Full text of The Northwestern Banker : August 1959, 65th Year, No. 865

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

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Federal Reserve Bank of St. Louis

with the help of the

Merchants National'
The local banker belongs in every family
circle. His counsel is based on an accurate
and intimate knowledge of local conditions
combined with facilities for complete bank
service.
More than half of the banks in Iowa de­
pend on I be Merchants National for cor­
respondent service to make state- and world­
wide banking service available to their cus­
tomers.

In addition to unexcelled correspondent
banking facilities, we encourage banks to in­
clude our staff' in their own plans whenever
additional specialists can be helpful in ren­
dering customer service.

W e also make our

advertising material available without cost to
help you tell the bank story to the people
of your community.

W e would appreciate

an opportunity to serve you.

No. 865. Northwestern Banker is published monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des Moines 9, Iowa Subscription
35c per copy, $3 per year. Entered as Second Class Matter January 1, 1&95, at the Post Office at Des Moines, Iowa, under the Act of March 3 1879.’


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Federal Reserve Bank of St. Louis

IN MILLIONS

j
f

GROWITH
OF

j

DEPOS¡its

/
/
/

j/
/
/
__ ____

JL

Statem ent of Condition

Cash and Due from B a n k s .......................................
U. S. Government Bonds
.......................................
Other Bonds ...................................................................
Loans (Federally Insured or Guaranteed)
. . .
Other Loans (Less Reserve for Possible Loan Losses)
Accrued Interest Receivable
.................................
Buildings, Furniture and F ix tu r e s ............................
Other Resources
.......................................................
Total Resources

...............................

$586,953,944.21

Deposits:
Checking
Savings
Public

U p ^ é O / J j-O Û , O
Provision for Taxes, Interest, etc.
Unearned D is c o u n t......................
Other Liabilities
......................
Capital Funds:
Capital S to c k ............................
S u rp lu s........................................
Undivided P ro fits ......................
Reserve for Bond Account
^

Total Liabilities

57 O F F I C E S


INSURANCE
CORPORATION
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Federal Reserve Bank of St. Louis

4

REPUBLIC NATIONAL BANK
OF DALLAS

Statement o f Condition
June 30, 1959

Resources
Cash and Due From B a n k s ..........................................................$ 2 5 7 , 0 3 1 , 4 6 0 . 4 9
U . S. Government Obligations,
Direct and Fully G u a r a n te e d ..............................................
1 2 5 ,5 1 1 , 2 3 6 . 6 7
State, Municipal and Other S e c u r i t i e s ...........................
1 2 ,5 5 1 ,1 0 7 .8 4
Stock in Federal Reserve B a n k ..............................................
3 ,0 0 0 ,0 0 0 .0 0
Loans and D i s c o u n t s .................................................................
5 5 1 ,1 7 9 ,3 7 3 .0 1
Bank Building and E q u i p m e n t ..............................................
2 4 ,1 6 7 ,2 1 1 .3 6
Acceptances — Customers’ A c c o u n t .................................
6 3 0 ,6 4 8 .6 8
Other A s s e t s .....................................................................................
1 ,3 2 8 ,5 1 1 .1 9
T O T A L ............................................................................. $ 9 7 5 , 3 9 9 , 5 4 9 . 2 4

Liabilities
Capital
..............................................$
Surplus
..............................................
Undivided P r o f i t s ..........................

3 7 ,8 6 6 ,5 7 6 .0 0
6 2 ,1 3 3 ,4 2 4 .0 0
2 ,0 8 8 ,4 0 9 .4 2

$ 1 0 2 ,0 8 8 ,4 0 9 .4 2

Reserve for C o n t i n g e n c i e s ....................................................

1 3 ,2 3 7 ,3 0 1 .7 7

Reserve for Taxes, et c e te r a ....................................................

6 ,3 8 8 ,0 8 4 .4 8

Acceptances — Customers’ A c c o u n t .................................

6 3 0 ,6 4 8 .6 8

U. S. Government Obligations
Sold Under Repurchase A g r e e m e n t .................................

1 4 ,1 7 5 ,0 0 0 .0 0

Deposits:
I n d i v i d u a l ....................................$ 6 2 4 , 3 4 6 , 0 9 3 . 4 5
B a n k s .......................................
1 9 1 ,2 6 6 ,5 7 6 .9 0
U . S. Government
. .
2 3 ,2 6 7 ,4 3 4 .5 4

8 3 8 ,8 8 0 ,1 0 4 .8 9

T o T A L ..............................................................................$ 9 7 5 , 3 9 9 , 5 4 9 . 2 4

Capital and
Surplus
$ 1 0 0 ,0 0 0 ,0 0 0
★

Largest
in the
South
M E M B ER F .D .I.C .

N o rth w e ste rn Banker, A ugust, 1959


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Federal Reserve Bank of St. Louis

5

California Bank Pop Changes
The board of directors of California
Bank, Los Angeles, has named Frank
L. King to the newly created office of

IS TH E N AM E
TO LO O K FOR IN

COIN HANDLING PRODUCTS
COIN WRAPPERS
The"P o p -O p e n " WRAPPE R
. . . THEY P A CK FLAT
F. L. KING

C. TW ETER

chairman of the board and elected
Clifford Tweter, president.
The announcement stated that Mr.
King, formerly president, will con­
tinue as the bank’s chief executive
officer.
Mr. King had been comptroller of
the Continental Illinois National Bank
and Trust Company, Chicago, since
1930 before joining the staff of Cali­
fornia Bank as executive vice presi­
dent and director in 1943. He has
been president of California Bank
since 1945.
Mr. Tweter has been executive vice
president and a director of California
Bank since 1954.

S A V E 2 5 % OF T I M E
IN M A C H I N E F I L L I N G
Designed for this special purpose, they save 25% of time in machine filling.
Slight pressure of the thumb and finger, and they “ pop open” , yet pack
flat. 1,000 of each denomination to a carton. In 6 colors for 6 different
denominations of coins. Widely used by Banks.

...T h e y O ut Perform A ll C o m p etitio n !

COI N STORAGE TRAYS

MANUAL COIN COUNTER

Meet J. Fentriss Witherspoon
(Esq.)
City National Bank and Trust Com­
pany of Chicago has begun a new ad­
vertising series in national and re­
gional banking magazines. This series,
directed to bankers, sells City Nation­
al’s c o r r e s p o n d ­
ent bank services
by means of a
cartoon character
created for City
National by Rich­
ard T a y lo r of
New Yorker fame.
Mr. Taylor him­
self nam ed his
brainchild J. Fen­
triss Witherspoon, Esq.
Over the com­
ing months, this
inquisitive banker will operate in a
number of different situations around
Chicago, such as the Pump Room, the
Chicago Yacht Club, the Aquarium
and Midway Airport, gathering valu­
able information for City National’s
banker customers. The tagline fcr all
ads will be the same: “Your Eyes and
Ears In Chicago.”
City National is proud of J. Fen­
triss. He is intelligent, enterprising,
aggressive—and not afraid of a gentle
laugh at himself once in a while.
Readers of banking magazines can ex­
pect to see a lot of him.

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Federal Reserve Bank of St. Louis

W I T H V A R Y I N G D E P T H S fo r
D I F F E R E N T S IZ E C O I N S
“Steel-Strong” Coin Trays afford a rapid system
for handling wrapped coins. Stamped from one
piece of heavy sheet steel, they are absolutely
uniform and nest perfectly at any height. Double
coated enamel outside, satin finish-plated inside.
Colored capacity end labels. Teller merely counts
number of filled trays and top rows of unfilled
trays . . . giving him an accurate total of wrapped
coins. Saves time, saves errors. ST EP BLOCKS,
EXC LU SIV E FEATURE of “Steel-Strong” Coin
Trays permit fast loading of rouleaux into Trays,
limiting the exact amount of the coin total as
shown by colored end labels, which always match
the color of the coin wrappers for easy identifica­
tion of the coin denomination.

5 S IZ E S
Speeds up coin counting. Merely push
Tubular Wrapper up from the bottom,
then count coins into the hopper, then
withdraw filled wrapper and close open
ends. You save much time in packaging
coins with this handy device. Stems are
of Bakelite in five different sizes.

GUNSHELL COIN WRAPPERS

LIFT PANS for COIN TRAYS
“ Steel-Strong” Lift Pans serve to ac­
commodate filled Coin Trays in the
Teller’s cage, and become a convenient
carrier to and from the vaults for night
storage. Illustration also shows Pan filled
with loaded Coin Trays and the great
advantage of all trays being the same
length and width. This permits secure
stacking and perfect nesting.

construction . . . hence extra protection
for coins. Non-clogging, neat packaging
for all coins handled by machines. Ends
crimp tightly. Packed 1,000 to a carton
with crimped ends turned one way.
They’re great time savers.

5 D A Y FREE TRIAL

FO R I N F O R M A T I O N W RITE T O . . .
DEPT. W

T h e C. L . D O W N E Y
H AN N IBA L,

CO

M IS SO U R I

N o rth w e ste rn Banker, A ugust, 1959

6

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Federal Reserve Bank of St. Louis

1959

Oldest Financial Journal West o f the Mississippi

D e a r E d ito r

for your A U G U S T , 1959, readins
65th Year

No. 865

E D IT O R IA L S
12

A cross the Desk from the Publisher

7
8
21
23
24
25
26
27
28

Dear Editor
On the Cover
F rontispage— Banff N ational Park
F inancing Y ou r Local Industries
Credit Files A id Better Farm Lending— J. D. Lem m erm an
A Counter Check That Is Safe
Provide Lobby D isplays fo r Local M erchants— J. E. Shelledy
Com plete A u dit P rogram — H. L. B auder
Reasons W h y Financial Institutions Need Christmas Club
— R. E . Rawll
Business As Usual— in a Church!
Full Steam Ahead at Rapid City
P R Ideas That Sell Y ou r Services
T reasu ry W oes M ount as Short Term Y ields Reach New Levels
— Raym ond T rig ger

FEATURE A RTICLES

►

“ Always Enjoy the
Northwestern Banker”

“ Thought you might be interested in see­
ing our Statement o f Condition and what
our bank looks like in color.
“ The folder covers a picture which Alcoa
A ran in a magazine in New York. They pro­
duced copies for distribution for us.
“ The N o r t h w e s t e r n B a n k e r continues
to be a welcome piece of mail as I always
enjoy reading your editorials, the feature
* articles, and news relating to banker friends
in Iowa.”
F. A. Lettow, President,
South Bay Bank, Manhat­
tan Beach, California.
C Editor’s N ote: South Bay Bank on June
10, 1959, had capital, surplus and profits
o f $305,014 and total assets o f $4,407,390.

29
30
31
32

IN SU R A N C E
49

Suggestions fo r Y ou r Bank’s Insurance Program

STATE B A N K IN G N E W S
M innesota
Twin City
South Dakota
Sioux Falls
N orth Dakota
C olorado-W yom in g

3 Named Vice Presidents
First National City Bank of New
York announces the appointment of
Sidney W. Davidson, Jr., as vice pres­
ident. Formerly an assistant vice
v president, he is assigned to the bank’s

News
News
News
News
News
News

53
54
59
60
61
63

65
67
68
74
77
82

M ontana News
Nebraska News
Omaha News
Lincoln News
Iow a News
Des M oines News

O TH ER FEATURES
90
90

In the D irectors’ Room
Conventions

N O R TH W ESTERN BANKER
306 15th Street. Des Moines 9, Iowa, Telephone CHerry 4-8163
M IT C H E L L

ROBERTSON

D A V ID S O N

Indiana-Michigan district in its na­
tional division.
First National City Trust Company
appointed two vice presidents. They
are Edward F. Mitchell and James
E. Robertson. Ogden K. Myers was
advanced from assistant trust officer
f to trust officer.

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Federal Reserve Bank of St. Louis

Publisher
Associate Publisher
Editor
Clifford De Puy
Malcolm K. Preeland
Ben J. Haller, Jr.
Associate Editor
Associate Editor
Walter T. Proctor
Doyle Minden
Advertising Assistant
Circulation Department
Auditor
Elizabeth Cole
Lena Sutphin
Margaret Huffman
Field Representative
Field Representative
Field Representative
J. F. Neumann
AI Kerbel
Paul Masters
Frank P. Syms, Vice President, 505 Fifth Ave., Suite 1806, New York, MUrray Hill 2-0326
Milton P. Bock, Vice President, 854 Baker Building, Minneapolis, FEderal 6-9191

DE PUY PUBLICATIONS: Underwriters Review, Northwestern Banker,
Iowa-Nebraska Bank Directory
N o r t h w e s t e r n Banke r, A u g u s t ,

1959

On
Chicago Coffee Break

The first delivery of South Ameri­
can coffee to reach Chicago via the
new St. L a w r e n c e Se awa y was
brought in last month on board the
Grace Line’s Santa Regina. In the
cover picture, Alfred F. Miossi (left),
second vice president in the interna­
tional banking department of Continetal Illinois National Bank and Trust
Company, Chicago, delivers the bill of
lading to Jacob Kohn (center), board
chairman of Continental Coffee Com­
pany. At right is the man responsible

th e C o v e r
for the safe delivery, the Santa Re­
gina’s Captain Harold Andreasen.
Action at Iowa Rodeo

August is one of the top months for
rodeos, state fairs and county exhib­
its all over the country. One of the
most noted of these events is the an­
nual Sidney Rodeo at Sidney, Iowa,
which draws the top riders and cow­
boys from all over the United States
and Canada. Sponsored by the Sidney
American Legion since 1924, it is held
on a 144-acre stock farm owned by
the Legion, and attracts 60,000 people
each year.
Pictured on the cover is world
champion saddle bronc rider, Marty
Wood, roaring out of the chutes. Sim­
ilar exciting action will be seen at
the 36th rodeo in Sidney this month,
with two performances each day from
August 18 through August 23. Spe­
cialty acts fill in the time between
events. The main personality at the
rodeo this year will be Dale Robert­
son, TV star of the Wells Fargo series.
Belgium Honors Banker

On behalf of King Baudoin of Bel­
gium, Jozef Lodewyck (left), Belgian,
consul general for the Kansas City
area, presents the knight award in the

Elkirt Vertical Drapes
SUCCESS

IN

TELEVISION

C A L L S FOR T E A M W O R K
There are rules for capturing and
holding attention — as valid as the
rules contributing to sound banking
practice. P sychology has advanced
techniques of creating the right
“ im age” for your bank . . . of ob­
taining high memory retention for
your m essage. A ll these have now
been used in the production of a
new,
fu lly - animated
commercial
series created specifically for banks.
A CU STO M

S E R IE S A T

Order of the Crown to Bror W. Unge,
assistant vice president of City Na­
tional Bank & Trust Company and
manager of its foreign department.
Mr. Unge was one of four Kansas
Citians awarded medals in recognition
of their contributions to good trade
relations between the United States
and Belgium.
Mr. Unge, a native of Sweden, came
to this country in 1922 and for years
operated an export and import busi­
ness in Topeka, Kan. He came to City
National to organize its foreign de­
partment in 1945. From 1950 to 1957
he was Swedish consul for Missouri
and Kansas, and upon his retirement
from this post, was made a knight of
the Order of Vasa by King Gustav VI
of Sweden. He is now consular agent
of France for Kansas City.
Receives Top Ad Award

A plaque signifying his selection as
“Most Valuable Member” of the Dal­
las Advertising League was presented
to George J. Watts, vice president in
charge of advertising and public rela­
tions for Republic National Bank. In
the cover photo, Mr. Watts (right) is
receiving the award from Fallon Sny­
der of Dallas, last year’s winner.—
End.

Talcott Director
Curtis E. Neldner, a partner in the
investment banking firm of White,
Weld & Company, last month was
elected a director of James Talcott,
Inc., one of the country’s oldest and
largest independent commercial fi­
nancing and factoring organizations.

N e tv O f f ic e s

IN D I V I D U A L

P R IC E S
This “ netw ork quality” film uses
the power of humor for its com ­
mand of view er attention, and to
entertain while educating the v iew ­
er on your bank’s facilities . . .
gives your bank specific visual iden­
tity through a new technique of
film conversion. Now your bank can
have the advantage and prestige of
premium priced animation at a price
you can w ell afford to pay!
Write for FREE
AUDITION REEL and
Series Prospectus
TODAY!
No Obligation!

CH R ISTEN SEN
KENNEDY
PRODUCTIONS
2 8 2 4 H a r n e y St.,
O m a h a 31, Nebr.

DigitizedN for
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Federal Reserve Bank of St. Louis

N O ISE L E SS
E C O N O M IC A L
F U N C T IO N A L
W ASH ABLE
Outside appearance reflects the
same uniformity of beauty and
quality as inside.
Controls light and air. Elimi­
nates glare, yet admits natural
daylight.
W rite for full details

ELKIRT C O R P O R A T I O N
528 Ele ven th St., D es M o in e s, Io w a
Dealerships Available in Good
Territories, offering suitable Profit
with Reasonable Investment.

C O N S T R U C T IO N on new, permanent
buildings for five of its 23 offices in metro­
politan Phoenix was started this year by
the First National Bank of Arizona. First
to be completed is the Indian School Road
and 24th Street office, shown here in a
dramatically lighted night photograph.
Focal point o f the contemporary-styled
neighborhood office is the sleek, doublepaneled vault door, located behind a win­
dow wall, visible from thei street as well
as the customer lobby. Vault door is by
Diebold, Inc., and is the first of its kind
to be installed in Arizona.

V
9

F ift y M i l l i o n P r o s p e c t s
f o r P r o f it
The official emblem o f Christmas Club a Corporation is reproduced above.
It is one o f the best-known symbols on the Am erican scene. In fact . . .

Over Fifty M i l l i o n P r o s p e c t s K n o w It!
Each year millions and millions o f people— all prospects for the services
o f financial institutions— are re-acquainted with this emblem through the
advertising o f Christmas Club a Corporation. This advertising appears in
newspapers, car cards, traveling displays, one-sheet posters, three-sheet
posters, taxi posters, railway express trucks, roadside outdoor posters, out­
door displays, radio and banking publications.
These m illions o f people, many introduced to financial institutions for
the first time by Christmas Club a Corporation, are prospects for all your
services. They are your best source for profitable new business.
W hen you offer Christmas Club service and display the fam ous emblem
o f Christmas Club a Corporation, you invite them through your doors.

Christmas Club
a Corporation
Founded by Herbert F. Rawll

230 Park Ave., N e w York 17, N. Y.

B u i l d s C h a r a c t e r • B u i l d s S a v i n g s • B u i l d s B u s i n e s s for F i n a n c i a l I n s t i t u t i o n s

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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Ba nker, A u g u s t ,

J959

10

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Federal Reserve Bank of St. Louis

y

11

T h e First N a t i o n a l B a n k
o f C h ic a g o
Statement of Condition June 3 0 , 1959
A SS E T S
C ash and D u e from Banks
U n ite d States G overn m en t Obligations .
.
.
.
.
.
.
.
.
.
O th er B onds and Securities
.................................................................................................................
...........................................................................................................................
Loans and Discounts
R eal Estate (B ank Buildings and A djacent P r o p e r t y ).............................................................
Federal Reserve B an k Stock
.
.
.
.
.
.
.
.
.
.
.
.
Custom ers’ Liability A ccou n t o f A c c e p t a n c e s ........................................................................
Interest Earned, not Collected ...................................................................................................... ..........
O th e r A s s e t s .......................................................................................................................................................
L IA B IL IT IE S
Capital. S t o c k .................................................................................. .
•
•
•
•
Surplus
.
.
.
.
.
.
.
.
.
.
.
.
.
.

•
.

$

6 3 2 ,3 1 5 ,5 1 7 .5 3
6 6 8 ,7 1 2 ,8 5 0 .9 7
1 9 3 ,6 1 2 ,7 9 1 .7 1
1 ,3 5 5 ,0 5 6 ,3 2 7 .3 6
1 ,1 7 6 ,1 0 4 .3 9
7 ,6 5 0 ,0 0 0 .0 0
2 ,9 8 7 ,7 5 7 .2 0
9 ,9 2 9 ,7 2 7 .1 0
9 ,4 0 2 ,7 1 9 .9 1
$ 2 ,8 8 0 ,8 4 3 ,7 9 6 .1 7

1 2 5 ,0 0 0 ,0 0 0 .0 0
1 3 0 ,0 0 0 ,0 0 0 .0 0

.

U n divided Profits
.....................................................................................................................................
D iscount Collected, but not E a r n e d ............................................................................................
D ividends Decfared, but U n p a i d ......................................................................................................

1 2 ,0 2 7 ,4 2 6 .9 2
4 ,7 6 5 ,1 2 8 .1 6
2 ,5 0 0 ,0 0 0 .0 0

Reserve for Taxes, etc.
.................................................................................
Liability A ccou n t o f Acceptances .
.
.
.
.
.
.
.
T im e Deposits .
.
.
.
.
.
.
.
.
.
$

3 2 ,9 6 2 ,9 8 4 .7 5
3 ,0 6 3 ,2 0 1 .8 3

.
.
.
5 6 4 ,6 6 1 ,8 1 8 .2 6

D em a n d D e p o s i t s ............................................................................................ 1 ,7 3 4 ,1 5 0 ,7 2 8 .6 7
Deposits o f Public Funds .
.
.
.
.
.
.
.
♦
2 6 3 ,7 1 1 ,5 0 1 .0 9
Liabilities other than those above s t a t e d .......................................................................
.

2 ,5 6 2 ,5 2 4 ,0 4 8 .0 2
8 ,0 0 1 ,0 0 6 .4 9
$ 2 ,8 8 0 ,8 4 3 ,7 9 6 .1 7

United States government obligations carried at $334,357,190.36 are pledged to secure United States government and
other public deposits, trust deposits, and for other purposes as required or permitted by law.

Board of Directors
J oseph L . B l o c k
Chairman,
Inland Steel Company

E d w ar d E. B ro w n
Chairman of the Board

C hesser M . C a m p b e l l
President,
Tribune Company

J. D.

F a r r in g t o n

Chairman o f the Board,
Chicago, R ock Island and
Pacific Railroad. Company

M

arsh all

F ie l d , J r .

President and Publisher,
Chicago Sun-Times
Chicago Daily News

Ja m e s B . F o r g a n
Vice-Chairman of the Board

W

alter

M . H eym ann

Executive Vice-President

R

obert

S. I n g e r so l l

President,
Borg-W arner Corporation

F ra n k

H e n r y P. I sham
President, Clearing Industrial
District, Inc.

H o m e r J. L iv in g s t o n
President
c B ain

Director,
Marshall Field A Company

B rooks M

c C o r m ic k

Executive Vice-President,
International Harvester Co.

C.

M

u rphy

President, Chicago, Burlington
A Quincy Railroad Company

Louis

B. N e u m il l e r

Chairman of the Board,
Caterpillar Tractor Co.

J am es

F.

O ates,

J r.

Chairman of the Board and
President, T h e Equitable
Life Assurance Society
of the United States

W

P r io r

G

il b e r t

H . S c r ib n e r

Scribner A Company

H u g h st o n M . M

H arry

O.

Chairman of the Board,
StandardOil Company (Indiana)

il l ia m

W

ood

P rin ce

President.
AYmour A Company

H arold

A.

S m it h

W inston, Strawn,
Smith and Patterson

R. D

ouglas

St u a r t

Chairman of the Board,
Quaker Oats Company

L ouis

W

are

Chairman of the Board,
International Minerals A
Chemical Corp.

J o h n P. W

ilson

W ilson A Mcllvaine

D

r.

R o b e r t E. W

ilson

Chicago, Illinois

R o b e r t E. W

ood

Director.
Sears. Roebuck and C o

Building ivith Chicago since 1863
MEMBER FED ERA L


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

DEPO SIT IN S U R A N C E CO R POR ATION

N o r t h w e s t e r n Ban ker, A u g u s t ,

1959

12

V

A C R O S S if* D E S K
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Superintendent o f A rizon a Banks, Phoenix.

U nited S tates Senator fr o m A rkansas.

A s a result of your examination of the Teamsters
Union, the question now must be settled as to

In the March, 1958, issue of the N orthwestern
B an ker we addressed an editorial to J. R. Heron,

whether James Hoffa and his gang of criminals

president of the Arizona Savings and Loan Asso­
ciation of Phoenix.

and racketeers is more powerful than the govern­
ment of the United States.

The association a year ago was advertising for
new accounts and in its national advertising made

A s you put it in your report, Senator McClellan,

these statements, “ Now-— earn U /2 per cent on in­
sured savings at Arizona Savings.

“ The Teamsters represent an issue ‘that challenges
the integrity and the very supremacy of our gov­
ernment.’
“Action must come from two sources— from Con­
gress and the courts.”

“ A s a further guarantee of security, your ac­
count is insured, up to $10,000 by International
Guaranty and Trust Company of Tangier, M o­
rocco.”

W e have often thought during the proceedings

A t that time we had recently returned from Tan­

of your committee, what would have happened if
the president of General Motors Corporation, or
American Telegraph and Telephone Company or

gier, and we could see no reason why a savings
and loan association in Phoenix should have its

the American Bankers Association had damned
and defied the members of your committee and
the people of the United States the way Jimmy
Hoffa has done? W e are sure that the public
would have been terrifically aroused and that rem­
edial legislation would have been passed imme­
diately.

accounts guaranteed (or attempt to do so) by an
organization in Tangier.
Now, a year later, the Arizona Savings and Loan
Association is in receivership and you, Mr. Saun­
ders, have been appointed to take over its affairs.
W ith $41 million in assets and 39,000 depositors
in its main office and 15 branches, let’s hope that
you can save as much as possible from the “wreck­

they organize to attempt to control the entire com­

age.”
The Federal Savings and Loan Insurance Cor­

merce of the United States as well as the govern­
ment itself, then it is time that something be done

poration was established to insure accounts up to
$10,000 in associations, the same as the Federal

and done promptly.

Deposit Insurance Corporation insures deposits in
banks up to $10,000, and why any individual would
carry an account with a bank or with an associa­

Organized teamsters are one thing, but when

W ill a constructive labor bill be passed?

We

doubt it.
Representative Carroll Kearns of Pennsylvania
said the bill “fails to correct the racketeering that
has been revealed by the senate rackets committee.
“ It exempts nearly 70 per cent of the unions
from, even reporting their activities.”
After all the evidence which you have produced
through your committee, if something is not done
soon and speedily by congress and by the courts,
then all of your efforts, Senator McClellan, will
have been in vain.
N o rfor
thw
e s t e r n Banker, A u g u s t , 1959
Digitized
FRASER
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Federal Reserve Bank of St. Louis

tion not a member of these insured corporations
seems incredible.
W h at happened to the “ guarantee of security”
by the International Guaranty and Trust Com­
pany of Tangier, Morocco?
Lost, perhaps, in the sand dunes of the desert !

13

Diebold’s experience and leader­
ship in drive-in banking offers
you the most effective, most
productive way to bring drive-in
banking at its best to your bank.
Whatever your building situation,
whatever the traffic pattern, Diebold's
intimate knowledge of drive-in banking
and comprehensive range of drive-in
banking equipment will help you develop
the kind of installation that is convenient
for your customers and profitable for you.
To be sure your bank provides drive-in
banking at its best, call on Diebold,
manufacturer of the world’s finest
bank equipment for nearly a century.

DIEBOLD
BANK EQUIPMENT
CANTON

Gentlemen:
Please send me complete information about
Diebold Drive-In banking.

|

N a m e __________________Title—

OHIO
Company ___________________________
Address

---------------------------------------------

City______________ Zone__ State---------—— — — — — — — — — —— — — — —


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Federal Reserve Bank of St. Louis

B-123

N o r t h w e s t e r n Banker, A u g u s t ,

1959

14
V

Jr

IRVING TRUST COMPANY
NEW YO RK
STATEMENT

OF C O N D I T I O N , J U N E

3 0 , 1959

ASSETS

>

I ll It EC'TOIt S

Cash and Due from B a n k s ................ $
Securities:
U. S. Government Securities . . .
Securities Issued or Underwritten
by U. S. Government Agencies .
Stock in Federal Reserve Bank . .
Other Securities................................

4 7 0 ,6 1 8 ,9 7 0

RICHARD H. WEST
Chairman of the Board

412,635,951
3 4 ,628,839
3,347,100
9 ,6 77,923
460,289,813

Loans:
Loans Guaranteed or Insured
by U. S. Government
or its Agencies................
29,287,034
Loans Secured by
U. S. Government Securities . .
53,772,211
Other L o a n s........................
785,247,285
8 6 8 ,3 0 6 ,5 3 0
Mortgages:
U. S. Government Insured
F.H.A. M o r tg a g e s ........
16,795,906
Conventional First Mortgages
on Real E state................
349,431
17,145,337
Banking H o u s e s ....................
16,535,973
Customers’ Liability for
Acceptances Outstanding . . . .
4 3 ,822,896
Accrued Interest and
Other A ssets........................
8 ,9 56,022
Total A s s e ts ......................$1^885,675,541

GEORGE A. MURPHY
President

THOMAS C. FOGARTY

A

President,
Continental Can C om pany, Inc.

I. J. HARVEY, JR.
Chairman, The Flintkote Company

ROBERT C. KIRKWOOD

y-

President, F. W . Woolworth Co.

DAVID L. LUKE
President, W est Virginia
Pulp and Paper Company

<

J. R. MacDONALD
Chairman and President,
General Cable Corporation

W. G. MALCOLM
President,
American Cyanamid Company

jo h n

w. M cG o v e r n

President,
United States Rubber Company

MINOT K. MILLIKEN

if

Pice President and Treasurer,
Deering, Milliken & C o., Inc.

DON G. MITCHELL
President, General Telephone &
Electronics Corporation

LIABILITIES

ROY W. MOORE

Deposits..................................................... $ 1 ,6 7 7,146,752
Taxes and Other E x p en ses................
13,642,980
Dividend Payable July 1, 1959. . . .
2,080,800
Acceptances: Less Amount in
Portfolio.................................................
4 6 ,108,922
Other Liabilities....................................
7,252,666
Total L iabilities............................
1,746,232,120

C A P I T A L ACCOUNTS
Capital Stock ( 5 ,2 0 2 ,0 0 0 shares — $ 1 0 par)
S u r p lu s ....................................................
Undivided P r o f i t s ................................
Total Capital Accounts................

LeROY A. PETERSEN
President, Otis Elevator Company

J. WHITNEY PETERSON
President,
United States Tobacco Company

1

President,
Reiss Manufacturing Corporation

FRANCIS L. WHITMARSH

amounted to $ 9 0 ,3 4 1 ,5 9 9 .

New Y o rk, N . Y .

D E P O S I T

I N S U R A N C E

4

RAYMOND H. REISS

Chairman of the Board
and Chief Executive Officer,
National Dairy Products Corporation

monies and f o r other purposes required by law

F E D E R A L

Chairman of the Board,
General Telephone & Electronics
Corporation

E. E. STEWART

U . S. Government Securities pledged to secure deposits o f public

N ofor
r t hFRASER
w e s t e r n Ba nker, A u g u s t , 1959
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

President,
New York & Pennsylvania Co.

DONALD C. POWER

52,020,000
5 9 ,5 5 0 ,0 0 0
27,873,421
139,443,421

Total Liabilities and
Capital Accounts............................... $1,885,675,541

M E M B E R

Chairman, Canada Dry Corporation

PETER S. PAINE

C O R P O R A T I O N

Y

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lumber,

BALANCE

ASSETS

me.

SHEET

DECEMBER

31

C a s h in b a n k s and on hand . . . .
$ 8 7 ,4 - 0 6
A c c o u n ts r e c e i v a b l e ................................ .....
3 9 6 ,1 2 8
P re p a id e x p e n se
..................... 4 3 , 0 0 0

>

►

r

Mr. Loan Officer — whenever you see a financial statement on which
the I n v e n t o r y "wants to be a loan’’ — why not call in Lawrence.
Lawrence System Warehouse Receipts enable you to convert
inventories into prime collateral for secured loans ranging from
$15,000 to $1,000,000 or more.
LAWRENCE O N

W A R E H O U S E RECEIPTS

^ T

aw sím ce ^

WL

ÇjVCTCM

I
Jj

. . . IS L I K E C E R T I F I E D O N C H E C K S

I a w r e n c e W a f IEHO u s e Co m p a n y
N A TIO N W ID E

FIELD W A R E H O U S I N G

3 7 D r u m m S tre et, San F r a n c i s c o 11
lOO N. L aS alle S tre et, C h i c a g o 2 ♦ 7 9 W a l l S tre et, New Y o r k 5
OFFICES


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Federal Reserve Bank of St. Louis

IN

P R I N C I P A L C I T IE S

N o r t h w e s t e r n Banker, A u g u s t ,

1959

16

DIRECTORS

TheF I R S T

NATIONAL C IT Y B A N K
o j N e w

ST A N LEY C. ALLYN
Chairman of the Board, The National
Cash Register Company
GEORGE F. BAKER, JR.
Trustee, George F. Baker Trust
CHARLES M. BRINCKERH 0FF
President, The Anaconda Company

ìb r k

Head Office: 5 5 W all Street, N e w Y ork
78 Overseas Branches,
Offices and Affiliates

78 Branches
in Greater N ew Y o r k

PERCY CHUBB, 2nd
Partner, Chubb & Son
CLEVELAND E. DODGE
Vice-President, Phelps Dodge
Corporation
R. GWIN F 0 L L IS
Chairman of the Board, Standard Oil
Company of California

Statem ent of Condition a s of June 30, 1959

DeWITT A. FORWARD
Vice-Chairman
J PETER GRACE
President, W. R. Grace & Co.

ASSETS
C a s h a n d D u e f r o m B a n k s ............................................ $ 1,781,904,990
U n it e d S t a t e s G o v e r n m e n t O b l i g a t i o n s .

1,226,842,463

. .

491,200,554

S t a t e a n d M u n i c i p a l S e c u r i t i e s .............
O t h e r S e c u r i t i e s .............................................

102,204,164

L o a n s ......................................................................

4,078,243,244

C u s t o m e r s ’ A c c e p t a n c e L i a b i l i t y .......

85,191,570

F e d e r a l R e s e r v e B a n k S t o c k .............

18,600,000

I n t e r n a t io n a l B a n k in g C o r p o r a t io n .

.

.

7,000,000

.

B a n k P r e m is e s , F u r n it u r e a n d E q u ip m e n t

. .

46,327,774

I t e m s in T r a n s i t w it h O v e r s e a s B r a n c h e s

. .

20,260,007

O t h e r A s s e t s ...................................................

13,360,143

T o t a l .....................................................$7,871,134,909

LI ABI LI TI ES
D e p o s i t s .................................................................. $6,966,148,289
L i a b i l i t y o n A c c e p t a n c e s a n d B il l s

.

.

.

F o r e i g n F u n d s B o r r o w e d ..........................

88,029,746

.

8,525,700

JOSEPH A. GRAZIER
President, American Radiator &
Standard Sanitary Corporation
HARRY C. HAGERTY
Financial Vice-President, Metropolitan
Life Insurance Company
H. M A N SF IE L D HORNER
Chairman, United Aircraft
Corporation
ROGER M ILLIK E N
President, Deering, Milliken & Co.,
Incorporated
EDWARD S. MOORE, JR.
Executive Vice-President, National
Biscuit Company
CHARLES G. M ORTIM ER
President, General Foods
Corporation
A LEXA N DER C. NAGLE
20 Exchange Place
CHARLES C. PARLIN
Shearman & Sterling & Wright
RICHARD S. PE R K IN S
Vice-Chairman
CLIFTON W PHALEN
President, New York Telephone
Company
JA M ES S. ROCKEFELLER
President
HOWARD C. SHEPERD
Chairman of the Board

R eserves:
U n e a r n e d I n c o m e ......................................

35,908,532

T a x e s a n d A c c r u e d E x p e n s e s .............

44,856,868

D i v i d e n d .........................................................

8,280,000

W IL L IA M C. S T 0 L K
President, American Can Company
REGINALD B. TAYLOR
Williamsville, New York
ALAN H. TEM PLE
Vice-Chairman

Sh a r e h o l d e r s’ E q u it y :

LEO D. WELCH
Executive Vice-President, Standard Oil
Company (New Jersey)

C a p i t a l ....................................................... $240,000,000

(12,000,000 Shares— $20 Par)
S u r p l u s ..................................................

380,000,000

U n d iv id e d P r o f i t s .........................

99,385,774

ROBERT W INTHROP
Robert Winthrop & Co.

719,385,774

T o t a l .................................................... $7,871,134,909
Figures of Overseas Branches are as of June 23.
$528,768,362 of United States Government Obligations and $12,622,250 of
other assets are pledged to secure Public and Trust Deposits and for other
purposes required or permitted by law.

