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https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ST. LOUIS April, 1925 I N T H IS ISSU E WHAT THE SAVINGS MANAGER CAN DO HOW THE “ T IP ” SYSTEM HELPS GET NEW BUSINESS “ BRICKBATS” AND “ BOQUETS” FOR THE FEDERAL RESERVE WHAT IS GOOD BANK M AN AGEM EN T? The Views of D. K. SN YD ER CH ARLES F. E L L I S J . W. HAW KINS L. M. SM IT H 2 Mid-Continent Banker In St. Louis "FIRST” ( Because of —Its 2 0 0 0 Bank Correspondents (BA N KS AN D BANKERS) — Its World-wide Connections NATIONAL BANK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis (FOREIGN DEPARTMENT) — Its Extensive Credit Information (CREDIT DEPARTMENT) —Its Supervising Audit System (AUD ITING DEPARTMENT) There are many other reasons why this institution is " F I R S T ” in St. Louis. JVe invite you to investigate our complete f a cilities fo r handling out-of-town business. St. Louis, A pril, 1925 'ò This h a n d s o m e stru ctu re is n o w being built and equ ip p ed big the St. Louts B a nk E q u ip m e n t C o m p a n y u n d er their Single C o n tr a c t M eth o d . W e w ill, W ithout obliga tio n , fu rnish photograph s, pla n s, co s t data a n d other in fo r m a tio n to any banker. Delaware County National Bank Muncie, Indiana By adopting the Single Contract for building operations, instead o f the lump sum contract, the owner gains many advantages that eliminate the annoyance and expen sive detail so frequently encountered in the erection of a building. Under this method any banker may plan a building with the assurance that he will not be disappointed in design, arrangement or final cost. W rite for a copy o f our illustrated portfolio showing photographic Views o f hank exteriors and interiors. ST. L O U I S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK E Q U IP M E N T COM PANY, Bank Builders, ST. L O U IS , U . S. A . 4 Mid -Continent B a nk e r F https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis St* Louis is the world’s largest market for Piston rings Hardware Barbers’ supplies Boots and shoes Sugar mill machinery Raw furs Woodenware Horses and mules Steel furnaces Stoves and ranges Hardwood and pine m Close association with St. Louis affairs and thorough understanding of local conditions qualify us to handle St. Louis business for banks, trust companies, corporations and individuals to best possible advantage. Mercantile Trust Company M em ber F ed e ra / R e se rve Jysfe m E IG H T H AND LO C U ST Capifa ! d S u rp lu s Ten M illio n Dollars -T O ST. C H A R L E S S A IN T L O U IS I 5 St. Louis, A pril, 1925 1925 Convention Dates State The Financial Magazine of the Mississippi Valley Conventions. Florida—April Beach. 10-11, West Palm Louisiana— A p ril 15-16, Ne w Orleans. Georgia—April 23-25, Macon. Arkansas— April 27-29, L it tle Rock. Mississippi— M ay 5-6, Jackson. North Carolina—May 7-9, Pinehurst. Tennessee— May 13-14, Nashville. Missouri— May 18-19, St. Louis. DONALD H. CLARK JAMES J. WENGERT WM. H. MAAS E ditor and M anager Associate E d itor Associate E ditor Voi. 21 St. Louis, April, 1925 No. 4 Texas—May 19-21, Houston. C O N T E N T S Kansas^— M ay 2CL22, Topeka. California—May 20-23, Santa Bar bara. Alabama—May 26-28, Troutdale. O klaho m a— May 26-27, Tulsa. Iowa—June 15-17, Dubuque. Wisconsin— June 15-17, Milw aukee. Illinois— June 18-19, Peoria. Virginia—June 18-20, Hot Springs. Colorado—June 19-20, Bear Creek. New York—June 22-24, Ithaca. Minnesota—July 9-10, Duluth. Montana—July 11-13, Glacier Na tional Park. Indiana— Sept. 16-17. O ther Conventions. Spring Meeting Executive Council of American Bankers Association—April 20-23, Augusta, Ga. Association of Reserve City Bankers —May 6-8, Brown Hotel, Louisville, Kentucky. Associated Advertising Clubs of the World—May 10-14, Houston, Texas. American Bankers Association—Sep tember 28-October 1, Atlantic City. Financial Advertisers’ Association— Oct. 14-16, Columbus, Ohio. Central States Officers Meet in Detroit At the fourteenth annual meeting of the presidents, vice-presidents and secretaries of the Central States Bank ers Association, held in Detroit, March 23-24, Mrs. H. M. Brown, secretary of the Michigan Bankers Association was elected president; W. C. Macfadden, secretary of the North Dakota associa tion was made vice-president, and W. G. Coapman, secretary of the Wisconsin, association was named secretary-theasurer. Robert E. Waite, secretary of the Oklahoma Bankers Association is the retiring president of the associa tion. L. J. Welch, secretary-treasurer of the South Dakota Bankers Associa tion was secretary-treasurer last year. Thirteen out of the fourteen states in the association were represented at the conference, and five states had 100% representation with president, vice-president and secretary. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis What the Savings Manager Can do—By H. H. Reinhard . . . 7 What Is Good Bank Management?.................. .... 8 What Bankers Mean by “ Cinders a la Carte.”— By Ruth H. M a y h e w ....................................................................10 How the “Tip” System Helps Get New Business— By Allen T. S m i t h ........................................................................ 11 Bank’s Plan Attracts Crowds to Nashville Stores.”— By C. H. Wetterau .......... ..................................................11 Two Great New York Banks Are M e r g e d ....................................12 Agricultural Section—By Charles E. H o k e ....................................13 Banker Is the King of C a rn iv a l......................................................14 “ Brickbats” and “ Boquets” for the Federal Reserve System . . 16 News and Views of the Banking World—By Clifford DePuy . . 19 BOND AND INVESTMENT SECTION How Conditions Have Developed a New Phase of Banking Prac tice—By C. W. S ills ................................................................... 45 First Mortgage Participations—By Herman W. Danforth . . . 49 Effect of Power of Revocation on Federal and State Taxes— By Legal E d i t o r ........................................................................ 53 I l l i n o i s .................. I n d ia n a .................. Kentucky . . . . Tennessee . . . . Mississippi . . . . STATE . . . . . . . . . . . . . . . NEWS SECTIONS 22 Louisiana . . . ., 26 Arkansas . . . ,. 28 Oklahoma . . . . 29 Kansas . . . . . 32 M issouri.................. . . . . . . . . . . . . . . . . 33 35 36 39 40 Published by the Com m erce Publishing Company, 4C8 Olive Street, St. Louis, Mo. Clifford D ePuy, P resident; James J. W engert, V ice-P resid en t; Donald H. Clark, SecretaryTreasurer. C H IC A G O office, W m . H. Maas, 1148 First National Bank B u ildin g; Phone, Dearborn 6063. N E W Y O R K office, Philip J. Syms, 150 Nassau Street; Phone, Beekman 4836. K A N S A S C I T Y office, G. D. Mathews, 405 Ridge B uildin g; Phone, H arrison 5857. D E S M O IN E S office, Clifford D ePuy, 555 Seventh Street; Phone, W alnut 1844. Mem ber A udit Bureau of Circulations, Financial A dvertisers A ssociation, Financial Publishers A s sociation. Entered as second-class matter at the St. Louis Postoffice Subscription rates $3.00 a y e a r; 35 cents a cop y First National in St. Louis Holds Golf Tournament Sixty-four men participated in the recent indoor golf tournament of the First National Bank Golf Club held at Rogers Recreation Park, St. Louis. Don Lambert, of the First National Company, won a dozen golf balls for low medal score in the qualifying round. He also won the championship flight by defeating Thomas Dunn. The prize was a golf suit. Henry Tenney, advertising manager of the F’irst National Company, won the Class A flight and received a set of MacGregor golf clubs. The Class B flight was won by Lawrence Kinnard. His prize was four golf clubs. Ted Deschaseaux received three golf clubs for winning the Class C flight. Prizes were also awarded to Thornes Dunn, runner-up in the championship flight; Herb Grosskap, runner-up in the Class A flight; Les Cox, runner-up in the Class B' flight and Frank May, run ner-up in the Class C flight. Plans are being made now for an outdoor tournament to be held later on. New Banker’s Credit Manual The Bobbs-Merrill Company of In dianapolis have recently published a new edition of Alexander Wall’s “The Banker’s Credit Manual,” which was originally published in 1920. The new edition is thoroughly revised and in corporates all of the latest practices, experiments, research and methods now being used in credit departments of banks and financial houses through out the country. 6 M id- C ont in ent Banker fAe fastest growing hfe insurance compony SITS «E 6* /Ae flississ/ppi /a Hpli w il " 13331 .J*«. H filflf lllffillE s I:;?«*; ;233351 AAr. F. J. K. PA IS L E Y , President AY. K . AVHITFIEIA), Vice-President GRANTGES, Vice-President and General Mgrr. of Agencies More Than $ 260, 000,000 in Less Than 16 Years such a statement mean anything to you? That’s the progress of the International Life D OES Insurance Company as shown by its latest financial statement. It indicates that the policy holders of the International Life appreciate the service rendered them by this great organization; that our field force realizes the value of the co-operation given by the Home Office and our ex cellent line of up-to-date policies; and that the affairs of the International Life are in the hands of strong, capable life insurance executives. A Growing Company, Located in the Growing Central W est 1914 Insurance in F o r c e ........................................... $40,913,384.00 Assets ............................................................ 4,463,177.29 Surplus to Po licyh old ers .............................. 861,372.84 Nu m b er of Po licyh old ers .............................. 21,735 IN C R E A SE I nsurance Assets D U R IN G 1924 $260,988,697.00 33,878,588.68 2 ,030 ,027.41 116,646 1919 $100,323,057.00 13,253,881.86 888,879.10 48,373 PAST YEAR 68 % 40% in Force, Both Standard and Sub-Standard Business on Particip ating or No n-Participating Plans Through the facilities provided by our re-insurance department we are in a position to han dle applications for large amounts of insurance with the least possible delay. By issuing on both standard and sub-standard risks the International field force is assured the best service possible on the applications submitted. international JifL9tLuraiic£ Co. St.Louis, Mo, C. S. W H I T F I E L D , 425 L i b e r t y B ld g ., D e s M o in e s , la . T H O M A S F. B O U R K E , 716 O m a h a N a t ’ l B k . B ld g ., O m a h a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis G U Y A . C O L L A R D , 402 C a lif o r n ia B ld g ., D e n v e r , C o lo. L. A. A L E X A N D E R , 536 N e w E n g la n d B l d g .,T o p e k a , K a n . Twenty-first Year Number Four Saint Loui s A p r i l , 1925 The Financial Magazine of the Mississippi Valley W hat the Saving’s Manager Can Do The Savings Department Is the Retail End of the Business W here the Big Customers of Tomorrow Are Being Groomed HE LAST available figures taken from reports of tha Savings Bank Division of the A. B. A. show that over twenty billions are reported by the banks of our country as savings de posits—representing 51 per cent of all reported bank deposits, with more than thirty-eight million depositors. This vast army of savers presents to us a fertile field for productive labor. It is not only our duty to safeguard the busi ness already entrusted to us, but to educate these savers to make further use of our financial institutions and ac quire habits of financing themselves along sound lines. The worker who has neen inspired with the logical desire to save has little time for pink thought and the communists find him a hard nut to crack. We know full well that not only a community but nations will grow and prosper in proportion to the deve'opment and thrift of its people. The missionary work that the saving depart ment is called upon to do is in its final analysis a plea for a balanced budget on the part of the individual, the lack or which among the nations is causing the world’s woe of today. T B y H . H . Reinhard Vice-President, The National Bank of Commerce in St. Louis fields for us to work in. We are prone to have such sharp appetites for new business that we often disregard the “acres of diamonds” under our very feet —our present accounts. Analyze Y o ur Customer. Letters Effective. We receive the bank depositor in his raw state, untutored in bank ways, and sometimes only “half sold” on the idea This series starts off with the “ thank you” letter. We find that they like the personal touch. Notwithstanding, it was a big and tedious undertaking, we de cided to divide our accounts into four groups: Group A—Satisfactory account, show ing substantial balance or regular de posits which will in time mean satis factory balance. Group B—Accounts which show in termittent effort within the preceding two years but not substantial growth. Group C — Accounts of Trustees, usually for minor children. Group D—Accounts which have been dormant for two years or more. It is obvious that it would be a waste of time and effort to follow up the “A” accounts, except to learn where they are making investments. “B” rep resents the susceptible accounts and treatment of this group brings the most abundant harvest. At the present time, we are treating all of our accounts in the “B” group with folders. The “ C” group represents a trusteeship and while the trustee, to some extent con trols the growth of the account, it is questionable whether the account will respond to treatment. At the present time, we are not following up this group. The “ D” group of accounts has been dormant for two years or more, The percentage of favorable response decreases with the years of dormancy from 14 per cent for accounts three years dormant to 1 per cent for ac counts dormant for five years, or more. Savings Bank History. It is essential to our existence that we maintain our business upon a basis which will be attractive, not only to our customers, but to our banks as well. For almost a whole century before the birth of the savings bank, efforts were made to conduct thrift institutions on a philanthropic basis and all such ef forts failed. Even in its present suc cessful form, the savings department was long regarded by some senior offi cers as a necessary evil, and in their hostility they continued to classify it as a philanthropic effort. One thing is patent, the savings bank was not a success until put upon a self-sustaining basis and can only thrive on such a firm foundation. The problems of the Savings Manager naturally group themselves under two general headings: First—the develop ment of business already upon our books; and second—The procuring of new business. Both constitute fertile https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ceived in the case of account dormant only six months to one year. The se cret is to not wait for them to be come dormant. Every new account opened with us not showing growth is the recipient of a series of six letters produced on an automatic typewriter and signed by hand. H . H . Reinhard of saving. It is evident at once that educational effort will be required if we hope to develop him into a valuable sav ings customer and later graduate him into other departments of the bank. We should try to analyze the attitude of our new customer, then plan wisely and finally put into practice our sales ef fort. Our bank, after a careful survey, learned that some accounts can be built up at a cost which is not pro hibitive. We found that the best re sults in following up dormant accounts are procured within six months to one year after dormancy. If the account has been dormant one to two years, the favorable reply to treatment will be only 25 per cent of the response re Ad vertisin g Is Im p ortan t Advertising is the important back ground for all this work. In our bank, the advertising and savings depart ment work together very closely. The advertising manager is kept informed Mid-Continent Banker as to the purpose of the savings de partment and fits his advertising into the plans of the savings department, or the advertising department will map out its publicity program and the sav ings department will make its plan ac cordingly. Changes In Advertisin g Savings advertising has and is under going great changes. It is progressing from the preachment and platitude stage into the great national arena of appeal through desire. Savings adver tising is pointing out more and more the results of thrift in happiness and contentment. Just as soap manufac turers refrain from advertising their product, as a commercial soap, but put it out as a quick way to the school girl complexion, so savings accounts must be merchandised in their equivalent of life’s desires. Not the can’t and don’t, the negatives of life, but those things of happiness that lie close to the hearts of every one, follow in the trail of de sire so successfully blazed by almost every large national advertiser. Now, the procuring of new business is worthy of the best brains in the bank, its phases are many and brings the institution into the lives of the mul titude more than any other banking function. To grow, we must add more accounts to those we already have. The savings manager should be able to ana lyze his situation and know what plans are most likely to succeed in his com munity. Beside, to intelligently de velop his business and guide his choice of these offerings in the future, the savings manager should keep an accu rate record of every effort put forth and analyze the results obtained. How Employes Help. The savings department should not overlook the value of the sales force that is represented by its bank’s own employes. Nobody can know the bank as thoroughly and consequently are in a better position to sell it. In our de velopment work, we give the first op portunity to our employes before out side agencies whose representation in the field must be continuously super vised. Our employes have procured for us, in the seven years in which we have operated a savings department 22,000 accounts, aggregating $4,000,000 or approximately 20 per cent of our sav ings business, and in a yearly contest, now in its tenth month we have se cured 4,400 accounts, aggregating over $700,000. The personnel of your savings depart ment should be encouraged to put forth its best sales effort. The teller who has a cheerful word of encourage ment for the customer is building up your business. A bank’s advertising and promotional work can never exceed the ability of the bank to deliver the kind of service advertised. If the teller will take the trouble to cultivate the cus tomer, he can often win the good will of the customer to the point where the customer is a solicitor for the bank. All of this seems to indicate that the building of a successful savings depart ment is a job exceeding the ability of a “jack of all trades” and not one to be entrusted to the spare time of a clerk or an office boy. It challenges the best ingenuity that banks in their more recent and commendable renaissance of merchandising can produce. The sav ings department is the retail end of the business where are being groomed the bigger bank customers of tomor row. The savings departments have had a big hand in making the United States a world’s creditor nation. The so-called select big investor of yester day no longer holds the stage. In dustries, commerce, even foreign trade is going forward on the investments of millions of savers. What Is Good Bank Management? Success or Failure Depends Primarily on Leadership By D. K. Snyder, Assistant Cashier, Drovers’ National Bank, K a n sas City, Mo. IE success or failure of a nation, bank, mercantile house or any en terprise depends primarily on leader ship. It is estimated by students of economics that 60 per cent of business failures are caused by outside influ ences or economic forces over which the business has no control. In spite of this thousands of institutions throughout our nation have survived every test of economic eruption, proving there must be a reason for the toughness of their fabric. What are these reasons. Successful banks have built charac ters that are nearly human. The poli cies of wise leaders are so imbibed into their operations that even though they have passed away their spirits remain a part of the institutions. In one of today’s leading papers these headlines appear: “ To Nourish T. R.’s Ideals.” The Roosevelt me morial association will carry on his T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis policies and ideals. This is the spirit in any successful bank—forever carry ing on the policies of some wise leader. Recall to your mind some particularly successful banks and you will at once associate some personality with them— some individual who is now or has al ready furnished the motive power and started the momentum. There are several types of success ful leaders, but in fundamental charac teristics there is great similarity. They win the love and respect of their asso ciates, and the customers sense this co operative feeling. When the atmos phere is right customers prove the best boosters and the bank will hold its busi ness and continue to grow. Our home, religion and our business are the greatest things in our lives. A home to be successful must have love and harmony. A religion to be success ful must have spiritual upbuilding. A bank to be successful must combine all these virtues. There must be love for the business, harmony in the business and a vision of greater usefulness in service to humanity. Courteous Treatment Should Be Accorded Everyone By Charles F. Ellis, Cashier, Citizens Bank of Marshfield, M ars h field, Mo. BANK must have close attention. Some officer must keep a close eye on it, the entries on the books and management. He must give close and constant attention. If he greets the customers as they come in, this is good. A bank owes much to the community. To succeed as it should it must help develop the community. It owes serv ice. I happened to be in a bank one time when a man who had no account called for change, he was refused. This made the man a knocker when he might have said a good word for the bank. As I viewed the matter the bank owed it to the community to give this service, and that it would pay the bank anyway. A bank can never tell when a party may help it or hurt it. Most banks take care of many accounts that do not pay themselves, yet it cannot be seen what it may bring. I remem- A St. Louis, A pril, 1925 tier of a small account that we took care of for some time, it did not pay, yet when some relatives of this party received quite an estate it was through him that we got their deposit. It pays to treat all customers the same in general. I learned of a cus tomer that happened to see a time deposit of another customer of his bank, this deposit drew more interest than he was getting, this offended him very much. This does not pay. I knew of a party that called at a bank for a calendar, the bank told him they had some, but were for their customers. I do not believe this pays, it may make the party a knocker. I have known of banks refusing to cash a check for a customer of a hank in a nearby town when they had no fear of the check not being all right. I have known of deposits being lost by the bank that refused on account of the transaction. Courteous treatment is the cheapest ad vertising. The good will of the people about a bank is a big asset. I like a close corporation. In some cases I be lieve a large number of shareholders is quite a weakness. A small number of shareholders and all knowing the inside of the bank is, I believe, better. Accurate Records and Care in Loaning Are Essential By J. W . Haw kins, President, F ir st Natio nal Bank, Lam a r, Ark. AlWHILE volumes could be written on ’ ’ the subject of “Bank Manage ment,’’ only a few fundamental points are brought out here: 1. A good system of records should be kept showing gross profits classi fied and also showing all disbursements classified. If one class of expenses is too great, it should he reduced. If another class is proportionately too small, it should be increased. Often the latter is true as to advertising, but this can be abused, yet, it is not likely to be if all advertising is constructive. 2. Every officer and employe of the bank must show by act and word a willingness to serve the public—not merely serve, but be willing to do more than is required and do so pleasantly, with sincerity and honesty back of it all. Such service and advertising will tend to draw business. 3. Then be careful in lending money when a borrower is already heavily in debt; or do not make the loan. 4. Always put character first when considering a loan, and avoid the bor rower, even though honest, who is will ing to go in debt for an amount beyond what is recognized as safe business. If a borrower does this, a loan to him is not one that could be readily liqui https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 9,» dated, but, instead, a frozen asset, even if good. 5. Keep the loans well distributed, avoiding the practice of too many big ones. Let there be many small loans to many borrowers instead of a few large loans to a few borrowers. 6. But few loans, if any, should be made for capital purposes where the debt can be paid only: (a) From profits of the business— there might not he any, or; (b) By borrowing elsewhere, as this is almost out of the question if gen eral conditions justified the bank in calling the loan, or; (c) By liquidating the business, which is always a sacrifice for the borrower to make, as calling such loans are usually when prices are low and liquidation hard to make. 7. If possible, see the applicant per sonally as the loan man will either get some good or bad impressions which are very material. Of course, all new applicants for loans will say things to make a good impression, but the man ner in which this is done offers an ex cellent opportunity to judge for oneself the character of the applicant. Every banker should test his own ability to judge character, which can be done in this way: immediately after the first interview with a new custo mer or applicant, form an opinion as to his character, and then make an investigation to see whether you have the correct opinion. Being conservative will not do the “job.” It takes something more. The loan officers must possess practical knowledge of the innumerable things necessary for safely lending money such as values and fundamental ideas of management, coupled with better ad vertising and a progressive spirit. The holder of a capital loan, is, in a sense, only a preferred stockholder and might as well hold a stock certifi cate. If a capital loan is made, it should be of the most liquid kind. If these points are followed, though, they do not wholly cover the subject, a bank should grow, prosper, make money for its stockholders, play an im portant part in the life of its com munity, while one differently managed and perhaps almost as well situated, barely gets along, and some times is even forced into liquidation. The Banker Must Like People and Study Them By L. M. Smith, Cashier, Peoples’ State Bank, Rockport, III. OOD bank management must hold safety and service continually to the front. The bank has no right to exist if it does not offer to the people G in its territory the things a bank should have for each one and be an ex ample of safety. Safety for the de positors’ money and safety for the in vestors’ business. A good banker needs to be able to judge people—help all—those who are capable in their busi ness with loans when they need them and help those who are incapable with advice, where it can be given, and par ticularly by withholding credit exten sions that will injure them. A banker must have the disposition to like people—have a habit of study ing people—have ability to control people. He should be “as wise as a serpent and as harmless as a dove.” Laclede Trust Company Will Have New Building The Laclede Trust Company, Jeffer son avenue and Market street, St. Louis, have purchased the Garni Hotel property at the northwest corner of Jefferson and Olive streets and will move into the new quarters, which are now being remodeled, in about a month. More than $75,000 is being spent on the remodeling work, which includes the installation of new equipment es pecially designed for the bank by the Richardson-Leaver Fixture Company of 1124 Washington avenue, St. Louis. The entire interior of the banking quarters will be of Italian Botticina marble, and the new quarters will pro vide almost double the floor space now used by the bank in its present loca tion. Weisenburger Addresses Wellston Chamber of Commerce Walter B. Weisenburger, vice-presi dent of the National Bank of Com merce, in St. Louis, was the principal speaker at the annual banquet of the Wellston Chamber of Commerce, St. Louis County. He stressed the value of such organizations, declaring that they are schools for good citizenship and the relationships established there cause a deeper respect on the part of the members for the city. “ It’s under such an atmosphere that law enforcement reaches its fullest [fruition,” he declared. “ Peace and progress are safe as long as love of country exists in the breasts of her citizens. The speaker declared that Wellston has real opportunity to make itself a great community, and that, because of its nearness to St. Louis, the expan sion of Wellston will be of benefit to the other city. He urged the Wellstonians to work in harmony with their colleagues for a greater St. Louis. 