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Federal Reserve Bank of St. Louis
2
THE
NORTHWESTERN
Northwestern National
JOHN T . B A X T E R , P re sid e n t
FO UNDED
MUTUAL,
OLD-LINE,
W E S T E R N
D IR E C T O R S
W . DECKER,
B ank
P res.
F i r s t N a t io n a l
N o rth w e ste rn
N a tio n a l
C . T . J A F F R A Y , P r e s. F ir s t N a tio n a l B a n k
T . B . J A N N E Y , P r e s . J a n n e y , S e m p le , H ill & C o.
E . L. C A R P E N T E R ,
P res.
S h e v lin -C a r p e n t e r C l a r k e C o.
MINNEAPOLIS, MINNESOTA
PU R EL Y
April, 1922
F . A . C H A M B E R L A I N , C h a irm a n
B ank
E.
Life Insurance Company
A
BANKER
C O M P A N Y
B . F . A 'E L S O N , P r e s . H e n n e p i n P a p e r C o .
A . A . C R A N E , V i e e - P r e s . B a n k e r s I n v e s t m e n t C o.
J. A . L A T T A , V i c e - P r e s . N o r t h w e s t e r n N a t i o n a l
B ank
JO H N T . B A X T E R , P res.
N o rth w e ste rn
N a t’l
L ife In s . C o.
1857
OFFICERS
F. H
D A V I S , P r e s id e n t
C. T . K O U N T Z E , V ic e P r e s id e n t a n d
C h a ir m a n o f th e B o a rd
T . L . D A V I S , V ic e P r e s id e n t
J O H N W . G A M B L E , V ic e P r e s id e n t
F . W . T H O M A S , V ic e P r e s id e n t
E . L . D R O S T E , V ic e P r e s id e n t
J. H . B E X T E N , C a s h ie r
G . T . Z I M M E R M A N , A s s t . C a sh ie r
A . H . C H IS H O L M , A s s t . C a sh ie r
E . F . J E P S E N , A s s t . C a sh ie r
The
N orthwestern
Banker
J . F . M c D E R M O T T , A s s t . C a s h ie r
“ The Necessary Financial Journal’ ’
Resources $20,000,000.00
0
i r s t
N a t io n a l
Bank o f O m
is at your
Service—Always
a h a
CLIFFORD DePUY
h a s e f f ic ie n t ly s e r v e d W e s t e r n B a n k s f o r
(>3
years.
Your
b u s in e s s
is
in v ite d .
PUBLISHER
The Prosperity Center
Use Our Knowledge of Iowa
What is more reasonable than that this old and
progressive Iowa bank should be able to serve you
intelligently in anything that is banking?
Send us your Iowa items—only when we have
demonstrated our ability to serve you satisfac
torily do we ask for your account.
You are invited to take advan
tage of the comprehensive serv
ice offered by the First Na
tional Bank of Sioux City, Iowa,
in the handling of all items
drawn on points in Iowa, South
Dakota, Nebraska and Minne
sota.
Write, wire or telephone when
you demand immediate action.
THE
FIRST NATIONAL BANK
FIRST NATIONAL BANK
DAVENPORT, IOWA
OF SIOUX CITY, IOWA
A. F. DAWSON, President
IRVIN J . GREEN, Cashier
Capital, Surplus and Profits, $800,000.00
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The manufacturing East moved West
to meet the farms.
When the great call came from the
prairie states for binders, and plows,
and threshing machines, they were not
made in Massachusetts, Connecticut or
New York. They were made in the
West.
On the frontier of the Western grain
fields of the continent there is a line of
important manufacturing cities. They
are strongholds of the farm implement
business. They extend from Winnipeg
to St. Louis, and they form a string of
fortresses as imposing in the manufac
turing world as the Hindenburg or
Wotan lines otfCe were in the world of
warfare.
At the north end of the American line
is Minneapolis.
It is one of the largest manufacturing
and distributing points for agricultural
implements and tractors in the United
States. In 1920, its sales of these
implements reached $167,000,000. Min
neapolis, as is well known, is the largest
manufacturer of flour in the world, yet
during 1920 the valuation of its output
of flour barely reached this total.
These figures for 1920 are given in order
to show the relative importance of
Minneapolis as an implement center.
It was a year, however, of greatly
inflated values, and much commercial
activity. Conversely, the year 1921,
owing to post-war deflation, was un
usually and universally dull.
The
present season is expected to bring a
return to a level more nearly normal.
By advertising Minneapolis, this bank
advertises itself. The Minneapolis terri
tory is The Northwestern territory.
For fifty years this bank has been
established at the gateway of the North
west. As the spring wheat country
has extended its size and wealth, The
Northwestern has improved its capa
city for service, and has enlarged its
circle of friends.
Resources $56,000,000
M inneapolis
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Federal Reserve Bank of St. Louis
4
THE
NORTHWESTERN
BANKER
April, 1922
THE IOWA HOMESTEAD
IS THE
Greatest Advertising Force
In Iowa
Business in Iowa is dependent upon farmer trade and the connect
ing link between business and the farmer in Iowa is The Iowa
Homestead.
Every store in Iowa with farmer customers is receiving trade
stimulus to move products advertised in The Iowa Homestead.
Tell this to your merchant customers who want to move goods!
If they will stock goods advertised in The Iowa Homestead sales
efforts will automatically become greatly strengthened.
The Iowa Homestead reaches more homes in Iowa than any paper
published by anybody anywhere.
Your sound advice favorable to consistent advertising will make
business better for the merchant—the farmer— your bank and Iowa.
THE IOWA HOMESTEAD
DANTE M. PIERCE, Publisher
DES MOINES
160y000 Circulation W eekly
130,000 in Iowa
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Federal Reserve Bank of St. Louis
THE
April, 1922
NORTHWESTERN
BANKER
POLITICAL ADVERTISING
A Business Man
(Not a Politician)
FOR
State Treasurer
OF IOWA
A vote for Ainsworth
with
his
twenty-five
years of business ex
perience, means a vote
for thoroughness and
efficiency
in
public
COL. L. W. AINSWORTH
office.
Honorable B. F. Carroll, for six years
State Auditor, four years Governor, says:
“ Col. L. W . Ainsworth is well qualified for the office of
Treasurer of State, and if elected to that position will bring
to that office a T H O R O U G H L Y TRAINED and EFFI
CIENT BUSINESS MIND.
Among his many other excel
lent qualities is that of intense loyalty to his country.
He
was a soldier in the Spanish-American war, was with the
National Guard during the Mexican border trouble, and
gave up his family, his home and his business to go “ over
seas” in the great World W ar, in answer to the call of his
country.
HIS ELECTION TO TH E OFFICE OF TR EAS
U RER OF STATE W O ULD BE M OST FO R TU NA TE
AN D F IT T IN G .”
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Federal Reserve Bank of St. Louis
6
THE
NORTHWESTERN
BANKER
April, 1922
NORTHWESTERN
t BANKER t
C L IF F O R D D E P U Y
Publisher
G . A . S N ID E R
Manager
DONALD H. CLARK
Editor
R ALPH W . M O O R H E AD
Associate Editor
Copyrighted 1922 by Northwestern Banker.
CONTENTS
Twenty-seventh Year
FOR AP R IL
Number 416
Page
Editorial Comment.................... By Clifford DePuy
Frontispiece
............................ ......... A. T. Hibbard
8
10
States Have Varied Experiences Under Guaranty
of Bank Deposits.................. By D. R. Crissinger 11
How the American Institute of Banking Helps
the Banker to Help Himself................................
..........................................By Clarence R. Chaney
How a Country Bank Encouraged Dairy Industry
by Selling Cattle at Cost......................................
............................................... By Donald H. Clark
12
13
What Is the True Financial Situation of the
Western Farmer Today?.......By E. D. Chassell
14
The Comeback .................. -..By Dr. Prank Crane
15
Service for Country Bankers Prepared by Finan
cial Advertisers’ Association.............................
............................................... By Donald H. Clark 16
If We Could Only See Ourselves as the Bank Ex
aminer Sees Us...........By Geo. T. McCandless 17
Put Your Banking House in Order........................
................................................... By D. R. Wessling
18
Page
Bankers Should Know the Many Errors in Tax
Returns Which “ Come Back” ..............................
.......................................By H. Archibald Harris
24
Cartoons of the Month...............................................
25
How a Bank Secured 12,000 New Savings Ac
counts at a Cost of 46 Cents Each......................
.................... .....:............... By Craig B. Hazlewood 26
Will New York Gradually Be Displaced as the
Money Center of the World ?..By Leslie Hanson
28
What Bankers Are Thinking— Letters from
Northwestern Banker Readers..............................
30
Agreements for Fictitious Auction Bids— By the
Legal Department............................................. ,....
Personal Paragraphs .......... ......... ........ .....................
32
35
Canada’s Great Need Today Is Increased Popula
tion to Aid in Development....By S. C. Newton 39
Bond Section ........................ ...................................... 43
Iowa Farm Mortgage Section...................................
49
Bank Equipment Section................. .........................
53
In the Directors’ Room.................... .........................
58
For Bankers and Their Wants............................
59
Insurance Section .......................................................
61
South Dakota Bank News..........................................
67
Agricultural States of Middle West Are Rapidly
Recovering From Depression....By F. O. Watts
19
Fort McMurray, in Heart of Canadian Oil Fields
Is “ Gateway to the Arctic” .......By E. G. Parsons
2Q
Teaching the Kids that the Bank Is Not a
“ Temple of Mystery” .....,..By Clarence L. Owen
Nebraska Bank News...............................................
73
21
Minnesota Bank News........... ....................................
79
How the Banker Should Advise Life Insurance
Policyholders................................ By O. E. Crane
22
How the University of California Trains Future
Bankers and Business Men..................................
............................................ ...... By Stuart Daggett
23
North Dakota Bank News.........................................
85
Montana Bank News...................................................
87
Iowa Bank News...........................................................
89
Index to Advertisers.......................................
The contents of this magazine are fully protected by copyright.
PUBLISHED AT 555 SEVENTH STREET, DES MOINES, IOWA
\
The Oldest Financial Journal
West of the Mississippi River
Special Representative
Charles Burke
Care Northwestern Banker
Phone Walnut 1844
Minneapolis Office
Frank S. Lewis
840 Lumber Exchange Bldg.
Phone Main 3865
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MEMBER
Audit Bureau of Circulations
Financial Publishers Association
Financial Advertisers Association
Chicago Office
Herbert Armstrong
123 West Madison St.
Phone Randolph 2100
First in the United States to Join
^udit Bureau of Circulations
New York Office
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St. Louis Office
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424 Merchants-Laclede Bldg.
Phone Main 1342
Subscription Rates, $3.00 per year; 50 cents per copy
110
THE
April, 1922
NORTHWESTERN
BANKER
1922 IS THE 50th ANNIVERSARY YEAR
o/T H E IOWA LOAN & TRUST COMPANY— B A N K MARKING A HALF CENTURY OF SERVICE
As the R esult of
Fifty Years
of
D evelopm ent
and
Progress
There Are
Now—
1922
1872
EIGHT DEPARTMENTS
ALL A T YOUR SERVICE
It is a source of real satisfaction to the offi
cers of this bank which has striven during
the past fifty years to constantly intensify
its service to be able to offer friends and cus
tomers the co-operation of the most com
pletely departmentized bank in Iowa.
Every department is under the direction of
men who know— and each department co
operates to the end that all business trans
acted be taken care of promptly and in
telligently. The services of the following
eight departments are at your command.
1. Commercial Banking
2. Savings
3. Investments
4. Mortgages
5. Trust
6. Foreign
7. Safe Deposit
8. Real Estate
An institution offering a service so wide m its scope is a far
cry from the little bank located at the corner of 9th and Court
in' 1872— and it serves only to indicate the sincere wish of this
bank to be of ever increasing service to you.
TH E
IO W A L O A N & T R U ST CO M PAN Y
— BANK—
DES MOINES
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THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
THE
NORTHWESTERN
BANKER
April, 1922
Guaranty of Bank Deposits Fails
HE FIRST state in the union to enact a law for
the purpose of guaranteeing bank deposits was
Oklahoma. This law was enacted December 17,
1907, and, therefore, has been in effect for fifteen
years.
Seven other states, including Kansas, Texas,
Nebraska, South Dakota, Mississippi, Washing
ton and North Dakota have similar laws. Other
states at various times have discussed the mat
ter of adopting such legislation, but up to the
present time have not done so.
Recent events in Oklahoma and in the other
states have brought the matter to the attention
of bankers throughout the country because the
system in Oklahoma has practically been a fail
ure, mainly for two reasons: First, the guaranty
of bank deposits places more emphasis upon the
payment of depositors after the bank fails than
upon preventing the failure. Second, after a
bank has failed, due to the mismanagement and
negligence of the bankers in charge, it is almost
impossible to successfully prosecute such bank
ers, even though they are known to be guilty.
In analyzing the first reason for the failure of
the system we find that very little attention is
paid to the bank until it fails, and then its assets
are taken over; if it has any, these are liquidated
and applied on the money due the depositors.
The additional amount necessary to pay the de
positors is then taken from the guaranty fund,
which is maintained by taxing all of the state
banks one-fifth of 1 per cent of their average
deposits for the year. As a matter of fact, each
bank in the system deposits with the state 1 per
cent of its deposits from which one-fifth of 1
per cent is paid out each year for losses. The
average bank has paid its fees five years in ad
vance, and in case it withdraws from the system
and takes out a national charter, it loses the
money already deposited in the guaranty fund.
So we say that the first reason for the failure
of the system is the fact that not enough em
phasis is placed on the care and management of
the banks when they are established, and before
disaster comes to them. “ An ounce of preven
tion is always worth a pound of cure,” and this
the guaranty of bank deposits law has not had.
T
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Federal Reserve Bank of St. Louis
The second reason, namely, that it is almost
impossible to successfully prosecute a banker
guilty of irregularities is proven by the fact that
very few juries have convicted bankers of wrong
doing, even though it was quite certain irregu
larities had been committed.
The banker who builds up his institution
merely on good fellowship and has placed his
loans on a friendship basis rather than having
sufficient collateral to back them up is bound to
get into deep water, but in Oklahoma when these
men have come up for trial the members of the
jury have in most cases not convicted the bank
ers, because they have felt friendly toward them,
perhaps because of loans made to them, and fur
thermore, because they probably figured what
difference does it make? Any loss to depositors
will be paid from the guaranty fund, so why
prosecute a man who was a good fellow and not
a hard-boiled tightwad, like the banker across
the street.
Since the system has been in operation in
Oklahoma, during the past fifteen years, over
$10,000,000 in worthless assets have been taken
over by the state from failed banks.
During the last few weeks over fifty-six state
banks have made application to organize as
national banks, and one prominent Oklahoma
banker told us recently that no state banks would
remain in the system-if they could get out of it
at this time.
The whole theory of the guaranty law comes
back to the proposition of whether the bank
should carry the insurance on these deposits or
whether it should be carried by the individual.
Character is a banker’s greatest asset, and the
guaranty of bank deposits has increased the haz
ards of banking by eliminating the value of char
acter as a banker’s asset. Under this law all
banks look alike to the depositor.
It is interesting to note, however, that the only
loss to depositors in national banks has been
one-twentieth of 1 per cent of their deposits since
the establishment of the national bank system.
For the reasons outlined above we believe that
the guaranty of bank deposits is unwise and un
sound legislation for states to adopt.
April, 1922
THE
NORTHWESTERN
9
BANKER
Will They Pay In Full?
three years ago, a total of $1,557,000,000, of which
only $284,000,000 was in actual cash.
Considering the tremendous amount which she
is supposed to pay, many doubt whether the task
will ever be accomplished.
It is quite certain, however, that if Germany
had won the war, that every dollar of indemnity
assessed against the Allies would have been col
lected with Shylock certainty.
AN Y individuals have doubted whether Ger
many would ever pay her complete repara
tions at any time.
M
France of all nations has been the most insist
ent that every dollar should be paid in full. The
Allied Reparations Commission has issued a
statement showing- that Germany has remitted
to the Allies since the armistice, a little over
Financial Mortality of Individuals
fortunes when they were in their prime, but it
slipped through their fingers. They either wasted
it or invested it in unsound securities.
To help decrease this ratio of 1 to 10,000 is a
task worthy of the best thought and attention of
the bankers of the nation.
Life insurance companies use these figures to
sell more life insurance and they are doing a great
good by so doing, but bankers have a responsi
bility even greater, we believe, to help overcome
the tremendous financial mortality of individuals.
HE FINANCIAL mortality of individuals is
appalling when we examine the statistics.
Only about five out of every 100 at the age of
25 will have anything at the age of 65. Only one
in 10,000 will be independent at the age of 70.
Surely it behooves every banker to advise with
his customers that they use the utmost care in
the purchase of their bonds, mortgages and se
curities.
All of the 9,999 individuals who have nothing
at the age of 70 made money and perhaps made
T
Representation Without Taxation
The income tax law should be revised and
amended so that all incomes would pay some tax.
W e believe that the man with an income of $1,000
as well as the man with an income of $100,000
should pay his just proportion of the tax needed
to run the government. The percentage of tax
could be reduced and the amount of exemption
reduced, thus making the tax fairer and more
equitable to all concerned.
W e have opposed the issuance of tax exempt
bonds, because it gave men of large incomes an
opportunity to avoid taxation by buying these
bonds. W e are also opposed to the provisions
of the present income tax law, which puts the
burden on 5 per cent instead of on 100 per cent
of the population.
Those who have proper representation should
pay for it with proper taxation.
I
'F “ TAXATIO N without representation,” was
- tyranny in the days of Patrick Henry and Alex
ander Hamilton, then surely representation with
out taxation is an unsound economic fallacy in
the days of Warren G1 Harding and Andrew W.
Mellon.
Reports from the treasury department say that
only 5 per cent of the population paid an income
tax in 1919, the returns for which have just been
made available.
W hy should 5 per cent of the poulation carry
the taxation burden of the nation and 95 per cent
be tax free?
The 95 per cent have every right, privilege and
protection enjoyed by the 5 per cent. They have
complete representation in all departments of the
government, but pay nothing for the privilege.
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“ A C A S H I E R ’S C H E C K ” for $ 3 . 0 0 is all that is required to secure the
monthly visits of the Northwestern Banker for an entire year.
Each issue
contains from 1 0 8 to 2 0 0 pages of mighty interesting matter pertaining to
banks and banking interests in the territory covered by the magazine.
“ OUR C O R R E S P O N D E N T S .”
Every bank in the Northwest is invited to a place on this list. Send us items of local interest, tell us
about your bank and its growth, prospects, etc., also any other / M M
financial news of interest to bankers in your section.
We are
always glad to hear from our friends.
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will and additional service, and ¡will promptly honor drafts made
upon same by any bank.
This department is for your special
benefit. It may be made of very great benefit to your bank. Do /
not fail to avail yourself of its privileges.
/
“ A C L E A R IN G H O U SE.” Our columns are a clearing house
for all our readers. Express your views on any topic of interest to
iiim riiiiuinnim m im im m im m im iiim im iim
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Federal Reserve Bank of St. Louis
\
/
s
the banking fraternity and submit same for publication.
You do not have | n
to agree with us, or with , anyone else. We learn things by an interchange | n
of ideas, and people with whom we disagree often prove valuable teachers. = ||
We
to hear from you.
¡ =
“ NO P R O T E S T ” has ever been offered to the statement that the ||
field covered by the Northwestern Banker is the money-producing |
e c t i o n
of the American continent, rich in hogs, cattle, com , etc., | ^
and dotted with thousands of prosperous banks, all doing a good |
business, and the majority of them are readers of ‘ The North- | g
11 western.”
_
g ¡¡
“ S U R P L U S AND U N D IV ID E D P R O F IT S ” increase very rap- | =
/ idly with those banks, whose advertisements appear regularly in | g
the columns of this magazine.
Full information as to rates | g
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an<t our special service will be promptly furnished^ on^appli- | g
*
cation. Your business solicited and appreciated. The “ Bank- | g
er” has been twenty-six years m its present held.
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A. T. HIBBARD
Secretary, Montana Bankers Association.
A. ,T. Hibbard, the Secretary-Treasurer
of the Montana Bankers Association is a
native Montanian. He secured his ele
mentary education in the Public Schools
of Helena, Montana, following this up
with a course in commerce and economics
in the University of Wisconsin.
Mr.
Hibbard was deputy state superintendent
of banks in Montana for a period of four
years, leaving that position to become
vice president of The Banking Corpora
tion of Montana, which position he still
holds, in addition to the office in the
bankers association.
During the incumbency of Mr. Hibbard,
the activities of the Montana Bankers
Association have increased many-fold.
When he became secretary on the first
day of May, 1920, there were thirty-six
banks in the state which were not mem
bers of the association. Today, Montana
ranks as one of the few of the 100%
states in point of Bankers Association
membership.
There has been installed in the Mon
tana Bankers Association a complete
legislative service which has proved of
inestimable value to member banks. The
legal service and the protective service
have been greatly augmented; the Asso
ciation is now employing an Income Tax
Expert to handle tax inquiries and to
prepare returns for member banks in the
state.
The Montana Bankers Association has
always been fortunate in having the keen,
active interest of the best and biggest
bankers in the state, and the associa
tion is growing into a powerful factor in
the financial development of this state.
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Page Ten
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Federal Reserve Bank of St. Louis
=
N
o r t h w e ste r n
B an ker
The Necessary Financial Journal
TWENTY-SEVENTH YEAR
APRIL 1922
NUMBER 416
States Have Varied Experiences Under
Guaranty of Bank Deposits
Interesting summary of legislation and operation of laws is presented by
comptroller— Oklahoma has had the severest test of any state
By D. R. Crissinger
Comptroller of the Currency
Nebraska
HE D EPO SITO RS’ guaranty
law went into effect in N e
braska in 1911, and in a com
munication from the department of
trade and commerce of date Octo
ber 24, 1921, it appears that the total
assessments since the inception of
the guaranty system amount to
$4,253,151, the drafts on the fund
to pay depositors of failed banks to
July Î, 1921, amounted to $1,981,691,
and the balance in the fund on that
date $2,312,746. The difference of
about $40,000 is accounted for in ad
justments and dividends, which re
ceivers of failed banks have returned
to the guaranty fund. From an ab
stract of the receivers’ reports as of
April 1, 1921, it is shown that there
have been 20 failures of state banks
since 1911, with deposits at date of
closing of $4,349,524. The recent
failure of a large state bank will
make necessary a special assessment
for the benefit of the guaranty fund.
North Dakota
To a request of the comptroller
for information in relation to the
working of the depositors’ guaranty
law of the State of North Dakota,
State Examiner Lofthus, in a letter
of date November 20, 1921, stated:
“ In addition to assessments al
ready made there is a liability of
each state bank for its proportionate
share of losses to the depositors’
guaranty fund caused by banks
closed up to the time that conver
sion or dissolution takes place. Of
course it is impossible at this time
to ascertain such probable losses. It
will be necessary for the depositors’
guaranty fund commission to figure
the maximum loss, which in no
event can exceed its proportionate
share of the total liabilities of the
depositors’ guaranty fund resulting
from the closing of such banks.
The failure of the ScandinavianAmerican Bank in Seattle occurred
recently, but no information is at
command with respect to the
amount of liabilities that will have
to be met on account of this failure.
It is learned, however, from the sec
retary of the depositors’ guaranty
fund that—the member banks in the
system are planning on a reorgani
zation of the assets of the Scandinavian-American Bank, and if
effected, the guaranty fund will be
relieved of this liability. If it should
fail, it would mean a complete wip
ing out of all the guaranty fund and
would mean an assessment against
the various member banks for a
In this article Comptroller Crissinger
number of years. In such a case,
presents a review of deposit guaranty
however, the member banks will no
legislation in the states of Nebraska,
South Dakota, Washington, Mississippi
doubt withdraw from the system, as
and Oklahoma. One or two states have
the law provides a method by which
had fairly good results with the guar
they can withdraw by paying all
anty law but the experience of the sev
assessments, which shall not exeral states as a whole has been unfavor
cceed one-half of 1 per cent of their
able.
average eligible deposits during a
iiiiiiiiiiim im iiiiiiim iiiiiitim tiiiiiiiiiim iim iiitm tim tm iittiim inim iiiiiiiiiim m iiiiiiiiiiiim iiim iiiiiiitim t
period of one year from the date of
against member banks of 1 per cent their withdrawal. It is, indeed, un
of the total amount of annual aver fortunate that the largest bank in
age deposits, eligible to guaranty the system should fail, as no doubt
banks. Of the 300 banks of the state the fund could have taken care of
approximately 120 are members of any other bank that might have
the system, membership under the failed.
law being optional. The amount of
South Dakota
the assessments are not withdrawn
The South Dakota guaranty law,
from the bank, but are set aside to
the credit of the guaranty fund enacted in 1915, became effective
board and only drawn against when January 1, 1916, and in a communi
there has been a failure. The board cation from Superintendent Hirnadvises, under date of July 6, 1921, ing, of date of June 24, 1921, it is
that funds to their credit in this stated that since the law has been
account on that date approximated in operation there have been but
$700,000. It has further stated that three failures, the combined capital
the actual cost to members thus far of the banks being $50,000, and de
has been $28 to each $100.000 of eli posit liabilities $680,000. In each
gible deposits. The first payment case failure was due to defalcation
to the contingent fund authorized at of officials.
In a case of a failure of one bank
the last session of the legislature
approximated $60,000—the entire it is stated that out of the assets and
(Continued on page 68.)
cost to the member banks thus far.
No official information was sub
mitted with respect to the number
of failures of state banks in North
Dakota, but from commercial and
other agency reports it appears that
60 state banks in North Dakota
have been closed since 1915, of
which 33 were closed during the
last year.
Washington
The State of Washington adopted
the guaranty fund system by act of
legislature of 1917, the law having
been amended in 1921. The guar
anty fund is created by assessments
Page Eleven
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Federal Reserve Bank of St. Louis
12
THE
NORTHWESTERN
BANKER
April, 1922
How the American Institute of Banking
Helps the Banker to Help Himself
The organization has attained a membership of more than fifty thousand
and has become a great educational force
By Clarence R. Chaney
Assistant Cashier Northwestern National Bank, Minneapolis
HE AM ERICAN Institute of
Banking- has attained a mem
bership of more than fiftythousand because it helps the bank
man to help himself. Proof of the
fact that; he has helped himself lies
in the support—both moral and
financial—which the banks of the
country are giving the organization.
In the process of improving himself
the individual has improved his ser
vice to his employer. That em
ployer— the bank—has given in
turn, the time of its officers to In
stitute undertakings. It has con
tributed money. In fact, it has made
possible the building of our great
educational institution and is well
satisfied with its investment.
But, for the purpose of our dis
cussion, let us return to the indi
vidual. That he has been benefited
needs no argument. How has it been
done ?
The Institute affords him a prac
tical education. The college man
often emerges from a course in
money and banking with the feel
ing that he is ready for an execu
tive chair in the bank. A few weeks
back of the counter usually con
vinces him that, although his edu
cation is of great value, much of
his knowledge must be classified as
theoretical and used only in its prop
er relation to practical methods.
The A. I. B. graduate avoids this
handicap. His instruction is ad
ministered in small doses, inter
spersed with his work. Questions
arising each day can be discussed
and answered in the evening class.
He spends no time accumulating
useless information. His certificate
does not mean that he has nothing
left to learn, but it does indicate
that what he has absorbed is well
balanced and of practical value.
Coupled with industry it serves him
as a basis for advancement.
The Institute affords him execu
tive training. Each committee ap
pointment or office, not only fits
him for more important duties in
the organization, but helps to pre
pare him for the day when he will
be called upon to exercise his judg-
T
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Federal Reserve Bank of St. Louis
Clarence R . Chaney entered the bank
ing business in 1907 as an employe of
the Northwestern National Bank. Since
1910 he has been connected with the
credit department of the bank and was
made assistant cashier in January, 1920.
He joined the Minneapolis Chapter of
the A . I. B. in 1907. He has worked as
instructor in institute classes and has
served from time to time on practically
all local committees. He was a member
of the chapter executive committee for
four years, a delegate to five annual con
ventions, president of Minneapolis Chap
ter 1917-1918, member National Forum
Committee one year, member National
Publicity Committee three years, chair
man National Publicity Committee one
year, chairman Publicity Committee,
Minneapolis Convention, 1921.
He is
candidate for the National Executive
Council at the 1922 convention in Port
land.
iiiiiiiiiim im iiiiiiiiiiiiiiiiiu iiiiiim iiiiiiiiim m iiiiiiiiiiiiiiiiim iitim itim iii
CLARENCE R. CHANEY
ment as a department manager or
officer of his bank. To preside at
Institute gatherings and direct the
activities of others, instills in him
the self-confidence necessary to his
success.
The Institute affords him an op
portunity to participate in public
affairs. In the days of the Liberty
Bond campaigns the bank man lit
tle realized the benefit to himself
of his work as a chapter member.
The experience developed his sales
ability and that ability helps him
today in selling the service of his
bank. In this age of keen competi
tion bank service must be sold. The
man who can make friends for his
bank advances. Another outstand
ing opportunity in public work lies
in the American Bankers’ Associa
tion Campaign of Public Education
which is at this time being carried
into every school in the country.
The Institute man in the role of
lecturer, is rendering a real service
to his community and at the same
time being trained in public speak
ing.
The Institute affords him a broad
acquaintance with bank men.
The
value of exchanging ideas regarding
financial conditions and office meth
ods has made the Departmental
Conference one of the most interest
ing features of the annual conven
tions. An acquaintance with bank
ers in various cities enables the In
stitute member to supplement the
conference by continuing this ex
change throughout the year. Per
haps the best example of the advan
tage to be gained is that of the credit
man. He must continually check
names by correspondence and rely
in many cases wholly upon the re
ports received.
In writing to John
Smith, a distant banker who is un
known to him, he usually employs
a stereotyped form of inquiry. It
brings him, in most instances, quite
as stereotyped a reply. If on the
other hand, he can address Mr.
Smith as “ Dear Jack” and ask his
question in an intimate way, his cor
respondent will probably spare no
pains to get full particulars and re
port them in the most satisfactory
manner. Institute acquaintance car
ries with it a fraternal spirit which
assures the banker a real welcome
wherever he may go.
It pays to
know such men.
April, 1922
THE
NORTHWESTERN
BANKER
13
How a Country Bank Encouraged Dairy
Industry by Selling Cattle at Cost
By Donald H. Clark
H AT a country bank can be of
tremendous help to the farm
ers of the community in other
ways than by loaning money is
shown by the work of the Victor
Savings Bank at Victor, Iowa, in
starting a movement to popularize
dairying in its territory. The offi
cers of the bank found that the dairy
districts had been less harmed by
the wave of financial depression
than any other territory in agricul
tural regions. They believed that
their section of Iowa offered excel
lent advantages for the dairy indus
try, and instead of merely “ advis
ing” farmers to enter the dairy busi
ness, they decided to help them by
buying up a group of high grade
cattle and selling them to the farm
ers in their vicinity. More than one
hundred head of dairy cattle have
already been placed in this way.
The bank sent a representative to
Minnesota and Wisconsin, long fa
mous for their dairy cattle, and he
shipped back two car loads, about
seventy head. This first shipment
consisted of fifty Holsteins, twenty
Guernseys and two Jerseys. Fifty
of the lot were young heifers.
“ It was our intention to hold this
stock about a week, so that it might
rest and look better before we at
tempted to place it with the people,”
explains Cashier J. E. Bach, “ but on
arrival, the news went out that the
cattle were in town, and the larger
portion were taken that day, the rest
going within the next day or two.
W e had used advertising space in
the town paper to tell the farmers
T
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Federal Reserve Bank of St. Louis
of our representative’s trip for the
cattle, and a whole lot of interest
was aroused.
“ After our first sale, at which the
cattle were sold at the lowest prac
tical figures, we found a number of
people who had not been supplied,
so we sent our man back for the
second bunch. He bought thirty
this time, which we sold at public
auction, so that that all would have
an equal chance. . It was really sur
prising how fast they went; in fact,
we could have sold a large number
more if we had had them.
“ I am strongly of the opinion that
if all farmers will do more milking
as a side-line, along with the regu
lar farming business, it will go a
long way toward helping them get
their account on the right side of
the ledger. Judging from the suc
cess of our sale, I believe that most
of our farmers feel the same way.
If all the banks,in the state would
place one hundred cattle in this way,
we would all be carrying larger bal
ances at this time next year.”
The Victor Savings Bank is a
member of the Federal Reserve sys
tem, and Mr. Bach wrote the Chi
cago Federal Reserve Bank, asking
for an expression concerning this
undertaking, and received the fol
lowing interesting reply from J. H.
Blair, deputy governor:
“ It seems to me you will be do
ing a great service for the good of
your community if you can materi
ally increase the dairying- business
there,” wrote Mr. Blair. “ The dairy
ing business will not only give the
farmer a more diversified business,
but will give him a quick market,
ready money and more certainty as
to the price of his products in the
markets upon which he must de
pend. It is true that in those dis
tricts where the dairying business
has been largely developed, both the
farmer and the banks at this time
seem to be in very much better fi
nancial situation than in other dis
tricts, where they rely more exclu
sively upon the crop raising busi
ness.
“ Should you find that you need
outside assistance in carrying on
this work, we would look favorably
upon furnishing you such assist
ance.”
Frank B. Yetter, president of the
Iowa Bankers Association, also com
mended the plan very heartily in a
letter to Mr. Bach.
“ I hasten to congratulate you on
the move taken by your bank on the
dairy proposition in Iowa County,”
he wrote. “ You have the real per
spective of the future success of the
Iowa farmer. I have been preach
ing this doctrine for the past year
or more, and am glad we have some
bankers in Iowa with vision to see
the possibilities of what can be done
along this line of endeavor.
“ I would like to see drawn in
every farm lease in Iowa provision
that the tenant must keep on his
farm a certain number of dairy cat
tle and hogs, and I am firm in the
belief that this would go further
than anything else toward solving
Iowa’s present problems.”
Officers of the Victor Savings
Bank include J. T. McGuire, presi
dent; Louis Feller, vice president;
J. E. Bach, cashier; J. M. Dusterhoft, assistant cashier, and John J.
Roushar, bookkeeper.
The Automobile Industry
Automobiles manufactured in 1921
numbered 1,680 thousand, compared
with 2,240 thousand the previous
year, and the average wholesale
price of each car sold was $702, com
pared with $897 the previous year;
the average price of each truck was
$968, compared with $1,273 the pre
vious year. The number of motor
car factories in this country is 105
and motor truck factories number
140, all of which factories employ
256 thousand persons.
14
T II E
NORTHWESTERN
BANKER
April, 1922
What Is the True Financial Situation
Of the Western Farmer Today ?
The close of 1922 will see the farming industry back to normal, for
agricultural prosperity is on the upward swing
By E. D. Chassell
Secretary Farm Mortgage Bankers Association of America
Reprinted with permission from the Chicago Journal of Commerce
prosperity is
decidedly on t h e upward
swing.
The close of 1922 will see the
farming industry back to normal
and by the end of 1923 the losses of
1920 and 1921 will have been en
tirely repaired.
This prediction is general and ap
plies to farmers as a class. There
will be individual exceptions. The
man who lost his head in the land
boom of 1919 and bought a farm for
$400 an acre, making a cash pay
ment of $100 an acre, found himself
bankrupt when subsequent pay
ments came due and the value of
his farm had dropped to $250 an
acre. That was not farming. That
was reckless speculation.
There are 6,448,366 farms in the
United States, and only a few hun
dred were purchased by men with
small capital at extraordinarily high
prices, which wiped out the invest
ment of the buyer when land prices
relapsed to normal values, based on
rental earnings.
Even in localities where the land
boom was the worst, less than 5
per cent of the farms actually
changed hands, and two-thirds of
those that were sold were bought by
well-to-do farmers to increase their
holdings or by men with suffi
cient capital so that they were able
to stand the shrinkage that came
with lower prices for farm products.
Following the abnormally high
prices and big profits that reached
their peak in 1919, agriculture was
the first business in 1920 to drop
to rock bottom. The jar was so sud
den that the importance of the dis
aster was greatly exaggerated.
Agricultural credit has been in
jured by magnifying the losses. The
worst enemies of the farmer are
those who have enlarged the impor
tance of his losses. One governor
of a great agricultural state won ap
plause from his audience of farmers
when he declared that 90 per cent
of the farmers are bankrupt. A
speaker at a Chicago convention re
cently said that over 50 per cent of
A
g r ic u l t u r a l
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Federal Reserve Bank of St. Louis
the farmers are bankrupt. Such
assertions may be politically popu
lar now, but not next year when
the situation is better understood.
Careful investigation will show that
less than 1 per cent are bankrupt.
In the year 1921 in the United
States of 1,927)304 commercial firms
doing business 19,652 failed. This
is a fraction over 1 per cent.
In the LTnited States, according
to the census of 1920, of the total
E. D. CHASSELL
of 6,448,366 farms, 2,454,746 were
operated by tenants.
In years past it has been so un
usual for failures to occur among
farmers that when one now goes into
bankruptcy it occasions comment.
It is a safe estimate that the per
centage of farm failures has been
less than half as great as the fail
ures in other lines of business. The
greater solvency prevailing in agri
culture is due principally to two
causes—the low percentage of in
debtedness on which interest is paid
and the capacity of the farmer to
reduce his cash overhead expense.
Life insurance companies and
farm loan companies know that ag
riculture will not go into bankrupt
cy. Their valuations for loaning
purposes are based on the average
productive rental value of the land
when managed for a term of years
by a farmer of average ability. These
estimates are based on expert ex
amination and careful study of the
records and world conditions for
over half a century. There are tem
porary periods of depression and of
high prices, but farm loan com
panies, managed by men who under
stood their business, base their valu
ations on general averages and pay
little attention to violent fluctua
tions, either upward or downward.
For these reasons conservative loan
managers did not raise their loan
limits above $75 and $100 an acre in
1919 when the land boom was on
and farms sold at $400 and $500
an acre. Consequently, they do not
worry over their investments now.
The recession of the land price to
$200 per acre leaves a safe margin.
If the loss of income in 1920 or 1921
made it impossible for the farmer
to pay his interest, the loan com
pany was assured of his solvency
and could extend the time with cer
tainty that the payment would be
made later.
Statistics covering over half a cen
tury show that, one year with
another, the rental returns on im
proved farm lands average about
2>y2 per cent on the market price or
selling value. Men who have made
agricultural finance a life study
know that the depression is only
temporary.
The tumble in prices in 1920 and
1921 caused much embarrassment
to agriculture, but the losses sus
tained through the drop in prices
were not equal to a national crop
failure. In fact, they were equal to
the average loss of considerably less
than half of the crop.
From the beginning of history,
agriculture has been the basis of the
world’s business. Like the level of
the sea, it has been the plane from
April, 1922
THE
which other elevations and depres
sions have been measured. The fu
ture will be similar to the past, but
marked improvements due to bet
ter organization and more effective
cooperative effort on the part of the
farmers.
When forced into an economic
contest, the farmer is in better posi
tion than anyone else to take care
of himself and to play a waiting
game. His average indebtedness is
moderate— less than that in any
other business. The total value of
farm lands and buildings in the
United States in 1920, according to
the federal census, was $66,334,309,556. The total farm mortgage in
debtedness in the United States is
estimated by experts to be approxi
mately $8,000,000,000 — something
NORTHWESTERN
15
BANKER
over 12 per cent of the total valua
tion. And this does not take into
consideration the personal farm
property, which is far in excess of
the personal debts. The census re
ports farm mortgage indebtedness
of $4,003,767,892 January 1, 1920,
but that only includes indebtedness
on farms occupied by owners at the
time the census enumerators called.
No information is collected regard
ing farms operated by tenants or
managers. The census gives the
mortgage debt of 18.6 per cent of
American farms. It is conservative
ly estimated that 40 per cent of the
farms are encumbered by mortgage.
The railroads of the country are
understood to be carrying an indebt
edness of approximately half their
value. Mercantile and industrial
concerns and public utilities often
pay interest on more than half of
their operating capital. It is appar
ent that agriculture is carrying a
much smaller burden of indebted
ness than any other business. The
farmer can stand hard times with
less insolvency than others.
Prosperity in agriculture, _ like
prosperity in every other business,
is measured by the margin of profit
— the difference between the cost
and selling price of the articles mar
keted. This margin may be increased
by lowering the cost of production or
by raising the sale price. Present
market tendencies show the margin
of farm profit slowly but steadily
increasing by favorable changes on
(Continued on page 49.)
The Comeback
By Dr. Frank Crane
I
FIND that the way I am treated in the day’s
work depends upon the state of mind I bring
into it.
If I enter a circle of men whom I take to be su
perior to me, I am likely to be snubbed. If I im
pute to them the feeling that I am inferior I will
not fail to be inferior.
If I am self-confident, I awaken confidence.
If I cringe, I make others want to step on me.
If I am cheerful, cheerfulness is handed me by
others.
If I am grouchy and snappy, they will bite me.
People go at me about the way I go at them.
There is a law in physics to the effect that action
is equal to reaction. The ball rebounds from the
wall with precisely the force with which it was
thrown against the wall.
And if I approach a man with politeness, I usual
ly receive politeness.
I get from this world a smile for a smile, a kick
for a kick, love for love, and hate for hate.
Of course, there are exceptions to this rule. But
if there were no rules there would be no excep
tions.
And the difference between the man who knows
how to play a game and win regularly—any
game, including poker, business, and the game of
life—and the man who steadily loses is that the
wise man sticks to the rules and the law of aver(Copyright
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
1922.
ages, and the fool “ has a hunch and stakes his
all on the exceptions.
A good definition of a fool is one who thinks that
this time doesn’t count.
My tablets, therefore! Meet it is I set it down
that I am getting what is coming to me.
This is a world of law. Chance is only to be
found in the dictionary. In the bright lexicon of
fact there’s no such word.
If I am petulant, unrestful, irritable, unsatisfied,
wretched, and bored—I know the crop, and might
have expected the harvest when I sowed that
seed of self-indulgence, lack of will, moral cow
ardice, and general selfishness.
If I am lonely, it was I who drove hearts away.
If I am bitter, it was I who skimped the sugarbowl.
If I am persecuted, it was I who brought it on by
my cantankerousness.
The loving are beloved.
The generous are helped.
The considerate are considered.
The bully by and by is bullied, the smasher
smashed.
And the end of the hog is the slaughter house.
There are no victims of fate. The hero always
rises above tragedy. The noble soul is never
more serene than when all creation thinks it has
downed him.
by Dr. Frank Crane.)
16
THE
NORTHWESTERN
BANKER
April, 1922
Country Bankers’ Service Prepared by F. A. A.
e a d y '■
■
to
he Road to
Happiness
G row C D
cBusiness is coming, back—
and yours alon£ with it.
A s better
times develop a dependable, helpful bank
ing connection assumes an importance that
can not be over-estimated.
is made more smooth
by a substantial savings
account. Money isn’t everything,
but it certainly helps over the
rough spots in life.
The Merchant, M anu factu rer, F a rm
er who has established relationship with
this bank finds not only complete facilities,
trained organization and thorough famil
iarity with the business needs in the coun
ty, but finds also careful consideration of
his plans and the spirit of cordial co-oper
ation in his interests.
The inborn feeling o f satisfaction
and contentment that accompan
ies a growing savings account
cam only be appreciated by the
man or woman who has one.
This Bank always endeavors to work
with as well as for its customers. Y ou are
invited to brin& your business here.
Open yo u r account here,
and build for happiness.
C A P IT A L
and
S U R P LU S
$50,000
0 4R L IN G T O N , c W IA IN E
advice
—
what is it worth ?
I
$
St
a te
Ban k
of
M
o rsto n
CONN ORSVILLE. ILLINOIS
$
$
There is no more effective way
of introducing system, economy
and safety into your financial
affairs than by opening a check
ing account with a strong reliable
bank.
A checking account with this
bank protects your money, pro
motes good business habits and
gives you a firmer financial
standing and credit.
And all the time your money is
just as much at your service as if
it were in your own pocket book.
$
r(3 hird cJ fa tio n a l (Bank
Third National Bank Building, 52 Racine Avenue
T he V alue of a
Checking A ccount
$
$
Cook County Bank
C o o n R a p i d s , Io
w a
Resources, $100,000
■consult your banker
before you invest
cTom orrow W ill ¿Be
cÖ he (Product o f cToday
T D E P E N D S u p o n th e
one giving the advice, his stand
ing, training and experience.
In investment matters, no one is
better qualified to give advice than
your banker.
It is a bank s business to know
what investments are safe. Every
day it comes in contact with in
vestment problems.
Steer clear of the investment pitfalls
that now confront the man or woman
who has surplus funds.
Subject every proposition to the ACID
TEST— your banker s approval or dis
approval of the securities offered.
But hope alone will not ac
complish what you desire
Big dividends and absolute safety sel
dom travel together.
The practical man knows
that no building can well be
erected until the foundation
is laid.
This bank through its place ^mong
successful institutions of its kind, is es
pecially fitted to advise on investment
matters and to suggest safe selections.
It does not recommend and never has
recommended any but the highest grade
securities.
Hope looks into the future
and visions the home that
will be yours.
Our experience and advice are yours for
the asking— without any obligation or
expense to you.
He also knows that no for
tune can be acquired until
he learns to save.
Start your Savings Account
with this bank and build for
the future.
Our advice on investment matters
is yours for the asking whether or not
you are contemplating an investment
through us.
A m erican Trust
& Savings Bank
State Bank of K asper
cT he G a ylord S ta te (Bank
Carlton, Alabama
Resources Over One Million Dollars
KASPER, W Y O M IN G
“ Opposite the Town Hall "
N EW advertising service of
much merit for country banks
has been prepared for the
Public Relations Commission of the
American Bankers Association by
the Financial Advertisers Associa
tion, and is now ready for distribu
tion tvithout charge to those banks
that request the service.
Reproductions of several of the
advertisements in the series appear
on this page. There are twelve dis
play advertisements in the group,
and the remaining ads can be set in
A
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any style desired. Each piece of
copy is complete, except for the in
sertion of the name of the institu
tion rvsing the advertising. Changes
can be made in the copy at will.
The typography is simple and offers
no difficulties to the average coun
try newspaper. The series of adver
tisements is not copyrighted.
Upon being requested to prepare
the series of advertisements, the
Financial Advertisers Association
asked its members to prepare one
ad each on the subjects of savings,
general banking, investments and
safe deposit activities. More than
one hundred and fifty ads were pre
pared, and the best forty were se
lected and published in booklet form
to comprise the series. Much of the
work of compiling the series was
done by F. D. Conner, president of
the F. A. A. and advertising man
ager of the Illinois Trust & Savings
Bank, Chicago; Guy W . Cooke,
assistant cashier, First National
Bank of Chicago; Carl A. Gode, ad(Continued on page 109.)
April, 1922
THE
NORTHWESTERN
BANKER
17
If We Gould Only See Ourselves As the
Bank Examiner Sees Us
Frankness is the one quality most appreciated by the examiner who visits
your bank, and he also likes your friendly interest
By Geo. T. McCandless
“ The Man Behind the Counter”
T W A S one of the noted poets
who said, “ Oh, wad some power
the giftie gie us to see oursels
as ithers see us.”
And it might be interesting to
some of the bankers who read this
if they could hear themselves dis
cussed by some of the bank exam
iners who have delved through their
books and records and counted their
cash.
I do not mean to intimate that
examiners are given to indiscrimin
ate discussion of your private af
fairs. Far from it, but occasionally
two or three will get together and
exchange experiences without men
tioning any names and the one thing
that stands out above all others in
the esteem of these men on the
part of the country and city banker
is frankness.
An examiner was telling me re
cently of a bank he was in last week.
When he got the note pouch and
was going over the notes with the
board he turned to the cashier and
said “ What proportion of your notes
would you consider as slow?” The
banker answered “ Every darned one
of them.”
This frankness, instead of getting
the banker in bad, made a great hit
with the examiner because of the
honesty displayed on the part of the
official in the presence of his direc
tors.
I have often said there are as
many different kinds of banks as
there are banks; no two are alike.
While in general they are alike, in
practice this is not the case. The
success of the bank is not made by
beautiful pictures on the walls or
elaborate decorations, or massive
vault doors, or gleaming marble and
polished mahogany, but by the effi
cient management of its affairs. Per
sonally I am a great admirer of the
modern, well-equipped bank, and
beauty of architecture has its place,
but it cannot be made a substitute
for good management—the two
should always go hand in hand.
The examiner is one man who
isn’t deceived by substitutes.
He
believes that your bank is just as
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good as the notes in your notepouch. The pouch itself may be
ragged and worn and homely or it
may be the latest in steel construc
tion.
And when the examiner calls it
does not hurt his feelings to have
one of the officers volunteer to as
sist him, especially on his first visit
to you. You can be friendly with
out being subservient; you know
what papers he will have to see and
any assistance you can give him
um nnnnntm innnm m itnim nnninm m m in niinitntiniinim nim intnnm niinm m niiin inm inniim 'iiit
“ The success of the bank is not made
by beautiful pictures on the walls or
elaborate decorations, or massive vault
doors, or gleaming marble and polished
mahogany, but by the efficient manage
ment of its affairs. Personally I am a
great admirer of the modern, wellequipped bank, and beauty of architec
ture has its place, but it cannot be made
a substitute for good management— the
two should always go hand in hand.”
«
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiifiiiiim iiiiiiiiiiiiiifiim iiiifitiiiitiiiiiiiiiiim iiiiftiiiiiiiiim iiim iiiitiiitm m iiiiiim itiiii
will be welcome. The average ex
aminer is human and likes to have
some attention given him.
While his judgment may not be
affected by lack of consideration the
day’s work may be made just that
much more pleasant for him.
I recall a case of my own which
will serve to illustrate my point.
The president, cashier and assistantcashier were so busy waiting on
the counter that not one of them
could get away long enough to get
me what I wanted without exhibit
ing some impatience. Their office
work was behind so that I had to
reconcile several of their correspon
dent accounts for the month by my
self— checking off the paid drafts
and detailed debits and credits for
the purpose of arriving at a balance.
The trouble with this bank was that
the officers were merely high-priced
clerks. Instead of employing com
petent tellers, they thought they
were saving money by doing the
work themselves. In a bank of any
size the loaning officer should not be
bothered with counter work. His
mind should be relieved of this so
that his judgment may be 100% effi
cient, if that be possible.
When the same man has examined
your bank several times in succes
sion he becomes acquainted with
many of the names on the notes in
your note-case. He may find some
of the same ones on each call and
then he may ask you if these fellows
ever pay up in full.
One examiner suggested to a cer
tain banker that he take one of
these perpetual borrower’s notes and
put it in the “ fixtures” account in
stead of the Loan account. Theoret
ically it is a good rule to have all
borrowers pay up in full at least
once during the year. I will admit
this is not always practical but it
is a good goal to set at any rate.
The War Finance Corporation is
doing a wonderful thing in relieving
the country bankers of their long
time loans BUT— does the country
banker know how he will pay these
obligations when they mature? Will
he continue to expand his loans or
will he set to work now to prepare
his bank to take up these liabilities
when due?
It seems reasonable to assume
that unless he proceeds to reduce
his bills receivable he will put his
bank in danger and be in a more
precarious position than he was be
fore. There never was a truer saying
than “ The Lord helps them who
help themselves.”
W e might as
truly say “ The War Finance Cor
poration will help bankers who will
reduce their obligations proportion
ately.” The War Finance Board
does not have you put your names
on the back of these rediscounts for
ornamental purposes and when the
time is up you or somebody is going
to PAY. If you get ready for it this
will not worry you but if you are
counting on a special act of Con
gress to extend the time you may
be disappointed and then where will
you and your bank be?
I know of a city where there are
two banks; one will show a state
ment of twice its capital redis
counted ; the other has its capital
in government bonds and clean com-
18
THE
mercial paper and NO IN D EBT
EDNESS and the second bank has
twice the deposits of the former.
Which bank would you prefer to
own ?
The War Finance Corporation is
a nurse— she wants you to have
time to get over your sick spell.
Don’t misunderstand this; you will
have to do your part.
