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NOBXHWESTERN VUIllUl if M JkJ 1 4 ^ a m W D EC EM B ER 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Photo: Courtesy of Iowa REC News W ishing you a M erry C hristinas W ith a Happy and Prosperous New\fear. J a m e s E . C o q u ille tte P r e s id e n t P e te r B ailey V ice P re s id e n t In v e s tm e n t D ivision J e r r y N .T ru d o A s s is ta n t V ice P r e s id e n t I n te r n a tio n a l D iv isio n B a lk e R. B a le s V ice P r e s id e n t O p e r a tio n s D iv isio n F F o r b e s O lb c rg E x e c u tiv e V ice P r e s id e n t Merchants National Bank is i A 'BANKS OF IOWA BANK C edar Rapids, Iowa 52401 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 3 Merry Christmas from your friends at The Bank. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o r th w e s te r n B a n k e r, D ecem b er 1974 4 it’s our m ove That’s a fact, Scarborough is moving —to new and larger offices. Another fact is this, the same professional bank insurance leadership you’ve come to expect of Scarborough will continue. In addition to a complete Bankers Only medical plan, available thru Scarborough Assoc., we will continue with The Bankers Special Bond, Trust Operations Surcharge Liability and Directors & Officers Liability Insurance along with a full range of specialty coverages designed for banking today. The next move is yours. Write or call collect for the Scarborough bank protection story. We’ve been writing it for almost 60 years. Scarborough the bank insurance people Scarborough & Company, 222 N. Dearborn St., Chicago, Illinois 60601, Phone (312) 346-6060 N o r th ste rn B a n k e r, D ecem b er 1974 Digitized forw eFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 5 ^ IB A A P lann ing 1 9 7 5 C onvention Registration materials are expected to reach independent banks this month for the 45th annual convention of the Independent Bankers Association of America, to be held March 16-20 at >the Las Vegas Hilton Hotel in Las Vegas. IBAA officials at Sauk Centre, - Minn., said details of the convention program and entertainment are ex pected to be ready for release at an early date. The 1976 convention is scheduled to be held at the Sheraton Waikiki Ho tel in Honolulu, Hawaii, March 1418, 1976. Oldest Financial Journal Serving The Central and Western States for your December, 1974, reading 81st Y e ar No. 1335 FEATURE ARTICLES *■E rnest Baughm an Is E lected P resident o f Dallas Fed Ernest T. Baughman, 58, has been > elected president of the Federal Re serve Bank of Dallas, Tex., by „ the board of di rectors of that ‘ b a n k , effective December 9. Mr. Baugham has been with the Federal Reserve Bank of Chicago s i n c e 1946, serving as first vice presiE- T- b a u g h m a n dent since 1970. A native of Iowa, Mr. Baughman “ was reared in the Little Falls, Minn., area, receiving undergraduate and graduate degrees in agricultural eco-nomics from the University of Minne sota. He joined the Seventh Federal Re s e rv e Bank of Chicago in 1946 as an agricultural economist. He was named assistant vice president in 1952, later ^serving as vice president and senior vice president before being named to the first vice presidency. He has also served as associate economist for the Federal Reserve System Open Market Committee. Mr. Baughman is well known throughout the Seventh Federal Re serve District, as well as the entire midwest, particularly in his capacity "■as a faculty member teaching mone tary policy at the Central States Grad uate School of Banking at the Univer sity of Wisconsin, Madison. He is also a trustee of the Farm Foundation. 10 Convention Calendar 12 Bank Promotions and Changes 14 Corporate News 18 The Bankers’ M arket Place 23 Lending and Credit Training: Innovations for Better Results— William S. Burt 24A Report on First National, Chicago, 28th Conference of Bank Cor respondents—Malcolm Freeland 25 Management of Assets and Liabilities— //. Jack Runnion, Jr. 28 How Bankers Can Meet Community Challenges— Raymond D. Vlasin 31 Four Point Inflation Plan by ABA President—Malcolm Freeland 32 St. Louis Conference Draws 1,475; Comptroller “Authorizes” POS Units— Malcolm Freeland REGIONAL BANKING NEWS Illinois News 35 52 Wyoming News Minnesota News 39 52 Montana News Twin City News 40 53 Id a It News South Dakota News 48 55 Nebraska News North Dakota News 48 56 Omaha News Colorado News 50 60 Lincoln News Idaho News 50 63 Iowa News Oregon News 50 76 Des Moines News OTHER FEATURES 80 In the Directors’ Room 80 Index of Advertisers NORTHWESTERN BANKER 306 1 5 th S tr e e t , D e s M o in e s , I o w a 5 0 3 0 9 . P h o n e 5 1 5 __ 2 4 4 - 8 1 6 3 Publisher Editor M a lc o lm K. F re e la n d Advertising Assistant S h e rr i N ie ls e n Pield Representative AI K e rb e l B en H a lle r , Associate Editor J r. L in d a Circulation Department Dee T im m e rm a n Field Representative P a u l M a s te rs L. L a rs o n Auditor B e r th a S o d e rq u is t Field Representative G le n H ic k s N ° . 1 3 3 5 . N o rth w e s te rn B a n k e r is p u b lis h e d m o n th ly b y th e N o rth w e s te rn B a n k e r C o m p a n y , 3 0 6 F if te e n th S tre e t, D es M o in es Io w a 5 0 3 0 0 c „ K ,r r ,'n. tio n $ 1 .0 0 p e r co p y , $ 1 0 p e r y e a r. S e c o n d class p o s ta g e p a id a t D es M o in es a n d a t a d d itio n a l m a ilin g o ric e. A d d re ss a ll m a il (su b sc rip tio n s 'c h a n c re nf a d d re s s F o rm 3 5 7 9 , m a n u sc rip ts , m a il item s) to a b o v e a d d re s s . v i j ge ot https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st ern Ban ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 9 MGIC announces MAGICUS. ^our key to success w ith FNM A, FHLMC, and GNMA program s. L eon T. K e n d a ll, P r e sid e n t, e x p la in s w h y MGIC, a fte r stu d y in g le n d e r n e e d s, c r e a te d "M A G IC U S” — a w h o le n e w sy ste m to aid in stitu tio n s and lo a n p r o c e sso r s u sin g g o v er n m en t p ro g ra m s. users, we’ll electronically flag errors and omissions so you can correct them before submitting your loan packages. “Our new application will be a big help, too. I t’s a ‘com bination’ form for both standard and government coverages. Yet it’s short and simple, and designed so your typist can answer questions without manual shifting.” W hat is MAGICUS? W hat is the con version p r iv ile g e and how does it help lenders? “MAGICUS is MGIC’s new system to give lenders greater profit and ease when insuring government loans. It includes new coverages to 1 meet specific FNMA, FHLMC, and GNMA minimums; a new conversion privilege on standard plans; one simple application for all programs; a guide to steer loan processors through red tape; computerized screening of FHLMC loan applications for errors; and much, much more.” H ow does MAGICUS help profits? “It shortens manager and loan processor learning time. Helps avoid errors and paperwork. And most importantly, it can cut costs substantially by reducing loan rejection rates.” H ow can MAGICUS p rev en t errors? “Our Loan Processor Guide points out the danger spots on all forms. It also clarifies regulations and underwriting guidelines. For FHLMC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “I t’s a way of keeping your options open. For instance, if you are not sure a loan will meet government quali fications, or if you haven’t arrived at a portfolio deci sion, you can select any of our standard plans with higher coverage and convert to government minimums later. If you decide not to go government, you’ll have greater protection and greater acceptance of the loan in the conventional secondary market.” Why should len d ers use MAGICUS and the n ew govern m en t program s? “In the months ahead, the ability of any originator to adequately serve local homebuyers is likely to depend on use of the FNMA, FHLMC, or GNMA pro grams. The Emergency Housing Credit Act has authorized billions of dollars in special funds for con ventional loans needed in these difficult times. These funds will help lenders serve their builders and realtors as well as their community. And MAGICUS will help both new and experienced users of government programs streamline pro cedures and cut costs.” H ow do len d ers go about putting MAGICUS to work? “The best way is to call in your regular MGIC repre sentative. He’s one of our 120 field experts and he’s specially trained to explain not just MAGICUS, but all of the government pro grams, to you and your staff. Another convenient way is to order your free MAGICUS kit following the instructions below.” Note: The insurance form and rates for the M A G IC U S program have been submitted to the insurance regulatory authorities of all states. F re e M AGICUS K it S p ecial k i t —con'«'«> f ta in in g b ro ch u re / on M A G IC U S , / new co v erag e plans, / L o an P ro cesso r G u id e to all g o v ern m e n t p ro g ra m s a n d form u se— is y o u rs for th e ask in g . W rite or call o u r hom e office (toll-free n u m b e r 800-558-9900—in W isconsin 800-242-9275) to d a y . MGIC Better Homes For More People Mortgage Guaranty Insurance Corporation MGIC Plaza, Milwaukee, Wl 53201 N o rth w e st ern Ban ke r, D ecem ber 1974 iü May 15-17— NABW Northwestern Regional Conference, Washington Plaza Hotel, Seattle. May 23-25— NABWT Western and Rocky Mountain Regional Conference, St. Francis Hotel, San Francisco. June 4-6— NABW Lake, Midwest and Central Regional Conference, Holiday Inn, Bismarck, N . D . June 4-8— Colorado Bankers Association Annual Convention, The Broadmoor, Colorado Springs. June 8-10— Nevada Bankers Association Annual Convention, Sahara Tahoe Hotel, Lake Tahoe. June 9-11— Minnesota Bankers Association Annual Convention, Arena-Auditorium, Duluth. June 11-13— Wyoming Bankers Association Annual Convention, Jackson Lake Lodge, Moran. June 15-18— Idaho Bankers Association An nual Convention, Sun Valley Lodge, Sun Valley. June 18-21—Utah Bankers Association An nual Convention, Main Lodge, Sun Val ley. June 19-20— Oregon Bankers Association Annual Convention, Sunriver Lodge, Sunriver. June 19-21— Washington Bankers Associa tion Annual Convention, Tyee Motor Inn, Olympia. June 19-21— Montana Bankers Association Annual Convention, Jackson Lake Lodge, Moran, Sep. 29-Oct. 2— BMA Annual Convention, Marriott Hotel, New Orleaas. Oct, 4-8— ABA 101st Annual Convention, New York. Oct. 17-18—Association of Registered Bank Holding Companies Fall Meeting, Kahala Hilton Hotel, Honolulu. Convention Calendar Jan. 26-29—ABA 56tli National Trust Con ference, Hotel Fontainbleau, Miami Beach. Jan. 29-31— Western Agricultural Lenders Institute. University of Wyoming, Lara mie. Feb. 9-11— BAI Bank Security Conference, Dallas. Feh. 23-26—ABA Bank Investments Con ference, Atlanta Marriott, Atlanta. March 2-4— AB V National Credit Con ference, American Hotel, New York. March 16-2(1— Independent Bankers of America Annual Convention, Las Vegas Hilton. March 23-26—ABA National Marketing Conference, Hyatt Regency, Chicago. March 31-Apr. 4— ABA Trust OperationsAutomation Workshop, Palmer House, Chicago. Apr. 6-9— BAI Western Regional Conven tion, San Diego. Apr. 7-9— ABA National Instalment Credit Conference, Conrad Hilton Hotel, Chi cago. May 4-6— Illinois Bankers Association An nual Convention, Palmer House, Chi cago. May 4-6— Nebraska Bankers Association Annual Convention, Omaha Hilton, Omaha. May 7-9— North Dakota Bankers Associa tion Annual Convention, Grand Forks. May 11-14— ABA National Operations & Automation Conference, Americana Ho tel, Bai Harbour. May 15-16— South Dakota Bankers Asso ciation Annual Convention, Holiday Inn, Aberdeen. Oct. 26-29— Iowa Bankers Association 89th Annual Convention, Hotel Fort Des Moines, D es Moines. Oct. 26-29— BAI 51st Annual Convention, Atlanta. Nov. 10-13— Robert Morris Associates 60th Fall Conference, Hyatt Regency, Atlanta. Independents Plan Forum on Purchase and Sale o f Banks At their recent meeting in San An tonio, Tex., members of the Inde pendent Bankers Association of Amer ica executive committee voted to con duct a forum during 1975 on buying and selling banks. This will be a project of the bank ownership and management succes sion subcommittee, chaired by Robert D. Dixon, president of the Rolfe State Bank, Rolfe, la. It will be geared to the independent bankers who wish to keep independent banks independent by developing alternatives to selling to multibank holding companies and large chain banks. No specific date has been set for the forum, tentatively scheduled for next fall. When developed in its entire for mat, the forum is expected to bring independent bankers together with specialists on law, tax, bank stocks and other aspects of bank transactions, Mr, Dixon said. fora wrap that ca rft be rapped! The new Cummins 130 Coinroller counts and wraps coins faster and more efficiently than any other coin handling machine. And the Cummins 130 provides the ideal wrap and crimp for each denomination— including half-dollars! The Cummins 130 is completely automatic and, depending on the denomination, counts and wraps from 1,100 to 1,300 rolls per hour. When counting only, it averages over 2,000 coins per minute. And it’s backed by Cummins nationwide service! When used with Cummins 130 Masteroll wrappers, this coin-wrapping tandem can't be equalled. Masteroll is a continuous roll of ABA color-coded wrappers, which are automatically dispensed in the best length, for the denomination being wrapped. They can also carry your name and a promotional message. Write Cummins for more information on the new 130 Coinroller and Masteroll wrappers. Call your nearest Cummins office or write: Cummins, 828 Waukegan Rd., Glenview, IL 60025. Or call 724-8000. B3 C U M M I N S M C U M M I N S -A L L ISO N C O R P . I------------------------------------------------------------------------------------------------------------------------------ 1 | □ Send me your brochure on the new Cummins 130 Coinroller. □ Also send me the new folder on Cummins Masteroll. I I | NAME______________________________________ ________________________ — | TITLE_________________________________ — ---------------------------------------- — -------- I COMPANY__________________________________ ___________________________ | | I I I ADDRESS____________________________ __________________________________ CITY_____________________________ STATE__________________ ZIP----------------29-1344 N o rth w e st ern B an ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis j On an average day, Bank of America's Bank Investment Securities Division does a 2id billion dollar business. One reason we do such an impressive volume is the wide range bf securities we can offer. We make and maintain markets m U.S. Treasury Obligations, Federal Agency Securities, Bankers' Acceptances, Federal Funds, Bank CD's and Taxexempt Notes and Bonds to provideihe investor with a wide range of investments. Another reason our daily trading volume runs into 10 figures is that investors like the way we do business. Our security specialists make it a point to talk »to clients on a person-to-person basis. And our experts are always available for a quick consultation by phone to discuss an accounts financial goals and the best strategy to reach them. Another important point: our trading room in San Francisco has the advantage of being open for hours after the East Coast market has called it a day You can well imagine the advantage of having this extra transaction time. Why not talk to our security specialists to find out how your company can profit from our large stock of securities and our exceptional staff. _ _ For more information, call Bank of America, Bank investment Securities Division. In San Francisco; (415} 622-2630, m Los Angeles: (213) 683-4215, and in New York (212) 747-5800. areoarstoetu-trade. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12 B ank P rom otion s a n d C hanges and other news P ROMOTIONS have been announced by the fol lowing banks: Commerce Bank of Kansas City: P. V. Miller, president, has announced the election of James Campbell to con sumer banking officer. Mr. Campbell is assistant manager in the credit department. He joined the bank in May, 1972, as a financial analyst for the controller’s department. Prior to that he served as a cost ac countant for Farmland Industries. Continental Bank, Chicago: Andries H. J. Jansma has become gener al manager of the bank’s New York Edge Act subsidiary, Continental Bank International. He formerly was man ager of the bank’s branch in Amster dam. He succeeds N. Joel Smith who has been transferred to Chicago as head of North American and Edge Act banking activities in the international banking department. First Chicago Corporation: Robert O. Anderson, chairman and chief executive officer of Atlantic Richfield Company, has been elected to the board of this corporation and The First National Bank of Chicago, First Chicago Chairman Gaylord Freeman recently announced. William J. Korsvik, vice president, has been given, the responsibility of de- Looking for good people for your bank? Look no farther than Bankers Per sonnel. We maintain a substantial file of available banking personnel, at all levels of employment. And we know banking and banking people throughout the country. We're the Twin Cities first and only em ployment agency designed, developed, directed and staffed by fellow bankers. Call 338-8111 or write: Bankers Personnel, Inc. Fifth Floor, l.B.M. Bldg. 245 Marquette A ve. So. M p ls., Minn. 55402 All inquiries strictly confidential. N o rth w e st ern B an ke r, D ec em ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis v e 1 o p i n g and maintaining cont i n u i n g liaison with central banks around the world in his new post in the international banking depart ment. Mr. Kor s vi k has served as as sociate secretary of the Federal Advisory Council of the Federal Reserve System since 1955, and as a member of the consulting committee of bank economists to the Comptroller of the Currency since 1965 in addition to heading First Chicago’s business and economic re search division. He will continue in special econom ic consulting and lecturing assignments and will work with customer compa nies and correspondent banks at home and abroad. A native Chicagoan, Mr. Korsvik joined the bank in 1935. He is an asso ciate director of the Graduate School of Banking at the University of Wis consin, from which he was graduated in 1951, and serves as a director of the Illinois Council on Economic Educa tion. Succeeding Mr. Korsvik as vice president and chief economist of First National Bank is Eugene A. Birnbaum, who was elected to that post after moving to First National from Chase Man hattan Bank in New York. At the Chase, Mr. Birnbaum was vice E. A. BIRNBAUM president for in ternational economic research from 1969 to 1971 and since then has been director of the international monetary affairs division and economist. Pre viously, he served in various govern ment posts in Washington for 20 years. First National City Bank, New York: Eight new vice presidents have been named. They are William S. Chapin, III, and William W. Conklin, capital goods department of the World Corporation Group; Barnaby C. F. Blatch, national banking group; Ira S. Rimerman, New York banking group; William H. Friesell, operating group; Keith E. Glisch, New York banking group’s money market division; Ken neth Ford, public affairs department, and Malcolm Kitson, real estate lend ing, New York banking group. Harris Bank, Chicago: Sam S. Fawley, vice president, has been named di vision B admin istrator in t h e Chicago g r o u p commercial s e c tion. He assumes the post vacated by F r e d O. S a c k , senior vice presi dent. Mr. Sack has elected op tional retirement effective January 31, 1975. Until then, he will continue as deputy executive of the Chicago group and will also handle problem situations. Mr. Fawley, who has been with the bank since 1951, has been in the com mercial banking division for several years. Also announced was the promotion of six officers to assistant vice presi dents: Stephen P. Dustman and Ron ald M. Swinford, investment depart ment, Cornelia L. Brooks, trust de partment, and George H. Bahe, Robert J. Barton and Werner E. Zoglauer, all of the operations department. Mercantile Trust Company, St. Louis: The following promotions have been announced: Robert L. Firle, James P. Foley, William H. Laird, IV and John W. McClure, assistant vice presidents. Mr. Firle came to the bank in 1970 and has been a personnel of ficer since 1971. Mr. Foley joined the tabulating department in 1951 and is now manager of the computer opera tions division. Mr. Laird has been in surance manager in the comptrollers department since 1973. Mr. McClure came to the bank in 1971 and has re sponsibility for correspondent-cor porate relationships in Texas, Okla homa and Kansas. Valley National Bank of Arizona, Phoenix: Howard C. McCrady has been elected a senior vice president and appointed to the newly-created PROMOTIONS . . . ( Turn to page 14, please) 13 W il Rogers is a N orth C en tral Life R edcoat. A d ed ica ted insurance professional in th e fullest sense of th e word. A lthough we carefully selected him and pay him . he really works for you. His job is to show von how to effectively and profitably m er chandise insurance services to vour custom ers right along w ith vour savings, checking, lending and o th er services. W il is backed bv a team of hom e office pros whose b len d ed skills form the u ltim ate in custom er collaboration — “ Red C o at Service” . “Red C oat Service” , (exclusive w ith N orth C en tral, and one of th e reasons w hy w e’re considered the lead er in insurance through financial institutions), provides tailored-to-your-needs insurance program s; creates d irect mail and point-of-purchase m aterials for you; shoulders your adm in istrativ e and book keeping chores; and, w here necessary, even to tally trains vour staff. and makes available th ree vital benefits: (1) N O -L IM IT C R E D II OR INSURANCE. A program th at allows vou to get im m ediate over-the-phone approval for extended coverages beyond the lim its for w hich vou norm ally can c o n tract (2) INSTANT RATE CALCULA TION S. N orth C en tral can solve your co m p licated rate problem s in a m om ent, via com puter, w henever you have need for im m ed iate calculations. (3) Instant answ ers to your questions from N C L ’s Red C oat specialists. N orth C en tral sets the w hole thin g up for you. And con tinu ally solves any problem s for vou as vou go along. M hat do you do? M ake money! And p ro tect vour custom ers from the unexpected. For m ore inform ation on how W il, or any o th er of N orth C en tra l s expert fieldm en can work for you, call th e Red C oat Desk at th e num bers shown below : Wis.,N. Dak. S Dak., la , Nebr And, im portantly, “ Red C oat Service” gives vou access to the Red (m at Desk — N orth C e n tra l’s unique, toll-free, d irect, n atio n al H O T -L IN E system th a t links vou to our hom e office Minn.-(800) 792-1030 (800)328-1612 All Other Areas - (800) 328-9117 North Central Life Insurance Company NORTH CENTRAL LIFE BUILDING, 275 EAST FOURTH STREET, ST. PAUL, MINNESOTA 55101 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st ern Banke r, D e c e m b e r 1974 14 BANK PROMOTIONS . . . (Continued from page 12) position of chief financial officer, ac cording to James B. Mayer, chairman and chief executive officer. Mr. McCrady will be responsible for the departments concerned with financial planning, budget control, profit plan ning, accounting and tax reporting. ROMOTIONS and other P announcements have been by the following firms: news made American Express Company, New York: Howard L. Clark, chairman and president, has announced new titles for general managers of the travel related services divisions as follows: Michael E. Lively, senior vice president, has been named president, Travelers Cheque division; Ray F. Muilan, vice president, has been named president, money order divi- Give to Christmas Seals. It’s a matter of life and breath. O ver forty million A m ericans suffer som e breathing disease. Lungs are priceless.T hats why C hristm as Seals are precious. Using Christm as Seals Says thanks for life and breath. 