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Oldest Financial Journal Serving The Central and W estern States December 14,1970 Des Moines, Iowa No. 1262 Consumer Spending Key to Growth Consumer spending will be the bellwether of renewed eco nomic growth through 1971, Tilford C. Gaines, vice president and economist, Manufacturers Han over Trust, told nearly 1,000 corporate executives at the bank’ s, business conference in New York last week. At the same time, Mr. Gaines said, “ the assumed pickup in consumption spending, in turn, rests upon continued strong development of more optimistic consumer attitudes that would lead to a drop in the unusually high savings rate of recent quar ters.” Mr. Gaines conceded, however, that “ there is very little evi dence” to support an assumption of improved consumer attitudes and a lower savings rate. He said recent surveys indicated con sumers plan to spend more on major appliances and housing but consumer confidence continues to deteriorate. Discussing the battle to control inflation, Mr. Gaines said there is “ a good chance” the President in his January message will call for some form of income policy “ that would involve the govern ment more directly in price and wage d ecision s.” Tilford C. Gaines Turning to interest rates, Mr. Gaines said: “ The drop in interest rates on all maturities of debt instruments during the past month reflects a trend that is likely to continue through 1971. However, total de mands for credit next year prom ise to be very large, particularly in the longer-term bond and mort gage markets. Therefore, while long-term interest rates should continue to trend lower, the trend will constantly encounter opposi tion from a steadily huge supply of new bond offerings. Long-term interest rates should be a bit lower a year from now than they are today, but it seems likely to me that they still will be very high by comparison with any earlier norm.” He pointed out that corpora tions as a group “ have made little headway toward improved liquidity” this year, and that until corporate balance sheets have been put into better shape, the possibility of another crisis in the financial markets will ex ist.” Mr. Gaines said he found it difficult to be optimistic about the balance of payments situation, explaining: “ R ealistically, U. S. policy o f ficials must face up to the p o ssi bility that the dollar is funda mentally overvalued and that some arrangement that would re value upward a number of other currencies vis-a-vis the dollar — which is another way of saying devaluing the dollar —might be necessary.” In another talk at the confer ence James M. Roche, chairman* of General Motors, said that motor vehicle sales in the United States could reach an all-time high of 12 million units in 1971, assuming a continued improvement in the economy and no major interruption o f production. This would be about 15% over 1970 sales, and could top the previous record of 11.5 million units, including imports, set in 1969, Mr. Roche said. A sales volume of 9.5 to 10 mil lion cars and two million trucks (Continued on back page ) The only correspondent Bank you’ll really ever need. ÛÛ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Q9 Central National Bank & T ru s t C o m pa n y LOCUST AT SI/TH AVENUE, DOWNTOWN DES MOINES. PHONE 2434181 MEMBER F.D.I.C. T W * a n so many ways wa can help you That's why ovar half tha banks in Iowa ara — M N B corraspondants John Mangold Senior Vice President National Bank of Des Plaines, has announced the appointment of Jack D. Hughes to the board, succeeding the late Thomas M. Blake. Mr. Hughes is president of Littlefuse, Inc., and director and group vice president of Component Divisions of Tracor, Inc., parent company of Littlefuse. MERCHANTS NATIONAL BANK CEDAR RAPIDS, IO W A 52401 Member FOIC IOWA NEWS CLINTON: Louis Wallenberg, 78, former president and chairman of the Iowa State Bank, Clinton, died re cently in an auto accident near Erie, 111. COLFAX: Paul Monroe, member of the board of directors of the First National Bank of C olfax, died re cently in a nursing home in Newton. He was 81. CRESTON: Joseph G. Knock, pres ident of the Iowa State Savings Bank, has announced the formation in the bank of a trust department and the naming of H. A. Mertens to head it. Mr. Mertens was named vice pres ident and trust officer. Mr. Mertens has been in accounting for 18 years and was senior partner in a Grundy Center firm. GRINNELL: John