B
JOHN
Kansas City
Class A
JOHN
Class B
Dallas
Class A
Class B
A. O ' L E A R Y , Chairman of the Board, The Peoples State Bank,
Luray, Kansas. (Re-elected)
C. L O V E , President, Kerr-McGee Corporation, Oklahoma
City, Oklahoma. Mr. Love succeeds Stanley Learned, Consultant,
Phillips Petroleum Company, Bartlesville, Oklahoma.
FRANK
A. W. R I T E R , JR., President, The Peoples National Bank of Tyler,
Texas. (Re-elected)
H U G H F. S T E E N , President, El Paso Natural Gas Company, El Paso,
Texas. (Re-elected)
1046
FEDERAL RESERVE BULLETIN • DECEMBER 1971
San Francisco
Class A
Class
B
E. SCHROEDER , President, First National Bank of Orange County,
Orange, California. Mr. Schroeder succeeds Ralph V. Arnold, Chairman of the Board and Chief Executive Officer, First National Bank and
Trust Company, Ontario, California.
CARL
CHARLES R . D A H L , President and Chief Executive Officer, Crown
Zellerbach Corporation, San Francisco, California. Mr. Dahl succeeds
Herbert D. Armstrong, Treasurer, Standard Oil Company of California,
San Francisco, California.
CHANGE IN DISCOUNT RATE
The Board of Governors on December 10, 1971,
approved actions by the directors of the Federal
Reserve Banks of Boston, St. Louis, Kansas City,
and San Francisco, reducing the discount rate of
those banks from 43A per cent to AV2 per cent,
effective December 13. Subsequently, the Board
approved similar actions by the directors of the
Federal Reserve Banks of New York, Philadelphia, Cleveland, and Chicago, effective December 17.
The action was taken in recognition of the prevailing levels of market interest rates and to assist
the progress of economic expansion.
CHANGE IN MARGIN REQUIREMENTS
The Board of Governors on December 3, 1971,
lowered its margin requirement for purchasing or
carrying stocks from 65 to 55 per cent, effective
December 6.
In making the change, the Board cited the
moderate level of outstanding stock market credit
and the absence of indications of the excessive use
of such credit. Margin credit extended by brokers
totaled about $5 billion at the end of October compared with the peak of about $6.5 billion reached
during June 1968. At large banks, loans for the
purpose of purchasing or carrying securities currently amount to about $2.5 billion.
This action covers new extensions of credit by
brokers and dealers (Regulation T) and loans by
banks and other lenders (Regulations U and G,
respectively) for the purpose of purchasing or
carrying stocks registered on a national stock
exchange or named in the Board's over-thecounter margin list.
No change was made in the 50 per cent margin
requirement for purchasing or carrying convertible
bonds or in the 70 per cent 4 'retention requirement"
applicable to undermargined accounts. This latter
requirement specifies the portion of the proceeds
of a sale of securities from a margin account that
must be retained in the account if its equity does
not match the new margin requirement.
In line with the new margin requirement, the
required deposit on short sales was also lowered
from 65 to 55 per cent, effective December 6.
Federal Reserve margin requirements set the
minimum down payment that must be made to
purchase margin securities. Under a 55 per cent
margin requirement, a purchaser is required to pay
55 per cent of the purchase price and may obtain
credit for the remaining 45 per cent.
DEMAND DEPOSIT OWNERSHIP DATA
Announcement was made in the November
BULLETIN of plans to issue each month a release
containing monthly and quarterly estimates on
"Demand Deposit Ownership." It was contemplated that the release for late November, for
example, would carry figures for October, whereas
the November BULLETIN would carry figures only
through September.
In view of the reporting schedules of banks and
the need for additional amounts of data on which
to base the estimates, a decision has been made
to release the deposit ownership data only in the
monthly B U L L E T I N .
NEW PUBLICATIONS
Joint Treasury—Federal Reserve Study of the U.S.
Government Securities Market: Staff Studies—
Part 2 is available for distribution. It consists of the
following three papers: "Financial and Economic
Environment of the 1960's in Relation to the U.S.
Government Securities Market" by Edward C.
Ettin; "Federal Agency Debt and Its Secondary
Market" by Janice Peskin; and "Market Performance as Reflected in Aggregative Indicators"
by Louise Ahearn and Janice Peskin.
The second of three volumes on the Reappraisal of the Federal Reserve Discount Mechanism is also available for distribution. Volume 2
consists of the following: "The Legitimacy of
ANNOUNCEMENTS
Central Banks" by Kenneth E. Boulding; "Selective Credit Control" by Lester V. Chandler; " A
Review of Recent Academic Literature on the
Discount Mechanism" by David M. Jones;
"Summary of Issues Raised at the Academic
Seminar on Discounting" by Priscilla Ormsby;
"Some Proposals for a Reform of the Discount
Window" by Franco Modigliani; " A n Evaluation
of Some Determinants of Member Bank Borrowing" by Leslie M. Alperstein; "Toward a Seasonal
Borrowing Privilege: A Study of Intra-year Fund
Flows at Commercial Banks" by Emanuel
Melichar; and "Capital and Credit Requirements
of Agriculture, and Proposals to Increase Availability of Bank Credit" by Emanuel Melichar and
Raymond J. Doll.
Copies may be obtained from Publications
Services, Division of Administrative Services,
Board of Governors of the Federal Reserve System,
Washington, D.C. 20551. The price of the Government securities study is $1.00 per copy; in
quantities of 10 or more sent to one address, 85
cents each. The price of the discount study is $3.00
per copy; in quantities of 10 or more sent to one
address, $2.50 each.
CHANGE IN FEDERAL RESERVE
DISTRICT BOUNDARIES
The Board of Governors has announced its approval of the transfer of 24 counties in Western
Missouri from the St. Louis Federal Reserve
1047
District to the Kansas City District, effective
January 24, 1972.
This will be the first change in Federal Reserve
district boundaries since April 15, 1926, when two
counties in New Mexico were transferred from the
Dallas District to the Kansas City District.
The Western Missouri area affected by the
transfer is economically aligned with metropolitan
Kansas City. The transfer would result in shorter
distances for check and cash delivery routes.
Banks in the 24-county area are located from 25 to
140 miles from Kansas City compared with 165
to 290 miles from St. Louis.
Counties affected by the transfer are Benton,
Caldwell, Carroll, Cedar, Chariton, Cooper,
Daviess, Grundy, Harrison, Henry, Hickory,
Howard, Johnson, Lafayette, Linn, Livingston,
Mercer, Morgan, Pettis, Putnam, Ray, St. Clair,
Saline, and Sullivan.
ADMISSION OF STATE BANKS TO
MEMBERSHIP IN THE FEDERAL RESERVE
SYSTEM
The following banks were admitted to membership
in the Federal Reserve System during the period
November 16, 1971, through December 15, 1971:
Mississippi
Fox worth
Missouri
Jackson
Fox worth Bank
Jackson Exchange Bank
National Summary of Business Conditions
Released for publication December 15
Industrial production increased in November.
Employment also increased, but not as rapidly as
the civilian labor force, and the unemployment
rate rose. Wholesale prices were up somewhat
with industrial prices unchanged. Commercial
bank credit and time and savings deposits increased and the money stock rose slightly. Between mid-November and mid-December, market
interest rates changed little on balance, with bill
rates lower and government bond rates somewhat
higher.
INDUSTRIAL PRODUCTION
Industrial production advanced 0.8 per cent in
November, following no change in October. The
November index at 107.0 per cent (1967= 100)
was 4.3 per cent above the low a year earlier.
There were gains in output of consumer goods,
business equipment, and materials, but defense
equipment output continued to decline.
Among consumer goods, production of furniture, some appliances, and nondurable goods continued to advance. Auto assemblies were at an
annual rate of 8.6 million units compared with an
8.5 million rate in September and October.
Business equipment output rose in November following a decline in October and since May business equipment output has increased by 4 per cent.
Production of construction products and steel also
INDUSTRIAL
P R O D U C T I O N
RATIO SCALE. 1967=100
MATERIALS
^ w ^ / p R 0 D U C T S , TOTAL
100
increased in November. The partial recovery in
coal output following the strike settlement accounted for 0.2 per cent of the increase in the total
index. Production of most other materials, however, changed little.
EMPLOYMENT
Unemployment rose to 6.0 per cent in November
from 5.8 per cent in October with employment increasing less than the labor force. Nonfarm payroll
employment increased moderately in November
and in manufacturing the gains were small. The
average workweek of manufacturing production
workers rose 0.3 to 40.1 hours and was 0.5 hour
above a year earlier.
RETAIL SALES
The value of retail sales in November increased
more than 1.5 per cent following a decline in October, according to the advance report. Sales at
durable goods stores rose 2 per cent and sales at
nondurable goods stores increased 1.5 per cent.
Unit sales of new domestic autos declined 7 per
cent from the advanced October rate and were at
an annual rate of 9.5 million units.
WHOLESALE AND CONSUMER PRICES
Wholesale prices, seasonally adjusted, increased
0.1 per cent between October and November. Offsetting changes among several commodity groups
left the index of industrial commodities unchanged,
but seasonally adjusted increases in prices of
grains, livestock, meats, and fresh and dried fruits
and vegetables served to increase farm and food
products by 0.3 per cent.
Consumer prices rose 0.1 per cent, after seasonal
adjustment, in October. Seasonally adjusted food
prices were unchanged and those of other commodities fell 0.1 per cent. The increase in service
costs slowed markedly to 0.2 per cent.
BANK CREDIT, DEPOSITS, AND RESERVES
F . R . i n d e x e s , s e a s o n a l l y adjusted. Latest
1048
figures:
November.
Commercial bank credit, adjusted for transfers of
loans between banks and their affiliates, increased
moderately further in November but at a somewhat
slower pace than in other recent months. Total
loans expanded more slowly reflecting declines in
business and security loans, but real estate and
consumer loans continued to grow rapidly. Bank
acquisitions of securities were at a faster pace than
in the July-October period, but holdings of issues
other than U.S. Governments increased less
rapidly.
The narrowly-defined money stock increased
at an annual rate of less than 1 per cent in November—the same as the revised October pace. On
balance, the money stock increased only slightly
between July and November. Total time and
savings deposits rose at an annual rate of about
10 per cent in November, considerably below
the October pace but little different from the thirdquarter expansion. In November, large negotiable
CD's declined but growth in other time and savings
deposits continued strong.
Net borrowed reserves of member banks averaged about $105 million over the 5 weeks ending
December 1, compared with $245 million in Octo-
ber. Excess reserves increased but member bank
borrowings remained about unchanged.
SECURITY MARKETS
Treasury bill rates were about 20 basis points
lower to 10 basis points higher between midNovember and mid-December, with the increases
on the longer issues reflecting the large new supply
of tax anticipation bills. The 3-month issue was
bid at about 3.95 per cent in mid-December,
compared with around 4.15 per cent a month
earlier. Yields on U.S. Government notes and
bonds rose somewhat over the same period.
New corporate bond yields declined on balance
from mid-November to mid-December, while
yields on seasoned corporate securities and municipal securities rose moderately.
Common stock prices increased steadily, on
average-to-heavy volume in the same period.
I N T E R E S T
PRICES
R A T E S
ALL COMMODITIES
TREASURY BILLS
ALL ITEMS
LESS FOOD/
Bureau of Labor Statistics. " F a r m p r o d u c t s and f o o d s " is B L S
" F a r m products, and p r o c e s s e d f o o d s and f e e d s . " Latest
figures: C o n s u m e r , O c t . ; W h o l e s a l e , N o v .
D i s c o u n t rate, range or l e v e l f o r all F . R . B a n k s . W e e k l y
a v e r a g e market y i e l d s f o r U . S . G o v t , b o n d s m a t u r i n g in 10
years or m o r e and for 9 0 - d a y Treasury bills. Latest figures:
week ending D e c . 4.
1049
A 1
Financial and Business Statistics
CONTENTS
A 3
GUIDE TO TABULAR PRESENTATION
A 3
STATISTICAL RELEASES: REFERENCE
U.S. STATISTICS:
A 4
A 8
A 9
A 10
A 11
A 12
A 14
A 15
A 16
Member bank reserves, Federal Reserve Bank credit,
and related items
Federal funds—Major reserve city banks
Reserve Bank interest rates
Reserve and margin requirements
Maximum interest rates; bank deposits
Federal Reserve Banks
Open market account
Reserve Banks; bank debits
U.S. currency
A
A
A
A
A
A
A
A
A
A
A
A
A
17
18
19
20
26
31
32
33
33
34
37
38
39
Money stock
Bank reserves; bank credit
Banks and the monetary system
Commercial banks, by classes
Weekly reporting banks
Business loans of banks
Demand deposit ownership
Loan sales by banks
Open market paper
Interest rates
Security markets
Stock market credit
Savings institutions
A
A
A
A
A
A
A
41
42
44
47
50
52
56
Federally sponsored credit agencies
Federal finance
U.S. Government securities
Security issues
Business finance
Real estate credit
Consumer credit
Continued on next page
96 FEDERAL RESERVE BULLETIN • DECEMBER 1971
U.S. STATISTICS—Continued
A
A
A
A
A
A
A
A
60
64
64
66
68
68
70
72
Industrial production
Business activity
Construction
Labor force, employment, and earnings
Consumer prices
Wholesale prices
National product and income
Flow of funds
INTERNATIONAL STATISTICS:
A
A
A
A
A
A
A
A
A
A
74
75
76
77
78
91
92
93
94
95
A 107
U.S. balance of payments
Foreign trade
U.S. gold transactions
U.S. reserve assets; position in the IMF
International capital transactions of the United States
Foreign exchange rates
Money rates in foreign countries
Arbitrage on Treasury bills
Gold reserves of central banks and governments
Gold production
INDEX TO STATISTICAL TABLES
A 3
Guide to Tabular Presentation
SYMBOLS AND ABBREVIATIONS
e
Estimated
c
Corrected
p
Preliminary
r
Revised
rp
Revised preliminary
I, II,
III, IV Quarters
n.e.c.
Not elsewhere classified
A.R.
Annual rate
Monthly (or quarterly) figures adjusted for
S A.
seasonal variation
N.S.A.
IPC
SMSA
A
L
S
U
*
Monthly (or quarterly) figures not adjusted
for seasonal variation
Individuals, partnerships, and corporations
Standard metropolitan statistical area
Assets
Liabilities
Sources of funds
Uses of funds
Amounts insignificant in terms of the particular unit (e.g., less than 500,000 when
the unit is millions)
(1) Zero, (2) no figure to be expected, or
(3)figuredelayed
GENERAL INFORMATION
Minus signs are used to indicate (1) a decrease, (2) a
negative figure, or (3) an outflow.
A heavy vertical rule is used in the following instances: (1) to the right (to the left) of a total when the
components shown to the right (left) of it add to that
total (totals separated by ordinary rules include more
components than those shown), (2) to the right (to the
left) of items that are not part of a balance sheet, (3) to the
left of memorandum items.
"U.S. Govt, securities" may include guaranteed
issues of U.S. Govt, agencies (the flow of funds figures
also include not fully guaranteed issues) as well as direct
obligations of the Treasury. "State and local govt. ' also
includes municipalities, special districts, and other political subdivisions.
In some of the tables details do not add to totals because
of rounding.
The footnotes labeled N O T E (which always appear
last) provide (1) the source or sources of data that do
not originate in the System; (2) notice when figures are
estimates; and (3) information on other characteristics
of the data.
TABLES PUBLISHED QUARTERLY, SEMIANNUALLY, OR ANNUALLY,
WITH LATEST BULLETIN REFERENCE
Quarterly
Flow of funds .
Page
Issue
Oct. 1971
Annually—Continued
A-72—A-73.<
Semiannually
Banking offices:
Analysis of changes in number
Aug. 1971
On, and not on, Federal Reserve
Par List, number
Aug. 1971
A-96
A-97
Issue
Page
Banks and branches, number, by class
and State
Apr. 1971
Flow of funds:
Assets and liabilities:
1959-70
1970 data (revised)
Flows:
1966-70
1970 selected data (revised)
A-94—A-95
Mar. 1971 A-71.10—A-71.21
June 1971
A-71.2—A-71.3
Mar. 1971
June 1971
A-70—A-71.9
A-70—A-71.1
Feb. 1971
June 1971
A-94—A-95
A-94—A-95
June 1971
June 1971
July 1971
A-94—A-103
A-104—A-109
A-100—A-105
Stock exchange firms, detailed debit
and credit balances
Sept. 1970
A-94—A-95
Annually
Bank holding companies:
List of, Dec. 31, 1970
Banking offices and deposits of
group banks, Dec . 3 1 , 1 9 7 0
Banking and monetary statistics,
1970
June 1971
A-110
Aug .1971
A-98
Feb. 1971
Mar. 1971
July 1971
A-98—A-99
A-94—A-106
A-96—A-99
Income and expenses:
Federal Reserve Banks
Insured commercial banks
Member banks:
Calendar year
Income ratios
Operating ratios
Statistical Releases
LIST PUBLISHED SEMIANNUALLY, WITH LATEST BULLETIN REFERENCE
Issue
Anticipated schedule of release dates for individual releases.
Page
Dec. 1971
A-103
A 4
BANK RESERVES AND RELATED ITEMS • DECEMBER 1971
MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS
(In millions o f dollars)
Factors supplying reserve funds
Reserve Bank credit outstanding
Period or date
U.S. Govt, securities
Total
Bought
outright
1
Held
under
repurchase
agreement
Discounts
and
advances
Float 2
Other
F.R.
assets 3
Gold
stock
Total *
Special
Drawing
Rights
certificate
Averages of daily figures
2,404
24,744
21,606
17,518
22,759
20,047
22,879
94
490
570
238
765
1,086
1,665
2,349
2,383
2,030
3,251
3,235
204
29,060
43,853
46,864
5 1 ,2 6 8
56,610
64,100
17,954
13,799
13,158
12,436
10,367
10,367
389
378
425
321
2,933
3,570
314
032
65,132
66,708
11,117
11,105
400
400
61,941
62,051
62,381
63,153
64,368
64,574
65,652
66,143
66,794
67,488
67,655
127
299
338
218
346
68
349
181
312
202
397
370
328
319
148
330
453
820
804
501
360
406
3,636
2,974
2,671
3,047
2,704
2,690
3,001
2,572
2,974
3,122
3,119
216
065
896
103
076
979
150
991
900
105
013
67,363
66,797
66,691
67,747
68,926
68,834
71,052
70,749
71,568
72,349
72,683
10,732
10,732
10,732
10,732
10,448
10,332
10,332
10,184
10,132
10,132
10,132
400
400
400
400
400
400
400
400
400
400
400
66,635
66,726
66,596
66,687
67,071
144
430
486
2,433
2,594
2,920
3,602
2,863
776
817
894
923
963
70,766
71,439
71,455
71,591
71,730
10,132
10,132
10,132
10,132
10,132
400
400
400
400
400
2,510
2,219
23,708
20,345
2,510
2,219
23,708
20,336
1960—Dec
1965—De c
1966—De c
1967—De c
1968—De c
1969—De c
27,248
40,885
43,760
48,891
52,529
57,500
27,170
40,772
43,274
48,810
52,454
57,295
78
113
486
81
75
205
1 9 7 0 — N ov
Dec
60,393
61,688
60,004
61,310
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
62,068
62,350
62,719
63,371
64,714
64,642
66,001
66,324
67,106
67,690
68,052
Nov.f
2,612
83
170
652
1,117
1939—Dec
1941—Dec
1945—Dec
1950—Dec
5
381
142
Week ending—
29
66,779
67,156
67,082
66,687
67,393
322
706
765
457
329
424
Oct.
6
13
20
27
68,079
67,748
67,810
67,334
67,657
67,662
67,496
67,257
422
86
314
77
309
449
332
413
2,720
2,803
3,585
3,091
1,007
1,071
1,113
1,160
72,205
72,136
72,925
72,053
10,132
10,132
10,132
10,132
400
400
400
400
Nov.
3
10
17
67,390
67,307
67,828
68,400
67,276
67,155
67,414
67,867
114
152
414
533
216
122
287
539
3,262
3,105
3,268
3,248
1,207
1,240
1,061
796
72,132
71,847
72,535
73,090
10,132
10,132
10,132
10,132
400
400
400
400
67,627
67,301
68,157
6 67,627
6 67,301
"768,157
198
212
146
3,139
3,585
2,643
1,208
841
1,001
72,016
72,358
71,845
10,132
10,132
10,132
400
400
400
1
8
15
22
29
67,337
67,483
65,726
66,587
67,661
6 66,635
6 66,741
6-765,726
6 66,587
6 67,386
702
742
339
350
941
381
2,258
2,596
3,164
3,077
2,527
828
857
948
961
995
71,549
71,410
7 0 ,2 3 8
71,614
71,655
10,132
10,132
10,132
10,132
10,132
400
400
400
400
400
6
13
20
27
68,015
68,264
66,688
67,886
6 67,662
6 67,662
6-766,688
6 67,352
353
602
192
1,033
495
2,043
2,779
2,577
3,067
2,728
1,046
1,109
1,170
1,201
72,120
73,111
71,471
73,944
10,132
10,132
10,132
10,132
400
400
400
400
68,026
66,944
68,541
69,862
6 67,226
6-766,944
6 67,605
6 68,159
800
252
196
390
2,394
2,732
2,855
3,453
2,902
1,241
1,289
801
825
72,342
71,341
7 3 ,3 1 8
76,185
10,132
10,132
10,132
10,132
400
400
400
400
1971—Sept.
1
8
15
22
24^
End of month
1971—Sept
Oct
Nov.f
Wednesday
1971—Sept.
Oct.
Nov.
3^
10*>
17*
24^
For notes see opposite page.
275
534
936
1,703
DECEMBER 1971 • BANK RESERVES AND RELATED ITEMS
A 5
MEMBER BANK RESERVES, FEDERAL RESERVE BANK CREDIT, AND RELATED ITEMS—Continued
(In millions of dollars)
Factors absorbing reserve funds
Deposits, other
than member bank
reserves,
with F.R. Banks
Treasury
cash
holdings
Treasury
Foreign
Other
F.R.
accounts 3
Other 2
Other
F.R.
liabilities
and
capital 3
Member bank
reserves
With
F.R.
Banks
Currency
and
coins
Period or date
Total
Averages of daily figures
739
1,531
1,247
920
353
522
683
291
902
360
1,194
250
154
164
150
225
146
495
231
429
451
458
458
453
427
890
849
149
145
445
465
467
499
506
491
471
477
466
464
470
1,028
1,025
783
1,047
1,112
652
1,546
1,121
1,621
2,100
1,723
155
153
139
148
173
155
161
181
151
152
133
248
292
493
739
11,473
12,812
16,027
17,391
1,029
389
83
-204
-1,105
2,192
16,688
18,747
19,568
20,753
22,484
23,071
2,256
2,265
2,109
2,232
2,227
2,194
2,244
2,227
2,251
2,298
2,296
2,327
2,320
721
735
786
778
718
752
690
698
714
712
712
736
714
2,402
2,189
2,269
1,290
616
592
625
615
408
808
1,191
1,428
756
656
11,473
12,812
16,027
17,391
1939—Dec.
1941—Dec.
1945—Dec.
1950—Dec.
2,595
3,972
4,262
4,507
4,737
4,960
19,283
22,719
23,830
25,260
27,221
28,031
1960—Dec.
1965—Dec.
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
23,416
23,925
5,142
5,340
28,558
29,265
1970—Nov.
Dec.
24,938
24,710
24,601
24,814
25,251
24,793
25,231
25,098
25,365
25,463
25,489
5,550
5,170
5,085
5,071
5,168
5,230
5,316
5,357
5,437
5,397
5,461
30,488
29,880
29,686
29,885
30,419
30,023
30,547
30,455
30,802
30,860
30,950
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.^
Week ending—
473
464
458
470
473
1,213
1,318
1,388
1,760
2,009
194
165
139
150
146
691
711
708
704
718
2,324
2,402
2,226
2,234
2,299
25,167
25,341
25,236
25,345
25,473
5,352
5,514
5,615
5,015
5,600
30,519
30,855
30,851
30,360
31,073
1971—Sept.
1
8
15
22
29
466
459
460
456
2,148
2,093
2,117
2,183
183
134
145
156
765
763
730
711
2,398
2,379
2,252
2,281
25,483
25,050
25,954
25,184
5,510
5,652
5,117
5,240
30,993
30,702
31,071
30,424
Oct.
6
13
20
27
483
479
465
464
1,795
1,598
1,582
1,927
134
119
123
123
726
710
725
686
2,355
2,422
2,244
2,265
25,412
25,014
25,577
25,625
5,549
5,566
5,595
5,134
30,961
30,580
31,172
30,759
Nov.
3
10
17
24 p
453
477
460
2,102
1,876
1 ,996
166
135
177
777
733
697
2,374
2,337
2,351
25,424
25,697
23,718
5,508
5,548
5,472
30,932
31,245
29,190
471
466
465
480
475
1,194
1,185
1,386
1,939
682
733
767
690
712
2,374
2,427
2,251
2,317
25,788
24,994
23,999
25,239
25,211
5,354
5,517
5,614
5,017
5,600
31,142
30,511
29,613
30,256
30,811
1971—Sept.
2,021
142
152
139
146
166
1
8
15
22
29
469
464
466
462
1,988
2,141
2,148
1,709
165
146
129
156
719
736
701
688
2,419
2,233
2,245
2,305
25,234
25,883
24,535
27,315
5,508
5,655
5,117
5,239
30,742
31,538
29,652
32,554
Oct.
6
13
20
27
493
473
472
467
1,687
1,411
1,532
1,435
124
137
145
126
740
714
705
698
2,403
2,443
2,226
2,303
25,434
24,323
26,250
28,858
5,525
5,573
5,637
5,134
30,959
29,896
31,887
33,992
Nov.
End of month
1971—Sept.
Oct.
NovJ J
Wednesday
1
Includes Federal Agency issues held under repurchase agreements as
of Dec. 1, 1966 and Federal Agency issues bought outright as of Sept. 29,
1971.
2
Beginning with 1960 reflects a minor change in concept; see Feb.
1 9 6 1 BULLETIN, p .
164.
s Beginning Apr. 16, 1969, "Other F.R. assets" and "Other F.R.
liabilities and capital" are shown separately; formerly, they were
netted together and reported as "Other F.R. accounts."
4
Includes industrial loans and acceptances, until Aug. 21, 1959, when
industrial loan program was discontinued. For holdings of acceptances
2,210
3p
10*>
\1p
24 p
on Wed. and end-of-month dates, see tables on F.R. Banks on following
pages. See also note 2.
5 Part allowed as reserves Dec. 1, 1959—Nov. 23, 1960; all allowed
thereafter. Beginning with Jan. 1963, figures are estimated except for
weekly averages. Beginning Sept. 12, 1968, amount is based on closeof-business figures for reserve period 2 weeks previous to report date.
6
Includes securities loaned—fully secured by U.S. Govt, securities
pledged with F.R. Banks.
7 Reflects securities sold, and scheduled to be bought back, under
matched sale/purchase transactions.
A 6
BANK RESERVES AND RELATED ITEMS • DECEMBER 1971
RESERVES AND BORROWINGS OF MEMBER BANKS
(In millions of dollars)
Reserve city banks
All member banks
New York City
Period
Reserves
Total
held
Required! Excess
Borrowings
at
F.R.
Banks
]Reserves
Free
reserves
Total
held
Required 1 Excess
City of Chicago
Borrowings
at
F.R.
Banks
Reserves
Free
reserves
Total
held
Borrowings
at
F.R.
Banks
Required i Excess
6,462
9,422
14,536
16,364
5,011
3,390
1,491
1,027
3
5
334
142
5,008
3,385
1,157
885
5,623
5,142
4,118
4,742
3,012
4,153
4,070
4,616
2,611
989
48
125
192
58
2,611
989
-144
67
1,141
1,143
939
1,199
601
848
924
1,191
540
295
14
18,527
1968—De c
1969—De c
19,283
20,746
21,609
22,719
25,260
27,221
28,031
21,198
22,267
24,915
26,766
27,774
756
536
411
452
345
455
257
87
327
243
454
238
765
1,086
669
209
168
-2
107
-310
-829
3,687
3,951
4,083
4,301
5,052
5,157
5,441
3,658
3,895
4,062
4,260
5,034
5,057
5,385
29
56
21
41
18
100
56
19
37
35
111
40
230
259
10
19
-14
-70
-22
-130
-203
958
1,056
1,083
1,143
1,225
1,199
1,285
953
1,051
1,086
1,128
1,217
1,184
1,267
4
5
-3
15
8
15
1970—No v
Dec
28,558 28,438
29,265 28,993
120
272
425
321
-305
-49
5,441
5,623
5,444
5,589
-3
34
60
25
-63
9
1,282
1,329
1,283
1,322
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov.f
30,488
29,880
29,686
29,885
30,419
30,023
30,547
30,455
30,802
30,860
30,950
30,209
29,679
29,487
29,745
30,107
29,892
30,385
30,257
30,596
30,653
30,693
279
201
199
140
312
131
162
198
206
207
257
370
328
319
148
330
453
820
804
501
360
406
-91
-127
-120
-8
-18
-322
-658
-606
-295
-153
-149
5,976
5,854
5,664
5,690
5,837
5,637
5,729
5,693
5,683
5,678
5,642
5,917
5,810
5,703
5,696
5,791
5,674
5,754
5,640
5,674
5,667
5,608
59
44
-39
-6
46
-37
-25
53
9
11
34
40
29
51
15
113
90
86
164
38
67
106
19
15
-90
-21
-67
-127
-111
-111
-29
-56
-72
1,387
1,403
1,375
1,392
1,436
1,387
1.407
1,417
1,417
1,425
1.408
1,392
1,380
1.384
1.385
1,421
1,405
1,408
1,410
1,423
1,408
1,401
28,334
28,443
28,599
28,297
318
282
164
76
423
445
330
436
-105
-163
-166
-360
5,571
5,488
5,588
5,266
5,475
5,466
5,558
5,327
96
22
30
-61
11
69
25. . .
28,652
28,725
28,763
28,373
85
-47
30
-150
1,298
1,298
1,308
1,231
1,291
1,319
1,301
1,237
7...
14...
21...
28...
29,670
29,625
29,938
30,157
29,393
29,417
29,857
30,109
277
208
81
48
197
150
84
176
80
58
-3
-128
5,569
5,748
5,728
5,625
5,631
5,652
5,784
5,682
-62
96
-56
-57
46
-62
79
-56
-103
1,367
1,346
1,381
1,430
1,351
1,367
1,384
1,418
5...
12...
19...
30,780 30,415
30,084 29,854
30,362 30,260
30,246 30,072
365
230
102
174
174
99
306
267
191
131
-204
-93
5,907
5,657
5,986
5,768
5,817
5,716
5,967
5,781
90
-59
19
-13
46
39
143
100
44
-98
-124
-113
1.440
1,424
1,426
1,435
1,449
1.393
1,455
1,416
-9
31
-29
19
30,276
29,886
30,225
29,919
30,292
29,991
29,813
29,959
29,709
30,060
285
73
266
210
232
646
153
403
619
750
-361
-80
-137
-409
-518
5,693
5,648
5,742
5,648
5,676
5,638
5,680
5,729
5,607
5,699
55
-32
13
41
-23
171
46
129
103
107
-116
-78
-116
-62
-130
1.387
1,414
1,473
1,338
1,405
1,396
1,413
1,467
1,351
1.394
-9
21...
28...
30,313
30,254
30,932
30,623
30,036
30,249
30,650
30,556
277
5
282
67
661
991
1,121
545
-384
-986
-839
-478
5,689
5,747
5,911
5,671
5,663
5,814
5,856
5,718
26
-67
55
-47
34
252
65
30
-8
-319
-10
-77
1.388
1,390
1,464
1,383
1,374
1,412
1,451
1,384
4..
11..
18..
25..
30,894
30,330
30,605
30,111
30,460
30,303
30,381
30,020
434
27
224
91
764
593
1,179
771
-330
-566
-955
-680
5,781
5,625
5,816
5,456
5,677
5,699
5,748
5,522
104
-74
68
-66
43
342
267
61
-74
-274
-333
1,447
1,419
1,416
1,387
1,434
1.431
1.412
1,383
1..
8..
15..
22..
29..
30,519
30,855
30,851
30,360
31,073
30,195
30,650
30,604
30,421
30,730
324
205
247
-382
-560
-210
-390
-81
5,679
5,719
5,762
5,469
5,825
5,561
5,759
5,690
5,578
5,689
118
-40
72
-109
136
116
343
706
765
457
329
424
86
36
2
-40
72
-195
100
1,398
1.428
1.441
1,410
1,410
1.399
1,423
1,448
1.413
1,412
Oct.
6..
13..
20..
27..
30,993
30,702
31,071
30,424
30,779
30,653
30,861
30,373
214
49
210
51
309
449
332
413
-95
-400
-122
-362
5,644
5,668
5,808
5,513
5,671
5,693
5,818
5,508
-27
-25
-10
5
29
100
35
133
-56
-125
-45
-128
1,441
1,413
1.429
1,353
1,422
1.432
1,421
1,364
19
-19
Nov.
3..
10..
17..
24 p.
30,961
30,580
31,172
30,759
30,565
30,570
30,984
30,564
396
10
188
195
216
122
287
539
180
-112
-99
-344
5,681
5,589
5,705
5,586
5,626
5,597
5,761
5,520
55
-8
-56
66
21
64
150
55
-29
-120
-84
1,435
1,376
1,447
1,365
1.400
1,406
1.433
1,374
35
-30
14
-9
1939—Dec
1941—Dec
1945—Dec
1950—Dec
11,473
12,812
16,027
17,391
1960—Dec
1963—De c
1964—De c
1965—De c
1967—De c
20,210
18
-5
23
-9
7
15
- 1 8
-1
7
- 6
17
7
Week ending—
1970—Nov.
4...
11...
18.. .
1971—Apr.
May
26.. .
June
2...
9.. .
16.. .
23.. .
30.. .
July
Aug.
Sept.
7.. .
14...
For notes see opposite page.
-61
89
17
7
- 2 1
7
- 6
16
- 2 1
-3
12
1
6
-13
11
14
-22
13
5
-7
-3
- 2
DECEMBER 1971 • BANK RESERVES AND RELATED ITEMS
A 7
RESERVES AND BORROWINGS OF MEMBER BANKS—Continued
(In millions of dollars)
Country banks
Other reserve city banks
Reserves
Reserves
Borrowings at
F.R.
Banks
Borrowings at
F.R.
Banks
Free
reserves
Period
Free
reserves
Total
held
Required 1
Excess
1,188
1,302
322
182
1,568
2,210
4,576
4,761
897
1,406
3,566
4,099
671
804
1,011
663
3
4
46
29
668
800
965
634
. ...1939—Dec.
....1941—Dec.
. ...1945—Dec.
. . . . 1950—Dec.
20
190
125
228
105
270
479
80
-122
-103
-161
-55
-180
-473
6,689
7,347
7,707
8,219
8,901
9,875
10,335
6,066
6,939
7,337
7,889
8,634
9,625
10,158
623
408
370
330
267
250
177
40
74
55
92
80
180
321
583
334
315
238
187
70
-144
. . . . 1960—Dec.
. . . . 1 9 6 3 — Dec.
....1964—Dec.
....1965—Dec.
....1967—Dec.
....1968—Dec.
....1969—Dec.
-58
42
301
264
-359
-222
10,619
10,765
10,437
10,576
182
189
53
28
129
161
....1970—Nov.
Dec.
11,962
11,712
11,651
11,789
11,832
11,735
11,929
11,883
12,077
12,050
12,040
12
-65
81
-35
91
8
10
-12
38
19
83
294
268
236
119
136
181
441
425
318
163
176
-282
-333
-155
-154
-45
-173
-431
-437
-280
-144
-93
11,151
10,976
10,915
11,049
11,223
11,256
11,472
11,474
11,587
11,688
11,777
10,938
10,777
10,749
10,875
11,063
11,078
11,294
11,324
11,422
11,528
11,644
213
199
166
174
160
178
178
150
165
160
35
27
16
10
68
161
265
208
141
115
102
178
172
150
164
92
17
-87
-58
24
45
31
11,215
11,383
11,313
11,215
11,188
11,326
11,343
11,206
27
57
-30
9
314
311
296
288
-287
-254
-326
-279
10,568
10,556
10,554
10,661
10,380
10,332
10,397
10,527
188
224
102
159
123
93
1970—Nov.
157
134
86
65
34
41
4
11
18
25
11,758
11,622
11,807
11,910
11,634
11,702
11,826
11,955
124
-80
-19
-45
184
127
80
98
-60
-207
-99
-143
10,976
10,909
11,022
11,192
10,777
10,696
10,863
11,054
199
213
159
138
13
6
4
14
186
207
155
124
.1971—Apr.
7
14
21
28
12,044
11,826
11,805
11,820
11,939
11,752
11,871
11,780
105
74
-66
40
101
42
71
93
4
32
-137
-53
11,389
11,177
11,145
11,223
11,210
10,993
10,967
11,095
179
184
178
128
27
18
51
56
152
166
127
72
May
5
12
19
26
11,891
11,693
11,812
11,703
11,827
11,857
11,753
11,749
11,640
11,759
34
-60
63
63
68
317
52
113
286
324
-283
-112
-50
-223
-256
11,305
11,131
11,198
11,230
11,384
11,100
10,967
11,014
11,111
11,208
205
164
184
119
176
158
55
161
153
308
47
109
23
-34
-132
June
2
9
16
23
30
11,847
11,786
12,089
11,946
11,801
11,876
12,028
11,993
46
-90
61
-47
372
498
607
296
-326
-588
-546
-343
11,389
11,331
11,468
11,623
11,198
11,147
11,315
11,461
191
184
153
162
255
241
333
212
-64
-57
-180
-50
July
7
14
21
28
12,094
11,856
11,883
11,798
11,973
11,898
11,901
11,788
121
-42
-18
10
429
375
545
372
-308
-417
-563
-362
11,572
11,430
11,490
11,470
11,376
11,275
11,320
11,327
196
155
170
143
292
218
261
132
-96
-63
-91
11
Aug.
4
11
18
25
11,935
12,182
12,140
11,937
12,135
11,896
12,138
12,098
12,013
12,080
39
44
42
-76
55
404
588
324
146
231
-365
-544
-282
-222
-176
11,507
11,526
11,508
11,544
11,703
11,339
11,330
11,368
11,417
11,549
168
196
140
127
154
185
173
130
88
157
-17
23
10
39
-3
Sept.
1
8
15
22
29
12,165
12,011
12,183
11,876
12,117
12,092
12,110
11,933
48
-81
73
-57
118
234
194
129
-70
-315
-121
-186
11,743
11,610
11,651
11,682
11,569
11,436
11,512
11,568
174
174
139
114
162
108
99
97
12
66
40
17
Oct.
6
13
20
27
12,073
11,967
12,172
11,992
11,976
12,050
12,139
11,971
97
-83
33
21
105
47
174
203
-8
-130
-141
-182
11,772
11,648
11,848
11,816
11,563
11,517
11,651
11,699
209
131
197
117
111
54
49
139
98
77
148
-22
Nov.
3
10
17
24»
Total
held
Required *
Excess
3,140
4,317
6,394
6,689
1,953
3,014
5,976
6,458
1,188
1,303
418
232
1
96
50
7,950
8,393
8,735
9,056
10,081
10,990
10,970
7,851
8,325
8,713
8,989
10,031
10,900
10,964
100
68
22
67
50
90
6
11,216
11,5 4 8
11,274
11,506
11,974
11,647
11,732
11,754
11,923
11,743
11,939
11,871
12,115
12,069
12,123
133
....1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov."
Week ending—
1
Beginning Sept. 12, 1968, amount is based on close-of-business figures for reserve period 2 weeks previous to report date.
NOTE.—Averages of daily figures. Monthly data are averages of daily
figures within the calendar month; they are not averages of the 4 or 5
weeks ending on Wed. that fall within the month. Beginning with Jan.
1964, reserves are estimated except for weekly averages.
Total reserves held: Based on figures at close of business through N o v .
1959; thereafter on closing figures for balances with F.R. Banks and opening figures for allowable cash; see also note 3 to preceding table.
Required reserves: Based on deposits as of opening of business each day.
Borrowings at F.R. Banks: Based on closing figures.
A 8
MAJOR RESERVE CITY BANKS • DECEMBER 1971
BASIC RESERVE POSITION, AND FEDERAL FUNDS AND RELATED TRANSACTIONS
(In millions of dollars, except as noted)
Gross transactions
NetReporting banks
and
week ending—
Total—46
1971—Oct.
Net transactions
Purchases
of net
buying
banks
Sales
of net
selling
banks
Loans
to
dealers 3
Borrowings
from
dealers 4
Purchases
Sales
Total
two-way
trans- 2
actions
46.6
60.4
50.4
c
49.0
10,616
12,236
10,782
10,219
4,424
4,570
4,199
4,201
3,839
4,020
3,577
3,630
6,777
8,217
7,205
6,590
585
551
622
572
1,764
1,770
1,722
1,789
427
512
406
382
1,337
1,258
1,317
1,407
6,010
-6,747
-8,547
-7,737
-6,215
52.2
65.7
58.7
48.8
11,243
12,732
12,160
10,557
4,346
4,230
4,641
4,547
3,989
3,640
3,895
3,808
7,255
9,092
8,264
6,749
357
589
746
739
2,127
2,385
1,811
1,640
247
366
404
381
1,879
2,019
1,407
1,259
29
100
31
128
1,977
3,078
2,331
2,166
-1,953
-3,180
-2,362
-2,287
37.9
61.4
44.6
r
45.8
2,897
3,794
3,377
3,042
920
716
1,047
877
920
716
983
829
1,977
3,078
2,395
2,213
64
48
1,095
1,188
1,259
1,482
118
118
110
125
977
1,069
1,149
1,357
21
64
131
2,702
4,179
3,465
2,321
-2,639
-4,161
-3,566
-2,412
51.6
81.9
68.0
48.3
3,697
4,699
4,050
3,114
995
520
585
793
995
519
585
793
2,702
4,179
3,465
2,321
1,718
1,862
1,529
1,337
83
96
92
95
1,635
1,766
1,437
1,242
4,215
4,588
4,252
3,853
-4,129
-4,727
-4,298
-3,954
52.3
59.7
54.3
51.1
7,719
8,443
7,405
7,177
3,504
3,855
3,153
3,325
2,919
3,304
2,594
2,800
4,800
5,139
4,810
4,377
585
551
559
524
669
583
463
307
310
394
296
257.
359
189
168
50
122
138
4,196
4,323
4,054
3,689
-4,108
-4,385
-4,172
-3,803
52.6
55.4
52.6
49.1
7,546
8,033
8,109
7,443
3,350
3,710
4,056
3,754
2,993
3,121
3,310
3,016
4,553
4,912
4,799
4,427
357
589
746
739
408
523
283
302
164
269
312
286
244
253
-30
16
7
4
54
1,145
1,474
1,213
1,361
-1,130
-1,485
-1,214
-1,424
87.1
113.9
93.6
114.6
1,731
1,992
1,693
1,818
586
517
480
457
586
517
480
457
1,145
1,474
1,213
1,361
94
88
OO
96
65
94
88
oo
96
65
1,552
1,519
1,384
952
-1,528
-1,531
-1,376
-995
119.5
119.5
105.2
79.7
2,036
2,065
2,003
1,663
484
546
619
711
484
526
607
674
1,552
1,539
1,396
989
97
181
87
114
91
181
87
114
- 1 6
5
106
77
23
3,070
3,114
3,039
2,491
-3,000
-3,243
-3,084
-2,531
45.5
49.0
46.6
39.0
5,989
6,451
5,712
5,359
2,918
3,337
2,673
2,868
2,333
2,787
2,114
2,344
3,655
3,664
3,597
3,015
585
551
559
524
575
495
367
242
310
394
296
257
265
101
72
-15
63
-50
-4
20
122
92
2,644
2,804
2,670
2,737
-2,581
-2,854
-2,795
-2,809
39.5
43.0
42.2
43.2
5,510
5,968
6,107
5,780
2,867
3,164
3,437
3,043
2,510
2,595
2,703
2,341
3,001
3,373
3,403
3,439
357
569
734
702
312
342
196
188
164
269
312
286
148
73
-117
-98
Excess
reserves 1
Borrowings
at F.R.
Banks
Net
interbank
Federal
funds
trans.
34
214
112
205
6,192
7,666
6,583
-6,082
-7,907
-6,660
-6,241
6,897
8,502
7,518
Surplus
or
deficit
Per cent
of
avg.
required
reserves
Net
loans
banks
144
6.
13.
-28
—18
20.
c '35
3.
10.
17.
24.
151
-23
-33
64
27.
Nov.
Related transactions with
U.S. Govt, securities dealers
Interbank Federal funds transactions
Basic reserve position
21
186
269
6,018
8 in New York City
1971—Oct.
53
6.
13.
20.
27.
Nov.
63
39
-37
40
3.
10.
17.
24.
38 outside
New York City
1971—Oct.
6....
13....
20....
21....
Nov.
91
r
c
— 26
r
35
—24
3....
10....
17....
24....
5 in City of Chicago
1971—Oct.
Nov.
6....
13.. . .
20....
27....
3. .. .
10....
17....
24....
24
- 1 2
33 others
1971—Oct.
6....
13. . . .
20....
21....
Nov.
3
10....
17....
24....
76
-23
33
1
Based upon reserve balances, including all adjustments applicable to
the reporting period. Prior to Sept. 25,1968, carryover reserve deficiencies,
if any, were deducted. Excess reserves for later periods are net of all carryover reserves.
2
Derived from averages for individual banks for entire week. Figure
for each bank indicates extent to which the bank's weekly average purchases and sales are offsetting.
3 Federal funds loaned, net funds supplied to each dealer by clearing
banks, repurchase agreements (purchases of securities from dealers
subject to resale), or other lending arrangements.
4
Federal funds borrowed, net funds acquired from each dealer by
clearing banks, reverse repurchase agreements (sales of securities to
dealers subject to repurchase), resale agreements, and borrowings secured
by Govt, or other issues.
NOTE.—Weekly averages of daily figures. For description of series
and back data, see Aug. 1964 BULLETIN, pp. 944-74.
DECEMBER 1971 • F.R. BANK INTEREST RATES
A 9
CURRENT RATES
(Per cent per annum)
Loans to member banks
Under Sees. 13 and 13a
Loans to all others under
last par. Sec. 13 3
Under Sec. 10(b) 2
1
Federal Reserve Bank
Rate on
Nov. 30,
1971
4%
4%
4 y4
4y4
434
4%
4%
4%
4y4
434
434
43/4
Boston
New York
Philadelphia..
Cleveland
Richmond... .
Atlanta
Chicago
St. Louis
Minneapolis..
Kansas C i t y . .
Dallas
San Francisco
Previous
rate
Effective
date
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Rate on
Nov. 30,
1971
Effective
date
51/4
5»/4
51/4
51/4
51/4
51/4
51/4
51/4
51/4
51/4
51/4
57
*4
11, 1971
19, 1971
11, 1971
11, 1971
12, 1971
15, 1971
12, 1971
11, 1971
11, 1971
12, 1971
11,1971
11, 1971
1
Discounts of eligible paper and advances secured by such paper or by
U.S. Govt, obligations or any other obligations eligible for F.R. Bank
purchase. Maximum maturity: 90 days except that discounts of certain
bankers' acceptances and of agricultural paper may have maturities not
over 6 months and 9 months, respectively.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
11,
19,
11,
11,
12,
15,
12,
11,
11,
12,
11,
11,
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
Previous
rate
Rate on
Nov. 30,
1971
63/4
5!/2
5Vi
51/2
51/2
51/2
51/2
51/2
51/2
51/2
51/2
51/2
5%
6V4
6Ya
6V4
6V4
6VA
6V4
6V4
6V4
ey4
6%
6%
Effective
date
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
Nov.
11,
19,
11,
11,
12,
15,
12,
11,
11,
12,
11,
11,
Previous
rate
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
1971
Maximum
2 Advances secured to the satisfaction of the F.R. Bank.
maturity: 4 months.
3
Advances to individuals, partnerships, or corporations other than
member banks secured by direct obligations of, or obligations fully
guaranteed as to principal and interest by, the U.S. Govt, or any
agency thereof. Maximum maturity: 90 days.
SUMMARY OF EARLIER CHANGES
(Per cent per annum)
Effective
date
Range
or level)—
All F.R.
Banks
F.R.
Bank
of
N.Y.
In effect Dec. 31, 1954
1 Vi
iVi
1955—Apr. 14
15
May 2
Aug. 4
5
IV2-IV4
Wi
li/ 2 -134
13/4
134-214
134-214
2
13/4
1%
l34
2
2
-214
2 -214
214
2i4-2i/ 2
21/2
214
21/4
21/2
21/2
1956—Apr. 13
20
Aug. 24
31
21/2-3
234-3
234-3
3
23/4
234
3
3
1957—Aug.
3
3
31/2
3
1 2 . . . . . . .
Sept.
9.
13.......
Nov. 18
23
9
23
Nov. 15
Dec. 2
-31/2
31/2
3 -31/2
3
Effective
date
1959—Mar.
6
16
May 29
June 12
Sept. 11
18
1960—June
3
10
14
Aug. 12
Sept. 9
1963—July
17
26
Mar.
Apr.
May
Aug.
Sept.
Oct.
Nov.
22
24
7
13
21
18
9
15
12
23
24
7
234-3
23/4-3
1965—Dec.
3
214-3
214-234
21/4
134-214
134
134-2
134-2
2
2
-21/2
21/2
3
234
214
21/4
21/4
134
13/4
134
2
2
2
21/2
6
13
7
14
Nov. 20
27
1968—Mar. 15
22
Apr. 19
26
Aug. 16
30
Dec. 18
20
NOTE.—Rates under Sees. 13 and 13a (as described in table and notes
above). For data before 1955, see Banking and Monetary Statistics, 1943,
pp. 439-42 and Supplement to Section 12, p. 31.
The rate charged by the F.R. Bank of N.Y. on repurchase contracts
against U.S. Govt, obligations was the same as its rate on loans to member
banks under Sees. 13 and 13a, except in the following periods (rates in
percentages): 1955—May 4-6, 1.65; Aug. 4, 1.85; Sept. 1-2, 2.10; Sept.
8, 2.15; Nov. 10, 2.375; 1956—Aug. 24-29, 2.75; 1957—Aug. 22, 3.50;
1960—Oct. 31-Nov. 17, Dec. 28-29, 2.75; 1961—Jan. 9, Feb. 6-7, 2.75;
F.R.
Bank
of
N.Y.
21/2-3
3
3 -31/2
31/2
31/2-4
4
3
3
31/2
31/2
4
4
31/2-4
31/2-4
31/2
3 -31/2
3
4
31/2
31/2
3
3
-31/2
31/2
31/2
31/2
3
1964—Nov. 24
30
1967—Apr.
1958—Jan.
Range
(or level)—
All F.R.
Banks
31/2-4
4
-41/2
4
41/2
-41/2
4
4
41/2
41/2
41/2
4
4
41/2
41/2
41/2-5
5
5 -51/2
51/2
51/4-51/2
514
514-51/2
51/2
41/2
5
51/2
51/2
51/2
514
51/2
51/2
4
4
4
-41/2
Effective
date
1969—Apr.
4.
Range
(or level)All F.R.
Banks
F.R.
Bank
of
N.Y.
5^2-6
6
1970—Nov. 11.
3.
16.
Dec.
1
4.
11
-Jan.
8.
15
19
22
29
Feb. 13
19
July 16.
23.
Nov. 11
19
In effect Nov. 30, 1971.
534-6
53/4-6
53/4
5V2~5V4
5i/2-534
51/2
534
534
534
51/2
5%
514-51/2
514
514
514
51/4
-514
-514
5
5
6
5
5
5
5
5
5
5
5
434-5
434
434-5
434
434-5
434
434
434
434
Apr. 3-4, 2.50; June 29, 2.75; July 20, 31, Aug. 1-3, 2.50; Sept. 28-29,
2.75; Oct. 5, 2.50; Oct. 23, Nov. 3, 2.75; 1962—Mar. 20-21, 2.75; 1964—
Dec. 10, 3.85; Dec. 15, 17, 22,24, 28, 30, 31, 3.875; 1965—Jan. 4-8,3.875;
1968—Apr. 4, 5, 11, 15, 16, 5.125; Apr. 30, 5.75; May 1-3, 6, 9, 13-16,
5.75; June 7, 11-13, 19, 21, 24, 5.75; July 5, 16, 5.625; Aug. 16, 19, 5.25;
1971—Jan. 21, 27, 4.75; Feb. 1-2, 4.50; 4, 11, 4.25; 16-17, 4.00; 18-19,
3.75. Mar. 1-2, 10, 12, 15-18, 24, 29-31, 3.75. Apr. 1-2, 5-6, 3.75; 13, 15,
21, 28, 4.125. May 3-6, 17, 4.125; 18-20, 4.375; 26-27, 4.50; June 1,
4.50; Nov. 15-18,4.75.
A 10
RESERVE AND MARGIN REQUIREMENTS • DECEMBER 1971
RESERVE REQUIREMENTS OF MEMBER BANKS
(Per cent of deposits)
Beginning July 14, 1966
D e c . 31, 1949, through July 13, 1966
Time deposits 4 . 5
(all classes o f banks)
N e t demand
deposits 2 - 4
N e t demand
deposits 2
Central
reserve
city
banks
Reserve
city
banks
Country
banks
Time
deposits
(all
classes
of
banks)
In effect D e c . 31, 1949
22
18
12
5
1951—Jan.
Jan.
1953—July
1954—June
July
1958—Feb.
Mar.
Apr.
Apr.
I960—Sept.
Nov.
Dec
1962—July
Oct.
23
24
22
21
20
191/2
19
I8I/2
18
171/2
19
20
19
13
14
13
6
Effective date 1
11, 16
25, Feb.
9,1
24, 16
29, Aug.
27, Mar.
20, Apr.
17
24
1
24
1
28
25, N o v .
1
1
1....
1....
1
Effective date
Reserve
city banks
1
Country
banks
Under
Over
Under
Over
$5 mil- $5 mil- $5 mil- $5 million
lion
lion
lion
1966—July 1 4 , 2 1
Sept. 8, 15
1967—Mar.
Mar.
16
11%
12
1968—Jan.
11 18
11
1969—Apr. 17
64
6 12
6 16i/ 2
Savings
deposits
2
18
171/2
17
1970
I6I/2
12
3
3
5
3
10
I6I/2
4
17
12
3
10
3
10
121/2
17
17i/ 2
12i/ 2
13
171/2
121/2
13
5
Oct. 1
In effect N o v . 30, 1971.
I6I/2
(3)
Period
Present legal
requirement:
Minimum
Maximum
17
10
7
14
22
rowings above a specified base from foreign banks by domestic offices
of a member bank. For details concerning these requirements, see Regulations D and M and appropriate supplements and amendments thereto.
5 Effective Jan. 5, 1967, time deposits such as Christmas and vacation
club accounts became subject to same requirements as savings deposits.
6 See preceding columns for earliest effective date of this rate.
NOTE.—All required reserves were held o n deposit with F.R. Banks
June 21, 1917, until D e c . 1959. F r o m D e c . 1959 to N o v . 1960, member
banks were allowed to count part o f their currency and coin as reserves;
effective N o v . 24, 1960, they were allowed to count all as reserves. For
further details, see Board's Annual Reports.
For credit extended under Regulations T (brokers and dealers),
U (banks), and G (others than brokers, dealers, or banks)
On margin stocks
On convertible bonds
Ending
date
On short sales
(T)
T
G
U
T
U
G
s
4
1945—Feb.
July
4
1946—Jan. 20
1947—Jan.
31
1949—Mar. 29
16
1951—Jan.
1953—Feb. 19
1955—Jan.
3
Apr. 22
15
1958—Jan.
4
Aug.
Oct. 15
1960—July 27
1962—July
9
1963—Nov.
5
1968—Mar. 10
1968—Mar. 11
June
1970—May
June
8
Effective M a y 6, 1970. . .
7
5
50
50
75
100
75
50
75
50
60
70
50
70
90
70
50
70
40
50
75
100
75
50
75
50
60
70
50
70
90
70
50
70
70
80
65
50
60
50
70
80
65
NOTE.—Regulations G , T, and U , prescribed in accordance with the Securities Exchange Act of 1934, limit the amount o f credit
to purchase and carry margin stocks that may be extended on securities as collateral by prescribing a maximum loan value, which is
a specified percentage of the market value of the collateral at the time the credit is extended; margin requirements are the difference
between the market value (100 per cent) and the maximum loan value. The term margin stocks is defined in the corresponding regulation.
Regulation G and special margin requirements for bonds convertible into stocks were adopted by the Board of Governors effective
Mar. 11, 1 9 6 8 .
5
6
31/2
3
(Per cent of market value)
1
5
5
21
1
30
17
20
4
23
16
5
16
28
10
6
64
3%
3
MARGIN REQUIREMENTS
1937—Nov.
1945—Feb.
July
1946—Jan.
1947—Feb.
1949—Mar.
1951—Jan.
1953—Feb.
1955—Jan.
Apr.
1958—Jan.
Aug.
Oct.
1960—July
1962—July
1963—Nov.
Over
Under
$5 mil- $5 million
lion
5
1
When two dates are shown, the first applies to the change at central
reserve or reserve city banks and the second to the change at country
banks. For changes prior to 1950 see Board's Annual Reports.
2
D e m a n d deposits subject to reserve requirements are gross demand
deposits minus cash items in process of collection and demand balances
due from domestic banks.
3 Authority of the Board o f Governors to classify or reclassify cities
as central reserve cities was terminated effective July 28, 1962.
4
Since Oct. 16, 1969, member banks have been required under Regulation M to maintain reserves against balances above a specified base due
from domestic offices to their foreign branches. Effective Jan. 7, 1971, the
applicable reserve percentage was increased from the original 10 per cent
to 20 per cent. Regulation D imposes a similar reserve requirement on bor-
Beginning
date
Other
time deposits
DECEMBER 1971 • MAXIMUM INTEREST RATES; BANK DEPOSITS
A 11
MAXIMUM INTEREST RATES PAYABLE ON TIME AND SAVINGS DEPOSITS
(Per cent per annum)
Rates beginning July 20, 1966
Rates Jan. 1, 1962—July 19, 1966
Effective date
Effective date
Type of deposit
Type o f deposit
July 17,
1963
Jan. 1,
1962
Savings deposits: 1
12 m o n t h s or m o r e . .
Less than 12 m o n t h s .
4
4
31/z
Other time deposits: 2
12 m o n t h s or m o r e . .
6 months to 12 m o n t h s
90 days to 6 m o n t h s . . .
Less than 90 days
( 3 0 - 8 9 days)
D e c . 6,
1965
N o v . 24,
1964
3!/2
4
41/2
31/2
2^2
5Vi
4
1 Closing date for the Postal Savings System was Mar. 28, 1966. M a x i m u m rates o n postal savings accounts coincided with those o n savings
deposits.
2
For exceptions with respect to certain foreign time deposits, see
BULLETINS f o r O c t . 1 9 6 2 , p . 1 2 7 9 ; A u g . 1 9 6 5 , p . 1 0 8 4 ; a n d F e b .
p. 1 6 7 .
1968,
3 Multiple-maturity time deposits include deposits that are automatically renewable at maturity without action by the depositor and deposits
that are payable after written notice o f withdrawal.
4
The rates in effect beginning Jan. 21 through June 23, 1970, were 6^4
per cent o n maturities o f 3 0 - 5 9 days and 6 Vi per cent o n maturities o f
July 20,
1966
Sept. 26,
1966
Apr. 19,
1968
Jan. 21,
1970
41/2
Savings deposits
Other time d e p o s i t s : 2
Multiple maturity: 3
3 0 - 8 9 days
9 0 days-1 y e a r . . .
1 year to 2 y e a r s . ,
2 years and o v e r . .
Single-maturity:
Less than $100,000:
30 days to 1 y e a r . .
1 year to 2 y e a r s . .
2 years and o v e r . .
$100,000 and over:
3 0 - 5 9 days
6 0 - 8 9 days
9 0 - 1 7 9 days
180 days to 1 year.
1 year or m o r e . . .
41/2
5
51/2
5y4
4
5
5
51/2
51/2
53/4
(4)
(4)
634
7
71/2
5^2
51/4
51/2
5^2
6
ky4
6 0 - 8 9 days. Effective June 24, 1970, m a x i m u m interest rates o n these
maturities were suspended until further notice.
NOTE.—Maximum rates that may be paid by m e m b e r banks are established by the Board o f Governors under provisions o f Regulation Q ;
however, a member bank m a y not pay a rate in excess o f the m a x i m u m
rate payable by State banks or trust c o m p a n i e s on like deposits under
the laws o f the State in which the member bank is located. Beginning
Feb. 1, 1936, m a x i m u m rates that may be paid by n o n m e m b e r insured
commercial banks, as established by the F D I C , have been the s a m e as
those in effect for m e m b e r banks.
DEPOSITS, CASH, AND RESERVES OF MEMBER
BANKS
(In millions o f dollars)
Reserve city banks
Item
All
member
banks
New
York
City
City
of
Chicago
Reserve city banks
Country
banks
Item
Other
All
member
banks
Four weeks ending Oct. 6, 1971
Gross d e m a n d — T o t a l .
Interbank
U.S. Govt
Other
N e t demand 1
Time
D e m a n d balances due
f r o m domestic banks
Currency and c o i n . . . .
Balances with F . R .
Banks
Total reserves h e l d . . . .
Required
Excess
194,776
26,809
6,369
161,599
145,778
203,354
44,058
12,916
1,106
30,036
68,510
9,509
2,489
56,512
51,696
73,183
74,304
2,954
2.451
68,900
61,908
97,175
25,201
11,120
5,435
1,205
433
190
111
2,745
1,719
6,980
3,173
25,384
30,819
30,634
185
5,242
5,675
5,657
18
1,315
1,426
1,424
2
10,375
12,094
12,077
17
8.452
11,625
11,476
149
1
D e m a n d deposits subject to reserve requirements are gross demand
deposits minus cash items in process o f collection and demand balances
due f r o m domestic banks.
City
of
Chicago
Country
banks
Other
F o u r weeks ending N o v . 3, 1971
7,905
1,430
323
6,152
6,114
7,794
26,061
New
York
City
Gross d e m a n d — T o t a l . .
Interbank
U.S. G o v t
Other
N e t demand 1
Time
D e m a n d balances due
from domestic banks.
Currency and coin
Balances with F . R .
Banks
Total reserves held
Required
Excess
195,315
27,881
4,020
163,415
144,356
206,090
44,321
13,555
552
30,214
25,338
25,795
7,853
1,458
166
6,230
6,003
7,775
68,235
9,793
1,520
56,922
51,028
74,195
74,906
3,075
1,782
70,049
61,987
98,325
11,145
5,390
1,157
435
199
104
2,634
1,698
7,157
3,154
25,400
30,790
30,613
177
5,233
5,668
5,661
7
1,304
1,408
1,404
4
10,338
12,036
12,028
8
8,525
11,679
11,520
159
NOTE.—Averages o f daily figures, close o f business,
A 12
FEDERAL RESERVE BANKS • DECEMBER 1971
CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS
(In millions of dollars)
Wednesday
Item
End of month
1971
Nov. 24
Nov. 17
Nov. 10
1971
Nov. 3
Oct. 27
N o v . 30
1970
Oct. 31
N o v . 30
Assets
Gold certificate account
Special Drawing Rights certificate account
9,875
400
9,875
400
9,875
400
9,875
400
266
263
268
2,394
390
196
56
146
51
82
179
196
9,875
400
9,875
400
282
306
252
2,043
57
51
40
179
104
179
29,486
29,196
35,261
3,233
35,032
3,198
i 67,980
1,507
Total loans and securities
Cash items in process of collection
Other assets:
Denominated in foreign currencies
I M F gold deposited 3
All other
Total assets
219
212
300
51
35
58
52
37
50
96
94
96
32
340
96
28,783
29,148
29,274
29,081
29,223
25,362
34,719
3,263
34,719
3,263
34,719
3,263
35,466
3,270
34,719
3,263
32,864
2,782
i 67,426
832
1-266,765
i 67,130
706
i 67,256
502
67,817
i 67,205
68,258
66,765
67,836
67,758
67,817
67,205
61,233
69,064
"13,024
148
67,197
"10,869
148
68,369
"11,800
149
70,015
11,322
150
68,361
"10,235
148
67,565
11,260
150
61,681
9,869
127
18
144
491
28
144
969
27
144
921
26
144
881
15
144
534
30
144
884
265
179
357
"94,987
Total U.S. Govt, securities
318
146
15
144
518
Total bought outright
Held under repurchase agreements
258
72,458
"I1,163
148
U.S. Govt, securities:
Bought outright:
Bills
Certificates—Other
Notes
Bonds
10,827
400
69,487
Discounts and advances:
Member bank borrowings
Other
Acceptances:
Bought outright
Held under repurchase agreements
Federal agency obligations:
Bought outright
Held under repurchase agreements
9,875
400
"93,427
"89,898
"91,967
93,119
"89,970
90,626
83,924
61
2
61,008
225
Liabilities
F.R. notes
Deposits:
Member bank reserves
U.S. Treasurer—General account
Foreign
Other:
I M F gold deposit 3
All other
53,306
52,352
53,439
52,173
49,636
"25,434
1,687
124
27,315
1,709
156
"23,718
1,994
177
25,697
1,876
135
22,689
587
136
144
561
144
570
144
596
144
544
144
555
144
589
179
513
p28,632
"26,585
"27,985
29,868
"26,588
28,441
24,104
8,261
612
9,571
597
8,014
590
9,068
614
8,594
583
7,592
606
7,675
574
7,882
624
"93,296
"91,798
"88,045
"90,178
91,397
"88,225
88,863
82,246
736
702
253
Total liabilities
52,511
"24,323
1,411
137
"31,117
Other liabilities and accrued dividends
52,856
"26,250
1,532
145
144
554
Deferred availability cash items
52,998
"28,858
1,435
126
736
702
191
735
702
416
736
702
351
735
702
285
735
702
308
736
702
325
693
669
316
"94,987
"93,427
"89,898
"91,967
93,119
"89,970
90,626
83,924
241
246
257
262
258
258
261
243
23,877
23,579
23,417
22,942
22,678
24,409
22,796
10,817
Capital accounts
Capital paid in
Other capital accounts
Total liabilities and capital accounts
Contingent liability on acceptances purchased for
foreign correspondents
Marketable U.S. Govt, securities held in custody for
foreign and international accounts
Federal Reserve Notes—Federal Reserve Agents' Accounts
F.R. notes outstanding (issued to Bank)
Collateral held against notes outstanding:
Gold certificate account
U.S. Govt, securities
56,139
55,832
55,614
55,454
53,388
56,286
55,466
52,555
3,045
54,580
3,145
53,830
3,145
53,680
3,145
53,680
3,145
53,480
2,745
54,580
3,145
53,480
3,330
50,580
Total collateral
57,625
56,975
56,825
56,825
56,625
57,325
56,625
53,910
1 See note 6 on p. A-5.
See note 7 on p. A-5.
2
3
See note 1 (b) at top of p. A-77.
DECEMBER 1971 • FEDERAL RESERVE BANKS
A 13
STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON NOVEMBER 30, 1971
(In millions o f dollars)
Item
Total
Boston
New
York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
Minneapolis
St.
Louis
Kansas
City
Dallas
San
Francisco
Assets
9,875
400
747
258
D i s c o u n t s and advances:
Secured by U . S . G o v t , securities
Other
Acceptances:
396
23
101
7
6
21
745
33
27
28
665
22
176
35
799
70
32
28
366
15
19
16
165
7
25
8
457
15
32
26
82
14
30
14
10
82
3
3
10
4
3
709
49
77
32
58
58
Federal agency obligations:
Bought outright
815
23
56
8
*
930
36
54
36
4
3,746
93
118
20
142
4
G o l d certificate account
Special Drawing Rights certif. a c c t . . . .
F . R . notes o f other banks
O t h e r cash
17
81
18
27
25
17
57
13
6
14
16
49
-267,8 1 7
3,342
16,217
3,622
5,358
4,926
3,469
11,291
2,543
1,265
2,713
3,236
9,835
Total loans and securities
68,361
3,365
16,377
3,640
5,385
4,955
3,496
11,430
2,559
1,274
2,741
3,255
9,884
Cash items in process o f c o l l e c t i o n . . .
Bank premises
Other assets :
D e n o m i n a t e d in foreign currencies..
13,216
148
769
2
2,428
8
724
3
955
23
982
13
1,316
16
2,142
17
711
14
561
18
758
17
772
9
1,098
8
1
1
1
2
47
34
144
129
1
All other
15
144
534
29
40
37
26
80
19
I3
T o t a l assets
93,698
4,711
23,067
5,299
7,237
7,044
5,753
14,600
3,719
2,071
U . S . G o v t , securities:
B o u g h t outright
340
1
1
2
19
24
71
4,066
4,201
11,930
Liabilities
54,186
2,906
13,280
3,173
4,431
4,751
2,697
9,447
2,076
895
2,018
2,093
6,419
23,718
1,994
177
784
147
6
6,455
275
5 82
1,176
223
7
1,534
227
12
1,260
107
7
1,576
123
9
2,879
180
19
882
118
4
644
79
3
1,131
175
5
1,312
89
7
4,085
251
16
144
555
1
144
498
3
12
3
4
1
1
2
2
28
Total deposits
26,588
938
7,454
1,409
1,773
1,386
1,711
3,082
1,005
727
1,313
1,410
4,380
Deferred availability cash items
10,573
606
756
31
1,731
146
596
31
829
48
767
43
1,201
31
1,706
101
555
22
398
13
640
26
576
28
818
86
91,953
4,631
22,611
5,209
7,081
6,947
5,640
14,336
3,658
2,033
3,997
4,107
11,703
735
702
308
33
33
14
192
185
79
38
36
16
67
63
26
38
36
23
50
47
16
109
105
50
25
24
12
17
16
5
31
30
8
41
39
14
94
88
45
93,698
4,711
23,067
5,299
7,237
7,044
5,753
14,600
3,719
2,071
4,066
4,201
11,930
258
12
6 68
13
23
13
17
39
9
6
11
15
32
6,783
F . R . notes
Deposits:
Member bank reserves
U . S . Treasurer—General a c c o u n t . .
Foreign
Other:
I M F gold deposit 4
All other
Other liabilities and accrued dividends
Total liabilities
Capital accounts
Capital paid in
Surplus
Other capital accounts
Total liabilities and capital a c c o u n t s . .
Contingent liability o n acceptances
purchased for foreign correspond-
Federal Reserve Notes—Federal Reserve Agents' Accounts
F.R.
notes outstanding (issued to
Bank)
Collateral held against notes outstanding:
G o l d certificate account
U . S . G o v t , securities
Total collateral
56,286
3,050
13,720
3,269
4,577
4,862
2,898
9,711
2,176
930
2,077
2,233
2,745
54,580
200
2,920
500
13,400
300
3,150
400
4,300
485
4,415
2,950
700
9,000
155
2,080
960
2,125
5
2,280
7,000
57,325
3,120
13,900
3,450
4,700
4,900
2,950
9,700
2,235
960
2,125
2,285
7,000
1
See note 6 o n p. A - 5 .
See note 7 o n p. A-5.
3 After deducting $11 million participations o f other F.R. Banks.
4
See note 1 (b) to table at top o f p. A-77.
2
5 After deducting $95 million participations o f other F . R . Banks.
6 After deducting $190 million participations o f other F . R . Banks.
NOTE.—Some figures for cash items in process o f collection and for
member bank reserves are preliminary.
A 14
OPEN MARKET ACCOUNT • DECEMBER 1971
TRANSACTIONS OF THE SYSTEM OPEN MARKET ACCOUNT
(In millions of dollars)
Outright transactions in U.S. Govt, securities, by maturity
Treasury bills
Total
Others within 1 year
1 - 5 years
Month
Gross
purchases
Gross
sales
1970—Oct.,
Nov.
Dec.
245
2,871
3,414
183
1,391
2,280
1971—Jan..
Feb.
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct..
1,515
5,832
3,142
2,229
1,291
1,955
2,067
1,818
1,547
5,153
2,523
1,298
248
1,165
1,617
1,024
772
1,133
2,102
1,088
134
327
Gross
purchases
Gross
sales
245
2,715
2,883
183
1,391
2,280
1,515
5,347
Redemptions
1,547
5,153
2,523
1,298
248
1,165
1,617
1,024
2,600
240
50
37
127
83
2,033
1,163
1,893
2,067
1,709
1,818
772
Gross
purchases
1970—Oct
Nov..
Dec..
1971
Jan
Feb. .
Mar..
Apr. .
May.
June .
July
Aug..
Sept..
Oct
Gross
sales
23
113
386
189
205
62
82
11
-360
991
104
84
189
-444
-104
83
- 2
-136
-82
1,133
Repurchase
agreements
(U.S. Govt,
securities)
Federal agency
obligations (net)
Net
change
in U.S.
Govt,
securities
Exch.
or maturity
shifts
Gross
purchases
Gross
sales
3,465
3,863
5,109
3,353
4,125
5,334
40
1,218
908
2,298
4,183
5,242
6,404
4,076
1,165
3,044
1,951
3,930
2,616
-359
679
1,698
-439
1,043
754
323
1,027
698
-361
74
16
-327
14
-547
4,092
464
82
174
263
119
46
38
2
37
127
1,088
iii
16
34
-6,712
-3,732
2,298
4.183
6,561
5,085
4,076
1,165
3,044
2.184
3,697
2,616
16
48
Exch.
or
maturity
shifts
327
-36
Gross
sales
Gross
sales
80
365
240
50
Over 10 years
Gross
purchases
Gross
purchases
6,362
37
5
Month
Exch.
or maturity
shifts
Exch.,
maturity
shifts,
or
redemptions
Gross
sales
134
Outright transactions in U.S. Govt, securities—Continued
5 - 1 0 years
Gross
purchases
Redemptions
8
14
1 Net change in U.S. Govt, securities, Federal agency obligations, and
bankers' acceptances.
Outright
Repurchase
agreements
8
-27
-61
186
—186
69
-69
61
35
Bankers'
acceptances
Outright,
net
*
1
21
2
- 5*
3
8
-1
-7
-3
-1
1
Under
repurchase
agreements,
net
-14
13
-50
85
-85
48
-48
55
-55
Net
change 1
34
1,204
819
-357
673
1,968
-707
1,099
705
316
1,148
634
-326
NOTE.—Sales, redemptions, and negative figures reduce System holdings; all other figures increase such holdings.
CONVERTIBLE FOREIGN CURRENCIES HELD BY FEDERAL RESERVE BANKS
(In millions of U.S. dollar equivalent)
End o f
period
Total
Pounds
sterling
1968—Dec
1969—Dec
2,061
1,967
1,444
1,575
1970—Aug
Sept
Oct
Nov
Dec
280
680
408
265
257
180
580
306
161
154
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
186
107
34
34
94
96
23
23
80
*
*
*
*
*
*
*
Austrian
schillings
Belgian
francs
Canadian
dollars
Danish
kroner
French
francs
433
199
German
marks
165
60
96
96
97
98
98
99
100
27
27
87
87
12
12
Italian
lire
1
125
Japanese
yen
Netherlands
guilders
Swiss
francs
DECEMBER 1971 • FEDERAL RESERVE BANKS; BANK DEBITS
A 15
MATURITY DISTRIBUTION OF LOANS AND U.S. GOVERNMENT SECURITIES
HELD BY FEDERAL RESERVE BANKS
(In millions o f dollars)
E n d of m o n t h
Wednesday
1971
Item
N o v . 17
N o v . 24
N o v . 10
1970
1971
Nov. 3
Oct. 27
N o v . 30
Oct. 31
N o v . 30
2,394
2,390
4
Federal agency obligations—Total
Within 15 d a y s 1
16 days t o 90 days
91 days t o 1 year
Over 1 year to 5 years
Over 5 years to 10 years
Over 10 years
252
249
3
2,043
2,040
3
146
143
3
211
210
1
300
298
2
133
104
29
57
30
27
91
67
24
86
48
38
58
47
52
12
40
87
56
31
68,258
5,420
14,219
15,175
24,920
7,432
1,092
66,765
6,132
15,202
15,779
23,325
5,411
916
67,836
8,438
14,068
15,678
23,325
5,411
916
67,758
5,055
17,229
15,822
23,325
5,411
916
67,817
1,811
15,966
16,111
25,209
7,597
1,123
67,205
6,218
14,849
16,486
23,325
5,411
916
61,233
1,984
12,511
21,460
18,724
5,933
621
375
196
1
74
68
22
14
U.S. G o v e r n m e n t securities—Total 2
Within 15 days 1
16 days to 90 days
91 days to 1 year
Over 1 year to 5 years
Over 5 years to 10 years
Over 10 years
196
196
69,487
5,757
14,551
15,475
25,107
7,489
1,108
Acceptances—Total
Within 15 days
16 days to 9 0 days
91 days to 1 year
390
386
4
202
160
42
D i s c o u n t s and advances—Total
Within 15 days
16 days to 9 0 days
91 days to 1 year
283
104
1
74
68
22
14
179
190
94
128
32
340
96
61
61
24
121
126
46
23
51
20
18
7
1
Holdings under repurchase agreements are classified as maturing
within 15 days in accordance with m a x i m u m maturity of the agreements.
1
74
68
22
14
51
20
18
7
51
20
18
7
2
Excludes Federal agency obligations held under repurchase agreement,
Total holdings o f such obligations (outright and under repurchase agreement) are s h o w n below.
BANK DEBITS AND DEPOSIT TURNOVER
(Seasonally adjusted annual rates)
D e b i t s to demand deposit a c c o u n t s 1
(billions o f dollars)
Turnover o f d e m a n d deposits
Period
Total
233
SMSA's •
Leading S M S A ' s
N.Y.
6 others
2
Total 232
SMSA's
(excl.
N.Y.)
226
other
SMSA's
Total
233
SMSA's
Leading S M S A ' s
N.Y.
6 others
2
Total 232
SMSA's
(excl.
N.Y.)
226
other
SMSA's
1970—Oct
Nov
Dec
10,780.2
10,533.9
10,896.5
4,899.8
4,824.0
5,016.1
2,497.4
2,420.1
2,480.1
5,880.5
5,709.9
5,880.3
3,383.0
3,289.8
3,400.2
78.1
75.6
77.0
175.9
168.5
170.6
78.4
75.8
76.7
53.4
51.6
52.4
43.2
41.8
42.6
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
10,688.4
11,508.9
11,425.9
11,658.7
11,119.2
11,815.7
11,770.0
12,369.5
>"12,310.5
12,265.3
4,825.9
5,477.4
5,309.7
5,356.8
4,903.9
5,202.8
5,147.4
5,704.9
5,613.7
5,776.2
2,453.5
2,524.1
2,505.3
2,597.1
2,573.9
2,765.2
2,773.9
2,795.7
2,815.3
2,710.9
5,862.5
6,031.5
6,116.2
6,301.9
6,215.3
6,612.9
6,622.6
6,664.7
r
6,696.8
6,489.1
3,408.9
3,507.4
3,610.9
3,704.8
3,641.4
3,847.7
3,848.8
3,869.0
r
3,881.4
3,778.3
76.3
82.0
79.5
80.5
76.6
80.1
79.8
83.7
83.0
83.2
168.3
191.3
183.5
185.6
171.2
179.3
178.9
198.7
191.7
201.5
76.8
79.5
76.5
78.7
77.9
82.4
82.7
83.4
84.0
81.1
52.6
54.0
53.3
54.4
53.4
55.8
55.8
56.0
56.3
54.7
42.9
43.9
44.1
44.7
43.7
45.3
'45.2
'45.3
45.4
44.3
1
Excludes interbank and U.S. Govt, demand deposit accounts.
2
Boston, Philadelphia, Chicago, Detroit, San Francisco-Oakland, and
L o s A n g e l e s - L o n g Beach.
NOTE.—Total S M S A ' s includes s o m e cities and counties not designated
as S M S A ' s .
For description of series, see Mar. 1965 BULLETIN, p. 390.
The data s h o w n here differ f r o m those s h o w n in the Mar. 1965 BULLETIN
because they have been revised, as described in the Mar. 1967 BULLETIN,
p. 389.
U.S. CURRENCY • DECEMBER 1971
A 16
DENOMINATIONS IN CIRCULATION
(In millions of dollars)
End of period
Total
in circulation 1
Coin and small denomination currency
Large denomination currency
Total
Coin
$1 2
$2
$5
$10
$20
Total
$50
$100
$500
$1,000 $5,000 $10,000
1939
1941
1945
1947
28,515
28,868
5,553
8,120
20,683
20,020
590
751
1,274
1.404
559
695
1,039
1.048
36
44
73
65
1,019
1,355
2,313
2,110
1,772
2,731
6,782
6,275
1,576
2,545
9,201
9,119
2,048
3,044
7,834
8,850
460
724
2,327
2,548
919
1,433
4,220
5,070
191
261
454
428
425
556
801
782
20
24
7
5
32
46
24
17
1950
1955
195 8
195 9
27,741
31,158
32,193
32.591
19,305
22,021
22,856
23,264
2,182
1,554
1,927
2,304
1,113
1,312
1,494
1,511
64
75
83
85
2,049
2,151
2,186
2,216
5,998
6,617
6,624
6.672
8,529
9,940
10,288
10,476
8,438
9,136
9,337
9,326
2,422
2,736
2,792
2,803
5,043
5,641
5,886
5,913
368
307
275
261
588
438
373
341
4
3
3
3
12
12
9
5
196 0
196 1
196 2
196 3
196 4
32,869
33,918
35,338
37,692
39,619
23,521
24,388
25,356
26,807
28,100
2,427
2,582
2,782
3,030
3.405
1,533
1,588
1,636
1,722
1,806
92
97
103
111
2,246
2,313
2,375
2,469
2,517
6,691
6,878
7,071
7,373
7,543
10,536
10,935
11,395
12,109
12,717
9,348
9,531
9,983
10,885
11,519
2,815
2,869
2,990
3,221
3,381
5,954
6,106
6,448
7,110
7,590
249
242
240
249
248
316
300
293
298
293
3
3
3
3
2
10
10
10
4
4
196 5
196 6
196 7
196 8
196 9
42,056
44,663
47,226
50,961
53,950
29,842
31,695
33,468
36,163
37,917
4,027
4,480
4,918
5,691
6,021
1,908
2,051
2,035
2.049
2,213
127
137
136
136
136
2,618
2,756
2,850
2,993
3,092
7,794
8,070
8,366
8,786
8,989
13,369
14,201
15,162
16,508
17,466
12,214
12,969
13,758
14,798
16,033
3,540
3,700
3,915
4,186
4,499
8,135
8,735
9,311
10,068
11,016
245
241
240
244
234
288
286
285
292
276
3
3
3
3
3
4
4
4
4
5
1970—Oct..
Nov.
Dec.
55,021
56,381
57,093
38,192
39,284
39,639
6,213
6,251
6,281
2,181
2,242
2,310
136
136
136
2,975
3,068
3,161
8,761
9,090
9,170
17,926
18,497
18,581
16,829
17,097
17,454
4,694
4,781
4,896
11,656
11,839
12,084
217
216
215
255
254
252
3
3
3
4
4
4
1971—Jan..
Feb.
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct..
55,345
55,611
56,304
56.592
57,403
58,393
58,558
58,904
58,797
59,216
38,081
38,298
38,785
38,917
39,509
40,263
40,238
40,442
40,284
40,559
6,254
6,266
6,303
6,360
6,410
6,472
6,493
6,537
6,556
6,589
2,190
2,178
2,200
2,206
2,245
2,277
2,260
2,267
2,273
2,302
136
136
136
136
136
136
136
136
135
135
2.971
2.972
3,011
3,001
3,048
3,099
3,068
3,058
3,053
3,071
8.673
8,753
8,835
8,826
8,960
9,137
9,031
9,045
8,987
9,054
17,857
17,994
18,300
18,388
18,711
19,144
19,251
19,398
19,279
19,408
17,264
17,313
17,519
17,675
17,894
18,130
18,321
18,462
18,514
18,657
4,809
4,822
4,892
4,917
4,994
5,075
5,129
5,162
5,155
5,183
11,983
12,022
12,160
12,294
12,438
12,596
12,735
12,845
12,906
13,024
214
213
212
210
210
209
208
207
206
205
251
249
248
246
245
243
242
241
240
239
3
3
3
3
3
3
3
2
2
2
4
4
4
4
4
4
4
4
4
4
7,598
11,160
2
i Outside Treasury and F.R. Banks. Before 1955 details are slightly
overstated because they include small amounts of paper currency held
by the Treasury and the F.R. Banks for which a denominational breakdown is not available.
Paper currency only; $1 silver coins reported under coin.
NOTE.—Condensed from Statement of United States Currency and
Coin, issued by the Treasury.
KINDS OF UNITED STATES CURRENCY OUTSTANDING AND IN CIRCULATION
(Condensed from Circulation Statement of United States Money, issued by Treasury Department. In millions of dollars)
Held in the Treasury
Kind of currency
Gold
Gold certificates
Federal Reserve notes
Treasury currency—Total
Standard silver dollars
Nonsilver dollars
Fractional coin
United States notes
In process of retirement 4
Total—Oct. 31, 1971
Sept. 30 1971
Oct. 31, 1970
Total, outstanding, As security
Oct. 31,
against
Treasury
1971
gold and
cash
silver
certificates
10,132
(9,875)
55,464
7,595
(9,875)
1
3,293
319
3
10
56
1
(9,875)
(9,875)
(10,819)
1971
1
1970
Oct.
31
Sept.
30
Oct.
31
52,011
7,205
51,625
7,172
48,207
6,814
257
3 9,874
1
Outside Treasury and F.R. Banks. Includes any paper currency held
outside the United States and currency and coin held by banks. Estimated totals for Wed. dates shown in table on p. A-5.
2
Includes $144 million gold deposited by and held for the International
Monetary Fund.
3 Consists of credits payable in gold certificates, the Gold Certificate
Fund—Board of Governors, FRS.
4
Redeemable from the general fund of the Treasury.
Held by
F.R.
Banks
and
Agents
160
70
485
69
6,423
323
295
5 73,192
5 72,843
5 69,872
2
For
F.R.
Banks
and
Agents
Currency in circulation
59
260
487
463
462
482
9,874
9,874
10,818
3,614
3,708
3,571
482
482
6,107
321
295
6,074
321
295
5,731
303
299
59,216
58,797
55,021
5
Does not include all items shown, as gold certificates are secured by
gold. Duplications are shown in parentheses.
NOTE.—Prepared from Statement of United States Currency and Coin
and other data furnished by the Treasury. For explanation of currency
reserves and security features, see the Circulation Statement or the Aug.
1961 BULLETIN, p. 936.
DECEMBER 1971 • MONEY STOCK
A 17
MEASURES OF THE MONEY STOCK
(In billions o f dollars)
Seasonally adjusted r
M o n t h or week
Mi
M2
r
Ms
Ms
(M2 plus deposits
at nonbank thrift
institutions) 2
Mi
(Currency plus
demand deposits)
(Mi plus time
deposits at c o m l .
banks other than
large t i m e C D ' s ) 1
(M2 plus deposits
at n o n b a n k thrift
institutions) 2
345.7
378.0
386.8
528.8
572.6
588.4
188.6
203.4
209.8
350.1
383.0
392.0
533.3
577.5
593.5
213.6
214.8
414.3
418.2
628.1
634.1
215.4
221.2
414.9
423.5
628.1
639.4
215.3
217.7
219.7
221.2
223.8
225.5
228.0
227.6
227.7
227.7
423.1
430.4
437.1
441.5
446.6
450.6
453.4
454.5
455.6
458.3
460.8
642.5
653.7
664.2
672.9
681.5
688.6
694.5
698.0
701.4
706.7
711.5
221.4
215.6
217.5
222.3
219.9
223.7
226.0
224.9
226.2
227.5
229.7
428.3
427.8
435.7
443.7
443.7
449.1
452.0
451.7
454.3
458.0
461.4
647.9
650.8
663.2
675.6
678.6
687.5
693.3
694.8
699.8
706.3
711.5
227.8
227.1
227.5
227.7
459.4
459.4
460.6
461.7
229.8
228.9
230.1
228.3
461.2
460.3
461.6
460. 3
227.7
462.1
230.7
463.2
Mi
(Currency plus
demand deposits)
(Mi plus time
deposits at coml.
banks other than
large time C D ' s ) 1
1967—Dec
1968—Dec
1969—Dec
183.1
197.4
203.7
1970—Nov
Dec
1971—Jan
Feb
Mar
Apr
June
July
Aug
Sept
Oct
Nov.f
221A
W e e k ending—
1971 _ N o v .
3
10
17
24
Dec.
N o t seasonally adjusted
lp
COMPONENTS OF MONEY STOCK MEASURES AND RELATED ITEMS
(In billions o f dollars)
Seasonally adjusted
N o t seasonally adjusted
Commercial banks
Commercial banks
Month
or
week
Currency
Demand
deposits
T i m e and savings
deposits
CD's
3
Other
Nonbank
thrift
institutions 4
Currency
Demand
deposits
Total
T i m e and savings
deposits
CD's
3
Other
Nonbank
thrift
institutions 4
U.S.