4 » Fight TLung I Disease Fight emphysema, tuberculosis, air pollution Space contributed by the publisher as a public service N o rth w e st ern B a n k e r, D ec em ber 197 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis sion; Aldo Papone, senior vice presi dent, has been named president, travel division; and Maurice Segall, senior vice president, has been named presi dent, card division. Bank Building Corporation, St. Louis: Richard A. Engstrom has joined the northern financial facilities division as a consultant services man ager representing the company in northern Illinois. Previously, Mr. Engstrom was di rector of sales and marketing for Chi cago Northwestern Development Com pany, Mount Prospect, 111., a firm specializing in the development of sin gle-family homes, condominiums, and town houses. CMI Credit Insurance, Inc., Madi son, Wise.: Edward G. Silbernagel has been named president of this subsidi ary of CMI Investment Corp. (NY SE). Mr. Silbernagel has been executive vice president of CMI Credit since its creation in August, 1970. Bruce Thomas, chairman of CMI Investment Corp. and president of CMI Credit since its beginning, will become chair man of CMI Credit, an insurer of mo bile home loans, and will continue as the company’s chief executive officer. Mr. Silbernagel previously was vice president of Mobile Americana (MoAmCo). Earlier in his career, he set up the administration of Foremost In surance Company’s pioneering mobile home credit insurance program. Robert Shanklin has been appointed manager for Continental Mortgage In surance, Inc. He succeeds Thomas L, Kuehne, who has been promoted to vice president for marketing for Con tinental’s parent company, CMI In vestment Corp. Daktronics, Inc., Brookings, S. I).: This manufacturer of 100% solid state time and temperature equipment and changeable message centers has built new facilities at 331 32nd Ave nue. Dr. Aelred I . Kurtenbach, president, reports the firm has consolidated its office and manufacturing personnel in to a new 14,000 square foot facility located on its 20-acre building site ad jacent to Interstate 29 at the Intersec tion of U.S. 14. The new facility, designed for future expansion, is presently adequate to house the company’s scoreboard and voting system for assembly business, in addition to the time and temperature and message center business. The building includes space for administra tion and design electronic assembly sheet metal fabrication, electro mechanical assembly, and complete full load test facilities. United States Check Book Company, Omaha, Nehr.: John Rasmussen has joined the com pany. Mr. Ras mussen was grad uated from the U n i v e r s i t y of South Dakota in Vermillion. He is assigned to the sales division, ac cording to Rich ard Dick, sales i . RASMUSSEN ’ , ... manager, and will be calling on banks. June E llison Nam ed St. Louis A dvertising W oman o f the Year June Darby Ellison has been chosen Advertising Woman of the Year by the Advertis ing Women of St. Louis, Inc. Mrs. Ellison is a public relations officer for Me r c a nt i l e Tr us t Company, St. L o u i s, the largest bank in the state of Missouri. For the past 17 J. D. EUISON years Mrs. Ellison has worked in nearly every phase of the bank’s communications program. She is the 1969 recipient of the Investment Bankers of America Association Award of Merit for simplifying the technical terms in her consumer pamphlets on municipal bonds. Mrs. Ellison is currently midwest regional vice president of the National Association of Bank Women with re sponsibility for coordinating the ac tivities of 12 groups in Missouri, Kan sas, Nebraska and Iowa. She is vice chairman of the bank marketing and public relations committee of the Missouri Bankers Association, the only woman to actively serve on that com mittee. She has been active in numer ous other business and community ac tivities. Mrs. Ellison is a graduate of Kansas State University, holding a Bachelor of Science Degree in industrial jour nalism. This began a 33-year career in communications. She has been asso ciated with radio stations KHMO, Hannibal; WMBH, Joplin; KSD and KWK, St. Louis. You have to live with your decisions. Your decisions about accounts receivable loans may go by the book and still not be worth the paper they're written on. < On the one hand, accounts receivable are a particularly attractive form of collateral. On the other hand, receivables and the cash they generate are the most difficult forms a of collateral to secure. Validity of invoices and proper accountability of collections are underlying problems affecting the worth of collateral on every loan. Lawrence gives you the strongest guarantee on accounts receivable available in the financial industry. -« We're specialists. Sixty years of experience have resulted in a simple, workable system that allows us to guarantee both the validity of all invoices offered as collateral and total accountability for funds received in payment of those invoices. As a supplement to your procedures, our services eliminate these dual problems affecting collateral worth. You are free to accept or not accept the loan on its own merits. One decision at a time. First, call us. Or write. Or, mail the coupon. A Lawrence representative will call for an appointment to show you the benefits of including Lawrence among your day-to-day decision making tools. Lawrence Systems, Inc. Attn. Mr. P. B. Dooling Jr., Vice President | 180 North LaSalle Street j Chicago, Illinois 60601 | Please have a representative | phone me for an appointment. J Name Title Phone | Address_____________________________ __ J C ity/S tate/Zip j | N |^ I LAWRENCE SYSTEMS, INC. INA CCORPORATION We protect your judgement. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 16 S tate-L ocal Taxes A re $577 p e r Person paid an average of A MERICANS $577 in taxes to state and local governments in fiscal 1973 — a jump of $55 per person from the previous period — notes a Commerce Clearing House report of the latest Census Bureau data. Per capita state-local tax burdens, which grew heavier in every state, ranged from a low of $342 in Ar kansas to a high of $894 in New York (the first time the $800 level has been passed). The fiscal period saw Ar kansas replace Alabama with the low est per capita burden while New York remained at the top for the eighth straight year. California, with a per capita burden of $739, was in the runnerup spot. At the bottom of the scale, only Ar kansas was below the $350 level, whereas in the prior fiscal period there were four states — Mississippi, South Carolina, Arkansas and Alabama — with per capita burdens below the $350 level. The median burden was $514, a $53 jump from fiscal 1972. Total state and local tax collections for fiscal 1973 were $121.10 billion, up $12.30 billion from the $108.80 billion for the prior period. The 1973 figures represent a jump of almost 100% from the revenues collected for PROFIT CONSCIOUS ??? With the recent rate changes in many states, does your loan department have available to its’ borrowers all of the newest programs? Are your credit insurance earnings where you be lieve they should be? Our package of Credit Life, A & H and/or Mortgage Life is the answer to any borrower’s problem. Loan and mortgage protection, complete coverage for guaranteed payments is available with no extra work for you. ITT LIFE is now licensed in 45 states and has grown bigger and better to meet your changing needs. Would you like to see how we can increase your profits? For further information call the man in the picture, Dave Kluesner at 715/669-5405, or write to him at ITT LIFE, Box E, Thorp, Wisconsin 54771. ITT Life Insurance Corporation N o rt h w e st ern Banke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis fiscal 1967, $61.24 billion. New York again led the states with a sum in excess of $16.3 billion, while California closely followed with $15.2 billion. Pennsylvania reached the $6.9 billion mark and Illinois nearly hit that level. Michigan pulled in more than $5.7 billion. Thirty-one states currently form the ranks of the “billionaires” club of states collecting at least one billion dol lars, up three states from fiscal 1972, CCH reported. Nam ed NABW E xecutive Manager Sharon Pierce has been named ex ecutive manager of the 14,000 member National Associa tion of Bank Wom en, Inc. Her ap pointment w a s made immediate ly following the NABW 52nd an nual convention in Orlando, Fla. Ms. Pierce has served the associ ation as assistant executive director for five years. She is responsible for supervision and direc tion of all ongoing NABW programs and activities. Phyllis M. Haeger, executive director of NABW, remains in charge of longrange planning and directives. FDIC C eiling Now Is $ 4 0 ,0 0 0 The insurance ceiling for deposits and savings accounts owned by the general public in insured banks, sav ings and loan associations and credit unions was doubled from $20,000 to $40,000 when President Ford signed H R. 11221 into Public Faw 93-495 on October 28. The law became effec tive November 27, 1974. On that same date, the law provides $100,000 federal deposit insurance for time and savings deposits of public funds by federal, state and local gov ernments in the above federally in sured institutions. Heads H ereford A ssociation George Schlickau, Haven, Kan., was elected president of the American Hereford Association at the organiza tion’s annual meeting held in Kansas City. Mr. Schlickau succeeds P. H. White, Jr., Dyersburg, Tenn. Elected to serve as senior vice-presi dent was Byron Bayers, Twin Bridges. 17 Member FD I C. Speed m processing securities should be a number one pnonty for your correspondent. In the most efficient system one day clearances are possible. W ho has developed and operates such a system effectively? Irving Trust Company Where there's more to banking than just money. Irving Trust A Charter New York Bank Company NumberOneWall Street. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w estern Banke r, D ec em b er 1974 18 The B ankers' M arket P la ce COMPREHENSIVE reference A work, Bank Administration Man ual, describing the latest banking methods and information generated by technology, legislation and administra tive policies and practices has been published by Bank Administration In stitute, Park Ridge, 111. The new publication consolidates many articles that appeared in an earlier edition (1970) and includes significant regulatory policies that af fect all banks. The manual examines more than 200 subjects, ranging from automation to Regulation Q, Approximately 30 new topics have been incorporated in the new work, confirming the need for a complete update of the earlier ver sion. Bank Administration Manual con sists of 950 pages in two hardbound volumes. Each volume is covered with a durable leather-like material and contains two indices — one topical and the other functional. Copies have been mailed without charge to the voting representatives in all BAl member banks, as well as the personnel officers, operations officers, auditors and controllers in banks with resources of $50 million and over. Cost of the manual is $30 (BAI mem ber discount price: $15). Write: BAl, P. O. Box 500, 303 S. Northwest Highway, Park Ridge, III. 60068. T 'O PROVIDE graphic demonstration of the operating simplicity and customer service versatility of its TABS Total Automatic Banking Sys tems, Diebold, Incorporated is now making available a twelve minute color film through its nationwide marketing organization. “ I read ‘CATTLE INFORMATION’ with interest and find 99 it beneficial in planning. V J Frank Sibert Northwestern National Bank Omaha, Nebraska “ I’ve known Ralph May for 20 years,” Sibert continues, “ and I’ve found his advice and counsel to be a valuable aid in keeping abreast of the livestock business.” People like Frank Sibert have profited from Ralph May’s forecast for years. And now this advice is available to you in “ Cattle Informa tion” , an up-to-the-minute analysis of the cattle business mailed direct to you from Ralph May. Fill in the coupon be low and mail today for a sample copy. CATTLE INFORMATION, INC. Box 401 Valentine, Nebraska 69201 Yes - I want to try Cattle Information □ Send me a sample copy □ Enter my subscription and bill me 1 year - $25.00 Name .................................................. Bank .................................................... Address .............................................. Zip. City .................. State ........... In a scene from the new Diebold color movie, “ Money Grows Up: A New Era In Banking,” this construction worker uses a Diebold TABS Total Automatic Banking System to pay a utility bill on his way to work. Titled, “Money Grows Up: A New Era In Banking,” the Diebold TABS film, following a brief review of the various media and modes by which man has exchanged objects of value, points out that automated banking is no longer in the future, but is here to day. It proceeds to show how installa tion of Diebold TABS Total Auto matic Banking Systems can enable a financial institution to eliminate the crunch of rush-hour banking by be ing “open” 24 hours a day. Three examples of how the system can serve typical financial institution customers are portrayed. The conclusion of the film ties the Diebold TABS Total Automatic Bank ing System, in both the walk-up and drive-in configurations, into a com pletely automated facility, available now as a result of the Diebold Total Capability concept. For additional information, please contact Diebold, Incorporated, Can ton, Ohio 44711. old, First National NOWBanknineof years Arizona’s VIP Courtesy Card has helped nearly 13,000 people Digitized forwFRASER N o rth e stern Banke r, D ec em ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 19 W hy the commodity hedger is your ideal loan customer. When you loan money to producers of cattle, hogs, eggs, potatoes, butter, milo or lumber, he uses those commodities as security for the loan. That’s good security, but the value of those crops could go down severely during the life of the loan. The very best security would be those same commodities protected by a hedging contract on the Chicago Mercantile Exchange. Hedged commodities are convertible into cash for a fixed amount regardless of market conditions. Therefore you can safely loan up to 100% of the hedged value. That’s good for everybody— your bank and your customer. e CHICAGO MERCANTILE EXCHANGE 444 West Jackson Blvd., Chicago, Illinois 60606 Gentlem en : Dept. 3338 Please send m e. .copies of “Price and Loan Protection Through Hedging. N am e A d d ress Our free booklet, ‘Trice and Loan Protection Through C ity Hedging” is must reading for bankers with S ta te agricultural accounts. Order as many copies as you need with the coupon. A F E D E R A L LY LICENSED CO NTRACT M A R K E T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Z ip N o rth w e st ern Ba n ke r, D e c e m b e r 1 9 7 4 20 FIRST National Bank of Arizona’s Mary Salazar displays VIP check cashing card. Card allows out-of-state visitors to cash personal checks for up to $500 at any of First National’s 111 statewide offices. from across the nation during their visits to Arizona. The VIP Courtesy Card program is the prearrangement of check cashing privileges for a visitor at any of First National's 1 1 1 statewide offices. The embossed, wallet-size card is issued by Arizona’s oldest bank to any individual recommended by his hometown banker. During his visit to Arizona, the traveler can present the card and his INVESTMENTOPPORTUNITY Em bryo tr a n s p la n t.. . the new est technique in the applied science o f cattle produ ction ... offers an outstanding tax shelter and profit opportunity for pru dent investors. A way to invest in exotic cattle breeds with a better than average possibility for high return. • T ax shelters, involving invest ment credit and depreciation m ay more than offset initial in vestm ent costs for the first two years on a five-anim al contract purchase. • Choice o f options for future in vestm ent growth. • A ll calves can be insured at birth. • D e v e lo p e d by e x p e rie n c e d cattlem en. check at any First National office and, without any other identification, cash a personal check up to $500. There is no cost for the VIP service to either the visitor or his bank. The VIP program also is proving helpful to out-of-Arizona based cor porate executives who have established plants or offices in Arizona and make trips to the state. Further information concerning the VIP program can be secured by con tacting the Corporate Banking Depart ment, First National Bank of Arizona, Phoenix 85036. \ COLORFUL slide presentation prepared by the Independent Bankers Association of America pro vides a 15-minute down-to-earth dis cussion of what a rural community really is, and why it’s so important to the economic and social health of America. Titled “The Round Trip Dollar,” this 80-slide show narrates the eco nomic interdependency of rural and urban America. The I BAA says “It emphasizes the central role the inde pendent, community bank plays, as op posed to the office or subsidiary of a giant system in a distant metropolitan banking center.” The slide presentation was created and produced by the association’s agriculture-rural america committee. Details may be obtained from the I BAA, Box 267, Sauk Centre, Minn. 56378. Corp. offers lit C UMMINS-Allison erature on its newly designed Model 10 Paper Shredder. This unit will shred up to 300 pounds of paper per hour into V^-inch strips, yet is compact enough to “fit anywhere in any office.” And it is able “to destroy entire folders of files . . . paper clips, staples and all.” To receive a copy of Form No. 13C493, write to: Cummins-Allison Corp., 800 Waukegan Road, Glen view, 111. 60025. “ Gold M ine” o f EFTS Facts An extensive bibliography of se lected printed views on the latest FOR INFORMATION CONTACT laVERNE BAXTER: agsource marketing, Inc. R t 2 / G R A N D IS L A N D . N E 68801 1308) 384 0789 or 382-7265 ACORN Registers “ Accepted Sale Registers by Bank Clerks Everywhere" For information write THE AC O R N PRINTING CO . Oakland, Iowa N o rthfor w eFRASER stern Banke r, D ec em ber 19 7 4 Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis developments in the field of electronic funds transfer systems (EFTS) has been published by the American Bank ers Association. The nearly hundred page bibli ography, titled A Digest of EFTS Thinking Today, was produced by the ABA payments system planning Divi sion in cooperation with the ABA marketing division. RMA O fficers Installed Frank R. Dyer, Jr., executive vice president, The Philadelphia National Bank, Philadelphia, Pa., assumed the presidency of Robert Morris Associates (RMA) during the association’s 60th Anniversary Fall Conference at the Hyatt Regency Atlanta. Mr. Dyer suc ceeds Norman J. Collins, senior vice president, The South Carolina Na tional Bank, Columbia. More than 1,700 RMA members and their spouses witnessed the instal lation of the Association’s new officers and directors at the Conference banquet. RMA's newly installed first vice president is Robert A. Young, president, Northwest Bank, Van couver, Wash. Dan W. Mitchell, presi dent, Old National Bank in Evansville, Ind., was installed as second vice president. Four new directors were elected to three year terms. They are Ben S. Barnes, Jr., executive vice president, The First National Bank of Atlanta, Ga.; James J. Preble, president, United Bank & Trust Company, Hartford, Conn.; Willis F. Rich, Jr., executive vice president, Northwestern National Bank, Minneapolis, Minn.; and Edwin A. Schoenborn, executive vice presi dent, Irving Trust Company, New York City. Distinguished service awards were also made. Those receiving RMA’s highest honor were: Weyman Horadam, senior vice president, Bank of the Southwest, N.A., Houston, Tex.; Maurice R. Kirkwood, vice president, American & Trust Co., Indianapolis, Ind.; W. E. (Dick) Loebmann, director, First Na tional Bank, Rochester, N.Y.; and Charles T. McGarraugh, senior vice president, Northwest Bancorporation. Double-size voucher checks that are word) more because they cost less. We now carry our most popular double-size voucher checks pre-assembled and ready for crash-printing* to meet most customer needs. This reduces the cost of these checks to your commercial accounts. Which makes our double size voucher checks worth more . . . because they cost less. Your customers will like the ease and convenience of using these modern carb-out forms. And you will like being able to offer them this bargain in quality and efficiency. DeLuxe crash-printed double size voucher checks. Available in all four popular check styles in duplicate or triplicate with voucher at bottom. Ask your DeLuxe representa tive for complete information. Carb-out binding. Original in any of five safety paper colors. • ' Available in duplicate' or triplicate. * ln crash-printing, copies are printed through carbon in one press run. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis CHECK PRINTERS,INC. SALES HDQTRS. • 3440 N. KEDZIE, C H IC A G O , ILL. 60018 STRATEGICALLY LOCATED PLANTS FROM COAST TO COAST N o rth w e stern Banke r, D e c e m b e r 1974 22 INDIVIDUAL BANKS COMMITTED TO MUTUAL GROWTH The Continental Correspondent Community Consulting Bank Management • Objectives Investments • Structure • Policy Communications • Systems Where correspondents explore management alternatives CONTINENTAL BANK CONTINENTAL ILLIN O IS NATIONAL BANK AND TRUST COMPANY OF CHICAGO 231 SOUTH LA SALLE STREET. CHICAGO, ILLINOIS 60693 N o rt hfor w e st ern Banke r, D e c e m b e r 1 9 7 4 Digitized FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 23 Lending and Credit Training: Innovations For Better Results By WILLIAM S. BURT Senior Vice President Citizens & Southern National Bank Atlanta, iGa. . . . delivered before the Robert Morris Associates’ 60 th Anniversary Fall Conference last month. a Documentation Manual which covers how to handle most all secured trans actions. We also have our General Op erating Guides which are directives that include information on Regulation U, the Fair Credit Reporting Act, and so forth. subjects relating to the lending of money such as loan policy changes at C&S, changes in accounting rules, les sons to be learned on charge-offs, tips T Citizens & Southern National on documentation, etc. Bank of Atlanta, we have four Some of the more recent subjects basic areas upon which our per covered are policy on guaranty letters formance is judged and these are de of credit, quality of earnings (dealing Tapes velopment of people, profits, loans, with phantom profits due to the fifo and deposits. You will notice the first 4. We then have our in-house trainevaluation of inventory) and the im ing aids of which I would like to men portance of cash flow statements on is people. Training is pretty much “on the tion two. We have the “HSS Tape” real estate credits. which is a cassette tape on “Comments job.” As for in-bank credit schools, we Generally, we have trainees do out on Credit at CS” made by Howard think they should follow a logical side and inside collecting, then move Starks, a senior officer in our bank progression, with each school building them to a customer service desk. This who is assisting us in our credit ad on the previous one. We also feel that takes place during their first year after ministration effort. On this tape, one should have training goals. While which they might become an instal Howard talks candidly about the things being constantly aware of the quality ment loan manager or assistant branch that we are doing right, and also some of training, set objectives as to the manager for perhaps six months. of the things we are not doing that we number to be trained. At C&S, our Those chosen for commercial loan know how to do. He discusses some goal this year is to reach 550 people positions would then move to our careless mistakes, such as inadequate through our credit training programs. credit investigation and improper credit department for further training. We have about a dozen in-bank documentation, with live examples of credit schools and seminars at C&S. Schools and Aids how this has cost us. He touches on At C&S our credit training schools the sometimes complacent attitude in These schools are in addition to a and aids fall into four general cate loan administration, such as not work four- six months tour in our credit analysis department, plus another six gories. ing past-dues. weeks of training where the people are 1. We have the C&S In-Bank These tapes were sent around to the assigned to work with an experienced Schools which I will come back to loan personnel throughout our system loan officer. later. for all to hear. It has proven to be a 2. Next, we make use of Robert very quick and efficient way to com 4 Training Packages Morris Associates training aids, such municate a very important message to l would like to discuss four of our as the film, “The Tender Traps,” and our people. training packages which are perhaps the Loan Officer Development Semi a bit unique to C&S. Newsletter nar package. 1. Basic Credit Training — This 3. We make use of various credit Another training aid we have used package includes a consumer loan manuals. One is our Loan Administra is a “Credit Newsletter.” This semi course and a commercial loan course. tion Manual which deals in detail with monthly newsletter is produced in our These courses are the first intro financial and credit analysis and covers credit administration area and sent to duction our people get to credit train various types of lending. We also have all loan personnel. It includes timely ing. Before taking on lending responsi- A https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o r th w e s te r n B a n k e r , D e c e m b e r 1 9 7 4 24 bilities they are expected to complete these courses. The participants are ex posed to this training just prior to be ing assigned to a customer service desk where they begin making a few con sumer and commercial loans. This is before they have had an opportunity to attend any of the formal in-bank schools such as our commercial loan school. Each of these courses can be com pleted in about six hours and they are taken on an individual basis. The courses consist of a series of audio cassette tapes covering subjects such as the loan interview, credit investiga tion, making the loan decision, and how to make certain types of consumer and commercial loans. In the commer cial course, we also cover financial statement analysis to include sessions on the balance sheet, operating state ment, and the more important trends and ratios they need to know about. In addition to listening to the tapes, the student has reading assignments in our Loan Administration Manual, Documentation Manual, and the Gen eral Operating Guides. A workbook is furnished with the course and the students are tested as they complete each segment. The objective is to give the partici pants a good basic working knowledge of how to go about lending money to individuals and businesses. Perhaps most important, they learn where to go for help — be it a manual or a senior loan officer. Advantages We have found that after completing these courses the participants have broadened their credit knowledge and, therefore, are much more confident in their capabilities to serve our custom ers. The results lead to better loans. One of the real advantages of these courses is that they are administered on an individual basis and can be given almost immediately as the need arises rather than having to wait several weeks to attend a formal school. Another benefit is the ability to con duct the courses at any of our bank locations. There is no necessity for in structors and classrooms. 