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Me m b e r
Federal Reserve Bank of St. Louis

MNB Senior Vice President
on “The importance
of creative
thinking in

"The challenge of developing more ef­
ficient methods in correspondent
banking is greater than ever. That's
why at Merchants National Bank, we
encourage our correspondent bankers
to develop new and better ways of
handling Overlines and Liquidity
Loans. That's why we offer time­
saving services like the 24-Hour
Transit Service and more efficient ap­
proaches to Federal Funds Purchase
and Sales and Bond Purchasing and
"A t MNB, we expect originality and
we encourage innovation. In cor­

respondent banking, as in any
dynamic business, creative thinking
blends vision with experience for a
better product. And by aggressively
seeking new perspectives, we believe
we'll find the best ways to serve our
respondent banks and their
Talk to one of MNB's creative corre­
spondent bankers, soon. Call John E.
Mangold, Terry M. Martin, Stan R.
Farmer, or Jerry N. Trudo. Just dial
( 319) 398-4313 or call, toll free,
1- 800- 332- 5991.

Merchants National Bank




is i

Member F.D.I.C.
Federal Reserve Bank of St. Louis

W hen it comes to customer preference*,
other travelers cheques don’t stack up.
In fact, they d on ’t even
:om e close. In a recent national
urvey, a majority o f travelers
^pque users said they want
American Express® the next
ime they buy travelers cheques.
W h ich isn’t surprising
vhen you consider that only

Am erican Express offers five spe­
cial services to help protect your
customers’ vacation if their trav­
elers cheques are lost or stolen.
W e can help cancel lost credit
cards, issue a temporary ID, and
cash a personal check for up to
$200. W e even have a 24-Hour

Travel Service Hotline if your
customer needs help changing
travel plans. A n d an Emergency
Message Service if they want to
send a message home.
C om bine all that with our
60,000 refund locations and
nearly 1000 worldwide Travel

Service Offices and you’ll see why
most travelers cheque users feel
A m erican Express is the best brand.
S o d o n ’t settle for less. A
majority o f travelers cheque users
want A m erican Express. A n d if
you d o n ’t have them, they may start
asking around.


American Express Travelers Cheques
Federal Reserve Bank of St. Louis



Major Fire Disables
N.W. National Building

NOVEMBER 1982 • 89th Year • No. 1430

The tragedy of fire is portrayed graphically in this cover picture taken as firemen
continued to battle the blaze that consumed the upper floors of the Northwestern
National Bank Building in Minneapolis. This photo was made available through
Northwest Bancorporation office of corporate communications. Initial details of
the fire are given in the brief story at right on this page.



Low interest loans

Community-minded banks boost Nebraska, Iowa economy


Bank officer salaries

Exclusive survey reflects 1983 income projections


Slow recovery in 1983

First Chicago Conference speakers look at the economy


Ag bankers meet in Chicago

Ag Secretary John Block addresses ABA Conference


MGIC sees mortgage upturn

Insurer’s nationwide survey points to expansion


Corporate News
Bank Promotions
Twin Cities
South Dakota
North Dakota


Des Moines
Index of Advertisers

306 15th Street, Des Moines, Iowa 50309

Phone (515) 244-8163

Publisher & Editor

Associate Publisher

Associate Editor


Ben Haller, Jr.

Steve Burch

Becky McBurney

Malcolm K. Freeland

N o. 1430 Northwestern Banker (USPS 397-620) is published monthly by the Northwestern
Banker Company, 306 Fifteenth Street, Des Moines, Iowa 50309. Subscription $1.50 per
copy. $18 per year. Second Class postage paid at Des Moines, Iowa and at additional
mailing office. POSTM ASTER: Send all address changes to Northwestern Banker, 306
Fifteenth Street, Des Moines, Iowa 50309.

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis


A Thanksgiving Day inferno that
started in the partially demolished
Donaldson’s department store spread#
quickly into the adjacent North­
western National Bank Building in
downtown Minneapolis and burned
out of control throughout the night.
Before firemen were able to quench#
the flames, all offices from the sixth
floor to the roof were gutted, al­
though the Minneapolis Fire Chief
said the structure is still sound.
The fire destroyed all offices of(
Northwest Bancorporation and a
number of its affiliate offices.
However, the Northwestern Na­
tional Bank quarters on the first
four floors were not hit by the fire*
but were heavily damaged by smoke
and water.
Thanks to some far-reaching plan­
ning that had just revised the
bank’s disaster plan only a few*
weeks ago, Banco and Northwestern
National officials “ got together im­
mediately and hit the ground run­
ning,’ ’ a Banco spokesman said. The
disaster plan had been committed in*
writing in book form just two
months ago and had been stored for
safety purposes in three or four
vaults of affiliated banks and bran­
ches throughout the Twin Cities*
area. “ The next day,’ ’ the spokes­
man said, “ they just got the book
out, started on page one and before
Saturday was too far along they
were assigning new office space to*
various departments.”
Before the weekend was out, Ban­
co had relocated all its personnel and
they had instructions as to where
they were to report for duty. Retail
customers were given a number of
Northwestern outlets where their
records could be accessed so that
business could go on with the least(
inconvenience. Banco and North­
western officials emphasized that no
customer records or valuables were
touched in the fire.
The correspondent bank depart-,
ment recently moved to the 12th floor
of the nearby Pillsbury Building, so
it was not involved in the fire.
St. Paul Fire and Marine Insur­
ance Company, which insures the
Northwestern National Bank sys­
tem, said the insured loss has not
yet been calculated; however, in line
with its extensive reinsurance pro­
gram, St. Paul F&M said its net,
pretax loss will approximate $5

Grygla, Minnesota,
has a raw and
unfinished air. Fred
Sorenson, president of
the 6-year-old
i. _ American State Bank
.J E o f Grygla, calls the
W ffß
surrounding area the
Midwest’s last frontier. The land is treeless,
flat and miraculously fertile, and every
season more acres are cleared, ditched and
planted, making more efficient than ever the
huge equipment that cidtivates, seeds and
harvests the wheat, oats, barley and
sunflowers. The settlement was named after a
Polish nobleman who spent one cold winter
there and quickly departed for warmer climes.
The Grygla bank’s chief correspondent is the
Northwestern National Bank of Minneapolis,
310 miles southeast of the town. Recently,
Fred Sorenson , who has his BA and MA from
the University o f Minnesota and who for
many years was a farm management
teacher, talked about Northwestern
Minneapolis and about banking in Grygla.
This is not like other places. This is
a frontier. Farmers here have an
insatiable thirst for money. They
deposit one dollar and ask to
borrow a hundred.

Our bank has wanted to help them, and
has. W hen the loans have gotten too large,
w e’ve had to call on the Northwestern
National Bank o f Minneapolis.
It’s handled most o f our ag overlines for
six years. Right from the beginning in fact.
T h ey’ve been responsive, capable,
cooperative, knowledgeable. W hat more
can I say?
O f course we do m ore than lend m oney
to farmers. Grygla has an urge and a right to
exist. W hen we cam e here six years ago
there were no paved streets, no water system,
no sewer system. N ow the village has all
three. And we were involved.
Our bank has also helped bring
in a grain elevator, enlarge a farm
im plem ent dealership, a beauty
shop, and helped start from
scratch a m achine shop,
a restaurant, a lum ber yard.
Just before I cam e here
from T h ief River Falls,
Minnesota, I said to my wife
Marie, “ If you love me,
com e to Grygla with m e.”
Thank heavens she
said y e s !
The people are
wonderful. The hunting is
great—mallards, honkers,
grouse, deer, even moose.
And everything I’ve done
as a banker in Grygla has
been done for the first tim e!
It’s not fancy, but it’s
banking at its best.

m N a t io n a l Ba n k
l KJ O f M in n e a p o lis
An Affiliate of Northwest Bancorporation

Federal Reserve Bank of St. Louis


Convention Calendar
ABA—American Bankers Association
AIB—American Institute of Banking
BAI —Bank Administration Institute
BMA—Bank Marketing Association
IBAA—Independent Bankers Association
of America
NABW—National Association of Bank
Women, Inc.
RMA—Robert Morris Associates

National Conventions & Schools
Jan. 16-19—BAI Productivity Conference
Hyatt Regency Hotel, Houston.
Jan. 23-26—ABA National Trust Conference,
Atlanta Hilton, Atlanta, Ga.
Jan. 31-Feb.1 —RMA Term Lending Work­
shop, Galleria, Houston.
Feb. 6-9—ABA National Compliance Con­
ference, Omni International, Atlanta, Ga.
Feb. 6-9—ABA Telecommunications and
Financial Networks Workshop, Hyatt
Orlando, Kissimmee, Fla.
Feb. 6-18—ABA National School of Retail
Banking, University of Oklahoma, Nor­
man, Okla.
Feb. 7—RMA Customer Profitability Anal­
ysis Workshop, Grand Hotel, Houston.
Feb. 8-11—ABA N ational Insurance
and Protection Conference of Financial
Institutions, Sheraton Twin Towers,
Orlando, Fla.
Feb. 13-16—ABA Conference for Branch Ad­
ministrators, Fairmont Hotel, Denver,
Feb. 20-23—BAI Annual Conference on
Bank Security, New Orleans, La.
Feb. 20-24—BAI Bank Auditor’s Confer­
ence, St. Francis Hotel, San Francisco.
Feb. 22-25—ABA Bank Investments Con­
ference, Hyatt Regency, Dallas, Tex.
Feb. 27-Mar. 2—BAI Conference on Bank
Security, Fairmont Hotel, New Orleans.
Feb. 27-Mar.2—BMA Electronic Banking
Conference, Four Seasons Hotel.
Feb. 27-Mar.2—BMA Community Bank
CEO Seminar, M arriott’s Mountain
Shadows, Scottsdale, Ariz.
Mar. 2-5—ABA Corporate/Commercial
Marketing Conference, Capital Hilton,
Washington, D.C.
Mar. 6-9—ABA Community Banks Execu­
tive Conference, Fairmont Hotel, New
Mar. 7—RMA Loan Review Seminar, Jack­
sonville Hilton, Jacksonville, Fla.
Mar. 7-11 —RMA Uniform Credit Analysis
Seminar, Xerox International Center for
Training & Development, Leesburg, Va.
Mar. 13-15—ABA National Credit & Cor­
respondent Banking Conference, Fair­
mont, New Orleans.
Mar. 14-16—RMA Asset-Based Lending
Workshop, Atlanta Hilton & Towers,
Mar. 23-26—ABA Mid Sized Bank CEO
Seminar, Marriott’s Rancho Las Palmas,
Mar. 23-27—IBAA 53rd Annual Convention,
Town and Country Hotel, San Diego,
Mar. 27-30—BMA Advertising Conference,
Hyatt Regency Chicago.
Apr. 5-7—ABA International Banking Sym
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

posium, Hyatt Regency Chicago.
Apr. 5-8—BAI Check Processing Confer­
ence, Marriott Hotel, Chicago.
Apr. 10-13—IBAA 21st Seminar/Workshop
on the One-Bank Holding Company,
Alameda Plaza Hotel, Kansas City, Mo.
Apr. 10-13—ABA National Retail Banking
Conference, Hyatt Regency Atlanta, Ga.
Apr. 14-17—AIB Regional Leaders Work­
shop, Omaha, Nebr.
Apr. 17-27—ABA National Commercial Lend­
ing School, University of Oklahoma, Nor­
man, Okla.
Apr. 18-20—IBAA Commodity Marketing
Seminar, Chicago, III.
Apr. 24-27—BMA Research and Planning
Conference, Hyatt Regency Crystal City,
Washington, D.C.
Apr. 28-May1—AIB Regional Leaders Work­
shop, Salt Lake City, Utah.
May 3-6—BAI Accounting and Finance Con­
ference, Amfac Hotel, Dallas.
May 8-10—Conference of State Bank
Supervisors, Annual Convention, The
Broadmoor, Colorado Springs, Colo.
May 8-11—Association of Reserve City
Bankers, Annual Meeting, Boca Raton
Hotel, Boca Raton, Fla.
May 8-13—ABA National Commercial Lend­
ing Graduate School, University of
Oklahoma, Norman, Okla.
May 15-18—BAI Tax Conference, Hyatt Re­
gency Hotel, Orlando.
May 22-25—ABA National Operations and
Automation Conference, Miami Beach
Convention Center, Miami Beach, Fla.
May 22-27—BMA School of Trust Sales and
Marketing, and Essentials of Bank
Marketing School, University of Col­
orado, Boulder, Colo.
May 22-June 3—BMA School of Bank Mar­
keting, University of Colorado, Boulder,
May 28-June 2—ABA National AIB Leaders
Conference, Sheraton Washington, Wash­
ington, D.C.
June 5-8—BAI Strategic Planning, Four
Seasons Hotel, Houston.
June 5-17—ABA Stonier Graduate School
of Banking, Rutgers University, New
Brunswick, N.J.
June 9-11—Association of Bank Holding
Companies, Annual Meeting, Opryland
Hotel, Nashville, Tenn.
July 11-12—IBAA Spread Analysis and Asset/LiabiIity Management Workshop,
Hyatt Regency Minneapolis on Nicollet
Mall, Minneapolis.
July 13-16—Central States Conference,
Jackson Lake Lodge, Wyo.
Aug. 8-9—IBAA Spread Analysis and Asset/Liabi Iity Management Workshop,
Caesar’s Tahoe, Lake Tahoe, Nevada.
Sept. 11-14—ABA National Personnel Con­
ference, Hyatt Regency, Phoenix, Ariz.
Sept. 12-14—IBAA Commodity Marketing
Seminar, Chicago, III.
Sept. 14-16—ABA Senior Operations Sem­
inar, Marriott’s Marco Beach, Marco Is­
land, Fla.
Sept. 18-21 —NABW Annual Convention,
Hyatt Regency, Dallas, Tex.
Sept. 18-21 —BAI National Convention, Fair­
mont Hotel, San Francisco.
Sept. 18-23—RMA Loan Management Sem-

inar, The Ohio State University, C olum #
Sept. 18-30—ABA National School of Retail
Banking, University of Oklahoma,
Norman, Okla.
Sept. 20-23—ABA National Bank Card Con­
vention, Bonaventure, Los Angeles, C alif.#
Oct. 8-12—ABA Annual ABA Convention,
Honolulu, Hawaii.
Oct. 23-25—ABA International Banking
Conference, Grand Hyatt New York.
Oct. 23-26—BMA 68th Annual Convention,
Atlanta Hilton, Atlanta, Ga.
Nov. 2-4—ABA Chief Financial Officer
Seminar, Hyatt on Hilton Head, Hilton
Head Island, S.C.
Nov. 2-5—IBAA 23rd Seminar on the OneBank Holding Company, Marriott’s Hilton
Head Resort, Hilton Head Island, S.C. #
Nov. 13-16—ABA National Agricultural
Bankers Conference, Bonaventure, Los
Angeles, Calif.
Nov. 13-17—BMA Trust Marketing Con­
ference, Fairmont Hotel, Dallas, Tex.

State Conventions & Schools



Sept. 21-24—Independent Bankers of Col­
orado Annual Meeting and Convention,
Keystone Resort.

Jan. 24-27—AMBI Washington Trip, Wash­
ington, D.C.
Feb. 23-24—IBA Marketing Conference,
Marriott Pavillion Hotel, St. Louis.
April 5-6—IBA Commercial Credit C on fe r#
ence, Ramada Inn, Champaign.
Apr. 19-21 —IBA Estate Planning Seminars,
Mount Vernon, III.
May 4-5—IBA Consumer Credit Conference,
Holiday Inn, Decatur.
May 10-11 —Independent Community Banks#
in Illinois 9th Annual Convention, Holiday
Inn East, Springfield.
May 23-31 —IBA Bankers School, Southern
Illinois University, Carbondale.
June 9-11 —IBA Annual Convention, Chi­
cago Marriott Hotel.
June 12-18—IBA Agricultural Lending
School, Illinois State University, Normal.
June 15-18—IBA Advanced Ag Lending
Clinic, Illinois State University, Normal.
June 19-25— IBA Commercial Lending
School, Illinois State University, Normal.
June 10-22—AMBI Executive Graduate
School of Banking, University of Illinois,
Champaign, III.

Jan. 17-18—IBA Electronic Funds Transfer
Seminar, Des Moines Marriott.
Feb. 7-9—IBA Marketing Conference, Des
Moines Marriott.
Feb. 11-12—IBA Group 1 Meeting, Marina
Inn, Sioux City.
Feb. 16-18—IBA State Legislature Trip/
Leadership Conference, Des Moines
Feb. 20-21 —IBA Group II Meeting, Holiday
Inn, Burlington.
Feb. 23-25—IBA Midwinter Management
Conference, Colo.
Mar. 14-16—IBA Ag Credit Conference,
Scheman Center, Ames.
Mar. 29-30—IBA Chief Executive Officer
Conference, Des Moines.

(Turn to page 8, please)


How can you be sure
you're getting your money's worth?
Today, it’s important
to be very selective about
your bond portfolio
A lot of your assets
are involved. And we’re
dealing in a tough
financial world.
United Missouri Ç
Bank can make
sure you’re
investing in high
quality securities. We
offer exactly what you
want. And, if you’d like,
we’ll make specific
Always, with the emphasis
on quality.
We have a tradition

of excellence and an
outstanding track record
for providing sound bond
portfolio services. Very
important in this
uncertain economy.
While some banks
.see today’s market
condition as
a problem, we see
it as an opportunity.
To get you your
money’s worth.
We’re the Bond
Department at United
Missouri Bank. Call or
write us today. We’ll hold
your investment
information in the strictest

Bond Department

M em ber FDIC

of Kansas City, n.a.
United w e grow.Together.

10th and Grand, P.O. Box 226, Kansas City, M issouri 64141 • (816) 556-7200
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


HE following promotions and
other announcements have been
made by the following firms:


Advanced Planning Systems,
Inc., Arlington Heights, 111.: C.
David Channell, professor of finance
at East Texas State University, has
joined the com­
pany as a senior
consultant. He
began his educa­
tion and consult­
ing career in
1970. His areas
of specialization
include banking,
investments and
computer appli- C.D. CHANNELL
cations. He has
received the Outstanding Teacher
Award in the East Texas College of
Business Administration and is well
known for his numerous papers
presented at professional con­
ferences and articles published.
Advanced planning is a consul­
ting firm specializing in bank man­
agement, planning and systems.
Banker’s Equipment Service, Inc.,
Burnsville, Minn.: Thomas P. Glesener has joined the firm as a sales
representative to prom ote the
various computer products market­
ed by Banker’s Equipment. Includ-

ed in these products is a modern
computer which posts on a ledger
card and generates complete general
ledger, liability ledgers and accrual
Mr. Glesener has 11 years of
banking experience, having served
as cashier of Northwestern National
Bank Southwest in Bloomington,
and Northwestern State Bank of
Northfield. He served also as assis­
tant vice president of the First State
Bank of Eden Prairie and most re­
cently was with First Chicago Data
BarclaysAmerican Business
Credit, Inc., Minneapolis: Gregory
L. Davidson has been appointed
marketing representative in the
Minneapolis region office with re­
sponsibility for development of new
business through telephone market­
ing program s, presentation of
business seminars and performance
of prelininary financial analyses
throughout the Minneapolis region.
This area includes Minnesota, North
Dakota, South Dakota, Nebraska,
Iowa and a portion of Wisconsin.
A resident of Burnsville, Mr.
Davidson received his BA degree in
accounting/economics from Albion
College. Before joining Barclays­
American he was employed by First
Community Credit Union of Kala­
mazoo, Mich., as assistant manager.

(Continued from page 6)
Apr. 24-27—IBA Washington, D.C. I rip.
June 19-24—Iowa School of Banking, Uni­
versity of Iowa, Iowa City.

Jan. 12-13—MBA Personnel Conference.
Feb. 8-9—MBA Senior Bank Management
Mar. 1-3—MBA Marketing Workshops.
Mar. 15-17—MBA Agricultural Workshops.
Apr. 12-14—MBA Lending Workshops.
May 3-6—MBA Washington Legislative
Conference, Washington, D.C.
May 9-11 —MBA Investment Workshops.
June 20-21 —MBA Annual Convention, Hy­
att Regency, Minneapolis.
June 26-July 1—Minnesota School of Bank­
ing, St. Olaf, Northfield.
July 24-29—Midwest Banking Institute,
University of Minnesota, Morris.
Aug. 18-21— Independent Bankers of Min­
nesota Annual Convention, Arrowwood
Lodge, Alexandria.

Feb. 9-11 —MBA Agricultural Credit Con
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

ference, Holiday Inn, Bozeman.
Mar. 31-Apr.1 —MBA Bank Presidents Con­
ference, Colonial, Helena.
Apr. 24-26—MBA Consumer Lending Con­
ference, Big Sky.
May 12-13—MBA Trust Conference, Sher­
aton, Billings.
May 19-20—MBA Commercial Lending Con­
ference, Colonial, Helena.
June 16-17—MBA Real Estate Conference,
Colonial, Helena.
June 28-July 2—MBA Annual Convention &
Membership Meeting, Sun Valley.

Jan. 6—Nebraska Independent Bankers
Association Annual Legislators Banquet,
Hilton Hotel, Lincoln.
Jan. 12-13—NBA General Lending Con­
ference, Holiday Inn, Kearney.
Feb. 5-10—NBA Bank Presidents Con­
ference, Marriott Beach Resort, Marco
Island, Fla.
Feb. 16-17—NBA Personnel Conference,
Feb. 27-Mar.4—NBA Basic School of Bank­

ing, Regency West, Omaha.
Mar. 13-18—NBA Intermediate School of
Banking, Regency West, Omaha.
Mar. 30-31 —NBA Ag Outlook Conference,
Holiday Inn, Kearney.
Apr. 10-16—ABA Leadership Conference,®
Apr. 24-29—ABA Commercial Lending,
School, Regency West, Omaha.
May 4-6—NBA Annual Convention, Holiday
Inn, Omaha.
June 11-14—NBA Washington Visit.
July 10-15—NBA Trust School, Regency
West, Omaha.
North Dakota:

Jan. 26-27—NDBA Bank Management Con­
ference, Kirkwood Motor Inn, Bismarck. f
Feb. 16-18—Bank of North Dakota MidWinter Break, Bismarck.
Mar. 16-17—NDBA Agricultural Credit Con­
ference, Fargo.
Apr. 26-28—NDBA Washington Legislative
and Administrative Conference, Hyatt®
Regency on Capitol Hill.
May 23-24—NDBA 98th Annual Convention,
Civic Auditorium, Grand Forks.
June 5-10—NDBA North Dakota School of
Banking, Grand Forks.
Sept. 14-16 —Independent C om m unity®
Banks of North Dakota Annual Conven­
tion, Kirkwood Motor Inn, Bismarck.
Sept. 26—NDBA Northeast Group Meeting.
Sept. 27—NDBA Northwest Group Meeting,
Sept. 28—NDBA Southwest Group Meeting,®
Sept. 29—NDBA Southeast Group Meeting,
South Dakota:

Apr. 6-7—SDBA Ag Credit Conference,,
Kings Inn, Pierre.
Apr. 20-21—Joint NDBA/SDBA Trust Con­
ference, Holiday Inn City Centre, Sioux
May 16-17—SDBA Annual Convention, Con­
vention Center, Sioux Falls.

Jan. 19-21—WBA Consumer Credit Con­
ference, Hitching Post, Inn, Cheyenne.
Feb. 3-4—WBA Credit Conference, Ramada
Inn, Casper.
June 15-17—WBA Annual Convention,
Jackson Lake Lodge, Jackson.

Record Number of Banks
Join RMA This Past Year
During the past fiscal year —
September 1, 1981, to August 31,
1982 — a record 257 commercial and
savings banks joined Robert Morris
Associates, breaking the previous
year’s record of 220 new members.
This brought the net total of RMA
member banks to 2,500, also a re­
cord high.
These member banks are repre­
sented in RM A by more than 10,000
individuals (associates) who either
are actively engaged in commercial
lending, credit, and loan administra­
tion functions or who control or in­
fluence them at the policy level.


When you need the support of a money-center bank,
think first of First Chicago. Why? Because we’ll
provide wide-ranging services and fast, decisive
responses. Because we offer you a true partnership
that supports instead of supplants. And because we
give you the services of The First Team to deliver
all our resources when and where you need them.
Tom King, Vice President, explains:‘‘Every
member of The First Team, from your relationship
manager to the specialist in key financial areas,
respects your position in the marketplace.
We make it our business to back up your relation­
ships w ith strong, state-of-the-art
products and services!’

Jack Clark, Vice President: “ First Chicago has
created a new area called Credit Marketing Services
which helps our relationship managers provide a
streamlined credit process and fast response.
Anytime!’ Adds Don Boreman, Assistant Vice
President: “ Our relationship managers know your
region thoroughly. Being based in Chicago, they
provide the vital link that brings the expertise of
all other members of The First Team directly to you
and your customers!’
Get The First Team working with you in
Kankakee, Kansas City, Kalamazoo, wherever you
are. Call Tom, Jack, or Don at (312) 732-4100.

The First National Bank of Chicago


© 1 9 8 2 The First National Bank o f Chicago • M em ber FD.I.C.
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


Bank Promotions
ROMOTIONS and other an­
nouncements have been made
by the following banks:


named vice president in charge of
loan administration. He had been
manager of the real estate depart­
ment for Commerce Bank of Kansas
City, N.A.
James L. Swarts has been named
assistant vice president for affiliate
bank administration. He had been
an attorney in the holding company
legal department since 1978.
Thomas A. Wallingford has joined
Commerce Bank as vice president
and head of the personal trust de­
partment. He had been vice presi­
dent and trust officer for a Kansas
City area bank for two years. He re­
ceived a BA from the University of
Kansas and his J.D. degree from the
University of Missouri at Kansas Ci­
ty Law School.


