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Federal Reserve Bank of St. Louis
ST. LOUIS
AND
CHICAGO
February, 1927
IN THIS ISSUE
W h a t Illinois Bankers Say About the
Farm Situation
Page 7
“ Too Much Red Tape to Veterans’ Bonus
Loans”—Say Bankers
Page 10
W h y Make It a Crime to Own Bank Stock?
Page 11
Along La Salle Street
Page 29
News of Illinois Banks and Bankers
Page 46
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Federal Reserve Bank of St. Louis
Mid-Continent Banker
Broad Investment
Service
investment of surplus
funds requires a careful
study o f security values and
a thorough understanding of
present day financial affairs.
— the investment division o f
the First National Bank in St.
L ou is,— has e v ery fa cility
necessary to assist individuals
In selecting investments, the
particular requirements o f the
in d iv id u a l or in s t it u t io n
should be given first consideration. O n ly such securities
vestment problems. Formany
has built up a cou n try -w id e
T
he
and institutions in solving in
years this Company has suc
cessfully served the investing
public w ith the result that it
should be purchased w h ich
rep u ta tion , b oth as to high
amply meet all o f the needs o f
character o f securities offered
the in v estor and which offer
and its broad and reliable serv
a return in accordan ce w ith
ice to investors.
the degree o f safety and mar
W e will be pleased to discuss
ketability demanded.
this service in detail or answer
The First National Company,
inquiries by correspondence.
1ij •V
y
:
JLf JL
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JL
NATIONAL
COM PANY
W iß m iN V E S T M tN T D IV IS IO N o f
iiHpilii:::1*/» FIRST NATIONAL BANK
■B R O A D W A ^ “ O U V E- LO CU 5 T Î ;
SÂÏNT LOUIS, MO
3
St. Louis, February, 1927
Announcing
NEW THRU TRAIN
betw een
St. Louis—St. Joseph
Omaha—Lincoln
Daily Overnight Service:
6:28
6:37
6:54
2:08
t
7:30
8:00
pm
pm
pm
am
am
am
......St. L o u is ............... ............Ar. 7:42 am
............Ar. 7:27 am
T ow er Grove
K irk w ood ............ ............Ar. 7:07 am
Kansas C i t y .......... ............Lv. 11:59 pm
....St. J o s e p h ............. ............Lv. 9:15 pm
O m ah a................ ............Lv. 6:02 pm
......L in coln ............... ............Lv. 5:30 pm
Lv.
Lv.
Lv.
Ar.
Ar.
A r.
A n.
t Thru service w estbound to A tchison and St. Joseph on “ the M issourian” . Lv. St. Louis 11:59 pm .
Tow er Grove 1 2 :0 8 am .
K irkw ood 1 2 :2 4 am .
A r . Kansas City 7:35 am .
A r. A tchison
9:50 am. A r . St. Joseph 11:10 am . Thru sleepers; club-dining car and coach service.
N ew train stops in each direction at A tchison and Hiawatha, Kansas; Falls City, A u burn,
Nebraska City, U n io n , Plattsmouth, Nebraska.
Cafe and dining service; standard sleepers and coaches between St. Louis—Omaha—Lincoln.
T h e on ly through service to St. Joseph, O m aha and L incoln via Kansas City.
Railroad fare $15.10, St. Louis to Omaha; 10 day stopover permitted in Kansas City.
Quickened Schedules to Wichita
Lv. St. Louis 6:28 pm . A r .
7 :0 0 am . D ining-lounge
room sleepers, reclining
Louis-W ichita. Standard
Louis-Joplin.
W ichita 8 :3 0 am. A r . Joplin
service; standard drawing
chair car and coaches St.
drawing-room sleepers St.
Secure tick ets, reservations and fu rth e r in fo r m a tio n
a t C ity T ick et O ffice, 318 N . B roadw ay (M A in 1000.)
A . D . B ell, P assen ger T ra ffic M an ager
M IS S O U R I P A C I F I C R A I L R O A D CO .
R a ilw a y E xch a n ge B ld g ., S t. L o u is, M o.
“ A Service Institution”
15
YEARS
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Federal Reserve Bank of St. Louis
OF
SERVICE:
1 8 5 1 -1 9 2 6
4
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Federal Reserve Bank of St. Louis
Mid-Continent Banker
St* Louis, the W orld’s
Foremost Fur Market
T. L O U IS is today a leading raw fur center
S
o f the world, the annual sales in this market
approximating eighteen m illion dollars. This is
but one o f the m any lines in w h ic h this city
excels. St. Louis also has more than 3 ,5 0 0 fac
tories, manufacturing some 211 different kinds
o f products.
For 2 7 years the Mercantile Trust C om pany has
taken a leading part in the upbuilding o f St. Louis
and its trade territory. This C om pany has done
m uch toward bringing here hundreds o f new
industries and in s titu tio n s , secu rin g suitable
locations and in m any cases financing the con
struction o f buildings.
Today the Mercantile Trust Company serves more
than 1 0 0 ,0 0 0 patrons.
W e especially invite banks and bankers, corpo
rations a n d business m en to m ake use o f our
valuable k n o w le d g e o f St. Louis customs and
conditions.
Mercantile Trust Com pany
Member Federa/
R eserve Jysdem
E JG H T H AND L O C U S T
C a p ila !d S u rp lu s
Ten M illion D olla rs
-T O
SAIN T LOUIS
ST. C H A R L E S
5
St. Louis, February, 1927
E . J. M udd Succeeds R ay
M cN ally as Cashier
At the annual meeting of the Board
of Directors of the National Bank of
Commerce in St. Louis, held on Janu
ary 11, El. J. Mudd, a vice-president of
the bank, was elected cashier to suc
ceed Raymond F. McNally, who re
signed recently to become a vice-presi
dent and director in the National Bank
of the Republic in Chicago. Mudd,
who is considered an outstanding au
thority on credits and discounts, also
was elected a member of the board.
He will retain his duties as vice-presi
dent.
James M. Kurn, president of the
Frisco Railroad, also was added as a
director of the bank.
The Financial Magazine of the Mississippi Valley
DONALD H. CLARK
Editor and Manager
J A M E S J. W E N G E R T
Associate Editor
ST. L O U I S
F E B . , 1927
V O L . 23
NO. 2
W IL L IA M H . M A A S
Vice-President
M anager Chicago Office
1221 First N a t ’l B ank Bldg.
Telephone, Central 3591
CON TENTS FOR FE B R U A R Y
Page
What Should Be Done for the Farmer?............................................... 7
The Teller Is the Point of Contact Between the Customer and the
Bank—By Geo. T. McCandless........................................................ 9
Bankers Dislike Red Tape of Bonus Loans-—By Donald H. Clark... 10
Why Make It a Crime to Own Bank Stock?—By R. M..................... 11
Model Farm Is Used for Bank Window Display.................................. 12
State Taxation of National Banks—By the Legal Editor.................. 13
Building a 100,000-Account Bank—By F. C. Dorsey ......................... 14
Death Ends Career of Distinguished Citizen...................................... 17
New High Mark for Winter Steamship Cruises.................................. 26
News & Views of the Banking World—By Clifford De Puy.............. 41
BOND AND INVESTMENT SECTION
Facts About Holding Company Securities—By Dr. W. F. Gephart..
A Partial List of Current Offerings......................................................
Along La Salle Street—By Wm. H. Maas.............................................
Olive Street Notes .................................................................................
The Danger Line in Real Estate Bonds—By H. J. Kenner................
21
27
29
31
35
STATE NEWS SECTIONS
Illinois ....................................
Indiana ..................................
Kentucky ...............................
Oklahoma ..............................
Louisiana ...............................
46
51
53
55
56
Mississippi
Arkansas .
Tennessee
Missouri .
Kansas ..
57
58
59
60
63
E . J. M ud d
Mr. Mudd, who is a graduate of St.
Louis University, began his banking
career as a collector twenty-five years
ago. Before going to St. Louis he was
with the Union Savings and First Na
tional Bank of St. Charles, Mo., his
home town. His brother Charles Mudd
was cashier of the First National Bank
there and for many years his father,
Dr. J. R. Mudd, was a director of the
same institution. Mudd’s rise at the
National Bank of Commerce began in
1916 when he was made an assistant
cashier. Two years later he was ele
vated to a vice-presidency. He mar
ried Miss Helen Rechtern of St.
Charles. There are four children, all
girls, and the family residence is at
5357 B'artmer Avenue.
Mr. Kurn, the new director, has had
an interesting career in the railroad
business, having started out as a mes
senger in 1884 and rising gradually
through various posts to the presi
dency of the Frisco system in 1920.
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Federal Reserve Bank of St. Louis
Published by the Commerce Publishing Company, 408 Olive Street, St. Louis, M o.
Clifford D ePuy, President; James J. W engert, V ice-P resident; W m . H . Maas, VicePresident; Donald H . Clark, Secretary-Treasurer.
Telephone M ain 1342.
M E M B E R A U D IT B U R E A U O F C IR C U L A T IO N S ,
F IN A N C IA L A D V E R T IS E R S ’ A S S O C IA T IO N
D eP U Y P U B L IC A T IO N S A N D T H E IR T E R R IT O R Y
M id-Continent Banker
St. Louis
Northwestern Banker
Des Moines
Trans-M ississippi Banker
K ansas C ity
Southwestern Bankers Journal
Fort W orth
Life Insurance Selling
St. Louis
Underwriters Review
D es Moines
Insurance M agazine
K ansas C ity
N ew York office: Philip J. Syms, 150 Nassau St., phone Beekman 4836
Chicago office: W m . H . Maas, 1221 First National Bank B ldg., phone Central 3591
K ansas C ity office: G. D . M athew s, 405 R idge B ld g., phone Victor 5254
Fort W orth Office: Lawson Hetherwick, 409 F . 8b M . B ld g.
Des Moines Office: Clifford DePuy, 555 Seventh St., phone W aln u t 2201
San Francisco O ffice: George W igh t, 600 Baldwin B ld g; 25 K earny St.
Entered as second-class matter at the St. Louis post office.
Subscription rates $3.00 a yea r; 35 cents a copy
6
Mid-Continent Banker
Y ou See Their Pictures Because
Mr. Schwitzgebel has just cele
brated his seventieth birthday and
is still actively engaged in the
b a n k in g bu sin ess. B e ca u se he
started his banking career as mes
senger boy and has been connected
with the Commerce Trust Com
pany of Kansas City since 1878—
since 1917 as vice-president. Be
cause the years have made very
little change in him; and because
his kindly geniality has won from
his associates the friendly title,
“ Uncle Henry.”
R aym ond F. M cN a lly
H . C. Schwitzgebel
Mr. M cNally has been elected a vice-president and director of the
National Bank o f the Republic, Chicago. Because he was for
merly vice-president and cashier o f the National Bank of Com
merce in St. Louis, and because he has served as president o f the
M . B. A., president o f the Reserve City Bankers Association, and
is now Chairman o f the Executive Committee of the National
Bank Division o f the A. B. A.
Mr. Huhn, who started his banking
career at the age o f fourteen as a
runner for the Liberty Insurance
Bank o f Louisville, has just been
elected president o f that institu
tion. Because he is the youngest
bank president in Louisville, and
because his enthusiasm and sagac
ity have been largely responsible
for the building o f the Liberty In
surance Bank to a position o f
prominence as one o f the leading
banks o f the South.
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Federal Reserve Bank of St. Louis
John E . H uhn
H enry H . Hopkins
Mr. Hopkins, together with his associates, has purchased the
major part of the stock holdings of William R. Compton in the
American Trust Company of St. Louis. Because he started his
banking career as an office boy, and because he has been con
nected with the American Trust Company since its organization,
serving successively as teller, cashier, assistant treasurer, vicepresident and president.
W hat Should Be Done for the Farmer?
Former Governor Frank O. Lowden Says That a Solution
Must Be Found If W e Are to Preserve Our Civilization
HE farm situation—surplus of cer
tain farm products and general
low prices—has become a subject
of vital importance to bankers through
out the Mid Continent territory.
Frank O. Lowden, former governor
of Illinois, in a recent address at Co
lumbia, Missouri, declared that the ag
ricultural problem has become national
in scope.
There is no doubt but that the situ
ation is serious in many localities, but
as Mark Twain remarked about the
weather: “A great deal has been said
about it, but nothing has been done
about it.”
Just what should be done is the sub
ject for much debate. In this connec
tion it is interesting to note what a
prominent banker of central Illinois
has to say on the subject.
This man, the executive vice-presi
dent of a leading bank in a city of 7,000,
comments as follows:
“We must all admit that farming is
out of balance with other lines of en
deavor. This situation is more acute
in some localities than others, and with
some individual farmers more than
with others.
“In this section, the grain farmers
are in dire distress, due both to mar
ket and weather conditions, and the
outlook for the coming year is not
overly promising. On the other hand,
the farmers who have diversified or
who have gone in more for hogs, dairy
ing and poultry, are doing fairly well
and making headway. It would look
as though our grain farmer must aban
don or curtail his present line and get
more and more into the three last
named. The farmers of this section of
the state, situated as they are in prox
imity to several large markets, could, it
would seem, do better with such prod
ucts as milk and poultry. This kind of
farming would give them a steady in
come and would increase the fertility
of the soil. Our grain farmers who
have not rotated crops for a number of
years, find that the yield is decreasing
owing to the exhaustion of the plantfood content of the soil. The average
wheat yield will run between 15 and
20 bushels to the acre. At the present
cost of operating, the farmers cannot
T
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Federal Reserve Bank of St. Louis
make money on such a low yield, and
certainly cannot compete with large
wheat growing farmers of the West,
where the yield is as high as 70 bush
els to the acre and the producing cost
is less.
“ The value of diversification was apt
ly expressed by one of our customers
not long ago. After complimenting
him oni his success as a farmer, we1
“A n y act passed by Congress
must of necessity be so planned
as to help the entire country, the
entire fa rm in g industry in every
section, and the fa r m problem,
like the t a r iff problem, is becorrv
ing a local issue. In connection
w ith the plan of reducing operat
ing costs, the various state t a x
ing bodies would be of m aterial
help if they would all w o r k to
gether to the end th a t a more
equitable system of taxation be
devised.
As
it
is
now,
the
f a r m e r carries more than h's
share of the burden.”
asked him how he did it. His reply
was: T make it a point never to raise!
very much of any one thing and as a
consequence I always have something
to sell.’
“ Does not the experience of this one
farmer prove that the farmers them
selves can do much to work out their
own salvation? The writer has very
little hope of any material benefit from
national legislation. Any act passed
by Congress must of necessity be so
planned as to help the entire country,
the entire farming industry in every
section, and the farm problem, like
the tariff problem, is becoming a local
issue. It would seem that more real
good could be accomplished by endeav
oring to educate the farmer into avail
ing himself of the facilities now offered
them by the state and national govern
ments. The U. S. Department of Agri
culture expends millions of dollars an
nually in experimental work and dif
ferent state agriculture schools are,
ready at all times to advise the farmer
as to how best to meet his individual
situation; they will analyze his soil,
telling him for what crops it is best
suited; if it is deficient in a certain
element, they will show him how to
correct it; assist him in devising meth
ods to increase the yield ; furnish him
all statistical data he needs, and work
with him to reduce his cost of produc
tion. Is not the latter really one way
out? Rather than legislation to in
crease the market price of his prod
ucts, isn’t it more sound to reduce costs
of the product?
“We hear oft repeated the argument
that the farmer is the only individual
that cannot ascertain his costs in ad
vance or know what price he can ob
tain on his products when marketed.
This is only true relatively, for supply
and demand, in the last analysis, con
trol the price of articles produced by
the manufacturer as well as the crops
produced by the farmer. If the manu
facturer sees that the market will not
absorb his product at a price sufficient
to net him a profit, he begins to devise
methods to reduce costs and sell
cheaper. Ways can certainly be worked
out with the help of the various agri
cultural departments to assist the
farmer to reduce costs, and this in the
long run seems to be the only sound
solution unless in the course of time,
there is a greater demand for the main
products of the farm than now obtain.
“In connection with the plan of re
ducing operating costs, the various
state taxing bodies would be of ma
terial help if they would all work to
gether to the end that more equitable
system of taxation be devised. As it
is now, the farmer carries more than
his share of the tax burden.”
Douglas R. Fay, president of the
First National Bank of Urbana, Illi
nois, says :
“We hear a lot these days about the
farmers being in bad shape. Many of
them are; some of them are not, and a
great many of them are just about
breaking even. In our community the
farmers who are in the most serious
financial difficulties are those who bor
rowed too heavily to buy more land at
$400 to $500 per acre during the high
prices. Assuming that a man has a
debt of $150 per acre, which is about
the average amount owed by those who
8
Mid-Continent Banker
are having trouble, it is easy to realize
that the interest charge, taxes and ex
penses will just about absorb the re
turn from his crops at the present
prices) of grain.
“Inasmuch as corn and oats are the
principal crops that we raise in our
county, I shall deal briefly with what I
consider the causes of and what might
be the relief from the relatively low
prices of these two commodities. Poli
ticians make a lot of noise about what
legislation should be passed to raise
the grain prices, but let us consider the
real basis for any price—the elements
of supply and demand. Assuming that
the demand is the same, the price will
be higher or lower as the supply de
creases or increases; likewise if the
supply remains the same, the price will
be higher or lower. as the demand in
creases or decreases. In order to be a
demand for anything there must exist
a desire to purchase, together with the
ability to purchase.
“ I think that we can blame the pres
ent low prices of corn and oats on the
fact that the demand has decreased,
and that this decrease can be especi
ally blamed on three things. First, the
introduction of the tractor and the auto
mobile, the number of horses in use
has very greatly decreased and natur
ally the demand for grain to feed them
has greatly diminished. Secondly, the
economic situation in Europe, together
with our own high tariff, has made it
impossible for those foreign countries
to buy our grain in the same quantities
that they did before the war. In the
third place, our so-caTed prohibition
law has done away with what was for
merly a very important demand for our
corn. No doubt, there are those who
will take exception to this statement,
but I am honest in my belief and think
it is high time that some of us say
what we think.
self in a position where he would not
be absolutely dependent upon the price
of grain. Secondly, I firmly believe
that we should lower our tariff to such
a point as will permit the foreign coun
tries to barter with us. This not only
would increase the demand for our
grain for export, but also should have
a tendency to lower the prices of some
of the articles that the farmer has to
buy. In the third place, regardless of
the wet and dry issue, there is no doubt
in my mind that the repeal of the pro
hibition law and the manufacture and
sale of liquor under government con
trol would greatly increase the de
mand for some of our grains. I also
think that the revenue derived there*
from would he large enough that taxes
could be considerably reduced.
“Now let us consider what, might be
done to offset the effect of these three
causes. In the first place the farmer
might use more horses, and I think he
should raise more hogs, cattle and
other stock. By doing this he mot only
would be able to use some of his
grain as feed, but also would put him-
“At present the farmer should be en
couraged to diversify his sources of
income; he should be urged to reduce
his indebtedness whenever possible,
and he should not be permitted to bor
row more money except in rare cases
when it becomes absolutely necessary.”
Former Governor Lowden in his ad
dress at Columbia pointed out that cooperative associations are progressing,
and went on to explain some of the
trials met by these farmer-marketing
organizations.
John and Gene Compare
Sparring Notes
When Gene Tunney, the world’s
heavyweight champion, was in St.
Louis recently, he made a call on John
G. Lonsdale, president of the National
Bank of Commerce. Oh, nothing seri
ous, just a friendly “howdy,” because
Gene still has the “jack” he took from
Dempsey, and a little bit more. Tun
ney is an erudite champ who husbands
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Federal Reserve Bank of St. Louis
his resources; that’s the reason he as
sociates with bankers, or .better stated,
that’s the reason bankers hunt him up.
Lonsdale might not be down to form,
but he certainly is up to size when it
comes to stacking up against the
heavyweight leader, as the picture
plainly shows.
Mr. Lowden declared that the only
aid the co-operatives would need from
the government under a suggested Fed
eral farm board for the purpose of
helping the farmers care for the occa
sional surpluses would be “ that the
government should distribute among all
the producers of the particular com
modity in which there was a surplus
the cost of the co-operative of han
dling the surplus.” This plan would
allow the farm board to ask certain
questions and ascertain if a surplus
existed in any commodity. If the sur
plus existed, the co-operative organiza
tion would be directed to take control
of the surplus. Neither the govern
ment nor the co-operative would “ fix
the price,” he asserted, in any other
sense than industry generally* deter
mines prices.
Embodied in Bills
He emphasized the fact that the
principles discussed were embodied in
bills introduced in Congress, and de
clared he hoped “these bills or at least
some measure embodying the prin
ciples discussed would be enacted into
law.”
“It may be there is better solution
to the problem,” said Mr. Lowden. “I
am not insisting upon any particular
remedy. I only say there is a farm
problem of the gravest importance and
that a solution must be found if we
would preserve our civilization,”
9
St. Louis, February, 1927
T he Teller Is the Point of Contact
Between the Customer and the Bank
F SOME worthy citizen, who had
the misfortune to die fifty years
ago, should be allowed to return to
earth he would be filled with amaze
ment. He would find things deemed
luxuries in his day now among the
common necessities. The old gray
mare would be a rarity—her sub
stitute a fleet, grey chummy-roadster
easing along a paved highway at a
modest 40 mile-per-hour clip and occu
pied by his 18-year old grandson and
a little flapperette. When grandpa’s
boy drove around to get the girl he
didn’t find himself waiting in a stiffbacked chair for her to dress—he just
drove up in front and honked—and if
the young lady felt called upon to
change her dress it wouldn’t take her
long to accomplish that feat in a very
tiny space of time—commensurate with
the tininess of her costume.
While we might enumerate many
things that the old man would marvel
at I think there should be mentioned
the great changes in business methods
he would see. Not only modern ma
chines to keep the books, machines to
count money but machines that could
add a column of figures quicker than
the swiftest bookkeeper could have
done in his day.
I can imagine the worthy citizen
aforementioned, picking up the eve
ning edition of his morning paper at
noon and seeing in it the advertise
ment of the hank he had patronized
during his life time offering in a digni
fied way its facilities to the public and
cordially inviting the people of every
walk in life to bring in their business.
During his day on earth it had been
considered a very undignified thing for
a BANK to advertise.
Bank advertising has become a sci
ence in itself and experts are employed
to attend to this now necessary fea
ture of the banking business. Simul
taneously with this change of policy on
the part of the banks the officials of
the hanks who had formerly concealed
themselves behind mahogany and
frosted glass moved their desks out al
most into the lobby where the cus
tomers could actually see them. Each
officer had a brass name-plate resting
on his desk, to identify himself with
the great public according to the office
he might hold. The people like it.
Banks never had so much business.
The people like to be seen patronizing
an up-to-date bank and the latter ad
vertises in such a way that the invita-
I
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Federal Reserve Bank of St. Louis
B y Geo. T. McCandless
“ The Man Behind the Counter”
tion is very appealing to a large num
ber of people.
We are all advertisers “willie nillie.”
To illustrate: My little girl aged 8
was invited to an afternoon party for
another little girl of about the same
age. The next morning she said to me,
“ Daddy, did you get the morning
paper?” Upon my reply in the affirma
tive she said, “Was my name in it?”
(Thinking of the party the day before).
I replied that I had not seen it and
with a pout on her winsome little
“ Courtesy is an asset not listed
on the bank statement, but it is
one of the greatest assets a bank
can have.
Thousands of deposi
tors never meet an officer fro m
one y e a r ’s end to- another. T h e i r
names may be f a m i l i a r but no
personal friendship formed.
Be
cause of this fac t it should be
easy to see the importance of se
lecting good men and gentlemen
fo r the cages— men who are gen
uinely interested in the public
and the w e lfa r e of the bank.”
mouth she emphatically blurted out,
“Well, gee whizz, don’t you suppose
she’s going to advertise her old
party?” And she wasn’t far off the
track at that.
Banks have something to sell and
the people go where they are invited.
Getting people into the bank is the
object of advertising but they must be
treated right when they do come.
Courtesy is an asset not listed or
shown on the bank statement but it is
one of the greatest assets a bank can
have. The personnel officer should oc
casionally have tests made of the treat
ment the public gets at the hands of
the tellers. The teller is the point of
contact between the customer and the
bank. Thousands of bank depositors
never meet an officer from one year’s
end to another. Their names may be
familiar but no personal friendship
formed. Because of this fact it should
be easy to see the importance of se
lecting good men and gentlemen for
the cages; men who are genuinely in
terested in the public and the welfare
of the bank. Little things often do
more harm, than would seem possible.
I know of one instance of a depositor
who withdrew his substantial balance
and took his money to another bank
because the teller refused to accept
a Canada quarter at 25 cents hut shot
back the offending coin with the flip
pant remark, “ That’s only worth
twenty cents—shall I change your de
posit or will you pay the other nickel?”
Just a little diplomacy was needed
here but the chance for the teller to
“ show off” his superior acumen was
too much for the boy and he fell.
The attitude of the clerical force is
often patterned after that of the offi
cial staff. If the latter is competent
and affable toward the public that at
titude will be reflected in the clerical
forces. The window men should be
selected for their wholesome interest
in the public. They should be natural
smilers—not the stage grimace but
genuinely good natured and happy. In
order to keep them, sweet they should
be well paid. It is the cheapest adver
tising a bank can get—to have pleasant
and capable tellers who are willing to
work a little after hours if by so doing
the bank work may be expedited or im
proved. The teller who does this is in
line for the President’s chair.
All the employees should be well
paid and the men should show that
they are worth the money being paid
them. Personally I like the idea of
profit-sharing; splitting up with the
men the money they have helped you
make. This will renew allegiance and
inspire good work that could not be
stimulated in any better way. Get the
idea into their heads that they are
PART of the institution and they will
work after hours to get business for
you.
In one bank that I call to mind the
profit-sharing idea was in vogue. A
new boy had come to work and was
placed in the transit department. It
was noticed that he was rapid but that
he threw rubbers and clips on the
floor. One of the older boys couldn’t
stand for this and said to the new man,
“ Hey, kid, don’t you know that every
rubber band you waste comes out of
our pockets?” The plan of the bank
in sharing profits and eliminating
waste was kindly explained and the
youngster soon became as thrifty as
his fellows.
Let us scatter cheer over the whole
year instead of just a few days at Holi
day time and make 1927 the best and
fullest and happiest year of all—and
remember that COURTESY is not a
hidden asset.
IO
Mid-Continent Banker
“T o o Much R ed T ape to Veterans'
Bonus Loans”— Say Bankers
Most Banks Are Making Loans However on Veterans’ Certificates
W h en Applicants Are Customers of the Bank or Known to Banker
HE first few weeks of 1927 saw
added duties and difficulties in
thousands of American banks be
cause of the operation of the loan fea
ture of the “adjusted service certifi
cates,” or soldiers’ bonus insurance pol
icies.
T
Under the law holders of some 2,883,000 certificates may obtain loans
from any bank in the country, giving
the certificate as security. B'anks are
under no legal obligation to grant loans
but when they are granted the govern
ment limits the interest rate (now 6
per cent) and insists that the bank use
the form of note drafted by the Veter
ans’ Bureau. The bank may sell the
note to another bank or it may be dis
counted with the Federal Reserve bank
if the maturity does not exceed nine
months.
One of the main difficulties, especi
ally in cities, is that the bank must
be certain that the borrower is the sol
dier named in the certificate.
The government may, at the option
of the director of the Veterans’ Bu
reau, pay the note with interest in full
if it is not paid by the borrower at ma
turity, provided six months have
elapsed since the making of the loan.
According to a statement issued by the
bureau it is the policy of the present
director to pay all loans not cared for
by the borrower. In other words, the
government will guarantee payment of
all notes after six months.
B y Donald H. Clark
ville banks announced their inability to
handle such loans “for the present.”
Thousands of Negroes applied for
loans in St. Louis, but had to be re
fused by banks which had no means of
identifying them and of certifying that
they were the individuals named in the
certificates. Most of the city banks
made a rule of loaning only to custom
ers or individuals introduced by cus
tomers.
“A savings account is not necessarily
Any incorporated bank may
make the loan to any veteran
upon the promissory note, se
cured by his Adjusted Service
Certificate, if the bank is empow
ered to lend upon obligations f o r
which the fa ith and credit of the
United States are pledged.
T he bank may sell the note to
another bank, t ra n s fe rrin g the
Certificate w ith it.
T h e bank, even if a non-mem
ber of the Federal Reserve Sys
tem, may discount the note w ith
the Federal Reserve Bank, pro
vided the note has a m a tu r ity
not exceeding nine months.
good identification,” one Chicago' bank
pointed out. “Banks will open a sav
So many banks have objected to the ings account for anyone without re
work involved in making these loans— quiring identification at the time the
they average not more than $50 each, account is opened, and in fact it is
yet the detail work is tremendous—• well known that a great many savings
that the administration at Washington accounts are opened in fictitious names
for various reasons.”
has asked Congress to authorize direct
In the smaller cities the problems
loans to certificate holders from the
were different. In more instances the
Veterans’ Bureau.
would-be borrower was known to the
Loans are limited to a definite “ loan banker.
value” stipulated in the certificate
W. C. Brown of the Rubey Trust Co.,
which corresponds to the loan value or Macon, Mo., says: “We have handled
reserve on an ordinary life insurance a few loans to customers. We have
policy. The certificates do not mature not advertised for this class of busi
in most cases until seventeen years. ness, as we think the holders are bet
Death of the veteran immediately ma ter off not to borrow except in extreme
tures the certificate and note, how cases.”
ever.
F. D. Luy, cashier of the Bank of
City banks were besieged by borrow Oak Grove, Mo., reports that so far he
ers the first few days of the year. Many had no applications from his custom
Chicago, St. Louis and New York banks ers. “ I feel that it is unjust for us to
refused to make the loans, and Louis- have to make small loans like that at
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
so small a rate of interest when the
banks in our state, as well as all others,
are having so much grief since the
war.”
“Great care should be exercised in
handling these loans,” says G. K.
Slough, president of the First State
and Savings Bank, Abingdon, 111. “We
have not as yet made any loans.”
W. H. Erwin at Urich, Mo., W. R.
Netherland, president of the Peoples
Bank of Perry, Mo., and Wm. C. Bal
den, cashier First National Bank of
Elmhurst, 111., also report “no loans
made as yet.”
E. F. Anson, assistant cashier of the
First National Bank of Kewanee, 111.,
says his bank has loaned $5,000, at an
average of $75 a loan. Similar re
ports of loans made to a few individ
uals come from A. H. Lottes, cashier
B'ank of Altenburg, Mo.; A. W. Moore,
cashier State Bank of Cowden, 111.; A.
F. Rathert, cashier First State Bank of
Red Bud, 111., and Miss Edna Thorn,
cashier First National Bank of Lawrenceville, 111.
“We are confining loans entirely to
customers,” says H. H. Badger, cash
ier of the First National Bank of Am
boy. “Loans average a little over $50.
We have been advised to limit loans to
80 per cent of the loan value of the
certificates,”
“Too much red tape—we are not
making loans,” writes J. N. Vanderpoorten, cashier of the Gilman State
Savings Bank, Gilman, 111. Other bank
ers reporting they are making no loans
are: Harold Noel, assistant cashier
Union National Bank, Macomb, 111.;
Jos. V. Cape'l, president First Trust and
Savings Bank, Harrisburg, 111; W. F.
Phares, vice-president Farmers Trust
Company, Maryville, Mo., and Harvey
Jenkins, cashier Citizens Bank of Spar
ta, Mo.
“ Since January 6 of this year, we
have loaned out approximately $3,000
on the above certificates and the loans
have averaged approximately $100,”
says the Home B’ank and Trust Com
pany of Chicago. “ Occasionally when
applicants who are not customers of
our bank are identified by someone
well known to us, we grant the de
sired loan.”
(Continued on Page 66)
11
St. Louis, February, 1927
“ In a n s w e r to t h o se w h o a d v o c a t e
a dep osi t g u a r a n t y la w , it is o n ly
n e c e ss a ry to p o in t o u t t h e f a c t t h a t
t h e r e w o u ld be no need of such a
l a w if w e could e n a c t a le gi s l a ti v e
g u a r a n t y of f a r m e r s ’ notes to ba nks ,
and t h a t t h a t sor t of l a w w o u ld be
f u l l y as r ea s on ab le as t h e one t h e y
a re a d v o c a t i n g . ”
W h y M ake It a Crime to
Ow n Bank Stock?
B y R. M .
HE horde of reformers, who are
bound they will cure the banking
situation in the Middle West, are
consistent in at least one thing: with
out exception they all overlook what
seems to a banker to be a vital feature
of the problem.
Where are we going to find investors
willing to own stock in our banks if
even a small fraction of these proposed
reforms are finally adopted? There is
no law on the books to compel any
man to own bank stock. A judge
couldn’t even sentence a hardened
criminal to become a bank sharehold
er; even if he were inclined to hand
down such a sentence, there is a con
stitutional provision which guarantees
immunity from cruel and unusual pun
ishment.
Leaving the rights of present bank
stockholders out of consideration for
the moment, there are communities of
considerable size in the Middle West
and Southwest which do not possess
banking facilities of any sort today;
settlements with depositors of closed
banks only await the raising of capital
required under reorganization plans,
and deposits are tied up until such re
organizations are effected. Investment
in bank stock must be made attractive
to capital before such situations as
these can be relieved.
T
Entitled
to
F a ir
Return.
If the question is fairly put, no re
former who deserves a hearing will
deny the proposition that the bank
stockholder, under ordinary conditions,
is entitled to a fair return upon his in
vestment, and a fair return involves
reasonable remuneration for the double
liability incurred by the purchase of
stock.
There is a great deal of merit in the
proposal to require the deposit of se
curities with the state to guarantee the
stockholder’s liability, but such a
proposition is positively absurd when
mentioned in the same breath with a
deposit guaranty law modeled after
any plan now in existence—or, in fact,
any guaranty plan which would saddle
the member banks with the cost
thereof.