2. Accounting/Finance Class — After one of our trainees has been on our Career Development Program for about a year and a half and if he is destined next to move into a line posi tion in commercial lending, he is sent to our Accounting/Finance class. N o rt hfor w eFRASER st ern Ba nke r, D ec em ber 1974 Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis This program was designed about four years ago in cooperation with the Graduate School of Business at Georgia State University. While unique at its inception, it has served as a prototype for other bank training pro grams. The class runs seven weeks and covers basic accounting, financial ac counting and planning, advanced fi nance and financial statement analysis. The same case type or decisionoriented training used at our other credit schools is expanded during this class. "Each p a r tic ip a n t is a ssign ed to w ork very clo sely w ith an ex p e rie n c e d loan o fficer f o r 6 to 8 w eeks . ” The 70-hour intensive course is con ducted in the bank in Atlanta as well as outside of Atlanta in our other C&S cities. We like to have at least 15-20 students in each class which is held every morning from 8 to 10 a.m. The students get 30 hours in accounting and 40 hours in finance. The accounting section covers a basic accounting model for the pur poses of refreshing the students’ memory, and then approaches ac counting from a user’s standpoint. The finance section delves into pro forma statements, cash budgets, present value and cash flow analysis, as well as capital structure and cost of capi tal. Classes in Atlanta are taught by professors from the Business School at Georgia State University. The stu dents are required to do a good bit of reading in preparation and study time is made available in the afternoons. Supplemental Classes In addition to the regular classes, we hold supplemental classes to dis cuss various types of lending which are prevalent at C&S, such as lending to motor carriers, leasing, term loans to small businesses, and commercial fi nancing. There are also sessions relat ing to customer profitability analysis and the analysis of specific industries such as contractors and builders. These discussions are led by experienced loan officers. After completing the Accounting/- Finance Class, the trainee moves im mediately into our credit analysis de partment for a four to five month tour. 3. Loan Officer Development Pro gram — This stage of development is entered immediately after completing the tour in our credit analysis depart ment. Since very few of these people have had any first-hand experience in handling commercial accounts, we concluded there was a real need for a formal, extended on-the-job credit training program where each partici pant is assigned to work very closely with an experienced loan officer for six to eight weeks before taking direct ac count responsibility. Practical Experience The loan officer development pro gram provides a transition period be tween the academic atmosphere of the analysis area and the practical applica tion in a line position. It is an oppor tunity to gain practical experience by observing the day to day activities of and working with an experienced loan officer in a controlled environment re moved from account responsibility and the pressures found in a line posi tion. Training during “LOOP” should en tail but not be limited to exposure in the following areas: Techniques in evaluating manage ment’s character and ability, Personal contacts with the customer through in-bank interviews and outside joint calls, Analysis of loan proposals and par ticipation in the loan decision, Loan structuring, actual documenta tion, pricing, loan agreements, etc., Administration — working on prob lems loans, normal follow-up proce dures, working past dues, loan review and credit file documentation, and Familiarization with automated L&D and ILD system. One of the most important consid erations in the LODP is the careful se lection of the “sponsoring loan of ficer.” We want experienced, com mitted loan officers with a proven track record who can successfully im part their knowledge to the analyst and who have a real interest in assisting in the development of our young people. A positive attitude is a must. The sponsor can be a great influence on the trainee by teaching him good lending habits and stressing their importance. The LODP program was started just Le n d in g . . . ~ ( Turn to page 46, please) 24A He indicated th a t recent polls show th at 73% of Americans w ant price and wage controls, and th a t they will be adopted by a governm ent th a t really w ants inflation! Inflation is made in W ashington, according to Professor Friedm an, even though officials like to blame business and labor. He reminded the audience th a t the governm ent is the only source th a t has control of the printing presses th a t tu rn out paper money. Looking ahead four to five years, he sees an annual rate of inflation th a t could approach 20 % . Bankers Views The prim e le n d in g ra te by mid-1975 will be about 8.5% , RUTGERS UNIVERSITY according to the annual poll taken among delegates at the conference. A m a jo rity of d e le g a te s also FEATURED SPEAKER Paul Nadler, prof., Rutgers Univ., looks on as William Dwyer, expressed the following views: Dow v.p., host bank, presides. Jones by November, 1975 - 800; chances of recession deepening into a depression - low; general business conditions in 1975 - worse; long term F irst o f C h icago C o n feren ce interest rates next year - lower; total deposits next year - higher; loan ratio - about the same, and profits in 1975 - about the same. yr.r.D.iNddler View Possible Return to Price And Wage Controls; More Inflation MALCOLM FREELAND, Publisher “ r 1 1REM ENDOUS pressure will be exerted for a return to price and wage controls - either within the next few m onths or in late 1976.” This was the prediction made by Dr. M ilton Friedm an, noted profes sor of economics from the U niversity WORLD FOOD PROBLEMS were discuss ed by Secy, of Agric. Earl Butz. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis of Chicago, in a keynote address at the recent 28th Conference of Bank Correspondents held by the F irst National Bank of Chicago. Professor Friedm an said th a t price and wage controls have been tried for 2,000 years and have never worked. FAMED Dr. Milton Friedman gives his views on inflation. Butz Address ‘‘Eventually, population will outrace food production unless there are restraints on population grow th.” This was the view expressed by Secretary of A griculture Earl L. Butz a t the annual banquet. Secre tary Butz reported on the World Food Conference held in Rome recently. He indicated th a t if there is going to be any food security in the PANEL ON PROFITS— Harry Schaller, pres., Citizens First Natl. Bk., Storm Lake, served as a panel member on community bank profits. N o r th w e s t e r n B an ke r, D e c e m b e r 1974 How Synergetic is M oiAm erica? https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Being synergetic is the briefest way of saying that we work together smoothly. We are a registered bank holding company of fering diversified financial services in the areas of commercial banking (Jackson State Bank & Trust, Maquoketa, Iowa; First Trust and Savings Bank, Wheatland, Iowa), consumer finance (Morris Plan), leasing (LeaseAmerica Corporation), venture capital (MorAmerica Capital Corporation) and commercial mortgage financing (MorAmerica Mortgage Com pany.) We serve the nation. MorAmerica Financial Corporation Peter F. Bezanson, President 200 American Building Cedar Rapids, Iowa 52401 AC 319-363-0261 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 24D unbundle products where possible to create more products and packages to in cre ase m a rk e t p e n e tra tio n through tailored service relation ships. Other ideas mentioned were: discontinue products if they cannot generate profits, and analyze the expense ledger by evaluating person nel and physical facilities. PLANNING comments for Conference are from left: William J. Korsvik, v.p.; Nicholas J. DeLeonardis, v.p., and Richard L. Thomas, pres., First Chicago Corp. and flexible to m eet p o ssib le increased loan losses, as well as to influence governm ent authorities to take appropriate action to m oderate the rate of price increases. Gaylord Freem an Report B ank Profits W ith the continued expansion of “ We believe th a t asset growth will the F irst National Bank of Chicago, diminish and th a t we m ust search Gaylord Freem an, chairm an of the diligently for alternative ways to board, found it necessary to be m aintain and increase our profita present at opening ceremonies of the bility . ’’ bank or affiliates in Manila, Seoul, This was the m essage given by Bangkok and Singapore. In a William T. Dwyer, vice president in printed text, Mr. Freem an expressed charge of Division F (correspondent his concern over inflation and the banking). He suggested th a t banks d ire c tio n of th e econom y. He should reprice products to create suggested th a t bankers have an adequate m argins on each identifi especial responsibility to be prepared able product. Loss leaders m ust be for the problems incident to both understood and formally recognized, factors. Futherm ore, he recom he sa id . S econd, M r. D w yer mended th a t banks rem ain strong recommended th a t banks should world, it m ust be based on rising food production. He suggested th a t the A dm inistration policy presently is based on full production. 1975 Outlook “ There will be sluggish, lackluster performance of the economy in the m onths ahead ... but with some resum ption of real growth in 1975.“ This was the prediction made by William J . Korsvik, vice president. Mr. Korsvik sees an easing in inflationary pressures in the years ahead, a decline in short-term rates from present historic highs, and a topping out of long-term interest rates. Interest R ates Nicholas J . DeLeonardis, vice president, bond departm ent, money m arket division, said, “ W ithin the c u rre n t econom ic fram ew o rk , I suggest th a t 90-day Treasury bills will have a rate of between 6 % to 6 V2% in mid-1975. Federal Funds may trade below 8 %, and 90-day commercial paper could easily touch 71/2 to 8 %. A prime rate of at least 8 % is within the realm of possibility by mid-1975.” As for longer term rates, Mr. DeLeonardis sees three to five year Government securities yielding IV a to 7 V2 %. Over the last four business downturns, Federal funds have, on average, declined 64% from their peak, three-m onth Treasury bills 55%, four to six-m onth commercial paper 46%, three to five-month G o v e rn m e n ts 3 6 %, an d AA A corporate bonds 12% .—End. RECORD ATTENDANCE— Up 20% over last year - gathered at annual outlook session. Included in the registration of over 1,200 were from left: Lynn S. Fuller, exec, v.p., Dubuque Bk. & Tr. Co., Nevin Bowser, v.p., host bank, and Clarence Frame, pres., First Natl. Bk., St. Paul. N o rth w e stern Ba n ke r, D e c e m b e r 1 9 74 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 25 . . . delivered at a panel discussion before Robert Morris Associates’ 60th anniversary Fall Conference at the Hyatt Regency in Atlanta, Ga., last month. here are four basic aspects of asset and liability man agement. The first is liquidity; the second, sensitivity balance; the third, optimal return; and the fourth, management of footings. T Historical Overview Before going into the details of the four aspects I think it would be well to review the history and development of asset and liability management in the domestic banking system. This period of development occurred over ap proximately the last 20 years, and took place in four stages. In the early fifties the banking system was in a highly liquid position, resulting from the years of the depression, World War II, and the Korean War. Loan to deposit ratios were frequently in the 25 per cent to 30 percent area with anything in excess of 40 per cent being considered at that time a fairly heavy ratio. 1. Under these circumstances, one of the challenges of bank management was to redeploy funds from primarily government securities into higher-yielding earning assets. One of the early steps in this direction was to establish sales finance and other consumer loan activities which, under rate circumstances of the early fifties, formed highly profitable business. It should be borne in mind that at that time bank liabilities were composed primarily of demand and savings deposits, and the banks had very little control over the magnitude of these, except through their market ing efforts. At any rate, during the early to mid-fifties this shift did occur to permit banks to earn higher rates of return through expansions in the loan account. Simultaneous with this and continuing for some time there was a substantial conversion of government securities into tax-exempt mu nicipal bonds. These two actions represented the initial phase of asset management. 2. The second phase of asset management began to occur in the late fifties and continued through the early sixties and was generally referred to as asset allocation. Asset allocation occurred after banks had substantially in creased their loan to deposit ratios and found themselves in a position of having to allocate a scarce resource that formerly had been abundant. During this period there were numerous computer programs, as well as other methods of addressing the asset allocation problem. None of the computer programs worked very well because in essence, they typically involved systems whereby assets were allocated based on the liability mix, with primary emphasis on such considerations as the volatility, stability and liquidity. In some of the systems, savings deposits were considered to be the most stable deposits and, therefore, could be in vested in the least liquid assets, such as home mortgage loans and sales finance paper. Demand deposits, being the most volatile source of deposits, were frequently allocated to the more volatile loans such as commercial and in dustrial short-term loans. Of course, profitability was also one of the criteria in the asset allocation systems, but since banks had no real control over their liability mix, practical usage of these asset allocation systems was not successful. 3. In 1962, with the advent of the negotiable C/Ds, banks began to have some control over their total liabili https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Management of Assets & Liabilities By H. JACK RUNNION, JR. Senior Vice President Wachovia Bank & Trust Co. Winston-Salem, N.C. N o rth w e st e rn Banke r, D ec em b er 1974 26 It hasnow become quite common among larger banks to look to liability manage ment as a prim ary source of liquidity” ties, and a system developed whereby the larger money center banks were able to attract substantial amounts of funds through the sale of these certificates. Simultaneously with this, Federal Funds activity increased substantially, which provided the smaller banks with a method of ob taining a return on their surplus funds, while permitting the larger banks to accumulate additional liabilities on which to make an investment override. This represented the third phase of asset and liability management. 4. The fourth phase of asset and liability management came about with the removal of the Regulation Q rate ceilings on large denomination certificates of deposit. This occurrence permitted banks to have much more control on their total footings and led to the tying together of asset and liability management, which are now almost insepar able as a management concept. assets, they created no problem. However, in many cases, funds derived from the sale of interest-sensitive liabilities were employed in such assets as home mortgages and con sumer loans, which are non-interest rate sensitive. Of course, using funds for this purpose at a time when C/Ds were 5 or 6 per cent resulted in substantial profitability. However, as the cost of money rose to the neighborhood of 12 per cent these loans became substantially unprofit able. Therefore, the name of the game now is to maintain a balance between interest sensitive assets and interest sensitive liabilities. This does not necessarily mean item by item allocation of assets based on liability mix, but it does mean that to avoid a high degree of volatility in re ported earnings, non-interest rate sensitive assets should be kept in balance with non-interest rate sensitive liabili ties. Liquidity Optimal Return Historically, for liquidity purposes, to get back to the first aspect of asset and liability management, banks had looked toward short-term assets to cover fluctuations in unanticipated loan and deposit volume. Now a new tool had become available on the liability side of the bank balance sheet which would permit banks to increase liabili ties for liquidity purposes in addition to, or in lieu of, maintaining liquidity on the asset side of the balance sheet. As a matter of fact, among the larger banks with substan tial outstandings of certificates of deposit, it soon became apparent that it was necessary to use liability management for liquidity purposes, because the inverse yield curve brought about circumstances whereby the marginal cost of certificates of deposit substantially exceeded the rate of return on governmental securities. Therefore, many banks reduced their government port folios, simultaneously reducing their outstanding certi ficates of deposit with the idea being that by reducing the certificates of deposit level, they had created the capacity to issue additional certificates of deposit which would give them the same degree of liquidity as provided by the government bonds disposed of. It has now become quite common among large banks to look to liability manage ment as a supplemental or primary source of liquidity. The third aspect of asset and liability management is to optimize overall profits and return on capital. To do this it is necessary to have in place an acceptable, functional profitability system which will give a true picture of the comparable profitability of various functions and subfunc tions. Assuming an adequate, functional profitability sys tem, marketing policies should be adjusted to emphasize the more profitable functions and subfunctions. This can be done best by employing a marginal cost of funds con cept, both for compensating funds-gathering functions and charging funds-using functions. Once the functional pro fitability system is laid out, it should be overlaid with rate sensitivity considerations so as to avoid a high degree of volatility in year-to-year earnings. Sensitivity Balance The second aspect of asset and liability management is to balance interest rate sensitivity. As banks began to find that they could control the overall size of their footings through the additional issuance of rundown of certificates of deposit, they also found that this added a high degree of volatility to their interest costs. If incremental funds derived from the sale of C /D s were invested in interest sensitive Digitized N o rthfor w eFRASER st ern Banke r, D ecem ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Management of Footings The fourth aspect of asset and liability management is the management of the bank’s footings, both from a total standpoint as well as a maturity distribution standpoint. The larger and more strongly capitalized banks are now in a position to determine the overall maximum expansion in assets desirable and fund these assets through liability man agement. The ability to attract funds through the certificate of deposit market, Federal Funds, Euro-dollars, etc., can permit a bank to plan for orderly expansion in assets, re lying on the purchase of funds to fill the gap left after considering demand, savings and other stable deposits. The bank also can attune the maturity schedules of its assets and liabilities to the most desirable maturity distribution mix. This can be done from a long-term standpoint as to the most desirable mix, and can be modified from time to time in an effort to optimize short-term returns based on interest rate judgment. — End 'ü S Ä ;« ! MI ........,..36 .»a» You’re thinking beyond the routine correspondent assistance you’re getting now. You expect prompt, thorough, professional service. And you deserve it Carry that thinking further. Bring your future to us. THE NORTHERN TRUST BANK 50 South LaSalle Street al Monroe • Chicago 60690 • (312) 346-5500 • Member F D I C Trust Northern ; https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o r th w e s te r n B a n k e r , D e c e m b e r 19 7 4 28 How Bankers Can Meet Com m unity C h allen g es By RAYMOND D. VLASIN Professor and Chairman Department of Resource Development Michigan State University HETHER YOU like it or not, you occupy posi tions of responsibility, positions that make you actual or potential leaders. Others will look to you for your opinions about community problems and possible solutions. They may seek you as a resource in analyzing and solving those problems. They may look to you for leadership, for innovative ideas, or for aid in implementing some positive action. No matter how small or large your community is, no matter how severe your community problems may be you have a potential role. There is a tremendous amount that you can do to help resolve community problems and to create a better place to live, work and recreate. As a current or emerging community leader, one of your first challenges is to be an active and excellent listener and as informed about your community as possible. Yes, listen to those with whom you work, those you serve and those with whom you socialize. But, don’t stop there. Don’t be a selective listener by either habit or because of your usual pattern of associations. Visit those outside your usual pattern or contacts. Visit with the aged, the low income family, the high school student, the teenager, and the unemployed. Listen to the person who decides to pull up stakes and leave. Listen to the person who feels trapped as well as the one who has resources and options. Listen to what they are saying and why. Learn what they and others feel, know, and suggest about problems of the community. W Get the Facts A second challenge is to be factually correct about the nature and magnitude of community conditions, problems and possible opportunities. Process the information you receive. Document it. Share it with other leaders. All of you are familiar with financial accounting. Are you familiar with social accounting and the banks possible role in it for a community? For example, the shortage of adequate housing is a problem in many rural communities. There is a place for having and using well documented in formation on the supply and demand for housing, plus its N o rth w e s te r n B a n k e r , D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis adequacy. You may wish to help foster a broader commu nity survey to document community conditions. Such information is important in avoiding or resolving < arguments over whether or not a particular problem exists. I have observed divisive arguments over whether jobs are in short supply, health services are inadequate, housing is ^ in short supply, poverty exists and opportunities for youth are limited. If these and similar problems or conditions had been well documented and understood by leaders and citizens, the same energies could have been used to argue creatively about how to resolve the problem or improve >the condition. Foster Public Forums A third challenge is to foster an orderly and a continu ous process by which local people can express their views, *preferences and priorities about community problems and opportunities. You can help avoid a community situation in which the professional planner decides what the people want. You can help foster a system whereby citizens’ views are solicited and then plans, including specific al ternatives, are developed in response to those views. Pub lic forums, public hearings, town meetings and other open discussions of issues and consequences of possible actions *can help increase citizen input. Set Targets for Action A fourth challenge, directly related to the third men tioned, is to help foster or develop clearer community goals, purposes and directions and to help translate them h into specific targets for possible action. The clearer the community objectives, the greater the likelihood that specific actions can be taken to to foster such objectives. Also, the clearer the community objectives, the greater the . . . presented at the Midwest Banking Institute sponsored by the bankers associations of Minnesota, Montana, North Dakota, South Dakota and Wisconsin at the University of Minnesota Morris campus. 29 , . en cou rage arid fa c ilita te in ter-co m m u n ity cooperation arid in ter-co u n ty cooperation . likelihood that public and private sectors of the commu nity can combine their forces and resources to get a specific job accomplished. Clarity of community objectives will prove to be most helpful as your community relates to the new and emerging regional mechanisms for planning and development. Use Technical Analyses A fifth challenge is to help foster those technical analyses that may be required to explore possible alterna tive opportunities for the community. Such technical analyses may be essential for determining the relative merits and feasibility of one or more courses of action be ing considered. What may be best for your community may be unique. Your resource base, your labor pool, your financial abilities, your local facilities and services, your customs, and your leadership give you a set of conditions that may not be duplicated anywhere in the state or nation. What is more, the preferences and priorities of the people for whom the development is being undertaken also may be distinctive. Remember, it is not enough to have well intentioned citizens and leaders who are positively motivated. While essential, these must be supplemented with realistic analyses of the opportunities that exist and that can be achieved by the community. Such technical analyses may help highlight potential conflicts between economic and environmental objectives and ways to avoid such conflicts, to name but one advantage. Make Ourselves Available Another challenge is for all of us to clearly make our selves available to help the community. As bankers, you can help with the analyses of what community actions are economically feasible. Your continuous exposure to finan cial planning within the banking community places you in a position to make such contributions. You need not be reminded that financial feasibility is a key condition for lasting success of any community venture. Identify Your Role Still another challenge is to identify the role you can serve and that your bank colleagues might serve in pre serving those opportunities your community now has. Re call Dr. Barlowe’s challenges yesterday concerning posi tive actions to preserve the agricultural land base. He was encouraging you to preserve a key resource. Agricultural land may be sustaining a major economic activity in your community, as may forest land or recrea tion land in other communities. If your community sits idly by and does nothing to plan the use and protection of such lands, a local agricultural base can be lost through un guided competition from other possible land uses. Through neglect a community may lose an important element of its total employment base. It may lose some of the diversifi cation in business and employment opportunities it needs for its future. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis There are still other challenges for you within the com munity. However, I want to spend the remaining few mo ments reflecting on challenges for you and roles you can serve beyond the community. Other Challenges There are challenges for you beyond your community. Some of these are within the broader banking communi ty. Others involve your possible roles in relating to other rural communities, to urban centers, to the multi-county region or the state. I will limit my comments to five chal lenges. First, you can foster a creative attitude within your local community, your banking community and in your region al and state contacts concerning the availability of re sources in rural areas. Positive attitudes about planning for the use of your community resources, about increased resources for rural development and for community devel opment, and about the supply of financial resources and venture capital can only work for your community’s bene fit. Second, you can encourage and facilitate inter-commu nity cooperation and inter-county cooperation. Such coop eration can greatly enhance the assessment of mutual community problems and the design of joint solutions to those problems. There are in fact many effective things communities can achieve through close cooperation with one another. They can improve management of natural re sources, upgrade community facilities and services, aug ment programs for human investment and upgrade old in stitutions or create new ones as necessary. Earlier you dis cussed some of the opportunities for increasing employ ment and for enhancing health care services through such cooperation. Communicate "Third, if you have helped develop clearer community goals, purposes and directions, you can actively help to convey them to others — communities, region and state. If you have an informed stance concerning your commu nity’s future, you and other leaders will be well served in any of your interactions beyond the community. In addi tion, you and other leaders from your community will be better able to capitalize on staff skills and other resources that may be available to you from outside. The various re gional mechanisms discussed earlier are a source of such assistance. Fourth, you can encourage greater clarity in state and national policies for the development of communities and rural areas. We are now about to move into land use planning. However, we are lacking at both the state and Federal levels necessary land use policy. In my own state, we are actively developing land use policy. But land policy cannot stand alone because it must relate to efforts in rural CHALLENGES FOR BANKERS . . . ( Turn to page 30, please) N o rth w e st e rn B a n k e r. D e c e m b e r 1974 30 Scarborough O ffers N ew B ankers B ond Scarborough & Company, Chicagobased bank insurance specialists, has recently made available an updated version of a Bankers Special Bond. The new Bond form, written through Employers Mutual Liability Insurance Company of Wisconsin, Wausau, rep resents a consolidated offering of bank operational insurance coverages that were previously available only as sepa rate policies or riders to the Blanket Bond. Now available as part of the ‘"pack age” are, All Risk Safety Deposit In surance, Cash Letter Insurance, Data Processing Transit and Extra Expense Insurance and Data Processing Transit Liability Coverage. Extortion and Mortgage Fraud Coverages, generally available to Bankers Blanket Bonds as riders, are Joe Orlando W ill Retire Joseph Orlando will retire this month as a vice president of the First National Bank in St. Louis, com pleting a career of more than 45 years of service with that institu tion. He will re tire at age 65. Mr. Or l a ndo joined First Naj. o rla n d o tional in June, 1929, in the col lection department. He worked in a number of departments, then in Dec ember, 1954, was elected an assistant cashier in the correspondent banking division. He has served in that division for the past 20 years and is well-known by bankers throughout Missouri, Illi nois, Iowa, Indiana and Kentucky. also included in the new Bond form. Norman Clark, president of Scar borough, stated: “We have always taken pride in being leaders in the bank insurance field. I think the new Bankers Special Bond demonstrates that we continue in the effort to of fer banks the broadest, most modern insurance protection. “Like the Bankers Special Bond 1968, the new Bond form offers cover age advantages to today’s banks over the Standard Blanket Bond and Safe Deposit Box Insurance forms, which are limited in some areas where we think they should not be — especially in view of today’s banking practices.” Scarborough management advises that the new Bankers Special Bond is available in most states, with some states still to make formal approval on the Bond form and its rating plan. Mr. Orlando was named as assistant vice president in December, 1956, and was advanced to vice president in November, 1970. He attended the Illinois Bankers Schools at Southern Illinois University, Carbondale, in 1955. Instalm ent Credit S chool A pplications Now Being T aken Applications are now being accepted for the 1975 sessions of the National Instalment Credit School, Alan R. Ettman, associate director of the Ameri can Bankers Association’s instalment lending division, announced recently. This is the third consecutive year in the school’s 11-year history that the ABA has found it necessary to sched ule two sessions to handle record num bers of applicants for the program, Mr. Ettman noted. CHALLENGES FOR BANKERS . . . (Continued from page 29) development and to our agricultural and food need and to other policies as well. In short, we need clarity in rural de velopment policy, agricultural policy and land use policy at the state and Federal level, and these policies need to be consistent. As a fifth and final challenge, you can foster strong pub lic affairs educational programs within your community and others. Informed citizens and leaders are crucial to the success of efforts to improve economic and social well being. Programs on public issues and problems, on mat ters of public choice, on roles that governmental units can serve, on possible public and private efforts can yield benefits in increased awareness and understanding N o rth w e stern Banker, D ec em ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The first session, to be held at the University of Oklahoma in Norman, Feb. 9-20, will accept 250 applicants and is already half full, he said. The second session will run June 820 at the University of Colorado in Boulder. I BAA D irectors Elected Independent bankers in 15 states have elected directors to represent them on the executive council of the Inde pendent Bankers Association of Ameri ca. At the conclusion of the election on November 15, Howard Bell, executive director of IBAA, announced at head quarters in Sauk Centre, Minn., that 13 states had elected directors for full three-year terms through 1977, while Nebraska and Massachusetts elected di rectors to complete unexpired terms. New directors from area are: N orthw estern Banker Montana — Philip R. Sandquist, chairman and president, Security B&T, Bozeman. Nebraska — Wesley D. Bowen, senior vice president, Packers National, Omaha (term ends Dec. 31, 1975). Reelected directors from N o r t h B a n k e r area include: w ester n Illinois — Thomas F. Bolger, presi dent, McHenry State Bank. Iowa — Robert D. Dixon, president, Rolfe State Bank. Wyoming — A. Edward Kendig, president, First National, Wheatland. The directors terms commence Janu ary 1. In this instance, as in others, you and your bank col leagues can play a leadership role. You can work supportively with others who have an educational delivery re sponsibility such as our county cooperative extension serv ice personnel. I have given you some specific challenges for using your leadership and professional skills. The ones I have stressed involve your possible roles within the community and be yond in fostering improved economic and social well being. Those of you who are working on community improve ment in a major way know of some of the frustrations that can confront you and your family. One thing that is sure, major successes will not come easy. However, the improve ments surely will be rewarding to you, your family, your colleagues and your community. — End 31 Four Point Inflation Plan by ABA President Robert L. Walton, pres., Farmers & Mer chants St. Bk., Bushnell, III., and Oliver A. Hansen, pres., Liberty Tr. & Sav. Bk., Dur ant, Iowa, discuss success of ABA Ag Credit Conference. Mr. Hansen served as chmn. B y MALCOLM FREELAND P u b lis h e r HE President of the American T Bankers Association (ABA) out lined a four-point program for bank ers aimed at curbing inflation, increas ing farm productivity and returning sta bility to the agricultural sector of the economy. The first step, George L. Whyel told over 800 bankers attending ABA’s 23rd National Agricultural and Rural Affairs Conference in St. Louis, is to encourage anti-inflationary measures at the national level. “The banker should support reduced government spending in most areas. One exception is where increased fed eral expenditures may increase produc tivity.” Mr. Whyel also said bankers need to support some type of world food re serve system and the development of a uniform U.S. policy of food exports that producers and distributors can de ABA AG AWARD was presented to Minnesota Bankers Assn. Present to accept the award pend on. were (from left): Leslie Peterson, pres., Farmers St., Trimont; Clinton Kurtz, v.p., Citi Bankers, he said, should also lend zens St. Bk., Norwood, and Wayne Berthiaume, MBA. support to measures that will give the nation better control over its money supply. Monetary aggregates should be expanded at a moderate and stable rate consistent with non-inflationary economic growth, Mr. Whyel said. Bankers should also seek state ac tion to repeal or liberalize usury ceil ings. Mr. Whyel pointed out that recent federal legislation signed by President Ford overriding state usury ceilings for some business and farm loans in excess of $25,000 was a hopeful harbinger that the government is beginning to recognize the artificial nature of these laws. Banks must also take action to main tain an adequate credit flow for farmers and rural businesses. “As much as possible, banks should support agricultural lending through ANNUAL BANQUET held at Ag Credit Conference was attended by over 800 delegates. Shown in left forefront is Fred Cummings, sr. v.p., Drovers Natl., Chicago. Behind Mr. their own resources and through the Cummings is Bernard Kersey, lowa-Des Moines Natl. Bk. Mrs. Cummings is at far right. correspondent banking system.” — End https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st e rn B an ke r, D e c e m b e r 1974 32 SL Louis C onference D raw s L 475; Mr. Smith emphasized that he does not regard unmanned teller units as branches and shouldn’t be regulated as branches. He concluded that the public wants convenience and bankers shouldn’t sit around for 10 years study ing how unmanned teller machines might affect the market. Survey Edwin S. Jones, chairman of the host C om ptroller "A uth orizes" POS U nits bank, announced results of a poll taken among bankers attending the conference. Here are some of the high B y MALCOLM FREELAND lights : P u b lis h e r Regarding the cost of living index, 48 per cent of the bankers predicted a rise in 1975 by 9 per cent while 23 per cent predicted the cost of living index would increase 12 per cent. While half those responding to the RECORD 1,475 bankers from 20 teller facility within a 50-mile radius poll predicted the unemployment rate states attended the 28 th annual of the head office, or within five miles would climb in 1975 to above 7 per Conference of Bank Correspondents of an established branch. It would in cent, an equal number indicated they held in St. Louis last month by the First clude crossing state lines in order for believed the rate would remain at the banks to serve their respective market 6 per cent level. National Bank in St. Louis. The bankers were in nearly unani James E. Smith, comptroller of the areas. mous agreement that there were few currency, Washington, D.C., was a fea prospects for gasoline rationing being tured speaker. Mentioning that he was imposed next year but were nearly not engaged in “some grand assault on evenly divided on the question of independent banking,” he emphasized whether wage and price controls would that he planned to continue his plan be reimposed. for operation of Point of Sale (POS) A further escalation in the price of terminals and unmanned money trans gold was forecast by the bankers when fer systems. (Details were announced Americans are permitted to buy and in the September 23 issue of the trade gold next year. Nearly half pre N o r t h w e s t e r n B a n k e r Newsletter.) dict gold will reach $200 an ounce in Mr. Smith’s proposal was to appear in the Federal Registry during the first COMPTROLLER James E. Smith is shown 1975. With the prime interest rate current week of December. It authorizes na with Clarence C. Barksdale, pres., host ly ranging from IOV2 to 11 per cent, tional banks to operate an unmanned bank. the majority of the bankers felt the prime rate would range from 8 to 10 per cent by the end of 1975. Optimism was shown for the stock market during 1975, with 81 per cent expecting the Dow-Jones Industrial Average to hold in the 750-950 level in contrast to the present 650 range. The bankers were more pessimistic about the nation’s overall economic growth, however. Forty-three per cent predicted that the Gross National Prod uct would either remain unchanged or drop by 1 per cent. Beef prices are expected to increase by 60 per cent of the bankers who at the same time forecast a drop in the price of soybeans to $7 a bushel from the current $8.50 level. Asked whom they viewed as their most serious competition, 53 per cent INVESTMENT PANEL — Interest rates and the economic outlook were discussed at of the bankers indicated that savings First of St. Louis conference by Murray Weidenbaum, prof, of econ., Washington Univ.; and loan associations currently are the George Shelton, exec, v.p., First of Fayetteville, Ark.; Clifton Luttrell, a.v.p., Fed of St. real competitors of banks. — End Louis, and Frank Spinner, sr. v.p., host bank. A Digitized FRASER N o rth wfor e stern B a n k e rt D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 33 We Can Help You Com ply w ith OSHA The U. S. Government now requires every employer to provide job conditions that are free from recognized hazards that are causing or “ likely to cause" death or serious physical harm. It applies to both private and public business. It is the Occupational Safety and Health Act (OSHA). and it has teeth in it. Failure to meet its standards can subject an employer to heavy fines or even imprisonment. OSHA is here to stay, and with inter pretations changing frequently. Some companies that never dreamed they could be in violation have found they are. We agree with the objectives of this safety act, and make it our business to keep on top of OSHA. At no charge our Risk Improvement Staff is available to help businesses meet OSHA standards. We’re good at this, with our 60 years of experience in safety inspections and accident prevention. See an Employers Mutual Agent in your community, or write our Home Office, for information on this free service and a copy of our comprehensive OSHA “ Service to Policyholders” kit. Employers Mutual Casualty Company Employers Modern Life Company Emcasco Insurance Company Des Moines Union Mutual Insurance Company Providence https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e s t e rn Bv nke r, D e c e m b e r 1974 *1finally m et a big-city banker who knows what’s happening on Main Street. He’s w ith Am erican National?’ “His name is Roy West. And he really knows something about small-town banking. He was telling me about something called the Bond Portfolio Service. It’s a fully computerized investment management system, for even the smallest portfolios. It can give us a really sophisticated portfolio analysis, and complete bond accounting. And it actually reduces clerical costs, too. You know, I think he’s right: We’ve got more than a third of our assets in our investment portfolio, and we should let the computer give us a hand. Next time Roy’s here, I’d like you to meet him. H e’s one big-city banker who understands our situation, too.” LaSalle at Washington/LaSalle at Wacker 60690,/Phone (312) 661-5000/Member FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A M ER IC A N N A TBANKIO NAL AND TRUST COMPANY T H E ID E A B A N K OF CHICAGO 35 Marengo. Directors include William Bruce Beck, Thomas A. Black, Messrs. Crist, Curtin and Marucco, H, P. Myers, and Delbert C. Traughber, all of Stonington; Andrew D. Dougherty and Richard L. Lauwerens, Kincaid, and Conrad Noll, Jr., Springfield. Illinois NEWS WILLIAM O. KURTZ President Chicago ROBERT C. SCHRIMPLE Exec. V. P. Chicago Worth Bank Nam es V ice P resident Worth Bank and Trust has named Donald J. Epifanio, vice president, mar keting and public relations departm e n t, according t o R u s s e l l D. Boyer, executive vice president. Mr. Epifanio previously was as sociated with the York State Bank and Trust, Elm D. J. EPIFANIO hurst, as an officer in the loan department. He also has been associated with Oak Park Trust and Savings Bank and Oak Park Federal Savings and Loan Association. First Ogden Buys Shares in 2 Banks A group of investors, led by Vernon S. Hoesch, president of First Ogden Corporation, a bank service firm, has purchased shares of stock in the First National Bank of Deerfield and First National Bank of Lincolnshire, accord ing to Lyle E. Crear, president of the two banks. Mr. Crear said that all of the cur rent members of the board and the management and staff of the banks will remain, except John H. Kies of Lake Forest and Raymond T. Meyer of Meza, Ariz., who wish to retire. Mr. Hoesch of Naperville and Ken neth Larrance of Highland Park, have been appointed to fill their vacancies on the boards of both banks. Oak Park Trust & Savings Ann ounces Ap p oin tm en t s Frank T. Kriegel has been ap pointed vice presi dent, commercial loan department, at the Oak Park Trust and Savings Bank. Mr. K r i e g e 1 previously served as president and F. T. KRIEGEL https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis director of The Heights Bank in Peoria Heights. Other prior positions include vice president and commercial loan of ficer of The United of American Bank, Chicago, treasurer and controller of Post-Keyes, Gardner, Inc., Chicago, and assistant vice president, First Ar lington National Bank, Arlington Heights. Also announced was the election of Michael E. Payton as assistant cashier. He has been with the bank for eight years. A ppointed at S k ok ie Bank Erman G. Kramer, president of the First National Bank of Skokie, has announced the appointments of Rich ard Powers to assistant vice president, commercial loan department, and Thomas May to assistant cashier, con sumer loan department. Mr. Powers, a native of Indiana, holds a BS degree in business from In- mmm r»» mmmm ÆmummwMm. i R. POWERS T. MAT diana University and a Masters degree in business administration from North ern Illinois University. Mr. May, a graduate of the University of Illinois at Chicago Circle, held a similar posi tion at the Parkway Bank and Trust Company in Harwood Heights before joining the Skokie bank. Charter Issued for S tonington Bank A charter has been issued for the organization of the Stonington Com munity Bank at 108 East Third Street. Total capitalization will be $400,000. Officers are Lawrence B. Curtin, chairman; Maggio M. Marucco, presi dent; Allen D. Crist, vice president, and Robert W. Wolters, cashier, from Worth Bank Names O fficer Worth Bank and Trust has named Joann Moline assistant vice president for the marketing and public relations department, according to Russell D. Boyer, executive vice president. Mrs. Moline joined the bank in 1964 as administrative secretary. Burbank State Bank Elects Cashier Burbank State Bank has announced the appointment of Michael A. Wilson as cashier of the n e w facility at 5440 W. 87th St. Mr. W i l s o n , who was born in Ft. Madison, la., is a graduate of Northwest M i ssouri State Univer sity in Kirksville, M. A. WILSON M°- F° r the Past year he has been assistant cashier at the Bank of Hick ory Hills. Prior to that, he spent four years as an assistant bank examiner for the Federal Reserve Bank of Chicago. Cary-Grove Bank O ffers B raille Checks Braille checks are now available to visually handicapped persons at the First Security Bank of Cary-Grove, according to Ken Crow, executive vice president. Available free, the specially de signed checks are personalized with the customer’s name and address in a booklet of 50 checks. The raised letter ing on the check tells the user where to sign his name, date and payee. IBA W ins Ag Award For the thirty-second consecutive year, the Illinois Bankers Association has received the annual State Agricul tural Award of the American Bankers Association, announced IBA agricul tural division president, James L. Winningham, vice president, State Bank of Arthur, Moultrie County. The award for outstanding service to agriculture, was presented at the N o rth w e s t e rn B an ke r, D e c e m b e r 1974 36 Illinois New s twenty-third National Agricultural Ru ral Affairs Conference, November 1013, in St. Louis, Mo. AMBI R eleases Study An extensive study released recently by the Association for Modern Bank ing in Illinois suggests that the state is hampered in providing jobs and main taining industrial growth because of re strictive banking legislation. The study, “The State of Banking in the State of Illinois”, includes 26 sta tistical studies comparing Illinois with other states among the 10 most popu lous. AMBI, formed in 1973, is composed of more than 265 banks in all parts of the state who are working to get legis lation passed that will permit moderni zation of the state’s banking system. Joins P rin ceton Bank Dennis S. Rubeck has joined the Citizens First National Bank of Prince ton as an operations officer trainee, ac cording to Robert I. Zearing, bank president. Mr. Rubeck, 26, has been associated with the Harris Trust and Savings Bank in Chicago for the past five years as a teller coordinator. joining Lakeside as vice president, marketing. * * * R. Beatty has been elected A LVIN vice president and cashier at Lakeside Bank, Chicago, accord ing to John R. Montgomery HII, bank president. Mr. Beatty be gan his banking career as a com mercial loan of ficer with a large loop bank. He BEATTY served as vice president of Merchandise National Bank, Chicago, for five years prior to You’re in the center of everything when you stay Sheraton and, also, the finest in K A N SAS C IT Y , MISSOURI TELEPHONE (816) 842-6090 FOR RESERVATIONS (s ) P rom -S h eraton M otor Inn S IX T H A N D M A IN STREETS SHERATON HOTELS AND MOTOR INNS. A WORLDWIDE SERVICE OF IT T OTHER SHERATONS. • JOPLIN. MO. SHERATON-PROM MOTOR INN 3600 RANGELINE AT 1-44 AND U S. 71 i WAYNESVILLE-FT. LEONARD WOOD, MO SHERATON MOTOR INN I 44 AND MO. 28, OFF 1-66 t&t 800-325-3535 MAKES IT HAPPEN IN M IS S O U R I. C A L L 1 8 0 0 -3 9 2 -3 5 0 0 Northwestern Banker, December 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Central National Bank has an nounced three promotions to second vice president. They are Jeffery M. Harbour and Michael Polanski, cor respondent banking department, and Robert Rosenblum, commercial bank ing department. Mr. Harbour joined the bank in 1968 and later entered the bank’s man agement training program. He was named assistant cashier in 1973. Mr. Polanski joined the bank in 1971 as a management trainee and was also named assistant cashier in 1973. Mr. Rosenblum has been with the bank since 1971 as a management trainee. * * * Richard J. Tobin has been ap pointed auditor of Northwest National Bank of Chicago, according to Fred Heitmann, bank president. Mr. Tobin comes from Bansley and Kiener, CPA firm. * * * Roger E. Peterson has been named executive vice president of the West Chicago State Bank. He comes to the bank from Marengo where he had been employed for the past eight years at a bank. * * * Emory Williams, a 40-year veteran of Sears, Roebuck & Co., has been elected chairman and chief executive officer of Sears Bank & Trust Co. Mr. Williams, who plans to retire from Sears as vice president and treas urer January 31, will assume the bank post February 1. He will succeed James E. Thomp son, who also is retiring after 43 years with the bank and its predecessors. The bank which is not affiliated with Sears, has been located in the Sears Tower since July 1, when it moved from the merchandising chain’s mail order headquarters. * * * William G. Ericsson, president, American National Bank and Trust Company of Chicago, recently was elected a member of the American Bankers Association’s commercial lending division executive committee. Mr. Ericsson is also executive vice president and director of Walter E. Heller International Corporation. You can’t find a banker who can give you faster decisions than Leonard Schrewe. Because he speaks for First. . . in the Far West. No bank anywhere gives its correspondent bank officers more freedom to act on their own. Because we know our men. And they know their bank. For any special services from overline loans to computerized bond analysis, get the job done better . . . by working with a man who speaks for First. Fast. Some Special Services for Our Correspondent Banks: Fast action on overline loans . . . even if your bank is not yet a First correspondent. Computer services second to none. Years of experience in all forms of EDP. Our computer marketers and technicians will be happy to visit and talk with you. Computerized transit and clearing activities speed up collections with the new RCPC's. Bond Department services, including fast computerized portfolio analysis. Our investment experts are in constant contact with bond dealers nationwide. Leonard J. Schrewe Vice President (314) 342-6470 Personal and Corporate Trust services through St. Louis Union Trust. Largest trust company in Missouri. Over $4 billion in assets. Exchange ideas at our Annual Conference of Bank Correspondents . . . plus special educational seminars. First National Bank in St.Louis Member FDIC https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o r th w e s te r n B a n k e r , D e c e m b e r Ï9 7 4 38 iß is se a so n oj í^indiness. Maf^e tf five tn ro a g ß S pring, h a m m e r, an 3 Mfí, p erß ap s ♦♦ gn/ing o s a m o r e gentíe p a rp ó se . Your Full Service Correspondent Bank o northwestern § National Bank W Of Minneapolis Member FDIC N o rt h wfor e st ern Ban ke r, D ec em ber 1974 Digitized FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 39 at a dinner. Mr. Lien has been a direc tor of the bank for 40 years. Ms. Slet ta, who recently retired, had been with the bank since 1961, most recently as assistant cashier. Minnesota NEWS G. M. PIESCHEL T. L. JEFFERS President Exec. V.P. S prin g field M in n e a p o l is New O fficers at Victoria Directors of the Victoria State Bank, Victoria, have elected Daniel G. Klein as president and Wayne W. Neubarth as vice president and cashier. Mr. Klein