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Federal Reserve Bank of St. Louis
The Importance of the Trust Department in
Our Financial System
B y James H . Perkins
Page Eight
Mother Goose Rhymes for Bankers’ Sons
B y Roscoe Macy
Page Nine
Liquidity, Profits and Management
B y Craig B. Hazlewood
Page Ten
2
July, 1928
M id -C o n t in e n t B a n k e r
Ä
Proper Investment of the
banker, more than any other type o f business
executive, requires ample reserves to take care of
all contingencies, which must always be available,
but never idle. In addition to profitably employing
the secondary reserve, the well arranged bond account
should meet the individual requirements o f the
institution. . . ( ( A bank with an established bond
department will require different securities from a
bank which purchases bonds solely for its own account.
Bonds purchased to resell to individuals, corporations
or estates will differ in many respects from those
purchased for the investment o f a bank’s reserve.
(( The First National Company has assisted many
bankers in investing the secondary reserve. Our offi
cers are not only experienced in selecting proper
issues, but we are in a position to promptly furnish
them from our broad and well diversified list of
sound securities, a number of which
were originated by our Company.
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Federal Reserve Bank of St. Louis
m FIRST
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B COMPANY
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o f the
m s r NATIONAL B A N K
BROADWAY-LOCUST-OLIVE
SAINT LOUIS, MO.
July, 1928
M id -C o n t i n e n t B a n k e r
out o f many
write us—
this
. . the 45 of us locked into our 10' x 20' vault
would have been in very desperate circumstances quick
ly, but we were easily able to release ourselves. All our
lives are due to your equipment which worked perfectly.”
and this
“ . . . 7 adults very quickly use up all the air in a
small vault. But we were out inside of three minutes
and your door release unquestionably saved our lives.”
and this
“ W h en you told us you could fix our vault doors so
that we could unlock them from the inside, even tho’
the door was screwed into place by the pressure bars, the
bolts thrown, combination set and handles tied down,
we thought you were talking in riddles— but that is ex
actly what you have done.”
Memo
T H E A N A K IN C O M P A N Y
162 North Franklin Street
Chicago, 111.
W e would like to know how often there are “ lock-ins” in vaults and how you
can equip our pressure-bar vault doors so they can be opened from inside.
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Federal Reserve Bank of St. Louis
3-
•4
July, 1928
M id -C o n t in e n t B a n k e r
13
There are Industrial Opportunities at
"T h e Cross-Roads o f the N ation 99
St. L o u is, sixth c ity o f A m e r ic a in m a n u fa c tu r in g
im p o r ta n c e , offers u n u su a l a d v a n ta g e s fo r in d u s
tr y . Its s tra te g ic p o s itio n , m id w a y b e tw e e n the
c o u n t r y 's ce n te r o f p o p u la tio n a n d its g e o g r a p h ic a l
cen te r, en a b les it to serv e a g r e a te r p r o d u c in g a n d
co n s u m in g a rea th a n a n y o th e r in d u s tria l d is t r ic t.
¡3
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Federal Reserve Bank of St. Louis
H e r e in this M ississip p i B a sin liv e 5 4 % o f the c o u n
t r y 's en tire p o p u la tio n ; 6 6 % o f its r u r a l p o p u la tio n .
In this r e g io n o rig in a te 7 0 % o f all o u r a g r ic u ltu r a l
p r o d u c t s , 6 4 % o f o u r e x p o r t a b le p r o d u c t s , a n d 5 4 %
o f o u r m a n u fa c t u r e d p r o d u c ts .
H e r e is A m e r ic a 's s e co n d la rg e st r a ilw a y ce n te r,
o ffe rin g u n e x ce lle d ra il a n d r iv e r t r a n s p o r ta tio n .
C h e a p p o w e r is h ere, a m p le la b o r , n ea rn ess t o r a w
m a t e r i a ls , a n d a t e m p e r a t e c lim a t e . H e r e a r e
u n lim ited m a r k e ts ; fa v o r a b le in d u s t r ia l a n d socia l
c o n d itio n s ; excellen t b a n k in g fa cilitie s.
T h e s e a r e f u n d a m e n t a ls w h i c h w e , as b a n k e rs,
k n o w ; fa cts w h ic h , b r o u g h t b y th is in s titu tio n to
the a tte n tio n o f la rg e in d u strie s, h a v e re su lte d to
th e ir bu sin ess a d v a n ta g e .
Gîï
vp
Such facts, and their details, are at the
service o f those interested. Address
S id n ey JIaestre, V ic e -P r e sid e n t.
AID
cl
MercantileTnist Company
CAPITAL AND SURPLUS
EIGHTH and LOCUST
S <% M
I P " ~ T O ST. CHARLES
ST. LOUIS
i
July, 1928
5-
M id -C o n t i n e n t B a n k e r
Bankers Trust Stockholders
A pprove Capital Increase
At a special meeting held recently
stockholders o f Bankers Trust Com
pany, New York, approved the recent
proposal o f the board o f directors that
the capital stock o f the bank be in
creased from $20,000,000 to $25,000,000.
The increase will be accomplished by
the sale o f 50,000 additional shares o f
stock at $750 a share. The total amount
realized from the sale will be $37,500,000. A fter the new money has been
paid in capital will be $25,000,000;
surplus will be $50,000,000; and un
divided profits should be over $25,000,000, making a total o f over $100,000,000. This will give Bankers Trust
Company the largest capital structure
o f any trust company in the United
States.
American Exchange Irving
Trust Capital Increase
The board o f directors o f American
Exchange Irving Trust Company have
approved a proposal to increase the
capital stock o f the institution from
$32,000,000 to $40,000,000 by the issu
ance o f 80,000 additional shares o f
stock. The new stock issue increases the
number o f shares from 320,000 to
400,000.
The sale o f 80,000 shares at $350 a
share will realize $28,000,000. O f this,
$8,000,000 will be added to capital, and
$20,000,000 to surplus, swelling the
total surplus to $40,000,000. As the un
divided profits o f the company approxi
mate $12,000,000, the total capital in
vestment will be $92,000,000.
The Financial Magazine o f the MississippiaValley
D O N A LD H. CLARK, Editor and Publisher
JAMES J. W E N G E R T and W IL L IA M H. MAAS, Associate Editors
VOL. 24
JULY, 1928
No. 7
C O N T E N T S FO R JULY
Page
St. Louis Bankers and Their Families............................................................
Interesting Legal Decisions— By the Legal Editor...................................
The Importance of the Trust Department— By James H. P erk in s....
Mother Goose Rhymes for Bankers’ Sons— By Roscoe M acy..............
Liquidity, Profits and Management— By Craig B. Hazlewood..............
Getting Business Next toNature........................................................................
Prominent Missouri Banker IsDead.................................................................
Illinois Bankers Association Holds Annual Convention at Rock Island
Insurance Section ...................................................................................................
News and Views of the Banking World— By Clifford De P uy..............
Francis, Bro. & Co. Now Located in Fine New Offices...........................
To Give or Not to Give— By T. A. W righ t.................................................
Legal Tender Section ...........................................................................................
6
7
8
9
10
11
12
15
17
21
24
26
28
B O N D A N D IN V E S T M E N T SE C TIO N
Securities of Pulp and Paper Manufacturing Companies— By H. H.
Allen .................................................................................................................
The Chicago Stock Exchange— By C. T. Atkinson.....................................
Olive Street Notes— By James J.W engert......................................................
Water Company Stocks and Bonds— By Miller H. Pontius..................
St. Louis Stock ExchangeTransactions............................................................
Current Quotations .................................................................................................
31
35
41
49
55
57
Convention Calendar
July
Sept.
Sept.
Sept.
10-11— North Dakota. ..Dickinson
3- 4— Montana.Yellowstone Park
12-13— Kentucky............. Louisville
17-20— Financial Adv. Ass’n
.......................Utica, N. Y.
Sept. 19-21— Indiana.........................Gary
Oct. 1- 4— American Bankers As
sociation ........ Philadelphia
S T A T E N E W S SE C TIO N S
The Mid-Continent Banker is published monthly by the Commerce Publishing Com
pany. Donald H. Clark, President; Clifford DePuy, Vice-President; William H.
Maas, Vice-President; James J. Wengert, Secretary and Treasurer
408 O L IV E STR E E T , ST. LO U IS, M ISSO U R I
Telephone GA rfield 2138
CH ICAGO O F F IC E 1221 First National Bank Building, Telephone Central 3591
William H. Maas, Vice-President
Subscription price $3.00 a year, 35 cents a copy.
Entered at the St. Louis postoffice as second class matter.
second class matter at Fulton, Mo.
Additional
entry
as
M EM BER D E P U Y P U B L IC A T IO N S , A U D IT BU REAU OF C IR C U LA T IO N S,
F IN A N C IA L A D V E R T IS E R S A SS O C IA T IO N
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Federal Reserve Bank of St. Louis
Page
Page
Missouri .........................................
Kansas ............................................
Kentucky .......................................
Indiana ...........................................
Tennessee .......................................
59
65
66
67
68
Arkansas .........................................
Louisiana .......................................
Mississippi .....................................
Oklahoma .. . . , .............................
Illinois .............................................
The Mid-Continent Banker Territory
69
70
71
72
74
July, 1928
M id -C o n t in e n t B a n k e r
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Federal Reserve Bank of St. Louis
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1. Mr. and Mrs. H. Alfred Bridges and
son, Alfred Lane Bridges. Mr. Bridges
is assistant cashier of the Boatmen’s
National Bank.
2. Harvey L. Welch, manager of the credit
department of the First National Bank
in St. Louis, and Mrs. Welch.
3. Hord Hardin, vice-president of the
Mississippi Valley Trust Company and
his family. From left to right: Wilson
Hardin, William Graham Hardin and
Mrs. Hardin.
4. Mr. and Mis. James F. Quigg and
James Stanton Quigg. Mr. Quigg is as
sistant bond officer of the Mississippi
Valley Trust Company.
Ài
Interesting Legal
In the Absence o f a Contract or Statute, Safe Deposit
Companies Are N ot Insurers o f the Goods Deposited
Savings Deposits in
National Bank Payable in
Case of Death to Another.
One Lerned opened a deposit in
the savings department o f the defend
ant National Bank in this form : “ Asa
J. Lerned, Trustee, payable in case o f
death to Nellie L. W a rd .”
At the same time, he wrote a letter,
drafted for him by an attorney to
Nellie Ward, in which he referred to
the deposit and said it had been made
in that way “ so that you may and
shall have it at my death.”
Subsequently, he went to the bank
and had the account changed so as to
read this w ay: “ Asa J. Lerned, Trus
tee, in trust fo r Myrtie E. Stiles.”
The depositor retained possession o f
the pass book until his death and in
the meantime made several deposits
and withdrawals.
A fter his death, the question as to
the ownership o f the deposit arose. It
was held that Nellie W ard Avas not
entitled to the fund. The circum
stances showed that Lerned had made
no g ift to her o f the deposit to take
effect during his lifetime. On! the
contrary, it was clear that his inten
tion was to retain ownership and con
trol o f the deposit during his lifetime
and that Nellie W ard was to have
what was left on deposit at the time
o f his death. This is something that
can be done only by will.
F or the same reasons, Myrtie Stiles
had no claim against the fund. The
depositor having died without leav
ing a will, his administrator Was en
titled to the fund. (This matter is
now regulated by Statute in some
states.)
Savings Bank
Deposits in Trust.
Where a person deposits money in
a savings bank in his own name as
trustee fo r another and leaves the de
posit undisturbed until his death, the
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Federal Reserve Bank of St. Louis
By T H E LEGAL E D IT O R
Questions of interest to bankers are
discussed by the Legal Editor each
month. Any subscriber has the privi
lege of writing for information and
advice on legal subjects and will re
ceive a direct reply from our attorney,
without fee or expense. A brief o f any
subject involving research in a com
plete law library will be furnished for
$10. In writing for information, kind
ly inclose a 2-csnt stamp fo r reply, and
address “ Legal Editor, Mid-Continent
Banker, 408 Olive Street, St. Louis.”
presumption arises upon the death of
the depositor that he intended to cre
ate a valid trust, entitling the other
party to the deposit. This presump
tion, however, is not conclusive but
may be rebutted by circumstances in
dicating that the deposit was made fo r
the depositor’s convenience and with
out any intention o f creating a trust.
Payment of Legacy Where
Legatee Indebted to Estate.
A trust company, named as execu
tor in a will, filed a petition in the
Surrogate’s Court asking fo r instruc
tions as to the payment o f certain
legacies. It appeared that the dece
dent, at the time o f his death was the
holder o f notes executed by two of
the legatees. The court stated the rale
to be that, in such cases, the executor
should withhold from the two legatees
an amount sufficient to pay the indebt
edness, even though the notes in ques
tion were not due at the time.
Liability o f
Safe Deposit Companies.
A safe deposit company is consid
ered to be a warehouseman and its lia
bility is that o f a bailee fo r hire, who
is required to use reasonable care for
the protection of the goods deposited
and is liable fo r any negligence or fail
ure to use such reasonable care.
Whether or not a company is negligent
in any given case is a question o f
fact to be determined by a jury, from
all o f the facts and circumstances, and
therefore it is difficult to determine in
advance whether or not a company
would be liable in any particular case
fo r the loss o f goods stolen from its
vaults.
In the absence of contracts or a
statute, a safe deposit company is not
an insurer o f the goods deposited.
It is not liable fo r loss not caused
by its negligence.
It is liable fo r loss occasioned by
theft due to its negligence— but not
otherwise.
The manner in which it controls and
operates its vaults is not necessarily
material in the determination o f the
question o f liability, except insofar as
it may indicate negligence or otherwise,
but these would be questions for a
jury.
Cleveland Banker Celebrates
His Ninetieth Birthday
T. Spencer Knight, one o f the incor
porators and first officials o f the old
Garfield Bank and at present the dean
o f the board o f directors o f the Cleve
land Trust Company in point of age,
passed his 90th birthday, June 14tli.
Friends and relatives gathered at his
home for a birthday party and he cele
brated by playing hookey from a board
meeting, something he had not done in
years.
Mr. Knight was born June 14, 1838,
at Chester, 0 . He fought in the Civil
W ar in Battalion C, First Ohio Artil
lery. At the end o f the war he came to
Cleveland, where for twenty years he
was a member o f Woods, Perry & Co.
7
T h e Im portance o f the T ru it D epa rtm en t in
Our Financial System
HE trust business today can be
compared with the condition o f
the life insurance business twenty
years ago. The insurance figures have
grown many, many hundreds o f mil
lions during the last twenty years, and
I believe the trust business is going to
grow in just that way during the next
ten, fifteen or twenty years. Whether
it grows rightly is going to depend
largely upon the way in which we all
handle the responsibilities that fall
upon us. Not only has the number o f
trust companies in the United States
grown enormously; in 1918, under an
amendment to the National Bank Act,
national banks were given the power
to go into the trust business, so that
within a comparatively few years the
agencies fo r carrying on this business
were multiplied many fold.
The trust business is a serious and
complicated business and is not to be
undertaken lightly. I have seen it hap
pen in more than one case where a
man who was primarily a commercial
banker would say, “ This trust busi
ness seems to be growing. W e will
Put in a trust department.” He calls
some likely young fellow in the bank
and says, “ Bill, we are going to put in
a tiust department and you are going
to be at the head o f it; go to it .”
That is playing with dynamite. I have
been a national banker and I have been
a trust company officer, and I realize
that the responsibilities and the com
plications involved in the trust busi
ness are larger than in any other phase
o f financial life.
In the first place, the trust business
involves not only the care o f estates,
living trusts and so forth, but it in
volves the complications that come in
to corporate trusts. The corporate
trust business is going to be greater
particularly in the South where manu
facturing and industrial activities are
growing as never before. It is a diffi
cult and complicated thing and a re
sponsibility fo r which you must pre
pare.
Then comes the question o f being
able to get skilled men to do this work.
They have to be men who will take re
sponsibility— men who will study and
fit themselves for the job. They have
to know the law. They have to know
the security market, not simply by
looking at it in the newspaper but by
understanding the fundamentals and
the values that are back o f these se-
T
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Federal Reserve Bank of St. Louis
By JAM ES H . PERKINS
President, Farmers Loan and Trust Company
New Y ork City, and Vice-President, Trust
Company Division o f the A . B. A .
........................................... .......... ■■■■.....mu....
“ Those engaged in trust work must
remember that in no business in the
world are they going to be held to
account as in this business. Do the
best they can, have the best help they
can, and with the greatest skill sur
rounding them, they are going to make
mistakes and are going to have trouble,
I can say, because I have had plenty
of it. It is not any fun to make a mis
take when dealing with a man’ s estate
or a trust. It is a mighty serious busi
ness. Any trust company that mis
manages its estates can lose its reputa
tion in no time at all.”
curities. They have to know hotv to
handle the customers. They have to
know how to probate wills. They have
to know how to render accountings and
all the hundred and one different things
that come into that work.
HOSE engaged in trust work must
remember that in no business in
the world are they going to be held to
account as in this business. Do the
best they can, have the best help they
can, and with the greatest skill sur
rounding them, they are going to make
mistakes and are going to have trouble,
I can say, because I have had plenty
o f it. It is not any fun to make a mis
take when dealing with a m an’s es
tate or a trust. It is a mighty serious
business. A man has put the care o f
his fam ily into your hands and you are
not only humanly responsible but legal
ly responsible. A ny trust company
that mismanages its estates can lose
its reputation in no time at all.
The statement o f one o f the big
trust companies will show it has so
much deposits, so much capital and
so much surplus and we say, “ That
is a splendid showing. These fellows
have an enormous capital and sur
plus in comparison to their deposits.”
But we do not see any statement o f
the trusts in their care and fo r which
they are responsible and liable. The
amount o f trusts in the older trust
companies is so many times greater
than their deposits that the deposits
T
look like nothing at all alongside of
them.
One o f the most difficult o f the
skilled jobs that is needed fo r this
work is an investment man. It needs
more skill, more study and more care
than it ever did before in the history
o f the world because we are the bank
ers o f the world, and the situations
that we must study are not confined
to our locality, or even to our country,
but they cover the whole world. It
requires men o f careful training, men
o f studious habit with thoroughly hon
est mentality to do this work. It is
not a job fo r the man who* watches on
ly the ticker. I f one is going to do
the investment job right he has to know
values upon which he is investing. On
ly when your values are right and your
management is right are you free from
worry because something temporarily
goes up ten points or down ten points.
There is another activity and that
is the custodian department. A ll o f
us have custodian accounts which mean
safe-keeping accounts fo r living men
and women, but they mean a good deal
more than simply safe-keeping. They
mean advice and guidance to these peo
ple, and the securities involved run in
to enormous figures. It is necessary
to develop ways o f taking care o f such
accounts on a large scale.
N connection with this custodian
work, I want to mention one thing
which is very im portant: A bank or
trust company should not, fo r the sake
o f building business, undertake a lot
o f work and do a lot o f services for
which it is not adequately paid, be
cause if it once starts that it keeps on
piling up on it and the first thing it
knows it wakes up and finds that it
has to have an organization that it
can not support, and the competition
in this respect is very bad.
Because o f the constant requests o f
our customers, we have organized a
little investment trust o f our own
which we allow only our own custo
mers to join. W e say to them, “ Here
is an investment trust; you can take
such-and-such part o f it if you want
to. W e do not guarantee it. I f the
security market goes down investments
in the fund will go down too, but we
believe on the whole that the fund,
watched by a group o f trained men, in
the long run has a better chance o f
I
(Continued on page 46)
M oth er Qoose Rhym es Brought U p to D ate for
Young Sons o f Busy Bankers
V E R Y good banker wants his son
to follow in his steps. It is the
desire o f his heart to see his little
hoy grow up to be an obsequious teller,
or an underfed cashier, with squinty
eyes and a personal financial statement
which is in need o f first-aid treatment.
The principal difficulty has been that
hanking is popularly supposed to be
a prosaic, unromantic profession. No
one has yet written the “ Saga o f the
Security Savings Bank and Trust Com
pany Safe Deposit Boxes fo r Rent, ’ ’
nor has any poet ever put into words
the Bank B orrow er’s Ballade, entitled
“ A Statement They W ant Me tq
Make, tra-la ! ’ ’
Naturally, there has been no juvenile
literature dealing with banking, and it
has consequently been very difficult to
interest young hoys in the intricacies
o f the profession. Two years ago,
E
By ROSCOE M A C Y
ments, I could even imagine him, by
a dexterous misdeal, getting the five
fo r four ones.
Then, two or three months ago, it
dawned upon me that there was a tend
ency in my son to grow restive before
the conclusion o f my evening lecture.
At first, I could hardly believe my own
senses, until one evening there came,
like a bolt from the blue, the statement
from his own lips that h e’ d like to be
an engineer when he growed up! My
dream world was shattered. F or days, I
went about as one in a trance. My own
son— a railroad engineer!
Drawing
down a miserly six hundred a month,
and depositing it in the bank with some
dirty remark about the possibility of
losing it next time the examiner comes
decided to be a barber when he got
big! Just think: I am within two let
ters o f my goal!
I
N order that every hanker-father may
see fo r himself the excellence o f
this work, a few selections from it are
printed below. Try them on your own
son, or if you do not yet have a son,
a grandfather or a second cousin will
do just as well. All right, professor,
strike up a few bars!
Harry Had a Little Lamb
Harry had a little lamb;
Its fleece was full o f ticks.
He mortgaged it to the Savings bank
To buy a Super-Six.
The fleece he sold to buy some gas;
The lamb he had to bury.
The Super-Six can make the grade—
Can’t say as much for Harry.
Wee W illie Winkie
, BtkJ&jice,
~
uma ¡¡uM d
l^nuriti^eai
(i
S x L fW
o fe L
when my own son was six, I instituted
the practice o f lecturing to him fo r an
hour each evening on some such sub
ject as “ Account Analysis,” or “ Meth
ods o f Bank Management.” I had a
cherished vision of my son, at the age
o f twenty-one, assuming bis stance
and licking his thumb, preparatory to
dealing out five new ones in exchange
fo r a customer’ s dilapidated five dol
lar bill. In my more sanguine mo
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Federal Reserve Bank of St. Louis
i£1Scu
t '- s v g .
William Winkie, Cashier
Runs through the town
Upstairs and downstairs
In his night-gown.
Rapping at the windows
Rousing out the men.
“ Hear that blarsted bank-alarm?
Dam thing’ s on again.’ ’
(Continued on page 45)
around!
It was more
than I could stand!
I began to analyze the
situation, and with my
usual clarity o f vision, I
perceived almost imme
diately where the diffi
culty lay, and set about remedy
ing it by supplying a bit o f
literature on banking fo r boys.
I remodeled my work after
the children’ s books with which
I was familiar, and it has noAv
been in use in my own house
hold fo r several weeks. The results
have been marvelous. Just the other
day, my little boy came to me and told
me that instead o f an engineer, he had
9
,
Liquidity Profits and Management
W e Must Determine Scientifically the Proper Percentage
o f the Bank’s Funds to Place in Different Investments
I
N discussing this subject o f liquidity,
profits, and management, I should
like to consider first the income which
the bank receives; and second the ex
penses which the bank must meet.
The banking income, from which its
profits must be drawn and its safety
steadily built, must come from the
loan o f the bank’s funds. Those funds
consist o f the capital paid in by the
stockholders, surplus paid in and ac
cumulated out o f earnings, and the de
posits available for investment.
Now for our first rough averages.
It is generally recognized that a bank’ s
capital and surplus should be main
tained at not less than ten per cent o f
its
total
deposit
liabilities.
The
owners naturally desire to keep down
their investment so that their percent
age o f profit may be larger; experience,
however, has shown the ten to one
ratio to be necessary fo r the proper
protection o f the depositors. General
ly accepted as these figures are, yoti
have only to check through the state
ments o f banks in various communities
to note the wide divergence from this
standard.
Naturally, if too large a percentage
of these stockholders’ funds is invested
in fixed assets, building and fixtures,
the liquidity o f the first line funds is
sacrificed. Certainly not more than 50
per cent o f the capital and surplus
should be in fixed investments; and if
the percentage is higher, it should be
reduced as rapidly as possible.
The remainder represents funds
available fo r the bank’s investment
program. And what standards or rules
fo r the investment o f those funds does
good management generally recognize?
To ascertain the sentiment in this
matter, I sent out a questionnaire to
a large number o f bankers in various
sections o f the country. Strange as it
may seem, there was complete lack o f
agreement regarding the percentages
of the bank’s available funds to be
placed in such broad classifications as
secondary reserves, bonds, and local
loans. The lack o f agreement was na
tion-wide.
Cash reserves according to the va
rious answers, ran from 5 per cent to
72 per cent; secondary reserves, from
none to 73 per cent; customers’ loans,
from none to 90 per cent; other bonds
and stocks, from none to 48 per cent;
10
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Federal Reserve Bank of St. Louis
%
CR AIG B. H A Z L E W O O D
Vice-President, Union Trust C o., Chicago
and Vice-President o f The American
Bankers Association
“ I have known bankers to say that
it is impossible to formulate any prin
ciples o f good bank management which
may be applied generally to every bank.
They say, “ My bank is different from
any other bank.”
They forget that
there are basic principles o f sound
bank management that have been de
veloped through years and years of
practical experience and that these fun
damental guiding principles are ap
plicable to every bank in this country,
whether it be large or small, whether it
be located in the country or in the
city. ’ ’
local mortgages, from none to 71 per
cent o f the bank’ s resources. The per
centage o f the bank’s capital and surplus in nxed assets varied from none
to 100 per cent.
N the matter o f whether they fo l
lowed a definite policy with respect
to the investment o f their funds, over
74 per cent said they had established
no definite policy. While I lay no
claim to the predictive powers o f a
prophet, I venture to say that within
the next five years we shall find scien
tific bank management laying down
basic principles, averages, and per
centages fo r the guidance o f bankers
in the sound and safe investment o f
the funds entrusted to their care.
I shall not be able to go at length
into the results o f these questionnaires
nor to give the subject o f a bank’ s in
vestment program that detailed discus
sion which it deserves. But I may
say that among the most ably managed
banking institutions over the country,
certain standards fo r the investment
o f the bank’s funds are generally rec
ognized. Since liquidity or safety and
profits are the first considerations, they
are reflected in those standards. The
primary reserves in cash and due from
banks approximate about 20 per cent
o f the total resources. Secondary re
serves quickly convertible into cash run
20 to 25 per cent. These reserves in
clude government bonds, call loans,
I
bank acceptances, and commercial pa
per. In the ease o f member banks o f
the Federal Reserve System, the out
side paper may be reduced by the
amount o f the customers’ loan eli
gible fo r rediscount. The remaining
50 to 55 per cent o f available funds
(after primary reserves, secondary re
serves, and investment in building and
fixtures) will be invested, generally
speaking, in customers’ loans, other
bonds and stocks, and local mortgages.
These are broad averages which may
be varied to suit the position and re
quirements o f the individual institu
tion, provided such variation is indi
cated by trained judgment and sea
soned management ability.
Even the least experienced banker
has often heard the stock objection
to the maintenance o f the necessary
secondary reserves, namely, that the
rate o f interest on liquid secondary re
serves is too low as compared with
what can be obtained on local loans.
But a preponderance o f local loans,
particularly in a one-industry commu
nity, is extremely dangerous. No sen
timental feeling towards local enter
prises should lead the banker into a
course which may prove disastrous.
Our local loans may be entirely safe,
but not liquid; they may be the best
in the country, but not self-liquidating ;
they may be made to the best single
class o f industry in the country, but
not sufficiently diversified. A well bal
anced and truly conservative loaning
policy recognizes all o f these factors
and no pressure o f local circumstances
and no argument o f any kind should
influence the banker to place his in
stitution in any condition other than
a thoroughly liquid one.
Let me say also that the conserva
tive investment course is usually the
more profitable. Here is an actual il
lustration out o f many which I have
received from H. N. Stronck & Com
pany, Bank Consultants, Chicago, and
which is typical o f the advantages of
a conservative, liquid investment pro
gram.
O f two banks located in the same
town, one placed 82 per cent o f its
funds in local loans, perilously disre
garding the liquidity o f its funds; the
other bank loaned 42 per cent o f its
funds locally. For the first bank 5
per cent, and fo r the second bank 21
(Continued on page 42)
Getting Business N ext to Nature
Pilot Life Insurance Company o f Greensboro, N . C.
Completes New H om e Office Located in the Suburbs
o f business,
wherever this step is possible with
out resultant financial loss, is rapidly
becoming a factor in the business world.
Skyscrapers, once valued because o f the
concentration o f floor space at a saving
in actual ground space occupied, were
formerly deemed essential in housing a
large business concern. Then, too, there
attended the construction o f a sky
scraper wide publicity that became a
perpetual advertisement flung against
the city’s skyline.
Modern
transportation facilities,
while doing away with the absolute
necessity for centralization in many in
stances, have actually brought about a
complex parking problem that only
decentralization seems able effectively to
solve.
With these business trends in mind,
Pilot Life Insurance Company, of
Greensboro, N. C., is rapidly bringing
to completion at Sedgefield, a suburb o f
the municipality, their $700,000 home
office, doing away entirely with the ne
cessity for skyscraper design in archi
tecture.
Operations o f a fleet o f modern
passenger busses, plying b e t w e e n
Greensboro and Sedgefield, the suburban
development in which the new home o f
fice is being built, will make it possible
to transport the large number o f em
ployes (now in the neighborhood o f 175)
with little loss o f time. Special care
has been given the construction o f a
large cafeteria where hot meals may be
procured by all members o f the staff at
nominal prices.
Located in a commanding position in
the heart o f a 132-acre tract owned by
the company, the new plant has been
designed in a semi-domestic motif,
along English renaissance lines. E x
teriors are o f dark red brick, trimmed
with Indiana limestone. The roof o f
each unit is o f green and brown slate,
blending with the woodlands beyond.
Three large buildings comprise the
present group, which can be expanded
indefinitely without marring the archi
tectural effect.
O f interest in this connection is the
fact that the corner stone o f Fackler,
the central structure, was hewn from a
boulder located near the top o f Pilot
Mountain, from which the company
takes its name and trade-mark. This
corner stone was laid with appropriate
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Federal Reserve Bank of St. Louis
e c e n t r a l iz a t io n
D
ceremonies on November 21, 1927, at
which time Josephus Daniels, former
Secretary o f the Navy, was the principal
speaker.
Fackler, the central structure, named
in honor o f David Parks Fackler, the
Putting its stamp upon the
rural environment is Sedgefield
Inn, ‘ ‘ a hit of Old England, ’ ’ lo
cated in the heart of a 3,600-acre
estate adjacent to the famous
Valley Brook golf course design
ed by Donald Ross.
Pilot’s first actuary, will house the
ordinary life departments, together with
general offices and those o f company
officials.
Mebane, the smaller eastern building,
named in honor o f the late Cummins
Mebane, who was known throughout the
country as a leader in fire insurance
circles, will be the home o f the fire in
surance organizations, now four in num
ber, the industrial insurance depart
ment, and the accident and health de
partment.
“ Commons,” the western building,
which takes its name from educational
institutions o f the country that have
such eating establishments and gather
ing places, will contain in addition to the
cafeteria, committee rooms, a large audi
torium, seating 350 persons, and lockers
and showers in the basement. In all, a
floor space o f approximately 60,000
square feet is provided in the present
structures.
Dating back to 1890, the Pilot Life
and its forerunners have had an event
ful history, centering largely around
the personality o f President A. W . Mc
Alister and a group o f associates, promi
nent among whom is R. G. Vaughn,
president o f the American Exchange
National Bank, and also vice-president
o f the Pilot Life. While the initial
business ventures were more concerned
with real estate, loans, etc., in 1903 this
phase was divorced from other interests.
Out o f the former, however, grew the
development o f Irving Park, the leading
Greensboro residential area, and in lat
ter years o f Sedgefield, where the Pilot
Life takes root in June o f this year.
Here Sedgefield Inn, a 200-room hos
telry construction along old English
lines, has brought to the fore the
recreational advantages o f the section,
(Continued on page 47)
Pilot Life In
surance Company,
now operating in
twelve states and
the District o f
Columbia, is mov
ing this summer
i nt o the new
$700,000 home of
fice here depicted,
located m idw ay
betw een Greens
boro and H i g h
Point. The home
office tract alone
e m b r a c e s 132
a c r e s at Sedge
field, and makes unnecessary the skyscraper that does not lend itself to such a
rural background. The three buildings give 60,000 square feet of floor space,
entirely devoted to the interest of the Pilot companies.
11
12
M id -C o n t in e n t B a n k e r
July, 1928
ested, that employee became his pride
ful charge. F or taking an interest in
work and fo r getting there on time,
Mr. Buder would always give encour
agement and praise.
He detested lying in any one. I f a
mistake was made and it was frankly
admitted and explained, it was quiet
ly waived or corrected. But an er
ror glossed over Avith an excuse or a
lie was never forgotten.
Mr. Buder was a thorough investi
gator and thinker. Whether or not he
had a brilliant education no one seems
to know, but somewhere he learned to
think constructively and to concen
trate. He never undertook to study
out any case without going into it with
extreme care, and he never promised
to take any offices o f any kind if he
felt he could not do justice to them.
A club connection fo r prestige only
never appealed to him. He was too
sincere fo r that.
This man fo r all his austerity was
one Avho never wanted to be any
trouble to any one. This may sound
unreal to those who never saw him
smile— but it is only truth coming to
the surface. There are few people in
a m an’s life who come to know him
oA’ er a long period o f years, better
than his secretary, and the sincerity o f
Mr. B uder’s real character is described
by a hundred little incidents which
Elvira Steitz, that secretary, recalls
too ATividly now as she sits sometimes
beside an empty chair.
There was a time some months ago,
she says, when Mr. Buder was stricken
with a slight attack o f illness. The
EDW ARD BUDER
other men had all gone home leaving
him alone, and though she had tele
NOTHER light in the banking
est men that ever lived. He would
phoned his brother to make sure that he
world has flickered out. The
insist that these students live up to
would be cared for, she had no thought
light burned very brightly until the
all the requirements set upon them—
o f leaving him alone in the meantime.
end, June ninth, when Edward Buder
and then he was glad to do his part—- Mr. Buder insisted fo r a Avhile that
died.
he was interested in their progress—
she leave him, fearful even in his dis
Edward Buder, vice-president and
and happy when they succeeded.
comfort, that she was being incon
treasurer o f the Mercantile Trust Com
Mr. Buder worked himself up in venienced. When his brother came he
pany o f St. Louis, was probably the
banking from the bottom o f the lad
was so appreciative o f her interest in
most misunderstood man in his pro
der and he was always keenly inter
him that he talked o f nothing else.
fession. He was so unassuming that
ested in young bankers who came un
Miss Steitz said that he mentioned it
he seemed aloof, but under that stern,
der his supervision. His one, command
many times afterward— and yet it was
unwavering gaze, there was an almost
Avas promptness, beyond that he was
only a natural thing to do.
tragic longing fo r companionship.
as lenient and gentle as any other exe
He was a royal entertainer and the
Here was a man whose interest in
cutive, and more conscientious than
functions which he managed during
agriculture, though himself not o f the
most.
his busy career among bankers were
soil, carried him to a great stroke of
He Avanted to see the employes work
always
brilliant
successes.
People
generosity— the establishment o f a
and earn promotion, and any advance
liked having Mr. Buder arrange ban
scholarship fund in the Missouri Col
ment that was earned was certainly not
quets because he never forgot details,
lege- o f Agriculture. The scholarship
withheld if it ever came to his atten
and everything always went off smooth
has been commented upon in this maga
tion. He liked to see boys start at
ly. His secretary explained that, too.
zine— but that was only one o f many
the bottom as he had done, he liked
He worked. I f he promised to take
to Avatch them fight their way up and
ways in wdiich he found an outlet fo r
charge o f a convention he sat down
win recognition. He expected every
his helpfulness.
and thought out every procedure— the
one to work when there was work to
His traditional firmness manifested
most minute things were accurately and
do— but no man was ever quicker to
itself, however, in dealing with these
definitely planned in advance. Every
see where commendation was due. I f
boys, fo r Mr. Buder was firm. But
he found that an employee was inter
he was one o f the most just and hon
(Continued on page 44)
Prominent Missouri Banker Is D ead
A
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Federal Reserve Bank of St. Louis
July, 1928
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Federal Reserve Bank of St. Louis
M id -C o n t in e n t B a n k e r
E lives somewhere between the
Mississippi R iver and the
Rocky Mountains.
H
He grows wheat and corn and hay
and live stock.
He comes to Kansas City only oc
casionally and sometimes doesn’t
even come up town. You see him
every Saturday afternoon and some
times during the week.
All the business he does with us comes
through you— mostly by the way of grain
drafts which perhaps he doesn’t under
stand so thoroughly but he knows you
understand it and that’s enough.
But he is our best customer and of course
we give him our best service. So when you
draw a grain draft for his benefit, send
it to Commerce Trust Company because
he wants the best service obtainable.
(ommercejrust (ompany3
Resources Exceed 100 M illions
K A N S A S C IT Y
M id -C o n t in e n t B a n k e r
l V r H A T K I t IV iü W T
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ISA IIIO
INCE
S
the public first began to buy radio, the most
consistent profit maker for dealers has been Atwater
Kent Radio.
It is a profit maker because it moves rapidly from the
dealer’ s storeroom to the purchaser’s h om e— and stays
there. It is popular, moderate-priced merchandise and is
very profitable as compared with merchandise that moves
slowly and ties up the dealer’ s capital.
The dealer who devotes his major radio effort to selling
Atwater Kent Radio is a dealer deserving the interest and
consideration of bankers in his financing.
A t w a t e r K e n t M a n u f a c t u r in g C o m p a n y
A. Atwater Kent, President, 4748 Wissahickon Avenue, Philadelphia, Pa.
The main factory of the Atwater Kent Manufacturing Com
pany covers 15 acres and is devoted exclusively to radio
July, 1928
Illinois ta n k er s Association H olds Thirty-Eighth
Annual Convention at Rock Island
ORE than 700 bankers journeyed
to Rock Island to attend the
thirty-eighth annual convention o f the
Illinois Bankers Association which was
held at the Fort Armstrong Hotel, June
M
20- 22.
The opening day was given over to
social festivities and to meetings o f
the administrative committee and the
executive council. Discussions at these
meetings developed the general senti
ment that the lowest level o f pros
perity in banking circles had been
reached and passed. Optimism fo r the
future was based to a great extent on
the adoption by banks o f economical
methods o f administration.
The discussion o f this phase o f busi
ness was brought out during the course
o f the report o f F. G. Hitt, o f Ziegler,
chairman o f Group 10 o f the organiza
tion, which group has been selected to
pioneer in attempting to establish a
regional clearing house.
The convention proper opened the
follow ing day with Thomas R. Preston,
president o f the Hamilton Banks o f
Chattanooga, Tenu., and o f the Amer
ican Bankers Association, scheduled as
the principal speaker. Mr. Preston stat
ed that political relief fo r the problems
o f the farmer is nothing more or less
than a chimera, and he urged that the
farm problem be taken out o f politics.
“ I have been listening to political
remedies fo r the farmer all my life ,”
declared Mr. Preston, ‘ ‘ but never have
I heard o f one o f these adding five
OMAR H. W RIGHT
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Federal Reserve Bank of St. Louis
By JAM ES J. W E N G E R T
cents to a bushel o f corn or a dollar
to a bale o f cotton.
“ I believe there is a genuine rem
edy fo r the building up o f small vil
lages and agricultural interests o f this
country. This remedy may not in all
instances succeed, but it is better than
any political remedy I ever heard of.
I would recommend mixing industry
with agriculture by developing indus
tries in small communities to give em
ployment to surplus agricultural labor,
thus providing a market fo r farm prod
ucts on a basis more profitable than
is now possible.”
Preceding Mr. Preston, addresses
were given by President J. M. Appel,
o f the state association; by W . E. Dev
lin, o f Devlin, Merrill, Price & Ben
nett, Chicago, on “ Selling Bank Serv
ices to Meet Present Day Competi
tion ” ; and by Douglass Sutherland,
secretary o f the Chicago Civic Federa
tion on “ What Is W rong W ith Taxa
tion ? ’ ’
In a short address at the opening
o f the morning session, Hugh E. Cur
tis, president o f the Rock Island Sav
ings Bank and chairman o f the local
convention committee, welcomed the
delegates in behalf o f Rock Island’ s
banks and extended to them the “ keys
o f the city .”