No one knows, of course, what it
would cost annually to guarantee bank
deposits in any State. The cost of the
Nebraska law, thus far, is said to have
run from six-tenths of one per cent to
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
one and one-half per cent of daily aver
age deposit balances.
A Sim ple
Problem.
On the arbitrary assumption that one
per cent on daily balances would cover
all future losses, let us see where that
brings us. Those who favor a guaranty
law speak of such percentages as this
as mere trifles—contributions which
banks should pay gladly for com
mensurate benefits received. But we
find that when these percentages are
translated into terms of income on
bank capital, the result smacks strong
ly of extortion.
Under average conditions, a bank
should have deposits of from seven to
ten times its invested capital (includ
ing surplus and undivided profits) in
order to operate upon a profitable
basis, care for ordinary losses, and di
versify properly the investment of its
loanable funds. An assessment of one
per cent on daily deposits would there
fore mean from seven to ten per cent
on the invested capital of the average
going institution.
Furthermore, during recent years,
losses have been high. These losses
must be charged off as ascertained,
out of current earnings, if the bank is
to be maintained in healthy condition,
Perhaps no arbitrary figure should be
stated here as representative of the
average bank, but this item is hound to
remain a considerable factor for some
time to come. Under a guaranty as
sessment plan, the earning power of
each bank must be sufficient, therefore,
to write off these losses as they accrue,
in addition to meeting the guaranty
12
Mid-Continent Banker
assessments out of current annual
profits; otherwise, the result would
merely amount to storing up a pack of
trouble for the future.
I wonder how many of our banks,
operating upon their present basis,
could even charge off their unknown
losses from year to year, after paying
an annual assessment of seven to ten
per cent on their invested capital into
a guarantee fund.
Granting, however, that our remain
ing banks could do all this, we still
have the stockholder to consider. I be
lieve the figures, if available, would in
dicate that the owner of bank stock is
going to have pretty “ slim picking”
under a guaranty law, unless some rad
ical change is introduced to increase
the earning power of banks.
A Ris ky Investment.
In view of the double liability fea
ture, an investment in bank stock
should be capable, under ordinary con
ditions, of producing a return of not
less than eight or ten per cent—prob
ably more than that—if it is to be made
attractive to new capital. And it must
be made attractive to capital before
the otherwise meritorious proposal to
require the deposit of securities guar
anteeing the stockholder’s liability will
ever be more than mere empty twaddle.
Conditions, of course, are not normal
at the present time when the average
country hank in the Middle West could,
while conducting a sound and healthy
business, earn the income that would
be required to care for guaranty fund
assessments, write off current losses,
and pay respectable dividends to stock
holders.
In all the propaganda for a deposit
guaranty law, there is a subtle hint
which is seldom definitely worded, but
which may be summed up something
after this fashion: “ The banking sys
tem of the state has been tried and
found wanting. Our bankers are per
mitting neighboring institutions to
close their doors, and depositors to
lose money thereby. You fellows who
are left are members of this faulty sys
tem, and you must unfortunately suffer
for that membership. You have been
caught in bad company, and we pro(Continued on Page 24)
Model Farm Is Used for
Bank W indow Display
more or less intensive
ARKANSAS’
^and virtually continuous campaigns
for better homes, better farms and bet
ter farming methods, in all of which
the banks of Arkansas play a conspicu
ous part, have helped, perhaps, to at
tract favorable attention to a clever
and artistic exhibit in the First Na
tional Bank at Fordyce, Ark. A model
farm home as shown in the photograph
ic reproduction herewith, has attracted
attention, not alone as an object les
son, but because of the skill and work
manship of its builder.
1
if
For A
“ Sunnybrook Farm” is the work of
Neil Rhodes, an employe of the First
National Bank, who is said to have de
voted nine months of his spare time
to its creation. It is rare that a work
of this kind has been performed with
greater care or attention to detail.
“Save When You Want a Home—
Begin Now With the First National
Bank,” is the wording that surmounts
the model farm. Its construction was
wrought by hand and with ordinary
tools, and with “ scrap” lumber, such
as that from goods boxes. The scen-
OME
AND:
The material for this attractive window display cost only $5.50.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ery that forms the background was
painted by the proprietor of a radio
shop at Fordyce, Bill Caraway.
The farm is equipped throughout
electrically. When the lights are
turned on in the house a completely
furnished bedroom is shown, with bed,
chairs and other furniture, and a ra
dio. The windmill of the Dutch type
operates very slowly as if stirred by
a gentle breeze, but can he made to re
volve more rapidly. The house, wind
mill, barn and gatepost lights are all
lighted by electricity, as is the screened
porch, with its linoleum floor cover
ing, at the back of the house.
Space about the farm building is
made attractive by flowers in window
boxes and along the walks and drive
ways. Vines and flowers are entwined
in the lattice work on the front of the
house and around the porte cochere
where a miniature automobile is
parked.
The house, garage and barn are
roofed with genuine composition shin
gles, cut one inch wide and one and
one-half inches long.
A striking feature is a pond of real
water in which a swan appears to
swim. Mr. Rhodes explains that mag
nets under the pond are made to re
volve slowly, and as a small piece of
metal is glued to the bottom of the
swan it is made to swim about the
pond in a lifelike manner.
Shrubbery that grows here and there
adds artistry to the farm scene as a
whole. Green grass about the build
ings is in reality tinted sawdust. The
driveway and walks are laid with fine
white gravel, which makes them stand
out against the grass.
The barn fence which encloses the
miniature horse and mule standing near
a salt lick, was cut from metal lath
and has the appearance of wire fenc
ing. The picket fence was cut from
small pieces of wood, and the gate,
with its latch, opens and closes.
The bird house, with its blue bird,
for happiness, the U. S. mail box and
the swing and bench on the lawn, are
other details. The house and other
buildings have glass windows, and the
windows in the house are equipped
with shades. All buildings are painted
white with green borders.
Outside of the labor, the actual ex
pense of the model farm home is said
to have been but $5.50. Mr. Rhodes
has the reputation of being an artist
at this kind of work and from time to
time has constructed other and simi
lar exhibits that have won prizes.
Fordyce is the county seat of Dallas
County, and is situated in one of the
progressive farming sections of southcentral Arkansas.
13
St. Louis, February, 1927
McCulloch vs. Maryland
“ T he states h a v e no pow er,
b y ta x a tio n o r otherw ise, to r e
tard, im pede, bu rden o r in a n y
m ann er co n tro l the op era tion s
o f th e con stitu tion al * law s e n
a cte d b y C on gress to c a r ry intoe x e cu tio n the p o w ers v este d in
the general g o v e rn m e n t.”
— C hief J u stice M arshall.
HE decision of the Supreme Court
of the United States, in the case
of McCulloch vs. The State of
Maryland, et. al., decided March 7,
1819, is perhaps one of the most impor
tant cases ever decided by that Court.
It involved the question of supremacy
between the State and the United
States in the question of taxation. On
the 10th day of April, 1816, the Con
gress of the United States incorporated
“ the subscribers to the Bank of the.
United States.” The President, Direc
tors, and Company of the Bank duly
organized and engaged in the conduct
of business. On or about May 1, 1817,
the Bank established a branch or office
of discount and deposit in the City of
Baltimore, in the State of Maryland.
On the 11th day of February, 1818, the
General Assembly of Maryland enacted
an Act, entitled:
T
“ An act to impose a tax on all
banks, or branches thereof, in the
State of M aryland, not chartered by
the Legis lature .”
This Act provided that no bank notes
shall be issued except upon stamped
paper of the following denominations:
Five dollar notes shall be upon a stamp
of ten cents; ten dollar notes upon a
stamp of twenty cents, etc., up to one
thousand dollar notes, which were re
quired to be on a twenty dollar stamp.
The paper or stamps was for sale by
the treasurer for cash. In lieu of this
tax the bank could pay an annual tax
of fifteen thousand dollars.
The President, Cashier, or other offi
cer of the bank violating the provisions
of this Act, was subject to fine in the
sum of five hundred dollars, to he re
covered by an indictment, or action of
debt, in the County Court where the
offence was committed, one half to the
informer and the other half to the use
of the State. James William McCul
loch, the defendant in the trial court,
cashier of the branch bank, issued cer
tain bank notes to one George Wil
liams, in the City of Baltimore, in part
payment of a promissory note of said
Williams, discounted by the said
branch bank, which notes were not is
sued on stamped paper, as required
by the Act above mentioned. One,
John James, who sued for himself as
well as the State of Maryland, brought
his action of debt against McCulloch to
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Federal Reserve Bank of St. Louis
State
Taxation
of
National Banks
B y the Legal Editor
recover the penalties under the Act of
the Legislature of the State of Mary
land herein referred to. The suit was
brought originally in the County Court
of Baltimore County, Maryland, and
from there went to the Court of Ap
peals of the State of Maryland, and
from there to the Supreme Court of
the United States. Thus one of the
greatest law suits ever tried before
the Courts of this country was started.
Mr. Webster was of counsel in the
Q uestions of interest to bankers
are discussed by the Legal Editor
each m o n th . Any subscriber has
the privilege of w riting for infor
m ation and advice on legal su b
jects, and will receive a direct re
ply from our attorney, w ithout
fee or expense. A brief of any
su b ject involving research in a
com plete law library will be fu r
nished for $10. In writing for in
fo rm a tio n , kindly inclose a 2 cent sta m p for reply, and address
“ Legal Editor,
M id -C o n tin en t
Banker, 408 Olive Street, Saint
L o u is.”
case representing the plaintiff in error.
Mr. Pinkney was also of counsel. Mr.
Hopkinson represented the defendants
in error. The first bitter argument
arose over the question as to whether
or not Congress had the power to in
corporate the Bank of the United
•States. Mr. Webster contending that
it did and Mr. Hopkinson contending
that it did not. It was asserted that
the bank was necessary and a suitable
instrument to assist the operations of
the Government in the collection and
disbursement of the revenue, in regu
lating the -currency, etc., and that it
was within the powers of Congress un
der the Constitution to incorporate and
establish this bank. Thus was the
argument of Mr. Webster. The defend
ant in error claimed that there was no
express power granted to Congress un
der the Constitution authorizing the in
corporation of the bank, or in fact the
right to authorize the incorporation of
any corporation. It was contended fur
ther that such a bank was not a neces
sary instrumentality of the Federal
Government. Chief Justice Marshall,
in delivering the opinion of the Court,
said:
“ A f t e r the most deliberate consid
eration it is the unanimous and de
cided opinion of this Court, th a t the
Act to incorporate the Bank of the
United States is a law made in pur
suance of the Constitution, and is a
p art of the supreme law of the land.”
This, however, was not the vital is
sue in the -case, and Mr. Pinkney said
that this question ought not to have
been forced into the argument. The
vital question at issue was whether or
not the State of Maryland could tax a
branch of the Bank of the United
States. There was much bitterness in
the opposing arguments of counsel.
Said Mr. Webster:
“T h e second question is, whether,
if the bank be constitutionally cre
ated, the State govern ments have
power to ta x it?
If the States may
ta x the bank, to w h a t extent shall
the y ta x it, and where shall they
stop?
An unlimited pow er to tax
involves, necessarily, a power to de
s tro y ; because there is a lim it be
yond w hich no institution and no
property can bear tax a tio n .”
If the State may tax, they have no
limit but their discretion, and the bank,
therefore, must depend upon the dis
cretion of the State governments for
its existence. This -consequence is in
evitable. It was said that if the State
could tax the bank, that by taxation it
-could expel the bank from the State.
If it could tax the B’ank of the United
States, it could tax the army, the navy,
the mint, and every other instrumental
ity of the Federal Government, and
render the Central Government entire
ly impotent. That the Federal Gov
ernment would be prostrate at the feet
of the States.
The defendants in error claimed for
the bank to come into the State, and
then deny its right of taxation, was
to destroy its sovereignty. They said:
“ W i l l it be tolerated, t h a t a t ra d
ing corporation, having no object but
profit, shall, ini the pursuit of it,
tread upon the sovereignty of the
State, e nter it w ith ou t leave; disre
gard its policy; o ve rth ro w its insti
tutions and sacrifice its interests?”
(Continued on Page 24)
14
Mid-Continent Banker
Building- a 100,000-Account Bank
Create Something Definite to Tie to in Your
Advertising — Then Advertise Continuously
E advertise 95,000 accounts and
have, in fact, over 97,000. I
use the word “advertise” be
cause it is the key to the door that has
opened before us to permit thousands
of depositors to march in. Good ad
vertising has made the Liberty Bank
known to every potential saver or de
positor in Louisville, and widely known
throughout 'Kentucky and the adjoin
ing states. The Liberty Bank is 72
years old, but its big growth has been
in the last ten years. In that time
its deposits have increased from 6 mil
lions to nearly 19 millions.
Recently I searched the flies of our
old advertisements to learn when we
started the slogan, “The home of
more than so many bank accounts.”
The first I saw was 35,000, then 40,000,
and increasing by 5,000 under a spread
eagle and “Another step forward.”
There is a period in our history that
marks the beginning of a new era.
That was when we erected our new
bank building, which we opened to the
public on January 1, 1919.
For several years prior to that open
ing, however, a steady well-planned
preparation was going forward, and I
tell you no secret when I say that the
“Home of more than 95,000 Bank Ac
counts” is due to the vision and pi
oneering of Mr. John E. Huhn. It was
he who recognized the importance of
a knowledge of banking among the
rank and file in the city. He realized
the size of an undertaking that was to
acquaint the big majority of our citi-
W
By F. C. Dorsey
Vice-President, Liberty Insurance
Bank, Louisville, Kentucky
zens with elementary banking—the
a, b, c’s of depositing money and with
drawing it by check.
He started the savings habit in
Louisville public schools. He made it
the popular thing to do—to have a
F . C . Dorsey
savings account. He knew the busi
ness was here. He had confidence in
the people of Louisville. He believed
in advertising.
When thousands were buying Liberty
Bonds on the part payment plan, this
bank spent thousands of dollars adver
tising its service in carrying these
bonds for the people. At the time it
was a patriotic duty, but the spirit
of helpfulness with which the service
was rendered made thousands of
friends out of those thousands of new
acquaintances.
Service flags and gold service pins
were given every depositor in our
bank. Liberty Bond buyers, through
their service to Uncle Sam, became
savers. I believe that taught thrift as
it was never taught before.
We have always taken advantage
of every opportunity to get the favor
able attention of the public. When
we opened our new offices on Second
and Market we were able to bring
within our doors people who had
never before been in our bank.
To get the people acquainted with
our bank, its tellers and officers, we
have had dozens of flower shows. All
one summer we held Educational Ex
hibits of Louisville Industries. That
was in 1921. We have had an Edu
cational and Health Exposition of
Waverly Hills Sanatorium in our lob
by—that was in 1922. Exhibitions of
bird houses, of posters made by the
school children, of preserves and
jellies, of sewing or carpentry—all
these exhibits brought not only the
children, but the parents and teach
ers. It caused the Liberty Bank to
be known to all of these. In its lobby
all felt at ease and at home. Natural-
A t left: Santa Claus loading the armored truck with Christmas Checks from the Liberty’s Christmas Club. A t right: The Liberty
L obby crowded with people listening to the first public radio concert, the opening feature o f the first Radio Show held in Louisville.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
15
St. Louis, February, 1927
PRESTIGE
58 years of conservative
banking, in association with lead
ing commercial and correspondent
institutions, the name of the U nion
Trust Com pany has come to repre
sent those qualities of competency
and integrity which build Prestige.
T
HROUGH
Frederick H. R a w s o n
H arry A. W heeler
Chairman of the Board
President
C raig B. H azlewood
Vice-President
U N IO N TRU ST
CO M PAN Y
C H IC A G O
Offering the Seven Essentials o f a Banking Home
SAFETY
• SPIRIT *
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
EXPERIENCE
-
CALIBER
*
CONVENIENCE
«
COMPLETENESS
-
PRESTIGE
16
Mid-Continent Bankey'
iy if any banking was to be done we
got our share.
We believe our garden seed made
us many friends. We think our dis
play of foreign coins was worth more
than passing interest.
We have given scholarships in the
Conservatory of Music; brought de
posits to the bank by aeroplane when
planes were novelties. Then when
the radio was a curiosity we had one
in the bank lobby and staged the first
radio show held in Louisville. Nearly
«very Tuesday evening during the
past four years we have had one of
our representatives broadcast a thrift
talk over WHAS.
Some newspaper man has said when
there is no news then make news.
When we want to advertise the bank
we make something to advertise. We
have advertised the value of milk,
cream and butter, and our advertise
ments tying the bank with the dairy
interests have been reproduced all
over the United States.
We have filled hundreds of columns
with jingles to call attention to our
Christmas Saving Clubs, and the jin
gles have proved the most popular of
any ads we have ever run. We have
asked for slogans and we have printed
cross-word puzzles—every one of them
carried a message from this bank.
Everybody knows “The Bank for the
People.” “No substitute for Safety.”
“A dollar or more, a minute or less,
opens an account—no red tape.”
Why? Because we have kept it before
the public.
We have had shooting matches on
our pistol range in our basement. We
have awarded medals for the best
amateur swimmers and cups for agri
THE
FOREMAN
BANKS
FOUNDED
1862
W e seek your business o n the basis o f
the service w e can render you. A service
w e have perfected through 65 years
o f consistent growth. W h e n C hicago
was an outpost o f eastern com m erce—
the transcontinental railroad, an ideal
ist’ s d rea m — w e were doing business
here. T oda y our representatives w ill
serve you in m ore than 114 countries.
cultural achievements. There is hard
ly a home that has not a Liberty Bell
money bank on the mantel. All these
are reminders of “The Bank for the
People.”
If you go to the theater your pro
gram connects the Liberty Bank with
the play. The title of the ad runs
smoothly on, and while you are in a
most receptive mood the Liberty Bank
makes a pleasing and lasting impres
sion.
Now with all of this we must have
a good advertising man, who knows
his business, knows good copy, who is
original, has constructive ideas and
who is indefatigable.
He must listen attentively to hun
dreds of schemes presented by GetRich-Quick-Wallingfords, to pick the
grain from the chaff. He must turn
down the poster pest tmd the program
that is seen by a score of church work
ers, but in a tactful pleasant way. We
are getting away from the premium
plan for getting new accounts and
from the gifts as souvenirs. We have
used the mass distribution plans, the
direct by mail, the personal solicitation,
and I suppose every kind of advertise
ment to secure our 95,000 accounts.
But we have never made compari
sons—mark that. To sum up what
has been the cause of our growth, I
would say good advertising copy
counted most, then the loyalty of our
employees in their desire for new
business.
We have advertised consistently and
continuously, and we have tied our ad
vertising to something definite. For
our employees we have done every
thing possible. The bank maintains
a dining room, a recreation room with
billiard tables, a library, a dancing
floor and the Liberty Club—an exclu
sive employee’s club with its own
officers. This club has a meeting every
Thursday and there are speeches and
pep talks by members and outsiders.
This year the members of the club se
cured $1,000,000 in new accounts in a
special four months’ campaign insti
tuted at their own initiative.
T h e fifty-eighth annual statement of
The Foreman National Bank
The Foreman Trust and Savings Bank
La Salle and Washington Sts.
Chicago
Resources Exceed One Hundred M illion Dollars
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
the Union Trust Company, Chicago,
issued at the close of business, Decem
ber 31, 1926, shows total resources of
more than $86,718,000. Capital, surplus
and profits amount to more than
$7,407,000 and deposits amount to
more than $77,000,000.
“The time will come,” shouted the
lecturer, “when women will get men’s
wages.”
“ Yes” , shouted the little guy in the
last row, “next Saturday night.”
17
St. Louis, February, 1927
Death Ends the Career of a
Distinguished Citizen
G ettin g the M ost
Investment Value
for Your Money
'T H E R E are several hundred different bond issues which bank
ers consider good investments, but
not all of them are good invest
ments for you.
These issues possess in varying de
gree the qualities of safety, mark
etability, tax exemption, etc.— just
as institutional and individual in
vestors possess in varying degree
the need for them.
Bond prices are affected by
the
degree in which they possess vari
D avid R . Francis
ous qualities, and to get the most
investment value for your money
Death ended the career of one of the
Nation’s most distinguished citizens
when David R. Francis succumbed to
the infirmities of old age on January 15.
Mr. Francis was 77 years old.
Throughout the nation, leaders in the
world of business and politics have
united in paying tribute to the memory
of this man who served as Mayor of St.
Louis, Governor of Missouri, Ambassa
dor to Russia and Secretary of the In
terior.
In private life Governor Francis was
first a grain merchant and then a bank
er. He founded the financial house of
Francis B'ro. & Co., and served as vicepresident of the Merchants Laclede
Bank, as director of the Mississippi Val
ley Trust Company and as chairman of
the board of directors of the Missouri
and North Arkansas Railroad. He also
had served as president of the National
Drainage Congress and as president of
the Merchants’ Exchange of St. Louis.
At one time Governor Francis was
owner of the old St. Louis Republic, the
leading democratic newspaper of the
state, which was bought and absorbed
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
by the Globe-Democrat in 1919. He was
a director of the United Railways Com
pany and also was identified with two
of Missouri’s leading universities, the
University of Missouri and Washington
University.
He was chairman of the Board of Cur
ators of the University of Missouri, un
til he became Ambassador to Russia
and much of the credit for the regene
ration of the University, while it was
passing through its trying period, is
given to him.
At Washington University a fountain
on the campus was dedicated in his
honor two years ago in his presence.
He was a member of the corporation of
Washington University at the- time of
his death. Francis Field, the athletic
field, and Francis Gymnasium, both
built in time for the World’s Fair, are
memorials to him there.
Probably one of Governor Francis’
most outstanding achievements was in
connection with the Louisiana Purchase
Exposition held in St. Louis in 1904.
Not only was he the directing head of
the enterprise after the gates of the
it is necessary that you select and
hold those issues which best fit
your requirements.
Hundreds of investors find First
Illinois Company analysis of invest
ment requirements and securities
of value in selecting those bonds
which give them the most invest
ment value for their money.
M a y We be o f service to y o u ?
First Illinois Company
BONDS FOR INVESTM EN T
C H IC A G O
AURORA
M IL W A U K E E
DAVENPORT
S T . L O U IS
B o a t m e n ’ s B a n k B ld g.
18
Mid-Continent Banker
exposition were open, but his interest
and activity played a large part in the
preliminary work. His famous “ Tour
of Europe in Nineteen Days,” at which
time he interviewed crowned heads and
leading statesmen, resulted in hearty
co-operation from nations which had
previously been more or less indiffer
ent to the Exposition.
Governor Francis was born in Rich
mond, Kentucky, the son of John B.
and Eliza C. Francis. He was gradu
ated from Washington University in
1870, and the same year entered the em
ploy of Shryock & Rowland. Seven years
later he founded a commission company
bearing his name and this later be
came the firm of D. R. Francis & Bro.
Governor Francis was a member of
the National Geographic Society, and
his clubs included the St. Louis, Univer
sity, Country, Log Cabin, Bellerive,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Round Table, Commercial, Noon Day,
Metropolitan (Washington) and the
Metropolitan (New York).
Hibernia Securities Elects
Five New Officers
Vacancies recently created in the
official staff of the Hibernia Securities
Company, Inc., have been filled by the
promotion of five men, all of whom
have been connected with the company
practically since its organization.
George H. Nusloch, J. Albert Baudean, Willis G. Wilmot, were elected
vice-presidents, A. Palmer Smith, Jr.,
was elected treasurer, and Kenner S.
Baetjer was elected secretary.
At a meeting of the Directors of the
Hibernia
Mortgage
Company,
A.
Palmer Smith, Jr., was designated as
active vice-president of that company.
Mr. Nusloch is a native Orleanian,
was educated at the public schools,
and the Warren Eiaston Boys’ High
School.
Immediately after leaving
school in 1909 he entered the employ
of the Hibernia Bank & Trust Com
pany and has been in the organization
ever since except for the one year
during the war when he was in the
army. Mr. Nusloch has been an active
worker in the Investment Bankers As
sociation. He has successively held
office in that organization as secretarytreasurer, and vice-chairman of the
southern group and at the last conven
tion of that body held last December
at Birmingham, he was e l e c t e d
chairman.
Mr. Baudean is also a native Or
leanian, was educated at private schools
here, receiving his A. B. at Loyola in
1906. His first employment was with
B. F. E D W A R D S, President
E. A . S C H M ID , Vice-P resident
W . M . STO N E, Cashier
L. E. D EM PER, A ssista n t Cashier
V. J A C Q U E M IN , J R ., A ss’ t Cashier
Condensed Statement of the Condition of
The National City Bank of St. Louis
at the Close of Business December 31, 1926
R ESO U RCES
D em and L o a n s ............................$ 8,404,112.85
T im e Loans ..................................
4,843,010.89
C ustom ers’
L iab ility,
L e t
ters of Credit, e t c .............
10,535,00
U. S. B onds to Secure C ir
816,000.00
culation .....................................
XJ. S. S e cu ritie s...........................
492,650.00
O ther Securities ............ : . . . .
247,025.05
Stock in F ederal R eserve
B a n k .............................................
36,000.00
5% R edem p tion F u n d ............
40,000.00
Furniture and F ix tu r e s ..........
33,463.19
1,034.39
O verd rafts ....................................
Cash and E x c h a n g e .................
4,299,036.13
L IA B IL IT IE S
C apital Stock .............................. $ 1,000,000.00
Surplus and Profits.
427,854.87
R eserve for T a x e s ..
49,000.00
Liab ility, L etters of Credit,
etc.....................................................
C irculation
...................
6,328.50
..........................................
16,945,749.13
D ividends U npaid
D eposits
10,535.00
783,400.00
....................................
$19,222,867.50
$19,222,867.50
D EPO SITS
July 12, 1921 (Opening Day)
. $1,477,726.26
D e c e m b e r 31, 1 9 2 1 ..................... $8 ,6 9 4 ,9 2 1 .7 9
D e c e m b e r 3 1 , 1923
. . . .
December 31, 1926
$ 1 4 ,5 9 4 ,9 2 3 .9 7
. $16,945,794.13
D IR E C T O R S
W . P. A N D E R S O N ,
President, G id eon-A nderson
V . J A C Q U E M IN , JR ., A ssistan t Cashier
Co.
SA M
P R E S T O N J. B R A D S H A W ,
A rchitect
M. P. B U R R O U G H S ,
President, B urrou ghs G lass Co.
N O R M A N B. C H A M P ,
V ice-P resid en t, C ham p
Spring
Foundry
Co.
E. A . S C H M ID , V ice-P resid en t
Co.
L. E. D E M P E R , A ssistan t Cashier
B . F . E D W A R D S , President
F. X . H A C K M A N N ,
President, H ack m a n n
B. J E F F R I E S , A ttorn ey
W M . T. M E L L O W ,
V ice-P residen t. Liberty
A R T H U R E.
A ttorn ey
SIM P S O N ,
JE R O M E A. S T E R N B E R G ,
V ice-P resident, B aer, Sternberg &
Cohen, Inc.
W . M. S T O N E , Cashier
R eal
G EO . E. H A C K M A N N ,
A sst. M gr. Guardian L ife
of A m erica.
E state Co.
Ins.
Co.
JOS. S T R E C K F U S ,
Treasurer, S treckfus
S team b oat
Line
S Y D N E Y H. TH O M SO N,
President, Provident C hem ical W o rk s
COURTESY, FAIRNESS AND EFFICIENT SERVICE
19
St. Louis, February, 1927
the Queen & Crescent route where he
was employed from 1906 to 1917, en
tering the employ of the Hibernia
Bank & Trust Company in the latter
year. When the Hibernia Securities
Company was formed in 1920 Mr.
Baudean became a salesman in that or
ganization. In July, 1922, he was ap
pointed Assistant Secretary and one
year later became Secretary and now
ascends to the Vice-Presidency.
Mr. Wilmot was born in New Or
leans, educated at Hills School, Pottstown, Pennsylvania, and graduated as
an A. B. at Princeton University in
1920. He came directly to the Hiber
nia Bank & Trust Company and a little
later joined the sales force of the Hi
bernia Securities Company, Inc. Since
1920 he has served as Assistant Secre
tary and now becomes Vice-President.
When the Hibernia Mortgage Company
was formed he was made Vice-Presi
dent of that organization.
Mr. Smith is a native of Covington,
Tennessee, was educated at a private
school and received his A. B. at
Princeton University in 1920. During
the war he was a second lieutenant in
the United States air service and
served over seas in England, then in
France. Since graduation he has been
with the Hibernia bank organization,
first as a clerk in the Trust Depart
ment, then as Assistant Trust Officer.
In July, 1923, he was appointed As
sistant Treasurer of the Hibernia Se
curities Company, Inc., and has held
that position until now when he be
comes Treasurer.
Mr. Baetjer was born in New Or
leans, attended the public schools here,
and graduated from the Boys’ High
School in 1908. He immediately en
tered the employ of the Hibernia Bank
& Trust Company, and after occupying
the usual minor positions, he became
affiliated with the Bond Department.
Since 1922, Mr. Baetjer has been suc
cessively Manager of the Dallas Office
of the Hibernia Securities Company,
Inc., Manager of the Atlanta Office,
Manager of the new Chicago Office,
which was established last summer,
and he now becomes Secretary of the
Company.
Getting the
H aifa Billion
-
and More
Back o f these banking re
sources, outstanding in
Chicago, is a volume o f
business that indicates
satisfaction to customers
Ifte CONTINENTAL and
COMMERCIAL
BANKS
C H IC A G O
Interv iew .
Salesman: “I want to see the boss.”
Office Girl: “ Sorry, but he’s in con
ference with the vice-president and
general manager.”
Salesman: “Bet me in. I know a
funny story, too.”
Abie: “Papa, what’s science?”
Papa: “Don’t be dumb like, Abie,
it’s them things like what says, ‘Keep
off the grass.”
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Resources
Resources— December 3 1 ,1 9 2 6
$618,933,546
20
Mid-Continent Banker
Warren Wright, Jr., Is On
Union Trust Board
W hat D o Y ou W ant?
— tell us and we will help you find it. W e have created this
new classified ad department as a free service to subscribers.
If you have something to buy or something to sell, or if you
want anything, you can make it known to the bankers in the
Mid-Continent territory without cost. If you are not a sub
scriber, your check for $3 will pay for a year’s subscription
and entitle you to free use of the want ad columns.
P o s iti on
W anted
b y assista n t
cash ier w h o d esires b etter o p p o r
tu n ity fo r ad v an cem en t. T w e n ty eig h t y e a rs o f age.
F o u r y e a r s’
e x p erien ce as a ssista n t cash ier.
B est
of
referen ces.
A d d ress
V.
B.
M .,
The
M id -C on tin en t
B an ker— 7
. ______
B a n k fo r Sa le:
Sm all inland
tow n, S outhern Illinois, 600 p o p u la
tion. C apital stock , $15,000. S u r
plus, $9,000. U ndivided p rofits w ill
be $4,000 b y M arch 1st. D ep osits
and loan s a v e ra g e aroun d $60,000.
N et earn in g s last y e a r w e re 20%.
C ash ier’ s salary, $2,400 per year.
Sinai 1 bank, bu t a m o n e y m aker.
G ood reason s fo r sale. N ew m a n
agem ent can in cre a se business. A ll
pap er gua ra n teed. P rice, $200 p er
share, cash.
I f size, tow n, bank,
location and p rice d o n ’ t interest,
please do n ot m a k e inquiries, as
these d eta ils should be en ou gh in
form ation fo r p a rty w an tin g to b u y
a bank.
A d d re ss N o. 1000, ca re
M id-C on tin ent B anker.
Po s iti on
W anted
as assistant
ca sh ie r in m ediu m size ba n k by
y o u n g m an t w e n ty -e ig h t y e a rs old.
C ollege g radu ate, fo u r y e a rs b a n k
in g ex perien ce. A lso enrolled w ith
th e L aS alle E x te n sio n U n iversity,
C h icago, in L a w .
A d d re ss V-12,
M. C. B .— 7 . ______
Po sit io n W a n t e d as cash ier in
g o o d co u n try ba n k or as a ssista n t
cash ier in larger bank by m arried
m an. 15 y e a r s ’ ex p erien ce.
N ow
em ployed.
D esire b e tte r o p p o rtu
n ity fo r ad v an cem en t.
B est o f
referen ces. A d d ress N o. 1010, T h e
M id -C on tin en t B anker.
C oun try
ba n ker desires to purch ase co n tro l
o f g o o d bank in tow n o f n ot less
than 1,000; A m erica n com m u n ity
in Central Illinois preferred .
A ll
com m u n ica tion s confidential.
Ad
dress No. 1011, T he M id-C on tin en t
B anker.
Bank
Control
W anted:
In t e r e s t in B a n k W a n t e d : W o u ld
like to p u rch ase c o n tro llin g in terest
in a g o o d bank in a to w n o f 2,000
to 4,000 o r to p u rch a se a m in o rity
sto ck in terest c a rry in g w ith it an
official position . I h a v e had s ix
teen y e a r s ’ ex p e rie n ce in a state
bank.
N o w w ith N ation al B an k
w ith r e so u rce s o f $1,000,000, fo r
th re e y e a rs as cash ier and a c tiv e
m anager.
A d d ress N o. 105, T h e
M id -C on tin en t B an k er— 1.
in bank b y
youn g m an.
O p portun ity fo r a d
v an cem en t desired.
N o ba n k in g
ex perien ce bu t g ood bu siness ed u
cation.
T w o y e a r s ’ college.
Fu
tu re p ro sp e cts w ill be con sid ered
m ore than large salary to start.
B est referen ces. Can invest. A d
dress L . E. T ., T h e M id -C on tin en t
B an ker— 6.