SENIOR

MANAGEMENT

HOWARD C. SHEPERD
Chairman of the Board
JA M ES S. ROCKEFELLER
President
RICHARD S. P E R K IN S
Vice-Chairman
DeWITT A. FORWARD
Vice-Chairman

Member Federal Deposit Insurance Corporation

ALAN H. TEMPLE
Vice-Chairman

Affiliate o f T h e First National City Bank o f N ew Y o r k for separate
administration o f trust functions

FIRST

NATIONAL

CITY

TRUST

COMPANY

Head Office: 2 2 W illia m Street, N e w Y o rk

Capital Funds $34,919,268

o r t h w e s t e r n Banker, A u g u s t , 1959
DigitizedNfor
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

J. HOWARD LAERI
Executive Vice-President
GEORGE S. MOORE
Executive Vice-President
TH OM AS R. WILCOX
Executive Vice-President
GEORGE A. GUERDAN
Vice-President— Operations

17

Your eyes and ears in C hicago...
transferal of funds . . . clearings. Small enough
to provide the personal attention each job needs.
You always deal with an officer at City National.
Whenever you need diligent eyes and ears in
Chicago, call on City National. We’d like to do
business with you.

Speedy communications, diligent personal serv­
ice, is why our many correspondent banker
friends use City National as their eyes and ears
in Chicago.
Big enough to handle all correspondent bank­
ing services. .. buy and sell. . . portfolio advice ...
$w
Member
Federal Deposit
Insurance
Corporation

<

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A
IN
T
I» TRUST COMPANY OF CHICAGO

208

South L a S a lle Street • F R a n k lin 2 - 7 4 0 0
©City National Bank and Trust Company of Chicago, 1959


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

18
1

*

H o w to a

it

m i s t a k e s

in n e w q u a r t e r s
À

p la n n in g

>

Y ou r new quarters committee, facing decisions which

A s a service to bankers, Bank Building Corporation

will deeply affect your institution’s future, needs all the

makes available a series o f informative brochures, created

information it can obtain about the planning and de­

to help you avoid some com m on planning misconcep­

signing o f financial quarters. For this is unfamiliar

tions and errors. Based on the experience accumulated

ground for most bankers, and mistakes made in the

on more than 3,500 completed financial projects, these

initial planning stages can be costly and even disastrous

booklets can be invaluable aids. Send for any or all o f

to your bank’s future.

them today; no obligation!

T HE

PLANNING

M I S T A K E S .........A N D

0
Budget thinking that confuses
price with true cost, sacrificing future
profits for illusory savings.

Send for

TO

AVOID

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© Considering new quarters as an
expense, rather than an investment
in increased business, improved oper­
ating efficiency, better profits.

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0
Deciding to remodel an existing
structure, or build a new one, with­
out a skilled analysis by experts.

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©
Failure to analyze fully the im­
pact o f the M otor Age on customers’
banking habits.

Send for

© Acceptance—because o f inade­
quate background information—o f
plans which do not measure up to
today’s competitive requirements.

Send for

© Belief that any designer, no mat­
ter how inexperienced in this tech­
nical field, can create a bank design
that is most effective for you.

Send for

A

THEM

THE TRUTH ABOUT NEW QUARTERS COSTS,

a penetrating analysis o f budget problems
in financial planning and design.

© Over-emphasis on exterior ap­
pearance, too little stress on the
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produces maximum efficiency.

Send

HOW

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SPECIALIZED PLA N N IN G -B L U EP R IN T FOR PROFIT,

with examples o f planning techniques which
saved thousands o f dollars for Bank Building
clients.

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BANK M ODERNIZES, documented case
histories o f 57 banks whose
modernization produced important results.

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an authoritative planning guide with
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N ew Y ork

N o r t h w e s t e r n Banker. A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

St . L ouis , 1130 H am pton A venue
C h ic a g o
•
S an F r a n c is c o

•

A tlan ta

a

19

Francis Walters, president, First National Bank of Mishawaka, Indiana, signing the agreement estab­
lishing his bank’s pension plan, as John Eggert, vice president and cashier (standing) looks on. Repre­
senting Manufacturers Trust at left Paul Tibbetts, assistant trust officer and Joe Snyder, assistant
vice president. Joe Snyder has initiated pension plans for 42 banks in Indiana, Illinois and Iowa.

Signing Another Declaration of Independence
The picture above, taken in the office of our correspondent, The First
National Bank of Mishawaka, Indiana— has a human as well as his­
torical significance. It marks the 100th bank to join Manufacturers
Trust Company’s Retirement Program for Correspondent Banks.
Every day, more and more bank officers and employees in every
corner of America are participating in the Program— can look
forward to the greater independence and security made possible by
the foresight and cooperation of the managements of their banks.
The Retirement Program for Correspondent Banks was created
to bring to banks, of any size, all the important features and
advantages found only in the most modern pension plans of large
institutions. A booklet is available which describes the Program in

F o r a copy o f this booklet, write
or phone Paul D. Tibbetts,

detail, and gives precise facts about the low cost of a preliminary
study and report on which a sound pension plan can be based.

H A n over 2 - 7200.

M ANUFACTURERS TRUST COM PANY
H e a d O ffic e : 4 4

W all! S tre e t, N e w Y o r k 15, N . Y .

Member Federal Deposit Insurance Corporation


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

I O W A ’S

FAVORITE

CO R R ESPO N D EN T

BANK

A

successful Correspondent Bank Depart­
ment . . . like a bountiful corn crop . . . must
be planted in the fertile soil of helpfulness
. . . be cultivated with care . . . and be nur­
tured with the sunshine warmth o f friend­
liness and understanding.

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N A T IO N A L BANK
and TRUST COMPANY
F I F T H and L O C U S T • D E S M O I N E S , I O W A
T e le p h o n e — C H e r r y 3 - 8 1 8 1
M E M B E R
N o r t h w e s t e r n Ba nker, A u g u s t ,


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Federal Reserve Bank of St. Louis

F E D E R A L
1959

D E P O S I T

I N S U R A N C E

C O R P O R A T I O N

N o r t h w e s t e r n Banker, A u g u s t ,
7959


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Federal Reserve Bank of St. Louis

22
l-

Off-beat, side street location pays off
fo r the Bank o f Bethesda
“ We thought we were
taking a chance when
we b u i l t o u r new
drive-in branch in a
new commercial area
away from the main
thoroughfares,” says
Mr. Edward D. Sacks,
Vi c e P r e s i d e n t of
M aryland’s Bank of
Bethesda.
“ But it certainly paid off. New deposits attributable to
this facility already exceed $1,000,000. Customers say
it’s our uncongested location that makes banking with
us so pleasant. What we feared might be a disadvantage
has turned out to be one of our greatest assets.
“ The entire cost of the installation was $97,000, includ­
ing land, building and equipment. We anticipated it

would pay for itself in five to six years, but our better
than 15,000 cars monthly average has already cut our
estimate on pay-off to three years.
“ We looked at all the drive-in windows before deciding
on Mosler. You can’t ignore exclusive features like
Mosler’s draft-proof deposit drawer and constant, hi-fi
speaker-microphone system. As a matter of fact ours is
strictly a Mosler operation. In addition to four drive-in
windows, we decided on a Mosler walk-up window, day
and night depository and money safe.
“ We’re looking forward to opening another branch in
a couple of months. You can bet it will be Mosler
equipped.”
Problem Solving-A Mosler Specialty. From auto bank­
ing to the largest bank vaults, Mosler design and manufacturing experience is at your service. Write for
Mosler’s “ a u t o b a n k i n g i d e a b o o k ” and information
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Federal Reserve Bank of St. Louis

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23

Financing Your Local Industries

4M oney finders'' assist banks in prom oting funds

N THE last decade hundreds of
small cities and towns have suc­
cessfully campaigned to attract
and bring industry into their commu­
nity. Inducements have ranged from
- provisison of a completed plant to be
amortized over a long term, to an ad­
vantageous tax structure for a speci­
fied number of years.
The small town environment has
* many plus values for industry: the
labor pool is constant and superior;
many economies in operation can be
effected; the self-interest of the com­
munity in the success of a large em­
ployer establishes excellent public and
labor-management relations.
Industry, in turn, makes its own
signal contribution to the welfare of
4 the community. It helps maintain a
stable and well-balanced economy; it
provides a source of steady employ­
ment which sparks home building,
and the purchase of freezers and tele­
visions and home furnishings and
automobiles.

I

Financial Needs

‘

While the gains from operation in
a small community are understood
and appreciated, ma ny companies
have been reluctant to make an appar­
ently desirable emigration from the


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Federal Reserve Bank of St. Louis

big town because of their continuing
financial needs. The very existence
of an industry can be dependent on
ready access to money sources. A
manufacturer may require half a doz­
en different types of loans during a
single year’s operation. He may need
money for expansion of raw materials
or finished product inventory; he may
need new equipment, or added pro­
duction facilities, or accounts receiv­
able financing, or factoring.
Ideally, one single program of fi­
nancing encompasses all of these in
one package. Generally, however, the
facilities of local banks are not de­
signed to fulfill all the multiple finan­
cial requirements of a sizable local in­
dustry. It is then that the services
of a broker, joined to the knowledge
of the local banker, can serve well to
help establish a gratifying financial
climate.
The records of Associated Loan
Counsellors of Chicago, who are finan­
cial brokers, disclose numerous in­
stances of banks which have taken
the initiative in securing financing
from outside sources for a local in­
dustry.
Non-Bankable Loan

There was, for example, the cheese

factory, located in a midwest dairy
region, which required a non-bankable
long-term loan for new equipment.
The local banker was well aware that
this new equipment would assure the
company’s continuing and gratifying
profit. He also recognized that his
customer, like many other business­
men, neither had the know-how nor
the time to shop for money. At the
request of the banker, Associated
Loan Counsellors undertook to secure
the necessary funds, and accomplished
the assignment successfully.
The banker’s efforts assured the
continuance in the area of a progres­
sive, profitable operation, whose pros­
perity will be reflected in the econom­
ic life of the entire community. In­
dustry, with a view to resettlement,
will inevitably recognize the value to
any newcomer of such cooperation.
Another instance of a banker’s ef­
forts in behalf of a local concern is
that of a manufacturer of a revolu­
tionary machine for the plastic field.
The local bank had financed the oper­
ation to the full extent of its limita­
tions, for there was no question as to
LOCAL INDUSTRIES . . .

(Turn to page 86, please)
N o r t h w e s t e r n Banker, A u g u s t ,

1959

Credit d i e s A id
B etter Farm irradia ff
W ritten E specially fo r
The N orth w estern B an k er

By J. D . LE M M E R M A N
Cashier
National Bank of Monmouth
Monmouth , Illinois

HE installation of credit files in
a country bank seems to be be­
coming more the rule than the
exception. This is being brought
about by the increasing credit needs
of farmers in an ever expanding in­
dustry and in many cases is being en­
couraged by the examining depart­
ments. Yet there are a large number
of banks of all sizes that have failed
to make one of the most valuable in­
stallations possible in modern lending
operations.
I once heard the story of a vice
president returning from the funeral
of the president of his bank who said,
“We just buried our credit depart­
ment.” This is so true in the banks
that do not have credit files. Termi­
nation of service by reason of retire­
ment or death of one individual brings
about a situation that could take
years to overcome.
Whether personal pride or unwill­
ingness to share their responsibilities
with others is the contributing factor,
the fact remains that succession of
management is hampered to the ex­
tent that the entire operation of the
credit department is endangered.
Credit files are nothing more than
a written record of a borrower’s finan­
cial responsibility and credit needs.
To assume the risk in meeting the
credit needs of its customers a bank
must have this information. They en­
able all loan officers to handle routine
requests with confidence and provide
a quick method for new loan officers
to become familiar with the many
lines of credit. They provide a writ­
ten record of all agreements made
with the borrower which prevents any
misunderstanding that might arise,
and most important of all, a good
credit file gives the customer more
confidence in the bank when he knows
that more than one loan officer under­
stands his needs.

T

N o r t h w e s t e r n Banker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

Many articles have been written on
the use of credit files but most of
these have centered around operations
in a large city bank. This type of
system involves a file containing sev­
eral sections of loan comments, analy­
sis sheets, correspondence, newspaper

clippings, information on insurance,
management and what have you. The
complexity of this type of file is dis­
couraging to the country banker han­
dling principally agricultural credit.
The more simple the file, the more
valuable it becomes to a small bank.
A single folder with one side used to
attach the comment sheet and the
other for the financial statement is
probably the most efficient. If it is
desired to carry additional informa­
tion on some of the borrowers another
section could be added or the informa­
tion could be attached under the finan­
cial statements.
In our bank we try to keep both
the credit file and the procedure of
using it as simple as possible. When
we wait on a customer we bring the
file to our desk so there is no chance
of forgetting to enter a comment. The
comment made by the lending officer
is in longhand on the Credit File
“Memo” shown in illustration No. 1.
In this memo we cover the following
points:
1. What we did (loaned, paid or re­
newed, etc.).

Illu s tra tio n N o. #
CREDIT FILE MEMO
Date....................... Name.............................................................
Promised to

Total Credit

Loan $ .............. Wants to Borrow $ .............. Open

.......

Endorsed

$ .............. Paid

$ ............... Secured $ ........

Renewed

$ .............. Loaned

$ ............... Fin.

@ ......... % Due.......................... Secured by

Endorsers

$ ........

How Payable

Statement Date....................................................
Recap of Loans and Additional Information (See other side)
Yes or No (strike one)
Signed................................................

Illu s tra tio n N o. 2
Date of Note

Amount

9-25-19. .
1- 5-19..
2- 1-19. .
2-28-19. .

$6,000.00
2,500.00
3,000.00
1,000.00

RECAP OF LOANS
Due Date

Secured by

Open
Open
C/M on 60 steers
Advance under C/M

3-25-19..
3- 4-19..
8- 1-19. .
8- 1-19. .
SELLING SCHEDULE

Kind

Present
W eight

100 Hogs . .220 lbs.
120 Hogs . .200 lbs.
60 Steers . .800 lbs.

Approx.
Selling Date

Expected
W eight

Price

Proceeds

Disposition
of Proceeds

3-1-19..
3-15-19..
7-15-19..

225 lbs.
225 lbs.
1,000 lbs.

16c
16c
25c

$3,600
4,320
15,000

Pay $2,000 on line
Pay 4,000 on line
Pay balance of line

25

2. How we did it (open or secured
by chattel mortgage, etc.).
3. For what (operating expense,
purchase of livestock).
4. Due date.
5. How it is going to he repaid or
from what source repayment was
made.
Some typical comments would be as
follows:
(a) Loaned $2,000.00 @ 5% due. . . .
. . . 19... open, for operating ex­
pense. Has 100 hogs now weigh­
ing 100 pounds to go by due
date and will repay from the
proceeds.
Statement Date................ 19....
(b) Renewed $2,500.00 @ 5% due
.............19.. open. Part renew­
al of $6,000.00 open due 6-1-1959
after a $3,500.00 reduction from

.1

t 'minierC heek Thai

First National Bank of Lin­
T HE
coln, Nebraska, uses a counter

check that combines the necessary
elements of c u s t o me r convenience
along with protection for both cus­
tomer and the bank. This check is

right hand corner as is-customary on
any check. At the left of the custom­
er’s signature line is type that says,
“NOT NEGOTIABLE — To be used
only at the counter of this bank and
by the drawer personally.”

L i n c o l n ,N e b r a s k a .
Received in Person From My Checking Account at
Date_

_19_
Withdrawn from

The First National Bank
of Lincoln
Lincoln, Nebraska
.D o l l a r s

$_

NOT N E G O TIA BLE
TO BE USED ONLY AT THE COUNTER OF THIS
BANK AND BY THE DRAWER PERSONALLY

the sale of 120 hogs, weight 225 used by checking account customers
pounds @ 15c — proceeds $4,- wishing to make a withdrawal from
050.00. Has about 80 more hogs their account.
As shown on the check illustrated
to go by due date.
here, a line of small type reads, “Re­
Statement Date................ 19....
ceived in Person From My Checking
(c) Paid $5,000.00 @ 5% due .........
Account at” and then the name “ The
19. .
. secured by Chattel Mort­
First National Bank of Lincoln, Lin­
gage on 60 steers from the sale
coln, Nebraska,” appears in large type
of the steers — 1,110 pounds @
27c. He is going to look at more on two lines, centered on the check.
cattle. I told him we would fi­ The check is printed on yellow paper.
The customer fills in the written
nance the purchase if he needed
dollar amount as well as the amount
credit. We will need a new fi­
in numbers, and signs it in the lower
nancial statement when a new
For the convenience of the cusloan is made.
Statement Date................ 19....
This produces all the information but, on the other hand, in dealing
needed to maintain credit files. When with farmers we are interested main­
the memo is completed it is attached ly in the property he has to sell.
to the credit file and placed on the
The surest way to find you have
loan secretary’s desk who types the made a capital loan is to rely on the
information on the comment sheet in borrower’s net worth which includes
the credit file.
his land and machinery without any
After the bank closes, all files on regard to the property that is going
which there has been activity during to turn into cash and ultimately pay
the day are passed among all of the his line of credit.
lending officers. In doing this all are
We have found that by recapping
kept informed about the changes in the borrower’s notes (and other debts
the borrower’s line and have knowl­ or payments if necessary) and work­
edge of any loan commitments that ing out a selling schedule, we not only
were made during the day.
keep ourselves posted on the progress
I wouldn’t argue with some of the that the livestock is making, but we
“ old-timers” about the importance of are able to match anticipated income
financial statements at certain periods against the borrower’s debt and after
throughout the year but I would sug­ allowing a reasonable margin can de­
gest that perhaps they are overlook­ termine if he will be able to pay the
ing a method of supplementing the debt.
information disclosed in a statement.
Illustration No. 2 shows the method
A financial statement shows the bor­ we use in recapping the borrower’s
rower’s financial position at a given line and setting up a selling schedule.
time. Within a few weeks, however, This is probably one of the most val­
the information contained becomes uable parts of our operation and I
outdated. Livestock has increased in would strongly urge any bank, wheth­
value or has been sold, grain on hand er they are already using credit files
has decreased and the debt picture or merely anticipating their use, to
has changed one way or another. consider a system of this type.
Naturally, a statement could be taken
Prior to the use of credit files in a
often enough to reflect these changes bank, much of the time of the loan

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Federal Reserve Bank of St. Louis

S a fe

tomer, a stub is attached on which
can be noted the date and the amount
of withdrawal from the account. The
customer tears off the stub as his rec­
ord to be entered in his checkbook
later.
Officials of The First National feel
that this type of check effectively
stops the bad check artist from cash­
ing a string of First National Bank
of Lincoln checks across the country.
The only other checks on the counter
are universal checks and, of course,
the name of the bank must be written
in on these checks.— E n d .
officers was spent with the examiner
during his visit going over the many
lines of credit. In most cases the
financial statements were old enough
that they didn’t present the true pic­
ture at that particular time. There­
fore, the information conveyed to the
examiner for the most part was
through the memory of one or more
of the loan officers. How they kept
all of this information in -their mind
has always been a mystery to me.
Through the use of credit files noth­
ing is left to memory. The examiner
has all of the information available
to him by reading the comments in
the credit files. Very little of the lend­
ing officer’s time is needed and many
loans that would be questioned meet
with the examiner’s approval because
the history of the loans are available
to him.
With the cooperation of all of the
lending officers there is no reason
why every bank, regardless of size,
cannot have credit files. They pro­
vide a source of credit information
that will be available during the ab­
sence of any -one individual and
through their use the bank can be of
better service to the community.—
End.
N o r t h w e s t e r n Ban ke r, A u g u s t ,

1959

26

X

P rovide L o b b y
IPisptays for
L oca t M erch a n ts
W ritten E specially fo r
The N orth w estern B an ker

By J. E. SH ELLE D Y
Cashier
First National Bank
York , Nebraska

IKE most banks, we have heavy customer traffic—
greater even than most of our local merchants en­
joy. A thought came to mind, why not provide an
area in our lobby where local businessmen could display
some of their merchandise, to be viewed by hundreds of
potential customers who may never have entered their
stores.
An informal survey with many York merchants re­
vealed all to be enthusiastic about such a display area.
We had a teller’s window in one conrer of the lobby
which was detached from the other units and was never
used. Such space was adequate for both size and loca­
tion.

L

Valuable Suggestions

Before any construction was begun, an interior decora­
tor from a large department store was consulted. His
suggestions proved invaluable on matters concerning
size of the area, materials to be used, lighting and the
other factors necessary for such unit. A recent Dairy
Month display is shown above.
The display area is approximately eight by eight feet
and has two pegboard backboards—each with a strip of
Acrylite glass running vertically. For the display of
merchandise, two portable steps were built by our local
contractor, one about three feet in width and the second
about half the size. Both fit snugly into the corners of
the display area and can be altered or removed as neces­
sary for each merchant’s display. A number of shelves
are also available which can be easily attached on the
pegboard.
The two Acrylite glass panels are illuminated from be­
hind which presents an attractive background for any
exhibit. Also provided are several electric outlets in the
area.
The floor of the display area is carpeted.
Once the construction of the display area was complete,
N o rth w e ste rn Banker, A ugust, 1959


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Federal Reserve Bank of St. Louis

the next step was to arrange for the use of the area by
bank customers. The entire list of business customers
was screened with the idea of making the space avail­
able to all for whom it would serve a useful purpose.
From the original list, those were eliminated who obvi­
ously would not desire to use the area. These included
professional men, liquor dealers and others whose busi­
ness did not lend itself to this type of advertising.
Personal letters were then written to all remaining
business customers advising them that the display space
would be available to them for periods of one week each.
They were asked in the letter to call at the bank to
draw for their week, since an attempt to arrange an
appropriate week of the year for each type of business
would have been impossible.
The response to the letter was beyond our expectations.
We received requests for all the weeks in 1959 within
the first five days and subsequent requests were assigned
the weeks in 1960 in chronological order. The display
area is now reserved through July of next year.
This plan of assigning weeks to merchants who desire
the space also allows us to make the area available to
new business accounts who have signed up since the
first letter was sent out. Once the opportunity has been
afforded to all merchants who wish to use the area, we
will start the cycle again.
Each displayer is furnished a small placard with the
business name printed as desired—including his choice
of style of print and trade names or slogans used with
the business. The placard is easily placed in a special
frame which can be located at any spot in the area desired.

^

^

*

^

One Limitation

Only one limitation is made on the use of the display
area—prices are not allowed to appear on any items dis­
played.
Local firms using the space are reminded three weeks
in advance of their date by letter since many of them
rely on wholesalers to assist them with display material.
The letter is followed with a telephone call one week
prior to their opening date.
New displays begin on Monday and must be removed
Saturday afternoon after the bank closes.
Only one cancellation has been received for use of
LOBBY DISPLAYS. . .

(Turn to page 34, please)

Y

^

27

How to set up your own

Compiete
NE of the best controls that can
be established in any bank, re­
gardless of size, manpower or
whether you have an auditor or not,
is that of improved operations.
Directors should make provisions
for a control officer, outline his res­
ponsibilities and require a report of
his activities. Directors should then
digest his suggestions for improve­
ments in operations and control.
The control officer should have free­
dom to make checks and investiga­
tions necessary to his performance of
duties. He should handle no cash and
make no entries to the bank’s books.

O

A udii Program
By H. L. B A U D E R
Assistant Vice President
The Pueblo Savings and Trust Company
Pueblo , Colorado

Nine Safeguards

Here are nine safeguards that any It must be handled in a careful man­
bank, regardless of size, can use:
ner as the indirect public relations
1.
Rotation of employees is an ex­ results can be either to your advan­
cellent deterrent to defalcations if tage or disadvantage. If the customer
done as a surprise and is of sufficient can be made to feel that the verifica­
duration as to permit disclosure of tion is for his benefit, you have won
any irregularities. An auxiliary bene­ the battle. If he feels you are making
fit is the increased ability of em­ him work for you or that you don’t
ployees to fill positions during illness know whether your records are right
and vacations, as well as their prep­ or not, it will be detrimental.
aration for advancement.
8. Consider accruals as a further
2.
Separate the handling of cash and safeguard to defalcation. The value
the keeping of records. No individual of such a system is in direct propor­
should be allowed to handle a trans­ tion to its complexity. However, you
action from beginning to end. Auto­ may find that auditing through accru­
matic checks and balances will pro­ als is less expensive and of more value
than an equal expenditure of time
vide a high degree of protection.
3.
Never allow a person, even the and money for auditing by other
president, to pass up a vacation pe­ means.
riod. If two weeks are allowed, be
Easily Converted Items
sure the total time is taken all at
9. Provision should be made for
once.
4.
Observe the outside activities of dual control of easily converted items
your officers and employees. Have such as reserve cash, negotiable col­
you ever looked at their checks, de­ lateral for loans and investment secur­
posits and ledger sheets? Are they ities. Dual control procedures must
driving cars above their income level?
5,
Hand in hand with the above,
have someone in your bank avail­
able to talk over personal affairs with
your employees if they want it. Many
a problem can be talked down to size
and solved before the embezzlement
solution is considered.
Adequate Salaries?

(i. Be sure salaries are adequate for
work performed. If the salary avail­
able is not adequate for the expenses
of the person in question, help him
find a position where he can make
enough to cover his expenses.
ORDER periodic verification of cash in­
7.
Direct verification is, many times, side coin bags to see if it tallies with
the only way to uncover irregularities.
amounts stated on tags.

be observed regularly to determine
if adequate protection is still avail­
able. Such control can be attained
very easily even when only one lock
is available. Recently, we had a single
key lock on a cabinet upon which we
wanted dual control. The addition of
a clasp and a padlock allowed us to
have dual control without great ex­
pense. A key shield for a combination
will allow dual control on a single
combination.
Here are some specific audit proce­
dures that can be installed, suggested
only as guides for your own think­
ing:
As cash and coin are the most liquid
of all assets, keep reserve cash under
dual control and order periodic veri­
fication of the reserve cash. Don’t
take for granted that cash inside the
coin bag always tallies with the
amount stated on the tag. A periodic
liquidation of all reserve cash is good
insurance.
Due From Banks

Due from banks is a fertile field
for embezzlement. Separation of du­
ties should be the by-word for this
audit. Not everyone in the bank is
authorized to sign checks so it is
relatively easy to find a non-signer
to reconcile these accounts. Other
loopholes to plug are the pre-number­
ing of drafts, availability of only a
working supply of drafts, no drafts
signed in blank and cancellation of
spoiled drafts.
The investment account, usually
representing a large portion of the
bank’s assets, can be the easiest to
COMPLETE AUDIT . . .

(Turn to page 38, please)
Northw estern


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Federal Reserve Bank of St. Louis

Banker, A u g u s t ,

1959

28

W ritten E specially fo r
The N orth w estern B an k er

B y R. E. R A W L L
Vice President
Christmas Club
a Corporation
New York, New York

Here Are Reasons Why . . .

Financial Institutions
Xccii Christmas Club

ILLIONS of people have out­
grown the daydream stage.
Their cars, their homes, their
possessions and their positions are
evidence that past “draydreams” have
become realities. These are the peo­
ple who have tremendous power to in­
fluence the thoughts and actions of
other people still in the “daydream”
consciousness.
There is very little opportunity to
acquire wealth today, under our pres­
ent tax structure, unless thrift and
saving practices become a part of the
individual’s economic thinking. More
than 13 million people have found
Christmas Club the gateway to their
economic growth.
Through the years, experience has
demonstrated the fact that by saving
small amounts of money regularly and
systematically the yearly accumula­
tion returned in one lump sum has
raised the scope of the individual’s
capabilities. Once the door of the
mind is opened to the individual’s ca­
pacity, and the practice of self-reli­
ance, responsibility and persistency
has established confidence, the next
step to enlarge one’s goal becomes
automatic.
Man’s desire to be economically free
is as basic as his desire to live. Christ­
mas Club is one way of taking the
first step in the lesson of freedom
from want. It is a lesson based on
one of man’s greatest instincts, “ giv­
ing.” The idea of accumulating money
for Christmas “giving” appealed to the

M

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

public. The Christmas Club method
was so easy, people soon learned that
by using the same method they could
save a little more which would take
care of their taxes or insurance or
perhaps a luxury item which could
not be purchased out of their income
without a little sacrifice saving.
With each new adventure in enlarg­
ing their goals, people learned the
habit of saving, the value of friendly
relationships made at their Christmas
Club financial institutions, and above
all they learned a wonderful lesson in
the importance of self accomplish­
ment. Christmas Club members have
become banking customers for every
service a financial institution has to
offer.
The business of a financial institu­
tion is people. Christmas Club brings
people to the institution. The success­
ful banker considers the needs of the
people. The only way people can pos­
sibly attain the goals they set for
themselves is to use to capacity their
most powerful resource—their brain
power. The startling changes in our
way of life over the past years foretell
of what will almost certainly hap­
pen during the next 20 or 30 years.
For the rate of change is continuing,
even accelerating. New businesses are
developing new maetrials and new
products that will present a host of
challenging opportunities to individ­
uals willing and able to exploit them.
There is already a fantastic increase
in demand for hi g he r education.
Higher education costs money. To-

day’s students are tomorrow’s busi­
nessmen and scientists who will wel­
come the continued financial guidance
of the institution that offered the
Christmas Club to help them to save
for their education.
Christmas Club gives the banker an
opportunity to promote human rela­
tions. People who become a part of
an institution where their smallest en­
deavor is recognized with sympathet­
ic understanding and good will are
not apt to allow a small increase in
interest rate offered by another institution to attract them away from
their friendly associations. That psy­
chology applies also to- larger savers.
Even if an increase in dollars accumulated by increased interest rates is
appealing to the large savers, friend­
ship, understanding and considerate
guidance in the management of their
money will be worth much more than
the increased interest rates. Promotiton of friendship and demonstration
of it is urgently needed.
Friendship is a commodity one cannot buy and is rarely lost if it is nur­
tured intelligently. It must be sincere,
for even those people who do not have
the ability to express their thoughts
in erudite terminology can feel the
difference between a grin and a gen­
uine smile. Patronizing diplomacy can
make an enemy out of a friend. With
all the tools and useful services at his
command, a banker must use them
properly to attract the confidence of
the people. Bankers need people but
they need just as much the “know
how” to make people their friends.
A little story will illustrate the
point of human relations in two
banks. A young lady, secretary to a
television producer, read an interesting bank ad in the newspaper which
promoted small savings. The bank in
question was nearer her office than
where she banked the daily deposits
for her boss and where small savings
accounts were not accepted. Her boss
graciously permitted her to make the
change, he also gave her his personal
check for $50 thousand to open an account for him. She entered the bank
with the daily deposit of $150 thou­
sand and her boss’ check for $50 thou­
sand. The doorman was very gracious
when she asked the direction to the
savings window and took her to one
of the assistant vice presidents on the
floor. This gentleman displayed his
most professional grin and with red
carpet service escorted her to the sav­
ings window. When she told him that
she had seen the bank ad in the paper
promoting small savings, he beamed
his delight. But when she told him
she would like to open an account for
$100 he closed his lips tight and with
stiff formality directed her to another

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29
window and left her standing alone.
His change of manner changed her
mind about the bank. She departed
and walked five blocks out of her way
to another bank. She asked there if
they accepted $100 accounts. The teller
was charming and assured her that
they would welcome her $100 deposit.
The teller’s manner didn’t change a
bit, no matter how he felt, when she
made the $150 thousand deposit and
arranged to open the $50 thousand ac­
count for her boss.
The teller at that bank made a
friend because he understood human
relations. He made the young lady
feel as welcome with her little $100
account as with the larger deposits,
and that f r i e n d s h i p has grown
through the years. It would take a
very serious condition to make either
the young lady or her boss change
their banking connection. Moreover,
she has directed many influential peo­
ple to the doors of her bank. It is
quite probable that the top executive
of the other bank knew nothing of
their employee’s deportment, but hu­
man relations are often judged by a
personal contact made at a bank.
Sometimes Christmas Club members
are not presently financially able to
support large bank balances, but they
may have wealthy friends who are re­
ceptive to their enthusiastic recom­
mendations of their Christmas Club
Bank. Also, the non-profitable Christ­
mas Club member today may well be
a large depositor at some future time.
Christmas Club members like to
feel that they belong to the institution
that offers them this service. Bankers
should never underestimate the power
of the “word of mouth” publicity that
Christmas Club members can broad­
cast. The satisfaction of more than
13 million Club members, who save
over a billion dollars a year in the
Christmas Club, not only contribute
mightily to the wealth of the nation
but it unifies public opinion that the
financial institutions of this country
are illuminating their communities
with a helpful service that helps peo­
ple to help themselves. This service
can be made a basic starting point for
the development of human relations
and friendship.
A banker’s place in society today
takes on much of the obligations of a
teacher. Two of the most important
attributes the successful banker must
possess are first, the ability to deal
with all people and affairs equitably
and second, the ability to read and ab­
sorb the written experiences of others.
These attributes develop a feeling of
human understanding which is neces­
sary in dealing with people. The bar­
rier of old-fashioned dignity, which
has made people fear the banker, and

Itusiness A s U sual—in a C h u rch !

TEMPORARY QUARTERS for the Dodge Center State Bank are in the old M eth ­
odist Church building located on the town’s main street. Photo at le ft shows Lyle
McCormick ( le f t ) , pres., w ith E. P. Hartner, v.p. and cash. A t right, M r. M cCormick
discusses business inside the church building in front of a stained glass window with
Loyel Hoseck, a director of the bank.

T’S not often that a bank makes bank. It’s large and roomy and we’re
church news or a church makes not at all crowded here like we were
banking news but it’s happened at in our former building.”
Mr. McCormick says he’s had a lit­
Dodge Center, Minn.
The Dodge Center State Bank re­ tle trouble getting adjusted to the
cently moved into the old Methodist stained glass windows. “ They don’t
Church building. The move is a tem­ seem quite appropriate for a bank,”
porary one resulting from an exten­ he explains.
The Methodist congregation moved
sive remodeling program at the bank.
into a new building several years ago.
Lyle McCormick, bank president, The old building, located on Dodge
says the remodeling will be completed Center’s main street, has since been
around November 1. In the mean­ used as a temporary elementary
time, it’s “business almost as usual” school while a school building pro­
in the church-bank building.
gram was under way.
Mr. McCormick, a former employee
The bank’s floor space will be dou­
of the First National Bank of Aber­ bled under the new setup and the
deen, S. D., who moved to Dodge Cen­ building will have a 44-foot front. The
ter about three years ago, admits he’s project includes the installation of an
been on the receiving end of a “great electronic vault door and a new alarm
deal of ribbing” because of the new system.
Included in the expansion and mod­
banking quarters.
“ It’s gradually dying down,” he ernization program was the purchase
says. “Actually, the church makes of an adjoining building to provide
wonderful temporary quarters for our extra space.— End.

I

still does to some extent, must be
dropped. Much emphasis has been
placed on the need for economic speedup, but on the need for a spiritual
speed-up much less has been said.
Those who c o n c e n t r a t e solely on
“things” or “dollars” can hardly be
trusted to use “things” or “dollars”
for the essential good of mankind.
Because most of our modern bank­
ers understand the human relations
and educational programs necessary to
acquire public confidence and friend-

ship, our banking system stands ready
to accept the challenge of growth and
progress in a startling new era which
has already begun.
The contribution that Christmas
Club has made, and will continue to
make, to the banking fraternity in
promoting good will, habits of thrift,
development of character and public
acceptance of other banking functions
are good enough reasons why finan­
cial institutions need Christmas Club.
-—End.
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

30

GOOD workmanSHIP is in evidence here
because the contractors drew up plans for
the ship after copying drawings from li­
brary book on ships. Steel work on the
bank is shown above the ship at right.
Bank space w ill be doubled.

Full Steam A h ea d at Rapid City
4Nautical but N ice” R em odeling P rom otion Attracts
A ttention o f Friends , Custom ers and Tourists
A Northwestern Banker
Interview with
W A L T E R W . FAILING

President
Rapid City National Bank
Rapid City, South Dakota

T IS not an unusual sight these
days to see a carload or two of
out-of-state tourists stopping to
take a snapshot of the large mock-up
ocean liner which was set up recently
in front of the Rapid City National
Bank, which is being remodeled.
Tired of the usual boarded up sides
with “peep holes,” Walter W. Pailing,
president of the bank, asked Ed Hack­
ett, one of the two sons who now
operate Henry H. Hackett & Sons,
contractors, to come up with “ some­
thing different.”