Phil Mitchell, dean o f Rock Island
county bankers, was introduced at the
morning session. He served as second
president o f the state association, and
during the convention he renewed many
acquaintances among the scores o f old
er bankers who were in attendance.
Failure o f the McNary-Haugen farm
relief measure to become a law and
the action o f Congress in reducing the
income tax on corporations only l j /2
per cent instead o f 3^/2 per cent, as
sought, were disappointments in fed
eral legislation encountered by the Il
linois Bankers Association during the
past year, according to the report o f
the retiring president, J. M. Appel,
o f Highland Park, as read by him at
the morning session.
A feature o f the afternoon session
on June 21, was the presentation o f the
“ Appel Cup” to W. G. Penn, o f M or
ris, Illinois, chairman o f Group Five
o f the Association, in honor o f his
group having attained the highest av
erage o f county federation activity.
The social feature o f the convention
was the banquet and dance given at
the Rock Island Arsenal on the evening
o f June 21. Hon. Floyd E. Thompson,
Chief Justice o f the Supreme Court o f
Illinois, was the guest o f honor and
speaker o f the evening, and retiring
president J. M. Appel acted as toast
master.
The closing session o f the convention
was held on the morning o f June 22,
when speeches were made by P. B.
Sturgis, assistant to the general traffic
manager o f the National A ir Trans
port, Inc. ; Eugene M. Stephens, presi
dent o f the Illinois Merchants Trust
Company o f Chicago; and Dr. Edward
J. Cattell, o f Philadelphia.
An appeal fo r the “ friendly sup
p o rt” o f banks and business houses
in commercial aviation was made to
the convention by Mr. Sturgis who
took the place o f Col. Paul Hender
son when the latter was unable to fill
his engagement.
Mr. Stephens dwelt on the prob
lems o f agriculture in his address and
stated that it was difficult fo r him to
understand why intelligent men can
give credence to the propoganda that
banks and business are inimical to
agriculture.
“ The agricultural problem today is
not so much one o f credit as it is a
problem o f conserving production, and
o f diversification to the end that the
demand fo r its products, at fair prices,
shall at least equal the supply, or con
versely that the supply shall be ad-
LYON KARR
15
16
M id -C o n t in e n t B a n k e r
SEVEN /
POINT FULL COVERAGE AUTOMOBILE POLICY
Do You Wish to Increase
Y our Automobile Insurance
Premium Volume?
O N S ID E R these few things:
C
This is a
Company with ample resources.
New
ideas in Company management and au
tomobile
insurance
underwriting
give
its
agents a desirable advantage. Many Republic
agents are right now greatly increasing their
volume o f Automobile Insurance premiums.
If you are seriously considering ways to in
crease your automobile business, perhaps you
can find the answer by writing to the Agency
Department. Complete details will be gladly
furnished at once.
REPUBLIC
C A S U A L T Y and S U R E T Y C O M P A N Y
35 East W acker Drive
CHICAGO
AUTOMOBILE
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Federal Reserve Bank of St. Louis
INSURANCE
July, 1928
justed to meet the demand,” he de
clared.
New officers for the coming year were
elected as fo llo w s:
Omar H. Wright, president o f the
Second National Bank, Belvidere, pres
ident.
Lyon Karr, president o f the First
State Bank, Wenona, vice-president.
William R. Dorris, cashier o f the
First National Bank, O ’Fallon, treas
urer.
Frank 0. Birney, president Reliance
State Bank and Trust Company, Chi
cago— member o f executive council for
three years to succeed S. E. Brandt,
DeKalb, 111.
J. M. Appel, Highland Park, 111.—
member o f executive council fo r three
years to succeed C. H. Fox, Chicago.
W. R. McGaughcy, Decatur, 111.—
vice-president fo r the American Bank
ers Association to succeed William R.
Dorris.
The follow ing vice-presidents fo r Il
linois were elected in four divisions:
National bank division— C h a r l e s
Burns, Chicago, 111.
Savings bank division— Hugh Saxon,
Chicago, 111.
State bank division— George W.
Telling, Danville, 111.
Trust company division— H. R. Aisthorpe, Cairo, 111.
Nashville to H ave Beacon for
Night Flyers
Keeping up with the progressive
cities o f the North and East, Nashville,
Tennessee, is being “ sky marked” by
night as well as by day.
Just like the lighthouses which mark
the harbors along the coasts, Nashville
will be marked by a “ lighthouse” to in
dicate that the city is a harbor for air
planes. A beam o f light, coming from
the city’s tallest office building and vis
ible for 50 miles, will flash through the
night from dark to daylight the loca
tion o f Tennessee’s capital city.
This night “ sky sign,” like the day
“ air mile post” which now marks the
city by day and which gave Nashville
the distinction o f being the first city
to be so marked, is being erected by the
American Banks atop the American
Trust Company’s 15-story building as
a contribution to Nashville’s civic ad
vance.
Dominating the city from this loca
tion, the brilliant “ pencil o f light” from
the beacon will flash over Middle Ten
nessee for a distance o f 50 miles. It
will revolve twice every minute and be
elevated ten degrees from the horizon.
The beacon is being erected by the
Nashville Railway and Light Company.
The expense o f its installation and
maintenance is being assumed by the
American Banks.
INSURANCE SECTION
Believes Banks A re in Superior Position to (jive
Insurance Service to Their Customers
H AT the bank is a “ department
store o f finance” and as such is
fu lly capable o f handling a m an’ s in
surance as well as his estate, seems to
be the guiding principle o f A. P.
Giannini, chairman o f the advisory
committee o f the Bank o f Italy, in Cal
ifornia, whose action in putting all his
branch banks in the insurance business
has raised so much discussion in insur
ance circles. His more recent expla
nation o f this action, which appeared in
a San Francisco newspaper, is quite
frank in its viewpoint and gives the
public an entirely new idea o f banking
functions.
Speaking first o f the ‘ ‘ department
store o f finance” idea, Mr. Giannini
says in p a rt:
“ One o f the most definite changes
that has taken place in American bank
ing during the last few years has been
the trend toward broader service, as
provided by the departmental banking.
Instead o f a bank confining itself to a
single function, such as doing a sav
T
ings business, making only commercial
loans or acting in a fiduciary capacity,
we now find a single institution offering
all o f these services— and a great many
more— under one roof. This spreading
out has earned fo r the modern bank
the popular description o f a depart
ment store o f finance.
“ W hile we have already witnessed
the first stages o f the movement to
ward broadened bank service, I am
willing to venture the prediction that
the bank o f a few years hence will be
as much different from that o f today as
the bank o f 1927 represents an advance
over the bank o f a few years ago. The
bank o f the future will be equipped to
supply all o f the financial needs o f the
people in the safeguarding, investment
and reinvestment o f their fu n ds.”
The next paragraph o f Mr. Gian
n in i’s interview goes boldly into the
field o f insurance. He says:
“ For what institution— one may
properly ask— should be in as good a
position as a bank to advise the peo
ple how they can build up an estate,
make a suitable investment, protect
their property through adequate insur
ance and finally see that their estate is
distributed to carry out their desires'?
W hy should banks send their customers
to other institutions fo r these financial
services when they are in an ideal po
sition both from the standpoint o f con
venience to the public and profit to
themselves, to supply them themselves?
It is merely a question o f time until
banks establish additional departments,
functioning as counselors to the cus
tomers, in matters other than invest
ment in securities. ’ ’
Then follow the reasons that impel
the banker to visualize insurance han
dled if not entirely then at least in
part, by the bankers, themselves:
“ For what institution has a better
idea o f sound values o f any sort in a
community than the bank? In han
dling loans, the officers are constantly
in touch with the changing business sit
uation, and know which firms are mak-
The International Brand
The International Life Brand is Becoming Better Known
than any other brand on the Range Bar None.
It Signifies:
Service and square dealing to the Policyholder
Service and square dealing to the men in the field
Aggressive and sympathetic H om e Office Management
O V E R 310 M I L L I O N S O F I N S U R A N C E IN F O R C E
O V E R 44 M I L L I O N S O F A S S E T S
International Life Insurance Co.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
S A IN T L O U IS
R O Y C. T O O M B S , President
W . F. G R A N T G E S , First Vice-President and Gen l Manager o f Agents
17
18
M id -C o n t i n e n t B a n k e r
The Home of the Celebrated
B O STO N O Y S T E R H O U S E A N D T E R R A C E G ARD EN
Chicago’s
MORRISON HOTEL
Madison and Clark Streets
The Most Central Hotel in the City
1944 R O O M S, $2.50 U P
— all outside, each with bath, running ice water, bed-head lamp, and Servidor.
keeper on each floor. Garage service for all guests.
The New Morrison, when completed, will be the world’ s
largest and tallest hotel— 46 stories high, with 3,400 rooms.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
A house
July, 1928
ing a go o f it and which are not. And
by the same token bankers know which
insurance companies are financially
strong and well managed. The average
individual knows little o f what re
sources are behind his policy, but the
banker does. A fter the great San
Francisco fire, some fire insurance com
panies paid 100 cents on a dollar, while
others paid 40 cent and even less. The
discriminating knowledge o f what in
surance companies are strong and de
pendable would mean that the policies
would be placed with companies mer
iting this confidence. The banker, by
his superior knowledge o f finance and
credit, is in a superior position to serve
the people in meeting their financial
needs.
“ Recognition o f this fact is result
ing in the growing use o f the bank and
trust company in all trust capacities;
the individual investors are looking
more and more to the banks for the
purchase o f suitable securities and the
further development o f this practice
to all financial transactions involving
the investment and reinvestment of
funds is certain to come. The banks
should be far-visioned enough to see it
and prepare fo r the day o f this broad
ened bank service.”
H ILE believing that the Ameri
can banking system has gone far
beyond the one-function standard, Mr.
Giannini admits that he can foresee the
necessity o f the banker specializing on
one particular field. He say s:
“ This is truly an age o f specializa
tion and the bank is— or should be—
an expert on all things pertaining to
money and credit. The banker must
be able not only to tell the people how
to save money, how to make it work
safely and profitably, how to protect
it and finally how to make his accumu
lated dollars carry out the desires o f
their owner when he passes on, but
he must be equipped to do this better
and better.
“ It is not possible fo r any one indi
vidual to be an expert on all things.
The day o f the jack-of-all-trades in the
financial world has passed and with the
ever-increasing perplexities o f business,
the premium that knowledge carries in
any one field is growing larger year
by year.
“ The reason that the large institu
tions are making a success is that they
are able to pay the price fo r the best
brains that are available. Good bank
ing is the result o f good management;
and good management comes from hir
ing the best men that can be had in any
particular field. That is the secret o f
the success o f the Bank o f Italy— pick
ing the best talent and paying what it
W
July, 1928
19
M id -C o n t in e n t B a n k e r
is worth. W e seek the best man pos
sible fo r a particular job and pay him
enough so that he can concentrate on
the one thing.”
Will Prepare Lincoln Statue
for Lincoln National Life
Paul Manship, distinguished Amer
ican sculptor, has been commissioned
by The Lincoln National L ife Insur
ance Company o f Fort Wayne, Indi
ana, to prepare a statue o f Abraham
Lincoln as a young man, which will
occupy a place in the entrance court
o f their beautiful home office building.
The contract agreement with Mr.
Manship includes a fee o f $75,000, and
a specification calling fo r the comple
tion o f a model not later than the fall
o f 1930 which is the twenty-fifth an
niversary o f the company. The work
will be later cast in bronze as the per
manent and final contribution.
Mr. Manship is one o f A m erica’s
younger artists who early gained dis
tinction in his field. The leading art
museums o f New York, Brooklyn, De
troit, Minneapolis, Chicago, St. Louis,
Paris and other cities have notable ex
hibits o f his work.
Among his noted pieces o f statuary
are busts o f Frederick Ivepply, Myron
T. Herrick, John Barrymore, James
Ballard, Marquis de Chalmondoly, Miss
Carrie Thomas, John D. Rockefeller
and others. The W ar Memorial in the
American Academy at Rome, the mag
nificent monument to John Pierpoint
Morgan, The Young Indian Hunter,
the Cycle o f Life, the Infant Hercules,
The Flight o f Europe, The Duck Girl,
are also widely known creations o f
his efforts.
Flapper: I need a new bathing suit.
Sheik: T hat’ s nothing.
St. Louis A g en cy Has Large
Increase in Business
Nearly 4,000 St. Louisans applied fo r
insurance through the Missouri State
L ife Insurance Company during the
first five months o f 1928, according to
a statement by Edmund Burke, mana
ger o f the St. Louis Branch.
The total number o f policies issued
through the St. Louis branch during
this period was 3,412, March having the
greatest number, 780. The number o f
policies issued represents an increase o f
902 over the first five months o f 1927.
The amount o f insurance covered by
these policies totals $9,796,410, an in
crease o f $846,967 over the first five
months o f 1927.
Robert C. Newman led the entire
sales force in volume o f business writ
ten fo r the five-month period, his sales
totaling $1,043,000.
The following
fou r men made sales in excess o f
$250,000: J. F. Halley, F. F. Sale,
E. G. Monnig and B. R. Canada. Four
teen others each exceeded the $100,000
mark during the same period.
Missouri
State
Life
Passes
$ 8 0 0 ,0 0 0 ,0 0 0 Mark
The Missouri State Life Insurance
Company has passed the $800,000,000
mark in amount o f insurance in foree.
The actual total on May 31, $800,989,921, according to a report made by
Hillsman Taylor, president. This is an
increase o f $43,620,308 for the first five
months o f 1928, which is more than
twice the amount gained in the same
period o f 1927.
The written business o f the company
for the first five months o f 1928
amounted to $72,287,089, a gain o f
Do business with this strong company, which
has gained a country-wide reputation as a
“ National Institution of Service.”
The Federal Surety Company is managed by
experienced underwriters, and has from its
conception built for S T R E N G T H rather than
size.
Backed by Federal Service, these lines are
written— Accident
and
Health,
Automobile,
Burglary, Plate Glass, Public Liability and
W ork m en’s Compensation Insurance, and Sure
ty Bonds.
Abraham Lincoln once
said: “ I f you would win
a man to your cause first
convince him you are his
sincere friend
Two Months
A go....
we announced to Bank
ers and Farmers that we
had a good sound, prac
tical Plan for “paying
off” the
M ortgage
. . . And we re
ceived hundreds of re
quests from “ New and
Old Friends” . . . .
in fact more than our
own field men could
handle.
M AY
WE
SEN D
YOU
FULL
D E T A IL S ?
Abraham Lincoln Life
Insurance Co.
Springfield, III.
H . B. HILL, President
F. M . FEFFER, Vice-President
and Agency Manager
FED E R A L SU RETY COM PANY
C A S U A L T Y IN S U R A N C E — S U R E T Y B O N D S
W . L. T A Y L O R , Vice-President and General Manager
H O M E O F F IC E
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
D A V E N P O R T, IO W A
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cA OYA
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M .C .B . I
20
M id -C o n t i n e n t B a n k e r
July, 1928
The Missouri State Life is the fourth
largest joint stock life insurance com
pany in America, and the Southern
Alliance o f the Missouri State Life
Surety Company is one o f the largest
Insurance Company and the new South surety and casualty companies in the
ern Surety Company, o f New York,
country and by far the largest in the
through common leadership on their
Middle West, its home office being at
board o f directors and cooperation be
Des Moines, Iowa.
tween their large agency forces, has
Through their alliance, officials state
been effected by officials o f the two com
that
both companies will benefit very
panies, according to a simultaneous an
largely. Each will be able to direct a
nouncement made by Hillsman Taylor,
president o f Missouri State Life, and large amount o f business to the other,
C. S. Cobb, president o f Southern Sure both through their home offices and their
respective agency forces. Among those
ty Company.
who will accept membership on the
Southern Surety’s Board are James E.
Caldwell, chairman o f the board o f di
rectors o f the Missouri State Life, Hills
man Taylor, president, C. S. Sargent
and Rogers Caldwell.
The Southern Surety Company, o f
New York, is being organized to take
over the business and assets o f the
Southern Surety Company o f Iowa.
The capital and surplus o f the new
company will be approximately $5,000,000 with admitted assets o f approxi
mately $11,000,000.
Hillsman Taylor, president o f the
Missouri State Life Insurance Company
will be chairman o f the board o f the
new Southern Surety Company. The
company has an agency organization o f
more than 4,100, and does a general
surety and casualty business in fortyThrough a special division, handling ex
three states. For the past nine years,
the company has shown an average in
clusively the accounts of banks, a serv
crease in business o f approximately 40
ice is offered which is complete, efficient
per cent per year. In 1927 the com
and distinctive. This division, in charge
pany ranked seventh in the country in
production o f surety business.
of four officers, is co-ordinated by the of
Officers o f the new Southern Surety
ficers with other divisions and depart
Company, o f New York, are the same
men who have developed the Southern
ments of the two banks. Our service
Surety Company o f Iowa to its present
for banks and bankers, developed since
standing. They include C. S. Cobb,
1863, is completely outlined in a book
president, who organized the company
in 1907 and has been its president since
let which bankers have found helpful.
that time; F. A. Ungles, first vice-presi
W e will gladly mail you a copy on re
dent, who likewise helped organize the
quest.
company in 1907; J. H. Huckleberry,
vice-president and chief counsel, who
has been with the company since 1909;
Rov Armstrong, vice-president, for the
past nine years head o f the Contract
Bond Department; W. W. Powell, vicepresident in charge o f the Accident and
Health Departments, who came to the
Affiliated
company from the Missouri State Life
in 1911; J. T. Price, treasurer; L. A.
Schmitt, comptroller, and E. G. Davis,
secretary.
President Cobb and President Taylor
state that in no instance will the agency
force o f either company be affected by
Resources Exceed
Frank O. W etm ore, Chairman
the new arrangement, except to increase
$450,000,000.00
M elvin A . Traylor, President
the business o f those agencies in lo
calities where both companies are rep
resented.
$1,832,287 over the first five months o f
1927.
It is interesting to note in connection
with the rapid growth o f this company
that with one exception it sold more new
paid for business in 1927 than any one
o f the five larger companies next to it.
O f the 357 legal reserve companies do
ing business in America, the Missouri
State Life holds eighteenth place from
a standpoint o f total insurance in force.
It is the largest life insurance company
in the Southwest and second largest
company west o f the Mississippi.
Missouri State and Southern
Surety Form Alliance
A Distinctive Service
for
Banks and Bankers
F IR S T N A T IO N A L
BANK«* CHICAGO
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
FIRST TRUST AND
SAVINGS BANK
July, 1928
21
M id -C o n t in e n t B a n k e r
pointed to a travelling fellowship that
has just been established by the Amer
ican Bankers Association in the Har
vard Business School. It involves an
investigation into conditions that re
sulted in bank failures in certain areas
o f the Federal Reserve District o f Chi
cago, with a view toward conclusions
that will be helpful in present and
should they recur, similar circum
stances.
■«M
The B a n k i n g W o r ld
B y C / tf-fo r d D e F*uy
P u b lis h e r De Puy Banking Publications
Basil I. Peterson, vice-president of
the Stock Yards National Bank o f Chi
cago, won two prizes last month. The
first one was being elected the first
Secretary-Treasurer o f Group Eleven
o f the Illinois Bankers Association.
This is a new group recently created
composed o f Cook County Bankers o f
which there are 320.
This is the largest group o f bankers
in the United States outside o f New
Y ork.
The other prize which the handsome,
well dressed, polite, courteous Mr.
Peterson annexed was at the South
Dakota Convention when he received
the lowest net score fo r 18 holes given
to guests outside o f the state. His
gross score was 88, his handicap was
24, thus giving him a net o f 64.
It must be great to be a prize winner.
Mrs. Edna Deu Pree Nelson, adver
tising manager o f W . B. Foshay Com
pany o f Minneapolis, in a recent com
munication to us tells o f the expansion
which her company is making by the
opening o f sales offices in Los Angeles,
San Diego, Pasadena and Stockton, and
more recently new offices have been
opened in Seattle and Spokane.
The utility properties o f this com
pany now extend from Ketchikan,
Alaska, to Managua, Nicaragua.
Governor John Hammill, of Iowa,
was renominated by Republicans as
their candidate fo r governor during the
next term o f office. Governor Hammill was opposed by M. L. Bowman,
who was an advocate o f a Bank Guar
anty o f Deposits Law fo r the corn
state. In the final vote, Governor
Hammill received 205,251 votes and
Bowman 87,338, Skromme 33,908 and
Anderson 25,457 votes. This gave
Governor Hammill 58.32% o f the total
votes cast or a plurality o f 117,913
votes.
I f the Guaranty o f Bank Deposits
Law was a campaign issue in Iowa—and it certainly was— it is certainly
dead now and we trust that it will
slip into the sea o f oblivion— dark and
deep and unfathomable and that there
will not be a bubble show where it
went down.
Colonel W . G. Edens, vice-president
o f the Central Trust Company o f Illi
nois, o f Chicago, is justified in being
proud o f his son William McKinley
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Edens, who has been winning many
honors at the Graduate School of
Business Administration at Harvard
University.
The younger Mr. Edens has been ap
Mr. Edens is very familiar with this
section because he acted as National
W h a t Lincoln Said Fits Us Bankers
I believe in the ad
vantages of modern
vo l u m e production.
But I long ago dis
covered, in my banks
at Lytton and Au
burn, Iowa, that bank
publicity can not be
wholly standardised,
like automobile pro
duction.
Each bank
has its own needs, its
own personality. Its
publicity must ring
true with the patron.
It must be sincere.
The success of Wessling Services through
out America is due
to the way we have
combined the econo
mies of modern vol
ume production with
a unique method of
expressing the local
banker’ s own person
al touch.
Abraham Lincoln has been eulogized so much that
one sometimes forgets that he was not only an
honest man, but also a very shrewd politician.
He knew “ folks.”
‘ ‘ I f you would win a man to your cause, ’ ’ he
once remarked, ‘ ‘ first convince him that you are
his true friend. ’ ’
This is exactly the psychological principle by
which Wessling Services have been winning pa
trons for banks from Coast to Coast. It is a simple
truth. It applies to all human relationships.
You can not convince a patron that you are his
true friend merely by sending out expensive broad
sides o f clever, beautifully colored publicity.
Just put yourself in the patron’s place a minute
or so. It is easy to see why, isn ’t it?
How can you convince him you are his friend?
Words alone will not do it. Wessling publicity
alone will not do it. Words, obviously, must be
combined with sincere personal contacts. But, in
a unique way, the words and art work o f Wessling
publicity do what more elaborate, more expensive
forms of publicity can not do.
Wessling publicity paves the way to personal con
tacts. It helps make the patron like the hank. It
makes him feel proud that it is Ms hank. The pub
licity achieves this because it is so simple, direct,
sincere. It talks the language of ‘ ‘ folks. ” It is
built to fit local needs and breathes the local
banker’s own personality.
T V o s s i in a
S
PLANNERS
R
V
AND CREATORS
E
OF
I
C
E
O R IGINA L
S
BANK
SERVICES
IO W A
at LYTTON
22
J u ly, 1928
M id -C o n t in e n t B a n k e r
Bank Examiner for many years in this
territory.
George A. Starring, secretary o f the
South Dakota Bankers Association, in
his annual report points out that the
service charge in his state is now in
effect in 177 banks and that it has
grown from 1919 when only one hank
adopted the charge, until each year
new banks have followed this idea. In
the first six months o f 1928, 84 banks
adopted the service charge.
More and more banks are stepping
into line in each state and making a
charge fo r banking service. It is a
step in the right direction.
Curtis Lamb, a graduate o f Grinnell
College, and who fo r the past year has
been doing special work at the Amer
ican C o l l e g e , Charilaos, Salonica,
Greece, wrote me a letter the other day
in which he said: “ I often think o f
mid-west business and o f the prospect
o f swinging back into the current of
American affairs after two more years
over here. Now that I have been over
here fo r practically an entire school
year, I feel that I can say your ad
vice was sound.
‘ ‘ Individual shop-keepers dominate
the situation here and one is left to
wonder what might be achieved by
their organization on a Penney, W oolworth, or Kresge plan. And labor is
unbelievably cheap fo r a laborer will
toil all day fo r 65 cents. Despite the
modern trend o f consolidation in Amer-
ican cities there are probably fifteen
or twenty newspapers in Salonica, a
city o f about 400,000 people. It
should be added, o f course, that when
“ East meets W est,” the Greek, the
Jew, the Bulgarian, the Serb, and the
Armenian, must all have their own pub
lications. ’ ’
Certainly this is a most interesting
observation on conditions as they ex
ist in Greece today and also how inter
esting it is to note that the laborer
over there is receiving only 65 cents a
day fo r his toil compared with five—six— seven and sometimes ten and fif
teen dollars a day over here fo r skilled
workmen.
Yea, verily America is a golden para
dise to the workmen yet sometimes
some o f them forget to appreciate
their opportunities.
In the beginning
T odd
meantprotection . . .
I t means even more today!
Judging from all reports of the Na
tional Republican Convention, Hoover
had a clean sweep o f the whole prop
osition. To which the Democrats will
no doubt reply that he always was a
11vacuum ’ ’ cleaner.
As soon as the check became a common
medium for the exchange of funds, armed
and battlemented defense was no longer
adequate. Now appeared that subtle, clever
operator, the check manipulator, working
out of sight, disappearing before his handi
work was recognized. He was a dangerous
menace to business. He still is. But there
is now an adequate defense against him—
The Todd System.
Today progressive banks and business
houses everyw here depend upon the
Protectograph to guard the millions of
checks they write daily. This machine
shreds an indelible amount line into the
very fiber of the check paper— an easily
read, unmistakable amount line that facili
tates check handling and defies the opera
tions of the check manipulator.
The Super-Speed Protectograph imprints
1200 checks an h our! The New Century
model, at a moderate price, is the speediest,
most versatile and most completely satis
factory check writer ever devised for gen
eral business use. Checks amount-written
rapidly and economically on such Protectographs can be signed safely with the same
speed and economy by those remarkable
new machines, the Todd Check Signers.
The Six-Unit Check Signer puts the most
nearly n o n -co u n te rf eitable signature
known, on 7500 to 9000 checks an hour; the
Single-Voucher Unit does the same for
1200 checks an hour, relieving executives
forever of signing checks by hand!
Todd means protection as much today as
it did when the first Protectograph was
made — but now it means also modern,
rapid methods and true economy in time
and labor. The Todd System is used most,
certainly, for its protection value, but it
also introduces new speed, new saving of
time and effort, that make it equally valu
able as a measure of economy. The im
prints of the Protectograph and the Todd
Check Signer have become stamps of effi
ciency. They mean a fine-looking, busi
ness-like check.
You can get in touch with a Todd repre
sentative at the office in your city. Or write
to the address below.
The Todd Company, Protectograph Di
vision. (Established 1899.) 1151 University
Ave., Rochester, N. Y. Sole makers of the
Protectograph, Super-Safety Checks, and
Todd Greenbac Checks.
TODD SYSTEM
OF CHECK PROTECTION
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
There are 214,000 farms in Iowa and
217,350 passenger automobiles regis
tered as the property o f rural x-esidents
as o f January 1, 1928, according to
figures just made public.
In other words, we have more autos
owned by farmers than there are
farmers in this state. This is but an
other indication that Iowa farmers
have a higher standard o f living, or
as one writer has put it, “ o f riding”
than those in any other state. Only
Texas, with almost twice the popula
tion and nearly five times the area o f
Iowa, exceeds this state in the number
o f automobiles owned by farmers. In
Texas, 288,211 passenger cars are so
registered, according to this report.
And as Cyrenus Cole once said,
“ Thank God the farmers o f Iowa can
ride to the poor house in their own
automobiles. ’ ’
E.
M. Miller, statistician of the Na
tional Bank o f Commerce o f New York,
in a recent article on “ The Position o f
the Corn Belt and Its Relation to the
Domestic and International Markets,”
made this observation: “ So far as the
corn belt produces fo r the protected
domestic markets, that is, those com
modities o f which the export surplus
is negligible and imports are unim
portant, tariffs being effective in keep
ing them out, the position o f the farm
ers there is as good as that o f pro
ducers in other industries, always as
suming o f course that other things
such as productivity o f labor, are equal.
To the extent to which corn belt farrners produce fo r the international mar
kets, they are at a serious disadvan
tage in respect to costs.”
July, 1928
W e must remember, however, that
only 10% o f the food products in the
United States are exported and that
90% are consumed in our home market.
J. H. Bacheller, vice-president o f the
Fidelity Union Trust Company o f New
ark, N. J., makes the interesting state
ment concerning banking service when
he says: “ Is it possible that we bank
ers are afraid to tell our customers
or the public that we do not want busi
ness that cannot be handled at a rea
sonable profit ? Is it fair to our cus
tomers who are broad-minded enough
to do business with us on a mutually
profitable basis, and who pay proper
balances on any service we give and
who are without a question the main
stay o f a bank— I say, is it fa ir to
them that service that we give to them
should also be given to other customers
without compensation from them in
any way?
“ Service is a valuable asset to a
bank but service that gives and re
ceives nothing in return only weakens
the future ability o f the bank to give
and cheapens the institution that gives
it, and in the end I believe does not
hold the respect o f the customer re
ceiving the service.”
No one should expect something fo r
nothing and this should apply to bank
customers as well as any other group
o f individuals.
23
M id -C o n t in e n t B a n k e r
Hotel de Coislin occupies the property
leased, and as soon as necessai-y altera
tions are completed, px-obably by March
or A pril o f next year, the Paris branch
o f the bank, now located at 1 and 3 Rue
des Italiens, will move into the new
quarters.
By this move the Guaranty’s Paris
branch will be contiguous to the prop
erty on the corner o f the Avenue Gab
riel and the rue Boissy d’Anglais which
has just been acquired by Ambassador
Herrick, acting for the United States
Government, and in which will be lo
cated the Chancery o f the Embassy, the
Consulate, the Passport Bureau, and
other foreign services o f this Govern
ment.
The Hotel de Coislin is directly across
the rue Royale from the French Mixxistry o f Mai’ine, o f which it is the exact
duplicate in architectural design. It is
on one o f the most important historic
sites o f Paris, and is classified as a
“ monument historique” by the French
Government. The Marine, which was
originally the Gai’de Meuble o f the
Crown, and the group o f buildings on
the other side o f the rue Royale, in one
corner o f which the Guaranty’s offices
will be located and which also comprises
the Automobile Club o f France and the
Hotel de Crillon, represent the master
pieces o f the great architect o f the
Eighteenth Century, Ange Jacques Gab
riel, “ Premier Ai’chitecte du Roi ’ Louis
XY.
The Hotel de Coislin, which has been
leased by the Guaranty Trust Company,
was built for the Comtesse de Coislin, a
lady celebrated fox’ her wit axxd sharp
tongue and a friend o f nxaxxy o f the
notables o f her time. For years she
presided over a brilliant salon axxd, al
though she managed to survive the
Reign o f Terror, she lost her property.
BANK
EQUIPMENT
Thomas R. Preston, president o f the
American Bankers Association, has
been making a speaking tour o f the
various state bankers’ conventions and
in the conclusion o f his address he says
“ Men never labored and spent more
generously in the public good than they
are doing today. And I take no sort o f
stock in the theory so often advanced
o f this so-called sordid and commercial
age, robbing the people o f the better
and finer things o f life. Neither do I
believe that it is dwarfing the soul o f
the nation. I think any country that
can produce a Thomas A. Edison, a
Charles A. Lindbergh, and a Calvin
Coolidge, is not the place where wealth
accumulates and men decay.”
Mr. Preston himself has had a very
remarkable career, having started work
on a farm then later with a railroad
and in fact he is now a director foxone o f the railroads fo r which he work
ed as an errand boy.
Guaranty Trust Leases New
Paris Office Quarters
The Guaranty Trust Company of
New York, following negotiations o f
many months, has concluded a lease
which will provide new quarters for its
Pai’is Office on the corner o f the Place
de la Concorde and the rue Royale. The
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
A M E R IC A N FIXTURE CO.
KANSAS C I T Y , M O .
Francis, F r o . & Co. N ow Located in N ew Offices
at Corner o f Fourth and O live Streets
ORE than 10,000 square feet of
floor space have been utilized to
make the new offices o f Francis, Bro.
& Co., located at the corner o f Fourth
and Olive Streets, St. Louis, complete
in every detail for the transaction o f
business and the convenience o f cus
tomers.
Entrance to the new offices, which
M
were form ally opened to the public on
June 18, is provided both from Fourth
Street and from Olive Street. The
Olive Street entrance leads directly in
to the board room and the Fourth
Street entrance leads into the main
room where the bond department is
located and from which easy access
is provided to the board room, cash
H undreds of B ankers
say this Book
is helpful
You, too,
w ill
ftn d it
useful
It contains information that will help
you solve your building problem
all over America we have received ex
pressions o f appreciation from bankers for the
building suggestions found in“ Preliminary Service
for Contemplated Bank Buildings. ” Even though
you do not contemplate construction or remodel
ing for some years to come, you w ill welcome
this valuable addition to your building file.
F
rom
M a y we send you a copy?
St . Louis Ba n k B u il d in g
SNinth, and Sidney Streets * * * * SAINT LOUIS, U . S. A .
24
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
ie r ’s cage and accounting department.
Coming through the Fourth Street
entrance, the visitor is impressed with
a large room well lighted by large win
dows on both north and west and by
eight large ornamental fixtures hang
ing from the ceiling and affording in
direct lighting.
The bond department is located in
spacious quarters on the left o f the
main room, with private offices for the
bond department located along the
north wall at the rear. A counter o f
Italian marble with black marble base
sets off the rest o f the room from the
bond department and leads down the
right side o f the room to the cashier’s
cage and vault which is located at
the rear. An electric lock operated
from the cashier’s cage controls a door
which leads into a private room for
the delivery o f securities, and another
door from the cashier’s cage leads to
the vaults which are worthy o f par
ticular mention.
Two vaults are provided, one for
books and storage o f records, and the
other fo r the safe-keeping o f securi
ties. Each vault has its own door,
and the securities vaidt is guarded by
a fifteen-ton circular door with quad
ruple time locks. The walls o f the
vaults are eighteen inches thick and
are o f reinforced concrete with three
steel plates and rivet heads offset at
every point.
At the right o f the main room, and
opposite the cashier’ s cage, is another
large room where the accounting de
partment is located, and at the end o f
the main room, double doors lead to
the board room which is one o f the
most up-to-date rooms o f its kind in
the country.
The floors o f the board room are
o f tile tex and the walls are panelled
with genuine American walnut. The
board itself is on glass panels and ex
tends along two sides and across the
corner o f the room affording easy visi
bility from any o f the numerous chairs
which are arranged diagonally across
the room fo r customers. A trans-lux
projector forms the center part o f the
board. Telegraphers, operating private
wires, and customer’s men are located
on an elevated platform on the north
side and overlooking the entire room.
In addition to complete quotations on
commodities, New York Stock Ex
change, New York Curb Market and
St. Louis Stock Exchange, the board
July, 1928
room is also equipped with a bond
board which lists the last sale price on
750 o f the most active bond issues list
ed on the New York Stock Exchange.
Off the board room, at the right as
you enter from the main room, is a
com fortably fitted customer’ s room
with easy chairs and a large table
where customers may have access to
all o f the firm’ s statistical services and
financial publications. Beyond this is
a storage room which in turn leads
to a private parking lot fo r members
o f the organization.
Two private offices are located on
the north side o f the board room,
shut off by partitions o f American
walnut and tapestry glass, and in front
o f these offices a stairway leads to
the balcony where there is another
customer’ s room and, beyond that, a
conference room finished in mahogany
and furnished with carpet and velvet
drapes in addition to a table fourteen
feet long and a dozen upholstered
chairs surrounding the table.
The switchboard is located on the
balcony above the board room and it
is complete with an automatic call and
buzzer system in order that any mem
ber o f the firm may be summoned from
any part o f the building by signal.
All interior equipment and fixtures
in the new offices were designed, built
and installed by the St. Louis Bank
Building & Equipment Co.
The firm o f Francis, Bro. & Co. is
now fifty-one years old, having been
established in 1877 by the late David
R. Francis who was able to devote
a vast amount o f his time to public
life in addition to making a success o f
his own business. Among the many
things fo r which he is remembered are
his services as president o f the St.
Louis Merchants Exchange, Mayor o f
St. Louis, Governor o f Missouri, pres
ident o f the St. Louis W o rld ’s Fair in
1904, and Ambassador to Russia.
Starting originally as a grain com
mission house, the firm o f Francis,
Bro. & Co. developed rapidly until at
the present time it offers complete
service in commodities, stocks and
bonds. The firm now has memberships
in the New York Stock Exchange, NeAV
York Curb Market, St. Louis Stock
Exchange, Chicago Stock Exchange,
Chicago Board o f Trade, St. Louis
Merchants’ Exchange and New York
Coffee and Sugar Exchange, and it al
so has direct private wires leading to
all principal financial centers.
Membership in the firm includes the
follow ing partners: J. D. Perry Fran
cis, David R. Francis, Jr., and Talton
T. Francis, all sons o f the late Gover
nor F rancis; Thomas H. Francis, a
brother o f the late Governor Francis;
and John E. Riley.
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Federal Reserve Bank of St. Louis
25
M id -C o n t in e n t B a n k e r
Po T. White Now Head of
Cleveland Bond Club
P. T. White, vice-president o f The
Cleveland Trust Company, has been
elected president o f the Bond Club, o f
Cleveland, Ohio. R. A. Bishop, vicepresident o f the Central National Bank
has been named vice-president o f the
clu b; R. L. Denison, o f the Guaranty
Company, treasurer, and J. D. Mver,
bond department, The Cleveland Trust
Company, secretary.
New members o f the board o f gover
nors are: D. W . Myers, Hayden, Mil
ler Company; R. A. Gillis, Halsey
Stuart & Company; Geo. Denison,
Guardian Trust Company. Members
reelected were: H. F. Jones, Bankers
Trust Company; G. M. Kingsley, Hornblower and Weeks.
Mr. White is vice-president in charge
o f the Bond Department o f The Cleve
land Trust Company. He is known na
tionally as an authority on bond mat
ters and is one o f the veterans in point
o f service in this field o f work. He has
been in the investment business since
1890, being one o f the pioneer buyers
o f bonds issued by municipalities in the
Pacific Northwest.
He organized the bond department
o f The Cleveland Trust Company in
1912, since then he has been the bank’s
representative in syndicates in which
The Cleveland Trust Company par
ticipates.
s
TRON G in
organization, equipped by
the nature and experience
o f its members to instil
confidence and to give a
com p lete, p rom p t and
courteous banking service.
and
T rust C om pany
Straus Building, Michigan Avenue at Jackson Boulevard
S. W . STRAUS, President
S. J. T. STRAUS, Vice-President
JOHN H. KRAFFT, Vice-President and Cashier
JAMES R. FRAZER,
Vice-President and Trust Officer
N. H. OGLESBEE, Controller
"T o Çire or sfrfpt to Çire”
Playlet Depicting Everyday Problems of Medium
Sized Bank Makes Big Hit at Arkansas Convention
.ISS MINNIE A. BUZBEE, A d
vertising Manager for the Ameri
can Southern Trust Company, Little
Rock, wrote a comedy playlet which
was produced during the recent Arkan
sas Bankers Association Convention at
M
the president’s desk, on the platform.
The playlet is full o f rich humor which
Dramatic Critic, Arkansas Gazette,
was hugely appreciated by all who at
Little Rock
tended and the enthusiasm was so great
Little Rock. The play was staged with that at the close the Convention arose
a teller’s cage, stenographer’s desk and
as one man to pay the brilliant author
tribute.
The various problems having to do
with the free service evil and service
charge for accounts carrying small bal
ances were dramatized and the playlet
pictured these with such fidelity and
keen humor that the audience was con
vulsed with laughter at frequent inter
vals. It pictured the problem so truth
fully that actually the playlet was at
least as effective as all the speeches
made on the same subject.
That those who did not attend the
Convention may be regaled as the audi
ence was, a short synopsis here is given.
On the rising o f the imaginary cur
tain, the teller arrives and enters his
cage. Then the stenographer arrives.