Govt,
deposits 5
Total
1967—Dec
1968—Dec
1969—Dec
40.4
43.4
46.0
142.7
154.0
157.7
20.8
23.6
11.0
162.6
180.6
183.2
183.4
204.2
194.1
183.1
194.6
201.5
41.2
44.3
46.9
147.4
159.1
162.9
20.6
23.6
11.1
161.5
179.6
182.1
182.1
203.2
193.2
183.1
194.6
201.5
5.0
5.0
5.6
1970—Nov
Dec
48.7
49.0
164.9
165.8
23.6
25.5
200.6
203.4
224.2
228.9
213.8
215.9
49.2
50.0
166.3
171.3
24.6
25.8
199.5
202.3
224.1
228.1
213.2
215.9
5.7
7.3
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov.f
49.3
49.7
50.0
50.5
50.8
51.1
51.6
51.7
51.9
52.2
52.2
166.0
168.0
169.7
170.7
173.0
174.5
175.8
176.3
175.7
175.5
175.5
26.6
27.5
28.1
27.8
28.5
29.4
30.4
30.8
31.6
32.7
32.2
207.8
212.7
217.4
220.3
222.8
225.0
225.9
226.5
228.0
230.6
233.1
234.4
240.2
245.4
248.1
251.3
254.4
256.4
257.3
259.6
263.3
265.3
219.4
223.3
227.1
231.4
234.9
238.0
241.1
243.6
245.8
248.4
250.7
49.1
49.1
49.5
50.1
50.5
51.0
51.9
51.9
51.9
52.2
52.7
172.3
166.5
168.0
172.3
169.4
172.7
174.1
173.0
174.3
175.3
176.9
27.0
27.4
28.0
27.1
27.6
28.4
29.5
31.2
32.1
33.6
33.7
206.9
212.2
218.2
221.4
223.8
225.4
226.0
226.9
228.1
230.6
231.7
233.8
239.6
246.2
248.5
251.4
253.8
255.5
258.1
260.3
264.1
265.5
219.6
223.0
227.5
231.9
234.8
238.4
241.3
243.1
245.5
248.3
250.3
6.8
8.4
5.5
5.5
7.8
5.3
6.8
6.8
7.5
5.3
3.9
Week ending—
1971 N o v
3
10
17
24
52.1
52.3
52.2
52.2
175.7
174.9
175.3
175.5
32.1
31.8
32.1
32.3
231.5
232.2
233.1
234.0
263.6
264.1
265.2
266.3
52.0
52.9
52.8
52.8
177.8
175.9
177.4
175.5
33.2
33.4
33.7
34.1
231.4
231.4
231.5
232.0
264.6
264.8
265.2
266.0
5.4
4.0
3.4
4.0
52.2
175.5
32.6
234.4
267.1
52.8
177.9
33.9
232.5
266.5
3.7
Dec
lp
1
Includes, in addition to currency and demand deposits, savings deposits, time deposits open account, and time certificates of deposits other
than negotiable time certificates of deposit issued in denominations o f
$100,000 or m o r e by large weekly reporting commercial banks.
2
Includes Mi, plus the average o f the beginning and end o f m o n t h
deposits o f mutual savings banks and savings and loan shares.
3
Negotiable time certificates o f deposit issued in denominations o f
$100,000 or m o r e by large weekly reporting commercial banks.
4
Average o f the beginning and e n d - o f - m o n t h deposits o f mutual savings
banks and savings and l o a n shares.
5
A t all commercial banks.
NOTE.—For description o f revised series and for back data, see pp. 8 8 0 93 of the N o v e m b e r BULLETIN.
Average o f daily figures. M o n e y stock consists o f (1) demand deposits
at all commercial banks other than those due to domestic commercial
banks and the U . S . G o v t . , less cash items in process of collection and F . R .
float; (2) foreign demand balances at F . R . B a n k s ; and (3) currency outside
the Treasury, F . R . Banks, and vaults of all commercial banks. T i m e deposits adjusted are time deposits at all commercial banks other than t h o s e
due to domestic commercial banks and the U . S . G o v t .
A 18
BANK RESERVES; BANK CREDIT • DECEMBER 1971
AGGREGATE RESERVES AND MEMBER BANK DEPOSITS
(In billions o f dollars)
Member bank reserves, S . A .
1
Deposits subject to reserve requirements 2
S.A.
Nonborrowed
N.S.A.
Demand
Required
Demand
Time
and
savings
Total
Total member
bank deposits
plus nondeposit
items 3
Private
U.S.
Govt.
Total
Time
and
savings
Private
U.S.
Govt.
S.A.
25.94
27.96
27.93
25.68
27.22
26.81
25.60
27.61
27.71
273.5
298.2
285.8
149.9
165.8
151.5
118.9
128.2
129.4
4.6
4.2
4.9
276.2
301.2
288.6
148.1
163.8
149.7
123.6
133.3
134.4
4.5
4.1
4.6
305.7
29.47
29.93
29.03
29.58
29.23
29.70
314.1
319.6
175.7
179.9
132.3
133.5
6.1
6.2
312.8
322.8
174.9
178.2
133.4
138.7
4.6
6.0
326.7
331.2
30.23
30.52
30.75
30.82
31.25
31.26
31.27
31.65
32.07
31.64
31.85
29.80
30.18
30.40
30.64
30.96
30.80
30.47
30.87
31.63
31.29
31.44
30.03
30.26
30.53
30.61
31.00
31.05
31.09
31.47
31.91
31.46
31.60
323.9
329.1
333.2
336.6
339.7
341.2
343.7
347.1
349.6
349.8
353.2
183.2
187.5
191.7
193.3
195.5
197.5
199.2
199.9
202.9
205.6
207.1
134.1
135.4
136.7
137.9
140.0
139.9
140.8
141.1
140.3
139.6
140.5
6.7
6.2
4.8
5.4
4.2
3.9
3.7
6.1
6.3
4.6
5.6
328.2
328.4
332.2
337.3
338.4
340.2
344.1
344.6
348.2
350.2
351.7
182.8
187.1
192.3
193.6
195.8
197.6
198.9
139.7
134.3
135.4
139.0
135.9
138.2
139.4
138.1
139.2
139.9
141.7
5.6
7.0
4.5
4.7
6.7
4.4
5.7
5.8
6.3
4.3
3.2
334.1
337.7
340.2
341.7
343.8
345.7
348.0
351.0
353.6
354.7
358.5
1 Averages of daily figures. D a t a reflect percentages of reserve requirements m a d e effective Apr. 17, 1969. Required reserves are based on
average deposits with a 2-week lag.
2
Averages o f daily figures. D e p o s i t s subject to reserve requirements include total time and savings deposits and net demand deposits as defined
by Regulation D . Private demand deposits include all demand deposits except those due to the U.S. Govt., less cash items in process of collection
and demand balances due from domestic commercial banks. Effective June
9, 1966, balances accumulated for repayment o f personal loans were eliminated from time deposits for reserve purposes. Jan. 1969 data are not
comparable with earlier data due t o the withdrawal f r o m the System o n
Jan. 2, 1969, o f a large member bank.
GROSS LOANS
200.8
202.7
205.9
206.8
3
Total member bank deposits subject to reserve requirements, plus
Euro-dollar borrowings, bank-related commercial paper, and certain
other nondeposit items. This series for deposits is referred to as "the
adjusted bank credit proxy."
NOTE.—Due to changes in Regulations M and D , required reserves
include increases o f approximately $400 million since Oct. 16, 1969.
Back data may be obtained f r o m the Banking Section, D i v i s i o n o f Research
and Statistics, Board o f Governors o f the Federal Reserve System, W a s h ington, D . C . 20551.
MID INVESTMENTS
(In billions of dollars)
Securities
Total i , 2
Loans1,
L o a n s 1 plus loans
sold to bank
affiliates 3
N o t seasonally adjusted
Seasonally adjusted
Securities
2
Total 1,2
Loans1,2
U.S.
Govt.
U.S.
Govt.
Other2
300.1
316.1
352.0
390.6
402.1
198.2
213.9
231.3
258.2
279.4
57.1
53.5
59.3
61.0
51.5
44.8
48.7
61.4
71.4
71.2
307.6
324.0
360.8
400.4
412.1
203.2
219.0
236.8
264.4
286.1
59.5
56.2
62.5
64.5
54.7
44.9
48.8
61.5
71.5
71.3
1970-—Oct. 28. .
N o v . 25. .
D e c . 31
426.2
429.3
435.9
289.1
290.0
292.0
56.3
56.3
58.0
80.8
83.0
85.9
425.6
429.3
446.8
287.5
288.4
299.0
57.2
58.3
61.7
81.0
82.5
86.1
293.5
293.8
294.9
27. .
24. .
31. .
28. .
26. .
30. ,
28. .
25..
440.7
446.1
449.5
452.5
456.1
461.1
463.7
468.4
472.4
476.5
478.4
293.7
295.7
296.5
298.2
300.7
5 301.7
304.1
310.0
312.7
316.4
317.5
58.9
60.8
61.1
60.7
60.4
62.8
61.6
60.6
60.2
59.1
58.9
88.1
439.5
442.4
447.7
450.9
453.6
464.8
463.0
466.1
472.0
475.8
478.5
290.9
292.1
294.6
296.7
300.0
5 307.1
305.6
309.3
313.4
314.5
316.0
61.5
61.4
61.6
60.0
58.8
60.3
59.3
58.7
58.7
60.0
61.1
87.1
88.9
91.5
94.2
94.9
5 97.4
98.2
98.1
99.9
101.3
101.4
296.6
298.6
299.3
300.9
303.5
5 304.8
307.0
312.8
315.7
319.3
320.3
1965—Dec.
1966—Dec.
1967—Dec.
1968—Dec.
1969-—Dec.
1971-—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
31.
31.
30.
31.
31 4
29 P
21P
24P
89.6
91.9
93.5
95.1
5 96.6
98.0
97.8
99.5
101.0
102.0
1
Adjusted to exclude domestic commercial interbank loans.
2
Beginning June 9, 1966, about $1.1 billion o f balances accumulated
for payment o f personal loans were deducted as a result o f a change in
Federal Reserve regulations.
Beginning June 3 0 , 1 9 6 6 , C C C certificates o f interest and Export-Import
Bank portfolio fund participation certificates totaling an estimated
$1 billion are included in "Other securities" rather than "Loans."
3
Includes ioans sold outright by commercial banks to o w n subsidiaries,
foreign branches, holding companies, and other affiliates.
4
Beginning June 30, 1969, data revised to include ail bank-premises
subsidiaries and other significant majority-owned domestic subsidiaries;
earlier data include commercial banks only. Also, loans and investments
are n o w reported gross, without valuation reserves deducted, rather than
net o f valuation reserves as was done previously. For a description o f t h e
revision, see Aug. 1969 BULLETIN, pp. 6 4 2 - 4 6 . D a t a s h o w n in this table
beginning January 1959 have been revised to include valuation reserves.
5
Beginning June 30, 1971, Farmers H o m e Administration insured notes
totaling approximately $700 million are included in "Other securities"
rather than in " L o a n s . "
NOTE.—Series revised. For m o n t h l y data 1959-70, see D e c . 1971 BULLETIN, pp. 9 7 4 - 7 5 . For monthly data, 1948-58, see Aug. 1968 BULLETIN,
pp. A - 9 4 - A - 9 7 . For a description o f the seasonally adjusted series see
the following Bulletins: July 1962, pp. 7 9 7 - 8 0 2 ; July 1966, pp. 9 5 0 - 5 5 ;
Sept. 1967, pp. 1 5 1 1 - 1 7 ; and D e c . 1971, pp. 9 7 1 - 7 3 . D a t a are for last Wed.
o f m o n t h except for June 30 and D e c . 31; data are partly or wholly estimated except when June 30 and D e c . 31 are call dates.
DECEMBER 1971 • BANKS AND THE MONETARY SYSTEM
A 19
CONSOLIDATED CONDITION STATEMENT
(In millions of dollars)
Assets
Liabilities
and capital
Total
assets,
netTotal
liabilities
and
capital,
net
Bank credit
Gold
stock
and
SDR
certificates 1
1947—Dec.
1950—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
U.S. Treasury securities
Loans
net
Total
Total
Coml.
and
savings
banks
Federal
Reserve
Banks
10,367
10,367
4,562
4,636
6,784
6,795
6,849
43,023
160,832
60,366
171,667
468,943 282,040
514,427 311,334
532,663 335,127
107,086
96,560
117,064
121,273
115,129
81.199
72,894
66,752
68,285
57,952
11,500
11,132
7,100
7,149
559,300
580,899
341,600
354,447
122,600
127,207
61,500
64,814
11,100
7,200
7,200
7,300
7,300
7,400
7,420
7,400
7,500
7,500
7,600
7,600
574,100
577,500
586,700
589,300
594,700
608,204
605,300
611,300
617,000
621,500
625,000
346,300
347,300
350,100
351,100
355.300
363.301
360,100
365,700
368,100
368,800
369,300
127,000
127,200
129,900
128,300
128,100
130,479
129,700
130,000
131,300
133,700
136,700
64,700
64,800
65,000
63,400
62.200
63,565
62,800
62,200
62,200
63,400
64,600
11,982
27.
24.
31.
28.
26.
30.
28..
25.v
29v
11,100
11,100
11,100
10,700
10,732
10,700
10,500
10,500
10,500
10,500
21
24f,
Other 3
22,559
20,778
49,112
52,937
57,154
22,754
22,706
31.
30.
30.
31.,
315
1970—Nov. 25.
Dec. 31.
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Treasury
currency
outstanding
3,328
2,888
Other
securities
Total
deposits
and
Capital
and
misc.
accounts,
net
4
12,800
51
23
10,723
14,741
69,839
81,820
82,407
188,148
199,008
487,709
531,589
549,879
175,348
184,384
444,043
484,212
485,545
14,624
43,670
47,379
64,337
61,100
62,142
251
95,100
99,245
578,000
599,180
510,400
535,157
67,600
64,020
62,000
61,700
64,200
64,000
64,900
65,518
65,800
66,400
67,600
67,800
69,500
300
700
800
900
900
1,396
1,100
1,400
1,600
2,500
2,500
100,800
592,400
595,800
605,100
607,800
612,800
626,356
623,400
629,300
635,000
639,600
643,100
527,200
529,600
539,100
544,300
550,400
560,032
559,500
563,500
567,500
570,800
574,100
65,200
66,300
66,000
63,400
62,300
66,324
64,000
65,800
67,600
68,800
69,000
1,200
103,000
106,600
110,000
111,300
114,424
115,400
115,600
117,500
119,000
119,100
DETAILS OF DEPOSITS AND CURRENCY
Related deposits (not seasonally adjusted)
Money stock
Seasonally adjusted
Date
Total
Currency
outside
banks
6
Time
Not seasonally adjusted
Demand
deposits
adjusted 7
Currency
outside
banks
Demand
deposits
adjusted 7
Total
Commercial
banks 8
U.S. Government
Postal
savings Savings
Sysbanks 9 tem 3
31..
30..
30..
31..
315.
110,500
114,600
181,500
199,600
206,800
84,400 113,597
26,100
90,000 117,670
24,600
39,600 141,900 191,232
42,600 157,000 207,347
45,400 161,400 214,689
26,476
25,398
41,071
43,527
46,358
87,121
35,249
56,411
92,272
36,314
59,246
150,161 242,657 182,243
163,820 267,627 202,786
168,331 260,992 193,533
17,746
20,009
60,414
64,841
67,459
1970—Nov.25..
Dec. 3 1 . .
202,300
209,400
47,600
47,800
154,700 205,500
161,600 219,422
48,900
49,779
156,600 294,900 224,400
169,643 302,591 230,622
1971—Jan. 2 7 . .
Feb. 2 4 . .
Mar. 3 1 . .
Apr. 28. .
May 2 6 . .
June 3 0 . .
July 2 8 . .
Aug. 2 5 .p.
Sept. 29 .
Oct. 21 p.
Nov. 24p.
203,300
204,900
214,100
207,200
212,400
217,900
213,900
214,700
213,800
215,400
215,800
48,300 155,000 205,900
48,500 156,400 203,800
49,300 164,800 208,200
48,900 158,300 207,400
49,500 162,900 209,900
50,000 167,900 215,010
50,400 163,500 213,700
50,300 164,400 213,000
50,400 163,400 212,400
51,000 164,400 216,300
51,100 164,700 219,200
47,600
47,900
48,800
48,500
49,400
50,491
50,500
50,600
50,500
50,900
52,500
158,300
155,900
159,400
158,800
160,500
164,519
163,200
162,300
161,900
165,400
166,700
307,600
313,900
322,100
324,200
328,400
331,873
334,000
336,300
340,700
343,400
345,700
1947—Dec.
1950—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
1 Includes Special Drawing Rights certificates beginning January 1970.
2
Beginning with data for June 30, 1966, about $1.1 billion in "Deposits
accumulated for payment of personal loans" were excluded from "Time
deposits" and deducted from "Loans" at all commercial banks. These
changes resulted from a change in Federal Reserve regulations. See table
(and notes), Deposits Accumulated for Payment of Personal Loans, p. A-32.
See footnote 1 on p. A-23.
3
After June 30, 1967, Postal Savings System accounts were eliminated
from this Statement.
4
See second paragraph of note 2.
5
Figures for this and later dates take into account the following changes
(beginning June 30, 1969) for commercial banks: (1) inclusion of consolidated reports (including figures for all bank-premises subsidiaries and
other significant majority-owned domestic subsidiaries) and (2) reporting
of figures for total loans and for individual categories of securities on a
gross basis—that is, before deduction of valuation reserves. See also note 1.
6
Series began in 1946; data are available only for last Wed. of month.
7
Other than interbank and U.S. Govt., less cash items in process of
collection.
235,000
240,400
247,000
248,300
251,700
253,651
255,800
257,700
261,400
263,600
265,500
Foreign,
net io
Treasury
cash
holdings
At
coml.
At
and
F.R.
savings Banks
banks
1,682
2,518
2,179
2,455
2,683
,336
,293
,344
695
596
1,452
2,989
5,508
5,385
5,273
870
668
1,123
703
1 ,312
70,500
71,969
2,500
3,148
500
6,200
8,409
800
,156
72,600
73,500
75,100
75,900
76,800
78,222
78,200
78,600
79,400
79,800
80,200
2,500
2,500
2,500
2,300
2,300
2,482
2,500
2,500
2,400
2,500
2,600
500
500
500
500
500
454
500
500
500
500
500
3,416
2,923
431
9,500
7,500
5,000
8,600
8,500
8,939
7,400
10,000
9,500
6,500
4,700
1,200
1,400
900
1,400
900
1,274
1,400
1,400
2,000
1,700
1,400
8
See first paragraph of note 2.
9
Includes relatively small amounts of demand deposits. Beginning with
June 1961, also includes certain accounts previously classified as other liabilities.
10
Reclassification of deposits of foreign central banks in May 1961 reduced this item by $1,900 million ($1,500 million to time deposits and $400
million to demand deposits).
NOTE.—For back figures and descriptions of the consolidated condition
statement and the seasonally adjusted series on currency outside banks and
demand deposits adjusted, see "Banks and the Monetary System," Section
1 of Supplement to Banking and Monetary Statistics, 1962, and BULLETINS
for Jan. 1948 and Feb. 1960. Except on call dates, figures are partly estimated and are rounded to the nearest $100 million.
For description of substantive changes in official call reports of
condition beginning June 1969, see BULLETIN for Aug. 1969, pp. 642-46.
A 20
COMMERCIAL BANKS • DECEMBER 1971
PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK
(Amounts in millions of dollars)
Loans and investments
Securities
Class of bank
and date
Cash
assets 3
Total
All commercial banks:
1941—Dec. 31 . . .
50,746
1945—Dec. 3 1 . . . 124,019
1947—Dec. 31 6. 116,284
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
31 . . .
30...
31 . . .
31 7.
322,661
359,903
401,262
421,597
Loans
l
U.S.
Treasury
21,714 21,808
26,083 90,606
38,057 69,221
217,726
235,954
265,259
295,547
56,163
62,473
64,466
54,709
Other
2
Interbank 3
Total
Other
3
48,772
61,477
71,537
71,341
69,119
77,928
83,752
89,984
403,368
451,012
500,657
530,665
U.S.
Govt.
352,287
395,008
434.023
435,577
19,770
967
21,883 1,314
2 4 , 7 4 7 1,211
27,174
735
27...
24...
31. . .
28...
26...
30...
28...
25...
29". .
27"..
24"..
454,250
458,040
463,500
467,030
469,010
480,524
478,300
482,230
489,640
491,270
495,590
31 . . .
31 . . .
31...
43,521
107,183
97,846
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
31 . . .
30...
31 . . .
31 7.
263,687
293,120
325,086
336,738
305,600
307,740
310,380
312,840
315,380
322,886
320,870
325,450
331,000
329,910
333,070
61,520
61,430
61,620
60,030
58,770
60,254
59,280
58,720
58,740
60,020
61,140
87,130
88,870
91,500
94,160
94,860
97,383
98,150
98,060
99,900
101,340
101,380
83,860
82,450
94,350
88,680
84,530
96,141
85,880
85,300
88,180
95,590
95,350
559,200
561,810
580,930
578,200
576,610
599,429
587,470
591,080
602,070
610,880
614,600
462,730
463,950
483,470
479,640
478,570
503,018
489,140
491,180
497,530
505,960
504,870
25,360
25,850
30,640
26,430
24,400
31,313
26,650
26,380
27,050
28,950
28,270
44 ,349
105 ,921
1,343 9 4 , 3 6 7
4,992
5,234
5,010
5,054
167,751
184,066
199,901
208,870
15,952
30,241
35,360
23 7,173 14,278
219 8 , 9 5 0 14,011
65 10,059 14,181
158,806 4 , 8 5 9
182,511
5,777
203,154 8,899
193,744 18,360
32,054
34,384
37,006
39,978
13,767
13,722
13,679
13,661
5 , 8 4 0 189,080 224,830 2 1 , 6 8 0 4 2 , 2 7 0 13,687
7 , 9 3 8 209,335 231,084 19,375 4 2 , 9 5 8 13,686
190,810
188,180
198,860
194,310
191,930
206,918
197,310
195,020
197,180
204,350
203,780
235,280
240,870
247,460
248,730
252,260
254,168
256,360
258,280
261,880
264,110
266,020
20,500
21,500
22,130
24,070
23,390
22,547
24,050
24,620
26,850
27,240
30,870
140 1,709
64 22,179
50 1,176
37,136
69,640
80,609
12,347
24,210
28,340
42,730
43,050
43,530
43,740
43,910
45,311
44,800
44,980
45,110
45,530
45,710
13,692
13,700
13,713
13,717
13,720
13,729
13,734
13,739
13,753
13,768
13,768
4
208
54
5,886
7,589
8,464
6,619
6,884
6,923
128,831 4 , 6 1 8
147,442 5 , 3 7 0
162,605 8,458
149,569 17,395
26,278
28,098
30,060
32,047
6,150
6,071
5,978
5,869
4,855 151,385 174,275 20,538 33,629
6 , 4 6 0 168,032 179,229 18,578 34,100
5,773
5,766
i
18,021 19,539
2 2 , 7 7 5 78,338
32,628 57,914
182,802
196,849
220,285
242,119
41,924
46,956
47,881
39,833
5,961 23,113 68,121 61,717 10,385
6 , 0 7 0 29,845 138,304 129,670 13,576
7 , 3 0 4 32,845 132,060 122,528 12,353
38,960
49,315
56,920
54,785
60,738
68,946
73,756
79,034
334,559
373,584
412,541
432,270
291,063
326,033
355,414
349,883
18,788
20,811
23,519
25,841
794
1,169
1,061
609
1970—Nov. 25. . . 350,746 244,442 42,661 63,643 72,422 441,486 355,566 23,516 1,535
Dec. 3 1 . . . 365,940 253,936 4 5 , 3 9 9 66,604 81,500 4 6 5 , 6 4 4 384,596 2 9 , 1 4 2 1,733
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Other
9,250
7,060
4,520
8,150
7,900
8,412
6,790
9,390
8,920
5,940
4,200
2,030
1,990
1,990
2,020
2,080
2,207
2,030
2,110
2,500
2,610
2,600
Number
of
banks
Time 5
Time
10,?>82
7,225 26,551 7 9 , 1 0 4 71,283
14, (365
7,331 34,806 160,312 150,227
9 , 0 0 6 37,502 155,377 144,103 12,792
240
Total
capital
accounts
Borrowings
Demand
Demand
1970—Nov. 2 5 . . . 442,970 302,160 5 8 , 2 8 0 82,530 82,400 5 4 6 , 9 5 0 446,170 2 4 , 6 8 0 1,740
Dec. 3 1 . . . 461,194 313,334 61,742 86,118 93,643 576,242 480,940 30,608 1,975
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Member of
F.R. System:
1941—Dec.
1945—Dec.
1947—Dec.
1
Deposits
Total
assets—
Total
liabilities
and
capital
accounts 4
359,731
362,488
366,723
368,539
369,182
378,233
376,133
379,269
385,391
21... 386,028
24".. 389,502
27...
24...
31. . .
28...
26...
30...
28...
25...
29. . .
Reserve city member:
New York City:**
1941—Dec. 31 . . .
1945—Dec. 31 . . .
1947—Dec. 31 . . .
12,896
26,143
20,393
4,432
4,631
4,309
4,114
138,218
151,980
163,920
169,750
45,222
44,840
45,193
43,704
42,601
44,038
42,844
42,337
42,369
43,586
44,630
67,326
68,732
70,753
72,795
73,068
74,665
75,301
74,939
76,447
77,595
77,551
73,521
72,296
83,092
78,152
73,902
84,743
75,342
74,807
77,361
83,963
83,791
451.224
452,887
469,355
465,677
462,599
482.225
471,089
473,923
483,064
490,047
493,030
369,092
369,632
386,692
382,149
379,887
400,973
388,088
389,558
394,598
401,167
399,720
24,179
24,680
29,399
25,278
23,243
29,965
25,436
25,169
25,829
27,616
26,960
1 ,785
1,744
1,749
1,776
1,838
1,980
1,804
1,883
2,274
2,385
2,372
7,929
5,730
3,726
6,957
6,663
6,984
5,496
7,907
7,369
4,840
3,317
152,695
150,712
159,983
155,728
153,227
165,827
157,436
155,336
157,000
162,600
161,930
182,504
186,766
191,835
192,410
194,916
196,218
197,916
199,263
202,126
203,726
205,141
19,557
20,440
21,107
22,983
22,237
21,700
23,131
23,749
25,843
26,203
29,782
33,950
34,213
34,658
34,799
34,944
35,822
35,555
35,723
35,827
36,179
36,303
5,761
5,754
5,751
5,747
5,742
5,736
5,730
5,730
5.724
5.725
5,725
4 , 0 7 2 7,265
7 , 3 3 4 17,574
7,179 11,972
1,559
1,235
1,242
6,637
6,439
7,261
19,862
32,887
27,982
17,932
30,121
25,216
4,202
4,640
4,453
6
17
12
866
6,940
267
12,051
17,287
19,040
807
1,236
1,445
195
30
1,648
2,120
2,259
36
37
37
247,183
248,916
250,777
252,040
253,513
259,530
257,988
261,993
266,575
264,847
267,321
31...
30...
31...
31 7.
46,5 36
52,141
57,047
60,333
35,941
39,059
42,968
48,305
4,920
6,027
5,984
5,048
5,674
7,055
8,094
6,980
14,869
18,797
19,948
22,349
64,424
74,609
81,364
87,753
51,837 6 , 3 7 0
60,407 7,238
63,900 8 , 9 6 4
62,381 10,349
467
741
622
268
1,016
1,084
888
694
26,535
31,282
33,351
36,126
17,449
20,062
20,076
14,944
1,874
1,880
2,733
4,405
5,298
5,715
6,137
6,301
12
12
12
12
1970—Nov. 2 5 . . .
Dec. 3 1 . . .
59,657
62,347
45,717
47,161
5,463
6,009
8,477 20,151
9,177 21,715
85,368
89,384
59,654 10,276
67,186 12,508
814
956
749
1,039
28,552
32,235
19,263
20,448
6,224
4,500
6,424
6,486
12
12
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
60,658
60,791
59,912
60,115
59,029
61,059
59,988
60,886
61,997
61,734
61,776
45,791
46,610
45,457
45,741
45,441
47,243
46,382
47,659
48,700
47,971
47,626
6,011
5,378
5,683
5,316
5,007
5,116
4,837
4,793
4,713
5,088
5,582
8,856
8,803
8,772
9,058
8,581
8,700
8,769
8,434
8,584
8,675
8,568
21,274
20,393
27,111
23,718
19,816
26,200
22,281
21,431
23,254
24,405
23,026
87,437
86,749
93.161
89,486
84,885
92,767
88,057
88,217
90,982
91,671
90.162
64,712
63,848
71,345
67,750
63,973
73,710
67,319
67,392
68,633
68,923
67,792
11,270
950
11,367
919
14,672
846
12,261
920
10,254
846
15,221
937
12,062
835
11,918
939
12,471 1,013
13,005 1,086
12,988 1,196
1,985
879
573
1,392
1,388
1,199
939
1,564
1,283
710
392
29,761
29,352
33,114
30,793
28,552
32,816
29,379
28,578
29,229
29,561
28,785
20,746
21,331
22,140
22.384
22,933
23,536
24,104
24,393
24,637
24,561
24,431
4,997
5,855
5,741
6,285
6,072
4,531
5,954
6,201
6,818
6,748
6,954
6,449
6,510
6,723
6,743
6,797
6,860
7,008
7,078
7,061
7,207
7,257
12
12
12
12
12
12
12
12
12
12
12
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
27...
24...
31...
28...
26...
30...
28...
25...
29. . .
27...
24...
For notes see p. A-23.
DECEMBER 1971 • COMMERCIAL BANKS
PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued
(Amounts in millions of dollars)
Deposits
Loans and investments
Securities
Class of bank
and date
Total
Loans
U.S.
Treasury
Reserve city member (cont.)
City of Chicago:
1941—Dec. 31
1945—Dec. 31
1947—Dec. 31
Other
Total
assets—
Total
liaCash
bilities
assets 3
and
capital
accounts 4
Interbank 3
Other
Total 3
Demand
2,760
5,931
5,r~"
954
1,333
1,801
1,430
4,213
2,890
376
385
397
1,566
1,489
1,739
4,363
7,459
6,866
4,057
7,046
6,402
11,802
12.744
14,274
14,365
8,756
9,223
10,286
10,771
1,545
1,574
1,863
1.564
1,502
1,947
2,125
2,030
2,638
2,947
3,008
2,802
14,935
16,296
18,099
17,927
12,673
13,985
14,526
13,264
1.433
1.434
1,535
1,677
1970—Nov. 25
Dec. 31
15,076
15.745
10,921
11,214
1,839
2,105
2,316
2,427
2,981
3,074
19,016
19,892
13,538
15,041
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
15,530
15,479
16,056
15,726
15,853
16,477
16,128
16,346
16,704
16,526
16,651
10,901
2,208
11,345
11,051
11,293
11,777
11,724
12,113
12,273
11,938
11,945
2,179
1,940
1,677
1,736
1.565
1,528
1,671
1,732
1,780
2,421
2,431
2,532
2,735
2,883
2,964
2,839
2,705
2,760
2,856
2,926
2,981
3,083
2,695
3,159
3,011
3,080
3,199
3,089
2,756
3,576
3,856
19,487
19,482
19,609
19,874
19,741
20,477
20,233
20,364
20,438
21,049
21,333
15,347
40,108
36,040
7,105 6,467
8,514 29,552
13,449 20,196
1,776 8,518
2,042 11,286
2,396 13,066
24,430
51,!
49,659
24,228
26,867
28,136
29,954
123,863
136,626
151,957
157.512
31
30
31
31 7
27
24
31
28
26
30
28
25
29
27
24
Other reserve city: 8>9
1941—Dec. 31
1945—Dec. 31
1947—Dec. 31
11,000 2,048
U.S.
Govt.
13,326
17,487
20,337
18,484
2,419
3,462
4,201
476
719
913
25
21
21
15
310
267
257
175
6,008
6,250
6,542
6,770
4,898
6,013
6,171
4,626
484
383
682
1,290
1,375
1,930
79
49
250
282
5,855
6,663
5,979
6,117
2,330
1,851
14,303
14,264
14,665
15,048
14,951
15,636
15,413
15,234
15,571
15,933
15,364
1.313
1,451
2,074
1,326
1,300
1,489
1,448
1,365
1,339
1,553
1,431
79
58
130
123
143
85
150
142
191
228
219
487
252
168
414
419
317
277
380
374
240
6,091
6,333
6,493
6,695
6,770
6,908
7,097
7,149
7,350
7,639
7,526
7,515
1,969
2,125
1,961
2,304
22,313
49,085
46,467
4,356
6,418
5,627
491 12,557 4,806
104
30 8,221 24,655 9,760
405 28,990 11,423
22
69,464
73,571
83,634
90,896
1970—Nov. 25
Dec. 31
126,943
133,718
91.301 13,789 21,853 26,774 160,182 129,249 9,213
96,158 14,700 22,860 31,263 171,733 140,518 11,317
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
130.725 92,805 14,490 23,430
131,751 92,932 14,498 24,321
134,204 94.302 14,636 25,266
134,119 94,416 13,830 25,873
134,244 95,022 13,409 25,813
137,326 97,061 14,552 25,713
136,792 97,128 13,487 26,177
137,513 98,538 13,132 25,843
140,060 100,339 13,121 26,600
139,515 98,621 13,810 27,084
141,455 100,318 14,203 26,934
31
30
31
31 7
27
24
31
28
26
30
28
25
29
27
24
Country member: 8>9
1941—Dec. 31
1945—Dec. 31
1947—Dec. 31
12,518
35,002
36,324
13,040
14,667
15,036
11,944
5,890 4,377
5,596 26,999
10,199 22,857
Other
127
,552
72
95,831
105.724
119,006
121,324
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
Times
Time
1,035
1.312
1,217
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
Borrowings
Demand
108,804 8,593
120,485 9,374
132,305 10,181
126,232 10,663
26,930
26,701
29,361
28,581
28,193
30,901
26,803
27,341
27,832
30,995
32,051
164,214
164,992
170.513
169,509
169,420
175,607
170,828
172,142
175,407
177,945
180,991
2,250 6,402
2,408 10,632
3,268 10,778
19,466
46,059
47,553
17,415
43,418
44,443
792
1,207
1,056
19,004
20,334
22,664
23,928
131,338
146,052
161,122
169,078
133,018 8,875
133,375 9,169
138,409 9,791
136,752 9,036
137,136 9,009
142,776 10,166
138,268 9,150
138,865 9,111
140,334 9,237
143,113 10,006
142,862 9,556
233
310
307
242
102
1,633
1,715
1,884
1,575
6,010
5,598
6,415
6,181
6,648
6,389
5,997
6,028
6,386
6,097
49,004
53,288
57,449
58,923
49,341
55,798
62,484
54,829
2,180
2,359
2,489
2,447
1,952
2,462
2,712
1
1,952
2,555
4,239
9,881
561 1,977 52,625 64,873 9,711
592 2,547 59,328 66,734 10,391
675
686
692
652
714
735
684
667
846
847
733
3,141
2,262
1,592
3,066
2,671
2,954
1,999
3,366
2,982
1,963
1,264
52,463
52,063
55,594
53,562
53,519
57,622
54,884
54,235
54,557
56,832
57,093
67,864
69,195
70,740
70,436
71,223
71,299
71,551
71,486
72,712
73,465
74,216
12,375
13,927
13,732
16,698
225 10,109 6,258
30
17 5,465 24,235 12,494
17
432 28,378 14.560
4
11
23
10,413
10,014
11,044
11,889
11,325
12,153
11,822
109,518
122,511
134,759
140,715
68,641
74,995
83,397
92,147
117,749
131,156
144,682
148,007
2,392
2,766
2,839
3,152
69
96
111
84
1,474 56,672 57,144
1,564 61,161 65,569
1,281 66,578 73,873
1,671 67,930 75,170
308
552
804
1,820
1970—Nov. 25
Dec. 31
149,070
154,130
96,503 21,570 30,997 22,516 176,920 153,125
99,404 22,586 32,140 25,448 184,635 161,850
2,652
3,387
81 1,879 64,353 84,160
135 2,592 69,806 85,930
2,273
1,836
1971—Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
152,818
154,467
156,551
158,579
160,056
163,371
163,225
164,524
166,630
168,253
169,620
22,513 32,619 22,336 180,086
22,916 33,177 22,119 181,664
22,695 34,183 23,925 186,072
22,618 35,129 22,694 186,808
22,508 35,791 22,882 188,553
22,634 37,289 24,563 193,374
22.955 37,516 23,059 191,971
22,884 37,957 22,946 193,200
22,864 38,503 23,519 196,237
22.956 38,980 24,987 199,382
23,065 39,123 24,858 200,544
2,721
2,693
2,862
2,655
2,680
3,087
2,776
2,775
2,782
3,052
2,985
81
81
81
81
135
224
135
135
224
224
224
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
31
30
31
317
27
24
31
28
26
30
28
25
29
27
24*>
For notes see p. A-23.
97,686
98,374
99,673
100,832
101,757
103,449
102,754
103,683
105,263
106,317
107,432
22,419
24,689
24,998
21,278
18,458
22,826
26,364
27,291
157.059
158,145
162,273
162,599
163,827
168,852
167,088
168,067
170.060
173,198
173,702
2,316
2,337
1,393
2,085
2,185
2,512
2,281
2,597
2,730
1,927
1,559
64,380
63,287
65,677
64,958
64,975
68,742
66,784
66,526
67,186
69,821
69,955
87.561
89,747
92,260
92,820
93,852
94,286
95,112
96,034
97,138
98,174
98,979
2,178
2,446
2,361
2,505
2,660
2,656
2,866
2,726
3,146
3,261
3,418
A 21
A 22
COMMERCIAL BANKS • DECEMBER 1971
PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued
( A m o u n t s in millions o f dollars)
L o a n s and investments
Classification by
F R S membership
and F D I C
insurance
Insured banks:
Total:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
Securities
Total
Loans
l
U.S.
Treasury
|
j
Deposits
Other
2
Total
assets—
Total
Cash
liaassets 3 bilities
and
capital
accounts4
Interbank 3
Other
Total 3
Borrowings
Demand
Demand
i
Total
capital
accounts
Time
5
Time
U.S.
Govt.
Number
of
banks
Other
j
49,290
121,809
114,274
21,259 21,046
25,765 88,912
37,583 67,941
10, 654
76,820 69,411
13, 883
157,544 147,775
1 5 2 , 7 3 3 141,851 1 2 , 6 1 5
6,984 25,788
7,131 34,292
8,750 36,926
1,762
23,740
54
1,325
41,298
80,276
92,975
15,699
29,876
34,882
10
215
61
6,844 13,426
8,671 13,297
9,734 13,398
1 9 6 3 — D e c . 2 0 . . 2 5 2 , 5 7 9 155,261 6 2 , 7 2 3 3 4 , 5 9 4 5 0 , 3 3 7 3 1 0 , 7 3 0 2 7 3 , 6 5 7 1 5 , 0 7 7
1964—Dec. 3 1 . . 275,053 174,234 62,499 38,320 59,911 343,876 305,113 17,664
1965—Dec. 3 1 . . 303,593 200,109 59,120 44,364 60,327 374,051 330,323 18,149
443
733
923
6 , 7 1 2 140,702 110,723
6,487 154,043 126,185
5,508 159,659 146,084
3,571 25.277
2,580 27,377
4,325 29,827
1966—Dec. 3 1 . . 321,473 217,379 55,788 48,307 68,515 401,409 351,438 19,497
1967—Dec. 3 0 . . 358,536 235,502 62,094 60,941 77,348 448,878 394,118 21,598
1968—Dec. 3 1 . . 399,566 264,600 64,028 70,938 83,061 498,071 432,719 24,427
881
1,258
1,155
4,975 166,689 159,396
5,219 182,984 183,060
5,000 198,535 203,602
4,717 31,609 13,533
5,531 33,916 13,510
8,675 36,530 13,481
1969—June 30?. 4 0 8 , 6 2 0 2 8 3 , 1 9 9 5 3 , 7 2 3 7 1 , 6 9 7 8 7 , 3 1 1 5 1 3 , 9 6 0 4 2 3 , 9 5 7 2 4 , 8 8 9
Dec. 3 1 . . 419,746 294,638 54,399 70,709 89,090 527,598 434,138 26,858
800
695
1970—June 3 0 . . 4 2 1 , 1 4 1 2 9 4 , 9 6 3 5 1 , 2 4 8 7 4 , 9 2 9 8 4 , 8 8 5 5 2 6 , 4 8 4 4 3 1 , 0 9 4 2 6 , 0 1 7
Dec. 3 1 . . 458,919 312,006 61,438 85,475 92,708 572,682 479,174 30,233
829
1,874
8,040 191,752 204,456 18,215 41,159
7,898 208,037 231,132 19,149 42,427
13,478
13,502
2,166
8,391
205,736 254,036 22,297 44,816
13,547
1971—June
30.. 478,302 321,575 59,991 96,735 95,181
National member:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
27,571
69,312
65,280
1963—Dec. 2 0 . .
1964—Dec. 3 1 . .
1965—Dec. 3 1 . .
137,447
151,406
176,605
595,819 501,283
35
1,088
14,013
795
23,262
45,473
53,541
8,322
16,224
19,278
4
78
45
3,640
4,644
5,409
5,117
5,017
5,005
8 4 , 8 4 5 3 3 , 3 8 4 19,2181 2 8 , 6 3 5 1 7 0 , 2 3 3 1 5 0 , 8 2 3 8 , 8 6 3
9 6 , 6 8 8 3 3 , 4 0 5 2 1 , 3 1 2 3 4 , 0 6 4 1 9 0 , 2 8 9 1 6 9 , 6 1 5 10,521
118,537 32,347 25,720 36,880 219,744 193,860 12,064
146
211
458
3,691
3,604
3,284
76.836
84,534
92,533
61,288
70,746
85,522
1,704
1,109
2,627
13,548
15,048
17,434
4,615
4,773
4,815
1 9 6 6 — D e c . 3 1 . . 187,251 1 2 9 , 1 8 2 3 0 , 3 5 5 2 7 , 7 1 3 4 1 , 6 9 0 2 3 5 , 9 9 6 2 0 6 , 4 5 6 1 2 , 5 8 8
1967—Dec. 3 0 . . 208,971 139,315 34,308 35,348 4 6 , 6 3 4 263,375 231,374 13,877
1968—Dec. 3 1 . . 236,130 159,257 35,300 41,572 50,953 296,594 257,884 15,117
437
652
657
3,035
3,142
3,090
96,755 93,642
106,019 1 0 7 , 6 8 4
116,422 122,597
3,120 18,459
3,478 19,730
5,923 21,524
4,799
4,758
4,716
1969—June 30?. 2 4 2 , 2 4 1 1 7 0 , 8 3 4 2 9 , 4 8 1 4 1 , 9 2 7
Dec. 3 1 . . 247,526 177,435 29,576 4 0 , 5 1 4
3,806! 1 4 , 9 7 7
4,137 20,144
5,178 22,024
39,458
84,939
82,023
6 , ' 786
5,624 192,357 200,287 14,450 38,321 13,464
5,038 207,311 194,237 18,024 39,450 13,464
8,375
1 1 , 7 2 5 12,039
13,925 51,250
21,428 38,674
43,433
90,220
88,182
30,953j
13,284
13,486
13,540
9 , : 229
52,271 305,800 251,489
54,721 313,927 256,314
14,324
16,299
437
361
3,534
3,049
113,134 120,060 9,895 22,628
121,719 114,885 12,279 23,248
4,700
4,668
1970—June 3 0 . . 2 4 7 , 8 6 2 1 7 6 , 3 7 6 2 8 , 1 9 1 4 3 , 2 9 5 5 1 , 9 4 2 3 1 2 , 4 8 0 2 5 4 , 2 6 1
Dec. 3 1 . . 271,760 187,554 34,203 50,004 56,028 340,764 283,663
14,947
18,051
393
982
5 , 0 6 6 113,296 120,559 13,051 2 4 , 1 0 6
4 , 7 4 0 122,298 137,592 13,100 24,868
4,637
4,620
16,575
1,441
1971—June
30.. 281,830 192,339 33,759 55,732
57,244 352,807 294,025
State member:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
15,950
37,871
32,566
7,500
6,295
8,850 27,089
11,200 19,240
1963—Dec. 2 0 . .
1964—Dec. 3 1 . .
1965—Dec. 3 1 . .
72,680
77,091
74,972
9,855
46,866 15,958
51,002 15,312 10,777
51,262 12,645 11,065
15,760
18,673
15,934
1966—Dec. 3 1 . .
1967—Dec. 3 0 . .
1968—Dec. 3 1 . .
77,377
85,128
89,894
1969—June 30 7.
Dec. 31..
24,688
48,084
43,879
22,259
44,730
40,505
3 , ' 739
4,- 411
3,9781
91,235
98,852
93,640
78,553
86,108
81,657
54,560 11,569 11,247
58,513 12,649 13,966
61,965 12,581 15,348
88,346
90,088
64,007 9 , 9 0 2 14,437
6 5 , 5 6 0 1 0 , 2 5 7 14,271
1970—June 3 0 . .
Dec. 31..
88,404
94,760
64,439
66,963
1971—June
67,726 10,279 18,934 27,499 129,955
5,118
121,096 149,795
15,629 25,999
62 li
8,1661
381
13,874
24,168
27,068
4,025
7,986
9,062
1
130
15
5,655
6,486
5,390 i
236
453
382
2,295
2,234
1,606
40,725
44,005
39,598 I
29,642
32,931
34,680
19,049 9 9 , 5 0 4 85,547
2 2 , 3 1 2 111,188 ; 95,637
22,803 116,885 98,467
6,200 i
6,934 i
8,402
357
516
404
1,397
1,489
1,219
41,464
45,961
47,498
26,344 119,358
24,313 119,219
9,773
9,541
285
248
1,341
1,065
9,133 14,832 23,598 117,209
91,967 10,175
11,196 16,600 2 5 , 4 7 2 125,460 , 101,512 11,091
299
750
539
2,155! 8 , 1 4 5
1,933| 9 , 7 3 1
2,125. 1 0 , 8 2 2
93,858
94,445
107,484 13,389
4,598
2,246
2,945
3,055
1,502
1,867
1,918
1,795
1,372
1 ,607
7,506
7,853
7,492
1,497
1,452
1,406
36,129
40,736
40,945
1,498
1,892
2,535
7,819
8,368
8,536
1,351
1,313
1,262
45,152
48,030
37,307
35,560
4,104
5,116
8,689
8,800
1,236
1,201
1,891
1,720
42,620
45,734
36,983
42,218
4,457
5,478
9,078
9,232
1,166
1,147
1,865
44,731
46,959
6,071
9,823
1,138
53
1,560i
149
4,162
10,635
12,366
3,360
5,680
6,558
6
7
7
959
1,083
1,271
6,810
6,416
6,478
9
30..
96,939
Nonmember:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
5,776
14,639
16,444
3,241
1,509
2 , 9 9 2, 1 0 , 5 8 4
4 , 9 5 8 10,039
1,025 i
1,063
1,448
2,668
4,448
4,083
8,708
19,256
20,691
7,702
18,119
19,340
262
4
1963—D e c . 2 0 . .
1964—Dec. 3 1 . .
1965—Dec. 3 1 . .
42,464
46,567
52,028
2 3 , 5 5 0 i 13,391
2 6 , 5 4 4 • 1 3 , 7 9 0•
3 0 , 3 1 0 i 14,137'
5,523
6,233
7,581
5 , 9 4 2,
7,174
7,513
49,275
54,747
60,679
44,280
49,389
54,806
559!
658!
695
61
70i
83
726 i
6491
618
2 3 , 1 4 0i
2 5 , 5 0 4•
2 7 , 5 2 8:
19,793
22,509
25,882
72
99
91
4,234
4,488
4,912,
7,173
7,262
7,320
1966—Dec. 3 1 . .
1967—Dec. 3 0 . .
1968—Dec. 3 1 . .
56,857
64,449
73,553
3 3 , 6 3 6i 1 3 , 8 7 3 9 , 3 4 9
3 7 , 6 7 5 : 15,146i 11,629
4 3 , 3 7 8 ! 16,155; 14,020i
7,777'
8 , 4 0 3i
9 , 3 0 5!
65,921
74,328
8 4 , 6 0 5;
59,434
67,107
76,368
7091
786
908
87
89
94
543i
588!
691
28,471
3 1 , 0 0 4I
3 4 , 6 1 5i
2 9 , 6 2 5i
34,64C•
40,06C1
99
162:
217'
5 , 3 4 2:
5 , 8 3 0l
6 , 4 8 2:
7,384
7,440
7,504
1969—June 307.
Dec. 31..
78,032
82,133
8 , 6 9 6i
4 8 , 3 5 8: 14,341 1 5 , 3 3 3
5 1 , 6 4 3 1 14,565i 15,925; 10,056>
8 8 , 8 0 2:
9 4 , 4 5 3i
78,610
83,380
791!
1,017
78i
85i
749»
9241
34,07C)
37,561
42,921
4 3 , 7 9 2I
451
629>
7 , 0 0 4t
7,403!
7,528
7,595
1970—June
30..
31..
84,875
92,399
5 4 , 1 4 9 > 13,924! 1 6 , 8 0 2: 9 , 3 4 6i 9 6 , 7 9 4t
•
5 7 , 4 8 9 ' 16,039» 18,871 11,208 1 106,457r
84,865
93,998
89-41
Dec.
1,091
137r
141
1 , 0 8 :\
1,438 I
3 5 , 8 3 ''
4 0 , 0 0 !>
4 6 , 9 1 21
5 1 , 3 2 :>
7081
571l
7,975i
8 , 3 2 (i
7,675
7,735
1971—June
30..
99,532
6 1 , 5 0 9 » 15,9531 2 2 , 0 7 01 10,439I 113,058;
99,774
18<>
1 , 4 0 S)
39,90SI
57,282$
59'1
8 , 9 9 ;\
7,811
F o r notes see p. A-23.
129
244
98S >
DECEMBER 1971 • COMMERCIAL BANKS
A 23
PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued
( A m o u n t s in millions o f dollars)
L o a n s and investments
Deposits
Securities
Classification by
F R S membership
and F D I C
insurance
Cash
assets 3
Total
Loans
U.S.
Treasury
Noninsured
nonmember:
1941—Dec. 31.
1945—Dec. 31.
1 9 4 7 — D e c . 316
Other
Total
assets—
Total
liabilities
and
Total3
capital
accounts 4
Interbank
Time
Borrowings
761
1,693
1,280
241
200
255
763
514
576
2,283
2,768
2,643
1,872
2,452
2,251
329
181
177
1963—Dec. 2 0 . .
1964—Dec. 3 1 . .
1965—Dec. 3 1 . .
1,571
2,312
2,455
745
1,355
1,549
463
483
418
362
474
489
374
578
572
2,029
3,033
3,200
1,463
2,057
2,113
190
273
277
1967—Dec. 3 0 . .
1968—Dec. 3 1 . .
2,638
2,901
1,735
1,875
370
429
533
597
579
691
3,404
3,789
2,172
2,519
1969—June 30 7.
Dcc. 31..
2,809
2,982
1,800
2,041
321
310
632
898
895
3,942
4,198
1970—June 3 0 .
Dec. 31.
3,043
3,079
2,073
2,132
321
304
650
642
746
934
1971—June
2,968
2,057
263
648
7,233
16,849
18,454
3,696
3,310
5,432
2,270
12,277
11,318
1963—Dec. 20.
1 9 6 4 — D e c . 31.
1 9 6 5 — D e c . 31.
44,035
48,879
54,483
24,295
27,899
31,858
1967—Dec. 30.
1 9 6 8 — D e c . 31.
67,087
76,454
1969—June 30 7.
Dec. 31..
1970—June 3 0 .
Dec. 31.
Total
capital
accounts
Number
of
banks
Time
U.S.
Govt.
455
318
474
Other
1,291
1,905
1,392
'
253
365
478
13
4
4
329
279
325
852
714
783
83
86
85
832
1,141
1,121
341
534
612
93
99
147
389
406
434
285
274
263
285
319
58
56
1,081
1,366
733
767
246
224
457
464
211
197
2,556
2,570
298
316
81
41
1,430
1,559
731
638
290
336
502
528
209
197
4,140
4,365
2,280
2,570
321
375
69
101
1,247
1,298
606
756
331
226
549
532
193
184
960
4,356
2,480
360
1,266
1,262
1,703
3,431
4,962
4,659
10,992
22,024
23,334
9,573
20,571
21,591
457
425
439
190
5,504
14,101
167 1 3 , 7 5 8
3,613
6,045
7,036
18
11
12
1,362
1,596
7,662
7,130
7,261
13,854
14,273
14,555
5,885
6,707
8,070
6,316
7,752
8,085
51,304
57,780
63,879
45,743
51,447
56,919
749
931
972
144
156
168
743
672
635
23,972
26,645
28,649
20,134
23,043
26,495
165
198
238
4,623
4,894
5,345
7,458
7,536
7,583
39,409
45,253
15,516
16,585
12,162
14,617
8,983
9,997
77,732
88,394
69,279
78,887
1,071
1,227
147
150
603
701
32,085
35,981
35,372
40,827
408
441
6,286
6,945
7,651
7,701
80,841
85,115
50,159
53,683
14,662
14,875
16,021
16,556
9,594
10,950
92,743
98,651
81,166
85,949
1,090
1,333
160
126
765
940
35,500
39,120
43,652
44,430
741
965
7,506
7,931
7,737
7,792
87,919
95,478
56,222
59,621
14,245
16,342
17,452
19,514
10,092 100,934 87,145
1 2 , 1 4 3 110,822 9 6 , 5 6 8
1,215
1,466
207
243
1,119
1,478
37,084
41,303
47,520
52,078
1,038
796
8,523
8,858
7,868
7,919
102,500
63,566
16,216
22,718
11,398 117,414 102,254
1,348
227
1,429
41,091
58,160
847
9,489
7,993
30.
Total nonmember:
1 9 4 1 — D e c . 31
1 9 4 5 — D e c . 31
1 9 4 7 — D e c . 31
30.
Other
Demand
Demand
1,457
2,211
2,009
1971—June
3
1 Beginning June 30, 1966, loans to farmers directly guaranteed by
C C C were reclassified as securities, and Export-Import Bank portfolio
fund participations were reclassified from loans to securities. This reduced
Total l o a n s and increased "Other securities" by about $1 billion. Total
loans include Federal funds sold, and beginning with June 1967 securities
purchased under resale agreements, figures for which are included in
"Federal funds sold, etc.," o n p. A - 2 4 .
Beginning June 30, 1971, Farmers H o m e Administration notes are
classified as "Other securities" rather than "Loans." A s a result of this
change, approximately $700 million was transferred to "Other securities"
for the period ending June 30, 1971, for all commercial banks.
See also table (and notes) at the b o t t o m o f p. A - 3 2 .
2
See first t w o paragraphs o f n o t e 1.
3
Reciprocal balances excluded beginning with 1942.
4
Includes items n o t s h o w n separately. See also note 1.
5
See last paragraph o f note 1.
6 Beginning with D e c . 31, 1947, the series was revised; for description,
see note 4, p. 587, M a y 1964 BULLETIN.
7
Figure takes into account the following changes beginning June 30,
1969: (1) inclusion o f consolidated reports (including figures for all bankpremises subsidiaries and other significant majority-owned domestic
subsidiaries) and (2) reporting o f figures for total loans and for individual
categories o f securities o n a gross basis—that is, before deduction o f
valuation reserves—rather than net as previously reported.
8 Regarding reclassification as a reserve city, see A u g . 1962 BULLETIN,
p. 993. F o r various changes between reserve city and country status in
1960-63, see note 6, p. 587, M a y 1964 BULLETIN.
185
18
1,182
182
250
1,288
9 Beginning Jan. 4, 1968, a country bank with deposits o f $321 million
was reclassified as a reserve city bank. Beginning Feb. 29, 1968, a reserve
city bank in Chicago with total deposits o f $190 million was reclassified as
a country bank.
NOTE.—Data are for all commercial banks in the U n i t e d States (including Alaska and Hawaii, beginning with 1959). Commercial banks represent
all commercial banks, b o t h m e m b e r and n o n m e m b e r ; stock savings
banks; and nondeposit trust c o m p a n i e s .
For the period June 1941-June 1962 m e m b e r banks include mutual
savings banks as f o l l o w s : three before Jan. 1960, t w o through D e c . 1960,
and one through June 1962. T h o s e banks are n o t included in insured
commercial banks.
Beginning June 30, 1969, commercial banks and member banks exclude
a small national bank in the Virgin Islands; also, member banks exclude,
and noninsured commercial banks include, through June 30, 1970, a small
member bank engaged exclusively in trust business.
Comparability o f figures for classes o f banks is affected s o m e w h a t by
changes in F.R. membership, deposit insurance status, and the reserve
classifications o f cities and individual banks, and by mergers, etc.
D a t a for national banks for D e c . 31, 1965, have been adjusted to m a k e
them comparable with State bank data.
Figures are partly estimated except o n call dates.
For revisions in series before June 30, 1947, see July 1947 BULLETIN,
pp. 870-71.
A 24
COMMERCIAL BANKS • DECEMBER 1971
LOANS AND INVESTMENTS BY CLASS OF BANK
(In millions o f dollars)
1
Other loans
Total
loans i
and
investments
Class o f
bank and
call date
Total: 2
1947—Dec. 3 1 . . 1 1 6 , 2 8 4
Federal
funds
sold,
etc. 2
Total
3.4
Commercial
and
industrial
38,057 18,167
For
purchasing
or carrying
securities
1,660
830
,220
1 9 6 9 — D e c . 31 io 6 0 , 3 3 3
1970—Dec. 3 1 . . 62,347
1971—June 3 0 . 6 1 , 0 5 9
City of Chicago:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
4,072
7,334
7,179
4,773
4,677
9,266
39
47
113
3,494
3,455
7,130
1,047
1,169
1,106
3,695
4,174
3,822
776
686
637
48
2,760
5,931
5,088
954
1,333
1,801
732
760
1,418
211
73
1 9 6 9 — D e c . 31 io 1 4 , 3 6 5
1970—Dec. 3 1 . . 15,745
1971—June 3 0 . 1 6 , 4 7 7
215 1 0 , 5 5 6
475 10,739
612 1 1 , 1 6 4
6,444
6,502
6,515
337
356
373
262
191
245
186
138
218
7,105
8,514
13,449
3,456
3,661
7,088
300
205
225
194
114
427 1,503
484
170
4
17
15
3 , 0 2 1 88,180 3 7 , 7 0 1 1 , 3 8 6
6 , 0 0 7 9 0 , 2 9 3 3 8 , 6 2 7 1,428
5 , 0 1 0 9 2 , 1 7 6 3 8 , 1 8 9 1,601
878 1 , 3 0 0
909 ' , 3 2 2
786 1 , 4 1 9
876
798
893
city:
3 1 . . 15,347
31.. 40,108
31.. 36,040
1 9 6 9 — D e c . 31 io 121,628
1 9 7 0 — D e c . 3 1 . . 133,861
1971—June 3 0 . 137,451
Country:
1941—Dec. 3 1 . . 12,518
1945—Dec. 3 1 . . 35,002
1947—Dec. 3 1 . . 36,324
1 9 6 9 — D e c . 3 1 io 1 4 1 , 2 8 6
1 9 7 0 — D e c . 31. 154,568
1971—June 30 1 6 3 , 7 8 2
Nonmember:
1947—Dec. 31.
18,454
1 9 6 9 — D e c . 31 i o 8 5 , 1 1 5
1970—Dec. 31.. 95,478
1971—June 3 0 . 1 0 2 , 5 0 0
6,034 53,205
4,547
3,741
4,210
522
7,265
287
272 1 7 , 5 7 4
564
238 1 1 , 9 7 2
3,835
3,883
4,202
1,219
1,284
1,465
842
864
861
1,527
1,459
3,147
95
51
149
862
1,015
1,078
1,430
40 4 , 2 1 3
26 2 , 8 9 0
354
346
367
311
3,910
1,642
1,623 5,331
3,325 10,339
558 9 , 7 7 2
256
2
3,318 89,401 23,762 4,739
5,420 94,421 25,637 5,052
5,407 98,452 26,922 5,433
498
524
352
947
828
723
148
239
279
367
153
749
248
1,022
1,864
2,274
295
8,016
2,731
751 5 , 4 2 1
5,653 15,883
1,901 1 5 , 5 6 3
1,061
109 1 1 , 3 1 8
231
316
348
1 ,0281 6 , 8 1 3 1 4 , 8 6 8
612 1 4 , 8 7 5
679 1 6 , 3 4 2
749 16,216
5,432
1,205
614
2 , 5 7 2 51,111 12,348 4,141
3,564 56,058 14,532 4,617
3 , 6 3 8 5 9 , 9 2 9 1 5 , 7 8 9 5,131
20
329
369
301
156
741
507
468
1,823
1,881
3,827
2,266
1,528
4,377
707
359 2 6 , 9 9 9
1,979
224 2 2 , 8 5 7
1 , 1 6 8 17,891 15,978
1,187 18,843 17,112
830
629
604
182
181
213
193
204
185
192
372
384
956
820
916
1,342 1,053
1,126
16,625 1,859
19,771 3 , 0 8 9
22,409 3,304
2,263 28,824 26,362 1,858 21,278
2,648 30,005 27,585 1,903 22,586
2,577 31,148 29,113 1,905 22,634
4
5
729
606
638
1,837
2,055
2,586
1,600
7,015 19,848 17,322 3,024 14,700
7,517 20,722 17,929 3,120 14,552
183
471
227
3,090 2,871
3,254 2,815
4,199 3,105
6,192
788
7,757 1,420
7 , 2 9 8 1,401
6,006 1 9 , 7 0 6 1 7 , 5 6 9 2 , 7 5 7 1 1 , 9 4 4
20
42
23
1,676
1,484
3,096
3,651 3,333
3,873 3,258
5,129 3,621
47,227 7 , 5 5 8
5 5 , 6 6 2 10,942
6 1 , 9 6 3 12,702
1,564
2,105
1,736
6,467
1,508
855
387 2 9 , 5 5 2
1,969
351 2 0 , 1 9 6
5,276 3,729
5 8 , 8 4 0 11,869
6 9 , 3 0 1 16,174
7 7 , 6 8 7 19,048
3,595 1,807 5,048
3 , 9 0 7 1,622 6 , 0 0 9
3,916 1,385 5,116
22
36
46
State
and
Other
local
secugovt,
rities 5
securities
5 9 , 1 8 3 12,158
6 9 , 6 3 7 16,481
7 7 , 9 9 4 19,389
19,539
3,653
971 3 , 0 0 7 15,561
1 , 9 0 0 1 , 0 5 7 7 8 , 3 3 8 1 9 , 2 6 0 14,271 4 4 , 8 0 7
4,662
839 5 7 , 9 1 4 7 , 8 0 3 4 , 8 1 5 4 5 , 2 9 5
659
648
818
5,890
5,596
10,199
1
Beginning with June 30, 1948, figures for various loan items are
s h o w n gross (i.e., before deduction o f valuation reserves); they d o not
add to the total and are not entirely comparable with prior figures. Total
loans continue to be s h o w n net. See also note 10.
2
Includes securities purchased under resale agreements. Prior to June 30,
1967, they were included in loans—for the most part in loans to "Banks."
Prior to D e c . 1965, Federal funds sold were included with "Total" loans
and loans to "Banks."
3
See table (and notes), Deposits Accumulated for Payment of Personal
Loans, p. A-32.
9,982
Bonds
21,046
988 3 , 1 5 9 1 6 , 8 9 9
4,505
2 , 3 6 1 1 , 1 3 2 8 8 , 9 1 2 2 1 , 5 2 6 16,045 5 1 , 3 4 2
5,654
914 6 7 , 9 4 1 9 , 6 7 6 5 , 9 1 8 5 2 , 3 4 7
123
80
111
52
233
87
Other reserve
1941—Dec.
1945—Dec.
1947—Dec.
947 6 9 , 2 2 1
Bills
and
Notes
certificates
2,258 14,035 53,207 48,388 6.776 39,833
2,345 14,688 54,600 49,829 6,895 45,399
2,496 15,770 56,934 52,037 6.777 44,038
32
26
93
802 4 7 , 5 0 3 2 8 , 1 8 9
774 4 6 , 3 8 6 2 7 , 1 8 9
996 4 6 , 2 4 7 2 6 , 9 4 8
5,723
Total
2,425 14,890 69,669 63,008 7,319 54,399
2,581 15,713 72,302 65,556 7,507 61,438
2,718 16,825 75,615 68,942 7,437 59,991
412
169
2,453 1,172
545
267
2,807
3,044
5,361
Real
estate
9,393
40
49
114
972
18,021 8 , 6 7 1
594
598
855 3 , 1 3 3 3 , 3 7 8
22,775 8,949
32,628 16,962 1,046
811 1 , 0 6 5
1969—Dec. 31 i o 3 3 7 , 6 1 3 7 , 3 5 6 2 3 5 , 6 3 9 9 6 , 0 9 5 6 , 1 8 7 5 , 4 0 8 3 , 2 8 6
1970—Dec. 3 1 . . 366,520 12,677 241,840 9 7 , 9 5 4 6,538 5,963 3,028
1971—June 3 0 . 3 7 8 , 7 6 9 12,026 2 4 8 , 0 4 0 9 8 , 5 7 3 7 , 0 9 4 5 , 3 3 3 3 , 0 2 4
New York City:
1941—Dec. 3 1 . . 12,896
1945—Dec. 3 1 . . 26,143
1947—Dec. 3 1 . . 20,393
115
U . S . Treasury
securities 6
Other,
to
Other
in5
dividuals 3
2,488 15,062 70,020 63,256 7,388 54,709
2,660 1 5 , 8 5 5 7 2 , 4 9 2 6 5 , 8 0 7 7 , 5 7 4 6 1 , 7 4 2
2,844 16,958 75,777 69,149 7,527 60,254
21,259 9,214 1,450
614
662
25,765 9,461 I,314 3,164 3,606
823 1 , 1 9 0
37,583 18,012 1,610
1969—Dec. 311 0 4 1 9 , 7 4 6 9 , 6 9 3 2 8 4 , 9 4 5 107,685 10,314 5 , 6 4 4 3 , 9 9 1
1 9 7 0 — D e c . 3 1 . . 4 5 8 , 9 1 9 1 5 , 9 4 2 2 9 6 , 0 6 4 111,540 I I , 1 4 1 6 , 2 0 7 3 , 5 1 6
1971—June 3 0 . 4 7 8 , 3 0 2 15,381 3 0 6 , 1 9 4 113,411 12,211 5 , 5 5 5 3 , 4 8 0
Member—Total:
1941—Dec. 3 1 . . 4 3 , 5 2 1
1945—Dec. 3 1 . . 107,183
1947—Dec. 3 1 . . 9 7 , 8 4 6
To
financial
institutions
AgriculturTo
al 5 brokers
To
Banks Others
and others
dealers
1969—Dec. 31 io 4 2 2 , 7 2 8 9 , 9 2 8 2 8 6 , 7 5 0 108,443 10,329 5 , 7 3 9 4 . 0 2 7
1 9 7 0 — D e c . 3 1 . . 4 6 1 , 9 9 8 16,241 2 9 7 , 8 9 7 112,486 11,155 6 , 3 3 2 3 , 5 3 6
1971—June 3 0 . 4 8 1 , 2 7 0 1 5 , 6 6 3 3 0 7 , 9 6 9 114,362 12,226 5 , 6 3 4 3 , 4 9 3
All insured:
1941—Dec. 31. . 4 9 , 2 9 0
1945—Dec. 31. . 1 2 1 , 8 0 9
1947—Dec. 3 1 . . 114,274
Investments
110
481 3 , 7 8 7
5,732 4,544 16,722
3 , 0 6 3 2,108 1 7 , 6 8 7
1,222 1,028
1 , 3 4 2 1,P67
2,006 1,262
22,572 4,718
2 6 , 0 7 9 6,062
29,675 7,614
2,179
1,219
7,920
1,073
625
11,956 4 , 6 0 0
13,975 5,538
16,031 6 , 6 $ 7
4
Breakdowns o f loan, investment, and deposit classifications are n o t
available before 1947; summary figures for 1941 and 1945 appear in the
table o n pp. A - 2 0 — A - 2 3 .
5 Beginning with June 30, 1966, loans t o farmers directly guaranteed
by C C C were reclassified as "Other Securities," and Export-Import Bank
portfolio fund participations were reclassified from loans t o "Other
securities." This increased "Other securities" by about $1 billion.
6
Beginning with D e c . 31, 1965, c o m p o n e n t s s h o w n at par rather than
at b o o k value; they d o n o t add to the total (shown at b o o k value) and are
not entirely comparable with prior figures. See also note 10.
For other notes see opposite page.
DECEMBER 1971 • COMMERCIAL BANKS
A
25
RESERVES AND LIABILITIES BY CLASS OF BANK
(In millions of dollars)
D e m a n d deposits
Class o f
bank and
call date
Total: 3
1947—Dec. 3 1 . . .
Reserves
with
F.R.
Banks
DeBalCurmand
ances
derency
with
and
doposits
coin mestic
adb a n k s 7 justed 8
17,796
2,216
State
and
local
govt.
Certified
and
officers'
checks,
etc.
IPC
Interbank
87,123
11,362
1,430
1,343
6,799
2,581
84,987
240
24,553
27,442
28,699
2,620
3,166
2,614
5,054
7,938
8,412
17,558
17,763
17,276
11,899
8,540
11,949
179,413
183,032
177,692
735
1,975
2,207
1,358
1,829
2,145
All insured:
1941—Dec. 3 1 . . .
1945—Dec. 3 1 . . .
1947—Dec. 3 1 . . .
9,823
12,566
11,236
673 1 , 7 6 2
1,248 2 3 , 7 4 0
1 , 3 7 9 1,325
3,677
5,098
6,692
1,077
2,585
2,559
36,544
72,593
83,723
158
70
54
5,038
7,898
8,392
17,434
17,636
17,185
11,476
8,352
11,736
178,401
182,048
176,815
695
1,874
2,166
10,216
8,570
11,075
9,736
37,845
74,722
85,751
7 , 2 9 2 19,528 1 7 0 , 2 8 0 2 4 , 3 8 6
7 , 0 2 8 2 2 , 3 3 2 172,351 •27,235
7,610 20,748 168,860 28,519
1969—Dec. 31 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
2,471
2,998
2,434
U.S.
Govt, State
and
and
Postal local
govt.
Savings
111
866
59
103
111
492
496
826
9,714
12,333
10,978
671 1,709
1,243 2 2 , 1 7 9
1,375 1 , 1 7 6
3,066
4,240
5,504
1,009
2,450
2,401
33,061
62,950
72,704
140
64
50
23,441
26,260
27,605
2,399
2,882
2,360
4,114
6,460
6,983
13,274
13,250
12,953
10,483
7,309
10,654
145,992
147,473
142,220
609
1,733
1,980
3,595
3,535
3,236
607
1,105
1,217
866
6,940
267
319
237
290
450
1,338
1,105
11,282
15,712
17,646
6
17
12
10
12
29
20
14
8 , 7 0 8 1,641
10,283 2 , 2 2 5
1 3 , 5 0 4 1,717
694
1,039
1,199
1,168
1,171
789
6,605
3,286
6,032
28,354
27,779
25,994
268
956
937
45
71
68
207
1,464
1,896
2
9
1
6,246
7,117
6,270
50
99
105
418
399
693
93
111
151
141
78
70
10,761
15,065
16,653
4,358
4,683
463
436
466
455
1,308
1,193
21,316
19,770
15,264
City of Chicago:
1941—Dec. 3 1 . . .
1945—Dec. 3 1 . . .
1947—Dec. 3 1 . . .
1,021
942
1,070
43
36
30
298
200
175
2,215
3,153
3,737
1,027
1,292
1,196
8
20
21
127
1,552
72
233
237
285
34
66
63
2,152
3,160
3,853
1969—Dec. 31 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
869
1,148
991
123
126
126
150
160
247
5,221
5,120
5,044
1,581
1,853
1,439
96
77
51
175
282
318
268
240
352
229
210
211
6,273
6,213
6,084
15
49
85
.3
216
568
741
city:
31...
31...
31...
4,060
6,326
7,095
425
494
562
2,590
2,174
2,125
11,117
22,372
25,714
4,302
6,307
5,497
54
110
131
491
8,221
405
1,144
1,763
2,282
286
611
705
11,127
22,281
26,003
104
30
22
20
38
45
243
160
332
1969—Dec. 31 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
9,044
9,710
10,394
1,787
1,748
1,822
3,456
3,731
4,069
44,169
44,093
43,872
10,072
10,805
9,631
590 1 , 5 7 5
512 2 , 5 4 7
535 2 , 9 5 4
3,934
3,793
3,716
1,928
2,035
2,455
53,062
53,499
51,451
242
592
735
Country:
1941—Dec. 3 1 . . .
1945—Dec. 3 1 . . .
1947—Dec. 3 1 . . .
2,210
4,527
4,993
526
796
929
3,216
4,665
3,900
9,661
23,595
27,424
790
1,199
1,049
2
225
8 5,465
7
432
1,370
2,004
2,647
239
435
528
8,500
21,797
25,203
30
17
17
1969—Dec. 31 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
7,179
7,778
7,964
3,302
3,135
3,455
7,870
8,544
7,461
62,729
64,185
63,490
3,080
3,319
3,031
72 1,671
68 2 , 5 9 2
56 2 , 5 1 3
7,905
8,045
8,095
1,721
1,779
1,956
58,304
59,982
58,691
84
135
223
Nonmember: 3
1947—Dec. 3 1 . . .
544
3,947
13,595
385
55
167
1,295
180
12,284
190
1969—Dec. 3 1 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
1,644
1,602
1,765
8,383
9,392
8,576
38,644
40,743
40,593
1,112
1,182
1,094
222
284
254
940
1,478
1,429
4,284
4,513
4,323
1,416
1,230
1,295
33,420
35,560
35,472
126
243
227
Other reserve
1941—Dec.
1945—Dec.
1947—Dec.
7
Beginning with 1942, excludes reciprocal bank balances.
* Through 1960 demand deposits other than interbank and U.S.
G o v t . , less cash items in process o f collection; beginning with 1961,
demand deposits other than domestic commercial interbank and U.S.
Govt., less cash items in process o f collection.
9
F o r reclassification o f certain deposits in 1961, see note 6, p. 589,
M a y 1964 BULLETIN.
!0 Beginning June 30, 1969, reflects (1) inclusion of consolidated reports
(including figures for all bank-premises subsidiaries and other significant
majority-owned domestic subsidiaries) and (2) reporting of figures for
total loans and for individual categories o f securities on a gross basis—that
is, before deduction o f valuation reserves. See also notes 1 and 6.
Capital
accounts
65 10,059
15,146
29,277
33,946
10 6 , 8 4 4
215 8 , 6 7 1
61 9 , 7 3 4
11,878
23,712
27,542
4
208
54
5,886
7,589
8,464
186 9 , 9 5 1 140,308 17,395 3 2 , 0 4 7
406 1 8 , 4 0 6 160,998 18,578 3 4 , 1 0 0
462 2 0 , 5 3 4 1 7 5 , 7 5 7 21,700 3 5 , 8 2 2
5,105
4,015
1969—Dec. 31 i o .
1970—Dec. 3 1 . . .
1971—June 3 0 . .
34,383
Borrowings
211 1 3 , 1 6 6 1 8 0 , 8 6 0 18,024 3 9 , 4 5 0
462 2 3 , 1 5 0 2 0 7 , 5 1 9 19,149 4 2 , 4 2 7
517 2 6 , 1 3 2 2 2 7 , 3 8 7 22,297 4 4 , 8 1 6
33,754
64,184
73,528
1,087
1,438
1,672
IPC
3
211 13,221 181,443 18,360 3 9 , 9 7 8
463 2 3 , 2 2 5 208,201 19,375 4 2 , 9 5 8
517 2 6 , 2 2 1 2 2 8 , 1 7 6 22,547 4 5 , 3 1 1
5 , 6 7 6 11,931 133,435
5 , 4 4 5 1 3 , 7 4 4 133,169
5 , 8 7 0 12,971 1 2 7 , 6 7 0
15,811
1969—Dec. 3110.
1970—Dec. 3 1 . . .
1971—June 3 0 . .
New York City:
1941—Dec. 3 1 . . .
1945—Dec. 3 1 . . .
1947—Dec. 3 1 . . .
DoFormestic 7 eign 9
U.S.
Govt.
7 , 3 2 0 2 0 , 3 1 4 172,079
7,046 23,136 173,912
7 , 6 3 4 2 1 , 5 4 6 168,263
1969—Dec. 3110.
1970—Dec. 3 1 . . .
1971—June 3 0 . .
Member—Total:
1941—Dec. 3 1 . . .
1945—Dec. 3 1 . . .
1947—Dec. 3 1 . . .
Interbank
Time deposits
86 4 , 6 0 9
222 8 , 4 8 9
249 8 , 8 6 3
31
52
45
146
219
337
54 4 , 9 2 0
112 7 , 8 8 5
143 9 , 0 3 3
778
1,206
1,418
195
30
1,648
2,120
2,259
14,692 4,405
18,913 4 , 5 0 0
21,572 4,531
6,301
6,486
6,860
476
719
902
288
377
426
4,409 1,290
5 , 5 4 9 1,851
6,353 2,359
4,542
9,563
11,045
1,517
1,586
1,636
1,967
2 2,566
1 2,844
50,439 9,881 11,464
5 8 , 1 6 5 10,391 12,221
6 2 , 3 1 2 12,153 1 2 , 8 2 6
6,082
12,224
14,177
4
23
1,982
2 <525
2,934
70,768 1,820 12,766
78,370 1,836 13,807
85,521 2,656 14,499
172
6,858
12
1,596
25 3 , 2 6 9
57 4 , 8 1 9
55 5 , 6 8 8
41,135
47,200
52,419
965
796
847
7,931
8,858
9,489
6
NOTE.—Data are for all commercial banks in the United States; member
banks in U.S. possessions were included through 1968 and then excluded.
For the period June 1941—June 1962 member banks include mutual
savings banks as follows: three before Jan. 1960, two through Dec. 1960,
and one through June 1962. Those banks are not included in all insured or
total banks.
A small noninsured member bank engaged exclusively in trust business
is treated as a noninsured bank and not as a member bank for the period
Jurie 30, 1969—June 30, 1970.
Comparability of figures for classes of banks is affected somewhat by
changes in F.R. membership, deposit insurance status, and the reserve
classifications of cities and individual banks, and by mergers, etc.
For other notes see opposite page.
A 26
WEEKLY REPORTING BANKS • DECEMBER 1971
ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS
(In millions of dollars)
Loans
Federal funds sold, etc.
1
Wednesday
Total
loans
and
investments
Total
To
commercial
banks
1
Other
To brokers
and dealers
involving—
U.S.
Treasury
securities
For purchasing
or carrying securities
To
others
Total
Other
securities
Commercial
and
industrial
To brokers
and dealers
To nonbank
financial
institutions
To
others
Agricultural
U.S.
Treasury
sees.
Other
sees.
U.S.
Treasury
sees.
Other
sees.
banks—
Large
Total
1970
Nov.
Oct.
Nov.
250,436
250,338
249,871
247,828
3*
10*
17®
24*
New York
7,470
7,026
6,740
5,820
1,477
1,716
1,134
574
285
254
255
270
169
96
129
99
174,221 80,117
173,946 80,235
173,164 79,981
172,776 7 9 , 9 1 3
2,016
2,008
2,000
2,003
1,021
771
739
3,438
3,462
3,502
3,379
100
102
2,291
2,275
2,273
2,317
9,484
9,989
9,363
7,409
8,415
9,238
7,676
6,613
803
487
1,271
514
78
95
80
66
188
169
336
216
186,046
186,711
185,819
186,059
83,249
83,300
83,126
83,070
2,151
2,162
2,170
2,180
677
596
819
644
4,519
4,453
4,551
4,601
130
131
129
129
2,426
2,408
2,404
2,414
275,843
275,452
274,815
272,897
6
13
20
27
9,401
9,092
8,258
6,763
271,327
272,418
270,910
270,696
4
11
18
25
1971
10,457
10,604
9,347
8,153
9,410
9,298
8,681
7,739
695
982
397
271
121
106
74
90
231
218
195
53
187,447
186,875
186,796
186,602
83,161
83,005
82,926
82,639
2,191
2,201
2,212
2,193
1,181
1,275
729
585
4,807
4,820
4,815
4,854
135
132
138
132
2,387
2,364
2,377
2,390
56,780
55,934
56,340
55,918
1,647
561
1,184
997
1,589
491
1,052
922
41
45
85
25
10
17
25
37
50
42,898 2 5 , 8 9 6
4 2 , 8 7 5 25,948
4 2 , 4 5 5 25,851
4 2 , 1 4 0 25,818
17
17
16
16
786
1,005
622
584
2,192
2,210
2,251
2,205
641
638
635
634
1,200
102
100
City
1970
Nov.
4
11
18
25
1971
Oct.
6
13
20
27
58,053
58,706
57,898
58,053
1,055
1,728
1,397
952
1,011
1,636
1,270
906
23
73
39
26
21
19
88
20
4 4 , 5 8 0 26,203
44,851 26,109
44,183 25,947
4 4 , 3 0 6 25,889
15
17
17
20
549
498
648
567
3,024
3,023
3,075
3,171
582
575
573
575
Nov.
3*
10*
60,037
59,273
59,057
58,103
1,438
1,020
1,242
834
1,390
949
1,161
778
30
40
19
24
18
31
62
32
45,283 2 5 , 9 2 7
4 4 , 9 5 4 25,839
44,382 25,828
44,183 2 5 , 6 3 0
25
24
26
25
1,049
1,111
611
498
3,296
3,310
3,216
3,327
576
565
564
567
193,656
194,404
193,531
191,910
7,754
8,531
7,074
5,766
5,881
6,535
5,688
4,898
1,436
1,671
1,049
549
285
254
245
270
152
71
92
49
131,323 54,221
131,071 54,287
130,709 5 4 , 1 3 0
130,636 54,095
1,999
1,991
1,984
1,987
235
195
149
155
1,246
1,252
1,251
1,174
1,650
1.637
1.638
1,683
57,046
57,191
57,179
57,181
2,136
2,145
2,153
2,160
128
98
171
77
1,495
1,430
1,476
1,430
104
103
99
100
1,844
1,833
1,831
1,839
142,164 57,234
141,921 57,166
142,414 57,098
142,419 57,009
2,166
2,177
2,186
2,168
132
164
118
87
1,511
1,510
1,599
1,527
98
92
94
90
1,811
1,799
1,813
1,823
17*
24*
Outside
New York City
1970
Nov.
4
11
18
25
1971
Oct.
6
13
20
27
213,274
213,712
213,012
212,643
8,429
8,261
7,966
6,457
7,404
7,602
6,406
5,707
780
414
1,232
488
78
95
80
66
Nov.
3*
10*
17*
24*
215,806
216,179
215,758
214,794
9,019
9,584
8,105
7,319
8,020
8,349
7,520
6,961
665
942
378
247
121
106
74
90
For notes see p. A-30.
167 141,466
150 141,860
248 141,636
196 141,753
213
187
133
21
DECEMBER 1971 • WEEKLY REPORTING BANKS
A 27
ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued
(In millions of dollars)
Loans (cont.)
Investments
Other (cont.)
U.S. Treasury securities
Notes and bonds
maturing—
Wednesday
Consumer
instalment
Foreign
govts. 2
All
other
Total
Bills
Certificates
Within
1 yr.
1 to
5 yrs.
After
5 yrs.
Large banks—
Total
1970
428
367
410
410
1,551
1,558
1,514
1,590
21,358
21,324
21,348
21,358
904
917
917
887
13,903
13,739
13,836
13,512
25,710
25,533
26,506
26,21*
4,925
4,719
4,474
4,276
4,053
4,034
3,732
3,734
14,383
14,436
15,505
15,409
2,349
2,344
2,795
2,792
840
851
815
862
2,579
2,584
2,430
2,467
23,341
23,380
23,418
23,467
779
786
775
818
14,549
14,698
14,521
14,658
24,984
24,981
25,176
26,187
2,613
2,537
2,827
2,847
3,954
4,080
4,036
4,055
15,373
15,306
15,392
16,445
852
830
822
844
2,325
2,416
2,481
2,570
23,505
23,569
23,577
23,646
757
771
793
809
14,812
14,483
14,746
14,654
26,476
26,421
27,547
27,285
2,912
2,847
2,791
2,622
4,307
4,318
3,398
3,410
16,357
16,383
17,008
16,876
Nov.
4
11
18
25
3,044
3,058
2,921
2,840
Oct.
6
13
20
27
2,900
2,873
4,350
4,377
Nov.
3*
10*
17*
1971
24*
New York City
1970
193
154
162
182
918
933
893
952
1,856
1,855
1,896
1,886
551
566
561
538
391
398
365
352
1,154
1,205
1,125
1,161
1,914
1,922
1,922
1,922
527
528
517
555
363
356
336
334
1,055
1,157
1,134
1 ,221
1,917
1,917
1,919
1,925
500
510
529
540
2.672
2,549
2.673
2,416
5,087
5,027
5,092
5,174
1,456
1,364
1,090
1 ,108
580
594
336
378
2,725
2,742
3,164
3,159
326
327
502
529
Nov.
4
11
18
25
1971
4,356
4,340
4,541
4,877
2,91
2,686
2,754
2,671
327
319
494
562
613
634
667
681
3,098
3,060
3,036
3,312
318
327
344
322
Oct.
6
13
20
27
5,274
5,255
5,498
5,296
636
646
657
504
1,030
1,043
625
616
3,228
3,215
3,293
3,250
380
351
923
926
Nov.
3*
10*
17*
24*
Outside
New York City
1970
235
213
248
228
633
625
621
638
19,502
19,469
19,452
19,472
353
351
356
349
11,231
11,190
11,163
11,096
20,623
20,506
21,414
21,037
3,469
3,355
3,384
3,168
3,473
3,440
3,396
3,356
11,658
11,694
12,341
12,250
2,023
2,017
2,293
2,263
449
453
450
510
1,425
1,379
1.305
1.306
21,427
21,458
21,496
21,545
252
258
258
263
11,784
11,859
11,837
11,889
20,628
20,641
20,635
21,310
2,286
3,341
3,446
3,369
3,374
12,275
12,246
12,356
13,133
2,726
2,731
2,577
2,518
.Oct.
489
474
486
510
1,270
1,259
1,347
1,349
21,588
21,652
21,658
21,721
257
261
264
269
11,901
11,797
11,992
11,983
21,202
21,166
22,049
21,989
3,277
3,275
2,773
2,794
13,129
13,168
13,715
13,626
2,520 .
2,522 .
3,427 .
3,451
.Nov.
.Nov.
1971
For notes see p. A-30.
2,218
2,333
2,285
2,276
2,201
2,134
2,118
6
.13
.20
,27
3*
10*
17*
24*
WEEKLY REPORTING BANKS • DECEMBER 1971
A 28
ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued
(In millions of dollars)
Investments (cont.)
Other securities
Wednesday
Total
Obligations
of State
and
political
subdivisions
Tax
warrants 3
Large
All
other
Other bonds,
corp. stock,
and
securities
Certif.
of
participation 4
Cash
items
in
process
of
collection
Reserves
with
F.R.
Banks
Currency
and
coin
Balances
with
domestic
banks
Investments
in subsidiaries not
consolidated
Other
assets
All
others
banks—
Total
1970
Nov.
Oct.
41,104
41,767
41,943
42,078
30,174
30,636
30,812
30,817
1,108
1,109
1,150
1,161
3,886
4,118
4,086
4,241
34,682
28,248
31,112
29,467
16,787
15,415
17,695
17,857
3,163
3,332
3,450
3,294
6,467
6,196
6,023
5,721
715
716
716
716
14,498
14,074
13,929
14,218
8,369
8,424
8,187
8,311
35,703
35,441
35,390
35,673
1,327
1,344
1,362
1,408
5,414
5,528
5,613
5,649
33,254
35,609
34,209
35,312
18,741
19,749
18,040
20,826
3,329
3,690
3,644
3,778
7,045
7,033
6,765
6,517
802
803
813
814
15,702
15,465
15,399
15,429
51,463
51,552
51,125
50,857
8,598
8,375
8,015
7,836
35,857
35,843
35,766
35,681
1,397
1,462
1,469
1,459
5,611
5,872
5,875
5,881
40,042
31,370
31,598
33,578
18,946
17,925
19,681
22,132
3,481
3,532
3,601
3,508
7,396
6,876
7,050
7,280
817
817
819
819
15,656
15,488
15,099
15,119
7,148
7,471
7,609
7,607
6
13
20
27
5,936
5,904
5,895
5,859
50,813
50,737
50,552
51,041
4
11
18
25
1,640
1,634
1,679
1,629
4,550
4,725
4,839
4,779
69
59
121
123
889
1,053
970
1,076
16,175
12,300
13,302
13,185
4,507
4,375
4,726
4,821
422
427
413
391
1,316
1,226
1,109
1,161
335
335
337
337
5,119
4,926
4,942
5,126
1971
Nov.
3*
10*
17*
24*
New York
City
1970
Nov.
4
11
18
25
Oct.
6
13
20
27
8,062
7,787
7,777
7,918
1,424
1,406
1,350
1,444
5,421
5,259
5,242
5,304
234
195
202
214
983
927
983
956
15,170
15,928
15,895
16,283
4,899
5,153
4,742
5,605
419
461
429
451
1,078
972
1,108
1,105
353
352
361
362
5,223
5,076
5,118
5,115
Nov.
3*
10*
17*
24*
8,042
8,044
7,935
7,790
1,436
1,347
1,346
1,296
5,401
5,406
5,315
5,204
212
219
242
249
993
1,072
1,032
1,041
19,805
14,128
12,245
15,006
4,972
4,830
4,578
5,413
434
445
434
416
1,414
1,344
1,035
1,461
363
363
364
364
5,064
4,991
4,937
4,904
33,956
34,296
34,334
34,471
4,296
4,270
4,216
4,230
25,624
25,911
25,973
26,038
1,039
1,050
1,029
1,038
2,997
3,065
3,116
3,165
18,507
15,948
17,810
16,282
12,280
11,040
12,969
13,036
2,741
2,905
3,037
2,903
5,151
4,970
4,914
4,560
380
381
379
379
9,379
9,148
8,987
9,092
1971
Outside
New York City
1970
Nov.
4
11
18
25
Oct.
6
13
20
27
42,751
42,950
42,775
43,123
6,945
7,018
6,837
6,867
30,282
30,182
30,148
30,369
1,093
1,149
1,160
1,194
4,431
4,601
4,630
4,693
18,084
19,681
18,314
19,029
13,842
14,596
13*298
15,221
2,910
3,229
3,215
3,327
5,967
6,061
5,657
5,412
449
451
452
452
10,479
10,389
10,281
10,314
Nov.
3*
10*
17*
24*
43,421
43,508
43,190
43,067
7,162
7,028
6,669
6,540
30,456
30,437
30,451
30,477
1,185
1,243
1,227
1,210
4,618
4,800
4,843
4,840
20,237
17,242
19,353
18,572
13,974
13,095
15,103
16,719
3,047
3,087
3,167
3,092
5,982
5,532
6,105
5,819
454
454
455
455
10,592
10,497
10,162
10,215
1971
For notes see p. A-30.
DECEMBER 1971 • WEEKLY REPORTING BANKS
A 29
ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued
(In millions of dollars)
Deposits
Demand
Time and savings
Domestic
interbank
Total
IPC
States
and
political
subdivisions
U.S.
Govt.
