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https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis V ■ CONTINENT JANKER From H ow M any Banks Have Som e of Y ou r Custom ers Obtained Loans? Page 7 Pall-Bearers o f Failed Banks Page 8 Attractive Christmas W in d o w Displays Page 10 Ishpodar Broadcasts Som e “ D o ’s and D o n ’t’s Page 13 The L aw Concerning Inheritance Taxes Page 14 The Opportunity for Bankers to Build Business Through Investment Service Page 23 ARK 2 Mid-Continent Banker A C o m p le t e I n v e s t m e n t S e rv ice many years experience in ori' ginating, participating and distributing sound securities, the First National Com' pany in St. Louis has developed every facility necessary to assist banks, institU' tions and individuals in solving their in' vestment problems. Our offerings afford a wide selection o f securities, including First Mortgage, Corporation, Public Utility, Municipal, Federal Land Bank, Joint Stock Land Bank and Government Bonds. You are invited to make use o f our complete in' vestment facilities at any time. A copy of our monthly offering list will be sent upon request, or, if you desire, our representa' tive will call. T ffji-p îr TO? ¡ i f hrough É L U .... i - -lip ^ r * E" ^ ¿ | | f? JhWilr- ïf-^ J a /^T-. * https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I® FIRST » national -i n , s t , l o u i s INVESTMENT D IV IS IO N o f the FIRST NATIONAL BAN K III COMPANY BROADWAY-LOCUST-OLIVE SAINT LOUIS, MO. St. Louis, December, 1927 H IS enthusiastic statement is from the letter of a banker who tried his own bank’s ser vice on a trip abroad.— H is bank is one of the 16,000 in Am erica that recommend A m e r ic a n Express T ravelers’ Cheques to depositors who may be leaving for a short or prolonged trip. T W h y was this banker enthusiastic ? Because he 3 À Profitable Transaction and the g r e a te s t p e r s o n a l s e r v ic e a n y hank can ren d er a tra v ele r - d ep o sito r . 99 found: 1. The “ sky blue” American Express Travelers’ Cheque is safe and usable money in practically all parts of the world. 2. H e eliminated all fear of loss or theft of his travel funds, as the “ sky blue” Cheque is just plain paper until counter signed by its owner. 3. E v e ry w h e re he found himself using “ The Helpful Hand of a G reat S e r v ic e .” — In all principal cities and travel centers the “ sky blue” Cheque gave him the privilege of calling upon an American E x press Company office, representative or Cou rier for helpful advice or counsel. W ill this banker seek to give more and more attention to this phase of good-will building in his bank ? W ouldn’t you if you knew the simple, profitable sale of American Express Travelers’ Cheques could give your depositors so many advantages ? A merican Express T ravelers ’ C heques https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mid-Continent Banker 4 ST* LOUIS—An Educational Center S B S H S Ì S S B https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H E St. L ouis P u blic S ch ool System is one o f the m ost com plete in the U nited States. It includes 148 grade and high schools, em ploys 2,897 teachers, and has an enrollm ent o f 97,384 students. Its m odern school buildings are standards o f beauty and utility. T T w o fam ous universities, several theological seminaries, ou tstan d ing professional schools o f law, art, science, m edicine, m usic and teaching, and a num ber o f n earby w om en 's colleges and private schools, attract a nation-w ide student pop u la tion and include m any others from foreign countries. T h e M ercan tile T rust C om p a n y, as one o f St. L ou is' great financial leaders, is proud o f the c ity ’ s educational advantages. F or tw entyeight years it has been identified with every forw ard m ovem en t o f this m etropolis o f the Southw est. From this experience has come an intimate understanding of local conditions which is at the sendee of banks and bankers, corporations and. business men seeking reliable information. Member Federa/ Fernerve Jysdem E IG H T H A N D L O C U S T -TO SAINT LOUIS SB BESBS Capitald Surplus Ten Million Dollars ST. CHARLES St. Louis, December, 1927 5 ÍN D E X T O A D V E R T IS E R S Abraham Lincoln Life Insurance Com pany, Spring-field, 111.................................. 18 Allyn & Company, A. C., Chicago.......... 48 American Exchange Irving Trust Com pany, New Y ork............................................ 6 American Express Company, New York 3 American Banks, Nashville........................ 68 Ames, Emerich & Company, C h icago ... 37 Anderson & Co., Lorenzo E., St. Louis. 32 Anderson & Co., Oliver .1., St. L o u is ... 23 Art Craft Shops, St. Louis.......................... 71 Baker, Kellogg & Company, Chicago___ 41 Bank of New South W ales, Sydney, Australia .......... 51 Bartlett & Gordon, Inc., Chicago............ 35 Bell Telephone Securities Company, New Y ork......................................................... 28 Berkowitz Envelope Co., Kansas C it y .. 52 Boatmen’s National Bank, St. L o u is ... 70 Bradermann Co., M. W ., New Y o r k .... 33 Brookmire Economic Service, New York 23 Burr & Company, George H ., Chicago.. 40 Caldwell & Cbmpany, Nashville................ 26 Camp, Thorne & Company, C h icago... 22 Chapman & Company, P. W ., Chicago.. 33 Chase National Bank. New Y ork............ 46 Chemical National Bank, New Y o r k .... 49 Chicago & Alton Railroad, Chicago........ 55 Chicago Trust Company, Chicago............ 74 Commerce Trust Cbmpany, Kansas City 19 Continental & Commercial Banks, Chicago ............................................................ 57 Couden Syndicate, Elliott R., St. Louis 36 Dawes, Maynard & Company, Chicago . . 32 D ’Oench, Duhme & Company, St. Louis 43 Emery, P'eck & Roekwood Co.. Chicago 43 Equitable Trust Company, New Y o r k ... 48 Federal Stirety Co., Davenport, Io w a ... 50 Fidelity Bond & Mortgage Company, St. Louis ........................................................ 44 First National Bank, C h ic a g o ................. 54 First National Company, St. Louis.......... 2 Fletcher American Company, Indianapolis ........ .......................................... 4Ü Foreman Banks, Chicago.............................. 58 Francis Bro. & Company, St. Louis........ 34 General Motors Acceptance Corp., New York .................................................................. 3g Hanover National Bank. New Y ork........ 70 Hibernia Bank & Trust Company, New Orleans, L a ...................................................... 46 Hoagland-AUum & Company, Chicago. . 30 Hotel Ambassador, Kansas C it y .. . . . . . . 52 Hotel Chase, St. Louis................'................. 50 Hotel Empire, New Y ork............................ 46 Hotel Knickerbocker, New Y ork............ 52 Howe, Snow & Company.............................. 30 Illinois Honor Roll B anks.......................... 56 Illinois Merchants Trust Co.. C h icago... 59 Industrial Acceptance Corp., New York 39 Knight. Dysart & Gamble, St. Louis___ 42 Krenn & Dato, Chicago................................ 421 Lacy Company, L. D., St. Louis.............. 63 Liberty Central Trust Company, St. Louis ................................................................ 7*3 Liberty Insurance Bank, Louisville........ 63 Marine Bank & Trust Company, New Orleans ............................................................ 66 McClintock Co., O. B., M in n e a p o lis...., 48 Mercantile Trust Company, St. L o u is .. 4 Merchants Laclede National Bank, St. Louis ................................................................ 54 Midland Bank. London, England.............. 65 Mississippi Valley Trust Company, St. Louis ................................................................ 72 Missouri Honor Roll Banks........................ 53 Mortgage & Securities Cbmpany, New Orleans ............................................................ 29 National Bank of Commerce, St. Louis. 76 National Bank of the Republic, Chicago 60 National City Company, New Y ork........ 31 National Park Bank, New Y ork .............. 65 Northern Bank Note Company, Chicago 38 Northern Trust Cbmpany, Chicago........ 62 Ottman & Company. E. H,., Chicago___ 41 Philadelphia-Girard National Bank, Philadelphia .................................................. 51 Provident State Securities Company, Chicago ........................................................... 45 Quality Park Envelope Company, St. Louis ................................................................ 69 Rogers Park Hotel, Chicago...................... 67 Ross-Gould Company, St. Louis................ 43 Ruppert & Cbmpany, H. L., St. Louis. . 23 St. Louis Bank Equipment C om pany.. 60 Seaside Hotel, Atlantic City, N. J .......... 52 Smith, Moore & Company St. L o u is ... 27 Steinberg & Company, Mark C., St. Louis ................................................................ 43 Stern & Company, Lawrence W ., Chicago ........................................................... 42 Stickney, Denyven & Company, St. Louis ................................................................ 35 Strauss & Company, Robert S., Chicago 24 Throckmorton & Company, New York. . 6 Todd Company. Philadelphia...................... 75 Union & Planters Bank & Trust Com pany, Memphis ............................................ 64 Union Trust Company, Chicago.............. 61 Union Trust Company, E. St. Louis, 111. 25 United States Shares Corp., New York 36 W alker & Company, G. H.. St. Louis.. 46 W hitney Central Banks, New Orleans.. 67 W ilson & Co., James C., Louisville........ 62 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The Financial Magazine of the Mississippi Valley m t CLIFFORD DE PUY, Publisher DONALD H. CLARK Editor and Manager JAMES J. W ENGERT Associate Editor ST. L O U I S D E C . , 1927 VOL. 23 No. 12 W ILLIAM H. MAAS Vice-President Manager Chicago Office 1221 First Nat’l Bank Bldg. Telephone, Central 3591 C O N TE N TS FO R D E C EM B ER Page From How Many Banks Have Some of Your Customers Obtained 7 Loans?— By M. A. Graettinger___ __________ _______ ____ ___ ___ Pall-Bearers of Failed Banks— By S. L. Cantley.... ....... ...... 8 The Effect of the Live Stock Market on Banks in the St. Louis 9 Territory— By Walter H. Land................................. .......... Attractive Christmas Window Displays and Interior Trims— By jo Arthur L. Bowen_________ __ ___!.... ........ .......... ........... .... Advertisements on Deposit Slips— By C. H. Wetterau .... ...~ Z Z 12 Ishpodar Broadcasts Some “ D o’s and Don’t’s”— By Roscoe Macy ... 12 The Law Concerning Inheritance Taxes— By the Legal Editor___ 14 Oldest National Bank in South Has Beautiful New Home___ ___ _ 15 16 Well-known Illinois Banker Heads International Life___ __ _____ Legal Tender Section............. ........ ..... ....... ............ ................. 20 BOND AND IN V E ST M E N T SEC TIO N The Opportunity for Bankers to Build Business Through Investment Service— By Geo. T. McCandless............ . .... ............ ....... 23 The Trend to Insured Bonds— By J. Kenneth Edlin... .............. . 27 Along La Salle Street— By Wm. H. M aas.__ ____ __ _________ 29 How Swindlers Mark Their Prey— By W. R. Morehouse....’’Z Z .Z ~ 31 St. Louis Stock Exchange Transactions..................... ........ ................. 34 An Explanation of Leasehold Bonds— By Carroll S. Felter....Z__...." 39 Olive Street Notes. ..... __ _____________________________ 44 Current Quotations ................ ....... .......... ..... 47 S T A T E N EW S SECTION S Illinois ....... ..................... ... Indiana _______ Kentucky ............. Tennessee _______ Arkansas ............. 55 62 63 64 65 Mississippi . Louisiana .... Kansas ........... Oklahoma Missouri .. ....-........ ......... . - ...... ___ ............. 66 67 68 69 71 Published by the Commerce Publishing Company, 408 Olive Street, St Louis Mo Clifford DePuy, President; James J. Wengert, Vice-President; W m .’ h . Maas V icei President: Donald H. Clark, Secretary-Treasurer. Telephone GArfleld 2138. ’ M EM BER A U D IT BU REAU OF C IR C U LA T IO N S F IN A N C IA L A D V E R T IS E R S ’ A SS O C IA T IO N ’ DE PUY PUBLICATIONS AND TH E IR T E R R IT O R Y Mid-Continent Banker St. Louis Northwestern Banker Des Moines Trans-Mississippi Banker Kansas City Southwestern Banker Fort Worth Life Insurance Selling St. Louis Underwriters Review Des Moines Insurance Magazine Kansas City New York office: Frank P. Syms, 25 West 45th St. Chicago office: Wm. H. Maas, 1221 First National Bank Bldg., phone Central 3591 Kansas City office: G. D. Mlathews, 405 Ridge Bldg., phone Victor 5254 Fort Worth office: Lawson Hetherwick, 409 Fort Worth National Bank Bldg., Phone 2-2513 Des Moines Office: Clifford DePuy, 555 Seventh St., phone Walnut 2201 Minneapolis Office: Frank S. Lewis, 840 Lumber Exchange Entered as second-class matter at the St. Louis post office Subscription rates $3.00 a year; 35 cents a copy Mid-Continent Banker 6 It’s Always Fair W eather Sound Investments In One Railroads: A I R weather for the investor comes from Diversifica tio n -p la cin g his funds in many different kinds of business enterprises, covering a wide territory, so that the combination is proof against disturbances in one industry or one locality. F The 24 corporations listed at the right cover the United States with their operations, and have important foreign interests. They are literally a cross-section of Big Busi ness, with assets totaling $17,000,000,000. Through a single investment, large or small, you can own an interest in these 24 great companies— participate in all dividends, see your investment increase in value with the growth of the country, enjoy tax economy, simplicity, ready marketability. W rite today for booklet “ Shares in America” BROADWAY NEW YORK CITY Pioneers in American Investment Trusts— Representatives in Over 100 Leading Cities IhauBi https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Public Utilities: American Tel. 8C Tel. Cons. Gas. Co. of N. Y. Detroit Edison North American Co. Pacific Gas 8C Electric Standard Gas 8C Elec. Industrials: Am. Car & Foundry American Tobacco Du Pont Eastman Kodak Kennecott Copper United States Steel Westingh’se El. & Mf. Standard Oils: HROCKMORTON 8c COMPANY 165 Delaware SC Hudson Illinois Central Louisville & Nashville New York Central Southern Pacific Union Pacific Standard Oil (Ind.) Standard Oil (N. J.) Standard Oil of Cal. Standard Oil of N. Y. Vacuum Oil Company T w e n ty -th ird Y ear Saint L ouis N u m b er T w elv e D ecem b er, 1927 The Financial Magazine of the Mississippi Valley From How Many Banks Have Some of Your Customers Obtained Loans? T is an undisputed fact that credit losses in the banking business are inevitable. It is also true that a very large proportion of such individual losses affect more than one bank. These losses have been increasing year by year until they have become a menace to the safety of our banking institutions. They reduce the net profits sometimes to the extent of impairing the undivided profits, surplus and capital, causing an assessment on the stock and occasion ally a receivership. The charge-off of a $1,000 note in a half-million-dollar bank may not seem like much of a loss, but that $1,000 would almost take care of all the expenses of that institution for a month, and it also means a 2 per cent extra dividend on $50,000 of capital. Why lose it? It must not be overlooked that we are living in a new era. There has been born during the past decade a new world of business involving new and un heard of practices. Conveniences and rapidity of transportation brought about by the automobile and the hard road are working constantly to change our entire economic structure. Towns which were formerly necessary are passing into the discard. Everything is being made more convenient. Credit is extended to everybody and the installment selling has added to the problem of the banker. I The rural customer prior to this de velopment was of necessity content to do his banking and his trading in the nearest town. Soon, however, he found that it was quite easy to reach another town a little farther off and he began to distribute his purchases, at the same time getting acquainted with the bank ers in the new town. It occurred to him that it might be desirable to keep an ac count in that town in addition to his reg ular account in what he had considered his “ home town.” This multiplied. He divided his bank balance among bank ers in several towns, who welcomed him with open arms and imagined a new and valued customer had been gained. From a depositor to a borrower was but a step and it wasn’t long before he began to borrow from one bank to pay part of the principal and interest on loans at an other bank and also to pay installments https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y M . A . Graettinger Secretary, Illinois Bankers Association on his automobile, his radio or some other household luxury or farm ma chine. And he also learned how to kite checks. Altogether it was a great ar rangement. Conditions Have Changed Only a few years ago it was a simple matter for a banker to keep track of his territory. It was restricted by the dirt road and the horse and buggy. A ra dius of ten miles in those days was the area of any one town’s influence. To T he w o rk of the Illinois Bankers Association in helping organize County Cred it Bureaus has a t tra cted nation-wide attention. Mr. G raettinger, in this article, tells of the advantages th a t have accrued to banks in counties where Coun ty Cred it Bureaus have been or ganized, giving specific instances of dangerous duplication of loans disclosed by checkups of several of the bureaus. T h e artic le is based on a recent speech made by Mr. G ra e ttin ge r before the annual convention of the N e w Mexico Bankers Association. E d ito r’s Mote. practices and a building up of friendli ness and confidence between competi tors. Necessity has made this so and out of this necessity has come the Credit Bureau. After several years of effort the bank ers of Illinois began to realize that it was poor business to deliberately risk such losses and started to figure on ways and means to prevent them. The County Credit Bureau was one answer. But this remedy was not as easily ap plied as the telling about it. All kinds of objections were raised, most of them really hiding the real reasons for oppo sition. Banks in Illinois are fairly close to gether. There are about 1835 alto gether. Small towns have two or more. Competition is keen and, in the past, has developed distrust and fear. Our bankers feared to give their note case information to their competitors. One was distrustful of the other, feeling that in the case of duplication the other would rush out to protect himself leav ing the first to stand the ensuing loss. It looked as if we had to wait for some thing to happen. It always seemed strange to me that we are so unwilling to heed warnings, but must wait for someone to get hurt rather than take steps in time to prevent loss and dam age. W h a t Happened in M arshall County day forty or fifty miles mean nothing. These new conditions have developed unusual competitive practices within our banking fraternity. We are not only competing for deposit liability, but also for loans and we have become to he fearful of letting our competitor, who should be our friend, know of some of our troubles. We would rather lie awake nights than consult him, while he, in his turn, is probably tossing in his bed over the same identical thing. We have covered up this distrust and suspicion of each other and have made ourselves believe we are right. Our ex cuse is that our relationship with our customers is so sacred and confidential that even a name may not be disclosed. There are some who, however, have become alert to the situation. Thought ful, responsible bankers are urging a breakdown of unprofitable competitive Finally something happened. In our now famous Marshall County, the chair man of the county organization there had been dinging the association’s plan and recommendations for credit bu reaus for two years at every meeting. As L»yon Karr, today one of the most enthusiastic boosters, puts it “ nobody would even put a motion. Just sat there like bumps on logs and let him wear his lungs out trying to persuade us to do something and no one would do anything. I was at every meeting; didn’t care a thing about it.” Then the lightning struck— it hit Karr. He bought a farmer’s note from a garage man, after the farmer had re duced it to $1,000. It became past due and stayed that way. Karr sent for the man. He didn’t come in, so Mo hammed went to the mountain. The up shot of it was that the fellow owed $28,- Mid-Continent Banker 8 000 scattered over five banks in the county and in neighboring counties. So at the next meeting of the Marshall County Federation, when Jones brought up the subject of a Credit Bureau, as was his invariable custom, Karr got up and “ moved it.” Thus the first country bank Credit Bureau came into being. In this county there were twelve banks to 15,000 peo ple. On the first check-up 609 duplica tions were disclosed, several of which involved as many as seven banks. To day 18 such bureaus are in operation in the state and as many more just waiting for the gun. The operation is simple and the cosi small. All there is to it is for each bank to send a list of its borrowers and in dorsers to the secretary—names only, no amounts. These are then sorted alphabetically so as to bring the dupli cate names together. A typewritten list is made with key letters or num bers designating the subscribing banks. A meeting is then held at which the bankers discuss the problems presented and decide upon the proper handling of the individual cases. Of course, it (Continued on page 35) Pall-Bearers of Failed Banks No One Should Be Perm itted to Serve as a Director Unless H e Attends T w o-T h ird s of A ll Board Meetings HE Revised Statutes of Missouri, 1919, being the latest consolidated edition of the Laws of Missouri, in Section 11746, speaking of banks, under the caption “ Business Shall be Managed by Board of Directors” and in this and subsequent sections up to and including Section 11759, mentions the qualifica tions and outlines the duties of bank di rectors so clearly that only the indiffer ent or don’t-care type of so-called di rector should fail to know and to do his full duty in office. The Legislature, in making these pro visions for the management of corpora tions, especially banks, intended that the responsibility should be shared equally by every member of a board of directors and never anticipated that a minority group should dominate the practices and customs of the corpora tion to the ultimate injury of the ma jority and possible loss to stockholders and other creditors. T It might be well at the outset to have the meaning of the word “ director,” for I fear that a considerable number of men taking a solemn oath as bank directors do not realize what the term implies. A director is defined as “ One who directs, one who superintends, governs or manages—specifically, one of a duly constituted board of man agers” ; but all too frequently taking the oath is about all some duly elected directors do, except to borrow large sums from the bank, either for them selves or for companies or corporations in which they are interested, and finally wreck the bank. The law provides that there shall not be fewer than five directors for a bank and, if there are sufficient stockholders who can qualify, the active officers of the bank should never be in the majority on the board. Banks run by one man or a set of men, wholly from within the bank’s walls, frequently are found to be unwisely supervised. Every bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y S. L. C an tley Commissioner of Finance, State of Missouri should have a discount or an executive committee which should direct the mak ing and calling of loans, but the action of this committee should be subject to review by the entire board. The board of directors of all banks, except those large institutions that have an executive committee meeting daily or weekly, should be furnished a complete list of all loans every sixty days for their private study and each member should give this list careful considera tion and at the meeting of the directors make his recommendation for addi tionally securing or calling of loans; also whether additional advancements are to be made to any borrower and have all his observations made a matter of record in the minutes. A complete examination of all assets of the bank should be made three times a year by the full board and at every board meeting in which loans are to be passed on, if made, the actual notes should be handled by the board mem bers, unless previously so examined by a reporting executive or discount com mittee. No active officer should be sec retary to the board and a transcript of all depositary accounts should be made monthly by the depositary bank to the secretary and that account ver ified at each monthly meeting of the board with the account shown by the bank. One-half of the time, at least, of the first two or three board meetings, after each annual election, should be given over to a careful reading and discussion of the sections of law above referred to, together with amendments thereto by the Sessions of 1921, 1923, 1925 and 1927, which are found in the Session Acts of the respective Sessions. No one should be permitted to serve as a director who does not attend at least two-thirds of all meetings of the board. Many deposits are made in banks be cause of the personnel of the board and perhaps the member whose personal and financial standing has influenced the most of this kind of deposits attends the meetings once or twice a year, takes no interest in and knows nothing about the bank. Directors are presumed to know and should know the condition of the bank and as between the bank and a third party, a depositor, they are pre sumed to be liable for loss resulting from practices which they have through negligence permitted. If a director has performed his duty in good faith he is excusable, but not for neglect of duty. In the past, but not so much so at pres ent, too many directors were like hon orary pallbearers at a funeral, directors in name only, the difference being that with directors of this type all too fre quently they subsequently become active pallbearers of a failed bank. Summarizing, I should say that the program outlined above will give di rectors something worthwhile to do and should beget an interest in the insti tution they are supposed to direct and will aid mightily in the stabilizing of banking conditions. In a large proportion of failed banks we have found (1) excessive loans, per mitted in violation of law; (2) excessive borrowings by officers and directors, either directly or by companies or cor porations in which they, as individuals, were interested; (3) no supervisory con trol exercised by the directors leaving management to one or two inside indi viduals; (4) indifference, downright negligence or reciprocal favors granted each other, and failure to exercise any initiative or individuality as directors; and (5) failure to heed recommenda tions and to co-operate with the bank examiner and the Department of Fi nance. St. Louis, December, 1927 9 The Effect of the Live Stock Market on Banks in the St. Louis Territory HE territory tributary to the St. Louis market is one of the richest sections in the United States. Reaching, as it does, from the northern boundary of this country to the south ern, it produces practically all the prod ucts of the soil. St. Louis, which is the logical marketing center for this vast area, has grown to where it occupies an enviable position; it having prospered during the past fifty-year period in the same proportions that the territory which it serves as a marketing center has prospered. A great many large in dustries have sprung up in St. Louis as the result of its central location, mak ing it a good distributing point for the products manufactured and sold in this district. The prosperity of the people living in this district has made the growth of these large industries pos sible. T Of the many and various industries in St. Louis, the livestock industry is the largest. During the year 1926 there were 1,526,278 cattle, 3,535,986 hogs and 635,600 sheep marketed at the St. Louis market. This volume of livestock mar keted represented an outlay in cash of approximately $150,000,000.00 and is a very important part of the growth of St. Louis industries. Of this $150,000,000.00 paid out for livestock at this mar ket, $75,000,000.00 of it represents the cost approximately of the livestock mar keted, while the other $75,000,000.00 rep resents the money received for the feed put into the livestock and a part of the purchasing power of the people of this territory. Therefore, as the raising of livestock increases or decreases in this section, so do the opportunities for the various businesses located in St. Louis to sell the people of this district their manufactured articles increase or de crease. By reason of this fact the in- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y W a lte r H . Land Vice-President, The National Stock Yards National Bank, National Stock Yards, Illinois dustries located in St. Louis are vitally concerned in the livestock business as a whole and in most instances are willing to co-operate with the different agencies to bring about improvement, not only in the marketing of livestock, but also Walter H. Land in the methods of raising and feeding, which tends to increase the efficiency of the industry as a whole. Within the past fifty years some very large and strong financial institutions have sprung up in St. Louis and from the figures already given regarding the livestock industry you can readily see what an important part in the growth of these financial institutions this in Left: Interior View of The National Stock Yards National Bank □ □ Right: View in the stock yards, National Stock Yards, Illinois dustry has been. The bank which I rep resent is a direct result of the market ing of livestock in St. Louis, it having originally been organized for the spe cific purpose of creating a clearing house for the sale of livestock on this market and while that is still the principal business of this bank it has entered other channels of the banking business, which have increased its volume ma terially until its resources now count among the largest banks in the state or Illinois. A large part of the business handled in a day at this bank represents the pro ceeds of livestock shipped to this mar ket. For the purpose of taking care of these proceeds the same day the stock is sold, this bank remains open until five o’clock in the afternoon and the commission firm handling that sale places the proceeds, in a great many in stances, in the bank for the credit of the shipper’s bank in the country. This puts the handling of the proceeds of the livestock shipments on an absolutely cash basis by transferring the liability from the firm making the sale on this market to that of the bank, and because it is handled in this manner it creates a balance for that country bank in the reserve center where that balance can be counted as a part of its cash reserve, thereby entering the regular channels of that bank’s business immediately and benefiting, greatly, the interior bank. This not only applies to the bank located at the stockyards, but also to a great many of the downtown banking institu tions. They handle a great deal of the proceeds of the livestock handled at this market in much the same manner as the bank at the stockyards. In a great many instances throughout this Mississippi Valley the farmer raises (Continued on page 45) 10 Mid-Continent Banker Attractive Christmas W indow Displays and Interior Trims for Banks ENTION Christmas and at once Santa Claus looms over the hori zon. Today with the modern ists’ conception of “ good design” we are in many ways leaving the traditional behind. The motif of Christmas display work still centers around St. Nicholas and his many gnomes, however. We have been asked to describe a few of the most easily made and perhaps after all the most practical type of Christmas window exhibits we have had the pleas ure of using. Below are explained four types of displays— displays which got attention, but did not necessarily mean a big expense and preparation. They did take thought and attention to detail. M Frequently architects, home builders or real estate firms have in their pos session miniature homes built to scale. If you have the good fortune to be in a position to secure the loan of such a home, then you have the nucleus of what might be a similar display to that shown in illustration No. 1. This dis play was built with the aid of old paper, some rags, and a quantity of granulated sugar (salt can be used to better advan tage). An undulating stretch of garden served as a floor to the window. The effect secured with the improvised snow was that of a day following a snowstorm, with snowdrifts and embank ments. To one side of the window, carefully placed to avoid centering, stood the miniature home, lit by an elec tric bulb placed inside, giving indeed a warm homey feeling. St. Nicholas, with sled drawn by reindeer, was seen ap- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B y A rthur L . B ow en State Bank of Chicago proaching the home from over the hill. His load, in addition to a bag of toys, consisted of a “ home savings bank.” A group of Santa’s gnomes awaited around the house, perched or reclining in the most unexpected places. Everything awaited the arrival of their jovial mas ter. Most noticeable was the ladder placed on top of the sun porch of the home, and reaching to the chimney top. A border to the display was formed through the use of holly decorated boxes given with our “ home savings banks” during the Christmas season. On the top of these boxes were placed the banks themselves. This stunt, in addition to securing a clean effect, also emphasized the idea behind the exhibit, that of opening a savings account for the pur pose of presenting as a Xmas gift. Blue crepe paper was used to cover the back of the window. Silver stars placed in an irregular manner toward the top of the window at the back (stuck on the crepe paper) secured the feeling of a moonlight and starry sky. The lights overhead were hidden by a strip of crepe paper icicles, completing in detail the picture portrayed. Additional interest was secured through the information given on a placard placed to one side of the window, which told of St. Nicholas, something regarding his history, and the name under which he is known in various countries. The second display (Illustration No. 2) consisted of three frames placed on Illustration No. 1 a plateau raised a few inches from the floor of the window. These frames held cheerfully colored matboard on which were mounted three very interesting colored prints picked up in a local art store. Our show card artist put a border and a little decoration around these, and the effect as a whole was very pleasing. The center panel had a piece cut out at the bottom, in which was placed a separate card bearing the mes sage, “ God Bless Christmas.” Follow ing Christmas week this card was sub stituted by another with the words, “ Happy New Year.” Thus by taking out a few of the smaller cards in the dis play we were able to convert our Christ mas window into a New Year exhibit. On either side of the center arrange ment described were placed conven tional candlesticks and holly wreaths (material used in a previous Christmas window). For material to cover the floor we used a combination of white and red cotton crepe (about 30c a yard). Here and there were placed tinted pine tassels upon the cotton crepe. At the foot of the panels and on the plateau were placed nicely wrapped boxes con taining home savings banks. Small cards indicated that these packages were Christmas presents for “ Daddy,” “ For Mother,” “ For Sister,” “ For Broth er,” “ For Baby.” A half open box with ribbon untied and tissue paper turned back displayed to view a “ home sav ings bank,” suggesting, of course, that a practical present for anyone in the fam ily would be a savings account with a St. Louis, December, 1927 11 Illustration No. 2 nice initial deposit, together with a home savings hank. The final effect of the display was secured by sprinkling over the whole exhibit artificial snow, which under the overhead lighting glistened and made a very attractive appearance. The third display (Illustration No. 3) was very similar in detail to the second exhibit described, with the exception that the centerpiece consisted of min iature stage setting, with Santa and his gnomes arranged thereon. A fourth type of exhibit, and one which proved very popular, was that in the nature of an industrial story tied up with the Christmas season. Through the courtesy of a nationally known skate manufacturing firm, we were able to secure the story of the manufacture of a skate shown step by step in order of sequence from sheet of metal to fin ished skate. This material, as can he seen in our illustration, was mounted on a board and placed in the center of the window. Each part of the story was named and carefully explained on small https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis placards. A bright poinsetta placed at the upper left hand corner of the board stood out in nice contrast to the green felt with which the board was covered. At the foot of the centerpiece were placed two hockey skates, one dating from 1900 and the other the latest make. On either side of the window were ar ranged photographs of nationally known people in the skating world. At extreme ends of the window on easels stood placards with such copy as “ A savings account is an appropriate gift for your boy or your girl”— “ A savings account is a gift that shows real thought.” Again use was made of artificial snow by sprin kling it over the white and red cotton crepe used as a flooring (artificial mica snow, non-inflammable, 10c per pack age). Lobby or In te rio r T rim s . Quite a few banks erect huge Christ mas trees in their lobby or building foyer, and in some ways this type of decoration is more effective than using a great deal of smaller material all Illustration No. 3 around the banking quarters. A very dignified appearance is secured by hanging a few really good wreaths in the most advantageous places around the bank. Florists speak of wreaths as being one-sided or two-sided. Of course, the two-sided are only needed in places where wreath will be seen from both sides. B'oxwood is used to a considera ble extent in making wreaths, and in some ways it is more practical than holly, for it does not dry up so quickly. A wreath of boxwood can be enlivened by the attachment of artificial red holly berries. Roping of pine leaves with cones attached can be bought by the yard at most florist shops. This ma terial lends itself well to looping from point to point, along the tops of cages or around the walls of a room. In the larger cities almost any type of artificial Christmas wreaths, floral sprays, etc., can be obtained at very reasonable prices, considering the type of material, especially when it is remembered that (Continued on page 30) 12 Mid-Continent Banker Advertisements on Deposit Slips Call Attention to Bank's Many Services OR some time we have been con cerned in our banks over the waste of supplies on our check desks. We have noted that it is the practice of many of our customers to use our neatly padded deposit slips as figuring pads not only in the bank, but many people take large quantities of them away from our office and they have, no doubt, been used for the same purpose. It occurred to us that if we could find some profitable use for the back of our deposit tickets for our in stitution, we might thereby eliminate considerable waste. F B y C. H . W etterau Vice-President, American National Bank, Nashville, Tennessee For many years it has been the prac tice of banks to attempt to cross-sell the departments of their own institu tions to their customers either through advertising presented by the tellers, or enclosed in the customer’s statements. For many years we have worked along this line, but we have also found that in the rush of business of accepting depos its, paying checks and passing our state Visible Security Insures Against Loss IQ U I T A B L E E' First M ortgage Real E state G old Bonds fur nish security in the form of valuable buildings and g ro u n d , which m ay be seen, inspected and appraised, and which cannot be re organized, merged or manipulated so as to lose or impair the value. For reliable, certain investments at a good rate of interest, Real Estate Bonds are without an equal. It is the policy of this organization to offer only the m ost conservative securities, and to endeavor at all times to obtain for our clients the highest rate of interest consistent with Equitable standards of safety. Equitable s e r v ic e w ill safeguard EQUITABLE BUILDING your future. M a y we send you a copy of our new book, “Build with E quitable,” without expense or obligation to you in any w a y ? W e believe this book to be the finest of its kind ever published. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Ruttatile; B O N D & M O R T G A G E CO. EQUITABLE BUILDING 180 W . W ashington St. CHICAGO ments, the tellers very often neglect to co-operate with the advertising depart ment in the distribution of the litera ture. i It then occurred to us that the back of our deposit tickets could be utilized most advantageously to do two things. First, to reduce the waste which has heretofore prevailed as above described, and second, to sell to our commercial customers the other departments of our institution. We have found that by purchasing our deposit tickets in mil lion lots, we could imprint the back of each deposit ticket, during its manufac ture, with advertisements describing the several departments of our bank and the benefits to be derived from their use with very little additional ex pense, and we felt that this added ex pense would be much more than offset by the saving of waste. These deposit slips are manufactured m sheets of fifteen, which gives us fif teen different advertisements on the re verse. The deposit slips are padded. Each advertisement is kept to itself so that we can draw on our reserves for any particular type of advertisement which we desire on our counters at any given time, and it is our practice to change the advertising on our check desks often, so that each department of the bank will be well advertised. On the bottom of our deposit slip we have printed the word “ over” to call attention to our advertising, and on the reverse we have printed the same word to call attention to the deposit slip. This plan is new with us, having only been in use for a few weeks, but the at tention which it has secured and the in terested comments have prompted me to explain the plan for the benefit ot any of the members of the Financial Ad vertisers Association who may be in clined to use it. I sometimes think that the purchasing department of a bank and the advertis ing department do not work close enough together in many instances, for there are many economies which could be worked out jointly by these two de partments along the above line which would prove of mutual advantage and not only save money for the bank, but increase the value of the advertising of the institution and thereby the results attained in each department, to the profit of the institution as a whole. Reprinted from a recent issue of The Financial Advertisers A ssociation Bulletin St. Louis, December, 1927 13 Ishpodar Broadcasts SO TflC “DO ’S and D O N ’T ’S” By ROSCOE M A C Y A continuation of the banking rules laid\ down by the spirit of Ishpodar, \eeperof the I royal counting house ofthe King of Shec^em/ ( 1. And Ishpodar opened his mouth and spake again, saying, 2. Scorn not the widow’s mite, but send her unto the Savings Department; suffer her not to open a checking ac count with it. 3. Close thou thy bank to the checkcasher at the appointed hour, but if the note-payer cometh and knocketh in the eventide, even at the eleventh hour, let thy door he opened unto him. 4. Be thou on thy toes if thy cus tomer buyeth corn for future delivery upon the board of trade, and if he selleth it likewise, for he only layeth up misery for his creditors, 5. Take thou therefore a mortgage Says Ishpodar: “ Close thou thy bank to the check-casher at the appointed hour, but upon the beasts of his field and the if the note payer cometh and knocketh in the eventide, even at the eleventh hour, let thy door be opened to him !” fowls of his chicken-yard, and upon the 1927 and 1928 crop, and upon his vine choicest viands and the sparkling wines. tachment upon the crops of his former yard, subject only to prior liens. Let them eat rather of unleavened bread customer for ten talents of gold, and if Don’t Forget the Chickens and pulse, and bitter herbs, that they thou hast made the loan, thou wilt be 6. And in the covenant of mortgage, may approve thine economy. Give thy in the soup. cover thou his ox and his ass, his bul bond-servants also the evening off, that 16. Woe unto him who overdraweth thy wife may be gracious, yet fatigued lock and his ram and his she-goat; yea, his account, and then casheth his next withal. even his cock and his hen include thou pay check at the cigar store. them. For thou knowest that if thou 17. And woe unto him who borroweth Means Salary Boost includest part and omittest part, verily an hundred shekels to buy a cow, and 11. Then, when the new year cometh, it shall come to pass that what thou in they are like to give ear to thy plea for maketh a payment on the car therewith. cludest shall die and wither away, but 18. But blessed, thrice blessed, is he a boost in salary. what thou omittest, it shall wax fat and who rideth in an 1895 buggy behind a 12. Be ever diligent, and mindful of be nourished abundantly. span of dun mules until he hath paid thy duty to thine employers; be thou es 7. Look not upon the Profits account his debt to thee, even unto the uttermost pecially diligent in November and De when it is red; when it giveth its color farthing. cember, for the sake of thy Christmas to the rumor of insolvency, for the day 19. For he shall prosper in the days bonus. of reckoning draweth nigh. to come, and his daughter shall wear 8. Go thou to the tabernacle on the 13. Hearken not to the cavillings of purple and fine linen, and his son shall him who kicketh on the service charge; Sabbath day, for thy director passeth play fullback at the agricultural col let him weep, and wail, and gnash his the collection plate. Therefore, place lege. teeth, but stick thou him for his fifty thy shekel in the plate at the appointed 20. Renew the pen points on thy cus cents notwithstanding. time, and on the morrow he will bring tomers’ desk in due season, lest they to thy bank fifty shekels in nickels and 14. Nor yet hearken to thy new cus rust and cleave to the holders, so that pennies for thee to wrap. tomer who vaunteth the virtues of the thou prickest thy finger when at last 9. Blaspheme not thy competitor, cashier of the bank he has just left, and thou drawest them out, and blood-poison hut take him unto thy bosom, for per telleth thee that he could always get all setteth in. chance he would like to work with thee the money he wanted there, and then 21. Woe unto him who teareth a de instead of against thee. And the time striketh thee for an unsecured loan, yet posit slip in small pieces and casteth it will come when thou wilt have need ot objecteth to giving thee a financial state not into the waste-basket, but scattereth his services, even as he of thine. ment, it about over the floor. 10. It were meet that thou shouldst 15. For verily, I say unto thee, that entertain thy directors in thy home on ere the snow flieth, the virtuous cashier T h e Nicotine Curse occasion, but set not before them the of whom he speaketh will run an at 22. And woe unto the customer who https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mid-Continent Banker 14 cheweth tobacco, yet goeth not to the back door when occasion ariseth. man among ten thousand, and his banker shall sing loud hosannas in his 23. Blessed is he who payeth his name. note when due, keepeth a goodly bal 24. Keep thy books in balance and ance, hath confidence in his bank and thy note-case clean, and thou shalt be re praiseth it openly among his neighbors, classified by the bank examiner. doeth his banking in banking hours, and 25. Let him who carrieth no over keepeth his stubs withal; for he is a drafts in his cash-box be the first to criticize his competitor’s statement. 26. The favor thou grantest to the stranger by cashing his check shall be returned to thee with interest—in the form of protest fees. Bread cast upon the waters, saith the prophet, shall re turn again, on account of insufficient funds. Selah. The Law Concerning- InheritanceTaxes W h eth er or N ot a Gift Is Made in Contempiation of Death Is a Fact for the Jury to Determine NHERITANCE TAXES are of ancient origin. This method of taxation was first known in Egypt some seven centuries before the birth of Christ, and were subsequently brought into Rome by Emperor Augustus, 6 A. D., and sug gested by him to the Senate as a means of producing revenue for the support of the Roman army. The tax was five per cent. According to Gibbon, the tax was fruitful and comprehensive. It was in troduced in England in 1780, and first adopted in the United States in the state of Pennsylvania in 1826. Nearly all of the states of the United States are now imposing taxes upon transfers occa sioned by death where property is dis posed of by will or under the intestate laws of the particular states. They are known as legacy taxes, succession taxes, estate taxes, probate duties and death duties, but are generally referred to as an inheritance tax. The United States Government has also resorted to this form of taxation. The first Federal law enacted by Congress was the Revolution ary War Act of 1797. Then came the Civil War Tax Act of 1862; the SpanishAmerican War Tax of 1898, and finally the present Estate Tax Law of Septem ber 9, 1916, which has been amended many times since the date of the original enactment. The tax is not a property tax, but is a tax upon the testate or intestate trans mission o'f the title to property as in in cident of death. It is a tax imposed upon the right of the decedent to trans mit the title to his property after death to his heirs at law or the beneficiaries under his will, and is sometimes said to be a tax upon the right of the beneficiary or heir to receive the inheritance. At any rate it is a tax upon the transfer of the title to property from the hands of the dead to the hands of the living. The constitutionality of these stat utes has been very generally sustained. It is not necessarily an exercise of the taxing power, nor is it an exercise over the right of descent and distribution of property. It is merely an exercise of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I By the Legal Editor the sovereign right of the state to con trol the disposition of property at or after the death of its citizens. The Federal Supreme Court in an early case has held that Congress has the power to levy a tax of this char acter, contending that the power of Con gress extends to all usual objects of tax ation. The state laws have also been sustained as a constitutional exercise of the legislative power of the state. There are four principal transfers subject to the tax, namely; transfers under the intestate laws of the state; transfers by wills; transfers made dur ing the life of the donor in contempla tion of death, and transfers made dur ing the life of the donor intended to take effect in possession and enjoyment at or after his death. The entire personal estate of the de cedent is usually taxed at his domicile, and in addition to this tax if any por tion of the personal property, such as bonds or securities of a like nature, are located in another state, such securities are also generally taxed in that state. Corporate stocks are usually taxed at the decedent’s domicile, and also under the laws of the state where the corpor ation is created. As a rule, real estate can only be taxed by the state in which it is situated, although a few of the states have tried to tax foreign real es tate under the doctrine of equitable con version. The tax is imposed at the time of death and generally the provi sions of the law existing at that time will control. Whether or not a gift is made in con templation of death is a fact for the jury to determine. Contemplation of death does not mean that expectancy of death which every mortal entertains of ulti mate dissolution, but is rather that men tal attitude expectancy of death which actuates the mind of the testator upon the execution of his will. All matters surrounding the gift thought to have been made in contemplation of death are pertinent subjects of inquiry. It is proper to ascertain the state of health of the donor at' the time of the gift; his mental and physical condition; the re lationship between himself and the beneficiary and the length of time he survived after making the gift. If a person in poor health, having been ad vised by his physician that he cannot live long, were to make a gift of his whole estate to his wife, it is almost cer tain that such a gift would be held to have been made in contemplation of death. On the other hand, if a person in good health, in the prime of life, were to give a substantial portion of his estate to his children in order that they might enjoy the same while they were living, it is not likely that such a gift would be held to have been made in contemplation of death. Whether or not a gift was intended to take effect in possession and enjoyment at or after death, is a question of law for the court to decide. If the donor re serves the right to revoke the trust in strument under which such a gift was made, or to revoke the gift or reserves a life income in the property given, unto himself, such a gift would be construed to have been intended to take effect at his death. This is true for the reason that if he reserves the right to revoke the gift he controls the gift during his lifetime, and if he reserves all of the in come from the property given, there can be no enjoyment of this property until after his death, and consequently these transfers are taxed as transfers occur ring at the death of the donor, though the gifts were made during his life __________________ time. It’s good to have the things that money will buy but it’s good to check up once in a while and make sure that we haven’t lost the things that money won’t buy.— George Horace Lorimer. Pride excites pride and the resistence of pride.-—B'eecher. St. Louis, December, 1927 15 Oldest National Bank in South Has Beautiful New Banking’ Home HE beautiful new borne of the First National Bank, Kentucky Title Trust Company, Kentucky Title Company and affiliated organiza tions, Louisville, Kentucky, was thrown open to the public the first week in November. During the three days of the opening President Embry L. Swearingen of the several institu tions and his associated officers were hosts to thousands of their friends in Louisville, as well as those from the banking field in Kentucky and from dis tant points beyond its borders, who came to help celebrate these gala days. T In addition there Avere many friends and concerns in and out of Louisville who gave expression to their good wishes with beautiful flowers which adorned the lobby and the desks and of fices of the officers during the opening. The spirit of the occasion was fitting ly expressed in a 48-page souvenir his tory of the combined institutions enti tled “ For Louisville’s Tomorrow,” in which they voiced the hope that their helpfulness might continue to be a fac tor in the progress and advancement of their home city. While one of the wings of the “ L” shaped building has been completed for some months, the completion of the other wing disclosed to the visitors a banking room of such size and beauty Interior Market Street wing of the new home of the First National Bank and Kentucky Title Trust Company, Louisville. as to evoke expressions of spontaneous admiration. Twenty-six columns flank the spacious lobby, walnut stock of such length be ing required that four states had to be scoured to provide an adequate supply. The low open banking screen is of the same beautiful wood, finished to bring out all of its soft, dusky beauty. The officers’ spaces are enclosed by a low Fifth Street and Court Place exterior of the new home of the First National Bank and Kentucky Title Trust Company, Louisville. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis railing and are readily accessible. The two wings at right angles to each other total a full 300 feet in length. Through out the banking room gives unmistak able expression to the spirit of hospital ity which the officers sought to capture in their planning when they departed from the classical Greek and Roman models in stone and marble and em ployed instead a native American wood in finishing the bank interior. The building is Georgian. The ex terior is of Colonial red brick with white Georgia marble trim, after- the traditions of the Southern colonial arch itecture whose standards were set by Thomas Jefferson in his own beloved Monticello, and that architectural gem, the University of Virginia. It is in keeping with the best building tenden cies of the South today. The building is constructed of reinforced concrete and steel, wholly fire-proof, and the equipment throughout is of the most modern type now employed in metro politan banking houses. The structure is built around the southwest corner of Fifth and Market streets. Three corners of the intersec tion are occupied by banking contem poraries, one of them the Louisville branch of the Federal Reserve Bank. The main wing on Fifth street, fronting east, has a width of 78 feet and a depth of 140 feet along Court Place, which separates the site these institutions have occupied for many years from Courthouse Square to the south. The (Continued on page 33) Mid-Continent Banker 16 Well Known Illinois Banker Now Heads International Life Insurance Co. R oy C. Toombs AST June, Roy C. Toombs, presi. dent of the State Bank and Trust 1Company of Downers Grove, Illi nois, and of the Toombs & Daily Co., in vestment securities dealers of Chicago, acquired a controlling interest in the In ternational Life Insurance Company, and now announcement has been made of his election to the presidency of the company. Mr. Toombs started his career in the small town of Winfield, Kansas, a bare twenty years ago, and there is inspira L tion for everyone in the achievements he has won. At the age of forty he heads a bank with resources of more than $1,350,000, an investment security company with assets of more than $6,640,000, and a life insurance company with more than $300,000,000 of insurance in force. After acquiring control of the Inter national Life in June, Mr. Toombs spent nearly five months in an intensive study of the affairs of the company before as suming the presidency. At the board meeting at which he was elected president, resignations were ac cepted from all old directors excepting Mr. Toombs and his brother, and in their places were placed young officers and department heads who are in daily touch with the administration of the com pany’s affairs. Five of the International’s new direc torate are old in the company’s service, but have not previously served on the board of directors. W. F. Grantges, vicepresident and general manager of the company’s large agency organization; Dr. George F. Rendleman, medical di rector; W. J. Hampton, vice-president and chairman of the underwriting com mittee; G. A. Youngerman, manager of the re-insurance department; and S. O. Kennedy, comptroller, all of these are now on the board of directors, and with these men should be mentioned the W. F. Grantges name of W. G. Darst, who is now con nected with the company and who previ ously was associated with Mr. Toombs as assistant treasurer of Toombs & Daily Company. The other six members of the Inter national Life’s new Board, each of whom will be active in administration of its affairs, are President Toombs himself; a brother, George E. Toombs, who has been elected vice-president and treas urer; E. F. Morgenstiern, vice-president and director of personnel; Thomas J. Mc- Snapped at the Financial Advertisers Association Convention at W e s t Baden Below are the new officers of the Financial Advertisers Association. Lower left is C. H. Wetterau, First Vice-President of the American National Bank, Nashville. Lower right appears E. A. Hintz, Treasurer of the Peoples Trust & Savings Bank, Chicago. In the center, from left to right, is A .’ E. Bryson, Second Vice-President of Halsey, Stuart & Company, Chicago. Next is F. R. Kerman, Third Vice-President, from the Bank of Italy, San brancisco. Then Clinton F. ____________________ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis St. Louis, December, 1927 Reynolds, Sr., vice-president in charge of the company’s real estate loan depart ment; Judge Charles G. Revelle, a for mer Missouri insurance commissioner; and Ed. Mays, president of the Grand National Bank of St. Louis, and newly elected president of the Continental Life Insurance Company. Of particular interest to agents throughout the country is the news that reorganization of the International’s official family includes the continuance of Vice-President Grantges as general manager of agencies. The latter is the company’s oldest officer in point of serv 17 ice, and tremendously popular with its hundreds of producers throughout the forty states in which the International operates. Mr. Grantges commenced his career at the age of sixteen in a bank at Ma con, Missouri, whence he migrated to St. Louis in 1909 and started with the International Life as cashier. Subse quently, he was made assistant secre tary, later secretary, then superintend ent of agencies in 1922, and finally vicepresident and general manager of agents in 1925. (Continued on page 19) Handling Peak Loads Holderness Made Member of Indian Tribe The First National Bank in St. Louis held an unusual stunt in its lobby re cently. Chief Two Guns White Calf, whose profile appears on the reverse side of the beginning o f the year bank forces are under pressure because o f the greatly increased number o f transactions to be han dled. For this Company the increase in coupon col lections alone at that time is approximately 300 °fo. Therearealso lesser peaks on certain days o f the month and at the begin ning o f each quarter. A Buffalo nickels, accompanied by 35 of the Piegan and Blood tribes of Blackfoot Nation of Indians, came into the bank dressed in their typical costumes of feathers and frills and made M. E. Holderness, one of the bank’s popular vice-presidents, a member of their tribe through their usual ceremonies. Among other things the Indians were shown just how the Buffalo nickels, with their chief’s portrait, are placed in wrappers for public distribution, with the aid of a wrapping machine, after which time the Indians entertained a huge crowd of spectators in the bank’s lobby with their unique dances. M. E. Holderness shaking hands with Chief Two Guns White Calf. The Indians were brought to St. Louis through the courtesy of the Baltimore and Ohio Railroad en route to their home reservation, Glacier Park, Mon tana, from Baltimore, Maryland, where the railroad held their centenary and pageant. t A m erican E xchan ge Irvin g T ru st C om pan y takes care o f these peak loads through part time forces. Experienced work ers, whose services are then available by special ar rangement, put these addi tional items through with speed and accuracy. Thus , even during peak loads this Company main tains its high standard ot service forcorrespondents and their customers. O U T -O F -T O W N A I m e r ic a n r v in g T E rust OFFICE xc h a n g e C o m pa n y W ool worth Building, N ew York M. E. Holderness, vice-president of the First National Bank in St. Louis, and Chief Two Guns White Calf, whose profile appears on Buffalo nickels, with some of his band of 35 members of the Pigeon and Blood tribes of the Blackfoot Nation of Indians who recently visited the bank. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mid-Continent Banker 18 Midland Bank Opens New Head Office Building The first section of the new head office building in Poultry, London, E. C. 2, is nearing completion and the banking hall on the ground floor is now open to the public. Ultimately the new head office building will extend from St. Mil dred’s Court to Grocer’s Hall Court in Poultry, with a frontage of 190 feet, and Why Do They Pick Our Company? Well, there are many reasons, of course — but space permits us to list just 15 of them— here they are, read ’em: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Non-Medical Monthly Premium Juvenile Policies Payor Insurance Salary Savings Participating Non-Participating Sub-Standard Female Insurance Sales Promotion Dept. Educational Course Direct Mail Advertising Salesman’s Folio School for General Agents Accident and Health New head office of the Midland Bank through to Princess street, where it will have a frontage of 116 feet. The por tion now in occupation covers roughly one-third of the area comprised in the scheme. The building, when completed, will contain ten stories and a total floor space of over six acres, providing ac commodation for a staff of 2,400. The elevations are being carried out in Port land stone. Above the cornice level the building will set back in two tiers leading up to the shallow domes which The coupon below, or a letter will bring many others to you. are to be the central and crowning fea tures of each of the frontages. The top of each dome is 137 feet above pavement level and 200 feet from the deepest por tion of the concrete foundation. The lowest basement of the building will be reserved almost entirely for en gineering requirements, including oil fired boilers, three deep wells and pumps, water tanks, etc., apparatus for purifying and ozonizing the air to be dis tributed throughout the building, vac uum cleaning apparatus, electric trans formers, switchboard room, etc. The second basement is taken up chiefly by strong rooms, book rooms and stores, while that immediately below the ground level will be used for safe deposits and additional strong rooms. This latter basement contains a long corridor, lighted by a circular marble opening immediately under the center of the main light well, and numerous rooms, carried out in walnut, for the examina tion by customers of deeds and boxes, and a large safe deposit entered by an 8-foot circular strong room door, weigh ing nearly thirty tons. The ground floor, which will be de voted entirely to general banking busi ness, is being carried out in white mar ble and green verdite, the wall filling being in white and veined marble and the shafts of the columns in green Afri can verdite, with white marble bases. The entrance lobby and joinery through out is of figured American walnut. The center portion of the banking hall when completed will be lighted by a well cov ered in with a coved roof 80 feet long and 40 feet wide. At the west end of ABRAHAM LINCOLN LIFE INSURANCE COMPANY (F orm erly M u tu a l L ife o f Illinois) Home Office Springfield, Illinois H . B. H IL L , President P — — — — — — — — — — -| I F. M . FEFFER, V i c e - P r e s i d e n t — A g e n c y D ir e c t o r I ■ I Abraham Lincoln Life Ins. Co. Springfield, Illinois. I I ■ ■ I | G e n t le m e n : I a m in t e r e s t e d . K in d ly s e n d m e i n fo r m a tio n r e g a r d in g your B a n k ers’ A gen cy co n tra ct: □ Illinois D ln d ia n a ■ ■ I _________________________ □ I ° wa (N a m e ) □ M ich ig a n □ M i s s o u r i __________________________ D O h io (A d d r e s s ) . M .C .B . C . ----------------------------------- — — — -J https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis . ■ Interior of the new head office of the Midland Bank. St. Louis, December, 1927 the hall there is a marble staircase lead ing to the safe deposits and strong rooms in the first basement. The first, second and third floors will be devoted to clearing, correspondence and other head office departments. The fourth floor will eventually be occupied by the chairman, managing directors and managerial staff generally, while the fifth will comprise the board room, committee rooms, etc. On the sixth floor there will be staff dining rooms, smoking rooms, kitchens, rest rooms, etc. When completed the building will be served by thirteen lifts and five stair cases. The joint architects are Sir Ed win Lutyens, R, A., and Messrs. Gotch & Saunders, and the former is responsi ble for the design of the front elevations, the banking hall with marble staircase, the safe deposit in the basement, the board room and the managerial offices. The design for the facade in Poultry has been on exhibition at the Royal Academy. W ell K n o w n Illinois B a n k er H eads In tern ation a l L ife Insuran ce C o. (Continued from page 17) The International Life was writing $3,000,000 a month in new business when Mr. Grantges took charge, where as its agents are now producing at an average rate of $10,000,000 a month. These totals indicate that the Inter national is represented in the field by an aggressive organization. The com pany’s ranks already include several producers who regularly write more than $1,000,000 of new insurance a year, and at least a dozen others with production records in excess of $750,000 annually. It has quarter-million-dollar agents scat tered all over the country, and ever and anon the International’s Home Office or ganization is devoting its best efforts to providing its field men with facilities that will help them make more sales, and, therefore, more money. The com pany’s present assets are in excess of $40,000,000, of which more than two mil lion dollars is surplus. The International Life now has insurance in force reach ing $300,000,000.00. Pride is a fault that great men blush not to own; it is the ennobled offspring of self-love.— Bailie. There is no passion which steals into the hearts more imperceptibly, and covers itself under more disguises, than pride.—Addison. Only a friend can become an enemy. A relative is one from the start.—Rob ert A. Simon. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 19 Mid-Continent Banker 20 _________ émm_____ g L E G A L I? ST E N D E R I ES F o f th Official Publication AMERICAN INSTITUTE if BANKING VOLUME D E C E M B E R , 1927 12 A . C. R I E D E L L , E ditor N ational B ank of C om m erce H . J. B R E N N E R , President ' International B ank . NUM BER; G E O . C. D O E R I N G , A ssocia te E ditor G rant State Bank L O U I S E . W A L T E R , E xecu tive Secretary 323 M erchants L aclede B ld g. N o tices intended for publication should be in the hands of the E ditor or the E xecu tive Secretary the tw entieth of each m onth. W r it e on only one side of paper and double space. Chapter H eadquarters, 323 M erchan ts Laclede B ld g . G A rfield 9540 L E G A L T E N D E R is published to prom ote g o o d fellow ship a m o n g Chapter m em bers ; to record the activities of the C hapter generally, and to m aintain the high ideals of the A m erican Institute of B an king along educational lines of endeavor. Public Affairs Trip to Vincennes, Indiana By Frank Ryan Chairman, Public Affairs Committee Any member of the St. Louis Chapter, A. I. B„ who did not make the trip with us to Vincennes, Indiana, on Sunday, October 30, missed a big opportunity for having a real good time. The event was an outstanding success in every way. The weather was ideal. The train service and equipment was excellent. The visit to the Refinery at Lawrenceville, Illinois, was most inter esting. The food, speeches and enter tainment at the Vincennes banquet were top-notch. And, above all, the hospital ity extended to us by the City of Vin cennes and its notables and the big way in which they entertained us was un paralleled in the history of public affairs trips. Our A. I. B. “ Special” pulled out of Union Station at 7:00 a. m. with a jolly crowd of young bankers and bankerettes, all set for a big day and a happy time. Once across the Eads bridge and past the East Side train yards, we sped on our way, making record time all the way to Lawrenceville, Illinois, where we de trained and went through the plant of the Indian Refining Company. This proved to be a very interesting visit, especially to those who were pro vided with capable and efficient guides who could explain fully the different processes and methods used in refining of crude oil and the production of its many by-products. much handshaking and exchanging of greetings, we were taken in automobiles on a winding trip across the city to the large Auditorium, where we were to have dinner. Incidently, there were twice enough cars provided by the peo ple of Vincinnes to carry our crowd, all big cars, too. The dinner was just right. There was fried chicken for everybody. Music dur ing the meal was furnished by the High School Orchestra. There were vocal solos by several of the talented young ladies of Vincennes. After the eats came the speeches. The speakers were Claude E. Gregg, Mayor of Vincennes; Curtis G. Shake, Indiana State Senator and president of the Vincennes Kiwanis Club; William M. Alsop, pioneer banker of Vincennes; John Napier Dyer and D. Frank Culbertson of Vincennes. The St. Louis speakers were Harry Brenner, president of the St. Louis Chapter, and Frank Ryan, chairman Public Affairs Committee. More than one hundred Vincennes men and women attended the dinner. Leaving the banquet hall, we visited afoot their historic library and old Cathedral, after which we were taken in cars to visit the old homestead of William Henry Harrison, and a number of other interesting historic places. Then to the Creamery, where free sam ples of ice cream—all you could eat— was yours for the asking. Next came a trip through the industrial and residen tial sections of the city until supper and train time. Everybody was in a happy mood after such a pleasant day, and a jolly crowd About 20 minutes after leaving the refinery, our train pulled in to the sta it was that boarded our train for the trip home. We made excellent time all tion at Vincennes, where we were met the way and pulled in to the Union Sta by a welcoming committee composed of members of their Kiwanis Club. After tion at 10:00 p. m. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A . W . Reiter— C hief Clerk We are pleased to learn of the recent promotion of A. W. ( “Rusty” ) Reiter to the position of Chief Clerk of the Na tional Bank of Commerce. “ Rusty” started his banking career twenty-one years ago as a clerk in the mail department, where he served for fifteen years. He was made assistant to the Auditor, holding that position for three years, after which he became man ager of the Country Bank Department. In October of this year came the big boost when he was made Chief Clerk, in charge of personnel. “ Rusty” has been a member of St. Louis Chapter for fifteen years, during which time he has served as a member of the Board of Governors for four years, and as a member of various chapter com mittees. He is a Standard Certificate holder and attended the Portland con vention of the Institute held in Port land, Oregon, in 1922. Congratulations, “ Rusty,” and may your good fortune continue. H ayw ard and England V isit St. Louis Chapter Callan E. England, of the Union Trust Company, of Little Rock, and Charles D. Hayward, of the First National Bank, Kansas City, Executive Councilmen, were St. Louis visitors November 15, and stopped into visit the chapter quar ters. Both predicted a prosperous year ahead for the Institute, with big in increases already reported in enroll ments and memberships from other chapters. St. Louis, December, 1927 Authorize U niform D ues At their meeting November 15, the Board of Governors passed a resolution stipulating the amount of three dollars as membership dues, regardless of the date on which a person may join or re new his membership. Under such pro vision any person joining to engage in any of the spring tournaments, to vote in the elections, or attend the national convention, will be required to pay the full amount of three dollars. Prospective members take heed. Join NOW, and receive the full benefit of your money, through your free subscription to Legal Tender and the Mid-Continent Banker, as well as the privilege of attending the chapters social functions. 