L. Werner has been elected assistant cashier of the Poweshiek County National Bank. He has been with the bank since October 1969. INDIANOLA: The Peoples Trust & Savings Bank is celebrating the opening of its new Peoples Motor Bank with an open house all this week. KNOXVILLE: Dr. G. H. Andrew has been elected to the board of the Iowa State Savings Bank, succeeding the late J. E. Snover. Dr. Andrew is an optometrist. MASON CITY: Robert B. Okerstrom has been elected assistant vice president of the First National Bank of Mason City. With the bank since 1963, he is currently serving in the commercial loan department. NEWTON: Robert E. Vance , chairman of the board, Jasper County Savings Bank, has announced the appointment of Donald R. Runger as the president of the bank, effective February 1. At that time Mr. Vance w ill become first officer of the board and con tinue as chairman of the trust com mittee. A. E. Peters, now president, w ill become chairman. Mr. Runger is currently vice pres ident and senior trust officer of the First National Bank of Dubuque. A Minnesota native and a Loras C ol lege graduate, he joined the Dubuque bank in 1958. After promotions through various departments, he was named vice president and trust officer in 1966 and to his present position in 1969. PERRY: Funeral services were held here and in Bedford, December 8, for Joseph F. Longfellow, 83, who died suddenly of a massive coronary attack at his home in Perry. He b e gan work in the Bedford National Bank in 1909 and retired as vice president in 1957 but remained as a director through 1968 giving him 59 years of banking to his credit. He is survived by his widow; one son, Howard, v ice president and cashier of the National Bank of Rockwell City; one daughter, Helen (Mrs. L. A. Utterback) of Perry, four grand children and three brothers. MARENGO: L. W. Ackman, president of the Marengo State Bank, has an nounced plans to build a motor bank at the corner of Ann Street and U. S. 20. The building will be of colonial design and will measure 408 by 40 feet. It will have two walk-up win dows inside and four drive-up units outside, a night depository and a parking lot. The project has been planned by Bank Building and Equipment Corpo ration of America, a leading con sulting firm. Bank Building will also supervise construction. MOMENCE: The Parish Bank and Trust Company has established a branch at 110 South Gladiola Avenue, Momence. TINLEY PARK: An application has been filed with the Illinois Com missioner of Banks and Trusts by five men seeking a charter for a bank to be called Brementowne Bank and to be located at 6801 W. 159th Street in Tinley Park. The five are Vincent Page, Palos Heights; Thomas V. Markle, Chicago; A. Thomas Maras and Albert A. Payne, both of Oak Lawn; and Michael Lombard, Ever green Park. The bank would have total capitalization of $750,000. MINNESOTA NEWS ALEXANDRIA: Arthur M. Mehr has been elected cashier of the First National Bank. He has been vice ILLINOIS NEWS DES PLAINES: Frederick F. Webster, chairman of the board of the First We're here to help P e r s o n a l A tte n tio n to A ll Y o u r C orresp on d en t N eeds you get what you want CALL I0WADES MOINES AREA CODE 402 NATIONAL BANK George Harnagei https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Deposit Insurance Corporation 536-2000 Member Federal Deposit Insurance Corporation N A T IO N A L BANK president and ca sh ier of the First State Bank of Babbitt, Babbitt, Minn. in appreciation for his quarter century of service to the bank. ANOKA: The State Bank of Anoka recently held open house to display its new facilities to the public. The bank provided refreshments and door prizes. MEDFORD: Don Bruzek has joined the First State Bank as a specialist in real estate and insurance. A recent unsuccessful candidate for state rep resentative, Mr. Bruzek has more than 35 years experience in real estate and insurance. BEMIDJI: Elgin L. Phillips, 67, pres ident of the First National Bank died recently at the Bemidji Hospital. He was made president in 1969, having joined the bank in 1934 as an a s s is tant cashier. EDINA: William O. Roberts has been promoted to assistant vice president and Norbert A. Ebhardt to assistant cashier at First Southdale National Bank. Both have been with the bank’s installment banking department sin ce 1967, Mr. Roberts as managing officer sin ce 1969. MANKATO: At Security State Bank William Wolenhaus , formerly an a s s is tant vice