You can find plenty to do during
NORTHWESTERN
BANKER
this period of convalescence by get
ting all your paper in first class
liquid form. Don’t be like the
young man who called at the hos
pital to see his sweetheart. When
he asked for her one of the nurses
said to him “ She is up on the third
floor convalescing, go right on up.”
The young man replied “ I believe
I will just wait here.”
April, 1922
My closing thought would be for
you, if you have rediscounted much
paper or are borrowing money from
your correspondent, to gradually re
duce this indebtedness so that you
will, during this waiting period, be
able to retire all of your bank’s in
debtedness ; then you can eat well,
sleep well and be well.
Put Your Banking House in Order
A hank must be attractive outside and inside and all the work of the
institution must be handled in an efficient manner
By D. R. Wes sling
President Lytton Savings Bank, Lytton, Iowa
O YO U R present methods
make you a succesful banker?
You must have a natural apti
tude for that particular kind of work
you must have a faculty of working
out and keeping up systems, and
you must know how to meet and
handle people in order to be a suc
cessful banker.
Before the Pushing Force can suc
cessfully operate, the banking house
should be in order. W e are living
in a sanitary age. Buy that style of
furniture and plan everything on a
similar scale. Show taste in dis
playing furniture, expose very little
junk, and hang up but very few pos
ters. Have a place for everything
and everything in its place.
To make a bank attractive it must
be kept up, both the interior and the
exterior. In brief it should be simi
lar to your home, with the lobby
and officer’s room as your reception
hall and living room. What is the
use of having a new suit if you do
not keep it cleaned and pfessed?
Compare a new suit with a bank
building and its modern equipment.
The building is to be put in shape
after banking hours. Note the word
“ after.” No day is complete with
a part of its work unfinished. The
rooms should have that sanitary or
dollar-come-again look before anoth
er dawn. T o keep a bank clean re
quires regular attention and system.
As soon as the banking hours are
over the rooms should be thoroughly
swept, leaving no dirt behind the
furniture and counters. Windows,
inkwells, and the like should be
washed frequently; a clean surface
impresses the general public. If
you have it in mind, you are going
to have the best looking and most
sanitary bank, and keep it that way,
D
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Federal Reserve Bank of St. Louis
it will not be long until you are de
veloping the same qualifications in
every department of your work.
Now consider the Pushing Force.
No bank is better than the service
it renders. Some of the elements
necessary to give real service are
the putting into practice of the most
up to date systems, using modern
equipment and maintaining the
D. R. WESSLING
financial condition of the bank such
that you are able to take care of
your customer’s needs at all times.
Every item going through the
bank must be handled in an efficient
manner. Memorandums or nota
tions should be made for items of
minor importance or anything that
cannot be attended to at once, and
left at some convenient place desig
nated for the purpose in order that
the same will not be overlooked.
Keep your mind clear for important
affairs.
In order to accomplish the most
in the least given time, and in the
easiest way, you have to use the
best systems. For instance a good
illustration is the check filing de
vice. Everytime a new account goes
on the ledger an index with the
same name should go in the check
drawer. T H ERE IS NO REASON
W H Y TH E COU N TRY BANKER
CANNOT KEEP STEP W IT H
TH E C ITY BANKER.
Officers and clerks in charge do
not have to be attired in the best or
highest-priced
clothing.
They
should, however, present a neat and
clean appearance; with shoes shined,
trousers pressed, clean linen and a
fresh shave; then when they go to
work they can not help but greet
the other fellow with a pleasant
“ Good morning.”
All the while, know, and never be
satisfied unless you are doing more
than you are paid to do. The higher
priced help is more in demand than
ever. The highest positions, if you
will carefully investigate, are held
by the ones who are always on the
job, ready to render assistance and
grasping opportunities instead of
just doing the required labor neces
sary to hold their places and be on
the payroll.
The bank is a system of many
parts: Each of which must be main
tained and requires a certain por
tion of the day. The time is now at
hand. A D V E R T ISE T H E SER
VICE Y O U ARE A B L E TO REN
DER AND BACK IT UP.
There is no duty we so much un
derrate as the duty of being happy.
— Stevenson.
April, 1922
THE
NORTHWESTERN
BANKER
19
Agricultural States of Middle West Are
Rapidly Recovering from Depression
Future prosperity of the great Mississippi Valley Region depends only upon the
exercise of reasonable prudence, care and patience
By F. 0. Watts
President First National Bank in St. Louis
HERE is much interest, many varied manufacturing industries, its ward foreign trade should be one
prophecies, and opinions on great transportation facilities, and of passive indifference.
It is probably not generally real
the question as to when busi its large distributing business gives
ness will fully recover. Prosperity it an opportunity for the wide em ized by the people in this section
has been for so much of the time ployment of labor and business ac that almost seventy per cent of the
total exports of the United States
the general condition of American tivity.
business that it is difficult for us
As an important factor tending to originate in this region. During
to endure with patience conditions the full recovery of trade in this the year 1920, exports to other parts
when industry is not active. W e region, the banking, credit, and of the world from the Middle West
are disposed to complain when we financial condition will offer no bar. amounted to $5,543,000,000, or on a
are not transacting business on the Whatever difficulties of credit and per capita basis, exports amounted
large scale and with the activity to banking we have experienced dur to almost $100 per person ; assuming
which we have been accustomed ing the past two years have now an average family of five persons,
during the past decades, and es largely passed. There will be am this would amount to over $500 per
pecially during the war period. But ple credit for all those who can use household.
From an agricultural standpoint,
no country has suffered so little
the Middle West produces an abun
from the business depression of the
dance far beyond its own consum
past eighteen months as has the
M r. Watts is president of the* largest
ing power. With but little more
United States, and no part of the
national bank west of the Mississippi
than fifty per cent of the population
country has been more fortunate in
and is a keen student of business and
of the United States, and not more
financial conditions in the middle west.
this respect than that region known
His optimistic attitude is encouraging
than five per cent of the world’s
as the Mississippi Valley.
to all midweste^rn bankers for he has
population,
this region produces
It is true that the great agricul
based his belief on information and con
about twenty per cent of the world’s
tural industry of this region has
ditions over a wide area.
wheat and sixty per cent of the
been seriously affected, due in large
part to the disproportionate fall in 'iiiiijiiiiim iiiiiiiiim iiiiiim iiiiiiiiiiiiim im tm m iiiiitim tM iim m iiiiim im iitiinm iiiiiiim m m tiM iiiiim iiiim world’s corn.
In addition to producing these
the price of farm products as com
pared with that of many other com it profitably. Bank reserves and two essential food products, this
modities which the farmer buys. deposits are rapidly accumulating, section is an important source for
But, fortunately a better condition frozen credits have largely thawed basic materials and a great manu
is developing. The leading agricul out, and a general condition in the facturing center. Here is produced
tural products have advanced about financial and credit situation is be over thirty per cent of the world’s
twenty-five per cent over their low ing brought about which will afford supply of bituminous coal, 37.6 per
point and there is every reason to fullest facilities for the great trade cent of the world’s iron and steel,
believe that the ground gained will activity which will occur in this forty-two per cent of the world’s
cotton, and forty-five per cent of
not be lost. Indeed, the situation region during the coming years.
One of the most important factors the world’s oil. So far as transpor
will probably tend to improve as a
more equitable relationship con to achieve fully this end will be an tation facilities are concerned, this
tinues to be established between the increasing appreciation on the part region stands preeminent.
It is often assumed that the ex
price of farm products and the price of our people of our interest in for
of other goods. Many prices have eign trade. The task of stimulat portation of manufactured products
decreased to a very low level and ing interest in a foreign trade among is a matter of relative unimportance
some of them may well advance the people of the United States, so far as the Middle West is con
somewhat; but in good time and and especially among those living in cerned. The facts in the case, how
season there will be brought about that section generally termed the ever, show that at least forty-four
that normal relationship of prices in Middle West, has always been diffi per cent of the total manufactures
general which places no single in cult. The reason for this attitude of the United States are produced
dustry in an unfavorable condition. is not hard to determine. There in this region. This, however, is but
The condition of the farmer will are few, if any, surface indications a fraction of its potential producing
be even more improved if, during in the United States that make for ability.
In 1920, the United States ex
the coming season nature is kind eign trade appear important. This
and a bountiful crop is produced. is especially true with respect to ported $4,163,354,637 of partly or
The Mississippi Valley region is the people who live in the Middle wholly manufactured products. This
suffering less during this period of West. Nature has endowed this represented about fifty per cent of
depression, not only because of its region with an abundance of natural the country’s total exports of do
great natural wealth of soil and cli resources, thereby making it prac mestic products. The Middle West
mate, but also because it has a high tically self-sufficient, hence it is contributed forty-four per cent of
ly diversified industrial life. Its natural that the popular attitude to
(Continued on page 50.)
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Federal Reserve Bank of St. Louis
20
THE
NORTHWESTERN
April, 1922
BANKER
Fort McMurray, in Heart of Canadian
Oil Fields Is “ Gateway to the Arctic’ '
By E. G. Parsons
Branch Manager Union Bank of Canada, Fort McMurray, Alberta
HE settlement of Fort McMur
ray is situated at the con
fluence of the Athabasca and
Clearwater Rivers and has existed
since the days of the Yukon gold
rush, many having gone North by
way of the Athabasca River and the
Great Slave Lake. Fort McMurray
will be the main gateway to the
Mackenzie district and the Arctic,
but its future depends entirely upon
the development of the vast natural
resources of the North. The build
ing of the Alberta and Great Water
ways Railway was stopped at
Waterways about seven miles from
Fort McMurray last fall, but it is
known that this is only a temporary
arrangement. As soon as the neces
sary tonnage is available the railway
will be built to Fort McMurray. It
is obvious Fort McMurray should
be the main gateway to the north.
T
The route is three hundred miles months a tarry substance seeps out
shorter to Fort Norman with only of the standstone faces and oozes
one portage of sixteen miles, while down the hillsides, and a strong
by way of Peace River it necessitates odor of crude oil is noticeable. From
an extra portage of two miles at Ver these sands are extracted gasoline,
million Chutes.
kerosene, heavy and lig-ht lubricating
Last season Fort McMurray was oils of a high grade. Another feature
a centre of considerable importance, of the Fort McMurray tar sands is
all machinery and supplies for the that they represent the largest
Imperial Oil Company having passed known occurrence of asphaltic mate
through there. This year it is an rials, and when one takes into con
ticipated that the amount of freight sideration the fact that all asphaltic
and number of passengers will be materials used in Canada are im
greater; in fact the Alberta and ported, this is a matter of potential
Arctic Transportation Company is interest to Fort McMurray. After
taking its boat “ Slave River” off the oil has been extracted from
the Peace River route, intending to these sands the sands can be used
place her on this run.
for the manufacture of certain kinds
Fort McMurray is situated in the •of glass after having been mechanic
centre of about 1,000 square miles of ally purified and ground.
the richest known tar sands. These
The reports from last season’s
tar sands show a thickness of 150 to operations on the tar sands are most
200 feet, and during the summer encouraging, and now that the prob
lem of extraction of the oil on
a commercial basis has been
overcome active development
during 1922 is anticipated in
the immediate vicinity and also
down river. In fact, arrange
ments are being made just now
for extensive buildings in this
connection.
What this will
mean to Fort McMurray only
the future can reveal, but sit
uated as it is, right in the midst
of these enormous deposits, its
future cannot be other than
promising.
BANKING AT THE TOP OF ALBERTA.
In picture No. 1 the “Padre” and E. G. Parsons (left) are watching- the arrival of the
Union Bank safe. No. 2 shows Premier Greenfield of Alberta on his first official visit to
Fort McMurray. No. 3— The primitive structure in the loft of which the Union Bank of
Canada began operation at Fort McMurray “pioneering with the pioneer.” No. 4— Bring
ing the bank safe into Fort McMurray.
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Federal Reserve Bank of St. Louis
Deposits of salt have also
been located underlying Fort
McMurray. Drilling operations
conducted by the Government
have determined the existence
of salt at a depth of about 600
feet, having a purity of over
97 per cent. Our timber re
sources are also large, an
abundance of both sawmill and
pulpwood timber being avail
able on both the Clearwater
and Athabasca Rivers. All of
this could be rafted down
stream to Fort McMurray.
The fur trade still continues
as a great industry of this coun
try, and during the first week
of February this year Fort Mc
Murray offered a unique oppor
tunity to see what an outpost of
the Northern fur trade was like
Aprii, 1922
THE
in pioneer days. The same old time
color that once furnished so many
striking and novel pictures of fron
tier picturesqueness could be seen
when twenty teams arrived from the
North.
About one hundred and
twenty dogs were hitched to the
sleighs, bells jangling and the har
ness was decorated in many colors.
Each team was laden with about five
hundred pounds of fur and a conser
vative estimate of the value of the
twentv sleighs of fur would be
$
100.000.
*
NORTHWESTERN
BANKER
It is estimated that half a million
dollars worth of fur has passed
through Fort McMurray to date this
year on its way to market, and when
one takes into consideration the fact
that none of the Hudson Bay Com
pany’s fur from the North is in
cluded in this estimate it will give an
idea of what the fur industry means
to Fort McMurray.
Among the first enterprises this
spring will be the building of the
new Hudson Bay Company passen
ger and freight boat “ McMurray,”
the machinery for which has already
21
arrived. This steamer will be the
latest type of river boat and will be
splendidly equipped ’with all modern
conveniences, and will have a carry
ing capacity for a large amount of
freight and 150 passengers.
For a vacation during the summer
months I would strongly recom
mend a trip to Port McMurray. It
is situated within easy railroad com
munication with Edmonton, amid
surroundings still sufficiently primi
tive to appeal to all true lovers of
nature.
Teaching the Kids that the Bank Is
Not a “ Temple of Mystery”
By Clarence L. Owen
Assistant Cashier Stock Yards National Bank, South Omaha, Nebr.
HROUGH the efforts of the
American Bankers Associa
tion, a course of lectures has
been prepared and some have al
ready been delivered in many of
the public schools all over the
United States. This series is com
posed of nine subjects including,
Deposits and Checks ; Loans and
Discounts ; Drafts and Letters of
Credit ; What Bank Statements
Mean; Trust and Trust Corpora
tions ; Principles of Prosperity ;
Work and Wealth ; Money and
other Commodities; The Federal
Reserve System.
These are delivered one or two a
month by lecturers who have been
selected from the public speaking
classes of the American Institute
of Banking, to the two advanced
classes of the grade schools and
certain classes of the high school.
At first glance it might seem that
some of the subjects that have been
selected are too heavy for school
children but it is the duty of the
instructors to simplify their method
of delivery both in language and
illustrations so that they may be
readily understood.
I am not familiar with the ar
rangements which they have made
in other cities regarding the details
of the work but in Omaha a lec
turer is assigned to a certain school
for all of the lectures. This would
seem to be the best plan as it gives
him an opportunity to become
acquainted with the pupils and he
naturally takes more interest than
he would under a rotary system. In
addition to this it enables him to
make arrangements with the princi
pal and teachers of the school re
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Federal Reserve Bank of St. Louis
garding the date and hour of lec
tures.
It is really quite surprising and
at the same time very gratifying to
note the keen interest taken by the
CLARENCE L. OWEN
pupils. They seem to look forward
with a great amount of pleasure
to these classes.
The importance of this work can
hardly be overestimated. In a short
time many of these young folks will
be taking active part in the business
world, and their knowledge of the
principles of banking will be a great
assistance to them regardless of
their chosen vocation.
It is a well known fact that many
children and even some older peo
ple look upon a bank as a sort of
Temple of Mystery, a place where
if they do have occasion to enter, it
must be with fear and trembling—and the sooner this feeling can be
dispelled the better off the entire
business world will be.
It is not to be wondered at that
large sums of money are hoarded
away and diverted from the chan
nels of commerce and industry as
long as this feeling exists.
It is one of the purposes of the
American Bankers Association to
overcome this condition and I sin
cerely believe that they have chosen
the logical method, as it is far
easier to impress a child, while his
character is in the process of de
velopment, than it is an older per
son whose habits have been formed.
It is hoped that this campaign
will prove so popular with all con
cerned that it will become a perma
nent institution, and there are many
reasons for encouraging it as it will
be a great benefit to the business
world, to the scholar, and is splen
did practice for the classes in pub
lic speaking'.
Thrift campaigns are a great help,
but there is nothing that will have
more of a tendency toward the en
couragement of thrift than this
movement.
Just to be good, to keep life pure
from degrading elements, to make
it constantly helpful in little ways
to those who are touched by it, to
keep one’s spirit always sweet, and
avoid all manner of petty anger and
irritability— that is an idea as noble
as it is difficult.— Edward Howard
Criggs.
THE
22
NORTHWESTERN
BANKER
April, 1922
Advise Life Insurance Policyholders to
Keep Their Contracts in Force
Bankers have a genuine opportunity to render unselfish service to their
customers by assisting them to retain their insurance
By 0. E. Crane
Cashier Central City Savings Bank, Central City, Iowa
H Y IS it that when periods
of financial depression come,
and individuals find them
selves hard pressed for ready
money, they turn at once to the
very thing that would mean happi
ness to their loved ones in case of
bereavement—their life insurance
policy— and borrow thereon the
money available?
To me, a policy of life insurance
has always been an almost sacred
thing, like a family heirloom, or a
treasured jewel to be kept intact
for a day of great need. I feel, and
I think every man should feel, that
a life insurance contract should be
the very last thing in the world upon
which a man should borrow money
or the very last possession a man
should part with.
But we must deal with men as
they are and not as we would like
to have them. Most of the men
who borrow on their insurance poli
cies, do so with the best of inten
tions and with the feeling that it is
only a temporary loan— that they
will soon repay ,it. Or when a
policy-holder surrenders a policy he
does so with a feeling that the pre
mium is an expense which is not
justified at this particular time, and
that the insurance is something he
can well do without. Most men who
lapse policies do so with the idea
that they can reinsure again later
on, when they are in better circum
stances.
What should we as bankers say
to the man who wants to surrender
his life insurance policy and perhaps
asks us for advice?
There are very few bankers who
are not believers in life insurance
protection. In fact I believe that
their number is almost nil. No man
could have experience in a bank and
settle estates, clerk sherifif’s sales,
advise widows or attend to any of
the many things that comes to him
after a client’s death, without being
converted to the great value of life
insurance protection.
It is a matter of great importance
and deserves serious thought. What
will you as a banker, and a man in
W
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Federal Reserve Bank of St. Louis
whom your customers have confi
dence, say when they come to you
and ask you a question like this?
“'You know I’m hard up—you know
I have past due notes in your bank
— I have a life insurance policy and
the premium comes pretty hard
these days— I have a notion to drop
it! What do you think I’d better
do?”
I don’t think in ninety-nine cases
out of a hundred a man has any right
to drop an insurance policy upon
which he has paid one or more pre
miums, and in most cases it is not
iiiiiim iiiiiiiim iiiiiiiiiiitiiiiiiiiiim iiiiiiiiiiiiiiiiiiiiiiitim iitiiiiiiiim iiiim iiiiiiiim iiiiiiiiiim iir.iiiiiiiiiiiiim ii
“ W e as bankers have long preached
thrift to our customers. A t this time’
we have a wonderful opportunity to
talk thrift to the holders of life in
surance policies, for he who takes a life
insurance policy starts a program of
thrift which he should not terminate.”
titiiu iu iiiiiim iiiiiiiiiiiiiiiiiiiiiiim iiiiiiiiiiiiiiiiiiiiiiiiitm iiiiiiiiiitiiiiiiiiiu ttitiiiiitiiiiiiiiiiim iiiim iiiiiiiiiiii
necessary to drop it. I don’t believe
that any man should discontinue a
policy because he is short of money
without first sitting down and writ
ing the company, telling them frank
ly just how he is situated and ask
ing their advice and help. If policy
holders would always do this it
would very rarely be necessary for
them to drop their insurance.
As to our part as a banker in this
most important matter: I don’t be
lieve that a banker can afford to do
anything else but urge all of his cus
tomers to maintain their life insur
ance, I don’t believe that the ma
jority of bankers have any disposi
tion to do anything else and I think
any banker who advises depositors
to discontinue their policies at any
time, but more especially during
time of financial stress, is short
sighted to say the least. I think
any banker who has the painful ex
perience of foreclosing chattel mort
gages or settling estates for widows
will agree with me heartily.
To the man who has borrowed on
his insurance policy a word of ad
vice will be a god-send. The man
who was forced (or who thought he
was forced) to avail himself' of the
loan value on his insurance, will
feel, when he comes to pay the in
terest with his premium, that he
had best let his policy terminate and
buy again in some other company
perhaps. Of course this is an entirely
erroneous idea. He is not paying
any additional premium because he
has a loan on his policy. He is
merely paying interest, and a low
rate of interest on money that he
has borrowed and which unlike most
loans that he makes does not fall
due. To this man we can be a real
friend and advisor. There is no
more reason why he should give up
this policy because it is encumbered,
than that a man who bought a farm
before the rise in land values, should
now allow it to be sold for taxes
because he has a mortgage on i t !
The reason for this is most obvi
ous. He is older and a new policy
will cost him more, he may not be
able to pass a medical examination,
he has fewer years left to pay on
this policy than he would have on
a new contract, and by dropping this
policy he destroys his chance to
build up any future loan value in
the contract.
We
as bankers
have
long
preached thrift to our customers.
At this time we have a wonderful
opportunity to talk thrift to the
holders of life insurance policies for
he who takes the life insurance pol
icy starts a program of thrift which
he should not terminate.
Unfortunately there is and always
will be, unscrupulous insurance
men who will advise policy-holders
to drop their policies and take new
insurance with them. It is gratify
ing to see that these parasites are
becoming few in number.
Bankers will have a genuine op
portunity, particularly for the next
few years, to render real, unselfish,
constructive service to their cus
tomers, by advising them to hang on
to their insurance policies and by
assisting them in so doing whenever
circumstances justify it.
Nothing can be done well in art
except by vision.— Ruskin.
April, 1922
THE
NORTHWESTERN
BANKER
23
How the Modern University Trains
Future Bankers and Business Men
X.
UNIVERSITY OF CALIFORNIA
By Stuart Daggett
Dean College of Commerce, University of California, Berkeley
college include the development of
research activities and the establish
ment of a fifth or graduate year. In
a recent report to the President of
the University, I have said that
“ The College of Commerce should
be a center where authoritative in
formation of certain types can al
ways be found and it should be con
tinuously engaged in investigations
of special interest to business men
upon the Pacific Coast. Among
possible subjects for investigation
may be mentioned the trade and
manufacturing possibilities of spe
cial sections of the state, price move
ments, unemployment, and the ef
fect of tariff and transportation
legislation upon California indus
tries. Much can be done at com
paratively slight cost by the ap
pointment of research fellows at
salaries of $1,800 or $2,000 each.
These fellows could work with ade
A Corner of the University of California Campus, Berkeley.
quate clerical assistance under the
direction of older members of the
HE general purpose of the their junior year, students begin University faculty. The immediate
work in the College of Com upon the subject of their specializa call is for a research fellow in labor,
merce at the University of tion devoting at least nine units— one in business organization, one in
California may be stated as an at as we define the term—or the the real estate field and one in ad
tempt to give young men and w o equivalent of a year and a half or vertising.”
men whatever benefits may be de - more of work in a particular and
The relations between business
Along men in San Francisco and the col
rived from a general college educa somewhat narrow field.
tion, while, at the same time, bring with the work of the last two years lege are cordial, although there have
ing such education into touch with goes training in Commercial Law. not been funds in recent years to
There are approximately 1200 take any considerable advantage of
the affairs of the business world.
More especially the College of Com students in the College of Com this feeling. The University budget
merce attempts to supply fundamen merce. The students’ organizations for this year carries an increased
tal training applicable to all forms at the college include the College of provision for instruction in business
of business, together with some Commerce; the Beta Gamma Sig administration and in foreign trade.
specialization along the line of vari ma, a boy’s honor society; the Gam An appointment in the former field
ous important activities, viz: Bank ma Epsilon Pi, a girl’s honor so has already been made and one
ing, Investments, Accounting, In ciety; and the Alpha Kappa Psi, a will presently follow in the field of
surance, Transportation, Foreign fraternity of Commerce students.
foreign trade.
The students publish a monthly
Trade, Consular Service, Business
Organization,
and
Employment paper known as the “ Commercial”
Savings Depositors
and a bulletin known as the “ Sign
Management.
The number of savings depositors
Students in the College of Com board” issued by the Gamma Ep in all American banks now exceeds
merce devote their first two years silon Pi girls. In addition, this last 30 million persons, and the total of
to studies of a general sort includ year the boys in Beta Gamma Sig such deposits is known to exceed 13
ing English, Mathematics, History, ma took charge of the issue of the billion dollars. As it is not possible
Language and Economics. In their Beta Gamma Sigma “ Exchange,” to make an exact statement of sav
third year, they take work in A c which is the organ of the National ings deposits, the total of this item
counting, Economic History and Society; and a bulletin known as in the resources of all banks may be
Statistics, if this work has not al the “ Diary” was published by the much larger than the amount given.
ready been undertaken, and they Alpha Kappa Psi boys. Copies of
begin applied economics in a num these publications with the excep
There is always room for a man
ber of selected fields. During the tion of the “ Diary” are enclosed.
of force, and he makes room for
The plans for expansion for the many.— Emerson.
last year, and to ’a lesser extent in
T
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Federal Reserve Bank of St. Louis
24
THE
NORTHWESTERN
BANKER
April, 1922
Bankers Should Know the Many Errors
In Tax Returns Which “ Gome Back”
By H. Archibald Harris
S TH E weary Arab gazes out
in the hope of discerning an
oasis in the desert, the bedrag
gled and bewildered taxpayer of to
day looks forward to new and reme
dial tax legislation as a means of
slacking industry’s thirst for pros
perity.
Tax-ridden as he is, he cannot be
blamed. He should study and plan
for a better tax system. But, he
should not forget the laws under
which he is now taxed. There is an
inclination to forget the present laws
in the contemplation of new ones.
This is little short of disastrous.
In fact, a somewhat intimate ex
perience with the present tax laws
has shown me that some errors are
so commonly made as to indicate
that a further explanation of them
would mean a genuine saving to a
great body of taxpayers.
This article will, therefore, be in
light of a prescription for keeping
the malady of additional tax assess
ments from developing into a more
acute ailment because of complica
tions in the shape of tax penalties
and interest charges.
Now in considering the tax situ
ations, reflect first on the fact that
by no means all of the federal tax
returns for 1917 and 1918 have been
audited. This does not take into
account the millions of returns filed
for 1919 and 1920. It is, then, very
clear that the Income Tax Unit has
much work to do.
Additional taxes running into the
millions are being assessed every
week. In many cases interest
charges and penalties accompany
them. It may, therefore, save time
and money to mention mistakes re
sponsible for a great many of the
additional sums required from the
taxpayer by the government.
Perhaps the most common error of
the corporate taxpayer is that of
“ expensing” items which should be
included in invested capital.
An acrid complaint from an ac
quaintance of mine, by the name
of Jenkins, fits the attitude of many
companies toward expensing items.
Jenkins was very peculiar in that
he thought the whole world had it
in for him. Coming from the train
in the morning he used to discourse
with refreshing naivete on the
A
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Federal Reserve Bank of St. Louis
H . Archibald Harris, certified public
accountant, tax expert, engineer, lec
turer, author, president of the Indiana
Association of Certified Public Account
ants, is a widely sought authority on fed
eral taxation and was prominently men
tioned for the position of Commissioner
of Internal Revenue of the United States.
He is head of the large organization,
Archibald Harris & Company, certified
public accountants, Chicago and New
Y ork. The company has one of the larg
est tax departments of any accounting or
legal firm in the United States. Its ad
visory service department is co-operating
with over two hundred Chambers of
Commerce and financial and industrial
bodies on taxation and accounting.
M r. Harris has done pioneer work in
perfecting a method of definitely and
scientifically establishing the fixed as
sets and depreciation for financial audits
by means of valuation.
His writings
have the strength of practicability sup
ported by an unusual knowledge of the
subject.
H. ARCHIBALD HARRIS'
world’s unpardonable habit of curd
ling his ambitions.
“ I was born unlucky,” he told me
one day. “ See what wonderful
weather it is not today. I’ll go
down to the office. The boss’ll walk
through and take a look out the
window. ‘Ain’t it a rotten day,’
he’ll say to his assistant. ‘ Let’s fire
Jenkins.’ ”
Apply this to companies dealing
with capital items.
“ It’s a rotten year,” they’ll say;
or, “ our taxes are already high.
Let’s charge the amount to ex
pense.”
The most interesting thing about
an error is its effect. W e will con
sider first then the effect of charg
ing off as an expense an item which
is, in reality, an addition to capital.
To deduct an expense amount
from gross income reduces the very
amount, which except for other ex
pense deductions, would be subject
to tax. Therefore, when Uncle Sam
disallows an item as expense, he
indirectly increases the amount of
income subject to tax.
In a great many cases corpora
tions have erected buildings and ap
paratus for the recreation of em
ployees
and
have
erroneously
charged the cost to expense. The
buildings may be devoted entirely
and exclusively to the employes;
but, the cost should be added to
invested capital.
If you permit the government to
correct an error such as the one
cited it will in all probability be
accompanied by interest charges and
penalties.
To show the seriousness of this,
take an example: Assume that you
have in 1920 erroneously “ expensed”
$100,000 instead of adding it to in
vested capital. Disallowed as ex
pense and subsequently restored to
capital, this amount would incur in
terest charges and penalties in
amount of $7,820 (consisting of
$2,320 penalty and $5,520 interest).
This, even if errors were discovered
and taxes paid upon them one year
from the original due date of the
tax.
To the $7,820 would be added as
interest $460 for every month which
payment was delayed in excess of
one year after original due date.
It will be noted that the charge of
$460 per month, amounting to $5,520 for a year, is $2,300 less than
the figure of $7,820 for the first year.
This is due to the fact that a penalty
of 5% is included in the first year’s
figure. Only one such penalty ap
plies for the entire period.
Adding to $100,000 to capital
would, it is true, entitle the tax-
April, 1922
THE
payer to larger subsequent deprecia
tion deductions. And, these deduc
tions spread over a period of sev
eral years would offset to some ex
tent the additional taxes resulting
from the correction of the returns
for the current year.
This is some consolation for the
man who must restore to capital an
amount which has been improperly
charged to expense.
However, this will in no way
affect the penalties and interest
charges which will be assessed. The
point is that the. government will
require that erroneously “ expensed”
items be thrown out and included
in capital; as a result of which pen
alties and interest charges will ap
ply if you do not voluntarily make
the change by adding the expendi
ture to capital.
The figures just given are based
on a maximum excess profits tax
of 40% which has been a very com
mon percentage. Even, however, if
the excess profits tax were com
puted at the rate of 20%, the pen
alty and interest under the above
conditions for the first year would
be $4,760.
For subsequent years at this per
centage there would be added in
terest at the rate of $280 per month,
or $3,360 per year.
An error made for 1918, if steps
to correct it were taken by the gov
ernment in January of this year
would necessitate payment of pen
alties and interest amounting to
34%.
The example just cited is typical
of many errors made in distinguish
ing between capital and “ expense”
items.
Many corporations have been so
sure of their ground that they have
not thought it worth while to look
up the revenue law on these ques
tions. But, a glance at the govern
ment’s instructions -as to how to
handle these charges may save you
the trouble of writing out a check
covering interest charges and penal
ties.
Failure to observe such points is
responsible for many of the millions
of dollars now being assessed
against the taxpayers of the country.
For the sake of convenience, there
is here quoted an extract from Regu
lations 45, dealing specifically with
capital and expense items. Careful
following of these directions will
mean, in most cases, actual money
in the pocket.
“ Amounts expended for securing
a copyright and plates, which re
main the property of the person
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Federal Reserve Bank of St. Louis
NORTHWESTERN
25
BANKER
making the payments, are invest
ments of capital.
“ The cost of defending or perfect
ing title to property constitutes a
part of the cost of the property and
is not a deductible expense.
“ The amount expended for archi
tect’s services is part of the cost of
the building.
“ Commissions paid in purchasing
securities are a part of the cost
price of such securities.
“ Commissions paid in selling se
curities are an offset against the
selling price.
“ Expenses of the administration
of an estate, such as court costs, at
torney’s fees, and excutor’s commis
sions, are chargeable against the
corpus of the estate and are not al
lowable deductions.
“ Amounts to be assessed and paid
under an agreement between bond
holders or stockholders of a corpora
tion, to be used in a reorganization
of the corporation, are investments
of capital and not deductible for
any purpose in returns of income.
“ An assessment paid by a stock
holder of a national bank on account
of his statutory liability is similarly
not deductible.
“ Amounts expended by a company
in insuring an officer— his insurance
to revert to the company at death—
mav not be expensed but capitalized.
However, the actual amount ex
pended in premiums by the com
pany may not be included in capi
tal. It is only the surrender value
of each policy which may be capita
lized.
“ Expenses of the organization of
a corporation, such as incorporation
fees, attorneys’ and accountant’s
charges, constitute investments of
capital and are not deductible from
gross income.”
Most of the charges for additions
and betterment have been errone
ously made under the heading of
(Continued on page 51.)
CARTOONS OF THE MONTH
ST U D IE S
OF
AVERAGE
C IT IZ E N
O B S E R V IN G
H IS V A R I O U S N A T I O N A L ‘ W E E K S ."
— H ardin g in th e B ro o k ly n
Eagle.
26
THE
NORTHWESTERN
BANKER
April, 1922
How a Bank Secured 12,000 New Savings
Accounts at a Cost of 46 Gents Each
All employes and off icers of the bank were enlisted in a big
campaign which continued three months
By Craig B. .Hazlewood
Vice President Union Trust Company, Chicago
N T H E fall of last year onr bank
decided to conduct a vigorous
campaign for new savings ac
counts through the medium of its
own employes. A committee of
three was appointed, composed of
the manager of the new business de
partment, the manager of the sav
ings department, and the publicity
manager, to supervise the general
policy and progress of the drive.
This committee in turn appointed
one of our junior officers executive
secretary of the campaign, placing
the management of it squarely on
his shoulders.
Three factors were determined
upon as important to the success of
the campaign; the cooperation of
our officers, small working units or
“ teams,” and constant publicity. To
utilize these factors, it was decided
to appoint each of our twenty offi
cers “ captain” of one of twenty
teams. Each team was composed
of the captain, a “ lieutenant,” and
fifteen members, the lieutenant
bearing the brunt of the active work,
but directed and encouraged by the
captain. On some of the teams two,
three or four lieutenants were ap
pointed, with very good results. As
to the publicity, this was effected
by the placing of four large score
boards in four conspicuous places in
the bank, which registered the daily
standing of the twenty teams in ac
cordance with the number of ac
counts brought in. In addition, pos
ters were used from time to time,
and a campaign bulletin issued at
least once each week, and oftener
when occasion demanded.
This
bulletin was largely responsible for
the excellent spirit of the campaign,
and for most of the friendly compe
tition between the teams and be
tween the individual members of
the teams. It was written in a
chatty sort of way and contained as
many interesting anecdotes and per
sonal experiences as came to the
ears of the committee.
The campaign was started off
with a mass meeting in the assembly
room, at which one of our vice
presidents spoke of the opportunities
that would be offered to each of
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Federal Reserve Bank of St. Louis
us by the campaign, opportunities
for serving the bank, adding to our
experience, earning extra money,
and becoming better acquainted
with our fellow workers. He pointed
out that the campaign would run
for three months and commissions
would be paid for each account
brought in, based upon the amount
of the initial deposit and the fact
that it must remain in the bank at
least thirty days. He explained the
mechanism of opening a new ac-
CRAIG B. HAZLEWOOD
count, and outlined the prizes that
would be given after the close of the
campaign to the individuals and
teams bringing in the largest num
ber of accounts, and also the largest
aggregate balances.
In order to encourage every mem
ber of every team to do his part, it
was announced that quota buttons
would be presented to every team
member who obtained fifteen ac
counts. This number was figured
on the basis of our quota, since if
every member of every team
brought in fifteen accounts, a total
of five thousand would be achieved.
These quota buttons were small
oxidized silver reproductions of the
company emblem and were proudly
worn by those who had obtained
their quota. In addition to these
emblems, the men who obtained
over one hundred accounts— and
there were seventeen of them—were
presented with sterling silver keychains, engraved with their names
and containing the company em
blem. The young ladies who ob
tained over one hundred accounts
were presented with sterling silver
Eversharp pencils, properly en
graved.
As was expected, our first month
was a very enthusiastic one and we
were pleasantly surprised to reach
our goal of five thousand new ac
counts at the end of the fifth week.
W e immediately doubled our origi
nal quota and determined to strive
for ten thousand new accounts. The
second month things went slowly.
Most of the team-members had
brought in all the accounts that
could be obtained easily and were
finding it more and more difficult
to get results. During this time we
started offering special prizes foi
results obtained during each week.
For Thanksgiving week five big
turkeys were offered to the boys
and girls bringing in the largest
number of accounts and the largest
balances. Other special weekly
prizes followed, consisting, for the
most part, of five and ten dollars
gold pieces.
Toward the last week of the cam
paign we were approaching our ten
thousand mark but were still some
thing over one thousand accounts
short. Team meetings were ' held,
special bulletins issued, and everv
other day at four o’clock a general
mass meeting was held in the as
sembly room.
The final results far exceeded
our most optimistic expectations
Twelve thousand, three hundred
and fifty eight new accounts were
brought in before midnight on Jan
uary 16, when the campaign closed
and accounts have been flowing ir
(Continued on page 54.)
THE
April, 1922
NORTHWESTERN
27
BANKER
and theij call Kim
a steadkj man
Will this be your title, and this your story
when you, too, are 4 5 ?
years ago he
entered the bank as a clerk. It
cost little to live in those days,
and after a time he married and began
to purchase a little home.
So the days went by, and the
months, and the years. And every
morning he trudged down to his desk,
and every evening back to his house.
The bank gave him a few dollars
more each year; two years ago he was
made assistant cashier. They thought
very highly of him at the bank, as
they thought highly of their vault and
their adding machines.
“ He is very useful,” they said of
him; and they called him a steady man.
T
w e n t y -o n e
W ho is to blame for these
wasted years?
LL my life I have had to struggle
just to keep my nose above
water,” he said with a tragic little
smile, when he enrolled with the
Alexander Hamilton Institute a few
weeks ago.
“ Perhaps the Institute can pull me
out,” he added ruefully. “ I don’t
know; I’ve wasted a good many years.”
Who is to blame for those wasted
years? The bank? It has paid him
the current rate; and he has given it
no excuse to pay him any more.
“ A
Surely the bank has needed executives in
those twenty-one years. Surely other indus
tries in the city have looked around often for
capable men. And they have passed him by
because he knew only one little job and noth
ing else; because he was just a useful cog—
merely a steady man.
What excuse have you given your
company to move you ahead?
\7"OU are still in the full rich years of youth;
you are twenty-five or thirty or thirtyfive. In a vague general way you assume that,
of course, each year will put you further ahead.
But what real reason have you to assume
it? Specialized'knowledge of one department
of business is not a difficult thing to buy; there
is no obligation on any employer to pay for it
more than a fair market price.
Only one asset in business commands its
own price— the all-round knowledge of all de
partments— sales, accounting, advertising,
factory and office organization, corporation
finance, and the rest. That executive equip
ment forces recognition by its very rarity.
Will you have that equipment one year,
five years, ten years from now? Or will you,
too, in middle life, be merely a steady man.
You know that its Advisory Council con
sists of such authorities as: Frank A. Vanderlip, the financier; John Hays Hammond, the
eminent engineer; General T. Coleman
duPont, the well-known business executive;
Jeremiah W. Jenks, statistician and econ
omist; and Joseph French Johnson, Dean of
the New York University School of Com
merce.
You know that thousands of men have
tested its training in their own experience and
proved its value by their success.
It is not more facts that you need, but a
moment of decision. Will you, for your own
sake, spend one evening with the book that
tells what the institute is and does?
“Forging Ahead in Business”
OW much the Institute can do for the steady man
who is on the threshold of fifty is a difficult question
and depends to a great extent on the man. But for the
man of serious purpose, between the ages of twenty-one
and forty, it can promise this without reservation: It
can save him the tragedy of wasted years; it can shorten
the path between where he is and where he wants to be.
The evidence to support this promise is contained in
“ Forging Ahead in Business,” a book of 118 pages. It
is an expensive book to produce; there are no copies for
boys or the merely curious. But for thoughtful men
it is sent without obligation. Send for your copy today.
H
Alexander Hamilton Institute
463 Astor Place
Send me “ Forging Ahead in Business” which
I may keep without obligation.
It is not facts you need but decision
HE facts about the Alexander Hamilton
Institute have been published so often in
T
advertisements like these that you could
probably repeat them almost as well as we.
You know that the Institute was formed
by a group of business leaders who recognized
that modern business was developing special
ists but was failing to train executives.
Name
Print here
Busines..
Address.
Business
Position.
Canadian Address, C.P.R. Building, Toronto j Australian Address, 42 Hunter Street, Sydney
Copyright 1922.
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Federal Reserve Bank of St. Louis
New Y ork City
Alexander Hamilton Institute
28
THE
NORTHWESTERN
BANKER
April, 1922
Will New \ ork (Gradually Be Displaced
As the Money Center of the World?
There are many indications that Europe is gaining financial strength and
may wrest financial leadership from the United States
By Leslie Iianson
Investment Editor Northwestern Banker
LEADIN G question in the
minds of bankers is whether
the supremacy of the dollar in
international finance will be main
tained or whether slowly returning
strength in Europe will mean a
gradual displacement of New York
as the pre-eminent money center
for the world. On the surface it
does not appear likely that the seem
ingly impregnable financial position
of the United States, gained during
the economic upheaval that accom
panied the war could be weakened
and yet there are several straws in
dicating the direction of the wind
which are of some significance.
Prior to 1914 the United States
always had been a debtor nation.
We were sending millions yearly
to Europe in the form of interest
on securities, remittances from im
migrants to their home land, pay
ment for goods bought, and expen
diture of tourists. The war re
versed the order and this country
now is a creditor on Europe’s books
to the extent of fifteen to eighteen
billions of dollars, which is the
estimate of accepted economists
and statisticians, as to the total gov
ernmental and private credit grants
abroad.
At first glance it does not seem
that this balance on the side of the
ledger can be easily reduced but
it is within the realm of possi
bility. Our trade balance is stead
ily diminishing and might soon turn
against us, Great Britain and Ger
many are becoming greater factors
in foreign markets, particularly
South America, London is becom
ing a stronger competitor in the
bond markets of the world, and last
but not least American bankers lack
the experience in international
finance that is held by the astute
English financiers and which is es
sential for world leadership in
finance. Another consideration is
that American bankers do not pull
together as do the London bankers.
It is necessary for heavy invest
ment of American capital in for
eign enterprises, and this is becom
ing increasingly difficult because of
A
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Federal Reserve Bank of St. Louis
the slowness of our investment
bankers to broaden their operations.
A statement made public not long
ago by the United States section of
the Inter-American High Commis
sion stated it is to the interest of
this country to utilize its surplus
stock of gold in foreign channels,
and also that it be redistributed.
The statement added: “ From an
economic point of view, the method
of utilization is by the investment
of capital abroad. The method of
redistribution should be through
loans for reproductive enterprise
“ It is better not only for the world but
for ourselves, to let credit and trade seek
their natural channels. W e should let
nations borrow in the cheapest market
and buy either in the cheapest market
or in the markets where they can get the
particular goods that they happen to
want. In an effort to use our lending
power as a club to get artificially trade
that would not naturally gravitate to us,
we may succeed only in losing a great
deal of the trade that would naturally
gravitate to us. To lend to the sound
est borrowers, and sell to the customers
who really want our goods is the only
sound and permanent policy.”
and by specific gold loans to coun
tries which are in a position to
undertake the reorganization of
their currencies on a gold basis. The
United States section regards it as
mutually desirable and profitable
that capital investments should be
made in the other American repub
lics, where national credit rests
squarely on stability in the social
order.”
And yet in the last month or two
London has outbid the United
States for at least two South Amer
ican loans and banking agents are
diligently at work to secure other
bond issues. Another point is that
bankers here feel that all foreign
loans floated publicly on this side
should be in dollar denominations.
They have feared for sometime that
there would be a flood of foreign
currency issues in this market but
the first instance of this was the
offering of the 75,000,000 guilder
loan of the government of Nether
lands. While this broadens the in
ternational operations of investors
and bankers, it puts the onus of
converting the foreign exchange on
America. In that instance it has
been stated Holland could have been
forced to float a dollar loan if all
the bankers had held together but
one firm was willing to handle the
transaction on a guilder basis. This
was not in any way to the firm’s dis
credit, rather was probably an ad
mirable stroke of business, but the
instance illustrates that American
bankers are not closely allied in
their operations, something that is
ever present in London.
Here, too, is an interesting side
light with an American angle. When
the government of Queensland was
in the market recently for funds
she first approached the usual Lon
don bankers. These financial pow
ers demanded that Queensland’s
house be put in perfect order.
There were certain legal difficulties,
which the bankers said would have
to be straightened out before credit
would be advanced, and curiously
every English banker held to this
view. The American bankers when
approached were willing to over
look this matter, as it had no bear
ing on the value of the loan, and
that is how the Queensland business
came to the United States. The
point is London was willing to lose
the transaction rather than have
its dictation refused, and the bank
ers held solidly on the point.
However, the international scope
of investment banking operations
shows some broadening. Back in
1920 and again in 1921 there were
franc loans made to the French
railroad systems, and comment was
made on them in this department
at the time, as indicating an
awakening interest in possibilities
of foreign investment by American
bankers. But there was nothing
from that time until about two
months in the way of following up
this advantage. Then there was
offered and quickly oversubscribed
(Continued on page 43.)
April, 1922
V A L E N T IN E W IN T E R S
P R E S I D E N T , W I N T E R S N A T I O N A L B A N K , D A Y T O N , O H IO
P R E S I D E N T , C I T Y R A I L W A Y C O M P A N Y , D A Y T O N , O H IO
A complete audit by a reputable firm of certified
public accountants is beyond all doubt one of the
greatest factors in making for better business. The
corner-stone of the foundation of the credit structure
is the availability of credit at the proper time and in the
proper proportion to the needs of business as a whole.
Only through the medium of a complete audit can
the banker feel the pulse of the borrower.
P ublished in the in te re st o f b e tter B usiness
by
ERNST & ERNST
Readers will confer a favor hy mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
30
THE
NORTHWESTERN
BANKER
I
April. 1922
'
-----------
What Bankers Are Thinking
Letters from Northwestern Banker Readers
Above the Law
NSW ERING your request for
letters f r o m Northwestern
Banker readers, I take the lib
erty to turn to a different field than
most of us tread during the daily
grind of business.
The spirit of the day has bent our
backs; we keep our eyes on the
beaten path; while our vision as
bankers should be from the hill tops
as leaders. W e hold the reigns of
prosperity and panic within our
hands. W e ruin or prosper the
tides of men about us according to
our vision.
For years we have been wres
tling with financial problems and
these problems' have mastered our
judgment; we reason from money
policy rather than from a sincere
religious policy.
Let us take common facts; not
over a year ago a prominent poli
tician interested in a promotion
scheme was threatened with arrest.
His answer was, “ If you make a
move against me, I will ruin half
the banks in your state.” He is
still at large.
Recently I saw a bunch of letters
implicating bankers in a large num
ber of towns. From these whole
sale experiences let us turn to ex
periences which each of you may
have seen duplicated in these
stretched times.
A bank president held paper and
chattels on a stock of goods; the
owner was financially wrecked; the
stock was depleted; associates of
the president told him to close it
out, take their loss and charge it off.
“ No.” was the answer.
One day a customer of long stand
ing with the bank came in and
asked about the business, having
been told the president of the bank
really had the sale of it. The cus
tomer’s faith in the integrity of the
banker consummated the deal. The
banker dumped his loss on his cus
tomer; exchanged his worthless se
curity for A1 paper and the cus
tomer lost heavily;-before he could
extricate himself.
The bank president was within
the bounds of law; but funda
mentally was he any less guilty than
the politician?
I cite these extreme cases to
bring out the fact that our stand
ards are weighted by money morals
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Federal Reserve Bank of St. Louis
and eventually become subject to
censure.
Babson, the man of intelligent fig
ures, says what we need is not more
money but more religion; Babson
speaks as one having authority.
Our spiritual vision has been
shortcircuited; let us look higher,
raise the arc light of integrity so
far above our money standards that
our customers will say, “ You can
bank on his word, you can depend
on his judgment, he’s as good as
gold.”
Such standards will always tend
to make us the center of a pros
perous group of men because they
would trust us, have confidence in
our vision, realize that our business
was like theirs— to make money by
Christian means—yet that our first
aim was to serve honestly their in
terest and insofar as we had helped
each individually to prosper that
The Farmer Is Happy Again
Corn has gone up 65 per cent
since the first of last November.
Oats are up over 30 per cent—hogs
have had a radical advance. The
farmers are beginning to feel the
old-time prosperity. On the 60 per
cent of the corn crop, which is esti
mated as still remaining on the
farms of Iowa, the advances of the
last 90 days give this corn an addi
tional value of over $54,000,000; and
the increase in hogs, oats and other
items would amount to far more
than that.
we had also laid the foundation of
our own success.
The banker today who leaves his
stamp on the life of the community
is the banker who sees the other
man through ; the banker who uses
his broad vision, his sound common
sense to standardize his customer’s
faith in his own undertakings.
If our first business has been to
make our customers prosperous and
financially independent; if we have
set them the ideals of broad spiritual
vision and integrity of purpose we
have thereby added to the solidarity
of our credit, and our business re
lations have become those of a large
family in which the banker is the
head, and all members prosper.—
I. Orval Smith, Armour, S. D.
No Hard Times
The Rotary Clubs of America pro
pose to bring back prosperity by
pasting posters on bulletin boards,
the Disarmament Conference has
adjourned, the Burlington Hawkeye
has instituted an “ Eat More Corn”
campaign, which promises to bring
back that great home market of
which we are in such sore need, all
the great questions appear to be
settled, those that are not soon will
be, for our old friend Bill Bryan pro
poses to be the next senator from
Florida. He will attend to the rest.
But speaking about bringing back
prosperity—the very idea of think
ing prosperity had gone astray, that
fair young damsel knows (to use a
homely expression) “ on which side
her bread is buttered” and she would
never think of leaving a land like
ours, where every granary is fairly
bursting with the products of its
fertile acres, where the flocks and
herds are counted in myriad num
bers, where every home is a good
one, where every farmer owns a
Ford, or better, where land still
sells for $425 per acre, cash and no
trade, a land where every child has
access to splendid schools, a land
whose God-fearing people meet in
great churches every Sabbath day
to worship the Giver of all good and
to thank Him for all these manifold
blessings—talk about hard times in
Iowa, no, no, it’s just imagination.—•
W. H. Bangs, vice-president First
National Bank Fairfield, Iowa.
t h e
April, 1922
Guaranty of Deposits
I have just received a letter from
Sioux Falls, S. D., from a friend of
mine whom I had written regarding
the Guarantee Law as he looked at
it, and this is what he says, in addi
tion to some other things :
“ After paying, out $1,238.33 since
last June to the Guarantee Fund, I
am about ready to say that it is a
good law for a poor banker and a
bad law for a good one, as the good
ones have to pay for the errors of
the bad ones that should not be in
the business. If our deposits had
been four times as large, then we
would pay out four times as much
as we had. On the other hand, when
things were a little blue, last fall,
there was some money came here
from Sioux City for deposit, and
there you have it.”
However, knowing him as I do, I
would judge that he is against it, as
all good bankers are with whom you
may talk, and the Nebraska fellows
claim that the last year’s failures
cost them more than they were able
to pay in dividends.— H. T. Black
burn, Vice Pres., Iowa National
Bank, Des Moines.
S ta t e C o n v e n t io n
April
April
April
April
May
May
May
May
May
May
May
May
May
May
May
June
June
June
June
June
June
June
June
June
June
June
June
July
Aug.
Sept.
Sept.
13-14
17-18
21-22
26-28
4-5
9-10
16-17
16-18
17-19
18-19
18-20
23-24
24-26
24-26
24-27
5-6-7
6-7
7-8
9-10
15-16
15-17
16-17
19-25
19-21
20-21
22-23
22-23
17-20
18-19
13-14
22-23
C o n v e n t io n s
Mar. 20-21 Central States .. Milwaukee
8-12 Executive
Council
Am.
