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https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis An Effective Combination T h e c o m b in a tio n o f a fa v o ra b le lo ca tio n , years o f e x p e r ie n c e and an e x te n siv e n etw ork o f c o r re sp o n d en t a cco u n ts, e n a b le s th e M erchan ts N ation al B ank o f Cedar R ap id s to re n d e r q u ick and efficien t c o r re sp o n d en t serv ice to ban k s th r o u g h o u t Iowa. Y ou r a cco u n t h ere w ill he m o st w elco m e. v? o A CEDAR RAPIDS BANK Ÿ V' Vf Vf SERVICING ALL IOWA MERCHANTS NATIONAL BANK V V Vf OFFICERS J ames E. H amilton , C h a irm a n S. E . Coquillette, P re s id e n t H. N. B oyson, V ice P re s id e n t Roy C. F olsom, V ice P re s id e n t Mark J. Myers, V. P re s. & C ash ier George F. Miller, V. P re s . & T r. Officer Marvin R. S eldein, V ice P re s id e n t F red W . S mith , V ice P re s id e n t J ohn T. H amilton II, V ice P re s id e n t R. W. Manatt , A sst. C ash ier L. W. B roulik, A sst. C ash ier P eter B ailey, A sst. C a sh ie r R. D. B rown, A sst. C a sh ie r 0 . A. Kearney, A sst. C a sh ie r S tanley J. Mohrbacher, A sst. C ash ier E . B. Zbaneik, B uilding M a n a g e r Cedar Rapids M ember Fe d e ra l D eposit In su ra n ce Co rp oratio n N o r th w e s te r n B a n k e r, p u b lis h e d m o n th ly b y th e D e P u y P u b lis h in g C o m p a n y , I n c ., a t 527 7 th S tr e e t, D e s M o in e s , Io w a . S u b s c r ip tio n , 35c p e r co p y . $3.00 p e r y e a r. E n t e r e d a s s e c o n d - c la s s m a tte r a t th e D e s M o in e s p o s t office. C o p y r ig h t. 1941. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis V/ V/ 3 Our highly trained, experienced personnel is always willing to go far beyond the ordinary line of duty in rendering a complete, up-to-the-minute correspondent service. "9oiucili tytuesuiL f, /ia rJ z" CENTRA! NATIONAL BANK AND TRUST COMPANY M E M B E R F E D E R A L D E P O S I T I N S U R A N C E C O R P O R A T I O N N orthwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl 4 THE C H A S E NATIONAL BANK OF THE C I T Y OF N E W Y O R K Statement o f Condition, December 31, 1940 RESOURCES C a sh and D u e fr o m B a n k s ............................................................................. $1,672,535,043.37 U. S. Government Obligations, direct and f u l l y guaranteed State and M unicipal Se c u r it ie s .................................................... S to c k of F ederal R eserve B a n k ..................................................... O t h e r S e c u r i t i e s ............................................................................................ L oans, D iscounts 1,098,107,661.27 131,015,063.03 6,016,200.00 173,132,797.85 B ankers’ Ac c e pt a n c e s .......................... 664,189,467.87 B a n k in g H o u s e s ................................................................................................... 3 5 ,3 0 2 ,4 3 0 .5 4 Other R eal E s t a 7,370,349.59 10,379,106.94 15,987,575.78 10,367,650.56 and te ......................................................................... M o r t g a g e s ............................................................................................................... C u s t o m e r s ’ A c c e p t a n c e L i a b i l i t y ........................................................ Other As s e t s ......................................................................................... $3,824,403,346.80 LIABILITIES C a p it a l F u n d s : C a p it a l S t o c k .................................................................. $100,270,000.00 Su r p l u s ............................................................... U n d iv id e d P r o f i t s .......................................... 100,270.000.00 36,212,199.17 . $ 236,752,199.17 5,180,000.00 11,271,350.40 1,396,654.73 3,543,337,564.42 17,854,436.92 230,671.42 O t h e r L i a b i l i t i e s ............................................................................................ 8,380,469.74 D iv id e n d P ayable F eb r u a r y 1, 1941 ............................................... R ese r v e fo r C o n t i n g e n c i e s .......................................................................... R ese r v e fo r T a x e s , I n t e r e s t , e t c .............................................................. D e p o s it s .............................................................................................. A c c e p t a n c e s O u t s t a n d i n g .......................................................................... L ia b il it y as E n d o r ser o n A c c e p t a n c e s a n d F o r e ig n B il l s . $3,824,403,346.80 United States Government and other securities carried at $181,325,330.00 are pledged to secure public and trust deposits and for other purposes as required or permitted by law. Member Federal Deposit Insurance Corporation N orthwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M Extended Coverage was always here— practi cally in our midst. But it took Agent Brown to point out how inexpensively it adds seven vital coverages to the fire policy. That’s when “ Jonesy”— Vice President Jones— concluded that all properties in the bank’s control are candidates for Extended protection. Here’s the story: ■miiniM m«» iiihiiwm iPiil O u r Real Estate CornA g en t Brown claim ed t h a t th e C o ve rag e m it t e e Ex te n d e d En d o rse ment m-u-l-t-i-p-l-i-e-s p r e c io u s a b o u t th e freq u ent outcrop h a za rd . p r o p e r t y p ro te c tio n at e x p re sse d co n ce rn of Jo n esy g o t m y s ig n a l a n d lit t le a d d e d cost. sta rte d o ff on E x te n d e d C o v e rag e . Now e v e r y t h i n g 's fine. W ithout a mur m ur th e C o m m itte e p a ssed on the slight extra cost for m-u-l-t-i-p-l-i-e-d p ro tection. EXPLOSION Banks a n d borrow ers p le a se n o te : It costs v e r y li t t le m o r e to c o m p le te y o u r p r o t e c t io n b y a d d in g VEHICLE DAMAGE f WINDSTORM | SMOKE & ^ MUDGE AIRCRAFT DAMAGE RIOT ljaii the Exten d ed C o v e r age En d orsem ent to the fire p olicy. INSURANCE COMPANY F I R E —A U T O M O B I L E —MA R I N E https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and AL L I E D LI NES OF I NSURANCE kli "li, BT BUSINESS AMERICA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis La M onte Safety Papers h a v e re Papers is essential to g ood b u si ceived endorsem ent unparalleled n ess practice. » » D esirable, too, in the history of check protection. are the extra prestige and ad ver » » Here is a product, d evelop ed tising v alu e w hich result from a s 70 y ea rs a g o to safegu ard the sociatin g your organization with transfer of funds, that h as w on a product that is a recognized w id esp read recognition. » » Today lead er in its field. » » And if you it is specified for checks and oth desire the utmost in distinction, as er n eg o tia b le instrum ents by out w ell a s safety, your individual standing trade mark d esign m ay b e incor b u sin ess organizations from coast to coast, including more porated in the paper itself. » » We than 75% of the nation's 100 larg w ill b e g la d to send yo u sam p les est banks. The positive protection of the different La Monte Safety a g ain st alteration and counterfeit Papers, including sp ecial d esign s in g provided b y La M onte Safety for Corporations and Banks. GEORGE LA MONTE & SON N utley ........................................N e w Je r s e y / N O RTH W ESTERN , FEBRUARY 19 4 1 D ES M O IN ES FO RTY-SIXTH Y E A R NUM BER 643 Oldest Financial Journal West of the Mississippi River IN THIS ISSUE Editorials A cross th e D esk fro m th e P u b lis h e r............................................ ........................................ C LIFFO RD DE PUY Publisher R A L P H W. M O O R H E A D Associate Publisher H EN R Y H. H A Y N E S Editor 9 Feature Articles F ro n tisp ie c e ............ ....... ..................................................................................... ......................... S ix T h in g s I W a n t My B an k to Do fo r M e.............................................. R. V. H unkins N ew s a n d V iew s............ .............................................................................. Clifford De P u y N ow Is th e T im e to R evive In v e s tm e n t M a rk e ts ........ .............Emmett F. Connelly F a rm e rs A re R ead y to B u ild .................................. ............... ............................. K irk Fox L eg al D e p a rtm e n t— F e d e ra l Incom e T a x R e tu rn s ......................................................... W h a t B a n k M a n a g e m e n t C an Do to G et M ore C u sto m e rs........... .J. L. R afferty S u g g e stio n s f o r B e tte r O p eratio n of Y o u r T r u s t D e p a rtm e n t................................... Some P e r tin e n t P o in te rs on P ro p e r ty A p p ra is a l.......................... Joseph E. P erry 10 11 12 13 14 16 18 20 21 Insurance M y T h re e R ules f o r S ellin g A utom obile C o v erag e................................. H. B. Strom 23 J. STUART D A V IS Associate Editor 527 Seventh Street, Des Moines, Iowa Telephone 4-8163 • • NEW Y O R K O FFICE Frank P. Syms Vice President 505 Fifth A ve. Suite 1 202 Telephone MUrray Hill 2-0326 M IN N E A P O L IS O FFICE J. A . Sarazen Associate Editor Telephone Hyland 0575 Bonds and Investments T he M o n th ’s M a rk e t M a n e u v e rs............................................................ James H. Clarke D e a rth H ead s Io w a In v e s tm e n t B a n k e rs ............................................................................ P ic tu re s — Io w a In v e s tm e n t B a n k e rs A n n u a l M e e tin g _______ __ ___ ______ _____ N e b ra sk a In v e s tm e n t B a n k in g N ew s.................................................... ...... ......................... 31 34 35 37 State Banking News N e b ra sk a N ew s ............................................................... W h a t N e b ra sk a S ta te m e n ts S how ................. O m aha C le a rin g s .......................... ...................... L incoln L ocals ........................................................ S o u th D ak o ta N ew s.................................................... W h a t S o u th D a k o ta S ta te m e n ts S how .......... M in n eso ta N ew s ............................................................ W h a t M in n eso ta S ta te m e n ts Show ................. T w in C ity N ew s................................................... N o rth D a k o ta N ew s................... ................................... W h a t N o rth D a k o ta S ta te m e n ts S how ........ M o n ta n a N ew s ........... .................................................. Iow a N ew s ....................................................................... W h a t Io w a S ta te m e n ts Show ............................ G roups One a n d E lev en to M eet T h is M onth Iow a N ew s fro m H e re a n d T h e re .................... Des M oines N ew s................................................... A R e m a rk a b le F a m ily .......................................... ........................... ............................ ................. ...................... ........................... ........................... ........................... ........................... ............................ ........................... ........................... ........................... ......................... ........................... ........................... 39 39 41 43 45 46 47 48 52 55 56 57 59 62 64 J . A. Sarazen 65 ............................ 68 ............................ 70 The D irectors’ Room A F ew S h o rt S to rie s to M ake You L a u g h ............................................................................. 78 M EM BER Audit Bureau of Circulations Financial Advertisers Association https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Across the Desk From the Publisher The new defense program Defense Loan gives banks of the U nited Procedure S tates an o p p o rtu n ity for in creasing th eir loans. Obviously m any loans will have to be rejected fo r one reason or another b u t if so they should be reje cted w ith a smile and w ith definite reasons why. This is no tim e to antagonize good potential b o r row ers and have them say th a t the banks of the nation are not cooperating w ith them , especially so since th ere are so m any governm ent agencies in com petition. In suggesting definite procedures for banks in m aking n ational defense loans the New Y ork S tate B ankers Association m akes the follow ing sugges tion : “ Give full and careful consideration to all applicants fo r ‘defense lo an s.’ U ndertake every possible effort to m ake these loans bankable—if you are not in a position to extend the necessary credit, contact your correspondent bank. “ D o n ’t send a defense loan application out of your bank w ith a flat ‘N o ’. E xtend him your fu ll est co-operation in m aking the necessary in tro d u c tions and follow ing thro u g h w ith him all possible channels through which the credit m ight be ex tended. “ D o n ’t give any applicant cause or opportunity to wire his Congressm an th a t his local bank re fused him the credit necessary to fu lfill a con trac t, and fu rth e r did not extend its co-operation in p u ttin g him in contact w ith any other credit sources. “ K E E P COM PLETE RECORDS OF ALL ‘D E FE N S E L O A N S’ MADE OR R E JE C T E D .” If for any reason a loan is rejected let the en tire proceedings be such th a t the individual can not com plain to his Congressm an or tak e it up Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 w ith the R. F. C. and m ake it appear as if his local banker w a sn ’t w illing to co-operate. W ith the governm ent going alm ost to a com plete w ar basis, although we have not y et ac tu ally declared war, our entire economy has tak en on a different situ atio n because of our defense program . Inflation w hich any nation dreads is first brought about by a rise in bank credit w hich is followed by higher prices. A vicious increase in prices and wages should be prevented by all means. One prom inent financial in stitu tio n in a recent statem ent said: “ It is a serious m istake to su p pose, as is sometimes done, th a t price levels get out of control only a fte r public credit breaks down and governm ents are forced to finance them selves by p rin tin g new money. This is not the w ay w ar-tim e inflation ord in arily takes place under m odern conditions. It is the rise in b an k credit th a t occurs first and is followed by higher prices. Only when the higher prices cause a sh o rt age of currency for hand-to-hand use does the ‘p rin tin g -p re ss’ phase of the m ovem ent begin. “ If in d u stry and labor exercise the necessary degree of vo lu n tary re strain t, and if the broad powers at the disposal of the G overnm ent are used w ith sufficient prom ptness and decision, it should be possible to prevent, or at least to lim it, the developm ent of the vicious price and wage spiral th a t is the usual accom panim ent of m ilitary emergencies. ’ ’ One of the reasons w hy citizens of the U nited States are so cognizant of the evil effects of infla tion is because of w hat happened to G erm any in 1922 and 1923. Must Prevent Price Spiral y If we keep th a t lesson before us and control our prices and wages w ithin a reasonable lim it it will go a long w ay tow ards prev en tin g an economic catastrophe in this country. Prepare for Post-War ■I i . Unemployment E very economist who has given any th o u g h t a t all to conditions follow ing W orld War No 2 knows that em. ploym ent will be the g reatest need of the hour. W h at to do w ith the men who have been in m unition factories, airplane factories, and pow der factories who will not be needed any longer is a condition which m ust be met. A suggestion for “ Saving up w o rk ” has been m ade by W alter Von Tresckow of New York. H ere is w h at Mr. Von Tresckow suggests. “ W h at is w anted a t the tim e th a t the w ar ends is as m uch priv ate w ork as possible to take the place of the direct and in d irect w ork w hich was created by the defense effort. This w ork will not ap p ear alto g eth er of its own volition. In order to have a large am ount of private w ork and com m unity w ork a t th a t tim e takes im m ediate p lan ning and action. To b ring it about, every em ployer lias to postpone, as long as it can be pushed off, every bit of w ork th a t is not absolutely re quired fo r the w a r p rep aratio n s and the neces sities of the people. A really serious and h ard boiled effort along these lines can accomplish wonders. The postponem ent of all repairs, m ain tenance and im provem ents, as well as the post ponem ent of the exploitation of new processes and p aten ts un til the last m inute, not only on the p a rt of em ployers and the com m unity but also of every individual, would build up a larg e reser voir of w ork to be done a t the tim e th a t it will be needed most. ” C ertainly if we can build up a surplus of p ri vate w ork ra th e r th a n governm ent w ork when the w ar is over, it will be definitely to our ad vantage. Our g reatest problem durin g the last 8 years has been one of unem ploym ent, and if we have gained an y th in g from th a t experience and from W orld W a r No. 1 it is th a t we should w ork out some pro g ram which would tak e care of the u n em ployed a fte r W orld W a r No. 2 is over. Low Interest Rates Most ° f the arguNo Permanent Help m e n t s advanced fo r x t r keeping in terest rates To Treasury low have been the fact th a t the U nited S tates governm ent is the biggest borrow er in the land. However, low in terest rates generally u n d er mine the capitalistic system and cause more eco nomic ills th a n the benefits which m ay accrue. F o r th a t reason low in terest rates are not ad v an tag e ous to the U nited S tates T reasury and the fu tu re w elfare of the U nited States. One financial au th o rity puts it this way. “ U n precedented low rates constitute only a tem porary advantage to the borrow ing T reasury, w ith a doubtful fu tu re. An inflationary fa cto r is germ in ated by low rates in conflict w ith the govern m en t’s desire to harness bank credits w hich low rates prom ote. ” As this w riter points out, the T reasury while it would have to pay a higher interest ra te on its own borrow ing it would at the same tim e increase its revenue from higher taxable incomes and the entire country would really benefit. D. erintendent of banking fo r Iowa, who is not a candidate for re ap p o in t m ent, will have his position filled by a new in cum bent as soon as Governor George A. AVilson m akes the selection and it is confirmed by the Iowa Senate. Iowa Bank Superintendent To Be Appointed There are several candidates fo r the position. O utstanding bankers should alw ays be appointed to head the S tate B anking D epartm ent, as well as the S tate B anking B oard. In addition they should be men who have been bona fide active executive bank officers. W ith respect to the appointm ent of a S uper in ten d en t of B anking, the state law says: “ No person shall be appointed who has not had at least 5 years’ executive experience in a state or savings bank in the state. ’’ Among the nam es most prom inently m entioned for the position are the following, which we h ere w ith give in a non-partisan m anner and in alp h a betical o rd e r: W. G. C. Bagley, S tate treasu rer, and form erly a banker in Mason City and in other N orthern Iowa com m unities; F red J. Figge, presi dent, Ossian S tate B an k ; H. Lee Houston, cashier, Columbus Ju n ctio n S tate B an k ; Taylor Grimes, bank receiver, C hariton; J. Id. P eterm an, p resi dent, P age C ounty S tate B ank, C larin d a; Sam R. Torgeson, cashier, F arm ers and M erchants S tate Bank, L ake M ills; and Guy 0. V an Derveer, cashier, S tate B ank of W averly. The appointm ent will be for 4 years according to the state law and the salary is determ ined by the S tate B anking Board. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 W. Bates, s Northwestern Banker February 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 11 Six Things I W ant to Dû for My Bank Me th a t th e b an k be efficient. I say th a t a Y OWN relatio n s w ith b a n k ers —To be a bank. u m k m u st carefully consider other have been v ery pleasant. The ways of m eeting expenses before it first b a n k e r I ever knew w as a —To be secure. jum ps to th e conclusion th a t additional pillar in a little tow n in w e ste rn N e fees for th is and th a t or increased loanbraska, n e a r w hich I grew up. H is in i —To be efficient. rates should be levied upon th e pa tials w ere C. C. He w as com m only know n as “C. C.” or “Old C. C.” He —To know m ore about its business tro n s of th e bank. 4. My banker should k n o w more piloted th a t b an k th ro u g h th e dep res th an I do. about b ank ing and econom ics than I sion of 1893 and th ro u g h y ears of dro u g h t and h a rd tim es afterw ard , and -—To educate me and tbe general do. I go to a doctor because he is su p posed to know m ore about m y ailm ents kept it solvent. He k e p t m an y a m an public on banking practice. or how to cure them th a n I do. I go from losing w h a t little he h ad by his to an arch itect if I w a n t to p u t up a sound advise and he p u t m any an o th e r —To adjust the banking business to building because he is supposed to back on his financial feet by “ch a r the changing economic order. know m ore about planning and b u ild ac te r” loans. He w as a civic leader. ing th a n I know m yself. I go to a b an k He w as on th e school board and er for sim ilar reasons. If he does not got th e little high school accredited to u n d erstan d m oney and credits and the u n iv e rsity —th e h igh school from By R. V. Hunkins economics b e tte r th a n I do he is not w hich I g rad u ated in th e first class qualified for his position. In fact I am afte r accreditm ent. W hen I la te r g rad Superintendent of Schools suspicious th a t th e tra in in g level for uated from th e u n iv e rsity it w as “Old Lead, South Dakota b an k ers in general is n o t as high as C. C.” w ho paid m y m o th e r’s expenses th e com plicated n a tu re of our p resen t to atten d m y g rad u atio n exercises. He econom y w ould dem and. A t least those was u n d e r no obligation to do th is and w ho direct our banks should be thor the a rra n g e m en ts w ere p riv a te ly m ade have to w o rry about losing th e ir de ou gh ly grounded it seem s to me in a and executed. My p ersonal experience w ith b a n k posits. It is the business of th e b an k know ledge of econom ics in order to u n d erstan d b an king nationally and in te r ers has been h ighly satisfactory. I ing w orld so to organize b anking th a t preface m y re m a rk s w ith th is fav o r it is safe to the depositors above ev ery nationally. M uch of th e unreliable ad able com m ent because m ost of w h a t I th in g else. T h at should be an inescap vice th a t p atro n s get from banks prob able re q u irem en t even though th e ably grow s out of th is shortage in tra in am about to say is not so favorable. ing. It m u st be g ran ted of course th a t You alread y know how good you are. depositors m ight have to be charged h eavily for depository services. A even those equipped w ith extensive W hat you need is som eone to tell you depository for m oney is w orse th a n tra in in g cannot agree upon all eco w h at is w ro n g w ith you. W e im prove w o rth less if it is n ot secure. If th e nom ic principles. N evertheless it is from correctin g w eaknesses, n o t from v ery probable th a t those w ith sound gloating over achievem ents. I am not b an k ers are not responsible, w ho is? A t least th ey are responsible to the tra in in g come closer to th e tr u th m ore a ban k er, b u t I am a b an k patron. often th a n those w ith o u t sound tra in 1. A bank should be a bank. T h at po in t of w orking out a sound banking system and using th e ir utm o st influ ing. m ay seem like a useless adm onition. ence to get such legislation as is neces 5. B an ks should h ave a thorough B ut w itness w h a t has becom e of drug sary to su p p o rt such a system . goin g educational program . T his p ro stores. M any b an k s have been forced 3. A bank should be efficient. As a gram should have as its objective the into real estate th ro u g h foreclosed m ortgages. T hese sidelines te n d to di b an k p atro n I w a n t m y deposits to be gradual lifting of th e level of common v e rt th e b a n k m an ag ers from th e p ri secure and I am w illing to pay for th a t u n d erstan d in g about b an king and secu rity if th e use of m y m oney is n ot about economics in general, since b a n k m ary functions p erta in in g to banking. sufficient to cover it. I w an t th e em ing is related to th a t economics. T here Those p rim a ry functions are enough to tax th e profession of b an k in g to th e u t ployes of th e b an k to be w ell paid. I is no th in g th a t touches th e happiness do n o t w an t th e em ployes overw orked. of people like th e ir m eans of su b sist m ost w ith o u t dissip atin g its energies I like to w alk into an a ttractiv e b ank ence. T here is no th in g th a t in terferes in p erfo rm in g functions for w hich its tra in in g and experience does n o t fit it. even though I know th a t costs money. w ith th e p ro sp erity of people like the foolish in v estm en ts and expenditures May th e day h a ste n back w h en b a n k I am w illing to have th e stockholders ing can be exclusively banking. A nd receive a fair re tu rn on th e ir in v est th ey m ake. T here is no group as well m en t in th e bank. B ut I do n o t w an t equipped and as w ell situ ated to carry m ay th e day n ev er come w h en a b an k th e charges for this, th a t and th e o th er on an ad u lt p rogram of education th a t w ill have n ew sstan d s and ice cream thing, ag ain st me as a b an k patron, to w ill im prove th e u n d erstan d in g of peo coun ters in th e lobby. ple about economic principles as th e 2. A bank should be secure. A t least be m ore th a n is necessary to do these (T u rn to page 25, Please) th e p atro n s of th e b a n k should not basic things. I have a rig h t to dem and M Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February Í9M 12 News and OF B A N K IN G THE V iews W O RLD By Clifford De Puy D r . LO UIS H. B E A N , econom ic ad v iser to th e S ecretary of A gricul tu re, has estim ated th a t because of th e w ar stim u lated econom y, th e U nited States w ill have a n atio n al incom e of 90 billion dollars in 1942. Dr. B ean has purp o sely used 1942 for it is in th a t y e a r he an ticip ates th e full effect of th e p re se n t 25 billion dol lars a rm am en t pro g ram w ill be felt. H e also estim ates an increase in farm incom e of 1% billion dollars for 1942 over 1940 w hich he an ticip ates to be app ro x im ately 9 billion dollars. U n ited States m oney is at a new h igh w ith ready cash in A m erican p u rses or b an k accounts hav in g reached th e record b reak in g figure of app ro x im ately 69% billion dollars or an average of about $527 for every m an, w om an and child in th e U nited States. T his figure is estim ated to be at least 13 billion dollars larg er th a n in th e b est days of 1928 and 1929. E d w in F ish er, C hairm an of B ar clay’s B ank L im ited of L ondon in speaking to th e ir 46th a n n u al m eeting recen tly sta te d th a t m em bers of th e staff absented from th e b an k a t th e end of th e y e a r on full tim e w a r service num b ered 3,787. He also said th a t a system of duplication of records has been in stitu te d by th e b an k to in su re th a t services could be carried on in all circum stances. In spite of th e con tin u ed enem y a ir a ttack s on G reat B ritain and th e large n u m b er of th e banks b ran ch es in L ondon and else w here, he says th e am o u n t of dam age to b an k prem ises w as n o t large. T h a t th e F ed eral R eserve B oard’s suggestion for g u ard in g ag ain st in fla tion has