10 M id-C otiti neu t Ba n ke r W h a t Bankers Mean by “Cinders a la Carte” Il l i n o i s , the birthplace of General John A. Logan, has recently estab lished the fact that it is perpetuating the precedent of creating generals un der whose leadership community spirit is fast becoming the chief factor in the progress and development of that city, known state wide, as “The Chicago ot Egypt.” M u rph ysboro, Route 13, not yet covered with con crete slab, between Murphysboro and Carbondaie, was graded, but left in a condition that it would be practically impassable during the winter months. The banks issued a proclamation that they were going to get Mur physboro out of the mud, and in conjunction with the Chamber ot Commerce and Rotary Club, have just finished a record-breaking campaign in the construction ot a volunteer road. All the material and labor used in the construction of the road were contributions and volunteer work. Two hundred and fifty cars of cinders, donated by three railroads and a utility company, were used to build the road, which is six miles long, 12 feet wide and approximately 15 inch es deep. One trainload of cin ders was brought all the way from Little Rock, Arkansas, by way of St. Louis. Nineteen trucks donated by the different firms of the city were used and a force of shovelers worked steadily for six weeks loading and unloading cinders. One day was set aside as “ Road Contribution Day,” and the banks started the fund with g e n e r o u s contributions. Two prominent men picked up $700.00 in several hours’ time parading through the streets of the city with an antique horse-drawn cab, on which was mounted a mighty steel hat, which was used as a contribution box. On that day the banks and all the business houses were closed. Forty-two trucks and fifty-five extra shovel ers were in service. Bankers and other business men donned over alls and shoveled cinders—all contributing their services toward the completion of the road. The road was finually com pleted in six weeks at a cost of about $10,000.00 and gives Mur https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ IDEA” CONTEST PRIZE WINNER B y Ruth H . Mayhew Secretary to the President of the First National Bank, Murphysboro, 111. physboro an all winter highway that radiates into a rich farm territory and makes it a trade center for all South ern Illinois. A Few Thoughts on How to Increase Deposits By T. P. Flinn, Cashier, the Hernando Bank, Hernando, Mississippi E COURTEOUS, friendly and prompt in dealing with your cus tomers. Give them service and accom B modations. Send out bulletins to farmers on the proper cultivation of the soil and methods of fighting weevils and other insects. Aid the farmer in helping to secure iarm demonstration agents. Help him to get the best fertilizer, acids, etc., and thereby increase his profits and your deposits. Co-operate with the boys in different clubs and show them how to earn and save in order to increase their in comes and bank deposits. Tell your customers and others what a savings account means; that their money will work “while they sleep.’’ Our deposits, in the high period, will run from $800,000 to $900 000. Our town has a population of 794, white and black. A b o v e — P a s s in g t h e h a t fo r n e w c in d e r r o a d a t M u r p h y s b o r o . B e lo w — B u s in e s s d o n a t in g th e ir s e r v ic e s t o b u ild n e w c in d e r r o a d . m en a n d d a y la b o r e r s St. Louis, A pril, 1925 11 ip System Helps lew Business L A L ,/ HERE are so many elements that contribute to the successful growth of a bank that it is dif ficult to select any one as the most important. There is one particular plan in constant use at the Industrial Sav ings Bank, however, which is funda mental in its business-getting princi ples and which certainly deserves some credit. This is our “tip” system, which ex ists because of the fine co-operation in our force. Every day new business tips come to the Special Service Depart ment from various employes of the bank. A few examples will illustrate the plan. T H o w T his Plan Works. Notice comes of a man buying his home on a contract. He is nearly paid J W L V /J L 1 .X JL X B y Allen T . Smith Manager, Special Service Department, Industrial Savings Bank, Flint, Mich. up, and with this obligation out of tne way will have money for a savings ac count. Here conies word of a person paying his mortgage interest with a check on another bank with the query —why is his account elsewhere? A man has just bought a draft which means that some other fellow will be receiving a considerable sum of money. We get in touch with the “ other fel low.” One of our tellers received word that a certain lady was to receive a legacy. This information brought a sizable savings account to the bank. Bookkeepers make note of accounts that become inactive. We find out why. New business concerns and new ar rivals in the city are being constantly reported. These examples only indi cate the various leads furnished. When a “tip” comes in the method of treatment depends upon that par ticular case. It may mean a letter, a call from a solicitor or one of the officers. Good W o r k I The Plan. The plan briefly was as follows: A committee of the merchants secured a large number of valuable prizes do nated by manufacturers of furniture, etc., which were displayed in the dif ferent show windows on the street as capital prizes. Each merchant secured his particular display by drawing, and in addition to this each merchant do nated individual prizes for which his firm secured the credit and these were also displayed in their own windows. Our plans call for awarding these https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y C. H . W etterau Assistant Vice-President, American Na tional Bank, Nashville, Tennessee hundreds of valuable prizes totaling three or four thousand dollars by draw ing, and to that end each merchant was given ten to fifteen thousand num bered tickets, which he distributed to every visitor to his store, one to a per son. Nobody had to buy anything. The object of the opening day was merely to sell the town on Third ave nue; prove that it was a shopping cen ter and show them the stocks carried. No award of prizes was made until the morning of the second day, and the lucky numbers were posted in the merchants’ windows, so that everybody had to come back to the street the second day to compare their numbers and see if they drew a prize. Pu blicity Methods Used. The publicity as I have stated was handled by the American banks, anil included teaser advertisements in ad vance of the opening day leading up to the big double page spread on the afternoon before and morning of the opening in which each merchant’s name appeared and the list of prizes which he was donating. Also as the center piece was shown illustrations of the capital prizes do Is Rewarded. A bulletin circulating throughout the force names those who have turned in “tips.” Those who are doing good work are mentioned to the exective officer who comments upon the work accomplished, and the fine group of men and women connected with this institution makes the plan succeed. This is not a spectacular stunt, but over the long pull it produces more business than many plans that are ushered in with a brass band. Bank’s Flan Attracts Crowds to Nashville Stores N NASHVILLE, TENN., most of the banks are located on Third ave nue, which is between the prin cipal retail shopping district and the wholesale district. However, on Third avenue there are a number of different retail stores carrying diversified lines, but the principal lines sold at retail are furniture and household furnish ings. Two or three years ago the mer chants on the street organized the Third Avenue Merchants’ Association for the purpose of co-operating in all matters pertaining to the street’s best interest, and this fall the association decided to have a fall opening and the publicity department of the American banks was asked to handle it. “ ID E A ” CONTEST Prize Winner V i - 1 K - / “ IDEA” CONTEST Honorable Mention nated by the manufacturers, the plan of the opening and the invitation to everyone in the city to visit Third avenue. In addition to the newspaper advertising, every home in Nashville was covered during the week previous by the mass plan of publicity, and the two nights prior to the opening every automobile parked in the city wa,s handled in the same manner by a dodger being placed on the steering wheel. The merchants and banks all gave away tickets, and any ticket, no mat ter where given, might draw any prize on the street. The crowd was enor mous. For the two days it was prac tically impossible to make any prog ress on the sidewalks. All the stores and banks were crowded with the vis itors, and many people who had pre viously only traded in the department store district of the city before the opening day, came to realize that they were overlooking an important part of the retail district of Nashville when they overlooked shopping on Third avenue. Results Obtained. It was surprising not only as to the large number of people attending the opening, for the tickets gave out early in the day, but the high type of citi(C ontinued on page 57) M id-C on tine nt B an k e r 12 T w o Great New York Banks Merged Chatham Phénix National Bank and Trust Company Has Resources Over Quarter Billion Dollars. ident of the Chatham National Bank, a position which he has held through successive stages of consolidation as the power and influence of his institu tion steadily expanded. He was born in Michigan 52 years ago and was educated in the public and high schools of his native town, Marquette. His first banking work started at the age of 19 when he be came a messenger in the Marquette County Savings Bank. Seven years later he became cashier-manager of that bank and his rise from that time was very rapid. In 1901 he became vice-president of the First National Bank of Marquette and five years there after was made its president. He has been president of the Michigan Bank ers Association, and a member of the executive council of the American Bankers Association. In 1910 he went to New York as president of the Chatham National Bank, succeeding George M. Hard. Since that time he has effected the purchase of numerous other institu tions and the establishment of a dozen or more branches. Mr. McRoberts began his business career as private attorney with the legal department of Armour & Co. He rose by various stages to the position Louis G .K a u fm an of financial manager of all the Armour institutions a few weeks later. The interests and in 1908 was made viceidentity of each will be merged into the new company, which will be known president of The National City Bank, as the Chatham Phenix National Bank later becoming its executive manager. The World War occasioned a break and Trust Company. Based on their condition reports as in his business record, for he was com missioned a major in the Reserve of January 1, these two banks bring Corps in November, 1917, and almost into combination total resources of $288,809,578, deposits of $247,808,803, immediately was promoted to Colonel and loans and discounts of $175,441,438. in the National Army. In December The merger also brings together two of the same year he became Chief of of the outstanding executives of the the Procurement Division of the Ord banking world Louis G. Kaufman and nance Department and in the following Samuel McRoberts. Mr. Kaufman was August was promoted to the rank of president of the Chatham and Phenix Brigadier- General with the American and will be president of the merged Expeditionary Forces. He resumed active business after the institution and Mr. McRoberts, who was president of The Metropolitan Trust war as president of The Metropolitan Company, will be chairman of the board Trust Company. Pie was particularly in the new lineup, actively engaged in active in the negotiation of loans here for foreign governments during the the direction of the affairs of the bank. The record of Mr. Kaufman’s career period of the war that the United States was only a spectator. His cor parallels that of some other prominent New York bankers in that it chronicles porate interests are large. He is a his rise from small beginnings to the director of ten or more corporations executive head of one of the ten larg and an officer of many of them. These include some of the largest industrial est banks in New York City. He came here from the West in 1910 to be pres enterprises in the country. WO great banking institutions, the Chatham and Phenix National Bank and The Metropolitan Trust Company, New York, have started operations as one. This linking of aggregate re sources of nearly $300,000,000 was de cided upon early in January and ap proved by the stockholders of the twd T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Callan E. England to Run for Executive Council The Little Rock (Ark.) Chapter of the American Institute of Banking has presented Callan E. England, assistant cashier of the England National Bank of Little Rock, for the Executive Coun cil of the A. I. B. Mr. England also has the unqualified endorsement of the bahkers of Arkansas, who are a unit in supporting him for this office. Mr. England is 29 years old and has had twelve years of banking experi ence. He is a graduate of Princeton and holds the Institute standard cer tificate. He served as treasurer of the Little Rock Chapter in 1922-1923, and as president in 1923-1924. He is at present a member of the Board of Callan E England England National Bank, Little Rock, Ark. Governors of the Little Rock Chapter and a member of the chapter debating team. Mr. England is the organizer and present chairman of the Chapter Forum Committee and is instructor for the chapter in elementary banking. He is also chairman of the Committee on Public Education, Arkansas Bankers Association. His candidacy has been indorsed by the Little Rock Clearing House Association, the junior section of the Arkansas Bankers Association and the Arkansas Bankers Associa tion. 13 St. Louis, A pril, 19,2c Agricultural Section Observations by Charles E. Hoke, Stillwater, Okla. Outlook Good for Hogs f PHE farmer who can tide over his brood sows, with their spring lit ters, to feeding out time next fall should be well paid for his trouble. All indications at this time point to a short crop of hogs, and this condi tion seems to be generally true throughout the entire country. It will be a little expensive to get the hog crop through to the fall market, but this should be more than offset by the higher price that they should demand. The Ton Litter Contest I N line with the above suggestion that an increase in pork production will pay, it might be mentioned that the “ton litter contest” idea would seem to offer one of the best and most economical methods for increasing the pork production of a community or a state. In the ton litter conducted in Okla homa last year, there were twelve lit ters that weighed above the ton mark at 180 days of age. The winning lit ter contained thirteen pigs and they weighed a total of 2,997% pounds, an average weight of 230.6 pounds for each pig in the litter. One litter of eight pigs won sixth place in the state, with an average weight of 293.7 pounds. This was reaily the outstanding record of the contest, for most of us know that it takes a mighty well-fed pig to weigh even 200 pounds at that age. This contest showed that there are at least three essentials for the suc cessful production of pork: First, se lection of brood sows that will pro duce large litters of pigs,- second, sav ing the pigs; and third, proper feeding methods. Boys’ pig feeding contests also offer a satisfactory method of increasing the number of hogs in a community and might well be encouraged by bankers or others interested in this phase of agricultural development. Crop Conditions A ENERALLY speaking, crop condiJ tions throughout Mid-Continent territory are only fair. There is a need of rain in some sections, especially in connection with the development of the wheat crop. Othar spring crops which have already been planted will ( https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis also need more moisture than we have at the present time. Late freezes dur ing the past week (March 9-15) do not appear to have injured the fruit crop, although there is yet plenty of time for a loss of this kind. The condition of the wheat crop is not especially bad and rain within the next few weeks will bring it out in good shape. 6. Economical marketing, including standardization of products on the basis of quality. While this is an Oklahoma program, it is also applicable to many other sections, and I don’t believe there is a banker or other business man in Mid-Continent territory who cannot endorse it, enthusiastically and consci entiously. The Cotton Boll Weevil r PH E following statement by E. E. L Scholl, extension entomologist at the Oklahoma A. & M. College, relative to the cotton boll weevil will be of in terest to those living in the cotton sec tions: “I found a common belief among farmers in southeastern Oklahoma,” says Mr. Scholl, in speaking of a re cent trip to that section, “that the cold weather had destroyed all insects. Con trary to this belief, however, live boll weevils have been found by a farmer living near Durant, and since our most severe cold spell. They were found under the bark of a tree, and this leads us to believe that they may also be found in the large piles of burrs and other trash around our gins. All of this material should be burned be fore planting time in the spring.” Still other reports would seem to indicate that while it is probable a large per cent of the boll weevils were killed during the past winter, the dan ger from this source should not be dis regarded and all precautions should be taken to destroy if possible the re mainder of the weevil crop living through the winter. An Agricultural Program r l"'HE Aricultural Committee of the L Oklahoma Bankers Association met recently in Stillwater, and, in confer ence with colleges and extension men farm paper editors and others, forum lated the following agricultural pro gram for the year 1925' 1. The production of iood for the family and feed for the live stock. 2. Boys’ and Girls’ club work. 3. The conservation of soil and mois ture by terracing. 4. Building up and maintaining soil fertility through live stock and legumi nous crops. 5. The economical production of bet ter live stock and live stock products. Increasing Dairy Quality r PHERE' are at least three ways by which the dairy quality of a com munity might be quickly and efficiently increased: 1. The formation of cow testing as sociations. 2. Purebred bull associations. 3. Intelligent purchase of new blood. Most communities don’t need an in crease in the number of dairy cattle, but they are seriously in need of a better quality. The first two methods suggested above will secure this qual ity within a comparatively short time and at a not too excessive cost. In connection with the third method suggested, watch out for the fellow who makes it his business to promote the selling of purebred cattle in a cornunity. He usually delivers a poor class of purebred at high quality purebred prices. Remember that an animal may be a purebred and still be the worst kind of scrub when measured from t production standpoint—and production is what counts in the dairy business. Get in touch with your state agricul tural college and let them aid you in the selection of both breed and qual ity of cattle for your community. That is a part of their business and they will be more than glad to render such assistance. Change Tennessee Convention Dates. The Tennessee Bankers Association have changed the dates of their con vention from May 6th and 7th to May 13th and 14th, at Nashville. Powell Is Vice-P resident a t Gurdon. H. E. Powell has been elected vicepresident and a member of the board of the Merchants and Farmers Bank of Gurdon, Ark. 14 M id-Contineni Banker Banker Is the King* of Carnival President L. M. Pool of Marine Bank Presides Over 1925 Mardi Gras Festivities in New Orleans. N acclaiming L. M. Pool king of carnival for the 1925 Mardi Gras festivities, New Orleans once again paid tribute to one who by dint of personal effort and individual ability has forged his way to the forefront of civic and business leadership. There is nothing unusual about this. All down the years, those to whom have come the distinction of the role of Rex have been men whose lives have been so cast and so conducted as to make them outstanding individ uals in a community where always high premium has been set on those whose goal has been worthwhile ac complishment. I For years now, L. M. Fool’s name has been linked with most of the worth-while moves for business and civic development, not only in New Orleans but throughout the state of Louisiana. His active participation in the labors of the Committee of One Hundred on flood control, his efforts in behalf of the sugar, rice, lumber and other basic state industries, always with a view to comprehensive development along stable and permanent lines, are recent enough to be in the minds ot every Louisianian and have won for Mr. 1’ool a particular place in the cur rent history of the state. Mr. Pool went to New Orleans years ago intent apparently on making a place for himself in the community and linking his ambitions in this direction with the community itself, its growth and its fortunes. And he has pros pered well. As an official of the Hibernia Bank he forged steadily ahead. Then, when a few years ago, he severed his con nection with that institution, organ ized the Marine Bank and Trust Com pany, and started out to build a bank of his own, his progress was such as to win the title of remarkable in banking circles. And that development has gone on through the years with his institution growing, its influence gradually extend ing, and with Mr. Pool’s own activi ties and influence growing accordingly. A hard worker, shirking the routine of business no more than the larger and more interesting phases of activi ties, Mr. Pool has succeeded in build ing up an institution that ranks now in the forefront of Southern financial houses. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mr. Pool has come to be known as the development banker of Louisi ana from the active interest he him self and through him his institution has taken in the development of the state as a whole. In sugar, rice, lum ber, and the other standard industries of Louisiana, he has taken a studied and wholesome interest, lending what ever influence he himself and his in stitution might have toward sound de velopment. The results have been flattering. L. M . Pool And thus it was that New Orleans when it doffed its hat and raised its voice in lusty cheer as the King of Carnival passed majestically by, paid its tribute to one of its younger, and in a broad sense, one of its most suc cessful business and civic leaders. Program Arranged for Louisiana Convention The Louisiana bankers’ convention will be held at New Orleans, April 15 and 16, with headquarters at the Roose velt hotel. Hon. Frank W. Mondell, director of the War Finance Corporation, Wash ington, will speak the first day on “Federal Taxation.” Andrew Querbes, president of the First National Bank of Shreveport, will discuss “ Federal Intermediate Credit Banking and Agri cultural Problems.” The address of welcome will be made by Martin Behrman, vice-president of the American Bank and Trust Co., with the response by Eugene Cazedes-sus, vice-president of the Bank of Baton Rouge. On the second day, Colonel W. E. Kay, attorney for the Atlantic Coast Line Railroad, Jacksonville, Florida, will speak on “Florida’s Constitutional Amendment Prohibiting the Levying of State Income and Inheritance Taxes.” L. M. Pool, president of the Marine Bank and Tru-st Company of New Orleans, will lead a general discussion on this subject. It is hoped to produce a state movement in Louisiana similar to the one in Florida. R. O. Young, chairman of the Agricultural Commit tee, will discuss agricultural problems. Dr. Young has been chairman of this committee for many years, and it ha-3 been of much value to the banking and agricultural interests of the state. Bruce Baird, national vice-president of the A. I. B., and vice-president of the New Orleans Bank and Trust Com pany, will speak on “The American Institute of Banking.” The entertainment planned for the convention includes a golf tournament, a dinner dance at the New Orleans Country Club, a boat ride on the steamer Capital with a buffet luncheon, music and dancing, and a sight-seeing tour. W. D. Haas, president of the Com mercial Bank of Alexandria, is presi dent of the association. Travis Oliver, president of the Central Savings Bank and Trust Company of Monroe, is vicepresident and the probable choice of the convention for president for the coming year. W. J. Mitchell, vice-pres ident of the Canal Commercial Trust and Savings Bank, New Orleans, is treasurer, and J. C. Barry, vice-presi dent of the Bank of Lafayette and Trust Co., is secretary. W. E. Glassell has been elected chairman of the board of the Exchange National Bank of Shreveport, La., and E. A. Conway has been elected vicepresident and cashier. Union Bank and T r u s t Co., of Baton Rouge, La., plans to erect addition to building for $18,000. Joe Gottlieb is president. E. G. Davis was recently elected vice-president of the Louisiana National Bank, Baton Rouge, La. 15 St. Louis, A pril, 1925 A t Your Call—The N ation’s Bond Markets https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis he bonds in your vaults must con T stantly be w atched— their market value constantly checked— that is sound investment practice. T o follow such practice thoroughly re quires some reli able means o f getting time ly market quotations and information. That data may quickly be obtained— for at your call, are the bond markets of the nation and Canada. T h e great system o f direct w ire com m unications rad iatin g from the First National Company o f Saint Louis to the im portan t investm ent centers o f this Fir s t N country that make possible quick and ac curate market data may be had, without cost to you, by forming an investment connection with this Company. And that is but one o f the many ways you may profitably use the services of this Company. Right here in Saint Louis, as close to you as your telephone, is a complete invest ment service— the First National Com pany. If you are not now acquainted with this valuable service we would like to tell you about it. A booklet will be sent upon request. a t io n a l Com pany INVESTMENT DIVISION OF THE FIRST NATIONAL BANK F. O. W atts , President B R O A D W A Y , O L IV E A N D L O C U S T ST. L O U I S , M O . H enry T. F erriss, Vice-President 16 Mid-Continent Banker “Brickbats” and “Boquets” for the Federal Reserve System N RESPONSE to several hundred letters sent to bankers in Missouri, Illinois, Indiana, Oklahoma, Arkan sas, Kentucky, Tennessee, Kansas, Louisiana and Mississippi, the MidContinent Banker has obtained the per I sonal opinion of a number of bankers on the Federal Reserve System. The re plies are classified as “brickbats” and “boquets” in order that you may know what other bankers think about the Federal Reserve System. omc 50,000 “ Brickbats.” “ I think that we voice the protest of nearly every country banker when we say that the strong-arm method used by the Federal Reserve Banks in enforc ing par clearance was done without sanction of law or justice and was both injurious and humiliatmg to the coun try banker. The courts of last resort have said that this action was entirely without authority, and state bankers are at liberty to charge a reasonable rate of exchange for the service rendered. This has been denied them under the strong-arm method of the Federal Re serve System.” “At times we send the Federal Re serve Bank St. Louis exchange for credit. There have been times when we would not receive actual credit for five days after making the remittance.” Commeecial M a n kin q^ H E Mississippi Valley Trust Com pany is a commercial ban k . Since 1 8 90, it has taken an active part in the industrial and commercial development o f St. Louis and the entire Mississippi Valley. T A m on g its fifty thousand customers are thousands o f individuals, firms, and cor porations engaged in nearly every line o f industry. C lose contact w ith the commercial in terests makes the Mississippi Valley Trust C om pany a particularly desirable corre spondent for banks and bankers. M ississippm JikLi S a in t https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ The principal objection is insisting on our paring their items, while some other banks charge exchange.” “The only policy of the Federal Re serve Bank system that I can criticize in any manner at all is the fact that, as I view it, the banks have invested too much money in brick and mortar at ex pensive locations. There is no partic ular reason why a Federal Reserve Bank should be located in the midst of the most expensive real estate of the city of its location, neither is it nec essary that the building housing the bank should be a monument of beauty. The added cost increases the overhead enormously and that overhead must, in the last analysis, be paid by the pub lic.” “The system is controlled by private interests and we all know it.” “ The Federal Reserve is guilty of three things: it charged high interest rates when we needed money; it with drew from circulation large amounts currency when we really needed the money; it restricted loans in the mid dle west and continued to loan lavishly in the east.” “ The Federal Reserve is O. K. as a system, but when it comes to being a universal clearing house for the little country bank’s checks, it is a bunch of ‘robbers’. It refuses to allow the small banks to charge the small sum of ten 17 St. Louis, A pril, 1925 cents per hundred, as an exchange item and it is only fair that we should charge a nominal sum of exchange to help cut down some of our overhead expenses.” “Yes, they should receive brickbats in carload lots. With the calling of their loans, restricting of credits, and the general policy they pursued, the Federal Reserve Banks brought on the crash that ruined many a farmer and business man. Their action under mined the confidence of the country. The pressure the Federal Reserve Banks brought on their own members and through the National banks in the large cities, compelled the country banker to force his good borrowers to sacrificei whatever he could sell to meet the demands thus made upon him. They shot up the rates on member banks until the average member bank was afraid to loan a dollar for fear some depositor would use a part of his checking account, decrease the reserve in the Federal Reserve Bank, and the penalty would be hiked a little higher. Liberty bonds, Uncle Sam’s own paper, would be accepted as collateral only at a discount below the going market price, and many a man lost 15 per cent and more through forced sale of his bonds. It was certainly one ‘helluva’ way to tide the country over a period of depression. It is a glaring example of government-owned or governmentoperated business.” time of storm.”— Loid R a inw a te r, Pres ident, ident, Louis, Mo. Bank of M orrillto n, M orrillto n, Liberty-C entral T ru s t Co., Ark. “ The Federal Reserve System has rendered all the courtesies we have asked and it has been extremely good to us. 1 have no criticism to make, and while no human machinery works per fectly, this system is improving all the time.”— R. B. Gray, Cashier, First N a tional Bank, Kenton, Tenn. “Whatever defects there may be in the Federal Reserve System at the pres ent time are of little consequence in comparison with the good that has been and is being accomplished by the sys tem. The system will live on for a long time to come as a most helpful panacea.” — M. R. S turtevant, Vice-Pres “ My impression of the Federal Re serve System gained from being asso ciated with a bank which was a mem ber, and later with a non-member, and from such other information as I have been able to obtain from time to time, is that the Federal Reserve System is filling a very distinct need in the finan cial and economic structure of this country. I think that the system is now, and always has been, under the control of men who are administering its affairs to the very best of their abil ity for the good of all the people as they conceive it. Being human, however, it is possible that they have made errors, but on the whole, the system has been very valuable to the country and will, “ Boquets.” “It is undoubtedly the best banking system that has ever been in effect in this country. It has stabilized business in such a way as to forestall another financial panic, having come through successfully the supreme trial of financ ing the world war.”— H. C. Horton, Pres ident, Bank Bluff, Mo. of Poplar Bluff, Poplar “ The Federal Reserve System is the economic safety valve of this country.” — An Illinois Banker. “ Our bank is not a member of the Federal Reserve System and we have not had very many transactions of any kind direct with our Federal Reserve Bank. The few we have had, however, have always been handled in a most sat isfactory manner.”— W . W . Pollock, President, No rth Mexico, Mo. Missouri Trust Co., “ W e Like to Do Business at This Bank” During the era of inflated business prosperity, bank deposits increased rapidly and little thought was given by many banks as to the classifica tion of their mailing lists and the publicity material used in soliciting. But in recent years only publicity has received recognition which con tained sound, ethical principles—principles which assured stabilized busi ness conditions and steadied the public confidence. The banking business since 1920 has demanded a tactful solicitation to deal with the ever-changing problems with which the banker has been confronted. In 1921 officials of Wessling Services, being bankers, saw the need of appealing to the public in a carefully-prepared solicitation that would hold confidence, and create a desire within folks to say, “I like to do business at this bank.” Thus began the organization which is now serving so many bankers throughout the country. Let these bankers submit material and prove why it has found such ready recognition. FROM IOWA AT LYTTON D.R.WESSLING, PRESIDENT “ We have never been a member of the Federal Reserve System. We have never been able to figure out how such a connection would benefit us, and have considered it an expensive luxury, full of red tape, but a darn good thing in https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis St. FAND A.R.W0LF VICE PRESIDENT Planners and Creators o f OriginalBank S ervices Bank A rt-W indow and L obby D isplays -C lassified Programs 18 Mid-Continent Banker no doubt, continue to be so in the fu ture if properly administered.”— W. E. Carte r, Cashier, Bank of Carthage, Car thage, Mo. “We have never been a member of the Federal Reserve System. However, our opinion is best indicated by the fact that we would readily join if the membership of state banks generally was needed for its successful opera tion and continuance.”— C. W . Boyden, Vice-President, Sheffield, III. Farm e rs State Bank, “I am always glad of the opportunity to say a good word for the Federal Re serve System. I am no judge as to whether the system is perfect in all its details, but I will say this, that critics who assail the system because there are some features of the system that do not appeal to them, are, in my opin ion, unworthy of the name of bankers. The act of creating the Federal Reserve System, in my opinion, is the greatest and most important constructive legis lation enacted in this country since Civil War times.”— W a y n e Hum m er, position to take care of all the needs of our community, as funds are always available to the bank that has eligible paper within its files for rediscount.”— President, Salle, III. “I regard the Federal Reserve Sys tem as the salvation of our entire financial system and believe that it has saved us from panics more than once. Any system that could be formulated would meet with some criticism, but I believe that nothing better than the present system will ever be given the banking interests of this country.”— B. La Salle National Bank, La “We were admitted to the system in 1920 and I may add that we used the discount privileges granted to member banks which is wonderful, especially for the country bank that wants to take care of its community during crop short ages and other experiences that all banks have had within the last five years. I would not ask for an improve ment if it were within my power to make changes. By being in this sys tem, we know that we are always in A. W. Moore, Cashier, Cowden, Cowden, III. C. Rodges, President, Bank, Carr ollton, III. State Bank Carr ollton of State “While there are many things about the Federal Reserve System that are distasteful, even to being obnoxious, yet I feel that we all, in some way, should lend a helping hand toward populariz ing the system so that it will not go out of existence.”— An Illinois Banker. “We are not a member of the Fed eral Reserve System, however, we are handling the collections in this town for the Federal Reserve Bank of St. Louis and our business experience with them has been most pleasant. They are practical in their views and have used a broad-minded policy in our busi ness relationship.”— C. D. M atthew s, Jr., President, A Specialized Service tor Banks and Bankers, which is the result of more than sixty years of experience, is offered by The First National B ank of C h ica g o and the First Trust and Savings Bank and provides complete facilities for active and inactive accounts, collections, B /L ’s, investments, letters of credit and foreign exchange transactions FRANK O. WETMORE Chairman MELVIN A. TRAYLOR President Combined Resources Exceed $ 4 0 0 ,0 0 0 ,0 0 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mo. Bank of Sikeston, Sikeston, _____ “ Our experience has been most pleas ant with the Federal Reserve Bank of St. Louis. We are not a member, but we have been shown every courtesy. We are glad to have this opportunity of expressing our appreciation.”— W . W . Alexander, Secretary, Co., T re nto n, Mo. T re nto n Trust “ Mistaken conceptions in the popular mind and even in the banker mind of the nature and functions of the Fed eral Reserve System, have led to strange conclusions. Old Josh Billings used to say: “It ain’t what we don’t know, but what we do know, that ain’t so, that makes fools of us.” It is miss ing the mark entirely to class the Fed eral Reserve Banks as twelve more large correspondent banks in virtual competition with correspondent banks, state and national in the cities. The Federal Reserve Banks constitute a great banking system, the best in the world. The big word to conjure with is the word SYSTEM. It was not cre ated to extend preferential benefits to its member banks. They were con scripted without their consent. It was created for the benefit of the people of (C ontinued on page 58) 19 St. Louis, A pril, 1925 ideas and suggestions can do more to renew public confidence than any other one thing at the present time. The Banking World B y C l¡-f-fo r d D e P u y P u b lis h e r De Puy Banking Publications Now t h a t Charles Dawes is going to fight to put efficiency into the methods of procedure of the United States Sen ate, we will not have to wait for the Fourth of July each year for our fire works. More power to him. If he can jar any of the old antiquated rules loose from their pigeon holes and give us new ones which will speed up our national legislative bodies he deserves a place in the “Hall of Hustle.” The F liv v e r King says that 40 banks have been reopened in your territory in the last few months. Daily newspapers seem to be perfectly willing to tear down the financial struc ture of the country, but slower than the proverbial tortoise in giving credit for the reopening of financial institu tions. It is only through such efforts as you are making that this informa tion gets to the public.” Constructive news and constructive “ Law yers, like bankers, know absolutely nothing about business. They live on rules. Bankers too often think solely in terms of money. They think of a factory as making money, not goods.” There is a mouthful for our financial wi2ards to digest. It is a strange commentary, however, if bankers and lawyers know “nothing about business” why their counsel and advice is sought so frequently, and why they are placed on so many boards of directors of great business enterprises. Henry has made the “tin can” a household word, but he should still give the bankers of the nation a little credit for having some brains about business. “ France is b an k ru pt if we insist on the payment of our inter-allied debts,” is the way Sir George Paish, noted English financial expert, views the French situation. He says further, “Franc© cannot pay her debts by taxes because they are already ex tremely heavy. She has been trying to balance her budget by depreciating her currency, but this cannot be done. “France owes England as much as <she does the United States. "Before the war France had 6,000,000 men of fighting age. She lost 2,000,000 men in the war.” Here again confidence and faith must play an all important part if the na tions of the world, and especially the United States and England, are to help France regain h,fer financial eqifilibrium. SE EKIN G N E W B U SIN ESS O N O U R R E C O R D A Tale of Two Cities T he foreign department o f the Chemical reduces the world to two cities: Supply and D em and — financing goods from wherever they may be to wherever they are wanted, whether the transaction be import, export, or the domes tic transfer o f merchandise w ith in the U n ite d States. T HE U h e m ic a l N A .T I in the middle western states in the past ninety days. In commenting on this situation, G. A. Golder, District Manager of the Fidelity Bond and Mortgage Co. at Chicago, said: “I am pleased to note O N A L BANK OF More th a n 40 banks have re-opened https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Banking is a business t h a t is con ducted on a small margin of profit,” says George Woodruff, vice-chairman of the National Bank of the Republic, Chicago. Quite true—but 15 per cent to 25 per cent dividends on various bank stocks indicates that while the mar gin is small the volume is being se cured and thus profits obtained. “The banker must watch the postage stamps, the pins and the rubber bands,” Mr. Woodruff further states. This is also good advice, because any banker can learn to stick to his task until it is finished if he studies NEW Y O R K B’ W A Y at C H A M B E R S , F A C IN G C IT Y H A L L FIFTH A V E N U E at T W E N T Y -N I N T H STREET M A D IS O N A V E N U E at F O R T Y -S IX T H STREET 20 Mid-Continent Banker the postage stamp. The pins, if rightly placed, will keep him awake, and the rubber bands will furnish the daily concert with no additional expense to his struggling financial institution. W it h the merging of the Ch atham and Phenix National Bank, and the Metropolitan Trust Co. of New York, the combined institution now has re sources of.nearly $300,000,000, making it one of the ten largest banks in New York City. The banks will operate under the name of the Chatham Phenix Na tional Bank and Trust Co. Louis G. Kaufman came from Mich igan in 1910 to be president of the Chatham National Bank. He was then only 37 years of age. In 15 years he has. become one of the outstanding bank presidents of the United States, and today at 52 years of age is as active and energetic in the conduct of the bank’s affairs as any of his younger officers. Samuel McRoberts, former president of the Metropolitan Trust Co., is chair man of the board of the combined in stitutions. He is a director of ten or more corporations, and an officer in many of them. Omaha bankers and business men are fighting the plan to have the Fed eral Reserve Bank of Kansas City place the name of Kansas City in large letters on the new reserve build ing, to be erected in Omaha. The Omaha bankers want it to read, “ Omaha Federal Reserve Bank, Branch 10th District.” The plans as now drawn read, “Federal Reserve Bank of Kansas City, Omaha Branch.” One Omaha newspaper takes up the fight and says, “ Let Kansas City carve its name in big letters on buildings irt Kansas City, but, lay off our buildings,, neighbor!” This looks interesting—sounds like a fight over the “ signs of the times” . —$— obtained—that is the main point to consider and analyze. The Investm ent Banker» of Am erica are going down to St. Petersburg, Fla., next December and see how the blue sky business is getting along in the great state of alligators and almonds. The association will hold its convention, December 2 to 5. Since they have started building islands off the shores of Fiorida so they can sell “town lots” to the suckers who are now flooding the state, it is to be hoped that none of our wise invests ment bankers will be “taken in” , But who can tell—they might make a mil lion—look at W. J. Bryan. Preston E. Reed, Executive Secratary of the Financial Advertisers Association of Chicago has announced a very impor tant subject for discussion at the F. A. A. Convention in Houston, May 10 to 14. It is, “ Home and Pocket Banks, and Other Premiums for Savings Accounts Produce Profitable Results.” This ought to arouse some excellent discussion. There is one thing sure— that all the premiums in the world will not hold a depositor unless he is getting the treatment and service at the bank to which he is entitled. Many accounts are secured by pre miums, but how many are held after The F. A. A. made a fine selection! when they elected A. D. Welton vicepresident of the association. He knows financial advertising in all its phases. He is a student. He is a thinker and above all, he believes in his convictions -—and he is usually right. As publicity director of the Contijnenttal and Commercial Banks of Chicago, he has made a conspicuous record for himself and his banks. The F. A. A. has many important problems to solve, and such men as Mr. Welton will help to solve them correctly. Constructors o f B A N K BUILDINGS and IN TERIO R E Q U IP M E N T The J. H. W IS E CONSTRUCTION COMPANY, Inc., tender the Banker their experience of twenty-six years in business in planning, designing, equipping, engineering and construction service. W e assume full responsibility for the entire project from plans to a turn-key job, or you may prefer one of our four other forms of contract. W e work with you rather than for you. Consultation, preliminary designs and costs a part of our service, which does not obligate you. W rite us for personal interview. We do not use Agents or Salesmen Quality, Not Quantity, Our Aim Bank and Other References Upon Request Factory: Offices: No. 3100 Brannon Ave. Syndicate Trust Building https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ST. LOUIS, MO. SEND FOR FREE BOOKLET, “ WHAT HAPPENED TO ‘DAD’S’ BANK” 21 St. Louis, A pril, 1925 Don't ride a hobby— ride a hobby horse—is the latest political advice from the White House—at least the “ mechanical horse” is now being widely advertised as a result of Calvin’s early morning rides on his “hot house horse” . The advertisements say; “Don’t let business keep you from the benefits of horseback riding. Here is a practical idea for the business man who needs the exercise of horseback ridings—and for the man who enjoys the exhilara tion that a brisk trot or a daily gallop brings from the standpoint of recrea tion. The mechanism is silent and certain in operation, easily controlled by an electric switch located in front of the saddle. It operates from any electric light socket, and occupies very little space.” No feeding, no currying and no water ing—it is a great idea and so easy on the “horse” . Jas. A. Houchin Heads Farmers and Mechanics Bank Jas. A. Houchin has been elected president of the Farmers and Mechan ics Bank of Jefferson City, Mo. He succeeds Mr. J. A. Bampf. Mr. Houchin was, for ten years, —$— Speaking of a college education, one banker said he spent $12,000 on his son’s education and got only a quarter back. That shows how these institutions of higher learning are short-changing the “ fond parents”, James A. H ouchin director of the Exchange Bank of Jef ferson City and was also for a number of years a director of the Central Mis souri Trust Company of Jefferson City. He is well known to business men and bankers throughout Missouri and devot ed many years to the clothing manu facturing business with headquarters in St. Louis He has been active in state politics and was at one time, candidate for the Democratic nomina tion for Governor. Mr. Houchin has also been one of Missouri’s largest farmers and believes in scientific agriculture. He has been a large breeder of Herford cattle, and his stable of saddle horses, headed by Astral King, the world’s greatest sad dle stallion, has long been recognized as one of the leading show stables of the country. Mr. Houchin promises a policy of conservatism for his bank and “ better service with a lot of human element in the mixture,” The other officers of the Farmers and Mechanics Bank are: M. Goldman, vicepresident; A. B. Schulze, cashier and L H. Schnieders, assistant cashier. The bank has a capital of $20,000.00 and the last statement showed resources of $125,000.00 The absent-minded professor jokes are with us again. We are thinking of the prof, who kissed his shoes good night and put his two daughters under the bed.—Wisconsin Octopus. Banking Service Y o u r correspondent bank should be more than the Depository of your funds. Modern Banking Service includes a wider Ideal of Service. Our many years of contact with the business of Country Banks qualify us to handle your busi ness satisfactorily. The National Stock Yards National Bank ST. LOUIS NATIONAL STOCK YARDS, ILL. W I R T W R IG H T . President O W E N J. S U L L IV A N , Vice-President H A R O L D W . K R A M E R , Vice-President R O B T . D . G A R V IN , Cashier https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W A L T E R H . L A N D , Assistant Cashier JO H N W . M IN T O N , Assistant Cashier O K E Y M IL L E R , Assistant Cashier 22 M id-Continent Banker Illinois O F F I C E R S I L L I N O I S BANKERS A S S O C I A T I O N : W ayne H um m er, LaSalle, President; Charles W . B oyden, Sheffield, V i c e - P r e s i d e n t ; M . A. Graettinger, Chicago, Secretary; Olive S. Jennings, C hicago, Assistant Secretary; W illiam W . Gates, C hicago, Treasurer. W AYNE HUMMER President G R O U P C H A IR M E N : I—F. T . Shearman, East M oline; I I —H . B. H eald, C anton; III—M . A. K jellgren, R ock fo rd ; IV —C. E. Fairchild, E lgin; V —C. R . T om bau gh, P on tia c; V I—E . I. Burke, Cham paign; V II—A. W . M oore, C ow den; V I II —B. C. „ . Hodges, C arrollton; I X —A .W . Baltz, East M . A. G R A E T T I N G E R St. Louis; X —L. W alker, C obden. Secretary Announce Two Committees for Convention at Peoria A recent bulletin of the Illinois Bankers Association announced the names of two of the Peoria committees that will be in charge of arrangements for the annual convention of the Illi nois Bankers Association at Peoria, June 18-19. William C. White, president of the Merchants and Illinois National Bank, is chairman of the committee on gen eral arrangements. Other members of this committee are as follows: Wil liam E. Stone, president of the First Trust and Savings Bank; Jacob Wachenheimer, president of the Commercial National Bank; Frederick F. Blossom, president of the Central National Bank; George W. Curtis, president of the Dime Savings and Trust Company; Henry W. Ulrich, president of the Home Savings and State Bank; and G. A. Clark, vice president of the Bank of Peoria. David W. Norton, president of the State Trust and Savings Bank, is chairman of the hotel committee. Other members on the hotel committee are: Albert Suhring, assistant cashier of the Dime Savings and Trust Company, and Carl F'. Harsch, cashier of the Cen tral National Bank. Convention headquarters will be at. the Hotel Jefferson and sessions will be held at the Majestic theater. Those desiring hotel reservations should write at once to Chairman Norton. B. G. Graff Elected Vice-President. Byron G. Graff has been elected vicepresident of the Washington Park Na Characterized— by helpful official attention to the financial needs of their correspondents, and by thoughtful handling of small as well as large daily transactions for banks throughout the great Middle W est; these institutions cordially invite the fullest use of their facilities. RESOURCES THIRTY MILLIONS THE STOCKYARDS NATIONALBANK THE STOCK YARDS TRUST & SAVINGS B A N K https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C H IC A G O tional Bank of Chicago. The Board of Directors of the bank also elected him secretary of the board. Mr. Graff served for ten years as bank examiner under Andrew Russel, state auditor, having been chief bank examiner in Chicago for the last year. F ra n k E. Patton Retires From Office. Frank E. Patton, vice-president of the Third National Bank, Mount Ver non, 111., after a continuous service in the banking business of forty years, has retired from active duties, but still retains a desk at the bank. The Third National Bank has been in its new headquarters just a year and the business has grown a quarter of a million during that time. The new rooms, together with the new equipment, are proving quite a good investment in the way of bringing new business. The totals at this time are around $2,750,000. W . H. Drewell Heads Charleston Bank. W. H. Drewell, who for seventeen years has been connected with the First National Bank of Westfield, 111., was elected president of the National Trust Bank of Charleston, 111., to suc ceed W. H. Shubert, who tendered his resignation. Mr. Drewell was born and reared in Bland, Mo. As a young man he be came connected with the Citizens Bank of Eldon, Mo., located about thirty miles from Bland. In 1907 he took the position as cash ier at the First National Bank, Westfield, at the age of 23. At that time the total deposits of the bank were approximately $50,000 and the total re sources $75,000. In 1912 the First Na tional Bank and the Westfield Bank were consolidated and Mr. Drewell be came the president of the consolidated institution. J. W. Gannaway, who has been the cashier of the National Trust Bank since the consolidation of the Second National Bank and the Charleston Trust and Savings Bank, has resigned, and is succeeded by Jack Claar, who has been assistant cashier since Jan uary 1, 1922. At the early age of 15, Mr. Claai graduated from the Effingliam High School. He then attended the Sparks Business College, where he received the degree of Bachelor of Accounts. He was one of the three first students to receive this honorary degree from that well known business college. He moved to Charleston in 1918 at the age of 18. Mr. Claar is perhaps the youngest cashier of any bank in Illinois of the 23 St. Louis, A p ril, 1925 and Savings Bank of Chicago for four the National Trust Bank. H. Simmons, who has been as years, secretary of the Mechanics and -cashier, becomes the first as Traders’ State Bank of Chicago for two years, and manager of the Securi cashier. ties Sales Department of the U. S. Shipping Board, Washington, D. C., for J. D. Atkinson one year. The West Central State Succeeds E. T. Olsson. John D. Atkinson of Sciota, 111., has Bank is three years old and is located succeeded E. T. Olsson, who resigned in the heart of a fast growing indus as cashier of the Community State trial district. Bank of Sheffield, 111. Mr. Atkinson entered the banking businenss in 1901 Peoria Bank and was cashier of the Astoria State Clearings Show Gain. A report of the Clearing House As Bank of Astoria, 111., from its organiza tion in 1906 until 1920 when he sold sociation of Peoria, 111., shows that Pe hisi interest and took charge of the oria bank clearings for 1924 were $237,563,061.05, as compared with $161,593,State Bank of Sciota as cashier. 