May
Bankers Ass’n, White Sulphur Springs, W. Va.
May 10-12 Foreign Trade Council
Philadelphia
Commerce
of
May 15-18 Chamber
U. S. A. . . . . Washington
American Bankers Ass’n
Oct.
2-6
New York City
Investment Bankers Ass’n
Del Monte, Cal.
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Federal Reserve Bank of St. Louis
31
b a n k e r
1869
1922
S P I R I T
“—and select a bank that has the
right spirit,” said the seasoned busi
ness man to the younger man who
was starting in business for himself;
“for such a bank will prove to be
your best friend.”
This is what we mean by “Spirit” as
an essential of the banking home
you desire— the will and ability to
understand the business man’s prob
lems and help him solve them. A l
ways a commercial banking institu
tion principally— a business man’s
bank with a business man’s view
point— we have grown steadily in
the number and character of our
commercial accounts because our
patrons have found us helpful and
have passed the word along.
D a te s 1922
Arkansas ........ . Hot Springs
Louisana . . . . Baton Rouge
Florida .......... . Gainesville
N. Carolina . .. . Pinehurst
Tennessee . . . .. . Knoxville
Mississippi .. ......... Jackson
Missouri Excelsior Springs
Maryland . . . . Atlantic City
Texas ............ . Fort Worth
Kansas .......... . . . . Wichita
Alabama . . . .
Oklahoma ..Oklahoma City
Pennsylvania . . Pittsburgh
Georgia ........ ........ Atlanta
California . . . . . . Del Monte
Idaho ............ Hayden Lake
Iowa ..............
South Dakota . . . Aberdeen
Washington . . . . . . 'Spokane
North Dakota' ............Minot
Virginia ........ . Hot Springs
Utah .......... Salt Lake City
Wisconsin .. . . Milwaukee
N. York . .Lake Placid Club
Minnesota . .. ___ St. Paul
I llin o is ......... SL Louis, Mo.
Colorado. Glenwood Springs
Oregon .......... . . . . Portland
Montana .. .. . . . Missoula
Indiana ........ Indianapolis
N. Mexico . . . . . Las Vegas
O th er
n o r t h w e s t e r n
“ OFFERING
THE SEVEN
E SSE N TIALS
OF A
B A N K IN G
HOM E”
Sa f e t y
S p ir it
Ex p e r ie n c e
C a l ib e r
C o n v e n ie n c e
Co m pleten ess
Pr e s t ig e
This spirit of helpfulness is mutual.
In our daily experience with widely
diversified business situations, the customer
who has encountered financial problems per
haps for the first time has generally found
practical help. A n d in his turn he has been
ready in commending our efforts when oppor
tunity offered.
At this time many organizations are selecting their bank
ing connections for the period of renewed business
activity. Managements of such concerns in Chicago or
requiring Chicago connections are invited to get better
acquainted with our service in any w ay they find con
venient— by call, by letter or by reference to our patrons.
U N IO N
TR U ST
COMPANY
Madison and Dearborn Streets
Chicago
No. J of a series—reproduced from The Chicago Tribune
32
THE
NORTHWESTERN
BANKER
April, 1922
Agreements for Fictitious Auction Bids
By the Legal Department
HE words “ puffing” and “ by
bidding” mean the same thing.
They are defined as “ bidding
with the connivance or at the re
quest of the vendor of goods by
auction, without an intent to pur
chase, for the purpose of obtaining a
higher price than \\;ould otherwise
be obtained.”
The courts generally agree that a
puffer is unworthy of his hire. His
employment is considered a fraud
on honest bidders. Thus the gen
eral rule is that in a “ sale without
reserve” the employment of a puf
fer renders the sale voidable at the
election of the bona fide purchaser.
The same result should be reached
in a “ sale to the highest bidder,” for
at the common law it is considered
as a sale without reserve. There is
a representation to the public that
the property shall be sold in a mar
ket where free, unhampered competi
tion determines who the purchaser
shall be. Likewise, an agreement
between buyers not to bid against
each other at a public auction
for the purpose of preventing
o’* Nulling bidding is illegal.
The illegality in bidding may be
accomplished in two wav’s— directly
opposite to each other: Where arti
ficial competition secures a price
higher than honest competition
v'muld yield, and where stifled com
petition secures the goods for a
price lower than an unhampered
market would yield.
The principal reason that a few
favor puffing appears to be a desire
to shield the seller of property from
an unjust price. Something may
be said for this position when the
auction is an involuntary judicial
sale. The court may set a minimum
or reserve price. It has been sug
gested that no matter what interest
one may have in the proceeds of the
sale, he has a privilege of bidding,
provided the sale is not under his
control. It seems that when he has
an interest in the enhancement of
prices, even if he has no control over
the sale, his privilege of bidding
could easily be abused and work a
fraud upon honest bidders because
he would profit from the running up
of the bids.
Yet there are instances in judicial
sales where one interested in the
sale may have a bona fide intent to
purchase, and his interest in the sale
would not be antagonistic to his po
sition as an honest bidder. As, for
instance, a sale upon dissolution and
T
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Federal Reserve Bank of St. Louis
The owner putting up the property
would have his personal opinion of
Questions of interest to bankers are
what the property is worth, but a
discussed in this department and any
better criterion would be the un
subscriber has the privilege of writing
hampered auction itself. The auc
for information and advice on legal sub
jects. He will receive a direct reply
tion is the market, and the market
from our attorney without fee or ex
value is the highest bid. Here again
pense. A brief of any subject involv
is the difficulty of determining the
ing research in a complete Law Library,
good faith of these puffing bids.
will be furnished for $10.00. In writing
for information, kindly enclose a 2-cent
The court was presented with an
stamp for reply and address “ Legal De
agreement to enhance bids, and not
partment,” care Northwestern Banker,
a technical “ puffing” agreement, in
Des M oines, Iowa.
a recent case. The plaintiff had
itit iiiiiiiiiiiiiiiiiiiiiiiuiiii11111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111.
been a bonafide bidder, it appears,
at a partition sale of land belonging
winding up a partnership or a par to the wife and minor son of the de
tition sale where a partner or a co fendant ; and in return for increas
owner desires bona fide to buy the ing his bid to $11,275, in order to
property. Of course where, all the persuade bona fide bidders to run
partners or co-owners unite in bid up their bids, the defendant con
ding or hiring others to bid for them, tracted to give him a share of the
their interest would lie in securing higher bids.
the highest price possible and this
The plaintiff made a still higher
would rebut the good faith of the bid of $11,830, and sold this bid to
bids on their part.
a third party without the knowledge
However, it would be only within or privity of the defendant. He
this small group of judicial sales, sought to recover the stipulated
where the sales in a number of in share of the difference between his
stances are involuntary, that the bid of $11,275 and the amount of
owner or one interested in the pro the bid he sold to the third party.
ceeds of the sale could bid in good If the plaintiff can be considered a
faith. There would be no objection puffer, the whole difficulty is ended.
to such bidding so long as the bid But assuming that he was not a
ders stand on the same footing. The puffer, is it an instance of an illegal
difficulty is in determining the good secret interference* to artificially
faith of these bids.
create competition by fictitious bids?
Outside of judicial sales of this
It is to be observed that the
character, such bidding seems gen plaintiff would have had a refund
erally to tend toward fraud. The under his contract with the owner
evil of secret fictitious bidding lies for a share of any bid which he
in the deception. In any case, the might have made, if such bid ex
owner can expressly reserve a privi ceeded $11,275. No bid of his,
lege of bidding, or establish by no therefore, above $11,275 could be
tice a reserve price, and secure him considered bona fide. Each bid in
self against a sacrifice. Protection excess of the agreed price was, to
is given to the owner against com the extent of the agreed share of
binations of bidders to stifle compe remuneration, fictitious. In refer
tition, and it follows that bidders ence to puffing his position was
should be protected from the owner’s anomalous, for if his bid had been
conspiracy against them.
accepted he could have been com
The rules applicable to an ordi pelled to complete the sale, and
nary auction apply to a partition still his financial responsibility was
sale, and to all judicial sales, except less in every case than that of his
where such sale is specifically au fellow bidders. He enjoyed a favor
thorized to be private. The only so far as his own liability was con
difference which actually exists be cerned. If the property had been
tween an auction and a judicial knocked down to a higher bidder,
sale is that the latter requires the part of the price paid would have
approval of the court.
gone to the plaintiff. The higher
The argument that puffers should the accepted bid of a bonafide bid
be permitted to prevent a sacrifice der, the greater his reward. It was
of the property meets with the diffi specifically understood by the par
culty that “ the value of the thing ties that the agreement should be
is what it will bring.” A bidder at kept secret.
an auction values the property ac
The court was doubtful of the
cording to what others offer for it.
(Continued on page 60.)
iiiiimiiiiiMiiiiiiiiiiiiiimiiiiiitiiiiiiHiiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiimiiimiiiiiiiiiiiiiiiimiiiiiiiiiiiiiiiiii.
i iiii
THE
April, 1922
NORTHWESTERN
1889
IOWA
NATIONALBANK^»
33
BANKER
1922
DAVENPORT
Our Thirty-thirdYear InBusiness!
O W A — and the Iowa National have been Iowa National Bank had faith in the future
working partners for a third of a century. development of Iowa and Davenport. To
This institution has grown during these them we pay our sincere respects. Their
faith has been amply
years until now it is
justified.
larger, more r u g g e d
A B AN K
stronger in every way
And as Davenport and
than ever in its history.
Is more than a private business enter
Iowa have grown greater,
I
prise. Its relations with its customers,
ancl, indeed, with the community in
which it operates, makes it essentially
a servant of the public. It is judged,
as it should be judged, by the quality
of the service it renders.
Young in spirit, it has
rubbed elbows with every
form of banking problem
long enough to do the
right thing promptly and
intelligently.
gathering an ever-increas
ing list of industries, the
Iowa National Bank has
been found keeping pace
with their progress.
The Iowa National Bank desires to
be judged by just this standard, by the
quality of its contribution to Daven
port life and commerce— a conserva
tive institution, but awake always to
the necessities of its customers and the
development of Davenport industry.
The three hundred Dav
enport business men who
back in 1889 organized the
And that will be
bank’s conception of
fulness in the future,
as it has been for the
thirty-three years.
this
use
just
past
Comptroller’s Call Statement
M arch 10, 1922
RESOURCES
L IA B IL IT IE S
Loans and Discounts.......................................... ! 3,555,769.92
J50.000.00
U. S. Bonds to Secure Circulation.................
217,745.24
Real Estate Owned................................-..............
Furniture and Fixtures....................................
7,299.01
Other Stocks and Bonds....................................
157,932.69
Revenue Stamps .................................................
385.52
Cash on Hand— Due from Banks and U.
S. Treasury .......................................................
723,102.23
Capital Stock— Paid in........................................$ 150,000.00
Surplus ....................................................................
150,000.00
Undivided Profits .................................................
209,479.09
Reserved for Interest on Savings and Taxes
18,250.00
National Bank Notes— Outstanding ...........
150,000.00
Bills Rediscounted ...............................................
None
None
Bills Payable .........................................................
Deposits .................................................................. 4,134,505.52
T otal....................................................................$4,812,234.61
té
T otal.
.$4,812,234.61
fk
IO W A N A T IO N A L BANK
D AV E N P O R T,
»Mls
r rv
Mm
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Federal Reserve Bank of St. Louis
IO W A
i
CHAS. SHULER, President
PRANK B. YETTER, Vice President
LOUIS G. BEIN, Cashier
WM. H. GEHRMANN, Vice President
HERMAN STAAK, Asst. Cashier
34
THE
NORTHWESTERN
BANKER
April, 1922
gjIN C E its organization over tliirty years ago, during
which time it has continued under the same management,
this hank has constantly endeavored to render to its pat
rons the right sort of assistance. That this service has
afforded the only enduring basis for a mutually pleasant and
profitable relationship between the bank and its customers
is proved by the substantial success of both. To those de
siring such a Chicago hanking connection, the management
tenders its exceptional facilities in all departments.
BOARD OF D IRECTO RS
JO H N A. L Y N C H
President
A. B A U E R
President, Bauer 8c Black
B E N J A M IN V. B E C K E R
.
.
Levinson, Becker, Schwartz & Frank
L E O N A R D A. B U S B Y
P res.C hicago C ity R ailw ay C om pany
JO H N V. F A R W E L L
President John V. Farwell C o.
W IL L IA M T . F E N T O N
First Vice-President and M anager
R O L L IN A. K E Y E S
President, Franklin M acV eagh 6c Co.
ROBERT W. LEATHERBEE
Farmer
SIL A S J. L L E W E L L Y N
President, Interstate Iron and Steel C o.
JO H N R . M O R R O N
President, Atlas Portland Cem ent C o., N . Y .
R O B E R T M . M cK IN N E Y
S econd V ice-President
L O U IS F. S W IF T
President, Swift 8s C om pany
CH ARLES W ARE
Form erly Vice-Pres., N ational Aniline 8s Chem ical C o.
F. E D S O N W H IT E
Vice-President, Arm our 8s C o.
T H E
R
N A T I O N A L
E
P
U
OF
B A N K
B
OF
L
T H E
I
C
CHICAGO
1 0 0 Y e a r s o f C o m m e r c ia l B a n k in g
THE
Ba n k
O F THE
CITY OF NEW YORK
LOUIS G. KAUFMAN
President
RICHARD H. HIGGINS
First Vice President
W ILLIAM H. STRAWN
BERT L. HASKINS
Vice President
Vice Pres, and Cashier
NORBORNE P. GATLING
C. STANLEY MITCHELL
Vice President
Vice President
H. A. CLINKUNBROOMER
M AX MARKEL
Vice President
Vice President
GEORGE R. BAKER
W ALLACE T. PERKINS
Vice President
Vice President
JOHN B. FORSYTH
JOSEPH BROWN
Vice President
Vice President
VINTON M. NORRIS
W A LTE R B. BOICE
Vice President
Vice President
W ILLIAM M. HAINES
ARTHUR T. STRONG
Vice President
Vice President
GEORGE P. KENNEDY
JAMES C. BROWER
Vice President
Vice President
LAW RENCE J. GRINNON
H. F. MEEHAN
Vice President
Vice President
ROLFE E. BOLLING
H ENRY R. JOHNSTON
Vice President
Vice President
HENRY L. CADMUS
H ENRY C. HOOLEY
Asst. Cashier
Asst. Cashier
H AR VE Y H. ROBERTSON
W ELLING SEELY
Asst. Cashier
Asst. Cashier
ROBERT ROY
W ILLIAM S. W ALLACE
Asst. Cashier
Asst. Cashier
HENRY E. AHERN
GEORGE M. HARD
Trust Officer
Chairman
Exceptionally qualified to handle the accounts of Banks, Trust Companies and
other Corporations.
Correspondence invited.
150
M illio n
D o lla r s
R esou rces
Readers will confer a favor by mentioning TH E N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
April, 1922
THE
NORTHWESTERN
BANKER
35
Personal Paragraphs
Frank B. Yetter, of Davenport,
president of the Iowa Bankers As
sociation, was in Des Moines re
cently to confer with committee
heads on arrangements for the state
convention to be held at Davenport.
Clifford DePuy, publisher of the
Northwestern Banker, was a speak
er at the Ladies Night program of
the Des Moines Life Underwriters
Association at the Harris-Emery
tearoom. Mr. DePuy spoke on the
subject of “ Life Insurance— and
Ladies.”
*
H. T. Blackburn, vice president
of the Iowa National Bank and the
Des Moines Savings Banks, Des
Moines, Iowa, has been named heir
to $40,000 and his wife and son $5,000 each, in the will of the late Louis
D. Doup, wealthy Omaha manufac
turer and furniture dealer. The
Doup fortune is estimated at onehalf million dollars.
—$—
Frank B. Yetter, president of the
Iowa
Bankers Association
ad
dressed a recent weekly meeting of
the Exchange Club of Davenport,
Iowa, on general business conditions.
Louis Bein, cashier of the Iowa Na
tional Bank of Davenport, is presi
dent of this club, which is extremely
active in the business life of that
city.
—$—
Eugene Meyer, Jr., managing di
rector of the War Finance Corpora
tion, has been on an extensive trip
west, to survey the work of the
corporation as it is being carried on
through the thirty-three agencies.
He was a guest of honor among the
bankers of many cities, including
Des Moines, Kansas City, Omaha,
St. Louis and other towns included
in the trip.
—$—
Fred W. Zabel, cashier of the
Union Savings Bank of Davenport,
Iowa, spoke before members of the
home department of the Davenport
Women’s Club at a recent meeting
of that organization. Mr. Zabel
talked on the subject of investments.
—$—
Ellis D. Robb, for the past few
years, national bank examiner for'
Iowa, and more recently on the war
finance board at Washington, D. C.,
has been assigned as an examiner
in New York state, with headquar
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Federal Reserve Bank of St. Louis
ters in New York City. Mr. Robb
is a native of Eldora, Iowa, and
began his banking career in Eldora,
with the Hardin County Bank. He
was cashier of that institution at
the time of his appointment as Iowa
bank examiner.
—$—
Grant McPherrin, president of
the Central State Bank of Des
Moines, and chairman of the Iowa
agency of the War Finance Corpor
ation, was in Washington, D. C.,
recently on business pertaining to
the work of the corporation in
Iowa. Mr. McPherrin reports the
number of loans applied for in
Iowa as falling off, which signifies
an easement of the credit situation,
in his estimation. While in Wash
ington, Mr. and Mrs. McPherrin
were guests of President Harding.
—$—
Max L. Holmes, assistant cashier
of the Bankers Trust Company of
Des Moines, has resigned to accept
a position with the Witmer-Kauffman Insurance agency of Des
Moines. He was formerly con
nected with the Drake Park Bank,
the Central State, and later affiliated
with the Bankers Trust Company.
—
W . L. Taylor, vice president and
general manager of the Federal
Surety
company of
Davenport,
Iowa, returned recently from an ex
tended business trip in the south
west. He reports better business
conditions in Oklahoma and Kan
sas, two states that were included
on his tour.
—$—
Harry Yaeger, former national
bank examiner in Montana, and now
connected with the Federal Reserve
Bank of Minneapolis, was a speaker
at a recent meeting of the Kiwanis
Club of Virginia, Minnesota. Mr.
Yaeger dwelt particularly upon the
work of the Federal Reserve and
its relation to generally improved
business conditions throughout the
northwest.
—$—
Henry Hodapp, of the WellsDickey Company of Minneapolis,
addressed a recent meeting in
Minneapolis, of the financial adver
tising men of that city. Mr. H o
dapp, using a set of charts, por
trayed the trend of wheat crops and
marketing conditions since 1912.
Developed through the growth
and experience of more
than half a century
The First
National Bank
of Chicago
James B. Forgan, Chairman of the Board
Frank O. W etmore, President
and the
First Trust and
Savings Bank
James B. Forgan, Chairman of the Board
Melvin A. Traylor, President
offer a complete financial
service, organized and main
tained at a marked degree of
efficiency. Calls and corres
pondence are invited relative
to the application of this ser
vice to local, national and in
ternational requirements.
Combined Resources
over
$ 300,000,000
THE
36
NORTHWESTERN
BANKER
IRVIN G
NATIONAL BANK
S tatem en t of Conditio7i, M a rch 10\ 1 9 2 2
Tfesources
Cash in Vault and with Federal Reserve Bank
Exchanges for Clearing House and due from
other Banks
.
.
.
.
.
Call Loans, Commercial Paper and Loans
eligible for Re-discount with Federal
Reserve Bank
.
.
.
.
$31,340,630.83
41,017,932.08
,
78,862,455.96
$151,221,018.87
11,913,862.42
Demand Loans
12,552,341.08
Due within 30 days
24,200,659.37
Due 30 to 90 days
35,884,529.64
Due 90 to 180 days
3,403,521.67
Due after 180 days .
;
?
United States Obligations
Short Term Securities
Other Investments.
Bank Buildings
and
„„„_____ _____
___ for
Acceptances by this Bank
Customers’
Liability
its Correspondents [anticipated $2,834,970.63]
TOTAL R E S O U R C E S ....................................
87,954,914.18
4,927,017.05
8,048,388.92
8,772,068.56
575,456.96
O ther Loans and Discounts
13,170,904.20
$274,669,768.74
Usabilities
Capital Stock
Surplus and Undivided Profits .
Discount Collected but not Earned
Reserved for Taxes and Expenses
Circulating Notes . . .
Acceptances by this Bank and by Correspondents for its Ac
count [after deducting $684,823.66 held by the Bank] .
Deposits
.
.
.
.
•
•
•
•
•
TOTAL LIABILITIES
.
.
.
.
1851 1922:
SEVENTY-ONE
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
YEARS
$12,500,000.00
11,221,265.90
1,326,336.92
852,177.92
2,492,600.00
16,005,874.83
230,271,513.17
$274,669,768.74
A BUSINESS
B ANK
April, 1922
Mrs. Simon Casady, wife of Si
mon Casady, chairman of the board
of directors of the Central State
Bank of Des Moines, passed away
recently in California, where she had
been in ill health for several months.
Her death was very unexpected, and
occurred while Mr. Casady was in
Des Moines. Mrs. Casady was very
active in social and philanthropic
work in Des Moines. She was the
daughter of Colonel Joseph M.
Griffiths, a distinguished civil war
veteran, who died several months
ago, being at the time, the oldest
Master Mason in the state of Iowa.
—$—
J. F. Webber, president of the
Ottumwa National Bank, Ottumwa,
Iowa, has been made chairman of
the Committee by the Ottumwa
Commercial Club to help prevail
upon the Jersey Cereal & Food
Company to locate its contemplated
$1,000,000 western factory at Ottum
wa.
E. B. Wilson has just recently
been commissioned National Bank
Examiner and is at this time estab
lishing offices in the Postoffice
Building in Des Moines. It is un
derstood that his territory will be
wholly in Iowa. Mr. Wilson form
erly was state bank examiner. He
and Mrs. Wilson and family have
been spending the last three months
in Washington where Mr. Wilson
was connected with the War
Finance Corporation.
—$ ~
John W. Foster, president of the
First National Bank at Guthrie
Center, Iowa, spent the winter at
his Florida home at Daytonia Beach.
To pass away the time Mr. Foster
was admitted to the bar in Florida,
and hung out his shingle as an at
torney.
—$—
James R. Howard, president of
the Farm Bureau Federation of
America, has been secured to speak
at the South Dakota state conven
tion of bankers, which will meet
June 7 and 8 in Aberdeen.
—$—
William H. Barker has been
elected cashier of the Northern
Trust Company of Chicago. Mr.
Barker is of British descent, born
in Toronto, Canada. He served in
the Boer war, and began his banking
career in the Standard Bank at
Capetown. He returned from Cape
town and entered the employ of the
Merchants Bank of Canada, from
which position he stepped to the
cashiership of the Northern Trust.
April, 1922
THE
NORTHWESTERN
BANKER
37
Charles Dawes, Director of the
Budget at Washington, D. C., under
the Harding administration, plans
to resign his position the latter part
of June and will return to Chicago.
Brigadier General Herbert H. Lord
has been prominently mentioned as
Mr. Dawes successor in the event of
his resignation.
Frank P. Schreiber has retired as
cashier of the Union Trust Company
of Chicago, after being connected
with that institution for a period of
forty-nine years.
Prof. J. A. James, head of the
department of history at the North
western University, Chicago, spoke
at a recent meeting of the Des
Moines Bankers Club which met at
Younkers tearoom.
Walter Lutgen, of A. Belmont
and Co., New York, and a director
of the Illinois Central and other
companies for a period of thirty
years died recently.
Amos Hauge, president of the
Towa Trust and Savings Bank of
Des Moines, has been elected secre
tary-treasurer representing the Fed
eral Farm Loan bank of Omaha in
Polk, Warren and Clark counties.
—$—
James G. Alexander has been ap
pointed vice-president in charge of
the bond department of the Central
Trust Company of Illinois.
Declares Five Per Cent Dividend
The Directors of The Mechanics
& Metals National Bank of New
York have declared the regular
quarterly dividend of 5 per cent,
payable April 1st to stockholders of
record March 18th.
The statement of the bank,
made in answer to the call of the
comptroller of the currency of
March 10th, showed an increase in
the profit and loss surplus since the
opening of the year of $880,000.
There was an increase in deposits
of $22,500,000.
Why He Needed to Find It
An absent-minded English bishop
could not produce his ticket for the
railway conductor.
“ Never mind, my lord,” said the
conductor; “ it’s all right anyway,
whether you find it or not.”
“ Oh, no it isn’t,” said the bishop,
turning out his pockets. “ I must
find that ticket. I want to find out
where I am going.”
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The Doorway
o f Achievement
Countless men — unknown at 20 —
famous at 50 have passed through
this door seeking banking counsel.
Banking hours 10 to 3. But this
door is open until dark.
A commercial bank—perform
ing every function of a bank
Seeking new business on our record
1
O
N
THE
h e m ic a l
A
T
I O
N
A
L
,
BANK
OF N E W Y O R K
F ounded 1824
BROADW AY AND
C H A M B E R S , F A C IN G C IT Y H A L L
A Bankers Hotel
Where Comfort and Service
are Always Assured.
Have
Your Mail Directed to
Brown Hotel
(Fireproof)
Des Moines, Iowa
E r n e s t W . Brown
P resident
W m . F. R ic k
Manager
THE
38
NORTHWESTERN
BANKER
A Cooperative Corporation
The Spirit of Cooperation W h ich Has Accom plished
So M u ch in Iowa During the Past Year Should
Be M ade a Perm anent Partnership By the Iowa
Banker and the Iowa Farm er.
The Iowa Farm Credit Corporation is the result of a year of co-operative
effort between the farmers and bankers of Iowa and as its organization is
being completed the vision of usefulness comes near to realization.
We want the hankers of Iowa to be thoroughly conversant with the
class of securities which this corporation will issue, including Iowa First
Mortgage Gold Bonds and our regular Farm Paper Debenture Bonds.
IO W A F IR ST M O R T G A G E S G OLD BONDS
Now issued by the Iowa Farm Credit Corporation, provide in convenient form the highest
class of conservative investments for your funds in amounts from $100 to $10,000 and
for one year to ten years, with interest at six per cent, payable semi-annually >
First Mortgages on the best Iowa farm lands are conservatively made by this company.
The mortgages are placed with a corporate trustee and with the mortgages as security
the Company issues
F|RST m oRTGflGE
BONDS
GOI_D
in denominations of $100, $500, $1,000 and $5,000 for one year to ten years
C O N V E N I E N T IN FORM, D E N O M IN A T IO N ,
AND L E N G T H OF T I M E
Your need for a conservative Iowa Farm Mortgage Investment can be supplied in any
amount for any length of time from one year to ten years, with interest payable semi
annually.
These are coupon bonds, convenient to cash interest coupons and can be
registered.
This Corporation expects to soon issue its farm paper debenture bonds,
which will be secured by farmers’ notes deposited with a trustee, and
these bonds will run from three months to a year and will be from $100.00
to $10,000. No better short time security can be offered to the investing
public and banks in this state.
IO W A FA R M CREDIT C O R PO R A TIO N
Sixth Floor Observatory Building
DES MOINES, IOWA
GEO. H. R A G SD A LE
President
E D W I N G. 'R A G S D A L E
Secretary
E S T A B L IS H E D
H. B. R A G S D A L E
Treasurer
1856
Iowa Lithographing Co.
G A R V E R B U IL D IN G , 707-709 LOCU ST S T R E E T
DES MOINES
EXPERIENCE
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
QUALITY
SERVICE
April, 1922
International Students’ Tours
Many students of foreign trade
and industrial conditions will avail
themselves this summer of the op
portunities for European travel, at
a minimum cost, offered by the In
ternational Students’ Tours, under
the auspices of the Institute of In
ternational Education. These tours
are open to students and instructors
in American colleges and normal
schools who realize the need of per
sonal contact with conditions thus
far known only through the text
book and the lecture platform.
Groups are being arranged for
Great Britain, France, Italy and
Scandinavia, with itineraries that
include the commercial as well as
the artistic centers of these coun
tries. It is felt that first-hand
knowledge of such centers of indus
try as Manchester, Glasgow, Bor
deaux,
Marseilles,
Copenhagen,
Christiania, Milan and Genoa, in
terpreted by able leaders, will give
the future business men and women
of America a broader understand
ing of international commercial re
lations.
Each of the groups will be under
the additional auspices of the ap
propriate international society. The
English-Speaking Union will ex
tend special aid to the British tour;
in France the travelers will receive
privileges through the Federation de
l’Alliance Francaise; the Italian
tour carries the sponsorship of the
Italy American Society, and the of
ficial patronage of the Royal Ital
ian government; and the Scandi
navian group, organized under the
auspices of the American-Scandinavian
Foundation,
has
been
granted the official recognition of
the governments of the Scandi
navian countries.
At the office of the International
Students’ Tours, 30 East 42nd Street.
New York, Irwin Smith, director of
the tours, announced that all four
of the groups will sail from New
York on the Cunard liner Saxonia,
July 1st. Members of the British
tour will land at Plymouth, those
of the French and Italian tours at
Cherbourg, and those of the Scan
dinavian tour at Hamburg. For
the return voyage, all the groups
will embark at Cherbourg on Au
gust 22d, due to arrive in New York
September 1st. On shipboard there
will be classes in the French and
Italian languages, and lectures on
the history, art, architecture, cul
ture and industries of the several
countries. The fee for membership
in each of the tours is $675.
April, 1922
THE
NORTHWESTERN
RANKER
39
CANADA AND THE UNITED STATES
A department to encourage a greater knowledge and better understanding of
Canada by the bankers of the American Middle West
Canada’s Great Need Today Is Increased
Population to Aid in Development
By S. C. Newton
Canadian Editor Northwestern Banker
C
ANADA,
more
particularly ble the immigration of Englishthat part of it lying west of speaking settlers. Therefore the
Winnipeg, is giving a great American west may expect to learn
deal of thought these days to the quite a little about Western Canada
problem of increasing the country’s during the next year or so.
population. The census of 1921 was
And closely allied to this question
distinctly disappointing to Cana of population in the Canadian West,
dians. It apparently indicated that at least in the minds of the domi
during the decade between 1911 and nant elements in the Dominion gov
1921 the Dominion lost rather than ernment, is the problem of opening
gained population. The loss is placed up larger markets for the Canadian
at over a million by competent au farmer. Logically, of course, this
thorities. How to stop this loss of problem is bound up with the depopulation is therefore the prob
iim
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiH
iiiiiiiiiiiiiiiiiiiim
iim
iiiiiiiiuiiini:
lem which the Dominion Govern iiiiiiiiiiiiiiifiiiiiiiiiiiiiiiiiiiiiiiuiiiitiiiim
ment, the provincial governments
'‘If Canada is to have a larger rural
and the land development organiza
population, if she is to produce more,
and to reduce the per capita burden of
tions are today facing. Like all new
her present large war indebtedness,
partly developed countries, Canada
markets must be found and maintained
needs men as much as capital. While
for the increased products which the in
the need would have been apparent
creased population w ill produce.”
in any case, it is much more so at a
iiiiiiiiiiiiiiiiiiiiiiiiiiiiiiuiiiiiiiiiiiiiM
iiiiiiM
iiuiiiiiiiitiiuM
M
uuniiiiuiiM
iiiH
uiiiiiiiH
iim
m
iiiim
iim
im
iii
time when Canadians have come to im
realize that only through an inten
sive development of her rich natural velopment of west and the elimina
resources can the Dominion escape tion, to some extent, at least, of
the burden of taxation which re- some of its financial problems. The
suited from the war. Capital Can Canadian farmer has been having
ada has, and facilities for develop exactly the same difficulties as his
ing her riches aplenty. What she American cousin to the south but
now needs most of all is men to do his difficulties have been materially
increased by the curtailment of his
the work.
exports to the United States through
The dominion and provincial gov the enactment of the Emergency
ernments are fully awake to the Tariff. International trade conditions
problem of population, quite as much and high freight rates prevent him
so as the great land development substituting for the lost American
corporations in the Canadian west. market a new one in Europe.
The Dominion government has al Called upon to carry much heavier
ready indicated its intention of em financial burdens than he did in pre
barking at an early date upon an in vious years, he faces, it seems, a
tensive campaign for immigrants. In much curtailed market for his prod
this effort it will be backed by most ucts. While this fact is serious
of the provincial governments. enough, from the point of view of
Among the private organizations the farmer already settled in Can
which will participate in this “ drive” ada, it is much more serious from
will of course be the Canadian Pa the point of view of those official
cific Railway. So far as it is possi bodies, whether at Ottawa or in the
ble to learn at this time, most of provinces, which aim at a larger
the educational work will be done population in the rural districts. If
in Great Britain and the United the present rural population is find
States. Canada is apparently anx ing it difficult to dispose of its sur
ious to encourage as much as possi- plus products, can anyone, conscien
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Federal Reserve Bank of St. Louis
tiously persuade immigrants to set
tle on the land? Apparently most
thoughtful Canadians believe that
the situation demands a radical
remedy. If Canada is to have a
larger rural population, if she is to
produce more, and to reduce the per
capita burden of her present large
war indebtedness, markets must be
found and maintained for the in
creased products which the increased
population will produce.
And thus it has come about that
the Dominion government has al
ready initiated negotiations with
several countries with a view to ex
tending the market for Canadian
products. Already the administra
tion at Washington has been Ap
proached. W. S. Fielding, the D o
minion Minister of Finance has
visited Washington and consulted
Secretary Hoover and Representa
tive Fordney. He has apparently
sought to impress upon them the
desirability of retaining Canada’s
trade with the United States. And
apparently, if one may judge from
statements made in Canada, not
without success. This in spite of
the fact that neither the Secretary
of Commerce nor the Chairman of
the Ways and Means Committee of
the House held out much hope of
anything being done to help Canada
until after the present pending tariff
legislation was enacted.
Mr. Fielding’s visit to Washing
ton has therefore revived discussion
of reciprocity with the United
States, an issue apparently dead so
far as the Dominion was concerned
since the people of Canada decided
against the enactment of the Taft
Reciprocity Pact in 1911. Today it
may be said that reciprocity with
the United States is a very live po
litical issue in Canada. The farmers
of the country want it and the domi
nant Liberal interests of the east
appear equally enthusiastic. Thus
while in 1911 Canada was against
THE
40
NORTHWESTERN
April, 1922
BANKER
What the Banker
Thinks About Advertising
Under the above heading, in the current issue of
Commerce Monthly,
G u y E m e r s o n , V i c e - P r e s i d e n t o f t h e N a t i o n a l B a n k of C o m m e r c e
in N e w Y o r k C i t y
says in part:
No. 3 of a Series
Published in
the
Interests of a Bet
ter Understanding
of Advertising
“ It is becoming more and more common for bankers to regard
a radical cutting down of an advertising expenditure with close
attention. The sharp reduction in the advertising of nationally
distributed articles, the reputations of which were apparently so
firmly established that nothing could affect them adversely,
has been followed so regularly by a heavy falling off in sales,
that the need for caution in such cases is widely recognized.
The banker is coming to realize that public interest is not
necessarily a permanent possession. It can be won only by
skillful competition in a world where every device is mobilized
to win the notice and stimulate the action of the average man
or woman, from the hour of rising in the morning till the hour
of retiring at night. The morning mail is full of circulars; sell
ing appeal fills the newspapers and magazines, the bill-boards,
the street cars and the shop windows as one goes to work and
returns in the evening. To win a place in the crowded and be
sieged mind of the modern man is not equivalent to holding such
a place. It is more like creating a melody which the prospect
hears, enjoys, and inevitably forgets. It must be played and re
played, or other melodies will take its place. Not even the great
est corporation or the most popular product can hope to build
up a reputation which will of its own force endure. The history
of advertising is filled with striking proofs of human forget
fulness.
Advertising
is Printed
S alesmanship
“If a further instance is needed of the progress of the banker’s
belief in advertising, it is to be found in the great volume of ad
vertising placed by bankers purely for purposes of developing
good will.
“Banks have been among the pioneers in this field. Many large
banks, having nothing tangible for sale, find it advisable to ad
vertise extensively. The aim is not to secure direct returns. The
object in view is to develop the highest type of national good
will for an institution doing a country-wide but at the same time
a highly specialized business. To understand the value of adver
tising which produces demonstrable and early returns in dollars
and cents is simple enough. But when bankers are willing to
spend substantial sums year after year for advertising to build
their standing, and to keep their good name continuously before
the forgetful public, it indicates a receptive attitude, at least
toward this particular branch of advertising.”
Such a statement from a man like Mr. Emerson—a man
who knows— is of tremendous importance. And what he
says about advertising in a national way applies with
equal force to advertising in a local way.
A
d v e r t is in g
C
lub
of D es M o in e s
DES M O IN E S, IO W A
Readers will confer a favor by mentionina TH E N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
*
April, 1922
THE
closer trade relations with the
United States today the reverse is
the case.
But while most Canadians would
apparently like to see the American
market opened up to the Canadian
farmer again, they recognize that
the political situation in the United
States is today, at least superficially
not favorable to them. They know
that while in 1911 the American
farmer did not fear Canadian com
petition, today he does. But they
sustain themselves and their hopes
for the future by speculating on the
possibility that the political situa
tion in the United States may be
come more favorable towards the
close of the present year. They
know that the industrial east of the
United States does not look alto
gether unfavorably upon reciprocal
trade relations with Canada. The
American east is anxious to regain
its Canadian trade which has fallen
off most seriously during the past
year and a half. They are apparently
counting upon the ability of the
financial and business interests of
the United States to find a way to
circumvent the high tariff farm in
terests.
Whether their expectations are
justified no one can tell. But it
would seem reasonable, at least, to
think that Canada, in the tariff
negotiations which are undoubtedly
coming will find many allies among
the bankers and business men of
the United States. American money
has been flowing into Canadian in
vestments in large volume for two
years back. Canada is still one of
our best customers. If only for self
ish reasons, the United S.tates can
not afford to be anything but friend
ly to a country in whose affairs
she necessarily must take such a
close interest. Those interests in
the United States which demand the
virtual exclusion of Canadian farm
products from the American market
will, one may be sure, not have it
all their own way in the near future.
“ I never knew an early-rising,
hard-working, prudent man, careful
of his earnings and strictly honest,
who complained of bad luck. A good
character, good habits, and iron in
dustry are impregnable to the as
saults of all the ill-luck that fools
ever dreamed of.”—Addison.
Mankind are always happier for
having been happy; so, if you make
them happy now, you make them
happy twenty years hence by the
memory of it.— Sidney Sm ith/
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Federal Reserve Bank of St. Louis
NORTHWESTERN
BANKER
41
Protection
Publicity
Econom y
for Banks
Every bank
and each of its depositors
using Super-Safety In
sured Checks is p o s i t i v e l y
protected by $1,000.00
insurance for each against
loss through fraudulent
alteration of checks.
P r o tec tio n -
Publicity— Advertising aids
which we furnish banks us
ing S u per-S afety Insured
Checks enable them to iden
tify themselves with our pow
erful national advertising
campaign constantly appear
ing in leading publications,
thus reaping their local share
of its tremendous influence.
E c o n o m y — Ordinary, uninsured,
unprotected and unadvertised
checks arejust “general expense.”
Super-Safety Insured Checks con
vert this item into a powerful
publicity force. On an average
they cost no more, and often less,
than the kind you now charge to
‘ general expense.”
Ord er Super-Safety Insured
Checks this time.
$ 1 ,0 0 0 .0 0 o f check insurance
against fraudulent alterations,
issued without charge,
covers each user against loss .
TH E BA N K ERS SUPPLY COM PANY
The Largest Manufacturers o f Bank Checks in the W orld
NEW YORK
ATLANTA
CHICAGO
DES MOINES
DENVER
SAN FRANCISCO
THE
NORTHWESTERN
BANKER
April, 1922
___ Î l3 « ^ m F c t e 0 ê îD ^ llt * Â )0 S I
K W M llflM ÍM lM lll
Ours the Task
When a bank agrees to handle the guaranteed first
mortgage six per cent gold bonds of The Cleveland Dis
count Company the burden of responsibility rests on
this company.
In the first place by this agreement the bank buys
these bonds wholesale and sells retail, thereby making a
profit.
Second, the bank is given exclusive rights to sell in
a given territory.
Third, The Cleveland Discount Company offers to
the bank every means within its power to assist in the
marketing of those bonds.
For example, this company will conduct an inten
sive advertising campaign in the territory without cost
to the bank. Trained salesmen will concentrate their
efforts within the territory in the interests of the bank.
In short, this company not only assumes the responsi
bility for the bonds themselves, but pledges its co-opera
tion in the sale of those bonds.
Full details of this plan will be submitted by our
representative in person, or by mail, as the^bank re
quests.
g ^ n n n n M n n n ju T m m u in n n n jm u u T J u m n n m u u u ^
THE
CLEVELAND DISCOUNT
COMPANY
NEW YORK
CLEVELAND
LOS ANGELES
P H IL A D E L P H IA
B A L T IM O R E
D E S M O IN E S AND OTHER PRINCIPAL C IT IE S
Readers will confer a favor by mentioning TH E N O R T H W E S T E R N B A N K E R lohen writing to our advertisers.
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Federal Reserve Bank of St. Louis
IS,
April, 1922
THE
NORTHWESTERN
Will New York Be Displaced As
Money Center of World?
By Leslie Hanson
(Continued from page 28.)
$2,500,000 Melbourne Electric Sup
ply company 7j^s. During March
there was floated the $10,000,000
Framerican Industrial Development
corporation bonds, which also were
largely oversubscribed. There were
also two French railroad bonds.
These all indicate that once again
America is playing a part on the
international financial stage, aside
from its transactions with foreign
governments. This is commendable
as showing a drift of our surplus
capital into foreign enterprises,
which, as already shown, is highly
desirable and even necessary. This
is the sole manner in which the
United States can hope to maintain
its supremacy in the world’s money
markets.
W e have gained already an ad
vantage by the financing of govern
ments, in which remarkable prog
ress has been made. On January
1, 1922 there were outstanding,
almost wholly in the hands of pri
vate investors, in the United States
$817,678,000 in loans to European
allied governments issued ‘publicly.
From August 1, 1914 to January 1,
1922 the total so issued was $2,587,399,000 of which $1,769,721,000 was
paid off in that time. This does
not take into account nearly $200,000,000 South American issues
floated in the last two years, and
subsequent foreign issues of 1922.
The next important point to be
considered is the gradual return of
Great Britain to the position of com
petitor of the United States in the
investment markets. She has taken
some of the South American busi
ness away from us recently, was
awarded in competition with Ameri
can bankers, an issue of $2,000,000
Jutland Telegraph company forty
year 5^s, guaranteed by the Danish
government, and there is a strong
possibility that she will get a large
share of the $300,000,000 Dominion
of Canada financing that is to be
arranged this year. This is because
of the growing supply of capital
available in England for investment.
The extent of this is reflected in the
fact that during January new capital
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
43”
BANKER
issues in the United Kingdom, ex
clusive of British government loans
raised for national purposes, totaled
£42,869,778, which was the largest
for any one month since July, 1920,
and was only exceeded by three
months since the outbreak of the
war, That is a trend worth watching.
Another point is that while our
trade is declining German and Eng
lish trade is rising. During 1921
the value of imports and exports fell
to $4,485,000,000 from the 1920 total
of $8,228,000,000 and the balance in
our favor is growing less favorable
month by month. Great Britain’s
foreign trade in February showed a
decrease of £4,118,231 in imports
as compared with January and the
excess of imports decreased £4,012,416, to a total of only £870,000,
or the lowest in many years.
Only by investing abroad and tak
ing a larger interest in other coun
tries’ affairs can the United States
offset the gradual trend. It has
been suggested by actually high
authorities that all foreign loans
placed in the United States should
be definitely stated for expen
diture in this country, and while
some of the arguments are persua
sive and the precedents offered
formidable it is based on a short
sighted view, that loses sight of
economic principles.
The best
thought on this is made by a lead
ing commentator who says:
“ As a fact, whether our lenders
stipulate that the whole or part of
the proceeds of a foreign loan be
spent in this market, or whether
they do not, the proceeds are spent
here none the less. They are spent
here necessarily. They cannot be
spent anywhere else.”
If the borrower of the money
spends it here direct, there can be
no question about it. But suppose
he does not? Suppose Holland bor
rows here and uses the funds— all
of them— to make purchases in Ger-
7% Bonds and Tax-Exempt Bonds
This table is based on the new income tax law, affecting 1922 income,
for a married man with $2,000 exemption. The last column shows the
actual net return on 7% Bonds, with 4% normal tax; paid. You will
notice that 7% Bonds yield more than tax-exempt 5% Bonds, where taxable
incomes are $100,000 or less, annually.
Amount of
Taxable Income
$
6,000
7,000
8,000
9,000
10,000
15,000
20,000
25,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
100,000
Normal
Tax
$ 160
240
320
400
480
880
1,280
1,680
2,080
2,880
3,680
4,480
5,280
6,080
6,880
7,680
Total
Tax
Surtax
$
0
10
20
30
40
180
440
880
1,440
2,960
4,960
7,460
10,460
13,960
17,960
22,460
$
160
250
340
430
520
1,060
1,720
2,560
3,520
5,840
8,640
11,940
15,740
20,040
24,840
30,140
Interest Yield on $1,000 Bond
at 6 %
at 7 %
$60.80
60.26
59.35
59.53
59.28
58.16
57.24
56.26
55.36
53.64
52.03
50.46
48.91
47.37
45.84
44.32
$70.93
70.30
69.83
69.46
69.16
67.85
66.78
65.63
64.59
62.58
60.70
58.87
57.06
55.27
53.48
51.70
Copyright, 1922, by Greenebaum Sons Investment Company, Chicago, 111.
Figures prepared by Auditing Department, Greenebaum Sons Bank and Trust
Company and approved as being correct by Arthur Young & Company, Certified
Public Accountants.
ILL U ST R A T IO N .— If your yearly taxable income is $20,000 (seventh
figure in first column), an investment in 7% Bonds, with 4% normal tax
paid, would give you a net yield of $66.78 per $1,000, or a fraction over
6% % .
44
THE
OFFICERS AND
DIRECTORS
NORTHWESTERN
BANKER
Conservative
Investments
We are in a position to handle prime first
mortgages, converting mortgages into cash
and first class liquid securities.
J. R. Burns
E. R. Holland
J. B. Burns
A . E. Read
JVe O ffer
M . H . Cohen
H. C. Jordan
Iowa Municipal Bonds free from State, County,
School and City taxation.
Exempt from Federal Income Tax and Surtax.
These are especially suitable for conservative investors.
J. E. Buland
L. E. Goode
James Phelan
U. Burns
J. C. Lambertson
C. F. M om yer
John T . Sudmeier
R. W . Harper
B. B. Herron
Write fo r Our Bond List
Offerings solicited.
Burns Brothers Co.
IN V E S T M E N T B A N K E R S
DES MOINES, IOWA
m
A n E ffic ie n t, P r o v e n
S e r v ic e f o r B a n k s
&
Long Established
During a period of more than forty years
this House has provided efficient service
for banks.
Private W ire System
I
I
á
1
Our offices are all in direct charge of
partners or our own managers. The close
co-ordination of our facilities is fully
maintained by our private wire system.
á
i
ï
Foreign Connections
Our foreign department is in direct, con
stant communication with our corres
pondents in London, Paris, Amsterdam,
Antwerp, Brussels, Buenos Ayres and
other foreign markets.
1
Investment Service
W e carry a line of investment securities,
carefully selected to meet the require
ments of individual and institutional
buyers, which includes foreign and U. S.
Government, municipal, railroad, public
utility and industrial issues. Our list will
be sent on request.
1
i
Established 1880
flam?, W tb h n $c (Kompattg
Bond Department
BOSTON
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Federal Reserve Bank of St. Louis
NEW YORK
Chicago Office, The Rookery Building
I
i
1
CHICAGO
E
I
I
I
April, 1922
many. How would Holland pay
Germany? By the only thing she
had to pay with—dollar credits in
the United States. There are only
two ways in which Germany could
use these dollar credits. She could
either buy goods in this market or
she could use the credit to buy
goods in some other market, say
Brazil. But Brazil would then have
dollar credits here. These could
be shifted around from country to
country, but the only possible way
in which they could be finally
liquidated and utilized would be
by the purchase of goods in this
country.
If the loan were for $10,000,000,
therefore, the only difference made
by a stipulation would be that in
the first place Holland might spend
the entire $10,000,000 for goods here,
but in the absence of a stipulation
the $10,000,000 of purchases might
not come from Holland, but $5,000,000 from Germany, $3,000,000 from
Brazil, $1,000,000 from Argentina
and $1,000,000 from Great Britain.
But $10,000,000 worth of goods sold
is $10,000,000 sold, no matter who
the purchaser.
A stipulation in our loans that
the proceeds shall be spent in this
country is, therefore, unnecessary
and not helpful. But the question
arises of whether it may not be
actually harmful. Suppose Holland
should wish to borrow here for the
purpose of buying certain goods
from Germany. And suppose that
w6 should stipulate that Holland
could not have the loan unless the
purchases were made from us. On
the particular goods that Holland
wanted, neither our prices nor our
quality might be able to compare
with those in Germany. Holland,
therefore, might deem the operation
too expensive, and might decide
either to borrow in some other coun
try, or even from Germany herself,
or else forego the idea altogether.
In that case we would lose both
the loan and the business. But if
we allowed the loan to be made
without stipulation, then Holland
with its purchase would supply Ger
many with credit here, which Ger
many could use for the purchase of
copper or wheat or cotton or other
necessities. Thus we would have
both the loan and the business. We
would be enabling Germany to buy
here with Dutch credit, which is
just now vastly superior to German
credit. Thus, in fact, we might
find a solution to an embarrassing
problem, for we may not care to
extend Germany credit direct. In
this way we could secure safety for
our loans and markets for our goods.
April, 1922
THE
McClure With Bond House
W. Frank McClure, for three
years advertising manager of the
Fort Dearborn Banks and editor of
the Fort Dearborn Magazine, has
become director of advertising for
the American Bond and Mortgage
Company. Simultaneously the an-
NORTHWESTERN
45
BANKER
A s k U s A n y Q u e s t io n s
A b o u t B o n d s --Any information you may desire concerning any phase of
bond buying—we will be glad to give you.
The facilities and experience of our bond department are at
your command.
What can we do for you?
W r it e
J. S . C o r le y , M g r . I n v e s t m e n t D e p t.
THE
IO W A L O A N A N D T R U S T CO.
- BANK D E S
M O I N E S ,
I O W A
Argentine Government
Eighteen Months Treasury
Gold Notes
W. FRANK McCLURE
nouncement was made that the
name and good will of the Fort
Dearborn Magazine have been pur
chased by the American Bond and
Mortgage Company, which company
will continue to publish it.
Mr. McClure is widely known in
advertising circles.
He is the
founder and present head of the Chi
cago Advertising Council, the larg
est advertising club in the world,
and is also chairman of the National
Advertising Commission.
Ho w the President Found Business
Warren G. Harding, president
of the United States, several years
ago, while soliciting patronage for
his newspaper plant in Marion,
Ohio, it is recorded, was asked by
a fellow townsman this question :
“ Well, Warren, how do you find
business?” And this was Mr.
Harding’s reply:
“ By going after it.”
What the man, who is now our
nation’s chief executive, said then
is just as true today, and always
will be.
You will find business “ by go
ing after it.”
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Yielding 7.20 Per Cent
To banks and individuals requiring short term marketable
securities we recommend these treasury notes maturing October
1 ,. 1923. They are direct obligations of the Argentine Govern
ment, are payable both principal and interest in United States
Gold Dollars in New York and enjoy an active market.
The Argentine Republic leads all South American countries
in the volume of foreign trade. Its area is approximately 1,100,000 square miles, exceeding one-third that of the United
States, and its population is approximately 8,500,000. The
wealth of the nation is officially estimated at over $13,800,000,000
compared with a national funded debt both internal and external,
on December 31, 1920, of approximately $533,000,000 or about
$63 per capita compared with a debt of $195 per capita in the
United States.