21 us a right Merry Christmas and a bright New Year. Following the age-old custom, we will no doubt give, each to the other, the things that nobody needs. If the season served no other purpose, it would yet be justified in that it brings to our at tention the outstanding number of things that are made to sell. Let us, however, think of the giver and not of the gift. That is the true spirit of Christmas. N e w E ducational Director Harold J. Stonier is the new educa tional director of the American Institute of Banking, the educational section of the American Bankers Association. In N on-m em bers N o t A llow ed at Social Functions At a meeting of the Board of Gov ernors November 15 mentioned else where in these columns, a resolution was passed prohibiting non-members from attending the chapter’s social func tions. Admission to all future events will be by membership card, properly signed by the member, in the space pro vided for signature on the right hand margin, and by proper ticket forms, which can be secured from the Consul in each bank. Non-members present ing themselves at the door for any sub sequent entertainment event, on the plea of ignorance of the above ruling will be refused admission. A member, however, may bring his or her lady or gentleman friend by applying to the chapter office for a guest card. C hristm as V acation Following the custom of other years, there will be no sessions of the Institute classes during the Christmas holidays. The vacation period will begin on De cember 24, and end on January 3. Thus we will begin our work again on Wednesday, January 4. It is hoped that we will all be back after the holidays, prepared to do better work than ever before. The time is gone when the holiday season was marked by a heavy mortality in class attendance. We have gained in wis dom, so that we have come to realize that work half done does not help us to advancement in the banking profes sion. It is an Institute habit to follow through. And now we wish for all of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Harold J. Stonier this position he becomes the director of the largest adult educational organiza tion in the United States. When chosen for this position, Mr. Stonier was vicepresident of the University of Southern California. He succeeds Stephen I. Mil ler, who recently resigned to accept the position of executive manager of the National Association of Credit Men. Mr. Stonier has become widely known in business and financial circles, as well as in educational work along the Pa cific Coast, having organized the Col lege of Commerce, and the Extension Di vision of the University of Southern California eight years ago. Previous to that time he had been in the investment banking business. He is president of the Pacific Coast Advertising Clubs As sociation, and last year served as presi dent of the Los Angeles Advertising Club. He has been particularly active in the field of public speaking, and is regarded as an outstanding authority on the subject, having delivered frequent lectures on business and political topics. He was born in San Jose, California, in 1890. After attending public schools he attended the University of Southern California, graduating from that insti tution with B. A. and M. A. degrees. As educational director of the A. I. B. he will have charge of the educational work in more than 190 chapters through the United States, with a student enroll ment in excess of 33,000. Forum A ctivities By Wm. H. Hellwege To those of our readers who were not present at the Forum meeting on the twenty-seventh of October at the City Club, we offer our regrets. We also wish to advise you that you lost the ad vantage of a good man’s experiences as portrayed by Harry Brundidge of the St. Louis “ Star” in his speech on news, gathering. Those present want the non-attenders at that meeting to govern themselves according to the next announcement concerning a Forum affair, which an nouncement should appear some time in February. As regards the meeting, ’twas really a Forum affair stretching over a period of two and one-half hours, including the dinner, and would have continued longer were it not for the fact that we did not wish to impose on Mr. Brundidge’s good nature. He was extremely considerate and we believe that all present were fully satisfied that sensational news is only gathered and printed after arduous labor by some real go-getter. Come to the next Forum meeting and be convinced of its merits. The Arm istice P arty The dance that was given by the Chapter at the Chase on the evening of November 10 was a most complete suc cess. The attendance was very good, but there was room enough even for those whose dancing is somewhat a la Russe. The dancing trend is, as we know, away from the stately and to the acrobatic. In fact, we have all seen some steps that are seemingly impossi ble—physically impossible is meant, of course. 22 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mid-Continent Banker St. Louis, December, 1927 23 Bond and Investment Section The Opportunity for Bankers to Build Business Through Investment Service T MAY be that somewhere in the large wide world there will be a few men who will recall that last month the writer touched upon the subject of bank service as applied to the sale to customers of securities bearing a higher rate than regular savings accounts. I am going to take that topic again this month as surely it must be admitted it is a real live one. It has been the custom in Europe for investments to be fur nished to the small investor, but within recent years has it been the case that the United States offered such, and these were mostly Government issues. Many a laboring man, white collar or no, subscribed for a Liberty Bond when confronted by a rosy cheeked girl \\'ho was one of a squad duly appointed to sell bonds to such as mere man, and we all recall how nearly every state ex ceeded its quota. True, a great many sold their bonds at from 80 cents and up, but the boys who hung on—well they sang their song in close harmony later when the neat little premium was hung on in the market quotations. You officers have put on campaigns for new accounts in your bank, but you don’t know as well as your bookkeepers I H igh-G rade In vestm en t S ecu rities Send for our current list B y G eo. T . M cC an dless “ The Man Behind the Counter’ ’ how many stick and how many are closed out shortly. Take a look over the savings ledger some time and see the multitude of starters as evidenced by pages with but two entries— one in and one out. Certainly we all know the individual savings or checking account of $1.00 if active at all is handled at a loss, but it’s the aggregate that pays. One of the large city banks instructs its tellers to furnish the lowest bohunk with the best of pass books and check books when he opens an account. He shows his books proudly to his fellowworkers, and they also feel that they would like to have a little of the same and thus one account leads to another, and taken as a whole is operated to a financial profit. The mortality in savings accounts is terrible— I would hardly venture to say what the percentage is if I knew—and I don’t know—but its’ large. I believe it should be the bankers’ duty and pleasure to call over to good savings ciizens and suggest buying a bond or If You Can Answer These Questions — and answer them correctly your investment profits will show im mediate improvement. (1) Is the trend of stock prices up— or down? (2) Is this a time to buy or to sell stocks; what stocks? ______ (3) Are long or short term bonds the best investment now? The coupon is for your convenience in securing authoritative informa tion. If the answers to these ques tions interest you clip it now. There is no obligation. H. L. RUPPERT & CO. BROOKM IRE W e specialize in locating markets for unlisted se curities. i (I N C O R P O R A T E D ) ST. LOUIS. MO. 402 Pine Street M A in 1082 M em b er St. L ou is S to c k E x ch an ge https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E C O N O M IC S E R V I C E , Inc. 15 W est 45th SL, New York two as his balance justifies. The banker who fails to do this for selfish reasons is not numerous as he once was. Statis tics show that money transferred to pay for bonds immediately starts up the climb again and the customer’s allegi ance to the bank is re-cemented. One needs but read of the millions of worth less securities palmed off on the public to realize the need of a slogan, “ See your Banker” and investigate through him and his facilities. One can read most any day of inci dents where the unsuspecting workman is skinned by some high-powered, silvertongued salesman through the soft bond line. If I were able to make a law one would be: “ All bonds purchased must have the written recommendation of a broker or banker”— and by broker I mean a real one— not sidewalk type. To show the kind of service that is real let me relate an incident which oc curred the other day. A man who was contemplating the sale of bonds called on the banker and got a line-up on the bond house and the manager. Diplomacy was exemplified in the reply of the bank er. He said, “ That is a good house—the manager is an honest young man /"A F F E R IN G the investor in stocks and bonds the service of a complete and experienced organiza tion. mmmwsm T E L E P H O N E C E N T R A L 6640 0uvER J.ANDERSON &c OMPANY IN V E S T M E N T S E C U R IT IE S E IG H T H Please Name Address send free Bulletin M.B. ............................................................ ........................................................ FLOOR AM BASSADOR BLDG. S E V E N T H A T LOCUST S a in t Lo u i s , Mo . Mid-Continent Banker 24 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Unless a bond issue measures up to these ten standards o f safety it cannot be a R obert S. Strauss & C o., issue: 1 Ownership— The ownership of the land must be firmly established, and a Title Guaranty Co. of repute must guarantee that the title is clear of all claims. 2 Owner— The owner or owners who are also the borrowers must be persons of good character and financial responsibility. 3 Location— The location must be studied carefully by experts to determine present and future value. 4 Building— The building to improve the land must be an income producer and must be adaptable to the location. If a construction loan, a completion bond guaranteeing; 1— completion of the building; 2— that the building will be free of all mechanics’ liens; 3— complete in accordance with plans and specifications and completion date, must be fur' nished by a reputable Fidelity and Guarantee Company. 5 Appraisal— Well-known, competent independent appraisers must appraise the property and build ing to be erected and no first mortgage of over 6 0 % of a fair valuation can be made. 6 Trustee— The Trustee must be a responsible trust company who will certify to the authenticity of each bond. 7 A Serial Amortization — The bonds must be in “ serial maturities;” thereby increasing the pro portion of security for the investor year by year as the mortgage is gradually reduced. 8 Income— The net income from the property must be in excess of the largest annual interest and retirement requirement. . 9 Sinking Fund— The borrower must pay the trustee monthly one-twelfth of the total annual fixed charges of the issue. 10 Insurance— 'The property securing a bond issue must be thoroughly protected by insurance from destruction by the elements. ■ :'=/!! Current list of sound securities yielding 6 % — 6 ^ % sent upon request 1i \ C _ RobertS.Strauss & Co. who tries to sell what the house sends him, and I believe he is honest, but I will say this much—that there are a lot of bonds being sold here that wouldn’t bring 70 cents on the dollar on forced sale, and you come back and let me see your bonds before you finally decide to buy. Our bond man will give you a close appraisal according to his best ob tainable information, and there will be no charge. We have a securities depart ment we will be glad to show you and we cannot afford to handle poor bonds. Let us fix you up for choice low-yield bonds when you buy.” The real service lay in the no-charge feature, and this paved the way for a direct sale. Under stand, I am not attempting to eliminate the industrial or investment banker—he is a valuable factor and a necessary one, and most of them are high-grade. I have no idea how many people are busts as real practical investors. Plenty of them. I have heard that some of our very wealthy men had stock certificates in the little box opened after their demise and the chief value in many of the certificates was the artistic engrav ing— the figures didn’t mean a thing, (i have a lovely little mother who orders a dinner at the hotel with me some times, and she is absolutely unaware of the fact the figures mean anything so sordid as money.) Many a man talks of preferred stock and cumulative dividends who has that dangerous thing known as half-knowl edge. And if Harriman and Hill occa sionally got stung, how may the way faring man guide his steps into none but safe investments? Boost up your accounts, savings and free, but harp away day after day on your service on investments and talk to your larger saving depositors and urge them to buy higher rate bonds that are proven. Many banks subdivide their investments in bonds— municipal, railroad, utility, in dustrial and thus spread the risk. The small investor cannot do this, and as a consequence needs safe counsel and you can give it to him. Of course, if it' proves profitable he will pat himself on the back, but what of it—what do you care? You can rejoice with him, can’t you? B'anks can be of as real service as the life insurance companies. Frank ly, I think it barbarous for a woman who never saw a thousand dollars in one pile before to be handed $50,000.00 in cash— it will worry her sick. The income at 3 per cent on this would make her comfortable and she would comprehend it. Income is the thing— show the boy that a nickel is the interest on a thousand dollars at 2 per cent for a day, and he’ll respect that humble coin more than he ever did be fore— maybe. Chances are he will call you an old fogey and let it go at that. 25 St. Louis, December, 1927 Bankers have an unlimited field be fore them in building up their business through investment service. I read in the last issue of my favorite bank jour nal (give you one guess) of a bond house that sold an issue of bonds by a firm that failed and the bond house re paid the bondholders to whom they had sold. I think I could sell a million dol lars of bonds for that company because of this voluntary action. Great, wasn’t it? If I were a banker I would feel in clined to handle nearly all my bonds from that house (or one like it) a fellow would feel pretty gol-darned safe any how, and that’s the thing to look at nowadays. There are two kinds of bonds— one that will cause you to eat well for a while, and one that will let you sleep well all the time. Which will you recom mend to your customers? The Best Banks Buy Bonds Eighty-eight per cent of the banks in the St. Louis Territory” of Illinois, Indiana and Missouri pur chased bonds for their reserve account or for resale to customers, according to survey made by the Mid-Continent Banker. C on certed A c tio n N eed ed to S olve F arm P roblem s A mass attack on farm problems by all agencies concerned with production and marketing, including private, state and Federal research organizations is necessary to arrive at and maintain a prosperous agriculture, declared Lloyd S Tenny, chief of the Bureau of Agri cultural Economics, United States De partment of Agriculture, in addressing the annual convention of California Fruit Growers and Farmers, Stockton, California, November 16. “ With farm production becoming con centrated in great areas and taking on the nature of manufacturing industries,” Mr. Tenny said, “ there is ever increas ing need for a concert of action based upon economic laws. Mere notions or ideas will not get us far in these present day problems. Research is essential. The point of view of the consumer must be considered. Competition must be analyzed and evaluated. The course ahead for each commodity, both in pro duction and distribution, must be plotted as completely as possible and when once the program and policy has been determined the whole industry must have some kind of entity so that mass action can be secured.” Mr. Tenny declared that the outstand ing problems in farm marketing are those brought about by the development of highly specialized production in areas far removed from dense centers of con sumers in other sections of the coun try. Two of these problems which stand out prominently, he said, are bet ter adjustment of production to changes in world competition and demand, and improvement in methods of marketing with a view to eliminating waste and effecting the most economic distribution of farm products. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M any of these banks will buy bonds from this house, which has been specializing in a bond and invest ment service to banks for fifty-one years. As we are both bankers and investment bankers, we understand the requirements of a secondary reserve account; further, we know the types of securities preferred by customers in various parts of Illi nois and Missouri. Our experience is available for your bank; we will be pleased to analyze your present bond holdings and will give you an honest expression of our opinion. Your inquiry will bring full information without obligation. C m o n T r o f | a ^ ■ C i i s t E s £ S t 3 3 t * = . L ^ o o u m i s g ^ Member Federal Reserve System p a n y 26 Mid-Continent Banker Propose Laws Regulating Investment Trusts Attorney General Albert Ottinger and Assistant Attorney General Timothy J. Shea of New York have completed a comprehensive study of investment trusts and will recommend to the New York Legislature a series of laws which would rest in the State Banking De partment the power of regulating and supervising these trusts and companies partaking of the nature of such trusts. One of the disclosures of the investi gation is that in England, where the in vestment trust has been in existence for more than fifty years, the total paid-in capital is about $1,000,000,000, while in the United States the paid-in capital has already reached $600,000,000 since 1921. According to the report, the invest ment trust occupies a position in the financial structure of the country dis similar to any other type of investment enterprise, inasmuch as its primary pur pose and aim is the broad distributive investment of its resources in securities having a wide geographical and econom ic range, in such a manner as to allow only a small proportion of its funds to be risked in any one financial enter prise, whether governmental, munici pal, industrial or utility. Some of the provisions of the proposed new legislation are: (1) That five or M e e tin g B a n k s ’ R eq u irem en ts F or m any years Caldw ell Sound & C om pan y have special ipal ized in Southern their ipal bonds. m u n ic M o re than ity, Southern bonds, safety, and m u n ic because of m arketabil unusually good 1,200 separate issues on yield, cities, counties and states tive investm ent for banks. of the A late list of such issues, South have been provide an attrac underw ritten by this firm. m aturing H un dreds five years if desired, and dollars of m illions have thus of yielding been from from one 4 .2 5 % to to supplied for constructive 5 .5 0 % , will be sent upon m unicipal purposes. request. C aldw ell & C om pany Southern Securities 117 NORTH FOURTH STREET https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Of f i c es in Pri nci pal ST. LOUIS, MO. Ci t i es more persons may form an investment trust; (2) that the investment trust can not do business until approved by the Superintendent of Banks, until at least $100,000 of the capital shall be fully paid in in cash, and until Section 3 is com plied with; (3) that as a pledge of good faith, such trust shall deposit interestbearing stocks or bonds of the State or the United States to the amount of $25,000 with the Superintendent, the trust to collect the interest on deposited se curities; (4) the trust shall have the power to issue bonds, debentures or ob ligations with a 100 per cent equity pro vided, and preferred and common shares of any class, to buy, own or sell real es tate for buildings for the transaction of its business, or conveyed to it in satis faction of debts, etc.; (5) shall enter only its own assets in its books, etc.; (6) must submit to directors and note in its minutes communications from the Supei intendent; (7) shall report to Su perintendent annually or at such times as required; (8) is liable for assess ments by Superintendent; (9) shall pre serve records for six years; (10) no di rector, officer or employe shall lend or borrow any note or other evidence of debt of the company; (11) no person shall transact investment trust business until the foreign corporation or unincor porated association they represent shall have complied with this article; (12) every foreign corporation or unincorpo rated association before being licensed by the Superintendent to transact in this State an investment trust business shall comply with a number of provi sions; (13) lists certain other provisions for such foreign corporation or unincor porated association; (14) if such for eign corporation or unincorporated as sociation is licensed it may transact an investment trust business in this State until January 1 succeeding the date of the license; (15) such corporation or as sociation shall deposit $25,000 in bonds as the State corporation must do; (16) all agents or representatives of such cor poration must be listed, with full names and address, and the list filed with the Superintendent; (17) all rights and privileges granted such foreign corpora tion or unincorporated association will cease if the Superintendent revokes the license, and (18) any business corpora tion previously organized under the Business Corporations law may within ninety days become an investment trust, if its corporate purposes include the transaction of the business of an invest ment trust, under its former name, within ninety days of the passage of this article, provided it reincorporates in ac cordance with this article. 27 St. Louis, December, 1927 The Trend to Insured Bonds Investors M ore Than Ever Before A re D em anding Positive Safeguards for Their Invested Funds HERE is a marked change taking place in the investor’s viewpoint toward bonds. Particularly from a standpoint of the safety of these se curities. Years ago, the mere fact that a se curity was a bond was in itself suf ficient evidence of its safety— bonds as a class of securities were general ly regarded as the most conserva tive and safest of all investments. T B y J. K en n eth Ed.lin President, Provident State Securities Co., Chicago ers to establish a large and profitable volume among conservative buyers. In recent years, industrial expan sion and real estate promotions on a large scale never before experienced in American financing, together with the effectiveness of highly trained bond-selling organizations, have been responsible for many unsatisfactory experiences among investors who now demand more than bonds— who demand bonds guaranteed safe, pay ment of principal and interest posi tively assured. This new type of security, the in sured bond, has made its appearance at a psychological time when in vestors more than ever before are demanding positive safeguards of their invested funds. The insured bond meets the exacting require ments of conservative investment for their own capital and surplus and for resale to depositors. To dealers, the insured feature supplies safeguards that establishes quick confidence in the safety of the securities, thus eliminating selling resistance and permitting deal- for benefits it confers and the safe pro tection it affords. Confidence in insur ance is entrenched deeply in the minds of the public— the great insurance or ganizations of the nation by their record of performance have well earned and fully deserve this confidence. The public requires no education as to the safe value of insurance or what it insures. Today it is customary by almost everyone, everywhere, to insure their lives, motor cars, homes, factories; in fact, any and everything of any value. It is but natural that the public should insure their most valuable possessions—their invested funds. Indeed, it seems that the time is not far distant when the truly con servative and safe investment will be a bond with its principal and in terest guaranteed and insured. J. Kenneth Edlin The investing public took quickly to the insured bond. Insurance is univer sally understood, accepted and appre ciated for soundness of its principles; This is reasonable to believe be cause bonds additionally safeguarded by insurance are not dependent upon the insurance features alone. Be cause they must measure up to the most rigid requirements before sure ty companies will accept them for in surance they must be more carefully selected than if they were not in sured. It is also natural to expect that in sured bonds should take the form of first mortgage bonds— first mortgages (Continued on page 28) Sm it h , M o o r e & C o. For many years we have been successfully serving banks and institutions in: Building up liquid secondary sound bonds. reserves, consisting of Maintenance of bond accounts at the peak of efficiency. The partners will be pleased to give the benefit of their long experience in this field to your investment problems. J. H erndon S m ith 5 0 9 Olive Street https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Chas. W . M o ore W m . H . Burg W . C. M oreh ea d St. Louis, Mo. 28 Mid-Continent Banker Lay Cornerstone for Chase National’s N ew Home Amid the tattoo of riveters’ hammers and the clang of huge steel girders swinging into place, the corner stone of the new 38-story home of the Chase Na tional Bank of New York, now rising at the corner of Pine and Nassau streets, was formally laid at a private ceremony attended by senior officers of the bank and the Chase Securities Corporation. In the absence of Albert H. Wiggin, chairman of the board of directors of the bank, who is abroad, Reeve Schley, vice-president, and James T. Lee, of New York, to whom the board of direc tors has entrusted the planning and erection of the building, placed in the corner stone a copper box containing important records and documents deal ing with the history of the bank during its fifty years of existence. Among the interesting items which were sealed in the corner stone were the following: First report of The Chase National Bank of the City of New York, dated December 27, 1877. Comparative statement, 1877-1927. Last report to the comptroller of the currency at the close of business Octo ber 10, 1927. Report of the chairman of the board of directors at the fiftieth annual meet ing of shareholders January 11, 1927. Statement of condition of the Chase Securities Corporation at the close of business December 31, 1926. The 1877-1922 history of The Chase National Bank. A full set of coins minted in 1927 (one cent to one dollar). Trade dollar bearing date, 1877, which was the year in which the bank was or ganized. One sheet of four Chase National Bank five dollar notes containing facsimile signatures of John McHugh, president of the bank, W. P. Holly, cashier, series of 1902, A, B, C, D, all bearing the serial number 323444, charter number 2370. A reproduction of the original etching by Anton Schütz showing the proposed new building. Certificate of laying of corner stone to which the Seal of Bank was attached. Facsimile signatures of the Officers of the Bank. T h e T ren d to Insured B o n d s (Continued from page 27) are one of the oldest forms of invest 3,000 Laboratory Workers seking, searching ... I N the Bell Telephone laboratories a great scientific staff carries on a never-ending quest. With scientific research and experiment o f the most exacting sort, it leaves no stone unturned in its search for mechanisms and methods that will better serve the telephone-using public. A . T . cjf T . fa cts point to safety in investment: A service that is indispensable. the safety o f dividends. (H, Earnings that insure Cff Regular dividends for 47 years. <H. W ide distribution o f stock. (H, An ownership o f over 90% o f the combined common stocks o f the operating companies o f the Bell System, (H. A business and financial structure lasting enough to permit expansion and stable enough to make expansion permanent. (U, A management conserva tive, yet with foresight and initiative. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W rite f o r booklet “ Some Financial F acts". BELL T E L E P H O N E S E C U R I T I E S C O . Inc. 195 Broadway N ew Y ork City ment known to man— first mortgages enjoy a record of safety not equaled by any other security yielding an equally attractive return. And when to the inherrent safety of first mortgages is supplied the addi tional safeguard of insured principal and interest by one or more surety com panies accepted by the United States Treasury as guarantors, no form of se curity could possibly offer greater safe ty. Besides the current yield o f 6 per cent is most satisfactory. The insurance safeguard is made a part of the bond— the insurance clause is non-cancellable, and it remains in full, unchanged operation safeguarding the principal and interest until the last dollar due on the bond is paid to the bondholders. The fact that only the choicest issues are eligible for insured bonds, in addi tion to the realization among investors that investigation of the insured issue is not necessary, promises that insured bonds are certain to popularize them selves with those investors who insist on thorough protection of principal and interest, yet securities providing a satis factory yield. ki - f Revenge is a kind of wild justice, which the more man’s nature runs to, the more ought law to weed it out, for as for the first wrong it doth but offend the law, but the revenge of that wrong putteth the law out of office.—Bacon. 29 St. Louis, December, 1927 A lo n g L a Salle Street B y W m . H . M a a s , C hicago, V ice-P res. T h e M id -C o n tin en t B anker Five hundred bankers of Chicago, St. Louis, Kansas City and Des Moines will be guests of The Mid-Continent Banker and affiliated De Puy Banking Publica tions at a series of dinners to be given in those cities during the first week of December. Correspondent banking busi ness is becoming as highly competitive as other lines in manufacturing and merchandising and subjects pertaining to this service will be discussed at each of the dinners. — M. C. B. — T w o hundred young men are selling securities today for the fine old firm of Blair & Company. They might have had different jobs were it not for John 1. Blair, one of the greatest pioneers in banking and railroad construction this country has ever seen. One of the last acts of a romantic career, Mr. Blair was ninety when he established the firm in 1890 and died nine years later. His life is well worthy a few hours of study by anyone engaged in banking or finance. To his credit, it must be said that his successors and their salesmen who are carrying on under his name are among the highest type in the business. among the outstanding bankers to die during the past several years include such inspiring figures as Festus J. Wade, Neil A. McMillan and Edwards Whitaker of St. Louis, and Ernest A. Harnill, Edmund D. Hulbert, James B. Forgan and Ralph Van Vechten. By sheer ability and determniation they won their way to high places in the realm of finance. The examples of these men should furnish incentive aplenty to junior officers in our banking institu tions. — M. C. B . — Friends of the w ell-known Fay fam ily of Urbana, 111., will be pleased to learn of the election of Douglas Fay, 27 years of age, as president of the First Na tional Bank of that city. He succeeds his father, who died recently. Doug has been a vice-president since he was 23 years old. — M. C. B. — A sturdy old pioneer— Leander C h am berlain, Alpha, 111.— passed away recent ly at the age of 82. He consigned live stock to the Chicago market for 50 years. He was the father of Dale E. Chamberlain, vice-president of the Drovers Na tional Bank of Chicago. — M. C. B . — Chicago and St. Louis seem to be in the throes of a number of contemplated bank mergers. Much speculation and reportorial guesswork is going on as to — M. C. B. — Ne ws items w ith millions involved in variably provides a thrill for the reader. The young Argentinian who recently married the Rogers $40,000,000 heiress, according to press dispatches, has been known as a son of fortune. A while ago, it seems, the god of luck via the lottery smiled on him to the extent of $140,000 Now he marries the world’s richest young lady. The news stories point out that “ his friends say that his distaste for work is explained by his amiable likeness for a good time.” Se c u rity — M. C. B. — and safety are words con stantly emphasized by financial institu tions. These two words naturally apply to this earthly sphere, and it is well that we ponder over them and take heed of their implication and meaning. But the good life and the full life is not merely to be measured in terms of millions. This paragraph is prompted by the thought of a score or more of splendid bankers—great and good men; selfmade, towering figures who have passed on in recent months. Probably one of the most beloved among the bankers to answer the call of the Grim Reaper was John J. Mitchell, chairman of the board of the IllinoisMerchants Trust Company, who, with Mrs. Mitchell, was the victim of an au tomobile accident last month. Others https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis , MORTGAGE L SECURITIES LEADERSHIP/ EARNED BY 22 YEARS OF FAIR DEALING/' pany offerings: Safety rJ"lH E confidence we of principal, A ttra ct have won m ay be the logical iv e result of interest tw enty-tw o years without loss M arketability. to a client. yield, Or it m ay be the This company was organized result of the constant and rigid in 1905 by a group of practical supervision bankers to competently serve our customers know we exercise over each of the South. our first mortgage bond issues. of investment bankers” serves T o d a y our “ Jury business and investors in every All fundamentals part of America. governing sound investment are found W rite for our current list of in M ortgage & Securities C om offerings. M ortgage Securities Co. L H ew O rlea n s * Mid-Continent Banker 30 Looking Ahead with the Public Utilities “ who will be next.’’ At this writing it has been definitely announced that George Woodruff’s institution, the Na tional Bank of the Republic, will take over the Standard Trust and Savings Bank, and the Chicago Trust Company and National Bank of Commerce, Chi cago, will be merged. — M. C. B. — T h e w r i t e r has again been impressed December of 1926 a new production peak was reached by the Public INUtility companies of the country, while during last year investors increased their Utility holdings by nearly one billion dollars. Six factors pointing toward a continuation of the advances made in the prosperity of Public- Utility companies a r e : Increased industrial busi ness, greater industrial diversification, wider adoption by country dis tricts, increased urban use, advance of electro-chemical processes and extended railroad electrification. Utility bonds can be counted upon to display marked firmness in the face of adverse market conditions. As specialists in public service corporations with a broad experience of many years we would be pleased to offer information and sug gestions regarding present and future investment possibilities. Es pecially attractive Utility securities are described in our circular 0-70. H O W E , S N O W C& C O M P A N Y Incorporated N EW Y O R K CHICAGO G R A N D R A P ID S SAN FRAN CISCO D E T R O IT M IN N EA PO LIS by the word “ service,” but in a new form. These notes are being written in Grant Hospital, Chicago, where we have come to rest tor a few days in between publi cation issues of our s everal banking magazines. The modern hospital, with its great staff of doctors, nurses, order lies and various forms of attaches, knows how to give service probably bet ter and more thoroughly than any busi ness or commercial organization. — M. C. B. — December is the month of giving, of joy and gladsome good-will anent the Christ’s birthday. It will doubtless be the happiest Christmas since Columbus landed on these shores, if bonuses and monetary gifts mean anything. Partic ularly among a large number of city banks and bond houses,the spirit is to be liberal at this season of the year. The average bank employe is seldom over paid and deserves an extra fat envelope at Yuletide. C h ristm as W in d o w D isp la y s (Continued from page 11) Attractive Utility Bonds Rate Due Yield about Consol. Tel. of W isconsin Ist . . 5^s 1942 5.75% W e st Texas Utilities Co. Ist . . 5s 1957 5.15% Southwest Utility Ice Co. Ist . . 6s 1941 6.25% Electric Public Utilities Co. . . 1942 6.25% 6s Circulars on Request H oagland, A llum & Co. IN C O R PO RA TE D 14 S. La Salle S t C H IC A G O https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 34 Pine S t N E W YORK with a little care the same material can be used for several seasons providing that upon taking down the material after use all dust is carefully blown off, and that in packing care is taken to see that the leaves, flowers, etc., are not unnecessarily crushed or twisted. Final ly great care must be taken to see that such material is not stored in a damp or too warm a place. In other words, a cool, dry storeroom will assure you of material next year which will be in just as good a condition as when bought. G. A. Z im m e rm a n Succeeds Charles Crook. The board of directors of the Worthen Company, bankers, Little Rock, have elected G. A. Zimmerman assistant cash ier. Mr. Zimmerman has been connected with the bank for the past eight years, having worked in all the departments. He succeeds Charles Crook, who re signed. Nothing would do the country so much good today as an anti-debt cam paign.—Roger W. Babson, statistician. I am going to do one thing only—the one thing I know best how to do.— Henry Ford. St. Louis, December, 1927 31 How Swindlers Mark Their Prey If Y ou Invest First and “ Investigate” Afterward, Your N am e Is M arked to Indicate that You Are Easily Swindled N the field of fake investments suckers are graded according to their reaction to the appeal of glit tering schemes. A name on a sucker list of investors may have a valuation anywhere from zero to $100. If your name is on the list and it is known that you invariably “ Investigate Before You Invest,” your name is checked to indicate that you are too hard to sell to be worth cultivating fur ther, but if you invest first and investi gate afterward, your name is checked to indicate that you are easily swindled, and for this reason your name is worth $100—not to you, but to the owner of the list, for the names of those who invest without investigating are choice pros pects and sell readily to promoters. Certain names on a sucker list are checked to indicate “ easy picking,” and by this is meant that in addition to being ignorant on investments, those checked are not disposed to ask advice of their banker, but go ahead and invest in anything from gold bricks to stock in some proposed company for the ex ploration of diamond fields on Mars. Those whose names are listed are what might be called marked investors—In vestors who have been marked for slaughter—investors who have been marked to have their savings taken from them by unwarranted promises of fabulous riches. If your name is on the sucker list and you are receiving “ wild-cat” literature, be on your guard, for not only one, but a whole tribe of “ wild-cat” promoters are hot on your trail. If you are skep tical as to the extent to which they will go in order to sell you an interest in their fake schemes, the following should prove illuminating, as it itemizes the literature and stationery sent to each name on a certain sucker list of in vestors. This literature was mailed in 91 different mailings. Each person re ceived: 125 envelopes. 13 one-page letters. 22 two-page letters. 6 three-page letters. 2 four-page letters. 52 fake newspapers containing fake write-ups. 29 pieces of highly lurid prospectus material. 34 return addressed postal cards. 