Presently President Goodfellow walks
in— a little late, delayed by buying a
new hat. The stenographer tells him
two ladies have been in to get an adver
tisement for a church entertainment
program. He is glad he was out.
“ Oh, but they’ll be right back,” says
the steno.
He starts to dictate a letter.
The
ladies return. They ask for a page ad
— only $30. He explains nicely why he
can’t take it. They beg for a half page,
a quarter page. No good. They plead
it is for good cause. He responds that
C r o s sr o a d s o f the A ir
if they helped all the good causes the
bank "would have to close its doors, and
besides the County Bankers Association
thru its location and
has a rule against that sort o f advertis
in terest in aviation,
ing. The ladies go out, very indignant
that he won’t assist a good cause.
to become the Nations
Dictation starts again.
leading transfer point
Then enters a small depositor with
for sky travelers. . .
blood in his eye. He has been charged
50 cents because his average balance
runs below $50. He swears he won’t
pay it. Threatens to close his account.
LIBERTY CENTRAL TRUST CO.
Broadway and Olive
St. Louis
It takes a long conversation to convince
him that an account with so small a
balance and many small checks and
small deposits, is no source o f profit to
the bank and is carried at a loss. De
positor leaves in good spirit, convinced
the banker is right.
26
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
CA
By T . A . W R IG H T
city, destined
Dictation starts again.
So do interruptions.
A lady phones asking that a check to
July, 1928
Montgomery-Ward be stopped pay
ment. It is for a bat she doesn’t like.
She does not know the number o f the
cheek nor the exact amount because she
kept no note on the stub. The teller is
told to stop payment.
Dictation starts once more.
MAN enters who wants the bank
to over-print personal checks for
him with his picture. Another, a doc
tor, comes in to fill his fountain pen
and kicks on the ink and because the
deposit slips and the blank checks are in
a machine giving out only one at a time.
He wants a wad o f them because they
are so handy for prescription blanks.
Enters next, a customer, who wants a
deed acknowledged. He saves a notary
fee. Another wants the bank to pay
his taxes. Another wants the bank to
get his auto license.
A lady, a non-depositor, enters and
takes up the teller’s time with a long
harangue as to the trouble o f being
president o f a woman’s club. A crowd
o f customers stand in line as she talks
and talks and talks. She finally tells
her business. It is to get a check on
another bank cashed as she is in a hurry
to get to the club meeting. The teller
does not know the drawer o f the check
so tells her she must go to her own bank
to get the money. She is indignant.
“ They advertise service and they
don’t give it,” she exclaims as she
flounces out.
A customer wants a legal paper
drawn— to save a lawyer’s fee. While
discussing this with the president the
phone rings. It is the same lady that
wanted the payment stopped on the
check.
“ You can pay it now,” she says. “ I ’ve
sold the hat to a neighbor.”
Examination shows her account over
drawn. The president says they can’t
pay it on that account.
“ W ell, charge it to me,” she phones.
“ Your account already is o v e r
charged,” is the response.
Finally she agrees to bring the
money she got for the hat and the teller
is told to honor her check.
Other problems arise. The banker’s
time is taken up Avith interviews and
telephone calls in none o f which is there
any profit. The letter never is written
at all and the president goes out to
lunch with a couple o f visiting bankers,
on the way paraphrasing Hamlet’s
famous soliloquy “ To Be or Not to Be”
into “ To Give or Not to Give— that is
the question.”
Tins'1is only a scant outline o f the
plot and problems sought to be solved,
but those who heard the play saw its
value as an object lesson and many
banks and county organizations asked
permission to produce it. Later four
A
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
27
M id -C o n t in e n t B a n k e r
states were heard from with the same
request and a New York banker asked
that a copy be sent to him immediately
for production.
The Guaranty Trust Company of
New York has announced the ap
pointments o f Gordon Palmer as an
assistant vice-president; Karl W eis
heit, John J. Mooney, W. E. Eitner and
William J. W eig as assistant secreta
ries, all at the main office; and o f Jere
D. Buckley as assistant credit manager
at the F ifth Avenue office.
Obedience is the exercise o f the soul
that keeps it in good condition.
F. O . Watts and R. S. Hawes
Will Tour Europe
Richard S. Hawes, senior vice-pres
ident o f the First National Bank in
St. Louis and a form er president o f
the American Bankers Association,
left fo r Europe June 15th, accompa
nied by Mrs. Hawes, where they in
tend to spend several weeks vacation
visiting various places o f interest.
Frank 0 . Watts, chairman o f the
board, First National Bank in St.
Louis, will sail fo r Europe about July
1, where he expects to spend the sum
mer with his family.
Progressive
A fter all, neither a bank nor any
other business can rise in service
above the policies laid down by di
rectors and the methods used by of
ficers in executing those policies.
Behind physical assets are men;
final responsibilities are theirs.
The policy of this institution re
quires that a progressive point of
view be brought to the business and
financial problems com ing to us, at
the same time demanding careful
regard for sound banking practice.
^FifthThirdUnionTrustC IN C I N N A T I , OHIO
Resources Exceed
One Hundred Million Dollars
28
July, 1928
M id -C o n t in e n t B a n k e r
€%il
LEGAL
TENDB i f f
Official Publication of the St.Louis Chapter
AMERICAN INSTITUTE °f BANKIN G
• --y ----
"„VOLUME
13
"
July-.. 1928
_
„
■F ■■■$
N U M B E R ;. 7
A. C. RIEDELL, Editor, National Bank o f Commerce. R. N. ARTHUR, President. Mississippi Valley Trust Co. MISS
M ARGARET S. COONS, Associate Editor, 1st National Bank. LOUIS E. W ALTER, Executive Secretary, 316-324 Merchants
Laclede Bldg.
Notices intended for publication should be in the hands o f the Editor or the Executive Secretary the fifteenth o f each
month. W rite on only one side o f paper and double space. Chapter Headquarters, 316-324 Merchants Laclede Bldg. CHestnut 9280.
LEG AL TENDER is published to promote good fellowship among Chapter members, to record the activities of the Chapter
generally, and to maintain the high ideals o f the American Institute o f Banking along educational lines o f endeavor.
Chapter
Classes
to
Open
September 24th
Due to the great number o f late en
rollments received last year after classes
had started, it has been deemed advis
able to delay the opening o f classes this
season until Monday, September 24.
The week o f September 17 will there
fore be known as “ Registration Week.”
All enrollments should be received
either prior to, or by the end o f that
week.
Students enrolling after that
week Avill be charged $1.00 extra for
late enrollment. The reason for this
should be readily apparent.
It has
been our experience during the last few
years that the majority o f members
wait until the first night o f class to file
their enrollment cards, resulting in un
certainty and confusion at the chapter
offices, through lack o f certain knowl
edge as to whether sufficient enrollments
will be received to justify running a
class.
The following schedule o f classes has
been arranged:
Subject
Banking Fundamentals
Commercial Law
Economics
Standard Banking
Negotiable Instruments
Credits
Investment Principles
Accounting I (1st Semester)
Accounting II (2nd Semester)
Income Tax (if conducted)
Public Speaking
Trust Functions
Business Forecasting
Day
Tues.
Fri.
Wed.
Tues.
Thur.
Mon.
Wed.
Tues, or Thur.,
and Fri.
Tues, or Thur..
and Fri.
Thur.
Fri.
Mon.
Tues, or Thur .
Credits will be conducted this year in
place o f Statement Analysis. Account
ing classes have been advanced to cover
three years ’ work in two years, and as a
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
result, Accounting I will be conducted on
either Tuesdays and Fridays, or Thurs
days and Fridays, (two nights each
week) for thirty weeks. Upon comple
tion o f the final examination in the first
year work, students will continue with
second year work on the same evenings
o f the week.
At the beginning o f the year, there
fore, Accounting II will not be given
along with the opening o f the other
classes, but will start the latter part of
January, or early in February. Stu
dents who completed the first year ac
counting in May, 1928, will be enrolled
in the second year class opening in
January or February, instead o f start
ing as usual in September. A few les
son assignments will therefore be in the
nature o f a review o f the previous
year’s work before going ahead with the
regular third year work.
The usual terms for payment o f
tuition and purchase o f textbooks will
again prevail. F or enrollment in one
or two courses the terms will be cash
with enrollment. For three courses oneNumber
Instructor
Lectures
Mr. Hall
28
Mr. Luedde
28
Dr. Lippincott 28
Mr. Riedell
28
28
Mr. Luedde
28
To be selected
To be selected
28
Mr. Marsh
30
Tuition
$2.50
7.50
7.50
7.50
7.50
10.00
10.00
10.00
Book
$3.00
3.00
3.00
3.00
3.00
3.50
3.50
1.50
30
10.00
1.50
To be selected 15
Dr. Lippincott 28
To be selected
28
Mr. Boettler
28
10.00
10.00
10.00
10.00
none
4.50
3.50
3.00
Mr. Marsh
half the amount o f the total tuition
must be paid at time o f enrollment,
and the balance in thirty days. For
failure to enroll during “ Registration
Week” an extra charge o f $1.00 will
be added, as previously mentioned.
Textbooks and quiz questions will be
sold for cash only. Ten per cent dis
count will be allowed students taking
three subjects.
Standard Certificates Earned
During Past Season
Standard Certificates will be awarded
to the following named members as evi
dence o f their having completed the
Standard Course during the past sea
son :
Leo Baumgartner, State National
Bank; W J. Costello, Mercantile Trust
Co.; Walter FI. Gossmann, Merchants
Laclede Nat’l Bank; W ilson Jeannelle,
Boatmen’s National Bank; Reeves A.
Iverwin, Mississippi Valley Trust Co.;
Florence E. Klose, First National Bank;
Stephen Koptis, Federal Reserve Bank;
Alexander B. Landgraf, Boatmen’s Na
tional Bank; Jos. M. Lukens, Bank o f
M aplewood; Gladys F. Metcalfe, Missis
sippi Valley Trust Co.; Edith L. Munday, Mercantile Trust C o.; D. L. Schaef
fer, Farmers Bank, Trenton, 111.; Wm.
F. Sehroer, State National Bank; Ber
nard Schaper, Tower Grove Bank;
Roland E. Seibert, Mercantile Trust
C o.; Orville M. Streiff, State & Trust
Bank, Flighland, 111.; and Chas. D. Vernor, First National Bank, Lebanon, 111.
I1wo other students, Warren P. Metz,
St. Louis Live Stock Loan Company,
and Robert G. Mills, o f Mercantile
Trust Company, completed the final
examination in certain subjects which
should qualify them for the Standard
Certificate this year, provided a ruling
o f the National Office does not interfere.
An effort is being made to adjust the
difficulty.
Preparatory Certificates were earned
by the following students:
Clara E. Butler, West End Bank;
Marie A. Butler, W est End Bank; A l
lan O. Claus, First National Bank;
July, 1928
M id -C o n t in e n t B a n k e r
Investments
Carroll F. Burton, National Stock
Yards National Bank; Edwin W . Huds
peth, National Stock Yards National
Bank; E. J. Lambur, National Bank o f
Commerce; R. L. Maguire, Boatmen’s
National Bank; John J. Roach, First
National, East St. Louis; F. A1 W iegers, Steinberg & Company.
Statement Analysis
Albert F. Burt, Franklin-American
Trust C o.; Thomas P. Connelly, Frank
lin-American Trust C o.; Thomas R.
Crone, National Bank o f Commerce;
Kenneth H. Eggers, First National
Bank; C. C. Hammond, FranklinAmerican Trust C o.; Thomas B. Hen
derson, First National, East St. Louis;
A. D. Herthel, Mississippi Valley Trust
Co.; G. L. Johnson, First National
Bank; John J. Lackey, National Bank
o f Commerce; Walker MacMillan, First
National Bank; Annas Marbut, Tele
graphers National; Carl Miller, First
National Bank; Frank S. Parker, Fed
eral Reserve Bank; Frank Ryan,
Mississippi Valley Trust Co.; William
S. Sees, First National Bank; Oliver
Sieckmann, First National Bank; W . C.
Sloan, Franklin-American Trust C o.;
Emil N. Ullrich, Bauer Bros. Broker
age Co.; and Eugene J. Walter,
Mississippi Valley Trust Co.
The Preparatory Certificate is issued
to students upon the completion o f
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
r r ’::....
I ls
LE GAL
Arthur T. Clonts, State National Bank;
Olga Eberth, Tower Grove Bank; Clif
ford G. Frank, Mercantile Trust C o.;
Thomas A. Herron, National Bank o f
Commerce; Walter L. Kaltwasser, Na
tional Bank o f Commerce; John C.
Kennebeck, Mercantile Trust C o.; V ic
tor E. Kolde, National Bank o f Com
merce; Albert A. Krumrey, Federal Re
serve Bank; Robert A. Lee, Mercantile
Trust C o.; Robert W . Leigh, Mississippi
Valley Trust C o.; Dismonda Lucchesi,
Citizens Loan & Savings C o.; Ernest
W . Mabe, Federal Reserve Bank; Mar
garet M. McMahon, Mercantile Trust
Co.; Emily H. Nau, Bank o f Maple
w ood; Ruth A. Niemeyer, 4257 Mary
land Avenue; Gertrude Poth, First Na
tional Bank; Ralph Schmidt, Federal
Reserve Bank; Olive Suddarth, Jefferson-Gravois Bank; Mary E. Tolmie,
Federal Reserve Bank; Bernard E.
Tueth, First National Bank; William
B. Votruba, Bank o f Maplewood; and
Lucy White, Bank o f Maplewood.
Credit cards in the following sub
jects will be awarded to the following
named students:
29
TENDEMI
Banking Fundamentals, while the Stand
ard Certificate is awarded to those com
pleting the subjects, Economics, Stand
ard Banking, Commercial Law and Ne
gotiable Instruments.
Fourth Annual Excursion
July 18
The first social event o f the 19281929 season will be the annual excur
sion on the Steamer “ J. S .”
The date
has been set fo r Wednesday evening,
July 18, at 8:30 p. m., the boat leav
ing from the foot o f Washington A v
enue.
W e are limited- to the sale o f only
two hundred and fifty tickets this
year, so we urge you to make your
arrangements NOW, and buy tickets
from your Consul AT ONCE. The
price is $1.00 by ticket. I f purchased
at the wharf, the price is $1.25. Come
out and keep cool with cooling breezes.
Outline of New Curricula as Adopted by National Executive Council
From the oApril Bulletin
P R E -STAN D A RD COURSES
Fall o f 1928
Banking Funda
mentals
Commercial Law
Fall o f 1929
Banking Funda
mentals
Commercial Law
Fall o f 1930
Banking Funda
mentals
Commercial Law
Negotiable In
struments
Fall o f 1931
Banking Funda
mentals
Commercial Law
Negotiable In
struments
Standard Eco-
STANDARD COURSES
Commercial Law
Negotiable In
struments
Standard Eco
nomics
Standard Bank
ing
Negotiable Instnunents
Standard Eco
Standard
nomics
Standard
EcoBank-
mg
Standard
ing
Credits
Bank-
Credits
Accounting Interpretation
and Financial
Statements
Standard Bankmg
Credits
Accounting In
terpretation
and Financial
Statements
Bank Adminis
tration
Students enrolling in the Pre-Standard and Standard courses for each year
mentioned, namely, 1928, 1929, 1930, and 1931, will be expected to complete
the courses outlined in that particular year before certificates are awarded,
regardless o f the number o f years necessary to complete the Pre-Standard
and Standard requirements set forth for that particular year. A student
entering the work in the fall o f 1929, for example, will complete the work
outlined in the Pre-Standard and Standard Certificate courses as set forth
for the year 1929, and will not be expected to complete courses which may
later be required under the Pre-Standard or the Standard Certificate cur
ricula.
Special Graduate certificates are to be awarded in various banking fields
upon completion o f the following courses:
Special Graduate Certificate in Commercial Banking
1. Analyzing Financial Statements
2. Investments
Special Graduate Certificate in Investment Banking
1. Business Forecasting
2. Investments
Special Graduate Certificate in Trust Banking
1. Trust Functions
2. Investments
Any member may take advanced courses for credit, but no Graduate Cer
tificates will be issued to any person who is not a Standard Certificate holder
30
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Federal Reserve Bank of St. Louis
M id -C o n t in e n t B a n k e r
July, 1928
INVESTMENT SECTION
Points to Consider in Investing in Securities o f
Pulp and Paper Manufacturing Industries
E W SP R IN T gets its name from
the fact that such a large part o f
this grade o f inexpensive paper is used
for the manufacture o f newspapers. It
may be a surprise to some that the pro
duction o f this kind o f paper has be
come a ranking industry by itself, and
quite definitely distinguished from the
manufacture o f book paper, stationery,
and the more expensive grades o f this
common commodity.
The United States is easily the largest
consumer o f newsprint in the world.
The fact that 93% o f Americans are
literate, and that 120,000,000 people
here have access to the same advertised
goods, have undoubtedly been the prin
cipal factors giving us this leadership
On the other hand, Canada, our neigh
bor on the north, is now the principal
source o f supply for the newsprint in
dustry. A few years ago it became ap
parent that the United States forest re
serves available for paper making
would no longer be able to meet the
needs o f our vast publishing business,
and from then on the Canadian industry
developed very rapidly. In 1925 the
volume o f Canadian production o f
newsprint passed that o f the United
States. A t the present time it exceeds
our total output by about 40%. Cana
da and Newfoundland now produce to
gether more than one-third o f the news
print o f the entire world.
N
By H A R L A N D H . ALLEN
Halsey, Stuart 8C Company
N E W S P R IN T
TO N S — 1927
PRODOCTION
Canada ..................................... 2,087,000
United States ......................... 1,486,000
Great Britain .........................
720,000
Germany .................................
565,000
among the six leading producing areas
o f the newsprint industry which does
not consume most o f her own output,
the Dominion is, therefore, by far the
leading export nation o f the world in
this commodity. Canada alone furnish
ed 62% o f the world’s export o f pulp
and newsprint in 1927. Together with
Newfoundland she exports 69% o f the
total. Compared with this, the exports
o f Sweden, Finland, and Norway each
amount to only about 6% o f the world’s
total.
HE production o f more than 3,500,000 tons o f newsprint in Canada
and the United States combines to make
this one o f the foremost industries on
the North American continent. It is
the first manufacturing industry o f
Canada, and ranks sixth or seventh in
the United States.
The manufacture o f newsprint is one
o f the most highly machinized in
dustries. Persons fairly well acquaint
ed with large scale manufacturing in
other lines are usually surprised when
they see these great machines for the
first time and learn that they manu
facture paper in sheets up to 25 feet in
width and at high rates o f speed, often
a 1000 or more feet per minute.
Newsprint is a product o f the forest.
It can be made from many substances,
such as straw, corn stalks and other
vegetation, but the demand is now so
T
Japan .......................................
Sweden ...................................
Newfoundland .........................
Finland ...................................
Norway .....................................
All Others ...............................
Since Canada is the only
246,000
239,000
203,000
200,000
192,000
486,000
nation
Sound Bonds
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Federal Reserve Bank of St. Louis
A carefully selected list of bonds is essential to the strength and stability of every
bank.
W e specialize in diversified securities suited to the requirements of a bank’s sec
ondary reserve funds.
L E T US SEND Y O U OUR L IST OR C U R R E N T O FFER IN G S
31
32
M id -C o n t in e n t B a n k e r
great that the only adequate supply o f
raw material can be found in the great
virgin forests. Woods like spruce,
hemlock, poplar, and balsam, which con
tain a relatively small proportion o f
resin, are mostly used.
A fter the trees are felled and brought
to the mills they are first processed in
When People
Want Investments
Paying
11%
Bankers in the smaller cities, towns
and rural sections often find that first
time bond buyers place excessive yield as
a major requirement for investments.
Eleven per cent is not an infrequent rate
o f interest sought.
These prospects need only to be shown,
however, that the merits o f bonds bought
from a reputable house easily offset the
advantages o f returns involving danger
o f loss o f principal.
In such communities Caldwell bonds
have made many satisfied clients o f those
who were learning investment principles.
Sound security, ready marketability and
good yield quickly appeal to the conserva
tive investor.
May we send you our current list o f offerings
adapted to bank requirements?
Special price
consessions to banks.
C aldw ell & C o m pa n y
Southern Securities
117 NORTH FOURTH STREET, ST. LOUIS, MO.
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Federal Reserve Bank of St. Louis
Offices in Prin cip al Cities
July, 1928
to wood pulp, either by a grinding and
chipping process— the result being
called groundwood pulp— or by a
chemical process resulting in “ sulphite”
pulp.
The mechanical process o f pulp pro
duction is much the cheaper method, but
the wood fibers o f groundwood pulp
have been torn and lack strength, so
that “ sulphite” is added in proportions
o f about one to four to give the paper
necessary strength.
Practically all the paper making ma
chinery is large. Logs are unloaded by
immense cranes; some o f the “ digester”
vats for making the chemical pulp
stand nearly 60 feet high and are 15 to
18 feet in diameter; the machines in
which the paper itself is finally made
often extend hundreds o f feet in length.
About one and a half cor:1s o f pulpwood are required to make a ton of
newsprint.
L E A R L Y the newsprint industry is
one which requires heavy capital
investment for such extensive plants
and machinery. The pulp and paper
industry might, in fact, be very aptly
denominated an “ investor’ s industry”
because it depends so much more large
ly than do most industries upon in
vested capital— for its power develop
ment, its installed machinery, its im
mense timber limits, and its heavy
transportation equipment.
While newsprint manufacture is,
therefore, relatively more dependent
upon capital investment than are most
industries, it is on the other hand,
relatively less dependent on the un
certainties o f material costs and wages.
A relatively smaller share o f income
must be paid out for raw material and
labor, and a relatively larger share for
the use o f capital. It resembles elec
tric power and light, and other utilities,
in this respect. To illustrate: The net
value o f the product o f the Canadian
pulp and paper industry for 1927 was
$193,000,000. O f this $115,000,000 was
paid out for labor and material costs—
leaving a balance o f $78,000,000 at
tributable to capital investment. This
margin o f production due to capital in
vestment was several times larger than
for any other industry in Canada, ex
cept electric power and light. Forty
per cent o f the gross income o f the typi
cal Canadian pulp and paper enterprise
is quite clearly attributable to its capi
tal investments, whereas, in contrast,
only 9% o f the gross income o f the
flour industry in Canada results from
capital investment, only 10% o f the
meat industry, and 17% o f the auto
mobile industry.
C
S might be expected in such an in
dustry as pulp and paper, produc
tion has gradually been consolidated
A
around the most efficient concerns.
W ell over two-thirds o f the total Cana
dian output is now accounted for by a
dozen leading firms whose total invested
capital had exceeded $500,000,000 by
the end o f 1927. Continued expansion
o f the capital needs, and thus o f se
curity offerings, is to be expected from
such a machinized industry where
modern equipment is constantly forcing
antiquated machinery out o f use, and
normal expansion must be large to
keep pace with the growing demand.
Anyone who anticipates putting his
own funds into the securities o f this
industry should look first into the ques
tion o f management.
Experienced,
successful management is the best
guarantee o f safety in this field as in
so many other enterprises. Ample fo r
est resources to supply the mills for at
least a generation is perhaps the next
most important factor to check regard
ing any pulp and paper enterprises
seeking capital for development. To
warrant full investor confidence, power
must also be available in large quanti
ties at relatively low cost. Every pros
perous pulp and paper company must
be equipped with the most modern ma
chinery, have access to large fresh water
supplies for processing purposes, and
its location, because o f the large ton
nage involved, should be at once acces
sible to its timber reserves and have
economical transportation to the large
markets for its pulp and paper.
RINTING,
P
publishing,
and
able to count on a demand for its prod
ucts which is more constant than for
most lines. It is now a widely known fact
that the importation o f newsprint into
A
COMPLETE
the United States for 1927 was one o f
the very few instances o f important
manufactured products which did not fall
off from the volume o f recent years.
INVESTMENT
SERVICE
the
paper industry in general, have ex
perienced a rate o f growth in the first
quarter o f the twentieth century which
stamps them as among the most re
markable o f the new-old industries.
The use o f newsprint paper has
grown even faster than that o f the
jiarent industries. In 1880, the per
capita use o f print paper in the United
States was only three pounds per year.
Relatively few people then were read
ing daily papers. Ten years later, how
ever, the reading habits, the advertising
and merchandising methods had changed
considerably, so that the consumption
o f newsprint had risen to nine pounds
per capita. By 1927, every person in
the country was accounting for the con
sumption o f almost 60 pounds o f newsprint per year.
How far will this go? Nobody knows.
Newspaper circulation is making steady
gains, and the size o f papers is contin
uing to grow through expansion o f ad
vertising. Apparently the wide use o f
newsprint is one o f America’s most in
sistent habits o f consumption. There is
less fluctuation in the consumption o f
this commodity from the normal average
trend increase than for almost any other
article o f commerce. Hence this industry
is in the fortunate position o f being
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Federal Reserve Bank of St. Louis
33
M id -C o n t in e n t B a n k e r
July, 1928
A B a la n c e -W h e e l
FOR
BANK
M A C H IN E R Y
as well as other ‘ ‘ power ’ ’ plants, need a balance-wheel
to stabilize their operations. Too much local paper, too
large liquid assets, unemployed funds— each is a divergent
influence that endangers asset position and reduces earning power.
A strong, flexible reserve o f bonds is a true balance-wheel
for such conditions. It stabilizes the entire financial structure,
fortifies primary reserve, offsets slow local collections.
And often it substantially increases earning power. A
list o f bonds fitted by type, yield, maturity and
marketability to local conditions will provide
an ideal balance-wheel for your bank. May
we submit our recommendations?
anks
B
BOND
DEPARTM ENT
K R E N N & D A T O , Inc.
Exclusive Agent for Edith Rockefeller McCormick Trust
111 Broadway
NEW YORK
39 So. LaSalle Street
C H IC A G O
218 Dwight Building
K A N S A S C IT Y
Over 15,000 Investors ‘Read the IN V E ST M E N T DIGEST.
Send for Copy
34
July, 1928
M id -C o n t in e n t B a n k e r
Hibernia Bank Declares
Quarterly Dividend
The directors o f the Hibernia Bank
& Trust Co., o f New Orleans, La., at
their regular monthly meeting held June
20th, declared a quarterly dividend o f
$4.50 per share out o f the earnings fo r
the quarter ended June 30, 1928, pay
able July 2, 1928, to stockholders on
record June 23, 1928.
A t the same meeting the board also
declared the employee’s quarterly divi
dend. This extra compensation is
based upon the salaries received by the
employees. The amount is determined
both by length o f service and salary.
Every employee in the bank partici
pates in the distribution.
Bonds that are Safe
and Productive
Yield
About
Due
Iowa Southern Utilities Co. Rate
1st and Kef........................5|s
July 1950
520%
Peabody Coal Co 1st Mtge. 5s
May 1953
5.25%
Kanawha Valley Water
Corp. 1st Mtge.
. . .
6s
May 1938
5.85%
The Southwest Utility Ice
Co. 1st Mtge.....................6s
May 1941
6.25%
German Building & Land
Bank Secured . . . .
fan. 1948
6.65%
6|s
Union Trust, Detroit, N ow
Has Municipal Bond
Circulars on Request
Department
H o a g l a n d , A llum & ÍO.
IN C O R P O R A T E D
14 S. La Salle St.
C H IC A G O
34 Pine St.
N EW YORK
A n In v ita tio n
to our many banker friends in Missouri and Illinois, to make use
o f the facilities of this office in the purchase of investment securi
ties for their secondary reserve funds or for resale to customers.
W e will give your investments the same careful personal attention
as we have in the past. W e are prepared to render a superior
service.
W e have had many years experience in buying and selling bonds
F O R B A N K S . W e understand the banker’s problems, and his
need for sou n d b o n d s. Through the organization o f this new
company we are in even better position to secure for the banker
those bonds and securities best suited for his particular institution.
Our counsel and
Y O U R BANK.
our
investment
FERD W . HEMICER
JAMES P. SH A N N O N
advice
are
available
N O B L E H EM KER
K E R M IT H EM K ER
Fe r d W . H e m k e r & C
ompany
INVESTMENT SE C U R IT IE S
314
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Federal Reserve Bank of St. Louis
N O RT H
B R O A D W A Y, ST. LO U I S , M O.
for
The Union Trust Company o f Detroit
has announced the establishment o f a
Municipal Bond department. Coinci
dent with the announcement o f this in
novation in the company is the appoint
ment o f Charles B. Hull as manager o f
the new department.
Mr. Hull has had a broad experience
in the underwriting and selling o f bond
issues in Michigan. He has been ac
tively engaged in the business fo r the
past 18 years. F or two years he served
as secretary o f the Michigan group o f
the Investment Bankers Association.
He also served two years as president
o f the Bond M en’s Club o f Detroit and
was one o f the organizers o f that club.
Mr. Hull joined the Union Trust bond
department a year ago.
Vice-president Charles H. Adams, in
charge o f the bond department o f the
company, states: “ In establishing a
Municipal Bond department, we feel
that we are meeting a requirement
along the lines o f our ideals o f service
in the Union Trust organization. Our
Bond department has expanded rapidly.
There is a demand fo r adequate service
such is only possible in a Municipal
Bond department that we feel this pro
gressive step is one which will place
the Union Trust Company in a better
position than ever to give our large
clientele a complete and comprehen
sive service.”
Vice-President
Adams
also
an
nounces the appointment o f Frank P.
Keane as bond buyer fo r the Munici
pal department. Mr. Keane has a wide
experience and knowledge not only of
the market in Detroit and the metro
politan district surrounding Detroit,
but also o f the state and country. He
has been closely allied with the bond
business o f the city and state for many
years.
The
QhicagoStock E xch ange
One of Its Most Important Functions Has to Do With Its
Close Inter-relationship With Banks and the Money Market
R IE F L Y stated, The Chicago Stock
Exchange is a market place fo r
listed stocks and bonds, where securi
ties representing ownership in growing
business units are bought, sold and de
livered.
The object o f the Exchange as set
forth in its constitution is “ to fu r
nish exchange rooms and other fa cili
ties fo r the convenient transaction o f
their business by its members as
brokers; to maintain high standards
o f commercial honor and integrity
among its members; to promote and in
culcate just and equitable principles
o f trade and business. ’ ’
The rules and regulations o f the E x
change are very strict and are designed
to protect the public against any spe
cies o f fraud or dishonest practice, not
only such as may be in violation o f the
legal code but also such as may violate
the strictest principles o f ethics and
morality. These rules are drastically
enforced and severe penalties are im
posed fo r infractions.
Before a security can be bought or
sold on the Chicago Stock Exchange, it
must first be listed fo r trading by au
thority o f the board o f governors. Be
fore this authority fo r trading is grant
ed, the security is studied carefully by
the committee on stock list and the
affairs o f the company closely exam
ined .to determine whether or not trad-
B
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Federal Reserve Bank of St. Louis
By C . T . A T K I N S O N
The article on this page is taken in
part from a talk made recently by Mr.
Atkinson before a group of Chicago
bankers and brokers. In his talk, Mr.
Atkinson, who has been secretary of
the Chicago Stock Exchange since
1909, dealt briefly with a history of the
Exchange and then went on to explain
the functions of the Exchange and tell
how it operates.— Editor’ s Note.
ing in the security would be desirable.
Briefly, a listed security is one that
has passed the scrutiny o f the commit
tee on stock list and the board o f gov
ernors, and has been placed on the
official list o f those that can be bought
and sold on the Chicago Stock Ex
change.
N owner o f a security not listed
fo r sale on a stock exchange often
has difficulty not only in finding a
ready market fo r his holdings, but al
so in being able to determine what is
a fair sales price. I f the securities
are listed on the Exchange, this in for
mation is available in the daily news
papers which carry a list every day o f
listed securities, together with the
sales price.
A
Listed securities can be disposed o f
much more quickly and more nearly
at their true value than unlisted se
curities. This is o f great help to in
vestors if they wish to convert their
security holdings into cash.
I f an investor desires to borrow
money at a bank, listed securities are
more desirable fo r collateral. Banks
are very reluctant to take unlisted se
curities, even when they are valuable,
because of the difficulty in converting
them into cash.
Many stocks are offered the public
fo r sale that could never be listed on
the stock exchange. The percentage
o f loss to investors is much less in
listed securities than in unlisted se
curities.
ICTURE the scene o f the Stock
Exchange operations as a large
web o f telegraph and telephone wires
covering practically the whole United
States, in the center o f which is the
Exchange trading floor. From this
center telephone wires extend to the
offices o f members and in turn, mem
bers’ offices have telegraph lines ex
tending in every direction to near and
remote cities, where they may have
either branch offices or correspondents.
The orders fo r the purchase and sale
o f securities come not only from the
metropolitan district but are received
over these wires and are relayed to
the floor o f the Exchange where the
P
S m i t h , M o o r e & Go.
For many years we have been successfully serving banks
and institutions in:
Building up liquid secondary reserves, consisting of
sound bonds.
Maintenance of bond accounts at the peak of efficiency.
The partners will be pleased to give the benefit of their
long experience in this field to your investment problems.
C h a s.
W . M oore
W n t. H .
509 Olive Street
B u rg
W.
C. M oreh ea d
R.
B . S m ith
N.
R.
D u tso n
St. Louis, Mo.
36
M
transactions are made, given publicity
immediately over the ticker, recorded
and assembled fo r the daily tables o f
transactions found on the financial
pages o f the newspapers.
The machinery o f the Exchange al
so provides fo r the clearing o f each
d a y ’ s transactions through its clear
ing house. When a stock is admitted
to the list and to trading, it is assigned
to one o f the sixteen posts and trad
ing in the stock is confined strictly to
its post. An order to sell coming
over a member’s telephone is written
out on a prepared form by the tele
phone clerk and delivered to the floor
broker, acting for the member house.
id
-C
o n t in e n t
B
I f he finds a buyer, the transaction is
made and entered on his and the
buyer’s brokerage cards. The seller
reports the trade to the recorder at
the post and each broker reports the
execution by telephone to the house for
whom he has acted. The recorder’s re
port goes immediately to the ticker op
erator and the report o f the transac
tion is sent out, giving number o f shares,
stock and price on the ticker within
a; few seconds o f the time o f the trans
action. Presuming that the order exe
cuted as described was fo r any one o f
you who had given your order to a mem
ber house, you would be promptly ad
vised by your house o f the execution
How the “ Peaks” and “ Valleys
in Deposits and Loans
determine the makeup o f your
Secondary Reserve
A
R E the borrowing demands upon your bank relatively stable?
. O r do they fluctuate, with certain months showing a marked
increase and others a corresponding decrease? Are deposits fairly
regular or do they vary?
T h e answers to these questions will help greatly in arriving at a
sound arrangement o f your bond reserve. T w o banks in the same
locality may show considerable difference in the variation o f loans
and deposits. Generally, however, these factors are much the same
in any community, but will vary greatly between communities.
A n old, well established manufacturing center may show rela
tively regular local borrowing demands and proportionate regularity
in deposits. O n the other hand, in newer, developing sections these
items may show wide fluctuations and divergencies.
Inasmuch as an important function o f a bank is to keep funds
available for the community it serves, at the same time keeping its
assets profitably employed, it is apparent that the type o f commu
nity must be considered in choosing the securities for a bond reserve.
Such an analysis is the logical foundation for a sound and profit
able reserve structure. T o help you in working it out, w e are glad
to make available the fruits o f our long experience in working with
hundreds o f banks throughout the country.
H A LSEY, S T U A R T &, CO.
I N C O R P O R A T E D
201 S. L a Salle St.
n e w Y o r k 35 W a ll St.
P h i l a d e l p h i a 1 1 1 South Fifteenth St.
D e t r o i t 601 Griswold St.
C l e v e l a n d 925 Euclid A v e .
s t . Louis 3 1 9 N . Fourth St.
b o s t o n 85 Devonshire St.
P i t t s b u r g h 307 Fifth A v e .
M i l w a u k e e 425 East W ater St.
M i n n e a p o l i s 608 Second A -ve., S.
C h ic a g o
Jisten in every Thursday evening to the •
OLD
C O U N S E L L O R on th e H A L S E Y - S T U A R T H O U R
Helpful answers to everyday investment problems— 2 2 piece concert orchestra
8 : 0 0 P. M . Central Standard Time
*
9 : 0 0 P. M . Eastern Standard Time
30 S t a tio n s
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Federal Reserve Bank of St. Louis
July, 1928
a n k e r
a s s o c ia te d w i t h th e N a t i o n a l B r o a d c a s tin g C o m p a n y
o f the order, and would be billed for
a purchase at the exact price paid plus
the commission, and if a sale, the sum
paid you would be the exact price less
the commission.
From time to tim e1 during the day,
the brokers check their transactions on
their cards to insure against error,
and there is a second checking by mes
sengers from the member houses at
3:30 o ’ clock every afternoon. Upon
completion o f these comparisons, the
member houses make up their clearing
sheets and deliver to the clearing
house by 5:00 o ’ clock p. m. Clearing
house notices are issued by the E x
change the following morning at 9 :30
o ’clock, whereby securities are deliv
ered, received and settled fo r with the
minimum o f labor.
W
ITH respect to the volume of
business, it is well to look back
a few years fo r a background. F ol
lowing closely upon the readjustments
o f business, industrial, commercial and
financial, after the W orld War, the
United States entered upon an era o f
development that has reached a point
tritely described as “ phenomenal.”
The great wealth thus created can be
regarded as the source o f the great
volume o f business in securities dealt
in upon the Exchanges. Never before
has there been such an interest de
veloped by the public in this form o f
investment. During our war period,
the public was taught to save and in
vest. The investments urged at that time
were Government securities such as
Liberty Bonds and Saving Certificates.
That education has led to a wide pub
lic interest at this time in the securi
ties o f commercial, industrial and pub
lic utility corporations, and a surplus
o f income over the requirements o f liv
ing has made those investments pos
sible.
Mr. Simmons, the president o f the
New York Stock Exchange, points out
in his report, lately issued, the follow
ing facts which have a bearing upon
recent accomplishments in volume and
values:
“ The United States was fo r many
decades the w orld ’s greatest debtor
nation, and our financial institutions
and practices, and our mental atti
tude toward finance, developed under
a situation wherein greater difficulty
was continually experienced in obtain
ing capital, than in finding means to
put it to work. In the New York
financial markets, funds have habitual
ly been less plentiful than securities in
which to invest them.
“ Since the war, this situation has
been just reversed. Not only has the
United States become an international
lender instead o f borrower, but the
July, 1928
comparative shortage o f capital in this
country has been turned into a sur
plus. The task o f the New York finan
cial markets has, in consequence, be
come mainly one o f finding opportu
nities fo r investment, and the short
age is in securities rather than in sup
plies o f capital. . . . During 1927,
share prices generally tended to ad
vance under the influence o f the large
amounts o f new capital coming upon
the market seeking investment. ’ ’
OSSIBLY the most important func
tion o f the Stock Exchange is
that which has to do with its close
interrelationship with the banks and
the money market.
Even the most conservative investor,
who buys nothing but gilt edged bonds,
may at any time find it desirable to
borrow money to tide over an emer
gency or to take advantage o f a busi
ness opportunity. He takes his bonds
to his bank and applies fo r a loan.
The willingness o f the bank to make
the loan will depend on the market
ability o f the security and the amount
which the bank will lend will depend
on the quoted market price.
The banks throughout the country
lend a very large part o f their sur
plus funds on Stock Exchange collat
eral on call and I think it is beyond
dispute that this is the safest kind o f
loan a bank can make, fo r when the
bank wants its money, the collateral
can, i f necessary, be sold fo r cash on
the Stock Exchange at a moment’ s
notice.
The loaning o f money on Stock E x
change collateral is o f enormous bene
fit to the whole business world fo r it
exercises a stabilizing influence on
bank reserves and thereby on inter
est rates.
It is sometimes said that Stock Ex
change loans divert bank funds from
other more deserving kinds o f busi
ness. I can assure you that the stock
broker does not get his money from
the banks until the needs o f the farmer
and the merchant and the manufac
turer are satisfied, and in time o f
trouble our business is the first to
liquidate.
To summarize briefly then the fu n c
tions and values o f the Stock E x
change as I see them, they a re:
1st. To maintain a high standard o f
business morality.