Recently published figures show a total of approximately
$463,000,000 gold held against notes in circulation or a ratio of
approximately 80 per cent, thus indicating that Argentine cur
rency is one of the soundest in the world.
We offer these notes at the market, now about 9944 and
interest, and recommend them as a highly attractive short term
security.
Brokaw
Company
Investment Securities
1 05 South La Salle Street
Chicago
Edward J. K elly, Iowa Representative
46
THE
Invisible Forces
You cannot see the force of ad
vertising, but you can feel it, said
Ernest C. Hastings, managing edi
tor of the Dry Goods Economist,
New York. He told a story of a
conversation between an advertis
ing man and a merchant that illus
trates the point.
“ Ever had your hat blown off?”
asked the advertising man.
“ Yes,” said the merchant.
“ What blew it off?”
“ The wind.”
“ Did you ever see the wind?”
“ No.”
“ Well, advertising is like the
wind—an invisible force. You can’t
see it, but you can and will see the
result just as you saw your hat go
rolling down the street. And just
as bending trees and flying dust are
a symbol of the wind in the pic
tures, the stories I shall print in the
newspapers about the merchandise
carried in your store will be sym
bolical of advertising force.”—
Fourth Estate.
Dies In Chicago
John Upham, formerly assistant
cashier of the Commercial State
Bank of Two Harbors, Minnesota,
died recently in Chicago of pneu
monia.
NORTHWESTERN
BANKER
April, 1922
Current Finances
legs that will carry him without
crutches, a stomach with a hunger
By Josiah Kirby
for plain fare and an appetite that
President Cleveland Discount Company
is really amazing.
Our Financial Giant is the Ameri
U P E R -V IT A L IT Y in the in
vestment market is commenc can investor. He has the money.
ing to be mirrored in a new He has put his chest at the disposal
vitality in business.
of business and business has been
There’s a stir in the air that tells revitalized.
us things are coming back fast.
It has been our outspoken belief
There is a new ring of confidence since last fall that the great width
in the sounds we are hearing; less and scope of the investment market
talk about optimists and “ pepti- spelled latent buying power that
mists.” In fact there is less “ talk” was swinging into position for a
about anything and in place of it long, strong upward business pull.
there is a snappy click, a smart W e have repeated it often that a
movement and a go that tells us men country of such openly displayed
have stopped talking and have got wealth of liquid funds could never
ten down to doing.
go broke; could suffer from idleness
When I said that business is re only for a sufficient length of time
flecting the great vitality of the to adjust prices to a workable basis.
financial markets I used a popular
That’s done and business is going.
simile. But it is more than that. There is nothing left for conjecture
It is a direct transfusion of life but how far it will go and how fast
blood that has been going on in it will move.
the past eight months by which a
Personally I am almost ready to
Financial
Giant of undeniable believe that it may take on second
strength has been giving of his vi ary boom proportions but I am go
tality without stint to Debilitated ing to suppress the idea for a while
Business until the patient has been because I do not want to see it. A
able to stretch his limbs and call little longer struggle for a foothold,
lustily for Soup.
a bedrock competitive basis a lit
The sick man who thought he was tle longer and then a long and a
dead and only awaiting burial has strong pull, still on a competitive
found that he has a useful pair of business basis would be the best
S
Corporations having temporarily
IDLE F U N D S
c a n p r o f i t a b l y i n v e s t in
y
\ ( n a t io n a l c it y b a n k !/
X
N f B U I L D IN G 5 ^
M
g
v
v
o
g
u
T X ^ O R L D - W I D E distribu» *
tors of high-grade securi
ties: B o n d s , S h o r t T e r m N o t e s
and A c c e p t a n c e s . Correspon
dent Offices in more than 50
leading cities.
Bankers of this section are
invited to use National City
Company service through one
of our following conveniently
located correspondent offices.
C H IC A G O ,
.
s .
w
D A V E N P O R T , IA .
M IN N E A P O L I S , S T . P A U L ,
OM AHA
Certificates of
Indebtedness and
Gold Notes
O u r B o o k le t F E -1 2
g ivin g f u l l i n f o r m a t i o n , w ill b e g la d ly s e n t
u p o n r e q u e s t w i t h o u t o b lig a tio n
H A L S E Y , STU A R T & CO.
INCORPORATED
S T . L O U IS , K A N S A S C IT Y , K A N .
2 0 9 South La Salle Street, C hicago
C H IC A G O
D E T R O IT
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Federal Reserve Bank of St. Louis
NEW YORK
M IL W A U K E E
P H I L A D E L P H IA
M IN N E A P O L IS
BOSTON
S T . L O U IS
April, 1922
THE
groundwork for the kind of lasting,
every-man’s prosperity with every
body in it that we all want.
But I cannot altogether suppress
my optimism when stirring events
are crowding as thick and as fast as
they have been in the past few
weeks. W e who have an inside look
into the offices of the architects of
the future do not have to guess at
what is coming. Constructive work
in the making classes two ways—the physical plans and the financing.
The blue prints never rush into con
struction without consulting the
high offices of finance.
Enough financing of new work
has been done since the first of the
year to make a busy spring of it.
Enough work is in process of finan
cing to make a very, very busy sea
son of it.
W e note that steel mills at the
end of February were operating be
tween 55 and 60 per cent of capacity.
They were down to 40 per cent in
January. Freight car loadings are
up to 788.000 weekly. That is more
than 100,000 weekly in excess of this
time a year ago.
The volume of contemplated work
in the building trades as of the
latest available report was $435,000,000. This is an imposing total,
but it represents midwinter contractural undertakings to which hun
dreds of millions are being added as
the season of outdoor work draws
near.
Since the first of the year actual
contracts have been let for 6,000
miles of steel-concrete highways to
be laid during the year.
An issue of $75,000,000 of Land
Bank bonds figured in the month’s
output of securities designed to aid
basic wealth and basic production.
The rise in value of farm products
has added a billion of new credit.
If business men are selling below
cost now it is because a competitor
has found a way to an economy not
yet known to the trade at large. It
isn’t anything, to my way of think
ing, that can outlast the final spasm
of liquidation now passing.
I think the next turn of the wheel
will bring somewhat higher prices
and put industry in the way of a
profit. The course of food prices is
good guidance on that.
There is to be expected some in
terruption to recovery from labor
disputes in the spring with passing
effect and probably with universal
full employment to follow.
No amount of pay ever made a
good soldier, a good teacher, a good
artist, or a good workman.— Ruskin.
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Federal Reserve Bank of St. Louis
NORTHWESTERN
47
BANKER
H ere is a new booklet th a t—Describes 56 sound bond issues
—Analyzes the law governing bond
prices
—Tells how a business surplus may
be built by using only a small
percentage of the profits.
In short, it tells W H A T to invest in, H O W to
invest and W H Y.
S en d fo r fr e e co p y.
A s k fo r
MN-23
Co., Inc.
A . B. Leach
In vestm en t Securities
New York
Philadelphia
St. Louis
Boston
Minneapolis
Milwaukee
Cincinnati
Seattle ,
Baltimore
Cleveland
Detroit
St. Paul
105 South La Salle Street, Chicago
Telephone Central 8400
For Bank and Bankers
who draw foreign drafts under our protection
K. N. & K. Service
includes daily Foreign Exchange quotations by mail or telegraph as de
sired. Our telegraph code quotes ten currencies in a ten word message.
Our Service covers a wide variety of foreign or domestic transactions
and our organization and connections throughout the world assure
prompt and efficient service.
Careful attention to any inquiry will be given by our Service Department.
Foreign Exchange
Travelers Checks— Letters of Credit
120 Broadway
Knauth.Nachod & Kuhne
V ,v u
te
-P
NEW YORK
h i l ;.,,Js
IN V E ST M E N T
-----. B A N K E R S •—
f O
PUTNAM BLDG.
D
1
GEO.WH TE. Pf
a v e n p o r t
, Io
w a
B . A.PHILLIPS, V P r e s .
48
THE
NORTHWESTERN
BANKER
Big Reasons for
W elfare Loan Success
HE Welfare Loan Societies, operated by the Hawkins
Mortgage Company, have become important factors in the
small loan business of the United States—
T
Because
Welfare Loan Societies
and Companies in Oper
ation at the Present Time
■They deal only in money. Loan societies are not per
mitted to borrow money on demand or from banks, there
fore they have no money obligations to meet which makes
the business safe and sound at all times.
IN D IA N A
W E LFA R E LOAN SOCIETY
OF ANDERSON
W E LFA R E LOAN SOCIETY
OF ELKHART
W E LFA R E LOAN SOCIETY
OF' FORT W A YN E
W E LFA R E LOAN SOCIETY
OF INDIANAPOLIS
W E LFA R E LOAN SOCIETY
OF KOKOMO
W E LFA R E LOAN SOCIETY
OF LAFAYETTE
W E LFA R E LOAN SOCIETY
OF LOGANSPORT
W E LFA R E LOAN SOCIETY
OF MARION
W E LFA R E LOAN SOCIETY
OF MICHIGAN CITY
W E LFA R E LOAN SOCIETY
OF MUNCIE
W E LFA R E LOAN SOCIETY
OF RICHMOND
W E LFAR E LOAN SOCIETY
OF' SOUTH BEND
W E LFA R E LOAN SOCIETY
OF TERRE HAUTE
W E LFA R E LOAN SOCIETY
OF VINCENNES
O H IO
THE W E LFA R E LOAN
OF CINCINNATI
THE W E LFA R E LOAN
OF COLUMBUS
THE W E LFA R E LOAN
OF DAYTON
THE W E LFA R E LOAN
OF HAMILTON
CO.
CO.
CO.
CO.
Every institution is under state supervision,
and is subject to state regulations.
Each society is operated under the Hawkins System,
which assures economical management, frequent audits
and prompt payment of dividends.
The House of Hawkins which assures the
safety of every investment, has a record of
nearly 100 years of successful financial opera
tion.
The Societies loan money on monthly interest pay
ments and have no dull season, as there are more appli
cations for loans than are granted. The character and
standing of borrower is thoroughly investigated.
IL L IN O IS
W E LFA R E LOAN SOCIETY
OF CENTRALIA
F L O R ID A
W E LFA R E LOAN SOCIETY
OF MIAMI
P E N N S Y L V A N IA
Every dollar invested is guaranteed by cash on hand,
well secured mortgages, bonds, notes and other valuable
collateral.
W E LFA R E LOAN SOCIETY
OF' LANCASTER
(Send for our latest catalog on Welfare Loan Societies)
HAWKINS MORTGAGE CO.
PORTLAND
INDIANA
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Federal Reserve Bank of St. Louis
April, 1922
THE
April, 1922
NORTHWESTERN
BANKER
49
IO W A FARM M O R T G A G E SECTIO N
The Northwestern Banker is the official publication of the Iowa Farm Mortgage Association
O F F IC E R S — G riff Johnson, Des Moines, Pres.; Varick Crosley, Webster City, V-Pres.; C. R. Davis, Waterloo, Treas.; F. C. Waples, Cedar Rapids, Sec’y.
E X E C U T IV E C O M M IT T E E
C. H. P a rk s.................................. Council Bluffs
E. H. Lougee................................ Council Bluffs
H. S. Van A lstine......................... Gilmore City
fllm or Stern ..............................................Logan
G. M. T it u s .........................................Muscatine
Stanley Moore ........... ..................Cedar Rapids
T. A. M u rp h y ..•................................Des Moines
Geo. F. H eindel......... ...........................Ottumwa
Ed. Kauffman, ex-officio. . . ........... Davenport
F. B. M ille r.......................................Cedar Falls
J. F. H a rdin ............................................. Eldora
Geo. W . W illia m s..............................Des Moines
What Is Financial Situation of
Western Farmer Today?
By E. D. Chassell
(Continued from page 15.)
both sides—lowering of costs and
increasing of selling values.
It is safe to predict that agricul
ture will come back and come back
quickly. In fact, it is back already
so far as most departments of the
industry are concerned. In order to
promote the highest degree of pros
perity in the United States it will
be necessary to maintain a well bal
anced industrial, agricultural and
commercial system. When any one
occupation is overcrowded, natural
ly there is an over-production and
reduced labor income.
Judging by the average wages
paid to carpenters, bricklayers, rail
road men and others engaged in
what might be called “ town occupa
tions,” when compared with the la
bor compensation of farmers, there
are now too many people engaged
in agricultural pursuits.
The friend of the farmer will not
favor government appropriations to
put more competitors into his field
of operations. If 15 per cent of
those now engaged in farming were
to change to other gainful occupa
tions, and part of the fields now cul
tivated were turned into pastures,
it would be better for those remain
ing in the business.
The temporary great foreign de
mand for agricultural products at
high prices during the world war
has caused many to conclude that
agricultural prosperity may be in
sured by artificially developed mar
kets. These artificial developments
often cost too much and they canriot be permanent. The American
farmer who rides in an automobile
and sends his children to universi
ties cannot sell wheat in Europe in
competition with the Russian peas
ant who lives in a hut and works
for a hundred dollars a year. Neither
can the American poultry man com
pete with the Chinaman in the egg
markets of the world. W e can sell
cotton abroad under natural con
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Federal Reserve Bank of St. Louis
ditions because we are the world’s
greatest cotton producers and the
market cannot be supplied from
other sources. The very existence
of the American wool grower de
pends upon a high tariff, because
without it he would be forced to sell
at a loss in his home market. He
cannot compete in foreign markets
with Australia and New Zealand.
Illinois, Iowa and Nebraska corn,
raised on high priced lands by high
priced labor, cannot compete in
world markets with Argentine corn
raised on cheap lands with cheap
labor.
When a patient is sick, a physician
prescribes a course of treatment for
the disorder to restore normal con
ditions of health, but no good doctor
would continue hospital treatment
after the patient’s recovery.
The
same principle may be applied to
treatment of abnormal economic
conditions due to unusual and tem
porary causes. With this idea in
mind, congress revived the War Fi
nance Corporation, and authorized it
to loan a billion dollars to farmers
to tide them over the period of de
pression. Impartially, the War Fi
nance Corporation has extended its
activities, affording great relief at
a critical time. This congressional
action, as an emergency measure,
was wise legislation, but it is only
for temporary purposes and in a year
or two, as soon as the emergency
has passed, the corporation will pass
out of existence.
An experiment in permanent
farm financing was endorsed by the
government in 1916 by the passage
of the Federal Farm Loan act,
granting special subsidies and priv
ileges to farm loan institutions in
corporated under its provisions.
Although these farm loan banks
have the special privilege of issuing
tax-free bonds and of having their
mortgages and bonds free from
both local and federal taxation, they
have not done much toward reliev
ing the financial needs of agricul
ture. An analysis of the distribu
tion of farm indebtedness shows that
the relief afforded has been small.
The farm mortgage indebtedness
of the United States, $8,000,000,000,
is carried in about the following pro
portions :
Amount. Pet.
Joint Stock Land .
Banks, see re
port of Federal
Farm
Loan
Board,
No v.
30, 1921 ...........$ 81,734,869 1
Federal
Land
Ba n k s . , s e e
F i f t h Annual
Report, N o v .
30, 1921 .......... 415.173,459 5
I ns . companies,
first mtgs., see
proc e e d i n g s
Ass’n of Life
Ins. Presidents,
report Oct. 31,
1921 ................. 1,247,300,000 15
Farm loan com
panies,
not
m e m b e r s of
Farm
M t g.
Bankers Assn.,
1st
m t g s—
estimated ....... 1,200,000,000 la
Members
Farm
Mtg. Bankers
Association of
Am e r i c a , 1st
m t g s., some
thing o v e r.... 2,000,000,000 25
L o c al investors,
private lenders,
local b a n k s
those not other
wise classified
— 1st, 2d and
3d mtgs.......... 3,100,000,000 *39
*Approximately.
The amount of capital required to
to finance American agriculture ap
pears to be too great to make it prac
ticable to handle the business by
means of institutions subsidized by
special privileges. It is too much
like compelling the taxpayers to
contribute toward financing a corner
in the world’s agricultural products.
The American Farm Bureau Feder
ation, the National Grange, and
other farm organizations are coon-
50
THE
NORTHWESTERN
BANKER
Covington Brothers Farm Loan and Investment Co.
FARM M ORTGAGES
NEVER HAVE FARM MORTGAGES been offered to yield such large
returns.
NEVER HAVE FARM MORTGAGES demonstrated their superior in
terest virtue more than during the recent years of financial uncertainty
and world crisis.
PRESENT CONDITIONS WILL NOT CONTINUE.
THE FARSIGHTED LIFE INSURANCE COMPANIES, financial insti
tutions or careful investor will take advantage of the present unusual oppor
tunities and build for the future.
COVINGTON BROTHERS’ FARM LOAN & INVESTMENT COMPANY
assures you of a dependable income of 7% per annum for ten years to come.
THE EVENTUAL RETURN TO THE OLD RATES of 5% and 6%
is not far off. The time to buy farm mortgages is NOW.
C O V IN G T O N BROTH ERS
FARM L O A N & IN V E S T M E N T CO.
M angum
-
-
-
Oklahoma
$ 1 0 0 .0 0 P er A c r e
We have a very attractive rate for choice
loans up to $100.00 per acre— In Good
Old Iowa.
W H AT HAVE YOU?
STANLEY-HENDERSON COMPANY
FARM MORTGAGE BANKERS
207-214 Higley Building
$300,000.00
FARM
CEDAR RAPIDS, IOWA
LOANS
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im
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lmiiiiiimininiiiuiiiuiiiiMiimiiiiiiiiiiiiimiiiiiimiiimmmmiiimim
American Mortgage & Securities
Company
CEDAR RAPIDS, IOWA
H o m e Office
M a n c h e ste r, Io w e
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Federal Reserve Bank of St. Louis
CAPITAL
$ 200,000.00
G e n e ra l Office
H i g le y B u ild in g
Cedar R a p id s , Io w a
April, 1922
erating to relieve agriculture of
many of the handicaps which have
held back the farmer. An early re
duction of freight rates, sure to
come with deflation of railroad ex
penses, will be of first importance.
Orderly marketing will give the
the farmer the benefit of price fluc
tuations, and reducing the cost of
transferring farm products from pro
ducer to consumer will be another
long step in advance.
All signs point to a speedy re
habilitation of agricidture on a na
tionally profitable basis with one
exception. The exception is taxa
tion. Agricultural taxes are stead
ily and rapidly advancing.
RECOVER FROM DEPRESSION
(Continued from page 19.)
this total, or $1,842,284,426. The
importance of manufactures to this
region is made apparent by the cen
sus statistics of manufactures for
the year 1919. During this year
there were 9,103,200 persons in the
United States engaged in manufac
turing industries and almost $45,000,000,000 of capital was invested
in such enterprises, producing prod
ucts valued at about $63,000,000,000.
The proportions of these totals al
lotted to the Middle West were as
follows :
The number of persons engaged
in industry was 3,687,300, or 4Î.39
per cent ; the capital invested, about
$20,000,000,000, or forty-three per
cent and the value of the products
produced $28,970,420,000, or 45.76
per cent.
No other region in the world of
equal area is so bountifully en
dowed by nature with natural re
sources as the Mississippi Valley.
Nor is there another region which
has so highly developed the arts and
sciences of civilization on such a
wide scale as this region. These con
sist not only of shops, factories,
skilled labor and business organiza
tions, which are productive of goods
for physical consumption, but no
other region of equal area has de
veloped the large institutions and
agencies, such as educational, re
ligious, and social, to the extent
which contribute to the broader so
cial welfare of the people.
All in all, the situation is promis
ing for the people of the Mississip
pi Valley. Only reasonable pru
dence and care, together with a cer
tain amount of patience, is neces
sary to secure for this region the
large measure of prosperity which
the natural endowment and indus
trial advantages promise for it.
April, 1922
THE
NORTHWESTERN
BANKER
Tax Exempt Securities
The economic waste arising from
the swelling flood of tax-exempt se
curities must challenge the atten
tion of every thinking person. The
vast total of securities thus exempt,
amounting probably to fourteen bil
lion dollars, is being increased at
the rate of a billion dollars annually.
Because of high surtaxes men of
large incomes are more and more
disposed to withdraw from the un
certainties and struggle of active
business and to seek shelter in the
quiet and protection of tax-exempt
securities. This is taking from
business at the time when it preemi
nently needs vigorous financing
and administration-, the genius, in
centive and competitive drive of the
b est. business brains in the world.
— Dr. J. T. Holdsworth, vice presi
dent, the Bank of Pittsburg.
4k
i
ERRORS IN TAX RETURNS
(Continued from page 25.)
“ Repairs.”
These
repairs
are
broken up into the additions, the
betterments, and repairs.
Now, additions are capital. As
sume, for instance, that you have an
asset account of $100,000 on your
ledger. You make an addition. You
have a machine and you add to it
so that it will do certain other work
which it was not expected to do.
You have a table and you extend it
10 feet. All such cases are additions.
The work may be done by your own
men but this will not change the
situation. The items are additions.
In such a case as the above, add
the amount to the value of the asset
in question. Depreciate the addi
tion along with the rest of the asset.
Do not charge it to repairs.
If, however, you repair the broken
leg of a chair, you have repaired a
breakage. Naturally you charge the
item to repairs. The amount is
nothing more or less than an ex
pense. To handle it otherwise than
as an expense is to err.
Another charge fully as frequently
and as disastrously misunderstood
is the expenditure for a replacement.
Take an example: A blackboard is
wearing off in a certain place. You
put in a new section. This is a re
placement. It is unlike either an ad
dition or a repair. It is a replace
ment ; and, it should not be charged
either to capital or expense, but to
depreciation reserve.
A thousand different errors in
handling capital items could be
cited. I have explained some of the
principal ones and the corrections.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
FAR M LOANS
UP TO
$ 1 0 0 Per Acre
Immediate Inspections,
Liberal Terms, Prompt Closings
We Use Our Own Funds
Midland Service is Unexcelled
Write Us or Phone Us
Midland Mortgage Co.
C A P ITA L $ 3 0 0 ,0 0 0
418-19-20 Cedar Rapids Savings Bank Bldg.
C e d a r R a p id s , I o w a
OFFICERS:
F. C. Waples, President
Clifford D ePuy, Robert S. Sinclair, Vice Presidents
Ingram Bixler, Secretary-Treasurer
R . J. Soener, Asst. Secretary
L X )R DEPENDABLE offerings in
first Mortgage Farm Loans, in
Eastern South Dakota, communicate
with Security Investment & Mortgage
Company, Brookings, South Dakota.
Affiliated with The Bank of Brookings,
Brookings, South Dakota. Combined
capital and surplus $325,000.00. Over
$10,000,000.00 mortgages in force.
S o u th e r n C a lif o r n i a B a n k s
If interested in but unfamiliar with California customs, send for my folder
“ Banking in California.” Free upon request.
BRUNDAGE & HEVENER_____ 304 Van Nuys Bldg,_____ LOS ANGELES
51
THE
52
NORTHWESTERN
April, 1922
BANKER
ACTUAL
COM PLETE
C O ST
$ 2 7 , 0 0 0 .0 0
This cost includes
everything down to
the spittoons. These
materials were pur
chased in the fall of
1921 and actual work
began the forepart
of September.
W e believe t h a t
when you have
looked this building
over you will con
cede that building
costs are lower by a
good deal than is
T he Lytle Company
J. A. RAVEN, President
Architects
and
Engineers
SIO U X CITY , IOW A
of
Complete
Bank
and
Office
Buildings
generally
stood.
under
Space does not al
low a description
of this building in
detail but we will
be glad to give
anyone full de
tails upon inquiry.
Investigate us and
our work arid
learn wherein we
are in a class
alone in bank and
office b u i l d i n g
architecture and
engineering.
11
will be to your
advantage to in
vite us for consul
tation in connec
tion with your
building or equip
ment, be it large
or small.
W e invite your
correspondence.
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Federal Reserve Bank of St. Louis
April, 1922
THE
BANK
4
The Glass That Won’t Let Bullets
Go Through
What is considered among the
best forms of insurance against
bank hold-ups is Safetee Bullet
Proof Glass equipment. For Safetee Bullet Proof Glass is a clear,
transparent glass that, through re
peated proofs, has shown that a bul
let fired point blank at it can not
penetrate, although it cracks the
glass.
If in the days of our grandfathers
an assertion was made that a bullet
fired at a piece of glass would not
go through that glass, nor make
the glass fly, such an assertion
would make dear old grandfather
question the sanity of the speaker.
But thirty-five years ago, if a
man had told another one that he
could stand at a hole in the wall and
talk through it to a man three
thousand miles away, his sanity, too,
would have been questioned. Yet
the telephone came. So has Safetee
Bullet Proof Glass.
What happens in a bank when a
holdup is attempted, where Safetee
Bullet Proof Glass is equipped at
the teller’s and cashier’s windows,
can very easily be visualized.
The robbers point their guns and
go through the usual “ hold up your
hands” formula. The cashier or
the teller, merely smiles and goes
on doing the work in front of him.
The robber shoots—-and that shot
acts as a burglar alarm. For not
only does the bullet fail to reach
the mark intended, but the sound
of the shot is as fine an alarm as
even the bank itself could wish for.
The arrest of the holdup man, or
men, is practically as good as made.
Safetee Bullet Proof Glass is ab
solutely transparent and, seemingly,
does not differ from plain ordinary
glass. Possibly a good description
of it would be that it is transpar
ent steel. In many of the principal
cities of the United States, demon
strations were staged for the bene
fit of skeptical police departments—
for these men could not possibly
conceive of a piece of glass through
which a bullet could not penetrate.
For the demonstration, forty-five
calibre steel jacketed bullets were
used— and they were fired point
blank at sheets of Safetee Bullet
Proof Glass. In not one instance,
although the glass was cracked,
did the bullet penetrate.
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Federal Reserve Bank of St. Louis
NORTHWESTERN
EQUIPMENT
BANKER
S3
SECTION
But it is not only as a bullet
proof proposition that Safetee Glass
can be used to advantage.. Wherever
ordinary glass is used, Safetee
Glass can be used—and with the
comforting knowledge that you
have added security. It has strength
and rigidity, and has been used by
the United States Government for
aeroplanes and aviator goggles. It
is unequaled for industrial and au-
tomobile use. In the latter instance,
it may not be known, but 53 per
cent of the injuries occurring from
automobile accident, are due to
broken glass. With Safetee Glass
windshields, visors, or wind deflec
tors, the driver of an automobile
can absolutely bank on the fact that
in case of accident, his glass will not
shatter or fly. It will break—but
it will hold together.
New Building of First National Bank of Boston
The First National Bank of Bos
ton has begun work on its new
building in the heart of the finan
cial district. It will be situated at
the corners of Milk, Federal and
Devonshire Streets. The new site,
of over 34,000 square feet, is now
occupied by the Equitable Building,
the Master Builders Building and
the old John Hancock Building.
Messrs. Stone & Webster, of Bos
ton, have charge of the construction
acting in behalf of the bank as en
gineers and general contractors.
The new building, of which
Messrs. York & Sawyer of New
York are the architects, will be ten
stories with three basement stories.
The exterior will be constructed of
stone throughout after the manner
of the early Tuscan Renaissance, re
calling the early Florentine archi
tecture. The building will be fire
proof throughout, of heat-protected
steel frame, with cement and mar
ble floors, hollow steel doors and
trim and exterior windows of iron.
The bank itself will occupy five
floors, two entire floors easily acces
sible from the street and a basement
floor below and two mezzanine
floors will be assigned for rental as
offices.
54
THE
SERVICE PUBLICATION S
FOR BANKERS
BANKERS DIRECTORY
BANKERS MONTHLY
BANKERS ROSTER
BANKERS EQUIPMENTSERVICE GUIDE
BANKING ETHICS
KEY TO A B A SYSTEM
Information on request.
R
and
M
c
N
&
a lly
C
o m pan y
D e p t.
536 S . C lark S tree t, C h icago
NORTHWESTERN
BANKER
—A R E M A R K AB LE B O O K —
is the MODERN BUSINESS CY
CLOPEDIA.
Contains over 15,000
definitions of accounting, banking,
commercial, economic, export, financial
terms, including 3,000 general and
stock ticker abbreviations. Complete
business education in one volume.
Serves faithfully. Saves fees. You
need it. Sent prepaid $4. Moneyback guarantee. Order yours NOW!
MODERN BUSINESS PUB. CO
1369 Broadway, New York City.
Dept. D.
WRITE FOR OUR
Catalog of Business Necessities
DES M O INES RUBBER STA M P W O R K S
“ SAME DAY SERVICE”
DES MOINES
Order Y ou r Loose-Leaf
R e q u ire m e n ts D ir e c t
These are days when careful bankers act upon the
need of reducing costs and expenditures.
Reduce the cost of the loose-leaf products your bank
requires by ordering direct from our catalog. Eliminate
the margin which must be added in the more expensive
system of distribution.
In Iowa and adjoining northwestern states, we sell
to bankers direct from our plant, without adding even
the cost of salesmen to our products.
p e r fe c t
LINE
of loose-leaf devices is a good, sound investment, pro
ductive of more than usual returns.
Into this line goes the very best that money, long
experience in manufacture, and rigid inspection can
produce.
Our plant equipment and organization are sufficient
to meet all demands promptly— to render QUICK
SERVICE.
Our latest catalog, No. 17, gives complete illustra
tions, descriptions, and factory price lists on our com
plete line, including:
LEDGERS
SHEETS
BINDERS
INDEXES
SYSTEMS
Write for it on your bank letter-head.
C H IC A G O BINDER & FILE CO.
Manufacturers
118 S. CLINTON ST., CHICAGO.
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Federal Reserve Bank of St. Louis
April, 1922
NEW SAVINGS ACCOUNTS
(Continued from page 26.)
in a steady stream ever since as a
result of the work done during the
drive. The total of the initial de
posits of the twelve thousand, three
hundred and fifty-eight new ac
counts was $468,102.78, and the to
tal increase in our deposits because
of the drive exceeded half a mil
lion dollars. Figuring on this basis
the average balance for each ac
count was in the neighborhood of
$40.00 and our average expense per
account was forty-six cents.
One of the most effective factors
in the results obtained during the
last week originated with our VicePresident, Harry A. Wheeler. When
he addressed the final mass meeting
on the last Friday afternoon, he per
sonally offered a prize of $5.00 to any
team-member who had not yet ob
tained his quota button, who would
succeed in obtaining the necessary
fifteen accounts before the close of
the campaign, Monday night. He
offered a like prize to any teammember who succeeded in beating
the record of the man ahead of
him. These prizes were most effec
tive and aroused the greatest en
thusiasm and activity, particularly
among the team-members who had
been more or less indifferent ear
lier in the campaign. In the final
analysis it was found that of the
three hundred and sixty engaged in
the campaign, over three hundred
obtained quota buttons. Keen re
gret was expressed by many of the
team-members after the close of
the campaign that the drive could
not be continued for another month
or at least for another week, and
hope was expressed that a similar
campaign would be held next year.
In summing up the results ob
tained by the drive, one of our sen
ior officers said, “ Not only have we
set a new record by the actual in
crease in the number of our savings
accounts, but the spirit throughout
the campaign and the friendships
established in the course of it,
would, in my opinion, have justified
the time and money involved, irre
spective of whether or not we ob
tained our original quota of five
thousand accounts.”
Des Moines Fire Loss Reduced
Des Moines is one of the few cities
in Iowa, or in the Middle West, for
that matter, which show a decreased
fire loss for 1921, according to Chief
Burnett, in his annual report.
Losses for the year total $955,000, a
reduction of about $50,000 as com
pared to 1920.
55
April, 1922
SERVICE
W ill H . Z aiser S pecialty Co .
414-416 Seventh Street, Des Moines, Iowa
Exclusive Agents for
The Shaw-Walker Co., Muskegon, Mich.
The Safe-Cabinet Co., Marietta, Ohio
‘ E v e r y t h in g
for
the
Bank
and
O f f ic e ’
Better Service to Bankers
ORE complete stocks than we have
ever carried are now at the service
oi bankers throughout Iowa and the
Northwest. A number of salesmen are
being added; they will call upon you reg
ularly. Our mail order department is
“ on its toes” to meet your needs between
the calls of Zaiser salesmen.
Consult our catalogs when in a hurry
— they place the Bank and Office Supply
Market at' your elbow. Zaiser’s always
assure the lowest current prices, the best
available quality for the money, prompt
shipments— fair treatment in every way.
M
Zaiser Service Departments
Loose L e a v e s and B in d ers.
R u b b e r S ta m p s .
B a n k S u p p li es .
B a n k S p e c ia lt ie s .
S a fe s an d F i l i n g E q u i p m e n t .
Fu rn itu re.
P rin tin g.
V a u l t D oors an d E q u i p m e n t .
Quality Rubber Stamps
W e supply the kind of stamps that
gladden the heart of the busy banker-—
clear printing, long-lived stamps that do
the business every time. The stamp sec
tion of our catalog starts at page 284 and
runs to page 316— if you don’t find what
Shaw-Walker Files
They are “ Built Like a Skyscraper”—
no nuts, bolts or rivets, but electric spot
welded into one-piece rigid steel files that
give lifetime service. Shaw-Walker Files
have unusual capacity in proportion to
floor space— they come in every needed
combination—the drawers run on rollers
and operate so easily that a silk thread
will pull a fully loaded drawer.
Four-drawer steel vertical letter files
as low as $35.
Shaw-Walker Supplies
We stock the full line of Shaw-Walker
Indexes, Folders and Filing supplies.
Ask about our “ speed” system, if you
Safe-Cabinet Steel Filing Stacks
Utilize the wall space in your office and vault by in
stalling Safe-Cabinet Steel Filing Stacks— made in 20,
30 36 and 4244-inch widths; 36, 60 and 96-inch heights;
12 15, 18, 24 and 27-inch depths. Files and shelves are
suspended individually by slots in sides and backs. Any
section can be removed, raised or lowered without dis
turbing other sections.
plain oak—heavy, medium and lighter
construction to meet all requirements
of use or price. And real value, every
time.
Ask for special Furniture
Catalog.
Bank Specialties
Refer to page 118 of Zaiser’s Genera]
Catalog— see the line of Bank Special
ties we offer— time and money savers.
Duplicate Protest Books, 100 sets to
book, bound leather back, black cloth
sides, gilt side title— Iowa, Minnesota,
Illinois or South Dakota forms— per
book, $3.50.
Daily Cash Statement, for National
Banks, also for State and Private
banks— our most popular specialty--approved by bank examiners— each,
$1.85.
Draft Registers, Collection Regis
ters, Clearance Books, Resource and
Liability Books, Expense Account
Books and many others.
Invincible Safe-
Coin Wrappers
Deposit Boxes
Let us quote you on quantities of
Coin Wrappers—we guarantee quality
and price.
The “Lock Behind
the Lock” is an ex
clusive and patented
feature found only
on Invincible Boxes.
Eliminates any pos
sible chance of forc
ing a lock or sledg
ing a door inward. A
real protection.
Safes and
Vault Doors
W e are also agents
for Victor Safe De
posit Boxes, Vault
Doors,
Burglary
Chests and Iron safes.
W rite for prices.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
See Us For Furniture
When it comes to bank and office
furniture—just see our line— “ from the
cheapest that’s good to the best that’s
made.”
Mahogany, quartered oak,
you want in the regular line, just give
us an idea and we can make it for you.
Send Us Your Printing
Zaiser’s Printing Department is fully
equipped for handling special forms of
all kinds and the general run of work
required by the bank. Special attention
has been devoted for years to loose leaves
and we assure prompt delivery with com
plete satisfaction in quality and price.
Whenever you need printing, send copy
to us and we will do the rest.
are not familiar with it— a great ad
vance in efficiency.
Mail Coupon For Catalogs
You will find Zaiser Catalogs a
wonderful convenience.
Your Mail
Orders have the same conscientious
care as those sent by our salesmen.
This department is always ready to
give you immediate action.
Z A I S E R ’S, D E S
M O IN E S :
Please send us—
— Zaiser’s General Catalog.
— Zaiser’s Furniture Catalog.
— Zaiser’s Self-Indexing Ledger
Booklet.
— Safe-Cabinet Circular.
—Vault Interior Circular.
Name ............ ......... .......... ——.....
Address
.........——.............
56
THE
Paying Teller’s Department
That technical training is a pre
requisite for success in the modern
business world is now accepted as
axiomatic. A man or woman must
not only perform present duties sat
isfactorily, but, at the same time,
prepare for the duties and responsi
bilities of the job ahead, in advance
of the arrival of that opportunity.
In no department of the complex
business world is this training more
essential than in banking, which, in
a real sense, is the business under
lying all others; and in banking the
need for training paying tellers and
their assistants is certainly as urgent
as in the case of other employees.
Few of us to whom the cashing
of a check is an almost daily ex
perience realize what an elaborate
organization is required to safely,
legally and efficiently disburse the
bank’s cash, and what risks, and
corresponding responsibilities, are
involved. In view of the fact that
the payment of cash is perhaps the
most universal function of banking,
it is rather astonishing that until the
appearance of a 138-page book by
Glenn G. Munn (published by The
Bankers Publishing Company, New
York, 1922) no other volume ex
'll,!1' "■ l)¡,,
jiili..illHi,
*
‘i-
BANKER
clusively devoted to the paying tel
ler’s department has ever been
placed on the market.
In this book the organization,
functionings, routine, forms, meth
ods and processes of the paying tel
ler’s department, with their inter
relations, are set forth. Not only
are the functions explained, and the
technique described, but also the
transactions out of which conditions
arise, which, if not understood and
interpreted by the paying teller in
accordance with banking law and
custom, might involve the bank in
a loss. An idea of the subject mat
ter may be obtained by a partial
listing of the table of contents, viz.:
Organization of the department,
cash reserves and requirements,
unit paying-receiving system, prin
ciples of cashing checks, legal and
illegal irregularities of checks, cer
tifications, stop-payments, altera
tions, forgeries, sources of money
supply, currency shipments, money
counting, devices for protection, etc.
One of the most useful features of
the volume is a complete analysis of
the various kinds of United States
money, with charts exhibiting the
denomination, denominational por
trait, legal tender, redemption and
"i,
itiin»i„,
imi'., 'iiiii,
"tir
April, 1922
security of each. An exposition of
the technique of counterfeiting and
raising bills, together with the prin
ciples by which counterfeits and
raised bills are detected, will be
valuable to clerks charged with the
counting and inspection of money.
New Bank Building at Detroit
The new building of the First Na
tional Bank of Detroit, Michigan,
a twenty-four story structure, is
one of the many buildings in the
west that reflect great credit upon
western architecture. The First
National Bank, the Central Savings
Bank and the First National Com
pany of Detroit, under one owner
ship, will occupy three complete
floors, including three sub-base
ment floors, and one-half each of
the sixth, seventh and eighth floors.
This is said to be one of the five
largest banking houses in America.
The banking quarters will be fit
ted out with practically every mod
ern convenience known to banking.
Massive vaults, the latest improve
ments in burglar alarms, modern
ventilating system, dining rooms and
a myriad other features, will make
this one of the finest banking rooms
in the world.
Ja ..V -|g| Akk_ TiiTT
THE FISHER COMPANY
BANK FIXTURE
HEADQUARTERS
I.Hti.
NORTHWESTERN
CHARLES CITY, IOWA
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SUCCESSFUL
MANUFACTURING
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The INTERIOR of
your bank is where
your customers transact
their business. Natur
ally the interior of
your bank— the impres
sion it gives others— is
of paramount import
ance.
K
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The Fisher plant is the
largest and best equip
ped bank fixture plant
in the West.
For over a half cen
tury The Fisher Com
pany has
SPECIAL
IZED in planning and
i n s t a l l i n g bank in
teriors.
It is a source of in
tense pride to this com
pany which has striven
to intensify and build
up its “ Service” to see
the increasing number
of banks that recognize
Fisher as BANK FIX
TURE
HEADQUAR
TERS.
During that time it
has been our pleasure
to have remodeled and
equipped more t h a n
THREE
THOUSAND
banks. This record has
not been equalled by
any other organization.
Let us tell you more
about
our
service—what we have done for
others— what we can do
for you. Your request
for further information
will place you under no
obligation.
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Readers ivili confer a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
1"
THE
April, 1922
NORTHWESTERN
57
BANKER
JiWELEY” F@r Ubi
I o w a ’s
L argest
D iam ond
M e rc h a n ts
W e guarantee
Service
and
Quality
o
Bankers and the families of bankers who as a class
demand quality in their purchases, find at Bernstein’s
the merchandise they seek. In our array of high
grade diamonds and the newest jewelry designs, are
found values which discriminating bankers are quick
to appreciate.
We have the largest stock of diamonds in Iowa.
Your credit is good at Bernstein’s; and any article
from our stock will be gladly sent you or through
you to your patrons on approval.
We guarantee service and quality.
with every
A rticle
Fifth and Walnut, DES MOINES
S P E C IA L IZ IN G
B A N K EQ U IPM EN T
A M E R IC A N F IX T U R E CO.
KANSAS CITY ; M O .
IF TIME IS MONEY-WHY NOT SAVE IT?
Save time by buying your requirements from us. We carry in stock and
for immediate delivery your every need for BANK or OFFICE, and
are always in a position to quote as good a price as you can possibly
obtain on merchandise of equiv
alent quality. Mail your orders
to us for prompt attention.
Commercial Stationery— Bank and
Office Furniture— Burglar and Fire
proof Safes.
McNamara Office Supply Co. d^ ^ oines^iowa
Readers will confer a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
!
58
THE
IN THE DIRECTORS’ ROOM
“ What kind of a girl is Bob’s sis
ter?”
“ Well, she rolls ’em.”
“ Now, if you mean socks, she’s
fashionable; if you mean bones, she’s
plus ultra; if you mean cigarettes,
she’s impossible.”— Life.
These Athletes Are Incorrigible
’25 to Varsity Swimmer— Gee,
where did you ever learn to swim
like that?
The Captain— Well, buddie, I was
a traffic cop in Venice for three
years.
— Pitt Panther.
Census Taker— “ Does your hus
band gamble, smoke, or stay out at
night?”
Indulgent W ife—“ That’s his busi
ness.”
Census Taker—“ Has he any other
business?”
— Sun Dial.
“ There’s a stranger outside who
wants to see you, Mr. Bibbles.”
“ Didn’t he give you his card?”
“ No, sir. He merely said to tell
you that you and he were in full ac
cord on the eighteenth amendment.”
“ Show the gentleman in.”
—Judge.
NORTHWESTERN
BANKER
Grinnell “Malteaser” Wit
“ Mary is always talking about her
various cars. Is her father very
wealthy ?”
“ Not that anybody knows. Her
father keeps a garage.”
Dying Mother—John, I never
want you to have anything to do
with unions.
Son— Why, mother?
Mother— Because “ B. V. D.” is
such a vulgar expression.
Jasper: So you joined a secret
society. Did they make you ride the
goat?
Gasper: No, the Chief Exalted
made me ride for two hours in a
flivver I sold him a year ago.
Helen—There is only one thing
the matter with you, George.
George—Why, I always thought I
was all right.
Helen—That’s it.
— Lemon Punch.
Tennessee— May I see you-all
home ?
New Yawk— You’re drunk, man,
there’s only one of m e!
— Punch Bowl.
April, 1922
Anything to Oblige
Old Lady (to newsboy)— You
don’t chew tobacco, do you, little
boy ?
Newsie— No, mum, but I kin give
yer a cigarette if you want one.
— Flamingo.
We only know one man— one
handsome man—who can stare at a
girl in a street car, and still get away
with it. The women sure return his
glances, too. They never think of
calling him “ fresh,” for he’s so good
looking he can make ’em forget that.
The strangest part of it all is that he
never speaks a word to them—just
lets them languish their long looks
on him. Could you do that? Well,
the man in the Arrow Collar adver
tisement does.
There is. an idea abroad among
moral people that they should make
their neighbors good. One person
I have to make g o o d : myself. But
my duty to my neighbor is much
more nearly expressed by saying
that I have to make him happy, if I
may.— R. L. Stevenson.
Duty is soon tired.
the way.
Love goes all
NATIONWIDE 8ER'
VICE BASEDUPON
T h e G r e e n e Id e a
TopromoteFinancial IMwaaty
b y ta d m
of earnings to those
who supply the capital is THE GREENE IDEA
ANKERS everywhere are inquiring about this exclusive
Invincible safety feature. Recent stupendous vault rob
beries are causing some serious thinking and the “ Lock
Behind the Lock” is rapidly taking its place in the confi
dence of thoughtful Bankers.
H.VGREENE
COMPANY
-I N C O R P O R A T E D -
Safe Deposit Boxes
2 5 H U N T IN G TO N AVE.,
BOSTON,
M ASS.
B O S T O N ~ iN E W "Y O R K - P H I L A D E L P H I A
C L E V E L A N D —D E N V E E ^ S E A T T I L E A N D
SO O TH E R . P R IN C IP A D CITIES THROUGH
TH E U N ITED S T A T E S A N D C A N A D A .
NOTICE A W E ARE OPEN FOR PRO PO SALS T O
U N D E R W R IT E STO C K O R BO N D ISSUES OF NOT
LESS T H A N $5 0 0 ,0 0 0 IN A N Y S T A T E , PR O V ID
ED SUCH ISSU E S H A V E TH E FULL C O O PE R “
ATION AND APPROVAL OF BANKS AND CHAMBERS
OF CO M M ERC E,
B
INVINCIBLE
give you double protection against sledging and lock-punch
ing— they give the greatest known protection, are delivered
the day you want them, and are installed as easily as a baby
builds blocks. All sections are of standard size and inter
member to form a single unit.
Invincible
superiority
and economical manufac
ture is the result of spe
cialization. W e make only
o n e thing— and we make it
well.
You will want to know
more about the advantages
of Invincible Safe Deposit
Boxes.
The
Invincible
book gives all the facts.
May 'we send you a copy?
“ Add a Section at a Time”
INVINCIBLE METAL
A stack containing 18 boxes. Similar
FURNITURE CO.
sections contain other standard sizes of
8 38 26th Street,
boxes. Build up your installation as you
M A N IT O W O C
W IS C O N S IN
require it.
IieQ,dçr$ will confer a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
THE
April, 1922
NORTHWESTERN
59
BANKER
For Bankers and Their Wants
This department of T H E NORTHW ESTERN BANKER is
to assist SUBSCRIBERS in obtaining goods or service hard
to find. It is free. Use it. ASK US, as we can tell you
where to buy anything you need in your bank or for your
bank. TE L L US, as your “want” will be published under
the above heading free of chrarge. In answering classified
advertisements which have key numbers please enclose a
two-cent stamp. This is used to forward your letter.
W anted.
Burroughs Adding machine
and check writer. State cash price and
condition in first letter. Address E. M.
Broughton, Cashier, First State Bank of
Pinecreek, Pinecreek, Minn.— 4.
P o s i tio n W a n t e d by experienced young
man as cashier or assistant cashier in
country bank. Age 23. Can furnish best
references.
Employed at present.
If
interested address No. 2563, The North
western Banker.— 4.
P o s i tio n W a n t e d as cashier in town
from one to five thousand. Seven years’
experience in banking. Three years as
cashier.
Married.
Twenty-eight years
old. Can furnish best of references as
to character, ability, etc. Address No.
2564, The Northwestern Banker.— 4-5-6.
P o s i tio n W a n t e d as cashier or assist
ant cashier. About ten years’ banking
experience. Thoroughly experienced in
country banking. Can make substantial
investment and furnish and give best of
references as to ability and character.
Address No. 2557, The Northwestern
Banker.— 3— 4.
P o s itio n W a n t e d by young man 24
years of age, single. Five years' country
banking experience.
Speaks German.
Best of references. Address No. 2554.
P o s i tio n W a n t e d in bank by man with
eleven years’ banking experience. Good
references.
Thirty-two years of age.
Will call in person if situation warrants.
Address No. 2559, The Northwestern
Banker.— 3-4-5.
P o s i tio n W a n t e d as cashier or assist
ant cashier in country bank northern
Iowa or southern Minnesota town of
about five hundred population.
Have
had four years’ experience.
Thirtythree years old and married. Address
No. 2565, The Northwestern Banker.— 4.
P o s itio n W a n t e d by married man 30
years old with family in country hank as
second man.
Speaks German.
Eight
months’ experience. Address No. 2566,
The Northwestern Banker.— 4-5.
A n E x c e p t i o n a l O p p o r t u n i t y is offered
for a man of banking experience and sell
ing ability to represent one of the strong
est and most aggressive Life Insurance
Companies in the country. This com
pany makes deposits in country banks
and co-operates to the fullest extent with
its representatives. Reply, giving expe
rience and references to No. 2567, The
Northwestern Banker.— 4-5.
F o r S ale . Four Baker-Vawter ledgers,
two statement and two ledger, expanding
with lock, bound in leather and corduroy
and in extra good shape, not having been
used long, for use with posting machine,
Burroughs. Priced right. Address No.
2562, The Northwestern Banker.— 3-4.
One great, strong, unselfish soul
in every community would actually
redeem the world.— Elbert Hub
bard.
B A N K POSITIONS
If you want a bank posi
tion or need experienced
bank help, write
The C harles E. W alters
Com pany
1422-30 First Nat’ l Bank Bldg.
OMAHA
-
N E BR A SK A
W H A T INTERESTS PEOPLE?
Lord Northclifïe says:
“THEMSELVES”
This personal element, after all, is the most valuable feature of
the Northwestern Banker. News about you and and your bank,
views from you and other bankers are nowhere more accurately
and interestingly presented than in the Northwestern Banker.
WILL YOU TELL A FRIEND ABOUT IT?
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Federal Reserve Bank of St. Louis
THE
60
NORTHWESTERN
BANKER
April, 1922
LEGAL DEPARTMENT
(Continued from page 32.)
F. L. MINER, President
PARLEY SHELDON, Honorary Vice Pres.
C. M . SPENCER, Vice Pres, and Secretary
C. S. VANCE, Vice Pres, and Underwriting Mgr.
FRANK P. FLYNN, Treasuer
POLICY HOLDERS
Will Patronize an IOWA Company
Guaranteed by IOWA Capital
Managed by IOWA Men
I O W A B A N K E R S Recognize the Advantage of Protecting I O W A
C R E D IT with I O W A IN S U R A N C E
Reliable Agents Wanted in Every City in Iowa.
Write
Iowa National Fire Insurance Co.
DES M OINES, IO W A
“ wisdom and propriety” of the con
tract ; but since the rights of third
parties did not intervene, they
treated the contract as valid and
held that the plaintiff by selling his
bid to the party failed to perform
his part of the contract. He had de
feated the purpose of the contract
namely, a sale to the highest bidder,
there was nowhere in the agree
ment a prohibition of such sale by
the plaintiff, nor was the aim of the
contract stated to be for the purpose
of selling to the highest bidder. Un
doubtedly, this was the end desired,
but it was a part of the contract
only by implication. The sole spe
cific requirement for his performance
was to bid a certain price and as re
ward he was to receive a share of all
higher bids.
It seems that a better ground for
the decision would have been the
illegality of the contract. The fact
that the agreement was made for
the purpose of enhancing the bids
does not render it less odious than
an agreement to chill bidding. The
court thought it “ close akin to the
employment of a by-bidder, which
is violative of the implied guaranty
that all bids at public sales are
genuine. . . .”
Both the owners
and the bidders are required to act
in good faith. It does not appear
anywhere that the property would
have been sacrificed at an unjustly
low price. And while the purpose
of the agreement was to increase the
bids at the sale, its effect was to
create a false appearance of com
petitive bidding. In the enforce
ment of such an agreement the law
would be the instrument of execut
ing a deceptive design. Any con
duct of those engaged in selling or
bidding which prevents fair, free,
and open sale is fraudulent and con
trary to common morality, square
dealing and commercial integrity.
Chicago Trust Leases Property
The Chicago Trust Company has
leased for a period of ninety-nine
years a part of the Lambert estate at
the corner of Clark and Monroe
streets in Chicago, and after making
the proposed improvements on the
present Rector building, the com
pany will have a twelve story bank
and office building.
He is greatest whose strength
carries up the most hearts by the
attraction of his own.— Henry W.
Beecher.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
THE
April, 1922
NORTHWESTERN
IN SU RAN CE
BANKER
61
SECTION
The Two-Fold Purpose of Income
Insurance and Flow 11 Gets Results
By F. W . Heron
Pacific Coast Supervisor, Fidelity Mutual Life
NCOME insurance is generally
considered under two plans:
First, income to the beneficiary
in case of death of the policyholder.