graduated from Chaska High School in 1966 and re ceived a Bachelor of Arts degree in D. G. KLEIN W . W. NEUBARTH Business Administration upon gradua tion from Gustavus Adolphus College in 1970. After serving in the U.S. Army, he was employed as a credit analyst by the First National Bank of Minneapolis and then joined the staff at the State Bank of Young America. He has been with the Victoria State Bank since May, 1974, and is currently active in the formation of a develop ment corporation for Victoria. Mr. Neubarth, who has been at the Vic toria State Bank since June, 1974, was previously employed by the Arlington State Bank for five years where he became assistant cashier. He graduated from Arlington High School in 1962, and is a graduate of the Midwest Banking Institute. In addition to his duties at the Victoria State Bank he is also the manager of the Victoria Agency, Inc., an insurance agency re cently formed. Joins New Prague Bank The State Bank of New Prague has announced the appointment of Stephen M. Brush as agricultural representa tive in the loan department. Mr. Brush is a graduate of Southern Illinois Uni versity with a B. S. degree in agricul ture business. Mr. Brush comes to New Prague from Grand Mound, la., where he was https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis assistant cashier at the Union Sav ings Bank with responsibilities as in stalment loan officer and agency repre sentative. To Head A ustin Bank Jerald F. Mohrfeld has been named president of the Sterling State Bank, Austin, succeeding Charles J. Tritz who resigned to accept the position of president and director of the First National Bank of Lakeville. Mr. Mohrfeld has been associated with the bank since June of 1964. He was appointed a director in 1970. L akeville Bank A nnounces Changes Charles J. Tritz has been named president of the First National Bank in Lakeville. Pat Murphy has been elected vice president and director. Mr. Tritz comes to Lakeville from Austin where he was president of the Sterling State Bank. Prior to that he was with banks in Rochester and Clear Lake, S. D. Hanska Bank H onors 2 The State Bank of Hanska recent ly honored Selma Sletta and Paul Lien New Bank O pens To Serve Lake M innetonka R egion The National Bank of Minnetonka has officially opened in its new banking facility at Highway 7 and County Road 101 and recently held an open house, according to Donald L. Smith, president. Other officers of the bank, which was chartered in 1972, are Mrs. Inger Holm, cashier, and David Shanesy, in stalment loan officer. Members of the board of directors include Mr. Smith, Richard Neslund, president, Westbrooke Corp.; Logan Johnson, president, Polivka-Logan, Inc.; Ernest Privic, developer; Joseph Vesely, Hopkins City attorney; Rob ert Taylor, president, Minnetonka Laboratories; John Lambin, president, Lambin Construction Co.; Wyman Nelson, president, Wyman Nelson En terprises. The bank was designed by Logan Johnson. P en n ock Bank Opens in New Quarters State Bank of Pennock recently opened for business in its new quarters. Work on the 3,600 square foot building began last April. The onestory structure sports a spacious lobby area, offices, conference room and drive-up teller window. E itzen S ta te B ank H olds Open House SHOWN is an architect’s sketch of the new Eitzen State Bank, which recently held an open house attended by 600 people. A new feature of the bank is a drive-up window, according to Don Meiners, cash. Walter Becker & Associates of Alta, (a., was the design er and Glenn Huntington the architect. N o r th w e s te r n B a n k e r , D e c e m b e r 1 9 7 4 'IRST National Bank of Minneapo lis has elected Michael C. Brilley of In d ia n a p o lis as vice president in charge of the fixed income re search and the portfolio manage ment division of the trust invest ment department. He s u c c e e d s m . c. brilley Perdita H. Catterson, vice presi dent, who resigned to become assistant executive secretary of the State Board of Investments. Mr. Brilley formerly was responsible for managing fixed income investments at the Merchants National Bank and Trust Company in Indianapolis. Pre viously, he was investment advisor with the Continental Bank of Chicago. Also announced was the promotion of John C. Palmer to trust officer in the pension and profit sharing trusts division. With the bank since 1972, he is a graduate of Gustavus Adolphus College and the Drake University Law School. Sallie L. Kemper has joined the bank as a commercial banking officer. For the past four years, she has been an assistant vice president of First Na tional City Bank, New York City, with responsibilities as director of cus tomer support and product develop ment. * * Neil W. Peterson has been elected vice president and John D. Wangsness, treasurer of Lease Northwest, accord ing to James R. Campbell, president. Lease Northwest is a subsidiary of Northwestern National Bank of Min neapolis. EXAMINING a Red River oxcart at the “ Opening of the West’’ exhibition recently at the Northwestern National Bank of Minneapolis are from left: Philip B. Harris, chmn., Jim Roush, dir., Wyo. State Fair & Wyo. Pioneer Museum, Douglas, Wyo., and John Moor head, sr. chmn. Northwestern National Bank of Minneapolis officially launched the city’s Bicentennial observance with “The Opening of the West,” an exhi bition featuring more than $2 million in western art. This first in a series of heritage events to be sponsored by the bank also Digitized N o rthfor w eFRASER stern B an ke r, D e c e m b e r ¡ 9 7 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis served as a salute to the Minnesota Historical Society on its 125th anni versary. Highlighting the exhibition spread over the bank’s street and sky way levels was a benefit reception N o vember 12 for funds for the Society’s collection of art from explorer and pio neer periods. Mr. Peterson is a Nebraska native and a graduate of Hastings (Nebraska) College and Stonier Grad uate School of Banking. He was with Banco from 1964 to 1967 and most recently was executive vice president of American State Bank of Edina. Mr. Wangsness has been with Lease Northwest since early this year. He had previously been in the systems and controller’s divisions of Northwestern Bank. A graduate of St. Olaf College, he is a native of South Dakota. Carl R. Pohlad, president of Mar quette National Bank, has announced the appointment of Richard Holmes as assistant vice p resid e n t. Mr. Holmes has joined the corre spondent bank di vision where his primary respon sibility is b a n k contact in south R. HOLMES e r n Minnesota and Iowa. Mr. Holmes brings more than 10 years of experience in the development of marketing of bank data processing systems with Marquette Computer Corporation, American National Bank and First Trust Company. A native of Wrenshall, Minn., he is a graduate of the University of Minnesota, Duluth. Mr. Pohlad also announced the ap pointments of Sandra Dockter to in- S. DOCKTER P. JOHNSON 41 f We’re in Mon., Dec. 9th W e f r e in ! We made it! We’re in the beautiful new American Bank Building . . . and the big move has lifted that “good ole American Spirit” even higher. Seems you just can’t walk through our new bank without getting a smile from somebody. The Bankers of American invite you to try it, with a personal tour of our building. We’ll show you how our friendly people and modern new bank can work for you. Drop by any time you’re in town! The Bankers of Am erican The American National Bank and Trust Company • 5th and Minnesota • 228-2345 • St..Paul, Minnesota 55101 • Member F .D .I.C . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st ern Ban ke r, D e c e m b e r 1974 42 How a worldwide bank First Chicago puts the professional talents of a great multinational bank at your disposal. To help you serve your present customers better, to help you compete harder for new ones. Three special resources to help you gain a competitive edge. 1. Through the Financial Advisory Service of our Corporate Finance Division, we act as financial advisor to companies in connection with the structuring and private placement of long term financing with institutional investors, including Title XI bonds for ship financing. 2. Our Merger and Acquisition Services advise the seller of his real market value, locate and evaluate logical buyers, and identify tax and accounting implications. Corporations throughout the world provide our lending divisions with their merger and acquisition criteria. 3. Our First Chicago Leasing Corporation can help you structure lease arrangements and offer you participations in direct and leveraged leases. Fast, smooth moving money. 4. For your- customer’s, our Cash Management Services Division will assist you in designing collection and disbursement systems. Automated Depository Transfer Checks and Zero Balance Disbursing. Reconciliation and Sorting programs. Cash flow analysis techniques. 5. For your bank, immediate availability and quickened cash letter services designed to your needs. To help you serve the needs of your customers. 6. For prompt collection and availability of your* funds, we will act as your agent to collect items payable anywhere in the U.S. 7. Our Money Transfer Department will handle your domestic transfer of funds, help you exchange commercial messages and assist your customers in the movement of funds. Making money work smarter. 8. For your profitability and capital forecasting, we use a combination of new and traditional methods. Evaluation with specialized computer reviews. Plus, our insight gained through analysis of many banks similar in size to yours. 9. We can help you generate shareholder goodwill through a dividend reinvestment program. Join a growing number of bank and corporate users. 10. The Monthly Investment Service enables you to offer your checking customers a simple, economical and convenient way to have a continuing stock investment program through your bank. 11. We have one of the nation’s largest trust departments to assist you with comprehensive investment research information and a broad range of other specialized skills to help you serve your customers with additional professionalism. The Banks, Bank Holding Companies The First National You compete. N orth w estern B anker, D ecem ber https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1974 43 can help your bank win. 12. First Computer Services can perform a wide range of commercial and financial data processing functions: Payroll systems for large and small companies. Accounts receivable and general ledger services. Employee information systems. Greater portfolio power. 13. As one of the nation’s 25 primary government dealers, we provide current market expertise in government and federal agency paper—and in municipals, where we maintain an active secondaiy market. 14. We buy Fed Funds on a daily or continuing basis. Call us when you need funds, or for the latest quotes on rates. 15. Our Money Market experts are eager to help you plan and execute short-term investment decisions. One phone call gives you a complete market rundown. 16. Our Bond Portfolio Analysis Service uses computer-based techniques to help you manage your entire investment portfolio. Includes a current pricing report and several detailed accounting reports. Also, profitable bond swap ideas from our new computer swap model. 17. Our Custody Services can safekeep your fixed-income securities, clip coupons, collect interest, credit income to your account and handle pledges and exchanges. Our on-line system expedites security movements and provides accurate statements of holdings for your operational needs. Developing management and markets. 18. Our Management Advisory Service can help you further professionalize your bank s managerial talents. Individual counsel, personnel assistance, seminars and annual conferences are all available. 19. Sounding board discussions, in-house call program training visits, detailed consultant-type presentations: You decide the extent of our involvement in your business development and marketing. 20. We have many years’ experience planning and coordinating conferences and workshops, with unmatched capabilities in graphic arts and visual aids. You’re invited to use any of our facilities for group communications. Anywhere in the world. 21. Our global network, plus the complete list of services of our International Banking Department, gives you the expertise to help your customer compete in virtually any country. Starting things off. There are probably many more ways we can help your bank expand and maximize earnings. Call Bill Dwyer or your account representative, or one of his associates at 312-732-4102. Don’t just count the ways we can help. Use them. and Related Activities Division. Bank of Chicago © We com pete. © https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The First National Bank of Chicago N orthw estern Member F.D.l.C. B anker, D ecem ber 1974 44 Minnesota News ATTENDING flag pole dedication ceremonies at the Fourth Northwestern Nat'l Bank of Minneapolis were (left to right): J. Patrick Ferry, bank v.p.; Mayor AI Hofstede; Attorney General Warren Spannaus, and Wendell L. Olson, bank pres. The occasion was the 75th anniversary of the bank’s founding. direct lending officer, retail banking di vision, and Phyllis Johnson, to employment manager. A native of Corona, S. D., Miss Dockter was associated with the Da kota State Bank of Mil bank before joining the Marquette in 1969 as a teller. Promotions to savings supervisor and installment loan operations officer preceded her present appointment. Mrs. Johnson joined Marquette in June, 1973, as a personnel representa tive and later was named employment manager. Her previous experience in cludes several years with Fidelity State Bank and First Southdale Bank of Edina. Mrs. Johnson received her BA degree in business administration from the University of Minnesota in 1973. She is a graduate of the Wisconsin Graduate School of Banking and is continuing her college education on an evening school basis. * * * The board of directors of North western Bank of St. Paul announced the election of a new vice president R. DONLEY R. JOHNS United States Check Book Company We are the professionals in the bank supply business. Our aim is to provide you with the latest available in bank stationery and printed forms. The familiar face belongs to Les Hanson, one of our professionals who lives in Cannon Falls, Minn. Call Les or your U. S. professional for your bank supplies. w S B S flij P.0. Box 3644 N o rt h wfor e stern B an ke r, D ec em b er 1974 Digitized FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Omaha, Nebraska 68108 (402) 345-3162 and assistant vice president, according to G. Richard Slade, president. * * * Roger T. Donley was elected vice president and manager, corporate sales finance. Mr. Donley, a graduate of the University of Wisconsin, joined North western in 1963, and became an as sistant vice president in 1969. Raymond A. Johns, who joined Northwestern in September, was elected an assistant vice president in the commercial banking division B, re sponsible for associations and clubs, banks, churches, contractors, educa tion, food and beverage, government and transportation. Mr. Johns, a grad uate of Ohio University, comes to Northwestern from the Indiana Na tional Bank, Indianapolis, Ind. * * * Adrian O. McLellan has been elected director and executive vice president of First Bank Sys tem, Inc. He is currently the presi dent and chief ex ecutive officer of The First Nation al Bank of Great Falls, Mont., a position he has held since 1915. In his new posi ADRIAN O. McLELLAN tion, he will be re sponsible for First Bank System’s 85 bank group. Mr. McLellan,, a native of North Da kota, served from 1953 until 1965 as president and chief executive officer of The Merchants National Bank and Trust Company of Fargo, N. D., also a First Bank System subsidiary. John F. Nash, president of ABI Leasing Corp., announced recently that George B. Benz and John E. Barry have been elected to the board of directors of ABI Leasing Corp. ABI Leasing Corp. is a subsidiary of the American Bancorporation, Inc., and an affiliate of the American Na tional Bank and Trust Company, St. Paul. The leasing company, established in 1972, finances and leases all types of industrial equipment. Mr. Benz is a vice president in the commercial loan division of the Ameri can National Bank. Mr. Barry is gen eral manager of ABI Leasing Corp. and a senior vice president of the American National Bank. * ❖ ❖ 45 What we offer is a group of knowledgeable, insightful and very helpful bankers. A nd, oh yes, a com puter. The computer is a tool, a handy de vice that helps you provide better cus tomer service. But the people come first. We’re talking about the people of our Finan cial Computer Services Division. And your people, too. Working together, we can deter mine your needs and whether— or not — additional automation can profitably improve your customer service capa bility. If so, we can help you set up the system. Remember, our people are not computer software F i r s t ® salesmen. They’re bankers who specialize in automa tion applications. So what- ® ever we come up with will be consist ent with sound banking practices. The areas in which we may be able to help you include electronic funds transfer, one-statement banking, de mand deposits, installment loans, real estate loans, payroll, savings and sav ings certificates, audit systems and micro-filming. To work with you in these areas, we employ some knowledgeable, insight ful and very helpful bank ers. The computer comes in handy, too. Call Pat Lavin or any of the other profes sionals in our Financial Computer Services Division, M inneapolis 612 / 370 - 4141 . Financial Computer Services Division • First National Bank of Minneapolis, 120 South Sixth Street • Member FDIC N o rth w e st e rn B a n k e r. D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 46 Minnesota News Hunt R etires Augustin P. Briguet, Catherin A. Cichy, Ronald E. Pray and Janies W. Widen, all in the retail customer service area; and commercial banking officer — Thomas I). Young, Jr., retail group. * JOHN P. Knutson (left), pres., Midland Nat’l Bank, Minneapolis, congratulates John W. Hunt, v.p. & t.o., at Mr. Hunt's retirement Mr. Hunt years. The well gifts boat. party at the Minneapolis Club. has served the bank for 35 bank presented him with fare for his Lake Minnesota-based The First National Bank of Saint Paul recently elected Andrew G. Sail an executive vice president and ad vanced as officers seven people in the bank’s retail group, according to Philip H. Na son, chairman. Mr. Sail has ben a senior vice president and head of the bank’s six wholesale divisions which he will con tinue to supervise. The bank and bank ers division will also report to him. Mr. Sail joined the bank as a trainee in 1956, was elected assistant cashier in 1962, assistant vice president in 1964, vice president and division head in 1968 and senior vice president in 1972. * First National Bank of Minneapolis is planning a round-the-clock Auto Banking facility to be located down town. Extensive landscaping, featuring large trees and a fountain, is planned for the area which extends 330 feet along the east side of 4th Avenue with a depth of 130 feet. The Auto Bank is expected to be in operation by mid summer. Preliminary estimates place the cost between $400,000 and $500,000. The architect is Bergstedt, Wahlberg, Bergquist and Rokhol. There will be space for 12 remote control tellers units, eight of which will be operational initially. The structure will be 28 feet in height and include a lobby with four walk-up teller sta tions, a personal banking area, and an automatic total teller machine. Named at N orth field Marvin L. Grundhoefer, attorney, has been elected to the board of the Northfield National Bank, according to William L. Connelly, bank president. Security State, A itkin, A nnounces S taff Changes Lloyd Sherwood has been promoted from insurance manager to assistant vice president and farm loan officer at the Security State Bank of Aitkin. He also will be involved in real estate loans. G . LONGBALLA B. M. JO HNSON Elected to the position of assistant vice president were John F. Haney and Bernice M. Johnson. Other elections include: personal banking officers — N o r thfor w eFRASER ste rn B a n k e r, D ecem b er 1974 Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis State Bank o f Cologne Nam es President Lester G. Mellgren has been pro moted to president of the State Bank of Cologne. Mr. Mellgren joined the bank in 1967 as a teller and bookkeeper. In 1969 he was promoted to assistant cashier. In January of this year he was elected cashier and vice president. I. G. MELLGREN I. SHERWOOD J. F, HANEY * Gary W. Longballa, formerly of Miles City, Mont., has taken over as insurance manager of the Security State Agency. Mr. Longballa, 35, is a 1962 graduate of North Dakota State University. Mr. Sherwood had been insurance manager since joining the bank in August of 1971. Prior to that he was manager of Production Credit Associa tion, A. KLEIN Also announced was the addition of Alan Klein to the bank’s staff as as sistant cashier, security officer and in ternal bank auditor. Mr. Klein former ly was with the First National Bank of Chaska. LENDING AND CREDIT . . . (Continued from page 24) this year and it has received the en thusiastic support of all involved. 4. Advanced Commercial Credit Seminar — This four day seminar is held twice a year. Participants are senior lending officers presently serv ing as department heads, branch man agers, and executive officers. The titles run from assistant vice president on up. It is most important that you not overlook the need to reach your senior people with credit training. They need it, too. In closing, one of the greatest chal lenges in banking today is to provide top quality training. If we expect to have quality loan portfolios, we must meet this challenge head-on and pro vide our people with the best training possible. — End 47 “We wish youa Merry Christmas We wish you a Merry Christmas, We wish you a Merry Christmas, And a Happy New Year.% from all of us at Midland National bank Of Minneapolis p p lw F | ffC m https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 3 K N o rth w e st ern Ban ke r, December Ï974 48 South Dakota NEWS HENRY B. SCHELLE President J. 1. MILTON SCHWARTZ C ham berlain S ecretary H uron N ational Bank o f S. I). A nnounces S taff Changes Nels E. Turnquist, president of the National Bank of South Dakota, Sioux Falls, has an nounced the fol1o w i n g s t a f f changes. Lucille C r o w was elected vice president, Rapid City main office. Mrs. Crow first joined the bank in 1940 and most L. CROW recently served as New officers elected at Rapid City offices are: Joann Fenner, auditor; Nancy Wamsley, personnel officer; Irene Sharp and Shirley Eich, assistant cashiers. Other officers elected include: Den nis Jones, operations officer, Sunset office, Sioux Falls; Dennis Donovan, assistant cashier, Presho; Robert Of ten. instalment loan officer, Wessington Springs and James Borzich, man ager of insurance department, Presho. Citizens Bank, M obridge, Nam es Cahill D irector Neil I) Cahill, senior partner in the accounting firm of Cahill, Kohlman and Guhin, has been elected to the board of directors of the Citizens Bank, Mobridge. Mr. Cahill is a certi fied public accountant. relations committee of the American Bankers Association. Joins S isseton Bank John Rasmussen of Hurley recently joined the Roberts County National Bank of Sisseton as agricultural repre sentative, according to Harold L. Torness, bank president. Mr. Rasmussen was graduated from the University of South Dakota in 1972 and has been in the Armed Services for the past two years. O pen H ouse a! F u lton The Fulton State Bank recently held an open house to celebrate its 50th birthday. Effie E. Bertsch is president of the bank. Plan ABA Trust C onference The 56th National Trust Confer ence, sponsored by the American Bankers Association, is scheduled to meet in Miami Beach at the Hotel Fontainbleau, Jan. 26-29. William W. Graulty, president of the ABA trust division and executive vice Named to ABA Post C. P. (Buck) Moore, president of the First National Bank of Aberdeen, has been appointed to the government Digitized N o rthfor w eFRASER stern Ban ker, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Joins First Bank System Roger Cook has been elected assist ant vice president, public affairs, of First Bank Sys tem, Minneapolis. Mr. Cook be gan his affiliation with First Bank in 1962 as an ad juster at the First National Bank of Minneapolis. He also has been as sociated with the « . COOK Jamestown Na tional Bank in Jamestown, N. D., and the Plymouth National Bank of Minne apolis in 1971. North Dakota NEWS r E. I. KAUTZMANN W. i . OANER Baltic Bank T o Establish O ffice at D ell R apids The FDIC has given approval to the Dakota State Bank, Baltic, to establish a new bank at Dell Rapids. Plans for the new building are now under way, according to Nils Aspaas, bank president. president of The Connecticut Bank and Trust Co., Hartford, said the con ference program “is specifically de signed to meet the needs of the trust industry in a growing, changing en vironment.” The keynote address will be de livered Monday morning by Mr. Graulty. Other speakers include Ray Garrett Jr., chairman of the Securi ties and Exchange Commission; Dr. Walter E. Heller, professor, economics department, University of Minnesota, Minneapolis; David L. Babson, presi dent, David L. Babson & Co., Boston; Norton H. Reamer, president, Putnam Management Co., Boston; Robert G. Kirby, president, Capital Guardian Trust, Los Angeles, and Nils Peterson, Harvard Management Co., Boston. ❖ * =!= P resident Secretary t Mandan Bismarck Fargo Bank Elects Two New D irectors Sid Cichy and Richard D. McCor mick have been elected directors of the First National Bank & Trust Company of Fargo, according to Robert D. Harkison, bank president. Mr. Cichy is assistant principal and football coach at Shanley High School. Mr. McCormick is vice president and chief executive officer for North western Bell Telephone Company in North Dakota. NDBA Calendar Jan. 29-30 — 14th Annual Bank Management Conference, Holi day inn, Bismarck. April 10-11 — Consumer Credit Conference, Rugby. April 16-18 — Annual Washing ton Legislative and Administra tive Conference. May 7-9 — 90th Annual Con vention, Grand Forks. 