2nd. To permit no dealings in any
securities which in the best judgment
o f experts do not measure up to ap
proved standards o f legitimacy.
3rd. To assist in directing into the
channels o f legitimate trade and in
dustry the much needed capital o f the
public.
4th. To furnish a broad and open
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
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37
a n k e r
market fo r publicly owned securities
whose quoted prices can be reliably
accepted as the measure o f values and
an index to general business conditions.
5th. To keep in liquid form and
ready fo r use where more needed the
surplus wealth o f the community.
Guaranty Company of New York has
announced the appointment o f Harold
S. Cherry as branch office manager o f
its Albany Office.
P
‘ ‘ Scholars are their country’s treas
ure and the richest ornaments o f the
feast. ’ ’— Chinese Maxim.
New York Life Shows Large
Gain for May
The New York Life Insurance Com
pany’s new written business for May,
1928 was $105,889,000, the largest May
record in the Company’s history. The
written volume for May, 1927 was $90,815.000, this year showing a gain o f
$15,000,000 for the month.
In the Greater New York Depart
ment, o f which Mr. William M. Harris
is the Inspector o f Agencies, the May
volume o f insurance written was $26,410.000, a gain o f $5,143,000, or 19%,
over May, 1927.
B R O K A W
AND COM PANY
105 South La Salle Street, Chicago
General Trading Department
Specializing in Packing House,
Canadian, E q u ip m en t T rust
and Pacific Coast Securities.
Direct W ir e to Edward B. Smith & Co.
New York
-
Philadelphia
-
Boston
IL L IN O IS R E P R E S E N T A T IV E :
Eugene T . Hastings
Manager of Trading Service Department:
Thomas F. Ford
38
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Announce Formation o f Straus National
Bank and Trust Qompany
ORMATION o f the Straus National
Bank and Trust Company o f Chi
cago has been announced by officers of
that institution. The bank will occupy
quarters on the second floor o f the
Straus building.
Unofficial reports that the S. W.
Straus interests were contemplating the
establishment o f a national bank in Chi
cago were thus confirmed, although the
announcement was the first official veri
F
July, 1928
a n k e r
buildings in Chicago, New York and
San Francisco and in addition has
branch offices in approximately fifty
cities. In its development S. W . Straus
& Co. has become a nation-wide organi
zation, recognized by business interests
fication o f the rumor that has been cur
rent on La Salle Street for several
weeks.
S. W. Straus & Co. was founded in
Chicago in 1882 and became the largest
house specializing in the underwriting
o f real estate mortgage bonds.
The
company has financed many o f the larg
est office and hotel buildings in the na
tion.
The company maintains its own office
Substantial Earnings
fo r Five Years
S. W. STEALS
=
M
f=
=
The present annual interest requirement of the first mortgage
bonds of the Texas Cities Gas Company is $270,000. Earnings
available since 1923 have been sufficient to cover these present
charges by a substantial margin. The reported figures follow :
1923
1924
$438,584.89
1925
$478,721.27
generally as an authority in the build
ing field. Both the Straus buildings in
New York and Chicago are regarded as
office buildings o f the highest type and
examples o f the maximum o f efficiency.
The entrance o f the Straus organiza
tion into commercial banking comes at
a time when the policies o f the company
$502,365.59
1926
1928*
$518,019.90
$545,289.59
(*year ending February 29, 1928, all others for the calendar years)
Earnings average 1.8 times present interest charges for the fiveyear period and are over two times these charges for the year
ended February 29, 1928.
The Company serves a prosperous growing territory. Its income
has increased yearly. It enjoys the advantages of specialized
management.
Texas Cities Gas Company First Mortgage 5’s are an attractive
investment at 98 y2 and interest, to yield about 5.10%
Details on Request
A
P.W. CHAPMAN&CO..INC
C H IC A G O
N EW YORK
St. Louis Office
1103 B O A T M E N ’S B A N K BLDG.
BOSTON
ALBANY
M IN N E A P O L IS
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
NEW ARK
M IL W A U K E E
S E A TTLE
ST .LO U IS
NEW OR LE AN S
P O R TL A N D
SAN FRANCISCO
JOHN H. K BAFFT
are being broadened to include the
underwriting and selling o f general
securities.
From the date o f the founding o f
the firm o f S. W . Straus & Co. the
name o f S. W . Straus has been linked
with the financial life o f Chicago. Here
his company was founded and for many
years he made his home here, leaving to
M
July, 1928
make his headquarters in New York
about thirteen years ago.
The new bank which is author
ized to carry on a general commercial
and savings hank and trust business
will take over substantially all the busi
ness o f the Straus Trust Company, or
ganized in 1924.
S. W. Straus is president o f the
new bank; S. J. T. Straus, executive
vice-president o f S. W . Straus & Co.,
is vice-president.
John H. Krafift becomes vice-pres
ident and cashier as well as execu
tive officer o f the new bank. Mr. Krafft
joins the Straus bank after a banking
experience o f 25 years, having been as
sociated with the First Trust & Savings
Bank o f Chicago and several financial
institutions in Ohio. At one time he
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39
a n k e r
ings Bank, a successful institution o f
the near South side.
The growth o f Chicago as an indus
trial, commercial and financial center
was given by the officers o f the company
as the reason for the founding o f the
new institution. In the Michigan Ave
nue territory there is no national bank
near the Straus building and, accord
ingly, it was felt that there was not only
an opportunity but also a demand for
a complete commercial and savings
banking service in that location.
“ Extensive learning is a priceless
possession. ’ ’— Chinese Maxim.
Quite a Drop
“ Do you realize what wonders there
are in a drop o f w ater?”
“ Y es; my w ife and I spent our
honejunoon looking at one.”
‘ ‘ W h a t! Gazing at a drop of
water ?
“ Uh, huh! Niagara F alls.”
“ B o y ,” announced Mose, “ whah Ah
comes f ’um folks is tough. D ey’ s so
tough dat buckshot d on ’ even scratch
de hide.”
“ Lissen,
son,”
countered
Lige,
“ whah Ah comes f ’um dat would be
called tendah. ”
R ead the
M
id
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Ban
n t in e n t
k er
E v ery M onth
YOU
W IL L F IN D :
— N ew s of Banks and Bankers.
— Legal D ecisions and Free Legal Service.
— Investm ent N ews.
,T.
R.
FRAZER
was managing director o f the Columbus
Joint Stock Land Bank.
J. R. Frazer, vice-president and trust
officer o f the Straus Trust Company,
is the vice-president and executive
trust officer o f the Straus National
Bank and Trust Company o f Chicago.
N. H. Oglesbee, treasurer o f S. W.
Straus & Co., becomes controller o f
the new bank.
The directors will be as announced
for purposes o f organization— S. W .
Straus, S. J. T. Straus, A. W . Straus,
S. H. Kahn, M. L. Straus and H. N.
Gottlieb.
The financial structure o f the new
bank is represented with $1 ,000,000
capital stock, $250,000 surplus, and
$50,000 as a special reserve for con
tingencies, making total assets o f
$1,300,000.
The entrance o f the Straus interests
into the commercial banking field is not
a new venture.
For many years the
same interests have controlled an outly
ing bank, the Franklin Trust and Sav
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
— Successful plans for increasing deposits, ad
vertising you r bank, cooperatin g with the
farmer and creating public g ood will.
— D iscussions of Bank Problem s b y practical
bankers.
(This Coupon Will Bring Your First Issue)
M I D -C O N T I N E N T B A N K E R
408 Olive Street, St. Louis, Mo.
D a te ..................................
Please enter my subscription for one year (12 issues) for which I will
remit $3 upon receipt of your bill.
Officer .......................................................................................................................
Bank ......................................................... ................................................................
City ....................................................
State ....................................................
40
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July, 1928
a n k e r
qA
D iversified List
°f
Insured Bonds
Investment Securities
N ational D istributors of Guar
anteed First M ortgage Real E s
tate B onds yielding 6 per cent.
FOR BANK FU N D S
These bonds are indorsed by
Surety Companies w hose names
appear on the G overnm ent A p
proved list.
Bank
invited.
and
Dealer Inquiries
FOR PRIV A TE IN V E ST M E N T
Davis, Smith &MeAnulty
(IN CORPORATED)
H . S M IT H & CO.
2nd. Floor, N . E. Corner Monroe at Fifth St.
The Bankers Building
¿Illllllllllllllllllllllllllllllll||||||||||||||||||||||||||||lllllllllllllllllllllllllllllllllll|||||||||||||(||||||||||l|(llllllllllllllllllllliai|||||,
HHM
!M,Ml,IH,IHM
105 W est Adams St.
Complete Investment Service
C H IC A G O
Municipal Bonds
Springfield
Illinois
G. H. W ALKER & CO.
BONDS
S afety o f Principal
Government,
A ll M aturities
Municipal,
A ll D en om in ation s
Public
T a x E xem ption
Corporation
Utility,
Railway,
4V2 to 6.00 per cent
Direct private wires to all principal markets
a
enable us to
tVrite for offerings and Bank Discounts
SheJianchettSlond
Co
Incorporated 1910
M U N IC IP A L B O N D S
National Bank of Commerce Bldg.
render prompt
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
N EW Y O R K
D E T R O IT
efficient
service in buying and selling listed bonds.
Members New York, St. Louis and
Chicago Stock Exchanges
B R O A D W A Y and L O C U ST
St. Louis
CHICAGO
and
St. Louis, M o.
July, 1928
O L IV E
M
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41
a n k e r
Offices o f R. H. Cobb & Company
are located in the Liberty Central
Trust Building.
NOTES
While visiting recently at the home
o f John A. Love, president o f Love,
Bryan & Company, Anthony H. G. Fokker, head o f the Fokker A ircraft Cor
poration o f America, expressed the
opinion that St. Louis was the logical
aviation center of the country and that
it was up to St. Louis to take advan
tage o f this fact. Mr. Fokker stopped
off in St. Louis while en route from
Los Angeles to New York in a twelve
passenger Fokker monoplane.
By James J. W engert
Harold M. Bixby, vice-president of
the State National Bank, and one of
the original hackers o f Col. Lind
bergh’s trans-Atlantic flight, is heading
a delegation o f sixty-five members o f
the Aeronautical Chamber o f Com
merce which is making a tour o f Euro
pean airports this summer. The party
was scheduled to arrive in France on
July 2.
Mr. Cobb has had a wide experience in
the investment banking business and
has at various times been connected
with Francis, Bro. & Co., George H.
Burr & Company, and John Nicker
son & Company. Both Mr. Stocke and
Mr. Buermann are well known in the
real estate business in St. Louis be
ing members o f the firm o f Anderson,
Stocke & Buermann.
Mark C. Steinberg & Co. have an
nounced the inauguration o f a stock
market broadcasting service through
station KM O X, giving quotations on
active stocks listed on the New York
Stock Exchange three times daily— at
10:00 a. m., 12:00 Noon and at 2:00
p. m.
Announcing
The Formation of
John Nickerson & Co. have an
nounced that Robert P. Disse, formerly
with the Mississippi Valley Trust Com
pany, is now associated with their in
vestment organization in St. Louis.
T o C o n d u ct a G en eral
Investment Bond Business
The new office quarters of Francis,
Bro. & Co. contain something that few
organizations o f the kind can claim
and that is a fire-proof and burglarp roof vault guarded by a fifteen-ton
vault door with quadruple time locks.
John Longmire, vice-president and
bond officer o f the Mississippi Valley
Trust Company in St. Louis, and chair
man o f the Mississippi Valley Group
o f the Investment Bankers Association
o f America, was the principal speaker
at a recent meeting o f the investment
bankers o f Louisville, Kentucky.
Oliver J. Anderson & Co. are now lo
cated in their new quarters on the
second floor o f the National City Bank
building at 718 Locust street. The new
offices, which were designed especially
for the company, consist o f a confer
ence room, several private offices, large
quarters fo r the sales department, and
a board room. The board is o f a spe
cial plate glass and the numerals are
illuminated by high-powered and con
cealed reflectors. The translux pro
jector is installed as a unit part o f the
board.
R. H. Cobb & Company, members
of the St. Louis Stock Exchange, have
announced the opening o f offices fo r
the transaction o f a general broker
age and investment business in stocks
and bonds. Officers o f the firm in
clude : Robert H. Cobb, president and
treasurer; and Christian Stocke and
Rudolph A. Buermann, vice-presidents.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
*
HIS organization will be in a position
to recommend investments best suited
to the individual needs of banks and in
vestors, industrial, municipal, railroad, real
estate, foreign and public utility bonds, all
of which are included in the line of bonds
handled.
T
The organization of this company has
brought together a carefully selected per
sonnel, all of whom have had that wide ex
perience so necessary to the rendering of
intelligent investment counsel, and in ad
dition the personnel of the concern has
almost without exception, been closely
associated for many years past.
A new service for bankers has received
remarkable commendation and is rendered
without cost or obligation.
Y o u r in q u iry w ill be a p p rec ia ted
231 South La Salle Street
C H IC A G O
Telephon e Central 6556
42
M
j Liquidity, Profits and
M anagem ent
(Con tin ued from page 10)
per cent o f the available funds were
placed in government and municipal
securities. In both cases other funds
over and above cash were invested in
the various standard types o f bonds
and mortgages.
The bank which invested almost all
o f its funds locally received 6.6 per
cent return; the other bank 5.24 per
cent. The greater expense connected
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with making local loans, as compared
with outside investments in the first
case, was .81 per cent as against .48
per cent in the second bank. The net
losses from local loans averaged .91
per cent as against .26 per cent for
the bank with the more conservative
and diversified investment program.
The net result was that the first bank
earned 4.34 per cent before deductions
fo r operating expenses other than loan
administration expense, while the more
conservative and liquid institution
earned 4.50 per cent.
Let us turn next to the problem o f
expense and expense control.
Holding Companies in
the Banking Field
Public utilities and Railroads have attained
great prosperity and are rendering better
public service under holding company man
agement, which has recently been applied
to banking with equally beneficial results.
American Financial H olding Corporation,
managed by men of recognized experience
and broad vision, is grouping established
and prosperous institutions in the financial
field.
Information regarding the
broad plans o f this Corpora
tion available upon request
fo r Circular M .C.-4.
American Financial Holding Corporation
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
E X E C U T IV E O F F I C E S
Fifty Broadway, New York
KANSAS C IT Y — Dwight Bldg.
July, 1928
a n k e r
NTEREST paid on time deposits is,
o f course, one o f the largest items
o f expense in most banks. Presum
ably, the interest rate on savings de
posits varies from 3 per cent to 4 per
cent. I say presumably, because the
results o f the recent questionnaire
sent to bankers over the country has
in a measure shaken my faith in bank
ers’ mathematics.
In our questionnaire, we included a
typical problem o f savings interest :
the case o f a man who had opened an
account, made certain withdrawals and
deposits, and after six months, asked
fo r his interest. Among banks paying
3 per cent, the actual interest allowed
varied all the way from $7.86 to
$21.45. Among those paying 4 per
cent, the sum varied from $8.75 to
$37.15. Banks paying 3 per cent fre
quently paid out more cash than those
paying 4 per cent. W ho would have
guessed that bankers were such indi
vidualists as to be totally unable to
agree upon the answer to a simple
mathematical problem? W hat retailer
could continue in business paying a
major expense item o f $37.15 as against
a competitor paying only $8.75? Here
is a matter o f real importance to our
profits.
I sometimes wonder why we have
never fixed interest rates on a basis
o f what we could safely pay customers
rather than by merely follow ing tradi
tion and competition. Apparently, we
have operated blindly and hoped for
profits, and have not assumed the view
point o f good management which would
call fo r a proper balance between avail
able income and feasible out-go. It
is time, it seems to me, fo r management
to seize the reins here with a firm
hand.
Our second large expense item is
pay roll. Good management in other
lines o f business has discovered that
it can reduce its total salary costs and
increase its individual salaries simply
by increasing the efficiency o f em
ployees. W ell paid workers are a com
pany’s best investment. I believe we
might well incorporate in good bank
management the principle o f having the
best paid, most efficient employees.
The progress in the science o f man
agement which is being recorded by
banks throughout the country is a rev
elation to anyone who delves into this
matter. I might mention a great many
cases o f banks in which intelligent
management has accomplished excep
tionally gratifying results. One large
savings department increased the ave
rage number o f transactions handled
per employee 82.5 per cent; one book
keeping department stepped up its e f
ficiency over 25 per cent, and another,
51 per cent; a collection department
I
J u ly, 1928
reduced its costs 36.4 per cent ; a
transit department increased the items
handled per employee 145 per cent. I
am perfectly willing to have the high
est salaried employees in the city if
I can have the most efficient.
HOSE who manage banking insti
tutions have often been prone al
so to bid higher fo r a spectacular in
crease in business than the quality o f
the business warranted. They have so
fa r focused upon free services as ap
parently to lose sight o f the fundamen
tal things which are expected o f a
bank.
Let us often repeat ourselves that
the job o f bank management is to con
duct a safe and liquid bank at a profit.
Unless it is safe and profitable, it
cannot be o f maximum service in the
community. The volume o f business
means nothing, if not linked with safe
ty and profit. A 10 per cent to 15
per cent increase in deposits in a given
year has little or no significance if
the net earnings fail to keep pace.
Some bankers will tell you that
money cannot be made at the present
low interest rates. The facts are, how
ever, that the records o f many banks
will disprove such a theory. I recall
one commercial bank with deposits o f
$3,500,000, with a ratio of deposits to
invested capital o f 7 ^ to 1 , and with
its income derived solely from deposits,
and with no miscellaneous departments.
By specializing on quality business, it
has fo r five years added almost 18 per
cent annually to its invested capital.
This is a tangible expression o f good
management.
In the large number o f banks that
have gone over the brink o f bank
ruptcy within the past eight years,
many suffered credit losses to the point
where their profits, i f not their capital
assets, were dissipated. Too frequent
ly, excess loans are made to individuals
and business concerns. Every banker
should know how fa r lie can safely ex
pand his credit risk, and under no con
dition should he go beyond this lim it;
fo r when he does so, he greatly in
creases his losses, encourages unsound
business and incurs unknown hazards.
Sixty-four per cent o f the banks
stated in their replies to the ques
tionnaire that they expected periodic
liquidation o f commercial loans ; 36
per cent, that they let loans run to
credits regarded as safe. Approxi
mately 62 per cent o f the banks had
a definite plan whereby other officers
than the one making a loan reviewed
credit files; whereas 38 per cent had
no definite policy in this matter. Of
those banks having a plan fo r review
ing loans, 71 per cent made the review
before the loan was made; 29 per cent
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
T
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did not make the review until after
the loan was on the bank’s books.
In one bank, the ratio o f net losses
to gross income averaged over 17 per
cent fo r six years. In other words,
out o f every $100 in gross income, more
than $17 was lost through poor loans.
In just two years, capable management
had reduced that percentage from over
17 per cent, to less than 3.5 per cent.
HE banker’s credit files should
present a continuous history o f
the customer’s credit position and re
veal any hazardous tendencies which
may develop in the customer’s business.
A very good rule, too frequently ig-
T
43
a n k e r
nored, is that every unsecured bor
rower o f $500 or more should be re
quired to place his financial statement
on file. This practice should apply
without exception to farmers, mer
chants, manufacturers, and other com
mercial and individual customers, in
cluding stockholders and directors.
One especially commendable trend in
the direction o f better banking is in
dicated by the fact that 96 per cent
o f the bankers answering the question
naire stated that they required bor
rowers’ statements fo r unsecured loans
o f $500 or more.
Management is, however, not whol
ly an internal problem, fo r banks re-
O u r 23 y e a r R ep u ta tion ,
Behind Each B ondb
T h e f ir s t mortgage bond is about the only security which
presents to the investor a clear picture o f what is behind
it. With a Mortgage & Securities Company circular be
fore you, giving a detailed description o f the offering,
you can form an exact idea o f the issue.
Investors in all parts o f America know the expert
supervision we provide. They know, too, the resources
and twenty-three year experience o f this company, without
a single loss to any client.
Circulars describing attractive current
offerings furnished upon request.
Address Dept. F7.
Mortgage
Securities Co.
EHew Orleans * <Saint Jbouisio
44
M id -C o n t in e n t B a n k e r
quire the additional benefits o f outside
supervision. The com ptroller’s office
and the state banking board are
charged with the responsibility o f this
outside supervision. By and large,
the public officials in our banking de
partments are qualified and capable.
I have communications from many o f
them in my files which clearly show
conscientious and highly intelligent e f
fort to help in the betterment o f bank
ing practice in their respective states.
They have, however, in some instances,
been hampered by political influences.
It is the responsibility o f the banking
profession to see that these state bank
ing departments are severed from po
litical activities and set up as independ
ent, effective business units, free to
concentrate upon bank supervision.
Important and necessary as outside
supervision is, the burden o f better
bank management in the final analysis
must rest upon the officers and direc
tors o f the individual institutions. The
management o f a bank cannot be dele
gated outside. Any honest and intelli
gent study o f the causes o f bank fa il
ures in the past eight years terminates
in a firm conviction that the basic rea
sons have been mismanagement, in
competence, or Simon pure ignorance
o f sound banking principles.
Helpful Suggestion
“ W illie,” said the Sunday School
teacher severely, ‘ ‘ you shouldn’t talk
like that to your playmate. Had you
ever thought o f heaping coals o f fire
on his h ead?”
“ Gee! No, m a’ am, I hadn’t, but
i t ’s a peach o f an idea ! ’ ’
Is The Bank
The Place For
Bond Business ?
A GREATER number of bank officials are com'
ing to realize each year that it is a logical and
important function of the bank to provide iim
proved facilities for handling the bond business
of the community. In line with this trend, we
have developed a sound plan to assist banks in
securing or increasing this desirable business.
This plan works out to be attractive because:
1 . It will not decrease cash on hand.
2 . It will increase resources.
3. It is basically and economically sound.
A comprehensive outline of this plan will be
sent to any bank official upon request.
RobertS,Strauss &Co,
Investment Bonds— First Mortgages
105 W est M onroe St.
C H IC A G O
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Offices in Other Cities
150 Broadway
J u ly, 1928
P r o m in e n t M isso u ri
B anker Is D e a d
(Coititinired from page 12)
public function meant hours of plot
ting at his desk.
The last official service he performed
was planning the convention o f the
Missouri Bankers Association at Kan
sas City in May. He worried about it
tremendously because some o f his
hopes had failed. When he left for
Kansas City it was with ominous mis
givings. He had been under a severe
strain. “ I d on ’t know whether I ’ll
be able to go through with it or n ot,”
he said, starting out.
W ith dogged determination he stayed
until the end, and came back to his
desk one morning. He was ill and
pale, though smiling. The shadow had
fallen, but no one sensed it.
They told him to go home and he
d id n ’t seem to want to, then some one
offered to go with him to the ball
game, and he went. The next day he
had a cold, and he never came back to
work again. He loved baseball. He
liked duck hunting too, but he liked
to talk baseball. The day before he
died one o f his associates tiptoed in
to his room at the hospital and would
have hurried out but Mr. Buder called
him, “ Y o u ’re not bothering me, sit
down, I want to talk to somebody.”
They talked baseball then, and pol
itics, and lots o f things. Fifteen min
utes before he died on Saturday an
other o f his friends left him— smiling,
eager to talk, and unmindful o f his
doom. How can we poor mortals know
when a strong heart is breaking be
neath a patient countenance ?
There are those who say he died too
soon. Many say there is not another
like him. Perhaps if he could speak
it would be to say that there were cer
tain things he would have liked to
finish, fo r he had many responsibilities.
He was the instigator in the Mercan
tile Trust Company many years ago,
o f a plan by which the employes who
enrolled in the A. I. B. courses and
made a passing grade, would receive
a refund o f their entire tuition and
any cost fo r textbooks. The refund
fo r this year amounted to $400— dis
tributed among 22 Mercantillians. It
was held in abeyance fo r several weeks
fo r Mr. B uder’s O.Iv. because that had
always beem one o f his stern but pleas
ant duties.
He liked the A. I. B. because he liked
getting out and doing things with en
thusiastic people. It has been said
that he never had quite as good a time
anywhere as at a convention o f the
July, 1928
A. I. B. in Cleveland. He went to
ball games, tagged around with the
other Instituters, laughed a great deal
and thoroughly enjoyed himself. But
all that was after hours— sitting at
his desk he was a bank man, one o f
the finest, and a fair and firm disci
plinarian.
Mr. Buder desired that his remains
be cremated after death, and that was
done. But it is rather strange. He
was a lover o f the soil and it would
have seemed fitting fo r his body to
have rested there— however, one can
almost hear the reasons fo r his wish.
On a plot o f ground in a cemetery it
might have been thought necessary to
plant flowers or shrubbery, and that
would have put some person to un
necessary trouble— and so o f course,
this was the proper way.
He had just bought a little farm
somewhere— four hundred acres. It
was going to be jolly fun getting it
fixed up. The barn was nearly com
pleted when last he took the blue-print
out o f his top desk drawer to explain
it to some one interested enough to
listen to him. He never said so but
he must have dreamed o f living there
in peace some day, when banking days
were over. But i t ’s too late now. He
wanted to go to Europe too, but he
d id n ’t have any one to go with. No
body ever seemed to realize that he
needed encouragement. What a stu
pid race we are to wait until a man is
dead and then recount his virtues.
May the gods forgive us all if we
have called one cold and calculating,
who was only lonely.
M
id
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B
o n t in e n t
have traced the trouble to the meter,
but I ’m stuck there, because I never
learned to read a meter. But we must
have the best. To the reader, there
fore, who submits the best last line for
the foregoing stanza, the editor will
present a beautiful and valuable prize.)
(E d itor’s N ote: Like kelly will)
Little Tommy
Little Tommy Brittleshank
Worked in a savings bank.
Every morn he’d gird his loins
To wrap up other people’s coins.
Singa Songa
Sing a song of sixty cents
Balance on the book.
Check out for forty bucks—
The dog-gone onery crook!
— P R IV A T E W IR E S to New York and
to all other important security markets
in the United States and Canada.
— T R A D IN G D E P A R T M E N T to ob
tain current quotations on any listed
or unlisted security.
— B O N D B O AR D listing actual sales as
they take place on the New York
Stock Exchange.
— F O R T N IG H T L Y
R E V IE W
giving
summaries of the more important recent
bond issues. Sent free upon request.
(C ontinued from page 9 )
This One Didn’t Live in No Shoe
There was a young woman who worked
in a cage.
She couldn’t add figures, nor foot
up a page,
But she figured her figure to show as
she went,
And now she’s the wife of the vicepresident.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
(N ote:* Some o f the earlier histo
rians recorded Mrs. Hubbard as saying
“ thirsty,” instead o f “ thirtsy,” but
since a more conscientious poet than
the old lady Hubbard could hardly be
located in a coon ’s age, this report is
manifestly absurd. It has even been
suggested by a few commentators that
she may have said it with a curstey,
instead o f a curtsey, but since it would
be difficult fo r a lady well past middle
age thus to alter the habits o f a life
time, this theory has never attracted
much o f a following.)
Complete Investment Service
f o r B ankers’ Sons
(A u th or’s N ote: I ’ve spent a lot o f
time on that last line, and yet I am
not quite satisfied with it. I think I
“ But,” said she with a curtsey,
“ I hope you ain’t thirtsy;*
Paw’s home brew shure gives one
the pip.”
Principles do not mainly influence
even the principled; we talk on prin
ciple, but we act on interest.— Landor.
Old Mama Hubbard
Went to the cupboard
To get her poor pastor a nip.
M o th er (jo o se R hym es
A Diller, Etc.
A diller, a deller,
A ten-o’clock teller,
What makes you come so soon?
You used to start work at ten o’clock,
But beginning next Monday, you
don’t need to come at all any more,
dog-gone yuh!
45
a n k e r
Telephone or wire your orders
at our expense
\
711 St. Charles St.
I
MEMBERS
NEW
ST. L O U IS
YORK
STOCK
Central 3000
EXCHANGE
=
Ì
46
M
id
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o n t in e n t
B
a n k e r
July, 1928
T h e Im p orta n ce o f the
Short Term Secured Gold Notes
Y ie ld in g
A p p r o x im a te ly
6 -7 /8 %
Trust D ep a rtm en t
(Continued from page 8)
D u e N o v e m b e r 1 , 1930-1931-1932
Miami-Biltmore Hotel Corporation Secured 7% Gold Notes; per
sonally guaranteed by John McE. Bowman, Esq., nationally known
as the operator o f the Commodore and Biltmore hotels in New York
C ity; the Atlanta-Biltmore, Los Angeles Biltmore, Providence-Biltmore, Bclleview-Biltmore at Bellaire, Florida, and the Sevilla-Biltmore at Havana, Cuba.
Inquiries Invited
E. H . O T T M A N
8C C O M P A N Y ,
IN C .
Investment Securities
Bankers Building
-
-
C H IC A G O
Bond Quotation Record
JU LY ISSUE
This b ooklet gives the follow in g inform ation on bonds listed
on the N ew Y o rk Stock E xchange, the N ew Y o rk Curb, as
w ell as on active unlisted issue.
1—
1925 and 1926 P R IC E R A N G E
2—
IN T E R E S T D A T E S — M A T U R I T Y
3—
C A L L P R IC E — IF A N Y
4—
IN C O M E A T C U R R E N T P R IC E S
5— Y I E L D — IF H E L D T O M A T U R I T Y
Copy Mailed on Request
Knight, Dysart & Gamble
401 O L IV E ST.
-
G A R F IE L D 1850
-
ST. L O U IS , M O .
Private W ires to All Principal Cities
M EM BERS
NEW
YORK
-
C H IC A G O
Your Home
Away fro m
Hom e
You intensify the pleasure
o f your stay in Chicago
when you select the Rogers
Park Hotel as your abode.
Located on world famous Sheridan Road,
it offers you every service that a thought
ful, efficient management can devise for your
comfort, convenience and pleasure.
All rooms are outside rooms—large, airy
and cheerful; some with kitchen where you
-
ST . L O U I S
STOCK
EXCHANGES
Single R o o m s a s lo w as $ 3 .0 0
p e r d a y . L a rg e r su ites c o r re
s p o n d in g ly lo w . W r it e or w ire
f o r in fo rm a tio n a n d i a tes.
may prepare your own
m eals.'At dining room
service is excellent. A beau
tiful park slopes down to
a wide, sandy beach— and just beyond it,
Lake Michigan. Nowhere is there a finer
panorama o f its sparkling waters.
La Salle Street and the busy, noisy Loop
are but 22 minutes removed— with splen
did transportation service 24 hours daily.
ROGERS PARK HOTEL
SHERIDAN R O A D A N D PRATT BOULEVARD
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
• CHICAGO
giving a more satisfactory result than
the average individual gets.’ ’ That is
one service we have thrown in. I ex
pect to see a great many other people
do it, too. I think others have already
done it.
Having in mind the enormous total
o f trust responsibilities, I can picture
in my mind the day not very far dis
tant when the power o f good and evil
in our industrial life in this country
is going to very largely rest in the
hands o f the trust companies, and when
I say trust companies I mean the trust
departments o f national and state
banks and trust companies. I think
we ought to contemplate that very
seriously when we consider that we
have in our hands billions o f dollars o f
other people’s money to take care of,
and that the conduct o f that trust a f
fects not only the people who own this
property, hut affects the whole social
and industrial structure o f the coun
try. It must make any man feel that
he must act wisely and as fairly and
as honestly as man possibly can.
The danger the United States has be
fore it today is its rapid wealth. We
have become rich beyond the dreams
o f any country in the world, and if
we do not maintain the highest, clean
est and purest ideals in the conduct o f
that wealth, the wealth itself is going
to sink us, and I believe the men who
are going to guide things rightly are
the trust men o f the United States.
I believe that the younger men who
are going into this work today can
visualize the greatest interest o f life
that can come to any group o f young
men, and the greatest responsibilities.
I f they will hitch their chariots to
the stars, if they will keep their prin
ciples fine, their efficiency good, and
their judgment sound, they are going
to have more to do with the permanent
happiness and permanent leadership
in this country than any group of
men that are coming along in the
world today, and they are going to
have more real leadership fo r good in
the world than any group o f men, I
believe, that has ever come up in the
world.
No More Fooling
F lora: “ Tomorrow is J a ck ’ s twen
ty-ninth birthday. ’ ’
Bertha: “ Are you going to give him
anything. ’ ’
F lora: “ Yes, I ’ll give him a good,
strong hint.”
July, 1928
’M
id
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o n t in e n t
B
47
a n k e r
G etting Business N ext
to N a tu re
(Continued from page 11)
as it adjoins the 18-hole Donald Ross
g olf course o f the Sedgefield Country
Club.
A number o f group bankers’
meetings have already been held at
Sedgefield.
In the construction o f their new home
the Pilot has given special attention to
every phase which might advance the
health and comfort o f the employes.
Use o f vitaglass, installation o f modern
ventilating equipment, boring o f 350
foot artesian well for drinking water—
these are indicative o f the desire to con
serve health to the fullest extent.
The Pilot Life is now operating in
twelve states and the District o f Co
lumbia. Assets have grown from $512,368 in 1907 to $10,830,933 in 1928. In
surance in force in 1907 amounted to a
little over $4,000,000, and now totals
$88,186,787. Total payments to policy
holders and beneficiaries since organiza
tion total $7,980,499.
T o Y ield — 5 Per Cent to 5.50 Per Cent
American Steel Car Lines, Inc,
eq u ip m en t T rust
Certificates
Series " B ”
5%
Principal and
dividends
to be
unconditionally
guaranteed
by endorsement by the
A M E R I C A N S T E E L C A R L IN E S , Inc.
IS S U E D
UNDER
THE
P H IL A D E L P H IA
PLAN
Maturities, 1929-1938
FIRST ILLINOIS COMPANY
B O N D S FO R IN V E S T M E N T
208 S o u t h L a S a l l e S t .
Chicago, 111.
Aurora
New York
Cities Service Co. Reports
mmrmm
Record N et Earnings
Cities Service Company’ s net earn
ings fo r the 12 months ended May 31,
1928, amounted to $31,954,769, a new
high record and a gain o f 14.66% over
the 12 months ended May 31, 1927.
Net earnings for May amounted to
$2,700,056 and were the largest for any
May in the Company’s history.
Net earnings fo r the 12 months were
equal to more than 1 2 times interest and
discount on the Company’s debentures.
Net to stock and reserves increased
$4,000,000 to $29,344,895, which was
4.31 times the Preferred Dividends as
against 3.84 times for the previous 12
months. Net to common stock and re
serves increased 20.89% to $22,544,893
and amounted to 26.18% on the average
amount o f common stock outstanding,
or $5.23 per share o f $20 par value
common stock.
This compares with
$18,648,171 fo r the previous 12 months,
which amounted to 23.35% or $4.67 per
share o f common stock then out
standing.
Coincident with the publication o f its
earnings statement Cities Service Com
pany declared regular monthly divi
dends o f one-half o f 1 % in cash and
one-half o f 1% in stock on the Common
stock and 50 cents on the Preferred and
Preference “ BB ” stocks, and 5 cents on
the Preference “ B ” stock, all payable
August 1 to stockholders o f record July
16.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
W H O L E S A L E
&
R E T A I L
D I S T R I B U T O R S
Background
A
R E A L Estate Loan reputation extending back to 1848 gives the Cody Trust
Company an enviable background of honor
able connections and unusually successful
accomplishment.
This experience, these
connections and this proven integrity as
sure you profitable service.
CODY TRUST COMPANY
105 South La Salle Street
Corner o f Monroe
Telephone, Randolph 6600
FirSl Mortgage Real Estate Bonds
Chicago
48
M
id
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o n t in e n t
B
a n k e r
Judd Urges Use o f Human Interest Copy
in Speech at A . I. B. Convention
The task o f making thrift and ac
counting interesting to the common
people was discussed at the Philadel
phia Convention o f the American In-
REPRESENTATIVES
IN
stitute o f Banking by Samuel Judd,
publicity manager o f the Mercantile
Trust Company, St. Louis.
In an address on the relation o f
21
PRINCIPAL
CITIES
PERMANENCE
Equitable first mortgage real estate
bonds are secured in every case by
income-producing improved real es
tate. Protection is as complete for the
small as for the large investor. For
years these bonds have been yielding
the highest rate o f interest consistent
with safety.
There is no other form o f investment
o f more permanent value. Bonds are
in denominations o f $ 1 0 0 — $ 5 0 0 —
$ 1000 .
U n d e r w r ite r s an d distribu tors o f first
m o r tg a g e r e a l e s ta te bon d s p a y in g
6% a n d Cd/zL. W r it e f o r y o u r copy,
o u r b o o k “ B u ild w ith E q u ita b le .’ ’
E q u ita b le ,
July, 1928
newspapers to the banking interests
before the bankers convention, he said
that bankers have but one sure way
to reach the people with arguments
in favor o f thrift and investment—■
the newspaper. He said banking ad
vertisements, to bring the most results,
must cast off the old theory of type
and figures in favor o f less sedate,
more interesting subject matter.
Newspapers in which banking ad
vertisements appear must be o f un
challenged integrity, he declared.
‘ ‘ Concerning the copy, use human
interest
whenever
possible.
‘ John
Smith came to us with a peculiar prob
lem ,’ will likely get more attention
than ‘ W e will help solve your prob
lems,’ and running a picture o f a child
with the line, ‘ I ’m just another reason
why someone must save’ will make a
bigger hit than the same picture with a
line above ‘saving for your children’s
future.’ People are interested in peo
ple and sentiment rules the world, and
if you will talk about people and in
ject just the proper touch o f senti
ment, not overdone, your copy will
be effective and different.
‘ ‘ The thing that bank advertisers
need is faith. They need the same
faith that the new savings customer
has when he opens a small account.
He doesn’t expect to open his account
one day and reap his reward the next
day, and neither can we expect to
advertise today and reap our reward
tomorrow. Rather, we must build up
the proud name o f our bank, the good
will, little by little, the same way he
must build his account.
“ It was not the advertisement we
ran yesterday that brought him in, but
all o f our accumulated efforts o f the
past. W e cannot offer the quick act
ing bargains o f the department store,
so we must build impression— impres
sion—-which is mostly subconscious,
and which will file itself in the back
o f the prospect’s mind, to come fo r
ward and do its work when he final
ly realizes the need o f financial service.
I f we have built that impression effec
tively the name o f our bank will pre
sent itself, unless he is strongly influ
enced otherwise.
“ So le t’s not advertise today and
expect great things tomorrow, but let’s
advertise today and tomorrow, and
keep at it, and expect great things
next year. And we can tell if we are
building well fo r public acceptance.’ ’
BOND & MORTGAGE CO.
EQUITABLE BUILDING - 180 W . W A SH IN G TO N ST.
C H IC A G O
TODD BUILDING- FOURTH A N D MARKET STS.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
LO U ISVIL LE , K E N T U C K Y
A. A. Jackson, president o f the Gi
rard Trust Company has been elected
chairman o f the Trust Company Divi
sion Committee o f the American Bank
ers Association 1928 Convention. This
Convention will be held in Philadel
phia next October.
W h y W a ter Com pany Bonds and Preferred Stock
H a ve Becom e Popular W ith Investors
I
NVESTM ENT
demand
for
water
company bonds and preferred stocks
has shown a most impressive growth,
especially in recent years. A survey o f
public utility financing during the first
quarter o f 1928 shows that the water
supply companies continued to figure
prominently in the offerings o f securities
and readily obtained new capital on
more favorable terms than ever before.
It is also noteworthy that comparable
water company securities, previously is
sued and bearing higher interest and
dividend rates, have steadily appreciated
in market value.
This tendency towards lower rates and
yields is not merely the result o f money
market conditions which have favored
new financing. It also testifies to the
rapidly growing investment demand for
bonds and preferred stocks o f water
companies having a record o f well-es
tablished and successful operation, es
pecially companies whose net earnings
reflect greater operating efficiency and
far-reaching economies effected through
consolidation and centralized manage
ment.
There are many reasons why water
company bonds and preferred stocks
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
By MILLER H . P O N T IU S
Assistant Vice-President,
G. L. Ohrstrom 8C Company, Inc.
“ Water is an every-day necessity,
absolutely essential to existence. De
mand for water is constant in good
times and bad, and steadily increases
with the growth of communities served.