412.99 in 1915 and $161,223,684.76 in 1911. H. M. Ellinwood size of S. sistant sistant The Mrs. Celia Runkel National David H. LaFor ge resigned as F. B. Morgan has resigned as cashier of the Gibson City State Bank of Gib son City, 111., and I. E. Merritt has re signed as vice-president. Samuel A. Taylor succeeds as cashier and W. A. Osborn as vice-president. T he M in ie r St ate Bank and the First National Bank of Nebo, 111., have been consolidated under the name of the First National Bank. The officers of the First National will be in charge of the merged institution. has been elected assistant cashier of the Tower Hill State Bank, Tower Hill, 111., to succeed J. Paul Wilkinson, resigned. Mrs. Georgia W ills has been elected K. Adair, fo r m e rly vice-president assistant cashier of the First State Bank of Eldorado, 111. of the People’s State Bank of Loraine, 111., has accepted a position as assist ant cashier in the LaHarpe National Bank of LaHarpe, 111. Bank, both of Antioch, 111., have been consolidated under the name of the R. T he Brook S tate Bank and the State Directors of the Fifth Avenue Trust & Savings Bank in Moline, 111., elected Clark G. Anderson, former city en gineer in Moline, to fill the vacancy caused by the resignation of John C. Mackey as cashier. Mr. Anderson was formerly connect ed with the United Light and Railway Company as manager of the Clinton, Davenport and Muscatine Railway, at Davenport. He served in this capacity for a period of 10 years, resigning as vice president and general manager of the company last July. He was also connected with the Arkansas Valley Interurban Railway, with headquarters at Wichita, Kan., resigning from that connection on Jan uary 1 this year. W. D. M cEvoy Elected Cashier. W. D. McEvoy https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis has president of the New Holland State Bank, New Holland, 111. He has been succeeded by F. G. Wendell. C. G. Anderson W it h M oline Bank. has been elected cashier of the West Central State Bank of Chicago, 111. Mr. McEvoy is 31 years old and for eight years was connected with the Continental and Commercial Banks of Chicago as clerk. He was also teller in the Century Trust Ba nk of Marion, in their bank building. Heads Cragin State Bank. H. M. Ellinwood was elected presi dent of the Cragin State Bank of Chi cago, 111., to succeed Ralph N. Ballou. Prior to 1909, Mr. Ellinwood was for eight years connected with the Amer ican Trust and Savings Bank holding positions in the various departments. From 1909 to 1914 he was cashier of the Berwyn State Bank of Berwyn, 111. In 1914 he was made manager of the Real Estate Loan Department in the Berwyn State Bank, but resigned in 1918 to become connected with the Sales Department of Halsey-Stuart & Co., Investment Securities, Chicago. He remained with this firm until 1922 and in May, 1923, was made cashier of the Cragin State Bank. F irst 111., has made extensive improvements C A P IT A L , S U R P L U S and U N D IV ID E D mo r e t h a n P R O F IT S $6,750,000 24 Mid-Continent Banker State Bank of Antioch with capital of $75,000,00. The officers have not as yet been elected. •cashier, Green Sneed; assistant cash ier, Francis White. uary 1, 1925, of $5,171,364.10 as com pared with resources of $2,132,620.12 on January 1, 1915. Announcem ent has been made of the Charles H. Bell, cashier of the Waynesville State Bank, Waynesville, 111., has resigned. H. W. Fisher has been elected »cashier, and Ralph P. Connell assistant cashier. W. H. Bechsteln has succeeded C. Bechstein as president of the Mokena State Bank of Mokena, 111. The F a r m e r s ’ State Bank of Chenoa and the State Bank of Chenoa, 111., have been merged, the latter bank tak ing over the business of the former in stitution. W. A. V ic to r has been appointed president of the First National Bank at Ullin, 111., to succeed Dr. L. F. Robin son, who retired after 18 yearjs of service. Other officers elected were: Vice president, L. E'. Lingenfelter ; sale of the Farmers’ State Bank of Neponset, to the Whaples and Farmers’ State Bank. In the transaction no merger was made, but the Whaples or ganization purchased the building and business of the Farmers’ State Bank and will conduct the business under its own capital stock, amounting to $50,000. James W. Stabler is presi dent; James A. Briggs, vice-president; W. Whaples, cashier, and George L. H. Whaples, assistant cashier. B. R. Hieronymus, form e r president, is now chairman of the board of the Illinois National Bank of Springfield. Logan Coleman, formerly cashier, is now president; H. M. Merriem, J. F. Prather and H. G. Bengel, vice-presi dents; F. C. Brinkerhoff, cashier, and Carl U. Luers and H. A. Hart, assistant cashiers. The bank had resources Jan The condensed sta te m e n t of the First National Bank and the First Trust and Savings Bank of Springfield, 111., at the close of business December 31 last, showed combined assets of $12,653,444.85; combined deposits of $10.923.566.33, and combined capital, sur plus and undivided profits of $1,529,888.52. The bank is located in a $1,000,000 building which it completed in 1921. Total assets and liabilities of the Ridgely-Farmers State Bank of Springfield, 111., as shown by the last annual statement are $8,232,351.40. Deposits are $7,314,749.85, and capital is $600,000. Surplus and undivided profits are $287,601.55. T he recent combined statement of the First National Bank and the First Trust and Savings Bank of Peoria shows total resources and liabilities of $13,310,923.66, with capital of $750,000 and deposits of $10,321,923.66. Surplus and profits were $1,471,142.99. The First National Bank was established in 1863 and the First Trust and Sav ings Bank was established in 1868. William E. Stone is president of both banks. Total resources and liabilities of the Complete Correspondent Service Commercial National Bank of Peoria, 111., as shown by the statement of De cember 31, 1924, are $10,672,745.81. De posits at that time were $7,762,573.50; capital stock, $750,000, and surplus and undivided profits $1,612 922.31. J. Wachenheimer is president; William Hazzard, vice-president and cashier; and W. J. Coleman, J. F. O’Conner and C. H. Goldstein, assistant cashiers. D. V V 7 E OFFER our facilities to out-of-town banks and bank ers desiring a complete Chicago correspondent service in domestic and foreign banking. A n oppor tunity to explain the benefits of both our service and a strong banking connection is desired. Capital and Surplus $ 9 ,0 0 0 ,0 0 0 CentralTrust COMPANY OF ILLINOIS C H IC A G O E V E R Y https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B A N K I N G S E R V I C E W. Norton, fo r m e rly vice-presi dent and cashier of the State Trust and Savings Bank of Peoria, III., has been elected president, and John J. Huhn, formerly assistant cashier, has been made cashier. Wm. Bourke has suc ceeded P. J. Ryan as a member of the board of directors. The bank has total resources and liabilities of $2,474,700.83, with deposits of $1,743,862.06. Capital is $400,000 and surplus and undivided profits are $178,284.26. The statement of condition of the Merchants and Illinois National Bank of Peoria, 111., issued at the close of business December 31 last shows total resources and liabilities of $8,477,931.38 with deposits of $6,632,520.31. Capital stock is $500,000 and surplus and profits are $723,306.07. 25 St. Louis, A pril, 1925 -DON STEELManufactured by the M O S L E R S A F E C O . The only metal known that can not be burned or drilled in a burglarious manner has b een p u rch ased by THE FIRST NATIO NAL BANK, B E L L E V IL L E , IL L . GILLESPIE N ATIO NAL BANK, G IL L E S P IE , IL L . f o r t h e ir n e w v a u lt s W h y purchase doors that a burglar can burn with the torch when you can stop them with Don Steel. When you buy a M O S L E R D O N S T E E L D O O R you can rent safety deposit boxes to your customers knowing their valuables are protected to the limit of your ability. W ithout Don Steel what protection do you give the renter of your deposit boxes? Eighty-five per cent of the new equipment sold in St. Louis district for the past three years has been Mosler equipment. This fact is significant. Plans and specifications gladly furnished without obligation. are at your service. Our engineers T H E M O SLE R SA F E C O . Factory: Hamilton, Ohio https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Suite 1306-1308 Arcade Building, St. Louis, Mo. 26 M id-C ontineiit Banker Brazil Hollow Brick & Tile Company to devote to the interest of the bank. Indiana Citizens State Purchases Yeddo Bank. O F F IC E R S I N D IA N A B A N K E R S A SSO C IA T IO N : J. V. Carpenter, Brazil, President; R om e H . Stephenson, South Bend, V ice-President; Forba M cD aniel, Indianapolis, Secretary; G . F Patterson, Indianapolis, Treasurer; Jones, H am m ond & Jones, Indianapolis, Counsel. J. V. Carpenter, President G R O U P C H A IR M E N , I — A. M . Jacobs, K endallville; II—C. E. A m t, M ichigan C ity ; I I I —E. E . B lackburn, M arion; IV —A. S. Singleton, Indianapolis; V —A . G. Brown, Greencastle; V I—C. F. Gausm an, D illsboro; V II—C. C. Johnson, P a oli; V i l i —F. T. Steelman, N ew H arm ony. John F. Brown Succeeds Thos. H. McCrea. Thos. H. McCrea, who has been pres ident and director of the Citizens Na tional Bank, of Brazil, Ind., for several years, has retired as an official of the Forba McDaniel, Secretary bank and John F. Brown has been chosen to succeed him. Mr. McCrea severed his official connections with the bank, owing to the fact that he was unable to spare the time from his manufacturing business as head of the The stockholders of the Citizens State Bank of Kingman, Ind., have pur chased the stock of the Yeddo Bank of Yeddo, Ind., and have consolidated the banks. The merged institution will be operated at Kingman as the Citizens State Bank. The state bank has increased its cap ital from $25,000.00 to $35,000.00. R. D. Alexander, cashier of the Yeddo Bank, is assistant cashier of the merged bank. Organize New Bank at Newport. The Citizens State Bank of Newport, Ind., has been organized with capital of $50,000.00. Wm. M. Hegarty is pres ident; H. B. Aikman, vice-president, and V. N. Asbury, cashier. Chas. E. H a rris Now W i t h Citizens National Bank. Chas. E. Harris, former clerk of Clay county has accepted a position with the Citizens’ National Bank, of Brazil, Ind. Mr. Harris was recently with Jos. Strong & Co., wholesale grocers of Terre Haute, as traveling salesman. W a shington Bank Elects N e w Officers. M eeting the Requirements o f Out-of-town Banks Y \ 7 IT H a clientele embracing every line of business * * and a board of directors composed of leaders in every branch of commerce and industry, the Illinois Merchants Trust Company has an unusually intimate contact with modern American business. Our officers consequently have a wide experience and are peculiarly fitted to give effective and intelli gent attention to the needs of our correspondent banks. Inquiries regarding our services and our ability to meet your particular requirements are welcome and incur no obligation. Capital and Surplus •> Forty-Fire Million Dollars Il l in o is M e r c h a n t s Trust Co m pan y qA LA consolidation o f the Illinois Trust & Savings Hank, The ¿Merchants Loan & Trust Company and The Corn Exchange Tiational Hank SALLE, JAC K SO N , CLARK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis AND Q U IN C Y STREETS - CHICAGO Hugh G. Faith was elected to the presidency of the State Bank of Wash ington, Ind., at the annual election of officers. Mr. Faith succeeds Charles Keith, who served efficiently during the last year and remains as a member of the board of directors. Other officers elected include: Henry Backes, vice-president; O. C. Frey, cashier, and Watis Ward, assistant cashier. Jasonville Bank Announces Promotions. The Peoples’ State Bank of Jason ville, Ind., has promoted Rex Poe to fill the place of I. S. Ritchey, who retired. Don Warrick was made assistant cashier. Indianapolis Bank Opens New Home. The Northwestern State Bank of In dianapolis was formally opened for busi ness in its new location at Thirtieth and Clifton streets. The bank has total assets of about $1,000,000. James L. Galvin is president; Harry B. Burnett, vice-president, and Lewis N. Poyser, cashier. C. L. Rawles Elected President. C. L. Rawles, who for years has served as cashier of the Monroe County State Bank, Bloomington, Ind., was ad vanced to the presidency at a meeting 27 St. Louis, A pril, 1925 of the stockholders and directors. The resignation of W. A. Fulwider brought the change. Mr. Fulwider resigned be cause of his health. Assistant Cashier Irvin Alexander was advanced to the cashiership. George W. Gates, fo r m e rly cashier, has been named president of the First National Bank of Loogootee, Ind., suc ceeding William E. Gough. Jerome Pat terson, former assistant cashier, has been elected cashier and Walter Jay is assistant cashier. Mr. Gates has been with this bank since its organiza tion about twenty years ago. Mr. Pat terson became connected with the bank six years ago. T h e F arm e rs State Bank and the M id dletown State Bank of Middletown, Ind., have been merged under the name of the Farmers State Bank. The of ficers of the Farmers State remain in charge of the consolidated bank. Merle K. W illia m s o n , vice-president of the Wells County Bank of Bluffton, Ind., is dead. First N ational Bank in St. Louis Annual B anquet, held recently at the Chase H otel. Over 750 emDloyees attended, including m any o f the directors, officers o f the bank, and its tw o affiliated institutions, the First N ational C om pany and the St. Louis U nion Trust C om pany dianapolis bank. Will Sutherland was elected to fill the vacancy on the board. Chester H. A. Swain, who has been w ith the Union State Bank of Morristown, Ind., for almost three years resigned the of fice of cashier, and will go on the road as a securities salesman for an In J. Dunn H. O. S te w a rt has been named as as C A P I T A L ...........................................................................$ 20,000,000.00 SURPLUS AN D P R O FITS . . . . 25,461,568.76 D EPO SITS (Decem ber 31, 1924) . . . 570,787,162.29 OFFICERS Albert H . W iggin, President Olleslieimer C. Andrews I. Barr D. Gravesi Assistant Vice-Presidents Edwin A . Lee M. Hadden Howell W illiam E. Purdy Alfred W . Hudson George H . Saylor George Hadden James L. Miller Comptroller Cashier Thomas Ritchie W illiam P. Holly DIRECTORS Carl J. Schmidlapp Gerhard M. Dahl Andrew Fletcher Reeve Schley H. Wendell Endicott W illiam M . Wood Jeremiah Milbank Henry Ollesheimer Arthur G. Hoffman F . Edson AVhite Alfred P. Sloan, Jr. Elisha AValker Malcolm G. Chace McCarter W e IN V IT E ACCOUNTS of Banks, Bankers. Corporations, Firms or Individuals on favorable terms, and shall be pleased to meet or correspond with those who contemplate making changes or open ing new accounts. Through its Trust Department, the Bank offers facilities as: Trustee under Corporate Mortgages and Indentures of Trust; De positary under reorganization and other agreements: Custodian of Securities and Fiscal Agent for Corporations and Individuals; Executor under W ills and Trustee under Testamentary Trusts; Trustee under https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis elected sistant cashier of the Farmers’ Deposit of the City of New York 57 Broadway Henry W . Cannon Albert H . W iggin John J. Mitchell Guy E . Tripp James N. Hill Daniel C. Jackling Charles M. Schwab Samuel II. Miller Edward R. Tinker Edward T. Nichols Newcomb Carlton Frederick H. Ecker Eugene V. R. Thayer Thomas been president of the First State Bank of Tolleston in Gary, Ind. Œije Cijasic iHattonal 3Banfe Vice-Presidents Samuel H . Miller Henry Carl J. Schmidlapp Alfred Reeve Schley Robert Sherrill Smith George has F O R E IG N D E P A R T M E N T Bank, Montpelier, Ind.. Other officers named for the year are Guy R. Brackin, president, and Bert M. Wells, cashier. T he Peoples T r u s t Co mp any and the Commercial Bank and Trust Company, Alexandria, Ind., have been merged un der the name of the Commercial Bank and Trust Company. THE FOREMAN BANKS FOUNDED 1862 When Lincoln was president this bank was founded. It has always preserved a Lincoln - like simplic ity in its dealings. W e invite your business on our 6 3 -year record. The Foreman National Bank The Foreman Trust and Savings Bank La Salle and. Washington Sts. Chicago Combined Capital, Surplus and Undivided Profits exceed $ 1 0 , 000,000 28 Mid-Continent Ba hiker K e n t u c k y Notes J. L. Bennett Succeeds T. E. Elliott. J. L. Bennett has succeeded T. E. Elliott as cashier of the First National Bank of Dry Ridge, Ky. Mr. Bennett was born and educated in Grant Coun ty, Ky. He entered the First National Bank of Dry Ridge in 1919 serving in various capacities for several years. For the past two years he has been state bank examiner in Kentucky, but resigned January 1, 1925, to re-enter the First National Bank. The institution has a capital of $50,- 000.00, surplus of $40,000.00 and total resources of $60,000.00. With the broad experience of W. T. S. Blackburn, president of the bank since its organ ization in 1903, and J. L. Bennett, they expect to make the year 1925 one of the best in their history. A d a ir Stum and H. B. Jackson have been elected assistant cashiers of the Farmers’ National Bank of Madisonville, Ky. Leon P. Lewis Heads Prestonia Bank. Leon P. Lewis has been elected president of the Prestonia Bank of Audubon Park, Louisville, Ky. Mr. Lewis is a member of the Kentucky House of Representative and intro duced the bill abolishing the oil in spectorship. Louisville Bank Elects New Officers, Stockholders and directors of the Bankers’ Trust Company of Louisville, Ky., elected four new directors and a new vice-president and promoted one employ at the annual meeting. John F. Eisenbeis, cashier, was chosen vicepresident and a director. Dunlap Wake field, Simon Lion and Robert H. Lu cas were elected directors, and Arnold W'esterman was elevated to the posi tion of assistant cashier. Carlyle Bank Elects New President. C. C. Cole was elected president of the Farmers Bank of Carlyle, Ky., to succeed James T. Clay, who resigned on account of infirmities. Mrs, Harry Kennedy was elected director to suc ceed W. J. Wise, who has moved to Florida. Other officers were re-elected as follows: Harry Kennedy, cashier; C. C. Cole, James T. Clay, C. W. Mathers and Harry Kennedy, directors. John P. Ernst, president of the Cov ington Savings Bank and Trust Com pany, Covington, Ky., died recently in Cincinnati. Mr. Ernst was born in Covington, November 46, 1845, where he spent the greater part of his life. "W h e n I went abroad last summer” T he Highland Bank of Fort Thomas, SO begins a letter from a busi ness man who made his first trip to Europe last year, " I carried an E T C Letter o f Credit,” he continues. "A fter several months in Europe, in which I covered nearly every country o f the continent, had to switch itineraries at the last m o m e n t,h ad to insure hotel accommodations in advance, and had to obtain cash in out o f the way places, I came to a full realization o f the value and convenience o f the E T C L et ter o f Credit to a traveler.” T h is letter is an indication o f the good will which the E T C Letter o f Credit creates for the issuing bank. W e will issue E T C Letters o f Credit imprinted with the name o f your bank, and your customers who carry it will be given the same conveniences accorded our own custom ers through our London and Paris Offices. W rite f o r fu rth e r particulars. EQUITABLE Trust C o m p a n y T fi? OF N E W YORK 37 W A L L S T R E E T C H IC A G O O F F IC E 105 South La Salle Street D o n a l d L. D e G o l y e r Manager https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D IS T R IC T R E P R E S E N T A T IV E S Philadelphia : Land Title Building Baltimore: Calvert and Redwood Sts. San Francisco: 485 California St. M E X IC O C IT Y Ky., has been organized with capital of $25,000.00. Marion M. Allen is president; A. W. Parvin, vice-president, and N. G. Gerhardstein, cashier. Charles E. M arvin, K entucky State Banking Commissioner, has appointed C. M. Dunn of Smithland State Bank Examiner to succeed N. M. Smock of Carrsville, resigned. M;r. Dunn has been cashier of the Smithland Bank for six years. J. F. McD aniel, Jr., Is Elected Cashier. John F. McDaniel, Jr., formerly as sistant cashier, has been elected to suc ceed Harry McCauley, who resigned on account of impaired health as cashier of the F'armers’ National Bank of Cynthiana, Ky. Mr. McDaniel has been with the bank for the past six teen years. Logan Maffett, who has been with the Farmers’ National Bank for sev eral years, was advanced to the posi tion of assistant cashier. A trust department has been added to the bank, which will be in charge of Harry McCauley. 29 St. Louis, A pril, 1925 A m erican Na tional Names Ne w Cashier. Frank M. Farris has been elected cashier of the American National Bank of Nashville, Tenn., succeeding V. J. Alexander. Mr. Farris is thirty-four years old. He attended Vanderbilt University for one year and then entered the University of Michigan. In 1912 he entered into the services of the State Bank and Trust Company of Nashville and was elected assistant cashier in 1913 and cashier in 1914. In 1915 he became connected with the Cumberland Valley National Bank of Nashville, as assistant cashier, which position he held until that hank con solidated with the American National Bank in January, 1921, at which time he Tennessee T hos. D . B rabson, Pres. O F F IC E R S T E N N E S S E E B A N K E R S A S S O C I A T I O N : T hos. D . Brabson, Greenville, President; R . B. G ray, K en ton, V ice-President; J. E . Huffm an, Shelbyville, V ice-President; W . F. Smith, Bristol, V ice-President; Sam. C. Baird, Jellico, Treasurer; H . G rady H uddleston, 1015 Independent Life B uilding, N ash ville, S ecretary; L. C. Humes, M em phis, Chairman E xecutive Council. G R O U P C H A IR M E N : I— A. D . B ro ck man, K ingsp ort; I I —M . H . Irwin, Coal C reek; I I I —C ol. S. B . Anderson, C ook e ville; IV —A. P . H aggard, D a y to n ; V— J. H . P otter, Sparta; V I—C. W . Bailey, Clarksville; V II—J. N . Parker, Dyersburg; V I II —R . M . Chambliss, B rowns ville the location of the American National Bank in the Stahhnan Building on the southeast corner of Third and Union. Plans call for the completion of the new American Trust Building by the first of January, 1926. Milb ur n Gardner Is Elected Cashier. Milburn Gardner has been elected cashier of the City State Bank of Mar tin, Tenn. Mr. Gardner became con nected with the City State Bank in 1907 and worked as bookkeeper and assistant cashier until 1917, when he entered the army, winning a commis sion and being honorably discharged in 1919. Shortly after, he went with the Grenada Banking System of Gren ada, Miss., and was located at Moor head for three years. For the next two years he was with the Ricks Bank ing System of Drew, Miss., and then returned to the City State Bank. F. M . Farris Cashier American National Bank, Nashville, Tenn. was left in charge of the Cumberland Valley office of the American Trust Company as manager and continued as manager of the American Trust Com pany, Cumberland Valley office, until his election as cashier of the American Na tional Bank. In addition to being manager of the Cumberland Valley office of the Amer ican Trust Company, he was also secre tary of the American Trust Company and inactive assistant cashier of the American National Bank. Nashville Bank W ill Erect Ne w Building. The American Trust Company of Nashville, Tenn., is tearing away the building from their location on the southwest corner of Third and Union in preparation for building a fifteenstory office building and banking room. While this work is going on, the American Trust Company is sharing https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Organize New Bank at Nashville. The Liberty Bank & Trust Company of Nashville, Tenn., has been organ Capital Surplus Undivided Profits $3,500,000 H. G . H uddleston, Sec. ized with capital of $100,000 and sur plus of $25,000. R. E. Donnell is presi dent and William S. Chappell is vicepresident. Mr. Donnell was vice-presi dent of the Commerce-Union Bank and Mr. Chappell was manager of the Broadway branch of the same bank. First Na tional Bank W ill Erect New Building. Construction of a modern four-story bank and office building at Greeneville, Tenn., has been announced by the directors of the First National Bank. Plans for the new building call for a four-story fireproof structure, mod ern in all appointments. A large burglarproof vault of latest reinforced construction will be built, including a department for safety deposit boxes and a separate place for the bank’s money chests and securities. The banking room will be furnished in Tennessee marble with bronze grillwork for the counters. A special fea ture will be a large room which will be at the disposal of the people for public gatherings. F a ith fu lly se r v in g th e n e e d s o f In d u stria l S t. L o u is for th e past 65 y e a r s , q u a lifies this hank to e x ten d its d ep o sito rs e x p e rie n c e d fin an cial c o -o p e r a tio n . The Merchants Laclede National Bank of St. Louis 30 M id-Continent B anker W h o ’s W h o Am ong Tennessee Bankers H. M. T A Y LO R M orristown Chairman G roup One A. D . B A R B E R Surgoinsville Secretary G roup One H. M. Taylor, chairman of group 1 of the Tennessee Bankers Association, entered the banking business imme https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W . H. EPPES Tazewell Chairman G roup T w o diately following his graduation from the Morristown, Tennessee, high school. He first accepted a position as book- Çlaridfjc G . P. A D A M S Harriman Chairm an G roup Four keeper for the First National Bank ot Morristown, and since then has served as teller, assistant cashier, and cashier of the same bank. He is now vicepresident and cashier. Mr. Taylor is a member of Kiwanis Club and a member of the Morristown school board. A. D. Barber, cashier of the Holston Valley Bank of Surgoinsville, Tennes see, and secretary of Group 1 of the Ten nessee Bankers Association, was born and educated in Tennessee. He en tered the banking business at Boyce, Virginia, where he opened the Boyce State Bank in 1908. He served as cashier of the Boyce State Bank for four years and in 1912 opened the Hol ston Valley Bank and has served as its cashier since that date. The Hol ston Valley Bank has a capital stock of $10,000 and surplus and profits of Dearborn St., North of Division C H IC A G O Hotel Claridge has 300 fine bright, cheery rooms, nearly all with bath, tub and shower. Rates are from $ 2.50 to $5 for one— correspondingly moderate for two persons, with special weekly rates that are unequaled. $ O T E L Claridge, because of its special features, offers greater value than do other Chicago hotels. And yet its charges are very mod erate, even by comparison with those of the average hotel. The Claridge is Chicago’s newest hotel, and is equipped with swimming pool, gymnasium, handball courts, indoor golf facilities, etc., for the entertainment of its guests with out extra charge. H W rite fo r R e s e rv a tio n s T o d a y =® 12, 000. __________ W. H. Eppes, chairman of group 2 of the Tennessee Bankers Association, is a product of Tazewell, Claiborne County, Tennessee. He attended school at old Tazewell College and re ceived his A. B. degree in 1888. He as sumed the duties of cashier of the Claiborne County Bank of Tazewell in September, 1901, and has served con tinuously in that capacity since then. Mr. Eppes has always been active in the affairs of the Tennessee Bankers Association. He served one year as vice-president from East Tennessee and one year as treasurer of the associa tion. He has been a member of the agricultural committee for several years. Mr. Eppes has given a great deal of his time to agricultural work. He is one of the organizers of the movement to grow tobacco for a cash crop and spent much time traveling around his county helping to organize the move ment when it started in January, 1923. The tobacco crop of Claiborne Cou 31 St. Louis, A pril, 1925 is now bringing more than a quarter million dollars into his county each year. G. P. Adams, vice-president of the First National Bank, Harriman, Ten nessee, and chairman of group 4 of the Tennessee Bankers Association, was born near Leesburg, Virginia, in 1880. After finishing school, Mr. Adams en gaged in farming and livestock raising until 1919, with the exception of three years which he devoted to agricultural journalism in Kentucky. His first con nection with the institution, of which he is now vice-president, was as field man and agricultural extension worker for the bank. His department bore excellent fruit under his skilful han dling, but with the advent of retrench ment days in 1921 he asked to be transferred to a position that would en able him to acquire a more thorough knowledge of the details of banking. Since that time, Mr. Adams has served in every department of the bank, devoting most of his time to the tell er’s window. There is not a day passes that he does not solve problems for country patrons, and often, while tak ing a deposit, he prescribes for a sick cow or advises a special crop or a cer tain variety of seed. This versatile banker-farmer has served for five years on the agricultural committee of the Tennessee Bankers Association. He acted as chairman of this committee for two years. Mr. Adams still owns and operates a small farm and is actively interested in two of the leading orchard projects in Roane County. He is a lover of people and has rendered excellent service to the schools of his community and to boys’ and girls’ club work. The Hendersonville Bank, H ender sonville, Tenn., has increased its capi tal stock from $10,000 to $20,000. Ewing G. H a rris , president of the Houston Bank and Trust Company of Erin, Tenn., is dead. He has been succeeded by J. G. Collier. The First National Bank of Spring- field, Tenn., has been opened for busi ness with capital of $50,000 and sur plus of $10,000. S. H. Alexander is president and W. P. Bryant cashier. C. H. W e tte r a u , assistant vice-presi dent of the American National Bank of Nashville, Tenn., has been elected president of the Nashville Clearing House Association. La Salle Street The heart o f Financial Chicago The CONTINENTAL anj COMMERCIAL B ANKS CH ICAGO James T . Dunn, vice-president of the First National Bank of Lawrenceburg, Tenn., is dead. W. W. Richardson and A1 T. Smith have been elected vicepresidents. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis IN V E S T E D C A P IT A L O V E R 60 M IL L IO N S TO TA L RESOURCES O V E R 550 M IL LIO N S 32 M id-Continent Banker T he Bank of Flora, Miss., has total re sources of $274,045.60 and deposits of $217,741.06. W. M. Buie is president; W. B. Jones, J. E. Wilson and H. U. Geiger, vice-presidents. H. U. Geiger is also cashier. Mississippi O F F IC E R S M IS S IS S IP P I B A N K E R S A S S O C IA T IO N : R . B. Clark, Tupelo, President; J. B. Stirling, Jackson, VicePresident; George B. Power, Jackson, Secretary; J. W . Slaughter, Colum bus, Treasurer. R . B. C L A R K President E. G R O U P V IC E -P R E S ID E N T S : 1—Forrest Prather, B aldw yn; 2—B. C. Adam s, Gre nada; 3—D . M . R ives, D rew ; 4—L . W . Yeates, W est P oin t; 5—C . H. King, De K alb; 6—P. C W illiams, Y a zoo C ity ; 7— R obert L Hall, C olu m bia; 8—T . W . M iln ;r, R ichton. A. Howell Succeeds Dr. C. S. Priestly. E. A. Howell has been elected pres ident of the First National Bank of Can ton, Miss., succeeding Dr. C. S. Priestly, who organized the bank in 1903 and was president for the last fourteen years. Dr. Priestly died last Novem ber. Mr. Howell is a graduate of the Law Department of the University of Mis sissippi and has practiced his profes sion at Canton for twenty-five years, be ing more or less in politics during that time. He had no experience in the banking business until February 1, 1920, when he was made active vice-president and credit officer of the First National. Mr. Howell made a complete analysis of every account carried by the bank in 1924, checking, savings and time certifi cate accounts. The First National has capital and surplus of $130,000.00, total resources of $1,000,000.00 and deposits of $800,000.00. Tupelo Bank Shows Good Gain. The Peoples Bank and Trust Com pany of Tupelo, Miss., has resources of $3,033,909.25 and deposits of $2,827,335.12 according to their statement of March T he F irst National Bank of Corinth, Miss., is erecting a new home to cost $ 100, 000. 00. G E O R G E B. P O W E R , Secretary 2nd. The deposits of this bank have in creased $472,780.39 in the past year. S. J. High is president; M. E. Leake, J. M. Thomas and C. H. Dabbs, vice-presi dents; V. S. Whitesides, cashier, and R. F. Adams, assistant cashier. J. M. Ch restman Elected Cashier. J. M. Chrestman has been elected cashier of the Calhoun County Bank of Calhoun City, Mis-s., to succeed L. B. Curtis, deceased. R. T. Gaston was elected assistant cashier. Carr ollton Bank Names Ne w Officers. J. R. Bingham was elected president and O. K. Gee, vice-president of the Carroll County Bank of Carrollton, Miss. R. V. Pollard has been elected vice- The Citizens bank of Stark sville, Miss., with capital of $10,000 is reported organiz]ing. J. G. Thomas Grenada and J. D. Simmons, Pontotoc, are inter ested. The Co rin th Bank and T ru s t Co., Corinth, Miss., has selected Hanker and Cairns, Scimitar Bldg., Memphis, Tenn., as architects) for bank building to replace burned structure. H. H. Johnson has been elected vice- president of the Merchants and Farmers Eank and Trust .Co. of Lexington, Miss. Promotions in Hibernia Bank of New Orleans At the annual organization meeting of the board of directors of the Hi bernia Bank & Trust Company, New Orleans, E. Molitor, former cashier of the Federal International Banking Company of New Orleans, was added to the staff as vice-president; W. B. president and trust officer of the Green wood Bank & Trust Company of Green wood, Miss. The trust department of the bank has been opened just recently. W. H. H a rr is has been elected vice- president of the Bank of Duncan, Miss., to succeed Dr. H. E. Day, who resigned. The Whitney-Central Banks New Orleans, La. W e invite correspondence regarding the far-reaching service we have to offer. Capi tal and S u r p l u s , $6,000,000.00 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E . M olitor Machado, former cashier, was elected vice-president and cashier; Louis P. Banchet and E'. F. LeBreton, former assistant cashiers, were elected assist ant vice-presidents. All of the other officers were re-elected. . 33 St. Louis A pril, 1925 Fred W . Ellswor th Heads New Orleans Y. M. C. A. Louisiana Fred W. Ellsworth, vice-president of the Hibernia Bank & Trust Company of New Orleans, has been re-elected head of the Young Men’s Christian Association of New Orleans. Mr. Ells worth has always been active in this line of public work and his choice was a very popular one among the Y. M. C. A. members. O F F IC E R S L O U IS IA N A B A N K E R S A S S O C IA T IO N : President—W . D . Haas, Alexandria ¡Vice-President—Travis Oliver, M on roe; Secretary—J. C. Barry, L a fay ette; Treasurer—W . J. M itchell, New Orleans. E X E C U T IV E C O M M IT T E E : L. O. B rous sard, Chairman, A bbeville; Leon Haas, Opelousas; Em il R egard, M ansura; R . H. Miller, M inden; John D ane, N ew Orleans; Jos. L. Fisher, M organ C ity ; C. G . R ives, Jr., E x-O fficio, N ew Orleans. W . D . H aas, President Charles Harr ing to n Is Made a Director. Charles Harrington has been added to the directorate of the Marine Bank & Trust Company of New Orleans. He is one of the leading steamship agents of the city. At the same time W. H. Arnold, who has retired from active business, vacated his place on the board. estate in the business district of New Orleans. The bank now occupies the former home of the New Orleans Na tional Bank, absorbed a few years ago by the Hibernia Bank & Trust Com pany, on the corner of Camp and Common streets, but these quarters have been outgrown. Construction of the new home will start shortly. Bruce Baird W ith New Orleans Bank & T ru s t Company, Bruce Baird has resigned as mana ger of the foreign trade department of the Hibernia Bank & Trust Com pany and will become vice-president of the New Orleans Bank & Trust Com pany, taking charge of his new bank’s foreign activities. Baird has over six years’ service with the Hibernia Bank to his credit, and before that he was connected with the First National Bank of Chicago. In addition, he has been a leader in American Institute of Banking circles, and at last year’s con vention in Baltimore was elected a national vice-president. New Orleans Bank Opens Houston Branch. The Interstate Trust & Banking Company of New Orleans has opened a new branch office of its bond depart ment in Houston, Tex., the location being 611 Second National Bank Building. Leonard J. Daniels is named as manager, and Alfred M. Post as as sistant manager. Daniels is also in charge of the Shreveport branch office. New Eunice Bank to Open Soon. The new bank in Eunice, La., is ex pected to open its doors within a short time. It is not to be a branch of the Opelousas Parish Bank, but will oper ate independently as the Eunice Bank Federal Land Bank Is Planning Ne w Building. The Federal Land Bank of New Or leans is planning a new building, as shown by the recent purchase of real ------ z z x x --------...: h k G R O U P C H A I R M E N : “ A ” E . C. Payne, S hreveport; “ B ” James M cA dam s, Alex andria; “ C ” K . R . Cagle, D eR id d er; “ D ” W . B. M ach ado, N ew Orleans, La. xk 3ÌX - - - . - H X - ____l-X K J. C. Barry, Sec’y & Trust Company. Capital stock is to be $50,000 and surplus $25,000. Most of the former patrons of the old Eunice State Bank are interested in the new institution. A r th u r J. O’Keefe Named City Commissioner. Arthur J. O’Keefe, vice-president of the Whitney Central National Bank of New Orleans, was elected one of the City Commissioners at the recent municipal elections in New Orleans. Ag ricultural Credit Association Organized. Organization of the second Agricul tural Credit Association to work through the Federal Intermediate Credit Bank of New Orleans for fur nishing money to farmers for growing crops has been completed and charter filed with the Louisiana state offic'als. The new organization is to be known as the Lafayette Parish Agricultural Credit Association, Inc., of Lafayette Parish, La. Money is lent to stock holders after the stockholders’ notes are discounted at the Federal Inter mediate Credit Bank, affiliated with yix, XX " XX.... xk jc J 11 L. M . POOL, President J. A. B A N D I, Vice-President W . T. M A R F IE L D , Vice-President JOHN D A N E , Vice-President F. B R E N C H L E Y , Vice-President W M . P. O ’N EAL. Vice-President W . J. PILLOW , Cashier C. H U B E R JOHNSON, Assistant Cashier A. J. C R O ZAT, Assistant Cashier W . D. K IN G S T O N , Trust Officer R. W . B R A D Y , Asst. Manager, Foreign Department X P< !x X T h e M arin e B an k & Trust C o m p a n y ? NEW ORLEANS, LA. R e s o u r c e s O v e r T h ir t y M illio n D o lla r s X X https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * AC C O U N TS OF B A N K S A N D B A N K E R S IN V IT E D Y O U R IN TE R E STS W IL L R E C E IV E PER SO NAL A T T E N T IO N OF OUR O FFICERS L~rxx— ------------------- ------------------------- x x --------- * *-------- * *---------............. — S X 34 Mid-Continent Banker the Federal Land Bank ie New Or leans. Through The Years W ith The O ld ‘ ‘ Park B a n k ” !!'U^ i v i S räfly E s ta b lis h e d W e have kept our old friends because through years o f active service the institution has proved itself worthy of their loyalty. A n d we have established new friendships because financial institutions the country over find here a thoroughly modern banking service, alert and in keeping with their requirements. 1856 THE NATIONAL PARK BANK OF N E W Y O R K 2 /4 'Broadway Have You Ordered Y ou r Blue B ook ? Have you ever wasted time and energy and possibly started grey hairs growing — when hunting the name or initials of some bank officer ? —looking up the accessible point for a no-bank town ? ■ —getting the name and address of some foreign bank ? —wondering who would be a reliable investment broker? — seeking a bonded attorney in some distant city or state? —trying to settle puzzling points of commercial law ? Or have you ever wanted to know what profits other banks are making, what their deposits and resources are, who are the present officers in charge, and so on? It is not necessary to recount such questions, for you know they constantly pop up as the days and weeks pass. Our daily mail brings a constant stream of inquiries, proving the need in every bank of some up-to-date, authoritative source of informa tion covering the points mentioned above and thou sands of others like them. The Bankers Directory answers them. The new BANKERS DIRECTORY-—which is just off the press— is now ready for you. A new edition of the D IRECTORY will not be published for six months. Better order today. The Blue Book is published in March and Septem ber. Let us tell you more about it. Write us! Ran©McNally a Company 536 S. Clark Street, Chicago L a rg e s t P u b lis h e r s o f B a n k in g P u b lic a tio n s in th e W o r ld . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E s ta b lish ed Official Numbering Agent, American Bankers Association 1856 Anniv e rs a ry Dinner For L. M. Pool. A seventh anniversary dinner was tendered L. M. Pool, president of the Marine Bank and Trust Company of New Orleans by the directors and offi cers of that institution. W. T. Marfield, one of his vice-presi dents, presented on behalf of the Ma rine bank club, a cake which was served at the dinner, and George Terriberry, one of the directors, and the toastmaster, presented a box of flow ers “from the kids.’’ This latter of fering took precedence over all others, including letters and telegrams of con gratulations from all over the country. A speaking likeness of “ Lonnie’’ was sent by Mrs. Pool and will be hung! in the directors’ room of the bank. Terriberry was a witty toastmaster and had his task made unusually pleasant by having to introduce such speakers as W. T. Marfield, vice-president, who has been with Mr. Pool since the birth of the Marine Bank and Trust com pany; Dr. R. O. Young, a well-known planter; F'arman Pearce, who is almost1 a national character; Pat Geoghegan of the Southern Cotton Seed Oil com pany; W. Irving Moss, of the Union' Indemnity company, who had a battle of wits with the toastmaster, and W. Horace Brownell, another of those who have been with the institution since its inception. “ Billy” O’Neal, vice-president, was as busy as the proverbial paper-hanger, making people happy. Mortgage and Securities Co. Athletes W in A. I. B. Meet. Mortgage and Securities Co. athletes were victors in the annual track and field meet of the New Orleans Chap ter of the American Institute of Bank ing, winning first place for the second consecutive time. The victors scored 56 points; Marine Bank followed with 34, and other scorers were: Canal Commercials with 30, Whitney Cen trals 26, Hibernias 13, and New Orleans Bankers 5. Frank Wood, of the Mortgage and Securities Co., was individual cham pion, amassing 28 points, by winning two hurdle races, 220-yard dash, and the hop, step and jump, and by scoring! in the high jump, broad jump, and 100yard dash. Seven records fell, among which might be mentioned the time for the 50-yard dash for ladies, which was shattered by Miss Denise Bienj venu of the New Orleans Bank, who did the distance in 7 4-5 seconds. 35 St. Louis, A pril, 1925 W. H. Morton Heads F ay e tte v ille Bank. W. H. Morton has been elected pres ident of the Citizens Bank of Fayette ville, Ark., filling the vacancy caused by the death of J. C. White. Mr. Mor ton has resided in Fayetteville, Ark., since Septembr 1, 1900, following his election to the office of Circuit Clerk of the county. At the end of his four years’ term as clerk, he was elected cashier of the Washington County Banking & Trust Company of Fayette ville. Three years later, with his as sociates, he reorganized this bank as the Arkansas National Bank and was actively identified with this institution, either as cashier or vice-president, un til January 1, 1919, at which time he was appointed postmaster of Fayette ville. He served in this capacity un til the close of his term, August, 1923. Following his retirement as post master, he acquired the interest of I. G. Combs and the late Jay Fulbright, former business associates in the Citizens Bank. On January 1, 1924, he was elected vice-president and at once assumed active management of the bank. Since Mr. Morton has been identified with the Citizens Bank it has enjoyed an increasing patronage and is now considered one of the strong financial institutions of Fayetteville and Wash ington County. Arkansas O F F IC E R S ARKANSAS BANKERS A S S O C IA T IO N : L oid Rainwater, M orrilton, President; Sam E . B abb, El D ora do, V ice-P resident; E . D alton, P o ca hontas, Treasurer; R o b t. E. W ait, Little R o ck , Secretary. L oid Rainw ater, Pres. G R O U P C H A I R M E N : I—M rs. Em m a Cox Smith, Osceola; I I —P. H. Schwegman, Alicia; I I I —M arion W asson, G en try; IV — W . A. Steele, Van Buren; V—R . L. B u f falo, B enton; V I—R o y J. Dougan, Arkadelphia; V I I —Carl C. R am sey, Cam den. Tax Collector for Lawrence County from 1914 to 1918, president and cash ier of the Bank of Portia, Ark., from 1918 to 1924, and was in the insurance business during the year 1924. Duke-Magruder Dry Goods Company and was one of the original stockhold ers of the Oden State Bank of Oden, Ark. Alb ert Ho rn er Succeeds W . F. McCorkle. sources of $819,732.59 and deposits of $633,116.11. T he Albert Horner has succeeded W. F. McCorkle as cashier of the First Na tional Bank of Wynne, Ark. He was cashier and vice-president of the Crit- R. S. Madison Is Elected Cashier. R. S. Madison has taken charge of the Bank of Grubbs, Ark., as cashier. Mr. Madison was Treasurer of Law rence County, Ark., from 1908 to 1914; https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank of Atkin s, T he First National Ark., has re Bank of Corning, Ark., has total resources of $662,145.26 and deposits of $538,286.82, according to their last statement. D. Hopson is president and S. P. Lindsey cashier. John Cotton has resigned his posi tion as assistant cashier of the Citi zens Bank of Fayetteville, Ark., to be come connected with the First Na tional Bank of F'ayetteville. T he Planters Bank & T rust Com pany of Nashville, Ark., has total re sources of $1,089,311.52 and deposits of $918,540.00, according to their last statement. W. H. Toland is president; A. C. Ramsey and C. L. Haller, vicepresidents; Geo. H. Bell, cashier, and A. H. Hughes, C. G. Hughes, Jay To land and R. Alexander, assistant cash iers. B. R. Davidson Heads Arkansas National Bank. B. R. Davidson has been elected president of the ArKansas National Bank of Fayetteville, Ark., to succeed I. G. Combs. Mr. Davidson was one of the original incorporators of the old Washington County Bank, organ ized in 1884, later changing its name to the Washington County Bank & Trust Company, and in 1907 national izing in the Arkansas National Bank, he having served the bank as a direc tor continuously for exactly forty years, and the honor conferred upon him by electing him head of the insti tution comes as a marked tribute to his long, faithful and useful service on the board. Mr. Davidson is an attorney by pro fession, having served the F'risco Rail way Company as their solicitor in Arkansas for thirty years. He has been very successful, both as a law yer and business man. He is now 70 years old, but still very active. R o b t. E. W ait, Sec’ y The Bank of Eure ka Springs, Ark., has increased its capital from $10,000 to $25,000. E. V. A lbert Horner tendon County Bank & Trust Com pany at Earle for fourteen years. Mr. Horner was at one time chair man of Group One of the Arkansas Bankers Association. Holt, fo r m e rly T he Peoples Bank of Magnolia, Ark., has increased its capital stock to $100,000, with surplus and undivided profits of $42,000. C. C. Ramsey T . H. Duke, Jr., Purchases Bank Interest. T. H. Duke, Jr., has purchased the controlling interest in the Merchants & Planters Bank of Foreman, Ark., from Robt. S. Morris and succeeds him as cashier of the bank. For the past nine years Mr. Duke has been assistant cashier of the First National Bank of Mena, Ark., and pre vious to that, for only a short time, was with the First National Bank of Heavener, Okla. While he was in Mena, he was also associated with the cashier of the Bank of Tuckerman, Ark., has been elected active vice-president of the First National Bank of Jonesboro, Ark. has been promoted from assistant to the president to ac tive vice-president of the Ouachita Valley Bank, Camden, Ark. Mrs. J. Fahy has been elected as sistant cashier of the First National Bank of Camden, Ark. Wm. R. James has been elected ac tive vice-president of the First Na tional Bank of Little Rock, Ark., suc ceeding Thos. R. Ashcraft, who will be vice-president and executive officer of the New Federal Bank & Trust Com pany which will open in Little Rock soon. 36 M id-Continent Banker Oklahoma O F F IC E R S O K L A H O M A B A N K E R S A S S O C IA T IO N : H . N . W ilson, B okchito, President; S. L. M orley, M cAlester, VicePresident; G. S. W eitzenhoffer, Oklahoma C ity, Treasurer; Eugene P. Gum , O kla hom a C ity, Secretary; Gertrude C orbitt, Oklahom a C ity , Assistant S ecretary; E. D . K ilpatrick, LeFlore, Chairman E xecu tive Com m ittee. H. N . W ilson, Pres. W. H. Elected E. P. G um , S ecy. Griffith Cashier. W. H. Griffith has been elected cashier of the Liberty National Bank of Oklahoma City, Okla. Mr. Griffith entered the services of the Liberty National Bank in 1918, im mediately after returning from France and Russia, where he served as a Cap tain of Infantry with the A. E. F. and the North Russian Expedition, respec tively. In 1920 he was made manager of savings department, and in 1921 was elected assistant cashier. Previous to this he was with First National Bank of Vicksburg, Miss., from October, 1910, to the outbreak of the World War in 1917. Mr. Griffith comes from a family of bankers. Both his great-grandfather and his grandfather were in the bank ing business in Jackson, Miss., prior to the Mexican War, and his father, a bank president in Vicksburg, is af fectionately known as “ the father of the Mississippi Bankers Association.” of Fairland, Okla., succeeding N. C. Gallemore. Mr. Campbell received his education in the rural schools of Kentucky, hav ing been reared on a farm near Rus sellville. At the age of 21 he went west and served an apprenticeship for The Bank of Commerce, Coal- Payne County Bank and the T he Balko State Bank of Balko, Okla., has moved its bank to Turpin, Okla., and has changed its name to the Bank of Turpin. L. L. Stine is president; J. H. Jantz, vice-president; M. C. Neufeld, cashier, and L. D. Jantz, assistant cashier. M . J. Cam pbell a few months without pay in a drug store in Kansas City, Mo., later ac- BANKOFNEWSOUTHWALES, A ustralia $370,242,890.00 The Chickasha National Bank of Chickasha, Okla., has total resources of $899,568.99 and deposits of $729,179.49, according to their last state ment. Roy C. Smith is cashier of the bank. 18 1 7 H ea d O ffic e : GEORGE ST ., SYDNEY, New South Wales L o n d o n O f f ic e : THREADNEEDLE ST. E. C. O S C A R L IN E S , G e n e r a l M a n a g e r 403 B r a n c h e s a n d A g e n c ie s 182 Branches in New South W ales; 52 Branches in V ictoria; 52 Branches in Queensland; 7 B ranches in South Australia; 13 Branches in W estern Australia; 3 Branches in T asm ania; 57 Branches in N ew Zealand; 3 Branches in F iji; 2 Branches in P apua; 1 Branch in L ondon . A u s tr a lia Population, 6,000,000; Area, 2,974,581 square miles; Sheep, 78,803,000; C attle, 14,350,000; Horses, 2,400,000; Im ports, $702,849,265; E x p o rts,$597,837,035. A n n u a l V a lu e o f A u s tr a lia ’ s P ro d u c ts Agricultural, $420,910,000; Pastoral, $457,375,000;D airying, $217,708 ,370; M irin g, $101,580,800; M anufacturing, $1,632,485,000; T otal, $2,830,059,170. 403 Branches and Agencies in all the A ustralian States, New Zealand, F iji, P apua and London. F O R E IG N B I L L S C O L L E C T E D —Cable rem ittances made to, and D rafts drawn on Foreign places D I R E C T . Letters of Credit and Circular N otes issued, N E G O T IA B L E T H R O U G H O U T T H E W O R LD . St. Louis Agents: NATIONAL BANK OF COMMERCE https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T h e State First State Bank of Perkins, Okla., have been consolidated under the name of the Payne County Bank with capital and surplus of $25,000. J. A. Hert is president; W. B. Freeman, vice-president; C. W. Kenworthy, cashier, and C. D. Ross and D. O. But ler, assistant cashiers. 30.000. 000.00E S T A B L IS H E D Paid-Up Capital Reserve Fund - 20.750.000. 