American National Bank, Chi­
cago: Anthony A. Scerba, 41, has
been appointed president of Tel-AData Corporation and American Na­
tional Data, processing subsidiaries
of the bank. Mr. Scerba is a vice pres­
ident of the bank, which he joined in
It was also announced that Amer­
ican National will join the Cash Sta­
tion, Inc., automatic teller machine
system and plans to be fully opera­
tional on the system by the third
quarter of 1983. It will have ATMs
at the main bank, the facilities at
LaSalle/Wacker and the Gateway
Center and the newest one at Chi­
cago Mercantile Exchange, which is
scheduled to open in January, 1984.
Continental Bank, Chicago: George
These are in addition to the more
R. Baker, 53, executive vice presi­
than 100 Cash Station ATM s in the
dent of the bank and Continental Il­
Chicago area.
linois Corporation, has resigned
Commerce Bancshares, Inc., Kan­ from those positions effective De­
sas City: Gene F. Hahn has been cember 31, 1982. He will be succeed-

Our engineers will custom design
a display to enhance the architecture of your building. Color drawIng and quote at no cost. Call or
write today »

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| f f
§ C t


.G H H



| 1
3 3 ,



Hull, Iowa
Custom designed

Elmhurst, Illinois
Attached display



.[N o r th e rn

tr u st

Com pany,


T ot information write


C h i­

Directors recently announced
these promotions and new appoint­
Gregg D. Behrens to vice presi­
dent in the commercial banking de­
Gerald P. Harbison to vice presi­
dent in the personal banking depart­
Norman J. Wohlken to vice presi­
dent in the trust department.
Charles B. Hintz, from outside
the bank, was appointed vice presi­
dent in treasury planning.

“ Accepted Sale Registers by Bank
Clerks Everywhere“


Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

National Boulevard Bank, Chicago: Richard T.
M errill, p resi­
dent and chief
executive officer
o f C om m erce
Clearing House,
Inc., has been
elected to the
b a n k ’ s board,
filling the vacan­
cy left by Robert
C. Bartlett.


Eagle Grove, Iowa
Custom market report

P.O. Box 128 Brookings, SD 57006
(605)692-6145 Toll Free 800/843-9879 (exc. AK, HI & SD)
Telex 29-5013 DAKTRONCS BKNG

HarrisBankcorp, Chicago: Ormand J. Wade, president and chief
operating officer of Illinois Bell Tele­
phone Company, has been elected to
the Harris holding company board
and to the board of its subsidiary,
Harris Trust and Savings Bank. His
election brings the total number of
directors to 19.


Warrensburg, Missouri
Attached display


ed by Edward M. Cummings, execu-^
tive vice president, who has been the
corporation’s senior officer in its
London-based European headquar­
ters for the past two years.
Mr. Baker leaves to pursue other
business activities; however, he will
be available on a part-time basis to
serve Continental until July, 1984.
In his current capacity as head o f^
general banking services, Mr. Baker
is responsible for all corporate bank­
ing, domestic and international. He
has been executive vice president
since 1972 and head of general bank-^
ing services since 1976.
Mr. Cummings, 61, is returning
from London with more than 34
years of experience with Continen­
tal, all of it in corporate banking. ^

O akland, Iowa

If you've
financed one holding company,
you've financed them all.
O rhave you?




Let’s face it. Holding
com panies aren’t always alike.
So if your correspondent bank
thinks all holding com pany financing
is the same, m aybe it’s time to look
for a different correspondent bank.
Like Continental Bank. At
Continental, w e hold no preconceived
notions about what a holding company
in your situation might need. We put
together a credit especially made for
a holding com pany of your size, in
your state, and in your circumstances.
With the combination of terms your
individual situation calls for. And
with any necessary regulatory
modifications, evaluation analyses,
and even negotiation assistance
you might require.
That’s the sort of flexibility you
v\ expect. A nd deserve.
You expect decisiveness,
) too. At Continental, you get it.
T tV Credit requests don’t go from
committee to committee. T h ey
go directly to your account
m anager—the person w ho can
say “yes” or “no” on most loans.
You get a decision fast. From the
person w h o made it.
Call Robert C. Vasko at
(312) 828-4046 about your holding
com pany financing. We w on ’t try to
put you in one pigeonhole or another.
W e’ll just w ork out the credit that’s
best for you.

Continental Illinois National Bank and Trust Company of
Chicago, 231 South LaSalle Street, Chicago, Illinois 60693
Atlanta •Chicago •Cleveland •Dallas •D enver •Detroit
Houston •Los Angeles •Minneapolis •N ew York
San Francisco •Seattle •White Plains.
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


M osler Plans Education, Display Center

LANS for the construction of a
multimillion dollar, 90,000 sq.
ft. National Education and Display
Center for the Mosler Safe Com­
pany, an American-Standard com­
pany were recently announced by
company president Robert F. Mur­
phy. Scheduled for a summer-1983
completion, the new building will be
adjacent to Mosler’s national ware­
house and distribution center on an
80-acre tract in the Southwestern
Ohio Industrial Park in Hamilton,


According to Joe McDonald, sen­
ior vice president, sales, installation
and service, “ Our primary reason
for the construction of this new facil­
ity is to reinforce Mosler’s long­
standing commitment to the tech­
nical excellence of our sales, installa­
tion and service forces.
“ Our security systems and equip­
ment have become increasingly com­
plex and many of these products are
based on micro-processor and com­

Two Minnesotans Named to Key ABA Posts
WO Minnesotans are among four
bankers appointed to key posts
in the American Bankers Associa­
tion for 1982-83 by A B A President
William H. Kennedy.
Burton P. Allen, Jr., president of
First National Bank of Milaca, Milaca, Minn., was appointed chairman
of A B A ’s American Institute of
Banking. A third generation banker,
Mr. Allen replaces Thomas R. Smith,
former A B A treasurer and president




of Fidelity Brenton Bank and Trust
Co., Marshalltown, la., who comple­
ted his one-year term as AIB chair­
man October 19. As chairman, Mr.
Allen will serve on the A B A Educa­
tion and Policy Development Coun­
cil and the AIB executive commit­
tee. The latter board works closely
with AIB state committees and

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

more than 600 local chapters in de­
fining and implementing A IB ’s
goals and objectives. Mr. Allen has
had distinguished service and
A B A ’s Education Policy and Devel­
opment Council and the Community
Bankers Advisory Council. He was
president of the Minnesota Bankers
Association in 1973-74.
Mark W. Olson, president, Securi­
ty State Bank, Fergus Falls, Minn.,
was named chairman of the A B A
Government Relations Council.
Hugh M. Chapman, chairman of Cit­
izens and Southern National Bank,
Columbia, S.C., was named vice
chairman. The Council is the 100
member body which establishes the
legislative and regulatory policy
positions of the ABA.
Mr. Olson was vice chairman of
the council for 1981-82. He is also a
member of the Minnesota Bankers
legislative committee and chairman
of the Bankers’ Advisory Commit­
tee to Congressman Arlan Stangeland.
Thomas P. Rideout, president and
chief operating officer of Savannah
Bank and Trust Co., Savannah, Ga.,
has been appointed chairman of
A B A ’s Banking Professions Coun­

puter technology. This product ad-<
vance and the rapid growth of our
service organization necessitate a
larger, more modern facility to con­
duct extensive training of our tech­
nical service representatives.” Mr.<
McDonald said the classrooms and
laboratories will be equipped with
advanced demonstration and test
equipment. Laboratories and class­
rooms also have been designed to ac-{
commodate customer training.
A large area of the new building
will be devoted to the display of the
many electronic and physical securi­
ty and remote transaction products <
manufactured and sold by Mosler.
M osler’s state-of-the-art security
communication system, COMSEC,
will be displayed. In addition, the
building and its contents will be pro- <
tected by a COMSEC which will
monitor all fire and security devices.
Also, the COMSEC system contains
energy management devices which
will regulate the heating and air con-<
ditioning systems.
The building will house several
sales, installation and service sup­
port groups including the marketing
communications department.
cil. In that position he is responsible
for ensuring that the actions of the
16 divisions within the council are^|
supportive of A B A goals and objec­
Thomas B. Shriver, executive vice
president of the Pennsylvania Bank­
ers Association, has been named |)
chairman of the A B A State Associ­
ation Division, having served as its
vice chairman the past year.

George Morvis Elected To
BAI Board of Directors


George M. Morvis, president of
Financial Shares Corporation, Chi­
cago, a bank consulting firm, w a s #
elected to a three year term on the
board of directors of the national
Bank Marketing Association.
Mr. Morvis became the first non­
banker ever nominated and elected#
to the board. The action took place
at the B M A ’s annual convention re­
cently in Phoenix.
Mr. Morvis also was selected as
the first recipient of the A ssocia-#
tion’s William M. Dalton Service
Award, signifying outstanding con­
tribution to the BM A membership,
and named after the late Bill Dalton,
an early participant and longtime®
service member of the Association.


•B M A Announces Golden Coin Awards
OP PRIZE in the 1982 Golden
Coin Awards competition of the
Bank Marketing Association, which
annually judges out-standing; mar­
keting and community affairs pro­
grams of the nation’s financial in­
stitutions, went to Neworld Bank
for Savings, Boston.
Besides “ That’s My House” of
Neworld, four other banks also won
G olden Coins for outstanding
achievement in their size categories.
They were First National Bank of
Crossville, Crossville, Tenn.; Irwin
Union Bank and Trust Company, Col­
umbus, Ind.; Overland National
Bank, Grand Island, Neb.; and Commonwealth National Bank, Har­
risburg, Penn.
Overland National captured the
marketing trophy in the less than
$100 million asset category for its
program “ B a n k ers’ B onus —A
Deposit Incentive.”
Among six other banks which
were presented a Certificate of Merit
by BM A during the Golden Coin
awards presentation, two were from
this area:
Community Affairs ($1 billion or
more) — IntraWest Bank of Denver
(formerly The First National Bank
of Denver). “ First of Denver PaintA-Thon.”
Marketing ($0 - $100 million) —
Bank of Norfolk, Norfolk, Neb. “ The
Answer: Money Market Checking
BM A also listed award winners in
the three individual categories of
Best of Print, Best of TV and Best
of Radio. Winners from midwestern
and mountain states were announced
in these categories:








Best of Print
The 55 total winners were selected
from 700 entries.
Newspaper: (Full page, black and
white) Washington Bank & Trust,
Naperville, 111.; (Campaign, black
and white) First National Bank of
Lake Forest, Lake Forest, 111.
Consumer Magazine: (Full page,
color) United Bank of Colorado,
Business or Trade Publication:
(Less than full page, color) First
Bank System, Minneapolis.
Direct Mail: (Lead inquiry cam­
paign) Mercantile Bancorp, St.
Printed Material: (Campaign)
United Missouri Bancshares, Kan
Federal Reserve Bank of St. Louis

sas City.
Specialty Advertising: ($2.50 to
$10.00 unit cost) Lake View Bank,
Best of TV
Thirty-five commercials were
selected from nearly 200 entries for
the TV reel.
Under $15,000 production costs:
The Exchange National Bank, Col­
orado Springs, Colo.
Over $15,000 production costs:
The First National Bank of Chicago;
United Central Bank of Des Moines

and First National Bank of Min­
Best of Radio
IRAs and ATMs were the most
popular subjects for bank radio com­
mercials in 1982 in the 150 entries,
of which 36 were selected as win­
ners. They are:
Mountain States Bank, Denver;
United Banks of Colorado, Denver;
The First National Bank of Chicago;
Pioneer Bank, Chicago; Iowa Bank­
ers Association, Des Moines; IowaDes Moines National Bank, Des
Moines, and United Missouri Baneshares, Inc., Kansas City.

Bank Directors, please note

The 52nd Assembly
For Bank Directors
Boca Raton Hotel and Club, Boca Raton, Florida
January 13-16, 1983


Legislative O utlook
Financial Services —A Look Ahead
Challenges Facing Bank Directors

Plus Discussion Sessions in which directors may
ask questions and explore issues with the speakers.
C o -s p o n s o r e d by The F o u n d a tio n o f th e S o u th w e s te r n
G r a d u a te S c h o o l o f B a n k in g a n d Florida B a n k ers A s s o c ia tio n .
For fu rth e r in fo r m a tio n , p le a se c o n ta c t:

Dr. Alan B. Coleman or Nancy Griggs
S.M.U. Box 214
Dallas, Texas 75275
Telephone: 2 1 4 /6 9 2 -2 9 9 4 or 2 1 4 /6 9 1 -5 3 9 8

Northwestern Banker, December, 1982

W hen you’re trading
in m oney market instruments,
look to B an kofAmerica.

Why? Because we
know the m oney
market from top to
bottom. Bank o f America is a trader in
virtually all capital and m oney market
instruments perm itted for banks.
We have the people and facilities
to m ake m ost transactions or invest­
ments you ’re interested in. We can
help you with governm ent and
m unicipal securities, for exam ple.
Plus almost every type o f global

investment, from
repurchase agree­
ments and certifi­
cates of deposit to acceptances,
Eurodollars and Federal funds.
So whenever you need these or
any other correspondent services,
look to Bank of America. Call us in
San Francisco at (415) 622-6909.
In Los Angeles, at (213) 228-3288.

Look to the Leader.™

Bank of America NT&SA • Member FDIC
© Bank of America NT&SA 1982
Federal Reserve Bank of St. Louis

C o rre s p o n d e n t B an kin g S ervices



Low interest loans
* boost economy and outlook
in Nebraska and Iowa




HEN Ida County State Bank,
Ida Grove, Iowa, decided
fer a $1,000,000 loan pool at 10% in­
terest to bank depositors, it didn’t
take long for bank officials across
Iowa and surrounding states to re­
a l i z e the benefits to be gained from
just such an “ Economy Booster Pro­
gram,” after reading about it in the


N orthwestern B anker .

Since that time at least eight
©other banks in Iowa and Nebraska
have offered similar low interest
loan pools, with many others seek­
ing information from banks with ex­
isting low interest loan programs.
i The eight additional banks known
to have offered a low interest rate
loan pool are: First Security Bank of
Holdrege; First National Bank,
Holdrege; First National Bank in
©Ogallala, and First National Bank,
David City, all in Nebraska, and in
Iowa: West Liberty State Bank;
Farmers State Bank, Marion; Clar­
ence Savings Bank, and Community
©Savings Bank, Edgewood.
As was reported in the March 8
N orthwestern B anker Weekly
Newsletter, the rules of the “ Econ­
omy Booster” loan pool in Ida
©Grove were simple. The bank made
the million in loan funds available to
borrowers with qualified credit, who
were established Ida County State
Bank deposit customers. Items had
©to be purchased only from Ida Coun­
ty State Bank merchant customers.
Federal Reserve Bank of St. Louis

The borrower had to provide proof of
then pay a rate of 10% in­
terest for one year, variable rate
thereafter on loans beyond one year.
The loan limit was $7,500 maxi­
mum, $100 minimum with 25%
down payment required. A joint
check was issued to buyer and mer­
chant with items purchased used as
The program, which began Febru­
ary 11, was scheduled to run
through July 1, but the $1,000,000
loan pool was loaned out by June 1,
according to James Lipton, presi­
dent of the bank. A breakdown of
the million and the type of pur­
chases it went for follows:
feed & fertilizer ..................$325,000
c a r s ......................................... 240,000
livestock ................................. 145,000
machinery ...............................97,500
home im provem ent................65,000
seed........................................... 48,000
fuel, gasoline .......................... 38,500
catch all, misc........................... 29,000
furniture & appliances............15,000
Mr. L ip ton received m any
positive comments from the approx­
imate 260 borrowers and 45 mer­
chant customers affected by the pro­
gram. As one local car dealer com­
mented to the bank president, “ It’s
nice to go to work when you know
you can sell something.”
Mr. Lipton also reported being
contacted by several banks in Ne­

braska, three or four in Iowa and
several on the east coast, many of
whom had read about the program
in the N orthwestern B anker and
wanted more information on the pro­
gram and its progress.
Of the eight other banks in Ne­
braska and Iowa presently offering
low interest loans, the concept is
basically the same in each case with
the total amount being loaned rang­
ing from $500,000 to $1,000,000 and
interest rates from 10%-12.55%.
Not all the banks restricted the
loans to bank customers. Several of­
fered the loans to anyone credit wor­
thy, stipulating only that the money
be spent with local merchants.
In each case community response
has been “ excellent,” “ overwhelm­
ing,” “ generating a lot of positive
good will” and “ gave people a
chance to think positively about the
present situation.”
Although the benefits of the
Economy Booster program in Ida
Grove and other communities can­
not yet be put in exact figures, it is
theorized that if each dollar turns
over five or six times as retail
dollars normally do, banks loaning
out $1,000,000 will have given their
communities a boost of $5,000,000.
According to Mr. Lipton and oth­
er bank officials, the good will and
overall positive attitude generated
by the loan programs have made it a
success all over.
Northwestern Banker, December, 1982


Bank Officer
Salary Survey

HE EFFECTS of the ailing econ­
omy in 1982, the dramatic drop
in the inflation rate and expecta­
tions of only a mild recovery in 1983
are reflected in the Annual Salary
Survey compiled recently by the


N orthwestern B anker .

In the nine states surveyed, more
than 200 banks responded with de­
tails about 1982 income and 1983
projected income for the top three
officers, as well as percentage in­
crease plans for the rest of the staff.
Here are the details from the current
salary study.
Question 1
Q. Do you plan to increase salaries
for your top three officers in 1983?
If “ Yes,” what do you estimate the
percentage increase will be?
Two salient points emerged in re­
plies to this question (Chart No. 1):
1. Among all respondents, 73.3%
said they plan to increase the top
three officers’ salaries, while 17.8%
said “ No,” and 8.9% gave no reply.
Among those who made a “ Yes” or
“ N o” commitment, 80.5% said they
plan salary increases, but 19.5%
said “ N o.” This is in direct contrast
to the Salary Survey published in the


orth w estern



S urvey

January, 1982, N orthwestern B ank­
er when 96.6% said they planned a
salary increase. That represents a
17% drop from one year ago.
2. Among the 80.5% planning to
increase salaries, that increase is ex­
pected to average 7.55% for the top


three officers. That is down from the
average salary increase of 9.4% in
last year’s survey, a drop of 19.7% _
in the dollar values of projected^
salary increases. However, when the
respondents were asked to list the
exact base salary and total income

Chart No. 2
Q. What is the planned income in 1983 for the #1, #2 and #3 officers, and what was
their 1982 income? This information is presented below in two basic categories—

Base Salary and Total Income. Under the dollar amounts for 1983 Base Salaries (col­
umn 1) the figures in parentheses show the percentage increase in Base Salary over
1982. Similarly, under the dollar amounts for 1983 Total Income (column 5) the
figures in parentheses show the percentage increase in Total Income over 1982. Col­
umns 2 and 4 show the percentage relationship between Base Salary and Total In­
come for their respective years.
#1 Officer

As % of

(3 )

(4 )
As % of






















$25 to $50






Over $50











$10 to $25







$25 to $50







Over $50







Under $10





$10 to $25





$25 to $50




Over $50



Under $10


Chart No. 1

$10 to $25

Q. Do you plan to increase salaries for
your top three officers in 1983?



#2 Officer


#3 Officer

No Answer
■ 1 8.9%
Q. How much increase do you plan for
these three officers?

Increase stated by percentage = 7.55%
Increase stated by actual dollar
amounts was lower and = 5.64%
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Under $10

#dollar figures for each of the top
three officers, the increases stated in
these dollar amounts are much less
than the 7.55% increase they stip­
ulated above. The percentage in® creases for all responding banks
among their top three officers totals
only 5.64% by using the actual dol­
lar figures entered. For banks under
$10 million deposits, the increase
•then becomes only 4.3%; for banks
of $10 to $25 million deposits it is
4.27%; for banks of $25-$50 million
it is 6.8%, and for banks over $50
million it is 7.17%. The average in­
c r e a s e figured on this basis (5.64%)
thus is 40% less than the 9.4% in­
crease calculated in the last survey
for 1982. The 5.64% increase also is
more in line with the average in• crease forecast for a number of other
industries, keeping in line with the
inflation rate.
A study of the responses shows
_ that in some cases the #1 officers
®will have lesser increases than their
other officers. In many instances
where this is true, the #1 officer is
the majority owner and is planning
^greater increases for the rest of the
w staff than himself. In several cases,
the #1 owner is actually cutting his
salary and total income (one by as
much as $6,000) to beef up the in^ c o m e of his #2 and H3 officers and
other staff.
Question 2
Q. What is the planned income in
||» 1983 for the #1, #2 and #3 officers,
and what was their 1982 incomes?
Results for this question are pre­
sented in Chart No. 2. Total income
includes base pay, cash bonus, and
the value of other benefits paid or
accrued (e.g., pension, profit-shar­
ing, insurance income, car, dues,
etc., but excluding dividends. The
information was requested separate­
ly for each of the top three officers.
For purposes of a close compari­
son, responding banks were divided
into four deposit groups—under $10
million, $10 to $25 million, $25 to
$50 milion and over $50 million. A
fews banks of over $100 million re­
sponded; however, the vast majority
of banks fell below $100 million
In Chart No. 2, Base Salary and
Total Income are give for both 1983
and 1982. In the Base Salary sec­
tion, two extra columns show the
percentage of Base Salary in rela­
tion to Total Income in each year.
Under the figure for 1983 Base Sal
Federal Reserve Bank of St. Louis

ary, the figures in parentheses show
the percentage increase of salary
over 1982. Similarly, the percentage
increase in 1983 Total Income over
1982 is shown in parentheses.
Among all respondents to the sur­
vey, 43.3% of #1 officers are listed as
majority stockholders. Although a
number of them had total income ap­
preciably above the averages shown
in Chart No. 2, a breakout of all HI
majority stockholders shows that as
a group their income is only a few
thousand above the averages shown
in the chart.
Chart No. 3
In past Salary Surveys conducted
by the N orthwestern B anker , a
comparison has been made showing
the percentage relationship of in­
come among HI, H2 and H3 officers.
These relationships are shown in
Chart No. 3. The percentage rela­

tionships from the survey one year
ago appear in parentheses.
Question 3
Q. Other than your top three of­
ficers, what percentage increase, if
any, do you plan for other officers
and for your non-officer staff?
For “ other officers,” the figures
vary little by bank size, falling in a
narrow range of 6.14% to 6.54% in­
creases, and averaging 6.36% as
shown in Chart No. 4. Salary in­
creases for “ non-officer staff” are
slightly higher with an average of
These increases will be based in
most of the responding banks
(57.22%) both on merit and cost-ofliving. In 31.63% of the banks,
raises will be based only on merit,
and in 11.15% of the banks the in­
creases will be based only on a costof-living adjustment.

Chart No.3
Showing the percentage relationship of Total Income of #2 officer with #1, and of #3
with #1 and #2. Figures from the surveys of three preceding years are shown for #2
officers, and for last year only for #3 (prior years not available).
#2 Officer to #1 Officer





Under $10





$10 to $25





$25 to $50
Over $50









Avg. of
all groups





#3 Officer to #1 Officer

Under $10





$10 to $25





$25 to $50
Over $50
Avg. of
all groups













#3 Officer to #2 Officer

Under $10



$10 to $25



$25 to $50



Over $50



Avg. of
all groups



Northwestern Banker, December, 1982


Chart No. 4
Q. Other than your top three officers,
what percentage increase, if any, do you
plan for other officers and your non­
officer staff?

Among those who plan an increase:
Other o ffic e rs ............................... 6.36%
Non-Officer S ta ff......................... 6.43%
Q. Will theseincreases be based on
Merit, Cost-of-Living, or Both?