The water supply industry is the old
est of public utilities, dating back to
earliest times; it is unique in that the
character and necessity of its produce,
and the underlying principles of oper
ation have remained, and will always
remain, unchanged. Plant and equip
ment of water works systems are vir
tually permanent; no property is more
durable, more nearly indestructible.”
have become very popular with investors
generally throughout the country, as a
study o f such securities will reveal.
In selecting securities for investment,
careful consideration should always be
given to certain fundamental factors,
such as safety o f principal, stability o f
------------ -
earnings, permanence of investment in
come, reasonable freedom from business
risks, and ready marketability. Water
company securities possess all o f these
essential qualities.
S
A F E T Y o f principal is o f prime im
portance to every investor.
An
analysis o f well-managed water supply
companies will show that property
valuation exceeds by a substantial mar
gin their entire outstanding funded in
debtedness. Most first mortgage water
bonds represent loans ranging from 60
per cent to 75 per cent o f the total value
o f the mortgaged properties, appraised
on the basis o f actual reproduction cost
less depreciation.
Such percentages
must be regarded as very conservative
from the investor’s standpoint.
Another important fact o f interest to
investors is that the greater part o f a
modern water company’s physical as
sets, consisting o f land, lakes, concrete
dams, reservoirs, filters, wells and under
ground water mains, are o f a most per
manent character and deteriorate very
slowly. Pumping and other machinery
also depreciate slowly and seldom have
to be replaced. Nevertheless, the best
■i
n.........
1 1 ...............- " - x
Complete Investment
Service
Private telephone and telegraph wires to all important
financial markets
F leidier Anierid«an Compomtjf
Affiliated with T
DETROIT
he F l e t c h e r A m e r i c a n N a t i o n a l B a n k
INDIANAPOLIS
LOUISVILLE
49
50
M
managed water companies make liberal
allowances fo r depreciation which are
ample to take care o f any property
deterioration under ordinary conditions.
An outstanding feature o f water com
pany earnings is their remarkable sta
bility. In no other industry are cor
porate earnings so little affected by
changes in general business conditions,
for the simple reason that water is in
dispensable; it always has been and
ever will be an everyday necessity. Even
in periods o f business depression there
is no appreciable falling off in water
id
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o n t in e n t
B
July, 1928
a n k e r
consumption, however much people may
economize in other directions.
N most states privately-owned water
companies are under the jurisdiction
o f public utility commissions or other
regulatory bodies. These authorities, as
is well known, are committed to the
firmly-established principle that water
companies, like other public utilities,
are entitled to a fair return on the value
o f their properties employed in render
ing service. Water companies, there
fore, are assured o f reasonable rates for
their service. Obviously, this in turn
assures a dependable income for hold-
I
Increasing you r Bank s
Prestige
It is not necessary to maintain an
expensive bond department of your
own to render a worthwhile invest
ment service. By offering bonds
recommended by The National City
Company you give your depositors
all the benefits of National City
world-wide investment contact and
knowledge of bonds and bond mar
kets. Thus you build up the pres
tige of your own institution.
Our special Bankers’ List will
help you develop a profitable bond
business without tying up your
hank’ s own funds. We will send it
The National City Company
National City Bank Building, New York
Offices in more than 50 leading cities throughout the world
-
SHORT
NEED ENVELOPES?
TERM
Write
H E C O — C H IC A G O
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Federal Reserve Bank of St. Louis
HE business o f furnishing water is
unique among industries in that the
character and necessity o f its product
and the underlying principles o f opera
tion have remained, and will always re
main, unchanged. Demand for water,
however, has constantly increased and
water companies have kept pace with
modern requirements.
Water company bonds and preferred
stocks have been extensively distributed
throughout the country by leading in
vestment houses, thus giving these in
vestments a ready market in all finan
cial centers o f the United States.
The more important reasons, there
fore, why water company securities are
so widely held by all classes o f investors
can be summarized as follow s:
T
regularly upon request.
BONDS
ers o f water company securities. In this
connection it should be noted that net
earnings o f well-established water com
panies are at least twice the interest
charges on their total outstanding fund
ed indebtedness, and frequently exceed
this ratio while after all deductions the
balances available for preferred divi
dends invariably show very substantial
margins over preferred dividend require
ments.
Operating ratios o f water companies,
especially those under the control and
management o f a central organization,
are exceptionally low. These ratios vary
according to the size o f communities
served, and the kind o f ' service em
ployed, whether a pumping system or a
gravity system. In large communities
where a pumping system is used the
operating ratio ranges from about 40
per cent to 60 per cent and for gravity
systems approximately 30 per cent to 50
per cent. These ratios compare with 60
per cent to 80 per cent or more in other
industries and with about 75 per cent
for all first-class railroads o f the United
States.
A development o f far-reaching im
portance in the water supply industry
is the tendency to combine local water
companies into large operating groups,
controlled and supervised by a central
organization, in order to bring about
greater operating economy and effi
ciency.
Such unified operation has
proved economically sound and bene
ficial both to water companies and to the
public. Among the principal advantages
resulting from centralized management
are reduction in overhead charges, avoid
ance o f costly duplication o f effort in
operating methods and engineering
practice, savings through group pur
chasing o f supplies and materials, stand
ardization o f accounting and auditing
methods, and simplification o f capital
structures. The latter especially is o f
interest to investors in water company
securities.
NOTES
-
ACCEPTANCES
E N V E L O P E S FOR BAN K S
HECO
ENVELOPE
Chicago, Illinois
CO.
J u ly, 1928
M
Water is an every-day necessity, abso
lutely essential to existence.
Demand fo r water is constant in good
times and bad, and steadily increases
with the growth o f communities served.
The water supply industry is the old
est o f public utilities, dating back to
earliest times; it is unique in that the
character and necessity o f its produce,
and the underlying principles o f opera
tion have remained, and will always re
main, unchanged.
This industry is exceptionally free
from competition and labor troubles.
Plant and equipment o f water works
systems are virtually permanent; no
property is more durable, more nearly
indestructible.
Operating ratios o f water companies,
especially those under centralized con
trol and supervision, are extraordinarily
low, ranging from 30 per cent to 60 per
cent.
Water companies’ earnings are re
markably stable in good times and bad;
no corporate earnings are so little a f
fected by general business conditions.
Water company securities represent
an industry o f the most basic and per
manent character— one that is unaffected
by changing conditions and changing
styles.
Net earnings o f well-managed water
companies approximate, and often ex
ceed twice their interest charges.
Valuation o f water company property
invariably exceeds by a substantial mar
gin the entire outstanding funded debt.
Most first mortgage water bonds rep
resent loans which are very conserva
tive, as compared with the total value o f
the mortgage properties, appraised on
id
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o n t in e n t
B
51
a n k e r
the basis o f actual reproduction cost
new, less depreciation.
Water company securities are readily
marketable in all the the principal fi
nancial centers o f the United States.
L ife Insurance Supreme as Promoter
Thrift
The insurance carried on American
lives equals nearly nine times the as
sessed valuation o f all property in New
York City.
It exceeds by nearly fifteen thou
sand million dollars the estimated to
tal wealth o f Prance.
It is three-fourths of all the life in
surance in the world.
I f distributed equally it would give
every person in the United States more
than $650.
It is the largest institution we have
fo r the systematic cultivation o f thrift
and the most useful.
You can save by other methods, but
most o f us d on ’t. L ife insurance pulls
us by the heart strings and makes us
do from a mingled sense o f duty and
shame what otherwise we might easily
forget.
It is, therefore, about the most use
ful type o f business activity in the
land. The men who promote it do an
invaluable service.— New York Amer
ican.
Jaded
travelers w il l'
find at either o f these two^5
hostelries a refined serenity o f at-'
mosphere, a haven invitingly luxurious in its^
tasteful appointments and tactful service. CL A tempo^
fary residence where many services in your behalf are efficient^?
yet unobtrusive. With a room or a suite at the White or
the Fifth Avenue you are located strategically
to almost everything in New York.
'o fe Z /
m viiirr
Lexington Avenue, corner 37th St. « LEXington 1200
few blocks from Grand Central
tTIFTH//ote/
AVENUE^
cor. 9th St. « STUyveaant 6410
At Washington Square
OSCAR WINTRA»
Vice-President Dawes is quoted : “ In
my experience as a banker hardly a
month has passed when I have not had
brought to my attention numerous in
stances where men left estates in such
debt that the savings o f a lifetime
would have been wiped out had it not
been fo r reliable insurance.”
R. H. COBB & COM PANY
Member
Saint Louis Stock Exchange
a n n ou n ce
the o p e n in g o f offices fo r the
Internationally Famous
H O T EL
ALEXANDRIA
tra n sa ction o f a g en era l b r o k e ra g e and
Los Angeles
in v estm en t b u sin ess in
will win your hearty approval
with Eppley service, central lo
cation and famous cuisine.
Stocks and Bonds
O FFICERS
R O B E R T H. COBB, President and Treasurer
C H R IS T IA N STOCKE, Vice-President
R U D O L PH A. BU ERM AN N , Vice-President
717-718 Liberty Central Trust Bldg.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
— and its balmy, summer
weather in midwinter.
Telephone, CHestnut 7841
Rates per day— Single,
European
75 rooms, private toilet, $2 to $3
380 rooms with bath, $3 to $4
245 rooms with bath, $5 to $8
For two persons, $3 up
Special Rates for Families and Parties
Convenient parking and
garage accommodations.
Reservations can be made through any
Eppley Hotel.
Alexandria Hotel Co.
E. C. Eppley, President
Charles B. Hamilton, Managing Director
52
M
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o n t in e n t
B
J u ly, 1928
a n k e r
Missouri Bankers Announce Winners o f
State-W ide School Essay Contest
HE winners o f 31 cash prizes in
the state-wide school essay con
test on “ Banking” conducted by the
Missouri Bankers Association have
been announced by officers o f the A s
sociation. In all 187 essays were sub
mitted, representing all sections o f the
state.
A total o f $240 was awarded, four
prizes o f $25 each among the high
T
SHORT
TERM
and grammar schools and three prizes
in each o f the eight groups, or districts,
into which the state was divided. In
one district— Group 2— only two manu
scripts were submitted.
Neither o f
these qualified fo r first prize, so they
were awarded second and third prizes.
In Groups 1 and 4, three tied fo r third
prize and each was awarded the full
amount.
INVESTMENTS
FOR
BANKS
sh term
UR
obligations
havebeenpur
chased by more than-> 6, ooo
banks in the United States.
G en eral M otors
A cceptan ce C o r po r a tio n
Executive Office * BROADWAY at 57JH ST - New York City
Capital, Surplus & Undivided
Profits . $52,156,000
Registered Mail Envelopes
Bankers’ Safety Envelopes
HECO
ENVELOPE
Chicago, Illinois
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
CO .
The essays were based on inform a
tion about banking given by 600 speak
ers recruited chiefly from the ranks o f
bankers, business men and school
teachers throughout the state.
Winners o f the grand prizes o f $25
each were: Lyman E. Fourt, Vandalia
High School, Vandalia, Audrain Coun
ty, Group 5 ; Nettie Dalbey, Alanthus
High School, Alanthus, Gentry Coun
ty, Group 3; David Curry, Longwood
School, Longwood, Pettis
County,
Grade 7, Group 4 ; Pearl Scott, Martha
Letts School, Sedalia, Pettis County,
Grade 8, Group 4.
The group prizes were awarded as
follows, the first prize in each case be
ing $10; the second, $5, and the third,
$2.50 : Group 1 : First P riz e : Margaret
S. Brown, Frankford High School,
Frankford, Pike County;
Second:
Chester
Barrow,
Granville
Grade
School, Paris, Monroe County; Third:
Cleo Bowling, Granville High School,
Lentner, Shelby C ounty; T hird: Okie
Rudsell, K nox High School, K nox City,
K nox County; Third: J. Albert Keith,
Edina Public School, Edina, Knox
County.
Group 2 : F irst: None awarded; sec
on d: Mae Kent, Utica Grade School,
Utica, Livingston County.
Group 3 : F ir s t: Lorene Hopper, F or
est City High School, Forest City, Holt
County; Second: Rogers Booth, Cainsville High, Cainsville, Harrison Coun
ty ; Third: Edward Gilchrist, Parkville Public School, Parkville, Platte
Co.
Group 4 : F ir s t: J a m e s Trogdon,
Urich High, Uricli, Henry C ounty; Sec
ond : Freida Rucker, DeW itt High, DeW itt, Carroll County; Third: Walter
Harris, Jefferson Grade, Boonville,
Cooper County; Third: Charles Per
Lee, Liberty High School, Liberty, Clay
County; Third: Earlene Jenkins, Grade
School, Nelson, Saline County.
Group 5 : F ir s t: Louise Griffing, F lor
ence High, Florence, Morgan County;
Second: Mary Nan Johnson, Jefferson
Jr. High, Columbia, Boone County;
T hird : Herbert Kamper, Rose Bud,
Gasconade County.
Group 6 : F ir s t: Gertrude Richter,
Altenburg Grade, Altenburg, Perry
C ounty; S econd: Flora Seibel, Alten
burg High, Altenburg, Perry County;
T h ird : Edgar Degenhardt, Altenburg
Grade, Altenburg, Perry County.
Group 7: F ir s t: V irgil H. Garbee,
Billings High, Billings, Christian Coun
ty ; Second: Helen Stegner, Billings
High,
Billings,
Christian
County;
T h ird : Dorothy Napper, Billings High,
Billings, Christian County.
Group 8 : F ir s t: Helen Mary Hessee,
Cassville High, Cassville, Barry Coun
ty ; Second: Sara C. Jeffries, Cassville
HECO
ENVELOPE
Chicago, Illinois
C O.
J u ly, 1928
High, Cassville, Barry County; Third:
Mildred Collins, Cassville High, Cass
ville, Barry County.
The contest was in charge o f the
Committee on Education and Public
Relations o f the Missouri Bankers A s
sociation. Walter B. Weisenburger,
form er vice-president o f the National
Bank o f Commerce in St. Louis but
now president o f the St. Louis Cham
ber o f Commerce, was chairman o f the
committee and was assisted by W. C.
Brown, secretary-treasurer Security
Trust Company, M acon; C. C. Chand
ler, president First National Bank,
Cassville; Howard Cook, vice-president
Central Missouri Trust Company, J e f
ferson City; and E. E. Morris, treas
urer Fidelity Savings Trust Company,
Kansas City.
Knoxville Bank Establishes
Small Loans Department
Establishment o f a small loans de
partment o f Holston-Union National
Bank, Knoxville, Tenn., through which
patrons would be permitted to repay
loans in weekly, semi-monthly and
monthly installments over periods of
six, twelve and eighteen months, has
been announced by president J. Basil
Ramsey.
It is proposed to have the new de
partment in operation on or shortly
after July 1 with an experienced man
ager in charge. Regular interest rates
would be charged and no fees or fines
as service charges to be imposed, Mr.
Ramsey said. Loans through this de
partment would be made on approved
endorsements, as master note written
for the period o f the loan to secure it
and against which weekly, semi-monthly
or monthly releases or receipts for the
amount o f the installment would be is
sued as retired.
“ It is not a new proposal in banking
circles,” Mr. Ramsey said, “ as it has
been successfully tried out in a number
o f the large cities o f the country. In a
great many instances the system has
been found to work the additional ad
vantage o f encouraging thrift and the
opening o f savings accounts when the
small loans are paid off. In a large
sense it means an additional spur to
business in this day o f installment or
spaced credit buying.”
First Illinois Company N ow
Has N ew York Office
The First Illinois Company, under
writers and distributors o f investment
securities, with offices in Chicago and
Aurora, Illinois, has opened a New York
office at 52 W all Street, in charge of
J. M. Mulford, who for the past ten
years has been connected with some of
the larger houses on Wall Street.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
M
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B
53
a n k e r
Banker Tells Experiences in
Book Called ''G rief”
“ Grief” is the title o f the new book
that has been causing considerable com
ment in the banking world during the
past few weeks. Written by Leo F.
Schmitt, o f Bellevue, Iowa, it outlines
his experiences o f eighteen years as a
middle western country banker and is
designed to pass on to bankers the ex
periences o f these eighteen years in the
hopes that the information will be of
benefit.
Mr. Schmitt, the author, is at present
engaged in assisting the Iowa Banking
Department in checking over the assets
o f a bank o f which he had charge from
January 1, 1920, to the date o f its clos
ing, February 14, 1928. He not only
tells o f his banking experiences while
connected with this bank, but goes into
detail from the day he started in sweep
ing out banks until the present time.
In speaking o f his book, Mr. Schmitt
says: “ I believe I am the first banker
to tell his story o f romance and tragedy
in book form, covering hundreds o f
situations that every banker would be
interested in— situations portrayed in a
Offering Safeguards
to Protect H oldings
“ Service after the Sale” is a principle which
dominates the entire organization of A . C.
ALLYN
and
COM PANY.
Our interest
extends beyond the mere sale of securities
I
I
to the more constructive side of investing—
namely, the constant supervision of invest
ment accounts, through which the most prof
itable return is achieved on invested funds.
1
Our Department of Economics and Surveys
is especially well equipped to check periodi
cally the holdings of banks and individuals,
to supply investment counsel to banks and
corporations which invest their reserves in
bonds, or to give merchants and manufac
turers independent surveys of their specific
industries.
W e invite you to engage the facilities of
I
I
this Department.
Y
■It
Our new booklet, " A Valuable
Aid to Banks and Investors’
'will be sent free on request.
I
Ask fo r A H -5.
A.C.ALLYNandcompany
Incorporated
1
In vestm en t Securities
National Bank o f Commerce Building
ST. LOUIS
C H ICAGO
NEW YORK
BOSTON
DETROIT
MILWAUKEE
MINNEAPOLIS
I
PHILADELPHIA
SAN FRANCISCO
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
54
July, 1928
M id -C o n t in e n t B a n k e r
Listed
Bonds
manner that makes 313 pages o f the
most interesting banker’s reading matter
you ever read. I know you will be glad
to have the information to use in your
capacity as an executive o f your bank.
“ In my book I write plain— don’t
hesitate to write what I think o f Bank
Examiners, the Federal Reserve System,
Scandal-mongers, W ild Cat Stocks, the
Iowa Farm situation and dozens o f
other equally interesting topics.”
The book is being sold direct and may
be obtained by sending five dollars to
Mr. Schmitt at Bellevue, Iowa.
Bank Will Broadcast Series of
We
are
prepared
to
furnish accurate quota
tions, and prompt execu
tions of buying or sell
ing
orders
for
listed
bonds.
The experience acquired
during our fifty years in
the investment field is
also at the disposal of
our clients.
Radio Talks on G olf
A weekly series o f radio talks on
g olf and golfers has been inaugurated
by the Union Trust Company o f De
troit for the summer months. These
talks will be presented each Tuesday
evening over station W JR by a man
who is one o f the best known g olf pro
fessionals and architects in the United
States, W ilfrid Reid, o f the Indianwood G olf & Country Club, Orion,
Michigan.
Mr. Reid came to the United States
in 1913, after a golfing career in Eng
land and on the Continent in which he
won almost every major professional
tournament. He served on the execu
tive committee o f the Professional
Golfers Association o f America for
seven years.
Mr. Reid’s talks will present the
fundamentals o f golf. The subject of
the first one will be “ How to Address
a Golf Ball Correctly and W h y ” and
the course o f lessons will continue
through the normal use o f each club to
advanced golf.
Money Earning
and
Money Saving
Bank Equipment
Complete Electrical Bank Protection
Electrical Chime Clock Systems
The Automatic After Hour Depository
The Vault Ventilator
M ade by
MASTER BUILDERS
in t h e fa c t o r ie s o f
O. B. McCLINTOCK CO.
T h e L argest a n d M o s t C o m p le te
O rg a n iz a tio n o f its K in d in t h e W orld
*
MINNEAPOLIS, MINN.
If You Can
Answer
These Questions
— and answ er them co rre ctly y o u r in vest
m ent profits w ill show im m ediate im
provem ent.
Francis, Bro.
& Co.
Investment Securities
Fourth & Olive Streets
ST. L O U IS
Kennedy
Building
TULSA
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The Largest Hotel in Kansas City
offers the Lowest Rates of Any
Hotel of its Class in America.
45 Rooms . . . . $5 and $6
85 Sample Rooms $4 to $7
( 1) Is the trend o f stock prices up— or
down?
( 2 ) Is this a tim e to buy
stocks; w hat stocks?
or
( 3 ) A r e lon g or short term
best investm ent now ?
bonds the
to
sell
or, i f you desire,
a luxurious suite.
T h e coupon is fo r y o u r convenience in
securin g au th oritative in form ation .
If
the answ ers .to these questions interest
you clip it now. T h e re is no obligation.
BROOKMTRE
ECONOMIC SERVICE, Inc.
&
A Pos tc ar d will
A ssure Y ou r
R eservation .
KANSAS
v*
1 ■' 1
C IT Y ,
D IR E C T G A R A G E
C O N N E C T IO N S
^ M IS S O U R I
"'jtffixr»1-------
■ ""v
15 W est 45 th Sc, New York
Please send fre e B u lletin M .B .
N am e
.....................................................................
A dd ress
.................................................................
Advertise in the
Mid-Continent Banker
July, 1928
M
id
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B
o n t in e n t
55
a n k e r
St. Louis Stock Exchange
Boston Postal Service
Station
OFFICIAL QUOTATIONS
Bank Stocks
Par
Value
100
Boatmen’ s Bank ....................................
100
First National B ank...............................
100
M erchants-Laclede N at’l ........................
100
N at’l Bank of Com m erce......................
100
U nited States B ank...............................
Trust Company Stocks
100
Franklin-American T r u s t................... •
100
M ercantile T r u st......................................
100
Mississippi V alley T r u st......................
100
St. Louis U nion T r u s t........................
Street Railway Stocks
No
Par
St. Louis Pub. Serv., P f d . . . ............
No Par
St. Louis Pub. Serv., Com ...................
Miscellaneous Stocks
20
A loe Com .......................................................
100
Aloe P fd .........................................................
N
o
Par
Bentley Chain Stores.............................
N o Par
Best Clymer Com pany...........................
N o Par
B oyd-W elsh
S h o e....................................
100
Brown Shoe, P fd ......................................
100
Brown Shoe, Com....................................
N o Par
Burkhart, P r ef...........................................
N
o
Par
Burkhart, Com ...........................................
100
Century Electric C o...............................
25
Chicago R y. Equip., P fd .....................
100
Corno M ills C o..........................................
$1.00
Coca-Cola Bot. Sec.................................
100
Champion Shoe M chy, P f d ..............
N o Par
E. L. Bruce, C om ....................................
100
E. L . Bruce, P fd ....................................
100
Elder M fg ., 1st P fd ...............................
100
Emerson Electric, P fd ..........................
100
Ely & W alker D ry Goods, 1st Pfd.
100
Ely & W alker D ry Goods, 2nd Pfd.
25
Ely & W alker D ry Goods, C o m ....
No Par
Elder, C om ..................................................
100
Elder, “ A ” ..................................................
No Par
Fred M edart M fg ., C om ......................
100
Fulton Iron W ork s, P fd .....................
No Par
Fulton Iron W ork s, C o m ...................
100
Globe-Democrat, P fd ...............................
25
H am ilton-Brow n S h o e..........................
100
H uttig S. & D ., P fd ...............................
No
Par
Huttig, S. & D ., Com ............................
100
Hydraulic Press Brick, P fd ..............
100
Hydraulic Press Brick, Com............
100
Independent Packing, P fd ...................
No Par
Independent Packing, Com.................
100
International Shoe, P f d ......................
No Par
International Shoe, Com .....................
No Par
Johansen S h o e . . ......................................
No Par
Johnson-S. & S. S h oe...........................
100
J. Schoeneman, P fd ...............................
No
Par
Koplar, P ref................................................
100
Laclede-Christy Clay Prod., P f d .. .
100
Laclede Gas Light, P fd ........................
100
Laclede Steel C o......................................
25
Landis M ach., C o m ................................
No
Par
M o.-Ills. Stores, Com ............................
25
M o. Portland Cem ent.............................
M oloney Elec., P fd .................................
Nat. Candy, 2nd P fd ...............................
N o Par
N at. Candy, Com ....................................
No Par
P edigo-W eber S h o e.......................... ..
No Par
Polar W a v e ................................................
R ice-Stix Dry Goods, 1st P fd .........
Rice-Stix D ry Goods, 2nd P fd . . . .
No Par
Rice-Stix D ry Goods, Com .................
Scruggs-V .-B . D . G ., 1st P fd .........
Scruggs-V .-B . D . G., 2nd P fd .........
25
Scruggs-V .-B . D. G ., Com ..................
No Par
Scullin Steel, P ref................ ................
Securities In v ., P fd .................................
N o Par
Securities In v., Com...............................
No Par
Sheffield Steel, Com ...............................
No
Par
Sieloff Packing, Com...............................
No Par
Skouras Bros., “ A ” ...............................
N o Par
Sm ith-Davis M fg ., Com ........................
No Par
Southern A cid & Sulphur, C o m ....
Southwestern Bell Tel., P fd ............
St. Louis Screw C o.................................
St. Louis Car, Com .................................
St. Louis Car, P fd ...............................
No Par
Stix-Baer & F u ller.................................
No Par
W agn er Electric, Com..........................
W agn er Electric Corp., P fd ..............
W abash T el., Sec....................................
M ining Stocks
Granite B i-M etallic..................................
No Par
Consolidated Lead & Zinc Co., “ A ”
1
10
00
0
1
10
00
0
1
0
0
100
100
10
00
0
1
1
0
100
10
00
0
1
10
E N V E L O P E S — for Every Purpose
H E C O — C H IC A G O
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
M onth’s Range Price
High
Low
June 20th
Sale Price
330
336
84
28
76
41 Vs
ii9 y 2
41H
19
21
80
52
174
325
306
180
130
192%
336
306
220
130
251
176
5
3106
5
215
540
335
475
215
560
337%
480
55
193
28
48
80 G
24
86
31
1232
6946
3 4 y2
104
76
22
40
119
45
20%
12
130
19
102%
40
103%
50
100
110%
109
117
91
29
30
80
25
78
15
117
18
98
21
' 79
4
103
17%
110
79%
39%
64%
97
52
100
106
225
45%
35%
104%
78
23%
43%
121
49%
23
16%
130
20
102%
47
105
52
100%
110%
229
60
1381
489
935
110
265
327
1340
1
25
47
1625
150
793
41
50
25
30
61
2687
470
210
150
2
520
28
2225
21
101
46
40
99
42
19
35
37%
115
19
36
38y2
10
2
21
78
79%
173%
33%
106
32%
70
17
39%
is %
36%
20
20
2
2
10
2
20
39 y
39%
118%
11914
30
61
106
105
78
Sales
M ay 21 to
June 20
Shares
40c
14%
no
118
91
30%
33
82
27
78
16
118%
28%
98
21%
81%
5
104
19%
112
85
40
65%
98
54
100
106
225
49
23
48
10
2
1
0
22
1%
%
10
22
2
40
39
115
82%
83%
19%
42
106
33
79
17
40
20
22
102
40
119%
24
33 3%
94%
107
105
42c
16
10
210
672
106
65
1340
323
8832
698
1706
20
1095
24
5
14
1075
600
20
3744
370
1782
945
3346
5
25
988
45
91
3295
5815
15
90
50
70
700
50
60
653
25
310
85
3247
23109
64
10
4500
1355
Bankers’ Safety Envelopes
HECO
ENVELOPE
Chicago, 111.
CO.
First Mortgage Ten-Year 5^2%
Sinking Fun d Gold Bonds
(closed issue) due July 1, 1938
T o yield about 5.50%
M ortgage Security Corpora
tion of America
First Lien 5
Gol d Bonds
due March 1, 1943
T o yield about 5.65%
Missouri-Kansas Pipe Line
Company
First Mortgage 6.50 Per Cent
Sinking Fund Gold Bonds
Series A, with Stock Purchase
Warrants due June 1, 1940
T o yield about 6.55%
East Prussian Power Co.
First Mortgage Sinking Fund
Gold Bonds, 6% Series, due
June 1, 1953
T o yield about 6.75%
Circulars on request
H.L.RUPPERT & COMPANY
MEMBERS S T LOUI S S TOC K EXCHANGE
INVESTMENT SECURITIES
< *□ 2
MAIN 1082
PINE
STREET
ST. LOUIS
MAIN 1082
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 V ICE
for
listed
bond
quotations
FA ST T H R O U G H
W IR E S
to New York and every
ot her
important
market
A C T IV E T R A D IN G DEPT.
to
furnish
tations
on
prompt
quo
any security
S T A T IS T IC A L D E P A R T M E N T
to furnish latest
any security or
data on
company
M O N T H L Y Q U O T A T IO N S H E E T
to list markets on many
inactive stocks and bonds
Your inquiries invited
Mark C.
Steinberg
& Co.
STOCK.
MEMBER8 C
Garfield 4600
Hotel
Boatmen’s Bank
Jefferson
Bldg.
ST. LOU IS
Members New York Stock Exchange
Members St. Louis Stock Exchange
56
M
id
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o n t in e n t
B
J u ly, 1928
a n k e r
/.
W e O ffer
a selected line of Preferred, Common
Stocks and Bonds
Specializing in —
I N V E S T M E N T T R U S T issues.
Correspondence is invited from
C o u n t r y Bank distributors.
L. Dowling N ow With Bank
o f America, N ew York
Jerre L. Dowling, well-known in
Southern banking and commercial cir
cles, a native o f Alabama and a gradu
ate o f West Point, lias been appointed
assistant vice-president o f The Bank of
America, one o f the largest banks in
New York. He will be associated di-
Elliott R. Couden Syndicate
ST. L O U IS , M ISSO U R I
1602-1603 Landreth Bldg.
Phone Garfield 3993.
A . B. Leach & Co., Inc.
Underwriters andDistributors
o f Investment Securities
Government
Municipal
Public Utility
Industrial
Private Wire Connections to Principal Cities
Security Building, St. Louis
CHICAGO
SAN FRANCISCO
NEW YORK
A Complete Banking Service
The Midland Bank offers exceptional facilities for the transaction
of banking business of every description. Together with its
affiliations it operates over 2400 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 Aquitania, Berengaria and Mauretania, and a foreign
branch office at 196 Piccadilly, London, specially equipped for
the use and convenience of visitors in London.
AMERICAN DEPARTMENT : POULTRY, LONDON, E.C.2
MIDLAND BANK
LIM ITED
JERRE L. DOWLING
Assistant Vice-President, Bank
America, New York
of
rectly with Elmore F. Higgins, vicepresident o f The Bank o f America, in
the handling and development o f its
Southern business.
Mr. Dowling was formerly assistant
cashier o f the Chemical National Bank
o f New York and for six years has
traveled widely throughout the South
as the bank’s representative.
The Bank o f America recently merged
with the Bowery and East River Na
tional Bank and the Commercial Ex
change National Bank o f New York, the
consolidated institution having capital
funds o f over $60,000,000 and resources
o f $400,000,000.
Bicket Elected Director of
Drovers National Bank
H. S. Bicket, manager o f Wilson &
Company, Packing Plant, Kansas City,
has been elected a member o f our board
o f directors o f the Drovers National
Bank, Kansas City.
Mr. Bicket stands very high in this
community and has had thirty years ex
perience in the packing business. He
has worked up in the ranks. As a side
line he operates two large farms and is
thoroughly posted on livestock and agri
cultural conditions in this section.
HEAD OFFICE: 5 THREADNEEDLE STREET, LONDON, E.C .2
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
“ Easy to learn, hard to master.” —
Chinese Maxim.
M
J u ly , 1928
id
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CURRENT
o n t in e n t
B
Q U O T A T IO N S
On a representative list of H I G H G R A D E
U T IL IT Y , IN D U S T R IA L ,
57
a n k e r
R A IL R O A D ,
P U B L IC
C A N A D I A N and F O R E I G N B O N D S
Furnished by CAMP, T H O R N E & CO., Inc., 29 South La Salle Street, Chicago
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Asked
Bid
Security
100%
Denmark, 5 % s , 1 9 5 5 ............................. 100%
103%
Denmark, King of, 6s, 19 4 2 ............ 1 03%
99%
9
9
%
Denver G. & E. Lt. Co., 5s, 1 9 5 1 ..
100%
Det. City Gas Co., 5s, 19 5 0 ............ 100%
103%
Detroit Edison Co., 5s, 1 9 4 9 ............ 1035%
99
Dominican Republic, 5 % s , 1 9 4 2 .. 9 8 %
1013%
101%
Duquesne Lt. Co., 4 % s , 1967. . . .
103
102%
Dutch East Indies, 6s, 1 9 4 7 ............
993%
Edison Elec. Ilium ., 4 % s , 1 9 3 0 . . . . 993%
97%
Elec. Pr. Corp., (Germ any) 6 % s , 1950 97
983%
98%
Finland, Rep. of, 6s, 1945 .................
95 3%
Fla. Pr. & Lt. Co., 1st, 5s, 1 9 5 4 .. . 955%
101
Ft. W orth Pr. & Lt. Co., 5s, 1931 iooy2
107%
France, 7s, 1949...................................... ,107
94%
General Elec. Co., 3 % s , 19 4 2 ........... 943%
993%
,
9
9
%
Gen. M otors Acc. Corp., 5s, 1 9 2 9 ..
101%
General Pet. Corp., 5s, 1 9 4 0 .............1013%
99%
Ga. & Alabama R y., 5s, 1 9 4 5 . . . . 99
99
Georgia P. Co., 5s, 19 6 7 ......................, 983%
1013%
Georgia Ry. & El. Co., 5s, 1 9 3 2 ...101
1
06%
.1
0
6
%
German, 7s, 1 9 4 9 . . ...............................
99%
German Cen. A gr. Bk., 7s, 1 9 5 0 .... 99
985%
German Con. M un. Loan, 7s, 19477 9 8 %
120%
German Ge. Elec. Co., 6 % s , 1 9 4 0 ...120
905%
Goodyear T . & R ., 5s, 195 7 ............. 9oy2
1053%
Grand Trunk W est. R y., 6s, 1936..1 0 5 %
98%
Grt. N or. Ry. Co., 4 % s , 197 6 ........... 983%
100%
Great W estern Pr. Co., 5s, 1 9 4 6 .. 100%
973%
Greek Gov’t, 7s, 1 9 6 4 .......................... • 9 7 %
100%
Gulf Oil Corp., Pr., 5s, 1 9 4 7 .............1 0 0 %
100%
H aiti, Republic, 6s, 1 9 5 2 .......................1003%
97%
.
9
7
%
Hamburg, Germany, 6s, 194 6 ..........
1013%
Hocking Valley R. R ., 4 % s , 1999..1 0 1 %
1 06%
H udson Co. Gas Co., 5s, 1 9 4 9 . . . ..1 0 6 %
1 01%
Humble Oil & Refg. C o., 5 % s , 1932..1 0 1 %
1013%
Hungary, Kingdom , 7 % s , 1 9 4 4 . . . ..1 0 1 %
99%
H ungary, M unicipal,, 7 % s , 1 9 4 5 ..• 993%
101%
Idaho Power Co., 5s, 194 7 ..................1 0 0 %
1045%
111. Bell Tel. Co., 5s, 1958..................1 0 4 %
100%
111. Cent. R y., 4 % s , 1 9 6 6 ................. 100%
98%
111. Pr. & Lt. Co., 5s, 19 5 6 ............ . 973%
98%
111. Steel Co., 4 % s , 19 4 0 .................... 983%
101%
Ind. Mich. Elec. Co., 5s, 1 9 5 5 . . . ..101
99%
Ind. Pr. & Lt. Co., 5s, 1 9 5 7 ............. 993%
91%
Inland Steel Co., 4 % s , 1 9 7 8 ............. 913%
995%
Internat. Paper Co., 5s, 19 4 7 ............. 991/2
96%
Internat’l Ry. C. A ., 6 % s , 1947. . 963%
96%
Interstate Pr. Co., 5s, 19 5 7 .............. . 965%
98%
Iowa Pub. Serv. Co., 5s, 1 9 5 7 . . . .. 9 7 %
99%
Italy, 7s, 1951....... ................................... . 99
1023%
Japanese Gov’t, 6 % s , 19 5 4 ..................1 0 2 %
103%
Jones & Laugh. Steel, 5s, 1 9 3 9 . . . ..1 0 3 %
102%
K . C. Pr. & Lt. Co., 5s, 1 9 5 2 ...........1 0 2 %
995%
K . C. Southern Ry. Co., 5s, 1 9 5 0 ... 9 9 %
100%
.
9
9
%
Kansas Elec. Pr. Co., 5s, 1 9 5 1 .. .
103
Laclede Gas Lt. Co., 5s, 1934. . . .1
. 02%
99%
■ 995%
1943%
.1 0 4 %
91%
Ldrillard Co., 5s, 195 1 ..................... . 91
95%
L. & N . R. R. Co., 4s, 19 4 0 .......... . 95
1043%
Louisville G. & E. Co., 5s, 1 9 5 2 .. .1 0 4 %
104%
Louisville Lighting Co., 5s, 1953. .1 0 3 %
100%
.1 0 0 %
Lyons, City of, 6s, 1 9 3 4 ...............
98
Maine Cent. R. R ., 4 % s , 1 9 3 3 .. . . 9 7 %
.1013%
101%
Manitoba Power Co., 5 % s , 1 9 5 1 ..
995%
M ass. Gas Co., 4 % s , 1 9 3 1 .............. . 993%
100%
Mich. Cent. R. R. Co., 5s, 1 9 3 1 .. .1 0 0 %
100%
.100
M id. Steel & Ord. Co., 5s, 1936.
99%
Milwaukee Gas Lt. Co., 4 % s , 1967 . 9 9 %
101%
Minnesota Pr. & Lt. Co., 5s, 1951 .101
883%
M inn., St. P. & S. S. M . Ry., 4s, 191
101%
M iss. Riv. Pr. Co., 5s, 1 9 5 1 ......... .101
88%
.
885%
M o. Kas. & T. R. R ., 4s, 1990. . .
99%
M o. Pac. R. R., 5s, 19 7 7 ................. . 99
1023%
Montana Power Co., 5s, 1 9 4 3 . . . . .1 0 2 %
102%
M ontevideo, (U ruguay) 7s, 1952. .102
99%
Montreal, (Canada) 4 % s , 1 9 4 6 .. . 9 8 %
87%
.
87
M orris & Co., 4 % s , 19 3 9 .................