I

Drew Up Ship’s Plans

The something different turned out
to be the ship shown in the picture
above and in order to reproduce such
a ship, Mr. Hackett went to the city
library, made drawings from pictures

in a book about ships, drew up plans
and then set to work.
The ship, called the S.S. Rapid City
National, is marked on the bow with
“ 1st Launched 1941” and “ Second
Launching 1959.” This refers to the
date of the completion of the first por­
tion of the building and the date the
present remodeling is to be completed.
The present addition and remodeling
is to be completed and ready for oc­
cupancy January 1 or February 1.
Also on the ship are printed the
names of firms doing the work at the
bank and on the stern is painted the
names of the “crew” or staff of the
Rapid City National. This is shown
pictorially in the lower left corner of
this page.
A “Ship’s Bulletin”

A “Ship’s Bulletin” is tacked on the
side of the ship each day and gives
news of the day’s weather, tempera­
tures and interesting facts about the
progress of the construction and re­
modeling at the bank.
The ship’s portholes serve as “peep
holes” through which passersby can
watch the workmen.
“ The reaction here to the project

has been very good,” said Mr. Pailing,
“and it is especially interesting to
watch tourists do a ‘double take’ when
they cruise by the bank. Several stop
to take another look and a picture of
the ship.”
The bank building is now 50 by 140
feet and Mr. Pailing advises that this
space is to be doubled during the pres­
ent construction. “ The bank will be
100 by 140 feet,” he said, “when the
work is done.
Adding an Elevator

“We are adding an elevator for
rented quarters upstairs and plan to
occupy the whole downstairs portion
of the building. The entire space
downstairs will be like new as we are
remodeling it all,” he continued, “and
the lobby will be in the new addition.
We will have an increased teller line
and increased office space. Our book­
keeping department will be in the
new basement.”
An open house will be held some
time after the first of the year to
celebrate the completion of the pres­
ent project, but plans for this have
not been completed.
A comparison of deposits through
the years indicates the growth of the
bank and its area and Mr. Pailing
said the outlook for the Rapid City
National, the area and the entire state
is very good.
Up $3 Million

* >
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JLRRY HARDER
GLADYS GILIES
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MARGARET MUHL8AUR
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ON THE STERN of the ship is a listing of the ship’s “ crew” — officers and directors and
all employees of the bank.
N o r t h w e s t e r n Ba nker, A ug us t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

“We are up $3 million over last year
at this time,” he said, “and the de­
mand here is up substantially.”
Deposits ten years ago (end of ’49)
were $14,263,000; five years ago (end
of ’54) they were $17,913,000, and at
the end of last year they were $26,255,000.
Newspapers, TV and radio around
the state are featuring the unique idea
of the ship as a remodeling promotion
and this indicates there can be “some­
thing different” to attract public at­
tention to your bank. All it takes,
apparently, is a desire to do things a
little differently.— End.

31

enamel-backed book
A TTRACTIVE,
matches with no advertising

message on them are doing a good
public relations job for the Home Fed­
eral Savings and Loan Association,
Knoxville, Tenn.
Based on the idea that word-ofmouth advertising pays off, Home
Federal began sending these book
matches to every person who opened
a savings account with them. It was
hoped that ladies would put them in
the living room, use them when they
had bridge parties, etc. They further
hoped that when four ladies sit down
at a bridge table one of them would
comment on the at t r ac t i v e book
matches and that her hostess will say,
“They were given me when I opened
a savings account at the Home Fed­
eral.” This remark, it was hoped,
should touch off a conversation that
would be favorable to business.
The reaction was fine. Each week
Home Federal receives two or three
letters expressing appreciation for the
matches. The program has been car­
ried on for about five years. In many
instances a guest will observe the
matches in a friend’s living room and
say “ So you have an account at the
Home Federal, too.”
“We spend about $1,000 a week on
advertising,” says William C. Walkup,
president, “and it is our feeling that
this little program brings as good re­
turns as anything we do.”
The cost, including postage, matches,
and boxes for mailing, is about 30
cents. Cost of monogramming and the
tape runs 11 cents more.
HE First National Bank of Vir­
T
ginia, Minn., used this signboard
as part of a series of unusual “apol­
ogy” advertising displays that were

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V I R G I N I A

T H A T SE RVI CE B U I L T ”

developed in an attempt to inject a
few “smiles” into its customers, to off­
set the inconvenience of plaster dust,
broken partitions, blocked aisles and
doorways and all the other disturbing
influences that normally accompany a
bank remodeling project.
D. W. Thompson, assistant cashier
of the bank, reported that the reac­
tion of customers to this type of an
advertising “apology” was very favor­
able.

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

liio n s T h a t
S o li Y o u r
S o r v io o s

1,600 PER CENT increase in safe
A
deposit box rentals was achieved
with a one-week promotion at the
Merchandise National Bank, Chicago.
The promotion involved a lobby dis­
play, shown in the photograph, with

F. J. Blake, vice president of the
bank, says the plan is most flexible,
inasmuch as it can be used for any
savings objective and the amounts
saved per week, bi-weekly, per month
or bi-monthly are completely depend­
ent upon the needs and wishes of the
customer.
The use of the coupons eliminated
the need for deposit slips, saves time
and is convenient. According to Mr.
Blake, the plan serves to complete the
bank’s savings program.
REE delivery of daily and Sunday
newspapers to all patients in the
F
local hospital has paid off handsomely

safe deposit boxes painted red, yellow
and blue, and live “mums” in a
planter box. A “second story man,”
a member of the bank staff, strolled
about the premises with a sign on his
back reading: “ If everybody had a safe
deposit box . . . I’d be out of business.”
Promotion folders were also handed
out by contact personnel. In the ac­
companying photograph the “second
story man” is shown trying to prevent
the young lady from seeking safety
of a safe deposit box for her necklace.

for the First National Bank in Fort
Myers, Florida.
An arrangement j.s made with the
local newspaper whereby the bank
pays one-half the regular price for the
Sunday paper and three-fourths the

Hope you’re feeling better.
W e thought yo u'd like
to keep up with what's
going on in the world
while you get healthy.
Here's our morning newspress
with the latest news.
compliments of

C O N V E N I E N T coupon-book
method of savings is being used
by the Central National Bank of Cleve­
land, Ohio-, to help home owners meet
their real estate tax payments.
Here is how the plan works: A user
of the thrift account, as the plan is
called by the bank, is given a book of
25 coupons to be used over a period
of 50 weeks.
The customer opens an account for
any amount from $25 to $250 and ev­
ery other week pays from $1 to $10
on the account.

A

The First National Bank
regular price for the daily paper. The
papers are delivered by a regular de­
livery boy of the local newspaper and
the bank is billed each month. The
cost is about $65 per month.
The pictured sticker goes on each
paper.
“The idea has been very well re­
ceived,” says R. H. Ricks, assistant
cashier of the bank, “and we have re­
ceived a large number of letters thank­
ing us for the service.
N o r t h w e s t e r n Banker, A u g u s t ,

1959

32

T rea su ry W o esM o u n t
.4« Short Term Yields
iteach N ew Levels

By R A Y M O N D T R IG G E R
Investment Analyst
ISetc York City

HE Federal government is at
last caught in a financial squeeze
brought on by the refusal of Con­
gress to live within the budget income
and by the Treasury’s unwillingness
to raise the difference by borrowing
at long term.
How the nation’s fiscal managers
will wriggle out of the trap they un­
wittingly set for themselves remains
to be seen. Probably the uncomfort­
able current experience was needed if
the legislators are to stop justifying
fiscal recklessness on the grounds that
“ it is only money.”
The Treasury’s embarrassment is
sure to exert a lasting influence of
disquieting kind in the investment
markets. The structure of basic yields,
instead of reflecting the money flows
of a seasoned and stable capitalist
economy, has become distorted into a
pattern more common to a fledgling
state off on an all-considered expan­
sionary adventure beyond its needs.

T

Short-Term Yields

For the moment, market yields on
Treasury bills due in a year are about
three-eighths of one percentage point
higher than yields on Treasury bonds
due in 10 years. And the return on
the 10-year obligations are from threeeighths to one-half of one per cent
more than that from long-term gov­
ernment bonds due in from 26 to 36
years. At this writing, Treasury bills
due in July of 1960 are selling at a
price to yield 4.65 per cent. Momen­
tarily early this month, they traded
at yields of 4:85 and 4.86 per cent.
Such rates are competitive with the

best of long-term corporate bond in­
vestments, if not with the returns on
government-insured and governmentguaranteed long-term mortgages bear­
ing Veterans Administration and Fed­
eral Housing Administration endorse­
ment.
When short-term basic yields rise to
such levels, the financial market-place
tends to become heady. Investing in­
terests are tempted to turn away from
seasoned practices and to go fishing
in strange waters. Such a diversion
of the flow of investment money spurs
borrowers to sudden shifts of think­
ing, too. The flow of investment
money into “wait-and-see” vantage
points returning high yields may tend
in due Course to reduce short-term
yields and to cause long-term yields
to rise. Would such fluctuations in
turn spur borrowers to play “wait
and see,” too, and to concentrate their
money requisitions in the short mar­
ket? One thing is sure: when short­
term investment yields bulge unduly
both borrowers and lenders tend to
become unduly rate conscious. Often
the more important considerations of
portfolio and debt management are
let go into eclipse at a time when it
is all the more necessary for financial
managers to keep their head and for
the headlong national economy to be
held to a stable course.
Statutory Limits

The dismaying part of the picture is
that the situation cannot be expected
to stabilize itself merely because the
Treasury and Congress show signs of
being aware about the cause of the

trouble. Congress holds the means
for bringing about a more stable con­ A
dition, not only by means of budget
reform, but in the field of debt man­
agement, too. Until Congress removes
a 40-year-old prohibition against bor­
rowing long term at a rate higher >
than 4!4 per cent, the Treasury has
no choice but to borrow at short-term.
And as things now stand, about half
of the Treasury’s 47 outstanding is­ v
sues of bonds and notes are selling at
yields higher than 414 per cent. In a
word, history has left the old statu­
tory limitation far behind.
The block that Congress has in . *
money matters stems, of course, from
attitudes toward the budget and the
economy that became entrenched dur­
ing the great depression. Carried into
public office and re-elected repeatedly
on platforms pledged to relieve un­
employment and to prevent the pri­
vate-property system from lapsing
into “ stagnation,” the national legis­
lature finds it hard to get concerned
about the economic disorder of oppo­
site kind—inflation.
Probably the money stringency that V
the Treasury is now experiencing is
only the first of many symptoms to
be registered before Congress gives up
trying to treat the high-pressure eco- ,
nomic disorders of today with medi­
cine suited for the low-pressure dis­
orders of the great depression.
How much further short-term money
rates meantime might rise will de- *
INVESTMENTS . . .

(Turn to page 89, please)
A

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

3 7 ie

LIVE STOCK
BAIN K

Ctf/l4 € € l4 jfO

4 -1 50 S o u t h H a l s t e d S t r e e t , C h i c a g o , Illinois
M e m b e r Federal Deposit Insurance Corp.


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

The interests of the Live Stock National Bank of
Chicago and the many banks in the mid-western
live stock belt are deeply intertwined. Both have big
stakes in agriculture. Our bank was founded ninety
years ago to serve the live stock industry at the
Chicago stock yards . . . and to serve banks in the
farming communities that look to this great central
market for the profitable sale of their live stock.
Our people, many of whom have come from rural
areas, are thoroughly trained in the work you’d nor­
mally expect from a city correspondent. . . and their
daily contact with the live stock market enables
them to render a highly important plus service . . . to
give up-to-the-minute information on every aspect of
business carried on at Chicago’s Union Stock Yards.
We’re eager to serve you in all correspondent
capacities. May we help you soon?

34

J-

P r o v i d e L o b b y D is p la y s f o r L o c a i M e r c h a n t s . . .
(Continued from page 26)
We believe the display area has been extremly bene- ,:y
ficial to us from a public and customer relations stand­
point. The interest in the displays has been excellent
and the merchants have been very pleased.
Before the end of the first year, the area will have ^
shown almost everything from a gaily decorated birthday
cake by a local bakery to a small foreign automobile, and
will have been used by nearly every type of business in
a town of 8,000 population.
The total cost of the unit was small, and being port- 4.
able, can be removed should the time come that interest
lags or that business will require the return of the tell­
er’s window — End.

the area, and that was because of illness of one of the
businessmen. The week was easily filled with an art
exhibit by students from the local high school. This ex­
hibit was very well received and gave us the idea of mak­
ing the space available to schools and other civic groups
from time to time in the future.
We reserve the area during the three weeks in Decem­
ber prior to Christmas at which time one of our book­
keepers plays Christmas Carols twice daily on an organ
which is supplied free by a music store. The Christmas
music is piped over the chime system located on the top
of the bank building and can be heard over most of the
town. This feature was greatly enjoyed by local citizens

First of Chicago Promotions
Following the regular July meeting
of the board of directors of The First
National Bank of Chicago, Homer J.
Livingston, president, announced two
promotions in the official staff and the
election of six new officers.
Guy A. Crum and Elmer A Tittle
were promoted from assistant vice
presidents to vice presidents. Mr.
Crum is the European representative
of the bank in its new London office,
and Mr. Tittle is in Division “G,” one
of the commercial loan divisions.
New assistant cashiers elected were

C. Hugh Albers, Stanley C. Golder,
Elbridge Keith, Charles L. Monroe,
and Marshall G. Rowley. Willis J.
Lovitt in the trust department was
elected assistant secretary.

lace, V. Scott Rice, and Melvin C.
Yocum.
Four new Harris officers named

Harris Trust Promotions
Kenneth V. Zwiener, president, an­
nounced eight promotions at Harris
Trust and Savings Bank, Chicago, last
month. Heading the list was a new
vice president, Charles M. Bliss, in
the banking department. Promoted to
assistant vice presidents in the bank­
ing department were Mozart Love­

C. M. BLISS

V. S. RICE

M. LOVELACE

M. C. YOCUM

D o y o u r ß C ie a f o
h o v e q u e stio n s a b o u t

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CANADA?
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Your Canadian-minded clients will find it "must”
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To obtain your copy, write on your letterhead to
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'rtyead ö f ä i c e : 7/to*itne<zi
775 BRANCHES IN CANADA, U .S ., GREAT BRITAIN AND EUROPE

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

•

RESOURCES EXCEED $ 3 ,0 0 0 .0 0 0 ,0 0 0

were William R. Hodgson and Theo­
dore H. Roberts, assistant cashiers, >
and Thomas C. Octigan and John R.
Winter, assistant secretaries in the
trust department.
Mr. Bliss joined the Harris Bank in ^
1944 and became assistant vice presi­
dent in 1952. Mr. Lovelace joined the
bank in 1929, and became an assistant
cashier in 1953. He is a graduate of
the Graduate School of Banking at ^
Rutgers University, and the School of
Financial Public Relations at North­
western.
Mr. Rice, a graduate of the University of Illinois, joined the bank in
1934. He was appointed assistant cash­
ier in 1951. Mr. Yocum joined the
Harris in 1946. He attended North­
western University, is a graduate of
the Graduate School of Banking at
Rutgers, and became an assistant cash­
ier in 1953.

35

Mmtk of America
N A T IO N A L s a v i n g s A S S O C IA T IO N

Condensed Statement of Condition June 30, 1959
(Figures of Overseas Branches are as of June 24, 1959)

RESOURCES
Cash and Due from B a n k s ............................................................................................$ 1 ,6 8 6 ,3 2 7 ,3 9 5 .0 0
United States Governm ent Securities and Securities
Guaranteed by the G o v e r n m e n t.....................................................................
2 ,0 7 2 ,7 1 8 ,1 6 5 .6 1
Federal A gency S e c u ritie s ............................................................
9 9 ,1 6 5 ,7 7 2 .2 9
State, County, and M unicipal S e c u r i t i e s ......................................................
7 1 9 ,7 8 7 ,2 2 8 .9 5
Other S e c u ritie s ...................................................................................................................
139,009,500.21
Loans Guaranteed or Insured by the United
States Governm ent or its A g e n c i e s .............................................................
1 ,4 6 6 ,0 8 0 ,9 6 1 .2 0
Other Loans and D i s c o u n t s .....................................................
4 ,6 2 1 ,1 0 2 ,4 0 8 .3 1
Bank Prem ises, Fixtu res, e tc.......................................................................................
142,856,056.31
Custom ers' Lia b ility for A c c e p t a n c e s ..............................................................
1 3 5 ,7 1 5 ,0 7 9 .5 9
Accrued Interest and Other R e so u rc e s..............................................................
7 6 ,6 5 0 ,6 9 8 .9 1
TOTAL

R E S O U R C E S ..............................................................$ 1 1 , 1 5 9 , 4 1 3 , 2 6 6 . 3 8
L I A B I L I T I E S

C a p i t a l ......................................................
Surplus
......................................................
Undivided Profits and Reserves .

$ 1 6 0 ,0 0 0 ,0 0 0 .0 0
3 4 0 ,0 0 0 ,0 0 0 .0 0
1 2 2 ,3 6 7 ,8 3 7 .0 4

T O T A L C A P IT A L FU N D S . .
Reserve for Possible Loan Losses
D E P O S I T S ^ emand

$

’

(.Savings and Tim e
L ia b ility on Acceptances .
Reserve for Interest, T a xe s, etc.
T O T A L L IA B IL IT IE S

.

.

.
.

.
.

.
.

.$ 4 ,6 9 7 ,5 3 5 ,0 0 8 .2 4
.$ 5 ,4 7 5 ,4 9 5 ,6 3 1 .4 9

6 2 2 ,3 6 7 ,8 3 7 .0 4
1 0 8 ,1 5 3 ,6 8 2 .3 9
1 0 ,1 7 3 ,0 3 0 ,6 3 9 .7 3
1 3 8 ,3 4 2 ,9 0 5 .2 5
1 1 7 ,5 1 8 ,2 0 1 .9 7

.

$ 1 1 ,1 5 9 , 4 1 3 , 2 6 6 . 3 8

Main Offices in the two Reserve Cities of California

SAN

F R A N C IS C O

• LOS

ANGELES

Branches throughout California
Overseas branches: London, Manila, Tokyo, Yokohama, Kobe, Osaka, Bangkok, Guam
Member Federal Deposit Insurance Corporation • Member Federal Reserve System

Bank of America
(International)
A wholly-owned subsidiary

Condensed Statement of Condition June 30, 1959
Home Office— New York, N. Y.

Blanches: Duesseldorf, Singapore, Paris, Beirut, Guatemala City, Hong Kong, Kuala Lumpur
(Branch figures are as of June 24, 1959)

RESOURCES
C ash and Due from B a n ks .
United States G overnm ent
O b l i g a t i o n s ............
O ther S e c u r i t i e s ........
Loans and D is c o u n t s ...
C u sto m e rs' Liability
for A c c e p t a n c e s .......
A ccru ed Interest and Other
R e s o u r c e s .................

.

LIABILITIES
$149 ,1 5 1 ,9 11 .8 2

24,068,494.66
14,637,486.81
164,441,484.97

TOTAL RESOURCES. . . .


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

.

26,484,943.98
2,683,826.51

$381,468,148.75

Capital
. . .
Surplus
. . .
U ndivided Profits

$34,000,000.00
6,800,000.00
1,798,082.89

T O T A L C A P IT A L F U N D S . . .
Reserve for Possible Loan Losses .
D e p o s i t s ....................................
Liability on A ccepta nces
. . .
Reserve for Interest, Taxes, etc.
.

TOTAL LIABILITIES

. . . .

$ 42,598,082.89
2,619,540.82
306 ,3 3 9 ,0 6 3.02
27,303,409.85
2,608,052.17

$381,468,148.75

N o r t h w e s t e r n Banker, A u g u s t ,

1959

36

X

A m erica n N a tion a l H a s Special
Chech M^oan P lan fo r iSusiness
U N IQ U E concept in banking
A
services, called Prefex, combin­
ing true convenience with a readily
available line of credit, has been in­
troduced by the American National
Bank and Trust Company of Chicago.
Robert E. Straus, president, an­
nounced that “ This plan, Preferred
Executive Banking Service, or Prefex,
is design ed to
meet the needs of
today’s busy ex­
ecutive. In a sin­
gle package left
within a compa­
ny’s office, man­
agement p e r s o n ­
nel can obtain all
of the forms nec­
essary to conduct
checking, savings,
R. E. STRAUS
and loan transac­
tions without the necessity of leaving
their desks.
“Following several month of inten­
sive analysis, we discovered that fore­
most among the banking problems
confronting individuals on the man­
agement level was the time factor.
Most people found it difficult to make

Take Another Look

frequent trips to their bank, and the
complicated and numerous forms nec­
essary for most transactions were a
further demand on their time. Pre­
fex answers these problems.
“When a company agrees to adopt
the plan, a bank representative will
provide one of the officers with a ‘Pre­
fex Banking Center’ portfolio. Here,
in one place, are signature cards, de­
posit slips, line of credit applications,
and promissory notes. All of these
forms have been simplified as much
as possible, with a single deposit slip
serving for both savings and checking
account deposits.
“Also, a short form is available to
apply for a line of credit up to $5,000.
After making such application, the ex­
ecutive may use a part or all of the
funds at any time for any purpose he
desires merely by filling in a brief
promissory note and forwarding it to
the bank. And, the credit is revolving
—principal amounts repaid may be
borrowed again, even if the entire
amount is not completely paid off.
“All transactions may be carried on
by mail, and personal visits to the
bank will be unnecessary. Further,
after having their signatures verified
NO

COSTLY

S H E L V IN G

NEEDED

Joins California Bank
Robert V. Daly, fo r m e r ly with
Campbell-Ewald Com pany, Detroit,
has been appointed advertising direc­
tor at California Bank, Frank L. King,
president, has an­
nounced.
Mr. Daly brings
to the new posi­
tion a marketing
and r e s e a r c h
background in adv e r t i s i n g ac­
quired in his as­
signments as ac­
c ou n t executive
on a group of
R. V. DALY
Gener al Motors
Parts and Accessory divisions, and
several divisions of the Kroger Com­
pany.

A

A

A

A

V-

On Tulsa Bank Board
Recently elected to the board of di­
rectors of the First National Bank and
Trust Company of Tulsa was Eugene
C. Taylor, vice president, maintenance
and engineering, American Airlines.
>

W ITH

C O N V O Y "C h e m -B o a rd "*
RIGID, PERMANENT, INEXPENSIVE

at

initially, participating personnel will
deal directly with the bank, relieving
corporate officers of any responsibil­
ity for the personal finances of their
managerial group,” Mr. Straus added.

record s to ra g e c i l C C

MERCHANTS
MUTUAL

B O N D IN G
COM PANY

Arizona Banking
FIRST
N A T IO N A L

Incorporated

y

V

1933

D E P O SIT S*
NO W

Home Office
2100 GRAND AVENUE
Des M oines, Iowa

OVER

$311 M IL L IO N

r KV-y ■ *VV

- -r.f »f U" ‘v-;

r

„

rr ,c”y> y y

--

•

t t y . 1 5 .5 %
OVER J U N E '5 8
‘JUNE 30, 1959

Home Office
Phoenix, Arizona

F I R S T

f

N A T I O N A L
B A N K OF A R I ZO NA
A r i z o n a ' s P a r t n e r in P r o g r e s s
Since 1 877
MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

N o rfor
t h wFRASER
e s t e r n Banker, A u g u s t , 1959
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

This is Iowa’s oldest surety company.

Chem -B oard Storage Files are perm a­
nent. They cost and w e ig h about 5 0 %
less than steel; cost less than some cor­
rugated paper files. They'r e shipped
assembled, ready for use.
N O W — smooth, staple-free
fronts make them suitable
even for "fro nt-office" use.
A v a ila b le in letter, legal,
check, deposit slip, tab card
and m a n y other sizes.
* C H E M -B O A R D IS R IG ID IZE D C O R R U G A T E D B O A R D
P R O C E SSE D TO R E M A R K ­
ABLE STREN G TH.

C O N V O Y , Inc.

STATION B, BOX 21 ó-Q
CANTON 6, O H IO

A

progressive company with experi­

enced,

conservative

management.

W e are proud of our three hundred
bank agents in Iowa.
To be the exclusive representative of
this company is an asset to your bank.

A

•
E. H . W A R N E R
P r e s id e n t a n d M a n a g e r

W . W . W ARNER
Vice President
M . J. C O R BIN
Secretary-Treasurer

■X

37

T H E B A N K OF N E W Y O R K
N E W Y O R K ’S FIRST B A N K

• FO U N D E D 1784

TRUSTEES

Statement of Condition, Jane 30, 1959
ALBERT C. SIMMONDS, JR.
Chairman

DONALD M. ELLIMAN

RESOURCES

President

C a s h a n d d u e f r o m B a n k s ..............................
U n it e d S ta tes G o v e r n m e n t S e c u r it ie s .

$ 1 6 5 ,0 8 5 ,6 3 1 .8 0

.

9 8 ,4 9 2 ,7 7 0 .1 7

M u n ic ip a l a n d O t h e r P u b li c S e c u r itie s .

1 3 ,8 7 5 ,2 8 6 .5 1

O t h e r S e c u r i t i e s ......................................................

8 ,1 6 3 ,0 0 8 .1 7

H. ADAMS ASHFORTH
Albert B. Ashforth, Inc.

JERVIS J. BABB
N ew York

ALEXANDER CALDER, JR.
Union Bag-Camp Paper Corporation

JOSEPH H. CHOATE, JR.

L o a n s an d D is c o u n ts

........................................

2 7 1 ,0 2 1 ,7 8 8 .1 7

B a n k i n g H o u s e s ......................................................

8 ,9 5 2 ,8 5 5 .1 1

C u s t o m e r s ’ L ia b ility f o r A c c e p t a n c e s .

.

7 ,9 5 6 ,9 8 8 .8 2

A c c r u e d In te re st an d O th e r R e s o u r c e s .

3 ,6 8 8 ,9 9 2 .4 8

Choate Ronalds Reynolds & Hollister

WILLIAM M. CRUIKSHANK
Cruikshank Company

ARTHUR H. DEAN
Sullivan & Cromwell

ELI WHITNEY DEBEVOISE
Debevoise, Plimpton & McLean

$ 5 7 7 ,2 3 7 ,3 2 1 .2 3

MAGRUDER DENT
Joshua L. Baily & Co.

JOHN I. DOWNEY

L IA B IL IT IE S
C a p i t a l (2 7 0 ,0 0 0 Shares— $ 1 0 0 P a r)

N ew York

. . . .

$

S u r p l u s ..........................................................................

2 7 ,0 0 0 ,0 0 0 .0 0
2 0 ,0 0 0 ,0 0 0 .0 0

GEORGE C. FRASER
Texas Pacific Land Trust

DUNLEVY MILBANK
N ew York

U n d i v i d e d P r o f i t s ....................................... ....

.

6 ,7 4 8 ,6 7 8 .9 5

R e s e r v e f o r C o n t i n g e n c i e s ..............................

3 ,0 7 3 ,7 1 5 .5 6

THEODORE G. MONTAGUE
The Borden Company

M. NIELSEN

D i v i d e n d P a y a b le J u ly 1, 1 9 5 9
D e p o s its

. . . .

6 7 5 ,0 0 0 .0 0

.....................................................................

5 0 3 ,6 3 5 ,2 9 5 .5 9

A c c e p t a n c e s ................................................................

1 0 ,0 7 5 ,4 9 9 - 3 9

R e s e r v e f o r T a x e s , I n t e r e s t , e t c .....................

3 ,6 5 0 ,4 3 6 .6 3

O t h e r L i a b i l i t i e s ..................................

2 ,3 7 8 ,6 9 5 .1 1

The Babcock & W ilcox Company

H. LADD PLUMLEY
State Mutual L ife Assurance Company

HENRY J. SCHULER
N ew York

WILLIAM SHIELDS
N ew York

HOWARD C. SMITH

$ 5 7 7 ,2 3 7 ,3 2 1 .2 3

N ew York

JOHN FAIRFIELD THOMPSON
International Nickel Co. o f Canada, Ltd.

Securities carried at $ 1 5 ,6 8 7 ,1 1 8 .7 5 have been pledged to secure U . S. Governm ent
D eposits and for other purposes as required or permitted by law.

JOHN C. TRAPHAGEN
N ew York

FRANKLIN B. TUTTLE
Atlantic Mutual Insurance Company

48

W a ll S t r e e t

F ift h A v e n u e B a n k O ffic e a t 4 4 th S tre e t
M a d i s o n A v e n u e O f f ic e s a t 6 3 r d S t r e e t a n d 7 3 r d S t r e e t

STEPHEN F. VOORHEES
Voorhees Walker Smith Smith & Haines

ROY BARTON WHITE
Baltimore & Ohio Railroad Company

M em ber oj the Federal Deposit Insurance Corporation


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

38

Named Supervisor by B of M
Ernest C. Winrow, -manager of the
Bank of Montreal’s foreign exchange
department at the bank’s head office,
Montreal, since 1953, has been ap­
pointed s u p e r v i ­
sor of the same
department. Mr.
Winrow will be
r e s p o n s i b l e for
the extensive B
of M foreign-ex­
change operations
throughout C a n ­
ada. H e is a
M on t r e a l e r by
birth, and for the
e . c. W IN RO W
g re at er part of
his banking career has specialized in
foreign-exchange work. During World
War II his services were requested
by the Foreign Exchange Control
Board, Ottawa, and later the Wartime
Prices and Trade Board, also in Ot­
tawa.

To Travel Missouri
Homer A. Lyle has joined the corre­

spondent division of Commerce Trust
Company, Kansas City, and will travel
Missouri as representative.
Mr. Lyle, who is the son of Harold
Lyle, cashier of the Maitland (Mo.)
Farmers Bank, joined C o m me r ce
Trust Company February 1, 1958.

COMPLETE AUDIT . . .
(Continued from page 27)
control. A letter to each safekeeping
bank would verify the securities’ ex­
istence and serve as a guide for check­
ing to the general ledger control, to
the subsidiary bond records and to
the receipts and pledge certificates.
This should be done by someone not
connected with security transactions.
Loans are the most difficult to con­
trol. There are three phases of loan
verification:
Loan Verification
1. Control upon new loans such as

authenticity of the paper, comparison
of each day’s totals with actual notes,
controlled disbursements of proceeds

and proper review by directors or
their committee.
2. Control over the loan while it is
carried on the books such as trial
balances of the notes, maintenance of
proper tickler records and past due
lists or ticklers.
3. Adequate provision over collater­
al offered to secure the loan whether
it is in the form of negotiable securi­
ties or over chattel remaining in the
hands of the borrower.
Deposited funds are the most fertile
field for embezzlement. One of the
best control methods is that of seizing
some statements, proving them to the
control and sending them out without
tellers or bookkeepers regaining con­
trol of them. Be sure all checks are
cancelled immediately upon posting to
prevent further use in any of the
other banking channels.
Savings accounts also provide excel­
lent ground for misappropriation of
funds. Check your savings withdraw­
als against the signature cards and ask
yourself how authentic the signature
cards are.

X

->

A

-V

Income and Expen.se

HOW MANY CHECK PRINTERS...
H ow many different check printers
would you say might make the checks
which each day are processed by
any one large bank? Perhaps the
bank itself might buy all its checks
from one printer... or possibly two,
three or four. In addition, the bank
might buy special checks for its
business accounts from as many as
a dozen printers. But the checks
bought direct by the companies
that have accounts in that particu­
lar bank m ight be produced by
hundreds o f different printers from
coast to coast.
W hat’s the point? W ell, the point
is that no one bank can hope to
control the many sources o f supply
o f the checks that w ill be handled
in its mechanized system. N o one
printer, simply because he happens
to be skilled in the encoding o f
checks, can hope to produce all
the checks for any given bank. All
the checks produced by all the
printers w ho customarily make
checks must read in any electronic
machine that any bank m ight use.

This nullifies any merchandising
program that contemplates captur­
ing a large segment o f the check
business, based upon claims that
any one printer can do a more re­
liable job o f encoding than another.
W e here at DeLuxe have lived with
encoding since its inception, but
our appeal for business w ill still be
based on our ability to produce
checks which in their entirety are
attractive and salable to the cus­
tomers o f banks.
E ncoding no doubt w ill be a part
o f the check, but it w ill not be the
w hole check. Service w ill continue
to be our greatest concern because
we think the customers should get
their checks when they want them,
regardless o f whether they are en­
coded or not. So, despite our inter­
est in mechanization, we do not
look upon it as having any mer­
chandising significance except to
the extent that it adds som ething
to a job that must be delivered
on time.

Income and expense are harder to
control. An embezzelment relating to
assets or liabilities would eventually
be discovered, but one related to in­
come and expense is likely to remain
buried forever. A spot check of the
exchange charges, service charges, safe
deposit fees, rents and commission
fees will provide adequate protection
without a complete check. Again, use
elements of surprise and irregularity.
Loans and discount and investment
earnings can be best controlled by a
tickler file on the notes and individual
securities. Some accrual systems will
fiurnish this control as a by-product.
In the expense section, one should
look at the method of payment.
Salary expenditures can be checked
against payroll slips, but what assur­
ance do you have that the employee
is getting the amount shown on the
payroll ledger? Is disbursement by
check, deposit or cash?
The most important thing I want
to leave you in this article is that no
one can set up an audit schedule for
your bank . . . except you. Customtailor it to fit your measurements.—

H u m m er
CHICAGO

N EW YORK S TO C K EX C H A N G E

N o r t h w e s t e r n Banker, A u g u s t ,

1959

-V

>

A

-V

End.
W ayne


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

-<

&

Co.

A

39

Progress is on the move in St. Louis . . .
F IR S T N A T IO N A L R E P O R T S I T FO R YOU
What’s happening in one of the Midwest’s
major cities? Plenty! The face of Down­
town St. Louis is changing as redevelopment
programs move ahead. Industry is expand­
ing . . . business activity is increasing.
To report these important changes to you
. . . to give you ideas to use in your own
community development programs, First
National has prepared an informative 36page booklet, “St. Louis— A Great Place
STATEMENT

OF

C O N D IT IO N ,

JUNE

To Do Business.”
Copies of this booklet are yours for the
asking. Send your requests to Correspond­
ent Bank Department, First National Bank
in St. Louis, St. Louis 1, Missouri.
And remember . . . we’re always ready to
assist you in your own community develop­
ment activities or in any phase of your
banking operations. Helping your business
grow is an important part of our business.
30,

1959

T H E F IR S T
IN ST. LOUIS

Member Federal Deposit Insurance Corporation

RESOURCES

LIABILITIES

Cash and Due from Banks . . . .$153,382,557.37
U. S. Government Securities . .
104,906,519.45
Loans and Discounts.................... 234,851,388.40
Loans Wholly or Partially
Guaranteed by U. S. Government 49,798,339.06
Other Bonds and Stocks................ 27,868,282.97
Stock in Federal Reserve Bank. .
1,200,000.00
Furniture and Fixtures................
649,789.21
349,592.33
United Bank Building...................
Customers’ Liability, Letters of
Credit, Acceptances, etc. . . .
2,229,695.42
Accrued Interest Receivable . . .
2,331,840.27
Other Resources...........................
406,803.18
$577,974,807.66

Capital Stock .
$ 15,400,000.00
Surplus . . . .
24,600,000.00
Undivided Profits
10,193,417.90
Total Capital Accounts
$ 50,193,417.90
Reserve for Taxes,
Interest, etc......................
1,235,932.45
Unearned Discount . . . .
1,822,427.09
Liability, Letters of Credit,
2,229,695.42
Acceptances, etc.
Other Liabilities .
395,089.47
Demand Deposits.
$427,637,209.27
Time Deposits . .
76,901,483.50
U. S. Government Deposits 17,559,552.56
Total Deposits . . . .
522,098,245.33
$577,974,807.66


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

40

1 'A lt

Ads

(¿et

L L E Y N A T I O N A L BANK’S
V A“gay,
off-beat” advertising and

public relations approaches were the
subject of a lengthy feature article last
month in Advertising Age, the nation­
al newspaper of marketing.
Written by the editor, S. R. Bern­
stein, it credits the Phoenix bank’s
advertising philosophy—as conceived
by President Carl A. Biomson and exe­
cuted by Ad Director M. G. Reade—
for helping Valley National to become
“the 51st largest bank in the nation,
v/ith resources over a half billion dol­
lars.”
(N ote:
VNB resources now stand

at $586 million and indications are it
will crash the select list of “top 50
banks” as result of a $60 million gain
in deposits during the year.)
Mr. Bernstein highly praised Mr.
Bimson for “his overriding belief that
anything that helps Arizona people
and business and industry helps the
bank.”
The article, containing photos of
Mr. Bimson, Mr. Reade and Publicity
Director Charles W. Pine, as well as
reproductions of numerous VNB news­
paper ads, makes favorable note of the
emphasis the bank places on Arizona’s
economic, cultural and scenic attrac­

"Doane Farming for Profit
gives accurate information
— s a y s M. J. Keltner, Vice-President,
P e o p le s S a v i n g s Bank, Van W e r t, O h io
“ Our bank has been using Doane
‘ F arm ing fo r P rofit’ to send to our
farm custom ers fo r fo u r years,” says
Mr. Keltner. “ W e find the accuracy
o f the m aterial v ery good and w e get
m any encouraging comments from
folks receiving it.”
Like Mr. K eltner, m any bankers
throughout the coun try are finding
that their rural custom ers appreciate
receiving com plim entary copies o f
D oane “ F arm ing fo r P rofit.”