Merit .......................................... 31.63%
Cost-of-Living............................. 11.15%
B o th ............................................ 57.22%

Question 4
Q. How many full-time and parttime employees do you have?
Chart No. 5 gives the results from
this question showing the average
number of employes for each of the
four deposit sizes. (The number of
part-time employes in each bank
was divided by two to convert their
numbers to full-time employes for
this compilation.)
To pinpoint the comparisons more
accurately, the deposits-per-employe
were computed for each bank re­
sponding to the survey. These were
then averaged by the four deposit
groups and are reflected separately
in Chart No. 5. While there were a

few dramatic variations, the con­
sistency by deposit size groups of
deposits-per-employe is striking. A
total of 36 banks out of the more
than 200 responses had a relation­
ship of $2 million or more depositsper-employe, and four of those had
$3 million or more deposits-peremploye. A like number fell below $1
million per employe.
The final averages show the re­
spondents under $10 million depos­
its with a figure of $1.06 million
deposits-per-employe. The other
three groups all had approximately
$1.5 million deposits-per-employe.
This portion of the survey was not
reviewed in the study reported one
year ago. However, it was two years
ago and a review of those figures
showed that overall, banks continue
to maintain a deposits-per-employe
ratio fairly close to that of recent
years. The notable exception is
among banks with deposits in ex­
cess of $50 million. In that group,
which reported in the current survey
an average of 53 employes per bank
and deposits-per-employe of almost
$1.5 million, the 1980 survey showed
an average number of employes per
bank of 91.7 and deposits per em­
ploye of only $938,318, a marked

Chart No. 5
Q. How many full-time and part-time employes do you have? Column 1 shows

average number of employes per bank for the four deposit sizes as reported from the
survey. Column 2 shows the same figure from the 1980 survey, the last year this
tabulation was made. Column 3 shows the Deposits-per-Employe from the 1982
survey (computed per bank, then averaged). Column 4 shows the comparable figure
from the 1980 survey.
Avg. No. of Employes






Under $10





$10 to $25





$25 to $50





Over $50




$ 938,318

Note: The reporting banks in Colorado, Wyoming and Montana, for banks under $50
million deposits, reported an unusually large number of employes. Reporting banks
in excess of $50 million deposits in those three states had almost identical averages
with other states for employes and deposits-per-employe. Chart No 5 changes as
follows for the first three deposit size groups without those three mountain states
(figures in parentheses are those for the three states only):

Under $10


$10 to $25


$25 to $50

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

($ 665,000)
($ 880,000)

At First Chicago Conference:


Speakers See Slow
Recovery in 1 9 8 3 «>
Editor and Publisher
RECORD number of bankers and^
their spouses attended the 36th
Conference of Bank Correspondents
hosted last month by the First Na­
tional Bank of Chicago. This year’s
conference was held at the Marriott^
Hotel on North Michigan Avenue, a
departure from the years of holding
the conference at the old Conrad Hil­
ton Hotel, and drew about 800 bank­
ers, plus their spouses. In addition, a^
new format condensed the formal
program into a one-day conference
on Monday, a breakfast and briefing
Tuesday morning for those bankers
who signed up for personal visits to^
the bank, and the rest of Tuesday
morning in personal meetings with
bank personnel in operations and
money market departments.
In his welcoming remarks to open<
the conference Monday morning,
First Chicago President Richard L.
Thomas said, “ Despite all the bad
news on domestic and international
fronts, we have confidence in our<
economy. It is working and we be­
lieve we will work our way out. The
key is productivity, which gained at
a 4% annual rate in the third quar­
ter, the highest since the first quar-f
ter of 1981. The new deposit account
(available December 14) will allow us
to compete more effectively. The
challenge is to draw back as much of
the more than $200 billion in Mone
Market Mutal Funds as we can with­
out shooting ourselves in the foot!”
E. Neal Trogdon, senior vice pres­
ident and head of the U.S. Financial
Institutions Division, said “ We<
must look at the strengths of our fi­
nancial institutions as support for
our resurgence — our capital, our ac­
cess to markets and access to fund­
ing for those markets, as well as the*
management of our companies and
our ability to direct them. These will
be the key to our survival.”
Roy E. Moor, senior vice presi­
dent and chief economist of the(
bank, stated “ 1983 probably will be
the toughest year for the banking in­
dustry since World War II.” He
looks for a slight loan demand pick­
up in the second half of 1983. “ We1
think the economy already is in the



LEFT—George Will (left), syndicated columnist who was speaker at The First National Bank of Chicago’s banquet for its 36th Conference
of Bank Correspondents, is pictured with four members of senior management (from left): E. Neal Trogdon, sr. v.p./head, U.S. Financial In­
stitutions Division; George L. Davis, executive vice president and head of U.S. Banking Dept.; Barry F. Sullivan, chmn., and Richard L.
Thomas, pres. RIGHT— David J. Vitale (seated), sr. v.p., financial markets division, is introduced by Thomas M. King, v.p., U.S. Financial In­
stitutions Division.

slow stage of recovery,” he stated. A
summary of his talk appeared in the
December 6 Weekly Newsletter.
Several officers of the host bank
^ to o k part in two morning panels.
The first was Economic Market Out­
looks, addressed by Dr. Moor; Rob­
ert M. Hultgren, vice president,
municipal finance division (The
^ Bond Market); Gary P. Brinson, sen­
ior vice president and chief invest­
ment officer, trust department (The
Stock Market Outlook), and F. Ger­
ald Byrne, vice president, financial
markets division (The Money Mar­
ket). The panel was moderated by
Edward M. Roob, senior vice pres­
ident and vice chairman, asset and
liability management committee.
(||, The Banking Trends Panel was
moderated by Mr. Trogdon. Claude
Stone, vice president, systems and
development, discussed Technology
Trends; Lawrence C. Russell, senior
i||i vice president and department head,
service products department, ad­
dressed the Unbundling of Fed Ser­
vices, and Martin T. Farmer, direc­
tor of legislative affairs, government
||) relations, reviewed Congress and the
Banks—Deregulation or Reregula­
The traditional noon luncheon at

Taking part in the Banking Trends panel
were 1st Chicago officers Martin T. Farmer
(left), dir. of legis. affairs, govt, relations,
and Lawrence C. Russell, sr. v.p. & dept,
head, services products dept.
Federal Reserve Bank of St. Louis

which eight department heads are treasurer, asset and liability man­
invited to present four-minute out­ agement committee, whose topic
looks for industries they serve, was was Funding Strategies.
The Conference closed out the day
presided over by George L. Davis,
executive vice president and depart­ with a banquet presided over by Mr.
ment head, U.S. Banking Depart­ Thomas. Brief remarks were made
by First Chicago Chairman Barry F.
Two workshops were presented in Sullivan. He said First Chicago is
the afternoon. The first was mod­ planning for the niche it will fill, and
erated by Thomas M. King, vice each of the banks must do the same.
president, U.S. Financial Institu­ Mr. Sullivan also described the pro­
tions Division. David J. Vitale, sen­ cess now being followed at First Chi­
ior vice president, financial markets cago in an effort to commit to writ­
division, discussed Asset and Lia­ ing in a single sentence a description
bility Management for a Dereg­ of the bank and its mission.
ulated Industry. After looking at
George Will, syndicated columnist
the challenges posed by deregula­ and contributing editor of News­
tion, the management of interest week magazine, was invited to re­
rate risk, and setting of objectives turn as the banquet speaker this
and effective planning, a lively ques­ year after the excellent reception ac­
tion and answer period followed.
corded his address last year.
After a break, this was followed
A Tuesday morning breakfast and
by a talk on Incentive Compensa­ operations briefing was provided for
tion and Related Issues for Key Of­ those bankers who wished to remain
ficers of Community Banks, a pre­ for personal visits to operating and
sentation given by Deloitte Haskins money market departments at the
& Sells public accounting firm. The First National Bank. Approximate­
formula described was reviewed in ly 200 bankers took part in this ex­
detail by slides and also was con­ tended offering to the conference. □
tained in an extensive folder given
to each participant.
The second workshop was moder­
ated by Stanley Nitzberg, vice pres­
ident, U.S. Financial Institutions
Division. Strategic Planning was
discussed by A.D. Frazier, senior
vice president and department head
of the corporate planning depart­
ment. After the break, the second
session centered on Trends in Bank
Holding Company Financing. This
was given by Lawrence K. Rocca,
vice president of the international
A participant in the Economic Market
corporate finance division. The final Outlooks panel, discussing The Bond Mar­
talk was given at the workshop by J. ket, was Robert M. Hultgren, v.p., municipal
Mikesell Thomas, vice president and finance div.
Northwestern Banker, December, 1982


LEFT— CONFERENCE speakers included: Doyle Arnold, sr. dep. comptroller, Comptroller of Currency, Washington, D.C.; ABA Pres. Bill
Kennedy, chmn., Natl. Bk. of Commerce, Pine Bluff, Ark.; Conf. Chmn. Robert Swaim, pres., Citizens St. Bk., Marshall, Ind., and ABA Ag.
Bkrs. Div. Chmn. Bud Wilier, exec, v.p., Decorah St. Bk., Decorah, la. RIGHT—Ag Credit Outlook panelists were: Dean Johnson, sr.v.p., Hutch­
inson Natl. Bk. & Tr., Hutchinson, Kan.; John Martin, v.p., Omaha Natl. Bk., Omaha, Neb.; Moderator Dr. William Herr, So. III. Univ.; Doue#
Flory, exec, v.p., Rockingham Natl. Bk., Harrisonburg, Va., and Robert Ranger, sr.v.p., Oneida Natl. Bk. & Tr., Utica, N.Y.

ABA Ag Bankers
Meet in Chicago
Associate Publisher

ITH three consecutive years of declining farm in­
come providing a backdrop, ag bankers from
across the country met in Chicago November 7-10 for
the 61st Agricultural Bankers Conference. Sponsored
annually by the American Bankers Association, this
years selected theme was—“ Agribanking: Strategies
and Techniques for Serving Agriculture.” The confer­
ence, which featured over 70 speakers, consisted of gen­
eral sessions, workshops and forums that addressed the
new banking trends and services of the 80s.
The problems facing producers today were quickly
addressed during the opening general session by A B A
President William Kennedy, chairman of the National
Bank of Commerce, Pine Bluff, Arkansas. He pointed
to overproduction and crop carryover, low commodity
prices, declining collateral positions, and the decreas­
ing export market. Despite these factors, Mr. Kennedy
believes that economic recovery on the farm is in pro­
gress. “ In looking ahead at what’s in store for the
agriculture industry in the coming year, I think we’re
already seeing some hopeful signs. It would be unre­
alistic to expect a quick turnaround. But the inflation
rate has dropped significantly. Interest rates are com­
ing down. These are two crucial factors in economic
recovery. Our job today as bankers is to prepare our­
selves for the challenges the turnaround will bring.”
A B A Agricultural Bankers Division Chairman Bud
Wilier, executive vice president, Decorah State Bank,
Decorah, Iowa, set the stage for the “ working” tone of
the conference in his presentation to the bankers. “ We
have all heard of the perilous condition of the U.S. farm
economy. The problem facing us, as bankers, is identi­
fying the customers with whom we will continue, and

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

those with whom we must take action against to m in i#
mize losses.”
With the nature of the conference well described by
Mr. Kennedy and Mr. Wilier, the bankers spent many
hours attending the four forums and 14 workshops
scheduled. Forum topics included marketing strate#
gies for ag products; marketing strategies for ag bank
services; computer aids in bank ag lending, and analyz­
ing and managing spread and gap for ag banks. Work­
shop sessions also covered a wide range of topics that
included areas of alternate and innovative funding and®
financing and managing loan repayment risks. Land is­
sues, stress management, bankruptcies and the future
information needs of ranchers and farmers were also
topics of focus in the workshops.
Featured conference speaker Secretary of A gricul®
ture John Block shared the optimism of the bankers
and sees the early signs of recovery taking shape. In
that light he emplored the bankers to encourage their
farm customers to participate in federal set aside pro­
grams. “ Do it for the Gipper,” he urged, referring to®

conference speaker. RIGHT— Orion Samuelson, v.p., WGN Con­
tinental, Chicago, was commodities outlook panel moderator.


LEFT— Some of the Minnesota bankers present included: Dave Hennies, v.p., Arlington St. Bk., and his wife Mary, and Wayne Berthiaume,
admin, v.p. MBA. RIGHT— Dick Hawkins, prof., Univ. Minn.; Ron Johnson, v.p., 1st Natl. Bk., Jackson, Minn.; J.P. Mansfield, III, a.v.p., 1st
Bk. Mpls., and Tom Bartholomay, v.p. FBS Ag Credit Corp., Mpls.

President Reagan’s pre-political career. Most of his
remarks, however, were directed towards the interna­
tional problems affecting U.S. agriculture.
Secretary Block clearly defined four international
areas of concern that have staggered the farm econ­
omy in recent years. (1) The restrictive trade practices
existing in countries like Japan finds local workers
paying $1 for a U.S. orange and over $17 a pound for
U.S. beef. (2) The subsidy of agriculture by European
countries is excessive and does not allow for fair trade
in the export market. (3) Worldwide recession has crip­
pled expansionist 3rd world countries who desperately
need our grain but do not have purchasing ability. (4)

* jfjt*


And finally the U.S. position as a creditable supplier in
the world market was shattered with the Russian grain
embargo and our dominance of market share was sacri­
The Secretary told the bankers that he is hard at
work at all levels of international politics searching for
solutions to these problems. He has chartered an ag­
gressive course for U.S. agriculture in the 80s, but re­
minded the bankers that the turnaround will be slow in
coming. He closed by emphasizing that U.S. producers
will have to implement survival management practices
during this time and that agri-bankers need to consider
cash flow lending over networth lending. □



LEFT— Visiting the exhibit area were: Dale Jacobsen, v.p., George St. Bk., George, la., and his wife Joan, and Suzanne and Ken Boeder,
corr. bkg. off., Security Natl. Bk., Sioux City, la. RIGHT—Judy Trent interviews “ Fred the Head” at the International Minerals Chem. exhibit.

LEFT— Panelists discussing the future information needs of ranchers and farmers were: Dr. Steve Sonka, prof., Univ. ill.-Urbana; Dr. Tom
Frey, prof., Univ. III., and Norm Carlson, partner, Arthur Andersen & Co., Chicago. RIGHT—The Ag Commodities Outlook panel featured:
Topper Thorpe, gen. mgr., Cattle-Fax, Denver, Colo.; Melvin Middents, sr. v.p., Cargil, Inc., Mpls., Minn., and Leo Mayer, assoc, admin.,

US DA, Wash., D.C.
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


M GIC M ortgage Survey Spots Upturn
ORTGAGE lenders nationwide
project a 35% origination
growth rate in 1983 — a marked im­
provement from last year’s antici­
pated 4% de­
crease, according
to a recent sur­
vey by Mortgage
G u a ra n ty In ­
surance Corpor­
ation (MGIC).
O v e ra ll r e ­
sponses indicate
that in an effort
to spur a housing
recovery, most
lenders plan to offer lower rates,
originate a greater number of loans
and provide wider mortgage instru­
ment choices for borrowers.
The survey of 500 lenders nation­
wide is the third in a series of re­
search studies designed to track
changes in the mortgage lending en­
“ Actual 1982 originations were, in
fact, down approximately 7% from
1981, underscoring the importance of
these lending executives’ projec­
tions,’ ’ said Leon T. Kendall, chair­
man of MGIC.
While the 1983 origination outlook
is well below the 1979 and 1980
levels, the projected volume would
exceed this year’s estimated $90
billion origination total.
According to Mr. Kendall, lenders’
mortgage rate forecasts support
their market expansion expectations.
In fact, the majority of those sur­
veyed believe 1983 mortgage rates
will range between a low of 12.75 and
a projected high of 14.75.
Responses indicate that the level
of mortgage activity will be closely
tied to the lenders’ ability to offer af­
fordable and diverse mortgage pro­
grams. M GIC’s previous survey sug­
gested that the new mortgage instru­
ments were designed to meet lender
concerns in a sellers’ market. The
prominent loan plans now emerging
are more attuned to buyers’ needs
than in the past, which reflects a
shift in the nature of the market.
“ Cafeteria style” loan offerings are
likely to continue with no one instru­
ment dominating mortgage activity
— with the adjustable rate mortgage
(ARM), early ownership mortgage
(EOM) and graduated payment mort­
gage (GPM) combination being the
most favored among lenders.


Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Mr. Kendall noted that while a
variety of ARM plans are being of­
fered, lenders are establishing
greater market standardization with
this instrument. Compared with last
spring’s survey results, fewer ARM
forms are being offered and those
that are appear to have similar loan
The majority of lenders prefer an­
nual payment and rate adjustments,
with 33% approving negative amorti­
zation. And, in line with 1982 mort­
gage problems, the Federal Home
Loan Board’s average mortgage con­
tract rate continues to be the com­
mon index used for adjustments.
Furthermore, nearly one-half of all
lenders plan to discount the initial
rate on ARM s — compared with only
one-third from the spring survey.
The EOM, however, also is likely
to play an increasingly important
role in the 1983 market because of its
ability to meet the needs of secon­
dary market investors. Recently in­
troduced as an accelerated payment
loan, the EOM alternative is current­
ly being offered by less than onequarter of all lenders. Over 45% of
the lenders plan to offer this mort­
gage program next year — up from
21% now offering the program this
In addition, the traditional fixed
rate mortgage is expected to retain
its share of the mortgage market.
M GIC’s survey found that 65% plan
to continue offering this traditional
instrument in 1983 — with the great­
est support coming from mortgage
bankers. Yet, in terms of total vol­
ume, Mr. Kendall noted that its pro­
jected growth is only a 2% increase
over this year’s level of activity.
Greater use of the GPM — pro­
jected to increase 10% — indicates
lender willingness to provide an op­
tion that meets borrower funding
needs — particularly for the first­
time homebuyer. Furthermore, to at­
tract potential borrowers, certain
mortgage features are being utilized
in combination with affordable in­
struments, such as the GPM. The
pledged account, for example, will be
offered by nearly one-third of the
lenders and the use of builder-buy­
downs is projected to reach 65% in
Due to mortgage rate movements
experienced in 1981 and 1982, the
trend toward seller financing is also

expected to continue. Survey results*
show that 30% of the lenders will
provide servicing for land contracts
between seller and buyer. In addi­
tion, the option of offering blended
rates to promote affordability and*
facilitate home sales will be provided
by 75% of those surveyed — which
suggests a compromise in light of the
recent due-on-sale decision.
“ Responses support the view that1
housing’s pent-up demand will begin
to enter the market next year. Lend­
ers, in an effort to balance their need
with consumer demand, will be turn-.
ing increasingly to mortgage pro-1
grams that meet the affordability
challenge,” Mr. Kendall concluded.

Northern Trust Gets
Florida Bank Charters


Northern Trust Corporation, Chi­
cago, has announced the merger of
its trust subsidiary, Security Trust
Company, and its Edge A ct subsid- 1
iary, Northern Trust Interamerican
Bank, into a new federally chartered
bank. The new bank—Northern
Trust Bank of Florida N. A .—will of­
fer a full range of domestic, commer­
cial and international banking ser­
vices, as well as trust and asset
management services.
Security Trust Company, Miami,
was established in 1938 and ac­
quired by Northern Trust in 1971.

Minnesota Banker Named
To Regional NABW Post
Nancy L. Nemitz was elected
regional director - north central area
of the National
A ssociation of
Bank W om en,
Inc. at the asso­
c ia tio n ’ s 60th
annual conven­
tion held re ­
cently in Los
A n g e le s . M s.
Nemitz is assis­
tant vice presi­
dent of product
management and development for
First Bank System, Inc., Minne­
As one of eight regional directors,
she represents N ABW members in
Minnesota, Iowa, Nebraska, North
Dakota, South Dakota and Wiscon­
sin. In this capacity she will act as
their liaison with the association’s
national board, supervise the state
councils and serve as national repre­
sentative at all state conferences.



®Banco M ortgage Forms Corporation to
O ffer Access to Secondary M arket
# D

ANCO Mortgage Company, a
wholly owned subsidiary of
Northwest Bancorporation, has
formed a new corporation to provide
easy access to the secondary market
^ f o r capital to finance “ affordable
m ortgages” for residential real
Walter C. Johnson, president of
Northwest Bancorporation’s Finan4|i cial Services Companies, said he ex­
pects the new venture will become a
“ very substantial program” for
Banco Mortgage.
He said the “ conduit program”
9 will be a significant alternative to
the Federal National Mortgage A s­
sociation (“ Fannie Mae” ) and the
Federal Home Loan Mortgage Corp.
(“ Freddie M ac” ) programs, current# ly the major outlets for supplying a
secondary market for conventional
mortgages on a continuing basis.


Here is how the program will
work, Mr. Beal stated.
RFC and MGIC will enlist a na­
tionwide network of originating
Among RFC’s mortgage products
•F ifteen-year term “ Jum bo
Loans,” providing up to $500,000
for high value residential property.
•Thirty-year term, fixed rate
mortgage, with a minimum downpayment of 5 percent.
•Graduated payment mortgage
(GPM), combining the convenience
of a fixed rate with lower payments
during early years of the loan; also
permits permanent buydowns.
•Wraparound mortgage, for exist­
ing property with a low-rate as­
sumable mortgage and a high selling
•A djustable rate m ortgages
(ARM) for homeowners and invest­
•Early Ownership Mortgage, al­
lowing earlier ownership through
rapid equity buildup.

Marketing Tip of The Month



Banco Mortgage, the third largest
mortgage banking organization in
the country, began offering the pro­
gram in early November through a
new subsidiary, Residential Fund­
ing Corporation, with Mortgage
Guaranty Insurance Corporation
(MGIC), Milwaukee, as the mort­
gage underwriter and pool insurer.
David W. Beal, president of Ban­
co Mortgage, announced that Rebec­
ca L. Walker, former Banco Mort­
gage branch manager, has been
named president of Residential
Funding Corporation (RFC).
Mr. Beal said RFC and its conduit
program were designed to address
what he views as fundamental, and
permanent, changes in methods of
funding real estate mortgages.
Eligible property types include
single-family detached homes, twoto four-unit homes, townhouses, row
houses and patio homes, and condo­
miniums (up to three stories), in loan
amounts ranging from $30,000 to
Federal Reserve Bank of St. Louis

Customer needs don’t stop when the
hands on the bank clock point to closing
Recognizing this and, what’s more, doing
something about it, a mid-size East Coast
bank instituted a “ Hot Line” telephone ser­
vice to provide continual financial service,
not only to new commercial customers, but
to non-customers as well.
Calls made to a special number during
non-banking hours are routed through a
telephone answering service to officers of
the bank’s commercial lending division.
The bank’s officials emphasized speed
and efficiency in returning the calls, which
range from requests for information on
short-term loans to advice on equipment
financing. If the caller is not attuned to con­
ducting business by telephone, the bank of­
fers the option of setting up an appoint­
ment either in the bank or at the caller’s
place of business.
Using only six percent of its marketing
budget, the bank advertised weekly through
the local newspaper for six weeks, three
times a week as a tag to any commercial
service featured on the radio, and via one
direct-mail promotion.
According to bank management, the first
eight weeks of the program produced more
than 15 calls seeking either financial advice
or loan information. Loans totaling in ex­
cess of $260,000 resulted from “ hot line”
For more information, contact Sandra
Carcione, Division of Communications,
Bank Marketing Association, 309 West
Washington Street, Chicago, Illinois 60606.
Phone: 312/782-1442.

Centerre Corporation Told
Prime Could Drop to 10%
The prime interest rate will drop
to 10% in a few months, if the Fed­
eral Reserve continues its policy of
tight money supply.
That was the prediction made last
month by the former chairman of
the Council of Economic Advisers,
Murray L. Weidenbaum, speaking
in St. Louis before the 36th annual
Centerre Bank Correspondents Con­
Mr. Weidenbaum said, “ It is clear
that the recent reductions in interest
rates surely are a big plus for future
business prospects. Those rates have
come down in earnest.” He added,
“ the prime rate declined from 161/2%
in early July to the current 12% and
I expect that the prime rate will get
down to 10% in the next few
The Mallinckrodt Distuingished
University Professor of Economics
from Washington University also
praised the Federal Reserve for re­
ducing inflation.
At the Centerre Bank Conference
some 900 bankers throughout the
Midwest gave their economic and fi­
nancial forecasts for 1983.
Asked how they would rate Presi­
dent Reagan’s record to date in
terms of decisiveness/strong leader­
ship, 87.9% gave the president an
“ excellent/good” rating, while 9.6%
answered fair or poor.
On the topic of business condi­
tions nearly 80% said conditions will
be better by the end of the second
quarter of 1983.
On economic and financial mat­
ters, bankers believe that by this
time next year, the prime rate will be
in the 10 to 13% range; unemploy­
ment will be in the 9 to 10% range;
and the Dow Jones will be in the 950
to 1,350 range.
Over 80% of the bankers sur­
veyed felt that 1983 housing starts
will be up over 1982 levels, and that
the price of gold will be in the $400
to $550 range.
An overwhelming majority, 82.9%,
favor reducing the growth rate of so­
cial security benefits, while nearly
60% do not favor a cut in benefits
from current levels.
Concerning their own industry
the bankers felt that bank earnings
in general in 1983 will be up slightly
over 1982.
Centerre Bank is the lead bank of
Centerre Bancorporation.
Northwestern Banker, December, 1982


The effortless, painless, “ Fedless”
way to process cash letters.

M aybe y o u ’ve been processing
all your checks through the Fed
to save operating costs. You
may be able to save more
money by processing those
checks through us. We have the
advantages that can make it
well worth your while:
professional staff — over 77
years of accumulated banking
experience to assure you of
competent, efficient service,
proximity — w e’re probably
closer than the Fed. And our
messenger will visit your bank
daily . . . accom m odating your
work schedule . . . and ours.
price — our pricing schedule is
competitive with the Fed’s. And
we give you something extra of
real value: someone you know
— on a personal basis — on the
other end of the phone whenever
there’s a problem or question.
Call and ask for our brochure.
And ask us to make a free
evaluation of your operation.
Let us show you how we can
deliver service that’s as good as
(or better than) the F ed’s.

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Needless to say,
the Fedless Connection
is the peerless way to
process your cash letters.


the Human
Interest bank

Commercial National
Bank of Peoria


PHONE: (309) 655-5225
WATS LINE 1-800-322-2212

proved the application of Central of
Illinois, Inc., Sterling, to acquire
Mount Morris Banshares, Inc.,
Mount Morris, and thereby indirect­
ly acquiring Citizens State Bank of
Mount Morris.
Citizens State Bank of Mount
Morris reported assets of $24,149,963
on June 30, 1982. Central National
Bank of Sterling reported assets of
$140,051,649 on that date.