Second, income to the insured in
later life.
W e will cover income to the
beneficiary first, and I want to say
sincerely that to my mind no gift of
genius has helped and in the future
will help so many people as income
insurance. For over fifteen years
I have hoped we might have a Fed
eral law compelling all life com
panies to pay every policy of $3,000
or more on the installment plan.
There is a deep inner satisfaction
that comes to the life agent when
he goes to a home to pay the claim
on a policy that he sold. This is
because he persuaded the husband
and father to insure. But that sat
isfaction is not to be compared
with the joy he will feel when he
sees the happiness, the comfort and
the pleasure that goes to a house
hold month after month, year after
year, and all on account of an in
come policy that he persuaded some
father to ’buy.
When you fully realize the real
need for this form of protection
you will feel ashamed of yourself
for not offering more of it. Your
company has the service for sale,
and is offering it through you. The
installment option is a part of every
I
Mort¿a¿e
Redemption
Contract
“ The're are, in fact, two deaths— the
one beyond the grave and the living
death. It’s the living death that puts
fear into the hearts of men. To reach
old age with blasted hope's, broken il
lusions, terrifying thoughts of the fu
ture— that is the nightmare that tortures
m illions. But there is a way out for
these millions and you can point it out.
They can face old age with a smile if
you can but persuade them to buy an in
come-pension policy.”
iiiiiiiiiiiiiiiiiiiiiiimiimiiiitiiiiiiiiiiiiiiiiiitiiiiiiiiiiitiiiiiiMiiiiiiiiiiimiitiiiiiiiitii>iiitiimiiiiiiiitiiiiiiiiiiiiiiiii!
policy, and yet how many of you
use it?
All disability benefits under life
insurance policies are payable on the
monthly plan. You never heard of
a disability feature that would pay
a lump sum to the insured. There
is a need for the income plan of
insurance, as is evidenced by these
facts:
Ninety per cent of the children of
America who enter school at age
six must leave before the eighth
grade in order to go to work.
There are over 8,000,000 women
in the United States who must
work for a living—most of them
are compelled to do so.
There are over 3,000,000 widows
in the United States, and 90 per
cent of them lack the necessities of
life, to say nothing of comforts.'
Tw o and a half million babies are
yearly born into slavery and pov
erty in this great country.
Ten per cent of all those who die
in the large cities are buried in the
potter’s field; think that over.
With these facts you owe it to
your clients to better protect those
dependent upon them.
The long lists of situations wanted
ads by widows in the daily papers
of any city are evidence enough that
the conditions above exist. These
widows were all once happy wives.
Possibly some of them did receive
some life insurance money, but an
income policy would have prevented
the string of poverty. Take a glance
at some of the positions offered these
widows in the daily papers— mostly
housework, washing, etc.
The husband would have been in
sulted if any one had told him that
some day his fair bride would be
scrubbing floors in an office build
ing. Remember, it is always too
late to get life insurance for widows
and orphans; it can only be pur
chased for wives and children.
Furthermore, you can not buy life
insurance yesterday; it must be
bought today.
If you have a doubtful, hard shell
prospect just take a list of the posi
tions offered women in the daily
papers, and ask him which one he
wants his wife or daughter to ac
cept.
A N E W IN S U R A N C E C O N T R A C T
Just the thing to enable a business man or farmer to pro
tect his obligations. Provides added security for bank
loans. Sold on a basis where in younger years the added
net cost is only about 1% over the mortgage interest.
D eta ils g la d ly s e n t o n r e q u e s t
m
S T A T E LIFE IN SU R A N C E C O M P A N Y o /IO W A
DES MOINES
A. C. TUCKER, Pres.
WILLIAM KOCH, Vice Pres, and Field Mgr.
Readers will confer a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
62
THE
NORTHWESTERN
BANKER
W hy
It ought to be just as natural and easy for your customers to buy
a Bankers Accident Policy through your bank as it is to buy a
Chicago Draft.
The trouble is you wait until your prospect wants a policy before
you ask us for rates— then it’s too late. Every day we get such
letters from bankers who have had our supplies for years—
If you kept an envelope with our rate manual right where you
could put your hand on it in a jiffy and there was a neat little brass
sign advertising The Bankers Accident Co. hanging in plain sight
you could pick up many a five case note without much trouble.
Why not?— Others do, and remember this “ You Can Bank on the
Bankers.”
Bankers A c cid e n t Insurance C om p an y
DES M O IN E S
W r i t e E. C. B U D L O N G , V i c e P r e s i d e n t
Agency Manager
G E O . J. D E L M E G E ,
P r e s id e n t
H O M E R A . M IL L E R ,
V ic e P r e s id e n t
F.
C. W A T E R B U R Y
V ic e P r e s id e n t
S IM O N C A S A D Y
T reasu rer
THEO. F. G REFE
S e cre ta ry
A. H. W ATSO N,
A s s is ta n t S e cre ta ry
C H A S . O. G O O D W IN ,
S u p t. o f A g e n t s
C A P IT A L
ASSETS
...... $
_____
OVER
.........
A C entral W e s te rn C om pa ny fo r C en tra l W e s te rn
Managed
ciers.
by e x p e r ie n c e d
an d
conservative
500,000.00
1, 100, 000.00
Peo ple.
U n d e rw rite rs
an d ab le
Finan
W e s o lic it c o n n e c tio n s w i t h a c t i v e a g e n t s in t h i s fie ld w h o b e li e v e in th e
C e n t r a l W e s t , in C e n t r a l W e s t e r n peop le an d in C e n t r a l W e s t e r n I n s t it u t io n s .
W H I C H IS BEST?
T H IS
T H IS
NATIONAL FID ELITY CO-OPER
ATION, intelligent, resourceful and
tireless, always at your command.
NATIONAL FIDELITY TOOLS— com
plete coverage, up-to-the minute poli
ADVANCES—mortgaging- your
cies,
selling plans and ideas of proven
future, stealing your inde
merit, advertising that really prepares a
pendence.
favorable attitude toward you.
GLITTERING PROMISES
NATIONAL FID ELITY TRAINING and edu
so easily made—so seldom
cational service which enlarges your capacity
kept. These all mislead
to SERVE and to EARN.
and disappoint.
They
These help you to build and develop to your
carry LESS W EIGHT
greatest possibilities.
now-a-days
with
These carry INCREASING WEIGHT.
thoughtful Agents.
HIGH COMMISSIONS which weak
en your company and do NOT
necessarily mean more MONEY to
you.
Write ALL ages 10 to 60— all standard plans and some special service-ren
dering’ and “commission-winning” policies.
For choice territory in Iowa, Minnesota, Nebraska, South Dakota, Okla
homa and Texas
A d dress
April, 1922
To the man who can do so much
better with his money in other in
vestments—ask him if he does not
want one fool-proof, lawyer-proof
investment for his loved ones; wills
can be broken but an income guar
anteed under a life policy can not
be taken away. Tell him his family
is an obligation that must be taken
care of in some way. He created
it and it is up to him to provide for
the responsibility. If he is a salaried
man—tell him you want to put his
wife and children on the payroll
after he is gone.
The policy that pays an income
to the insured in later life is my
favorite because it takes care of the
insured should he live to be old after
providing an income for the benefi
ciary had the policy been matured
by death. I call it a pension policy.
Pensions and income for dependent
men and women, and the need for
them, are coming home to the peo
ple in every walk of life, in every
country in the world and with
greater force and urgency every
day. Pensions and their need is the
spectre that sits in every legislative
hall throughout the world. The
theme is that the old, the poor and
the weak must be taken care of.
Every individual, no matter what
his present position in life, may be
the subject for assistance a little fur
ther down life’s path.
Statistics show that only about
five out of every 100 at age twentyfive will have anything at age sixtyfive. Only one in 10,000 will be in
dependent at age seventy. All of
these men when they were young
made a living—they could have
saved something—but they could do
better with their money— at least
they thought so. And they tried i t ;
some got rich but millions lost all
they had, and mostly through cir
cumstances over which they had no
control.
All men hope to retire from busi
ness some day; to ease up the strain,
but when and how? Retirement is
a comforting thought or it is a night
mare, depending upon what we
make of our working years. Most
men are confident of accumulating
a snug sum before they grow old.
But strange enough, few men at
sixty have anything to show for
their life’s work—their saving is all
done tomorrow. Through income
policies a life insurance company can
can do for him what he can not do
himself. He then can face old age
with confidence.
N A T IO N A L F ID E L IT Y LIFE INSURANCE CO.
S io u x
C ity , I o w a .
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
R a lp h
H . R ic e , P r e s id e n t.
As we advance in life we learn the
limits of our abilities.— Froude.
April, 1922
THE
State Life in Reinsurance Deal
The State Life Insurance com
pany of Des Moines is rapidly com
pleting- negotiations for the reinsur
ance of the life insurance business of
the Union Life and Accident In
surance company of Lincoln, Ne
braska. President A. C. Tucker of
the State Life has announced. A c
cident and health insurance is not
included.
The Union Life and Accident
company was organized in 1913 and
is one of the most progressive young
companies of the Middle West. The
Union company has $7,500,000 of in
surance in force, which when added
to the business of the State Life
will give that company more than
$25,000,000 of insurance in force.
The State Life is now licensed in
Iowa, Minnesota, North and South
Dakota. It plans to extend its ter
ritory to include the following
states in which the Union is now li
censed: Nebraska, Colorado, Kan
sas, Idaho, Utah and Wyoming.
The entire agency force of the
Union will be taken over by the
State Life, following final approval
of the reinsurance treaty by the
Iowa and Nebraska insurance de
partments. Secretary R. R. Lounsbury of the Union will continue in
active charge of the State Life’s
branch at Lincoln, with Joseph
W . Walt, at present vice-president
of the Union, will be in charge of
the Nebraska business for the com
pany.
“ The reinsurance of the Union’s
life insurance business not only
places on our books some excellent
business, but it also secures for us a
progressive agency force which fits
in with our program of expansion
outlined by the State Life’s board
of directors at the last meeting,”
President Tucker of the State Life
declared.
The State Life closed its most
successful year with total insurance
in force, December 30. 1921, $17,500,000. Total assets are in excess
of one and one-half million dollars.
L o w D e a t h R a t e fo r 1921
The year 1921 was the healthiest
in the history of both the United
States and Canada, according to upto-date life insurance company mor
tality records submitted at the fif
teenth annual convention of the As
sociation of Life Insurance Presi
dents held in New York City. These
records, covering the deaths of pol
icyholders in thirty-seven leading
American life insurance companies
for the first ten months of 1921,
were presented by Third Vice Presi
dent Robert Lynn Cox of the Metro-
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Federal Reserve Bank of St. Louis
NORTHWESTERN
63
BANKER
Example of Endowment—A^e 65
At maturity the insured will have choice of any one of follow
ing options:
(1)
(2)
(3)
(4)
(5)
Cash $5,000
Paid Up Policy for $5,000 and cash $1,560
Paid Up Policy for $7,265
Secure a monthly income of $48 per month for 10 years
Secure a monthly income of $30 per month for rest of life
This policy is of greatest interest to a man 35 to 45 years of age who
has put off taking life insurance until his rate on 20 Pay appears too high.
For particulars, rates, etc., address Home Office or nearest agency.
W e issue all standard forms of Life Insurance Policies. Every policy
protected by Deposit of Full Legal Reserve with the State of Iowa.
Public Appreciation
The influence of Equitable low net cost on our agents production
is no longer theory— it is now an established fact.
The present demand for Equitable insurance is the result of public
confidence in Equitable service for sixty-two years.
The insurance that insures is a tangible selling factor for Equitable
agents.
The Equitable issues all the standard policy forms and one policy
in particular that you would be interested in when once you know
its flexibility and other advantages.
W e want more banker agents. A request for information will not
obligate you in any way.
Write
R O Y H. H E A R T M A N ,
Iowa State Agency Manager
The Equitable Life Assurance Society
of the U. S. A.
Suite 800, Old Colony Bldg.,
10th and Grand Ave.,
Des Moines, Iowa
One Great Virtue o f Insurance Lies in
the Peace o f Mind It Gives
But the accounting day w i l l c o m e . Select carefully, then, the company you rec
ommend that neither you nor your patrons may be disappointed.
The test is in the Claim Settlements.
JVe B A N K on ours and so may you.
CHO O SE T H E
GREAT
W E S T E R N — IT ’S GOOD
Great Western Accident Insurance Company
DES M O IN E S , IO W A
64 -
THE
NORTHWESTERN
BANKER
M IS S O U R I S T A T E L IF E
INSURANCE
COMPANY
M . E. SINGLETON
President
HOME OFFICE
ST.LOUIS, MO.
Progressive Bankers, desiring to serve
their clients well, will find our policy
contracts attractive. They embody the
“ UTMOST IN PRO T E C T I ON ”
LIFE
A C C ID EN T
H EALTH
GROUP
April, 1922
politan Life Insurance Company,
who said they indicated a lowering
of the life insurance death rate from
'9.53 per thousand, in 1920, to 8.25
per thousand in 1921. Applied to
the population of the two countries
as a whole, these figures mean
153,000 less deaths than last year,
which year itself had a much lower
mortality than was experienced in
prior years. In 1921 insurance fig
ures show that influenza has almost
disappeared from the United States
and Canada, while there has been a
decrease in pneumonia amounting to
about 50 per cent from 1920. Mor
tality due to automobile accidents,
however, is showing a 15 per cent
increase this year, a probable total
of 10,000 deaths being indicated.
Homicides and suicides also show
large increases.
“ The striking thing shown by
these figures, covering 27,000,000 hu
man lives, which of necessity reflect
general health conditions throughout
the country,” said Mr. Cox, “ is the
extraordinary favorable mortality of
the current year in comparison with
the year 1920-^-a year which up to
that time was one of the best which
life insurance companies had ever
experienced. These figures for ten
months of 1921, supplemented by
what we know of our mortality ex
perience as it has been running since
October 31, show that the United
States and Canada as a whole will
close the year 1921 with a lower
death rate than has ever been ex
perienced by these countries, in any
calendar year of their history.”
The Des Moines Life and Annuity Company IS “ The
Company of Co-operation” .
T o prove this statement
we are willing to stand on our record.
Many words such as “ Service” and “ Co-operation”
are cheapened by over-use— or by broken promises.
“ Co-operation” with this Company retains its original
strong meaning. Des Moines Life and Annuity agents
KNOW .
Our policy holders KNOW .
It will profit you to K N O W more of this Company
and its attractive agency proposition.
Write
A. L. H A R T , President
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Federal Reserve Bank of St. Louis
State Life Capitalization
The press recently announced
that the State Life of Des Moines
had voted to reduce its capital stock
from $1,000,000 to $200,000.
The State Life authorized capital
was $1,000,000, but the paid up did
not exceed $675,000.
At the stockholders’ meeting over
75 per cent of the stock was repre
sented and unanimously voted to re
duce the stock from $675,000 to
$200,000. By this means the com
pany is provided a larger workingsurplus.
The State Life during 19,21 put a
considerable^ volume of business on
its books. In December, 1920, the
State Life had $4,769,000 of insur
ance in force, $789,633 of admitted
assets, and $56,352 of admitted sur
plus.
At the close of December, 1921,
the insurance in force had grown to
$17,570,599 on a paid for basis; the
assets had increased to $1,853,237.17,
but the acquisition of the new busi-
April, 1922
THE
ness had reduced the surplus to ap
proximately $2,000.
Under these circumstances the
capital was reduced to $200,000,
which leaves a working surplus of
approximately $475,000.
The company has progressive
plans for expansion, and is contem
plating entering several west and
midwest states during the year.
A Life Insurance Problem
No intelligent man needs any ar
gument to convince him of the value
of life insurance. But the decision
as to what form it shall take after
his death is important. In the great
majority of cases the widow has a
sum ranging from $10,000 to $100,000 dumped in her lap for her dis
posal at a time when she is pecu
liarly unfitted to take a cold, cal
culating business view of its invest
ment, if she has good business sense,
which is not always her possession.
As a result a considerable propor
tion of her insurance goes to unwise
expenditures, to needy relatives, or
into investment of highly hazardous
character. Big insurance policies
draw promoters who have their own,
rather than the widow’s interests,
at heart.
That danger always follows a
woman suddenly in possession of a
large sum of money, and because of
it many companies sell income in
surance, which guarantees the
widow and her children fixed month
ly incomes for life. Experience fa
vors this form of insurance, because
$50 or $500 a month usually brings
more security, comfort and happi
ness than the possession and care of
sums which yield those amounts
when invested— and they put to
flight the adventurers who prey on
widows, together with the relatives
who want to use her little fortune
for their own profit.
Wise conservation and investment
of money requires the best thought
of experienced business men. What
chance has a woman of no business
training when the proceeds of an in
surance policy or a considerable es
tate fall under her sole control?
With trust companies always ready
to care for such cases, and insurance
companies able to handle income in
surance, is it not kind to the be
reaved family to safeguard its future
in this way? Leaving a large sum
of loose money to them will not
do it.— Chicago Journal of Com
merce.
NORTHWESTERN
65
BANKER
IO W A STATE TR A V E LIN G
M E N ’ S A S S O C IA T IO N
THOSE ELIGIBLE TO MEMBERSHIP ARE:
all who are over 18 and not more than 55 years of age,
who travel for business purposes any portion of the year
in addition to their other duties.
all men who travel and are engaged in business the duties
of which are not more hazardous than those of a traveling
salesman.
This Association Offers:
Accident Insurance at actual cost
— It has never exceeded $9.00 a
year.
many bankers are members of this association. If you
have not joined, send for an application now.
H. E. REX, Sec’y and Treas.
F le m in g B u ild in g
DES M O IN E S , IO W A
Confidence Requires Building
Many qualities influence banker agents in the selection of
a company but the deciding factor must be REAL CONFI
DENCE in the company and the officers that shape its
policies.
For over a third of a century the Royal Union has stood
for strength and reliability.
The combination of these qualities with the Royal Union’s
reputation for cooperation with its banker agents makes
it the kind of a company you will find it a pleasure to
deal with.
We will be glad to explain our attractive banker agency
contract.
royal union Mutual life
« INSURANCE i
! COMPANY. !
DES MOINES, IOWA
S I D N E Y A. F O S T E R ,
Secretary.
F R A N K D. J A C K S O N
President.
'I N A L L
THAT
IS G O O D
IOW A
A FFO R D S
THE BEST
❖
Anger is an expensive luxury in
which only men of certain income
can indulge.— Curtis.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
THE
66
NORTHWESTERN
BANKER
T H E P R O T E C T IV E D IS A B I L I T Y P O L IC Y O F T H E
Preferred Accident Insurance Company
P n ir o v c
Accidents
V A JV erfe AH Sicknesses
OVER $15,000,000 PAID IN LOSSES
You can bay weekly indemnity as desired WITHOUT a large death indemnity— and save money.
UPHAM BROTHERS COM PANY
Suite 619 Hippee Bld^.
-
Iowa Managers and Adjusters
-
Des M oines, Iowa
1922
WILL REWARD UNIVERSAL LIFE AGENTS
Our service is helping many banker agents gain substan
tial success. With us service means more than a word.
Write us for territory in Iowa or Illinois
UNIVERSAL LIFE INSURANCE COMPANY
DUBUQUE, IOWA
OPPORTUNITY—
Salaried position for field man.
Must furnish reference.
Write
National American Life Insurance Company
BURLINGTON
-
IOWA
April, 1922
$58,000,000 in Housing
Fifty-eight million dollars has
been loaned by the Metropolitan
Life Insurance Company through
out the United States to build homes
and apartments.
The Chicago
Trust Company, handling the loans
for the Metropolitan Company in
Illinois, Wisconsin and Northern
Indiana, announces that in that ter
ritory $3,400,000 of the fund has
been spread sufficiently to build
1040 homes and apartments, while
new buildings are now going up at
the rate of 30 a month. These
houses have been erected in 66
cities.
The unusual part of the plan, ac
cording to the banking officials, is
the small average of each loan,
which is said to indicate that the
construction is done for small home
builders. The Illinois loans aver
age about $4,000 each, which is ap
proximately half the value of build
ing and lot in each case The build
ers are given three to fifteen years
in which to repay the loans.
The banking officials state that
the Metropolitan company does
about as much clerical work in mak
ing one of these small loan as it
would in putting out the entire sixty
million dollars in a few big loans,
and that the large loan policy is the
one usually favored by American
companies with vast sums to invest.
This is another reason why this
large insurance company deserves
great credit for placing such large
sums into home building loans.
J. F. Taake Dies
J. F. Taake, secretary of the Lib
erty Life of Des Moines and former
state insurance commissioner, ' died
recently at Miama, Florida, where
he had been since last October. Mr.
Taake had been in ill health for some
time and went south in the hopes of
bettering his health. He was sixtyfive years old.
New Double Indemnity and Total Disability Policies
We have just placed on the market a policy that pays double the face amount of the policy in
event of accidental death and monthly indemnity in event of total disability.
Part Time and Full Time Representatives Are Needed by Us.
r
For F u ll P articu lars W rite
Guaranty Life Insurance Company
L. J. Dougherty, Secy, and Gen’l Mgr.
Davenport, Iowa
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Federal Reserve Bank of St. Louis
THE
April, 1922
NORTHWESTERN
BANKER
67
SOUTH D A K O T A B A N K N E W S
Official Publication South Dakota Bankers Association
EXECUTIVE COUNCIL
South Dakota Bankers Association
P r e s i d e n t .........................M. P lin B e e b e , I p s w ic h , P r e s id e n t B a n k o f I p s w ic h
V ic e P r e s i d e n t ____D. M. F in n e g a n , Y a n k t o n , V ic e P re s . F ir s t N atl. B a n k
S e c r e t a r y ............................................................................. L. J. IV elch , iM itchell, S. D.
T r e a s u r e r ............................. F . R . S m ith , P la t te , C a s h ie r F a r m e r s S ta te B a n k
E in e r J o h n s o n , C hm . G r o u p 1 .......................C a s h ie r V o lin S ta te B a n k , V o lin
T h o s . A . W a d d e n , C hm . G r o u p 2 . . . V . P re s . L a k e Co. N a t’ l B a n k , M a d iso n
J. W . B r y a n t, C hm . G r o u p 3 .............................................••• •............•••••• • •• • •• ..
................................V ic e P re s . C o m m e r c ia l T r u s t & S a v in g s B a n k , M itc h e ll
E R . Z a le s k y , C hm . G r o u p 4 ........... P r e s id e n t F ir s t N a tio n a l B a n k , E lk t o n
F . S. B r o w n , C hm . G r o u p 5 ........... P r e s id e n t S ta te B a n k o f D o la n d , D o la n d
A. K o p p e r u d , C hm . G r o u p 6 . . . P re s . S e c u r ity B a n k & T r u s t C o., W e b s t e r
C. D. S m ith , C hm . G r o u p 7 ..............P r e s id e n t F ir s t N a tio n a l B a n k , L e m m o n
M. M. B r o w n , C hm . G r o u p 8 . . . . P re s . C o m m e r c ia l N a tio n a l B a n k , S tu r g is
J. F. S te w a r t, C hm . G r o u p 9 ............. P r e s id e n t F a r m e r s S ta te B a n k , D a lla s
Sells Interests at Bridgewater
G. W. Dawse has sold his inter
ests in the First National Bank of
Bridgewater, South Dakota to T. J.
Shannon and C. C. McMahon. Mr.
Dawse plans to make his residence
in Minneapolis. Officers of the
First National are: President, T.
}. Shanard ; vice-president, E. M.
W ipf ; cashier, C. C. McMahon.
Heads Merchants State
«
William A. Morris, formerly ad
jutant general and chief draft execu
tive of South Dakota, has been
elected president of the Merchants
State Bank of Redfield, South Da
kota. He succeeds his brother, S. E.
Morris, of Mitchell, who becomes
vice president and chairman of the
board of directors. Mr. W . A. Mor
ris has been vice president of the
Merchants State since his office as
adjutant expired. Other officers of
the bank remain the same.
Aberdeen Banker Married
John Clarke Bassett, president of
the Aberdeen National Bank of
Aberdeen, South Dakota, and South
Dakota member of the ninth fed
eral district of the federal reserve
bank, was married recently to Mrs.
Flora Thomas Tucker, of Milwau
kee, Wisconsin.
Sioux Falls Banks Show Gains
Banks of Sioux Falls, South Da
kota, reflect the changed conditions
over the country since farm prod
ucts commenced to rise after the
first of the year. Every one of the
eight banks in the city reports a
splendid gain in both deposits and
in liquidation where they had bor
rowed, and the published statements
of March 15 are held to be the best
evidence of the slow but sure trend
back to normal conditions.
Comparisons of the statements of
December 31, 1921, and those of
March 15 show marked gains. The
deposits total approximately $1,339,000 gain over the period less
than three months ago while four of
the banks report the entire comple
tion of their liquidations.
Bankers claim that 45 cent corn
and $10 and $11 hogs and March
settlements are responsible for the
gain which now shows the total de
posits in Sioux Falls to be over
$18,500,000.
The comparative statements on
deposits are as follow s:
B ank
D ec. 31, 1921 M ch. 15, 1922 I n c r e a s e
S io u x F a lls
S a v in g 's .. $ 4,337,384 $ 5,291,612 $ 954,000
S e c u r ity
N a tio n a l.
3,756,705
4,216,956
460,000
S io u x F a lls
N a tio n a l. 2,544,439
2,815,421
271,000
M in n e h a h a
N a tio n a l. 2,447,601
2,561,149
114,000
C o m ’ e r c ia l
& S a v ’ g s. 1,152,922
1,379,204
227,000
Da.k. T r u s t
& S a v ’ gs. 1,007,929
1,142,620
135,000
In tern a 927,206
tio n a l. . .
780,175
147,000
F ir s t S ta te
185,122
216,263
31,000
T o t a ls . . $16,212,277 $18,550,431 $2,339,000
Veteran Examiner Dies
Charles Arthur Fountain, aged
64, state bank examiner of South
Dakota, well known in banking cir
cles of the twin cities and the north
west, died recently at the home of
his daughter, Mrs. Frank Cannon,
at Watertown, S. D.
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Federal Reserve Bank of St. Louis
Convention Committee at Work
Dean PI. Lightner, cashier of the
Citizens Trust & Savings Bank of
Aberdeen, South Dakota, has been
elected chairman of the committee
on arrangements, by the Aberdeen
Clearing House Association for the
next convention of the South Dakota
Bankers Association, which will be
held June 7 and 8 in Aberdeen.
Mr. Lightner states that Aber
deen is preparing for the largest
bank convention ever held in the
state. The date has been set ear
lier this year to try to avoid the hot
weather of late June.
Aberdeen Banks Gain
Bank deposits of Aberdeen, South
Dakota, show a material gain in the
last three months, reflecting the im
proving trend of the times in that
vicinity.
Total deposits according to recent
bank statements show total deposits
of $6,779,040.53 in comparison to
what they were December 31, 1921,
when the total was $6,688,402.88.
Better corn and hog prices and the
March settlements have all had their
beneficial effect upon the deposit
accounts of the city and study of the
statements is warrant for a feeling of
optimism and better business tone
generally.
South Dakota Bank Statements
Figures have recently 'been re
leased showing the total business pf
South Dakota state and national
banks.
In detail the statements
show :
Total capital stock, surplus and
undivided profits :
State ............... ......... ........ $23,596,355
National ............. ..... ..... 10,321,000
T o ta l_________ _ ____ $33,917,355
Deposits—
State _______ _______ .... ..$134,700,670
National ............ ....... ....... 67,610,000
Total .................... ......$202,310,670
<•
Resources—
State .............. .......... ......$180,153,621
National ................. ..... 85,529,000
T o ta l___________ ......$265,682,621
68
THE
NORTHWESTERN
BANKER
V< Cotton has been grown
com m ercially in the
Southwest since 1909.
Today it is one o f the
principal crops o f this region
—and the basis for a welh
established and growing in
dustry in the fabrication of
cotton and c o t t o n s e e d
p r o d u c t s . The average
annual yield for the four
years 1918-1921 inclusive,
was 84,000,000 pounds.
4 , 1 \\.
W
J h
7Ê 3
Kesoiirces
Iceed
£l
),0 0 0 ,0 0 0 ° o
A recent investigation and report
by our Department o f Research
and Service presents some very
interesting and important facts
concerning o p p o rtu n itie s fo r
c o t t o n m i l l s in S o u t h e r n
California.
W e will gladly furnish informa
tion, without charge, to those
interested in industrial or agri
cultural opportunities in this
region.
S
F lIT T
T R T T V
& SAVINGS
--------------Q
SA
V I N GSS
c o m m
e r c i a l
t r ü st
B A N K
t
r
u
s
t
,
LOS A N G E L E S
¡M b
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Important essentials in the service offered by
the modern bank are quality and comprehen
siveness. W e have maintained the first through
our existence of more than a century. The
second is assured through our foreign, trust
and investment services, which supplement our
regular commercial banking functions.
P
Established 1810
The Mechanics & Metals National Bank
of the City of New York
Capital, Surplus and Profits $25,000,000
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Federal Reserve Bank of St. Louis
April, 1922
GUARANTY OF BANK DE
POSITS
(Continued from page 11.)
shareholders’ liabilities a sufficient
amount was realized to replace the
amount withdrawn out of the guar
anty fund and remaining assets then
turned over to the stockholders, so
there was no loss to the guaranty
fund. In the second case liquidation
has not been fully effected, but it is
estimated that there will be a recov
ery of 75 per cent on account of the
amount withdrawn from the guar
anty fund. In the third case it is
the judgment of the superintendent
that the guaranty fund will be reim
bursed to the extent of at least 80
per cent of the amount drawn to pay
the depositors.
Mississippi
The law providing for the guar
anty of deposits in state banks of
Mississippi was enacted in 1914, but
the banks were given until June 1,
1915, to put their affairs in such con
dition as to be admitted (or author
ized to do business under the de
positors’ guaranty law) or, failing
to do so, were required to go out of
business.
The first failure of a bank in the
system occurred in 1916, and from
that date to June 30, 1921, there
have been 12 failures, .the aggregate
capital being $576.000, surplus and
other profits, $349,894, and all other
liabilities, $6,318,882. These banks
had paid in to the guaranty fund the
sum of $21,000. The total receipts
from the assessments on all banks
up to June last aggreg-ated $558,933.44. From an analysis of the
statements submitted it would ap
pear that the loss to the guaranty
fund over and above the amounts
realized from the assets and share
holders’ liabilities of nine of the
failed banks would amount to over
$580,000. In one case the loss has
not been determined, and in the re
maining two the assets of the banks
were found to be sufficient to liqui
date the liabilities.
From an examination of the cor
respondence with the banking de
partment of the state, it would
appear that 6 of the 12 failures were
due to criminal acts or acts border
ing on criminality, 3 to general busi
ness conditions, and 3 due to misjudgment of the examiner. It is un
derstood that the statement relative
to the third case relates to the re
ported condition of those banks at
the time they entered the guaranty
system.
“ The theory” (guaranty of bank
deposits), states a well-known finan
cial writer in a recent publication,
“ is that of insurance, but it has cer
tain fundamental weaknesses which
April, 1922
THE
are more serious in their effects
upon banking than in their relation
to most other kinds of business to
which insurance is applied. Insur
ance is sound as a protection against
unavoidable hazards, but dangerous
whenever it tends to increase the
hazards. The insurance or guar
anty of bank deposits tends to in
crease the hazards by eliminating
the value of character as a banker’s
asset. It tends to make all banks
look alike to the public, and puts
the careful, conservative banker,
who is unwilling to make large
promises and take large chances, at
a disadvantage. The theory is at
fault in placing more emphasis upon
the payment of depositors after a
bank has failed than upon prevent
ing failure. Its weakness always
develops in a crisis.”
Oklahoma
In 1908, the year following the ad
mission of Oklahoma into the Union
of States, the legislature passed, and
the governor approved, an act for
the protection of depositors in banks
of that state through a guaranty
fund created by assessments upon
the banks, based upon their average
deposits.
The popularity of this legislation
was manifested in the liquidation
and reorganization as state banks
of 30 national banking associations
in 1908 and 52 in 1909. From 1910
to 1921, inclusive, 51 additional na
tional banks in Oklahoma liquidated
for the purpose of reorganizing as
state banks. Of the total number
of national banks liquidated for the
purpose in question 36 subsequently
re-entered the national system by
conversion or reorganization, leav
ing the net loss to the national bank
ing system of 97.
In May, 1908, there were in opera
tion in Oklahoma 494 state banks,
with capital of $6,640,000, total de
posits of $21,212,000, and assets
amounting to $29,645,000. On the
same date there were 309 national
banks, with capital of $12,212,000,
deposits of $44,705,000, and assets
of $70,517,000.
On June 30, 1921, there were 622
state banks, with capital of $15,551,000; deposits, $146,789,000, and as
sets of $180,235,000. The number of
national banks was 359; capital,
$24,168,000; deposits, $239,997,000,
and total assets of $318,428,000.
During the existence of the guar
anty system up to November 1, 1921,
there have been closed some 95
banks, the capital at date of clos
ing, exclusive of 8, the amount of
capital of which was not reported,
aggregated $1,935,500, and deposits
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Federal Reserve Bank of St. Louis
NORTHWESTERN
BANKER
69
70
THE
NORTHWESTERN
BANKER
CHAS. L. NICHOLSON, President
Dakota
H. R. WOOD, Secretary
The
Inter-State
Surety Co.
Redfield,
South Dakota
Life
Insurance
Company
Kmf
A surety company owned
and operated by South D a
kota people for the conven
ience of its citizens.
We write Fidelity and Sur
ety Bonds, Plate Glass and
Bank Burglary Insurance
and with our location and
familiarity with local con
ditions are in position to
render prompt and efficient
service.
Paid Up Capital
$133,700
Surplus and Reserve
$126,978
Watertown
South Dakota
rir
A Strong Old Line
Legjal Reserve Company
Past the Experimental Sta^e
TwoGeneral AgencyContracts open. Adequate
financial support to the
General Agent and as
sured bank connections.
Bond required.
U W E R Y department in this bank is
^
organized and maintained to give
our customers that help and constructive
advice which is natural to expect from
a solid banking connection.
We invite you to call and become
acquainted.
Capital and Surplus, $ 7 ,0 0 0 ,0 0 0 .
C
entr al
T
rust
of ILLINOIS
C H I C A G O
C
ompany
April, 1922
guaranteed in the sum of approxi
mately $11,050,000. It is reported
that there has been collected from
assessments on the banks of the
state and placed to the credit of the
state fund approximately $3,645,000;
collections from assets of failed
banks, $1,931,000.
The law provides that if at any
time the depositors’ guaranty fund
shall be insufficient to pay the de
positors of failed banks, the bank
ing board shall have authority to
issue certificates of indebtedness,
known as “ Depositors’ guarant}'
fund warrants of the State of Okla
homa,” in order to liquidate the lia
bilities to depositors. The warrants
bear 6 per cent interest from the
date of issue and are a first lien upon
the depositors’ guaranty fund when
collected, as well as a first lien upon
the capital, surplus, and undivided
profits of each and every bank oper
ating under the banking laws of the
state to the extent of the liability of
any such bank to the depositors’
guaranty fund.
When a bank is closed the gen
eral policy of the banking depart
ment has been to provide for the
organization of a new bank, giving
to it the assets of the closed bank
thought to be collectible, and the
deficit paid to the new bank to pro
tect the deposits, the banking board
endeavoring to realize upon the as
sets so turned over to the bank.
The closing of 42 of the 95 banks
was due to a decline in the value of
the assets, poor management, and
slow loans, inability to realize on
loans, injudicious investments, and
shrinkage in deposits. In 34 cases
closing was due to criminal acts on
the part of officers, including em
bezzlement, misapplications, or use
of the banks’ funds in speculation
for private gain. In 19 cases the
cause of closing is not of record
here.
From the incomplete data at com
mand it would appear that of the
closed banks some 66 were taken
over by other banks, reorganized or
placed in solvent condition and au
thorized to continue business, and
that 16 banks liquidated or are in
process of voluntary liquidation.
Reports have been received to the
effect that from November 1, 1920,
to November 30, 1921, 44 banks in
Oklahoma have been closed.
Within the past few weeks 56
applications have been received in
this office for the conversion or re
organization as national banks of
state banks in Oklahoma.
An investment in knowledge pays
the best dividends.— Ben Franklin.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
April, 1922
THE
NORTHWESTERN
Richmond Trust Company
In his annual report to stockhold
ers, submitted recently, John Skel
ton Williams, chairman of the
board of the Richmond Trust Com
pany, included
two interesting
paragraphs regarding the growth of
Richmond and his institution. He
said in part:
“ Despite the shrinkage which
has been sustained throughout the
country by business interests of all
kinds in the past year, the record
of this company in essential mat
ters of volume of deposits and num
ber of depositors showed the great
est growth and progress of any year
since the company’s organization in
1912. Deposits increased $1,093,465, or approximately 100%.
“ The City of Richmond has
reached a degree of prominence and
importance, commercially and in
dustrially, which it never enjoyed
before and the possibilities now for
new business and the outlook for
the growth and development of
well managed banking institutions
I believe to be greater than at any
time in the history of the city.”
71
BANKER
Organized
1889
For C orrespondent
Banks
We provide a well rounded service,
including collections, purchase and
sale of securities, credit and other
information, advertising suggestions
— anything, in f a c t which a large
city bank can do for its correspon
dent.
Out Where the West Begins
By Arthur Chapman.
THE NORTHERN
TRUST CO.-BANK
Out where the hand clasp’s a little
stronger,
Out where the smile dwells a little
longer,
That’s where the West begins;
Out where the sun is a little brighter,
Where the snows that fall are a trifle
whiter,
And the bonds of home are a wee bit
tighter,
That’s where the West begins!
Out where the skies are a trifle bluer,
Out where friendship’s a little truer,
That’s where the West begins;
Out where a fresher breeze is blow
ing,
Where there’s laughter in every
streamlet flowing,
Where there’s more of reaping and
less of sowing,
That’s where the West begins!
Out where the world is in the mak
ing,
Where fewer hearts in despair are
aching,
That’s where the West begins;
Where there’s more of singing and
less of sighing,
Where there’s more of giving and
less of buying,
And a man makes friends without
half trying—
That’s where the West begins!
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Capital and Surplus $5,000,000
La Salle and Monroe Streets
1
1
-
Chicago
_____________ _____ __ __________ _________________________________________________
A Dependable Bank
T h is b a n k h a s n e v e r r e fu s e d a lo a n to a c u s t o m e r on a c c o u n t
o f th e c o n d itio n o f th e m o n e y m a r k e t. W h e n it h a s b e e n n e c e s
s a r y to r e d is c o u n t w it h th e F e d e r a l R e s e r v e B a n k in o r d e r to
m e e t th e le g it im a t e r e q u ir e m e n t s o f o u r c u s t o m e r s w e h a v e n o t
h e s ita t e d to do so. W e b e lie v e th a t th e F e d e r a l R e s e r v e B a n k ,
in w h ic h w e a re a m e m b e r a n d s t o c k h o ld e r , w a s e s t a b lis h e d f o r
th a t p u r p o s e .
,,
„
,
A t th e d a te o f th e la s t C o m p t r o lle r ’s c a ll w e h a d n o r e d is c o u n t s ,
b u t o u r c u s to m e r s , w h e th e r b a n k s , c o r p o r a t io n s o r in d iv id u a ls ,
m a y r e ly u p o n us to c o n t in u e th e sa m e p o lic y , w h e n n e c e s s a r y ,
on th e ir b e h a lf.
7fie National (Tty Rank
o f (IlICAGO
D A V ID R . F O R G A N , P resid en t
B an k s a n d B an k e rs D e p a r t m e n t
F R E D A . C R A N D A L L , V ice P resid en t
S. P . J o h n so n , A s s t. C ashier
R . V . K elley , A sst. C ashier
1
72
THE
NORTHWESTERN
CORN EXCHANGE
NATIONAL BANK
BANKER
April, 1922
All Set— Let’s Go
OF CHICAGO
FRINK
C a p i t a l .......................... $ 5,000,000
Surplus and Profits .
10,000,000
D e p o s i t s ..................... 115,000,000
New Offices
At Your Service
Sixty-four years of Frink experience in solv
ing special lighting problems is made even
more immediately available to you by the
opening of our new offices in principal
centers.
All of our managers are well qualified, by
years of experience in handling Frink Re
flectors and Lighting Specialties, to give re
liable information and advice on special
lighting effects of every kind for
BANKS
STORES
ART GALLERIES
CHURCHES
SCHOOLS
THEATRES
HOSPITALS
RESIDENCES
PUBLIC BUILDINGS
Call, Phone or Write
Chicago ,
il l .
San Francisco , Ca l .
Monadnock Bldg.
Tel. Harrison 1977
Mr. Frank Getchell,
Manager
Cleveland ,
o
.
77 O’Farrell Street
Telephone Sutter 5333
Mr. Herbert C. Storm
Manager
PHILADELPHIA, PA.
336 The Arcade
Telephone Main 7808
Mr. Frank Reske,
Manager
Franklin Trust Bldg.
Mr. C. E. Fairbanks,
Manager
Cin c in n a t i , O.
161 Summer Street
Telephone Beach 7427
Mr. Daniel Fitts and
Mr. Harold Morse
Managers
Boston ,
O F F IC E R S
E R N E S T A . H A I I I L L , C h a irm a n o f th e B o a rd
E D M U N D D . H U L B E R T , P r e s id e n t
C H A R L E S U . H U T C H I N S O N , V ic e P r e s id e n t
O W E N T . R E E V E S , J R ., V i c e P r e s i d e n t
J. E D W A R D M A A S S , V ic e P r e s id e n t
N O R M A N J . E O R D , V ic e P r e s id e n t
J A M E S G . W A K E F I E L D , V ic e P r e s id e n t
E D W A R D F . S C H O E N E C K , C a s h ie r
L E W I S E . G A R Y , A s s is t a n t C a sh ie r
J A M E S A . W A L I i E R , A s s i s t a n t C a s h ie r
C H A R L E S N O V A K , A s s is t a n t C a sh ie r
H U G H J . S I N C U A I R , A s s i s t a n t C a s h ie r
D IR E C T O R S
W A T S O N F . B L A IR
CHARLES
H. HULBURD
CHAUNCEY B. BORLAND
E D W A R D B. BU TLER
B E N J A M IN C A R P E N T E R
CLYDE M. CARR
C H A S . L . H U T C H IN S O N
JO H N J. M IT C H E L L
M A R T IN A . R Y E R S O N
J. H A R R Y S E L Z
H E N R Y P. C R O W E L L
E R N E S T A . H A M IL L
EDM UND D. H ULBERT
E D W A R D A . SH EDD
R O B E R T J. T H O R N E
CHARLES H. W AC K ER
17 Greenwood Bldg.
Telephone Canal 2640
Mr. R. M. Booth
Manager
m ass .
You can count on prompt and personal attention to
your requirements.
LP FRINK, Inc
24th Street and 10th Avenue
New York City
C h icago , I I I .
M onadnock Bldg.
B oston , M a s s .
161 Sum m er Street
D etroit , M ic h .
325 S ta te S treet
S a n F r a n c is c o , C a l .
77 O’F a rrell S treet
L o u is v il l e ,
415 W e st M ain
C leveland , O.
336 The A rca d e
S e a t tle , W a s h .
609 Seaboard Bldg.
P h il a d e l p h ia , P a .
F ra n k lin T ru st Bldg.
C in c in n a t i , O.
17 G reenw ood BÌdg.
Ky.
Street
Readers will confer a favor by mentioning TH E N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
'ill
THE
April, 1922
NORTHWESTERN
BANKER
73
N E B R ASK A B A N K N E W S
Cedar County Bankers Meet
Despite the inclement weather
about 50 members of the Cedar
County, Nebraska Bankers Asso
ciation met in Laurel, Nebraska, at
the call of President A. R. Collins,
for a recent meeting.
After luncheon a number of visit
ing bankers responded to toasts. F.
O. Robinson, County Treasurer,
presided as toastmaster. Those re
sponding were : W. S. Weston, vicepresident, Peters Trust Co., Oma
ha, Nebraska; C. H. Randall, presi
dent, Nebraska Bankers Association
and member of Nebraska Commit
tee, War Finance Corporation, Ran
dolph, Nebraska; W. T. Graham,
vice-president, First Trust Co
Omaha, Nebraska; J. L. Mitchell,
vice-president, First National Bank,
Sioux City, Iowa.
A round table discussion was held
in the afternoon at which a num
ber of questions were discussed.
Committees were appointed by the
president to formulate plans for the
organization of a Protective Asso
ciation and Vigilance Committee as
protection against hold-ups and
robberies.
A committee was also appointed
to investigate tax assessments of
real estate in Cedar county and en
deavor to have same reduced.
A spirit of optimism and good
feeling prevailed and there were
many more smiles than a year ago.
Buys Commercial National
The Commercial National bank of
Fremont, Nebraska, has gone into
voluntary liquidation.
Its assets
and liabilities have been purchased
by the Union National bank of that
city.
Johnson Succeeds Boatsman
F. H. Johnson has been elected
president of the Farmers & Mer
chants bank of Sterling, Nebraska,
to succeed John Boatsman, who re
signed. John Otterberg has been
elected cashier and D. Eilers, assist
ant cashier.
R. E. Planck Resigns at Arlington
R. E. Planck has resigned as cash
ier of the Arlington State Bank of
Arlington, Nebraska. His resigna
tion makes way for A. O. Hawkins,
of Earlham, Iowa, as cashier. Mr.
Planck will connect with a building
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Federal Reserve Bank of St. Louis
and loan association as travelingrepresentative.
Mr. Hawkins was formerly with
the Winterset Savings Bank, Winterset, Iowa and more recently was
with the Citizens State Bank of
Earlham. He has had eleven years
of banking experience and is well
known among the banking frater
nity of his section of Iowa.
S. H. Luken Quits Banking
S. H. Luken has resigned as
cashier of the First National Bank
of Wynot, Nebraska, to become as
sociated with a hardware and fur
niture firm in that city.
Becomes Cashier at Wilsonville
Frank Smith, for two years con
nected with the Security Bank of
Creighton, Nebraska, has acquired
a substantial interest in the Home
State Bank of Wilsonville, Nebras
ka, and has been elected cashier of
that institution.
Rebuild at Fremont
The home of the Nebraska Build
ing & Loan Association, the Fre
mont State Bank and the Fremont
Toint Stock Land Bank of Fremont,
Nebraska, which was damaged by
fire last spring, has just been rebuilt
and the doors of the improved quar
ters were thrown open to the public
recently.
The remodeled building is two
stories in height, with four massive
columns of marble in front. A tiled
vestibule, lobby of marble, and ma
hogany fixtures are features of the
new banking home.
Officers of the Fremont State,
who are likewise interested in the
other two firms are : President, Dan.
V. Stephens; vice president, L. E.
May; cashier, J. M. Sorenson.
A unique feature of the open
house held by the bank on the oc
casion of occupying its new quar
ters, was the invitation extended its
friends, reading as follow s:
“ A big feast will be offered the
guests, but the menu will consist
of smiles of welcome, a hearty hand
shake and an invitation to inspect
the recently occupied building. For
dessert, the visitors will receive a
warm invitation to come again,”
Bushnell Banks Consolidate
The Farmers State Bank and the
Bushnell Bank, of Bushnell, Ne
braska, have been consolidated un
der the name of the Farmers State
Bank.
Carter Peirce Resigns at Elmcreek
Carter Peirce has resigned as
cashier of the Farmers and Mer
chants Bank of Elmcreek, Nebraska,
and will move to Kearney, to enter
business with his father. His stock
has been purchased at Elmcreek by
D. A. Lynch, who likewise succeeds
Mr. Pierce as cashier of the bank.
Heads Omaha National
Ward M. Burgess, for the last
fifteen years vice president of the
Omaha National Bank, has been
made chairman of the board of di
rectors of that institution to fill the
vacancy made by the recent death
of former Senator J. H. Millard. Mr.
Burgess has been a member of the
board of directors of that institution
for twenty years.
Walter W . Head, president of the
Omaha National Bank, has been
elected president of the Omaha
Trust Company.
Farmers State, Obert
Total resources and liabilities of
the Farmers State Bank of Obert,
Nebraska, according to a recent
statement, are $237,702.29, with de
posits of $181,264.79. This institu
tion which is capitalized at $26,000,
has the following officers : President,
W. S. W eston; vice president, J. C.
Robinson; cashier, Carl A. Peder
sen; assistant cashier, Ludvig Nedergaard.
State Agricultural Loan Ass’n
Active work has been started by
the State Agricultural Loan Associa
tion of Nebraska, organized with
$500,000 authorized capital, and made
up of prominent bankers throughout
the state. What the association plans
to accomplish can best be summed up
in the following paragraphs :
1—
Turn into cash one million dol
lars of assets in hands of receivers,
without possibility of loss, and put it
back into the guaranty fund.
2—
Secure from the War Finance
Corporation the cash to pay depositors
at Octavia, Springfield, Table Rock,
Obert, Kilgore, Dunning, Winside,
74
THE
NORTHWESTERN
BANKER
April, 1922
Gurley, Plattsmouth and Fairbury,
Officers of the association are:
American State, Kimball
and thus relieve the guaranty fund for President, Albert L. Schantz; presi
Earl Bicknell has resigned as as
the present.
dent State Bank of Omaha; vice
sistant
cashier of the American
3—
Relieve state banks of any spe
president, Elmer Williams, Commecial
cial assessment to bring the guaranty State Bank of Grand Island; secre State Bank, of Kimball, Nebraska,
fund up to 1% in 1922, which special tary, J. P. Palmer, Omaha; Dan V. and has gone to Wyoming to prove
assessment will undoubtedly be neces Stephens, W. A. Sellick, I. D. Clarke, up on a claim which he secured at
a land drawing in that state last fall.
sary if the above failures are paid out J. H. Catron and A. M. Engles.
He is succeeded at the State Bank
of the guaranty fund.
by Charles O. Lockwood.
4—
Secure right away for all state
Polk County, Nebraska
banks the relief contained in the pro
posals for deferred payment of de
Bankers of Polk county, members
Wm. Rayer Assistant Cashier
positors, yet give the depositors im of the Polk County Bankers Asso
Wm. Rayer has been elected as
mediate payment.
ciation, Nebraska, held their annual
5—
Defer the actual payment out of
meeting at Stromburg, where the sistant cashier of the Creighton
the guaranty fund until a considerable following officers were elected for Nebraska. He has been connected
part of the assets have been liquidated the year: President, A. F. Nuquist, with that institution for a period of '
so that the guaranty fund finally pays Osceola, E. C. Nordlund, Stroms- nine years.
only the balance, not the total neces burg,
vice-president ;
secretarysary now.
treasurer, John Polk.
Is Elected Assistant Cashier
6—
Prevent failure, and the result
F. E. Dillman has been elected as
ant loss of value of assets when placed
Installs Wireless Outfit
sistant cashier of the Farmers &
in hands of a receiver, in such cases
where, in the judgment of the officers
The State Bank of Nelson, Ne Merchants State Bank of McCook’
and directors of the loan company it braska, has installed a radio tele Nebraska. He has been engaged of
can be done with safety.
phone outfit to secure daily market late months in the grain business at
7—
Prevent dragging out of receiv
reports for its customers. These are Curtis, prior to which time he was
erships by the company buying up re posted daily on a bulletin board in cashier of the First State Bank at
maining assets for any amount short the bank. The State Bank is likewise Traer, Kansas.
of the amount for which the failure entertaining its patrons with even
drew on the guaranty fund. As the ing concerts, that are sent out each
I find the great thing in this world
money so paid would flow directly week from Denver, Omaha, Pitts is not so much where we stand, as
back to the guaranty fund, the state burg, Des Moines and other radio in what direction we are moving.—
banks could not possibly lose a cent. centers.
Oliver Wendell Holmes.
Keeping Step with Progress
For more than a half century the history
of The Omaha National Bank has been
one of steady, conservative progress.
Without merger or consolidation with
any other bank, this institution has con
stantly advanced through periods of sun
shine and shadow, prosperity and panic,
peace and war, until today it ranks
among the strongest financial institutions
of the middle-west.