Commercial
Foreign
Mutual
Govts.,
savetc. 2
ings
IPC
Commercial
banks
Certified
and
officers'
checks
Total
6
Savings
Other
States
and
political
subdivisions
Domestic
interbank
Wednesday
Foreign
govts. 2
Large banks—
Total
1970
95,085
91,807
94,541
93,761
7,002
6,167
6,659
6,390
3,057 22,251
2 , 0 9 0 20,279
4,012 19,672
3,569 19,1""
759
679
583
537
789
823
743
757
2,192
2,182
2,402
2,216
7,683
6,017
6,145
6,103
114,797
115,389
115,640
116,431
47,122
47,187
47,291
47,335
49,222
49,598
49,813
50,431
142,194 97,645
143,537 100,806
141,925 99,170
144,435 100,482
6,570
5,864
5,970
6,112
3,088
2,460
2,815
3,551
23,317
22,847
22,863
22,731
824
745
666
725
781
849
795
829
2,330
2,340
2,305
2,432
7,639
7,626
7,341
7,573
136,739
i37,207
137,167
137,160
53,486
53,498
53,583
53,605
59,994
60,434
15,507
15,481
60,261 15,608
60,305 15,571
7,205
6,538
6,387
6,374
2,811 25,320
832
683
625
579
788
720
748
716
2,448
2,326
2,491
2,596
9,392 136,746
6,914 136,956
6,218 137,429
7,325 137,977
53,691
53,805
53,948
54,010
60.138
60.139
60,410
60,901
138,818
130,044
134,757
132,521
11,498
11,655
11,667
11,755
1,216
1,255
1,277
1,312
5,297
5,234
5,121
5,088
Nov.
4
11
18
25
1971
150,019
138,824
140,199
141,592
101,223
98,508
100,098
99,654
1,622 21,513
2,362 21,270
2,231 22,117
15,347
15,393
15,404
15,425
2,081
Oct.
2,098
5,226
5,230
5,158
5,142
1,956
1,969
2,028
2,085
5,176
5,212
5,201
5,126
Nov.
2,113
2,116
6
13
20
27
3"
10"
17"
24"
New York City
1970
1,600
1,578
1,786
1,598
5,195
3,646
3,689
3,798
18,001
18,099
18,072
18,199
4,411
4,428
4,451
4,455
8,804
8,949
9,002
9,178
863
867
848
829
699
718
732
741
3,079
2,992
2,893
2,846
619
695
645
663
1,542
1,568
1,531
1,616
4,405
4,506
4,375
4,715
23,669
24,044
23,737
23,603
5,159
5,154
5,161
5,171
12,845
13,149
12,848
12,727
1,538
1,620
1,662
1,683
1,016
2,993
2,973
2,932
2,875
.Oct.
6
13
20
27
649
582
599
580
1,641
1,585
1,740
1,853
6,042
3,702
3,035
3,849
23,269
23,361
23,592
23,680
5,189
5,218
5,252
5,265
12,390
12,393
12,575
12,652
1,704
1,695
1,673
1,665
2,871
2,915
2,891
2,836
.Nov.
3"
10"
17"
24"
23,100
21,280
22,503
22,221
854
428
799
520
523 10,154
316
8,681
814 8,189
710 8,325
352
347
294
268
645
679
587
618
40,959 21,510
40,597 21,817
40,937 22,171
41,585 22,271
776
407
417
366
625 11,012
420 10,771
572 10,879
694 10,895
470
413
347
365
23,230
22,042
21,677
22,393
634
476
453
439
460 12,852
232 10,070
381
9,186
376 10,727
387
345
328
303
42,423
36,955
38,661
38,058
. Nov.
4
11
18
25
1971
45,895
39,034
37,399
40,520
1.031
1,019
1.032
999
1,025
1,086
1,140
Outside
New York City
1970
96,395
93,089
96,096
94,463
71,985
70,527
72,038
71,540
6,148
5,739
5,860
5,870
2,534
1,774
3,198
2,859
12,097
11,598
11,483
10,863
407
332
2$9
269
144
144
156
139
592
604
616
618
2 j488
2/371
2,456
2,305
96,796
97,290
97,568
98,232
42,711
42,759
42,840
42,880
40,418
40,649
40,811
41,253
10,635
10,788
10,819
10,926
517
537
545
571
101,235
102,940
100,988
102,850
76,135
78,989
76,999
78,211
794
457
553
746
2,463
2,040
2,243
2,857
12,305
12,076
11,984
11,836
354
332
319
360
162
154
150
166
788
772
774
816
3,234 113,070
3,120 113,163
2,966 113,430
2,858 113,557
48,327
48,344
48,422
48,434
47,149
47,285
47,413
47,578
13,969
13,861
13,946
13,888
1.065
104,124
99,790
102,800
101,072
77,993
76,466
78,421
77,261
6,571
6,062
5.934
5.935
2,351
1,390
1,981
1,855
12,468
11,443
12,084
11,390
445
338
297
276
139
138
149
136
807
741
751
743
3,350 113,477 48,502 47,748 13,643
3,212 113,595 48,587 47,746 13,698
3,183 113,837 48,696 47,835 13,731
3,476 114,297 48,745 48,249 13,760
2,218
. Nov.
2,242
2,228
2,242
4
11
18
25
1971
For notes see p. A-30.
. Oct.
1,097
1.066
2,233
2,257
2,226
2,267
6
13
20
27
957
944
942
945
2j305
2,297
2,310
2,290
.Nov.
3"
10"
17"
24"
1,082
A 30
WEEKLY REPORTING BANKS • DECEMBER 1971
ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued
(In millions of dollars)
Borrowings
from—
Wednesday
Federal
funds
purF.R.
chased, Banks
etc. 7
Reserves
for—
Others
Other
liabilities
etc. 8
Loans
Memoranda
Total
capital
Securities
Total
loans
(gross)
adjusted^
Large negotiable
Total
time CD's
loans
included in time
and
Deand savings deposits 1
investmand
ments deposits
(gross)
adIssued
justed i o Total
adto
justed 9
IPC's
Large banks—
Total
1970
Nov.
Oct.
19,940
19,758
19,657
17,004
1,415
1,411
1,387
1,363
22,764
22,712
22,657
22,304
4,026
4,025
4,017
4,017
24.382
24.383
24,319
24,287
125
939
428
1,906
1,108
1,037
1,051
1,050
16,086
4.002
4.003
3,998
4.004
26,501
26,453
26,396
26,505
186,275 262,072 82,535
33,342 20,778
16,321
16,496
16,581
186,691 262,419 82,038
185,993 263,221 82,841
33,711 21,090
33,677 21,138
27,002
26,992
25,816
24,941
6
13
20
27
530
521
287
,098
23,356
25,181
22,230
21,642
4
11
18
25
175,724
175,645
174,272
173,309
333
2,236
1,120 16,350
1,042 16,678
1,083 17,116
1,019 16,914
4.011
4,026
4,019
4.012
26,664
26,705
26,591
26,567
187,642
187,351
186,640
186,172
265,581
265,324
265,312
264,314
190
193
194
184
11,369
11,396
11,053
11,383
1,208
1,207
1.207
1.208
6,152
6,158
6,154
6,125
42,763
42,791
42,425
42,033
54,998
55,289
55,126
54,814
15,571
15,658
16,356
15,838
6,625
6,788
6,788
6,966
242,538 78,828 23,611
242,945 79,427 24,297
242,721 79,961 24,493
241,598 80,297 25,201
15,124
15,629
15,717
16,223
1971
Nov.
3p
10*>
17*
24*
179
168
186,611 262,329 82,621 33,921 21,282
81,846 33,241 20,791
84,319 33,413 20,901
84,969 33,668 21,195
83,666 34,060 21,535
New York City
1970
Nov.
5,236
5,275
5,828
5,177
4
11
18
25
75
240
4,339
4,458
4,478
4,641
1971
6
13
20
27
5,677
6,658
5,287
5,163
245
217
933
209
236
234
213
6,637
6,853
7,161
7,399
1.187
1.188
1,184
1,186
6,857
6,827
6,794
6,892
44,233
44,545
43,945
44,000
56,651
56,672
56,263
56,795
14,152
13,478
13,591
13,713
11,699
12,126
11,852
11,730
10 P
17 P
24*
Oct.
7,716
7,463
6,103
5,587
150
195
845
219
204
198
200
6,860
7,036
7,045
6,734
1,188
1,188
1,190
1,186
6,942
6,938
6,928
6,915
44,968
44,669
44,127
43,905
58,284
57,968
57,560
56,991
12,778
14,604
15,587
14,411
11,341
11,372
11,569
11,638
7,406
7,429
7,632
7,665
14,704
14,483
13,829
11,827
455
281
287
493
2,818
2,818
2,810
18,230
18,225
18,165
132,961 187,540
132,854 187,656
131,847 187,595
18,162 131,276 186,784
63,257
63,769
63,605
64,459
16,986
17,509
17,705
18,235
i0,785
11,171
11,239
11,582
17,679
18,523
16,943
16,479
125
694
211
973
13,040
13,161
13,218
13,350
19,286
19,529
19,713
19,354
179
18
138
,391
Nov.
7,738
8,121
7,872
7,788
Outside New York City
1970
Nov.
4
11
18
25
1,255
11,395
1,193
1,179
11,604
10,921
2,809
899
801
817
837
9,449
9,468
9,335
9,182
2,815
2,815
2,814
2,818
19,644
19,626
19,602
19,613
142,042 205,421 68,383 21,643
142,066 205,657 69,143 21,795
142,746 206,156 68,447 21,859
141,993 206,426 69,128 21,947
901 9,490
838 9,642
885 10,071
819 10,180
2,823
2,838
2,829
2,826
19,722
19,767
19,663
19,652
142,674
142,682
142,513
142,267
1,218 11,316
1971
Oct.
Nov.
6
13
20
27
3*
1®
0
HP
24 P
1 Includes securities purchased under agreements to resell.
Includes official institutions and so forth.
3 Includes short-term notes and bills.
4
Federal agencies only.
5 Includes corporate stock.
6 Includes U.S. Govt, and foreign bank deposits, not shown separately.
i Includes securities sold under agreements to repurchase.
2
207,297
207,356
207,752
207,323
69,068
69,715
69,382
69,255
21,900 13,385
22,041 13,472
22,099 13,563
22,422 13,870
8 Includes minority interest in consolidated subsidiaries.
Exclusive of loans and Federal funds transactions with domestic commercial banks.
1 0 All demand deposits except U.S. Govt, and domestic commercial
banks, less cash items in process of collection.
11
Certificates of deposit issued in denominations of $100,000 or more.
9
DECEMBER 1971 • BUSINESS LOANS OF BANKS
A 31
COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS
(In millions of dollars)
Outstanding
N e t change during
1971
Industry
Nov.
24
Nov.
17
Nov.
10
Nov.
3
Oct.
27 r
Nov.
Oct.
30
-487
-22
-554
Total commercial and industrial loans.
-447
-663
82,926
83,005j 83,161
83,070
1970
Sept.
III
Durable goods manufacturing:
Primary metals
2,056
2,177
2,195
2,205
2,160
Machinery
4,570
4,662
4,440
4,730
4,685
2,624
Transportation equipment
2,691
2,653
2,655
2,697
Other fabricated metal products. . .
1,719
1,761
1,813
1,855
1,882
Other durable goods
2,627
2,641
2,712
2,722
2,737
Nondurable goods manufacturing:
F o o d , liquor, and tobacco
2,837
2,761
2,677
2,740
2,726
Textiles, a p p a r e l , a n d l e a t h e r
2,436
2,483
2,476
2,473
2,476
P e t r o l e u m refining
1,083
1,092
1,100
1,096
1,156
Chemicals and rubber
2,349
2,389
2,429
2,440
2,516
Other nondurable goods
1,796
1,803
1,872
1,838
1,867
Mining, including crude petroleum
a n d n a t u r a l gas
3,791
3,791
3,732
3,722
3,859
T r a d e : C o m m o d i t y dealers
1,512
1,496
1,440
1,390
1,353
Other wholesale
4,312
4,343
4,339
4,353
4,345
4,621
4,526
4,571
4,614
Retail
4,591
Transportation
5,677
5,617
5,628
5,587
5,597
Communication
1,366
1,402
1,442
1,375
1,365
2,644
O t h e r p u b l i c utilities
2,707
2,774
2,685
2,776
Construction
3,774
3,812
3,828
3,780
3,815
Services
7,653
7,680
7,607
7,596
7,636
All o t h e r d o m e s t i c l o a n s
5,419
5,354
5,389
5,399
5,401
Bankers' acceptances
1,811
1,869
1,723
1,660
1,736
Foreign commercial a n d industrial
loans
2,934
2,953
2,983
2,949
2,928
T o t a l classified l o a n s
69,600 69,865 69,959 70,101 70,087
82,623
1971
1971
II
I
1971
2nd
half
1st
half
-104
-290
-44
-163
-110
-12
-252
-66
-94
-87
40
-124
134
-80
9
-123
-238
25
-132
9
r
20
-38
-99
132
112
169
-247
-92
68
149
-20
-768
169
-344
-198
149
-209
-191
200
261
111
-40
— 73
-167
-71
32
-91
37
-177
-53
207
-144
51
-11
55
290
-32
-163
57
-163
115
— 64
44
-30
-537
166
— 343
32
-105
350
-395
— 113
63
-113
-700
281
— 407
76
-135
-68
159
-41
30
80
1
41
-6
57
30
151
34
136
49
127
-135
-199
91
38
-8
37
61
73
19
205
78
65
32
225
43
18
164
44
208
69
387
72
-248
23
347
88
19
309
458
-278
-174
206
185
-306
184
185
71
387
290
-390
-108
-57
10
162
286
49
-327
131
-200
-180
-164
-257
481
78
-308
366
19
-386
197
525
96
1,186
-386
-231
216
347
-20
233
-142
202
187
110
-554
-74
1,029
327
1,752
106
531
140
-998
255
' 883
246
-467
1,145
1,212
1,320
-473
1,979
r
847
See NOTE t o table b e l o w .
"TERM" COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS
( I n millions of dollars)
Outstanding
Net change during—
1971
1970
1971
I
IV
1st
half
1971
Industry
Nov.
24
Oct.
27
Sept.
29
Aug.
25
July
28
June
30
May
26
Apr.
28
Mar.
31
III
II
Durable goods manufacturPrimary metals
Machinery
Transportation equipment.
Other fabricated
metal
products
Other durable goods
Nondurable goods manufacturing :
F o o d , liquor, and tobacco.
Textiles,
apparel,
and
leather
P e t r o l e u m refining
Chemicals and rubber
Other nondurable goods. .
Mining, including crude petroleum and natural gas.
Trade: Commodity dealers..
Other wholesale
Retail
Transportation
Communication
O t h e r p u b l i c utilities
Construction
Services
All other domestic loans . . . .
F o r e i g n c o m m e r c i a l a n d industrial loans
Total loans
1,406
2,397
1,592
1,496
2,478
1,626
1,525
2,481
1,689
1,482
2,507
1,582
1,535
2,514
1,552
1,587
2,539
1,559
1,667
2,594
1,440
1,622
2,735
1,515
1,630
2,591
1,613
-62
-58
130
-43
-52
-54
103
-90
-20
-150
-243
-22
60
-142
-74
709
1,162
744
1,203
776
1,213
807
1,266
804
1,237
815
1,231
805
1,201
769
1,191
733
1,216
-39
-18
82
15
-9
127
-65
-52
73
142
1,012
975
988
941
948
972
919
982
974
16
-2
-11
-23
-13
577
867
1,534
1,018
585
900
1,661
1,048
607
857
1,792
1,018
610
841
1,815
1,006
598
902
1,828
1,008
597
892
1,824
1,021
609
920
1,726
1,058
592
932
1,822
1,062
617
915
1,850
1,100
10
-35
-32
-3
-20
-23
-26
-79
-40
-298
1
-71
-94
-35
69
-12
-60
-321
-25
-150
2,998
104
865
1,433
4,467
427
1,293
1,255
3,448
1,413
3,023
116
868
1,482
4,461
418
1,304
1,245
3,408
1,388
2,936
109
852
1,477
4,588
420
1,273
1,197
3,357
1,388
3,002
117
839
1,456
4,488
422
1,181
1,208
3,320
1,360
3,019
101
850
1,423
4,612
471
1,141
1,229
3,247
1,309
2,992
97
842
1,421
4,614
468
1,095
1,192
3,269
1,247
3,058
88
809
1,423
4,681
439
1,038
1,178
3,192
1,259
3,089
81
813
1,404
4,757
426
991
1,164
3,249
1,223
3,123
80
782
1,417
4,867
402
973
1,107
3,142
1,268
-56
12
10
56
-26
-48
178
5
88
141
-131
17
60
4
-253
66
122
85
127
-21
-203
1
26
18
303
-13
-45
63
-67
-17
-135
-3
59
39
147
-33
-47
r
87
77
60
-334
18
86
22
50
53
77
148
60
-38
100
76
112
176
269
-26
-166
-264
-192
1,956
1,940
1,892
1,950
1,908
1,892
1,882
1,840
1,792
31,933
32,369
32,435
32,200
32,236
32,166
31,986
32,259
32,192
NOTE.—About 160 weekly r e p o r t i n g b a n k s are i n c l u d e d in this series;
t h e s e b a n k s classify, b y i n d u s t r y , c o m m e r c i a l a n d industrial l o a n s a m o u n t ing t o a b o u t 90 p e r c e n t of s u c h l o a n s held by all weekly r e p o r t i n g b a n k s
a n d a b o u t 70 p e r cent of t h o s e held by all c o m m e r c i a l b a n k s .
F o r d e s c r i p t i o n of series see article " R e v i s e d Series o n C o m m e r c i a l a n d
I n d u s t r i a l L o a n s by I n d u s t r y , " F e b . 1967 BULLETIN, p . 209.
C o m m e r c i a l a n d i n d u s t r i a l " t e r m " l o a n s a r e all o u t s t a n d i n g l o a n s with
a n original m a t u r i t y of m o r e t h a n 1 year a n d all o u t s t a n d i n g l o a n s g r a n t e d
u n d e r a f o r m a l a g r e e m e n t — r e v o l v i n g credit o r s t a n d b y — o n w h i c h t h e
original m a t u r i t y of t h e c o m m i t m e n t w a s in excess of 1 year.
A 32
DEMAND DEPOSIT OWNERSHIP • DECEMBER 1971
GROSS DEMAND DEPOSITS OF INDIVIDUALS, PARTNERSHIPS, AND CORPORATIONS 1
(In billions of dollars)
T y p e of h o l d e r
Class of b a n k , a n d q u a r t e r o r m o n t h
Financial
business
All commercial b a n k s :
Nonfinancial
business
Consumer
Foreign
All
other
Total
deposits,
IPC
i
1970—June
Sept
Dec
17.1
17.0
17.3
85.3
88.0
92.7
49.0
51.4
53.6
1.6
1.4
1.3
9.6
10.0
10.3
162.5
167.9
175.1
1971
18.3
17.9
17.8
86.1
89.9
91.7
54.1
56.0
57.4
1.4
1.3
1.2
10.4
10.7
9.7
170.3
175.8
177.9
12.7
13.4
13.2
13.6
13.5
52.8
53.8
53.7
53.9
56.1
20.6
21.2
20.9
21.1
23.3
1.2
1.3
1.2
1.2
1.2
4.9
5.5
5.8
5.4
5.6
92.2
95.1
94.8
95.2
99.7
13.9
13.9
14.1
14.1
13.7
14.0
14.1
13.5
13.9
14.0
54.4
52.2
52.4
53.4
52.9
54.2
54.7
53.4
54.3
55.2
24.1
23.1
23.9
25.3
24.1
24.4
24.8
24.1
24.6
24.6
1.2
1.2
1.3
1.3
1.2
1.2
1.2
1.2
1.2
1.1
5.6
5.5
5.7
5.7
5.5
6.0
5.4
5.1
5.6
5.4
99.3
95.8
97.3
99.8
97.4
99.8
100.3
97.2
99.6
100.4
Mar
June
Sept
W e e k l y reporting b a n k s :
1970
Aug
Sept
Oct
Dec
1971—Jan
Feb
Mar
Apr
July
Aug
Sept
Oct.*
1
Including cash items in process of collection.
NOTE.—Daily-average b a l a n c e s m a i n t a i n e d d u r i n g m o n t h as e s t i m a t e d
f r o m r e p o r t s supplied b y a s a m p l e of c o m m e r c i a l b a n k s . F o r a detailed
description of t h e type of d e p o s i t o r in e a c h category, see J u n e 1971
BULLETIN, p . 466.
DEPOSITS ACCUMULATED FOR PAYMENT OF PERSONAL LOANS
(In millions of dollars)
Class of
bank
All c o m m e r c i a l . . . .
Insured
National member
State m e m b e r . . . .
All m e m b e r
D e c . 31,
1968
D e c . 31,
1969
1,216
1,131
1,129
688
188
876
1,216
730
207
937
D e c . 31,
1970
804
803
433
147
580
J u n e 30,
1971
746
745
407
129
536
NOTE.—These h y p o t h e c a t e d deposits are excluded f r o m T i m e deposits
a n d L o a n s at all c o m m e r c i a l b a n k s beginning with J u n e 30, 1966, as
s h o w n in t h e tables o n p p . A-20, A-21, a n d A - 2 6 — A - 3 0 ( c o n s u m e r instalm e n t l o a n s ) , a n d in t h e t a b l e a t t h e b o t t o m of p . A-18. T h e s e c h a n g e s
Class of
bank
All m e m b e r — C o n t .
O t h e r reserve city.
Country
All n o n m e m b e r
Insured
Noninsured
D e c . 31,
1968
332
605
278
278
D e c . 31,
1969
304
571
255
253
2
D e c . 31,
1970
143
437
224
223
1
J u n e 30,
1971
125
411
210
209
resulted f r o m a c h a n g e in F e d e r a l R e s e r v e regulations. See J u n e 1966
BULLETIN, p . 808.
T h e s e deposits have n o t been d e d u c t e d f r o m T i m e deposits a n d L o a n s
f o r c o m m e r c i a l b a n k s as s h o w n o n p p . A-22 a n d A-23 a n d o n p p . A-24
a n d A-25 ( I P C only f o r t i m e deposits).
DECEMBER 1971 • LOAN SALES BY BANKS; OPEN MARKET PAPER
A 33
LOANS SOLD OUTRIGHT BY COMMERCIAL BANKS
(Amounts outstaiiding; in millions of dollars)
To own subsidiaries, foreign branches,
holding companies, and other affiliates
Date
To all others except banks
By type of loan
By type of loan
Total
Total
Commercial
and
industrial
Commercial
and
industrial
All other
2,037
2,030
2,045
2,033
470
450
468
460
1,568
1.580
1,577
1,573
2,017
436
438
425
417
421
1.581
1,588
1,595
409
402
393
393
1,608
1,608
1971—Aug.
4.
11.
18.
25.
2,803
2,884
2,655
2,764
1,878
1,965
1,772
1,829
925
920
883
936
Sept.
1.
8.
15.
2,998
2,822
1,849
1,823
1,819
1,836
1,896
1,149
999
999
1.071
1,064
1,085
1,077
1.072
1,124
2,017
1,185
1,157
1,069
2,014
2,017
2,042
2,048
2,818
22.
2,906
2,960
6.
13.
2,884
2.879
2,904
2,928
1,799
2.880
2,866
2,809
2,845
1,695
1,710
1,740
1,757
29.
Oct.
20.
27.
Nov.
3.
10.
17.
24.
1,801
1,832
1,804
All other
2,026
2,020
2,037
2,036
2,010
2,016
2,011
1,620
1,615
1,624
1,618
1,622
1,626
393
391
412
398
1,630
1,649
NOTE.—Amounts sold under repurchase agreement are excluded. Figures include small amounts sold
by banks other than large weekly reporting banks.
COMMERCIAL AND FINANCE COMPANY PAPER AND BANKERS' ACCEPTANCES OUTSTANDING
(In millions of dollars)
Dollar acceptances
Commercial and finance
company paper
Based on—
Held b y Placed through
dealers
End of period
Placed
directly
F.R. Banks
Accepting banks
ImExports
ports
into
from
United United
States States
Total
Bank
related
Bank
Other i related
Other 2
Total
Bills
bought
Own
acct.
3,385
3,392
3,603
4,317
4,428
5,451
1,671
1,223
1,198
1,906
1,544
1,567
1,301
1,094
983
1,447
1,344
1,318
370
129
215
459
200
249
94
187
193
164
58
64
122
144
191
156
109
146
1.498
1,837
2,022
2,090
2,717
3,674
1,086
3,078
6,138
7,155
10,190
11,634
13,296
16,814
520 12,564
526 12,775
409 12,262
3,179
2,600
1,940
18,138
18,065
17,154
6,167
6,267
7,058
2,125
2,368
2,694
1,737
1,875
1,960
388
493
735
73
87
57
238
243
250
3,731
3,569
4,057
362
383
355
431
392
448
469
454
395
454
1,668 17,194
6,912
6,984
7,174
7,301
7,494
7,645
7,454
8,377
8,148
7,811
2,742
3,089
2,953
2,893
2,927
2,807
2,594
2,058
2,306
2,276
2,320
2,382
2,355
2,803
3,000
2,131
2,227
2,350
684
784
678
573
545
451
426
481
575
650
59
54
138
56
112
62
55
107
51
52
270
266
255
236
253
230
228
245
259
261
3,841
3,575
3,827
4,116
4,203
4,546
4,577
5,413
5,036
4.499
2,223
1,903
3,089
4,901
7,201
196 4
196 5
196 6
196 7
196 8
196 9
8,361
9,058
13,279
16,535
20,497
31,709
1,216 10,601
1970—Oct...
Nov..
Dec..
34,401
33,966
31,765
1971—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct..
32,295
32,506
31,223
31,367
31,115
29,472
29,746
30,057
29,946
31,205
13,071
13,538
13,215
13,058
12,608
11,288
11,001
11,494
11,909
11,897
1,518 17,067
1.337 16,316
1,363 16,515
1,356 16,759
1,285 16,451
1,339 16,937
1.338 16,771
1,505 16,137
1,527 17,327
1
As reported by dealers,* includes finance company paper as well as
other commercial paper sold in the open market.
Own
bills
Foreign
corr.
2,612
2,168
667
792
997
All
other
999
974
829
989
952
1,153
1,719
1,626
1,778
2,241
2,053
2,408
2,553
2,490
1,323
i ,388
1,561
2,292
2.390
2,895
2,589
1,555
1,520
1,519
1,510
1,479
1,467
1,388
1,505
1,470
1,366
2,768
2,847
2,974
3,043
3,126
3,150
2,948
3,467
3.391
3,296
1,423
1,889
2,601
2,618
2,681
2,748
2,889
3,028
3,118
3,405
3,286
3,148
2
As reported by finance companies that place their paper directly with
investors.
A 34
INTEREST RATES • DECEMBER 1971
PRIME RATE CHARGED BY BANKS
( P e r cent per a n n u m )
I n effect d u r i n g —
Rate
Effective d a t e
Rate
192 9
51/2-6
1953—Apr.
27. ,
31/4
193 0
193 1
193 2
193 3
31/2-6
2%-5
31/4-4
lVz-4
1954—Mar.
17. .
3
1955—Aug.
Oct.
4. .
14. .
3Vz
1934—
1947 ( N o v . )
l Vi
1956—Apr.
Aug.
13.
21. .
3V4
1957—Aug.
6. .
41/2
1958—Jan.
Apr.
Sept.
22. .
21
11
1959—May
Sept.
18. .
1 ,
31/4
4
Effective d a t e
1947—Dec. i. . .
iy4
1948—Aug. i . . .
2
1950—Sept.
4
4
31/2
21/4
22
1960—Aug.
1951—Jan.
Oct.
Dec.
1
8
17
19
21/2
2%
1965—Dec.
3
41/2
5
23
41/2
6. .
Effective d a t e
Rate
1966-—Mar.
June
Aug.
10
29
16 .
51/2
5y4
6
1967-—Jan.
Mar.
Nov.
26-27...
27
20
51/2-534
51/2
6
1968-—Apr.
Sept.
Nov.
Dec.
19
25
13
2
18
61/2
1969—Jan.
Mar.
June
7.
17.
9.
71/2
1970—Mar.
Sept.
Nov.
25.
21.
12.
23.
22.
Effective d a t e
Rate
6%
61/4
6
5%
514-514
51/4
51,4-51/2
51/2
51/2-6
1V2
114
7
5
Dec.
1971—Jan.
Feb.
Mar.
Apr.
May
July
6 -61/4
Oct.
Nov.
61/4
6V2
ey4
7
6
,
15. , .
18
16,
,
11
19
23
11
6
7
20, , ,
1
4,
,
22 ,
29
8V2
Dec.
6,
,
6
5V4
4
5y -5y8
5%
53/8-5i/2
514-51/2
514-53/851/2
51/2-5 %
6V4
D a t e of c h a n g e n o t available.
RATES ON BUSINESS LOANS OF BANKS
Size of l o a n (in t h o u s a n d s of dollars)
All sizes
Aug.
1971
May
1971
1-9
Aug.
1971
10-99
May
1971
Aug.
1971
100-499
May
1971
Aug.
1971
May
1971
500-999
Aug.
1971
1,000 a n d o v e r
May
1971
Aug.
1971
May
1971
Short-term
35 centers
N e w Y o r k City
7 other Northeast
8 N o r t h Central
7 Southeast
8 Southwest
4 West Coast
6.50
6.25
6.75
6.45
6.73
6.60
6.56
6.00
5.66
6.25
5.95
6.37
6.17
6.12
7.70
7.49
7.88
7.37
7.75
7.62
8.06
7.47
6.85
7.69
7.08
7.67
7.35
7.84
7.28
7.01
7.52
7.17
7.36
7.06
7.44
6.94
6.66
7.18
6.69
7.20
6.76
7.14
6.88
6.64
7.07
6.83
6.86
6.79
7.11
6.37
6.13
6.58
6.25
6.54
6.33
6.43
6.57
6.37
6.81
6.45
6.62
6.74
6.55
6.04
5.82
6.22
5.97
6.12
6.19
6.10
6.27
6.17
6.42
6.27
6.46
6.31
6.31
5.76
5.56
5.88
5.78
6.05
5.87
5.91
5.90
5.83
5.84
5.73
6.66
6.46
5.85
6.40
6.28
6.86
6.61
6.09
6.71
6.18
5.83
5.66
5.74
5.79
6.18
6.61
5.80
6.28
6.30
6.58
6.30
6.14
6.86
6.17
5.71
5.73
5.87
5.82
6.08
5.69
5.61
6.91
6.53
7.38
6.88
8.41
6.69
6.41
7.03
6.65
6.67
6.82
7.27
8.02
6.60
6.22
6.53
6.19
6.34
7.00
6.18
6.05
6.60
6.26
6.59
7.00
7.00
6.68
6.45
6.24
6.29
6.27
6.41
7.25
6.19
5.99
R e v o l v i n g credit
35 centers
N e w Y o r k City
7 other Northeast
8 N o r t h Central
7 Southeast
8 Southwest
4 West Coast
6.31
6.31
6.64
6.37
6.20
6.91
6.20
5.74
5.74
5.86
5.82
6.29
6.05
5.66
7.28
6.74
8.02
7.57
6.52
7.76
8.06
6.62
6.33
7.62
6.65
6.24
6.81
7.11
7.03
6.73
7.66
7.13
6.48
6.86
7.13
6.53
6.77
6.54
6.30
6.76
6.89
6.42
6.50
6.33
6.65
6.46
6.26
7.25
6.40
Long-term
35 centers
N e w Y o r k City
7 other Northeast
8 N o r t h Central
7 Southeast
8 Southwest
4 West Coast
6.75
6.35
6.87
6.99
7.52
7.33
6.52
6.38
6.35
6.64
6.49
7.67
6.29
6.04
7.59
6.18
8.37
7.03
7.35
7.48
7.72
7.63
5.65
8.11
7.44
7.07
8.02
7.80
NOTE.—Beginning F e b . 1971 t h e Q u a r t e r l y Survey of I n t e r e s t R a t e s o n
Business L o a n s w a s revised. F o r d e s c r i p t i o n of revised series see p p . 4 6 8 77 of the J u n e 1971 BULLETIN.
7.46
6.80
7.47
7.73
7.61
7.48
7.39
7.25
6.35
7.44
7.06
8.13
6.95
7.18
7.05
6.60
7.30
6.84
8.53
7.46
7.03
DECEMBER 1971 • INTEREST RATES
A 35
MONEY MARKET RATES
(Per cent per a n n u m )
U.S. G o v e r n m e n t securities (taxable) 4
Finance
Prime
coml.
paper
4- to 6months1
Period
CO.
paper
placed
directly,
3- to 6months2
Prime
bankers'
acceptances,
90 d a y s i
Federal
funds
rate3
3-month bills 5
6 - m o n t h bills 5
9- to 12-month issues
R a t e on
new issue
Market
yield
Rate on
new issue
Market
yield
Bills (market yield) 5
Other 6
3- to 5year
issues 7
1963
1964
3.55
3.97
3.40
3.83
3.36
3.77
3.18
3.50
3.157
3.549
3.16
3.54
3.253
3.686
3.25
3.68
3.30
3.74
3.28
3.76
3.72
4.06
1965
1966
1967
1968
1969
1970
4.38
5.55
5.10
5.90
7.83
7.72
4.27
5.42
4.89
5.69
7.16
7.23
4.22
5.36
4.75
5.75
7.61
7.31
4.07
5.11
4.22
5.66
8.22
7.17
3.954
4.881
4.321
5.339
6.677
6.458
3.95
4.85
4.30
5.33
6.64
6.42
4.055
5.082
4.630
5.470
6.853
6.562
4.05
5.06
4.61
5.48
6.84
6.55
4.06
5.07
4.71
5.45
6.77
6.53
4.09
5.17
4.84
5.62
7.06
6.90
4.22
5.16
5.07
5.59
6.85
7.37
1970—Nov
Dec
6.30
5.73
6.16
5.48
5.79
5.32
5.60
4.90
5.288
4.860
5.28
4.87
5.422
4.848
5.42
4.89
5.39
4.87
5.52
4.94
6.37
5.86
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
5.11
4.47
4.19
4.57
5.10
5.45
5.75
5.73
5.75
5.54
4.92
5.07
4.37
4.05
4.27
4.69
5.24
5.54
5.57
5.44
5.30
4.81
4.77
4.09
3.80
4.36
4.91
5.33
5.60
5.57
5.49
5.05
4.78
4.14
3.72
3.71
4.15
4.63
4.91
5.31
5.57
5.55
5.20
4.91
4.494
3.773
3.323
3.780
4.139
4.699
5.405
5.078
4.668
4.489
4.191
4.44
3.69
3.38
3.85
4.13
4.74
5.39
4.93
4.69
4.46
4.22
4.510
3.806
3.431
3.927
4.367
4.890
5.586
5.363
4.934
4.626
4.338
4.47
3.78
3.50
4.03
4.34
4.95
5.62
5.22
4.97
4.60
4.38
4.39
3.84
3.61
4.09
4.64
5.32
5.73
5.52
5.20
4.75
4.49
4.29
3.80
3.66
4.21
4.93
5.57
5.89
5.67
5.31
4.74
4.50
5.72
5.31
4.74
5.42
6.02
6.36
6.77
6.39
5.96
5.68
5.50
Week ending—
1971—Aug.
7
14
21
28
5.75
5.83
5.78
5.63
5.60
5.68
5.58
5.46
5.63
5.63
5.55
5.53
5.57
5.59
5.59
5.48
5.273
5.372
4.921
4.747
5.28
5.24
4.71
4.69
5.618
5.770
5.202
4.860
5.67
5.66
4.89
4.87
5.90
5.92
5.24
5.19
6.02
6.06
5.41
5.39
6.85
6.81
6.05
6.06
Sept.
4
11
18
25
5.70
5.75
5.75
5.75
5.44
5.44
5.44
5.45
5.50
5.50
5.50
5.50
5.59
5.73
5.59
5.46
4.549
4.538
4.834
4.743
4.47
4.62
4.79
4.74
4.771
4.846
5.085
4.993
4.79
4.92
5.02
5.04
5.13
5.17
5.22
5.26
5.20
5.23
5.35
5.41
5.89
5.94
6.00
6.01
Oct.
2
9
16
23
30.
5.75
5.75
5.63
5.45
5.25
5.44
5.44
5.39
5.24
5.06
5.40
5.23
5.03
4.98
4.88
5.43
5.32
5.29
5.14
5.11
4.676
4.534
4.486
4.494
4.443
4.65
4.51
4.45
4.47
4.36
4.973
4.743
4.595
4.635
4.530
4.95
4.72
4.58
4.56
4.47
5.17
5.00
4.73
4.67
4.49
5.26
4.91
4.73
4.70
4.51
5.91
5.84
5.68
5.62
5.53
Nov.
6
13
20
27
5.03
4.88
4.93
4.88
4.97
4.88
4.80
4.66
4.78
4.75
4.75
4.81
5.16
4.93
4.88
4.86
4.233
4.174
4.122
4.236
4.18
4.18
4.15
4.33
4.346
4.340
4.255
4.411
4.34
4.37
4.31
4.49
4.41
4.47
4.42
4.61
4.37
4.40
4.46
4.69
5.41
5.47
5.47
5.63
. .
1
Averages of daily offering rates of dealers.
2
Averages of daily rates, published by finance companies, for varying
maturities in the 90-179 day range.
3
Seven-day average for week ending Wednesday.
4
Except for new bill issues, yields are averages c o m p u t e d f r o m daily
closing bid prices.
5
Bills quoted on b a n k discount rate basis.
6
Certificates and selected note and bond issues.
7
Selected note and bond issues.
A 36
INTEREST RATES • DECEMBER 1971
BOND AND STOCK YIELDS
(Per cent per a n n u m )
Government bonds
Period
Corporate bonds
By selected
rating
State
a n d local
United
States
(longterm)
Total i
Aaa
Baa
196 2
196 3
196 4
3.95
4.00
4.15
3.30
3.28
3.28
3.03
3.06
3.09
3.67
3.58
3.54
196 5
196 6
196 7
196 8
196 9
197 0
4.21
4.66
4.85
5.25
6.59
3.34
3.90
3.99
4.48
5.73
6.42
3.16
3.67
3.74
4.20
5.45
6.12
1970—No v
Dec
6.24
5.97
6.04
5.49
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
5.91
5.84
5.71
5.75
5.96
5.94
5.91
5.78
5.56
5.46
5.44
Stocks
By
group
Dividend/
price ratio
Earnings /
price ratio
Total i
Aaa
Baa
Industrial
Railroad
Public
utility
Preferred
Common
Common
4.62
4.50
4.57
4.33
4.26
4.40
5.02
4.86
4.83
4.47
4.42
4.52
4.86
4.65
4.67
4.51
4.41
4.53
4.50
4.30
4.32
3.37
3.17
3.01
6.06
5.68
5.54
3.57
4.21
4.30
4.88
6.07
6.75
4.64
5.34
5.82
6.51
7.36
8.51
4.49
5.13
5.51
6.18
7.03
8.04
4.87
5.67
6.23
6.94
7.81
9.11
4.61
5.30
5.74
6.41
7.22
8.26
4.72
5.37
5.89
6.77
7.46
8.77
4.60
5.36
5.81
6.49
7.49
8.68
4.33
4.97
5.34
5.78
6.41
7.22
3.00
3.40
3.20
3.07
3.24
3.83
5.87
6.72
5.71
5.84
6.05
6.28
5.79
5.21
6.33
5.80
8.65
8.35
8.05
7.64
9.38
9.12
8.37
7.95
9.06
8.96
8.77
8.45
7.30
6.88
3.72
3.46
5.81
5.34
5.28
5.26
5.49
5.99
5.98
6.12
5.84
5.45
5.05
5.20
5.08
4.92
5.00
5.22
5.71
5.65
5.75
5.56
5.09
4.75
4.94
5.65
5.73
5.56
5.85
6.36
6.36
6.58
6.21
5.86
5.38
5.53
8.04
7.75
7.84
7.86
8.03
8.14
8.14
8.12
7.97
7.88
7.77
7.36
7.08
7.21
7.25
7.53
7.64
7.64
7.59
7.44
7.39
7.26
8.74
8.39
8.46
8.45
8.62
8.75
8.76
8.76
8.59
8.48
8.38
8.57
7.24
7.36
7.43
7.68
7.80
7.85
7.80
7.64
7.58
7.46
8.70
8.39
8.39
8.37
8.40
8.43
8.46
8.48
8.39
8.25
8.13
8.17
7.94
8.08
8.05
8.23
8.39
8.34
8.30
8.12
8.04
7.96
6.53
6.32
6.48
6.59
6.82
6.99
7.03
7.04
6.90
6.75
6.78
3.32
3.18
3.10
2.99
3.04
3.10
3.13
3.18
3.09
3.16
3.31
5.58
5.51
5.59
5.59
5.59
5.40
5.50
5.51
5.30
5.00
5.10
5.15
6.10
5.80
5.90
5.90
8.03
7.97
7.97
7.96
7.45
7.42
7.44
7.44
8.65
8.62
8.63
8.57
7.67
7.62
7.64
7.65
8.54
8.45
8.39
8.32
8.15
8.11
8.13
8.12
6.94
6.87
6.87
6.85
3.10
3.03
3.07
3.11
23...
30...
5.52
5.47
5.44
5.47
5.43
5.25
5.15
4.98
4.95
5.13
4.90
4.80
4.65
4.65
4.90
5.60
5.50
5.30
5.25
5.45
7.95
7.93
7.90
7.87
7.82
7.46
7.44
7.42
7.37
7.31
8.52
8.49
8.48
8.47
8.44
7.64
7.62
7.61
7.56
7.51
8.32
8.32
8.26
8.21
8.18
8.10
8.05
8.04
8.03
8.00
6.95
6.81
6.75
6.70
6.74
3.13
3.07
3.09
3.20
3.26
6...
13. . .
20...
21...
5.33
5.37
5.46
5.56
4.98
5.15
5.25
5.41
4.75
4.90
4.95
5.15
5.25
5.45
5.65
5.75
7.78
7.77
7.77
7.78
7.25
7.24
7.27
7.28
8.43
8.37
8.36
8.39
7.46
7.43
7.46
7.48
8.15
8.13
8.10
8.11
7.97
7.96
7.95
7.94
6.76
6.66
6.83
6.85
3.24
3.29
3.31
3.39
30
40
29
40
14
6.10
5.52
' r5.74
Week ending—
1971—Sept.
4...
18.'.'.'
25...
Oct.
2...
9...
16...
Nov.
N u m b e r of issues 2
119
1 Includes b o n d s rated Aa and A, data for which are not shown separately. Because of a limited n u m b e r of suitable issues, the n u m b e r
of c o r p o r a t e b o n d s in some groups has varied somewhat. As of Dec.
23, 1967, Aaa-rated railroad b o n d s are n o longer a c o m p o n e n t of the
railroad average or the A a a composite series.
2
N u m b e r of issues varies over t i m e ; figures shown reflect most recent
count.
NOTE.—Annual yields are averages of monthly or quarterly data.
Bonds: M o n t h l y and weekly yields are computed as follows: (1) U.S.
Notes to tables on opposite
Govt.: Averages of daily figures f o r b o n d s maturing or callable in 10 years
or more. (2) State and local govt.: General obligations only, based o n
Thurs. figures. (3) Corporate: Averages of daily figures. (2) and (3) are
f r o m M o o d y ' s Investors Service series.
Stocks: Standard and P o o r ' s c o r p o r a t e series. Dividend/price ratios
are based on Wed. figures; earnings/price ratios are as of end of period.
Preferred stock ratio is based on eight median yields for a sample of n o n callable issues—12 industrial and tw o public utility; c o m m o n stock ratios
on the 500 stocks in the price index. Quarterly earnings are seasonally
adjusted at annual rates.
page:
Security Prices:
Terms on Mortgages:
i Begins June 30, 1965, at 10.90. O n that day the average price of a share
of stock listed on the American Stock Exchange w a s $10.90.
i Fees a n d charges—related to principal mortgage a m o u n t — i n c l u d e
loan commissions, fees, discounts, a n d other charges, which provide
a d d e d income to the lender a n d are paid by the borrower. They exclude
any closing costs related solely t o transfer of property ownership.
NOTE.—Annual data are averages of monthly figures. Monthly and
weekly data are averages of daily figures unless otherwise noted and are
c o m p u t e d as follows: U.S. Govt, bonds, derived f r o m average market
yields in table o n preceding page on basis of an assumed 3 per
cent, 20-year b o n d . Municipal and corporate bonds, derived f r o m average
yields as computed by Standard and P o o r ' s Corp., on basis of a 4 per cent,
20-year b o n d ; Wed. closing prices. Common stocks, derived f r o m comp o n e n t c o m m o n stock prices. Average daily volume of trading, normally
conducted 5 days per week f o r 5 Vi h o u r s per day, or 27 Vi hours per week.
I n recent years shorter days a n d / o r weeks have cut total weekly trading
t o t h e following n u m b e r of h o u r s : 1967—Aug. 8 - 2 0 , 20; 1968—Jan. 2 2 M a r . 1, 20; J u n e 30-Dec. 31, 22; 1969—Jan. 3-July 3, 20; July 7 - D e c . 3 1 22.5; 1970—Jan. 2 - M a y 1, 25.
NOTE.—Compiled by Federal H o m e L o a n Bank Board in cooperation
with Federal Deposit Insurance C o r p o r a t i o n . D a t a are weighted averages
based on probability sample survey of characteristics of mortgages
originated by m a j o r institutional lender groups (including mortgage
companies) for purchase of single-family homes. D a t a excjude loans for
refinancing, reconditioning, or m o d e r n i z a t i o n ; construction loans t o
homebuilders; a n d p e r m a n e n t loans t h a t are coupled witfr construction
loans to owner-builders. Series beginning 1965, n o t strictly comparable
with earlier data. See also the table on H o m e - M o r t g a g e Yields, p. A-55.
DECEMBER 1971 • SECURITY MARKETS
A 37
SECURITY PRICES
C o m m o n stock prices
New Y o r k Stock Exchange
Bond prices
(per cent of par)
S t a n d a r d and P o o r ' s index
(1941-43=10)
Period
1
N e w Y o r k Stock Exchange index
(Dec. 31, 1 9 6 5 = 5 0 )
i
U.S.
G ov t,
(longterm)
State
and
local
Corporate
AAA
Total
Industrial
Railroad
Public
utility
1962
1963
1964.
1965
1966
1967.
1968.
1969.
1970.
86.94
86.31
84.46
83.76
78.63
76.55
72.33
64.49
60.52
112.0
111.3
111.5
110.6
102.6
100.5
93.5
79.0
72.3
96.2
96.8
95.1
93.9
86.1
81.8
76.4
68.5
61.6
62.38
69.87
81.37
88.17
85.26
91.93
98.70
97.84
83.22
65.54
73.39
86.19
93.48
91.09
99.18
107.49
107.13
91.29
30.56
37.58
45.46
46.78
46.34
46.72
48.84
45.95
32.13
59.16
64.99
69.91
76.08
68.21
68.10
66.42
62.64
54.48
44.16
50.77
55.37
54.67
45.72
43.79
51.97
58.00
57.45
48.03
48.23
53.51
50.58
46.96
32.14
44.77
45.43
44.19
42.80
37.24
1970—Nov
Dec
63.27
65.63
75.1
79.8
61.9
64.7
84.28
90.05
92.58
98.72
30.80
32.95
54.86
59.96
45.84
49.00
48.54
51.68
31.23
33.70
1971-- J a n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
66.10
66.78
67.94
67.57
65.72
65.84
66.16
67.33
69.35
70.33
70.47
79.9
81.5
82.8
80.4
75.6
74.8
74.0
77.4
81.7
84.7
81.6
66.5
66.8
65.8
65.1
63.7
63.5
63.2
63.4
64.2
65.2
65.6
93.49
97.11
99.60
103.04
101.64
99.72
99.00
97.24
99.40
97.29
92.78
102.22
106.62
109.59
113.68
112.41
110.26
109.09
107.26
109.85
107.28
102.21
36.64
38.78
39.70
42.29
42.05
42.12
42.05
43.55
47.18
44.58
41.19
63.43
62.49
62.42
62.06
59.20
57.90
60.08
57.51
56.48
57.41
55.86
51.29
53.42
54.89
56.81
56.00
55.06
54.83
53.73
54.95
53.76
51.1?
53.72
56.45
58.43
60.65
60.21
59.25
58.70
57.62
59.13
57.52
54.50
71.60
71.16
70.30
69.34
85.9
84.8
83.4
82.4
66.4
66.8
66.2
66.2
94.03
93.30
92.33
90.81
103.60
102.72
101.53
100.08
42.21
42.38
41.24
38.97
55.46
56.33
55.88
54.81
51.92
51.52
50.84
49.95
55.37
54.83
54.07
53.19
r
Transportation
Industrial
Total
i
i
Finance
Utility
American
Stock
Exchange
total
index 1
V o l u m e of
trading in
stocks
(thousands of
shares)
NYSE AMEX
44.43
49.82
65.85
70.49
54.64
8.52
9.81
12.05
14.67
19.67
27.72
28.73
22.59
3,820
4,573
4,888
6,174
7,538
10,143
12,971
11,403
10,532
1,225
1,269
1,570
2,120
2,752
4,508
6,353
5,001
3,376
36.71
39.93
57.40
61.95
21.73
22.19
11,519
15,241
2,677
4,330
37.76
40.37
41.71
45.35
45.48
44.90
44.02
44.83
48.09
47.02
44.29
42.52
42.30
41.60
41.73
39.70
38.71
39.72
38.17
37.53
37.93
36.87
66.41
68.19
70.66
73.91
70.89
70.01
70.42
69.41
72.14
71.24
68.98
23.56
25.02
25.88
26.43
26.03
25.61
25.46
24.84
25.47
25.24
24.10
17,429
19,540
16,955
19,126
15,157
13,802
12,634
14,574
12,038
13,340
13,163
4,493
6,054
5,570
5,685
4,157
3.488
3,080
3,473
3,259
3,622
3,234
45.12
45.03
44.02
42.42
37.17
37.17
36.89
36.25
69.67
69.58
68.80
67.15
24.51
24.30
23.99
23.49
13,088
12,362
12,192
12,736
3,312
2,810
3,035
3,420
1
!
Week ending—
1971-- N o v .
6
13
20
27
F o r notes see opposite page.
TERMS ON CONVENTIONAL FIRST MORTGAGES
New h o m e s
Period
Contract
rate
(per
cent)
Fees &
charges
(per
cent)1
Maturity
(years)
Loan /
price
r a tio
(per
cent)
Existing h o m e s
PurLoan
chase
amount
price
( t h o u s . of
(thous. of
dollars)
dollars)
Contract
rate
(per
cent)
Fees &
charges
(per
cent)1
Maturity
(years)
Loan/
price
ratio
(per
cent)
PurLoan
chase
amount
price
(thous. of
(thous. of
dollars)
dollars)
1964
1965,
1966.
1967
1968
1969.
1970.
5.78
5.74
6.14
6.33
6.83
7.66
8.27
.57
.49
.71
.81
.89
.91
1.03
24.8
25.0
24.7
25.2
25.5
25.5
25.1
74.1
73.9
73.0
73.6
73.9
72.8
71.7
23.7
25.1
26.6
28.0
30.7
34.1
35.5
17.3
18.3
19.2
2Q.4
22.4
24.5
25.2
5.92
5.87
6.30
6.40
6.90
7.68
8.20
.55
.55
.72
.76
.83
.88
.92
20.0
21.8
21.7
22.5
22.7
22.7
22.8
71.3
72.7
72.0
72.7
73.0
71 .5
71.1
18.9
21.6
22.2
24.1
25.6
28.3
30. Q
13.4
15.6
15.9
17.4
18.5
19.9
21.0
1970-- O c t
Nov
Dec
8.33
fc.26
8.20
1.05
.99
1.07
25.1
25.3
25.8
72.4
72.1
73.8
34.6
35.8
35.3
24.8
25.2
25.8
8.20
8.18
8.12
.88
.85
.85
22.8
22.8
23.3
71.5
71.5
71.9
29.0
29.9
30.7
20.5
21.1
21.7
1971-- J a n
Feb
Mar
Apr
May
June
July
Aug
Sept.r
Oct
8.03
7.74
7.52
7.37
7.36
7.38
7.51
7.60
7.67
7.67
.92
1.00
.83
.73
.71
.74
.90
.84
.97
.96
25.8
26.2
25.9
26.3
26.1
26.3
26.3
26.2
25.8
26.5
73.3
73.9
73.7
73.6
74.0
73.7
74.5
73.9
75.3
75.6
36.2
37.0
35.9
36.0
36.7
37.5
36.8
36.5
35.1
35.1
26.4
26.2
26.0
26.2
26.7
27.3
27.1
26.5
25.9
26.3
7.94
7.67
7.47
7.34
7.33
7.38
7.50
7.58
7.63
7.62
.82
.79
.77
.75
.71
.74
.75
.76
.79
.78
23.5
24.0
24.1
24.2
24.0
24.3
24.2
24.5
24.2
24.2
72.5
73.1
73.5
73.6
73.2
73.9
74.5
74.2
74.5
74.6
30.7
31.1
31.7
31.8
32.3
32.9
31.6
31.9
30.7
31.4
22.0
22.5
23.0
23.1
23.3
23.9
23.2
23.5
22.5
23.0
For notes see opposite page.
A 38
STOCK MARKET CREDIT • DECEMBER 1971
STOCK MARKET CREDIT
REGULATORY STATUS OF MARGIN ACCOUNT DEBT
AT BROKERS
(In millions of dollars)
Credit extended to
margin customers b y E n d of period
(Per cent of total a d j u s t e d debt, except as n o t e d )
CusCusNet
tomers 1 t o m e r s ' credit
net
net
exfree
debit
credit tended
balby
balances
ances b r o k e r s
Brokers
Banks
Total
1970—Oct.
Nov,
Dec.
4,010
4,010
4,030
2,270
2,320
2,330
6,280
6,332
6,360
(3)
(3)
(3)
2,163
2,197
2,286
(3)
(3)
(3)
1971—Jan..
Feb..
Mar.
Apr.,
May,
June,
July.
Aug.
Sept.
Oct..
4,000
4,090
4,300
4,530
4,620
4,720
4,790
4,850
4,930
4,950
2,300
2,330
2,360
2,340
2,340
2,390
2,420
2,430
2,430
2,410
6,300
6,420
6,660
6,870
6,960
7,110
7,210
7,280
7,360
7,360
(3)
(3)
(3)
(3)
2,452
2,743
2,798
2,660
2,550
2,440
2,210
2,200
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
Adjusted debt/collateral value
(per cent)
E n d of
period
Under
20
20-29
30-39
Unrestricted
3
(3)
()
(3)
(3)
(3)
2,100
2,160
1
E n d - o f - m o n t h d a t a . T o t a l a m o u n t of credit extended by m e m b e r firms
of the N . Y . Stock Exchange in margin accounts, excluding credit extended
o n convertible b o n d s a n d o t h e r debt i n s t r u m e n t s a n d in special subscription a c c o u n t s .
2
Figures are f o r last W e d . of m o n t h f o r large c o m m e r c i a l b a n k s rep o r t i n g weekly a n d represent loans m a d e to others t h a n b r o k e r s or dealers
f o r t h e p u r p o s e of p u r c h a s i n g or carrying securities. Excludes loans collateralized by obligations of the U.S. G o v t .
3
Series d i s c o n t i n u e d .
NOTE.—Customers' net debit a n d free credit balances are e n d - o f - m o n t h
ledger balances as r e p o r t e d t o the N e w Y o r k Stock E x c h a n g e by all
m e m b e r firms t h a t carry m a r g i n accounts. They exclude balances carried
f o r o t h e r m e m b e r firms of n a t i o n a l securities exchanges as well as balances
of the reporting firm a n d of its general partners. N e t debit balances are
t o t a l d e b t o w e d by t h o s e c u s t o m e r s w h o s e c o m b i n e d accounts net t o a
debit. Free credit balances are in a c c o u n t s of customers with no unfulfilled
c o m m i t m e n t s t o the b r o k e r and are subject t o withdrawal o n d e m a n d . N e t
credit extended by b r o k e r s is the difference between c u s t o m e r s ' net debit
and free credit balances since the latter are available for the b r o k e r s ' use
until w i t h d r a w n .
40-49
50-59
60 or
more
Total
adjusted
debt
(millions
of
dollars)
Restricted i
1970—Oct...
Nov..
Dec..
.7
1.0
.0
1.0
.9
.3
38.4
39.0
47.0
18.0
16.4
13.7
9.2
9.7
9.5
32.6
33.0
29.4
8,780
8,570
8,140
1971—Jan. .
Feb. .
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
.0
.0
.0
.2
.0
.3
.1
.0
.2
.4
.4
.5
.4
.3
2
55.1
56.2
58.4
60.6
54.0
47.4
33.5
48.2
44.1
30.0
12.5
13.2
12.7
12.1
17.9
23.1
33.3
21.8
24.5
33.6
8.4
7.7
6.7
6.0
6.8
7.6
10.1
8.3
9.5
11.2
23.6
22.5
21.6
20.7
20.9
21.3
22.8
21.2
21.5
24.8
8,180
8,410
8,820
9,200
8,990
9,030
8,960
9,070
9,090
9,010
-
1
.3
.3
.2
i D e b t representing m o r e t h a n 30 per cent b u t less t h a n 35 per cent of
collateral value is unrestricted as of M a y 6 , 1 9 7 0 , b u t is n o t separable f r o m
the r e m a i n d e r of this category.
NOTE.—Adjusted debt is c o m p u t e d in accordance with r e q u i r e m e n t s set
f o r t h in R e g u l a t i o n T a n d o f t e n differs f r o m the s a m e c u s t o m e r ' s net debit
balance mainly because of the inclusion of special miscellaneous a c c o u n t s
in a d j u s t e d debt. Collateral in the m a r g i n accounts covered by these d a t a
now consists exclusively of stocks listed o n a national securities exchange.
Unrestricted accounts are those in which a d j u s t e d debt does n o t exceed t h e
loan value of collateral; a c c o u n t s in all classes with higher ratios are
restricted.
SPECIAL MISCELLANEOUS ACCOUNT BALANCES
AT BROKERS, BY EQUITY STATUS OF ACCOUNTS
(Per cent of total, except as n o t e d )
EQUITY STATUS OF MARGIN ACCOUNT DEBT
AT BROKERS
(Per cent of total debt, except as n o t e d )
E n d of
period
Total
debt
(millions
of
dollars)!
E n d of period
E q u i t y class (per cent)
80 or
more
70-79
60-69
50-59
40-49
Under
40
1970—Oct...
Nov..
Dec..
4,010
4,010
4,030
11.0
9.9
10.4
15.2
14.8
16.1
25.5
26.1
27.1
16.9
17.5
16.8
14.3
14.1
13.5
18.2
17.2
15.5
1971—Jan. .
Feb. .
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
4,000
4,090
4,300
4,530
4,620
4,720
4,790
4,850
4,930
4,950
12.1
11.4
11.8
11.8
10.6
9.6
8.3
9.3
8.7
7.5
19.6
19.5
20.0
20.3
15.7
14.4
12.2
14.4
13.1
10.9
28.3
31.1
33.0
35.0
36.7
34.9
29.1
35.4
34.3
28.7
17.1
16.3
16.2
15.0
18.0
20.1
25.2
19.6
20.7
24.4
10.0
9.3
7.2
6.2
7.4
8.6
12.8
12.3
11.8
11.7
11.6
12.2
14.1
12.6
13.3
16.3
1
Net
credit
status
11.0
8.9
9.9
12.1
See n o t e 1 t o table above.
NOTE.—Each customer's equity in his collateral (market value of collateral less net debit balance) is expressed as a percentage of current collateral values.
E q u i t y class of accounts
in debit status
60 per cent Less t h a n
o r m o r e 60 p e r cent
Total
balance
(millions
of d o l l a r s )
1970—Oct..
Nov.
Dec.,
46.2
45.5
48.2
43.9
43.9
42.3
9.9
10.6
9.4
4,430
4,240
4,030
1971—Jan..
Feb.,
Mar.
Apr.
May,
June
July.
Aug.
Sept.
Oct..
49.2
49.1
48.6
46.8
46.5
45.1
45.2
44.6
44.2
45.5
43.6
44.2
45.5
48.1
47.1
47.8
46.7
48.0
47.0
45.2
7.2
6.7
5.9
5.1
6.4
7.0
8.1
7.4
8.8
9.3
4,260
4,380
4,400
4,500
4,400
4,250
4,190
4,230
4,160
4,060
NOTE.—Special miscellaneous accounts c o n t a i n credit balances t h a t
may be used by c u s t o m e r s as the m a r g i n deposit required f o r a d d i t i o n a l
purchases. Balances m a y arise as transfers based on loan values of o t h e r
collateral in the c u s t o m e r ' s m a r g i n a c c o u n t or deposits of cash (usually
sales proceeds) occur.
'.2
DECEMBER 1971 • SAVINGS INSTITUTIONS
A 39
MUTUAL SAVINGS BANKS
(In millions of dollars)
Securities
Loans
End of period
Mortgage
Other
U.S.
Govt.
Cash
Corporate
and
other1
State
and
local
govt.
Other
assets
Total
assets—
Total
liabilities
and
general
reserve
accts.
Deposits 2
M o r t g a g e loan
commitments 3
classified by maturity
(in m o n t h s )
Other General
liabili- reserve
acties
counts
3 or
less
3-6
6-9
Over
9
Total
1963
1964
1965
1966
36,007
40,328
44,433
47.193
607
739
862
1,078
5,863
5,791
5,485
4,764
440
391
320
251
5,074
5,099
5,170
5,719
912
1,004
1,017
953
799
886
944
1,024
49,702
54,238
58,232
60,982
44,606
48,849
52,443
55,006
943
989
1,124
1,114
4,153
4,400
4,665
4,863
196 7
196 8
196 9
50,311
53,286
55,781
1,203
1,407
1,824
4,319
3,834
3,296
8,183
219
194 10,180
200 10,824
993
996
912
1,138
1,256
1,307
66,365
71,152
74,144
60,121
64,507
67,026
1,260
1,372
1,588
4,984
5,273
5,530
742
811
584
c)82
)34
452
485
799
1,166
946
2,523
3,011
2,467
1970—Oct....
Nov....
Dec....
57,398
57,473
57,775
2,291
2,332
2,255
3,215
3,219
3,151
207
205
197
12,243
12,378
12,876
1,035
1,112
1,270
1,465
1,483
1,471
77.855
78,202
78,995
70,093
70,361
71,580
2,051
2,111
1,690
5,712
5,730
5,726
596
564
619
338
315
322
274
311
302
666
662
688
1,875
1,852
1,931
1971—Jan....
Feb....
Mar.. .
Apr....
May...
June. .
July...
Aug. . .
Sept...
Oct
58,014
58.194
58,540
58,796
59,111
59,546
59,935
60,350
60,622
61,036
2,365
2,592
2,636
2,727
2,813
2,696
2,545
2,685
2,782
2,840
3,196
3,328
3,356
3,340
3,441
3,409
3,558
3,517
3,467
3,382
206 13,457
222 13,919
246 14,882
278 15,519
330 16,070
319 16,649
326 16,969
338 17,159
339 17,282
343 17,292
1,129
1,270
1,287
1,254
1,261
1,281
1,198
1,151
1,177
1,250
1,564
1,575
1,635
1,656
1,659
1,665
1,750
1,692
1,742
1,712
79,930
81,100
82,581
83,570
84,686
85,565
86,282
86,892
87,410
87.856
72,441
73,366
75,002
75,824
76,656
77,683
78,130
78,437
79,236
79,648
1,739
1,926
1,746
1,882
2,116
1,956
2,198
2,423
2,129
2,150
5,750
5,809
5,832
5,863
5,914
5,926
5,924
6,031
6,045
6,059
638
723
840
993
1,152
1,118
1,015
978
1,086
1,125
322
352
413
445
470
517
582
557
509
415
285
283
322
360
385
343
347
374
422
484
705
790
864
1,005
1,171
1,244
1,260
1,246
1,196
1,230
1,950
2,148
2,439
2,804
3,178
3,222
3,204
3,155
3,213
3,253
1
Also includes securities of foreign governments and international
organizations and n o n g u a r a n t e e d issues of U.S. Govt, agencies.
2 See note 8, p. A-19.
3
C o m m i t m e n t s outstanding of b a n k s in New Y o r k State as reported to
the Savings Banks Assn. of the State of N e w Y o r k . D a t a include building
loans beginning with Aug. 1967.
2,549
2,820
2,697
2,010
NOTE.—National Assn. of M u t u a l Savings Banks d a t a ; figures are
estimates for all savings b a n k s in the U n i t e d States and differ s o m e w h a t
f r o m those shown elsewhere in the BULLETIN; the latter are for call dates
and are based on reports filed with U.S. Govt, and State b a n k supervisory
agencies. L o a n s are s h o w n net of valuation reserves.
LIFE INSURANCE COMPANIES
(In millions of dollars)
G o v e r n m e n t securities
End of period
Total
assets
Total
United
States
Business securities
State and Foreign
local
Mortgages
Total
Bonds
Real
estate
Policy
loans
Stocks
Statement value:
196 3
196 4
196 5
196 6
196 7
196 8
141,121
149,470
158,884
167,022
177,832
188,636
12,438
12,322
11,679
10,837
10,573
10,509
5,813
5,594
5,119
4,823
4,683
4,456
3,852
3,774
3,530
3,114
3,145
3,194
2,773
2,954
3,030
2,900
2,754
2,859
60,780
63,579
67,599
69,816
76,070
82,127
53,645
55,641
58,473
61,061
65,193
68,897
7,135
7,938
9,126
8,755
10,877
13,230
50,544
55,152
60,013
64,609
67,516
69,973
4,319
4,528
4,681
4,883
5.187
5,571
6,655
7,140
7,678
9,117
10,059
11,306
B o o k value:
196 6
196 7
196 8
196 9
167,022
177,361
187,695
197,208
10,864
10,530
10,483
10,914
4,824
4.587
4,365
4,514
3,131
2,993
3,036
3,221
2,909
2,950
3,082
3.179
68,677
73,997
79,403
84,566
61,141
65,015
68,575
70,859
7,536
8,982
10,828
13,707
64,661
67,575
70,071
72,027
4,888
5.188
5,573
5,912
11,284
13,825
1970—Aug. r . .
Sept.r..
Oct
Nov
Dec
202,498
203,807
203,922
205,064
206,193
11,170
11,098
11,029
11,049
10,967
4,717
4,635
4,565
4.588
4,494
3,261
3,272
3,277
3,281
3,285
3,192
3,191
3.187
3.180
3.188
86,151
87,046
87,099
87.755
88,183
72,707
73,108
73,389
73,644
73,123
13,444
13,938
13,710
14,111
15,060
73,465
73.582
73,728
73,848
74,345
6,255
6,311
6,362
1971—Ja n
Feb....
Mar
Apr
May...
June...
July....
Aug
Sept
208,206
209,885
211,500
212,698
213,414
214,279
215,284
216,436
217,489
11,027
4,557
4,632
4,540
4,454
4,433
4,242
4,466
4,475
4,345
3,298
3,319
3,335
3,375
3,403
3,412
3,430
3,452
3,484
3,172
3,175
3.148
3.117
3.118
3,132
3,135
3.149
3,171
90,127
91,038
92,629
93.756
94,197
95,031
95,683
96,429
9.7,199
74,326
74,696
75,192
75,604
76,096
76,644
77,333
77,581
78,121
15,801
16,342
17,437
18,152
74,370
74,437
74,516
74,536
74,552
74,535
74.583
74,707
74,799
11,126
11,023
10,946
10,954
10,786
11,031
11,076
11,000
1
Issues of foreign governments and their subdivisions and b o n d s of
the International Bank for Reconstruction and Development.
NOTE.—Institute of Life I n s u r a n c e d a t a ; figures are estimates for all
life insurance companies in the United States.
18,101
18,387
18,350
18,848
19,078
6,180
6,208
6,341
6,453
6,485
6,535
6,591
6,644
6,729
6,749
6,811
9,911
10,060
15,541
15,703
15,813
15,918
16,025
16,109
16,220
16,293
16,370
16,433
16,516
16,590
16,679
16,782
Year-end figures: A n n u a l statement asset values, with b o n d s carried
on an amortized basis and stocks at year-end m a r k e t value.
Month-end
figures: Book value of ledger assets. A d j u s t m e n t s for interest d u e a n d
accrued and for differences between m a r k e t and b o o k values are n o t m a d e
on each item separately but are included in total, in " O t h e r assets."
A 40
SAVINGS INSTITUTIONS • DECEMBER 1 9 7 1
SAVINGS AND LOAN ASSOCIATIONS
(In millions of dollars)
M o r t g a g e loan
commitments 4
Liabilities
Investment
securities 1
Mortgages
68,834
78,770
90,944
101,333
110,306
114,427
121,805
130,802
140,347
5,211
5,563
6,445
6,966
7,414
7,762
9,180
Cash
Other2
Total
assets—
Total
liabilities
Savings
capital
Reserves
a n d undivided
profits
Borrowed
money 3
Other
Made
during
period
4,775
5,346
6,191
7,041
7,960
8,378
9,107
9,571
8,620
82,135
93,605
107,559
119,355
129,580
133,933
143,534
152,890
162,299
70,885
80,236
91,308
101,887
110,385
113,969
124,531
131,618
135,670
5,708
6,520
7,209
7,899
8,704
9,096
9,546
10,315
11,239
2,856
3,629
5,015
5,601
6,444
7,462
4,738
5,705
9,728
1 ,550
1,999
2,528
2,239
2,198
1,270
2,257
2,449
2,455
1,136
1,221
1,499
1,729
1,849
2,136
2,462
2,803
3,207
807
10,893
3,315
3,926
3,979
4,015
3,900
3,366
3,442
2,962
2,439
147,712
148,896
150,562
13,277
13,340
13,058
2,715
3,155
3,520
9,248
9,356
9,434
172,952
174,747
176,574
142,825
143,928
146,744
11,588
11,592
12,012
10,721
10,691
10,942
2,747
2,838
3,087
5,071
5,698
3,789
1,711
1,628
1,602
151,503
152,665
154,430
156,574
158,747
161,440
163,951
166,342
168,464
170,456
15,506
16,805
18,335
18,302
18,650
18,609
19,319
19,010
18,701
19,080
2,930
3,249
3,376
3,146
3,000
2,783
2,153
2,091
2,070
2,175
9,386
9,524
9,668
9,831
10,087
10,110
10,192
10,420
10,582
10,733
179,325
182,243
185,809
187,853
190,484
192,942
195,615
197,863
199,817
202,444
149,298
151,742
155,845
158,061
160,221
163,313
164,864
165,973
168,643
170,235
12,056
10,494
10,097
9,838
8,631
7,774
7,903
8,039
8,231
8,417
8,459
3,055
3,161
3,500
3,877
4,336
4,734
4,953
5,032
5,004
5,008
4,422
5,181
4,577
5,253
1,665
2,069
3,130
3,370
3,505
3,537
3,144
2,880
2,639
2,509
i 11,116
1
U.S. G o v t , securities only t h r o u g h 1967. Beginning 1968 the total
reflects liquid assets and other investment securities. Included are U.S.
G o v t , obligations, Federal agency securities, State and local govt, securities, time deposits at banks, and miscellaneous securities, except F H L B B
stock. C o m p e n s a t i n g changes have been m a d e in " O t h e r assets."
2
Includes o t h e r loans, stock in t h e Federal h o m e loan b a n k s , other
investments, real estate owned a n d sold on contract, and office buildings
and fixtures. See also n o t e 1.
3
Consists of advances f r o m F H L B B and other b o r r o w i n g .
4
Insured savings and loan assns. only. D a t a on outstanding c o m m i t -
12,062
12,044
12,031
12,035
12.357
12.358
12,350
12,360
12,353
6,118
4,635
5,401
6,277
5,393
6,389
ments are c o m p a r a b l e with those s h o w n f o r m u t u a l savings b a n k s (on
preceding page) except that figures for loans in process are n o t included
above but are included in the figures for m u t u a l savings b a n k s .
5
Balance sheet d a t a for all operating savings and loan associations
were revised by the Federal H o m e L o a n Bank Board for 1969 and 1970.
NOTE.—Federal H o m e L o a n Bank B o a r d d a t a ; figures are estimates f o r
all savings a n d loan assns. in the United States. D a t a are based on
m o n t h l y reports of insured assns. and a n n u a l reports of noninsured assns.
D a t a f o r current a n d preceding year are preliminary even when revised.
MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES
(In millions of dollars)
Federal h o m e loan b a n k s
Assets
Liabilities a n d capital
Cash
and
deposits
Advances
to
members
Investments
4,386
5,259
9,289
10,614
2,598
2,375
1,862
3,864
127
126
124
105
4,060
4,701
8,422
10,183
1,432
1,383
1,041
2,332
.
.
.
10,539
10,524
10,614
2,658
3,204
3,864
84
135
105
10,090
9,838
10,183
.
.
.
.
.
.
.
.
.
10,326
9,926
9,689
8,269
7,268
7,241
7,338
7,513
7,637
7,640
4,101
4,187
4,322
4,235
4,400
3,718
3,211
2,744
2,584
2,740
112
105
116
192
96
132
85
86
117
99
9,836
9,182
8,756
7,876
7,419
7,329
7,297
7,218
7,190
7,390
Bonds
and
notes
Member
deposits
Banks
for
cooperatives
Mortgage
loans
(A)
Debentures
and
notes
(L)
Loans
to
cooperatives
(A)
Debentures
1,395
1,402
1,478
1,607
5,348
6,872
10,541
15,502
4,919
6,376
10,511
15,206
1,499
1,981
2,332
1,598
1,601
1,607
14,702
15,397
15,502
2,751
3,094
3,425
2,828
2,379
2,112
1,699
1,532
1,522
1,450
1.599
1.619
1,628
1,627
1.620
1,602
1.600
1,603
1,600
1,603
15,619
15,552
15,420
15,308
15,242
15,363
15,674
16,204
16,732
17,202
Capital
stock
NOTE.—Data f r o m Federal H o m e L o a n B a n k B o a r d , Federal N a t i o n a l
M o r t g a g e Assn., and F a r m Credit A d m i n . A m o n g omitted balance
sheet items are capital accounts of all agencies, except for stock of F H L B ' s .
Bonds, debentures, and notes are valued at p a r . They include only publicly
Federal N a t i o n a l
Mortgage Assn.
(secondary m a r k e t
operations)
Federal
intermediate
credit b a n k s
Debentures
(L)
Loans
and
discounts
(A)
1,506
1,577
1,732
2,030
1,253
1,334
1,473
1,755
14,702
15,067
15,206
1,973
2,020
2,030
15,311
15,111
15,122
15,477
15,142
14,795
15,638
15,260
16,241
16,984
2,119
2,164
2,153
2,113
2,056
2,041
1,997
1,942
1,942
2,030
Federal
land
banks
Bonds
(L)
Mortgage
loans
(A)
3,411
3,654
4,275
4,974
3,214
3,570
4,116
4,799
5,609
6,126
6,714
7,186
4,904
5,399
5,949
6,395
1,601
1,700
1,755
4,972
4,934
4,974
4,818
4,767
4,799
7,137
7,156
7,186
6,395
6,395
6,395
1,786
1,819
1,819
1,900
1,830
1,770
1,726
1,791
1,791
1,745
5,055
5,177
5,380
5,568
5,729
5,909
5,905
5,866
5,841
5,763
4,845
4,959
5,077
5,336
5,468
5,639
5.712
5,742
5.713
5,680
7,210
7,258
7,347
7,426
7,502
7,579
7,650
7,709
7,767
7,826
6,395
6,645
6,645
6,700
6,640
6,640
6,884
6,884
6,884
7,063
(L)
offered securities (excluding, f o r F H L B ' s b o n d s held within the F H L B
System) a n d are n o t g u a r a n t e e d by the U.S. G o v t . ; f o r a listing of these
securities, see table below. L o a n s are gross of valuation reserves and
represent cost f o r F N M A a n d u n p a i d principal f o r other agencies.
DECEMBER 1971 • FEDERALLY SPONSORED CREDIT AGENCIES
OUTSTANDING ISSUES OF FEDERALLY SPONSORED AGENCIES, OCTOBER 31, 1971
Agency, and date of issue
and maturity
Federal home loan banks
Bonds:
10/27/69 - 11/26/71.
11/25/69 - 2/25/72. .
6/26/70 -• 2/25/72. . .
5/25/70 -• 5/25/72. . .
7/27/71 - 8 / 2 5 / 7 2 . . . .
9/25/70 -• 11/27/72. .
9/27/71 - 11/27/72.. .
2/25/70 -• 2/26/73 . . .
5/23/71 - 2/26/73
3/25/71 - 5 / 2 5 / 7 3 . . . .
10/27/70- - 8 / 2 7 / 7 3 . . .
1/26/70 - 1/25/74. . .
6/26/70 - 2/25/74. . .
8/27/71 - 2 / 2 5 / 7 4 . . . .
6/25/71 - 5 / 2 5 / 7 4 . . . .
8/25/69 - 8/25/74. . .
11/25/69 - 11/25/74.
1/26/71 - 2 / 2 5 / 7 5 . . . .
8/25/70 - 5/26/75. . .
7/27/70 - 8/25/75. . .
12/18/70 -- 11/25/75..
8/27/71 - 2 / 2 5 / 7 6 . . . .
6/25/71 - 5/25/77. . . .
3/25/70 - 2/25/80. . .
10/15/70 - 10/15/80. .
10/27/71 - 11/27/81 .
Coupon
rate
Amount
(millions
of dollars)
8.20
8.20
8.20
8.15
250
200
300
200
400
250
310
350
400
400
450
300
250
250
300
183
232
250
265
300
350
250
200
350
200
200
61/4
m
5H
8.35
5.70
4.20
7.20
8.40
8.40
7.10
6.35
7.65
8.05
6.10
8.00
7.95
6.50
m
6.95
7.75
7.80
6.60
Federal National Mortgage
Association—
Secondary market
operations
Discount notes
Capital debentures:
9/30/68 - 10/1/73
4/1/70 - 4/1/75
9/30/71 - 10/1/96
6.00
8.00
4.38
250
200
250
Mortgage-backed b o n d s :
9 / 9 / 7 0 - 10/2/72
6/1/70 - 6/2/75
9 / 2 9 / 7 0 - 10/1/90
7.50
8.38
8.63
400
250
200
Debentures:
5/10/69 - 11/10/71.
3/10/70 - 12/10/71.
2/10/60 - 2/10/72. .
1,892
6.85
8.13
5M
350
500
98
Agency, and date of issue
and maturity
Federal National Mortgage
Association—Cont.
Debentures—Cont:
3/10/69 - 3/10/72
10/14/69 - 3/10/72. . . .
12/11/61 - 6/12/72.
2/10/70 - 6/12/72
5/11/70 - 9/11/72
6/10/70 - 9/11/72
11/10/69 - 12/11/72. . .
10/13/70 - 12/11/72. . .
11/10/70 - 3/12/73. . . .
12/12/69 - 3/12/73
6/12/61 - 6/12/73
7/10/70 - 6/12/73
7/12/71 - 6/12/73
3/10/70 - 9/10/73
6/10/71 - 9 / 1 0 / 7 3
12/10/70 - 12/10/73. . .
8/10/71 - 12/10/73
4/10/70 - 3/11/74
8/5/70 - 6/10/74
9/10/69 - 9/10/74
2/10/71 - 9 / 1 0 / 7 4
5/10/71 - 12/10/74
9/10/71 - 12/10/74
11/10/70 - 3/10/75
10/12/71 - 3/10/75. . . .
4/12/71 - 6/10/75
10/13/70 - 9/10/75. . . .
3/11/71 - 3/10/76
6/10/71 - 6/10/76
7/12/71 - 12/10/76
2/13/62 - 2/10/77
12/10/70 - 6/10/77
9/10/71 - 9 / 1 2 / 7 7
5/10/71 - 6/10/77
10/12/71 - 12/11/78. . .
1/21/71 - 6/10/81
9/10/71 - 9 / 1 0 / 8 1
2/10/71 - 6/10/82
3/11/71 - 6/10/83
4/12/71 - 6 / 1 1 / 8 4
Banks for cooperatives
Debentures:
5/3/71 - 1 1 / 1 / 7 1 . . .
6/1/71 - 12/1/71 . . .
7/1/71 - 1 / 3 / 7 2 . . . .
8/2/71 - 2 / 1 / 7 2 . . . .
10/4/71 - 4/3/72. .
10/1/70 - 10/1/73.
Coupon
rate
6%
8.70
8.40
7.40
8.00
7.20
7.30
8.30
414
8.35
6.75
8.10
6.13
5.75
7.15
7.75
7.90
7.85
5.65
6.10
6.45
7.55
6.35
5.25
7.50
5.65
6.70
7.45
41/2
6.38
6.88
6.50
6.75
7.25
7.25
6.65
6.75
6.25
4.45
SVA
5.65
53/s
7.30
Amount
(millions
of dollars)
250
200
100
300
400
200
200
400
450
250
146
350
550
300
350
500
500
350
400
250
300
250
450
300
600
500
350
500
250
300
198
250
300
150
300
250
250
250
200
200
279
304
303
474
285
100
Agency, and date of issue
and maturity
Federal intermediate
credit banks
Debentures:
2/1/71 - 11/1/71.
3/1/71 - 12/1/71.
4/1/71 - 1/3/72..
5/3/71 - 2 / 1 / 7 2 . .
6/1/71 - 3 / 1 / 7 2 . .
7/1/71 - 4 / 3 / 7 2 . .
8/2/71 - 5/1/72. .
9/1/72 - 6/1/72. .
3/2/70 - 3/1/73.
9/1/70-7/2/73. .
10/4/71 - 7/3/72
7/1/71 - 1/2/74..
1/4/71 - 7/1/74.
Federal land banks
Bonds:
2/15/57 - 2/15/67-72
8/20/68 - 2/15/72. . .
2/23/71 •- 4/20/72. . . .
4/20/71 -- 4 / 2 0 / 7 2 . . . .
6/22/70 - 7/20/72. . .
9/14/56 - 9 / 1 5 / 7 2 . . .
9/22/69 - 9/15/72. . .
10/23/72 - 10/23/72.
7/20/71 - 1 0 / 2 3 / 7 2 . . .
7/20/70 - 1/22/73. . .
2/20/63 •- 2/20/73-78
1/20/70 •- 7/20/73 . . .
8/20/73 - 7 / 2 0 / 7 3 . . . .
4/20/70 •- 10/22/73. .
2/20/72 - - 2/20/74. . .
10/20/70 - 4/22/74. .
10/21/71 - 7/27/74. .
4/20/71 - 10/21/74.. .
2/20/70 - - 1/20/75. . .
4/20/65 - - 4/21/75.
7/20/71 - 1 0 / 2 0 / 7 5 . . .
2/21/66 - - 2/24/76
7/20/66 - • 7/20/76
10/27/71 - 10/20/77. .
5/2/66 - 4/20/78
2/20/67 - • 1/22/79. . .,
2/23/71 - 4/20/81
NOTE.—These securities are not guaranteed by the U.S. Govt.; see also note to table at bottom of opposite page.
Coupon
rate
4.55
4.00
3.85
4.60
5.70
5.85
6%
5.55
8.15
7.75
5.55
6.85
5.95
4K
5.70
4.45
414
8.20
3K
8.35
5K
6.50
7.95
4K
8.45
7.95
7.80
41/2
7.30
5.85
5.30
7.20
5.00
5M
6.35
5Vs
5.00
6.70
A 41
A 42
FEDERAL FINANCE • DECEMBER 1971
FEDERAL FISCAL OPERATIONS: SUMMARY
(In millions of dollars)
U.S. budget
M e a n s of
Receipt-expenditure a c c o u n t
Borrowings f r o m t h e public
Period
Budget
outlays 1
Net
lending
Budget
surplus
or
deficit
(-)
Half year:
1969—July-Dec..
1970—Jan.-June.
July-Dec..
1971—Jan.-June.
Public
debt
securities
Month :
1970—Oc t
Nov
Dec
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Net
expenditures
153,671
187,784
193,743
188,392
.
..
..
..
172,802
183,072
194,456
210,318
6,030
1,476
2,131
1,107
178,833 - 2 5 , 1 6 1
184,548
3,236
196,588 - 2 , 8 4 5
211,425 - 2 3 , 0 3 3
21,357
6,142
17,198
27,211
5,944
633
-1,739
-347
3,271
7,364
9,386
90,833
102,910
87,562
100,830
97,563
96,893
104,084
106,234
1,364
767
99
98,927
97,661
104,183
107,242
-8,093
5,248
14,505
2,693
-6,412
8,971
-429
-1,310
-19
-328
3,935
5,451
1,807
4,810
r
r
17,654
16,728
15,550
-6,163
-2,594
15,876
150
112
-326
1,522
3,440
5,519
16,870
16,717
18,328
17,769
16,882
19,669
18,507
19,276
18,265
18,677
245
-170
318
49
270
297
49
306
-69
115
17,115
16,546
18,646
17,818
17,152
19,965
18,556
19,582
18,196
18,791
-818
-1,341
2,324
-1,417
1,003
-5,441
223
3,206
4,954
-3,961
1,285
+2,543
7,169
-5,358
9,293
-3,930
+ 1,513 - 2 , 3 2 4
-334
-6,630
l1,491
14,134
15,429
15,773
15,130
13,205
21,024
13,190
22,508
13,198
15,652
19,710
12,462
17,504
16,616
1,008
r
-16,621 18,240
-121
:
Less: C a s h a n d
m o n e t a r y assets
Less: InvestP l u s : m e n t s by G o v t ,
Equals:
Agency
accounts
Less:
Total
securiSpecial b o r r o w notes 3
ties
ing
Special
Other
issues
Budget
receipts
Fiscal y e a r :
196 8
196 9
197 0
197 1
financing
r
6,616
2,049 -1,119
2,089 - 1 , 3 8 4
676
800
r
1,013
-551
-1,001
1,464
518
522
-345
40
2,095
-553
1,059
-960
1,861
20
2,309
- 5 0 3 -1,019
50 - 1 , 6 9 0
221
Other
23,100
-1,295
5,397
19,448
-397
596
2,151
710
1,700
1,616
-581
-979
3,364
269
-982
3,586
9,811
-4,415
16,257
3,191
-767
,918
54
657
315
-896
-952
54
-2,170
1,188
-534
4,120
2,539
3,306
3,024
-2,383
-429
2,185
-220
660
240
675
-271
2,197
-310
4,226
6,854
-2,003
1,407
330
346
157
642
—19 - 1 , 1 7 8
81
—5
31
2,487
Treasury
operating
balance
Other
means
of
financing,
net4
1,518
-1,718
-3,370
4,365
-1,973
1,835
-1,559
2,337
470
-3,318
654
-193
57
527
-723
r
142
48
38
86
-382
324
-71
702
-17
122
150
+ 194
-1
r
l,023
-1,212
-772
-71
-54
2,854
-734
1,453
1,957
-931
-268
-478
- 6 9 0 -1,117
- 8 1 9 -1,407
281
1,239
-290
1,314
Selected balances
Treasury operating b a l a n c e
End
of
period
F.R.
Banks
Tax
and
loan
accounts
F e d e r a l securities
Public
debt
securities
Gold
balance
Agency
securities
Less:
I n v e s t m e n t s of
Govt, accounts
Special
issues
Less :
Special
notes 3
Other
Equals:
Total
held
by
public
Memo :
D e b t of
Govt.sponsored
corps.—
Now
private 5
Fiscal y e a r :
196 8
196 9
197 0
197 1
1,074
1,258
1,005
1,274
4,113
4,525
6,929
7,372
111
112
111
109
5,298
5,894
8,045
8,755
347,578
353,720
370,919
398,130
24,399
14,249
12,510
12,163
59,374
66,738
76,124
82,740
19,766
20,923
21,599
22,400
2,209
825
825
825
290,629
279,483
284,880
304,328
10,041
24,991
35,789
36,886
Calendar year:
196 9
197 0
1,312
1,156
3,903
6,834
112
109
5,327
8,099
368,226
389,158
13,820
12,491
70,677
77,931
21,250
21,756
825
825
289,294
301,138
30,578
Month:
1970—Oc t
Nov
Dec
920
587
1,156
5,424
5,217
6,834
111
110
109
6,455
5,914
8,099
380,200
383,640
389,158
12,465
12,460
12,491
75,363
75,444
77,931
21,669
21,717
21,756
825
825
825
294,808
298,113
301,138
37,811
38,252
38,802
1971—Ja n
Feb . . . .
Mar....
Apr
May....
June...,
July....
Aug
Sept
Oct
976
1,064
858
1,322
874
1,274
1,274
987
2,102
1,876
8,532
6,725
3,561
7,462
5,938
7,372
7,372
8,408
7,763
4,667
109
109
109
109
109
109
113
113
113
113
9,616
7,898
4,528
8,893
6,920
8,755
8,755
9,508
9,978
6,655
388,341
390,664
391,668
391,891
396,845
398,130
405,299
414,962
412,268
411,934
13,504
12,503
13,021
12,676
12,716
12,163
11,203
11,223
10,720
10,770
77,380
78,843
79,366
79,586
21,842
21,461
21,784
21,714
22,417
22,400
22,522
22,672
22,853
22,853
825
825
825
825
825
825
825
825
825
825
301,798
302,038
302,713
302,442
304,638
304,328
308,554
315,408
313,406
314,812
38.693
38,183
37,814
38.694
37,275
36,886
37,985
37,116
37,380
1
Equals net expenditures plus net lending.
T h e decrease in Federal securities resulting f r o m conversion t o private
ownership of G o v t . - s p o n s o r e d c o r p o r a t i o n s (totaling $9,853 million) is
n o t included here. I n the b o t t o m panel, however, these conversions decrease t h e o u t s t a n d i n g a m o u n t s of Federal securities held by the public
mainly by reductions in agency securities. T h e Federal N a t i o n a l M o r t g a g e
Association ( F N M A ) was converted to private owership in Sept. 1968 a n d
the Federal intermediate credit b a n k s ( F I C B ) and b a n k s for c o o p e r a tives in D e c . 1968.
3
Represents non-interest-bearing public debt securities issued to the
2
81,681
82,740
84,601
86,910
85,904
84,213
I n t e r n a t i o n a l M o n e t a r y F u n d a n d international lending organizations.
N e w obligations to these agencies are h a n d l e d by letters of credit.
4
Includes accrued interest payable o n public debt securities, deposit
f u n d s , miscellaneous liability and asset accounts, and seigniorage.
5 Includes debt of Federal h o m e loan b a n k s , Federal land banks, R . F . K .
S t a d i u m F u n d , F N M A (beginning Sept. 1968), F I C B , a n d b a n k s f o r
cooperatives (beginning D e c . 1968).
NOTE.—Half years m a y n o t a d d t o fiscal year totals d u e t o revisions in
series which are n o t yet available o n a m o n t h l y basis.