Doane “ F arm in g fo r P rofit” is an au­
th oritative bulletin that capsules the
thinking o f some o f A m erica’ s best
agricu ltural brains into easy-to-read
inform ation that farm folks can use
to save m oney and make money.
T h at’s w hy bankers are using Doane
“ Farm ing fo r P rofit” as the prim a ry
activity in their service-type public
relations program s to build bank busi­
ness through sounder agricu lture in
their areas.

W r i t e fo r d e ta ils on E X C L U S I V E use
o f D o a n e " F a r m i n g fo r P ro fit"
E xclusive use o f Doane “ F arm ing fo r P rofit” still may be avail­
able in your area. W rite fo r details. “ F arm ing fo r P rofit” is
edited by Doane A gricu ltu ral Service, Inc., A m erica’s oldest and
largest organization engaged in fa rm m anagem ent and a gricu l­
tural research.

DOANE

A G R I C U L T U R A L SERVICE, INC.
5142 DELMAR BLVD.

Northwestern

Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

ST. LOUIS 8, MO.

tions in its national advertising pro­
gram, rather than merely listing VNB
services.
After quoting extensively from Pres­
ident Bimson and Board Chairman
Walter Bimson, the article devotes
considerable space to Mr. Reade’s
“ light touch and unorthodox advertis­
ing copy.”
It notes that Mr. Reade personally
writes all newspaper ads appearing in
Arizona publications and that “his
whimsical copy is given the full back­
ing of both Bimsons.”
Double proof of the effectiveness of
VNB’s ads is that in competition with
1,100 entries from 11 western states,
Valley National Bank advertisements
snared two major awards in the Ad­
vertising Association of the west’s an­
nual judging last month.
From Lake Tahoe, Calif., site of this
year’s competition, Mr. Reade re­
ceived word that Valley Bank entries
won both a second and third place
plaque.
The latter award came in the cate­
gory with the most entries—retail ad­
vertising— where Valley Bank was
matched against hundreds of other
businesses.
(The VNB entry, a newspaper ad,
created by Mr. Reade, was titled “ It
Works for Shirts — Why Not for
Banks?” It showed J. W. Pitts, busi­
ness d e v e l o p m e n t vice president,
wearing an eye patch.)
A farm publication entry netted the
Arizona bank its second place award.
(Titled “A Loan on the Range,” it
appeared in several farm-ranch jour­
nals in the state.)

Bank Women to Milwaukee
Marie B. Loeber, general chairman
of the 1959 National Convention of
the National Association of Bank
Women, has announced the appoint­
ment of Catharine B. Cleary, vice
president, First Wisconsin Trust Com­
pany, as program chairman for the
convention. Arline Laedtke, assistant
cashier, First National Bank, Oshkosh,
Wis., has been appointed co-chairman
of the program committee.
According to Miss Loeber, cashier,
Wisconsin State Bank, Milwaukee,
convention sessions will be held at
Hotel Schroeder, Milwaukee, Septem­
ber 23-25.
Presiding officer at the convention
will be Charlotte A. Engel, president
of the association and trust officer at
the National Savings and Trust Com­
pany, Washington, D. C.
Incoming president of NABW will
be Helen L. Rhinehart, vice president
of Brenton Companies, Des Moines,
Iowa.
Convention program details will be
published next month.

Statement of Condition, June 30, 1959
LIABILITIES

RESOURCES
Cash on Hand and in Banks
U. S. Government Obligations
State, County and
Municipal Bonds
Other Bonds and Securities
Stock in Federal Reserve Bank
Loans and Discounts
Bank Premises and Equipment
Other Real Estate
Customers’ Liability
under Acceptances
Accrued Interest Receivable
and other Assets
Total Resources

$ 312,851,624.00
415,574,041.27
92,056,957.00
8,194,600.54

3,000,000.00
963,500,761.31
17,213,372.76

$ 1,676,165 ,260.34

Deposits

1,023 ,242.76

Acceptances Outstanding
Reserve for Unearned Discount

16,869 ,024.95

Reserve for Interest, Taxes, etc.

9,906 ,207.97

Other Liabilities

4,148 ,387.36

Capital Funds:

1.00

Capital Stock
($10.00 par value)

964,763.08
14,878,772.08

$27,812,500.00

72,187,500.00
Surplus
Undivided Profits 20,122,769.66

$ 1,828,234,893.04

120,122,769.66
1,828,234,893.04

Total Liabilities

United States Government and other securities carried at $221,918,185.34 are pledged to secure U. S. Government
Deposits, other public funds, trust deposits, and for other purposes as required or permitted by law.

D IR E C T O R S

FRAZER A. BAILEY

J. W. MAILLIARD, III
V ice President
M ailliard & Schmiedell

San Francisco

HENRY Q. HAWES

WAKEFIELD BAKER
President, B aker & Ham ilton

KENNETH K. BECHTEL
Chairman o f the Board
Industrial Indem n ity Com pany

COLBERT COLDWELL
Coldwell, B anker & Com pany

PETER COOK, JR.

San Francisco
P resident, Fibreboard P a p er
Products Corporation

Chairman o f the Executive Committee
Levi Strauss & Com pany

Presiden t

PAUL L. DAVIES

ROGER D. LAPHAM

Chairman o f the B oard, Food
M ach inery and Chemical Corporation

San Francisco

San Francisco

IN SU RAN C E

P resident, The Pacific Telephone
and Telegraph Com pany

O FFICES

P resident, California and H awaiian
Sugar Refining Corporation

SERVING

BEN F. WOOLNER
A ttorney

NORTHERN

MEMBER

C ORPORA TION

A M E R IC A N
T R U S T
C O M PA N Y

B A N K IN G

J in ce 1854


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

K entfield

DONALD MACLEAN

P resident, B . R. Funsten & Co.

DEPOSIT

Brobeck, Phleger & H arrison,
A ttorn eys

MARK R. SULLIVAN

Piedm ont

B. R. FUNSTEN

FEDERAL

Chairman o f the Board
K ern C ounty Land C om pany

HERMAN PHLEGER
ALLAN SPROUL

JAMES K. LOCHEAD

CHARLES ELSEY

MEMBER

Chairman o f the Board
Pacific Lighting Corporation

GEORGE G. MONTGOMERY

J. R. KNOWLAND
DANIEL E. KOSHLAND

RANSOM M. COOK

BANKING

ROBERT W. MILLER

HARRIS C. KIRK
Chairman o f the Board

. M cLa u g h l i n

President, H om estake M in in g
C om pany

Publisher, Oakland Tribune

R io Vista

100

donald h

WILLIAM L. KEADY

CALIFORNIA

FEDERAL

RESERVE

SYSTEM

42

One o f N ation'S

M^ari/est

AuOpens i

.a

FLOATING concrete canopies, extensive landscaping and un­
usual concrete block patterns highlight the ground level auto­
pedestrian mall (le ft) at First National Autobank. Benches,
pools and planter boxes are spotted along the walkways. Un­

HE First National Bank and Trust
T
Company, Tulsa, last month
opened the southwest’s newest, and
one of the nation’s largest, drive-in
banking facilities in the heart of
downtown Tulsa.
Designed by the Tulsa firm of McCune, McCune and Associates, the
Autobank covers nearly two-thirds of
a downtown block. The new facility
is expected to handle more than 2,000
customers daily at six drive-up win­
dows and six walk-up windows.
As conceived by Board Chairman
R. Otis McClintock and other bank
officers, the Autobank is just as much
a park as it is a drive-in banking
facility. In fact, the bank’s board of
directors has officially designated the
Autobank as “ McClintock Park.”
Opening of the First National Auto­
bank was accompanied by plaudits
from Tulsa city officials and civic lead­
ers who pointed to the bank as a

usual contemporary metal fountain (center) domines central
area. Behind fountain is walk-in bank, at left is stairway to
parking area, and at right are public meeting rooms. Six
drive-up windows (right) have plenty of lane space.

spark that will kick off a campaign to
revitalize the Tulsa downtown area.
Landscaping is one of the high spots
of the Autobank, and the plantings
were designed by Joseph O. Lambert,
nationally known landscape architect
of Dallas, Texas.
Twentydhree trees of five varieties,
more than 1,000 evergreen plants of 15
different types, 380 vines and hun­
dreds of colorful bulbs, annuals and
perennials have been used to set off
the striking design of the Autobank.
Adding to the unusual effect of the
facility is the nighttime lighting, done
by John Watson of Dallas.
Focal point of the Autobank is the
centrally-located walk-in banking area,
where Vice President Jack D. Porter,
who will head the staff of 35 employ­
ees at the Autobank, has his desk. In
this glass-enclosed area are five walkup teller windows, officers’ desks and

the elevator to the basement and sec­
ond level.
One of the most ususual aspects of
the Autobank is the Tom-Tom Room,
located on the second floor. The room
is designed as a meeting place for
small and medium size groups. Dec­
orated in colors of the southwest, and
with a shaded balcony surrounding it,
the Tom-Tom Room will be made
available by the bank to civic groups
in search of a meeting spot.
The Autobank, connected by pneu­
matic tubes to the main bank building
a block away, also is linked to the
central bookkeeping department by
the first bank closed circuit television
system in Tulsa.
The closed circuit television is es­
pecially useful in connection with
First National’s ONEstop banking
program under which savings and
checking deposits or withdrawals may
be made at any teller window in the
Autobank or the main bank building.

. P IT ; '

ASH W ELL

& COM PANY

COMMERCIAL
PAPER

COLLATERAL
LOANS
ss&ivi

176 West Adams Street
CHICAGO 3, ILLINOIS
Telephone RA 6-5432
Northwestern Banker, A ugust, 1959


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

<

-4

>

How To Improve Summer Working Conditions
IN YOUR BANK . . . working conditions, whatever the
season, are a key to efficiency . . . and ultimately to
profits. W orking “elbow to elbow ” in crowded, unattrac­
tive surroundings, your personnel don’t— in fact, can’t—
do their best.
It’s in this area of increasing internal efficiency that the
specialists from Western Bank Contractors find best
expression for their talents. The “western m en,” who
know banking and building, start with FUNCTIONAL
design— to plan for internal flow of work, in a climate
designed for maximum efficiency. To discover the bene-

fits of bank modernization, you have only to check with
the more than one hundred banks w e’ve served. Tremen­
dous

increases

in

employee

efficiency,

old-customer

loyalty, and new business accrue with amazing regularity
to those progressive bankers w ho’ve instituted a m oderni­
zation program, and w ho’ve consulted with bank design
specialists from W.B.C.
Preliminary consultation is yours without cost or obliga­
tion. A brief note, a call,

and w e’d be happy

to

meet with you.

MISSOURI DIVISION

w estern

b a n k e o n tra cto rs9 in e .

62nd & Prospect,
Kansas City, Missouri


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

44

M iffY ea r S ta tem en ts Slime
Gain in B a n k 's \ e t
HE following reports have been
received from these banks based
on June 30, 1959, figures:

T

Chase Manhattan

Net operating earnings for Chase
Manhattan for the first six months
were $29,430,000, or $2.24 a share, com­
pared with $28,177,000, or $2.14 a share
for the same 1958 period.
Deposits of $7,134,234,000 were down
approximately $303 million. Capital,
surplus and undivided profits of $644,066,000 at midyear 1959 were up
$24,421,000. Total assets are $8,053,-

251.000, compared with $8,402,417,000
in June, 1958.
Midyear loan totals were approxi­
mately $4 billion this year, and $3.7
billion last year.
First National City

Net operating earnings of First Na­
tional City and First National City
Trust for six months were $31,667,000,
or $2.64 a share, compared with $29,835.000, or $2.49 a share at midyear
1958.
Combined total r e s o u r c e s were
$8,013 million, compared with $8,217

K now
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to offer a recipe
to BANKERS...BUT BANKERS
are ALL OUTDOOR CHEFS
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Af roor butcher to

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million. Capital, surplus and undi­
vided profits were $754,305,000 at mid­
year, compared with $741,348,000 a
year ago. Total assets of the bank
alone are $7,871 million, compared
with $8,056 million a year ago. De­
posits were off to $6,966 million this
year from $7,133 million in 1958.
Loans are at an all-time high of over
$4 billion, an increase of $112 million
from the $3,966 million of a year ago.

±

^

Morgan Guaranty Trust

Morgan Guaranty’s NOE for the
first six months were $20,142,792. This
compares with earnings for last year
of Guaranty Trust Company and J. P.
Morgan Company of $29,710,000. The
two merged on April 24.
Total assets at midyear were just
over $4 billion, an increase of $100
million since the merger. Loans total
$1,984,116,036, while deposits are $3,334,041,968. Deposits are off just under $100 million since the merger.
Capital, surplus, and undivided prof­
its at midyear were $516,803,971, an
increase of $4.5 milion since April 24.

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Manufacturers Trust

NOE for Manufacturers Trust in­
creased 11.94 per cent for the first six
months. They were $11,343,544, com­
pared with $10,134,290 a year ago.
This is $2.25 a share for 1959 and
$2.01 per share for 1958.
Other comparative figures for mid­
year 1959 and midyear 1958 are: total
resources of $3,468,580,299, compared
with $3,479,602,031; deposits of $3,080
million, compared with $3,085 million;
loans and mortgages of $1,378,405,409,
compared with $1,446,360,516, and capital funds of $227,304,146, compared
with $216,171,116.

-A

-4

Chemical Corn Exchange

Here's

aRECIPE FOR
G O O D B A N K IN G
Good Banking, we feel at the
FIRST of Kansas City, means
looking after all details fast and
efficiently. Around the clock
transit department speeds your
items on their way hours and
days earlier . . . send them to
the FIRST of Kansas City.

At midyear Chemical Corn had NOE
of $14,932,000 or $2.34 a share, com­
pared with $13,554,000 or $2.13 a share.
Total capital funds were $302,068,653, compared with $291,527,218 a year
ago. Resources were
$3,449,509,100 -v
against $3,493,520,161. Deposits were
$3,049,723,114 agai nst $3,086,154,226.
Loans hit an all-time high of $1,635,685,623 compared with $1,527,904,212.
y
Bankers Trust of N. Y.

Bankers Trust NOE increased to
$12,357,003 at midyear after taxes,
compared with $10,973,248 in 1958 mid­
year statement. This
is $3.07 per t
share against $2.72 per share last year.
Total resources are $3,006,165,989
compared with $3,178,557,919 a year
ago. Deposits are $2,656,615,528 against
<
$2,819,846,073. Loans at midyear were
$1.5 billion against $1.4 billion.
Hanover Bank

The Hanover reported NOE at mid­
year of $7,332,348 or $1.83 a share, a

SAS

CITY, M O.

Member Federal Deposit Insurance Corporation
N o r t h w e s t e r n Banke r, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

MID-YEAR REPORTS . . .

(Turn to page 75, please)

45

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0

to m

0

B an ks N o w U se

c d

P O ST -T R O N IC * M a c h in e s !

The Merchants Trust Company
of Red Bank, New Jersey

T he Me r c h a n t s T r u s t C o m p a n y
OF REO BANK,

is the 1,000th bank to install

N.J.

the National POST-TRONIC...

Ju n e 2 ,

the electronically controlled

19 5 9

C a s h f e r n e r C o m p an y
M a m and " K " S t r e e t s
7
D ayto n 9, Ohio

posting machine.

Gentlemen;
m io r m e d n s T h e M e r c h a n t s T r u s t C o r n u a l
N a tm n a i P o s t - T r o n i c M a c h in e s
? ^

W«

e q u ip m e n t h a s

**

N a tio ^
R e p re s e n ta tiv e
000td b an k to m s t a ll

o p e r a t io n a l p r o b le m s .

o p e r a t io n the fo llo w in g N a tto n a l e q u rp m e n t 7 7
p r o o f M a c h in e s and one M u ltip le - 7 i L
f o u r P o s t - T r o n i c M a c h in e s .
7 C U SS 3 l ‘

Your

°f

We
^ a v e in
M a c h in e ® : 4 C e n t r a l
A d d e d *> th e s e , n ow , a r e the

program7
« 1^« ¡ 2 ^ * .
«?
extensive
Programwhich we could carry forward „
b k W* S lrutia‘*ng an automation ‘
Programwith the Alpha-Digit Ka7 Thus
W* have Parted our
O f an electronically controU
ed on^r^ po'sulT^
** economies
vr account numbering system.
g operation prior to the installation

Bank patrons of Red Bank and vicinity
re ceive com p lete f in a n c ia l service
through ultra-modern facilities of The
Merchants Trust C om pany of Red Bank.

K. H. M cQueen,
President,
discusses
advantages
of PO ST-T RO N IC
M ach ine's forms
with A. C. Gopel,
Vice President
and Treasurer
of the bank.

v e r y tru ly ,

Kenneth H. M cQ u e e n
P r e s id e n

Confirmed reports to July 1 show 4,566 Post-Tronic
Machines now in use in 1,029 banks in all 50 states,
District of Columbia, Puerto Rico and Canada.

Four National PO ST-T RO N IC Machines replaced eleven con­
ventional machines in the bank's Bookkeeping Department.

Call your nearby National representative today. He will show you how you, too,
can obtain many time- and money-saving advantages immediately through one
run electronically controlled posting by using National Post-Tronic Machines.

THE NATIONAL CASH REGISTER COMPANY,

Dayton 9, Ohio

‘ T R A D E M A R K R E G . U. S . P A T . O F F .

e/katUmcU
ACCOUNTING MACHINES
ADDING MACHINES

1039

O F F IC E S

IN

121

C O U N T R IE S

75

YEARS

OF

H E L P IN G

B U S IN E S S

SAVE

M O N EY

n cr paper

(No

•

CASH REGISTERS

Ca r b o n R e q u i r e d )

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

46

3 th !-

Y e a r H tutti S u r r e y

tax-exempt bond market in
T HE
April set new issue volume record

for a single month of $940,000 mil­
lion, and in the first six months built
up a total of $4.3 billion, just short
of last year’s all-time first half record
of $4.4 billion.
“ In recent years it has ceased to be
much of a surprise when you mention
that another record of some kind has
been broken in the tax-exempt mar­
ket,” said Halsey, Stuart & Company,
Inc., in its current Mid-Year Survey of

When a good customer is currently
not acceptable for bank credit. . .
MAY W E S U G G E S T

That you contact A LC .
A bank may, if so desired, par­
ticipate in an ALC arranged loan.
We have unique facilities for
expediting:
Accounts Receivable Financing
Machinery and Equipment Loans
Inventory Loans
Construction Loans
Land Development Financing

the tax-exempt bond market.
Today’s volume of new issues is
twice that of a decade ago, and 1959’s
first half supply kept a pressure on
prices which brought yields to the
highest point in a quarter century,
Halsey, Stuart pointed out. “ The
range in average yield, based on a 20year maturity, broadened a little but
still was less than one-half of 1 per
cent,” the survey said. “A year ago
the average yield of 20-year bonds
varied about one-fourth of 1 per cent.”
Inventories of unsold tax-exempts
in the hands of dealers built up to a
peak of $340 million at April 24, mak­
ing 1959 the sixth straight year in
which the high exceeded $300 million.
Thereafter inventories gradually de­
clined to a less top-heavy $243 million
at mid-year. These inventory fluctu­
ations were relatively narrow as com­
pared with last year when the low
was $155 million and the high set an
all-time record of $392 million.
Expectations are that the tax-ex­
empt market will continue to expand,
“ and there are ample and sound rea­
sons for these expectations,” the com­
pany commented. The survey pointed
out that in the first five months of
1959 voters approved more than $816
million of new tax-exempt bond pro­
posals while rejecting some $219 mil­
lion, where a year before they had
approved $684 million and turned
down $273 million. “And there are in­
creasing numbers of projects in the
works that will be financed by reve­
nue bonds requiring no public vote.”
Halsey, Stuart said the outlook is
for continued strong competition for
funds among three principal contest­
ants — industry, where management
sights are being raised on moderniza­
tion expenditures; the various states,

counties, cities and other governmen­
tal units, which number close to 100,000, and the Federal Treasury which,
in addition to substantial refundings,
will have to raise new money estimated at from $5 to $10 billion in the
second half of 1959.
“ Further increases in volume of fi­
nancing may result in higher interest
costs, but the attractive yields already
available from tax-exempt bonds are
making a wider and wider appeal to
individuals and to the many institu­
tional and corporate investor groups,”
the survey commented.
“Never in history has the compara­
tive advantage of tax-exempt income
over taxable income been as attractive
as now for the individual in the $15,000 federal income tax bracket, and a
proportionately greater advanatge is
available to investors in the higher
tax brackets.”
Education has been the largest
source of tax-exempt financing so far
in 1959, with school issues making up
26 per cent of the total in the first five
months. Sewer and water bonds rep­
resented 16 per cent as the next larg­
est category, and highways and re­
lated projects accounted for 9 per cent
of the total.—End.

Named to Advisory Board
The election of E. V. Huggins to the
advisory board on international business of Chemical Corn Exchange
Bank, New York, has been announced
by Harold H. Helm, chairman.
Mr. Huggins is chairman of the ex­
ecutive committee of the board and
a vice president of Westinghouse
Electric Corporation. He is chairman
of Westinghouse Electric Internation­
al Company and is responsible for the
corporation’s stockholder interests in
Canadian Westinghouse, Ltd., and in
Industria Electrica de Mexico.

F e d e ra l H o m e L o a n B an k o f D es M oin es
May we send you information or
discuss with you personally
our unusual services?
Accredited Loan Correspondents
Registered Securities Dealers
Securities Department
State of Illinois

ASSOCIATED
LOAN C O U N S E L L O R S
64 E. Lake St.* C h icago 1, Illinois

Northwestern

Banke r, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

DES MOINES, IOWA
Statement of Condition—June 30. 1959
A S S E T S
Cash ......................................................................................................................$ 1,442,891.16
Investments ........................................................................................................ 63,958,783.38
Advances Outstanding ................................................................................... 103,544,191.50
Accrued Interest Receivable .......................................................................
312,069.13
Deferred Charges .............................................................................................
74,907.97
Other Assets ....................................................................................................
826.00
Total Assets

................................................................................................. $169,333,669.14

L I A B I L I T I E S
AND
C A P I T A L
Deposits ....................................................... .. ............................................. ■.$ 38,891,639.89
Accrued Interest Payable .............................................................................
649,624.34
Accounts Payable .....................
67.80
Dividends Payable— July 10, 1959 ................................................................
513,377.36
♦Consolidated FHLB Obligations .....................
72,385,000.00
Unamortized Premium on Consolidated Obligations ...........................
70,439.72
Capital Stock—Members ............................................................................... 53,031,000.00
Surplus Earned .................................................................................................
3,792,520.03
Total Liabilities and Capital .................................................................$169,333,669.14
♦Consolidated Federal Home Loan Bank Obligations now outstanding, in the amount
of $992,475,000.00, are the joint and several obligations of all Federal Home Loan
Banks.

^

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■i

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47

C O N T IN E N T A L

IL L IN O IS

N A T I O N A L B A N K and T R U S T C O M P A N Y
OF CH ICAG O

Statement of Condition
June 30, 1959
RESOURCES

Cash and Due from B anks..................................................$ 655,236,328.29
United States Government Obligations.........................
592,946,952.66
Other Bonds and Securities.................................................
187,405,981.93
Loans and Discounts............................................................. 1,179,574,573.00
Stock in Federal Reserve B an k .........................................
6,750,000.00
Customers’ Liability on Acceptances...............................
9,762,347.24
Income Accrued but N ot Collected.................................
9,906,231.81
Banking H ouse..........................................................................
6,750,000.00
Total Resources............................................................... $2,648,332,414.93
LIABILITIE S

D eposits....................................................................................... $2,349,177,291.33
Acceptances...............................................................................
9,762,347.24
Dividend Payable, August 3, 1 9 5 9 ...................................
3,000,000.00
Reserves for Taxes, Interest, and Expenses.................
9,556,836.28
Reserve for Contingencies...................................................
10,000,000.00
Income Collected but Not Earned...................................
2,883,591.42
Total Liabilities............................................................... $2,384,380,066.27
CAPITAL AC C O U N TS

Capital Stock (3,000,000 shares. Par value $3354 ) .....................$
Surplus.........................................................................................
Undivided Profits....................................................................
Total Capital Accounts............................................... $

100,000,000.00
125,000,000.00
38,952,348.66
263,952,348.66

Total Liabilities and Capital Accounts................ $2,648,332,414.93
United States Government obligations carried at $262,589,157.09 are pledged to secure
public and trust deposits and for other purposes as required or permitted by law.
BOARD

OF

DIRECTORS

DAVID M. KENNEDY, C hairm an
CHARLES H. KELLSTADT

CALVIN FENTRESS, JR.

J. Q. A D A M S
Real Estate
RICHARD A. AISHTON

C ha irm a n o f the B oa rd

President

Allstate Insurance Company

Sears, Roebuck and Co.

President

LAWRENCE P. FISHER

CHAUNCEY B. BORLAND

D ire c to r

JAMES R. LEAVELL
Banker

M a n a g in g O w n e r

Borland Properties
CHAMP CARRY

General Motors Corporation

MARK W. LOWELL

WILLIS GALE

Vice President a n d Executive
Trust O ffice r

C ha irm a n

President

Pullman Incorporated
ALFRED COW LES
Cowles Properties
EDWARD A. CUDAHY
C ha irm a n o f the B oa rd

The Cudahy Packing Company
WALTER J. CU M M IN G S
C ha irm a n o f the
Executive Com m ittee

Commonwealth Edison
Company

WILLIAM H. MITCHELL

WILLIAM A. HEWITT

Mitchell, Hutchins & C o .

President

ROBERT H. MORSE, JR.

Deere & Company

Vice C h a irm a n o f the
B oa rd o f Directors

JOHN HOLMES

Partner

Fairbanks, Morse & Co.

D irecto r

Swift & Company

PHILIP W. PILLSBURY

FRANK W. JENKS

C hairm an o f the B oa rd o f Directors

JOHN F. CUNEO

President

The Pillsbury Company

President

International Harvester
Company

HERMAN WALDECK
Banker

The Cuneo Press, Inc.

L O C K B O X H, C H I C A G O

90, ILLIN O IS

Member Federal Deposit Insurance Corporation
N o r t h w e s t e r n Ba nker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

48

Mosler Names Plant Manager
Appointment of Clinton M. Starks
as manager of the Hamilton, Ohio,
plant of the Mosler Safe Company was
a n n o u n c e d last
month by Edwin
H. M o s l e r , Jr.,
president.
Mr. Starks will
be responsible for
production superv i s i o n , produc­
tion control, qual­
ity control and in­
dustrial engineer„
ing. He will report to Carl P.
Bartels, vice president, manufactur­
ing.
Mr. Starks, who has 23 years’ expe­
rience in manufacturing, is a former
vice president and general manager of
the City Tool Corporation of Dayton.
He also has served as manager of
manufacturing of one of the plants of
Frigidaire Division of General Motors.

X

Ac

A

<

v-

Displays Davis Cup

More than check paper...

The Davis Cup, symbol of interna­
tional tennis supremacy, was dis­
played by The Northern Trust Com­
pany of Chicago at its exhibit at the
International Trade Fair.
The 59-year-old Davis Cup was made

The experience of years of manufacturing
. . . c o n tin u e d

g ro w th

. . . s t a b ilit y

. . .

service—
these are some of the factors that
have influenced banks and corporations to
specify La Monte Safety Paper for checks.
Capacity and "know-how” are as essential
as materials and machinery. So, too, are the
skills of those who operate the equipment.
These

e le m e n ts

La Monte

Safety

are

all

in h e r e n t

P aper. . . they

are

in
as

much a part of the product as its color,
sensitivity, strength or design.

ADMIRING Davis Cup are (from left)
Solomon B. Smith, vice chmn., Northern
Trust; George E. Barnes, senior partner,
Wayne Hummer & Co., and 1st v. p. of
U. S. Lawn Tennis Assn., and Benjamin D.
Waldie, chmn., Waldie & Briggs, advertising agency for Northern Trust.

THE
W A V Y L IN E S ®
A N D THE N AM E
BASKETW EAVE

SAFETY

(5

PAPER

A N D THE

FOR

D ISTIN CTIV E
BASKETW EAVE LIN ES

CHECKS

ARE
LA M ONTE TRADE-MARKS.

GEORGE

LA MONTE

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

& SON
1959

• NUTLEY

10,

NEW

JERSEY

available to The Northern Trust by
the U. S. Lawn Tennis Association in
connection with the Chicago bank’s
telecast of the finals of the National
Clay Court Tennis Tournament at
Rover Forest, 111., last month.
This was the fourth year that The
Northern Trust has brought the River
Forest tournament, leading clay court
event in U. S. tennis each year, to
Chicago television audiences.

^

^

49

IN S U R A N C E

S

u

Y

È u

LL bankers will undoubtedly be
interested in the recent work of
the insurance and protection
committee of the Nebraska Bankers
Association. Under the chairmanship
of W. W. Marshall, Jr., president and
cashier of the Bank of Niobrara, the
committee has sent to all member
banks in that state a revision of a
recommended Insurance Program for
Banks.
In a letter to the banks, Mr. Mar­
shall stated, “When one considers that
the theft or destruction of both a note
case and liability ledger would involve
total assets several times greater than
the total of a bank’s blanket bond, it
seems imperative that definite safe­
guards should be established to insure
the reproduction of those records that
are vital to a bank’s operation.
“With this in mind, your committee
recommends that your bank review
your microfilming procedure for the
purpose of determining whether or
not it adequately safeguards the pres­
ervation of vital records, and, further,
that the film be stored in your fire­
proof vault at all times.”
In its recommended program, the
committee discussed three main sub­
jects 1. Loss of money and securities.
2. Loss through injury to person or
damage to property. 3. Loss from fire
and allied perils. An accompanying
bulletin with charts tells about “The
A B C of Coinsurance.” The recom­
mended program appears below:
1. Loss of money and securities.

A

Blanket Bond— The bank should pro­

vide for an adequate amount of bank­
ers’ blanket bond protection. The
form 24 Blanket Bond is the broadest
type of coverage available to the bank.

y

o

( l e s t i o n

u

s u

r

H

r a

a

n

n

k

s

' s

e e

This provides coverage for dishonesty
and fidelity losses on the part of em­
ployees, burglary, robbery, misplace­
ment, theft and so forth on the prem­
ises and burglary, robbery, misplace­
ment and disappearance away from
the premises. It also covers other
places of safekeeping such as corre­
spondent banks. The form 24 has no
limit as to mileage under the messen­
ger or outside feature. The form 24
should be purchased as primary cov­
erage for the bank and as a matter of
fact we recommend that the form 24
be used for the entire bond coverage
of the bank.
Some savings may be made by car­
rying form 24 as primary up to a cer­
tain amount and then buying a form
2 bond as excess over this. However,
the form 2 is not as broad, does have
a limitation as to the mileage basis
for messenger coverage, and the sav­
ings is not very great.
We recommend that the minimum
amounts of broad coverage as set forth
by the American Bankers Association
should be a yardstick as to the lowest
amount to be carried by the bank.
The bond in any event should be high
enough to cover all money and securi­
ties in the bank premises and you
should also have in mind that this
bond is the only protection you have
for dishonesty of employees. We
might mention that excess fidelity in
large amounts is available on bank
employees as excess over the blanket
bond. In view of some sizable bond
losses in the country, the officers and
board of directors should decide as to
the amount of bonds which should be
maintained on their bank.
Check F o rgery — This protects
the banks against loss through forgery

of customers’ checks as well as their
own issue, and we recommend that a
deductible be applied to such check
forgery in order to take advantage of
a discount in rate, and also because
we feel the banks should not turn in
small claims, again our belief being
that this is a part of banking opera­
tion and the expense is chargeable
thereto.
Securities Forgery — This protects
the bank against loss through loans
on securities which may have been
forged.
Safe Deposit Box Coverage — All
banks should carry safe deposit legal
liability coverage, protecting the bank
for their legal liability for loss of se­
curities in customers’ safety deposit
boxes. We feel that this policy, if car­
ried in an adequate amount, furnishes
the bank with all the legal protection
it needs for the safe deposit box cov­
erage.
Safe deposit burglary and robbery
coverage is available and will pay a
loss if one occurs for either burglary
or robbery of the safe deposit boxes.
Securities in Depository Banks—The
blanket bond gives coverage on se­
curities in depository banks, including
the Federal Reserve. Many banks feel
that they should have additional pro­
tection over and above their blanket
bond and such coverage is available if
desired.
2. Loss through injury to person or
damage to property.
Comprehensive General Liability—

All banks should carry high-limits,
public liability coverage for the bank
premises and including any other
premises which they might own or
rent. They also should include in this
N o r t h w e s t e r n Ba nker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

50

Insurance

K it S peed s

Loss from fire and allied perils.
Clerkiat S a3.Fire
les
and Extended Coverage—If the

PLASTIC sorting cabinet is shown at left in left photo, mounted on steering wheel
desk. Beside it is plastic, double clip listing board for the listing clerk. Photo at right
shows sorting cabinet and writing desk mounted on steering wheel for convenience of
sales clerk.

PRACTICAL system for clerking
auction sales has been developed
by Black Manufacturing Company,
Fullerton, Nebraska, after more than
40 years of experience in clerking
sales of all types. This sales clerk kit
was designed by Everett M. Black,
head of the firm and also executive
vice president of the First National
Bank in Fullerton.

A

By using this system the clerk not
only speeds up settlement of the sale
but eliminates those unsettled tickets
or items which result when he has to
look over sheet after sheet to pick out
the items. Also, he does not have to
do any posting.
The outfit features, and is built
around, a special copyrighted threecopy sheet with built-in carbons mak-

ing it wind proof, and in this way the
clerk has an exact copy for his rec­
ords, the owner of the sale has the
same, and the third sheet on heavy
manila paper is perforated into 27
tickets size 1V2 x 3 inches. This exact
copy is given to the purchaser only
after he has paid his bill or account.
This eliminates any argument as to
whether or not a bill has been paid
and gives the purchaser a good receipt
for his records. All the clerk has to
do after he has finished settling the
sale is to add up the unpaid tickets
and cash on hand and his sale should
be balanced.
Many clerks using this system have
found it very advantageous when they
have been confronted with purchasers
taking off without settling their ac­
counts and taking with them their
purchases arranged with sale clerks
or owners. In this way, nobody loads
any major purchases until they have
produced their tickets, and in the case
of strangers the license number of the
truck or pickup can be taken, thereby
eliminating a most embarrassing situ­
ation.
Many sales clerks report they save
enough in overlooked small tickets
each sale to more than pay for the
supplies used.— End.

on the comprehensive policy, coverage
on any automobiles owned by the
bank, elevators, if any, non-ownership
liability and coverage for repossessed
cars. These coverages are all auto­
matically provided under the compre­
hensive form of policy. If any bank
does not now carry comprehensive
liability form, we suggest that they
contact their insurance agent and
have this rewritten into the broad
form with limits at least $100,000 sin­
gle limit with $300,000 to $1,000,000.
The cost for these higher limits is not
great and we recommend that the
banks protect themselves most ade-

quately for this possible contingency.
(The committee urges each bank to
carry a workmen’s compensation pol­
icy in a reputable company. The pre­
mium is small and the hazard must
not be uninsured.)
(The committee also urges each
bank having a boiler in its building to
provide boiler coverage in an ade­
quate amount, not only for boiler dam­
age, but because of expert inspections
by i n s u ra n c e company engineers.
Boiler extra expense coverage will pay
for expenses of operation on other
premises if boiler damage puts your
building out of commission.)

The kit is neatly packaged in a
heavy cardboard container and is com­
plete with plastic, double clip listing
board for the listing clerk, and a
handy, plastic sorting cabinet with al­
phabetized pockets and mounted on a
steering wheel desk. This makes it
convenient for the settling clerk to
park his car in a strategic place where
he can watch the proceedings of the
sale, as well as be in a location where
people can readily settle with him.