105
Mutual Fuel Gas Co., 5s, 1 9 4 7 ... .1 0 4 %
100
Narragansett Co., 5s, 1 9 5 7 ............ . 9 9 %
104%
National Tube Co., 5s, 1 9 5 2 ......... .1045%
101
Netherlands, 6s, 19 5 4 ........................ .1 0 0 %
100%
New Brunswick, (C an.) 4 % s , 191 8 9 9 %
1013%
New Eng. G. & E. Co., 5s, 1947. .1 0 1 %
101
N ew Eng. Tel. & Tel. Co., 4% s,.1961 .1 0 0 %
103%
Newfoundland, 5 % s , 194 2 ............ .103
91%
N . Orleans Term . Co., 4s, 1 9 5 3 .. . 913%
OO
OO
00
Security
Bid
Asked
Alabama Pr. Co., Ss. 19 5 1 .................101 ^4
10214
Alberta, (Canada) 4 % s , 19 5 6 .......... 9 6 %
97%
Am er. Chain Co., 6s, 1933.................1 02%
102%
American Radiator, 4 % s , 1 9 4 7 . . . . 9 8 %
98%
Am er. Roll M ills Co., 5s, 1 9 5 8 . . . . 9 6 %
96%
Am er. Smelt. & Refg. Co., 5s, 1 9 4 7 .1 0 0 %
101
Am er. Sugar R efg. Co., 6s, 1937. .1 0 3 %
1 03%
Am er. Tel. & T el., 4s, 1 9 2 9 ............ 9 8 %
99
Am er. Tel & Tel. Co., 5s, 1 9 6 0 ...1 0 5 %
105%
89%
Am er. Tobacco Co., 4s, 1951............ 8 8 %
Anaconda Cop. M in. Co., 6s, 1953 104%
104%
Appalachian Elec. Pr. Co., 5s., 1956 9 8 %
99%
102%
Appalachian Pr. Co., 5s, 1 9 4 1 ..........1 0 1 %
Argentine 6s, 19 5 8 ................................. 9 9 %
99%
Associated Oil Co., 6s, 1 9 3 5 ............. 1 0 2 %
102%
Atch. Top. & S. Fe R y., 4 % s , 1962 9 9 %
100%
A tl. Coast Line R. R., 4s, 1 9 5 2 .. . 8 8 %
89%
97%
Australia, 5s, 1955.................................. 9 7 %
Austrian, 7s, 1943...................................103%
103%
Baden Consol. M un ., 7s, 1951 .......... 9 8 %
99
Bald. Loco. W k s ., 5s, 1 9 4 0 ..............107
107%
B. & O. R. R ., 5s, 2 0 0 0 ....................... 1 0 1 %
101%
98
B. & O. R. R ., 4 % s , 19 3 3 ................. 9 7 %
Batavian Pet. Co., 4 % s , 1 9 4 2 . . . . 9 2 %
92%
98
Bavaria, Germany, 6 % s , 194 5 .......... 9 7 %
Belgium, 6s, 19 5 5 ..................................... 100%
1 00%
Bell Tel. Co., Canada, 5s, 1 9 5 5 .. . 1023% 102%
Bell Tel. Co., Penn., 5s, 194 8 ......... 105
105%
Berlin (Germ any) 6 % s , 1 9 5 0 ............ 9 8 %
98%
Berlin E. E. & U nd. R y s .,6 % s , 1956. 94
94%
Beth. Steel Corp., 5s, 1 9 3 6 ..................1005%
1 00%
Birmingham Ry. Lt. & P r .,4 % s , 1954 9 5 %
96%
Birmingham W . W k s ., 5s, 1 9 5 4 .. . 9 9 %
99%
Brazil, 6 % s , 1 9 5 7 .................................... 9 6 %
96%
Bremen, (Germ any) 7s, 1935............. 1 0 0 %
1 00%
Brisbane, Australia, 5s, 19 5 7 ............ 9 3 %
93%
British Columbia, 4 % s , 1951 ............ 9 6 %
97%
Brooklyn Borough Gas, 5s, 1 9 6 7 .. 1 04%
104%
104%
Brooklyn Edison, 5s, 19 4 9 .................. 1 0 4 %
Brooklyn U nion Gas, 6s, 1 9 4 7 . . . . I l l
111%
Buenos A ires, 6 % s , 1 9 5 5 .................... 1 0 0 %
1 00%
Buenos A ires, Prov., 7s, 19 5 2 ...........1 01%
101%
Buffalo Gen. Elec. Co., Ss, 1 9 3 9 .. . 104%
105
Bush Terminal Bldg., 5s, I 9 6 0 . . . . 1 0 2 %
102%
Butte Electric Pr. Co., 5s, 1 9 5 1 .. . 1 0 4 %
1 04%
Calif. G. & E. Co., 5s, 1937............. 104%
104%
Calif. Pet. Corp., 5 % s , 1 9 3 8 ............ 1 00%
101
Canada, 4 % s , 193 6 ................................ 9 9 %
99%
Canad. N at’l Ry. Co., 4 % s , 1 9 3 0 .. 9 8 %
99
Canad. Pacific R ys., 4 % s , 1 9 4 6 .. . 9 9 %
99%
Carolina Pr. & Lt. Co., 5s, 1 9 5 6 ...1 0 0 %
100%
Cent, o f Ga. R y., 6s, 1929............... 100%
100%
Cent, o f Ga. R y., 5s, 194 5 ................103
103%
Cent. 111. Pub. Serv., 5s, 1 9 4 3 . . . . 9 0 %
91%
Cent. 111.
Pub. Serv., Ss, 1 9 5 6 ............ 100
100%
Cent. N . Y . Gas & E. Co., 5s, 1941.105
105%
Cent. Pacific R y.. 5s, 196 0 ..................1 0 1 %
101%
Cent. Pr. & Lt. Co., 5s, 1 9 5 6 ......... 97
97%
C. & O. Ry. Co., 5s, 1 9 2 9 .................100
100%
C. B. & Q. R. R ., 4s, 19 4 9 ................. 9 4 %
95
C. C. C.
& St. L. R. R ., 6s, 1 9 2 9 .. 1 00%
1 00%
C. C. C.
& St. L. R. R ., 5s, 1 9 2 9 ..1 0 0
100%
C. C. C.
& St. L. R. R., 5s, 1 9 6 3 ..1 0 2 %
102%
C., M il. & St. P. R y. Co., 4s, 1989. 8 8 %
88%
C. & N or. W est. R y., 4y2s, 2 0 3 7 .. 983%
98%
C. R . I. & P. R. R., 4s, 1934.......... 9 3 %
93%
Chgo. U nion Stat. 4 % s , 19 6 3 ____ 1 00%
101
Chile, 6s, 19 6 0 ......................................... 9 4 %
94%
Chile M tge. Bank of, 6 % s , 1 9 5 7 .. 9 6 %
96%
Cincinn. St. R y., 5 % s , 19 5 2 ............ 100
100%
Cities Service Co., 5s, 1 9 6 6 ............... 9 6 %
97
Clev. U nion Term ., 5s, 1973............ 103
103%
Cologne, (Germ any) 6 % s , 1 9 5 0 .. . 9 6 %
96%
Colombia, Rep. of, 6s, 19 6 1 ............... 9 1 %
91%
102y2
Colorado Pr. Co., 5s, 1953........... . . 1 0 1 %
Columbia Gas & Elec., 5s, 1 9 5 2 .. . 9 8 %
99
Columbus Ry. Lt. & Pr., 4y2s, 1957 9 3 %
93%
Commonwealth Ed. Co., 4 % s , 1956 9 9 %
100
Conn. Lt. & Pr. Co., 4 % s , 1 9 5 6 .. 9 9 %
99%
Cons. Gas, N . Y „ 5 % s , 19 4 5 ..........1 0 5 %
105%
Consol. H ydro-E l. U.; W u rt,7s, 1956 99
99%
102%
Consumers Pr. Co., 5s, 19 5 2 ............ 1 02%
Copenhagen, (Denm ark) 5s, 1 9 5 2 .. 9 6 %
96%
Costa Rica, 7s, 19 5 1 ............................. 9 7 %
97%
Cuba Railroad, 5s, 1952...................... 9 9 %
99%
Czechoslovak, 8s, 1 9 5 1 ........................1 08%
109
Danish Con. M un. Loan, 5 % s , 1955 9 8 %
98%
Delaware & H udson Co., 4s, 1943. 9 4 %
94%
Asked
Bid
95
94%
100
, 99%
.1043%
104%
93%
' 92%
.1005%
100%
N . Y . Tel. Co., 4 % s , 1939.
104
.1 0 3 %
1 00%
.100
933%
. 935%
N or. Pac. Ry. Co., 4s, 1 9 9 7 ..
.1013%
101%
N or. States Pr. Co., 5s, 1941.
100%
,1
0
0
%
N orw ay, Kingdom of, 5 % s , IS
91%
. 91
Nuremburg. City of, 6s, 1952.
1003%
.100
Ohio Pr. Co., 5s, 19 5 2 ...............
1015%
.1
0
1
%
Ohio Riv. Edison Co., 5s, 1951
995%
, 99%
Ontario, Prov. of, 4 % s , 1 9 3 1 ..
102
,1 0 1 %
Ontario Power Co., 5s, 1 9 4 3 ..
983%
,
9
8
%
Oregon Sht. Line R. R ., 4s, 1
99%
. 995%
Oslo, Norw ay, 5 % s , 1 9 4 6 . . . .
102
.1
0
1
%
Pacif. Coast Pr. Co., 5s, 1940.
102%
.1023%
104%
.104
103
.1 0 2 %
Panama, 5 % s , 1 9 5 3 ......................
102%
.102
Penn. Edison Co., 5s, 1 9 4 8 ...
104
.1 0 3 %
Penn. R. R. Co., 5s, 1 9 6 4 . . . .
98%
1 98
Penn. Ohio & Det. R. R. 4 % s ,
1003%
.1 0 0 %
Penn. Pr. & Lt. Co., 5s, 1953.
1073%
107%
Peoples Gas Lt, & Coke C o., 5s, 1
103%
.1 0 3 %
Pere Marquette R y., 5s, 1956.
91%
. 91
Peru, 6s, 1 9 6 0 .................................
99%
. 99
1053%
.1 0 5 %
99%
Potomac Edison Co., 5s, 1 9 5 6 . . . . . 9 9 %
90%
Pressed Steel Car Co., 5s, 1933 . . .90
96%
Prussia, (Germ any) 6 % s , 1 9 5 1 .. . . 963%
98%
. 98
1135%
.1 1 3 %
104
.1 0 3 %
101
.1 0 0 %
98
. 97%
Rio Grande Do Sul, 7s, 1966.
107%
.1
0
7
%
Rio de Janeiro, 8s, 19 4 6 ..........
104
.1 0 3 %
1 00%
.1 0 0 %
100%
.1 0 0 %
101%
101%
.111
111%
Salvador, 8s, 1 9 4 8 ...............
101%
.1 0 0 %
San Joaquin Lt. & Pr., 5s, 195
1175%
.1 1 7 %
San Paulo, City, 8s, 1 9 5 2 . . . .
105%
.105
San Paulo, State, 8s, 1 9 3 6 . . . .
102%
.102
Saskatchewan, Prov., 5s, 1943.
102
.1 0 1 %
Sauda Falls Co., 5s, 1 9 5 5 . . . .
100%
.1 0 0 %
Saxon Pub. W k s ., 7s, 1 9 4 5 . . . .
95
7 94%
Shawinigan W tr. & Pr. C o .,4 % s ,
963%
•
9
6
%
Shell U nion Oil, 5s, 1947. . . .
100
• 99%
1015%
.1 0 1 %
94%
. 94
Sinclair Pipe, 5s, 1942............
99%
) 98%
Sixty-one Broadway Bldg., 5 % s
97%
•
973%
Solvay Am er. In v ., 5s, 1943.
100%
.1 0 0 %
1013%
101%
99%
. 99%
So. Pac. R y., 4s, 1 9 2 9 ............
89%
. 89%
Southern Ry. Co., 4s, 1956.
103%
.1 0 3 %
96%
. 96%
100
. 99%
Stand. M ill Co., 5s, 1 9 3 0 . . . .
101%
.101
Sun Oil Co., 5 % s , 19 3 9 ............
103
.1 0 2 %
Swedish Gov’t, 5 % s , 1 9 5 4 . . . .
1033%
.1 0 3 %
Swiss Gov’ t, 5 % s , 1 9 4 6 ............
101%
.101
Texas Pr. & Lt. Co., 5s, 1937.
.1 0 0 %
10 1%
Toronto, Canada, 5s, 1 9 3 4 ...
100
.
9
9
%
U nion Oil Co., Calif., 5s, 1935
945%
. 94%
U nion Pac. R. R ., 4s, 1 9 4 7 ...
.1045%
104%
U . K. Gt. B r., 5y2s, 1937-----. 925%
92%
97%
. 97%
99%
. 995%
Utah Lt. & T r. Co., 5s, 1944.
1 00%
.1 0 0 %
V a . Ry. & Pr. Co., 5s, 1 9 3 4 ..
104
.1 0 3 %
W abash R y., 5s, 197 5 .................
100%
.1 0 0 %
W ard (M ontgom ery) & Co., 5s, 1
103%
.1 0 3 %
W e st Penn. Pr. Co., 5s, 1946.
103%
.1 0 3 %
803%
. 805%
W estern M d. Ry. 4s, 1 9 5 2 ..
99 y2
W estern Pacif. R. R ., 5s, 1 9 4 6 ------ 9 9 %
99%
W estern U nion Tel. Co., 4 % s , 1950 9 9 %
103%
W esthse. Elec. & M fg. Co., 5s, 1944.103
98
W innipeg, (Canada) 4 % s , 1 9 4 6 . . . . 9 7 %
101
Yadkin River Pr. Co., 5s, 1 9 4 1 ... 1 00%
100
Youngstown Sheet & Tube, 5s, 1978 9 9 %
Security
New South W ales, 5s, 1 9 5 8 .. .
N . Y . Cent. Lines, 4 % s , 2013.
58
M
id
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o n t in e n t
B
a n k e r
J u ly, 1928
Union Trust Names Beck as
Southern Representative
Serving St. Louis and the
Great Southwest
Dewey M. Beck, Southern Repre
sentative o f the Union Trust Company
o f Chicago, is a real Southerner. He
was born in Virginia and raised in East
Tennessee. For four years he was con
nected with East Tennessee banks and
T H E history of this bank is a part
of the history of St. Louis and
the great Southwest.
Since 1847 the Boatmen’s has given
close attention to the requirements
of this territory.
Correspondent accounts are given
close attention and every possible
form of cooperation.
W e Solicit Y our Business on the
Basis of Eighty-O ne Years of
Successful Banking
DEWEY M. BECK
OFFICERS
J U L I U S W . R E I N H O L D T , President
LE
AARON
ROY
C.
BRYAN,
W A L D H E IM ,
EDGAR
Vice-President
J.
HUGO
Vice-President and Cashier
L. T A Y L O R ,
Vice-President and
Trust Officer
G R IM M ,
Vice-President and
Counsel
F. L E E M A J O R ,
Vice-President
ALBERT W AGENFUEHR,
Vice-President
C. C. H A M M E R S T E I N ,
Assistant Cashier
H . A L F R E D B R ID G E S ,
Assistant Cashier
RUDOLPH
FELSCH,
Assistant Cashier
O L IV E R
W . K N IP P E N B E R G ,
Assistant Cashier
left his position as assistant cashier o f
the Erwin National Bank, in his home
town, to return to school, graduating
from the school o f commerce, o f the
University o f Chicago, in 1924. He
served a year as executive secretary of
the Chicago Junior Association o f Com
merce before going with the Union
Trust Company. Mr. Beck is a great
booster o f the South and strong in his
convictions that his bank in Chicago can
render many valuable services to banks
and large corporations in the South.
International Life Sets N ew
Production Record
Capital - - $2,000,000.00
Surplus (Earned) $ 750,000.00
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
In celebration o f the largest volume
o f business ever produced in any one
month in the history o f the Interna
tional Life Insurance Company, officers
were hosts at a dinner dance held re
cently for the 365 home office em
ployees who aided so materially in es
tablishing a record o f $16,190,061 for
the month.
Members o f tvTo teams o f home o f
fice employes who were tied for produc
ing the largest volume o f business and
a team from the Toombs and Daily In
vestment Company o f Chicago were
guests o f honor.
A notable achievement o f the cam
paign was the receipt on May 31 o f
$3,290,570 o f business contained in 927
policies, thus creating a record o f the
lai’gest day’s business ever experienced
by the company.
J u ly, 1928
59
M id -C o n t in e n t B a n k e r
iM issouriBank
O F F I C E R S M I S S O U R I B A N K E R S A S S O C I A T I O N : P resid en t, A . A . Speer, presi
dent, F irs t N ational Bank, Jefferson C ity ; vice-president, F . B. B rad y, vice-president,
Com m erce T ru st Com pany, K an sas C ity ; treasu rer, E. N . V a n H orne, cashier,
A m erican N ational B an k, St. Joseph; secretary, W . F. K e y se r, Sed alia; assistant
secretary, E. P . N e e f, Sedalia.
G R O U P C H A I R M E N : 1— W . L . W e a ve r, cashier, H annibal N ation al B an k, H annibal;
2— E. C. B row n lee, cashier, B row n lee B an kin g C om pany, B rookfield: 3— C. S.
Ber-ndt, cashier, F arm ers S tate B an k, S tan b e rry ; 4— F . C. B a rn h ill, cashier, W o od &
H uston Bank, M arsh all; 5— N . S. M agru d er, president, Savin gs T ru st Com pany, St.
L o u is; 6— L . C. Leslie, cashier, F irst N ational Bank, O ra n ; 7— Chas. F. E llis, cashier,
C itizen s’ B an k, M arshfield; 8— Otto W . C ro y, vice-president, C onqueror T ru s t C om
pany, Joplin.
G R O U P S E C R E T A R I E S : 1— V . J. H ow ell, cashier, K irk sv ille Savin gs B an k, K irk sv ille ;
2— Jam es M. Sm ith, cashier, Osgood B a n kin g C om pany, Osgood; 3— J. E. Barnes,
cashier, Round P ra irie Bank, F illm o re; 4— J. E. H u rley, cashier, Sedalia N ational
Bank, S ed alia; S— J. J. Gowm an, president, Peoples B an k, Bonne T e rr e ; 6— John M.
H im m elberger, secretary, M orehouse T ru st Com pany, M orehouse; 7—-W . S. P ettit,
'dce-pr s ci .nt. L nion N ational B an k. Springfield; £— U . S. K eran , cashier, Farm ers
State B an k, Lockw ood.
St. Francois County
Bankers Hold Meeting.
The St. Francois County, Mo., Bank
ers Association held their monthly
meeting' at the Bismarck Hotel, Bis
marck, Mo.
Visiting bankers from
Washington, Madison, Iron and Ste.
Genevieve counties were present and
participated in the deliberations o f the
meeting. Claude A. Eaton, o f the
United States Bank o f St. Louis, was
the speaker o f the occasion.
Parkville Bank
Remodels Building.
The work o f redecorating and over
hauling the bank building at First and
East streets, Parkville, Mo., is under
way. It will be occupied by its new
owners, the Farmers Exchange Bank,
as soon as the work is completed.
Greenfield Bank
Elects New Officers.
A t the annual stockholders’ meeting
o f the R. S. Jacobs Banking Company,
Greenfield, Mo., the follow ing were
elected directors: J. L. Wetzel, David
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Higgins, Ben M. Neale, Wm. 0 . Rus
sell, J. C. Shouse, R. P. Murphy, H or
ace Howard, L. M. Hall and Ed J.
Howard. The board o f directors elect
ed officers fo r the ensuing year, as
follow s: president, Ben M. Neale; ac
tive vice-president, J. L. W etzel; cash
ier, Ed J. H ow ard; assistant cashiers,
L. M. Hall and R. H. Merrill, secretary
o f the board, R. H. Merrill.
Two Perry
Banks Consolidate.
The thirty-seventh bank consolida
tion in Missouri has been announced
by S. L. Cantley, state finance commis
sioner, with the merging o f the Perry
Bank and the Peoples Bank, both of
Perry, Mo., into the Perry State Bank.
Hannibal Bank
To Have New Building.
The board o f directors o f the Han
nibal National Bank, Hannibal, Mo.,
has voted to erect a new three story
structure adjoining its bank building
on the north, at the corner o f Broad
way and Main streets.
W . F. K e y s e r
S e c re ta ry
Two Lexington
Banks Consolidate.
Formation o f a million-dollar bank
ing concern as a result o f the consoli
dation o f two o f the larger institutions
o f Lexington, Mo., has been announced
by S. L. Cantley, state finance com
missioner, who issued a charter to the
Lexington Savings Trust Company
which starts business with a paid-up
capital and surplus o f $75,000 and
total resources o f approximately $1 ,000,000. The new bank, the largest
in the city, is the result o f the merger
o f the Lafayette County Trust Com
pany which had assets o f $427,150.29
and the Lexington Savings Bank which
had assets o f $655,000.
Chariton County
Bankers Organize.
The Chariton County Bankers A s
sociation was formed recently at a
meeting held at Salisbury, Mo. The
follow ing officers were chosen: J. W.
Ingram, Salisbury Savings Bank, pres
ident; Thomas Hamilton, Bank o f Dal
ton, vice-president; D. T. Blake,
Successful Resistance
to A tta ck by
Torch, D rill or Explosive
B e a u ty
and
sy m m e tr y
of
refin em en t
of
d e sig n — are
finish.
e m b o d ie d
P e r fe ct
in
all
v a u lt eq u ip m en t b u ilt b y the
Herring-Hall-Marvin Safe Go.
The St. Louis office o f this company will furnish information and
plans free o f cost or obligation.
306-8 N. 4th Street
Phone CHestnut 7100
ST. LO UIS, MO.
60
Traders Bank o f Salisbury, secretary,
and P. T» O ’Reilly, Merchants Bank o f
Brunswick, treasurer.
New Bank
At Boonville.
A charter has been issued to the new
ly organized Old Trails Bank o f Boonvilie, Mo., incorporated to take over
the commercial banking department o f
the Farmers Trust Company o f Boon
ville. The new bank is capitalized for
$50,000 and has a surplus o f $10,000.
State finance commissioner, S. L.
Cantley, has approved o f the deal by
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
M
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B
J u ly, 1928
a n k e r
which the Farmers Exchange Bank o f
Parkville, Mo., takes over by pur
chase the First National Bank o f Park
ville.
The stockholders of the First Na
tional Bank and the Citizens National
Bank, Goldin City, Mo., have ratified
an agreement to consolidate the two
banks.
David W. Flowerree, 58, assistant
treasurer o f the Pioneers Trust Com
pany, Kansas City, died June 12.
The Twelfth Street Bank, Kansas
City, Mo., has announced the appo in t-
ment o f Ivan D. Rowe as assistant cash
ier and manager o f the bond depart
ment.
The Bank of Canton, Mo., has moved
into its newly remodeled quarters,
form erly occupied by the Farmers &
Merchants Bank.
W . E. Pollard, of Frankford, Mo.,
has been elected cashier o f the Bank
o f Whiteside, and has gone to that
place to take charge o f the bank.
At a meeting of the board of direc
tors o f the Merchants & Miners Bank,
Webb City, Mo., Earl Van Hoose was
elected cashier to succeed Everett
Hough, resigned, who is to become con
nected with a big financial institution
at Coffeyville.
D. Gabriel, who has been the cashier
o f the First National Bank, Versailles,
Mo., fo r the last four years, has re
signed.
Announcement has been made of
the death o f James J. Long, cashier
and vice-president o f the First Na
tional Bank, Caruthersville, Mo.
John A. Rankin, president of the
First National Bank o f Tarkio, Mo.,
died recently.
The Savings Bank of Marthasville
has been taken over by the Marthas
ville, Mo., Bank, the consolidation be
ing recommended and arranged by the
State Department o f Finance. The
Savings Bank was capitalized for
$30,000.00, the Marthasville, Mo., Bank
has a capital o f $50,000.00.
The Bank of Lancaster, Mo., has been
granted a charter with capital o f
$30,000.00.
The Bank of Odessa, Mo., has total
resources o f $984,567.63 with deposits
o f $853,951.93, according to its April
1 2 th statement.
The Clay County State Bank, Excel
sior Springs, Mo., has resources o f
$1,065,312.82 and deposits o f $961,663.18, according to its April 12th
statement.
The April 12th statement of the
State Exchange Bank o f Macon, Mo.,
shows total resources o f over $1,462,000.00 and deposits o f $1,308,222.12.
Barry County Bankers
Meet at Cassville.
Members o f the Barry County Bankers
Association met recently at the Barry
Hotel in Cassville, Missouri, where a
fish dinner was served, after which the
meeting was called to order by Ray
mond Brite, president o f the Associa
tion.
J u ly, 1928
M
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B
61
a n k e r
o f Commerce for the current year. In
C. W . Moody, cashier McDaniel Na
addition he is a director o f the Chamber
tional Bank o f Springfield, was the
representing finance.
principal speaker o f the evening, his
The committee will be made up o f a
subject was general banking.
E.
L. Corbin, extension service agent, strong group o f business men and bank
ers, four o f the number having served
was present and made an interesting
as former presidents o f the American
talk on his line o f work, and the presiBankers Association. With Mr. Lons
ident instructed the secretary to notify
dale as chairman, the other proposed
each bank in the county to select
members are:
three men from their community to
Felix McWhirter, president People’s
meet with Mr. Corbin June 11, at CassState Bank, Indianapolis; W . F. Gepville, Mo., at which time he will talk
hart, vice-president First N a t i o n a l
on farm extension work.
Bank in St. Louis; C. B. Hazlewood,
Amos Gurley reported that the tax
vice-president Union Trust Company,
committee was not ready to report
Chicago; Walter W . Head, president
blit that they would be ready to re
Omaha National Bank; Charles A.
port at the next meeting.
Hinsch, president, Fifth-Third Union
A very interesting talk was made
Trust Company, Cincinnati; Fred I.
by Judge Charles Henson on the tax
Kent, 100 Broadway, New Y ork;George
proposition.
M. Roberts, vice-president National City
Bank o f New Y ork; O. M. W . Sprague,
Harvard University; Melvin A. Traylor,
president First Trust & Savings Bank,
Chicago; Oscar Wells, president First
National Bank o f Birmingham, Ala.,
and T h e o d o r e W old, vice-president
Northwestern National Bank, Min
neapolis.
M . E. Holderness Will Tour
Europe This Summer
Marvin E. Elolderness, vice-pres
ident o f the First National Bank in
St. Louis, left St. Louis on June 20th,
with a party o f prominent St. Louis
business men fo r an extended European
Interesting talks were made on d if
ferent subjects o f banking by several
members o f the association.
The next meeting o f the association
will be held at Purdy, Mo.
To
fo c a l H anks
First National Bank Leads
in Advertising Exhibit
F or two successive years the First
National Bank in St. Louis has re
ceived honorable mention in connec
tion with the annual Direct Mail A d
vertising Exhibit, held in Philadelphia.
Hundreds o f prominent advertisers o f
America, both business concerns and
banks, located throughout the country
again participated, and the First Na
tional B ank’s material was among that
selected as the best.
The material was prepared by Frank
Fuchs, advertising manager o f the bank
who also prepared the material se
lected in 1927.
The bank received a beautifully en
graved certificate signed by the four
judges o f the contest, considered the
best known direct mail experts in the
country.
The bank’s material with that o f
other concerns selected, will be known
as the “ Direct Mail Leaders E xhibit,”
which will be shown throughout the
United States, in the effort to promote
a greater understanding and apprecia
tion o f the effectiveness o f direct mail
advertising. The First National Bank
in St. Louis is the only bank selected
to show in this great exhibit.
Through The Equi
table Trust Company
of New York, you may
supplement your ser
vice to customers by
Equitable cooperation.
[1]
The Equitable is a leading
foreign exchange bank and
its services in this field are
readily available for facili
tating your custom ers’
transactions.
Today... sendfo r
these
investment helps
m
Each week The Equitable issues a selected
list o f short term securities designed to
provide temporary investment for the
liquid funds o f industrial and banking
organizations.
[ 2 ] Each month The Equitable prepares a
wide selection o f bond issues suitable for
business and personal investment needs.
These bond investment suggestions are
more than just a list o f bonds. For your
benefit, we regularly analyze many issues.
John G. Lonsdale, president o f The
National Bank o f Commerce in St.
Louis and v i c e - p r e s i d e n t o f the
Ameifican Bankers Association, has
been reappointed chairman o f the A d
visory Committee o f the Department of
Finance o f the United States Chamber
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
2]
[3 ]
The home office of The
Equitable in New York pro
vides a constant contact
with the principal securities
markets of the world, per
mitting efficient execution
of orders and obtaining of
quotations.
[4 ]
Our E. T. C. Letters of
Credit are available to Local
Banks. A bank may issue
these letters in its own name
and its customers will re
ceive the same well-rounded
foreign service extended to
our own customers carrying
E. T. C. Credits.
Send for the current lists today
the e q u i t a b l e
Tr u s t ' c o m p a n y
OF N E W Y O R K
Lonsdale Appointed Chairman
o f Advisory Committee
[
Through its own offices in
London and Paris, its sub
sidiary’soffices in Hongkong
and Shanghai and its more
than 11,000 correspondents,
The Equitable can obtain
extensive foreign trade and
credit information promptly.
11 B R O A D S T R E E T
C h ic a g o : 105 South L a Salle St. Tel. State 8312
D is t r ic t R e p r e s e n t a t iv e s :
Baltimore
Philadelphia
San Francisco
Atlanta
F o r e ig n O f f ic e s :
H ome
London
Paris
Mexico City
O f f i c e : 11 Broad St., New York, connected by
direct private wire with Chicago office.
T o ta l resources m ore than $ 5 0 0 ,0 0 0 ,0 0 0
©E.r.c.of n. t., iq28
Banks contemplating
international business
transactions o f any kind
are invited to communi
c a t e w i t h our l o c a l
representative.
62
M
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B
a n k e r
"Roll of Honor” Banks
in Missouri
It is an honor to be listed among the Honor Roll banks. It indi
cates that the bank has surplus and undivided profits equal to or
greater than its capital.
The banks listed on this page constitute a partial list of the
Honor Roll banks in Missouri and they will be especially glad to
handle any collections, special credit reports or other business in
their communities which you may entrust to them. Correspond
ence is invited.
Bank
Capital
Surplus
and Profits
A g e n cy ........... .Farm ers B a n k .........................
p
O
o
o
City
A u g u sta ......... . Bank of A u g u sta .....................
B u ffalo........... . O ’Bannon Banking Co.........
20,000
26,000
25,000
31,667
Cam eron......... .F irst N ational.........................
Columbia. . . . . Boone County Trust Co.. . .
50,000
55,000
75,000
200,000
$
10,000
Concordia. . . . .Concordia S avings................
D a lto n .............. .Bank of D alton .......................
50,000
52,000
10,000
20,000
E verton ........... .Bank of E verton .....................
25,000
55,000
Farmington. . . Bank of Farm ington...........
50,000
125,000
Gilman City. . Gilman B a n k ...........................
H ardin ............. . .Bank of H ard in .................. .. .
Ironton........... . Bank of H a y ti.........................
25,000
30,000
75,000
87,000
20,000
26,471
H a y ti................ .Iron County B a n k ................
Joplin................ .Conqueror First National. . . .
Joplin................ Miners B a n k ........................... . .
10,000
21,000
250,000
263,000
100,000
175,000
Kansas City. . .First N ational......................... . . 1,000,000
Lebanon......... . State B a n k ................................
30,000
M aitland......... .Peoples B a n k ...........................
20,000
3,470,000
35,000
35,000
N eo sh o ........... . First N ational.........................
50,000
85,000
O d essa............. .Bank of O d essa.......................
P erry................ .Peoples B a n k ...........................
50,000
75,000
25,000
50,000
R aym ore......... .Bank of R aym ore..................
10,000
27,000
St. Joseph. . . . .First Trust Co........................
100,000
143,334
St. L o u is......... .Jefferson B a n k ....................... . .
200,000
252,000
St. L o u is......... .Mercantile Trust Co............. . . 3,000,000
8,583,523
Sedalia............. .Citizens N a tio n a l.................. . .
100,000
290,000
South Gifford. .Bank of Gifford.......................
Sullivan........... .Bank of Sullivan.....................
10,000
14,900
10,000
82,000
Steelville......... .First N ational.................. .. . .
25,000
30,000
S tover.............. . Stover B an k ..............................
15,000
22,000
T ark io.............. .Farm ers B a n k .........................
20,000
32,000
T r o y ................... .Peoples B an k ...........................
50,000
115,000
U n io n .............. . Bank of U n io n .........................
15,000
55,000
W arrensburg. .Citizens B a n k ......................... . .
100,000
114,592
W e lls to n ......... .First National........................... . .
100,000
206,354
40,000
60,000
W in d so r......... . Citizens B a n k .........................
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Federal Reserve Bank of St. Louis
J u ly, 1928
trip, where a study of aviation develop
ments abroad will be made.
The majority in the party are mem
bers o f the Airboard o f the St. Louis
Chamber o f Commerce o f which Mr.
Holderness has recently been made a
director.
In addition to doing considerable
flying abroad Mr. Holderness will also
study business and financial conditions
in France, Belgium, Holland and Eng
land.
N ew Paper M o n ey to Be Made
Partly o f Cotton
As a result o f studies made by the
Bureau o f Standards in Washington,
the new bank notes which are to be
placed in circulation during the Govern
ment’s next fiscal year, will be made
partly o f cotton, according to the Cot
ton Textile Bulletin, published by The
Association o f Cotton Textile Merchants
o f New York.
“ Some o f the paper currency now in
circulation has been made from the new
formula and its commercial use is being
developed,” the Bulletin states. “ Two
large New York insurance companies
are using this cotton paper on which to
print their policies. Where permanence
and durability o f documents are factors
the value o f this new paper suggests
still wider use for commercial pur
poses.
“ From experiments which have been
made in the Bureau o f Standards, it has
been found that the mixture o f 25 per
cent cotton fabric with linen gives a bet
ter product for paper currency than the
all-linen fabric which has been used
heretofore.
“ New linen and cotton rags are used
in making the paper stock in the pro
portion o f 75 per cent linen and 25 per
cent cotton. Useful life o f this cur
rency has been increased experimental
ly more than 40 per cent.
“ It is believed that the life o f this im
proved currency may be still further
increased as the research is continued.
I f this be so it will add to t-he $2,000,000
which it is estimated that the Govern
ment will save by the adoption o f a
smaller size for its paper currency.
“ The Treasury Department has ac
cepted a type o f paper developed by the
Bureau o f Standards as the standard
currency paper which has high fibre
strength as its distinctive feature. Its
fibres are not impaired by the printing
and it has no grain. Its folding strength
in the two principal directions is more
than 5,000 double folds.
“ The investigation was begun when it
was found that the life o f dollar bills,
which constitute the greater part o f the
paper currency, decreased continually
until in 1924 it averaged six months.
M
J u ly , 1928
Prior to that, the average useful life
o f a bill was twenty months.
“ The use o f paper currency has in
creased threefold during the last fifteen
years and this has required the manu
facture every year o f 1 ,000,000,000 new
bills, weighing more than 1,200 tons, to
replace worn out currency. This annual
replacement costs $4,000,000.”
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B
Shareholders
Citizens
and
Southern
Increases Capital
$1 ,000,000.00 was added recently to
the capital o f the Citizens and South
ern National Bank o f Atlanta, Geor
gia, giving the bank a capital o f $4,000,000.00. A t the same’ time $500,000 was
added to surplus, making total surplus
and profits o f more than $3,917,000.00.
$400,000.00 was added to capital and
surplus o f the Citizens and Southern
Holding Company, and $100,000.00 was
added to the Citizens and Southern
Company, which is the investment di
vision o f the bank.
Total resources o f the Citizens and
Southern National now exceed $75,000,000.00.
Union Trust Employees Will
Attend Training Camps
Twenty-four young men employees o f
the Union Trust Company o f Detroit
will attend the Citizen’s Military Train
ing Camp at Camp Custer this summer.
The boys will receive their full salary
from the company during the time they
are at camp, in addition to their regular
two weeks’ vacation with pay.
N ew President o f Texas
Bankers Association
W . A . WILLIAMS
Vice-President of the Guaranty State
Bank, San Antonio, Texas
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Federal Reserve Bank of St. Louis
63
a n k e r
d^atify¿Merger Plans o
Bank o f oAmerica, N . A .
ERGER plans adopted by the re
M
spective Boards o f The Bank of
America National Association, New
York, the Bowery and East River Na
tional Bank and the Commercial E x
change National Bank have been rati
fied by the shareholders o f The Bank o f
America N. A. at a special meeting.
Dr. A. H. Giannini, president o f the
Bowery and East River National Bank,
who was elected chairman o f the board
o f The Bank o f America some time ago,
will continue in that office with the con
solidation. Edward C. Delafield was
elected president and John E. Rovensky
is first vice-president. Lionelle Perera,
president o f the Commercial Exchange
National Bank, is vice-president and a
member o f the board.
The consolidated institution — The
Bank o f America N. A.—-began business
on April 30, 1928, with capital funds
o f $62,016,388 o f which $2,016,388 was
undivided profits. The first consolidated
statement also shows deposits o f $299,654,926, total resources o f $393,223,795,
holdings o f United States government
bonds amounting to $15,550,836 and
cash, etc., to $50,684,903.
The bank has its main office in The
Bank o f America building at 44 W all
Street and 26 branches located at
various points throughout the five
boroughs. The main office o f the Com
mercial Exchange Bank, now at 63
W all Street, also will be in The Bank o f
America building where several more
floors are being reserved.
The merger announcement names the
following as directors:
Hernand Behn, vice-president o f the
International Tel. and Tel. Co.; Leo
Y. Belden, vice-president, Bancitaly
C orp.; Walter M. Bennet, New Y ork;
George Blagden, Clark, Dodge & Co. ;
William II. Coverdale, Coverdale and
Colpitts; Allen Curtis, Curtis & Sanger;
Arthur V. Davis, president, Aluminum
Company o f America; Edward C. Dela
field, President ; Gayer G. Dominick,
Dominick & Dominick; Archibald Doug
las, Douglas, Armitage & McCann;
Charles M. Dutcher, president, Green
wich Savings Bank ; Douglas L. Elliman, Douglas L. Elliman & Co. ; G. B.
Everitt, president, Montgomery Ward
& Co. ; Henry J. Fuller, Aldred & Co. ;
Emanuel Gerii, E. Gerii & Co.; A. II.
Giannini, chairman o f the board; Otto
J. A. Grassi, L. Gandolphi & Co.; Cro
well Hadden, president, Brooklyn Sav
ings Bank; George Hewlett, Hewlett &
Lee; Charles W . Higley, president,
Hanover Fire Insurance Company ;
Robert J. Hillas, president, Fidelity &
Casualty Co.; Gilbert H. Johnson, Isaac
G. Johnson & Co.; Sam A. Lewisohn,
Adolph Lewisohn & Son; John Hill
Morgan, Rumsay & Morgan ; Acosta
Nichols, Spencer Trask & Co. ; Martin
S. Paine, treasurer, Excelsior Savings
Bank; Lionelle Perera, vice-president,
R. Stuyvesant Pierrepont, New Y ork;
William H. Ramsay, New Y ork; John
E. Rovensky, first vice-president; Nich
olas E. Schenck, theatrical interests;
R. A. C. Smith, chairman, White Rock
Mineral Springs Co. ; W . H. Snyder,
vice-president, Bancitaly Corp. ; Edwin
S. S. Sunderland, Davis, Polk, Wardwell, Gardner and Reed; Edwin Thorne,
New Y ork; Louis A. Valente, Justice o f
State Supreme
Court; A lfred P.
Walker, president, Standard Milling Co.
64
M
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J u ly, 1928
a n k e r
R. S. Hawes Elected Director
o f Chamber o f Commerce
Richard S. Hawes, senior vice-presi
dent o f the First National Bank in St.
Louis, former president o f the Ameri
can Bankers Association, and the Mis
souri State Bankers Association, has
been elected a director o f the St. Louis
Chamber o f Commerce, o f which he was
formerly president.
Mr. Hawes, for years, has been ac
tively identified with civic organizations
in St. Louis, and is one o f the country’s
most prominent bankers.
Wellston Trust Company Will
Remodel Bank Building
" A m ighty g o o d bank
to do business w ith”
That’s what they
say of us, and we
are sure you’ ll
find it is true—
Try us.
«
Capital, Surplus and Profits
$ 3 8 0 .0 0 0 .0 0
Resources $ 5 ,0 0 0 ,0 0 0 .0 0
Largest Bank in Missouri in a
City of Less Than 32,000
Population
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Owing to its growing business and
prosperous condition, the Wellston
Trust Company, Wellston, Missouri,
has decided to make a number o f im
provements to its banking home at
6212 Easton Avenue.
The improvements will include the
installation o f a modern bandit, bullet
proof and tear gas equipment, with
bullet proof wire cloth surrounding
cages on sides and at top. Grille door
to safe depository will be controlled by
electric contact, and can be opened
otherwise only with special key. The
lobby will be increased in size and more
check desks provided, also additional
coupon booths.
0.
H. Henschell, treasurer, will be
located to the right o f entrance in an
open enclosure, to better serve cus
tomers. Tavernelle marble will face
the fixtures continuing around the lob
by, with marble floor over public and
safe depository space.
The top screen and tellers’ windows
will be framed in ornamental metal
and finished Verde Antique, enclosing
bullet p roof glass 7/8 inch in thick
ness with bronze amplifiers, gun ports
and deal trays, that also are bullet
proof. Tear gas in strategic locations
will further insure protection.
This installation is the first o f its
kind in this territory, being what is
termed 100% protection.
The J. H. Wise Company, Inc., spe
cializing in bank equipment, will make
the complete installation.
Officers o f the Wellston Trust Com
pany include: Ed Mays, president;
F. C. Stille and Henry Behle, vicepresidents; IT. G. Schaefer, secretary;
O. H. Henschell, treasurer; and Leroy
Lane, assistant treasurer.