F or Sa le:
L arge, squ are door,
fire p ro o f safe w ith in sid e m on ey
ch e st w ith tim e lock.
In g ood
con d ition an d p riced reason able.
A d dress F a rm e rs
&
M erch an ts
B ank, Sterling, Okla.
F o r S a le : One round screw d o o r
M osler M anganese Steel b u rg la rp ro o f bank sa fe ; one B u rrou gh s
P o stin g M ach in e; one B u rrou g h s
L istin g and A d din g M achine, and
on e C heck W riter. T h ese fixtures
are in g o o d con d ition , an d w ill be
Pos ition
W anted
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
p riced right. A d d ress O. J. W a tts,
N apton , M issouri— 2.
B a n k e r , 39, w ith 20 y e a r s’ e x
perien ce, n ow ow n s an d is C ashier
o f $10,000 bank, w ith $100,000 d e
p osits in tow n o f 500. W o u ld tra de
co n tro l an d p osition fo r stock and
p osition in larger tow n.
A d d ress
R.
H.
L .,
ca re
M id-C on tin en t
B an k er— 2.
B a n k I n t e r e s t f o r Sa le: W a n t to
sell in terest ca rry in g p osition o f
ca sh ie r w ith sala ry o f $2,400. S tock
holdings, $6,000.
B an k in firstclass con d ition , g ood, w e ll-o r g a n
ized business. C ity o f 1,200 p op u la
tion, fertile fa rm in g com m u n ity .
W ould n ot sell except, to e x p eri
enced m an. A ddress N o. 2010, care
M id-C on tin en t B anker.
For
Sa le:
L a rg e V ic to r bank
safe (w ith or w ith ou t M anganese
Steel S crew D o o r M on ey C hest, 56
sa fe ty d eposit box es and b ook
section and d ra w ers).
A bargain
fo r large office or sm all bank. A d
dress
No.
109,
M id-C on tin en t
B an k er— 3.
Warren Wright, Jr., president of the
Calumet Baking Powder Company, has
been elected to the board of directors
of the Union Trust Company, Chicago.
The board of directors have an
nounced the following promotions and
new additions to the present official
staff:
C. B. Carter, from assistant
cashier to assistant vice-president; W.
A. Zimmerman, M. H. Thies, C. J.
Maurer, E. S. Clark and R, S. Carr, as
sistant cashiers.
The directors also voted to transfer
$1,000,000 from undivided earnings to
F o r Sa le: C on trollin g in terest in
su ccessfu l
N ational
B an k
w ith
$100,000 cap ital and $900,000 totals.
L o ca te d in g ood tow n o f 7.500 p o p
ulation in g ood section o f Illinois.
A ll in v estm en ts and loan s g u a r
anteed.
One or tw o official p o s i
tion s g o w ith stock .
D o n ot a n
sw er unless you h a v e the capital,
a g e and ex p erien ce to m an a ge a
good, g o in g bank. A d d ress I. E. S.,
M id -C on tin en t B an k er— 11.
F i x t u r e s f o r Sa le :
M arble and
bron ze screen su rrou n din g L ob b y ,
72x20 feet.
T en ca g e s w ith th ir
teen w ic k e ts and oth er equipm ent.
S pecial
selected
E nglish
vein
Italian m arble.
V e r y attra ctiv e.
A lso several sets o f m on ey chests.
A v a ila b le at on ce.
R em ov a l to
n ew bu ild in g n ecessita tes sale. In
qu iries solicited .
P rice v e r y rea
sonable. A d d ress C om m ercia l N a
tion al B ank, P eoria , 111.
Po s iti on W a n t e d as ca sh ier in
g o o d co u n try bank o r assista n t
ca sh ie r in larger bank b y m arried
m an w ith th ree y e a r s ’ ex perien ce
a s cash ier in g ood co u n try bank.
N o w em ployed. D esire b etter o p
p o rtu n ity fo r ad v an cem en t. B est
o f referen ces.
A d dress N o. 108,
M id -C on tin en t B an k er— 2.
W anted:
E x cellen t op p ortu n ity
fo r ba n ker fa v o ra b ly k n ow n in
M issouri, K a n sa s and O klahom a,
or all three states w ith p rog ressiv e
K a n sa s C ity bank, w ell thoup’h t o f
th rou g h ou t that territory .
W ou ld
w an t m an ca p a b le o f org an izin g
and su p erv isin g c ou n try bank d e
p artm en t and one able to brin g
con sid erable bu siness to bank w ith
him . F u tu re w ou ld depend en tire
ly upon g row th and su ccess o f d e
p artm ent.
A d d ress N o. 112, care
T he M id -C on tin en t B an ker,
408
O live Street, St. L ouis.
Save M on ey— Buy These:
B ur
rou gh s
b ook k eep in g
m achine
(p ra ctica lly
n ew ).
fla t-to p
oa k
desk, U n d erw ood ty p ew riter N o. 5,
sw in gin g desk stand fo r typ ew riter,
office chair, a W riterp ress d u p li
ca tin g m ach in e w ith full equ ipm ent
o f type, stand, tra ys, fu rn itu re,
etc.
A d d ress A. H. H ick s, A lta m ont, 111.— 4.
Warren W right, Jr.
surplus, making the surplus $4,000,000.
The Union Trust Company, according
to Frederick H. Rawson, chairman of
the board, has just closed its most suc
cessful year. During the past five
years deposits have grown from $42,000,000 to approximately $75,000,000.
The combined capital and surplus is
now $7,000,000.
And He W a s a T ra v e lin g Man.
Mary Ann, a buxom, rosy-cheeked
girl from the country, visiting some
friends in the city, volunteered to look
after a neighbor’s boys and girls while
the woman attended a meeting.
She bathed, brushed, combed and
put to bed her charges. When the
neighbor returned she asked:
“Well, my dear, how did you get
along with the kids?’’
“Not so badly,” replied Mary Ann,
“ but I had an awful time with the old
est boy—the red-headed one. He—”
“ The red-headed one!” shrieked the
woman. “Why, that is my husband!”
21
St. Louis, February, 1927
Bond and Investment Section
Facts About Holding Company Securities
holding company, both in its in
THEdustrial
and financial aspects, is a
type of business organization which is
not only incident to our modern large
scale industrial organization, but it is
also one which, in the United States,
has been greatly stimulated in its de
velopment by our type of political or
ganization with a central government
having control over certain industrial
corporations and with forty-eight states
exercising control over the operation
of business within the borders of the
particular states.
It is probably true that even if we
had not had this kind of a federated
system of government the holding com
pany would have developed in the
United States in as much as with a
country of such vast extent, and such
great variety of natural resources a
fertile field would have been supplied
for this kind of organization.
It is not uncommonly assumed that
holding
companies
are
primarily
financial organizations originated by
promoters, investment bankers, and
others as an agency by which addi
tional corporation capital can be easily
secured and great profits obtained for
the underwriters. This view complete
ly neglects the basic reason for the de
velopment of the holding companies
B y Dr. W. F. Gephart
Vice-President, First National Bank
in St. Louis
which is to be found in the develop
ment of large scale enterprises in this
country and second in what has al
ready been stated regarding the con
flicting jurisdictions of so many gov
ernments.
The holding company is an agency
for securing unified control and to ef
fect, leaving aside any financial or un
derwriting advantages, the economies
which are associated with consolida
tions of a more simple character
whether of the vertical or the more
commonly known one of competing
units. It is in the field of public utili
ties where the holding company has
attracted most attention, but they are
to be found in an increasing number in
the other kinds of industrial organiza
tion. There is little doubt that, es
pecially in the case of public utilities
where many small, inefficient plants
have been serving restricted communi
ties, the consolidations of the control
of these into one central holding com
pany has brought enormous advantages
to the consuming public. The laws of
many states have made the holding
company the only agency by which this
could be brought about in as much as
the restrictions regarding the owner
ship or the operation of such compa
nies has been in a number of states
limited to corporations chartered in
the particular state. The consolidation
of these water, gas, electric, street
railway and telephone companies into
one central organization has made pos
sible a decided increase in the ef
ficiency of operation and well recog
nized economies in administration and
with the increasing improvement in
public utility regulation by the state
bodies the public consumer has had in
most cases adequate protection.
That the holding company form has
not only advantages from the corpo
rate, but from the public standpoint
also has been abundantly demonstrated.
Where criticism has been most often
leveled against these companies it has
been with respect to their financial
operations in connection with the mar
keting of securities to the public. Since
the assets of the holding company
usually consists primarily in the own
ership of common stocks of subsid
iaries, the investor is usually placed at
a disadvantage in endeavoring to de
termine the real value of the equities
owned by the holding company. Where
a majority of the common stock of
CAN YOU ANSWER THESE QUESTIONS
CONCERNING YOUR INVESTMENTS?
1.
2.
3.
4.
Is m y principal as sa fe as w h e n in v e ste d ?
A re m y secu rities w ell diversified ?
Is m y in terest return as m u ck as it sliould
fie?
A m I holding high - priced, ta x -e x e m p t
fionds w liere I derive no b en efit fro m the
exem p tion ?
5.
A re m y secu rities lik ely to b e called for
red em p tio n at prices low er tfian tfie p res
ent m ark et?
H a v e I v alu a b le rights or option w arran ts
that will expire if not ex ercised b efo re a
fixed d ate?
M u c k v alu a b le in fo rm a tio n to w k ick w e k a ve a cc e ss tkrou gk various ch an n els is not gen erally
a va ilab le.
T h is in form ation is o f a d e c id ed valu e to you in ch eckin g up on you r presen t
secu rity h old in gs.
O u r m issio n as in v e stm en t b an k ers is to ren der ev ery p o ssib le service to
you , lo ok in g to the sa fe and rea so n a b ly profitable in v e stm e n t o f your fu n d s.
We will be pleased to give our advice and recommendations without obligation.
W atch this space in
the M id- Continent
Banker for sugges
tions that will help
you answer these
questions.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
P o t t e r , Ka u f f m a n & Co
““
511 Locust Street
ci n c o r p o r a t e d
Saint Louis
"
G A rfield 7460
22
Mid-Continent Bankei'
Stickney-D enyven &Co.
H
)
An Exacting
Clientele
^ I ^HE di st ri but i on
A
sources of an invest
ment house are said
to denote the quality of its
securities. A large portion
of the distribution of our
securities is to banks and
trust companies, which are
among the most conserv
ative of investors. Thus,
the sound qualities of our
offerings have won the
confidence of the most ex
acting clientele.
n
BARTLETT & G O R D O N
IN C O R P O R A T E D
subsidiaries is owned there is little or
no market for such securities. The
only other basis for determining value
is earning power. Satisfactory earn
ing figures of subsidiary companies are
seldom available to the investor except
in such form as the holding company
may see fit to publish. The form in
which such earnings are published
often does not permit a satisfactory
basis for determining values of sub
sidiary companies’ securities. The ex
istence of this condition in the affairs
of holding companies is generally re
garded as unsatisfactory because of the
possibilities of abuse which it contains,
since the holding company, by its con
trol over subsidiaries, can often make
a good or bad showing for the parent
company by increasing or decreasing
depreciation and other charges of an
accumulative nature.
Consequently,
the holding company form of organiza
tion, from the standpoint of the in
vestor, is not as satisfactory as it
might be, since the investor is com
pelled to place his funds in such com
panies almost entirely upon his judg
ment of the management rather than
upon any other basis.
This fact would not be of so much
significance if investors were thorough
ly familiar with all the facts. Many,
however, are not familiar and conse
quently often purchase a holding com
pany obligation of an entirely different
type fundamentally than they other
wise would if they understood all the
facts. Consequently, to protect the in
vestor, this form of organization should
be subject to special safeguards.
The apparent solution for this situa
tion is federal incorporation, especially
of all holding companies having to do
with public utility property, although
almost equally as strong an argument
can be made out for any such holding
company, possessing property located
in several states and doing an inter
state business. Such federal incorpora
tion would not involve the protection
of the investing public by such elab
orate regulation as is found in the case
of the Interstate Commerce Commis
sion and the railways, but, on the
other hand, uniform methods of ac
counting could be required, and, there
fore, provide a basis for a financial
statement which would serve to pro
tect an intelligent investor.
First National Bank Building, Chicago
First W isc o n sin N ation al B an k Building, M ilw auk ee
*
Bankers Safety Envelopes
ENVELOPES FO R B A N K S
HECO ENVELOPE COMPANY
HECO ENVELOPE COMPANY
C h ic a g o , Illin o is
C h ic a g o , Illin o is
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
T he latest sta tement of condition of
the American Exchange, Irving Trust
Company of New York, shows total re
sources in excess of $740,500,000. Cap
ital, surplus and undivided profits
amount to more than $60,800,000, and
deposits are more than $584,100,000.
23
St. Louis, February, 192',
St. Louis Federal Reserve
Bank Elects Directors
C. H . Handerson Elected
to Vice-Presidency
According to announcement of Wil
liam McC. Martin, chairman of the
board of the Federal Reserve Bank of
St. Louis, the results of the election of
directors are as follows: John G.
Lonsdale, president of the National
Bank of Commerce in St. Louis, was re
elected by member banks in Group 1
as a Class A director of the Federal
Reserve Bank of St. Louis, and LeRoy
Percy, a planter, of Greenville, Missis
sippi, was re-elected by member banks
in Group 3 as a Class B director. Each
was chosen to serve for three years
from January 1, 1927.
The banks in Group 2 did not par
ticipate in the election just held be
cause the term of no director elected
by that group expires this year. Group
1 consists of banks having capital and
surplus in excess of $599,000; Group 2,
banks with capital and surplus of
$599,000 to $100,000, inclusive, and
Group 3, banks having capital and
surplus less than $100,000.
Mr. Martin also announced that the
Federal Reserve Board has appointed
Paul Dillard, of Dillard & Coffin Co.,
cotton factors, Memphis, Tennessee,
as a Class C director of the Federal
Reserve Bank of St. Louis, for the un
expired term of C. P. J. Mooney, who
died on November 22, 1926.
The Board of Directors of the Fed
eral Reserve Bank consists of nine
members, divided into groups of three
each, designated as Classes A, B and
C. Class A directors represent the
banking interests of the district, or
the lenders of money, and are usually
officers of banks. Class B' directors
represent the industrial, commercial
and agricultural interests, or the bor
rowers of money, and cannot be officers,
directors or employees of banks. Class
C directors represent the Government
and general public, and cannot be
officers, directors, employees or stock
holders of banks.
The Federal Reserve Bank of St.
Louis serves District No. 8, which com
prises all of Arkansas, all of Missouri
except the western tier of counties,
the southern portions of Illinois and
Indiana, the western parts of Kentucky
and Tennessee and the northern half
of Mississippi. Each of these States
is represented by a director on the
hoard of the bank.
C. H. Handerson, President of the
Financial Advertisers’ Association, has
been elected Assistant Vice-President
of the Union Trust Company, Cleve
land, which he has served for a number
of years as advertising manager. This
election is in recognition of Mr. Handerson’s work in handling the institu
tion’s advertising. Mr. Handerson has
been prominent in advertising for
many years, and at the last convention
of the Financial Advertisers’ Associa
tion he was elected to head that body.
In addition to his new duties Mr. Han
derson will continue to handle the ad
vertising of the Union Trust Company.
T he
recent
sta tement
of
condition
of the Guaranty Trust Company of
New York shows total resources in ex
cess of $739,834,000. Capital, surplus
and undivided profits are more than
$50,958,000, and deposits are more than
$604,960,000.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
“What character do you have in the
second act?”
“ I’m not supposed to have any char
acter; I’m in the chorus.”
A pro minent daily newspaper in dis
cussing the subject of bank protection,
says, “The way to prevent bank fail
ures is not to guarantee deposits, but
to subject banks to frequent and thor
ough examination.” With this state
ment I am in hearty accord. The first
thing to make this possible, however,
will have to be an additional appropri
ation by the various state legislatures
so that the banking departments can
hire more bank examiners and pay all
of them better salaries. Good bank ex
aminers after they have worked a year
or so usually sell their services to city
banks for a much larger remuneration
than they are receiving from the bank
ing departments.
If the states are to keep competent
men as bank examiners they will have
to compete in salaries with the large
financial institutions.
Collateral Trustee Shares of the
NEW ENGLAND INVESTMENT TRUST, Inc.
(Federal National Bank of Boston—Trustee)
are offered by investment bankers in 43 cities throughout
the United States and Canada
Secured by listed stocks of 80 leading
American corporations
Dividends in 1926 over 8 % on the present selling price
W rite fo r Circular M W
NEW ENGLAND INVESTMENT TRUST, Inc.
19 W EST 44th STREET, NEW YO RK
Boston
Springfield
B u yin g and Selling
Sound B on ds
BOND DEPARTM ENT
U
n
i o
n
T
r
o r
u
s
E a s t
t
C
o
S t .L o u i s
m
p
a
n
y
24
Mid-Continent Banker
STATE
A ttr a c tiv e In v estm en ts
j
Birmingham Water Works Co.
1st Mtg. 54£s due October, 1956
.
.
.
Citizens Water Co. of Washington
1st Mtg. 5J/2S due July, 1951
Houston Gulf Gas Co.
1st Mtg. ôj^s due January, 1931
Michigan Home Telephone Co.
1st Mtg. 6s due November, 1946
.
.
.
New Jersey Water Co.
1st Mtg. 5s due August, 1950
.
.
.
New Rochelle Water Co.
1st Mtg. 542 s due November, 1951 .
Peoria Water Works Co.
1st and Ref. Mtg. 5s due August, 1950
Southwestern Public Service Co.
1st Mtg. 6s due July, 1945 .
.
.
.
Texas-Louisiana Power Co.
1st Mtg. 6s due January, 1946
.
.
.
Union Gas Corporation
1st Mtg. 61-^s due April, 1936
.
.
.
Allerton Cleveland Bldg.
1st Mtg. Leasehold 6J^s due May, 1945
Back Bay Post Office
1st Mtg. Fee 5J^s due April, 1936
.
.
.
Bankers Bldg.
1st Mtg. Leasehold 6J^s due June, 1951
Broadway Motors Bldg.
1st Mtg. Leasehold 6j/£s due Febuary, 1948
165 Broadway Bldg.
1st Mtg. Fee 5J^s due August, 1951
Transportation Bldg.
1st Mtg. Leasehold 6J^s due November, 1941
Varick Station Post Office
1st Mtg. Fee 6s due August, 1941
Wabash-Monroe Bldg.
1st Mtg. Leasehold 6J^s due September, 1949
Stevens & Thompson Paper Co.
1st Mtg. 6s due September, 1942
.
.
.
Province of Mendoza, Argentine
External Secured 7^2S due June, 1951
Yielding About
.
5.40
7.35
.
5.83
.
5.30
5.40
5.50
.
6.00
.
6.00
.
6.38
6.50
.
170 W. Monroe
S t.
5.95
5.50
6.45
5.70
6.30
.
&C
Q, INC.
42
C H IC A G O
C e d a r S tre e t
6.40
7.50
N A T IO N A L
(Continued from Page 13)
They said this overwhelming inva
sion of State sovereignty is not war
ranted by any express clause or grant
in the Constitution, and never was
imagined by any State that adopted and
ratified that Constitution.
Said Chief Justice Marshall:
“ M ay the State of
t h a t branch, w ith o u t
Constitution?”
M aryland tax
violating the
“ T h a t the pow er to t a x involves th e
power to destroy; t h a t the power to
destroy may defeat and ren der use
less the power to create; t h a t there
is a plain repugnance in conferring
on one g overn ment the power to de
stroy w h a t the oth er creates, are
propositions not to be denied.”
In conclusion, the Chief Justice said:
“ The Court has bestowed on this
subject its most deliberate considera
tion. T h e result is a conviction t h a t
the States have no power, by ta x a
tion or otherwise, to retard, impede,
burden or in any m an ner control, the
operations of the Constitutional laws
enacted by Congress to c a rry into
execution the powers vested in the
general g overn m ent.”
The Act of Maryland taxing the branch
bank of the United States was then
declared to be unconstitutional and
void. Thus the states may not tax the
bonds or other obligations of the United
States, nor the instrumentalities or
agencies through which it operates.
WHY
M A K E IT A C R IM E TO O W N
B A N K STOCK?
N E W YO RK
S t. L o u is O ffice:
1103 Boatmen’s Bank Building
T e le p h o n e G A rfield 3840
S t. L o u is
DEPENDABLE SERVICE
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
5.35
6.50
Complete information regarding any of the above
securities will be furnished without obligation
P. W. CHAPMAN
5.15%
T A X A T IO N
OF
BANKS.
INVESTMENT
SECURITIES
(Continued on Page 12)
pose to penalize you.” An under-cur
rent of thought along this line is evi
dent in nearly every public message
from any advocate of guaranty legisla
tion.
Is this justifiable on the facts? Is it
true that we are or have been in bad
company? Have bankers as a class
(including those whose banks are now
insolvent) been proved incompetent?
I doubt it. Bank failures since 1918
represented less than ten per cent of
the total bank deposits in the middle
western states. There has been and
will be a recovery of a respectable
portion of those deposits through divi
dends to depositors.
A Diffe rent Picture.
G. H. WALKER & CO.
BR O A DW A Y AN D LO CUST
S T . L O U IS , M O .
Suppose, now, that all the money on
deposit in these banks in 1918 had in
stead been invested in other tangible
or intangible property—in land, or farm
personalty, or in factories serving
agricultural needs. Would the shrink
age in that case have been less than
ten per cent? My guess is that it
25
St. Louis, F ebruary, 1927
would have been closer to fifty. Yet
these are the industries upon which
the business of midwestern banks was
established—these the assets behind
their bills receivable, upon which those
bills depended for payment.
The plain fact is that this region has
undergone an experience which is un
paralleled in modern times. Few of us
who are living through it realize the
significance of the deflation of agricul
tural property in relation to other in
dustries. Its duration, its extent, and
its continued severity, all taken to
gether, will render it one of the land
marks of economic history. It is easy
to borrow the spectacles of Hindsight,
and point out the past mistakes of
bankers, but how many of the critics
would have recognized the mistakes,
as such, at the time they were made?
It is rather interesting to find one
of the largest and most influential agri
cultural organizations in the neighbor
ing state lined up as an official ex
ponent of a guaranty law financed by
assessments against the banks. Inter
esting, in view of the fact that there is
hardly one closed bank today which
was not brought to insolvency by try
ing too hard to carry its farmer cus
tomers over their slough of economic
despond. We bankers know, as well as
anyone does, that the majority of the
farmers who have defaulted in the pay
ment of their bank obligations have
first exerted every reasonable human
effort to meet their notes, and that the
only reason they haven’t paid is be
cause they couldn’t. Still, the proposal
to guarantee deposits by grinding the
life out of our banking system seems
to us to come with rather poor grace
from any organization of farmers.
I like to believe—what is probably
the truth—that the advocacy by this
group of the guaranty assessment plan
was initiated by the leaders and was
not demanded by the main body of the
membership; to think, further, that
those leaders are not reliably informed
as to the inevitable effect of their pro
posal upon the banks of the state. In
answer to their proposals, it is only
necessary to point out the fact that
there should be no need of deposit
guaranty legislation, if we could enact
a legislative guaranty of farmers’
notes to banks, and that that sort of
law would be fully as reasonable as
the one they are advancing.
Foreign Securities Show
Marked Improvement
M oody's Investors' Service says in a recent issue:
“ That the American investing public is beginning
to appreciate the remarkable change for the better
in Europe’s economic, financial and political affairs
is perhaps best evidenced from the steady increase
of flotations of European issues in the American
market, and the ready absorption of such loans at
steadily declining yields. The impressive growth
in the turnover in foreign securities listed and
traded in on our markets is another indication of
the change which has taken place in the attitude
of American investors toward foreign securities.”
W e shall be pleased to send, on request, our latest Review o f
Foreign A ffairs entitled “ Future Opportunities in Foreign
Bonds in the Light o f Past Developments." This pamphlet
contains sound recommendations for investments in foreign
bonds.
BAKER, KELLOGG & CO., Inc.
A SPECIALIZED SERVICE IN FOREIGN SECURITIES
FOR BANKS AND DEALERS
iii
LO N D O N ^
West Monroe Street
Chicago
TELEPHONE RANDOLPH
0 4 15
B U E N O S*A ^R E S
Short T e rm Paper
for
Bank Investment
The Skeptic.
Nurse: “ Do you want to see the
little brother the stork brought you?”
Bobby: “Naw, I wanna see the
stork.”—Selected.
Affiliated with T he Fletcher A merican N ational Ba n k of I ndianapolis
INDIANAPOLIS
Philosophy is nothing but
tion.— Seiden.
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Federal Reserve Bank of St. Louis
Discre
LOUISVILLE
DETROIT
26
Mid-Continent Banker
N ew High Mark for W inter
Steamship Cruises
winter of 192G-27 will establish
THE
new high marks for steamship
pleasure cruises, the number of pas
sengers booked and the amount of
money to be spent by those anxious to
see the world and to obtain short re
spites from the wintry blasts that most
of the U. S. A. is heir to, according to
figures just compiled by statisticians
of the American Express Company.
Frederick P. Small, president of the
American Express Company, has just
issued a statement showing that fifty-
seven cruises by palatial ocean liners
are scheduled to leave on tours rang
ing from eighteen days to four months
during the coming winter under the
auspices of steamship and tourist com
panies. Six of these steamships will
make world voyages, twenty-four will
sail for the Mediterranean, twenty-four
others will visit the West Indies and
three will go to South America and
South Africa.
“ This is a veritable armada of pleas
ure ships, equal in tonnage to some of
FID ELIT Y -M EA N S-K EEP IN G -FA IT H
Trustworthy
Before an individual is admitted to business partnership, his
trustworthiness is established.
We suggest that you apply the same principle in selecting a
first mortgage real estate bond house, whether for your own
funds or for those of clients. Choose an institution with a
proved record of integrity, conservatism and experience. For
these determine the true value of your investment and its
safety.
This company invites every prospective purchaser of Fidelity
td/2 % Guaranteed Bonds to investigate first the House Behind
the Bonds. A list of Fidelity Issues will gladly be mailed upon
request.
Denominations $ 10 0, $ 5 0 0 and $ 1 0 0 0
F id
X
e l it y
BOND ^MORTGAGE C0. X
J.U . M EN TEER .Prpiirfm r
c-^>
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 navies of the world,” declared Mr.
Small, in speaking of the elaborate
plans that have been worked out dur
ing the last six months to take care
of the tourists who have thus far
booked. At the present rate there will
be 24,100 bookings for the fifty-seven
pleasure jaunts. These figures, the
American Express Company’s official
believes, may be greatly augmented
during the next few months. A con
servative estimate made by experts of
the American Express Company shows
that approximately $25,000,000 will be
spent by tourists for accommodations.
This sum is exclusive of such personal
items as tips, laundry, mineral water,
wines or personal expenditures of the
head of the family in providing “just
what is needed” for traveling.
Accountants compiling figures of the
various cruises submitted their approx
imate totals to Mr. Small, covering all
expenditures of the 24,100 globe trot
ters aboard the fifty-seven steamships
and the grand total shows that $75,000,000 will change hands this winter.
“ Looking back to 1919,” said Mr. Small,
“one
appreciates
the
tremendous
strides made in the winter pleasure
cruising end of the steamship business.
The American Express Company in
conjunction with Thomas Cook &
Sons, seven years ago undertook a
hazardous adventure for that time, in
sending the Cunarder “ Caronia” to the
Mediterranean on the first large cruise
of its kind after the war. It was a
decided success, nevertheless, and
since that momentous occasion the
winter cruise business has been almost
fabulous, with this season exceeding
all previous records.
“ I am sanguine enough to predict
that next year will show a still more
decided increase.
M ake Reduction in Internal
Public Debt of Italy
According to a cable received by the
National Bank of Commerce in New
York from the director general of the
Italian Treasury at Rome, measures
taken by Count Yolpi, the minister of
finance, have reduced the internal pub
lic debt of Italy from 91,309 million
lire on June 30, 1926, to 89,860 million
lire on July 31, 1926. Of this reduc
tion of 1,449 million lire in a single
month, 848 millions resulted from the
anticipation of 4% per cent redeem
able bonds, and the remaining 601 mil
lion lire comprised ordinary treasury
bonds discounted before maturity.
These transactions were accomplished
through surplus funds in the budget.
Measures, not men, have always been
my mark.—Goldsmith.
St. Louis, February, 192’,
27
A PARTIAL LIST OF CURRENT OFFERINGS
Co ff in . F o r m a n & C o m p a n y ,
Ge or ge M. F o r m a n & Co.
Inc.
W i l l i a m R. C o m p t o n Co.
H a l s e y , S t u a r t & Co., Inc.
O fferin g $750.000 St. L ou is Join t S tock
L an d B an k 5% B onds,
D ated Ja n u a ry
1, 1927. O ptional Ja n u a ry 1, 1937. D u e
Ja n u a ry 1, 1957. P ric e 103.50 and in ter
est., to yield 4.55% to op tion al date and
5% th ereafter.
Offering- $1,000,000 N orth A m e rica n Car
C orporation T en Y e a r 6% S inkin g F und
C on v ertib le Gold N otes.
D ated D e c e m
ber 1, 1926. P i'ice 99% and a ccru e d in
terest to yield a b o u t 6.05%.
A l d r e d & Oo.
H a r r i s T r u s t & S a v in g s B an k,
Bankers T ru s t Company, N. Y.
M in s c h , M on el l & Co., !nc.
F i r s t N a t i o n a l C o r p o r a t io n , Boston.
J. P. M o r g a n & Co.
T h e National C ity Com pany.
O fferin g $27,000,000 G overn m en t o f th e
A rg en tin e
N a tion
E x tern a l
S inkin g
F und 6% Gold B onds.
D ated F eb ru a ry
1, 1927. D ue F eb ru a ry 1, 1961. Offered
fo r su bscrip tion at 98% % an d a c cru e d
interest, to yield o v e r 6.10% to m atu rity.
O fferin g $10,000,000 In tern ation a l P o w e r
S ecu rities C orporation 7% S ecu red Gold
B onds, S eries E.
D ated F e b ru a ry 1,
1927. Duie F e b ru a ry 1, 1957. P r ic e 96%
an d interest, to yield 7.30%.
B onbright &
Company.
O fferin g $15,000,000 E le ctric B on d and
Share C om p an y 6% C um ulative P re fe rre d
Stock, fr e e from p resen t norm al F ederal
In co m e tax. P ric e $107.50 per sh are an d
a ccru e d d ivid en d s fro m F e b ru a ry 1, 1927,
to yield 5.58%.
A.
C.
A llyn
and
Company.
O fferin g $1,684,000 F lorid a P u b lic S erv ice
C om p an y F irst M ortg a g e 6% Gold B onds,
S eries “ B .”
D ated A p ril 1, 1925. D u e
A p ril 1, 1955. P ric e 100 an d a ccru ed in
terest, to yield 8%.
A l e x B r o w n & Sons.
H a r r i s T r u s t & S a v in g s B a n k .
B r o w n B r o t h e r s &. C o m p a n y .
Lee, H ig g in s o n & Co.
N ational C ity Company.
G u a r a n t y C o m p a n y of N . Y .
O fferin g $20,000,000 F ederal L a n d B an k
4%.% Bonds. D ated J a n u a ry 1, 1927. D ue
Ja n u a ry 1, 1957.
P r ic e 100% and in
terest, to yield o v e r 4.15%.
H a l l g a r t e n & Co.
Kissel, K i n n i c u t t & Co.
H a l s e y , S t u a r t & Co.
W m . FI. C o m p t o n C o m p a n y .
O fferin g $3,000,000 M u n icip ality o f M edel
lin, Departm ent, o f A n tioqu ia , R ep u blic
o f C olum bia, T w e n t y -F iv e -Y e a r E x tern a l
7% Secured G old B on d s o f 1926. D ated
D ecem b er 1, 1926.
D ue D ecem b er 1,
1951.
P r ic e 93% an d a ccru ed interest,
to y ield o v e r 7.60%.
M e r r i l l , L y n c h & Co.
H e m p h i l l , No y es & Co.
O fferin g $5,000,000 M cC ro ry S tores C o r
p ora tion C on vertible 6% C u m u la tive P r e
ferred S tock. P a r V alu e $100. P ric e $100
p er sh are and a ccru e d dividend.
H a y d e n , St o n e & Co.
H a r r i s o n , S m i t h & Co.
W i l l i a m R. C o m p t o n C o m p a n y .
O fferin g $4,136,000 Georgia, & F lo rid a
R a ilroa d F irs t M o rtg a g e 20-Y ear 6% Gold
B onds, S eries N o. A .
D ated N ov em b er
1, 1926. P ric e 98 an d interest, t o yield
o v e r 6.17%.
B l a i r & Co., Inc.
F e d e r a l S e c u r it ie s C o r p o r a t io n .
B l y t h , W i t t e r & Co.
H . M. B y l le s b y & Co.
P y n c h o n & Co.
W e s t & Co.
A . B. Le a c h & Co., Inc.
F letch er A m erican Company.
John N i c k e r s o n & Co.
W . S. H a m m o n s & Oo.
O fferin g $12,000,000 Indian apolis P o w e r &
L ig h t C om p an y 6% % C u m u la tive P r e
ferred Stock. P r ic e 98 an d a ccru e d d iv i
dend, to yield o v e r 6.63%.
J. & W . S e li g m a n & Co.
H a l l g a r t e n & Co.
H a y d e n , Sto n e & Co.
C ha s. D. B a r n e y & Co.
Jac k s on & C u r t is .
H e m p h i l l , N oy es & Co.
K n i g h t , D y s a r t & G a m b le .
O fferin g 415,000 sh ares V ic to r T alk in g
M ach in e C om p an y C om m on S to ck (n o
p a r v a lu e ).
S to ck o ffered fo r su b scrip
tion a t $38 per share.
S p e y e r & Co.