N o r t h w e s t e r n Banker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

bank owns the building then we sug­
gest that the value be checked if an
appraisal has not been made within
the last two years. We recommend
that fire and EC (extended coverage)
plus vandalism and malicious mischief
be written to at least 80 per cent of the
present value. We would mention the
fact that it is possible to buy replace­
ment coverage so that in event of a
loss the bank may have available suffi­
cient money to build the new build­
ing in the same location. This should
be discussed with your agent if you
are interested. Contents such as office
equipment, business machines and so
forth should be insured, to value on
the same policy. Also we mention im­
provements and betterments for those
banks who rent their buildings and
have installed new light fixtures, re­
decorated and gone to other expense
on a building that is not theirs. This
may be insured under a policy cover­
ing improvements and betterments.
Errors and Omissions — All banks
v/ho operate an insurance agency in
the bank quarters should insist that
the agency carry errors and omissions
coverage. The agency, of course, is
not in the same name as the bank.
To the public, however, it appears that
the bank is also handling the insur­
ance.
Registered First Class Mail — This

policy provides for coverage of money
and securities when shipped by mail
and the cost depends on the amount
of such shipment.— End.

Mosler Announces Contest
A second annual contest to find the
country’s most personable and attrac­
tive bank drive-in teller is announced
by the Mosler Safe Company.
The winner will be selected at the
American Bankers Convention in Mi­
ami Beach, October 25-28, according to
Edwin H. Mosler, Jr., president of the
safe firm.
Bankers attending the convention
will be asked to select the winner by
ballot from among three finalists who
will be in attendance as Mosler’s
guests. The winner will be awarded
an all-expense paid week for two at
the luxurious Plantation Inn in Ocho
Rios, Jamaica.
The finalists will also be presented
with complete costumes from Burdine’s Sunshine Fashions, Florida de­
partment store.
Entry blanks can be obtained from
any Mosler representative or branch
office, or by writing Miss Drive-In
Teller, Room 405, 50 W. 57th Street,
New York 19, N. Y.

51

<4

Ç î)iï€ c / c ïé
F R A N K K . HOUSTON

Honorary Chairman of the Board
N. B A X T E R JACKSON

Chairman, Executive Committee
R O B E R T A. D R Y S D A L E

Senior Partner, Drysdale & Co.

C H E M IC A L
CORN EX C H A N G E
BANK

D U N H A M B. SH ER ER

New York
Retired

JOSEPH A. BOW ER

TH O M A S R. W IL L IA M S

President,
Ichabod T. Williams & Sons. Inc.
JOHN K. ROO SEVELT

Roosevelt & Son
H E N R Y U P H A M H A R R IS

Partner, Harris, Upham & Co.
Chairman

H AR O LD H. H E LM

H. E. H U M P H R E Y S , JR.

165 B roadw ay, N e w Y o r k

Chairman,
United States Rubber Company
Farmer

CASON J. C A L L A W A Y

President,
Associated Dry Goods Corporation

R O B E R T J. M cK IM

cC'fj n r / c tiic f/ T/Yrrfa t ) t e n /

fY 'ott< / fY fcn

Partner.
Cravath, Swaine & Moore

M A U R IC E T. M OO RE

Industrialist

JAM ES B R U CE

At the close of business June 30, 1959

J. A L B E R T W OODS

New Vork

ASSETS
Cash and D ue from Banks

.

President,
Liggett & Myers Tobacco Co.

BE N JAM IN F. FEW

. .

U. S. G overnm ent Obligations

.

$ 805,415,696.71
.

473,971,194.50

State, M unicipal and Public Securities
Other Bonds and Investm ents

.

398,271,355.51

.

22,831,520.99

L o a n s .....................................................

1,635,685,623.40

Banking Premises and Equipm ent .

23,112,677.68

Custom ers’ Liability on Acceptances

65,028,145.40

Accrued Interest and A ccounts
R e c e i v a b l e ........................................

13,728,198.50

Other A s s e t s ............................................
11,464,687.59
$3,449,509,100.28

.

.

Chairman of the Board,
Pacific Gas and Electric Company
G IL B E R T H. PE R K IN S

Vice Chairman
ISAAC B. G R A IN G E R

President
K E N N E T H E. BLACK

President,
The Home Insurance Company
A L E X . H. SANDS. JR.

Vice Chairman,
The Duke. Endowment
H E N R Y L. H IL L M A N President,

Pittsburgh Coke <5r Chemical
Company
President,
Sears. Roebuck and Co.
President,
Western Electric Company, Inc.

H. I. RO M N E S

Capital S tock ($io.par) $ 63,765,900.00
.

Real Estate
JAM ES B. BLAC K

CH ARLES H. K E L L S T A D T

LIABILITIES
Surplus .

R O B E R T G. G O E LET

186,234,100.00

U ndivided Profits .

52,068,653.45 $

,068,653.45

Reserve for Contingencies

,069,933.48

Reserves for Taxes, Expenses, etc.

,288,700.14

fw â o'iu ^ cm m i/ Z e e
C. W A L T E R N IC H O LS

Chairman. Nichols Engineering
& Research Corporation

D ividend Payable July 1, 1959 .

,825,954.00

R O B E R T G O E LE T

A cceptances Outstanding (N et) .

,669,143.56

JOHN R. M cW IL L IA M

Other L i a b i l i t i e s ...........................

,863,601.38

D eposits

,723,114.27

.

.

.

.

.

.

.

$3,449,509,100.28

W . ROSS M cC A IN

Real Estate
Retired
Hartford

F R E D E R IC K E. HASLER

Chairman, Haytian American
Sugar Company, S. A.
W IL L IA M P. W O R T H IN G T O N

Home Life Insurance Company
President,
Securities carried at $174,651,409.17 in the foregoing statement are
deposited to secure public funds and for other purposes required by law

JOHN R. SU M AN

Oil and Gas Consultant

C onvenient Offices Throughout Greater N ew York
E very Banking and Trust Service at H om e and Abroad
Charter Member New York Clearing House Association
Member Federal Reserve System

Member Federal Deposit Insurance Corporation

N o r t h w e s t e r n Ban ke r, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

52

STATEMENT or CONDITION
JUNE 10, 1959

1

3
ÌVÉ—

ip l

RESOURCES

Cash and Due from Banks..........................$20,167,423.02
U. S. Government Obligations.................. 13,687,102.98
Obligations of Federal Agencies ___
5,364,416.90
State and Municipal Securities ..................
169,092.95
Federal Reserve Bank Stock ......................
75,000.00
Loans and Discounts................................. 30,833,618.82
Furniture, Fixtures, Equipment
and Improvements ................................
856,707.07
Other Assets................................................
6,655.24
Total Resources ..............

$71,160,016.98

L IA B IL IT IE S

Deposits _____
$66,749,141.91
Capital .....................
1,250,000.00
Surplus ..................................
1,250,000.00
Undivided Profits and Reserves.................. 1,910,875.07
Total Liabilities ..........................

$71,160,016.98

DEPARTMENT OF BANKS AND BANKERS
OTTO H. PREUS

A. J. KN U TSO N

Vice President

Assistant Cashier

f a
OF M IN N E A PO LIS

g even Ö i a t

MEMBER FEDERAL DEPOSIT INSURANCE C ORPORATIO N
N o r t h w e s t e r n Banke r, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

t a

( ®

\

U

FE 3 - 5 4 1 1

- «

53

Austin Changes

Retires at Winona
John Ambrosen, senior vice presi­
dent, Winona National and Savings
Bank, Winona, retired recently after
42 years in banking. He will continue
as a director.
Mr. Ambrosen is a past president
and former director of the Southeast­
ern Division of the Minnesota Bank­
ers Association and for many years
was secretary and treasurer of the W i­
nona Clearing House Association.

Barnum Change
Walter C. Newman, former Cloquet
resident, has been elected vice presi­
dent of the State Bank of Barnum.
He succeeds C. C. Hanson, who re­
signed in order to devote full time to
the Barnum Realty Company.

New Director Named
Leo J. Gayou, plant manager at the
Northwest Paper Company mill in
Brainerd, has been appointed a direc­
tor of the First National Bank, Brain­
erd. He fills a vacancy created by the
death of Clyde Parker several months
ago.

Duluth Construction
The First National Bank, Duluth, is
completing an auto park directly
across the street from the bank build­
ing. The site is the location of the
old First National Bank building, re­
cently razed. While the park is
planned primarily for customer use, it
will be open for public parking.

Owatonna “ Charm” Class
Security Bank and Trust Company,
Owatonna, recently conducted an in­
formal “charm school” for 21 Steele
County Dairy Princess candidates.
Included in the program were talks
on correct clothing, grace, proper
make-up, modeling, carriage and de­
portment, and public speaking. The
event was enthusiastically received
and plans are being made to make it
an annual event.

Capital Increase
Capital stock of the First National
Bank of Braham recently was in­

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

creased from $100,000 to $125,000 by
the sale of new stock. The number of
shares now outstanding is 1,250.

Banker and Son Die
The president of the Lowry State
Bank and his cashier son were found
shot to death in the bank recently.
Officials ruled the deaths murder and
suicide.
Authorities said Stanley P. Billey,
58, president and manager of the
bank, shot his son, Arthur, 25, cash­
ier, twice and then turned the gun on
himself.
Examiners stated, prior to a com­
plete investigation, they did not be­
lieve there was a shortage.

Banks Up Interest Rate
The First National Bank of Cloquet
and the First National Bank of Spring
Valley have announced increases in
interest rates.
The Cloquet bank is now paying 3
per cent on savings certificates and
certificates of deposit. The Spring
Valley bank is paying 3 per cent on
time deposits.

Honored at Retirement
Philip M. Boll, chairman of the
board, Farmers and Merchants State
Bank, Breckenridge, and his wife
were guests of honor last month when
directors, officers and employees held
a dinner party on the eve of Mr.
Boll’s retirement from active duty at
the bank.
He came to the bank in 1923 from
the Breckenridge National and has
served the Farmers and Merchants
State as president since 1926. They
were given a color TV set.

Lewisville Open House
The Merchants State Bank, Lewis­
ville, held open house last month to
celebrate the completion of its remod­
eling program. It was the second time
the building has been remodeled since
the present structure was completed
in 1903.
Remodeling this year included re­
built tellers’ cages, new lighting, a
ceramic tile floor, inclusion of a pri­
vate office, and all new furniture.

The following changes have been
announced by R. F. Lichty, president,
First National Bank, Austin:
George M. Leland, assistant vice
president, was promoted to vice presi­
dent; A dr i an Tinderholt, assistant
cashier, advanced to cashier; William
Howley, a director since 1955, was
named to head the new business de­
velopment and public relations de­
partment and Richard L. Kelly, man­
ager of bookkeeping and transit, was
promoted to auditor.

Joins Staff at Askov
Arne P. Stovring, formerly of Askov,
Minn., and most recently of Beloit,
Kan., has returned to Askov to join
the staff of the Security State Bank
of Askov as head of the insurance de­
partment.
He was auditor, Federated Mutual
Insurance Company of Owatonna with
headquarters in Beloit before this
change.

New Brighton Change
Stanley J. Grove has been appointed
c ash ie r o f the
First State Bank
of New Brighton,
according to Har­
old J. Pohl ad,
p r e s i d e n t . Mr.
Grove has been
in banking for 12
years, in H ast­
in g s and the
T w i n City area.
He succeeds Law­
s. J. G O V E
rence L. Haglund.

Announcements at Braham
The First National Bank, Braham,
Minn., recently sent to its friends and
customers a very informative letter
which included: Mid-year statement,
discussion of increased capital struc­
ture, news of contemplated new bank
building, explanation of farm and
business trends, a word of caution on
inflation, explanaion of interest rates
paid and a paragraph selling the
bank’s services. The letter was signed
by Oscar A. Olson, Sr., chairman.
Capital stock was recently increased
from $100,000 to $125,000 and surplus
from $114,000 to $139,000, via sale of
additional stock. From undivided prof­
its, $16,000 was added to surplus, in­
creasing surplus to $155,000. So, capi­
tal structure is now $280,000, undi­
vided profits and reserves are $57,553,
or a total capital, surplus, undivided
profits and reserves of $337,553.
The bank has acquired property
across the street and architects al­
ready have been contacted to draw up
plans for a new building.
N o r t h w e s t e r n Ba nker, Â u g u s t ,

J959

54

R OBERT E. SIPPLE, former assist­
ant cashier, Kraft State Bank of
Menomonie, Wis., has joined the cor­
respondent bank
department of the
American Nation­
al Bank of Saint
Paul as represent­
ative c a l l i n g on
banks in the up­
per midwest.
Mr. Si pple be­
gan his banking
career in 1952 at
the Kraft State
R. E. S I P P L E
-r>
i
,
Bank,
wh
e r e ,he
has served as assistant cashier the
past six years.
*

*

*

elected president of the Hillcrest
State Bank of St. Paul.
President of both the Minneapolis
Builders Supply Company and Con­
crete Service, Inc., Mr. Bertelsen was
an original stockholder of the bank,
which opened for business in Novem­
ber, 1955. He has been a director
since and has served as vice president.
Hillcrest State has a capital struc­
ture of $237,000, consisting of $100,000
capital, $50,000 surplus, and $87,000
in undivided profits and reserve. Its
assets approaching $3,000,000.
*

*

Donald A. Steelier has been elected

cashier of the Capital City State Bank
of St. Paul. He started his banking
career 12 years ago. Mr. and Mrs.
Stecher and their three children live
in suburban White Bear Lake.
*

*

M. O. Grangaard, 73, former senior
vice president, First National Bank of
Minneapolis, died recently in Oceanside, Calif. Since his retirement in
1950 he had been associated with the
W. R. Olson Company, bank broker­
age firm at Fergus Falls, Minn.
Mr. Grangaard had served as presi­
dent of the Minnesota Bankers Asso­
ciation, director of the Federal Re­
serve Bank of Minneapolis, director
of the First Edina National Bank and,
N o r t h w e s t e r n Banker, A u g u s t ,

*

*

30 years in banking, has been elected
assistant cashier, First National Bank
of Minneapolis. Mr. Fredell had been
an officer of First Produce State Bank
of Minneapolis since 1944.
Robert W. Rode, assistant cashier at
First Edina National Bank, was elect­
ed cashier at First Produce, succeed­
ing Mr. Fredell. Galen Schmick, chief
clerk at First Edina, was elected as­
sistant cashier there to succeed Mr.
Rode.
*

*

The state of Minnesota has collected
$83,369 from bank accounts that have
been inactive 20 years or more, under
judgments issued recently in Ramsey
County (St. Paul) district court.
The o r de r s affected 258 banks
throughout Minnesota. Most of the
collections, $43,046, -came from the
Twin Cities. Publicity had led to re­
claiming by the owners of some $27,000 in additional deposits.
Although the state takes custody of
the money, the funds still can be re­
covered by the owners within the
next 40 years.
* *

*

Rollin O. Bishop, president, Ameri­

can National Bank of St. Paul, has
been elected a trustee of Hamline Uni­
versity, St. Paul.
* *

*

Harry G. Cross, 68, a director of

*


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

*

Earl P. Fredell, a veteran of nearly

*

Roy A. Bertelsen, St. Paul, has been

*

for 19 years, treasurer of the Minne­
sota Fair Board.
Funeral services and burial were in
Minneapolis.

1959

Third Northwestern National Bank of
Minneapolis, died recently. Services
and burial were in Minneapolis. Mr.
Cross was chairman of the board, Waterman-Waterbury Company.
* *

*

Philip H. Nason, president, First Na­

tional Bank of St. Paul, has been elect­
ed a director of Brown & Bigelow,
Twin Cities advertising specialty firm.
Mr. Nason fills a vacancycreated
through thedeath of CharlesA. Ward,

who was succeeded as president by
his wife.
*

*

*

*

Russell A. Nelson, vice president,

Northwestern National Bank of St.
Paul, is the new president of the Min­
nesota chapter, Robert Morris Asso­
ciates, organization of bank loan offi­
cers.
Other officers are Edward C. Brown,
Jr., First National Bank of Minneap­
olis, vice president, and Newton H.
Dashiell, Jr., Northwestern National
Bank of Minneapolis, secretary-treas­
urer.
*

Henry N. Snyder, First National
Bank of St. Paul, has been appointed
national associate councilman for the
American Institute of Banking in
Minnesota.
*

Gensinger,

*

A

=f= =)=

auditor, Fidelity
Bank & Trust Company of Minneap­
olis, is among 98 bankers completing
a three-year course this summer at
the University of Wisconsin school for
bank auditors and comptrollers.
Emil

A

% *

1

*

Bankers joined with real estate, con­
struction and other financial groups
recently in helping the Federal Hous­
ing Administration’s Minneapolis of­
fice celebrate its 25th “birthday” at a
party given by the groups at the Cal­
houn Beach Hotel.
Close to $1 billion worth of applica­
tions for home loan insurance have
been processed by the Minneapolis
office since its founding. Of this
amount, some $300 million of insur­
ance has actually been approved.
Wallace E. Berg is director of the
FHA Minneapolis staff. He has 75
employees and four part-time employ­
ees.
John deLaittre, president, Farmers
& Mechanics Savings Bank of Minne­
apolis, was one of two Minneapolis
businessmen who represented their
organizations as sponsors of an in­
dustry salute to the FHA at a dinner
in Washington.
Mr. deLaittre is president of the Na-

y

55

The One Banker Who Wasn’t Interested
in Public Relations Ideas
Let’ s thank the good Lord there weren’t many like him

This year’s program promises to be even better. It’ll

at the last FPRA Convention!

Because most bankers

pay you to attend. There’ll be time for some fun, too.

who attended were considerably quicker and more

But mainly the big FPRA Convention means business

perceptive to see the value of the Public Relations,

. . . good future business for you. Get in touch with the

Advertising, and Promotional ideas presented . . . many

FPRA right now, to assure yourself of a reservation.

ideas culled from fellow-bankers all over the country.

Write or call:

!
I
I
I

A ll b an kers, m em ber or
not, y o u 'r e invited to
the FP R A C on ve ntio n.
N o v . 1 - 5 , A m e rica n a
Hotel, M ia m i B each,
F lorid a

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

56

Minnesota News

tional Association of Mutual Savings
Banks. Accompanying him was Wal­
ter C. Nelson, president, The Eberhardt Company, and also president of
the Mortgage Bankers Association of
America.
*

*

Walter C. Johnson has been elected
comptroller of the Northwest Bancorporation pursuant to resignation of
that position by Ray A. Scott. The
directors also elected Eugene W . Fett
a new officer of the corporation with
the title of assistant secretary.
*

*

*

Directors of First Bank Stock Cor­
poration have declared a quarterly
dividend of 42% cents per share on
the capital stock of the corporation,
payable September 8, 1959, to stock-

holders of record at the close of busi­
ness on August 14, 1959. This decla­
ration constitutes the 87th consecutive
dividend to be paid without interrup­
tion by the corporation since its
founding in 1929.
Joseph H. Colman, president, re­
ported that consolidated net operat­
ing earnings for the first six months
of 1959 were $6,932,625. This is the
equivalent of $2 per share on the
3,465,017 shares of stock outstanding
on June 30, 1959, and compares with
$1.85 per share in the first six months
of 1958 computed on 3,464,499 shares
outstanding on that date.
Consolidated deposits, after elimi­
nating inter-affiliate balances, were
$1,557,527,875, as compared with $1,520,155,761 a year ago. Loans were

O N T H E B E A U T IF U L

SANTA BARBARA
R
\
\

i v

i e

r a

One of America's truly great
hotels. World-famous for
scenic beauty and superb cuisine. 9'acres of
landscaped grounds and gardens with com­
manding views of Pacific Ocean and city of
Santa Barbara. Ideal climate year around.

\
\
\
\
\
\

\

C a lif o r n ia 's
\

most loved resort hotel
anew king-sized pool

$854,123,507 on June 30, as compared
with $767,837,962 on the same date last
year.
*

*

*

Gilbert AV. Urban, assistant control­

ler of the First National Bank of Min­
neapolis, was elected director of pub­
licity for the Minneapolis Chapter of
the National Association of Account­
ants at their recent annual meeting.
—End

Wants Interest Rate Held
A strong advocate of holding the
line on savings interest rates at the
present 3 per cent level is S. J. Kryzsko, president of the Winona National
and Savings Bank, Winona. In let­
ters to the Federal Reserve Board and
the Federal Deposit Insurance Corpo­
ration, Mr. Kryzsko said:
“Current newspaper reports indicate
that scattered banks around the coun­
try are urging an increase in the pres­
ent 3 per cent limit for interest paid
on time deposits. I’d be willing to
bet that most of these banks are
‘Johnnie-come-latelys’ in the savings
field or else large commercial banks
with a small percentage of time
money to total deposits.
“We who have been in it all our
lives and now have time money totals
exceeding 50 per cent or better of to­
tal deposits remember how difficult it
is to come down once you go up in
rate. In addition, we now again begin
to feel the pressure of greatly in­
creased cost of operations due to the
substantially increased cost of deposit
funds.”
He noted that time money increases
originate in large cities where loan
rates can be adjusted, and that loan
rate changes cannot be done the same
way in country banks. He concluded
his letter by saying, “We join what
we believe is the majority opinion
when we strongly urge you to hold
the line for present rate limits in the
current unsettled rate situation.”

Joins Marshall Bank

ACCIDENT, SICKNESS and HOSPITAL

Darrell Krogh has been added to
the staff of the Western State Bank,
Marshall. He formerly was with the
installment loan department of the Se­
curity National Bank, Sioux City. His
duties at the Marshall bank will in­
clude insurance and installment loans.

INSURANEE AT COST!

Promotions at Austin

Bankers are Select Risks and we have special coverage
designed for Bank Men and Women. Write for Application
and Information.

M innesota Commercial Men's Association
2550 Pillsbury Ave. S.

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

7959

Minneapolis 4, Minnesota

George M. Leland has been pro­
moted to vice president and Adrian
C. Tinderbolt has been moved up to
cashier at the First National Bank of
Austin, Minn.
William M. Howley, a director of
the bank for several years, has been
named director of public relations and
business development.

57

New! Pre-packaged
American Express Travelers Cheques
■ i
T E L L E R ’S S A L E S KIT
Handy sales kit contains eight different
packages ranging in value from $50 to
$ 1 ,0 0 0 . Many banks have already
placed a kit with every teller.

NO C O U N T I N G - N O PAPER W O R K
Teller reaches for right package—that’s
all. Information once supplied by teller
is now pre-printed on purchaser’s appli­
cation form.

'*

n

J U S T D A T E - A N D S E L L TH E M
A ll the teller need do is add date.
Issuing pre-packaged American Express
Travelers Cheques is about as easy as
handling the equivalent in cash.

A T E V E R Y T E L L E R ’S W INDO W
Now every teller can handle American
Express Travelers Cheques easily and
p ro fita b ly -b e g in n in g with the peak
sales season ahead.

A M ERICAN

EXPRESS

N o w — A m e rica n Express Tra ve le rs
Cheques are p r e -p a c k a g e d in the exact
amounts and denominations your cus­
tomers request most often. These pre­
packaged Cheques can accommodate up
to 80% of your Travelers Cheques sales.
They make it possible to reduce issuance
time to about 90 seconds . . . to sell Tra v­
elers Cheques at all tellers’ windows with
ease and efficiency . . . to increase your
bank’s Travelers Cheques sales . . . to
offer faster and better service to your
customers. For further details or sup­
plies, please write to Mr. Olaf Ravndal,
Senior Vice President and Treasurer,
American Express Company, 65 Broad­
way, New York 6, N. Y.
COMPANY

M O N EY ORDERS • C R E D IT C AR DS • TR A V E L S ERV IC E • FIELD W A R E H O U S IN G • O V E R S E A S COM M ERCIAL B ANKING


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Federal Reserve Bank of St. Louis

• FOREIGN

R E M IT T A N C E S - FOREIGN

FR E IG H T FORW ARDING

N o r t h w e s t e r n Banker, A u g u s t ,

1959

58

Minnesota News

Capital Increased
Capital stock of the Security State
Bank, Pine Island, has been increased
from $50,000 to $75,000. Surplus also
is $75,000, with total capital accounts
at more than $215,000.

Led Cerebral Palsy Drive
James H. Claypool, vice president,
Northern City National Bank, Duluth,
was general chairman of the 1959
United Cerebral Palsy Fund Drive.
Mr. Claypool was appointed shortly
before the drive was to begin and the
campaign, just now ended, was de­
clared very successful. He was head
of the “53-Minute March,” a theme
that is used to dramatize the frequen­
cy with which cerebral palsied chil­
dren are born in the United States.

B o f M Stock Subscribed
Following the expiration on July 10
of the offer of a new issue of capital
stock to Bank of Montreal sharehold­
ers, Arnold Hart, B of M president,
announced that, as a result of the
widespread response from many new
shareholders, as well as from those
shareholders to whom the offer was
made, over 99 per cent of the shares
offered was subscribed.
The subscription percentage, Mr.

Hart said, exceeded the very satisfac­
tory response to a similar offer of
shares two years ago. During the
subscription period the price of the
bank’s stock continued to rise, going
from 6614 to a high of 62 V2.
The new issue of shares will add
$6,750,000 to the paid-up capital of the
Bank of Montreal, bringing it to $60,750,000, the highest for any Canadian
bank, while the rest account will be
increased by $14,850,000, to bring it
to $137,850,000.

Heads Executive Committee
Lewis A. Lapham, a member of
Bankers Trust Company’s board of di­
rectors and its executive committee
for the past nine
years, has been
named chairman
of the executive
committee, it was
a n n o u n c e d in
Ne w Y o r k last
mo n th by W i l ­
liam H. Moore,
chairman of the
board.
Mr. Lapham,
L. A. LAPHAM
w h o has b e e n
president of Grace Line Inc. since
1955, has resigned that position to de­

-V

vote full time to his new duties with
the bank.
At the same time, Howard M. Ros­
ter, Daniel M. Lucy, Edgar A. Man­
ning, Jr., and William E. Pelley, all
formerly assistant vice presidents,
were named vice presidents, it was an­
nounced by Mr. Moore.

■f

r

Reports Increased Net
James Talcott, Inc., one of the coun­
try’s oldest and largest independent
commercial financing and factoring or­
ganizations, reports that consolidated
net income in the first six months of
1959 reached $1,516,051, up 51 per cent
from the $1,004,008 reported for the
similar period last year, according to
R. R. Campbell, midwest vice presi­
dent of the company.
After provision for preferred divi­
dends, earnings equaled $1.49 per
share on the 950,507 shares of com­
mon stock outstanding, as compared
with $1.28 per share on the 706,966
shares outstanding in the first half of
1958.
James Talcott, chairman, and Her­
bert R. Silverman, president, said that
the 105-year-old firm’s volume of busi­
ness in the first half of 1959 amounted
to $495,717,000, compared with $384,835,000 for the same period a year ago.

+■

<

A

A

A

President

REPO RT O F T H E C O N D IT IO N

STANLEY W . EVANS
First V ice President

A t the C lose of Business June 10, 1959

W ILLIAM C. SCHENK
V ice President
JOHN S. HAVER
Asst. V ice Pres, and Cashier
Asst.

JAMES L. SMITH
Vice Pres, and Auditor
KINLEY W . SMITH
Asst. Cashier

V-

RESO U RCES
Loans and Discounts ......................................
United States Bonds and Notes
State, County and M u n icipal Bonds
Federal Reserve Bank Stock
Interest Earned, N o t C olle cted
Leasehold Improvements ...............
Furniture and Fixtures ...................................
Other Assets
......................................
Cash on H a n d and Due from Banks
.....

SI3,862,234.21
5,779,206.10
.. 2,249,130.07
45,000.00
164,561.81
32,749.79
60,953.90
8,358.46
7,128,592.24

BEN E. HOLTDORF
Asst. Cashier

$29,330,786.58
L IA B IL IT IE S
C a p ita l Stock ..................................................
Surplus .................................................
U nd ivided Profits ..... ............................ .
Total C a p ita l Accounts ..
Reserve for Interest, Taxes and Expenses
Interest Collected, N o t Earned
Deposits

EDWARD L. NEWELL
A sst. Cashier
MALCOLM H. ERICKSON
Assistant Cashier

JAMES J. M cG IL L
Assistant Cashier
R. K. DRAPER
Representative

<
$ 400,000.00

1,100,000.00
336,413.80
S 1,836,413.80
226,646.85
89,324.42
27,178,401.51

V

$29,330,786.58

r

:>

MEMBER

FEDERAL

DEPOSIT

INSURANCE

CORPORATION

>
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

59
3. If the survey is conducted, we
would desire a Size Group dis­
cussion at the Bank Manage­
ment Clinic.
Walter Pailing, president, ' Rapid
City National Bank, is chairman of
the committee.

South D akota

NEWS
A. BOYD KNOX

President

CARL E. BAHMEIER, JR.

Secretary

10 Junior Employees Graduate

Salem
Huron

G orden H. Maxam R ep orts:

Ten South Dakota bank employees
were awarded diplomas last month for
completing two sessions of the Junior
Employees School, sponsored by the
SDBA in cooperation with the Univer­
sity of South Dakota School of Busi­
ness. Eleven others completed their
freshman year.
Members of the instructional staff
opening events were aired on a halfincluded:
Ray Christianson, First Na­
hour program later in the week.
A.
N. Johnson, president of the tional Bank, Aberdeen; Byron Lopp,
bank, reports that the day of the public relations consultant, Denver;
broadcast was the bank’s 56th anni­ K. E. Raschke, assistant to the
president of the University; Walter
versary.
Willy, Security Bank, Madison, and
R. F. Patterson, dean of the school of
New Officers at Carthage
business.
At a recent meeting at the Farmers
Representing the bankers associa­
State Bank in Carthage, Mrs. D. P. tion were: Boyd Knox, Salem, presi­
Amsberry was named a director, D. dent; Carl Bahmeier, executive secre­
P. Amsberry was elected president of tary, and Russell Knudsen, Yankton,
the bank and W. L. Henden became chairman of the association.
vice president. M. B. Harmon is a
director and Dale Morstad, cashier.
New Quarters at Stickney
E. B. Patten, who has moved to
The Farmers State Bank of Stick­
Mankato, Minn., was president of this
ney opened for business in its new
bank for several years.
location last month. The new home
for the bank is a modem brick build­
Capital Increase at Howard
ing built in 1956 and is diagonally
Gorden H. Maxam, superintendent across the street from the old quar­
of banks, reports that an amendment ters.
was approved to the articles of incor­
Fred G. Bormann, president and
poration of the Miner County Bank of chairman of the board, received the
Howard at a recent meeting of the original charter for the bank in July
state banking commission.
of 1919 when the bank was organized
This increased the common capital at Beardsley, and has been active in
from $37,500 to $50,000.
its management since that time.
All new fixtures and an all-new in­
terior, plus a new vault, make this
SDBA Considering Analysis
Being considered by the bank man­ one of the modern banks of the area.
As this is the farmers’ busy time,
agement committee of the SDBA is a
survey of “Operation Cost Analysis.” open house will be held later.
To determine the amount of coopera­
Counties “ Over the Top'*
tion that can be expected, cards were
At the end of the half-way mark for
sent to South Dakota bankers recently
with these topics, one of which is to the year, Aurora and Potter Counties
be marked or checked by a bank offi­ are first in South Dakota to attain 100
cer, and returned to SDBA headquar­ per cent or more of their 1959 U. S.
Savings Bonds goal. F. R. Loevinger
ters in Huron:
and C. F. Stilgebouer head the Aurora
1. Our bank will cooperate in a
and Potter campaigns, respectively.
Cost Analysis Questionnaire.
Right behind them are McPherson,
2. Our bank is not interested in
Charles Mix and Maakon Counties.
this project.

S ta te H anks in G ood Shape
comparative abstract showing
T HE
the condition of South Dakota
state banks and trust companies at
the close of business June 10, as com­
piled by Gorden H. Maxam, superin­
tendent of banks, shows deposits in
state banks have increased $42,273,648
over the call of June 23, 1958, but are
$10,410,978 lower than of December 31,
1958, an all-time high.
Regular loans have increased $15,342,510 over June 23, 1958, and are
slightly more than that amount over
the December 31, 1958, figures. CCC
loans show an increase of $448,099
over June 23 a year ago, but are $12,057,806 under the December 31, 1958,
figure.
In connection with time deposits,
they show an increase of $13,173,325
over June 23, 1958, and are $5,580,211
over December 31, 1958. Total depos­
its show a reduction of $6,732,256 since
the last call on March 12, 1959, but
loans are higher. It is usual for de­
posits to decrease to some extent dur­
ing the first part of the year and build
back up in the fall of the year when
livestock and grain are marketed. The
report reflects a healthy condition in­
sofar as South Dakota state banks are
concerned.

“ First State Bank Week"
When remodeling of the First State
Bank of Roscoe was completed recent­
ly, the mayor of Roscoe proclaimed
the week “First State Bank Week”
and there was dancing. The dance
was sponsored by the bank and three
cash prizes were given. Also, about
40 bankers from the area and the
larger midwestern cities were enter­
tained at a dinner two days before the
dance. A radio broadcast of bank

THE NATIONAL BANK OF SOUTH DAKOTA
Huron

Sioux Falls
9th at Phillips ♦ Minnesota at 33rd

Member of Federal Deposit Insurance Corporation


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Federal Reserve Bank of St. Louis

Vermillion

Affiliated with F IR ST B A N K STOCK CORPORATION
N o r t h w e s t e r n Banker, A u g u s t ,

1959

South Dakota News

60

S io u x F u l l s
J OHN E. GRIFFITH, president of

Lewis Drugstores and a director
of the Northwest Security National
Bank, was appointed to the education
committee of the United States Cham­
ber of Commerce for 1959-60. The ap­
pointment was made by Erwin I).
Can ham, president of the national or­
ganization. The committee analyzes
problems facing education and advises
the Chamber on policies and programs
to improve business-education rela­
tions.
=t=

>K

¡(s

Sioux Falls Chapter, American In­
stitute of Banking, was represented at
the group’s midwest regional confer­
ence in Lincoln, Neb., by Richard
Munce and Martha Voss, Northwest
Security National Bank, and Conrad
Otter ness, South Branch, National
Bank of South Dakota.
*

*

*

Joyce L. Nordstrom, an employee

of the Northwest Security National
Bank, died in a local hospital at the
age of 21. She had been hospitalized
since June 27.
*

*

*

The case of the proposed Stock
Yards Bank for Sioux Falls has been
taken to the South Dakota Supreme
Court. The State Banking Commis­
sion filed an appeal with the high tri­
bunal from Circuit Judge Roy D.
Burns’ judgment remanding the peti­
tion to the commission for further
consideration. Gordon Maxam, state
banking superintendent, said the com­
mission felt it had given due consider-

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E. Brewick, P. L. Mader, John P. MeQuillen and R. W. Douglass. They

appealed the commission’s ruling to
the courts, and Judge Burns remanded
it to the commission May 28 of this
year.—End.

Group Meeting Dates
Group meetings dates of the South
Dakota Bankers Association have
been scheduled and they are:
November 9 .............. Rapid City
November 10 ..................Mobridge
November 11 ...................... Huron
November 12 ............ Sioux Falls
November 1 3 ............... Watertown

an d S h r e d d e r s

P ro m p t S e r v ic e O n A ll M a k e s C h e c k
C a n c e llin g P e r fo r a t o r s
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

k

Gamble’ s Sales Are Up
Sales for Gamble-Skogmo, Inc., Min­
neapolis-based retailing and wholesal­
ing firm, for the month of June were
the highest sales for any month in the
company’s 34-year history.
The firm reported consolidated net
sales for the month of June, 1959,
were $14,425,884 against sales of $9,766,317 for June of 1958, an increase
of 47.7 per cent over last year.
Consolidated net sales for the first
six months of 1959 were $66,445,007
against sales of $53,126,416 for the
same period a year ago, an increase
of 25.1 percent.
Gambl e-Skogmo and subsidiaries
consists of 370 company-owned and op­
erated stores and 1,921 authorized
dealers, or a total of 2,291 outlets.
This compares with 324 companyowned units and 1,837 authorized deal­
ers, totaling 2,161 in 1958.

-A

e

A

A

Bowdle Couple Honored
Mr. and Mrs. Henry C. Gross recent­
ly celebrated their golden wedding an­
niversary when more than 300 friends
and relatives honored them with a
reception at the Bowdle Legion Hall,
Bowdle, S. D. Mr. Gross is president
of the Bowdle State Bank.
The Gross’ four children and fam­
ilies were on hand to make the ar­
rangements and Mr. Gross reports
that “it was a huge success.”