been dropped is alm ost a cer ta in ty a t th is tim e. P a rt of th is has been due to th e fact th a t S ecretary of th e T reasu ry , H en ry M orgenthau, is n o t in accord w ith Chairm an M arriner E ccles of th e F ed eral R eserve Board. One p ro m in en t W ashington a u th o r ity said recently. “T here w ere v arious points in th e Eccles plan. Am ong o th ers, it urg ed th a t th e p re sid e n t’s pow er to do tw o th in g s be relin q u ish ed —first, his pow er to fu rth e r devalue th e dol lar; second, his pow er, u n d e r th e Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February i 9 k l Thom as am endm ent, to issue 3 billion dollars in greenbacks. “Mr. M orgenthau’s attitu d e is now considered hostile by those w ho have observed tre a su ry policies in th e last few y ears th is is considered a sure in dication th a t th e presid en t has in dicat ed disapproval. “In any event, th e Eccles plan, w hich seem ed alm ost assu red of adop tion a short tim e ago, is p ractically in the discard n ow .” E v id en tly th e p resid en t has no in ten tio n of giving up v o lu n tarily any of his a u th o rity even if it is for the good of the nation. John T. H am ilton TT, Vice P resid en t of th e M erchants N ational B ank in Cedar Rapids, tells us th a t his father, Jam es E. H am ilton, C hairm an, has at “long la st” tak en up golf, and is now sw attin g th e golf balls over th e fa ir w ays at Boca Raton, Florida. W e certain ly hope th a t before th e season is over he w ill be m aking every hole in par. T hom as AV. L am ont, of J. P. M organ & Co., Inc., believes th a t E ngland w ill w in th e w ar provided we give h e r aid im m ediately. Mr. L am ont p u ts it th is way: “W ho is going to w in th e w ar? My an sw er is this: E ven though B ritain is in dire peril, provided we fu rn ish h e r full and speedy aid, she w ill cer ta in ly win. “I am im p atien t w ith all th is talk th a t B ritain at b est can n ever defeat G erm any. I say th a t G erm any can be beaten, she is being beaten and she w ill be beaten. “W h at has happened to H itler of late? W hy has he deserted Ita ly and left h e r soldiers fugitive and desolate on th e th irs ty L ibyan sands? A nd h a r ried and broken on th e highlands of A lbania? W hy no help to Japan, p u r suing h e r solitary and inglorious course of h e r non-conquest in China? “W h at is H itler doing w ith those 20,000 airplanes th a t Col. L indbergh said G erm any could produce in 1938? W hy should any of us cling to th a t blind w orship of G erm an m echanical effi ciency and believe it to be invincible? W hy ignore entirely, as m y good frien d Col. L indbergh seem s to do, th e w eighty economic factors?” W . H. B renton, vice p resid en t of the N o rth w est B ancorporation of M inne apolis has purchased th e hom e fo rm er ly occupied by Gardner C ow les, Jr., a t 10 T hirty-fifth S treet in Des Moines. It is understood th a t Mr. B renton w ill m ove back to Des M oines som e tim e n ex t sum m er, b u t his plans are not definitely settled a t th is tim e. E. O. F en ton , D irector of th e A m eri can In stitu te of B usiness of Des Moines, has issued a booklet on the “H ig h lig h ts of the 1940 F ed eral Tax L a w s”, w hich includes inform ation concerning individual norm al incom e tax, individual su rtax , corporation taxes, capital stock tax, excess profits taxes, estate and gift taxes, defense taxes, and pay roll taxes. W e are sure th a t if anyone is in te r ested in receiving a copy of th is con densed list of federal law s th a t Mr. F en to n w ill be glad to send it to him w ith his com plim ents. C. H arry Steph en son, vice p resid en t of th e B ankers T ru st Com pany of Des Moines, w as m arried recen tly to Mrs. EAra G. B osnian a t P lattsb u rg , Mis souri. Mr. and Mrs. S tephenson w ill m ake th e ir hom e a t 2925 Ingersoll A venue, Des Moines. F o rm er G overnor A lfred E. Sm ith of New Y ork in a recen t speech term ed th e F ederal Incom e T ax “The Great A m erican R ack et”. C ertainly those w ho have to m ake out th e ir rep o rts about th is tim e agree m ost h eartily w ith th e form er governor. W hen we w ere in J. Cameron Thom so n ’s office, p resid en t of th e N o rthw est B ancorporation, M inneapolis, th e o th er day he show ed us th e original letters w hich he has fram ed from J esse H. Jones, p resid en t of th e R econstruction F in an ce C orporation. The first le tte r is dated D ecem ber 7, 1933 and covered a loan of $22,900,000 to 112 banks ow ned by th e N o rth w est B ancorporation and $3,000,000 to th e U nion In v estm en t Company. T his m akes a total of $25,900,000. The second le tte r is dated D ecem ber 31, 1940 and is signed by J esse Jon es w ho ap p aren tly leaves th e H. out of his sig n atu re th is tim e b u t expresses his congratulations to Mr. Thom son because th e N o rth w est B ancorpora tion had paid off all of its indebtedness to th e R. F. C. In cidently th e to tal nu m b er of ban k s in th e B ancorpora tion is now 83. G. H. Ayers, p resid en t of th e Sibley State B ank of Sibley, Iow a in a recen t com m unication to us said: “In y o u r (T u rn to page 34, Please) NûW Is the Time To Revive Investment Markets By Emmett F. Connelly President Investment Bankers Association of America EC EN TLY th e P re sid e n t of th e U nited States p erform ed a g re a t service for th e country. He told us w h at k in d of job we have to do in defending our dem ocratic w ay of life. H e o u tlined a schedule calling for th e g re a te st effort of in d u stria l production in our histo ry , an d he asked everybody —labor, capital, m anagem ent, th e ordi n a ry citizen—to get to g eth er and do th e job. So we know our objectives. W h at we have got to th in k about now is w ays and m eans. T his defense prog ram is not going to be executed m erely by sh ak in g our fists at th e dic tato rs and by ap p ro p riatin g billions of dollars to pay for w ar m aterials. L e t’s not fool ourselves about th at. W e are confronted w ith a problem of org an i zation, an d th a t problem h as to be solved in a h u rry . I t is n o t too late, b u t th e P re sid e n t has rem in d ed us th a t it is n o t g ettin g an y earlier as th e days slip by. C ooperation lies a t th e cen ter of th e problem an d I w ish to discuss the m ean in g of th a t te rm as it applies to th e financial side of th e defense ef fort. In doing this, I hope to tak e you in a m an n e r of sp eaking beh in d th e scenes of th e in v e stm e n t b an k in g business and p o in t out some of th e th in g s th a t are going to help or h in d e r th e defense program . W h at I have to say can be sum m ed u p u n d e r th re e b rief h ead ings. R F irst: W hat th e defense program is likely to do to our in d u strial set-up, w ith p a rtic u la r reference to p erm an en t capital and w orking capital. Second: T he provisions w hich the g o v ernm ent has m ade for dealing w ith th e new needs. T hird: T he policy w hich we should p u rsu e in dealing w ith o th er v ast needs, for w hich the g overnm ent has not m ade, and should not m ake, direct provision. A m erican in d u stry , broadly speak ing, is en terin g upon th is race-withtim e, this contest-w ith-danger, in a less favorable position th an it occupied w hen we en tered th e previous W orld W ar, tw enty-four y ears ago. In 1917 o u r in d u strial p lan ts w ere already tu rn in g out w ar m aterials for th e Al lies a t a trem endous rate, p lants had been adapted, labor had been train ed for th e job. T he position of in d u stry today is relativ ely w eak er th a n it w as in 1917. T en long y ears of depression have tak en th e ir toll. A ccording to the B rookings In stitu tio n , t h e balance sh eet position of A m erican corpora tions has d eterio rated by $32,000,000,000, th ro u g h write-offs of losses, de preciation, pay m en t of u n earn ed divi dends and in terest, and th e like. In the m eantim e, our population has contin ued to expand. On a p er capita basis we are in d u strially p oorer today th an E M M E T T F. C O N N E L L Y we w ere a decade ago. It is the first tim e in our h isto ry th a t we have en tered a new decade w ith our national income less th a n ten y ears before. W ith this lessened equipm ent we face the gigantic task of arm ing. If we m ean w h at we say w hen we talk about using our capacity to the lim it, the need of new capital is going to m ake itself felt increasingly. It is al ready being felt. M any corporations have large cash balances, b u t m any, p articu larly sm all er concerns, have not. In th e aggre gate, business concerns do not own enough cash and bank deposits to pay for m ore th an a sm all fraction of the new construction and new equipm ent w hich are going to be required. B usiness w ill inevitably feel a stir of life as th e defense billions are paid out, and we s ta rt to m ake good our ac cum ulated deficiencies. F o r th e fitst tim e in ten y ears the governm ent is going to spend its m oney in such a way, in the durable goods industries, th a t p riv ate en terp rise w ill have op portu n ities to invest new capital to keep up w ith th e dem and for goods. T h at is w h at is going to happen as the defense program gets u n d er full head way. We are going to have this spreading out of activ ity like th e ripples in a pond w hen you th ro w in a stone, pro(T u rn to page 71, Please) Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19 M F arm building prospects, stim u lated by increased fa rm income, are th e b rig h te st since 1929. E vidence of an inten siv e farm b uilding program is th is large b arn under construction in M ichigan. F(iriT)6rS A re Ready to Build Prospects for Building in the Farm Market Are Brightest Since 1929 H E R E are six m illion farm s in the U nited States w ith an approxim ate building value of $13,000,000,000. These farm s re p re se n t a large p o ten tial m a rk e t for im provem ents and for the re p a ir or rem odeling of old stru ctu res. At a recen t m eeting in W ashington, D. C., W allace A shby, Chief of th e U nited States A g ricultural D ep art m en ts’ B u reau of A g ricu ltu ral Chem istry and E ngineering, pointed out th a t for m ore th a n te n y ears th e u p keep of farm buildings has lagged be hind depreciation. “The g re a t m ajo r ity of all farm houses,” he said “need rep airs or alteratio n . A nd on m any farm s, th e service buildings are so in adequate th a t livestock or o th er spe cialized types of farm in g cannot be carried on w ith o u t excessive d ru d g ery and losses. “T he n u m b er of new buildings needed now is g re a te r th a n ever be fore,” A shby declared, “since rep airs and new con stru ctio n have not k ep t pace w ith depreciation. T his is show n,” A shby said, “by a sam ple s u r vey m ade by th e B ureau of A gricul tu ra l C hem istry and E n g in eerin g in four states in 1937, by d ata from Con sum er P u rch ases studies of th e B ureau of Hom e Econom ics in 1935 and 1936, and by inform al rep o rts from th e state a g ric u ltu ra l colleges. “I t is estim ated ,” A shby said, “th a t T Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February t9 b i By Kirk Fox E ditor S u c c e s s f u l Far mi ng Des Mo i n e s to overcom e th e p resen t shortage of decent, com fortable farm houses and o th er buildings, and to provide for norm al replacem ents du rin g th e n ex t te n years, a t least 250,000 new houses and 700,000 o ther buildings w ill be needed annually. T he nu m b er of buildings needing repairs, additions, and m odernization, is m uch larg er.” M ost persons in terested in th e p ro s pects of th e farm -building m ark et are of th e deep conviction th a t we are e n terin g a period of at least tw o years, d u rin g w hich th e re is certain to be m ore building activ ity on farm s th a n for m any y ears in the past. T his is tru e for a n u m ber of reasons; th e first and m ost basic of w hich is illu strated by su rveys in In d ian a and o th er states w hich revealed th e run-dow n and ob solete type of service stru c tu re s now being used. T he CWA of eight y ears ago revealed th e crying need for prog ress in th e farm dwelling. U pon th e broad foundation of u rg en t need rests th e likelihood of buying pow er to satisfy th a t need. N ational defense is g ath erin g steam , factory payrolls are len gthening and city housew ives are spending m ore for food. As 1941 gets u n d er way, it prom ises to be th e m ost prosperous y ear in tw o decades for th e “H e a rt” farm er, those farm ers living in th e w o rld ’s rich est farm region of Illinois, Indiana, Iowa, K ansas, M ichigan, M innesota, M issouri, N ebraska, N orth Dakota, Ohio, Oklahoma, South Dakota, and W isconsin. A ccording to th e N a tional In d u stria l Conference board, th ere w ill be 4,000,000 m ore persons em ployed in th e U nited States in June, 1941, as th e re su lt of national defense. T his m eans a g re a te r dem and for farm products and a half-billion dollar in crease in 1941 farm income. F o r farm equipm ent farm ers w ill spend 571 m illion, an increase of 93 m illion. T hey w ill spend 370 m illion on farm buildings and repairs, an in crease of 30 m illion over 1940, and elec trified farm s w ill be at an all-tim e peak. T he g reatest sh are of th e half-billion dollar increase in 1941 farm incom e w ill go w here farm ing is big business —th e “H eart,” w h ere one-third of th e U nited States farm ers already enjoy 54 p er cent of th e total farm w ealth. Hog prices are 11 p er cent h ig h er th a n a year ago—-74 p er cent of th e hogs are raised in th e “H eart.” Beef steer prices are 10 p er cent h ig h er th a n a y ear ago —53 per cent of all cattle is found in 15 th e “H e a rt.” B u tte rfa t prices are 22 p er cent h ig h er th a n a y e a r ago—50 out of each 100 pounds of b u tte rfa t is p ro duced in th e “H e a rt.” E gg prices a v e r age m ore th a n 30 p er cent above last year, w ith 50 out of each 100 eggs produced in th e “H e a rt.” Prospects for th e larg est m ilk p roduction on record are in sight, w ith 57 out of each 100 d airy farm s con cen trated in the “H e a rt.” A ccording to th e N ational B ureau of Econom ic R esearch, th e “H e a rt” fa rm ers are th e least affected by loss of ex po rt m ark ets. F ollow ing are ex p o rt figures released by th e bureau: beef, .5 p er cent; pork, 2.7 per cent; w heat, 7.6 p e r cent; tobacco, 36.7 p er cent; cot ton, 43.6 p er cent. In creased farm in come and th e loss of little or no ex p o rt m a rk e t can m ean b u t th re e th in g s to th e “H e a rt” fa rm e r—h e ’ll e a rn m ore, spend m ore, and ow n m ore. A n o th er factor re stin g on th e broad base of u rg e n t need is th e in te re st of a large n u m b er of a le rt m a n u fa c tu rers of building m aterials. U ntil our e n try into w ar p rep aratio n s, n o t active as sistance to th e allies, th ese m an u fac tu re rs found th e ir capacities expanded beyond th e need likely to be felt th ro u g h re g u la r com m ercial outlets. To m ain tain a capacity sufficient to keep o verhead in line, th e y w ere obliged to expand into a new field, and th a t in ev itab ly w as ag ricu ltu re. As a consequence, farm ers are today offered a choice of b uilding m aterials fa r be yond w h a t th e y have ever know n be fore; and all of th ese m aterials are excellent w h en used properly. Sound research has been continued by the Hog prices are going to be a lot h igher in 1941 th a n th ey w ere in 1940. H igher prices fo r hogs can m ean b u t one th in g : more money to th e “ H e a r t” farm ers who raise 74 per cent of all IT. S. hogs. m a n u factu rers of these m aterials, b ut a v ast am ount of additional research is needed to p re v e n t costly and u n fo r tu n a te m istakes in farm stru ctu res. The building th a t has depreciated to a point w here sim ply w recking is the one rem edy, offers only a salvaging problem . B uildings considerably b et te r th a n th a t should, perhaps, be re paired, or rem odeled. W e need spe cialists capable of sizing up th e busi ness of a farm unit, th e in v estm en t al read y in farm buildings, and the fu tu re possible needs in o rder to advise th e farm ow ner w h at he should do. The grass econom y study m eeting acceptance th ro u g h o u t th e g reat corn b elt m eans a revolution in storage m ethods. A lready it is responsible for N atio n al defense is g a th erin g mom entum and more men are being p u t to work. This means a g re a te r dem and fo r farm products and more money in th e fa rm e rs ’ pockets. C attle prices are well ahead of la st year. ‘ ‘ H e a rt ’ ’ farm ers w ill benefit most from this increase because 53 per cent of all c a ttle is raised in the “ H e a r t.” the grass silo, th e one-story barn, and an advance type of ex p erim ental equip m en t for th e storage of dry, chopped hay and baled hay. F a rm e rs should not be asked to w ait five years, or ten years, u n til all these m a tte rs can be settled in routine. T hey m u st act at once or pay th e p en alty of inconven ience, inefficient and obsolete buildings. If th ey are to build according to the accepted stan d ard s of th e ir com m unity contractor, it is possible th a t th ey w ill duplicate th e m istakes of 50 and 75 y ears ago. Some au th o rities have placed a figure of $1,000,000 per county as th e probable building in vestm ent likely to be m ade w ith in th e n ex t two years. T his is an enorm ous sum , b u t w hen spread over each farm , it is not too m uch. Significant, indeed, is th e detailed analysis of w h at 250 farm ers are doing about co n structing new farm buildings and rem odeling old ones. These are th e first e n tra n ts in Successful F a rm ing’s farm building contest. L aunched in S eptem ber of 1940 Successful F a rm ing, w ith a circulation of 1,200,000 con cen trated in th e “H e a rt” farm region, has h ad m ore th a n 9,000 e n tra n ts to date. T he $2,000 contest is open to all farm fam ilies no m a tte r how sm all or how large th e im provem ents on th eir respective farm s. E ach e n try is judged n ot on th e m agnitude of the building or rebuilding, b u t on how w ell it fits into th e farm needs of th e in dividual farm s—how m uch has been added to th e com fort, convenience, attractiv en ess, of th e farm or farm home, inside or out. T his inform ation is tak en directly from q u estionnaires filled in by farm ers w ho are eith er building or rem odel ing now or are going to do so in the im m ediate future. E xperience show s th a t once a new building or rem odeling (T u rn to page 73, Please) N orthwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 Answers toYour Questions Federal Shallcross p u rch ased certain real estate in 1928 for $29,000, paying $10,000 in cash and assum ing a m ortgage in debtedness for $19,000. By 1936 th e m ortgage indebtedness h ad been re duced to $15,000 and th e p ro p e rty had depreciated in value to $8,000. At th a t tim e th e holder of th e m ortgage gave Shallcross a release for $8,000, w hich Shallcross paid to him . Did th e v o lu n ta ry red u ctio n of th e m o rt gage indebtedness in th e am o u n t of $7,000 co n stitu te taxable incom e to th e tax p ay er u n d e r th e federal incom e ta x law? No. In d eterm in in g w h at con stitu tes taxable incom e, su bstan ce rather than form is to he given con trolling w eigh t. A tran saction w hereby n oth in g of ex changeable valu e com es to, or is re ceived by, the taxp ayer does not give rise to, or create, taxable incom e. Since Shallcross, in effect, received no gain thereby, the $7,000 volu ntary reduction did not con stitu te incom e to him that w as subject to th e federal incom e tax. Brow n, d u rin g his 1934 taxable year, detached certain in te re st coupons from certain bonds ow ned by him and gave th em to his son. The coupons w ere paid, on m a tu rity , d u rin g th e sam e year to the son. T he donor rep o rted his incom e for federal ta x purposes on a cash receipts basis. Should B row n pay a federal incom e ta x on th e p ro ceeds of th e coupons? Yes, according to a recent U nited States Suprem e Court decision. It w as there held th at the p ow er to dispose of incom e is, for incom e tax purposes, the eq u ivalen t of ow nersh ip of it, and the exercise of that p ow er to procure the p aym ent of that incom e to another is the en joym en t and hence th e reali zation of the incom e by him w ho exer cises it. R ichardson w as an ag en t for a life in su ran ce com pany. On his re tire m ent, he assigned to a co rporate tr u s tee such in te re sts as he h ad in v arious renew al prem iu m s so as to confer on it th e rig h t to collect th e sum s com ing due to him thereon. Did th e am ounts Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M Income TitiXReturns These and Other Timely Legal Questions Are Answered By t/ie LEGAL DEPARTMENT paid to th e corporate tru ste e u n d er the assignm ent rem ain incom e taxable to th e assignor u n d er th e federal revenue law? Yes. The U nited S tates Suprem e Court held th is to be the case recen tly in a com panion d ecision to th at re ferred to in the preceding question. The Court said th at the reason s for its d ecision in th at case w ere also con trolling here and held the incom e ta x able under the federal incom e tax law s to the assignor. Stangler, an Iow a b ank cashier, p u r chased a m ortgage for an investor there. Subsequently, th e cashier re leased p a rt of th e security, w hich he could do inasm uch as th e m ortgage ra n to his nam e, w ith o u t telling the investor. The investor exam ined th e papers from tim e to tim e th e re a fter and had am ple o p p o rtu n ity to ascer tain th a t th e secu rity had been re leased. M any y ears later, w hen a de fau lt occurred, th e in vestor sued to rescind the transaction. In d eterm in ing w hen th e sta tu te of lim itations com m enced to ru n should th e date be th e tim e w hen th e inv esto r could, by th e exercise of ord in ary diligence, have discovered th e p a rtia l release? Yes. A n in v esto r seek in g to rescind an a ssig n m en t of a m ortgage on the ground that he w as not notified of a release of part of the secu rity w as re quired to seek rescissio n w ith in a rea sonable tim e after the d iscovery of the release or after he should, by th e exer cise of ordinary d iligence, h ave made such discovery. On failu re to so do, he is barred by laches. It is the law in M innesota, and other states, th a t by reasonable drainage w orks on his ow n prem ises, a land ow ner m ay dispose of surface w ater as best he can, so long as he does not u n reasonably in ju re his neighbor. Is this also th e case in public drainage m atters? No. The law outlined in the question applies on ly to p rivate rights and the exercise thereof. It has no applica tion to public drainage proceedings w h erein the statu te requires com pen sation to all w ho suffer dam age. The adm inistrator of a decedent’s estate in N ebraska in w hich a b an k er th ere w as a beneficiary w as guilty of acts u nduly prolonging th e adm inis tra tio n to his benefit. In such circum stances could he be rem oved? Yes. It is the duty of an ad m in is trator to adm inistrate an estate in h is charge p rom ptly and to distribute the property to those en titled h ereto w ith out u nreason able dtelay. The court ap poin ting him m ay rem ove him w h en it becom es apparent th a t he is unduly p rolonging the adm inistration for h is ow n benefit. A N orth Dakota b an k er en tered into a co ntract to convey by w a rra n ty deed to K ieselhorst a farm in th a t state and K ieselhorst agreed to pay him a cer tain sum therefor. T he con tract did not provide th a t K ieselhorst should accept a w a rra n ty deed from the b an k er’s h eirs and it so happened th a t the b an k er died before th e deal could be com pleted. T he h eirs sued to com pel specific perform ance w h en K iesel h o rst refused to go th ro u g h w ith th e deal on th e b a n k e r’s death. Should th ey be successful in th e suit? No. W here, by a contract to sell land, a ven d or agrees to con vey by w arranty deed to the ven d ee but the ven d ee does not contract to take a w arranty deed from the ven d or’s heirs, the h eirs m ay not, in a su it for specific perform ance, com pel the ven d ee to ac cept a w arranty deed from them . The coven an ts of th e h eirs w arranting, or gu aran teein g, the title w ould he en tirely different from such coven an ts by the vendor. (T u rn to page 27, Please) 17 M EM B ER FEDERAL DEPOSIT INSURANCE CORPORATION 'Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 18 W hat Bank Management Can Do To G e t N W H A T M A N N ER and to w h a t ex te n t do we consider people—individ ually and collectively—in relatio n to a bank? Do we consider people as m erely static m aterial w ith stan d ard s of size and quality? Or do we consider th em as som ething dynam ic—h u m an beings like ourselves, w hose ch aracteristics change from day to day due to a con sta n t evolution of needs and influences th a t are experienced as th e y live and w ork and conduct th e ir affairs? W hile it w ould be difficult to appraise the relativ e im portance of th e m any different factors responsible for th e evolution in banking, we can a ttrib u te them , in large ex ten t a t least, to th is influence of people, expressed by m ass public opinion—an opinion of a large n um b er of individuals not necessarily the m ajority, w ho have m uch th e sam e idea about th e sam e th in g a t th e sam e time. Such a “coincidence” is generally the re su lt of some personal experience com m on to th em all. T his principle is fu rth e r certified today by th e influence being w ielded by th e gen eral public in our everyday affairs. N ever before in th e h isto ry of th is co u n try has th e av erage citizen, th e “m an of th e s tre e t” if you please, exercised so m uch influ ence, as reflected in th e increasing p a r ticipation by g o v ern m en t in our econ omy. This, we can say, is th e re su lt of personal experiences w ith certain ex istin g conditions th a t have affected in dividuals, and is being carried on be cause th e public feels th a t it is being benefitted. B ear in m ind th a t th is p ro gram , w h e th e r it be rig h t or w rong, is th e re su lt of th e influence of m ass voice and is continued because of m ass opinion. Since th e individual rep resen ts an integ ral p a rt of m ass public opinion, and since it is th e individual w ith w hom we deal ra th e r th a n a collective group, it is o u r job to point our actions in a m a n n e r th a t w ill appeal to th e in dividual. To do this, it is necessary th a t “we p u t ourselves in th e oth er fellow ’s shoes.” C ertainly, we pride ourselves on being h u m an beings, and as such it is only n a tu ra l th a t we should consider those actions w hich influence us as h aving m uch th e sam e Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M More Customers Four fundamentals of deal ing with individuals in any community, the practice of which by junior and senior officers of the bank will re sult in more good will, and more business, for the insti tution By J. Lewell Rafferty Vice President Fort Worth National Bank Fort Worth, Texas effect on th e o th er fellow. To illus tra te , suppose we discuss briefly some of th e practices m ore com m on to m ost of us: (1) Service charges: W e know the reasons w hich led to th e in au g u ratio n of service charges (a nam e th a t I de spise—w ould p refer using “cost of h an d lin g ” ), b u t how have th ese been co n strued by th e public? Our failure to in telligently explain such charges so th a t th ey w ould be favorably ac cepted has resu lted in developm ent of public opinion th a t ban k s m ake a charge for not having m oney in th e bank. This, in tu rn , has led to th e belief th a t banks have too m uch m oney and do not care to b o th er w ith th e “little fellow .” W e know th a t the average person is w illing to pay for service, p articu larly w hen he feels th a t th e charges are reasonable and as long as he feels he is being tre a te d the sam e as others. T his is evidenced every day in m any lines of business, including banks, as