49 This is Don Echtermeyer te rrito ry When it comes to correspondent banking, you couldn’t ask for a better friend than Don. In addition to his years of banking experience, Don has the most dynamic and progressive banking facility in the Rocky Mountain Region behind him to help you. No matter where you’re located on the map, there’s a member of our correspondent banking team who’s got you covered. THeCENTRflLBfiNK Two Park Central • 1515 Arapahoe Street Denver, Colorado 80202 • (303) 893-3456 MEXICO DALLAS e x a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis s H o rth v/csf srn Ban ke r, D e c e m b e r 1974 50 Colorado NEWS N. BERNE HART Denver P resident C o lo r a d o B a n k e rs Asso ciation U nited Bank o f D enver A iln ounces P rom o t i ons The United Bank of Denver has an nounced the following promotions: Edward Radford, vice president, com mercial banking; Malcolm Q, Ruxton, vice president, personal banking; John L. Lowrimore, personal trust officer; William R. Davis, credit officer, and Michael H. Hurtt and John Groton, trust investment officers. 2 D enver Bankers Named To ABA P osition s Phillip J. Hogue, executive vice president — administration for The First National Bank of Denver, and Ronald A. Loose, vice president in charge of the bank’s correspondent bank department, have been named members of key committees of the American Bankers Association. Mr. Hogue was appointed to the executive committee of the ABA’s op erations and automation division and Mr. Loose joined the organization’s correspondent banking division com mittee. A ppointed To ABA Post Donald D. Hoffman, president of The Central Bank and Trust Com pany, Denver, has been appointed a member of the government relations Colorado Calendar Jan. 29-31— Western Agricultural Lenders Institute, University of Wyoming. Laramie. Feb. 16-19— CBA Instalment Credit Workshop, The Broadmoor, Colo rado Springs. March 2-5— CBA Ag Credit Confer ence, The Broadmoor, Colorado Springs. March 27-29— CBA Trust Confer ence, The Broadmoor, Colorado Springs. June 4-8— CBA Annual Convention, The Broadmoor, Colorado Springs. Aug. 3-15—Colorado School of Banking. University of Colorado, Boulder. Digitized N o r thfor w e FRASER s te r n Ba n ke t, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis council of the American Bankers As sociation. 1 he council has responsibility for legislative liaison between member banks and the Congress and for liaison with the many Federal agencies whose activities affect the banking industry. Idaho NEWS D. i . MACKAY I d a h o Falls P resident I d a h o B a n k e rs A ssociation 1 B & T P rom otion Tim D. Bundgard, with Idaho Bank and Trust Co., Pocatello, since May, has been promoted to consumer loan officer at the Boise office, according to R. L. Montgomery, executive vice president and western division man ager. Oregon NEWS AIDEN L. TOEVS Corvallis P resident O r e g o n B a n k e rs A sso ciatio n First N ational o f Oregon A nnounces P rom otions First National Bank of Oregon re cently announced changes in manage ment positions at the bank’s Port land headquarters. Jack L. Crenshaw, vice president responsible for 32 suburban branch offices, has been appointed to the bank’s loan administration as vice president. Replacing Mr. Crenshaw is Carl M. Randolph, Jr., formerly vice president and manager of the instalment loan department. Alvin H. Vernon, vice president and manager of the BankAmericard department, will head the instalment loan division. Paul L. John son, BankAmericard’s assistant man ager, will move up to manager. Also announced was the promotion of John E. Shapland, vice president, loan administration, to examiner, and the appointment of two officers to as sistant vice president: Sue George, manager of the personal banking cen ter, and William Hauck, commercial loan office. A pplications An application by the United States National Bank of Oregon to establish an office in the vicinity of N. W. 22nd and Lovejoy in Portland has been ap proved. The bank also has filed an ap plication asking permission to estab lish an office at Southwest 12th and Morrison Street in Portland. E lected 1BANCO D irector A First National Bank of Oregon, Portland, executive has been elected to the board of LB A N C O Ltd., a multinational bank card pro gram formed to broaden card acc e p t a n c e and stream line world wide operations of BankAmericard. Lyman E. See ly, chairman of First National’s executive committee, is one of four bankers in the United States to be appointed to the 12-mem ber board of directors. [BANCO is a non-stock membership corporation owned and governed by member banks and banking organiza tions which operate BankAmericard programs in 11 countries and territo ries. U.S. N a tl A nnounces E xecutive Changes John A. Elorriaga, president and chief administrative officer at U.S. Bancorp and United States National Bank of Oregon, has become chairman > and chief executive officer of both or ganizations upon the retirement of LeRoy B. Staver. Mr. Elorriaga was named president of the bank in 1972. He had previous- 51 Youhave tomovequickly when youoffer sameday j collectionservice. T h at's w h y C o m m e rc e h a s tw ice d a ily m e s s e n g e r serv ice to th e B oard of T ra d e —to offer s a m e d a y p re s e n ta tio n a n d collection. S in ce o v e r 80% of B o ard of T ra d e m e m b e rs do b u s in e s s w ith us, o u r serv ice is th e fastest a ro u n d . W e a lso p ro v id e s p e e d y serv ice for fo reig n collection th ro u g h o u r In te rn a tio n a l D ep artm en t. T he m id w e st's le a d in g k c o rre s p o n d e n t is a lso th e quickest. G iv e y o u r C o m m e rc e m a n a call. Y our C o m m e rc e c o rre s p o n d e n t k n o w s th a t w ith th e a v e r a g e d raft size tripling in th e la st th re e y e a rs, s p e e d of collection is v e ry im p o rtan t. Don’t forget to dial direct. Its faster! N elson V. Rogers ................... 234-2622 M ain Bank N u m b e r ............... 234-2000 Elmer Erism an .......................234-2482 Fred N. Coulson, Jr.................234-2479 John C. M essina ..................... 234-2486 i i « <¡4 J B ? C o m m e r c e Ba n k o K iL o f Kansas City NA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 10th & W a ln u t (816) 2 3 4 -2 0 0 0 Edin B. Lewis .........................234-2625 Tom C. C annon .....................234-2481 Ben F. C aldw ell .....................234-2480 N o rth w e st ern B an ke r, D e c e m b e r 1974 52 ly been a commercial loan officer, but had spent the intervening five years as an executive of Evans Products Com pany and president and chief execu tive officer of Columbia Corporation. Three other major executive ap pointments have been ratified by the Bancorp and bank boards at the same time. Thomas S. Prideaux, executive vice president and head of the asset and li ability management group, has been promoted to vice chairman of the board of Bancorp and the bank, and will continue to be responsible for fi nancial planning and the management of assets and liabilities. Robert R. Mitchell, executive vice president and head of general banking for the bank, was named president of the bank. Carl W. Mays, executive vice presi dent and manager of the staff services group, has been named president of U.S. Bancorp, and will continue as executive vice president of the bank. All three men also were elected to the boards of U.S. Bancorp and U.S. National Bank, and all will report di rectly to Mr. Elorriaga. D em ocrats S h ou ld D om in ate S en ate B an kin g C om m ittee 10-5, House 27-13 EMOCRATS are expected to in committee are Senators Sparkman, crease their dominance of both Proxmire, Harrison Williams (N J .), the Senate and House banking commit Thomas McIntyre (N .H .), Alantees when the new Congress convenes Cranston (Cal.), Adlai Stevenson in January. Makeup of the Senate (111.), J. Bennett Johnston (L a.), Wil Banking Committee’s 15 members is liam Hathaway (M e.), and Joseph expected to change from a 9-6 majori Biden (Del.). House Committee ty to a 10-5 majority following the The Republicans are losing four of wide Democrat victory in the national elections last month. The House Bank their present 16 members of the House ing Committee has 40 members and Banking and Currency Committee. this is expected to change from a 24- Rep. William Widnall (N .J.), the 16 Democrat margin to an even ranking minority member, Ben Black burn (Ga.) and Angelo Roncallo stronger 27-13 margin. (N.Y.) were defeated in the national Senate Committee election. The fourth, Rep. Lawrencer One important change that will take Williams (Pa.), was defeated earlier place was announced sometime ago and is not the result of the elections. *in the state primary. Thus, with the outlook of 13 seats Sen. John Sparkman (D., Ala.), who has been chairman of the powerful instead of 16, it appears that all 12 Senate Banking Committee for a num present Republican members should ber of years, apparently is scheduled remain on the committee and one new to become chairman of the Senate Republican should be added. Current Foreign Relations Committee. Sched Republicans who should continue on uled to succeed him as Banking Com the committee are, by seniority, Reps. mittee chairman is Sen. William Prox- Albert Johnson (Pa.), J. William mire (D., Wis.), whose track record Stanton (Ohio), Gary Brown (M ich.),,. indicates a highly critical attitude Chalmers P. Wylie (Ohio), Margaret U tah Heckler (Mass.), Philip Crane (111.), toward the banking industry. NEW S John Rousselot (Cal.), Stewart Mc The ranking minority member of the Senate Banking Committee, Sen. Wal Kinney (Conn.), William Frenzel (M inn.), John Conlas (Ariz.), Clair lace Bennett (R., Utah) is retiring. v M t **** ill If there are no switches by Republi Burgener (Cal.) and Matthew Rinaldo CALVIN H. SWENSON (N J .). Lehi » llfr ÊÊÈÊÊÈk: can Senators to other committees, all Three Democrat members are retir President ^ * J f f five present minority members would Utah B a n k e rs ing. They are Reps. Richard Hanna remain on the Banking Committee. A ssociation They would be, in seniority, Senators (Cal.), Thomas Gettys (S.C.) andProm otes 4 O fficers Frank Brasco (N.Y.) None lost in the Four officer promotions have been John Tower (Tex.), Edward Brooke election. This means Democrats should (Mass.), Robert Packwood (Ore.), approved at Tracy-Collins Bank and add six new members to achieve their Trust, Salt Lake City, according to William Brock (Tenn.) and Lowell 27 seats, and possibly more if some Weicker (Conn.). G. L. Shelton, president. If Senator Sparkman remains on the present members choose other commit-* They are Michael R. Giles, vice Banking Committee, there should be tees. president and manager of the West House Chairman Wright Patman Valley office; L. Dale Green, assistant at least one new Democrat member. (Tex.) won reelection and will con vice president, farmers division; Grant The present Democrat members of the tinue to head the committee. Other Iverson, assistant manager, SugarMr. Libonati, who is also vice presi present Democrat members are Wil house office, and Dale Wallberg, in dent of The First National Bank of liam Barrett (Pa.), Leonor Sullivan stalment loan officer, farmers division. Denver, noted that “the two new aids (M o.), Henry Reuss (Wis.), Thomas Mr. Giles joined the bank in 1967 represent a valued addition to the field Ashley (Ohio), William Moorhead and worked as branch manager at the of specialized banking education.” (Pa.), Robert Stephens (G a.), Fer Holladay and County offices. nand St. Germain (R .I.), Henry Gonzales (Tex.), Joseph Minish (N .J.), C ontinental O pens in Scotland Continental Illinois National Bank Frank Annunzio (111.), Thomas Rees New E ducational Aids Two new educational aids, “Safe and Trust Company of Chicago has (Cal.), James Hanley (N.Y.), Edward (N.Y.), William Cotter^ Deposit Seminar” and “Essentials of announced plans to open a representa Koch (Conn.), Parren Mitchell (M d.), Wal Accounting,” have been released by tive office in Edinburgh, Scotland. The new office, scheduled to open ter Fauntroy (D.C.), Andrew Young k the Training and Development Com mittee of the American Bankers Asso later this year, will become Contin (G a.), John Moakley (Mass.), Fortciation, according to Joseph V. Libona- ental’s third unit in the United new Stark (Cal.) and Lindy Boggs (L a.), ti, committee chairman. Kingdom. Digitized N ofor r thFRASER w e s t e r n B o n d e r, D e c e m b e r J 9 7 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D 53 Harold E. Meier, a graduate of Wyoming University, has been elected chairman and president. He is a senior partner in the law firm of Meier and Gist. Both men will serve as directors, and Mr. Johnson also will serve as vice chairman of the bank. Wyoming NEWS R. W. MIRACLE M. C. MUNDELL President S ecretary Casper L aram ie H itch Named T o Board O f Banking School Henry A. Hitch, executive vice president of First National Bank of Casper, has been appointed to the P a c i f i c Coast Banking School board of directors for a three year term. The first Wyo ming appointee to the PCBS Board, Mr. Hitch is a H. A. HITCH 1970 graduate of the school, which is held at the Univer sity of Washington campus in Seattle. A three year curriculum, Pacific Coast Banking School has both a com mercial banking and trust division. The school is officially sponsored by the Bankers Associations of Alaska, Arizo na, California, Hawaii, Idaho, Mon tana, Oregon, Utah, Washington and Wyoming. Elected at G illette The First National Bank of Gillette has announced the election of Meritt N. Barton as a director of the bank. Mr. Barton is a prominent Crook and Weston County rancher. Laram ie Bank Receives Award The First National Bank in Lara mie has been awarded a Golden Ibis Award for excellence in commercial bank and multi-bank holding com pany annual reports by the University of Miami. The bank’s 1973 annual report was utilized to commemorate the 100th an niversary of Wyoming’s oldest bank and the history of Albany County. W yom ing Security O pens Wyoming Security Bank, Sheridan’s fourth bank, recently opened for busi ness. The bank, which offers full services, is headed by Jim Dowling, executive https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis vice president. Bank president is Homer A. Scott, Jr., who is also a di rector and vice chairman of the board of the Bank of Commerce. The bank is carpeted, has a dark wood paneling inside and two teller windows and drive-in window on the west side of the building. Nam ed D irector at G illette Bank Meritt N. Barton, long-time Crook and Weston counties rancher, has been named a director of the First National Bank of Gillette. Chicagoan Buys Interest In L ovell Bank Controlling interest in Western Na tional Bank of Lovell has been pur chased by C. P. Johnson, president of the Colonial Bank & Trust of Chicago. Bank T o O pen in M oorcroft Moorcroft will have a new bank on January 1. The Moorcroft State Bank tempo rarily will be housed at 108 E. Weston St. The building will be undergoing ex tensive remodeling, according to Willis Hughes of Hughes Department Store and bank director. Other directors of the bank are Charles Pollard, Alden Robinson, Tom Whitley, and Wayne Ebel. The town has been without a bank since 1932 when the People’s Bank closed and moved to Sundance. Stockm ens Bank Names V ice P resid en t Dennis Lockenvitz, formerly with the First National Bank of Gillette, has been named a vice president of Stockmens Bank, Gillette. He will be pri marily a loan officer. Montana NEWS T. A. VASHUS P resident G len d iv e J. T. CADBY Secretary H elen a First N ational, B illings, A nnou nces Prom of i o ns Al Winegardner, president of First National Bank and Trust Company in Billings, has announced the election of Jim Kerr to vice president and Wayne Loiselle to assistant vice president. Mr. Kerr joined the bank in 1965 and has served primarily in the real estate department. Mr. Loiselle joined First National’s real estate department in 1970. Montana Calendar Feb. 6-8 — Ag Credit Confer ence, Holiday Inn, Bozeman Apr. 17-19 — Installment Lend ing Conference, Outlaw Inn, Kalispell. May 17 — Trust Conference, Helena. May 22-23 — Real Estate Mort gage Conference, Northern Hotel, Billings. June 19-21 — Annual Conven tion, Jackson Lake Lodge, Mor an, Wyo. N o r th w e s te r n B a n k e r , D e c e m b e r 1974 54 there probably would be a partridge perched in it, cuz it’s the thing to do this time of year. But for the rest of us in the correspondent bank department, w e’ve little time 300 f ° r perching. To continue to efficiently serve over embanks in 10 states we’re always on the go. But, it’s the holiday season and we do have time to thank you for our relationships this past year and wish you a Merry Christmas and a Happy New Year. U S NATIONAL BANK OMAHA Digitized for N o rth w eFRASER st ern Ban ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nebraska NEWS R. E. ADKINS W. H. OSTERBERG President Exec. Mgr. Osmond Omaha are, respectively, M. W. Dunlap, presi dent of Farmers State Bank in Doug las, and E. Dean Kugler, president of Gothenburg State Bank & Trust Com pany. F. Phillips Giltner, president of First National Bank of Omaha, was named secretary, and Perry S. Francis, president of Southwest Bank in Oma ha, became treasurer. Henry L. N iem ann Funeral services were held recently for Henry Louis Niemann, 83, presi dent of the Farmers Bank of Cook. Mr. Niemann joined the bank in 1912 as a bookkeeper after graduation from high school. U. S. Court Says General Public above were intended to indirectly pro tect the public by directly regulating Cannot C hallenge C om ptroller The United States District Court for competition. “Thus, the interest of the plaintiff Nebraska has ruled that members of the general public lack standing to is not directly protected by the statutes challenge an action of the Comptroller in question. To hold otherwise would effectively eliminate the ‘zone of inter Eagle State Bank Opens of the Currency. The Eagle State Bank recently Stating that “This case involves fed est’ test” established in Data Process eral statutes which regulate competi ing Service v. Camp, 379 U.S. 150 opened for business. Eagle, a town of 700 in the suburban area near Lincoln, tion between banks,” the Court denied (1970).” has been without a bank since 1947 the suit filed by George P. Rose of Bellevue is a community of approxi Bellevue, Nebr., against the Comp mately 22,000 population immediately when the assets of the bank were troller after the latter approved an ap south of Omaha and adjacent to the moved to Elmwood. Officers are: David J. Duey, presi plication by First National Bank of United States Air Force SAC head Bellevue to relocate its main office and quarters. The city has three banks: dent and chairman, Douglas V. Duey, retain its existing main office as a Bank of Bellevue, $20,850,000 de cashier and executive vice president; branch. Mr. Rose was neither a share posits, founded 1951; First National Gerry Krieser, vice president, and holder nor a customer of the bank, the Bank, $11,494,000 deposits, founded Linda Carlson, assistant cashier. David Duey is also president and Douglas court records state. 1963; Southroads Bank, $1,895,000, Mr. Rose was one of 51 Bellevue founded 1973. Deposits listed are Duey is vice president of Cass County Bank in Plattsmouth. residents who contended that the group 1973 year-end statement figures. Directors include: David Duey, and the public in general would “suffer Douglas Duey, Mr. Krieser, Arnold adverse economic injury by the expan Independent Bankers Schroder, and Dr. David H. Duey. sion . . . due to consequent destruction Elects 1 9 7 4 -7 5 O fficers The bank is capitalized at $250,000 of competition and the extension of Clark A. Wenke, president of Pen and is a member of the Federal Deposit economic control of the community by der State Bank, has been elected Insurance Corporation. the bank.” The old bank building was pur In its opinion the Court said it was president of Nebraskans for Inde “unable to find any authority to the ef pendent Banking, according to James chased by the group and extensive re fect that nearby residents or members H. Moylan, general counsel and execu modeling has been completed. The Eagle Capital Co., a holding company, of the public in general are within the tive secretary for the group. New first and second vice presidents owns the stock of the Eagle State Bank. class sought to be protected by the statutes in question, 12. U.S.C. # 3 0 , 36.” The Court continued, “Normally, Stock Yards B ank Opens F a c ility in suits of this type, the plaintiff is a competing bank. The Court is re luctant to include the interests of near by residents into the class of protected interests. “The parties have relied heavily on United States v. S.C.R.A.P., 412 U.S. 669 (1973. SCRAP involved standing under the National Environmental Policy Act of 1969, 42 U.S.C. #4332, which the Court found (at Footnote 13) to protect the interests of the pub lic in general. “This case involves federal statutes which regulate competition between banks. While the public interest is, of course, one of the factors considered THE Stock Yards Bank of South St. Joseph, Mo., officially opened its new King Hill Plaza facility recently. Shown are (I. to r.) Tom George, a.c. & mgr. of the new facility; in enacting any law, the Court holds M. E. Blanchard, retired v.p.; j. M. Ford, II, pres. & chmn., 1st Midwest Bancorp., the that the banking statutes referred to bank’s parent holding company, and H. H. Broadhead, Jr., bank pres. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e stern B an ke r, D e c e m b e r 1974 56 College of Law in 1965. He began his banking career in 1957 and has been in the trust business since 1961. Prior to his joining Northwestern, as head of their trust department, he was assistant vice president and trust officer at the First National Bank of Fargo, N.D. * RANK O. Starr, president and F chief executive officer of The Omaha National Bank, has announced the promotion of Howard Y. Whitney, III, to vice president and L. LaVerne Kelsay to second vice president. The following appointments also were made: William B. McGee, Jr., and Howard E. Reelt's, control officers; Juanita Allen, assistant personnel of ficer; Charles R. Ciaramita, assistant operations officer; George H. Newhouse, assistant collection officer; Cynthia J. Nigh, assistant product de velopment officer, and Pamela A. Revis, assistant operations officer. Mr. Whitney joined the bank on October 14, 1974, after seven years with the Fidelity Corporation, a diver sified holding company in Richmond, Va. He most recently had served as vice president for the marketing divi sion. Mr. Kelsay came to the bank in 1965 as a security clerk in the trust department. He is section head in trust accounting control. * * * Morris F. Miller, chairman of The Omaha National Corporation, has announced the appointment of Fred A. Sukup as second vice president. Mr. Sukup joined The Omaha Na tional Bank in June of 1969 as a statistician in research and planning. He was named research department head in 1972 and last year was as signed to The Omaha National Cor poration as a research officer. * * Donald J. Murphy, president of Northwestern National Bank has an nounced the elec tion of John R. Holtey as vice president and trust officer. Mr. Holtey is a native of Appleton, Minn., a 1957 graduate of St. Olaf College, Northfield, Minn., j . R. HOLTEY and received his J.D. Degree from William Mitchell We are the professionals in the bank supply business. Our aim is to provide you with the latest available in bank stationery and printed forms. The familiar face belongs to Dick Hansen, one of our professionals who lives in Omaha, Nebr. Call Dick or your U. S. professional for your bank supplies. N o rth e stern B an ke r, D e c e m b e r 1974 Digitized forwFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis * Hundreds of persons consumed more than 1,500 grilled hot dogs, over 300 cans of soft drinks, and won elec tronic calculators, movie tickets, and a variety of other prizes at a “Get Acquainted” open air barbecue pub licizing Northwestern Bank’s new loca tion at 96th and L. St. Bill Graves, vice-president — mar keting, said that the two day affair, re sulted in the opening of about 150 new accounts. * United States Check Book Company P.0. Box 3644 * Omaha, Nebraska 68108 (402) 345-3162 Bill Graves, v.p.-mktg., and Kathy Lang ford, teller, watch while April Domet draws the name of a lucky winner. The party was scheduled during the lunch hours, between 11 a.m. and 2 p.m. On-the-scene radio announcements, and volunteers drumming up business in the area with fliers, was more than enough advertising. After the ordeal was over, one ex hausted bank employee, who had been manning a hot grill most of the day, was over-heard to say, “I guess you can’t knock success, but 1 never want to see another hot dog the rest of my life.” Ground-breaking ceremonies fea tured the area’s high school football coaches competing to see who was the most accurate passer, at a distance of 30 yards. Winner John Faiman from South High School was awarded free dinners for the varsity footballers. Burke High School’s Pep Band pro vided the appropriate music. 57 national people. ,WmSs elias eliopoulos Elias is vice president in charge of operations, data processing and cash management. Some call him an expert, others a specialist. We know his problem-solving ability can't be matched. So, if you have an operations, data processing, or cash management problem, call our problem-solver, Elias Eliopoulos. (Just ask for Elias.) first n a tio n a l b a n k of omaha you're in first national territory In Nebraska call us toll free at 800-642-9907, From states adjacent to Nebraska call us toll free at 800-228-9633. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern B anker, D ecem ber 19 7 4 58 N ebraska New s Each package will include two pure bred Simmental embryos, a % Simmental embryo, a 3A Gelbvieh embryo, and a Vi bred Simmental or Gelbvieh Agsource Marketing of Grand Is- beef calves which are being sold in in heifer. land, Neb., has announced the avail- vestment packages of five cows/five Depending on an individual’s tax ability of 115 embryo transplant exotic embryos per package. year, tax shelters including investment credits and depreciation can more than offset the inventor’s initial investment costs for the first two or three years when the animals are purchased on a contract basis, according to Agsource Marketing head, LaVerne Baxter. In addition to offering the animals for sale, Agsource Marketing offers other options to the investor. Agsource Marketing will maintain the investor’s animals, and at a later date sell them for the investor or return them to either an embryo transplant program, or, in the case of exceptional quality bulls, place them in a semen collection program. Embryo transplanting is a recently developed technique in which high quality exotic beef heifers are superovulated, artifically inseminated, and their fertile embryos surgically col lected and transplanted into good qual ity beef brood cows. The reason for using the transplant technique is that an exceptional animal can produce from 10 to 60 superior calves in a year’s time, as opposed ( to only one per year through natural birth. The exceptional animal is used as the embryo donor, while common, but good quality brood cows support, carry and give birth to the calves. It has been known for several years that transplanting beef embryos was * Municipal Bonds * Fiscal Agents possible, but it wasn’t until recently that the technique was perfected to the * Corporate Bonds * Listed and Unlisted Securities point where predictable results were achieved. * Investment Banking * Government Donor heifers in Agsource Market Agency Bonds ing’s program are imported high quali ty Swiss and German Simmental and German Gelbviehs. Thoughtful Recent sale prices for animals of Municipal Bond Department moves., this quality have run from $20,000 up 100 Continental Building for your to $75,000 per animal. 