D.R. Lovett, chmn. & pres., Dixon
W. J. Hooter, exec. v . p . , Chicago

Rockford President Named
R. Richard Bastian III has been
named president and chief executive
® officer of First National Bank, Rock­
ford. He succeeds Howard E. Bell,
who will remain as chairman of the
bank’s board but will now devote his
time to First Community Bancorp,
• Inc., the multi-bank holding com­
pany where he serves as chairman,
president and chief executive officer.
In making the announcement on
behalf of the First National board of
® directors, Mr. Bell noted that this
election culminates a nine month
search for his successor, who will be
only the seventh president in the
history of the bank, which was foun­
ded in 1854.
Mr. Bastian has been serving as
president and chief executive officer
of Republic Bank and Trust Com­
pany of Tulsa, Okla. Before moving
to Republic, he served as vice presi­
dent and manager of metropolitan
lending at the Bank of Oklahoma in
Tulsa. He started his banking career
in 1966 in Philadelphia.
Also at the bank Robert D. Eversman was appointed vice president
and investment officer. He had pre­
viously been serving as vice pres­
ident and investment officer of the
Central National Bank, Sterling.
Mr. Eversman has 25 years of
trust and investment experience in­
cluding senior level management po­
sitions with the Affiliated Bank of
Madison and the Iowa Des Moines
National Bank.

Six Promotions Announced
At National Boulevard Bank
Six promotions were announced
at National Boulevard Bank of Chi­
James Cannon was promoted to
assistant vice-president, small busi­
ness group manager.

Donald L. Hunt, president and
chief executive officer of First Na­
tional Bank of Marissa, has been
elected to the board of directors of
the Federal Reserve Bank of St.
Louis, effective January 1, 1983.
Mr. Hunt, who was elected to a se­
cond term as a director of the St.
Louis Bank, is a member of the
Council of the American Bankers
Federal Reserve Bank of St. Louis

Shareholders of the First Na­
tional Bank of Morton Grove recent­
ly approved the sale of the bank to
Mid-Citco Incorporated.
The acquisition of the bank in­
volves cash payment to sharehold­
ers of $41.50 per share for 150,000
shares outstanding, a total of
$6,225,000. The acquisition has been
approved by regulatory agencies.



Elected to Board

Morton Grove Sale Announced



Michael Jamieson and Carol Shiplett became assistant cashiers and
Bruce Heniken was made an assis­
tant trust officer.
Larry Schmidt became an assis­
tant vice-president and Jennifer
Thomson was made a bond officer.

Acquisition Approved
Don E. Cousins, president of The
Central National Bank of Sterling,
has received word that the Federal
Reserve Bank of Chicago has ap-

Coleman S. Hutchins has been ap­
pointed a vice president and trust of­
ficer of The Mid-City National Bank,
according to Donald W. Bruechert,
vice president and trust department
Mr. Hutchins
served as trust
officer for a De­
catur bank for
six years fo l­
lo w in g sev en
years of legal
practice with a
C h ic a g o
Mr. Bruechert
said the appointment represents an
expansion of the Mid-City’s trust
department because of the growing
need for personalized trust services.
* * *
To keep up with changing times,
the National Boulevard Bank is go­
ing through a renovation and a re­
vised corporate identification pro­
gram, changing its name and logo to
Boulevard Bank.
Both North and South Towers
will be redesigned, beginning first
with the South Tower, which will
headquarter all personal banking
and teller operations, while the
North Tower will house executive
banking and forward financial plan­
ning services. The project is ex­
pected to be completed in the spring,
Northwestern Banker, December, 1982

First Bank
Correspondent Banking
Federal Reserve Bank of St. Louis





Austin Bank Appoints Two

J.P. Ingebrand, pres., Mora
T. L. Jeffers, exec. v. p . , Minneapolis

Worthington V.P. Named
Terry O’Toole has been named to
the position of senior vice president
at th e S ta te
Bank of W or­
t h in g t o n . He
joins the bank
from the First
N orth w estern
National Bank
W in o n a ,
where he was
a ssista n t vice
Mr. O ’Toole
began his bankingcareer in 1972
with the Northwestern National
Bank of St. Paul. In 1978 he joined
Northwestern Bancorporation in the
credit administration department.
He left there in 1979 to accept the
position in Winona.

Medford and Owatonna Banks
Merger Agreement Announced
James W. Freeburg, chairman of
First State Bank of Medford, with
deposits of $4.8 million, and Ken­
neth E. Wilcox, president and chief
executive officer of Northwestern
National Bank of Owatonna, with
deposits of $72 million, have jointly
announced that a merger of and ac­
quisition by Northwestern Bank has
been agreed upon in principle, sub­
ject to approval by shareholders and
banking regulatory authorities.
“ The Medford facility will be op­
erated as a branch of the Northwest­
ern Bank,’ ’ Mr. Wilcox said. “ There­
fore increasing the lending unit for
Medford from approximately $55,000
to in excess of $600,000, and adding
a variety of other products and ser­
vices. Northwestern National Bank
of Owatonna is affiliated with
Northwest Bancorporation.

Two Promotions Told
James Rogalla has been promoted
to assistant vice president in charge
of commercial loans, and Richard
Kennedy has been promoted to in­
Federal Reserve Bank of St. Louis

of the Freeborn County Bankers

stalment loan department manager
at First Northwestern State Bank,
Thief River Falls.
Mr. Rogalla has been with the
bank since 1975, most recently serv­
ing as instalment loan manager. Mr.
Kennedy has been with the bank
since 1979 as an instalment loan of­

Lauren A. Meade and Rod L.
Meyer have been appointed assis­
tant vice presidents of Northwestern
State Bank of Austin, according to
Robert L. Bue, president.
Ms. Meade was employed by the
Wells Fargo Bank in Newport
Beach, Calif., before joining the
Austin bank in 1981 as a real estate
loan officer.
Mr. Meyer joined the bank staff
in 1980 and is involved in agricul­
tural lending. In his new position he
will handle additional respon­
sibilities in the commercial loan

Albert Lea Banker Dies

Fergus Falls Elects One

Alger J. “ A l” Knutson, longtime
Albert Lea banker, died recently at
Naeve Hospital at the age of 66.
Mr. Knutson began a long career
in banking when he became cashier
at the Security State Bank in Albert
Lea. He joined the Marquette Na­
tional Bank in Minneapolis in 1954
as a loan officer and in 1960 became
president of the Twin Lakes State
Bank. In 1963 he was made presi­
dent of the First National Bank of
Alden and he retired from the bank­
ing business in 1977.
He was active in banking associa­
tion affairs, serving as district
representative to the Minnesota
Bankers Association and president

Northwestern National Bank of
Fergus Falls recently announced the
election of Don­
na Piekarski to
customer service
Ms. Piekarski
joined the staff
in 1963 and has
served in vari­
ous capacities in­
cluding custom­
er service superD PIEKARSKI
visor. She has
also held positions at Fargo Na­
tional Bank, Fargo, and Grafton Na­
tional Bank, Grafton, both in North

Hibbing Bank Grand Opening Held

MERCHANTS and Miners State Bank, Hibbing, recently held a grand opening in honor of
the completion of its $1 million remodeling and expansion project. The project began in
1979 with the purchase of the State Theater, with preliminary construction work beginning
last fall. The remodeling and expansion, which doubled the size of the bank and included a
new, modern exterior, marks the bank’s 61st year in the same location. The grand opening
featured drawings, refreshments, tours and displays. To add to the celebration, the bank
announced it was offering $1 million in below market rate loans for new cars, appliances
and home improvements.
Northwestern Banker, December, 1982


Twin Cities

First Bank Minneapolis recently
announced the promotion of 15 em­
Promoted to vice presidents were:
James L. Anderson, corporate trust
division, and Gary D. Martell, bond
Named assistant vice presidents
were: Rolland E. Glessing, midwest
corporate banking II division;
George E. Ruth, professional bank­
ing division, and Robert A. Engebretsen, trust tax division.
Elected to officer status were:
Dennis L. Pederson, trust; William
A. Guilford and Peter J. Thompson,
international banking; David M.
Thompson, commercial banking;
Kathleen N. Ames, personal bank-

ing; Michael B. Wichterman, trust
operations; Janice R. King and
Russell W. Swansen, investment;
Everil E. Niebuhr, security, and
Timothy J. Danielson, marketing.
* * *


Northwest Bancorporation has
appointed John P. Sampson vice







Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

tive. In 1981 he transferred to the
corporate office as a government relations officer and is responsible for
coordin atin g the corp o ra tio n ’ s
federal government relations pro­





The Federal Reserve Bank of Min­
neapolis has announced the addition
of five account managers in their
marketing department. They are ft
Robin S. Bruhjell, Richard L. Kuxhausen, John C. Ladner, Barbara J.
Pfeffer and Robert C. Schutte.
Mr. Bruhjell was previously direc­
tor of sales/marketing at Shaw
Walker Company. Prior to joining
the Fed, Mr. Kuxhausen was vice
president at IntraMark Inc., a bank
marketing consulting company. Mr.
Ladner came to the Fed after seven Hi
years with Bank Building Corpora­
tion of America as a consulting ser­
vices manager covering Minnesota,
North Dakota and South Dakota.
Ms. Pffeffer joined the Minneapolis
Fed in 1979 as an assistant exam­
iner in the bank examination depart­
ment. Mr. Schutte has previous mar­
keting and sales training experience
in the agribusiness and communica- •
tions industries.
* * *

president, corporate development, a
new position. He had been vice presi­
dent in the corporation’s banking
business group, responsible for 12
banks in central and southern Min­
Mr. Sampson, who has been with
Banco since 1975, will be responsi­
ble for management of acquisition,
merger, new business ventures and
divestiture programs.
Robert S. Strickland has been pro­
moted to vice president, assistant
treasurer. He has been with Banco
since November, 1979, previously as
Northwestern National Bank o f (
assistant treasurer.
Minneapolis has moved its corre­
Promoted to assistant vice presi­
spondent banking department to the
dent status were Mark R. Conrad,
12th floor of the Cargill Building.
Steve H. Keefe and Richard J. Lov­
The address and telephone numbers
ett in the corporation’s government
for the department will remain the,
relations division.
Mr. Conrad is responsible for co­
* * *
ordination of government relations
programs for Wisconsin, Iowa,
William B. Naryka has joined
North and South Dakota, Montana,
and Nebraska. Mr. Keefe has re­ Bremer Service Company, Inc. as
sponsibility for the corporation’s vice president/controller.
Mr. Naryka began his career at
government relations activities in
Minnesota. Both men joined Banco the public accounting firm of Ernst
in 1981. Mr. Lovet joined North­ & Whinney. Prior to joining Bremer,
western National Bank in Minneap­ he was a vice president with First
olis in 1978 as a trust representa- Bank System.

Perhaps it’s happened to you.
Just when you had built up a
working relationship with your
correspondent banker, the
bank moved him up the corporate
ladder and off your business.
All too often, a large bank
can be insensitive to the needs of
small respondent banks. Yet
smaller banks that can give you
plenty of personal attention can’t
always give you the expertise
and the clout you need. And
you’re caught in the middle.
You do, however, have an
alternative: Midland National

Bank. We’re big enough to
handle any of your correspondent
banking needs. But we’re still
small enough to respond to your
individual concerns.
We’ve deliberately kept
our Correspondent Division
small, so that you can deal

Midland National
BANKOf Minneapolis
M a in B a n k -4 0 1 2 n d A ve . S .
G o v ’t C e n te r O ff ic e -3 rd A ve . S . at 6 th S t.
S t. L o u is P a rk B ra n c h -3 6 0 1 P a rk C e n te r B lv d .
Member Federal Deposit Insurance Corporation

directly with a decision maker.
Each of our correspondent
bankers has from 12 to 25 years
of experience in the business,
so they thoroughly understand
the needs of respondent banks.
They take the time to personally
call on both the respondent bank
and the respondent’s customers.
If you’re tired of banks
that are too large or too small,
come to Midland Bank.
You’ll develop a close working
relationship with one of our
correspondent bankers. Not one
after another.

We’re big enough to know how and sm all enough to know you.
Federal Reserve Bank of St. Louis


Minnesota News

AST MONTH the 17 First Banks
in the Twin Cities metropolitan
area introduced an integrated bank­
ing and investment service called
the First Rate Investors Account.
The new product consists of a high
yield (money market rate) checking
plan that is linked to a discount
brokerage service. It differs from
other existing high yield checking
plans in that there is no minimum
balance or limitation on number or
size of transactions.
A customer’s cash will be in­
vested in a First Rate Fund com­
monly known as a “ repo” — an
agreement to repurchase an interest
in a U.S. Government or security or
U.S. Government Agency security.
Since the fund is not a deposit, it is
not FDIC-insured, but is backed by
the assets of the issuing First Bank
and the value of the security. When
a check is written on the account,
the exact amount needed to cover
the check is automatically trans­
ferred from the First Rate Fund.
Then the checking balance remains
at zero and the “ repo” balance con­
tinues to earn money-market rates.
“ This account will provide check­
ing, a retail repurchase agreement
and discount brokerage services in
one package,” explained First Bank
System vice chairman D.H. Ankeny,
Jr. “ It is not for everyone, but
rather is designed for the active selfdirected investor — the person who
makes eight or more trades annual­
ly. It offers convenience, total li­
quidity and money market yields as
well as savings on usual stock
broker commissions.”
The discount brokerage feature of
the account is provided through an
agreement with Fidelity Brokerage
Services, Inc. of Boston, the second
largest discount brokerage firm in
the country. First Bank customers
will be able to place orders for
stocks, bonds, treasury securities
and options at reduced commission
rates by calling an 800 phone
Fidelity, which provides discount
brokerage services to customers of a
number of banks throughout the na­
tion, will also permit First Bank
customers who sign up for the new
account to buy and sell short and to
trade on margin.
Separate monthly statements, for
banking and securities activity, will
be provided to First Rate Investors
Account customers. There are no
checking transaction charges. Cus
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

tomers will be charged a flat fee of
$20 per month for the account. A d­
ditionally, commissions for security
transactions will be charged at dis­
count rates by Fidelity Brokerage.
“ We think the unique combination
of features makes this account very
attractive to active, knowledgeable
investors,” Mr. Ankeny said. “ Addi­
tionally, we think it’s evidence of
our ability to develop and deliver
customer banking services that will
enable the First Banks to remain a
strong competitor in the changing
financial services marketplace.”
* * *
At Northwestern National Bank
of South St. Paul Harold G. Steffen
was promoted from vice president,
administration and human resour­
ces, to senior vice president; David
B. Butterwick was promoted to as­
sistant vice president and manager
of the Robert Street office, and
Margaret M. Relier and Jeffrey R.
Wentzel were named personal bank­
ing officers.

announced the promotion of Thomas
J. Rybak to commercial loan officer.
Prior to joining Western State
Bank in May of 1981, Mr. Rybak
served as an installment lender at
First Bank White Bear.
* * *
John H. Mason has been named
executive vice president of Mar­
q u e tte L ease
Services, Inc.,
the equipment
leasing and fi­
nancing subsid­
iary o f Bank
Shares, Inc.
Before joining
Marquette Lease
S erv ices, Mr.
Mason was sen­
ior vice presiJ H' MAS0N
dent of Gelco Municipal Services of
Eden Prairie. He also served as vice
president of Gelco Equipment Leas­
ing Company.
* * *

First Bank Minneapolis and it
wholly owned subsidiary First Bank £
International, in affiliation with
Walter E. Heller & Co., are launch­
ing a new service called The Short
Term Export Finance Program which
enables open account terms of sale,
provides total payment guarantees
against credit and political risk and
provides for the financing of export
Included in the charge of 2 to 3
percent of invoice amount are the
costs of credit reviews, receivables
processing, collection, credit guar­
antees and weekly status reports.
The service may also include receiv­
able financing at a rate of interest
equal to or less than the exporter’s
normal borrowing rate.
The program is designed to allev­
Mr. Steffen joined the bank in iate the administration, risk and ex­
1950 in the operations area and held pense incurrred in the normal pay­
several positions before being named ment terms that small and medium
vice president in 1970. Mr. Butter­ size exporters have been able to of­
wick joined the bank in 1980. Prior fer their distributors and repeat
to joining Northwestern he was with customers.
Northwestern Bank of Sioux Falls,
“ This program fills a gap in the
South Dakota.
export finance services previously
Ms. Relier joined the bank in 1970 available to industrial, component
and was most recently promoted to and high technology companies,”
supervisor in personal banking in said H. William Anderson, senior
June, 1982. Mr. Wentzel has worked vice president in charge of interna­
as a teller, management trainee and tional banking. “ W e’re joining the
as a collections specialist.
capabilities of more than 30 offices
* * *
throughout the world with the capa­
A. William Sands, president of city of First Bank Minneapolis.
* * *
Western State Bank of St. Paul, has

1 -•■/**>

: Á Hi

It’s m ore than just writing a check.

Financing an
acquisition or
management buy­
out is far from routine.
It takes a dedicated
team of asset-based H
lending specialists who
deal with this often complex
form of transaction on a dayto-day basis. It takes Associates
Commercial Corporation's
Acquisition Financing Team.
Backed by over S6 billion in
resources, The Associates has devised,
developed and participated in numerous
acquisitions, mergers and management buy-outs all across
the country. And we will work in cooperation with banks,
insurance companies and other lending institutions. As a
leading source of money for business for over sixty years, The
Associates is in a unique position to provide funds through a
variety of asset-based lending programs.
To learn more of the role The Associates can play in your
customers’ future pians, contact the regional office near you. An
officer will be happy to discuss asset-based lending with you. Or,
send for our booklet discussing asset-based acquisition financing.
A ss o cia tes C o m m ercial
C o rp oratio n
B u sin ess Loans
20 N. Clark Street
Chicago, IL 30602
(312) 781-5827
Federal Reserve Bank of St. Louis

Get to know The Associates...People Worth Knowing!
Business Loans Offices in Atlanta, Boston, Charlotte, Chicago, Cleveland, Dallas, Denver, Detroit, Los Angeles,
Miami, Nashville, New York, Philadelphia, St. Louis and Tampa.
Associates Commercial Corporation is a subsidiary of Associates Corporation of North America, a Gulf + Western


Minnesota News

American National Bank, St.
Paul, recently announced the promo­
tion of Thomas A. Tustison and
Yvonne A. Schultz to assistant vice
president; James E. Terrell to con­
sumer banking officer and Mary E.
Pachi to operations officer.



Mr. Tustison, who joined Amer­
ican in 1981, will be in charge of
employee benefits administration.
Ms. Schultz joined in 1977 and is in
charge of teller services manage­
Mr. Terrell started with the bank
in 1981 in the consumer division.
Ms. Pachi started in 1980 in the
operations division.



First Bank Minnehaha, Minneap­
olis, has announced the promotion of
Elaine M. Matt­
son to real estate
officer and man­
ager of the real
estate d ep a rt­
m en t o f the
Ms. Mattson
began her career
with the bank in
1977 as a loan
consultant in the
real estate department. Previously
she was with Edina Realty of Edina
and Chicago Title Insurance Com­
pany of Edina.
* * *
Northwestern National Bank of
Minneapolis has announced the elec­
tion of five vice presidents, nine as­
sistant vice presidents and 18 other
Elected to vice president status
were: Kevin B. McGuire, consumer
branch banking group; John K. Lukaska and Robert R. Corrick, domes­
tic banking group, and William E.
Geise and James L. Swift, trust and
investment group.
Mr. McGuire, who was elected in
the professional banking divison,
joined Northwestern in 1980. Mr.
Lukaska, manufacturing and elec
Banker, December, 1982
Federal Reserve Bank of St. Louis

tronics, joined in September. Mr.
Corrick of corporate finance, joined
in 1980. Mr. Giese joined in Septem­
ber and is in the fixed income pro­
ducts division. Mr. Swift, trust tax
division, has been with Northwest­
ern since 1970.
Elected assistant vice presidents
were: Ronald Whitcomb, Olson
Highway and Seventh branch in
branch administration; Robert L.
Rasmussen, Ridgedale branch in
branch administration; Craig R.
Dahl and Kevin B. Erdman, manu­
facturing and electronics; Barry A.
Kelner, individual services depart­
ment; John D. Hibbard, estate and
probate; Robert D. Edgar, Jr., in­
stitutional marketing, and Susan D.
Kinder and Sheryl L. Grams, human
Named to officer status in the
following areas were: Cheryl L.
Skildum, card services; Laura A.
Tokash, consumer loan; Edna J. In­
nés, commercial banking; William J.
Cole, Halina L. Aleksuk, Steven B.
Welch, Joanne M. Dorweiler and
Karen J. Miller, operations; Brian D.
Johnson and Robert A. Amundson,
systems; Elizabeth F. Kerner, trust
investment; Sarah P. Eldridge, cor­
porate trust investment; Joyce G.
Merchant, tax; Annmuree M. Berg,
trust; Gregory A. Stauffer, invest­
ment services; Phyllis D. Amberson,
advertising; and Michaeleen Cole­
man and William S. Raynolds, inter­
national banking.
* * *
Northwestern National Bank of
St. Paul has announced the follow­
ing promotions; John Geiken, vice
president, cash­
ier and manager
of the operations
d iv is io n , w ill
now also assume
the managerial
in the consumer
banking group.
He has been
with the bank
since 1978 and



with Banco since 1964.
Jon R. Campbell, vice president
and manager of the special technol­
ogies division of the commercial
banking group, has been named
manager of the metropolitan co m -#
mercial banking division. He joined
in 1979 from the U.S. National Bank
of Omaha.
Thomas W. Longlet, vice presi­
dent, has been named manager o f #
the special technologies division of
the commercial banking group. He
joined Northwestern in 1973.
* * *
Ernie Pierson, president, Midland
Bank, recently announced the ad­
vancement of Joe Garthofner to vice
president-human resources; Lynne
H. Hansen to vice president and •
trust officer; Steven A. Fields to
assistant vice president and trust of­
ficer, and James W. Koch to assis­
tant vice president and trust mar­
keting officer.



Mr. Garthofner joined in 1978 as
an assistant vice president and per­
sonnel officer. Ms. Hansen joined as
a trust administrator in 1978. Mr.
Fields started with Midland in
March of this year as pension and
profit sharing adminstrator. Mr.
Koch also started in March of this
year as a business development re­
* * *
Bank Shares, Inc. has announced
the formation of Marquette Lease
Services, Inc. According to Carl R.
Pohlad, Bank Shares president, the
new subsidiary will position the af­
filiate banks and their correspon-




Our sincere wishes for a happy holiday
season and a prosperous New Year.

Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982

Ybu can't afford to do without *
Cash Management Services .

In today's h ig h ly com petitive
m arketplace. Gash M anagem ent
Services aren't a luxury.
They're a necessity.
If you're looking to improve productivity
and increase profits, look to First Bank Saint Paul.
We can provide you with a wide range of
sophisticated Cash Management Services—
like FirstLink, Audio Balance Reporting, Account
Reconciliation, and End Point Analysis,
to name only a few.
Linkup with FirstLink through a dial-up
terminal located in your office. In seconds, you'll
learn everything from previous day account
balances, debits and credits, one- and two-day
float breakdowns, and current rates.
Lend an ear to our Audio Balance reporting
service. All it takes is a toll-free phone call
to rapidly obtain balance information on any of your
accounts. Day or night, around the clock.
Get friendly with our Account Reconciliation
service and you'll save valuable time for your

high-volume accounts. It not only sorts checks in
numerical order but also reports on the dollar
amount and date of all checks paid.
Better your bottom line with our End Point
Analysis. Find out how guickly your checks
are clearing. And be assured that we're continually
working on our availability schedule.
These are only four of First Bank Saint Paul's
Cash Management services. Any one— or all—
can help you to operate more efficiently. And, just as
important, they can benefit your commercial
customers, too. Because when you utilize our
services, you can offer them in turn to the
businesses you serve.
To find out more about how we can help you,
call (612) 291-6108 today.

First Bank Saint Paul
Member First Bank System

Cash Management
332 Minnesota Street
Saint Paul, Minnesota 55101
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis
Federal Reserve Bank of St. Louis


Minnesota News

dent banks to better serve the equip­
ment leasing and financing needs of
their corporate, professional and
municipal customers.
J. Michael Maxwell has been
named president of the new sub­
sidiary. He joined F&M Marquette
National Bank, the holding com­
pany’s lead bank, in July where he
has been directing the bank’s equip­
ment leasing and financing services.
Before joining Bank Shares and
F&M Marquette National Bank,
Mr. Maxwell was president of First
Northwestern Financial. He also
served as president of Gelco Equip­
ment Leasing Company and as sen­
ior vice president of Citizens Fideli­
ty Bank and Trust Company, Louis­
ville, Ky.
Marquette Lease Services will of­
fer lease financing programs to
banks throughout the Upper Mid­
* * *
American National Bank and
Trust Company of St. Paul has been
selected by the Independent Bank­
ers Association of America to act as
Trustee for the IB A A Prototype
Pension and Profit Sharing Plans.
The program was specifically de­
signed for IB A A member banks in
response to a need for competitive
employee benefits. The prototype
plan concept was used to minimize
the effort and expense of implemen­
tation by individual banks. Sub­
scribing banks will have flexibility
in determining specifics of their pro­
gram such as eligible compensation,
vesting and type of investments.
Additional information about the
IB A A Prototype Pension and Profit
Sharing Plans can be obtained by
contacting Patrick M. Flynn, assis­
tant vice president, American Na­
tional Bank and Trust Company,
370 Minnesota Street, St. Paul,
Minn. 55101, or calling (612)

joined the bank in 1977 and was ap­
pointed vice president in 1979.

Newport/Woodbury V.P. Named
Town & Country Bank, Newport
and Woodbury, has announced the
election of Robert C. Anderson as
vice president and senior loan officer.
Mr. Anderson
will be responsi­
ble for all of the
lending a ctivi­
ties in the bank
and will be in­
volved in the
banks m arket­
ing, compliance
and a sse t/lia bility manage­
ment areas. He
recently joined the bank and was
formerly associated with the First
Northwestern State Bank, Thief Riv­
er Falls, where he was vice president
in charge of commercial lending.