The Omaha National Bank
Omaha, Nebraska
Capital and Surplus
-
$2,000,000.00
Readers will confev a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
April, 1922
«
THE
The Business Youth’s Education
Many successful business men re
gret the fact that they never had a
college education. They feel a sense
of loss because of lack of culture
and ignorance of literature and lib
eral learning, and almost without
exception see to it that their sons
and daughters have educational op
portunities they lacked.
But the young man in business
today, deprived of scholarship, need
not lose heart if he has mastered the
fundamentals of common school
textbooks. Education is not all
knowledge. Indeed, its vital essence
is schooling the brain to do sound,
straight thinking, and that may be
learned in the every day routine of
business employment. It has not
been a generation since that col
lege life was regarded by business
leaders as a distinct handicap to a
successful business career.
Business itself is a highly special
ized education of which most college
graduates, when freshly laid, are
densely ignorant, and of which
many of them remain ignorant all
through life to their final sorrow.
It is a fine thing to know literature,
the arts and the sciences; but that
knowledge frequently robs men of
proficiency in the competition for
bread and butter and a competence.
The elegances of life cannot com
pare with efficiency and earning
power, and can be acquired outside
university walls, and have been so
acquired in many notable instances.
W e all dislike to feel inferior to
our fellow s; but our guess is that
many a highly educated and polished
man feels with much bitterness his
inferiority to capable business men,
and would gladly exchange all his
social and other advantages as a
college man for a small portion of
the money earning power of a well
trained business man. So the young
man in business, whose schooling
since his boyhood has been in trade
and industry, may well be thank
ful for his business education ; and
later, if he desires, may mend his
deficiencies in culture by good read
ing and study.— Chicago Journal
of Commerce.
Do You Know—
That— The last silver dollars were
coined in 1904. After that the Sher
man Act was repealed, and the treas
ury department had no authority to
buy more silver for the coinage of
silver dollars until the passage of the
Pitman Act in April, 1918. Silver is
now being accumulated under that
act, which may be used to replace
the silver dollars which were melted.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
NORTHWESTERN
75
BANKER
S A F E T Y — Plus
We solicit your business
on our record.
The United States National Bank
OMAHA
“ T h e O n l y B a n k in t h e U n i o n S t o c k Y a r d s ”
GROW TH
AN 1)
E X P A N S IO N
OF
A
B U S IN E S S
HAVE
MADE
S P E C IA L IZ IN G
N E C E S S IT Y
A n y b a n k w h o s e c u s t o m e r s a r e e n g a g e d in th e liv e s t o c k b u s in e s s w ill r e a liz e
th e n e c e s s it y o f a c o r r e s p o n d e n t t h a t s p e c ia liz e s in th e h a n d lin g o f liv e s t o c k
c r e d it s . W e a re p r e p a r e d to s e r v e y o u in t e llig e n t ly a n d e fficie n tly .
STOCK YARDS NATIONAL BANK of South Omaha
W e are th e C lea rin g H ou se fo r th e Live S to c k B u sin ess o f th e O m a h a S to c k Y a rd s.
Ford
J. C.
J. ¡3.
J. S.
E. Hovey, President
French, Vice President
Owen, V. Pres, and Cashier
King, Vice President
O F F IC E R S
F. J. Enerson, Vice President
W . L. Pier, Vice President
H, C. IVliller, Assistant Cashier
W . H. Dressier, Asst. Cashier
C . L. Owen, Assistant Cashier
T . G. Boggs, Auditor_________
Country Banks Accounts
Receive the best service in collecting their
Live Stock Returns and Grain Drafts.
J. F. CO AD, President
H. C. Nicholson, V. P. and Cashier
76
THE
NORTHWESTERN
BANKER
April, 1922
Guaranty Trust Company of New York
New York
London
Paris
Brussels
Liverpool
Havre
Antwerp
Constantinople
CONDENSED STATEMENT, MARCH 10, 1922
RESOURCES
L IA B IL IT IE S
Cash on Hand, in Federal Reserve Bank and Due1
from Banks and Bankers________
Capital _______________________________________________$ 25,000,000.00
$119,404,233.09
U. S. Government Bonds and Certificates_________
39,226,006.72
Public
33,452,692.60
Securities
_______________________________
Other S ecu rities_____________________________________
Surplus F u n d ___________________
15,000,000.00
Undivided P r o fit s __________________________________
2,400,090.11
$ 42,400,090.11
24,515,191.19
Loans and Bills Purchased_________________________ 310,900,570.51
Accrued Dividend _ _ _______________________________
Real Estate Bonds and Mortgages________________
2,693,316.67
Accrued Interest Payable and Reserves for Taxes
Foreign E x ch a n g e ___________________________________
2,571,787.45
583,000.00
and Expenses and Other Liabilities___
23,492,338.12
Acceptances— New Y ork Office_____________
14,352,665,42
Credits Granted on Acceptances____________________
19,532,605.22
Real Estate __________________________________________
8,537,165.41
Accrued Interest and Accounts Receivable_______
14,680,110.53
Deposits --------------------------------------------------------------------- 479,148,463.76
$575,513,679.39
$575,513,679.39
Foreign Offices _____________________
Outstanding Treasurer’s Checks_____________
v
5,179,939.80
10,357,182.18
c\
m A -A, f i
at
H ome
and
TH E
NATIONAL
OF NEW YORK
214 Broadway
Trust Department
Safe Deposit Vaults
Foreign Exchange Department
Securities Department
Credit Department
Serving Financial Institutions
Since 1856
Readers will confer a favor by mentioning TH E N OR TH W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
April, 1922
THE
Obedience
By Elbert Hubbard
The first thing in the common
sense creed is obedience. Do your
work with a whole heart. Revolt is
sometimes necessary, but the man
who mixes revolt and obedience is
doomed to disappoint himself and
everybody with whom he has dealings.
To flavor work with protest is to
fail absolutely. When you revolt,
why, revolt— climb, get out, hike,
defy. Tell everybody and every
thing to go to hell! That disposes
of the case. You thus separate your
self entirely from those you have
served. No one misunderstands
you. You have declared yourself.
But to pretend to obey, and yet to
carry in your heart the spirit of re
volt is to do half-hearted slipshod
work.
Teach Folks to Spend
By Roger W. Babson
Folks will spend their money,
spend every cent of it, unless they
bury it in the ground. W hat’s more
you can’t keep them from it. They
spend it just as soon as it comes in
from one of two kinds of things.
If a man spends a dollar for con
sumption goods— something he will
use up or wear out without produc
ing anything of commercial value,
he has given one man one job. He
has given the man who made it one
job of making it. It is soon worn
out and gone forever.
If he spends that dollar for a tool
he is buying production goods. He
has not only given the toolmaker a
job, but he himself will produce
much more with the aid of the tool
than he could have without it. Fin
ally it is worn out and gone.
Now, if the man “ spends” his dol
lar at the bank he buys 4 per cent
or 5 per cent income. Any time he
doesn’t like his purchase he can get
his money back. Further, the bank
loans that dollar to someone so that
a factory can be built and machinery
installed. The factory gives work
to a thousand men for a lifetime.
The world is richer by all the fac
tory produces— and the dollar never
wears out— it goes on earning an in
come each year and is always there
when you want it. Bankers have a
commodity to sell even as the baker
and the butcher.
Come out from behind the ma
hogany and marble and sell your
goods to the good folks of your com
munity.
Teach them to spend at your
bank.— Successful Banking.
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Federal Reserve Bank of St. Louis
NORTHWESTERN
77
BANKER
Your Customers and Ours
T P YOUR customers deal in fruit, produce, eggs and dairy products, the
logical market for their surplus is New York City.
Because the
Atlantic National Bank numbers among its customers many dealers in
these very lines, it is familiar with the great wholesale district and
specializes in the prompt collection of bill of lading drafts. Consequently,
we offer a quick, intelligent service of particular value in the marketing
of perishable and semi-perishable products.
National Bank
257 Broadway-Opposite CityHall
NEW YOR K CITY
WALTER H. RHODES
Confidential Bank Broker
B A N K S and B A N K
STOCKS
O M A H A
of interest on live stock collections if the Live
Stock National Bank is your Omaha correspondent
Live Stock National Bank
UNION STOCK YARDS
OM AHA
78
THE
NORTHWESTERN
BANKER
April, 1922
A Complete
Financial Service
W
ITH enlarged facilities and greater
resources The Seaboard National
Bank, now located in its new modern
equipped bank building, is in a position to
render its customers and friends a financial
service of larger scope than heretofore—and
a service, too, that will meet your every re
quirement.
Worthy of an Introduction
TRAVELERS'
4
A
4L
.
X )
xV .
American.
t
Association C h e q u e s
have proved themselves worthy of an
Our officers will welcome the opportunity
to explain in detail the benefits you can de
rive from it in a personal and business way.
cheques have traveled the world around
The Seaboard National Bank
and brought financial comfort and safety
to people in many lands.
introduction to your customers.
These
of the City of New York
Broad and Beaver Streets
Capital, Surplus and Profits Over
Eight Million Dollars
For full information and literature write to
Ba n k e r s t r u s t c o m p a n y
New York City
A Fund
of Information
You will find a hearty welcome at The
Girard National Bank when making
any and every request for information
on banking or financial matters.
The
accumulated knowledge of ninety
years is at your service.
T h e G ir a r d N a t io n a l B a n k
PHILADELPHIA
The New Yo<-k Corresponden! of Over 4000 Bonks
-------- --------- ------
-----
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Federal Reserve Bank of St. Louis
April, 1922
THE
NORTHWESTERN
BANKER
79
M IN N E SO T A B A N K N E W S
Buy Stock at Alden
The stock in the Security State
Bank of Alden, Minnesota, owned
by Ralph Olson and A. E. Erick
son, has been sold to Thos. Elling-son of Albert Lea and his associates.
Mr. Erickson has resigned as cash
ier of the Security State, a position
he has held for eight years. Before
becoming connected with that bank
he was with the First State Bank of
Tw o Harbors and the First National
at St. Cloud.
Mr. Erickson is suc
ceeded at,Alden by Thos. Ellingson,
formerly with the Citizens National
Bank of Albert Lea, Minnesota.
Capital Stock Doubled
The capital stock of the Duluth
State Bank of Duluth, Minnesota,
has been increased from $100,000 to
$200,000. The institution also has
a surplus of $50,000. A new bank
building now under process of con
struction, will soon be ready for
occupation. Officers who are in
charge of the management of the
bank are: President, Dr. J. J. Eklund ; vice-president, P. George
Hanson; cashier, F. G. Beamsley;
assistant cashiers, N. Eytcheson and
R. S. Carlson.
Honor Former Postmaster
E. A. Purdy, formerly postmaster
in Minneapolis, and recently elected
vice-president of the Wells-Dickey
Company of that city, was honored
by a dinner given him at the Ath
letic Club by the Real Estate Board
of which he has been an active mem
ber for several years.
Celebrates Fortieth Anniversary
Many friendly greetings, three
thousand visitors and a wealth of
birthday greetings made a gala oc
casion of the fortieth anniversary of
the Fergus Falls National, Fergus
Falls, Minnesota. In speaking of
the event, President Joseph S. U1land makes the following comment:
“ W e had no idea of what a howl
ing success our birthday party
would be. Judging from a careful
estimate we calculate that we had
between 2,500 and 3,000 visitors.
They were served with coffee, home
made doughnuts and cake, Eskimo
Pie and good cigars.
“ It was a most successful affair
and a very happy event in every par
ticular. W e were delighted to see
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Federal Reserve Bank of St. Louis
our many friends. If one wanted to
judge the affair from a purely self
ish standpoint, that of advertising,
we can think of no manner by which
it might have been better done.”
The Fergus Falls National Bank
was organized in 1882 and was
known as the Merchants bank. It
began business in a frame building
on Lincoln avenue west and was
capitalized at $50,000.
Mr. Ulland became a large
stockholder through buying the
Shumway holdings and was elected
vice president. E. J. Webber was
elected president of the bank in 190-1
and in 1906 Mr. Ulland became its
president and has remained in that
position -ever since. H. G. Dahl,
who had acted as assistant cashier,
became cashier of the bank follow
ing the death of Mr. Evans.
' Consolidate at Hutchinson
The Hutchinson State Bank and
the Farmer & Merchants State
Bank of Hutchinson, Minnesota,
have been consolidated under the
name of the Farmers & Merchants
State Bank with a capitalization of
$60,000. Officers of the newly
merged institution are : President,
Hans Jensen; vice-president, F. J.
Thul ; cashier, A. R. Quast ; assis
tant cashier, H. R. Jensen. Deposits
of this bank now total $750,000. The
corporate existence of this bank has
been renewed to May 4, 1952.
Resigns Cashiership at Buffalo
Carl C. Hafften, assistant cashier
and cashier of the First National
Bank of Buffalo, Minnesota, for the
past four years, has resigned as cash
ier to look after his farming inter
ests in Buffalo township. He is
succeeded as cashier at the First
National by E. Seifert, formerly as
sistant cashier.
Hibbing Banks Buy Bonds
The Council at Hibbing, Minne
sota, has accepted the bid of the
First National and the Merchants &
Miners State banks of Hibbing for
$2,000,000 of bonds at par and ac
crued interest, together with an
agreement to cash village warrants
issued after February 15 for the re
mainder of the year at par.
Security Bank, Pipestone
At the annual meeting of the Se
curity Bank of Pipestone, Minneso
ta, Oscar E. Ashton, was elected
president. Other officers elected
are : J. H. Robson and G. A. Boehmke, vice-presidents ; G. L. Argetsinger, cashier ; C. D. Ott, assistant
cashier. Mr. Ashton was formerly
vice-president, and is a son of the
late R. W. Ashton, Pipestone county
pioneer and founder of the Security
Bank.
W. H. England With First National
W. H. England, until two years
ago, cashier of the First National
Bank of Lamberton, Minnesota, has
entered the farm loan and insurance
department of the First National
Bank of Buffalo, Minnesota.
Installs New Safe
A new burglar-proof safe has been
installed by the First National Bank
of Albert Lea, Minnesota, adding to
the already strong protective fea
tures of this institution.
R. B. Rathbun New Bank Chief
R. B. Rathbun, cashier of the
Merchants State Bank of Detroit,
Minnesota, has been appointed
State Bank Examiner in Minnesota
by Governor Preus, following the
resignation of former Superinten
dent S. B. Duea. He has already as
sumed the duties of his new posi
tion.
Mr. Rathbun is a young man of
thirty-three years, and is a gradu
ate of the university of Minnesota.
He has a worthy war record having
been a major in the 88th division
during the World War. His father
was for years a national bank ex
aminer and is now engaged in the
banking business in Missouri.
Land Bank Holds “ Open House”
Seventy-five employes of the St.
Paul Farm Land Bank held an en
joyable “ house-warming” prior to
moving into the new Land Bank
building at Fourth, and Minnesota
Streets, St. Paul. Thé evening was
spent in dancing and card playing.
First National Remodeled
The building of the First National
Bank of Park Rapids, Minnesota,
which suffered severely from fire
80
THE
NORTHWESTERN
BANKER
F IR S T N A T IO N A L B A N K
MINNEAPOLIS, MINNESOTA
Statement of Condition March 10, 1922
RESO UR CES
L IA B IL IT IE S
Loans and Discounts____ $43,382,567.74
O v e rd ra fts_______________
25,602.87
United States Bonds____ _ 3,233.316.79
U. S. Certificates of In
449,900.00
debtedness _____________
Other Bonds and Securi
ties _____________________
1,147,394.76
Bank Building and other
Real E s ta t e ____________
950,000.00
Customers’ Liability A cc’t
Letters of Credit and
A cceptances____________ 2,750,477.48
Cash on hand and due
from B a n k s ____________ 23,964,346.81
Capital Stock
_ _
.$ 5,000,000.00
Surplus
.
5,000,000.00
Undivided Profits
.
1,059,952.98
Circulation
.
1,784,100.00
Letters of Credit and Acceptances
.
2,611,557.48
Taxes Accrued
Deposits
212,152.16
. 60,235,843.83
$75,903,606.45
$75,903,606.45
The stockholders of the F irst National Bank
and Minneapolis Trust Company are identical.
n
April, 1922
damage at Christmas time, has been
fully repaired. Officers of this in
stitution are: President, A. G.
W edge; vice-president and cashier,
G. H. French; vice-president, W. M.
Taber; assistant cashiers, M. C.
Schoneberger and H. L. Wray.
Is Candidate for State Senator
C. L. Hansen, president of the
First National Bank of Thief River
Falls, Minnesota, has announced his
candidacy for state senator from his
district which includes Pennington,
Red Lake and Clearwater counties.
Investment Banker Dies
P. O. Heide, an investment bank
er of Minneapolis for the past fif
teen years, died recently in his
apartment at the Oak Grove Hotel.
Mr. Heide was a member of the
Minneapolis Club, the Minneapolis
Athletic Club and the Interlachen
Club.
Increases Capital Stock
The capital stock of the State
Bank of Mound, Hennepin County,
Minnesota, has been increased from
$10,000 to $20,000. The debt limit
of the bank has likewise been in
creased from $200,000 to $400,000.
Land Bank in New Home
The new home of the St. Paul
Federal Land Bank at Fourth and
Minnesota Streets, St. Paul, has
been opened and the bank is now
carrying on its business in its greatly
enlarged quarters. The new home
is in the old First National Bank
Building, purchased from the Hill
interests.
“ Identified with
Chicago's
Progress Since 1857”
B O A R D O F D IR E C T O R S
T t 'V , B URI.EV.................................... Attorney and Capitalist
......................................... Knapp & Campbell
E N T A T T T IE L D .............Marshall Field, Glore, Ward & Company
ERNEST A. H AM ILL..........Chairman Corn Exchange National Bank
HALE HOLDEN .President Chicago, Burlington & Quincy R. R. Co.
E 9 1 H T H U G H I T T . . . .Chairman Chicago & North-Western Ry. Co.
EDMUND D. HU LBERT................... .......................................... President
The Merchants Loan & Trust Company
Illinois Trust & Savings Bank
The Com Exchange National Bank
CHAUNCEY K EEP. . ............................. Trustee Marshall Field Estate
CTRUS H. McCORMICK..........Chairman International Harvester Co.
JOHN J. M ITCHELL..................................................... ..............Chairman
The Merchants Loan & Trust Company
TnTT,T c, „ „ „ „ „ T „
Illinois Trust & Savings Bank
JOHN S. RUNNELLS............................... President Pullman Company
®PW ARD L. RYERSON...............Chairman Joseph T. Ryerson & Son
G. SHEDD........................ President Marshall Field & Company
V iC T ? SMITH. . ................................Chairman of Advisory Committee
H
....................President Soper Lumber Company
ALBERT A. SPRAGUE............ ...C h a irm a n Sprague Warner & Co.
HAT
ovE
DEPARTM ENTS
COM M ERCIAL--SAVINGS--TRUST--BOND--FARM LOAN
FOREIGN EXCHANGE
Capital and Surplus......................................... $15,000,000
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Federal Reserve Bank of St. Louis
Addresses Grain Dealers
C. T. Jaffrey, president of the
First National Bank of Minneapolis,
talked before delegates at the fif
teenth annual convention of the
Farmers’ Grain Dealers Association
of Minnesota, in Minneapolis, tak
ing as his subject the work of the
War Finance Corporation and how
it is helping grain dealers.
Wisconsin Bankers Meet in St. Paul
Many bankers of northwestern
Wisconsin were in attendance at
the meeting of Group 1 of the W is
consin Bankers Association held
recently at the New Liberty Thea
tre in St. Paul. Rural credits, was
the important subject for discussion
at the meeting.
Miltona State Elects Officers
At the annual meeting" of the Mil
tona State Bank of Miltona, Minne
sota, the following officers were
named for the year: President, J.
April, 1922
THE
NORTHWESTERN
BANKER
81
A. Hintzen; vice president, J. A.
Swenson ; cashier, E. E. Spelbrink.
Directors of the institution are : E.
J. Spelbrink, J. A. Hintzen and E.
E. Spelbrink. Edwin W. Tauer is
bookkeeper and stenographer.
Gain $15,000,000 In Deposits
Showing a gain of $15,000,000 in
deposits since January 1, higher sav
ings deposits, and a marked reduc
tion in loans, Minneapolis banks re
sponded to a national bank call re
cently with statements revealing
vastly improved banking and busi
ness conditions in Minneapolis and
the Northwest.
Total deposits in Minneapolis
jumped from approximately $225,000,000 on December ,51, 1921, to
$240,000,000 on March 10, the date
for which figures were asked by the
comptroller of the currency.
Total loans and discounts were
cut from approximately $170,000,000 on February 21, 1921, the cor
responding call a year ago, to about
$154,000,000 on March 10, a reduc
tion of approximately $16,000,000.
Summaries of figures for the last
b an k call and the call a y ea r a go,
tabu lated fo r the p u rp o se o f m a k in g
co m p a riso n s, are as fo llo w s :
Deposits.
December
March
31, 1921.
10, 1922.
National ........ $135,112,125 $124,276,407
12,606,383
13,000,325
States in R. S.
24,250,289
24,833,613
Other state ..
48,972,736
50,232,818
Savings ........
15,267,960
16,908,792
Trust ............
Grand total.. $240,087,674 $225,473,776
Loans and Discounts.
National ........ $105,035,115 $113,077,698
12,263,412
State in R. S.
12,482,392
21,916,619
21,982,184
Other State
12,420,710
14,866,845
Trust ........
Grand total.. $154,366,536 $159,698,439
Deposits. .
February
March
21, 1921.
10, 1922.
National .......... $135,112,126 $125,653,491
13,691,941
13,000,325
State in R. S.
24,527,294
24,833,613
Other State
49,265,867
50,232,818
Savings
16,908,792
15,381,700
Trust .........
D IR E C T O R S
O F F IC E R S
S. T. KIDDOO, President
G. F. EMERY, Vice-Pres.
J. L. DRISCOLL,
Assistant to President
D. R. KENDALL, Cashier
A. W. AXTELL, A. Cash.
L. L. HOBBS, Asst. Cash.
H. E. HERRICK, A. Cash.
C. L. WISTRAND,
A. Cash.
JAMES H. ASHBY
SAMUEL OOZZENS
S. T. KIDDOO
G. F. EMERY
ARTHUR G. LEONARD
J. A. SPOOR
H. E. PORONTO
M. A. TRAYLOR
F. ED'SON WHITE
THOMAS E. WILSON
LOUIS F. SWIFT
Resources Over
Capital and Surplus
$2,250,000
Established 1868
$ 20 ,000,000
Prevailing Good Prices
for live stock indicate increasing activ
ities in this line during the coming sea
son. A connection that will assist in
financing and clearing these operations
is secured thru an account with
The Live Stock
NATIONAL
Bank
OF CHICAGO
Correspondence solicited
Guaranteed Electric
Burglar Alarm Systems
B U IL T B Y
Grand total.. $240,087,674 $228,520,293
Loans and Discounts
National ........ $105,035,115 $125,079,438
State in R. S.
12,482,392
13,294,829
Other State ..
21,982,184
20,862,653
Trust .............
14,866,845
11,726,240
Grand total. . $154,366,536
$170,963,160
Finance Corporation Formed
The Staring Finance Corporation
of Minneapolis has been incor
porated with $500,000 capital and
$1,000,000 debt limit. William A.
Cullen, C. B. Dalrymple, Allyn K.
Ford, Robert E. Ford, Lewis N.
Kenyon, Samuel V. Morris and Stan
ley S. Staring are the incorporators.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The American Bank Protection
Company, Inc.
CAPITAL $150,000.00
Minneapolis
-
Minnesota
Are reconized by all Bonding Companies-—Write for particulars.
DO IT NOW.
We also build Safety Deposit Boxes, Vault Omnibuses,
Steel Filing Devices.
82
THE
NORTHWESTERN
BANKER
April, 1922
Starts Year With $8,583,446
THE BUSINESS OUTLOOK
With the advent of spring hope for improved conditions dominates the
business mind. We can aid its realization by practicing economy and
thrift and a real determination to do constructive work. This strong Bank
stands ready to do its full share.
THE FIRST NATIONAL BANK
DULUTH, MINNESOTA
Capital, Surplus and Profits $4,000,000.00
The Bank of Complete Personal Service
C O N F I D E N T I A L S E R V I C E — to those wishing to buy or sell
BANKS OR BANK STOCKS
J. W . O V E R S T R E E T C O M P A N Y
635 F ir s t N atio nal— Soo Bldg.
::
Minneapolis, Minnesota
YO U ’RE NOT
KNOWN
t ILL
BY
WHO
COME
IN
YOUR
ST . PAUL S T A M P
W U KK .S
B ank D ep t.
BANK
Order
O u r n a m e -p la t e ¡ M D I T R A U F Y k
a t you r desk will h n S .J .L .U M L L f . M
in ro d u c e yo u
/
PRES W E S T
M
now
for
S T . PAU L, M IN N .
NORTHWESTERN STAMP WORKS
ST. PAUL, MINNESOTA
RUBBER STAMPS OF EVERY DESCRIPTION
OTHER SPECIALTIES
Seals, Check Protectors, Key Checks, Identification Checks,
Desk Plates, Signs, Pads, Inks
AND IN FACT ANYTHING IN THE STAMP LINE
OLDEST BANK IN NORTH DAKOTA
First National Bank
Fargo, North Dakota
Condensed Statement, March 10, 1922
RESOURCES
Loans and Discounts.............................................................................. $3,836,925.32
Overdrafts .....................................
354.64
50,000.00
U. S. Bonds securing Circulation................ .............. .....................
Other Stocks and Bonds......................
258,221.04
Stock in Federal Reserve Bank.................. .............. ...... ........ ........
15,000.00
Banking House .................... ..................................................................
45,620.66
Furniture and Safety Deposit Vaults (Cost $50,000.00)____ ____
6,652.59
Other Real Estate..............
19,866.02
Demand Loans ...................................................................$ 183,181.84
U. S. Liberty Bonds............................. .............. ......... .....
156,900.00
Other U. S. Bonds..............................................................
70,000.00
Cash and due from banks................ ................................ 1,351,041.58 1,761,123.42
$5,993,763.69
LIABILITIES
Capital ...............................................................'....................................... $ 300,000.00
Surplus ...............
200,000.00
Undivided Profits ......................... .*............... .......................................... 154,422.33
Circulation ......... .......... ............. ............. .................................................
49,500.00
Deposits ..................................................................................................... 5,289,841.36
$5,993,763.69
E. J. WEISER, President
F. A. IRISH, Vice-President
G. W. JENSON, Cashier
G. H. NESBIT, Vice-President
E. P. SCHMALLEN, Asst. Cashier
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Federal Reserve Bank of St. Louis
Minnesota started out the new
year with $8,583,446.97 cash balance
and permanent state trust funds to
taling $44,767,351.09, according to
figures from the offices of State
Treasurer Henry Rines and State
Auditor Ray P. Chase.
The state trust funds are com
posed o f :
Land contracts......*...$ 8,750,000.00
Permanent s c h o o l
fund ........................... 28,394,503.16
Permanent university.. 1,892,793.00
Internal improvement
fund................. .........
219,250.00
Swamp land fund .... 4,795,214.93
T e a chers’ insurance
fund ..........................
675,500.00
40,000.00
Rebuilding '.................
$44,767,351.09
The land contracts include the
payments due to the state on the
sale of lands and extend over a
long period. In addition to the
trust fund wealth of the state, the
Capitol and all state institutions are
paid for.
The revenue fund dropped from
$5,685,912 on November 30 to $2,119,837.93 on December 31; the sol
diers’ bonus fund from $1,208,274 to
$2,224,544.03.
The school fund
dropped from $2,036,660.79 to $892,270.43, and the trunk highway fund
from $799,849.36 to $197,826.36.
First National, Northfield
Resources and liabilities of $1,134,999.35 are shown in a recent state
ment of the First National Bank of
Northfield, Minnesota. Officers of
this institution are : President, C. D.
Rice; vice president, J. D. Nutting;
cashier, H. O. Dilley.
Delivers Address at “Y ”
Orrin M. Corwin, vice-president
of the Wells-Dickey Company of
Minneapolis, delivered an address on
“ Building a Fortune,” before the
Tuesday Night club at the Central
Y. M. C. A. of Minneapolis recently.
First Failure in Fifteen Years
The Northern State bank, of Min
neapolis, in the Kasota building,
Fourth street and Hennepin ave
nue, has been closed by R. B. Rathbun, state bank examiner. It is the
first banking institution to be closed
in Minneapolis in 15 years. De
posits had shrunk to about $175,000
when the state banking department
took charge. The last bank call
showed deposits of $218,881.
April, 1922
THE
NORTHWESTERN
Credit Men Meet at Duluth
Minneapolis and St. Paul were
represented by 150 delegates at the
seventh annual Northwestern States
Conference of Credit men at Duluth.
On the program were M. F. Sul
livan, president of the Duluth-Su
perior Association of Credit Men,
who gave the address of w elcom e;
C. E. Mann of the Munsingwear
corporation, who spoke on “ Is the
Adjustment Bureau Worth W hile?”
and Harry von der Weyer, of St.
Paul, who explained existing credit
conditions in the northwest. W. B.
Cross, president of the national as
sociation, spoke at the banquet.
Will L e c t u r e in S c h o o ls
Pupils in the seventh and eighth
grades of Minneapolis public schools
and all high school pupils have be
gun a short but intensive course in
banking, designed to give, in easy
and comprehensive style, the essen
tials of banking practice.
The Minneapolis chapter of the
American Institute of Banking under
the chairmanship of J. S. MacLean,
assistant cashier of the First Nation
al Bank, will conduct the course in
Minneapolis.
Banking functions will be carried
to the schools in the cities and vil
lages throughout the state in a sim
ilar plan under the guidance of a
committee of the Minnesota Bankers
Association, composed of M. R.
Knauft, vice president of the Capital
National bank in St. Paul; A. V.
Gardner, assistant cashier of the
First National Bank in W inona; J.
C. Thomson, assistant cashier of the
Northwestern National Bank, and
George H. Richards, secretary of the
Minnesota Bankers Association.
Some of the topics of the short
course as outlined by the American
Bankers Association are : “ Bank
Loans and Discounts,” “ Drafts and
Letters of Credit,” “ What Bank
Statements Mean,” “ Trust and Trust
Corporations,” “ Principles of Pros
perity,” “ Work and Wealth” and
“ The Federal Reserve System.”
Lecturers already named for Min
neapolis by Mr. MacLean are: H.
C. Liliby, assistant cashier of the
Lincoln National Bank; A. D. Hagg,
of the Farmers and Mechanics Bank ;
Trygve Oas, assistant cashier of the
Midland National Bank; L. L. Stark
of the Midland National ; G. G. Bach
and Evan Johnson of the First Na
tional; James L. Murray, assistant
cashier of the First National; James
E. Neville and Clarence R. Chaney,
assistant cashier of the Northwest
ern National; J. J. Cameron of the
Northwestern National; Howard
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Federal Reserve Bank of St. Louis
83
BANKER
The Good Old Days
RANDFATHER says the “good old days” were
better than the present, and that men and women
then were stronger physically and on a higher
intellectual plane.
G
Don t be alarmed. It’s only human nature kidding us
again. The only men who were ever justified in longing
for the ‘ good old days” were Adam and Noah.
Just as surely as one brick laid
on another advances the construc
tion of a skyscraper, Progress fur
thers the betterment of humanity
year after year.
Because we
Americans are not playing scalp
tag with wild Indians, feasting on
corn-bread and bear meat, sport
ing homespun clothing and danc
ing the minuet is no reason why
even Grandfather should carry
his face in a sling and pine for
the “ good old days.”
Do you suppose the clerks who
went from N ew York offices to
clear the Argonne Forest were less
substantial than Ethan A llen’s
Green Mountain Boys?
Is the western farmer degener
ating because he travels in a high-
power automobile instead of on
a cantankerous bronc?
Progress moves on wheels—not hoofs, today; tomorrow it will
take to wings.
Next year will find the world
miles ahead of this year. It will
find men getting more enjoyment
out of life, building more for the
future, imbued with higher ideals.
W here there is Progress, this is
inevitable.
Experience is the only asset to
the financial publicist gleaned
from the “ good old days.” Only
for reference to hundreds of past
achievements do we, the oldest
and most experienced group of
specialists in service to bankers,
turn back the calendar.
The Collins Service
The Recognized Standard o f Financial Advertising
Philadelphia, Pa.
B UILDING is Booming in Minneapolis
Late figures show an increase of 102 per cent over a year ago in
valuation of building projects. W e are exceptionally well equipped
to handle your banking business in this prosperous territory.
L IN C O LN N A T IO N A L B A N K
A ffilia ted w ith L I N C O L N T R U S T A N D S A V I N G S B A N K
C o m b in e d R e s o u r c e s $ 4 ,5 0 0 ,0 0 0
Hennepin Ave. at Eighth St.
F A S T E S T
ST. P A U L
G lo b e B l d g .
G R O W I N G
MINNEAPOLIS
B A N K
IN
THE
NORTHWEST
BISHOP, BRISSMAN & CO.
“
Certified Public A ccou n tan ts
M e m b e r s A m e r ic a n I n s t it u t e o f A c c o u n t a n t s
F a r jç o N a t i o n a l B a n k B l d a ’.
FAR GO , N. D.
S
THE
84
NORTHWESTERN
BANKER
April, 1922
nation, save for a few technicalities,
has been virtually effected. Both
boards of directors have informally
approved of the plan and formal
stockholders’ meetings will be called
to ratify the recommendations of the
boards at an early date. The com
bination is subject, of course, to the
approval of the Comptroller of the
Currency.
The staffs of both
organizations will remain practically
unchanged.
The business of the two banks
will be conducted in the present
offices of the two institutions, at
Broad and Beaver streets, at 115
Broadway, and at 20 East Fortyfifth street. Headquarters will be
at Broad and Beaver where the Sea
board recently erected a ten-story
building.
The Spirit of N ew England Industry
I
T is not strange that the descen
dants o f men who turned a
wilderness into a manufacturing
colony should be gifted with me
chanical genius and ability to over
come handicaps. Their inherited
skill has been and still is a vital fac
tor in keeping New England in the
forefront of industry.
The most recent task of New
England’s inventors and managers
has been to devise ways to make im
proved goods at lower cost to meet
new marketing conditions.
They have been especially success
ful in those fields in which this sec
tion is supreme— wool and cotton
textiles, shoes, paper, leather, rub
ber goods and machinery.
Buyers of merchandise, distant or
nearby, will do well to consult
National Shawmut Bank in seeking
to meet manufacturers who have ad
justed goods and prices to meet 1922
ideas. This bank is fortunately situ
ated to render efficient service by
reason of its intimacy with New
England industry.
I
Capital and Surplus
$20 , 000,000
Correspondence is
cordially invited
T H E N A TIO X .,\=.
.. # M U T
o/ B O ST O N
Hall of the Minneapolis National;
W . E. Neubeck of the St. Anthony
Falls Bank, and George Struthers,
Union State Bank.
Banks to Consolidate
The Seaboard National Bank, of
New York, which was founded in
1883, and the Mercantile Trust Co.,
which began business in the early
part of 1917, are to be merged in the
near future, d he new bank, which
will retain the name of the Seaboard
National Bank, will have total re
sources of about $80,000,000. Chellis
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
BANK
A. Austin, now president of the Mer
cantile Trust, will be president of the
consolidated institution, while S. G.
Bayne, president and founder of the
Seaboard, will become chairman of
the board. The directorate will con
sist of thirty members, twenty of
whom will be from the Mercantile
board.
The principal stockholders of the
two banks have been consulted and
are unanimously in favor of the con
solidation. Committees represent
ing the two interests have been con
ferring for some time and the combi
Coins Do Not Carry Disease
There seems to be little basis for
the belief that coins bear any close
relation to the spread of disease,
according to an announcement made
at the University of Illinois by Drs.
Charlotte B. Ward and Fred W .
Tanner, of the' University, following
a series of tests made by the two.
“ Coins of the lower denominations
were examined for the types of bac
teria which exist on them,” says
their report. “ It has often been
stated that money is a very danger
ous article of commerce since it is
handled by all sorts of persons and
because it usually moves so quickly
from one person to another. It has
also been stated that cashiers and
others whose vocations require them
to handle money in larger quantities
than the average person, might be
more susceptible to disease, but this
does not seem to be the case.
“ It seems that the very metals
from which the coins are made act
to destroy the bacteria which reach
the coins. In the study only the
more resistant of bacteria, the spore
forming bacteria, were found.”
Drs. Ward and Tanner? have
pointed out that postage stamps
have somewhat the same relation
to the public that money does, al
though their constitution is quite
different from that of coins. Stamps
are used but once and are not
handled by so many individuals, al
though the adhesive applied to them
might be a favorable abode for mi
croorganisms for relatively long pe
riods of time.
Nevertheless, the
menace is not regarded as a threat
ening one, and in an investigation
conducted some years ago with ref
erence to the question here at issue,
pathogenic bacteria were rarely
found on stamps.
April, 1922
THE
NORTHWESTERN
BANKER
85
NORTH DAKOTA BANK NEWS
H. M. Weydahl at Kildeer
H. M. Weydahl, formerly cashier
of the Dodge County Bank, Dodge,
North Dakota, has assumed the po
sition of active vice president of the
First National Bank of Kildeer. He
has. purchased the largest part of
the stock in that institution owned
by M. S. Cuskelly, formerly presi
dent of the bank. Albert Lubke,
cashier of the First National since
the death of the late Mr. A. B. Cur
ry, retains that position and Rasmus
Jensen of Kildeer becomes presi
dent succeeding Mr. Cuskelly.
Mr. Weydahl is an experienced
banker and widely known among
the banking fraternity of the state.
He began his banking career in Co
lumbus, with the Farmers State,
later becoming assistant cashier of
the Security State at Bantry. From
that place he went, in 1914, as as
sistant cashier of the Citizens State
Bank of Minot, becoming cashier
of the Dodge State Bank in 1915.
He has served as president of the
Dunn County Bankers Association.
Bank of North Dakota Profits
Manager Green of the Bank of
North Dakota, appointed by Gover
nor R. A. Nestos, reports that the
bank has net profits of $129,969.21
and a surplus of $40,000. The re
port gives the present resources of
the bank as $9,291,706.40. Loans to
public institutions—mill, elevator,
home building and state institutions
— are given at $1,875,952.71. Loans
carried
on
warehouse receipts
amount to $61.292.04.
Jourgen Olson Sells Interests
Jourgen Olson, of Minot, has sold
his interests in the Farmers’ State
Bank of Sanish, the Blaisdell State
Bank of Blaisdell, the American
State Bank of Burlington and the
Citizens’ State Bank of Tagus, to
G. H. Sherry and W. M. Stenshoel
of Van Hook, W . E. Lukason of
Blaisdell, and John Werner of
Burlington, most of whom are al
ready connected with the banks.
Officers have been chosen for the
new banks as follows :
Farmers’ State Bank of Sanish:
J. W . Sherry, president; John H.
Werner, vice-president, and Paul
Sigurdson, cashier.
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Citizens’ State Bank, Tagus : J. W.
Sherry, president; John H. W er
ner, vice-president; O. E. Lukkason,
cashier.
Blaisdell State Bank, Blaisdell : J.
W . Sherry, president; O. E. Luk
kason, vice-president ; W. M. Sten
shoel cashier ; Olava Granrud, as
sistant cashier.
American State Bank, Burlington:
J. W. Sherry, president; W. M.
Stenshoel, vice-president, and John
H. Werner, cashier.
Would Double Farm Loan Limit
The state industrial commission
of North Dakota recently adopted
a resolution indorsing the proposal
of the state administration for the
initiated law to be submitted to the
June primaries increasing the au
thorization for making farm loans
by the farm loan department of the
Bank of North Dakota and urging
that the limit be raised from $10,000,000 to $20,000,000. The com
mission also is signing mortgages
on which $1,100,000 of the mill and
elevator bonds are to be issued im
mediately to provide for repayment
of advances made by the Bank of
North Dakota on the Grand Forks
project, and for the continuation of
work. The total authorization of
the mill and elevator bonds is
$3,000,000.
New Credit Association
Articles of incorporation have
been filed with the secretary of state
for the Black Hills Credit Men’s
Association of Deadwood, South Da
kota. Incorporators are: Claude E.
Gray, Rapid C ity; Carl A. Quarnburg, Belle Fourche; James Munsen, Lead City; Jerald D. Crary and
William J. Rinevold, Deadwood.
This association is not a bank, but
is founded for the purpose of ex
tending credit and will be run with
out profit.
Buys Stock at Kildeer
H. M. Wydahl, cashier of the
Dodge State Bank of Kildeer, North
Dakota, has purchased the interests
of A. B. Curry in the First National
Bank of Kildeer. He will assume
the cashiership of the First National,
succeeding Mr. Curry who died re
cently.
Peoples State, Casselton
At a meeting of the Peoples State
bank of Casselton, North Dakota,
the following officers were elected:
President, E. A. Stolzmann; vice
presidents, A. W. Schultz and R. C.
K ettel; cashier, Adolph Lebus.
Property is the fruit of labor;
property is desirable; it is a positive
good in the world. That some
should be rich shows that others
may become rich, and hence is just
encouragement to industry and en
terprise. Let not him who is house
less pull down the house of another;
but let him work diligently and build
one for himself, thus assuring him
that his own shall be safe from vio
lence when built.— Abraham Lin
coln.
Lack of success is largely the
fruit of wasted opportunity.— War
ren.
FOUNDATIONS OF SUCCESS
By Bishop Wm. T. Manning*
During this year, 1922, let us
drive out of our minds the demon
of worry and anxiety. Let us be
prepared, by all means, but let us
not weaken ourselves with worry.
Let us cultivate the habit of
cheerfulness. That will mean not
only happiness, but power, and
greater success in life.
Let us not be too much hur
ried. There is not much danger
that we in America will accom
plish too little. The danger always
is that we will go so fast that we
will overlook the finer things of
life. Let us take more time for
our friends, and for other of the
finer things of life. It is like driv
ing an automobile. If we go too
fast, we are likely to miss the
best.
Let us keep out of our hearts—
yes, let us drive out of our minds
and our hearts— all low and mean
and envious feelings toward other
people. Such a spirit only pois
ons our minds and weakens us.
Our own success, in our lives
and in our business, depends di
rectly upon our attitude toward
others.
* F ro m a t a lk b e f o r e th e A d v e r t is in g ’
C lu b o f N ew Y o r k .
THE
86
NORTHWESTERN
April, 1922
BANKER
'And in N ew Y o rk of course
we use The Equitable”
T
O hundreds o f banks in the United States and Canada,
there is special satisfaction in that phrase.
In their own cities, each o f these banks does business
with the leading business men and firms; their names and
prestige carry throughout their territories.
And in N ew Y ork these same banks use T h e Equitable.
For here they get a national and foreign service distinctive
in many features and "T h e Equitable” is significant o f
strength and service to business men in every part o f North
Am erica and every country in the world.
For further particulars regarding Equitable Service for
your bank, write to our Banks and Bankers Department.
Tb? Equitable
trust Company
OF N E W YORK
C
h ic a g o
O
f f ic e
National Life Bldg., 29 So. La Salle St.
DONALD M . DE GOLYER, Manager
LONDON
3 K in g W illia m S t ., E .C .4
H O M E O F F IC E
37 W a ll S t ., N ew Y o rk C ity
P A R IS
23 R u e de la Paix
Readers will confer a favor by mentioning T H E N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
Aprii, 1922
THE
NORTHWESTERN
BANKER
87
M O N T A N A BANK NEW S
A . T . H ib b a r d , A s s o c ia t e E d ito r
Montana Convention Dates
HE E X E C U T IV E Council of
the Montana Bankers Associa
tion met in Helena recently for
the purpose of fixing the date for the
nineteenth annual convention of the
association and for the consideration
of many matters of interest to the
profession in that state. A commu
nication was received from former
United States Senator W . A. Clark,
president of the Montana Bankers
Association, residing in New York
for the winter, to the effect that he
is going to Paris the first of June,
but that he will return to Montana
to preside at the Montana Bankers
Association convention, which was
fixed by the executive council for
August 18-19, at Missoula. Definite
plans are already under way to
make this coming meeting the great
est in the history of the association.
Many entertainment features of un
usual interest are being planned.
The executive council passed a
resolution urging Congress to ex
tend the time for consideration of
War Finance Corporation activities.
Chairman Theodore Torbenson of
the agricultural committee of the
Montana Bankers Association, made
a report of the activities of his com
mittee. Several new plans were de
veloped for agricultural work of the
association, and it was voted to con
tinue the co-operation with the
Montana Development Association,
which has done such splendid work
in promoting better farming.
L. Q. Skelton, superintendent of
banks, met with the executive coun
cil to discuss amendments to the
state banking laws, proposed for
1923. The executive council agreed
to have a committee of the associa
tion appointed to .co-operate with
Mr. Skelton in securing desirable
amendments to the State Bank Act.
T
Laurel State, Laurel
At the annual meeting of the Lau
rel State Bank of Laurel, Montana,
Geo. W. Graff was promoted from
cashier to vice president and L. B.
Koons was advanced from assistant
cashier to cashier. M. T. Anderson,
newly elected assistant cashier to
succeed Mr. Koons, was formerly
assistant cashier of the Joliet State
Bank. Other officers elected at the
meeting are: President, B. L. Price,
reelected; Geo W. Graff, vice presi
dent.
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Federal Reserve Bank of St. Louis
(S e c r e ta r y M o n ta n a B a n k e r s
At Federal Reserve, Helena
H. F. Brown, formerly assistant
cashier of the Federal Reserve at
Minneapolis, has been made cash
ier of the Helena, Montana, Branch,
succeeding L. E. Rast, who was act
ing cashier. Oliver Geiss becomes
assistant cashier through this move.
Mr. Geiss was formerly transit
manager for the parent institution.
R. E. Towle, now manager of the
Branch Bank, was cashier prior to
February, at which time he suc
ceeded O. A. Carlson as manager.
J. P. Hughes Made Examiner
J. P. Hughes, formerly cashier of
the Northern National Bank of
Great Falls, Montana, has been ap
pointed a national bank examiner in
that state. He has been assigned to
the ninth federal reserve district
with headquarters in Minneapolis.
Prior to his connection with the
Northern National, Mr. Hughes was
an assistant national bank examiner.
He is succeeded at the Northern
National Bank in Great Falls by
Ben S. Hill, for many years promi
nently identified with financial in
terests in Helena and Great Falls.
Organize Loan Association
The Meagher Federal Farm Loan
Association has been organized at
Calkins, Montana, with the follow
ing officers: President, B. F. Roscoe; vice president, Carl Hirleman;
secretary-treasurer, G. K. Roscoe.
A s s o c ia tio n ).
Directors are: B. F. Roscoe, Carl
Hirleman, E. R. Betzel, W . R. Knox
and Geo. Dobson. The new organ
ization has for its purpose the bring
ing of federal money to assist the
farmers of the Smith River Valley.
Reduce Capital Stocks
The capital stock of The Banking
Corporation of Montana, at Helena,
has been reduced from $500,000 to
$250,000. This action was consid
ered advisable by the bank’s offi
cials, who deemed the latter amount
sufficient to meet the demand of
conservative banking in that state.
Do You Know—
That— Lincoln Highway is the
longest road in the world. It con
nects twelve states, and is laid out
between New York and San Fran
cisco as directly as is practicable.
Its length is 3,284 miles.
That—The denominational por
traits appearing on Federal Reserve
notes, and Federal Reserve Bank
notes have been prescribed for fu
ture issues of all kinds of currency.
The portraits of Washington will
appear on all $1.00 bills, Jefferson on
$2.00, Lincoln on $5.00, Jackson on
$10.00, Cleveland on $20.00, Grant
on $50.00, Franklin on $100, Mar
shall on $500, Hamilton on $1,000,
Madison on $5,000, and Chase on
$10,000. It is thought that the stand
ardization of portraits will be a safe
guard against note-raising.
“Personality vs. Service”
It is the personality behind the service we offer in our
various departments that has obtained for us the ac
counts of many banks and bankers throughout the
country.
When you are in need of the services of our departments
we shall be glad to serve you.
CH ICAG O T R U S T C O M P A N Y
STATE AND MADISON STREETS
THE
DROVERS
NORTHWESTERN
S E R V I C E [fi
The Drovers
A Complete
Chicago
Correspondent
’‘ I like the DROVERS because
I receive such prompt service on
every transaction, and also be
cause I can have all of my Chicago
business handled by that one
bank.”
This is the expression of one of
our old-time customers, and it
really voices the sentiments of
hundreds of others.
Here are a few of the many
things we do for our correspon
dents:
Furnish statistical and credit inforformation.
Purchase commercial paper.
Accept bonds and securities for
safekeeping.
Furnish foreign exchange.
Purchase and sell bonds and secur
ities.
Immediate credit for livestock pro
ceeds.
Special attention given Stock Yards
collections.
Because of our first hand knowl
edge of country bankers’ prob
lems, we are able to render these
services in a highly satisfactory
manner.
BANKER
April, 1922
Nebraska Bankers’ Association
The following is a list of officers
of the Nebraska Bankers’ Associa
tion :
President, C. H. Randall, Ran
dolph; secretary, Wm. B. Hughes,
Omaha ; treasurr, F. W. Thomas,
Omaha; counsel, Edward M. Mar
tin, Omaha; executive council, El
mer Williams, Grand Island, chair
man ; E. H. Mullowney, Lincoln ; F.
W. Thomas, Omaha ; George C.
Gage, Fremont; H. H. Ostenberg,
Scottsbluff ; A. E. Stocker, Nebras
ka City; E. H. Gerhart, Newman
Grove; V. L. Johnson, Shelton; W.
F. Parker, W ood Lake; C. F. Brinkman, Omaha; H. G. Wellensiek,
Harvard; Carl Weil, Lincoln; H. C.
Nicholson, Omaha; Wallace Rob
ertson, Beatrice; S. J. Weekes,
O’Neill; Mark Spanogle, Bridge
port. Group presidents for Nebras
ka are: Group 1, R. B. Clemens,
Beatrice; Group 2, G. H. Gray, Co
lumbus ; Group 3, H. A. Oelrich,
Butte; Group 4, P. Walsh, McCook;
Group 5, C. H. Menck, Grand
Island; Group 6, L. C. Fink, New
port; Group 7, M. W . Dimery, Sid
ney.
A Strange Quest
A party of Englishmen are off for
Central Africa, having the purpose
to find the dying place of elephants.
These wise animals are rarely found
dead. Natives believe they go to a
secret place when death approaches
them, and it has been sought in vain.
These hunters are out not only to
solve a mystery, but in hope of locat
ing a vast pile of ivory, which is be
coming increasingly scarce and cost
ly. Neither in Africa nor in India,
’tis said, is the body of an elephant
dead from natural causes found once
in a quarter of a century. If these
English hunters locate a cemetery of
elephants, with an accumulation of
tusks centuries old, their fortunes
will be made, and a puzzling matter
will be conclusively settled.— Chi
cago Journal of Commerce.
Direct Member Chicago Clearing House Association
flR D V E R S
UNati o n a l B ank
Union Sta ckYhrds - Chicago
Dl D R O V E R S S E R V I C E fl]
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
Security State, Mahnomen
Albert L. Thompson, president of
the Security State Bank of Mahno
men, Minnesota, died suddenly at
his home in that city. A. O. Tenold,
of Calmar, Iowa, formerly vice presi
dent, has been elected president
succeeding Mr. Thompson.
Some people study all their life
and at their death have learned
everything except to think.— Dom
ergue.
*
t
April, 1922
THE
I O W A
NORTHWESTERN
BANKER
B A N K
89
N E W S
COUNCIL OF ADMINISTRATION
Iowa Bankers Association
A D M IN IS T R A T IV E
C O M M IT T E E
F r a n k B. Y e tt e r , P re s id e n t, V ic e -P r e s . I o w a N a tio n a l B a n k . . .D a v e n p o r t
E. R . C a m p b e ll, V ic e -P r e s id e n t , V .-P . C o m m e r cia l N a t’ l B a n k ..F t . D o d g e
C. P. J o r d a n , T r e a s u r e r , P r e s id e n t F ir s t S a v in g s B a n k ..............S u th e r la n d
F r a n k W a r n e r , S e c r e t a r y ............................................................................ D e s M o in e s
*
G R O U P C H A IR M E N
G.