72 subscription blanks, making a total of 363 pieces of literature https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I B y W . R . M orehouse Public Relations Commission, American Bankers Association weighing 11 pounds and costing approxi mately $50. In addition to this there were numerous telephone calls and per sonal interviews. Any person receiving a flood of lit erature calling attention to certain in vestment chances has a good reason for watching his step lest he weaken and invest and finally lose his savings. If you are receiving “ wild-cat” investment literature it is a good indication that your name is on a sucker list and that it, with other names, is being sold to irresponsible promoters and consequent ly you may expect to continue to re ceive literature of the get-rich-quick va riety from different sources. If you have ever invested in any one of the invest ments offered you may rest assured that Good Bonds for Banins U R m on th ly investm ent lists include a broad selection o f g ood bonds, foreign and dom estic, suitable for w id ely-varyin g needs. E ach issue listed is a g ood invest m ent in its class. O W e will gladly m ail these offerings each m on th to bankers and others w ho m a y w ant them. The National City Company National City Bank Building, New York Offices in more than 50 leading cities throughout the world BONDS * SHORT TERM NOTES * ACCEPTANCES Mid-Continent Banker 32 THE FO R TN IG H TLY SECURITIES A N D IN V E ST M E N T R E V IE W is published every tw o weeks. It con tains an analysis o f the current N ew York stock, bond and comm odities m arkets and a review o f financial ac tivities in the St. Louis M a rk et. W e believe you will find this booklet instructive and inform ative as the in form ation compiled in it is obtained from authoritative sources. It will be sent you regularly gratis upon request. r'p^tval 3 0 0 0 ♦ ST. L O U I S ♦ 711 St. C h a rle s S+- Members: N ew Y ork Slock E xchange Si. L o u is M erchants E xchange N ew Y ork Cotton E xchange S t. L ou is Cotton Exchange N ew York Curb A ssociation St. L ou is Stock E xchange Chicago B oard o f Trade https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis you are “ easy” and it is reasonably cer tain that as long as you live you will re ceive bunkum literature. Some people are so foolish as to feel complimented that so much attention is shown them by men having investments to offer. The facts are, instead of a compliment being paid them, it is a re flection on their ability to judge between a good investment and one of the bunkum variety. If you want to draw the attention of dealers in sucker lists and of promoters of various kinds, let it be known that you have a savings bank account or good securities and you will be the ob ject of a very vigorous campaign to re lieve you of those savings. It is always well to remember that the irresponsible promoter specializes on swindling savings depositors, ex changing his fake investments for their bank account, which is always worth 100 cents on the dollar. Of the numerous bait schemes used to swindle the public the trading of equities in real estate is among the most successful from the promoter’s standpoint. From the owner’s standpoint a trade usually means getting into deeper water financially— going further into debt. Here’s how it works. If you have an equity in a piece of property, which equity you would like to be relieved of, some promoter will offer to give you credit for your equity on the purchase price of another piece of property or on the purchase of certain hot air stocks. In the first place, the swindler actually allows you nothing for your equity, as he marks up the price of what he is selling you a like amount—with the re sult that you lose your equity on one hand and get yourself into a less desir able deal on the other. Proceed slowly if you are approached with a proposition to trade an equity. It may not be exactly what you prefer, but holding the equity is far ahead of holding the sack after some swindler has dealt with you. Nothing but the T ru th . Dedd— “ Just burned a hundred-dollar bill.” Beet— “ Gosh! You must be a million aire?” Dedd— “ Well, it’s easier to burn ’em than to pay ’em.” — and T w o Pin k Elephants. “ Your Honor, I was not intoxicated.” “ But this officer says you were trying to climb a lamppost.” “ I was, your Honor. A couple of crocodiles had been following me around, and I don’t mind telling you they were getting on my nerves.” St. Louis, December, 1927 33 O ldest N a tion a l B an k in South O pens N ew B an k B u ildin g (Continued from page 15) Market street wing, facing north, is 43 feet wide and 124 feet deep. The safe deposit and other vaults are in the basement. Title and trust organ izations occupy the second floor. The directors’ room, president’s suite and community hall and recreation room, including kitchen, are on the third floor. The directors’ room is after the model of the Georgian dining-room famed in song and story for its hospitality. An inviting ladies’ room, done in ivory and with Hepplewhite furniture, adjoins the vault lobby on the basement floor. The officers’ desks are replicas of the desk on which the Declaration of Inde pendence was signed. The architect was Carl A. Ziegler, of Philadelphia, associated with the re storing of Independence Hall in his home city. The builder was L. Jacob son and Sons, of Louisville. SmalleyMyers, equipment architects and bank engineers, of New York, planned the physical arrangement of the interiors and designed the equipment. The First National is the “ oldest Na tional bank in the South.’’ In the past year it has opened six branches in Louis ville. With the Kentucky Title Trust Company, it has joint resources of $38,000,000.00 Its stock recently reached a new high level of 800 on the Louisville market, a rise of 100 points since the middle of the year. The affiliated or ganizations have 200 employes. In the past ten years the deposits of the First National-Kentucky Title Trust have in creased 385 per cent. The Kentucky Title Company, the parent organization of the affiliation, was founded in 1874. As the need de veloped, banking and trust functions were provided, these being now admin istered by the Kentucky Title Trust Company. The First National was ac quired in 1909. The affiliation includes also the First Kentucky Company, in charge of the issuance and sale of Ken tucky Title Trust Company real estate bonds, making also diversified invest ments; the Louisville Securities Com pany; the Lightfoot Land Company, and the Home Finance Company. “ How are you coming along with your courting of the banker’s daughter? Pretty tough going, eh?” “ Not so bad! I’m getting some en couragement.” “ She’s beginning to smile on you, is she?” “ Not yet, but last night she said she had told me “ No” for the last time.”— Life. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Supplying a N ecessity Community Water Service Company T h e b u s in e s s o f t h e C o m m u n i t y W a t e r S e r v i c e C o m p a n y a n d o f it s s u b s i d i a r i e s is b a s e d o n t h e s a le o f a u n iv e r s a l n e c e s s it y — w a t e r . R e g a r d le s s o f p r o s p e r it y o r d e p r e s s i o n , t h e d e m a n d f o r w a t e r c o n t i n u e s in u n d im in is h e d v o lu m e , r e p r e s e n t in g as it d o e s a n e x t r e m e l y s m a ll o b l i g a t i o n f o r e a c h u s e r . T h e s u b s id ia r ie s o f th e C o m m u n it y W a t e r S e r v ic e C o m p a n y s e r v e a p o p u l a t i o n o f 6 8 0 ,0 0 0 l i v i n g in w e l l e s t a b l is h e d m u n i c i p a l i t i e s in t h e E a s t a n d M i d d l e W e s t — f o r e x a m p le , P e o r ia (111.), L e x i n g t o n (K y .) an d s u b u r b s o f N e w Y o r k C it y , P i t t s b u r g h a n d S a in t L o u i s . T h e n a t u r e o f t h e b u s in e s s , t h e s t a b i l i t y o f e a r n in g s , c o n s e r v a tiv e fin a n c in g a n d th e e x p e r ie n c e a n d r e s p o n s i b ilit y o f th e m a n a g e m e n t m a k e th e b o n d s o f th e C o m m u n i t y W a t e r S e r v i c e C o m p a n y a n d it s s u b s i d i a r i e s h i g h l y d e s i r a b l e in v e s t m e n t s . I n q u i r i e s a r e i n v i t e d r e g a r d in g th e s e a t t r a c t iv e s e c u r itie s w h ic h a re n o w s e ll i n g o n a b a s is t o y i e l d u p t o 6%. A PW. CHAPMAN&C ..INC. 0 115 W. Adams Street CHICAGO 42 Cedar Street NEW YORK S T . L O U IS O F F IC E 1103 B o a tm e n ’ s B a n k B u ild in g T e le p h o n e , G A r fie ld 3480 Real Estate Ronds M a n y b y h i g h g r a d e s t a n d a r d c h a s e d i s s u e s h o u s e s t h r o u g h o u r m o r i g i n a l l y a y n o w T r a d i n g D o f f e r e d b e p u r e p a r t m e n t At Market Prices L e t T R u s k n o w a r e o f S e n d c o u p o n A D I N G w h i c h R e a l p a r t i c u l a r D E f o r P A R c o m T M E s t a t e i n t e r e s t E p l e t e N B o n d s t o y o u . i n f o r m a t i o n . T M -W . Brad er m ann C o . Incorporated 1 70 Broadway M-W. Bradermann Co., Inc., 170 Broadway, New York: bond quotations and other information. ( N e w York You may send me real estate m l , V’ £ii N am e.................... ................................................................... ................................ ................. Address........................................... ...................................................................................B- 8 6 Mid-Continent Banker 34 St. Louis Stock Exchange O F F I C IA L Q U O T A T IO N S ESTABLISHED 1877 LISTED BONDS W e are prepared to furnish accurate quo tations, and prompt executions of buying or selling orders for listed bonds. The experience acquired during our f i f t y years in the investment f i e l d is also at the disposal of our clients. •fc* F r a n c is , B r o . & C o . IN V E S T M E N T S E C U R IT IE S 214-18 N. Fourth St. Kennedy Building S T . L O U IS TU LSA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank Stocks Boatmen’s Bank .............................. First National Bank...................... Lafayette-South Side Bank........ M'erchants-Laclede N at’l ............ N at’l Bank of Commerce............ State National B ank...................... United States B ank........................ Trust Company Stocks American Trust .............................. Mercantile Trust ............................ Mississippi Valley T rust.............. St. Louis Union T rust.................. Street Railway Stocks St. Louis Public Service.............. Miscellaneous Stocks American Credit In d e m n ity.... Aloe, Common ............................... Aloe, Preferred .............................. Baer, Sternberg & Cohen, 1st Pfd. Baer, Sternberg & Cohen, Com. . Best Clymer Company.................. Boyd-W elsh Shoe .......................... Brown Shoe, P fd .............................. Brown Shoe, Com............................ Burkart, Preference ...................... Burkart, Common .......................... Certain-teed Products, 1st Pfd. Certain-teed Products, 2nd Pfd. Century Electric Co...................... Chicago Ry. Equip., C o m .......... Chicago Ry. Equip., P fd .............. Coca-Cola Bot., Sec........................ Eisenstadt Manufacturing, Pfd. E. L. Bruce, Comi.......................... E. L. Bruce, P fd .............. .............. Elder Mfg., 1st P fd ........................ Ely & W alker D. G., 1st P fd ... Ely & Walker D. G., 2nd P fd ... Ely & Walker D. G., Com .......... Elder, Com.......................................... Elder, “ A ” ........................................ Fred Medart Mfg., P fd ................ Fred Medart Mfg., C om .............. Fulton Iron Works, P fd .............. Fulton Iron Works, Com............ Hamilton-Brown Shoe ................ Hussman Refr., Com...................... Huttig S. & D., Pfd....................... Huttig S. & D., Com .................... Hydraulic Press Brick, P fd ........ Hydraulic Press Brick, Com . . . . Independent Packing, P fd .......... Independent Packing, Com ........ International Shoe, P fd ................ International Shoe, Com. . . . . . . . International Shoe, Com. W T. .. Johnson-S. & S. Shoe.................... J. Schoeneman, P fd .................... Laclede Gas Light, P fd ................ Laclede Steel Co.............................. Mo.-Ills. Stores, P fd ...................... Mo.-Ills. Stores, Com.................... Mo. Portland Cement.................... Mo. Portland Cement, 4 0 % .......... Moloney Electric, P fd .................... Nat. Candy, 2nd P fd ..................... Nat. Candy, Com............................ Nat. Candy, Com............................. Pedigo-W eber Shoe ...................... Polar W ave I. & F. Co................ Rice-Stix Dry Goods, 1st Pf d . . . Rice-Stix Dry Goods, 2nd Pfd. . . Rice-Stix Dry Goods, Com .......... Scru ggs-V.-B. D. G., 1st P f d . . . Scru ggs-V.-B . D. G., 2nd P f d . . . Scru ggs-V .-B . D. G., Com .......... Scullin Steel, F re f.......................... Securities Inv., P fd ........................ Securities Inv., Com...................... Sheffield Steel, Com...... ............... SkoUras Bros., “A ” ........ ............... Southern Acid & Sulphur, Com. Southwestern Bell Tel., P f d . . . . St. Louis Amusement “A ” ........ St. Louis Car, Com........................ St. Louis Car, P fd ......................... Stix, Baer & Fuller.................. W agner Electric, Com .................. W agner Electric Corp., P f d . . . . W altke, Com...................................... W altke, Pfd........................................ Mining Stocks Granite Bi-Metallic ...-----. . . •■•; Consolidated Lead & Zinc Co. A Par Value 100 100 100 100 too 100 100 100 100 100 100 167 457 300 450 555 335 Sales Oct. 20 to Nov. ; Shares 78 193 10 51 520 24 181 174 560 335 450 127 2202 206 1 30 1212 No Par 28% 25 20 100 100 No Par No Par No Par 100 100 No Par No Par 100 100 100 25 25 $1.00 100 01 35 101% 97 20 23% 39% 120 43% 23 20 114 97 130 15 19 20 99 34 97 108 112 90 31% 19 07 101 29 59% 11 30 31% 95% 21% 751/4 4% 108 221 109% 221 57% 56 99 100 175 110 15 38 38 3Q 103% 95 21 35% 31 % 111% 101 19% 74 74 15 30 105 34 29 38 44 117 39 17% 98 28% 29 85 69% 112% 61 35% 102% 99% 21 28 40 120 47% 24 21% 116 100 136 % 16 20 21% 99 40 97% 108 113% 91 33 20% 72 101 30 60 11% 31% 33% 96% 22% 77% 4% 110 239% 110% 239% 61 56 100 102% 180 110 16 39% 38 100 108% 96 23 40% 32% 112 103 22 75 74 18% 33% 105 34 30 40 45% 119 40 17% 98 29% 32 87 79 113 35 225 96 193 200 550 218 20 2335 327 123 50 15 23 135 120 35 10 729 431 20 41 60 418 144 120 20 40 55 190 1350 41 30 449 240 160 43 1778 212 1778 7847 50 310 104 90 40 406 57S 130 135 8 22 3666 1797 4026 190 141 1634 25 5 657 201 28 253 320 155 185 467 170 35 38 580 1215 196 3600 20 30c 11 30c 12 3000 2400 100 10O 100 100 25 No Par 100 100 No Par 100 No Par 25 No Par 100 No Par 100 100 100 No P'ar 100 No Par No Pa r No Par 100 100 100 100 No Par 25 25 100 100 100 No Par No Par No Par 100 100 No Par 100 100 25 N o Par 100 No Par No Par No Par No Par 100 No Par 10 100 No Par No Par 100 No Par 100 10 No Par Registered Mail Envelopes HECO Nov. 19 Month’s Pr ice Range High Low Sale Price 169 161% 310 320 305 305 282 2S0 16111. 156 165 170 170 132% 119 ENVELOPE C O M PA N Y Chicago, Illinois 15 19 108 91 57% 22% 40% 22 74 18% 30 39 70% 11% Safety Pay Envelopes H E C O - C H IC A G O St. Louis, December, 1927 85 F rom H o w M a n y B anks D o Y o u r C ustom ers O btain L oan s? (Continued from page 8) goes without saying that it is most nec essary that the participating bankers pledge themselves to co-operate with the other banks involved in any partic ular case and not to take any advan tage of the information received. Conservative Securities The cost is negligible and can be as low as $15.00 per 1,000 borrowers. It must be understood that this matter of cost depends entirely upon the labor charge, and whatever it is it should be considered as an insurance premium and assessed on the basis of total loans in dollars rather than number of borrow ers. No Funds A greeting often accorded the visiting Investment House Representative, and and one that, in the light of subsequent Furthermore, let me emphasize this one point— the first part of the job is the hardest and costliest. After the first check-up there is practically noth ing to it. d e v e l o p m e n t s , has time and again proven to be one of the costliest. S e o f t h e m o s t t r a n s a c t i o n s The Results Obtained. Now what is the result of establishing a Credit Bureau. The first result is the solving of the problem of the duplicate borrower. That is why it was estab lished. But that is not all, and as time goes on that seems to be insignificant compared with the collateral benefits. To quote Jones of that famous Marshall County: “ Not long ago I was talking to the cashier of the other bank in my town about the election of officers of our county organization, and remarked that I thought we were getting along pretty well. He said that we did not do very much until after we got our Credit Bureau. “ Oh, I don’t know,” I said, “ didn’t we get equalization of our bank stock taxes?” “ Yes,” he said, “ but it took us five years to do it and look what we’ve accomplished in the last two.” “ N O p r o f i t a b l e a r e F U N m D a d e w b o n d i t h S ” Asli our representatives for current infor mation, including market quotations, concerning your bond holdings. It may prove profitable. B a r t l e t t & G o r d o n INCORPORATED FIR ST NATION AL BANK BUILDING C H IC A G O FIR ST W ISCONSIN NATION AL BANK BU ILDIN G And what have they accomplished in the last two? First and foremost, real confidence and friendship, the basis of all that makes life worth living and business a pleasure. Out of that came helpful co-operation, uniform and stand ardized methods, service charges, mu tual concern for each other’s condition and solvency, the complete breakdown of unprofitable competitive practices and the feeling is being born that each is dependent upon the other and that good bank management demands mutual su pervision which will no doubt very soon take material form in a Clearing House organization. This portrays exactly the same bene fits derived by members of the other 17 organized Credit Bureaus, one of which I might add has 49 subscribing mem bers who reported 20,460 borrowers, 2,178 of which borrowed from more than one bank up to seven. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis o m M IL W A U K E E STICKNEY'DENYVEN&Co. STO C K S S E C U R IT Y 1 9 2 8 BONDS B LD gS ^ ^ S T . L O U I S , M O . G a r fie ld 3140 Reed Master-mass Plan Mid-Continent Banker 36 Equitable BondandMortgage Investment Trust N ow in N ew Building Shares represent— A cross-section of the basic industries and most successful businesses and institutions in the world. This makes this type of se curity, when properly selected, a prime investment for banker, farmer, merchant, professional or working man. W e are specialists in invest ment trust issues. E L L IO T T R. C O U D EN S Y N D I C A T E 1602-1603 Landreth Building St. Louis, Mo. Phone— GA rfield 3993 Strongly An outstanding event in our business as well as family life is the day we move in to our own home. Compact and com plicated problems of urban existence do not always make this possible, but when a business organization finds it possible to erect its own large office building for an executive home, con gratulations are in order. The Equitable building at 180 West Washington street, Chicago, one of the “ Loop’s” new office structures, is the home of the Equitable Bond and Mort gage Company. Flowers, telegrams, letters and hundreds of personal callers entered into the spirit of the opening week. Coincident with the firm’s re moval to the new home, it is significant that in connection with the nature of their business they have underwritten millions of dollars on large apartment buildings in a number of cities, provid ing homes for thousands of families. Readers of The Mid-Continent Banker are well acquainted with the firm and its personnel. Miller Weir, a former na tional bank examiner and resident of Jacksonville, 111., manager of the bank division, has written interestingly a series of articles on various human in terest subjects for this magazine during the past two years. He will also write another series of articles to appear in The Mid-Continent Banker at intervals during 1928. The president of the company is J. C. Johnson, whose early specialized training in finance was followed in the years 1906 to 1910 by services as na tional bank examiner for the States of Indiana and Illinois. His services in that direction attained much favorable notice in high quarters. During that period he was also delegated by the United States government to conduct certain important special examinations. From 1910 to 1919 Mr. Johnson was ex ecutive vice-president of the Citizens’ National Bank of Evansville, an institu tion of more than ten million dollars of assets. From 1919 to 1921 he was senior vice-president of Great Lakes Trust Company of Chicago. In 1921 he as sumed the responsibilities of president and director of Equitable Bond and Mortgage Company. F. Marvin Austin is vice-president, treasurer and director. Prior to his service to the country during the World War, Mr. Austin had been an officer of the Citizens’ National Bank of Evansville during Mr. Johnson’s connection with that institution. After the war he was again associated with Mr. Johnson, as an officer of the Great Lakes Trust Company of Chicago. From the Great Lakes Trust Company, Mr. Austin came to Equitable Bond and Mortgage Com pany. E. L. Augustus, vice-president and di- Safeguarded Investm ent Trusts The United States Shares Corpo ration manages five investment trusts. In each the underlying securities are deposited with a bank which acts as trustee. The trustee collects the income on the underlying securities and twice each year pays, as dividends, the accumulated distributable income to the shareholders. Every security in the portfolios of these various trusts, is readily marketable and pays income regu larly. Substitutions may be made to maintain high quality, but are restricted by rigid trust agree ments. Circular N.-75 on Request United States Shares Corporation Fifty Broadway New York -* -jê -Æ ïÆ -Æ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The bank floor ¡a the new home of the Equitable Bond 8 s Mortgage Company, Chicago 'St. Louis, December, 1927 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 37 Exempt from All Federal Income Taxes Safe Municipal Bonds Backed by the Faith and Credit of Sound, Prosperous Communities W e ow n and offer for the consideration o f conservative investors the follow ing carefully selected municipal bonds : Security C h i c a g o S t a t e W e s t C S t a t e C S o . o f O h i c a g o o f i t y P a r k O r e g o n T o l e d o , C i t y o f D C i t y o f D e t r o i t , A o f N o f C C i t y o f N e w C i t y o f M e m p h i s , i s s i o n e r s . m 4 4 V 4 y 2 ’ s o u n t y , W i s . , 4 e m 4 X/ 2 ’ s . i t y o f S h r e v e p o r t , L a . , 4 C i t y o f R a l e i g h , C . , H a r r i s C i t y o f C o u n t y , D N . S c h . T e x . , N u r h a m , N S p a r t a n b u r g C H o u n t y , M e n d e r s o n o o r e S t . C C P e t e r s b u r g , . o u n t y , o u n t y , N 4 V D i s t . , . F l a . , N ’ s O . 2 ’ s h i o , O 1 5 , c t . 1 , 1 9 5 2 4 V . 4 C . , 4 4 ’ s 2 ’ s Vz ’ s % % ’ s ’ s ’ s 3 . 9 5 3 . 9 5 4 . 0 0 1 9 5 6 1 9 4 9 - 1 9 5 7 4 . 0 5 J a n . 4 . 0 5 1 , a r . 1 9 4 8 1 , 4 . 1 0 1 9 3 1 1 9 4 7 - 1 9 4 8 4 . 1 0 M 4 . 1 0 a r . 1 , 1 , 1 9 4 2 1 9 5 0 O p t . ’ 4 2 1 , 4 . 1 0 4 . 1 5 4 . 1 5 1 9 3 4 1 9 4 9 - 1 9 6 3 4 . 1 5 1 9 3 3 - 1 9 6 7 4 . 1 5 - 4 . 2 0 A p r i l 1 , 4 . 2 0 1 9 3 4 4 . 2 0 - 4 . 3 0 1 9 3 1 - 1 9 4 6 J a n . 5 ’ s C . , Vz a y S e p t . 1/ * ’ s S . % 3 . 9 0 3 . 9 5 1 9 4 7 - 1 9 4 8 C . , . 3 . 9 0 1 9 4 4 1 9 5 2 8i p r . J u l y a v . D i s t . 4 C . , 5 4 4 ’ s C V i l l a g e 1/ 2 , s L a . , T e n n . , T e n n . , 2 ’ s M . 1 , 1 , 1 9 4 0 - 1 9 4 1 M . O r l e a n s , p h i s , . 4 V 2 ’ s g . 1 9 4 0 - 1 9 4 8 i c h . , 4 V u c t . A M 6 ’ s 4 ’ s A O 1/ 4 ’ s 4 ’ s h i o , ’ s . 2 ’ s i c h . , C a r o l i n a 4 . M M B e r e a . i s s i o n e r s a n d h i o , A r k a n s a s L a n g l a d e m ’ s C o m 4 ’ s o r t h O % O e t r o i t , s h t a b u l a , S t a t e 3 P k . o f S t a t e C o m r e g o n , Per Cent YielJ About Maturity 1 , 4 . 2 5 1 9 4 0 - 4 1 1 9 3 5 - 1 9 4 6 4 . 2 5 1 9 4 8 - 1 9 5 7 4 . 3 5 1 9 5 2 - 1 9 6 1 4 . 3 5 J a n . 4 . 9 0 1 , 1 9 5 7 Descriptive Circu’ars Sent Upon Request Ames, Emerich 8c Co. 509 Olive Street, St. Louis C h i c a g o N e w Y o r k P h i l a d e l p h i a M i l w a u k e e > L o s Æ ' A n g e l e s w ,.. .. " ' 1t? jp y .' ■ 1 S a n F r a n c i s c o fe. . ; Mid-Continent Banker 38 rector, was national bank examiner in Kentucky in 1915, 1916 and 1917. He then, with Mr. Johnson and Mr. Austin, was an officer first of the Citizens’ Na tional Bank of Evansville and later of the Great Lakes Trust Company of Chi cago. U R shorts term obligations have-; been p u r 5,000 chased by more banks in the U nited States. G eneral M otors A cceptance C o r p o r atio n Executive Office ' 2.50 WEST 5 7 ™ ST. * NeivYorkCity Capital, Surplus & Undivided Profits ♦ $ 50, 616,000 MHÊÊÊmÊÊKÊÊKOÊÊÊH ÊÊm https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O U R CREED H W e P h o r o f it s M Se r v e s B o s t e st Directors are: Bernard DeVry, cap italist; Joseph L. Strauss, treasurer and principal stockholder in the Columbian Colortype Company of Chicago; Mrs. T. S. Frankenthal, widely known for her charity activities during the war, a talented and very able business woman of prominence in Chicago; William F. Gray is general sales manager as well as a director of this company. He has been connected in a similar capacity with leading institutions in New York and in Chicago for nearly twenty years. Barry County Bankers H old M eeting at M on ett The Barry County Bankers Associa tion recently held their regular quarter ly meeting at Monett, Missouri. The meeting was called at 7 o’clock by the president, P. E. Horine, cashier of the Barry County Bank, Cassville, begin ning with a dinner at the Broadway Hotel. The secretary is Raymond Brite, assistant cashier of the First National Bank of Purdy. The main topic was a very able ad dress by Allen McReynolds, attorney, of Carthage, on the question of taxation. Mr. McReynolds is one of the attorneys of the Jasper County Bankers Associ ation and has given this problem con siderable study in the past few years. At this meeting pursuant to suggestions made by Mr. McReynolds, action was taken in line with recommendations of the Missouri Bankers Association look ing toward a reduction in bank taxation in Barry County in order that banks would be taxed on the ratio of valuation as other property in the county. A com mittee was appointed to handle this tax matter and it was the consensus of opinion that immediate relief could be had on the taxes to be paid this year and in subsequent years. There were twenty-seven present at the meeting. All banks in the county but two were represented. The next meeting of the association will be the regular quarterly meeting in January, which will be held at Seligman, unless a previous meeting is called by the pres ident. E lm e r L. Neff, fo r m e rly vice-president of the First National Bank of Miami, Okla., has been elected cashier of the Exchange National Bank of Bartlesville. 39 St. Louis, December, 1927 An Explanation of Leasehold Bonds Leasehold Bonds A re Bonds Issued by the Lessee and Secured on His Leasehold Interest in the Property HE following is not written from the legal point of view, but in an effort to set forth the theory and practice of leasehold real estate bond issues in the language of the bond dealer. T The leasehold idea as a basis for se curity is relatively new, except in a very few localities. The leasehold method of financing real estate construction is continually growing in popularity and has many points of advantage over the more familiar method of mortgage loans secured on the fee. For this reason, we believe the subject is timely and worthy of due consideration. Fee and Leasehold T it le s The title of real estate may be based upon outright ownership of land and buildings or it may be based upon the right of the use of such property in con sideration of a rental. Everyone is fa miliar with the ordinary short term lease which covers the use of residence property, such as homes and apart ments. As such leases generally run for a short period, they are more a mat ter of convenience or protection than of having any value as they are strictly temporary. It must, however, be conceivable to anyone that the same lease, sufficiently lengthened, gives in effect a right to use the property which may be practically as desirable as owning the fee. The majority of ground leases are for 99 years, which far exceeds the life of any average tenant and in fact the life of any building from the standpoint of in vestment value. For this reason, the right to occupy property, whether in the form of land or building or both for a period of 99 years is for all general purposes, ownership. The land in the loop section of Chicago as far as land goes, is no better or probably not as good from a dirt standpoint, as thou sands of acres of farm land in any state. Rut the reason that it is so valuable is on account of its location. In a 99-year lease, the lessee controls and has the use of the location or the value for 99 years. So what difference does it make whether they own this location by vir tue of deed or lease, except for the pay ment of a fixed rent? The purpose of the foregoing is to establish the idea that long term leasehold titles and fee titles accomplish much and the same purpose, for the occupant of the prem ines. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis we start from the standpoint of the owner of the property. Assume that an individual owns a valuable piece of vacant property which he desires to sell for a million dollars. It is sometimes difficult to find a buyer with one million in cash to invest, and even if such a transaction takes place, the owner is immediately faced with a problem of reinvesting the proceeds of this sale. At this point, he is ap proached by a reliable real estate oper- B y Carroll S. Felter Manager Wholesale Bond Dept. Robert S. Strauss & Co. Advantages of Leasehold T itles The growing tendency toward leases rather than outright purchases in large transfers of real estate is based upon practical conditions, according to the benefits of both the owners of the prop erty who became the lessors, and the tenant, who becomes the lessee. This subject is most easily appreciated when < T \ s fO R E than 2 , 0 0 0 banks o f the United (j L States purchase these notes f o r prim e, short-term investment. Checkings available in any fin an cial center and co?nplete credit data on request. Industrial A ccep ta n ce C o rp o ra tio n D E A L E R S E X C L U S IV E L Y F IN A N C IN G S T U D E B A K E R C o l l a t e r a l Gold T r u s t Notes (T H E N A T I O N A L C I T Y B A N K O F N E W Y O R K , T ru stee) E xecutive Offices GRAYBAR BUILDING, [Lexington Avenue at 4 3 NEW YORK rd Street] Com?nercial Paper Offices NEW YORK f DALLAS C H IC A G O * * M IN N E A P O L IS 105 * • SAN F R A N C ISC O South La Salle Street ST. LOUIS y Boatmen’ s Bank Building Mid-Continent Banker 40 ator who offers to pay him $200,000 cash and a rental for 99 years of $40,000 a year. $ 1 2 0 ,0 0 0 . 0 0 The offer to pay a fixed rental for a long period is usually quite attractive to the owner for several reasons: he does not have to seek new investment for the $800,000; furthermore, a sale of the land at a high price may involve the payment of a very substantial income tax, especially if the land has material ly advanced in price from his original purchase. Mississippi V alley Utilities Corporation 672% First M ortgage Serial Gold Bonds S e r i e s D a t e d J u l y 1 , 1 9 2 7 “ B D M u e J u l y 1 , 1 9 2 9 t h r o u g h 1 9 3 7 Principal and sem i-annual in terest (January 1st and J u ly 1st) p a ya ble at the L ib e r ty Central T rust '‘ C om p a n y, St. Louis. Coupon bonds in interchangeable denom inations o f $1,000.00 and $1500.00; registerablc only as to principal and redeem able on s ix ty da ys w ritten notice as fo llo w s : On or before June 29, 1929, at 103 and i n te r e s t; th erea fter, to a n d . including June 30, 1931, at 102 and in te r e s t; th erea fter, to and including June 30, 1933, at 101% and. in te r e s t: th erea fter, to and including June 30, 1935, at 101 and i n te r e s t; th erea fter, to and including June 30, 1937, at 100% and interest. L i b e r t y C e n t r a l T r u s t C o m p a n y , S t . L o u i s , It is thus evident that the owner of the land may be just as well off with a long term lease on his property as he would be through a direct sale; also it is important to note that the party who leases the property almost invariably does so with the intention of putting a building or improvements upon it, which of course, adds to its value by the amount which goes into the improve ment. T r u s t e e BUSINESS : The Mississippi Valley Utilities Corporation, incorporated under the laws of Delaware, has purchased and consolidated under the management of Mr. J. Edwin Conaway, Mr. W . I. Moody and Mr. W m . Orgill, sixteen ice manufacturing properties located in Tennessee and Mississippi. The Com pany is primarily engaged in the manufacture and sale of artificial ice, serving twenty communities with ice at retail, and in connection therewith coal is retailed in seven communities. The Company owns and operates one of the largest and most modern ice manufacturing plants in Memphis, Ten nessee, which has a present estimated population of 225,000. Outside of Memphis, the Company serves without competition communities having an estimated .population of 63,000. Now, consider the position of the les see. This party desires the use of the land in order to construct a building and naturally prefers paying an annual rent rather than putting up the full pur chase price in cash. The advantage of such an arrangement to the lessee is obvious and need not be elaborated, ex cept to say that the full amount of cash which he has available can be used for construction or improvements. SECU RITY : These bonds, together with $300,000 Series “A ” bonds, constitute the entire funded debt of the Company, and are secured, in the opinion of counsel, by a direct first mortgage on all the fixed assets of the Company, including similar and after acquired property. According to appraisals by the American Appraisal Company as of April 7, 1927, and September 13, 1927, the sound depreciated value of the mortgaged property is $855,167.01. The Company owns and operates sixteen ice manufacturing plants, having a daily capacity of 307 tons, ‘with a storage capacity of 3,260 tons, located at Mem phis, Union City, McKenzie, Halls, Newbern, Somerville and Tiptonville, Tennessee, and at Holly Springs, Charleston, Marks, Crenshaw, Como, Lula, Rolling Pork, New Albany, and Oxford, Mississippi^ E AR N IN CS: According to audit reports of Messrs. Ernst and Ernst and Messrs. Peat, Marwick, Mitchell & Co., for thirteen companies subject to their audit and including estimated earnings of $21,610 for the New Albany and Oxford. Mississippi, properties and of $17,098 for the Union City. Tennessee, properties, recently acquired, the net operating profit of the consolidated com panies for the year 1926 was $148,485. After deducting depreciation and Federal Taxes, net earnings were in excess of five times the average annual interest requirements on all outstanding bonds. P R IC E : To yield 6% % GEORGE H. BURR & CO. 5 0 6 O L I V E S T R E E T S T , L O U I S , M O . The inform ation contained herein, while not guaranteed b y us,: is taken fro m sources w e believe to be reliable. S h o rt T e rm P ap er fo r Bank Investment Fletcher A m erican Coittpanif A f f i l i a t e d w it h T he Fletcher A merican N ational Bank o f I ndianapolis INDIANAPOLIS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LOUISVILLE DETROIT Valu atio n of Leases , Before considering the method of mortgaging a lease and the extent of security for such a mortgage, it is nec essary to understand the ordinary rules for placing valuation on leases. To illustrate this point, go back to our original proposition that the land under consideration is worth one million dol lars. The lessee paid $200,000 in cash, leaving $800,000 on which he pays 5 per cent, or $40,000 a year. This would mean that his lease was worth $200,000. Then assume that the lessee constructs upon this property a building costing $2,000,000. The ordinary lease entitles the lessee to the use of the land and all improvements so that upon the construc tion of the building, the lessee is enti tled to the use of the property with a total value of $3,000,000 in return for the rentals which represent the income at 5 per cent on only $800,000. Obvious ly the value of his leasehold interest, or “ Leasehold Estate,” as it is generally called, is the difference between the total value of $3,000,000 and the amount of $800,000 on which he pays rental, re sulting in a net value o f $2,200,000. We are here using a case in which the value of the leasehold equity lies just in the building and the original purchase of $200,000 lease. It is quite possible, and in fact it most frequently happens, St. Louis, December, 1927 4 1 that the lease may have still further values. Still assume that the rental paid on is the basis of $800,000. Then suppose that in a few years -thereafter, the land increased to a valuation of $2,000,000 on which there has been no increase in rent paid the lessor. The lessee re ceives the full benefit of such increases because in reality he is getting a mil lion dollars’ worth of land for nothing, or to express it differently, he has the use of $2,000,000 worth of property for the rental price on $800,000. This con dition usually applies to relatively old leases; in other words, the point that we want to bring out is on a 99-year lease on a fixed rental, the value of the lessor’s interest or fee estate cannot increase in value, for any increase in value of the land naturally goes to the lessee, because for all purposes, he con trols and has the use of the property for 99 years. There are many old leases in existence today that are far more valuable than the fee estate from whom they were leased. Foreign Bonds for Banks W e ll-se le c te d bonds have a m u ch- m erited place in your ba n k ’s investm en t struc ture. D iversification can not be com plete w ithout this profitable typ e of securities being included. Reference to any careful su rvey of the foreign m arket for the past five years w ill show a de cided investm en t advantage offered b y sound foreign obligations. N ation al banks reporting to the Federal R e serve sh ow m ately Financing a Lease com bined five hundred h oldin gs m illions of in approxi foreign se curities. A leasehold bond is a bond issued by the lessee and secured on his leasehold interest in the property. You can see from the foregoing that the lease is just as mortgageable as the real estate it self, and that it has a value which can be established by the method shown above, and is just as good for collateral if properly set up as the fee. In the issuing of a leasehold bond, the lessee pledges his lease as security. This having been done, he is forced with the necessity of making the prop erty earn enough to pay his charges and still show him a profit. The value of a leasehold bond depends quite large ly on the ratio of earnings derived from the property as compared with the total charges for rentals (usually called “ Ground Rent” ), taxes, insurance and other expenses. You will also appre ciate that any increase in the value of the land, as it all goes to the lessee, shows a