Former Brainerd Banker
Purchases Florida Bank
Everett Henrickson, formerly ex­
ecutive vice president of Citizens
State Bank, Brainerd, recently pur­
chased Farmer’s Bank of Malone,
Mr. Henrickson and his brother,
Phillip, recently purchased the $8
million bank in the northern Florida
community of 800. Malone is an ag­
ricultural community with the main
products being peanuts, soybeans,
wheat, corn and cattle. The Henrick-

sons began their banking careers in •
the mid-50s and have a combined 53
years of banking experience.

Belle Plaine Celebrates
100th Anniversary of Bank
The State Bank of Belle Plaine
recently celebrated its 100th anni­
versary with a three-day Centennial
Celebration that included refresh- q
ments, outdoor lunch, live music,
displays, drawings and gifts.
The bank originated in 1882 as
the Bank of Belle Plaine, with assets
of $50,000. The State Bank of Belle £
Plaine evolved from the Bank of
Belle Plaine in 1894 when it official­
ly was organized and chartered under
Minnesota laws. The Farmers State
Bank of Blakeley merged with the £
State Bank in 1932 and the First Na­
tional Bank of Belle Plaine merged
with it in 1935. The consolidated
bank maintained its location on Me­
ridian Street until 1964, when it con- £
structed a new facility in its present
location at 201 West Main Street.
The bank now has assets over

Elected in Maplewood
Jan Anderson was recently
elected assistant vice president of
the operations division of Maplewood State Bank, Maplewood, according to G. Jack Hillstrom, presi­
Ms. Anderson joined the bank in
1981 and has worked in various

Castle Rock North Facility Opens

Three Elected to Board
C.A. Opheim, Richard J. Tiedeman and D. Nevin Campbell have
been elected to the board of direc­
tors of the First National Bank of
Walker, announced C.J. Elsenpeter,
Mr. Opheim joined the bank in
1962 and was appointed to senior
vice president in 1979. Mr. Tiedeman has been with the bank since
1977, being appointed vice president
and cashier in 1979. Mr. Campbell

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

FIRST State Bank of Castle Rock recently held a grand opening at its new detached facility
known as the north facility. Offering full banking services, the facility was added for the
convenience of customers to the north of Castle Rock, according to Dan Nicolai, president.
The building features two drive-up windows, a night depository and three teller stations.
Passive solar panels feed into the brick building’s furnace, helping conserve energy.




Minnesota News


Don Johnson Retires
BANKING career of more than
26 years will be concluded by
Donald H. Johnson on December 31,
1982, when he retires as a vice presi­
dent in the correspondent bank de­
partment of the American National
Bank, St. Paul. He has devoted 23 of
those years at
A m erican N a­
tional to work­
ing with com ­
m unity banks
throughout the
N inth Federal
R e s e r v e D is ­
Mr. Johnson’s
p r in c ip a l t e r ­
ritory he served
stretched from the Twin Cities to
the Canadian border in Minnesota
and all of North Dakota. At various
times he has also spent time with
correspondent banks in Wisconsin,
South Dakota and Montana, giving
him a broad base of friendships with
hundreds of bankers in the five-state
A native of St. Paul, Mr. Johnson
attended schools there and spent his
entire business life in the city. He
entered the United States Army Air
Corps prior to World War II and
served with that branch throughout
the war, later continuing with the
United States Air Force until his re­
tirement as Lieutenant Colonel after
seven years of duty. He was in the
retailing business before joining
American National Bank July 9,
He became a member of the Amer­
ican Institute of Banking, progress­
ing through various AIB classes,
and later also was graduated from
the Minnesota School of Banking
and the Midwest Banking Institute.
Like many other Twin Cities cor­
respondent bankers who began their
travels before the advent of today’s
convenient airline, hotel and high­
way service, Mr. Johnson experi­
enced all the “ com forts” of travel in
his earlier days. “ I can recall lots of
gravel roads on which we drove
without air-conditioned cars,” Mr.
Johnson says. “ That was before the
interstates were constructed. Also,
we didn’t have the Holiday Inns and
Ramadas you find today; in fact,
most of the motels and hotels
weren’t air-conditioned, and usually
had small gas or oil heaters in the
rooms instead of central steam heat



Federal Reserve Bank of St. Louis

as they do today.
“ Although we didn’t have air ser­
vice to most towns in the Ninth Dis­
trict, we did have excellent train ser­
vice. The banks were not air-condi­
tioned and there were no drive-in
banks, no ATMs, no computers. So
far as bank services, it was typical
for any bank to pay 1% on pass-book
savings, to have one type of check­
ing account and to charge exchange
on checks. Most banks just did not
offer CDs like they do today. An­
other big difference is that 25 years
ago almost all the banks we called
on were closed between noon and
1:00 p.m .!”
Mr. Johnson and his wife, Joanna,
plan to continue making their home
in St. Paul.




Credit Corporation for seven years.
Mr. Lund joined the bank in 1980 as
collection manager and was also con­
sumer loan interviewer prior to his
appointment at the Burnsville of­
fice. Mr. Raja joined the staff in
1973, moving to the trust depart­
ment in 1976. In 1980 he was pro­
moted to trust account officer.

Three Named in Richfield
Jeff Edwardson has recently joined
Richfield Bank & Trust Co. as com­
mercial loan officer; Peter J. Lund
has been appointed assistant man­
ager of the bank’s Burnsville office,
and K. “ Raja” Rajalingam has been
appointed assistant vice president
and investment
officer of the
b a n k ’ s n ew ly
formed invest­
ment m anage­
m en t d e p a r t ­
Mr. Edward­
son was p re ­
v io u s ly
em ­
ployed by Gen­ J. EDWARDSON
era l E le c t r ic

Acquisition Approved
The Federal Reserve Bank of Min­
neapolis has approved the applica­
tion by Eitzen Independents, Inc.,
Eitzen, to acquire the Eitzen State
Bank, and Carver County Bancshares, Inc., Chaska, to acquire the
Carver County State Bank.

Maplewood Director Appointed
Kimberly A. Ebert was recently
appointed director of marketing and
advertising by the board of Maple­
wood State Bank.
In May she graduated from the
college of St. Benedict with a BA in
liberal studies and a concentration
in business and psychology.

Open House Held at M adelia Bank

OPEN house was held last month at the Citizens Natl. Bk. of Madelia, climaxing the
completion of a 2,200 sq. ft. addition and major renovation of the old building. The
bank project included the razing of a 3-story hotel and department store on a 75' x
160' lot adjacent to the bank. The new facility includes 2 remote drive-in units, ATM,
message center, video security system, and room for future customer services.
Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis
Federal Reserve Bank of St. Louis


Minnesota News

LEFT— INDEPENDENT Bankers of Minnesota Officers of 1982-83 include: 1st V.P. Larry Lindeberg, pres. Forest Lake St. Bk.; IBM Exec.
Dir. Norb McCrady; IBAA Exec. Dir. Ken Guenther, and Pres. Lowell Wakefield, pres., 1st Natl. Bk., Wayzata. RIGHT—Jo and Don Johnson,
v.p., Amerian Natl., St. Paul; Phylis and Ray Kirkhorn, pres., Security St. Bk. of Aitkin, and Lori and Bob Jacobson, v.p., American Natl. St.


Independent Bankers of M innesota
M eet for Fall Conference
signing of the Garn Bill represents a
significant setback and loss to the
independent bankers in the country.
HE Independent Bankers of Min­ He explained that had the multi-in­
nesota met in Minneapolis No­ dustry coalition opposing the legis­
vember 17-18 for their annual Fall lation not collapsed, the bill would
Conference. IBM President Lowell never have passed. Moreover, he
Wakefield, president of the First Na­ contends that the bill would never
tional Bank in Wayzata, welcomed have passed had the American
nearly 200 registered bankers to the Bankers Association maintained
their position of opposition.
The meetings opened with the
The expanded powers given to the
keynote address delivered by Ken thrifts in the new law will require
Guenther, executive director of the bankers to make an immediate
Independent Bankers Association of adjustment he warned. “ These new
America. Mr. Guenther was quick to full service bank-like institutions,
turn his attention to the administra­ with established branch networks,
tion of President Reagan which he will immediately be competing for
views as being anti-independent the commercial and agricultural
banking as well as anti-small bus­ loans in your communities.”
iness in general. To support this con­
The rules governing the new mon­
tention he made specific reference to ey market deposit account man­
the Garn Bill, the withholding at dated by the Garn Bill also met the
source requirements and the total criticism of the IB A A head. The
restructuring of the financial ser­ IB A A favored the $5,000 minimum
vices industry which he feels will balance supported by Fed Chairman
result in fewer independent banks.
Volcker. Also the IB A A feels that
Mr. Guenther reported that the the December 14 initiation date is
Associate Publisher


too soon. With $1.6 trillion deposit
available for this new account, Mr.
Guenther does not feel that the
DIDC time frame is prudent and
argues that the bankers need more
time to consider the effects that the
new instrument will have on the cost
of deposits.
The afternoon session consisted
of four concurrent workshops which
focused on estate planning, person­
nel management, ag commodities fu­
tures, and secured transactions/
bankruptcy. Following the work­
shops, Federated Cash Management
Systems hosted the bankers to cock­
tail reception which preceeded the
evening banquet and dance.
Gary Stern, senior vice president,
Minneapolis Federal Reserve Bank,
was another featured speaker at the
Independent Bankers Fall Confer­
ence. In his “ 1983 Economic Out­
look,” he stated that the funda­
mental preconditions for an eco­
nomic recovery are falling into place.
Given these preconditions and
thrusts of economic policies, 1983
would see an improvement in eco­
nomic conditions. “ 1983 has a
chance for being the best year for
the economy since 1978.”

LEFT—Bob Sipple, sr. v.p., and his wife Brownie join Kathy and Joe Kingman III. Mr. Kingman is the new president of American Natl., St.
Paul. RIGHT— Marilyn and Bob Buscher, c.e.o., American St. Bk., Mankato; Jacki Schuler, sec./treas., INDEX, Mpls., and Dorothy and Milt
Klohn, pres., INDEX.

Banker, December, 1982
Federal Reserve Bank of St. Louis

Minnesota News


LEFT— Larry Kraayenbrink, corr. bkg. off., F & M Marquette, Mpls.; Carol Pederson; Dick Holmes, a.v.p., F & M Marquette, Mpls., and Sally
0 and Paul Thompson, pres., Peoples St. Bk., Milan. RIGHT—Joe Brunner, v.p., American National Bk., St. Paul, conducts workshop on the
DIDC instrument.

He clarified that by stating that
he isn’t saying 1983 is going to be a
great year, but it will represent an
® improvement over the conditions of
the economy seen from 1979 through
The essential preconditions Mr.
Stern sees falling into place are 1)
very substantial progress made in
slowing inflation down in the last
several years, and 2) the precondi­
tion more recently moving in the

First National, Duluth
Sponsors “ Minnesota M ile.”
First National Bank of Duluth
recently helped bring former world
mile record holder and silver med­
alist in the 1968 Olympics Jim Ryun
to Duluth to visit with the bank’s
customers and to host the “ Min­
nesota Mile,” which the bank co­
sponsored with Perkins Cake and
The bank’s front entry served as
the finish line for the five one-mile
races that were held along Duluth’s
downtown Superior Street. The fol­
lowing day Jim Ryun talked run­
ning and signed autographs for a
large crowd.
First National’s race sponsorship
was organized and arranged by
Lance Green, vice president-mar­
keting, and Claude A. Lutzka, vice
president. Winners of the Minnesota
Mile were: in the men’s class, Don
Hurley of St. Paul, and in the wom­
en’s class, Jan Ettle of St. Cloud.

Safe Deposit Company
Opens in Minnesota
Commissioner of Banks Michael
J. Pint has announced the approval
of a license for the Safety Deposit
Center, Inc., to operate a safe depos­
it company in Robbinsdale. Mr. Pint
said this is the second private safe
Federal Reserve Bank of St. Louis

right direction, lower interest rates
that are accompanying the success
in slowing inflation.
“ Those are essential precondtions
because first,” he continued, “ we
have learned that inflation and
economic prosperity are in funda­
mental conflict in this country,
which implies if you want to restore
prosperity you have to get inflation
down and keep it down. Second it
would appear that the recovery that

I expect has to be led by consumer
spending and that will require lower
interest rates so that big ticket
items can be more comfortably fi­
“ It is only recently that rates on
instalment credit and mortgages
have begun to decline in any mean­
ingful way,” Mr. Stern commented.
“ That decline, if extended, should be
positive both for consumer psychol­
ogy and consumer spending. ’ ’

deposit company to open in Min­
nesota that is not affiliated with a
financial institution.

and Commercial Credit Plan, Inc., to
expand their existing industrial loan
company powers in five locations to
include accepting time and savings
deposits. These five approvals to ex­
pand are the first such approvals
since 1954 and since the Industrial
Loan and Thrift Act was recodified
in 1981 by the State Legislature.
FinanceAmerica Plan, Inc., a
wholly owned subsidiary of Finance­
America Corporation and BankAmerica Corporation, received ap­
proval for deposit authority at three
locations: 927 Marquette Avenue,
Minneapolis; 212 Bremer Building,
St. Paul, and 5180 Central Avenue
N.E., Columbia Heights. Also ap­
proved were two applications by
Commercial Credit Plan, Inc., a
wholly owned subsidiary of Com­
mercial Credit Company and Con­
trol Data Corporation, to accept
deposits at 24 West Sixth Street, St.
Paul, and 4007 West Old Shakopee
Road, Bloomington.
FinanceAmerica Plan, Inc., is the
seventh largest of 31 industrial loan
companies in Minnesota with assets
of $10.7 million and capital of $2.78
million. Commercial Credit Plan,
Inc., is the sixth largest with assets
of $14.3 million and capital of $4.47
million. Both companies specialize
in consumer loans, including second
mortgage real estate loans.

Buhl Cashier Retires
An open house was held recently
for Helen Hendrickson, cashier of
the First National Bank of Buhl,
upon her retirement from the bank
after 17 years.
Mrs. Hendrickson was hired in
1965 in the insurance agency and in
1973 started as a teller at the bank.
She was promoted to cashier two
years ago after serving as assistant
cashier and bookkeeper.

Red Wing Officer Named
Allen M. Schwab has been elected
personal banking officer at First
Northwestern Bank of Red Wing,
with primary responsibilities in the
instalment loan and customer ser­
vice departments.
Mr. Schwab joined the bank in
1981 after graduating with a BS in
finance from St. Cloud State Univer­

Powers Expanded for Two
Industrial Loan Companies
Chairman of the Commerce Com­
mission Michael J. Pint recently an­
nounced the approval of applica­
tions by Finance America Plan, Inc.,

Northwestern Banker, December, 1982

through the acquisition
Bryant State Bank.

South Dakota
D.O. Mehlhaff, pres., l-u ic m
J. M. Schwartz, exec. m g r., Pierre

Sioux Falls Election Told
T.J. Reardon, president of West­
ern Bank, Sioux Falls, has announced
the election of
Donald R. Oliver
as vice presi­
dent, mortgage/
retail banking.
M r. O liv e r,
who will have
fu n ctio n a l re­
sponsibility for
mortgage loans
and retail bank­
ing, has 12 years
of banking experience and will have
his office located at Western Bank

Three Named in Sioux Falls
United National Bank, Sioux
Falls, has announced the addition of
Ken Fish as vice president and

Regional President C.P. “ Buck”
Moore has announced that Gary G.
Olson has been elected president and
director of the
First National
Bank of Aber­
deen. Mr. Olson,
branch manager of the Rapid City who previously
branches. Also promoted were Jim was serving as
Hallock to assistant vice president executive vice
and assistant branch manager at the president/branch
main office, and Tim Loftesness to administrator of
N orth w estern
Mr. Fish has served as president, National Bank
owner and chairman of the board of of Sioux Falls,
by Allan
the Drayton State Bank in Drayton,
N.D., and as vice president and man­ M. Severson. Mr. Severson was elec­
ager of the United National Bank in ted president and director of North­
Brandon and the First Security western National Bank of Sioux
Bank of Harlem, Mont.
Mr. Olson began his career with
Mr. Hallock joined the bank in
1980 and most recently served as Banco in 1963 at the Huron Branch
assistant branch manager of the as ag representative. He moved to
Rapid City branch. Mr. Loftesness the Madison branch in 1967 and re­
has been with the bank since 1978.
turned to the Huron Branch in 1969.
Mr. Olson then held the position of
Acquisition Approved
vice president and branch manager
The Federal Reserve Bank of Min­ from 1976 until his appointment to
neapolis has approved the applica­ vice president/branch administrator
tion by Bryant Bancshares, Inc., to in 1980. He was named executive
become a bank holding company vice president in 1981.

cember 1. He succeeds Virgil Eckhoff, who has resigned.
Mr. Larson previously was vice
president and senior loan officer of
First Bank East Grand Forks,
where he has been associated since
1966. In 1969 he was promoted to
assistant vice president and agri­
cultural representative and was
elected to his most recent position
as vice president in 1972.

North Dakota
J.M. McGinley, pres., W illiston
H. J. Argue, exec. d ir . , Bism arck

The First National Bank of Oakes
recently announced the appoint­
ment of Mark Weide as assistant
vice president, ag loan department.
Mr. Weide has been associated with
the Dacotah Bank Holding Co. of
Aberdeen since 1975, when he joined
Farmers and Merchants Bank and
Trust Company of Aberdeen, S.D.
In 1981 he joined the Citizens
State Bank of Clark and in 1982 was
promoted to manager of the bank’s
branch office in Henry, S.D.

Appointed in Fargo
George W. Schwartz, president of

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

the I

Aberdeen President Named


Oakes Appointment Told


First National Bank of Fargo, has
announced the appointment of Jane
Lundberg as commercial banking of­
Ms. Lundberg holds a BS degree
in accounting from Moorhead State
University and became a CPA in
1981. Previous to joining First Na­
tional in 1982, Ms. Lundberg was
employed by Eide, Helmeke and
Company of Fargo, where she was
on the audit staff.

Lidgerwood President Named
The board of directors of First
Bank Lidgerwood has elected Arvy
J. Larson president, effective De­

Elected to Board
H.H. “ Brud” Herberger has been
elected to the board of directors of
Community Na­
tional Bank of
Grand Forks at
a n n u al
Mr. H erber­
ger, president of
the eight Herbergers, Inc. &
B e tte r
H a lf
stores, is a 1965
graduate of the HH- HERBERGER
University of North Dakota.


upon net income; however, the bank­
ers agree with the Department of
Revenue that even though it is com­
||i The board of directors of First puted on net income, it is in fact a
Bank Great Falls has elected Robert franchise tax.
Reiquam president and managing In 1978, the Montana Supreme
officer, effective December 1. Mr. Court ruled that property taxes
R eiq u am succould not be imposed on federal
f ceeds John Reiobligations making an archaic tax
chel, who was re­
on a bank’s capital ineffective. The
cen tly elected
managing direc­
tor of the West­
ern Montana Re­
gion o f F irst
Bank System ,

Reiquam Elected President
At First Bank Great Falls

3- ■ - *
Mr. Reiquam
R L r e iq u a m
has most recent­
ly served as president of First Bank
Miles City. His successor will be an­
nounced at a later date.
Mr. Reiquam began his banking
career at First Bank Great Falls in
1965 and was elected an agricultural
lending officer in 1966. In 1968 he
joined First Bank Miles City, where
he was elected vice president in
1971. He was elected president and
managing officer in 1974.

Montana Banks Support
Corporation License Tax
The Montana Bankers Associa­
tion filed an amicus curiae, friend of
the court, brief with the Montana
Supreme Court which places the
bankers on the side of the Depart­
ment of Revenue in its attempt to
have a recent Supreme Court ruling
reheard. Erie Gross, president of
M BA and the Little Horn State
Bank in Hardin, said, “ The bankers
believe this tax is fair and equitable
and would like to see it continued as
in the past.”
Earlier in October, the Supreme
Court ruled that two savings and
loan associations, one in Missoula
and one in Havre, were exempt from
paying the Corporation License Tax
on the interest income earned on
federal obligations. The court ruled
that the tax was, in substance, a tax
Federal Reserve Bank of St. Louis

banks, however, voluntarily paid
their bankshare taxes in 1978 for the
benefit of cities and counties. Subse­
quently, the M BA worked with the
1979 Legislature to amend the Cor­
poration License Tax so that the
same amount of tax revenues would
go to cities and counties as in the
past. Banks have paid this tax ever
since without protest.
Mr. Gross said, “ It is regrettable
that the savings and loan associa­
tions are trying to avoid paying this
tax since it is fair to banks and sav­
ings and loan association, and taxes
both the same as all other busines­
ses in Montana.”

Appointed in Great Falls
John M. Seeberger has been ap­
pointed vice president/manager,
commercial loan department, of

First Interstate Rem odeling Aim ed
At M axim um Energy Efficiency
HE remodeling program under­
way at First Interstate Bank of
Great Falls will provide maximum
energy efficiency, more customer
convenience and greater personnel
efficiency in serving the financial
needs of its customers, according to
C.E. “ Chuck” Pedersen, president
and chief executive officer of the
The entire remodeling project is
planned to obtain the maximum in
energy efficiency with complete
modern designs and decor. The new
front of the building on First A ve­
nue North will feature insulated sun
screen windows of a bronze solar
tint, glazed to reflect the sunlight.
Increased insulation will be added to
the north exterior wall and the heat­
ing and air conditioning systems are
being revised for better perfor­
mance. A major change in the in­
terior of the building will be the new
multi-level ceiling of an attractive


design, which will greatly reduce
energy consumption.
The entire interior of the bank will
be remodeled extensively with most
of the departments being relocated
to better utilize floor space. An in­
novation will be the financial plan­
ning center, an area where custom­
ers will receive individual, person­
alized counseling with regard to in­
vestments and other personal bank­
ing needs.
An area adjacent to the First A ve­
nue North entrance to the bank will
provide a showcase for “ Rolling
Thunder,” the bank’s life-size buf­
falo sculpture by artists Bob Olds
and Joe Halco.
R. Terry Johnson, Architects, de­
signed the reconstruction and Palmer-Duncan Construction Company is
the general contractor. All sub-con­
tracts were awarded locally. Com­
pletion date is expected to be early
Northwestern Banker, December, 1982

First Interstate Bank of Great
Falls, according to C.E. Pedersen,
president and chief executive officer.
Mr. Seeberger came to Great
Falls from Missoula, where he was
an assistant vice president, commer­
cial loans, at First Bank Western

Acquisition Approved
The Federal Reserve Bank of Min­
neapolis has announced its approval
of the application by Hub Financial
Corporation, Helena, to become a
bank holding company through the
acquisition of the Valley Bank of

Western Region Office
Opens in Billings
FBS Agricultural Credit Corpora­
tion, Minneapolis, the agricultural
finance subsidiary of First Bank
System, Inc., has opened an office in
Billings. The new office, which will
be known as the Western Region Of­
fice, will work with FBS affiliate
banks and other banks in Montana,
North Dakota and South Dakota to
provide funds for short and inter­
mediate term loans for farm and
ranch operating expense, and will en­
gage in direct lending outside of First
Bank System subsidiary markets.



nitcn, pres
exec. dir.

M. C. Mundell,

Wyoming National Names New President
HE BOARD of directors of the
W yoming National Bank of
Casper has announced the hiring of
Robert Hays as president and chief
operating officer of the bank. Robert
W. Miracle, bank president who has
been both chief executive and chief
operating officer since 1968, was
named vice chairman of the board
and will remain as chief executive of­
ficer of the bank, and at the same
time will continue to serve as presi­
dent and chief executive officer of
the Affiliated Bank Corporation of
Wyoming, the holding company with­
in which the Wyoming National
Bank operates. At the same time, the
bank holding company board re­
vealed that Robert Noel has been
elected executive vice president of
Mr. Hays’ election to the pres­
idency of the bank will become effec­
tive January 1, 1983. Mr. Noel has
already assumed his duties.
The three way move was dictated
by the continuing expansion of the
Affiliated Bank Corporation, stated
Mr. Miracle, and, the board’s deci­
sion to strengthen management at
every major post of its lead bank
and the holding company.
Mr. Miracle has held the top spot
in the Wyoming National Bank for
the past 15 years and has served as


Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Rick J. Kuntz
has been elected
a vice president
of FBS Agricul­
tural Credit Corp o r a tio n and
manager of the
Western Region
Office. Mr. Kuntz
began his bank­
ing career in
1973 at First
Bank Havre. He has held his most
recent position as an assistant vice
president in the correspondent bank
department of First Bank Minneap­
olis since 1980.
became effective in October, has sev­
en years experience with the Com­
ercial Bank of Mitchell, S.D., where
he was in charge of operations and
also served as commercial and agri­
cultural lending officer.
Mr. Robson, whose appointment
became effective in November, brings
18 years experience in various bank­
ing capacities to his current position
at Wyoming National. His most re­
cent position was as executive vice
president of a credit management
position in Montana.

president of the holding company
since its inception in 1970.
Mr. Hays has been president and Cheyenne Bank Appoints
chief executive officer of the Rui­ New President and CEO
doso State Bank, New Mexico, since
Paul J. Jacques has been ap­
1978. From 1974 to 1978 Mr. Hays pointed president and chief ex­
served as vice president and chief ecutive officer of First Wyoming
commercial loan officer for the Cen­ Bank, N.A. - Cheyenne, according to
tral State Bank of Hutchinson, Kan­ W. Robert Reiman, chairman.
sas. Prior to that he was vice presi­
Mr. Jacques most recently served
dent of the Bank of Jacomo, Blue as president and chief executive of­
Springs, Missouri.
ficer of the First Wyoming Bank,
Mr. Noel formerly was president N.A. - Laramie. He succeeds Robert
and chief executive officer of the T. Noel, who left the organization to
First Wyoming Bank-Cheyenne, and join another banking system.
in addition to his title as executive
A native of Massachusetts, Mr.
vice president has been named to the Jacques entered the banking in­
bank’s holding company’s board dustry in 1967 as a vice president of
and to its executive committee.
Berkshire Bank. In 1980 he joined
Also announced at Wyoming Na­ the First Wyoming Bancorporation
tional Bank of Casper was the elec­ at its Laramie affiliate.
tion of veteran bankers Mark Zaback, Jim Ahrendt and Kent Rob­
Casper Banker Named
son to the position of assistant vice
of the Year
president of the commercial loan
Thomas A. “ Rusty” Ward, Jr.,
Mr. Zaback, who also serves in the has been awarded the Volunteer of
correspondent bank department, The Year Award from the American
brings nine years experience to his Heart Association of Wyoming at
position, previously holding various its second annual delegate assembly
positions in auditing, credit analysis held in Jackson.
and correspondent lending with the
Employed by Wyoming National
First National Bank in Lincoln, Bank of Casper, Mr. Ward is trust
officer in charge of employee benefit
Mr. Ahrendt, whose appointment plans.