F.
M.
F.
FRANK YETTER
P re s id e n t
J. S lo b e , C hm . G r o u p 1, C a s h ie r N o r th w e s t e r n S ta te B a n k , O r a n g e C ity
B. D a v is, C hm . G r o u p 2 ..............C a sh ie r F a r m e r s S a v in g s B a n k , M a n son
W . E llis , C hm . G r o u p 3. . .P r e s . S e c u r ity T r. and Sav. B k., C h a rle s C ity
S. R ic h a r d s , C hm . G r o u p 4 . . . . C a s h ie r F ir s t N a tio n a l B a n k , M cG r e g o r
C . F . C a d w e ll, C hm . G ro u p 5 ................C a sh ie r F ir s t N a tio n a l B a n k , E llio t t
A. M. H e n d e r s o n , C hm . G ro u p 6. .C a s h ie r F ir s t N a tio n a l B a n k , S to r y C ity
J. L,. J o n e s, C hm . G r o u p 7 . . V .-P . W a t e r lo o B a n k an d T r u s t C o., W a t e r lo o
E m il W e b b ie s , C hm . G r o u p 8 . . . V .-P . I o w a S ta te Sav. B a n k , B u r lin g t o n
N. C. H o ffm a n , Chm . G ro u p 9, C ash . M u r r a y B k . o f S im m o n s & C o., M u r r a y
C. E . B em a n , C hm . G ro u p 1 0 . . .V .-P . M a h a sk a Co. S ta te B a n k , O s k a lo o s a
W a lk e r D. H a n n a , C hm . G r o u p 1 1 . .V ic e -P r e s . B a n k o f W in fie ld , W in fie ld
L. A. A n d r e w , e x - o f f i c i o ........... P r e s id e n t C itiz e n s S a v in g s B a n k , O ttu m w a
New Banking Home Opened at Grand^Mound
(
Farmers and Merchants Savings Bank, Grand Mound.
The new home of the Farmers &
Merchants Savings Bank of Grand
Mound, Iowa, was formally opened
to the public, Saturday, March 18th.
The large attendance exceeded all
expectations of the officers of the
bank, in spite of the bad weather and
road conditions.
The building is an individual de
sign and is faced with blue-black,
rug faced Hydraulic brick and full
enamel, cream colored satin-finish
terra cotta. The plan of the interior
is unique in itself. The bank is
entered through a central entrance
leading through the vestibule to the
lobby. T o the right is a private office
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
and to the left a ladies rest room
fitted up with reed furniture. Ad
vancing further in the lobby to the
right is an officers space, and to
the left a customers space. Advanc
ing still further to the right is the
work space and to the left a check
desk alcove and another customers
space. At the end of the lobby is
the vault door leading to the mod
ern safety deposit box vault. To
the right of the vault is a stenog
raphers and bookkeepers room. To
the left of the vault is a coupon
booth, coat room and toilet; also a
passageway back to the directors
room at the rear of the vault. The
basement is fitted up with a large
community room equipped with a
ventilating system which draws the
fresh air directly from the roof.
This room is accessible both from
the banking room and directly from
the outside. The interior is finished
in quartered white oak and Madre
Cream Statuary Marble and tile
floors. The ceiling is relieved by
ornamental plaster beams, the ceil
ing and walls being decorated in
soft grey tones. A special feature
is the low fixtures and the fact that
the ceiling is not obstructed by any
partitions, there being separate
ceiling over all private compart
ments.
The bank is a credit to the com
munity as well as to Clinton Coun
ty. There are larger buildings in
the county, but none better. The
untiring efforts of W. J. Dunker,
cashier of the bank, are appreciated
by all who benefit through and by
this institution.
The work was planned, designed
and erected under the direct super
vision of The Lytle Company, Bank
Architects and Engineers of Sioux
City, Iowa.
Citizens State, Anita
Resources and liabilities of the
Citizens State Bank of Anita, Iowa,
according to a recent statement, are
$851,181.50. Officers of this insti
tution are: President, Isaac Brown;
vice-president, George Scholl ; cash
ier, R. H. Miller.
Leaves Brighton for Muscatine
Warren Allen has resigned as
assistant cashier of the State Bank
of Brighton, Iowa, to accept a posi
tion with the Muscatine State Bank
at Muscatine, Iowa. Mr. Allen was
formerly connected with that insti
tution.
THE
90
THE
BEST
NORTHWESTERN
BANKER
E V ID E N C E
The best evi
dence of our ex
cellent
banking
service is o u r
growing list of
corres p o n d e n t
banks. Here you
will find an insti
tution
sincerely
anxious to serve
you.
The Muscatine State Bank has been serving banks and bankers for
over half a century.
MUSCATINE ST A T E BANK MIJ,W'NE
The
City National Bank
of Clinton, Iowa
Capital, Surplus and Profits $ 600,000.00
D e p o s i t s ........................... 5,800,000.00
OFFICER S
ALFRED G. SMITH, Chairman
HALLECK W. SEAMAN, Vice President
GEORGE L. CURTIS, Vice President
JOHN H. NISSEN, Assistant Cashier
ALFRED C. SMITH, President
AUGUST H. KERSTING, Vice. Pres
OLIVER P. PETTY, Cashier
HENRY G. KRAMER, Asst. Cash.
Accounts of Banks, Corporations and Individuals received on most favorable
terms. Correspondence Invited.
J. K . D E M IN G
P r e s id e n t
Reserve Agents for
National Banks
United States
Depositary
JA M E S M . B U R CH
V i c e - P r e s id e n t
J ff g lk
H E R M A N N ESCHEN
C a s h ie r
Combined
Resources
$3,000,000.00
The SECOND NATIONAL BANK and
DUBUQUE SAVINGS BANK
DUBUQUE, IOWA
Organized 1876
DIRECTORS
J . K . D E M IN G
P r e s id e n t
CH AS. H. BR A D LE Y
B r a d le y B r o s .
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
H E R M A N N ESCH EN
C a s h ie r
J. J. R O S H E K
R o sh e k B ros. C o.
JA M E S M . BU R CH
V . P . F a r le y & L o e t s c h e r
M fg . C o .
G E O . W . K IE S E L
A ttorn ey
G E O R G E M cL E A N
P res. K e y C ity G a s C o .
April, 1922
Linn County Bankers Meet
At the last meeting of the Linn
County Bankers Association held at
Cedar Rapids, Iowa, the following
officers were elected to head the
association: President, F. C. Fisher,
Security Savings Bank of Cedar
Rapids; vice-president, J. R. Rob
erts, Farmers & Merchants State
Bank of Marion; secretary, R. F.
Folsom, Merchants National Bank
of Cedar Rapids; treasurer, O. J.
Emmons,
Springville
Exchange
Bank. About thirty banks of the
county were represented as well as
a large attendance of deputy sheriffs
who met to discuss plans for pro
tection against bandits.
H. A. Gaede Cashier at Lakota
H. A. Gaede, formerly active vicepresident of the Farmers State Bank
of Ferris, Illinois, has assumed the
duties of his new position as cashier
of the Citizens State Bank of La
kota, Iowa. He succeeds L. H.
Jurgemeyer, whose interests in that
bank, he has purchased. Mr. Jurge
meyer plans to reenter the banking
business in the near future.
O. G. Hamilton at Guthrie Center
O. G. Hamilton, vice-president of
the First National Bank of Clarinda,
Iowa, has been elected cashier of
the Peoples State Bank of Guthrie
Center, Iowa, to fill the vacancy left
by the death of his brother, the late
Mr. W. K. Hamilton. Mr. O. G.
Hamilton is a native of Guthrie
county, of which he was superin
tendent of schools for several years.
He resigned from that position to
become cashier of the Farmers Sav
ings Bank of Hepburn, Iowa. From
that position he went to Clarinda to
accept the vice presidency of the
First National Bank. He assumes
the duties of his new position at
Guthrie" Center, April 1.
Chas. Flannery, assistant cashier
of the Peoples Savings Bank since
its organization, succeeds the late
Mr. W . K. Hamilton on the board
of directors, and becomes vice-presi
dent of the institution.
Hold Annual Birthday Party
More than a thousand friends at
tended the fifth annual birthday
celebration of the People Trust and
Savings Bank of Perry, Iowa, and
the bank reports a larger number of
individual deposits received than on
any similar occasion.
Every depositor received some
kind of a souvenir ranging in value
from five cents to ten dollars, to
gether with an ice cream delicacy
April, 1922
THE
as a testimonial of the bank’s appre
ciation of its customers’ patronage.
The Peoples Trust and Savings
Bank was organized in 1917. Present
officers include: E. D. Carter, presi
dent; M. O’Loughlen, vice-presi
dent; F. E. Bower, cashier; M. I.
Carter, assistant cashier; G. B.
Brown, assistant cashier.
Sells Interests at Cambridge
Fred W. Larson, prominent landowner and banker of Cambridge,
Iowa, has sold his interests in the
First National and Citizens Bank
of that city, and will locate at Coggon, Iowa. Mr. Larson was presi
dent of the First National, and
owned considerable Stock. He was
a stockholder and director in the
Citizens-Bank. Mr. Larson and his
four daughters have purchased a
large general merchandise store at
Coggon, and they have already
taken possession of it. The busi
ness at Coggon will be under the
direct supervision of his daughters.
Commercial State, Independence
O. M. Gillett, pioneer business
man of Independence, Iowa, and
president of the Commercial State
Bank of that city, died recently fol
lowing an illness of several months.
H e was admitted to the bar in 1880,
and served for several years as clerk
of the district court at Independence.
When the Commercial State Bank
was organized in 1890, Mr. Gillett
played a prominent part in its estab
lishment and became its first cash
ier. He held this position about 18
months when he was made presi
dent.
At a meeting of the Board of Di
rectors held March 10th, M. O.
Fouts, cashier, was elected presi
dent, and L. C. McGill, teller, was
made cashier. Mr. Fouts had been
cashier eleven years. Mr. McGill
has had 15 years banking experience.
Will Insure Muscatine Deputies
Indemnity for injuries received or
death as a result of an effort to pro
tect a bank from burglary or to
capture bank robbers, will be paid
deputies working in the county un
der the Muscatine County Bankers’
association. This was decided at a
meeting of the bankers at the Hotel
Muscatine recently.
The insurance will vary from
$1,000 or more for injuries up to
$5,000 in event of death. A com
mittee of bankers will be appointed
by President W . D. Harris of W il
ton, to arrange for the insurance.
Forty in all, including a number
of deputies and representatives,
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Federal Reserve Bank of St. Louis
NORTHWESTERN
BANKER
91
PEOPLES TRUST & SAVINGS BANK
E S T A B L I S H E D 1893
CLINTON, IOWA
Capital, $300,000,00
Surplus, all earned, $300,000.00
Deposits, $5,200,000.00
Offers the facilities and services of a live, up-to-date banking
house, fully equipped and amply capitalized to handle in
telligently and efficiently every branch of legitimate banking.
Commercial
Savings
Safe Deposits
Trust
Accounts from banks in its territory, and collections receive
the special attention of an officer of the bank.
W. W. COOK
C. F. ALDEN
J. L. BOHNSON
President
Vice President
Cashier
C. S. HARRIS and W. S. GARDNER, Asst. Cashiers
T o B U Y or SELL
IOWA CORPORATION STOCKS
OU will do better if you will transact these
1 sales through the DES MOINES STOCK
EXCEIANGE, for we are in close touch with
actual market values, and we have a list of
buyers and sellers always ready to handle your
business.
Our P A R T IA L PAYM EN T PLAN allows
you to buy at an initial cost of 10% of the
market value; and to those who contemplate
the purchase of any Iowa corporation stocks,
we urge immediate action, to take advantage
of the present low prices.
SEND US THIS COUPON FOR INFORMATION
Des Moines Stock Exchange,
Fleming Bldg., Des Moines, Iowa.
This Request
will bring you
information on
stocks and our
Partial Payment
Plan without the
least obligation
to you.
............................................................... . 1922.
I will appreciate your sending me information on the
stock of .................... .......................................................................
and also your most recent “ Market Letter,” giving latest
quotations on Iowa stocks.
Bank ..................................................................................................
Officer .................................................................................._..........
Town.
State.
92
THE
NORTHWESTERN
BANKER
N X IO U S to serve,
/-"■V V E quipped to serve,
¡I
ii
«2
»< »I
in* Î ,f »* it
í
we
»m m
J'i M
hi ¡i!
Üüüîî*« MÜÎJ!!
seek
the
opportunity.
Valley National Bank
TniififTi ifirrrrïïipf
AND
Valley Savings Bank
DES MOINES, IOWA
Established 1872
Combined Capital and Surplus
$875,000.00
R. A. CRAWFORD
P resident
C. T. COLE. JR.
V ice-President
JOHN H. GINSBERG
Asst. Cashier
D. S. CHAMBERLAIN
V ice-President
W. E. BARRETT
Cashier
C. M. CORNWELL
Asst. Cashier
Dillon Burglar-Proof Lock Foils
Burglars at Twenty-five Banks
W a s th e f e w d o lla r s th e se h a n k s in v e s te d in o u r lo c k a good in v e s t m e n t
f o r th e m s e lv e s a n d t h e ir c u s t o m e r s — an d is it n o t p r o o f th a t the b a n k s w h o
h a v e ha d o u r e m e r g e n c y l o c k in s ta lle d o n o v e r 5,000 v a u lt d o o r s h a v e ad d ed
p r o t e c t io n t h a t p r o t e c t s ?
“ I n s u r a n c e r e d u c t io n p a y s f o r th e c o s t o f th e lo c k , p lu s in t e r e s t on th e
in v e s t m e n t ” — a ll in s u r a n c e c o m p a n ie s a l l o w i n g a 10 p e r c e n t r e d u c t io n
w h e r e th e lo c k s a re in s ta lle d .
On th e n ig h t o f N o v e m b e r
16th th e b u r g la r s d r ille d a
h o le t h r o u g h th e v a u lt d o o r
im m e d ia t e ly a g a in s t th e c o m
b in a t io n an d w it h a s h o t o f
n it r o b le w o ff th e c o m b in a
tio n s lic k an d cle a n . T h a t is
a ll — th e
D IL L O N
w as not
a sle e p , a n d th e b u r g la r s l e f t
v ia th e b a c k d o o r w it h o u t a
p e n n y to p a y th e m f o r th e ir
tr o u b le , l e a v i n g b e h in d th em
a s h o r t fu s e a n d a p ie c e o f
soap .
W e fu r t h e r c o n g r a t u
la te o u r s e lv e s u p o n h a v in g
had D illo n s e r v ic e . Y o u r e x
p e r ts d id an e x c e lle n t jo b o f
r e in s t a llin g
th e
lo c k .— J o h n
C la u se n ,
P r e s id e n t
F arm ers
S a v in g s B a n k , P e r c iv a l, I o w a .
On th e m o r n in g o f N o v e m
b e r 2d, b u r g la r s b y th e a id o f
an o x y -a c e t y le n e t o r c h b u rn e d
a h o le t h r o u g h th e v a u lt d o o r,
in su ch a m a n n e r th a t the
o r ig in a l lo c k
w a s r e le a se d .
Y o u r r e lo c k in g d e v ic e h eld
th e d o o r. T h e t h ie v e s w o r k e d
u n m o le s te d u n til t h e y b e ca m e
d is c o u r a g e d an d le ft . W e h a v e
one
h u n d re d
s a fe
d e p o s it
b o x e s w h ic h w o u ld h a v e been
r ifle d h a d w e n o t ha d y o u r
r e l o c k in g d e v ic e on o u r v a u lt
d o o r .— D. I. H ill, C a sh ie r M e r
c e r C o u n ty S ta te B a n k , S an d y
L a k e , P a.
In a d d itio n to b e i n g m a d e p o s it iv e ly b u r g l a r - p r o o f , v a u lt d o o r s e q u ip p e d
w it h D illo n L o c k s r e c e iv e a 10 p e r c e n t r e d u c t io n in in s u r a n c e ra te s. T h e
D illo n L o c k r e lo c k s a ll th e r e g u la r b o lt s w h e n th e c o m b in a t io n is d e s tr o y e d
b y p u llin g o r p u n c h in g th e p in, d e s t r o y in g it w it h e x p lo s iv e s o r b u r n in g it
o u t w it h a c e t y le n e g a s e s . O p e ra te s o n ly w h e n d o o r is a t ta c k e d .
S P E C IA L N O T IC E :
A n o p in io n in f a v o r o f th e D illo n L o c k W o r k s
a g a in s t A n a k in L o c k W o r k s — in th e A n a k in vs. D illo n in fr in g e m e n t c a s e —
w a s r e n d e r e d b y S p e cia l M a ste r in th e U n ite d S ta te s C o u r ts J u ly 20, 1921.
D illo n L o c k s , c o m b in e d w it h th e D illo n E le c t r ic a l S y ste m s o f a la rm s, a ls o
D illo n D a y lig h t H o ld u p P r o t e c t o r w h ic h p r e v e n ts b u r g la r fr o m lo c k in g the
b a n k e r in th e v a u lt d u r in g a d a y lig h t h o ld u p , p r o t e c t th e b a n k a g a in s t
n ig h t a t t a c k s an d d a y lig h t h o ld u p s.
We Line Vaults with ^4-Inch to 1-Inch Steel.
Distributors in all States. Write for Further Information Today.
Dillon Lock Works
Factory and General Office
Fort Dodge, Iowa
April, 1922
were present at the meeting. The
deputies appointed last year will
hold a meeting with the county
sheriff soon to perfect an organiza
tion and to secure their 1922 permits
to carry concealed weapons. The
time of this meeting will be made
known only to the deputies, accord
ing to the motion.
Not one bank robbery has been
committed in the county since the
deputies were chosen, it was pointed
out at the meeting.
The bankers also adopted a mo
tion to bear all expenses incurred
by deputies in the use of cars or
other means of transportation.
A uniform credit blank to be filled
out by all persons seeking credit at
local or county banks was adopted.
A committee was appointed at the
last meeting to draft such a blank.
The form provides for a brief but
complete statement of the debtor’s
financial condition.
Will Employ Examiner
A step designed to eliminate pos
sibilities of bank failures was taken
recently when members of the Sioux
City Clearing House association,
Sioux City, Iowa, voted to employ
an examiner to make periodical in
spections of the institutions.
This action is in line with the
policy in nearly all metropolitan
banking centers, according to offi
cials of the clearing house.
The examiner’s duties will be to
inspect the books of each member
bank at regular intervals and make
a report to the clearing house. He
will watch the grade of paper
handled bv each bank and report any
loans whirh in his opinion are con
sidered “ shaky.”
A private examiner will be able
to make more thorough insngcfions
than those of the state and federal
government, officials said.
With First Trust & Savings
Fred B. Nesper, treasurer of Mus
catine countv. Iowa, has resigned
from that position, effective May 1,
and will become connected with the
First Trust & Savings Bank of that
citv as assistant cashier. He has
held the position of county treas
urer since 1920. Mr. Nesper began
his banking career with the First
Trust & Savings several years ago.
At the annual meeting of this in
stitution, B. C. Benham, cashier,
was appointed to take care of the
trust funds of both the First Na
tional and the First Trust & Sav
ings Bank. All the officers of the
bank were reelected to office. They
include: President, D. V. Jackson;
í
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Federal Reserve Bank of St. Louis
April, 1922
THE
vice-president, S. G. Stein; vice
president, R. K. Smith; cashier, B.
C. Benham.
State Bank West Union
At the annual meeting of the State
Bank of West Union, Iowa, all the
old officers were reelected as fol
lows : President, John Jamison ; vicepresident, W . B. Thomas; cashier,
A. T. Gurney; assistant cashier, W .
M. Knox.
Will Change Bank Location
The Iowa State Savings Bank of
Sioux City, Iowa, has purchased the
leases held by the defunct Union
Trust and Savings Bank of that city
at 509-11 Fifth street, and will take
possession during the early part of
April. The purchase also includes
the bank fixtures formerly owned by
the Union Trust and Savings. Ne
gotiations for this deal have been
under way for some time. The Iowa
State Savings is now located at the
corner of Fourth and Jackson
streets.
Mt. Vernon Cashier Dies
Charles M. Hartung, cashier of
the Mt. Vernon Bank at Mt. Ver
non, Iowa, and widely known among
the banking fraternity of that part
of the stat,e. died recently at his
home in that city. Mr. Hartung
was but forty-four years of age and
had been a resident of Mt. Vernon
since 1894. He was very prominent
in Liberty Loan drives during the
war, and served for many years
both as town and school treasurer
in Mt. Vernon. Mr. Hartung is suc
ceeded as cashier in the Mt. Vernon
Bank by D. A. VanMetre.
Elected Cashier at Greeley
Glen L. Baker, of Oneida, Iowa,
has been elected cashier of the Se
curity Savings Bank at Greeley,
Iowa, succeeding F. B. Wilson who
has been made cashier of the First
National Bank at Manchester. Mr.
Baker will be assisted in the man
agement of the bank by H. G. Ludeman, of Cedar Falls, as assistant
cashier. These names, with that of
E. J. Kruemple, make up the offici
ary of the bank at Greeley.
Regarding Foreign Gov’t Bonds
Irvin J. Green, cashier of the
First National Bank of Davenport,
Iowa, who made an address recent
ly on “ Investments” before a meet
ing of the Round Table Club of
Davenport, brings out an interest
ing point concerning foreign Gov-
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Federal Reserve Bank of St. Louis
NORTHWESTERN
93
BANKER
THE MERCHANTS
N ATIO N AL BANK
CEDAR RAPIDS, IOWA
Resources $ 1 6 ,0 0 0 ,0 0 0 .0 0
OFFICERS
John T . Hamilton, Chairman
J. M . Dinwiddie, President
P. C. Frick, V . P.
Robert S. Sinclair, V . P.
H. N. Boyson, V . P.
Mark J. Myers, V . P. & Cash.
S. E. Coquillette, Asst. Cash.
James E. Hamilton, Y . P.
Robert Palmer, V . P.
Edwin H. Furrow, V . P.
Roy C. Folsom, V. P.
Fred A . Groeltz, Asst. Cash.
E. B. Zbanek, Asst. Cash.
A live institution offering superior equipment
and facilities for the handling of bank accounts.
Which Plan Is the Best for
Your Bank?
Under the old plan you carry the farmer, supply him with cash to pay his
veterinary and vaccination bills and are uncertain as to the results until
hogs are marketed.
W i t h our plan you issue certificate of deposit for amount of premium and
we pay the bills, also for every loss he may have during the year. The
money stays in your bank and your customer is sure of his profits.
You remember what happened during last year’s hog cholera epidemic. This
condition need not be repeated if you make the arrangements for your
customers now.
The prudent banker will protect his customer’s interests and his own as
well by means of our 5 PIG WEANING CONTRACT. This combined with
our vaccination agreement makes the banker and farmer 100% safe.
Our Weaning Contract insures the sow, guarantees 5 pigs weaned, vacci
nates the pigs, insures them from weaning time till they reach the car,
supplies every veterinary expense and pays for all losses.
GET AN AGENCY CONTRACT N O W !
We will send an experienced man to help you start production.
American Live Stock Insurance
Company
Home Office— OMAHA, NEBR.
Ask Any Omaha Bank
THE
NORTHWESTERN
BANKER
Your Account Is Different
The Des Moines
National completely avoids the
policy of grouping together various accounts under
the supposition that they belong to the same "class.”
Such a policy implies that the accounts thus classi
fied have little or no individuality.
The Des Moines National makes it a point to dis
cover the special features of your account which
distinguish it from every other.
The difference
may be slight, but it is found—and remembered.
Bankers and business men confronted by unusual
problems find this recognition of individuality to
their decided advantage.
Des Moines National Bank
Des Moines, Iowa
Readers will confer a favor by mentioning TH E N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
April, 1922
April, 1922
THE
ernment bonds that are held by in
vestors in this country.
“ No part of the $10,000,000,000 in
debtedness of the Allied nations to
this country is covered by bond is
sues which are privately owned in
this country,” declared Mr. Green.
“'From August 1, 1914, when the war
started, up to January 1, 1922, there
were only a little over $2,500,000,000
in Foreign Government Bonds is
sued publicly in the United States
by the nations which were engaged
in the war. Of the $2,500,000,000
in Foreign Government Bonds so
issued, approximately $1,770,000,000. have since been paid, leaving
the total amount of such bonds out
standing in this country on January
1, 1922, a little over $800,000,000. In
case all or any part of the $10,000,000,000 of Allied indebtedness to
the United States which was made
as a direct loan of our government
to the Allied nations was canceled,
it would not in any way depreciate
the value of the Foreign Bonds pri
vately owned but it would have a
tendency to strengthen them.
“ The tendency of the Foreign
Bonds above referred to has been
to strengthen during the last few
months which shows that the dis
cussion relative to cancellation of
debts is not having any derogatory
effect upon them.”
NORTHWESTERN
BANKER
95
Leavitt &Johnson National Bank
Established 1856
Oldest Bank in Waterloo, Iowa
Accounts o f Banks Desired and Appreciated
IRA RODAMAR, President
G. E. PICKETT, Vice-President
J. O. TRUMBAUER, Vice-Pres.
FRED H. W R A Y, Cashier
R. E. MILLER, Asst. Cashier
R. ROUSE, Asst. Cashier
Capital, Surplus and Profits, $350,000.00
CEN TRAL TRUST COM PANY
OF DES MOINES
W ill
re ce iv e
CAPITAL $1,000,000.00
SURPLUS $ 735,000.00
a n d e x e c u t e Trusts o f e v e r y d e s c r i p t i o n ,
E xecu to r, A d m in istra to r, G u a rd ia n
The
Security
afforded
th e c o n sta n t su p ervision
by
of
th e
its
a ctin g
as
and T ru stee.
Am ple Capital
a ffairs
its c o n v e n i e n c e o f L o c a t i o n r e n d e r its
o f this
b y com peten t
e m p lo y m e n t for
Com pany,
D ire cto rs
th e
and
purposes
n a m e d p ec u lia rly a d v a n ta g e o u s .
Fred C. McCall Elected President
Fred C. McCall has been elected
president of the First National Bank
of Nevada, Iowa, succeeding the
late J. A. Fitchpatrick. Mr. McCall
has been vice president of this in
stitution for a number of years, and
has been active in its management.
Other officers elected at the annual
meeting include : Vice-president, J.
E. Drybread ; cashier, E. A. Faw
cett ; assistant cashier, Geo. A.
Klove.
Returns From California
N. A. Inglis, president of the
Franklin County State Bank of
Hampton, Iowa, returned recently
from a two months vacation spent
in Los Angeles, California. While
in California, Mr. Inglis visited at
the home of his mother and sister
who reside in that state.
First Savings, Reinbeck
Following a change in the man
agement of the First Savings Bank
of Reinbeck, Iowa, L. H. McGrew
has been made cashier and E. P.
Bieber, active vice-president of that
institution. Other officers include :
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
The
C o m p a n y b u y s a n d se lls b o n d s , w a r r a n t s ,
c e r t ifi c a t e s , first m o r t g a g e s
sp ecial
assessm ent
and other in v estm en t paper.
OFFICERS AND DIRECTORS
S C O T T R A W S O N , P r e s id e n t
C H A S . L . G I L C R E S T , V ic e -P r e s id e n t
L . M . G R I M E S , V ic e -P r e s .— T r u s t s
T A Y L O R G R I M E S , V i c e - P r e s ___ L o a n s
R . E . J A C K S O N , A u d i t o r -A s s i s t a n t Sec.
C h a r le s L . G ilc r e s t
M a rk L . Joh nson
R . E . R o llin s
L . M . G r im e s
L . C. K u rt»
H . E . R u m sey
T a y lo r G r im e s
H e n r y S . N ö l le n
M . S a m ish
W . C. H arbach
C h a r le s A . R a w s o n
W . E . Tone
F . W . H u b b e ll
S c o tt R a w s o n
N . M . W llc h in s k l
The Cedar Rapids National
Bank
W it h Capital, Surplus and Profits of $ 9 5 0 ,0 0 0 .0 0
and Resources $ 1 5 ,0 0 0 ,0 0 0 .0 0
Invites New Business
O
IRECT
OFFICERS
R a lp h V a n V e c h te n , P res.
G len n M. A v e r ill, V . P res.
G eo. B. D o u g la s , V . P res.
M a rtin N e w c o m e r , V . P res.
K a r l H. R e h n b e r g , V . P res.
G eo. F . M ille r, V . P res.
C has. C. K u n in g , C a sh ie r
A n n a R . S m ou se, A . C ash.
B e r th a M. W o lf , A . C ash.
P e te r B a ile y , C h ie f C le r k
G eo. W . S w ab ,
M g r. S a v in g s D ep t.
THE
96
NORTHWESTERN
BANKER
American
Commercial and
Savings Bank
April, 1922
A. Green, president; J. W . Hepperle,
assistant cashier; H. R. Robinson,
assistant cashier.
Farmers Savings, Clermont
O F F IC E R S
At the annual meeting of the
Farmers Savings Bank of Clermont,
Iowa, the following officers were
elected in charge of the banks affairs
for the year: President, Christian
Miller; vice-presidents, J. M. Brorby and H. F. Shipton; cashier, J. A.
Erickson; assistant cashier, Wm.
A. Kneeland. A seven per cent divi
dend was declared and $2,000 was
added to the surplus fund.
E D . K A U F M A N N , P r e s id e n t
H. P. O E T Z M A N N , C a sh ie r
R A Y N Y E M A S T E R , V ic e P re s id e n t
F . C. K R O E G E R , A s s is t a n t C a sh ie r
F . A . JO H N SO N , A s s is t a n t C a sh ie r
W. K. Hamilton Dies
OF
DAVENPORT, IOWA
Capital Stock.............. $
Surplus ........................
700,000.00
700,000.00
439,000.00
Undivided profits..........
Deposits........................ 15,030,000.00
Our adequate equipment and exceptional facilities for handling busi
ness in every department of banking are at your service.
First National Bank
and
Iowa State Savings Bank
BURLINGTON, IOWA
WMIMIIIMUMMIMIMIIMMimniMIIMUMMI
Combined. Resources
- -
$8,500,000.00
W . K. Hamilton, cashier of the
Peoples State Bank of Guthrie Cen
ter, Iowa, died recently at his home
in that city, following two weeks
illness with small pox. He had
lived practically his entire life in
Guthrie county, having come to
Iowa with his parents when but six
years of age.
Mr. Hamilton was a teacher early
in life and left that profession to
become county auditor in 1901.
After serving in that capacity for
six years, he became interested in
the organization of the Peoples State
Bank of Guthrie Center, and be
came its cashier. This position he
held until his untimely death.
1IIIIIIIIIIIIIIIINIIIIIIIII1IIIUIIIUIIUIUM
Equipped to handle business of banks and
bankers in Southeastern Iowa.
UUIIIIIIIIIIIIIIIIIIilllllllllllllUUItUIUM
C O R R E S P O N D E N C E
S O L I C I T E D
THROUGH 38 Y EA R S
The guiding principle of this bank has been— Conservatism, with a
sense of responsibility to the needs of our customers
s
E C U R I TY
MK
N A TIO N A L BANK
S IO U X C IT Y , IO W A
Our name is easy to remember and it has a meaning
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Federal Reserve Bank of St. Louis
Storm Lake Banker Dies
Fred Schaller, pioneer business
man of Iowa, and veteran banker of
Storm Lake, died recently at his
home in that city following an ex
tended illness. Mr. Schaller came
to the United States in 1866 from
Alsace. He settled in Iowa in 1867
and entered the mercantile business
at Storm Lake in 1886. In 1902
he purchased the banking business
of Thomas & Bradford, in connec
tion with his son, George J. Schal
ler. This institution was known as
the Citizens Bank until its reorgani
zation as the Citizens National Bank
in 1911. He was president of this
institution for a number of years and
retained an active interest in it up
to the time of his death, although
the management of the bank was
carried on by his son, Mr. George
Schaller.
Banker Buys Theatre
J. A. Courtright, assistant cash
ier of the Home State Bank of
Humeston, Iowa, has purchased the
Princess Theatre in that city and
will operate the business for himself.
!
)
I
April, 1922
THE
NORTHWESTERN
H om er
BANKER
A,
97
M i l l e r ......................................P r e s i d e n t
C ly d e E . B r e n t o n .......................... V i c e P r e s i d e n t
I I . T . B l a c k b u r n ........................... V i c e P r e s i d e n t
G e o . E . P e a r s a l l ............................V i c e P r e s i d e n t
.1. R . C a p p s .........................................................C a s h i e r
W a l t e r H . M i l l e r ..............................A s s t . C a s h i e r
R. L.
C h a s e , J r .................................A s s t .
J a m e s F . H a r t .....................................A s s t .
.1. B n r s o n .................................................A s s t .
C 'h a s.
I I . N u t t ....................................A s s t .
S. W . F o w l e r .......................................A s s t .
C a s h ie r
C a sh ie r
C a sh ie r
C a sh ie r
C a s h ie r
Iowa’s Wealth Is Indicated
By Her 430,118 Automobiles
In number of automobiles per capita, Iowa is again a
leader, with one to every 5.5 persons, according to 1921
registration figures. This reflects the total wealth of the
state. But only five counties have more than 10,000 cars
and no county has less than 1,859. The average is 4,344
per county, showing the uniform distribution of this
wealth. There are no useless tracts in Iowa.
These figures will be exceeded in 1922. The growing
prosperity of Iowa increases the need for our new home
with its larger facilities for serving depositors and the
banks of Iowa.
Make your Des Moines connection with this strong bank.
Io
w a 's
La r g
est
Ba
n k
,
Iowa National Ba n k
DES MOINES SAVINGS BANK&TRUSTCO.
SECOND FLO O R FLE M IN G
BWALNUT
DES M O IN E S
R ea d ers w ill c o n fe r a fa v o r by m en tionin g T H E N O R T H W E S T E R N B A N K E R w h en w ritin g to ou r advertisers.
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Federal Reserve Bank of St. Louis
THE
98
NORTHWESTERN
April, 1922
BANKER
The Chase National Bank
of the City of New York
57 Broadway
Placing a Value On
Canadian Securities
During the year 1921 over sev
enty-five million dollars worth of
Canadian bonds were sold in the
United States. During the year
1922 the total will equal, if not ex
ceed, that of the preceding year.
It is probable that during the com
ing year American bankers wil 1 be
called upon to an increasing extent
to appraise the value of Canadian
bonds of all kinds.
While Canadian banks do not
make investment recommendations,
American bankers and investors
seeking
information
regarding
Canadian bonds will always find
the facilities of our Statistical De
partment in New York at their
disposal.
A Canadian Bank fo r Canadian Business
Union Bank of Canada
New York Agency, 4 9 Wall Street
C A P I T A L ............................................................................................. $ 2 0 ,0 0 0 ,0 0 0
2 1 ,6 7 8 ,0 0 0
S U R P L U S A N D P R O F I T S ...................................................
D E P O S I T S ( M a r c h 1 0 , 1 9 2 2 ) .............................................. 3 7 3 ,3 3 2 ,0 0 0
Ï
O F F IC E R S
A L B E R T H . W IG G IN
P r e s id e n t
*
V ic e P r e s id e n ts
H E N R Y O L L E S H E IM E R
S A M U E L H . M IL L E R
C A R L J. S C H M I D L A P P
A L F R E D C. A N D R E W S
R O B E R T I. B A R R
G E R H A R D M. D A H L
R E E V E SCH LEY
S H E R R IL L S M IT H
A s s is t a n t V ic e P r e s id e n ts
E D W IN A . L E E
G IL B E R T B. S A Y R E S
W IL L IA M E. P U R D Y
A L F R E D W . H UD SO N
GEORGE H. SAYLOR
GEORGE H ADDEN
M. H A D D E N H O W E L L
C o m p tr o lle r
C a sh ie r
T H O M A S R IT C H IE
W IL L IA M P. H O L L Y
D IR E C T O R S
H E N R Y W . CANNON
F R E D E R IC K H . E C K E R
E U G E N E V. R. T H A Y E R
A L B E R T H. W IG G IN
C A R L J. S C H M I D L A P P
J O H N J. M I T C H E L L
G E R H A R D M. D A H L
G U Y E . T R IP P
ANDREW FLETCHER
JA M E S N. H IL L
W M . BOYCE THOM PSON
D A N I E L C. J A C K L IN G
R E E V E SCH LEY
C H AR LES M. SC H W AB
K E N N E TH F. W OOD
H . W E N D E L L E N D IC O T T
S A M U E L H. M IL L E R
W
IL L IA M M. W O O D
E D W A R D R. T IN K E R
J E R E M IA H M IL B A N K
E D W A R D T . N IC H O L S
H E N R Y O L L E S H E IM E R
N EW COM B CARLTON
W E RECEIVE ACCOUNTS OF BANKS, Bankers, Corporations, Firms
or Individuals on favorable terms, and shall be pleased to meet or cor
respond with those who contemplate making changes or opening new
accounts.
Through its Trust Department, the Bank offers facilities as: Trustee
under Corporate Mortgages and Indentures of Trust; Depositary under
reorganization and other agreements: Custodian of securities and Fiscal
Agent for Corporations and Individuals; Executor under Wills and Trustee
under Testamentary Trusts; Trustee under Life Trusts.
F O R E IG N E X C H A N G E D E P A R T M E N T
Resources Over $152,000,000
I
S T E A D Y increase of Iowa
bank correspondents,
month by month, is
assurance that we
have a worth while
Des Moines service
for your bank.
\
Ballard-Hassett Co.
Investment Securities
Are you interested in
a new Des Moines
bank connection?
Specialty
Iowa Municipal Bonds
Ba n k e r s Trust (b.
Ba n k ,
Capital $ 1,000,000 .00
Cor. 6th.andLocust SKDesMoines
Member federal Reserve Bank
303 Securities Bldg.
603 Metropolitan Bank Bldg.
DES MOINES, IA.
M INNEAPOLIS, M INN.
Readers will confer a favor by mentioning THE N O R T H W E S T E R N B A N K E R when writing to our advertisers.
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Federal Reserve Bank of St. Louis
A p r il,
THE
1922
Q u im b y
A
Banks
grou p
by
S ta te
NORTHWESTERN
in c lu d in g
7X« CONTINENTAL j» /
C O M M E R C IA L
Thom as
F e e , J a m e s F e e , E . R it z , A . J. C la r k
and
H . E.
S w arn er, h ave p u rch ased
c o n tr o llin g
S a v in g s
in te r e s t
Bank,
Q u im b y ,
in
b o th
Io w a ,
of
th e
and
C itiz e n s
in s titu tio n
P r e s id e n t,
th e
C itiz e n s
in s titu tio n s
th e
w ill b e c o n s o lid a t e d
m anagem ent
tw o
of
B A N KS
banks
u n d e r th e n a m e
S a v in g s
of
th e
w ill
be
Bank.
n e w ly
Thom as
in
ch arge
F ee;
C H IC A G O
The
m erged
Statements of Condition March 10, 1922
of :
CONTINENTAL ^COMMERCIAL
v ic e -p r e s i
d e n t, H . E . S w a r n e r , fo r m e r ly c a s h
ie r
of
W .
th e
M .
c a s h ie r
J.
Q u im b y
H arvey,
of
th e
C la r k ,
th e
to ra te
Ë.
of
w ill
Jam es
C itiz e n s
S ta te ,
board
S ta te ;
be
c o n s is t
B u sh ,
F.
of
The
th e
T h os.
R itz
and
of
d ir e c
Joh n son ,
A c tiv e
R esou rces
Tim e Loans............................
..¿1 55 ,6 8 6 ,1 7 9.41
Demand Loans________
112,186,514.31
Acceptances________
1,349,262.20
Bonds, Securities, E t c .___________________________________________________ 20,386,927.58 ¿289,608,883.50
U . S. Bonds and Certificates o f Indebtedness------- -------------------------11,978,170.04
Bank Premises (equity)___________________________________________
7,250,000.00
32,945.00
Other Real Estate_____ _______________________________
Stock o f Federal Reserve Bank____________________________________
1,200,000.00
3,909,811.88
Customers’ Liability on Letters o f Credit -------------Customers’ Liability on Acceptances (as per Contra)---------------------5,205,163.67
Overdrafts________________________________________________________
73,563.59
Cash and Due from B anks________________________________________
104,055,069.61
¿423,313,607.29
A .
c h a ir m a n
o f:
O scar
E.
S w arn er.
S a v in g s .
d ir e c to r s .
F ee,
a ssista n t
p r e s id e n t
w ill
N a t io n a l Ba n k
c a s h ie r ,
fo r m e r ly
r e tir in g
Q u im b y
Fee,
C h as.
H .
E.
m anagem ent
of
t h e b a n k w i ll b e in t h e h a n d s o f M r .
S w a r n e r , v ic e
H arvey,
w ho
s u p e r v is e d
several
den
of
vey,
th e
w as
very
have
a
p lu s
of
ond
su c c e ssfu l
b a n k in g
th e
sh are
w ith
in
The
c a p ita l
of
$ 2 5 ,0 0 0 ,
la r g e s t
n in e
th e
m a k in g
bank
it
in
176,566,695.92
367,473,194.23
of
CONTINENTAL ¿»¿/COMMERCIAL
years
p rogress
¿ 25,000,000.00
15,000,000.00
4,589,130.66
1,837,952.36
50,000.00
4,138,528.87
5,224,801.17
¿423,313,607.29
of
Trust and Sa v in g s Ba n k
in s t it u t io n w ill
$ 2 5 ,0 0 0
sta te
Deposits } B a n k s __________
H ar
c a s h ie r
fo r
new
bu r
M r.
a ssista n t
S a v in g s
a c tiv e
th a t b a n k .
M r .S w a r n e r ,
w ill
m anagem ent
w ho
L ia b ilities
Capital...................................... ............... .............................. .......... ...........
Surplus____________________________________________________ _______
Undivided Profits_________________________________________________
Reserved for T a x e s _______________________________________________
C irculation.----------------------Liability on Letters o f C red it______________________________________
Liability on A ccep ta n ces-----------------------------------------------------------------
by
th e m e rg e r , h a s h ad
of
H e
C itiz e n s
and
c a s h ie r .
years
e x p e r ie n c e .
4
p r e s id e n t, a s s is te d
M r.
99
C o n s o lid a te d
o f d ir e c to r s o f th e Q u im
Bank,
BANKER
and
su r
th e
sec
R esou rces
Tim e Loans__________________________________________
Demand Loans____ ______________________________ ¿21,378,055.54
*Bonds and Securities_____________________________ 15,892,206.23
Cash and Due from Banks__________________________ 34,083,818.05
C h erokee
c o u n ty .
¿20,201,124.47
71,354,079.82
¿91,555,204.29
*Adjusted to cost or market price, whichever is lower.
P om eroy
B anker
Jason
zen
H .
of
p io n e e r
of
Iow a,
th e
L ia b ilitie s
C apital............................................- .............................. - $ 5,000,000.00
Surplus__ __________________________________________ 5,000,000.00
U ndivided Profits_________________________________ 2,574,384.53
Unearned Interest------------109,153.81
Reserved for Taxes, Int. and D i v .__________________ 1,745,490,80
Demand Deposits_________________________________ ¿20,890,638.66
Tim e D ep osits-------------------------------------------------------- 49,114,968.46
Special D ep osits___________________________________
7,120,568.03
c iti
and
P om eroy
B a n k , P o m e ro y , Io w a , a bank
c e n tly
in
age
in
P asad en a,
of
1 9 1 1 , d ie d r e
C a lifo r n ia ,
s e v e n ty -s ix
Io w a , b o th
in
at
years.
L o w r e y w a s w e ll k n o w n
of
C a lifo r n ia
c o u n ty ,
p r e s id e n t
w h ic h h e o r g a n iz e d
th e
in
L ow rey,
C a lh o u n
fo r m e r ly
S ta te
D ie s
and
77,126,175.15
¿91,555,204.29
T h e C a p it a l S t o c k o f t h is B a n k is o w n e d b y t h e S t o c k h o l d e r s o f
t h e C o n tin e n t a l a n d C o m m e r c i a l N a t io n a l B a n k o f C h ic a g o .
M r.
in h i s p a r t
a b a n k in g
¿14,429,029.14
Combined Deposits, $ 4 4 4 ,5 9 9 ,3 6 9 .3 8
po
litic a l w a y , h a v in g s e r v e d a s a m e m
ber
of
th e
te rm s.
i
sta te
D am age
The
C itiz e n s
Io w a ,
s u ffe r e d
w h ic h
sta rte d
to
bank
and
becom e
fu rn a c e
of
aged
and
m oved
and
th e
g r o w th
fir e
lo s s
r e c e n tly ,
to
th e
basem en t
th e
bank
and
fo rc e
in to
bank
fo llo w in g
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
A n
cau se.
w as
fo r
of
a tim e
o v e rh e a te d
versary.
e n tir e
of
bank
d ir e c to r s ’
opened
day,
D a v e n p o rt,
dam
cau sed
fo r
w as
room
b u s in e s s
h ow ever.
T h is
1889,
m en
be
th e I o w a
b a d ly
The
th e
p r id e b y
u s e fu ln e s s
an
a tte n d a n t
$ 1 3 7 ,8 3 4 .5 9 ,
$ 4 ,0 0 0 ,0 0 0 ,
re co rd s th a t can
c e le b r a te d
w as
th e
th a n
w ork
w a te r.
of
in d e p o s i t s f r o m
m ore
The
dam age
years
A n n iv e r s a r y
c o m m u n ity , an d
W a p e llo ,
in
som e
its
of
a
T h ir ty -T h ir d
T h ir ty -th r e e
to
Bank
th re a te n e d
th e
sm o k e
w o r k in g
th e
tw o
at W a p e llo
s e r io u s .
w as
room
by
fo r
C e le b r a te
F ir e
th e
le g is la tu r e
tw o
to
w ith
p o in te d
N a tio n a l B a n k
Io w a ,
its
are
th a t
of
cou rse
a n n i
d e p o sits
s u r p lu s
in g s
in s t itu tio n
who
th re e
had
w as
o r g a n iz e d
h u n d red
th e
in
D aven port
fo r e s ig h t
to
see
in
r a p id
C h as.
B.
been
The
w is d o m
D aven p ort
of
th e ir
and
S h u le r ; v ic e
Y e tte r
Io w a
la r g e ly
g ro w th ,
(lik e w is e
B an kers
c a s h ie r ,
s u r r o u n d in g
of
p resen t
$ 4 ,0 0 0 ,0 0 0 ,
to ta l
P r e s e n t o ffic e r s o f th is
have
r ic h
be.
th e
c a p ita l o f $ 1 0 0 ,0 0 0 ,
excess
o f $ 2 0 5 ,0 0 0
p r e s id e n t,
r e g io n
by
o f $ 1 5 0 ,0 0 0 , u n d iv id e d
w h a t th e fu tu r e d e v e lo p m e n t o f th a t
m ig h t
to
a
earn
resou rces
e x c e e d in g $ 5 ,0 0 0 ,0 0 0 .
its
by
a tte ste d
D a v e n p o r t, w ith
r e c e n tly
th ir ty -th ir d
is
s ta tu s o f th e I o w a N a tio n a l B a n k o f
L o u is
are :
p r e s id e n t,
F ran k
p r e s id e n t
o f th e
H .
G.
in
P r e s id e n t,
A s s o c ia tio n ) ;
W m .
c a s h ie r , H e r m a n
bank, w ho
in str u m e n ta l
B e in ;
S ta a k .
v ic e
G eh rm an n ;
a ssista n t
THE
100
NORTHWESTERN
BANKER
Y O U R M A R C H FUNDS INVESTED IN
7
o1
REAL ESTATE
/0 FIRST MORTGAGE BONDS
T A X FREE IN N EBRASKA
Gives you absolute Safety and good Return. $100,—$200,—$250,—
$1,000,—Denominations. Due February 1st or August 1st of each year for
ten years.
Interest rates are declining towards a normal 4%
and 5% basis. Are you going to wait for 5% or
act now and obtain 7%?
O w n e d a n d R e c o m m e n d e d By
H O M E B U I L D E R S , Inc.
Assets N e a rly $1,500,000.00
A M E R IC A N SE C U R IT Y C O M P A N Y
Brokers
OMAHA, NEBRASKA
LONDON JOINT CITY &
MIDLAND BANK LIMITED
April, 1922
Adding Machine Contest
Much interest and a great deal of
enjoyment resulted from the annual
Adding Machine Contest held at the
Y. M. C. A. by the Des Moines Chap
ter of the American Institute of
Banking. The first five prizes in
the contest were won by Robert L.
Carson, of the Iowa National; H. P.
Shoemaker, of the Bankers Trust;
A. Erickson, of the Bankers Trust;
Clyde Eaton, of the Iowa National
and Ross Morlan, of the Iowa Na
tional.
Mr. Carson, who carried off first
honors, including the usual silver
loving cup and twenty dollars in ad
dition to twenty dollars presented
him by the Iowa National Bank with
which he is connected, completed
the correct addition of one hundred
checks in one minute and thirtyfour seconds. This is slightly below
the record set last year by Miss
Alyda Larson, of the Iowa Loan and
Trust. Miss Larson made excellent
time this year, but was disqualified
on account of an error.
CHAIR MAN:
The
R ig h t
Hon.
R.
M cKENNA
JOINT MANAGING DIRECTORS:
F. HYDE
E. W. WOOLLEY
D ecem ber
Authorised Capital
Subscribed Capital
-
-
-
3 1st,
-
-
-
-
1921
-
-
-
-
-
-
£45,200.000
38,1 1 7,1 0 3
L IA B IL IT IE S
£
P a id -u p C a p ita l
1 0 ,8 6 0 ,8 5 2
R eserve Fund 1 0 ,8 6 0 ,8 5 2
C u rren t, D ep o sit &. o th e r A c c o u n ts
(in c lu d in g Profit B a la n c e ) - 3 7 6 ,5 7 8 ,5 7 9
A c c e p ta n c e s & E n g a g e m e n t s 1 9 ,8 4 8 ,3 2 2
ASSETS
Coin, N o te s & B a la n c e s w ith B an k
o f E n g la n d 5 9 ,9 8 9 ,0 1 2
B a la n c e s w ith , & C h e q u e s in c o u r s e
o f C o lle ctio n on o th e r B a n k s in
th e U nited K in g d o m
1 2 ,8 0 2 ,7 0 7
M oney a t Call & S h o rt N o tice 1 1 ,6 5 1 ,4 9 7
In v e s tm e n ts
5 6 ,7 5 8 ,8 0 8
Bills D isco u n ted
7 2 ,1 1 8 ,0 3 4
A dvances - 1 7 6 ,7 7 9 ,2 6 1
L iabilities o f C u s to m e r s fo r A c c e p t
a n c e s 8t E n g a g e m e n t s 1 9 ,8 4 8 ,3 2 2
B an k P re m ise s
4 ,9 4 2 ,2 9 9
S h a r e s o f B e lfa s t B a n k in g Co. Ltd. &
T h e C ly d e s d a le B an k Ltd. 3 ,2 5 8 ,6 6 5
HEAD
O FFIC E: 5,
OVER
THREADNEEDLE STREET,
LONDON,
1600 OFFICES IN ENGLAND AND
Overseas Branch:
65 & 66, Old Broad Street, London, E.C. 2
A FFIL IATE D
BELFAST
110 OFFICES
CLYDESDALE
OVER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis
BANKS:
BANKING COMPANY LIMITED
OVER
THE
E.C. 2
WALES
160
OFFICES
IN
IRELAND
BANK LIMITED
IN
S C O TL A N D
God’s Country
Where in the world is there a
better place to live and work than
right here in the great Corn Belt?
It is quite true that during the
last year we have had our corns
stepped on and suffered a few severe
blows beneath the belt; and such
experiences are not cheerful ones to
recall even though unique in a sec
tion hitherto so prosperous that we
have been objects of envy the world
over.
Post mortems are not agreeable to
witness or talk about, and people
whose sole topic of conversation is
“ hard times” find it difficult to speak
cheerfully about anything else. They
remind me of two women I once
knew who engaged in a heated argu
ment as to which one’s father failed
for the most money in the panic of
1893. They actually enjoyed them
selves.