much greater ratio of increase of security than if the bond covered also the fee. Another way of putting this more plainly is to take our original ex ample where the lease is worth $200,000 and the building $2,000,000, or a total value of $2,200,000; a 60 per cent loan would be $1,320,000. Now suppose, for example, without any bonds being re tired, the value of the land has increased to $2,000,000, which would mean a loan of $1,320,000 against a total valuation of $3,200,000, or 41 per cent loan. The same loan against the fee and building which would be an original value of $3,000,000 with a 60 per cent loan, would be $1,800,000. If the property increased a million, the total value would be $4, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis foreign W e m aintain a special service in foreign securities for banks. B A K E R , K E L L O G G & C O ., Inc. 111 W est M on ro e Street C H IC A G O NEW YORK LONDON F I S C H G F DETROIT BUENOS AIRES Telephone Randolph 0415 E R S M A D I S O u a r a n t e e d I S C H E R S F irst M o r tg a g e 6 % G o ld N o te s Dated October 1, 1927 Due Serially, October 1, 1929-30 Priced to Yield 6% a s P A N t o R A - A P P L E T O P r i n c i p a l M O U N T N T a n d T H E H E A T R I n t e r e s t A T R E S , E S C O . b y I n c . H E S E n o te s are secu red b y a clo se d first m ortg age on three v a lu a b le sites— tw o in M a d ison and on e in I 1 A p p le to n ; W isco n s in — and the three com p leted and su cce ssfu lly op erated theatres thereon, in clu d in g a ll p e rm a n e n t fixtures ow n e d b y the C o m p a n y . T h e fair cash m arket v a lu e of these properties, as in d ep en d en tly app ra ised b y the M a n u fa ctu re rs' A p praisa l C o m p a n y , is over 2 10 % o f these first m ortgage notes. T h e p rin cip a l and interest o f this issue are. fu rth erm ore, u n co n d itio n a lly gu aran teed b y Fischers P a ra m ou n t T h e a tre s , I n c ., c o n tro llin g a ch ain o f eleven theatres in the states o f W iscon sin and Illinois. Earn, ings o f the gu aran tor c o m p a n y average 5.44 tim es m axim um in te re st requirem en ts o n these first m ortg age notes. V. t Inquiries Invited E. H. OTTM AN & COMPANY, Inc. Investm ent Bankers 1 0 5 W . A d a m s S t . C H I C A G O B a n k e r s B u i l d i n g 42 Mid-Continent Banker Knight, Dysart & Gamble Investment Securities C O R P O R A T IO N P U B L IC U T I L I T Y R A IL R O A D M U N IC IP A L 401 Olive Street St. Louis G A rfield 7790 Still another way of putting it: take the lease and fee exclusive of the build ing. In the first instance, the $200,000 lease advanced to $1,200,000, or an in crease of 500 per cent, while in the sec ond $1,000,000 fee increases to $2,000,000, or only 100 per cent. BONDS MEMBERS NEW YORK STOCK EXCHANGE ST. LOUIS STOCK EXCHANGE A Bond Aid for Bankers H E banker of today must necessarily be in close touch with investments and their markets. T But most often he is too busy to devote adequate time. To care for his needs we have developed an Investment Correspondent Department to supple ment his personal service. Each month we issue the "Investment Digest” with a review of current business and investment conditions and giving practical ideas and helps in developing an investment service for busy bankers. If you are not receiving the D igest send us your name. At all times we are able to quote and give up-to-date information promptly on all outstanding issues. Inquiries by mail, telephone or telegraph will receive our immediate attention. Bond Department K R E N N & D A T O , Inc. Exclusive Agent for Edith Rockefeller McCormick Trust 39 S. LaSalle Street 111 Broadway 916 Walnut Street CHICAGO NEW YORK KANSAS CITY Lawrence Stern and Company 231 South La Salle Street Chicago BOARD OF DIRECTORS W ILLIAM WRIGLEY, JR.. Chairman of the Board of W illiam W rigley Jr. Company ALBERT D. LASKER, Chairman Board of Lord A Thom as and Logan STUYVESANT PEABODY, of the President CHARLES A. M cCULLOCH, President p a n y a n d https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis c o n d u c t s p a r t i c i p a t i n g HERBERT L. STERN, a of the Board of Co. President ALFRED ETTLINGER, JOSEPH J. RICE, of g e n e r a l i n s e c u r i t i e s h i g h - g r a d e Vice President Vice President LAW RENCE STERN, of T h e Parmelee Company c o m Chairman Y ellow T ruck A Coach Manufacturing Balaban A Katz Corporation of Peabody Coal Company T h i s JOHN HERTZ, President b u s i n e s s , i n v e s t m e n t 000,000 with a loan of $1,800,000, or 45 per cent. Of course, we do not consider it good practice to issue bonds unless a definite amount is being paid off year ly out of the earnings of the building. You can readily appreciate that the ra tio would be the same in either case as the above is set up in that manner to make the explanation clearer. o r i g i n a t i n g i s s u e s A mortgage on the fee dated later than the lease is said to be subject to the lease, which means that the rights of the lessee must be recognized, when the mortgage is created. The security of the leasehold bond is not effected in any way by rlie existence of s".eh mort gage, as it has no bearing on the lessee, as in reality such mortgage is against the rental paid by the lessee. You can readily see that it makes no difference to the lessee to whom the rent is paid as long as the terms of the lease cannot be changed. Issue N ew B o o k on E c o n o m ic C on d ition s in E u rop e Europe now has an economic stabil ity of 95.3 per cent, as measured by the stability of foreign exchange of its prin cipal nations, excluding Russia, accord ing to data just prepared by Ames, Emerich & Co., investment bankers. This is a new post-war high mark and compares with a stability of only 58.1 per cent in 1922, and 85 per cent in 1926, as shown in ‘‘Economic Briefs of Europe,” one of the latest books on European affairs, which has just been privately published by these bankers. The book discusses this growing sta bility as the outstanding recent develop ment in the field of international eco nomics. “ Indications,” say the bank ers, “ are found in the increasing strength of the financial position of the central banks, in the growing volume of foreign trade, and in the increasing quantity of manufactured goods pro duced and consumed. But Europe’s re covery is most strikingly revealed in the ever-growing stability of the for eign exchanges of these nations, for, determined as this index is by all the various factors which affect the eco nomic position of the country, it is prob ably the best single test of such posi tion.” The volume which has been widely distributed to executives in banks and bond houses, was prepared under the di rection of the publishing bankers’ econ omist, Dr. Paul M. Atkins, sometime- 43 St. Louis, December, 1927 D ’Oench, Duhme & Com pany, Inc. □ □ □ BONDS S' Government N Municipal Public Utility Corporation Real Estate Foreign s □ □ □ Member Saint Louis Stock Exchange 507 Locust Street ST. LOUIS, MO. Telephone, GArfield 6940 S U P E R IO R S E C U R IT Y S E R V IC E T O BANKS B A N K E R 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 specialist on the American Commission to Negotiate Peace. It was designed from the point of view of the investment banker, and not only contains a review of recent changes, but traces economic developments in Europe since the World War, and reveals the remarkable eco nomic progress which has been made during that period. It contains individ ual chapters on every country of Eu rope except Russia and Albania, as well as chapters on factors in foreign credit, foreign investments and foreign trade, the economic features of the League of Nations and the Dawes Plan and Repara tions— these last of particular interest in the light of the recent report of S. Parker Gilbert. Written in an easy, readable style, provided with four large color maps of Europe, and including many tables of significant statistics, the book has found a very cordial welcome among banks, security dealers and large private in vestors in foreign securities. Emery, Peck 8CRockwood Company 1910 E S T A B L ISH E D Investm ent Securities V Continental and Commercial Bank Building CHICAGO Railway Exchange Building MILWAUKEE W a ll at Jerusalem Uncovered The Jewish Exploration Society has uncovered about 180 feet of the Jeru salem wall which was built by Herod Agrippa, one of the last of the Jewish kings. This is supposed to be the third of a series of walls built for the protec tion of the weakest side of the city. It was begun between 40 and 44 A. D., and was not completed by the Jews until just before the final siege of the city, when it was destroyed by Titus. O B M c C L IN T O C K M IN N E A P O L IS . C O M P A N Y - - /A IN A L Mailing Lists Will help you increase sales Send for FREE catalog giving counts and prices on classined names of your best prospective customers — National, State and Local — Individuals, Pro fessions, Business Concerns. The Farm ers State Bank and Citizens State Bank of Manchester, Okla., have merged in a deal in which the Farmers Bank absorbed the latter. 99% 5g^ch underwrite and distribute Public Utility, Industrial and Municipal Bonds. Special service to Banks in bonds fo r investment or re-sale« Y our inquiries incited Full details on request. M ark C. Steinberg Co. STO C K MEMBERS © O live 4600 B o a t m e n ’ « B an k Hotel B ld g. Jefferson S T . L O U IS M em bers N ew York Stock E xchange M em bers St. L o u is Stock E xchange https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a .c .a l l y n ™»c o m p a n y National Bank of Commerce Bldg., St. Louis CHICAGO D E TR O IT NEW Y ORK M ILW AUKEE BOSTON M INNEAPOLIS PHILADELPHIA SAN FRANCISCO Mid-Continent Banker 44 G. Olive Street Notes Harold M. Bixby,, vice-president of the State National Bank, was re-elected president of the St. Louis Chamber of Commerce at the annual meeting held November 9, and Thomas N. Dysart, a member of the investment firm of Knight, Dysart & Gamble, was re elected first vice-president. M a r k C. Steinberg, head of the bro kerage firm of Mark C. Steinberg & Co., recently made a gift of $100,000 to the Y. M. H. A. and Y. W. H. A. o f St. Louis. The gift, Mr. Steinberg explained, was made as a tribute to the work done by these organizations since the opening ot their new building on Union boulevard last January. H e nry C. Garneau, m a nufactu re r, banker and member of the firm of Lo renzo E. Anderson Co., died suddenly of heart disease at his desk in the offices of Lorenzo E. Anderson Co., on Novem ber 9. Mr. Garneau had been active in the civic, industrial and commercial life of St. Louis for a number of years. He was born in St. Louis and educated at St. Louis and Yale universities. He en tered business in St. Louis as a broker in 1899. A. Hanke,, fo r m e rly owner of Brown’s Business Colleges in St. Louis, is now connected with Stifel, Nicolaus & Co. Mr. Hanke is president of the City Club of St. Louis and a member of the St. Louis Rotary Club. He is a na tive of Warren County, Missouri. James M. Canavan,, fo r m e rly w ith Knight, Dysart & Gamble, is now asso ciated with the sales organization of the St. Louis office of Bonbright & Company. Mr. Canavan is a native St. Louisan and a graduate of Washington University Law School. He is a member of Phi Delta Theta and Delta Theta Phi fra ternities. O liv er J. Anderson Co., investment se curities dealers with offices in the Am bassador building, St. Louis, are install ing a branch office at the Coronado Hotel. Webster Tilton will be in charge ,oji the new branch which will be main tained for the convenience of the up town customers of the company. E. P. Cave, vice-president and director of the Ely & Walker Dry Goods Com pany, has been elected a director of the Merchants-Laclede National Bank. Mr. Gave has been connected with the Ely & Walker Dry Goods Company for thirty years. Stifel, Nicolaus & Co. have announced that Albert F. L. Schmidt is now con nected with their organization. Paul Brown., m u ltim illio n a ir e head of FIDELITY-MEANS-KEEPING-FAITH Milestones T h e m iles that represent a bank’s relations w ith its patrons are m arked w ith m ilestones of definite services. A m o n g the im portant services w hich a progressive bank m u st render is im partial advice regarding securities. F idelity F irst M o rtg a g e 6 y 2% B on ds adequately fill the requirem ents of a w ell balanced investm en t and to m any investors, are stepping stones in their path and m ile stones in their progress to financial independence. M an y F id elity B on d ow ners got their start through their banker’s recom m endations. If you are not acquainted w ith F idelity B on ds, our b o ok let, “ T h e H o u se Behind the B o n d s,” w ill serve as an adm irable introduction. A llo w us to send it. J.U. MENTEER.Prpsirfeni’ o^> INCORPORATED 1913 Home Office: 651 Chemical Bldg.,St. Louis Chicago—Denver FIDELITY-GUARANTEES-EVERY-BOND, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis the brokerage firm of Paul Brown & Co., died November 18 at Colorado Springs, Colorado, where he had gone in an attempt to regain his health. He started his career as a virtually penni less farm boy and rose from an obscure employe of a tobacco factory to a posi tion as one of . the wealthiest men in St. Louis. AW the time of his death he owned a number of office buildings in St. Louis, including the Paul Brown building, the Chemical building, Frisco building and, several others. T he Pr octor & Gamble Company, in a deal aggregating more than $8,000,000, has purchased the William Waltke & Co., St. Louis soap manufacturing con cern. Negotiations for the purchase were handled by W. A, Harriman & Co., -Inc., of New York. Holders of the no'par value stock of the Waltke Company receive cash and 6 per cent preferred stock of the Proctor & Gamble Company in the ratio of approximately $70 in cash and Proctor & Gamble stock for one share of common stock in the Waltke Company. Holders of the $1,500,000' -pre ferred stock of the Waltke Company are to receive $110 per share for their stock, plus accrued dividends. St. Louis, December, 1927 T h e E ffe ct o f th e L iv e S tock M a rk e t on B anks in the St. L ou is T errito ry (Continued from page 9) more feed than the livestock he has on hand will consume. He therefore goes to his local banker and asks for credit for the purpose of buying feeder cattle to put on the farm to feed his surplus corn in hopes of getting a higher price for his corn than he wbuld were he to sell it on the market at market-prices. Assuming that you have a reasonably steady cattle market it has proven quite an advantage to market corn on the hoof rather than sell it outright on the market. •*: Conditions in the rural districts the past several years have made it neces sary for the banks operating in these districts to curtail their loans to a great extent and it is at this point the banks located in the marketing center of this district, which is St. Louis, enter into the transaction. The bank located at the stockyards is vitally interested in the cattle industry and has made it a practice for a good many years to fi nance such operations of farmers where the bank in his community is not in a position to do so. By reason of our lo cation we are in close touch with the cattle market and try to keep our cus tomers advised of the conditions in that industry from time to time, thereby helping them judge the right time to buy, and the right time to sell. The other banks located in St. Louis are equally willing, I feel sure, to handle loans of this character for their corre spondents in the rural districts. This brings out the fact that both the indus trial center and the rural districts are dependent each upon the other for their progress. The concentrating of the surplus of the interior» bank in the re-* serve center creates -a reservoir o.f money available foiythe benefit of the interior bank or their customers. In making advances ofi-money on security of this character -tbe St. Louis institu tions are greatly aiding the livestock business as well as flip community in which the loan is made. The collapse of the cattle market a few years ago brought about disaster to a great many cattle feeders throughout the Mississippi Valley, but the past few years the price has been steadily bet ter and has been stable enough, it ap pears, to warrant the feeding of cattle. This fact has stimulated the demand for feeder cattle and reports indicate that in Missouri and Illinois, particularly, there are a great many more cattle on feed this fall than there has been for several years. The consensus of opin ion , is that the price of cattle is going https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 45 to be pretty steady for - the next few years. With that fact pretty well es tablished, the feeding of livestock in the territory adjacent to St. Louis should be in greater volume next year than it has been for several years. It is the desire of the bank which I repre sent to encourage, where conditions wax-rant, the feeding of livestock and we are looking forward to the future with confidence in the industry as a whole, believing that if conditions re main economically sound, the business of feeding and raising livestock should prove a profitable one and should war rant the farmers in the different com munities to go into the business in a de- gree which tlfeir financial condition will permit. We have faith in the future develop ment of not only this country, but also in this Mississippi Valley section, and believe it will continue to improve in its methods of conducting its various busi nesses. The prosperity of these insti tutions depend entirely upon the pros perity of the tillers of the soil in this great section'which St. Louis serves as a marketing center. Working together we can increase our efficiency and pro mote the general welfare of this par ticular industry which, by reason of its size, is vital to both the industrial cen ter and the rural community. S IN S U R E D F IR S T M O R T G A G E G O LD B O N D S High Yield Bonds with Payment of Principal and Interest Guaranteed The trend among investors is to the high grade 6 % first mortgage bond— INSURED— with payment o f principal and interest guaran teed by responsible guarantors. TProvipent S tate S ecurities Cq 134 North LaSalle Street CHICAGO, ILL. booklet mailed upon request. ^ --------------------------------- --------------------------------------------------------------------jT Mid-Continent Banker 46 G. H . W A L K E R & C O . Œïje Ctjaöe J^ational ^Panfe of the City of New York BONDS e. Government, Municipal, Public Utility, Railway, , Corporation Direct private wires to all principal markets enable us to render prompt and efficient service in buying and selling listed bonds. * r 1 * i 1 57 BROADWAY C a p i t a l ..................... ..... $ 40,0 0 0 ,0 0 0 .0 0 S u r p lu s a n d Profits . . . . 40,8 1 1 ,6 2 8 .6 3 D e p o sits (O ctob er 10, 1927) . 8 7 7,085,350.06 O F F IC E R S Albert H. W iggin Chairman of the Board John McHugh President Robert L. Clarkson Vice-Chairman of the Board Vice-Presidents Samuel H. Miller Carl J. Schmidlapp Reeve Schley Sherrill Smith Henry Ollesheimer Alfred C. Andrews Robert I. Barr George E. Warren George D. Graves Frank O. Roe Harry H. Pond Samuel S. Campbell William E. Lake M. G. B. Whelpley William P. Holly Vice-President and Cashier Second Vice-Presidents MEMBERS NEW Y O R K , ST LOUIS AND CHICAGO STOCK EXCHANGES B R O A D W A Y and LO C U ST S t . L o u is , M o . Frederick W . Gehle Edwin A. Lee William E. Purdy George H. Saylor M. Hadden Howell Alfred W . Hudson James L. Miller Joseph C. Ro^/ensky Benjamin E. Smythe Joseph Fulvermacher Leon H. Johnston Franklin H. Gates Arthur M. Aiken Thomas Ritchie Comptroller Foreign and Trust Department Facilities UATEÏ EMDÏDU Broadw ay at Sixty-Third HUILL LlUililL Street NEWYORKCITY M . P . 1V H JR TH A , G en era l M an ager N e w Orleans X X IX Portland Cement The manufacture of cément is a logical industry for New Orleans as the principal raw materials, limestone, clay, and gypsum, are obtained near the city. The above plant, occupying 15 acres on the New Orleans Industrial Canal, has an annual capacity of 3,000,000 bags, most of which finds a market locally. Hibernia Bank & Trust Company- https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The NEW fourteen-story fireproof structure containing every modern convenience and “ Servidor” service (Room, private toilet - - $2.50 RATES: < Single Room with bath - 3.50 [Double Room with bath - 5.00 The location is unique: Subway, elevated, street cars, buses, all at the door New Orleans, U. S. A. Finest parking space in the city St. Louis, December, 1927 4 7 CURRENT Q U O T A T IO N S O n a representative list o f H I G H G R A D E R A I L R O A D , P U B L I C U T I L I T Y , I N D U S T R I A L , C A N A D I A N and F O R E I G N B O N D S Furnished by CAM P, THORNE & CO., Inc , 29 South La Salle Street, Chicago Security Bid Alabama Pr. Co., 5s, 1951... .10 2 % Alberta (Canada), 4%s, 1956 . 99 % Amer. Chain Co., 6 s, 1933.. .104 % American Radiator, 4%s, 1947.... 98 % .104 % Amer. Roll. Mills Co., 6 s, 1938...104% .10 2 % Amer. Smelt. & Refg. Co., 5s, 1947.102 . 105 % Amer. Sugar Refg. Co., 6 s, 1937..105% Amer. Tel. & Tel., 4s, 1929. . 99 % Amer. Tel. & Tel. Co., 5s, 1 9 60...-06% .-06 % Amer. Tobacco Co., 4s, 1951. . 89 % Anaconda Cop. Min. Co., 6 s, 1953.104% . 104 % Appalachian Elec. Pr. Co., 5s, 19565 99 99% % Appalachian Pr. Co., 5s, 1 9 4 1 .....103 103% % Argentine, 6 s, 1958................ . 98 % Associated Oil Co., 6 s, 1935...........102% 102 % .10 2 Atch. Top. & S. Fe Ry., 4%s, 1962.102 Atl. Coast Line R. R., 4s, 1 9 52.... 98 % . 98 % Australia, 5s, 1955.................. Austrian, 7s, 1943...............................103 103 % Baden Consol. Mun., 7s, 1951 . 95 % Bald. Loco. Wks., 5s, 1940. . 108 % .104 % B. & O. R. R., 5s, 2000..................104% . 99 % B. & O. R. R., 4% s, 1933 ........ . 93 % Batavian Pet. Co., 4%s, 1942 Bavaria, Germany, 6 %s, 1945 . 93 % Belgium, 6 s, 1955...................... . 99 % Bell Tel. Co., Canada, 5s, 1955..103% ,103 % Bell Tel. Co., Penn., 5s, 1948.... 105 % Berlin (Germ any) 6 %s, 1 9 5 0 .... 96 % Berlin E E.&Und. Rys., 6 %s, 1956> 93 93% Vk Beth. Steel Corp., 5s, 1936.. .10 1 % Birm ’ ham Ry. Lt.&Pr,. 4%s, 1954.. 96 96% % Birmingham W. Wks., 5s, 1954... 99 99% % Brazil, 6 %s. 1957 .................... % . 99 % Bremen (Germ any), 7s, 1935 . 104 % Brier Hill Steel Co., 5%s, 1942...104 British Columbia, 4%s, 1 9 5 1 ..... 99 99% % Brooklyn Borough Gas, 5s, 1967.102% 102 % Brooklyn Edison, 5s, 1949................105 105% % Brooklyn Union Gas, 6 s, 1947...116 .116 1 01 % Buenos Aires, 6 %s, 1955 . . . Buenos Aires, Prov., 7s, 1 9 5 2 ..... 97 97% % Buffalo Gen. Elec. Co., 5s, 1939..104% Bush Terminal Bldg., 5s, I960..104% Butte Electric Pr. Co., 5s, 1951..103 Calif. G & E. Co., 5s, 1937.......... 102% Calif. Pet. Corp., 5%s, 1938........... 100% Canada, 4%s, 1936........................... 101% Canad. N at’ l Ry. Co., 4%s, 1930.100% Canad. Pacific Rys., 4%s, 1946..100 Carolina Pr. & Lt. Co., 5s, 1956.103% Cent, o f Ga. Ry., 6 s, 1929............ 102% Cent, o f Ga. Ry., 5s, 1945............ 106 Cent. 111. Lt. Co., 5s, 1943............ 102% Cent. 111. Pub. Serv., 5s, 1956 ........ 98 Cent. N.Y. Gas & E. Co., 5s, 1941.101% Cent. Pacific Ry., 5s, 1960.......... 104% Cent. Pr. & Lt. Co., 5s, 1956 ----- 97% C. & O. Ry. Co., 5s, 1929............ 100% C. B. & Q. R. R., 4s, 1949 ........ .. 98% C. C. C & St. L. R. R., 6 s, 1929..102% C. C. & St. L. R. R., 5s, 1 9 29....100 % C. C. & St. L. R. R., 5s, 1 9 63....104 % Chgo., Mem.&Gulf R. R., 5s, 1940. 99 C., Mil. & St P. Ry. Co., 4s, 1989 90% C. & Nor. Whs. Ry., 4%s, 2037..104 C .R. I. & P. R. R., 5s, 1929...100% Chgo. Union Stat., 4%s, 1962...101% Chile, 6 s, 1960 .................................. 91% Chile Mtge. Bank of, 6 %s, 1957.. 95% Cincinn. G. & E. Co., 5s, 1 9 56... 101% Cincinn. G. & E. Co., 5%s, 1961..104% Clev. Union Term., 5s, 1973......... 104% Cologne (Germ any), 6 %s, 1950.. 94% Colombia, Rep. of, 6 s, 1961 .......... 92% Colorado Pr. Co., 5s, 1953.............. 102% Columbia Gas & Elec., 5s, 1952.. 99% Columbus Ry. Lt.&Pr., 4%s, 1957. 95 Commonwealth Ed. Co., 4%s, 1956 100% Connecticut Lt.&Pr. Co., 4%s, 1956.101% Cons. Gas, N. Y., 5%s, 1945 ----- 107% Consol. Hy.-El. U. Wurt., 7s, 1956. 95% Consumers Pr. Co., 5s, 19 52....104 % Copenhagen (Denm ark), 5s, 1957 95% 95% Costa Rica, 7s, 19 51............ 97% Cuba Railroad, 5s, 1952 ----99% Cudahy Pack. Co., 5s, 1946. Cumberland Co., Pr . & Lt., 4 % s, 95% 1956 .................... 104% Czechoslovak, 7%s, 1945. . . Danish Con. Mun. Loan, 5%s, 1955 ...................... 99% Delaware & Hudson Co., 4s, 1943 96% Denmark, 5%s, 1955...................... 101% Denmark, King, of, 6 s, 1942 ___ 104% https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Asked 103 99 % 104 % 98 % 105 102 % 105 % 99 % 107 90 105 99 % 103 % 98 % 103 102 % 98 % 98 % 103 % 96 108 V2 104 % 100 94 93 % 99 % 103 % 105 % 97 93 % 101 % 97 99 % 93 V2 100 104 % 100 103 105 % 116 % 1 0 1 1 /^ 97 % 105 104% 103% 102% 100% 101% 100% 100% 103% 102% 106% 103% 98% 102 104% 97% 101 98% 102% 100% 104% 99% 91 104% 100% 102 91% 95% 102 105 105% 95 92% 102% 99% 95% 100% 101% 107% 95% 104% 96 95 97 100 96 105 99: 96% 101% 104% Security Bid Denver G. & E. Lt. Co., 5s, 1951.101 Det. City Gas Co., 5s, 1947........ 102% Detroit Edison Co., 5s, 19 4 9 ....1 0 4 % Dominican Republic, 5%s, 1942.. 99% Duquesne Lt. Co., 4%s, 1 9 6 7 .... 99% Dutch East Indies, 6 s, 1 9 4 7 .... 104% Edison Elec. Ilium., 4%s, 1930.. 99% Elec. Pr. Corp. (Germ any), 6 %s, 1950 94% Finland, Rep. of, 6 s, 1945 ............ 96% Fla. Pr. & Lt. Co., 1st 5s, 1954.. 96% Ft. W orth Pr. & Lt. Co., 5s, 1931 .................................................100% France, 7s, 1949...............................106% General Elec. Co., 3%s, 1 9 4 2 .... 94% Gen. Motors Acc. Corp., 5s, 1928.100 General Pet. Corp., 5s, 1 9 4 0 .... 101% Ga. & Alabama Ry., 5s, 19 4 5 ....1 0 0 % Georgia P. Co., 5s, 1967................ 99 Georgia Ry. & El. Co., 5s, 1932.. 101 German, 7s, 1949...............................105% German Cen. Agr. Bk., 7s, 1950.. 97% German Con. Mun. Loan, 7s, 1947 96% German Ge. Elec. Co., 6 %s, 1940.113% Goodyear T. & R., 5s, 1957.......... 94% Grand Trunk Ry., 6 s, 1936____ 109% Grt. Nor. Ry. Co., 4%s, 1976 ___ 100% Great Western Pr. Co., 5s, 1946.. 102% Greek Gov’t, 7s, 1964...................... 97% Gulf Oil Corp., Pa., 5s, 1947____ 100% Haiti, Republic, 6 s, 1952 ............ 99% Hamburg, Germany, 6 s, 1 9 4 6 .... 92% Hershey Choc. Co., 5%s, 1940...102% Hudson County Gas Co., 5s, 1949.104% Humble Oil & Refg. Co., 5%s, 1932 102% Hungary, Kingdom, 7%s, 1944...101% Hungary, Municipal, 7%s, 19 45...98% Idaho Power Co., 5s, 1947............ 102 111. Bell Tel. Co., 5s, 1956............105% 111. Cent. Ry., 4%s, 1968.101 % 111. Pr. & Lt. Co., 5s, 1956 ___ 97% 111. Steel Co., 4%s, 1940............... 100% Ind. Mich. Elec. Co., 5s, 1957...103% Ind. Pr. &. Lt Co., 5s, 1957......... 100% Inland Steel Co., 5%s, 1945.........103% Internat. Paper Co., 5s, 1947...100% Internat. Silver Co., 6 s, 1 9 4 8 .... 108% Interstate Pr. Co., 5s, 1957 ........ 96% Iowa Pub. Serv. Co., 5s, 1957.. 99% Italy, 7s, 1951.................................. 97% Japanese Gov’t, 6 %s, 1954........... 101% Jones & Laugh. Steel, 5s, 1939..104% K. C. Pr. & Lt. Co., 5s, 1952----- 104% K. C. Southern Ry. Co., 5s, 1950.102% Kansas Elec. Pr. Co., 5s, 1951..101% Laclede Gas Lt. Co., 5s, 19 34....102 % Lehigh Valley R. R., 4%s, 2003..102% Ligg. & Meyers Tob Co., 5s, 1951.103% Lorillard Co., 5s, 1951 .................... 98% L. & N. R. R. Co., 4s, 1940........ 98% Louisville G. & E. Co., 5s, 1952.103% Louisville Lighting Co., 5s, 1943.103% Lyons, City of, 6 s, 1934 .............. 99% Maine Cent R. R., 4%s, 1935.. 97% Manitoba Power Co., 5%s, 1951..103% Mass. Gas Co., 4%s, 1931 ............ 99% Mich. Cent. R. R. Co., 5s, 1931.101 Mid. Steel & Ord. Co., 5s, 1936 .. 100% Milwaukee Gas Lt. Co., 4%s, 1967 99% Minnesota Pr. & Lt. Co., 5s, 1955.102% Minn., St. P. & S. S. M. Ry., 4s, 1938 90% Miss. Riv. Pr. Co., 5s, 1951____103% Mo., Kas. & T. R. R., 4s, 1990.. 92 Mo. Pac. R. R., 5s, 1977...............101% Montana Power Co., 5s, 1 9 43... 103% Montevideo (Uruguay), 7s, 1952.103% Montreal (Canada), 4%s, 1946.. 99% Morris & Co., 4%s, 1939............... 8 6 Mutual Fuel Gas Co., 5s, 1947..101 Narragansett Co., 5s, 1957............. 1 0 1 % National Press Bldg., 6 s, 19 59... 101% National Tube Co., 5s, 19 5 2 ....1 0 4 % Netherlands, 6 s, 1954.....................102% New Brunswick (Can.), 4%s, 1936 ............................................ .101 New Eng. G. & E. Co., 5s, 1947.98% New Eng. Tel. & Tel. Co., 4%s, 1961 100% Newfoundland, 5%s, 1942............... 103% N. Orleans Term. Co., 4s, 1 9 53... 91% New South Wales, 5s, 1958........ 95% N. Y. Cent. Lines, 4%s, 2013___ 104% New York Edison Co., 5s, 1944.. 104% New York Pr. & Lt Co., 4%s, 1967 ............................................... 96 Asked 101% 103 105 100 100 105 100 94% 96% 96% 101% 106% 94% 100% 102 100% 99% 101% 105% 97% 96% 113% 94% 109% 100% 102% 97% 100% 100 93 103 105 102% 101% 98% 102% 105% 102 97% 100% 103% 100% 103% 100% 109 96% 99% 97% 102 104% 105 103 101% 102% 102% 104 98% 98% 103% 103% 99% 97% 103% 100 101% 100% 99% 102% 90% 103% 92% 101% 103% 104 100% 86% 101% 10 % 102 105 103 101% 99 101 104% 91% 95% 105 105 *6% Security Bid Asked N. Y. Tel. Co., 4 % s, 1939.............101% 101% Niagara Falls Pr. Co., 5s, 1932.. 102% 102% Nor. Ind. G. & E. Co., 5s, 1929..100 100% Nor. Pac. Ry. Co., 4s, 1997___ 97% 97% Nor. States Pr. Co., 5s, 1941____102% 102% Norway, Kingdom of, 5%s, 1965.100% 100% Nuremburg, City of, 6 s, 1 9 52... 92% 92% Ohio Pr Co., 5s, 1952.....................101% 101% Ohio Riv. Edison Co., 5s, 1951..101 101% Ontario, Prov. of, 4%s, 19 31....100 % 100% 103 Ontario Power Co., 5s, 1943.......... 102% Oregon Sht. Line R. R., 4s, 1929 99% 99% Oslo, Norway, 5%s, 1946.............. 99% 100 Pacif. Coast Pr. Co., 5s, 1940...101% 101% Pacif. Gas & Elec. Co., 5s, 1955.103% 103% Pacif. Tel. & Tel. Co., 6 s, 1952..105% 105% Panama, 6 %s, 1953...........................103% 103% Penn. Edison Co., 5s, 1946...........102% 102% Penn. R. R. Co., 5s, 1964........... 105% 105% Penn., Ohio & Det. R. R., 4%s, 1977 101% 101% 103 Penn. Pr. & Lt. Co., 5s. 1953___ 102% Peoples Gas Lt. & Coke Co, 5s, 1947 104% 104% Pere Marquette Ry., 5s, 1 9 5 6 .... 104% 104% Peru, 7 %s, 1956................................103% 104 Phila. Elec. Co. (P a.), 4%s, 1967 99% 99% Pillsbury Flour Mills Co., 6 s, 1943 104% 105 Potom ac Edison Co., 5s, 1956.. 98% 99% Pressed Steel Car Co., 5s, 1933.. 98% 99 Prussia (Germ any), 6 %s, 1951.. 96 96% Pub. Service Co., Okla., 5s, 1961 98% 98% Queensland (Australia), 7s, 1941.114% 114% Republic Iron & Steel, 5s, 1940.101% 102 Rhine-W est. Elec. Pr., 7s, 1950. 99% 99% Rio Grande Do Sul, 7s, 1 9 66... 96% 97 Rio de Janeiro, 8 s, 1947..............105% 105% Rotterdam (H olland), 6 s, 1964..104% 104% St. L „ Ir. Mt. & S. Ry., 5s, 1931.101% 101% St. Paul Gas Lt. Co., 5s,1944.. 102% 102% St. Paul Union Stk Yds. Co., 5s, 1946 .................................................100 100% Salvadore, 8 s, 1948..........................108% 108% San Joaquin Lt. & Pr., 5s, 1957.102% 102% San Paulo, City, 8 s, 1952............111% 111% San Paulo, State, 8 s, 1936............105% 106 Saskatchewan,Prov., 5s,1943...103 103% Sauda Falls Co., 5s,1 9 5 5 . . . . . . . . 100 100% 99% Saxon Pub. Wks., 7s, 1945.......... 99% Shawinigan W tr. & Pr. Co., 4%s, 1967 ............................................. 96 96% Shell Union Oil., 5s, 1947.............. 98% 98% Sherman Hotel Co., 5%s, 1930.. 99% 100 Siemens & Halske, A. G. 7s, 1936.100% 100% Sinclair Pipe, 5s, 1942 ................ 93% 93% Sixty-one Broadway Bldg., 5%s, 1950 ............................................. 1 0 0 10 0 % Solvay Amer. Inv., 5s, 1942.......... 98% 98% So. Car. & Ga. Ry., 5%s, 1929..101% 102 Southern Calif. Edison Co., 5s, 1951 ................................................. 1 0 2 % 1 0 2 % 99% So. Pac. Ry., 4s, 1929 .................... 99% Southern Ry. Co., 4s, 1956 .......... 93% 93% Southwest Bell Tel., 5s, 1954...105% 105% Stand. Oil Co., N. Y., 4%s, 1951 97% 97% Stand. Mill Co., 5s, 1930.............. 101% 101% Sun Óil Co., 6 %s, 1939..................101% 101% Swedish Gov’ t, 5%s, 1954.......... 104% 104% Swift & Co., 5s, 1944.................... 102 102% Swiss Gov’ t, 5%s, 1946....................103% 103% Texas Pr. & Lt. Co., 5s, 1937.. 101% 102 Toronto, Canada, 5s, 1934.......... 102 102% Union Oil Co., Calif., 5s, 1935.. 98% 98% Union Pac. R. R., 4s, 1947 .......... 98% 98% U. K. Gt. B r„ 5%s, 1937.............. 106% 106% United Steel Wks., 6 %s, 1 9 5 1 .... 92% 93 Uruguay, 6 s, 1960.............................. 96% 96% Utah Lt. & Pr. Co., 5s, 1 9 4 4 .... 97% 97% Va. Ry. & Pr. Co., 5s, 1934-----101% 101% W abash Ry., 5s, 1975.....................104 104% W ard (M ontgom ery) & Co., 5s, 1946 .................................................101% 101% West Penn. Pr. Co., 5s, 19 4 6 ....1 0 3 % 103% Western Electric Co., 5s, 1944..104% 104% Western Md. Ry., 4s, 1952 .......... 96% 96% Western Pacif. R. R., 5s, 1946.100 100% Western Union Tel. Co., 4%s, 1950 ................................................. 1 0 0 % 10 0 % Westhse. Elec. & Mfg. Co., 5s, 1944 .................................................104% 104% Winnipeg (Canada), 4%s, 1946. 99% 99% Yadkin River Pr. Co., 5s, 1941... 103% 103% Youngstown Sheet & Tube Co., 6 s, 1943 .................................................105 105% Mid-Continent Banker 48 Making Real Estate Bonds Marketable B y F . R . Uhlig IT is conceded that listing a security on an exchange does not necessarily endow it with marketability. Size, dis tribution and reputation contribute more to the liquidity of an issue than would listing on every board in the country. The over-the-counter market in New York is a good deal more active than the bond division of the Stock Ex change. With the widespread distribution of real estate bonds, of which there are more than six billion dollars’ worth out standing, it became imperative that some kind of a market be established. During the early stages of the real es tate bond industry, before that type of security had attained its remarkable popularity, the houses of origin were able to maintain an artificial market for their own issues which sufficed for the time. Today, however, it is almost im possible for most of these houses to maintain any kind of satisfactory mar \ To £ o ca l Hanks T h rou gh T h e E q u i table Trust Com pany o f N ew Y o rk , you m ay supplement your service to customers by Equitable cooper ation. [ 1] The Equitable is a leading foreign exchange bank and its services in this field are readily available for facilitating your customers’ transactions. Thinking about 1928? [2 ] Through its own offices in London and Paris, its subsidi ary’s offices in Hongkong and Shanghai, and its more than 11,000 correspondents, The Equitable can obtain exten sive foreign trade and credit information promptly. W H E N you and your associates dis cuss business plans for 1928 and the question o f a more helpful Y ork New banking connection comes up, investigate the facilities o f The Equi table. [3 ] The home office of The Equi table in New York provides a constant contact with the prin cipal securities markets o f the world, permitting efficient exe cution o f orders and obtaining of quotations. Our E. T. C. Letters of Credit are available to Local Banks. A bank may issue these letters in its own name and its customers will receive the same well-rounded foreign service extended to our own customers carrying E, T. C. Credits. In many ways our specialized services can help you . . . Read the column at the left . . . then send for our booklet, “ Equitable Service.” t h? E quitable Trust Company h ic a g o : 105 South L a Salle Street T e lephone: State 8312 D is t r ic t R e p r e s e n t a t iv e s B A L T IM O R E • P H IL A D E L P H IA • SAN F R A N C IS C O • A T L A N T A B a n ks conte m pla tin g in te r n a tio n a l business tra n sa ctio ns o f a n y k in d are in v ite d to com m u nicate w ith o u r lo ca l repre sentative. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F o r e ig n O f f i c e s : Lo n d o n • p a r is • Me x ic o c it y H o m e O f f i c e : 37 Wall St., New Y ork, connected by direct private wire with Chicago office. Total resources more than $500,000,000 © Some of the underwriting houses maintain what they call an “ emergency repurchase service.” In other words, it the holder of one of their bonds can convince the underwriters of his abso lute need of the cash equivalent of his bond, they may buy it back from him. The price they will pay, in too many instances, depends on their estimate of the worth of the bondholder’s good will. One or two of the houses, it is true, maintain a fairly free market in their own bonds, but the quotations are arbi trary and are no reflection of the cur rent financial condition of the underly ing security. Under such conditions there is small wonder that banks were slow to accept real estate bonds as collateral for loans and even slower to invest in them for their secondary reserves. About four years ago, however, this situation started to change. An in structor of economics at the University of Pennsylvania, Mr. M. W. Bradermann, sensed the trend of popular interest in the mortgage bond. He realized that a well constructed mortgage bond issue offering safety and attractive yield, lacked only marketability to make it a most desirable form of investment. Mr. M. W. Bradermann laid his idea for an open market for real estate bonds be fore an influential group of New York bankers and capitalists and succeeded in gaining their support. At first the activities of the new or ganization were confined to New York and dealings were mostly with individ uals. Today, however, practically every investment dealer in the country and many banks are in touch with the M. W. Bradermann Company. While market ability is by no means an outstanding feature of real estate bonds, they have become much more liquid than former ly and millions of dollars worth change hands annually. As a result many banks are accepting them readily as collateral for loans. Sen tim ent in Business OF N E W YORK 37 W A L L STREET C ket: They have distributed too many millions of securities to allow them to trade freely even in their own under writings. E . T . C . o f N . Y ., i q 2 J The assertion that there is no senti ment in business is false. Not only is business threaded through and through with sentiment, but there is an increas ing number of men who square their business with their religion. These are the men who are putting conscience into commerce, who are building up a new and nobler character and whose voices in the coming day will dictate to American business, American politics and American society.