J. & W . S e li g m a n & Co.
H a l l g a r t e n & Oo.
H a y d e n , Sto n e & Co.
C has . D. B a r n e y & Co.
J ac k s on & C u r t is .
H e m p h i l i . N oy es & Co.
K n i g h t . D y s a r t & G a m b le .
St ifl e, N ic o la u s & Co., Inc.
O fferin g $16,500,000 V ic to r T a lk in g M a
ch in e C om p an y 7% C u m u la tiv e P rio r
P re fe re n ce S tock. S to ck o ffe re d fo r s u b
scrip tion a t $98 p e r share.
Offering the Oldest Form o f
Safe S ecu rities
First mortgages secured by real estate existed
thousands of years before the Christian era.
The oldest form of safe investment they are also the sound
est. This is borne out by the fact that state laws permit
banks, and other corporations that demand safety, to invest
70% of their funds in securities such as Mortgage & Securi
ties sponsor.
Our books show that over three hundred eighty-five banks
and insurance companies regularly buy our offerings.
B l a i r <&, Co., Inc.
H a l l g a r t e n & Co.
O fferin g $8,000,000 C aliforn ia P etroleu m
C orp oration T w e lv e -Y e a r C on v ertib le 5%
S inkin g F u n d Gold D eben tu res.
D ated
F e b ru a ry 1, 1927. C on v ertib le a t option
o f h o ld e r into Common, sto ck o f th e c o r
p ora tion at p rice s ra n g in g fro m $40 to
$50 p er sh are a c c o rd in g to d a te o f c o n
version .
P rice o f d e b e n tu re s: 96% and
interest, to y ield 5.40%.
S p e y e r & Co.
J. & W . S e li g m a n & Co.
H a l l g a r t e n & Co.
H a y d e n , Sto n e & Co.
C ha s. D. B a r n e y & Co.
Jac k s on & C u r t is .
H e m p h i l l , N o y e s & Co.
K n i g h t , D y s a r t & G a m b le .
O fferin g 95,000 shares V icto r T a lk in g
M ach in e C om p an y $6 C um ulative C o n
v e r tib le P re fe rre d S tock. E ach sh are o f
C on v ertib le P re fe rre d S to ck w ill b e c o n
v e rtib le a t a n y tim e a fte r O ctob er 1,
1927, into tw o sh ares o f co m m o n stock ,
w ith ca sh a d ju stm e n t fo r dividends.
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Federal Reserve Bank of St. Louis
Write fo r our current list of offerings.
Mortgage 6P
Securities Co.
FNfew Orleans
*<SamtUs>o
28
Mid-Continent Banker
L ib e rty Central T ru s t Company.
C hi c a go T r u s t C o m p a n y .
J ohn N ic k e r s o n & Co.
First National Bank, N. Y.
H a l s e y , S t u a r t & Co.
O ffering1 $500,000 L ou isian a Ic e an d U tili
ties, In c., F irst M ortg ag e Gold B ond s
C on v ertib le 6% S eries A .
D a te d A p ril
1, 1926. D ue A pril 1, 1946. P r ic e 98 an d
a ccru e d interest, to yield ab ou t 6.20%.
B i t t i n g & Co.
L a f a y e t t e - S o u t h Side B a n k .
O fferin g $550,000 C razy W a te r H otel
C om pany, M ineral W ells, T ex as, F irst
M ortg a g e 6% Serial B onds, D ated M ay
1, 1926.
P ric e s to yield 5% to 6% a c
c ord in g t o m atu rity.
C. S t e i n b e r g &
Co.
O fferin g 2,701 shares Southern
C om pan y, D es M oines, Iow a,
Stock.
H a l s e y , S t u a r t & Co.
M i n n e s o t a L o an & T r u s t
S urety
C apital
Co.
O fferin g $2,000,000 N ation al P ole & T re a t
in g Co. F iv e -Y e a r 6% Gold N o te s (closed
issu e ).
D ue D e ce m b e r 1, 1931.
P rice
99 and interest, y ie ld in g a b o u t 6.25%.
As
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
L ib e rty Central T r u s t Com pany.
G. L. O h r s t r o m & Co.
O fferin g $6,500,000 P eop les L ig h t an d
P o w e r C orporation F irst L ien 5 ^ % Gold
B onds, S eries o f 1941.
D ated Ju ly 1,
1926.
P ric e 97 an d in terest to yield
o v e r 5.80%.
Chemical National Elects
Two New Directors
C a l d w e ll & C o m p a n y .
W . S. A a g a a r d & C o m p a n y .
M ark
O fferin g
$14,500,000
C ity
of
D etroit,
M ich igan, v a rio u s 4}4% and 4% % bonds.
D u e serially Ja n u a ry 1, 1928-57, in clu
sive.
P riced to yield 4% to 4.15% a c
c o rd in g to m atu rity.
At the annual meeting of the share
holders of the Chemical National B'ank,
held January 11, Robert Goelet and
Lammot DuPont were added to the
Board.
Robert Goelet is a prominent real es
tate owner and operator of New York
Business “Speeds
”
Here are important facts:
1. T od a y, in th is co u n try w ith its
17.000. 000 telephones, there are
70.000. 000 telephone conversations
daily. A large part o f these deal
with business matters.
2. It takes only about thirty seconds,
on an average, to establish business
contacts by telephone.
This tremendous number o f calls, with
the rapidity o f their completion, is not
only an indication o f the way modern
business has “ speeded up” , but is also a
reflection o f the part played by the
telephone in the speeding up process.
Gathering speed, American business has
required speed from the agencies which
serve it, and help to make it great. The
telephone has kept— if indeed it has not
set—the pace.
This nation-wide service and the facilities
that make it possible underlie Bell System
Securities.
This investment stock can be bought in the
open market to yield a good return. W rite
for booklet, “ S o m e F i n a n c i a l F a c t s .”
BELL TELEPHONE
SECURITIES CO. Inc.
iq 5
D .E Houston, President
Broadway
NEW YO RK
City. Members of the Goelet family
were active in the early development of
the bank. He is the fourth of his fam
ily to serve on the Board. His cousin,
Robert Walton Goelet, is a member of
the Board at the present time.
Lammot DuPont is president of E. I.
DuPont De Nemours & Co. The Du
Pont family have been customers of the
Chemical Bank continuously for 100
years.
This makes a total of 36 directors
that have served the Chemical Bank
during its career of 102 years.
Frederic W. Stevens begins his 56th
consecutive year of service as a mem
ber of the Board of Directors of the
Chemical Bank. It is believed he holds
the record among bank directors for
length of service.
The shareholders ratified the $500,000
stock dividend recommended by the
Board, which brings the total capital of
the bank to $5,000,000. Surplus and un
divided profits are $19,000,000.
Announce Organization of
Norwine & Company
Announcement has been made of
the organization of W. H. Norwine &
Co., Inc., dealers in investment bonds,
with offices in the Planters building,
St. Louis.
W. H. Norwine, formerly St. Louis
manager for the Commonwealth Bond
Corporation, and more recently asso
ciated with the sales organization of
Caldwell & Co., is president of the new
company, and A. D. Jenkins, formerly
St. Louis manager for the American
Bond and Mortgage Company, is secre
tary-treasurer.
The new company will deal exclu
sively in the underwritings of old es
tablished bond houses, offering mu
nicipal, industrial and public utility
bonds. The company will also main
tain a real estate bond department
through which it will offer collateral
trust and first mortgage real estate
bonds, unconditionally guaranteed as
tc principal and interest by the United
States Fidelity and Guaranty Co., the
largest indemnity company in America,
Hawes Is Named Chairman of
Clearing House Committee
Richard S. Hawes, Vice-President of
the First National Bank in St. Louis,
was re-elected chairman of the Com
mittee on Management of the St. Louis
Clearing House Association at a recent
election held by the association. Mr.
Hawes was also elected vice-president
of the association.
Neither rhyme nor reason.—Shakes
peare.
29
St. Louis, February, 192',
successes on the directorate of the Con
tinental & Commercial Banks, the elec
tion taking place in January.
P. D.
Armour, the packer, and George Getz
have also been elected to the board.
To classify the latter gentleman, it is
necessary to explain that he has the
largest private zoo in the world, that
he is a close friend of A1 Smith of
New York, and in business is a most
successful coal man.
A lo n g L a Salle Street
—By W m. H . Maas
Ackno w ledg em ent is hereby made of
the friendly comment anent the inaugu
ration of this column last month by
bond men and bankers along the street.
The good words were sent in by let
ter, telephone and personal calls. For
all “them kind words” we are sincere
ly grateful.
W i l l i a m M c K in le y Edens is a chip off
the old block. Colonel William Grant
Edens, vice-president, Central Trust,
may well he proud of the young man.
He spent the holiday season in Chi
cago, returning a few days, ago to re
sume his studies in finance at the'
Harvard School of Business Adminis
tration. He was formerly affiliated
with the National Bank Examiner’s
Office, working out of Chicago.
-
----- =
St. Louis and Chicago bankers A R E
the best of friends, socially as well as>
financially. When Festus J. Wade, Jr.,
was married a few days ago, an inter
esting group of Chicagoans were in at
tendance at the wedding at the St.
Louis Country Club. Stuart Otis of the
Central Trust was one of the ushers.
New
W h a t does a bank robber look like?
Ask W. E. (Bill) Rowens, Jr., assistant
manager of the Protective Department,
Illinois Bankers Association.
Bill
makes regular visits to the state penal
institutions at Pontiac, Joliet and Ches
ter, specializing in a study of the boys
who tried to make big hauls from some
honors have a w ay of shower
ing down on successful
torious fashion. Charles
shall Field, Glore, Ward
the youngest member of
men in meri
Glore, of Mar
& Co., is now
that galaxy of
N A T I O N A L in
George W o od ru ff made another mas
ter stroke last month when he enlisted
the services of Ray McNally, the most
popular young banker in Missouri, who
has since been elected a vice-president
and director of the National Bank of
The Republic. Ray’s achievements
would more than fill this column and
he will make a most valuable acquisi
tion to the City of Go.
As a m a tte r of fact, this bit of news
is a co-incidence in view of reference
made here last month concerning a
group of stars in the banking district
of St. Louis who have moved to Chi
cago during the past several years.
These changes, togeth er w ith
oth er
The following list o f National City investment offices
gives in fewest possible words our conception o f nation
wide service. Current bond quotations, investment
advice, investigated offerings— these are available at
the office nearest vou.
activities, are all tending to bring the
two big cities of the Middle West even
closer together. Only a short while
ago, the railroads clipped off a lot of
time in their schedules until now the
distance is made in six and one-half
hours. The Illinois Bell Telephone
Company have also announced that
their new cable, joining Chicago and
St. Louis, is opened. It was con
structed over a period of two years.
It makes possible more than 250 tele
phone circuits and the sending of 500
or more telegraph messages while con
versations are going on.
W a lter
C raw ford,
president
of
the
Illinois Bankers Association, thinks that
every normal person should become
rich. Speaking during National Thrift
Week, Walter asserted that measured
by the standards of 200 years ago, the
ordinary people are rich right now.
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Federal Reserve Bank of St. Louis
ALBAN Y
K A N S A S C IT Y
S A N D IE G O
ATLANTA
LO S A N G E L E S
S A N F R A N C IS C O
A T L A N T IC C IT Y
L O U IS V IL L E , K Y .
SE A TTLE
B A L T IM O R E
M E M P H IS
S T . L O U IS
BOSTON
M IA M I, F L A .
S A IN T P A U L
BUFFALO
M IL W A U K E E
TOLEDO
C H IC A G O
M IN N E A P O L IS
W A S H IN G T O N
C IN C IN N A T I
NEW ARK
W I L K E S -B A R R E
CLEVELAND
NEW ORLEANS
M ONTREAL
DALLAS
OAKLAN D, CAL.
TORONTO
DAVENPORT
OMAHA
LONDON
DENVER
P H IL A D E L P H IA
AM STERDAM
D E T R O IT
P IT T S B U R G H
COPENH AGEN
HARTFORD
PORTLAND, M E.
GENEVA
H OUSTON
PORTLAND, ORE.
T O K IO
IN D IA N A P O L IS
P R O V ID E N C E
SH A N G H A I
JA C K S O N V IL L E , F L A .
ROCHESTER
The National C ity Company
National City Bank Building, New York
BONDS
'
SHORT
TERM
NOTES
* ACCEPTANCES
30
Mid-Continent Banker
of your institutions at the point of a
gun. He has had heart-to-heart talks
with about forty of this type of crim
inal during the past six months.
W i t h the annihilation of distance and
long trips being figured these days in
terms of minutes rather than miles,
busy bankers think nothing of a brief
holiday even on foreign shores. A. K.
O. Cochrane, Union Trust Company,
Chicago, is hack on the job after a
fortnight in London. Mrs. Cochrane
remained for a more extended sojourn.
La Salle Stre e t was about to stage
an impromptu Douglas Fairbanks wel
come last week. It was found, how
ever, that the agile actor was apparent
ly still in Hollywood and that the Chi
cago visitor who is his “ double” was
none other than Sam A. Zeigler, the
well known prexy of the Albion, 111.,
National Bank, who came on to attend
the Illinois Bankers Association mid
winter dinner at the Palmer House.
The
Ch ath am
Phenix
Natio nal
of
New York have appointed a very ca
pable representative in the Middle
West in the person of Frank J. Deni
son, assistant vice-president, whose
acquaintance we acknowledge since his
arrival in the Chicago territory.
T r i b u t e is herew ith paid to the mem
ory of a former employer, the late
Honorable David R. Francis, St. Louis,
who passed on to the Great Beyond a
few days ago. His fine old investment
banking house of Francis, Bro. & Co.
is entering its golden jubilee of serv
ice, having been founded in 1877.
Banker, diplomat and statesman, his
long and enviable career included be
ing mayor of his city, governor of his
state, chairman of the World’s Fair
board and ambassador to Russia.
Announce Organization of
Gatch Bros. & Co.
General Motors
Acceptance Corporation
Executive Offices:
250 West 57th Street, New York City
9H E obligations of this institution are select
ed as appropriate and sound mediums for
short term investment by a large banking clientele.
They may be obtained in convenient denomina
tions and suitable maturities.
7
DIRECTORS
Alfred II. Swayne,. Chairman -— - Vice President, General
Motors Corporation
Curtis C. Cooper. . . President
Albert L. Deane. . . Vice President
Pierre S. duPont. . . Chairman, General Motors Corporation
and E. I. duPont de Nemours & Co.
Lammot duPont. . .Finance Committee, General Motors
Corporation.
0. II. P. LaFarge. .General Motors Corporation
Seward Prosser .
. . .
Chairman, Bankers Trust Company
New York
John J . Raskob. . . .C h airm a n , F in a n ce C om m ittee,
General Motors Corporation
Alfred P. Sloan, Jr. President, General Motors Corporation
Chemical National Elects
Six New Officers
Charles E. Meek, formerly assistant
vice-president of the American Ex
change National Bank, was elected as
sistant vice-president of the Chemical
National Bank at a recent meeting of
the board of directors of the latter in
stitution. Meredith Wood, formerly
assistant cashier of the Chemical Na
tional, was elected assistant vice-pres
ident.
Gilbert Yates, Gilbert H. Perkins,
and Wandell M. Mooney were elected
assistant cashiers of the Chemical,
and R. A. Coile was elected assistant
manager of the Madison Avenue
office.
Directors of the Division State Bank,
Chicago, 111., have declared an extra
dividend of 4 per cent payable January
1 to stockholders of record December
15. This in addition to the regular
dividend of 6 per cent paid this year
makes a total distribution of 10 per
cent for 1926.
JohnJ. Schumann, Jr. Vice President
Donald M. Spaidal. Vice President
Statement Envelopes
Safety Pay Envelopes
H E C O — C H IC A G O
H E C O —C H IC A G O
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Federal Reserve Bank of St. Louis
Announcement has been made of the
organization of Gatch Bros. & Co., deal
ers in investment securities with offices
in the Planters building, St. Louis.
Members of the firm include Calvin
F. Gatch, who for the past seven years
has been associated with William R.
Compton & Co., and Nelson B. Gatch,
who has lived in New York for the past
ten years, where he has recently been
associated with Hemphill, Noyes & Co.
Prior to his connection with Hemphill,
Noyes & Co., Nelson B. Gatch was as
sistant vice-president of the Chicago
Pneumatic Tool Co.
The new company will handle a gen
eral line of high grade securities, both
stocks and bonds.
To scorn philosophy
philosophize.—Pescai.
is
truly
to
31
St. Louis, February, 1927
Olive Street Notes
T o m Dy sart of Knight, Dysart & G am
ble and John Longmire, vice-president
and bond officer of the Mississippi Val
ley Trust Company, spent a few days
during the forepart of last month as
guests of S. Davies Warfield, president
of the Seaboard Air Line Railroad,
aboard the “ Orange Blossom Special,”
which made a trip from New York to
Florida, traversing the new extensions
of the road from Miami and Fort My
ers to Naples on the West Coast. J.
Hugh Powers, vice-president of the Mer
cantile Trust Company, was also an in
vited guest, but at last accounts was
unable to accept the invitation.
the new company are in the Planters
building.
W illiam
R. Compton
Figures announced by the St.
Louis
Clearing House substantiate the general
impression “ business as usual.” Clear
ings last year amounted to $7,631,800,000
compared with $7,626,600,000 in 1925 and
$7,174,033,847,000 in 1924.
Calvin F. Gatch and Nelson B. Gatch
have announced the organization of
Gatch Bros. & Co., investment security
dealers with offices in the Planters
building. Calvin was formerly with
William R. Compton & Co., and Nelson
was! formerly with Hemphill, Noyes &
Co.
F ra n k
H a m ilton ,
Jr.,
is now
secre
tary of Aid & Company. His promotion
came at the first of the month and he
has been busy receiving congratula
tions from his many friends since that
time. Frank is a familiar figure at Mis
souri group meetings and conventions
and has a host of friends throughout
the Mid-Continent territory. He spent
a number of years traveling for invest
ment houses in Missouri, Illinois, Ar
kansas, Kansas, Texas, Louisiana and
the southwest territory.
W.
H.
Norw ine, fo r m e rly w ith
Cald
well & Company, and A. D. Jenkins,
formerly manager of the St. Louis of
fice of the American Bond & Mortgage
Company, have announced the organiza
tion of W. H. Norwine & Co., Inc.,
dealers in investment bonds. Offices of
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
have
W i l l i a m C. Morehead has been elected
a member of the firm of Smith, Moore
George
B. Groves is now associated
with the sales organization of William
R. Compton Co. Mr. Groves has been
connected with the sales organization
A
C o m p le te E q u ip m en t
T he is & Die ste lkamp Inv e s tm e nt Co.,
with offices in the La Salle Building,
have announced the change of the firm
name to Albert Theis & Sons, Inc. Mr.
Diestelkamp was obliged to retire from
the firm about a year ago, due to ill
health, and he has not been interested
in it financially since that time.
Company
announced the opening of an office in
Atlanta, Georgia, under the manage
ment of Marshall J. Wellborn and John
D. Wellborn.
& Co. Mr. Morehead has been con
nected with Smith, Moore & Co. in an
executive capacity for the past two
years. At one time he was associated
with the late Henry C. Scott in the
development of his power enterprises.
After the death of Mr. Scott he moved
to Milwaukee, where he became presi
dent of a boat building concern, in
which capacity he remained until he
returned to St. Louis two years ago.
fo r In v e s tm e n t S erv ice
A Diversified hist o f Offerings
D IR E C T O R S
—the securities which we offer have been
purchased for our own account after most
careful consideration of their safety and
necessary marketability.
A. W ATSON A RM O U R
Vice-President, Armour &. C o ,
Director, Northern Trust C o ,
Chicago
A
W M . V. KELLY
President, Miehle Printing Press
and Mfg. C o.
Director, Continental Sc
Commercial National Bank
A n Experienced Personnel
A
—seasoned by practice over many years
and in many changing markets.
R O B E R T P. L A M O N T
President,
American Steel Foundries
Director,
International Harvester C o,
Director,
Montgomery W ard St. C o.
Director,
First National Bank, Chicago
Outstanding Industrial
and Financial Advisors
—our directors, whose industrial and
financial activities are nation-wide, af
ford us the finest sources of informa^
tion and advice.
H
C L IF F O R D M . L E O N A R D
President,
Leonard Construction C o.
Director,
First National Bank, Chicago
A,
GEORGE A . RANNEY
A S tatistical a n d In
form ation Department
Vice-President and Treasurer,
International Harvester C o.
Director,
Union Trust C o ., Chicago
—equipped to analyze accounts and am
swer all questions relating to investment
problems.
A
A. A. SPRAGUE
Chairman,
Sprague, Warner Sc Co.
Director,
Illinois Merchants Trust Co.
Nation-wide Connections and
an A lert Trading Department
-A.
RO BERT W . STEW ART
Chairman,
Standard O il C o. o f Indiana
Director, Continental <St
Commercial N ational Bank
Director,
National City Bank, New York
—a private wire service that reaches
everywhere through 36 centers gives
close contact with the principal markets
and provides unexcelled service in the
execution of orders for both listed and
unlisted securities.
■A
I. N E W T O N P E R R Y
C H A R L E S L. S T A C Y
ROBERT STEVENSON
JO H N A . STE V E N SO N
STEVENSON, PERRY, STACY &. CO.
Investment Securities
1 2 0 W e s t A d a m s Street
A R E
W
E
S E R
V I
1
Chicago
N G
Y O U ?
r '
32
Mid-Continent Banker
of William R. Compton Co. in the past,
but recently has been connected with
the securities department of Henry L.
Doherty & Co.
Sixty Days to Six Years
J. A. Pondrom, Jr., has been adm itted
to partnership in the firm of Bitting &
Co.
Charles L. K u hlm an has been elected
Because of their marketability, safety of principal
and early maturity, high-grade short term securi
ties are especially adapted to the needs of many
banks.
assistant treasurer of Taussig, Day,
Fairbank & Co., Inc. He was formerly
connected with William R. Compton Co.
T he sale of the
Caldwell & Company are able to offer such in
stitutions a widely diversified list of short term
bonds—municipal, corporation and first mortgage.
With maturities ranging from sixty days to six
years, with safety of principal and interest as
sured, and with a nation-wide investment house
providing easy marketability, these securities
furnish banks an excellent means of employing
advantageously any temporarily idle funds.
A note on your bank's letterhead
w ill bring our selected listings.
Seats
Caldwell & Com pany
Southern Securities
117 North Fourth Street
Louisiana Pulp and
Paper Company to Bond & Goodwin,
New York bankers, at a reported price
of more than $8,000,000 cash, represents
one of the largest financial transactions
handled in St. Louis in recent years.
J. L. Johnston, former president of the
Liberty Central Trust Company and
now a partner in Bond & Goodwin, pur
chased the stock and outstanding secur
ities of the paper company for the New
York banking firm. Mr. Johnston said
that the paper company would probably
be resold to the International Paper
Company of New York.
St. Louis, Missouri
OFFICES IN PRINCIPAL CITIES
on
the
New
York
Stock
Ex
change, limited to 1,100, now have an
estimated value of more than $200,000,000. The last sale of a seat on the
Exchange involved a consideration of
$185,000 and it is forecast that the next
sale will involve a sum approximating
$200,000. Those in St. Louis owning
seats on the exchange are: I. M.
Simon & Co., Mark C. Steinberg, Albert
N. Edwards, G. H. Walker, Harry F.
Knight, J. D. Perry Francis, Paul Brown
and Oliver J. Anderson.
Plin y Jewell, president of the Invest
Lawrence Stem and Company
231 South La Salle Street • Chicago
B OARD OF DIRECTORS
J O H N H E R T Z , Chairman of the Board of
W IL L IA M W R IG L E Y , JR.. Chairman of
Y ellow Truck A Coach Manufacturing C o.
the Board o f W illiam W rigley Jr. Company
JO H N R . T H O M P S O N , Chairman ofthe
H E R B E R T L. S T E R N ,
Board o f John R . Thom pson Company
President
of
Balaban A Katz Corporation
A L B E R T D . L A S K E R , Chairman o f the
Board o f Lord A Thom as and Logan
A L F R E D E T T L IN G E R , Vice President
S T U Y V E S A N T P E A B O D Y , President
JOSEPH J. R IC E , Vice President
of the Peabody Coal Company
C H A R LE S A . M cC U L L O C H , President
L A W R E N C E ST E R N , President
of Parmelee Company
§
This company conducts a general securities business,
originating and participating in high-grade investment
issues and devoting special attention to first mortgage
real estate bonds.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ment Bankers Association; Alden H.
Little, executive secretary of the asso
ciation, and Harry Rascovar, publicity
representative, made a short visit to
St. Louis recently to attend a meeting
of the Mississippi Valley Group of the
Investment Bankers Association of
America. Mr. Little said that it seemed
right good to step along the sidewalks
of Olive street and visit with his
friends.
An nouncem ent has been
made
th a t
the partnership of Francis, Bro. & Co.,
as heretofore conducted, will be con
tinued by the following as partners: J.
D. P. Francis, D. R. Francis, Jr., Talton
T. Francis, Thomas H. Francis, C.
Henry Hiemenz and John E. Riley.
Philosophy triumphs easily over past
evils and future evils, but present evils
triumph over it.—La Rochefoucauld.
St. Louis, February, 1927
33
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
D IR E C T T IC K E R SE R VIC E
for listed bond quotations
F A S T T H R O U G H W IR E S
to New York and every
other important market
A C T IV E T R A D IN G D EPT.
to furnish prompt quota
tions on any security
S T A T IS T IC A L
Hamilton Now Secretary of
Aid & Company, Inc.
Aid & Co., Inc., investment bankers
with offices in the Security building,
St. Louis, have announced the election
of Frank H. Hamilton, Jr., as secretary
of the company.
Mr. Hamilton, who has been in the
investment business in St. Louis since
1915, is well known to the bankers in
the Mid-Continent territory. He was
born in St. Louis and received his edu
cation at Smith Academy.
He entered the investment business
in 1915, and, prior to his connection
with Aid & Co., he was associated with
DEPARTMENT
to furnish latest data on
any security or company
ESTABLISHED 1877
M O N T H L Y Q U O T A T IO N SH EET
to list markets on many
inactive stocks and bonds
Y ou r inquiries incited
L IS T E D
BONDS
Bldg.
Jefferson
ST . L O U IS
M em bers N ew York. Stock Exchange
M em bers St. L o u is Stock E xchange
Frank H . H am ilton, Jr.
A. G-. Becker & Co., and later with
Geo. H. Burr & Co., traveling for these
two companies in Missouri, (Illinois,
Arkansas, Kansas, Texas, Louisiana,
Alabama, Mississippi, Tennessee and
Kentucky.
Mr. Hamilton is a member of the
Racquet Club and of the Sunset Hill
Country Club.
Chase National Resources
Total $968,967,312
Advertise in
the Mid - C ontinent
Banker
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The Chase National Bank of the City
of New York in its statement of con
dition as of December 31, 1926, shows
total assets of $968,967,312, which is an
increase of $37,316,598, compared with
resources of $931,650,714 reported on
June 30, 1926. Deposits on December
31 amounted to $852,456,114, an increase
of $39,030,245, compared to deposits of
$813,425,869 on June 30, 1926. Capital
and surplus were reported as $40,000,000 and $25,000,000, respectively, and
undivided profits increased to $13,204,473 as of December 31, against $11,764,112 on June 30, 1926.
A great empire and little minds go
ill together.—Burke.
W e cure prepared to
furnish accurate quo
tations, and prom pt
executions of buying
or selling orders for
listed bonds.
The experience
acquired during our
forty-seven years in
the investment field
is also at the disposal
of our clients.
Francis, Bro. & Co.
INVESTMENT SECURITIES
214-18 N. FourthSt.
Kennedy Building
ST. LOUIS
TULSA
Mid-Continent Banker
34
Purchase Largest Group
Life Insurance Policy
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
BO N D S
M EM BERS
N EW YO R K STOCK E XC H AN G E
S T . L O U IS S T O C K E X C H A N G E
401 O live Street
G A rfield 7790
HiiiDiiiiiiiiiiMaiiiiiiiiiiiiniimiiifiiiniiiiiiiiiiiiaiiiiiiiiiiiiniiiiiiiiiiiiniiiimmiiniiiiiiiiimniiiiiiini^;
□
W e taJ^e pleasure in announcing
that
Mr. Frank H. Hamilton, Jr.
has been elected
Secretary o f this Company,
effective January 1st, 1927
Aid <3& Company, Inc.
S ecu rity B u ildin g
St. L o u is, M o .
fiimmiminmimiiiiinmimimicimmimiiQiimmiiiiniimmimciimiiiiimciiimimiiiQiimimiiiQii:
HIGH
RATES
Short Term Bank Paper
Motor Lien Participating Certificates
M a tu ritie s 3 0 D a y s to 12 M o n th s
D isc o u n t R a te s 6 % % to 7 Y f/o
P a y a b le , N e w Y o r k , N e w Orleans, D a lla s , S t. L ouis
Guaranteed by Two Companies with Net
Assets Over $1,900,000
A sk for C ircular M . B . for F u ll P articulars
PALM BEACH GUARANTY COMPANY
N e t A ssets O v er $ 1 ,3 0 0 ,0 0 0
Guaranty Building
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
West Palm Beach, Fla.
Alfred P. Sloan, Jr., president of
General Motors, announces the pur
chase from the Metropolitan Life In
surance Company of the largest group
life insurance policy ever issued in
point of number of lives insured. Gen
eral Motors has more than 100,000 em
ployes who have been on the pay roll
three months or more, and are thereby
covered by this policy, each for $1,000.
Thus the original amount of insurance
will exceed $100,000,000.
The insurance is payable at death
to a designated beneficiary, or in event
of total and permanent disability be
fore age 60 to the insured in twenty
equal monthly installments.
The plan will be co-operative, the
employes and General Motors sharing
the cost.
Anakin Company Announces
New Micro-Larm
Before a burglar enters a home to
rob it he often slips a pair of heavy
socks on over his shoes to muffle his
footsteps.
There is no way, however, for him to
muffle the sounds made by his attack
on the walls or door of a bank vault
so that they will not immediately func
tion the Micro-larm made by the Anakin Lock and Alarm Company, Chi
cago, 111.
This invention employs a special
Microphone inside the vault which picks
up any sound made by attackers of the
vault, and converts that sound into a
signal which actuates a loud sounding
gong on the outside of the bank and
simultaneously another signal in the
nearest police station, and other points
if desired.
Original and radical developments
have been incorporated into this sys
tem which we believe will at once win
the approbation of bankers everywhere.
The gong housing is constructed
wholly of bronze and copper—metals
which will defy time and the elements,
and which will not mar the front of the
finest bank building with rust or cor
rosion streaks.
Many other exclusively Anakin fea
tures are embodied in its construction,
all of which combined, the manufac
turers assert, will make this a troubleproof and positively reliable and dura
ble system.
The World War left us with a trend
toward the literature of gloom, despair,
vulgarity and sex, but how grateful we
are today to know that this stuff is
going out of style!—The Silent Partner.
35
St. Louis, February, 1927
The Danger Line in Real Estate Bonds
OTH the financial world and the
investing public are alert now to
ills which have for a number of
years affected the creation and distribu
tion of real estate mortgage bonds.
The public is alarmed, even, and has,
temporarily at least, reduced its pur
chases. This is due largely to recent
disclosures resulting from the G. L.
Miller & Co. failure which revealed
that company’s practices. The Miller
company had attained a volume of
sales approximating $15,000,000 an
nually and was a large user of adver
tising space in national mediums in
which it featured the slogan, “No in
vestor ever lost a dollar in Miller
Bonds.” The advertising also claimed
“ four distinguishing marks” for Miller
bonds; independent appraisals, bank
certification, moderate size loans and
full interest. Investigation has shown
that the claims for independent ap
praisals and moderate size loans could
not be substantiated.
The total of real estate security of
ferings has grown rapidly. With the
rush of building to catch up with the
wartime shortage and attractive rates
of interest, a large investor demand
was found. Large selling organizations
grew up to handle the business. Con
struction was stimulated, whether need
ed or not, to provide issues which the
public would absorb. This has con
tinued with increasing momentum.
In this period, popular belief attrib
uted to all real estate mortgage bonds
about the same safety as the mort-
B
B y H. J. Kenner
General Manager, Better Business Bureau
of New York City, Inc.
gage of the individual home-owner or
“ other borrower on real estate” whose
experience had been gained in financing
his own needs with home-town bankers
or loan associations. Skillful advertis
ing promoted sales easily by repetition
of the safety theme, yet the average
T he article on this page is
reprinted fro m a recent issue of
“T h e industrial Digest,” which
commented e ditoria lly as fol
lows:
“ Real
estatei
security
sales have increased 15 times
over since the w a r — fro m $50,000,000 a year to $750,000,000.
T h e y absorbed well over $10 out
of every $100 put into' reg ularly
issued securities in 1925, when
one-eighth the national income
w e n t into new buildings.”
purchaser was unaware of the large
element of speculative risk often pos
sessed by the bonds so advertised.
The term bond, unless qualified, has
always implied to the public a first
mortgage lien on physical property with
large equity serving as a margin of
safety for holders of such bonds should
default of interest payments make fore
closure necessary. But when the mean
ing of this term was stretched by realty
bond underwriters to cover issues
which included second mortgage risks,
If You Can
A n sw er
These Questions
— a n d a n s w e r t h e m c o r r e c tly y o u r
in v e s t m e n t
p ro fits
w ill
sh o w
im
m e d ia t e
im p r o v e m e n t .
(1 ) Is th e tre n d o f s t o c k p rice s u p —
or d o w n ?
(2)
I s th is a t im e to b u y
sto c k s; w h a t sto c k s?
or to sell
(3 ) A r e lo n g or s h o r t te r m b o n d s
th e b e s t in v e s t m e n t n o w ?