00 Reserve Liability of Proprietors - 30.000,000.00 $80,750,000.00 A g g r e g a te A s s e t s \ 30th S e p t., 1 92 4 / The Fir s i Na tional Bank of Ardm ore, Okla., is spending $25,000 in remodel ing and decorating the interior of their building. The work will be finished about April 1. gate, Okla., has been opened for busi ness with capital of $25,000 and sur plus of $2,500. W. B. McAlester is president; E. G. Omstead, active vicepresident, and E. E. Wilson, cashier. M. J. Campbell Elected President. M. J. Campbell has been elected president of the First National Bank cepting a position in a drug store at Seneca, Mo., with a salary of $15 a month and board. F'or several years he was a traveling salesman for Col lins Bros. Drug Company and then for their successors, J. S. Merrill Drug Company of St. Louis. In 1912 he moved to Fairland, Okla., where he was interested in the Camp bell Mercantile Company. He has served as director and vice-president of the First National Bank of Fairland for a number of years. The Crom well Exchange Bank of Cromwell, Okla., has been chartered with $15,000 capital. A. P. Borger is president; E. W. Johnson, vice-presi dent, and J. T. Peyton, cashier. F ra n k Dyer has resigned as assistant cashier of the First National Bank of Durant, Okla. E. English has been elected assist ant cashier of the City National Bank of Lawton, Okla. The following officers were re-elected: F. M. English, presi dent; J. P. Pettey and E. E. Cones, vice-presidents, and Scott L. Reeburgh, cashier. W ill K e lle r has been elected assist ant cashier of the First National Bank of Nowata, Okla. St. Louis, A pril, 1925 John W. Wilson New Head of Farmers National Bank From errand boy to president is the story of the rise of John W. Wilson, the new president of the Farmers Na tional Bank of Chickasha, Okla. Just barely turned 40, he is the youngest bank president in the city of Chicka sha and one of the youngest of any in stitution of the size of the Farmers National in the state of Oklahoma. Mr. Wilson was born in the state of Kentucky forty years ago. He came to Chickasha when it was a straggling country town and began his banking career with a minor job in the Chicka sha Trust Company over eighteen years ago. He stayed with the trust company until it nationalized and became the Oklahoma National Bank. In 1912 he went to the Farmers 37 ers National a board of directors of young, aggressive business men, and the bank is just entering upon its greatest career of prosperity, in the opinion of the city of Chickasha. Reed's Master Plan for 1925 is ready. Territorial assignments are now being made. Critical inspection in vited and arranged by appointment. P. M . R Banker 111 West E W ashington UAH ¿4411 E D Associates Street C H IC A G O ■ ARE YOU THE MAN? A progressive, old-line, Life In surance Company is entering the Sate of Missouri and splendid general agencies are open to men who can qualify for a St. Louis or Kansas City General Agency. Liberal contracts, non forfeitable renewals and help ful cooperation from the home office make this very much worth while for the banker or insurance man who wants a real general agency contract. Address KCB % The M id-Continent Banker 408 Olive Street St. Louis, M o. The Underlying Security HE Bell System’s property on December 31,1924 had a book cost of $2,270,000,000. It includes among other things, land, buildings, central office equipment, conduits, cables, station equipment, poles and wires. T J. W . W ilson State Bank as assistant cashier. A few years later he was elevated to the office of cashier and was made active vice-president when the Farm ers State nationalized and became the Farmers National. The election this year to the presidency is the final stepping stone reached by Mr. Wilson in the banking business in the city of Chickasha. The Farmers National showed deposits of more than threequarters of a million dollars at its last statement. He has a record not equaled by many bankers, as he has served two banking concerns under four charters, having been with the Oklahoma Na tional when it was a state and national institution and with the Farmers Na tional when it was a state and na tional bank. Careful, conservative banking and unfailing courtesy are the things that have contributed to his success. He has associated with him in the Farm https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T his property is the fou nd ation o f the nation-wide telephone service furnished through 16,000,000 telephones in 70,000 cities, towns, and rural communities. Its maintenance and operation necessitate the service o f 270,000 skilled and loyal workers. By means o f it, 46,000,000 tele phone conversations are held daily. A nation-wide plant and a nation-wide ser vice— both furnish security to Bell System investors. The dividend rate of the stock of A . T . & T .— parent company of the Bell System— is g°Jc. This investment stock can be bought in the open market to yield a good return. Write for booklet, “ Some Financial Facts.” LL TELEPHONE SECURITIES CO. he D.F. Houston, President iQ5 Broadway NEW YORK “ T h e People’s Messenger’ ’ Mid-Continent Banker 38 Pioneer Trust Co. Moves Into Its N ew Quarters Opening D a y at the P ioneer T rust C om pany HE new home of the Pioneer Trust Company of Kansas City has been completed and the bank is now located in the new build ing, which is located just six doors south of the previous location. T H ER ALD SQ U AR E 34th Street at Broadway V Rates per Day Room without Bath - $2.50 Room with Bath - - $3.00 up For Two Persons - - $5.00 up S P E C IA L WEEKLY RATES How about a bank mag azine individualized and named by your self suitable for all departments of your institution, at an amaz ingly low cost? P. M. REED 111 W. Washington St.. Chicago https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Architecturally the new banking quarters are very unique. The ancient Aztec motif has been used as a foun dation for the development of the en tire equipment. First impressions of the room are of quiet elegance and perfect harmony. No effort was made to soften the bold colors of the Aztec Indians which were used for the color scheme. They blend perfectly with the details of the plaster work and the equipment. The entire equipment was executed by the American Fixture Company of Kansas City under the personal super vision of A. J. Rector. Plate-glass par titions surround the cages and make possible an open View of the entire room and afford adequate ventilation without in any way lessening the pro tection afforded. There is a genuine bronze plate at each window opening which may be closed when the window is not in operation. The bookkeeping and clerical forces are housed on a mazzanine floor that surrounds practically the entire bank ing room. Officers’ quarters through out are finished in American black wal nut. The ladies’ room and the direc tors’ room are finished in mahogany. The vault, manufactured and in stalled by the Mosler Safe Company, is one of the first things that you no tice on entering the new quarters. Two doors, also manufactured by the Mosler Safe Company, protect the entrance to the vault. The vault accommodates 7,500 safety boxes and is protected by a circular entrance door 163& inches thick and 82 inches in diameter. The door is cast in a single piece and is locked by twenty-four bolts. It is con trolled by two combination locks and a triple time lock. The picture shown on this page gives a view of the lobby of the building and the flowers sent by friends and customers of the bank on the day that it moved into its new home. Financial Advertisers Convention The tenth annual convention of the Financial Advertisers Association will be held in Columbus, Ohio, October 14, 15 and 16. This is the second convention of the association to be held separately from that of the Associated Advertising Clubs of the World, which this year will meet in Houston, Texas, May 10 to 14. The Financial division will take an active part in the meeting of the parent body and hold a two-session conference in Houston. Dale Graham of St. Louis is chairman of the program. St. Louis, A pril, 1925 39 E. L. Morse Succeeds J. E. Johntz. Kansas E. L. Morse has succeeded J. E. Johntz as cashier of the Citizens Bank of Abilene. Mr. Johntz has been pro moted to the position of vice-presi dent, succeeding A. W. Rice, who had been an inactive vice-president of the bank since the time of its organization in 1885 until his death a short time ago. H. H. Malott, president of the institution, has also been connected with the bank since its organization. Leo Brown Elected Cashier. Leo Brown has been elected cashier of the First National Bank of Larned, Kan., succeeding Ed Scot, who re signed. Mr. Brown is 28 years old, was born and reared on a farm and attended high school and business college. He has been connected with O F F IC E R S K A N S A S B A N K E R S A S S O C IA T IO N : President —Ben S. Paulin, F redonia: V ice President—Geo. A. Rogers, Abilene; Treasurer— B . L. Perry, C offeyville; Secretary— W . W . Bow m an, T op ek a ; Assistant Secretary—F. M . B ow man, T op eka; Office Secretary—Eleanor J. W oodbu rn, T opeka. G R O U P C H A I R M E N : I —C. C . W e b b , H ighland; I I — A . H. Prater, C ouncil G ro v e ; I I I —H. D . T ucker, E ureka; I V —J. R . Geis, Salina; V —W . H . Schulte, W ellington; V I—E . M . B rooks, Oberlin; V I I —S. G. W iles, M a cksville; V I I I —A . E. B u xton , K insley W . W . B ow m an , Secretary the State Agricutural College in 1902. Immediately theeafter he entered the Farmers’ State Bank of Russell and in 1915 went to the Merchants’ Na tional of Lawrence, the oldest and largest bank in Douglas County. He is still a director of the Farmers of Russell, vice-president of the Mer chants’ National of Lawrence, and vice-president of the Kaw Valley State of Eudora. He held the office of treasurer of the Kansas State Bankers Association from May, 1920, till May, 1921. He came to Topeka as vicepresident of the Bank of Topeka in 1923. Fred Harm on , president of trial State Bank of Wichita, Kan. Mr. Herrman was cashier of the Merchants State Bank of Wichita for the past fifteen years. F. J. Dechant Is Elected Cashier. Frank J. Dechant has been elected cashier of the Weskan State Bank of Weskan, Kan. After graduating from Hays College, the Union State Bank of Neodosha, Kan., has been elected president of the Wil son County Bankers Association. Tom Babb of F'redonia was elected vicepresident and J. M. Fink of Fredonia secretary and treasurer. A. H. F itz w a te r, cashier of the First National Bank of Goff, Kan., was elected president of the Nemaha County Bankers Association. T he Plains State Bank, Plains, Kan., has increased its capital from $10,000 to $30,000. Leo Brown, Larned, Kansas the First National Bank for the past ten years as bookkeeper, teller and assistant cashier. The First National is the oldest bank in Pawnee County and one of the largest banks in western Kansas. It has deposits of $1,200,000. Carl W . McK een Heads Bank of Topeka. Carl W. McKeen was elected presi dent of the Bank of Topeka, Kan., to succeed S. E. Cobb, widely known Topeka and Kansas banker, who has been president of the Bank of Topeka and the Prudential Trust Company for the last seven years. Mr. Cobb was elected chairman of the board of direc tors of the combined concerns and will retain his offices in the trust com pany quarters. He was born in Rus sell, Kan., in 1883, and graduated from https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The F irst State Bank, Cunningham, Kan., has increased its capital stock from $15,000 to $25,000. The Rolla State Bank of Rolla, Kan., has resources of $179,280.32 and de posits of $158,705.32, according to its last statement. John G. Kim b all has purchased the interest of Lee H. Rowley in the Union State Bank of Neodosha, Kan., and succeeds him as cashier of the bank. Mr. Kimball entered the banking busi ness at the age of 20 and has served eighteen years as bookkeeper, assist ant cashier and vice-president of the Neodosha National Bank. T he Bank of Herington, Kan., has taken over most of the assets and has assumed most of the liabilities of the Home State Bank of Herington, which has surrendered its charter. George Benjamin W. H erm an succeeds J. J. as president of the Indus F . J. D echant Hays, Kan., in 1916, Mr. Dechant took a special course' in banking at the Salt City Business College in Hutch inson. His first banking experience was with the First National Bank at Bartlesville, Okla., where he remained for eleven months until he entered the World War. After being dis charged in 1919, he became connected with the Citizens National Bank of Colby, Kan., as assistant cashier, and remained with this bank until his election as cashier of the Weskan bank. John D. Conrad, who has been as sistant national bank examiner for the past sixteen months in the Tenth Federal Reserve District, has been elected assistant cashier of the Ameri can National Bank of Baxter Springs, Kan. 40 M id-Continent Banker A. Dampf, who resigned. Mr. Gold man was elected vice-president and A. B. Schulze, the present cashier, was re-elected. Missouri M . R . Sturtevant, Pres. O F F IC E R S M IS S O U R I B A N K E R S ASSO C IA T IO N : M . R . Sturtevant, St. Louis President; E. E. A m ick, Kansas C ity V ice-President; W . W . Pollock, M exico Treasurer; W . F. Keyser, Sedalia, Secre tary; E. P. N eef, Sedalia, Asst. Secretary G R O U P C H A I R M E N : I —G. P. E ddings, M ob erly; II—K . M . Blanchard, Chillicoth e; I I I —C. G H ooper, M aitiand; IV — Jas. A. W alker, M arshall; V —V. T . M o berly, St. Louis; V I—H. A. Buschm ann, Poplar B lu ff; V I I — H . D . Silsby, Jr., Springfield; V III—W .E . Oarter, Carthage. Two Desloge Banks Consolidate. The Bank of Desloge and the Citi zens Bank of Desloge, Mo., have been consolidated, the former institution taking over the business and affairs of the latter, which passes out of ex istence. The Bank of Desloge was organized several years before the Citizens Bank. Chas. S. Bryan is the present president and Lee W. Jones, cashier. Earl W . F. K eyser, Secretary Eula McHargue, the bookkeeper, of the Union Bank of Princeton, Mo., have sold their stock to Schuyler King. Mr. Snyder tendered his resig nation as cashier and retires from the board of directors. The board met and elected Schuyler King as cashier. The other officers are Truman Stewart, piesident, and G. D. Sires, vice-presi dent. W . E. Lofton Elected President. W . R. Cannon Succeeds J. J. Shaw. W. E. Lofton, cashier of the Bank of Waco, Mo., was elected president J. J. Shaw, cashier of the Elsberry of the Jasper County Bankers Asso Banking Company, Elsberry, Mo., died ciation at the quarterly and annual February 16, 1925, and W. R. Cannon meeting held at the Drake Hotel, Car has been elected cashier. Cannon thage, Mo. Mr. Lofton succeeds Rus started in the banking business as sell Shaffer of Carthage as head of clerk in National Bank of Commerce, the association. St. Louis, and then was elected assist ant cashier of the Bank of Lincoln Julius Conrath County and later assistant cashier of Heads Jefferson City Bank. E'lsberry Banking Company. Julius Conrath, who has been cash ier of the Farmers and Mechanics Bank of Jefferson City, Mo., for the Schuyler King past eight years, was elected president Purchases Bank Stock. J. W. Snyder, the cashier, and Miss of that institution, succeeding Dr. J. FEDERAL TRUST COMPANY Armstro ng Succeeds A. M. Reames. Earl Armstrong has been elected president of the Farmers’ Savings Bank of West Plains, Mo., to succeed A. M. Reames, formerly of West Plains, but now of Orlando, Fla. J. C. Thomas was chosen vice-president and O. P. A. Heinrich was re-elected cashier. First National Holds St. P a t r i c k ’s Party. The First National Bank in St. Louis held a St. Patrick dinner dance on March 17 at the Century Boat Club. Several hundred employes, including officers of the bank and the St. Louis Union Trust Company and the First National Company, attended. Ben F. Edwards Approves Study of Classics. A report of the Curriculum Commit tee of Westminster College, a Presby terian institution at Fulton, Mo., rec ommending increases in classical re quirements, was adopted recently after it had been submitted to Ben F. Ed wards, chairman of the Board of Trus tees of the college, and president of the National City Bank of St. Louis. The report embodied the result of six years study in the field of conditions affect ing the study of classics in schools and colleges of this country and stressed the necessity of a return to classical standards. JAS. L. FORD, JR., President C. H. DUNCKER, Vice-President J. L. HAUK, Cashier JOHN H. SILL S, Vice-President F. W M .W IB B IN G , Assistant Cashier KANSAS CITY’S NEWEST BANK Franklin Bank Banks and Bankers 4-11 o f S t. L o u is , M o . ONE-ONE-ONE-EAST TENTH Between Grand and Walnut North Entrance Gates Building In the Heart of the Financial District IN V IT E S the accounts of discrimi nating patrons who appreciate the special personal consideration and added individual courtesy possible in a moderate sized bank. O F F IC E R S M A R T IN F. R Y A N , Chairman P. E. L A U G H L IN , President E. L E E W IL L IA M S , V.-Pres. JOH N J. R A F F E R T Y , Secy. M . M . F A Y . Asst. Secy. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M e m b e r F e d e ra l R e se rve S y s t e m Capital $1,000,000.00 who are successful, realize the need of real quality in bank stationery. They are using genuine Steel Die Embossed and Copper Plate Engraved Letter Heads and Solicits Accounts of Firms and Individuals SAFE D E P O S IT V A U L T S Cards produced by the Art Craft Shops Co. “ W h e r e e n g r a v i n g is d o n e w i t h l o v in g c a r e ” 41 St. Louis, A pril, 1925 The M is s o u r i N o te s The North End Bank of Clayton, Mo., has been opened for business with ■capital of $25,000 and surplus of $6,250. Edwin G. Fix is president; Chas. S. Kinamore, vice-president; Albert A. Koch, cashier, and Melvin E. Bauer, assistant cashier. The Home Bank of Forest City, Mo., has been reorganized, and is now known as the Home State Bank, with capital of $20,000 and $2,000 surplus. Walter Beck is president; Philip Schlotzhauer, vice-president, and A. M. Brown, cashier. o f w it h th e M V ig o r a t u r it y o f Forty years of serving the growing needs of the Central South qualifies this insti tution with a maturity of judgment— both for the conduct of its business and coun seling its clients. Yet— its growth and development evi dence that it has the vigor of youth with that extra energy essential to plan and execute. Use this maturity of judgment and vigor for accomplishment in advancing your important plans. “ A Greater Bariti fa r Greater N ashville” T he last condensed statement of the Peoples Trust Company of Kansas City, Mo., shows resources of $10,494,829.64 and deposits of $6,489,609.87. T he F irst National Bank of MERiGAN B a n k s -N A S H V IL L E Cass- ^American(ANational Company FFI 1.1ATFTîI ‘ ' ville, Mo., has resources amounting to $454,562.72 and deposits of $390,355.28, according to their last statement. Augustus Ho ckaday has been elected vice-president of the Bank of Fulton, Mo. Home Savings E. W . Cook has purchased the stock of N. A. Farr, president of the Bank of Des Arc, Mo., and succeeds F. W. Carlton as cashier. Mr. Cook was connected with the Farmers Bank at Conway, Mo., from January, 1903, to July, 1913. In July, 1913, he helped organize the Farmers & Merchants Bank of Lebanon, Mo., which was con verted into the First. National Bank in 1915. He left there in January, 1920, to become cashier of the Carter County Bank at Van Buren, Mo. T he Lamar) T ru s t Co mp any of S tate Finance D e pa rtm e nt T The SeaboardyNational Bank of the City of New York L a mar, Mo., has been opened for busi ness with capital of $50,000. Corne lius Snip is president and D. B. O’Neal secretary. T he HE Seaboard, through its Foreign Department and its exceptional re lations with correspondents abroad, is in a position to give discriminating service to those interested in foreign trade. has M ain Office : Broad and Beaver Streets Mercantile Branch 115 Broadway Uptown Branch 24 East 45th Street at Cedar Street near Madison Avenue granted a charter to the First State Bank of Joplin, Mo. The new bank is capitalized at $100,000, all of which is paid in. H. B. Sanders of Carterville, Mo., is president of the new in stitution. J. M. Stephens has been elected vice-president of the First National Bank of Salem, Mo., succeeding B. J. Dilworth. W. B. Dunnegan has been elected vice-president and cashier of the Polk County Bank of Bolivar, Mo. Mr. Dun negan succeeds his brother, J. M. Duir negan, who died, as cashier. H a rm on H. T y le r , assistant cashier of the Home Savings Bank of Fulton, Mo., has resigned to accept a position with the First National Bank of El Centro, Cal. The Home Savings Bank has resources of $1,019,620.82 and de- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12th Street and Baltimore Avenue KANSAS CITY, MO TTN 'the very center o f the business district, the the combined buying pow er givin g the best in room accommoda tions, cafe and dining service at fair prices, M id-Continent Banker 42 posits of $575,451.58, according to their last statement. A t the annual meeting of the stock holders of the Citizens Bank, Higbee, Mo., G. F. Lay was elected to succeed J. W. Marshall as president. Fred Thomas has been elected to succeed Dr. Porter as president of the Farmers Bank of Turney, Mo., and Claud Holland was elected to succeed John Adam Breckenridge as vice-presi' dent. At the re gular monthly meeting of the directors of the Farmers Bank of Unionville, Mo., the vacancy caused by the death of L. S. K. McCutchen, pres ident, was filled by the election of H. L. Holman. Ernest W illiam vice-president A. Difani, cashier of the Hu ron B. Owens has been elected assistant secretary-treasurer of the Commercial Trust Company of Harrisonville, Mo. H. president , Moerschel, Home Trust Company of Perryville, Mo., died recently. He has been suc ceeded by Ben Obendorfer. J. 2 0 C. and treasurer of the Moerschel Prod ucts Company, has been elected presi dent of the Cole County Bank, Jeffer son City, Mo., to succeed A. W. Happy, who resigned some time ago. Schaedler of has the been Clayton named National Bank, Clayton, Mo., to succeed Adolph Mueller, who has been ill. Guy L. Pol lard was elected vice-president and cashier and V. S. Holloway assistant cashier. F. O. W a tts , president of the First National Bank in St. Louis, attended a public dinner tendered Mr. Owen D. Young, recently in New York City, in recognition of the great work Mr. Young has done in connection with the successful inauguration of the Dawes Plan. Mr. Watts, with other promi nent bankers and business men of the country, was appointed a member of the Reception Committee by A. C. Bed ford, chairman of the Board of Di rectors of the Standard Oil Company, New Jersey, who was in charge of ar rangements. 0 0 0 , 0 0 0 People Being Educated on Banking — and they’ re the 20,000,000 who have m oney enough to be good bank customers In America there are roughly 20,000,000 people of sufficient incomes to make them the m ost likely bank customers out of our whole one hundred ten million population. T od a y we are giving these people a smash ing educational cam paign—on saving, on banking in general, on the justice of a service charge on small checking accounts, and other subjects important to all banks— through the columns of the magazines they read. W HAT PART FOR YOU? E very line of this advertising campaign gives you an opportunity to build the busi ness of your own bank. That is helping give Super-Safety Bank Checks their real, business-building power. T o the banker who takes advantage of this help we provide a local, year-’ round service for the individual bank to use. It all links together in the strongest chain ever welded, of effort to prom ote banking interests— Y O U R IN T E R E S T S . Y ou want A L L the inform ation, detailed, of course. Sim ply address, tod ay: FOR THOSE HAVING BUSINESS WITH STEPHEN GIRARD VER the door-knocker to Girard’s private office hung a plate with this inscription “ For those having business with Stephen Girard.” O None were barred. Everyone was welcome. He was as accessible to the petty tradesman as he was to the great merchants. Bui: all must have a purpose in their visits. No flimsy excuse for senseless chatter would do. He was there to do business, and for business only. The officers of The Girard National today are just as accessible. We invite and welcome all those who come with a purpose. We do not consider banking a thing separate from business, but as an integral part of it. S * M K CHESuper-Safety Bank Checks protect depositors against check fraud. They are made o f the safest check paper supplied by any bank- BANKERS SU PPLY C O M P A N Y D IV ISIO N T H E T O D D C O M P A N Y — B u s in e s s B u ild in g M e r c h a n d is e fo r B a n k s N ew Y o r k C h ic a g o https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis R och ester D enver T he G irard N ational B ank PHILADELPHIA 43 St. Louis, A pril, 1925 Liberty Central T rust Promotions Mr. Johnston was born in Kentucky and began his banking career as cash ier of the Bank of Ashland, Mo., in 1905. He has -since served as vicepresident and director of the First Na tional Bank of Muskogee, Oklahoma, and as cashier and director of the Na tional Reserve Bank of Kansas City. He became vice-president of the Ger man Savings Institution (later changed to the Liberty Bank of St. Louis) in 1915, and became president of that in stitution in 1916. He has continued as president of it and the consolidated hanks ever since. He took an active interest in the Red Cross and Liberty Loan drives during the war, and was chairman of the Southwest division. J. L. Johnston J. L. Johnston, president of the Lib erty Centra] Trust Company of St. Louis, was made chairman of the board of directors at a meeting held on March 16th, and W. N. Bemis was elected president. Mr. Bemis was born in New York in 1866. He has been actively engaged in the lumber business all his business life. He is president of the OzanGraysonia Lumber -Company, the Home Appliance Corporation, Prescott & Northwestern R. R. Co., and vice-presi dent of the Louisiana Pulp and Paper Co. He is a member of the Bellerive, W. N. Bemis St. Louis and Noon-day Clubs. He has been a director of the German Savings Institution (later the Liberty Bank and the Liberty Central Trust Company) and has taken a very active interest in the operation of the bank. HOTEL CHASE Invites the members of the Missouri Bankers Associa tion to visit Saint Louis’ newest and finest hotel. R a t e s , $ j . 50 P e r D a y a n d U p Located at Kingshighway and Lindell Boulevards O p p o s ite B e a u tifu l F o re st P a rk D IN N ER DANCING, 7 to g p. m. SU PPER DANCING, 10 to 1 a. m. Dave Silverman's Hotel Chase Dance Orchestra To Have Stayed at the Chase Is to Have Lived in St. Louis https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Geo. T. Thompson and F. C. Skillman, Managing Directors 44 Mid-Contine nt Banicer EIE strength of Illinois Power and Light Corporation as an operating unit is shown by the extensive territory it serves. From Danville westward to the Mis sissippi, from Ottawa and La Salle on the north to Cairo on the south, the dependable service of this company is known. B https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Electricity, gas, transportation and water— these are services that are considered neces sities in our modern life—these are the services one or more of which Illinois Power and Light Corporation is privileged to maintain in more than three hundred communities in Illinois. 