DECEMBER 1971 • FEDERAL FINANCE
A 43
FEDERAL FISCAL OPERATIONS: DETAIL
(In millions of dollars)
Budget receipts
Corporation
income taxes
Individual income taxes
Period
Total
Withheld
Nonwithheld
Refunds
Net
total
9,527
10,191
13,240
14,522
68,726
87,249
90,412
86,230
Employment
taxes and
1
Gross Re- contributions
Un- Other
net
empl.
refunds
reinsur.
ceipts
Payceipts 2
Selfroll
taxes empl.
Fiscal year:
196 8
196 9
197 0
197 1
153,671
187,784
193,743
188,392
57,301
70,182
77,416
76,490
20,951
27,258
26,236
24,262
Half year:
1969—July-Dec.
1970—Jan.-June
July-Dec..
1971—Jan.-June
90,833
102,910
87,562
100,830
38,797
38,619
37,445
39,045
5,771
481 44,087 15,179
20,465 12,759 46,325 19,858
5,569
565 42,449 12,744
18,693 13,957 43,781 17,576
Month:
1970—Oc t
Nov
Dec
"11,491 r 5,659
14,134 7,007
15,429 5,838
1971—Jan
Feb
Mar
Apr
May
Juner
July
Aug
Sept
Oct
15,773
15,130
13,205
21,024
13,190
22,508
13,198
15,652
19,710
12,462
497
216
422
Estate Misc.
and
regift ceipts 3
Excise Custaxes toms
Net
total
29,897 1,232 27,680 1,544 3,346 2,052 34,622 14,079
38,338 1,660 32,521 1,715 3,328 2,353 39,918 15,222
35,037 2,208 37,190 1,942 3,465 2,700 45,298 15,705
30,320 3,535 39,751 1,948 3,673 3,206 48,578 16,614
2,038
2,319
2,430
2,591
3,051 2,491
3,491 2,908
3,644 3,424
3,735 3,858
1,270 1,282 19,740 8,241
2,196 1,416 25,558 7,464
1,348 1,576 20,826 8,152
2,325 1,630 27,752 8,462
1,263
1,168
1,317
1,274
1,496 1,809
2,148 1,615
1,537 2,005
2,198 1,853
55 r 6,102 1,089
711
42 7,181
50 6,209 4,664
6,339 4,280
40
654 1,407
7,246
6,605 1,392 4,631
5,939 7,951 4,261
735 3,114
6,224
6,690 3,681
505
490
6,221
191
306
6,706
91
5,513 3,755
76
396
5,941
55
Social insurance taxes
and contributions
10,579 1,085
6,493
683
3,366 3,887
9,630 4,360
3,846
878
9,867 6,684
6,519 1,163
6,920
9,192
6,282
982
1,226
1,467
2,068
17,057
20,134
17,768
21,983
131
1,811
133
1,815
106
420 2,311
187 3,474
179 2,222
558
310
363
345
255
236
284
236
198
375
2,178
4,835
3,472
3,294
4,893
3,311
2,987
5,049
3,299
2,592
374
50
113
165
141
721
152
77
1,085
301
209 1,005
115
57
205
660
60
152
116
281 r 2,698
259 4,107
265 2,545
1,237
1,549
1,346
231
207
220
262
239
285
264
248
288
290
258
279
272
287
273
274
1,195
1,505
1,443
1,351
1,459
1,510
1,532
1,482
1,490
1,412
199
175
226
221
204
250
227
244
363
334
269
280
329
589
379
352
319
311
263
391
r
2,720
5,944
3,990
4,970
6,366
3,764
3,464
5,996
3,784
2,983
r
292
327
339
286
361
328
248
313
318
258
245
312
324
Budget outlays 4
Period
Natural
resources
Com- EducaComHealth
tion
mun.
merce develop. and
and
and
man- welfare
and
transp. housing power
Intragovt.
transactions 5
Total
National
defense
178,833
184,548
196,588
211,425
80,517
81,232
80,295
77,663
4,619
3,785
3,570
3,093
4,721
4,247
3,749
3,381
5,943
6,221
6,201
5,097
1,655
2,081
2,480
2,676
8,094
7,921
9,310
11,282
4,076
1,961
2,965
3,382
6,739
6,525
7,289
8,649
43,780
49,395
56,785
70,213
6,882
7,640
8,677
9,787
13,744
15,791
18,312
19,608
2,561
2,866
3,336
3,970
229,232 77,512
4,032
3,151
5,804
4,243
10,937
4,495
8,808 76,749
10,644
19,687
4,970 - 7 , 7 7 1
Half year:
1969—July-Dec
1970—Jan.-June
July-Dec
1971—Jan.-June
98,927 40,616
97,661 39,683
104,183 38,485
107,242 39,178
1,941
1,627
1,409
1,684
1,839
1,910
1,720
1,661
5,476
711
4,633
464
1,515
1,017
1,575
1,101
4,611
4,651
5,794
5,488
1,820
1,291
1,677
1,705
3,120 26,063
4,314 30,432
3,744 32,710
4 , 9 0 5 37,503
4,148
4,537
4,625
5,162
8,623
9,687
9,594
10,014
1,520
1,817
1,823
2,147
Month:
1970—Oct
Nov
Dec
17,654
16,728
15,550
6,379
5,965
6,745
311
234
160
302
266
318
927
422
90
'314
283
59
1,105
898
832
234
132
314
593
534
733
5,545
5,488
5,678
767
829
808
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
17,115
16,546
18,646
17,818
17,152
19,965
18,556
19,582
18,196
18,791
6,153
5,851
6,674
6,337
6,043
8,122
5,187
5,595
5,979
6,106
184
236
392
328
358
185
340
308
303
303
262
295
333
252
274
245
377
291
273
266
632
-89
-52
-21
94
-101
1,784
963
336
1,134
-409
234
230
250
255
560
293
432
344
309
826
759
1,000
1,015
707
1,162
572
1,643
947
1,030
373
217
206
286
230
394
545
291
292
272
676
686
912
683
752
1,191
684
661
924
501
5,899
5,929
6,139
6,093
5,858
7,588
6,191
6,385
6,169
6,499
768
797
964
883
877
874
798
892
758
833
Fiscal year:
1968
1969
1970
1971
1972 e 6
r
Intl.
affairs
Space
research
Agriculture
1
Old-age, disability, and hospital insurance, and Railroad Retirement
accounts.
2
Supplementary medical insurance premiums and Federal employee
retirement contributions.
3
Deposits of earnings by Federal Reserve Banks and other miscellaneous receipts.
4
Outlays by functional categories are published in the Monthly
Treasury Statement (beginning April 1969). Monthly back data (beginning
July 1968) are published in the Treasury Bulletin of June 1969.
Veterans
Interest
r
l,142
1,738
1,676
1,631
1,695
1,709
1,683
1,667
1,626
1,651
1,668
1,800
1,418
General
govt.
r
-4,499
-5,117
-6,380
-7,376
-2,365
-4,015
-3,606
-3,770
325 r —292
264
-324
294 - 2 , 1 5 7
367
-247
294
-357
399
-260
323
-294
361
-325
403 - 2 , 2 8 4
380
-240
533
386
287
-246
396
-276
5 Consists of government contributions for employee retirement and
interest received by trust funds.
6
Estimates presented in the Jan. 1971 Budget Document. Breakdowns do
not add to totals because special allowances for contingencies, Federal pay
increase, and allowance for revenue sharing, totaling $5,969 million for
fiscal 1972, are not included.
NOTE.—Half years may not add to fiscal year totals due to revisions in
series which are not yet available on a monthly basis.
A 44
U.S. GOVERNMENT SECURITIES a DECEMBER 1971
GROSS PUBLIC DEBT, BY TYPE OF SECURITY
(In billions of dollars)
Public issues
Total
gross
public
debt i
End of period
Marketable
Nonmarketable
Total
Total
Bills
1941—Dec.
1946—Dec.
57.9
259.1
50.5
233.1
41.6
176.6
2.0
17.0
1965—Dec.
1966—Dec.
1967—Dec.
1968—Dec.
1969—Dec.
320.9
329.3
344.7
358.0
368.2
270.3
273.0
284.0
296.0
295.2
214.6
218.0
226.5
236.8
235.9
60.2
64.7
69.9
75.0
80.6
1970—Nov.
Dec.
383.6
389.2
306.0
309.1
244.4
247.7
1971—Jan..
Feb..
Mar.
Apr.,
May,
June,
July.
Aug.
Sept.
Oct..
Nov.
388.3
390.7
391.7
391.9
396.8
398.1
405.3
414.6
412.3
411.9
414.6
308.8
309.8
309.7
310.4
313.2
313.5
318.9
325.8
324.5
325.8
328.4
247.7
248.1
247.5
245.9
245.6
245.5
247.6
249.7
249.9
252.2
254.5
Certificates
Notes
Bonds
2
33.6
119.5
50.2
48.3
61.4
76.5
85.4
104.2
99.2
95.2
85.3
69.9
84.6
87.9
101.2
101.2
87.9
89.3
89.0
87.5
89.1
86.7
88.9
89.6
88.6
89.0
89.8
1
Includes non-interest-bearing debt (of which $625 million on Nov. 30,
1971, was not subject to statutory debt limitation).
2
Includes Treasury bonds and minor amounts of Panama Canal and
postal savings bonds.
3
Includes (not shown separately): depositary bonds, retirement plan
bonds, foreign currency series, foreign series, and Rural Electrification
Administration bonds; before 1954, Armed Forces leave bonds; before
6.0
10.1
101.2
104.3
104.3
104.3
102.5
104.8
104.8
108.2
109.5
111.5
114.0
Convertible
bonds
30.0
5.9
Total 3
Special
Savings
bonds
& notes
6.1
8.9
56.5
49.8
2.8
2.7
2.6
2.5
2.4
52.9
52.3
54.9
56.7
56.9
50.3
50.8
51.7
52.3
52.2
58.6
58.6
2.4
2.4
59.2
59.1
52.4
52.5
58.5
54.5
54.2
54.1
54.0
54.0
53.9
51.9
51.8
51.8
50.7
2.4
2.4
2.4
2.4
2.3
2.3
2.3
2.3
2.3
2.3
2.3
58.7
59.3
59.9
62.1
65.2
65.7
68.9
73.8
72.2
71.3
71.6
52.6
52.8
53.0
53.2
53.4
53.6
53.8
54.0
54.2
54.4
54.7
1956, tax and savings notes; and before Oct. 1965, Series A investment
bonds.
4
Held only by U.S. Govt, agencies and trust funds and the Federal
home loan banks.
NOTE.—Based on Daily Statement of U.S. Treasury. See also second
paragraph in NOTE to table below.
OWNERSHIP OF PUBLIC DEBT
(Par value, in billions of dollars)
Held by private investors
Held by—
Total
gross
public
debt
U.S.
Govt,
agencies
and
trust
funds
F.R.
Banks
Total
1939—Dec
1946—Dec
41.9
259.1
6.1
27.4
2.5
23.4
1965—Dec
1966—Dec
1967—Dec
1968—Dec
1969—Dec
320.9
329.3
344.7
358.0
368.2
59.7
65.9
73.1
76.6
89.0
1970—Oct
Nov
Dec
380.2
383.6
389.2
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
388.3
390.7
391.7
391.9
396.8
398.1
405.3
414.6
412.3
411.9
End of
period
Commercial
banks
Mutual
savings
banks
Insurance
companies
Other
corporations
33.4
208.3
12.7
74.5
2.7
11.8
5.7
24.9
2.0
15.3
40.8
44.3
49.1
52.9
57.2
220.5
219.2
222.4
228.5
222.0
60.7
57.4
63.8
66.0
56.8
5.3
4.6
4.1
3.6
2.9
10.3
9.5
8.6
8.0
7.1
94.4
94.6
97.1
60.0
61.2
62.1
225.8
227.9
229.9
58.4
59.3
62.7
2.8
2.7
2.8
96.7
98.0
98.8
99.1
101.8
102.9
104.9
107.3
106.5
104.7
61.8
62.5
64.2
63.7
64.8
65.5
65.8
66.9
67.6
67.2
229.9
230.2
228.7
229.1
230.2
229.7
234.6
240.4
238.2
240.0
61.7
61.3
61.8
60.5
59.4
61.0
60.5
59.5
60.0
60.9
2.7
2.8
2.8
2.8
2.9
2.9
2.9
2.8
2.8
2.8
1
Consists of investments of foreign and international accounts in
the United States.
2
Consists of savings and loan assns., nonprofit institutions, corp o r a t e pension trust f u n d s , and dealers and brokers. Also included
are certain Govt, deposit accounts and Govt.-sponsored agencies.
NOTE.—Reported data for F.R. Banks and U.S. Govt, agencies and
trust funds; Treasury estimates for other groups.
State
and
local
govts.
Individuals
Foreign
and
international 1
Other
misc.
inves-2
tors
Savings
bonds
Other
securities
.4
6.3
1.9
44.2
7.5
20.0
.2
2.1
.3
9.3
15.8
14.9
12.2
14.2
13.3
22.9
24.3
24.1
24.4
25.4
49.7
50.3
51.2
51.9
51.8
22.4
24.3
22.8
23.9
29.1
16.7
14.5
15.8
14.3
11.4
16.7
19.4
19.9
22.4
24.1
7.0
6.9
7.0
11.2
10.9
10.5
r
24.4
'23.4
r
23.1
51.9
51.9
52.1
30.5
30.4
29.8
18.2
20.0
20.6
21.7
22.2
21.4
7.3
7.2
6.8
6.8
6.8
6.6
6.7
6.7
6.5
6.5
11 1
10*. 2
10.7
9.9
9.6
10.1
11.6
10.9
10.0
11.1
23.2
24.0
22.8
21.8
21.8
21.4
21.9
21.1
21.0
20.8
52.1
52.3
52.5
52.8
53.0
53.2
53.4
53.6
53.7
53.9
29.1
28.3
26.9
26.2
25.0
24.8
24.8
24.5
24.1
23.7
20.9
22.9
25.4
29.2
33.8
32.7
35.4
42.7
42.4
42.8
21.6
21.1
18.9
19.1
18.1
17.2
17.3
18.6
17.7
17.4
T h e debt and ownership concepts were altered beginning with the
M a r . 1969 BULLETIN. T h e new concepts ( 1 ) exclude guaranteed securities and ( 2 ) remove f r o m U.S. Govt, agencies and trust funds
and add t o other miscellaneous investors the holdings of certain
Govt.-sponsored but privately owned agencies and certain Govt, deposit
accounts.
DECEMBER 1971 • U.S. GOVERNMENT SECURITIES
A 45
OWNERSHIP OF MARKETABLE SECURITIES, BY MATURITY
(Par value, in millions of dollars)
W i t h i n 1 year
1-5
years
5-10
years
10-20
years
33,599
37,553
35,500
29,018
28,979
68,260
73,301
82,318
90,915
92,941
35,130
20,026
22,554
22,397
22,397
8,396
8,358
8,556
8,404
8,385
1,034
812
708
862
848
1,404
1,509
2,297
2,287
2,059
4,503
6,006
6,075
7,533
7,621
2,964
2,472
3,877
3,620
3,640
2,060
2,059
1,748
1,775
1,788
28,503
36,023
36,338
37,914
37,553
18,756
22,265
25,965
29,584
29,223
9,747
13,758
10,373
8,330
8,330
12,880
12,810
19,089
23,325
23,325
10,943
7,642
6,046
5,411
5,411
203
224
229
332
332
168,473
162,414
168,479
163,833
166,624
77,670
79,780
84,080
76,599
77,547
55,222
57,494
61,250
58,198
58,957
22,448
22,286
22,830
18,401
18,590
50,877
54,485
57,154
60,057
61,995
21,223
9,912
12,631
13,366
13,346
6,133
6,075
6,579
6,297
6,265
53,174
45,173
50,917
46,414
47,326
18,894
15,104
19,208
13,021
12,935
9,040
6,727
10,314
5,677
5,466
9,854
8,377
8,894
7,344
7,469
23,157
24,692
26,609
27,915
28,967
10,035
4,399
4,474
4,883
4,837
611
564
367
348
348
M u t u a l savings b a n k s :
1 9 6 8 — D e c . 31
1 9 6 9 — D e c . 31
1970—Dec. 31
1971—Sept. 30
O c t . 31
3,524
2,931
2,745
2,760
2,752
696
501
525
394
376
334
149
171
162
161
362
352
354
232
215
1,117
1,251
1,168
1,264
1,278
709
263
339
449
447
229
203
329
303
301
Insurance c o m p a n i e s :
1 9 6 8 — D e c . 31
1 9 6 9 — D e c . 31
1 9 7 0 — D e c . 31
1971—Sept. 30
O c t . 31
6,857
6,152
6,066
5,619
5,624
903
868
893
593
614
498
419
456
257
277
405
449
437
336
337
1,892
1,808
1 ,723
1,616
1,612
721
253
849
915
915
1,120
1,197
1,369
1,379
1,363
Nonfinancial c o r p o r a t i o n s :
1 9 6 8 — D e c . 31
1969—Dec. 31.
1 9 7 0 — D e c . 31
1971—Sept. 30
O c t . 31
5,915
5,007
3,057
3,226
4,272
4,146
3,157
1,547
2,035
2,822
2,848
2,082
1,194
1,328
1,913
1,298
1,075
353
707
909
1,163
1,766
1,260
1,107
1,256
568
63
242
65
162
12
12
2
5
5
Savings a n d loan
1968—Dec.
1969—Dec.
1970—Dec.
1971—Sept.
Oct.
4,724
3,851
3,263
3,131
3,126
1,184
808
583
692
721
680
269
220
365
378
504
539
363
327
343
1,675
1,916
1,899
1,582
1,568
1,069
357
281
480
469
346
329
243
174
171
S t a t e a n d local governments:
1968—Dec. 31
1 9 6 9 — D e c . 31
1970—Dec. 31
1971—Sept. 30
O c t . 31
13,426
13,909
11,204
10,489
10,318
5,323
6,416
5,184
5,232
5,156
4,231
5,200
3,803
4,133
4,106
1,092
1,216
1,381
1,099
1,050
2,347
2,853
2,458
2,318
2,254
805
524
774
703
679
1,404
1,225
1,191
960
956
AH o t h e r s :
1968—Dec.
1969—Dec.
1970—Dec.
1971—Sept.
Oct.
80,853
85,391
91,227
92,194
93,206
46,524
52,926
56,140
54,632
54,923
37,591
42,648
45,092
46,276
46,656
8,933
10,278
11,048
8,356
8,267
19,526
20,199
22,037
24,255
25,060
7,316
4,053
5,672
5,871
5,837
2,411
2,545
3,078
3,128
3,121
T y p e of h o l d e r a n d date
Total
Total
Bills
236,812
235,863
247,713
249,931
252,240
108,611
118,124
123,423
117,662
118,007
75,012
80,571
87,923
88,644
89,028
U . S . Govt, agencies a n d trust f u n d s :
1 9 6 8 — D e c . 31
1 9 6 9 — D e c . 31
1 9 7 0 — D e c . 31
1971—Sept. 30
O c t . 31
15,402
16,295
17,092
18,532
18,411
2,438
2,321
3,005
3,149
2,907
Federal Reserve
1968—Dec.
1969—Dec.
1970—Dec.
1971—Sept.
Oct.
52,937
57,154
62,142
67,566
67,205
All h o l d e r s :
1968—Dec.
1969—Dec.
1970—Dec.
1971—Sept.
Oct.
31
31
31
30
31
Banks:
31
31
31
30
31
H e l d by private investors:
1 9 6 8 — D e c . 31
1 9 6 9 — D e c . 31
1 9 7 0 — D e c . 31
1971—Sept. 30
O c t . 31
.':..
Commercial banks:
1 9 6 8 — D e c . 31
1 9 6 9 — D e c . 31
1 9 7 0 — D e c . 31
1971—Sept. 30
O c t . 31
associations:
31
31
31
30
31
31
31
31
30
31
NOTE.—Direct p u b l i c issues only. Based o n Treasury Survey of
Ownership.
Beginning with D e c . 1968, certain G o v t . - s p o n s o r e d but privately o w n e d
agencies a n d certain G o v t , deposit a c c o u n t s have been r e m o v e d f r o m U.S.
G o v t , agencies a n d t r u s t f u n d s a n d a d d e d t o " A l l o t h e r s . " C o m p a r a b l e d a t a
a r e n o t available f o r earlier periods.
D a t a c o m p l e t e f o r U . S . G o v t , agencies a n d trust f u n d s a n d F . R . B a n k s
b u t f o r o t h e r g r o u p s are b a s e d o n T r e a s u r y Survey d a t a . Of t o t a l m a r -
Other
ketable issues held by g r o u p s , t h e p r o p o r t i o n held o n latest d a t e by t h o s e
r e p o r t i n g in t h e Survey a n d t h e n u m b e r of o w n e r s surveyed w e r e : (1)
a b o u t 90 p e r cent by t h e 5 , 6 7 0 c o m m e r c i a l b a n k s , 487 m u t u a l savings
b a n k s , a n d 740 i n s u r a n c e c o m p a n i e s c o m b i n e d ; (2) a b o u t 50 p e r cent by
the 466 nonfinancial c o r p o r a t i o n s a n d 487 savings a n d l o a n a s s n s . ; a n d
(3) a b o u t 70 per cent by 501 State a n d local govts.
"All o t h e r s , " a residual, includes h o l d i n g s of all t h o s e n o t r e p o r t i n g
in the T r e a s u r y Survey, including investor g r o u p s n o t listed separately.
A 46
U.S. GOVERNMENT SECURITIES • DECEMBER 1971
DEALER TRANSACTIONS
( P a r value, in millions of dollars)
U . S . G o v e r n m e n t securities
By m a t u r i t y
By t y p e of c u s t o m e r
U.S. G o v t .
Dealers and brokers
Total
Within
1 year
1-5
years
5-10
years
Over
10 years
Commercial
banks
U.S. Govt,
securities
All
other
1970—Oc t
Nov
Dec
2,768
3,418
2,590
2,266
2,430
2,043
284
601
343
190
338
153
28
50
52
1,018
1,330
949
109
172
123
1,094
1,278
1,025
547
638
493
1971—Ja n
Feb
Mar
Apr
May....
June
July
Aug
Sept
Oct
3,482
3,316
3,072
2,458
2,322
2,195
2,484
2,482
2,115
2,646
2,629
2,291
2,122
2,103
1,848
1,598
1,905
564
579
506
328
406
273
280
512
271
438
248
397
388
216
192
92
74
97
219
268
40
49
57
33
29
28
28
25
26
36
1,346
1,178
1,036
828
837
727
814
859
759
988
130
145
143
116
100
110
131
129
99
117
1,364
1,232
1,204
878
742
687
837
855
725
906
642
760
688
636
643
672
702
640
532
634
6.
13.
20.
27.
2,894
2,643
2,297
390
327
496
422
304
249
191
153
34
28
23
34
1,142
937
834
771
102
2,218
2,166
2,039
1,587
1,609
101
108
92
999
869
808
789
652
736
547
567
3.
10.
17.
24.
4,258
2,446
2,485
2,137
2,615
1,459
1,295
1,339
654
512
668
426
866
377
451
319
122
98
70
53
1,561
838
856
689
239
138
161
142
1,610
858
882
637
849
613
586
669
1,881
1,695
1,802
Week ending—
1971—Oct.
Nov.
NOTE.—The t r a n s a c t i o n s d a t a c o m b i n e m a r k e t p u r c h a s e s a n d sales of
U . S . G o v t , securities dealers r e p o r t i n g t o t h e F . R . B a n k of N e w Y o r k .
T h e y d o n o t include a l l o t m e n t s of, a n d e x c h a n g e s f o r , new U . S . G o v t ,
securities, r e d e m p t i o n s of called o r m a t u r e d securities, o r p u r c h a s e s o r
sales of securities u n d e r r e p u r c h a s e a g r e e m e n t , reverse r e p u r c h a s e (resale),
o r similar c o n t r a c t s . A v e r a g e s of daily figures b a s e d o n t h e n u m b e r of
t r a d i n g d a y s in t h e p e r i o d .
DEALER POSITIONS
DEALER FINANCING
( P a r value, in millions of dollars)
(In millions of d o l l a r s )
U . S . G o v e r n m e n t securities, b y m a t u r i t y
1-5
years
5-10
years
103
617
612
379
682
485
525
569
437
415
189
116
-23
344
355
394
403
691
404
416
331
130
26
70
377
310
Over
10
years
Commercial banks
U.S.
Govt,
agency
securities
1,001
All
sources
Period
New
York
City
Elsewhere
Corporations 1
1,049
1970—Oct....
Nov...
Dec.. .
4,233
5,149
5,949
1,370
1,517
1,868
1,232
1,527
1,960
392
416
379
1971—Jan. . .
Feb....
Mar.. .
Apr...
May...
June...
July...
Aug.. .
Sept.. .
Oct....
6,198
5,684
4,543
5,700
3,389
3,163
3,516
3,071
4,146
4,511
1,888
1,673
1,356
1,759
1,095
11
36
37
966
946
981
1,118
818
776
771
698
926
903
1,151
894
1,049
1,188
1,695
1,318
926
1,415
475
523
391
390
856
704
527
369
399
724
517
435
721
821
811
921
15.
22.
29.
3,573
4,016
4,520
4,333
3,810
1.015
1.016
1,031
1,195
947
685
806
914
942
781
828
860
872
909
638
6.
13.
20.
27.
3,784
4,173
4,210
5,154
870
800
839
502
623
538
792
847
,313
1,066
75
70
20
11
12
-11
1,061
Week ending3,667
3,985
4,061
3,717
3,753
6
13
20
27
3,039
3,097
3,218
2,983
3,108
499
433
388
305
293
112
423
419
391
315
18
31
37
38
37
930
946
856
929
952
3,631
3,944
4,136
5,080
2,906
3,262
3,359
4,239
304
313
427
476
369
319
317
341
51
50
34
25
925
805
809
1,045
NOTE.—The figures include all securities sold by dealers u n d e r r e p u r c h a s e c o n t r a c t s regardless of t h e m a t u r i t y d a t e of t h e c o n t r a c t , unless t h e
c o n t r a c t is m a t c h e d by a reverse r e p u r c h a s e (resale) a g r e e m e n t o r delayed
delivery sale with t h e s a m e m a t u r i t y a n d involving t h e s a m e a m o u n t of
securities. I n c l u d e d in t h e r e p u r c h a s e c o n t r a c t s are s o m e t h a t m o r e
clearly r e p r e s e n t i n v e s t m e n t s b y the h o l d e r s of the securities r a t h e r t h a n
dealer trading positions.
A v e r a g e of daily figures b a s e d o n n u m b e r of t r a d i n g d a y s in t h e p e r i o d .
1971—Sept.
Oct.
1. . .
1,110
958
1,497
1
All b u s i n e s s c o r p o r a t i o n s , e x c e p t c o m m e r c i a l b a n k s a n d
companies.
insurance
NOTE.—Averages of daily figures b a s e d o n t h e n u m b e r of c a l e n d a r d a y s
in t h e p e r i o d . B o t h b a n k a n d n o n b a n k d e a l e r s are i n c l u d e d . See a l s o
NOTE t o t h e t a b l e o n t h e l e f t .
DECEMBER 1971 • GOVERNMENT SECURITIES
A 47
U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE SECURITIES, NOVEMBER 30, 1 9 7 1
(In millions of dollars)
Issue and coupon rate
Amount
Treasury bills
Dec. 2, 1971
Dec. 9, 1971
Dec. 16, 1971
Dec. 23, 1971
Dec. 30, 1971
Dec. 31, 1971
Jan. 6, 1972
Jan. 13, 1972.
Jan. 20, 1972,
Jan. 27, 1972,
Jan. 31, 1972.
Feb. 3, 1972
Feb. 10, 1972
Feb. 17, 1972
Feb. 24, 1972
Feb. 29, 1972.
Mar. 2, 1972.
Mar. 9, 1972.
Mar. 16, 1972.
Mar. 23, 1972.
Mar. 30, 1972.
Mar. 31, 1972.
Apr.
6,1972.
Apr. 13,1972.
Apr. 2 0 , 1 9 7 2 .
Apr. 27, 1972.
Apr. 30, 1972.
,695
704
700
904
;902
Issue and coupon rate
Treasury bills—Cont.
May 4 , 1 9 7 2
May 11, 1972
May 18, 1972
May 25, 1972
May 31, 1972
June 30,1972
July 31, 1972
Aug. 31, 1972
Sept. 30, 1972
Oct. 31, 1972
Nov. 30, 1972
,702
,892
,902
,902
,903
,700
,903
,900 Treasury notes
,901
Feb. 15, 1972
,901
Feb. 15, 1972
,701
Apr. 1, 1972
600
May 15, 1972
602
May 15, 1972
601
Aug. 15, 1972
600
Oct. 1, 1972
600
Nov. 15, 1972
Feb. 15, 1973
701
Feb. 15, 1973
599
Apr. 1, 1973
601
May 15, 1973
601
Aug. 15, 1973
601
Oct. 1, 1973
702
Issue and coupon rate
Amount
Treasury notes—Cont.
Feb. 15, 1974
7y 4
Apr. 1, 1974
11/2
1,601
May 15, 1974
iy4
1,602
Aug. 15, 1974
5 Ys
1,600
Oct. 1, 1974
11/2
1,701
Nov. 15, 1974
5y 4
1,701
Feb. 15, 1975
5y 4
1,703
Feb. 15, 1975
5%
1,700
Apr. 1, 1975
11/2
1,201
May 15, 1975
6
1,200
5Vs
1,201 Aug. 15, 1975
Oct. 1, 1975
11/2
Nov. 15, 1975
7
Feb. 15, 1976
6%
800
Apr. 1, 1976
11/2
2,690
May 15, 1976
6i/ 2
34
Aug. 15, 1976
71/2
3,676
Oct. 1, 1976
11/2
1,377
2,572
Nov. 15, 1976
6H
33
Feb. 15, 1977
8
2,285
Aug. 15, 1977
7 y4
2,514
Feb. 15, 1978
6%
4,268
Nov. 15, 1978
6
34
5,844 Treasury bonds
1,839
June 15, 1967-72. .21/2
30
Sept. 15, 1967-72. .21/2
1,602
4%
7i/ 2
li/ 2
4%
6 y4
5
I1/2
6
6i/ 2
4%
li/ 2
7 y4
8H
11/2
Amount
3,139
34
4,505
10,284
42
7,212
5,148
2,045
8
6,760
7,679
30
3,114
3,739
27
2,697
4,194
2
1,283
5,163
2,264
8,389
8,209
1,229
1,951
Issue and coupon rate
Amount
Treasury bonds— 1Cont.
Dec. 15 1967 - 7 2 . .2l/i
Feb. 15 1972 ...A
Aug. 15 1972
Aug. 15 1973 . . . .4
Nov. 15 1973 ....41/s
Feb. 15 1974 ....41/g
May 15 1974 ....414
Nov. 15 1974 . . . . 3 7 / s
May 15 1975- •85.. 414
June 15 1978; - 8 3 . . 3 i 4
Feb. 15 1980
Nov. 15 1980 ....31/2
Aug. 15 1981
7
M a y 15 1985 . . . . 3 1 / 4
Nov. 15 1986 ....6i/8
Aug. 15 1987- 92..41/4
Feb. 15 1988- 9 3 . . 4
May 15 1989- 9 4 . . 41/8
Feb. 15 1990 ....31/2
Feb. 15 1995
Nov. 15 1998, ....31/2
3,796
245
1,545
4,568
1,126
3,742
Convertible bonds
Investment Series B
Apr. 1, 1975-80.. 2 y4
2,321
2,556
980
1,454
3,894
4,342
3,126
3,577
2,238
1,210
1,527
2,588
1,903
806
1,044
1,216
NOTE.—Direct public issues only. Based on Daily Statement of U.S.
Treasury.
NEW ISSUES OF STATE AND LOCAL GOVERNMENT SECURITIES
(In millions of dollars)
Issues for new capital
All issues (new capital and refunding)
Type of issuer
Type of issue
Period
Total
General
obligations
Revenue
HAA1
U.S.
Govt,
loans
State
Special
district
and
Other 2
stat.
auth.
1,620
10,538
10,847
11,329
11,405
14,766
16,596
11,881
18,164
5,855
6,417
7,177
6,804
8,985
9.269
7,725
11,850
4,180
3,585
3,517
3,955
5,013
6,517
3,556
6,082
254
637
464
325
477
528
402
131
249
208
170
312
334
282
197
103
1,628
2,401
2,590
2,842
2,774
3,359
4,174
3,636
3,812
3,784
4,110
4,810
5,946
3,596
5,595
5,281
5,407
5,144
4,695
7,115
7,884
4,926
8,399
1970—Oct.. .
Nov..
Dec...
1,924
1,748
2,190
1,184
892
1.270
695
753
914
32
99
13
5
6
290
247
571
531
765
826
2,706
1,839
2,156
1,920
2,140
2,035
1,964
1,892
1,613
1,225
1,311
1,349
1,092
1,326
1,315
1,140
1,306
822
970
607
121
l , 137
616
r
661
r
510
1,067
365
588
729
693
828
991
638
1,078
r
971
587
891
904
702
684
526
Total
196 3
196 4
196 5
196 6
196 7
196 8
196 9
1970
2,061
1,696
r
566
842
702
473
743
493
871
2
7
r
844
r
197
"\7\
'258
5
10
8
5
9
3
3
577
585
417
440
486
779
471
459
683
341
r
1
Only bonds sold pursuant to 1949 Housing Act, which are secured
by contract requiring the Housing Assistance Administration to make
annual contributions to the local authority.
2
Municipalities, counties, townships, school districts.
3
Excludes U.S. Govt, loans. Based on date of delivery to purchaser
and payment to issuer, which occurs after date of sale.
4
Water, sewer, and other utilities.
10,496
10,069
11,538
Roads
and
bridges
Utilities 4
Housings
Veter- Other
ans'
puraid
poses
10,471
11,303
14,643
16,489
11,838
18,110
812
688
900
1,476
1,254
1,526
1,432
1,532
2,404
2,833
1,734
3,525
598
727
626
533
645
787
543
466
1,923
1,743
2,176
532
523
425
123
63
327
380
364
623
12
121
821
683
681
509
518
390
133
183
66
448
394
120
158
65
209
428
315
627
469
432
687
244
372
444
340
373
123
28
19
214
14
219
159
267
96
993
735
728
r
807
426
522
1,040
841
786
672
9,151
10,201
736
793
5
Education
3,029
3,392
3,619
3,738
4,473
4,820
3,252
5,062
1 102
1971—Jan...
Feb...
Mar..
Apr...
May..
June..
July. .
Aug. .
Sept. .
Oct.. .
Use of proceeds
Total
amount
delivered 3
r
2,695
1,823
2,142
n , 877
2,132
2,026
1,917
1,883
r
2,016
1,594
r
577
r
516
610
409
292
352
454
276
2,344
2,437
1,965
1,880
2,396
2,838
50 3,311
3,667
5,867
6,523
4,884
7,526
120
Includes urban redevelopment loans.
NOTE.—The figures in the first column differ f r o m those shown on the
following page, which are based on Bond Buyer data. The principal
difference is in the treatment of U.S. Govt, loans.
Investment Bankers Assn. d a t a ; par amounts of long-term issues
based on date of sale unless otherwise indicated.
Components may not add to totals due to rounding.
A 48
SECURITY ISSUES • DECEMBER 1971
TOTAL NEW ISSUES
(In millions of dollars)
Gross proceeds, all issues 1
Noncorporate
Corporate
Period
Bonds
Total
U.S.
Govt.2
U.S.
Govt.
agency3
State
a n d local
(U.S.)4
Others
Stock
Total
Total
Publicly
offered
Privately
placed
Preferred
Common
1963
1964
1965
1966
35,199
37,122
40,108
45,015
10,827
10,656
9,348
8,231
1,168
1,205
2,731
6,806
10,107
10,544
11,148
11,089
887
760
889
815
12,211
13,957
15,992
18,074
10,856
10,865
13,720
15,561
4,713
3,623
5,570
8,018
6,143
7,243
8,150
7,542
343
412
725
574
1,011
2,679
1,547
1,939
1967
1968
1969
1970
68,514
65,562
52,496
88,664
19,431
18,025
4,765
14,831
8,180
7,666
8,617
16,180
14,288
16,374
11,460
17,762
1,817
1,531
961
949
24,798
21,966
26,744
38,944
21,954
17,383
18,347
30,264
14,990
10,732
12,734
25,384
6,964
6,651
5,613
4,880
885
637
682
1,388
1,959
3,946
7,714
7,292
8,199
8,353
9,040
7,651
1,428
412
2,414
401
1,600
2,169
750
924
1,650
1,882
1,684
2,245
4
113
10
100
3,518
3,777
4,182
3,980
2,814
2,694
3,283
3,270
2,425
2,390
3,001
2,436
389
303
283
834
176
180
124
168
528
903
774
541
7,438
6,522
11,069
7,244
6,969
10,994
9,316
9,346
9,445
436
431
517
467
466
2,779
1,153
3,228
1,698
1,050
1,224
1,300
1
1,000
1,812
2,049
1,500
1,774
2,614
1,823
2,104
1,859
2,114
1,988
1,951
1,850
2,044
223
44
1,073
177
118
40
17
237
161
3,115
3,000
6,075
4,042
3,271
4,375
4,147
2,532
3,768
2,627
2,476
4,782
2,623
2,638
3,042
1,951
1,844
2,573
2,033
2,201
4,135
2,116
2,148
2,283
1,331
1,428
1,966
594
275
647
507
491
760
619
416
607
76
100
311
537
54
104
1,527
270
165
413
424
982
882
579
1,228
669
418
1,031
1970—Sept
Oct
Nov
Dec
1971—Jan
Feb
Mar
Apr
May
June
July
Aug.r. . ..
Sept
G r o s s p r o c e e d s , m a j o r groups of c o r p o r a t e issuers
Period
Manufacturing
Bonds
Commercial and
miscellaneous
Transportation
P u b l i c utility
Communication
Real estate
and financial
Stocks
Bonds
Stocks
Bonds
Stocks
Bonds
Stocks
Bonds
Stocks
Bonds
Stocks
196 3
196 4
196 5
196 6
3,202
2,819
4,712
5,861
313
228
704
150
220
251
257
948
944
953
1,856
9
38
60
116
2,259
2,139
2,332
3,117
418
620
604
549
953
669
808
1,814
152
1,520
139
189
2,818
1,208
676
902
1,153
1,166
3,391
3,762
1,747
313
466
514
193
196 7
196 8
196 9
197 0
9,894
5,668
4,448
9,191
1,164
1,311
1,904
1,322
1,950
1,759
1,888
1,949
117
116
3,022
2,545
1,859
1,665
1,899
2,188
466
1,579
247
92
4,217
4,407
5,409
8,016
718
873
1,326
3,001
1,786
1,724
1,963
5,059
193
43
225
83
2,247
2,159
2,739
3,861
186
662
1,671
1,636
1970—Sept.
Oct..
Nov.
Dec.
937
929
927
932
56
76
180
124
118
288
147
207
228
286
129
147
145
138
170
307
7
58
904
653
845
725
337
448
505
230
443
338
693
277
266
348
502
822
81
238
78
146
1971—Jan..
Feb.
Mar.
Apr.
May
June
Julyf
Aug.
Sept.
647
644
2,123
819
631
1,031
383
262
991
69
17
294
316
158
175
200
212
154
259
72
289
198
143
497
159
76
123
239
112
186
243
131
290
188
175
295
167
89
160
268
250
182
157
76
120
608
752
895
607
447
616
520
687
578
68
317
557
660
141
439
212
162
492
391
672
481
247
403
204
232
359
235
555
248
834
484
763
513
500
385
525
112
66
204
107
113
300
144
126
179
1
G r o s s p r o c e e d s are derived b y m u l t i p l y i n g p r i n c i p a l a m o u n t s
n u m b e r of u n i t s b y offering price.
2
I n c l u d e s g u a r a n t e e d issues.
3
Issues n o t g u a r a n t e e d .
4 See NOTE t o t a b l e a t b o t t o m of p r e c e d i n g p a g e .
or
1
1
67
89
115
62
12
29
2
34
11
52
26
2
14
,390
46
5 Foreign governments and their instrumentalities, International B a n k
for Reconstruction and Development, and domestic nonprofit organizations.
NOTE.—Securities a n d E x c h a n g e C o m m i s s i o n e s t i m a t e s of n e w issues
m a t u r i n g in m o r e t h a n 1 y e a r s o l d f o r c a s h in t h e U n i t e d States.
DECEMBER 1971 • SECURITY ISSUES
A 49
NET CHANGE IN OUTSTANDING CORPORATE SECURITIES
(In millions of dollars)
D e r i v a t i o n of change, all issuers 1
B o n d s a n d notes
All securities
C o m m o n a n d preferred stocks
N e w issues
Retirements
N e t change
N e w issues
Retirements
Net change
N e w issues
Retirements
N e t change
19,799
25,964
25,439
28,841
38,707
7,541
7,735
12,377
10,813
9,079
12,258
18,229
13,062
18,027
29,628
15,629
21,299
19,381
19,523
29,495
4,542
5,340
5,418
5,767
6,667
11,088
15,960
13,962
13,755
22,825
4,169
4,664
6,057
9,318
9,213
3,000
2,397
6,959
5,045
2,411
1,169
2,267
-900
4,272
6,801
10,114
9,385
11,936
2,227
2,089
2,577
7,886
7,297
9,359
7,876
7,598
9,034
1.545
1.546
2,069
6,330
6,051
6,964
2,238
1,788
2,902
682
542
508
1,556
1,245
2,394
11,241
13,294
2,015
2,979
9,226
10,315
8,765
8,974
1,776
2,681
6,989
6,294
2,476
4,320
239
299
2,237
4,021
Type of issuer
Manufacturing
Bonds
& notes
Transportation 3
Commercial
and other 2
Stocks
Public
utility
Communication
Bonds
& notes
Stocks
Bonds
& notes
Stocks
Bonds
& notes
Stocks
Bonds
& notes
Real estate
a n d financial
1
Bonds
& notes
Stocks
Stocks
4,324
7,237
4,418
3,747
6,641
32
832
-1,842
69
870
616
1,104
2,242
1,075
853
-598
282
821
1,558
1,778
956
1,158
987
946
1,104
718
165
-149
186
36
2,659
3,444
3,669
4,464
6,861
533
652
892
1,353
2,917
1,668
1,716
1,579
1,834
4,806
575
467
120
241
94
864
1,302
1,069
1,687
2,564
-90
-130
-741
866
1,107
1,334
2,169
2,054
-6
39
374
343
263
407
633
326
404
64
21
428
-24
-15
58
1,953
1,917
1,777
583
750
1,189
2.134
991
1.135
10
6
51
504
691
1,165
361
139
318
2,076
2,296
520
954
201
446
416
768
271
461
33
374
1,897
1,347
948
1,261
1,194
919
66
38
1,349
825
255
626
1
Excludes investment c o m p a n i e s .
Extractive a n d c o m m e r c i a l a n d miscellaneous companies.
3 Railroad and other transportation companies.
2
NOTE.—Securities a n d E x c h a n g e C o m m i s s i o n estimates of cash transactions only. As contrasted with d a t a s h o w n on opposite page, new issues
exclude foreign sales a n d include sales of securities held by affiliated c o m panies, special offerings t o employees, a n d also new stock issues a n d cash
proceeds connected with conversions of b o n d s into stocks. R e t i r e m e n t s
are defined in t h e s a m e way a n d also include securities retired with internal f u n d s or with p r o c e e d s of issues f o r t h a t p u r p o s e ,
OPEN-END INVESTMENT COMPANIES
(In millions of dollars)
Sales a n d r e d e m p t i o n
of own shares
Assets ( m a r k e t value
at end of p e r i o d )
Sales a n d r e d e m p t i o n
of o w n shares
Assets ( m a r k e t value
a t end o f p e r i o d )
Month
Year
2
Total
511
786
842
1,109
1,494
1,255
13,242
15,818
17,026
634
860
973
12,608
14,958
16,053
2,951
2,699
2,460
1,160
1,123
1,504
1,791
1,576
952
22,789
21,271
25,214
980
1,315
1,341
21,809
19,956
23,873
1964
1965
1966
3,404
4,359
4,671
1,875
1,962
2,005
1,528
2,395
2,665
29,116
35,220
34,829
1,329
1.803
2,971
27,787
33,417
31,858
1967
1968
1969
4,670
6,820
6,717
2,745
3,841
3,661
1,927
2,979
3,056
44,701
52,677
48,291
2,566
3,187
3,846
42,135
49,490
44,445
Redemptions
1958
1959
1960
1,620
2,280
2,097
1961
1962
1963
Cash
position
Other
Net
sales
Sales i
3
1
Includes c o n t r a c t u a l and regular single p u r c h a s e sales, v o l u n t a r y and
c o n t r a c t u a l a c c u m u l a t i o n p l a n sales, a n d reinvestment of investment inc o m e dividends; excludes reinvestment of realized capital gains dividends.
2
M a r k e t value at end of p e r i o d less current liabilities.
2
Redemptions
1970—Oct.. .
Nov...
Dec...
420
343
467
243
215
307
177
128
160
43,567
45,223
47,618
4,377
4,126
3,649
39,190
41,097
43,969
1971— Jan. . .
Feb.. .
Mar...
Apr...
May..
June..
July...
Aug...
Sept...
Oct.. .
487
349
468
547
307
434
371
432
304
596
242
322
425
394
428
467
444
394
471
419
245
27
43
153
-121
-33
-73
38
-167
177
50,251
51,300
53,618
55,883
53,610
53,560
51,424
53,798
53,291
51,160
3,663
3,600
3,328
3,046
2,607
2,830
2,856
3,016
2,511
2,885
46,588
47,700
50,290
52,837
51,003
50,730
48,568
50,782
50,780
48,275
Net
sales
Total
Cash
position
Other
Sales i
3
3
C a s h and deposits, receivables, all U.S. G o v t , securities, a n d o t h e r
short-term debt securities, less current liabilities.
NOTE.—Investment C o m p a n y Institute d a t a b a s e d o n r e p o r t s of m e m bers, which c o m p r i s e substantially all o p e n - e n d investment c o m p a n i e s
registered with t h e Securities a n d E x c h a n g e C o m m i s s i o n . D a t a reflect
newly f o r m e d c o m p a n i e s after their initial offering of securities
A 50
BUSINESS FINANCE • DECEMBER 1971
SALES, PROFITS, AND DIVIDENDS OF LARGE CORPORATIONS
(In millions of dollars)
1968
Industry
1965
1966
1967
1968
19691
1969
III
IV
Manufacturing
Total (177 corps.):
Sales
177,237 195,738 201,399
Profits before taxes
22,046 23,487 20,898
Profits after taxes
12,461 13,307 12,664
Dividends
6,527
6,989
6,920
Nondurable goods industries (78
2
corps.):
Sales
64,897 73,643 77,969
Profits before taxes
7,846
9,181 9,039
Profits after taxes
4,786
5,379
5,473
2,527
3,027
Dividends
2,729
Durable goods industries (99 corps.): 3
Sales
112,341 122,094 123,429
Profits before taxes
14,200 14,307 11,822
Profits after taxes
6,352
7,675
7,834
3,964
4,191
Dividends
4,000
Selected industries:
Foods and kindred products
corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Chemical and allied products
corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Petroleum refining (16 corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Primary metals and products
corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Machinery (24 corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Automobiles and equipment
corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
225,740 243,449 53,633
25,375 25,622
5,985
13,787 14,090 3,298
7,271
1,716
7,757
57,732
6,878
3,609
1,731
53,987
5,580
3,030
1,746
60,388 57,613
6,932
6,565
3,579
3,850
1,838
2,078
61,392
6,887
3,750
1,916
84,861 92,033 20,156 21,025 21,551 22,129 21,764 23,198
9,866 10,333 2,387
2,492
2,545
2,442
2,524 2,664
6,103
1,428
5,799
1,411
1,471
1,492
1.489
1,559
3,289
743
3,082
751
763
812
825
140,879 151,416 33,477 36,707
15,510 15,290 3,598
4,386
7,989
7,989
1,871
2,198
4,469
4,189
972
981
32,435
3,036
1,559
983
38,259
4.490
2,361
1,253
35,849 38,195
4,224
4,041
2,190
2,087
1,026
1,108
(25
19,038 20,134 22,109 24,593
2,425
1,967
2,227
1,916
1,171
1,041
1,093
1,008
661
583
616
564
5,184
498
255
150
5,389
563
260
155
5,737
590
285
155
5,799
576
293
156
5,714
534
261
5,923
581
275
165
18,158 20,007 20,561 22,808 24,494
3,258
2,891
2,731
3,117
3,073
1,773
1,630
1,579
1,618
1,737
1,031
926
960
1,002
948
5,436
760
390
236
5,697
807
419
236
5,782
806
412
243
5,893
744
398
287
5,845
844
448
252
6,230
875
473
251
17,828 20,887 23,258 24,218 25,586
2,941
1,962
2,866
2,681 3,004
2,224
1,541
2,038
2,206
1,898
1,123
737
1,079
1,039
817
5,890
767
592
253
6,013
692
520
255
6,100
6,214
667
534
273
6,107
726
562
282
6,610
740
561
258
26,548 28,558 26,532
2,931
3,277
2,487
1,689
1,903
1,506
818
924
892
30,171 33,674
3,052
2,921
1,912
1,750
987
952
7,150
669
376
224
8,427
915
550
230
7,461
601
343
233
7,133
735
482
264
7,671
691
431
242
8,612
828
504
245
32,721 35,660 38,719
3,482 4,134
4,377
1,789
2,014
2,147
921
992
1,128
8,371
936
448
247
8,864
1,008
499
248
8,907
1,112
537
248
9,517
1,079
531
249
8,957
1,071
526
270
9,757
1,167
576
271
50,526 52,290
5,268
5,916
2,604
2,903
1,723
1,642
12,343
1,507
783
364
13,545
1,851
847
364
9,872 14,767
640
1,918
330
943
364
550
13,328
1,663
806
365
13,638
1,542
750
436
10,208 10,661 10,377 10,859 11,451
2,611
683
461
488
127
112
117
2,758
206
174
132
2,708
149
110
2,782
196
169
2,741
128
98
116
2,916
220
173
136
16,427
1,710
896
509
(20
162
728
558
273
(34
25,364 29,512
3,107
3,612
1,626
1,875
774
912
(14
42,712 43,641 42,306
6,253
5,274
3,906
3,294
2,877
1,999
1,890
1,775
1,567
Public utility
Railroad:
Operating revenue. .
Profits before taxes.
Profits after taxes. .
Dividends
Electric power:
Operating revenue. .
Profits before taxes.
Profits after t a x e s . . .
Dividends
Telephone :
Operating revenue. .
Profits before taxes.
Profits after t a x e s . . .
Dividends
979
815
468
1,094
906
502
15,816
4,213
2,586
1,838
16,959
4,414
2,749
1,938
17,954 19,421 21,075
4,938
4,547 4,789
3,186
2,908 3,002
2,066 2,201 2,299
5,106
1,351
863
539
4,553
1,040
641
555
4,869
1,271
764
543
4,892
1,125
733
565
5,480
1,384
873
580
4,913
1,065
707
577
11,320
3,185
1,718
1,153
12,420
3,537
1,903
1,248
13,311
3,694
1,997
1,363
16,057
4,098
2,080
1,493
3,486
971
525
351
3,544
989
441
318
3,629
990
493
396
3,771
1,001
502
363
3,853
1,070
540
368
3,975
1,043
523
371
385
319
538
678
565
515
14,430
3,951
1,961
1,428
1
Manufacturing figures reflect changes by a number of companies in
accounting methods and other reporting procedures.
2
Includes 17 corporations in groups not shown separately.
3
Includes 27 corporations in groups not shown separately.
NOTE.—Manufacturing corporations: D a t a are obtained primarily from
published reports of companies.
Railroad: Interstate Commerce Commission data for Class I linehaul railroads.
Electric power: Federal Power Commission data for Class A and B
electric utilities, except that quarterly figures on operating revenue and
100
166
profits before taxes are partly estimated by the Federal Reserve to include
affiliated nonelectric operations.
Telephone: D a t a obtained f r o m Federal Communications Commission on revenues and profits for telephone operations of the Bell System
Consolidated (including the 20 operating subsidiaries and the Long
Lines and General Depts. of American Telephone and Telegraph Co.)
and for two affiliated telephone companies. Dividends are for the 20
operating subsidiaries and the two affiliates.
All series: Profits before taxes are income after all charges and before
>
Federal income taxes and dividends.
Back data available from the Division of Research and Statistics.
Series have been temporarily discontinued.
DECEMBER 1971 • BUSINESS FINANCE
A 51
CORPORATE PROFITS, TAXES, AND DIVIDENDS
(In billions of dollars)
Profits
before
taxes
Income
taxes
Profits
after
taxes
Cash
dividends
Undistributed
profits
Corporate
capital
consumption
allowances1
1963
1964
1965
1966
59.4
66.8
77.8
84.2
26.3
28.3
31.3
34.3
33.1
38.4
46.5
49.9
16.5
17.8
19.8
20.8
16.6
20.6
26.7
29.1
31.8
33.9
36.4
39.5
1967
1968
1969
1970
79.8
87.6
84.2
75.4
33.2
39.9
39.7
34.1
46.6
47.8
44.5
41.2
21.4
23.6
24.4
25.0
25.3
24.2
20.0
16.2
43.0
46.8
51.3
56.2
Year
Profits
before
taxes
Income
taxes
Profits
after
taxes
Cash
dividends
Undistributed
profits
Corporate
capital
consumption
allowances 1
1970—I. . . .
II. ..
III...
IV...
75.6
75.8
78.5
71.6
34.1
34.5
35.6
32.3
41.5
41.3
42.9
39.2
25.0
24.9
25.2
25.0
16.6
16.4
17.7
14.3
54.4
55.7
56.7
58.0
1971—1.
II. . .
III*..
79.1
83.3
83.6
36.2
37.4
37.9
42.9
46.0
45.8
25.6
25.4
25.7
17.3
20.5
20.1
62.6
64.0
65.5
Quarter
1
I n c l u d e s d e p r e c i a t i o n , capital outlays charged t o current a c c o u n t s , a n d
accidental d a m a g e s .
NOTE.—Dept. of C o m m e r c e estimates.
a d j u s t e d a n n u a l rates.
Q u a r t e r l y d a t a a r e at seasonally
CURRENT ASSETS AND LIABILITIES OF CORPORATIONS
(In billions of dollars)
C u r r e n t assets
E n d of p e r i o d
Net
working
capital
Total
Cash
U.S.
Govt,
securities
C u r r e n t liabilities
N o t e s a n d accts.
payable
N o t e s a n d accts.
receivable
Inventories
U.S.
Govt.1
Other
Other
Other
Accrued
Federal
income
taxes
Total
Other
U.S.
Govt.1
1963
1964
1965
1966
1967
1968
1969
163.5
170.0
180.7
188.2
198.9
212.0
213.2
351.7
372.2
410.2
442.6
470.4
513.8
555.9
46.5
47.3
49.9
49.3
54.1
58.0
54.9
20.2
18.6
17.0
15.4
12.7
14.2
12.7
3.6
3.4
3.9
4.5
5.1
5.1
4.8
156.8
169.9
190.2
205.2
216.0
237.1
261.0
107.0
113.5
126.9
143.1
153.4
165.8
184.8
17.8
19.6
22.3
25.1
29.0
33.6
37.8
188.2
202.2
229.6
254.4
271.4
301.8
342.7
2.5
2.7
3.1
4.4
5.8
6.4
7.3
130.4
140.3
160.4
179.0
190.6
209.8
238.1
16.5
17.0
19.1
18.3
14.1
16.4
16.6
38.7
42.2
46.9
52.8
60.8
69.1
80.6
1970—1
II
Ill
IV
213.3
213.6
214.0
217.0
561.0
566.3
567.6
572.1
52.9
52.5
53.7
56.9
12.5
10.7
9.3
9.7
4.7
4.4
4.2
4.2
264.5
268.7
270.0
268.1
188.0
190.2
191.8
194.4
38.5
39.9
38.5
38.8
347.7
352.7
353.6
355.2
7.2
7.0
6.8
6.6
238.4
244.1
243.0
244.5
18.0
14.6
15.4
15.9
84.2
87.1
88.3
88.1
1971—1
II
220.4
226.3
576.9
582.6
55.8
58.6
10.1
10.3
4.2
3.9
269.8
273.2
196.8
197.4
40.1
39.3
356.5
356.3
6.1
5.3
240.3
241.2
18.6
16.8
91.4
93.0
i Receivables f r o m , a n d payables t o , t h e U . S . G o v t , exclude a m o u n t s
offset against e a c h o t h e r o n c o r p o r a t i o n s ' b o o k s .
NOTE.—Securities a n d E x c h a n g e C o m m i s s i o n e s t i m a t e s ; excludes
b a n k s , savings a n d l o a n assns., i n s u r a n c e c o m p a n i e s , a n d i n v e s t m e n t
companies.
BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT
(In billions of dollars)
Manufacturing
Period
P u b l i c utilities
Transportation
Mining
Total
Durable
Railroad
Nondurable
Air
Other
Electric
Communications
Gas
and other
Other1
Total
(S.A.
A.R.)
196 4
196 5
196 6
196 7
196 8
196 9
197 0
1971 2 r . . .
46.97
54.42
63.51
65.47
67.76
75.56
79.71
81.47
9.28
11.50
14.96
14.06
14.12
15.96
15.80
14.29
10.07
11.94
14.14
14.45
14.25
15.72
16.15
15.92
1.34
1.46
1.62
1.65
1.63
1.86
1.89
2.13
1.66
1.99
2.37
1.86
1.45
1.86
1.78
1.67
1.02
1.22
1.74
2.29
2.56
2.51
3.03
1.87
1.50
1.68
1.64
1.48
1.59
1.68
1.23
1.37
3.97
4.43
5.38
6.75
7.66
8.94
10.65
12.80
1.51
1.70
2.05
2.00
2.54
2.67
2.49
2.40
4.61
5.30
6.02
6.34
6.83
8.30
10.10
10.89
12.02
13.19
14.48
14.59
15.14
16.05
16.59
18.11
1970—III.
IV.
20.26
21.66
3.87
4.26
4.12
4.40
.46
.50
.46
.43
.74
.76
.30
.33
2.79
3.12
.78
.63
2.56
2.81
4.16
4.42
81.88
78.63
1971—1.. ,
II..
III.
IV2
17.68
20.60
20.14
23.04
3.11
3.52
3.40
4.26
3.58
4.03
3.91
4.40
.49
.54
.55
.56
.34
.47
.42
.45
.34
.60
.39
.54
.28
.36
.37
.36
2.70
3.20
3.35
3.54
.41
.63
.71
.65
2.50
2.81
2.62
3.94
4.44
4.42
8.28
79.32
81.61
80.75
84.02
1972—P. .
19.48
3.50
3.38
.50
.50
.57
.33
3.05
.43
7.24
87.14
1
2
Includes t r a d e , service, c o n s t r u c t i o n , finance, a n d insurance.
A n t i c i p a t e d b y business.
NOTE.—Dept. of C o m m e r c e a n d Securities a n d E x c h a n g e C o m m i s s i o n
estimates f o r c o r p o r a t e a n d n o n c o r p o r a t e business; excludes agriculture,
real estate o p e r a t o r s , medical, legal, e d u c a t i o n a l , a n d c u l t u r a l service, a n d
n o n p r o f i t organizations.
A 52
REAL ESTATE CREDIT • DECEMBER 1971
MORTGAGE DEBT OUTSTANDING
(In billions of dollars)
All p r o p e r t i e s
Farm
Nonfarm
Other
holders2
E n d of
period
All
holders
Financial
institutions 1
1- t o 4 - f a m i l y h o u s e s 4
Individuals
and
others
U.S.
agencies
All
holders
Financial
institutions 1
Other
holders3
All
holders
Total
Finan.
institutions 1
Multifamily and
commercial properties5
Other
holders
Total
Finan.
institutions 1
Other
holders
Mortgage
type 6
FHA—
VAunderwritten
Conventional
1941
1945
37.6
35.5
20.7
21.0
4.7
2.4
12.2
12.1
6.4
4.8
1.5
1.3
4.9
3.4
31.2
30.8
18.4
18.6
11.2
12.2
7.2
6.4
12.9
12.2
8.1
7.4
4.8
4.7
3.0
4.3
28.2
26.5
1964
1965
1966
1967
1968
300.1
325.8
347.4
370.2
397.5
241.0
264.6
280.8
298.8
319.9
11.4
12.4
15.8
18.4
21.7
47.7
48.7
50.9
53.0
55.8
18.9
21.2
23.3
25.5
27.5
7.0
7.8
8.4
9.1
9.7
11.9
13.4
14.9
16.3
17.8
281.2
304.6
324.1
344.8
370.0
197.6
212.9
223.6
236.1
251.2
170.3
184.3
192.1
201.8
213.1
27.3
28.7
31.5
34.2
38.1
83.6
91.6
100.5
108.7
118.7
63.7
72.5
80.2
87.9
97.1
19.9
19.1
20.3
20.9
21.6
77.2
81.2
84.1
88.2
92.8
204.0
223.4
240.0
256.6
277.2
1969—I.... 403.7
II. .. 411.7
I I I . . 418.7
I V . . 425.3
324.7
331.0
335.7
339.1
22.6
23.4
24.9
26.8
56.4
57.1
58.1
59.4
28.1
28.8
29.2
29.5
9.8
10.1
10.1
9.9
18.3
18.7
19.1
19.6
375.7
382.9
389.5
395.9
254.8
259.5
263.4
266.8
216.0
219.9
222.5
223.6
38.8
39.5
40.9
43.2
120.9
123.4
126.0
129.0
98.9
101.0
103.1
105.5
21.9
22.4
22.9
23.5
94.5
96.6
98.5
100.2
281.2
286.3
291.0
295.7
1970—1....
II. ..
III..
IV . .
429.4
435.6
443.4
451.7
340.8
344.6
349.9
356.2
28.6
30.0
31.7
33.0
60.0
61.0
61.7
62.6
29.8
30.3
30.8
31.2
9.8
9.8
10.0
10.1
20.0
20.5
20.8
21.1
399.6
405.2
412.5
420.5
268.5
271.7
276.0
280.2
223.8
225.7
228.5
231.4
44.7
46.0
47.5
48.8
131.0
133.5
136.5
140.3
107.1
109.1
111.4
114.6
23.9
24.5
25.1
25.7
101.9
103.2
106.8
109.1
297.9
302.4
305.5
310.9
1971—Ir...
II...
458.9
471.2
362.1
372.3
33.6
35.2
63.3
63.7
31.8
31.9
10.1
9.7
21.7
22.2
427.2
439.3
283.6
290.8
234.5
240.7
49.4
49.5
143.6
148.5
117.5
121.9
26.1
26.6
111.0
112.4
316.2
326.9
5
D e r i v e d figures; includes s m a l l a m o u n t s of f a r m l o a n s held b y savings
a n d l o a n assns.
6
D a t a b y t y p e of m o r t g a g e o n n o n f a r m 1- t o 4 - f a m i l y p r o p e r t i e s a l o n e
a r e s h o w n o n p . A-54.
1
C o m m e r c i a l b a n k s (including n o n d e p o s i t t r u s t c o m p a n i e s b u t n o t
t r u s t depts.), m u t u a l savings b a n k s , life i n s u r a n c e c o m p a n i e s , a n d savings
a n d l o a n assns.
2
U . S . agencies include f o r m e r F N M A a n d , beginning f o u r t h q u a r t e r
1968, n e w G N M A as well as F H A , V A , P H A , F a r m e r s H o m e A d m i n . ,
a n d in earlier years, R F C , H O L C , a n d F F M C . T h e y also i n c l u d e U.S.
s p o n s o r e d a g e n c i e s — n e w F N M A a n d F e d e r a l l a n d b a n k s . O t h e r agencies
( a m o u n t s s m a l l o r c u r r e n t s e p a r a t e d a t a n o t readily available) i n c l u d e d
with " i n d i v i d u a l s a n d o t h e r s . "
3
D e r i v e d figures; includes d e b t held by F e d e r a l l a n d b a n k s a n d f a r m
d e b t held by F a r m e r s H o m e A d m i n .
4
F o r m u l t i f a m i l y a n d t o t a l residential p r o p e r t i e s , see p. A - 5 4 .
NOTE.—Based o n d a t a f r o m F e d e r a l D e p o s i t I n s u r a n c e C o r p . , F e d e r a l
H o m e L o a n B a n k B o a r d , I n s t i t u t e of Life I n s u r a n c e , D e p t s . of A g r i c u l t u r e a n d C o m m e r c e , F e d e r a l N a t i o n a l M o r t g a g e Assn., F e d e r a l H o u s i n g
A d m i n . , P u b l i c H o u s i n g A d m i n . , V e t e r a n s A d m i n . , a n d C o m p t r o l l e r of
the Currency.
Figures f o r first t h r e e q u a r t e r s of e a c h y e a r a r e F . R . e s t i m a t e s .
MORTGAGE LOANS HELD BY BANKS
(In millions of dollars)
Commercial bank holdings
]
M u t u a l savings b a n k h o l d i n g s
Residential
Residential
E n d of p e r i o d
Total
Total
FHAinsured
guaranteed
1941
1945
4,906
4,772
43,976
49,675
54,380
59,019
65,696
28,933
32,387
34,876
37,642
41,433
7,315
7,702
7,544
7,709
7,926
2.742
2,688
2,599
2,696
2,708
1968—III
IV.
63,779
65,696
40,251
41,433
7,768
7,926
1969—1..
II.
Ill
IV.
67,146
69,079
70,336
70,705
42,302
43,532
44,331
44,573
1970—1..
II.
Ill
IV.
70,854
71,291
72,393
73,275
1971—1. .
II.
74,424
76,639
Conventional
Other
nonfarm
Total
FHAinsured
guaranteed
1,048
856
566
521
4,812
4,208
18,876
21,997
24,733
27,237
30,800
12,405
14,377
16,366
17,931
20,505
2,638
2,911
3,138
3,446
3,758
40,556
44,617
47,337
50,490
53,456
36,487
40,096
42,242
44,641
46,748
12,287
13,791
14,500
15,074
15,569
11,121
11,408
11,471
11,795
12,033
2,657
2,708
29,826
30,800
19,771
20,505
3.757
3.758
52,496
53,456
46,051
46,748
15,367
15,569
7,953
8,060
8,065
7,960
2,711
2.743
2,793
2,663
31,638
32,729
33,470
33,950
20,950
21,459
21,924
22,113
3,894
4,088
4,081
4,019
54,178
54,844
55,359
56,138
47,305
47,818
48,189
48,682
44,568
44,845
45,318
45,640
7,800
7,885
7,919
2,496
2,575
2,583
2,589
34,184
34,469
34,850
35,131
22,248
22,392
22,825
23,284
4,038
4,054
4,250
4,351
56,394
56,880
57,402
57,948
46,343
48,163
7,971
8,146
2,595
2,636
35,777
37,381
23,595
24,477
4,486
3,999
58,680
59,643
Conventional
3,884
3,387
1
Includes loans held by nondeposit trust companies, but not b a n k
trust depts.
2
D a t a f o r 1941 a n d 1945, except f o r totals, are special F . R . estimates.
NOTE.—Second a n d f o u r t h q u a r t e r s , F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n series f o r all c o m m e r c i a l a n d m u t u a l savings b a n k s in t h e U n i t e d
Farm
Total
3,292
3,395
196 4
196 5
196 6
196 7
196 8
2
Other
nonfarm
Farm
900
797
28
24
13,079
14.897
16,272
17,772
19,146
4,016
4,469
5,041
5,732
6,592
53
52
53
117
117
11,945
12,033
18,739
19,146
6,329
6,592
116
117
15,678
15,769
15,813
15,862
12,097
12,151
12,169
19,530
19.898
20,207
20,654
6,756
6,908
7,053
7,342
117
117
117
114
48,874
49,260
49,628
49,937
15,865
15,931
16,017
16,087
12,105
12,092
12,127
12,008
20,904
21,237
21,654
21,842
7,413
7,519
7,671
7,893
107
101
103
119
50,553
51,362
16,157
16,281
12,010
12,011
22,386
23,069
8,014
8,174
113
107
12,166
States a n d possessions. First a n d t h i r d q u a r t e r s , e s t i m a t e s b a s e d o n special
F . R . i n t e r p o l a t i o n s a f t e r 1963 o r b e g i n n i n g 1964. F o r earlier years, t h e
basis f o r first- a n d t h i r d - q u a r t e r e s t i m a t e s i n c l u d e d F . R . c o m m e r c i a l b a n k
call r e p o r t d a t a a n d d a t a f r o m t h e N a t i o n a l A s s n . of M u t u a l Savings
Banks.
DECEMBER 1971 • REAL ESTATE CREDIT
A 53
MORTGAGE ACTIVITY OF LIFE INSURANCE COMPANIES
(In millions of dollars)
L o a n s acquired
L o a n s o u t s t a n d i n g (end of period)
Nonfarm
Nonfarm
Period
Total
Total
Farm
FHAinsured
VAguaranteed
Total
Other i
FHAinsured
Total
Farm
VAguaranteed
Other
1945
976
6,637
5,860
1,394
4,466
766
1963
1964
1965
1966
9,172
10,433
11,137
10,217
8,306
9,386
9,988
9,223
1,598
1,812
1,738
1,300
678
674
553
467
6,030
6,900
7,697
7,456
866
1,047
1,149
994
50,544
55,152
60,013
64,609
46,752
50,848
55,190
59,369
10,756
11,484
12,068
12,351
6,401
6,403
6,286
6,201
29,595
32,961
36,836
40,817
3,792
4,304
4,823
5,240
1967
1968
1969
1970
8,470
7,925
7,531
7,127
7,633
7,153
6,943
6,763
757
755
663
401
444
346
220
82
6,432
6,052
6,108
6,280
837
722
537
314
67,516
69,973
72,027
74,345
61,947
64,172
66,254
68,693
12,161
12,469
12,271
11,325
6,122
5,954
5,701
5,390
43,664
45,749
48,282
51,978
5,569
5,801
5,773
5,652
1970
Aug
Sept
Oct
Nov
Dec
472
520
555
553
1,143
458
489
527
533
1,099
31
31
28
37
44
8
6
5
6
8
419
452
494
490
1,047
14
31
28
20
44
73,427
73,540
73,728
73,848
74,345
67,767
67,875
68,058
68,189
68,693
11,526
11,486
11,453
11,436
11,325
5,499
5,467
5,442
5,416
5,390
50,742
50,922
51,163
51,337
51,978
5,660
5,665
5,670
5,659
5,652
1971
Jan
Feb
Mar
Apr
May
June
July
Aug
448
449
623
578
491
537
590
735
423
425
579
533
442
494
551
684
17
17
33
18
24
29
20
23
7
5
5
8
8
9
8
8
399
407
541
507
410
456
523
601
25
24
44
45
49
42
39
51
74,370
74,437
74,516
74,536
74,552
74,535
74,583
58,024
68,779
68,871
68,973
68,993
68,425
68,973
69,017
52,438
11,383
11,338
11,302
11,237
11,186
11,123
11,048
10,975
5,368
5,346
5,316
5,284
5,254
5,219
5,180
5,142
52,028
52,187
52,355
52,472
51,985
52,631
52,789
52,438
5,591
5,566
5,543
5,543
5,554
5,562
5,566
5,586
1
Includes m o r t g a g e loans secured by l a n d o n w h i c h oil drilling or
extracting o p e r a t i o n s a r e in process.
NOTE.—Institute of Life I n s u r a n c e d a t a . F o r loans acquired, the
m o n t h l y figures m a y n o t a d d t o a n n u a l t o t a l s ; and for loans o u t s t a n d i n g
the end-of-Dec. figures may differ f r o m end-of-year figures because (1)
monthly figures represent b o o k value of ledger assets, whereas year-end
figures represent a n n u a l statement asset values, a n d (2) d a t a f o r year-end
a d j u s t m e n t s are m o r e complete. Beginning 1970 m o n t h l y a n d year-earlier
d a t a are o n a s t a t e m e n t b a l a n c e basis.
FEDERAL HOME LOAN BANKS
MORTGAGE ACTIVITY OF SAVINGS AND
LOAN ASSOCIATIONS
(In millions of dollars)
(In millions of dollars)
Advances outstanding
(end of period)
L o a n s o u t s t a n d i n g (end of period)
Loans made
Period
Period
New
home
conTotal i
struction
Home
purchase
Total
2
FHAinsured
VAguaranteed
Conventional
1945
1,913
181
1,358
5,376
196 3
1964
196 5
196 6
25,173
24,913
24,192
16,924
7,185
6,638
6,013
3,653
10,055
10,538
10,830
7,828
90,944
101,333
110,306
114,427
196 7
196 8
196 9
197 0
20,122 4 , 2 4 3
21,983
21,847
21,387
4,916
4,757
4,150
9,604
11,215
11,254
10,239
121,805 5,791
130,802 6 , 6 5 8
140,347 7 , 9 1 7
150,562 10,195
6,351
7,012
7,658
8,507
109,663
117,132
124,772
131,860
1970—Sept..
Oct...
Nov..
Dec..
2,183
2,127
1,972
2,474
388
406
355
416
1,100 146,418 9 , 2 2 4
1,032
919
968
147,570 9 , 4 4 1
148,896 9 , 2 2 6
150,560 10,195
8,115
8,230
8,336
8,507
129,079
129,903
130,794
131,860
1971—Jan...
Feb..
Mar..
Apr..
May.
June.
July.
Aug..
Sept..
1,667
1,887
2,795
3,168
3,438
4,301
4,151
4,111
3,672
307
346
521
597
620
718
686
641
628
752
818
1,143
1,306
1,451
2,109
2,087
2,225
1,951
151,503
152,665
154,430
156,574
158,747
161,440
163,951
166,342
168,464
8,673
8,766
8,922
9,128
9,299
9,580
9,784
10,034
10,232
132,357
133,089
134,320
135,886
137,563
139,587
141,575
143,456
145,102
4,696
4,894
5,145
5,269
10,473
10,810
12,123
11,560
11,885
12,273
12,592
12,852
13,130
6,960 79,288
6,683 89,756
6,398 98,763
6 , 1 5 7 103,001
1 I n c l u d e s l o a n s f o r repairs, a d d i t i o n s a n d alterations, refinancing, etc.
n o t s h o w n separately.
2 Beginning with 1958, includes shares pledged against m o r t g a g e l o a n s ;
beginning with 1966, includes junior liens a n d real estate sold o n c o n t r a c t ;
and beginning with 1967, includes d o w n w a r d structural a d j u s t m e n t for
c h a n g e in universe.
NOTE.—Federal H o m e L o a n B a n k Board d a t a .
Advances
Members'
deposits
Repayments
Total
Shortterm 1
Longterm 2
1945
278
213
195
176
19
46
196 3
196 4
196 5
196 6
5,601
5,565
5,007
3,804
4,296
5,025
4,335
2,866
4,784
5,325
5,997
6,935
2,863
2,846
3,074
5,006
1,921
2,479
2,923
1,929
1,151
1,199
1,043
1,036
196 7
196 8
196 9
197 0
1,527
2,734
5,531
3,256
4,076
4,386
1 ,861 5 , 2 5 9
1,500
9,289
1,929 10,615
3,985
4,867
8,434
3,081
401
392
855
7,534
1,432
1,382
1,041
2,331
1970—Oct..
Nov..
Dec..
134
112
224
119
126
134
10,539
10,524
10,615
3,265
3,156
3,081
7,274
7,368
7,534
1,496
1,978
2,331
1971—Jan..
Feb..
Apr..
May.
June.
July.
Aug..
Sept.
Oct..
43
27
71
151
238
309
358
327
306
331
428
1,492
1,151
264
213
183
203
303
10,326
9,926
8,269
7,267
7,241
7,338
7,514
7,637
7,640
2,924
2,697
2,226
2,322
2,397
2,544
7,403
7,230
6,043
4,945
4,844
4,794
4,702
4,793
4,766
2,750
3,093
2,828
2,376
2,812
2,844
2,874
2,111
1,696
1,528
1,522
1,450
1
Secured or unsecured l o a n s m a t u r i n g in 1 year or less.
2
Secured loans, a m o r t i z e d quarterly, having maturities of m o r e t h a n
1 year b u t n o t m o r e t h a n 10 years.
NOTE.—Federal H o m e L o a n B a n k B o a r d d a t a .
A 54
REAL ESTATE CREDIT • DECEMBER 1971
MORTGAGE DEBT OUTSTANDING
ON RESIDENTIAL PROPERTIES
MORTGAGE DEBT OUTSTANDING ON
NONFARM 1- to 4-FAMILY PROPERTIES
(In billions of dollars)
(In billions of dollars)
All residential
Financial
institutions
Governmentunderwritten
Multifamily i
End of period
Other
holders
Total
Financial
institutions
231.1
14.9
15.7
176.7
195.4
9.4
8.6
34.5
35.7
5.9
5.7
29.0
33.6
3.6
3.5
20.7
25.1
2.2
8.3
8.5
250.1
264.0
280.0
298.6
213.2
223.7
236.6
250.8
36.9
40.3
43.4
47.8
37.2
40.3
43.9
47.3
29.0
31.5
34.7
37.7
8.2
8.8
9.2
9.6
314.1
319.0
262.7
265.0
51.4
54.0
50.6
52.2
40.2
41.3
10.4
10.9
321.7
326.3
332.2
338.2
265.9
268.9
272.8
277.2
55.8
57.4
59.4
61.0
53.2
54.5
56.1
58.0
42.9
43.2
44.3
45.8
10.3
11.3
343.3
353.1
281.6
61.7
63.0
59.7
62.3
47.2
49.4
12.5
12.9
Total
24.2
24.3
211.2
1970—1
II
II I
IV
290.1
Total
FHAinsured
VAguaranteed i
Conventional
1954
1963
1964
4.3
65.9
69.2
4.1
35.0
38.3
.2
30.9
30.9
14.3
116.3
128.3
212.9
223.6
236.1
251.2
73.1
76.1
79.9
83.8
42.0
44.8
47.4
50.6
31.1
31.3
32.5
33.2
139.8
147.6
156.1
167.4
1969—1
II
Ill
IV
254.8
259.5
263.5
266.8
85.3
87.1
88.8
90.1
51.4
52.2
53.4
54.5
33.9
34.9
35.4
35.6
169.5
172.3
174.6
176.9
1970—1
11.8
18.6
182.2
197.6
1965
1966
1967?
1968*
2.2
268.5
271.7
276.0
280.2
91.6
92.1
95.1
97.2
55.6
56.1
58.1
59.9
36.0
36.0
37.0
37.3
177.1
179.9
180.7
182.5
283.6
290.8
98.3
98.4
61.0
62.8
37.3
35.6
185.3
192.4
Ill
IV
12.2
1971—1
II
i Structures of five or m o r e units.
NOTE.—Based on d a t a f r o m s a m e source as for " M o r t g a g e D e b t O u t s t a n d i n g " table (second preceding page).
GOVERNMENT-UNDERWRITTEN
Total
Other
holders
1
Includes o u t s t a n d i n g a m o u n t of V A vendee accounts held by private
investors u n d e r repurchase agreement.
NOTE.—For total debt o u t s t a n d i n g , figures are F H L B B a n d F . R .
estimates. F o r conventional, figures are derived.
Based on d a t a f r o m F H L B B , Federal H o u s i n g Admin., and Veterans
Admin.
DELINQUENCY RATES ON HOME MORTGAGES
RESIDENTIAL
LOANS MADE
(Per 100 m o r t g a g e s held or serviced)
(In millions of dollars)
L o a n s n o t in f o r e c l o s u r e
but delinquent for—
VA-guaranteed
FHA-insured
L o a n s in
foreclosure
E n d of period
Total
Projects 1
ExNew
isting
homes homes
Property
improvements2
Total3
217
4,965
20
895
171
663
192
2,846
1,705 5 , 7 6 0
1,729 4 , 3 6 6
1,369 4 , 5 1 6
1,572 4,924
1,551 5 , 5 7 0
2,667 5,447
591
583
642
1,123
1,316
3,250
634
641
623
656
693
617
2,652
1,063
1,351
268
304
273
280
521
564
497
472
247
292
248
549
999
951
1,097
1,136
1,203
1,372
1,340
1,393
1,242
295
284
318
293
290
322
338
407
320
476
450
531
467
504
629
646
710
543
187
185
202
330
354
399
304
216
290
665
8,130
8,689
7,320
7,150
8,275
9,129
11,981
1,099
1,218
257
1,608
New
homes
Existing
homes
1,023
1,821
3,405
3,774
4,072
3,442
876
980
1,143
1,430
1,493
1,311
1,774
1,618
2,259
2,343
2,579
2,131
63
57
45
50
326
341
318
316
110
117
106
109
216
224
212
207
41
32
46
46
55
21
53
60
89
297
256
303
350
417
102
90
98
98
111
195
166
205
252
306
577
146
431
2,600
1
M o n t h l y figures d o n o t reflect m o r t g a g e a m e n d m e n t s included in a n n u a l
totals.
2
N o t ordinarily secured by mortgages.
3
Includes a small a m o u n t of alteration a n d repair loans, n o t s h o w n separately; only such loans in a m o u n t s of m o r e t h a n $1,000 need be secured.
NOTE.—Federal H o u s i n g A d m i n , a n d Veterans A d m i n , d a t a . F H A - i n s u r e d
loans represent gross a m o u n t of insurance w r i t t e n ; V A - g u a r a n t e e d loans,
gross a m o u n t s of l o a n s closed. Figures d o n o t take into a c c o u n t principal
r e p a y m e n t s o n previously insured or g u a r a n t e e d loans. F o r VA-guaranteed
loans, a m o u n t s by type are derived f r o m d a t a o n n u m b e r a n d average
a m o u n t of l o a n s closed.
Total
30 d a y s
60 days
90 days
or more
1964
3.30
3.21
2.32
2.35
.60
.55
.38
.31
.34
.38
1965
1966
1967
1968
1969
3.29
3.40
3.47
3.17
3.22
2.40
2.54
2.66
2.43
2.43
.55
.54
.54
.51
.52
.34
.32
.27
.23
.27
.40
.36
.32
.26
.27
1967—1
II
Ill
IV
3.04
2.85
3.15
3.47
2.17
2.14
2.36
2.66
.56
.45
.52
.54
.31
.26
.27
.27
.38
.34
.31
.32
1968—1
II
III. . . .
IV
2.84
2.89
2.93
3.17
2.11
2.23
2.23
2.43
.49
.44
.48
.51
.24
.22
.22
.23
.32
.28
.26
.26
1969t—I
II, ,
III....
IV
2.77
2.68
2.91
3.22
2.04
2.06
2.18
2.43
.49
.41
.47
.52
.24
.21
.26
.27
.26
.25
.25
.27
1970—1
II
Ill
IV
2.96
2.83
3.10
3.64
2.14
2.10
2.26
2.67
.52
.45
.53
.61
.30
.28
.31
.36
.31
.31
.25
.33
1971—1
II
3.21
3.27
2.26
2.36
.56
.53
.39
.38
.40
.38
Mortgages
Mortgages
NOTE.—Mortgage Bankers Association of A m e r i c a d a t a f r o m
reports o n 1- to 4-family F H A - i n s u r e d , V A - g u a r a n t e e d , a n d conventional mortgages held by m o r e t h a n 400 respondents, including
m o r t g a g e b a n k e r s (chiefly), c o m m e r c i a l b a n k s , savings b a n k s , and
savings a n d loan associations.
DECEMBER 1971 • REAL ESTATE CREDIT
FEDERAL NATIONAL MORTGAGE
ASSOCIATION ACTIVITY
GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION ACTIVITY
(In millions of dollars)
(In millions of dollars)
E n d of
period
Total
FHAinsured
VAguaranteed
Purchases
Mortgage
holdings
Mortgage
commitments
Mortgage
transactions
(during
period)
Mortgage
holdings
A 55
Mortgage
transactions
(during
period)
E n d of
period
Made
during
period
Sales
Out
standing
Purchases
1,474
2,046
3,270
4,431
1,400
1,944
4,121
5,078
10,218 4 , 2 3 4
413
406
397
294
165
4,048
5,121
7,680
11,071
802
795
775
776
738
1970-Aug..
Sept..
Oct...
Nov..
Dec..
14,452
14,807
15,152
15,396
15,502
10,499
10,780
10,981
11,071
4,308
4,372
4,416
4,431
705
682
707
786
906
1,247
1,586
1971-Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
15,520
15,448
15,420
15,308
15,242
15,363
15,674
16,304
11,092
4,428
10,933
10,893
10,970
11,184
11,662
4,375
4,349
4,393
4,490
4,642
2,756
3,569
4,220
4,634
592
651
600
550
860
1,089
827
621
1,045
867
615
897
1,130
738
1970-Aug..
Sept..
Oct...
Nov..
Dec..
5,102
5,109
5,132
5,141
5,184
4,535
4,546
4,573
4,587
4,634
567
563
559
554
550
54
27
46
35
70
123
57
42
42
37
1971-Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
5,188
5,213
5,241
5,244
5,261
5,275
5,282
5,279
4,641
4,670
4,703
4,710
4,731
4,751
4,761
546
543
538
534
530
524
520
35
38
56
39
40
43
25
27
21
120
171
424
487
VAguaranteed
5,522
7,167
10,950
15,502
3,348
4,220
4,820
5,184
43
25
FHAinsured
196 7
196 8
196 9
197 0
1,171
196 7
196 8
196 9
197 0
100
Total
1,266
NOTE.—Government N a t i o n a l M o r t g a g e Assn. d a t a . D a t a p r i o r t o
Sept. 1968 relate t o Special Assistance a n d M a n a g e m e n t and L i q u i d a t i n g
portfolios of f o r m e r F N M A a n d include m o r t g a g e s subject to participation
p o o l of G o v e r n m e n t M o r t g a g e L i q u i d a t i o n T r u s t , b u t exclude conventional m o r t g a g e l o a n s acquired by f o r m e r F N M A f r o m the R F C M o r t g a g e
Co., the D e f e n s e H o m e s C o r p . , the Public H o u s i n g A d m i n . , a n d C o m m u n i t y Facilities A d m i n .
11,061 4 , 3 9 1
11,012 4 , 4 0 8
75
60
76
58
91
239
407
659
Mortgage
commitments
12
4
72
46
105
92
10
Made
during
period
Out
standing
1,736
2,697
6,630
8,047
501
1,287
3,539
5,203
718
650
535
541
600
Sales
4,834
4,849
4,805
4,930
5,203
139
80
33
457
871
1,294
576
1,219
5,092
4,865
4.380
4.381
920
5,750
5,709
5,146
NOTE.—Federal N a t i o n a l M o r t g a g e Assn. d a t a . D a t a p r i o r t o Sept.
1968 relate to s e c o n d a r y m a r k e t p o r t f o l i o of f o r m e r F N M A . M o r t g a g e
c o m m i t m e n t s m a d e during the period include s o m e multifamily and n o n profit hospital loan c o m m i t m e n t s in a d d i t i o n to 1- t o 4- family l o a n c o m mitments accepted in F N M A ' s free m a r k e t a u c t i o n system, a n d t h r o u g h
the F N M A - G N M A T a n d e m Plan ( P r o g r a m 18).
FEDERAL NATIONAL MORTGAGE ASSOCIATION
ACTIVITY UNDER FREE MARKET SYSTEM
HOME-MORTGAGE YIELDS
(In per cent)
Primary market
(conventional loans)
Secondary
market
F H A series
Period
F H L B B series
(effective rate)
New
homes
Yield
on F H A insured
new
home
loans
New
homes
Existing
homes
197 0
6.46
6.97
7.81
8.44
6.52
7.03
7.82
8.35
6.53
7.12
7.99
8.52
1970—Oct.
Nov.
Dec.
8.51
8.43
8.38
8.35
8.32
8.26
8.50
8.45
8.30
8.97
8.90
8.40
1971—Jan..
Feb..
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct.,
8.18
7.91
7.66
7.49
7.47
7.50
7.66
7.74
r
7.83
7.83
8.08
7.80
7.60
7.47
7.45
7.50
7.63
7.71
7.76
7.75
7.95
7.75
7.60
7.55
7.65
7.70
7.80
7.85
7.85
7.80
7.32
7.37
7.75
7.89
7.97
7.92
7.84
7.75
Date
of
auction
Accepted
By c o m m i t m e n t
period (in m o n t h s )
1 9 69
3-4
3-4
I n per cent
I n millions of dollars
126.9
687.2
54.6
313.9
39.8
154.0
9.4
126.6
5.4
33.4
7.32
7.43
7.45
7.54
7.53
7.57
May 10.. 1,168.0
785.7
24..
236.8
151.6
145.7
44.6
71.3
84.4
19.7
22.5
7.57
7.95
7.68
7.97
7.74
8.03
8.18
8.15
8.22
8.16
8.22
8.28
1971—Apr. 1 2 . .
26..
June
1..
14..
28..
322.4
638.2
539.0
146.6
191.2
262.6
77.1
133.7
191.8
57.8
47.3
60.3
11.6
10.2
10.4
8.05
7.91
7.92
July
12..
28..
606.0
686.2
241.1
183.4
161.8
183.3
60.3
58.2
10.4
21.1
7.98
8.07
NOTE.—Annual d a t a are averages of m o n t h l y figures. T h e
F H A d a t a are based o n o p i n i o n r e p o r t s s u b m i t t e d by field offices
o n prevailing local c o n d i t i o n s as of t h e first of the succeeding
m o n t h . Yields o n F H A - i n s u r e d m o r t g a g e s are derived f r o m
weighted averages of private s e c o n d a r y m a r k e t prices f o r Sec.
203, 30-year mortgages with m i n i m u m d o w n p a y m e n t a n d a n
assumed p r e p a y m e n t at the end of 15 years. G a p s in d a t a are
d u e to periods of a d j u s t m e n t t o changes in m a x i m u m permissible c o n t r a c t interest rates. T h e F H A series o n average c o n t r a c t
interest rates o n c o n v e n t i o n a l first m o r t g a g e s in p r i m a r y m a r k e t s
are unweighted and are r o u n d e d to the nearest 5 basis points.
T h e F H L B B effective rate series reflects fees a n d charges as well
as c o n t r a c t rates (as s h o w n in the table o n conventional firstm o r t g a g e terms, p. A-37) a n d an assumed p r e p a y m e n t at end
of 10 years
Aug. 25 .
634.6
153.5
153.5
8..
20..
445.2
437.5
188.6
193.0
188.6
193.0
7.88
7.86
Oct.
4..
18..
365.1
219.8
194.8
103.6
194.8
103.6
7.85
7.83
Nov.
1.
15 .
29 .