There’s No Justice
“ So your druggist refused to cash a
personal check fo r y o u ? ”
“ Yes, the horrid thing! And after
me buying all my postage stamps from
him the past year.”
You Can Sleep
in a
REAL BED
on These Trains
A real bed, with deep box
springs
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complete lavatory and toilet
facilities, writing desk, indi
vidual heat and ventilation
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erate cost in the new Pullman
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Room Cars on
the
Alton
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Special,”
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Louis to
Chicago, and “ Night Hawk”
(11:55
P M ) St.
Louis to
Kansas City, every night.
C h icago & A lto n
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326 N Broadway, Tel. Garfield 2520
or U N IO N STATIO N
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SPINK ARM S
HOTEL
IN D IA N A P O L IS
W m . A . H olt, P roprietor
July, 1928
M
K A N S A S
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Labette County Bankers
Elect New Officers.
N O TE S
Topeka Bank
Elects New Officers.
Promotions and changes in personnel
o f the State Savings Bank, Topeka,
Kansas, have been announced by W il
liam Macferran, president. The roster
o f officers, as announced is as follow s:
William Macferran, president; William
Macferran, Jr., J. D. Gossett and E. L.
Copeland, vice-presidents; Horace Mac
ferran, cashier; Bennett T. Hornsby,
assistant cashier. William Macferran,
Jr., who recently sold out his interest in
the hardware business, returns to the
bank as vice-president. Gossett fo r
merly was cashier o f the bank. Horace
Macferran was assistant cashier and
Hornsby teller.
A t a meeting of the directors of the
First National Bank, Eureka, Kansas,
Robert Brookover was elected a direc
tor to fill the vacancy caused by the
death o f his father. George Mack,
who has been assistant cashier, was
advanced to the position o f cashier.
A. E. Bowers, of Wellington, Kan
sas, has been elected a director o f the
W heeler-Kelly-Hagny Trust Company
o f Wichita. Harry I. Fox, was also
appointed as a new director.
65
a n k e r
J. N. McMichaels, cashier o f the Na
tional Bank o f Chetopa, Kansas, has
been elected president o f the Labette
County Bankers Association.
Roy
Woods, o f the Commercial Bank, and
W . S. Phillips, o f the State Bank, were
elected vice-president and secretarytreasurer, respectively.
E. Fritz, vice-president and cashier of
the Kaw Valley National Bank, secre
tary-treasurer.
The dissolution of the Farmers State
Bank and the Russell State Bank, both
o f Russell, Kansas, and their merger
as the Russell Farmers State Bank,
effective July 1, has been approved by
stockholders o f both banks.
Glenn Swogger has been elected an
New Bank
A t Wakeeney.
Application o f the Trego County
Farm ers’ Union Bank, Wakeeney,
Kansas, capitalized at $20,000, for
a national bank charter, has been
filed with the comptroller o f the cur
rency by Congressman James G. Strong.
The application is signed by R. T. Scho
field and others o f Trego County. The
proposed new bank would be known as
the Farm ers’ Union National Bank,
with a capital o f $25,000.
Firestone Heads
Shawnee Association.
S. Y. Firestone, vice-president o f the
Guaranty State Bank, Topeka, was
elected president o f the Shawnee Coun
ty Bankers Association at the annual
election at Topeka. He succeeds John
E. Kirk. Hugh A. Smith, cashier o f
the Farmers National Bank, Topeka,
was elected vice-president, and Richard
active vice-president o f the Kansas Re
serve State Bank, Topeka. Mr. Swog
ger, M. T. Kelsey, N. E. Copeland and
W. H. Rutter have been elected to the
board.
The Anson State Bank, Anson, Kan
sas, has merged with the Home State
Bank, Clearwater, Kansas.
W . T. Harris, 83, one of the best
known bankers in Kansas, and pres
ident o f the Citizens State Bank o f
Solomon fo r over 40 years, died re
cently.
John T. Silver, 69, died at his home
in Minneapolis, Kansas. He was vicepresident o f the Minneapolis National
Bank.
Edgar Webb, who has been employed
at the First State Bank, Earned, K an
sas, has accepted the position o f cash
ier at the Ash Valley State Bank.
Cfjase J^attonal iBank
o f the City o f
York
57 B R O A D W A Y
Capital
$ 50,000,000.00
Surplus and Profits
57,462,411.15
Deposits (February 28, 1928)
857,757,013.97
OFFIC E R S
A
lbert
H. W
ig g in
Chairman o f the Board
Joh n M
cH u g h
R
Chairman of the Executive Committee
obert
L. C l a r k s o n
President
V IC E -P R E S ID E N T S
Samuel H. Miller
Harry H. Pond
Carl J. Schmidlapp
Samuel S. Campbell
Reeve Schley
William E. Lake
Sherrill Smith
Charles A. Sackett
Henry Ollesheimer
Hugh N. Kirkland
Alfred C. Andrews
James H. Gannon
Robert I. Barr
William E. Purdy
George E. Warren
George H. Saylor
George D. Graves
M. Hadden Howell
Frank O. Roe
Joseph C. Rovensky
Vice-President and Cashier
W
il l ia m
P. H
olly
SECOND V IC E -P R E S ID E N T S
Frederick W. Gehle
William H. Moorhead
Edwin A. Lee
Harold L. Van Kleeck
Alfred W. Hudson
T. Arthur Pyterman
James L. Miller
Ambrose E. Impey
Benjamin E. Smythe
Robert J. Kiesling
Joseph Pulvermacher
Lynde Selden
Leon H. Johnston
Thomas B. Nichols
Franklin H. Gates
George S. Schaeffer
Arthur M. Aiken
J. Sperry Kane
S. Frederick Telleen
George A. Kinney
Otis Everett
Comptroller
T
homas
R
it c h ie
Foreign and Trust Department Facilities
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
■RST IMPRESSIONS
are often Lasting and
they m ust he good
<)he entrance to the B a n k should
be attractive,in vitin g , fr ie n d ly .
Only the especially gifted designer
can accomplish such a result.
Consult us without cost or obligation
J.D. Lacy Company
Designers and Constructors °f Dank B u ilding s
1206 SYNDICATE TRUST BLDG.
S E N D FOR. O U R
BO OKLET
ST. L O U I S , M O.
" D IS T IN C T IV E
B A N K B U IL D IN G S
"
66
M
K E N T U C K Y
N OTES
White Varden
Elected Cashier.
At the recent election o f officials o f
the newly organized Security Bank and
Trust Company o f Maysville, Ivy.,
White Varden, o f Paris, was elected
cashier. Mr. Varden has been fo r sev
eral years connected A v i t h the State
A uditor’s office in Frankfort. Other
officials o f the bank are Horace J.
Cochran, president; T. A. Duke, vicepresident; Charles F. W right, vicepresident o f the trust department; Or
ville Rains, teller.
Walter Scott
Goes to Owensboro.
W alter Scott, o f Calhoun, active
vice-president o f the Citizens Deposit
Bank o f Calhoun, Ivy., has been elected
vice-president o f the National Deposit
Bank o f Owensboro, succeeding the late
John Reinhardt. Mr. Scott has been
a member o f the National Deposit
board fo r more than two years and
has been recognized as one o f the ablest
bank executives in Western Kentucky.
James A. Stephens
Elected Vice-President.
James A. Stephens, who has been
cashier o f the First National Bank,
L u J I o a v , Ivy., fo r 10 years, has been
elevated to the post o f vice-president,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
id
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July, 1928
a n k e r
while Clivian J. Snyder, who has been
assistant cashier an ecpial number of
years, has been named cashier.
The iicav vice-president has grown up
with the First National Bank. He en
tered its employ as a boy 25 years ago
and 15 years ago became assistant cash
ier. Then 10 years ago when the late
A. V. C. Grant was promoted from
cashier to president, Stephens became
cashier.
Addison T. Whitt, Sr., president of
the Winchester Bank, Winchester, Ivy.,
and well known Clark county capitalist,
died recently.
S. G. Aldmizer, cashier of the Citi
zens National Bank, Harlan, Ky., Avas
elected president o f Group Six, of
the Kentucky Bankers Association, at
the recent meeting held at Berea. The
meeting o f the group Avill be held in
Harlan.
Purchases Assets of
Market Exchange Bank.
The Bankers Trust Company, Louishas bought the assets and de
posits o f the Market Exchange Bank,
210 East Jefferson street.
The bank will be operated at the
present location as a branch o f the
Bankers Trust Company.
Officers o f the Bankers Trust Com
pany, besides Mr. Fleece, are vice-pres
idents John E. Isaacs and Judge
Thomas R. G ordon; cashier, Arnold
Westermann; assistant cashier, W il
liam Gaupin, and auditor, Carl A.
Vogel. The Trust Company has a capi
tal stock o f $500,000, a surplus of
$300,000 and undivided profits o f more
than $60,000, according to the an
nouncement.
IN D IA N A
NOTES
A'ille,
R. H. Snyder, of the Peoples Bank
o f LaGrange, Ivy., was elected presi
dent o f Group 3 o f the Kentucky Bank
ers Association at its meeting at
Eminence.
Two Columbus
Banks Consolidate.
The Irwin-Union Trust Company,
Columbus, Ind., recently formed by a
merger o f the Union Trust Company
and Irw in ’s bank, opened fo r business
Monday, April 2. The Union Trust
Company Avas formed a few years ago
by a merger o f the P eople’s Savings
and Trust Company and the Farm ers’
Trust
Company. The
Irwin-Union
Trust Company is located in the Un
ion Trust Company’ s quarters at F ifth
and Washington streets.
The merged institution has capital
and surplus o f more than half a mil
lion dollars. Officers are: William G.
Irwin, president; W. E. Parker, John
W. Suverkrup, Hugh T. Miller and
Frank
Brockman, vice-presidents;
Charles M. Setser, cashier and treas-
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R
R
e s t a u r a n t
c h e o n e t t e
u r
E
x p e n s e
e s e r v a t i o n s
ÍÍA D IL L Y
4 5 — S t . at ( w a y ••• N e w Y o r k
s e t i * i »
M A K M io e
D i» .
« «
® «
j
July, 1928
M
urer; Meredith Leinberger, Archie W .
Cox, George Varwold and Scott Setser,
assistant cashiers, and W illiam H.
Scott, secretary and trust officer.
Fletcher Savings
Purchases Irvington State.
The Fletcher Savings and Trust Com
pany, which has eleven offices now in
operation throughout Indianapolis, has
purchased the capital stock o f the Ir
vington State Bank and will operate it
hereafter in affiliation with the parent
company, on the same basis as five
other state banks now affiliated.
The Irvington State Bank, as o f its
Feb. 28 Statement, had total resources
o f $513,721.72, including capital o f
$50,000; surplus o f $14,000, net undi
vided profits o f $8,727.33 and deposits
o f $390,739.29. The present officers o f
the bank are Clement E. Kelley, fo r
merly o f Clayton, Ind., president; S. J.
Carr, vice-president; T. D. Moffett,
cashier-secretary, and R. C. W right, as
sistant cashier-secretary.
Washington Bank
Opens New Building.
Marking two-score years o f growth,
the Peoples National Bank o f Washing
ton, Indiana, which recently changed its
name to the Peoples National Bank and
Trust Company, formally opened its
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67
a n k e r
new five story home to the public during
the first week o f June.
The building is o f Gothic design with
a base o f polished black granite and
first floor and trim o f Indiana lime
stone. Dignity is lent to the front o f
the building by the two copper entrance
doors and the ornamental bracket lights
on each side.
Upon entering, one finds himself in
the foyer to the main banking room
where seven large windows extend the
length o f the long room.
Walls are
finished with panels in two tones while
across the ceiling extend beams deco
rated with colored frescoes, that rest on
half pillars along the sides o f the room.
Lighting fixtures include three main
ornamental lights from the ceiling and
numerous wall brackets.
Woodwork o f the building, including
the fixtures, is in walnut finish which
harmonizes with the cream color o f the
walls and the marble used.
A ll o f the marble in the lobby, stair
way to basement, stationary bank fix
tures, such as counter, counter screen,
vault lobby, enclosure coupon rooms
and telephone booth, all o f the plaster
ing, decorating and draperies, check
desks with fittings and light fixtures in
the building were designed, furnished
and installed by the American Bank
building Construction Company o f
Indianapolis.
Serving the
Fourth
Generation
Officers o f the bank include Matthew
F. Burke, president; E. L. Hatfield,
vice-president; Charles F. Cochran,
vice-president, and Paris A. Hastings,
cashier.
C. L. Cottrill, former assistant cash
ier o f the State Bank o f Lima, Howe,
Ind., has been appointed cashier to suc
ceed Ulysses Sherman W illard who died
recently. Maynard R. Preston, former
county treasurer, has been appointed
assistant cashier. The State Bank of
Lima is one o f the oldest banks in
Northern Indiana, having been in ex
istence over 70 years.
Charles N. McGrew, former president
o f the First National Bank o f Huntington, Ind., has been elected vice-presi
dent o f the Huntington Trust & Sav
ings Bank.
Jacob P. Isley, 89, for 37 years iden
tified with banking interests in Attica,
Ind., and former president o f the Citi
zens National Bank from which he re
tired to establish his own private bank,
died recently.
J. J. Dickinson, 72, assistant manager
o f the Indianapolis Joint Stock Land
Bank, died A pril 23. Mr. Dickinson
was also founder o f the Dickinson Trust
Company o f Richmond, Ind.
Complete
Investment Service
A com plete up-to-the-m in
ute bank, offerin g every
m odern banking service.
LIBERTY
IN S U R A N C E
BANK
LOUISVILLE
R E SO U R C E S O V E R $28,000,000
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Ja m es GW ills o n & Co.
1 5 0 SO O TH F IF T H STRE ET
.L O U I S V I L L E . K E N T U C K Y
Our nationwide investment wire system en
ables us to offer our Bank clients the best
buying and selling prices on securities in
any recognised market. W e invite you to
make use of this service.
68
M
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Tennessee Bank Ne<ws
Puryear Bank
W ill Remodel Building.
The Farmers Bank and Trust Com
pany o f Puryear, Tenn., announces
that the contract has been let and that
work will begin at once on enlarging
and remodeling the bank building. A
new front to the building will be one
o f the features o f the project. In
side, a complete new outfit o f bank fix
tures will be installed; and fo r the
July, 1928
a n k e r
benefit o f the bank’s customers, one
hundred new safe deposit boxes will
be added.
One o f the big features o f the im
provement program will be the installa
tion o f a new burglar-proof vault with
a ten-inch burglar-proof vault door.
The Bank o f Hermitage Springs,
Tenn., has been organized with a capi
tal o f $12,000.00.
G. G. Foskett
Elected Cashier.
G.
G. Foskett has been elected cashier
and W ill D. Meacham assistant cash
ier o f the Southern Trust Company,
Clarksville, Tenn., a subsidiary o f the
First National Bank. Mr. Foskett
was form erly principal o f the Clarks
ville High School and fo r a number
o f years subsequently secretary-treas
urer o f the Coulter Lumber Company.
Mr. Meacham has been connected
with the trust company the past year
and his services in connection with the
introduction o f the life insurance trust
feature o f the firm were recognized in
his promotion to a title and more re
sponsibility.
The Southern Trust Company was
organized in 1911, with a capital stock
o f $5,000. Its present capital stock is
$150,000. The officers at present are
W esley Drane, chairman o f the board
o f directors; C. W . Bailey, president;
M. L. Cross, M. A. Bland, James G.
Ilolleman and Brown Harvey, vicepresidents; G. G. Foskett, cashier;
Meacham, assistant cashier, and John
J. Conroy, Cross Drane, T. E. McReynolds. G. W. Scarborough, B. A. Patch,
Bland & Bailey, directors.
M. H. Irwin, fo r many years cashier
o f the First National Bank o f Coal
Creek, has purchased the majority
stock in the First National Bank o f
LaFollette, Tenn.
"IN H IG H ”
T o start your car you must begin in "lo w ”
and shift through "intermediate” to "h ig h .”
But there is only one speed in our correspon
dent service covering the Tri-State Region.
Y o u are "in high” the moment you call on
the U 8C P.
U nion & P lanters
BANK &• TRU ST COMPANY
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Forward with Memphis— Since ’69
M E M P H IS , T E N N .
S. C. W infree, form erly o f Lebanon,
Tenn., and more recently o f Lakeland,
Fla., has been named to succeed H. L.
Trolinger, who recently resigned from
the Elizabethton Trust Co., Elizabethton, Tenn. Mr. W infree will have
charge o f the real estate department.
R. A. Irvin and M. T. Regen were
elected vice-presidents o f the Harpeth
National Bank, Franklin, Tenn., at a
regular meeting o f the directors of
the bank held recently. The new vicepresidents were elected to fill the va
cancy caused by the recent death o f
S. M. Fleming, the board deciding up
on two instead o f one vice-president.
Carl W. Lindsay, assistant cashier
o f the Bank o f Spring City, Tenn., has
resigned and has been succeeded by
Mrs. Ellen Paul Ault.
The Mutual Loan Bank has been
opened in the Stahlman Building, Nash
ville, Tenn., with a capitalization o f
$500,000.00.
The April 24th statement o f the
Union & Planters Bank & Trust Com
pany, Memphis, Tenn., shows total re
sources o f $33,983,363.95 with deposits
o f $30,017,807.07.
M
July, 1928
m i n i ii i m u i n i m i i i m m i i ii i
i i i i i i ................... ................................i l l
ARKANSAS
NOTES
Cleveland County
Bankers Organize.
The Cleveland County Bankers A s
sociation was organized recently at
Rison, Arkansas. The following offi
cers were elected: J. W. Elrod, o f
Rison, chairman; E. T. Attwood, o f
New Edinburg, vice chairman; B. W.
Thomasson, o f Rison, secretary-treasurer. Talks were made by R. E. Wait,
J. S. Jernigan, J. N. Corvey and Mr.
Erwin, o f Little Rock, Miss Powell, o f
Pine Bluff, and J. A. Abernathy, o f
Fordyce.
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69
a n k e r
A. G. Little has taken over the duties
o f T. J. Mahan as president o f the
First National Bank, Blytheville, Ark.
distribute securities and provide a com
plete investment service fo r the bank’s
customers and friends.
The First National Bank of Gur-
Two promotions at the First Na
don, Ark., has opened fo r business in
the old Merchants & Farmers Bank
building. The new bank has bought
the fixtures and leased the building o f
the old bank. The bank has a paid in
capital o f $25,000, and a paid in sur
plus o f $2,500.
tional Bank o f Morrillton, Ark., were
made June 1. Benton Garrett has been
promoted from assistant cashier to
cashier, while Tliad Wells, Jr., has
been made assistant cashier and note
teller.
Charles S. McCain, president of the
County Bank, Gurdon, Ark., has re
signed that position and has accepted
the cashiership o f the Merchants &
Planters Trust & Savings Bank at W ar
ren, Ark.
National Park Bank o f New York, has
announced the opening o f a bond de
partment in connection with the bank.
The new department will purchase and
F. M. Holt, cashier
of
the
Clark
Bruce Replogle
Elected A. I. B. President.
Bruce Replogle, American Southern
Trust Company, teller, has been chosen
president o f the Little Rock chapter,
American Institute o f Banking. He
succeeds H. H. Wenzell, Union Trust
Company. Other officers elected a re:
Cecil Harder, Exchange National Bank,
vice-president; Miss Eva Phillips, Peo
ples Savings Bank, secretary, and Dan
Murphy, W. B. Worthen Company
Bankers, treasurer. Robert Weber, of
the Central Bank, Dennis Lacy, o f the
Union Trust Company, G. A. Zimmer
man, o f W. B. Worthen Company,
Bankers, and Frank Blair, o f the Fed
eral Bank and Trust Company, were
chosen as members o f the Board o f
Governors.
New Bank
A t W est Memphis.
A charter has been granted fo r the
Bank o f West Memphis, Ark. The in
stitution is capitalized at $25,000 and
has a surplus o f $2,500.
A meeting o f the stockholders was
held recently and the following officers
and directors were elected: J. C. Johnson, president; W. H. Hundliausen,
vice-president; E. J. White, cashier.
The directors are: J. C. Johnson, D. B.
W oollard, Arthur Hussell, Cecil Oliver,
G. M. Coleman, W. H. Hundliausen and
E. J. White.
A new $20,000 building is under con
struction to provide a home fo r the
only bank in West Memphis. This
building is being erected by J. C. John
son, as a personal investment, and will
also be used as an office building. It
is expected to be completed in two
months.
A. B. Banks, with his associates, has
taken over a m ajority o f the stock in
the First National Bank at Mineral
Springs, Ark. R. T. White, vice-pres
ident o f the institution, was named a
director at a meeting o f the board.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
For 55 years the M id-South’s highest
capitalized and most resourceful bank
been progressive always.
Bank OF Commerce
AND Trust Company
M E M P H I S
CAPITAL,SURPLUS AND UNDIVIDED PROFITS
$ 5 ,0 0 0 , OOO. OO
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M. L. Funderburk, former vice-pres
Louisiana Bank News
The Whitney Central Trust & Sav
Whitney Central “ Observer”
Contains Interesting Articles.
The recent issue o f the Whitney Cen
tral “ Observer,” the house organ pub
lished by the W hitney Central Banks
o f New Orleans, contains a number o f
interesting articles, among them one
concerning the Treasury Department’s
plans and problems in connection with
the new paper currency. The article
was written especially fo r the “ Ob
server” by J. Bred Essary, president
o f the National Press Club, Washing
ton, D. C.
Other articles in this issue a re :
“ The Great Fur Resources o f Louis
iana, ” “ Our Growing Trade W ith
M exico,” and “ New Orleans’ $8,000,000 Livestock Industry.”
The “ Observer” serves as a medium
through which the W hitney Central
personnel, its friends and the public,
may become better acquainted. It is
edited by M. L. Bouden.
Franklinton Bank
Increases Capital.
The Washington Bank & Trust Com
pany, Franklinton, La., has voted a 50
per cent dividend out o f the surplus o f
the bank and the capital stock has been
increased from $50,000 to $101,000.
The Commercial National Bank, La
fayette, La., expects to begin business
about June 1, with a capital o f $100,000.00 and surplus o f $20,000.00. T. J.
Evans is president o f the institution;
L. P. DeBlanc, vice-president; F. Debaillon, cashier; W . J. Begnand and
H. J. Bieleand, assistant cashiers.
ing Bank, New Orleans, La., has es
tablished a personal loan department.
Loans to anyone o f good character and
steadily employed in New Orleans may
be obtained from $50.00 to $1,000.00.
ident and general manager of the Bourg
State Bank & Trust Company, Bourg,
La., has been elected president o f that
institution. Dr. P. E. Parker tendered
his resignation as president.
The Commercial National Bank of
Lafayette, La., has opened fo r business
on Jefferson street, near Vermillion.
Hibernia
The new home of the American Bank
and Trust Company, corner o f Carondelet and Common streets, New Or
leans, La., will be a stone structure
20 stories in height. W ork will begin
without delay and completion is ex
pected by October o f next year.
The McBride Construction Company
has been awarded the contract fo r the
erection o f a one story brick building
to house the new branch bank to be
opened in Bonita by the Bastrop State
Bank & Trust Company, Bastrop, La.
196 Louisiana state banks showed a
substantial increase in deposits and
cash on hand in the first three months
o f 1928 over the same period o f 1927
according to a statement from J. S.
Brock, State Bank Examiner. Demand
deposits increased $3,423,365.88; total
savings deposits $1,340,070.55; cash and
dues from banks, $3,107,839.03.
The City Savings Bank & Trust Com
pany, Deridder, La., has opened fo r
business. The capital stock o f the in
stitution is $50,000. The officers o f
the company are: P. W . West, pres
ident; J. B. Jones, vice-president; Dr.
H. R. Officer, second vice-president;
W . C. Evans, cashier. The bank is
located at the corner o f First street
and Washington avenue.
Appoints
o f Foreign Department
The board o f directors o f the H i
bernia Bank & Trust Co. has ap
pointed Juan M. O. Monasterio man
ager o f the Foreign Department and
Harry Lawton, assistant manager.
Mr. Monasterio came to New Orleans
from Mexico City in 1915, shortly
after receiving his A.B. degree from
Loyola University o f Mexico City. He
has had considerable experience in for
eign banking, in 1923, became asso
ciated with the Hibernia Bank & Trust
Co., and has since been identified with
the Foreign Department. In 1925 he
was appointed assistant manager o f
that department and his recent promo
tion comes as a further reward for
years o f meritorious service.
Harry Lawton is a man thoroughly
familiar with foreign banking, having
spent many years in the employ o f the
English firm o f Thomas Cook & Son,
serving in London, Paris, Cologne and
Cannes. In 1896 he came to the
United States and for a number o f
years was associated with the foreign
departments o f various New York and
Chicago banks. When in Chicago he
inaugurated the Export Managers’ A s
sociation and in his addresses always
stressed the importance o f New Or
leans as the logical port o f exit for
W . J. PILLOW, Cashier
A. J. CROZAT, Assistant Cashier
G. J. FRUTHALER, Assistant Cashier
W . N. LOUQUE, Assistant Cashier
W . D. KINGSTON, Trust Officer
J. H. W EIL, Assistant Bond Officer
R. W . BRADY, Ass’t-Mg-r. Foreign Dept.
L. M. POOL, President
J. A. BANDI, Vice-President
W . T. MARFIELD, Vice-President
JOHN DANE, Vice-President
FRED BRENCHLEY, Vice-President
W . P. O’NEAL, Vice-President
The Marine Bank & Trust Co.
NEW ORLEANS, LA.
Resources Over Thirty-six Million Dollars
ACCOUNTS OF BANKS AN D BANKERS INVITED
YOUR INTERESTS W ILL RECEIVE PERSONAL A TTE N T IO N OF OUR OFFICERS
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Manager
July, 1928
M
merchandise originating in the Middle
West destined for Central and South
America.
Mr. Lawton was amongst the first
Foreign Exchange Managers to utilize
the Dollar Letters o f Credit for im
port transactions, as soon as the New
Federal
Law
permitted
American
Banks to give acceptances.
In 1923 Mr. Lawton became con
nected with the New York office o f the
Hibernia Securities Co. and received
prompt recognition fo r his ability. In
January, 1928, he came to New
Orleans and has become a valued ad
dition to the personnel o f the Hibernia
Bank & Trust Co.
Hibernia Bank & Trust Co.
Votes Capital Increase
The directors o f the Hibernia Bank
& Trust Company, New Orleans, at a
special meeting Tuesday, June 12th,
voted to recommend to the stockholders
an increase in the capital stock from
$2,000,000 to $2,500,000, and an in
crease in the surplus and undivided
profits from $2,500,000 to $3,500,000;
thus making a total capital structure
o f $6,000,000.
The new stock is to be offered to
the present stockholders at $340.00 a
share in the ratio o f one share o f
new stock fo r every four shares now
held. $300.00 a share o f this $340.00,
or $1,500,000 will be paid into the
bank, and $40.00 a share, or $200,000
will be added to the capitalization of
the Hibernia Securities Company, Inc.,
thus giving that company a total cap
italization o f $1,000,000.
In addition to this capital increase,
the directors further recommended to
the stockholders the splitting up o f the
shares 4 to 1 by fixing the par value
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at $25.00 instead o f $100.00, as it is
at present.
The directors believe that this will
be a very advantageous move, because
so few investors can afford to buy
high priced bank stock selling at
$400.00 a share or more, when on the
other hand there are many who aspire
to the ownership o f bank shares and
would be glad to obtain some if they
are available at moderate prices.
Shipping Service Between
N ew Orleans and Java
Through service between New Orleans
and Java Ports at the direct rates ap
plying between New York and Java, has
been arranged for by the Tampa InterOcean steamship company in connec
tion with its American Pioneer Line
services. The announcement is regard
ed as o f the greatest importance to the
port o f New Orleans, since the shipping
facilities are such as to assure a regular
movement o f Java exports and imports
through the port henceforward. The
service will be o f great advantage to all
shippers and importers o f the Missis
sippi Valley and mid-west states.
Chase National Announces
Several Promotions
J. Sperry Kane, form erly vice-pres
ident o f the American Exchange Irv
ing Trust Company, has been elected
a second vice-president o f the Chase
National Bank, New York. George A.
Kinney, form erly trust officer o f the
Chase, has also been elected a second
vice-president o f that institution, and
George I. Pierce and Howard F. Walsh,
form erly assistant trust officers o f the
Chase, have been appointed personal
trust officer and corporate trust officer,
respectively.
G uarding the Future
If the financial affairs of
this country were not in
telligently
and
capably
administered, the people
v/ould suffer.
Banks
know
themselves
to be vested with a pe
culiar
responsibility
and
are cautious and conser
vative in the face of opti
mism— cheerful and con
fident
when
pessimism
prevails.
The future is thus guard
ed
from
perity
or
doubtful
pros
untoward
de
pression.
W h it n e y - C e n t r a l
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
W e appreciate every oppor
tunity of assisting banks
with their collection items.
Commercial
the Only NATIONAL
Bank in N ew Orleans
National Bank
Shreveport, La.
Since 1886
72
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T H E N A T I O N A L P A R K B A N K » /N E W Y O R K
OKLAHOMA
NOTES
Established 1856
214
BROADW AY
BRANCH ES
240 Park Avenue
399 Seventh Avenue
TO BE OPENED DU RIN G 1928
Madison Square and Twenty-Sixth Street. Broadway at Seventy-Fourth Street
Chairman o f the Board
RICHARD
President
DELAFIELD
CHARLES SCRIBNER
M AURICE H EWER
H. E. SCHEUERMANN
CHARLES S. M cCAIN
V IC E -P R E S ID E N T S
RALPH L. CERERO
JAY D. RISING
H. W. VANDERPOEL
TAMES BRUCE
W A LTE R S. JELLIFFE
AR TH U R W. M cCAIN
FREDERICK O. FOXCROFT, Cashier
A SS IST A N T V IC E -P R E S ID E N T S
W IL L IA M A. M AIN
W IL L IA M C. M ACAVOY
LOUIS H. OHLROGGE
CLAUDE H. BE A TY
JOHN M ATTH EW S, JR.
R. J. W H ITF IE L D
JOHN B. HEINRICHS
DALE GRAHAM
A S SIST A N T C A S H IE R S ,
W IL L IA M E. DOUGLAS JOSEPH E. SILLIM AN
HAROLD M. TRUSLOW
HENRY L. SPARKS
STANLEY F. KETCHAM GEORGE C. BRADEN
BYRON P. ROBBINS
KEN LY SA V ILLE
W IL L IA M F. LATUS
AR TH U R R. BROWN
THOM AS B. CARLTON
C A PIT A L , SU RPLU S AND
U N D IV ID E D P R O FIT S, $35,000,000
W h en F a v o r Is F a vor In d eed
The dealer who sells a motor car to a mechan
ical engineer must satisfy demands which
are inform ed and exacting. So must a bank
which seeks the business of other bankers.
Therefore, the fact that the Shawmut has as
customers hundreds of the leading banks
throughout the United States, is a recommen
dation which we offer. W hat may we do for
you in New England or elsewhere?
T H E
N A T I O N A L
Shawmut Bank
40 Water Street, B O S T O N , M A S S .
BANK OF NEW SOUTH WALES, AUSTRALIA
ESTABLISHED 1817
Paid-Up Capital. ..$ 37,500,000
Reserve F u n d ........ 28,250,000
Reserve Liability
of P roprietors... 37,500,000
Head Office:
G EO RG E ST., S Y D N E Y
New South Wales
London Office:
T H R E A D N E E D L E ST.,
E. C.
OSCAR LIN E S, General Manager
$103,250,000
=
Aggregate Assets -----30th Sept., 1927 $438,905,640
518 Branches and Agencies, 192 Branches in New South Wales, 55 Branches in Victoria,
51 Branches in Queensland, 7 Branches in South Australia, 65 Branches in Western
Australia, 3 Branches in Tasmania, 1 Branch in Federal Territory, 61 Branches in New
Zealand,_3 Branches in Fiji, 2 Branches in Papua, 2 Branches in Mandated Territory of
New Guinea, 1 Branch in London.
A U S T R A L IA
Population, 6,200,000; A rea,-2,974,581 square miles; Sheep, 103,600,000; Cattle, 13,300,000;
Horses, 2,250,000; Imports, $824,000,000; Exports, $724,400,000.
Annual Value of Australia’s Products
Agriculture, $446,500,000; Pastoral, $566,750,000; Dairying, $236,000,000; Mining, $120,000,000; Manufacturing, $2,001,750,000; Total, $3,371,000,000.
518 Branches and Agencies in all Australian States, New Zealand, Fiji, Papua, Mandated
Territory of New Guinea, and London.
F O R E IG N B IL L S C O L LE C T E D — Cable remittances made to, and drafts drawn on Foreign
places DIR E C T. Circular notes issued. N E G O T IA B L E T H R O U G H O U T T H E W O R LD .
St. Louis A g e n ts: N A T I O N A L B A N K O F C O M M E R C E
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Sell Interest
In Texhoma Bank.
A transfer o f stock representing the
controlling interest o f The Farm er’s
National Bank o f Texhoma, Okla., has
been announced. Guy W . Slack and
W . H. Douglas who have owned the
major part o f this stock have material
ly reduced their holdings in a sale to
C. W . E. Bergner, H. S. Hawkins, A. F.
Krull, J. E. Huskey, Jas. L. Rowan,
T. A. Foster, H. J. Cornelsen, Oscar
Cornelsen and Emil Knutson, which it
is understood transfers from 180 to
200 shares o f stock o f the Farmers Na
tional Bank.
W ill Establish
Trust Department.
The Stillwater National Bank, Still
water, Okla., has been authorized by
the Federal Reserve Board to establish
a trust department. According to
James E. Berry, vice-president o f the
bank, the new department has been
organized. E. E. Good, cashier, has
been appointed trust officer.
Sells Interest
In Skedee Bank.
J. E. Newell, fo r many years head o f
the Citizens State Bank o f Skedee,
Okla., has relinquished all his interest
in that institution. G. M. Berry, prom
inent pioneer citizen o f Pawnee coun
ty, is now the principal owner. 0. R.
Livesay, form erly an assistant cashier
o f the First National Bank o f Pawnee
and later cashier o f the First State
Bank o f Webb City, is in charge o f
the Skedee bank.
H. E. Pendergast
Elected Cashier.
A t a meeting o f the board o f direc
tors o f the Farmers State Guaranty
Bank, Valliant, Okla., H. E. Pender
gast was elected cashier, John W.
Teters, assistant cashier. Carl Tur
ley, who has been cashier fo r a number
o f years, has been made a vice-presi
dent. Dr. A. W . Clarkson and S. V.
Hackworth were elected as president
and active vice-president.
John Hays, who has been cashier of
the Terral Bank, Terral, Okla., has re
signed.
Russ Bryant has accepted the posi
tion o f cashier o f the Stockyards Na
tional Bank, Oklahoma City.
The
First
National
Bank,
Boley,
Okla., has consolidated with Farmers
& Merchants Bank, Boley.
C. H.
Sweet, an executive of the
Central National Bank and Trust Com-
July, 1928
pany, Tulsa, since 1909, has been elect
ed president o f the institution to fill
the vacancy left by the resignation o f
J. E. Crosbie, president fo r the past
19 years.
Arrangements are under way for the
form ation o f a new bank at Dover,
Okla., with capital stock o f $15,000.
J. R. McCoy, liquidating agent fo r the
failed Bank o f Dover, will be cashier.
J. A. Price for 25 years an Okmul
gee business man, has been elected
chairman o f the board o f directors and
vice-president o f the Union National
Bank, Okmulgee, Okla.
T. J. Howe, who has been associated
with the Bank o f Gotebo, Okla., fo r the
past 20 years, has sold his interests
and will move to Mountain View, Okla.
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by army planes flying direct between
Chicago and Brule will make connec
tions with the regular overnight air
mail service operated by National Air
Transport between Chicago and New
York.
A special pouch filled with Presi
dential mail will leave Washington
every afternoon at 3 :20 o ’clock on the
Pennsylvania railroad arriving at New
Brunswick, N. J. in time to be placed
on the National Air Transport over
night plane which leaves Hadley Field
at 9 :35 p. m. and arrives at Chicago at
5 :35 a. m. The army plane will leave
Chicago immediately after the arrival
o f the National A ir Transport plane
and will cover the 400 miles to Brule
in a little less than four hours which
will make it possible to have the mail
deposited on the President’s desk at
10 :30 a. m.
Returning, the army plane will leave
Brule in the middle o f the afternoon
and arrive at Chicago at 7 :00 in time
to connect with the National Air Trans
port plane leaving Chicago at 8 :00 and
due to arrive at Hadley Field, New
Brunswick at 4:45 the next morning
and the Presidential air mail will reach
Washington at 11:00 a. m.
This special air mail service for the
President will start Tuesday, June 12
and remain in effect during his vacation.
“ W ho teaches me fo r a day is my
father fo r a lifetim e.” — Chinese Max
im.
Daniel Dugan Whiting, 43, president
o f the Madill National Bank, Madill,
Okla., died recently.
To The Banker
Chase National Stockholders
Approve Capital Increase
Contemplating a New or Remodeled
Building, Fully Equipped,
Ready for Service
Stockholders o f the Chase National
Bank and the Chase Securities Corpora
tion at special meetings approved a
proposal o f the directors for an increase
o f $40,000,000 to capital funds.
Ratification o f the capital changes
by the stockholders will give the Chase
National Bank and the affiliated Chase
Securities Corporation combined cap
ital, surplus and undivided profits ex
ceeding $177,000,000.
The plan provides for the sale to
shareholders o f 100,000 new shares o f
the bank’s stock, proceeds from which
will be used to increase the capital o f
the bank from $50,000,000 to $60,000,000, the surplus from $40,000,000 to
$60,000,000, and to add $10,000,000 to
the capital structure o f the Chase Se
curities Corporation. Stockholders are
being offered the privilege o f subscrib
ing to the new stock at $400 per share
on the basis o f one new share for each
five shares now held.
It is contemplated that the present
annual dividend rate o f $18 per share,
which represents 14 per cent on the
stock o f the bank and $4 per share for
the Securities Corporation, will be
maintained.
Knowing that strict adherence to,
and the practicing of only the highest
standards of business principles, with
integrity, responsibility, service and
quality above profit, is essential to
success, we respectfully place the
service of such an organization be
fore you.
Consultations confidential, and imply no
obligation
The J. H. Wise Company, Inc.
Bank Builders
Syndicate Trust Bldg.
St. Louis, M o.
^¿/n Tennessee
Nashville is the stragetic center
for your banking business.
In Nashville—
T h e d ir e c t rou tin g facilities o f the
A m e r ic a n B a n k s sp eed th e presen ta
Special Air Mail Service for
President Coolidge
President Coolidge will keep in close
touch with the country by air mail while
he is spending his summer vacation at
Brule, Wisconsin. Final arrangements
have just been completed by R. W . Ire
land, General Traffic Manager o f Na
tional A ir Transport and M ajor H. H.
Arnold, o f the Army A ir Service, where
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
tion and realization o f y o u r business.
The bank where more one-third of all Tennessee
Bankers bank is a good bank for your business. JP
c^Am erigan
B atiks
N A SM V ILLE
^American National Company
IAFFILIATEDI
*
'
74
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a n k e r
Illinois cBank News
O FF IC E R S IL L IN O IS BANKERS A S S O C IA T IO N : Omar H. Wright, president,
Second National Bank, Belvidere, president; Lyon Karr, president, First State
Bank Wenona, vice-president; William B. Dorris, cashier, First National Bank
O Fallon, treasurer; M. A. Graettinger, Chicago, secretary; Olive S. Jennings,
Chicago, assistant secretary.
GROUP C H A IR M E N : 1 . C. D. Tedrow, cashier, Citizens National Bank, Princeton;
Z. L. L. Parks, president, Bank of Farmington; 3. G. R. Haas, cashier, Ogle
County State Bank O regon; 4. Wm. M. Givler, cashier, First National Bank,
Naperville; 5. W. D. Kitchell, cashier, Farmers State Bank, Danvers; 6 . J C
Brydon, cashier First National Bank, Martinsville; 7. T. A. Scott, cashier, Scott
State Bank, Bethany; 8 . George Dyson, president, Rushville State Bank; 9 Henry
Eversmann, cashier Effingham State Bank; 10. B. Glenn Gulledge, assistant cashier,
Marion State & Savings Bank, Marion; 1 1 . P. E. Zimmerman, president, Oak
.Park Trust & Savings Bank.