president at the National City Bank, Minneapolis, has been elected vice president, and five men have been added to the board of directors. The five are: Chester M. Wilier, John P. Mueller, Thomas P. Frederick, G .E . Corcoran, and Robert M. Muellerleile. LAKEFIELD : According to the Comp troller of the Currency, the estate of Earl C. Sucker recently sold 256 of the 1,000 outstanding shares of the First National Bank to Harold G. Thornburg, Sr. MARSHALL: An open house was held last month at the Western State Bank in recognition of Wally A. Regnier, vice president, on the occasion of his 25th anniversary with the bank. Coffee and cookies were served. A recognition dinner was held in the evening at Club 59. In attendance were the directors and officers of the bank. Don Aschbrenner, president, presented Mr. Regnier with a watch MINNEAPOLIS: Wheelock Whitney, chief executive officer of Dain, Kal man & Quail, Inc., has been elected president of the Investment Bankers A ssociation of America. Christy Armstrong Le0 K «a e •WE HAVE WHAT YOU WANT in a correspondent bank* A m e rica n Tru s t and Savings Bank 9TH AND MAIN. DUBUQUE. IOWA MEMBER: FOIC • FRS NEBRASKA NEWS GRAND ISLAND: Five area banks have filed formal protests with the State Department of Banking over the pending bank charter applications for the Five Points area. The banks are: The State Bank of Cairo, the Bank of Doniphan, the First National Bank of Grand Island, the St. Paul National Bank, and the Bank of Wood River. LINCOLN: Chairman Frank Wille of the FDIC has announced the appoint ment of Robert E. Barnett of Lincoln as assistant to the chairman. Mr. Barnett, a Lincoln native who served with a New York law firm and then returned to Nebraska in 1967 as e x ecutive counsel to Gov. Norbert T. Tiemann, since January has been executive director of the Nebraska Constitutional R evision Commission. LINCOLN: Paul J. Amen has been elected ch ief executive officer of National Bank of Commerce in ad dition to his position as president. Glenn Yaussi will continue as chair man of the board of the bank and as chief executive officer of NBC C o., a one-bank holding company that owns the majority stock in the bank. Mr. Amen has been president of the bank since March 15, 1967, the same date Mr. Yaussi was elevated from president to chief executive officer and chairman. Starting January 1, 1971, Mr. Amen will assume full operation of the National Bank of Commerce and Mr. Yaussi w ill devote more time to the holding company. MONTANA NEWS BILLINGS: The FDIC has approved coverage for the Western Bank, a new bank with total capital a c counts of $500,000. BILLINGS: The FDIC has approved coverage for the Western State Bank, which has total capital accounts of $500,000. BILLINGS: Controlling interest in the Security Trust and Savings Bank has been sold to Homer A. Scott, a rancher and president of the Bank of Commerce, Sheridan, W yo., from R. M. Waters, chairman of Security Trust and Savings, Warren F . Vaughan, president, and O. M. Jorgenson, for mer chairman and president. Mr. Scott w ill become chairman, Mr. Vaughan will continue as president, and Messrs. Jorgenson and Waters will remain on the board. GREAT FALLS: The Federal R e serve has given approval to the Montana Bank to establish a drive-in facility in Great F a lls. C all on the "Perform ance TeamV.. Specialists in underwriting and distributing Municipal Bonds. FIRST NATIONAL BANK B TRUST COMPANY OF LINCOLN https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bob Scott 13th and M Street • Lincoln, Nebraska 68501 • Member, F.D.I.C. Strengthening international banking connections and services through City National Bank’s International Department has become quite a custom. >4 National Bank >*-> & Trust Company K AN SAS CITY, MISSOURI Member F.D.I.C. u>- WYOMING NEWS CASPER: Dick Corbridge, vice pres ident and trust officer for the First National Bank of Casper has re signed his position to become a vice president and trust officer of the Southern Arizona Bank & Trust Co. of Tucson, A riz., effective Janu ary 4. Mr. Corbridge started at First National in 1949. His su ccessor w ill be Don Swanton, who has been associated with Mr. Corbridge since 1964 as a trust officer. CHEYENNE: Mrs. Dorothy Ann Becker has been sentenced 18 months in a federal prison by a U. S. District Court in Cheyenne for her com plicity in the abortive holdup of the Stockgrowers State Bank at Evanston, Wyo., on August 28. The 43-year-old mother of five is a native of Santa Monica, Calif. The principal figure in the at tempted holdup, Donald Edward Donohoe of San Pedro, C a lif., has pleaded not guilty to the robbery by reason of insanity and not being presently mentally incompetent to stand trial. JACKSON: Vern Hughes has with drawn as an organizer of the pro posed Jackson Hole National Bank and has been succeeded by Hugh Soest, according to a spokesman for the group, Karl Johnson. According to Mr. Johnson, Mr. Hughes withdrew because of an apparent “ discrepancy with the capitalization .’ ’ RAWLINS: William M. McIntosh, a Sweetwater rancher, has been e le c ted a director of the First National Bank, according to Floyd Rummel, pres ide nt. WHEATLAND: A. Edward Kendig, president of the First National Bank, has been elected Wyoming director of the Independent Bankers A ssociation of America. He has served as a mem ber and vice chairman of the a s s o c i ation’s standing committee on taxa tio n and competing financial institu tions. Consumer Spending. . . ADVERTISING HELPS For the agricultural banker — ads, mats, editorials and newsletters that s e ll full service banking to farmers. Samples available. Farm Business Council, Inc., 1300 Hagan Street, Champaign, Illinois 61820. ï y r1 (Continued from Page 1) for the 1971 calendar year, Mr. Roche said, compares with the pre strike estimate of 9.5 million to 9 ¿7 million cars for the model year ending September 30, 1971. “ We are also expecting that the new American small cars, such as GM’s Vega, w ill recapture some of the market from foreign cars. In 1971, sales of imported cars in the United States are expected to a c count for about 11% of the industry total, down from the 15% share estimated for this year,’ ’ he said. WANT ADS Rates 25 cents per word per insertion. M inim um : 12 words. NORTHWESTERN BANKER 306 15th St., Des M oines, Iowa POSITION AVAILABLE New state bank seeking young, e x perienced banker knowledgeable op erations, credits, lending, e tc ., as executive vice president capable of assuming presidency in several years. Should be available early 1971. Write F ile B C T, in care of NORTHWESTERN BANKER, 306 15th St., Des Moines, Iowa 50309. LA SALLE MOVES AHEAD LaSalle National Bank, Chicago, has installed a Centrex telephone system to give you better service. You may now dial direct to Max R oy and Cy Kirk on their new number (area code 312) 443—2774. Of course, Max Roy may s till be reached in Iowa City (319/338—5224) and Cy Kirk in R ock ford (81 5/3 9 8-95 21 ). Their home stamping ground remains the same — LaSalle National Bank, 135 South LaSalle Street, C hicago, 111. 60690. POSITION WANTED 39 year old bank officer with 17 years operations, credit and insurance experience available after January 1, desires responsible and challenging position. Resume on request. File DFB, NORTHWESTERN BANKER, 306 Fifteenth Street, Des Moines, Iowa 50309. “ THE CATTLEMAN’ S POCKET GUIDE’ ’ An ideal gift for your ranch and farm customers. Pocket size booklet with .calculated prices and weights on ca lv e s, yearlings, cow s and fat cattle. Your advertising available on the back cover or .45* per copy with out advertising. For more information write to R essler and Berndt, In c.— Box 201, Mandan, North Dakota 58554. POSITION AVAILABLE V ice President and Cashier of $37 million assets East Central Illinois bank. All inquiries kept confidential. Send resume in com plete confidence to Box BCR, in care of the NORTHWESTERN BANKER, 306 Fifteenth Street, Des Moines, Iowa 50309. ! FOR SALE Four inch thick vault door and modern four window teller unit —for informa tion ca ll or write Earl F. Kooker & A ssociates , Bank Design Consultants , Spencer, Iowa. Phone (712)262—1499 EXECUTIVE GIFTS We have — SONY TV Calculators Stereo Dictating Machines Radios Tape Recorders — priced from $13.95 to $2,400. Contact: Economy Service Co. Tom C. Hutchinson 1115 High Street Des Moines, Iowa Telephone (515) 244—0114 No. 1262 Northwestern Banker is published five times monthly (including magazine issue) by the Northwestern Banker Company, Digitized for306 FRASER Fifteenth Street, D es Moines, Iowa 50309. Subscriptions 50* per copy, $6 per year. Second c la ss postage paid at Des Moines, https://fraser.stlouisfed.org Iowa. Address all mail subscriptions, changes o f address (Form 3579), manuscripts, mail items to above address. Federal Reserve Bank of St. Louis >^
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