“We’re notjust reacting
to changes in banking-our
computer seiv/ces
are leading the way’’

Joe Phernetton, Senior Vice President, Computer Services Division, IntraWest Bank of Denver

At IntraWest Bank of Denver, a vigorous new breed
of experts sparks the largest financial systems
development staff In the region. We’re bankers, not
technocrats— bankers with an extraordinary degree
of electronic expertise and experience.
You get much more than high-speed computer
systems to meet the challenges of a deregulated
banking environment. Our systems feature basic
principles of sound banking. Our services are
comprehensive, flexible and understandable. In
short, we help you stay ahead of the crowd.
Consider two examples of that expertise at work:

• Our Innovative educational program for your
employees familiarizes them quickly with our
complete line of computer service products. That
in turn helps you maximize your profits and enables
you to respond quickly and effectively to the needs
of your customers.
We can provide you with the advice, education,
ongoing service and state-of-the-art technology
you need to put yourself in a leadership position in
your market.
Call Joe Phernetton at IntraWest Bank of Denver,
303 293-5491. Whatever your com puter service
needs, we can provide the total solution.

• Our TransAction® network of ATMs processed
more than 3.7 million electronic transfers last year.


tr a


Putting our mark on the ’80s.




IntraWest Bank of Denver, n .a . Denver, Colorado 80270 303 293-2211 Member IntraWest Financial Corporation
Formerly The First National Bank of Denver
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982



A.R. Koeneke, chmn. & près., Rifle
D. A. Childears, exec. m g r., Denver

V . ....................................................

500 Attend Economie Outlook Forum
FILLED to capacity crowd of
500 recently heard Beryl W.
Sprinkel, Under Secretary for Mone­
tary Affairs, and Dr. Arnold Wheel­
er, president of the University of
Colorado, speak at the Economic
Outlook Forum sponsored by First
National Bank, Boulder, at the Hil­
ton Harvest House.
Both men spoke well of the Rea­
gan administration’s “ noble experi­
ment’’ in economics. Mr. Weber de­
scribed the policy as one aiming for
three “ often elusive and mutually
conflicting goals:’ ’ a steady and sub­
stantial economic growth, high lev­
els of employment and stable prices.
Mr. Sprinkel reported, “ The econ­
omy is poised for a recovery, the up­
turn more probable and imminent
with every day.’ ’ As evidence, he
cited stock and bond markets mov­
ing forward, interest rates which
have gone from a prime of 2D/2 per­
cent in January, 1981, to 13 percent
today, and inflation now at five per­
cent, “ dropping faster than anyone
Mr. Weber’s wrap-up of the state
of the economy was not as optimis­
tic as that given by Mr. Sprinkel,
however. Despite positive develop­
ments, he said, by other measures,
“ the performance of the economy is


lackluster and we’ve failed to reach
expectations.’ ’
Unemployment is still high,
there’s been no real growth in the
economy, planned investment is fall­
ing and there’s been a collapse in
such key sectors of the economy as
housing, steel and even the hightech industries.
“ What you see,’ ’ he said, “ is an
economy that will take a while to
shake off 20 years of policy adven­
tures.’ ’
Dr. William Baughn, Dean of the
School of Business Administration
at CU, acted as moderator for a
question and answer session held
following the prepared remarks seg­
ment of the program.

Five Promoted in Denver
Central Bank of Denver recently
announced the promotions of five
staff members and election of two
others to officer positions.
Promoted was Jerry Helmke to
vice president of the commercial
banking division; Lydia Marenin,
Frank Martinez and Theodore Scar­
brough to assistant vice president,
and Cheryl Crandall to staff at­
torney in the legal division. The
bank’s new officers are Barbara


i » mmmi. m

PICTURED left to right: Walter A. “Tack” Browning, pres. & c.e.o., First Natl, in Boulder; Dr.
Beryl Sprinkel, Under Secretary for Monetary Affairs; Tom Moon, chmn., and Leo Hill, pres.,

Affiliated Bankshares of Colorado.
for FRASERBanker, December, 1982
Federal Reserve Bank of St. Louis

Czeczok and Catherine McGrath,®
both customer service officers in the
retail banking division.
Mr. Helmke joined Central in
February of this year. Ms. Marenin
joined in 1973 and is currently th e#
manager of the action banking cen­
ter in the retail banking division.
Mr. Martinez has been with the
bank since 1979 as assistant man­
ager of corporate services in th e #
operations division. Mr. Scarbrough
will be serving in the asset and lia­
bility division. Ms. Crandall just
joined the bank in June of this year.

IntraWest President Retires
Albert D. “ Bud’ ’ Latham, presi­
dent of IntraWest Financial Cor­
poration, announced he will retire <
from the com­
pany January 1,
1983. Mr. Lath­
am became the
second vice pres­
ident of the cor­
p o ra tio n , fo r ­
merly First Na­
tional Bancorp o r a t io n ,
1978, some ten
years after the
Denver-based bank holding com­
pany was formed.
Mr. Latham underwent major sur­
gery about one year ago and al­
though fully recovered decided to
retire to reduce the demands imposed
by his full-time position, thus
creating more time for other bus­
iness and personal activities.
Mr. Latham, who began his bank­
ing career in 1949 with the then
First National Bank of Denver, will
continue as a director of the holding
company and four subsidiaries.

Three Promoted in Denver
First Interstate Bank of Denver
recently announced the promotions
of William C. Neill and E. Clay
Speas to executive vice presidents
and Jean B. McCoid to assistant
vice president of international bank­
Mr. Neill, formerly senior vice
president, manages the commercial
banking and retail banking divi­
Mr. Speas, also senior vice presi­
dent, manages the corporate bank­
ing and operations divisions.
Ms. McCoid was international
banking officer prior to her promo­

Colorado News


• Senior V.P. Named

Elected to Lakewood Board

Evergreen Officer Elected

Nelson B. Cole has been named
senior vice president, funds manage­
ment, at Colorado National Bank of
^ Denver.
Mr. Cole joined the bank in 1973,
was elected a vice president in 1977
and assumed full management re­
sponsibilities of the investment
department in May, 1980.

Duane E. Henry has been elected
to the board of directors of Colorado
National Bank - Lakewood, announced
William R. Frogge III, president.
Mr. Henry currently serves as dis­
trict manager for Montgomery Ward
and is responsible for all inventory,
facilities and personnel operations in
Colorado, Wyoming and Montana.

Margie J. Bistline has been
elected marketing officer of Col­
orado National Bank - Evergreen.
Mrs. Bistline joined the bank in
1976, previously serving as exec­
utive secretary and administrative


Acquisition Completed
Colorado National Bankshares,
Inc., has completed the acquisition
£ of Exchange National Bank, Colo­
rado Springs, for a total purchase
price of approximately $39 million.
The company has also received
approval from the Board of Gover0 nors to organize a de novo bank, Col­
orado National Bank - Southwest,
which is planned to open March 1,

Boulder Promotions Told
IntraWest Bank of Boulder has
named Donald E. Martin and J.
Stewart Fuller senior vice presi­
dents and promoted three others.
Mr. Martin, who heads up the op­
erations area, joined IntraWest in
1972 as cashier.
Mr. Fuller, a graduate of the Uni­
versity of Iowa, manages the bank’s
commercial loan department.
Richard C. Meckley, chairman of
the bank, also announced that Pam­
ela P. Stokes was promoted to vice
president and senior trust officer;
Susan L. Lakey has been named as­
sistant vice president in the con­
sumer banking center, and Cynthia
A. Conn was appointed marketing
Ms. Stokes joined the bank in
1979 as a trust administrator. Ms.
Lakey has been with the bank since
1973. She began in bookkeeping and
moved into the consumer banking
center in 1980. Ms. Conn joined in
1981 from the First National Bank
of Greeley, where she was a mar­
keting representative for two years.

United Bank Names One
Steven Colliatie has been named
an assistant vice president at
United Bank of Denver, according
to Richard A. Kirk, president and
Mr. Colliatie, who joined the bank
in 1981, is a commercial banker in
the correspondent banking depart­
Federal Reserve Bank of St. Louis

Named “ Banker of the Year”
D. Dale Browning, senior vice
president at Colorado National
Bank of Denver and president of
b o th
R ocky
Mountain Bank
C ard S y s te m
and Plus Sys­
tem, Inc., has
been named Col­
orado Banker of
the Year by the
Colorado Grad­
uate School of
W ith C o lo ­
rado National Bank of Denver since
1965, Mr. Browning this year spear­
headed the formation of Plus Sys­
tem, Inc., the first shared ATM net­
work to be operated on a nationwide

Denver Bank Named Trustee
For Student Loan Bonds
IntraWest Bank of Denver has
been named trustee in the issuance
of $110 million of Student Loan Rev­
enue Bonds by the Colorado Student
Obligation Bond Authority, accor­
ding to James R. Cowgill, vice presi­
dent and trust officer at the bank.
The proceeds from the 1982 Series
A bonds will be used to provide stu­
dent loans for post-secondary school
education in Colorado.
Mr. Cowgill said the bonds will be
issued in $5,000 denominations or
any integral multiple thereof, with
various principal amounts maturing
annually beginning in 1982. The in­
terest rate is 8.125 percent. Interest
on the bonds is exempt from federal
and State of Colorado income taxa­

Denver Director Elected
David S. Bershof, president of
Mid-Continent Wholesale Co., Inc.,
Denver, has been named to the
board of directors of Dominion Na­
tional Bank, Denver.

Two Appointed in Littleton
United Bank of SouthPark, Lit­
tleton, has announced the appoint­
ments of Virginia Becker to opera­
tions officer and Vernon Hansen to
vice president in charge of commer­
cial banking.
Prior to joining the bank, Mr.
Hansen was executive banking of­
ficer at United Bank of Denver. Ms.
Becker also joined the Littleton
Bank from United Bank of Denver,
where she served as a general ser­
vice group officer within that bank’s
operations division.
United Bank of SouthPark is a
new bank to Littleton, having opened
September 7, 1982.

BAI Offers Account Rep
Training on Microcomputer
The first comprehensive, micro­
computer-based training program
for bank customer service represen­
tatives was introduced last month
by Bank Administration Institute
at its first microcomputer con­
ference in Dallas, Tex.
Designed specifically for financial
institutions, the program entitled
“ First Contact,” consists of more
than 50 half-hour lessons of indepen­
dent study.
The program covers bank termin­
ology, check negotiability, endorse­
ments and clearing, personal and
commercial accounts, safe deposit
boxes, billing, IR A and Keogh ac­
counts, certificates of deposit, credit
cards, overdrafts, collections and
other new account functions.
In addition, the program offers an
historical perspective of banking in
a course titled “ Fundamentals in
Banking,” and special lessons in
cross-selling bank services and tran­
saction management.
The program, developed by Linda
O. Carducci, president, BancAids,
Falls Church, Va., is designed to run
on the Apple II Plus System. Accor­
ding to Ms. Lewis, however, the
training package will be adapted to
be compatible with other microcom­
puters in the very near future.
Northwestern Banker, December, 1982


million Instant Cash
transactions a year. ”
Steve Navin
U.S. National/
Electronic Banking

When your custom ers w ant a
debit card they can depend on,
you can depend on U S .
Instant Cash is a rising star in the
electronic funds transfer industry. And the
U.S. National Bank is committed to making
this big service even bigger in the future.
As a part of the Banco Electronic Banking
Network, the U.S. National Instant Cash
system has the equipment, the people,
and a history of success.
Electronic Banking. When your customers
want it, you can depend on us.


For more information, call
Steve Navin.

Main Bank
20th & Farnam
Regency Office
Central Park Plaza Office

Member FDIC
Affiliate of Northwest

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

US National Bank
of Omaha

Ogallala, has announced the addi­
tion of David L. Christensen to its
Mr. Christensen, senior vice presi­
dent and trust officer, joined the
bank in May. He formerly was vice
president at the Security National
Bank at Superior.

Bank Officer Named to
ABA Lending Division

Tri-County Bank & Trust,
New Bank — New Facility
OUTHROADS Bank, Bellevue,
has officially changed its name
to Tri-County Bank & Trust. The an­
nouncement came during recent
# grand opening and ribbon-cutting
ceremonies at the bank’s new facili­
ty located at Highway 73-75 and
Camp Brewster Road in Bellevue.
Southroads Bank, which has grown
to approximately $9 million in as­
sets since its inception in 1973, pre­
viously occupied three separate offi­
ces in Southroads Shopping Center.
The new $1 million facility was built
over a nine month period. Drive-up
capacity was expanded from two to
four lanes and the office space

doubled in the 8,544 square foot
“ Creating new services has ex­
panded our customer base and
brought about the need for expand­
ed office space,’ ’ commented Jack
Ayres, president and chairman. Mr.
Ayres assumed his responsibilities
in September. He came to Tri-County from the First National Bank of
Manhattan, Kan., where he was vice
president and director of marketing.

Joins Ogallala Bank Board
Mel Adams, chairman of Keith
County Bank and Trust Company,

Betty J. Graves, vice president of
the instalment loan division of Com­
mercial National Bank & Trust
Company, Grand Island, has been
named to the advisory board of the
American Banker’s Association In­
stalment Lending Division - Con­
sumer Financial Services Group.
The selection of board members is
based on experience and leadership
in retail banking.
Mrs. Graves was also recently ap­
pointed as the new compliance of­
ficer for the Commercial National
Bank & Trust Company, responsible
for the internal controls pertaining
to compliance regulations.

Joins Rushville Bank
Richard R. Otto recently acquired
interest in the Stockmen’s National
Bank of Rushville and has joined the
bank’s staff as vice president.
Mr. Otto previously was em­
ployed in the correspondence divi­
sion of Packers National Bank of
Omaha. He holds a bachelor of sci­
ence degree in business administra­
tion from Nebraska Wesleyan Uni­

Retires at North Loup

Newest facility of Southroads Bank — now Tri-County Bank & Trust, Bellevue.

Frances Van Horn, assistant
cashier of the North Loup Valley
Bank, North Loup, recently retired
from her position with the bank.

productivity and demand stronger,
more assertive leadership roles on
behalf of the bankers. Along that
line, he advised the bankers to begin
speaker on the agenda and was developing new leaders within the
quick to set the tone of his address. banks to meet this demand. He also
A director of the Independent Bank­ cautioned against the intimidation
ers Association of America, Mr. of “ predatory’ ’ mega-banks and
Backlund suggested that communi­ went on to accent the marketing ad­
ty bankers are in the professional vantage of the community banker
race of their lives and advised the resulting from his personal relation­
ships and associations with the bank
bankers to fasten their seat belts.
As a result of the recently enacted customer. He feels that the indepenbanking legislation, Mr. Backlund
said that survival for the indepen­ NEBRASKA INDEPENDENTS...
dent banker will require increased (Turn to page 56, please)

Nebraska Independent Bankers
M eet in Grand Island
Associate Publisher
i i i NDEPENDENTBanking—SurI vival of the Fittest’ ’ was the
convention theme adopted by the
Nebraska Independent Bankers A s­
sociation as they met in Grand
Island on November 4-5. Native Ne­
braskan B.F. “ Chip’ ’ Backlund,
president, Bartonville Bank, Bartonville, Illinois, was the first
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


HEN the nation’s largest re­
tailer and Nebraska’s largest
bank plan a ribbon-cutting, they
make sure the ribbon gets cut.
John D. Woods, board chairman
of Omaha National Bank, and Sam
Compagno, manager of Sears’ Cross­
road’s store, used a Sears electric
chain saw recently to cut a wooden
bow to mark the official opening of
Omaha National’s 12th and 13th
MoneyMat Day/Night Banking Cen­
ters—outside the Sears Crossroads
store at 72nd and Dodge and outside
Baker’s Supermarket at 50th and


John D. Woods, third from left, chairman of

Omaha Nat onal Bank, uses a Sears chain
saw to cut a wooden bow marking the grand
opening of Omaha National’s newest
MoneyMat Day/Night Banking Center at the
Sears Crossroads store in Omaha. Looking
on, from left, are Melvin D. From, vice presi­
dent of Consumer Banking at Omaha Na­
tional; Sam Compagno, manager of the
Sears Crossroads store, and Fred Woods,
merchandise manager of Sears Cross­

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

MoneyMats allow customers to
get cash, make deposits or transfer
funds between their checking and
savings accounts using a Bank-InA-Billfold card issued through
Omaha National or other plastic ac­
cess cards issued by some other in­
stitutions that have sharing agree­
ments with Omaha National. The
MoneyMats are open day and night,
seven days a week to provide
around-the-clock banking conve­
Mr. Woods said more than one mil­
lion transactions will be processed
through the MoneyMat system this
year. This not only represents tran­
sactions of Omaha National cus­
tomers, but also customers of nine
other metropolitan Omaha banks
and more than 150 outstate Nebras­
ka and Iowa financial institutions
that have signed agreements that
allow their customers to use the
MoneyMats. The Omaha National
Bank ATM s now are at 13 locations
and there will be three more by next
spring, Mr. Woods stated.
* * *
Douglas County Bank & Trust
Co. has announced the promotions
of Lawrence Ziska, Jr. to executive
vice president; Duane C. Chunka to
first vice presi­
dent and cashier;
Charles A. Prai
to vice presi­
d e n t; Robert
Gross to loan
d iv isio n m an­
ager, and Rich­
ard Kuhns to as­
sistant vice pres­
Mr. Ziska will
direct the internal supervision of all
bank departments, reporting direct­
ly to the president, Dale Heimann.



Mr. Ziska began his career with the
bank in 1974.
Mr. Chunka, who will manage the
control division, was employed as a
CPA prior to his joining the bank in
Mr. Prai joined the bank in 1966
and will be in charge of the instal­
ment loan department in his new
Mr. Gross started with the bank
in 1971 as a loan officer in the com­
mercial loan department.
Mr. Kuhns joined the bank in
May of this year and will serve in
the commercial loan department.
* * *
The Federal Reserve Bank of
Kansas City has awarded a contract
to Anderson Excavating and Wreck­
ing Co. of Omaha for demolition and
preliminary site preparation for a
proposed new Omaha Branch build­
ing. The site is bounded by the
Astro Theater and the Goodyear
Tire Store on the east, and by 24th,
Farnam and Harney Streets.
The property was purchased as
the site for a proposed new branch to
replace the building at 17 th and
Dodge. Actual construction depends
on final approval by the Board of
Governors of the Federal Reserve
System. The Board is expected to
consider the Omaha building project
later this year.
Demolition will begin shortly and
is expected to continue until next
spring, with plans to begin construc­
tion in late 1983.
* * *
Dennis R. Wood, president of

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Nebraska News



Packers National Bank, has an­
nounced the addition of Michael R.
Drahota as investment banking of­
ficer, and Mary A. Herzberg as bond
investment officer, both in the bond
Mr. Drahota has over four years
underwriting experience with a local
securities firm. He will be working
with private placements and under­
writing municipal bonds.
Ms. Herzberg has over seven
years previous experience in the
bond trading and selling field. She
will be assisting correspondents
with their portfolio strategies.
* * *
Robert R. Kruger, chairman of the
Ames Bank, has announced the ap-

pointment of James F. Severin, Mar­
cia Kruger and Gregory Kruger to
vice president.
Mr. Severin
joined the bank
in 1980 as cash­
ier. Ms. Kruger
has been with
Ames Bank since
1975, h a v in g
v a rio u s
titles since that
time. Mr. Kruger
worked part-time



at Ames Bank while attending
school, joining the bank full-time in
* 5ft *
William A. Chapman, president of

First in Service to the M idw est.

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Corporate Bonds
Government Agency Bonds
Listed and Unlisted Securities
Fiscal Agents

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Member New York Stock Exchange, Chicago Mercantile Exchange
and other Principal Stock and Commodity Exchanges.

Municipal Bond Department, 100 Continental Building
Omaha, Nebraska 68102 / (402) 444-1900
Lincoln, Omaha, Grand Island, Hastings, Columbus, Shelby, Plainview, Nebraska.
Des Moines, Atlantic, Cedar Rapids, Fort Dodge, Marshalltown, Iowa.
Kansas City, Missouri • Wichita, Kansas • Chicago, Illinois • Houston, Texas.

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

B.C. Dressed Beef, Chapman C o m #
modifies and Ultra-Air Aviation
Companies, has been elected to the
board of directors of American Na­
tional Corporation, according to
John M. Shonsey, chairmn.

ABA Plans Conference on
Cost Control, Productivity
“ Corporate/Commercial Market-^
ing Strategies in a Cost Conscious
Environment” is the theme for the
1983 American Bankers Association
Corporate/Commercial Marketing^
Scheduled for March 2-4, 1983, at
the Capital Hilton Hotel in Wash­
ington, D.C., the conference is de­
signed for line and staff bankers^
with responsibilities in areas such as
marketing, corporate banking, com­
mercial services, business develop­
ment and commercial lending.
“ Cost control and productivity j
may not have been top priorities for
corporate bankers in the past, but
today these issues are getting ser­
ious consideration,” said Graeme M.
Keith, chairman of the Corporate/ <
Commercial Marketing Conference
planning committee and vice chair­
man of First Railroad and Banking
Company, Augusta, Ga.
Subjects to be addressed include<
designing an effective officer calling
program, using incentive compensa­
tion plans in officer calling pro­
grams, developing a corporate ad­
vertising campaign, using target (
advertising and promotion to in­
crease market share, and designing
a system for more effective product
Other topics include increasing!
market share with the use of credit
services, pricing strategies to en­
courage total account relationships,
determining the type of information
needed to support sound marketing <
decisions, and designing and imple­
menting a marketing data manage­
ment system.
A display area, featuring mater­
ials from leading vendors of cor-(
porate marketing supplies, will high­
light the meeting.
The registration fee for the Cor­
porate/Commercial Marketing Con­
ference is $425 for A B A members,(
$595 for nonmembers. To register,
or for further information, contact
Linda Parrish, A B A Marketing Di­
vision, 1120 Connecticut Ave., NW,
Washington, D.C. 20036. Her phone
number is (202) 467-4887.


i j L

¡ T







t i n i




National Bank of Commerce
M a in B a n k , 13th & O / P a rk w a y D riv e-In , W alk -In , 4 0 th & S ou th
E ast P a rk D riv e-In , W alk -In , 6 6 th & O
R a m p a rk D riv e-In , W alk -In , 1 2th & P
M E M B E R FDIC — A c c o u n ts In s u re d to $ 1 0 0 ,0 0 0 /

One of the Commerce Group Banks
serving' Lincoln and Nebraska
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982

department and was promoted to •
loan analysis officer and department
manager in 1978. Mr. Hansen has
been a commercial loan officer since

New Programs Added to
Stonier Graduate School

Dennis Stelzer has been appointed
president and chief executive officer
of the NBC Computer Services Cor­
Mr. Stelzer has been with the
operations division of National
Bank of Commerce since 1971, serv­
ing as division head and vice presi­
dent since 1978.
Larry Nelson is the new division
head of bank operations for NBC.