T h e c o u p o n is fo r y o u r c o n v e n ie n c e
in s e c u r in g a u t h o r it a t iv e in f o r m a
tio n .
I f th e a n s w e r s to t h e s e q u e s
tio n s in t e r e s t y o u clip it n o w . T h e r e
is n o o b lig a tio n .
ECONOMIC SERVICE, Inc,
25 W e s t 45th St., N e w Y ork
P le a s e
N am e
A d d ress
se n d
fr e e
B u lle t in
M .B .
...................................................................
...............................................................
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
and sometimes left no appreciable
equity, the danger line was crossed.
For the past several years, the Bet
ter Business Bureau has been studying
abuses in this field. The Bureau has
investigated individual companies and
developed facts which have been used
to bring about correction of specific
practices through the Bureau’s recom
mendations to the subject company;
information has been made available to
investors, and facts have been pre
sented to State and Federal authorities
to bring about punitive or restraining
action. Over a year ago, the Bureau
placed specific facts before the Attor
ney General of New York State on
which he subsequently acted.
Complainants Slow to Appear.
There have been no criminal prose
cutions in this field. Where fraud has
been indicated, injured complainants
have been lacking until recently. The
individual investor has not known when
he has been deceived. If individual
bonds which he held were issued on
an over-valued building or became in
default, he seldom knew it until too
late to protect himself.
In September, 1925, the B'etter Busi
ness Bureau presented to the annual
convention of State Securities Commis
sioners an outline of the conditions ex
isting. As a result, special attention
was given to preventive action by sev
eral states and a number of specific
cases were acted upon. A real estate
securities committee was appointed
which reported at the annual conven-
High-Grade
Investment
Securities
We specialize in
Joint Stock
Land Bank
Send for our current list
Stocks an dBonds
KO EPPE
LA N G ST O N
LOPER 6 CO.
H. L. RUPPERT & CO.
39 South LaSalle Street
402 Pine Street
ST. LOUIS, MO.
Incorporated
Telephone -Randolph 0^)80
C H I C A G O
J
36
Mid-Continent, Banker
tion of the commissioners last Septem
ber in New York City, at which wrong
practices in the real estate mortgage
bond field were the chief topic.
For several years this question has
been made the subject of intelligent
and valuable annual reports of the real
estate securities committee of the In
vestment
Bankers’ Association of
America. An especially important re
port was made to the 1926 convention
of the Association held at Quebec.
These reports have been of sound and
constructive influence in shaping the
course of business practice among con
servative and high-minded houses of
issue. They have not reached the gen
eral public, however, and have not been
in form for public information.
It is not possible in an article of lim
ited scope to do more than indicate the
extent of this problem, the solution of
which is perplexing and vexatious. The
situation calls for clear-headed and
thoughtful action on the part of the
business groups affected in order that
right business conduct may be plainly
defined and leadership be exerted to
put proper standards into full effect.
Further, there is needed a simple and
constructive set of cautionary princi
ples which the public can apply in con
sidering the purchase of real estate se
curities.
Sustained sales resistance
should be set up against misrepresented
or unsound issues, but reduced with re
spect to issues worthy of confidence.
This is a large order, but it is the right
approach to the problem.
Whether new legislation and regula
tion by government can and should be
enacted to cope with existing abuses is
an open question. For the present, ex
isting laws should be vigorously and
promptly applied when their violation
becomes apparent.
Further resort
should be made to the case work sys
tem by which specific acts of particu
lar companies are given attention, as
distinguished from sweeping generali
zations.
The Better Business Bureaus have
followed this course, finding facts and
proceeding quietly to help stimulate
correction 'by business, government or
the public. This is not a time for hasty
action and hysteria engendered by fear
of future calamity. Ill-considered meas
ures are not likely to prove a real rem
edy. There is no short cut.
Getting down to simple elements, the
first consideration is the investor. His
conception of a modern real estate
bond is vague. He looks to the organ
ization which sells him the bonds rather
than to the facts about the particular
property. He may be unable to see the
forest because of the trees. He some
times is unaware of his actual position
as a lender, of his rights and of his
Œt)e Cfjase J^attonal ^anfe
o f the City of New York
57 B R O A D W A Y
C a p i t a l ..................................... $ 4 0 ,0 0 0 ,0 0 0 .0 0
S u rp lu s a n d P rofits
. . .
3 8 ,2 0 4 ,4 7 3 .5 8
D ep o sits (D ecem b er 31 , 1926) 85 2 ,4 5 6 ,1 1 4 .2 4
O F F IC E R S
A lb e r t H . W i g g i n
C h a ir m a n o f th e B o a r d
G a te s W . M cG a rra h
C h a ir m a n o f th e
E x e c u t i v e C o m m it t e e
John M cH u g h
P r e s id e n t
R o b e r t L . C la r k s o n
V ic e -C h a i r m a n o f th e B o a rd
V ic e -P r e s i d e n t s
S a m u e l H . M ille r
G eorge E . W a r r e n
C a rl J. S c h m id la p p
G eorge D . G ra ves
R e e v e S c h le y
F ran k O. R oe
S h e rrill S m it h
H a rry H . P ond
H e n r y O lle s h e im e r
S a m u e l S. C a m p b e ll
A lf r e d C. A n d r e w s
W illia m E . L a k e
R o b e r t I. B a r r
M . G . B . W h e lp le y
W i l l i a m P . H o lly
V ic e -P r e s i d e n t a n d C a s h ie r
S e c o n d V i c e -P r e s i d e n t s
F r e d e r ic k W . G e h le
J a m e s L . M ille r
G e o r g e W . S im m o n s
J o s e p h C. R o v e n s k y
E d w in A . L e e
B e n j a m in E . S m y t h e
W ill ia m E . P u r d y
J o s e p h F u lv e r m a c h e r
G e o r g e H . S a y lo r
L e o n H . J oh n ston
M . H a d d e n H o w e ll
F r a n k lin H . G a t e s
A lf r e d W . H u d s o n
A r t h u r M . A ik e n
T h o m a s R it c h ie
C o m p tr o lle r
Foreign an d Trust D epartm ent Facilities
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
risks. More often than not he may
purchase someone’s promise to pay on
the reputation of the vendor organiza
tion—a reputation achieved perhaps by
marketing skill rather than by the de
velopment of safety factors and strength
in performance for the public interest.
The average investor in this class of
security has thus been uniformed about
the signs of insecurity in the field. He
has not been taught to safeguard him
self against undue hazards and has fol
lowed a course of least resistance. Be
cause he has not been cautious, some
vendors have passed the safety signals
to reach large profits more quickly.
Enumeration of all the pitfalls is
neither possible nor necessary here.
The principal sources of trouble, how
ever, seem to arise from construction
loans where bonds are sold to the pub
lic before buildings have been built.
Factors of value and net earnings from
the operation of properties are in such
cases a matter of the future and, there
fore, only estimates and conjectures
which vary with business judgment and
conscience.
W hat
Is N e e d e d .
There are so many factors essential
to the success of a building venture
that, as one New York leader in the
real estate securities field recently
said: “There is no man or group of
men smart enough to predict the real
Your Investment
Needs
T h is n a tio n a l o rg a n iz a tio n is
th o ro u g h ly equipped to give
service fo r a ll o f th e in v e s tm e n t
needs of y o u r b a n k .
C o m m e rc ia l paper and s h o rt
te r m b o n d s fo rth e b a n k ’sfu n d s.
In v e s tm e n t S e c u ritie s fo r y o u r
cu s to m e rs : M u n ic ip a l, In d u s
t r ia l and P u b lic U t ilit y Bonds.
GEORGE H. BURR
& CO.
ST. LOUIS
NEW Y O R K
B O STO N
HARTFORD
CH ICAG O
ATLANTA
PHILADELPHIA
PITTSBU R G H
SAN FRA N C ISCO
LOS ANGELES
SEATTLE
CLEVELAND
37
St. Louis, February, 1927
O B Mc CLINTOCK. C O M P A N Y
MINNEAPOLIS, - - MINN.
* 9 a7
Bank A d vertisin g Rises to
N ew
Standards
o f E xcel'
lence Each Year.
—W h a t w ill Your Bank do
during 192,7 to establish its
Leadership in th is as in
other respects?
—T h e d ay w h en one bank
could create an advertising
campaign
o f leadership
is
dead: —b u t Your Bank can
s till co n tro l th e le a d in g
c a m p a ig n fo r it s
e n t ir e
trading territory.
Send for the full facts
on Reed’s Mass'mag'
azine Plan for 1 9 2 7 .
P.
M.
Sr* B a n k e r
R E E D
Associates
TRIBUNE TOWER
C H IC A G O
A MAGNIFICENT NEW HOTEL
4 0 0 R o o m s with Baths
$3—and up For One Person
$4-- a n d up for Two Persons
^
HOTEL
^
Knickerbocker
% -NEW YORK
WEST 45^
STREET
Just East o f B roadw ay
T im es
S o u a re
Heart
of
theatrical and Shopping District
value of a building until it is construct
ed and in actual operation.” Factors of
management, general business condi
tions and trends of community develop
ment enter into the success of the
project and into the basic security of
the loan which the bondholder has
made on the property.
Fundamentals in the consideration of
construction loans include:
1—
The need or demand for the par
ticular type of building proposed to be
erected.
2— Appraisal of values.
3—
The amount of actual investment
(cash or property) made by the bor
rower.
4—
The status of the land, i. e., lease
hold or ownership.
5—
The standing and integrity of the
issuing house.
6— Trusteeship of funds.
Plainly, the major element in the suc
cess of any building project is its renta
bility at profitable rates stabilized by
actual need for that particular type of
building in a community. A hotel
erected in a city too small to support
it will prove unprofitable and lead to
default in interest payments.
of sound, well-secured
Appraisal is necessarily opinion. To
be of value, opinion must be based
bonds is suited to the
upon sound knowledge and unbiased
judgment. Appraisals have not infre
quently been made in order to justify
requirements of conserv
large loans arranged before buildings
have been started and before all basic
ative investors whose
facts were available.
The issuing
house, deriving its profits from a per
main considerations in
centage of the total loan, has been
tempted to make the loan a high figure,
sometimes as much as 100 per cent of a
buying are safety of prin
conservative valuation of the property.
“ You get the land, we’ll do the rest,”
cipal and a steady, de
is too often the principle. Valuable
land put into the project in fee owner
ship furnishes a sound start, but
pendable income.
should land of small value or a lease
hold be negotiated on condition that a
construction loan will finance a build
Send for it
ing on the site, the borrower may be
found to have too small a stake to
make it safe. Real protection for the
bondholder is a positive provision that
the borrower have a real, tangible in
vestment in the project. All too often
a leasehold is figured in the value of
the building as an asset. Whether it
is an asset or a liability is wholly de
pendent upon the amount of ground
Lucius Teter JohnW OLeary
rent required under the leasehold.
President
Vice-President
Our
F ebru ary
L is t
ChicagoTkusr
Gompant
3 N ew Features: 2 6 .6 % greater
W h e n Land Rent Conies First.
size — 6 more painters — 5 0 %
It is a common practice in large
cities for owners of land to retain their
ownership and to lease the land for a
long period conditional upon incomeproducing property being erected on
it. The owner of the land has the su
perior position on a building so erected.
The rental for the ground takes prece-
more color — a ll a t th e old
price in Reed’s Mass'magazine
Plan for 1 9 2 7 .
See it fo r yourself.
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Federal Reserve Bank of St. Louis
BOND DEPARTM ENT
J. W. Marshall,
Vice-President
J. P. Burlingham,
Manager
C H IC A G O
38
Mid-Continent Banker
W e underwrite and distribute Public
Utility, Industrial and Municipal Bonds.
Special service to Banks in bonds
for investment or re-sale.
Full details on request.
A.CALLYN*™ COMPANY
Planters Building—ST. LOUIS—Phone GArfield 2100
C H IC A G O
N E W YORK
BOSTON
P H I L A D E L P H IA
M IL W A U K E E
M IN N E A P O L IS
S A N F R A N C IS C O
Industrial Acceptance
»oration
New York
Capital & Surplus Over $7,000,000
?
C O L L A T E R A L TR U ST G O LD NOTES
(The National City Bank of N. Y., Trustee)
The N otes o f this Corporation are regarded b y a nation-w ide
banking clientele as appropriate and attractive investment
f o r short term fu n d s. T h ey m a y be obtained under custom ary
option in varyin g maturities betw een 2 an d 12 months. C om
p lete inform ation available on request to a n y o f ou r offices.
C om m ercial P aper Offices
CHICAGO
NEW YORK
105 So. La Salle Street
100 East 42nd Street
SAN FRANCISCO
225 Bush Street
Financing exclusively dealers of
THE
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Federal Reserve Bank of St. Louis
STU DEBAKER C O R PO R A TIO N
OF AM ERICA
dence over interest payments to hold
ers of mortgage bonds; if the rental is
in default, the landowner may come
into possession of the building. The
investor in bonds issued on such a
building may not have the means of
knowing when
his investment is
jeopardized.
The standing and integrity of an is
suing house should be determined by
its care in safeguarding investors as
well as by its financial resources. An
underwriting company may have repu
tation, but it may lack character; it
may see fit to withhold facts about in
dividual issues, especially when con
struction loans turn out to be unsuc
cessful.
It has become a common practice
for underwriting houses to deduct from
bond sales proceeds the interest accruable on them during the construction
period. The average bond purchaser
(the lender) assumes that this money
goes into the actual value of the build
ing. In many cases it is used as a
factor determining the cost of the
building upon which the loan is predi
cated. The borrower should rightfully
assume this item of cost and this por
tion of the lenders’ money should be
transposed
into tangible
property
rather than be paid back to him as in
terest.
Such an item amounted to
$69,000 on an $880,000 bond issue ex
amined not long ago by the Better Busi
ness Bureau.
Pull protection for the investor re
quires—on
construction
loans—the
segregation of the proceeds of the sale
of each bond issue; the underwriter
should pay that particular money, less
reasonable financing costs, toward the
erection of that one building. Should
he not do this, and should such funds
be mixed with the proceeds from the
sale of other issues, and an under
writer encounter financial difficulty, the
interest of the investor becomes
jeopardized, despite the fact that the
particular issue into which he has
made his purchase, may have been
sound.
Adequate protection for the investor
requires an independent trustee to ad
minister sums paid to meet amortiza
tion requirements and regular pay
ments of interest. And it should be
provided that the interest earned on
funds in the hands of the trustee be
equitably applied.
The investor can help meet this sit
uation by submitting sound questions
to the vendor of real estate securities,
to be answered in writing, before a
bond purchase is made. Such pro
cedure would work no hardship on the
issuing house since such questions
could be answered in advance in circu
lars advertising each issue.
39
St. Louis, February, 1927
The Bank of America Now
Occupies New Home
The Bank of America, one of New
York’s oldest banks, has officially
opened the doors of its new twentythree story building at the corner of
Wall and William streets. There were
receptions to the officers of correspond
ent banks, friends of the bank and the
general public, and guests were given
an opportunity to see all the depart
ments of the bank.
The new building, which was begun
in the Spring of 1924, enjoys the very
unique distinction of being the fourth
home which the Bank of America has
had on this same Wall and William site
since the bank was granted its charter
in 1812. The structure is built in Amer
ican colonial style, a type of architec
ture chosen because of its appropriate
historical character and because of its
excellent adaptation to new zoning law
requirements.
An appearance of great beauty and
dignity has been obtained in the main
banking room through close adherence
to Colonial architectural detail. A dou
ble row of Doric columns runs the
length of this room, which is two sto
ries in height, covering the entire lot
55 by 162 feet and containing a gallery,
bank screen and space for officers.
A simple and harmonious effect has
been achieved by the use of gray mar
ble for columns, walls and bank
screens, with a panelled ceiling deco
rated in blue and gold. No other dec
oration features the main banking room
other than portraits of past presidents
which are hung on the gallery wall.
The Colonial style has been carried
out in detail in the president’s office,
director’s and conference rooms, and
museum on the third floor. Here, dark
walnut furniture of Colonial design, low
ceilings and walls finished in old Amer
ican and Colonial design combine to
give an effect of great simplicity and
warmth.
Placed on exhibition in the museum
are several historical treasures con
nected with the earliest history of the
bank. There is a note of J. Fenimore
Cooper, who owned 25 shares of the
bank stock; the petition for charter
presented at Albany in 1812, a strong
box for specie, said to have been cap
tured by the British forces in the war
of 1812; the first ledger used in the
bank, a bible, tablecloth, director’s ta
ble and ballot box all used at board
meetings more than a hundred years
ago.
The Bank of America occupies four
floors in the new building in addition
to the main banking floor and five sub
basements.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
PA R A PH R A SE D PROVERBS
A Bank Is Known
by the
Business Interests
it Serves
We are proud to number among our correspondents
the leading banks and bankers both here and abroad.
Every important national industry is represented on
our books— some for more than a century.
W e are thus in position to render you a service based
on a long and diversified experience, a service that
keeps you in touch with representative and profitable
business.
THE
PHILADELPHIA - GIRARD
NATIONAL BANK
P H IL A D E L P H IA , PA.
Capital, Surplus and Profits
.
.
$28,300,000
BANK OF NEW SOUTH WALES, Australia
Paid-Up Capital $30,000,000.00
Reserve Fund - 23,750,000.00
Reserve Liability of
Proprietors - 30.000,000.00
$83,750,000.00
E S T A B L I S H E D 1817
Head Office)
G E O R G E S T ., S Y D N E Y ,
New Sou th W ales
London Office)
TH READ N EED LE S T .,
E. C.
3oT?ept.,ASl926 } $410,975,720.00
OSCAR LINES, General Manager
431 Branches and Agencies in all A u stralian S ta tes, New Z ela n d , F iji,
Papua, M an dated Territory of New G u in ea and London
Australia
Population, 6 ,000,000; Area, 2,974,581 square m iles; Sheep, 80,110,000; C attle, 1 4 ,350,000;
H orses, 2 ,4 0 0 ,0 0 0 ; Im ports, $785 ,5 0 0 .0 0 0 ; E x p o rts,$805 ,60 0,00 0.
Annual Value of Australia’s Products
Agricultural, $405 ,62 5,00 0; Pastoral, $ 5 14 ,21 5,000;D a iry in g , $210 ,55 9,00 0; M ining, $ 1 1 1 ,15 9,50 0;
M anufacturing, $1,742 ,8 8 8 ,0 0 0 ; T o ta l, $2,984,446,500.
F O R E I G N B IL L S C O L L E C T E D — Cable remittances made to, and D rafts drawn on Foreign
places D I R E C T . Circular N otes issued, 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 A g en ts: N A T IO N A L B AN K OF C O M M E R C E
40
Mid-Continent Banker
Federal Surety Figures
Show Continued Gain
HE stockholders of the Federal
S u r e t y Company of Davenport have
ratified the recommendation made
by the company’s directorate board au
thorizing an adjustmnt of capital and
surplus so that the company’s under
writing activities need not be curtailed.
The plan calls for a transfer of threeeighths of the $1,160,000 capital into
surplus, thereby adding $435,000 to the
surplus account and placing the com
pany in a position to take care of a
steadily increasing volume of business.
This will leave a capital of $725,000—
ample for the company’s present pre
mium volume.
T
W. L. Taylor, vice-president and gen
eral manager, in announcing the com
pany’s plans, indicated that the com
pany’s capital through the sale of stock
would be reincreased to a million
dollars and would, by selling the stock
at a substantial premium, build a mil
lion dollar surplus.
Federal Surety figures as of Septem
ber 30, 1926, show a 35 per cent in
crease in volume—$1,254,083 net gross
premiums as compared with $928,374 for
the same period in 1925. Operation ex
penses have been reduced, including
commissions, which show an average
of less than 22 per cent.
A Specialized Service
for Banks and
Bankers, which is the result of
m ore than sixty years of experience, is offered by
The First National
B ank of C h ic a g o
and the First Trust
and Savings Bank
and provides com plete facilities for active
and
letters of credit and foreign exchange transactions
M E LVIN A . T R A Y L O R
President
Combined Resources Exceed $ 4 5 0 ,0 0 0 ,0 0 0
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
States.
Consolidations at Tremont
and at Chandlersville
inactive accounts, collections, B /L ’ s, investm ents,
FRANK O. W ETM O RE
C h airm an
In T w e n ty -th re e
The Federal Surety is doing business
in twenty-three states through 1500
agents and branch offices in Denver,
Des Moines, Minneapolis, Chicago, De
troit, Dallas and Washington, D. C. Mr.
Taylor expects the organization to pro
duce a premium volume of approxi
mately $2,500,000 during 1927, which
will mark a very substantial progress
since July 1, 1920, the date the com
pany was licensed to do business and
the company’s business, as pointed out
by Mr. Taylor, has been placed on the
books by Federal agents, the company
never having reinsured any other com
pany.
General Manager Taylor, since tak
ing active management of the Federal’s
affairs has laid special emphasis on
consei’vative underwriting with the re
sult that this Iowa company doing a
national business is able to show “ ex
perience figures” comparable to any in
the business.
Allied in the management of the Fed
eral Surety is a strong board of di
rectors, composed of individuals prom
inent in finance and industry.
The directors are—Messrs. C. W.
Borg, founder of Borg & Beck; M. H.
Calderwood, banker, ex-president of the
Iowa Bankers Association; George E.
Decker, director and president of the
Register Life; Charles Grilk, attorney,
general counsel of the Register Life;
H. C. Kahl, vice-president Walsh Con
struction Company, railroad contractor
and director in banking and hotel com
panies and owner of the Kahl buildings,
Davenport; Charles Shuler, coal opera
tor, director and president of the Iowa
National Bank of Davenport; Frank B.
Yetter, director Register Life Insurance
Company, director and active vice-pres
ident of the Iowa National and an ex
president of the Iowa Bankers Associa
tion; W. L. Taylor, vice-president and
general manager.
The Tremont National Bank and the
First National B’ank of Tremont, 111.,
have consolidated under the name of
the First National Bank. Officers and
directors represent both institutions.
The two state banks at Chandlerville have also merged. Officers of the
Chandlerville State Bank include Dr. J.
G. Franken, president; Y. P. Ainsworth,
vice-president, and C. W. Ainsworth,
cashier. The other institution in the
merger is the People’s Bank, which was
headed by Dr. Howard B. Boone, with
Henry Leeper, vice-president, and W.
T. Pratt, cashier.
St. Louis, February, 1927
41
zens’ National Bank of Emporia, Kan
sas, believes in spending money on his
banking institution, and if it is wisely
spent he believes it will increase busi
ness.
T h e B a n k i n g W o r ld s
B
y
C /t f - f o r d
D
e
D u .y
P u b lish er De Pay Banking Publications
According to statistics, the number
of banks which fail in the United
States due to fraudulent banking are
very few in proportion to the total
number which are closed because of
other reasons. Yet the public is quite
willing many times to lay the blame
for closed banks upon the supposed
unscrupulous methods employed by the
officers of the closed institutions.
This recalls to my mind a stanza in
the poem entitled “ The Men I Know”
and I give it here as my testimony to
hundreds of bankers throughout the
United States who are personal friends
of mine and who I know are upright,
honest, conscientious individuals, do
ing their full share in helping to serve
their community through their banks.
“ This I’ll say for the men I know;
Most of them want to be clean
and true;
In spite of the selfish things
they do,
Most of them try, as they come
and go,
To leave some glory for man to
view.
A few turned traitor to God and
state.
But most of the men I know
walk straight.”
George E. Roberts in referring to
present
business
conditions
says,
“ 1927 opens with good prospects for
the continuance of prosperity.
The
past year has been one of the most
prosperous in the history of the
country, but it closes without signs of
either price or credit inflation.”
If this general prosperity is to con
tinue, and we feel sure that it is, ag
ricultural sections will have to enjoy
a larger share of prosperity than they
have for the past few years.
—$—
H e n r y S. Nollen points out “that
more death has been caused by the au
tomobile within the period of the last
two years in the United States, than
occurred in accidents on the battle
front in the Great War among the
American troops.”
This is the appalling price that we
pay for our carelessness and our utter
disregard for human life. Mr. Nollen
further points out that an analysis of
statistics of New York state shows
that 77 per cent of automobile acci
dents occurred in clear weather and
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
50 per cent on straight, level roads.
Isn’t it time for us to slow down in our
reckless killing of human beings with
automobiles?
—$—
T h e per capita savings deposits of
the United States are now $211, which
is the highest record so far recorded
in this country.
—$—
E. H. Rees, vice-president of the Citi-
“Any money,” says Mr. Rees, “a
banking institution spends in increas
ing the cordiality of relations to its
clientele and building up the confi
dence of that clientele, whether it
means actual dollars and cents on the
books or not, is money well invested;
paying big dividends.”
The trouble with some bankers is
that they have lost sight of this fact.
Many bankers today should be increas
ing their advertising appropriations
and use this money to increase the con
fidence of their customers, and thus in
The Chemical Policy is to
seek growth in its deposits
by aiding legitimate growth
among its depositors.
W E W A N T YOUR ACCOUNT IN ORDER
TO C O N T R IB U T E TO ITS G R O W T H .
C NhA TeIm
ic a l
ONAL,
BANK
OF N E W YO RK .
B’W A Y at CHAMBERS, FACING CITY HALL
FIFTH AVENUE at TWENTY-NINTH STREET
MADISON AVENUE at FORTY-SIXTH STREET
Mid-Continent Banker
42
Guaranty Trust Company
of New York
14 0 B ro ad w ay
LONDON
P A R IS
BRUSSELS
L IV E R P O O L
HAVRE
ANTWERP
C on den sed S tatem ent, D ecem b er 31, 1926
R E SO U R C E S
Cash on Hand, in Federal Reserve Bank and
Due from Banks and Bankers...................... $168,736,406.58
U. S. Government Bonds and Certificates..... 32,454,363.83
Public Securities .................................................. 16,120,214.43
Other Securities .................................................. 28,070,076.49
Loans and Bills Purchased............................... 421,315,108.91
Real Estate Bonds and M ortgages.................
3,289,225.00
Items in Transit with Foreign Branches....... 10,180,623.79
Credits Granted on A cceptances..................... 45,412,465,40
Real Estate ....
8,008,186.04
Accrued Interest and Accounts Receivable...
6,248,294.72
$739,834,965.19
L IA B IL IT IE S
Capital ...................................................................$ 25,000,000.00
Surplus Fund ....................................................... 20,000,000.00
Undivided Profits ................................................
5,958,981.13
$ 50,958,981.13
Accrued Interest,Reserve for Taxes, etc...........
4,101,750.57
Acceptances .......................................................... 45,412,465.40
Outstanding Treasurer’sChecks........................ 34,401,561.36
Deposits ................................................................ 604,960,206.73
$739,834,965.19
''Applied Business Finance”
B y E. E. LINCOLN, Chief Statistician, Western Electric Company, Inc.
ERE, at last, is a manual that really tells the best methods of
calculating capital requirements and exactly how to secure suffi
cient long time capital for working purposes; points out the
safe ways to borrow and on what terms; how quickly loans should
be paid back; and when to distribute earnings. Methods of temporary
financing are analyzed for the good and bad points. Tells the logical
ways to establish maximum credit and how far to extend credit to
others. Relations with the banker—the specific requirements are ex
plained. Takes up the handling of the funds within the business;
how to finance production and sales; how to prevent "frozen” capital,
increase the rate of turnover. 772 pages. Well illustrated with
charts and forms.
H
B o o k D e p t., M id -C o n tin e n t B a n k e r, 4 0 8 O live S t . , S t. L o u is , M o .
Please send me on approval, E. E. Lincoln’ s “ Applied Business Finance,” Executive Edition, buckram bind
ing, gold "stamped. Within five days after its receipt I’ ll send you $6, plus few cents for mailing charge, or
return the book.
^ ®
NAME
STREET & NO.
,CITY & STATE
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
_____________
BUSINESS
____________
(Canada and foreign, 10% additional, cash with order.)
turn increase the business of the bank
and the dividends, and then use a part
of these dividends to increase the
service of their bank to their cus
tomers.
Money so invested is an endless
chain, which goes clear around the
circle and back again to the bank, with
excellent results if properly expended.
As a nation, we are still strong be
lievers in life insurance, as the figures
for the first eleven months of 1926 in
dicate that life insurance sales amount
ed to $10,117,140,000, or 6.6 per cent
more than in the corresponding period
of the previous year.
Governor H a m m il! of Iowa, in his in
augural address, recommended the
adoption of the Chicago Clearing House
method for the banks of Iowa.
This plan has worked successfully in
Chicago for many years without the
loss of a single dollar to any depositor.
Approximately fifty employes are kept
busy in the Chicago Association check
ing banks and maintaining credit in
formation regarding bank borrowers.
The Governor’s plan is to organize
the state into districts and have the
Clearing House Association keep in
close touch with the banks in these
various districts, eliminating duplicate
borrowers and maintaining a closer
supervision over the banks in general.
The idea is a sound one and should
be put into operation at once.
—$—
An other testimony of the efficiency
of American business organizations is
indicated by the fact that F. W. Woolworth & Company made net earnings
of 1926 of approximately $28,000,000.
To show how efficiently the company’s
business is conducted, the figures show
that the sales gained 6.11 per cent over
1925, while the net profit increased
14% per cent.
Again we come back to the question,
“Why do some farmers succeed and
others fail? Why do some bankers
succeed and others fail?” The answer
is the same—efficient management
spells success; inefficient management
spells failure.
—$—
If you owned stock in any of the
eight leading motor companies during
the past year you had a good return on
your investment because these organ
izations increased their earnings $52,000,000 over the previous year.
—$—
T he United States Governm en t esti
mates the total value of the principal
farm crops for 1927 based upon prices
as of December 1 last at over $7,800,000,000, in comparison with $8,949,000,000 in 1925.
St. Louis, February, 1927
This figure does not include, how
ever, the live stock, dairy products,
poultry and eggs, etc.
In estimating the farmers’ income
in the agricultural territory it is well
to take in every source of income. In
Iowa, for example, if the price of corn,
is low, there are many who feel that
the farmer will be badly affected, and
to a considerable extent this is true,
yet in 1925 the grain crops represented
a total income to Iowa farmers of
$712,000,000, and yet only $65,000,000 of
that was money which came from the
sale of corn.
It must be remembered, however,
that the man who buys cheap corn and
sells it on the market in the shape of
high-priced hogs is reaping a very
handsome return on his low-priced
corn.
—$—
of the American public
to absorb new securities is again
shown in the figures for the twelve
months ending November 30, 1926,
which indicate that during that time
the flotation of new capital in this
country amounted to over $7,491,000,000, of which $1,049,000,000 was for re
funding purposes, and the balance, or
$6,441,000,000, represented new capital.
T he
a bility
— %—
and St.
Louis lost one, when Ray F. McNally
became a vice-president and director
of the National Bank of the Republic
last month.
For the past nine years Mr. McNally
has been the vice-president and cash
ier of the National Bank of Commerce
in St. Louis and is well known through
out the United States by hundreds of
hankers.
—$—
M. E. Holderness, vice-president of
the First National Bank of St. Louis,
and chairman of the Public Relations
Committee of the American Bankers
Association, in making a recent report
of his committee, says: “ The con
sensus of opinion from all sections of
the country is to the effect that the
question of the State Guaranty of De
posits is passing into eclipse so far as
the extension of the idea is concerned,
for, notwithstanding the fact that
State Guarantee laws were recom
mended last year by the Governors of
two states and were introduced in sev
eral other states, all such proposals
were defeated. In general, the ten
dency regarding State Guarantee laws
appeared distinctly retrogressive, sev
eral states looking toward the repeal
of this legislation.”
When the time comes that we pass
legislation which will guarantee that
every borrower pay his loans when
Chicago gained a good man
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
43
due, there will be no need to guarantee
the deposits of any bank.
E. W .
Decker, President of the
Northwestern National Bank of Minne
apolis, in analyzing why some bankers
fail, said, “No doubt many farmers have
failed to succeed because of short
crops and adverse conditions over
which they have no control, and no
doubt many have failed because of the
lack of either industry or efficiency of
management. The same can be said
of banking—no doubt many banks
have failed due to poor crops and ad
verse conditions, and no doubt many
more have failed because of poor man
agement, due perhaps to lack of prop
er equipment. The banking situation
can he improved materially, in my
judgment, by requiring larger capital
and closer and more frequent super
vision.”
As a resuit of the present economic
period through which we are passing
we will have fewer banks, but we will
have better ones, and as Mr. Decker
points out, both the farm and the bank
will he better managed.
—$—
R. F. Hawes, vice-president of the
First National Bank of St. Louis, ex
plains that the principal expense in
operating a bank today is the interest
on deposits, which now consumes over
one-third of every dollar of bank in
come.
Mr. Hawes proposes to remedy this
by deducting the reserve requirements
from deposit items before calculating
interest payment.
Mr. Hawes points out that “it appears
that a logical step for the bankers to
take would be to apply the same rule
to the demand deposits of their cus
tomers that the banking laws of the
country require of them, namely, to de
duct from net deposits before interest
is paid the reserve balance that they
must carry with the Federal Reserve.
While it is true that the same ultimate
result will be accomplished by a gen
eral lowering of interest rates paid on
deposits, such a change would soon
leave the banker in a position tech
nically at least of paying interest on
funds not actually available for invest
ment.”
—$—
Archibald F. M axw ell, who was re
cently elected a vice-president of the
Guaranty Trust Company of New York,
is a native of Davenport, Iowa., and a
graduate of Cornell College at Mt. Ver
non. Mr. Maxwell was formerly presi
dent of the Central National Bank of
New York and recently left that posi
tion to join the Guaranty Trust Com
pany.
American Exchange
Irving Trust
Company
NEW YORK
Statem ent o f Condition , D e c .
R
31, 1926
esources
Cashon Hand and Due from Banks $146,626,608.15
Exchanges for Clearing House.......... 98,821,518.59
Call Loans, Commercial Paper
and Loans eligible for Redis
count with Federal Reserve
Bank............................................