evidenced by the favorable acceptance of “no-m inim um checking accounts” and m etered charges based on th e activ ity of ac counts. (2) S avin gs D eposits: The action of b an k s in refusing “savings m oney,” w ith o u t in telligently explaining th e reason therefor, is likely to be m is u n derstood by th e average person, who, for so long, has been encouraged to save by th e banks them selves. It m ay even go far tow ard u n d erm ining th e sound economic situ atio n w hich we all recognize in savings. (3) P ersonal Loans: W ith in recent years, we have noticed a great influx of banks into th e consum er loan field. Can th is be a ttrib u te d to a desire to serve th e individual, or has th is serv ice been in au g u rated p rim arily as a m ethod to prom ote earnings lost th ro u g h form er credit channels? Cer tainly, we know th e w idespread good w ill th a t has resu lted from our w ill ingness to serve th e sm all borrow er, as w ell as th e large, u n d er a plan th a t is suitable to our needs, and our ex perience has proven th a t such busi ness, w here p ro perly handled, is cap able of producing excellent resu lts from an operating standpoint. Is it not possible, therefore, for us to com bine th e objectives of sound banking in th is field; to serve our com m unities, to safeguard deposits, and to produce profits to both th e b an k and th e in dividual? H ow ever, th ere has oc cu rred only recently a new develop m en t in this field—th e m an n er in w hich loans to m en subject to th e d raft are handled—w hich w ill require in tellig en t han d lin g to elim inate pos sible adverse public opinion. Our job, dealing w ith dynam ic m a terial, m ight be sum m arized as fol lows: (1) L earn th e needs for banking services by m aking a stu d y of our re spective com m unities, w eighing care fully such factors as th e social, politi cal, and economic background of the people and th e com m unity. (2) K now th e services produced by th e b ank and how such facilities m ay be adapted to c u rre n t and developing needs, in w hich th e personnel of the b ank should be carefully considered. (3) D eterm ine th e m an n er in w hich these facilities can be used m ost ef fectively in keeping w ith sound b an k ing. (4) P rep are a continuous program , w ith each step designed for m erch an dising th e ban k and its services in a m an n er th a t w ill enable individuals to become m ore favorably bankm inded. (T u rn to page 70, Please) T hey’ll B en efit M ost From th e H A L F - B I L L I O N DOLLAR In c r e a se in 1941 F arm In co m e I t W ILL pay you, Mr. Banker, to offer your com plete banking service to America’s business farmer and his wife . .. they’re your best customers . . . and members of that select one-third of all U. S. farmers who enjoy 54 percent of the nation’s farm wealth. These men and women will benefit most from the half-billion dollar increase in the 1941 farm cash income because they live in the world’s richest farm region, the “ H eart,” where more than half of the high-income farms in the U. S. are concentrated. un I t’s the “ H eart” farmer who is first to answer the call of a hungry nation . . . a nation whose defense program is putting more men to work every day. These are the farmers who fill the breadbasket of the nation with most of the cattle, hogs, corn, wheat, butter, eggs, and milk. These are the farmers who will earn more, spend more, and mean more in 1941. These farmers give Successful Farming the greatest percentage of R. F. D. circulation in the world! M eredith Publishing Company, Des Moines, Iowa. TRISKisaBl_kiskin 194// IA. SUCCESSFUL https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis FARMING 1 KAN. O K I* J) 20 Suggestions for Bßttßt 0p6t(ttÌOfì of Your Trust Department Trust Officers from Illinois and New York Discuss Phases of The Business in W hich You Are Interested Th e Smaller Accounts By CHESTER D. SEFTEN BERG V ice P residen t and Trust Officer Oak Park Trust & Savings Bank Oak Park, Illin ois / / “T H E problem facing the sm aller I tru s t d ep artm en ts is th a t of de veloping a g re a te r volum e of sm all tru s t accounts and im proving th e tech nique of h an d lin g sm aller accounts in order to m ake th em profitable. In th e first place, to surv iv e tr u s t d e p a rt m ents m u st o perate so as to tak e ad vantag e of every economy. Secondly, th e y m u st ad ap t th e ir operations so as to be able to accept and ad m in ister th e sm all tr u s t profitably. It is in th is phase of th e problem th a t I see a note of optim ism for th e sm aller tr u s t de p artm en ts. “Because th e d e p a rtm e n t is m ore flexible and on th e w hole less ex pensive to operate, it w ill find itself in a fa r b e tte r position to handle th e sm all tr u s t on a profitable basis th a n w ill th e la rg e r tr u s t departm en t. “In th e p a st th e sm aller d ep artm en t has been m ore w illing to accept th e sm all tr u s t and so has gained valuable experience in h an d lin g such accounts. T his is a field of tr u s t service w hich th e sm aller d ep artm en ts can w ell cul tivate, b u t in so doing th e y m u st heed a note of w a rn in g to p erfect th e ir operatin g ro u tin e so th a t th e y can take advantage of every operatin g econ om y.” “No one problem h as app eared to be as u n iv ersal am ong th e sm aller tr u s t d ep artm en ts as th a t arisin g from rec ord files and bookkeeping system s. T here h as been a w idespread dem and for a u n ifo rm system of tr u s t d e p a rt m en t accounting an d bookkeeping form s. B ut it m u st be rem em bered th a t th e m ost efficient bookkeeping and accounting system for an y one d e p a rt m en t is th a t system w hich w ill w ork b est in one shop, ta k in g into considera tio n th e p a rtic u la r physical layout of th e d ep artm en t, th e size and tra in in g of th e personnel, an d th e p red o m in an t ty p e or k in d of tr u s t business handled. N orthw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 “A ny system of records and account ing should provide for easy avail ability, to both th e executive an d ad m in istrativ e divisions of th e d ep art m ent, of a listing of assets by tru sts, by in v estm en t concentrations, and by chronological arran g em en t of duties. E v e ry accounting system should pro vide im m ediate availability of bal ances. E v ery system should provide im m ediate availability of th e to tal in v estm en ts of each account and of the tru s t d ep artm en t as a whole, by classi fications such as bonds, real estate, and m ortgages, and also by sub-classi fications such as governm ent, m unici pal, an d rail bonds. “The problem of asking and obtain ing adequate and reasonable fees is m ore com plicated w ith th e sm aller de p artm en ts, b u t is n ot im possible of solution. R egardless of th e tem p tatio n of com petitive pressure, w ise is the tr u s t officer w ho holds fast to a fixed schedule of fees. The tru s t dep artm en t is n o t an eleem osynary in stitu tio n nor a free service d ep artm en t for th e re st of th e bank. “The problem of new business and ad v ertisin g is one th a t affects tru s t d ep artm en ts of all sizes, b u t th e re are phases of th e problem w hich are es pecially troublesom e to th e sm aller departm ents. “F ew of th em can afford a full-tim e new business personnel and th e y are lim ited in th e am ounts th ey can spend on advertising. The first piece of p rin te d m a tte r off th e press b ears m ost of th e to tal cost, and th e u n it cost de creases as increasingly larg er n um ber of u n its are p rin ted .” Insurance Probl ems By COOPER D. W INN, JR. Insurance M anager G uaranty T rust C om pany N ew Y ork //H F F O R T S m u st be m ade to keep L in surance p rotection ab reast of fre q u e n tly changing laws, to provide autom atic and com prehensive cover age for every u n d ertak in g and to ob tain from in su ran ce com panies cover age for all hazards. T ru st officers m ust devise plans to keep them selves prom ptly inform ed of building a lte ra tions and new construction, th e v a cancies and changing occupancies of properties, and th e activities of co fiduciaries and beneficiaries, such as trad in g autom obiles, r e m o d e l i n g houses, m oving personal properties, and m oving personal p ro p erty from place to place. “T here is no form ula for th e com plete protection of fiduciaries by in surance, b u t th e n eare st th in g to a panacea for our problem s is autom atic, com prehensive in su ran ce and th e clos est cooperation betw een T ru st D ep art m en t and o perating divisions—-per sonal, corporate, and real estate—and th e insu ran ce departm ent. In addi tion, responsibility for in surance p ro tection should be co ncentrated in one person. “T ru st officers have a d u ty to obtain p roper insu ran ce and th ey should seek th e sam e careful advice on insurance questions w hich th e y obtain in legal m a tte rs and in v estm en t transactions. “The policies should cover all in terests involved—fiduciaries, co-fidu ciaries, ow ning estates, beneficiaries, life ten an ts, and all associated in te r ests, as w ell as corporations for ad m in isterin g or operating properties, th e ir tru stees or directors, and m anag ing or re n t collecting agents. T his ‘com prehensive assu red ’ should be ex pressed in broad term s in th e policy and th e ir respective legal titles set out in full in declarations for separate risks. “T hese liability and com pensation policies m u st include all u n d ertak in g s of every description and m u st respond to claim s based on legal, equitable, or assum ed liability. F u ll policy lim its should apply to each risk. F iduciaries cannot operate u n d er a policy covering legal liability only. “M any tim es tru s t officers w ill be delayed in pro b atin g a will, on having an ap p o in tm en t confirm ed, or in es(T u rn to page 71, Please) 21 Some Pertinent PùìtìtCtS O n Property Appraisal O THING should obscure or m in i mize th e fact th a t th e le n d e r’s p rim a ry consideration should be th e b o rro w e r’s ab ility to rep ay his loan. T he le n d e r’s aim is to m ake a safe loan an d n o t to m ake a deferred and dubious p u rch ase of real estate. B ut th a t objective, in tu rn , should not obscure or m inim ize th e im portance of th e v alue of th e m ortgage security. Since th e re can be no absolute or in flexible w ay to m easu re th e p re se n t or fu tu re dollar v alue of real estate, such v alu atio n m u st alw ays rem ain a m a t te r of jud g m en t, b u t th e soundest ju d g m en t w ill depend on th e w isest in te rp re ta tio n of th e m ost com plete and accu rate in fo rm atio n available. T he p rim a ry resp o n sib ility for such ju d g m en t re sts u pon th e officers and com m ittees of th e b an k s b u t th ey could an d should, m ore an d m ore, su p plem en t an d v erify th e ir ow n ju d g m en t by com parison w ith th a t of re liable, in d ep en d en t appraisers. One of th e chief causes of th e fail u re to dispose of foreclosed real estate has been th e conscious or unconscious tenden cy to estim ate p re se n t values in th e lig h t of e a rlie r estim ates m ade by th e sam e individuals, w ith th e re su lt th a t th e p re se n t view s are colored by fo rm er erro rs; and one of th e causes of those fo rm er erro rs, especially w ith resp ect to d ista n t properties, w as th e failu re to tak e counsel w ith outside ex p erts fam iliar w ith local conditions. A noth er cause of such failu re h as been th e fact th a t so m an y of th e b an k ers are a m ateu rs in th e a rt of securing leads an d creatin g sales a fte r th e in i tial contact h as been m ade. I t is not stran g e th a t th e y lack th e technique of developing an d closing sales, for it is out of th e ir d irect line of business. M oreover, n o t all of th em sh a re th e firm conviction th a t for ev ery p ro p e rty th e re is, som ew here an d a t som e price, a p o ten tial p u rch aser. P erh ap s some of th em have been schooled too long in th e a r t of saying “No,” to learn even th e language n ecessary to m ake a p rospective p u rc h a se r say, “Yes.” A skilled a p p ra ise r develops a six th sense, a n experienced eye, a subconscious m echanism for w eighing intan g ib le facto rs w hich m akes his N By Joseph E. Perry Commissioner of Banks Massachusetts There are four conditions upon which the credit risk should be judged, and the same number of classifica tions to be applied as to the location of the property. sense of values in d ependent of w eath er or o th er conditions th a t m ight d isto rt th e view point of th e am ateur. T ax rates, ta x policies, zoning, stre e t w idenings, and a score of o th er fac tors, p re se n t and prospective, w eigh out in th e ir tru e p roportions in the scales of experience, b u t a m em ber of a n in v estm en t com m ittee, w hose real estate app raisin g is an in freq u en t and poorly paid side issue, cannot be ex pected to sense those factors so well, especially in an u n fam iliar locality. T hen, too, th e re are rig h t now v ery p a rtic u lar reasons for needing th e best possible valuations. W e are being sub jected to terrific and conflicting p res sures. On th e one hand, th e w ar is destro y ing th e resources of th e w orld, w ith th e inevitable re su lt th a t th e w astage m u st ev en tually be paid for in low ered living standards. On th e o th er hand, th e re are inflationary fac to rs of u n p recedented m agnitude. It w ould seem elem en tary th a t th e ex pected im provem ent in real estate con ditions should be used as a period of reprieve, in w hich to clear aw ay th e la st vestige of th e w reckage of th e depression and build a sound founda tio n capable of w ith stan d in g any fu tu re depression or of benefiting from an y period of prosperity. Instead, how ever, we find increasing p ressu re to w rite m ortgages w ith sm aller equi ties, slow er am ortization, and low er in te re st re tu rn . Inexperienced and u n su sp ectin g people are th u s being coaxed and led into building and bor row ing beyond th e ir needs or th e ir capacity to repay. Someone, som e w here, som etim e, should tak e a stand ag ain st such w ell-m eaning b u t poten tially tragic tendencies. T he v ery first place for such a stan d is th e initial v aluation of th e p ro p erty to get real, ra th e r th a n v isionary values. It m ay be an u n p o p u lar stand, b u t in the larg er sense it w ould be a patriotic one. I should like to condense and p ara phrase, w ith approval, a v ery practical and co nstructive address on ap p rais ing and th e in te rp re ta tio n of appraisal data by R alph B. W ilkinson, w ho is tre a su re r of th e L aw rence Coopera tive B ank and p resid en t of th e Share In su ran ce F und, w hich in su res all th e sh areholders in all M assachusetts Co operative banks. H is address did n ot p u rp o rt to tell how to decide th e dollar value of a property, but, presupposing th a t the secu rity com m ittee had agreed on th a t figure, he discussed some very in te r esting procedure from th a t point on. H is suggestions w ere divided into two p arts, and I now quote one p arag rap h h aving to do w ith appraisal of th e bor ro w er’s capacity to repay the loan. “P a rt one is th e A ppraisal of th e C redit Risk. T he credit risk is based on four conditions: “1. T h at th e borrow er shall n ot pay us m ore per m onth th a n he earns per week. W e m ake th is exception th a t we do n ot necessarily confine th e earn ings to th e h u sband only. “2. A borrow er should not owe m ore th a n tw ice his an n u al income. “3. T he b o rro w er should have a steady income. “4. Our credit re p o rt from our local credit agency should show th a t th e prospective borrow er has a rep u tatio n for paying his bills. “I w an t to state em phatically th a t th is p a rt of th e ap praisal is ju s t as im p o rtan t if n ot m ore so th a n th e ap p raisal of th e real property. A fter all, th e m an signs a note and he says th a t he prom ises to pay so m uch per m onth. W hy sh o u ld n ’t you in v esti gate to see how w ell he can keep th a t prom ise? T he applicant says th a t if (T u rn to page 28, Please) Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 22 NATIONAL SURETY CORPORATION VINCENT CULLEN, President • FINANCIAL STATEMENT December 31st, 1940 ASSETS Cash in B an k s..................................................................................$ 2,158,995.79 Investments: B o n d s .................................................... $8,142,630.11 Preferred and Guaranteed Stocks . . 5,655,527.09 Common S t o c k s ..................................... 6,425,625.00 20,223,782.20 Premiums in Course of Collection, Not over 90 Days D u e ........................................................... Capital stock of National Surety Marine Insurance Corporation, a wholly owned s u b s id ia r y .................................................... Accrued Interest, Dividends and R e n t s ..................................... Reinsurance and Other Accounts R ece iv ab le.............................. Home Office B u ild in g .................................................................... 1,238,488.61 1,879,158.89 115,350 69 84,743.92 500,000.00 TOTAL ADMITTED A S S E T S .................................. $26,200,520.10 LIABILITIES Reserve for Losses and Loss Adjustment Expenses . . . . Reserve for Unearned P r e m i u m s ............................................. Reserve for Commissions, Expenses and Taxes . . . . *Contingency R e s e rv e ................................................................... C a p i t a l ............................................................ $ 2,500,000.00 S u r p l u s .............................. ....... 12,354,594.28 Total Capital and Surplus .............................................. $ 4,367,269.13 5,733,711.41 1,050,725.17 194,220.11 14,854,594.28 T O T A L ......................................................................................$26,200,520.10 * Represents difference between total values carried in assets for all bonds and stocks owned and total values based on December 31, 1940 market rates furnished by National Associa tion of Insurance Commissioners. Bonds carried at $1,186,772.13 are deposited for purposes required by law and bonds carried at $30,805.80 are deposited as collateral on surety bonds required in court proceedings. N orthw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19kl My Three Rules for Selling Automobile Coverage N selling autom obile casu alty in surance, one b ulletin has pointed out th a t th e re are th re e necessary qualifications to success. The first, it states, is WORK, th e second is WORK, and th e th ird is WORK! T h a t doesn’t seem to leave m uch to look for, and th e secret is solved. H ow ever, th e re m u st be difference in th e am o u n t of w ork accom plished by th e so rt of tools one uses. In m y office, I sw ear th a t I carry out th e adage to its lim it. H on estly! I w o rk in th e m orning, and again in th e afternoon, and still again a t night, b u t I am not satisfied w ith th e success I attain . It seem s to me th a t th e re are th re e in su rm o u n tab le walls. In th e m o rn in g it is detail, in th e aftern o o n it is in te rru p tio n , in th e evening it is in tru d in g visitors. Are any of you tro u b led in th is way? I am told th a t “th e bee th a t gets th e honey doesn’t h an g aro u n d th e hive,” and so know th a t th e rem edy is to realize th a t th ese th re e w alls are only a b o th er w hen one is in the office, and got out of it. H ow ever, due to these en tan g le m ents, I have n o t accom plished any feats of selling, n o r carried out any well defined p ro g ram s of selling w hich I can tell you have w orked. T herefore, in calling y o u r atten tio n to th e follow ing facts and m ethods, I w an t you to do as I say, and not do as I do. A nother b u lletin w hich comes to m y office reg u larly keep statin g “See ’em, Tell ’em and y o u ’ll Sell ’em .” T h a t rep re se n ts th e th re e points to w hich I w ish to call y o u r atten tio n . F irs t is: “See ’em .” W ho w ill we see? T he an sw er is prospects. T h e re fore th e first need is prospects. In sell ing autom obile casu alty in su ran ce we should first consider w ho has th e need. W ith o u t quoting figures to you, I be lieve I am correct in saying th a t th e re are autom obiles and tru c k s enough li censed in M innesota so th a t ev ery re si dent of th e sta te could be on th e road at th e sam e tim e. Some Sundays and holidays it seem s th a t th is is positively a proved fact. W ith such congestion comes an increasin g n u m b er of acci dents, and we come to th e conclusion th a t every autom obile needs to be in- By B. H. Strom Jackson, Minnesota sured, and th e “clu n k s” w hich a re n ’t w o rth y of insurance are not “road w o rth y .” We are told th a t less th a n one-third of th e autom obiles are in sured, so the field of prospects is al m ost unlim ited. W e can obtain prospects from lists of reg istered autom obiles from th e sec re ta ry of state, I believe, and we can also call on our local garages, and check new car sales every day or week, Less th a n one-third of all autom obiles on the road are insured, w hich makes the prospect list alm ost w ith o u t lim it. or even m ake an office to office, or farm to farm solicitation. T his is u n doubtedly th e m ost effective, for it w lil b rin g to light w ho is actively w ritin g autom obile in su ran ce in com petition, an d w ill m ake th e prospect feel your personal in te re st in him . I t m ay lead to business a t expiration, if not a t th e m om ent. I have read m any articles on direct m ail cam paigns, and en tered tw o of them . At tw o different tim es I have sen t out 500 good m ailing pieces, to nam es tak en from a list of reg istered ow ners, and enclosed a card for “in fo r m ation w ith o u t obligation” postage paid. In one case, one card w as re tu rn ed , and tw o or th ree in th e other. I don’t rem em ber w ritin g any business from it. It is certainly necessary to follow up direct m ail advertising, and th erefo re th is is only good as an e n te r ing wedge. Our b est prospects are those w ho come to us because one of our satisfied custom ers has recom m ended us. The n ex t best prospects are those to w hom we go w ith the recom m endation of a satisfied custom er. It all comes back to the necessary item of w ork. T he second point in successful sell ing is to “Tell ’em .” It is not very effective to “tell ’em ” th a t th e policy of some o th er com pany is no good. You m ay not even be su re of that! I believe our g reatest need is to know th e good points of our own contract, and tell our prospect of th e peace of m ind th a t w ill come of having a policy w hich is as valuable as a governm ent bond of $10,000/$20,000/$5,000, in case of an accident. I know good m erch an dise is sold because th e custom er has tried th e cheaper article, and has not been satisfied. Too often a policy ex pires w ith o u t th e custom er having had an o p p o rtu n ity to use th e protection or yo u r service, and th e n he feels th a t our charge is “too high,” and he says, “I can get it cheaper.” These a rg u m ents are no secrets to any of you, and therefore it is necessary th a t we know out contracts so w ell, and have so much honest en thusiasm for the cover age we can offer, th a t th e prospect is n ot w illing to take an y th in g except th e best. If th e n we see ’em and tell ’em, we come to the th ird fact: “W e sell ’em .” “See ’em, Tell ’em, Sell ’em .” It sounds easy, and is not as easy as it sounds, b u t if we do find th e prospect, and point out his need, and show him th e satisfaction in our protection, we w ill have come a long w ay tow ard landing th e business. If we are successful in selling him, we still have to rem em ber th a t he m ay not have a claim d u ring th e year, and if we can possibly get a chance, once or tw ice du rin g th e year, to point out to him th a t if he had an accident like Jo h n Jones ju st had th a t his policy w ould p rotect him , it w ould help. This m ight be done by m ail quite ef fectively, I believe. In th a t w ay we can keep business sold. I feel in my own agency th a t often tim es I fail on a renew al because it is not presented in the sam e enthusiastic, careful m an n er th a t th e original was. It is as bad to lose a renew al as not to get a new Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February Í9M 24 risk. T herefore renew als are w o rth w atching. If a loss does occur d u rin g the year, th e first notice should be a signal to us to drop e v ery th in g else, and give full a tte n tio n to obtaining th e best and quickest settlem en t w hich is possible. T h ere is satisfaction to th e agent as w ell as to th e assured w hen a prom pt, satisfacto ry settlem en t is made. T herefore, to sum it all up: If we see ’em, tell ’em, and sell ’em, w e’ll have to w ork, w ork, work! vehicle inspection stan d ard s in all of th e states has ju st come off th e press, sponsored jo in tly by th e A m erican A ssociation of M otor Vehicle A dm in istra to rs and th e N ational C onserva tion B ureau. The A m erican A ssociation of M otor Vehicle A dm inistrators, com posed of state executives w ho ad m in ister laws reg u latin g m otor cars, is engaged in prom oting m ore adequate and uniform traffic legislation and standards. The D escriptively en titled th e “M otor N ational C onservation B ureau, acci Vehicle Inspection M anual,” th e book d en t prev en tio n division of th e Asso is a product of several y ears of close ciation of C asualty and S u rety E x ecutives, is actively w orking in the stu d y and research by some of the b est m inds on th a t subject to be found w hole field of safety. B elieving th a t periodic inspections in th e country. It n o t only simplifies th e p rocedure for settin g up an effec of autom obiles are essential if acci tive and econom ical program for th e dents due to m echanical failures are For Safer Driving periodic inspection of m otor vehicles to be reduced, th e tw o organizations A n ew publication th a t is expected by th e states, b u t is regarded as an ef several y ears ago sponsored th e de to give increased in centive to th e fective co n trib u tio n to th e w hole pro velopm ent of a uniform m otor vehicle inspection code. W hen th e code w as m ovem ent to establish u n ifo rm m otor gram for m aking traffic safer. com pleted th e tw o organizations im m ediately began th e p rep aratio n of a m anual w hich w ould sim plify its use and application uniform ly in all of th e states. T h e “ S t . P a u l ” G r o u p W here adequate inspection law s D e c e m b e r 31, 1940 have been enforced fairly, th e re has been conservation of life and property. S A IN T P A U L -M E R C U R Y IN D E M N IT Y C O M P A N Y The “M otor Vehicle Inspection M an ST. PAUL, MINNESOTA u a l” describes th e history, purpose, F ifte e n th A n n u a l S t a t e m e n t value and scope of such inspections in ASSETS addition to fu rn ish in g a m ost com pre Bonds* .................................................................................................... ..$11,607,855.39 hensive program for establishing th e Stocks* .............................................................................................. 511,166.00 necessary m ach in ery on a state-wide, C ash and Bank D ep osits................................................................... 685,918.61 or com m unity basis. I t show s th a t Premiums in course of collection, not over 90 d a y s ................. . 1,775,515.03 Due from Re-insurance C om panies............................................... 38,279.32 since 1927, w hen th e idea w as first p u t A ccrued Interest ................................................................................... 95,669.55 forw ard, ap proxim ately one-third of th e states and m any m unicipalities $14,714,403.90 have adopted m easures for an official LIABILITIES inspection of m otor cars. T he periods R eserve for U nearned Prem ium s................................................... ..