He has extensive experience in aud­
iting and bank operations, having
begun his career with the bank in
1963. He served as vice president
and auditor of NBC from 1977 to
1980, more recently as vice presi­
dent and department manager of de­
positor services.
The board of directors of National
Bank of Commerce has announced
the promotion of Mark Hansen to
assistant vice president.
Mr. Hansen
holds a bach­
elor’s degree in
business admini­
stra tio n from
the University
of Nebraska-Lin­
coln. He joined
NBC in 1976 in
the loan analysis

Steve Sutton
For Complete
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Call Toll Free in Nebraska 800-742-7335
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Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Steve W. Sutton

Vice President

This year the American Bankers^
A ssocia tion ’s Stonier Graduate
School of Banking will introduce
several new, innovative programs.
Two examples are microcomputer ^
training and a new management edu­
cation module developed by the Cen­
ter for Creative Leadership in
Greensboro, N.C. These additions,
coupled with other major refine-^
ments to the program made in recent
years — track courses and a new
retail banking core, the new alter­
native to the traditional thesis, and
classes segmented by student ex­
perience for more effective instruc­
tion — strengthen Stonier’s role in
bank leadership development.
Microcomputer training was add­
ed to Stonier’s curriculum because of
the overwhelming needs of bankers
in this area, said Dr. William
Baughn, director of the Stonier Grad­
uate School of Banking. Evidence of
this burgeoning interest was seen at
the A B A ’s annual convention in
Atlanta recently, where thousands of
bankers attended standing-room-on­
ly sessions on the fast-growing field
of microcomputers.
The eight-hour microcomputer
segment will be required for all first
year students, Dr. Baughn said. Al­
though the course will be an intro­
ductory one, it will go beyond just
teaching students how to use a mi­
crocomputer, he said.
A new 12-hour module on purpose­
ful managment will be introduced in­
to the third year curriculum. This
program replaces the Senior Sem­
inars previously required of third
year students. The Center for Crea­
tive Leadership, a Greensboro,
N.C.,-based educational and re­
search firm, will conduct the train­
ing program for third-year students.
The program is designed to pro­
vide students with new knowledge
and skills to bring about changes in
the participants’ motivation, at­
titudes, and values, and to expand
behavioral skills in setting and
achieving organizational goals
through more purposeful, goal-ori­
ented management.


ow is the time to position
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made after December 31,1982.


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.Experienced specialists in helping you make the most
from your Municipal and Government Bond Portfolios.
In Nebraska, call 800-742-7326. Outside Nebraska, call 800-228-4141.

13th & M Streets. Box 81 00 8. Lincoln. NE 68501
Member, F.D.I.C
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


Nebraska News

LEFT—NIBA Officers for 1982-83 are: 2nd V.P. John Green, pres., Wauneta Falls Bk., Wauneta; 1st V.P. Dean Kugler, pres., Springfield St.
Bk.; Pres. Dennis Brewster, pres., Butte St. Bk., and Treas. Tom Grove, v.p., Packers Natl. Bk., Omaha. RIGHT—Convention speakers in­
cluded: Paul Dunlap, pres., Hawkeye Bancorp., Des Moines, la.; Jim Moylan, NIBA gen. coun., Omaha; Tom Hoeing, v.p., 10th Fed. Res.
Dist., Kansas City, and IBAA Pres. Bob McCormick, pres., Stillwater Bk. & Tr., Stillwater, Okla.

Nebraska Independent Bankers Meet
(Continued from page 49)
dent bankers will soon face a greater
challenge from conglomerate finan­
cial institutions “ possessing car­
nivorous appetites and an unwaver­
ing desire to control the entire
Changing to a different topic, Mr.
Backlund compared financial advice
given to President Reagan by Secre­
tary of the Treasury Donald Regan
to advice given to the Czars by the
Russian Rasputin. He said that he
does not personally believe Mr. Reg­
an to be a wicked man, but stated
that the Secretary must actually feel
that “ what is good for Merrill Lynch
is good for America. Mr. Regan’s
religious drive, fed by greed, ignores
the community banker.” He closed
his attack with another comparison

stating that, “ Secretary Regan is as
dangerous to America as Rasputin
was to Russia.”
Moving to the subject of selling a
community bank, Mr. Backlund was
adamant in urging the bankers not
to overlook the needs of the com­
munity when it comes time to sell
the bank. He advised that the best
buyer may not always be the highest
bidder and suggested that the for­
mation of one bank holding compan­
ies can help to keep the bank in­
dependent after the sale. He told the
bankers to “ stand up for community
banking—it’s worth it!” In closing
Mr. Backlund quoted Winston Chur­
chill when he spoke to the boys at
Harrow School. “ Never give in,
Never give in, Never, never, never,

never—in nothing, great or small,
large or petty—never give in except
to convictions of honor and good
Another native Nebraskan on the
agenda was Paul Dunlap, president,
Hawkeye Bancorportion, Des Moines,
Iowa. Coming from an independent
banking family well respected i
Nebraska, he opened by revealing
that this was the first time that his
brothers had allowed him west of
Omaha since he began banking in
Iowa. Mr. Dunlap gave an autopsanalysis of the two Iowa banks that
failed during 1982 and how Hawkeye Bancorporation pumped new life
into them. As a result of his negotia­
tions with the Federal Deposit In
surance Corporation in purchasing

LEFT—Chuck Mitchell, dep. dir., Neb. Dept. Bkg. & Finance; Bill Henry, v.p., 1st Natl. Bk., Omaha; Dave Klipsch, chmn. & pres., 1s
Westside Bk., Omaha; Doug Clarke, pres., Hastings St. Bk., and Ron Yaley, pres., Neb. St. Bk., So. Sioux City. RIGHT—Tom Grove, v.p.,
Packers Natl. Bk., Omaha; Bud Gerhart, pres., 1st Natl. Bk., Newman Grove, and Milton Klohn, pres., INDEX, Mpls., Minn.

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

Nebraska News

the two banks he said that he has no
doubts that FDIC has two sets of
rules when dealing with an ailing
bank. “ If it is a small bank and
' sick—let it die. If it is a large bank
and sick—put it on life support.
There is no doubt in my mind that
FDIC considers small banks expen­
dable and that they wanted to close
the two banks in Iowa,” he said.
Perhaps the biggest surprise of
the convention came from Represen­
tare Doug Bereuter, House of Re­
presentatives, and member of the
House Banking Committee. Prefac­
ing his remarks by saying that the
bankers would respect and appre­
ciate his candor, he unleashed a ver­
bal attack against the IB A A and
disagreed with them in their assess­
ment of the Garn Bill. While prais­
ing the NIB A for the role of the in­
dependent banker in the communi­
ty, he blasted the IB A A for its
“ anti-progressive” attitude. He said
that the IB A A was told by members
of the banking committee to stop its
“ petty bickering” with the Amer­
ican Bankers Association and added
that the open hostility with the
A B A displayed by the IB A A was
damaging to the efforts of all bank­
ers. He did say, however, that con­
gressional support towards the inde­
pendent banking industry remains
strong and urged the IB A A and
A B A to speak with a unified voice.
IB A A President Bob McCormick,
also a convention speaker, respond­
ed to Rep. Bereuter’s statement in
an exclusive interview with N orth­
western B anker . He said that the
congressman’s view represents a
very “ partisan attitude on behalf of
the Republican Party and President
Reagan.” He said that by signing
the bill, the President is not acting
in the best interest of the indepen­
dent banker. He further feels that
Mr. Bereuter’s assumption that the
A B A is speakng for the entire bank­
ing industry is “ ridiculous” and ad­
ded that the “ self serving Repub­
lican position ignores that the
IB A A might be right.”
Mr. McCormick concluded the
interview by again expressing disap­
pointment in the new Garn Bill. He
said that the expanded powers given
to the thrifts in the new law will do
enormous damage to the indepen­
dent banker. He says that he feels
that the ailing thrift had the bankers
over a barrel by their “ crisis” status
while the bill was being debated. □
Federal Reserve Bank of St. Louis


W ith today’s rapid changes in
banking technology, data
processing is becoming an even
more important management tool.
That’s where I come in. • •
Ken Roeder

Correspondent Bank Officer
Security National Bank

W hen Ken Roeder talks about h ow the advances in
the field o f data processing can affect your operations,
he’s speaking from experience— 15 years’ experience as
a data processing specialist.
Ken know s data processing. More important, he
know s h ow to put it to w ork for the individual needs o f
his correspondents. As a Security correspondent bank
officer, Ken is also equipped to provide you with the
best in ag lending and overline services.
Today, your continued profitability is as important
to Security National as it is to you. Through experts like
Ken Roeder, w e ’re determined to help you protect it.


Sioux City, Iowa 51101 (712) 277-6554

© 1982 Security National Bank

Member FDIC

Northwestern Banker, December, 1982

with our best wishes for a
festive holiday season and prosper­
ous new year, may we say a special
“thank you” to all whom we’ve
served during 1982. It’s our hope
that this most pleasant association
may continue.
If you plan to be in Des Moines
during the holiday season, stop by
and say hello. We’d be pleased to
see you.

C o m e C ro w t
W it h U s 1 1
Des Moines, Iowa 50304

lO T
U w l

Member: FDIC/Federal Reserve System

Iowa’s largest locally owned, independent bank

Use our toll-free WATS line: 800-362-1688

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

why the larger car with the two
youths crossed the center line and
struck the Fiat driven by Peter An­
son and carrying Steve Rehnstrom,
Kyle VandeBerg and Paul Morony.


Elected in Council Bluffs
L.C. “Bud” Pike, pres., Grundy Center
N. Milner, exec, v.p., Des Moines

Three Named in Sioux City
Michael J. Moeller, president of
Northwestern National Bank, Sioux
•City, has announced several changes
in status among officers of the bank.
Edward L. Collins, senior opera­
tions officer, has
been named vice
president, opera­
tions. Mr. Col­
lins joined the
b a n k ’ s o p e ra ­
tions sta ff in
1974, previously
s e r v i n g w it h
N orthwestern
National Bank
of Omaha.

ber director’s meeting. Mr. De­
Groote has been employed at the
Livermore State Bank since 1975.
A.C. Benton was elected presi­
dent in addition to his position as
chairman of the board. Other direc­
tors of the bank are R.E. Miller,
president of the Citizens State
Bank, Iowa Falls, and R.G. Thul and
Leo Bormann, area farmers.

Spencer Student Killed

Steve Rehnstrom, 17, son of Don
Rehnstrom, president, First State
Bank, Sioux Rapids, was killed in a
head-on car crash recently 10 miles
north of Spencer. Two other 17-year
old classmates from Spencer High
School who were in the same car with
Steve Rehnstrom also were killed.
They were Peter Anson, president of
the school student body, and Kyle
VandeBerg, quarterback of the
Spencer High football team. Steve
Rehnstrom was a star pitcher on the
school baseball team.
Three other Spencer High youths
were injured in the crash. Two of
them were in one car, four in the
other. A state highway patrolman
Don Stone, marketing officer, has
had just clocked both cars seconds
been appointed vice president, mar­
before the impact and reported that
keting. Mr. Stone joined North­
neither car was speeding. Although
western as an officer in 1972 after 30
a light mist was falling at the time,
years of association with radio sta­
there has been no explanation as to
tion KSCJ and television station
Jan Kiewel, operations officer,
was promoted to assistant vice pres­
ident, operations. Mrs. Kiewel
started her Northwestern career in
1970, was named a marketing officer
in 1975 and became an operations of­
ficer in 1978.

First National Bank of Council
Bluffs has announced the addition of
Gerald D. Kelso as a personal bank­
ing officer.
He previously was employed with
First Federal Savings and Loan A s­
sociation for four years piror to join­
ing First National.
Also at the bank, Bruce E. Hop­
kins, president of Mercy Hospital in
Council Bluffs; David H. Kuper,
M.D., a urological surgeon and part­
ner in Bluffs Urological Associates,
P.C.; Robert D. Looft, Ph.D., superintendent/president Iowa Western
Community College, and David R.
Parker, treasury department, Peter
Kiewit Sons’, Inc., have been elected
to the bank’s board of directors.

BICS President to Head NABS
Brian Phillips, president of Banks
of Iowa Computer Services, Inc.,
Cedar Rapids, was recently elected
president of the National Associa­
tion of Bank Servicers for 1983. He
served as vice president for NABS
during the 1982 year and was pro­
gram chairman for all meetings dur­
ing that time.
NABS meets several times each
year to address the current chal­
lenges of bank data processing and
to exchange ideas and information
among members. The association
also works with bank regulatory
authorities to foster reasonable and
workable methods for compliance
with banking laws and regulations.

Hills Bank Opens Iowa City O ffice

Livermore Elections Told
Dennis DeGroote was recently
elected executive vice president and
director of the Livermore State
Bank. He replaces Robert L. Wilson,
who passed away suddenly Novem­
ber 10. Mr. Wilson apparently suf­
fered a fatal heart atack as the board
was concluding its regular Novem­
Federal Reserve Bank of St. Louis

THE Hills Bank and Trust Company officially opened its Iowa City office, located at the cor­

ner of Gilbert St. and Hwy. 6 Bypass, last month with an open house. The new 7,600 sq. ft.
building offers a full range of banking services along with five drive-in lanes and a night
depository. The bank also offers the area’s first 24-hour drive-up ATM, with another ATM
located in the bank’s foyer.
Northwestern Banker, December, 1982

LEFT— The most noticeable feature of United Central Bank & Trust’s new structure is probably its grooved Kasota stone exterior, an ex­
tremely hard, dense limestone. RIGHT—the bank’s airy, skylighted, two-story addition provides ample room for the bank’s teller windows
and its marketing, bookkeeping and personnel departments.

New Facility for M ason City Bank

An unseen, but important part of
the new building is its energy effi­
cient heating and cooling equip­
ment. The new air system, called
zone control, involves 40 separate
heating and cooling units and is ex­
pected to heat and cool the entire
building with the same amount of
energy used for the former bank
structure. The system is solar re­
sponsive, which means it is capable
of taking heat from the skylight and
transferring it to other parts of the
Pleased with the new surroun­
dings, Mr. Haver stated, “ We be­
lieve we’re progressive thinking and
service oriented. We also believe the
bank’ s design reflects forward
thinking, a progressive attitude and
customer service.”


FTER 14 months United Cen­
tral Bank & Trust Company of
Mason City completed construction
and is in its new home at State and
Washington, two months ahead of
schedule. The construction caused
some inconvenience to customers,
but the bank remained open through­
out the entire project.
“ We simply had outgrown our
quarters and as a result, we couldn’t
serve our customers as well as we
wanted to,’ ’ Hal Haver, bank presi­
dent, stated. “ So we decided to
remodel and at the same time build
for the future.”
The project was completed in two
phases. The first phase started in

June 8, 1981, and involved construc­
tion of the new addition. In the se­
cond phase, starting last April 2, the
bank’s 16,800 square foot existing
building was gutted and remodeled.
The 10,200 square foot, two-story
addition includes a canopy covered
drive-up area, with a blonde lime­
stone exterior finish. The interior
features a skylight that adds beauty
and warmth to the addition’s sub­
dued earth tone color scheme.
Meanwhile, there is nothing old
about the bank’s existing building.
Completely refurbished, it now
houses the various loan depart­
ments, a board room and bank of­
ficials’ offices.

ITS Transaction Volumes
Top Half-Million Mark

less’ payment system is well accept­ their customers ‘convenient elec­
ed by the consuming public.
tronic banking services’,” added Mr.
Mr. Dooley said, “ at these volume Dooley. “ By actively establishing
levels, this represents a total of terminal locations and issuing their
18,089,100 transactions annually. own cards, they are preventing larg­
With approximately 500,000 cards er money center financial institu­
issued by participating financial in­ tions from dominating the EFT pro­
stitutions, this works out to three cess. Preventing such domination
transactions per card, per month. promotes competition and ensures
Customers of the 175 participating fair pricing.”
financial institutions in 84 cities in
Iowa, Nebraska and South Dakota,
are able to perform withdrawals, de­ Primghar Banker Dies
posits, transfers and account bal­
Funeral services were held Oc­
ance inquiries at more than 385 tober 27 for James M. Metcalf, who
shared terminals located in these had been associated with the First
three states.” However, he noted National Bank, Primghar, since Sep­
that deposits are restricted across tember, 1925, until his retirement in
state lines.
January, 1977.
“ Our increase in volumes is a re­
He was elected president of the
sult of many midwest financial exec­ bank in 1964 and chairman of the
utives recognizing the need to offer board in 1978.

ITS, Inc., has announced that in
October the ITS switch processed a
record 502,476 transactions. That
figure accounts for roughly onethird of the total statewide EFT
Initially switching only 499 trans­
actions in February, 1977, ITS, Inc.
has more than doubled its transac­
tion volume in 1982. The monthly
switched total for January, 1982
was 240,765. The October figure in­
dicates a 110% growth rate over the
first ten months of 1982.
Dale Dooley, president of ITS,
Inc., stated that “ the 1,507,425
total monthly EFT transactions pro­
cessed by 15 data processing centers
clearly illustrate that the new ‘paper­

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis



If the answer is yes, then NOW’S THE
TIME to look at the competitive advantage
for your bank...your own leasing company,
which can offer your customers a low cost
alternative for financing the equipment they
need but have delayed purchasing.
Today’s high interest rate environment
has put a real strain on your customer’s
cash flow, and has probably reduced their
ability to qualify for loans. By offering your
customers the ability to lease, they will
improve their cash position and will be able
to increase their borrowings from your
bank. By operating your own leasing com ­
pany, you will enhance your relationship
with your customer and broaden the range
of services you offer.
UCB Leasing Corporation is familiar
with and experienced in meeting the needs
of banks and their customers. We have the
expertise to assure that your venture into

leasing gets started right. And, we will direct
your full documentation in the critical areas
of accounting, marketing and tax sheltering.
If you are concerned about your cus­
tomers, your bank’s shrinking loan portfolio
and loss of market share, you need to
investigate the leasing alternatives. NOW’S
THE TIME to call (without obligation) Bill
Ranes or Tim Mercer at (515) 245-7222 to
find out how UCB Leasing can help you and
your customers.

Bill Ranes

Tim Mercer

Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


Iowa News

■ H I

¿ )m¡m
- 1û y kM

p :=

.• ,, «V

m a

First National, Sioux City

Hosts Executive O fficer Sem inar
IRST National Bank in Sioux
City recently hosted an E x­
ecutive Officer Bank Management
Seminar at the Hilton Hotel in
Sioux City. Over 70 bankers repre­
senting the senior management of
40 banks in Iowa, Nebraska and
South Dakota were in attendance at
the one-day seminar. This was the
third annual Executive Officer Sem­
inar sponsored by First National
The theme of this year’s seminar
was “ Meeting the Challenges to
Future Earnings.” Topics presented


at the seminar included asset/liability management, considerations in
pricing, managing your ag portfolio,
managing with micro-computers
and a review of DIDC activities. All
of the topics discussed have a direct
impact on the future earnings of
community banks.
The featured speaker at this
year’s seminar was Silas Keehn,
president of the Federal Reserve
Bank of Chicago. Mr. Keehn’s com­
ments touched on Federal Reserve
Policy, as well as current economic

Ag Expert Speaks at Banquet
HE coming year will be a wean­
ing out year among farmers,
says Dr. Barry L. Flinchbaugh, as-


sistant professor of agriculture at
Kansas State University.
Mr. Flinchbaugh, speaking Mon-

day night at Council Bluffs S avin g^
Bank’s 40th annual Cattle Feeders
Banquet at Lakeshore Country
Club, said net farm income is ex­
pected to decline for the third year in_
a row.
“ Farmers may dream of being
price makers, but they never were,”
he told the nearly 300 people at the
banquet. “ The law of supply and de-^
mand is not repealable.”
He speculated on the status of far­
ming as far away as the year 2000.
“ We have just witnessed the be­
ginning of the end of commodity
programs.” Mr. Flinchbaugh said
the future holds less government
subsidy, but more manipulation, es­
pecially in foreign policy.
The beef served at the dinner was
purchased from 4-H members atten­
ding Westfair.

Branch Office Approved
The Toy National Bank of Sioux
City recently received approval from
the Comptroller of the Currency to
open a branch office at the Southern
Hills Mall, South Lakeport.

Johnson County Bankers Meet
The annual meeting of the
Johnson County Bankers Associa­
tion was held the end of October
with the following officers elected
for the 1982-83 year.
President—Douglas Shanklin, vice
president, Farmers and Merchants
Savings Bank, Lone Tree;
Vice President—Keith A. Jones,
vice president and cashier, Unibank
& Trust, Coralville.
Secretary—Carol J. Tomash, as­
sistant cashier, First Trust & Sav­
ings Bank, Oxford, and,
Treasurer—James R. Schultz, ex­
ecutive vice president, Hawkeye
State Bank, Iowa City.

Akron Merger Announced
Harold Harms, president of the
Akron Savings Bank, and James M.
Hongslo, president of the First Na­
tional Bank of Akron, have announced
that the First National Bank will
purchase the assets of the Akron
Savings Bank.
The two banks will then merge in­
to one under the ownership and di­
rection of the First National Bank.
This agreement is subject to regula­
tory approval, which is expected to
GETTING together after Monday night’s Cattle Feeders Banquet at Lakeshore Country
Club are Tom Whitson, president of the sponsoring Council Bluffs Savings Bank, Nikki take place before March, 1983. First
Rath of rural Treynor, who was honored for showing the Reserve Grand Champion Beef at National will have combined assets
Westfair, and Owen Darrington, Underwood area farmer.
of $29 million.

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis


Tb correspondent banking
services a t A m erican
T tu st and Savings
When it comes to correspondent banking,
American Trust and Savings takes the cake.
In todays economy individuals and
businessmen alike look to their bankers for
inflation-fighting programs, money-saving
plans and many special services. Yet you
might feel unable to serve all those special
If so, help yourself by calling American
Trust and Savings. Our Correspondent
Banking Team and Trust Department cuts
through the confusion surrounding
correspondent banking services. And Bernie
Miller has the recipe for success. Caill

Over-line loan participation
Depository for excess funds
Bond investment counseling
Domestic and foreign wire
transfer of funds
Currency and silver procurement
ACH (Automatic Clearing House
Cash letters
Custom HR-10s
Keogh prototypes
Corporate profit sharing plans
Tax shelters
Unincorporated pension plans


Bernie Miller,
Correspondent Banker


3 1 9 /5 8 2 - 1 8 4 1 .

A m e r i c a n / » T r u s t t> S a v i n g s D a n l ^

The Benk^of Opportunity
Town Clock Plaza, Dubuque, Iowa 52001 • 319/582-1841
Federal Reserve Bank of St. Louis

Member FDIC and FRS
Northwestern Banker, December, 1982


Iowa News

NABW State Chairman
Speaks to Northeast Group
Ruth Willits, state chairman of
the National Association of Bank
Women, Inc., was guest speaker at
the October 28th meeting of the
Northeast Iowa Group of N ABW in
Maquoketa. Mrs. Willits, vice presi­
dent, Northwest Bank and Trust,
Davenport, spoke on the educational
programs and scholarships available
on both the regional and state level
through NABW. She also reported
on recent structural changes in the

organization as a result of the Na­
tional Convention held in Los Ange­
les in September.
Following the dinner meeting, a
film and module on “ Delegating”
was presented by Kay Fulrath, as­
sistant vice president, Merchants
National Bank, Cedar Rapids.
Recently installed officers of the
Northeast Iowa Group are Chair­
man Marguerite Stoll, vice presi­
dent, Citizens Savings Bank, Anamosa; Vice-Chairman Patricia Lat­
imer, second vice president, Amer­
ican Trust and Savings Bank, Du-


Tom Pohlman
Northwestern’s Correspondent Banker
Is On Your Side!
712/ 252-4141

Of Sioux City
An Affiliate of Northwest Bancorporation


Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis


buque; Secretary Elaine Ott, assis^
tant vice president, Peoples Bank
and Trust, Cedar Rapids, and Trea­
surer Marcia Bair, assistant cashier,
Mount Vernon Bank and Trust.

J. Harold Sears Retires.
J. Harold Sears retired October
30 from his position as district direc-^
tor of the Small Business Admini­
stration in the Cedar Rapids district
office. He had been associated with
the SB A since
1972 when he
was named Des
Moines district
transferred in
1980 to a similar
post in the Low­
er Rio Grande
Valley district
office in Harl­
ingen, Tex, reJ.H. SEARS
turning from that position to Cedar
Rapids in 1981.
After receiving his BS degree in
Commerce in 1938 from the Univer­
sity of Iowa, Mr. Sears became a
management trainee at First Trust
and Savings Bank in his native city
of Davenport. From 1942-63 he was
accounting department manager and
later treasurer of Red Jacket Man­
ufacturing Company in Davenport.
He moved to St. Paul, Minn., in
1963 where he was appointed comp­
troller and later assistant treasurer
of Rodman Industries, Inc. He left
that firm in 1972 to join the SB A in
Des Moines.
Mr. and Mrs. Sears plan to con­
tinue their permanent home at 1909
79th Street in Des Moines.


tell your bank to get lost.
You know the feeling. You phone your big-city downtown bank and you’re put on “hold'.'
Your calls go unanswered. Your request for an overline participation is “still being reviewed’.’
Obviously, your own bank’s needs have become less important as your downtown
bank has gotten bigger. You're getting lost in the shuffle of big bank business.
Changing banks and switching your account really isn’t a major hassle. If your big-city
downtown bank isn’t doing a full-time job for you, fire them and hire us. Instruct your
present correspondent to wire transfer the balance in your account to Drovers Bank
of Chicago.
Here's where you’ll get responsive, meaningful attention and service every working day.
Quick decisions, fast response. At Drovers Bank, correspondent banking isn't just a sideline
activity. We're one of the ten largest correspondents in Illinois, and it’s our bread and
Call me, John Crotty, toll-free at 800-621-8991 (in Illinois, 800-572-2498). Here is
where you’ll find yourself. And find the kind of responsiveness, dedication, and attentive
service you've been looking for in a correspondent.