19th & Douglas money A gsource M arketin g , G ran d Isla n d , O ffers E xotic B eef C a lf E m bryo T ran splan ts ; t Serving the Midwest... FIRST MID AMERICA INC. Omaha, Nebraska 68102 America Member New York Stock Exchange, Inc. and other Principal Stock and Commodity Exchanges C O R P O R A TE A N D M U N IC IP A L B O N D S • G O V E R N M E N T A G E N C IE S S TO C KS • C O M M O D IT IE S • O P T IO N S • IN V E S T M E N T B A N K IN G Omaha * Lincoln • Columbus • Grand Island • Hastings • Atlantic Cedar Rapids • Des Moines • Fort Dodge • Sioux City • Kansas City • Chicago N o rthfor w eFRASER st ern B an ke r, D ec em ber 1974 Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Paul A. M unson Funeral services were held recently for Paul A. Munson, former executive vice president of the First State Bank in Shelton. Mr. Munson, 51, joined the bank in October of 1969 after being asso ciated with financial institutions in Lin coln and Aurora. 59 " V Irene Rezac Ray Weilage Correspondent Correspondent Banking Secretary Bank Officer Duane Nelson Correspondent Bank Officer Wilhi Vice Presi Rich Nelson Jim Norris Correspondent Correspondent Bank Officer Bank Officer Donna Bieck Correspondent Banking Secretary N SC National Bank of Commerce Main Bank 13th and N Sts./Lincoln, Nebraska Member FDIC Made from 100% genuine people. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st e rn Banke r, D e c e m b e r 1974 60 election of Richard M. Fritz, T HE 46, as president and a member of the board of directors of the First Na tional Bank of Kearney was announced last month by Harold Oldfather, chair man of the First National. Mr. Fritz currently is vice president in charge of the marketing division at National Bank of Commerce, Lincoln. Mr. Oldfather said the appointment is effective January 1, 1975. The First National of Kearney has deposits of approximately $40 million. It is affiliated with National Bank of Commerce and several other banks throughout Nebraska and all these af Let Me Help You W ith... Your Credit Insurance Needs Group • Individual Life • Accident & Sickness Telephone-Quick Service on our WATS Line in Nebraska. Dial your Access Code, then 800-742-7335. Steve Sutton JCOMPANY THE LINCOLN LIN CO LN , N EB R A SK A W e ca n h e lp y o u í¿ . anJa PROSPEROUS I n v e s t m e n t s , FARM CREDIT BUILDING - OMAHA N o rfhfor w e& fe rn B a n k e r , D e c e m b e r 1 9 7 4 Digitized FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis y.e a r Inc. 402/345-2241 filiated banks have total assets in excess of $500 million. Mr. Fritz is a graduate of Iowa State University. Prior to joining the National Bank of Commerce ear lier this year, he headed the corpo rate marketing di vision of the $485 million Hawkeye R . M. FRITZ B ancorporation, based in Des Moines, la. Previously, he was an officer of the Jasper County Savings Bank in, Newton, la., where he was employed 19 years. Cam pbell State Bank Moves to New F acility The Campbell State Bank recently moved into its new all brick banking facility. Don Bailey is president of the bank. First Nat’l, Falls City, Begins R em od elin g Remodeling work has begun at The First National Bank of Falls City, ac cording to Rodney P. Vandeberg, bank president. The project includes expan sion into an adjacent building which will double the size of the bank. Esti mated completion date is July 1, 1975. The interior design and architecture is being done by Greathouse-Flanders Associates, Lincoln, and the gen eral contractor is Bohrer Brothers, Inc., Falls City. Art McClaskey Dies Arthur R. McClaskey, 54, died last month in St. Joseph, Mo., of a heart attack. Mr. McClaskey, assistant vice president-agriculture in the corre spondent bank department at First Stock Yards Bank, had been on dis ability leave from the bank since 1971. Mr. McClaskey had been with the bank many years and was well-known throughout Missouri, Kansas, Ne braska and Iowa in his agricultural work with First Stock Yards Bank. N e b r a sk a Calendar Feb. 6-7—NBA In sta llm e n t Credit Conference, Old Mill Holiday Inn, Omaha. May 4-6— NBA Annual Conven tion, Hilton Hotel, Omaha. Oct. 14-16 & 21-23— NBA Group Meetings. 61 FIRST NATIONAL LINCOLN Box 81008 • Lincoln, NE 68501 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northw estern Banker, December https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 63 age space above the bookkeeping of fices in the west wing, according to Ernest Buresh, bank president. Iowa NEWS j . L. CAMPBELL, JR. P r e s i d e n t H u m b o l d t y. NEIL MILNER Exec. V.P. Des M o in e s S pies E le c te d F ed D irector OHN F. Spies, president of the Iowa Trust & Savings Bank of JEmmetsburg, has M been elected Class A director of the Seventh Federal Reserve District board of direc tors. The election was conducted by mail ballot No■v e m b e r 4-19 a m o n g member J. F. SPIES b a n k s in the Seventh District with less than $1,000,000 capital. As the representative of the smaller banks in the Seventh Federal Reserve District, Mr. Spies will replace Floyd F. Whitmore, president of the OkeyVernon National Bank in Corning who has completed the second of two threeyear terms and was not eligible for reelection. Prior to joining Iowa Trust & Sav ings Bank in 1957, Mr. Spies served ' three years on the examining force of the Iowa banking department. He was one of the organizers and the first treasurer of the Iowa Lakes Confer ence of the Bank Administration Insti tute. He served three years on the ABA executive council representing Iowa and has served on various committees of the Iowa Bankers Association and the Independent Bankers Association. He has just completed a term as treas urer of the Iowa Bankers Association. - -« N am ed at Sibley Loren R. (Mike) Fleming has been named a director of the First National Bank of Sibley, according to Leo E. , Carlson, Jr., bank president. Mr. Fleming succeeds the late Charles Ramsey. He is president of Keith M. Merrick Co., Inc., manufac turing printers, and Merrick Plastics Corp., a plastic novelty manufacturer. He also is president of a new firm, or ganized earlier this year, Minit-Foto, , Inc., which is engaged in photographic https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis specialty work and equipment distribu tion. Farm ers State, Hawarden, Adds to F acilities Farmers State Bank, Hawarden, has begun construction of additional facili ties at the rear of the bank building, according to E. V. Slife, Sr., bank president. The addition will house a drive-up banking window and will con tain room for future expansion, O skaloosa B ank Expands Mahaska State Bank of Oskaloosa D ub u q u e Bank Receives is increasing its facilities. Award fo r A nnual Report Construction of a two-story stone The First National Bank of Du buque has received the Golden Ibis and pre-cast concrete structure is un Award for excellence in its annual re der way on a one-half block section port. The special mention award is of land across the street from the main given in annual competition conducted location. The new building will replace the by the finance department of the school of business administration, Uni present drive-in facility and will con solidate the bank’s computer equip versity of Miami. First National has continued the ment into one location, according to general design of the annual report in Russell Howard, Jr., bank president. Featured will be four bay drive-in its periodic statements of condition windows. The first floor of the 8,000 published during the year. Heilman Design Associates of Wa square foot building will contain a terloo, la., created the annual report lobby and two teller windows for walkin customers. The basement is de for First National. signed for record storage and supplies, and the second story will be left un H onored at New Liberty finished to allow for future expansion. Henry Hansen, chairman of the Architect is Thomas Feely of FM board of Liberty Trust and Savings Bank in New Liberty, was honored Design, Chicago. Main contractor is recently for his 65 years in banking. Grooms Brothers Construction of He started his career as a bookkeep Ottumwa. Mr. Howard said the building will er when he was 18 years old. be in full operation by next summer. O pen H ouse at L enox Open house was held recently at the D onald A. Jans Funeral services were held recently First National Bank of Lenox in its for Donald A. Jans, assistant vice new building. The structure is a modern facility, president of Union Story Trust and fully-carpeted. Drive-in service is of Savings Bank in Ames. He had been fered on the north side. New safety associated with the bank for 25 years. deposit boxes have been installed along with booths and rooms for privacy of P rairie City Bank customers. B egins C ons!ruetion Construction has begun on a 24 by A nam osa Bank Adds 60 foot, two-level addition to the First Second Story National Bank of Prairie City. The Remodeling, to add a partial sec new extension will house bookkeeping ond story, has begun at the Citizens and office facilities as well as addition Savings Bank in Anamosa. al storage in the lower level. Ricklefs Construction is the general Remodeling of the existing structure contractor; Hansen Lind Meyer, Iowa will include a new vault for safety de City, is the architect. posit boxes and additional teller win The work will include the addition dows. of two offices on the second story Vern Cooley Construction Co. of above offices in the east wing and stor Knoxville is contractor for the project. N o rth w e st e rn Ban ker. D e c e m b e r 1974 64 Iowa News 1IB To Charter Jet For Las Vegas C onvention Iowa Independent Bankers Associa tion is chartering a jet for the Inde pendent Bankers Association Conven tion in Las Vegas March 17, 18, and 19. The flight leaves Des Moines Sun day, March 16, 11 a.m. and returns March 20 in the late afternoon. Cost is $229 and this includes flight, transfers, bag handling, tips, hotel rooms for four nights, on a per person double occu pancy. For singles, add $45 to the rate. Hotels will be The Landmark Ho tel and the Tropicana Hotel. For reservations and more informa tion contact K. W. Jackson, president, Box 398, Lone Rock Bank, Lone Rock, la. 50559. M aquokela Bank An n o n n ces P rom otions Arthur F. Janssen, chairman of the Jackson State Bank and Trust Com pany of Maquoketa, has been named chairman emeritus. Peter F. Bezanson has moved from president to chairman and Jerry S. Maples has been named bank president. Mr. Maples formerly was executive vice president. Other promotions include: Gene Frey, from assistant cashier to assistant vice president, and Donna Henry and Sandy Head to assistant cashiers. John E. Keane, Executive Vice-President Dyersville National Bank Dyersville, Iow a "A fresh, continuous advertising campaign is what we wanted. We got it, with the "Thank You” Bank Club. Profitably, too.” A professionally engineered- adv ertising p ack ag e d irected to w a rd rapidly increasing dem an d deposits, the “T h a n k Y ou” Bank Club is offered by First Financial M arketing Group, Inc., M aq u o k eta an d Des Moines. It p ro m o tes checking accoun t features, in s u ran ce and group travel. For m ore info rm atio n WRITE, WIRE or CALL: Bill Moler, president, First F inancial M ark etin g Group, Inc., P.O. Box 934, M aquoketa, Iowa 52060. Phone (319J 652-5212. Digitized FRASER N o rtfor hwe st ern B an ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P. F. BEZANSON J. MAPLES W ayland Banker T o Retire J. Laurence Henss, executive vice president of the Wayland State Bank, has announced plans for retirement on January 1, 1975. Mr. Henss became associated with the bank on June 1, 1941, and has held the position of cashier and execu tive vice president since August of 1949. He will continue with the Boshart-Henss Insurance Agency and in the real estate business. P eop les Bank, Indianola, Assigns S taff Titles The following staff members at Peoples Trust and Savings Bank, In dianola, recently were assigned new titles, according to Dick Buxton, presi dent. Don Russell, assistant vice presi dent, senior farm representative; Den nis Walker, farm representative; Eileen Thompson, assistant cashier; Bill Eddy, marketing director; Elizabeth Wohlenhaus, personnel director; Peggy Wickett, executive secretary; Marge Sams, loan service manager, and Sandy Beltz, credit department man ager. R eceive A rchitectural Awards The Iowa chapter of the American Institute of Architects has recognized five buildings from 47 entries in Iowa for excellence in design. Of the five, the Dallas County State Bank, Redfield office, received the top award in the state, an honor award, and the Dallas County State Bank, Adel, received a merit award. Joins Liverm ore State Grant Henry recently joined the Livermore State Bank as vice presi dent, according to John Rowles, bank president. Mr. Henry has been director of de velopment at Friendship Haven the past eight years. Prior to that, he was engaged in the finance, loan and bank ing business for more than 25 years. 65 Worthwhile endeavors always take extra effort Extra effort is the principal ingredient we put into every correspondent banking endeavor. Enterprise of this sort has characterized our service since the first days more than ninety years ago when cattlemen arriving in Chicago made The Drovers their headquarters bank. We pioneered in crediting their newly-earned cash to banks back home and thus built strong ties of trust and integrity with banks from the Midwest to the Rockies. In Drovers Country you’ll find experienced help for just about every known correspondent banking need including loans and overlines, clearings and transit services, bond and investment portfolios. Won’t you call to tell us how we can exert extra effort on your behalf? Thel!rovers National Bank of Chicago Illustrated above is Frederic Reming to n 's “ C utting Out A S t e e r .” A 14 x 17-inch reproduction suitable for framing is available without cost or obligation upon request. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 47th & Ashland Ave. • Chicago, Illinois 60609 • Phone (312) 927-7000 • Member Federal Deposit Insurance Corp. • Member Federal Reserve System • Member Chicago Clearing House Association N o rth w e st ern Ban ke r, D e c e m b e r 1974 66 Iowa News ate of the University of Iowa where he majored in financial management. Prior to his appointment at First National, Mr. Ewing was account rep resentative at American Finance Cor poration of Iowa City. Elkader Banker Retires OFFICERS and employees of Tipton State Bank dressed in career apparel are (I. to r. seated): Beverly Yerington, secy.; Sharon Osborn, head teller & a.c.; Sherri Havel, book keeper; Diane Chambliss, proof operator, (I. to r. standing) James E. Moore, pres. & chmn.; Michael H. Cord, instal. loan off. & a.c.; Carolyn Voss, teller; Richard L. Lehmeier, cash. & a.t.o.; Welcome Reed, a.c.; Robert H. Lembke, farm rep. & a.c.; Erma Lyle, teller; R. J. Ferguson, v.p. &t.o. Tipton S ta te Bank A dopts C areer A p p a r e l Central State Bank, Elkader, recent ly announced the retirement of Delores Niemeyer after 44 years of service to the bank. She began her career in Decem ber of 1930 in the Elkader State Bank which later merged with the F i r s t National D. NIEMEYER IPTON State Bank recently added career apparel to the fringe bene fits for its officers and employees. The ladies have 10 different matched and coordinated pieces in their wardrobe giving them yeararound versatility. The wardrobe gives them a total of 24 different outfits. The men have matching blazers and slacks. Officials at the bank made the deci sion to have all employees reflect a co T ordinated look in order to offer a con temporary look to their customers. Customers have reacted favorably and the bank’s officers and employees are enthusiastic about the move, accord ing to Robert H. Lembke, assistant cashier. A ppointed at M arion Ralph N. Ewing has been appointed collection manager of The First Na tional Bank of Marion. He is a gradu f “ L isbon Bank Celebrates 1 0 0 Years o f Service Lisbon’s oldest business, the Lis bon Bank and Trust Company, recent ly observed 100 years of service to the community at an open house. H. W. Sizer is the bank’s president. Directors’ and Officers’ Liability Insurance M any believe th a t buying th is type of cover age is like buying a uto m o b ile insurance. The fir s t decision is th e m ost d iffic u lt— w he th er to buy it. Once th is is decided then it is sim p ly p urcha sing a policy th a t states— “ D ire cto rs' and O ffice rs’ L ia b ility In suran ce .” This could be an e rro r in jud gm e nt, since there are a n um be r o f im p o rta n t differences between th e cu rre n t policy fo rm s. This is the type of e rro r (w ro ng ful act) you are try in g to insure against. C onsult . . . INSURANCE PROGRAMMERS, INC 327 South LaSalle Street, Chicago, Illinois 60604 Tel. No. 312 939-3366 R ob ert C a rn e y N o rth w e st ern B an ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1 C e n t r a l State Bank. She held the position of assistant cashier at the time of her retirement. Le on a rd Putzy 67 M :• ' M uk ß & J d o ftd a mm ZJhe (-o rredjjon clen l ^£)ej) ci / 'hn e n t o (- m T O Y N A T IO N A L FOURTH AND NEBRASKA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B A N K SIOUX CITY, IOWA 5Tiaa N o rth w e stern B a n k e r , D e c e m b e r 1974 68 lower News R eceives Award RECEIVING an award on behalf of the Farmers Savings Bank, Traer, is Darlys Hulme, v.p. (right). Margaret Rose is making the presentation on behalf of the Tama County chapter of the American Cancer Society. The award was given to the bank for its assistance in establishing the Centralized Accounting System of the Iowa division of the American Cancer Society. R em odeling C om pleted At Red Oak Bank Montgomery County National Bank, Red Oak, recently held an open house in observance of the com pletion of a remodeling project which added 2,000 square feet to its main bank facilities. The additional space is used for more vault room, instalment and real estate loan departments, conference room and general office space. Winfield G. Mayne is the bank’s president. Sponsors W om en’s Forum The Warren County Bank and Trust Company, Indianola, recently sponsored the 1974 Women’s Forum, “A Woman’s Place.” Speakers included Marilyn H. Hur ley, assistant vice president, National 4 Bank of Des Moines, who spoke on “Financial Realities”; Richard Pratt, * vice president, Warren County, v/ho spoke on “Dollars and Sense,” and Christine Wilson, chairman of the „ State Commission on the Status of Women in Des Moines. Perry State Bank Holds Cattle O utlook M eeting More than 50 area farmers recent ly attended the Perry State Bank’s fifth ' annual telephone Cattle Outlook Meet ing. Those speaking included Lloyd Hutchison, order buyer for Clifton „ Cattle Company at Clifton, Tex.; Ron Wilson, rancher, order buyer and part ’ owner of Erickson Sale Barn, Erickson, Nebr., and Eugene Coombs, senior vice president, Security Bank, Billings, Mont. Security National Bank 6th &Pierce. Sioux City, Iowa. 712/277-6517 N o rth w e stern B a n k e r , D ecem ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The big difference in bonks is positive people. CHRISTY ARMSTRONG LEO F. KANE Executive Vice President I 'President ROBERT G. SCOTT Senior Vice President KEITH DRALLE Assistant Vice President The American Trust Correspondent Team can deliver iwhat you want . . . FAST! . . . All year long. American Trust and Savings Bank DUBUQUE, IOWA M e m b er FDIC, Federal Reserve System People moke the difference © https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e st ern Banke r, Oeeem be r 1974 70 Iowa News PICTURED are exterior and interior views of the new Solon State Bank. Solon S ta te B ank Moves to N ew B u ild in g Solon State Bank recently T HE moved into its new building on Highway One. The building, containing 4,000 square feet, is of precast concrete with the exterior finished in Colorado quartz. The window and door areas are accented with stained rough sawn cedar, trimmed with vertical strips. The main floor contains four private offices, a conference room, a large lob by, featuring exposed roof beams in the center area, a bookkeeping room, cash vault, storage vault, five tellers windows and two receptionist desks. The full basement contains restrooms, employees lounge, mechanical room, storage room and a large area for ex pansion and use as a meeting room. Vinyl wall covering throughout the building was chosen in soft shades of orange, shades of brown and gold. Carpeting also carries out this theme. The wood trim and furniture is finished medium oak. The building is heated and cooled by electricity. A flush type drive-up window pro vides this additional service not avail able previously. A provision has been made for the addition of a remote drive-up unit when needed. A paved parking lot provides park ing for 18 automobiles. It is bordered by pyramidal Arbor Vitae and the grounds are fully landscaped. A time and temperature sign has been placed on the northwest corner. N am ed to ABA Post Earl J. Underbrink, president of First National Bank, Fort Dodge, has been reappointed a member of the government relations council of the American Bankers Association. The government relations council has primary responsibility for legisla tive liaison between member banks and the Congress and for liaison with the many Federal agencies whose activities affect the banking industry. The coun cil establishes goals and policies for all ABA government-related activities and advises bankers on Federal legislative and regulatory matters that concern banking. S p e c i a l i z a t i o n T a k e s The G u e s s w o r k Out Of Building Or Remodeling P r o j e c t s . . . . . More Financial Institutions In Iowa Use The Specialized Services Of The KIRK GROSS COMPANY Than Any Other Planning Service HO EAST 7TH ST. * WATERLOO, IOWA 50705 PHONE (319) 234-6Ó41 Digitized N o rt hfor w eFRASER st ern Ban ke r, D e c e m b e r 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis First Financial Marketing N am es M arketing D irector Gary Ellis has been named director of marketing for the First Financial Marketing Group, Inc., of Maquok e t a and Des Moines, accord ing to Bill Moler, president. Mr. El lis will assume re sponsibility f o r marketing activit i e s throughout the midwest. First Financial Marketing Group, Inc., designed and markets the “Thank You” Bank Club. A copyrighted promotional package, the Club provides continuous person alized advertising aimed at checking account customers through a franchise arrangement. Mr. Ellis, a graduate of Iowa State University and the American Institute of Banking, most recently was sales and service supervisor of the Master Charge division, Iowa Des Moines Na tional Bank. George State Bank Holds O pen H ou se The George State Bank, George, re cently celebrated 40 years in business with an open house. Coffee and donuts were served and prizes were given to those attending. Kick land Bank Builds A ddition Construction has begun on a 19 by 41 foot addition to the Union Bank and Trust Co., Richland office. Ronald Greeson, assistant vice president and office manager, said the addition will include a new entrance, manager’s office, four teller windows, record vault, two booths for safety deposit box holders, small storage room and additional lobby space. Building will be of concrete block construction with a brick fronting. —a 6ob ‘h e ® f ir s t a n d D a rre U a re s h o w n f l L Bank's Central National o b t a in e d C u sto m e r P r o f ile s P ro t can » ^ ^ * \ 1 11 o f f e r in g i! ^ n C R c o m p e l- "^your « « " c u s to m e rs . to b e tte r sy ste m ' i ^ >° _ > . * b .s . ■ ■ H — . | H , ; H f l | ■ H : f ;' i ^ — ^ n . too-..^ g f g m First National Ban ----- *>mmm o p e r a t in g D a rre ll Elkins,\ C u stom er S u pport Supervisor, D ata Processing Bob Schm ith, Assistant Vice-P resident, Data Processing FIRST NATIONAL BANK DEPOSITS INSURED TO $20,000 BY F.D.I.C. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis tW StOUJC C ity N o rth w e st ern Ban ke r, D e c e m b e r 1 9 7 4 72 Iowa News N ew Toy N a tio n a l B ank . Sioux C ity , H olds G ran d O pen in g A BOUT 17,000 people recently toured the new Toy National Bank of Sioux City during the $2.5 million facility’s two-day grand opening. The 124-foot-square, three-story bank is located on the site once occupied by the old Toy National at Fourth and Nebraska Streets. Designed by DeWild, Grant, Reckert & Associates of Sioux City, the building features two main public floors of general purpose teller and officer opera tions built around an open plan concept that minimizes the use of interior walls. The first floor is devoted to two large, free-standing teller pods. Each teller area houses up to six teller stations with 10 stand-up and two sit-down units. Around the per imeter areas of the floor are the officer operations. Elevators and escalators connect the lobby of the bank to the second-floor skyway system. After banking hours, a coil-wall partition will close off the bank from the elevators and escalators, allowing for use of the skyway system at all hours of the day. The upper level of the bank features suites housing the auditors, farm management, personnel, advertising, con troller, bookkeeping and transit, as well as provisions for future expansion. The lower level includes the Western Iowa Data processing facilities and employee service areas which include dining and lounge facilities, kitchen and vending machines, locker rooms and storage. The open character expressed in the interior areas of the bank is carried to the outside of the building through the use of large areas of bronze heat-reducing glass en closed in black aluminum frames. The exterior walls con sist of precast concrete panels of white cement and Wyom ing white quartz. Interior of the new Toy National GREETING guests at the open house for bankers and their wives were (left photo): Leslie H. Olson, pres. & c.e.o.; J. William Van Dyke, chmn., and John Van Dyke, exec. v.p. RIGHT— Some of the lucky winners exhibit prizes awarded at the dinner. Seated are Mrs. Frank (Vernice) Kingsbury, Ponca, Nebr., and Marie Smith, Rock Rapids State Bank, Rock Rapids, la. Standing are: Frank Kingsbury, pres., Bank of Dixon County, Ponca, Nebr., and Stan Fredericks and Leo Stavas, a.v.p.'s; Mark Ferner, corr. bank off., and Richard A. Breyfogle, v.p.