$ 3,958,264.61 R eserve for Losses and E xp en ses................................................... .. 3,826,597.87 of inspection range from one to as R eserve for Unknown and Unreported L osses.......................... 500,000.00 m any as four tim es a year. R eserve for T axes............................................................................ 347,000.00 The book m akes no claim th a t R eserve for Unpaid Com m issions, etc......................................... 436,886.67 m otor vehicle inspections are th e R eserve for D epreciation................................................................. 561,314.81 p rim a ry req u isite of traffic safety, it Capital Stock ............................................................ $1,000,000.00 Surplus ....................................................................... 4,084,339.94 5,084,339.94 states only th a t such inspections are one of several essentials if th e cost $14,714,403.90 in life and p ro p e rty due to traffic ‘ V aluations on b a sis approved b y N ational A ssociation of accidents is to be reduced. O ther Insurance Com m issioners essentials, it declares, are d riv er licenSecurities carried at $1,277,880.00 in the ab ove statem ent are d ep osited ing laws, adequate accident rep o rtin g for p urposes required b y law . system s, pro p er highw ay construction and im provem ent, com petent traffic S T . P A U L F IR E A N D M A R IN E IN S U R A N C E C O M P A N Y engineering, and efficient safety edu ST. PAUL, MINNESOTA cation. E nforcem ent, of course, it says, S e v e n ty -s ix th A n n u a l S ta te m e n t is a req u isite behind all of these ele A ssets ................................................................................... .$47,095,132.92 m ents. Surplus to P olicyholders................................................................. . 31,579,411.18 Other Liabilities ........................................................................ The m anual contains 123 pages and . 15.515,721.74 is illu strated w ith 62 photographs, M E R C U R Y IN S U R A N C E C O M P A N Y draw ings and charts. I t is divided into ST. PAUL, MINNESOTA six chapters, im p o rtan t topics includ S ix te e n th A n n u a l S ta te m e n t ing: m odel inspection legislation; state A ssets .............................................................. or m u n icip ality ow ned and operated .$ 6,863,475.40 Surplus to P olicyholders........................................................... . 4,141,593.20 inspection stations, and a com bination Other Liabilities ................................................................................... . 2,721,882.20 of th e two; statio n location, design and construction; equipm ent and building; T h e " S t. P a u l " G r o u p personnel; record system ; obtaining E x te n d s A ll F a c ilit ie s and holding public support; coopera Its E x p e r t S e r v i c e tion w ith garages; and financing th e to A ll B a n k e r s inspection program . F e a tu re d in th e last ch ap ter are the I o w a S e r v i c e O f f ic e 5 0 1 O ld C o lo n y B u i l d i n g D e s M o in e s , Io w a A m erican S tan d ard Inspection R e q u irem ents for m echanically safe Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 25 m otor vehicles. A dequate know ledge of established stan d ard s, it is pointed out, w ill keep a d riv e r b e tte r inform ed reg ard in g th e m echanical safety of a m otor car a t all tim es, especially be tw een inspection periods. T he “M otor Vehicle Insp ectio n M anual” is dis trib u te d by th e N ational C onservation B ureau, 60 Jo h n Street, N ew York, N. Y. National Surety T he financial sta te m e n t of N ational S u rety C orporation, as of D ecem ber 31st, 1940, show s to tal ad m itted assets of $26,200,520.10, an increase, d u rin g th e y e a r of $799,278.89. The capital stock of th e C orporation is $2,500,000 w ith su rp lu s of $12,354/ 594.28, a to tal su rp lu s to policyholders of $14,854,594.28. T his is an increase of $797,644.59. In com m enting upon th e statem en t, V incent Cullen, president, noted th a t the liabilities w ere $11,345,825.82 and th a t liquid assets, consisting of cash and readily m ark etab le securities totalled $22,188,557.88, a coverage of nearly tw o to one. In addition, th e Cor poration has quick receivables of $1,438,583.22, ow ns its hom e office bu ild ing carried a t $500,000.00 and th e e n tire capital stock of N ational Surety M arine In su ran ce C orporation w hich is carried a t its capital and su rp lu s of $1,879,158.89. board of directors w ere Senator Clyde L. H erring, F ra n k H. D irst, and L ester T. Jones. In his an n u al rep o rt P resid en t Jones announced th a t th e $117,694.04 in crease in su rp lu s d uring 1940 w as the second largest gain in th e com pany’s history, b ringing policyholders’ su r plus a t th e beginning of th e new year to a total of $1,253,787.12. A gain of m ore th a n $19,000,000.00 in in su ran ce in force w as also rep orted for th e year 1940, m aking th e total in surance in force now $537,284,559.00. Annual Meeting The Iow a S tate T raveling M ens as sociation held its six tieth an n u al m eet ing recen tly a t its hom e offices in Des Moines. W illiam H. Sm ith, president; W alter St. John, vice president; and C urrie C. Chase, secretary -treasu rer, w ere re elected. The board includes R. H. Phillips, N orton Sullivan, George E. H am ilton and D utton Stahl. Sm ith rep o rted th a t m ore th a n 7,000 new m em bership applications w ere w ritte n du rin g 1940, and th a t th ere w as an increase in assets of m ore th an $ 100, 000. SIX T H IN G S I W A N T D O N E FO R ME (C ontinued from page 11) bankers. T hey are in a position to know and to learn w h a t th ey do know B. Rees Jones w as re-elected p resi th a t is needed. T hey are in a position d en t of th e Tow n M utual Dwelling to a tta in and m ain tain th e confidence In su ran ce com pany, and four o ther of of people on m oney m atters. M oreover, ficers and directors w ere re-elected a t such a program can brin g re tu rn s to the com pany’s 48th an n u al m eeting at th e ban k ers for it w ill help people to u n d erstan d banking and m oney and its hom e offices in Des Moines. O ther officers re-elected included credits and economics in general b etter L ester T. Jones, Des Moines, vice p resi th a n th ey now do. An in tellig en t pa dent; F ra n k H. D irst, H am pton, secre tro n of any business is a m ore profit tary; and G ran t M cPherrin, Des able patron. In fact, m any people, be Moines, tre a su re r. Re-elected to th e cause of th e ir ignorance, are afraid of Jones Re-elected F o r ty - f o u r th A n n u a l F in a n c ia l S ta te m e n t AMERICAN MUTUAL LIFE I N S U R A N C E COMPANY • DE S MOI NES Financial Statement as of December 31, 1940 ASSETS Cash and Government B onds.........$ State, County and Municipal Bonds Loans to Policyholders................... F irst Mortgage L oans..................... Balance Due on Properties Sold Under C o n tra c t............................ Real Estate ......................................... Interest and Rents Due and Ac crued ............................................... Net Premiums in Course of Collec tion ................................................. 4 1,516,593.85 18,545,207.75 6,211.983.90 518,778.94 Policy Reserve ................................$27,035,455.99 Premiums and Interest Paid in A d vance ............................................. 397,797.00 Reserve for Supplementary Con tracts ............................................... 165.451.03 Claims Awaiting Completed Proofs 101,986.55 Reserve for Dividends to Policy holders ........................................... 295,118.06 Reserve for Asset Fluctuations. . . 146,714.64 All O ther Liabilities........................ 134,168.08 Total Surplus for Protection of Policyholders ................................ 1,829,288.89 243,113.94 2,550,097.86 326,669.74 193,534.26 Total Admitted A ssets.........$30,105,9-80.24 LIABILITIES f To Balance A ssets...............$30,105,980.24 O ver $83,000,000 P aid to P olicyow ners and Beneficiaries Since O rganization https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker February 1941 26 cial success m u st be won, and other successes m u st be won, in a w ay to help all a t th e sam e tim e one is helping him self. W e cannot expect people 6. B an kers m ust adjust b ank ing to to becom e univ ersally m agnanim ous, w h eth er th ey be ban k ers or school ad the im provem en t of the socio-econom ic order in w h ich w e live. As our in d u s m in istrato rs, b u t we expect th em to be tria l econom y progresses it increases in come enlightened. W hen th e ir selfish com plexity and inter-relationship. T h at ness becom es m ore enlightened they m eans g re a te r responsibility of each w ill perceive th a t private w elfare m ust factor in the social and economic fabric re st upon a foundation of g en eral w el fare. for th e sake of th e stre n g th of the fabric as a whole. Then, too, we have B ankers hold a strateg ic position in passed th e period of exploitation. th e socio-economic w orld. They, by virP ro sp erity in the past m ay have been tu re of th a t fact, c arry m ore th a n an justified on its basis of w inning success ord in ary sh are of th e responsibility for a t th e expense of others. Today finan th e socio-economic w elfare of our co u n try and our w orld. W e have a rig h t to dem and and to expect sta te s m anlike leadership from you bankers. We w a n t y o u r in tellig en t and efficient guidance in perform ing y o u r sh are of b ringing our p o tentially prosperous co u n try into continuous instead of an in te rm itte n t prosperity. W e have all th e p o tential re q u ire m ents for a g reat and su stain ed p ro s (Statement as of December 31, 1940) perity. All we need is pro p er economic organization. T h at organization m ust ADMITTED ASSETS have an eye on all th e people all th e tim e ra th e r th a n on th is class of people Cash in B anks and Office.................. .......................... ............... .......$ 418,839.77 F ederal Savings and B uilding and Loan A ssociations_______ 292,500.00 or th a t class of people. B ankers cannot Bonds: be prosperous w hen m illions are h u n U. S. G overnm ent_______ $559,963.81 g ry — n or can an y o th er p o rtion or C anadian G overnm ent _________ ______ 115,544.14 class of people be prosperous for long F ed eral L and B an k s................ 89,561.25 S ta te and M unicipals______ 425,617.46 w ithout general prosperity. P ublic U tilitie s .................... 10,278.57 In stead of letting th e g overnm ent R ailroads ......... 22,355.91 1,223,321.14 take over th e job, b an k ers and business A ccrued In te re st _________ _____________ _________ -.........— 14,167.93 A gents’ B alances (N ot over 90 d a y s)..... ......... .............................. 32,941.37 m en and in d u strial and social leaders O ther A ssets ....................... 978.76 m u st take it over. W e cannot continue to sh irk our duties in connection w ith T otal A dm itted A ssets........... ...... $1,982,748.97 the socio-economic problem s of our LIABILITIES country, and tu rn them over to the R eserve for Losses in Process of A d ju stm e n t---- ----------------- .$ 7,875.84 politicians. W h at we have been doing R eserve fo r Taxes an d E xpenses..... ................. .............. .......... ..... 9,519.36 is to w ait u n til we get into a mess. U nearned Prem ium R eserve.........................................................— 710,343.12 T hen th e politicians, w ho are not G u aran ty F und ........................................................ $ 200,000.00 train ed in eith er econom ics or sociol Surplus .................. ............... ..................-................ 1,055,010.65 PO LICY H O LD ER S’ SU RPLU S .................................................- 1,255,010.65 ogy, take over th e job of ru n n in g both th e econom ics and th e social organiza T otal .............................................................................................$1,982,748.97 tions. T hey m ake a still w orse m ess T otal Insurance in F o rc e .............................................................$537,284,559 00 of it. N ot all New Deal policies are bad. You couldn’t get as m any ideas to g eth er as th e New Deal has and have them all bad. B ut th ey are m ostly bad for th ey are political ideas ra th e r th a n sound ideas e ith er from the stan dpoint of scientific economics or sociology. DWELLING INSURANCE COMPANY B ut th ey are ju st w h at we m u st p u t Organized 1892 up w ith u n til th e leaders in our coun try w ho are tra in e d and w ho (lo have H u b b e ll B u ild in g , Des M oines th e pow er and influence s ta rt looking OFFICERS a t th e w elfare of th e co u n try as a B. REES JONES President w hole instead of from th e stan d p o in t LESTER T. JONES FRANK H. DIRST GRANT McPHERRIN of each kind of business by itself. Our Vice President Secretary Treasurer in d u stries have becom e u n ited by the DIRECTORS n a tu re of m odern business and in d u s Senator Clyde L, Herring, Des Moines R. Lloyd Young, Oelwein Frank H. Dirst, Hampton Rex H. Fowler, Des Moines try; our leadership m u st become Lester T. Jones, Des Moines Harry F. Gross, Des Moines united, too. B ut it m u st be th e leader O. B. McKinney, Denver, Colorado Grant McPherrin, Des Moines R. J. Sullivan, New Hampton B. Rees Jones, Des Moines ship of those w orking in th e field of social and economic organization not banks and ban k in g m ethods. T hey are afraid to tak e any chances. Such peo ple are not th e ones w ho are going to use th e b a n k e rs’ su rp lu s funds by b o r row ing from them . T hey are not th e ones w ho are going to p ay reasonable fees cheerfully, for ban k in g services. A b e tte r inform ed public w ill be a b e t te r patro n izin g public for banks. T his is w h ere a pro g ram of education of pa tro n s and th e public in gen eral w ould pay dividends to th e banks. E v ery business, including banking, is a p u b lic business and th e public has a rig h t to know how it is ru n and w hy it is ru n th a t way. T hey m u st be told in term s th a t th ey can u n d erstan d . The fees I pay on m y deposit shortages a t m y b ank and m y incom e tax are th e only th in g s I pay for th a t I do n ot u n d e r stand. fyin a w U a l S ta te m e n t OF AMERICA’S LARGEST EXCLUSIVE DWELLING INSURANCE COMPANY tfoimt/Hutua/ Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 27 of th e politicians, w ho know little or n o th in g about an d care less about so cio-economic basic principles. R adicalism including socialism does n o t get its pow er so m uch from th e radicals as from th e im possible situ a tion th a t the ultra-conservatives let us get into before th ey do anyth in g , and th e n it is too late. W e need to beat the radicals to th e few good ideas be fore th e y tak e over th e w hole show w ith m ostly half-baked ideas. W e need a m ore aggressive liberalism from our socio-economic leaders, including b a n k ers. p * o « r£ S S 1907 to 1990 L E G A L D EPA RTM EN T (C ontinued from page 16) H yde, a South D akota banker, also ow ned a d ru g store in th a t state. P u r su an t to th e F a ir T rade Law, th e com pany m an u factu rin g A lka-Seltzer es tablish ed a m inim um price a t w hich th a t pro d u ct m ig h t be retailed. Such prod u ct is, and w as, in free and open com petition w ith o th er sim ilar analge sics, such as B rom o Seltzer. The banker-d ru g g ist sought to nullify th e estab lish m en t of th e m inim um price, claim ing it p erm itted a m onopoly con tra ry to th e state constitution. W as such co ntention sound? No. T he typ e of m onopoly w ith w hich th e state con stitu tion is con cerned is one th at ex ists on ly w here all or so n early all of a com m odity w ith in a com m un ity is brought into the hands of one m an or set of m en as to p ractically b rin g the h and lin g or production of the com m odity w ith in such sin gle control th at com petition or free traffic therein is excluded. T his ob viously did n ot happen w h en a m in i m um price w as estab lish ed on AlkaSeltzer as it w as, and is, in free and open com p etition w ith other sim ilar com m odities. Grant w as able to m ake certain cap ital gains th ro u g h th e pu rch ase an d sale or s u rre n d e r of c ertain farm loan bonds issued by jo in t stock land b anks u n d e r th e F ed eral F a rm L oan Act. U nder th a t Act th e incom e derived from such bonds is exem pt from F e d eral taxation. By reason of such ex em ption m u st G ran t pay a federal in come ta x on his capital gains? Yes, according to a recent U nited S tates Suprem e Court decision. It w as there held th at incom e derived from a secu rity does not em brace in com e derived from tran saction s in that secu rity and th at the statu tory exem p tion applied only to the in terest paid on the bonds. ^1 ¡me and conditions have tried the entire structure of our organization, and each succeeding year finds our progress accelerated by accomplishment. A contract with Western insures success. 34th ANNUAL STATEMENT Taken from the report of the Examiners of the Iowa Insurance Department as of Dec. 31, 1940 L IA B IL IT IE S A SSE T S Cash ................................... $188,985.97 Bonds (m arket value) . . . 79,153.40 Bldg, and Loan S h ares.. 10,000.00 6,505.20 Real E state ...................... Real E state Sold on Contract ...................... 15,000.00 F irst M ortgages ............ 54,723.49 Due from A g en ts............ 62,296.39 Due from Reins. Co........ 280.20 Accrued In terest ............ 1,815.90 Cash Value of Life Insurance .................... 6,848.98 Current Bills .................. $ Current Reins. Prem ium s Reserve for T ax e s.......... 4,120.86 Reserve for L osses.......... 32,901.52 Reserve for Unearned Prem ium s .................... 257,603.88 Surplus ................................ 125,151.07 $425,609.53 $425,609.53 R E IN S U R A N C E T h e a c tiv e r e i n s u r i n g c o m p a n ie s c a r r y i n g th e o th e r lin e s o f in s u r a n c e a b o v e th e n e t r e t e n ti o n o f th i s C o m p a n y sh o w a v e r a g e le n g th of tim e in o p e r a t io n — 49 y e a r s . Legal Reserve Ron-Assessable Fire and Auto Policies W ESTER N M UTUAL FIR E IN SU R A N C E COM PANY DES MOINES Over a Third of a Century of Safety and Service With Savings N orthwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 594.45 5,237.75 February 1941 28 The M andel Corporation, because of a previously existing deficit, w as p ro hibited by state law from d istrib u tin g as dividends a profit earn ed in 1936. The profits w ere, n evertheless, subject to th e su rta x on u n d istrib u te d profits levied by the R evenue Act of 1936 u n less excepted u n d e r th e provision of the law th a t ra n to th e effect th a t th e tax w as not payable on profits th e corporation could not d istrib u te w ith out violating a w ritte n co n tract exe cuted p rio r to M ay 1, 1936. Could the corporation claim th e exem ption? No. A corporation w hich , because of a p reviou sly ex istin g deficit, is pro THE CHAMPION AGENCY In Both V o lu m e and C a s h for F i v e C o n s e c u t iv e Y e a r s V BANKERS LIFE COMPANY OF IOWA hibited by state law from d istrib utin g as dividends a profit earned, is not w ith in the exem ption from su rtax on undistributed profits m ade by the R evenu e A ct of 1936 th a t applies to profits w h ich cannot he distributed w ith ou t v io la tin g a w ritten contraet execu ted prior to May 1, 1936. The state la w is not a w ritten contract as contem plated by the R even u e A ct. The U nited S tates Suprem e Court so held recently. good (or excellent) house, his bank w ill loan eighty per cent of th e ir valuation, b u t if the rating, “fair,” ap pears tw ice, th e y w ould reduce the loan to betw een six ty and sev enty per cent of th e ir valuation. Or if “poor” appears in e ith er class th ey drop to fifty p er cent or decline th e loan. O ther possible com binations receive co rre sponding w eight. This rough and ready tw o-part ru le of th u m b has been trie d experim en tally in his ow n ban k in over four h u n dred cases in th e last five years, w ith A PP R A ISA L POINTERS out su stain in g a single loss. In an o th er lot of appraisals m ade for o ther (C ontinued from page 21) institu tio n s, he m ade spot tests by he fails to m ake the contractu al p ay this system on one h u n d red sixty-six m ent, he offers you as collateral a sales of foreclosed pro p erties spread piece of real estate. So we come to all over M assachusetts. One purpose th e collateral or th e appraisal of th a t of these tests w as to check th e valid real estate.” ity of th e ru le of th u m b m ethod In w h a t Mr. W ilkinson called P a rt against the ratio of sale prices to gross two, he discussed th e appraisal of the rentals. Out of th is total, th e ra tin g secu rity and suggested th a t th e ap “good” appeared at least once in sixtypraiser, w ith o u t going into details, one appraisals and th e ir sale prices should use his ju d g m en t to decide into averaged over 7.22 tim es th e an n u al w hich of four rough classifications gross rental. In th e fifty-six cases th e location of th e p ro p erty falls, viz.: w here th e ra tin g w as “fa ir” both as excellent, good, fair or poor. No fancy, to location and condition of property, technical v aluation is required, b u t th e average sale price w as 5.5 tim es ju s t plain, o rd in ary common-sense, the an n u al gross rental. In th e re aim ed to h it a ra th e r broad target. m aining forty-nine parcels w here the Next, exactly th e sam e te st is applied grading “poor” appeared once, or to th e condition of th e building. T hat twice, th e sales averaged only 4.85 gives four possible grades for th e loca tim es th e an n u al gross rent. tion, an d th e sam e four possible grades F ro m th is condensation we m ay for th e condition of the house, nam ely, glean a t least a skeleton outline of excellent, good, fair, or poor. Thus, his idea, w hich is not to use th e sam e on an excellent location th e re m ight inflexible y ard stick on each applica be an excellent, a good, a fair, or a tion but, instead, to fix th e size and poor house. The sam e building classi p erhaps th e term s of th e loan on a fications m ig h t likew ise be found on basis inversely p ro p o rtio n ate to th e a good location, or a fair or a poor one. risk. Mr. W ilkinson is careful n ot to If, w hen th is is done, th e rating, lay these ru les dow n in an y a rb itra ry “good,” appears at least once, eith er fashion for th e guidance of anyone as a good (or excellent) location or a else, b u t suggests th a t each b an k go BUILT ON A STRONG FOUNDATION Strength, Safety, Savings and Service to Policyholders NET PREMIUMS WRITTEN DURING YEAR 1934 - - $219,753.22 1935 - - - 301,947.72 1936 - - - 378,520.74 1937 .................... 501,609.06 1938 - - - - 602,268.93 1939 ...................... 707,147.70 1940 .................... 827,134.50 SURPLUS AS OF DECEMBER 31st 1934 1935 - 1936 1937 - - 1938 - 1939 - - TOTAL ADMITTED ASSETS AS OF DECEMBER 31st $22,917.65 - 33,140.84 - - 1934 - - $144,808.04 1935 - - - 187,181.53 82,557.96 - 105,115.39 - 169,874.23 - 201.071.46 1940 .................... 265,575.77 1936 - - - 266,954.39 1937 . . . . 365,247.78 1938 - - - - 519,090.16 1939 ...................... 691,487.48 1940 .................... 875,961.78 ALLI ED MUTUAL C A S U A L T Y COMPANY H U BBELL BLD G . H A R O L D S. E V A N S , President DES M O IN E S , IO W A J Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19)1 29 over its ow n foreclosure sales and m ake up its ow n policy from its own p ast experience, and use th a t as a rough guide in estim atin g fu tu re losses on sales of p re se n tly owned p ro p e rty by foreclosure and in esti m ating th e am o u n t w hich could be safely loaned on new m ortgages. L et m e close w ith th e b riefest pos sible m en tio n of tw o collaterally re lated phases of o u r stu d y —th a t of p re ven tin g th e n ecessity of foreclosing m ortgages and of m a rk e tin g p ro p erty obtained th ro u g h foreclosure. One of o u r savings banks, on th e receipt of th e a n n u al ex am ination re p o rt from m y d ep artm en t, im m edi ately review s every m ortgage w hich we criticize as u n satisfacto ry . A fter careful, ind iv id u al study, each such m ortgage is listed in one of several classifications. Some classifications relatin g to am o rtizatio n are h ere cited m erely as illu stra tio n s of th e m ethod of such classification: “L oans th a t have sta rte d am o rtiza tion b u t a t in ad eq u ate am o u n ts.” “Loans w h ich w e believe could pay b u t w ill not.” “L oans we believe can n o t be am ortized b y th e p re se n t ow n er.” “L oans on w hich assig n m en t of re n ts should be re q u ire d .” “Loans w hich should be foreclosed.” The m ortgages are th e n divided into groups an d each g roup is placed u n der th e superv isio n of a m em ber of th e b a n k ’s staff w ho th e re a fte r is charged w ith th e resp o n sib ility of im provin g th e sta tu s of th e m ortgages in his group. E ach th re e m o n th s th e m ortgages are again review ed and re classified. If th e p a rtic u la r objective is to get th e m ortgage on an am o rtiza tion basis, th e re follow s a series of form le tte rs and perso n al interview s, th ro u g h o u t all of w h ich th e em phasis is to show th e b o rro w er th e benefits he w ould d erive from am ortization. A fter th e m ortgage reaches a satis factory position, fu rth e r am ortizatio n is optional w ith th e b orrow er. T his m ethod h as produced am azing im provem ent, n o t only in th e m ortgage situation, b u t in th e frien d ly relatio n s betw een th e b an k and its borrow ers. Too Much Effort Two political job h olders w ere off on a binge. “I ’m going to leave this job soon and I w a n t you to come w ith m e,” said one of th e boys a fte r his eighth drink. “I know a place in Africa w here th e re ’s a lot of gold ju s t lying around w aitin g for som eone to pick it up.” “I k n ew th e re w as a catch in it,” re plied his friend. “W h a t’s th e catch?” “You’ve got to bend over.