126.0
145.2
210.6
56.4
102.0
101.1
56.4
102.0
101.1
8.31
7.97
Sept.
12-18
Total
6.55
7.21
8.26
9.05
196 7
196 8
Implicit yield, b y
c o m m i t m e n t period
(in m o n t h s )
Mortgage amounts
7.77
7.70
7.66
NOTE.—Implicit secondary m a r k e t yields are gross—before d e d u c t i o n of 38basis-point fee paid for m o r t g a g e servicing. T h e y reflect t h e average accepted bid
yield for G o v t . - u n d e r w r i t t e n m o r t g a g e s a f t e r a d j u s t m e n t by Federal Reserve
to allow for F N M A c o m m i t m e n t fees a n d F N M A stock purchase a n d holding
requirements, assuming a p r e p a y m e n t period of 15 years f o r 30-year loans. C o m m i t m e n t s for 12-18 m o n t h s are for new h o m e s only. Beginning Oct. 18, 1971, t h e
m a t u r i t y o n new short-term c o m m i t m e n t s was extended f r o m 3 to 4 m o n t h s .
A 56
CONSUMER CREDIT • DECEMBER 1971
TOTAL CREDIT
(In millions of dollars)
Instalment
End of period
Total
Total
Automobile
paper
Other
consumer
goods
paper
Noninstalment
Repair
and modernization
loans i
Personal
loans
Total
1,322
1,009
2,719
3,087
3,203
787
845
746
1,414
1,645
1,612
518
597
845
6,768
9,924
13,173
1,821
3,002
4,507
3,367
4,795
5,329
1,580
2,127
3,337
6,430
6,686
6,968
7,755
8,234
8,850
4,889
5,346
5,810
6,408
6,970
7,307
Singlepayment
loans
Charge
accounts
Service
credit
1939
1941
1945
7,222
9,172
5,665
4,503
6,085
2,462
1,497
2,458
455
1,620
1,929
816
298
376
1950
1955
1960
21,471
38,830
56,141
14,703
28,906
42,968
6,074
13,460
17,658
4,799
7,641
11,545
1,016
2,814
1,693
3,148
10,617
196 5
196 6
196 7
196 8
196 9
197 0
90,314
97,543
102,132
113,191
122,469
126,802
71,324
77,539
80,926
89,890
98,169
101,161
28,619
30,556
30,724
34,130
36,602
35,490
18,565
20,978
22,395
24,899
27,609
29,949
3,728
3,818
3,789
3,925
4,040
4,110
20,412
22,187
24,018
26,936
29,918
31,612
18,990
20,004
23,301
24,300
25,641
7,671
7,972
8,428
9,138
9,096
9,484
1970—Oct.
Nov.
Dec.
123,866
123,915
126,802
99,959
99,790
101,161
36,518
36,011
35,490
28,152
28,378
29,949
4,126
4,133
4,110
31,163
31,268
31,612
23,907
24,125
25,641
9,313
9,345
9,484
7,656
7,757
8,850
6,938
7,023
7,307
1971—Jan..
Feb.
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct..
125,077
123,815
123,604
125,047
126,025
127,388
128,354
129,704
130,644
131,606
100,101
99,244
99,168
100,028
100,692
101,862
102,848
104,060
104,973
105,763
35,004
34,869
35,028
35,496
35,819
36,349
36,763
37,154
37,383
37,759
29,575
28,928
28,591
28,682
28,706
28,976
29,165
29,477
29,840
30,072
4,067
4,051
4,045
4,077
4,126
4,186
4,240
4,295
4,330
4,357
31,455
31,396
31,504
31,773
32,041
32,351
32,680
33,134
33,420
33,575
24,976
24,571
24,436
25,019
25,333
25,526
25,506
25,644
25,671
25,843
9,480
9,506
9,557
9,676
9,765
9,862
9,854
9,997
8,094
7,353
7,207
7,689
8,004
8,214
8,271
8,305
8,305
8,435
7,402
7,712
7,672
7,654
7,564
7,450
7,381
7,342
7,305
7,311
1
Holdings of financial institutions; holdings of retail outlets are included in "other consumer goods paper."
182
6,112
21,206
10,061
10,097
hold, family, and other personal expenditures, except real estate mortgage
loans. For back figures and description of the data, see "Consumer Credit,"
Section 16 (New) of Supplement to Banking and, Monetary Statistics, 1965,
NOTE.—Consumer credit estimates cover loans to individuals for house-
a n d p p . 9 8 3 - 1 0 0 3 o f t h e BULLETIN f o r D e c . 1 9 6 8 .
INSTALMENT CREDIT
(In millions of dollars)
Retail outlets
Financial institutions
End of period
Total
Commercial
banks
Finance
cos. 1
Credit
unions
Miscellaneous
lenders 1
Total
Automobile
dealers 2
Other
retail
outlets
1939
1941
1945
4,503
6,085
2,462
3,065
4,480
1,776
1,079
1,726
745
1,836
2,541
910
132
198
102
18
15
19
1,438
1,605
686
123
188
28
1,315
1,417
658
1950
1955
1960
14,703
28,906
42,968
11,805
24,398
36,673
10,601
5,798
5,315
11,838
15,435
590
1,678
3,923
102
281
643
2,898
4,508
6,295
287
487
359
2,611
16,672
196 5
196 6
196 7
196 8
196 9
197 0
71,324
77,539
80,926
89,890
98,169
101,161
61,533
66,724
69.490
77.457
84,982
87,064
28,962
31,319
32,700
36,952
40,305
41,895
24,282
26,091
26,734
29,098
31,734
31,123
7,324
8,255
8,972
10,178
11,594
12,500
965
1,059
1,084
1,229
1,349
1,546
9,791
10,815
11,436
12,433
13,187
14,097
315
277
285
320
336
327
9,476
10,538
11,151
12,113
12,851
13,770
1970—Oct..
Nov.
Dec.
99,959
99,790
101,161
87,243
86,820
87,064
42.010
41,740
41,895
31,309
31,081
31,123
12,422
12,438
12,500
1,502
1,561
1,546
12,716
12,970
14,097
335
332
327
12,381
12,638
13,770
1971—Jan..
Feb..
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct..
100,101
86,308
85,910
86,015
86,805
87.491
88,544
89.458
90,536
91,279
91,943
41,611
41,446
41,563
42,094
42,482
43.011
43,509
44,112
44,603
44,947
30,791
30,511
30,326
30,369
30,441
30,609
30,906
31,098
31,133
31,331
12,353
12,351
12,509
1,553
1,602
1,617
1,656
1,694
1,718
1,747
1,756
1,763
1,790
1-3,793
13,334
13,153
13,223
13,201
13,318
13,390
13,524
13,694
13,820
324
323
325
330
334
339
344
347
349
354
13,469
13,011
99,244
99,168
100,028
100,692
101,862
102,848
104,060
104,973
105,763
1
Finance companies consist of those institutions formerly classified
as sales finance, consumer finance, and other finance companies. Miscellaneous lenders include savings and loan associations and mutual
savings banks.
12,686
12.874
13,206
13,296
13,570
13,780
13.875
4,021
5,936
12,828
12,893
12,867
12,979
13,046
13,177
13,345
13,466
2
Automobile paper only; other instalment credit held by automobile
dealers is included with "other retail outlets."
See also NOTE to table above,
DECEMBER 1971 • CONSUMER CREDIT
A 57
INSTALMENT CREDIT HELD BY FINANCE
COMPANIES
INSTALMENT CREDIT HELD BY COMMERCIAL BANKS
(In millions of dollars)
(In millions of dollars)
Automobile
paper
End of
period
Purchased
Direct
Other
consumer
goods
paper
Repair
and
modernization
loans
Personal
loans
Automobile
paper
End of period
Other
consumer
goods
paper
Repair
and
modernization
loans
Personal
loans
1939
1941
1945
1,079
1,726
745
237
447
66
178
338
143
166
309
114
135
161
110
363
471
312
1939
1941
1945
1,836
2,541
910
932
1,438
202
134
194
40
151
204
62
619
705
606
1950
1955
1960
5,798
1,177
3,243
5,316
1,294
2,062
2,820
1,456
2,042
2,759
834
1,338
16,672
2,200
1,037
1,916
3,577
1950
1955
1960
5,315
11,838
15,435
3,157
7,108
7,703
692
1,448
2,553
80
42
173
1,386
3,240
5,006
196 5
196 6
196 7
196 8
196 9
197 0
28,962
31,319
32,700
36,952
40,305
41,895
10,209
11,024
10,927
12,213
12,784
12,433
5,659
5,956
6,267
7,105
7,620
7,587
4,166
4,681
5,126
7,415
8,633
2,571
2,647
2,629
2,719
2,751
2,760
6,357
7,011
7,751
8,855
9,735
10,482
196 5
196 6
196 7
196 8
196 9
197 0
24,282
26,091
26,734
29,098
31,734
31,123
9,400
9,889
9,538
10,279
11,053
9,941
4,425
5,171
5,479
5,999
6,514
6,648
224
191
154
113
106
94
10,233
10,840
11,563
12,707
14,061
14,440
1970—Oct..
Nov..
Dec..
42.010
41,740
41,895
12,628
12,824
7,730
7,654
7,587
8,286
8,299
8,633
2,785
2,779
2,760
10,385
10,380
10,482
1970—Oct.
Nov.
Dec.
31,309
31,081
31,123
10,226
10,465
9,941
6,594
6,548
6,648
94
94
94
14,156
14,213
14,440
1971- - J a n . .
Feb..
Mar..
Apr..
May.,
June.,
July. .
Aug. ,
Sept..
Oct...
41,611
41,446
41,563
42,094
42,482
43.011
43,509
44,112
44,603
44,947
7,530
7,561
7,667
7,825
7,942
8,098
8,220
8,318
8,380
8,509
8,613
8,535
8,499
8,595
8,676
2,727
2,704
2,692
2,702
2,729
2,765
2,803
2,838
2,860
2,874
10,488
10,481
10,558
10,704
10,774
10,843
10,941
11,129
11,297
11,331
1971—Jan..
Feb.,
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct..
30,791
30,511
30,326
30,369
30,441
30,609
30,906
31,098
31,133
31,331
9,754
9,672
9,674
9,781
9,810
9,918
10,037
10,077
10,077
10,177
6,605
6,493
6,363
6,280
6,236
6,224
6,230
6,249
6,268
6,306
93
93
93
98
100
101
101
103
104
105
14,339
14,253
14,196
14,210
14,295
14,366
14,538
14,669
14,684
14,743
10,601
12,433
12,253
12,165
12,147
12,268
12,361
12,484
12,614
12,753
12,831
12,932
6,060
8,821
8,931
9,074
9,235
9,301
See NOTE to first table on preceding page.
NOTE.—Finance companies consist of those institutions formerly classified as sales finance, consumer finance, and other finance companies.
NONINSTALMENT CREDIT
INSTALMENT CREDIT HELD BY OTHER
FINANCIAL LENDERS
(In millions of dollars)
(In millions of dollars)
End of period
Total
Automobile
paper
Other
consumer
goods
paper
Repair
and
modernization
loans
Personal
loans
Singlepayment
loans
Charge accounts
Service
credit
Total
End of period
Commercial
banks
Other
financial
institutions
Retail
outlets
Credit
cards1
1939
1941
1945
150
213
121
27
47
16
5
9
4
12
11
10
106
146
91
1950
1955
1960
692
1,959
4,566
159
560
1,460
40
130
297
102
313
775
391
956
2,034
1939
1941
1945
2,719
3,087
3,203
625
693
674
162
152
72
1,414
1,645
1965
1966
1967
1968
1969
1970
8,289
9,314
10,056
11,407
12,943
14,046
3,036
3,410
3,707
4,213
4,809
5,202
498
588
639
727
829
898
933
980
1,006
1,093
1,183
1,256
3,822
4,336
4,704
5,374
6,122
6,690
1950
|955
1960
6,768
9,924
13,173
,576
,635
,884
245
367
623
3,291
4,579
4,893
76
216
436
1,580
2,127
3,337
13,924
13,999
14,046
5,164
5,171
5,202
891
893
898
1,247
1,260
1,256
6,622
6,675
6,690
18,990
20,004
21,206
23,301
24,300
25,641
6,690
6,946
7,340
7,975
7,900
8,205
981
1970—Oct
Nov
Dec
196 5
196 6
196 7
196 8
196 9
197 0
1,088
1,163
1,196
1,279
5,724
5,812
5,939
6,450
6,650
6,932
706
874
1,029
1,305
1,584
1,918
4,889
5,346
5,810
6,408
6,970
7,307
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
13,906
13,953
14,126
14,342
14,568
14,924
15,043
15,326
15,543
15,665
5,143
5,148
5,215
5,292
5,372
5,510
5,548
5,659
5,746
5,787
888
889
901
914
927
952
958
977
992
999
1,247
1,254
1,260
1,277
1,297
1,320
1,336
1,354
1,366
1,378
6,628
6,662
6,750
6,859
6,972
7,142
7,201
7,336
7,439
7,501
1970—Oct.. . . 23,907
N o v . . . . 24,125
D e c . . . . 25,641
8,059
8,071
8,205
1,254
1,274
1,279
5,797
5,884
6,932
1,859
1,873
1,918
6,938
7,023
7,307
1971- - J a n . . . .
Feb....
Mar....
Apr
May...
June...
July. . .
Aug. . .
Sept...
Oct....
8,196
8,205
8,249
8,350
8,425
8,512
8,498
8,633
8,694
8,722
1,284
1,301
1,308
1,326
1,340
1,350
1,356
1,364
1,367
1,375
6,144
5,435
5,316
5,774
6,046
6,199
6,173
6,120
1,950
1,918
1,891
1,915
1,958
2,015
2,098
2,185
2,204
7,402
7,712
7,672
7,654
7,564
7,450
7,381
7,342
7,305
7,311
NOTE.—Other financial lenders consist of credit unions and miscellaneous lenders.
1
24,976
24,571
24,436
25,019
25,333
25,526
25,506
25,644
25,671
25,843
1,026
518
597
845
1,612
6,101
6,269
2,166
Service station and miscellaneous credit-card accounts and homeheating-oil accounts. Bank credit card accounts outstanding are included
in estimates of instalment credit outstanding.
See also NOTE to first table on preceding page.
A 58
CONSUMER CREDIT • DECEMBER 1971
INSTALMENT CREDIT EXTENDED AND REPAID, BY TYPE OF CREDIT
( I n millions of d o l l a r s )
Total
Automobile paper
Other consumer
goods paper
Repair and
modernization loans
Personal loans
Period
S.A.1
|
N.S.A.
S.A.1
N.S.A.
S.A.1
N.S.A.
S.A.1
N.S.A.
S.A.1
N.S.A.
Extensions
27,227
27,341
26,667
31,424
32,354
29,831
78,586
82,335
84,693
97,053
102,888
104,130
1965
1966
1967
1968
1969
1970
22,750
25,591
26,952
30,593
33,079
36,781
2,266
2,200
2,113
2,268
2,278
2,145
26,343
27,203
28,961
32,768
35,177
35,373
1970—Oc t
Nov
Dec
8,580
8,414
8,536
8,670
8,271
10,194
2,349
2,127
2,170
2,463
2,006
2,045
3,113
3,113
3,281
3,200
3.147
4,562
182
180
177
184
176
149
2,936
2,994
2,908
2,823
2,942
3,438
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
8,916
9,081
9,533
9,751
9,690
9,715
9,675
10,049
10,156
10,031
7,545
7,489
9,575
10,079
9,562
10,667
10,098
10,300
9,849
9,797
2,461
2,687
2,897
2,872
2,756
2,838
2,773
3,004
3,147
2,992
1,997
2,336
3,074
3,100
2,883
3,301
3,032
3,066
2,927
3,037
3,252
3,204
3,210
3,415
3,295
3,433
3,399
3,465
3,462
3,467
2,868
2,431
3,076
3,363
3.148
3,538
3,415
3,465
3,454
3,423
177
197
209
205
200
224
218
222
227
229
122
155
197
219
235
263
248
253
237
225
3,026
2,993
3,217
3,259
3,439
3,220
3,285
3,358
3,320
3,343
2,558
2,567
3,228
3,397
3,296
3,565
3,403
3,516
3,231
3,112
Repayments
23,543
25,404
26,499
69,957
76,120
81,306
88,089
94,609
101,138
1965.
1966.
1967.
1968.
1969.
1970.
2,116
2,110
20,518
23,178
25,535
28,089
30,369
34,441
28,018
29,882
30,943
1970—Oct..
Nov..
Dec..
8,662
8,716
8,515
8,853
8,440
8,823
2,550
2,577
2,618
2,683
2,513
2,566
3,036
3,082
2,945
3,103
2,921
2,991
179
176
175
181
169
172
1971—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
8,829
8,979
9,038
9,088
9,197
9,190
8,914
9,222
9,157
9,107
8,605
8,346
9,651
9,219
8,898
9,497
9,112
9,088
8,936
9,007
2,623
2,636
2.696
2,566
2,640
2,678
2,565
2.697
2,732
2,634
2,483
2,471
2,915
2,632
2,560
2,771
3,145
3,212
3,164
3,249
3,211
3,233
3,203
3,262
3,172
3,219
3,242
3,078
3,413
3,272
3,124
3,268
3,226
3,153
3,091
3,191
175
188
196
184
188
192
188
196
199
197
165
171
203
187
2,618
2,675
2,698
2,661
N e t c h a n g e in c r e d i t o u t s t a n d i n g
3,684
1,937
8,629
6,215
3,387
8,964
8,279
2,992
1965.
1966.
1967.
1968.
1969.
1970.
1970—Oct..
Nov..
Dec..
-302
21
1971—Jan...
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct..
87
102
495
663
493
525
761
827
999
924
-82
-220
-450
-448
-507
-521
-1,060
-162
51
201
306
116
160
208
307
415
358
-486
-135
159
468
323
530
414
391
229
376
-857
-76
860
664
1,170
986
1,212
913
790
1
I n c l u d e s a d j u s t m e n t s f o r d i f f e r e n c e s in t r a d i n g d a y s .
N e t c h a n g e s i n c r e d i t o u t s t a n d i n g a r e e q u a l t o e x t e n s i o n s less
repayments.
2
NOTE.—Estimates are based on accounting records and often
include
financing
c h a r g e s . R e n e w a l s a n d r e f i n a n c i n g of l o a n s ,
2,886
2,837
3,094
2,886
2,943
2,982
3,089
3,158
3,087
2,958
3,067
3,054
3,057
2,715
2,626
3,120
3,128
3,028
3,255
3,074
3,062
2,945
2,957
2
150
90
-29
136
115
70
77
31
336
97
226
1,571
3
7
-23
39
113
131
-63
105
344
107
-374
-647
-337
91
24
270
189
312
363
232
-43
140
50
235
170
281
133
327
291
266
286
-157
-59
108
269
268
310
329
454
286
155
3,406
2,472
-1,112
-201
186
203
194
198
202
198
2,777
2,897
2,881
2,232
2,413
1,417
2,504
2,710
2,340
168
-183
-169
1,371
23,780
25,428
27,130
29,850
32,195
33,679
2,142
2,132
2,163
2,075
- 8
46
166
84
200
196
203
290
248
- 1 6
13
21
12
32
30
26
28
32
- 6
32
49
60
54
55
35
27
2,563
1,775
1,831
2,918
2,982
1,694
p u r c h a s e s a n d s a l e s of i n s t a l m e n t p a p e r , a n d c e r t a i n o t h e r t r a n s a c t i o n s m a y i n c r e a s e t h e a m o u n t of e x t e n s i o n s a n d r e p a y m e n t s
without affecting the a m o u n t outstanding.
F o r b a c k figures a n d d e s c r i p t i o n of t h e d a t a , s e e " C o n s u m e r
C r e d i t , " S e c t i o n 16 ( N e w ) of Supplement
to Banking and
Monetary
Statistics,
1965, a n d p p . 9 8 3 - 1 0 0 3 of t h e BULLETIN f o r D e c . 1968.
DECEMBER 1971 • CONSUMER CREDIT
A 59
INSTALMENT CREDIT EXTENDED AND REPAID, BY HOLDER
(In millions of dollars)
Commercial banks
Total
Other financial
lenders
Finance companies
Retail outlets
Period
S.A.
1
N.S.A.
S.A.
1
N.S.A.
S.A.
1
N.S.A.
S.A.
1
N.S.A.
S.A.1
N.S.A.
Extensions
1965
1966
1967
1968
1969
1970
78,586
82,335
84,693
97,053
102,888
104,130
25,192
25,406
25,496
28,836
30,854
29,662
29,528
30,073
30,850
36,332
38,533
39,136
9,436
10,362
10,911
12,850
14,245
14,619
14,430
16,494
17,436
19,035
19,256
20,713
1 9 7 0 — O ct
Nov
Dec
8,580
8,414
8,536
8,670
8,271
10,194
3,276
3,159
3,326
3,301
2,885
3,390
2,371
2,300
2,240
2,387
2,342
2,795
1,221
1,184
1,187
1,187
1,150
1,206
1,712
1,771
1,783
1,795
1,894
2,803
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
8,916
9,081
9,533
9,751
9,690
9,715
9,675
10,049
10,156
10,031
7,545
7,489
9,575
10,079
9,562
10,667
10,098
10,300
9,849
9,797
3,338
3,478
3,646
3,676
3,600
3,806
3,644
3,919
3,989
3,832
2,885
2,988
3,783
3,948
3,671
4,207
3,917
4,062
3,932
3,752
2,411
2,513
2,681
2,624
2,798
2,490
2,676
2,699
2,718
2,733
1,961
2,121
2,686
2,672
2,655
2,832
2,791
2,729
2,549
2,655
1,288
1,282
1,394
1,475
1,441
1,513
1,423
1,452
1,488
1,490
1,055
1,117
1,418
1,552
1,493
1,724
1,506
1,582
1,439
1,414
1,879
1,808
1,812
1,976
1,851
1,906
1,932
1,979
1,961
1,976
1,644
1,263
1,688
1,907
1,743
1,904
1,884
1,927
1,929
1,976
Repayments
25,663
27,716
29,469
32,080
35,180
37,961
69,957
76,120
81,306
88,089
94,609
101,138
1965
1966
1967
1968
1969
1970
22,551
23,597
24,853
26,472
28,218
29,858
8,310
9,337
10,169
11,499
12,709
13,516
13,433
15,470
16,815
18,038
18,502
19,803
1970—Oc t
Nov
Dec
8,662
8,716
8,515
8,853
8,440
8,823
3,258
3,276
3,262
3,342
3,155
3,235
2.551
2.552
2,465
2,588
2,570
2,753
1,165
1,135
1,113
1,173
1,075
1,159
1,688
1,753
1,675
1,750
1,640
1,676
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
8,829
8,979
9,038
9,088
9,197
9,190
8,914
9,222
9,157
9,107
8,605
8,346
9,651
9,219
8,898
9,497
9,112
9,088
8,936
9,007
3,385
3,369
3,387
3,332
3,375
3,541
3,351
3,456
3,460
3,439
3,169
3,153
3,666
3,417
3,283
3,678
3,419
3,459
3,441
3,408
2,486
2,656
2,674
2,580
2,698
2,550
2,485
2,590
2,614
2,495
2,293
2,401
2,871
2,629
2,583
2,664
2,494
2,537
2,514
2,457
1,199
1,186
1,207
1,315
1,323
1,299
1,293
1,288
1,266
1,319
1,195
1,070
1,245
1,336
1,267
1,368
1,387
1,299
1,222
1,292
1,759
1,768
1,770
1,861
1,801
1,800
1,785
1,888
1,817
1,854
1,948
1,722
1,869
1,837
1,765
1,787
1,812
1,793
1,759
1,850
N e t c h a n g e in credit o u t s t a n d i n g
1965
1966
1967
1968
1969
1970
3,865
2,357
1,381
4,252
3,353
1,590
8,629
6,215
3,387
8,964
8,279
2,992
2
997
1,024
621
997
754
910
1,126
1,025
742
1,351
1,536
1,103
2,641
1,809
643
2,364
2,636
-611
1970—Oc t
Nov
Dec
-82
-302
21
-183
-169
1,371
18
-117
64
-41
-270
155
-180
-252
-225
-201
-228
42
56
49
74
14
75
47
24
18
108
45
254
1,127
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
87
102
495
663
493
525
761
827
999
924
-1,060
-857
-76
860
664
1,170
986
1,212
913
790
-47
109
259
344
225
265
293
463
529
393
-284
-165
117
531
388
529
498
603
491
344
-75
-143
7
44
100
-60
191
109
104
238
-332
-280
-185
43
72
168
297
192
35
198
89
96
187
160
118
214
130
164
222
171
-140
47
173
216
226
356
119
283
217
122
120
40
42
115
50
106
147
91
144
122
-304
-459
-181
70
-22
117
72
134
170
126
1
I n c l u d e s a d j u s t m e n t s f o r differences in t r a d i n g days.
2 N e t c h a n g e s in credit o u t s t a n d i n g a r e e q u a l t o extensions less rep a y m e n t s , e x c e p t in c e r t a i n m o n t h s w h e n d a t a f o r extensions a n d rep a y m e n t s h a v e b e e n a d j u s t e d t o e l i m i n a t e d u p l i c a t i o n resulting f r o m
l a r g e t r a n s f e r s of p a p e r . I n t h o s e m o n t h s t h e differences b e t w e e n extensions and repayments for some particular holders do not equal the
c h a n g e s in t h e i r o u t s t a n d i n g credit. S u c h t r a n s f e r s d o
i n s t a l m e n t credit e x t e n d e d , r e p a i d , o r o u t s t a n d i n g .
n o t affect t o t a l
NOTE.—"Other financial l e n d e r s " include credit u n i o n s a n d miscellaneous
lenders. See also NOTE t o p r e c e d i n g t a b l e a n d N o t e 1 a t b o t t o m of p. A - 5 6 .
A
6 0
INDUSTRIAL
PRODUCTION:
S.A.
•
DECEMBER
1 9 7 1
MARKET GROUPINGS
(1967 = 100)
Grouping
1967
proportion
1970
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
107.0
107.2
106.
105.3
105.9
108.9
106.1 106.8 106.2
104.5 104.9 105.0
116.1 116.0 116.0
88.2
89.6
89.3
112.4 1 1 3 . 8 1 1 0 . 7
109.0 105.3 104.0
117.2
123.1
108.3
151.4
116.1
121.2
107.9
146
115.8
120
115.8
121.1
107.9
143.6
108.5
145.2
111.4 113.9
116.4 120.7
126.0 132.1
99.4
98.6
110.7 111.7
109.0 111
113.3
116.9
129.3
93.9
113.6
111.2
113.5
112.9
112.1
128.0
112.0
,82.4
114.7
112.5
113.1 115.5
9 6 . 9 101.0
117.4 119.4
111
112.7
115.1
102.6
118.5
113.2
116.1
101.9
119.9
113.5
116.1
116.1
Oct.
Nov.
103.7
102.6
104.6
105.3
105.7
105.5
106.2
62.21 106.0 1 0 3 . 6 102.6
48.95 104.4 101.4 100.2
28.53 110.3 109.0 107.7
20.42
96.2
90.8
89.8
13.26 111.9 111.9 111.6
37.79 1 0 7 . 8 1 0 4 . 1 102.8
104.2
102.2
110.
90.3
112.1
105.4
104.6
105.0
105.5
102.9 103.0
112.8 112.9
88.9
89.3
110.9 112.5
1 0 6 . 5 106.8
104.5
102.5
112.7
88.4
112.0
107.1
103.6
114.6
88.1
112.4
103.9
115.7
87.8
113.5
107.5
102.9
100.0
88.6
122.2
108.1
110.9
104.1
124.1
110.6
117.8
112.8
127.4
111.6
117
112.2
128.6
112.2
113.7
103.2
133.9
104.6 106.5
104.5 104.9
120.6 122.6
71.8
74.3
106.3 106.4
104.1 107.5
106.5
102.5
117.6
74.0
110
107.5
108.2
107.9
124.9
76.1
108.3
108.
114.6
99.7
118.5
114.0
113
97.3
118.1
112.6
100.00 106.7
Total index
Products, total
Final products
Consumer goods
Equipment
Intermediate products
Materials
1971
1970
aver-
Consumer goods
Durable consumer goods
Automotive products
Autos
Auto parts and allied g o o d s . . . ,
7.86
2.84
1.87
.97
Home goods
Appliances, TV, and radios
Appliances and A/C
TV and home audio
Carpeting and furniture
Misc. home goods
5.02 107.6 108.3 106.6
1.41 103.4 109.
107.6
.92 122.
128.8 127.1
.49
68.2
71.3
74.5
1.08 108.4 108.
108.6
2 . 5 3 109.7 107.3 105.3
Nondurable consumer goods
Clothing
Consumer staples
Consumer foods and t o b a c c o . .
N o n f o o d staples
Consumer chemical products
Consumer paper p r o d u c t s . . .
Consumer fuel and lighting.
Residential utilities
104.8
99.9
86.6
125.6
20.67 112.5
4 . 3 2 101.2
16.34 115.4
8.37 110.6
7.98
2.64
1.91
3.43
2.25
97.1
77.6
51.
128.7
95.5
76.0
51.8
122.3
113.5 112.3 113.8
100.0 9 6 . 3
99.1
117.2 116.6 117.7
111.9 112.5 112
120.4 122.9
126.1 125.8
103.9 102.8
125.2 131.9
131.3 141.2
115.0
126.0
94.5
114.8
102.4
119.8
112.0
128.0
100.3
120.2
112.6
120.9
127.7
101.4
126.4
132.2
122.9
132.5
102.6
126.9
131.9
123.2
131.8
104.4
127.0
132.0
123.9
131.8
104.6
128.9
135.2
123.2
131.6
103.0
127.9
133.2
126.4
134.0
108.2
130.5
136.4
124.2
133.2
105.0
128.0
135.
126.5
130.9
109.9
132.5
140.6
94.6
95.9
93.9
94.6
93.3
91.7
84.6
86.7
118.2 118.7
95.6
94.0
93.6
84.2
119.8
94.2
91.5
90.6
82.9
115.0
96.0
93.4
94.3
82.2
121.7
95.0
92.4
92.4
81.3
121.5
95.1
92.4
91.2
82.1
120.5
94.4
90.9
91.5
79.5
120.2
95.0
90.9
88.8
80.1
121.3
122.7
119.7
95.6
106.0
77.5
98.9
97.9
105.3
87.4
92.4
97.2
105.5
88.6
82.0
99.0
107.0
89.1
88.8
98.0
106.6
87.2
88.0
98.2
107.1
87.3
86.6
98.4
107.6
87.3
86.6
99.6
107.6
90.5
87.7
101.5
109.9
88.4
99.9
102.2
81.7
83.7
81.2
82.9
80.0
82.6
78.1
80.4
77.5
79.8
76.5
79
76.9
79.5
77.1
80.5
77.7
81.4
77.9
82.2
110.6 111.5
113.0 112.1
110.4
112.4
112.5
111.9
111.1
110.8
111.9
113.
112.6
111.4
113.4
111.6
115.5
111.9
113.5
111.6
115.3
112.7
109.4
111.7
99.4
95.8
86.6
107.5
101.5
99.4
88.4
109.0
101.6
101.4
87.6
108.8
101.9
103.2
86.4
109.2
102.2
102
86.0
110.2
104.8
105.1
88.9
112.8
103.0
98.7
94.9
104.8
87.1
100.4
110.2
98.8
87.0
104.6
133.1
106.9
135.9
145.1
128.4
133.1
106.2
137.2
146.2
Equipment
Business equipment
Industrial equipment
Building and mining equip.. . .
Manufacturing e q u i p m e n t . . . .
Power equipment
12.74
6.77
1.45
3.85
1.47
Commercial, transit, farm e q * . . .
Commercial equipment
Transit equipment
Farm equipment
5.97
3.30
2.00
.67
Defense and space equipment
Military products
7.68
5.15
101.1
98.8
95.9
91.9
119.9
103.7
97.1
110.6 108.2
94.4
79.8
97.7
93.9
87.9
89.7
82.6
84.5
96.3
96.8
91.8
88.9
92.0
96.4
81.1
79.9
109.9
90.2
100.0
Intermediate products
Construction products
5.93
7.34
Misc. intermediate products
Materials
Durable goods materials
Consumer durable parts
Equipment parts
Durable materials nec
Nondurable goods materials
Textile, paper, and chem. mat
Nondurable materials n.e.c
Fuel and power, industrial
Supplementary groups
H o m e goods and clothing
Containers
20.91
4.75
5.41
10.75
103.4
96.5
95.1
110.5
96.2
80.4
88.0
107.6
93.6
76.9
86.6
104.5
13.99
8.58
5.41
2.89
112.5
113.0
111.5
117.0
113.4
112.6
114.7
118.2
113.3 112.1
112.6 111.8
114.7 112.7
117.8 117.6
111.7 112.1
111.2 111.7
112.5 112.7
117.8 118.6
112.0
111.9
112.3
121.1
112.7
113.2
111.9
121.0
112.8
113.7
111.3
119.7
115.5
112.3
114.8
117.5
113.4
121.1
119.7
117.
109.9
117.2
9.34
1.82
104.7
119.5
104.5
119.
101.8 102.0
120.6 117.4
103.4
119.2
102.3
119.6
102.9
108.1
106.6
113.5
108.7
117
108.0
115.5
118.2
107.1
117.2
386.8
375.1
372.5
380.9
385.9
390.2
391.6
393.0
284.1
195.7
88.3
88.9
292.1
203.3
88.7
89.0
298.5
209.5
89.2
89.9
297.4
209.6
87.9
88.5
300.4
301.3
392.6
303.2
395.2
286.4
197.0
89.5
89.
386.2
297.7
388.6
298.0
304.6
216.4
87.6
90.2
214.8
88.5
89.6
305.4
215.5
90.1
87.7
112.0 1 1 0 . 5
108.3
82.
99.0
Gross value of products
in market structure
(In billions of 1963 dollars)
Products, total
Final products
Consumer goods
Equipment
Intermediate products.
202.6
95.5
89.0
209.1
88.7
88.4
212.6 2 1 3 . 4
87.9
89.3
F o r N OTE s e e p . A - 6 3 .
* Referred to as "nonindustrial equipment" in the article published in the July 1971 BULLETIN, pp. 551-76.
88.1
90.8
Sept.
Oct.*>
DECEMBER 1971 • INDUSTRIAL PRODUCTION: S.A.
A 61
INDUSTRY GROUPINGS
(1967 = 100)
Grouping
Manufacturing
Durable
Nondurable
Mining and utilities
Mining
Utilities
1967
proportion
1970
1970
averagef
Oct.
Nov.
1971
Dec.
88.55
52.33
36.22
11.45
6.37
5.08
105.2
101.5
110.6
118.C
109.7
128.5
101.4
95.1
109.-/
121.9
112.<
134.C
100.1 ? 102.4t
93.8 1 97.3!
109.6 i 110.C
120.6 • 120.1
113.7 112.1
129.6 > 130.2
Primary and fabricated metals
Primary metals
Iron and steel, subtotal
Fabricated metal products
12.55
6.6
4.23
5.94
108.1
106.9
105.3
109.4
104.2
102.5
102.4
106.3
101.2
98.<
95.6
104.5
Machinery and allied goods
Machinery
Nonelectrical machinery
Electrical machinery
Transportation equipment
M o t o r vehicles and parts
Aerospace and misc. trans, e q . . .
Instruments
Ordnance, private and Govt
32.44
17.39
9.17
8.22
9.29
4.56
4.73
2.07
3.69
97.6
89.9
100.5
96.5
99.6
95.6
101.4 97.5
90.3
73.8
96.9
68.6
83.9
78.8
110.8 107.3
95.3
90.4
Jan.
Feb.
Mar.
Apr.
May
June
r
July
Aug.
Sept.
104 S»
99.4 [
113.C1
120.3i
105.7
138.7'
103.6>
96.6>
113.81
120.CI
106.5
137.0I
104.5' 105.0
9 8 . 2\
99.3
113.6i 113.3
120.3 115.4
106.0 I 9 6 . 8
138.4• 138.8
Oct.?
103.5R
98.1
110.9 >
119.3t
111.1
129.6 >
103.9>
98.6 I
111.7R
119.9»
110.1
132.2»
105.1
104.3
101.4
106.2
106.8 '
108.1
106.9
105.4
106.C' 105.8' 108.6 111.5
105.5 106.6 • 108.7 114.3
104.8 : 105.2 109.1 112.9
106.6 . 104.9 108.5 108.5
98.6 101.0
108.3 ' 104.2» 93.8'
81.0 - 9 2 . 3 9 6 . 3
98.2
108.1
105.3
9 9 . 0 i 6 6 . 2 81.0
88.5
108.5 110.8 108.0 > 105.7 106.3
88.4
94.9
93.2
96.7
71.7
65.4
78.0
106.5
89.3
92.4
94.8
92.4
97.4
86.8
98.5
75.8
104.9
88.5
93.0
93.4
90.1
97.1
91.1
107.7
75.2
106.5
87.9
93.5
94.2
92.3
96.3
92.6
113.0
72.9
105.3
85.5
93.0
94.0
91.1
97.1
91.3
112.2
71.2
105.5
85.7
92.7
94.2
91.4
97.4
89.5
108.4
71.4
106.7
85.2
93.8
95.3
90.9
100.2
90.9
110.2
72.3
108.0
86.0
94.4
95.2
91.6
99.2
91.7
111.7
72.4
108.5
88.8
94.7
97.4
94.9
100.2
88.5
106.7
71.0
110.9
88.8
94.5
95.6
94.1
97.3
91.1
111.6
71.5
109.1
90.0
95.1
96.0
94.5
97.8
91.7
111.8
72.4
110.5
90.2
95.8
97.0
95.6
98.7
92.2
112.8
72.4
110.5
90.1
103.2>
98.3I
110.41
.
120.2»
111.4 t
131.5
104.4t
99.1
112.1
120.6i
110.4•
133.2 :
105.7 105.6»
100.5 ; IOO.I
113.3I 113.7'
1
119. C 120.7R
108.6» 108.91
132.1 135.6 >
Durable manufactures
Lumber, clay, and glass
Lumber and products
Clay, glass, and stone products
4.44
1.65
2.79
106.3
106.3
106.3
105.3
106.8
104.5
105.0
106.4
104.1
107.5
106.8
107.9
106.9
109.7
105.3
109.8
110.8
109.2
110.8
110.3
111.1
113.0
112.5
113.3
112.3
110.0
113.7
111.0
111.0
111.1
111.2
115.4
108.7
110.4
113.1
108.8
111.1
113.9
109.4
111.2
114.3
109.5
Furniture and miscellaneous
Furniture and fixtures
Miscellaneous manufactures
2.90
1.38
1.52
108.8
99.4
117.3
108.7
100.1
116.7
105.7
96.5
114.0
104.9
95.5
113.4
105.2
94.2
115.2
107.1
96.0
117.2
105.6
95.0
115.4
109.5
98.7
119.3
109.9
97.6
121.2
111.3
100.9
120.7
113.5
99.9
126.1
111.3
99.6
122.0
112.4
101.0
122.9
112.6
Textiles, apparel, and leather
Textile mill products
Apparel products
Leather and products
6.90
2.69
3.33
.88
100.2
106.3
97.8
90.8
98.7
104.1
96.9
89.6
96.0
102.8
93.4
85.0
97.1
103.3
94.9
86.7
98.6
103.1
97.4
89.5
98.0
105.4
94.5
89.0
97.3
105.3
94.0
85.4
99.8
106.3
97.3
89.9
101.5
107.5
99.7
89.8
102.4
109.1
97.1
89.3
100.2
108.5
97.0
86.7
100.1
110.5
96.0
84.1
102.9 103.0
111.0 110.0
100.3
8 7 . 6 ' 86^2
Paper and printing
Paper and products
Printing and publishing
7.92
3.18
4.74
107.8
113.3
104.1
106.1
111.9
102.3
106.4
113.3
101.9
105.0
110.6
101.2
107.1
116.9
100.5
108.1
116.0
102.8
104.6
111.0
100.2
106.9
114.4
101.8
106.9
115.1
101.4
106.0
113.4
101.0
106.8
115.5
101.0
108.2
117.8
101.7
105.8
110.2
102.9
107.7
112.4
104.6
11.92
7.86
1.80
2.26
118.2
120.2
112.6
115.7
117.2
120.3
113.2
110.0
117.8
119.7
116.9
111.4
118.9
121.2
118.1
111.8
118.2
119.3
117.2
115.5
120.9
121.7
117.1
120.6
120.5
121.0
116.3
122.7
122.4
123.4
115.8
124.5
124.2 125.3
123.7 126.8
112.7 115.0
127.2 129.1
124.0
125.0
114.8
128.0
126.2
127.6
115.8
129.9
127.1
129.5
113.7
129.1
124.7
127.2
114.0
124.6
9.48
8.81
.67
110.8
111.7
100.0
111.7
112.3
104.4
111.9
112.7
102.3
112.5
113.5
99.5
113.9
114.6
106.6
113.1
114.1
100.1
112.2
113.8
90.3
112.9
114.1
96.9
113.6
114.6
100.3
113.7
115.4
92.1
113.8
115.2
96.6
112.8
114.0
98.2
111.1
112.0
100.3
111.1
112.0
Metal, stone, and earth minerals
Metal mining
Stone and earth minerals
1.26
.51
.75
112.0
131.3
98.8
113.0
134.3
98.6
118.6
148.5
98.4
116.4
144.7
97.3
113.6
140.1
95.6
113.6
139.0
96.3
111.6
135.1
95.6
106.5
124.7
94.2
104.6
122.6
92.4
104.9
117.3
96.4
91.6
93.5
90.2
96.8
104.8
91.4
98.0
109.7
90.0
102.0
117.9
91.2
Coal, oil, and gas
Coal
Oil and gas extraction
5.11
4.42
.69
109.2
105.8
109.7
112.3
108.7
112.9
112.6
107.9
113.4
111.0
103.6
112.3
110.6
112.3
110.3
109.3
108.8
109.3
111.4 111.4
116.2 115.5
110.6 114.3
109.6
110.2
109.6
109.9
109.4
110.0
109.2
109.4
109.2
108.9
109.4
108.8
108.0
109.7
107.7
95.6
28.5
106.2
3.91
1.17
130.8
121.0
137.6
121.9
131.9
122.1
132.5
122.4
131.5
123.0
134.9
123.6
133.6
124.3
133.8
138.3
142.0
139.7
141.5
141.6
122.4
Nondurable manufactures
Chemicals, petroleum, and
rubber....
Chemicals and products
Petroleum products
Rubber and plastics products
Foods and tobacco
Foods
Tobacco products
Mining
Utilities
Electric
Gas
F o r NOTE s e e p . A - 6 3 .
135.5
A 62
INDUSTRIAL PRODUCTION: N.S.A. • DECEMBER 1971
MARKET GROUPINGS
(1967 =
Grouping
1967
proportion
100)
1970
1970
average*>
Oct.
Nov.
1971
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.f
100.00
106.7
106.5
103.1
102.0
103.2
106.1
106.0
106.5
107.3
109.7
102.1
105.5
109.8
109.1
62.21
106.0
107.0
102.7
100.7
104.7
104.5
105.0
105.1
109.0
103.9
107.5
111.5
110.3
48.95
28.53
20.42
13.26
104.4
110.3
96.2
111.9
104.5
113.6
91.9
116.0
100.2
107.2
90.4
111.8
98.9
105.4
89.8
107.3
101.8
101.0
110.3
88.1
104.7
103.4
113.2
89.6
109.5
103.0
112.9
89.1
110.2
102.9
113.6
88.0
112.6
102.7
113.5
87.6
113.8
107.2
119.3
90.4
115.5
101.6
111.9
87.1
112.4
105.6
118.4
87.6
114.5
110.1
123.2
91.7
116.7
108.8
121.5
91.0
116.0
37.79
107.8
105.8
103.7
104.1
105.4
108.3
108.4
109.0
110.8
110.9
99.2
102.3
107.0
107.0
Durable consumer goods
Automotive products
Autos
A u t o p a r t s a n d allied g o o d s
7.86
2.84
1.87
.97
104.8
99.9
86.6
125.6
103.7
83.7
58.7
131.7
98.7
80.1
58.2
122.1
100.8
100.0
92.4
114.6
107.3
115.6
113.5
119.6
113.8
125.1
124.1
127.0
114.8
125.3
123.4
128.9
114.7
121.9
112.5
139.9
117.3
127.2
120.2
140.8
120.5
130.5
120.8
149.0
101.9
94.9
69.4
144.0
108.6
102.0
76.5
151.0
121.3
128.6
112.0
160.5
124.8
135.3
124.0
157.1
Home goods
Appliances, TV, and radios
Appliances and A / C
TV and home audio
Carpeting and furniture
Misc. h o m e goods
5.02
1.41
.92
.49
1.08
2.53
107.6
103.4
122.1
68.2
108.4
109.7
115.0
123.2
138.3
94.9
110.0
112.5
109.2
110.0
122.3
86.3
111.5
107.8
101.3
90.9
100.3
73.2
108.6
103.9
102.6
102.5
120.1
69.5
108.0
100.4
107.4
108.9
124.7
79.3
114.7
103.4
108.8
113.6
133.6
76.2
111.4
105.1
110.7
116.1
133.1
84.3
111.1
107.5
111.7
117.1
132.2
88.8
108.6
110.0
114.9
117.3
136.1
81.9
112.6
114.4
105.8
102.5
122.3
65.4
97.9
111.0
112.4
104.1
114.4
84.8
114.9
116.0
117.2
113.4
128.0
86.2
117.8
119.1
118.8
123.4
139.9
92.5
115.3
117.7
Nondurable consumer goods
Clothing
C o n s u m e r staples
Consumer foods and t o b a c c o . . . .
20.67
4.32
16.34
8.37
112.5
101.2
115.4
110.6
117.4
104.8
120.7
118.4
110.4
95.8
114.3
111.3
107.1
85.5
112.8
106.6
111.4
95.0
115.7
108.1
113.0
102.0
115.9
108.5
112.2
102.5
114.8
108.7
113.2
102.6
116.0
110.0
112.1
101.4
114.9
110.8
118.8
105.5
122.3
116.6
115.7
93.6
121.6
112.6
122.1
105.6
126.5
118.6
123.9
107.5
128.2
120.2
120.2
N o n f o o d staples
C o n s u m e r chemical p r o d u c t s . .
Consumer paper products
C o n s u m e r fuel and lighting. . .
R e s i d e n t i a l utilities
7.98
2.64
1.91
3.43
2.25
120.4
126.1
103.9
125.2
131.3
123.1
132.8
106.2
113.6
131.0
117.5
127.6
100.7
115.4
121.2
119.3
123.2
97.4
120.3
132.7
123.7
123.9
99.6
137.0
146.7
123.7
125.7
101.8
134.3
143.0
121.2
125.7
100.1
129.6
137.1
122.3
131.2
107.1
123.8
129.2
119.1
132.4
102.0
118.4
122.3
128.3
142.2
110.2
127.6
132.4
131.2
131.8
109.6
142.7
154.4
134.7
139.4
113.9
142.6
153.2
136.5
145.2
116.0
141.2
153.0
128.4
138.2
113.4
129.1
136.6
12.74
6.77
1.45
3.85
1.47
101.1
98.8
95.9
91.9
119.9
97.5
96.6
93.2
88.0
122.5
95.3
95.0
97.0
85.6
117.4
94.3
93.2
95.3
83.5
116.3
92.7
90.8
89.8
81.9
115.1
96.6
93.9
93.3
84.3
119.6
96.0
92.8
90.3
82.9
120.9
95.3
92.4
91.7
82.0
120.3
94.2
90.3
90.9
79.1
119.2
98.0
92.6
91.6
81.5
122.6
93.3
90.4
87.0
79.3
122.7
93.9
90.1
90.5
78.5
119.8
100.0
94.1
98.2
81.8
122.0
99.3
93.4
96.8
80.3
124.4
5.97
3.30
2.00
.67
103.7
110.6
94.4
97.7
98.4
109.2
81.5
95.5
95.6
106.3
79.6
90.1
95.6
103.4
85.2
88.0
94.8
101.8
87.1
83.4
99.7
105.3
91.5
96.7
99.7
104.7
91.0
100.9
98.5
105.3
88.9
93.7
98.6
106.0
89.0
90.9
104.2
112.4
93.8
94.3
96.6
112.6
75.1
81.7
98.3
110.7
82.6
83.8
106.6
115.8
92.3
103.7
106.0
113.1
95.1
103.1
7.68
5.15
87.9
89.7
82.7
84.5
82.4
83.7
82.3
82.9
80.5
82.8
78.1
80.3
77.7
80.1
76.0
78.9
76.7
79.7
77.8
81.8
76.7
80.8
77.1
81.6
77.8
82.2
77.3
81.8
5.93
7.34
110.6
113.0
115.2
116.6
110.1
113.1
105.4
108.8
103.3
105.8
109.9
109.1
111.6
109.1
115.8
110.0
118.0
110.4
118.6
113.0
112.3
112.4
111.9
116.6
116.0
117.3
115.4
116.5
Durable goods materials
Consumer durable parts
Equipment parts
D u r a b l e m a t e r i a l s n.e.c
20.91
4.75
5.41
10.75
103.4
96.5
95.1
110.5
97.2
82.3
87.7
108.6
94.0
80.3
85.8
104.2
98.0
100.4
86.7
102.7
99.8
102.9
87.8
104.4
103.2
104.6
88.9
109.8
104.2
104.5
89.0
111.8
104.1
102.0
87.0
113.7
107.2
106.4
89.4
116.6
106.3
104.5
89.4
115.6
92.1
88.3
81.7
99.1
92.0
92.0
80.1
98.0
100.4
100.1
86.9
107.3
101.9
103.5
86.7
108.8
Nondurable goods materials
Textile, p a p e r , a n d c h e m . m a t
N o n d u r a b l e materials n.e.c
Fuel and power, industrial
13.99
8.58
5.41
2.89
112.5
113.0
111.5
117.0
116.1
115.0
117.8
118.6
114.9
113.8
116.6
119.0
110.0
108.3
112.7
119.5
110.9
110.4
111.6
119.9
113.3
114.3
111.6
120.5
112.0
112.8
110.8
121.9
113.7
115.6
110.8
121.4
114.3
116.0
111.6
119.5
115.8
118.0
112.4
120.4
107.2
106.5
108.2
111.4
114.5
116.9
110.6
117.7
114.5
118.4
108.3
118.3
116.7
121.1
109.7
91A
9.34
1.82
104.7
119.5
110.3
125.9
103.0
119.5
94.0
108.6
99.1
112.6
104.9
119.2
105.9
108.1
106.9
113.8
106.9
119.6
110.6
119.1
100.2
113.0
109.3
121.2
112.7
119.5
114.8
120.7
Total index
Products, total
Final products
Consumer goods
Equipment
Intermediate products
Materials
C o n s u m e r goods
122.9
117.6
Equipment
Business equipment
Industrial equipment
Building and mining equip
Manufacturing equipment
Power equipment
Commercial, transit, f a r m eq.* . . . .
Commercial equipment
Transit equipment
Farm equipment
Defense and space equipment
Military products
I n t e r m e d i a t e products
Construction products
Misc. intermediate products
Materials
S u p p l e m e n t a r y groups
H o m e g o o d s a n d clothing
Containers
F o r NOTE s e e p . A - 6 3 .
* R e f e r r e d t o as " N o n i n d u s t r i a l e q u i p m e n t " in t h e article p u b l i s h e d in t h e July 1971 BULLETIN, p p . 5 5 1 - 7 6 .
DECEMBER 1971 • INDUSTRIAL PRODUCTION: N.S.A.
INDUSTRY
A 63
GROUPINGS
(1967 = 100)
1970
1967
proportion
1970
average*
Oct.
88.55
52.33
36.22
11.45
6.37
5.08
105.2
101.5
110.6
118.0
109.7
128.5
104.7 101.2
94.6
97.6
115.0 110.7
120.7 117.5
113.4 113.2
123.0
129.
Primary and fabricated
metals....
Primary metals
Iron and steel, subtotal
Fabricated metal products
12.55
108.1
106.9
105.3
109.4
104.4
100.7
98.7
108.6
Machinery and allied goods
Machinery
Nonelectrical machinery
Electrical machinery
Transportation equipment
M o t o r vehicles and p a r t s . . . .
Aerospace and misc. trans, eq,
Instruments
Ordnance, private and G o v t . . . .
97.6
32.44
17.39 100.5
99.6
9.17
8 22 101.4
90.3
9.29
96.9
4.56
83.9
4.73
2 . 0 7 110.8
3.69
95.3
Grouping
Manufacturing, total
Durable
Nondurable
Mining and utilities
Mining
Utilities
1971
Dec.
Jan.
Feb.
Mar.
Apr.
99.7
95.9
105.2
119.5
112.0
128.9
100.9
96.8
106.8
120.6
108.7
135.6
104.3
100.2
110.2
119.7
108.6
133
104.4
100.6
109.
119.4
109.7
131.5
101.3 102.2
99.0
97.1
96.4
94.2
106.0 105
105.7
106.6
105.2
104.7
110.0
111
110.7
108
91.9
89.3
95.4
98.8
95.8 93.3
102.2 9 7 . 7
73.
75.6
71.8
69.5
77.9
79.2
110.4 107.0
89.4
89.8
92
91.9
92.4
92.6
90.4
88.9
95.0
96.3
88.9
93.1
102.0 112.9
76.3
74.
104.8 103.4
88.4
88.9
Nov.
May
June
July
Aug.
105.0 106.0
100.4 101.7
111.7 112
117.9 117.0
110.4 110.9
127.3 124.6
108.3
102.7
116.3
120.7
111.0
132.
99.7
93.2
109.2
121.9
103.0
145.7
103.1
93.6
116.8
124.2
107.7
144.9
111.0
115.2
114.3
106.3
112.0 114.6
115.
119.8
117.1 119.1
107.7 108.8
111.1
112.6
109.0
109.5
95
87.9
90.4
104.7
90.0
76.2
62.4
105.3
95.1
96.0
94.3
97.8
95.4
118.9
72.8
102.2
86.3
94.9
95.
93.6
98.3
94.6
117.7
72.3
103.7
86.2
93.4
94.9
92.5
97.5
91.6
112.0
72.0
103.4
85.2
94.
94.8
91.4
98.6
94.2
116.9
72.4
106.9
86.2
96.7
97.0
94.2
100.2
96.1
120.5
72.6
92.2
91
92.6
77.8
Sept.
Oct.*
Durable manufactures
6.61
4.23
5.94
110
89.2
86.1
69.7
110.9
88.1
90.3
92.6
90.6
94.9
81.7
93.5
70.4
111.4
88.9
Lumber, clay, and glass
.
Lumber and products
Clay, glass, and stone products.
4.44
1.65
2.79
106.3
106.3
106.3
110.5
110.
110.4
100.9
97.0
103.2
97.7
98.
97.0
104.5
110.6
100.9
108.7
112
106.7
113.2
114.5
112.5
114.5
112.5
115.7
116.6
117.5
116.1
110.4 116.0
112.2 117.6
109.4 115.1
Furniture and miscellaneous
Furniture and fixtures
Miscellaneous manufactures
2.90
1.38
1.52
108.8
99.4
117.3
112.0 109.5 105.7
98.4
100.4 9 9 . 4
122.5 118.8 112.3
102.3
96.2
107.9
107.4
100.7
113.6
106.6
98.5
114.0
108.7
98.6
117.9
107.6
95.
118.4
112.3
99.3
124.1
104.2
86.
120.0
112.0
98.0
124.8
Textiles, apparel, and leather
Textile mill products
Apparel products
Leather and products
6.90
2.69
3.33
100.2
106.3
97.8
90.8
102.9
107.6
101.5
93.8
96.5
103.5
93.7
85.6
87.3
93.5
83.5
82.6
95.7
102.0
92.3
88.
101.8 101.7
107.6 108.2
99.4
99.4
92.7
90.4
101.6
108.5
99.3
101.3 104.6
110.4 114.0
9 7 . 4 100
89.8
87.9
96.9
89.9
75.2
104.4
114.5
100.4
88.7
Paper and printing
Paper and products
Printing and publishing
7.92
3.18
4.74
107.8
113.3
104.1
111.8
117.7
107.8
108.0
114.2
103.
99.5
102.3
97.6
101.3
115.5
91.7
105.
118.9
96.4
103.2
113.6
96.2
107.4 106.8
117.8 116.2
100.4 100.5
11.92
7.86
1.
2.26
118.2
120.2
112.6
115.7
120.4
122.7
115.2
116.5
118.7
120.2
116.1
115.4
117.1 114.7
118.7 115
116.3 112.4
112.0 115.3
119.4
118.9
113.5
125.8
119.7
119.5
112.0
126.4
105.0
104.
105.6
Nondurable manufactures
Chemicals, petroleum, and rubber...
Chemicals and products
Petroleum products
Rubber and plastics products
103.5
105.7
102.1
111.6
117.6
107.5
122.2
124.3
110.9
124.0
123.2 128.6
125.3 131.1
111.7 119.1
125.0 127.7
121.6
124.2
118.9
114.8
126.7
128.6
120.9
124.7
113.1 107.9
113.9 109.8
103.1
83.5
109.5
109.7
106.4
108.8
109.2
103.0
108.8
110.2
90.5
109.6
110.9
92.7
110.5
111.4
99.3
115.9
117.2
98.5
112.0
114.0
86.2
117.7
118.6
105.7
111.0
124.7
101.7
105.5
116.9
97.7
97.7
115.0
86.0
98.7
118.3
85.3
101.0
117.9
89.5
107.2
126.1
94.4
116.9
145.7
97.4
118.3
147.7
98.3
97.3
106.8
90.9
104.1
116.9
95.4
112.5 113.8
116.2 110.3
111.9 114.4
113.6
103.0
115.2
111.4
111.
111.4
111.0
109.1
111.3
111.8
114.7
111.3
111.2
117.6
114.1
109.4
112.4
108.9
109.2
111.6
108.8
104.4
82.7
107.8
108.6
116.5
107.4
123.2 130.8
122.1 122.4
139.3
123.0
136.7
123.6
133.6
124.3
128.0
124.2
134.6
151.3
150.0
9.48
8.81
.67
110.8 119.7
111.7 120.3
100.0 112.4
Metal, stone, and earth
minerals....
Metal mining
Stone and earth minerals
1.26
.51
.75
112.0
131.3
98.8
117.2
135.2
104.9
Coal, oil, and gas
Coal
Oil and gas extraction
5.11
.69
4.42
109.2
105.8
109.7
3.91
1.17
130.8 132.2
121.0 121.9
Foods and tobacco
Foods
Tobacco products
108.5
116.6
103.1
Mining
Utilities
Electric
Gas
NOTE.—Published groupings include some series and subtotals n o t
shown separately. A description and historical data will be available at
a later date. Figures for individual series and subtotals are published in
the monthly Business Indexes release.
A 64
BUSINESS ACTIVITY; CONSTRUCTION • DECEMBER 1 9 7 1
SELECTED BUSINESS
INDEXES
(1967= 100, except as noted)
Industrial production
Prices
Industry
Market
Period
Products
Total
Final products
Total
Total
Inter- Matemediate rials
Consumer Equip- products
goods ment
Manufacturing
Capacity
utilization
in mfg.
(1967
output
= 100)
Construction
contracts
Nonagricultural
employment—
Total 5
Total
retail
sales 3
4
Consumer
Wholesale
commodity
1952.
1953.
1954.
51.9
51.
50.8
53.3
47.9
55.1
52.0
51.5
92.8
95.5
84.1
74.1
76.3
74.4
52
54
54
79.5
80.1
80.5
88.6
87.4
87.6
1955.
1956.
1957.
1958.
1959.
58.5
61.1
61.9
57.9
64.
56.6
59.7
61
58.6
64.4
54.9
58.2
59.9
57.1
62.7
59.5
61.7
63.2
62.6
68.7
48.9
53.7
55.9
50.0
54.9
62.6
65.3
65.3
63.9
70.5
61.5
63.1
63.1
56.8
65.5
58.2
60.5
61.2
56.9
64.1
90.0
88.2
84.5
75.1
81.4
76.9
79.6
80.3
78.0
59
61
64
64
69
80.2
81.4
84.3
86.6
87.3
87.8
90.7
93.3
94.6
94.8
1960.
1961.
1962.
1963.
1964.
66.2
66.7
72.2
76.5
81.7
66.2
66.9
72.1
76.2
81.2
64.8
65.3
70.8
74.9
79.6
71.3
72.8
77.7
82.0
86.8
56.4
55.6
61.9
65.6
70.1
71.0
72.4
76.9
81.1
87.3
66.4
66.4
72.4
77.0
82.6
65.4
65.6
71.4
75.8
81.2
80.1
82.4
77.6
81.4
83.0
85.5
84.4
86.1
88.6
70
70
75
79
83
88.7
89.6
90.6
91.7
92.9
94.9
94.5
94.8
94.5
94.7
81.0
'82.1
86.1
89.4
1965.
1966.
1967.
1968.
1969.
1970.
89.2
88.1
97.9
96.8
100.0 100.0
105.7 105.8
110.7 109.7
106.7 106.0
86.8
93.0
78.7
96.1
98.6
93.0
100.0 100.0 100.0
105.8 106.6 104.7
109.0 111.1 106.1
104.4 110.3
96.1
93.0
99.2
100.0
105.7
112.0
111.9
91.0
99.8
100.0
105.7
112.4
107.8
89.1
98.3
100.0
105.7
110.5
105.2
89.0
91.9
87.9
87.7
86.5
78.1
93.2
94.8
100.0
113.2
123.7
92.3
97.1
100.0
103.1
106.7
107.3
91
97
100
108
112
116
94.5
97.2
100.0
104.2
109.8
116.3
96.6
99.8
100.0
102.5
106.5
110.4
1970—Oct..
Nov..
Dec..
103.7
102.6
104.6
103.6
102.6
104.2
101.4
100.2
102.2
109.0
107.7
110.8
90.8
89.8
90.3
111.9
111.6
112.1
104.1
102.8
105.4
101.4
100.2
102.4
74.0
115.0
130.0
132.0
106.4
106.3
106.8
117
115
117
118.1
118.5
119.1
111.0
110.9
111.0
1971— J a n . . . .
Feb....
Mar.. .
Apr
May...
June...
July.. .
Aug.. .
Sept.. .
Oct.. . .
Nov.f.
105.3
105.7
105.5
106.2
107.0
107.2
106.1
105.3
106.2
106.2
107.0
104.6
105.0
104.5
105.5
105.9
106
106.8
106.2
106.4
106.5
107.5
102.9
103.0
102.5
103.6
103.9
104.5
104.9
105.0
105.0
105.1
105.8
112.8
112.9
112.7
114.6
115.7
116.1
116.0
116.0
115.7
116.2
117.1
88.9
89.3
88.4
88.1
87.8
88.2
89.3
89.6
90.2
89.8
90.0
110.9
112.5
112.0
112.4
113.5
112.4
113.8
110.7
111.2
111.9
113.3
106.5
106.8
107.1
107.5
108.9
109.0
105.3
104.0
106.2
105.5
105.9
103.3
103.9
103.2
104.4
105.7
105.6
104.9
103.6
104.5
105.0
105.6
117.0
126.0
141.0
161.0
141.0
147.0
151.0
153.0
156.0
137.0
107.0
106.9
107.0
107.2
107.5
107.3
107.1
107.1
107.6
107.6
107.7
119
121
123
126
125
127
126
128
r
130
r
129
130
119.2
119.4
119.8
120.2
120.8
121.5
121.8
122.2
122.4
122.6
111.8
112.8
113.0
113.3
113.8
114.3
114.6
114.9
144.5
114.4
1
2
Employees only: excludes personnel in the Armed Forces.
Production workers only.
3 F.R. index based on Census Bureau figures.
4
Prices are not seasonally adjusted.
NOTE.—All series: D a t a are seasonally adjusted unless otherwise noted.
74.5
75.1
r
73.6
Capacity utilization: Based on data f r o m Federal Reserve, M c G r a w Hill Economics Department, and Department of Commerce.
Construction contracts: F. W. Dodge Co. monthly index of dollar
value of total construction contracts, including residential, nonresidential,
and heavy engineering; does not include data for Alaska and Hawaii.
Employment and payrolls: Based on Bureau of Labor Statistics d a t a ;
includes data for Alaska and Hawaii beginning with 1959.
Prices: Bureau of L a b o r Statistics data.
CONSTRUCTION CONTRACTS AND PRIVATE HOUSING PERMITS
(In millions of dollars, except as noted)
1970
Type of ownership and
type of construction
1969
1971
1970
Oct.
Nov.
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct
67,097
5,453
5,144
4,974
4,383
4,993
6,386
7,743
7,555
8,077
7,670
7,712
6,814
6,568
By type of ownership:
Public
Private 1
22,656 23,362
44,769 45,058
2,023
3,430
1,937
3,208
1,688 1,464 1,578 1,722 2,074 2 , 0 6 5 2,795 2,683 2,299 2,010 1,837
3,286 2,919 3,415 4 , 6 6 3 5,669 5,489 5,489 4,987 5,413 4,804 4,731
By type of construction:
Residential building 1
Nonresidential building
Nonbuilding
25,219 24,910 2,301
25,667 24,180 1,862
16,539 18,489 1,289
Total construction
1
Private housing units authorized.
(In thousands, S.A., A.R.)
67,425
1,299
1,324
1,521
1,947 2,045
1,701 1,693
1,497 1,235
1,631
1,711
1,041
1,487
1,635
1,768
i Because of improved collection procedures, data for 1-family homes
beginning Jan. 1968 are not strictly comparable with those for earlier
periods. To improve comparability, earlier levels may be raised by approximately 3 per cent for total and private construction, in each case,
and by 8 per cent for residential building.
3,168 3,310 3,485 3,357 3,255 3,196
2,080 ' 2 , 2 6 4 2,800 2,621 2,120 2,246
2,495 1,981 1,792 1,691 2,337 1,371
r
r
1,627 1,638 1,927 1,849 2,052 2,006 1,900 2,215
1,819 2,729
1,654 2,199
1,520 1,458
P
1,563
NOTE.—Dollar value of construction contracts as reported by the F. W .
Dodge Co. does not include data for Alaska or Hawaii. Totals of monthly
data exceed annual totals because adjustments—negative—are made into
accumulated monthly data after original figures have been published.
Private housing units authorized are Census Bureau series for 13,000
reporting areas with local building permit systems.
DECEMBER 1971 • CONSTRUCTION
A 65
VALUE OF NEW CONSTRUCTION ACTIVITY
(In millions of dollars)
Private
Public
Nonresidential
Period
Total
Buildings
Residential
Total
Total
Military
Highway
1,266
Commercial
Other
buildings 1
Other
Industrial
2,842
2,906
3,565
5,118
6,679
5,144
4,995
5,396
6,739
6,879
3,631
3,745
3,994
4,735
5,037
5,052
5,376
5,727
6,491
7,517
17,869
19,357
20,383
22,062
24.007
1,179
910
830
727
Conservation
&
Other 2
development
6,365
7,084
7,133
7,550
8,405
Total
1962 3 . . . .
1963 4 . . . .
1964
1965
1966
59,965
64,563
67,413
73,412
76,002
42,096
45,206
47,030
51,350
51,995
25,150
27,874
27,934
25,715
19,443
21,735
21,786
21,714
19,352
1967
1968
1969
1970 . . . . . .
77,503
86,626
93,347
94,265
51,967
59,021
65,384
66,147
25,568
30,565
33,200
3i,748
18,985
24,030
25,941
24,156
6,131
6,021
6,783
6,538
6,982
7,761
9,401
9,754
4,993
4,382
4,971
5,125
8,356
9,719
10,288
12,036
25,536
27,605
27,963
28,118
695
808
879
719
8,591
9,321
9,252
9,986
6,406
6,282
6,088
9,313
9,348
10,001
5,013
4,983
5,205
14,223
14,539
14,241
28,555
29,037
31,899
709
733
683
10,453
9,772
11,776
6,169
6,258
6,072
6,110
5,766
5,508
5,428
4,852
4,597
4,918
10,262
10,106
10,734
11,262
11,038
17,795
12,690
13,069
11,702
11,339
5,334
5,009
5,099
5,355
5,289
5,815
5,499
5,482
5,591
5,538
13,243
13,378
13,947
14,287
14,497
14,226
14,897
14,813
15,436
30.008
31,597
30,066
29,612
29,711
29,269
29,473
29,839
28,573
29,077
856
812
863
824
848
865
1,142
900
786
878
28,010
1970—Oct..
Nov.
Dec..
102,628 110,729
96,401
98,285
67,846
69,248
32,891
34,096
35,104
34,955
35,152
35,625
1971—Jan..
Feb..
Mar.
Apr..
May
June.
July.
Aug.
Sept.
Oct..
100,645
102,340
103,027
105,755
107,459
109,462
110,905
113,321
111,197
112,304
70,637
70,743
72,961
76,143
77,748
80,193
81,432
83,482
82,624
83,227
35,629
36,509
37,678
39,469
41,368
42,578
43,589
45,182
45,921
45,996
35,008
34,234
35,283
36,674
36,380
37,615
37,843
38,300
36,703
37,231
1 Includes religious, educational, hospital, institutional, and other buildings.
2 Sewer and water, formerly shown separately, now included in " O t h e r . "
3 Beginning July 1962, reflects inclusion of new series affecting most
private nonresidential groups.
12,861
1,959
2,043
2,075
1,620
1,566
1,676
1,756
1,702
1,614
2,150
1,609
1,570
1,460
4
Beginning 1963, reflects inclusion of new series under "Public" (for
State and local govt, activity only).
NOTE.—Census Bureau data, monthly series at seasonally adjusted
annual rates.
NEW HOUSING UNITS
(In thousands)
Units started
Private (S.A., A.R.)
Private and public
(N.S.A.)
Period
Type of structure
Region
Total
Northeast
North
Central
Mobile
home
shipments
_ (N.S.A.)
Government
underwritten
(N.S.A.)
1-
South
West
family
2- to 4family
5- or
morefamily
Total
Private
Public
Total
FHA
VA
1962
196 3
196 4
1,463
1,610
1,529
264
261
253
290
328
339
531
591
582
378
431
355
1,021
108
450
1,492
1,642
1,562
1,610
972
1,529
339
292
264
261
221
205
78
71
59
118
151
191
196 5
196 6
196 7
196 8
196 9
197 0
1,473
1,165
1,292
1,508
1,467
1,434
270
207
215
227
206
218
362
288
337
369
349
294
575
473
520
619
588
612
266
198
220
294
323
310
964
779
844
900
810
813
87
61
72
81
87
85
422
325
376
527
571
536
1,510
1,196
1,322
1,548
1,500
1,467
1,473
1,165
1,292
1,508
1,467
1,434
246
195
232
283
288
479
197
158
180
227
237
418
49
37
53
56
51
61
216
217
240
318
413
401
1970—Oct..
Nov.
Dec.
1,583
1,693
2,054
227
262
234
331
355
427
649
737
916
376
339
477
890
934
1,240
87
111
102
606
648
712
143
128
124
141
127
121
46
39
69
40
34
63
6
5
6
41
30
27
1971—Jan..
Feb.
Mar.
Apr.,
May,
June,
July
Aug.
Sept.
Oct..
1,725
1,754
1,959
1,912
1,975
238
238
257
233
271
231
303
274
218
236
320
292
442
457
362
393
401
518
408
451
724
745
803
814
855
868
879
986
855
906
435
479
457
408
487
508
586
480
467
457
946
985
1,048
1,098
1,124
1,177
1,187
1,212
1,175
1,152
110
110
121
109
111
120
137
145
154
669
659
790
705
740
703
905
901
619
792
115
105
169
204
204
197
196
203
172
184
111
102
168
201
199
194
194
205
170
37
32
40
53
49
55
52
55
57
32
27
33
45
41
46
43
46
50
39
5
5
7
8
8
9
9
9
9
25
28
36
43
41
47
45
50
53
2,000
2,229
2,258
1,948
2,050
991
NOTE.—Starts are Census Bureau series (including farm starts) except
for Govt.-underwritten, which are f r o m Federal Housing Admin, and
Veterans Admin, and represent units started, including rehabilitation
471
589
106
1,463
182
units under F H A , based on field office reports of first compliance inspections. D a t a may not add to totals because of rounding.
Mobile home shipments are as reported by Mobile Homes Manufacturers Assn.
A 66
EMPLOYMENT • DECEMBER 1971
LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT
(In t h o u s a n d s of persons, except as n o t e d )
Civilian l a b o r f o r c e (S.A.)
Total noninstitutional
population
(N.S.A.)
N o t in
labor force
(N.S.A.)
Total
labor
force
(S.A.)
Employed1
Total
Total
In nonagricultural
industries
In
agriculture
Unemployed
Unemployment
rate2
(per c e n t ;
S.A.)
196 5
196 6
1967 3
196 8
196 9
197 0
129,236
131,180
133,319
135,562
137,841
140,182
52,058
52,288
52,527
53,291
53,602
54,280
77,178
78,893
80,793
82,272
84,239
85,903
74,455
75,770
77,347
78,737
80,733
82,715
71,088
72,895
74,372
75,920
77,902
78,627
66,726
68,915
70,527
72,103
74,296
75,165
4,361
3,979
3,844
3,817
3,606
3,462
3,366
2,875
2,975
2,817
2,831
4,088
4.5
3.8
3.8
3.6
3.5
4.9
1970—Nov.
Dec.
141,091
141,301
54,705
55,137
86,512
86,622
83,473
83,609
78,550
78,463
75,197
75,055
3,353
3,408
923
146
5.9
6.2
1971—Jan..
Feb.,
Mar.
Apr.
May
June
July.
Aug.
Sept.
Oct.,
Nov.
141,500
141,670
141.885
142,088
142,285
142,482
142,685
142.886
143,104
143,321
143,517
55,872
56,017
56,286
56,308
56,331
54,698
53,877
54,433
56,220
55,968
55,802
86,873
86,334
86,405
86,665
87,028
85,948
86,626
87,087
87,347
87,500
87,868
83,897
83,384
83,475
83,783
84,178
83,132
83,829
84,312
84,598
84,783
85,172
78,864
78,537
78,475
78,698
78,961
78,443
78,941
79,197
79,525
79,845
80,022
75,451
75,208
75,079
75,140
75,503
75,149
75,574
75,782
76,169
76,476
76,629
3,413
3,329
3,396
3,558
3,458
3,294
3,367
3,415
3,356
3,369
3,393
5,033
4,847
5,000
5,085
5,217
4,689
4,888
5,115
5,073
4,938
5,150
6.0
5.8
6.0
1
I n c l u d e s s e l f - e m p l o y e d , u n p a i d family, a n d d o m e s t i c service w o r k e r s .
P e r cent of civilian l a b o r f o r c e .
3 B e g i n n i n g 1967, d a t a n o t strictly c o m p a r a b l e with p r e v i o u s d a t a .
D e s c r i p t i o n of c h a n g e s available f r o m B u r e a u of L a b o r Statistics.
2
6.1
6.2
5.6
5.8
6.1
6.0
5.8
6.0
NOTE.—Bureau of L a b o r Statistics. I n f o r m a t i o n r e l a t i n g t o p e r s o n s 16
years of age a n d o v e r is o b t a i n e d o n a s a m p l e basis. M o n t h l y d a t a r e l a t e
to the c a l e n d a r week t h a t c o n t a i n s t h e 12th d a y ; a n n u a l d a t a a r e a v e r a g e s
of m o n t h l y figures.
EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION
(In t h o u s a n d s of p e r s o n s )
Manufacturing
Period
Mining
Contract
construction
Transportation & public utilities
Trade
Finance
Service
Government
60,815
63,955
65,857
67,915
70,284
70,616
18,062
19,214
19,447
19,781
20,167
19,369
632
627
613
606
619
622
3,186
3,275
3,208
3,285
3,435
3,345
4,036
4,151
4,261
4,310
4,429
4,504
12,716
13,245
13,606
14,084
14,639
14,922
3,023
3,100
3,225
3,382
3,564
3,690
9,087
9,551
10,099
10,623
11,229
11,630
10,074
10,792
11,398
11,845
1970—Nov
Dec
69,985
70,313
18,517
18,796
624
623
3,294
3,302
4.506
4,450
14,902
14,952
3,721
3,731
11,750
11,776
12,671
12,683
1971 _ j a n
70,454
70,391
70,480
70,599
70,769
70,657
70,531
70,529
70,853
70,831
70,915
18,747
18,684
18,609
18,639
18,702
4.507
4,526
4,520
4,505
4,518
4,500
4,476
4,428
4,460
4,442
4,445
15,039
15,059
15,074
15,107
15,148
15,135
15,158
15,223
15,273
15,264
15,211
3,746
3,749
3,758
3,769
3,788
3,807
3,806
3,804
3,821
3,833
3,854
12,719
12,744
12,792
12,831
12,858
12,838
18,533
18,457
18,616
18,552
18,591
3,271
3,198
3,264
3,282
3,275
3,255
3,228
3,219
3,250
3,289
3,301
11,800
18,608
625
622
622
623
622
619
597
609
616
519
515
1970—No v
Dec
70,562
71,151
18,603
18,823
623
621
3,383
3,233
4,520
4,454
15,154
15,706
1 9 7 1 — J an
Feb
Mar
Apr
May
June
July
Aug
Sept
69,527
69,450
69,782
70,309
70,738
71,355
70,452
70,542
71,184
71,365
71,517
18,579
18,532
18,488
18,482
18,554
18,746
18,448
18,651
18,840
18,704
18,685
611
606
608
617
622
634
613
625
623
520
514
2,921
2,846
2,967
3,164
3,265
3,414
3,480
3,509
3,471
3,477
3,390
4,435
4.454
4,466
4,469
4,500
4,549
4,534
4,486
4,509
4.455
4,458
14,862
14,721
14,789
14,974
15,071
15,192
15,132
15,151
15,242
15,321
15,469
196 5
196 6
196 7
196 8
196 9
197 0
12,202
12,535
SEASONALLY ADJUSTED
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct.?
Nov. 2 5
11,809
11,841
11,843
11,858
11,895
11,921
11,946
11,962
12,812
12,049
12,843
12,855
12,924
12,949
3,706
3,712
11,738
11,717
12,835
12,885
3,709
3,715
3,735
3,758
3,780
3,837
3,867
3,865
3,829
3,825
3,839
11,611
11,667
11,758
11,867
11,953
12,050
12,040
11,994
11,986
12,032
12,037
12,799
12,909
12,971
12,978
12,993
12,933
12,338
12,008
NOT SEASONALLY ADJUSTED
Oct.P
2
Nov. '
N O T E . — B u r e a u of L a b o r S t a t i s t i c s ; d a t a i n c l u d e all f u l l - a n d p a r t time employees w h o worked during, or received pay for, the pay per i o d t h a t i n c l u d e s t h e 12th of t h e m o n t h . P r o p r i e t o r s , s e l f - e m p l o y e d
12,261
12,684
13,031
13,125
p e r s o n s , d o m e s t i c s e r v a n t s , u n p a i d f a m i l y w o r k e r s , a n d m e m b e r s of
the A r m e d F o r c e s are excluded.
B e g i n n i n g w i t h 1969, s e r i e s h a s b e e n a d j u s t e d t o M a r . 1970 b e n c h mark.
DECEMBER 1971 • EMPLOYMENT AND EARNINGS
PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING
A 67
INDUSTRIES
(In t h o u s a n d s of p e r s o n s )
Seasonally a d j u s t e d 1
Industry group
1970
N o t seasonally a d j u s t e d *
1971
1970
1971
Nov.
1
Sept.
Oct.v
N o V.P
13,515
13,459
13,506
13,374
13,738
13,612
13,608
7,630
94
509
383
502
926
7,600
93
514
385
505
930
7,623
91
517
390
511
931
7,425
116
482
378
499
973
7,695
94
520
386
513
919
7,649
93
519
390
511
909
7,669
92
515
395
514
919
1,026
1,175
1,185
1,251
260
319
1,021
1,171
1,190
1,214
261
316
1,014
1,181
1,192
1,219
260
317
993
1,213
1,198
976
264
333
1,034
1,171
1,199
1,264
260
335
1,030
1,158
1,197
1,244
261
337
1,026
1,166
1,207
1,238
261
336
5,895
1,186
67
841
1,189
535
5,885
1,185
58
842
1,189
533
5,859
1,154
56
845
1,193
531
5,883
1,172
57
849
1,201
531
5,949
1,211
73
845
1,198
538
6,043
1,306
70
847
1,202
535
5,963
1,230
67
847
1,206
530
5,939
1,197
62
854
1,210
534
674
592
115
430
266
P r i n t i n g , publishing, a n d allied industries
C h e m i c a l s and allied p r o d u c t s
P e t r o l e u m refining a n d related industries
R u b b e r a n d misc. plastic p r o d u c t s
L e a t h e r a n d leather p r o d u c t s
Nov.
981
1,229
1,183
961
263
315
Nondurable goods
Food and kindred products
Tobacco manufactures
Textile-mill p r o d u c t s
A p p a r e l a n d related p r o d u c t s
P a p e r a n d allied p r o d u c t s
NOV.P
7,384
114
485
373
496
984
Fabricated metal products
Machinery
Electrical e q u i p m e n t a n d supplies
Transportation equipment
I n s t r u m e n t s a n d related p r o d u c t s
Oct.? 3
13,279
Durable goods
O r d n a n c e a n d accessories
Lumber and wood products
F u r n i t u r e a n d fixtures
Stone, clay, a n d glass p r o d u c t s
P r i m a r y m e t a l industries
Sept.
661
582
116
458
261
664
580
116
460
260
658
580
116
460
259
678
589
115
434
268
661
581
119
462
260
666
578
117
463
259
662
577
116
465
262
D a t a a d j u s t e d t o 1970 b e n c h m a r k .
NOTE.—Bureau of L a b o r Statistics; d a t a cover p r o d u c t i o n a n d related
w o r k e r s only (full- a n d p a r t - t i m e ) w h o w o r k e d during, o r received pay for,
the pay period t h a t includes the 12th of the m o n t h .
HOURS AND EARNINGS OF PRODUCTION WORKERS IN MANUFACTURING
Average weekly e a r n i n g s 1
(dollars per w e e k ; N . S . A . )
Average hours w o r k e d 1
(per w e e k ; S.A.)
Industry group
1970
Nov.
1970
1971
Sept.
Oct.p
Nov.?
Nov.
1971
Sept.
Oct.y
INDUSTRIES
Average hourly earnings1
( d o l l a r s per h o u r ; N . S . A . )
1970
N o v.p
Nov.
1971
Sept.
Oct.f
Nov.^
Total
39.6
39.5
39.8
40.1
134.58
143.28
144.00
144.72
3.39
3.60
3.60
3.60
Durable goods
O r d n a n c e a n d accessories
Lumber and wood products
F u r n i t u r e a n d fixtures
Stone, clay, a n d glass p r o d u c t s
P r i m a r y m e t a l industries
40.0
40.4
39.8
39.3
41.1
39.6
39.7
41.7
40.1
39 4
41.4
39.5
40.3
41.7
40.6
39.6
41.8
40.1
40.7
41.5
40.7
39.9
42.1
39.8
143.16
151.07
120.78
111.56
143.85
156.81
153.20
163.41
129.68
118.00
157.13
171.83
154.71
163.05
130.88
117.68
157.03
172.70
156.26
162.66
129.20
118.08
156.61
173.05
3.57
3.73
3.05
2.81
3.50
3.98
3 83
3.90
3.21
2.95
3.75
4.35
3.82
3.91
3.20
2.92
3.73
4.35
3.83
3.91
3.19
2.93
3.72
4.37
40.1
40.6
39.7
40.0
39.9
38.5
39.3
40.5
39.6
38.5
39.7
38.7
40.2
40.7
40.0
40.5
39.8
38.9
40.5
41.2
40.1
41.0
40.4
39.2
142.66
155.09
133.60
162.81
137.48
111.64
150.42
164.02
140.80
172.82
142.80
115.14
152.31
164.43
141.50
182.45
142.40
116.33
153.03
166.04
141.80
185.54
143.67
116.82
3.54
3.82
3.34
4.01
3.42
2.87
3.77
4.04
3.52
4.42
3.57
2.96
3.77
4.04
3.52
4.45
3.56
2.96
3.76
4.03
4.51
4.46
3.53
2.95
39.0
40.4
38.4
39.7
35.3
41.7
39.1
40.5
36.6
40.4
35.4
41.9
39.2
39.9
35.5
40.8
36.0
42.0
39.4
39.9
35.2
41.0
36.3
42.3
123.17
131.54
112.81
100.80
86.02
147.55
130.75
138.24
114.53
104.75
89.82
159.08
129.30
135.20
111.87
106.19
90.47
157.78
129.96
135.60
106.25
107.38
92.09
157.73
3.15
3.24
2.93
2.52
2.43
3.53
3.31
3.38
3.03
2.58
2.53
3.77
3.29
3.38
3.04
2.59
2.52
3.73
3.29
3.39
3.01
2.60
2.53
3.72
37.5
41.3
42.8
39.5
37.1
37.4
42.1
42.9
40.0
37.3
37.4
41.4
42.2
40.3
37.8
37.8
41.6
41.8
40.4
38.1
150.75
157.29
187.05
130.61
93.37
161.36
169.66
199.45
140.94
96.68
159.75
165.60
197.16
140.48
98.89
161.03
167.62
194.50
140.07
100.08
4.02
3.79
4.34
3.29
2.51
4.28
4.03
4.66
3.48
2.62
4.26
4.00
4.65
3.46
2.63
4.26
4.01
4.62
3.45
2.62
Fabricated metal products
Machinery
Electrical e q u i p m e n t a n d supplies
Transportation equipment
I n s t r u m e n t s a n d related p r o d u c t s
Miscellaneous m a n u f a c t u r i n g i n d u s t r i e s . . .
N o n d u r a b l e goods
F o o d and kindred products
Tobacco manufactures
Textile-mill p r o d u c t s
A p p a r e l a n d related p r o d u c t s
P a p e r a n d allied p r o d u c t s
Printing, publishing, a n d allied industries.
Chemicals a n d allied p r o d u c t s
P e t r o l e u m refining a n d related industries .
R u b b e r a n d misc. plastic p r o d u c t s
L e a t h e r a n d leather p r o d u c t s
i D a t a a d j u s t e d t o 1970 b e n c h m a r k .
NOTE.—Bureau of L a b o r Statistics; d a t a are f o r p r o d u c t i o n a n d related
w o r k e r s only.
A 68
PRICES • DECEMBER 1971
CONSUMER PRICES
(1967 = 100)
Housing
Period
All
items
Food
Total
Rent
Health and recreation
Fuel
oil
and
coal
Gas
and
electricity
40.5
48.0
Homeownership
Fur- Apparel Transnishand
portaings
tion
upkeep
and
operation
81.4
79.6
1929
1933
1941
1945
51.3
38.8
44.1
53.9
48.3
30.6
38.4
50.7
53.7
59.1
76.0
54.1
57.2
58.8
196 0
196 1
196 2
196 3
196 4
88.7
89.6
90.6
91.7
92.9
88.0
89.1
89.9
91.2
92.4
90.2
90.9
91.7
92.7
93.8
91.7
92.9
94.0
95.0
95.9
86.3
86.9
87.9
89.0
90.8
89.2
91.0
91.5
93.2
92.7
98.6
99.4
99.4
99.4
99.4
196 5
196 6
196 7
196 8
196 9
197 0
94.5
97.2
100.0
104.2
109.8
116.3
94.4
99.1
100.0
103.6
108.9
114.9
94.9
97.2
100.0
104.2
110.8
118.9
96.9
98.2
100.0
102.4
105.7
110.1
92.7
96.3
100.0
105.7
116.0
128.5
94.6
97.0
100.0
103.1
105.6
110.1
1970—Oc t
Nov
Dec
118.1
118.5
119.1
115.5
114.9
115.3
121.2
121.9
122.6
111.4
111.8
112.6
131.9
132.5
133.4
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
119.2
119.4
119.8
120.2
120.8
121.5
121.8
122.2
122.4
122.6
115.5
115.9
117.0
117.8
118.2
119.2
119.8
120.0
119.1
118.9
122.7
122.6
122.4
122.5
123.2
124.0
124.5
125.1
125.5
125.9
112.9
113.6
113.9
114.4
114.7
115.2
115.4
115.8
116.1
116.4
133.4
132.3
131.2
130.9
131.6
133.0
133.5
134.4
135.1
135.7
Medical
care
Personal
care
Reading
and
recreation
Other
goods
and
services
37.0
42.1
Total
41.2
55.1
47.7
62.4
49.2
56.9
48.5
36.9
44.8
61.5
44.2
47.8
93.8
93.7
93.8
94.6
95.0
89.6
90.4
90.9
91.9
92.7
89.6
90.6
92.5
93.0
94.3
85.1
86.7
88.4
90.0
91.8
79.1
81.4
83.5
85.6
87.3
90.1
90.6
92.2
93.4
94.5
87.3
89.3
91.3
92.8
95.0
87.8
88.5
89.1
90.6
92.0
99.4
99.6
100.0
100.9
102.8
107.3
95.3
97.0
100.0
104.4
109.0
113.4
93.7
96.1
100.0
105.4
111.5
116.1
95.9
97.2
100.0
103.2
107.2
112.7
93.4
96.1
100.0
105.0
110.3
116.2
89.5
93.4
100.0
106.1
113.4
120.6
95.2
97.1
100.0
104.2
109.3
113.2
95.9
97.5
100.0
104.7
108.7
113.4
94.2
97.2
100.0
104.6
109.1
116.0
112.5
113.9
114.9
108.8
109.9
110.7
114.5
115.1
115.3
118.2
119.0
119.2
115.2
116.0
116.9
118.2
118.7
119.1
122.8
123.4
124.2
114.4
114.5
115.0
115.2
116.0
116.2
118.0
118.3
118.5
116.7
117.2
117.4
117.3
117.2
117.4
117.5
117.8
117.8
117.8
111.5
112.8
113.3
113.9
114.4
114.6
114.7
115.7
115.7
115.7
115.4
115.9
116.4
117.0
118.1
118.7
118.9
119.1
119.4
119.5
117.6
118.1
118.6
119.1
120.2
120.1
119.3
119.0
120.6
121.6
117.5
117.5
117.8
118.1
118.8
119.6
119.5
120.1
119.8
120.6
119.8
120.2
120.6
121.2
121.6
122.1
122.6
123.1
123.6
123.5
124.9
125.8
126.8
127.5
128.1
128.6
129.3
130.0
130.4
129.6
115.3
115.4
115.8
116.3
116.5
116.8
117.1
117.5
117.6
117.9
117.3
117.5
117.7
118.4
118.9
119.3
119.6
119.7
120.5
120.5
H8.9
119.1
119.4
119.7
119.9
120.3
121.2
121.8
122.4
122.6
NOTE.—Bureau of L a b o r Statistics index f o r city wage-earners a n d
clerical w o r k e r s .