— The Prism. St. Louis, December, 1927 49 Stresses Necessity of Big Corporation Tax Cut R. W. F. GEPHART, vice-president of the First. National Bank in St. Louis, who, as a member of the special committee on Federal taxation of the United States Chamber of Commerce, appeared before the Ways and Means Committee of the House of Represent atives in Washington and presented arguments in favor of corporation tax reduction, said recently that this type of tax reduction would benefit more people than any other method of reduc ing the national revenues. D Members of the special committee, who have been studying taxation for several years, presented arguments in an attempt to show the present situa tion throughout the country warranted a reduction of $400,000,000 instead of the $225,000,000 cut recommended by Secretary Mellon of the Treasury De partment. The Chamber of Commerce committee appeared before the House committee after Mellon had presented the treasury department’s view of the situation. Dr. Gephart said in the fiscal year of 1927 corporations paid one-third of all the taxes, including customs received by the Federal Government. In addi tion, he said, corporations paid state and local taxes aggregating $1,500,000,000, and stockholders of these same cor porations paid as individuals, Federal, state and local assessments. “ Business has been bearing heavy taxes since the war,” Dr. Gephart said, “ and now should have some relief, es pecially since those years after the war, business in general and corporations in particular have been bearing almost as heavy taxes as during the years of the war. “ We are yet very largely on a war time basis of taxation and not on a peace-time basis. The committee ar gued for a reduction in the corporation tax from 13 y2 per cent to 10 per cent. Practically every other class of income taxpayers have had a reduction except corporations whose taxes under the law of 1926 were increased instead of being decreased. The maximum and mini mum normal rates on individual in comes have been reduced from 12 to 6 per cent to 5 and 1y2 per cent, respec tively, and surtaxes from a maximum of 65 per cent to 20 per cent. The cor poration income tax on the contrary is now 1 y2 per cent higher than the maxi mum during the war period, and fair ness demands that this rate be now sub stantially reduced. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ There are over 3,000,000 people in the United States M'ho own stock in corporations so thaUThfse with their families perhaps make up 6,000,000 or 7,000,000 people who would be directly benefitted by a reduction in the cor poration income tax. “ But since taxes are a part of the cost of production and affect wages, and since many millions of people are em ployed as wage earners and salary earn ers by corporations many more millions would be indirectly benefited by a re- duction in the corporation tax. It would seem, therefore, that no other reduction would benefit more people than that of a decrease in the corporation income tax. “ An individual who owns stock in a corporation and pays taxes on income derived from it pays at the rate of 13 y2 per cent, whereas the same individual or another one who pays a tax on in come derived from other sources must & '■ pay at as low a rale as 1 y2 per cent aj|d on the average nojf more than 4.20 ». ..per cent. .¿¿A .> ' “In 1925 individuals reporting an in come of $10,000 or less received divi dends equaling only about one-sixteenth of all taxable income,, yet this one-six teenth through, tlie.'medium of the cor poration income tax paid indirectly Unlike an individual whose service value diminishes with age * ♦ ♦ an institution gains power with experi ence* The Chemical offers you an up-to-date Banking service that is 103 years old in experience* THE U H E M IC A L BAN K N A T I O N A OFNEW YORK L Mid-Continent Banker 50 more than three times as much taxes as did the other fifteen-sixteenths. “ In the face of repeated large treas ury surpluses, and in a time when all other tax sources were given the bene fit of substantial reductions, the cor poration income tax was increased by the revenue act of 1926 by 1 per cent. We are taking from that portion of American business that is making prof its, something more than an eighth of their profits every year for the support of the Federal Government, which in the last analysis, comes from the mil lions of corporation stockholders, and is in addition to their payments on their regular taxable income. No such ra tio is justifiable under any circum stances except war. This situation clearly calls for further tax reduction— a reduction that considers both the rev enue needs of government and the jus tice of an equitable spread of the tax burden; a reduction, in short, that will more nearly balance national revenues with national expenditures.” When in ST. LOUIS It is generally expected th at you are stopping at the H otel Chase— where those desiring the best in hotel accom m oda tions m ake their headquarters. YYYY H otel C hase is ranked am ong the outstanding hotels o f the country. Its quiet, unobstrusive service has m ade Discover Oil In Bank Excavation. it nationally famous. Workmen, excavating for the new twenty-four story addition to the Ex change National Bank building, Tulsa, Oklahoma, encountered a steady flow of oil. Nine sticks of dynamite had been exploded and a workman had descended to clear out the debris. He was choked by gas fumes, but ventured far enough to see two small streams of oil. The Cason pit in which the oil was found has been named “ Exchange No. 1” by Tulsa oil men. This seems particu larly appropriate, since the Exchange National was organized by oil men and is known as “ The Oil Bank of America.” YYYY On your next trip to St. Louis m ake the H otel Chase your hom e. 500 large outside room s— E ach with its own B ath . HOTEL CHASE Lindell at Forest Park George T . T h om pson — Frederic C . Skillman M an agin g Directors N a t D. W h ite Now Vice-President. At a meeting of the board of directors of the First National Bank, Sand Springs, Okla., Nat D. White was ap pointed vice-president to fill the vacancy created by the resignation of W. G. Best. Do business with this strong company, which has gained a country-wide reputa tion as a “ National Institution of Serv ice.” The Federal Surety Company is managed by experienced underwriters, and has from its conception built for STRENG TH rather than size. Chattanooga Bank Opens Ne w Building. Backed by Federal Service, these lines are written— Accident and Health, Auto mobile, Burglary, Plate Glass, Public Biability and Workmen’ s Compensation Insurance, and Surety Bonds. F E D E R A L SU R ET Y COMPANY C A S U A L T Y IN S U R A N C E SURETY BONDS W. L. TAYLOR, Vice-President and General Manager H O M E https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O F F I C E D A V E N P O R T , I O W A Thousands of people visited the new home of the Chattanooga Savings Bank and Trust Company, Chattanooga, Tenn., when the building was thrown open to the public for the first time. The bank lobby was brilliantly lighted and deco rated with myriads of gift flowers sent by local concerns and banking institu tions throughout the country. It is one of the handsomest buildings in the city and is a combination office and bank structure. St. Louis, December, 192', 51 E d M a y s is N ew H ead o f C on tin en tal L ife Ed. Mays, president of the Grand Na tional Bank of St. Louis, is the newly elected president of the Continental Life Insurance Company of St. Louis. Con trolling interest in the company was purchased by Mr. Mays several months ago, his election as president coming in October. Mr. Mays started his career in a small Arkansas town, and at the age of twenty EFFICIENCY A bank organization that can handle over 150,000 item s daily m ust be efficient. The constant 24-hour attention in receiving and dispatching this great volum e of business b y transit and collection departm ents in con tinuous operation means much to our cor respondents. W e are confident th at few banks can equal, and none surpass, the service which this in stitution offers banks requiring a thoroughly equipped com m ercial city correspondent. Efficiency is not a slogan with us. It is a cold, hard business necessity. A ll item s received at par. N o charge for telegraphic transfers. THE P H IL A D E L P H IA - G IR A R D N A T IO N A L B A N K P H IL A D E L P H IA . PA . C apital, Surplus and P rofits . . . . $29,000,000 Ed Mays was elected County ClerK. His college education was paid for with the money saved while holding this office. After two years in college he returned to Leslie, Arkansas, where he became cashier of the town’s first bank, which was being organized at that time. Later on he developed a large lumber business. Five years ago he came to St. Louis and secured control of a small and strug gling bank, quite some distance removed from the downtown section. At that time the resources of the bank were approximately $600,000. Today that same bank has resources of $8,000,000. Things have already begun to move rapidly at the Continental home office under Mr. Mays’ forceful leadership. Progressive changes have been made, both in personnel and practices, that reach from the company’s home office in St. Louis to the remotest corner of all of the 37 states in which it operates. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK OF NEW SOUTH WALES, Australia Paid-Up Capital . . $34,375,000 Reserve Fund . . . 23,750,000 Reserve Liability of Proprietors . . . 34,375,030 E S T A B L I S H E D 1817 H ead O ffice; GEORGE ST., SYDNEY, New South Wale* L o n d o n O ffice i Aggregate Assets 30th S E P T . 1926 Ì J THREADNEEDLE ST., E. C. $410,975,720 O S C A R L IN E S , G e n e r a l M a n a g e r 513 B r a n c h e s a n d A g e n c ie s , 190 B r a n c h e s in N e w S o u t h W a l e s , 55 B r a n c h e s in V i c t o r i a , 52 B r a n c h e s in Q u e e n s l a n d , 7 B r a n c h e s in S o u t h A u s t r a l i a ; 58 B r a n c h e s in W e s t e r n A u s t r a l i a , 3 B r a n c h e s i n T a s m a n ia , 1 B r a n c h in F e d e r a l T e r r i t o r y , 61 B r a n c h e s in N e w Z e a l a n d , 3 B r a n c h e s in F i j i , 2 B r a n c h e s in P a p u a , 1 B r a n c h i n M a n d a t e d T e r r i t o r y o f N e w G u in e a , 1 B r a n ch in L o n d o n . A U S T R A L IA P o p u l a t i o n , 6 ,1 0 0 ,0 0 0 ; A r e a , 2,974,581 s q u a r e m i l e s ; S h e e p , 9 3 ,2 0 0 ,0 0 0 ; C a t t l e , 1 3 ,3 0 9 ,0 0 0 ; H o r s e s , 2 ,2 9 2 .0 0 0 ; I m p o r t s , $ 7 5 7 ,2 2 7 ,3 6 5 ; E x p o r t s , $74 2,35 1,7 85. A n n u a l V a lu e o f A u s t r a lia ’s P r o d u c ts A g r i c u l t u r e , $ 5 3 5 ,4 8 2 ,0 0 0 : P a s t o r a l , $ 6 0 9 ,4 5 5 ,0 0 0 ; D a ir y i n g , $ 2 2 5 ,9 4 8 ,0 0 0 ; M i n i n g , $ 1 2 3 ,2 2 9 ,570 ; M a n u f a c t u r i n g , $ 1 ,9 0 4 ,2 1 9 ,9 3 0 ; T o t a l $3,398 ,3 3 4 ,5 0 0 . 513 B r a n c h e s a n d A g e n c ie s i n a ll A u s t r a l i a n S t a t e s , N e w Z e a l a n d , F i j i , P a p u a ; M a n d a t e d T e r r i t o r y o f N e w G u in e a a n d L o n d o n . F O R E I G N B I L L S C O L L E C T E D — C a b le r e m i t t a n c e s m a d e t o , a n d d r a f t s d r a w n o n F o r e i g n p l a c e s D I R E C T . C i r c u l a r n o t e s is s u e d . N E G O T I A B L E T H R O U G H O U T T H E W O R L D St. Louis Agents: NATIONAL BANK OF COMMERCE Mid-Continent Banker 52 H illsm an T a y lo r N ow H eads M issouri S tate L ife At a meeting of the board of direc tors of the Missouri State Life Insur ance Company held on November 9th, Hillsman Taylor, executive vice-presi dent was directed to take over all execu tive duties of the company, relieving M. E. Singleton, who resigned as pres ident and a member of the board of di rectors. i m p r o v e d -m m B a n k e r s Fl a p E n v e l o p e tk G l u e -Lo c k e d ^ ij Come tothe Sea Mr. Taylor, who becomes executive ' and head of the company, has been vicepresident since February, 1926, coming SEASIDE into the organization soon after the pur atM lan t& City chase of control by the Caldwell interest I « A MAGNIFICENT NEW HOTEL 4 0 0 R o o m s w ith B ath s %’S —and up f o r One Person §4r~andup fo r Two Persons W In Atlantic City, IC 5 £ ? ? k ? h £ ? Knickerbocker playground o f the world, you’ll find this splendid hotel — T h e SEASIDE; at the edge o f the sea, with its new ten-story addition gazing majes tically upon the ocean. Superlative service and famous fo o d , a sure-tosatisfy selection for your sea-shore sojourn. Ht.'NEWYOBKjg W E S T T im e s Hillsman T aylor U n u s u a l l y attractive rates during the Fall and W inter months—effective Sept. 12, 1927, to .Feb. 1, 1928. $45 S in g le R o o m , R u n n in g W a te r . D o u b le R oom , B a th $35 $70 D o u b le R oom , R u n n in g W a te r ? k k . $56 Ownership Management Cook’s Soils Corporation T h e SE A S ID E H O T E L Atlantic City. N. J. .'.:U At.V ■•ÿi s https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 4 5 ^ STREET Just East of Broadway D A I L Y concerts — g o lf privileges — in summer, bathing direct from your ro o m —garage. Hom e o f R adio station W H A R . S in g le R o o m , B a t h ? k k HOTEL IP! of Nashville, Tennessee, in January, 1926. The growth of the Missouri State Life under Taylor’s administration has been phenomenal. The assets of the company have been increased from a lit tle over $61,000,000 to $80,000,000, an in crease of nearly $19,000,000, and the in surance in force has grown from $587,000,000 to almost three-quarters of a bil lion. New business paid for in 1926 amounted to $179,500,000, as compared with $136,978,000 the year before, and the new business written for the ten months of 1927, ending October 31, shows a gain of 31 per cent over the same ten months period of 1926. Octo ber this year was the largest month in the history of the company, totalling over $17,000,000 of new business. Mr. Singleton became president of the Missouri State Life, March 11, 1919. In the nearly nine years of his presidency, the company grew from $19,000,000 of assets to $61,000,000, and increased its outstanding insurance from $180,000,000 to $587,000,000. Previous to coming to St. Louis, Mr. Taylor was general counsel for the Cot- S q u a re Heart o f th e a tric a l and Shopping D is tr ic t m sm Bm Bm m zm am m m m m m m m 53 St. Louis, December, 1927 ton States Life Insurance Company of Nashville, and was for a number of years associated with Rogers Caldwell in the investment banking business of Cald well and Company. He is a member of the bar of Tennessee, a graduate of Vander bilt University and began the practice of law at twenty-one years of age. At twenty-four, he was speaker of the House of Representatives of the state of Tennessee. Upon the election of At torney General Rye to the office of gov ernor of state, he was appointed by Gov ernor Rye to succeed him as attorney general for the Thirteenth District. Mr. Taylor became associated with Cald well and Company in 1917, and was largely instrumental in bringing about the several deals through which Cald well secured control of the Cotton State, the North American, Inter Southern and Missouri State Life. E. C. Singleton, vice-president, also tendered his resignation and severs his connection with the company December 1st. James J. Parks, fourth vice-presi dent, was elected a vice-president of the company. H olderness N a m ed D ire cto r o f C h am ber o f C om m erce At the annual election of the St. Louis Chamber of Coihmerce held recently, Marvin E. Holderness, 9Vice-president First National Batik in St. Louis, was elected a director for the coming year. Mr. Holderness has always been very active in civic and business affairs in St. Louis, having served as president of the St. Louis Advertising Club and the St. Louis Kiwanis Club. “ ROLL of HONOR” BANKS in ' ' i •T ' I t is i n d i c a t e s o r a n b a n k s t h e b a n k t h a n s p e c i a l Nelson R. Darragh, president of the F. C. Taylor Fur Co., was elected pres ident of the Better Business Bureau of St. Louis at the annual meeting of the directors of the bureau held Novem ber 8. Kelton E. White, of G. H. Walker & Co., was elected vice-president; Mr. John R. Longmire, of the Mississippi Valley Trust Co., treasurer, and Mr. Harry W. Riehl, manager of the Better Business Bureau, secretary. William McChesney Martin, chairman of the board of the Federal Reserve Bank, retiring president of the Better Business Bureau of St. Louis, expressed the opinion that the election of these gentlemen to office assured the perpetu ation of the bureau’s ideals. He fur ther commented on the fact that the bu reau was at its highest point, both in membership and general activity, of its entire ten-year life. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis r e p o r t s e n t r u s t t o l i s t e d h a s a c h i e v e d o r S u c h B y t h i s e s p e c i a l l y o t h e r t h e m . o n g s u r p l u s p a g e . b e a m t h e a n d H o n o r u n d i v i d e d d i s t i n c t i o n c a r e f u l m e n v i a b l e g l a d b u s i n e s s R o l l b a n k s . p r o f i t s e q u a l a c c o r d e d e n t I t a n d t o t o t h e s o u n d p o s i t i o n . t o i n i s a n a g e m h a n d l e t h e i r C o r r e s p o n d e n c e i s c o m a n y m c o l l e c t i o n s , u n i t i e s w h i c h i n v i t e d . S u r p l u s Capital B ank C ity Farm ers B an k ........................... ......$ 10,000 and Profits $ 10,000 A u g u sta ............. B an k of A u g u sta ...................... 20,000 26,000 B u ffa lo ............... ...O’B an n on B anking C o ........ C am eron ........... F irst N a tio n a l........................... 25,000 31,667 50,000 55,000 C olu m bia.......... B oon e C ou n ty T ru st C o ..... Concordia S a vin gs................. 75,000 200,000 50,000 52,000 D alton B ank of D a lto n ........................ 10,000 20,000 E v e rto n ............. B ank of E v e rto n ...................... 25,000 55,000 F a rm in gto n ..... B ank of F arm in gton............ G ilm an C ity ..... G ilm an B an k ............................. 50,000 125,000 25,000 30,000 B ank of H ard in ........................ 75,000 87,000 H ay ti ................ B ank of H a y ti........................... Iron C ou n ty B a n k ................. Trnntnn 20,000 26,471 10,000 21,000 100,000 M iners B an k ............................... ...... N a tio n a l........................... ...... 1,000,000 3,470,000 35,000 H ardin ToDlin N elson R . D arragh N ew H ea d o f B e tte r Business B ureau w i l l b e c a p i t a l . t h i s h a v e b a n k s c r e d i t a y i t s o n t h e y T h e m t o l i s t e d b a n k i n g y o u h o n o r t h a t g r e a t e r . .;.)•« K an sas C ity ..... First 175,000 Leban on State B a n k .................................. 30,000 M a itla n d ........... P eoples B an k ............................. 20,000 35,000 F irst N a tio n a l........................... 50,000 85,000 B an k of O d essa ........................ 50,000 75,000 P erry ................... P eoples B an k ............................. R a y m o re ........... ...Bank of R a y m o re.................... 25,000 50,000 10,000 27,000 O d essa ............... C o ........................ ...... B a n k ........................ ... 100,000 143,334 200,000 252,000 Sedalia................ C itizens N a tio n a l.................... ...... 100,000 St. Joseph......... F irst T ru st St. L o u is........... ..Jefferson St. L o u is........... M ercantile T r u st C o .............. ...... 3,000,000 South Gifford... ..B ank of G ifford........................ B an k of Su llivan ...................... Sullivan Steel ville 1 F irst N a tio n a l................ ilL...... 8,583,523 290,000 10,000 14,900 10,000 82,000 25,000 30,000 22,000 Stover B an k ................................ 15,000 T a rk io ................ ...Farmers B a n k ........................... 20,000 32,000 T roy P eoples B an k ............................. 50,000 115,000 U n ion B an k of U n io n ........................... Stover ..... W a rre n sb u rg .. C itizens B ank F irst N a tio n a l........................... ...... W e lls to n W in d s o r ............ C itizens B an k ............................ <15,000 55,000 100,000 114,592 100,000 146,900 40,000 60,000 Mid-Continent Banker 54 $130,000,000 C h icago B ank M erger Is A n n ou n ced Announcement has been made of the proposed $130,000,000 merger of the Na tional Bank of the Republic and the Standard Trust and Savings Bank, Chi cago. The directors of both banks have agreed to the consolidation and will call stockholders’ meetings for December 8 to vote approval. The merger will result in “ melons” for the stockholders of both institutions. The capital stock of the National Bank of the Republic will be increased from $4,000,000 to $6,000,000. Its stockhold ers will be given the right to subscribe to one new share at $100 for each four shares now held. The remaining $1,000,000 of new stock will be given to stockholders of the Standard Trust and Savings Bank in a share for share exchange, although Standard Trust stock recently was quoted around $350 a share. In addi tion, the Standard Trust will withhold between $400,000 and $500,000 of sur plus and undivided profits from the merger, which will permit a 40 to 50 per cent dividend to the stockholders. The merged banks will operate under the name of the National Bank of the Republic and will occupy its building at La Salle and Adams streets. In ad dition to the $6,000,000 capital stock there will be about $5,400,000 of sur plus, undivided profits and contingent reserves. Total deposits will exceed $110,000,000. John 4 . Lynch will remain as chair man of the merged institutions and David R. Forgan and George Woodruff will remain as vice-chairmen. In ad dition, Hugo E. Otte, now president of the National Bank of the Republic, will be promoted to vice-chairman. Charles S. Castle, president of the Standard Trust, will become president, and his son, Ward C. Castle, now vice-president of the Standard Trust, will become ex ecutive vice-president. Other officers and employes of the Standard Trust will be retained. This is the second merger in which the National Bank of the Republic has figured in recent years. Following the election of George Woodruff as presi dent several years ago, it absorbed the National City Bank. Mr. Woodruff was made vice-chairman, as also was Mr. Forgan, who had headed the Na tional City Bank. Mr. Otte, who was a National City officer, was made presi dent. M issouri State L ife Joins A m erican L ife C on v en tion The Missouri State Life Insurance Company of St. Louis has been admit ted to membership in the American Life Convention, which now has its head quarters in the Shell Building, Thir teenth street and Locust boulevard, St. Louis, Missouri. A Specialized Service for 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 5 0 ,0 0 0 ,0 0 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The Missouri State Life Insurance Company, which now stands nineteenth among the hundreds of life insurance organizations throughout the United States, has almost $750,000,000 of insur ance in force and assets of about $80,000,000. During the first ten months of this year the company paid for $159,300,000 in new life insurance, the great est year in the history of the organiza tion. Its health and accident and group insurance departments have also experienced marked growth in recent years. The 142 life insurance companies of the United States and Canada that, are now members of the American Life Convention have about $20,000,000,000 of insurance in force and admitted as sets of about $2,250,000,000, and hold in reserve for policyholders $2,000,000,000. The headquarters of the convention were moved to St. Louis last October from Omaha, Nebraska. The general offices of the American Service Bureau, an auxiliary organization which makes insurance inspections, was also moved to St. Louis from New Orleans at that time. Painting, music, art, as trades, still endurable; poetry, unless it is a real vocation, scandalizes. Being more di vine, one wishes it to be more discreet; being less rare, it appears less precious; noble above all, it loses more when it becomes unworthy.— Roux. St. Louis, December, 1927 55 Illinois Bank N ew s OFFICERS ILLINOIS BAN KERS ASSOCIATION: J. M. Appel, Highland Park, Presi dent: Omar H. Wright, Belvidere, Vice-President; John H. Crocker, Maroa, Treasurer; M. A. Graettinger, Chicago, Secretary; Olive S. Jennings, Chicago, Assistant Secretary. GROUP C H A IR M E N : T—E. F. Anson, Kewanee; II—G. K. Slough, Abingdon; III—H. H. Badger, Amboy; IV —A. K. Foreman, Chicago; V—C. A. Mueller, Kankakee, VI—E. E. Core, Robinson; V II—E. B. Appleton, Litchfield; V III—J. C. Whitefield, Quincy; I X —L. G. Gee, Lawrenceville; X —Earl Karraker, Mound City. J. M. Appel GROUP SECRETARIES: I - C . D. DePauw, Kewanee; II—John B. Fleming, Peoria; III— F. P. Baker, Stillman Valley; IV—W. M . Givler, Naperville; V—W. D. Kitchell, Danvers; VI—G. H. Baker, Urbana; V II—J. E. McDavid, Raymond; V III—George Dyson, Rushville; I X —Henry Eversman, Effingham; X —B. G. Gulledge, Marion. T w o More Chicago Banks Merge. Announcement has been made of the approval of the plans to merge the Na tional Bank of Commerce with the Chi cago Trust Company. The capitalization of the Chicago Trust Company will be increased by $400,000 to $2,400,000, the new shares be ing exchanged on the basis of one-half share of Chicago Trust stock for each share of National Bank of Commerce stock. In addition, Commerce Bank stockholders will receive approximately $50 in cash for each share held. The stock of the Commerce Trust and Savings Bank, a subsidiary of the na tional institution, will not go into the merger, but will be distributed on the basis of one-quarter of a share for each share of the parent company stock held, This bank, located in the South Water market district, will be operated as an independent bank. V a u lt W o r k Ne arin g Completion. Vault work on the two vaults of the new home of the First National Bank of East St. Louis is rapidly being brought to completion, according to S. E. Castator, manager of the St. Louis branch of the Herring-Hall-Marvin Safe Company, who is in charge of this work. The two vaults will be guarded by three circular doors. The door to the cash vault weighs 36,000 pounds and the door to the safe deposit vault weighs the same amount. The emergency door to the safe deposit vault weighs 5,800 pounds. The interior of the safe deposit vault is of special design and arrange ment, and is equipped with a special ventilation system. T w o Woodstock Banks Are Merged. The American National Bank and the Farmers’ Exchange State Bank at Woodstock, 111., have been merged. The new bank, which will be known as the Amer ican National Bank of Woodstock, will have a capital of $100,000.00, surplus and undivided profits of $100,000.00 and combined deposits of nearly $1,500,000.00. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Henry C. Murphy, the president of the American National, will be chairman of the board of directors. Mr. John M. Hoy will be president; Al. C. Smith, first vice-president and general manager, and William Desmond, Jr., cashier. Milton C. Geuther Succeeds G. J. Hacker. George J. Hacker, who has served as cashier of the Mokena State Bank, Mokena, 111., for several years, has quit his position and has been succeeded by Milton C. Geuther. Everett Cooper is also now connected with the bank as book keeper. Two W itt Banks to Merge. Stockholders of the First National Bank and the Witt National Bank, Witt, Illinois, have voted favorably on the proposition to merge these two institu tions and permission of the Comptroller of the Currency is all that is necessary to complete the merger. The name will be First National Bank of Witt and the quarters of the Witt Na tional will be used. The boards of di rectors of both banks will serve until the first of the year. Officers until the next meeting are: Henry F. Fesser, president; Charles H. Lockhart, vicepresident; H. F. Hoehn, assistant vicepresident; H. F. Armentrout, cashier, and Ralph Short, assistant cashier. New Building Ne arin g Completion. The new First National Bank build ing at the corner of Collinsville and Missouri avenues, East St. Louis, Illi nois, will be completed and ready for oc cupancy about January 1, 1928, accord ing to an announcement made recently. It is a six-story edifice of modern con struction, said by master builders to he the latest improved type of bank build ing now being universally built for bank ing purposes and as an office building. The combined resources of the First National Bank today show a substan tial increase, the latest published state ment of the parent bank, combined with the Illinois State Trust Company, shows the total resources to be $9,627,550.28. M. A. Graettinger, Sec’y Pioneer Illinois B a n k e r Is Dead. Lewis E. Gary, a former vice-presi dent of the Illinois Merchants Trust Company, the bank of which the late John J. Mitchell was chairman of the board of directors, died recently at his home in Wheaton. He was 61 years old. Mr. Gary entered the banking busi ness as an employe of the Corn Ex change National Bank in 1889. Starting as a messenger he worked up through all the departments until he was made assistant cashier in 1912. He later be came affiliated with Illinois Trust when that concern absorbed the Corn Ex change National through a merger in 1924. The consolidation made the Illi- T he N ew “Mid-Day Limited” to KANSAS CITY Business men especially appre ciate the convenience of this luxurious all-steel train. It al lows the full morning in one city and gets you to the other in good time for all evening activities. Same schedule in both directions. Lv. St. Louis 12:10 PM Ar. Kansas City 7:40 PM Chicago & Alton Railroad City Ticket Office 326 T. Broadway, Tel. Garfield 2520 or UNION STATION Tel. Main 4700 56 Mid-Continent Banker nois Merchants Trust the fourth largest bank in the United States. Since his retirement a year ago, Mr. Gary spent most of his time in his flow er garden, a show place of Wheaton. “ ROL L of HONO R” MiNKS IN ILLIN mb Dr. R. A. Mitchell Elected President. At a recent meeting of the directors of the Marshall State Bank, Marshall, 111., Robert Prewett was elected a director and Dr. R. A. Mitchell was made presi dent. Geo. G. Robertson, former presi dent, has moved to Florida to take care of his business interests there. It is an honor to be listed am on g the H o n o r R oll R anks of Illinois. It indicates that the bank has Surplus and U ndivided Profits equal to or greater than its capital! Such distinction is accorded to the banks listed on this page. B y careful banking and sound m an agem en t th ey have achieved this enviable position. T h ese banks w ill be especially glad to handle any collections, special credit reports or other business in their com m u nities w hich you m ay entrust to them . Sells Control Of Paris Bank. C orrespondence is invited. C ity A b in g to n .... .... B ank First Capital N a tio n a l....................... ....$ A lexa n d er____ ... A lexan d er S t a t e .................. A ssu m p tio n ... ... Illinois State.......................... B eard sto w n ... .F irst B erw ick ....... . F arm ers State S t a t e .............................. ....... 75,000 25,000 Surplus and Profits $ 175,000 50,000 25,000 65,000 100,000 180,000 30,000 35 000 100,000 336,000 B loom ington.. ....Corn B elt S tate..................... 100,000 255,000 C an ton .............. ... C anton N a tio n a l.................. 125,000 175,000 Chapin....... ...... ....Chapin State............................ 25,000 56,000 C h ica g o ........... ... Central M fg . D istrict......... 500,000 670,000 5,000,000 11,377,000 B lo o m in g to n . ...A m erican S t a t e .................... C h icago........... ... C ont. & C om . T r . & S v g .... C hicago............ ... D rovers T r . and S v g .......... 250,000 517,000 C h icago........... ... First T r . and S v g ................. .... 6,250,000 C hicago............ ... F irst N a tio n a l....................... .... 12,500,000 C h icago...... ..... ... F orem an N a tio n a l................ ... 4,000,000 10,534,000 C h icago... ........ ... H arris T r . and S v g. C h icago....... .... ...Illinois M e r c h a n ts ....... 17,956,000 4 874 000 15,000,000 35 231 000 2,000,000 5,347,000 2,500,000 6,563,000 C h icago........... ... U nion T ru st C om p an y ..... .... 3,000,000 4,753,700 100,000 160,000 100,000 122,000 50 000 75 000 430,000 Flora............... ... First N ational Freeport.......... ... F irst N a tio n a l........................ 150,000 Grand Ridge... ... F irst N a tio n a l........................ 25,000 33,000 State....................... 25,000 30,000 Joliet.................. ....First N ational .................... 400,000 950,000 Joliet.......................Joliet N a tio n a l....................... 150,000 650,000 Greenfield.............Farmers Joliet................. ...Joliet T r u st and Savin gs Bank. 100,000 119,633 L a Salle........... ... L a Salle N ation al Bank... 330,000 M u rph ysboro ... C ity N ational ....................... M t. V e r n o n ... ... T h ird N ation al ................... N e w Athens.........State B ank of N e w A th en s R u sh ville......... R ushville S t a t e .......... T isk ilw a .............. F irst S t a t e ...... U rban a............. W a r r e n ............ ... State https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis .................... F irst N a tio n a l........... B an k .... . ...... ............. 200,000 The bank is one of the oldest financial institutions in the Wabash valley, being one of the thirty-five original banks to operate under national bank charters. It has resources and liabilities in excess of $2,000,000. 4,588,000 3 000 000 C h icago........... ...Northern T ru st C o ............ .... C h icago........... ... State B an k of C h icago... .... D e K a lb ........... ...F irst N a tio n a l....................... D ow n ers Gr. ... State B ank & T ru st Co.. ! Announcement has been made of the consummation of a financial deal by which control of the First National Bank of Paris, Illinois, passed from the hands of the family which established the in stitution shortly after the close of the Civil War. The negotiations which have been under way for some time re sulted in the transfer from Fred Baber of 307 shares of the capital stock of the bank to a syndicate headed by Adin Baber, present president of the institu tion. It was announced that all claims of the bank against Fred Baber and all claims of Fred Baber against the bank had specifically been settled. 50,000 62,000 125,000 200,000 25,000 45,000 100,000 105,000 25,000 30,000 50.000 60,000 75,000 95,000 N. L. Schank Elected Cashier. Nicholas L. Schank has been elected cashier of the Addison National Bank, Chicago. For the past six years Mr. Schank has been assistant cashier of the Boulevard State Savings Bank, and prior to that was connected with the Madison and Kedzie State Bank. He was actively interested in the or ganization of the Addison National Bank which opened for business on Septem ber 17, with a capital of $200,000, sur plus of $40,000, and undivided profits of $30,000. W . C. Roseberry Elected Cashier. Walker C. Roseberry, formerly cash ier of the State Bank of Eau Claire, Wis., is the new cashier of the Lake Forest Trust and Savings Bank, Lake Forest, Illinois. Mr. Roseberry had been with the Eau Claire bank two years and has been in the banking business since 1912, with the exception of his period of serv ice during the war. St. Louis, December, 1927 57 T w o O tta w a Banks to Merge. Negotiations have been completed by the officers and directors of the Ottawa Banking and Trust Company, and of the National City Bank, of Ottawa, Illinois, preliminary to the consolidation of these banks, which consolidation is to be ef fective on or about January 1, 1928. The name of the consolidated bank is to be National City Banking and Trust Company of Ottawa. It will have a cap ital of $200,000, surplus of $100,000, and undivided profits of $50,000, making a total invested capital of $350,000, of which invested capital one-half will be contributed by each bank. Its com bined deposits will be over $2,350,000 and its total resources over $2,700,000. The new bank will occupy the quar ters now used by the National City Bank. The board of directors will be composed of the members of the present boards of directors of both banks. The National City Bank had its be ginning in 1857, as the private banking house of Eames Allen & Company and became a national bank under its pres ent name in 1865. The Ottawa Banking and Trust Com pany was organized as a state bank in 1902, and was the first bank in this county to exercise trust powers and has during the twenty-five years of its ex istence built up a very7 large trust busi ness. T w o Abingdon Banks Are Merged. The First National Bank and the First State and Savings Bank of Abingdon, Illinois, have been merged with G. K. Slough as president; T. E. Slough, cash ier, and N. F. Stevens, F. W. Reynolds and R. Y. Campbell, assistant cashiers. An Announcement o f Consolidation T h e C on tin e n ta l and Commercial National Bank o f Chicago and its affiliated state bank, the Continental and Commercial Trust and Savings Bank, are now con solid a ted u nder the title, Continental National Bank and TrustCompanyof Chicago. This bank has capital o f 35 million dollars, surplus o f 30 million and undivided profits o f m or e than 3 million. Deposits are upwards o f 500 million dollars and resources exceed 600 m illion dollars Dewey Riedy has resigned as assistant cashier of the First National Bank, Naperville, Illinois, and Milton Spiegler, formerly an employe in the Corn Ex change Bank, Chicago, has taken up his duties as a teller. T h e recent statement of condition of* the National Bank of Decatur, Illinois, shows total resources of more than $4,728.000, with deposits of more than $3,845.000. Lym an C O N T IN E N T A L N A T IO N A L BA N K & TRUST COMPANY O F C H I C A G O H. Birdsall, president of the Rochelle Trust and Savings Bank, Ro chelle, Illinois, died recently. T h e recent sta te m e n t of condition of the First National Bank of Naperville, Illinois, shows total resources of $1,251,623.50. Deposits are more than $1,000,000. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C H IC A G O ’S LARGEST B A N K 58 Mid-Continent Banker Plan N e w T. B. Pearson, for a num ber of years cashier of the Morrisonville State Bank, Morrisonville, Illinois, has resigned his position with that institution and has moved to California, where he will go in business for himself. Bank fo r Kewanee. An entirely new bank, replacing the Savings Bank of Kewanee, Illinois, but taking over the assets and liabilities, has become a possibility through recent action by the depositors’ committee which has been working several weeks in an effort to solve the problem o f the closed doors of the Kewanee institution. Stockholders of the F ir s t State and Ne w Bank A t Ne w Lenox. Savings Bank of Abingdon, Illinois, will vote soon on a proposal to increase the capital stock of the bank to $120,000, and the surplus to $80,000, doubling the present figures. The New Lenox State Bank, New Lenox, Illinois, has been opened for business. The bank was organized last spring with New Lenox, Joliet and Mokena men interested in it. Ceward W. Batson is cashier. sistant cashier of the State Bank of Orangeville, Illinois, to fill the vacancy caused by the resignation of Miss Ruth Moore. H a r r y Z weifel has been elected as Two Atkinson Banks Are Merged. The Farmers State Bank of Atkinson, Illinois, has been merged with the At kinson Trust and Savings Bank of that city, the Atkinson Trust and Savings Bank taking over the assets of the Farmers State Bank and assuming all of its liabilities. Officers who will serve the new bank are as follows: President, A. A. Nowers; vice-president, John Causemaker, and cashier, John S. Nowers. Combined resources of the new organ ization will be approximately $900,000, of which more than $700,000 is deposits. Miss T he ft* *- \iW |PW BAN K V / Ä * ® 1 an 1 W h ite has succeeded Broadway Trust and Savings Bank will take over the business of the Aurora Trust and Savings Bank, of which John L. Esser was president until he was arrested for misappropriation of $300,000 of the bank’s funds. The new institution is to have a capital of $200,000 and a surplus of like amount. TÖREMAN. 