Madison Capital Increase
An increase in the capital stock
from $100,000 to $200,000 and has been
approved by stockholders of the Secu­
rity Bank of Madison. This will be
accomplished by selling 1,000 shares
for $100 per share to present stock­
holders on the basis of their present
holdings.
It is planned also to raise the sur­
plus account from $237,500 to $300,000,
thus capital and surplus will be $500,000, providing a ratio of $1 of capital
for each $10 of deposits.

Moves to Mobridge Bank

F a st —

F R EE T R I A L !

ation in 1956 when it rejected the ap­
plication for the new bank. The com­
missioners said Sioux Falls already
has more banks per capita than most
cities. The petition for a new bank
was filed by H. D. McKinnon, Emmet

Arthur J. Peterson, 35, staff mem­
ber at the Deuel County National
Bank of Clear Lake the past 10 years,
has joined the staff of the Citizens
Bank of Mobridge.

Carthage Change
D. P. Amsberry, formerly vice presi­
dent, has been elected president of the
Farmers State Bank, Carthage, suc­
ceeding E. B. Patten, who has moved
to Mankato.
W. L. Henden, assistant cashier,
was promoted to vice president and
Dale Morstad remained as cashier.
Mrs. Amsberry and M. B. Harmon
were elected new directors.

Minneapolis-Moline Changes
Arthur E. Smith, manager of mar­
keting services at Minneapolis-Moline,
has been promoted to the newly estab­
lished position of merchandising man­
ager of the marketing division, Matt
Carroll, vice president-marketing, has
announced.
Mr. Smith has named John Ransom,
product manager, to the position of
advertising and sales promotion man­
ager.

A

Nutrena Sets Sales Record
An all-time record for sales during
a single year has been announced by
Nutrena Mills, Inc., Minneapolis, mid­
west livestock and poultry feed manu­
facturing subsidiary of Cargill, Incor­
porated.
The record, set during Nutrena’s
crop year ending May 31, saw sales
top those of 1957-58 by 23.8 per cent,
according to Ralph V. Grier, general
sales manager, who credited the in­
crease to the introduction of new live­
stock and poultry production systems,
increasing use of bulk feeds and in­
tensified sales programs.
Nutrena operates 14 mills and dis­
tributes a full line of feeds in 26 midwestern and southern states.

V

X

Elected to Board
Herman H. Pevler, president of the
Wabash Railroad, was elected a direc­
tor of First National Bank in St.
Louis, at a meeting of the bank’s
board last month, according to Wil­
liam A. McDonnell, chairman of the
board.
Mr. Pevler assumed the presidency
of the Wabash Railroad on July 1, suc­
ceeding Arthur K. Atkinson, who be­
came chairman of the board.

r

61

Upper Midwest Ag Officers
At the recent Upper Midwest Agri­
cultural Council’s annual conference,
held recently in Fargo, new officers
were named for 1959-60.

N orth D akota

NEWS
ALF G ARN AAS

President

Sheyenne

C. C. W ATTAM

Secretary

Fargo

C ondition o f S ta te B a n k s
RECENTLY published abstract of
A report
of the condition of North

Dakota State Banks, dated June 10,
1959, reveals these figures:

Total Deposits June 23, 1958 (State Banks)..................................... $263,644,090.79
Total Deposits June 10, 1959 (State Banks)..................................... 293,589,678.57
Increase in Deposits June 23, 1958 to June 10, 1959 (State Banks). 29,945,587.78
Total Deposits June 23, 1958 (A11 Banks)......................................... 696,685,556.38
Total Deposits June 10, 1959 (All Banks)......................................... 758,274,238.84
Increase in Deposits June 23, 1958 to June 10, 1959 (A11 Banks).. 61,588,682.46
Total Reserve Available June 10, 1959 (State Banks)..................... 36,168,395.18
Total Reserve Required June 10, 1959 (State Banks)..................... 29,358,967.86
Excess Reserve June 10, 1959 (State Banks)....................................
6,809,427.32

Devils Lake Opening
The all-new $200,000 Ramsey Na­
tional Bank, Devils Lake, was opened
to the public last month and a grand
opening was highlighted by guided
tours, attendance prizes, souvenirs and
refreshments.
The evening before the two-day pub­
lic open house, a special showing was
staged for bankers attending the
Northeast District Workshop, spon­
sored at Devils Lake by the North
Dakota Bankers Association.
Fred C. Hoghaug is president of the
bank and was pleased at the turnout
during the bank’s opening celebra­
tions.

sources the past five years, announces
Harry P. Simpson, president. This
growth has made necessary the pur­
chase of additional land to be used as
a building site.

They are: Phil R. Sanquist, vice
president, Security Bank & Trust
Company, Bozeman, Mont., president;
Lawrence Lamberty, farm representa­
tive, Northwestern National Bank,
Rochester, Minn., vice president, and
Maynard Lawrence, farm representa­
tive, First National Bank, Willmar,
Minn.

Receives Increase Approval
The McVille State Bank, McVille,
N. D., has received approval of its
planned capital stock increase from
$25,000 to $50,000.

Remodeling at Finley
The ceiling of the Citizens State
Bank, Finley, N. D., is being lowered
and the interior of the bank is being
remodeled. L. A. Sayer is president
of the bank.

O pen H ou se a t C a sselton

Grafton A.I.B. Officers
Harvey Momerak, assistant cashier,
Walsh County Bank, Grafton, was re­
cently elected president of the Grafton
Chapter of A.I.B. Other officers are:
Lyle Johnson, assistant cashier, The
Grafton National Bank, vice president;
Carol Ganyo, secretary, and Betty
Vatnsdal, treasurer.

Fed Reserve Officers to Minot
Directors of the Minneapolis Fed­
eral Reserve Bank met last month in
Minot, N. D., for their “out-oLthestate” meeting. A luncheon was held
at Riverside Lodge so Minot bankers
and businessmen could visit with the
Minneapolis bankers.

Minot Federal Progress
The recent statement of the Minot
Federal Savings and Loan Association
reports assets of $31,416,495 and that
recent dividends paid were $385,000.
Minot Federal has doubled its total re­

PROJECTED ALUMINUM grillage enabled the Casselton State Bank’s architects to
screen the original top half of the structure in an effective, practical manner. The
lower half of the building is encased in aqua ceramic tile. The patron’s entryway
features a vaulted, cantilevered canopy; and the identification of the structure was
accomplished through the use of cast-aluminum script, covered with baked, persimmoncolored enamel.

Casselton State Bank, Cassel­
THE
ton, held open house last month to

mark the grand opening of its recently
enlarged and modernized banking
quarters.
Visitors registered for more than 20
prizes and toured the bank. Refresh­
ments were provided and guests found
the “Open the Safe” contest a high­
light of the event. A $100 prize was
given the lucky safe opener.

Richard T. Carley, president of the
bank, pointed out an 80-foot mural
which depicts local color and form
with individual sections showing farm­
ing, commercial, urban and industrial
areas.
New “customer corners” or lounges,
employees’ lounge, and new fixtures
and conveniences supplement the new
Diebold safe in making this a com­
pletely new bank inside and out.
N o r t h w e s t e r n Banke r, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

62

F irst

M nternntionul O pening

Kansas City, Mo., resigned July 31 to
establish a ready-to-wear business in
Sarasota, Fla., together with his wife.
Both Mr. and Mrs. Williams have had
considerable business experience in
the ready-to-wear field. Construction
is now under way on the new build­
ing in Sarasota to house this new en­
terprise.
Mr. Williams is the son of Joseph
C. Williams, honorary chairman of
Commerce Trust Company.

y,

Plan Capital Increase
First International Bank of
THE
Watford City moved into its new

quarters recently and an open house
was held after officers, personnel and
equipment were settled.
The new structure, across the street
from the old building, features all of
the latest in bank conveniences and
equipment and is a credit to -the com­
munity it serves. Odin N. Stenehjem,
with the bank since its start in 1910,
is president of the bank.
Highlights of the open house, ac­
cording to Lee M. Stenehjem, execu­
tive vice president of the bank, and
past president of the North Dakota

Shareholders of the First National
Bank of Phoenix, Ariz., in a special
meeting recently approved a plan recommended by the directors to in­
crease the capital of the bank by
means of a 5 per cent stock dividend
and the offering for sale to shareholders of 48,300 new shares at $35 per
share, according to Sherman Hazeltine, board chairman.

Bankers Association, include: Wat­
ford High School Band played for the
grand opening; E. N. Bjornstad of
Arnegard, 95 years old, made the first
deposit at the new drive-in window
(he was one of the first depositors in
1910); refreshments and souvenirs.
Featured in the bank, which serves
a wide area in western North Dakota,
are Diebold vaults and safe deposit
boxes.

A

^

The new issue was to be offered on
the basis of one new share for each
20 shares held.
AVith the sale of the new shares,
capital funds of -the bank will be in
excess of $23,000,000 with 1,014,300
shares of stock outstanding.

Resigns From Commerce Trust
Roberts S. Williams, assistant cash­
ier of Commerce Trust Company,

A

A

A

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whether it’s here in the Rocky Mountain

V

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>

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we’ll get you tickets for any event. .. or for
your first trip to M a r s . Just call on us.
V

Yo u ’ll find we are different.
Your Denver Correspondent
"Check with Central” . .

TH E C E N T R A L .

BANK

A

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>

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M e m b e r : F e d e r a l D e p o s it In s u r a n c e C o r p o r a t i o n

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

•

F e d e r a l R e s e r v e S y st e m

r

63

4'olorailo-W voiii iti» \ e w s
T. D. BROWN, Sterling
President
Colorado Bankers Assn.

New7Bank at Cody

JACK DEVEREAUX, New Castle
President
Wyoming Bankers Assn.

F e d H a n k ers M e e t in
monetary and banking
LEADING
authorities gathered in Denver

last month for the annual joint board
meeting of the Federal Reserve Bank
of Kansas City and its Denver branch.
Heading the list of guests were: W il­
liam McChesney Martin, Jr., chairman,
board of governors, Federal Reserve
System; Charles N. Shepardson, mem­
ber, board of governors, and Ray M.
.c Gidney, comptroller of the currency.
President H. G. Leedy reported on
the Kansas City Fed’s activities, while
Clarence W. Tow, vice president, and
Ray J. Doll, agricultural economist,
commented on economic conditions in
the Tenth Federal Reserve District.
Another Federal Reserve Bank presi­
dent, Karl R. Bopp of Philadelphia,
discussed financial and economic ac­
tivities.
Other officers from the Kansas City
Fed included H. O. Koppang, first vice
president; D. W. Woolley, vice presi­
dent, and George Clay, vice president
and general counsel. Denver branch
officers attending included Cecil Puck­
ett, vice president in charge of the
branch, and H. L. Stempel, cashier.
The two boards had a joint meet­
ing. Raymond W. Hall, partner in
the Kansas City law firm of Hillix,
^ Hall, Hasburgh, Brown and Hoffhaus,
is chairman of the Kansas City board,
and Aksel Nielsen, president of The
Title Guaranty Company of Denver, is
chairman of the branch board.
>
Denver bankers and officers of the
Colorado Bankers Association were
guests of the Kansas City Fed at a
luncheon following the board meet« ing.
Following a custom of many years,
members of the group were guests
that evening of John Evans, president
Y of the First National Bank of Denver,
for dinner and the opera at Central
City.

C_ New Trust Officer
Larry E. Scott has been appointed
trust officer of the Greeley National
Bank, Greeley, according to A. H.

have been elected to the board of the
First National Bank of Laramie, in­
creasing the membership of the board
from five to seven.

Trautwein, president. Mr. Scott pre­
viously was associated with First Na­
tional Bank of Denver in the new
business development division. He is
a member of the Colorado, Denver
and South Dakota Bar Associations.

Heads Loan Department
Douglas W. Caldwell, vice president,
has been elected to the board of the
First National Bank, Pueblo, and has
been named to head that bank’s com­
mercial loan department.

Loveland Changes
H. Keith Richards, assistant cashier,
has been promoted to cashier of The
Home State Bank, Loveland. Vern
Manahan, formerly vice president and
cashier, is continuing with the bank
as vice president only. Don Benson,
in the installment loan department of
the First National Bank in Loveland
since 1956, has joined The Home State,
succeeding Mr. Richards as assistant
cashier.

W y o m in g
Two New Directors
Frank King, Laramie businessman,
and John A. Stevenson, Wyoming
rancher, state senator and legislator,

The First State Bank of Cody, re­
cently chartered, opened for business
last month. The bank is capitalized
at $400,000.
This is the first new state bank to
open in Wyoming for nearly a genera­
tion, with the exception of the First
State Bank of Laramie which was ac­
tually the moving of a bank from
Hanna to Laramie.
Officers of the new Cody bank are:
W. F. Messenger, president; Melvin
C. McGee, vice president; Warren T.
Cowgill, cashier, and Ernest T. Goppert, Jr., secretary. Directors are
Jerry W. Housel, chairman; John S.
Bereman, Joseph A. Gautsch, Warren
B. McCall and John J. Winninger in
addition to the named officers.
The new bank will occupy quarters
now used by the First State Corpora­
tion.

New Loan Plan
R. J. Hofmann, president, American
National Bank, Cheyenne, announced
last month that Ameri-Matic, a re­
volving loan account with personal
check privileges, has been inaugu­
rated by the bank.
Loan amounts run from $200 to
$1,200 with monthly payment from
$15 to $100.

Charter Denied
An application for a charter to form
another bank in Powell was denied
last month by the Wyoming depart­
ment of banking. The denial stated
“another bank in Powell was not war­
ranted at this time.” A group of
Powell citizens had made the applica­
tion about one year ago.

D an k A ira rd ed C h a rter
HE Colorado Bank Commission re­
T
cently issued a charter to the
Evergreen State Bank, Evergreen. It
will be the first bank to serve the
mountain resort community which
now has a population of 4,870.
Capital structure of the new bank
totals $100,000. Directors are Jack P.
Rouse, Evergreen, manager of the Col­
orado Central Power Company; Leo
N. Bradley, Golden, lawyer; Frank H.
Devitt, Denver i n s u r an c e agent;
Charles V. Glover, New Mexico bank­
er, and John D. Casey, Evergreen real
estate dealer.
The commission also took under ad-

visement a new petition to charter
the proposed Southwest State Bank in
Denver. Proposed capital of this bank
is $350,000. Sponsors of the bank say
they wish to specialize in drive-in
banking. The charter previously had
been rejected but this decision was re­
versed in the courts and -the banking
board ordered to reconsider.
Officers of the proposed Southwest
State Bank are Oswald F. Benwell,
retired Denver investment broker,
president; Frank W. Beiser, Colorado
state investments officer, executive
vice president, and James A. Savage,
r et i re d Denver investment broker,
chairman of the board.
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

64

W .B
. . C om m ittee C hairm en
.lt.A
following committee chairmen
T HE
have been appointed by the execu­

tive council of the Wyoming Bankers
Association to serve for the next year:
Agricultural — Merl Case, cashier,
First National Bank, Kemmerer.
Auditors and Comptrollers — L. N.
Chase, cashier, Stock Growers Bank,
Wheatland.
Credit School—D. D. Giddings, vice
president, First National Bank of Cas­
per.
Emergency Operations — John W.

France, president, Rawlins National
Bank, Rawlins.
Installment Loan — Orval E. Little,
assistant vice president, Wyoming Na­
tional Bank, Casper.
Legislative — Carl Robinson, vice
president and cashier, Star Valley
State Bank, Afton.

New Cheyenne Bank
Federal approval has been granted
for a third national bank in Chey­
enne. The new bank will be known

IN D E N V E R

Fir st
IS FIRST

as the Cheyenne National Bank and
have a capital structure of $600,000.
Organizers of the new bank are Car­
lin Smith, Cheyenne businessman;
John Pattno, Cheyenne attorney; Governor J. J. Hickey; Dr. K. L. McShane,
Cheyenne physician and surgeon; C.
D. Reisner, manager of the Cheyenne
J. C. Penney Company store; Sol Bern­
stein, Cheyenne businessman; George
Forges, president, Bank of Laramie;
Walter B. Phalen, Cheyenne attorney,
and Teno Rancalio, Cheyenne attor­
ney.
Cheyenne’s existing banks are the
American National and the Stock
Growers National. The American Na­
tional is constructing a new multistory building, and there is a possi­
bility the new bank will move into the
present American National building
when construction is complete.

f

Cody Changes
The following personnel changes
have been made at the Shoshone-First
National Bank, Cody:
^
Wesley J. Timing resigned as cash­
ier to enter private business; Kenneth
L. Miller, former assistant cashier,
moved up to cashier; Marjorie Hub- a ,
bard, former teller, moved to assistant
cashier, and Harold Winterholler, for­
merly of Worland, joined the bank as
a teller.

Glacier NABAC Meeting

FO R O U T S T A N D I N G
CORRESPONDENT
B A N K I N G S E R V IC E

Forrest C. Hedger, vice president,
Great Falls National Bank, told bank­
ers about “Bank Emergency Prepared- ’A
ness Program in Montana” at the Gla­
cier Conference of the N.A.B.A.C. re­
cently.
“Get Paid for Your Services” was
V
presented by Earl Johnson, assistant
cashier, First National Bank of Lewistown, and Ken Cooley, assistant cash­
ier, Northwestern Bank, Lewistown.
Luncheon speaker was R. L. Sam- ^
son, vice president, Union Bank and
Trust Company, Helena, with “ Trends
in Installment Lending.”
John B. Bell, president, The Title
Insurance Company, and Sherman V.
Lohn, partner, Garlington, Lohn &
Robinson, Missoula attorneys, pre­
sented facts of interest to bankers and s
Mr. Johnson of Lewistown again took
the stand to discuss “What’s Your
Problem?”

Post-Tronics Installed

T he First National Bank

OF DENVER

consolidated with The International Trust Company
MEMBER F ED ER A L D E P O SIT IN SU R A N C E CORP.

p ro v id in g outstan d in g b a n k in g service sin c e 1860!
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

The First National Bank & Trust
Company, Helena, has installed three
new electronic bookkeeping machines
for its checking account department.
The “ Post-Tronic” machines replace
eight conventional machines, accord­
ing to Fred Heinecke, president.

65
a vacancy created by the death of
Chester H. Steele.

M ontana

T. J. Wagener

NEWS
C-

C. M. JONES
R. C. W ALLACE

President
Secretary

Miles City
Helena

Whitefish Change
<

,

Harlan Evans, formerly assistant
vice president, First National Bank,
Kalispell, has been named excutive
vice president of the First National
Bank, Whitefish.

Anaconda Director
W. A. Emanuel, manager of the An­
aconda Reduction Company, has been
A named a director of the Daly Bank
and Trust Company, Anaconda, ac­
cording to Lowry Kunkel, executive
vice president.
Mr. Emanuel succeeds David R. Nel­
son who resigned when transferred to
New York City.

ant cashier in charge of the real estate
loan department.
Mr. Mohl comes to the Miles City
Bank after three years at the Citizens
Bank of St. Francis. Prior to that
time he was an examiner for the
Comptroller of the Currency in the
midwest.

T. J. Wagener, 65, vice president,
First National Bank, Glasgow, died re­
cently as a result of a heart ailment.
Mr. Wegener became vice president
of the Glasgow bank last January aft­
er retiring as president of the First
Park Bank, Livingston. He was a
director of both banks.

H. C. Groff
H. C. Groff, president, Farmers State
Bank, Victor, died recently. Funeral
services were to be held in Victor.

Capital Increase

Capital stock of the Great Falls Na­
C.
A. “ Pat” Callan has resigned as tional Bank, Great Falls, has been in­
cashier of the Toole County State creased from $700,000 to $800,000 by a
Bank, Shelby, to devote his time to stock dividend. Number of shares out­
the acquisition of another bank. A. E. standing is 8,000.
Anderson, presently assistant cashier,
will succeed Mr. Callan.
Wibaux Promotion
Ronald T. “ Cup” Quade has been
promoted to cashier of the First Na­
New Bntte Director
Miles City Changes
Edward I. Renouard, vice president tional Bank, Wibaux, succeeding R. C.
E.
H. Mohl, St. Francis, Kan., has in charge of western operations of the Thrams who resigned to go into pri­
been named cashier of the Miles City Anaconda Com pany, recently was vate b u sin e ss in White Surphur
Bank and Ray Grant, Custer county’s named a director of the Metals Bank Springs. Mr. Quade had been assist­
state senator, has been named assist­ and Trust Company, Butte. He fills ant cashier at the First National.

Union

Cashier Resigns

H ank ét T ru st

ONE OF THE LARGEST murals in any bank any place is part
o f the main banking room at the new Union Bank and Trust
Company building in Helena. The 70-foot long and 5-foot 4-inch
high mural was created by A. Rudy Autio. About one-third of
7

the 9,000-pound art object is shown above. The mural depicts
typical scenes from early gold mining camps in western M on­
tana. It is composed o f more than 500 individual ceramic
tiles.

HE Union Bank and Trust Com­
pany, Helena, moved into its new
quarters last month, the largest strucure to be built on Helena’s main street
in a generation.
Located at the corner of Last
Chance Gulch and Lawrence Street,
the new building consists of three
stories, each with more than 10,000
square feet of floor space. The bank
occupies the basement and the first
two floors with the top floor rented
for office space.
Started over a year ago, the new
home for the Union Bank features
three drive-up teller windows, parking
RECENTLY COMPLETED new building
for 20 customers, a music system for of the Union Bank and Trust Company,
low-level background music, the huge Helena.

T

H o ld s O pening

mural shown above, a $100,000 gold
collection, a heated sidewalk, a fivefoot weatherball, and a unique clock
with separate dials to indicate hours,
minutes and seconds, in addition to
some of the most modern banking fa­
cilities available.
The main floor houses the teller
stations, commercial department and
bank loan department. The lower
level houses the safe deposit sections,
an employee lounge and meeting
room, boiler room, storage rooms and
employee locker rooms. On the sec­
ond floor is the trust department, real
estate loan department, bookkeeping
department and directors’ room.
Open house was held July 25 and 26.
N o r t h w e s t e r n Banker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

66

V

Jk.

Í-

W
W
W

1

The sun was still high when
this correspondent loan was set
It was late morning when our telephone operator at the
U . S. National took the call. One of our correspondent
bankers in western Iowa was telephoning. Could we join
him in making a large loan to a manufacturer of grain
bins? Tw o of our officers jumped in a car and arrived in
the banker’s community that afternoon. They talked with
the banker and the manufacturer and settled the loan on
the spot. Elapsed time from the banker’s telephone call
to completed transaction: 4 hours.

X

s

You 'll like doing business with U . S. N a tio n a l B an k . A n effic ien t team
offers complete correspondent service — with immediate attention to your
requests. Fast service to fill your needs. Just call ATlantic 8 7 6 5 , Omaha.

>
M em ber Federal Deposit Insurance Corporation

Northwestern

Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

r

67
Give 4-H Magazine
Wm. F. Wenke, president, Pender
State Bank, and Paul Langenberg,
cashier, First National Bank, Walthill,
again this year purchased subscrip­
tions to the National 4-H News for
each 4-H Club family in Thurston
County.

N eb rask a

NEWS
HAROLD E. ROE

President

H ARRIS V. OSTERBERG

Secretary

Bennington

Joins Fremont Bank

Omaha

Plan New Drive-In Facility
Scottsbluff National Bank, Scotts­
bluff, has announced plans for a drivein teller facility and parking lot at
First Avenue and Seventeenth Street
in Scottsbluff.
H. D. Kosman, president, estimated
cost of the one-story building at $40,000. This will be one of the first
detached drive-in facilities in Nebras­
ka. The construction of this type of
facility was made possible by passage
of a new state law during the past
legislative session.

Honor J. I). Stocker
John D. Stocker, president, Otoe
County National Bank, Nebraska City,
recently was presented a gold watch
from employees and directors of the
bank in observance of his 40th anni­
versary as a banker.

80th Anniversary
The First National Bank, Stanton,
observed its 80th anniversary last
month. The bank was opened for the
first time on July 2, 1879.

Elected Trustee
S. N. Wolbach, president, First Na­
tional Bank, Grand Island, recently
was elected a trustee of the Nebraska
Independent College Foundation. The
foundation embraces seven church-re­
lated, non-tax-supported colleges in
Nebraska.

Kearney Changes
Wayne R. McKinney, formerly vice
president, was elected executive vice
president of the Platte Valley State
Bank, Kearney, at the semi-annual
meeting of directors last month.

Bond Sales Up
The sale of $6,110,016 in E and H
U. S. Savings Bonds during June
pushed total sales in Nebraska to $58,245,753 for the first six months of the
year. This is 62.2 per cent of the
quota.

New Hours Given
New hours for the Farmers State
Bank, Millard, are from 9 a.m. to 3
p.m. Monday through Thursday, from
9 a.m. to 6:30 p.m. on Friday, and

closed all day Saturday, according to
an announcement by Grove Nelson,
vice president and cashier.

Hugh Hansen, who recently re­
signed as superintendent of the Ma­
sonic-Eastern Star Children’s Home in
Fremont, has joined the staff of the
First National Bank, Fremont, accord­
ing to Francis R. Orshek, president.

Remodeling Planned
The Gering National Bank, Gering,
has purchased the former Neeley
Drug building which adjoins the bank
and plans extensive remodeling. Dale
Sorensen, president, reported that the
fronts of the two buildings will be
“matched up” and several changes
made to better accommodate bank cus­
tomers.

Retirement Announced
L. Rowe Gillett, chairman of the
board, National Bank of Norfolk, re­
tired recently from active participa­
tion in the management of the bank
after 41 years of banking, 20 of which
had been as president of the Norfolk
bank. He will reside in Norfolk and
remain chairman of the board. Henry
Reynolds is now president.

Speakers Revealed
Dr. Earl L. Butz, dean of agricul­
ture, Purdue University, and Dr. Ten­
nyson Guyer, Ohio’s “Ambassador of
Good Will,” have been named as two
featured speakers for the annual con­
vention of the Nebraska Bankers Asso­
ciation which opens October 11.
Dr. Guyer will speak at the annual
banquet October 11 and Dr. Butz is
scheduled to speak Monday morning,
October 12.

3 6 Plan Schooling
It has been announced that 36 Ne­
braska bankers will attend the Wisconson School of Banking in Madison,
August 16 to 29. A freshman class
of 12 and a graduating class of 16 is
included in that number.

Completion Nears
Completion of construction on the
Fremont National Bank’s new annex
is scheduled for late September, ac­
cording to Thomas Milliken, vice pres­
ident.
The bank is expanding into a build­
ing adjacent to the present bank build­
ing. Remodeling of the interior and
placing bedford stone on the exterior
is included in the project.

Heads David City Bank
Paul Kosch, with the First National
Bank of David City the past 26 years,
most recently as vice president, has
been elected president of that bank.
He succeeds V.
E. Dolpher, presi­
dent of the bank
for 23 years, re­
signed as a step
toward r e t i r e ­
m e n t . Chairman
of the board, he
pl ans to r et i re
from that po s ition the first of
next year.
P. KOSCH
Clyde Jones, in
banking since 1912 and who has been
at the bank since 1934, moves from
assistant cashier to vice president, and
Lee Snell, who came to the First Na­
tional in 1949 from the Omaha First
National, becomes cashier.

Elected at Wahoo
Fred W. Wagner, president, Farm­
ers State Bank, Ithaca, Neb., has been
elected vice president of the First Na­
tional Bank at Wahoo, succeeding the
late Dr. R. F. McCreery. He will be in
charge of the bank’s farm service de­
velopment program.
Mr. Wagner has been with the bank
at Ithaca since 1925 and its managing
officer since 1934. Active in ag work
in Saunders County, he was secretary,
Saunders County Soil and Water Con­
servation District from 1946 to 1959.
Also, he is county U. S. Savings Bond
chairman.
Mr. Wagner will retain his position
with the Ithaca bank, but Marie Basel,
vice president, will be in charge of its
operations.

Parking Lot Planned
J. Y. Castle, president, McDonald
State Bank, confirmed last month that
the bank is interested in buying a city
parking lot as a possible site for a
drive-in bank facility. No formal ac­
tion has been taken.
N o r t h w e s t e r n Ba nker, A u g u s t ,


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Federal Reserve Bank of St. Louis

1959

68

HREE promotions at The Center
Bank were announced last month
by W. B. Hargleroad, Jr.
Milton B. Coffey, manager of the
mortgage loan department, was elect­
ed vice president; Marvin H. Frey,
manager of the installment loan de­
partment, was elected assistant vice
president, and Therese M. Wees was
elected assistant cashier.

T

*

=t=

Ernest T. Tanner, vice president of

the First National Bank of Omaha,
has been appointed president of the
Ad-Sell League of Omaha.
=t= * *
C. E. “Brick” Paulson, assistant
cashier at the First National Bank of
Omaha, graduated from the school of
financial public relations at North­
western University at Evanston, Illi­
nois. The two-year course was a twoweek course each year.
=)= *
Mrs. Helene Lesak, paying teller at
the Packers National Bank of Omaha,

was recently named to the national
board of the A.I.B. and attended the
organization’s national convention at
Philadelphia.
* * *
Dan Dworak, assistant cashier and
auditor at the Packers National Bank
of Omaha, graduated from auditors’
school at the University of Wisconsin.
The auditing course covers a fouryear period.
* * *
J. M. Hart, Jr., vice president of the
North Side Bank of Omaha, attended
the school of banking at the Univer­
sity of Wisconsin sponsored by the
Central States Conference of Banking
Associations.
* * *
Omaha city officials have indicated
they probably will have to borrow
$400 thousand from banks this fall
for special assessment financing. City
Finance Director Edwin J. HeAvitt
made the announcement. Money ob­
tained in this way will be paid to

Municipal and Corporate Bonds
Listed Stocks
Unlisted and Local Stocks

contractors who perform the work on
residential street projects. Special as­
sessments against the property own­
ers in the improvement districts then
will replenish the fund. Last year y
the city government borrowed $300
thousand from banks.
* * *
Employment reached a new all-time
r
high in Omaha with 181,500 jobs. The
figure was released by the Nebraska
Division of Employment Security. In
terms of payroll dollars, the increase
over last year at this time equals at A
least a half million dollars. Unem­
ployment has reached its lowest point
since 1956 in Omaha and Council
Bluffs.
y
* * *
Arthur R. Larsen, cashier, has been
promoted to assistant vice president,
and Don Prohaska, assistant cashier,
was named cashier of the Stock Yards ^
National Bank, according to A. J. Hallas, president.

A. R. LARSEN

D. PROHASKA

Mr. Larsen has been associated with
the bank since 1928. Mr. Prohaska
joined the bank in 1931. From 1936
to 1954, when he rejoined the Stock
Yards National, he was employed by
an Omaha commission firm and served
in the army.
* * *
Omaha’s 10 commercial banks have
increased interest rates on savings ac­
counts from 2.5 per cent to 3 per cent.
The increase is retroactive to July 1.

j.

'*■

x

— End.

Iran Bankers Visit
ORDERS EXECUTED ON ALL PRINCIPAL EXCHANGES

C H I L E S - S C H U T Z CO.
OMAHA, NEBRASKA
412 Farm Credit Building
Phone WEbster 6677

LINCOLN, NEBRASKA
203 Stuart Building
Phone 2-3325

W ARREN D. CHILES
JOHN C. SCHUTZ
ELDRIDGE B. SCURR
JOHN J. BOHRER
DONALD A. ANDERSON

W. WESLEY RADCL1EFE

LEXINGTON, NEBRASKA
Phone FAirview 4-3766
ROBERT McGUIRE

The First State Bank of Gothenburg
was host from June 29 through July
3 to a group of men who hold key
positions in the Agricultural Bank of
Iran.
During their stay they visited various farms to observe how credit has
affected farming operations. They
studied farm credit operations at the
bank also.

N o r t h w e s t e r n Banker, A u g u s t ,

1959

\

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BANKS a
Bn°dUSG
0H
LDT
A ll N egotiations Confidential
A N A T IO N A L C L E A R IN G H O U S E
F O R E X P E R IE N C E D B A N K E X E C U T IV E S
W IT H C A P IT A L T O IN V E S T

B a n k e r s S ervice C o m p a n y !
I B O X 143 5


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

v

»

D E S M O I N E S 5, I O W A

»

PHONE AT l-7 « 0 0 j

V

69

The

O m a h a N ational
Bank
D IR E C TO R S
E. JO H N

B R A N D E IS

President
J. L. Brandéis & Sons, Inc.
W . DALE

Statement of Condition

CLARK

Chairman
W IL L IA M

J. C O A D

Chairman of the Board
Ramo Investment Company
(Formerly Omar Incorporated)
A. W . GORDON

June 10, 1959

Chairman o f the Board
Omaha Loan & Building
Association
KENNETH

C. H O L L A N D

President
Carpenter Paper Company
W IL L A R D

LEONARD

E. H U R TZ

Honorary Chairman of the Board
Fairmont Foods Co.

L. L A N D E N

President
Securities Acceptance Corporation
W IL L IA M

1,239,509.88

Stock in Federal Reserve Bank--------------------------

K IE W IT

President and Treasurer
P eter Kiewit Sons’, Inc.
CLARENCE

Bonds of United States and
Government A g e n cie s--------$41,952,911.88

Corporation B o n d s----------------

C. K A R P F

Vice Chairman
PETER

Securities

State and Municipal Bonds---- 20,244,274.80

R. J IR D O N

Livestock and Grain
Morrill, Nebraska
HENRY

Cash and Due from Banks---------------------------------$ 79,551,028.41

D. H O SF O R D , JR.

Vice Pres, and General Mgr.
John Deere Company, Omaha

JOH N

R E SO U R C ES

D. L A N E

Omaha, Nebraska
L O U IS F . L O N G

480,000.00

Loans and Discounts------------------------------------------- 124,150,945.02
Bank Building and Fixtures-------------------------------

1,097,088.98

Other Real Estate----------------------------------------------

1.00

Other Resources ______________________________

1,483,228.50

President
The Cudahy Packing Co.

HOWARD

63,436,696.56

$270,198,988.47

M. LU N D G R EN

President
Woodmen of the World Life
Insurance Society
LLOYD

H. M ATTSON

LIAB IL IT IES

President
Industrial Chemical
Laboratories, Inc.
W.

Capital Funds

B. M I L L A R D , J R .

Capital Stock _______________$ 6,000,000.00
(300,000 Shares Par Value $20.00)

President
D A N IE L

J. M O N E N

Senior Vice President
V . J. S K U T T

President
Mutual Benefit Health
Accident Assn.

<fe

A. V. S O R E N S E N
Chairman of the Board
Midwest Equipment Co.
ARTHUR

E. STOD D AR D

President
Union Pacific Railroad Co.
R O B ER T H . STORZ

Chairman of the Board
Storz Broadcasting Company
W . CLARKE

SW ANSON

President
Paxton and Gallagher Co.
Director
Campbell Soup Company
J.

Surplus _____________________

10,000,000.00

Undivided Profits and
Reserves (E a r n e d )________

5,674,835.28

$ 21,674,835.28

Unearned Interest C ollected ----------------------------

666,995.26

Reserve for Taxes, Interest and Other Expenses

2,031,638.24

Dividend Declared and Unpaid------------------------

150.000. 00

Bills Payable -------------------------------------------------

9.000.

00.00

D ep osits______________________________________ . 236,675,519.69
$270,198,988.47

LeR O Y W E L S H

President
Butler-Welsh Grain Co.
Member Federal Deposit Insurance Corporation

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

70

Nebraska News

Opinion on Branch Banking
Nebraska’s attorney general ruled
last month that bookkeeping and tran­
sit operations of a bank in a separate
building did not constitute branch
banking, but limited the opinion to
the facts presented in the case. The
opinion stated that these operations
have no contact with the public and
do not contemplate the receiving of
deposits or paying of money to the
public. Branch banking, on the other
hand, contemplates to some degree
this contact with the public.

Scottsbluff Change
Robert G. Finke, associated with the
Scottsbluff National Bank since 1957,
has been elected assistant cashier. He
was with Sinclair Refining Company
at Scottsbluff before joining the bank.

Sponsors Basehall Awards
Five outstanding members of Chadron’s ward baseball teams will receive
honors at the end of the baseball sea­
son again this year when they are
presented First National Bank’s Joe
Webster Memorial Award. This is
the sixth year of the awards.

Dalton Banker’ s 30th
Directors and wives of the Dalton
State Bank honored Lyle Rabe, ex­
ecutive vice president, at a dinner re­
cently at Dalton. The occasion was
his 30th anniversary with the bank.

Beatrice Hours Change
The Beatrice banks—Beatrice Na­
tional and First National—announced
recently that they are closing Satur­
days. New hours are: Week days ex­
cept Friday—9:30 a.m. to 3 p.m. (drivein window remaining open an extra
hour). Fridays — 9:30 a.m. to 3 p.m.,
and 5 p.m. to 8 p.m.