45 St. Louis, A pril, 1925 Bond and Investment Section How Conditions Have Developed a New Phase of Banking- Practice IFTEEN or even ten years ago, the commercial bank that did not have a bond account was the rule rather than the exception. This was true particularly in the great agri cultural areas of the Middle West and Northwest. Conversation with the banker, as a matter of fact, many times showed that he took a certain pride in that state of affairs, pointing to his confidence in his own communi ty and regarding his stock of local first and chattel mortgages as evidence of loyalty to a trust. Throughout the agricultural states one might have found hundreds of banks whose policies and transactions, regardless of the character of their charters, conformed more nearly to the operations and practices of a pri vate bank than they did to “ state” or “national” banks in the scope of business open to them. Very few of these banks would even have given consideration to purchas ing bonds secured by first class indus tries or public utilities, no matter how good the security or how attractive the rate of return. Argument for such an investment policy of diversification for a part of the bank’s funds would only have brought to the surface evi dence of a commendable, but, per haps, an overdeveloped local pride and loyalty to the home community. F Banks Are Buying Bonds. Today a great number of those same banks have liberal holdings of bonds secured by public utilities, industries, railroads, foreign governments and states and cities. Many of them, even in small rural cities, are going to the extreme of giving serious consideration to starting bond departments and in some cases applying for syndicate par ticipation despite the fact that the ma jority do not have sufficient distribu tion to Avarrant such a course. A great many of the arguments for this change in point of view were just as sound 10 years ago as they are to day. But the reasons were not so ap parent. We needed a war and a postAvar depression to demonstrate the folly of putting only local eggs in the bank’s basket. An increasingly larger number of bankers today are willing to acknowledge that, before the war, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y C. W . Sills Vice President, Halsey, Stuart & Co., Inc. they were not conducting a banking business, as they now regard it, but Avere acting in the capacity of a broker for local loans. Their banking policy conformed to Andrew Carnegie’s advice to “ Put all your eggs in one basket, and then watch the basket.” When their assets become frozen, when there was nothing that could be discounted—no bonds upon which ready cash could be obtained—they watched and watched and watched, and many an T h e a r t i c l e on thi s page by C. W . Sills, v i c e - p r e s i d e n t of H.ialsey, S t u a r t & Co., Inc., is t he f ir s t of a series of a rt i c l e s by M r . Sills on “ T h e B a n k ’s Bond A c c o u n t . ” T h e n e x t a r t i c l e in t he series w i ll a p p e a r in t he n e x t issue of t h e M id -C o n tin en t B a n k e r and w i l l deal w i t h t h e c h a r a c t e r and r e q u i r e m e n t s of a sound i n v e s t m e n t policy f o r a c o m m e r c ia l b a n k . — E d i t o r ’s N ote . entire basket spoiled despite the most arduous watching. When hundreds of banks found themselves tied hand and foot suffer ing from frozen credits to which most banks fell victims in varying degrees, it was not hard to understand the wisdom and appreciate the foresight of those banks which had purchased the right kind of bonds with a part of their funds and had readily disposed of them to put ready cash in the till. Banks that had even gone through the 1907 panic came to appreciate for the first time the value of an investment policy for bank funds that made provision for a bond account. Effect of the W a r. Since the war, too, other important factors have tended to direct the at tention of the commercial banks in the direction of bond investment. Prominent among these two are out standing. First, following the war, the rapid development of both joint stock and federal farm loan banks gave an outlet for no small amount of this paper that formerly had been absorbed by local institutions. Insurance compa nies, too, who had been large pur chasers for some time, entered the farm mortgage field more aggressive ly. During last year one insurance company is known to have invested in excess of $5,000,000 in farm mort gages in a comparatively restricted area in Northern Illinois. Thus, in many districts, there no longer is the same demand for a great part of bank funds that previously, because of a combination of practice and loyalty to the local community, found its way into the cream of this class of paper. After a bank has pro vided for the present day demands of a meritorious character, an effort should be made to seek out obliga tions of industrial, federal, joint stock, municipal and public utility organiza tions outside the community that will provide investment qualities and rates of return rendered necessary by the requirements of the institution. U. S. a Cred ito r Nation. Secondly, almost overnight, we changed from a debtor to a creditor nation with so great a surplus of gold in the United States as actually to pre sent a menace to conservative and uninflated conduct of business. While this surplus was by no means evenly distributed, yet banks here and there in those districts that had suffered most during the post-war depression began to find that they had a greater surplus than ever before of funds for investment, for which there was no healthy local demand. Guided by their own judgment or the advice of bond houses or correspondents in the larger centers, many of these institutions for the first time set up bond accounts for such surplus funds. In its larger aspects our gold sur plus attendant upon or conversion from a debtor to a creditor nation has resulted in significant changes in bond holdings. As a debtor nation before the war, a great many of our best se curities were forced to find a market outside the country. During the war period foreign bondholders cashed in their bonds, just as banks should be able to do when ready cash is needed. In the next few years, in the new role of creditor nation, we will have to assume the responsibility of finding a place in such bond accounts as can assume the risk for at least limited amounts of the better obligations of foreign governments and corporate en terprises. 46 Mid-Continent Banker The whole subject of the bank’s bond account, however, is one upon which many bankers have had too lit tle experience. Dealing wtih bankers who present their problems and ques tions quite frankly has conclusively shown me that in this phase of bank ing many lack an understanding of those basic principles that would en able them to arrive at their own con clusions confidently—with the assur ance that good judgment had been ex ercised. It is only natural that this should be true because the field is new. Many large city banks, too, have car ried reserve bond accounts for years by rule of thumb and without following a comprehensive plan that would lesult in the greatest degree of profit satisfaction and confidence. It will be the purpose of this series of articles, therefore, to summarize some of the more important of those factors that should be taken into con sideration in setting up and adminis tering a bond account. These consid erations will divide themselves more or less naturally into the following major classifications: 1. The character and requirements of a sound investment policy for a commercial bank. 2. How the factors of safety, mar ketability; diversification and income should be considered in relation to the bond account. 3. Determining the proportion of funds to be set aside as secondary re serves and consideration of their basic importance in such an investment pol icy. 4. Selecting bonds for the creation For the Banker— The Compton List of Bonds T H E banker, in serving the invest ment demands of his clients or in stitution, is in a position of trust and and maintenance of a secondary re serve so that full investment value may be secured, including treatment of taxexempt and taxable bonds and the dif ferent classifications of both groups in relation to the factors previously dis cussed. (Copyright, 1925, by Halsey, Stuart & Co., Inc.) BONDS Public Utility Industrial First Mortgage Real Estate Y ielcl 6 % to 7 % GARARD & GO. 39 South LaSalle Street Chicago Your Investment Needs T h is n a tio n a l o rg a n iz a tio n is th o ro u g h ly equipped to give service fo r a ll of th e in v e s tm e n t needs of y o u r b a n k . responsibility that is reflected by the care he takes in choosing securities. In many cases his own judgment is strengthened by strict legal requirements. C o m m e rc ia l paper and s h o rt te r m b o n d s fo rth e b a n k ’s fu n d s. On the desks of leading bankers through out the United States, where its value as an investment reference is fully recog In v e s tm e n t S e c u ritie s fo r y o u r cu s to m e rs : M u n ic ip a l, In d u s t r ia l and P u b lic U t ilit y Bonds. nized, you will find the Compton List of Bonds. T o every experienced investor, the fun damental appeal of this list is in the com bined safety, diversification and invest ment value of its recommendations. GEORGE H. BURR & CO. ST. LOUIS W illia m R .fo m ptonfpm pany NEW Y O R K B O ST O N H ARTFO RD C H IC A G O IN V E S T M E N T B ON DS ST. LOUIS NEW YORK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis - CHICAGO - BOSTON - CINCINNATI NEW ORLEANS GR806 ATLAN TA P H IL A D E L P H IA P IT T S B U R G H S A N F R A N C IS C O LO S A N G E LE S SEATTLE C LEV ELA N D 47 St. Louis, A p ril, 1925 Equitable Trust Company Plans N ew Building P. MORGAN" & Company and the „ Equitable Trust Company of New York have announced that the Equit able Trust Company of New York has acquired the leasehold of the Mills es tate property comprising the wellknown Mills building and will erect on this well-known site a thirty-four-story bank building. The site of the Equitable’s new build ing is an enviable location in the heart of the financial district, opposite the New York Stock Exchange and adjoin ing J. P. Morgan & Company. One wing of the new building will extend through J a private entrance to its banking of fices. The Trust Company will occupy the first and second basements, the ground floor, the first floor, in which will be located the general banking of fices and the second, third, fourth and fifth floors, which will house the other departments of the bank. The main building will be equipped with twenty passenger elevators and two freight elevators. The erection of this building, at a cost estimated to be in the neighborhood of $12,500,000 Is a natural development of The Equitable Trust Company’s growth. The Equitable now owns a twenty-five story structure at 37 Wall street, its offices occupying fifteen floors in this building and more than four floors in the building at 43 Exchange place. It is a melancholy of mine own, com pounded of many simples, extracted from many objects, and indeed the sun dry contemplation of my travels, in which my often rumination wraps me in a most humorous sadness.—Shakes peare. ■ S E L L I N G N ew H om e E quitable Trust C o. to Wall Street adjoining Morgan’s on the Wall Street side. The new Equitable Trust Company building will be about 500 feet in height and will be constructed of brick and limestone. It will embody a number of new ideas in modern business conven ience and utility. While it probably will not be possible for work on the new building to be started before the Spring of 1926, it is believed that the building will be completed and ready for oc cupancy on or about May 1, 1928. The new building will be accessible from three of the financial district’s most important streets—Wall street, Broad street and Exchange place. The building will have entrances on each of these streets. Its main entrance will be located on Broad street about 170 feet from Wall street. North of this main entrance, The Equitable Trust Company will have https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T N the re-saleof securities, we are fully aware of the fact that there are obstacles to be overcome if real success is to be attained. Our field repre sentatives are experienced bank men— they know the many advantages of bank-bond distribution and how to stress these advantages— and in many instances have assisted materially in the development of profitable bond departments. Effective ideas and plans for winning interest in bonds and for actually creating sales, methods for organizing effective bond-selling units and practical suggestions for efficient departmental organization are at your disposal, through these field men. A s a profitable bond department must neces sarily link with an effective sales organization, we feel that this service is of incalculable value. W rite for pamphlet outlining the scope o f our Investm ent Service for hankers. B A N K S E R V IC E D E P A R T M E N T Hyney, Emerson & Co. 3 9 South La Salle Street, Chicago 1 st W ise. Nat’ l Bank Bldg. M IL W A U K E E 118-120 Burdick Arcade KALAM AZOO I 48 M id-Continent Banker B O A T M E N ’S BANK OLDEST BANK IN Founded in A ' rr5T-x MISSOURI 1 S 4 -7 W / E SOLICIT YOUR ” b u s i n e s s on our record of seventy-seven years of c o n s e r v a t i v e banking HIGH G R A D E IN VESTM EN TS ¿ 2 ^ O F F IC E R S E D W A R D S W H I T A K E R , President M U R R A Y C A R L E T O N , Vice-President FEDERAL COMMERCE TRUST CO. A A R O N W A L D H E IM , Vice-President JU LIU S W . R E IN H O L D T , V .-P . and Cashier E D G A R L. T A Y L O R , Vice-President L E R O Y C . B R Y A N , Vice-President C H E S T E R C. H A M M E R S T E IN , Assistant Cashier A L B E R T W A G E N F U E H R , Assistant Cashier H. A L F R E D B R ID G E S , Assistant Cashier R U D O L P H F L E S C H , Assistant Cashier OWNED BY STOCKHOLDERS OF TX? om merce in StLouis Broadway and Pine RESOURCES: $ 2 5 ,0 0 0 ,0 0 0 .0 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Telephone OLIVE 3720 49 St. Louis, A pril, 1925 First Mortgage Participations Class of Real Estate Accepted, Percentage of Loan to Appraised Value, and Reduction of Principal Are All Necessary Safeguards IRST Mortgage Participations are obligations secured by a group of diversified first mortgagee on real estate. They are usually issued by a mortgage company under a trust agree ment with a separate bank or trust company with which the physical mort gages are deposited for the protection of the investors. The form and system of issuing First Mortgage Participations have been in use in Europe for over one hundred and fifty years. The largest organization in the world issu ing this form of investment is the Credit Foncier of France, founded in 1852, and because of its sound methods and practices, it enjoys special privi leges from the French government, and the desirability of its investments is in dicated by the very low interest rate at which they are marketed, in some years celling as low as 2.6 per cent. F It is interesting to note that the Credit Foncier of France invests the majority of its funds in city loans. In the first few years of its existence it was its practice to confine its city loans entirely to the city of Paris; however, in later years the tendency has been to more widely distribute its loans to other cities throughout France. Other countries of Europe, including Italy, Spain and Portugal, have followed the example of the Credit Foncier and vari ous governments have encouraged the issuance of this form of investment. Consequently, a more comprehensive understanding of this type of invest ment must include an extensive study of the history of the development of the mortgage business in Europe. Difference in Names. Various mortgage companies through out the United States have in many in stances developed and widely adver tised and issued their obligation-: under such names a-: Parti-Mortgages, Par ticipation Certificates, Mortgage In dentures, Mortgage Bonds and Mortgage Certificates. The practices of these various companies vary somewhat. However, the general idea and system is the same and the purpose of this discussion is to describe briefly this form of investment and to discuss the policies of the various companies in the issuance and handling of such ob ligations. It is necessary to examine First Mortgage Participations from the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y Herman W . Danforth Vice-President, Real Estate Mortgage Trust Co., St. Louis, Mo. standpoint of the fundamental requi sites of all good investments, namely, safety of principal, interest return and convertibility. As the safety of prin cipal under all conditions is by far the most important to the investor we will elaborate more upon this requisite than the latter two. The primary security underlying First estate securing its loans, and the in-* vestor should always ascertain the per sonnel and ability of the company is suing First Mortgage Participations. Preference should be given to a com pany willing to guarantee its participa tions. It is interesting to note that in the long experience of European mortgage companies, with an infinitesimal few exceptions, there have been no fail ures, and when failures have occurred it has been due to dishonesty and in-* competent management. Necessary Safeguards. H erm an W . D anforth Mortgage Participations is the real es tate which secures the loans placed in trust for the benefit of the participa tion holders, and because real estate has certain and staple productive pow er, it is recognized by insurance com panies, trust companies and the most conservative investors as one of the best, if not the most desirable, of all securities. In the case of city real es tate, the natural causes which lead to the growth of cities in certain locali ties, creates a permanent demand for areas on which to live or to transact business, and just as long as real estate can be capitalized to produce an in come, it will have a sound value. It is absolutely necessary that any mortgage company issuing First Mortgage Par ticipations must be equipped with com plete information, data and experience to properly judge the value of the real An experienced mortgage company will recognize certain safeguards which should surround the making of mort gage loans. These safeguards are prin cipally four in number: 1. The class of real e-date accepted. 2. The percentage of the loan to the appraised value. 3. The limitation of the volume of bonds issued. 4. The requirement of annual pay ments in the reduction of the principal of the loan. These, together with other safe guards, should form the basis of estab lishing the policies of the mortgage loan company. A mortgage company -should not ac cept vacant real estate or any real es tate which does not have a productive income as security for a loan, nor should it accept real estate which is built for a specific use or from which the profits are dependent upon the un usual ability of its management, nor should it accept leasehold loans oi lcans on undivided interest. The old established mortgage companies in this country and in Europe, after years of experience, confine their loans on real estate chiefly to business and residen tial properties. Business properties may be divided into three classes: Re tail, office and wholesale. Residential property may be divided into two classes, single and multiple dwellings. Any of these, if located in well-estab lished districts, forms the best security for mortgage loans. Percentage of Loan. The percentage of the loan to the appraised value in many countries is governed by law and practically all states have some legal limitations for certain classes of investment, the limi tation usually ranging from 50 per cent 50 Mid-Continent Banicer S U P E R IO R S E C U R IT Y SE R V IC E T O BANKS B AN K ER S and BROKERS DIRECT TICKER SERVICE for listed bond quotations FAST THROUGH WIRES to New York and every other important market ACTIVE TRADING DEPT, to furnish prompt quota tions on any security STATISTICAL DEPARTMENT to furnish latest data on any security or company MONTHLY QUOTATION SHEET to list markets on many inactive stocks and bonds Your inquiries invited Mark C. Steinberg & Co. O liv e 4600 B oa tsm en ’s B an k B ld g . H otel J e ffe r s o r ST. L O U IS Members New York Stock Exchange Members St. Louis Stock Exchange Advertise in the Mid-Continent Banker The Bull Market Probable Duration and Extent H E average of indus trial stocks now show a rise of 30 points from the June low, when the Brookmire Economic Service ad T vised the purchase of securities. Is the advance nearly completed or is there still an opportunity to make further profit by holding present commitments— is this the time to make additional pur chases? If you own stocks now— or are thinking of accumulating them at present levels— don’ t fail to read the latest Brookmire Bulle tin which discusses these ques tions thoroughly. Free on quest— N OW . BROOKM TREi ECONOMIC SER VIC E , Inc.. 25 W e s t 45th St., N ew Y ork Please send m e a c o p y of y o u r Bui letiii MB-69—free. A ddre ss.. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis to 66% per cent of the appraised value of the property. The limitation of the volume of obli gations issued by any mortgage com pany should be established by the pol icy of the company, if not required by law. European countries generally re quire that the amount of obligations outstanding should not exceed from ten to twenty times the capital stock; the average of fifteen times the capital stock would seem to be a safe limit. The requirement of annual payments for the reduction of the loan is neces sarily due to the fact that all im provements on real estate are subject to depreciation, the depreciation de pending upon the k:nd of construction and the utility of the improvement, tin's varying from 2% per cent per year for the best built office buildings to 10 per cent per year on apartments. The amount of reduction in loans secured by business properties should be from 2% per cent to 5 per cent of the prim cipal amount each year; when secured by hotels, apartments and multiple dwellings and buildings which have a more limited life of utility, it should be reduced from 5 *per cent to 10 per cent a year. Life insurance companies and trust companies, which constitute the largest investors in mortgage securi ties, usually require that the annual re duction range from 5 per cent to 10 per cent of the principal of the loan each year. Too much stress cannot be placed upon the selection of the territory in which the real estate liers, and loans should not be made, secured by real estate in districts which are depreciat ing in value. A well-organized mortgage company should have several men familiar with real estate conditions on its executive committee to pass on loans, as the combined judgment of several men i-s usually found more com petent than the individual judgment of any one person, and the company should have a complete record of sales and rentals of real estate in order to guide it in determining its conclusions as to whether a loan is good or bad security. A Record That Inspires Confidence Since 1876 the men actually directing the affairs of the Union Trust Company have invested Hundreds of Millions of dollars. This experience of 48 years, supported by the study of investments, is free to guide you in the safe in vestment of your funds. We wish to emphasize the fact that the Union Trust Com pany has purchased for the investment of its own funds, the bonds we offer for sale. And, after first having care fully studied the bonds in the light of current events, we purchased outright, own and offer the bonds with our rec ommendation. Our files contain reliable de scriptions of all standard in vestments. Our wire service reports all sales of bonds on the New York Exchange. We offer Bankers an up-todate service, backed by 48 years experience and relia bility. Consult us without obligation. Convenient Amounts. First Mortgage Participations are po-ssibly the most convenient invest ment to be found in that they can be procured in any amount in excess of 150.00 for periods of from one month to five years. The interest is paid semi annually by check, or compounded at the option of the investor. The month in which the participation matures can be selected and the investor can dis tribute his investment so as to receive monthly income from investment in Participations, being relieved of the in convenience and details incident to I a t o n C Tr u s t o m p a n y of E a s t S t . Lo i t s Member Federal Reserve System 51 St. Louis, A pril, 1925 cashing coupons or delivering notes for collection. Participations are issued in the name of the holder and are reg istered with the mortgage company, and in event the physical certificate is lost or stolen, the investor is amply pro tected as no one else would be able to cash the certificate. The flexibility as to amount enables the individual investor, trustee and guardian with uneven sums to invest the entire amount so as to produce an income. For instance, if a trustee should have $2,507.80 in a trust fund he is able to procure a First Mortgage Participation in the uneven amount, or should he have a sum of $12,000, $2,000 can be invested to mature on the first of each six consecutive months, and as the interet is paid semi-annually, the the interest is paid semi-annually, the vestment on the first of every month throughout the year without any trouble or care on his or her part. There are many practical uses in which First Mortgage Participations in vestments can be employed. An in vestor, having a mortgage falling due at a given time, can lay aside each month a sufficient amount so that he will have at the maturity of his loan, sufficient sums invested to retire the loan. An other investor, having annual premiums on life insurance, can deposit each month one-twelfth of the annual premi um. A parent desiring to send a son through college can establish a definite program of laying aside a fixed sum each month and select the maturity so as to have the required amount when the boy is through high school and ready to enter college. We enumerate these few instances in order to show the convenience of the investment and the many uses to which it can be placed. First Mortgage Participations earn a good income, the yield being dependent upon the term for which the participa tion run-3. Maturities of less than one year usually bear about the same rate of interest as certificates of deposit in the savings banks, the yield gradually increases as the term of the participa tion increases and the longest term, five years, bears about one-half of one per cent le-3s than the current rate on in dividual mortgages for the same term. Company Guarantee. It is quite the common practice of mortgage companies to unconditionally guarantee the payment of principal and interest on Participations when due, and by so doing, it assumes the risk of the investment, and in addition as sumes the responsibility of all the de tails incident to looking after the loans securing the Participations, which in volves annual investigations of the tax records. The mortgage company must https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DEPENDABLE SERVICE I NVESTMENT SECURITIES G. H. W A L K E R & CO. B R O A D W A Y AN D LO CU ST ST. LOUIS, MO. THE Hanover National Bank OF THE CITY OF NEW YORK Corner Nassau and Pine Streets E S T A B L IS H E D 18 5 1 C apital . . S urp lus and Profits . . $5,000,000 $23,000,000 W IL L IA M W OODW ARD, P re sid en t E. HAYW O OD F E R R Y . V ic e-P re sid en t H E N R Y P. T U R N B U L L , V ice-P re sid en t J . N IE M A N N , A ss’ t C ash ier W IL L IA M D O N ALD , A ss’ t C ash ier SA M U E L WOOL V E R T O N , V ic e-P re sid en t G E O R G E E . L E W IS , A ss’ t C ash ier JO S E P H B Y R N E , V ice-P re sid en t F R E D E R IC K A . T H O M A S, A ss’ t C ash ier C H A R L E S H. H A M P T O N , V ice-P re sid en t W A L T E R G . N E LSO N , A ss’ t C ash ier JO S E P H S . L O V E R IN G , V ice-P resid en t C H A R L E S B . C A M P B E L L , A ss’ t C ash ier JA M E S P . G A R D N E R , V ice-P re sid en t W IL L IA M B . S M IT H , A ss ’t C ash ier W IL L IA M E . C A B L E , J r . , C ash ier W IL L IA M H . A L L E N , A ss’ t C ash ier F O R E IG N D E P A R T M E N T W IL L IA M H. S U Y D A M , V ic e -P re sid e n t an d M an ag er R O B E R T N E IL L E Y , A ss’ t M an ager F R E D E R IC A . B U C K , A ss ’ t M an ager 52 M id-Continent Banker In v e s tm e n t S e c u r i t i e s F. W. BAUMHOFF & CO. Security Bldg. Olive 3780 Short Term Bonds An exceptionally attractive list of conservative short term Securities maturing in from 6 months to 3 years and YIELDING 5% TO 7% These securities are especially suitable for the in vestment of idle Corporation funds, bank funds and temporarily idle funds of individuals. ascertain if taxes have been paid and keep a complete record of the expira tion of insurance policies to make cer tain that the proper amount of insur ance is at all times carried on the property. It must also keep a com plete record of accounts and maturi ties, attend to collection of interest and principal, and the remittance to the holder of the participation. It is preferable for an investor to sacrifice a very small margin of in come and receive the additional pro tection of a guaranteed First Mortgage Participation, and by so doing they are not only relieved of the inconvenience of delays in receiving interest and pr:ncipal when due, but also receive as ad ditional security the assets and moral responsibility of the company issuing the Participation. To sum up, First Mortgage Partici pations, if issued by a reliable com pany, are absolutely safe; they pay good returns and are convertible in that they can be assigned or used as collateral at banks. If guaranteed they are not affected by market fluctua tions and the returns are sure and con stant. ____________ ___ Harold L. Morehead Now W ith Mortgage & Securities Co. Harold L. Morehead, formerly with the Frisco Products Company for seven years, and for the past year in the au tomobile business in St. Louis, has re- Send for Current List BARTLETT &. GORDON IN C O R PO R A TE D 68-70 West Monroe Street, Chicago Your Bond Investments W e b u y and sell M unicipal, Industrial, P ublic Utility and Foreign G overn m en t Bonds. W e are in a position to give you and your b an k prom p t and ad e quate service. P o t t