WHOLESALE PRICES: SUMMARY
(1967 = 100)
Industrial commodities
Period
All
commodities
ProF a r m cessed
prod- foods
ucts
and
feeds
Total
Textiles,
etc.
H i d e s , Fuel,
etc.
etc.
Chem- Rubicals,
ber,
etc.
etc.
LumMetber, P a p e r , als,
etc.
etc.
etc.
99.0
98.4
97.7
97.0
97.4
97.2
97.6
97.6
97.1
97.3
93.0
93.3
93.7
94.5
95.2
96.4 93.9
98.8 96.8
100.0 100.0
102.6 103.2
108.5 106.5
116.7 111.4
96.9
98.0
100.0
102.8
104.9
107.5
97.5
98.4
100.0
103.7
107.7
113.3
100.8
104.5
95.9
97.7
100.0
102.2
105.2
109.9
109.1
109.4
111.9 1 0 8 . 7 1 1 6 . 8 113.1
111.1 1 0 8 . 5 1 1 6 . 2 1 1 3 . 8
108.4
108.7
114.6
115.1
108.5
108.9
111.8
111.9
108.4
109.1
109.1
109.0
108.7
108.7
109.7
109.8
109.7
109.5
109.5
112.2
117.5
123.4
124.6
124.9
126.1
130.6
134.6
134.3
131.8
131.3
109.3
109.7
109.6
109.7
109.9
109.8
110.0
110.2
110.2
110.2
110.2
118.8
119.0
120.9
121.6
121.8
122.2
123.3
124.2
124.2
124.1
124.0
109.5
109.7
109.5
109.7
109.8
110.0
110.3
110.5
109.6
110.7
110.8
112.3
112.6
112.8
112.7
112.5
112.6
112.8
113.0
113.0
113.0
113.1
94.9
94.5
94.8
94.5
94.7
97.2
96.3
98.0
96.0
94.6
89.5
91.0
91.9
92.5
92.3
95.3
94.8
94.8
94.7
95.2
99.5
97.7
98.6
98.5
99.2
90.8
91.7
92.7
90.0
90.3
96.1
97.2
96.7
96.3
93.7
101.8
100.7
99.1
97.9
98.3
103.1
99.2
96.3
96.8
95.5
95.3
91.0
91.6
93.5
95.4
98.1
95.2
96.3
95.6
95.4
1965
1966
1967
1969.
1970.
96.6
99.8
100.0
102.5
106.5
110.4
98.7
105.9
100.0
102.5
109.1
111.0
95.5
101.2
100.0
102.2
107.3
112.0
96.4
98.5
100.0
102.5
106.0
110.0
99.8
100.1
100.0
103.7
106.0
107.2
94.3
103.4
100.0
103.2
108.9
110.1
95.5
97.8
100.0
98.9
100.9
105.9
99.0
99.4
100.0
99.8
99.9
102.2
95.9
97.8
100.0
103.4
105.3
108.6
95.9
100.2
100.0
113.3
125.3
113.7
96.2
98.8
100.0
101.1
104.0
108.2
1 9 7 0 -- N o v
Dec
110.9
111.0
107.0
107.1
111.7
110.7
111.3
111.7
107.1
106.7
110.9
110.4
109.7
112.8
103.3
103.3
1971-- J a n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
111.8
112.8
113.0
113.3
113.8
114.3
114.6
114.9
114.5
114.4
114.5
108.9
113.9
113.0
113.0
114.0
116.0
113.4
113.2
110.5
111.3
112.2
111.8
113.3
113.7
113.5
114.5
114.9
116.0
115.4
114.6
114.1
114.4
112.2
112.5
112.8
113.3
113.7
113.9
114.5
115.1
115.0
115.0
114.9
106.9
106.7
106.9
107.5
107.8
108.5
109.2
109.7
109.7
109.6
109.8
111.7
112.4
112.5
114.0
114.4
114.2
114.2
114.4
114.7
114.7
115.1
113.5
113.0
112.8
113.0
114.2
114.4
114.4
114.8
115.3
114.8
114.7
103.8
104.2
104.5
104.5
104.3
104.4
104.4
104.3
104.3
104.2
103.8
1
F o r t r a n s p o r t a t i o n e q u i p m e n t , D e c . 1968 = 100.
Transporta- Miscellation
equip- neous
ment1
92.0
91.9
92.0
92.2
92.8
1960
1961
1962
1963
1964
16
QR
MaNonchinFurni- meery
ture,
tallic
and
mine q u i p - etc.
erals
ment
109.0
109.3
109.3
109.6
109.9
110.2
110.5
110.6
110.6
110.6
110.6
92.4
91.9
91.2
91.3
93.8
116.5
116.4
116.5
117.8
118.5
118.5
119.4
121.1
121.1
121.0
120.9
114.2
114.6
114.9
115.0
115.3
115.5
115.7
116.1
116.0
116.0
115.9
DECEMBER 1971 • PRICES
A 69
WHOLESALE PRICES: DETAIL
( 1 9 6 7 = 100)
1970
Group
Sept.
Farm
Oct.
107.7
104.2
101.2
95.2
87.9
116.7
117.8
108.1
121.4
103.6
89.0
119.1
102.8
95.2
119.2
107.8
108.9
115.6
115.8
88.3
120.9
93.5
96.3
119.2
92.4
107.9
115.4
127.1
87.8
121.0
92.3
97.3
118.8
88.5
109.0
foods
110.6
108.8
112.2
111.6
118.1
114.7
148.9
141.2
133.9
119.0
113.3
105.6
111.3
117.5
115.4
115.7
119.8
116.0
136.5
135.6
134.6
123.3
113.0
101.3
111.3
116.9
116.4
115.3
118.7
116.4
132.1
128.9
127.9
122.8
112.7
98.7
111.5
117.1
116.3
115.4
119.1
116.6
130.1
128.6
130.4
122.8113.0
100.3
Sept.
Pulp, paper,
and
111.8
and
and allied
and
and wood
117.7
113.4
117.1
109.0
117.2
123.1
113.4
113.5
117.1 | 117.1
1 0 9 . 0 ! 109.1
120.8
112.5
92.3
103.2
113.8
104.1
121.2
175.8
145.9
106.5
108.2
104.8
103.1
182.9
150.5
108.4
116.4
113.2
107.3
101.5
112.7
101.9
101.6
151.5
89.5
90.4
109.4
102.4
115.9
99.7
102.6
132.9
92.0
89.5
112.4
102.4
115.9
99.7
102.6
129.0
90.4
89.9
112.5
101.7
115.9
99.7
102.4
125.3
90.3
89.2
112.5
99.5
112.0
116.8
99.3
110.8
119.8
99.0
110.8
119.2
98.5
110.8
182.9
150.5
108.8
116.3
113.2
106.3
! 182.9
i 150.5
| 108.8
116.2
I 113.2
j 106.2
110.8
111.5
114.5
114.7
102.8
110.2
104.5
110.9
111.5
117.2
114.7
102.9
110.1
104.6
116.5
116.5
119.4
115.8
114.5
112.6
112.8
113.9
117.6
125.6
128.2
116.5
124.2
117.7
118.3
116.7
120.3
119.9
125.5
128.1
116.3
124.2
117.7
118.3
116.3
120.3
119.7
115.2
118.9
114.7
117.5
121.8
118.0
117.5
121.8
118.1
products:1
119.2
94.7
94.6
94.1
100.0
100.0
98.2
98.0
products:
Lumber
Millwoirk
Plywood
Other wood products.
112.2
114.1
105.7
117.1
146.8
123.7
119.1
118.9
142.7
123.7
116.2
118.8
141.9
123.7
115.9
119.5
i Retitled t o include the direct pricing of p l a s t i c c o n s t r u c t i o n p r o d u c t s ;
c o n t i n u i t y of t h e g r o u p i n d e x is n o t affected.
NOTE.—Bureau of L a b o r Statistics indexes.
and
equipment:
Furniture and household
120.2
121.7
109.7
117.8
122.0
109.6
117.8
112.4
117.2
99.5
106.1
94.2
117.0
115.6
118.2
97.6
107.6
93.8
122.1
115.6
118.2
97.6
107.5
93.8
121.9
116.4
112.8
113.9
124.3
124.1
122.6
124.3
124.1
122.6
110.9
126.4
105.9
96.0
124.3
115.0
114.9
126.9
131.2
114.5
131.5
125.7
114.9
127.1
131.2
113.6
131.5
125.7
112.8
116.2
113.8
122.5
115.2 ' 115.3
122.5 ! 122.5
110.4
117.0
109.0
105.7
110.5
112.6
116.8
111.7
106.3
112.9
112.6
116.8
111.7
106.3
112.9
products:
F l a t glass
Concrete ingredients
Concrete products
S t r u c t u r a l clay p r o d u c t s e x c l u d i n g
refractories
Refractories
Asphalt roofing
Gypsum products
Glass containers
Other nonmetallic minerals
Transportation
120.2
durables:
Household furniture
Commercial furniture
F l o o r coverings
Household appliances
H o m e electronic e q u i p m e n t
Other household durable goods. . .
mineral
116.2
117.5
107.9
114.6
equipment:
M o t o r vehicles a n d e q u i p m e n t .
Railroad equipment
100.1
98.6
products:
Agricultural machinery and e q u i p . . .
Construction machinery and equip..
Metalworking machinery and equip
General purpose machinery and
equipment
Special i n d u s t r y m a c h i n e r y a n d
equipment.
Electrical p i a c h i n e r y a n d e q u i p
Miscellaneous machinery
Nonmetallic
products:
Crude rubber
Tires and tubes
Miscellaneous rubber products
Plastic construction products (Dec.
1969 = 100)
U n s u p p o r t e d p l a s t i c film a n d s h e e t i n g
(Dec. 1 9 7 0 = 1 0 0 ) . . .
L a m i n a t e d sheets, h i g h p r e s s u r e
(Dec. 1970=100)
Lumber
112.2
92.4
102.5
113.8
104.1
power:
Industrial chemicals
Prepared paint
Paint materials
Drugs and pharmaceuticals
F a t s a n d oils, inedible
Agricultural chemicals and products.
Plastic resins a n d m a t e r i a l s
Other chemicals and products
Rubber and plastic
112.2
92.5
103.1
113.8
104.1
119.8
109.2
107.3
113.8
106.9
Coal
Coke
G a s fuels
Electric power
Crude petroleum
Petroleum products, refined.
Chemicals
106.2
97.7
98.0
112.4
104.9
106.4
products:
H i d e s a n d skins
Leather
Footwear
Other leather products.
Fuels and related products,
and metal
I r o n a n d steel
Steelmill p r o d u c t s
Nonferrous metals
Metal containers
Hardware
Plumbing equipment
Heating equipment
Fabricated structural metal products
Miscellaneous metal products
Machinery
apparel:
Cotton products
Wool products
M a n m a d e fiber textile p r o d u c t s .
Apparel
Textile h o u s e f u r n i s h i n g s
M i s c e l l a n e o u s textile p r o d u c t s . . .
Hides, skins, leather,
108.9
111.8
109.6
112.1
99.5
108.8
100.9
products:
Pulp, paper and products, excluding
building paper and board
Woodpulp
Wastepaper
Paper
Paperboard
Converted paper and p a p e r b o a r d . .
Building p a p e r a n d b o a r d
Metals
and
and allied
Nov.
feeds:
Cereal and bakery products
M e a t , p o u l t r y , a n d fish
Dairy products.
P r o c e s s e d f r u i t s a n d vegetables
Sugar and confectionery
Beverages a n d b e v e r a g e m a t e r i a l s .
A n i m a l f a t s a n d oils
C r u d e vegetable oils
R e f i n e d vegetable oils
V e g e t a b l e oil e n d p r o d u c t s
Miscellaneous processed foods
M a n u f a c t u r e d a n i m a l feeds
Textile products
Oct.
i Nov.
products:
Fresh a n d dried p r o d u c e .
Grains
Livestock
Live p o u l t r y
Plant and animal fibers. .
Fluid milk
Eggs
H a y a n d seeds
Other farm products
Processed
1971
1970
Group
Miscellaneous
products:
Toys, sporting goods, small arms,
ammunition
Tobacco products
Notions
P h o t o g r a p h i c e q u i p m e n t a n d supplies
O t h e r miscellaneous p r o d u c t s
!
A 70
NATIONAL PRODUCT AND INCOME • DECEMBER 1971
GROSS NATIONAL PRODUCT
(In billions of dollars)
1929
1933
1941
1950
1966
1967
1968 I 1969
1970
III
Gross national p r o d u c t .
Final purchases
103.1
101.4
5 5 . 6 1 2 4 . 5 2 8 4 . 8 7 4 9 . 9 7 9 3 . 9 864.2; 9 2 9 . 1 9 7 4 . 1
57.2 120.1 278.0 735.1 785.7 857. r 921.7 971.3
Personal consumption expenditures.
D u r a b l e goods
N o n d u r a b l e goods
Services
77.2
9.2
37.7
30.3
45.8
3.5
22.3
20.1
Gross private domestic investment
Fixed investment
Nonresidential
Structures
P r o d u c e r s ' durable e q u i p m e n t .
Residential structures
Nonfarm
C h a n g e in business inventories
Nonfarm
16.2
14.5
10.6
5.0
5.6
4.0
3.8
1.7
1.8
1.4
3.0
2.4
.9
1.5
.6
.5
-1.6
-1.4
17.9
13.4
9.5
2.9
6.6
3.9
3.7
4.5
4.0
Net exports of goods and services.
Exports
Imports
1.1
7.0
5.9
.4
2.4
2.0
1.3
5.9
4.6
Government purchases of goods and services.
Federal
N a t i o n a l defense
Other
State and local
8.5
1.3
8.0
2.0
24.8
16.9
13.8
3.1
7.9
Gross national product in constant (1958)
dollars
7.2
IV
5.2
46.2
41.0
2.5
50.6
48.1
2.0
55.6!
53.6
3.6
62.9
59.3
660.9
100.8
279.
280.4
672.5
104.7
282.0
285.7
137.3
133.6\
37.1
63.7
32.8[
32.2
3.7
3.3
143.8
140.6
104.3
37.9|
66.3
36.4
35.7!
3.2
3.0
152.4
146.7
107.0
38.2
68.8
39.7
39.
5.7
5.2
153.6
152.5
109.3
39.1
70.1
43.3
42.7
1.1
.3
2.7
63.2
60.5
4.0
63.7
59.7
4.2
66.1
61.9
-.5
66.4
66.9
.5
68.9
68.4
228.2
96. 7 j
73.0
23.7j
131.5
230.2
95.7
71.8
23.9
134.5
234.2
97.4
70.8
26.6
136.8
729.7,
738.4
745.5
3 7 . 9 1 5 6 . 8 1 8 0 . 1 199.6| 2 0 9 . 7 2 1 9 . 4 2 2 0 . 1 2 2 3 . 7
77.8
18.4
90.7
99.2
97.2
96.1
98.8
95.9
14.1 6 0 . 7
12 A 7 8 . 3
7 8 . 4 75.4! 7 4 . 2
73.2
17.1
18.4 20.5
4.3
20.7 21.9| 21.9
22.7
1 9 . 5 7 9 . 0 8 9 . 4 100.8 110.6 122.2 1 2 4 . 0 127.9
203.6 141.5 263.7 355.3 658.1 675.2
NOTE.—Dept. of C o m m e r c e estimates. Quarterly d a t a are seasonally
a d j u s t e d totals at a n n u a l rates. F o r back d a t a a n d explanation of series,
706.6 724.7 720.0
723.3 715.9
see the Survey of Current Business, July 1968, July 1969, July 1970, July
1971, and Supplement, Aug. 1966.
NATIONAL INCOME
(In billions of dollars)
1970
1929
1933
1941
1950
1966
1967
1968
1969
1970
Item
III
IV
National income
86.8
40.3
104.2
241.1
620.6 653.6 711.1 763.7
795.9 802.2
802.1
828.3
Compensation of employees
51.1
29.5
64.8
154.6
435.5 467.2 514.6 565.5
601.9 606.5
609.3
627.9
Wages and salaries
Private
Military
G o v e r n m e n t civilian
50.4
45.5
.3
4.6
29.0
23.9
.3
4.9
62.1
51.9
1.9
8.3
146.8
124.4
5.0
17.4
394.5 423.1 464.9 509.6
316.8 337.3 369.2 405.5
16.2
14.6
17.9
19.0
69.5
77.8
63.1
85.1
541.4 545.2
426.6 429.4
19.2
19.4
95.5 96.6
547.2
429.9
18.6
98.6
562.3
441.2
19.2
101.8
Rental income of persons
C o r p o r a t e profits and inventory
adjustment
Profits before tax
Profits tax liability
Profits after tax
Dividends
Undistributed profits
I n v e n t o r y valuation a d j u s t m e n t
Net interest
.5
2.7
7.8
41.0
44.2
49.7
56.0
60.5
61.3
62.1
65.7
.1
.6
.1
.4
2.0
.7
4.0
3.8
20.3
20.7
21.9
22.3
24.3
25.4
27.8
28.2
29.6
30.8
30.1
31.2
30.1
32.0
33.1
32.6
5.9
3.3
2.6
17.5
11.1
6.4
37.5
24.0
13.5
61.3
45.2
16.
62.1
47.3
14.8
64.2
49.5
14.7
67.0
50.3
16.8
66.9
51.0
15
66.0
51.4
14.5
65.9
51.5
14.4
66.0
51.2
14.!
5.4
Proprietors' income
Business and professional
Farm
.7
15.1
9.0
6.2
Supplements to wages and salaries
E m p l o y e r c o n t r i b u t i o n s f o r social insurance
O t h e r labor income
2.0
3.5
9.4
20.0
21.1
21.2
22.6
23.3
23.4
23.7
23.8
10.5
-1.2
15.2
37.7
82.4
78.7
84.3
78.6
70.8
73.0
69.0
75.5
10.0
1.4
8.6
5.8
2.8
1.0
.5
.4
2.0
-1.6
17.7
7.6
10.1
4.4
5.7
42.6
17.8
24.9
8.8
84.2
34.3
49.9
20.8
29.
79.8
33.2
46.6
21.4
25.3
87.6
39.9
47.8
23.6
24.2
84.2
39.7
44.5
24.4
20.0
75.4
34
41.2
25.0
16.2
78.5
35.6
42.9
25.2
17.7
71.6
32.3
39.2
25.0
14.3
79.1
36.2
42.9
25.6
17.3
.5
-2.1
-2.5
-5.0
-1.1
-3.3
-5.5
-4.5
-5.5
-2.6
-3.5
4.7
4.1
3.2
2.0
24.4
26.9
29.9
33.0
33.4
34.2
35.0
valuation
16.0
NOTE.—Dept. of C o m m e r c e estimates. Quarterly d a t a are seasonally
a d j u s t e d totals at a n n u a l rates. See also NOTE to table above.
III
644.6
97.6
272.0
275. Oj
100.8\
8.2
5.3
43.4
38.1
II
624.7
84.9
270.9
268.9
54.1 121.4 116.6 126.0 137.8 135.3 138.6
47.3 106.6 108.4 118.9 130.4\ 132.5 133.5
81.6
83.3
27.9
88.8
98.6 102.1 104.8
28.5
28.0
9.2
30.3 34.5
36.8
37.3
53.1
55.3: 5 8 . 5 6 4 . 1
18.7
65.4
67.5
19.4 25.0 25.1
30.1
31.8
30.4 28.7
18.6 2 4 . 5 2 4 . 5 2 9 . 5
31.2 29.7 28.
14.8
6.8
7.1
2.8
7.4
5.
7.5;
15.0
6.0
6.9
2.5
7.3
4.7
12.0
I
983.5 9 8 8 . 4 1 , 0 2 0 . 8 1 , 0 4 3 . 1 1060.8
978.
984.7 1 , 0 1 7 . 6 7 , 0 3 7 . 4 1059.7
8 0 . 6 1 9 1 . 0 4 6 6 . 3 4 9 2 . 1 536.2| 5 7 9 . 6 6 1 5 . 8 6 2 0 . 9
9.6
73.1
84.0 89.9
30.5 70.8
88.6 90.4
42.9
9 8 . 1 2 0 6 . 9 2 1 5 . 0 230. 2 4 7 . 6 2 6 4 . 7 2 6 5 . 5
28.1 6 2 . 4 188.6 2 0 4 . 0 2 2 1 . 3 242
262.5 265.0
1.8
13.8
1971
1970
-1.
21.4
DECEMBER 1971 a NATIONAL PRODUCT AND INCOME
A 71
RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME AND SAVING
(In billions of dollars)
1929
1941
1950
1966
1967
1970
1968
1969
1971
1970
II
Gross national p r o d u c t .
Less:
Plus:
103.1
Capital c o n s u m p t i o n allowances
Indirect business tax a n d n o n t a x liability
Business t r a n s f e r p a y m e n t s
Statistical discrepancy
Subsidies less current surplus of gove r n m e n t enterprises
55.6 124.5
7.9
7.0
8.2
7.0
.6
.7
7.1
.7
.6
11.3
.5
.4
284.8 749.9 793.9 864.2 929.1 974.1 983.5
988.411,020.8 1 , 0 4 3 . 1
1060.8
63.9
68.9
74.5
81.
87.6
88.2
89.8
95.6
97.3
99.5
23.3 65.7
.8
3.0
1.5 - 1 . 0
70.4
3
-.7
78.6
3.4
-2.7
85.7
3.7
-4.1
92.9
3.9
-4.5
94.2
4.0
-3.2
95.8
4.1
-1.6
99.3
4.2
-4.9
101.7
4.2
-4.0
105.6
4.3
-2.4
1.4
.7
1.7
18.3
.2
.1
-.1
III
1.
1.9
1.7
1.6
.7
86.8
4 0 . 3 104.2 241.1 620.6 653.6 711.1 763.7 795.9 802.2
802.1
828.3
844.5
854.6
10.5
.2
-1.2
.3
15.2
2.8
37.7
6.9
69.0
58.5
75.5
63.9
78.3
65.0
77.2
66.2
1.5
2.6
14.3
2.5
5
.6
1.6
2.0
.7
2.2
4.4
.5
7.2
8.8
.8
85.9
47.0
2.6
1.5
E q u a l s : Disposable personal income
83.3
45.5
92.7 206.9 511.9 546.3 591.0 634.2
Less:
79.1
77.2
1.5
46.5
45.
.5
81.7
80.6
.9
E q u a l s : National income
Less:
Plus:
C o r p o r a t e profits a n d inventory valuation a d j u s t m e n t
C o n t r i b u t i o n s f o r social i n s u r a n c e . . .
Excess of wage accruals over disbursements
G o v e r n m e n t transfer p a y m e n t s
N e t interest paid by g o v e r n m e n t a n d
consumers
Dividends
Business t r a n s f e r p a y m e n t s
E q u a l s : Personal income
Less:
Personal tax a n d n o n t a x p a y m e n t s . . .
Personal outlays
Personal c o n s u m p t i o n expenditures
C o n s u m e r interest p a y m e n t s
Personal t r a n s f e r p a y m e n t s t o foreigners
Disposable personal income in constant (1958)
dollars
82.4
38.0
78.7
42.4
84.3
47.
78.6
54.0
70.8
57.6
73.0
58.4
48.7
56.1
62.2
75.6
77.2
80.7
83.7
92.2
92.5
23.6
21.4
3
26.1
23.6
3.4
29.0
24.4
3.7
31.7
25.0
32.2
25.2
4.0
32.4
25.0
4.1
32.0
25.6
4.2
31.7
25.4
4.2
32.4
25.7
4.3
809.8
816.7
834.3
854.8
866.1
113.5
115.2
112.7
114.0
116.9
696.2
701.5
721.6
740.8
749.2
643.0
624.7
17.4
663.2
644.6
17.7
679.9
660.9
17.9
691.5
672.5
18.0
-.4
22.2
20.8
3.0
96.0 227.6 587.2 629.3 688.9 750.3
3.3
20.7
75.4
83.0
97.9
116.2
3.9
803.6
115.9
687.8
193.9 4 7 9 . 3 5 0 6 . 0 5 5 1 . 2 5 9 6 . 3 6 3 3 . 7 6 3 8 . 9
191.0 4 6 6 . 3 4 9 2 . 1 5 3 6 . 2 5 7 9 . 6 615.
620.9
2.4
12.4
14.3
15.
16.9
17.1
13.2
.3
.2
.2
.5
4.2
E q u a l s : Personal saving.
2.3
-.9
11.0
13.1
.6
32.5
.9
.7
40.4
39.8
.9
.9
.9
.9
1.0
1.0
37.9
54.1
57.4
58.5
58.4
60.9
57.7
536.0 532.5
542.7
551.8
553.2
Aug.
Sept.
Oct.?
150.6 112.2 190.3 249.6 458.9 477.5 499.0 513.5 531.5
NOTE.—Dept. of C o m m e r c e estimates. Quarterly d a t a are seasonally
adjusted totals at a n n u a l rates. See also NOTE to table opposite.
PERSONAL INCOME
(In billions of dollars)
1970
Item
1969
1971
1970
Oct.
Nov.
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
July
Total personal income
750.3
803.6
813.6
815.7
820.9
830.0 833.2
839.7 844.4
850.0
870.1 859.2
867.6
871.5
872.3
W a g e and salary disbursements
Commodity-producing industries. .
Manufacturing only
Distributive industries
Service industries
Government
509.6
197.4
157.6
120.0
88.1
104.1
541.4
200.7
158.3
129.1
96.7
114.8
544.2
196.6
153.8
131.9
98.8
116.8
545.9
196.6
153.2
132.2
99.8
117.3
551.5
202.1
158.4
131.4
100.4
117.7
559.2
202.8
159.4
134.2
101.9
120.3
566.1
204.3
160.2
136.8
103.3
121.6
569.0
205.4
160.6
137.6
103.9
122.1
573.3
207.1
162.0
138.7
105.0
122.6
574.8
207.5
162.4
138.6
105.7
123.0
580.9
206.5
161.4
140.5
107.4
126.6
581.4
207.9
162.4
141.0
107.7
124.7
582.7
208.6
163.6
141.1
108.1
124.9
561.5
202.5
159.2
135.4
102.4
121.2
574.7
206.2
161.4
138.6
106.3
123.6
Other labor income
28.2
30.8
31.7
32.0
32.2
32.4
32.6
32.8
33.1
33.4
33.7
33.9
34.1
34.3
34.4
Proprietors' income
Business and professional
Farm
67.1
50.3
16.8
66.8
51.0
15.8
65.7
51.5
14.2
65.9
51.4
14.5
66.1
51.5
14.6
65.9
51.2
14.7
65.9
51.1
14.8
66.2
51.3
14.9
66.5
51.4
15.1
66.7
51.5
15.2
66.9
51.6
15.3
67.8
51.7
16.1
68.8
51.8
17.0
69.7
51.9
17.8
69.6
52.0
17.6
Rental income
22.6
23.3
23.5
23.7
23.8
23.9
23.5
24.0
24.1
24.2
24.3
24.4
24.5
24.5
24.5
Dividends
24.4
25.0
25.4
25.5
23.9
25.6
25.7
25.5
25.5
25.6
25.2
25.6
25.7
25.7
25.7
P e r s o n a l interest i n c o m e
58.8
64.7
66.5
66.7
66.8
66.9
67.0
67.0
67.3
67.5
67.5
68.1
68.7
69.5
69.5
Transfer payments
65.9
79.6
84.7
84.5
85.1
86.8
87.8
89.1
89.8
90.5
109.0
96.2
96.5
97.9
97.5
30.7
30.8
31.1
31.1
31.3
31.4
31.5
31.7
31.7
31.8
818.0 822.5
21.7 21.9
827.9
22.1
848.0 836.4
22.1 22.9
843.9
23.7
846.9
24.6
847.9
24.4
Less: P e r s o n a l c o n t r i b u t i o n s f o r social
insurance
Nonagricultural income
Agricultural income
26.3
28.0
28.2
28.3
28.6
727.7
22.6
781.4
22.2
792.5
21.1
795.0
20.7
800.5
20.4
NOTE.—Dept. of C o m m e r c e estimates. M o n t h l y d a t a are seasonally
a d j u s t e d totals at a n n u a l rates. See also NOTE t o table opposite.
808.7 811.6
21.3 21.5
A 72
FLOW OF FUNDS • DECEMBER 1971
SUMMARY OF FUNDS RAISED AND ADVANCED IN U.S. CREDIT MARKETS
(Seasonally adjusted annual rates; in billions of dollars)
1969
Transaction category, or sector
1966
1967
1968
1969
1970
1971
1970
II
III
IV
I
IV
III
II
1
II
Funds raised, by type and sector
1
Total funds raised
by nonfinancial sectors
68.5
83.5
96.9
90.4
97.5
93.6
88.4
86.8
81.4
103.7
94.6
110.6
112.5
175.7
1
2
3
4
U.S. Government
Public debt securities
Budget agency issues
3.5
2.3
1.2
13.0
8.9
4.1
13.4
10.3
3.1
-3.6
-1.3
-2.4
12.8
12.9
-.1
-9.5
-8.8
-.7
-.7
4.9
-5.6
1.2
4.9
-3.7
3.0
3.5
-.5
16.0
18.1
-2.0
12.2
11.4
.8
20.0
18.5
1.5
-1.6
1.4
-2.9
47.7
48.0
-.2
2
3
4
64.9
.9
64.0
39.0
5.7
11.0
22.3
11.4
3.1
5.7
2.1
70.5
2.4
68.1
46.6
8.7
15.9
22.0
11.6
3.6
4.7
2.1
83.5
-.7
84.2
50.9
9.6
14.0
27.3
15.2
3.5
6.6
2.1
94.1
4.8
89.3
49.1
8.1
13.1
27.9
15.7
4.8
5.5
1.9
84.7
6.8
77.9
58.8
11.8
21.1
25.8
12.8
5.9
5.4
1.8
103.0
3.6
99.5
51.5
9.4
13.3
28.8
16.6
4.7
5.1
2.3
89.1
6.0
83.2
45.2
5.6
12.1
27.5
15.7
4.8
5.3
1.8
85.7
9.2
76.4
42.5
4.7
11.1
26.7
13.9
5.6
5.8
1.5
78.3
5.9
72.4
45.6
8.9
15.0
21.7
10.7
4.6
4.8
1.5
87.7
6.0
81.7
54.6
10.2
22.4
22.0
11.1
5.4
4.2
1.4
82.4
5.4
77.1
60.0
8.9
22.2
28.9
15.2
6.5
5.2
2.1
90.6
9.9
80.7
74.7
19.3
24.8
30.7
14.2
6.9
7.5
2.1
114.0
9.2
104.8
82.4
25.6
25.0
31.8
15.0
7.3
7.3
2.2
128.0
16.9
111.1
84.5
16.3
23.2
45.0
24.7
10.2
9.0
1.2
5
6
7
8
9
10
11
12
13
14
15
25.0
10.3
7.2
1.0
6.4
21.6
9.6
4.6
2.1
5.2
33.3
13.4
11.1
1.6
7.3
40.2
15.7
9.3
3.3
11.8
19.2
2.7
4.3
3.8
8.4
47.9
19.1
10.8
4.7
13.3
38.0
11.7
8.9
2.7
14.6
33.9
14.2
7.5
1.0
11.2
26.7
7.6
4.8
5.0
9.4
27.0
9.0
6.1
2.2
9.8
17.0
1.9
6.2
.5
8.4
6.0
-7.6
.2
7.5
5.9
22.4
4.5
4.0
2.9
10.9
26.6
12.9
9.0
-3.8
8.4
16
17
18
19
20
64.9
1.5
6.4
23.2
33.8
24.9
5.5
3.5
70.5
4.1
8.8
19.7
37.9
29.3
5.0
3.5
83.5
3.0
9.9
31.8
38.8
30.3
5.8
2.7
94.1
3.7
8.5
32.2
49.7
39.1
7.4
3.2
84.7
2.6
12.2
21.6
48.3
38.8
6.3
3.2
103.0
6.0
9.7
36.0
51.3
41.1
6.6
3.6
89.1
2.3
5.8
31.5
49.4
37.4
8.7
3.3
85.7
2.4
5.1
28.2
49.9
41.0
6.4
2.5
78.3
2.6
9.4
22.8
43.4
36.9
3.5
3.0
87.7
1.7
10.4
21.5
54.2
45.2
5.2
3.8
82.4
2.2
9.7
24.8
45.7
33.6
8.7
3.3
90.6
4.0
19.5
17.2
50.0
39.2
7.7
3.1
114.0
5.0
26.0
23.7
59.4
46.6
8.2
4.6
128.0
6.4
16.5
39.0
66.1
52.1
9.8
4.3
21
22
23
24
25
26
27
28
94.6
110.6
112.5
175.7
1
3.5
.9
8.7
7.8
1.8
3.0
10.1
7.0
4.3
2.1
.3
-1.8
4.4
-6.4
-5.7
.7
2
3
4
5
7.7
5.5
23.3
63.6
27.4
52.1
4.1 - 1 1 . 6
5.5
37.3
28.4
-8.9
16.1
39.3
36.7
-2.6
1.9
59.6
59.8
.2
6
7
8
9
45.8
20.7
25.3
-.3
71.0
45.4
29.5
-3.9
82.5
50.0
34.5
-1.9
10
11
12
13
19.6
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
All other nonfinancial
sectors..
Corporate equity shares
Debt instruments
Debt capital instruments
State and local govt. sees.. . .
Corporate and fgn. b o n d s . . .
Mortgages
Home mortgages
Other residential
Commercial
Bank loans n.e.c
Consumer credit
Open market paper
Other
By borrowing
sector
Foreign
State and local governments
Households
Nonfinancial business
Corporate
Nonfarm noncorporate
Farm
Funds advanced directly in credit markets
!
2
3
4
5
6
7
8
9
Total funds raised
Advanced directly by—
U.S. Government
U.S. Govt, credit agencies, n e t . . .
Funds advanced
Less funds raised in cr. m k t . . . .
Federal Reserve System
Commercial banks, net
Funds advanced
Less funds raised
68.5
83.5
96.9
90.4
97.5
93.6
88.4
86.8
81.4
4.9
.3
5.1
4.8
4.6
.5
-.1
-.6
4.9
-.2
3.2
3.5
2.5
.2
9.0
8.8
3.2
1.2
9.9
8.7
1.7
-.8
7.6
8.4
3.7
—. 1
10.5
10.6
2.3
1.5
14.1
12.5
3.9
-.7
13.7
14.4
3.5
16.7
16.8
.1
4.8
36.6
36.9
.2
3.7
39.5
39.7
.2
4.2
12.2
16.5
4.3
5.0
31.3
29.5
-1.8
4.0
29.3
33.8
4.5
-.5
-.9
4.2
5.0
9.3
12.1
18.9
6.8
1.2
1.0
10.1
9.1
34.4
16.8
18.7
-1.1
34.2
14.6
22.0
-2.5
30.1
10.4
21.8
-2.1
38.9
14.7
24.9
-.7
39.6
13.3
27.5
-1.2
25.6
6.8
20.6
-1.8
24.4
5.6
19.5
-.7
25.3
4.7
23.2
-2.6
10
11
12
13
Private nonbank finance
Savings institutions, net
Insurance
Finance n.e.c., net
25.9
7.8
19.3
-1.3
14
Foreign
-1.8
2.8
2.5
1.3
10.9
1.0
5.1
-1.1
9.4
15
16
17
18
19
Private domestic n o n f i n a n c i a l . . . .
Business
State and local governments. . .
Households
Less: Net security credit
19.1
3.6
3.4
11.9
-.2
-.2
-.2
2.1
12.3
7.4
.4
5.8
1.4
39.8
13.8
6.1
18.3
-1.6
7.1
-1.0
-3.8
10.6
-1.4
18.9
14.1
2.9
1.7
-.2
55.5
18.1
7.7
26.4
-3.2
38.4
7.0
5.6
25.3
-.4
41.2
15.1
-2.5
24.8
-3.8
*
2.2
103.7
3.6
1.6
7.1
5.5
42.4
15.3
27.1
42.0
18.0
24.1
9.5
4.9
*
*
17.9 - 2 7 . 9
12.3 - 2 8 . 5
-5.3 -7.8
8.8
8.1
-2.1
-.2
27.3
30.5
14
-2.5 -47.7
1.2
-2.9
1.8
.4
.5 - 5 1 . 1
.6
-.5
3.1
6.5
3.0
-1.4
5.0
15
16
17
18
19
Sources of funds supplied to credit markets
Total borrowing
1
by nonfinancial sectors
Supplied directly and indirectly by
pvt. domestic nonfin. sectors:
Total
2
Deposits
3
D e m a n d dep. and currency..
4
Time and svgs. a c c o u n t s . . . .
5
At commercial banks. . .
6
7
At savings institutions. ..
8
9
10
11
12
13
14
15
16
17
18
19
Credit market instr., net
U.S. Govt, securities
Corporate equities
Less security debt
Other sources:
Foreign funds
At banks
Direct
Chg. in U.S. Govt, cash balance.
U.S. Government loans
Pvt. insur. and pension reserves..
Sources n.e.c
88.4
86.8
81.4
103.7
94.6
110.6
112.5
175.7
1
27.0 47.6
8.2 - 7 . 9
6.6
7.6
1.6 - 1 5 . 5
-7.4
-21.3
9.0
5.8
44.3
5.9
8.2
-2.3
-6.4
4.2
55.1
13.9
2.0
11.9
7.4
4.4
72.0
54.1
7.0
47.1
31.9
15.2
69.2
97.1
7.3
89.9
68.2
21.7
76.6
79.2
8.3
70.8
46.3
24.5
80.6
128.2
16.5
111.7
61.2
50.5
93.3
90.2
21.5
68.7
26.9
41.8
2
3
4
5
6
7
7.1
— 6.9
15.2
-2.6
-1.4
18.9
.9
23.6
-5.9
-.2
55.5
23.2
29.6
-.6
-3.2
38.4
14.1
27.5
-3.7
-.4
41.2
6.5
37.6
-6.7
-3.8
17.9 - 2 7 . 9 - 2 . 5 - 4 7 . 7
-6.8 -19.2 -50.1
-8.0
14.7
23.9 -22.1
21.5
-.1
.7 -4.3 -12.8
-.2
-2.1
.6
-.5
3.1
1.8
9.4
-3.1
5.0
8
9
10
11
12
9.6
8.3
1.3
2.4
-8.4
10.9
14.8
13.8
1.0
10.4
5.3
5.1
-.6
.5
-1.1
10.8
1.3
9.4
2.7
-6.8
9.5
21.6
-3.0
30.5
13
14
15
.4
2.5
18.7
14.7
2.6
3.2
21.0
.1
1.7
1.7
22.4
26.0
1.6
3.7
18.7
6.4
3.9
2.3
18.9
18.1
1.0
3.9
18.7
-8.1
2.1
3.6
22.7
.7
17.0
4.4
24.3
9.1
16
17
18
19
68.5
83.5
96.9
90.4
97.5
42.8
23.7
4.0
19.7
12.5
7.2
51.3
51.5
12.4
39.1
22.5
16.6
60.8
44.5
4.7
48.5
14.8
7.1
33.7 - 2 . 4
20.8 -10.5
8.1
12.9
68.2
61.1
6.1
54.9
38.4
16.5
19.1
8.5
11.4
-1.0
-.2
-.2
-1.7
7.8
-4.1
2.2
12.3
7.7
13.4
-7.4
1.4
39.8
15.0
27.0
-3.8
-1.6
.7
2.5
-1.8
4.6
1.7
2.8
4.3
1.8
2.5
-.4
4.9
16.7
3.8
1.2
4.6
17.5
4.3
-1.1
4.9
18.5
9.5
93.6
9.7
-4.5
.7
-9.4 -18.9 -17.5
4.9
27.3
19.6
1.4
3.5
19.8
5.3
6.1 - 1 8 . 7
1.8
4.3
22.8
25.3
11.2
2.5
DECEMBER 1971 • FLOW OF FUNDS
A 73
PRINCIPAL FINANCIAL TRANSACTIONS
(Seasonally adjusted annual rates; in billions of dollars)
1970
1969
Transaction category, or sector
,
2
3
4
5
6
7
8
9
10
1966
1967
1968
1969
1971
1970
II
III
IV
I
III
II
IV
I
II
D e m a n d deposits and currency
Net incr. in banking system liability. .
U.S. G o v e r n m e n t deposits
M o n e y supply
D o m e s t i c sectors
Nonfinancial business
State and local g o v e r n m e n t s .
Financial sectors
Mail float
Rest of t h e world
14.8
14.8
8.5
10.1
10.3
-.4
1.1
3.0
13.7
3.9
13.4
9.4
3.1
.7
.8
—. 1 - 1 . 0
—. 1
1.0
.3
3.2
-1.0
.3
-1.2
16.0
15.7
11.1
1.8
.7
.9
1.2
.3
.6
7.9
7.6
5.9
-.8
3.2
.5
-1.2
.3
2.5
7.7
7.4
4.7
-.9
1.2
1.3
1.1
.3
1.7
8.6
8.0
10.2
-5.6
3.4
1.4
-1.3
.6
2.6
11.0
1.9
9.1
8.5
9.5
-4.3
3.9
.9
-1.5
.6
13.2
4.2
9.0
9.0
5.1
3.0
2.9
.8
-2.8
*
5.1
9.8
1.1
2.0i
4.0|
7.8
2.6
8.2
5.4
7.4
-2.3 -2.7
-.3
1.0
1.2
.5
-.7
1.3
1.4
-.4
- . 9
38.0
.7
8.2
8.6
5.0
.7
1.1
1.4
.5
-.5
6.0 - 1 9 . 1
18.2
10.8
18.4
10.3
10.8
1.0
.4
.9
-.3
3.1
1.9
2.0
5.6
3.3
-.1
.5
16.9
21.1
21.2
15.6
4.9
-2.3
-.3
3.3
-.2
8.9
16.9
!
2
3
4
5
6
7
8
9
10
1
Time and savings accounts
J
2
3
4
5
6
7
8
9
Net increase—Total
At commercial b a n k s — T o t a l . . . .
C o r p o r a t e business
State and local g o v e r n m e n t s . . .
Foreign
Households
At savings institutions
Liabilities—
Savings and loan assns
M u t u a l savings banks
10
11
12
Assets—
Households
Cr. u n i o n deps. at S & L ' s . . .
-15.4
3.4
16.8
44.3
87.5
67.1
112.9
73.3
-9.0 -21.2
-9.5 -11.0
-5.0 -10.3
-1.4
.4
*
7.1
8.8
5.7
-1.1
-4.2
-4.6
5.7
2.4
4.5
11.6
.5
6.4
4.3
.5
5.2
28.5
6.1
10.3
-3.5
15.5
15.8
65.6
32.3
13.4
-3.2
22.5
21.9
41.3
12.2
9.6
-5.1
24.5
25.8
60.6
3.0
10.8
-1.2
47.4
52.3
30.0
-1.5
2.4
2.6
26.0
43.3
1
2
3
4
5
6
7
2.9
1.5
1.3
.7
2.2
1.5
2.0
1.6
1.6
9.8
4.4
1.7
15.6
4.7
1.5
16.9
7.0
1.9
36.8
12.4
3.1
28.6
11.6
3.1
8
9
10
5.8
-.1
4.2
.3
4.4
.8
15.2
.6
21.7
.2
24.5
1.3
50.5
1.8
41.8
1.5
11
12
1
2
3
4
5
6
20.2
40.8
33.3
-1.6
53.9
13.3
-.7
1.3
.8
11.9
7.0
23.8
2.9
2.4
1.2
17.1
17.0
20.6
1.9
3.2
-.3
15.7
12.8
-9.7
-9.8
-5.9
1.0
5.2
8.1
36.7
12.8
9.9
-1.9
15.8
17.2
3.6
2.6
.8
10.6
5.1
1.2
7.5
4.2
1.1
4.1
2.6
1.4
11.1
4.4
1.7
4.8
2.7
1.2
7.2
-.2
16.6
.3
12.9
-.1
8.1
16.5
.7
9.0
-.2
*
- . 2
U.S. Government securities
!
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
Total net issues
H o u s e h o l d savings b o n d s
Direct excluding savings b o n d s . . .
Budget agency issues
Sponsored agency issues
L o a n participations
Net acquisitions, by sector
U.S. G o v e r n m e n t (agency s e c . ) . . .
Sponsored credit agencies
Direct m a r k e t a b l e
F H L B special issue
Federal Reserve System
Foreign
Commercial banks
Direct
Agency issues
N o n b a n k finance
Direct
Agency issues
Pvt. domestic nonfinancial
Savings b o n d s — H o u s e h o l d s . . .
Direct excl. savings b o n d s
Agency issues
8.7
12.5
16.7
5.5
21.6
-1.0
10.0
13.8
17.5
21.6
20.1
27.0
-3.3
48.5
.6
1.8
5.1
1.3
1.0
7.9
.1
-.6
4.0
.4
9.9
1.5
3.2
1.7
-.4
-.9
-.4
9.1
-1.9
.3
12.6
1.3
8.7
-1.3
-.4
-8.4
-1.3
8.4
.7
-.8
5.6
-.8
10.6
-4.8
.1
4.8
-.2
12.5
-3.3
-.9
4.4
2.1
14.4
-2.6
-.2
18.3
.2
5.5
-2.2
.5
10.9
1.0
7.8
-.1
1.7
16.8
1.7
7.0
-.2
1.9
-.6
.8
-1.8
-3.6
2.7
45.2
.4
.7
-.5
8.7
12.5
16.7
5.5
21.6
-1.0
10.0
13.8
17.5
21.6
20.1
27.0
1.3
1.0
.3
.6
3.5
-2.4
-3.6
-3.4
-.2
.4
-.2
.5
8.5
.6
3.3
4.7
-.1
. 1 -1.3
-.1
-.1
-.2
1.7
1.9
-.5
—. 1
.3
- .2
4.2
5.0
3.8
9.1
- . 5 -1.8
3.4 - 9 . 5
9.0
5.8
2.2 - 9 . 3
-.3
3.2
1.3
-.8
2.2
3.7
.4 - 2 . 4
1.5
1.6
2.2
1.8
15.0 - 6 . 9
7.7
-.4
.4
.3
4.1
8.7 - 1 0 . 5
3.4
3.2
6.7
-2.2
.3
.3
-.8
-.5
-.8
.3
-.4
2.7
-9.5
-7.6
-1.9
-4.7
-7.3
2.6
23.2
-.8
18.8
5.2
-1.0
1.2
.4
.8
9.2
-3.7
-5.2
-6.2
1.0
-.8
-.6
-.2
14.1
. l
5.0
9.1
*
*
.9
-.9
4.8
2.1
9.3
6.3
3.0
-1.9
-2.2
.3
-1.7
1.0
-3.0
.4
*
4.2
-1.8
-7.2
-8.8
1.6
4.8
2.7
2.0
.9
-.4
-5.1
6.4
*
.1
.1
-.6
2.0
1.0
4.4
-.5
2.8
-.8
1.2
4.3
.1
- .8
.2
-.2
5.4
7.9
1.1
5.6
8.0
8.2
4.7
15.5
.5
6.8
11.0
17.6
-.7
6.8
8.9
8.0
*
1.3
2.1
9.6
2.2
-.7
9.8
3.7
-3.2
7.6
-.7
2.5
2.6
2.2
2.9
1.2
6.5 - 8 . 0 - 6 . 8 - 1 9 . 2
-.9
-.2
.5
1.7
-2.7 -9.2 -10.8 -19.2
10.1
1.4
3.5 - 1 . 7
-3.3
48.5
' -i.*9
-3.9
2.0
15.7
26.1
2.8
-.6
3.4
4.0
-7.4
11.4
-50.1
1.9
-32.5
-19.5
-2.7
-.2
-2.6
2.2
28.8
15.6
12.2
3.4
2.8
2.5
.2
1.8
2.7
2.2
-3.1
*
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
Private securities
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
Total net issues, by sector
State and local governments
Nonfinancial corporations
Finance companies
Commercial banks
Rest of t h e world
18.5
28.2
23.9
27.7
42.3
28.8
25.1
26.3
31.3
41.0
39.3
57.7
65.3
58.9
1
5.7
11.4
.8
.1
.5
8.7
17.0
1.0
.2
1.3
9.6
12.1
.8
.2
1.3
8.1
16.4
1.6
.1
1.5
11.8
27.0
2.5
.1
.9
9.4
14.9
2.2
.3
2.0
5.6
16.1
1.4
8.9
20.2
1.3
.2
.7
10.2
28.9
2.3
8.9
25.7
2.8
*
*
19.3
33.4
3.8
25.6
32.8
5.5
16.3
38.5
2.5
2.0
4.7
19.8
1.3
-.1
.5
-.4
2.0
1.3
1.4
1.6
2
3
4
5
6
Net purchases
Households
Nonfinancial c o r p o r a t i o n s
State and local governments
Commercial b a n k s
M u t u a l savings b a n k s
Insurance a n d pension f u n d s
Finance n.e.c
Security brokers a n d d e a l e r s . . .
Investment companies, net
Portfolio purchases
Net issues of own s h a r e s . . . .
Rest of t h e world
18.5
28.2
23.9
27.7
42.3
28.8
25.1
26.3
31.3
41.0
39.3
57.7
65.3
58.9
-1.8
-.2
1.1
1.9
1.9
9.8
.3
2.3
12.9
16.6
-2.2
-.9
.1
.2
-2.4 -1.1
1.4
1.5
3.7
2.6
.3
.6
-1.2
-1.1
-.4
8.9
1.6
17.6
-3.6
-.9
-2.8
1.9
4.7
2.3
3.0
5.1
2.6
.3
.6
16.8
-2.8
.2
-3.0
2.7
5.7
2.1
8.1
1.4
.2
10.8
1.7
18.7
.1
.7
-.6
1.8
2.4
1.4
-1.8
3.1
3.0
2.4
1.0
20.5
-.2
.9
-1.2
3.6
4.8
.9
5.2
5.3
5.5
5.0
.9
1.4
— 1.1 - 1 . 7
' *
.2
15.0
15.4
—1 1 -2.2
2.3
-2.6
-3.4
.3
2.7
4.6
4.2
6.1
.7
2.9
6.9
.6
.4
5.0
1.2
17.0
-.3
9.8
2.0
.7
8.9
2.0
20.6
-3.5
.2
-3.7
-1.0
2.7
.5
2.5
1.6
-.8
14.5
1.2
13.9
4.3
5.2
-1.0
2.4
3.4
2.1
13.3
1.2
.6
14.7
2.5
23.2
— l
-2.1
2.5
4.5
2.1
2.3
-3.3
6.1
2.8
19.4
8.3
26.7
4.3
2.4
1.9
2.1
.2
.9
3.3
3.4
2.7
14.9
6.7
34.0
-5.9
-6.6
.6
.4
-.2
-.2
10.2
15.1
3.4
.6
.5
5.7
4.7
5.9
2.3
2.2
3.2
1.0
*
*
-.3
1.3
1.6
.6
*
*
*
7
8
9
10
11
12
13
14
15
16
17
18
19
Bank loans n.e.c.
1
2
3
4
5
Total net borrowing
Households
Nonfinancial business
Rest of t h e world
Financial sectors
9.0
7.5
15.7
17.8
.4
10.1
-.2
-1.3
2.1
7.7
-.2
3.1
10.6
-.3
2.3
2.4
13.5
-.2
2.1
-2.1
2.1
.8
2.3
-.4
-.5
24.0
11.1
17.6
5.2
10.3
4.2
14.4
.6
4.9
.9
12.3
-1.5
-.6
1.5
12.8
— i
3.4
2.3
4.6
.6
-2.3
-1.1
10.4
-.3
1.2
5.0 - 1 1 . 8
1.2
.9
-.2
3.0
1.0
-6.7
-1.9
-4.1
1
2
3
4
5
A 74
U.S. BALANCE OF PAYMENTS • DECEMBER 1971
1.
U.S. BALANCE OF PAYMENTS
(In millions of dollars)
1970
Line
1969
Creditsdebits—
1971
1970
I
II
III
IIP
I
IV
Summary—Seasonally adjusted
2
3
1
Merchandise t r a d e balance
Exports
Imports
4
5
Military transactions, net
Travel and t r a n s p o r t a t i o n , net
-3,341
-1,780
6
7
8
9
Investment income, net 2
U.S. direct investments a b r o a d
Other U.S. investments a b r o a d
Foreign investments in t h e United States
5,975
7,340
3,199
-4,564
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
1
660
2,110
36,490
41,980
-35,830 -39,870
Other services, net
Balance on current account
U.S. G o v e r n m e n t capital flows excluding nonscheduled
repayments, net 4
N o n s c h e d u l e d r e p a y m e n t s of U.S. G o v e r n m e n t assets
U . S . G o v e r n m e n t nonliquid liabilities to o t h e r t h a n foreign
official reserve agencies
Long-term private capital flows, net
U.S. direct investments a b r o a d
Foreign direct investments in the United States
Foreign securities
U.S. securities other t h a n Treasury issues
Other, reported by U.S. b a n k s
Other, reported by U.S. n o n b a n k i n g concerns
Balance on current account and long-term capital
4
Net liquidity balance
Liquid private capital flows, net
Reported by U.S. b a n k s
R e p o r t e d by U.S. n o n b a n k i n g concerns
Liquid liabilities
T o foreign commercial b a n k s
45
46
47
48
49
50
U.S. official reserve assets, net
Gold
SDR's
Convertible currencies
G o l d tranche position in I M F
53
-770
-478
-667
-427
-677
-632
6,242
7,906
3,503
-5,167
1,577
2,039
886
-1,348
1,469
1,905
886
-1,322
1,571
1,973
882
-1,284
1,626
1,988
851
-1,213
1,760
2,033
864
-1,137
2,155
2,419
820
-1,084
Memoranda:
Transfers under military grant programs, (excluded f r o m
lines 2, 4, and 14)
Reinvested earnings of foreign incorporated affiliates of
U.S. firms (excluded f r o m lines 7 and 20)
Reinvested earnings of U.S. incorporated affiliates of
foreign firms (excluded f r o m lines 9 and 21)
F o r notes see end of table.
588
147
133
157
150
212
172
3,592
881
1,045
995
670
1,147
-22
-1,410
-338
-362
-359
-351
-342
-357
2,182
543
683
636
319
805
-379
-1,644
-1,739
-418
-391
-444
-485
-428
-485
-899
U.S. G o v e r n m e n t grants (excluding military)
Financed by changes in—
Nonliquid liabilities t o foreign official reserve agencies
reported by U.S. G o v e r n m e n t
Nonliquid liabilities to foreign official agencies reported
by U.S. b a n k s
Liquid liabilities to foreign official agencies
52
-884
-553
745
42
51
-808
-500
-1,266
Remittances, pensions, and other transfers
Balance on goods, services, and remittances
Allocations of special drawing rights ( S D R ' s )
Errors and omissions, net
44
-908
-448
497
31
32
43
-3,371
-1,979
704
142
269 - 1 , 0 4 0
10,696
11,030
10,461
10,716
-9,992 -10,319 -10,761 -11,756
2,011
3
Nonliquid short-term private capital flows, net
Claims reported by U.S. b a n k s
Claims reported by U.S. n o n b a n k i n g concerns
Liabilities reported by U.S. n o n b a n k i n g concerns
34
35
36
37
38
39
40
41
751
10,582
-9,831
444
125
292
192
-166
377
-864
-2,106
-87
-1,837
244
-511
88
-480
114
-396
2
-450
40
-602
4
-711
102
263
-50
-3,254
832
-1,494
3,112
477
277
-436
-1,453
-4,445
969
-942
2,190
199
576
-30
-969
-1,358
486
-210
304
31
-222
-224
-272
-1,257
105
93
374
68
345
82
-220
-897
218
-488
720
44
183
-263
7
-934
160
-337
792
56
270
-82
-1,003
-1,370
92
-353
559
-121
190
-22
-1,646
-1,315
-24
-396
206
-213
96
-2,879
-3,038
-1,297
-570
-340
-832
-1,306
-3,141
-602
-658
-35
91
-545
-1,015
-360
830
-115
-162
-116
163
-140
-268
-23
151
-115
-189
-50
124
-175
-396
-171
392
-396
-85
-125
-186
-454
-143
-66
-245
-2,603
867
-1,104
217
-59
217
-375
217
-437
216
-233
180
-1,026
179
-2,335
-6,084
-3,821
-1,254
-868
-675
-1,024
-2,548
-5,751
8,786
124
-209
333
8,662
9,166
-63
-441
-6,000
242
-119
361
-6,242
-6,507
179
86
-1,610
262
140
122
-1,872
-1,863
142
-151
-536
-160
-127
-33
-376
-441
-124
189
-1,400
-17
-53
36
-1,383
-1,315
82
-150
-2,454
157
-79
236
-2,611
-2,888
79
198
-2,990
-297
-72
-225
-2,693
-3,042
271
78
45
104
38
66
-59
-85
174
-148
2,702
Balance on goods and services
27
28
29
30
33
513
10,241
-9,728
-9,821
-2,864
-1,404
-2,075
-3,478
-5,538
-5,706
-162
535
-266
735
-12
77
-8
-8
-836
-517
-810
7,619
-154
3,020
-235
99
-233
1,736
-188
2,765
-203
5,067
-161
5,216
-1,187
-967
2,477
787
-851
2,152
389
264
-44
-270
831
-253
805
14
-254
818
227
584
395
-251
34
406
824
422
-76
469
9
682
109
-55
373
255
659
456
17
-66
252
814
-1,034
756
2,532
431
613
(5)
(5)
137
(5)
(5)
191
(5)
(5)
116
(5)
(5)
169
(5)
(5)
191
(5)
(5)
162
(5)
(5)
DECEMBER 1971 • U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE
1.
A 75
U.S. BALANCE OF PAYMENTS-Continued
(In millions o f dollars)
1970
1969
C r e d i t s + , debits —
1971
1970
I
III
IV
I
I Iv
-1,085
-1,621
-892
-2,292
-1,240
-3,694
-2,728
-5,718
-5,930
-5,885
II
B a l a n c e s excluding allocations o f S D R ' s — S e a s o n a l l y a d j u s t e d
-6,084
2,702
N e t liquidity b a l a n c e
Official reserve t r a n s a c t i o n s b a l a n c e
-4,688
-10,688
-1,471
-3,081
Balances n o t seasonally a d j u s t e d
Balance o n g o o d s a n d services (line 11)
Balance o n g o o d s , services, a n d r e m i t t a n c e s (line 13)
Balance o n c u r r e n t a c c o u n t (line 15)
Balance o n c u r r e n t a c c o u n t a n d l o n g - t e r m capital 4 (line 2 6 ) . . .
Balances including allocations of S D R ' s :
N e t liquidity (line 33)
Official reserve t r a n s a c t i o n s (line 42)
3,592
2,182
444
-3,038
1,234
913
465
-1,310
1,300
925
487
-899
-291
-657
-1,060
-1,535
1,349
1,002
552
706
1,490
1,165
709
-1,280
173
-197
-729
-3,525
-6,084
2,702
-3,821
-9,821
-510
-1,965
-1,704
-2,069
-1,454
-2,612
-152
-3,174
-1,887
-4,723
-6,572
-6,444
-6,084
2,702
Balances excluding allocations of S D R ' s :
N e t liquidity
Official reserve t r a n s a c t i o n s
2,011
745
-899
-2,879
-4,688
-10,688
-1,377
-2,832
-1,704
-2,069
-1,454
-2,612
-152
-3,174
-2,604
-5,440
-6,572
-6,444
1
A d j u s t e d t o b a l a n c e o f p a y m e n t s b a s i s ; excludes t r a n s f e r s u n d e r
military g r a n t s , e x p o r t s u n d e r U.S. m i l i t a r y agency sales c o n t r a c t s a n d
i m p o r t s of U.S. m i l i t a r y agencies.
2
I n c l u d e s fees a n d royalties f r o m U . S . direct i n v e s t m e n t s a b r o a d o r
f r o m foreign direct investments in t h e U n i t e d States.
3
E q u a l t o n e t e x p o r t s o f g o o d s a n d services in n a t i o n a l i n c o m e a n d
p r o d u c t a c c o u n t s of t h e U n i t e d States.
4
Includes s o m e s h o r t - t e r m U.S. G o v t , assets.
5
N o t available.
NOTE.—Data are f r o m U.S. D e p a r t m e n t of C o m m e r c e , Office o f Business E c o n o m i c s . D e t a i l s m a y n o t a d d t o totals b e c a u s e of r o u n d i n g .
2. MERCHANDISE EXPORTS AND IMPORTS
(Seasonally a d j u s t e d ; in millions of dollars)
Exports
1
Imports
Period
1968
1969
1970
1971
Month:
Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
Dec
2,814
2,775
3 2,439
3 2,855
2,740
2,870
2,858
3 2,950
3,211
2,631
2,972
2,977
32,161
3 2,266
33,188
33,318
3 3,268
3 3,179
3,182
3,366
3.341
3.342
3,398
3,280
3,406
3,547
3,376
3,409
3,661
3,730
3,699
3,592
3,553
3,689
3,499
3,570
3,735
3,690
3,815
3,522
3,783
3,661
3,495
3,678
4,511
2,710
Quarter:
I
II
I II
IV
8,028
8,465
9,019
8,580
7,615
9,765
9,889
10,020
10,328
10,800
10,845
10,758
11,240
10,966
11,683
34,063
37,332
42,662
Year4
3
3
Export surplus
r
1970
1971
1968
2,687
2,592
3 2,589
3 2,604
2,755
2,792
2,725
2,872
2,951
2,736
2,883
2,908
3 2,002
3 2,672
3 2,982
33,183
3 3,257
33,152
3,074
3,163
3,078
3,192
3,180
3,078
3,223
3,278
3,218
3,263
3,338
3,266
3,255
3,346
3,428
3,501
3,428
3,404
3,686
3,553
3,569
3,758
3,988
4,023
3,799
3,937
4,245
3,531
127
184
-150
251
-15
78
133
78
261
-105
89
70
159
-406
206
135
11
27
108
203
263
150
218
202
183
269
158
146
323
465
444
246
125
188
71
166
49
136
245
-236
-205
-363
-304
-260
265
-821
7,867
8,151
8,548
8,527
7,655
9,591
9,315
9,450
9,719
9,867
10,029
10,333
10,809
11,769
11,981
161
314
471
53
-40
174
574
570
609
933
816
425
431
-803
-298
33,226
36,043
39,963
837
1,289
2,699
1968
1 E x p o r t s of d o m e s t i c a n d foreign m e r c h a n d i s e ; excludes D e p t . of
D e f e n s e s h i p m e n t s of g r a n t - a i d military e q u i p m e n t a n d supplies u n d e r
M u t u a l Security P r o g r a m .
2
G e n e r a l i m p o r t s including i m p o r t s for i m m e d i a t e c o n s u m p t i o n plus
entries into b o n d e d w a r e h o u s e s .
2
1969
1969
1970
1971
3 Significantly affected by strikes.
4
S u m of u n a d j u s t e d figures.
NOTE.—Bureau of t h e C e n s u s d a t a . D e t a i l s m a y n o t a d d t o totals because of r o u n d i n g .
A 76
U.S. GOLD TRANSACTIONS • DECEMBER
1971
3. U.S. NET MONETARY GOLD TRANSACTIONS WITH FOREIGN COUNTRIES
AND INTERNATIONAL ORGANIZATIONS
( N e t sales (—) or net acquisitions; in millions of dollars at $35 per fine troy o u n c e )
1970
Area and country
1962
1965
1964
1963
1967
1966
1968
1969
1971
1970
III
IV
I
II
III
-110
-282
-191
-50
-50
Western Europe:
-143
-63
-456
-82
-518
Italy
-146
102
-387
Other
Total
Canada
Latin American republics:
Argentina
Brazil
Colombia
Venezuela
Other
Total
Asia:
Iraq
Japan
Lebanon
Malaysia
Philippines
Saudi A r a b i a
Singapore
Other
Total
-130
329
200
-60
-32
-81
618
-100
-83
-884
-2
-80
-35
-180
-50
150
4
-25
-58
600
-601
-2
-60
-2
-85
-52
-209
-19
-2
80
-30
-879
-50
-835
325
500
41
-76
-129
-129
2
-50
51
-50
-20
51
-50
-30
-25
-25
-75
-399
-6
-35
-88 -1,299
190
-49
16
-47
200
11
-29
-8
-21
15
-6
-22
-659
-980
-669
969
-204
-27
-180
-85
-448
-263
200
1
-12
-1,105
-55
-40
-405
-225
150
50
-39
-3
7
-1
-25
-28
-23
-25
*
-23
-23
85
57
38
-30
72
-5
-11
-9
25
29
-25
-13
-6
11
-40
-29
-80
-4
-66
*
-4
*
175
32
56
17
-41
9
-65
-54
-131
-4
-111
*
-4
*
-10
-4
-56
-11
-21
-42
-1
11
-9
54
10
-11
*
-119
-119
-47
-13
-6
-14
-14
-22
-95
-34
9
-50
-81
-75
—91
-41
-71
21
-93
12
3
-24
-86
-44
-366
42
-213
-39
-197
-15
-1
-36
-16
-22
3-166
3-68
-1
-81
-4
-75
-833
-392
-608 -1,031 -1,118
957
-32
-1
25
20
*
-13
-
1
-35
40
-4
2
3
-8
-
1
-10
-1
-
1
21
-30
-1
10
-32
*
All o t h e r
T o t a l foreign countries
-36 -1,322
6-225
Intl. M o n e t a r y F u n d 5
G r a n d total
-7
-833
-392
-36 -1,547
4
— 631
-73
-3
10
— 156
-322
-431 -1,009 -1,121
967
— 787
-395
177
1
Includes p u r c h a s e f r o m D e n m a r k of $25 million.
I n c l u d e s p u r c h a s e f r o m K u w a i t of $25 million.
3 I n c l u d e s sales t o Algeria of $150 million in 1967 a n d $50 million in
1968.
4
D a t a f o r I M F include t h e U . S . p a y m e n t of $385 million increase in
its gold s u b s c r i p t i o n t o the I M F a n d gold sold by the I M F t o t h e U n i t e d
States in mitigation of U.S. sales t o o t h e r c o u n t r i e s m a k i n g gold p a y m e n t s
t o the I M F . T h e c o u n t r y d a t a include U.S. gold sales t o v a r i o u s c o u n t r i e s
in c o n n e c t i o n with the I M F q u o t a p a y m e n t s . S u c h U.S. sales t o c o u n t r i e s
a n d resales t o the U n i t e d States by the I M F t o t a l $548 million e a c h .
2
22
4
—563
-4
-102
-445
142
-7
-11
-4
-422
-109
-457
-300
4
-296
5
I n c l u d e s I M F gold sales t o a n d p u r c h a s e s f r o m t h e U n i t e d S t a t e s .
U.S. p a y m e n t of increases in its g o l d s u b s c r i p t i o n t o I M F , gold d e p o s i t s
by the I M F (see n o t e 1 (b) t o T a b l e 4), a n d w i t h d r a w a l of deposits. T h e
first w i t h d r a w a l , a m o u n t i n g t o $17 million, w a s m a d e in J u n e 1968.
I M F sold t o t h e U n i t e d States a t o t a l of $800 million of gold ($200
million in 1956, a n d $300 million in 1959 a n d in 1960) with t h e right of
r e p u r c h a s e ; p r o c e e d s f r o m these sales invested by I M F in U.S. G o v t ,
securities. I n S e p t . 1970 I M F r e p u r c h a s e d $400 million.
6
P a y m e n t to the I M F of $259 million increase in U.S. gold s u b s c r i p t i o n
less gold deposits by t h e I M F .
Notes to Table 5 on opposite page:
1
R e p r e s e n t s net I M F sales of gold t o a c q u i r e U.S. dollars f o r use in
I M F o p e r a t i o n s . D o e s n o t include t r a n s a c t i o n s in gold relating t o gold
d e p o s i t o r gold investment (see Table 6).
2
Positive figures represent p u r c h a s e s f r o m the I M F of currencies of
o t h e r m e m b e r s f o r equivalent a m o u n t s of d o l l a r s ; negative figures represent r e p u r c h a s e of dollars, including dollars derived f r o m c h a r g e s o n
p u r c h a s e s a n d f r o m o t h e r net dollar i n c o m e of the I M F . T h e U n i t e d
States h a s a c o m m i t m e n t to r e p u r c h a s e within 3 t o 5 years, b u t only t o
the e x t e n t t h a t the holdings of dollars of the I M F exceed 75 per cent of
t h e U . S . q u o t a . P u r c h a s e s of dollars by o t h e r c o u n t r i e s r e d u c e t h e U.S.
c o m m i t m e n t t o r e p u r c h a s e by an equivalent a m o u n t .
3 Includes dollars o b t a i n e d by c o u n t r i e s o t h e r t h a n the U n i t e d States
f r o m sales o f gold t o t h e I M F .
4
R e p r e s e n t s the U.S. gold t r a n c h e p o s i t i o n in t h e I M F (the U . S .
q u o t a m i n u s t h e holdings of dollars of t h e I M F ) , which is t h e a m o u n t
t h a t t h e U n i t e d States c o u l d p u r c h a s e in f o r e i g n currencies a u t o m a t i c a l l y
if n e e d e d . U n d e r a p p r o p r i a t e c o n d i t i o n s , t h e U n i t e d States c o u l d p u r c h a s e a d d i t i o n a l a m o u n t s e q u a l t o its q u o t a .
5
Includes $259 million gold s u b s c r i p t i o n t o t h e I M F in J u n e 1965 f o r
a U . S . q u o t a increase, w h i c h b e c a m e effective o n F e b . 23, 1966. I n figures
published by the I M F f r o m J u n e 1965 t h r o u g h J a n . 1966, this gold s u b scription was included in t h e U.S. gold s t o c k a n d excluded f r o m t h e
reserve position.
6 Includes $30 million of special d r a w i n g rights.
NOTE.—The initial U.S. q u o t a in t h e I M F was $2,750 million. T h e U.S.
q u o t a was increased t o $4,125 million in 1959, t o $5,160 million in F e b .
1966, a n d to $6,700 million in D e c . 1970. U n d e r t h e Articles of A g r e e m e n t ,
s u b s c r i p t i o n p a y m e n t s e q u a l t o the q u o t a h a v e been m a d e 25 p e r cent in
gold and 75 p e r cent in dollars.
DECEMBER 1 9 7 1 • U.S. RESERVE ASSETS; POSITION IN THE IMF
A 77
4 . U.S. RESERVE ASSETS
(In millions of dollars)
Gold stock i
Total
2
Treasury
22,540
21,504
19,359
20,582
19,507
17,804
16,947
16,057
15,596
15,471
613,806
16,889
15,978
15,513
15,388
613,733
14,882
14,830
15,710
7 16,964
14,487
13,235
12,065
10,892
11,859
11,072
13,159
11,982
10,367
10,367
10,732
Gold stock1
Reserve
position
in
IMF3
E n d of
month
SDR's
Total
2
Convertible
foreign
currencies5
Treasury
Reserve
position
in
IMF3
1,958
1,997
1,555
20,534
19,456
17,767
18,753
17,220
16,843
16,672
15,450
Convertible
foreign
currencies
116
99
212
432
781
1 ,321
2,345
3,528
72,781
629
1970
Nov
Dec
14,891
14,487
11,478
11,072
11,117
10,732
640
629
1,812
1,935
1,690
1,064
1,035
769
6 863
1971
J a n . . .-.
Feb... .
Mar
Apr.. . .
May. ..
June. . .
July....
Aug
Sept....
Oct
Nov... .
14,699
14,534
14,342
14,307
13,811
13,504
13,283
12,128
12,131
12,146
12,131
11,040
11,039
10,963
10,925
10,568
10,507
10,453
10,209
10,207
10,207
10,732
10,732
10,732
10,732
10,332
10,332
10,332
10,132
10,132
10,132
10,132
491
327
256
257
318
322
250
248
250
259
243
1,700
1,700
326
420
1,290
2,324
1,935
851
1 Includes (a) gold sold t o t h e U n i t e d States by the I n t e r n a t i o n a l M o n e t a r y F u n d with t h e right of r e p u r c h a s e , a n d (b) gold d e p o s i t e d by t h e
I M F t o mitigate t h e i m p a c t o n t h e U.S. gold stock of f o r e i g n p u r c h a s e s
f o r t h e p u r p o s e o f m a k i n g gold subscriptions t o the I M F u n d e r q u o t a
increases. F o r c o r r e s p o n d i n g liabilities, see T a b l e 6.
2
Includes gold in E x c h a n g e Stabilization F u n d .
3
T h e U n i t e d States h a s t h e right t o p u r c h a s e foreign currencies equivalent t o its reserve p o s i t i o n in the I M F a u t o m a t i c a l l y if n e e d e d . U n d e r a p p r o p r i a t e c o n d i t i o n s t h e U n i t e d States c o u l d p u r c h a s e a d d i t i o n a l a m o u n t s
e q u a l t o t h e U . S . q u o t a . See T a b l e 5.
4 Includes initial allocation by the I M F of $867 million of Special D r a w ing R i g h t s o n J a n . 1, 1970, a n d second allocation of $717 million of
S D R ' s o n J a n . 1, 1971, plus net t r a n s a c t i o n s in S D R ' s .
10,206
1,680
1,682
1,678
1,428
1,433
574
577
580
582
5
F o r h o l d i n g s of F . R . B a n k s only, see p p . A-12 a n d A-13.
6
Reserve p o s i t i o n includes, a n d gold stock excludes, $259 million gold
s u b s c r i p t i o n t o the I M F in J u n e 1965 f o r a U.S. q u o t a increase w h i c h
b e c a m e effective o n F e b . 23, 1966. I n figures p u b l i s h e d by t h e I M F f r o m
J u n e 1965 t h r o u g h J a n . 1966, this gold s u b s c r i p t i o n was i n c l u d e d in t h e
U.S. gold stock a n d excluded f r o m t h e reserve p o s i t i o n .
7
Includes gain of $67 million resulting f r o m r e v a l u a t i o n of t h e G e r m a n
m a r k in Oct. 1969, of which $13 million represents gain o n m a r k h o l d i n g s
a t t i m e of revaluation.
NOTE.—See T a b l e 23 f o r gold held u n d e r e a r m a r k at F . R . B a n k s f o r
foreign a n d i n t e r n a t i o n a l a c c o u n t s . G o l d u n d e r e a r m a r k is n o t included
in the gold stock of t h e U n i t e d States.
5. U.S. POSITION IN THE INTERNATIONAL MONETARY
FUND
(In millions of dollars)
I M F holdings
of d o l l a r s
( e n d of p e r i o d )
T r a n s a c t i o n s affecting I M F h o l d i n g s of dollars
(during period)
Transactions by
other countries
with I M F
U . S . t r a n s a c t i o n s with I M F
Period
Payments
of
subscript i o n s in
dollars
1946—1957.
1958—1963.
1964—1966.
1967.
1968.
1969.
1970.
1970—Nov..
Dec..
1971—Jan..
Feb..
Mar..
Apr..
May.
June.
July..
Aug..
Sept..
Oct...
Nov..
For notes see opposite page.
2,063
1,031
776
Net
gold
sales
by I M F i
600
150
1,640
I M F net
income
in
dollars
-45
60
45
20
20
19
25
-84
1,155
" I" 155 *
22
6712
P e r cent
of
U.S.
quota
iso
104
315
Total
change
Amount
827
2,740
6
775
2,315
1,744
775
3,090
4,834
28
75
94
-1,343
-854
268
741
-94
-870
-1,034
1,929
4,740
3,870
2,836
4,765
92
75
55
71
-95
-73
Transact i o n s in
foreign
currencies 2
21
11
1,417
3,348
4,765
65
71
5,000
5,000
5,020
5,018
5,022
5,272
5,267
75
75
75
75
75
79
79
91
91
91
91
Purchases
of
dollars3
-2,670
-1,666
-723
Repurchases
dollars
-114
-806
11
*
235
20
-23
20
7
4
250
-5
859
-3
-3
-3
- 2
250
-1
862
-
5
3
3
3
- 2
- 2
1
- 2
6,126
6,123
6,120
6,118
A 78
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1 9 7 1
6.
U.S.
LIQUID
LIABILITIES T O
FOREIGNERS
(In millions of dollars)
Liabilities to foreign countries
Liabilities to Intl.
Monetary Fund arising
f r o m gold transactions
Banks and other foreigners
Official institutions 3
End
of
period
Total
Gold
deposit 1
Gold
investment 2
715,825
i 16,845
19,428
200
200
500
200
200
500
(20,994
1960 8 . . . . 121,027
800
800
800
800
1961 8
(22,853
122,936
800
800
1962 8
(24,068
\24,068
19638
1964 8
Total
Shortterm
liabilities reported
by
banks
in U.S.
Nonmarketable
Marketconvertable
ible
U.S.
U.S.
Govt,
Treasbonds
ury
and
bonds
notes 4
and
notes
966
11,078
11,088
10,212
10,212
866
876
800
800
11,830
11,830
10,940
10,940
800
800
800
800
12,748
12,714
800
800
800
800
(28,951
\29,002
800
800
800
800
29,115
1965
7,917
8,665
9,154
/26,361
126,322
1957
1958
1959
834
34
Total
Shortterm
liabilities reported
by
banks
in U.S.
Marketable
U.S.
Govt,
bonds
and
notes 4
Liabilities to nonmonetary intl. and
regional organizations 5
Total
ShortMarketterm
able
liabilU.S.
ities reGovt,
ported
bonds
by
and
banks
notes 4
in U.S. 6
5,724
5,950
7,077
541
1,190
542
552
530
660
7,591
7,598
7,048
7,048
543
550
1,525
1,541
750
750
775
791
890
890
8,275
8,357
7,759
7,841
516
516
1.948
1.949
703
704
1,245
1,245
11,997
11,963
751
751
8,359
8,359
7,911
7,911
448
448
2,161
2,195
1,250
1,284
911
911
14,387
14,353
12,467
12,467
1,217
1,183
703
703
9,214
9,204
8,863
8,863
351
341
1,960
1,965
808
808
1,152
1,157
15,428
15,424
13,224
13,220
1,125
1,125
1,079
1,079
11,001
11,056
10,625
10,680
376
376
1,722
1,722
818
818
904
904
10,12,0
800
1,201
11,478
11,006
472
1,431
12,484
12,539
860
860
256
256
14,387
14,208
13,859
13,680
528
528
906
905
581
580
325
325
13,066
752
1966 8
(29,904
\29,779
1,011
1,011
211
211
800
800
13,600
13,655
1967 8
(33,271
\33,119
1,033
1,033
233
233
800
800
15,653
15,646
14,034
14.027
908
908
711
711
15,894
15,763
15,336
15,205
558
558
691
677
487
473
204
204
1968 8
(33,828
\33,614
1,030
1,030
230
230
800
800
12,548
12,481
11,318
11,318
529
462
701
701
19,525
19,381
18,916
18,916
609
465
725
722
683
683
42
39
(41,735
\41,894
1,019
1,019
219
219
800
800
11,955
11,978
11,054
11,077
346
346
9 555
9 555
28,102
28,234
27,577
27,709
525
525
659
663
609
613
50
50
44,201
1970-Sept. .
44,261
Oct.r.
r
44,509
Nov. .
Dec. 8 r (43,291
143,238
587
587
579
566
566
187
187
179
166
166
400
400
400
400
400
17,768
18,141
19,957
20,068
20,057
16,959
17,422
19,239
19,333
19,333
380
290
289
306
295
429
429
429
429
429
25,083
24,719
23,186
21,813
21,768
24,516
24,152
22,596
21,166
21,203
567
567
590
647
565
763
814
787
844
847
718
768
741
820
821
45
46
46
24
26
r
559
559
559
548
548
548
544
544
544
159
159
159
148
148
148
144
144
144
400
400
400
400
400
400
400
400
400
20,490
22,321
24,841
27,253
32,091
30,640
32,953
40,672
42,126
19,774
287
292
292
292
292
379
632
870
1,015
429
429
429
429
452
3,452
5,452
5,785
6,054
21,543
20,192
18,955
18,573
17,838
20,931
19,583
18,357
17,970
17,269
18,308
17,822
16,653
16,090
612
609
598
603
569
573
579
543
515
1,068
1,043
951
985
1,148
1,196
1,181
1,247
1,343
1,324
25
42
141
141
142
143
143
154
155
1969Dec.8 r
r
1971-Jan. .
Feb.
Mar.r.
Apr.r.
Mayr.
Juner.
July.
Aug...
Sept.P
43,660
44,065
45,481
47,663
51,815
51,393
53,288
59,909
60,754
21,600
24,120
26,532
31,347
26,809
26,869
34,017
35,057
1
Represents liability on gold deposited by the International Monetary
Fund to mitigate the impact on the U.S. gold stock of foreign purchases
for the purpose of making gold subscriptions to the I M F under quota increases.
2
U.S. Govt, obligations at cost value and funds awaiting investment
obtained from proceeds of sales of gold by the I M F to the United States
to acquire income-earning assets. U p o n termination of investment, the
same quantity of gold can be reacquired by the I M F .
3
Includes Bank for International Settlements and European Fund.
4
Derived by applying reported transactions to benchmark data;
breakdown of transactions by type of holder estimated for 1960-63.
Includes securities issued by corporations and other agencies of the U.S.
Govt, that are guaranteed by the United States.
5 Principally the International Bank for Reconstruction and Development and the Inter-American Development Bank.
6
Includes difference between cost value and face value of securities in
I M F gold investment account. Liabilities data reported to the Treasury
include the face value of these securities, but in this table the cost value of
18,881
18,401
17,196
16,605
993
1,126
1,289
1,338
1,324
1,390
1,497
1,479
the securities is included under " G o l d investment." The difference, which
amounted to $19 million at the end of 1970, is included in this column.
7
Includes total foreign holdings of U.S. Govt, bonds and notes, for
which breakdown by type of holder is not available.
8 D a t a on the two lines shown for this date differ because of changes in
reporting coverage. Figures on the first line are comparable with those
shown for the preceding date; figures on the second line are comparable
with those shown for the following date.
9
Includes $17 million increase in dollar value of foreign currency
liabilities resulting f r o m revaluation of the G e r m a n mark in Oct. 1969.
NOTE.—Based on Treasury Dept. data and on data reported to the
Treasury Dept. by banks and brokers in the United States. D a t a correspond
to statistics following in this section, except for minor rounding differences.
Table excludes I M F "holdings of dollars," and holdings of U.S. Treasury
letters of credit and non-negotiable, non-interest-bearing special United
States notes held by other international and regional organizations.
DECEMBER 1971 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
7.
U.S.
LIQUID
LIABILITIES TO OFFICIAL
INSTITUTIONS
OF
FOREIGN
COUNTRIES,
BY
A 79
AREA
(Amounts outstanding; in millions of dollars)
Total
foreign
countries
End of period
Western
Europe i
Latin
American
republics
Canada
Asia
Africa
Other
countries
15,646
/ 12,548
\ 12,481
/411,955
1 11,978
1970—Sept. r
Oct.r
Nov. r
Dec. 3 r
996
533
532
495
495
1,131
1,354
1,354
1,679
1,702
3,145
3,168
3,122
3,190
3,190
249
259
248
546
546
253
225
224
222
222
11,135
11,564
13,231
13,021
13,016
620
575
637
662
662
1,765
1,802
1,661
1,562
1,562
3,254
3,336
3,639
4,060
4,054
661
526
449
407
407
333
338
340
356
356
20,490
22,321
24,841
27,253
32,091
30,640
32,953
40,672
42,126
1969 3 r
9,872
7,009
7,001
5,823
5,823
17,768
18,141
19,957
/20,068
\20,057
19683
13,680
15,374
17,151
19,119
22,720
20,676
22,447
25,460
26,015
678
727
801
818
865
843
921
1,185
1,173
1,388
1,389
1,236
1,244
1,213
1,262
1,286
1,348
1,232
4,040
4,163
4,998
5,285
6,396
6,895
7,253
11,546
12,632
381
325
242
257
286
271
285
312
296
323
343
413
530
611
693
761
821
778
1971—Jan
Feb.'
Mar.r
A p r . rr
May
June
July
Aug
Sept.p
1
Includes Bank for International Settlements and European Fund.
2
Includes countries in Oceania and Eastern Europe, and Western European dependencies in Latin America.
3 See note 8 to Table 6.
4
Includes $17 million increase in dollar value of foreign currency
labilities resulting f r o m revaluation of the German mark in Oct. 1969.
8.
SHORT-TERM
NOTE.—Data represent short-term liabilities to the official institutions
of foreign countries, as reported by banks in the United States, and foreign
official holdings of marketable and convertible nonmarketable U.S. Govt,
securities with an original maturity of more than 1 year.
LIABILITIES TO F O R E I G N E R S R E P O R T E D
IN T H E U N I T E D S T A T E S , BY T Y P E
BY
BANKS
(Amounts outstanding; in millions of dollars)
To nonmonetary international
and regional organizations 5
To all foreigners
Payable in dollars
Demand
Time2
U.S.
Treasury
bills and
certificates
Deposits
Total i
Total
Other
shortterm
liab.3
Payable
in
foreign
currencies
IMF
gold
investment4
Deposits
U.S
Treasury
bills and
certificates
Total
31,717
(40,040
\40,199
31,081
39,611
39,770
14,387
20,430
20,460
5,484
6,834
6,959
6,797
5,015
5,015
4,413
7,332
7,336
636
429
429
800
800
800
683
609
613
68
57
62
113
83
83
42,742
42,976
/41,719
\41,757
42,392
42,633
41,351
41,389
17,087
15,876
15,785
15,785
7,060
6,704
5,924
5,961
11,665
13,662
14,123
14,123
6,580
6,391
5,519
5,518
350
343
368
368
400
400
400
400
768
741
820
821
68
68
69
69
144
140
159
159
42,148
42,534
43,862
46,050
50,212
46,698
46,338
52,413
52,871
54,036
41,770
42,124
43,210
45,413
49,593
46,038
45,686
51,763
52,474
53,658
14,758
13,516
11,846
10,447
9,991
10,855
5,673
5,474
5,159
4,953
4,901
4,969
4,957
5,026
5,064
5,189
14,453
16,390
18,703
22,356
26,961
22,763
23,439
30,198
29,772
29,758
6,886
6,744
7,502
7,657
7,740
7,451
7,028
7,255
7,049
6,863
378
410
652
637
619
660
652
650
397
378
400
400
400
400
400
400
400
400
400
400
1,043
951
985
1,148
1,196
1,181
1,247
1,343
1,324
1,265
115
64
73
62
49
60
79
61
92
78
155
149
166
202
221
232
224
202
212
174
For notes see the following page.
10,262
9,284
10,589
11,848
2
A 80
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1 9 7 1
8. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS
IN THE UNITED STATES, BY TYPE—Continued
( A m o u n t s outstanding; in millions of dollars)
To official institutions 7
T o residents of foreign countries
Payable in dollars
Payable in dollars
End of period
Deposits
Demand
Time2
U.S.
Treasury
bills and
certificates
Other
shortterm
liab.3
Payable
in
foreign
currencies
Total
Deposits
U.S.
Treasury
bills a n d
certificates
Demand
Other
shortterm
liab.3
Payable
in
foreign
currencies
30,234
38,631
38,786
14,320
20,372
20,397
5,371
6,751
6,876
5,602
3,971
3,971
4,304
7,109
7,113
636
429
429
11,318
11,054
11,077
2,149
1,918
1,930
1,899
2,951
2,942
5,486
3,844
3,844
1,321
2,139
2,159
463
202
202
17,018
15,807
15,716
15,716
6,916
6,564
5,745
5,802
11,077
13,114
13,511
13,511
6,212
6,006
5,138
5,138
350
343
368
368
17,422
19,239
19,333
19,333
1,474
1,374
1,652
1,652
3,166
2,840
2,554
2,554
10,930
12,980
13,367
13,367
1,704
1,897
Dec. 6
41,574
41,835
/40,499
\40,536
148
148
148
148
1971— J a n . .
Feb. r .
Mar.r.
Apr.r.
Mayr.
Juner.
July...
Aug.. .
Sept. P.
Oct P.
40,705
41,183
42,477
44,502
48,616
45,117
44,691
50,670
51,147
52,371
14,643
13,452
11,773
10,385
9,941
10,795
10,183
9,223
10,497
11,770
5,518
5,325
4,993
4,751
4,680
4,737
4,733
4,824
4,852
5,014
13,781
15,711
6,386
6,285
6,998
978
024
726
254
443
175
018
378
410
652
637
619
660
652
650
397
378
19,774
1,743
1,688
1,579
2,490
2,434
2,244
2,205
2,205
2,252
2,308
2,372
2,380
2,471
13,638
15,550
17,916
20,119
24,702
20,097
19,605
26,674
27,855
28,982
1,755
1,778
1,981
148
150
400
400
8 420
420
420
421
158
158
196 8
1969 6 r
1970—Oct.''.
Nov.r.
18,061
21,750
26,352
22,199
22,869
29,529
29,226
29,190
21,600
24,120
26,532
31,347
26,809
26,869
34,017
35,057
36,054
T o banks9
1,628
1,643
1,462
1,469
1,264
1,447
1,230
1,612
1,612
2,180
2,377
2,578
3,067
3,286
3,217
2,213
T o other foreigners
Payable in dollars
E n d of period
Total
Deposits
Total
Demand
196 8
1969 6r
Time
2
U.S.
Treasury
bills and
certificates
Other
shortterm
liab. 3
2,621
Deposits
Total
Demand
Time
2
U.S.
Treasury
bills and
certificates
Other
shortterm
liab.3
To banks
a n d other
. foreigners:
payable in
foreign
18,916
27,577
27,709
14,299
23,412
23,419
10,374
16,745
16,756
1,273
1,988
1,999
30
20
20
4,658
4,644
4,444
3,939
4,064
1,797
1,709
1,711
2,199
1,811
1,935
86
107
107
362
312
312
173
226
226
24,152
22,596
20,048
18,451
16,917
16,945
13,936
12,781
12,376
12,376
1,952
1,906
1,326
1,354
21
19
14
14
4,139
3,745
3,202
3,202
3,902
3,950
4,029
4,038
1,608
1,798
1,819
1,895
127
115
131
131
369
364
325
325
202
195
220
220
16,663
15,220
14,027
13,604
13,029
14,111
13,696
12,584
11,210
10,037
8,468
6,952
6,561
7,572
7,018
6,275
7,473
8,829
1,185
1,016
879
654
590
649
600
665
762
883
13
12
10
1,516
1,518
4,255
4,155
4,670
4,482
4,359
3,874
2,910
2,876
2,687
2,523
4,038
4,103
4,077
4,128
4,041
3,957
3,894
3,839
3,643
3,741
1,689
1,727
1,726
1,805
1,737
1,760
1,696
1,684
1,577
1,711
1,843
1,875
1,870
1,892
1,885
1,835
1,825
1,787
1,711
1,659
130
148
135
116
131
86
96
87
85
89
376
353
347
315
287
276
277
280
271
283
230
260
253
238
199
240
232
230
239
220
1970—Oct.'".