Bennington Changes Hours
The Bank of Bennington has an­
nounced that it will remain closed
Saturdays but will remain open Fri­
day until 7 p.m.

State Sportsman’s Association, spon­
sors of the Annual State Trapshoot.

R n u 'lin f i T e a m

New Interest Rates
Officials of the Washington County
Bank, Blair, Neb., have announced the
payment now of 3 per cent on 12month Time Saving Certificates and
2 Vz per cent on savings deposits.

V

r

Edward M. Nielsen
The Central National Bank at Co­
lumbus was closed recently for the
funeral of Edward M. Nielsen, a director of the bank.
“INSUFFICIENT FUNDS”, a bowling
team sponsored by the American Na­
tional Bank, Kimball, Nebr., took second
place in its league. Members of the team
and bank officers are, from left, Dean T.
Dearinger, president; Madelyn E. Ledbet­
ter, cashier; Mary Rohrbaugh, teller;
Dorothy Lacey, teller; Marlene Walker,
assistant cashier; Robert R. Bentley, vice
president and C. E. Nelson, chairman of
the board. The four women formed the
team.

A

Greeley Bank Improvements
M. J. McQuillan, cashier, City National Bank, Greeley, Neb., announced
recently that work has begun on the
remodeling of the bank. Improve­
ments include glass doors, new windows and lowered ceilings.

^

(-

Crawford Mortensen Memorial
A memorial was dedicated recently
to Crawford J. Mortensen, well-known
Ord, Neb., banker who died earlier
this year.
The Memorial is a brick repository
and bulletin board, constructed on the
northeast corner of the Presbyterian
Church site in Ord.

Hour Changes at Elkhorn
Farmers State Bank, Elkhorn, Neb.,
has announced Saturday closing with
Friday hours extended until 7 p.m.

3 Per Cent at Fremont Banks
All three of the Fremont, Neb.,
banks are now offering 3 per cent on
new certificates over $1,000. Savings
certificates of under $1,000 draw 2%
per cent and savings accounts draw
2 per cent.

Revolving Credit Plan
A revolving credit plan has been in­
augurated by First National Bank of
Fremont. The system involves a com­
bination of credit and loan features.
As checks are written, loans become
effective.

Sportsmen Elect Banker
Francis Orshek, president, First Na­
tional Bank, Fremont, was re-elected
president recently of the Nebraska

Wins Bowling Championships
J. P. Allen, Jr., vice presidnt, Se­
curity State Bank, Oxford, Neb., was
pleased recently to return from the
Holdrege City Bowling League championships with two beautiful trophies,
one for high series, with a score of
615, the other a team high for the
season of 234. The bank’s team won
the ABC team championship and the
league championship.

^

A

4

i

V

3 Per Cent Rates, West Point
The First National Bank and Farmers & Merchants National Bank, West
Point, Neb., have raised interest rates
to 3 per cent on savings and time de­
posits.

>

C O N T I INI EE INI

io n a l B a n k

of

L in c o ln «

N ebr.

12t h

and

N

S treets

>

Member Federal Deposit Insurance Corporation

Make the new Continental your

Y

headquarters while in Lincoln—
free parking anytime.

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

Y

71

KEEPING
YOU
UP TO THE MINUTE . ..
Electronic bookkeeping and other forms of
automation are rapidly changing the
operational procedure of banks of all sizes.
If you would like to compare notes on
operations, just ask our representative. He is
as close to you as your telephone.

FIRST NATIONAL ¡BANK
OF

Member Federal

OMAHA
TiM]


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Federal Reserve Bank of St. Louis

Deposit
Insurance
Corporation

N o r t h w e s t e r n Banker, A u g u s t ,

1959

72

Nebraska News

.1 .1 .li. m ee tin g U rates llig C row d

sen, assistant cashier, National Bank
of Commerce and president of the
Lincoln A.I.B. Chapter, and Louis L.
Roper, assistant cashier, First Nation­
al and immediate past president of the
Lincoln A.I.B.

Joins North Platte Staff
John Berquist, formerly with the
U. S. National Bank in Omaha, has
joined the staff of the First National
Bank, North Platte.

Silver Anniversary, Hooper
Mr. and Mrs. Donald Shaffer cele­
brated their silver wedding anniver­
sary recently with open house at their
home. Mr. Shaffer is assistant cashier
of the First National Bank at Hooper,
Neb.

S i. J o s e p h N e w s

J
BANQUET speaker was Dr. William H. Alexander (extreme right) of Oklahoma City.
A t his right is Louis L. Roper, a.c., First National, Lincoln, who was co-chairman of
the general coordinating committee. Seated next to Mr. Roper is Robert Rutherford,
national exec. secy, o f A.I.B.

HE American Institute of Bank­ was Robert Rutherford, A.I.B. nation­
ing Midwest Regional Conference al secretary, New York. At the Sat­
drew more than 300 A.I.B. membersurday night banquet, 365 persons lis­
to Lincoln last month for one of the tened to the dynamic Dr. William
most successful and well attended Alexander of Oklahoma City.
meetings ever held in the area.
The eight state area is made up of
A big picnic at Capitol Beach Colorado, Iowa, Kansas, Minnesota,
Amusement Park, followed by free Missouri, Nebraska, North Dakota and
rides and dancing, got the annual South Dakota. Large delegations at­
meeting off to a flying start.
tended from Denver, Pueblo, Colorado
At the Saturday business session Springs, Des Moines, Cedar Rapids,
the following morning, Lincoln’s May­ Sioux City, Topeka, Wichita, Minne­
or B. E. Boyles extended an official apolis, St. Paul, St. Louis, Kansas
welcome to the conference. An all­ City, Omaha, Fargo, Bismarck and
day work session at the Cornhusker Sioux Falls, along with many others.
Hotel followed, with panels on A.I.B.
General chairman of the conference
history, membership, public relations, was A. W. Griffin, executive vice
speech activities, large and small president, Continental National, Lin­
chapter administration, and women’s coln. Vice chairmen were A. S.
committee activities.
“ Chico” Chaves, vice president, First
Nebraska Governor Ralph Brooks National, and Wilbur Baack, vice pres­
was the luncheon speaker. The main ident, National Bank of Commerce.
speaker during the business sessions General coordinators were James Nis-

T

Then, consolidate your buying

ofbank supplies and pnntmg
horn your friendly USCB salesman.

U nited States Check B ook Company
1311

HOW ARD

5T.

N o r t h w e s t e r n Ba nker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

OMAHA

M. FORD II, was elected chair-

• man of the board of The First
National Bank, St. Joseph, at a recent
regular meeting of the bank’s direc­
tors. He succeeds John D. McCaskey,
who has resigned that position to re­
join The First National as an active
vice president.
Mr. Ford, who retains his position
as president, joined The First Nation­
al in 1944 after four years’ service dur­
ing World War II and previous bank­
ing employment with the Missouri
Valley Trust Company and Farmers
and Traders Bank of St. Joseph.
Mr. McCaskey originally joined the
bank in 1947. Prior to that, he was
president, Home Bank, Savannah. In
1952 he resigned as vice president of
The First National to become secre­
tary-treasurer, St. Joseph Fuel Oil
Company.
In addition to these two men, other
directors of the bank are: R. E. Jones,

Jr., Macon Dudley, Russell A. Peck,
L. M. Pinkston, Janies Potlitzer, Fran­
cis Smith and William M. Wyeth, III.
* *
Beverly Pitts, p r e s id e nt of the

American National Bank, and his fam­
ily spent a mid-summer vacation in
Canada and at the Wismo Club, Stone
Lake, Wis.
* *
Charles Richmond, vice president of
the American National Bank, and
Mrs. Richmond flew to New York to
attend a wedding July 18 on Long
Island.
* * *
Everett Crume, vice president, Too­
tle National Bank, left last month, ac­
companied by his wife, on a vacation
trip to the Black Hills of South Da­
kota, Yellowstone Park and the Tetons, Estes Park and Salt Lake City.
—End.

73

from
ranch to
stockyards
W E CAN SERVE
YOU BEST

Our 73 years of daily, intimate association with livestock and livestock people,
together with our location in the Omaha Stock Yards, assures you and your cus­
tomers the best in livestock bank service.
For livestock loan inspections, loan participations, transfer of sales proceeds, and
carrying your excess credit lines, we can serve you best.

STOCK YARDS NATIONAL BANK
S o u t h O m a h a ’s O l d e s t a n d L a r g e s t B a n k
LIVESTOCK

EXCHANGE

MEMBER

FED E R A L

BLDG.
DEPOSIT

PHONE
IN S U R A N C E

MArket. 4 7 8 0

C O R P O R. A T I O N

T H E O N L Y B A N K IN O M A H A ’S U N IO N S TO C K YARDS

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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

74

L in c o ln N o w s

a . c h a p in
i i i , and
Mr. McNutt will continue as trust
Robert D. McNutt have been officer and Mr. Chapin will continue to
elected vice presidents of the First
serve as trust investment officer.
Trust Company, according to E. N.
Vincent Goeres has been appointed
Thompson, president.
assistant trust investment officer and
ow ard

H

serving NEBRASKA
for
4 Generations
STATEMENT OF CONDITION
JUNE 10, 1959
ASSETS

Cash and Due from Banks ...................................$16,356,465.18
U. S. Government Bonds ...................................... 20,169,073.27
Other Bonds and Securities ................................. 7,330,724.50
Federal Reserve Bank Stock ................................
138,000.00
Loans ........................................................................ 27,257,908.28
Interest Earned Not Collected .............................
390,162.00
Banking House and Equipment...........................
626,105.68
Other Assets .................
17,022.74
Customers Liability— Letters of Credit ...............
10,000.00
Total Assets ................................................... $72,295,461.65
LIABILITIES

Capital............................................. $2,300,000.00
Surplus ......................................... 2,300,000.00
Undivided Profits .......................
845,280.70
Discount Unearned ...... ...................... ...............
Reserve for Taxes, Etc........................................
Deposits ...............................................................
Bills Payable ........... ............................................
Letters of Credit ..................................................
Total Liabilities

$ 5,445,280.70
473,691.11
393,310.21
60,473,179.63
5,500,000.00
10,000.00
.$72,295,461.65

Ex tend in g financial l e a d e rs h ip to N e b r a s k a a n d s u r r o u n d in g s tates s in ce 1871

The FIRST NATIONAL BANK
________ of LINCOLN
10th & O Sts.

Phone 7-4451

member Federal Deposit Insurance Corporation
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

Carter Ridings was named assistant
trust officer.
It also was announced that a stock
dividend of one share for each five
now held by stockholders of record A
July 1 has been declared. The result­
ing capital structure will be $600,000
capital, $600,000 surplus and $210,297.42 undivided profits.
,
* * *
Plans have been announced for a
First National Bank drive-in teller fa­
cility on the northwest corner of 13th
and L Streets. The facility, now in
the design stage, will have five or six
drive-in w i nd ow s , large driveway
areas and convenient access to the
streets.
The project is to be completed this
fall.
* * *
Edmund W. Tabell, n a t i o na l ly ^
known Wall Street analyst, was the
featured speaker at the most recent
luncheon of 100 businessmen spon­
sored by the First Trust Company and
the First National Bank.
4This was the third in a series of
luncheon meetings devoted to analysis
of economic and financial trends spon­
sored' by the two banks.
a
* * >i=
The First National Bank’s annual
all-women employees’ party was held
recently at the Lincoln Country Club.
^
There were 85 women present.
* * *
Lincoln bank clearings for the first
of 1959 increased $25,665,114 over last
year. The total for the first six months
-4
was $305,640,407.
* * *
Ted Thompson, vice president, Na­
tional Bank of Commerce, recently
>
was one of the invited guests of L. B.
Maytag, Jr., president of Frontier Air­
lines, Inc., on a Lincoln Inaugural
Flight from Lincoln to Denver and re­
turn.
K
Mr. Thompson, with A. F. Jorgen­
sen and Gene Eaton, both vice presi­
dents, also attended the annual Ab­
bott Bank picnic recently at Alliance,
v
Neb.
John Shipferling, assistant cashier,
recently was elected treasurer of the
Serra Club of Lincoln.
* * *
.
In an opinion written for Edwin N.
Van Horne, Nebraska director of bank­
ing, the Nebraska Attorney General
ruled the state may not invest its
4"
funds in time deposits. Governor
YOUR STATE BANKERS ASSOCIATION
OFFICIAL SAFE, VAULT AND
TIMELOCK EXPERTS

F. E. DAVENPORT & CO.
OMAHA

Nebraska News
Ralph Brooks announced last month
the treasurer would purchase short­
term government bonds with $5,000,000 withdrawn from banks. The leg­
islature refused to approve a gover­
nor-sponsored bill requiring banks to
pay 3 per cent interest on state
money.
* * *
Richard I). Hitz of the mortgage
department of The First Trust Com­
pany has graduated from the School
of Mortgage Banking sponsored by
the Mortgage Bankers Association of
America in conjunction with North­
western University.
* * *
The Continental National Bank has
appealed to Lancaster District Court
the action of the County Board of
Equalization which shows the value
of the bank's total capital as $2,999,132.
This is the amount showing on the
1959 personal property return, but the
bank then deducted $11,560 as value
of real estate owned by the bank, and
$1,015,467 as the actual value of shares
of stock in Continental Building Cor­
poration. These deductions then low­
ered the bank’s listed value of its ac­
tual capital stock for tax assessment
to $1,972,105. The assessor and the
Board of Equalization disallowed the
deduction for stock in the building
corporation.
The bank told the District Court the
tax on this basis is “discriminatory
and violative of the requirement for
tax uniformity” required by the Ne­
braska Constitution.

M ID -Y E A R R E P O R TS . . .
(Continued from page 44)
gain from the $7,067,256 or $1.77 a
share a year ago.
Deposits at midyear totaled $1,621,472,636 against $1,575,193,152. Assets
are $1,853,529,690 against $1,800,824,631. Loans were up to $940,077,724
from $869,535,882 a year ago. Capital
funds totaled $175,347,069 at midyear.

Bank of America

The nation’s largest bank reported
NOE for midyear 1959 of $40,181,798
or $1.57 per share on the 25.6 million
shares outstanding. This compares
with $1.45 for the like period of 1958.
Loans hit a new high of $6,087,183,369, an increase of more than $624
million over the 1958 midyear period.
Deposits were reported at $10,173,030,639, an increase of $473,535,189 over a
year ago. Total resources are $11,159,413,266, an increase of $379,566,458
over 1958, while total capital funds
now amount to $730,521,519.
American Trust

NOE for American Trust of San
Francisco were $5,960,933 or $2.14 per
share at mid-1959, compared with $5,145,991 and $1.85 a share a year ago.
Deposits rose to $1,676,165,260 from
$1,617,490,234. Loans and discounts
also rose, hitting $963,500,761 com­
pared with $832,430,163 at mid-1958.
Total resources are $1,828,234,893. To­
tal capital funds increased more than
$3 million to $120,122,770.
Crocker-Anglo

Midyear NOE for Crocker Anglo
National of San Francisco totaled $37,696,106, a gain from the $33,483,726 for
the first half of 1958.
Deposits totaled $1,563,624,228, up
$137 million from a year ago. Loans
of $930,333,665 increased more than
$171 million during the year. Assets
gained $168 million to reach a new
high of $1,750,309,651.
Bank of California

Bank of California, San Francisco,
reported NOE for the first six months
of $1,772,249 or $1.38 per share. The
1958 figure was $1,770,423 and $1.38
per share.
Deposits of $563,141,127 increased
more than $5,440,000 over a year ago.
Loans and discounts advanced to
$321,717,688 from $284,892,620. Total
resources are $636,860,846, compared
with $620,073,690 a year ago.
Security First of B. A.

The first six months of 1959 pro-

75

duced NOE for Security First Nation­
al of Los Angeles of $11,685,386, or
$1.97 per share, an increase of 18 cents
per share over mid-1958.
Deposits t ot al ed $3,177,079,407, a
gain of $240,370,000 over 1958. Loans
of $1,386,027,395 were up from $1,152,556,502 a year ago. Total resources
are $3,450,828,491, an increase of more
than $247 million.
California Bank

California Bank of Los Angeles re­
corded NOE for the first half of 1959
of $3,913,581, or $1.78 per share, com­
pared with $3,199,811 or $1.47 per
share a year ago. This is a 22 per
cent gain.
Deposits at mid-1959 were $1,165,134,649, an increase of nearly $118
million. Loans were up $111 million
to a total of $573,240,800. Capital funds
are nearly $70 million.
Valley National

Valley National of Phoenix reported
a $60.4 million increase in deposits in
the past year to bring mid-1959 depos­
its to approximately $534 million.
Loans of $326 million were up $35.8
million from a year ago. Resources
stood at $586 million at midyear, a
gain of $63,6 million over a year ago.
Capital funds also gained, with $5.1
million being added to bring the total
to $38.8 million.
First of Phoenix

First National of Phoenix continued
the trend upward noted by practically
all banks in the west and southwest,
reaching the highest levels in its his­
tory. Resources at midyear were up
$43 million to $338 million, an increase
of 14.61 per cent.
Deposits increased $42 million to $311
million, a gain of 15.5 per cent. Loans
gained more than 21 per cent, with an
increase of $30 million, bringing the
loan total to $169 million. Capital
funds were up $1 million, making a
total of $21 million, a gain of 3.55 per
cent over June, 1958.

THE BANK OF

PERSONALIZED SERVICE .
13th & O Streets
LINCOLN, NEBRASKA

DRIVE IN BANK 1227 P
Member Federal Deposit Insurance Corporation


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

76
~k

L et Us A d d
Our T ru st E x p erien ce
T o Y ou rs

Experienced trust officers

4-

at Bankers Trust
will gladly discuss

A

any trust problems with you.
Please write for a personal conference.

V

Or, phone CHerry 4-0331.
J.

COM PANY
6th. and Locust
Des M oines

MEMBER: FEDERAL DEPOSIT INSURANCE CORPORATION . FEDERAL RESERVE SYSTEM

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

-t

77
Candidate for Fed Board

Iowa

XEWS
JOHN B. KEELINE
FRANK W ARNER

President
Secretary

Cherokee
Des Moines

The new stock will be offered first
One of the largest Iowa bank stock to present stockholders on the basis
sales of the year was completed last of one share for every four now held.
month when Wilson K. Ervin of
Mount Pleasant purchased more than 75th Anniversary
75 per cent of the
The Exchange State Bank, Wesley,
capital stock of held open house last month in recog­
the C e n t e r v il l e
nition of the 75th anniversary of the
N at i on a l Bank,
bank, according to L. H. Kleinpeter,
Centerville, f r o m
vice president and cashier.
Mrs. Almira B.
Sawyers and the
Detlef Ihms
Francis L. Saw­
Detlef Ihms, 70, a director of the
yers estate.
Central Trust and Savings Bank, EldThe sale, repre­ ridge for the past 25 years, died re­
senting an invest- cently at a Davenport hospital, accord­
me n t of mo r e
ing to Robert J. Tank, president.
W. K. ERVIN
than a half mil­
lion dollars, was negotiated by Henry
H. Byers, president, Bankers Service Walter Robinson Honored
Walter T. Robinson, who has been
Company, Des Moines.
Iowa loan guarantee officer for the
The Centerville National, with capi­
Veterans Administration since 1945,
tal accounts of $607,862 as of June 10
planned to retire from that post on
and totals assets of $6,157,687, is the
August 1 but has acceded to the re­
largest of three banks in Centerville,
quest of VA officials that he stay on
the county seat of Appanoose County.
for at least a short time.
Mr. Ervin has been elected presiMr. Robinson was presented with a
,
dent of the bank, succeeding Mrs.
plaque for “ outstanding service to the
Sawyers who retains a stock interest
home building industry” by the Home
and will continue as chairman of the
Builders Association of Des Moines
board. No other personnel changes
last month.
have been made, except that Mr. ErHe was president of the Citizens
<
vin was elected to the board, succeed­
State Bank at Donnellson, Iowa, from
ing Mrs. Sawyer’s son, Dr. John L.
August, 1942, until January, 1950, at
Sawyers, of Nashville, Tenn.
which time he was elected chairman
of the board, the post he now holds
;
Capital Increases
with the bank. Prior to moving to
Capital stock was increased by com­
Donnellson, he had been cashier of
mon stock dividend in the following
the Newton National Bank since the
banks, according to Joe H. Gronstal,
early 1930’s.
Iowa superintendent of banking:
%
At the Rubio Savings Bank of
Brighton, from $25,000 to $50,000; at Conference Plans Set
Plans are nearing completion on the
the State Bank of Bussey, from $25,000 to $50,000, and at the Benton Coun­ fifth annual Installment Lending Con­
ty Bank & Trust Company, Vinton, ference to be held September 13, 14
and 15 at the Hotel Kirkwood in Des
from $100,000 to $150,000.
Moines, according to Frank Warner,
secretary, Iowa Bankers Association.
Sioux City Increase
Shareholders of the Security Na- A complete program for the confer­
A tional Bank, Sioux City, have voted to ence will appear in the September
increase the common stock of the issue of the N o r t h w e s t e r n B a n k e r .
bank from $1,200,000 to $1,400,000 by
issuing $200,000 in a stock dividend. Three Services Added
Three new customers services have
An additional increase is to be made
by selling 3,000 shares at $150 a share, been announced by the Citizens Sav­
increasing the capital to $1,700,000 and ings Bank, Anamosa. A drive-in win­
the surplus from $1,300,000 to $1,450,- dow, a night depository and Friday
night hours were included.
000.

Centerville Bank Sold


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

V.
W. Johnson, president of the
First National Bank in Cedar Falls,
will be a candidate this fall for reelection as a Class A, Group 3 direc­
tor of the Federal Reserve Bank of
Chicago.
Group 3 directors represent banks
with capital and surplus of $400,000
or under who are members of the
Federal Reserve System.
Mr. Johnson’s present term will ex­
pire this fall.

Joins Postville Bank
John A. Walther, associated with
the Citizens State Bank of Belle
Plaine for four and a half years, has
joined the Citizens State Bank, Post­
ville, as assistant cashier, according to
M. F. Chevalier, cashier.

Peter Jonas
Peter Jonas, 77, director of the
Alton Savings Bank, died last month
after an extended illness.

Plan Lovilia Office
The State Bank of Bussey has an­
nounced plans to open an office at Lo­
vilia in the former location of the
Farmers and Merchants Savings Bank,
according to John W. Bolton, execu­
tive vice president.
Norman Kotz, cashier of the State
Bank of Bussey, will be in charge of
the new office.

Groszkrugers Honored
Mr. and Mrs. Paul Groszkruger re­
cently were honored on their 40th wed­
ding anniversary. Mr. Groszkruger is
cashier of the Citizens State Bank,
Belle Plaine.

Start Investment Firm
The Merchants National Bank, Ce­
dar Rapids, and The Morris Plan Com­
pany were authorized last month to
organize a small business investment
company. The firm has an initial
paid-in capital of $302,000, held entire­
ly by The Morris Plan Company and
the Merchants National Bank.

85th Anniversary
The Steele State Bank, Cherokee, re­
cently observed its 85th anniversary.
The bank was founded by T. S. Steele
and his son, T. H. Steele.

Heads Loan Department
Carl Coates, Centerville, has been
named to head a new small loans de­
partment at Corydon State Bank. The
new department will make small,
short-term loans at a higher than
usual interest rate to persons who
need a small amount of money for an
emergency.
N o r t h w e s t e r n Banke r, A u g u s t ,

1959

Iowa

News

F irst o f S iou x

C

W. Jasper, who will become vice pres­
ident of a bank at Blythe, Calif.

2 ,0 0 0 at Opening
More than 2,000 persons attended
the open house held recently at the
Iowa Trust and Savings Bank, Emmetsburg, in observance of the bank’s
30th anniversary and completion of an
extensive remodeling and redecorat­
ing project.

X

Fairbank Opening

WORK IS U N D ERW AY on the new addition to the First National Bank building in
Sioux City. This architect’s sketch, prepared by the designers, Bank Building and
Equipment Corporation, St. Louis, shows the present building at the left on a corner
location. Several old buildings were torn down to make way for the new structure,
parking facilities and the four drive-up teller windows shown at right. The bank
property now extends a half block along the front and also in depth.

Delinar Savings Promotion
The Delmar office of the Jackson
State Savings Bank, Maquoketa, has
initiated a savings account promotion
with the cooperation of a Delmar feed
firm.
For every 500 pounds of any Pillsbury’s feed purchased at the Delmar
Grain & Feed Company, Inc., the cus­
tomer receives a savings certificate
that can be used to open an account

at the Delmar bank office. Each cer­
tificate is worth $1 and only two sav­
ings account certificates are allowed
for each family.

Coralville Cashier
Berton W. Smith, formerly cashier
and assistant trust officer, Wright
County State Bank, Clarion, has been
elected cashier of the Coralville Bank
& Trust Company, succeeding Alvin

¡Mili.

The Fairbank State Bank held a
grand opening of their newly remod­
eled quarters last month.

Heads Rotary Club
F. E. Ovrom, president, Farmers
State Bank, Keosauqua, has been
elected president of the Keosauqua
Rotary Club.

Earl Brockman
Earl Brockman, 71, organizer of the
Farmers State Bank, Marion, and ac­
tive in the management of that bank
until 1938, died recently at a Cedar
Rapids hospital.

60th Anniversary
The Lone Rock Bank, Lone Rock,
held open house last month in observ­
ance of its 60th anniversary. The
bank was the first permanent building
constructed in Lone Rock. Many door
prizes were given in observance of
the anniversary.

Drive-In Opening
AMERICAN

TRUST

LEADS

*

THE

W A Y ...

In Dubuque
• The most modern equipment and
methods, plus a friendly attitude
are geared to be of service to you
and your customers at any time.

One of Iowa’s first drive-in bank
offices opened last month at Mason
City. The opening of the facility was
announced by Robert Isensee, presi­
dent, United Home Bank and Trust
Company.
The new facility is located at the
United Home’s customer parking lot.
Hours are from 8:30 a.m. to 4 p.m.
weekdays and 8:30 a.m. to noon Sat­
urday.

H. O. Webb
H. O. Webb, 71, retired cashier,
Sheffield Savings Bank, died recently
following a heart attack while visiting
his children in Chula Vista, Calif. He
retired from the Sheffield bank in
1955.

Storm Lake Increase

Member Federal Reserve System
Member Federal Deposit Insurance Corporation

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

An increase in capital from $150,000
to $250,000 and in surplus from $175,000 to $250,000 has been announced by
the Citizens First National Bank,
Storm Lake.
According to H. W. Schaller, presi­
dent, the new capital and surplus of
$500,000 is the largest of any bank in
that area.

79

(om merce|rust (ompany9
Kansas City’s Oldest and Largest Bank
MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Ba nker, A u g u s t ,

1959

80

Io w a N e w s

THE FIRST NATIONAL BANK
of DUBUQUE

Fred Dimmitt
Fred Dimmitt, assistant cashier at
the Union Bank and Trust Company,
Ottumwa until his retirement in 1948,
died last month at the age of 87.

is now celebrating
95 years

Heads County Bankers

of steady solid growth

John B. Kelly, assistant cashier,
Iowa Trust and Savings Bank, Emmetsburg, was elected president of the
Palo Alto County Bankers Association
at a recent meeting. William Thomas,
cashier, Palo Alto County State Bank,
was elected secretary-treasurer to suc­
ceed Mr. Kelly.

Sioux City Promotions

Member Federal Reserve System

Member Federal Deposit Insurance Corp.

THE SECURITY SAVINGS BANK
M A R S H A L L T O W N , IO W A
June 10, 1959
RESOURCES
Cash and Due from Banks .........$
U. S. Government Securities .....
Maturing in 1 yr. $2,026,711.75
Maturing in 2-5 yrs. 2,198,567.25
Maturing in 6 yrs. 300,000.00
Municipal Bonds ..........................
Federal Reserve Bank Stock .......
Loans and Discounts ....................
Overdrafts ......................................
Bank Premises ..............................
Furniture and Fixtures ...............

2,056,177.81
4,525,279.00

1,343,410.91
18,000.00
6,937,003.39
972.35
169,668.24
25,969.60

LIABILITIES
Capital Stock ................................$ 300,000.00
Surplus ............................................
300,000.00
UndividedProfits and Reserve ....
561,031.84
Other Liabilities ............................
16,999.42
Deposits
.................................. 13,898,450.04
Demand ................ $8,730,906.37
Time ...................... 5,053,424.52
U. S. Government.. 114,119.15
$15,076,481.30

$15,076,481.30
OFFICERS
WILL A. LANE, President
R. M. WILSON, Executive Vice President
W. A. LANE, JR., Vice President
and Trust Officer
N. C. NIELSEN, Vice President
Member of the Federal Deposit Insurance Corporation

WENDELL STANLEY, Cashier
ESTÀ CONN, Assistant Cashier
W. H. PFEIFER, Assistant Cashier
T. M. SAWYER, Assistant Cashier
MERLIN MEYER, Assistant Cashier
Member of the Federal Reserve System

F IR S T N A T IO N A L B A N K
C E D A R FALLS, IO W A
Statement of Condition June 30, 1959
R ESO U R C ES
Cash and Due from Banks................................................................................ $1,499,136.51
United States Government Bonds........................................................................ 3,457,668.31
State and Municipal Bonds ............................................................................... 909,154.67
Stock in Federal Reserve Bank..............
10,500.00
Loans and Discounts ......................................................................................... 1,966,658.66
Banking House .................................................................................................
51,380.14
Furniture and Fixtures ..........................................................
5,319.29
$7,899,817.58
LIA B IL IT IE S
Capital Stock .......................................................
Surplus ...............................................................
Undivided Profits ..................................................
Reserve for Contingencies
Interest Collected not Earned
Deposits ..............................................................

...$175,000.00
... 175,000.00
... 168,113.05
44,750.88

$ 562,863.93
35,124.02
7,301,829.63
$7,899,817.58

O F F IC E R S
V. W . Johnson, President
W . E. Brown, Vice President
C. J. Iserman, Cashier
H. C. Messerer, Executive Vice President
R. E. Holland, Asst. Cashier
Philip S. Berg, Vice President
R. W. Briden, Asst. Cashier and Auditor
Member, Federal Reserve System
Member, Federal Deposit Insurance Corporation

N ofor
r t hFRASER
w e s t e r n Banker, A u g u s t , 1959
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Three promotions at the Woodbury
Bank and Trust Company, Sioux City,
have been announced by F. A. Evans,
president.
A. R. Miller, cashier, was promoted
to assistant vice president.
He will
take charge of the new credit-check
plan department and will continue as
trust officer.
W. L. Buck, assistant cashier, was
moved up to cashier. He will con­
tinue as assistant trust officer.
G. R. “Jake” Bishop, head teller,
was promoted to assistant cashier.

Williamsburg Changes
R. O. Moll, cashier, was promoted to
executive vice president and Mrs.
Melba O’Donnell was promoted to as­
sistant cashier recently at the Secu­
rity Savings Bank, Williamsburg.

Waukon Improvements
Waukon State Bank, Waukon, re­
cently installed a walk-up window,
furnished by the Mosler Safe Com­
pany, Hamilton, Ohio.

Increase Interest Rate
The following Iowa banks have an­
nounced an increase in savings ac­
count interest rates to 3 per cent:
Farmers State Bank and First Na­
tional Bank, Marion; First Trust and
Savings Bank and City National Bank,
Cedar Rapids (four other Cedar Rap­
ids banks had announced increases
earlier); Union Bank & Trust Com­
pany, Strawberry Point; Iowa Trust
& Savings Bank and Mahaska State
Bank, Oskaloosa; First National Bank,
Iowa Trust & Savings Bank and Cen­
terville National Bank, Centerville.

Capital Increase
Capital stock of the Poweshiek
County National Bank, Grinnell, has
been increased from $100,000 to $200,000 by a stock dividend. There now
are 2,000 shares outstanding with a
par value of $100 each.
It also was announced that walk-up

Io w a New s

window service has been made avail­
able from 8 to 9 a.m. and from 3 to 5
p.m. daily.

Honor George Schaller
George J. Schaller, chairman of the
board, Citizens First National Bank,
Storm Lake, has been voted Storm
Lake’s outstanding citizen for 1959.
Mr. Schaller is the first to receive this
recently inaugurated award.

81

For many of
your best
customers

P Keystone Remodeling
An extensive remodeling program
at the Keystone Savings Bank is to be
completed this month. Included in the
, project are a new entrance, a lowered
ceiling, new lighting, a new bookkeep­
ing room, new furnishings, a private
conference area and air conditioning.

* Open Parking Lot
A customer parking lot was opened
last month at the Guaranty Bank and
Trust Company, Cedar Rapids.
V

Field
Warehousing
is the Key to their
Financial Problems

Leo O'Brien
Leo O’Brien, president, Security
State Bank, Independence, died after
. a brief illness last month. He was
1 73. In addition to his banking inter­
ests, Mr. O’Brien operated a clothing
store in Independence.

Monticello Director
Cecil L. Goettsch, Monticello funeral
director, has been elected director of
the Monticello State Bank, filling a
X vacancy created by the death of Dr.
T. M. Redmond.

When a valued customer needs help to meet expansion
or seasonal requirements, controlled inventory loans
may well be the key to credit extension.
Our Preferred Warehouse Receipts provide the
bonded collateral you need to extend accommodations
to them, safely and profitably, beyond open line limits.
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Open Janesville Office
T

An open house was held last month
to mark the opening of the new Janes­
ville office of the State Bank of Waverly. Willard Osincup,- assistant cash­
ier at the Waverly bank, will manage
the Janesville office.

D e s M o in e s O ffice
520 Em pire B ld g.

O m a h a O ffice
613 Farnam Bldg.

W e s le y G. Johnson, D ist. M g r.
C a ll A T Ia n t ic 2-1208

R u sse ll V. Peterson, D ist. M g r .
C a ll A T Ia n tic 7190

Joins Tipton Bank
Jerry McCoy, recently discharged
r from the Air Force, has joined the
First National Bank, Tipton, as farm
representative. He is a graduate of
Coe College.

School Board Post
Dwight Wust er , cashier, Walnut
State Bank, has been named secretary
of the Walnut Community School
* board of education.