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis r A FINANCIAL STATEMENT ^ that speaks for itself... ASSETS Market V alue of Bonds. $1,321,898.40 C ash in Banks 1,954,096.62 Market V alue of Stocks 35,720.00 Real Estate (Home Office Bldg.) 125,239.86 Real Estate M ortgages (FHA Insured). _ 217,176.99 Interest Accrued 11,343.22 Premiums R eceivab le (Not past d u e ). _ 555,662.47 $4,221,137.56 31.3% 46.2 0.8 3.0 5.2 0.3 13.2 100.0 RESERVES R eserve for C laim s______ R eserve for U nearned Premiums Other R eserves (Taxes, C om m issions, D ividends, Reinsurance, etc.) $1,765,737.80 1,245,269.40 41.8% 29.5 238,886.63 5.8 Total Liabilities _________________ $3,249,893.83 R eserve for C ontingencies 100,000.00 S u r p lu s ___ 871,243.73 77.1 2.4 20.5 $4,221,137.56 100.0 G overnm ent and M unicipal Bonds and C ash 77.5% of A ssets or 100% of all Liabilities T h i s is th e 30th a n n u a l fin a n c ia l s ta te m e n t (as of D ec. 31, 1940) of E m p lo y ers M u tu a l of D es M o in es— a c o m p a n y w h ic h a n y b a n k c a n b e p ro u d to r e p r e s e n t o r re c o m m e n d —s e rv in g Io w a, N e b ra s k a , th e D a k o tas, a n d o th e r midw e s te rn a n d w e s te rn sta te s. JOHN A. GUNN C h a irm an of th e B oard, T re a su re r J. W . GUNN P re sid en t JOHN F. HYNES V ice P re sid en t, S e c re ta ry D IRECTORS: D r. D. E. B a u g h m a n , P r e s ., F o rt D o d g e S e r u m C o., F o rt D o d g e Io w a ; A n s e lm F r a n k e l , P r e s ., F r a n k e l C lo th in g C o., D es M o in e s; H . L. H je r m s ta d , P r e s ., C itiz e n s F u n d F ire I n s u r a n c e C o., R e d W in g , M in n .; D r. L. E. K e lle y , P h y s ic ia n a n d S u r g e o n , D es M o in e s; F r a n k K o h rs, P r e s ., K o h rs P a c k in g C o., D a v e n p o r t, Io w a ; O . B. M c K in n e y , G e n e r a l A g e n t, D e n v e r, C o lo .; G e o . E. P a tte r s o n , S p e c ia l R e p r e s e n ta tiv e , D es M o in e s; W . Z. P ro c to r, A tto r n e y - a t- L a w , D es M o in e s; H . W . R e a d , S e c y ., Io w a V a lv e C o., O s k a lo o s a , I o w a ; T h o s. H. T u rk , F a r m e r , O m a h a , N e b r.; M . J. W ilk in s o n , B r a n c h M a n a g e r , W ic h ita , K a n s a s ; R. L. W o o d , T r e a s ., W o o d B ro th e rs T h r e s h e r C o., D es M o in e s. E mployers M utual CASUALTY COMPANY • DES MOINES AUTOMOBILE INSURANCE . WORKMEN S COMPENSATION • TOWN LIABILITY GENERAL LIABILITY . ELEVATOR INSURANCE * PLATE GLASS N orthwestern Banker February 1941 30 No. X I of a Series JU ST WHO P R O F I T S . . fmtgAimerit ßankm<i>? “Ju st W ho B a n k in g ? ” P ro fits — f ro m In v e s tm e n t P e r h a p s th e u n th in k in g la y T h e sm a ll to w n r e s id e n t o f Io w a w h o n o w e n jo y s c o m p le te u tility fa c ilitie s — o n ce m a n ’s a n sw e r to t h a t q u e s tio n w o u ld b e, o n ly a v a ila b le to c ity d w e lle rs— p e r h a p s “ W h y , th e In v e s tm e n t B a n k e r, o f c o u rse .” se ld o m re a liz e s th a t h e ow es th e se m o d e rn co n v e n ie n c e s, in so m e p a r t, to I n v e s tm e n t B a n k in g . In v e s tm e n t B a n k in g , lik e a n y o th e r e c o n o m ic e n te r p r is e , m u s t r e d o u n d b e n e fit o f o th e rs . to th e O th e rw ise , th e r e c o u ld h e n o excu se f o r its ex iste n ce. An e x c ite d sc h o o l y o u th , a tte n d in g a b a s k e tb a ll g am e, p r o b a b ly d o e s n ’t re a liz e th a t th e Io w a In v e s tm e n t B a n k e r h a d a d e fin ite h a n d in p r o v id in g t h a t fine, n ew T h e m a n w h o s ta n d s a t a p o w e r p re ss in g y m n a siu m . so m e Io w a in d u s tr ia l p la n t ca n , a t le a s t in d ir e c tly , a ttr ib u te h is g a in fu l e m p lo y A n d , th e c o n v a le sc e n t is u n m in d f u l of th e fa c t t h a t th e m o d e rn h o s p ita l in w h ic h h e m e n t to th e In v e s tm e n t B a n k e r. is b e in g so s k illfu lly tr e a te d — w as b u ilt f ro m b o n d s, u n d e r w r itte n a n d d is trib u te d T h e m o to r is t w h o g lid es s e re n e ly o v e r a b y a n Io w a I n v e s tm e n t B a n k e r. r ib b o n o f c o n c re te p o ssib ly n e v e r gives th o u g h t to th e im p o r ta n t ro le p la y e d b y “Just th e In v e s tm e n t B a n k in g in te r e s ts of Io w a B a n k in g ? ” —in p r a c tic a lly e v e ry o n e o f h e r n e a r ly th r e e fin a n c in g o u r s ta te ’s fine h ig h w a y W ho P ro fits — fro m In th e In v e s tm e n t case o f Io w a , it is m illio n citiz en s. system . liiHii Investment l>¡inkers Association Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M 31 The Month’s Market Maneuvers B u s i n e s s con tinued its upw ard spiral of activity in January, but m ar k ets for stock s and bonds w ere easier. D espite favorable dividend n ew s and in the face of excel len t earnings re JA M E S H . C L A R K E ports, c o m in o n stock s drifted low er. U n certain ties abroad, plus p lans for in creased taxes and m uch m ore G overnm ent fin an c in g at hom e, w ere d isturbin g to in vestors. U ndoubtedly, fears of w h at m ay hap pen to E n glan d in the spring w eigh h ea v ily on the stock m arket. A nd the alm ost daily dem ands for m ore help for th e B ritish serve to em phasize the serio u sn ess of the situ ation . Strangely enough th e London B ank E xch an ge seem s to act b etter than our ow n —all th in g s considered. It is true, of course, th at at the outbreak of the w ar in A ugu st, 1939, the E n glish m arkets w ere m uch harder h it than our ow n — but th eir recoveries have b een am az ing. A t least, in the face of a series of d isasters. A t the p resen t tim e, prices on the L ondo n S to ck M a rket are about seven to eight per cent below those existing before the w ar— our ow n quotations are off fo u r to five per cent. Of course, the B ritish m a rk e ts are closely con trolled n o w — and price m o v e m e n ts can not be as w ide as in a free m arket. B u t even so, the fa ith of the E n g lish in vesto r in equities is rem arkable— w ith H itler ju s t across the channel. W e are w ritin g th is aro u n d noon of W ednesday, J a n u a ry 29th. Our dead line is tom orrow . The stock m a rk e t is w eak again today—-in fact it is off over tw o points on th e Dow-Jones in d u s tria l averages a t th e end of th e first th re e h o u rs of trading. T h a t b rings th e Dow-Jones average figure dow n to about 126.50—th e low est since last A ugust. A t th e b eginning of J a n u a ry th e figure w as 131.13—and w hile th e re are still tw o full days of tra d in g left th is m o n th —certain ly th e stock m a r k et action since th e first of th e y ear has not been good. The volu m e of trading has been m od erate—w ith no day in w hich one m il lion sh ares w ere traded. T here w ere ten days in w hich gain s w ere recorded, one day in w hich the average recorded Prepared for The Northwestern Banker By James H. Clarke Assistant Vice President American National Bank & Trust Co. Chicago no change—the balance, of course, w ere declines. One other d evelopm en t is of in terest. T here w ere large blocks of stock s traded “aw ay from the m ar k et” during the m onth. In short, sub stantial block s of stock s lik e Standard Oil of N ew Jersey, U nion Pacific, Wrigley, etc.—w hich m ight have broken the m arket if offered in th e regular trad in g sessio n — w ere offered after the close. W h ile the offering price w as the sam e as th e last sale on the E xchan ge, th e b uyer did not have the com m ission to pay and th e cu stom er’s m en in brok erage h ou ses received a fee for each sale. Tt seem s fair to assum e th at m any of th ese blocks w h ich w ere form erly closely held by estates and the like h ave now found th eir w ay into m argin accounts. Tf th is is correct, w e m ay as sum e that such shares are m ore lik ely to be dum ped in to m arket during breaks than form erly—and th at w eak m arkets w ill feel the im pact. AVe shall see. H igh grade bonds ■ —- governm ents, m unicipals and corporates, w ere w ea k er during the m onth. The only bright spot in the bond m a rket was in the second grade rail section w here im p ro vem en t resulted on the heels of sh arply better earnings reports. For instance, Sou th ern Pacific 3%’s of 1946 w h ich w ere selling around 49 at the year end are now quoted 58— Illinois Central 4’s of 1952 have im proved ap p ro xim a tely nine points and Texas and Pacific 5’s of 1977 are up eight points. On th e o ther hand, th e long govern m en ts—th e 2%’s of 1960 w hich closed th e y e a r at 111.2 on th e bid side are aro u n d 108.26 th is m orning. A sim ilar easing in prices w as evident th ro u g h out th e m unicipal list, w hile prices of co rporate m oney bonds w ere lower. In no case w as th e b reak a substan tial one b u t th ere w ere m any bond buyers on th e side lines. One w eek in J a n u a ry —th e one ended Saturday, the elev en th—th e forty-five large life in su ran ce com panies w hich rep o rt w eek ly to th e W all S treet Jo u rn al bought a total of $12,450 in U. S. G overnm ents. N atu rally th is cannot be accepted as indicative of a policy, b u t it is the sm allest am ount we have ever seen reported. There w ere som e su bstan tial pieces of refinancing in the m arket in Jan uary. Too m any in fact to d iscu ss in detail in th is article. The largest w as an offering of $50,000,000 of Illin ois B ell T elephone 1st 2 %’s of 1981 — priced at 103 |/2. The public decided the price w as too high and w h en the sy n dicate closed on the tw enty-fou rth the A\rall S treet Journal quoted them 101% on th e bid side. The second offering in size w as $28,000,000 of Jon es & L au ghlin 3!4’s of 1901— priced at 100. T his w as another in stance of overpric ing and w ith the closin g of the syn d i cate th e bid w as 97%. W hile a few of the offerings, in clu d ing S hell U nion 2 %’s of 1961, Southern C ounties Gas 3’s of 1971, and E l P aso E lectric 3 %’s of 1970 m et w ith fair reception — m ost of them required lots of sellin g pres sure. Before this article goes to press it is quite likely that Pan H andle E astern Pipe L ine w ill sell $12,000,000 of 1st 3 s of 1960. Probable price IOIV2 . A n o th er issue w hich m ay be out of the w ay is $26,500,000 of W isconsin Public Service Corporation 1st. 314 's of 1971. The biggest bit of refunding now planned for F ebruary is the Republic Steel Corp. deal. I t is understood that this w ill exceed $100,000,000 w h ich w ill re fu n d all of the com pany’s present debt and to a sm all exten t increase its w o rk ing capital. The high ra te at w hich business is now operating—com pared to previous y ears—is best illu strated in th e steel industry. Steel producing capacity at th e end of 1940 w as 84,148,000 tons com pared to a th eoretical high in 1938 of 81,824,000 tons. At th e peak of w ar production in 1918, capacity w as rated at 61,021,000 tons. T he m ills are w ork ing at practically peak capacity. And are expanding p resen t facilities. N oth ing b u t a B ritish victory—no fu rth e r dem and for w ar supplies—can slow dow n in d u stry in th e n ex t several m onths. W ith no likelihood of th is— and w ith th e probability th a t a Ger m an victory w ould stim ulate our own efforts—1941 should surpass any p rev ious y ear in business activity. The outlook for the m arkets, how ever, is still dubious. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 32 Vice Presidents Sm ith, B u rris & Co. of Chicago and N ew Y ork announce th e election of H en ry Selz, E rn e s t C. Cook and Glenn D egner as vice p resid en ts of th e com pany. H en ry Selz has lately been associat ed w ith M itchell, H u tch in s & Company in Chicago, and w as fo rm erly a p a rt n e r of H arrison, O’G ara & Co. E rn e s t C. Cook has been associated w ith Sm ith, B u rris & Co. for m ore th a n 10 y ears as w holesale re p re se n ta tive in th e m iddle w est and south. G lenn D egner has been associated w ith Sm ith, B u rris & Co. for a nu m b er of y ears as e a ste rn sales m anager, in GENERAL MOTORS charge of th e com pany’s New York office. Named Vice President Roy W. Leriche, w ho has been asso ciated w ith th e firm an d predecessor for some fo u rteen y ears and secretarytre a s u re r of W heelock & Cum m ins, Inc. since 1935, has been elected vice p resid en t of th e com pany and w ill fill th e offices of vice presid en t an d secre tary. Live Stock, Chicago A t th e an n u al m eeting of th e stock holders of th e Live Stock N ational B ank of Chicago, David H. R eim ers, ACCEPTANCE president, announced th a t its deposits w ere th e largest since its founding in 1868, being now ju s t u n d er $30,000,000. H. P. Johnston, vice president, w as elected vice p resid en t and cashier fol low ing th e re tire m e n t of D. Roy K en dall, cashier. R udolph O stengaard w as appointed com ptroller-auditor. R. E. (P at) K ileen w as elected a ssistan t cashier and W illiam S. M cClanahan w as elected a ssistan t tru s t officer. All th e officers and directors w ere re elected. Heads Philadelphia National Follow ing the m eeting of th e board of directors of th e P hiladelphia N a tional Bank, Joseph W ayne, Jr., a n nounced th a t his resig n atio n as p resi den t of th e b ank had been accepted by th e board and th a t he has been elected chairm an of th e board. E v an R an dolph, form erly vice president, has been elected p resident of th e bank, CORPORATION is engaged primarily in facilitating wholesale distribution and retail sales of the following products of General M otors C o rp o ratio n and its w orld-w ide affiliates: CADILLAC, BUICK, OLDSMOBILE, PONTIAC, CHEVROLET automobiles; fr ig id a ir e appliances for refrigeration and air conditioning; d e l c o lighting, power and heating equipment; g m c trucks; Be d f o r d , v a u x h a l l and other foreign made automotive vehicles. The business consists of investments in self-liquidating credits, widely diversified as to region and enterprise, cap ital em ployed being in excess of $80,000,000. In obtaining short term accommodation, g m a c issues one standard form of note. This obligation it offers to banks and institutions, in convenient maturities and denominations at current discount rates. GENERAL MOTORS INSTALMENT PLAN These notes are available, in limited amounts, upon request. e x e c u t iv e o f f ic e Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BRANCHES IN PRINCIPAL CITIES N E W YORK February 19bl EVAN RANDOLPH and C harles P. Blinn, Jr., also a form er vice president, has been designated ex ecutive vice president. In m aking th e announcem ent, Mr. W ayne said “T his change in th e execu tive personnel of the b an k w ill p erm it th e m ore active m en in the organiza tion to assum e positions of g re a te r re sponsibility, and a t th e sam e tim e w ill allow me in th e position of chairm an of th e board to continue, in an advis ory capacity, m y relatio n sh ip w ith th e officers of th e bank. I am glad th a t th e high stan d ard of banking service, w hich The P hiladelphia N ational B ank has for so m any g enerations ren d ered to th e public, w ill be carried on u n d er th e leadership of E van R andolph, my close business associate for over tw en ty-five y ears.” Mr. W ayne’s an n ouncem ent follows, by only a few m onths, his celebration 33 of fifty y ears of service w ith The P h ila delphia N ational B ank and th e com ponent b an k s w h ich w ere b ro u g h t to g eth er and m ade T he P hilad elp h ia N a tional B ank th e larg est b an k in g in sti tu tio n in th e th ird F ed eral R eserve D istrict. Mr. W ayne has served as presid en t of T he P h ilad elp h ia N ational Bank, T he P hiladelphia-G irard N a tional B ank an d The G irard N ational B ank since 1914. The P h ilad elp h ia N ational B an k ’s original c h a rte r w as issued in 1803, and w ith deposits of over $620,000,000 it is one of th e seven teen larg est b an k s in th e co u n try and one of th e six larg est banks exclusive of those in N ew Y ork City. ing th e lack of dem and from our cus tom ers for borrow ings, th e low re tu rn for m oney, and th e sm all yield on in vestm ents, th e B ank did w ell in being able to earn its reg u lar dividend, care for expenses and losses, set aside $50,000 a m onth for general reserv e and add $1,160,659 to its undivided profits. The B ank operated du rin g th e year w ith large excess reserv es—th e excess averag ing $190,068,000 p er day. “The y ear 1940 w as a splendid year of g ro w th and developm ent for th e Bank. “W e m ain tain ed du rin g th e y ear our tra d itio n al policy of confining our in v estm ents and com m itm ents to those of sh o rt m aturity. “G eneral business im proved and is gaining m om entum , due to th e fact th a t our g overnm ent has em barked upon th e m ost extensive preparedness program in th e h isto ry of th e w orld. “W hile we are in full accord w ith preparedness, w e believe th is nation can and should avoid w ar. “No one is w ise enough to forecast th e fu tu re or predict th e final outcome. One th in g is certain —th e w orld g en erally w ill be far poorer w hen th e con flict ends. W h eth er or n o t w e have be come involved, w e cannot avoid the consequences.” Real Income Rises W ar an d defense activity, and th e speedup th e y have g en erated in g en er al business th ro u g h o u t th e U nited States, have lifted th e cash incom es of Mr. and Mrs. A m erican Public fo u r teen cents on th e dollar over a y ear ago. T he Publics, up to D ecem ber 1, 1940, have been able to utilize th e gain in cash incom e as a n e t rise in “real incom e”, because living costs have de clined from th e levels of a y e a r ago, according to a m o n th ly stu d y of w h at people get and spend, m ade public by Inv esto rs Syndicate. “The increase in cash incom e,” ex plains In v esto rs S yndicate’s m on th ly study, “is th e expected p ro d u ct of a y e a r of trem en d o us business activity. T he asto u n d in g factor rem ain s th e sta b ility of prices th a t m akes these cash dollars w o rth m ore in te rm s of goods. All th e increase in cash incom e has been tra n sp la n te d into an increase in ‘real incom e’.” Mr. and Mrs. Public, in th is study, receive incom e from w ages, salaries, inv estm en ts and o th er sources in p ro portion to th e national d istrib u tio n of such paym ents. T h eir living expendi tu re s likew ise are those of average householders. T h eir “real incom e”, or p u rch asin g pow er, in th e ir actual ability to buy reg u larly needed goods and services. “Real incom e” is not a m ere su b tra c tion of cash incom e from cash outgo, w hich w ould be an index of savings ra th e r th a n “real incom e,” b u t an a v e r age relativ e figure of incom e and outgo designed to show how th e cost of living affects th e ad ju sted dollar income. INVESTORS SYNDICATE OF AMERICA, INC. S eries One In v estm en t C ertificates M aturity Value * 2 ,0 0 0 P r i c e —$110 a n n u a lly , or $56.20 s e m i a n n u a lly , or $28.80 q u a r te r ly , or $9.80 m o n t h l y for 15 y e a r s C opies of the P ro sp ectu s, fu lly d escrib in g these Certificates, can be obtained from Agency Offices of the distributor, Investors Syndicate, Chairman's Report in Principal Cities of the United Stales In his a n n u al re p o rt to shareh o ld ers P ercy H. Jo h n sto n , ch airm an of th e board of th e Chem ical B ank & T ru st Com pany, N ew York, said in part: “The y e a r ending D ecem ber 31st, w as th e one h u n d re d and sev en teen th of th e b a n k ’s existence. N o tw ith stan d Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 34 IO W A Investm ent Bankers Association M. D . D E A R T H P r e s id e n t Organized 1935 RO Y W . L E R IC H E S e c r e ta r y D es M o in es M . D. Dearth Heads Iowa Investment Bankers D. D E A R T H , of M urdoch, D earth & W hite, Des Moines, • w as elected p resid en t of the Iow a In v estm en t B ankers A ssociation at the an n u al m eeting of the organiza tion held in Cedar Rapids on F riday, Ja n u a ry 24. Vice p resid en ts nam ed w ere W a rre n F erguson, of O ttum w a, and W alter E. V ieth, D avenport, w ho is im m ediate p ast president. S ecretary Row W. Leriche, Des Moines, and T rea su re r F ra n k Filip, Cedar Rapids, was re-elected to those positions. F o u r new m em bers of th e board of governors, replacing a like nu m b er w ho go off th e board th is year, are Ed Kane, Cedar Rapids; K enneth H enkle, Des Moines; A rnold Boldt, D avenport; and W alter Pyper, Council Bluffs. Hold-over m em bers on th e board of M g o vernors are R obert A lexander, Dav enport; M. L. Barlow, Des Moines; Jam es A. Cum m ins, Des Moines; T. C. H enderson, Des Moines; E ugene Mc Guire, Des Moines; M. F. Steffen, Dav enport; and H a rry L. W estphal, Des Moines. The largest reg istratio n for any an n ual convention in recen t y ears w as listed at th e Cedar Rapids m eeting, w ith 85 in attendance at the sessions, and th e Cedar Rapids m em bers of the A ssociation had m ade every provision for th e care and e n te rta in m e n t of th e ir guests from th ro u g h o u t th e state. A get-together d in n er and social evening took place on T hursday, th e day be fore th e reg u larly scheduled sessions. F ollow ing th e ann u al business m eet ing and board of governors conferences BONDS Public U tility In dustrial R a ilroad M unicipal A.C.ALLYN andc o m p a n y In corp orated 100 W e s t M onroe S tr e e t, C h ic a g o N ew Y ork R e p r e s e n t a t iv e s : Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M ilw a u k e e W a te r lo o February 1 9 il O m aha D e s M o in es B o sto n C edar R a p id s th e m orning of th e tw enty-fourth, C hester A. Phillips, dean of th e school of com m erce of the State U n iversity of Iowa, and counsel for the F ederal Re serve B ank of Chicago, addressed m em bers on th e subject of “C hanging F oundations of P ro sp e rity ”. T he dean started his talk by m aking th e sta te m ent th a t every period of p ro sp erity w hich th is country, or any o ther coun try, has ever enjoyed, has been tinged w ith th e u n tru e, and in p a rt takes on the n a tu re of the unsound, and has a sm ack of inflation. W hy th is false condition exists he did not explain, b u t said th e period of p ro sp erity w hich we are now en terin g is no exception, es pecially because it deals w ith defense production and m ilitary effort. In fact, th e Dean stated, we have been p ro s perous in th is co u n try for the past few years, b u t ap p aren tly w ere un aw are of th e fact. The per canita production of goods in th is co untry in 1939, w as al m ost identical w ith th a t of 1929. Our p ast problem has been largely one of unem ploym ent. Speaking of factors w hich m ake prosperity, Dean Phillips nam ed th a t of free en terp rise as th e m ost im por tan t. A nother factor is technological im provem ent. F rom th e short-tim e view point th is latter, he said, ap pears to depress p ro so erity ra th e r th a n stim ulate, b u t for th e long-time pull for a prosperous N ation, m echanical im provem ents are greatly to be desired. Inflation is not to be feared in th e n ear future, th e Dean said, w ith th e price level for th e next year or tw o re m aining firm to p erhaps a little higher, b ut th ere w ill be no pronounced in fla tion. He nam ed th ree reasons w e w ould have no cause to fear inflation —th e people of th is co u n try do not w an t it—it w ould in ju re the defense program w h erein our g overnm ent w ould be borrow ing sm all dollars w hich th ey w ould have to pay back as large dollars—and we already have on hand a large stock of basic com m odi ties and am ple m eans of producing more. The convention closed w ith an ad dress by Colonel V ladim ir H u rb an of W ashington, m in ister of the Czechoslo vak Republic to th e U nited States, and an illu strated talk by Jo h n W. Newey, chairm an of th e education com m ittee of th e In v estm en t B ankers A ssociation of Am erica. N EW S A N D VIEW S (C ontinued from page 12) Jan u ary , 1941, issue in ‘N ews and V iew s’ you are telling about th e rugs and carpets in th e lobby of th e La Salle N ational Bank of Chicago an d I th o u g h t yo u r statem en t m ight be ju st a little strong. F o r th e last 6 y ears I I O W A IN V E S T M E N T B A N K E R S A N N U A L M E E T IN G The p ictures above w ere ta k e n a t the recen t annual m eeting of the Iow a In v estm en t B ankers A ssociation, held in Cedar R apids. R eading from le ft to rig h t, those p ictu red are 1-—■ E. F. Buckley, vice p resid en t C en tral N atio n al B ank, Des M oines; Winfield Jackley, p resid en t Ja c k le y & Company, Des M oines; Frank Warden, vice p resid en t C entral N atio n al B ank, Des M oines; and H arry G-raefe, G raefe & Company, Des Moines. 2— George Peterson, vice p resid en t P olk-P eterson Corporation, Des M oines; J. C. Shaw, p resid en t Shaw, M cD erm ott & Sparks, Des M oines; A1 Kramer, vice p resid en t W. D. H an n a & Com pany, B urlington; and Erling Larsen, P olk-P eterson C orpora tion, D avenport. 3— Standing, M. D. Dearth, vice p resid en t M urdock, D earth & W hite, Des M oines, and new ly-elected p re si dent of the Iow a In v e stm e n t B ankers A ssociation; Ed Kane, E. H. Rollins & Sons, Cedar R ap id s; and seated, Roy Leriche, vice p resid en t W heelock & Cummins, Des Moines, and A ssocia tion secretary. 4— Vladimir Hurban, Czechoslovak m in ister to th e U n ited S tates, and Frank Filip, p resid en t F ilip & Company, Cedar Rapids. 5—K enneth Henkle, p resid en t H enkle, Van G inkel & Company, Des Moines. 6—W arren Ferguson, H. M. B yllesby & Company, Chicago; Chas. R. Perrigo, H ornblow er & W eeks, Chicago; and Earl Ryan, Iow a securities departm ent. 7—W alker Hanna, p resid en t W. D. H an n a & Company, B u r lin g to n ; John Newey, Stern, W am pler & Company, Chicago; W alter Vieth, V ieth, D uncan & Wood, D av enport; W arren Ferguson; and S. E. Coquillette, p resid en t M erchants N ational B ank, C edar R apids. 8—Glenn Ravenscroft, A. C. A llyn & Company, Cedar R apids; Sherman W. Fowler, assistan t vice p resid en t Iowa-Des M oines N atio n al B an k ; Charles S. Frye, Jo u rn a l of Commerce, Chicago; Paul Frederick, Commerce Union, N ashville, Tenn.; and Ernest Kosek, p resid en t E rn est K osek & Company, C edar R apids. 9—John Quail, p resident Quail & Company, D av en p o rt; and Lester M . Roeder, A. C. A llyn & Company, W aterloo. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M 36 have been well acquain ted w ith the B everly H ills N ational B ank an d T ru st of B everly Hills, C alifornia and con tinuously d u rin g th a t tim e have know n th a t th e en tire lobby of th a t bank, w hich is a spacious one, is car peted w ith a v ery lux u rio u s carp et and I know th a t th e officers’ q u a rte rs and th e stairw ay to th e T ru st D ep art m en t are as lu x u rio u sly fu rn ish ed .” W e are su re L aurence Arm our, C hairm an of th e La Salle N ational w ill be in terested in know ing he has a “m agic c a rp e t” com panion. E ldon L. Job, p resid en t of th e Com m u n ity N ational B ank and T ru st Com pany of K noxville, Iowa, sen t out a very in terestin g ex p lan ato ry s ta te m en t for his recen t a n n u al stockhold ers m eeting. E v e ry item in th e ir sta te m e n t w as analyzed and explained so th a t th e stockholders know exactly th e finan cial condition of th e bank. T otal deposits are now $1,302,486 and th e capital stock is $50,000, surplus $50,000 w ith a reserve for contingen cies of $52,000 and undivided profits of over $12,000. The officers of th is v ery prosperous in stitu tio n are: E. L. Job, president; J. L. C ollins, vice p resi dent; J. R. D yer, cashier and Ed M. Butterfield, ass’t. cashier. One of th e m ost cordial and genial b an k ers in th e n o rth w est is Otto Brem er, C hairm an of th e A m erican N ational B ank of St. Paul, and head of th e B rem er banks located th ro u g h o u t M innesota. All of his banks had a v ery fine year and th e ir resources are double w h at th e y w ere in 1934. T he A m erican N ational B ank has to tal resources of over $35,173,000 and deposits of $32,298,000. The nex t tim e you are in th e b ank ask Mr. B rem er to tell you th e story Federal Discount Corporation D ubuque, Iowa AU TO M O BILE FINANCE T im e P a ym en t Plans for Purchasers o f A u to m o b iles and H ousehold A pplian ces u m m SMALL LOANS ■ ■ ■ B ra n ch es in Iow a— M in n esota— W isco n sin — Illin o is Capital, Surplus and U ndivided Profits Exceed One M illion Dollars ■ ■ ■ Short Term Collateral Trust Notes In form ation on R equ est V. W. B r e w e r Co. M u n ic ip a l B o n d s of th e “silver spike” w hich he n ow carries in his pocket. C. A. Baum gart, advertisin g sales m anager of Successful F arm ing of Des Moines calls our atte n tio n to th e ir F e b ru a ry issue w hich is p resen ted in a new form and editorial layout w ith the pages slightly larg er th a n p re viously and w ith m any o th er im prove m ents. The first issue of Successful F a rm ing w as published in 1902 and is in sh arp co n trast to th e p re se n t stre a m lined publication. T h at Successful F arm ing covers an im p o rtan t p a rt of th e U nited States is indicated as Mr. B aum gart says, th at; “The g reatest sh are of th e half-billion dollar increase in 1941 farm incom e w ill go w here farm ing is big business —T he ‘H e a rt’—w here % of th e U. S. farm ers already enjoy 54% of th e to tal farm w ealth. Hog prices are 11% h ig h er th a n a y ear ago—74% of th e hogs are raised in th e ‘H eart.’ Beef steer prices are 10% h ig h er th a n a y e a r ago —53% of all cattle is found in th e ‘H eart.’ B u tte rfa t prices are 22% h ig h er th a n a y ear ago—53 out of each 100 pounds of b u tte rfa t are produced in th e ‘H eart.’ Egg prices average m ore th a n 30% above last year, w ith 50 out of each 100 eggs produced in th e ‘H e a rt’. P rospects for th e larg est m ilk production on record are in sight w ith 57 o u t of each 100 d airy farm s con cen trated in th e ‘H e a rt’.” G. C. K elly of D allas Center, Iowa, w ho is in charge of th e B renton B ro th ers b an k in terests has announced a pension plan th ro u g h th e A etna Life In su ran ce Com pany for all of th e em ployes of th e B renton ban k s effective as of Ja n u a ry 1, 1941. U nder th is plan th e em ployer and em ployes co n trib u te on a fifty-fifty basis. If for any reason an em ploye leaves, he w ill receive his contribution w ith in terest. E v en tu ally an em ploye acquires vested rig h ts so th a t he can have advantage in p u rch asin g an an n u ity not only from his own co n tri butions b u t from those th a t th e em ployer has m ade and th is even though he leaves th e b a n k ’s service. T his plan contem plates re tire m e n t at 65 w ith an adequate re tire m e n t pension. Drovers, Chicago South Dakota Rural Credit Director Scott states in his report to the legislature: "W e think w e are on a pay-as-you -go basis." FIRST NAT-SOO LINE BLDG. M IN N EA P O LIS Northwestern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl The directors and en tire staff of offi cers of th e D rovers N ational B ank w ere re-elected a t th e an n u al m eeting of stockholders, and a 3% dividend w as declared; 1%% payable on A pril 1st to stockholders of record M arch 31st, and 1%% payable Ju ly 1st to stockholders of record on Ju n e 30th. T he stockhold ers of the D rovers T ru st an d Savings B ank re-elected all officers an d direc tors. 37 N EBRA SKA IN V E S T M E N T BA N KERS Mr. and Mrs. A. C. P otter en tertain ed at a New Y ear’s day b reak fast from 11 a. m. to 1 p. m. One h u n d red guests w ere invited. A S S O C IA T IO N HOW ARD BU FFETT P r e s id e n t O m aha ru a ry for Los Angeles to sail from th ere on th e S.S. L u rlin e for H onolulu. A fter a m onth a t th e M oana H otel on W aikiki beach, th ey w ill re tu rn on the S.S. M atsonia. R esidence of B ert V ickery a t 5108 N icholas Street, in Omajia, has been purchased by John H. P atton, sales rep resen tativ e for B urns, P o tte r & Co. Mr. Vickery, a ssistan t tre a su re r of th e B urlington railroad, has been tra n s ferred to Chicago. CECIL W. SLOCUM Secretary | ACK OF FUNDS to pay off about L $20,000 in D ouglas county bonds and in te re st due J a n u a ry 1 w as blam ed by AValterL. P ierp oint, p resid en t of th e A ssociation of Om aha T axpayers, on a sw itch in use of p a rt of th e co u n ty ’s share of gas tax revenue. He said th a t, u n til about tw o y ears ago, 20 p er cent of th e gas ta x m oney w as used for re tire m e n t of paving bonds. R ecently, he added, th is in come of 90 to 100 th o u san d dollars a year has been for bridges ra th e r th a n bonds. This, in tu rn , according to Pierpoint, has m ean t th e application of a larg er am o u n t of general p ro p e rty tax reven u e to p ay m en t of p aving bonds, and accounts for th e “low ” condition of th e bond sinking fund. W . L eR oy W ilcox, vice p resid en t of the U niversal F in an ce C orporation, has purch ased th e three-story, 15-room Om aha residence of Otto H. B arm ettler, p resid en t of th e Iten -B arm ettler B iscuit Com pany. T he deed indicated consideration, including th e W ilcox house w hich w as ta k e n in trade, w as about $23,000. J. A. Stahl, 74, fa th e r of Mrs. H ow ard Buffett, w ife of the p resid en t of th e N e b rask a In v e stm e n t B a n k e rs’ A ssocia tion, died recen tly a t his hom e in W est Point, Neb. He w as a fo rm er su p e rin ten d en t of schools a t B ancroft, Neb., form er C um ing county su p erin ten d en t, and editor and p u b lish er of th e Cum ing C ounty D em ocrat from 1906 to 1925. D uring th e p ast year, an o th e r red u c tion of $250,000 w as m ade in th e am o u n t of bonds o u tstan d in g ag ain st th e AkSar-Ben bridge b etw een O m aha and Council Bluffs. T his m akes a to tal of $450,000 w hich has been paid on th e bridge since AkSar-Ben took it over tw o and a half years ago. The rem ain in g indebtedness am ounts to $1,900,000. J. Clifford R ahel and his d aughter, Miss V irginia Rahel, w ill leave in Feb- án INVESTMENT DOLLARS dairymen i n Eastern - milksheds, cotton growers in the South, livestock feeders in the Middle West, ranchers in Intermountain States, fruit raisers on the Pacific Coast . . . are the eventual customers of the twelve Federal intermediate credit banks. The notes of farmers and stockmen accepted by these banks represent all major types of the Nation’s agriculture and carry the full strength endorsement e sp o n s ib l e R of the local lending institutions-pro duction credit associations, agricultural credit corporations, livestock loan com panies, state or national banks. Such notes provide the basis for is suance of Federal intermediate credit bank debentures, which enjoy the further security and collateral diversity derived through discounting, for the banks for cooperatives, paper backed by agricultural commodities in storage. THE FEDERAL INTERMEDIATE CREDIT BANKS LOUISVILLE, KY. ST. PAU L, M IN N . H O U STO N , TEX. BALTIMORE, MD. N E W ORLEANS, LA. OM AHA, NEB. BERKELEY, CAL. COLUMBIA, S. C. ST. LOUIS, M O. W IC H ITA , K A N . SPRINGFIELD, MASS. Further information regarding the Debentures may be obtained from C H A R L E S R. D U N N , Fiscal Agent 31 N a s s a u S tr eet, N e w Y o r k , N . Y . Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SPO K AN E, W ASH. February 1941 38 itie UNITED STATES M e m b e r F e d e r a l D e p o s it I n s u r a n c e C o rp o ra tio n Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 39 ier and secretary; R aym ond Grosse, bookkeeper. The election of R aym ond Grosse w as m ade to take th e place of E. H. R as m ussen, w ho resigned. NEBRASKA Dannebrog NEWS C A R L D . GANZ P r e s id e n t A lvo WM. B. H U G H ES S e c r e ta r y O m aha Brunswick C ed ar Bluffs W isner T he stockholders of th e C itizens N a tional B ank m et, w ith th e follow ing directors elected: O. A. F ren tzel, Chris Jensen, Wm. B aum gart, G. H. Schw eers and Otto F. Paege. On th e sam e day th e board of d irecto rs nam ed O. A. F ren tzel, presid en t, C hris Jensen, vice president, Otto F. Paege, cashier and P ercy F u h lro d t, a ssista n t cashier. All officers of th e State B ank of D annebrog w ere re-elected a t th e a n nual m eeting. A. E. D w ehus is p resi dent, Dr. P. M. Pedersen, vice presid en t and o th er m em bers of th e board of di rectors are H ans N. H a tt and L. M. P etersen. A 10 p er cent dividend w as declared T he an n u al m eeting of th e stock by th e directors of th e B runsw ick State B ank at th e ir an n u al m eeting. holders of th e Com m ercial State B ank of Cedar Bluffs w as held a t th e bank. The re p o rt also show ed an increase in Besides declaring th e reg u lar th ree business du rin g the p ast year. T here p er cent dividend, th e directors elected are about 600 p atro n s of th e B ru n s th e follow ing officers for th e com ing w ick bank, in a te rrito ry w hich ex tends from Plainview to n o rth w est of year: A. F. V asina, president; W m. Schere, Orchard. Officers include W illiam Rose, presivice president; E. H. H enderson, cash- W h at Nebraska Statements Show D ECEM BER 31, 1940 The N orth w estern B an ker is pleased to pu blish Bank Statem en ts received before going to press— p u t us on you r m ailing list and send us you r statem ents im m ediately after each call. If you r bank is not included in th e list below it is because Y O U d id not send in your statem ent. Please do so next tim e. TOW N BANK A llia n c e .....................A llia n c e N a tio n a l A llia n c e .....................G u a r d ia n S ta t e ., B e a tr ic e .....................B e a tric e N a tio n a l B r u n i n g .................... B r u n in g S t a t e . . . C la r k s o n ................... C la rk s o n B a n k . C o lu m b u s .................C e n t r a l N a tio n a l F a i r b u r y ................... F i r s t N a ti o n a l . . F a i r m o n t ..................F a r m e r s S t a t e . . F r e m o n t .....................S te p h e n s N a ti o n a l .......... G o r d o n .......................F i r s t N a tio n a l .................... G r a n d I s l a n d ......... C o m m e rc ia l N a ti o n a l . . G r a n d I s l a n d ......... O v e rla n d N a tio n a l ........... G r a n d I s l a n d ......... F i r s t N a tio n a l ................... H a r t i n g t o n .............. B a n k o f ................................. H a s t i n g s ................... C ity N a t i o n a l ...................... H a s t i n g s ..................... H a s tin g s N a ti o n a l ......... H e b r o n ....................... T h a y e r C o u n ty ................. K e a r n e y .................... F o r t K e a rn e y S t a t e .......... K e n e s a w ................... A d a m s C o u n t y .................... K e y s to n e .................. B a n k o f .................................. L i n c o ln ......................C o n tin e n ta l N a ti o n a l. . . L i n c o ln ......................F ir s t N a t i o n a l ...................... L o u p C it y ................F ir s t N a t i o n a l ...................... M c C o o k ..................... F ir s t N a t i o n a l ...................... M o r r ill.......................F i r s t N a t i o n a l ...................... N e b r a s k a C ity . . . .F a r m e r s B a n k ..................... N e b r a s k a C ity . . . .Oto<" C o u n ty ......................... N o r f o lk ..................... N a ti o n a l B a n k o f .......... . N o r th P l a t t e . . . . . F i r s t N a tio n a l ................. N o r th P l a t t e ..........M c D o n a ld S t a t e .................. O r d .............................. F i r s t N a tio n a l ................. . O m a h a ....................... F i r s t N a ti o n a l ................. . O m a h a .......................L iv e S to c k N a t i o n a l . . . . O m a h a ..................... O m a h a N a tio n a l ................ O m a h a .......................P a c k e r s N a ti o n a l ............. O m a h a .......................S to c k Y a r d s N a t i o n a l . . . O m a h o .......................U n ite d S ta t e s N a tio n a l P l a t t s m o u t h ........... P la t t s m o u t h S t a t e . . . . . S c o tts b lu f f .............. F i r s t S t a t e .............................. S c o tts b lu f f ..............S c o tts b lu ff N a t i o n a l ------S id n e y ....................... A m e ric a n N a tio n a l . . . S p a ld i n g ...................S p a ld in g C ity B a n k ........... T e k a m a h ...................F i r s t N a tio n a l ................... W a k e fie ld .................W a k efield N a t i o n a l .......... W i s n e r ....................... F i r s t N a tio n a l .................. W y m o r e ...................W y m o re N a t i o n a l ............ Y o r k ............................F i r s t N a ti o n a l ................. ^ In c lu d e s c a sh a n d d u e fr o m b a n k s . C A S H IE R C a p ita l . E . M. K n i g h t ..............< ; 75,000 125.000 ,C. H . S u d m a n ............ 1 0 0 .0 0 0 E d C. A u s t i n .............. .F re d H . B r u n in g . . . . 25.000 40.000 ,J . A . K u c e r a ................ 1 0 0 ,0 0 0 .H o w a rd B u r d ic k . . . . 150.000 , H . L i v in g s to n .............. ( h as. F . T o u s .............. 25.000 1 0 0 .0 0 0 J . G. E d lo f f................... , D. V . S o r e n s o n ............ 50.000 E d w a rd H u w a l d t . . . . 1 0 0 ,0 0 0 .G eo. J . A r m s tr o n g . . 1 00 ,0 00 200,000 ,F . J . C le a r y ................... 25.000 .E d g a r M. H o a r ............ 100,000 . F lo y d A . H a n s e n . . . . 125.000 , C h a s. E . D e e t s ............ 40.000 , H . R . K in n in g e r . . . . 75.000 .P a u l H . K a n n o w . . . . 25.000 S. H . I t z e n ................... 15.000 T . B . C o le ..................... 634.000 C. W . B a t t e y .............. H o w a rd F r e e m a n . . . 1 , 0 0 0 ,0 0 0 25.000 C. H . R y a n ................... 75.000 H . M. K r o g h ................ 25.000 . R o b t. T . C o v in g to n . . 50.000 . J . R . S te v e n s o n ......... 50.000 . J . D . S to c k e r .............. 1 0 0 .0 0 0 .R o b e rt W e id e n b a c h .. 1 0 0 ,0 0 0 .W . H . M u n g e r ............ 1 0 0 ,0 0 0 ,J . Y . C a s tl e ................... 60.000 ,R . E . M is c o ................. . J . T . S te w a r t , I I I . . . 1.500.000 500.000 . P a u l H a n s e n .............. .C ly d e O . D a r n e r . . . . 2 , 000,000 200.000 . L . D a le M a t t h e w s . . . 500.000 .J o h n M c C u m b e r.......... .A . L . V ic k e r y ............ 1.100.000 50.000 . F r a n k A . C lo id t......... 50.000 .J o h n B r o a d h u r s t. . . . 100.000 . J . L . W i t t e r s .............. 60.000 . R . F . D e d r ic k .............. 30.000 . M. J . D o lc e ................... 62,500 .H . J . W r a g g e .............. 25.000 . R o b e rt E . A n d e rs o n 50.000 .N e il D . S a v il le ............ 50.000 . L . B oyd R i s t ................ 150,000 .H . E . N o r d lu n d .......... S u r p lu s a n d P r o f its $ 86,028 73,969 121,811 25,510 8,303 70,492 108,241 13,345 87,824 93,161 126,601 53,283 440,638 26,504 74,858 138,277 16,480 53,761 9,616 19,127 390,175 517,171 28,665 64,262 31,196 130,461 42,483 26,844 169,520 41,424 36,812 446,367 687,335 142,494 95,585 45,195 976,833 107,077 26,560 149,133 31,335 23,686 77,293 21,381 51,918 13,941 216,085 L oans and D is c o u n ts $ 232,250 1,296,151 1,190,376 141,041 113.536 1,106,623 1,460,583 33,123 944,207 388,312 636.536 566,180 1,645,397 355,811 795,672 1,167,069 275,880 325,503 94,237 143,725 4,449,114 4,105,674 174,856 686,877 529,359 316,215 296,047 585,865 901,981 407,847 230,023 13,757,615 8,541,735 16,908,895 1,598,673 2,744,525 4,808,463 693.721 211,891 1,053,505 578,226 132,819 672,523 366,563 369.722 182,539 817,155 B onds and S e c u ritie s $ 316,545 189,151 965,611 50,893 156,303 1,206,326 458,742 55,895 317,288 225,695 810,935 251,455 2,603,028 62,709 401,037 870,854 76,319 111,119 55,800 35,926 4,226,022 13,176,145 348,389* 511,499 14,558 566,124 106,006 301,773 562,029 237,361 155,435 5,678,039 3,472,344 17,154,169 402,161 2,644,798 14,583,713 275,386 129,497 137,556 239,034 18,577 147,560 42,515 97,100 186,171 764,065 C ash a n d D u e D e p o s its F ro m B a n k s S 1,711,190 $ 2,133,542 854,854 2,137,306 1.023,734 2,982,909 210,264 64,292 313,316 92,891 971,694 3,116,485 2,462,915 665,516 164,974 221,010 1,814,157 736,186 989,669 512,378 2,036,100 680,099 423,640 1,090,128 4,600,885 914,952 559,278 184,043 1,693,881 661,829 2,562,760 734,965 190,630 500,096 1,481,425 1,154,472 160,873 44,345 368,495 222,800 12,927,232 5,150,025 6,624,101 22,857,539 463,955 1,806,224 760,402 576,561 167,125 1,565,579 862,701 779,249 452,528 382,170 1,148,660 2,271,792 1,043,772 1,337,045 829,997 627,010 321,448 13,886,339 32,031,529 15,115,877 4,429,140 51,740,142 21,206,989 1,363,476 3,081,296 4,349,019 9,089,971 28,288,335 10,384,089 1,012,751 204,257 308,249 575,221 1,416,344 2,386,273 1,090,026 340,054 80,880 190,802 1,076,658 380,107 396,156 71,198 413,003 116,900 115,347 425,782 1 , 886,122 607,558 Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February Î9M 40 dent; Jo h n N othem , vice president; L eonard H ales, cashier; H. C. Johnson and W. D. L ichty, directors. Manufacture r s TRUST COM PANY Condensed Statement o f Condition as at close o f business December 31, 1940 R E S OUR CE S Cash and Due from B anks.....................$388,847,896.81 U. S. Government S ecurities.............. 326,449,036.83 State and Municipal Bonds . . . . 30,843,326.09 Stock of Federal Reserve Bank............ 2,242,450.00 Other S ecurities.................................. 42,456,911.76 Loans, Bills Purchased and Bankers’A cceptances....................... 215,187,558.00 19,817,144.93 M ortgages............................................. Banking H o u s e s .................................. 12,242,189.52 Other Real Estate E quities................ 3,019,958.32 Customers’ Liability for Acceptances . 7,059,581.10 Accrued Interest and Other Resources 2.293,209.09 $1,050,459,262.45 LIABILI TIES Preferred Stock . . . . $ 8,749,520.00 Common S to ck ........... 32,998,440.00 Surplus and Undivided Profits . . 40,986,644.69 82.734,604.69 Reserves................................................ 4,873,323.50 Reserve for Preferred Stock Sinking F u n d ................ 21,594.86 Common Stock Dividend (Payable January 2, 1941).............. 824,959.00 Preferred Stock Dividend (Payable January 15, 1941)........... 218,738.00 Outstanding Acceptances.................... 7,726,982.32 Liability as Endorser on Acceptances and Foreign B ills............................ 350,000.00 D eposits................................................ 953,709,060.08 $1,050,459,262.45 DIRECTORS EDWIN M. ALLEN P r e s id e n t, M a th ie s o n A l k a l i W orks, In c . CHARLES K. BEEKMAN B eekm an, B ogue, S tep h e n s & B la c k EDWIN J. BEINECKE C h a irm a n , S p e r r y & H u tc h in s o n Co. EDGAR S. BLOOM P r e s id e n t, A tla n tic , G u l f a n d W e s t In d ie s S te a m s h ip L in e s CHARLES A. DANA P resid en t, S p icer M a n u fa c tu r in g Corp. ELLIS P. EARLE P resid en t, N ip is s in g M in e s Co. HORACE C. FLANIGAN V ice -P resid en t JOHN M. FRANKLIN P resid en t, U n ite d S ta tes L in e s C o m p a n y CHARLES FROEB C h a irm a n , L in c o ln S a v in g s B a n k PAOLINO GERLI V ice-P resident, E . G erli & C o., In c . HARVEY D. GIBSON P resid en t CHARLES L. HOGAN P resid en t, L o n e S ta r C em ent C orporation JOHN L. JOHNSTON P resident, L a m b ert C o m p a n y OSWALD L. JOHNSTON S im p so n T h a ch er & B a r tle tt CHARLES L. JONES P resid en t, T he JonesA tk in s o n Corp. GEORGE MACDONALD C h a irm a n , F ed e ra l H o m e L o a n B a n k o f N e w Y o rk SAMUEL McROBERTS N ew Y o rk C ity JOHN P. MAGUIRE P resid en t, J o h n P. M a g u ir e & C o., In c . C. R. PALMER P r e s id e n t, C lu e tt, P ea b o d y & C o ., In c . GEORGE J. PATTERSON P resid en t, S cra n to n & L e h ig h C oal Co. HAROLD C. RICHARD C h a ir m a n , G eneral B ro n ze Corp o ra tio n HAROLD V. SMITH P resid en t, H o m e In su ra n c e Co. ERNEST STAUFFEN C h a irm a n , T r u s t C om m ittee GUY W. VAUGHAN P resid en t, C urtiss- W rig h t C orporation HENRY C. VON ELM V ice -C h a irm a n o f th e B o a r d Principal Office: 55 Broad Street, New York City 67 B A N K IN G O F F I C E S IN G R E A T E R N E W Y O R K On Credit Board L u th e r Bonham , ch airm an of the board of th e F irs t N ational B ank of F airb u ry , has been appointed directorat-large of th e farm credit board at Omaha. His te rm expires D ecem ber 31, 1943. He also w ill serve as d irector of th e F ed eral L and B ank of Omaha, F ederal In term ed iate Credit Bank, P roduction Credit C orporation and Omaha Bank of Cooperatives, providing credit to farm ers and cooperatives in N ebraska, Iowa, South D akota and W yom ing. O'Neill The stockholders of th e O’Neill N a tional B ank held th e ir an n u al election of directors w ith th e sam e officers and directors re-elected for th e ensuing year. T hey are: S. J. W eekes, p resi dent; F. N. Cronin, vice president; E. F. Quinn, cashier; J. B. Grady, assist a n t cashier. The above nam ed officers w ith the addition of Mrs. E m m a Dick inson W eekes and Miss Cora Purcell, co n stitute th e board of directors. To Pawnee City Mr. and Mrs. Joe R eynolds, th e for m er a teach er in th e public schools at M urdock, N ebraska, are m oving to Paw nee City and th e first of F eb ru ary , Mr. R eynolds w ill becom e an em ployee of th e Citizens S tate Bank. Sawtell Elected W. A. Sawtell, presid en t of the Stockyards N ational Bank, w as elected p res ident of th e Om aha Clearing House association, succeeding H. M. B ushnell. Merna T he stockholders of th e F arm ers B ank of M erna have held th e ir an n u al m eeting. J. L. H ipsley, W. H. Kellenbarger, R u th Beals, Otto Blakem an, Dr. W. P. K ellenbarger and F. L. Beals w ere elected as directors. B. F. Cox, w ho had served as a director and p resid en t of th e b an k since its organization in 1909, declined to serve in th a t capacity. Officers w ere elected as follows: J. L. H ipsley, president; W. H. K ellenbar ger, vice president; F. L. Beals, cashier; R u th Beals, a ssistan t cashier; Lloyd Johns, bookkeeper. European Representative Office: 1, Cornhill, London, E. C. 3 Member Federal Reserve System Member New York Clearing House Association Member Federal Deposit Insurance Corporation B o th C om m on a n d P refe rre d shares h a ve a p a r va lu e o f $20 each. T he P refe rre d is co n v ertib le in to a n d h a s a p re fe re n c e over the C om m on to th e e x te n t o f $ 5 0 p e r share a n d a ccrued divid en d s. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 SELL YOUR BANK T h e “W a lter s” W a y W ith o u t P u b licity Q ualified, carefully investigated bank em ployees furnished free T H E C H A R L E S E . W A L T E R S CO . O m aha, N ebrask a 41 com m ittees, and w as given th e ch air m anship of th e first tw o nam ed. Jack R hodes of th e Om aha N ational B ank w as elected presid en t of th e Young B usiness M en’s A ssociation of Om aha recently. He succeeds Jam es J. Fitzgerald, Jr. Rhodes is a p ast presid en t of the Om aha Ju n io r C ham ber of Commerce. MAHA b a n k ers hailed as a sign of b e tte r g en eral bu sin ess spectacu lar increases in b an k loans an d de posits at Om aha in response to th e Ja n u a ry 1 b an k call. D eposits soared to w h a t w as believed to be an all-tim e high. L oans reached the h ig h est poin t since June, 1931. N ine Om aha b anks rep o rted deposits of $142,228,036 a t th e close of business D ecem ber 31, a gain of $15,151,272 since th e last call, Ju n e 29, 1940. Total loans w ere $49,746,660, an increase of $8,927,461 over th e Ju n e 29 figure. Com pared w ith a y e a r ago, th e in crease in deposits w as $7,235,997; in loans, $7,008,222. F o r th e y e a r 1940, Omaha b an k clear ings to taled $1,613,983,020, a gain of 3 per cent over th e previous year. B ank debits w ere $1,755,734,636, a gain of 1.5 p er cent over 1939. T w enty-three of 25 m ajo r business indicators listed by th e C ham ber of Comm erce show ed gains d u rin g the year. O idays of Mr. and Mrs Otis T. A lvison . Mr. A lvison is vice presid en t of th e Om aha N ational Bank. W. B. M illard, Jr., vice presid en t of th e Om aha N ational Bank, u n anim ous ly w as chosen vice chairm an w hen the M etropolitan U tilities d istrict board of d irectors organized for th e new year. M illard also w as nam ed on th e ac counts and expenditures, finance and rates, and in su ran ce and advertising The nam e of P lan t stre e t in Omaha recently w as changed by th e city council to Sharon Drive. The stre e t now bears th e nam e of four-year-old Sharon Hall, dau g h ter of Mr. and Mrs. R obert H. H all. Mr. H all is executive officer of th e N orth Side B ank of Omaha. The stre e t is in Florence Field, n o rth su b u rb an residential area, and som e body suggested it be nam ed afte r som eone in Florence. P ro p e rty ow ners th o u g h t of little Sharon H all and agreed Sharon is “a real p re tty nam e.” A nother proposal to nam e th e street B utler Lane, afte r O m aha’s M ayor B utler, w as vetoed by th e m ayor him self. W hen articles of w earing apparel w orn by m otion pictu re celebrities in recen t films w ere auctioned recently CORN LOANS George P lu m m er of San Francisco, a ssista n t perso n n el d irecto r of the B ank of A m erica, cam e to Om aha re cently in q u est of b an k clerks w ith teller experience. He said th e re has been a shortage of such b an k em ployes in California. He expected to rem ain in O m aha u n til he could h ire as m an y as needed. He w anted m en u n d e r 40. W e w ill p u rc h a s e e lig ib le lo a n s in e x c e ss of a m o u n t y o u w ish to c a r ry — g iv in g im m e d ia te c re d it for n o te s s e n t to us. T. S. Cordill, fo rm er O m ahan and fa th e r of Oliver Cordill, a ssista n t cash ier of th e O m aha branch, F ed eral R e serve B ank of K ansas City, died re cently in Los Angeles. Services w ere held in Los A ngeles. Live Stock National Bank Omaha Mr. and Mrs. Jo h n W. H ow ard and th e ir tw o children, Jo h n A lvison and Jam es Otis, w ere g uests d u rin g th e hol (Member Federal Deposit Insurance Corporation) A ll inquiries given p ro m p t attention Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 42 • NEBRASKA in Omaha th e a te rs for th e W orld-H er ald Good Fellow F und, a n n u al C h rist m as charity , th e auctioneers included J. F. M cD erm ott, vice p resid en t of th e F irs t N ational B ank of Omaha; W il liam M. Jeffers, p resid en t of th e U nion Pacific railroad, and C harles R. Docherty, en g rav in g firm official. “C lerks” for th e auction included W. B. M illard, Jr., vice p resid en t of the Om aha N ational Bank; R obert H. H all, vice p resid en t and cashier of th e N orth Side Bank, and R ichard H. M allory, vice president, U nited States N ational NEWS B ank of Omaha. One of the “technical ad v isers” w as form er G overnor Nelson G. K raschel of Iowa. The souvenirs, including from h ats and slippers to neckties and gloves, w ere donated by th e stars. The U nited States N ational B ank of Omaha, in keeping w ith an an n u al cus tom, paid for electricity used by th e “Mile of D im es” board set up at Oma h a ’s busiest corner, S ixteenth and Farnam streets, to help sw ell th e Good Fellow Fund. Guaranty Trust Company o f New York F ifth A ve. at 4 4 th St. LONDON 140 VICHY B roadw ay J P A R IS M adison Ave. at 6 0 th St. BRUSSELS LIV E R P O O L C o n d e n s e d S ta te m e n t o f C o n d itio n , D e c e m b e r 3 1 , 1 9 4 0 RESO U RCES Cash on H and, in F ed eral R eserve B an k , and D u e from B an k s and B a n k e r s ....................................... § 1 ,0 4 4 ,5 8 2 ,2 2 0 .8 6 U. S. G overnm ent O b l i g a t i o n s ....................................... 1 ,1 3 7 ,2 1 2 ,6 9 2 .6 3 4 9 ,2 3 5 ,4 6 0 .9 1 P u b lic S e c u r i t i e s .................................................................. Stock o f th e F ed eral R eserve B a n k ................................. 7 ,8 0 0 ,0 0 0 .0 0 O ther S ecu rities and O b l i g a t i o n s ................................. 2 1 ,1 9 1 ,4 7 1 .9 8 L oans an d B ills P u r c h a s e d ............................................. 4 3 1 ,1 3 5 ,0 8 5 .5 0 C redits G ranted on A c c e p ta n c e s....................................... 5 ,9 6 1 ,3 7 2 .9 8 A ccrued In terest and A ccou nts R eceiv a b le . . . . 7 ,4 6 8 ,2 3 0 .2 0 R eal E state B o n d s and M o r t g a g e s ................................. 1 ,7 5 9 ,3 3 7 .8 1 2 ,7 0 6 ,3 4 5 ,8 7 2 .8 7 1 1 ,2 5 8 ,5 4 1 .6 9 1 ,3 6 1 .5 9 9 .3 2 B ank B u i l d i n g s ...................................... O ther Real E s t a t e .................................................................. Total R esources . . . ....................... $ 2 ,7 1 8 ,9 6 6 ,0 1 3 .8 8 LIA B IL IT IE S D e p o s i t s .............................................. § 2 ,3 8 9 ,9 2 8 ,9 8 1 .8 3 C h ecks O u ts ta n d in g ....................... 3 3 ,2 9 4 ,9 7 0 .4 0 $ 2 , 4 2 3 ,2 2 3 ,9 5 2 .2 3 A c ce p ta n ce s..................................................§ 1 4 ,9 2 8 ,8 1 7 .7 3 Less: O wn A cceptan ces H eld for I n v e s tm e n t ....................... 8 ,9 6 7 ,4 4 4 .7 5 5 ,9 6 1 ,3 7 2 .9 8 L iability as E n d orser on A cceptan ces and .................................................................. 2 4 8 ,3 9 8 .0 0 F o reig n B ills A greem en ts to R ep u rch ase S ecu rities Sold . . . 2 2 8 ,7 4 1 .0 0 Item s in T ran sit w ith F oreign B rau ch es and N et D ifferen ce in B alan ces B etw een V arious O ffices D u e to D ifferen t Statem en t D ates o f Som e F o reig n B r a n c h e s ............................................................. 7 5 1 ,6 4 3 .9 5 D ivid en d P ayable Jan u ary 2, 1 9 4 1 .................................. 2 ,7 0 0 ,0 0 0 .0 0 M iscellan eou s A ccounts P ayab le, A ccrued T axes, e t c . _______8 ,9 0 5 ,4 0 6 .1 1 2 ,4 4 2 ,0 1 9 ,5 1 4 .2 7 C a p i t a l .................................................. § 9 0 ,0 0 0 ,0 0 0 .0 0 Su rp lus F u n d ....................................... 