e r , K a u f f m a n & Co. Chamber of Commerce Bldg., 511 Locust St. Telephone. Olive 7460 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S A IN T LO U IS H arold L. M orehead cently become associated with the sales organization of the Mortgage & Securi ties Company, St. Louis and New Orleans. Warren W. Browne, manager of the Mortgage & Securities Company at St. Louis, states that the appointment of Mr. Morehead is made in order to take care of the increasing business in the St. Louis territory. St. Louis, A p ril, 1925 53 Effect of Power of Revocation on Federal and State Taxes U E R Y N u m b er 1: Is it essential tha t beneficiaries must have an “ insurable in te re s t” in the life of the insured or creator of the tru st in the case of funded life insurance trusts? Q Every person has an insurable inter est in his own life which will support a policy taken by him in favor of him self or his estate. And there is no rea son of public policy why one who pro cures insurance on his own life should not make the benefit payable to an other without regard to whether the latter has any insurable interest. In the absence of bad faith or fraud, the policy may be made payable to any one without regard to insurable interest, and recovery may be had on the policy in an action brought by the beneficiary without proof of insurable interest. Therefore, in view of the above state ment of law, it is my opinion that the insured or creator of the trust may procure a policy of insurance upon his own life and make the same payable to a trustee for a- beneficiary who has no insurable interest in the life of the insured or creator of the trust. The law would be different, however, if the beneficiary sought to procure the in surance upon the life of the donor or creator of the trust, and in such an event it would be necessary for the beneficiary to have an insurable interest in the life of the donor. Query N u m b er 2: T he reservation of the pow er by the donor or creator upon Federal Estate and tance Taxes. effect of the of revocation of the tru st State In h e ri This question is very difficult to an swer for the reason that it involves so many different forms of trust instru ments. We will assume in the instant for the reason that insurance payable to a specific beneficiary is not a part of the decedent’s estate and hence is not subject to the payment of an in heritance tax. In view of the fact that insurance, where payable to a specific beneficiary, is not subject to the pay ment of a State Inheritance Tax, it is quite apparent that the power of revo cation would have no effect whatever upon the trust instrument so far as State Inheritance Taxes are concerned. With respect to the Federal Estate Tax, a very different question arises for the reason that the Federal Estate Tax law provides that all insurance pro cured by the decedent upon his own life in excess of $40,000.00 shall be in cluded as a part of the decedent’s gross estate, for the purpose of the imposi tion of the Federal Estate Tax. The rulings of the Treasury Department are to the effect that even though insur ance be procured by the decedent upon his own life, if the same be absolutely assigned to another, who thereafter pays the premiums out of his own funds and not out of funds belonging to nor advanced by the insured, that such in surance shall not be included as a part of the decedent’s gross estate, upon which the Federal Estate Tax is as sessed. B y The Legal Editor case that the insured procured the in surance upon his own life, made the pol icy payable to the Trustee, and there after assigned all of his right, title and interest in the policy to the trustee by an irrevocable assignment and then transferred funds to the trustee from which the income is directed to be used for the payment of the premiums upon such insurance, and the query is, “ What is the effect of the reservation of the power of revocation in the trust instrument itself?” Questions of interest to bankers are discussed by the Legal Editor each m onth. Any subscriber has the privilege of writing for infor mation and advice on legal sub jects, and will receive a direct reply from our attorney, without fee or expense. A brief of any subject involving research in a complete law library will be furnished for $10. In writing for information, kindly inclose a 2-cent stamp for reply, and address “ Legal Editor, Mid-Continent Banker, 408 Olive Street, St. Louis.” So far as the securities are concerned it is the opinion of the writer that a reserved power of revocation would subject the trust estate to the payment of State Inheritance Taxes and also the Federal Estate Taxes, assuming, of course, that the value of the estate ex ceeded the exemptions allowed by law. With respect to the proceeds of in surance payable upon the donor’s death, it is the opinion of the writer that the reserved power of revocation would not subject the proceeds of insurance to the payment of the State Inheritance Tax, In view of these rulings some law yers are of the opinion that no portion of the insurance would be subject to the payment of the Federal Estate Tax. It would seem, therefore, that if no por tion of the insurance is subject to the payment of the Federal Estate Tax be cause of the fact that the policies were irrevocably assigned to the trustee, and because of the further fact that the trus tee pays the premiums upon such poli- Real Estate Mortgage Trust Company T w e lfth F lo or, F ederal Reserve B a n k B u ild in g , S t . L o u is, M o . M A K E S A N D SELLS C O N SE R V A TIV E FIRST M O R T G A G E LOANS, SE C U R ED B Y IM P R O V ED R E A L E STA TE . J. L IO N B E R G E R D A V IS, Chairman o f the Board https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H. W . D A N F O R T H , Vice-President L A W R E N C E E. M A H A N , President L E W IS S. H A SL A M , Vice-President and Treasurer O. D . S C H N A A R E , Assistant Treasurer M id-Continenj Banker 54 E S T A B L IS H E D 1877 LISTED BONDS We are prepared to furnish accurate q u o tations, and prom pt executions of buying or selling orders for listed bonds. The experience acquired during forty-seven the our years investm ent in field is also at the disposal of our clients. •fc* F r a n c is , B ro . & Co. INVESTMENT SECURITIES 214-18 N. Fourth St. ST. LOUIS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis cies, that it would be immaterial whether or not there was a power of revocation reserved in the trust instru ment. Therefore, so far as the Federal Es tate Tax is concerned with respect to the proceeds of insurance, it is the opinion of the writer, that it is not nec essarily material whether a power of revocation be reserved in the trust in strument or not. If the insurance is not subject to the Federal Estate Tax, because the trus tee pays the premiums and because ft is not to be included as a part of the decedent’s gross estate then the re served power to revoke would not nec essarily subject the insurance to the payment of the Federal Estate Tax. It is probably an open question as to whether or not the premiums under a funded trust agreement are not paid out of funds advanced by the donor. In view of the positive language of the Federal Estate Tax Act, requiring all insurance to be included in decedent’s gross estate over $40,000.00, it is prob able that the excess insurance over $40,000.00 would be subject to the pay ment of the Federal Estate Tax under the funded insurance trust plan. But this is by reason of the provisions of the act itself rather than the result of the reserved power to revoke. In conclusion, it is the opinion of the writer that it is desirable to eliminate the power of revocation but not abso lutely necessarily, and that the excess insurance over $40,000.00 may be sub ject to the payment of the Federal Es tate Tax, even though no power to re voke is reserved in the trust instru ment. Kennedy Building TULSA FRED BORTON W IN S GOLF CUP . On the occasion of the recent mid winter meeting of the Governors of the Investment Bankers Association of America, held in New Orleans. Presi dent R. S. Hecht, of the Hibernia Securities Company, Inc., gave an In vitation Tournament at the new Mexi can Gulf Country Club at Pass Chris tian. There were some twenty-five en tries and Fred S. Borton, of Boston & Borten, Cleveland, succeeded in win ning the beautiful cup which the Hi bernia Securities Company had put up as first prize. W e solicit inquiries from Bankers on Government Municipal Public Utility Industrial Bonds Send for our current list little 4 M o o r e In v e stm e n t B o n d s 4 o 8 O live St S t .L o u is Bell Long Distance Phone Postal Long Distance Phone B o n d s GOVERNMENT M U N IC IP A L RAILROAD C O R P O R A T IO N Forgan, Gray & Co. Incorporated Investment Bankers 105 S. La Salle St. C H I C A G O Phone Dearborn 7363 G. Alex. Hope Goes With Lorenzo E. Anderson G. Alex Hope, formerly with the Fed SOUTHERN CALIFORNIA BANKS eral Reserve Bank of St. Louis, has be C orrespondence invited from Bankers desiring come associated with the sales organ to buy con trol in C alifornia ization of the bond department of Sanders - M cC u llo ch Co. Lorenzo E. Anderson Co., St. Louis. B a n k B rok ers Mr. Hope is a Princeton graduate and S u ite 1005, S to ry B ld g . Los A n geles. at one- time lived in Jefferson City, Mo. 55 St. Louis, -April, 1925 Chester W. Cohagan Now with Halsey, Stuart & Co. Chester W. Cohagan has been made Kansas City representative of Halsey, Stuart & Co., Inc., investment bank ing house of Chicago and New York, and has taken up his duties with offices at 922 Commerce building, it is announced by the home office of the company at Chicago. Mr. Cohagan re lieves Victor Cullin, who will enter his father-in-law’s manufacturing business in Chicago. For the past three years Mr. Co hagan has been associated with the Security Trust and Savings Bank of Los Angeles as municipal bond buyer and as manager of the Guaranty R. C. L o n g & C o m p a n y C O M M E R C IA L PAPER IN V E S T M E N T BONDS Correspondents STEDMAN & REDFIELD Hartford, Conn. 418 O live S treet S a in t L ou is National Electric Power Company Tw enty-Year 6 % Secured Gold Bonds, Series of 1945 Dated March 1, 1925 Due March 1, 1945 Price 97 a n d A ccru ed In te r e s t, to Y ie ld over 6 .2 5 % F u l l y d e s c r ip tiv e c ir c u la r o n req u est A.C.ALXYN andc o m p a n y ESTABLISHED HQ Chester W . Cohagan branch of that institution’s subsidiary, the Security Company. He is a sonin-law of Dr. R. V. Anderson, well known retired physician of Kansas City. W a ld h e im -P la tt M on th ly News Letter. Waldheim-Platt & Co., Inc., St. Louis bond company that opened for busi ness last October, are putting out a very interesting folder in the form of a monthly letter. The letter not only lists current bond offerings, but also tells something of the history of bonds and includes an index of municipal bond values. Gold is a wonderful clearer of the un derstanding! It dissipates every doubt and scruple in an instant, accommo dates itself to the meanest capacities, silences the loud and clamorous, and brings over the most obstinate and in flexible.—Addison. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 71 W . Monroe Street New York Philadelphia C H IC A G O Milwaukee Phone State 6440 Minneapolis Sh ort T erm Bank for Boston Paper Investment F L E T C H E R A M E R IC A N COMPANY A f f i l i a t e d W it h F l e t c h e r A m e r i c a n N a t io n a l B a n k o f I n d i a n a p o l i s L O U IS V IL L E —511 I n t e r -S o u t h e r n B u ild in g C H IC A G O IN D IAN APO LIS D ETR O IT SO U TH BEND 56 Mid- C on tin ent B an he r Morris Plan Banks Hold Annual Convention The election of R. O. Bonnell, Den ver, as president, and the changing of the name from the Mid-Western Mor ris Plan Bankers’ Association to the Western Morris Plan Bankers’ Associa tion, were the high lights of the annual meeting of that association held Feb ruary 23 at Cedar Rapids, Iowa. Mr. Bonnell, the new president, is vice-pres ident and general manager of the First Industrial Bank of Denver. Twenty Morris plan managers were in attend ance at this year’s meeting. Coincident with the change of name, the association voted to include in its territory all of the states west of the Mississippi and extending to the Pa cific coast, instead of only the Middle Western States. In addition to Mr. Bonnell, other officers elected were: Vice-president, George C. Toel, St. Jo seph, Mo.; secretary-treasurer, J. Fred erick, Kansas City. Speakers on the program included the following: C. H. Bryant, Des Moines, “ Objectives of the Association for 1925” ; Harry Pratt of Cedar Rapids, “Morris Plan Ethics and Principles” ; F. A. Parker, Kansas City, “ Collection Methods” ; S. A. Harley, Duluth, “Leg islation” ; J. F. Green, Kansas City; G. C. Toel, St. Joseph, and H. M. Gar ris, Topeka, on “ Savings” ; R. O. Bon nell, Denver, “Branch Agencies and Group Loan Plan” ; L. H. Stubbs, Cedar Rapids, “Insurance and Bond Protec tion for Morris Plan Banks” ; H. B. Weaver, Davenport, Harry Pratt, Cedar Rapids, and A. A. Blumeyer, St. Louis, “Development of Comaker Loans” ; H. J. Zeuch, Davenport, “Program of the National Association.” At the evening banquet at the Hotel Montrose, Cedar Rapids men, including Royal S. Holbrook, well-known Iowa lecturer, were speakers. N A T IO N A L PARK BANK U P T O W N O FF IC E . HAS After 69 years of continuous service in the lower Manhattan district The National Park Bank of New York has at last yielded to the steadily expand ing demands of business and has in vaded the uptown Grand Central sec tion by establishing an office at 240 Park avenue on the northwest corner at 46th street. The personnel of the new office has been carefully selected from the pres ent staff of The National Park B'ank and is thoroughly familiar with the spirit and traditions of this old institu tion. E. V. Connolly, vice-president, is in charge. At these new quarters complete fa cilities in banking, trust and invest ment are at the disposal of old friends of the institution as well as of indi viduals and business organizations de siring additional banking connections. The capital, surplus and undivided profits of The National Park Bank are $33,700,000, and the board of directors is composed of the following: Charles Scribner, Edward C. Hoyt, Richard Delafield, Francis R. Appleton, Cor nelius Vanderbilt, Gilbert G. Thorne, Thomas F. Vietor, John G. Milburn, William Vincent Astor, Joseph D. Oliver, Lewis Cass Ledyard, Jr., David M. Goodrich, Eugenius H. Outerbridge, Kenneth P. Budd, John H.. Fulton, Frank L. F'olk. PICKLES 1MTICHIGAN planted 36,230 acres to cucumbers last year. This was more than double the acreage of any other state. In 1923 some 1,154,000 bushels of cucumbers were grown in Michigan. This was 3 5 % of the total United States crop. Hence, several famous brands of pickles are from Michigan cucumbers. This bank is an important link in the marketing of food products. It offers unequalled facilities for serving those having business in the Great Lakes Region. ji F ir s t n a t io n a l b a n k D E T R O I T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M I C H I G A N T h e F ir s t N a tio n a l B a n k , t h e C e n tr a l S a vin g s B a n k a n d th e F irst N a tio n a l C o m p a n y o f D e t r o it, are u n d er o n e o w n e r s h ip . S. A. T ru fa n t, Jr., N o w w ith Bond House. Samuel A. Trufant, Jr., has joined his father in the stock and bond busi ness in New Orleans. The firm of S. A. Trufant is one of the old established banking houses of the South, and is located at 718 Common street, New Orleans. The other members are S. A. Trufant, Charles L. Uhlhorn, Joseph H. Hynson, and Robert Armbruster. “ Sam” Trufant, Jr., graduated from Tulane University law school, and has also studied at Cornell and Columbia. He is an authority on financial mat ters, and has served as financial edi tor of one of the leading New Orleans papers. 57 St. Loiiis, A pril, 1925 Bank’s Plan Attracts Crowds to Nashville Stores Honorable Mention “Idea” Contest (C ontinued from page 11) zenship attending. Many of our best people visited all the stores and banks. Of course, there was practically no business done on the two days of the opening, for the entire efforts of the merchants were towards entertaining their visitors, and their stores were decorated attractively and planned with that in view and a twelve-piece brass band played all day long, in front of each store at some time during the day. However, the merchants reported that the week following the opening was one of the best in their history and ahead of any previous week in that part of the year. The vice-president of our largest household furnishing store told me that the opening brought people into his place of business that had not been there for ten years, and every one seemed remarkably well pleased with the results. All the details of the opening were bandied by the publicity department of the American Banks, and the mer chants state that there were never as many people on Third avenue even at Christmas time as there were on the opening days, and all this was accom plished with a comparatively limited expenditure of money for advertising. Advertising That Is Different $2,100,000.00 IN LOANS It has bren the custom for years tp record the progress made by banking institutions by comparison of the total of deposits. In this, the First Bank and Trust Company has enjoyed first place in Cairo, and for a number of years has been known as Cairo’s Tw o Million Dollar Bank. This position is still maintained with a good margin, but the First Bank has made other records of which it is justly proud Practically every month for years, it has shown an increase in the number of customers served and, at this time, it has more thar 6,100 open accounts—exclusive of Christmas Savings Clubs which number more than 1,000. Another record in Cairo banking is the amount of its Loans and Discounts, more than $2,100,000.00, and almost all of it loaned to business men, farmers, individuals and neighboring banks tn this immediate community and being used to develop the local re sources and business of its citizens. This large amount of loans is distributed among many, lint s of industry and is not being monopolized by those closely connect cd with the bank, in fact the loans to the bank’s active officers— the president, cashier and three assistant cashiers—total less than $6,000. Customers of this bank are enjoying the full lines of credit to which they are financially entitled and no one has suffered through inability of this bank to care for his needs. Almost every bank depositor has occasion to ask financial assistance at some time or other and should give consideration to the above conditions and practices when making a bank connection Upon the above record, your banking is invited. FIRST BANK AND TRUST CO. At Eighth and Washington, Cairo, Illinois. The Bank o f Service. Many banks advertise the amount of their deposits and the number of their customers, but the First Bank and Trust Company of Cairo, Illinois, is advertising its further services by emphasizing the am ount of its loans to business men, farmers, individuals and banks in its comm unity. Reed Green is President of the bank and H. R. Aisthorpe is cashier and secretary. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank Takes Leading Part in Good Roads Movement By Edwin A. Reid, Cashier, Bank of Taylorsville, Taylorsville, Ky. PENCER COUNTY, KY., in addi tion to being a very small county, is also not a wealthy county, and the income for road purposes has always been meager, therefore we have never at any time been able to keep our roads in good shape, at times hardly more than in “ passable condition.” During the last three years we have had to handle the entire north and S south traffic, also the heavy trucking of several counties into Louisville, the market center, all this traffic going over our main highway through the county. This was caused by one of the main highways into Louisville be ing closed for reconstruction and we were used for a detour. As a result, our main thoroughfare became impassable during the past winter, the road was almost entirely abandoned, and the county had no money with which to put the road in shape. Feeling the need for action, we launched a “good roads movement,” held the first meeting in our banking room wlrch was attended by about fifty of the best citizens along the highway, perfected an organization, HE obligations of this institution are s e le cte d as a p p r o p r ia te and sound mediums for short term invest ment by a large banking clientele. T h ey may be obtained in convenient denom inations and suitable maturities. T Full in form a tion m ay be secured through usual banking channels, or by addressing Financial Sales Department at any o f our offi ces. G eneral M otors A cceptance Corporation Executive Offices: 224 W est 57th Street, N ew York City Branch Offices: Atlanta Boston Buffalo Charlotte Chicago Cincinnati Cleveland Dallas Dayton Denver Detroit Kansas City Los Angeles Memphis Minneapolis New York Omaha Philadelphia Pittsburgh Portland, Ore. St. Louis San Francisco Washington London, England Toronto, Canada 58 M id-Continent Banker laid out our plans and began work. As a result of this meeting and others which followed we have been able to get the road in good shape and have aroused an interest among our people for good roads in their respective lo calities. We have also gotten our county officials more interested in the roads and secured the promise of help from the State Road Commission. Being responsible for the starting of this movement has created a more friendly feeling toward our institution, because we dared to get behind a movement which everyone realized should be started, but no one cared to take the initiative and keep behind the movement until the job was fin ished. We attribute a very satisfactory in crease in our deposits to the part we played in helping our county get the roads in better shape, also the civic pride which we have, causes us to re joice because of the fact that we have good roads and are promised better roads in the future. Money, in truth, can do much, but it cannot do all. We must know the province of it, and confine it there, and even spurn it back when it wishes to get farther.—Carlyle. Cherokee National Bank Is Opened for Business “ Brickbats” and “ Boquets” for Federal Reserve System Several thousand people visited the home of the Cherokee National Bank when it opened for business a few weeks ago at Cherokee street and Jef ferson avenue, St. Louis. More than 900 accounts were opened on the first day. the United States and for the purpose of stabilizing and protecting the finan cial, commercial and industrial interests of the United States of America. The banks were of necessity the warp and the woof of which the cloth was woven. Obviously such a system could not be constructed by act of government with out working some seeming hardships— compulsory membership, coerced cap italization, deposits by requisition, and partial confiscation of profits. These are but the price paid to make possible the greatest banking system in the world, and a meagre price it is, viewed in the light of its abundant compensa tions.”— W . W. Bowman, Secretary, The Cherokee National starts with a capital of $200,000 and a surplus of $50,000. It serves one of the most rapidly developing business districts of St. Louis. The building which houses the bank has been equipped with every modern convenience. Officers of the bank were the recipi ents of many congratulations, and nu merous floral tributes crowded the lobby on the opening day. Henry P. Mueller is president of the bank; Dr. J. Lewis Hutton vice-presi dent; and Harry G. Freiert, cashier. Directors are: H. P. Mueller, J. L. Hutton, L. E. Wessels, O. L. Zelle, Gustav Schoenberg, E. H. Blust, A. R. Messing, Fred W. Pape, W. F. Clodius, Theodore Dilg, Fred Houska, Valentine Kunz, M. L. Montague, W. L. Roos and Emil Burst. We ought to avoid the friendship of the bad and the enmity of the good.— Epictetus. (C ontinued from page 18) Kansas Bankers’ Association, Kansas. Topeka, “Instead of criticising the actions of the Federal Reserve, I think we should take into consideration the law gov erning the Federal Reserve Banks and if they are not complying with the law that gave them existence, there is a remedy. It is hard to serve every mem ber bank to the same advantage, and a few, perhaps, do not get as much out of the system as others do. I am strong for the system.”— W. A. Steele, Pres ident, F ir s t National Bank, Van Buren, Ark. S a f e t y of Principal M a x im u m R eturn M a rk e ta b ility Our All-Year-Round Special for Banks Consistent adherence to the policy of under Superior Transit Service writing only the most conservative real estate loans has made our first mortgage bonds the decided preference of the careful banker. A word from you will introduce our offerings without obligation on your part, M ortgage &, s ecurities C ompany (ommerceyrust (ompany^ Capital and Surplus $8,000,000 S e c u r it y b u il d in g S t . Louis “ Twenty-first year—Never a Loss to a Client” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis K AN SAS C IT Y St. Louis, A prii, 1925 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 59 A ^ ~ (XAaÌC ------------------ g. fo u ^ J i 1 j S u v r .i r * I^ S 1\ k > U aa^ U . irvruA^- cJ X j- J C ^ — o££**~ Uatvu o w e “ •- qua.«^ ^ » » * W-OaaA^**-«^ 1 <* 1 ^ 1 . « l - i \ | -v v y ^ A ^ -o U ^ * V w C ^ »J\ ^ V*~ Lç tV w Æ *-6 jv»U ifcww U t«U a4 ^ »V w N A a -< X * j 1a , A a a V OLaaaj /V ^ U v v l v ; : ..:i.<^ . a ..'^ÿ f r / / / / / / ì r ' -'/ j.jr/ j. „ ////// ////<:J. C U R R E N C Y ............................................... 4 8 1 ,7 7 8 43 S I O H T E X C H A N G E ...................... 1 2 7 ,6 3 3 4 4 DISCOUNTS ................ C A P I T A L ...................................................... 6 0 0 ,4 1 1 8 7 ................................................... 1 ,4 8 1 ,3 8 4 6 4 F U R N I T U R E A N D F I X T U R E S ................................... _ R EA L, E S T A T E SUSPENDED ... 0 ,1 12 0 0 ..................................................... D U E D E P O S I T O R S ........................ D U E B A N K S ............................................. 3 0 0 ,0 0 0 00 6 7 1 ,4 0 3 68 0 7 1 ,4 0 3 0 8' 8 7 2 ,7 2 0 II 3 3 3 ,2 4 6 00 1 ,2 0 5 ,0 8 7 2 7 ,2 0 0 4 0 B O N D S ..................................... ......... 2 2 ,0 3 0 00 2 ,1 7 7 , 4 6 0 —.....V£ R E S E R V E F U N D ............................ s 2 7 ,4 1 2 7 8 D E B T ........................................................... UN IT E D S T A T E S /y 78 2,1 7 7 , 4 6 0 7 8 TheSame Invitation holds today, simply multiplied by 49years additional banl\inP experience THK N A T I O N A L B A N K OF C O M M K R C K IX ST, LOUIS At C lo s e of B u s i n e s s . D e c e m b e r 3 1 . 1 9 2 1 RESOURCES $ 2 8 ,3 6 4 ,8 6 4 .1 3 8 .1 7 3 .8 9 2 9 8 5 ,0 7 3 ,1 1 3 .6 5 1.00 C o n cr e te Inveì B an k B u ild in g O th e r R e a l Es F ed eral R eser 2 .9 0 0 .0 0 0 OO 2 2 3 .8 4 4 .3 4 3 6 0 .0 0 0 OO 100,000.00 1 3 .5 2 6 .7 5 5 4 ,4 0 6 6 4 7 7 9 8 .0 3 6 .1 6 _________ 1 8 ,8 5 3 6 1 8 9 9 .6 3 2 ,7 8 0 .3 0 C a p it a l S u r p lu s e n d P r o f it s S u r p lu s a n d P r o f it s U n e a rn e d D iv id e n d P a y a b le Ja n . 2 . 1 9 2 6 C ir c u la t io n L i a b ilit ie s , a c c 't a c c e p t a n c e s R e s e rv e d fo r T a x e s U . S. D e p o s it s . . . S a v in g s D e p o s it s O th e r D e p o s it s LIABILITIES $ 10.000.000.00 4 ,1 0 7 .0 7 2 3 5 200 . 000.00 4 .9 0 0 ,0 0 0 .0 0 16 8 0 4 .3 5 2 7 4 .9 3 6 .2 0 $ 1 0 8 .4 0 1 9 6 9 9 8 9 .3 2 9 0 7 7 0 ,0 3 7 , 14 6 3 7 8 0 .1 3 1 .8 7 7 .4 0 « 9 9 .6 3 2 .7 * 0 .3 0 N O T E — F E D E R A L C O M M E R C E T R U S T C O . R e s o u r c e s $1 ,7 6 9 ,5 3 4 .0 7 A ls o O w n e d b y S t o c k h o l d e r s o f T H E N A T I O N A L B A N K O F C O M M E R C E nn https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis with w hich is affiliated the Commerce Commerce Trust Company in St-Louis ........ 68 Years of Banking Experience 10
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