1‘ Martha Mrs. Sallie Church Bennett as a book keeper in the First National Bank at Westfield, Illinois. , trüs TA nd ^ SAVING« BANK George W . Alschuter, M ayo r of A u rora, Illinois, is elected president of the newly organized Broadway Trust and Savings Bank of Aurora. Harry Mombleau is cashier. Personal Service O U R wide facilities, not only here, but in more than ioo foreign countries, make this an ideal connection for you— one characterised by the personal note which is never lacking at this friendly big bank. E. C. Gillam has succeeded his brother, W. B. Gillam, as cashier of the Farmers State B'ank of Lewistown, Illinois. M arshall Ozment, well known pioneer banker of Johnson City, Illinois, died recently at the age of fifty-nine. Madison C. of the First don, Illinois, died recently ter, Mrs. A. Illinois. George H. Bates, fo rm e r president National Bank of Abing and one of its founders, at the home of his daugh I. Sargent, at Galesburg, He lme, pioneer architect and banker, died recently at his home in Springfield at the age of seventy-three. The Foreman National Bank The Foreman Trust and Savings Bank La Salle and W ashington Streets, Chicago RESOURCES https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis EXCEED 100 M ILLIO N DOLLARS The F ir st State Bank has been opened for business at Biggsville, Henderson County, Illinois. Capital is $25,000 and surplus is $5,000. F. E. Abbey is presi dent; E. L. Werts and W. C. Ivins, vicepresidents; and A. P. McHenry, cashier. Douglas Fay, age 27, is considered the country’s youngest bank president. He heads the First National Bank of Urbana, Illinois. St. Louis, December, 1927 59 E m m erson T osses H is H a t in G u bernatorial R in g A gricu ltu ra l S hort Course H eld in U rbana Responding to the demands of a dele gation composed of representatives from all over Southern, Illinois, which called on him recently at his home in Mt. Vernon, Louis L. “ Lou” Emmerson, president of the Third National Bank of Mt. Vernon and vice-president and chair man of the executive committee of the Ridgely-Farmers State Bank of Springfield, has entered the race for the Re- J. M. Appel, president of the Illinois Bankers Association and president of the Highland Park State Bank, speak ing before the meeting of the Bankers’ Agricultural Short Course, held Novem ber 9-10 at the College of Agriculture at Urbana, stressed the point that remedial legislation for agriculture is of little value in the absence of modern metnods and intelligent management. “ Permit me to call your attention to the fact, my friends, that these 100 dele gates assembled here at the short course represent a small percentage of the 8,000 bankers who are ready to roll up their sleeves and assist in securing de served remedial legislation for agricul ture, when it has been reasonably dem onstrated that such proposed remedial legislation is fundamentally sound. In that connection let us not overlook the fact and let us remind our farmer friends that unless the lessons which are taught here today are put into actual practice; in the absence of proper de velopment of by-products; in the ab sence of limestone and phosphates; in the absence of rotation and diversifica tion; in the absence of modern methods and intelligent management, such pro posed legislation will prove of little avail.” Revenge is a debt, in the paying of which the greatest knave is honest and sincere, and, so far as he is able, punc tual.— Colton. Louis L. Emmerson publican nomination for Governor of Illinois at the primary, April 10. Schools were closed in Mt. Vernon, business was halted and activities of all kinds brought to a standstill as citi zens of that city joined in the delega tion of 3,000 which assembled at the Emmerson home at the conclusion of a parade. A dozen speakers from as many counties brought forth innumerable rea sons as to why Mr. Emmerson, who will next year complete his third term as Secretary of State, should toss his hat in the gubernatorial ring. Mr. Emmerson announced at the con clusion of the speaking that he would accede to the wishes of his callers and become a candidate. “ My candidacy is based upon my record as a business man and public official,” he said. “ Dur ing more than ten years’ service as Sec retary of State I have demonstrated that, by the application of ordinary business principles, public office can be managed as effectively as private enter prise.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T he open door to banking service Individuals, commercial concerns and banks in all parts of the world,as well as our many thousands of customers here in Chicago, have come to recognize the great colonnaded entrance of the Illinois Merchants Trust Company as the open door to banking service. T h e specialized facilities of this institution for commer cial banking, foreign banking, investment banking, savings and trusts make the Illinois Merchants Trust Company an advantageous Chicago connection for banks or business concerns, wherever they may be located. Il l in o is M e r c h a n t s Tr u st Co m p a n y Capital & Surplus 45 ¿M illion Dollars CHICAGO 60 Mid-Continent Banker Continental Bank Merger Is Approved by Stockholders Stockholders of the Continental and Commercial Banks, at a special meet ing November 15, approved the consoli dation of the Continental and Commer cial Trust and Savings Bank with the Continental and Commercial National Bank of Chicago, under the title, Con tinental National Bank and Trust Com pany of Chicago. Issuance of a 40 per cent stock divi dend, to stockholders of record Novem ber 20, was authorized. Present officials of the two banks were elected to take office in the consoli dated bank December 1, 1927, the date the consolidation becomes effective. The name of the Continental and Com mercial Company, the investment securi ties company affiliated with the Conti nental and Commercial Banks, was changed to Continental National Com pany. The name of the Continental and Commercial Safe Deposit Company was changed to Continental National Safe Deposit Company. The capital of the consolidated bank will be 35 million dollars, surplus will be 30 million and undivided profits will exceed 3 million. The stock ownership of the two banks was identical and the managements were inter-related. The action of the stockholders is the last step in the com plete unification of the two commonly owned banks. T o k y o E lectric E arnings Show G o o d Increase H ave you ever had occasion t o w r i t e 11 t o y o u r c i t y c o r r e s p o n d e n t t h u s : I t m ig h t in te r e st y o u to k n o w th a t sin c e w e a d o p t e d y o u r A d v e r t i s i n g a n d N e w B u s i n ess S e r v ic e t w o w e e k s a g o , w e h a v e s e c u r e d c lo se to f i v e h u n d r e d n e w S a v in g s A c c o u n t s . ?? The above is quoted from a letter recently re ceived from one o f our M id-W estern corre spondents. This is not a mere "happenstance,” The Tokyo Light Co., of Tokyo, Japan, reports gross revenue of $3,291,859.50 from the sale of 175,590,752 kilowatt hours during September, as compared with revenue of $3,229,068.50 from the sale of current during August, all con versions being made on the basis of 50 cents per yen. The total maximum demand on the company’s system during September was 407,378 k. w., which compares with 383,086 k. w. in the preceding month. The total load connected to the mains at the beginning of the month comprised 251,872 k. w. for lighting, heating and domestic purposes, representing an in crease of 1,106 k. w. over August, and 400,196 k. w. for power and industrial purposes, a gain of 5,211 k. w. as com pared with the preceding month. nor is it the result o f an unusual situation. It is merely further evidence o f the extent to which we go to be o f real and constructive service to our correspondents. A n inquiry ad dressed to our Service Department will bring detailed information on how we can assist you to increase your business and step-up earnings. The National B an k o f the PUBLIC OP CHICAGO •* Office o f New York Representative, No. 1 Wall St. Office of Pacific Coast Representative, Citizens National Bank Bldg., Los Angeles J o h n A . L y n c h , C h a ir m a n o f th e B o a r d D a v id R . F o r g a n , V ic e -C h a ir m a n G e o r g e W o o d r u f f , V ic e -C h a ir m a n H . E . O t t e , P r es id e n t © N . B . R . 1927 ENVELO PES— For Every Purpose H E C O — C H IC A G O https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B a n k e r s S a fe ty E n v e lo p e s HECO ENVELOPE COMPANY Chicago, Illinois Would Defeat Itself As the result of a murderous attack on a mail truck in Elizabeth, N. J., a rec ommendation is made by Postmaster General New. “ I think,” he says, “ it should be made a hanging offense to at tack the United States mails with arms, and I propose to recommend such legis lation to Congress. Any man who robs the mails with a gun has murderous in tent in his heart, and the world is a great deal better off without him.” Right. But such a law would defeat itself. Juries would not convict. It is hard enough to induce them to convict when murder has actually been com mitted. They would not hang a man for murderous intent. If we hang mur derers, we shall be doing well enough. Criminals then will refrain from rob bery with a gun, for they will realize that they cannot use the gun without being tracked down, convicted, and hanged.— Chicago Journal of Commerce. St. Louis, December, 1927 H o d g e N o w V ice-P resid en t o f B y lle sb y C orp ora tion Announcement has been made of the election of William H. Hodge as a vicepresident of Byllesby Engineering and Management Corporation, and the ap pointment of Mr. Hodge as manager of a newly created sales and advertise ment department of that company at its Chicago headquarters. The sales and advertising department will have general charge of the develop ment of new business and advertising at all of the Byllesby utility p r o p e r ty , 61 T he Power Behind the Throne. When the late Senator Taylor of Ten nessee was Governor of that State he was interrupted just as he sat down to luncheon at home one day by a message from the capitol to the effect that two men from an outside town wanted to see the Governor at once. The Governor said to Sam, his Negro butler, who brought in the message: “ Sam, tell them I’ll be right down.’’ “ Yes, sir,.” said Sam. “ Sam,” broke in Mrs. Taylor, “ you tell them the Governor will be down in half an hour— after he has finished his luncheon.” “ Sam,” said the Governor, “ say I’ll be right down.” “ In half an hour, Sam,” said Mrs. Taylor. “ Sam,” said the Governor, “ do you know who is the Governor of Tennes see?” “ Yes, sir,” replied Sam; “ I’ll tell ’em you’ll be down in half an hour.” A detour is the longest distance be tween two driven points. H is D irectors Co-operate William H. Hodge which now compose one of the larger groups of these enterprises under uni fied management in the United States, including companies serving Pittsburgh, Minneapolis, St. Paul, Louisville and San Diego. Mr. Hodge has been connected with the Byllesby organization since 1910 as manager of the advertising and public ity department. He had a prominent part in the development of the customer ownership plan of financing by utility companies, and in their public relations and commercial activities. Prior to his entrance into the utility business he was managing editor of the magazine Public Service, of Chicago, and before that a newspaper reporter. The president of a M iddle Western bank found himself with a board of directors including several leading citizens who were unfamiliar w ith banking problems and therefore unable to give him the assistance w hich may be expected from seasoned bank directors. Out of an experience of 58years as counsellor in such situations, we were able to suggest to this banker the development of certain reports and other material, w hich have given his new directors a welcome insight into the problems of the bank and have won for him their intelligent co-operation. W e invite you also to utilize the broaa experience and helpful counsel which our correspondents uniformly enjoy. 1927 H a r r y A . W heeler President C r a ig B. H a zle w o o d V ice-President T u r n About Is F a ir Play. Office Boy— “ A man outside the gate to see you, sir.” St. Peter—“ Who is he?” Office Boy— “A business man who was always too busy to see a salesman.” St. Peter— “ Put him in the red-hot waiting-room and tell him I’m in confer ence.”-—Judge. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis U N IO N T R U S T C O M P A N Y C H IC A G O E NVELOPES F O R B A N K S HECO ENVELOPE COMPANY C h ic a g o , Illin o is NEED ENVELOPES? W r ite H E C O — C H IC A G O 62 Mid-Continent Banker With the completion of the addition the floor space of the bank, which is the oldest in Irvington, has been doubled. Indiana Notes banking and financial circles, died at his home in Frankfort, Ind., October 27, following a long illness. N e w Bank At Flora. A charter has been granted to the Flora State Bank of Flora, Ind., with a capital stock of $25,000.00. Officials of the new bank are: E. Voorhees, presi dent, and Elias C. Patty, cashier. J .M. Bailey Succeeds W . J. Veeck. At the regular meeting of the board of directors of the Farmers and Mer chants National Bank, Boonville, Ind., J. M. Bailey, cashier of the Farmers and Merchants State Bank of Decker, Ind., was elected cashier of the Boon ville institution to succeed W. J. Veeck, resigned. The F arm e rs and Merchants Bank, Wolcottville, Ind., has been merged with the State Bank of that town. Irvington Bank Enlarges Quarters. The opening of the new addition of the Irvington State Bank, at Irvington, Ind., was celebrated with an all-day pro gram when several hundred persons visited the building on inspection tours. Goshen Bank Opens New Building. T h e Farm ers and Merchants Bank of The new building of the Salem Bank and Trust Co., Goshen, Ind., which has been opened to the public, is a structure of exceptional beauty. The building is of the type known as a structural steel frame, two story with basement. It is of faced brick, trimmed with stone, with reinforced concrete floors and is fireproof throughout. The massive vault deserves special mention, being constructed of doubly reinforced steel and lined with heavy steel and equipped with a 17-ton door. The Salem B'ank and Trust Company has paid in capital of $200,000 and sur plus of $50,000. The latest statement of condition showed undivided profits in excess of $94,000, and resources of over $3,600,000. Haines Egbert is president; Chas. A. Aitken and Ray Deahl, vice-presidents; C. Edwin Stout, secretary and treas urer; W. H. Nymeyer, cashier, and O. J. Schrock and H. E. Roscoe, assistant cashiers. Decker, Ind., have elected Samuel H. Goodman of Poseyville, Ind., as their new cashier. W i l l i a m C. Burk, age 73, president of the Thorntown State Bank, Thorntown, Ind., died suddenly at the family home at Thorntown, November 6. Edward S c h w a rk has been named as assistant cashier of the Upland State Bank, Upland, Ind., to succeed Miss Hazel Atkinson, who has held the posi tion for several years. Ernest George, 76, cashier Donald J. Thomas, 66, president of the Thomas Exchange Bank, Corunna, Ind., for the last 30 years, died recently. nent in Frankfort and Indianapolis the Commerce Exchange Bank, Auburn, Ind., died recently. Complete Investment Service □ T H E N O RTH ERN TR U ST COMPANY Capital, Surplus and Undivided Profits Over $7,500,000 Especial Attention Given Investment Accounts of Country Banks and their Clients. N orth w est C orn er LaSalle an d M on roe Sts. \ j : \ : | Our private wire connections reach over eighty dealers and financial institutions in forty-three cities. □ James C. W illson i i □ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis the Milo J. Thomas, age 66, president of John B. Meifeld, 76 years old, pro m i Investigations and reports on all phases of business in the surrounding territory, especially in the Chicago district, are cheerfully and painstakingly made by this bank for its correspondents. C H IC A G O of Howard National Bank, Kokomo, Ind., for forty years, died at his home of heart disease. ; i j. \ &Co. ISO SOUTH F IF T H ST R E E T LOUISVILLE. K E N T U C K Y j^ : St. Louis, December, 1927 K entucky Notes Pio neer K entucky B a nk e r Is Dead. John W. Heflin, 81 years old, cashier of the Fleming County Farmers Bank, Flemingsburg, Ky., for more than fortyeight years, died recently. His son, Paul Heflin, an attorney, has been elected to fill the vacancy at the bank. N e w Bank At Louisville. The Union Central Bank has been or ganized at Louisville, Ky., with capital of $100,000.00 and surplus of $50,000.00. George R. Ewald has been elected pres ident; Oscar Bishop, vice-president and cashier; and F. L. Speiden, chairman of the board. Middlesboro Bank Remodels Building. Much favorable comment has been made on the progressive attitude of the Citizens Bank and Trust Company, Middlesboro, Ky., in the remodeling of their already handsome banking home. The interior has been redecorated in a very pleasing combination of old ivory and mahogany. The bank also reports a very satis 63 factory increase in deposits and reports that the retail and wholesale business is exceptionally good for the time of year. A. H. Stone Has Resigned. A. H. Stone has resigned as cashier of the National Bank of Cynthiana, Ky., after having been connected with the institution for eight years. H. P. Van Deren, president of the bank, will serve as cashier until a successor has been elected. Large Crowds Inspect N e w Banking Quarters. Visitors attending the third and final day of the three-day formal opening of the First National Bank, Kentucky Title Trust Company and the Kentucky Title Company in the new home of the affili ated institutions at Fifth street and Court Place, Louisville, surpassed by more than 3,000 the number at either of the preceding days when 11,863 persons attended. The total number of visitors during the three days was 24,718. Hun dreds of floral tributes sent by friends of the institutions were in evidence in all parts of the building. Mrs. J. V. Baum stark, assistant cash ier of the State Bank, Morehead, Ky., for several years, has resigned. Serving the Fourth Generation A com plete up-to-theminute bank, offering every modern banking service LIBERTY IN S U R A N C E J. B ru ce N o w V ice-P resid en t o f N a tion a l P ark B an k The National Park Bank announces the election of James Bruce as a vicepresident. Mr. Bruce was born in Baltimore, De cember, 1892. He graduated from Gil man School in 1910, and from Princeton University in 1914. He then took a law course, graduating from the University of Maryland Law School in 1916, and served as private secretary to Thomas Nelson Page, Ambassador to Italy, 19161917. During the war he was in the Second Division and on the staff of the First Army from 1917 to 1920. He became vice-president of the Bal timore Trust Company in 1921, remain ing there until 1926, when he became vice-president of the International Ac ceptance Bank, Inc., New York. He comes from this position to the National Park Bank. Mr. Bruce expects to assume his du ties on December 15th. He is married and has two children. Clever Advertising. A sign at a Standard Oil Co. filling station announced “ Ethyl is back.” A sign at a National Refining Co. station across the street said, “ Rose never went away.” Confer with Specialists on your New Bank Building B y so d oin g you w ill b e d em o n stra tin g the good ju d g m e n t and sou nd m a n a g e m e n t resp o n sib le for tb e grow th and prosperity of your institution. W e are sp ecialists in d e sig n in g , con structing and re m od e lin g b an k b uild ings. C o n fer with u s or send for b o o k le t e x plaining our service. T h e re w ill b e no obligation. LD.Lacy Company B A N K B U IL D E R S ^ Q 06 Syndicate Trust Bldg*ST. LOUIS,MO. BANK LOUISVILLE R E S O U R C E S O V E R $28,000,000 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis To the Man on the Street the Building is the Bank Mid-Continent Banker 64 Tennessee Notes Colum bia Institution Elects Officers. Following the organization of the Union Trust and Mortgage Company at Columbia, Tenn., S. B. Stephens was elected president; F. E. Kannon, first vice-president; B. M. Woods, second vice-president; George E. McKennon, secretary and treasurer. of the new Central Credit Union Bank aX Knoxville, Tenn. Other officers are: A. G. Walker, vice-president; R. T. Suffridge, secretary; J. W. Crudgington, treasurer; John S. Wilson, assistant treasurer, and Judge L. H. Carlock, at torney. Mr. Higgins was formerly federal col lector of internal revenue for East Ten nessee, and now is president of the Wood-Higgins Auditing Company. Union and Planters M akes Promotions. N e w Bank A t Kn oxville. J. A. Higgins was elected president Elmer A. Wrieden and Orson K. Earp have been promoted by the Union and Planters Bank and Trust Company, Memphis, Tenn. Mr. Wrieden has been added to the official staff of the bank as auditor. Mr. Earp was elected as sistant cashier and is to be given charge of the savings department and the han dling of new accounts. Chattanooga Bank Installs T ra v e l Departm ent. Announcement has been made by J. P. Hoskins, president of the First Na tional Bank, Chattanooga, Tenn., that the institution has installed a complete travel department to serve the people of that city, North Georgia and North Alabama. W ith no progress made in the pro posed merger of the First Trust and Savings Bank and the First National Bank, Paris, Tenn., the former is mak ing arrangements to move to its re cently purchased new home at Holland’s Corner. T he Farm ers Bank and T r u s t Com pany has been organized at Byrdstown, Tenn., with capital of $10,000.00. The incorporators are: J. W. Barnes, I. B. Jones, A. E. Mattheny, E. L. Mullins and L. B. Elder. Clem N. Woodw orth , cashier of the St. Elmo Bank and Trust Company, Chattanooga, Tenn., died suddenly Oc tober 24th. Mr. Woodworth was also treasurer of the Chattanooga Trust Company. A. V. Patton, fo r m e rly cashier of the In Our Territory W e Offer You: T h e Citizens Businesslike speed — Our Transit Department is equipped and trained for swift, efficient service. Complete coverage— And that makes no mention of our constant effort to make our business transactions humanly satisfactory as well. U n io n & P la n t e r s B A N K &, TR U ST COM PANY Forward with M em phis—Since ’ 69 E M P https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H I S Bank and T ru s t Com pany has been organized at Atwood, Tenn., with capital of $10,000.00. R. McNatt is president. T h e Farm e rs National Bank, Carnegie, Through long experience, we have built up broad contacts in the Tri-State Region. M Security National Bank, Jackson, Tenn., has been elected vice-president. H. E. Oglesby, vice-president, is now vicepresident and cashier. T E N N E S S E E Okla., has moved into its new modern home. The October 10th statement of the Hamilton National Bank and the Hamil ton Trust and Savings Bank, Chatta nooga, Tenn., shows total resources of $25,450,244.00, with deposits of $20,989,702.70. Wisdom of Infancy. “ And what, little girl,” asked the lady visitor, “ are you going to be when you grow up?” “ I’s donna be a blonde secretary,” re plied the innocent babe, “ so’s my daddy will go out with me sometimes.” St. Louis, December, 1927 65 A rkansas Notes Has Fine New Home. of a $55,000 hom e fo r th e W a r r e n B a n k a t W a r r e n , A r k ., h a s been c o m p l e t e d a n d f o r m a l o p e n in g o f th e b a n k in it s n e w q u a r t e r s w a s h e ld Succeeds W . A. Steele. b u il d in g is a tw o -s to ry b r ic k of on B u r e n , A r k ., d ie d r e c e n t ly . a c c o u n t o f ill h e a lth . derson and P u lle n w ere M essrs. A n added to th e to th e b a n k ’s q u a r t e r s c o n t a in s s p a c e f o r a s t o r e o n th e fir s t f lo o r a n d le r , Levi W i m b e r l y has been elected ac w as c a p it a l of o r g a n iz e d in $ 1 0 0 ,0 0 0 , a n d 1901 w it h w h ich in to a p p r o x im a t e ly O th e r o ffic e r s are: L o u is B ank of M a m m o th and s o ld S p r in g s , h is s to ck ie r , a n d M . C. S in g e r a s s is t a n t c a s h ie r . F ay e tte v ille Bank Elects Ne w Officers. N . G r a y w a s e le c t e d p r e s id e n t a n d J o h n C la r k c a s h ie r o f th e C it iz e n s B a n k , F a y e t t e v ille , A r k ., a t a r e c e n t m e e t in g s t o c k h o ld e r s . M r. C la r k been v ic e - p r e s id e n t has been p r e s id e n t o f th e b a n k s in c e it s r e o r g a n iz a t io n la s t M a y a n d r e s ig n e d to a c c e p t th e c a s h ie r s h ip a n d a c t i v e m a n a g e m e n t. Osceola Banker Resigns Position. o f V a n B u ren of th e E. F. C reekm ore of O s c e o la , A r k ., h a s s u c c e e d e d h im a s v ic e -p r e s id e n t o f th e F ir s t N a t io n a l B a n k a n d B . C. S t e w a r d h a s b e e n a d d e d to th e b o a r d o f d i rectors. T H E N A T IO N A L P A R K B A N K OF N E W Y O R K 214 BROADWAY Uptown Offices: P a rk A v e n u e a n d 4 6 th S treet— S ev en th A v e n u e a n d 3 2 n d S treet RALPH, L. CERERO Vice-President H. E. SCHEUERMANN Vi c e - Presi dent JA Y D. RISING Vice-President HAROLD W . VAN D E RP O E L Vice-President JAMES BRUCE Vice-President W A L T E R S. .TELLIFFH Asst. Vice-President W IL L IA M A. M AIN CLAUDE H. B E A T Y Asst. Vice-President LOUIS H. OHLROGGE Asst. Vice-P'resident Asst. Vice-P'resident W IL L IA M C. M ACAVOY JOHN M A T T H E W S , JR. Asst. Vice-P'resident R. J. W H IT F IE L D Asst. Vice-President Asst. Vice-President W IL L IA M E. DOUGLAS H E N R Y L. SPARKS Assistant Cashier BYRON P. ROBBINS Assistant Cashier JOHN B. HEINRICHS Assistant Cashier JOSEPH E. SILLIM AN Assistant Cashier STAN LEY F. K ETC H AM Assistant Cashier Assistant Cashier K E N L Y SAVILLE HAROLD M. TRUSLOW Assistant Cashier GEORGE C. BRADEN Assistant Cashier W IL L IA M F. LATU S Assistant Cashier Assistant Cashier CAPITAL, SURPLUS AND UNDIVIDED PROFITS $34,000,000 RICHARD D EL AF IB L D Chairman of the Board CHARLES S. McCA.IN President CHARLES SCRTBNER Vice-President M AURICE H. E W E R Vice-President FRED ERICK O. FOXCROFT Cashier has r e s ig n e d h is p o s it io n , a n d w ill e n g a g e in th e o il b u s in e s s at B ly t h e v ille , h a v in g been m a d e m a n a g e r in th a t t e r r i t o r y f o r th e P i e r c e P e t r o le u m Robert C o r p o r a t io n . C. T em ple has been elected a c t i n g v ic e - p r e s id e n t a n d d i r e c t o r o f th e F i r s t N a t i o n a l B a n k , L a m a r , A r k ., s u c H i mi n w u c e e d in g C. W . B a u g h m a n . Rex Ca stleberr y has purchased a con t r o llin g in t e r e s t in th e B a n k o f S a le m , A r k ., a n d h a s b e e n e le c t e d its p r e s id e n t w ith H . J. H u m p h r ie s , c a s h ie r , a n d M rs. Fay C a s t le b e r r y , a s s i s t a n t c a s h ie r . O. P. M axw ell, cashier of the State B a n k o f S io la m s ig n e d th a t ceed ed by S p r in g s , A r k ., h a s r e p o s it io n W a lt e r s is t a n t c a s h ie r . and w ill L in e b a c k , be su c th e as T h e r e w ill b e n o o t h e r The Midland Bank offers exceptional facilities for the transaction o f banking business o f every description. Together with its affiliations it operates nearly 2400 branches in Great Britain and Northern Ireland, and has agents and correspondents in all parts o f the world. The Bank has Offices in the Atlantic Liners Aquitania , Berengaria and Mauretania , and a foreign branch office at 196 Piccadilly, London, specially equipped for the use and convenience o f visitors in London. o ffic ia l c h a n g e s . A. L. An th on y has resigned as cashier of th e M erch a n ts and F arm ers Bank, J u n c t io n C ity , A r k ., t o e n t e r th e in s u r ance b u s in e s s . L eo M u rph y h as MIDLAND BANK L IM IT E D H E A D OFFICE : 5 THREADNEEDLE STREET, LONDON, E.C. 2 been p r o m o t e d to th e p o s it io n o f c a s h ie r . T h e stock In the Citizens Bank, For e m a n , A r k ., b e l o n g i n g to th e la te W . M . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C o t to n E. L . M a t lo c k A u s t in M o o r e , a s s i s t a n t c a s h i e r o f th e Bank fo r M r. B u t le r h a s b e e n id e n its o n d v i c e - p r e s i d e n t ; C. L . T a r le t o n , c a s h of has $800,000. E d e r in g t o n , V an f o r t h ir t y y e a r s a n d is a t p r e s e n t m a n ager Perry Goodwin, vice-president of the of a fir s t v i c e - p r e s i d e n t ; C. W . H a n k in s , s e c F. who C om p a n y a t V a n B u ren . P e o p le ’s Bank th e p a st q u a rte r ce n tu r y h as in c r e a s e d resou rces N a t io n a l tifie d w it h th e b u s in e s s M e r c h a n t s B a n k , M e n a , A rk . S. B. M e e k is p r e s id e n t o f th e b a n k , w h ic h F ir s t sev era l y ears. A r k ., h a s r e s ig n e d to J o h n R e e d . 14 o ffic e s o n th e s e c o n d flo o r . th e H e h a s b e e n s u c c e e d e d b y J. H . B u t b o a r d o f d ir e c t o r s . s t r u c t u r e w it h a s t o n e fr o n t , a n d in a d d it io n W illia m A . S t e e le , a g e d 57, p r e s id e n t to s u c c e e d F r a n k H o r n e r , w h o r e s ig n e d tiv e v ic e - p r e s id e n t o f th e F a r m e r s a n d o n N o v e m b e r 20. The J. H. Butler M r. H o p s o n h a s b e e n e le c t e d p r e s id e n t W a r r e n Bank C o n s t r u c t io n G a th r ig h t, h a s b e e n s o ld t o J. W . H o p s o n , L . B. A n d e r s o n a n d W . J. P u lle n . Affiliated Banks : Belfast Banking C o . L t d ., N o rth ern Ir e la n d ; The Clydesdale Bank L t d ., and N o rth o f Scotland Bank L t d ., Scotland. Mid-Continent Banker 66 Condition of 313 State Banks in Mississippi c o n d it io n o f th e 313 s ta t e b a n k s in M is s is s ip p i r e p o r t in g to th e c a ll L oan s and 1927, w e r e d is c o u n t s p rov em en t. $106,441,402.33, a n 10, 1927, to ta l as c o m p a r e d w it h $208,380,872.97, on O c t o b e r 10, $107,029,142.83, w h e r e a s June O ctober 30, lo a n s and d is c o u n t s in c r e a s e on t o t a lle d of $587,- 740.50. T h is s m a ll in c r e a s e in lo a n s f o r th e tw o p e r io d s is very w h e n w e n o t e s u c h a la r g e in c r e a s e in J u n e 30, 1927, a n d $184,024,968.97 a s o f t o t a l r e s o u r c e s , a s w e ll a s t o t a l d e p o s D e c e m b e r 31, 1926. its. to ta l d e p o s it s on O ctober 10, A n e w ly o r g a n iz e d B o liv a r S t a te B o y le , M is s . b y lo c a l p e o p le . d e n t; N. E. W . W . B e t ts is p r e s i P it r e , v ic e -p r e s id e n t , and J. M . R a u c h , c a s h ie r . Kosciusko Bank Installs N e w Fixtures. The v e r y s ig n ific a n t a n d T h e c a p it a l s t o c k o f $10,- 000.00 a n d s u r p lu s o f $2,500.00 is o w n e d s a t is f a c t o r y , $183,399,208.18 a s o f The Bank at Boyle. B a n k h a s b e e n o p e n e d f o r b u s in e s s a t o f O c t o b e r 10, 1927, s h o w s m a r k e d im T h e r e s o u r c e s o f a ll s ta t e b a n k s a s o f Open New The B y J. S. L ove S u p erin ten d en t o f B a n k s rp H E Mississippi Notes p r o b a b ly th e G u a r a n ty K o s c iu s k o , Bank and T rust has ju s t c o m p le t e d M is s ., C o., 1927, w e r e $171,668,938.31, a s c o m p a r e d m o s t p le a s in g fe a t u r e o f th is c o m b in e d th e in s t a llm e n t o f n e w m a r b le fix tu r e s w it h s t a t e m e n t o f 313 s ta t e b a n k s is th e p e r th r o u g h o u t t h e ir b u ild in g , w h ic h is o n e $150,512,907.45 on June 30, 1927, a n d $151,364,773.77 a s o f D e c e m b e r 31, 1926. In o t h e r w o r d s , t h e r e w a s 14 p e r c e n t i n c r e a s e in d e p o s it s o f s ta t e b a n k s o p e r a t in g in M is s is s ip p i d u r in g th e p a s t o f th e m o s t c o m p le t e a n d u p -to -d a te in c e n t a g e o f lo a n s to d e p o s its . O n S e p t e m b e r 28, 1926, p e r c e n t a g e o f lo a n s to d e p o s it s w a s 66 p e r c e n t. O n D e c e m b e r 31, 1926, p e r c e n t a g e o f s ix m o n th s . T h e c a s h r e s e r v e , o r c a s h o n h a n d in b a n k s o n O c t o b e r 10, 1927, w a s $43,000,940.37, a s c o m p a r e d w ith $31,751,160.52 as o f J u n e 30, 1927. lo a n s to d e p o s it s w a s 67 p e r c e n t. O n J u n e 30, 1927, p e r c e n t a g e o f lo a n s O ctob er 21 p e r c e n t, w h i c h is t w i c e a m o u n t of S tock s, bon d s and s e c u r it ie s , o r s e c r e s e r v e , in c r e a s e d s ix m o n t h s $1,186,168.70. in th e past T h is it e m o n O c t o b e r 10, 1927, w a s $25,301,541.16. B ills p a y a b le in c r e a s e d 10, 1927, p e r c e n t a g e fro m d it io n o f th e p e o p le o f th e s ta t e o f M is $4,268,- d it io n o f b a n k s , is m o r e w h o le s o m e a n d o n a b e t t e r b a s is , th a n it h a s e v e r b e e n . T h is t io n s p le n d id im p r o v e m e n t in c o n d i of th is s ta t e tim e , in com pared s h o w s th a t th e s ta t e $2,169,152.02; s ip p i p e r m is s ib le , is banks d a tes, is P t a te B a n k , president of th e M cC om b, P ie t y is th e It is c o n c lu s iv e th a t th e fin a n c ia l c o n 849.61 o n J u n e 30, 1927, t o $6,439,001.63 th is Dunn, d ir e c t o r s of the M e c h a n ic s - M is s ., d ie d re of lo a n s to d e p o s it s w a s 62 p e r c e n t. o n O c t o b e r 10, 1927, o r a n i n c r e a s e o f y et, Knox of r ig h t p e r fo r m a n c e of a c o m m o n d u ty , as w e ll a s th e e x p e r ie n c e o f a s p e c ia l m o r a l e m o t io n .— B e e c h e r . s is s ip p i a s a w h o le , as r e f le c t e d b y c o n le g a l r e s e r v e r e q u ir e d b y la w . on d ary John c e n t ly . o f b u s in e s s O c t o b e r 10, 1927, w a s 25 p e r c e n t , w h e r e a s o n J u n e 30, 1927, it w a s T h e lo b b y s p a c e h a s a tile flo o r . h oard to d e p o s it s w a s 70 p e r c e n t. On C a s h o n h a n d a n d in b a n k s a t c lo s e th e s ta te . very have M is s is s ip p i w ith g r a t ify in g m ade p r e v io u s s p le n d id in c u ll t h e ir several sw e e ts fr o m t h e r e w h e r e t h e y fin d th e m , b u t th e m s e lv e s a ft e r m a k e th e h o n e y , w h ic h a ll p u r e ly th e ir ow n, and no is lo n g e r and t h y m e a n d m a jo r a n t ; s o th e s e v e r a l f r a g M is s is m e n ts th e p u p il b o r r o w s f r o m o t h e r s h e in d e e d , banks at B ees th is flo w e r a n d th a t b lo s s o m , h e r e a n d progress w ill t r a n s fo r m and b le n d to g e th e r to f o r th e r e a s o n in s o m e i n s t a n c e s it w a s t o w a r d s liq u id a t io n in th e p a s t s e v e r a l c o m p ile a w o r k th a t s h a ll b e a b s o lu t e ly n e c e s s a r y fo r y ears, h is o w n ; th e banks to b orrow and th a t t h e s e m o n e y in o r d e r t o fin a n c e m o v in g o f th e a b le t o ta k e c a r e crop s. d u r in g th e c o m in g y e a r . banks a re w e ll o f d e p o s it o r s ’ n e e d s t h a t is t o s a y , h is ju d g m e n t , w h ic h is h is in s t r u c t io n , la b o r a n d s tu d y s h o u ld a lo n e te n d t o fo r m .— M o n ta ig n e . W . J. P IL L O W , Cashier A . J. C R O Z A T , Assistant Cashier G. J. F R U T H A L E R , Assistant Ca r.er W . N . L O U Q U E , Assistant Cashier W . D . K I N G S T O N , Trust Officer J. H . W E I L , A ss’t Bond Officer R .W . B R A D Y , A ss’t-M g r. Foreign D ep t L . M . P O O L , President J. A . B A N D I , Vice-President W . T . M A R F I E L D , Vice-President J O H N D A N E , Vice-President F R E D B R E N C H L E Y ,V ice-P re sid e n t W . P. O ’N E A L , Vice-President T h e M arin e B an k & Trust C o m p a n y https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NEW ORLEANS, LA. R e s o u r c e s O v e r T h ir ty M illio n D o lla r s A C C O U N T S 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 I N T E R E S T S W I L L R E C E I V E P E R S O N A L A T T E N T I O N O F O U R O F F IC E R S =x t e n St. Louis, December, 1927 67 Louisiana Notes T he Covington Bank and T r u s t Com p a n y , C o v in g t o n , L a ., is s p e n d in g $40,fo r 0 0 0 .0 0 im p ro v e m e n ts and a lt e r a tio n s . Louisiana Banks In Good Condition. ; Whitney-Central T o t a l d e p o s it s o f 200 S t a te b a n k s in L o u is ia n a a t th e e n d o f th e th ir d q u a r t e r o f th e y e a r w e r e $329,765,232.00. T h e b a n k r e p o r t s s h o w o n th e w h o l e a s o u n d and h e a lt h y c o n d it io n , C o m m is s io n e r the Only N A T IO N A L B r o c k d e c la r e s . Bank in New Orleans Lake Charles Bank To Have N e w Home. P la n s a re tw o -s to ry b e in g and c o m p le t e d m e z z a n in e f o r th e s te e l, b r ic k a n d s t o n e tr im m e d b a n k b u ild in g to b e erected in Lake C h a r le s , L a ., fo r th e C a lc a s ie u N a t io n a l B a n k o f S o u th w e s t , L o u is ia n a , at a n e s t im a t e d c o s t o f $250,- 000.00. Sh ort and Snappy. A cu b re p o rte r, f r e q u e n t ly r e p r i m a n d e d f o r p r o l i x i t y a n d w a r n e d to b e b r ie f, t u r n e d in th e f o l l o w i n g : “A s h o ck in g n ig h t. S ir a ffa ir E dw ard occu rred H o p e le s s , a la s t gu est a t L a d y P a n m o r e ’ s b a ll, c o m p la in in g o f f e e l i n g ill, t o o k h is h a t, h is c o a t , h is d e p a r t u r e , n o n o t ic e o f h is f r ie n d s , a ta x i, a p is t o l f r o m h is p o c k e t , a n d fin a lly h is life . N ic e c h a p . R e g r e t s a n d a ll t h a t .” Faitkfully serving the needs of Industrial St. Louis for tke past 65 years, qualifies tkis kank to ex tend its depositors experienced financial co-operation. Capital Surplus Undivided Profits $ 3 ,5 0 0 ,0 0 0 T he B rig h t Pupil. A te a ch e r t e l ls of an i n c id e n t in a p r im a r y s c h o o l e x a m in a t io n o v e r w h i c h s h e p r e s id e d . O n e o f th e q u e s t io n s w a s w it h r e f e r e n c e s to th e fiv e s e n s e s , a n d The Merchants Laclede National Bank of St. Louis a b r ig h t p u p il h a n d le d th e s u b je c t th is w ay: “ The fiv e sen ses a re s n e e z in g , b in g , c r y i n g , y a w n in g , c o u g h in g . sob B y th e s ix t h s e n s e is m e a n t a n e x t r a o n e w h i c h s o m e fo l k s h a v e — th is is s n o r in g . Your Hom e S in g le R o o m s a s lo w a s $3.00 p e r d a y . L a r g e r s u ite s c o r r e s p o n d in g ly lo w . W r it e o r w ir e f o r in f o r m a t io n a n d ra te s . Away from Hom e Success. J u d g e — “ A r e y o u t r y in g to s h o w c o n t e m p t f o r th is c o u r t ? ” L a w y e r — “ N o , I a m t r y in g to c o n c e a l it .” L a d y — B u t d o n ’ t y o u fin d th a t h o r s e m ay p rep a re y o u r o w n w hen y ou select the R ogers Park H o te l as you r abode. _________________ service is excellent. A beau m ea ls. Y e t d in in g r o o m tiful park slop es d o w n to L ocated o n w o r ld fam ous Sheridan R oad , b a c k r id in g g iv e s o n e a h e a d a c h e ? In stru cto r— N o, m adam . Y o u intensify the pleasure o f y o u r stay in C h ic a g o J u s t th e r e verse. a w ide, sandy b ea ch — and ju s t'b e y o n d it, it offers y o u every service that a th ou g h t Lake M ich igan . N o w h e re is there a finer ful, efficient m anagem ent can devise fo r y our panoram a o f its sparkling waters. co m fort, con v en ien ce and pleasure. A N e w Disease. J u d g e ( s t e r n l y ) — W h y d id y o u b r u ta l La Salle Street and the busy, n oisy L o o p A ll r o o m s are outside r o o m s — large, airy and cheerful; som e w ith kitchen w here you are but 2 2 minutes r e m o v e d — w ith splen did transportation service 2 4 hours daily. ly a s s a u lt th e m a n a g e r o f th e c a f e ? a t e in g h is p ie f e r s ix m o n th s , a n ’ la s t ROGERS PARK HOTEL n o ig h t S H E R ID A N P a t ( w r a t h f u l l y ) — S u r e a n ’ o i ’v e b e e n th e d e n t is t P i e r e a ! — B ill. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis to ld me oi had ROAD AND PRATT BOULEVARD C H IC A G O 68 Mid-Continent Banker s a s, w a s a tt e n d e d b y t h o u s a n d s o f v is K ansas Notes it o r s . and S t a te o p e n in g o f th e a g a in s ir e n at s o u n d e d a t 3 o ’ c lo c k e n la r g e d B a n k b u ild in g a t W in fie ld , K a n li c th a t th e r e c e p t io n began a ft e r n o o n . The at 3 o ’c lo c k crow d s in th ro n g e d th e b u ild in g a ll a ft e r n o o n a n d a ll e v e d a y f o r th e o p e n in g n in g a n d o ffic ia ls a n d e m p lo y e s g r e e t e d r e m in d in g h a d a r r iv e d , a n d a n n o u n c in g to th e p u b n e w ly The th e th e 7 o ’c lo c k f o r g e t f u l th a t th e W infield Bank Opens New Building. The The b u r g la r a la r m w as fu lly in s t a lle d a n d in w o r k in g o r d e r . th e p u b lic a n d e s c o r t e d th e m a b o u t t h e b a n k in g r o o m s a n d th e o ffic e b u ild in g , e x p la in in g th e w o r k in g s o f th e b ig n e w v a u lts , th e b o o k k e e p in g m a c h in e r y , th e c a g e s , th e v a r io u s d e p a r tm e n t s . The la r g e b a n k in g room has n it y th a t is m o s t im p r e s s iv e . is e la b o r a t e ly cages of r a te d . d ig fin is h e d in m a r b le , w ith m a r b le a n d h ig h a T he room The w a lls c e ilin g s a r e b e a u t ifu lly and oak. deco T h e r o o m is fift y f e e t w id e . A m e z z a n in e f lo o r b r e a k s th e h e ig h t , a n d a d d s b e a u t y a s w e ll a s it s u tilit y . L . P . K in g is c h a ir m a n ; M . B. L ig h t , p r e s id e n t ; L e w is B o y s , a c t i v e v ic e - p r e s id e n t ; T . E . H in s h a w a n d A . F . D a u b e r , v ic e - p r e s id e n t s ; F r e d W . K in g , c a s h ie r ; C. P . M u r r a y , R oy Savage, H arry W. K in g a n d A . L . K in g , a s s is t a n t c a s h ie r s . C. W . T a y lo r Elected President. C. W . T a y lo r , w h o h a s b e e n a m e m ber of th e board of d ir e c t o r s of th e F a r m e r s N a t io n a l B a n k , A b ile n e , K a n s a s, s in c e its o r g a n iz a t io n , has been e le c t e d p r e s id e n t o f th e b a n k , s u c c e e d in g H. U n it e d W. R oh rer, who goes to C o m p a n ie s as tr e a s u r e r . th e M . C. G u g le r , c a s h ie r , w ill b e a c t i v e h e a d o f th e F a r m e r s . L. W . Burgess has resigned as man a g e r o f th e L in d a s L u m b e r C o m p a n y t o b e c o m e c a s h ie r o f th e N a t io n a l B a n k o f K in s le y , K ansas, t a k in g th e p la c e of R . B . O w in g s , w h o r e s ig n e d a s c a s h ie r . State Bank of Winfield, Kansas A t a meeting of the board of directors o f th e F o r d S t a te B a n k , F o r d , K a n s a s , W. — that T h e A m eric a n Banks have o v e r $ 1 ,0 0 0 in W. W e ll s of B e lm o n t , K a n s ., w a s e le c t e d to s u c c e e d G. B'. S m ith a s c a s h ie r o f th e b a n k . re so u rce s f o r David D. Dickey, 71, assistant cashier every fam ily in N a s h v ille ? o f th e L e a v e n w o r t h B a n k , L e a v e n w o r t h , K a n s a s , d ie d r e c e n t ly . Resources o f a bank are one o f the measures o f its strength . . . and o f the protection it gives to depositors. ¡Charles F ir s t - *#*#** ... r n • a S e r ie s No 5 ...................... -... o f ... ^ Statement Envelopes H E C O — C H IC A G O https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ic h it a , K an have u n a n im o u s ly th e la t e C h a r le s W . C a rey. T r u « ^ '/ NASHVILLE American ConrÿKfJ: 1 K ansas, in s t it u t io n to s u c c e e d ^A merican B anks (AFFILIATED) president of the in e le c t e d C. Q. C h a n d le r p r e s id e n t o f th a t G r e a te r B a n k f or G r e a te r N a s h v i lle ” ^m em cavTN ational Company B ank Directors of the First National Bank, W ic h it a , Rational Carey, s a s . d ie d r e c e n t ly . This h a n k is a g o o d hank fo r you . . . too. " A W. N a t io n a l __» G. B. Smith has resigned as cashier of th e F o r d S t a te Bank, S p e a r v ille , K a n s a s, a n d W . W . W e ll s h a s b e e n e le c t e d to fill th e v a c a n c y . B a n k e r s S a fe t y E n v e lo p e s HECO ENVELOPE COMPANY C h i c a g o , 111. D o y o u b e lie v e in c lu b s f o r w o m e n ? Y e s , i f k in d n e s s fa ils . 69 St. Louis, Deceviber, 1927 O klahom a Notes Ben Russell Succeeds E. E. O’Brien. B'en R u s s e ll h a s b e e n v ic e - p r e s id e n t Bank, of th e D r u m r ig h t , e le c t e d a c t i v e D r u m r ig h t O k la . M r. Here inThis One S ta te R u s s e ll fills th e v a c a n c y c a u s e d b y th e r e s ig n a t io n of E. E. O ’ B r ie n , who m oved to O k la h o m a C it y w it h h is fa m ily . ‘Preliminary A. C. Adams Service Elected Cashier. E. C. M u lle n d o r e , C le v e la n d N a t io n a l p r e s id e n t Bank, of th e for C le v e la n d , O k la ., h a s a n n o u n c e d th e e le c t io n o f A . Contemplated C. A d a m s a s c a s h ie r . Bank M r. A d a m s h a s b e e n a s s is t a n t c a s h ie r o f th e b a n k f o r th e la s t t w o y e a r s . is a C le v e la n d boy and by rea son He Buildings” of h a r d w o r k a n d a b ilit y h e is n o w m a n - you will find m ost helpful bank building information r~ C O N T E N T S '*1 Floor Plans.............................................................Page 8-1 1 Exterior D esign .................................................... Interior D e sign .................................................... Vault Doors and E quipm ent.......................... Lighting and Furniture.................................... Interior Decorating............................................ Preliminary Specifications............................... Complete Cost Estimates................................. Plan of O peration............................................... Architectural D e ta il........................................... M a y we sen d y o u a fr e e co p y? A. C. Adams a g in g o ffic e r of one of th e stro n g e s t fin a n c ia l in s t it u t io n s in N o r t h e r n O k la SlVinth and Sidney Streets * r * * S A IN T L O U I S , U . S. A . h o m a , a n in s t it u t io n w h i c h h e e n t e r e d a s b o o k k e e p e r o n ly s ix y e a r s a g o . E. E. O ’Brien Now A t O klahom a City. E. E. O ’B r ie n has r e s ig n e d a s v ic e - p r e s id e n t a n d d i r e c t o r o f th e D r u m r ig h t 1928 Reed Master-mass Plan O 19 p P PMR S t a te B a n k a n d h a s a c q u ir e d a n in t e r e s t in th e W est O k la h o m a o ffic e r and In v e stm e n t C ity . He d ir e c to r w ill of C om pany of becom e an th is com p an y , w h i c h is h e a d e d b y O. B. W e s t o f O k la h o m a C ity . BANK ENVELOPES W e s p e c ia liz e o n h ig h g r a d e K ~ a ft a n d L e a th e r o id e n v e lo p e s f o r B a n k s and In v e stm e n t H o u s e s . W e in v ite y o u r in q u irie s f o r e n v e lo p e s o f a ll k in d s , in c lu d in g e v e r y th in g f r o m s m a ll p a s s b o o k ja c k e ts t o th e la r g e r s iz e e n v e lo p e s fo r m a ilin g o r filin g . For mal opening of the new building of Quality Park Envelope Co. t h e O k la h o m a S t a te B a n k , P o n c a C ity , O k la ., a t th e c o r n e r o f E a s t G r a n d a v e n u e a n d N o r t h T h ir d s t r e e t w a s h e ld r e c e n t ly . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M id w a y S t. P a u l. M in n . 70 Mid-Continent Banker T H E HANOVER The N A TIO N A L B o a tm e n ’s N ational B an k BANK OF THE CITY OF NEW YORK E stablish ed 1851 o f S t. L o u is OLDEST BANK IN M I S S O U R I F o u n d e d in 1 8 4 7 The “ B o a t m e n s ” offers a complete banking service founded upon eighty years of sound, conservative banking. T o those who are thinking of estab lishing St. Louis banking relations, the “ B oatm en ’s” offers a connec tion that can be relied upon in every need. Capital . . . $5,000,000 Surplus and Profits 26,000,000 O F F IC E R S : JULIUS W. REINHOLDT, President LEROY C. BRYAN, Vice-President and Cashier AARON WALDHEIM EDGAR L. TAYLOR. Vice-President Vice-President and J. HUGO GRIM M , Trust Officer Vice-President and F. LEE MAJOR, Counsel Vice-President ALBERT WAGENFUEHR. C. C. HAMMERSTEIN. Vice-President Assistant Cashier H. ALFRED BRIDGES. RUDOLPH FELSCH, Assistant Cashier Assistant Cashier OLIVER W. KNIPPENBERG. Assistant Cashier READ THE M B A N IK É R EVERY M ONTH You Will Find: — News of Banks and Bankers. — Legal Decisions and Free Legal Service. — Investment News. — Successful plans for increasing deposits, ad vertising your bank, co-operating with the farmer and creating public good will. — Discussions of Bank Problems by practical bankers. (This Coupon Brings Your First Issue) M ID-CONTINENT BANKER 408 Olive Street, St. Louis, Mo. RESOURCES: O ver $ 2 5 ,0 0 0 ,0 0 0 .0 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Please enter my subscription for one year will remit $3 upon receipt of your bill. Date............................ (12 issues) for which I Officer................................................................................................................... B a n k .................................................................................................................... C it y ................................................................ S ta te ........................................... St. Loms, December, 1927 71 MISSOURI BANK NEWS OFFIC E R S M ISSO URI B A N K E R S’ A S S O C IA T IO N : President, Edward Buder, vicepresident-treasurer Mercantile Trust Company, St. Louis; Vice-President, E. B. Jacobs, cashier First National Bank, Carthage; Secretary, W. F. Keyser, Sedalia; Assistant Secretary, E. P. Neef, Sedalia; Treasurer, F. B. Brady, vice-president Commerce Trust Company, Kansas City. GROUP C H A IR M E N : 1— W. L. Weaver, cashier Hannibal National Bank, Hanni bal; 2 — E. C. Brownlee, cashier Brownlee Banking Company, Brookfield; 3— C. S. Berndt, cashier Farmers State Bank, Stanberry; 4— F. C. Barnhill, cashier W ood & Huston Bank, Marshall; 5— N. S. Magruder, president Savings Trust Company, St. lo u is; 6 — L. C. Leslie, cashier First National Bank, Oran; 7— Chas. F. Ellis, cashier Citizens’ Bank, Marshfield; 8 — Otto W. Croy, vice-president Conqueror Trust Com pany, Joplin. GROU P S E C R E T A R IE S : 1— V. J Howell, cashier, Kirksville Savings Bank, Kirksville; 2 — James M. Smith, cashier, Osgood Banking Company, Osgood; 3— J. E. Barnes, cashier, Round Prairie Bank, Fillmore; 4— J. E. Hurley, cashier, Sedalia National Bank, Sedalia; 5— J. J. Gowman, president, Peoples Bank, Bonne Terre; 6— John M. Himmelberger, secretary, Morehouse Trust Company, Morehouse; 7— W. S. Pettit, vice-president. Union National Bank, Springfield; 8 — U. S. Keran, cashier, Farmers State Bank, Lockwood. Edward Buder, Pres. F. J. Bindbeutel Elected President. C h a p m a n , p r e s id e n t ; e c u t iv e F r e d J. B in d b e u t e l w a s e l e c t e d p r e s C. H . D u v a ll, e x v ic e - p r e s id e n t ; J. v ic e - p r e s i d e n t ; W . J. C h a s e , c a s h ie r ; W il e y id e n t o f th e B a n k o f F e r g u s o n , F e r g u s o n , T h o r n e , a s s is t a n t c a s h ie r ; M o ., a t th e a n n u a l m e e t in g o f s t o c k h o l d a s s is t a n t c a s h ie r . e r s h e ld r e c e n t ly . to rs M r. B in d b e u t e l is th e E llis , is C a r ly le P o e , T h e b o a r d o f d ir e c com p osed of th e f o llo w in g : W F. Keyser, Secretary M ille r County Bankers Organize. R e p r e s e n t a t iv e s o f s ix M ille r C o u n ty b a n k s m e t a t Ib e r ia , M o ., s e v e r a l w e e k s ago fo r th e pu rpose of o r g a n iz in g M ille r C o u n t y B a n k e r s A s s o c ia t io n . a Or s o n o f th e la te F r e d B in d b e u t e l, f o r m e r G a in e s p r e s id e n t o f th e in s it t u t io n , a n d h a s b e e n G a r r is o n , G. W . F e e s e , N . J. S c o t t a n d c u m b ia , s e r v in g a s c a s h ie r o f th e b a n k . S'. P . H ic k s . C o llin s , c a s h ie r o f th e B a n k o f E ld o n , Cooper County Bankers Organize. ie r o f th e F a r m e r s a n d T r a d e r s B a n k o f E. S u d e k u m w ill s u c c e e d h im R obert o ffic e r s e le c t e d C. H . D u v a ll, J. A. as ca sh ie r . O th e r Chapm an, w ere: V ic e - p r e s id e n t , M a y o r W i l l i a m H . T iffin , a n d T . D. S a y r e , c h a ir m a n o f th e b o a r d . In E . F e n d o r f, c a s h ie r o f th e B a n k o f T u sw as e le c t e d p r e s id e n t ; E. T. v ic e - p r e s id e n t ; a n d C liff H . C la rk , c a s h I b e r ia , s e c r e t a r y -t r e a s u r e r . T h e b a n k e rs o f C o o p e r C ou n ty h av e o r g a n iz e d a c o u n t y a s s o c ia t io n . H. T. T w o Milan a d d it io n to th e p r e s id e n t , v ic e - p r e s id e n t R e d d , c a s h ie r o f th e B o o n v ille N a tio n a l and th e B a n k , is p r e s id e n t ; S e n a t o r H . J. G u n n , J o h n W it t e , F r e d H . G r a f c a s h ie r o f th e B a n k o f O t t e r v ille , v ic e - t e r n a t io n a l p r e s id e n t , a n d A r t h u r B lo m q u is t , c a s h c o n s o lid a t e d u n d e r th e n a m e o f th e S u l c h a ir m a n , board a re: o th e r m e m b e rs of a n d A r t h u r J. L e e . Drovers National Holds Open House. The D rovers Y ards S t a tio n , B ank of M ila n , liv a n C o u n t y B a n k . and tre a su re r. h a v e r e s o u r c e s o f $350,000. M o ., have T h e n e w b a n k w ill F . O. C u s t e r w ill b e c h a ir m a n o f th e b o a r d , an d N a t io n a l K ansas Bank, C ity , S tock M is s o u r i, J. R . M o r e h e a d , p r e s id e n t , a c c o r d in g to N e w Bank A t Gallatin. th e r e p o r t s . T h e c h a r t e r f o r th e B a n k o f G a lla tin , th e A m e r ic a n R o y a l L iv e S t o c k S h o w a t M o ., h a s b e e n a p p lie d f o r a n d th e p u r th e ch a se C it y T h e S u lliv a n C o u n t y B a n k a n d th e In ie r o f th e B a n k o f B u n c e t o n , s e c r e t a r y h e ld o p e n h o u s e r e c e n t l y f o r v i s i t o r s to K ansas Banks Consolidate. S tock Y ards. H un o f th e F a r m e r s E xch an ge Bank Maplewood Bank Changes Its Name. d r e d s o f in v it a t io n s w e r e s e n t o u t a n d b u ild in g th e l o b b y o f th e b a n k w a s c r o w d e d d u r k n o w n D a v ie s s C o u n t y b a n k e r , is to b e b e k n o w n in th e fu t u r e a s th e B a n k o f in g th e w e e k o f th e s h o w w it h v is it o r s c a s h ie r o f th e n e w b a n k a n d a c t i v e ly In M a p le w o o d a n d T r u s t C o m p a n y . to w h o m th e D r o v e r s N a t io n a l fu r n is h e d ch a rge. B a k er, fr e e tick e ts to th e sh ow as w e ll as s o u v e n ir s . c a p it a l ap p roved . The of A . J. new $25,000 bank w ith is a P la c e , to w e ll- have s u r p lu s a of V. Scholz, vice-president of T h e C o m m e r c ia l B a n k h a s b e e n c h a r th e G r a h a m P a p e r C o m p a n y , S t. L o u is , t e r e d a t L a d d o n ia , M o ., w it h c a p it a l o f h a s b e e n e le c t e d a d ir e c t o r o f th e W e b $20,000.00. ste r G ro v e s T r u s t C om p a n y . M r. S c h o lz n e s s o f th e B a n k o f L a d d o n ia a n d F a r m A lls a vacan cy E dw ard ers B ank. H a r t, Jr., C. A . C. A . S t e v e n s is p r e s i d e n t ; T orreyson , C ou ch , v ic e - p r e s id e n t ; c a s h ie r , and S. H ow G. ca u sed r e s ig n in g . m o v e d to C a lifo r n ia . u n d iv id e d w h ic h has https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H art S. has T h is new d e p a r tm e n t Exchange Bank Gets National Charter. The C o m p t r o lle r W a s h in g t o n has o f th e C u r r e n c y at ap p roved th e a p p lic a tio n o f th e E x c h a n g e B a n k o f J e ffe r s o n Write for Free Samples T h e c a p it a l s t o c k p r o fit s a r e o ffic e r s o f th e n e w by M r. e s ta t e s . w ill b e in s t a lle d im m e d ia t e ly . COSTS NO M O R E s o ld to th e N e w Bank, o f th e n e w b a n k is $30,000, s u r p lu s $ 6,000 and N. B. Good Stationery Is Productive of Results and G r o v e , M o ., h a s b e e n bank $1,500. a re: The G a in e s to a n n ou n ced F a fake stock salesman uses engraved stationery to impress his prospects, think of the impression that an honest name, used that way, will make. T h e M o u n t a in G r o v e B a n k , M o u n t a in o p e n e d f o r b u s in e s s . has I N e w Bank A t M ountain Grove. G rove p r e s id e n t , R ou se a n d J. S. Y o u n g , a s s i s t a n t c a s h ie r s . M o u n t a in th e o f M a p le w o o d , M o., is th a t a c h a r t e r h a s b e e n r e c e iv e d a u t h o r tr u s t W a lter It h a s ta k e n o v e r th e b u s i Bank iz in g th e b a n k to h a n d le r e a l e s t a t e a n d $5,000. N e w Bank A t Laddonia. ard The 1525 Olive St. Art Craft Shops Co. st Louis'M o Mid-Continent Banker C ity to c o n v e r t it s e lf in to tlie E x c h a n g e d e p o s it N a t io n a l B a n k o f J e ffe r s o n C ity w ith a v a u lt is g u a r d e d b y a 36,00 0 -p ou n d c ir c a p it a l s to ck o f $1 0 0 , 0 0 0 , a c c o r d i n g to a n a n n o u n c e m e n t b y o ffic ia ls o f th e in c u la r boxes door have m ade M ar.vin S a fe been by th e added. The T w o Chilhowee Banks Consolidate. H e r r in g -H a ll- C om pany. The Bank s tit u t io n . a c q u is it io n by th e of th e C h ilh o w e e F a rm ers’ Bank of C h il h o w e e , M o., h a s b e e n a n n o u n c e d b y A. 1928 Group Meeting Cities Are Selected. New V a u lt Equipment For Savings T ru s t Company. S. E . C a s ta to r , in ch arge St. s e le c t e d a s f o l l o w s : v ille ; c o m p le t e d th e re d ep u ty c o m m is s io n e r of T h e c o n s o lid a t e d a s s e t s o f th e n e w b a n k t o t a l $266,000. B a n k e r s A s s o c ia t io n in 1928 h a v e b e e n S a fe has M a rtin , fin a n c e . G r o u p m e e t in g c it ie s f o r th e M is s o u r i o f th e L o u is o ffic e o f th e H e r r in g -H a ll-M a r v in C om pany, G. G rou p G r o u p O n e, K irk s- Tw o, C h illic o t h e ; G ro u p Columbia Bank Organizes T ru s t Company. S a v in g s T h r e e , St. J o s e p h ; G r o u p F o u r , L e x in g A tr u s t c o m p a n y h a s b e e n o r g a n iz e d The t o n ; G r o u p F iv e ( t o b e c h o s e n b y c o m b y th e C o n le y -M e y e r s B a n k , C o lu m b ia , p a c it y o f th e v a u lt h a s b e e n in c r e a s e d m itte e ); by m o d e lin g of th e v a u lt of th e T r u s t C o m p a n y o f St. L o u is . and G ir a r d e a u ; M o., w ith a c a p it a l o f $100,000, a c c o r d per cen t G r o u p S e v e n , S p r in g fie ld ; G r o u p E ig h t, h u n d r e d a n d fift y n e w s a fe J o p lin . in g to W . T . C o n le y , p r e s id e n t o f th e bank. a p p r o x im a t e ly seven ca tw e n ty -fiv e G rou p S ix , G ape W. W. Alexander Elected Director. W . W . A le x a n d e r , v ic e -p r e s id e n t an d g e n e r a l m a n a g e r o f th e J o h n D e e r e P lo w C o m p a n y o f St. L o u is , a n d a ls o d ir e c t o r o f D eere & C om pany, M o lin e , Illin o is , h a s b e e n e le c t e d a d ir e c t o r o f th e M erc h a n t s -L a c le d e L o u is . M r. N a t io n a l A le x a n d e r Bank has of been St. asso c ia t e d w ith th e D e e r e in t e r e s t s f o r th e p a s t t w e n t y -e ig h t years and has been c o n n e c t e d w ith th e St. L o u is o ffic e fo r th e p a s t e ig h t y e a r s . One mere St. Louis County bank has b e c o m e a n h o n o r r o ll b a n k . The W eb s t e r G r o v e s T r u s t C o m p a n y q u a lifie s b y h a v in g c a p it a l s t o c k e q u a le d b y s u r p lu s , e a c h b e in g n o w $ 1 0 0 , 0 0 0 .0 0 . Mor ris Scherl,, 71, vice-president of th e o ld F ir s t N a tio n a l B a n k a t J o p lin , M o ., d ie d r e c e n t ly . T he Bank of Belton, Mo., has a mod e r n b u ild in g n o w , s in c e th e r e c e n t im p r o v e m e n t s h a v e b e e n c o m p le t e d . J. H. P atrick has purchased an in t e r e s t in th e B a n k o f M e n d o n , M o., a n d is now c a s h ie r . v ic e -p r e s id e n t , d ir e c t o r and Sid F. Thomson, for many years iden tifie d w ith th e F ir s t N a tio n a l B a n k of C o w g ill, M o., h a s r e s ig n e d h is p o s it io n a s c a s h ie r . A Large Trust Com pany that O ffers Samuel W. Ornduff, president of the J o p lin S t a te B a n k , J o p lin , M o., d ie d r e Every Ordinary Banking Service to Its Correspondents— and Some Others. TH E MISSISSIPPI V A L L E Y T R U S T C O M P A N Y OF ST. LOUIS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis c e n tly . Joe M artin has been elected vice- p r e s id e n t o f th e T r e n t o n N a t io n a l B a n k , T r e n t o n , M o. Modern Sanctuary. F u g it iv e — “ Q u ic k ! The p o lic e W h e r e c a n I h id e ? a r e a ft e r m e .’ ’ O ffice B o y — “ In th e filin g c a b in e t . N o b o d y c a n e v e r fin d a n y t h in g t h e r e .” St. Louis, December, 1927 73 b e e n its p r e s id e n t s in c e 1915. Organize Ne w Bank at Mena. New Bank At Quinter. G ru d er r e c e n t ly s u ffe r e d M r. M c a break dow n M ena, o f h is h e a lt h , a n d w a s f o r c e d to r e tir e . K a n s a s , r e o r g a n iz e d u n d e r th e n a m e o f A r k ., h a s b e e n s o ld to th e n e w ly o r g a n T h e d ir e c t o r s a r r a n g e d f o r th e t r a n s fe r Q u in t e r iz e d U n io n B a n k a t M e n a . o f a s s e t s to th e n e w in s t itu tio n . T h e F a r m e r s ’ S ta te B a n k o f Q u in te r , S t a te Bank, open ed its doors r e c e n t ly . T h e n e w o r g a n iz a t i o n a s s u m e s The F ir s t N a t io n a l in g , o f its p r e d e c e s s o r . f o r th e d e p o s it s W a k e e n e y is p r e s id e n t o f th e n e w b a n k a n d M . K . M a t h e w is c a s h ie r . fix tu r e s and a ssu m ed o f th e 111. 3. That the known bondholders, mortga gees, or other security holders owning or holding 1 per cent or more of total amount of bonds, mortgages, or other securities are: (If there are none, so state.) None. 4. That the two paragraphs next above, giving the names of the owners; stock holders, and security holders, if any, con tain not only the list of stockholders and security holders as they appear upon the books of the company but also, in cases where the stockholder or security holder appears upon the books of the company as trustee or in any other fiduciary rela tion, the name of the person or corpora tion for whom such trustee is acting, is given; also that the said two paragraphs contain statements embracing affiant’ s full knowledge and belief as to the cir cumstances and conditions under which stockholders and security holders who do not appear upon the books of the com pany as trustees, hold stock and securities in a capacity other than that of a bona fide owner; and this affiant has no reason, to believe that any other person, associa tion, or corporation, has any interest di rect or indirect in the said stock, bonds, or other securities than as so stated by him. 5. That the average number of copies of each issue of this publication sold or distributed, through the mails or other wise, to paid subscribers during the six months preceding the date shown above is. (This information is required from daily publications only.) JAMES J. W E N G E R T , Business Manager. Sworn to and subscribed before me this 27th day of September. 1927. (Seal) Catherine M. Barrett, Notary, Public. (My commission expires January 25, 1930.) FRASER Digitized for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a ll lia b ilit y F ir s t N a tio n a l B ank. id e n t; J. H. J. I. A lle y , p r e s H a m ilt o n , W. J. L au ck a n d W . A . F in k s , v ic e - p r e s id e n t s ; S id n e y W . D a k e , c a s h ie r . The and c a p it a l s t o c k o f th e b a n k is $30,000. in 1904, a n d d e n t o f th e M e r c h a n t s ’ S t a te W ic h it a , K a n s a s . J. T . M c G r u d e r h a s of ie r o f th e G a r d e n C ity B a n k o f G a r d e n C ity , N e w Y o r k , fo r fo u r y e a r s . P r io r to th is, h e w a s w it h th e c r e d it d e p a r t P h e n ix N a tio n a l B an k and T ru st C om pan y o f N ew Y o rk C ity . .. Ifill nn im w rr? ¡iiiw t u c t'ïSÉf BB vrtjWfc* ¡3 3 3 JIÜ Sentinels o f a Still Greater St. Louis W ith towering, new buildings rising in its d ow n tow n b u s in e s s d is tr ic t----- s tr e e ts being w iden ed lor the greater traffic of tom orrow .,.new parkways,plazas and play grounds being plan n ed. .. .a n d some of the N a tio n ’s largest industries laying out St. Louis plants. ..the city faces, with renew ed vigor, its most important expansion. LIBERTY CENTRAL T R U S T COMPANY Broadway Bank M r. W a t s o n w a s c a s h m e n t o f th e C h a th a m T h e F ir s t N a tio n a l B a n k w a s o r g a n iz e d W ic h ita Bank Has New Vice-President. G e o r g e G. W a t s o n is a n e w v ic e -p r e s i T h e n e w o r g a n iz a t io n s t a r t e d o u t w ith th e f o l lo w in g o f fic e r s : ST A T E M E N T OF T H E OW NERSH IP, M AN A G E M EN T, CIRCULATION, ETC., REQUIRED B Y T H E ACT OF CONGRESS OF AUGU ST 24, 1912, of Mid-Continent Banker, published monthly at St. Louis, for October 1st, 1927. State of Missouri, City of St. Louis— ss. Before me, a notary public in and for the State and city aforesaid, personally ap peared James J. Wengert, who, having been duly sworn according to law, deposes and says that he is the business manager of the Mid-Continent Banker and that the following is, to the best of his knowledge and belief, a true statement of the owner ship, management (and if a daily paper, the circulation), etc., of the aforesaid pub lication for the date shown in the above caption, required by the A ct of August 24, 1912, embodied in section 443, Postal Laws and Regulations, printed on the reverse of this form, to-w it: 1. That the names and addresses of the publisher, editor, managing editor, and business managers are: Name of— Post office address— Publisher, Clifford DePuy, Des Moines, Iowa. Editor, Donald M. Clark, St. Louis, M is souri. Managing Editor, None. Business Managers. James J. Wengert, St. Louis, Missouri. 2. That the owners are: (Give names and addresses of individual owners, or, if a corporation, give its name and the names and addresses of stockholders own ing or holding 1 per cent or more of the total amount of stock.) Commerce Publishing Company stock holders: Clifford DePuy, 555 Seventh Street, Des Moines, Iowa; Donald H. Clark, 408 Olive Street, St. Louis, Missouri; James J. Wengert, 408 Olive Street, St. Louis, M o.; G. D. Mathews, 405 Ridge Bldg.. Kansas City, M o.; W m . H,. Maas, 1221 First National Bank Bldg., Chicago; of T h e U n io n B a n k p u r c h a s e d th e b u ild a ll lia b ilit ie s a n d t a k e s o v e r a ll a s s e t s C. N. H u t c h in s o n o f Bank and O l i v e —— S t . L o u i s Mid-Continent Banker 74 Just for Fun Dogmatic. P. A m a g a z in e w r it e r te lls u s th a t a d o g “ Y ou D. p r o b a b ly Q. d o n ’t r e m e m b e r m e ,” b e g a n th e s e lf-m a d e m a n p r o u d ly , “ b u t fills a n e m p t y s p a c e in a m a n ’ s life . T h is is e s p e c ia lly tr u e o f th e h o t d o g . tw e n ty y e a rs ago w hen I w as a poor, h u m b le b o y , y o u g a v e m e a m e s s a g e to — T h e L yre. c a r r y .” T he W a y “ Y e s , y e s ,” c r ie d th e b u s y m a n , “ a n d I t ’s Done. M rs. B u y -o n -T im e — H o w m u c h is th is w h e r e ’s th e a n s w e r ? ” — B u ffa lo B is o n . h a t? And C le r k — I t ’ s $10 ca s h . M rs. B .— A n d how m u ch by in s t a ll “ D on ’t m e n ts? C le r k — I t ’ s $15; $10 d o w n and $1 a but everybod y w as C la ir e — “ I ’ll b e t y o u ’ d n e v e r g u e s s w h o you had b e tte r b o a r d e ls e w h e r e .” H e le n h a s s t a r t e d g o in g w it h a g a i n ? ” M y r t le — “ W h o ? ” S t a r B o a r d e r — “ Y e s , I o f t e n h a d .” C la ir e — “ H e r h u s b a n d .” — J u d g e . L a n d la d y — “ O fte n h a d w h a t ? ” S t a r B o a r d e r — “ H a d b e t t e r b o a r d e ls e w h e r e .” Sans Labor C h o le r ic L aw yer— “ M y c lie n t w ill s e t t le fo r $642.29.” banks and bank ers with Chicago p r o b l e m s to make a connec tion with us. know , o v e r c o m e b y th e h e a t f r o m th e c a n d le s Imagine It! A greed! We Invite Living o n h e r la s t b ir t h d a y c a k e .” — T it B its. w e e k f o r fiv e w e e k s .— J im . L a n d la d y — “ I th in k Still “ H o w o ld is E liz a b e t h ? ” P roposed V ic t im — “ W h a t ’ s th e $642 fo r ? ” B u s in e s s M an— “ I d o n ’t k n o w w h a t th e m o d e r n y o u n g s t e r s a re c o m in g to . My w retch ed o ffic e boys p e r s is t e n t ly w h is t le w h ile t h e y w o r k .” S econ d D it t o — “ Y o u ’r e fo r tu n a t e . M in e ju s t w h is t le .” — G a ie ty . A r e y o u a w a r e , m y d e a r , th a t it ta k e s t h r e e -fo u r t h s of m y s a la r y to p a y Deceptive ou r R oad b ills ? G r a c io u s ! W h a t d o y o u d o w it h th e F orem an Whoop (c a llin g at h ouse op p o s it e )— “ E x cu se m e, m a d a m , bu t h av e y o u b e e n s in g in g th is m o r n i n g ? ” rest o f you r m on ey ? L a d y o f th e P lo u se — “ Y e s , I h a v e b e e n Efficiency! Severe demands are a welcome test of a service which we think has something additional in care and exactness. s in g in g a lit tle , b u t w h y d o y o u w is h to J u n io r P a r t n e r , t o p r e t t y t y p is t — “ A r e y o u d o in g a n y t h in g o n S u n d a y e v e n in g , M is s D a le ? ” kn ow ?” R. F. (w it h o b v io u s e m b a r r a s s m e n t ) — “ W e ll, y o u s e e , m y m e n h a v e k n o c k e d T y p is t , h o p e f u lly — “ N o t a t h i n g ! ” o ff t w ic e “ T h e n t r y to b e a t th e o ffic e e a r lie r d in n e r w h is t le , s o I t h o u g h t I h a d b e t t e r o n M o n d a y m o r n in g , w ill y o u ? ” a lr e a d y , t h in k in g it w a s th e a s k y o u n o t t o h a n g o u t q u it e s o lo n g o n th a t to p n o t e .” — W a l l a c e ’ s F a r m e r . Bound to Change M oth er: “ D id you g iv e you r penny to th e S u n d a y S c h o o l c o l l e c t i o n ? ” T om m y: “ N o , I l o s t it .” “ B u t th is is th e th ir d w e e k r u n n in g know , th a t a re not th e o n ly r e c e n t ly r e a d o f a m a g a z in e e d it o r w h o dropped but c le a n e r s m e n w h o s e o c c u p a t io n is h a z a r d o u s . W e y o u ’v e lo s t it .” “I Dare-Devil Stunt W in d o w o th er k id ’ s lu c k e le v e n s t o r ie s in to a w a ste your o ffic e b a s k e t .— B o y s ’ L ife . c a n ’ t la s t f o r e v e r .” — T id -B its . Whose Watch? Beating Dad T o It (SMfiOTlffSr Company Lucius Teter JohnW O'Leary President Vice-President r CH ICAG O https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ H a llo a , w h ere a re you go g o in g to in g ? ” “ I ’m g o in g hom e. Ma is s p a n k m e .” “ B u t w h y a r e y o u in s u c h a h u r r y ? ” “ B 'e ca u se , if I d o n ’t g e t h o m e w ant fu r n is h in g s in s u r e d a g a in s t t h e f t ? ” M a n a g e r — “ Y e s , a ll e x c e p t th e c lo c k . E very bod y w a tch e s t h a t .” — D e Laval M o n th ly . th e r e W ron g Shop s o o n , p a w ill b e in a n d h e ’ll d o it.” “ I w a n t a b o t t le o f io d i n e .” W e w e r e n ’ t a b it s u r p r is e d t o r e a d in “ S o r r y , b u t th is is a d r u g s to r e . C a n ’t a f a s h io n m a g a z in e th a t t h e w a is t -lin e I in t e r e s t y o u in a n a la r m c lo c k , s o m e is g ir lie s n ic e le a t h e r good s, a fe w t h in g or a to a sted ch e e se sa n d w ich ?” — P en n to s im p ly K-20 J im m y , A g e n t — “ D o n ’t y o u be h ig h e r th is have to get fa ll. th e The b la m e d s o m e w h e re a b o v e th e h em . S t a te F r o th . r a d io p a r ts , St. Louis, December, 1927 75 Leading banks, business houses and industries everywhere safeguard funds with TO D D SY ST E M The Protectograph eliminates a large percentage of all check frauds by preventing raised amounts. It is made in a variety of standard models, one for every type of business -—$37.50 up. For private use the Personal Protectograph at $20 has a nation-wide popu larity. Only Todd can make a Protectograph. O F C H E C K P R O T E C T IO N __V no n ommii _ J ux n ee s 6 u>z6 Jjly i> uó£ %■f _ ,V !, ^ Qv 23cf*js___ 2_3ci«J5'„ol„„ Todd Greenbac Checks, with their patented self-canceling features, eliminate another major source of possible check losses by preventing change of payee’s name, date and number and “ counterjetting.” The instant the forger’s acid is applied countless imprints of the word “ VOID” appear. Standard Forgery Bonds cover the remaining check - fraud possibilities, namely, outright forgery of signature or of endorse ment. As preferred risks, Todd users qualify for such bonds at large sav ings from the Metropolitan Casualty Insurance Com pany, New York. A p a r tia l list o f T od d users JF.tna Life Insurance Co. Ajax Rubber Co. Alabama Power Co. Allis-Chalmers Mfg. Co. Aluminum Co. of America American Express Co. American LaFrance Fire Engine Co., Inc. American Laundry Machine Co. American Radiator Co. American Rolling Mill Co. American Thread Co. Armstrong Cork Co. Associated Oil Co. The Atlantic Refining Co. Atwater Kent Mfg. Co. Auburn Automobile Co. Barber Asphalt Co. Bearings Company of America Bemis Bros. Bag Company The Berger Mfg. Co. Boston & Albany R. R. Boston & Maine Railroad The Bradstreet Co. Brunswick Balke Callender Company Buckeye Steel Castings Co. The Bucks Stove & Range Company Edw. G. Budd Mfg. Co. F. N. Burt Co. Cannon Mfg. Co. The Celotex Company Central Railroad of N. J. Certo Corporation Champion Spark Plug Chase & Sanborn Chicago, Milwaukee & St. Paul Railway City of Rochester, N. Y. The Colorado Fuel & Iron Company Columbia River Canning Company Columbia Steel Corp. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Controllers Office, Sacramento, Calif. Corning Glass Works Corn Exchange Bank, New York The Curtis Publishing Co. Delco Remy Co. Delaware, Lackawanna & Western R. R. Dodge Bros. Donner Steel Co. Inc. Dunlap Tire & Rubber Co. Eagle Picher Lead Co. Eastman Kodak Company Electric Auto Lite Co. Electric Storage Battery Company Equitable Trust Co. of N. Y. The Estate Stove Works Federal Radio Corp. First National Bank of City of N. Y. Ford Motor Company General American Tank Car Corporation General Petroleum Co. General Tire & Rubber Co. Goodyear Tire & Rubber Company Grand Trunk Railway System Graybar Electric Co. Great Northern Railway Guaranty Trust Co. Hamilton Brown Shoe Co. Hamilton Watch Co. Harbison-Walker Refr. Company W . A. Harriman & Co., Inc. Hart Schaffner & Marx Hazel Atlas Glass Co. Hercules Powder Co. The Home Insurance Co. Homer Laughlin China Co. Hudson Motor Car Co. Humble Oil & Refining Co. Illinois Watch Case Co. Indiana Limestone Co. Ingersoll Rand Co. International Harvester Company Johnson & Johnson Kroehler Mfg. Co. LaClede Steel Co. Lehn & Fink, Inc. Libby, McNeil & Libby Louis K. Liggett Co. MacFadden Publications Magnolia Petroleum Co. Marland Refining Co. Massachusetts Mutual Life Insurance Co. Michaels, Stern & Co. Michelin Tire Co. Michigan Central Railroad Miller Rubber Co. Moon Motor Car Co. Frank A. Munsey Co. National Cash Register Co. National Carbon Co., Inc. National City Bank of New York National Lead Co, National Silk Dyeing Co. National Twist Drill & Tool Co. New York Central R. R. North East Electric Co. Oneida Community Ltd. Pacific Gas & Electric Co. Paige Motor Co. Paine, Webber & Co. Parke, Davis & Co. Pennsylvania R. R. The Pepsodent Co. The Philadelphia Electric Company Pittsburgh Plate Glass Co. Postum Company, Inc. Prest-O-Lite Public Service Co. of N. J. The Robbins & Myers Co. Rochester Gas & Electric Corporation Reo Motor Car Co. John A. Roebling’s Sons Republic Stamping & Enameling Co. Rome Brass & Copper Co. D. A. Schulte, Inc. Sears, Roebuck & Co. Sing-Sing Prison The Singer Mfg. Co. Skelly Oil Co. Southern Pacific Railway Southern States Steel Corporation Spencer, Kellogg & Sons Standard Sanitary Mfg. Company Standard Oil Co. of N. J. F. B. Stearns Co. Stromberg-Carlson Mfg. Company The Symington Co. Texas Company Toledo Scale Co. United Cigar Stores Co. United Electric Light Co. United Fruit Co. United Hotels Co. U. S. Industrial Alcohol Company United States Light & Heat Corp. United States Rubber Co. Universal Pictures Corp. Virginia Bridge & Iron Co. The Vitaphone Corp. The Warner Bros. Co. F. W . Woolworth Co. Wm. Wrigley, Jr., Co. Westinghouse Air Brake Company Westinghouse Electric & Mfg. Co. Yawman & Erbe Progress » the commercial and industrial progress o f St. Louis and its trade area, this institu tion has been a consistent lead er. Banks seeking connections in this territory will do well to tie up w ith “ C om m erce*” A com prehensive banking service built up through an experience o f many years. N A ca p a b le investm en t subsidiary and six other departm ents to serve you CW I National Bank o f COflUItërCC and ------------------------------'Z --------------------- In St,Louis federal CommerceTrust Company https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B R O A D W A Y OLIVE TO PINE
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