Nov.r.
Dec. 6
/21,166
1971—Jan.r.,
Feb.'".
Mar.r.
Apr.r.
May r .
June r .
July...
Aug...
Sept.
Oct. 3 5 .
20,931
19,583
18,357
17,970
17,269
18,308
17,822
16,653
16,090
16,317
\21,203
12,208
12,356
2,016
3,168
2,769
1,286
120
1
D a t a exclude "holdings of dollars" of the International M o n e t a r y
Fund.
2
Excludes negotiable time certificates of deposit, which are included
in " O t h e r . "
3
Principally bankers' acceptances, commercial paper, and negotiable
time certificates of deposit.
4
U.S. Treasury bills and certificates obtained f r o m proceeds of sales of
gold by the I M F to the United States to acquire income-earning assets.
U p o n termination of investment, the same quantity of gold can be reacquired by the I M F .
5
Principally the International Bank for Reconstruction and Development and the Inter-American Development Bank.
Includes difference between cost value and face value of securities in
I M F gold investment account.
6
D a t a on the two lines shown for this date differ because of changes in
reporting coverage. Figures on the first line are comparable in coverage
1,653
1,688
1,688
1,886
with those shown for the preceding d a t e ; figures on the second line are
comparable with those shown for the following date.
7
Foreign central b a n k s and foreign central govts, and their agencies,
and Bank for International Settlements and E u r o p e a n F u n d .
8
Increase in valuation resulting f r o m revaluation of Swiss f r a n c .
9 Excludes central banks, which are included in "Official institutions."
NOTE.—"Short-term" refers to obligations payable on d e m a n d or having
an original maturity of 1 year or less. F o r data on long-term liabilities
reported by banks, see Table 10. D a t a exclude the "holdings of dollars"
of the International M o n e t a r y F u n d ; these obligations to the I M F constitute contingent liabilities, since they represent essentially the a m o u n t of
dollars available for drawings f r o m the I M F by other m e m b e r countries.
D a t a exclude also U.S. Treasury letters of credit and non-negotiable, n o n interest-bearing special U.S. notes held by the Inter-American Development Bank and the International Development Association.
DECEMBER 1971 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
9.
S H O R T - T E R M LIABILITIES TO F O R E I G N E R S R E P O R T E D
IN T H E U N I T E D S T A T E S , B Y C O U N T R Y
BY
A 81
BANKS
(End of period. Amounts outstanding; in millions of dollars)
1970
1971
Area and country
Dec.r
Europe:
Austria
Belgium-Luxembourg
Denmark
Finland
France
Germany
Greece
Italy
Netherlands
Norway
Portugal
Spain
Sweden
Switzerland
Turkey
United Kingdom
Yugoslavia
Other Western E u r o p e 1
U.S.S.R
Other Eastern Europe
Total
Canada
Latin America:
Argentina
Brazil
Chile
Colombia
Cuba
Mexico
Panama
Peru
Uruguay
Venezuela
Other Latin American republics
Bahamas and Bermuda
Netherlands Antilles and Surinam
Other Latin America
Feb.r
Mar.r
Apr.r
May
185
597
189
117
2,267
7,520
184
1,330
762
324
274
198
503
1,948
46
5,509
37
594
15
54
198
767
216
112
2,263
8,518
176
1,658
654
313
307
203
541
2,012
51
5,211
46
377
9
56
194
770
220
114
2,344
9,570
140
1,805
741
364
319
184
577
2,029
32
4,779
41
368
12
53
191
780
219
115
2,297
10,318
145
1,903
620
403
298
201
631
2,145
25
5,087
33
339
22
45
22,653
23,690
24,656
4,056
3,626
3,402
539
346
266
247
7
821
147
225
118
735
620
745
98
39
517
392
253
215
8
830
167
178
125
693
614
666
95
38
r
Juner
July
Aug.
185
903
148
107
2,275
12,472
146
1,833
661
465
280
232
625
2,312
43
5,162
38
795
9
50
203
761
175
110
2,467
7,268
152
1,760
609
506
270
200
681
2,093
21
6,126
33
1,000
9
66
274
781
201
131
3,242
5,446
159
1,777
461
574
271
208
718
1,914
27
6,214
39
1 ,417
10
61
25,817
28,742
24,511
3,256
3,136
3,292
522
331
258
186
8
826
164
168
119
642
609
622
101
49
507
336
260
191
7
863
177
181
121
684
601
980
105
48
505
335
256
169
7
800
165
190
112
729
582
940
105
56
Sept.*
Oct.*
244
916
164
116
3,663
5,082
160
2,032
283
649
295
204
723
3,355
26
6,129
31
1,517
10
45
244
901
173
116
3,301
5,321
179
2,286
302
655
314
185
729
3,267
27
6,367
41
1,436
11
61
254
876
171
136
2,842
5,606
184
2,231
316
658
307
202
729
3,306
48
7,339
34
1,404
12
56
23,926
25,644
25,917
26,709
3,250
3,316
3,472
3,801
447
361
257
183
6
790
166
200
116
786
582
960
101
46
501
428
235
178
7
705
147
162
116
782
624
1,074
97
46
499
418
252
168
7
728
149
146
127
787
623
885
101
49
419
358
247
178
6
671
130
162
117
805
603
661
87
37
415
360
211
181
6
679
150
163
116
906
608
346
94
43
Total
4,952
4,792
4,605
5,062
4,953
5,002
5,100
4,940
4,483
4,276
Asia:
China Mainland
Hong Kong
India
Indonesia
Israel
Japan
Korea
Philippines
Taiwan
Thailand
Other
33
258
302
73
135
5,150
199
285
275
508
708
36
322
229
65
128
5,452
178
296
278
469
735
34
298
188
52
122
6,325
191
331
288
443
674
34
281
211
73
155
6,815
184
338
296
381
601
33
313
245
60
125
8,192
193
340
293
306
585
35
306
255
71
132
8,673
201
321
291
281
558
35
301
222
67
128
8,691
187
333
300
237
622
34
316
193
59
115
13,136
185
328
281
177
542
34
293
153
57
108
13,792
195
322
268
144
561
34
316
154
69
130
14,015
190
294
294
131
621
Total
7,926
8,188
8,945
9,366
10,685
11,123
11,123
15,366
15,927
16,247
14
11
83
17
395
13
7
71
18
334
17
8
56
15
278
19
9
74
15
268
15
9
64
14
291
16
9
61
15
285
19
7
71
19
299
44
10
74
13
303
27
11
81
25
319
16
8
74
16
330
521
443
373
384
392
385
415
444
463
445
389
39
398
46
455
43
576
41
668
40
757
46
830
47
914
46
852
34
854
39
Africa:
Congo (Kinshasa)
Morocco
South Africa
U.A.R. (Egypt)
Other
Total
Other countries:
Australia.
All other
Total
Total foreign countries
International and regional:
International 2
Latin American regional
Other r e g i o n a l
Total
Grand total
For notes see the following page.
428
444
497
617
708
803
877
960
886
893
40,536
41,183
42,477
44,502
48,616
45,117
44,691
50,670
51,147
52,371
975
131
115
1,087
167
97
1,101
177
107
1,225
185
138
1,256
201
139
1,230
210
141
1,242
237
168
1,342
262
139
1,309
278
137
1,267
263
135
1,221
1,351
1,385
1,548
1,596
1,581
1,647
1,743
1,724
1,665
41,757
42,534
43,862
46,050
50,212
46,698
46,338
52,413
52,871
54,036
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1971
A 82
9. SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS
IN THE UNITED STATES BY COUNTRY—Continued
(End of period. A m o u n t s outstanding; in millions of dollars)
Supplementary data 4
1970
1969
1971
1969
1970
Area or country
Area or country
Apr.
Dec,
Apr.
Dec.
Apr.
Other Western E u r o p e :
Cyprus
Iceland
Ireland, R e p . of
2
4
20
11
9
38
15
10
32
10
10
41
7
10
29
Other Latin American republics
Bolivia
Costa Rica
D o m i n i c a n Republic
Ecuador
El Salvador
Guatemala
Haiti
Honduras
Jamaica
Nicaragua
Paraguay
Trinidad & T o b a g o
65
61
59
62
89
90
18
37
29
78
18
68
52
78
76
69
84
17
29
17
63
13
76
43
96
72
79
110
19
29
17
76
17
11
69
41
99
79
75
16
34
19
59
16
10
59
43
90
72
80
97
19
44
19
47
15
14
Other Latin America:
British West Indies
25
30
38
33
38
Other Asia:
Afghanistan
Burma
Cambodia
Ceylon
Iran
Iraq
5
2
5
44
77
16
2
1
3
35
26
15
5
1
4
41
6
26
4
2
4
32
15
3
2
4
50
(5)
100
1
Includes Bank for International Settlements and E u r o p e a n F u n d .
D a t a exclude "holdings of d o l l a r s " of the International M o n e t a r y
F u n d but include I M F gold investment.
3 Asian, African, and E u r o p e a n regional organizations, except BIS and
E u r o p e a n F u n d , which are included in " E u r o p e . "
2
Apr.
Apr.
Other A s i a — C o n t . :
Jordan
Kuwait
Laos
Lebanon
Malaysia
Pakistan
R y u k y u Islands (incl. Okinawa)
Saudi A r a b i a
Singapore
Syria
Vietnam
4
40
4
82
41
24
20
48
40
4
40
17
46
3
83
30
35
25
106
17
4
94
Other A f r i c a :
Algeria
Ethiopia (incl. Eritrea)
Ghana
Kenya
Liberia
Libya
Nigeria
Southern Rhodesia
Sudan
Tanzania
Tunisia
Uganda
Zambia
6
15
8
34
28
68
10
2
3
23
2
9
19
14
20
10
43
23
288
11
2
3
10
6
5
20
13
33
7
47
41
430
11
2
1
18
7
7
38
All o t h e r :
New Zealand
20
16
18
30
66
4
82
48
34
26
166
25
6
91
4
Represent a partial b r e a k d o w n of the a m o u n t s shown in the " o t h e r "
categories (except " O t h e r Eastern E u r o p e " ) .
5
N o t available.
10. LONG-TERM LIABILITIES TO FOREIGNERS REPORTED
BY BANKS IN THE UNITED STATES
(Amounts outstanding; in millions of dollars)
T o foreign countries
To
intl.
and
regional
E n d of period
Total
C o u n t r y or area
Official
institutions
Banksi
Other
foreigners
Argentina
Other
Latin
America
Israel
Japan
Thailand
Other
Asia
All
other
countries
196 7
196 8
196 9
2,560
3,166
2,490
698
777
889
1,863
2,389
1,601
1,807
2,341
1,505
15
8
55
40
40
41
251
284
64
234
257
175
126
241
41
443
658
655
218
201
70
502
651
472
89
97
124
1970—Oct...
Nov..
Dec...
1,835
1,733
1,698
844
814
789
991
919
909
820
749
695
119
118
160
52
52
54
25
13
13
147
143
138
7
7
6
466
416
385
9
8
140
138
122
193
236
1971—Jan.
Feb.r.
Mar.r,
Apr.r.
Mayr.
Juner.
July..
Aug..
Sept.P
Oct.^.
1,562
1,464
1,344
1,181
1,136
1,122
713
687
630
577
548
557
501
480
473
493
849
777
714
605
588
566
507
409
399
433
637
573
493
406
392
333
273
171
157
154
161
142
139
184
184
185
184
218
54
51
60
57
57
49
51
53
55
57
13
13
13
13
13
13
13
13
15
15
139
109
91
92
94
87
88
66
60
6
6
341
317
262
186
182
129
83
12
12
12
109
101
95
84
82
79
80
91
89
92
233
230
246
220
208
247
234
218
214
222
1
1,008
889
872
926
160
158
Excludes central banks, which are included with "Official institutions."
6
7
196
DECEMBER 1971 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
A 83
11. ESTIMATED FOREIGN HOLDINGS OF MARKETABLE U.S. GOVERNMENT BONDS AND NOTES
( E n d of p e r i o d ; in m i l l i o n s of dollars)
1970
1969
Dec.
Europe:
Belgium-Luxembourg
Norway
Switzerland
United Kingdom
Other Western E u r o p e . . . .
Eastern Europe
1971
Dec.1
Nov.
1
Dec.2
Feb.
Jan.
Mar.
Apr.r
Mayr
Juner
Julyr
Aug.
Sept.* 3
Oct.* 1
7
49
451
33
6
5
7
49
503
30
6
34
472
27
6
33
520
20
6
34
518
24
6
34
510
25
6
31
519
25
6
30
485
25
6
29
490
25
6
29
496
25
6
29
460
25
6
29
432
49
5
29
427
71
5
500
547
600
547
586
589
582
587
552
557
562
525
521
538
269
191
193
178
178
177
174
173
175
174
175
175
175
175
18
18
61
18
Total.
Canada
7
42
407
37
7
20
61
18
20
56
10
20
56
10
20
55
10
20
55
10
20
142
10
20
395
10
20
633
10
20
755
10
20
1,009
10
Latin America:
Latin American republics..
Other Latin America
Total.
Asia:
India
Japan
Other Asia.
80
99
172
425
663
784
1,038
42
42
43
43
43
43
25
*
879
953
860
952
,211
1,413
1,530
1,782
22
24
Total
Africa
24
24
115
27
115
28
126
28
126
29
126
29
All other
Total foreign countries.
871
International and regional :
International
Latin American regional. .
895
17
25
115
26
115
26
2
861
50
Grand total.
1
890
46
24
25
42
141
141
142
142
143
154
155
155
921
Total
2
901
899
925
977
923
943
1,031
1,036
,003
1,095
1,354
1,567
1,685
,937
k e t a b l e U . S . G o v t , securities w i t h a n original m a t u r i t y of m o r e t h a n 1
year, a n d a r e b a s e d o n b e n c h m a r k surveys of h o l d i n g s a n d r e g u l a r m o n t h l y
r e p o r t s of securities t r a n s a c t i o n s (see T a b l e 16).
Based o n N o v . 30, 1968, b e n c h m a r k survey.
B a s e d o n J a n . 31, 1971, b e n c h m a r k survey.
NOTE.—Data r e p r e s e n t e s t i m a t e d official a n d p r i v a t e h o l d i n g s of m a r -
12. NONMARKETABLE U.S. TREASURY BONDS AND NOTES ISSUED TO OFFICIAL INSTITUTIONS OF
FOREIGN COUNTRIES
( I n millions of d o l l a r s o r d o l l a r e q u i v a l e n t )
P a y a b l e in f o r e i g n c u r r e n c i e s
P a y a b l e in d o l l a r s
E n d of p e r i o d
Total
Belgium
Canada1
Denmark
20
Germany
Sweden
Taiwan
20
20
100
3,330
43,181
1,692
1,431
32
32
1,334
1,129
1970—Oct..
Nov.
Dec.
3,567
3,564
3,563
2,484
2,481
2,480
32
32
32
2,289
2,289
2,289
28
25
25
20
20
20
1971—J a n . .
Feb.,
Mar.
Apr.
May,
June
July.
Aug.
Sept.
Oct..
Nov.
3,563
3,563
3,563
3,563
53,592
6,592
8,592
8,924
9,193
9,195
9,271
2,480
2,480
2,480
2,480
2,480
5,480
7,480
7,479
7,479
7,479
7,554
32
32
32
32
32
32
32
32
32
32
32
2,289
2,289
2,289
2,289
2,289
2,289
2,289
2,289
2,289
2,289
2,365
25
25
25
25
25
25
25
23
23
23
22
20
20
20
20
20
20
20
20
20
20
20
196 8
196 9
146
135
3,000
5,000
5,000
5,000
5,000
5,000
1
I n c l u d e s b o n d s issued in 1964 t o t h e G o v e r n m e n t of C a n a d a in c o n n e c t i o n with t r a n s a c t i o n s u n d e r t h e C o l u m b i a R i v e r treaty. A m o u n t s o u t s t a n d i n g e n d of 1967 t h r o u g h O c t . 1968, $114 m i l l i o n ; N o v . 1968 t h r o u g h
Sept. 1969, $84 m i l l i o n ; O c t . 1969 t h r o u g h S e p t . 1970, $ 5 4 m i l l i o n ; a n d
O c t . 1970 t h r o u g h O c t . 1971, $24 million.
2
B o n d s issued t o t h e G o v e r n m e n t of Italy in c o n n e c t i o n with milit a r y p u r c h a s e s in t h e U n i t e d States.
3 I n a d d i t i o n , n o n m a r k e t a b l e U.S. T r e a s u r y n o t e s a m o u n t i n g t o $125
million equivalent w e r e issued t o a g r o u p of G e r m a n c o m m e r c i a l b a n k s in
Austria
Thailand
25
Italy 2 K o r e a
100
100
100
100
100
100
100
100
100
100
100
100
100
100
100
1,638
4 1,750
50
Germany 3
Italy
Switzerland
1,051
4 1,084
226
125
311
541
1,083
1,083
1,083
542
542
542
541
541
541
1,083
1,083
1,083
1,083
51,111
1,111
1,111
1,444
1,714
1,716
1,716
542
542
542
542
542
542
542
542
542
542
542
541
541
541
541
5 569
569
569
902
1,172
1,174
1,174
J u n e 1968. T h e r e v a l u a t i o n of t h e G e r m a n m a r k in O c t . 1969 increased
t h e d o l l a r value of these n o t e s by $10 million.
4
I n c l u d e s a n increase in d o l l a r value of $ 8 4 million resulting f r o m
r e v a l u a t i o n of the G e r m a n m a r k in O c t . 1969.
5
I n c r e a s e in v a l u a t i o n r e s u l t e d f r o m r e d e m p t i o n of o u t s t a n d i n g Swiss
f r a n c securities a t old e x c h a n g e r a t e a n d reissue of securities a t n e w exc h a n g e r a t e w i t h s a m e m a t u r i t y d a t e s , a t t i m e o f r e v a l u a t i o n of Swiss
f r a n c . T h e n e w issues i n c l u d e s o m e certificates o f i n d e b t e d n e s s issued t o
r e p l a c e n o t e s w h i c h w e r e w i t h i n a y e a r of m a t u r i t y .
A 84
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1971
13. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS
IN THE UNITED STATES, BY COUNTRY
( E n d of period. A m o u n t s o u t s t a n d i n g ; in millions of dollars)
1970
1971
Area a n d country
Dec.r
Mar.r
Feb.r
Apr.r
Europe:
May
r
Juner
Aug.
July
Sept.*
Oct.*
Other Eastern E u r o p e
Total
Latin A m e r i c a :
Argentina
Brazil
Chile
Colombia
Cuba
Mexico
Panama
Peru
Uruguay
Venezuela
O t h e r Latin American republics
Bahamas and Bermuda
N e t h e r l a n d s Antilles a n d S u r i n a m
O t h e r Latin America
Total
Asia:
China Mainland
Hong Kong
India
Indonesia
Japan
Korea
Philippines
Taiwan
Thailand
Other
Total
Africa:
C o n g o (Kinshasa)
Morocco
S o u t h Africa
U . A . R . (Egypt)
Other
Total
Other countries:
Australia
All o t h e r
5
68
58
123
98
190
21
102
70
62
15
59
104
174
5
456
33
9
3
47
17
57
54
128
102
214
22
108
76
54
15
65
124
137
8
580
33
12
3
51
6
73
54
139
120
358
24
131
85
64
20
70
129
163
30
808
36
15
2
50
5
58
51
133
106
250
22
120
87
67
18
61
135
148
14
536
37
17
2
44
5
48
46
129
124
230
21
133
84
61
13
64
138
162
11
480
38
18
2
48
8
95
47
117
155
256
22
140
92
71
11
66
117
253
26
785
37
16
2
37
1,662
1,701
1,859
2,379
1,913
1,855
2,353
1,826
1,722
1,085
Belgium-Luxembourg
Denmark
Finland
France
Germany
Greece
Italy
Netherlands
Norway
Portugal
Spain
Sweden
Switzerland
Turkey
United Kingdom
Yugoslavia
O t h e r Western E u r o p e
942
1,018
972
1,021
1,003
980
994
1,126
1,165
326
325
200
284
13
909
95
147
63
283
342
179
19
22
341
322
184
296
13
955
105
135
51
277
336
157
14
21
349
369
180
300
13
912
100
131
49
245
327
200
15
22
321
400
165
303
13
898
105
150
53
243
330
190
21
22
322
403
158
294
13
886
104
153
52
232
313
239
20
22
316
430
155
299
13
879
109
156
43
230
314
212
19
27
334
422
157
315
13
943
99
173
44
239
309
261
18
31
329
442
151
335
13
977
113
169
41
249
303
252
15
36
336
416
145
353
13
908
102
190
31
242
318
253
17
27
325
425
138
353
13
817
100
198
32
251
326
239
21
32
3,204
3,207
3,212
3,214
3,210
3,201
3,359
3,423
3,352
3,270
2
39
13
56
120
3,890
178
137
95
109
157
1
41
13
49
130
3,480
177
137
113
109
182
2
49
15
66
97
3,482
206
124
119
109
183
1
60
21
48
110
3,358
228
128
117
118
187
1
56
20
34
112
3,607
231
115
127
114
211
1
60
19
30
117
3,502
259
125
130
116
200
1
69
18
63
123
3,222
252
126
127
123
203
1
71
18
60
116
4,078
252
119
123
127
239
1
78
20
57
126
4,041
217
110
113
147
248
1
77
22
38
107
3,737
286
111
105
145
235
4,797
4,431
4,451
4,629
4,559
4,326
5,204
5,158
4,864
4
6
77
13
79
4
6
84
14
85
6
6
86
14
101
5
5
93
17
103
6
6
103
16
104
6
5
97
14
110
18
6
128
12
108
22
8
132
11
110
21
5
140
14
108
22
5
141
11
104
180
194
213
223
235
232
272
284
287
283
64
16
105
19
73
18
73
18
81
17
94
20
105
21
118
22
134
23
140
22
6
50
40
66
113
186
26
101
61
54
11
52
97
100
9
379
35
13
3
45
4
68
53
110
111
176
22
98
68
65
14
56
100
114
4
513
31
11
2
41
1,449
4,376
5 !
60 !
47 i
114
148
250
21
130
82
68
12
64
116
145
20
459
29
15
2
39
4
53
50
113
132
197
24
114
70
66
10
60
114
136
4
493
27
17
4
33
80
124
91
91
98
114
126
140
157
162
10,796
10,559
10,685
10,735
11,571
11,022
10,918
12,398
11,906
11,466
3
2
2
2
2
3
3
2
3
3
10,799
Total
10,561
10,687
10,736
11,572
11,024
10,921
12,400
11,909
11,469
NOTE.—Short-term claims are principally the following items payable
on d e m a n d or with a contractual m a t u r i t y of n o t m o r e t h a n 1 year: loans
m a d e to, and acceptances m a d e for, foreigners; d r a f t s d r a w n against
foreigners, where collection is being m a d e by b a n k s a n d b a n k e r s for
their own account or for a c c o u n t of their customers in the United States;
a n d foreign currency balances held a b r o a d by b a n k s a n d b a n k e r s a n d
their customers in the United States. Excludes foreign currencies held
by U.S. m o n e t a r y authorities.
DECEMBER 1971 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
A 85
14. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS
IN THE UNITED STATES, BY TYPE
( A m o u n t s outstanding; in millions of dollars)
Payable in dollars
Payable in foreign currencies
L o a n s to—
End of period
Others
Collections
outstanding
Acceptances
made
for acct.
of foreigners
Total
Total
Total
Official
institutions
Banks i
Other
Total
Foreign
govt, seDeposits curities,
with for- coml.
eigners
and finance
paper
Other
8,711
8,261
3,165
247
1,697
1,221
1,733
2,854
509
450
336
40
73
/9,578
)9,667
9,063
9,151
3,281
3,278
262
262
1,946
1,943
1,073
1,073
1,954
2,015
3,169
3,202
658
656
518
516
352
352
84
89
79
74
9,873
10,129
10,799
9,358
9,574
10,148
3,129
3,132
3,051
109
95
119
1,897
1,894
1,720
1,123
1,143
1,212
2,438
2,429
2,389
3,158
3,330
3,968
634
683
740
515
555
651
366
354
393
67
112
92
83
89
166
10,409
10,561
10,687
10,736
11,572
11,024
10,921
12,400
11,909
11,469
9,903
10,026
10,124
10,203
10,937
10,459
10,382
11,767
11,228
10,785
2,867
2,955
3,008
3,116
3,383
3,409
3,570
4,296
3,855
3,628
110
88
100
107
156
147
200
191
187
136
1,575
1 ,594
1,598
1,754
1,929
1,969
2,052
2,680
2,259
2,159
1,182
1 ,273
1,311
1,255
1,299
1,292
1 ,318
1,425
1,409
1,333
2.363
2,353
2,335
2,279
2,349
2,378
2.364
2,357
2,371
2,309
3,950
3,973
4,033
4,098
4,136
3,960
3,638
4,121
4,040
3,873
724
745
747
710
1,069
712
810
992
961
976
506
535
564
534
636
565
539
633
682
683
308
334
365
339
449
374
382
497
481
473
79
111
102
92
78
102
62
46
104
111
120
90
96
103
109
89
94
90
97
100
1
Excludes central b a n k s which are included with "Official institutions."
D a t a on the two lines shown for this date differ because of changes in
reporting coverage. Figures o n the first line are comparable in coverage
2
with those shown for the preceding d a t e ; figures on the second line are
comparable with those shown for the following date.
15. LONG-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS
IN THE UNITED STATES
( A m o u n t s outstanding; in millions of dollars)
Type
C o u n t r y or area
Payable in dollars
E n d of
period
Total
Loans to—
Other
foreigners
Other
longterm
claims
Payable
in
foreign
currencies
United
Kingdom
Other
Europe
Canada
Latin
America
Japan
Other
Asia
All
other
countries
Total
Official
institutions
Banksi
3,567
3,250
3,158
2,806
528
502
237
209
2,393
2,096
394
426
16
18
68
67
479
411
428
408
1,375
1,329
122
88
617
568
479
378
1970—Oct . . . . 3,229
Nov
3,216
Dec , , . 3,075
2,839
2,825
2,698
531
515
504
256
247
236
2,053
2,064
1,958
359
364
352
30
26
25
67
66
71
407
387
411
409
398
312
1,342
1,362
1,325
109
113
115
582
583
548
312
307
292
2,962
2,957
3,044
3,082
3,246
3,218
3,279
3,387
3,430
3,465
2,615
2,643
2,737
2,778
2,935
2,915
2,986
3,084
3,121
3,154
485
484
501
504
523
475
489
513
513
533
213
213
226
227
251
242
253
265
270
258
1,917
1,946
2,011
2,047
2,161
2,197
2,244
2,305
2,339
2,363
323
289
277
271
279
277
273
276
280
285
24
26
30
33
32
26
20
28
28
26
70
77
111
117
107
112
118
120
126
127
412
420
424
439
498
519
530
546
570
580
278
266
268
275
277
266
266
259
264
261
1,281
1,257
1,271
1,273
1,264
1,229
1,263
1,331
1,343
1,308
117
121
125
120
208
225
219
221
225
240
523
521
548
554
548
514
515
539
536
551
280
295
297
304
343
353
370
371
365
397
1968
1969
1971—J a n . . .
Feb
Mar.r ..
Apr.r...
Mayr...
Juner...
J u l y . ..
Aug.. ..
Sept.f. .
Oct.*...
1
Excludes central banks, which are included with "Official institutions."
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1 9 7 1
A 86
16. PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM SECURITIES, BY TYPE
(In millions of d o l l a r s )
U.S. corporate
securities 2
Marketable U.S. Govt, bonds and notes i
Foreign bonds
Foreign stocks
N e t p u r c h a s e s o r sales
Period
Total
Purchases
Foreign
Intl.
and
regional
Total
Official
-45
56
n
-25
1,051
129
*
1 9 7 0 — N c tv
Oo
Dec
-89
23
52
1971—Jan. r
Feb.r
Mar
Apr.r
May
June
July r
Aug
S e p t .5
f
37
19
88
5
-33
92
260
212
118
252
38
2
-11
5
-33
91
259
202
117
252
197 0
1971—Jan.-Oct.^
Oct.*
-115
-41
59
123
15,483
11,426
12,795
9,844
922
978
-56
11,888
-90
22
74
-91
1
22
57
1,187
754
1,321
46
-3
-11
4
-33
4
6
-36
-28
-5
1,242
1,516
1,411
1,383
1,163
1,004
1,038
1,152
1,023
955
-56
82
1
-22
17
99
*
1
*
1
11
1
*
Net purPurchases o r
chases
sales
Sales
Net purchases o r
sales
-1,029
-951
1,519
1,033
2,037
997
-517
37
Purchases
Sales
Net purchases or
sales
Other
-8
5
1969 r
Sales
*
17
*
87
253
238
145
257
t E x c l u d e s n o n m a r k e t a b l e U . S . T r e a s u r y b o n d s a n d n o t e s issued t o
official institutions of foreign c o u n t r i e s ; see T a b l e 12.
2
I n c l u d e s S t a t e a n d local govt, securities, a n d securities of U . S . G o v t ,
agencies a n d c o r p o r a t i o n s t h a t are n o t g u a r a n t e e d by the U n i t e d States.
2,688
1,582
1,552
1,490
2,581
2,441
11,070
817
1,346
2,250
-904
1,052
1,204
-152
938
609
1,030
249
145
291
109
97
140
257
87
277
-148
10
-137
71
65
83
120
76
87
-50
-11
- 4
1,022
1,411
1,314
1,412
1,126
1,019
1,002
1,013
793
958
220
105
97
-29
37
-15
36
139
230
-3
116
126
176
174
118
121
112
110
129
164
424
107
190
234
218
239
137
306
138
256
-307
19
-14
-60
-100
-118
-26
-196
-10
-92
90
68
85
117
94
98
102
124
118
155
95
111
121
179
120
130
144
102
96
104
-5
-44
-36
-63
-26
-32
-42
22
22
51
A l s o includes issues of n e w d e b t securities s o l d a b r o a d b y U . S . c o r p o r a tions o r g a n i z e d t o f i n a n c e direct i n v e s t m e n t s a b r o a d .
NOTE.—Statistics include t r a n s a c t i o n s of i n t e r n a t i o n a l a n d regional
organizations.
17. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE STOCKS, BY COUNTRY
(In millions of dollars)
Period
Total
France
Germany
N e t h e r - Switzer- U n i t e d
Kingdom
land
lands
Other
Europe
Total
Europe
Canada
Latin
America
Africa
Asia
Other
Intl. &
countries regional
-1
1
1,487
626
150
58
216
195
189
128
490
110
-245
-33
295
24
1,094
482
125
-9
136
47
90
85
7
-1
1971—Jan.-Oct.^
253
12
90
121
64
-116
20
192
-79
27
64
*
-2
51
1970—Oct
Nov
Dec
158
98
216
-3
7
39
23
13
27
13
18
8
-1
11
39
32
3
14
21
31
11
85
84
137
31
6
40
30
1
32
13
*
*
*
*
*
-1
7
3
130
-32
-26
-5
10
-11
-4
79
155
-44
-13
-23
-26
8
9
3
12
10
24
8
27
28
11
-10
14
9
2
8
13
12
15
38
9
2
26
-6
-27
-4
10
9
-10
24
38
3
7
-23
-11
-18
-6
-19
6
-33
11
-30
46
21
-8
-8
-3
-24
-13
-7
17
107
7
-59
-24
24
-17
4
38
132
-20
11
-34
1
-7
-17
— 11
-24
11
10
-18
6
-5
18
11
-4
-4
2
13
7
-17
*
*
*
-1
11
*
-1
1969
1970
1971—Jan
Feb
Mar
Apr.r
May
June
July
Aug
Sept. 2 '
Oct.p
,
,
*
3
-6
7
33
-3
*
*
4
-3
*
9
11
1
7
15
16
4
5
—1
*
*
1
*
*
*
*
*
*
*
*
*
-I
36
22
*
6
6
7
14
-2
*
2
7
DECEMBER 1 9 7 1 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
A 87
18. NET PURCHASES OR SALES BY FOREIGNERS OF U.S. CORPORATE BONDS, BY COUNTRY
(In millions of dollars)
Period
Total
France
1971—Jan.-Oct.f
1 9 7 0 —N o t
Oc v
Dec
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept. 2 '
Oct.P
N e t h e r - Switzer- U n i t e d
Kingdom
lands
land
200
48
1,202
956
1969r
1970
Germany
Other
Europe
251
118
176
134
Total
Europe
Latin
America
822
464
28
- 4
11
O t h e r Intl. a n d
c o u n t r i e s regional
14
17
12
85
92
19
33
Africa
32
128
43
13
61
Asia
10
- 1 6
91
47
75
1
3
9
89
137
123
-23
27
-4
40
60
75
41
28
2
21
32
7
19
-4
20
49
69
24
15
16
32
7
-5
- 6
3
14
-3
27
-1
- 2
3
*
2
53
NOTE.—Statistics include State a n d local govt, securities, a n d securities
of U.S. G o v t , agencies a n d c o r p o r a t i o n s t h a t are n o t g u a r a n t e e d by
39
5
5
- 6
*
1
-3
- 2
2
29
13
I
1
52
65
11
-39
-12
3
- 2
*
- 6
11
-3
- 8
22
42
68
84
73
- 2
239
564
336
324
-12
-1
- 2
- 6
- 2
-3
24
17
-14
-33
-10
*
16
the U n i t e d States. Also includes issues of new d e b t securities sold a b r o a d
by U.S. c o r p o r a t i o n s o r g a n i z e d t o finance direct i n v e s t m e n t s a b r o a d .
19. NET PURCHASES OR SALES BY FOREIGNERS OF
LONG-TERM FOREIGN SECURITIES, BY AREA
20. FOREIGN CREDIT AND DEBIT
BALANCES IN BROKERAGE ACCOUNTS
(In millions of dollars)
( A m o u n t s o u t s t a n d i n g ; in millions of dollars)
1969
1970
Total
-1,547
-914
1971—Jan.-Oct.p. . . - 1 , 0 5 5
Total
forIntl.
eign
and
counregional tries
66 - 1 , 6 1 3
-254 -660
Europe
Canada
74 - 1 , 1 2 8
50 - 5 8 4
Latin
America
Asia
-98
-11
-474
-129
-6
-6
-730
-26
-386
-10
-342
6
—1
-198
-1
-141
-91
3
4
-107
-4
-145
-33
-10
-22
-51
15
-90
3
-2
-5
-28
-9
-31
1971—Jan.r
Feb.r
Mar
Apr
May
June
July
Aug
Sept.P
Oct.f
-312
-24
-50
-122
-126
-150
-67
-174
12
-41
-197
-4
11
-46
4
13
7
-152
6
32
-116
-20
-61
-77
-130
-163
-74
-22
6
-74
2
-24
6
-34
-4
-3
-16
23
1
22
-90
27
-34
29
-62
-111
-6
-23
-7
-108
4
11
5
-13
5
-2
-10
3
-13
-29
-29
-44
-79
-52
-72
-53
-14
8
23
*
-
Debit
balances
(due f r o m
foreigners)
636
508
1969—Mar
553
566
467
434
393
397
297
278
368
334
291
349
220
182
203
279
511
419
332
314
300
320
E n d of
period
Other
countries
-325
1970—Oct
Nov
Dec
Africa
Credit
balances
(due to
foreigners)
1968
Period
1
*
*
-1
*
*
6
*
1
*
1
20
20
28
2
1
4
2
1
1
1
2
14
2
1
1
2
Sept.f
NOTE.—Data represent t h e m o n e y credit b a l a n c e s a n d
m o n e y debit balances a p p e a r i n g o n t h e b o o k s of r e p o r t i n g
b r o k e r s a n d dealers in the U n i t e d States, in a c c o u n t s of
foreigners with t h e m , a n d in their a c c o u n t s carried by
foreigners.
A 88
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1971
21. LIABILITIES OF U.S. BANKS TO THEIR FOREIGN BRANCHES
AND FOREIGN BRANCH HOLDINGS OF SPECIAL U.S.
GOVERNMENT SECURITIES
22. MATURITY OF EURO-DOLLAR
DEPOSITS IN FOREIGN
BRANCHES OF U.S. BANKS
( A m o u n t s o u t s t a n d i n g ; in millions of dollars)
( E n d of m o n t h ; in billions of d o l l a r s )
Wednesday
Liabilities1
Wednesday
Liabilities 1
Liab.
plus
sec.2
Wednesday
Liabilities 1
Liab.
plus
sec.2
1971
M a t u r i t y of
liability
July
1970
1966
Mar.
June
Sept.
Dec.
30....
29
28....
28....
1,879
1,951
3,472
4,036
1967
Mar.
June
Sept.
Dec.
29....
28
27....
27....
3,412
3,166
4,059
4,241
1968
Mar.
June
Sept.
Dec.
27
26
25
31 (1/1/69)
4,920
6,202
7,104
6,039
1969
Mar.
June
Sept.
Dec.
26
25
24
31
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
28.
25.
25.
29.
27.
24.
29.
26.
30.
28.
25.
30.
1971
Jan. 27.
Feb. 24.
M a r . 3.
10.
17.
24.
31.
Apr. 7.
14.
21.
9,621
13,269
14,349
12,805
May
28.
5.
12.
19.
26.
Aug.
Sept.
1.51
1.60
1.61
1.71
2.38
1.43
8.47
5.43
4.15
2.10
2.22
1.89
.27
.31
.40
.28
.23
.37
9.25
5.29
3.93
2.44
2.03
1.63
.31
.42
.34
.23
.38
.19
9.27
5.03
4.55
2.39
1.77
1.49
.44
.34
.33
.38
.20
.22
.76
.77
.74
29.99
30.53
30.96
1971—Cont.
13,605
13,086
11,885
11,944
12,346
12,172
10,469
10,629
9,663
9,297
8,435
7,676
6,536
5,666
5,016
4,806
4,180
4,338
2,858
3,259
2,310
2,244
2,158
2,004
1,598
1,628
1,579
June
..
..
..
. .
. .
1,877
1,938
2,323
2,323
1,499
4,885
4,946
5,331
5,331
4,507
July
7...
14. . .
21. . .
28. . .
2,183
1,729
1,879
1,505
5,191
4,776
4,926
4,655
Aug.
7,536
6,666
6,516
6,306
5,680
5,838
4,358
4,759
5,318
5,252
5,166
5,012
4,606
4,636
4,587
2.
9.
16.
23.
30.
4. . .
11. . .
18...
25. . .
1,912
1,104
1,382
1,409
5,062
4,290
4,568
4,079
Sept.
1...
8...
15...
22. . .
29...
1,236
1,242
1,703
2,151
2,477
3,406
3,412
3,357
3,805
3,580
Oct.
6. . .
13. . .
20...
27 r . .
2,224
2,724
2,588
2,915
3,327
3,276
3,140
2,915
Nov.
3...
10. . .
17. . .
24. . .
2,443
2,964
3,363
3,156
2,443
2,964
3,363
3,156
Call
O t h e r liabilities, m a t u r i n g
in f o l l o w i n g c a l e n d a r
months after report
date:
1st
2nd
3rd
4th
5 th
6th
7th
8th
9th
10th
11th
12th
M a t u r i t i e s of m o r e t h a n 1
NOTE.—Includes i n t e r e s t - b e a r i n g U . S . d o l l a r
d e p o s i t s a n d direct b o r r o w i n g s o f all b r a n c h e s in
t h e B a h a m a s a n d of all o t h e r f o r e i g n b r a n c h e s
f o r w h i c h s u c h d e p o s i t s a n d direct b o r r o w i n g s
a m o u n t t o $50 m i l l i o n o r m o r e .
Details m a y not add to totals due to rounding.
1
R e p r e s e n t s gross liabilities of r e p o r t i n g b a n k s t o t h e i r b r a n c h e s in foreign c o u n t r i e s .
F o r p e r i o d J a n . 27, 1971 t h r o u g h O c t . 20, 1971, includes U . S . T r e a s u r y Certificates E u r o d o l l a r Series a n d special E x p o r t - I m p o r t B a n k securities held b y f o r e i g n b r a n c h e s . Beginning
J u l y 28, 1971, all of t h e securities held a r e U . S . T r e a s u r y Certificates E u r o d o l l a r Series.
2
23. DEPOSITS, U.S. GOVT. SECURITIES,
AND GOLD HELD AT F.R. BANKS FOR
FOREIGN OFFICIAL ACCOUNT
24. SHORT-TERM LIQUID CLAIMS ON FOREIGNERS
REPORTED BY NONBANKING CONCERNS
( A m o u n t s o u t s t a n d i n g ; in m i l l i o n s of dollars)
(In millions of d o l l a r s )
P a y a b l e in
P a y a b l e in d o l l a r s f o r e i g n c u r r e n c i e s
Assets in c u s t o d y
E n d of
period
Deposits
U.S. Govt.
securities1
Earmarked
gold
1968
1969
216
134
9,120
7,030
13,066
12,311
1970—Nov...
Dec.. .
136
148
16,196
16,226
12,644
12,926
1971— J a n . . . .
Feb. ..
Mar...
Apr...
May. .
June..
July...
Aug...
Sept...
Oct.. .
Nov. .
129
147
201
162
208
199
162
122
166
135
177
16,206
18,033
20,534
22,879
28,126
26,544
28,574
35,914
36,921
38,207
39,980
12,958
12,981
13,057
13,095
13,447
13,509
13,559
13,821
13,819
13,819
13,820
1
M a r k e t a b l e U . S . T r e a s u r y bills, certificates of indebtedness, notes, and bonds and nonmarketable U.S.
T r e a s u r y securities p a y a b l e in d o l l a r s a n d in f o r e i g n
currencies.
NOTE.—Excludes d e p o s i t s a n d U . S . G o v t , securities
held f o r i n t e r n a t i o n a l a n d r e g i o n a l o r g a n i z a t i o n s . E a r m a r k e d g o l d is g o l d held f o r f o r e i g n a n d i n t e r n a t i o n a l
a c c o u n t s a n d is n o t included in t h e gold s t o c k of t h e
U n i t e d States.
E n d of
period
Total
Deposits
Shortterm
investments 1
Deposits
Shortterm
investments 1
United
Kingdom
Canada
1,638
/1,319
\1,454
1,219
952
1,025
87
116
161
272
174
183
60
76
86
979
610
663
280
469
519
1970—Sept.
Oct.r. .. .
Nov.r
Dec.r
1,434
1,477
1,485
1,095
930
938
955
651
201
203
189
150
177
177
175
173
126
159
166
121
713
686
664
372
382
440
472
417
1971—Jan.r.
Feb.'....
Mar.r
Apr.r
Mayr....
June r . . . .
July. ...
Aug.r
Sept
1,252
1,312
1,450
1,468
1,532
1,462
1,475
1,666
1,549
815
805
965
952
917
918
938
1,089
961
144
173
165
178
160
183
197
208
204
177
190
175
200
293
240
238
241
278
116
144
145
138
161
122
101
128
107
520
548
706
687
622
634
579
645
514
363
401
377
390
424
367
393
488
481
1968
i n^fti
1
N e g o t i a b l e a n d o t h e r readily t r a n s f e r a b l e f o r e i g n o b l i g a t i o n s p a y a b l e o n d e m a n d
o r h a v i n g a c o n t r a c t u a l m a t u r i t y of n o t m o r e t h a n 1 year f r o m t h e d a t e o n w h i c h t h e
o b l i g a t i o n w a s i n c u r r e d by the foreigner.
2
D a t a o n t h e t w o lines f o r this d a t e differ b e c a u s e of c h a n g e s in r e p o r t i n g c o v e r a g e .
F i g u r e s o n the first line are c o m p a r a b l e in c o v e r a g e w i t h t h o s e s h o w n f o r t h e p r e c e d i n g
d a t e ; figures o n t h e s e c o n d line are c o m p a r a b l e w i t h t h o s e s h o w n f o r t h e f o l l o w i n g d a t e .
NOTE.—Data represent the liquid assets a b r o a d of large n o n b a n k i n g c o n c e r n s in
t h e U n i t e d States. T h e y are a p o r t i o n of t h e t o t a l claims o n f o r e i g n e r s r e p o r t e d b y
n o n b a n k i n g c o n c e r n s in the U n i t e d States a n d a r e included in t h e figures s h o w n in
T a b l e s 25 a n d 26.
DECEMBER 1971 • INTL. CAPITAL TRANSACTIONS OF THE U.S.
25.
SHORT-TERM
LIABILITIES T O A N P
CLAIMS O N
FOREIGNERS
REPORTED
A 89
BY N O N B A N K I N G
CONCERNS
(End of period. Amounts outstanding; in millions of dollars)
Liabilities to foreigners
Area and country
1970
Juner
Europe:
Austria
Belgium-Luxembourg
Denmark
Finland
France
Germany, Fed, Rep. of
Greece
Italy
Netherlands
Norway
Portugal
Spain
Sweden
Switzerland
Turkey
United K i n g d o m
Yugoslavia
Other Western E u r o p e
Eastern E u r o p e
Total
Canada
Latin America:
Argentina
Brazil
Chile
Colombia
Cuba
Mexico
Panama
Peru
Uruguay
Venezuela
Other L.A. republics
Bahamas and Bermuda
Neth. Antilles and Surinam.
Other Latin America
Total
Asia:
H o n g Kong
India
Indonesia
Israel
Japan
Korea
Philippines
Taiwan
Thailand
Other Asia
Total
Africa:
Congo (Kinshasa)
South Africa
U.A.R. (Egypt)
Other Africa
Total
Other countries:
Australia
All other
Total
International and r e g i o n a l . . . .
Grand total
Sept.
1970
1971
r
Dec.r
Mar.
Junef
June
4
74
3
1
156
164
3
84
116
5
5
47
31
159
2
666
1
21
3
6
66
3
1
141
166
3
69
124
6
10
48
35
185
3
661
1
21
5
8
46
2
2
126
139
4
77
128
5
13
24
34
159
4
819
2
11
4
11
47
9
2
112
122
4
71
115
4
14
27
28
122
3
704
1
1
4
12
58
3
2
117
105
5
69
102
5
18
35
31
85
5
646
I
2
3
1,544
1,556
1,605
1,403
1,302
2,076
205
215
215
201
185
691
15
14
9
5
10
17
11
6
11
19
11
6
14
15
13
6
17
17
8
6
21
5
6
5
19
28
63
38
6
28
5
6
5
14
35
94
24
5
22
5
4
4
18
37
154
23
6
20
6
4
4
17
29
158
5
5
20
6
4
4
17
29
152
7
6
62
100
37
37
1
140
19
37
6
63
102
160
8
19
320
296
293
790
9
38
9
24
144
1
7
9
4
50
8
25
5
28
165
11
7
10
4
59
8
22
6
19
158
10
7
11
3
122
!
296
322
;
2
34
1
41
•
234
7
37
7
17
113
2
7
4
3
28
*
i
1
i
I
260
8 1
41 J
7
21
135
1
7
8
4
47
281
227
i
i
!
!
I
!
:
j
1971
Sept.
8
58
17
8
176
174
27
173
72
13
18
72
27
37
11
1,137
15
12
20
Dec.
June 2 '
10
49
16
8
159
191
34
175
65
15
13
93
53
38
17
1,020
16
12
16
10
60
17
15
181
228
27
172
74
14
20
91
40
62
9
961
16
11
16
1,977
1,652
1,997
2,026
703
751
715
704
61
107
42
37
1
149
18
29
5
70
97
153
10
23
61
120
48
37
1
156
18
36
6
68
100
160
9
29
65
105
40
36
1
143
21
35
7
70
96
210
8
21
66
118
44
31
1
151
17
36
6
70
96
263
9
25
801
848
858
934
17
41
17 ;
23 ,'
311 |
50 1
33
29
15
125 j
19
42
14
21
314
29
32
27
13
145
17
34
21
23
323
42
30
33
11
145
19
39
20
24
348
48
31
32
12
155
25
39
21
26
371
53
56
37
13
159
366
662
657
678
728
801
2
31
2
19
2
45
1
33
5
35
10
49
4
29
11
48
3
30
9
50
5
32
10
53
6
38
9
67
78
54
82
99
92
92
100
120
*
*
*
!
1
1
1
!
;
1
1
i
!
i
1
|
;
!
1
:
;
1
14
19
2
37
i
15
24
2
|
51
72
I
90
69
6
;
74 ,
5
75
7
81
8
81
8
84
14
70
15
80
15
86
13
83
17
74
79
82
89
89
98
84
94
99
99
*
*
*
*
*
2
1
1
3
4
2,356
2,482
2,597
2,365
2,317
4,417
4,316
4,117
4,499
4,687
i
i
;
|
|
:
9
54
16
13
154
192
28
161
62
13
14
73
25
45
13
1,055
17
9
24 !
Mar.
10
47
17
11
150
209
28
163
62
16
15
81
40
47
'8
698
17
9
24
NOTE.—Reported by exporters, importers, and industrial and commercial concerns and other nonbanking institutions in the United States.
Claims on foreigners
j
1
|
Data exclude claims held through U.S. banks, and intercompany accounts
between U.S. companies and their foreign affiliates.
A 90
INTL. CAPITAL TRANSACTIONS OF THE U.S. • DECEMBER 1971
26. SHORT-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY
NONBANKING CONCERNS, BY TYPE
( A m o u n t s o u t s t a n d i n g ; in millions of dollars)
Liabilities
Claims
Payable in foreign
currencies
Payable
in
dollars
Payable
in
dollars
Total
Deposits with
b a n k s abroad
in reporter's
name
Other
1,203
1,353
1,371
1,386
916
1,029
1,027
1,039
287
324
343
347
2,585
2,555
2,946
3,011
2,110
2,116
2,529
2,599
199
192
201
203
275
246
216
209
©*»J Ln
OOOO U> 00
Total
Payable
in
foreign
currencies
991
1,056
1,271
1,225
367
417
407
382
3,369
3,855
3,907
3,783
2,936
3,415
3,292
3,173
211
210
422
368
222
229
193
241
1,576
1,613
1,797
( 1,786
{ 2,090
1 ,185
1,263
1,450
1,399
1,654
391
350
346
387
436
4,014
4,023
3,874
3,710
4,124
3,329
3,316
3,222
3,124
3,495
358
429
386
221
244
327
278
267
365
385
2,202
2,356
2,482
2,597
1,724
1,843
1,955
2,165
478
513
526
432
4,238
4,417
4,316
4,117
3,699
3,825
3,710
3,534
219
234
301
234
320
358
306
349
2,365
2,317
1,946
1,927
419
391
4,499
4,687
3,890
4,030
232
302
377
356
!
{
1
D a t a o n the two lines shown for this date differ
because of changes in reporting coverage. Figures o n
the first line are comparable with those shown for the
preceding d a t e ; figures o n the second line are comparable with those shown for the following date.
27. LONG-TERM LIABILITIES TO AND CLAIMS ON FOREIGNERS REPORTED BY NONBANKING CONCERNS
( A m o u n t s o u t s t a n d i n g ; in millions of dollars)
Claims
End of period
C o u n t r y or area
Total
liabilities
Total
United
Kingdom
Other
Europe
Canada
Brazil
Mexico
Other
Latin
America
Japan
Other
Asia
Africa
All
other
430
411
414
428
1,488
1,452
1,537
1,570
27
40
43
43
257
212
257
263
303
309
311
322
214
212
212
212
88
84
85
91
290
283
278
274
110
109
128
128
98
103
117
132
85
87
89
89
15
13
16
16
1968—Mar
June
Sept
Dec
582
747
767
1,129
1 ,536
1,568
1,625
1,790
41
32
43
147
265
288
313
306
330
345
376
419
206
205
198
194
61
67
62
73
256
251
251
230
128
129
126
128
145
134
142
171
84
83
82
83
21
33
32
38
1969—Mar
June
Sept
De
1,285
1,325
1,418
S i.725
{ 2,300
1,872
1,952
1,965
2,215
2,335
175
168
167
152
152
342
368
369
433
442
432
447
465
496
542
194
195
179
172
174
75
76
70
73
77
222
216
213
388
415
126
142
143
141
142
191
229
246
249
269
72
72
71
69
75
43
40
42
42
46
1970—Mar.r
Juner
Sept.r
Dec.r
2,353
2,585
2,768
3,087
2,716
2,729
2,858
2,912
159
161
157
146
735
712
720
708
554
571
601
650
178
175
177
181
74
65
63
60
453
472
582
603
158
166
144
140
286
286
283
290
71
76
73
71
47
54
58
64
1971—Mar
June»
3,154
3,137
2,945
2,955
154
151
687
692
652
656
179
177
63
64
600
615
161
138
299
310
78
76
72
75
1967—June
Sept
_ .
Dec.1
1 r
(
\
1
D a t a o n the two lines shown for this date differ because of changes
in reporting coverage. Figures on the first line are comparable with those
shown for the preceding date; figures o n the second line are c o m p a r a b l e
with those shown for the following date.
DECEMBER 1971 • MONEY RATES
A 91
FOREIGN EXCHANGE RATES
(In cents per unit of foreign currency)
Australia
Period
Austria
(schilling)
Argentina
(peso)
(pound)
Belgium
(franc)
Canada
(dollar)
Ceylon
(rupee)
Denmark
(krone)
Finland
(markka)
(dollar)
.30545
.28473
.28492
2
26.589
111.25
111.25
111.10
111.36
3.8688
3.8675
3.8654
3.8659
2.0125
2.0026
1.9942
2.0139
92.689
92.801
92.855
95.802
20.501
16.678
16.741
16.774
14.325
13.362
13.299
13.334
129.553
23.761
23.774
23.742
1970—Nov.
Dec.
24.864
24.836
111.11
111.12
3.8676
3.8681
2.0147
2.0137
98.014
98.276
16.792
16.792
13.336
13.354
23.722
23.722
1971—Jan..
Feb.
Mar.
Apr.
May,
June,
July.
Aug.
Sept.
Oct..
Nov.
24.829
24.831
24.835
24.673
24.156
23.602
22.642
20.757
19.919
19.923
19.925
111.82
112.38
112.42
112.38
112.42
112.43
112.42
113.17
114.78
115.76
115.89
3.8665
3.8651
3.8670
3.8696
4
3.9676
4.0021
4.0040
4.0264
4.0844
4.1261
4.1280
2.0145
2.0148
2.0145
2.0144
2.0164
2.0109
2.0133
2.0351
2.0921
2.1353
2.1572
98.831
99.261
99.367
99.237
99.138
97.913
97.912
98.670
98.717
99.537
99.607
16.792
16.792
16.792
16.792
16.792
16.792
16.792
16.792
16.839
16.820
16.806
13.361
13.359
13.368
13.353
13.334
13.342
1 3 .3 3 4
13.435
13.672
13.768
13.773
23.722
23.722
23.722
23.727
23.735
23.735
23.735
23.735
23.830
23.800
23.773
196 7
196 8
196 9
197 0
France
(franc)
Germany
(Deutsche
mark)
India
(rupee)
Ireland
(pound)
Italy
(lira)
Japan
(yen)
Malaysia
(dollar)
Mexico
(peso)
Netherlands
(guilder)
1967.
1968.
1969.
1970
20.323
20.191
5 19.302
18.087
25.084
25.048
6 25.491
27.424
13.255
13.269
13.230
13.233
275.04
239.35
239.01
239.59
.16022
.16042
.15940
.15945
.27613
.27735
.27903
.27921
32.519
32.591
32.623
32.396
8.0056
8.0056
8.0056
8.0056
27.759
27.626
27.592
27.651
1970-
18.120
18.107
27.544
27.437
13.231
13.229
239.03
239.06
.16064
.16039
.27956
.27959
32.402
32.382
8.0056
8.0056
27.793
27.763
18.119
18.122
18.129
18.126
18.094
18.092
18.136
18.130
18.112
18.073
18.096
27.496
27.594
27.538
27.516
7
28.144
28.474
28.728
29.277
29.794
30.065
30.005
13.269
13.311
13.304
13.315
13.330
13.346
13.347
13.345
13.401
13.349
13.353
240.58
241.78
241.87
241.74
241.87
241.87
241.85
243.46
246.94
249.06
249.33
.16045
.16036
.16063
.16070
.16059
.16009
.16048
.16157
.16292
.16332
.16324
.27932
.27969
.27971
.27972
.27979
.27979
.27980
.28113
.29583
.30202
.30418
32.515
32.615
32.616
32.604
32.642
32.720
32.733
32.737
33.354
33.573
33.627
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
8.0056
27.820
27.814
27.816
27.776
28.135
28.065
28.097
28.693
29.308
29.772
30.006
Norway
(krone)
Portugal
(escudo)
South
Africa
(rand)
Spain
(peseta)
Sweden
(krona)
Switzerland
(franc)
United
Kingdom
(pound)
Period
1971Feb
July
Sept
New Zealand
P er io d
7
(pound)
(dollar)
276.69
5131.97
111.37
111.21
111.48
13.985
14.000
13.997
13.992
3.4784
3.4864
3.5013
3.4978
139.09
139.10
138.90
139.24
1.6383
1.4272
1.4266
1.4280
19.373
19.349
19.342
19.282
23.104
23.169
23.186
23.199
275.04
239.35
239.01
239.59
1970—Nov..
Dec..
111.22
111.23
13.996
14.021
3.4924
3.4919
138.91
138.93
1.4290
1.4290
19.324
19.340
23.155
23.187
239.03
239.06
1971—Jan.. .
Feb..
Mar..
Apr...
May..
June..
July..
Aug...
Sept..
Oct...
Nov..
111.94
112.50
112.54
112.50
112.54
112.55
112.53
113.28
114.95
115.88
116.01
14.003
14.001
14.010
14.028
13.556
14.062
14.073
14.244
14.494
14.599
14.578
3.5000
3.5031
3.5019
3.5000
3.5013
3.5027
3.5016
3.5289
3.5970
3.6275
3.6342
139.81
140.51
140.56
140.51
140.56
140.57
140.55
141.46
140.88
140.43
140.40
1.4290
1.4290
1.4290
1.4291
1.4291
1.4290
1.4292
1.4335
1.4415
101.4457
1.4533
19.365
19.332
19.369
19.368
19.357
19.370
19.371
19.502
19.732
1 9 .9 1 4
19.989
23.227
23.266
23.254
23.263
9 24.253
24.409
24.423
24.813
25.118
25.157
25.104
240.58
241.78
241.87
241.79
241.87
241.87
241.85
243.46
246.94
249.06
249.33
1967.
1968.
1969.
1970.
1 Effective Oct. 12, 1967, the Finnish m a r k k a was devalued f r o m 3.2
t o 4.2 m a r k k a a per U . S . dollar.
2
A new Argentine peso, equal t o 100 old pesos, was introduced o n
J a n . 1, 1970. Since A p r . 6, 1971, t h e official exchange r a t e is set daily by
t h e G o v e r n m e n t of A r g e n t i n a .
3 O n J u n e 1, 1970, t h e C a n a d i a n G o v e r n m e n t a n n o u n c e d that, f o r the
t i m e being, C a n a d a will n o t m a i n t a i n the exchange rate of the C a n a d i a n
dollar within the margins required by I M F rules.
4
Effective M a y 9, 1971, t h e A u s t r i a n schilling was revalued t o 24.75
p e r U.S. dollar.
5
Effective Aug. 10, 1969, the F r e n c h f r a n c was devalued f r o m 4.94 to
5.55 f r a n c s p e r U.S. dollar.
6 Effective Oct. 26, 1969, the new p a r value of the G e r m a n m a r k was
set at 3.66 p e r U.S. dollar.
7
Effective M a y 10, 1971, t h e G e r m a n m a r k a n d N e t h e r l a n d s guilder
h a v e b e e n floated. .
8
Effective July 10, 1967, N e w Z e a l a n d a d o p t e d the decimal currency
system. T h e new unit, the dollar, replaces t h e p o u n d a n d consists of 100
cents, equivalent to 10 shillings or one-half the f o r m e r p o u n d .
9
Effective M a y 10, 1971, t h e Swiss f r a n c was revalued t o 4.08 per
U.S. dollar.
10 Effective Oct. 20, 1971, t h e Spanish peseta was revalued t o 68.455
per U.S. dollar.
NOTE.—After the d e v a l u a t i o n of the p o u n d sterling o n N o v . 18, 1967,
the following countries devalued their currency in relation t o the U.S.
d o l l a r : Ceylon, D e n m a r k , Ireland, N e w Z e a l a n d , a n d Spain.
Effective A u g . 16, 1971, t h e U.S. dollar convertibility t o gold was suspended ; as f r o m t h a t day foreign central b a n k s did n o t have to s u p p o r t
the dollar r a t e in order t o k e e p it within I M F limits.
Averages of certified n o o n buying rates in N e w Y o r k for cable transfers.
F o r description of rates a n d b a c k d a t a , see " I n t e r n a t i o n a l F i n a n c e , "
Section 15 of Supplement to Banking and Monetary Statistics, 1962.
A 92
MONEY RATES • DECEMBER 1971
CENTRAL BANK RATES FOR DISCOUNTS AND ADVANCES TO COMMERCIAL BANKS
(Per cent p e r a n n u m )
C h a n g e s d u r i n g the last 12 m o n t h s
N o v . 30, 1970
1970
Country
Per
cent
Month
effective
Dec.
6.0
5.0
7.0
20.0
4.0
Dec.
Jan.
Oct.
July
Feb.
1957
1970
1970
1969
1962
6.0
5.5
14.0
8.0
4.0
Nov.
May
July
May
June
9.0
8.0
4.0
7.0
7.0
May
Jan.
Aug.
Apr.
Oct.
1969
1970
1964
1962
1970
G e r m a n y , F e d . R e p . of
Ghana
Greece
Honduras . . . . . . . . . . . . . . . .
Iceland
6.5
5.5
6.0
3.0
9.0
Nov.
Mar.
July
Jan.
Jan.
1970
1968
1969
1962
1966
India
Indonesia
Iran
Ireland
Israel
5.0
6.0
8.0
7.31
6.0
Mar.
May
Aug.
May
Feb.
1968
1969
1969
1970
1955
5.5
6.0
6.0
24.0
4.5
Mar.
May
Oct.
Apr.
June
1970
1969
1970
1970 2 3 . 0
1942
6.0
7.0
6.0
4.5
5.0
Aug.
Mar.
Apr.
Sept.
June
9.5
10.0
3.5
5.5
6.5
Nov.
June
Apr.
Aug.
Mar.
1959
1969
1970
1968
1970
Sweden
Switzerland
Taiwan
Thailand
Tunisia
7.0
3.75
10.8
5.0
5.0
July
Sept.
May
Oct.
Sept.
1969
1969
1969
1959
1966
Turkey
United Arab Rep. (Egypt). .
United Kingdom
Venezuela
Vietnam
9.0
5.0
7.0
5.0
18.0
Sept.
May
Apr.
Oct.
Sept.
Feb.
1970
1962
1970
1970
1970
Mar.
1969
1961
1954
1969
1965
Peru
Philippine R e p u b l i c
Portugal
South Africa
Spain
Jan.
1970
1968
1969
1963
1966
Brazil
Burma
Ceylon
Chile
Costa Rica
Denmark
Ecuador
Italy
Jamaica
Japan
Korea
Mexico
;....
Netherlands
New Zealand
Nicaragua
Norway
Pakistan
6.5
Apr.
May
June
July
6.0
Aug.
Sept.
Oct.
Nov.
6.0
5.0
5.5
20.0
4.0
5.5
5.25
4.75
5.5
14.0
8.0
4.0
4.75
8.0
7.5
7.5
8.0
4.0
8.50
6.5
8.50
6.5
6.75
6.0
6.5
5.0
4.5
5.5
6.0
3.0
9.0
4.5
6.0
6.0
6.0
8.0
7.31
6.0
6.0
5.0
5.5
5.75
4.5
5.5
4.5
5.5
5.25
20.0
4.5
5.25
20.0
5.5
5.0
5.0
7.0
6.0
4.5
5.0
9.5
10.0
3.75
6.5
5.0
3.75
6.5
6.25
6.0
6.5
5.0
6.0
9.8
NOTE.—Rates s h o w n are mainly t h o s e at which the central b a n k either
d i s c o u n t s or m a k e s advances against eligible c o m m e r c i a l p a p e r a n d / o r
govt, securities f o r c o m m e r c i a l b a n k s o r b r o k e r s . F o r c o u n t r i e s with
m o r e t h a n o n e r a t e applicable t o s u c h d i s c o u n t s o r advances, the r a t e
s h o w n is the o n e at which it is u n d e r s t o o d the c e n t r a l b a n k t r a n s a c t s
t h e largest p r o p o r t i o n of its credit o p e r a t i o n s . O t h e r rates f o r s o m e
o f these c o u n t r i e s f o l l o w :
Argentina—3
a n d 5 per cent f o r c e r t a i n r u r a l a n d industrial p a p e r , dep e n d i n g o n type of t r a n s a c t i o n ;
Brazil—8 per cent f o r secured p a p e r a n d 4 p e r cent f o r certain agricultural
paper;
Chile—1 p e r cent f o r loans t o c o n s u m e r cooperatives a n d t o h a n d i c r a f t
a n d small- a n d m e d i u m - s i z e d i n d u s t r i e s ; 6 p e r cent f o r industrial transf o r m a t i o n l o a n s ; 8 p e r cent f o r p r e s h i p m e n t loans, agricultural p a p e r
a n d l o a n s t o firms following prescribed policies; 17 p e r cent f o r c o n s t r u c t i o n p a p e r b e y o n d a basic r e d i s c o u n t p e r i o d , p e r s o n a l loans, special
r e d i s c o u n t s , a n d cash position l o a n s ; a n d 18 p e r cent f o r selective redisc o u n t s . A fluctuating r a t e applies t o p a p e r covering the acquisition of
capital g o o d s .
Colombia—5
p e r cent f o r w a r e h o u s e receipts covering a p p r o v e d lists of
p r o d u c t s , 6 and 7 per cent f o r agricultural b o n d s , a n d 12 a n d 18 per cent
f o r r e d i s c o u n t s in excess of a n individual b a n k ' s q u o t a ;
Costa Rica—5 per cent f o r p a p e r related t o c o m m e r c i a l t r a n s a c t i o n s
(rate s h o w n is f o r agricultural a n d industrial p a p e r ) ;
Rate
as of
N o v . 30,
1971
1971
5.5
9.25
6.0
5.0
5.0
5.0
3.75
9.25
5.0
5.0
9.0
5.0
5.0
5.0
18.0
Ecuador—5 p e r cent f o r special a d v a n c e s a n d f o r b a n k a c c e p t a n c e s f o r
agricultural p u r p o s e s , 7 per cent f o r b a n k acceptances f o r industrial
p u r p o s e s , a n d 10 p e r cent f o r a d v a n c e s t o cover shortages in legal reserves;
Honduras—Rate
s h o w n is for a d v a n c e s only.
Indonesia—Various
rates d e p e n d i n g o n type of p a p e r , collateral, c o m m o d i t y involved, e t c . ;
Japan—Penalty
rates (exceeding t h e basic r a t e s h o w n ) f o r b o r r o w i n g s
f r o m t h e central b a n k in excess of a n i n d i v i d u a l b a n k ' s q u o t a ;
Peru—3.5, 5, a n d 7 per cent f o r small credits t o agricultural o r fish p r o d u c tion, i m p o r t s u b s t i t u t i o n industries a n d m a n u f a c t u r e of e x p o r t s ; 8 p e r
cent f o r o t h e r agricultural, industrial a n d mining p a p e r ;
Philippines—6 p e r cent f o r financing t h e p r o d u c t i o n , i m p o r t a t i o n , a n d dist r i b u t i o n of rice a n d c o r n a n d 7.75 p e r cent f o r credits t o enterprises e n gaged in e x p o r t activities. Preferential rates are also g r a n t e d o n credits t o
rural banks; and
Venezuela—2 per cent f o r r e d i s c o u n t s of certain agriculture p a p e r , 4 l / i
per cent f o r a d v a n c e s against g o v e r n m e n t b o n d s , a n d 5Vi p e r cent f o r
rediscounts of certain industrial p a p e r a n d o n advances against p r o m i s s o r y
notes o r securities of first-class V e n e z u e l a n c o m p a n i e s .
Vietnam—10 p e r cent f o r e x p o r t p a p e r ; treasury b o n d s are r e d i s c o u n t e d
at a r a t e 4 percentage p o i n t s a b o v e t h e r a t e carried by the b o n d ; a n d
there is a penalty r a t e of 24 p e r cent f o r b a n k s whose loans exceed q u a n titative ceilings.
DECEMBER 1971 • MONEY RATES; ARBITRAGE
A 93
OPEN MARKET RATES
(Per cent p e r a n n u m )
United Kingdom
Canada
Month
Prime
Treasury
bank
bills,
bills,
3 3 months
3 months
Day-today
money 5
Treasury
bills,
60-90
days6
Day-today
money 7
Treasury
bills,
3 months
Day-today
money
6.80
7.64
5.99
6.75
5.00
5.84
8.22
8.97
2.75
4.42
1.84
4.81
4.65
5.55
4.96
5.98
3.75
4.21
8.06
8.06
6.81
6.82
5.81
5.95
5.00
5.00
7.30
7.46
6.25
5.75
8.44
7.52
5.75
5.91
4.33
6.73
5.25
5.25
8.06
8.06
8.06
7.06
7.06
6.74
6.42
5.99
3 5.42
8 4.90
4.74
6.79
6.75
6.66
5.75
5.65
5.60
5.57
5.75
4.83
4.63
4.48
5.84
6.08
6.12
5.15
5.36
4.71
5.00
5.05
4.39
4.29
3.75
5.00
5.00
5.00
4.00
4.00
4.00
4.00
4.00
3.00
2.88
2.70
6.46
6.00
5.77
5.53
5.84
6.45
5.62
5.69
5.75
5.75
5.75
4.75
4.75
4.25
4.25
4.25
4.25
3.75
7.61
7.32
7.36
4.23
2.31
6.95
6.33
6.18
7.01
7.50
5.60
5.05
4.49
3.59
3.88
4.39
4.03
4.24
4.34
4.47
4.46
5.41
3.27
1.13
1.84
2.91
2.69
5.53
3.80
5.35
5.25
5.25
5.25
5.25
5.25
5.25
5.25
5.25
5.25
5.25
196 8
196 9
5.96
7.15
5.31
6.95
7.26
8.49
1970—No v
Dec
4.74
4.47
4.52
5.07
1971—Ja n
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov.
4.59
4.51
3.30
3.04
3.06
3.15
3.58
3.88
3.93
3.79
. 3.31
5.25
4.90
3.48
2.65
2.76
3.01
3.64
3.94
4.16
4.16
3.60
a v e r a g e yield of weekly t e n d e r s d u r i n g m o n t h .
weekly a v e r a g e s of daily closing rates.
1968 t h r o u g h Sept. 1971 a r e f o r b a n k e r s ' a c c e p t a n c e s , 3
1968 t h r o u g h Sept. 1971 a r e f o r b a n k e r s ' a l l o w a n c e o n
ARBITRAGE ON
(Per cent
4
5
R a t e s h o w n is o n p r i v a t e securities.
6 R a t e in effect a t e n d of m o n t h .
7
M o n t h l y averages b a s e d o n daily q u o t a t i o n s .
8
Bill r a t e s in t a b l e a r e b u y i n g r a t e s f o r p r i m e p a p e r .
NOTE.—For d e s c r i p t i o n a n d b a c k d a t a , see " I n t e r n a t i o n a l
S e c t i o n 15 of Supplement to Banking and Monetary Statistics,
Private
discount
rate
Finance,"
1962.
SEASURY BILLS
annum)
U n i t e d States a n d U n i t e d K i n g d o m
U n i t e d States a n d C a n a d a
T r e a s u r y bill r a t e s
Date
Switzerland
Clearing
banks'
deposit
rates4
Day-today
money z
1 Based o n
2 Based o n
3 Data for
months.
4
D a t a for
deposits.
Netherlands
Day-today
money
Treasury
bills,
3 months l
:.
Germany,
Fed. R e p . of
France
T r e a s u r y bill r a t e s
United
Kingdom
(adj. to
U.S.
quotation
basis)
United
States
Spread
(favor
of
London)
Premium
( + ) or
discount
( —) o n
forward
pound
Net
incentive
(favor
of
London)
Cai l a d a
As
quoted
in
Canada
Adj. to
U.S.
quotation
basis
United
States
Spread
(favor
of
Canada)
Premium
(+)or
discount
( —) o n
forward
Canadian
dollars
Net
incentive
(favor
of
Canada)
1971
June
4
11
18
25
5.52
5.53
5.53
5.53
4.18
4.56
4.81
4.76
1.34
.97
.72
.77
-1.06
-1.16
-.92
-.87
.28
-.19
-.20
-.10
3.05
3.06
3.09
3.19
2.99
3.00
3.02
3.12
4.18
4.56
4.81
4.76
-1.19
-1.56
-1.79
-1.64
1.30
1.27
1.56
1.56
.11
-.29
-.23
-.08
July
2
9
16
23
30
5.53
5.50
5.56
5.56
5.56
5.14
5.33
5.37
5.28
5.20
.39
.17
.19
.28
.36
-.80
-.58
-.37
-.96
-.63
-.41
-.41
-.18
-.68
.27
3.40
3.55
3.56
3.53
3.70
3.33
3.47
3.48
3.45
3.62
5.14
5.33
5.37
5.28
5.20
-1.81
-1.86
-1.89
-1.83
-1.58
1.10
1.27
1.39
1.28
1.35
-.71
-.59
-.50
-.55
-.23
Aug.
6
13
20
27
5.53
5.63
5.73
5.70
5.23
5.10
4.49
4.55
.30
.53
1.24
1.15
-.48
.40
-.24
.91
-.18
.93
2.06
3.92
3.98
3.84
3.79
3.83
3.92
3.75
3.70
5.23
5.10
4.49
4.55
-1.40
-1.18
-.74
-.85
1.22
1.34
1.13
1.13
-.18
.16
.39
.28
3
10
17
24
4.89
4.72
4.72
4.77
4.42
4.59
4.68
4.67
.47
.16
.04
.10
1.71
1.47
1.64
3.30
2.18
1.63
1.68
3.40
3.89
3.79
3.88
3.99
3.80
3.70
3.77
3.90
4.42
4.59
4.68
4.67
-.62
-.89
-.91
-.77
1.22
1.26
1.14
1.05
.60
.37
.23
.28
1
4.77
4.73
4.63
5.53
4.53
4.52
4.45
4.35
4.38
4.30
.25
.28
.28
1.15
.23
1.88
1.97
1.93
.44
-.66
2.13
2.25
2.21
1.59
-.43
4.05
4.00
3.92
3.71
3.47
3.95
3.81
3.83
3.63
3.39
4.52
4.45
4.35
4.38
4.30
-.57
-.54
-.52
-.75
-.91
.75
.42
.26
.04
.04
.18
-.12
-.26
-.71
-.87
4.51
4.51
4.49
4.47
4.06
4.11
4.06
4.36
.45
.40
.43
.11
.26
.48
1.09
2.13
.71
.88
1.52
2.24
3.35
3.31
3.33
3.30
3.28
3.24
3.26
3.23
4.06
4.11
4.06
4.36
-.78
-.87
-.80
-1.19
.12
.24
.44
.60
-.66
-.63
-.36
-.59
Sept.
Oct.
15
22
Nov.
5
12
19
26
1.00
NOTE.—Treasury bills: All r a t e s are o n t h e latest issue of 91-day bills.
U . S . a n d C a n a d i a n r a t e s a r e m a r k e t offer r a t e s 11 a . m . F r i d a y ; U . K .
r a t e s are F r i d a y o p e n i n g m a r k e t offer r a t e s in L o n d o n .
Premium or discount on forward pound and on forward Canadian
dollar:
R a t e s per a n n u m c o m p u t e d o n basis o f m i d p o i n t q u o t a t i o n s (between
bid a n d o f f e r ) a t 11 a . m . F r i d a y in N e w Y o r k f o r b o t h s p o t a n d f o r w a r d
p o u n d sterling a n d f o r b o t h s p o t a n d f o r w a r d C a n a d i a n dollars.
All series: Based o n q u o t a t i o n s r e p o r t e d t o F . R . B a n k of N e w Y o r k
by m a r k e t sources.
F o r d e s c r i p t i o n of series a n d f o r b a c k figures, see O c t . 1964 BULLETIN,
p p . 1241-60. F o r d e s c r i p t i o n of a d j u s t m e n t s t o U . K . a n d C a n a d i a n
T r e a s u r y bill r a t e s , see n o t e s t o T a b l e 1, p . 1257, a n d t o T a b l e 2, p . 1260,
O c t . 1 9 6 4 BULLETIN.
A 94
GOLD RESERVES • DECEMBER 1971
GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS
(In millions of dollars)
Estimated
total
world i
Intl.
Monetary
Fund
United
States
Estimated
rest of
world
Algeria
Argentina
43,015
243,230
43,185
41,600
40,905
41,015
2,179
31,869
2,652
2,682
2,288
2,310
15,471
13,806
13,235
12,065
10,892
11,859
25,365
27,285
27,300
26,855
27,725
26,845
6
6
6
155
205
205
71
66
84
84
109
135
226
223
224
231
257
263
600
700
701
701
714
715
41,275
2,902
3,224
4,339
11,495
11,478
11,072
25,865
205
205
191
140
140
140
283
283
239
4,380
4,400
4,404
4,338
4,448
4,523
4,479
4,695
4,722
4,724
11,040
11,039
10,963
10,925
10,568
10,507
10,453
10,209
10,207
10,207
191
191
191
191
191
191
192
192
192
192
140
140
140
140
140
140
140
140
140
240
240
239
253
254
254
259
259
259
259
41,240
41,250
Colombia
Denmark
Finland
25,875
26,220
p
26,2S0
France
Germany,
Fed.
Rep. of
58
35
26
31
31
26
92
97
108
107
114
89
85
84
45
45
45
45
3,729
4,706
5,238
5,234
3,877
3,547
4,248
4,410
4,292
4,228
4,539
4,079
26
18
17
64
64
64
45
45
29
3,537
3,533
3,532
17
17
16
16
16
16
16
14
14
14
64
64
64
64
64
64
64
64
64
64
29
29
29
29
29
29
29
49
49
49
3,532
3,531
3,527
3,527
3,523
3,523
3,523
3,523
3,523
3,523
Kuwait
Lebanon
Austria
Brazil
Burma
Canada
1,451
1,558
1,525
1,480
1,524
1,520
92
63
45
45
45
45
84
84
84
84
84
84
1,026
1,151
1,046
1,015
863
872
714
714
714
1,528
1,528
1,470
45
45
45
63
63
63
880
880
791
714
714
714
728
747
747
746
752
722
722
1,470
1,468
1,466
1,502
1,592
1,584
1,600
1,584
1,572
1,564
45
45
45
46
46
46
46
46
46
46
63
42
42
42
22
22
22
22
22
22
791
791
791
791
792
792
792
792
792
792
India
77
78
Belgium
Iraq
Ireland
Israel
Italy
130
140
130
247
281
243
243
243
243
141
146
130
144
158
158
112
110
106
115
193
193
2,107
2,404
2,414
2,400
2,923
2,956
4,081
4,081
3,980
119
117
117
243
243
243
148
131
131
151
144
144
2,983
2,981
2,887
3,979
3,978
3,977
4,029
4,035
4,046
4,077
4.076
4.077
4,077
114
99
99
99
99
99
99
99
98
98
243
243
243
243
243
243
243
243
243
131
131
131
131
130
131
131
131
131
144
144
144
143
143
143
143
143
143
143
2,886
2,885
2,884
2,884
2,884
2,884
2,884
120
Malaysia
Mexi-
Moroc-
Netherlands
169
158
109
34
21
,688
,756
,730
,711
,697
,720
31
31
18
18
24
25
53
53
53
53
54
54
,801
Norway
2,8r'
2,884
2,884
Pakistan
Philippines
Portugal
67
67
65
20
20
25
23
38
44
60
62
45
523
576
643
699
856
876
48
52
67
136
122
86
193
193
288
288
17
68
68
68
85
85
7
2
1
31
66
63
165
169
21
21
21
86
86
86
288
288
288
85
85
85
63
63
48
176
176
176
21
21
,832
,787
33
23
23
54
54
54
40
40
40
59
59
56
902
902
902
86
86
86
86
87
87
87
87
87
87
288
322
322
322
322
322
322
322
322
85
85
85
85
85
85
85
85
85
85
48
48
48
48
53
58
58
58
58
58
176
176
176
182
182
21
21
21
21
21
21
21
21
21
,812
,812
,812
,863
,867
,867
,888
,889
,889
,889
23
23
23
31
32
32
34
34
34
34
54
54
54
54
54
55
55
55
55
55
40
40
40
40
40
40
40
40
58
59
60
61
62
63
64
65
66
67
902
902
902
902
902
902
895
907
911
911
F o r notes see end of table.
183
Libya
Australia
182
166
182
184
21
21
DECEMBER 1971 • GOLD RESERVES AND PRODUCTION
A 95
GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued
(In millions of dollars)
E n d of
period
South
Africa
Spain
Switzerland
Sweden
Thailand
Taiwan
Turkey
U.A.R.
(Egypt)
United
Kingdom
Uruguay
Venezuela
Yugoslavia
Bank
for
Intl.
Settlements 4
574
425
637
583
1,243
1,115
616
810
785
785
785
784
189
202
203
203
225
226
2,725
3,042
2,842
3,089
2,624
2,642
55
55
62
81
81
82
104
96
92
92
92
92
104
116
102
97
97
117
139
139
93
93
93
93
2,136
2,265
1,940
1,291
1,474
1,471
171
155
146
140
133
165
401
401
401
401
403
403
17
19
21
22
50
51
-50
-558
-424
-624
-349
-480
1970—Oct
Nov
Dec
879
788
666
534
534
498
225
225
200
2,720
2,720
2,732
82
82
82
92
92
92
126
126
126
93
93
85
1,454
1,354
1,349
165
161
162
404
384
384
52
52
52
-308
-305
-282
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct. 2 '
632
632
634
630
630
551
481
486
475
460
498
498
498
498
498
498
498
498
498
200
200
200
200
200
200
200
200
200
200
2,731
2,731
2,806
2,806
2,807
2,857
2,909
2,909
2,909
2,909
82
82
82
84
82
82
82
81
81
92
82
82
81
81
81
81
81
82
82
126
126
127
127
127
127
127
127
127
127
85
85
85
85
85
85
85
85
85
1,246
1,224
1,123
1,022
905
804
804
778
778
162
162
162
152
152
151
148
148
148
148
384
384
384
389
389
389
391
391
r
391
391
32
32
32
52
52
52
52
52
52
52
-173
-173
-73
13
118
213
225
210
215
227
1964
1965
1966
1967
1968
1969
1
Includes r e p o r t e d o r e s t i m a t e d gold h o l d i n g s of i n t e r n a t i o n a l a n d
regional organizations, central b a n k s a n d govts, of c o u n t r i e s listed in
this table a n d also of a n u m b e r n o t s h o w n separately here, a n d gold t o b e
d i s t r i b u t e d by the T r i p a r t i t e C o m m i s s i o n f o r t h e R e s t i t u t i o n of M o n e t a r y
G o l d ; excludes h o l d i n g s of t h e U . S . S . R . , o t h e r E a s t e r n E u r o p e a n c o u n tries, and C h i n a M a i n l a n d .
T h e figures included f o r t h e B a n k f o r I n t e r n a t i o n a l Settlements are
t h e B a n k ' s gold assets net of gold deposit liabilities. T h i s p r o c e d u r e
a v o i d s the o v e r s t a t e m e n t of total world gold reserves since m o s t of t h e
gold deposited with the BIS is included in the gold reserves of individual
countries.
2
A d j u s t e d t o include gold subscription p a y m e n t s t o the I M F m a d e by
s o m e m e m b e r countries in anticipation of increase in F u n d q u o t a s , except
t h o s e m a t c h e d by gold mitigation deposits with the U n i t e d States a n d
U n i t e d K i n g d o m ; a d j u s t m e n t is $270 million.
3
Excludes gold subscription p a y m e n t s m a d e by s o m e m e m b e r c o u n t r i e s
in a n t i c i p a t i o n of increase in F u n d q u o t a s : f o r m o s t of these c o u n t r i e s
t h e increased q u o t a s b e c a m e effective in F e b . 1966.
4 N e t gold assets of BIS, i.e., gold in b a r s a n d c o i n s a n d o t h e r gold
assets m i n u s gold deposit liabilities.
NOTE.—For b a c k figures a n d description of t h e d a t a in this a n d t h e
following tables o n gold (except p r o d u c t i o n ) , see " G o l d , " Section 14 of
Supplement to Banking and Monetary Statistics, 1962.
GOLD PRODUCTION
(In millions of dollars at $35 per fine troy o u n c e )
North and South America
Africa
Period
World
production i
South
Africa
Ghana
Congo
(Kinshasa)
United
States
Canada
Mexico
1,069.4
1,080.8
1,068.7
1,088.0
1,090.7
1,128.0
26.4
24.0
26.7
25.4
24.8
24.8
2.3
5.6
5.4
5.9
6.0
6.2
58.6
63.1
53.4
53.9
60.1
63.5
125.6
114.6
103.7
94.1
89.1
81.8
7.6
7.5
5.8
6.2
6.3
6.9
1970—Sep t
Oct
Nov
Dec
96.2
96.6
94.4
89.7
2.2
1971—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
91.3
89.6
94.3
91.9
91.5
92.0
93.4
92.3
91.3
1965
1966
1967
1968
1969
\970p
1,440.0
1,445.0
1,410.0
1,420.0
1,420.0
1,450.0
i E s t i m a t e d ; excludes U.S.S.R., o t h e r E a s t e r n
China Mainland, and North Korea.
Asia
Nicaragua
Colombia
5.4
5.2
5.2
4.9
3.7
3.8
Other
Philippines
Australia
All
other
11.2
9.8
9.0
8.4
7.7
7.1
4.6
4.2
3.4
4.0
3.4
3.7
18.1
19.4
23.7
21.5
23.7
24.8
15.3
15.8
17.2
18.5
20.0
21.1
30.7
32.1
28.4
27.6
24.5
21.7
64.8
62.9
59.4
61.6
60.0
56.6
6.6
6.9
6.5
6.8
countries,
Japan
.7
.6
.6
.5
.3
.3
.3
.3
1.9
2.3
7.0
6.6
6.7
6.5
6.7
6.7
5.8
6.3
6.1
European
India
.4
.6
.5
.5
.5
.4
.4
.4
l'.l
.6
1.6
1.7
1.7
2.0
1.7
1.6
2.3
A 96
BOARD OF GOVERNORS
OF THE FEDERAL RESERVE SYSTEM
ARTHUR F .
BURNS,
Chairman
J. L . ROBERTSON,
GEORGE W . MITCHELL
Vice
Chairman
J. DEWEY D A A N E
SHERMAN J. MAISEL
ANDREW F . BRIMMER
R O B E R T C . H O L L A N D , Executive
Director
J . CHARLES P A R T E E , Adviser to the Board
R O B E R T S O L O M O N , Adviser to the Board
H O W A R D H . H A C K L E Y , Assistant to the Board
C H A R L E S M O L O N Y , Assistant to the Board
ROBERT L . C A R D O N , Assistant to the Board
D A V I D B . H E X T E R , Assistant to the Board
E D W I N J . J O H N S O N , Assistant to the Board
F R A N K O ' B R I E N , J R . , Special Assistant to the Board
JOSEPH R . C O Y N E , Special Assistant to the Board
J O H N S . R I P P E Y , Special Assistant to the Board
DIVISION OF RESEARCH AND STATISTICS
OFFICE OF EXECUTIVE DIRECTOR
ROBERT C . H O L L A N D , Executive
D A V I D C . M E L N I C O F F , Deputy
Director
Executive
Director
Assistant Director and
Program Director for Contingency Planning
HARRY J . H A L L E Y , Program Director for Management Systems
W I L L I A M W . L A Y T O N , Director of Equal Employment
Opportunity
B R E N T O N C . L E A V I T T , Program Director
for
Banking
Structure
GORDON B . G R I M W O O D ,
OFFICE OF THE S E C R E t A R Y
T Y N A N S M I T H , Secretary
K E N N E T H A . K E N Y O N , Deputy
Secretary
M U R R A Y A L T M A N N , Assistant
Secretary
NORM AND R . V . B E R N A R D , Assistant
Secretary
A R T H U R L . B R O I D A , Assistant
Secretary
E L I Z A B E T H L . CARMICHAEL,
Assistant
Secretary
LEGAL DIVISION
THOMAS J . O ' C O N N E L L , General
Counsel
ROBERT F . SANDERS, Deputy General
Counsel
PAULINE B . HELLER,
Adviser
DIVISION OF FEDERAL RESERVE BANK
OPERATIONS
JAMES A . M C I N T O S H , Director
J O H N N . K I L E Y , J R . , Associate
Director
W A L T E R A . A L T H A U S E N , Assistant
Director
D O N A L D G . B A R N E S , Assistant
Director
HARRY A . G U I N T E R , Assistant
Director
P . D . R I N G , Assistant
Director
JAMES L . V I N I N G , Assistant
Director
C H A R L E S C . W A L C U T T , Assistant
Director
L L O Y D M . SCHAEFFER, Chief Federal
Reserve
Examiner
J . C H A R L E S P A R T E E , Director
S T E P H E N H . A X I L R O D , Associate
Director
SAMUEL B . C H A S E , Associate
Director
L Y L E E . G R A M L E Y , Associate
Director
S T A N L E Y J . S I G E L , Adviser
M U R R A Y S . W E R N I C K , Adviser
K E N N E T H B . W I L L I A M S , Adviser
JAMES B . E C K E R T , Associate
Adviser
PETER M . K E I R , Associate
Adviser
JAMES L . P I E R C E , Associate
Adviser
E D W A R D C . E T T I N , Assistant
Adviser
S T E P H E N P . T A Y L O R , Assistant
Adviser
LOUIS W E I N E R , Assistant
Adviser
JOSEPH S . Z E I S E L , Assistant
Adviser
L E V O N H . G A R A B E D I A N , Assistant
Director
DIVISION OF INTERNATIONAL
FINANCE
ROBERT S O L O M O N , Director
J O H N E . R E Y N O L D S , Associate
Director
ROBERT L . SAMMONS, Associate
Director
J O H N F . L . G H I A R D I , Adviser
A . B . H E R S E Y , Adviser
R E E D J . IRVINE, Adviser
S A M U E L I . K A T Z , Adviser
BERNARD N O R W O O D , Adviser
R A L P H C . W O O D , Adviser
R A L P H C . B R Y A N T , Associate
Adviser
ROBERT F . G E M M I L L , Associate
Adviser
SAMUEL P I Z E R , Associate
Adviser
DIVISION OF SUPERVISION AND REGULATION
FREDERIC S O L O M O N , Director
B R E N T O N C . L E A V I T T , Deputy
Director
FREDERICK R . D A H L , Assistant
Director
JACK M . E G E R T S O N , Assistant
Director
J O H N P . F L A H E R T Y , Assistant
Director
J A N E T O . H A R T , Assistant
Director
J O H N N . L Y O N , Assistant
Director
J O H N T . M C C L I N T O C K , Assistant
Director
THOMAS A . S I D M A N , Assistant
Director
A 97
BOARD OF GOVERNORS
Continued
DIVISION OF PERSONNEL
ADMINISTRATION
OFFICE OF THE CONTROLLER
J O H N K A K A L E C , Controller
HARRY J . H A L L E Y , Deputy
R O N A L D G . B U R K E , Director
J O H N J . H A R T , Assistant
Director
DIVISION OF DATA
DIVISION OF ADMINISTRATIVE
SERVICES
JOSEPH E . K E L L E H E R , Director
D O N A L D E . A N D E R S O N , Assistant
J O H N D . S M I T H , Assistant
Director
PROCESSING
JEROLD E . S L O C U M , Director
C H A R L E S L . H A M P T O N , Associate
Director
G L E N N L . C U M M I N S , Assistant
Director
BENJAMIN R . W . KNOWLES, J R . ,
Assistant
Director
Controller
Director
H E N R Y W . M E E T Z E , Assistant
R I C H A R D S . W A T T , Assistant
Director
Director
A 98
FEDERAL OPEN MARKET COMMITTEE
ARTHUR F . BURNS, Chairman
ALFRED HAYES, Vice
Chairman
A N D R E W F . BRIMMER
M O N R O E KIMBREL
GEORGE W .