141,461,958.27
United States Obligations.............
37,399,366.81
ShortTerm Securities....................
46,057,921.18
Loans due on demand and within
3 ° days........................................
96,153,554.65
Loans due 30 to 90 days.................
62,020,438.87
Loans due 90 to 180 days...............
39,366,825.66
Loans due after 180 days...............
5,126,110.89
Customers’ Liability for Acceptances
(anticipated $3,560,870.40)
42,268,837.71
Bonds and Other Securities..........
14,184,468.93
New York City Mortgages..........
7,556,540.73
Bank Buildings...............................
3,509,566.19
$74Q,553,7i 6.63
L
iabilities
Deposits........................................... $584,164,121.59
Official Checks................................
44,722,749.72
Acceptances (including Accept
ances to Create Dollar Exchange)........................................
45,829,708.11
Discount Collected but not Earned
1,313,658.04
Reserve for Taxes, Interest, etc.. .
2,588,095.65
Dividend Payable Jan u ary3,1927
1,120,000.00
Capital Stock..................................
32,000,000.00
Surplus and Undivided Profits... .
28,815,383.52
$740,553,716.63
44
Mid-Continent Banker
A. E. Cotteril, vice-president of the
Iowa Farmers Union, speaks very com
plimentary (?) of the banking business
when he says: “It would be hard to
conceive of anyone making any worse
mess than the bankers themselves have
made of the business so far as the
public is concerned, from the head of
the Federal Reserve System down, ex
cepting that the big fellows were very
careful to protect themselves and let
the small bankers get out as best they
could, causing some to commit suicide,
while others have landed in the peni
tentiary.”
Mr. Cotteril’s remarks were caused
by a statement made by a gentleman
who said: “Banking conditions should
be regulated by bankers, not by agi
tators.”
spiring poem for his New Year’s greet
ing, and it is so appropriate and so
beautifully written that I am repro
ducing it here:
with his associates, says
that whenever he goes to New York
accompanied by his charming wife, that
the following conversation always
takes place in front of the Waldorf
Astoria:
“Are you Hungary?”
“ Yes Siam.”
“Well, come along and I’ll Fiji.”
—$—
A r t h u r D. W elton wrote a very in
Behind them the desert lay baked and
bare,
But bright was the road ahead;
The thirsty sands sucked in their
prayer,
As their camels onward sped;
And bright was the night as the glow
ing day,
As the wise man hastened along the
way.
“ Brig ht Is the Road Ahead—
P. M. Reed,
Their hungered eyes on the gleam afar,
That guided them over the strand,
The light of a single golden star,
Charging with hope a hopeless land.
And ever since it has been the light
That shows the way in the darkest
night.”
“ Chute the Chutes” for
Deposits After Hours
Twenty-three Bank Buildings
Costing $ 5 ,800,000
/C O M P L E T E L Y designed, built
and equipped by the St. Louis
B a n k B u ild in g
E q u ip m e n t
C om pany.
W e d o a national business,having
had contracts fo r bank building,
designing or equipping for institu
tions in thirty-six states o f th e
U n ion .
, , , ,
Our latest publication,“ Prelim inary
Service for Comtemplated Bank Build
ings,” describes how any banker may
plan a building with assurance that he
will not be disappointed in design, in
terior arrangement or final cost o f the
project.
A
c o p y o f “ P r e lim in a r y S e r v i c e ” w ill b e m a i l e d y o u o n r e q u e s t
St. L ouis B a n k B u il d in g
and E q u ipm en t C o m pan y
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
‘B a n k s
E x c lu siv e ly
N I N T H A N D S ID N E Y STREETS
ST. LOU IS, M O .
The Hinsdale State Bank of Hins
dale, 111., opened its fine new bank
building on the twenty-fifth anniversary
of the founding of the institution. The
building is of brick with terra cotta
trim, and an unusually well arranged
interior.
A unique feature of the hank is an
arrangemnt for taking care of deposits
after banking hours. Depositors, con
templating such a necessity, will be pro
vided with small sacks, somewhat sim
ilar to mail sacks in design, in which
deposits may be placed and locked.
These sacks may then be placed in a
chute which extends to the outside of
the building, the door to which is un
locked by a special key with which the
customer is provided, and which auto
matically locks after he closes the door.
The sack goes into a burglar proof
vault and is at the depositor’s disposal
on the opening of the bank next morn
ing.
Another feature is a large storage
vault in the basement, where, under
the most modern safeguards, trunks,
silverware, household valuables and
other articles may be stored for long
or short periods.
The Hinsdale State Bank was found
ed in 1902. Its original capitalization
was for $25,000 with a surplus of
$8,333.33. The capital is now $100,000
and the surplus is $25,000. The bank
has deposits well over a million dollars.
Officers are: President, LawrenceP.
Conover; vice-presidents,
John
C.
Wood and Charles E. Raymond; cash
ier, Albert P. Lytle; assistant cashiers,
Bertha W. Irvine and Raleigh E. Klein;
and directors Edward A. Amacker,
Frederic T. Binder, Walter Davidson,
John C. Fetzer, Wade Fetzer and Fred
H. McElhone.
45
St. Louis, February, 1927
Death of Ernest A . Hamili
Ernest A. Hamili, chairman of the*
board of the Illinois Merchants Trust
Company, and a pioneer Chicagoan
widely known in civic and philanthropic
as well as financial circles, died on
Friday, January 14, 1927, at his home,
2450 Lake View avenue, Chicago, at
the age of 75 years. Although he had
been ill for about ten days with a cold
which developed into influenza, the end
came suddenly as he was sleeping.
Mr. Hamill’s death produced sadness
among his many friends and associ
ates in the LaSalle street district,
where for years he had been an influ
ential figure. Upon receipt of the news
John J. Mitchell, president of the bank,
said this of his confrere:
“ Mr. Hamill’s death comes to all of
us in our bank as a great shock. He
has been a close and intimate friend
for many years, a man of fine charac
ter and respected by all who knew him.
He has been known for many years as
one of our most conservative bankers
and his counsel in our boisterous
financial times of the past has been of
great assistance. He will be missed in
our banking circles by a host of friends.
His death, as that of J. B. Forgan’s,
reminds me of the passing of the old
guard of bankers that served as a bul
wark in the past.”
Philip D. Armour was elected to the
board of the Continental and Commer
cial Company and the following official
changes were made at a meeting of the
board of directors: Howard D. Whitehouse was promoted from the position
of secretary to that of second vicepresident; Edward Schranz, Jr., mana
ger, Municipal Department, was also.
Charles F. Glore, member of the firm
of Marshall Field, Glore Ward & Co.,
was added to the directorate of the
Continental and Commercial National
Bank of Chicago, at the annual stock
holders meeting. Mr. Glore is a di
rector of the following companies:
Illinois Power and Light Company,
North American Light and Power Com
pany, Bucyrus Company, American
Multigraph Company, Adams Royalty
Company, National Air Transport, Inc.
J. Ogden Armour resigned from the
boards of the Continental and Commer
cial Banks and his place is filled by the
election of Philip D. Armour, first vicepresident of Armour & Co.
The board of directors of the Conti
nental and Commercial National Bank
elected Carl A. Birdsall, assistant cash
ier, to the office of second vice-presi
dent, and E. Mansfield Jones was made
comptroller.
At the meeting of the stockholders of
the Continental and Commercial Trust
and Savings Bank, Philip D. Armour
and George F. Getz, were elected to the
directorate.
The directors elected William P.
Kopf, secretary, to the office of vicepresident; Everett R. McFadden, as
sistant secretary, was made secretary,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Age is a tyrant who forbids at the
penalty of life all the pleasures of
youth.—La Rochefoucauld.
The nations seem more inclined to
plant than to bury hatchets.—Norfolk
Virginian-Pilot.
\
Special services per
formed by The Equi
table in disbursing
extra dividends on
short notice
On many occasions our divi
dend disbursing department
is asked to perform unusual
services.
But volume of work and
haste do not alter the various
checkings and listings which
insure absolute accuracy and
protection to the corporation
paying the dividend.
Regardless of the time
available and the number of
payments to be made, each
check is drawn and prepared
for mailing by the various
steps described below.
1
Continental and Commercial
Has New Board Members
elected second vice-president; Walter
J. Engle, treasurer, was made secretary
and treasurer; C. H. Nourse and C. H.
Merry were elected assistant managers
of sales; Anthony Von Wening was
elected assistant secretary and assist
ant treasurer.
and Harold P. Smith, L. C. Davis and
R. M. Kimball were promoted to the
positions of assistant secretary of the
trust department of the Continental
and Commercial Trust and Savings
Bank.
The amount of the stock
transferred is posted.
The proof is taken from
the ledger.
3 Lists are prepared by
stencil.
4 Amounts are then en
tered.
5 Lists are compared with
ledger.
6 Lists are figured.
7 Proof is taken from lists
as to the amount to dis
burse.
8 Checks are stenciled.
g Checks are drawn.
10 Checks are compared
against the dividend
lists.
11 Proof is taken from
checks.
12 Checks are signed twice,
once by an officer and
once by a transfer clerk.
13 Sheets of checks are cut
into single checks.
14 Checks are inserted in
envelopes and mailed.
2
Send for our booklet, The
Equitable Trust Company of
New York, Transfer Agent or,
without incurring any obli
gation, consult the nearest
office of The Equitable with
regard to any of the services
rendered by our Corporate
Trust Department.
2 0 ,0 0 0
certificates
in twenty-four hours
A corporation for which The Equitable
acts as transfer agent declared a stock
dividend o f record one day, payable the
next. This corporation wanted twenty
thousand certificates issued and mailed
within twenty-four hours. It couldn’t
be done, they were told.
But The Equitable was asked to do
the job, and did do it— with absolute
accuracy and complete protection to the
corporation which paid the dividend
The corporate trust services of The
Equitable are available to local banks
wishing to amplify their own services for
the benefit of their customers.
Read the column at the left.
THE E Q U IT A B L E
TRUST C O M P A N Y
OF N E W Y O R K
37 WALL STREET
C h icag o : 105 South La Salle Street
Telephone: S t a t e 831 2
D
is t r ic t
Ph il a
Sa n F
e p r e s e n t a t iv e s
d e l p h ia
r a n c is c o
Ba l t im
A tla
F
o r e ig n
H
o m e
O
L
o r e
f f ic e s
o n d o n
n t a
M
e x ic o
P a r is
C it y
O f f i c e : 37 W a l l S t .. N e w Y o r k , c o n n e c t e d b y
d i r e c t p r iv a t e w ir e w it h C h i c a g o o ffic e
Total resources more than $475,000,000
Registered M ail Envelopes
HECO ENVELOPE COMPANY
C h ica g o , Illin o is
R
© E. T. C. of N.
NEED
r., IQ27
ENVELOPES? W rite
H E C O — C H IC A G O
Mid-Continent Banker
46
Illinois Bank N ew s
O F F IC E R S I L L IN O IS B A N K E R S A S S O C I A T I O N :
W . B . Crawford, W est Frankfort,
President; J. M . Appel, Highland Court, Vice-President; M . A . Graettinger, Chicago, Secre
tary; Olive S. Jennings, Chicago, Assistant Secretary; W . H . Drewel, Charleston, Treasurer.
G R O U P C H A I R M E N : I — E . F. Anson, K ew anee; I I — G . K . Slough, Abingdon; I I I — H . H
Badger, A m b oy; I V —A . K . Foreman, Chicago; V — C. A . M ueller, Kankakee; V I — E . E.
Core, R obinson; V I I — E . B . Appleton, Litchfield; V I I I — J. C . Whitefield, Quincy; I X — L.
G . Gee, Lawrenceville; X — Earl Karraker, M ound C ity.
W . B . Crawford, Pres.
G R O U P S E C R E T A R I E S : I —C. D . D ePauw , K ew anee; I I — John B . Fleming, Peoria; I I I —
F. P. Baker, Stillman V alley; I V — W . M . Givler, N aperville; V — W . D . Kitchell, Danvers;
V I — G . H . Baker, U rbana; V I I — J. E . M cD a v id , R aym ond ; V I I I — George D yson, Rush
ville; I X — Henry Eversm an, Effingham ; X — B . G . Gulledge, M arion.
M id-W inter I. B. A . Dinner
Attracts 760 Bankers
By W i l l i a m H. Maas.
Seven hundred and sixty bankers,
representing institutions from every
county in Illinois, and approximating
an attendance record of more than 40
per cent of the total membership of the
Illinois Bankers Association, attended
the annual midwinter dinner of the or
ganization at the Palmer House in Chi
cago on January 20th. The banquet
followed executive sessions of the
officers and group chairmen earlier in
the day.
Taking as his theme “ Present Day
Problems,” Congressman Fred S. Pur
nell of Indiana, stressed the necessity
for restoring the farmer to an equality
with the prosperity of industry. For
ward steps along this line should he
taken, he asserted, even though such
legislation should contain some unde
sirable features.
“ More than 20,000 bills are now in
the hopper at Washington before the
House,” he pointed out. “ There are
in existence today more than 2,000,000
laws, and this number is being in
creased at the rate of 200,000 every
year. If a policeman started in to read
all of these laws, working eight hours
a day, it would take him 900 years.”
He pointed out that in Washington
there are more than 200 organizations
propagandizing Congressmen, ostensi
bly in behalf of worthy causes. Less
than 25 per cent, he said, are honest
and legitimate organizations.
George E. Allen, nephew of the late
“ Private” John Allen of Mississippi,
gave a humorous talk under the guise
of “Einstein’s Theory of Relativity As
Applied to Banking.” Walter B. Craw
ford, president of the association, was
toastmaster.
W m . D. Kitchell
Elected to Directorate.
William D. Kitchell, cashier of the
Farmers State Bank of Danvers, 111.,
has been elected to the board of di
rectors of that institution. Mr. Kitchell
is secretary of Group Five of the Illi
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
nois Bankers Association. The Farm
ers State Bank had a very satisfactory
year and made substantial additions to
its reserve funds.
Mr. Kitchell reports that the Mc
Lean County Credit Bureau is now in
operation and is rapidly being per
fected.
The annual meeting of Group Five
will be held in Pontiac and tentative
plans have already been worked out.
Bledsoe Is Cashier
St. Elmo State Bank.
Geo. W. Bledsoe of Altamount has
been re-elected cashier of the St. Elmo
State Bank, St. Elmo, 111., succeeding
Elza Grider, who has moved to Van
dalia to become county treasurer of
Fayette County. Mr. Bledsoe was for
merly cashier of the St. Elmo State,
but resigned to take a position with the
Johnston-Hicks Mill Co. three years
ago.
Tubbs Heads National
Bank of Monmouth.
J. A. Tubbs has been elected presi
dent of the National Bank of Monmouth
to succeed D. E. Gayer, who resigned
because of ill health after having been
identified with Monmouth banks for
thirty-three years.
In December, 1893, Mr. Gayer en
tered the National Bank of Monmouth
as a clerk and was promoted to teller
in 1903. The year following he was
named first assistant cashier and in
1907 he was elected cashier. From
1907 to 1921 Mr. Gayer served as cash
ier of the institution, and after the
death of W. C. Tubbs, Mr. Gayer was
elected president. At the time Mr.
Gayer entered the employ of the Na
tional Bank of Monmouth the capital,
surplus and undivided profits were
$258,742.02 and the deposits were $193,419.22. On March 28, 1921, a special
dividend of $100,000 was paid to the
stockholders in one lump sum, and in
addition dividends have been paid reg
ularly for many years past. At the
present time the capital, surplus and
undivided profits of the bank amount
to $377,732.68. The deposits at this
M . A .Graettinger, Sec’y
time are approximately $1,935,000.
Mr. Tubbs has been with the bank
for twenty-four years, during the last
period of which he has been cashier
of the institution. He is well known
not only in Monmouth, but in banking
circles throughout the state.
John E. Zimmer, assistant cashier,
was advanced to the position of cash
ier. Although he is the youngest bank
cashier in Monmouth he has been with
the bank for twenty-two years.
Other officers of the bank include F.
A. Martin, first vice-president; O. S.
French, second vice-president; W. B.
Zimmer, assistant cashier, and L. F.
Boyer, assistant cashier.
Directors
are: F. A. Martin, chairman of the
board; Myra T. Ricketts, F. O. Johnson,
J. D. Diffenbaugh, W. K. Stewart, A.
R. Tubbs, O. S. French, J. A. Tubbs,
D. C. Frantz, J. F. Schweitzer, Henry
L. Jewell and R. E. White.
F irst National of Chicago
Has Prosperous Year.
The annual statement of the First
National Bank of Chicago shows total
deposits of $258,305,000, an increase of
four and a half million in the past year.
Combined earnings of the First Na
tional and the First Trust and Savings
Bank for the year were $5,196,000. The
banks declared $3,300,000 in dividends
and added the balance to undivided
profits.
“ Banking, like all other branches of
business, has had a prosperous year,”
comments President Melvin A. Traylor.
“ Money rates on the whole have been
low, but, on the other hand, the vol
ume of business has been great, and
losses have been relatively few. Bank
ing, like other businesses, is best off
when the turnover is large, even if the
average profit is small.
“The trend of business during this
last year has shown the impossibility
of forecasting with accuracy the fu
ture. Most observers a year ago ex
pected that by the end of the year we
should be in a time of marked depres
sion. Fortunately, these predictions
did not come true, but it shows how
easily even the most expert economist
St. Louis, February, 1927
may be misled. Again we are hearing
that for one reason or another, largely
owing to the situation in the automo
bile and the building industries, we
shall be face to face with a recession
next year. This may be so, but as long
as credit remains as plentiful as at
present, and stocks as low as they are
now, there is no reason to anticipate
anything resembling a crisis in our af
fairs—given fair crops and no untoward
happenings in the world outside of our
own boundaries.”
First Na tional, Belleville,
Re-elects Officers.
Officers of the First National Bank
of Belleville have been re-elected for
the ensuing year. They are: George
B. M. Rogers, president; Adolph Knobeloch and Cyrus Thompson, vice-presi
dents ; Philip Gass, cashier and trust
officer; Ernest H. Gass, assistant cash
ier, and C. A. Heiligenstein, assistant
trust officer.
Members of the Board of Directors
are: George B. M. Rogers, David Baer,
George E. Baker, W. J. Fischer, Philip
Gass, Victor Gauss, William Kloess, Ad.
Knobeloch, Dr. Charles H. Starkel,
Cyrus Thompson and J. J. Weingaertner.
47
ville, 111. W. J. Reichert was named
president; Frank Gundlach and Wil
liam A. Hough, vice-presidents; Arthur
Eidman, cashier, and William Schmidt,
Jr., assistant cashier.
Former State Senator R. E. Duvall
retired from the board. Three new
members were admitted to the direc
torate. They are: J. Edward Yoch,
Hugo Ehret and Ed P. Petri. Other
directors are: W. J. Reichert, Arthur
Eidman, F. J. Tecklenburg, Arthur
Buesch, Dr. William A. Bahrenburg, H.
F. Fix, Frank Gundlach, William A.
Hough, Dr. Henry Reis, Eouis Wolfert
and Dr. J. K. Conroy.
Fox is Vice-President
Hyde P a r k State Bank.
At the anual meeting of the Hyde
Park State Bank, Chicago, Charles E.
Fox, member of the board of directors,
was elected a vice-president. Directors
include M. A. Harmon, W. O. Nance,
C. E. Fox, L. J. Burke, F. W. Howes,
J. A. Carroll, W. J. Pringle, M. J. Oliver,
T. A. Collins.
Ne w m a n National Bank
Has H a lf Million Deposits.
Deposits of the Newman National
Bank of Newman, 111., are now $509,600, with resources $685,200.
Scott
Burgett is president, Jay T. Burgett,
vice-president, Geo. O. Moore, cashier,
and S. R. Burgett and Chas. C. Bur
gett, assistant cashiers. Directors in
clude Scott Burgett, Geo. O. Moore, F.
L. White, J. B. McCown and W. M.
Young.
K im b e ll T r u s t and Savings
Has Officers’ Bonus.
The Kimbell Trust and Savings Bank
of Chicago awarded a bonus to its offi
cers and employes of five per cent of
their anual salary. The regular quar
terly dividend of 2y 2 per cent was
paid stockholders. The anual dinner
to stockholders was held in, the lobby
of the bank January 10.
F arm e rs State Bank
O f Medora Statem ent.
Conservative Traditions
The Farmers State Bank of Medora,
111., now has deposits of $284,200, with
resources more than $350,000.
J. L.
Tober is president of the institution,
with E. B'. Simmons and F. E. Whit
field vice-presidents; H. L. Warner,
cashier, and W. D. Patton, assistant
cashier.
in Modern Banking
In the Illinois Merchants Trust Company, the traditions of a
half century of conservative banking stand back of each trans
action. {jW ith its large financial resources, its highly developed
and specialized facilities and organization, its intimate business
and governmental contacts at home and abroad, this institution
is today one of this country’s leading banks — a logical choice
for banks or commercial concerns establishing a Chicago bank
ing connection. ^Personal attention to inquiries concerning
our specialized services will gladly be given by our officers.
A uro ra Natio nal Bank
Building N e a rly Completed.
The office portion of the new build
ing of the Aurora National Bank, Au
rora, 111., is completed and occupied by
tenants. The bank portion will be
ready in early spring. The building is
completely fireproof and one of the
best designed in the state.
Illinois M erchants
Trust company
St. C lair National
Has Ne w Board Members.
Officers for the ensuing year have
been elected by the Board of Directors
of the St. Clair National Bank of Belle
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Capital & Surplus
LA
SALLE,
JACK SO N ,
CLARK
4 5
AND
^ M illion D o lla r s
Q U IN C Y
STREETS
*
C H IC AG O
Mid-Continent Banker
48
First National Elects Two
New Vice-Presidents
“ROLLof HN r BAMS
INILLINI)IS
0
James P. McManus and Alfred B.
Johnston were elected vice-presidents
of the First National Bank of Chicago
at the Meeting of the board of direc
tors following the annual meeting of
stockholders, on January 11. Both are
promotions from assistant vice-presi
dent and both are members of the
bank’s Quarter-Century Club. Mr. Mc
Manus is in the Banks and Bankers di
vision and is well known throughout
the middle West, having been con
sistent in attendance at conventions
for many years. Mr. Johnston is at the
head of the personnel division of the
bank.
Carl E. Schiffner, who served a long
apprenticeship in the Advertising and
New Business department, was made
assistant cashier in one of the loaning
divisions. He has a large acquaintance
among men who write financial copy
and has been active in the promotion
of better bank display windows.
In the First Trust and Savings Bank,
Austin Jenner was appointed assistant
cashier and John D. Pollock was made
assistant manager of the Real Estate
Loan department. Roy R. Marquardt
was promoted from assistant cashier
to assistant vice-president. All officers
of both banks were re-elected and
there were no changes in the boards
of directors.
0 1
It is an honor to be listed among the Honor Roll Banks of
Illinois. It indicates that the bank has Surplus and Undivided
Profits equal to or greater than its capital!
Such distinction is accorded to the banks listed on this page.
By careful banking and sound management they have achieved
this enviable position.
These banks will be especially glad to handle any collections,
special credit reports or other business in their communities which
you may entrust to them.
Correspondence is invited.
Bank
Capital
City
Abington....... First National..................... ...$
75,000
25,000
Alexander..... ...Alexander S tate.................
Assumption......Illinois State.........................
25,000
100,000
Beardstown... „.First Sta te...........................
30,000
Berwick ..... Farmers S ta te.....................
Bloomington.. ....American S ta te...................
100,000
100,000
Bloomington.. ...Corn Belt State...................
Canton........... ...Canton N ational.................
125,000
25,000
Chapin........... ....Chapin State........................
500,000
Chicago......... ...Central Mfg. District.........
Chicago......... ...Cont. & Com. Tr. & Svg.. ... 5,000,000
250,000
Chicago......... .. Drovers Tr. and Svg...........
Chicago......... .. First Tr. and Svg................ ... 6,250,000
Chicago......... ...First N ational..................... ... 12,500,000
4,000,000
Chicago......... ...Foreman National..............
Chicago......... .. Harris Tr. and Svg............ ... 3,000,000
Chicago......... ...Illinois M erchants............. ... 15,000,000
Chicago......... .. Northern Trust Co............ ... 2,000,000
Chicago......... ... State Bank of Chicago..... ... 2,500,000
Chicago........ ...Union Trust Company...... .. 3,000,000
De Kalb......... .. First N ational.....................
100,000
100,000
D ixon............. ....City National......................
50,000
Flora.............. ...First National.....................
150,000
Freeport........ ...First National.....................
25,000
Grand Ridge.. ...First National.....................
25,000
.Farmers State.....................
Greenfield
400,000
Joliet..................First N ational.....................
Toliet National.....................
150.000
Toliet
Joliet.............. .. Joliet Trust and Savings Bank 100,000
200,000
La Salle......... .....La Salle National Bank....
Murphysboro ...City National .....................
50,000
125,000
Mt. Vernon... ...Third National ..................
25,000
New Athens.... State Bank of New Athens
100,000
Rnshville
Rushville S ta te...................
25,000
Tiskilwa......... ...First State............................
50.000
....First N ational.....................
Urbana
75,000
W arren.......... ... State Bank...........................
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Surplus
and Profits
$ 175,000
50,000
65,000
180,000
35,000
336,000
255,000
175,000
56,000
670,000
11,377,000
517,000
10,534,000
17,956,000
4,588,000
4,874,000
35,231,000
5,347,000
6,563,000
3,923,000
160,000
200,000
75,000
430,000
33,000
30,000
600,000
650,000
119,633
330,000
62,000
200,000
45,000
105,000
30,000
60,000
95,000
State Bank of
R iv e r Grove Opens.
The State Bank of River Grove, River
Grove, 111., had 450 accounts on open
ing day last month, with $25,000 in de
posits. Herbert E. Schnadt is cashier.
W. H. Schewe, cashier of the Franklin
Park State Bank, is president of the
River Grove bank.
Charles J. Schuetz
Heads F ir st State Bank.
The First State Bank of O’Fallon,
111., has elected officers for the year.
Charles J. Schuetz, who has served as
president of the First State Bank since
the death last May of George E. Cros
by, has been elected to the office. Other
officers are: F. J. Reiss, first vicepresident; M. Schwarz, second vicepresident; Thomas T. Gordon, cashier,
and H. E. Fischer, assistant cashier.
Directors elected are:
Charles J.
.Schuetz,
Thomas T. Gordon, M.
Schwarz, Charles D. Schafer, F. J.
Reiss, Henry E. Fischer and Henry
Waehter.
Congressman E. M. Irw in
Heads Belleville Bank.
i
Congressman E. M. Irwin has been
elected president of the Belleville Bank
49
St. Louis, February, 1927
and Trust Company of Belleville, 111.
Other officers are: Jacob H. Mueller,
first vice-president and trust officer; C.
A. Feickert, second vice-president;
George Niess, third vice-president; Nic
Wuller, cashier.
The Board of Directors consists of
the officers and William Eckhardt, Jo
seph B. Reis, Hugo L. Heinemann,
George E. Wuller, J. F. Engelke, B. E.
Twitchell, Louis Klingel and William
M. Hoppe.
Election of Officers at
F ir s t Na tional, O ’Fallon.
E. H. Smiley has been elected pres
ident of the First National Bank of
O’Fallon, 111. Other officers are: Geo.
W. Tiedemann, first vice-president; Dr.
H. T. B'echtold, second vice-president;
W. R. Dorris, cashier, and G. B. Gieser
and A. E. Tiedemann, assistant cash
iers. Directors chosen are:
E. H.
Smiley, George W. Tiedemann, Dr. H.
T. Bechtold, W. R. Dorris, Charles T.
Smiley, C. E. Tiedemann, H. E. Tiede
mann and Julius A. Schalter.
County Judge Made Bank
Dire ctor in Greenville.
County Judge John D. Biggs has been
elected a director of the State Bank of
Hoiles & Sons at Greenville, 111., suc
ceeding W. G. Kaeser, who recently
removed to Madison, Wisconsin.
Other directors of the Greenville in
stitution are: J. M. Daniels, Guy B.
Hoiles, G. J. McCune, George V. Wiese,
U. S. De Moulin, Will C. Carson, Dr.
A. M. Keith and C. E. Hoiles.
Officers follow: C. E. Hoiles, presi
dent; J. M. Daniels, vice-president and
cashier, and G. J. McCune, J. F. Smith
and F. E. Martin, assistant cashiers.
Strength supplemented by friendly ,
understanding service, has fo r almost
sixty years drawn the patronage o f
banks from all over the country to this
institution ,
We invite your account.
THE STOCKYARDS NATIONALBANK
THE STOCK YARDS TRUST &SAVINGS B A N K
o r C H IC A G O
M a r k Smith Now W it h
Rochelle T r u s t and Savings.
Mark Smith, cashier of the Esmond
State Bank, Esmond, 111., has joined
the Rochelle Trust and Savings Bank
of Rochelle.
H e rg e t National Has
Deposits of $1,251,700.
The Herget National Bank of Pekin,
111., now has deposits of $1,251,700 and
resources of $1,918,000. W. P. Herget
is president, with H. G. Herget and
George
Ehrlicher,
vice-presidents;
Louis J. Albertsen, cashier, and W. A.
Stockert, assistant cashier. Directors
include H. G. Herget, Henry Birken
husch, George Ehrlicher, C. G. Herget,
D. D. Velde, Louis C. Moschel and W.
P. Herget.
J U A iJ K
C ilB C Ä S
«
J U r J T fS J m M lD 3
STOCK L’SRTii'iCATSÌJ AHD 3ÖH.D3
o
pQ
UALï
J
t ï a î w o& rssw rru jM
S e r v i c e * * *
the biggest thing ive have,
and most cheerfully
given
N e w Building fo r
Addison T ru st, Chicago.
Plans have been drawn for a new
home of the Addison Trust and Sav-
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Federal Reserve Bank of St. Louis
-------- ---------
Mid-Continent Banker
50
ings Bank at Addison and Southport,
Chicago. The building will be com
pleted by April, Officers of the bank
are M. J. Schmidt, president, and W.
H. Bolton, secretary and treasurer.
State Bank and Trust Co., of Evanston.
F. J. Scheidenhelm, president of the
bank, was in charge of the ceremony.
P E R S O N A L N O T E S OF
IL L IN O IS B A N K E R S
A. A. R. Nelson
has been made vice-
president and cashier of the Berwyn
Trust and Savings Bank, Berwyn, 111.
L. W . Corboy Leaves
Ce ntral T ru s t Company.
L. W. Corboy, advertising manager
of the Central Trust Company of Illi
nois, Chicago, for the past four years,
has left the bank to become associ
ated with the M. J. Corboy Company,
plumbing contractors, Chicago.
F irst Bank and T ru s t
of Cairo Has $2,427,000.
Deposits of the First Bank and Trust
Company of Cairo, 111., are now $2,427,000. Resources are $2,828,296.
Offi
cers include Reed Green, president;
W. P. Halliday, vice-president; W. H.
Wood, vice-president; O. B. Hastings,
vice-president; H. R. Aisthorpe, cash
ier and secretary; H. C. Steinel, H. E.
Emerson and V. M. Brown, assistant
cashiers.
T h e Illinois State Bank of Evanston,
111., has been opened for business with
capital of $100,000.00 and surplus of
$15,000.00. John H. Taft is president
and Bruce E. Hakes cashier.
H. A. Champion, cashier of the Lov-
ington Bank, 111., died last month at
the age of 60.
Ro bert
M. J. Sc hmid t has been elected presi
dent of the Addison Trust and Savings
Bank of Chicago.
G. A.
Barton,
fo r m e rly
cashier,
has
been elected president of the Bluford
State Bank, Bluford, 111. J. E. Pepple
resigned as president and has sold his
stock interests.
E. C. Roe has resigned as cashier of
the Farmers’ National Bank of Prince
ton, 111., and has gone to Florida with
Mrs. Roe to spend the winter.
Vernon
W a lla c e
has
been
elected
director of the First National Bank of
Chicago Heights to succeed Frederick
Wilkening, Sr., president of the Chi
cago Heights Real Estate Exchange,
who has resigned to devote all his time
to the real estate business.
D.
Mathias, vice-president of
the Depositors’ State Bank, Chicago,
for a long time identified with the ac
tivities of the Financial Advertisers
Association in Chicago, was elected
vice-chairman of his bank’s board of
directors at the annual meeting of
stockholders.
H a r r y H. Ha ll, has resigned as assist
ant cashier of the First Trust and
Savings Bank of Bloomington to enter
the real estate and farm management
business. He is the son of Senatorelect Homer W. Hall.
J.
L.
B rum m ers tedt,
cashier
of the
Triangle State Bank of Chicago, was in
Effingham on business last month. He
was one of the organizers of the First
National Bank of Altamont and was
formerly cashier of that institution.
Gurney Lindle y of Neoga bought the
W illiam
A.
Dyche, chairm an
of the
board, gave the principal address at
the laying of the cornerstone for the
Our Old
Customers
Neoga National Bank building at the
receiver’s sale for $2,641. Fixtures
were sold to several individuals.
BANK.
v m 'c ruR ts
•BUILT' BY’
SP E C IALISTS
are w ell p le a s e d w ith t h e w a y w e
h a n d le th e ir tr a n sa ctio n s , a n d w e
b e lie v e th a t w e c o u ld n u m b e r
m a n y m ore banks am on g our
c u s to m e r s if w e h a d t h e o p p o r
t u n it y o f d iscu ssin g th e m a t te r o f
a S t. L o u is c o r r e s p o n d e n t w ith
th em .