Member, Cole-Taylor Financial G ro u p — Independent Banks W orking Together
Member Federal Reserve System and F.D.I.C.
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


Iowa News

tion to investing in U.S. Goverr#
ment securities.
Mr. Westcott commented, “The
Iowa Liquid Assets Fund was or­
ganized to attract back to the state
some of the $1.6 billion dollars tha^
has been siphoned out of Iowa banks
by the large eastern-based money
market funds. Those funds invest
their money in the obligations of th
country’s largest banks and indu
trial concerns and very little of the
money finds its way back to Iowa.
This hurts the state by reducing
funds available to finance the low
Mr. Westcott said there are
THE Granger Office of the Brenton State Bank of Dallas Center has received special
recognition in two recent competitions of the American Institute of Architects. The bank 118,000 Iowans who have invested
was singled out in the 1982 Iowa Honor Awards Program and also in the 1982 Regional in the eastern MMMFs. He said the
Honor Awards Program, involving five states—Neb., Iowa, Kan., Okla. and Mo. The bank Iowa Liquid Assets Fund interes
was applauded for the integration of a residential setting exterior with a bank function in­ yield will fluctuate with market in­
terior. Many local people have assumed the structure was a remodeled home, rather than a
terest rates but is expected to be
new building, which has a two-story exterior and a one-story interior. It was designed for
comparable to the return offered by
generous daylight by Charles Herbert & Associates of Des Moines.
other money market funds. Some of
those investors from Iowa apparent­
Des Moines-Based M M F
which will advise the fund on its in­ ly have switched their interest in
To Buy Iowa Bank Loans
vestment, said banks will continue money market funds to ILAF for it
The Iowa Liquid Assets Fund to service loans sold to the fund and placed more than $3 million of funds
began operation early last month as agree to repurchase the loan on in its first three weeks of business,
the state’s first money market fund short notice in the event fund share­ Mr. Westcott said. The Fund’s goa1
of its kind and will invest up to 80% holders wish to cash in their shares. is $100 million, he added.
of its assets in loans originated by He said the fund also will purchase
ILAF will buy commercial, indus­
Iowa banks. Richard Westcott, pres­ federally insured student loans from trial and ag loans exclusively from
ident of Iowa Investment Advisers, Iowa banks on similar terms in addi­ Iowa banks, he noted. The banks
guarantee the credit, service thuloans for up to 300 basis points fee,
and agree to repurchase the loans on
short notice. “ This frees up millions
in funds for Iowa banks to reinvest
in loans,” Mr. Westcott said.
Mr. Westcott’s business back­
ground has been in banking, invest­
ments and industrial financial man­
agement. A native of Burwell,
Nebr., he was graduated from the
University of Nebraska in 1955 with
a BA in Business Administration,
then obtained his MA from Harvard
in 1957. From that year until 1961
he spent four and one-half years in
the government and tax-exempt
bond department of First National
Bank of Chicago. In 1961 he joined
Hayden, Stone, Inc. investment
firm in its Chicago office, late
transferring to New York.
He returned to Nebraska in 1964
as one of five founders of Nebraska
Securities, Inc., which was a spin­
out of the Old First Trust Co. That
firm later became First Mid Amer­
ica. As executive vice president and
director, Mr. Westcott headed up
the firm’s corporate finance ac­
tivities. During his years with First
Mid America, Mr. Westcott was on

Committed to
making your
bank stand
apart from the

for FRASER Banker, December, 1982
Federal Reserve Bank of St. Louis

Iowa News

he board of 10 clients, and was a
member of the Board of Trade and
Chicago Mercantile.
He resigned that post in 1974 to
become president of Wheeler Stores,
wd chain of 50 discount farm stores in
the midwest. That company was
merged two years later with Peavey
in Minneapolis, and later merged inJ;o ConAgra. From that post, Mr.
Westcott moved to Des Moines as
president of Mid-Continent In­
dustries, whose principal sub­
sidiaries were Mid-Continent Bot­
tlers (7-Up) and Tone Bros, spices.
re served as president of the firm
five years, and following its merger
with Universal Foods he joined
Hawkeye Bancorporation, working
here two years as head of the finan­
cial services group, which handles
all non-banking activities.
Mr. Westcott headquarters in the
Stephens Building, Des Moines, and
ntends to direct Iowa Liquid Assets
Fund to serving Iowa banks.

Hawkeye-Capital, Des Moines
Wins Iowa Corporate Run
The 2nd Annual Iowa Corporate
Run, sponsored by the American
Lung Association of Iowa, was held
recently at Jester Park, Des Moines,
'ver 400 participants from 27 dif­
ferent corporations entered the com­
Winning the Class A 2-mile run
for corporations under 250 employ­
ees was Hawkeye-Capital Bank &
Trust, Des Moines. Hawkeye-Capital’s six member team won the
event by finishing closest to their
pre-race estimated times. Team
lembers were Bob Baudler, David
Pike, Greg O’Hara, Kirk Weaver,
Ted Economos and Jim Koster.



What’s new
in correspondent banking?
At Valley National Bank it’s our new
vice president and head of our Cor­
respondent Banking Department...
Mark Christen.
Whenever your bank has a need
for any correspondent banking service,
Valley Bank’s Mark Christen responds.
He's always ready to serve your needs
in person or over-the-phone, providing
you with Valley Bank’s kill range of
correspondent services, from overline
assistance to transit services.
You can rely on Mark Christen to
respond...professionally and quickly. He’s
the new dimension we’ve added to cor­
respondent banking at Valley National
Bank, and his eagerness to respond to
your needs is the dimension that sets
us apart.


Hawkeye-Capital Bank & Trust runners
display the trophy for winning the Class A
2-mile event for the 1982 Iowa Corporate
Cup Run. L to R: (kneeling) Ted Economos
and Kirk Weaver; (standing) Greg O’Hara,
Jim Koster, Bob Baudler and David Pike.
Federal Reserve Bank of St. Louis

Valley National Bank m



Call toll free (800) 622-7262
Northwestern Banker, December, 1982


Iowa News

| i 11111 1
■ I ■ ; ■■ I ■


A* ’

LEFT—James Struve, IBA Consumer Lending Committee chmn. and v.p., Merchants Natl., Cedar Rapids, poses with Wes Ehrecke, IBA dir.
of gov’t, relations and mktg., and Senators Calvin O. Hultman (R), Senate Majority Leader, Red Oak, and Lowell Junkins (D), Senate Minori-j
ty Leader, Montrose. RIGHT— Randy Steig, IBA exec, dir., seen with conference speaker Robert Georgeson, exec, v.p., First Natl. Bk. off
Lawrence, Kan., and James Struve.

Bankers meet in Des Moines to discuss:

Consum er Lending/Retail Banking
Associate Editor
HE 1982 Iowa Bankers Associa­
tion Consumer Lending Confer­
ence—formerly Retail Banking Con­
ference—was held November 3 & 4
at the Des Moines Hyatt.
The first speaker of the morning
to address the group was Robert
Georgeson, executive vice president,
First National Bank of Lawrence,
Kan., who spoke on “ The Future of
Retail Banking.” In trying to define
“retail banking,”
Mr. Georgeson has developed his
own definition of retail banking
which he shared. “ I define retail
banking as being th e p r o v id in g o f
c o n su m e r financial services. Notice
I didn’t say c o n su m e r ban kin g ser­
v ic e s —but c o n su m e r financial ser­
vices. Banking services are only one
aspect of the total financial services
required by individuals.”
“ Looking at the past, commercial
banking, indeed, is clearly on the
threshold of a new era. For nearly 50
years, bank managers have been
able to depend on three major staturoy and regulatory pillars: 1) limits
on the costs of funds, i.e., maximum
savings rates were regulated —
regulation Q — we didn’t have to
price; 2) an exclusive offering of ma­
jor products — no one else could of­
fer them; and finally 3) a protected
geographic franchise — no free en­
“ But — all of that is rapidly
changing now. There are a number
of developing forces that promise to
erode, it not completely eliminate,
the traditional foundations of the
commercial banking industry as we
have known it. In fact, the entire
financial services industry is under­


Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

going an evolutionary, if not revolu­
tionary, change.
“ There were many broad changes
in the economic, social, regulatory,
legislative and technological envir­
onment in the 60’s and 70’s. Such
changes are shaping up at a more
rapid pace in the 80’s. As bankers
we must identify these many changes
in the environment and involve our­
selves in research and marketing
programs to develop the products
that will appeal to the emerging con­
sumer profile.”
In closing Mr. Georgeson stated,
“ We all understand that bankers are
on the brink of a new competitive
era. We must plan to cope in a varie­
ty of ways using research, planning,
training programs, managing our
staff capabilities, marketing, man­
aging the interest rate risk and in­
novation. But most of these boil
down to just one thing—p r o fe s ­
sion alism . We must be professional
“ That means we are updated: we
know all about, not only our own
products, but about our competi­
tors’ products — both financial and
non-financial institutions. It means
that we operate with awareness. We
must be continually aware of who we
are, what we should be doing, and
where we are going. It means that
we are sales people, because we are
going to be competing daily with
other people who are totally profes­
sionally trained and sales oriented.
“ Finally, to attain p r o fe s s io n ­
alism as bankers, we will have to
deal with the p e r c e p tio n as well as
the rea lity because from the cus­
tomer viewpoint, the p e r c e p tio n is
the reality. If our customers per­
ceive our banks to be: the biggest,
the safest, the best, the most knowl­

edgeable, the friendliest, the most
aggressive— as banks with profes­
sionalism-then we will be all
these things and we will prosper as
retail bankers in the emerging en­
The afternoon consisted of round
table discussions, and conclude!
with a legislative panel moderated
by Wes Ehrecke, IBA director of
government relations and market­
ing, and consisting of Senators
Calvin O. Hultman (R), Senate Mai
jority Leader, Red Oak, and Lowell'
Junkins (D), Senate Minority Lead­
er, Montrose.
Thursday morning’s session heard
Marcia Sullivan, general counsel!
Consumer Bankers Association,
Washington, D.C., inform bankers
of what the Garn-St. Germaine Bill
all entails, and how its going to af­
fect the banks. She also discussed!
the bankruptcy reform the con­
sumer bankers association has been
working on — the most important
reform being to have future pay^
ments considered when bankruptcy
is declared.
The rest of the morning was de­
voted to a two-part demonstration
of “ Asset Liability Management,”
or more simply “profit planning,’’
given by Jim Vining, president and
chief executive officer of Vining
Sparks Securities, Inc., Memphis,
Through overhead charts and a*
handout, Mr. Vining mechanically
went through analyzing an example
bank’s balance sheet; defining the
problems and how to protect you^
net interest margin; how to build a1
strategy, and finally implementing
that strategy, stressing that “you
need to pick a strategy and stick
with it.”
The conference concluded with a"
joint banker/spouse luncheon.


Let Dwaine Stinger, Vice
President, or Roma Kroll,
Assistant Vice President,
show you how their experi­
ence can help you get fast
action in handling Federal
funds transactions, money
transfers, security purchases
and sales.

G a ry


Joe Broders

Vice President
Correspondent Banking

Correspondent Banking

7 1 2 -2 7 7 -0 6 1 8

7 1 2 -2 7 7 -0 6 1 3

C hoose one o f our services or as many as you need:
Y ou get an accurate, efficient system for
obtaining the best availability of your funds to
help increase the profitability of your bank.
You get a full range of loan services including
overline and liquidity loans, assistance with your
ag loans, commercial loans and others.

You get a total program for both MasterCard
and Visa that includes card issuing, processing,
corporate cards, account servicing and assis­
tance with merchant calls. And you get the
geographic advantages of being closer to your
Bank Card Center.

You get an entire department of Trust professionals
to assist you in meeting your client’s needs.
You get the speed and efficiency of the Banks
of Iowa computers, plus the most successful
EFTS/Instant Access processor in the territory.
You get our guarantee that whether you need a
specific service, or just an idea or two, First
National is always ready to help.


First National Bank m

MEMBER FDIC • 712-277-1500 • Sioux City, Iowa 51101 • A ‘BANKS OF IOWA’ BANK
Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982

NUMBER of promotions and
personnel changes were recently
announced by George F. Milligan,
president and chief operating officer
of the Iowa-Des Moines National
William F. Landholt, senior vice
president, construction and mort­
gage lending, will retire on March
30, 1983. He joined the bank in 1962
in the instalment lending depart­
ment and was named to his current






post in 1981. Mr. Landholt will be
succeeded by Gary E. Giesler, vice
president. Mr. Giesler joined the
bank in 1977 in the lending division.
He transferred to the commercial
banking division in 1978.
Keith W . Savery has been pro­
moted to vice president of the con­
troller’s department. Mr. Savery
joined in 1974 as an auditor and was
later named senior accounting of­
ficer in 1981.





Roger H. Dahlstrom, vice pres?
dent of human resources, has been
promoted to human resources man­
ager. He will be replacing Will C.
Smith, who has been named tl
regional human resources executive
for Northwest Bancorporation. Mr.
Dahlstrom has been with the bank
since 1975, having been named vice
president in 1980.
In the marketing division, Deb­
orah L. Ganzel was elected vice
president and Kathleen S. Forst has
been elected to officer status. Ms.
Ganzel most recently has been sena
ing as second vice president, having
joined the bank in 1978. Ms. Forst
joined the bank as a marketing re­
presentative in 1980.
In retail banking, William Wj^
Davis, vice president, has been named
retail banking manager and will as­
sume responsibility for all five IowaDes Moines retail banking locations.
He joined the bank in 1972 and ha<
held various management positions.
Named retail banking officers
were: Nancy J. Meadows, Euclid of­
fice; Stanley L. Fleming, Douglas of­
fice, and Janet M. McFarland, For(
Des Moines office. Miss Meadows
joined the bank in 1975; Mr. Flem­
ing began his career in 1978, and
Ms. McFarland joined in 1976.
Elected as second vice president
were: Dennis A. Brown, area office
manager, with responsibility for the
Douglas, Euclid, Urbandale and
Fort Des Moines offices; Randall L.
Wade, Euclid office, and Christint
A. Miller, Douglas office. Mr. Brown
started with Iowa-Des Moines in
1974. Mr. Wade began in 1976, serv-





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Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis











Federal Reserve Bank of St. Louis

Northwestern Banker, December, 1982


Iowa News

Des Moines AIB Honors M anagem ent

MORE THAN 350 persons attended the Annual Management Appreciation Banquet hosted
last month by the Des Moines Chapter of AIB. Guest speaker for the event was Thomas R.
Smith, president of Fidelity Brenton Bank & Trust Co., Marshalltown, who has just com­
pleted a one-year term as nationwide chairman of the ABA American Institute of Banking.
Following his address, Richard P. Pratt, senior vice president of Warren County Brenton
Bank & Trust Co., was honored with a plaque as Outstanding Bank Manager of the Year.
Pictured above at the ceremony are, from left: Mr. Smith; Mr. Pratt; Bill Greaves, v.p., United
Central Bank, Des Moines, who is also vice pres, of AIB Region V, and Kent Gaudian, asst,
oper. off., West Des Moines State Bank, pres, of Des Moines AIB Chapter.

ing most recently as manager of the
Euclid office. Ms. Miller joined in
Named as operations officers
were: Ted A. Bowen, Linda Berg,
Frances V. Colston and Linda M.
Gibbs. Mr. Bowen, who was named
manager of deposit accounting this
year, joined the bank in 1975. Ms.
Berg has been with the bank since
1975 in the operations division. Ms.
Colston joined in 1981 and was named
manager of deposit accounting and
electronic banking services in 1982.
Ms. Gibbs joined in 1979 and has
held various positions in the retail
banking division.



United Central Bank of Des
Moines, N.A., has announced that
Gary L. Lasche', controller, Judith
J. Bartlett, trust operations officer,
and Michael E. Fuson, operations of­
ficer, have graduated from the
School of Bank Administration.
Mr. Lasche', Ms. Bartlett and Mr.
Fuson were among five hundred
bankers who completed the three
year program of advanced studies
held at the University of Wisconsin,
Madison. Mr. Lasche' was one of on­
ly seven to graduate with high

for FRASERBanker, December, 1982
Federal Reserve Bank of St. Louis

Robert A. Baudler has accepted
the position of vice president, com­
mercial loans, at Hawkeye-Capital
Bank & Trust, and Alan J. Rivers
has joined the bank as a commercial
loan officer.
Mr. Baudler, who joined Hawk­
eye-Capital a month ago, has served
in several capacities in Hawkeye
Bancorporation over the past nine
years. He worked at State Bank &
Trust in Council Bluffs before
becoming manager of the company’s
credit card center in 1977. He
transferred to Commercial State
Bank in Marshalltown in 1979,
where he worked in all areas of the
loan department.
Mr. Rivers brings to HawkeyeCapital 10 years of experience with
Household International, most re­
cently in a supervisory role over a
three state area.

She will have responsibility f
receiving loan documents, collateral
information, financial statements
and all correspondence and data re­
lated to overlines. Mrs. Foxhoven
also will have direct contact wit"
correspondent banks regarding ac­
count status, bank call reports, an­
nual statements of condition, as well
as being involved directly with cor^
respondent officers in the oper'
tional relationship with customer
Mrs. Foxhoven joined United Cen­
tral in 1973 and has been in the cor^
respondent bank department sine
1976. She completed the business
course at Area XI Community Col­
lege and a number of AIB classes.



Stephen F. Sherrod was recently
appointed vice president/loan ad­
ministration of Banks of Iowa, Inc.,
according to Holmes Foster, presi
dent and chief
executive officer.
A native of
Phoenix, Arix.,
Mr. Sherrod is a
graduate of Iowa
State Universi­
ty, where he ma­
jored in indus­
trial administra tio n /m a rketing. He was
most recently loan administration
officer of United Central Bancshares, Inc., Des Moines, Brento
National Bank of Des Moines, and
credit manager of DICO Company,
Des Moines.



Officer changes at United Central
Bancshares, Inc., were announced
recently by Kenneth M. Myers, pres­
* * *
ident and chief executive officer.
Richard McGinnis has been elec
Margo Foxhoven has been promo­ ted vice president, marketing.
ted to operations assistant in the
Mr. McGinnis had served as assis­
correspondent bank department at tant director of the marketing divi­
United Central Bank of Des Moines, sion of the American Bankers Asso­
N.A., according
ciation, Washington, D.C., for a yea
to Ivan L. John­
and a half. Prior to joining the ABA,
son, senior vice
he was associated with First Vir­
president. Mrs.
ginia Banks for seven years and
Foxhoven will
spent the last five years in various
assist officers of
marketing capacities, with his last
the department
position as head of the holding com­
with operational
pany’s marketing and advertising
transactions and
other dealings
In this newly created position at
with corresponM. FOXHOVEN
UCB, Mr. McGinnis will have mar­
dent banks.
keting responsibility for the com-


“Everything To Gain — Nothing To L ose!”
Sounds like a bunch of worn-out ad slogans. But in the
SURANCE PROGRAM, they are perfectly valid
SAFETY GROUP program that has the potential of
reducing your bank’s costs very dramatically.
The most you would ever pay is your normal premium
- L ess the usual IBIS dividend. An imm ediate
premium savings!
Then, based on the overall loss experience of the
group, the plan can pay *dividends back to your bank
as follows:




‘ Dividend
assume a
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C o n ta c t AI T in d e r or M e rritt Krause fo r d e ta ils

Iow a B ankers Insurance & Services, Inc.
400 Financial Services Building
508 Tenth Street
Des Moines, Iowa 50308
(515) 286-4300
Call our toll FREE W A T S number 1-800-532-1423

Sound Too Good To Be True?
Federal Reserve Bank of St. Louis

It Is True!
Northwestern Banker, December, 1982


Iowa News



pany’s 12 Iowa banks, as well as the
other non-banking affiliates.
Other officer changes at UCB in­
clude the election of Steven Allen as

loan review officer and Michael
Sharp as audit manager.
Mr. Allen had served as vice presi­
dent and head of the commercial
loan department at Hawkeye-Capital Bank & Trust Company. Prior to
joining that bank, he was associated
with the Iowa Department of Bank­
ing from 1971 to 1979.
Mr. Sharp was a staff accountant
with McGladrey, Hendrickson &
Co., Mason City, for three years. He
graduated from Mankato State Uni­
versity in 1979, with a BS in accoun­
ting and business administration.

N o w A v a ila b le — 1982 S U P P L E M E N T to:


Iowa Title Opinions and Standards
by Attorney George F. Madsen
This first supplement to Marshall’s IOWA TITLE OPINIONS AND STAND­
ARDS (Second Edition)* was prepared by Attorney George F. Madsen, Sioux
City, to update and, where needed, expand the text of the parent volume.
Changes in statutes are noted and significant court decisions discussed. A new
section on Bankruptcy Law has been added as a guide to examiners confronted
with the task of identifying those basic requirements which will assure a title
passing through a bankruptcy proceeding is marketable.
Appendices in the supplement include tables of statutory references, a table of
cases, and a new table which provides a convenient listing of the due dates of
installment payments on real property taxes.
(© 1978, 6 "x 9 " hardbound volume, 710 pages) brings to date the 1963
volume by the late Jesse E. Marshall. This practical volume contains
materials intended to aid the reader in analyzing day-to-day problems
encountered in the handling of title and real property matters. The Fifth
Edition of the Iowa Land Title Examination Standards (1974) is set forth in
full in an Appendix, along with explanatory footnotes by the author. Other
helpful materials in the Appendices include: Coverage of prior editions of
Title Examination Standards; Attorney’s checklist for real estate sales;
Tables of measures; and Land descriptions.

The Allen Smith Company

1435 North Meridian Street
Indianapolis, IN 46202
□ Send_____copy(ies) 1982 SUPPLEMENT only, $16.50 each.
□ Send_____copy(ies) BOUND VOLUME (with 1982 SUPPLEMENT), $45 each.
It is understood the books may be returned within 30 days for full credit or refund. If retained,
please forward future supplements as issued unless otherwise advised.



Joins Hills Bank
James G. Pratt has joined I
Bank and Trust Company
A 1970 accounting graduate fro
the University of Iowa, Mr. Pratt,
CPA, has been with McGladrey Hen­
drickson & Co. in their Iowa City of­

EMC Insurance Posts
28% Gain for 3 Quarters
Net income after taxes for EMC
Insurance Group, Inc., Des Moine.*
for the third quarter of 1982 amoun­
ted to $1,178,000 compared with
$919,000 for the same quarter a year
ago, a 28% increase.
Income per share, primary, weL
twenty-four cents ($.24) in the three
months ended Sept. 30, 1982, com­
pared with nineteen cents ($.19) for
the like period in 1981.
For the nine months ended Sep
30, net income after taxes was
$3,363,000 — or sixty-eight cents
($.68) per share, primary — in 1982,
compared with $2,752,000 — sixtjjfive cents ($.65) per share — in 198^

Acorn P rin tin g ..................................................................... 10
American Express Travelers C h e q u es............................ 3
American Trust & Savings Bank, D ubuque...................... 67
Associates Commercial Corp......................................
Bank of A m e ric a .......................................... i ................... 14
Bankers Trust Co., Des M o in e s .........................................58
Commercial National Bank, P e o ria ................................... 24
Continental Bank, C h ic a g o ............................................... 11
Daktronics ........................................................................... 1
Drovers Bank of C h ic a g o ...................................................


F & M Marquette National Bank, M inn e a po lis................. 33
First Mid-America, Inc.......................................................... 52
First National Bank, C h ic a g o ............................................ 9
First National Bank, L in c o ln ............................................. 55
First National Bank, M inn e a po lis..................................... 26
First National Bank, O m a h a ............................................. 51
First National Bank, St. P a u l........................................ 34-'
First National Bank, Sioux C it y ..................................
Gross, Kirk Co., W a te rlo o ................................................... 75
IntraWest Bank of D e n ve r................................................. 4~
Iowa Bankers Insurance & Services, Inc............................7
lowa-Des Moines National B a n k ....................................... 7
Kooker, E.F. & A s s o c ia te s ................................................. 7
Lincoln Benefit L ife ......................................................
Merchants National Bank, Cedar R a p id s..................
Midland National Bank, M inn e a po lis............................... 2
National Bank of Commerce, L in c o ln ............................... 5
Northwestern National Bank, M in n e a p o lis..............
Northwestern National Bank, Sioux C it y ......................... 6
Office Concepts, W a te rlo o ..........................................
Omaha National B a n k ................................................... 38-3

Ordered by__________________________
(NOTE: If shipment and invoice are to be sent to different individuals, or addresses, please provide full

__________Check enclosed $__________ - postage/handling prepaid.
__________Charge, plus postage/handling, payable 30 days from receipt of shipment.

Security National Bank, Sioux C it y ................................... 5
Smith, Allen Co., In d ia n a po lis........................................... 74
Southwestern Grad. School of Bkg....................................1
UCB Leasing Corporation, Des M o in e s ......................... .61
United Central Bank, N.A., Des M o in e s ...................... : ,71
United Missouri Bank, Kansas C ity ............................
United States National Bank, O m a h a ............................... 4
Valley National Bank, Des M o in e s ................................... 6

Northwestern Banker, December, 1982
Federal Reserve Bank of St. Louis

The only bank
we work harder fi
than ours is


Promises don’t deliver results. Hard
work does.
Th a t’s why more than 4 0 0 banks
count on our skilled professionals for
total correspondent services.
But hard work is just part of it.
We back that up with comprehensive
computer capabilities. International

banking connections. Sophistical
bankcard services. And sheer
financial strength.
For any correspondent need yd
might have — large or small — yc
can count on results from the har
working correspondent bank in l





Member FD1C An Affiliate of Northwest Bancorporation (BANCO)
7th & Walnut, Des Moines, Iowa 5 0 3 0 4 (515) 245-3131

Bernie Kersey Bob Buenneke Dennis Nahnsen Garry Frandson Tom Quinlin
Federal Reserve Bank of St. Louis

Mark Conway Dorothea Wolfe


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Over 194 Iowa financial
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o i f a new facility, put tne responsioni^ anu
Worrying in the hands of the TURN KEY pro­
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Federal Reserve Bank of St. Louis

If you’d like to know what other bankers know
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P.O. Box 2097
Waterloo, Iowa 50704