O
m ar
H.
W
r ig h t
P resid en t
GROU P S E C R E T A R IE S : 1 . Gllenn Sheesley, cashier, Farmers National Bank, Viola2 John B. Fleming, cashier Bank of P eoria; 3. F. C. Baker, cashier, Stillman
Valley Bank; 4. trank W. Reed, president, First National Bank, Lake Forest;
3. J. C. Corbett, president, Commercial National Bank, Chatsworth; 6 1 D
Morse, cashier, Morse State Bank, G ifford; 7. C. R. Hill, cashier, First National
Bank, Sullivan; 8 . R. R Wallace, cashier, First National Bank, Hamilton; 9 .
Arthur Eidmann, cashier, St. Clair National Bank. Belleville; 10. L. K McAloin
Plaines’ State Bank0 " 31 Bank’ MetroP°lis i H. Wm. F. Graupner, cashier, Des
M. A. G r a e t t i n g e r
Secretary
John T. Culbertson
Elected Vice-President.
Millstadt Bank
Has New Building.
Begin New Home
For River Forest Bank.
A t the regular meeting o f the board
o f directors o f the Tazewell County
National Bank, Delavan, 111., John T.
Culbertson, Jr., was elected vice-pres
ident o f the bank to fill the vacancy
caused by the recent death o f E. M.
Wayne.
At the same meeting H arry Burns
was elected a director o f the bank
to succeed the late E. M. Wayne.
Hundreds o f visitors were guests o f
the First National Bank, Millstadt, 111.,
when the new bank building was open
ed fo r inspection.
Each visitor was taken through the
entire building and was handed a
souvenir and a booklet giving a his
tory o f the banking business in Mill
stadt and showing pictures o f the new
bank.
Excavations fo r the new building
fo r the River Forest State Bank, at
the southeast corner o f Lake and
Franklin, River Forest, 111., has begun.
The building will he two stories high,
but the second floor will be a mez
zanine, with the space over the center
o f the banking room running to a beau
tiful skylight dome. There will be
offices across the front o f the building
on the second floor, and the directors’
room will be on the same level, with
other offices fo r bank officials along
the east side o f the balcony.
Dixon Bank
Elects New Officers.
A t the regular monthly meeting o f
the Dixon Trust & Savings Bank,
Dixon, 111., P. I). Dana, cashier, re
signed on account o f poor health.
W . J. Albright, who has been asso
ciated with the bank since its organiza
tion, was elected to fill the vacancy
as cashier.
Ex-Postmaster William F. Hogan
and a present director o f the bank
was elected to the position o f assistant
cashier, filling the vacancy caused by
the advancement o f Mr. Albright.
Dakota Bank
Being Reorganized.
The State Bank at Dakota, 111., is
being reorganized and enlarged, with
increased capital o f $25,000 and many
new stockholders. A number o f the
leading citizens o f Dakota and vicinity
are interested in the reorganization
plans.
Walter W . McNeil
Dies at Home in Elgin.
Walter W . McNeil, fifty-two years
old, died at his home in Elgin, 111.,
after an illness o f three weeks with
pneumonia. He was form erly con
nected with McNeil & Higgins, a Chi
cago wholesale grocery concern, and
at the time o f his death was vicepresident o f the Home Trust and Sav
ings Bank, Elgin.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
St. Clair County
Bankers Elect Officers.
Fred J. Wagner, cashier o f the
Marissa State Bank, Marissa, 111., was
elected president o f the St. Clair Coun
ty Bankers Association at the annual
meeting o f this organization, which
was held at the Country Club in Belle
ville.
Other officers o f the St. Clair County
Bankers Association who were elected
at the meeting were: W . Iv. Kennedy,
First National Bank, East St. Louis,
vice-president; George Bieser, First
National Bank o f O ’Fallon, secretary;
and Cyrus Thompson, First National
Bank o f Belleville, treasurer.
Wm. H. Brinkley
Elected President.
The directors o f the City National
Bank, Shawneetown, 111., elected W il
liam H. Brinkley president o f that
institution to fill the vacancy caused
by the death o f the late John McKelligott, Sr., and John P. Fitzgibbon vicepresident to fill the vacancy caused by
the elevation o f Mr. Brinkley to the
presidency. Elgin C. Spivey was
chosen as a member o f the hoard o f
directors to fill the vacancy on the
board.
Mr. Brinkley, the new president,
assisted in the organization o f the
bank in 1909 and has since been ac
tively connected with it.
New Bank
Opens at Clayton.
Much interest was
Quincy, 111., and the
Adams County in the
o f the Clayton State
manifested in
eastern end o f
formal opening
Bank, Clayton,
111 .
The Clayton State Bank occupies the
corner form erly tenanted by the Clay
ton Exchange Bank, but the furniture,
fixtures, vaults and safes are all new
and o f the latest designs and safety
devices. It was granted permission by
the state banking department to open
about two months ago, and since then
the details have been completed.
The officers o f the new bank are
James S. Wallace, president; Oscar
T. Franks, vice-president; Charles G.
Dunham, secretary and W alter H.
Craig, cashier.
Two Paris Banks
Vote to Consolidate.
Boards o f directors o f the First Na
tional Bank o f Paris and the Illinois
Trust Company, Paris, 111., have voted
to merge the two institutions under
the name o f the First National Bank
and Trust Company o f Paris.
Under the agreement the capital
stock, surplus and undivided profits
o f the company will be $312,500.
July, 1928
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The Community State Bank, Roose
velt Road at Central Park Avenue, Chi
cago, has been accepted as an affiliated
member o f the Chicago Clearing House
Association. The officers o f the bank
are: Max Shulman, president; B. L.
Zinder, vice-president and cashier; Jos.
B. Taslitz, assistant cashier, and B. A.
Antonow, assistant cashier.
Resources total over $2,000,000.
D awes & Company
INCORPORATED
Investment Securities
The Wilmette State Bank, Wilmette,
39 S O U T H L A SALLE STR EE T
Illinois, is an “ honor r o ll” bank with
capital o f $100,000 and surplus and
profits o f more than $187,000. Total
resources o f the bank are more than
$3,500,000.
Chicago
Total resources of the Mendota Na
tional Bank, Mendota, Illinois, are now
more than $1,386,000 and deposits are
more than $1,171,000. R. N. Craw
ford is president; Adam Kliyla, vicepresident; B. J. Feik, cashier; and E.
A. W alker and C. W. Jacob, assistant
cashiers.
The Polo State Bank, Polo, Illinois,
reports an increase o f about $50,000
in deposits during the past year. E. J.
Diehl is cashier o f the bank.
The State Bank of Gridley, Gridley,
Illinois, is an “ honor r o ll” bank with
capital o f $25,000 and surplus and
profits o f more than $27,000. W . D.
Castle is president; J. R. Heiple, vicepresident; H. E. Diggle, cashier; and
E. P. Blessman, assistant cashier.
Jj
SERVICE
Capital
Surplus
Undivided
Profits
$3,500,000
1'P'
Faithfully serving the needs of InI dustrial St. Louis for the past 65
'J L years, qualifies this bank to extend
its depositors experienced financial
!L cooperation.
i
The Morrison State Bank, Morrison,
Illinois, is
capital o f
profits o f
Norrish is
president;
an “ honor r o ll” bank with
$25,000 and surplus and
more than $40,000. R. A.
president; Wm. Boyd, viceand W. L. Brewer, cashier.
The recent statement of condition of
the Farmers State Bank, Kenny, Illi
nois, shows resources o f more than
$279,000 and deposits o f more than
$231,000. Johnson Aughenbaugh is
cashier o f the bank.
The Farmers State Bank, Irvington,
Illinois, now has deposits o f more than
$189,000 and total resources o f more
than $233,000. A. F. Niemeier is cash
ier.
The Nilwood State Bank, Nilwood,
Illinois, has reduced the number o f its
directors from five to three.
H. B. Herrick, formerly vice-presi
dent, has been elected president o f the
Litchfield National Bank to fill the va
cancy caused by the death o f M. M or
rison. L. W. Cline was elected vicepresident to fill the vacancy caused by
the promotion o f Mr. Herrick.
Resources of the First State Bank of
Manlius, Illinois, are now more than
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Federal Reserve Bank of St. Louis
The Merchants Laclede National Bank
o f Saint Louis
76
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$364,000 and deposits are more than
$321,000. Max P. Siebel is cashier o f
the bank.
Deposits
of
the
Strasburg
State
Bank, Strasburg, Illinois, have increas
ed more than $30,000 during the past
year. The bank recently reduced the
number o f its directors from nine to
seven.
Resources of the
Thawville
State
Bank, Thawville, Illinois, are now more
than $406,000, and deposits are more
than $349,000. B. F. Thrasher is
cashier.
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The Farmers & Merchants Bank, W a-
pella, Illinois, is an “ honor r o ll” in
stitution with capital o f $25,000 and
surplus and profits o f more than
$32,000. Total resources are more than
$367,000. F. T. Greene is cashier.
Another “ honor roll”
First National Bank
nois. It has capital
surplus and profits o f
000. D. C. Swanson
July, 1928
a n k e r
bank is the
o f Paxton, Illi
o f $75,000 and
more than $78,is cashier.
The recent statement of condition of
the Buffalo Prairie State Bank, Buffalo
Prairie, Illinois, shows resources o f
more than $184,000 with deposits o f
$131,000. W . Claude Harris is cash
ier o f the bank.
Wm. H. Robinson and R. R. Nichols
have been added to the board o f di
rectors o f the State Bank o f London
Mills, London Mills, Illinois. The
bank is an “ honor r o ll” institution
with capital o f $40,000 and surplus and
profits o f more than $58,000.
Another Illinois “ honor roll” bank
is the State Bank o f Arthur which has
capital o f $25,000 and surplus and
profits o f more than $26,000. D. L.
Haney is cashier.
The recent statement of condition
o f the Farmers State Bank o f Chad
wick, Illinois, shows total resources o f
more than $362,000 with deposits o f
more than $305,000. W . J. Schreiner is
cashier.
The Fowler
State
Bank,
Rantoul,
Illinois, is another “ honor ro ll” bank
with capital o f $50,000 and surplus and
profits o f more than $59,000. Total
resources o f the bank exceed $510,000.
Resources of the Farmers & Mer
chants State Bank, Cypress, Illinois,
are now more than $149,000, and de
posits are more than $118,000. A. F.
Lentz is cashier.
The Utica State Bank, Utica, Illinois,
is an “ honor r o ll” bank with capital
o f $25,000 and surplus and profits o f
more than $28,000. Total resources o f
the bank are more than $399,000. E. E.
Childers is cashier.
Total resources of the Oakland Na
tional Bank, Oakland, Illinois, are now
more than $426,000, and deposits are
more than $268,000. E. N. Carter is
cashier.
The Athens State Bank, Athens, Il
Correspondent Banks interested in estab
lishing contact with a strong institution
that can meet every banking need will
find The Northern Trust Company an
ideal connection.
THE NORTHERN
TRUST COMPANY
Capital, Surplus and Undivided Profits Over $8,000,000
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Northwest Corner LaSalle and Monroe Streets
CHICAGO
linois, is this year celebrating its
eighteenth anniversary. During the
time it has been in business it has
never foreclosed a mortgage on real
estate; it has taken but fou r chattel
mortgages; and has had less than $300
in losses. The bank has a bond ac
count o f $126,000 and total resources
o f more than $410,000. Lewis Grubb
is cashier.
The recent statement of condition
o f the Farmers State Bank, Illiopolis,
Illinois, shows resources o f more than
$367,000 and deposits o f more than
$277,000. John C. Fait is cashier o f
the bank.
Resources
of
the
Buckley
State
Bank, Buckley, Illinois, are now more
than $459,000 and deposits are more
than $397,000. F. E. Singleton is pres
ident, and I. E. Merritt, cashier.
M
July, 1928
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The Bank of Edwardsville is celebrat
ing its sixtieth anniversary this year
and total resources are nearing the
$3,500,000 mark. The bank is located
on its original site with a home o f ul
tra-modern banking facilities.
I
Gordon V . Day, cashier of the State
Bank o f Lane, Lane, Illinois, is the new
chairman o f the DeW itt County Bank
ers Federation. Other newly elected
officers include W. H. Conn, vice-chair
man ; and Howard Thorp, secretarytreasurer.
Total resources of the First National
Bank, Altamont, Illinois, are now more
than $690,000, and deposits are more
than $595,000. Capital, surplus and
profits amount to more than $95,000.
J. E. Rhodes is president; J. M.
Rhodes and T. C. Clow, vice-presidents;
41 M illion A n H our
I f you th in k o f com m er
cial b an k in g as depositing
m oney
and
d r a w in g
c h e c k s — la st year th e se
o p e r a t io n s a t th e C o n
4
First National Bank, Altamont, Illinois
E. Hoffmeister, cashier; and W . O.
Klitzing, G. C. Dial and F. Gieseking,
assistant cashiers.
tinental totaled 61.9 billion
dollars, an average o f 41
m illion each b an k in g hour
The recent statement of condition of
the First National Bank o f Morrison,
Illinois, shows total resources o f more
than $852,000 with deposits o f more
than $502,000. The bank has capital,
surplus and profits o f more than $177,000. F. A. Osdol is cashier. Other
officers include J. A. Riordon, presi
dent; A. W . Badger, vice-president;
and Glenn Craddock, assistant cashier.
Total resources of the
First
Na
tional Bank o f Livingston, Illinois, are
now more than $414,000 and deposits
are more than $345,000. H. A. Malench is cashier o f the bank.
t
Assumption Bank
Buys New Building.
The First National Bank, Assump
tion, 111., has recently purchased a
¥
building located on the most prominent
corner in the city and is remodeling
same by veneering the exterior with
Buff Bedford Stone, and refinishing and
refurnishing the interior throughout.
This bank was organized in 1900 by
the Corzine Brothers, who own prac
tically all o f its stock, C. C. Corzine
being president, and A. H. Corzine,
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
CONTINENTAL
NATIONAL BANK
& TRUST COMPANY
OF CHICAGO
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cashier, and the fact that they have
not passed a dividend since it started
speaks fo r a successful management.
Resources Now
Over $1,578,000.00.
Total resources o f the Peru State
Bank, Peru, Illinois, are now more than
$1,578,000 with deposits o f more than
$1,250,000. The bank has invested
capital o f more than $328,000. Henry
Hoerner is president; Otto J. Loekle,
vice-president and cashier; and Sam
J. Marshall and J. L. Mankowski, as
sistant cashiers.
The First National Bank of Thomas-
boro, Illinois, now has resources o f
more than $248,000 and deposits o f
more than $181,000. O. J. Derrough
is cashier.
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July, 1928
a n k e r
The First Trust & Savings Bank,
The Troy Exchange Bank, Troy, Il
Sycamore, Illinois, is an “ honor r o ll”
bank with capital o f $100,000 and sur
plus and profits o f more than $142,000.
A. L. Stark is cashier o f the hank.
linois, has the unique distinction o f
having resources o f more than $644,000
and a bond account o f more than $491,000. L. P. Wetzel, cashier o f the bank,
believes that this is a record, and we
are inclined to agree with him, for
right now we can ’t think o f any other
Illinois bank with a bond account so
large in comparison to the bank’ s re
sources.
Resources
of
the
Farmers
State
Bank, Hoffman, Illinois, are now more
than $124,000, and deposits are more
than $107,000. C. R. Bowman is pres
ident; Vincent Meyer, vice-president,
and H. N. Husmann, cashier.
The First State Bank of Biggsville,
The First National Bank of Amboy,
Illinois, is an “ honor r o ll” bank with
capital o f $100,000 and surplus and
profits o f more than $123,000. De
posits o f the bank are more than $1,450,000. H. H. Badger is cashier o f
the bank.
Illinois, which opened fo r business
September, 1927, now has resources
more than $76,000 and deposits
more than $46,000. A. P. McHenry
cashier o f the bank.
in
of
of
is
G-eo. P. Koertge has been elected to
the board o f directors o f the First
State Bank, Parkersburg, Illinois, to
fill the vacancy caused by the death o f
H. M. Findley.
The recent statement of condition of
the First National Bank, Wilmington,
Illinois, shows resources o f more than
$743,000. L. A. Bittermann is cashier
o f the bank.
The Hancock County National Bank
now has resources o f more than $1,054,000 and deposits o f $831,000 with no
rediscounts and no bills payable. F. J.
Reu is president o f the bank and L. C.
Cherrill is cashier.
E. E.
Fundamentals
I
N THE many contacts between your bank
and your Chicago correspondent there
arise numerous situations that only a prop'
erly-equipped bank can handle.
The fundamentals necessary to intelligent
service are present at this bank. You will find a
connection here of ever-increasing advantage.
Critchfield, president of the
First National Bank o f Wheaton, Illi
nois, has just returned from Seminole,
Alabama, where he has spent the last
three months at his winter home. He
reports excellent fishing and some good
shooting.
Resources
of
the
Farmers
State
Bank, Emden, Illinois, are now more
than $370,000 and deposits are more
than $302,000. C. J. McCormick is
cashier o f the bank.
Resources of the Citizens National
Bank, Toluca, Illinois, are now more
than $317,000, and deposits are more
than $254,000. B. J. Ghiglieri is cash
ier.
Change in
Shipman Bank.
The Foreman National Bank
The Foreman Trust And Savings Bank
La Salle and Washington Streets, Chicago
RESOURCES
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
EXCEED
100
MILLION
DOLLARS
Due to recent death o f John E.
Randle, cashier o f Citizens State Bank
o f Shipman, 111., Lester E. Kelsey, as
sistant cashier, has been promoted to
the office o f cashier o f the Citizens
State Bank. Sam Rhodes has been
engaged to succeed Mr. Kelsey.
Purchase Site
For New Building.
The northeast corner o f Irving Park
boulevard and Crawford avenue, Chi
cago, has been purchased by the Irv-
July, 1928
/
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ing Park Safe Deposit Vault Company,
affiliated with the Irving Park Na
tional Bank. It was announced by the
officers o f the vault company that the
purchase has been made to assure the
Irving Park National Bank o f a loca
tion fo r a new home when the Avon
dale highway project, recently approv
ed by the Chicago Plan Commission, is
completed.
The officers o f the Irving Park Safe
Deposit Vault Company are: Murray
McLeod, president; Ralph N. Ballou,
vice-president, and P. L. McDonald,
secretary-treasurer.
$40,000.00,
surplus
and undivided
profits o f $75,000.00 and total re
sources o f over $700,000.00.
McLean County
Bankers Elect Officers.
after twenty-eight years o f business is
now increasing the capital stock from
twenty-five to fifty thousand dollars.
The First National Bank of Lake
Forest, 111., has elected three new di
rectors to its board. The new men
are: John Coleman, Charles F. Glore
and Farwell Winston.
Thomas Creager Stifler, 45, vice-pres
ident o f the First National Bank, Rossville, 111., died May 28th, after an
illness with which he had suffered since
last Christmas.
The Drovers State Bank, Vienna, 111.,
Walter L. Rust, cashier o f the M c
Lean County Bank, McLean, 111., was
elected president o f the McLean Coun
ty Bankers Association at the annual
meeting held in McLean.
R oy Kimler, cashier o f the Pirst Na
tional Bank o f Leroy, was elected vicepresident and P. A. Johnson, cashier
o f the Liberty State Bank, was made
secretary-treasurer.
C. G-. Anderson
Heads Moline A. I. B.
«
Clark G. Anderson, cashier o f the
F ifth Avenue Trust and Savings Bank
o f Moline, 111., was reelected president
o f the tri-city chapter o f the Ameri
can Institute o f Banking, at the an
nual meeting held in the First Na
tional Bank, at Davenport.
New Bank
A t Warrenville.
The form al opening o f the W arren
ville State Bank, Warrenville, 111., was
held June 9. The officers o f the new
institution are: president, A. C. H oy ;
vice-president, Glen M ount; secretary,
Fred P. M ignin; cashier, H. B. Evans.
Two Shelbyville
Banks Are Merged.
Merger o f the Shelby County State
Bank and the Tower H ill State Bank,
Shelbyville, 111., with all accounts o f
the latter institution transferred to
the Shelby Bank, was completed June
4. F. R. Dove is president o f the
merged institutions.
Extensive
improvements,
including
interior and exterior decoration and
alterations, are being made at the First
National Bank, Elgin, 111., at an ap
proximate cost o f $25,000.
Frank E. Pomeroy, president of the
W hite County Bank, Carmi, Illinois,
is enjoying a well earned vacation on
an automobile trip through the East.
This is the first real vacation that Mr.
Pomeroy has taken since his bank was
organized twenty-four years ago. The
White County Bank has a capital o f
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Federal Reserve Bank of St. Louis
The business of the Viola State Bank,
Viola, 111., which was recently closed,
has been taken over by the Farmers
National Bank o f Viola, and all deposi
tors o f the closed bank will be paid
in full.
The First National Bank
made by the Statistical
and Research Division o f this Ban\
It is independent o f any de
partment o f the Bank and is, in
fact, called upon by the various
departments for information.
Banks find the services o f this
division especially valuable in
connection with their second
ary reserves. T im e and again
bankers write that the complete
investment data furnished by
this division has enabled them
to strengthen their secondary
reserves,particularly in respect
to liquidity.
T h e report submitted them
by the Statistical and Research
Division, analyzing the status
o f each o f their securities and o f
their lists as a whole, with rec
ommendations attached, gives
them an authoritative guide for
improving their holdings.
T h is report places the bank
requesting it under no obliga
tion to the Illinois Merchants
T r u s t C om pan y. Banks are
invited to avail themselves o f
the services o f this division.
I llinois M erchants
T rust C o mp an y
R esou rces O v e r
Bar
“ All pursuits are mean in compar
ison with learning.” — Chinese Maxim.
I mpartial analyses
of investment holdings...
T h e Illinois Merchants Trust
Company maintains a special
Statistical and Research D ivi
sion, from which may be se
cured disinterested analyses o f
investment holdings.
of
rington, 111., will remodel its building
on Park avenue and S. Cook streets.
The improvement will include an en
tire new front o f stone or terra cotta,
and remodelling throughout so that the
completed work will make it virtually
a new building.
45©
sJ M lllio n D o l l a r s
CHICAGO
80
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July, 1928
F. O . Birney Elected M em ber
o f Executive Council
"Roll of Honor” Banks
Frank 0. Birney, president o f the Re
liance Bank & Trust Company, Chicago,
was elected a member o f the Executive
Council o f the American Bankers As
sociation, at the annual meeting o f the
in Illinois
It is an honor to be listed among the Honor Roll Ranks of Illi
nois. It indicates that the bank has surplus and undivided profits
equal to or greater than its capital!
The banks listed on this page constitute a partial list of the
Honor Roll banks in Illinois and they 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
City
Bank
Abington. . . . . .First N ational......... ............... $
Alexander. . . . .Alexander S tate.....................
Assum ption. . . Illinois S t a t e ..........................
Beardstown. . . First S tate.................. .............
B erw ick......... . .Farmers State. . . . . . . . . . . .
Bloom ington. American S tate.......................
Bloom ington. . Corn Belt State.......................
Canton......... .. . .Canton N ational.....................
Chapin............. . .Chapin State. . . .
75,000
25,000
25,000
100,000
30,000
100,000
100,000
125,000
25,000
Chicago........... .Central M fg. D istrict...........
500,000
Chicago........... .Cont. & Com. Tr. & S v g .. . 5,000,000
Chicago........... .Drovers Tr. and S vg.............
250,000
Chicago........... .First Tr. and S vg............. .. . 6,250,000
Chicago........... .First N ational......................... 12,500,000
Chicago........... .Foreman N a t io n a l................
5,000,000
Chicago........... .Harris Tr. and S vg...............
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 C o m p a n y .. . . 3,000,000
De K a lb ......... . First N ational.........................
100,000
Downers Gr.. . State Bank & Trust Co.........
100,000
F lora................ .F ir st N a t io n a l.......................
50,000
Freeport......... .F irst N ational................ .........
150,000
Grand Ridge. . First N ation al.........................
25,000
Highland Park Highland Park State Bank
200,000
Joliet................ .F irst N ational.........................
400,000
Joliet......... .. . . .Joliet N ational.........................
150,000
Joliet................ . Joliet Trust and Savings Bank 100,000
La S alle......... . La Salle National Bank. . . .
200,000
M urphysboro. .City N ational...........................
50,000
M t. V e r n o n .. . Third N ational.......................
125,000
N ew Athens. . .State Bank of N ew Athens
25,000
Rushville. . . . . .Rushville S tate.......................
100,000
T iskilw a......... . First S tate................................
25,000
U rbana............ . .First N ational.........................
50,000
W a rre n ........... .State B an k ................................
75,000
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
and Profits
Capital
$
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
6,823,000
4,874,000
35,231,000
5,347,000
6,563,000
4,753,700
160,000
122,000
75,000
430,000
33,000
354,023
950,000
650,000
119,633
330,000
62,000
200,000
45,000
105,000
30,000
60,000
95,000
F R A N K O. B IR N E Y
Illinois State Bankers Association held
in Rock Island, Illinois, June 20-22.
Mr. Birney’s first official banking con
nection dates back to 1911 when he be
came associated with the Chicago Trust
Company, and after occupying various
executive positions with that bank and
also being president o f the First Engle
wood State Bank, he resigned, in 1924,
to head up the Reliance Bank & Trust
Company, which is one o f the principal
outlying banks o f Chicago.
Two o f N ew Orleans’ Large
Banks A re Merged
Just as this issue goes to press, an
nouncement is received o f the merger
o f the Canal Bank and Trust Com
pany and the Marine Bank and Trust
Company, o f New Orleans, thereby
making the largest bank in the entire
South.
The Canal’s deposits are more than
$77,500,000.00, with capital and surplus
o f $8,117,189; and the Marine Bank’ s
deposits are more than $27,000,000.00,
with capital and surplus o f $3,285,573.
Details as to the official personnel are
not known at this time, but it has been
announced that L. M. Pool, president
o f the Marine Bank, will be executive
vice-president o f the merged institu
tions and that John Bandi and Wm. P.
O ’Neal, vice-presidents o f the Marine
Bank, will be vice-presidents o f the
merged institutions which will be head
ed by J. P. Butler, president o f the
Canal Bank & Trust Company.
July, 1928
M
IN D E X TO ADVERTISERS
Abraham Lincoln Life, Springfield, III........
Alexandria Hotel, Los A ngeles..................
A. C. Allyn & Co., Chicago..........................
American Financial Holding Corp., New
York ..............................
American Fixture Co., Kansas C ity..............
American Banks, Nashville, Tenn....................
Anakin Co., Chicago............................................
Lorenzo E. Anderson & Co., St. L o u i s ....
Atwater Kent Manufacturing Co..................
Bank of Commerce & Trust Co., Memphis
Bank of New South Wales, Sydney, Aus
tralia ............
Berkowitz Envelope Co., Kansas C ity........
Boatmen’ s National Bank, St. L ouis..........
Brokaw & Company, C h ic a g o .......................
Brookmire Economic Service, New Y o r k .. ..
Caldwell & Company, Nashville..................
Camp, Thorne & Company, Inc., Chicago. .
P. W . Chapman & Company, Chicago........
Chase National Bank, New York C ity..........
Chicago & Alton R. R., Chicago..............
Cobb & Co., R. H., St. Louis..........................
Cody Trust Company, C hicago..................
Commerce Trust Company, Kansas City. .
Commercial National Bank, Shreveport, La.
Continental Nat. Bk. & Tr. Co., Chicago
Elliott R. Couden Syndicate, St. L ouis..
Davis, Smith & McAnulty, Springfield. . . .
Dawes & Company, Chicago..........................
D’ Oench, Duhme & Co., Inc., St. Louis........
Equitable Bond and Mortgage Co., Chicago
Equitable Trust Company, New York City
Federal Laboratories, Inc., Pittsburgh, Pa.
Federal Surety Company, Davenport, Iowa
Fifth Avenue Hotel, New Y o rk ..................
Fifth-Third Union Trust Co., Cincinnati..
First Illinois Company, C hicago..................
First National Bank, Chicago......................
First National Bank, Jefferson City, Mo.
First National Bank, St. Louis, M o................
Fletcher American Company, Indianapolis..
Foreman Banks, Chicago..................................
Francis, Bro. & Co., St. L ouis......................
General Motors Acceptance Corp., New
York City ....................
Halsey, Stuart & Company, C hicago..........
The Hanchett Bond Co., Chicago..................
Ferd W. Hemker & Company, St. L o u is ...
Herring-Hall-Marvin Safe Co., Hamilton,
Ohio ................................................................
Hibernia Bank and Trust Co., New Orleans,
La........................................................................
Hoagliand-Allum & Co., Chicago..................
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
19
51
53
42
23
73
3
45
14
69
72
63
58
37
54
32
30
38
65
64
51
47
13
71
77
56
40
75
31
48
61
81
19
51
27
47
20
64
2
49
78
54
52
36
40
34
59
81
34
XXXI
Genuine Mahogany
m anogany
M e x ic o ,
C e n tra l
is i m p o r t e d
A m e r ic a , th e
W e s t I n d ie s a n d th e N o r t h c o a s t o f
S o u th A m e r ic a .
E i g h t y p e r c e n t o f a ll th e
g en u in e
m a h o g a n y im p o r te d in to th e U n ite d
S ta te s
N ew
a ll
com es
th ro u g h
O r le a n s , a n d
m ahogany
th e
s ix ty
e x p o rts
P ort
of
percent
of
are
h a n d le d
t h r o u g h t h is p o r t.
Hibernia Bank
Trust Co.
New Orleans, U. S. A.
o n t in e n t
B
81
a n k e r
Nothing is high because it is in a
high place ; and . . . nothing is law
because it is in a low one.— Dickens.
N ew Orleans
fr o m
-C
Hotel Ambassador, Kansas C ity...................... 63
Hotel Baltimore, Kansas C ity........................ 54
Hotel President, New York C ity.................. 81
Illinois Honor Roll Banks.............................. 80
Illinois Merchants Trust Co., Chicago.......... 79
International Life Insurance Co., St. Louis 17
Knight, Dysart & Gamble, St. L ouis.......... 46
Krenri & Dato, Inc., Chicago...................... 33
L. D. Lacy Company, St. L ou is.................. 65
A. B. Leach & Co., Inc., Chicago.............. 56
Liberty Central Trust Co., St. Louis.......... 26
Liberty Insurance Bank, Louisville.............. 67
Marine Bank & Trust Company, New Or
leans ................................................................ 70
O. B. McClintock & Company, Minneapolis 54
Mercantile Trust Company, St. L ouis.......... 4
Merchants Laclede National Bank, St. Louis 75
Midland Bank, Limited, L ondon.................. 56
Mississippi Valley Trust Co., St. L o u is .... 60
Missouri Honor Roll Banks.......................... 62
Morrison Hotel, Chicago........................ .. . . . 18
Mortgage & Securities Co., New O rleans... 43
National Bank of Commerce, St. L o u is .... 84
National Cash Register Company, Dayton. . 83
National City Company, New York City. . 50
National Park Bank, New York C ity........ 72
National Shawmut Bank, B oston.................. 72
Northern Bank Note Company, C h ic a g o .... 75
Northern Trust Company, Chicago.............. 76
E. H. Ottman & Company, Chicago.......... 46
Piccadilly Hotel, New York C it y .:.............. 66
Republic Casualty & Surety Co., Chicago. . 16
Rogers Park Hotel, Chicago........................... 46
H. L. Ruppert & Co., St. L ouis.................. 55
St. Louis Bank Bldg. & Equipment Co.,
St. L ouis.......................................................... 24
H. Smith & Co., Bonds, Chicago............... 40
Smith, Moore & Company, St. L ouis.......... 35
Spink Arms Hotel, Indianapolis................... 64
Mark C. Steinberg & Co., St. L ou is.......... 55
Straus National Bank & Trust Co., Chicago 25
Robert S. Strauss & Co., Chicago.............. 44
The Todd Company, Rochester, New York 22
True Securities Company, Chicago................ 41
Union & Planters Bank & Trust Co., Mem
phis .................................................................. 68
G. H. Walker & Company, St. L ou is.......... 40
Wessling Serivces, Lytton, Iow a .................. 21
Whitney Central Banks, New Orleans.......... 71
James C. Willson & Company, Louisville 67
The J. H. Wise Company, Inc., St. Louis 73
A Typical New OrleansMahogany Mill
G e n u in e
id
Sound Banking
Includes
Self-Protection
This can best be secured
with —
— in gas guns built into your bank to
conform to the style of architecture and
concealed in walls and partitions at
strategic points; in messenger bags; in
police billies; and in revolver cartridges.
Banks everywhere— more than 3000—
are using Federal Gas for
daylight protection.
Write for This Booklet:
“ Beating the Bandit”
— which tells you all about this marvelous,
scientific method of protecting your life and
property.
FEDERAL LABORATORIES,
I nc .
1631 Liberty Avenue, Pittsburgh, Pa.
Branches in Principal Cities
82
St. Louis Commerce Company
Opens Houston Office
The St. Louis Commerce Company,
an investment division o f The Nation
al Bank o f Commerce in St. Louis and
The Federal Commerce Trust Company,
officially opened an office in the Second
National Bank Building in Houston,
Texas on June 19.
The new office is under the supervi
sion o f A. W . Snyder, vice-president
o f the St. Louis Commerce Company,
and will be devoted to the origination
and distribution o f investment securi
ties, and to the usual bank services.
Mr. Snyder is a form er resident o f
Houston and is well known there.
From 1922 to 1925 he was connected
M
id
-C
o n t in e n t
B
a n k e r
with the Houston bond house o f Dunn
& Carr.
In a statement given out by John G.
Lonsdale, president o f The National
Bank o f Commerce, in connection with
the opening, high praise was accorded
Texas and the Great Southwest terri
tory.
“ I always have believed strongly in
the Great Southwest,” said Mr. Lons
dale, “ and our bank has devoted a
great deal o f its time to helping in
the upbuilding o f this empire, espe
cially Texas. Industries are springing
up over night, extensive improvements
are being laid out daily in nearly every
locality, new roads are being built,
and a spirit o f sane progressiveness is
noted on every hand.* I f the St. Louis
July, 1928
Commerce Company can be instrumen
tal in helping to shape a constructive
future fo r these varied activities and
developments, it will be extremely
happy to do so. The same conserva
tism and mature judgment that has
won The National Bank o f Commerce
and its subsidiaries a reputation for
sound financing will be in evidence in
the conduct o f the Texas office o f the
St. Louis Commerce Company.”
“ N ow ,” cautioned the judge, “ re
member you are to tell the truth, the
whole truth and nothing but the
truth. ’ ’
1‘ G olly ! ’ ’ exclaimed the dusky de
fendant. “ Mali case am lo s’ right
n ow ! ’ ’
SN A PPED A T T H E ROCK ISLA N D CO N V EN TIO N
Top row, left to right: E. A. Hintz, cashier, Peoples Trust & Savings Bank, Chicago; A. S. Bagnall, assistant cashier, Stock
Yards National Bank, Chicago; Chas. A. Burns, vice-president, The Foreman National Bank, Chicago; Fred Krone, manager St.
Louis office, Mortgage & Securities Company; H. V. Meyer, cashier, Illinois State Bank, East Alton; B. I. Peterson, vice-presi
dent, Stock Yards National Bank, Chicago; Walter H. Land, vice-president, National Stock Yards National Bank, National
Stock Yards; Mrs. Walter H. Land; D. L. Barnes, president, American Banking Company, Springfield; Mrs. D. L. Barnes; R. P.
McElroy, assistant vice-president, First National Bank in St. Louis; Mrs. R. Kramer, Chicago; W. L. Rust, cashier, McLean
County Bank, Bloomington; Mrs. R. P. McElroy.
Bottom row, left to right: Fred L. Edwards, Illinois representative, Krenn & Dato; Wm. H. Maas, Chicago vice-president,
Mid-Continent Banker; Mark Collor, assistant vice-president, Illinois Merchants Trust Company, Chicago; F. Lee Major, vicepresident, Boatmen’s National Bank, St. Louis; L. D. Kelly, vice-president, National Bank of Commerce in St. Louis; F. J.
Wagner, cashier, State Bank of Marissa; W. R. Davis, cashier, Peoples State Bank, Astoria; Fred Krone, manager St. Louis
office, Mortgage & Securities Company; C. F. Ferry, Federal Reserve Bank, St. Louis; Paul S. Abt, vice-president, Southern
Illinois National Bank, East St. Louis; C. A. Beers, vice-president, Manufacturers Trust & Savings Bank, Rock Island; A. C.
Walker, assistant cashier, Illinois Merchants Trust Company, Chicago; Wm. H. Maas, Chicago, vice-president, Mid-Continent
Banker; Max Steiner, vice-president, Chicago Trust Company; Carroll S. Felter, manager wholesale department, Robert S.
Strauss & Co., Chicago; L. R. Peyla, vice-president, Woodruff Securities Co., Joliet; Edward B. Clark, assistant to the presi
dent, National City Bank, St. Louis.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
July, 1928
M
id
-C
o n t in e n t
B
83
a n k e r
A New
Safeguard
for Savings
Accounts
Printed entries
on pass-book,
ledger card
and audit sheet
DA TE
1
2
3
4
JOHN W . SMITH
1,254,56*1
WITHDRAWAL
TRAN.I ACCOUNT NO.
D E P O S IT
BALANCE
1--1-28
* * 3 0 0 .0 0 * * * 300.00 A*=# 1234567
* *6.00 * * * 306.00 2 =# 1234567
7 -1 2 8
7-15-28 * * *55.67
* * * 2 5 0 .3 3 r
=# 1234567
7-22-28
*1.000.00 **1.250.33 B =# 1234567
5
W it h N a t io n a l P o s t i n g M a c h in e s p a s s b o o k s a n d
l e d g e r e n t r ie s a r e m a d e in p r in t e d fig u r e s .
Today there is a new safeguard for the protec
tion o f both bank and depositor in the handling
of savings accounts. A machine which prints
three records of a deposit or withdrawal at one
operation, which makes certain that the deposi
tor’s record and the bank’s record are exactly
the same.
In providing this protection the National Post
ing Machine has eliminated one o f the greatest
weaknesses in banking. With this system an
entry, either on the ledger card or in the
passbook, cannot be changed. The record must
be posted to the right account, for all posting
is done at one operation.
Handwritten figures, often illegible and al
ways easily changed, are replaced by neat
printed figures. At the end o f the day a balance
is quickly obtained because the machine keeps
a total of all deposits and withdrawals. A
wire or letter to Dayton will bring complete
information about the National Posting Ma
chine for Banks.
Among the banks
which use National
Posting Machines
National City Bank
Bowery Savings Bank
Dry Dock Savings Inst.
Central Savings Bank
Chatham & Phenix
National Bank
Bank of Italy
Anglo-California Trust
Company
First National Bank,
Boston
Municipal Bank, Brooklyn
M ellon National Bank
Oxford Bank & Trust Co.,
Philadelphia
Hum bolt Bank,
San Francisco
Equitable Trust, Baltimore
Atlanta & Lowry
National Bank, Atlanta
Northern Trust Company
National Bank-Posting Machines
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Product of The National Cash Register Company
Dayton, Ohio
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
F
mail plane that takes off from the
St. Louis flying field carries its quota of letters
from The National Bank of Commerce in
St. Louis, destined to the many points that can
be reached speedily and advantageously *
through the Air-Mail Service.
. 1 —/V E R Y
One of the first banks to vision the possibilitiesof this modern means of transportation,
‘'Commerce” is making increased use of this
progressive method of speeding on their way
suitable banking items and other rush mail.
S t Louis is rapidly becoming the air center of
the nation. Correspondent banks will do well
to become identified with an institution that
uses the speediest and most up-to-date means
of transacting business.
National
Bank o f
astd
M
Commerce
-------------------------------------- --------------------------------- in St.Louis
federai Commerce Trust Compatir
BROADWAY ìjÈ^I OLIVE TO PINE
@FedFRASER