*
+
*
W h o •c o n f i n e
e ffo r ts
to
*
th e m
t h i s o n e.
lin e s h o u ld b e - th e /
m ost
n eed s
s a lte d
to th e
o f t h e b an k er
a.tvd t o t h e c o m f o r t *
E . C . A d a m s,
L e o G . D e so b ry ,
Vice-President
H . L . R o g ers,
President
of
h is
c u sto m e rs.
L e o p o ld G rossb erg,
Vice-President
H . F . H o en e r,
Vice-President
F . H o ffm a n ,
Secretary- Treasurer
Assistant-Secretary
U E T • U S •T E L L Y O U
BROADWAY TRUST
COMPANY
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Federal Reserve Bank of St. Louis
of S T . L O U I S
ABOUT
L .D .L A C Y C O M P A N Y
S Y N D IC A T E . T R U ST
B U IL D IN G / *
S T . L O U IS , A V O -
51
St. Louis, February, 1927
W . F. Gephart
Elected Cashier.
H. I. Bloomberg, assistant cashier of
the Woodhull State Bank, Woodhull,
111., has resigned to accept a position
in a bank in Evanston, 111.
Paul Lansford, f o r m e rly w ith Em ery ,
Peck & Rockwood, is now associated
with the bond department, municipal
division, of the Chicago Trust Com
pany, Chicago, 111.
John
F. Phillips, assistant secretary
of the Foreman Trust and Savings
Bank, Chicago, 111., has been promoted
to the position of vice-president; John
W. Ogden to assistant manager of the
bond department; Lambert W. Mullin
to assistant cashier, and Lewis C. Coyner to assistant trust officer.
Glen
M.
Ruckrigel, assistant cashier
of the Farmers’ State Bank of Clifton,
111., for the past three years, has been
made cashier of the State Bank of
Kempton, 111.
J.
H.
Hopson,
59,
president
of the
Indiana
H. F ra n k Ricker, 70, for years cashier
William F. Gephart has succeeded his
brother, Charles, as cashier of the First
State B'ank of Galveston, Indiana. Mr.
T w o Bourbon
Banks Consolidate.
The Bourbon Banking Company and
the First State Bank, Bourbon, Ind.,
have been merged under the name of
the First State Bank of Bourbon. The
bank is to be housed in the present
building of the First State B'ank. C.
M. Parks, who has been cashier of the
Bourbon Banking Company, will be one
of the officials of the new bank.
Open Ne w
Bank Building.
The American Trust and Savings
Bank, Hobart, Ind., opened their new
bank building January 8th. While the
building was remodeled, it was prac
tically rebuilt. New outside walls
were put in, with granite and stone
pillars around the front; terrazza floors;
new fixtures, and it was newly deco
rated throughout. The cost of the im
provements was about $35,000.00.
Stillwell State Bank at Stillwell, 111.,
died October 30th.
of the Ricker National Bank, Quincy,
111., died recently.
Notes
E. A. Wilson has been elected presi
dent of the First State Bank of Porter,
Ind. Harry L. Arnold, president of the
Gary Trust and Savings Bank, was
named chairman of the board.
W illiam F. Gephart
Gephart began his banking experience
at the Liberty Central Deposit Bank,
Liberty Center, Ind., in 1913, and con
tinued there until 1917, when he en
listed in the service. He spent a year
Correspondent
A “ M idsum m er D a y ” in April
N ew Orleans
banks
having
no foreign exchange facilities
are
offered
a comprehensive
service on im port, export and
XXV
travel item s.
T e n n is
T e n n i s is o n ly o n e o f th e m a n y y e a r
’ ro u n d s p o r ts e n jo y e d in N e w O r le a n s .
T h e c o u r ts a t th e t e n n is c lu b s , p u b lic
parks,
cou n try
c lu b s ,
p la y g r o u n d s ,
s c h o o ls a n d c o ll e g e s p r o v id e th e d e v o
te e s o f th e g a m e w ith a m p le fa c ilitie s fo r
it s f u ll e n jo y m e n t . T h e p h o t o g r a p h
( a b o v e ) s h o w s T i l d e n a n d C h a p in re s t
i n g b e t w e e n s e t s d u r in g th e ir e x h ib itio n
m a t c h o n th e N e w O r le a n s C o u n t r y C lu b
c o u r ts A p r i l 1 2 th , 1 9 2 5 .
THE NORTHERN
TRUST COMPANY
Capital, Surplus and Undivided
Profits Over $7,500,000
Northwest Corner LaSalle and Monroe Sts.
Hibernia Bank & Trust Co.
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Federal Reserve Bank of St. Louis
N e w O r le a n s , U .
S. A .
C H IC A G O
52
Mid-Continent Banker
TH E
BANKER
in France, and upon his return accept
ed a position with the Anderson Loan
Company at Anderson, Ind. He has
had a broad experience in financial and
economic conditions, both in the United
States and abroad.
Charles Gephart has accepted a posi
tion as assistant cashier of the Studebaker Bank at Bluffton, Ind.
More than seventeen hundred people
The Banker, published in London by Eyre & Spottiswoode,
Limited, Printers to the K ing’s M ost Excellent M ajesty, is
one of the most distinguished financial journals in the world.
Its contributors and correspondents include such eminent au
thorities as Sir Robert Horne, M. P., late Chancellor of the
Exchequer; the Right H on. Philip Snowden (a former Chan
cellor of the Exchequer in the Government of Great B ritain );
Joseph Caillaux, formerly Prime Minister and Minister of
Finance in the Government of France; Count Volpi, Minister
of Finance in Italy, etc.
The Banker has the largest sale of any banking journal pub
lished in the British Empire, The technical production is
unsurpassed and is worthy of its editorial distinction. A ll sec
tions of the British Press have paid tribute to its remarkable
influence, and it is perhaps, the most quoted of all banking
journals.
Each issue contains a comprehensive article on banking af
fairs in the United States, and special advertisement positions
are available facing this section.
Many great American Banks will find it highly advantageous
to be represented in the advertising pages of The Banker. It
is read by the leading bankers of Europe and the British
Empire, many of whom are potential customers of American
banks.
visited the hanking rooms of the First
National Bank and the First Savings
and Trust Company, Batesville, Ind.,
during the formal opening of the First
Savings and Trust Company.
Charles
H.
Sm ith
has
been elected
vice-president of the Lagrange State
Bank, Lagrange, Ind., succeeding the
late Charles S. Nichols. He also suc
ceeds Mr. Nichols on the hoard of di
rectors.
Charles Owens, cashier of the F a r m
ers and Merchants Bank, Waynetown,
Ind., died recently.
Aaron
S.
Berg er has
been
elected
cashier of the Akron State Bank,
Akron, Ind., succeeding John McCul
lough, who has retired on account of
ill health.
T he G rabill State Bank, Grabill, Ind.,
W e shall be pleased to send you a specimen copy of The
Banker, together with full particulars of the available ad
vertisement spaces, upon application.
has been chartered with capital of
$30,000.00. David Klopfenstein is presiident and Albert Eegely, cashier.
EYRE & SPO TTISW O O D E, Lim ited
nected with the Roachdale Bank, Roachdale, Ind., since its organization, died
recently.
John
P rinters to th e K in g ’ s M o s t E xcellen t M a je s ty ,
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Federal Reserve Bank of St. Louis
9 E ast H a rd in g S tre e t, L o n d o n , E. C . 4
H. Jeffries, who has been con
W illiam
T.
Hin dm an ,
age
seventy-
eight, president of the Burlington State
Bank, Burlington, Ind., died recently.
C. E.
K elly
has been
elected
presi
dent of the Irvington Bank of Indian
apolis.
S.
Advertise
L.
M ay
has
been
elected
presi
dent of the Citizens National Bank,
Evansville, Ind., succeeding W. W.
Gray.
A state c h a r te r has been granted to
in the
the Arlington State Bank, Arlington,
Ind., to take over the business of the
Arlington Bank. It is capitalized at
$25,000.00.
H a r r y W . Bye has been appointed as
Mid-Continent Banker
sistant cashier of the First National
Bank, Milltown, Ind.
B. F. Adams,
vice-president
of
the
Bloomington National Bank, Blooming
ton, Ind., died recently.
St. Louis, February, 1927
53
K entucky Notes
Douglas Graham
Now President.
At the January meeting of the board
of the Bank of Pembroke, Kentucky,
Douglas Graham, cashier of the hank
for the past twenty-four years, was pro
moted! to the position of president, suc
ceeding M. L. Levy, who was appointed
chairman of the board. Charles W.
Johnston, formerly assistant cashier,
was promoted to the position of cashier
and Judge Douglas Bell of Hopkins
ville was elected vice-president and at
torney for the bank.
erection of a splendid new home. The
building is constructed of stone and
brick and is modern in every respect.
A modern fire and burglar proof vault
with safety deposit boxes has been in
stalled.
T w o W a lto n
Banks Consolidate.
The Walton Bank and Trust Com
pany and the Equitable Bank and Trust
Company, Walton, Kentucky, have been
consolidated under the name of the
Walton Equitable B'ank. Officers of the
new bank are: R. C. Green, president;
and John C. Miller, cashier. The
merged bank will erect a new $40,000.00
building.
N e w Bank
A t Eliza bethto wn.
W . A. W ic k liffe
Is Dead.
The Union National Bank of Eliza
bethtown, Kentucky, has been char
tered with capital of $50,000.00 and sur
plus of $5,000.00. It is a conversion of
the Union Bank and Trust Company.
H. L. Igleheart is president; Claud
Brown, vice-president; J. A. Gardner,
cashier, and Susie Hagan and Mrs.
Conley Owen, assistant cashiers.
W. A. Wickliffe, chairman of the
board of the First National Bank,
Greenville, Ky., died January 1st. C. E.
Martin, formerly vice-president, was
elected to chairman of the board. John
T. Reynolds is president of the bank.
Complete New
Bank Building.
The G. W. Davidson & Co., bankers
of Auburn, Ky., has completed the
Paducah Bank
Opens Ne w Home.
Several hundred people attended the
formal opening of the People’s Nation
al B'ank, Paducah, Ky., Kentucky’s new
est banking house. A reception open
to the public was given in the after
Complete
Financial
Service
We S o lic it Y ou r
St. Louis Account
Corre spondence
Invited
t iB llf y Central Trust Company
MEMBER
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Federal Reserve Bank of St. Louis
FEDERAL
RESERVE SYSTEM
ST. L O U IS
noon and an opportunity was given in
the evening for everyone to inspect the
building.
The new bank is established in a
handsome new brick building on
Broadway between Sixth and Seventh
streets. The building is finished in
Tennessee pink marble with interior
fixtures of mahogany and bronze.
Officers and directors of the new
firm are: W. A. Blackburn, president;
Nolan W. Van Culin, vice-president,
and chairman of the board of direc
tors ; A. B. Thomson, vice-president and
cashier.
Add T ru s t
D e pa rtm e nt to Bank.
The bank of J. Amsden & Co., Lex
ington, Ky., under the authority of the
state banking department, has added
a trust department and will hereafter
do a general trust business.
H ow ard
Blankenbeker, 75,
president
of the Citizens Bank of Erlanger, Ky.,
and said to be the largest land owner
in Boone County, died recently.
Charles
S.
W e a k le y
has
succeeded
of the Farmers and Traders’ Bank,
Shelbyville, Ky.
George
K.
Graves, vice-president
Serving
the Fourth
Generation
A complete up-to-theminute bank, offering
every modern banking
service
L IB E R T Y
INSURANCE
B A N K
LOUISVILLE
RESOURCES OVER $28,000,000
of
54
Mid-Continent Banker
the Security Trust Co., Lexington, Ky.,
has been elected to the City Board of
Education.
Joseph
A.
M anning,
60
years
old,
vice-president of the National Deposit
Bank of Owensboro, Ky., died recently.
ier of the Wallins Creek National Bank,
Wallins Creek, Ky.
H a m le t
James David Middleton, 79 years old,
cashier of the Farmers and Traders
Bank, Shelbyville, Ky., and one of the
oldest and most widely-known bankers
of the State, died November 18th.
Sterlin g
W ills
has
been
promoted
from cashier to vice-president of the
First Hardin Bank, Elizabethtown, Ky.
Green
W i l l i a m Dean has been elected cash-
TH E J.H . W ISE CONSTRUCTION CO M PANY
M a n u fa c tu r e r s o f C om p lete In terior E q u ip m en t
Engineers
:
Designers
:
SYNDICATE TRUST BUILDING
Constructors
ST. LOUIS, MISSOURI
Sharp,
cashier
of
the
B. T u rle y , 59, assistant cash
ier of the State Bank and Trust Co.,
Richmond, Ky., died December 5th.
W illis
Better Bank Buildings
S.
State National Bank, Maysville, Ky.,
died recently.
H. Johnson, vice-president of
the Gratz Deposit Bank, Gratz, Ky.,
died recently of pneumonia.
Plans have been made by the stock-
holders of the Florence Deposit Bank
of Florence, Ky., to increase the capi
tal stock from $15,000.00 to $35,000.00
Ben
Grogan
has
been
elected
vice-
president of the Bank of Murray, Ken
tucky.
T he
THE
Hanover National Bank
OF THE C ITY OF NEW YORK
Corner Nassau and Pine Streets
ESTABLISHED 1851
C a p ita l
.
.
S u rp lu s a n d P ro fits
.
.
$ 5 ,0 0 0 ,0 0 0
$ 2 6 ,0 0 0 ,0 0 0
W ILLIAM H AYW AR D , President
E. H A Y W A R D FERRY, Vice-President
HENRY P. TURNBULL, Vice-President
FREDERICK A. T H O M A S , Ass’ t Cashier
SAMUEL W OOLVER TON, Vice-President
W ALTER G . NELSON, Ass’ t Cashier
JOSEPH BYR NE, Vice-President
CHARLES B. CAM PBELL. Ass’ t Cashier
JOSEPH S. LOVERING, Vice-President
W ILLIAM B. S M IT H , Ass’t Cashier
JAMES P. GARDNER, Vice-President
W IL LIA M H. ALLEN, Ass’ t Cashier
GORDON H . BALCH , Vice-President
W IL LIA M J. LO G AN , A s s ’ t Cashier
W ILLIAM E. CABLE, Jr., Cashier
FRANK W O O LLEY, A s s ’ t Cashier
J. NIEM ANN, Ass’t Cashier
ELTON E. O G G , Trust Manager
GEORGE E. LEW IS, Ass’ t Cashier
FOREIGN DEPARTMENT
W IL LIAM H . SU Y D A M , Vice-President and Manager
ROBERT NEILLEY, Ass’ t Manager
FREDERIC A . BUCK, Ass’t Manager
Bank
of
New
Castle,
Ky.,
has
been chartered with capital of $20,000.00.
Ben J.
Metcalfe, fo r m e rly vice-presi
dent and cashier of the Louisville Na
tional Bank, Louisville, Ky., has been
made vice-president. J. Wm. Watkins,
assistant cashier, has been promoted to
the position of cashier.
M. A. Cooper has been elected vice-
president of the Union National Bank,
Elizabethtown, Ky.
T. A.
Pardue
has
been
elected as
sistant cashier of the Farmers National
Bank, Scottsville, Ky.
A.
H. Bowman has been elected pres
ident of the Morris Plan Industrial
Bank, Louisville, Kentucky.
Judge
C.
W.
Goodpastor
has
been
elected president of the Farmers Bank,
Maysville, Ky., to fill the vacancy
caused by the death of Mr. Goodpastor.
D o b u s in e s s w it h t h is strong- c o m p a n y ,
w h ic h h a s g a in e d a c o u n t r y -w id e r e p u t a
tio n a s a “ N a t io n a l I n s t it u t io n o f S e r v
ic e .”
T h e F e d e r a l S u r e t y C o m p a n y is m a n a g e d
by
e x p e r ie n c e d
u n d e r w r ite r s ,
and
has
fr o m its c o n c e p tio n b u ilt fo r S T R E N G T H
r a t h e r th a n size.
B a c k e d b y F e d e r a l S e rv ic e , th e s e lin e s
a r e w r it t e n — A c c id e n t a n d H e a lt h , A u t o
m o b ile ,
B u r g la r y ,
P la te
G la s s ,
P u b lic
L ia b i lit y a n d W o r k m e n ^
C o m p e n s a tio n
In s u r a n c e , a n d S u r e t y B o n d s .
FEDERAL SURETY COMPANY
CASUALTY IN SU RAN CE
SURETY BONDS
W. L. TAYLOR, Vice-President and General Manager
H OM E OFFICE
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
D AVEN PO RT, IOW A
Harold
Redd
has
succeeded
David
Eastin as cashier of the Union Bank
and Trust Company, Lexington, Ky.
T h e Citizens
Bank of Grayson,
Ky.,
was reorganized recently as the Citi
zens National Bank.
Read not to contradict and confute,
nor to believe and take for granted,
nor to find talk and discourse, but to
weigh and consider. Some books are
to be tasted others to be swallowed,
and some few to be chewed and di
gested; that is, some books are to be
read only in parts, others to be read,
but not curiously, and some few to be
read wholly and with diligence and at
tention.—Bacon.
55
St. Louis, February, 1927
Oklahoma
Notes
H. L. Johnson
Now President.
H. F. Johnson has retired as presi
dent of the First State Bank, B'oise
City, Okla. He has been succeeded
by Homer L. Johnson. John C. John
son is active vice-president; E. B. Mc
Mahan, vice-president, and Lester Mont
gomery, cashier.
F R. Peterson
Now at Okmulgee.
F. R. Peterson, national bank exam
iner and experienced banker, has been
elected active vice-president and cash
ier of the Citizens’ National Bank of
Okmulgee, Okla., succeeding Crittenden
Smith as vice-president, and L. W. Mc
Lean as cashier.
tion to A. H. and A. E. Symcox. Mr.
Buckley is now assistant to the chief
national bank examiner.
Lucas is cashier of the new organiza
tion and C. C. Calvin is active vicepresident.
A t a meeting of the board of directors
Sells Interest
In Cordell Bank.
ot the National Bank of Okeene, Okla.,
G. F. Roetzel was elected vice-president
and S. G. Fox, cashier. The other
officers were re-elected.
E. A. Buckley, president of the
Farmers’ National Bank, Cordell, Okla.,
has sold his interests in that institu-
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Midway
Ne w Bank
A t Mad ill.
The First National Bank of Madill,
Okla., has been opened for business
with capital of $50,000.00 and surplus
of $10,000.00. The new bank takes over
the assets of the First National Bank
and the Marshall County National
Bank. D. B. Taliaferro is president;
W. H. Colby and P. A. Norris, vie**
presidents; Joe Hannan, cashier, and
Joe P. Rierdon and Hugh Halsell, di
rectors.
Blanchard Bank
Plans N e w Home.
The First State Bank, Blanchard,
Okla., has let the contract and work
has begun on the new building on the
corner of Main and Broadway. The
present building will be torn down as
soon as it is vacated and a building
twenty-five feet wide and one hundred
forty feet long will be built.
Faithfully serving the needs of
Industrial St. Louis for the past 65
years, qualifies this bank to ex
tend its depositors experienced
financial co-operation.
Capital
Surplus
Undivided
Profits
$3,500,000
The Merchants Laclede National Bank
of St. Louis
A Royal W elcom e
Awaits You
Clarence Cooley
Elected Cashier.
Following the resignation of F. C.
Shidler, who has been cashier of the
National Bank of Kaw City, Okla., for
the past eight years, Clarence Cooley,
former Kaw City man, who has been
connected with the Home National
Bank at Arkansas City, purchased Mr.
Shidler’s interests and has begun ac
tive duties at the bank.
The
R ogers
Two Henryetta, Okla., banks have
completed a merger and opened for
business under the name of the Amer
ican Exchange Bank. J. S. Lucas and
associates of the American Exchange
Bank bought the assets and liabilities
of the Peoples’ National Bank. K. Z.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
H o te l
is
22
m in u t e s
rem oved
C h ic a g o .
In
th e h e a r t o f th e b e a u tifu l N o r t h S h o r e D is t r ic t , on
one
of
th e
w o r ld ’ s
m ost
fa m o u s
b o u le v a r d s ,
it
o ffe r s y o u :
L ig h t , a i r y o u ts id e s u it e s o f 1, 2, 3
D in in g -r o o m
a n d 4 r o o m s ( m a n y w it h k it c h e n s )
— th e
c o m fo r t s
and
r e fin e m e n ts
good n ess.
th a t
r o o m s a s lo w a s $3.00 p e r d a y ; t w o r o o m k it c h e n e t t e s , fo r t w o p e o
assu re
a b s o lu t e
g u e s t -s a t is
fa c t io n .
T w o H e n r y e tta
Banks Are Merged.
P ark
fr o m th e d ir t a n d d in o f “ d o w n t o w n ”
S e r v ic e a t
c ie n t,
th e R o g e r s
in t e llig e n t ly
o b tr u s iv e ,
P ark
re n d e r e d
is
effi
and
un
in k e e p in g w ith th e
s p le n
did r e p u t a tio n t h a t th is h o te l e n jo y s .
are
of
A t t r a c t i v e l y lo w r a t e s p re v a il.
savory
S in g le
p le, $5.00 a n d up.
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information.
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Mid-Continent Banker
56
H ib ernia Bank
Re-Elects Officers.
Louisiana
All officers of the Hibernia Bank and
Trust Company of New Orleans were
re-electel at the recent annual organiza
tion meeting of the board of directors.
The growth of the bank during the past
year is indicated by the annual state
ment, which shows deposits of more
than $52,000,000, and total resources of
$62,000,000.
O F F IC E R S L O U I S I A N A B A N K E R S A S S O C I A T I O N : P r e s i d e n t — Travis
Oliver, M onroe; Vice-President— W . P.
Connell, B aton R ouge; Secretary— J. C.
B arry,
Lafayette;
Treasurer — W . J.
M itchell, N ew Orleans.
Travis O liver. President
E X E C U T I V E C O M M I T T E E : L . O. B rous
sard, Chairm an, A bbeville; Leon H aas,
Opelousas; A . W . W atson , N atchitoches,
G . F. Provost, M ansfield: W . P . O ’ N eal,
N ew Orleans; T . J. Labbe, S t. M artin ville; Travis Oliver, M onroe; W . D .
H aas, Alexandria.
G ROUP C H A IR M E N ;
“ A ” J. P. Sealy.
Shreveport; “ B ” Jas. A . Christian, Pine"
ville; “ C ” E . E . Soulier, L a fa yette; “ D ’ ’
E . G. D avis, Baton Rouge.
At a recent meeting of the Board of
Directors of the Hibernia Bank &
Trust Company, New Orleans, A. C.
Lapeyre, who for several years has
been associated with the Trust Depart
ment of the bank, was appointed As
sistant Trust Officer.
Mr. Lapeyre was born in New Or
leans and received his early education
at Jesuit’s College from which he grad
uated in 1915. He then entered Loy
ola University, where he remained
until 1918 serving as one of their stud
ents in the S. A. T. C. during the war.
After leaving college he joined the
Hibernia in 1918 but later in that year
he went to Houma, where he accepted
a position with H. C. Minor estate at
Southdown Plantation. He left H. C.
Minor and was successively employed
by J. L. Onorato, Realtor and the Celotex Company at Gretna. In 1922 he
returned to the Hibernia and was en
gaged first in the Foreign Department
and later by the Trust Department.
Mr. Lapeyre has been active in club
work and was for three years a memI X iC
:x{c
B ank
and
Trust
Com-
Oswell
Patout
has
been
promoted
from cashier to active vice-president of
the First National Bank of Neanerette,
La.
Deposits Now
O v e r $2,000,000.
The B'ank of Commerce and Trust
Company, Mansfield, La., has deposits
of over $2,000,000.00, according to their
statement of December 31st. Ben John
son is president of the bank; R. T.
Moore, vice-president; G. F. Provost,
vice-president and cashier, and J. C.
Coyle, Hall Peyton and W. F. Moore,
assistant cashiers.
Contra ct
has been aw ard ed fo r the
construction of banking quarters for
the Richland State Bank, Rayville, La.,
to cost $60,000.00.
A r th u r
Kahn,
vice-president
of
the
Commercial National Bank, Shreveport,
La., died recently.
T h e December 31st sta tem ent of the
J. J. Ferguson
Elected Director.
At the annnal meeting of the stock
holders of the Interstate Trust and
Banking Company, New Orleans, held
January 10, the directors who served
the company during 1926 were unani
mously re-elected to serve during the
year 1927, with the addition of J. J.
Ferguson, a prominent business man
of New Orleans, president of the Wil
cox Mercantile Agency, and a director
of the St. Bernard Bank and Trust Com
pany, Arabi, La.
24X1
2MC
V id a lia
pany, Vidalia, La., has changed its
name to the Concordia Bank and Trust
Company.
ber of the Executive Committee of the
Hibernia Bank Club. He has also
served as treasurer of that body.
Lapeyre Now Assistant
Trust Officer
3HC
The
J. C . Barry, Sec’y
rxx:
IXJC
Algiers Trust and Savings Bank, Al
giers, La., shows total resources of
$1,462,182.00, with deposits of $1,115,495.86.
T h e December 31st sta tem ent of the
Richland State Bank, Raysville, La.,
shows total resources of $975,498.79,
with deposits of $825,319.74.
If a man empties his purse into his
head, no man can take it away from
him; an investment in knowledge al
ways pays the best interest.—Franklin.
:xtc
IXÍC
IX ÍC
rxx:
**5
X
L . M . P O O L , President
W . J. P I L L O W , C ash ier
J. A . B A N D I , V ice -P re sid en t
A . J. C R O Z A T , A ssista n t C ashier
W . T . M A R F I E L D , V ice -P re sid en t
G . J. F R U T H A L E R , A ssista n t C ashier
J O H N D A N E , V ice -P re sid en t
W . N . L O U Q U E , A ssista n t C ash ier
F R E D B R E N C H L E Y ,V i c e -P r e s id e n t
W . D . K I N G S T O N , T r u s t Officer
W . P . O ’ N E A L , V ice -P re sid en t
R .W . B R A D Y , A s s ’t-M g r .F o r e ig n D e p t.
The Marine Bank & Trust Company
NEW ORLEANS, LA.
X
i
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
R esou rces O v e r Thirty M illion D ollars
ACCOUNTS OF BANKS A N D
YOUR
IN T E R E S T S W IL L
BANKERS
IN V IT E D
R E C E IV E P E R S O N A L A T T E N T IO N
O F O U R O F F IC E R S
:xic=5
St. Louis, February, 1927
57
Mississippi Notes
The
T h e December 31st sta tement of the
Peoples Bank & Trust Company, Tu
pelo, Miss., shows total resources of
$3,311,469.43, with deposits of approxi
mately $3,000,000.00. S. J. High is
president of the bank; M. E. Leake,
J. M. Thomas and C. H. Dabbs, vicepresidents; V. S. Whitesides, cashier,
and W. H. Patton and R, H. Shuff, as
sistant cashiers.
T he
banks
in
S t a rk v ille ,
Miss.,
W h i t n e y - C e n t r a l Banks
N e w Orleans, L a .
We invite correspondence regarding the
far-reaching service we have to offer.
re
port continued evidence of marked
prosperity as reflected in the large de
posits being made in the various bank
ing institutions.
C a p i t a l a nd S u r p l u s , $ 6 ,6 0 3 ,0 0 0 .0 0
T h e Plante rs Bank of Tunica, Miss.,
has taken over the business of the Citi
zens’ Bank of Tunica.
J. Blake Low e has been elected vice-
president of the Capital National Bank,
Jackson, Miss., to succeed J. C. McGee.
Ed win
Harr ison,
fo r m e rly
of
Tulsa,
Okla., has been elected cashier of the
Bank of Greenfield, Mississippi. He
succeeds John M. Adams.
T he
DeSoto
County
Bank
and
the
Hernando Bank, Hernando, Miss., have
been consolidated. The banks have
combined deposits of more than $1,000,000.00.
Equitable Trust Appoints
Scranton Representative
The Equitable Trust Company of
New York announces the extension of
its service and facilities to WilkesB'arre, Scranton and the surrounding
territory through Joseph A. Bedner,
who has been appointed as its corre
spondent in this district.
Mr. Bedner has had about thirteen
years’ banking experience and is well
acquainted in Central Pennsylvania,
having been reared in Wilkes-Barre.
He is a graduate of Wyoming Semi
nary and for three years attended
evening classes at the University of
Pennsylvania.
For about ten years Mr. Bedner was
connected with the Luzerne County
National Bank, which later merged
with the Miners Bank. He was as
sistant cashier of the Luzerne Bank
for five years and for the past three
years has been cashier of the Reading
Liberty Bank, Reading, Pa.
Millions for defense, but not one cent
for tribute.—Pinckney.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The Midland Bank offers exceptional facilities for the transaction
o f banking business of every description. Together with its
affiliations it operates 2,250 branches in Great Britain and
Northern Ireland, and has agents and correspondents in all parts
of the world. The Bank has offices in the Atlantic Liners
A quita nia , Berengaria and M a u reta n ia , and a foreign branch office
at 196 Piccadilly, London, specially equipped for the use and
convenience of visitors in London.
MIDLAND BANK
L IM IT E D
H E A D O F F IC E :
5 TH R E A D N E ED LE STR E E T, L O N D O N , E .C . 2
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•222'
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Chairman
S g s I S ” -'
Joseph Reichl ,
ttSfeK I
npfnpl g
:
V-P. and Gen. Mgr.
William S. Mitchell, Res. Mgr., Hotel Baltimore
Mid-Continent Banker
58
State National Bank, Texarkana, Ark.,
succeeding E. A. Frost, who was made
chairman of the board. F. E. Pharr has
been elected vice-president of the in
stitution and F. L. Kenney, auditor.
A rkan sas Notes
Eagle Street
Now Cashier.
T. C. Justus, cashier of the Bank of
Cave City, Ark., for the past eight years,
has sold his interest in the institution.
He has been succeeded as cashier by
Eagle Street, who has been assistant
cashier of the bank for the last seven
years. Olaf Pinkston is the new as
sistant cashier.
Stu art Wilson
N o w President.
Stuart Wilson, formerly vice-presi
dent, has been elected president of the
E m m e t Mor ris
Elected President.
Gordon N. Peay, president of the W.
B. Worthen Company, Bankers, Little
Rock, Ark., has been elected chairman
of the board of directors. Emmet Mor
ris has been promoted from vice-presi
dent and cashier to the position of pres
ident. Mr. Morris was formerly asso
ciated with the Lasker Morris Bank,
which was merged with the Worthen
Company.
fi nM T>T-»
n a Sr li linv r ii ii li lcr
-
J. M. Lowe
No w President.
J. M. Lowe, cashier of the First Na
tional Bank, Paragould, Ark., since
1905, has been elected president, suc
ceeding the late A. Bertig. Cecil
Mitchell, formerly assistant cashier, is
the new cashier and Everett Rogers
has been appointed assistant cashier.
J. W . Stroud
Succeeds E. G. Sharp.
John W. Stroud, for many years sec
retary of the Ozark Fruit Growers’ As
sociation, has been chosen cashier of
the Farmers State Bank, Rogers, Ark.,
to fill the vacancy caused by the resig
nation of E. G. Sharp. Mr. Sharp has
also resigned as president of the Farm
ers Trust Company.
E.
C. W h itt in g to n
has been
elected
cashier of the Bank of Biggers, Ark.,
succeeding W. W Davidson.
Best Bank for You
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The American is such a bank and, as such,
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W . L.
Pope and George Prom berger
have been elected vice-presidents of the
Randolph County Bank, Walnut Ridge,
Ark., filling the vacancy caused by the
death of Dr. H. L. Throgmorton.
J. I. Matthew s, cashier of the Bank of
Holly Grove, Ark., died recently.
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Roland Judd has resigned as assistant
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Miss A m y Odom has been elected as
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^ A m erican 'N ation al Com pany
(AFFILIATED)
cashier of the Farmers State Bank, Rog
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L s
W illiam
W . Cate,
president
of
the
American Trust Company, Jonesboro,
Ark., died recently.
THE NATIONAL PARK
BANK
of N E W Y O R K
Established 18 56
214 B R O A D W A Y
Uptown Offices:
P ark A v e n u e and 4 6 th S treet : S ev en th A v e n u e and 3 2 n d S treet
D IR E C T O R S
C h a r le s S c rib n e r
R ic h a r d D e la field
F r a n c is R . A p p le to n
C o rn e liu s V a n d e r b ilt
G ilb e r t G . T h o r n e
T h o m a s F . V ie t o r
John G . M ilb u r n
W i l l i a m V in c e n t A s t o r
J o s e p h D . O liv e r
L e w i s C a s s L e d y a r d , Jr.
D a v id M . G o o d rich
E u g e n iu s H . O u te r b r id g e
K e n n e th P . B u d d
J oh n H . F u lto n
F r a n k L . F o lk
B e n ja m in J o y
G e o r g e M . M o f fe t t
Banking in all its branches
Commercial and Travelers’ Credit issued; Correspondents in all
principal Cities in the World. Foreign Exchange bought and sold.
Corporate and Personal Trusts; Safekeeping of Securities; Collection
of Income. Investment Service for Customers. Safes in our SafeDeposit Vaults at moderate rental.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Capital, Surplus and Undivided Profits $34,000,000
T h e Bank of Marion, Ark., has been
organized with capital of $15,000.00 and
surplus of $1,500.00.
T h e Bank of M arion, Ark., has been
chartered with capital of $15,000.00.
Sheriff Claude Cooper is president and
W. B. Rhodes, cashier.
Alfre d J. Kahn, president of the L it
tle Rock Chamber of Commerce, has
been elected vice-president of the
Union Trust Company, Little Rock.
A. F. Ra wlings has resigned as cash
ier of the First State Bank, Stuttgart,
Ark.
M. P. W elsh
has been elected pres
ident of the American Trust Company,
Jonesboro, Ark.
St. Louis, February, 1927
59
Tennessee Notes
A m erican Na tional
Elects Ne w Officers.