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OAKLAND, IOWA


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker. A u g u st, 1959

82

D e s M o in e s N e w s

G. BARNARD has been pro- working in several departments be­
• moted to vice president and cash­ fore joining the trust division.
* * *
ier of the Bankers Trust Company,
Holmes Foster, Des Moines, sen­
ior examiner, state banking depart­
ment, has been named assistant to
the superintendent. He will retain
the senior examiner title. Dean Beneke, in charge of District 2, with head­
quarters in Webster City, and Robert
Forge, in charge of District 4, Water­
loo, have been promoted from exam­
iners to senior examiners. The an­
nouncement was made by Joe Gronstal, state banking commissioner.
S. G. BARNARD
J. M. BARNES
* =t= *
Employees
of
the South Des Moines
according to an announcement by
National Bank were feted the first of
J. W. Hubbell, chairman of the board.
Mr. Hubbell also announced the ad­ this month at an all-bank picnic at
the Brenton farm, northwest of Des
vancement of J. M. Barnes from as­
Moines.
sistant secretary to assistant trust
* * *
officer.
Rollo Bergeson, former Iowa secre­
Mr. Barnard joined the Bankers tary of state, was recently elected
Trust Company in April, 1929, start­ president of the West Des Moines
ing as a bookkeeper. He was pro­ State Bank, according to Hal S. Chase,
moted to assistant secretary in 1944 who has resigned as president to be­
and to trust officer in 1949. In Novem­ come chairman of the board. Mr.
ber, 1951, he was promoted to secre­ Bergeson has been a director of the
tary and trust officer. As vice presi­ bank five years.
dent and cashier he succeeds the late
It was announced also that Leo CapFred C. Atkins.
devielle, with the bank more than
Mr. Barnes was born in Wapello,
three years, most recently as assistant
Iowa. He joined Bankers Trust in cashier, has been elected cashier.
1940, starting as a messenger and
Forrest P. Galbraith, 51, executive

S

W h e n B u i l d i n g o r R e m o d e l i n g us e t h e

BANK PLANNING SERVICE
o f the K IR K G R O S S C O M P A N Y and
its " T IM E - E N G I N E E R E D " Eq u ip m e n t

K irk Gross trained Bank experts
can recom mend w ays to im prove
flow o f traffic, add teller windows
w ithout increasing space, suggest
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Stre e ts

T e le p h o n e A D a m s 4-6641
o r tFRASER
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DigitizedNfor
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Federal Reserve Bank of St. Louis

vice president and cashier of the bank,
died last month aboard his boat at
Dubuque. In failing health the past
few years, Mr. Galbraith apparently
died of a heart attack. He was city
treasurer of West Des Moines and had
been active in many civic and social
organizations.
^
s|<
k
David G. Wright, vice president and
cashier, State Bank of Des Moines;
Allon E. McGlothlen, assistant cashier,
Valley Bank and Trust Company, and
Mary Harry of the Central National
Bank were panel members at the re­
cent District 10 A.I.B. annual confer­
ence in Lincoln.
* *
L
James R. Rasley, assistant cashier,
Iowa-Des Moines National Bank, was
graduated last month from the School
of the Financial Public Relations As- 4
soeiation at Northwestern University.
* * *
C. C. Hubbell, vice president, and
Cyrus D. Kirk, assistant vice presi­
dent, Bankers Trust Company, plan to
attend the Graduate School of Bank­
ing at the University of Wisconsin
this month. Mr. Hubbell will be com­
pleting his study and Mr. Kirk will A
be starting his first year there.
* * *
Walter K. Stephenson, auditor at
Bankers Trust Company, was gradu- ^
ated last month after three years of
study at the NABAC school for bank
auditors and comptrollers at the Uni­
versity of Wisconsin. He studied ac­
counting the first year, bank auditing i
the second, and completed the course
with bank controls last month.
* * *
The annual employees’ party of .
Bankers Trust Company was held last
month at the J. W. Hubbell home.
The Keith Killinger band provided
music for the dancing.
* * *
jl,
Robert L. Carson, comptroller, IowaDes Moines National Bank, retired the
last day of last month after 47 years
in the banking profession.
^
He joined the Des Moines National
in 1912, the Iowa National in 1915 and
was elected an officer of the Iowa-Des
Moines National in 1943.
* * *
\
The Iowa-Des Moines National Bank
held open house last month to show
the newly-decorated quarters of its in­
stallment loan department.
^
The week-long showing revealed
that the department floor—increased
from 2,200 to 2,800 square feet—is cov­
ered with soft, plush carpeting and
the windows have been completely v
modernized. A new air conditioning
unit has been installed, serving the
installment loan department and the
new Motor Bank which is scheduled ^

83

Twenty years in banking—from messenger to ex­
ecutive vice president make up the background
of Charles K. Grochala, head of one of Iowa’s
fastest growing banks.
Mr. Grochala helped organize the Highland Park
State Bank in Des Moines late in 1951. Despite his
youth—29 at the time—he had acquired broad ex­
perience in 13 years at the Valley Bank & Trust
Company. Working through all the various de­
partments, he was then in charge of the credit
department.
The V a lle y B ank is p ro u d to h ave
the H ig h la n d P a rk S t a t e Bank on
its g r o w in g list o f c o r re s p o n d e n t
b an ks.

In January, 1952, the Highland Park State Bank
opened for business in a quonset building with
four full-time employees. Just five years later de­
posits were in excess of four million dollars and
the bank was forced to seek larger quarters.
A large nearby building was chosen and exten­
sively remodeled. Today, with triple its former
space and 34 employees, the bank has deposits of
more than seven million dollars. Two drive-in
teller windows and a large off-street parking area
contribute to the bank’s steady growth.
Mr. Grochala is married and has five children;
Krystof, Ann Marie, Marilyn, Timothy and James.

ALLEY BANK &TRUST CO.
W a ln u t a t Fou rth S tr e e t


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D es M o in e s, Io w a
Member, Federal Deposit Insurance Corporation

N o r t h w e s t e r n Banker, A u g u s t ,

1959

84

Io w a N e w s

In sta llm en t L o a n D ep a rtm en t I s R em o d eled

S T A T E M E N T O F CO N D ITIO N
At Close o f Business June 1 0 , 1 9 5 9

ASSETS
Cash on Hand and due from B a n k s ____________________ $ 4 ,9 2 9 ,3 0 5 .4 9
United States Government B o n d s _______________________
5 ,4 0 3 ,3 8 7 .5 1
State, County and Municipal B o n d s ____________________
3 ,5 2 2 ,4 8 4 .0 4
Federal Reserve Bank S t o c k _____________________________
5 1 ,0 0 0 .0 0
Loans and D is c o u n ts _____________________________________ 1 4 ,2 5 4 ,3 9 1 .2 7
Overdrafts -------------------------------------------------------------------------2 ,2 1 5 .5 5
Bank P r e m is e s -------------------------------------------------------------------1 0 9 ,5 0 6 .6 3
Furniture and Fixtures __________________________________
4 6 ,3 9 0 .2 4
Other A s s e t s _______________________________________________
2 0 ,1 4 5 .0 9
$ 2 8 ,3 3 8 ,8 2 5 .8 2
L I A B I L I T I E S
Capital S t o c k _____
Surplus ____________
Undivided Profits _
Reserves ___________
Deposits ___________

$

3 2 0 ,8 9 3 .9 8
2 3 3 ,2 7 9 .8 3
2 6 ,0 8 4 ,6 5 2 .0 1
$ 2 8 ,3 3 8 ,8 2 5 .8 2
OFFICERS
ROBERT V. COOPER, Asst. Vice Pres.
GERALD J. CURRAN, Asst. Cashier
WILLIS J. VOLLENWEIDER,
Assistant Cashier
E. JAMES O’CONNOR, Asst. Cashier
FORREST D. LOFTON, Auditor
FREDERICK KOCH, Trust Officer

DIRECTO RS
CARL A. BLUEDORN, President, Zeidler Concrete Products Machinery Co.; K. L.
BRAGDON, Northwestern Mutual Life Ins. Co.; CLARENCE E. CAMPBELL,
Chairman o f the Board; JAMES F. CARNEY, Carney, Alexander, Marold & Co.;
CARL R. DAVIS, Real Estate; DALE K. DeKOSTER, Executive Vice-President;
A. D. DONNELL, President, The Rath Packing Co.; JAMES G. EASTON, Invest­
ment Management; WILLIAM H. HINSON, Vice President and Treasurer, Hinson
M f g . Co.; WARREN A. HOLDEN, President, Construction Machinery Company;
FRANCIS R. LaBARRE, Vice-President; HARRY A. LIMBERT, Vice-President,
Central Fibre Products Co.; R. W. WAITE, Retired; HARLEY A. WALDON, General
Manager, John Deere Waterloo Tractor Works; LOWELL J. WALKER, President.
Advisory Council, GEO. E. PIKE and CARLETON SIAS.

th&

Waterloo Savings
SE R V IN G

WA T E R LOO

SINCE

W a te rlo o , Io w a

o r t h w e s t e r n Banke r. A u g u s t , 1959
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—

to open about November 1.
Twenty-six people are employed in
this department. Charles R. Clift, vice
president, is in charge.
Five door prizes were awarded A
lucky guests during the department
showing.
All of the new furniture was sup­
plied by Koch Brothers, Des Moines. -y

7 0 0 ,0 0 0 .0 0

1,000,000.00

C. E. CAMPBELL, Chairman of the Board
LOWELL J. WALKER, President
DALE K. DeKOSTER, Exec. Vice-Pres.
FRANCIS R. LaBARRE, Vice-President
EARL J. UNDERBRINK, Vice-President
and Cashier
MERLE W. RODGERS, Asst. Vice Pres.

NEWLY -REMODELED AND ENLARGED
installment loan department o f the IowaDes Moines National Bank was the scene ,
of open house last month. All new are: *
Fixtures, furniture, antique white vinyl
grasscloth walls, antique white heavy
sheer homespun fabric drapes, suspended
aceoustical ceiling and indirect lighting.

1902

D ia l A D a m s 4-4471

Heads NABAC Group
T. J. Nicholls, assistant cashier, Peo­
ples Trust and Savings Bank, Indian- i
ola, was elected president of the Cen­
tral Iowa Conference of NABAC at
the group’s annual meeting.
Other officers are Donald F. Prunty,
assistant cashier, Central N at i ona l *
Bank & Trust Company, Des Moines,
vice president; Harold Lewis, assist­
ant cashier, Hartford-Carlisle Savings
Bank, secretary- treasurer, and R. M. Jl,
Wilson, executive vice president, Se­
curity Savings Bank, Marshalltown,
director.

Ogden Open House

*

The City State Bank, Ogden, held
open house recently to commemorate
the completion of a remodeling proj­
ect and the 75th anniversary of the ^
bank. A black onyx marble facing,
moving of the bookkeeping depart­
ment to the second floor and several
interior improvements were included
in the remodeling project.
^

Honor Ben Suinmerwill
Ben E. Summerwill, vice president,
Iowa State Bank & Trust Company, >
Iowa City, has been elected chairman
of the board of representatives of the
Iowa City Council-Manager Associa­
tion.
v

Iowa News

Harlan Expansion
An extensive remodeling program is
nearing completion at the Harlan Nay tional Bank, Harlan, according to F. J.
Lewis, president.
The interior of the bank has been
extensively remodeled and a complete
• new front has been built. Additional
space has been gained by filling a for­
merly unoccupied alley adjacent to
the bank. The remodeling was de­
signed by A. Moorman and Company,
~ Minneapolis.

Chicago Fed Promotion

j

Charles J. Scanlon has been elected
first vice president of the Federal Re­
serve Bank of Chicago and will take
office on September 1, succeeding Ern­
est C. Harris, who
r et i re s on that
date.
Mr. Scanlon, 43,
a nat i ve Chica­
goan, entered the
e m p l o y of the
bank as an office
boy in 1933 at the
age of 17. He was
made an assistant
examiner in 1938,
C. J. SCANLON
and was subse­
quently promoted through various po­
sitions to the office which he presently
holds, that of chief examiner.
Announcement was made also of
the election of Leland M. Ross as
chief examiner to succeed Mr. Scanlon
in that position on September 1. Mr.
Ross has held the post of assistant
chief examiner.
Carl E. Allen, president of the bank,
paid tribute to the retiring Mr. Harris,
who served the bank for more than
16 years.

Lets Building Contracts

v

;

x

The St. Paul Fire and Marine Insur­
ance Company announces that con­
tracts totaling more than $5,000,000
have been let for the new addition to
the home office building in downtown
St. Paul.
About 30 firms -from over the nation
competed for the work and the instal­
lations.
The contracts were let on July 8
and next day workmen on the home
office site began laying out the forms.
Excavation for the project has been
underway through the Ashbach Con­
struction Company, St. Paul. From
100 to 150 men will be employed on
the job.
The steel, glass, marble and alumi­
num building will be on Washington,
facing east toward downtown, between West Fifth and West Sixth


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Federal Reserve Bank of St. Louis

Streets. The first part of the building
will be finished in September, 1960,
and the entire structure a year later,
according to Childs & Smith, archi­
tects of Chicago. The company now
owns the entire block in which its
home office is located, having extend­
ed its holdings in recent years by buy­
ing adjacent property.
This will be one of the few modern
office buildings in the nation to have
escalators which will carry from the
ground floor and up, through the
other five floors. Office area of 441,030
square feet will be available to the
St. Paul when the home office is built,
an increase of 45 per cent.

85

Chemical Corn Merger
At special meetings held concur­
rently in early July, shareholders of
Chemical Corn Exchange Bank and
The New York Trust Company ap­
proved the proposed merger of those
institutions.
Substantially more than the neces­
sary two-thirds of the outstanding
stock of each bank was voted in favor
of the plan. Before becoming effec­
tive, however, the merger requires ap­
proval of the superintendent of banks
of the state of New York and other
authorities.
It is proposed that New York Trust,
with assets of over $850 million, will

Condensed Statement of Condition
June 10, 1959
ASSETS
Cash and Due from Banks.............................................................. $
U. S. Government Securities..........................................................
Obligations of Other Federal A gencies....................................
Obligations of States and Political Subdivisions...................
Stock in Federal Reserve Bank....................................................
Loans and Discounts .......................................................................
Bank Premises, Furniture, F ixtu res.............................................
Interest Earned, Not Collected......................................................
Customers' Liability—Letters of Credit.......................................
Other Assets ......................................................................................

5,018,014.38
7,934,393.02
335,918.62
2,056,396.36
45,000.00
13,024,860.51
422,042.30
152,658.86
17,395.50
10,034.74

$29,016,714.29

LIABI LITIES
Capital Stock .. .
Surplus .................
Undivided Profits

.................................. $ 400,000.00

......................... 1,100,000.00
..................................

354,923.51

Total Capital Account .................................. $1,854,923.51
Reserve for Interest, Taxes, Expenses, etc............................
Interest Collected, Not Earned.................................................
Liability-—Letters of C red it........................................................
Other Liabilities ...........................................................................
Deposits ............................................................ . ...........................

$

184,119.35
170,076.11
17,395.50
394.00
26,789,805.82

$29,016,714.29
IOE T. GRANT, President
HAROLD V. BULL. Senior Vice President
and Trust Officer
WILLIAM L. TEMPLE, Senior Vice Pres.
EDWARD V. HOFFMAN, Vice President
ERNEST A. JOHNSON, Vice President
and Trust Officer

ERNEST A. KENNY, JR., Vice Pres. & Cash.
HAROLD H. STRIFERT, Vice President
NEAL C. TENNIS, Vice President
HOMER V. GARRETSON, Asst. Vice Pres.
IRA J. SMITH, Assistant Cashier
GEORGE D. VINSON, Assistant Cashier
MELVIN L. FILKINS. Auditor

When you need fast, efficient correspondent
banking service, you can depend on the
First National Bank in Sioux City. At the hub
of a four-state area, the First National serves
banks in Iowa, Minnesota, Nebraska and
South Dakota.

N ation al Bank

in

Sio u x c it y

MEMBER FEDERAL DEPOSIT IN SU RA N C E C O RP O RA TIO N
MEMBER FEDERAL RESET!VH SYSTEM

N o r t h w e s t e r n Banker, A u g u s t ,

1959

86

Io w a New s

be merged into Chemical, with assets
of $3.4 billion, under the name Chemi­
cal Bank New York Trust Company.
Shareholders of Chemical authorized
2,100,000 additional shares of capital
stock, making a total of 8,476,590
shares, and increased the par value to
$12 from $10 per share. The addition­
al 2,100,000 shares are to be exchanged
for present stock of New York Trust
in the ratio of 1%-for-one, respective­
ly. The merged bank will have total
capital funds in excess of $388 million,
on the basis of June 30 figures.
The combined staff will be about
7,000. Resources will be $4.3 billion.
Harold H. Helm will continue as
chairman and Isaac B. Grainger as
president of the merged bank. Adrian

M. Massie will become chairman of
the trust committee. Hulbert S. Aidrich, president of New York Trust,
will become a vice chairman along
with Gilbert H. Perkins, now vice
chairman of Chemical. Each of these
executives will serve on the board of
directors of the merged bank, along
with 16 men from the Chemical board
and four from the New York Trust
board.

personal staff Mr. Edwards will repre­
sent him as special personnel counsel­
lor, particularly with senior branch
and administrative officers, and as his
personnel liaison officer.
It was also announced by Jesse W.
Tapp, board chairman, that Jay H.
Thomson has been promoted to assist-

B of A Promotions
Vice President Ben F. Edwards, Jr.,
has been selected as president’s assist­
ant, personnel, at Bank of America’s
head office, it was announced in San
Francisco recently.
As a member of President Beise’s
B. F. EDWARDS, JR.

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F E D E R A I

D E P O S I T

N o rfor
thw
e s t e r n Banker, A u g u s t , 1959
Digitized
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Federal Reserve Bank of St. Louis

I N S

LOCAL INDUSTRY . . .
(Continued from page 23)
the worth of the product or its po­
tential. The company was in urgent
need of additional funds to expand
its production facilities, to buy raw
material in volume, and for its in­
creased payroll.
The company had one alternative—
to move to another town which of­
fered as an inducement ample manu­
facturing facilities and favorable fi­
nancing. Loyalty to the bank and the
community which believed in them
prompted the owners to reject the
offer. Subsequently, the company was
referred to Associated Loan Counsel­
lors who secured sufficient funds to
assure continuance of the operation to
the benefit of the community.
Cow Pool

135 S. La Salle, Chicago 90

M E M B E R

J. H. THOMSON

ant vice president in B of A’s corpora­
tion and bank relations department.
In this position he will travel in eight
states of the middle west, contacting
other banks and large business firms.
Mr. Thomson will have the terri­
tory formerly served by Assistant
Vice President Thomas S. Merrill, who
has been promoted to vice president
and a senior officer’s post at San
Diego.
A graduate of Kansas State Univer­
sity, Mr. Thomson started his banking
career in Topeka, Kan., joined B of
A in 1939 and has held officer rank
since 1945. He will travel in Kansas,
Missouri, Nebraska, Indiana, Ohio,
Illinois, Michigan and Minnesota.

U R A N C E

C O R P O R A T I O N

Some weeks ago an Iowa cattle deal­
er, interested in establishing a cow
pool, came to Associated Loan Coun­
sellors with his financing problems.
On the premise that few lenders
would be familiar with the concept of
cow pools, Associated Loan Counsel­
lors retained an expert in the dairy
field to write a complete report on this

Iowa News

interesting operation, and give an
opinion on its potential. The mort­
gage department was briefed, and the
writer who was chosen to prepare the
confidential report, began his job of
research. The cattle dealer was ably
guided by his local banker during the
preliminary discussions with Associ­
ated Loan Counsellors. Eventually,
this banker accompanied his client to
Chicago for a final conference with
Associated Loan Counsellors execu­
tives, the cow pool expert, and the
head of the mortgage division. At
that time, the banker pledged $40,000
as participation in the required $275,000 loan. This loan is as yet not ready
for presentation to lenders. But suit­
able money sources have been alerted,
and the “merchandising” of the loan
has begun.
This “merchandising” of a loan is
something new in the financial world.
It actually begins from the moment
Associated Loan Counsellors under­
takes to seek money for a prospective
borrower. An “alert” is sent to suit­
able lenders, and when the financial
statements, the completed forms, the
supporting information, and other
pertinent material is received, finan­
cial data is analyzed and coordinated,
and a writer assigned to prepare the
comprehensive report which eventu­
ally goes to lenders. It is the writer’s
job to convert figures and answers to
cleverly contrived questions into a
swiftly paced story from which the
whole picture of a business and of
management emerges. There can be
no distortion of fact or figures, but
every presentation must be a selling
tool. Once edited, the copy goes to
production for type-setting, for proof­
ing, and printing. When completed,
the mortgage department takes over
and the “ selling” of the loan begins
by personal solicitation, by telephone,
and by mail.
Thus, if a valued bank customer is
c u r r e n t l y non-bankable, Associated
Loan Counsellors will shop for his fi­
nancial requirements. If the bank it­
self could make the loan subject to
more satisfactory balances, the Asso­
ciated Loan Counsellors will arrange
compensating deposits. If a bank
wishes to make available only a por­
tion of a required loan, Associated
Loan Counsellors will seek the rest
of the required funds. In all of these
situations the relationship b e t w e e n

BANKS
A ll N egotiations Confidential
A N A T IO N A L C L E A R IN G H O U S E
F O R E X P E R IE N C E D B A N K E X E C U T IV E S
______________ W IT H C A P IT A L T O IN V E S T

B a n k e r s S ervice C o m p a n y
BO X 1435

•

D E S M O IN E S 5. I O W A

•


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bank and customer remains intact.
Many loans are referred to Associ­
ated Loan Counsellors in addition to
those referred by banks. Insurance
companies, commercial lenders, and
fellow members of the American In­
stitute of Financial Brokers send busi­
ness to Associated Loan Counsellors.
Mr. and Mrs. H. J. van Buskirk, co­
owners of Associated Loan Counsel­
lors, define their business as a “shop­
ping service for money.” They do
what is best described as “creative
selling,” which is a blend of merchan­
dising, promotion, and of highly spe­
cialized know-how.
More and more, the banker in the

87

smaller cities and towns is concerned
with the creation or the maintenance
of a good financial climate for indus­
try. It helps established business to
grow, it is a magnet to new industry.
The local banker is the key figure.
On him rests the major responsibility.
His personal concern with the finan­
cial needs of every customer must be
continuous whether or not that cus­
tomer is currently bankable. A bank­
er is the symbol of solidity, of secu­
rity in every community, unless he
himself destroys the image. But if he
cherishes the faith imposed in him,
the community and its people are
surely destined for progress.—End.

_______ 39th Street_______

c h ic a g c T u n i o n

STO CK Y A R D S
□ P A C K IN G ^
j PLANTS — 1
>
<
"Ö
c
o

EXCHANGE
BUILDING
LIVESTOCK
PENS

to
TJ
QJ
0
1

47th Street

Drovers’ Location makes
Immediate Credit possible
on livestock proceeds...

The Drovers National Bank
is a direct member of the
Chicago Clearing House
Association and the Federal
Reserve System.

Friendly service
to Livestock Producers
f o r more than
75 years

You will note, from the above Yards diagram, th at
Drovers is ideally situated to serve your farm er
custom ers m ore prom ptly. Our proxim ity to the
commission firms, located in the Exchange Build­
ing, enables us to process livestock re tu rn s as fast
as the stock is sold.
To make sure your livestock custom ers receive
th is fa st D ro v e rs se rv ic e , have, th e m fill o u t a
Drovers shippers order. We’ll gladly send you a
supply upon request.

Continuous service
to correspondent banks
since February 12,
1883

Drovers Banks
UNION STOCK YARDS, CHICAGO 9, ILLINOIS
MEMBERS, FEDERAL DEPOSIT INSURANCE CORPORATION

PH O N E A T 2 -7 B 0 0

N o r t h w e s te rn Banker, August, 7959

88

Iowa N o w s

W ANT ADS

Rates 20 cents per word per
insertion. Minimum: 10 words.
NORTHWESTERN BANKER
306 15th St.
Des Moines, Iowa

A g Representative A vailable
Farm planning technician desires
position with country bank. Eight
years with Soil Conservation Serv­
ice. College grad with agronom y
m ajor and econom ics minor. Can
keep accurate reports and records.
Farm background. E xcellent re fe r­
ences. W rite T W X , c /o N orth ­
w estern Banker, 306 15th St., Des
Moines 9, Iowa.

BANKERS W ANTED
fo r positions available now— es­
pecially men experienced either in
com m ercial lending, credit or trust
work. In confidence and w ithout
cost to you, w rite fo r application.
BAN K PERSONNEL
C L E A R IN G H O U SE
(E m ploym ent A g en cy )
503 N. W ashington
N aperville, Illinois

F or Sale
Used E lectric Check Cancellor
Used E lectric Coin Sorter
Bud Greenspan
4775 D ecatur Street
Omaha 4, Nebraska

New Warehouse Manager
Wesley G. Johnson has been named
district manager for Iowa for the St.
Paul Terminal Warehouse Company,
St. Paul, according to an announce­
ment by Richard
C. Schall, v i c e
president.
Mr. J o h n s o n
has been in the
St. Paul head of­
fice for the past
seven years. He
has had extensive
experience in the
s e e d business,
and p r e v i o u s to
W . G. JOHNSON
World War II, he
was with the Production Credit Asso­
ciation. He is a native of Hector,
Minn., and served with the 34th Divi­
sion during the war. He replaces
George Mickelsen, who has entered
his own business, moving to Minne­
sota.

Harris Trust Exhibit
Harris Trust and Savings Bank, Chi­
cago, joined with exhibitors represent­
ing 65 nations and thousands of prod­
ucts to participate in Chicago’s hit
International Trade Fair at Navy Pier
last month.
The crowd-drawing feature of the

display was an automatic dollar bill
changer. The machine changed dollar
bills at the rate of one every 30 sec­
onds during the fair.
Sharing the spotlight with the bill Y
changer was a scale model of the new
Harris Bank building, a display of
coins of the member countries of the
United Nations, a fibre glass wall em- y
bedded with foreign currency, and a
scale with an accompanying chart
which gave the dollar value of certain
pound amounts of gold. Visitors were
able to determine their weight in gold. —t
For example, a 200 pound man is
worth $112,000 in gold. This was one
of the few times that most husbands
could prove they are worth more than >
their wives.

Resigns Fed Post
Robert C. Masters, who has been di­
rector of the division of examinations, «
Federal Reserve System, since July 1,
1957, has requested that for reasons of
health he be relieved of his responsi­
bilities as director of the division. The
board has acceded to his request, and
effective August 1 he assumed the role
of associate director, in which capac­
ity his long and extensive experience
in the field of bank supervision will A
continue to be available to the indus­
try.
Frederick Solomon, assistant gener-A

Statement o f Condition
Colorado Position Wanted
E xecutive officer o f Iow a bank,
with extensive loan, m anagem ent
and
organizational
experience,
wishes to locate in Colorado. F or
inform ation and references, w rite
H D W,
c /o N O R T H W E ST E R N
B A N K E R , 306 15th Street, Des
Moines 9, Iowa.

PRINTING . BOOK BINDING . BOOKS
DIRECT M AIL ADVERTISING . INDEX
CARDS . CHECKS . OFFICE FORMS
repo rts

r r - i u y r y ,■u ^ ^
"

First Security Bank & Trust Company
Charles City, Iowa

June 10, 1959
4

R E S O U R C E S
Cash and D ue from B a n k s________________________ $1,353,736.13
U. S. S e c u r itie s ------------------------------------------------------ 2,637,888.38
T o tal Cash and U. S. S ecu rities_________________________________ $ 3,991,624.51
664,298.17
M unicipal and O ther T ax E xem pt R o n d s_________________________
O ther B o n d s ____________________________________________________
693,125.00
L oans and D is c o u n ts ____________________________________________ 4,947,099.97
O verdrafts ----------------------------------------------------------------------------------650.30
53,812.78
F u rn itu re and F i x t u r e s _________________________________________

A

*

ements

ITURE

V

$10,350,610.73

LIABILITIES
C apital ____________________ ______________________$
S urplus ----------------------------------------------------------------R eserve ---------------------------------------------------------------U n d iv id ed P rofits _______________________________

250,000.00
250,000.00
200,000.00
206,380.95

T o tal C apital A c c o u n ts _________________________________________ $
D em and D eposits ________________________________ $5,794,348.22
T im e D eposits ___________________________________ 3,360,956.25
U. S. D eposits ___________________________________
288,925.31

906,380.95

A

T o tal D e p o s i t s _________________________________________________ $ 9,444,229.78

OFFICERS
MERTEN J. KLAUS, President
WM. A. HERBRECHTSMEYER
Vice President

$10,350,610.73

KENNETH S. CLANCY, Cashier
WM. R. MATHIS, Asst. Cashier

Member of Federal Deposit Insurance Corporation

¥
N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

1959

Iowa New s

al counsel since 1948, lias been ap­
pointed to the post of director of the
division of examinations to succeed
Mr. Masters.

Iowa Appointment
The St. Paul Fire and Marine In­
surance Company announced the ap­
pointment of Special Agent Hebert R.
Hahn who will headquarter in the
company’s Des Moines, Iowa, office
and will travel northeastern Iowa,
working with Special Agent E. B.
Jobe, whose territory is being en­
larged at this time. Both men are
under the general supervision of Iowa
Manager M. Toussaint.

Two Join Bank of California
Elliott McAllister, board chairman
of The Bank of California, San Fran­
cisco, announces the appointment of
Richard D. Powers and Gordon K.
Craig as assistant trust officers.
Mr. Powers comes to the west coast
from St. Paul, Minn., where he was
assistant trust officer with The Amer­
ican National Bank of St. Paul for
seven years.
Mr. Craig is also from the midwest,

outstanding, ranging in maturity from
a week to a year and in yield from
2.5 per cent to 4.6 per cent. The long­
est-dated bills of the weekly 91-day
issues are selling at a yield of slightly
more than 314 per cent, and those of
the 182-day series at slightly less than
4 per cent.
Elsewhere in the government mar­
ket, the highest yields are from secu­
rities of postwar issue due in 1961
and 1963. The 2% per cent notes of
1963 sold early this month at 93% to
yield about 4.58 per cent. The vulner­
ability of this part of the market is
due to the fact that commercial banks
still hold such issues as secondary re­
serves. In a period of rising loans

for

fast

see

NATIONAL

89

the Treasury issues are sold out of the
bank investment portfolio to take
pressure off statutory reserve posi­
tions.
It is more difficult to judge the mar­
ket status of the long-term Treasury
issues because of the scanty supply
available. Orders for a few million
dollars worth of such securities could
raise their market standing materially
in short order. Just how they would
be affected by new issues of long­
dated bonds is conjectural. It seems
probable that the Treasury will take
steps to tap the long end of the mar­
ket as soon as it gets the go-ahead
from Congress about breaking through
the 4% per cent rate ceiling.—End.

correspondent

service

IN V E S T M E N T S . . ..
(Continued from page 32)
pend, first of all, on the pace of eco­
nomic activity in the nation, and sec­
ondly, on how the rate of saving is
maintained. As the moment, the pros­
pect for a lower stricture of interest
rates is remote.
Economic Pressures

Yields throughout all parts of the
market testify to the economic pres­
sures under which the economy is
operating at a time the Federal budget
has been $12,000,000,000 out of bal­
ance. In April the Treasury borrowed
$4,200,000,000 on two issues of dis­
count bills, the longest of which was
of a one-year term. The long borrow­
ing cost the Treasury just under 3.9
per cent on the average. Within three
months the government went to mar­
ket again to borrow $5,000,000,000 of
more cash on two more bill issues.
The major borrowing — $3,000,000,000
of 258-day bills—cost the government
4.075 per cent. The balance—$2,000,000,000 of one-year bills—cost 4.728 per
cent. It was this issue that sold mo­
mentarily in the market to yield 4.86
per cent. Subsequently the yield
receded by .20 of 1 percentage point.
The new supply of bills brought the
total of such market paper to about
$37,000,000,000. There are now more
than 30 issues of the discount bills

BANK

OF

WATERLOO

Let o u r c o m p le te facilities. . . o u r
staff of frien d ly , h e lp fu l Io w a n s . . .
s a v e y o u v a lu a b le tim e on a ll item s
a n d co llectio n s.
S e n d y o u r item s to u s for fast,
a c c u ra te , efficient b a n k in g serv ice.

Y O U R STATE B A N K E R S A S S O C IA T IO N
O F F IC IA L SA F E , V A U L T A N D
T IM E L O C K EXPERTS

F. E. DAVENPORT & CO.
OM AHA


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

N o r t h w e s t e r n Banker, A u g u s t ,

1959

” 7 hink It Through
Two farmers at a county fair were
fascinated by a booth where little cel­
luloid balls bobbed on top of water
jets. Customers were offered substan­
tial prizes if they succeeded in shoot­
ing any one of the balls off its perch.
One of the farmers spent six quarters
in a vain attempt to pick off one ball.
I1inally his friend pushed him aside
and picked up the rifle.
“Watch how I do it,” he said.
He took a single shot. All six balls
disappeared.
As they walked away from the
booth laden with prizes the unsuccess­
ful one marveled.
“How did you ever do it?” he asked.
“ It just took some figuring,” ex­
plained the winner. “ I shot the man
who was working the pump.”
Ask a Silly . . .
A workman was perched on the top
of a ladder, cleaning the clock above
the entrance to a bank. Suddenly an
inquisitive passerby hailed him.
“Something wrong with the clock,
mister,” he asked.
‘No,” replied the workman, “ I’m
near-sighted.”
A Wonderful Talk
The r e p o r t e r r e t ur n ed from a
speech.
“Well,” asked the editor, “what did
our candidate have to say?”
“Nothing.”
“Then keep it down to a column.”
Before Taxes?
A nearsighted old lady had spent
some time in a curiosity shop. “What
is that ugly old figure in the corner
worth?” she asked at last.
“About $50,000,” whispered the hor­
rified salesman. “ That’s the proprie­
tor.”
That's the Truth
News reporter: Will there be any
change in men’s pockets this year?
Fashion designer: Very little.
It s
Wise
vice to
can no

True . . . Think Back
and wealthy old men give ad­
young men when the former
longer set a bad example.

N o r t h w e s t e r n Banker, A u g u s t ,


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

19 5 9

Basic Economics
The boys at the corner drugstore
were discussing girls. “Aw,” said one
of the older ones, “girls are a dime a
dozen.”
“Gee,” signed one of the younger
lads, “and all the time I’ve been buy­
ing jelly beans.”

. . Said a Mouthful”
First pelican: That’s a fine fish you
have there.
Second pelican: Well, it fills the bill.
Short Answer
Mary: What happened when you
asked the boss for a raise?
George: Oh, he was like a lamb.
Mary: What did he say?
George: BAH!

C O N V E N T iO N S
August 9-21, Colorado School of Bank­
ing, University of Colorado, Boul­
der.
September 21-23, NAB AC Annual
Convention, Staffer Hotel, Boston.
September 21-24, 46th Annual Con­
vention, Mortgage Bankers Asso­
ciation, Hotel Commodore, New
York City.
September 23-25, National Association
of Bank Women, Schroeder Hotel,
Milwaukee.
October 4-7, Annual Fall Conference,
Robert Morris Associates, Edgewater Beach Hotel, Chicago.
October 11-12, Nebraska Bankers As­
sociation, Sheraton Fontenelle Ho­
tel, Omaha.
October 20-23, National Association ol
Supervisors of State Banks, Dip­
lomat Hotel, Hollywood-By-tlieSea, Florida.
October 25-28, American Bankers As­
sociation, Miami Beach.
November 1-5, Financial Public Rela­
tions Assn., Annual Convention,
Americana Hotel, Bal Harbour,
Florida.
November 1-4, Iowa Bankers Associa­
tion, Annual Convention, Hotel
Fort Des Moines, Des Moines.
November 5-6, ABA Mid-Continent
Trust Conference, Statler Hotel,
Detroit.
November 9-10, ABA National Ag.
Credit Conference, NetherlandHilton Hotel, Cincinnati.
November 9-13, South Dakota Group
Meetings.

“ Like I Told Y a!”
“What kind of ice cream do you
have?” he asked the pretty waitress.
The young lady answered in a
hoarse whisper, “Vanilla, strawberry,
and chocolate.”
The customer, trying to be sympa­
thetic, asked, “You got laryngitis?”
“No,” she rasped, “just vanilla,
strawberry, and chocolate.”
4
He s Fairly Mean
“ The boss is mean,” the man told
his wife, “but he’s fair.”
“What do you mean by that?”
“Well, he’s mean to everybody.”
It's Mutual
A
You know what a bargain is. It’s
a business deal in which two people
are certain they got the better of each
other.
V
a. j

Ir o n y

Teacher: Can you tell us something
about the iron age?
Student: I’m afraid I’m too rusty
on the subject.

^

Stupid Man

Man : How did you come to fall in
the lake, little boy ?
Boy: I didn't come to fall in the
lake, Mister, I came to fish.

*

A.

No Joke

This is not a joke. It is designed
to urge you to do something. Here
are a few suggestions : (1) Read the #
following paragraph to all driving
members of your family, (2) include
the paragraph in your talks to organi­
zations, (3) drive better yourself and
urge family members, prospects and ™
clients to do likewise, (4) memorize
the figures and state them to everyone
you talk to, (5) write two or three
letters to important people in govern- +
nient and public safety.
Here’s the paragraph:
Traffic accidents last year cost
the nation $7,255,600,000. This is
y
an average of nearly $20 million a
day . . . or about $13,800 a min­
ute! We can use this money to
better advantage.

Central States
'

p ays your credit
insurance
claim s in an
average of
6 hou rs!
. . . and your b a n k ’s
routine is stream lined
to m in u tes
w ith Central S ta te s’
sim p lified form s.

‘âÉftâ? C e n t r a l S t a t e s
H ealth & I
of

Omaha

U N D E R W R I T E R S
AND

LIFE.

T H R O U G H


https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

OF

H EA LTH ,

C O N S U M E R
A C C ID E N T

F IN A N C IA L

AND

C R E D I T

I N S U R A N C E

HOSPITA L

IN S T IT U T IO N S .

IN SU R A N C E

1%

xi

Municipal Bond Transactions: always a little faster
Correspondent bankers who put the municipal specialists
of our Bond Department to work will tell you two things.
They’ll say we have long know-how and experience on
problems related to the planning and execution of an in­
vestment program in tax-exempt municipal bonds.
They’ll add that, as well as offering Municipal and
Government Bonds for sale, we’re also fully equipped for

the safekeeping of these valuable securities. And those
same specialists are well qualified to analyse and evaluate
your present bond holdings.
May we help you in the municipal area? Our team of
Five Correspondent Bankers is ready, willing, and able to
start the wheels turning—faster. Just write, wire or phone
us. We’re here to help you get what you want.

Iowa-Des Moines
Sixth and Walnut, Des Moines, Iowa • CHerry 3-1191


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Federal Reserve Bank of St. Louis

Member Federal Deposit Insurance Corporation