GEORGE H . C L A Y
SHERMAN J. MAISEL
FRANK E . MORRIS
J. D E W E Y D A A N E
ROBERT P . M A Y O
J. L . ROBERTSON
ROBERT C . HOLLAND,
Deputy
ARTHUR L . BROIDA,
N O R M A N D R . V . BERNARD,
Assistant
Assistant
CHARLES M O L O N Y ,
HOWARD H . HACKLEY,
DAVID B . HEXTER,
Secretary
J. CHARLES PARTEE,
Associate
Counsel
ROBERT W . EISENMENGER,
Associate
KARL A . SCHELD,
Economist
ALAN R . HOLMES,
CHARLES A . COOMBS,
Manager,
CLARENCE W . T O W ,
System Open Market
Special Manager,
Economist
Economist
Associate
Economist
Associate
Economist
Associate
CHARLES T . TAYLOR,
Economist
Economist
Economist
Associate
Associate
ROBERT SOLOMON,
Associate
Economist
Associate
JOHN E . REYNOLDS,
Economist
STEPHEN H . AXILROD,
A . B . HERSEY,
Counsel
Assistant General
Associate
LYLE E . GRAM LEY,
Secretary
General
Secretary
GEORGE GARVY,
Secretary
MITCHELL
Economist
Account
System Open Market
Account
FEDERAL ADVISORY COUNCIL
J O H N M . M E Y E R , J R . , SECOND FEDERAL RESERVE DISTRICT,
A . W . C L A U S E N , T W E L F T H FEDERAL RESERVE DISTRICT,
President
G A Y L O R D F R E E M A N , S E V E N T H FEDERAL
M A R K C . W H E E L E R , FIRST FEDERAL
RESERVE DISTRICT
RESERVE DISTRICT
A L L E N M O R G A N , E I G H T H FEDERAL
G . M O R R I S D O R R A N C E , J R . , THIRD FEDERAL
RESERVE DISTRICT
RESERVE DISTRICT
T . M . R E A R D O N , N I N T H FEDERAL
J O H N S . F A N G B O N E R , F O U R T H FEDERAL
RESERVE DISTRICT
RESERVE DISTRICT
M O R R I S F . M I L L E R , T E N T H FEDERAL
J O S E P H W . B A R R , F I F T H FEDERAL
RESERVE DISTRICT
RESERVE DISTRICT
J O H N E . G R A Y , E L E V E N T H FEDERAL
H A R R Y H O O D B A S S E T T , SIXTH FEDERAL
RESERVE DISTRICT
RESERVE DISTRICT
Vice
President
HERBERT V . PROCHNOW,
WILLIAM J . KORSVIK,
Assistant
Secretary
Secretary
A 99
FEDERAL RESERVE BANKS AND BRANCHES
Federal Reserve Bank,
branch, or facility
Zip code
Chairman
Deputy Chairman
President
First Vice President
Boston
02106
James S. Duesenberry
Louis W. Cabot
Frank E. Morris
Earle O. Latham
New York
10045
Albert L. Nickerson
Roswell L. Gilpatric
Norman F. Beach
Alfred Hayes
William F. Treiber
Buffalo
....14240
Vice President
in charge of branch
A. A. Maclnnes, Jr.
Philadelphia
19101
Bayard L. England
D. Robert Yarnall, Jr.
David P. Eastburn
Mark H. Willes
Cleveland
44101
Albert G. Clay
J. Ward Keener
Graham E. Marx
Lawrence E. Walkley
Willis J. Winn
Walter H. MacDonald
Wilson H. Elkins
Robert W. Lawson, Jr.
Arnold J. Kleff, Jr.
John L. Fraley
Aubrey N. Heflin
Robert P. Black
Edwin I. Hatch
John C. Wilson
W. Cecil Bauer
Castle W. Jordan
Edward J. Boling
D. Ben Kleinpeter
Monroe Kimbrel
Kyle K. Fossum
Emerson G. Higdon
William H. Franklin
Peter B. Clark
Robert P. Mayo
Ernest T. Baughman
Frederic M. Peirce
Sam Cooper
A1 Pollard
John G. Beam
C. Whitney Brown
Darryl R. Francis
Eugene A. Leonard
David M. Lilly
Bruce B. D a y t o n
William A. Cordingley
Bruce K. MacLaury
Robert W. Wagstaff
Willard D. Hosford, Jr.
Cris Dobbins
C. W. Flint, Jr.
Henry Y. Kleinkauf
George H. Clay
John T. Boy sen
Chas. F. Jones
Philip G. Hoffman
Joseph M. Ray
Geo. T. Morse, Jr.
W. A. Belcher
Philip E. Coldwell
T. W. Plant
O. Meredith Wilson
S. Alfred Halgren
J. Lei and Atwood
Frank Anderson
Roy den G. Derrick
Francis G. Crane
Eliot J. Swan
A. B. Merritt
Cincinnati
Pittsburgh
Richmond
Baltimore
Charlotte
45201
15230
23261
21203
28201
Fred O. Kiel
James H. Campbell
H. Lee Boatwright, III
Jimmie R. Monhollon
Culpeper Communications
Center
22701
Atlanta
30303
Birmingham
Jacksonville
Nashville
New Orleans
35202
32203
37203
70160
Miami Office
33101
Chicago
60690
Detroit
48231
St. Louis
63166
Little Rock
Louisville
Memphis
72203
40201
38101
Minneapolis
55480
Helena
59601
Kansas City
64198
Denver
Oklahoma City ....
Omaha
Dallas
80217
73125
68102
75222
El Paso
Houston
San Antonio
79999
77001
78295
San Francisco
94120
Los Angeles
Portland
Salt Lake City
Seattle
90051
97208
84110
98124
Dan L. Hendley
Edward C. Rainey
Jeffrey J. Wells
Arthur H. Kantner
Daniel M. Doyle
John F. Breen
Donald L. Henry
Laurence T. Britt
M . H . Strothman, Jr.
Howard L. Knous
George C. Rankin
Howard W. Pritz
Frederic W. Reed
J. Lee Cook
Carl H. Moore
Paul W. Cavan
William M. Brown
Arthur L. Price
William R. Sandstrom
A 100
FEDERAL RESERVE BOARD PUBLICATIONS
Available from Publications Services, Division of Administrative Services, Board of Governors of the Federal Reserve System,
Washington, D.C. 20551. Where a charge is indicated, remittance should accompany request and be made payable to the order of
the Board of Governors of the Federal Reserve System in a form collectible at par in U.S. currency. (Stamps and coupons not
accepted.)
ANNUAL REPORT
Sec. 12. Money Rates and Securities Markets. 1966.
182 pp. $.65. Sec. J4. Gold. 1962. 24 pp. $.35.
Sec. 15. International Finance. 1962. 92 pp. $.65.
Spc. 16 (New). Consumer Credit. 1965. 103 pp. $.65.
FEDERAL RESERVE BULLETIN. Monthly. $6.00
per annum or $.60 a copy in the United States and
its possessions, Bolivia, Canada, Chile, Colombia,
Costa Rica, Cuba, Dominican Republic, Ecuador,
Guatemala, Haiti, Republic of Honduras, Mexico,
Nicaragua, Panama, Paraguay, Peru, El Salvador,
Uruguay, and Venezuela; 10 or more of same
issue sent to one address, $5.00 per annum or $.50
each. Elsewhere, $7.00 per annum or $.70 a copy.
INDUSTRIAL PRODUCTION—1957-59 BASE.
1962. 172 pp. $1.00 a copy; 10 or more sent to one address, $.85 each.
FEDERAL RESERVE CHART BOOK ON FINANCIAL AND BUSINESS STATISTICS. Monthly. Annual subscription includes one issue of Historical Chart Book. $6.00 per annum or $.60 a copy
in the United States and the countries listed above;
10 or more of same issue sent to one address, $.50
each. Elsewhere, $7.00 per annum or $.70 a copy.
BANKING MARKET STRUCTURE & PERFORMANCE IN METROPOLITAN AREAS: A STATISTICAL STUDY OF FACTORS AFFECTING
RATES ON BANK LOANS. 1965. 73 pp. $.50 a
copy; 10 or more sent to one address, $.40 each.
HISTORICAL CHART BOOK. Issued annually in
Sept. Subscription to monthly chart book includes
one issue. $.60 a copy in the United States and
countries listed above; 10 or more sent to one address, $.50 each. Elsewhere, $.70 a copy.
THE FEDERAL RESERVE ACT, as amended through
Nov. 5, 1966, with an appendix containing provisions of certain other statutes affecting the Federal
Reserve System. 353 pp. $1.25.
REGULATIONS OF THE BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.
PUBLISHED INTERPRETATIONS OFTHE BOARD
OF GOVERNORS, as of Dec. 31, 1970. $2.50.
BANK MERGERS & THE REGULATORY AGENCIES: APPLICATION OF THE BANK MERGER
ACT OF 1960. 1964. 260 pp. $1.00 a copy; 10 or
more sent to one address, $.85 each.
THE PERFORMANCE OF BANK HOLDING COMPANIES. 1967. 29 pp. $.25 a copy; 10 or more sent
to one address, $.20 each.
FARM DEBT. Data from the 1960 Sample Survey of
Agriculture. 1964. 221 pp. $1.00 a copy; 10 or more
sent to one address, $.85 each.
MERCHANT AND DEALER CREDIT IN AGRICULTURE. 1966. 109 pp. $1.00 a copy; 10 or more sent
to one address, $.85 each.
THE FEDERAL FUNDS MARKET. 1959. I l l pp.
$1.00 a copy; 10 or more sent to one address, $.85
each.
FLOW OF FUNDS IN THE UNITED STATES,
1939-53. 1955. 390 pp. $2.75.
TRADING IN FEDERAL FUNDS. 1965. 116 pp.
$1.00 a copy; 10 or more sent to one address, $.85
each.
FLOW OF FUNDS ACCOUNTS, 1945-1968. March
1970. 138 pp. $1.00 per copy; 10 or more sent to one
address, $.85 each.
U.S. TREASURY ADVANCE REFUNDING, JUNE
1960-JULY 1964. 1966. 65 pp. $.50 a copy; 10 or
more sent to one address, $.40 each.
DEBITS AND CLEARING STATISTICS AND THEIR
USE. 1959. 144 pp. $1.00 a copy; 10 or more sent
to one address, $.85 each.
BANK CREDIT-CARD AND CHECK-CREDIT
PLANS. 1968. 102 pp. $1.00 a copy; 10 or more sent
to one address, $.85 each.
SUPPLEMENT TO BANKING AND MONETARY
STATISTICS. Sec. 1. Banks and the Monetary System. 1962. 35 pp. $.35. Sec. 2. Member Banks. 1967.
59 pp. $.50. Sec. 5. Bank Debits. 1966. 36 pp. $.35.
Sec. 6. Bank Income. 1966. 29 pp. $.35. Sec. 9.
Federal Reserve Banks. 1965. 36 pp. $.35. Sec. 10.
Member Bank Reserves and Related Items. 1962.
64 pp. $.50. Sec. 11. Currency. 1963. 11 pp. $.35.
INTEREST RATE EXPECTATIONS: TESTS ON
YIELD SPREADS AMONG SHORT-TERM GOVERNMENT SECURITIES. 1968. 83 pp. $.50 a
copy; 10 or more sent to one address, $.40 each.
SURVEY OF FINANCIAL CHARACTERISTICS OF
CONSUMERS. 1966. 166 pp. $1.00 a copy; 10 or
more sent to one address, $.85 each.
A 101
SURVEY OF CHANGES IN FAMILY FINANCES.
1968. 321 pp. $1.00 a copy; 10 or more sent to one
address, $.85 each.
MEASURES OF INDUSTRIAL PRODUCTION AND
FINAL DEMAND, by Clayton Gehman and Cornelia Motheral. Jan. 1967.57 pp.
REPORT OF THE JOINT TREASURY-FEDERAL
RESERVE STUDY OF THE U.S. GOVERNMENT
SECURITIES MARKET. 1969. 48 pp. $.25 a copy;
10 or more sent to one address, $.20.
OPTIMAL CHOICE OF MONETARY POLICY INSTRUMENTS IN A SIMPLE STOCHASTIC
MACRO MODEL, by William Poole. Sept. 1970. 20
pp.
JOINT TREASURY-FEDERAL RESERVE STUDY
OFTHE GOVERNMENTSECURITIES MARKET:
STAFF STUDIES—PART 1 (papers by Cooper,
Bernard, and Scherer). 1970. 86 pp. $.50 a copy; 10
or more sent to one address, $.40 each. PART 2
(papers by Ettin, Peskin, and Ahearn and Peskin).
1971. 153 pp. $1.00 a copy; 10 or more sent to one
address, $.85 each.
UNCERTAINTY AND STABILIZATION POLICIES
FOR A NONLINEAR
MACROECONOMIC
MODEL, by Franklin R. Shupp. Dec. 1970. 23 pp.
(Limited supplies, in mimeographed or similar
form, of staff papers other than those contained in
Parts 1 and 2 are available upon request for single
copies. See p. 48 of main report for a list of such
papers)
OPEN MARKET POLICIES AND OPERATING
PROCEDURES—STAFF STUDIES (papers by
Axilrod, Davis, Andersen, Kareken et al., Pierce,
Friedman, and Poole). 1971. 218 pp. $2.00 a copy;
10 or more sent to one address, $ 1.75 each.
REAPPRAISAL OF THE FEDERAL RESERVE
DISCOUNT MECHANISM, Vol. 1 (papers by
Steering Committee, Shull, Anderson, and Garvy).
1971. 276 pp. Vol. 2 (papers by Boulding,
Chandler, Jones, Ormsby, Modigliani, Alperstein, Melichar, and Melichar and Doll). 1971.
173 pp. $3.00 a copy; 10 or more sent to one
address, $2.50 each.
Limited supply of the following papers relating to
the Discount Study, in mimeographed or similar form,
available upon request for single copies:
RESERVE ADJUSTMENTS OF THE EIGHT MAJOR NEW YORK CITY BANKS DURING 1966.
1968.29pp.
DISCOUNT POLICY AND BANK SUPERVISION. 1968.72pp.
ACADEMIC VIEWS ON IMPROVING THE FEDERAL RESERVE DISCOUNT MECHANISM.
1970.172 pp.
STAFF ECONOMIC
STUDIES
Studies and papers on economic and financial subjects
that are of general interest in the field of economic
research.
OPERATING POLICIES OF BANK HOLDING
COMPANIES—PART 1, by Robert J. Lawrence.
Apr. 1971,82 pp.
THE RELATIVE IMPORTANCE OF MONETARY
AND FISCAL VARIABLES IN DETERMINING
PRICE LEVEL MOVEMENTS: A NOTE, by Peter
S. Rose and Lacy H. Hunt II. June 1971. 7 pp.
ESTIMATION OF THE INVESTMENT AND PRICE
EQUATIONS OF A MACROECONOMETRIC
MODEL, by Robert J. Shiller. June 1971. 65 pp.
ADJUSTMENT AND DISEQUILIBRIUM COSTS
AND THE ESTIMATED BRAINARD—TOBIN
MODEL, by Joseph Bisignano. July 1971. 108 pp.
A TEST OF THE "EXPECTATIONS HYPOTHESIS"
USING DIRECTLY OBSERVED WAGE AND
PRICE EXPECTATIONS, by Stephen J. Turnovsky
and Michael L. Wachter. Aug. 1971. 25 pp.
MORTGAGE REPAYMENTS AS A SOURCE OF
LOANABLE FUNDS, by Robert Moore Fisher.
Aug. 1971. 43 pp.
THE USE OF INTEREST RATE POLICIES AS A
STIMULUS TO ECONOMIC GROWTH, by Robert
F. Emery. Sept. 1971. 37 pp.
Printed in full in the Bulletin.
(Reprints available as shown in following list.)
REPRINTS
ADJUSTMENT FOR SEASONAL VARIATION. June
1941. 11 pp.
SEASONAL FACTORS AFFECTING BANK RESERVES. Feb. 1958. 12 pp.
LIQUIDITY AND PUBLIC POLICY, Staff Paper by
Stephen H. Axilrod. Oct. 1961. 17 pp.
S u m m a r i e s only printed in the Bulletin.
SEASONALLY ADJUSTED SERIES FOR BANK
CREDIT. July 1962. 6 pp.
(Limited supply of mimeographed copies of full text
available upon request for single copies.)
INTEREST RATES AND MONETARY POLICY,
Staff Paper by Stephen Axilrod. Sept. 1962. 28 pp.
A 102
FEDERAL RESERVE BULLETIN • DECEMBER 1971
MEASURES OF MEMBER BANK RESERVES.
July 1963. 14 pp.
FEDERAL FISCAL POLICY IN THE 1960's. Sept.
1968. 18 pp.
CHANGES IN BANKING STRUCTURE, 1953-62.
Sept. 1963. 8 pp.
BUSINESS FINANCING BY BUSINESS FINANCE
COMPANIES. Oct. 1968. 13 pp.
REVISION OF BANK DEBITS AND DEPOSIT
TURNOVER SERIES. Mar. 1965. 4 pp.
MANUFACTURING CAPACITY: A COMPARISON
OF TWO SOURCES OF INFORMATION, Staff
Economic Study by Jared J. Enzler. Nov. 1968. 5 pp.
TIME DEPOSITS IN MONETARY ANALYSIS, Staff
Economic Study by Lyle E. Gramley and Samuel B.
Chase, Jr. Oct. 1965. 25 pp.
RESEARCH ON BANKING STRUCTURE AND
PERFORMANCE, Staff Economic Study by Tynan
Smith. Apr. 1966. 11 pp.
COMMERCIAL BANK LIQUIDITY, Staff Economic
Study by James Pierce. Aug. 1966. 9 pp.
A REVISED INDEX OF MANUFACTURING CAPACITY, Staff Economic Study by Frank de Leeuw
with Frank E. Hopkins and Michael D. Sherman.
Nov. 1966. 11 pp.
THE ROLE OF FINANCIAL INTERMEDIARIES IN
U.S. CAPITAL MARKETS, Staff Economic Study
by Daniel H. Brill with Ann P. Ulrey. Jan. 1967.
14 pp.
REVISED SERIES ON COMMERCIAL AND INDUSTRIAL LOANS BY INDUSTRY. Feb. 1967.
2 pp.
AUTO LOAN CHARACTERISTICS AT MAJOR
SALES FINANCE COMPANIES. Feb. 1967. 5 pp.
SURVEY OF FINANCE COMPANIES, MID-1965.
Apr. 1967. 26 pp.
EVIDENCE ON CONCENTRATION IN BANKING
MARKETS AND INTEREST RATES, Staff Economic Study by Almarin Phillips. June 1967. 11 pp.
NEW BENCHMARK PRODUCTION MEASURES,
1958 AND 1963. June 1967. 4 pp.
THE PUBLIC INFORMATION ACT—ITS EFFECT
ON MEMBER BANKS. July 1967. 6 pp.
INTEREST COST EFFECTS OF COMMERCIAL
BANK UNDERWRITING OF MUNICIPAL REVENUE BONDS. Aug. 1967. 16 pp.
THE FEDERAL RESERVE-MIT ECONOMETRIC
MODEL, Staff Economic Study by Frank de Leeuw
and Edward Gramlich. Jan. 1968. 30 pp.
U.S. INTERNATIONAL TRANSACTIONS: TRENDS
IN 1960-67. Apr. 1968. 23 pp.
MONETARY RESTRAINT AND BORROWING AND
CAPITAL SPENDING BY LARGE STATE AND
LOCAL GOVERNMENTS IN 1966. July 1968.
30 pp.
MONETARY RESTRAINT, BORROWING, AND
CAPITAL SPENDING BY SMALL LOCAL GOVERNMENTS AND STATE COLLEGES IN 1966.
Dec. 1968. 30 pp.
REVISION OF CONSUMER CREDIT STATISTICS.
Dec. 1968. 21 pp.
HOUSING PRODUCTION AND FINANCE. Mar.
1969. 7 pp.
OUR PROBLEM OF INFLATION. June 1969. 15 pp.
THE CHANNELS OF MONETARY POLICY, Staff
Economic Study by Frank de Leeuw and Edward
Gramlich. June 1969. 20 pp.
REVISION OF WEEKLY SERIES FOR COMMERCIAL BANKS. Aug. 1969. 5 pp.
EURO-DOLLARS: A CHANGING MARKET. Oct.
1969. 20 pp.
RECENT CHANGES IN STRUCTURE OF COMMERCIAL BANKING. Mar. 1970. 16 pp.
SDR's IN FEDERAL RESERVE OPERATIONS
AND STATISTICS. May 1970. 4 pp.
INFLATION IN WESTERN EUROPE AND JAPAN.
Oct. 1970. 13 pp.
MEASURES OF SECURITY CREDIT. Dec. 1970.
11pp.
MONETARY AGGREGATES AND MONEY MARKET CONDITIONS IN OPEN MARKET POLICY.
Feb. 1971. 26 pp.
BANK FINANCING OFMOBILE HOMES.Mar. 1971.
4 pp.
RESPONSE OF STATE AND LOCAL GOVERNMENTS TO VARYING CREDIT CONDITIONS.
Mar. 1971.24 pp.
CHANGES IN BANK LENDING PRACTICES, 1970.
Apr. 1971. 5 pp.
U.S. BALANCE OF PAYMENTS AND INVESTMENT POSITION. Apr. 1971. 14 pp.
INTEREST RATES, CREDIT FLOWS, AND MONETARY AGGREGATES SINCE 1964. June 1971.
16 pp.
FEDERAL RESERVE BOARD PUBLICATIONS
A 103
TWO KEY ISSUES OF MONETARY POLICY. June
1971. 4 pp.
CHANGES IN TIME AND SAVINGS DEPOSITS,
APRIL-JULY 1971. Nov. 1971. 11pp.
SURVEY OF DEMAND DEPOSIT OWNERSHIP.
June 1971. 12 pp.
FINANCIAL DEVELOPMENTS IN THE THIRD
QUARTER OF 1971. Nov. 1971.9 pp.
BANK RATES ON BUSINESS LOANS—REVISED
SERIES. June 1971. 10 pp.
REVISION OF THE MONEY STOCK. Nov. 1971.
14 pp.
AND
BALANCE OF PAYMENTS PROGRAM: REVISED
GUIDELINES FOR BANKS AND NONBANK
FINANCIAL INSTITUTIONS. Nov. 1971. 11pp.
INDUSTRIAL PRODUCTION—REVISED
NEW MEASURES. July 1971. 26 pp.
BANKING AND MONETARY STATISTICS, 1970.
Selected series of banking and monetary statistics for
1970 only. Feb., Mar., and July 1971. 19pp.
TREASURY AND FEDERAL RESERVE FOREIGN
EXCHANGE OPERATIONS. Oct. 1971. 32 pp.
REVISED MEASURES OF MANUFACTURING
CAPACITY UTILIZATION. Oct. 1971. 3 pp.
REVISED SERIES ON BANK CREDIT. Dec. 1971.
5 pp.
PLANNED AND ACTUAL LONG-TERM BORROWING BY STATE & LOCAL GOVERNMENTS.
Dec. 1971. 11 pp.
ANTICIPATED SCHEDULE OF RELEASE DATES FOR PUBLIC PERIODIC RELEASES1—BOARD OF
GOVERNORS OF THE FEDERAL RESERVE SYSTEM
Weekly releases
Approximate
release day
Date or period to which
data refer
Aggregate Reserves and Member Bank Deposits (H.3)
Tuesday
Week ended previous
Wednesday
Applications and Reports Received, or Acted on, by the Board
(H.2)
Tuesday
Week ended previous
Saturday
Assets and Liabilities of All Commercial Banks in the United States
(H.8)
Wednesday
Wednesday, 2 weeks earlier
Changes in State Bank Membership (K.3)
Tuesday
Week ended previous
Saturday
Commercial and Industrial Loans Outstanding, by Industry (H. 12)2
Wednesday
Wednesday, 1 week earlier
Condition Report of Large Commercial Banks in New York and
Chicago (H.4.3)
Thursday
Previous Wednesday
Condition Report of Large Commercial Banks and Domestic
Subsidiaries (H.4.2)3
Wednesday
Wednesday, 1 week earlier
Deposits, Reserves, and Borrowings of Member Banks (H.7)
Wednesday
Week ended 3 Wednesdays
earlier
Factors Affecting Bank Reserves and Condition Statement of
Federal Reserve Banks (H.4.1)
Thursday
Week ended previous
Wednesday
A 104
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Approximate
release day
Date or period to which
data refer
Money Stock Measures (H.6)
Thursday
Week ended Wednesday of
previous week
Reserve Positions of Major Reserve City Banks (H.5)
Friday
Week ended Wednesday of
previous week
Selected Interest and Exchange Rates for Major Countries and the
United States (H.13)
Thursday
Week ended previous
Saturday
Weekly Foreign Exchange Rates (H. 10)
Monday
Week ended previous Friday
Weekly Summary of Banking and Credit Measures (H.9)
Thursday
Week ended previous
Wednesday; and week
ended Wednesday of
previous week
Weekly U.S. Government Security Yields and Prices (H. 15)
Monday
Week ended previous
Saturday
1st and 16th
of month
Period since last release
Assets and Liabilities of All Member Banks by Districts (G.7.1)
14th of month
Last Wednesday of previous
month
Automobile Loans by Major Finance Companies (G.25)
7th working
day of month
2nd month previous
Automobile Instalment Credit Developments (G.26)
6th working
day of month
2nd month previous
Bank Debits, Deposits, and Deposit Turnover (G.6)
25th of month
Business Indexes (G.12.3)
(Industrial Production Indexes also available annually, see
p. A-106)
15th of month
Previous month
Previous month
Commercial and Industrial Term Loans Outstanding by Industry
(H. 12b) Available only as attachment to weekly H.12 release
2nd Wednesday of month
Last Wednesday of previous
month
Consumer Credit (G.19)
3rd working
day of month
2nd month previous
Consumer Instalment Credit at Commercial Banks (G.18)
4th working
day of month
2nd month previous
Finance Companies (G.20)
5th working
day of month
2nd month previous
Interdistrict Settlement Fund (G.15)
15th of month
Index Numbers of Wholesale prices (G.8)
20th of month
Maturity Distribution of Euro-Dollar Deposits in Foreign Branches
of U.S. Banks (G.17)
1st of month
Last day of 3rd month previous
Maturity Distribution of Outstanding Negotiable Time Certificates
of Deposit (G.9)
24th of month
Last Wednesday of previous
month
Weekly releases (cont.)
Semimonthly releases
Research Library—Recent Acquisitions (J.2)
Monthly releases
Previous month
Previous month
FEDERAL RESERVE BOARD PUBLICATIONS
Monthly releases (cont.)
Approximate
release day
A 105
Date or period to which
data refer
Monthly Foreign Exchange Rates (G.5)
1 st of month
Previous month
National Summary of Business Conditions (G.12.2)
15th of month
Previous month
Open Market Money Rates and Bond Prices (G. 13)
6th of month
Previous month
State Member Banks of Federal Reserve System and Nonmember
Banks that Maintain Clearing Accounts with Federal Reserve
Banks (G.4)
1st week of
Previous month
month
1st week of
February
End of previous year
Last week of
month
Release date
4th of month
Previous month
Bank Rates on Short-Term Business Loans (E.2)
18th of March,
June, September, December
1st 15 days of February,
May, August, November
Capacity Utilization in Manufacturing (E.5)
21st of January, April,
July, October
Previous quarter
Flow of funds:
Seasonally adjusted and unadjusted (Z. 1)
Seasonally adjusted only (Z. la)
15th of February, May,
August, and
November
Previous quarter
10th of April,
June, September, December
2nd quarter previous
(Also annual)
Summary of Equity Security Transactions (G. 16)
U.S. Government Security Yields and Prices (G. 14)
Quarterly releases
Volume and Composition of Individuals' Saving
(flow of funds series) (E.8)
Sales, Profits, and Dividends of Large Corporations (E.6)4
Semiannual releases
Approximate
release day
Date or period to which
data refer
Assets and Liabilities of All Commercial Banks, by Class of Bank
(E.3.4)
May and November
End of previous December
and June
List of OTC Margin Stocks (E.7)
June 30, December 31
Release date
Last week of
month
Period since last release
May and November
End of Previous December
and June
(Also monthly revisions)
Assets, Liabilities, and Capital Accounts of Commercial and
Mutual Savings Banks—Reports of Call (Joint Release of Federal Deposit Insurance Corp., Board of Governors of Federal
Reserve System, and Office of Comptroller of the Currency.
Published and distributed by FDIQ
A 106
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Annual releases
Approximate
release date
Date or period to which
data refer
Bank Debits to Demand Deposit Accounts Except Interbank and
U.S. Government Accounts (C.5)
March 25
Previous year
End of Month Demand Deposits Except Interbank and U.S.
Government Accounts (C.5a)
March 25
Previous year
Federal Reserve Par List (G.3)
Early November
Previous September 30
5th of month
Period since
last release
November
Previous year
End of May
Previous year
(Also monthly supplements)
Industrial production Indexes
(Available upon request, after being announced)
Member Bank Income (C.4)
R e l e a s e d a t e s a r e t h o s e a n t i c i p a t e d or u s u a l l y m e t . H o w e v e r , it s h o u l d b e n o t e d t h a t f o r s o m e r e l e a s e s t h e r e is n o r m a l l y a c e r t a i n
v a r i a b i l i t y b e c a u s e of r e p o r t i n g or p r o c e s s i n g p r o c e d u r e s . M o r e o v e r , f o r all s e r i e s u n u s u a l c i r c u m s t a n c e s m a y , f r o m t i m e to t i m e , r e s u l t
in a r e l e a s e d a t e b e i n g l a t e r t h a n a n t i c i p a t e d .
2
C o n t a i n s m o n t h l y H . 12b r e l e a s e o n s e c o n d W e d n e s d a y of m o n t h .
3
Contains revised H . 4 . 3 data.
4
Publication temporarily suspended.
INDEX TO STATISTICAL TABLES
(For list of tables published periodically, but not monthly, see page A-3.)
Acceptances, bankers', 14, 33, 35
Agricultural loans of commercial banks, 24, 26
Arbitrage, 93
Assets and liabilities (See also Foreigners):
Banks, by classes, 20, 24, 25, 26, 39
Banks and the monetary system, 19
Corporate, current, 51
Federal Reserve Banks, 12
Automobiles:
Consumer instalment credit, 56, 57, 58
Production index, 60, 61
Bank credit proxy, 18
Bankers' balances, 25, 28
(See also Foreigners, claims on, and liabilities to)
Banks and the monetary system, 19
Banks for cooperatives, 40
Bonds (See also U.S. Govt, securities):
New issues, 47, 48, 49
Yields and prices, 36, 37
Branch banks, liabilities of U.S. banks to their foreign branches,
30, 88
Brokerage balances, 87
Business expenditures on new plant and equipment, 51
Business indexes, 64
Business loans (See Commercial and industrial loans)
Capacity utilization, 64
Capital accounts:
Banks, by classes, 20, 25, 30
Federal Reserve Banks, 12
Central banks, 92, 94
Certificates of deposit, 30
Coins, circulation, 16
Commercial and industrial loans:
Commercial banks, 24, 33
Weekly reporting banks, 26, 31
Commercial banks:
Assets and liabilities, 20, 24, 25, 26
Consumer loans held, by type, 57
Deposits at, for payment of personal loans, 32
Loans sold outright, 33
Number, by classes, 20
Real estate mortgages held, by type, 52
Commercial paper, 33, 35
Condition statements (See Assets and liabilities)
Construction, 64, 65
Consumer credit:
Instalment credit, 56, 57, 58, 59
Noninstalment credit, by holder, 57
Consumer price indexes, 64, 68
Consumption expenditures, 70, 71
Corporations:
Sales, profits, taxes, and dividends, 50, 51
Security issues, 48, 49
Security yields and prices, 36, 37
Cost of living (See Consumer price indexes)
Currency and coin, 5, 10, 25
Currency in circulation, 5, 16, 17
Customer credit, stock market, 38
Debits to deposit accounts, 15
Debt (See specific types of debt or securities)
Demand deposits:
Adjusted, banks and the monetary system, 19
Adjusted, commercial banks, 15,18,25 .
Banks, by classes, 11, 20, 25, 29, 39
Ownership by individuals, partnerships, and
corporations, 32
Demand deposits—Continued
Subject to reserve requirements, 18
Turnover, 15
Deposits (See also specific types of deposits):
Accumulated at commercial banks for payment of personal
loans, 32
Adjusted, and currency, 19
Banks, by classes, 11, 20, 25, 29, 39
Euro-dollars, 88
Federal Reserve Banks, 12, 88
Postal savings, 19, 25
Subject to reserve requirements, 18
Discount rates (See Interest rates)
Discounts and advances by Reserve Banks, 4, 9, 12, 13, 15
Dividends, corporate, 50, 51
Dollar assets, foreign, 77, 83
Earnings and hours, manufacturing industries, 67
Employment, 64, 66, 67
Euro-dollar deposits in foreign branches of U.S. banks, 88
Farm mortgage loans, 52, 53
Federal agency obligations, 12, 13, 14, 15
Federal finance:
Cash transactions, 42
Receipts and expenditures, 43
Treasury operating balance, 42
Federal funds, 8, 24, 26, 30, 35
Federal home loan banks, 40, 41, 53
Federal Housing Administration, 52, 53, 54, 55
Federal intermediate credit banks, 40, 41
Federal land banks, 40, 41
Federal National Mortgage Assn., 40, 41, 55
Federal Reserve Banks:
Condition statement, 12
U.S. Govt, securities held, 4, 12, 15, 44, 45
Federal Reserve credit, 4, 6, 12, 15
Federal Reserve notes, 12, 16
Federally sponsored credit agencies, 40, 41
Finance companies:
Loans, 26, 56, 57, 59
Paper, 33, 35
Financial institutions, loans to, 24, 26
Float, 4
Flow of funds, 72
Foreign:
Currency operations, 12, 14, 77, 83
Deposits in U.S. banks, 5, 12, 19, 25, 29, 88
Exchange rates, 91
Trade, 75
Foreigners:
Claims on, 84, 85, 88, 89, 90
Liabilities to, 30, 78, 79, 81, 82, 83, 88, 89, 90
Gold:
Certificates, 12, 13, 16
Earmarked, 88
Net purchases by U. S., 76
Production, 95
Reserves of central banks and govts., 94
Stock, 4, 19, 77
Government National Mortgage Association, 55
Gross national product, 70, 71
Hours and earnings, manufacturing industries, 67
Housing permits, 64
Housing starts, 65
A 108
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Income, national and personal, 70, 71
Industrial production index, 60-63, 64
Instalment loans, 56, 57, 58, 59
Insurance companies, 39, 44, 45, 53
Insured commercial banks, 22,24,32
Interbank deposits, 11, 20, 25
Interest rates:
Business loans by banks, 34
Federal Reserve Banks, 9
Foreign countries, 92, 93
Money market rates, 35
Mortgage yields, 55
Prime rate, commercial banks, 34
Time and savings deposits, maximum rates, 11
Yields, bond and stock, 36
International capital transactions of the U.S., 78-90
International institutions, 76, 77, 92, 94
Inventories, 70
Investment companies, issues and assets, 49
Investments (See also specific types of investments):
Banks, by classes, 20, 24, 27, 28, 39
Commercial banks, 18
Federal Reserve Banks, 12, 15
Life insurance companies, 39
Savings and loan assns., 40
Labor force, 66
Loans (See also specific types of loans):
Banks, by classes, 20, 24, 26, 27, 39
Commercial banks, 18, 20, 24, 26, 27, 31, 33, 34
Federal Reserve Banks, 4,6, 12, 15
Insurance companies, 39, 53
Insured or guaranteed by U.S., 52, 53,54,55
Savings and loan assns., 40, 53
Manufacturers:
Capacity utilization, 64
Production index, 61,64
Margin requirements, 10
Member banks:
Assets and liabilities, by classes, 20, 24
Borrowings at Reserve Banks, 6, 12
Deposits, by classes, 11
Number, by classes, 20
Reserve position, basic, 8
Reserve requirements, 10
Reserves and related items, 4, 18
Mining, production index, 61, 64
Mobile home shipments, 65
Money rates (See Interest rates)
Money stock and related data, 17, 19
Mortgages (See Real estate loans and Residential mortgage
loans)
Mutual funds (See Investment companies)
Mutual savings banks, 19, 29, 39, 44, 45, 52
National banks, 22, 32
National income, 70, 71
National security expenditures, 43, 70
Nonmember banks, 22, 24, 25, 32
Open market transactions, 14
Payrolls, manufacturing index, 64
Personal income, 71
Postal savings, 19, 25
Prices:
Consumer and wholesale commodity, 64, 68
Security, 37
Prime rate, commercial banks, 34
Production, 60-63, 64
Profits, corporate, 50, 51
Real estate loans:
Banks, by classes, 24, 27, 39, 52
Delinquency rates on home mortgages, 54
Mortgage yields, 55
Type of holder and property mortgaged, 52, 53, 54, 55
Reserve position, basic, member banks, 8
Reserve requirements, member banks, 10
Reserves:
Central banks and govts., 94
Commercial banks, 25, 28, 30
Federal Reserve Banks, 12
Member banks, 5,6, 11, 18,25
U.S. reserve assets, 77
Residential mortgage loans, 37, 52, 53, 54
Retail credit, 56
Retail sales, 64
Saving:
Flow of funds series, 72
National income series, 71
Savings and loan assns., 40,45,53
Savings deposits (See Time deposits)
Savings institutions, principal assets, 39, 40
Securities (See also U.S. Govt, securities):
Federally sponsored agencies, 40, 41
International transactions, 86, 87
New issues, 47, 48, 49
Silver coin and silver certificates, 16
Special Drawing Rights, 4, 12, 13, 19, 74, 77
State and local govts.:
Deposits, 25, 29
Holdings of U.S. Govt, securities, 44, 45
New security issues, 47, 48
Ownership of securities of, 24,28, 39
Yields and prices of securities, 36,37
State member banks, 22, 32
Stock market credit, 38
Stocks:
New issues, 48, 49
Yields and prices, 36, 37
Tax receipts, Federal, 43
Time deposits, 11, 18, 19,20,25,29
Treasury cash, Treasury currency, 4, 5, 16, 19
Treasury deposits, 5, 12, 42
Treasury operating balance, 42
Unemployment, 66
U.S. balance of payments, 74
U.S. Govt, balances:
Commercial bank holdings, 25, 29
Consolidated condition statement, 19
Member bank holdings, 18
Treasury deposits at Reserve Banks, 5, 12, 42
U.S. Govt, securities:
Bank holdings, 19, 20, 24, 27, 39, 44, 45
Dealer transactions, positions, andfinancing,46
Federal Reserve Bank holdings, 4, 12, 15, 44,45
Foreign and international holdings, 12, 83, 86, 88
International transactions, 83, 86
New issues, gross proceeds, 48
Open market transactions, 14
Outstanding, by type of security, 44, 45, 47
Ownership of, 44, 45
Yields and prices, 36, 37
United States notes, 16
Utilities, production index, 61, 63, 64
Veterans Administration, 52, 53, 54, 55
Weekly reporting banks, 26
Yields (See Interest rates)
INDEX TO VOLUME 57
GUIDE TO PAGE REFERENCES IN MONTHLY ISSUES
Issue
January ..
February
March ...
April
May
June
Text
etc.
total
1- 78
79-166
167-268
269-364
365-424
425-550
(References to
Other ("A" pages)
Total
Index to
tables
101-102
Issue
Text
etc.
total
Other ["A" pages)
Total
1-114
July
551-638
1-108
August
639-702
1-105
1-115
September
703-760
1-105
1-104
October
761-870
101-102
1-105
1-102
November
871-956
121-122
1-118
1-122
December
957-1050
"A" pages in this index are to such pages in the December issue.)
1-102
1-108
107-108
114-115
103-104
Pages
Index to
tables
113-114
107-108
104-105
104-105
104-105
107-108
Pages
Articles—Continued
Adams, Fred, Jr., director, New Orleans Branch, appointment
1043
U.S. balance of payments and investment position
269
Alameda Bancorporation, Inc., Order under Bank HoldAssociated Bank Corporation, Order under Bank Holding
ing Company Act
732
Company Act
1036
Alamo Bancshares, Inc., Order under Bank Holding
Atlantic Bancorporation, Order under Bank Holding
Company Act
742
Company Act
689, 738
Althausen, Walter A., Assistant Director, Division of
Baird, John W., Class C director, Chicago, appointment 69
Federal Reserve Bank Operations, appointment
265
Balance of payments (See U.S. balance of payments)
Altmann, Murray, Assistant Secretary of the Board, apBancOhio Corporation, Orders under Bank Holding Compointment
627
pany Act
50, 340, 1035
Ameribanc, Inc., Order under Bank Holding Company
Bank holding companies (See also Bank Holding ComAct
42
pany Act):
American Bancorporation, Inc., Order under Bank Holding
Delegation of authority to Reserve Banks regarding:
Company Act
847
Applications under sections 4(c)(8) and 4(c)( 12)
515
American Bancshares, Incorporated, Order under Bank
One-bank holding company formations
723
Holding Company Act
521
Interlocking relationships, proposed legislation, stateAmerican Bancshares of Michigan, Inc., Order under
ment of Chairman Burns
386
Bank Holding Company Act
740
One-bank holding companies, registration statements
American Bankshares Corporation, Order under Bank
and extension for filing
265, 627
Holding Company Act
344
Regulation Y:
American Holding Corporation of New Jersey, Order
Amendments 329, 422, 512, 607, 674, 723, 832, yil
under Bank Holding Company Act
1015
Interpretations
514, 932
Anderson, William B., director, Buffalo Branch, appointment
71
Rules of Procedure, amendments
723
Andrews, Dan B., director, Nashville Branch, appointRules Regarding Delegation of Authority, amendment
72
ments
515, 723
Tie-ins and conditional transactions, statutory proviAnnual Report, 1970, Board of Governors
547
sions
32
Articles:
Bank credit series, revision
971
Bank Holding Company Act:
Bank financing of mobile homes
179
Amendments of 1970:
Bank lending practices, 1970, changes
298
Implementation of Board's regulatory authority
Business loans, survey of bank rates on—Revised
under (See Bank holding companies)
series
468
Text of Title I......
29
Consumer instalment credit, recent developments
703
Tie-ins and conditional transactions, statutory proCorporate financing in 1970
1
visions
32
Credit supply in the first half of 1971
761
Orders issued under:
Demand deposit ownership, survey
456
Alameda Bancorporation, Inc
732
Financial developments, quarterly reports to Congress:
Alamo Bancshares, Inc
742
Q-4, 1970
183
Ameribanc, Inc
42
Q-l, Q-2, and Q-3, 1971
365, 639, 871
American Bancorporation, Inc
847
Industrial production—Revised and new measures
551
American B ancshares, Incorporated
521
Interest rates, credit flows, and monetary aggregates
American Bancshares of Michigan, Inc
740
since 1964
425
American Bankshares Corporation
344
Manufacturing capacity utilization, revised measures ... 779
American Holding Corporation of New Jersey
1015
Member bank income, 1970
445
Associated Bank Corporation
1036
Monetary aggregates and money market conditions in
Atlantic Bancorporation
689, 738
BancOhio Corporation
50, 340, 1035
open market policy
79
Bank Shares Incorporated
681
Money stock, revision
880
Bankers Trust New York Corporation
258
Mortgage, construction, and real estate markets
167
Banks of Iowa, Inc
..849, 950
Prices in 1971
957
State and local governments:
Barclays Bank D.C.O., London, Englandi
45
Long-term borrowing
977
Barclays Bank Limited, London, England
44
Response to varying credit conditions
209
Barnett Banks of Florida, Inc. .144, 529, 739, 743, 755
Boatmen's Bancshares, Inc
39, 838
Time and savings deposits, surveys ...285, 375, 579, 895
C. B. Investment Corporation
142
Treasury and Federal Reserve foreign exchange operations, reports
189, 783
CNB Bancorporation
751
A 109
A 110
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Pages
Bank Holding Company Act—Continued
Orders issued under—Continued
Central and State National Corporation of Alabama 860
Central Bancompany
617
Central Bancorporation, Inc
540, 745, 1025
Charter New York Corporation
610
Chase Manhattan Corporation
1028
Citizens and Southern National Bank and Citizens and
Southern Holding Company
1037
Colorado CNB Bankshares, Inc
359
Commerce Bancshares, Inc
146, 524, 695, 1011
Consolidated Bankshares of Florida, Inc
136
Continental Bancor, Inc
676
Depositors Corporation
36
Ellis Banking Corporation
732
Empire Shares Corporation
854
Exchange Bancorporation, Inc
339, 1017
FBTCorp
748
Fidelity American Bankshares, Inc
844, 846, 851
First Alabama Bancshares, Inc
404
First American National Corporation
542
First & Merchants Corporation
691
First Arkansas Bankstock Corporation
256, 623
First at Orlando
Corporation
259, 416, 612, 938, 1013, 1014
First Banc Group of Ohio, Inc
254, 338, 418
First Bancorp, Inc
679
First Bancshares of Florida, Inc
625, 1018
First City Bancorporation of Texas, Inc
1029
First Commercial Banks Inc
680
First Community Bancorporation
253
First Financial Corporation
620, 621
First Florida Bancorporation ...256, 361, 535, 537, 741
First Holding Company, Inc
139, 618
First Massachusetts Financial Corporation
337
First National Bancorporation, Inc
47, 345, 613
First National Charter Corporation.. 37, 754, 1006, 1027
First National City Corporation
944
First National Holding Corporation
1012, 1030
First Sebanco, Inc
687
First Security Corporation
1020
First Security National Corporation
1005
First Tennessee National Corporation
1012, 1030
First Texas Bancorp, Inc
730
First Union,
Incorporated
252, 257, 260, 402, 523, 531
First Virginia Bankshares
Corporation
251, 683, 1007, 1008, 1022
Florida National Banks of Florida, Inc
939
Fourth National Corporation
622
Galbank, Inc., and United States National Bancshares, Inc
848
Grand Banks Corporation
1003
Great Lakes Holding Company
545
Hamilton Bancshares, Inc
693
Heritage Bancorporation
728
Huntington Bancshares Incorporated
726, 940
Marine Corporation
261
Marshall & Ilsley Bank Stock Corporation
334
Mercantile Bancorporation Inc
140, 753, 1032
Merrill Bankshares Company
262, 417, 744
Mid America Bancorporation, Inc
858, 1023
Midland Investment Corporation
842
Midlantic Banks Inc
684
Mid-Ohio Banc-Shares, Inc
608
Midwest Bancorporation, Inc
414
Midwest Bancorporation (of Ohio), Inc
839
Missouri Bancshares, Incorporated
143, 538, 542
NJN Bancorporation
535
New Mexico Bancorporation, Inc
134
Northern Michigan Corporation
752
Northern Virginia Bankshares Incorporated
358, 859
Northwest Ohio Bancshares, Inc., amended Order ... 748
Pages
Bank Holding Company Act—Continued
Orders issued under—Continued
Nortrust Corporation
946
Otto Bremer Company and Otto Bremer Foundation... 53
403
Otto Bremer Foundation
Palmer Bank Corporation
750
Pan American Bancshares, Inc. .51, 729, 942, 948, 949
Peoples Mid-Illinois Corporation
840
Plaza Bancshares, Inc
853
STS Corporation
1024
Security Corporation
947
Security Financial Services, Inc
544
Security New York State Corporation
133, 856
Shorebank, Inc
1009, 1019
Society Corporation
52, 336
Southeast Bancorporation, Inc
38, 41
Southeast Banking Corporation
611, 746, 841
Southern Bankshares, Inc
138
Southwest Bancshares, Inc
419, 526
Suncook Bank
694
T G Bancshares Co
678, 843
Terrebonne Corporation
943
Tennessee National Bancshares, Inc
145
Texas Commerce Bancshares, Inc
539
Toronto-Dominion Bank, Toronto, Ontario, Canada.. 534
United Bancorp of Maine
727
United Bank Corporation of New York
696
United Bank Shares, Inc
736
United Bankshares, Inc
619
United Carolina Bancshares Corporaion
855
United Jersey Banks
735, 945
United Midwest Equity, Inc
690
United Tennessee Bancshares, Corporation
1021
United Virginia Bankshares Incorporated
677
Valley Bancorporation
341, 530
Virginia Commonwealth Bankshares,
Inc
335, 609, 1033, 1034
Wyoming Bancorporation
737
Zions Utah Bancorporation
1042
Bank lending practices, 1970, changes, article
298
Bank Merger Act:
Orders issued under:
Chemical Bank and Trust Company, Midland,
Mich
128, 129
Citizens Bank and Trust Company, Clare, Mich
129
Citizens Central Bank, Arcade, N.Y
836
Commercial Trust Company of New Jersey, Jersey
City, N.J
516
Connecticut Bank and Trust Company, Hartford,
Conn
936
Farmers Savings and Trust Company, Mansfield,
Ohio
331
Huron County Banking Company, Norwalk, Ohio... 1001
Manaport Bank, Manassas, Va
332
Nortrust Bank, Chicago, 1 1
1
934
Perry County Bank, New Lexington, Ohio
934
Trust Company of Georgia, Atlanta,
Ga
248, 249, 333, 400, 517
Union Bank, Los Angeles, Calif
247, 330
Western Greenbrier Bank, Rainelle, W. Va
834
Bank Shares Incorporated, Order under Bank Holding
Company Act
681
Bankers Trust New York Corporation, Order under Bank
Holding Company Act
258
Banks of Iowa, Inc., Orders under Bank Holding Company
Act
849, 950
Barclays Bank D.C.O., London, England, Order under
Bank Holding Company Act
45
Barclays Bank Limited, London, England, Order under
Bank Holding Company Act
44
Barnes, Donald G., Assistant Director, Division of
Federal Reserve Bank Operations, appointment
265
A 111
INDEX TO VOLUME 57
Pages
Barnett Banks of Florida, Inc., Orders under Bank Holding Company Act
144, 529, 739, 743, 755
Beam, John G., Chairman of Board of Louisville Branch,
election
1043
Beck, Darwin, article
880
Berwind, C. Graham, Jr., Class B director, Philadelphia,
election
866, 1044
Board of Governors:
Annual Report, 1970
547
Bank holding companies, Board orders and rules (See
Bank holding companies)
Delegation of certain authority to General Counsel of the
Board, amendment of rules
675
Econometric model of U.S. economy, joint research
project with academic community
76
Members:
Sherrill, William W., resignation
1043
Statements to Congress (See Statements to Congress)
Members and officers
A-96
Publications (See Publications)
Regulations (See Regulations)
Staff changes:
Althausen, Walter A., Assistant Director, Division of
Federal Reserve Bank Operations, appointment... 265
Altmann, Murray, Assistant Secretary of the Board,
appointment
627
Barnes, Donald G., Assistant Director, Division of
Federal Reserve Bank Operations, appointment
265
Burke, Ronald G., Director, Division of Personnel
Administration, appointment
866
Chase, Samuel B., Jr., Associate Director, Division
of Research and Statistics, appointment
627
Crews, Grasty, II, Adviser, Legal Division, appointment
163
Eckert, James B., Associate Adviser, Division of
Research and Statistics, appointment
546
Ettin, Edward C., Assistant Adviser, Division of
Research and Statistics, appointment
75
Farrell, John R., Director, Division of Federal Reserve Bank Operations, retirement
75
Flaherty, John P., Assistant Director, Division of
Supervision and Regulations, appointment
421
Guinter, Harry A., Assistant Director, Division of
Federal Reserve Bank Operations, appointment ... 265
Halley, Harry J., Deputy Controller and Program
Director for Management Systems, appointment... 75
Hampton, Charles L., Associate Director, Division
of Data Processing, appointment
421
Holland, Robert C., Executive Director of the
Board, appointment
698
Johnson, Edwin J., Assistant to the Board, appointment
866
Knowles, Benjamin R. W., Jr., Assistant Director,
Division of Data Processing, appointment
757
Lay ton, William W., Director of Equal Employment
Opportunity, appointment
265
Mcintosh, James A., Director, Division of Federal
Reserve Bank Operations, appointment
75
Melnicoff, David C., Deputy Executive Director of
the Board, appointment
866
Pierce, James L., Associate Adviser, Division of
Research and Statistics, appointment
75
Rippey, John S., Special Assistant to the Board, appointment
75
Sanders, Robert F., Deputy General Counsel, appointment
421
Smith, Tynan, Secretary of the Board, appointment
698
Vining, James L., Assistant Director, Division of
Federal Reserve Bank Operations, appointment.... 698
Boatmen's Bancshares, Inc., Orders under Bank Holding Company Act
39, 838
Bonds, partial delayed issue contracts covering nonconvertible bonds, interpretation
127
Bowden, A. Bruce, Class A director, Cleveland, election
1044
Branch banks:
Federal Reserve:
Directors (See Directors, Federal Reserve branch
banks)
Territory of Denver Branch, extension
547
Vice Presidents in charge of
A-99
Foreign:
Assets and liabilities of overseas branches of member banks
757
Credit extended by member bank branches to domestic
subsidiaries of Edge Act corporations, interpretation
1001
Euro-dollar borrowings by member banks, reserves
against, amendment of Regulation M
75, 121, 328
Brassier, Norman, Class A director, New York, election
1044
Breckenridge, John H., director, Salt Lake City Branch,
appointment
70
Brimmer, Andrew F.:
Foreign credit restraint program, statements
486, 494
Reserve requirements, supplemental, against member
bank assets, statement
307
Brown, Malcolm C., director, Jacksonville Branch, appointment
72
Burke, Ronald G., Director, Division of Personnel Administration, appointment
866
Burns, Arthur F.:
Economic Stabilization Act, proposed extension, statement as Chairman of Committee on Interest and
Dividends
917
Economy, state of our national economy and conduct of
monetary policy, statements
233, 240, 655
Federal agency obligations, statement
817
Financial system, proposed legislation to strengthen,
statement
386
Loans, emergency, to businessfirms,Govt, guarantees
of, statements
491, 653
Monetary policy, two key issues, remarks at the
International Banking Conference
452
Rate ceilings on deposits or share accounts, flexible
authority for Federal supervisory agencies to set
maximum, and other provisions of S. 1201, statement 303
U.S. balance of payments, statement
478, 592
Business conditions, national summary
77, 164, 267,
363, 423, 548, 637, 700, 759, 868, 955, 1048
Business loans, survey of bank rates, article
468
Butler, Broadus N., director, New Orleans Branch, apappointment
69
C. B. Investment Corporation, Order under Bank Holding Company Act
142
CNB Bancorporation, Order under Bank Holding Company Act
751
Cabot, Louis W., Deputy Chairman, Boston, appointment. 68
Cagle, CarolineH., articles
285, 375, 445, 579, 895
Capacity utilization, manufacturing, article
779
Central and State National Corporation of Alabama, Order
under Bank Holding Company Act
860
Central Bancompany, Order under Bank Holding Company
Act
617
Central Bancorporation, Inc., Orders under Bank Holding
Company Act
540, 745, 1025
Chairmen and Deputy Chairmen of Federal Reserve
Banks
64, A-99
Charter New York Corporation, Order under Bank Holding Company Act
610
Chase Manhattan Corporation, Order under Bank Holding Company Act
1028
Chase, Samuel B., Jr., Associate Director, Division of
Research and Statistics, appointment
627
A 112
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Pages
Pages
Checks:
Clearing, statement of Federal Reserve policy on electronic transfer communications network, and its
opening
546, 698
Collection, amendment of Regulation J
933
Chemical Bank and Trust Company, Midland, Mich.,
Orders under Bank Merger Act
128, 129
Christensen, Paul W., Jr., director, Cincinnati Branch,
appointment
71
Citizens and Southern National Bank and Citizens and
Southern Holding Company, Order under Bank Holding Company Act
1037
Citizens Bank and Trust Company, Clare, Mich., Order
under Bank Merger Act
129
Citizens Central Bank, Arcade, N.Y., Order under Bank
Merger Act
836
Coleman, John R., Class C director, Philadelphia, appointment
68
Colorado CNB Bankshares, Inc., Order under Bank Holding Company Act
359
Commerce Bancshares, Inc., Orders under Bank Holding Company Act
146, 524, 695, 1011
Commercial Trust Company of New Jersey, Jersey City,
N.J., Order under Bank Merger Act
516
Communications network, statement of Federal Reserve
policy on, and its opening
546, 698
Connecticut Bank and Trust Company, Hartford, Conn.,
Order under Bank Merger Act
936
Consolidated Bankshares of Florida, Inc., Order under
B ank Holding Company Act
136
Construction, article
167
Consumer instalment credit, recent, article
703
Continental Bancor, Inc., Order under Bank Holding Company Act
676
Coombs, Charles A., reports on Treasury and Federal
Reserve foreign exchange operations
189, 783
Cooper, Sam, Deputy Chairman, St. Louis, appointment 69
Corporate financing in 1970, article
1
Costanza, Angelo A., director, Buffalo Branch, appointment
71
Credit (See also Loans):
Bank credit series, revision, article
971
Bankfinancingof mobile homes, article
179
Consumer instalment credit, article
703
Controls, selective, standby authority for, statement of
Chairman Burns on proposed amendment of Credit
Control Act of 1969
303
Export, statements of Vice Chairman Robertson and
Governor Brimmer on H.R. 8181, law, and Board
statement
482, 486, 723, 757
Extended by foreign branches of member banks to
domestic subsidiaries of Edge Act corporations, interpretation
1001
Fair Credit Reporting Act, information on
547
Federally sponsored programs in rural areas, statement
of Governor Mitchell
815
Interest rates, credit flows, and monetary aggregates
since 1964, article
425
Restraint programs, voluntary, proposal to make law
permanent, statement of Chairman Burns
303
State and local governments, articles
209, 977
Stock market credit (See Stock market credit)
Supply in thefirsthalf of 1971, article
761
Truth in lending (See Truth in lending)
Crews, Grasty, II, Adviser, Legal Division, appointment. 163
Earnings and expenses:
Federal Reserve Banks
75
Member banks, article
445
Eberle, William D., Class B director, New York, resigna953
tion
Eckert, James B., Associate Adviser, Division of Research
and Statistics, appointment
546
Econometric model of U.S. economy, joint Board-academic community research project
76
Edmonson, Nathan, article
779
Ellis Banking Corporation, Order under Bank Holding
Company Act
732
Empire Shares Corporation, Order under Bank Holding Company Act
854
England, Bayard L., Chairman and Federal Reserve Agent,
Philadelphia, designation
68
Ettin, Edward C., Assistant Adviser, Division of Research
and Statistics, appointment
75
Euro-dollar borrowings, reserves against, by member
banks, amendment of Regulation M
75, 121, 328
Evans, Edward N., Class A director, Richmond, election .. 1044
Exchange Bancorporation, Inc., Order under Bank Holding Company Act...,
339, 1017
Export credit (See Credit)
Export-Import Bank, budgetary status, statement of Vice
Chairman Robertson
482
Dahl, Charles R., Class B director, San Francisco, election
1046
David, Tucker H., Class A director, Boston, resignation 75
Dawson, James H., Class A director, Philadelphia, election
1044
Dayton, Bruce B., Class C director and Deputy Chairman,
Minneapolis, appointment
69
FBT Corp., Order under Bank Holding Company Act... 748
Farmers Savings and Trust Company, Mansfield, Ohio,
Order under Bank Merger Act
331
Farrell, John R., Director, Division of Federal Reserve
Bank Operations, retirement
75
Federal Advisory Council
A-98
DeBell, Charles W., director, Charlotte Branch, appointment
68
Depositors Corporation, Order under Bank Holding Company Act
36
Deposits:
Demand deposit ownership, survey, and publication of
regular data on
456, 953, 1046
Time and savings deposits:
Computation and advertising of interest, amendment
and interpretation, Regulation Q
34
Maximum interest rates, flexible authority for
supervisory agencies to set, statement and extensions of law
303, 328, 512
Surveys
285, 375, 579, 895
Directors, Federal Reserve Banks:
Chairmen and Federal Reserve Agents
64, A-99
Class A and B, elections
421, 866, 1044
Class C, appointments
65, 757
Death
265
Deputy Chairmen
64, A-99
List
149
Resignations
75, 163, 866, 953
Directors, Federal Reserve branch banks:
Appointments
66, 71, 421, 757, 953, 1043
Chairman of Louisville Branch, election
1043
Death
866
149
List
Resignations
421, 698, 757, 1043
Discount mechanism of Federal Reserve, reappraisal,
volumes 1 and 2
699, 1046
Discount rates at Federal Reserve Banks:
Increases
627, 698
Reductions
75, 163, 953, 1046
Dividends:
Federal Reserve Banks
75
Member banks
447, 448, 450, 451
INDEX TO VOLUME 57
A 113
Pages
Federal agency obligations:
Outright purchase and sale by Federal Open Market
Committee, announcement
866
Statement of Chairman Burns
817
Federal Open Market Committee:
Federal agency obligations
817, 866
Foreign exchange operations, reports
189, 783
Members and staff
A-98
Monetary aggregates and money market conditions in
open market policy, article
79
Open Market Policies and Operating Procedures— Staff
Studies
699
Policy actions
21, 105, 320, 391, 503,
599, 663, 715, 820, 925, 989
Reciprocal currency arrangements
698
Federal Reserve Act:
Section 14(b):
Authority of Reserve Banks to purchase Govt, obligations directly from U.S., extension
672
Section 24:
Housing and urban development loans by national
banks, amendment
121
Section 25(a):
Leasing of personal property and equipment by ' 'Edge
corporation," interpretation
725
Federal Reserve and Treasury reports:
Foreign exchange operations
189, 783
Study of U. S. Govt. securities market, Part 2
1046
Federal Reserve Banks:
Advances by, obligations eligible as collateral, amendment of interpretation
399
Authority to purchase Govt, obligations directly from
U.S., extension
672
Branches (See Branch banks)
Chairmen and Deputy Chairmen
64, A-99
Check clearing and collection (See Checks)
Delegation by Board of certain authority to
515, 723
Directors (See Directors)
Discount rates (See Discount rates)
Earnings and expenses
75
Presidents and First Vice Presidents:
Galusha, Hugh D., Jr., President, Minneapolis, death 163
Leonard, Eugene A., First Vice President, St. Louis,
appointment
546
List
A-99
MacLaury, Bruce K., President, Minneapolis, appointment
421
Winn, Willis J., President, Cleveland, appointment 546
Federal Reserve discount mechanism, reappraisal, volumes
land 2
699, 1046
Federal Reserve districts, changes in boundaries, St.
Louis to Kansas City
1047
Federal Reserve notes, interest paid to Treasury
75
Federal Reserve System:
Admissions of State banks to membership .... 163, 266, 422,
636, 758, 867, 953, 1047
Electronic transfer communications network, statement of policy on, and its opening
546, 698
Foreign credit restraint program (See Foreign credit
restraint program)
Foreign exchange operations
189, 698, 783
Fidelity American Bankshares, Inc., Orders under
Bank Holding Company Act
844, 846, 851
Financial developments, quarterly reports to
Congress
183, 365, 639, 871
Financing:
Bank, of mobile homes, article
179
Corporate, in 1970, article
1
First Alabama Bancshares, Inc., Order under Bank Holding Company Act
404
First American National Corporation, Order under Bank
Holding Company Act
542
Pages
First & Merchants Corporation, Order under Bank Holding Company Act
691
First Arkansas Bankstock Corporation, Orders under Bank
Holding Company Act
256, 623
First at Orlando Corporation, Orders under Bank Holding
Company Act
259, 416, 612, 938, 1013, 1014
First Banc Group of Ohio, Inc., Orders under Bank Holding Company Act
254, 338, 418
First Bancorp, Inc., Order under Bank Holding Company
Act
679
First Bancshares of Florida, Inc., Orders under Bank Holding Company Act
625, 1018
First City Bancorporation of Texas, Inc., Order under Bank
Holding Company Act
1029
First Commercial Banks Inc., Order under Bank Holding
Company Act
680
First Community Bancorporation, Order under Bank Holding Company Act
253
First Financial Corporation, Orders under Bank Holding
Company Act
620, 621
First Florida Bancorporation, Orders under Bank Holding
Company Act
256, 361, 535, 537, 741
First Holding Company, Inc., Orders under Bank Holding
Company Act
139, 618
First Massachusetts Financial Corporation, Order under
Bank Holding Company Act
337
First National Bancorporation, Inc., Orders under Bank
Holding Company Act
47, 345, 613
First National Charter Corporation, Orders under Bank
Holding Company Act
37, 754, 1006, 1027
First National City Corporation, Order under Bank Holding
Company Act
944
First National Holding Corporation, Order under Bank
Holding Company Act
1012, 1030
First Sebanco, Inc., Order under Bank Holding Company
Act
687
First Security Corporation, Order under Bank Holding
Company Act
1020
First Security National Corporation, Order under Bank
Holding Company Act
1005
First Tennessee National Corporation, Order under Bank
Holding Company Act
1012, 1030
First Texas Bancorp, Inc., Order under Bank Holding Company Act
730
First Union, Incorporated, Orders under Bank Holding
Company Act
252, 257, 260, 402, 523, 531
First Virginia Bankshares Corporation, Orders under Bank
Holding Company Act..
251, 683, 1007, 1008, 1022
Fisher, Roy., director, Nashville Branch, resignation
698
Flaherty, John P., Assistant Director, Division of Supervision and Regulation, appointment
421
Flanagan, T. A., Jr., director, New Orleans Branch, appointment
72
Florida National Banks of Florida, Inc., Order under Bank
Holding Company Act
939
Foreign bank holding companies
931, 932
Foreign banking corporations, leasing of personal property
and equipment, interpretation
725
Foreign branches of U.S. banks
75, 121, 328, 757
Foreign credit restraint program:
Effects on U. S. export financing and exports
76
Exemption of export credit granted to foreigners by U.S.
banks or other financial institutions, statement and
law
486, 723, 757
Guidelines, revised, for banks and nonbank financial
institutions
9, 906
Report on, statement of Governor Brimmer
494
Survey of foreign lending under
265
Foreign exchange operations:
Reciprocal currency arrangements
698
Treasury and Federal Reserve operations, reports 189, 783
Fourth National Corporation, Order under Bank Holding
Company Act
622
A 114
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Pages
Fry, Edward R., articles.
.468, 880, 971
Galbank, Inc., and United States National Bancshares,
848
Inc., Order under B ank Holding Company Act
Galusha, Hugh D., Jr., President, Federal Reserve Bank of
Minneapolis, death
163
Gilliand, Merle E., director, Pittsburgh Branch, appointment
71
Gilpatric, Roswell L., Deputy Chairman, New York, appointment
68
Grand Banks Corporation, Order under Bank Holding
Company Act
1003
Great Lakes Holding Company, Order under Bank Holding
545
Company Act
Guidelines for banks and nonbank financial institutions,
foreign credit restraint program
9, 906
Guinter, Harry A., Assistant Director, Division of Federal
Reserve Bank Operations, appointment
265
Hackett, John T., Class B director, Chicago, election
1045
Hall, Robert E., director, Cincinnati Branch, appointment
71
Halley, Harry J., Deputy Controller and Program Director
for Management Systems, appointment
75
Hamilton Bancshares, Inc., Order under Bank Holding
Company Act
693
Hampton, Charles L., Associate Director, Division of Data
Processing, appointment
421
Hart, Russ B., Class C director, Minneapolis, appointment
70
Hartnack, Carl E., director, Los Angeles, appointment... 74
Heritage Bancorporation, Order under Bank Holding Company Act
728
Hinman, Dale R., director, Denver Branch, appointment... 73
Hoffman, Philip G., Deputy Chairman, Dallas, appointment
70
Hofheimer, Henry C., II, Class B director, Richmond,
election
1044
Holland, Robert C., Executive Director of the Board,
appointment
698
Honey, William M., Class A director, Boston, appointment
421
Houston, Norman B., director, Los Angeles Branch, resignation
421
Howard, John R., director, Portland Branch, appointment. 70
Howell, A. Clewis, director, Jacksonville Branch, appointment
72
Huntington Bancshares Incorporated, Orders under Bank
Holding Company Act
726, 940
Huron County Banking Company, Norwalk, Ohio, Order
under Bank Merger Act
1001
Income and expenses (See Earnings and expenses)
Industrial production, article
551
Insured commercial banks, proposed legislation, statement
of Chairman Burns
386
Interest on deposits (See also Interest rates):
Computation and advertising, on time and savings deposits, amendment of Regulation Q and interpretation 34
Maximum permissible rates or dividends,flexibleauthority for supervisory agencies to set, statement of
Chairman Burns and extensions of law...303, 328, 512
Interest rates (See also Interest on deposits):
Bank rates on business loans, article
468
Discount rates at Federal Reserve Banks:
Increases
627, 698
Reductions
75, 163, 953, 1046
Since 1964, article
425
Interlocking bank relationships, proposed legislation,
statement of Chairman Burns
386
International monetary system, statement of Chairman
Burns
478
Pages
Interpretations:
Advances by Reserve Banks, obligations eligible as
collateral, amendment
399
Bank holding companies, activities closely related to
banking
514, 607
Capital stock and surplus, undivided profits as
330
Credit extended by foreign branches of member banks to
domestic subsidiaries of Edge Act corporations
1001
Foreign bank holding companies
932
Foreign banking corporations, leasing
725
Interest on time and savings deposits, payment and computation
34
Partial delayed issue contracts covering nonconvertible
bonds
127
Truth in lending, RegulationZ
675, 725
Jackson, Harold E., director, Louisville Branch, appointment
73
Johnson, Edwin J., Assistant to the Board, appointment.... 866
Johnson, Roy H., Class A director, Minneapolis, election.. 1045
Jones, Charles F., Chairman and Federal Reserve Agent,
Dallas, designation
70
Jones, EdwinS., Class A director, St. Louis, election
1045
Jones, Hugh C., director, Oklahoma City Branch, appointment
73
Keith, Jack P., Class A director, Atlanta, election
1045
Kirby, Robert E., director, Pittsburgh Branch, appointment
^ 68
Knowles, Benjamin R. W., Jr., Assistant Director, Division of Data Processing, appointment
757
Kunkel, E. Lowry, director, Helena Branch, appointment 73
Lawrence, John, Class C director, Dallas, appointment... 70
Lay ton, William W., Director of Equal Employment
Opportunity, appointment
265
Legislation:
Bank Holding Company Act, Amendments of 1970
(See Bank holding companies for implementation)... 29
Credit controls, selective, standby authority for, statement on proposed amendment of Credit Control Act
of 1969
303
Credit restraint programs, voluntary, statement on proposal to make law permanent
303
Economic Stabilization Act, statements concerning
proposed extension with changes
303, 917
Emergency Loan Guarantee Act, statements, law
491,
653, 672
Export Expansion Finance Act of 1971, statements on
H.R. 8181, law, and Board announcement
482,
486, 723, 757
Fair Credit Reporting Act, information on
547
Financial Institutions Supervisory Act
121
Govt, obligations, authority of Reserve Banks to purchase directly from U.S., extension
672
Housing and Urban Development Act of 1970
121
Rate ceilings on deposits or share accounts, flexible
authority for Federal supervisory agencies to set
maximum, statement and extensions of law 303, 328, 512
Reserves, supplemental, against member bank assets,
statements on proposed law
303, 307
Securities Exchange Act of 1934, amendment and
adoption of new regulation governing borrowers in
securities credit transactions
421, 828
Securities Investor Protection Corporation
34
Tender offers with respect to securities of member
State banks, Public Law 91-567 and amendment of
Regulation F
33, 126
Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970
121
Leonard, Eugene A., First Vice President, Federal Reserve
Bank of St. Louis, appointment
546
INDEX TO VOLUME 57
A 115
Pages
Lilly, David M., Chairman and Federal Reserve Agent,
Minneapolis, designation
Loans (See also Credit):
Advances by Reserve Banks
Bankfinancingof mobile homes, article
Bank lending practices, 1970, article
Emergency, to business firms, Govt, guarantees of,
statements of Chairman Burns, and law 491, 653,
Housing and urban development loans, law
Survey of foreign lending
Long, James W., director, Nashville Branch, appointment
Love, Frank C., Class B director, Kansas City, election
69
399
179
298
672
121
265
69
1045
McGee, Klein, director, Houston Branch, appointment.... 73
Mcintosh, James A., Director, Division of Federal Reserve B ank Operations, appointment
75
MacLaury, Bruce K., President, Federal Reserve Bank of
Minneapolis, appointment
421
Malone, Wallace D., Jr., director, Birmingham Branch,
appointment
72
Manaport Bank, Manassas, Va., Order under Bank Merger
Act
332
Manufacturing capacity utilization, article
779
Margin requirements:
Exemption of certain credit extended to a broker or
dealer, amendment Regulations G and U.. .328, 399, 607
Over-the-counter margin stocks, list, changes 163, 628, 699
Partial delayed issue contracts covering nonconvertible bonds, interpretation
127
Securities credit transactions, rules governing borrowers, adoption of Regulation X
421, 828
Stocks, reduction in requirements, amendment of
Regulations G, T, and U
1000, 1046
Marine Corporation, Order under Bank Holding Company
Act
261
Marshall & Ilsley Bank Stock Corporation, Order under
Bank Holding Company Act
334
Mathews, David, director, Birmingham Branch, appointment
69
Mathews, Irving A., director, San Antonio Branch, appointment
70
Melnicoff, David C., Deputy Executive Director of the
Board, appointment
866
Member banks (See also National banks):
Branches (See Branch banks)
Capital stock and surplus, undivided profits as, interpretation
330
Euro-dollar borrowings, reserves against
75, 121, 328
Income and expenses, 1970, article
445
Legislation, proposed, statement of Chairman Burns ... 386
Reserve requirements
75, 121, 303, 307, 328
State member banks (See State member banks)
Mercantile Bancorporation Inc., Orders under Bank Holding Company Act
140, 753, 1032
Mercantile Bankshares Corporation, Orders under Bank
Holding Company Act
417, 744
Merrigan, Lawrence A., director, New Orleans Branch,
appointment
72
Merrill Bankshares Company, Order under Bank Holding Company Act
262
Merry, Ellis B., director, Detroit Branch, appointment
72
Mid America Bancorporation, Inc., Orders under Bank
Holding Company Act
858, 1023
Midland Investment Corporation, Order under Bank Holding Company Act
842
Midlantic Banks Inc., Order under Bank Holding Company Act
684
Mid-Ohio Banc-Shares, Inc., Order under Bank Holding
Company Act
608
Midwest Bancorporation, Inc., Order under Bank Holding Company Act
414
Pages
Midwest Bancorporation (of Ohio), Inc., Order under
Bank Holding Company Act
839
Milliken, Frank R., Class B director, New York, election... 1044
Missouri Bancshares, Incorporated, Orders under Bank
Holding Company Act
143, 538, 542
Mitchell, George W., federally sponsored credit programs
in rural areas, statement
815
Mobile homes, bankfinancing,article
179
Monetary policy, two key issues, remarks of Chairman
Burns
452
880
Money stock, revision
Mortgage markets (See Real estate)
NJN Bancorporation, Order under Bank Holding Company Act
535
National banks:
Credit extended by foreign branches of member banks
to domestic subsidiaries of Edge Act corporations,
interpretation
1001
Euro-dollar borrowings, reserves against
75, 121, 328
Housing and urban development loans, law
121
National summary of business conditions
77, 164, 267,
363, 423, 548, 637, 700, 759, 868, 955, 1048
Nelson, Edward G., director, Nashville Branch, appointment
421
New Mexico Bancorporation, Inc., Order under Bank
Holding Company Act
134
Noble, Donald E., Class B director, Cleveland, election ... 1044
Northern Michigan Corporation, Order under Bank Holding Company Act
752
Northern Virginia Bankshares Incorporated, Orders under
Bank Holding Company Act
358, 859
Northwest Ohio Bancshares, Inc., amended Order under
Bank Holding Company Act
748
Nortrust Bank, Chicago, 111., Order under Bank Merger
Act
934
Nortrust Corporation, Order under Bank Holding Company
Act
946
Otto Bremer Company and Otto Bremer Foundation,
Order under Bank Holding Company Act
53
Otto Bremer Foundation, Order under Bank Holding
Company Act
403
Over-the-counter securities (See Stock market credit)
Palmer Bank Corporation, Order under Bank Holding
Company Act
750
Pan American Bancshares, Inc., Orders under Bank Holding Company Act
51, 729, 942, 948, 949
Peck, J. Stevenson, director, Baltimore Branch, appointment
71
Penner, Robert I., director, Helena Branch, appointment... 73
Peoples Mid-Illinois Corporation, Order under Bank Holding Company Act
840
Perry County Bank, New Lexington, Ohio, Order under
Bank Merger Act
934
Person, Robert T., Class C director, Kansas City, appointment
70
Petersen, John E., article
209
Pierce, James L., Associate Adviser, Division of Research
and Statistics, appointment
75
Pifer, Alan, Class C director, New York, appointment
757
Plaza Bancshares, Inc., Order under Bank Holding Company Act
853
Policy actions, Federal Open Market Committee.21, 105, 320,
391, 503, 599, 663, 715, 820, 925, 989
Presidents of Federal Reserve Banks:
Galusha, Hugh D., Jr., Minneapolis, death
163
MacLaury, Bruce K., Minneapolis, appointment
421
Winn, Willis J., Cleveland, appointment
546
Prices in 1971, article
957
Profits, undivided, as capital stock and surplus, interpretation
330
A 116
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Pages
Publications in 1971, Board of Governors:
Annual Report, 1970
547
''Demand Deposit Ownership,'' regular data on ... 953, 1046
Fair Credit Reporting Act, questions and answers on,
prepared jointly by Comptroller of the Currency,
FDIC, FHLBB, and Federal Reserve
547
Joint Treasury-Federal Reserve Study of the U.S.
Government Securities Market: Staff Studies—
Part 2
1046
Mortgage commitment data
547
Open Market Policies and Operating Procedures—Staff
Studies
699
Reappraisal of the Federal Reserve Discount Mecha-
nism, volumes 1 and 2
699, 1046
Real estate (See also Housing):
Housing and Urban Development Act of 1970
121
Mortgage, construction, and real estate markets, article 167
Mortgage commitment data, publication of
547
Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970
121
Reciprocal currency arrangements
698
Record of policy actions of Federal Open Market Committee
21, 105, 320, 391, 503, 599, 663,715, 820,925,989
Regulations, Board of Governors:
Delegation of authority and Rules of Procedure, amendments regarding
515, 675, 723, 834
F, Securities of Member State Banks:
Tender offers and other stock acquisitions, legislation and amendment
33, 126
G, Securities Credit by Persons Other Than Banks,
Brokers, or Dealers:
Exemption of certain credit extended to a broker or
dealer from margin requirements, amendment
328
Stocks, reduction in margin requirements, amendment
1000, 1046
J, Collection of Checks and other Items by Federal
Reserve Banks:
Designation of American Samoa as in the Twelfth
Reserve District for check collection purposes,
amendment
933
M, Foreign Activities of National Banks:
Credit extended by foreign branches of member
banks to domestic subsidiaries of Edge Act corporations, interpretation
1001
Euro-dollar borrowings, reserves against, amendments
75, 121, 328
Q, Interest on Deposits:
Computation and advertising of, on time and savings
deposits, amendment and interpretation
34
T, Credit by Brokers and Dealers:
Partial delayed issue contracts covering nonconvertible bonds, interpretation
127
Stocks, reduction in margin requirements, amendment
1000, 1046
U, Credit by Banks for the Purpose of Purchasing or
Carrying Margin Stocks:
Exemption from margin requirements of certain credit
extended to a broker or dealer, amendments
328,
399, 607
Stocks, reduction in margin requirements, amendment
1000, 1046
X, Rules Governing Borrowers Who Obtain Securities
Credit:
Adoption
828
Y, Bank Holding Companies:
Control of bank or company:
Clarification regarding irrevocable declaration,
amendment
607
Presumptions regarding, amendment
832
Editorial changes, amendments
931
Interests in nonbanking activities:
Acquisitions of going concerns, amendment
512
Pages
Regulations, Board of Governors—Continued
Y, Bank Holding Companies—Continued
Interests in nonbanking activities—Continued
Acquisitions under section 4(c)(8), amendment
329
Activities closely related to banking, amendments
and interpretation
422, 512, 514, 674
Activities of companies in which national banks
may invest, amendment
512
De novo entry, amendment
512
Exemptions from procedures, amendment
723
Foreign activities of domestic holding companies,
amendment
832
Foreign bank holding companies, amendment and
interpretation
931, 932
One-bank holding company formations, amendment
regarding procedures
723
Z, Truth in Lending:
Amendments
122, 246, 833, 1000
Interpretations
675, 725
Reil, Katharyne, P., article
179
Reitmeier, Ronald E., director, Louisville Branch, death... 866
Remmel, Roland R., director, Little Rock Branch, appointment
69
Reserve requirements, member banks (See Reserves)
Reserves, member banks:
Euro-dollar borrowings, amendment of Regulation
M
75, 121, 328
Supplemental, against assets, statements of Chairman
Burns and Governor Brimmer on proposed law... 303, 307
Rippey, John S., Special Assistant to the Board, appointment
75
Roberts, Kenneth L., director, Nashville Branch, appointment and resignation
72, 421
Robertson, J. L., credit for export of U.S. goods, and
budgetary status of the Export-Import Bank, statement... 482
Rowe, William S., director, Cincinnati Branch, appointment
71
STS Corporation, Order under Bank Holding Company
Act
1024
Sanders, Robert F., Deputy General Counsel, appointment
421
Schneiderman, Paul, article
977
Schroeder, Carl E., Class A director, San Francisco,
election
1046
Schwartz, Herbert M., director, El Paso Branch, appointment
70
Securities (See also U.S. Govt, securities):
Eligible as collateral for advances by Reserve Banks
399
Federal agency obligations
817, 866
Member State banks, tender offers with respect to securities of, legislation and amendment of Regulation
F
33, 126
Stocks and bonds (See Stock market credit)
Securities Investor Protection Corporation
34
Security Corporation, Order under Bank Holding Company Act
947
Security Financial Services, Inc., Order under Bank Holding Company Act
544
Security New York State Corporation, Orders under Bank
Holding Company Act
133, 856
Servoss, Frank L., director, Portland Branch, appointment 74
Sheehan, John E., director, Louisville Branch, appointment
1043
Sherrill, William W., member of Board of Governors,
resignation
1043
Shorebank, Inc., Orders under Bank Holding Company
Act
1009, 1019
Sloan, Edward A., director, Los Angeles Branch, appointment
953
INDEX TO VOLUME 57
A 117
Pages
Smith, Frank G., director, New Orleans Branch, resignation
757
Smith, Herbert J., director, Louisville Branch, appointment
73
Smith, Tynan, Secretary of the Board, appointment
698
Society Corporation, Orders under Bank Holding Company Act
52, 336
Southeast Bancorporation, Inc., Orders under Bank Holding Company Act
38, 41
Southeast Banking Corporation, Orders under Bank Holding Company Act
611, 746, 841
Southern Bankshares, Inc., Order under Bank Holding
Company Act
138
Southwest Bancshares, Inc., Orders under Bank Holding
Company Act
419, 526
Staff economic studies, summaries
283, 441, 442,
577, 649, 650, 713
State and local governments, articles
209, 977
State member banks:
Admissions to membership in Federal Reserve System
163, 266, 422, 636, 758, 867, 953, 1047
Legislation, proposed, statement of Chairman Burns
386
Mergers (See Bank Merger Act)
Securities, legislation and amendment of Regulation
F
33, 126
Statements to Congress:
Credit controls, selective, standby authority for, proposed amendment of Credit Control Act of 1969
303
Credit restraint programs, voluntary, proposal to make
law permanent
303
Economic Stabilization Act, proposed extension with
changes
303, 917
Economy, state of our national economy and conduct of
monetary policy
233, 240, 655
Exports:
Exclusion from Voluntary Foreign Credit Restraint
program, proposed
486
Export-Import Bank, budgetary status
482
Federal Reserve credit for, proposed
482
Federal agency obligations, Federal Reserve transactions in, and outright purchases and sales
817
Federally sponsored credit programs in rural areas
815
Financial developments, quarterly reports to Congress:
Q-4, 1970
183
Q-l, Q-2, and Q-3, 1971
365, 639, 871
Financial system, proposed legislation
386
Foreign credit restraint program
486, 494
Loans, emergency, to business firms, Govt, guarantees
491, 653
Rate ceilings on deposits or share accounts, flexible
authority for Federal supervisory agencies to set
maximum, proposal to make law permanent
303
Reserves, supplemental, against member bank assets,
proposed law
303, 307
U.S. balance of payments
478, 592
Staver, LeRoy B., director, Portland Branch, appointment 74
Stock market credit:
Exemption of certain credit extended to a broker or
dealer from margin requirements, amendment of
RegulationsGandU
328, 399, 607
Over-the-counter margin stocks, list and changes
163,
628, 699
Partial delayed issue contracts covering nonconvertible
bonds, interpretation
127
Securities credit transactions, margin requirements on
borrowers, adoption of Regulation X
421, 828
Stocks, reduction in margin requirements, amendment
of Regulations G, T, and U
1000, 1046
Stroube, William H., director, Louisville Branch, appointment
69
Suncook Bank, Order under Bank Holding Company Act... 694
Pages
T G Bancshares Co., Orders under Bank Holding Company Act
678, 843
Tables (See list at bottom of p. A-3 for tables published
periodically; see guide at top of p. A-109 for index to
tables published monthly)
Taylor, C. Logan, director, Birmingham Branch, appointment
72
Tender offers with respect to securities of member State
banks, legislation and amendment of Regulation F... 3 3, 126
Tennessee National Bancshares, Inc., Order under Bank
Holding Company Act
145
Terrebonne Corporation, Order under Bank Holding
Company Act
943
Territories of districts and branches:
Denver Branch, extension
547
St. Louis to Kansas City, changes in boundaries
1047
Texas Commerce Bancshares, Inc., Order under Bank
Holding Company Act
539
v
Thouron, Henry A., director, Philadelphia, resignation
163
Toronto-Dominion Bank, Toronto, Ontario, Canada,
Order under Bank Holding Company Act
534
Treasury and Federal Reserve reports:
Foreign exchange operations
189, 783
Study of U.S. Govt, securities market, Part 2
1046
Trust Company of Georgia, Atlanta, Ga., Orders under
Bank Merger Act
248, 249, 333, 400, 517
Truth in lending:
Regulation Z:
Amendments
122, 246, 833, 1000
Interpretations
675, 725
Tuholski, James S., Class B director, St. Louis, election... 1045
Tune, John C., Jr., director, Nashville Branch, appointment
757
Union Bank, Los Angeles, Calif., Orders under Bank
Merger Act
247, 330
United Bancorp of Maine, Order under Bank Holding
Company Act
727
United Bank Corporation of New York, Order under Bank
Holding Company Act
696
United Bank Shares, Inc., Order under Bank Holding
Company Act
736
United Bankshares, Inc., Order under Bank Holding Company Act
619
United Carolina Bancshares Corporation, Order under
Bank Holding Company Act
855
United Jersey Banks, Orders under Bank Holding Company Act
735, 945
United Midwest Equity, Inc., Order under Bank Holding
Company Act
690
United Tennessee Bancshares Corporation, Order under
Bank Holding Company Act
1021
United Virginia Bankshares Incorporated, Order under
Bank Holding Company Act
677
U.S. balance of payments:
Euro-dollar borrowings of member banks, reserves
against, amendment of Regulation M
75, 121, 328
Foreign credit restraint program (See Foreign credit
restraint program)
Investment position and, article
269
Statements of Chairman Burns
478, 592
U.S. Govt, securities:
Authority of Reserve Banks to purchase directly from
U.S., extension of law
672
Study of U. S. Govt. securities market, Part 2
1046
Valley Bancorporation, Orders under Bank Holding
Company Act
341, 530
Vining, James L., Assistant Director, Division of Federal
Reserve Bank Operations, appointment
698
Virginia Commonwealth Bankshares, Inc., Orders under
Bank Holding Company Act
335, 609, 1033, 1034
Vough, Clair F., director, Cincinnati Branch, appointment 68
A 118
FEDERAL RESERVE BULLETIN • DECEMBER 1971
Pages
Wagstaff, Robert W., Chairman and Federal Reserve
Agent, Kansas City, designation
70
Warren, Rupert, director, Buffalo Branch, appointment... 68
Weaver, Mary F., articles
468, 880, 971
Western Greenbrier Bank, Rainelle, W. Va., Order under
Bank Merger Act
834
Wheeler, Mark C., Class A director, Boston, election
1044
Winn, Willis J., President, Federal Reserve Bank of Cleveland, appointment
546
Wyoming Bancorporation, Order under Bank Holding
Company Act
737
Pages
Yarnall, D. Robert, Jr., Deputy Chairman, Philadelphia,
appointment
68
Young, Harry M., Jr., Class C director, St. Louis, appointment
69
Young, Whitney M., Jr., Class C director, New York,
appointment, and death
68, 265
Zions Utah Bancorporation, Order under Bank Holding Company Act
1042
@FedFRASER