-mgr., corr. bk. dept., all with Toy Natl. N o rt h w e st ern Ba n ke r, P e e e m b e r 1 9 7 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 73 All our computer knows how to do is work. Quickly. Efficiently. But no smile. Bill Rickert and Ken Young are the ones who smile. Especially when they’re showing somebody how our straight - faced computer works. Phone Bill or Ken today at i 1 800 772 2015 i - - - . National Bank o f W aterloo https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 110 E. P ark • W a te rlo o , Iow a N o rth w e stern Banke r, D e c e m b e r 1974 74 Iowa News 250 Bankers Honor Joe Grant in Sioux City VER 250 bankers and their wives gathered NoveriiO ber 19, 1974, to recognize Joe T. Grant, retired chairman of the board of the First National Bank in Sioux City, for his many contributions and accomplishments in his 37 years of service to the bank. The banquet was attended by correspondent bankers, directors, officers and retired olficers, and close friends of Mr. Grant. A reception was held just prior to the banquet., as guests toured the newly remodeled main lobby of First National. Mrs. Ostrand and her husband, Don, v.p., 1st Natl., Omaha, extend best wishes to Mr. Grant on his retirement. During the banquet program, Mr. Grant received a plaque enscribed with a statement made by the board of di rectors upon his retirement this past September. The state ment recognized Mr. Grant for spiriting the growth of th% bank from $20 million to $120 million in assets over his tenure as president. Part of the inscription read: “To Joe Grant, as but a small and totally inadequate memento of. his great leadership.” Robert Gleeson, past officer at First National and past president of the Sioux City Chamber of Commerce, spoke at the event, and Mrs. Grant was given 25 red roses — one each for Mr. Grant’s 25 years of service as president. v This banquet was one highlight of the grand opening of First National’s main lobby which has been completely re modeled in a colonial style. Mr. Grant, who began his banking career in his home town of Clay, Ky., served at the Merchandise National Bank in Chicago before joining First National in 1937. At that time, he was appointed auditor and controller, later' serving as cashier and vice president. Gil Gadzikowski, chmn. & c.e.o., presents a plaque to Mr. Grant to commemorate his 37 years of service. In 1949, he was elected president, a position he held until he was elevated to chairman of the board. Mr. Grant is an outdoor enthusiast and his two com panions on hunting excursions are German shorthair dogs, he has trained. Gil Gadzikowski, chmn. & c.e.o., Mrs. Gadzikowski and Mr. Grant visit during dinner honoring Mr. Grant on his retirement. DigitizedNfor FRASER o rt h w e stern Ban ke r, D ec em b er 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mr. Grant, Mrs. Taylor, Mrs. Grant and Richard Taylor, pres. 1st Natl., Sioux City. * 75 These Iowa Bankers work with LaSalle in Chicago to build business for Iowa banks H Why do LaSalle’s correspondent balances con tinue to climb? Two big reasons are Cy Kirk and Max Roy, two Iowa bankers who work with LaSalle correspondent banks in Iowa. These life-long Hawkeyes know Iowa and Iowa credits. They keep our business growing by helping busi ness grow in the correspondent banks they serve. If you would like to find out what Cy Kirk or Max https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Roy can do for your bank and for Iowa, call them in Chicago at (312) 443-2774. Or call at home; Cy Kirk at (815) 398-9521 ; Max Roy at (319) 338-5224. © LaSalle © ...th e bank on the move LaSalle National Bank, LaSalle Bank Building 135 S. LaSalle Street, Chicago, Illinois 60690 • Phone (312) 443-2774 N o rth w e s t e rn Ban ker, O ete m h et 1974 76 Iowa News N ew H ea dqu arters for E xcel M ortgage PICTURED is the new national headquarters for Excel Mortgage Insurance Corp., Bet tendorf, la., which has insurance in force throughout 48 states, the District of Columbia and Puerto Rico. It was designed and constructed by Dean H. Fry, Davenport, la. The building is of classical design, has 14,000 square feet, is 2-stories high and is on a seven acre site. It completes phase I of Excel’s three-stage building plan. Iowa and Nebraska Study EFTS Jointly The Iowa Bankers Association has “joined with the Nebraska Bankers As sociation in a joint study to determine their direction in Electronic Funds Transfer System,” said Jack Campbell, IBA president, at recent EFTS work shops held throughout the state by IBA. “All major city banks are with IBA right now,” he said expressing the de sire that it will stay that way and Iowa will go into EFTS unified. Both Nebraska and Iowa have ap pointed a three-man advisory commit tee to study answers and alternatives in EFTS. Iowa committee members in clude Russ Howard, Jr., president, Mahaska State Bank, Oskaloosa; Paul Dunlap, president, Hawkeye Bancorporation, Des Moines, and John Dean, president, Glenwood State Bank. In addition, the 10 group chairman of IBA have been asked to summit the names of two people in their group who would be willing to assist the commit tee. One of the committee’s first steps will be to come up with a feasible bud get, Mr. Campbell said. He stressed that the plan was a study and that the association wasn’t moving right now. IBA has taken no action directed to the enactment of legislation and does not plan to until determination has been made about the system to be established. Comptroller of the Currency James E. Smith has published a proposal in the Federal Registry that would author ize point of sale terminals for national banks within 50 miles of the bank’s headquarters and within five miles of Digitized forwFRASER N o rth e st e rn Ba n ke r, D e c e m b e r 1 9 7 4 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis its branches. This would include cross ing state lines. The Comptroller would delay implementation of the regulation until July 1, 1975, to allow individual states time to pass comparable legisla tion. The Comptroller’s decision will af fect IBA’s timetable, said Neil Milner, IBA executive vice president. He said the study will take at least six months and that EFTS may be operational within 18 months to two years depend ing on availability of hardware and other factors. The program would be gin in the metropolitan areas. THE DARK, mysterious creature in fore ground who looks like the hero of a TV action drama is Richard E. Tool, immedi ate past president of the Iowa Bankers Association, who was pictured during a relaxing moment at the recent American Bankers convention in Hawaii. Mr. Tool, president of Farmers & Merchants Sav ings Bank, Manchester, posed but didn’t go overboard in his diving outfit! Among the things to be considered are a good volume projection, the at titude of retailers in the state, a good cost analysis program and the eventual inclusion of the Automated Clearing House as part of this network, accord ing to Mr. Milner. He said the Iowa Clearing House would be fully opera tional by the third quarter of 1975 and that important meetings on the clear ing house would be held shortly after the first of the year. Iowa Bankers Insurance ami Services Elects New O fficials Newly elected officers of Iowa Bank ers Insurance and Services, Inc., are: President—Mark A. Arneson, presi dent, Clear Lake Bank and Trust Co., Clear Lake. Vice President—Donald L. Curry, president, Farmers Savings Bank, Massena. Chairman & Treasurer—Rose Doo ley. Executive Vice President—Edward J. Lenaghan. Secretary—Jon M. Grindle. The latter three are staff members in the Des Moines headquarters office. The new directors are: Mr. Arneson, Mr. Curry, Miss Dooley, Mr. Lenag han and Obert L. (Roy) Larson, chair man & president, Farmers Trust & Sav ings Bank, Williamsburg; Richard E. Tool, president & chairman, Farmers & Merchants Savings Bank, Man chester; R. S. (Dolph) Leytze, vice president, Farmers State Savings Bank, independence; J. F. Simmens, presi dent, Lee County Savings Bank, Fort Madison; J. L. Campbell, Jr., presi dent, Humboldt Trust & Savings Bank, Humboldt, and Neil Milner, Des Moines, executive vice president, Iowa Bankers Association. Carleton D. Beh Elects O fficers Carleton D. Beh Co., Des Moines municipal investment bankers, an nounced the recent election of officers within the company. Carleton D. Beh, Jr. has been elected chairman of the board and chief executive officer. Robert James Beh has become president and chief operating officer. F. Arthur Reynolds, vice president, was elected to director; R. Galbraith Pease, to assistant vice president; and Rex W. Ramsey, to as sistant vice president. 77 "I have always thought of Christmas time, when it has come round, as a good time: a kind, forgiving, charitable, pleasant time: the only time I know of in the long calendar of the year, when men and women seem by one consent to open their shut-up hearts freely, and to think of people below them as if they really were fellow-passengers, and not another group of creatures bound on other journeys. And, therefore, though it has never put a scrap of gold or silver in my pocket, I believe that it has done me good, and I say, God Bless it! ’ ephew m "The Chr.stmas Cai Central National Bank 6 -Trust Company DES MOINES (515)243-8181 MEMBER FDIC ' LO CU ST AT S IX T H /F IF T H & GRAN D / 35TH & IN G E R S O LL / W EST DES M O INE S AF F IL IA T E D W ITH C EN TR AL N A T IO N A L BA N C S H A R E S , IN C . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N o rth w e stern Ban ke r, D e c e m b e r 1974 78 Iowa News Woods, senior vice president in Purolator’s central division in Chicago, said the firm was covered, except for ^ a modest deductible, up to $50 million lor any incident. Payment was made by Commercial Union immediately following receipt of the Purolator claim. Purolator prompt ly mailed checks to these customers who suffered cash losses: Hawthorne Race Track, Stickney, 111. — $1,500,000. Merchandise National Bank, Chica go _ $1,165,000. Central National Bank, Chicago — $548,000. Ford City Bank, Chicago — $300,000. Exchange National Bank, Chicago ARCHITECT’S sketch of the new Farmers Savings Bank at Leighton. — $ 66 , 000 . In addition, Standard Federal Sav ings and Loan Association lost over F arm ers Savings B ank ? L eigh ton , R em odels $400,000 in cancelled checks de OWARD Glendening, cashier of the site of the present auto bank and stroyed by a diversionary fire set in the the Farmers Savings Bank is parking lot. Cost will be about $1.5 Purolator vault. Purolator will help" Leighton, has announced a major re million exclusive of land already pay costs of reconstructing the checks. owned by the bank. When the new modeling program. Mr. Woods said the company’s in Incorporating a new addition with building is completed, the present bank surance policy expires in January and the existing facility, the exterior will structure will be razed. the robbery loss undoubtedly will re be new and will provide a drive-up sult in higher rates for his firm and the’' window and night deposit system. The M anning Bank Celebrates entire security industry. interior will include private offices, 5 0 tli Anniversary The money has been traced by FBI larger bookkeeping and teller areas, The Manning Trust and Savings investigators to an unidentified Swiss private coupon booths, employee Bank recently celebrated its 50th an bank in Grand Cayman Island, British lounge, and board room. niversary with an open house, accord West Indies, but the FBI says it may The Kirk Gross Company of Wa ing to Lee Foote, bank president. be years before the money is recovered terloo is the architect, planner, design Located in one of the original, pre- due to highly secret banking proce er and contractor. The project will be 1900 structures of Manning, the bank dures there. finished in five to seven months. opened in the summer of 1924. Chicago M ercantile W ill C onstruction Begins on Provide Spot Gold Market Purolator Is Covered in The International Monetary Market First Nat’l, Clinton of the Chicago Mercantile Exchange Construction began recently on the Record B reaking Robbery Commercial Union Assurance Co., will provide a spot gold market when new facility of the First National Bank of Clinton, according to Robert J. has almost totally reimbursed Purola the precious metal becomes legal to White, bank vice president. Comple tor Security, Inc., for the record-break own in this country January 2, 1975, >. ing $4.3 million stolen from its Leo Melamed, chairman, has an tion is scheduled in 18 months. The new structure will be built im armored express division vaults in a nounced. The spot market will be established mediately behind the present bank on daring robbery October 20. Joseph I. as a complement to the I.M.M.’s pre viously announced futures market for INSTALMENT DEPARTMENT gold. Presently, spot gold prices used throughout the world originate in Lon PROFITS don and Zurich. More important than ever before! Mr. Melamed explained that since gold ownership will be permitted in PROTECT THEM this country for the first time in 40 Several hundred Upper M idwest banks utilize our single interest coverage, years, “there is no reason why we should continue to be dependent solely which we originated many years ago. No checking for prim ary insurance. on foreign quotations” for buy-sell Instalment lending protection is our only business. transactions started and completed in this country. Call or Write: G. D. VAN WAGENEN CO. “Any gold dealer will be able to 1006 N.W. Bank Bldg., Minneapolis 5 5402 participate in our market, whether he (612) 333-2261 is an I.M.M. member or not.” H N o r tfor h wFRASER estern B anker, D ecem ber Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1974 79 Iowa News C o u n c il B lu ffs B a n k W ins G o ld e n C oin A w a rd FIRST Nat'l Bank, Council Bluffs, recent ly won the 1974 Golden Coin Award from BMA for its recent community project, *" Rent-A-Garden. Shown is Hal Booth (left), bank pres., accepting the award from ''Terry Renaud, BMA pres. F ranklin Mint A nnounces Gold Program fo r Banks *- The Franklin Mint, the world’s largest private mint, will strike and distribute legal tender gold coins for foreign governments as soon as the right to own newly minted gold coins is restored to United States citizens. Charles L. Andes, president of The Franklin Mint, said, “Many Americans -will want to turn to their own banks as a logical source for acquring gold. ’Because of this anticipated demand, The Franklin Mint has decided to make gold coins available directly to banks.” Mr. Andes noted that more than “1,500 banks representing a total of „.more than 6,000 banking locations have already expressed their interest in taking advantage of the gold coin^of-the-realm distribution program. 'O pens O ffice in Cairo ^ Manufacturers Hanover Trust Com pany, New York, fourth largest bank in the United States, has opened a rep resentative office in Cairo, Egypt, and has received approval from the ^Egyptian government to establish a branch in the capital city. First N ational, Prim ghar, Celebrates 8 5 th Year Directors and staff of the First Na tional Bank of Primghar recently held dinner in recognition of the bank’s https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 85th anniversary. The bank was char tered on November 11, 1889. An added observance was the rec ognition of Jerome H. Smith’s 25 years of service to the bank. Mr. Smith is vice president, cashier and director. Master Charge V olum e Up 2 8 .7 % Master Charge card domestic dol lar volume reached a record nine month high of $7.1 billion, it was re ported by Interbank Card Association, licensor of the Master Charge card. This is an increase of 28.7% over the same period for 1973. Retail sales volume increased 27% to $6,209,171,112, and cash advance volume rose to $895,182,638, an in- crease of 41.4% over the same period in 1973. Outstandings for the year at Septem ber 30 were $4,418,760,956, up 33.2% from the $3,318,119,80 6 reported for the comparable period in 1973. The average outstanding balance was $337.27, up 12.7 per cent from $299.18. At the same time, past due accounts of 30 or more days were 5.1% of outstandings, up from 4.4% a year ago. Total number of cardholders in creased 11.7% to 33,819,951. The number of participating banks in creased 11.1% to 6,737 with 18,159 banking offices and locations through out the U.S. Introducing Gary Ellis Marketing Director — First Financial Marketing Group, Inc. lie Wants To Talk To You About The Profitable •'Thank You" Bank Club! A complete prom otional package, the “ Thank Y ou’’ Bank Club fea tures checking account benefits, group travel and insurance for the customer. To the bank it offers a continuous, well-serviced advertising campaign at LOW, LOW cost. If you would like to talk to Gary Ellis about the “ Thank Y ou" Bank Club, send your name and bank address to First Financial Marketing Group, Inc., 206 West Towers Building, West Des Moines, Iowa 50265. Name__ ______________________________ T itle __ ______________________________________ Bank N a m e_________________________________ A d d re ss______ ________________________ S ta te ________________________ Z ip __________ N orthw estern Banker. D ecem ber 1974 80 How to K ill an Idea • Don’t be ridiculous. • We tried that before. • It costs too much. • It can’t be done. • It’s too radical a change. • We don’t have the time. • That will make other equipment obsolete. • We’re too small for it. • That doesn’t apply to us. • We’ve never done it before. • Let’s get back to reality. • Why change it, it’s still working ok. ° It isn’t in the budget. • You’re two years ahead of your time. • We’re not ready for that. • Can’t teach an old dog new tricks. • Let’s form a committee. • We did all right without it. • If it was good — we’d already be doing it. • We’ll be the laughing stock. • That’s not our problem. • We’re doing the best we can. • Too hard to sell. • Has anyone else ever tried it? • It won’t work in our industry. 4 + 4 - 9 A proud father put his arm around his son’s shoulder and asked, “What did you learn in school today, son?” The boy was ready: “I learned that four and four make nine.” “But that’s wrong,” the father cor rected. The boy thought for a moment: “Well,” he said, “in that case, I didn’t learn anything.” Know-It-Ails You who think you know it all are very annoying to those of us who do. My Creed If 1 can say a soothing word, To someone in despair, If I can smooth a furrowed brow By showing that I care. If I can make a sad heart sing < And turn a frown into a smile, If I can do one little thing ^ To make life appear worthwhile, Lord, let me do these things for you, Let me do them . . . . if I can, •* My reasons are selfish. . . . For it’s true This makes m e a better man. — Charles W. Jarvis Y “ J u s t fill it w ith su b s c r ip tio n s t o THE NORTHWESTERN BANKER’’ Prison Celebration Prison Warden: “I’ve had charge of this prison for 10 years. We’re going to celebrate. What kind of a party do you men suggest?” Prisoner: “Open house!” IN D E X A A co rn P rin tin g C o ............................................................. 2 0 A g so u rc e M a rk e tin g ..................................................... 2 0 A m e ric a n N a tio n a l, C h ic a g o ..................................... 3 4 A m e ric a n N a tio n a l, St. P a u l ..................................... 41 A m e ric a n T r u s t & S av in g s ........................................ 6 9 Digitized FRASER N ofor r f f iw e s f e r n Ba nke r, D ec em ber 1974 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12 62 11 C 18 49 77 19 51 22 10 D D e L u x e C h e c k P rin te r s , I n c ........................................ 21 D ro v e rs N a tio n a l B a n k ................................................ 6 5 F ir s t F irs t F irs t F ir s t F irs t F ir s t 70 4 66 In s u ra n c e P ro g ra m m e rs ............................................. Io w a D es M o in es N a tl. B a n k .................................. I r v in g T r u s t C o m p a n y .................................................. I T T L ife ............................................................................... 82 17 16 v K K o o k er, E . F ., A sso ciates .......................................... 2 0 A, L L a S a lle N a tio n a l B an k .................................................. 7 5 L a w re n c e S y stem s, I n c ...................................................... 15 „ L in c o ln B en e fit L ife ..................................................... 6 0 M ^ 2 M e rc h a n ts N a tio n a l B a n k .......................................... M id la n d N a tio n a l B a n k ................................................. 4 7 M o rA m e ric a F in a n c ia l C o rp ................................. 24B -C ,. M o rtg a g e G u a r a n ty I n s u ra n c e C o rp ....................... 6 -9 N N a tio n a l B a n k o f C o m m e rc e .................................... N a tio n a l B a n k o f W a te r lo o .......................................... N o rth C e n tr a l C o m p a n ie s ............................................ N o rth e rn T r u s t C o m p a n y ............................................ N o rth w e s te rn N a tio n a l B a n k , M in n e a p o lis . . . . 59 73 13 27 38 P P a c k e rs N a tio n a l B a n k ................................................. P ro m S h e ra to n H o te l ....................................................... 58 36 S S c a rb o ro u g h & C o m p a n y .......................................... S e c u rity N a tio n a l, S io u x C ity ................................... 68' 4 _ T E .......................................................... .................................................. I DECEMBER, 1974 E m p lo y e rs M u tu a l O ffbeat Guarantee There’s an offbeat psychiatrist who advertises: “Satisfaction guaranteed or your mania back.” C G ross, K irk , C o m p a n y A D V E R T IS E R S C a ttle In fo r m a tio n ........................................................ C e n tra l B an k , D e n v e r ................................................... C e n tra l N a tio n a l, D es M o in es ................................ C h ic a g o M e rc a n tile E x c h a n g e ................................ C o m m e rc e B a n k , K an sas C ity ................................ C o n tin e n ta l Illin o is N a tl. B a n k ............................. C u m m in s-A lliso n ............................................................. Com fort for the Lonely Lonely people may take comfort in the knowledge that somewhere there ' is a data bank that cares about them. F ir s t N a tio n a l, St. L o u is ............................................. 3 7 F ir s t N a tio n a l, St. P a u l ............................................. 3 F ir s t N a tio n a l, S ioux C ity ........................................ 7 F ’ OF B B an k e rs P e rs o n n e l, I n c .................................................... B a n k e rs T r u s t C o m p a n y ............................................. B a n k o f A m e ric a ............................................................. “ P erson al” Letter Secretary, handing letter to the boss: “This one’s marked ‘Personal” but it really isn’t.” 33 F F in a n c ia l M a r k e tin g ................................ 6 4 , 7 9 M id A m e ric a ........................................................ 5 8 N a tio n a l, C h ic a g o ....................................... 4 2 -4 3 N a tio n a l, L in c o ln ............................................... 61 N a tio n a l, M in n e a p o lis ..................................... 4 5 N a tio n a l, O m a h a ............................................... 5 7 T a lc o tt, Ja m e s .................................................................... T o y N a tio n a l B a n k ......................................................... 8 1 -» 67 U U n ite d S ta te s C h e c k B o o k . ............................. 4 4 , 5 6 U n ite d S ta te s N a tio n a l B a n k .................................... 5 4 V ^> V an H o m e In v e s tm e n ts ............................................... 6 0 V an W a g e n e n , G . D ......................................................... 7 8 v He just landed that new customer. But it means a big bite out of his bank balance. Your advice—don’t panic. When he’s eyeball-to-eyeball with a cash flow problem, all it takes is money to stare it down. You tell him again it’s still time to call Talcott in Minneapolis. Our Business Finance Division can be his lifeline and get him cash to pay his bills and restock. As a banker you know Talcott’s Minneapolis experts can help him with financing. And together we can make sure his helmet is screwed on straight, before he takes a dive. For information, contact James Talcott, Inc. Business Finance Division, 820 Northwestern Bank Building, Minneapolis, Minnesota 55402 (612) 339-7711. Tell himtocall Talcott. He’s enough to give him the bends. Just as that slippery new customer seems to be swimming his way, his cash line fouls. Suddenly he’s choking for funds. He comes to the^bank for help. What a breathopportunity. But he needs more cash .Ç - than you can float. You tell him it’s time to call Talcott in Minneapolis. We react swiftly to a customers financing needs at any depth. And your bank might even want to be a partner with us. Our Business Finance Divisi surface solutions to most cash problems. Like raising his collateral treasure to the top and putting his finances on firm ground. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Still tell himtocall Talcott HAPPY HOLIDAYS! We hope the Christmas Season will be happy for bank and that 1975 will be prosperous for you and your customers. Iowa-Des Moines national bank An Affiliate of Northwest Bancorporation 7 th & W a l n u t https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 245-3131 BANCO
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