It is now time for a little brighter
viewpoint. Perhaps one need not
be quite as optimistic as the bar
tender who still continues paying
his dives to the Union; but we can,
at least, avoid the extreme course
of the pessimist who, upon being
given the choice between two evils,
insists upon taking both. The in
creased prices for farm products
means millions of dollars to the
farmers; and the outlook is far
brighter now than a month or two
ago. The business man who goes
to work consistently and smilingly
will make good this year; and, by
the same token, the one who con-
April, 1922
THE
tinues to mourn in sack cloth and
ashes will fail utterly.
Wake up, rub your eyes, shake
yourself! You are at the fork in
the roads; one path leads to pros
perity, the other to the Slough of
Despond. You have your choice.
Turn to the right!— E. C. Budlong,
vice president Bankers Accident
Insurance Co.
Upholds Liberty Bond Decision
A recent legal decision, the case
of Kubli versus First National Bank
at Pleasantville, Iowa, regarding the
liability of banks for the custody of
their customers’ Liberty Bonds, has
substantiated an opinion expressed
by the Legal Editor of the North
western Banker in June, 1918. The
inquiry coming at that time from
the Peoples Savings Bank, Crawfordsville, Iowa, was as follows:
“ What is the liability of banks, who
hold customers’ Liberty Bonds for
safe keeping, also what is the lia
bility of a bank as to bonds con
tained in safety deposit boxes rented
to customers?”
Jas. P. Gaffney, then Legal Editor
of the Northwestern Banker and
now an attorney at Williamsburg,
Iowa, quoted at that time an opin
ion that “ where a bailment is for
the sole benefit of the bailor, the
bailee is bound to exercise only
slight diligence and is responsible
only for gross neglect or bad faith,”
and that “ where the property is
stolen, it has been held that the
bailee is not liable unless the loss
is the result of gross negligence on
his part ; but a bailee who, having
reason to believe that there is dan
ger of robbery, takes no precaution
against it, is negligent.”
This opinion, printed in the July,
1918, issue of the Northwestern
Banker, is substantiated by the re
cent decision of the Supreme Court.
Melaas Elected Cashier at Huxley
Ira J. Melaas has resigned as a
teacher in the high school at Ames,
Iowa, to become cashier of the Hux
ley Savings Bank at Huxley, Iowa.
Mr. Melaas is well known at Hux
ley, having been principal of the con
solidated school at that place last
year.
Jasper County Savings, Newton
A recent statement of condition
of the Jasper County Savings Bank,
Newton, Iowa, shows the resources
and liabilities of that bank as $1,414,990.90. J. R. W oodrow is presi
dent and A. E. Hindorff cashier.
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Federal Reserve Bank of St. Louis
NORTHWESTERN
BANKER
101
♦V
R E P R E S E N T A T IV E L A W Y E R S
In s e n d in g b u s in e s s to la w y e r s c o n s u lt t h e fo llo w i n g lis t .
T h e s e fir m s
c a n h a n d l e y o u r b u s i n e s s p r o m p t l y a n d e f f ic ie n t ly
MONROE
& LEM ANN
Carondelet Bldg., New Orleans, La.
Attorneys for Whitney-Central National Bank,
Whitney-Central Trust & Savings Bank, Fed
eral International Banking Company
W IL L IA M
L. S Y M O N S
A t t o r n e y a n d C o u n s e lo r a t L a w
700 T e n th S treet,
W a s h i n g t o n , D . C.
MESSER,
Iowa
C A L V IN
W a u ko n
General
SWAN,
A tla n tic
ALEXANDER
Iowa
1.
Rockwell
Practice
C LO V IS
&
SWAN
Iowa
&
OLSEN
S.
Iowa
S T IL W E L L
Iowa
General Practice
P a te n t, T r a d e - m a r k a n d C o r p o r a t io n
C a u ses
M A R T IN
&
W e b s te r City
CLEARMAN
City
General Practice
E.
DOUGHERTY
City
General Practice
COCHRAN
&
Iowa
W OLFE
Logan
Iowa
General Practice
General Practice
In the Center of Things:
A large bank in a large business cen
ter; located in the valley metropolis
that marks the crossroads of conti
nental rail and river traffic.
The strength of sound banking prac
tices—of a desire to cooperate fully—
of 64 years’ experience—of accurate,
rapid service in seven departments, all
national—these qualities of strength
not expressible in figures have at
tracted to us as patrons some of the
most important banks in the territory
we serve.
C orrespon d en ce and in q m ries o f
banks and ba n k ers in vited
The N A T IO N A L
B A N K OF C O M M E R C E
John G. Lonsdale, President
In St . Lo u is
The Gateway Y W
AD V E R TISE
NEW HAVEN, CONNECTICUT
Northwestern Banker
I N THE
THE
102
NORTHWESTERN
BANKER
FIRST N A T IO N A L B A N K
COU NCIL BLUFFS, IO W A
Surplus $250,000.00
Capital $200,000.00
J, P . G re e n sh le ld s, P resid en t
E . A . W ic k h a m , V ic e -P re s id e n t
G . F . S p o o n e r, C ash ier
R o y M a x field , A s s t. C ash ier
J . S . W a t s o n , A s s t . C ash ier
More than half a century of successful banking
ALBERT F. BALCH, President
CHARLES C . TR IN E, Vice President
W IL LIA M G . STRICK LER, Vice Pres.
H AR R Y W . JENNINGS, Cashier
MEMBER OF THE FEDERAL RESERVE SYSTEM
Over F orty Y e a rs of
Conservative Banking
&93 Marshalltown State Bank 7293
MARSHALLTOWN, IOWA
(It Does Make a Difference Where You Bank)
The Dubuque National Bank
DUBUQUE, I O W A
Deposits Over $2,000,000
Keep us in mind—
OFFICERS
Our Service Pleases
I n o ffe r in g o u r s e r v ic e s t o b a n k s
B E N J .H O W R E Y
President
a n d b a n k e r s w e d o so w it h fu ll
c o n fid e n c e
in o u r
a b ility
to
J O H N L .J O N E S
p le a s e .
A . G. A G N E W
Vice Presidents
W e w ill w e lc o m e th e o p p o r t u n
it y o f s e r v in g y o u .
A L B E R T K . S M IT H
Cashier
H. M . H O W R E Y
Treasurer
E. H. W Y A N T
T
he
and
Secretary
T o t a l R e s o u r c e s $ 3 ,0 0 0 ,0 0 0 .0 0
W
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Federal Reserve Bank of St. Louis
W ATERLO O BANK
TRU ST CO M PANY
A
T
E
R
L
O
O
.
.
I O W A
April, 1922
Northwestern State, Orange City
Assets and liabilities of the North
western State Bank of Orange City,
Iowa are $993,253.08, according to
a recent statement of condition. De
posits total $726,402.08. Officers of
this strong institution are : Presi
dent, Wells S. Short; vice-presi
dents, William F. Rieckhoff and P.
D. Oosterhout ; cashier, Gerrit J.
Slobe ; assistant cashiers, Herman
Te Paske and Clarence H. Gelder.
Issues Taxation Bulletin
Under date of March 7, 1922, the
Iowa Bankers Association has is
sued an extremely valuable bulletin
on “ Taxation.” The booklet thirtytwo pages in size, covers five sub
jects: Des Moines and Council
Bluffs Case on Securities to U. S.
Supreme Court, Reassessment for
Year 1922, U. S. Supreme Court De
cision, Richmond, Va., Tax Suit,
General Tax Work of I. B. A. Tax
Committee and a Supplement.
Independence Banker Dies
Dr. R. E. Buchanan, vice presi
dent of the Peoples National bank
of Independence, Iowa, died recent
ly at his home in that city following
three weeks of illness. He was a
prominent medical man in his com
munity in addition to being vice
president and a director in the Peo
ples National.
Floyd County Bankers Meet
The Floyd County Bankers asso
ciation held its annual meeting- re
cently at the Hildreth hotel, Charles'
City, Iowa.
The association was entertained
this year by the Floyd county bank
ers outside of Charles City.
G. W. Gates, vice president of the
Marble Rock bank, Marble Rock,
presided as toastmaster at the ban
quet.
E. C. Moody, cashier of the First
State bank, Nora Springs, gave the
address of welcome to the Charles
City bankers, to which Melvin Ellis,
president of the Security Trust &
Savings bank, made the response.
This was followed by an address
by Raymond B. Ries, cashier of the
Marble Rock bank, on the hanking
situation in Floyd county, Iowa.
G. W . Gates introduced the main
speaker of the day, H. A. Orchard
of Cedar Rapids, la.
The regular business meeting was
then taken up and among the vari
ous items of business the follow
ing resolution was unanimously
adopted:
“ Whereas, the burden of taxes is
unduly heavy on the citizens of
April, 1922
THE
NORTHWESTERN
BANKER
103
Floyd county, and there are several
proposals pending before the board
of supervisors, which if adopted will
call for a large expenditure of ad
ditional funds.
“ Now Therefore, W e the Floyd
County Bankers association, in an
nual convention assembled, do here
by resolve that it is for the best in
terests of the county that great care
be exercised in consideration of
these proposals and strictest econ
omy in the expenditure of public
funds be the policy of the board.
“ It is only through strictest econ
omy that the present heavy rate of
taxation can be reduced.”
Election of officers for the ensuing
year resulted in the naming of G. W .
Gates president. H. J. Thompson,
vice president; Earl E. Barger, sec
retary; James A. Cutler, treasurer.
Swan Banker Dies
F. M. Ridgway, president of the
Swan Savings bank of Swan, Iowa,
died recently following an accident.
He had been connected with the
Swan Savings bank for a number of
years. Although not an active of
ficer, he took a great interest in the
affairs of the bank and was very
prominent in the educational work
of his community. His successor
has not been elected.
Williamsburg Banker Dies
James F. Lytle, president of the
Williamsburg Savings, Williams
burg, Iowa, and pioneer business
man of that city, died recently fol
lowing a brief illness. Mr. Lytle
had been engaged in business in
Williamsburg for thirty-nine years.
For the past twelve years he was
president of the Williamsburg Sav
ings Bank, the largest bank in Iowa
county, with resources of $1,495,309.92 and deposits of more than
one and one-quarter million.
Armored Car to Pursue Bandits
Here is a new idea for vigilance
committee work. The officers of the
Plymouth County, Iowa, Bankers’
Association have covered the front,
sides and windshield of a Mercer
automobile, it is said, with steel
plates, and through the windshield
holes have been made through
which guns can be fired.
The officers of the Shelby County
Bankers’ Association have in the
same manner outfitted a Stutz auto
mobile with steel plates. These
cars are to be used when pursuing
bank bandits. This is certainly a
new enterprise in vigilance commit
tee work and indicates one more
step in the development of vigilance
committees under the several county
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Federal Reserve Bank of St. Louis
W e W ant to Serve You
O UR
FACILITIES are excellent and
w e g iv e
b u s in e s s .
s p e c ia l a t t e n t io n
to
cou n try
bank
T h e s e r v i c e w e r e n d e r w i ll i n t e r e s t b a n k s in o u r
te r r ito r y .
A ccou n ts
and
c o lle c tio n s
receiv e
p r o m p t a tte n tio n .
C ity-C o m m ercial Savin gs Bank
Capital $400,000
Surplus $60,000
MASON CITY, IOWA
OFFI CERS
A . M. S C H A N K E , P re s id e n t
L. O. ST O N E , V ic e P r e s id e n t
W A L T E R J. W A L K E R , V ic e P re s .
J A M E S A . P A R D E N , V ic e P r e s id e n t
R A L P H P. P A L M E R , C a sh ie r
C. E . B R O O K S , A s s is t a n t C a sh ie r
I R A W . ST IN SO N , A s s is t a n t C a sh ier
L. W . S H E R M A N , A s s is t a n t C a s h ie r
R . A. P O T T E R , A s s is t a n t C a sh ie r
H. C. W E E K S , A u d it o r
THE
104
W ATERLOO
NORTHWESTERN
BANKER
S A V IN G S B A N K
WATERLOO, IOWA.
CAPITAL $100,000.00
DEPOSITS $1,950,000.00
SURPLUS AND PROFITS $100,000.00
This Strong Bank Offers Every Facility for Satisfactorily Handling Your Business
,
O F F IC E R S
YV. C . L o g a n , P re sid e n t
E . L . J o h n so n . V ic e P r e s .
C a rle to n S la s, V ic e P re s.
J. J . M ille r . C a sh ie r
V . L . B a r tlin g . A s s t . C a sh .
The officers of this bank are always pleased to meet any visiting Bankers
who may be in Sioux City.
Send us your collections. W rite us when you need farm loans, or Foreign Ex
change.
In fact, we do banking business of every description.
C. L. R O E ..................................P r e s id e n t
A L F R E D P I Z E T . . . .V ic e P r e s id e n t
A . W . S M I T H ............... V ic e P r e s id e n t
N. H . N E L S O N ................................ C a sh ier
T. W . P H I L L I P S
V ic e P r e s id e n t
A . M. H A R T V
A s s is t a n t C a sh ier
THE M ID -W E ST STATE BANK
408 Pearl Street, Sioux City, Iowa
BANK A C C O U N T S
bankers’ Associations. These com
mittees are determined to have just
as fast a car and are going the bank
robber one better by having their
car amply protected to safeguard
the members of the pursuing vigil
ance committees.
Elect Woman Director
Miss Alice G. Wyckofif, of Water
loo, Iowa, has the distinction of being
the first woman director named by a
Waterloo bank in the history of the
city. Miss Wyckofif has been named a
director in the Morris Plan Bank, of
Waterloo, of which institution she has
been assistant secretary for the past
three years.
Move Clearing House Headquarters
“Where S a v in g s G r o w ”
INVITED
April, 1922
Commercial
National Bank
W A TE R L O O , IO W A
The headquarters of the Davenport
Clearing House Association, at Daven
port, Iowa, have been moved from the
Citizens Trust & Savings Bank to the
First National Bank.
The headquarters of the clearing
house is transferred from bank to
bank each year.
Is Re-elected Vice President
J. L. Blake, former Boone railroad
official, has been re-elected vice
president of the First National Bank
of Perry, Iowa. He was formerly a
director in that institution.
C A P IT A L and SURPLUS
One-Half Million Dollars
OFFICERS
E. W . MILLER, President.
F. C. PLATT, Vice Pres.
H. W . W ENTE, Cashier.
S. C. KIMM, Asst. Cashier.
R. L. PENNE, Asst. Cashier
The high standard this bank has set for itself in the conduct of its
business is a protection to its correspondents in every emergency and under
all circumstances.
W . M . HETHERINGTON, President
J. C. COLLIER, Vice Pres.
H. A. KOESTER, Cashier
F IR S T N A T IO N A L B A N K
DUBUQUE, IOWA
Capital, Surplus and Profits,
Resources
-
$ 475,000.00
4,000,000.00
Accounts of Banks Solicited
Write Us for Terms
THE ST A T E CEN TRA L SAVINGS BANK
KEOKUK, IOWA
Capital ................................................ ........................................................ $ 200,000.00
Surplus and Undivided Profits............................................................. 304,966.93
Deposits ........................................................................................................2,835,899.15
W I L L I A M L O G A N , P r e s id e n t
G E O R G E E . R I X , V ic e P r e s id e n t
L . J . M O N T G O M E R Y , V i c e P r e s id e n t
C . J . B O D E , C a s h ie r
H . T . G R A H A M , A s s i s t a n t C a s h ie r
H . B O Y D E N B L O O D , A s s is t a n t C a s h ie r
::
ACCOUNTS
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Federal Reserve Bank of St. Louis
OF
BANKS
AND
BANKERS
INVITED
::
Increases Capital Stock
The capital stock of the J. E. Drysdale & Co., investment brokers of
Davenport, Iowa, has been increased
from $100,000 to $250,000.
J. E.
Drysdale is president and S. M.
Brown secretary of the company.
Takes Over Iowa Savings
The Wellman Savings Bank has
taken over the business of the Iowa
Savings Bank, both institutions of
Wellman, Iowa. Through the merg
er, the stockholders oi the Iowa Sav
ings will guarantee against loss to
the Wellman Savings, and the pres
ent officers and directors of the lat
ter bank will be in full charge of the
consolidated bank, under the name
and in the building of the Wellman
Savings.
. Officers of this bank are: Presi
dent, John H. Romine; vice presi
dent, H. W. Deuker; cashier, H.
Graef. The depositors of the Iowa
Savings will be paid in full under the
existing arrangements of the merger,
which were carried out under the
supervision of J. A. Heng, from the
state banking department.
April, 1922
THE
NORTHWESTERN
BANKER
105
The People W h o Keep Their
—
M oney Invested
Wealtliy clients often are not of much value to the bank in which they have
a deposit.
Their cash on deposit is small because they keep it invested
in outside interests.
*
A Bond Department
s u c h as th e o n e w e a r e o f f e r in g y o u w i ll y i e l d a ttr a c tiv e r e tu r n s
f r o m th e s e in v e s t o r s a n d at th e sa m e t im e y o u w i ll h a v e a n
a d d e d s e r v ic e w h ic h is d e c i d e d ly in k e e p i n g w it h a g r o w
in g in s t it u t io n .
T h e C le v e la n d D i s c o u n t
Co.
is th e s e c o n d la r g e s t c o m p a n y o f its k in d
in th e U n it e d S ta tes.
W e r e p r e s e n t th is
c o m p a n y in th e state o f I o w a a n d h a v e
s o ld t h o u s a n d s o f t h e ir g u a r a n t e e d
Detailed
Information
firs t m o r t g a g e
bonds
to
Detailed
I nformation
On Request
sa tisfie d
Iow a p u rch a sers.
On Request
Guaranteed First Mortgage Bonds on Real Estate
E.G.BÄNDALL
& CO.
GUARANTEED FIRST MORTGAGE BONDS
IO W A REPRESEN TATIVES
C L E V E L A N D D IS C O U N T C O M P A N Y
C L E V E L A N D , O H IO
STATE OFFICE
BRANCH OFFICES
THROUGHOUT IOWA
1102-3 Register and Tribune Bldg.
DES MOINES, IOWA
R e a d e r s w ill c o n fe r a f a v o r
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Federal Reserve Bank of St. Louis
b y m e n tio n in g T H E N O R T H W E S T E R N B A N K E R
w h e n w r itin g to o u r a d v e r tis e r s .
106
THE
NORTHWESTERN
BANKER
April, 1922
In Case of a Holdup
JE S S E F. ST EV EN SO N & CO.
DEALERS IN INVESTM ENT SECURITIES
208 Valley National Bank Building
D es
M o in e s
-
-
Iow a
Possibly you are confronted with the problem of liquidating some of
your bonds and farm mortgages. If so, we suggest
you consult with us.
*
IOWA STATE INSURANCE CO.
(m
utual)
K E O K U K , IO W A
In su res A g a in s t Fire, L ig h t n in g a n d W in d
G . C . T u ck e r, Secretary
O rgan ized 1855
W m . L o g a n , P resid ent
Ringheim, Wheelock & Co.
MUNICIPAL BONDS
DES MOINES
I. A . R IN G H E I M
L. F. W H EELO CK
An Iowa bank has made the fol
lowing suggestion to alleviate the
number of daylight bank robberies :
“ On account of the many daylight
holdups we have had two lugs cut
of round iron bars to fit the two
holes that match our bottom bars on
our vault door, and insert the lugs
in the holes in the base of the vault
door frame during the day.
“ In case of a holdup and the rob
bers did not know about the lugs
and wanted to herd you into the
vault, they could work the bars on
the door but when they had you in
side and tried to throw the bars to
lock the door, the lugs in the holes
would prevent them from being able
to lock you in the vault. With a
good gun handy just inside the vault
one should have the advantage in
case they opened the door to see
why it would not lock.”
A Cash Reserve
r it t o n
B
A N K S E R V IC E
is c o n f i d e n t i a l a n d
based
on
th orou g h
b a n k in g
e x p e r ie n ce .
C. W . Britton Company
S io u x C i t y , Io w a
BANK STOCKS
BONDS
COMMERCIAL PAPER
M E C H A N IC S S A V IN G S B A N K
DES MOINES
J O H N H . G IB S O N , P r e s id e n t
G E O R G E L . R O W E , V ic e P r e s id e n t
H A R R Y F . S C H O E N , V ic e P r e s id e n t
N . R . S C O L E S , C a sh ie r
H A R R Y F , G R O S S , V i c e P r e s i d e n t __________ H A R P E R G O R D O N . A s s i s t a n t C a s h i e r
Financial Investigations
Audits, Cost and Accounting Systems
Auto Phone 9588
W M . GUTHRIE
323-5 Davidson Building
Certified Public Accountant
Black Hawk
National Bank
WATERLOO, IOWA
C a p ita l
-
$200,000.00
A d e q u a te f a c ilit ie s an d p e r fe c t e d
s e r v ic e m a k e t h is an id e a l r e s e r v e
b a n k fo r I o w a b a n k s. E v e r y c o u r
te s y an d a c c o m m o d a tio n e x te n d e d
c o n s is t e n t w it h c o n s e r v a t iv e b a n k
ing-.
I n q u ir ie s s o lic it e d a n d a p p r e
ciated,.
O F F IC E R S
GEORGE B. M ILLE R .......................... President
R. O. HUTCHINSON...................Vice President
A. E. GLENNV...............................Vice President
JAMES LOONAN ......................... Vice President
CHARLES W. KNOOP. . ......................Cashier
E. A. SCHAEFER................. Assistant Cashier
“ THE BANK OF
STABILITY AND PROGRESS”
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Federal Reserve Bank of St. Louis
(i® § )
Sioux City, Iowa
BUREAU 01‘
CANADIAN
INFORMATION
The
C a n a d ia n
P a c ific R a ilw a y ,
t h r o u g h its B u r e a u o f C a n a d ia n I n
fo r m a t io n , w ill fu r n is h y o u w it h th e
la t e s t r e lia b le in f o r m a t io n on e v e r y
p h a s e o f in d u s tr ia l a n d a g r ic u lt u r a l
d e v e lo p m e n t in C a n a d a . In th e R e f
e r e n c e L ib r a r ie s m a in t a in e d at C h i
c a g o , N ew Y o r k a n d M o n tre a l, is
c o m p le te d a t a on n a tu r a l r e s o u r c e s ,
c lim a te , la b o r , tr a n s p o r ta t io n , b u s i
n e s s o p e n in g s , e tc., in C a n a d a . A d
d itio n a l d a ta is c o n s t a n t ly b e in g
a d d ed.
N o c h a r g e o r o b lig a t io n a t ta c h e s
to t h is s e r v ic e . B u s in e s s o r g a n iz a
t io n s a r e in v it e d to m a k e u s e o f it.
THE CANADIAN PACIFIC RAILWAY
DEPARTMENT OF
COLONIZATION and DEVELOPMENT
C H IC A G O
1 4 0 S o u t h C ia r le S t.
M O N T R E A L , P . Q,.
3 3 5 W in d s o r S ta tio n
N EW YORK
M a d i s o n A v e . a t 4 4 t h S t.
A little handy cash is desired by
all men. The late Senator Penrose
was remarkably well equipped in
this respect when he died. His
safety deposit box in a Washington
bank was found to contain five
$10,000 notes and $176,000 in $1,000,
$500, $100 and $50 notes—$226,000
in all.
The senator was a rich man and
amply able to let large sums remain
idle, but few of the men of great
wealth in the country could be con
tent to forego additional income of
$12,000 a year by hoarding so large
an amount. Perhaps his unmarried
condition had something to do with
it. When wealth and income ac
cumulate far beyond a man’s needs,
additional money ceases, in some
cases, to be particularly desirable.
When a bachelor has abundant
means to buy any material thing he
wants, his wants decrease. What
the struggling money-makers really
desire is not what money will pur
chase, but the power to purchase.—
Chicago Journal of Commerce.
Buchanan County Bankers Meet
The Buchanan County Bankers
Association held their annual meet
ing recently at Independence, Iowa.
Following the dinner a general busi
ness meeting was held and all the
officers were re-elected for next year.
They are: M. O. Fouts, president,
Independence; J. N. Smith, Iowa
State Bank, Hazelton, vice presi
dent; R. F. Clark, Peoples National
Bank, Independence, secretary.
Secretary Frank Warner, of the
state association, was present.
é
w
April, 1922
THE
NORTHWESTERN
BANKER
Henderson, 1. B. A. Presidential Candidate,
Has Had Interesting Career
107
Merchants
National
Bank
BURLINGTON, IOWA
Capita], Surplus and
Profits
$204,114.51
Deposits....$l,804,478.51
J. L. EDWARDS---------------- President
ALEX M O IR _________ Vice President
F. L. HOUKE_________ Vice President
JAMES MOIR_________ Vice President
G. S. TRACY-------------- Vice President
C. L. FULTON------------ Vice President
E. W. WICHHART___________ Cashier
C. A. DANIELS_____Assistant Cashier
A. A. WILLEM------- Assistant Cashier
DIRECTORS
James Moir
G. S. Tracy
W. C. Tubbs
Alex Moir
J. L. Wait«}
J. L. Edwards
A. M. HENDERSON
A. M. Henderson, cashier of the
First National Bank of Story City,
whose announcement of his candi
dacy for president of the Iowa
Bankers Association at the June
convention
at
Davenport
has
brought the active support of many
friends in all parts of the state, was
born on a farm in Scott Township,
Hamilton county, Iowa. That was
about fifty years ago, and since then
his activities have centered largely
in the community in which he was
born and spent his youth.
With muscles hardened by toil
on the farm he went to town to be
come a business man. He spent a
period as a “ knight of the grip” two
terms as postmaster and now ten
years as cashier of the First National
Bank of Story City.
While postmaster he attracted
nationwide prominence for his ef
forts in bettering mail service, and
was elected president of the Iowa
Postmasters Association.
He has held many important com
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Federal Reserve Bank of St. Louis
We Invite Your Banking
Business
mittee and official positions in both
group aiid state organizations of the
Iowa Bankers Association.
Change at Bankers Trust
Max L. Holmes has resigned his
position as assistant cashier and
paying teller with the Bankers
Trust Co. of Des Moines, and is
entering the insurance field with
the firm of Witmer-Kaufifman Co.
James E. Bradbury, former col
lection teller, has been promoted to
the position of paying teller, and
Oliver Shoemaker has been ad
vanced from General bookkeeper to
collection teller.
W. A. Young, former cashier of
the Des Moines Trust Co., is a new
addition to the Bankers Trust Co.,
filling the position of receiving tel
ler.
Want of principle is power. Truth
and honesty set a limit to our efforts,
which impudence and hypocrisy
easily overleap.— Hazlitt.
—
I ’L L W O R K F O R L I F E —
for $4 paid in advance. I am the
Modern Business Cyclopedia. I faith
fully advise everybody in business—
whether accountant, banker, exporter,
efficiency expert, lawyer or broker—
regarding any term or phrase used. I
hold over 15,000 terms and definitions
used by above, including 3,000 general
and stock exchange abbreviations, and
when consulted, I never mislead. Many
users claim I save them thousands in
fees and much time. $4 brings me
post-haste. Since I am guaranteed to
please, you ought to ORDER ME
NOW !
Modern Business Publishing Co.
1367 Broadway, New York City
Dept. D.
THE
108
NORTHWESTERN
BANKER
T W EN T Y Y EA R S EXPERIENCE
IN
Banking and Farm Loans in W estern
N orth D akota and M ontana
Let us help you collect and look after your Eastern Montana and
Western North Dakota investments. Lowest cost for competent
and reliable reports and recommendations.
April. 1922
Ballard-Hassett Company
Ballard-Hassett Company has re
cently been incorporated for the pur
pose of doing a general investment
business in Iowa with its principal
office at Des Moines. The business
Custer County Bank, Miles City, Montana. On C. M. & St. P. and
N. P. Ry. Tioga State Bank, Tioga, North Dakota. On G. N. Ry.
ASK YOUR TWIN CITY BANK
COUNCIL BLUFFS SAVINGS
BANK
Council Bluffs
Established 1856
-
Iowa
Incorporated 18Z0
Capital - - $150,000.00
Surplus - - $175,0 0 0 .0 0
A General Banking Business Transacted
THEO. LASKOWSKI, Pres.
GEORGE A. KEELINE, Vice Pies. H .C . HATTENHAUER, Asst. Cash.
W. M. PYPER, Cashier
D. C. MORGAN, Asst. Cash.
H. W. HAZELTON, Asst. Cash.
E. R. JACKSON, Trust Officer
WM. L. HASS'ETT
INCREASE Y O U R DEPOSITS
B y th e u se o f U n c le S a m ’ s m a ils a n d o u r e x p e r t A d d r e s s in g , D u p lic a t in g L e t
te r an d M a ilin g S e r v ic e . P r ic e s a n d s a m p le s u p o n r e q u e s t.
DES MOINES DUPLICATING CO.
114 W E S T
ELEVENTH
S T .______________t:____________ : : ______________D E S
M O IN E S , I O W A
The Citizens National Bank
SPENCER, IO W A
Capital $100,000.00
Accounts of Banks and Individuals Solicited
FRANKLIN FLOETE, Pres.
J. H. M cCORD, Vice-Pres.
P. R. GRAHAM , Cashier
When you think Spencer, think Citizens National
will be under the direct charge of
Mr. Wm. L. Hassett, and the com
pany’s officers will consist of R. B.
Ballard, president; Homer D. Bal
lard, vice president, and Wm. L.
Hassett, secretary and treasurer.
The new company will specialize
in high-grade Iowa municipal bonds.
Don’t surrender your individuality, which is your greatest agent of
power, to the customs and conven
tionalities that have got their life
from the great mass of those who
haven’t enough force to preserve
their individualities.— R. W. Trine.
FIRST N A T IO N A L B A N K , \K^aterJoo, Loioa
D IR E C T O R S
B. F. SWISHER
Pickett, Swisher & Farwell
R. J. HOXIE
Secretary Waterloo Fruit &
Commission Co.
A. M. PLACE
Vice President
E. E. PEEK
Vice President Waterloo Bldg.
& Loan Association.
H. W. GROUT
Real Estate
C. A. MARSH
President
cessfully served this community. We offer
the same service to those outside our immediate
locality. Special attention given to accounts of
banks.
O F F IC E R S
C. A. MARSH, President
A. M. PLACE, Vice President
W ILL A. LANE, Cashier
P. W. EIGHMET, Assistant Cashier
R. S. W ALKER, Assistant Cashier
O. L. MORRIS, Auditor
Total Resources Over $ 2 ,9 0 0 ,0 0 0 .0 0 .
D IR E C T O R S
W. W. MARSH
President Iowa Dairy Separa
tor Co., President Associated
Mfg. Co.
J. T. SULLIVAN
Lawyer.
J. O. TliUMBAUER
Vice President Farmers Loan
and Trust Co.
H. A. MAINE
President H. A. Maine & Co.
WILL A. LANE
Cashier
(ViaT'ftPT’e’ci /Ó SS
R ea d ers will c o n fe r a fa v o r by m en tion in g T H E N O R T H W E S T E R N B A N K E R when w ritin g to ou r a d vertisers.
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Federal Reserve Bank of St. Louis
April, 1922
THE
F. A. A. AD SERVICE
(Continued from page 16.)
vertising manager, Merchants Loan
and Trust Company, Chicago; Miss
Jessamine G. Hoagland, manager
savings department, National City
Bank of Chicago, and Gaylord S.
Morse, secretary, F. A. A. and ad
vertising manager, State Bank of
Chicago.
Francis H. Sisson, vice president
of the Guaranty Trust Company of
New York, is chairman of the Pub
lic Relations Commission of the
A. B. A. Application for use of the
series should be made to the Amer
ican Bankers Association, 5 Nassau
Street, New York.
Hit Deadbeats
At the last meeting of the Calhoun
County Bankers Association at
Rockwell City, Iowa, there was a
discussion of the bankruptcy law
and its misuse to defraud honest
creditors. The following resolution
was passed:
“ Resolved, that it is the sense of
this meeting that the bankers of Cal
houn County look with disfavor
upon the extension of credit in the
future, irrespective of the security
offered, to any voluntary bankrupt
or to any persons repudiating their
honest debts.”
It is not the idea or wish of the
bankers to work hardships on men
who are unfortunate and are com
pelled to go into bankruptcy but to
give warning to those who contem
plate taking the step in order to shut
off debts which they can and should
pay.
Do You Know—
That— The first U. S. Bond was
for $20,000, issued by Alexander
Hamilton, Secretary of the Treas
ury, to a New York institution, Sep
tember 13, 1789. It was given as
security for the first payment of a
loan of $200,000 obtained by our in
fant nation to meet its first pressing
need of funds.
That—The Japanese currency sys
tem is simple and on a gold basis.
The unilt of value is the yen, equal
to 50 cents in gold. One yen is 100
sen, a sen being half an American
cent in value. The sen is equivalent
to 10 rin, and the smallest Jap coin
is the five-rin piece, worth onequarter of our penny. The Jap
paper money comes in one-five, tenyen notes and upward. Their silver
money is in 10, 20 and 50-sen pieces.
Their smallest nickel coin is five sen.
Copper coins are two sen, one sen,
and five rin.
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Federal Reserve Bank of St. Louis
NORTHWESTERN
BANKER
109
Sioux National Bank
S IO U X
C IT Y ,
IO W A
Capital and Surplus $500,000.00
W e offer a bank large enough to inspire the confidence
of its customers, but not too large to give every con
sideration to the interests of every correspondent.
O F F IC E R S
AND
D IR E C T O R S
J. A. M A G O U N , P r e s id e n t
I. M. L Y O N , V ic e P r e s id e n t
C. D. V A N D Y K E , V ic e P r e s id e n t
T. F . H A R R IN G T O N , V ic e P r e s id e n t
B. H. K IN G S B U R Y , V ic e P r e s id e n t
C. M. M A G O U N , 'C ashier
E. L. K I R K
K I R K K IN G S B U R Y , A sst. C a sh ie r
F . E. G IL L
“An honest tale speeds best,
being plainly told.”
—Shakespeare.
M E R IT
lwenty-five years experience, ample resources, a
staff trained to the utmost in each special depart
ment yet with a broad knowledge of all the bank’s
business, an organization carefully built to give the
greatest service to correspondents— all these are im
portant factors to consider in choosing your Des
Moines banking connection.
C EN TR A L ST A T E BANK
OF DES MOINES
O F F IC E R S
SIM O N C A S A D Y , C h a irm a n o f B o a r d
G R A N T M c P H E R R I N , P r e s id e n t
H E N R Y C. W A L L A C E , V ic e -P r e s id e n t
L E L A N D W IN D S O R , V ic e -P r e s id e n t
IV A N O. H A S B R O U C K , C a sh ier
F R A N K C. A S H , A s s is t a n t C a sh ie r
JO H N W . H A W K , A s s is t a n t C a sh ie r
C H A S . W . O X B O R R O W , A s s t. C a sh ie r
F R E D H. Q U IN E R , A s s is t a n t C a sh ie r
F R A N K R . W A R D E N , A s s t. C a sh ie r
T H E U N IT E D S T A T E B A N K
DES MOINES, IOWA
W hy not suggest to your customers, who contemplate
coming to Des Moines, to avail themselves of the
service of this bank.
OFFICERS
Frank D. Jackson, President
V. W . Miller, Vice President
A. C. Nelson, Cashier
I. G. Lucchesi, Asst. Vice President
D. B. Casady, Asst. Cashier
A. E. Cass, Assistant Cashier
DIRECTORS
Frank D. Jackson
George A. Wells
Ernest A. Jackson
V. W . Miller
Carl F. Percival
Fred H. Pease
N. M. Hubbard, Jr.
Carl B. Pray
Leo E. Stevens
Charles A. East
• W . C. Ballard
Make This Bank Your Des Moines Correspondent
THE
110
NORTHWESTERN
IN D E X
1
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A
A d v e r t is in g C lu b o f D e s M o i n e s . . . . 40
5
A in s w o r t h , C ol. L. W ................................
A m e r ic a n B a n k P r o t e c t io n C o .............. 81
A m e r ic a n C o m m e r c ia l and S a v in g s
B a n k ............................................................ 96
A m e r ic a n F ix t u r e C o ................................ 51
A m e r ic a n L iv e S to c k I n s u r a n c e C o .. . 93
A m e r ic a n M o r t g a g e and S e c u r itie s
C o ..................................................................... 50
A m e r ic a n S e c u r ity C o ...............................100
A t la n t ic N a tio n a l B a n k ............................ 77
B
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g
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1
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B a lla r d -H a s s e t t C o ...................................... 98
B a n k e r s A c c id e n t I n s u r a n c e C o .......... 62
B a n k e r s S u p p ly C o ..................................... 41
B a n k e r s T r u s t Co., D e s M o in e s ........... 98
B a n k e r s T r u s t C o., N e w Y o r k ............. 78
57
B e r n s te in s ............................................ ..
B ish o p , B r is s m a n & C o ............................ 83
B la c k h a w k N a tio n a l B a n k .......................106
B r it t o n Co., C. W ....................................... 106
B r o k a w & C o .................................................. 45
B r u n d a g e & H e v e n e r ................................. 51
B u r n s B r o s. C o .............................................. 44
C
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1
1
C a n a d ia n P a c ific R a i l w a y ......................... 106
C ed ar R a p id s L ife In s u r a n c e C o .......... 66
C ed ar R a p id s N a tio n a l B a n k ............... 95
C e n tr a l N a tio n a l F ir e I n s u r a n c e Co. 62
C e n tr a l S ta te B a n k .......................................109
C e n tr a l T r u s t Co., C h i c a g o .................... 70
C e n tr a l T r u s t Co., D e s M o in e s ............. 95
C h a se N a tio n a l B a n k ................................. 98
C h a th a m & P h é n ix N a tio n a l B a n k . . . 34
C h e m ic a l N a tio n a l B a n k .......................... 37
C h ic a g o B in d e r a n d F ile C o ................... 54
C h ic a g o T r u s t C o .......................................... 87
C itiz e n s N a tio n a l B a n k , S p e n c e r . . . . 108
C ity C o m m e r c ia l S a v in g s B a n k ............ 103
C ity N a tio n a l B a n k , C l i n t o n .................. 90
C le v e la n d D is c o u n t C o .............................. 42
C o llin s S e r v ic e , T h e .................................... 83
C o m m e r c ia l N a tio n a l B a n k .....................104
C o n tin e n ta l a n d C o m m e r c ia l N a t io n
al B a n k ...................................................... 99
C o rn E x c h a n g e N a tio n a l B a n k , C h i
c a g o ............................................................. 72
C o u n cil B lu ffs S a v in g s B a n k .................108
C o v in g t o n B r o s ............................................... 50
C u ste r C o u n ty B a n k ...................................108
§
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1
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D a k o t a L i fe I n s u r a n c e C o ...................... 70
D a k o t a T r u s t a n d S a v in g s B a n k . . . . 69
D e s M o in e s D u p lic a t in g C o .......................108
D e s M o in e s L ife an d A n n u it y C o ........... 64
D e s M o in e s N a tio n a l B a n k .................... 94
D e s M o in e s R u b b e r S ta m p W o r k s . . . 54
D e s M o in e s S to c k E x c h a n g e ......... .. . . 91
D illo n L o c k W o r k s . . ; ................................ 92
D r o v e r s N a tio n a l B a n k ............................. 88
D u b u q u e N a tio n a l B a n k ............................ 102
|
I)
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1
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E
E q u ita b le L i fe A s s u r a n c e S o c i e t y . . . 63
E q u ita b le T r u s t Co. o f N e w Y o r k . . . 86
E r n s t & E r n s t ............................................... 29
F
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g
1
1
F a r m e r s B o n d & M o r t g a g e C o ............ 103
F ir s t J o in t S to c k L a n d B a n k ............... I l l
F ir s t N a tio n a l B a n k , B u r lin g t o n . . . . 96
F i r s t N a tio n a l B a n k , C h ic a g o ................ 35
TO
A D V E R T IS E R S
F i r s t N a t i o n a l B a n k , C o u n c i l B l u f f s . . 102
F i r s t N a t i o n a l B a n k , D a v e n p o r t .........
2
F i r s t N a t i o n a l B a n k , D u b u q u e ............ 104
F i r s t N a t io n a l B a n k , D u l u t h ................ 82
F irs t N ational Bank, F a r g o
................ 82
F i r s t N a t i o n a l B a n k , M i n n e a p o l i s . . . 80
F i r s t N a t i o n a l B a n k , O m a h a ................
2
2
F i r s t N a t i o n a l B a n k , S i o u x C it y .........
F i r s t N a t io n a l B a n k , W a t e r l o o ............ 108
F i s h e r C o .......................................................... 56
F r i n k , Inc., I. P ............................................ 72
G
G a t e w a y , T h e .............................................. 101
G ir a r d N a t i o n a l B a n k ............................. 7 8
G r e e n e Co., H. V .......................................... 58
Great W estern A cciden t Insurance
C o ...................................................................... 63
G u a r a n t y L i f e I n s u r a n c e C o ................. 66
G u a r a n t y T r u s t Co. o f N e w Y o r k . . . 76
G u th rie, W m .................................................... 106
H
H a l s e y S tu a r t & C o .................................... 46
H a m i l t o n I n s t it u t e , A l e x a n d e r ........... 27
H a m m a r s t r o m , A. H .................................... 108
H a n c o c k M u t u a l L i f e I n s u r a n c e Co.,
J o h n ............................................................. 60
H a n o v e r N a t i o n a l B a n k ......................... 78
H a w k i n s M o r t g a g e C o ............................. 48
H o t e l B r o w n ............................................... 37
H o t e l W a h k o n s a ...................................... 69
M i d - W e s t S ta te B a n k ........... ...................104
M i s s o u r i S ta te L i f e I n s u r a n c e C o . . . 64
M o d e r n B u s i n e s s P r e s s ..................... 54-107
M u s c a t i n e S ta te B a n k ............................. 90
M u t u a l T r u s t L i f e I n s u r a n c e C o ......... 60
N
National A m erican L ife Insurance
C o ...................................................................... 66
N ational B ank o f Com m erce,
St.
L o u i s ............................................................101
N a t i o n a l B a n k o f the R e p u b l i c ........... 34
N a t io n a l C i t y B a n k , C h i c a g o ................ 71
N a t i o n a l C it y C o m p a n y , N e w Y o r k . . 46
N a t io n a l F i d e l i t y L i f e I n s u r a n c e Co. 62
N a t i o n a l p a r k B a n k ................................ 76
N a t io n a l S h a w m u t B a n k ....................... 84
N o r t h e r n T r u s t Co. B a n k ....................... 71
N o rth w e ste rn N ational Bank, M in n e
a p o l i s ...........................................................
3
N orth w estern N ational L ife I n s u r
a n c e C o ..........................................................
2
N o r t h w e s t e r n S ta m p W o r k s ................ 83
o
O m a h a N a t io n a l B a n k .............................
O m a h a P r i n t i n g C o ...................................
O v e r s t r e e t Co., J. W ...................................
P
I
I n d ia n a L i m e s t o n e Q u a r r y m e n ’ s A s
s o c i a t i o n .....................................................112
I n t e r - S t a t e S u r e t y C o ............................... 70
I n v i n c i b l e M e ta l F u r n i t u r e C o ........... 58
I o w a F a r m C r e d it C o r p o r a t i o n ........... 38
I o w a H o m e s t e a d ......................................... 4
I o w a L i t h o g r a p h i n g C o ........................... 38
I o w a L o a n a n d T r u s t C o ............. 7 a n d 45
I o w a N a t i o n a l B a n k , D a v e n p o r t ......... 33
I o w a N a t i o n a l B a n k , D e s M o i n e s . . . . 97
I o w a N a t i o n a l F i r e I n s u r a n c e C o . . . . 60
I o w a S ta te I n s u r a n c e C o ......................... 106
I o w a S ta te T r a v e l i n g M e n ’ s A s s o c i a
t io n ............................................................... 65
I r v i n g N a t i o n a l B a n k ........................... . 36
K
K n a u t h , N a c h o d & K ü h n e . . . . . .........
47
Ij
L a w y e r ’ s P a g e ............................................ 101
L e a c h & Co., A. B ........................................ 47
L e a v i t t & J o h n s o n N a t i o n a l B a n k . . . 95
L i n c o l n N a t i o n a l B a n k ........................... 83
L i v e S t o c k E x c h a n g e N a t i o n a l B a n k 81
L i v e S t o c k N a t io n a l B a n k , O m a h a . . 77
L i v e S t o c k N a t i o n a l B a n k , S i o u x C it y 103
L o n d o n , J o in t C it y an d M id la n d B a n k 100
L y t l e Co., T h e ............................................... 52
M
M a r s h a l l t o w n S ta te B a n k ........................102
M c G u i r e & Co., R a y F ............................. 51
M c N a m a r a Office S u p p l y C o .................. 57
M e c h a n ic s a n d M e t a ls N a t i o n a l B a n k 68
M e c h a n ic s S a v i n g s B a n k ........................106
M e r c h a n t s L o a n an d T r u s t C o ........... 80
M erchants N ational Bank, B u r lin g
t o n .............................................................. 107
M erchants
N ational
Bank,
C ed ar
R a p i d s ........................................................ 93
M id la n d M o r t g a g e C o ............................... 51
M id la n d N a t i o n a l B a n k ........................... 80
74
59
83
P a c k e r s N a t i o n a l B a n k .......................... 75
P a in e , W e b b e r & C o ........... .. ................. 44
P e o p l e s S a v i n g s B a n k .............................. 103
P e o p l e s T r u s t an d S a v i n g s B a n k . . . 91
It
R a n d a l l Co., E. G .......................................105
R a n d , M c N a l l y & C o ............................... 54
R h o d e s , W a l t e r H ...................................... 77
R i n g h e i m , W h e e l o c k & C o ..................... 106
R o y a l U nion M utual L ife Insurance
C o ...................................................................... 65
S
S ain t P a u l S ta m p W o r k s ....................... 82
S e a b o a r d N a t i o n a l B a n k ......................... 78
S e c o n d N a t i o n a l B a n k , D u b u q u e . . . . 90
S e c u r i t y I n v e s t m e n t an d M o r t g a g e
C o ........................
51
S e c u r i t y N a t i o n a l B a n k , S i o u x F a l l s 69
S e c u r i t y N a t i o n a l B a n k , S i o u x C i t y . 96
S e c u r i t y T r u s t an d S a v i n g s B a n k . . . 68
S i o u x F a l l s N a t i o n a l B a n k .................. 69
S i o u x N a t i o n a l B a n k , S i o u x C i t y . . . .109
S ta n le y , H e n d e r s o n & C o ...............
50
S ta te C e n t r a l S a v i n g s B a n k , K e o k u k 104
S ta te L i f e I n s u r a n c e Co. o f I o w a . . . 61
S t e v e n s o n Co., J e s s e F ..............................106
S to ck Y ard s N ational Bank, South
O m a h a ........................................................ 75
F
U n i o n B a n k o f C a n a d a ............................. 9 8
U n i o n T r u s t C o ............................................ 31
U n it e d S ta te B a n k ..................................... 109
U n i t e d S ta te s N a t i o n a l B a n k .............. 75
U n i v e r s a l L i f e I n s u r a n c e C o .................. 66
U p h a m B r o s .................................................... 66
V
V a l l e y N a t i o n a l B a n k .............................
92
W
W a l t e r s Co., C h a r l e s E ............... 36 an d 59
W a t e r l o o B a n k an d T r u s t C o .............. 102
W a t e r l o o S a v i n g s B a n k .......................... 104
W e s t e r n L i f e I n s u r a n c e C o .................. 62
W h i t e , P h i l l i p s C o ...................................... 47
Z
Z a i s e r S p e c i a l t y C o .................
f i.in n iMiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiinimiiiiii......................................................................................................................................................................................................................................................................
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Federal Reserve Bank of St. Louis
April, 1922
BANKER
55
April, 1922
THE
NORTHWESTERN
BANKER
111
STATEMENT OF CONDITION OF
First Joint Stock Land Bank of Chicago
At Close of Business, March 1, 1922
ASSETS
LIABILITIES
L o a n s S e c u r e d b y F ir s t M o r t -
C a p ita ] P a id I n _______________ $ 1 ,5 0 0 ,0 0 0 .0 0
g a g es o n F a r m L a n d _____ $ 2 2 ,7 0 0 ,5 2 5 .0 0
R eserves a n d U n d iv id e d P r o
fits ___________________________
A c c r u e d In te r e s t o n L o a n s __
4 8 4 ,9 4 3 .2 5
U . S. G o v e r n m e n t B o n d s ____
9 0 2 ,7 5 0 .0 0
F a r m L o a n B o n d s _____________
1 ,2 0 0 ,0 0
2 7 2 ,5 7 9 .5 8
A m o r i t iz a t i o n P a y m e n t s R e
c e iv e d
on
P r in c ip a l
of
L o a n s _______________________
4 8 8 ,8 1 8 .0 2
D u e B o r r o w e r s ______________
1 1 6 ,1 4 2 .0 1
C o u p o n s D u e n o t P re se n te d
A c c r u e d In t e r e s t o n U n it e d
S ta tes B o n d s a n d N o t e s _ _
1 6 ,0 4 7 .0 4
A c c o u n t s R e c e i v a b l e ________
7 ,4 3 6 .7 9
F u r n it u r e a n d F ix t u r e s _______
2 ,3 3 5 .5 0
f o r P a y m e n t _______________
In te r e s t
A ccru ed
on
6 ,2 4 7 .5 0
F arm
L o a n B o n d s ________________
3 7 5 ,8 0 0 .0 0
F a rm L o a n B o n d s O u tsta n d
C asli a n d D u e f r o m B a n k s _ _
7 6 2 ,5 4 9 .5 3
in g
P a id
--------------------------------------S u b s c r ip t io n
to
C a p it a l S t o c k ______________
$ 2 4 ,8 7 7 ,7 8 7 .1 1
2 2 ,0 4 8 ,0 0 0 .0 0
N ew
7 0 ,2 0 0 .0 0
~ ~ $ 2 4 ,8 7 7 /7 8 7 T T
LONG TIME LOANS MADE ON IOW A AND ILLINOIS FARMS
G U Y H O U S T O N , P resid en t
R A Y E . P I C K R E L , V ic e P resid en t
0 . F . S C H E E , V ic e P resid en t
J. E . H U S T O N , S ecreta ry
OFFICES:
V a lle y N a t io n a l B a n k B u i ld in g
D e s M o in e s
C o n t in e n t a l &
C o m m e r c ia l B a n k B u i ld in g
C h ic a g o
R ea d ers w ill c o n fe r a fa v o r by m en tionin g T H E N O R T H W E S T E R N B A N K E R w h en w ritin g to ou r advertisers.
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Federal Reserve Bank of St. Louis
THE
112
NORTHWESTERN
April, 1922
BANKER
“Full Value Received”
in a Building Material
F o r t y y e a rs a g o th e C o t t o n E x c h a n g e
T h e s t o n e is s t r u c t u r a l l y s o u n d a n d
B u i l d i n g w a s e r e c t e d in N e w O r l e a n s
as b e a u t i f u l as w h e n q u a r r i e d . T h i s
a n d w a s th en c o n s id e r e d o n e o f th e
is b u t o n e o f m a n y e x a m p l e s o f t h e
a r c h ite ctu r a l a ttr a c tio n s o f th a t c ity .
u n e q u a le d s a lv a g e v a lu e o f I n d ia n a
A n d a fte r a lm o s t h a lf a c e n t u r y ’ s
L im e s to n e .
I n d ia n a L i m e s t o n e — the
" O u r in te r e s tin g b o o k le t illu s tr a t
m a t e r i a l o f w h i c h it w a s c o n s t r u c t e d
in g I n d ia n a L im e s t o n e b a n k b u ild
s e r v ic e ,
— w a s ta k e n fr o m th e b u ild in g , r e -c u t
in g s w ill b e s e n t f r e e u p o n r e q u e s t .
a n d r e -w o r k e d a n d
th e n ew
A d d r e s s I n d ia n a L im e s to n e Q u a r r y -
M a r in e B a n k , N e w O r le a n s , w h ic h
m e n ’s A s s o c ia t io n , B o x 7 9 1 , B e d fo r d ,
r e c e n tly h a s b e e n c o m p le t e d .
I n d ia n a .
THE
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Federal Reserve Bank of St. Louis
s e t in
N A T IO N ’S
BUILDING
STONE
@FedFRASER