P. D. Houston, formerly president of
the American National Bank, Nashville,
Tennessee, has been elected chairman
of the board of directors of that insti
tution, and Paul M. Davis, formerly
vice-president of the institution, has
been elected president to succeed Mr.
Houston.
T . K. Happel
Elected President.
Morris Companies Will M ove
to Graybar Building
The group of companies headed by
Arthur J. Morris, founder of the Mor
ris plan system of industrial banking,
will move in the latter part of April to
the Graybar building adjoining New
York’s Grand Central Terminal on the
East. This building is being erected
on the block bounded by Forty-third
and Forty-fourth streets, Lexington
avenue and Depew place, and will be
the largest office building above ground
in the world.
The group of companies includes the
following: Industrial Finance Corpor
ation, Industrial Acceptance Corpora
tion, Morris Plan Corporation of Amer
ica, Morris Plan Moi’tgage Corpora
tion, Morris Plan Securities Corpora
tion, General Bond and Share Corpora
tion, Puritan Corporation, Realty Ac
ceptance Corporation and the Stuyvesant Corporation.
The Graybar Building will have a
forty foot concourse which will lead
right into the Grand Central Terminal
and serve as its principal eastern en
trance, only two hundred feet from the
information booth and the outgoing
“ Twentieth Century Limited.”
T. 'K. Happel has been promoted to
the position of president of the Gibson
County Bank, Trenton, Tenn. Mr. Hap
pel was formerly vice-president and
succeeds Albert S. Elder, who resigned
to engage in farming. Mr. Elder has
been made chairman of the board.
W.
B. Cleveland, 49 years old, vice-
president of the Liberty Savings Bank
and Trust Co., Memphis, Tenn., died
January 5th.
N e w t Cannon, cashier of the Harp eth
National Bank, Franklin, Tenn., has re
signed. He has been succeeded by
John A. Jordan.
N. J. Johnson has been elected pres
ident of the Citizens Bank and Trust
Company, Rutledge, Tenn., to succeed
J. G. Waller.
K a rl
H.
W arren
has
been
elected
president of the People’s Bank, Martin,
Tenn., to succeed T. H. Farmer, who re
signed.
R. D. K e rr has been elected assistant
cashier of the Old National Bank, Union
City, Tenn.
T he
F ir s t
National
Bank,
Selm er,
Tenn., has total resources of $533,532.33
and deposits of $450,678.13, according
to its December 31st statement.
A Good Machine
Runs Smooth
The correspondent service made
available to you by the banks in
the Tri-State Region is like a good
machine.
All the parts are “ broken in” by
years of experience. Every unit
fits nicely in place. There is plenty
of power. And some one is always
on the alert to keep the wheels
moving.
You can get in gear with this
smoothly
functioning
machine
through the U & P.
T h e H a m ilton National Bank and the
Hamilton Trust and Savings Bank,
Chattanooga, Tenn., has combined re
sources of over $24,416,929.03 and com
bined deposits of $19,756,259.14, accord
ing to the recent statement of condi
tion.
W. B. Cleveland, 49, vice-president of
the Liberty Savings Bank and Trust
Company, Memphis, Tenn., died re
cently.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
U n io n & P lan ters
BANK &. TRUST COMPANY
Forward with M em phis— Since ’ 69
MEMPHIS, TENNESSEE
Mid-Continent Banker
60
M is s o u r i B a n k N e w s
O F F IC E R S M IS S O U R I B A N K E R S A S S O C I A T I O N : President, W . W . Pollock, M exico;
Vice-President, Edward Buder, St. Louis ; Secretary, W . F . Keyser, Sedalia; Treasurer, E .
B. Jacobs, Carthage.
G R O U P C H A I R M E N : 1— W . C. Brown, M acon ; 2— O. H . M oberly, Harris; 3— G . L. W ilfley,
M aryville; 4— W . H . Erwin, U rich; 5— C. A . Eaton, St. Louis; 6— Henry Stocks, M alden ; 7
—C . W . M ood y, Springfield; 8— W . H . W aters, Jr., Jasper.
W . W . Pollock, Pres.
G R O U P S E C R E T A R I E S : 1—Gus D elaney, H urdland; 2— G . P. Allen, Powersville; 3— R . W .
H olt, Craig; 4— F . W . Pendleton, Independence; 5— A . A . Speer, Jefferson C ity ; 6— G . U .
Shelby, Charleston; 7— C . H . W hite, Seym our; 8— E . C . W illiam s, Noel.
John G. Lonsdale Now Heads
St. Louis Clearing House
John G-. Lonsdale, president of the
National Bank of Commerce in St.
Louis, has been elected to head the St.
Louis Clearing House Association for
the ensuing year.
Mr. Lonsdale has recently been re
elected Class A director of the St. Louis
Federal Reserve Board.
Other officers elected for the clear
ing house association were: R. B.
Hawes, vice-president of the First Na
tional Bank, vice-president; R. R. Til
ley, secretary, and the following Board
of Managers: R. S. Hawes, chairman;
George E. Hoffman of the MerchantsLaclede National Bank; Henry Hop
kins of the American Trust Company;
A. C. F. Meyer of the Lafayette South
Side Bank, and E. B. Pryor of the State
National Bank.
Drovers National
Shows Good Gain.
Directors of the Drovers National
Bank, Stock Yards Station, Kansas
City, Mo., placed the bank on a regular
6 per cent dividend basis at the last
regular meeting. The hank has been
enjoying a splendid growth and now
has deposits in excess of $9,000,000. Cap
ital stock is $600,000. Surplus and un
divided profits amount to $250,000.
Lafayette-South Side
Bank Elects Officers.
William J. Jones, formerly assistant
cashier and auditor of the LafayetteSouth Side Bank of St Louis, has been
elected a vice-president of the hank,
and Oscar L. Kupferer, formerly as
sistant cashier, has been made cashier.
George R. Hunsche, formerly vice-pres
ident of the Title Guaranty Trust Com
pany of St. Louis, has been elected a
vice-president in charge of the Real Es
tate Loan Department.
Lindell T ru s t
Elects Officers.
The following were elected officers of
the Lindell Trust Company, St. Louis,
at a recent meeting of the directors of
the company: C. H. Peters, president;
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Federal Reserve Bank of St. Louis
F. A. Brickenkamp and F. W. Peters
vice-president; A. W. Dahldorf, secre
tary-treasurer; H. Graef, Jr., assistant
secretary; F. A. Kaiser, assistant treas
urer, and W. T. Jones, counsel.
H. B. Offenbacher
Mow Vice-President.
At the annual election of officers of
the Telegraphers National Bank of St.
Louis, H. B. Offenbacher was elected
vice-president of that institution. All
other officers were re-elected.
Offenbacher has been connected with
the bank since its organization in 1923.
He has risen progressively with the
bank’s consistent growth in deposits
from $1,300,000 the opening day to
more than $6,250,000 at the close of
3826.
W . S. McLucas
Enjoys Vacation.
W. S. McLucas, chairman of the
Board of Commerce Trust Company,
Kansas City, and Mrs. McLucas de
parted January 14th for a few weeks
outing in Florida and Cuba. They will
return by way of New York, where Mr.
McLucas will attend the conference of
the Trust Companies’ Division of the
American Bankers’ Association, of
which Mr. McLucas is president.
Brady Atten ds
Council Meeting.
Fred B. Brady, vice-president of the
Commerce Trust Company, Kansas City,
and chairman of the Agricultural Com
mittee of the Missouri Bankers’ Asso
ciation attended a council meeting in
Sedalia on January 19.
Leo B . Donnewald Now With
Broadway Trust Company
Leo B. Donnewald, who has been con
nected with the Federal Reserve Bank
of St. Louis for the past eight and a
half years, goes to the Broadway Trust
Company of St. Louis, effective Febru
ary 1, to work for his old “chief,” Earl
Adams, who is now president of the
Broadway Trust.
Mr. Donnewald was born and raised
in St. Louis. He is a graduate of St.
W . F. K eyser, Secretary
Louis University, and was connected
with the old St. Louis Union Trust
Company for eleven years before going
with the Federal Reserve Bank as
traveling representative in Arkansas,
Mississippi, Tennessee and Missouri.
Mr. Donnewald will represent the
Broadway Trust in the Mid-Continent
territory, and his many hanker friends
wish him every success.
C.
La Moine Mott, representative of
the Federal Feserve Bank in Kentucky,
will succeed Mr. Donnewald as Arkan
sas representative for the bank.
Sells Interest
In Cassville Bank.
Mrs. M. C. Allen, who has held the
controlling interest in the Barry Coun
ty Bank, Cassville, Mo., for several
years, has sold her stock. The new of
ficers of the bank are: Chas. K. Chanslor, president; D. Dingier, vice-presi
dent; P. E. Horine, cashier and Miss
Alene Jeffries, assistant cashier.
Hal Lemon
Presides at Meeting.
Hal Y. Lemon, vice-president of the
Commerce Trust Company, Kansas City
and president of the Association of Re
serve City Bankers presided at the
meeting of the association in Pitts
burg, January 22nd.
T ro y Bank
Elects Ne w Officers.
C.
A. Copher, who has been con
nected with the Farmers & Mechanics
Savings Bank, Troy, Mo., for nearly
twenty-five years as assistant cashier
and later as cashier, has resigned on
account of ill health and has established
an insurance agency. The officers of
the bank now, are: D. M. Ellis, presi
dent; S. R. McKay, vice-president; E.
C. Dickenhorst, cashier; Fred Harrison
and R. E. Copher, assistant cashiers.
A. H. Kinyon has been elected presi
dent of the Kirkwood Bank, Kirkwood,
Mo., succeeding John H. Dieter, who
has resigned and is moving to Texas.
Charles Juengel succeeds Mr. Dieter on
the board of directors.
St. Louis, February, 1927
61
T . A. M c A llis t e r has succeeded J. W .
Smith as vice-president of the First
National Bank, Sweet Springs, Mo., and
Floyd Ripley has been elected to suc
ceed Cecil Owen as assistant cashier.
P.
M.
Masters
has
resigned
as as
sistant cashier of the New England Na
tional Bank and Trust Company, Kan
sas City, Mo., to take charge of the
Kansas City office of Lorenzo E. An
derson & Company, one of the oldest in
vestment security houses in St. Louis.
the credit department, was elected as
sistant cashier and manager of the
credit department.
In addition to the foregoing changes
in the official staff, Robert Helander
was elected assistant controller; W. E.
Harrison and H. B. Noyes, assistant
auditors; H. R. Hulseberg, manager of
the collection department; Robert D.
West, assistant manager of the collec
tion department; Wynnett Mclllvaine,
manager of the transit department, and
Peter Rocco, assistant manager of the
transit department.
R ay M cN ally Now W ith the
National Bank of Republic
At the annual meeting of the di
rectors of the National Bank of the Re
public of Chicago, Raymond F. Mc
Nally, formerly vice-president and cash
ier of the National Bank of Commerce,
St. Louis, was elected vice-president
and a director; William R. Schuster
and William H. Miller, formerly assist
ant cashiers, were advanced to assist
ant vice-presidents, and David M.
tSweet, formerly assistant manager of
George E. Crow, assistant cashier of
the Ralls County Bank, New London,
Mo., has been promoted to the position
of cashier to succeed the late J. E. Megown, W. E. Conn has been named as
sistant cashier.
Geo.
W.
Cla rk ,
vice-president,
has
been elected president of the First Na
tional Bank, Appleton, City, Mo. M. D.
Grider is vice-president; J. E. Herrman,
cashier, and M. Peeler, assistant cashier.
Nearly Every
’ V*
Important Line of
Charles Riley has accepted a position
Industry
as assistant cashier at the Commercial
Bank, Excelsior Springs, Mo.
F ra n k P. Downey
has
been
in the
elected
St. Louis District
vice-president of the Mechanics State
Bank, St. Joseph, Mo.
is
R. L. W e s t has been elected assistant
Represented
cashier of the Bank of Palmyra, Mo.
T he
Citizens
State
Bank
of
Edger-
Among
ton, Mo., has been absorbed by the
Bank of Edgerton, Mo.
Miss
W i n if r e d
Haines,
seven years secretary
ney, president of the
Bank, Kansas City,
elected cashier of that
for
the Customers
tw en ty-
of the
to E. F. SwinFirst National
Mo., has been
institution.
iBslË
T he
F ir s t
Na tional
Bank,
Cassville,
Mo., has elected Miss Fredaline Ben
nington cashier.
Ho be rt
W e lls
has
been
elected
Mississippi
Valley
Trust Company
as
sistant cashier of the First National
Bank, Steele, Mo.
The breadth o f contact
thus
acquired
makes
L. C. Co rley has resigned as assistant
the M i s s i s s i p p i V a lley
cashier of the Sedalia National Bank,
Sedalia, Mo.
a m o s t h e l p f u l St.
L o u is correspondent.
F re d e rick
Godber,
president
of the
Roxana Petroleum Corporation, has
been elected a director of the Mercan
tile Trust Company, St. Louis,
W illard
B.
Dunnegan,
vice-president
of the Polk County Bank, Springfield,
Mo., died recently.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
n
Mid-Continent Banker
62
Broadway Trust Company
Elects Officers
“ ROLL of HONOR” BANKS
in MISSOURI
It is an honor to be listed among the H onor Roll banks.
It
indicates that the bank has surplus and undivided profits equal to
or greater than its capital.
Such distinction is accorded to the
banks listed on this page.
By careful management and sound
banking they have achieved this enviable position.
The banks will be especially glad to handle any collections,
special credit reports or other business in their communities which
you may entrust to them.
Correspondence is invited.
Surplus
Capital and Profits
Bank
City
A gency............ Farmers Bank......... ........... ....$ 10,000 $ 10,000
20,000
26,000
Bank of Augusta................
Augusta
12,000
Bank of Bigelow ..................
10,000
Bigelow
25,000
31,667
O ’Bannon Banking Co.......
Buffalo
50,000
55,000
First National.....................
Cameron
200,000
75,000
Columbia........ Boone County Trust Co
50,000
52,000
Concordia Savings..............
Concordia....
20,000
10,000
Dalton............. Bank of Dalton...............
25,000
55,000
Everton........... Bank of Everton...........
125,000
50,000
Bank
of
Farmington..........
Farmington
30,000
25,000
Gilman City.... Gilman Bank...........
87,000
75,000
Bank of Hardin.......
Hardin
26,471.82
20,000
Hayti ............. ..Bank of Hayti......................
21,000
10,000
Iron County Bank.......
Ironton
175,000
100,000
Miners Bank.......
.............
Joplin
3,470,000
..... 1,000,000
Kansas City.... .First National...............
35,000
30,000
State B an k .....
........
Lebanon
35,000
20,000
Peoples Bank......
Maitland
85,000
50,000
First N ational........... .........
75,000
50,000
Odessa............. Bank of Odessa...................
50,000
25,000
Perry............... Peoples Bank.....
27,000
10,000
Bank of Raymore
Raymore
143,334
.....
100,000
First Trust Co.....
St. Joseph
252,000
.....
200,000
St. Louis
Jefferson Bank
8,096,642
... . 3,000,000
St. Louis......... Mercantile Trust Co....
290,000
100,000
Citizens
N
ational...............
Sedalia
14,900
10,000
...Bank
of
Gifford....
..........
South Gifford..
82,000
10,000
Bank
of
Sullivan........
Sullivan
30,000
25,000
First N ational.....
Steelville
22,000
15,000
Stover Bank.........................
Stover
32,000
20,000
Tarkio............. ...Farmers B a n k .....................
50,000
115,000
Peoples Bank.......................
T roy
42,000
15,000
Union........... . Bank of Union....
10,000
12,000
W alker........... Farmers Bank....................
100,000
146,900
W ellston......... First N ational..................... .....
40,000
60,000
W indsor......... Citizens Bank......................
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Federal Reserve Bank of St. Louis
At the recent annual meeting of the
stockholders of the Broadway Trust
'Company of St. Louis, William R.
Rogers, Frank B. Young and Joseph A.
Hafner were elected directors of the
institution, in addition to E. C. Adams,
Leo G. Desdbry, Leopold Grossberg, H.
F. Hoener, H. L. Rogers and John R.
Baldwin, who are already directors.
The directors re-elected E. C. Adams
as president and Leo G. Desobry as
first vice-president. H. L. Rogers and
Ijeopold Grossberg were elected vicepresidents; H. F. Hoener, secretary and
treasurer, and Fred H. Hoffman, assist
ant secretary.
W. R. Rogers is president of the
Rogers-Schmitt Wire and Iron Com
pany, St. Louis, and Frank B. Young
is general manager of the Farmers’
Live Stock Commission Company, Na
tional Stockyards, Illinois, and a former
officer of the National Stock Yards Na
tional Bank and of the old Illinois State
Bank.
Seaboard National Bank
Elects New Officers
At a recent meeting of the Board of
Directors of the Seaboard National
Bank of the City of New York, Wil
liam A. B. Ditto was appointed assist
ant vice-president. Mr. Ditto entered
the Seaboard as a junior clerk and after
working his way through the various
departments was appointed assistant
cashier in 1920, associated with the
loan department. He was born in
Hancock, Maryland, and was connected
with the Hancock bank prior to his
affiliation with the Seaboard. He has
taken an active interest in banking
and Institute affairs, having been a
member of the American Institute of
Banking for a number of years.
Frank E. Frazier was also elected an
assistant vice-president, and Willard
Schenck, G. Kellogg Rose, Jr., Wyllys
P. Ames and Charles C. Fagg were ap
pointed assistant cashiers. Egbert V.
Nelson, formerly assistant trust officer,
was elected trust officer succeeding
John A. Burns, now vice-president.
E lm e r L. Pigg, fo r 20 years w ith the
Missouri City Bank, at Missouri City,
lias moved to Liberty, Mo., to become
vice-president of the Citizens Bank.
W.
E. Todd,
president
of the
F ir s t
National Bank, Brookfield, Mo., has sold
his stock to Herman Craig, who has
been elected cashier. J. D. Freund, for
mer cashier, succeeds Mr. Todd as pres
ident.
St. Louis, February, 1927
63
K a n s a s Notes
T w o Edna
Banks Consolidate.
The Citizens State Bank and the First
National Bank, Edna, Kansas, have been
consolidated under the name of the
First National Bank, with capital of
$25,000.00 and surplus of $5,000.00. W.
L. Conneway is president of the merged
bank.
N e w Bank
a t Abilene.
The United Trust Company, Abilene,
Kansas, has been granted a charter
with capital of $500,000.00. C. L. Brown
is president, and A. D. Jellison, vicepresident. The assets of the Jellison
Trust Company will he taken over by
the new company.
The
Union
State
Bank,
One Minute from
Commerce Trust Company
to A N Y W H E R E in the
United States
Neodesha,
Kansas, has been converted into a na
tional bank and is now being operated
as the Union National Bank of Neo
desha, with capital of $50,000.00.
Dr. J. A. Jones, vice-president of the
Brotherhood State Bank, Kansas City,
Kansas, since its organization two years
ago, has been promoted to the posi
tion of president. He succeeded Joseph
Flynn, who resigned on account of ill
health. W. J. Brown has been elected
vice-president.
T he
Republic
State
Ba nk
and
the
Citizens State Bank, Republic City,
Kansas, have been merged under the
name of the Citizens State Bank. A. B.
Evans is president and J. N. Werts
cashier of the consolidated institution,
which has resources of $434,000.00.
A Western Union operator sits at
his key in the offices of Commerce
Trust Company, in touch with the
seaboard, the west coast, the Lakes,
the gulf—at a minute’s notice.
Speed is of the very essence of
banking. Our wire facilities save
hours.
T he T h a y e r State Bank, T h a y e r, K a n
sas, has increased its capital from $10,000.00 to $15,000.00.
Raymond Jones, assistant cashier of
the State Bank of Dodge City, Kansas,
has resigned.
W.
H.
M iller,
vice-president
of
the
Elmond State Bank, Logan, Kansas,
died recently.
The
Glade
State
Bank,
Glade,
Kan
sas, has been merged with the First
National Bank, Phillipsburg, Kansas.
( o m m e r c e T r u s t (p m p a n y 5
K A N S A S
Chris
Mann,
of Junction
City,
Kan
sas, has been elected cashier of the
Citizens State Bank, Woodbine, Kan
sas, to succeed C. F. Moore.
Claude Pack, cashier
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Federal Reserve Bank of St. Louis
of
the
Ho me
C I T Y
Mid-Continent Banker
64
50% more color in Reed’s
Massm iagazine Plan for
192,7; printed in full-color
gravure.
See it fo r yourself
State Bank, Kansas City, Kansas, has
been elected president of the Kansas
City Clearing House Association.
H.
M. Thomas, of Peoria,
has been
M ill e r
Beckett
R e e d ’s M a s s m ia g a z in e
Plan for 1 9 2 7 , b u t no increase in price.
See it f o r y o u r s e lf
been
elected
T he
Security
State
Bank,
Kansas
named cashier of the LeLoup State
Bank, Ottawa, Kansas, to succeed Bert
Anderson, who has resigned.
City, Kansas, has increased its capital
from $10,000.00 to $50,000.00.
Ed w ard E. Dix, vice-president of tha
sistant cashier in the Citizens State
Bank, Edna, Kansas, and has gone to
Tulsa, Okla., to work in a bank there.
Curley
26 .6 % g r e a t e r s iz e in
has
cashier of the Patrons Bank, Clathe,
Kansas, for the ensuing year.
Peoples State Bank, Fort Scott, Kan
sas, died recently.
A t the annual meeting of the Peoples
State Bank, Wichita, Kansas, S. J. Gard
ner was elected cashier to succeed S.
O. Noftzger, who is now president.
The
F a h le r
Farmers’
has
resigned
State
Bank,
as as
Gre tna,
Kansas, has merged with the First
State Bank, Agra.
H. E. W riste n , president of the F ir s t
When
Market
Changes
Win ston
IhK stock
Market
». ,
W heeler
has
been
elected
vice-president of the Wheeler Kelly
Hagny Trust Company, Wichita, Kan
sas.
♦
Puzzle
Y ou —
T he
"The Stock Market”
By C H A R L E S A . D IC E , P h .D .,
Professor o f Business Organization, College o f Com
merce and Journalism, Ohio State University; and
Consultant on Investment and Financial Problems
Shows You How to Profit with the
Up and Down Swings o f the Market
Hardtner
State
Bank
and
the
Farmers State Bank, of Hardtner, Kan
sas, have been merged under the name
of the Farmers State Bank.
Charles Rayle has been elected pres
ident of the State Bank of Kingman,
Kansas, to fill the vacancy caused by
the resignation of David Walter. Walter
Sample was elected vice-president.
State Bank of Hudson, Kansas, died
recently.
J. L. Dignan has been elected cashier
of the Kelly State Bank, Kelly, Kansas,
to succeed the late W. G. Rucker.
J. B. T r a y lo r , cashier
of
the A m e r
ican National Bank, Baxter Springs,
Kansas, died recently
A generation ago there were a
thousand men to every opportunity,
while today there are a thousand op
portunities for every man.—Henry
Ford.
I
F you want to know how operators work; if you
want successful pointers on averaging, pyramiding,
double tops and bottoms; if you are puzzled when
the market is technically strong but fundamentally
weak; if you want to know the w h y s of bear and
bull movements - here you can find instantly the facts
that you need.
Convertible stocks, the computation of conversion
factors, stock pools, corners, current stock price in
dexes, methods of forecasting major trends; the funda
mental factors in rating - the principles that run the
market - all are made vividly clear.
The One Means
o f d a y lig h t p r o t e c t io n
w h ic h b a n d its fe a r —
Use This Book to Guide Y ou When
You Raise Capital, Trade, or Invest
OU are told how the exchanges govern them
selves; you are shown how stocks are trans
ferred.
Manipulation of prices is explained;
business barometers are analyzed; you are told how
money conditions affect the market. Practical point
ers for the short seller are given; stop loss orders,
margins, listing, and scores of suggestions that pay are
sim ply discussed.
Stock price averages; a lucid commentary on the Dow
Theory; a description of the different systems of fore
casting stock prices, trends, and a thoroughgoing dis
cussion of methods employed in rating securities,
make this a handbook that will be of value to every
one who is interested in, or affected by, the “ ups”
and “ downs” of the stock market.
Replete with
charts, tables, and graphs, this book quickly makes
clear the natural laws that run the market.
6 5 0 pages. Illustrated.
Y
Sent on Approval!
A
N examination will quickly prove the value of
this book to you. Send no money now. Sim ply
mail the handy coupon below.
------------------------------- E X A M I N E F R E E ------------------------------B o o k D ept., M id -C on tin en t B anker
408 O live S t., S t. L o u is , M o .
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Federal Reserve Bank of St. Louis
B a n d it s k n o w t h a t , u n lik e m o s t
s y s t e m s o f d a y lig h t d e fe n s e , th e r e
is no d e la y in t h e a c tio n o f F e d
e ra l G a s .
T h is
o ffe n s iv e
w eapon
is i n
s t a n t ly r e le a s e d fr o m a b a t t e r y o f
g a s g u n s , flo o d in g t h e e n tire lo b b y
a n d m a k in g it im p o s s ib le fo r th e
b a n d its; to o p e r a te .
B a n d it s k n o w , to o , t h a t t h e r e is
no c h a n c e o f s h ie ld in g t h e m s e lv e s
a m o n g in n o c e n t b y s t a n d e r s f r o m
F e d e r a l G a s a s t h e y c a n f r o m b u l
le t s .
T h e g a s h a s n o in ju r io u s
e ffe c ts , a n d t h e r e is, th e r e fo r e , n o
h e s i t a n c y in it s u s e .
And
th ro u g h
in d o r s e m e n t
and
r e c o m m e n d a t io n
by
th e
U n d er
w r it e r s ’ L a b o r a t o r ie s , a n in s t a ll a
tio n o f F e d e r a l G a s M o d e l “ Y ”
E q u ip m e n t w ill r e d u c e y o u r in s u r
a n c e n a tes.
T r u ly , F e d e r a l G a s a f f o r d s m o r e
p r o te c tio n p er d o lla r o f i n v e s t m e n t
th a n a n y o t h e r k n o w n m e a n s o f
p ro te ctio n t o d a y .
T h is m o s t m o d e r n a n d e ffe c t iv e
w e a p o n o f d e fe n s e , w h ic h c a n b e
d e p e n d e d u p o n fo r c o m p le t e s a f e t y
a n d p r o te c tio n , is f u lly d e sc r ib e d
in a n in t e r e s t in g b o o k le t, “ B e a t
in g
th e
B a n d i t .”
T h is
b o o k le t
h as been
w r itt e n
e s p e c ia lly
fo r
e x e c u t iv e s re s p o n s ib le fo r t h e p r o
te c tio n o f m o n e y
and
s e c u r itie s ,
a n d w ill b e s e n t u p o n r e q u e s t.
F E D E R A L L A B O R A T O R IE S , I n c .
1631 L ib e rty A v e n u e
P itts b u r g h , P a.
Branch Offices in : N ew York, Philadelphia, Cleveland, Toledo,
Indianapolis, Detroit, M ilwaukee, K ansas City and St. Louis
St. Louis, February, 1927
65
The
Boatmen’s National
Bank
o f St. L ouis
OLDEST BAN K
IN M IS S O U R I
F o u n d ed in 1 3 4 7
The “ Boatmen’s” was founded
H IG H G R A D E
IN V E S T M E N T S
on the principle of
service.
That principle has been ad
hered to steadily at all times.
W e solicit your business on our
record of seventy-nine years
of conservative banking.
KderalfommerteTrus'Company
tot
affiliated
w n h
¡'tfV
National Bank»/Commerce
V
in
^
St Louis
OWNED BY
STOCKH OLDERS
O F F IC E R S:
JU LIU S W . R E IN H O L D T , President
L E W Y C. B R Y A N . Vice-President and Cashier
A. W A L D H E IM .
Vice-President
A. W A G E N F U E H R .
Vice-President
C. C. H A M M E R S T E IN ,
Assistant Cashier
H. A L F R E D B R ID G E S.
Assistant Cashier
B. F. BUSH,
Vice-President
F. L E E M A JO R .
Vice-President
R U D O L P H FELSCH .
Assistant Cashier
O. W . K N IP P E N B E R G .
Assistant Cashier
E D G A R L. T A Y L O R , Vice-President and Trust Officer
J- HUGO G R IM M , Vice-President and Counsel
OF
The National Bank of Commerce
in St. Louis
with which is affiliated the
FE D E R A L C O M M ERCE TRU ST COM PANY
2nd Floor, Broadway and Pine
Telephone GA rfield 6300
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
R ESO UR CES:
O ver $ 2 5 ,0 0 0 ,0 0 0 .0 0
66
Mid-Continent Banker
Bankers Dislike Red Tape
of Bonus Loans
(Continued from Page 10)
S. W. Gee, president of the Farmers
State Bank of Lawrenceville, 111., re
ports: “We have made a few loans
and have several applications on file.
Doubtless within the next few months
we will make many additional loans.”
C. A. Mueller, cashier of the City
Trust and Savings Bank, Kankakee,
111., says: “We find that our loans
average more than $50, and we are at
tempting to loan only to our own cus
tomers and to those who we believe
are in real need of the money by their
financial
circumstances.
In
other
words, if a man is married and has a
family and the family is in urgent
need of the money, we will make the
loan. However, if a young unmarried
man applies to us for such a loan and
we think that he simply wants the
money to spend, we do not make the
loan. As these loans can be made at
our own discretion, we will make them
as ^bove stated.”
“We have had numerous applications
from parties that we did not know, and
for that reason we have refused up to
the present time to make any advances
to these applicants,” says J. F. Lilly,
vice president and cashier, Sturdivant
Bank, Cape Girardeau, Mo. “However,
11 A T E l
C M D ID T
nUIEL Eilflr II\E.
it looks to me that should any of our
own customers apply to us, that we
ought to accommodate them, and my
idea would be that we would not loan
over sixty to seventy-five per cent of
the loan value, and of course, the loans
have to be made at a rate not in ex
cess of six per cent so long as our
Federal Reserve discount rate remains
at the present figure.”
“We have had very few applications
so far from ex-service men wishing
loans on bonus certificates. In each
instance, after a talk with the appli
cant, we found he really did not need
to borrow money on the certificate,”
explains E. B. Appleton, vice-president
Litchfield Bank and Trust Co., Litch
field, 111.
“In our opinion, the loan value of the
certificates will not average much
above $50, and we do not take kindly
to the plan of loaning on them at the
rate specified in the government regu
lation, that is, 2 per cent above the
Federal Reserve discount rate. Our
experience shows us that it costs $1.91
t o manufacture a loan, and if we are
allowed to charge only the rate speci
fied in the regulations, we would be
losing money on each loan.
“It is our opinion that if any of our
ex-service men need financial assist
ance, they can give their banks ac
Broadway at Sixty-Third
Street NEW YORK CITY
ceptable security other than hypothe
cating their bonus certificates, there
by obviating both themselves and the
banks a lot of red tape.”
C. W. Moody, cashier of the McDan
iel National Bank, Springfield, Mo.,
says: “We have made a few loans on
these certificates, but are not making
any at the present time. Our experi
ence is that these veterans apply for
the full amount available in almost
every instance. We are limiting the
loans strictly to our customers, and
to friends of our very best customers;
make a rate at this time of 2 per cent
over the Federal Reserve rate, or a
rate to us of 6 per cent. It has been
our experience that 95 per cent of the
veterans holding these certificates have
sought loans on them, which makes it
practically impossible for the banks to
absorb them in a short time, and at the
rate offered. We will therefore make
but very few.”
The highest reward that God gives
us for good work is the ability to do
better work.—Elbert Hubbard.
A wise man will always be a Chris
tian, because the perfection of wisdom
is to know where lies tranquility of
mind, and how to attain it, which Chris
tianity teaches.—Landor.
READ THE
M . P. M U R T H A , G e n e r a l M a n a g e r
EVERY M ONTH
You Will Find:
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every modern convenience and “ Servidor” service
— News of Banks and Bankers.
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vertising your bank, co-operating with the
farmer and creating public good will.
— Discussions of Bank Problems by practical
bankers.
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O fficer...................................................................................................................
C it y ................................................................ S ta te ...........................................
67
St. Louis, February, 1927
53 7?.
The most acceptable Personal Service a Bank can render
to its Depositors, is that which assists,
protects and guides them on their travels.
Is this one of your Depositors?
—
If so, she will thank your Bank for an unexpected
Personal Service on her travels abroad
♦
Depositors’ good-will is the first interest o f all progressive banks. In securing
it, in developing it, A m erican banks today practice the fine art o f Personal
Service.
A notable branch o f this Service, on e widely accepted and fully appreciated, is
the personal care and protection banks n ow extend to their D epositors, on
their travels abroad, through the Hand of a Qreat Service.
A t the im portant ports o f the w orld, at the railway stations o f foreign cities,
wherever and w henever assistance is needed — your Depositors will always find
this “ H elpful H and ” o f the A m erican Express Com pany.
T heir travel m oney is made safe against loss or theft— and the Hand of a
Qreat Service is assured them, to the full extent, w hen you sell them
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Federal Reserve Bank of St. Louis
A m erica n E x press T r avelers C heques
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Federal Reserve Bank of St. Louis
is really the o n ly thing that
a kind P rovidence gives to m an'
k in d , a n d w h e n it c o m e s t o th e
handling o f m o n e y and credit it b e
com es dou bly precious because every
m inute has its prescribed value.
T
im e
In every corner o f the g lo b e , w her
ever in d iv id u a ls are striving to render service, is felt the ever-increasing
dem and fo r q u ick e r and quicker ac
tio n . N o t reck less h aste, b u t sure
speed.
This institution long ago sensed the
need o f the h ou r and is giving its cor
respondents a rapid, efficient service
that is in k eep in g w ith th e ir needs.
K n o w in g h o w fo r 70 years counts!
T h e shortest tim e b e tw e e n
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