1 7 0 ,0 0 0 ,0 0 0 .0 0 U n d ivid ed P rofits ............................ 1 6 ,9 4 6 ,4 9 9 .6 1 T otal C apital F u n d s ....................... T otal L ia b ilities . . . 2 7 6 ,9 4 6 ,4 9 9 .6 1 S e c u r itie s c a r r ie d a t $ 1 7 ,6 1 4 ,0 4 2 .6 8 in th e above S ta te m e n t a re p le d g e d to q u a lify fo r fid u c ia ry p o w ers, to s e c u re p u b lic m o n ie s as r e q u ir e d by law, a n d fo r o th e r p u rp o s e s . T h is S ta te m e n t in c lu d e s th e assets a n d l i a b il iti e s o f L on d o n a n d L iv e rp o o l B ra n c h e s as o f D e c e m b e r 3 1 , 1 9 4 0 ; P a r is , H av re a n d B ru sse ls B ra n c h e s as o f N o v e m b e r 3 0 , 1 9 4 0 . Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 John E. G illogly, 25, form er em ploye of th e F ed eral L and B ank of Omaha, died recen tly afte r an illness of six years. He w as bo rn in Omaha. His p arents, Mr. and Mrs. F ra n k M. Gillogly, th ree b ro th ers, one sister, survive. D irectors of th e reorganized Om aha ch ap ter of th e N ational C onference of C hristians and Jew s include J. F. Mc D erm ott, vice president, F irs t N ation al Bank; AV. D ale Clark, president, Omaha N ational Bank, and A lv in E. Johnson, president, Live Stock N a tional Bank. F ord E. H ovey, presid en t of th e Occidental B uilding an d Loan association, w as nam ed new chairm an. Vice C hairm en are E d w ard F. L eary and M orris E. Jacobs. F o rm er Con gressm an H. Malcolm Baldrige is sec retary . T he organization rep resen ts Catho lics, P ro te sta n ts and Jew s. T he Spanish-type residence w hich has been th e hom e for several years of D. P. H ogan, form er presid en t of th e F ederal L and B ank of Omaha for m any years, has been sold to K arl N. Soeder, livestock com m ission m an. The house w as owned by th e P latte Valley L and and In v estm en t com pany, a firm ow ned by U pdike G rain corporation in terests. The H ogans w ill be aw ay from Oma ha th is w inter, plan to re tu rn n ex t spring. Tw enty-nine and th ree-ten th s p er cent of N ebraska’s com m ercial ban k s m ade m ore th a n 138,000 loans to taling $100,000,000 to business firms and in dividuals th ro u g h o u t th e state d u ring th e first six m onths of 1940, according to th e sem i-annual su rv ey of b an k lending activ ity by th e A m erican B ank e rs’ A ssociation. One h u n d red and tw enty-four of th e 423 com m ercial banks in th e state p a r ticipated in th e survey. A verage nu m b er of new loans per bank d uring th e period w as 661 and av erage size of loan w as $555. A verage nu m b er of loans renew ed per b an k w as 455 and average renew al w as for $956. 40th Anniversary ......................... $ 2 ,7 1 8 ,9 6 6 ,0 1 3 .8 8 Member Federal Deposit Insurance Corporation • T he M urray S tate Bank, one of the live co u n try banks of the e astern p a rt of N ebraska, last m onth w as h o st to th e ir p atro n s and guests a t a stag p a rty and program . D espite th e fact th a t snow and cold had m ade th e day and evening one of discom fort th ere w ere some 250 p re sent to enjoy th e d in n er provided by th e ban k and th e in te re stin g program . 43 W. G. Boedeker, p resid en t of th e bank, gave th e address of welcom e on behalf of th e in stitu tio n and also a sh o rt sketch of th e financial in stitu tio n th a t has served th e resid en ts of th e com m unity so well in the fo rty y ears of its existence. T he closing featu re of th e evening w as one th a t held g re a t p ersonal in te re st to all of th e large group. T his w as m otion p ictu res ta k e n by C harles H. Boedeker, cashier, d u rin g th e p ast year, show ing th e hom es and farm s of m any of th e p atro n s of th e bank, a lasting h isto ry in film of a g re a t m any of th e fine farm s in th e M urray com m unity. Mr. B oedeker h ad found it im possible to v isit all of th e farm s b u t in the com ing y e ar hopes to reach them all w ith a p ictu red h isto ry of th e com m unity. Fairbury T he a n n u a l m eeting of th e stock holders of th e F irs t N ational B ank w as followed im m ediately by th e an n u al m eeting of th e directors. The stock holders increased th e board of d irec to rs by adding tw o new m em bers, C. J. B achoritch and G lenn R. LeRoy. Di recto rs re-elected w ere L u th e r B on ham , Jess Lee, F ra n k H ouston, Charles R. Moon an d Iv an C. Riley. A t the m eeting of th e board of di recto rs L u th e r B onham w as re-elected chairm an; C. J. B achoritch w as elected vice ch airm an and executive vice p re s ident; Iv an C. R iley w as re-elected president; L u th e r M. Nelson, vice p re s ident; H arold L ivingston, cashier, and E dgar Scheips, F ra n k Nelson, W. C. S u therlan d and K eith J. Sexton, a ssist a n t cashiers. G EORGE E. HOLMES, presid en t of th e F irs t N ational Bank, last m onth w as elected presid en t of the Lincoln Clearing House A ssociation, to succeed T. B. Strain, presid en t of Con tin e n ta l N ational. M. W eil, p resident of th e N ational B ank of Commerce, w as nam ed vice president, and Don Cozad, a ssistan t cashier of th e N a tional B ank of Commerce w as re nam ed secretary. Two new directors w ere added at the an n u al m eeting of th e officers and directors of the C ontinental N ational Bank. These tw o w ere H arry K. Grainger and H en ry J. A m en, both p ro m in ent for y ears in L incoln b u si ness. The larg est n u m ber of stockholders ever to a tten d a m eeting h eard the an n u al rep o rt of the N ational B ank of Commerce. Over 75 p er cent of th e stockholders w ere present, said P resi dent W eil. The bank increased its deposits by nearly tw o m illion dollars in th e p ast year. All officers and m em bers of the board of directors w ere re-elected. A t th e an n u al m eeting of the L incoln F ederal Savings & Loan association all officers and directors w ere re elected, and the sharehold ers approved a m erger w ith th e F irst B u ild in g & Loan association of U niversity Place. A pproval of th e consolidation w as voted by th e shareholders of th e sub u rb an association. W . E. B arkley w as elected p resid en t of th e U nion B ank at College View. O ther officers are: Jose B radley, vice president; Charles' H. W ear, cashier. The new ly elected board of directors consists of B arkley, B radley, W ear and W illiam Barkley. Ord R alph E. Misko, cashier of th e F irs t N ational B ank, w as elected p resid en t a t th e a n n u al stock h o ld ers’ m eeting. He succeeds F ra n k P. O’Neal, p resi den t since 1934. Jam es P etska, jr., w ho has been w ith th e in stitu tio n since 1918 w as elected vice president, w hile C. B. G udm undsen becom es cash ier and H orace T ravis, a ssista n t cash ier. Bayard "Personalized" Its location in N ebraska's C apital City m akes a correspondent connection with the Continental N ational Bank of Lincoln u n u su ally valu ab le. At a recen t m eeting of th e sh a re holders of th e F irs t N ational B ank H. H. O stenburg w as again chosen to serve as p resid en t of th e board, and J. A. Stockw ell given th e position of executive vice president. YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVENPORT & CO. Try our "personalized" service. 0 1 NTINENTAL RATIONAL Q^ANK. L IN C O L N Member Federal Deposit Insurance Corporation OM AHA Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19'il 44 The job of E. H. E uikart, receiver for failed state banks, w ould be abol ished and his d uties assigned to th e state ban k in g d e p a rtm e n t u n d e r a bill offered in th e legislatu re by Senator Otto K otouc. T his w ould be in line w ith proposals in th e farew ell m essage of form er Gov ern o r Cochran, and w ould p u t W ade M artin and S tra tto n in charge of failed state banks, over w hich L u ik a rt has exercised control a n u m b er of years. Ju dicial receiverships, now u n d er L u ik art, also w ould be tu rn e d over to M artin ’s d ep artm en t, “w h ere th e court is of th e opinion it w ould be for the best in te re st of depositors.” George A. K n igh t w as elected p resi d en t of Citizens S tate B ank a t the stockholders an n u al m eeting. Sam uel C. W augh w as retain ed as vice p resi den t and P ercy M ays w as prom oted to cashier. Mr. K n ig h t’s elevation to th e presidency w as in recognition of his q u a rte r cen tu ry of service to the bank. The N ebraska State B an king d ep art m en t rep o rts th a t at the end of 1940 th e re w ere 284 state banks operating in th e state com pared w ith 289 a t the close of th e previous year. T here w as one m erger, th re e v o lu n tary liq uidations, one closed and one new c h a rter issued. T his to tal com pares w ith th e alltim e high of 1,012 state banks on N ovem ber, 1920. T h ere w ere also 139 national banks in N ebraska a t th e close of 1940. Wakefield The stockholders of th e W akefield N ational B ank m et recen tly for th e ir an n u al m eeting. The sam e officers w ere all re-elected for an o th er year. T hey are: A. L. Pospisil, president; R obert E. A nderson, cashier; Roy S. W iggains, a ssistan t cashier; Chas. A. Sar, J. H. M ontgom ery, T. M. G ustaf son and F red M uller, directors. Weeping W ater Welcome To Our ‘GROUP MEETING’ Since 1895—over a period of 46 y e a rs—the Live Stock N ational Bank of Sioux City h a s w orked in com plete harm o n y with b an k ers of Iowa, N ebraska, South D akota an d M innesota. W e are particularly g lad to participate in the activities of our State an d G roup Associations. As one of your Sioux City hosts, w e especially invite you to visit us w hen you are here to attend the a n n u a l m eeting of Group N um ber 1, W ed n esd ay , F eb ruary 12. O F F IC E R S D IR E C T O R S C. L . F r e d r ic k s e n , P r e s id e n t M . A . W ils o n , V ic e P r e s id e n t W . G. N e ls o n , A s s i s t a n t V ic e P r e s id e n t W . C. S c h e n k , C a s h ie r L . W . R o s s , A s s i s t a n t C a s h ie r C. L . A d a m s , A s s i s t a n t C a s h ie r J . S. H a v e r , A s s i s t a n t C a s h ie r C. R. M c K e n n a , P r e s ., J o h n s o n B is c u i t Co. B . L . S iffo rd , A tto r n e y , S iffo rd & W a d d e n G. F . S i lk n i tte r , P r e s id e n t , S io u x C ity S to c k Y a r d s C o m p a n y C. L . F r e d r ic k s e n , P r e s id e n t M . A . W ils o n , V ic e P r e s id e n t H . C. B o s w e ll, S e c r e t a r y - T r e a s u r e r , W e s t e r n C o n tr a c ti n g C o r p o r a tio n “The Bank at the Y ards’ LIVESTOCK NATIONAL B A N Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl K Officers and directors of th e F irs t N ational B ank w ere re-elected w hen th e ann u al stockholders m eeting w as held. Theo Davis is president, H. A. Crozier, vice ¿»resident; O. C. H inds, cashier and C. V. W allick, a ssistan t cashier. Lloyd P. W olcott is th e fifth m em ber of th e board. The u sual dividend w as declared and officers and directors w ere re elected a t th e ann u al m eeting of th e N ebraska S tate Bank. J. I. Corley is president, Dr. M. U. Thom as, vice president; F ra n k J. Dom ingo cashier. The th re e officers con stitu te th e board. York The sixty-year-old F irs t N ational B ank of York re-elected its officers and directors. Officers are J. R. McCloud, president; G. M. H oldem an, vice p resi dent; H. E. N ordlund, cashier; Miss Mamie W ood and A ugust Zim m erer, a ssistan t cashiers. D irectors are W. W. Buckley, H. D. Hall, G. H. H olde m an, D ennis M eehan sr., A. A. Metz, J. R. McCloud, H. E. N ordlund, G. M. Spurlock and E. N. Bowman. Van Auken To Remain Jo h n Van A uken, vice p resid en t of th e L exington State Bank, w ho re cently announced he w ould sever his connections w ith th e local in stitu tio n a t th e close of th e year, has changed his plans and w ill rem ain w ith the bank. Mr. V an A uken has purchased stock in th e L exington S tate B ank and w ill continue as vice presid en t of th e or ganization. G e t a Blanket Pa (try in g on new coat): B ut I can ’t w ear th is thing, M ary—it’s th re e sizes too big. Ma: Yes, you can, dear. R em em ber it has to cover th e car’s rad iato r and be big enough to spread on th e ch ild ren ’s beds at night. 45 ier; F. H. E lb e rt and G. L. Scully, as sista n t cashiers. SOUTH Lennox DAKOTA F. F. P H IL L IP P I P r e s id e n t M ilb a n k NEWS Sioux Falls W. E. P erren o u d , cashier of th e F irs t N ational B ank an d T ru s t Com pany, held a place on th e b a n k ’s h o ard of directors as th e outcom e of an election. All o th er officers an d d irecto rs of th e in stitu tio n w ere re-elected. Officers are M artin J. K uehn, p resident; B. H. Requa, vice p resid en t an d tr u s t officer; W. W. B ak er an d T. N. H ay ter, vice presidents; Mr. P erren o u d , cashier; C. D. Row ley and H. L. Jones, a ssista n t cashiers, and R. A. Pankow , a ssista n t cashier and a ssista n t tr u s t officer. Re-elected to th e board w ere George T. B lackm an, R ush A. B row n, Louis Caille, M ax A. K uehn, Jo h n J. L arkin, M artin J. K uehn, Mr. Requa, Mr. B aker and Mr. H ayter. R alph M. W atson, executive vice presid en t of th e N o rth w est S ecurity N ational B ank, w as elected p resid en t of th e in stitu tio n . W atson succeeds F. H. H ollister a t the N o rth w est S ecurity B ank, H ollis te r becom ing ch airm an of th e board of directors. T he staff of th e N ational B ank of South D akota w as announced as fol lows: W alter S. Stevens, p resident; Tom S. H arkison, vice p resident; A rt E. Schnad, vice president, H u ro n branch; W. H. Ja rm u th , vice president, V er m illion bran ch ; F ra n k J. Cinkle, cash ier; H a rry N. D irks and Ole H. Bondhus, a ssista n t cashiers. N am ed to th e board w ere Cinkle, Schnad, H arkison, J a rm u th and Stev ens. S chnad tak es th e place of F. D. Greene, H uron, w ho resigned. H. O. E ngen, w ho has been an as sistan t cashier, w as nam ed cashier a t an election held by th e U nion Savings Bank. He h as been a m em ber of th e bank staff for 15 y ears and had b a n k ing experience before joining th e staff. O ther officers are C. A. C hristopherson, p resident; W illiam C. Duffy, vice president, and R. E. A rm strong, a s sistan t cashier. Deposits Gain A nice gain in deposits for th e y ear ju st p ast is rep o rted by F. F. P hillippi, G E O R G E M. S T A R R IN G S e c r e ta r y - T r e a s u r e r H u ro n cashier of the D akota S tate B ank a t M ilbank. D eposits gained $160,000, w ith a com parable increase in loans and in capital stru ctu re. T his ban k opened in A pril, 1938, and at its recen t a n n u al m eeting declared a dividend of 10 p er cent, m aking a to tal of fifteen p er cent paid in dividends since its opening. The board of directors and officers w ere all re-elected. Stockholders of th e E xchange B ank of L ennox re p o rt show ed th e local b anking in stitu tio n to have enjoyed a v ery successful year. T he five m em bers of th e board w ere re-elected for a n o th er year. O. C. B urke w ill con tin u e to head th e in stitu tio n as execu tive m anager and vice p resident. All th e o th er officers of th e b an k re ta in th e ir p resen t positions, w ith F ra n k M iller as president, S. Jacobs, cashier and H. Boom garden as a ssistan t cash ier. Treasurer L. H. Cornell, a ssistan t m anager of th e H u ro n branch, N o rth w est Security N ational B ank of Sioux Falls, w as ap pointed tre a su re r of th e South D akota S tate Board of A griculture (state fair board) w hen th a t group held its a n nual reorganization m eeting. A G ood Year F. G. Grosz, vice presid en t of th e Bowdle S tate Bank, rep o rts a good y e a r in 1940, and su b stan tial dividends paid. Real estate is sta rtin g to move in th a t locality, according to Mr. Grosz, w ith farm s selling at a prem ium and a shortage beginning to exist. Young folks w ho cam e to tow n to go into W PA are now w an tin g to get back to th e farm . No change in officers or directors w as m ade a t th e Bowdle S tate B ank in recen t elections. Beresford T he an n u al m eeting of th e heads of th e F irs t N ational B ank of B eresford w as held w ith all officers, directors, and em ployees re-elected and rehired. A dividend of six per cent w as also declared for 1940. The directors are: J. J. DeLay, Jo h n O. Stene, S. O. Steensland, T. A. P e te r son, and A. R. Olson. The officers are: J. J. DeLay, p resi dent; S. O. Steensland, vice president; and A. R. Olson, active vice president. Madison T he ann u al stockholders m eeting of th e Security B ank and T ru st Company, M adison, w as held a t w hich tim e all of th e form er directors w ere re-elected. T hey are Jam es A. Robson, Oscar A. Olson, A. D. P a rk e r and E. J. D irksen, all of M adison, and Jo h n Ingebretson, of K enneth, Minn. Im m ediately fol low ing th e election, th e new board m et and reorganized, nam ing th e sam e officers for an o th er year. These are: A. D. P ark er, president; Jam es A. Rob son, vice president, E. J. D irksen, cash Alcester The an n u al m eeting of th e stock holders of th e State B ank of A lcester w as held recently. The u sual 10 per cent dividend w as distributed. The board of directors for n ex t y ear in cludes H. W. Peterson, E m il T. Jo h n son, Carl Oden, H. B. B artlett, E in a r A nderson, C. S. Swenson, and E. F. McKellips. Rapid City Roy Dean w as re-elected p resident and all o th er officers w ere retain ed at th e an n u al m eeting of th e board of directors of th e R apid City N ational Bank. Officers re-elected in addition to P resid en t Dean w ere A. E. Dahl, execu tive vice president; H. J. D evereaux, vice president; W. E. Shoberg, cashier and E a rl K eller, H. B. B rockett and L oren A. Myli, a ssistan t cashiers. A t th e stockholders’ m eeting m em bers of th e board of directors w ere re elected. M em bers are D evereaux, Sho berg, K eller, Dean and Dahl. R. E. Driscoll, R apid City, w as re elected p resid en t of th e F irs t N ational B ank of th e Black Hills, at th e an n u al m eeting of directors. C ham bers Kellar, Lead, w as re-nam ed ch airm an of th e board. At th e stockholders m eeting, th e fol low ing directors w ere elected: C ham bers K ellar, Lead; C. C. A nder son, Jo h n A. Boland, R. E. Driscoll, W. H. Johnson, George Philip, R apid City; H. S. Black, A. A. Coburn, C. O. Gorder, Dr. F. S. Howe, and W. G. Rice, Deadwood; F re d P. H am pton, Sturgis; D. J. H ull, Newell; W. B. PenNorthwestern Ranker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19'il 46 • SOUTH fold, Belle Fourche; T. D. M urrin, Jo h n M. R yan and M ason T yler, Lead. Changes E rlin g Haugo, state su p e rin te n d e n t of banks, has announced th e follow ing recen t changes in South D akota banks: T he W ilm ot S tate B ank, fo rm erly DAKOTA NEWS the F irst N ational B ank of W ilm ot, opened for business last m onth. The Citizens S tate B ank of A rling ton took over the F irs t N ational B ank of th a t city. The U nderw ood S tate B ank has as sum ed the business of the F arm ers S tate bank of W all and has opened a b ran ch office in W all. • W hy Should They? A kind old gentlem an seeing a sm all boy w ho w as carry in g a lot of new s papers u n d er his arm , said: “Don’t all those papers m ake you tired, m y boy?” “Naw, I don’t read ’em ,” replied the lad. W hat South Dakota Statements Show D ECEM BER 31, 1940 The N orth w estern B anker is pleased to pu blish Bank Statem en ts received before going to press— p u t us on you r m ailing list and send us your statem ents im m ediately after each call. If you r bank is not included in th e list below it is because Y O U d id not send in your statem ent. Please do so next tim e. BANK TOW N C A S H IE R C a p ita l A b e r d e e n .............. ..A b e rd e e n N a t i o n a l .............................. 100,090 A b e r d e e n .............. . F i r s t N a tio n a l ..................................... . . . J . E . K o c h ..................... 350,000 A lp e n a ................... . .B a n k o f ................................................... 15,000 B a l t i c ..................... . D a k o ta S ta te ........................................ 25,000 B e lle F o u r c h e . . . . B a n k of ................................................... G. Q. R u n k e l .............. 50,000 B e lv id e r e .............. . B e lv id e re S ta t e ................................... 25,000 B o w d le .................. . B ow dle S ta t e ....................................... 15,000 B r o o k in g s ............ . .S e c u r itv N a tio n a l .............................. E . H . C a r l is le ............ 75,000 L. C. R ib s te in ............ B r u c e ..................... . .B a n k o f ................................................... 25,000 . L . A . J a c o b s e n ............ B r y a n t ................... . .B r y a n t S ta t e ....................................... 25,000 M. R. H a n n ................ 50.000 B u f f a lo ................... . . F i r s t S t a t e .............................................. J o h n M. T h o m s e n ... 50,000 C e n te r v ille ........... . . B a n k of ................................................... L . L . M a n n ................ 25,000 C l a r k ........................ . C l a r k C o u n tv N a t i o n a l .................. A. G. B e r g e r .............. 25,000 C le a r L a k e ......... ..D e u e l C o u n ty N a t i o n a l .................. E. J . H a r r in g to n ... 19,800 C o lm a n .................. . D a k o ta S ta te ....................................... A lic e P e ll e ti e r ......... 25,000 C o lo m e ................... . B a n k of ................................................... C. E . P e r r i s .............. 39,000 C u s te r C it y . . . . . . C u s te r C o u n ty ..................................... 0 . S. N y g a a r d ......... 15,000 D u p r e e ................... . .F a r m e r s S ta te ..................................... E . F . H e r r b o ld t. . . . 25,000 E u r e k a ................... . .E u re k a S ta te ....................................... R e x T e r r y ................ 50,000 F o r t P i e r r e ......... . . F o r t P ie r r e N a t i o n a l ....................... R . K . C a m p b e ll. . . . 25,000 F r e d e r i c k .............., . F ir s t N a tio n a l ..................................... J . J . T s c h e t t e r ......... 40,000 F r e e m a n .............. . . M e rc h a n ts S ta te ................................. J u liu s B e rts c h . . . . 25,000 F u l t o n .................. . . F u lto n S t a t e .......................................... M. J . M c G illiv r a y . . 15,000 G a rd e n C it y . . . . . .C itiz e n s S ta t e ..................................... F lo re n c e M o re h e a d 25,000 G e tt y s b u r g ......... . . P o tte r C o u n ty ..................................... Jo h n E. L o b e r g .... 15,000 H a r r i s b u r g ......... . .H a r r is b u r g S ta te .............................. J a m e s E ric k s o n . . . 20.000 H a y t i ..................... . . C o m m u n ity S ta te .............................. J . H . K is s i n g e r ............ 45,000 H e c l a ..................... . . F ir s t N a tio n a l ..................................... J . F . C r o n h o lm ......... 27,000 I p s w i c h ................ . . Ip s w ic h S ta te ..................................... . L . A . H o lle n b e c k ... 25,000 I r o q u o is ................ . .F a r m e r s & M e r c h a n t s ..................... L e m m o n .............. . . B a n k o f ................................................... . . C. (). P e t e r s o n ............ 25,000 G o rd e n M a x a m . . . . 25,000 L a k e P r e s t o n . . . . .C o m m u n ity S ta te .............................. C. E . P e n d o .............. 47,000 L e a d ....................... . .M in e rs & M e rc h a n ts S a v in g s . . . . R. H . J a c k s o n ............ 28,000 M c I n to s h .............. . .S e c u ritv S ta te ..................................... E . J . G r ä b e r .............. 25,000 M a r io n .................. . F a r m e r s S ta t e ..................................... C a rl W . H ic k s ......... 25,000 M a r t i n .................. . .B la e k p ip e S ta te ................................... Geo. P . C a d y .............. M e ll e tt e ................ . .F a r m e r s S ta te ..................................... 10,000 E . F . P h i l l i p p i ......... 25,000 M ilb a n k ................ . D a k o ta S ta te ....................................... L . E . W e a v e r .............. 50,000 M ill e r ..................... . .F ir s t N a tio n a l ..................................... E . A . L o o m e r ............ 100,000 M itc h e ll................ ..C o m m e r c ia l T r u s t & S a v i n g s . . . J . N . S h e lb y .............. 120,000 M itc h e ll................ . .M itc h e ll N a tio n a l ............................ G. P . M e u r e r .............. 19,900 M o rris to w n . . . . M o rris to w n S ta te .............................. H . C. P a r k e r .............. 15,000 M u r d o ...................... . J o n e s C o u n ty S t a t e ............................ H . A . S te n s o n ............ 15,000 N ew E llin g to n . . . B a n k o f ................................................. H . A. H u g h e s .............. 15,000 O k a to n ................... . O k a to n S ta te ..................................... W m . C. R e m p f e r . . . 50,000 P a r k s t o n .............. . .F i r s t N a tio n a l ..................................... H . B. L o v a ld .............. 54,000 . . F i r s t N a tio n a l ..................................... P h i l l i p .................. O. E . N e u m a n ......... 25,000 P i e r p o n t .............. . . F ir s t S ta te ............................................ L. L. B r a n c h ............ 50,000 P i e r r e ..................... . F ir s t N a tio n a l ..................................... L e w is V a n d e rb o o m . . . 25,000 P l a t t e ..................... ..F a r m e r s & M e r c h a n t s ..................... 25,000 P r e s h o ................... . . F a r m e r s & M e r c h a n t s ..................... . . . B. A . M c A re a v e y . . . 500,000 R a p id C it y ......... . . F i r s t N a tl, o f B la c k H i l l s .............. . . . N o e l W . K l a r ............ ..R a p i d C ity N a t i o n a l ......................... . . . W . E . S h o b e r g ......... 200,000 R a p id C it y ......... 20,000 R o s h o lt.................. , . T o s h o lt C o m m u n ity .......................... 50,000 S e lb y ....................... . . F ir s t N a tio n a l ..................................... . . . C. A . P o t t e r .............. 25,000 S i n a i ....................... . F ir s t S ta te .......................................... . . . E . P . S a g m o e ............ W. E. P e rre n o u d . . 385,000 S io u x F a l l s ......... . .F ir s t N a tio n a l ..................................... 250,000 S io u x F a l l s ......... . .N a tio n a l B a n k of S. D .................... 500,000 S io u x F a l l s ......... ..N o r th w e s t S e c u rity N a t i o n a l . . . . . . J . V ir g il L o w e ......... 150,000 S io u x F a l l s ......... . .U n io n S a v in g s ................................... S tic k n e y .............. . . F a r m e r s S ta t e ................................... ■• • E . G. B c r m a n n ......... 18,800 21,700 S to c k h o lm ............ . .S to c k h o lm S ta te ................................ . . . V e r n e r B e rg .............. 25,000 V a lle y S p r in g s . . . M in n e h a h a C o u n ty .......................... 50,000 V e r m i lli o n ......... . . C itiz e n s ................................................... . . . F . E . B o w m a n ............ 25,000 V ib o r g ................... ..S e c u r i t y N a tio n a l .............................. . . . E v e r e t t W . N e ls o n .. 25,000 . . . A . L . M ik k e lso n . . . . W a k o n d a .............. . .S e c u rity S ta te ................................... 30,000 W a g n e r ................ ..C o m m e r c ia l S ta te ............................ . . . R . C. C ih a k ................... 16,500 W a l l ....................... . .F a r m e r s S ta te ..................................... . . . C. J . P o s h u s t a ......... 19,500 W a r n e r ................ . . F i r s t S ta t e ............................................ . . . C. L . S e a m a n ............ 150,000 W a t e r t o w n ......... . . F i r s t C itiz e n s N a t i o n a l ................... 50,000 W a t e r t o w n ......... . .F a r m e r s & M e r c h a n t s ..................... . . . S. B. C r o th e r s ......... 34,900 W a u b a y ................ . .S ta t e B a n k o f ..................................... 25,000 W e s s in g to n S p rg s .F a r m e r s & M e r c h a n t s ..................... 100,000 Y a n k to n .............. . . F i r s t D a k o ta N a t i o n a l ..................... . . . H . C. D a n f o r t h ......... * In c lu d e s c a sh a n d d u e fro m b a n k s . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S u r p lu s a n d P r o f its $ 167,884 187,251 5,929 9,711 33,958 23,474 6,804 60,255 21,478 28,597 51,269 10,804 32,658 50,169 11,294 16,683 15,007 10,230 19,673 5,999 25,337 12,583 32,588 2,500 43,190 12,572 6,187 3,372 13,195 7.287 22,617 43,619 26,918 8,855 13,566 3,286 1,538 19,573 110,535 39,629 42,623 3,910 3,969 15,422 9,019 31,340 14,018 16,738 17,878 34,929 41,934 468,104 112,531 35,345 10,398 13,016 136,678 242,824 510,778 48,?76 4,935 7,346 18,728 16,416 19,209 11,153 38,843 3.334 9.042 137,758 51,002 2,400 10,614 62,520 Loans and D is c o u n ts S 1,105,505 3,004,776 82,766 50,619 529,054 102,412 52,645 829,203 78,015 93,495 343,825 290,025 122,431 407,724 234,451 106,585 196,065 100,266 126,320 103,233 159,688 153,911 219,539 99,312 175,923 103,085 117,199 67,438 119,656 117,010 257,543 196,238 263,389 90.055 125,979 94,995 32,538 214,142 677,030 660,885 646,616 93,002 60,184 69,978 51,766 128,295 303,439 130,994 191,243 132,847 251,615 5,263,093 1,378,489 111,641 194,813 81,930 2,582,191 2,396,273 5,247,531 841,431 65,335 148,880 170,781 388,500 211.258 330,181 210,117 50,301 121,931 1,164,872 555,345 117,911 74,793 601,388 C a s h a n d D ue B onds and S e c u r itie s F ro m B a n k s S 1,243,413 8 547,123 1,946,676 1,351,904 33.420 69,285 80,439 44,916 93,542 126.294 237,610 73,437 46,878 79,547 351,700 339,197 73,050 113,470 237,671* 168,727 120,159 82,649 167,712 148,867 129,755 110,413 270,549 43,575 118,485 81,200 127,393 120,400 188,180 38,430 81,175 74,600 77,499 108,816 138,395 161,387 84,001 44,000 92,800 106,854 79,671 50,540 69,921 265,918 177,491 28,432 15,785 42,188 76,820 178,768* 63,883 193,203 135,498* 91,575 104,870 106,270 111,659 316,943 163,498 87,820 80,424 92,200 92,497 59,330 34,195 94,406* 211,184 79,670 213,252 197,557 906,870 473,917 284,752 683,594 4,083 16,842 77,552 49,525 43,960 70,886 39,407 80,057 256,624 200,628 154,251 132,663 76,200 55,444 244,567 270,574 130,212 200,942 144,524 68,588 3,332,096 2,675,049 439.824 1,364,718 93,390 118,228 120,494 124,110 113,470 64,737 1,994,207 2,849,884 1,065,879 962,036 6,599,608* 811,888* 58,014 46,900 100,792* 36,273 67,289 251,297* 67,550 154,578 65,394 76,967 224,511* 12,455 56,797 39,474 65,705 1,019,076 799,770 556,194* 115,449 29,976 49,504 155,399 336,124 562,606 D e p o s its S 2,699,269 5,939,835 154,710 145,087 688,283 358,107 158,302 1,405,149 220,437 291,905 534,125 481,798 350,502 729,893 365,768 279,717 456,862 202,876 248,179 308,047 365,327 260,403 349,677 195,889 573,214 121,741 212,388 208,834 342,648 214,493 412,644 357,559 669,665 225.741 277,659 158,141 119,307 461,465 951,983 1,922,485 1,502,033 93,867 166,143 158,652 150,894 528,207 534,666 224,367 647,757 408,780 405,402 10,513,980 2,892,944 269,414 392,209 161,267 6,807,607 4,098,273 11-258,184 1,486,201 151,255 223,305 231,157 557,745 392,400 437,336 435,680 101,287 195,076 2,814,452 1,028,489 235,337 248,933 1.406,099 47 nual m eeting of th e H astings N ational B ank elected the sam e staff of officers. T hey are: Theodore Cook, president; C harles Doffing, vice p resident and cashier, and E. J. Schmitz, a ssistan t cashier. L u th era Cook, L. P. K ing ston, C harles Doffing, A. J. Doffing and Theodore Cook are the directors. M IN N E S O T A NEWS Hutchinson K . O. S A T T R E P r e s id e n t B lu e E a r th W IL L IA M D U N C A N , J r . S e c r e ta r y M in n e a p o lis Northwest Bancorporation Director Named T he N o rth w est B ancorporation and affiliates rep o rted for 1940 consoli dated n e t earn in g s of $3,648,482 as com pared w ith $3,385,774 for 1939. Profit on securities sold am ounted to $573,358 as against $463,195 for 1939. C onsolidated incom e, including profit on securities sold, and after deducting C. K. B landin w as elected a director of th e E m pire N ational B ank at th e an n u al m eeting of th e b an k ’s stock holders, succeeding th e late J. B. F o r rest. Mr. B landin, form er publisher of th e D ispatch and Pioneer Press, is p resid en t of th e B landin P aper Co., G rand Rapids, Minn. First National, Herman The sam e officers and directors w ere re-elected, nam ely, A. D. Larson, p resi dent; T. W. Fickes, vice president; E rn e st E. Peck, cashier; Jerom e E. Peck, a ssistan t cashier. These officers together w ith Louie H idde constitute the board of directors. R alph F. A ltrock w as re-elected as teller, E d w ard B aum ann and H arold T hielm an as bookkeepers. Hastings J. C. T H O M S O N dividends on p referred stock, in te re st on capital d ebentures, and oth er charges w as $2,852,291, equiv alen t to $1.83 p er sh are on 1,556,601 sh ares of stock outstanding. T his com pared w ith $2,458,797, equivalen t to $1.57 p er sh are on 1,559,831 sh ares o u tstan d in g a t th e close of 1939. C apital and su rp lu s at th e end of th e year to taled $37,223,592, indicating a book value of $23.91 a sh are on sh ares o u tstan d in g exclusive of tre a su ry stock, as com pared w ith $21.09 on shares o u tstan d in g at th e close of 1939. The n e t incom e of th e holding com pany, N o rth w est B ancorporation, on the basis of dividends received from affiliates am ounted to $840,878 and dividends aggregating $311,670 w ere paid d u rin g th e year. T ru m an P. G ardner w as elected president; Irv in g Todd, vice president; H. P. Schoen, cashier and K arl H anson and F ra n k J. H yland, assistan t cash iers of th e F irs t N ational B ank for the ensuing year. On th e board of directors are T ru m an P. G ardner, Irv in g Todd, H. P. Schoen, K arl H anson and M artin R uhr. D eclaring a dividend and rep o rtin g a prosperous year du rin g 1940, th e a n J. M . K A N E The Citizens B ank re-elected all directors as follows: A. H. Ames, H en ry B raun, Jr., J. J. Drahos, H. R. Jensen, C. E. K ester, H. R. K urth, Spencer S tearns and Dr. A. J. T hom p son. Officers of the b ank also rem ain th e same. T hey are: H. R. K u rth , p resi dent; J. J. Drahos, vice president; H. R. Jensen, cashier, and F. V. Johnson, Irv in B urich and W. W. K urth, as sistan t cashiers. The F irs t N ational also held its stockholders’ m eeting and all five directors w ere re-elected. T hey are J. H. Julig, L. C. W ick, Jo h n C arrigan, H en ry K uehl and George K asper. Real Progress J. F. R ingland, p resid en t of the Stock Yards N ational Bank, South St. Paul, M innesota, rep o rted an excellent show ing for his b ank du rin g th e past year. Deposits at th e end of 1939 w ere $6,212,474.11 and at th e end of 1940 th ey w ere $7,156,051.21. The capital stock of th e b ank is $250,000 and it has a su rplus of $250,000 and undivided profits of $50,473. The loans and discounts are $2,738,604 w ith cash and due from banks of $3,320,000. The officers of th is v ery fine in sti tu tio n are: J. A. R ingland, president; J. C. Moore, vice president; A. A. Bibus, vice president; J. M. Kane, cashier; J. G. M cG arraugh, assistan t cashier and C. W. M essenger and A. T. Larson, assistant cashiers. C. w . M E S S E N G E R A. T. L A R S O N Promotions at Stock Yards National, St. Paul Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl 48 W hat Minnesota Statements Show D ECEM BER 31, 1940 The ISorthwestern B anker is pleased to p u b lish Bank Statem ents received before going to p r e s s — p u t us o n y o u r m a ilin g lis t a n d s e n d US y o u r s ta te m e n ts im m e d ia te ly a f te r each c a ll. I f y o u r b a n k is n o t in c lu d e d in th e lis t b e lo w it is b e c a u se Y O U d id n o t s e n d in y o u r s ta te m e n t. BANK A d a N a t i o n a l ................................ .A d r ia n S t a t e ................................. .F a r m e r s N a t i o n a l ..................... . F i r s t N a tio n a l ............................ .F ir s t S ta t e ................................... . F i r s t N a t i o n a l .............................. .F r e e b o r n C o u n ty N a ti o n a l. . . .A le x a n d ria S t a t e ....................... .F a r m e r s N a t i o n a l ....................... .F a r m e r s & M e r c h a n ts S ta t e . F i r s t N a ti o n a l. .............. ............. S ta t e B a n k o f . . . . . . . . . . . . . .F a r m e r s & M e rc h a n ts S ta t e . .N o r th w e s te r n S t a t e ................... A r l i n g t o n S t a t e ............................ .A u s tin S t a t e ................................ .F a r m e r s & M e rc h a n ts S ta t e . B a r n u m ................... .S ta t e B a n k o f ............................ .. B a u d e tte ................ .F i r s t N a t i o n a l .............................. B e a r d s le y .............. .. S e c u r ity S t a t e .............................. .F i r s t N a t i o n a l .............................. B e n s o n . . . . . . . . . . .F irs t S t a t e ..................................... B e n s o n ..................... S w i f t C o u n ty ................................. B e r t h a ..................... .F i r s t N a t i o n a l .............................. B ig F a l l s ................ .F irs t S t a t e ..................................... B in g h a m L a k e . . . F i r s t S t a t e ..................................... B ird I s l a n d ............ .S ta te B a n k o f .............................. .B la c k d u c k S t a t e .......................... .S ta te B a n k o f .............................. . F i r s t N a t i o n a l .............................. .B lu e E a r t h S t a t e ....................... . C itiz e n s S ta t e ............................ .F a r m e r s & M e r c h a n ts S ta t e . .F ir s t N a t i o n a l .............................. S ta t e B a n k o f .............................. B r o w n s V a lle y . . . U n io n S t a t e ................................... . S ta te B a n k o f .............................. .C a lu m e t S t a t e .............................. N a ti o n a l C it iz e n s ....................... .F ir s t N a t i o n a l .............................. TOW N . F a r m e r s & M e rc h a n ts S ta t e . C A S H IE R .H . G. K n i p s ................ H . I). M c N e il.............. . R . N . H a s l i n g .............. . A n d rew P e te rn e ll. . . .E . A . C a m p io n ............ . L . J . P e t e r s o n ............ .E d i th E . J o h n s o n . . . .A . C. S c h n e i d e r h a n . . F . W . S t r i e m e r ......... . T . M . O ls o n ................ . P a u l C. H e a r d ............ .A . E . A r n t z e n ............ . S ib e rt J o h n s o n ............ .N . A . W e lle ................... . L . H . W illi a m s ............ . F . A . T i m m ................... .H e n r y J o h n s o n ......... . W a lte r J . O r r .............. .F . L . C o llin s .............. . R. H . W e lle ................ , C. E . G e s m e ................ . C. A . L a r s o n .............. . J o h n G. E v a n s ............ . G. A . R e d d in g ............ . E d w . A n d e rs o n ......... .J a m e s M a ts o n .............. . O lg a F a ll e s e n .............. .K . O. S a t t r e ................ J a s . K . T i n k e lp a u g h . .D u n c a n B a r r .............. .A . J . K a n e ................... . P . J . F l o ....................... .S ta n f o r d R o n n i n g . . . . F . N . P r e l v i t z ............ ,W . C. H o l t ................... ,H . B . L u e d e r s ............ . A lg o t W . S w a n s o n . , E . R. H a l l ..................... D. W . D u T o i t ............ .A . O . K r o g e n ............ . C a th e r in e H o w a rd . . A . J . R e ic h m u th . . ,W . J . S t r a t e ................ . C. E . M e is la h n ............ . C lin to n S t a t e ................................ . F i r s t N a t i o n a l .............................. C o k a to ..................... .S ta t e B a n k o f .............................. C old S o r i n g ......... . F i r s t N a t i o n a l .............................. C o lu m b ia H e ig h ts .C o lu m b ia H e ig h ts S t a t e ......... C o n g e r ..................... .S ta te B a n k o f .............................. . F i r s t S t a t e . ................................... C o s m o s .............. C ro o k s to n .............. . F i r s t N a t i o n a l .............................. C r o o k s to n .............. .P o lk C o u n ty S t a t e ..................... D a r f u r ..................... .S ta te B a n k o f .............................. D a r w i n ................... . F a r m e r s S t a t e .............................. D a w s o n ................... .N o r th w e s te r n S t a t e ................... D e n t.......................... .F a r m e r s S t a t e .............................. D e tr o it L a k e s . . . .B e c k e r C o u n ty N a t i o n a l . . . . D u lu th ..................... . F i r s t & A m e ric a n N a t i o n a l . . D u l u t h ..................... .B a n k of C o m m e rc e ..................... D u l u t h ..................... .C ity N a t i o n a l ................................ D u l u t h ..................... .M in n e s o ta N a t i o n a l ................... D u l u t h ................ .. . .N o r th e r n N a t i o n a l . ................... D u lu th ......... .. . . . . .N o r th w e s te r n S t a t e .................. D u lu th ......... ........... .P a r k S t a t e ..................................... D u lu th ..................... .P io n e e r N a t i o n a l ....................... D u n n e ll.................. F ir s t N a t i o n a l .............................. E a g le B e n d ......... . .C itize n s S t a t e .............................. E a s t G ra n d F o rk s .M in n e s o ta N a t i o n a l ................... .S ta te B a n k o f .............................. .F i r s t N a t i o n a l ............................ . E l v ............................ .M in e r s N a t i o n a l ......................... , .M in n e to n k a S t a t e ....................... f a r m e r s S t a t e .............................. M a r tin C o u n ty N a t i o n a l ......... . S e c u r i t y N a t i o n a l ..................... . S t a t e B a n k o f .............................. ^ F e r g u s F a lls N a t i o n a l .............. . F r e e p o r t S t a t e .............................. F u l d a ........................ .C itiz e n s S t a t e .............................. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19'iî .L y n n S . O ls o n ............ .A . M . L o b e r g .............. .F r e d V . S t e i n .............. H erb W o o d w a r d ......... .H . L . S w a n s o n ......... H. A . W ils o n .............. .W . S . E r i c s o n ............ . H . O. J o h n s o n ............ . R. E . S im m s ................ .G le n n E . B lo m q u is t. .A . V . S t o l l ................... . A ld e n P e a r s o n ............ .W illis A . P u t n a m . . . C a rl W . B e r g l u n d . . .R o b e r t N . M a g ie . . . . .J o r ic e E. B r o w n . .. . L . 0 . A n d e r s o n ......... P . C. P i c h e t t i .............. .E m ily B e n a s s i............ . N e w to n H . P e y to n , . G. E . H e y m a n ............ . W . B. B e r g s tr o m . . . . . H . M. M a c k e n z ie .... . T . W . L o o n a n .............. J . B. D o o r n w a a r d , . G. V . S a m p s o n ......... .A . M. N e ls o n ............ ,M . C. T e s c h e ................ . R . A . E l lin g s o n ......... . G. P . B a u m a n ............ , . F . B . S t r o m ................ . G. T. S o m e r o .............. J . R . S c h u k n e c h t. . . C. T a l e n .......................... . W . H . N o r m a n ......... . C. F . H o ld en . G eo rg e E . K a u l ......... . R a y M e y e r ..................... . 0 . U . H a b b e r s ta d . . . . .R . E. L i n c o ln ......... .V . E. S h a f e r ................ . S . B . R u o h o n ie m i. . . . M . A. B e l l.................. . . C. K i t t l e s e n ................ . . B. W . L lo y d ............ P le a s e d o so n e x t tim e . C a p ita l 45,000 30,000 25,000 50,000 30.000 100,000 100,000 30,000 50,000 25,000 50,000 30,000 20,000 25,000 30,000 75,000 25,000 25,000 35,000 20,000 100,000 25,000 50,000 25,000 10,000 10.000 30,000 10,000 10,000 60,000 35,000 50,000 50,000 25,000 25,000 20,000 25,000 10,000 60,000 60,000 35,000 50,000 50,000 25,000 15,000 25,000 10,000 20,000 25,000 100,000 30,000 25,000 40,000 10,000 10,000 100,000 40,000 10,000 10,000 30,000 12,000 50,000 2,000,000 100,000 600,000 400,000 1,000,000 50,000 50,000 100,000 30,000 25,000 50,000 10,000 25,000 25,000 50,000 20,000 25,000 20.000 15,000 50,000 45,000 25,000 20,000 50,000 95,000 125,000 50,000 100,000 100,000 20,000 20,000 25,000 25,000 25,000 $ S u r p lu s a n d P r o f its 34,815 28,915 113,030 65,097 9,451 79,563 30,567 40,820 63,374 11,114 24,490 34,692 27,131 20,153 46,271 59,734 28,053 6,061 30,542 14,145 56,441 19,339 53,429 27,373 2,965 17,413 62,614 13,030 7,621 41,612 54,069 34,842 14,365 23,558 37,687 14,202 14,774 20,767 40,537 26,181 13,145 105,087 53,247 17,726 21,109 21,884 25,933 6,367 21,102 135,130 70,256 26,742 17,781 27,007 5,218 64,616 31,621 30,835 7,391 38,947 9,530 52,874 1,394,315 32,355 333,633 255,071 404,929 30,169 9,864 50,536 18,418 13,120 21,196 13,000 29,826 22,492 24,927 29,697 14,470 25,055 9,341 51,556 17,694 46,370 16,005 88,651 31,045 162,191 43,255 149,870 167,432 9,176 6,179 8,169 9,737 66,250 $; L oans and D is c o u n ts 365,005 213,594 131,848 452,080 297,846 682,965 251,676 535,159 264,140 89,678 349,947 189,588 324,475 192,785 372,007 512,895 227,703 96,260 238,812 157,220 472,363 222,062 470,607 249.909 18,916 105,436 481,701 101,817 97,390 404,015 480,457 496,604 460,190 192,711 366,995 207,119 119,026 144,397 333,241 282,645 83,397 94,785 177,614 223,350 188,910 282,169 213,690 106,620 350,505 340,984 522,663 236,036 198,243 191,453 88,324 345,891 434,087 243,357 214,410 417,139 81,275 449,991 8,430,919 908,805 2,087,732 1,992,460 3,897,786 735,985 197,524 521,175 168,593 164,145 232,408 87,678 210,404 352,581 371.477 241,062 287,690 162,437 87,652 234,978 275,451 217,615 185,060 501,964 719,539 1,065,270 391,438 970,463 819,926 151,649 171,682 135,608 173,761 519,398 8 B onds and S e c u r itie s 202,446 90,800 843,829* 374,164 154,619 658,069 770,866 321,093 417,298 110,700 306,238 201,130 84,914 129,810 178,085 907,792* 161,605 67,731 82,133 41,025 478,985 205,000 250,171 152,428 5,480 53,328 123,052 101,356 67,830 271,589 276,295 676,848 241,036 66,381 52,550 92,042 61,081 85,240 252,403 324,S04 243,170 1,555,712 399,348 87,565 52,305 194,496 41,200 43,596 26,852 1,571,575 237,963 88,251 52,193 69,273 219,494 187,251 113,455 50,750 154,307 56,663 726,461* 15,135,535 69,308 2,135,050 3,423,446 4,863,671 15,000 41,162 619,775 61,102 90,111 349,724 45,420 91,315 49,750 135,670 145,341 130,327 90,778 81,203 311,257 261,579 349,196 51.951 569,685 277,447 850,793 218,906 1,164,378 756,166 91,043 14,300 52,386 40,740 203,290 C ash a n d D ue D e p o s its F ro m B an k s $ 175,742 $ 665,924 410,800 152,726 829,146 1,186,338 450,941 171,788 576,974 1,795,491 566,577 312,999 1,229,060 518,166 1,234,560 279,706 899,626 53,136 212,218 285,102 874,050 115,279 483,979 105,020 467,479 141,903 429,680 244,991 729,450 1,332,341 470,421 122,365 103,757 242,727 129,608 469,812 189,592 225,239 422,072 1,244,730 169,959 566,782 224,631 846,674 92,203 444,118 25,579 39.909 58,327 190,473 614,453 114,418 46,172 225,569 23,060 170,936 166,996 782,806 262,611 949,334 593,069 1,620,480 179,637 793,210 195,208 424,328 500,566 136,145 364,324 94,277 115,136 260,270 143,016 341,665 338,255 839,913 282,645 912,750 178,745 461,966 194,201 1,700,012 342,685 825,395 101,429 370,078 85,088 293,781 81,213 518,538 81,770 304,672 179,840 57,039 76,601 411,371 2,354,512 655,137 190,128 857,512 181,950 458,368 40,176 249,579 78,540 304,257 49,497 119,256 882,059 1,295,355 276,223 843,968 94,119 401.006 71,889 311,904 97,568 612,850 53,887 175,627 1,103,710 12,320,973 32,849,095 245,213 1,069,679 5,008,784 8,330,706 3,010,854 7,942,229 6,648,532 14,077,768 134,959 628,942 178,487 386,140 251,242 1,184,043 79,927 276,499 355,721 123,932 212,641 733,825 46,987 158,608 171,719 420,662 433,515 73,436 561,426 111,996 390,868 39,246 126,928 514,085 85,733 295,172 42,544 183,787 805,610 1,261,206 287,611 787,276 669,589 157,767 72,951 274,797 1,459,450 487,715 1,219,359 325,525 2,306,396 616,967 194,502 738,803 332,171 2,265,906 1,992,160 638,883 74,052 294,991 201,657 42,205 210,254 34,948 239,642 55,210 1,170,621 505,068 49 TOW N BANK C A S H IE R G e n e v a ................... . .G en ev a S t a t e ........................................ G ib b o n ................... . • S ta te B a n k o f ..................................... G le n c o e ................... • S e c u r ity S t a t e ..................................... G le n v ille ................ • C itiz e n s S t a t e ..................................... G le n w o o d .............. • P o p e C o u n ty S t a t e ............................ G o n v ic k ................ . - N o r th e r n S t a t e ................................... G o o d h u e ................ ■ G oodhue S t a t e ..................... ............... ----- C. W . G o o d se ll............. G ra n d M a r a is . . . G ra n d M a ra is S t a t e .......................... G ra n d R a p i d s . . . • F i r s t N a t i o n a l . ................................... , , , . G . P . M i t c h e l l . . . . . . . G r a n g e r ................ • G r a n g e r S t a t e ..................................... G r e e n b u s h ............ •G reen b u sh S t a t e ................................. ___ N . 0 . F o lla n d ............. G re e n I s l e ............ • C itiz e n s S t a t e ..................................... G r e e n w a ld ............ • S t a t e B a n k o f ..................................... G rove C it y ............ F i r s t S t a t e ............................................ H a ll ic k ................... • S ta t e B a n k o f ................................... H a n c o c k ................ H a n c o c k S t a t e ..................................... H a w le y ................... F i r s t N a ti o n a l ................................... H e n d r u m .............. • N o r m a n C o u n ty S t a t e ..................... H e n n in g ................. ■ F irs t N a t i o n a l ..................................... H e r m a n ................ • F i r s t N a tio n a l . ................................. H ib b in g ................ • F i r s t N a t i o n a l ..................................... H i l l s ....................... • E x c h a n g e S t a t e ................................... H o ld in g f o r d ......... • S e c u r ity S t a t e ..................................... H o p e ....................... . F a r m e r s S t a t e ..................................... H o p k in s ................ . . F i r s t N a t i o n a l ..................................... H o u s to n ................ . .H o u sto n S t a t e ..................................... ___ W . M c M illa n .................. H o u s t o n ................ . .S e c u rity S t a t e ..................................... H o w a rd L a k e . . . . S e c u r ity S t a t e ..................................... H u g o ....................... . F i r s t S t a t e ............................................ . . . . E . J . L e to u r n e a u . . . . H u tc h i n s o n ......... . .C itiz e n s ................................................. I s a n t i ..................... . .F i r s t S t a t e ............................................ J a c k s o n ................ . .J a c k s o n S t a t e ..................................... J e f f e r s ...................... . S ta t e B a n k o f ..................................... K e e w a ti n .............. . F i r s t N a ti o n a l. . . ............................... K e n s in g to n ......... . .F ir s t S t a t e ............................................ K e r r i c k ................... . K e rric k S t a t e ........................................ K im b a ll................. . . S t a t e B a n k o f ..................................... L a k e C r y s t a l . . . . .L a k e C r y s ta l N a t i o n a l .............. .... L a k e f ie ld .............. . . F a r m e r s S t a t e ................................... . . . . W . T . P a y n e ................ L a k e f ie ld .............. . F i r s t N a t i o n a l ..................................... L a k e L illia n . . . . . F i r s t S t a t e .......................................... L a k e P a r k ......... ■S ta t e B a n k o f ..................................... L a n e s b o ro ............ . S c a n la n - H a b b e r s ta d ....................... L e R o y ................... ■F i r s t N a t i o n a l ..................................... L e w i s t o n .............. . .S e c u r ity S t a t e ..................................... L itc h f ie ld .............. S ta t e B a n k o f ..................................... . . . A , E . P f i f f n e r ............ L i t t l e f o r k .............. . S ta t e B a n k o f ..................................... L o n s d a le ................ S ta t e B a n k o f .............................. . . . L o r e t t o ................... . S ta t e B a n k o f ..................................... L o w r y ..................... . L o w ry S t a t e .......................................... L u v e r n e ................ R ock C o u n ty ........................................ M a d e lia .................. ■C itiz e n s N a t i o n a l .............................. M a d is o n ................ K le in N a t i o n a l ................................... M a n k a t o ................ . F i r s t N a t i o n a l ............................ . , . .M . H . M ic k le s o n .......... M a n k a t o ................ . N a tio n a l B a n k o f .............................. M a n k a t o ................ N a ti o n a l C itiz e n s ............................... M ap le L a k e ......... • S e c u r ity S t a t e ..................................... ___ A . H. N e y ...................... M a r in e ................... . S e c u r ity S t a t e ..................................... M a r s h a ll................ • F i r s t N a t i o n a l ..................................... ___ K . E . S h e ff ie ld ............. M a r s h a ll ................ W e s te rn S t a t e ..................................... M a z e p p a ................ • P e o p le s S t a t e ........................................ M e lr o s e .................. M elro se S t a t e ....................................... M ila c a ..................... • F i r s t N a t i o n a l ..................................... M ilt o n a ................... ■M ilto n a S t a t e ....................................... M in n e a p o lis ......... C a m d e n P a r k S t a t e .......................... M in n e a p o lis ......... . F a r m e r s & M e c h a n ic s ..................... . . . . A . H . C ro s b y ................. M in n e a p o lis . . . . . • F ir s t N a t i o n a l ................................ M in n e a p o lis ......... .M a r q u e t te G r o u p .............................. M in n e a p o lis .......... .M id la n d N a t i o n a l ............................. M in n e a p o lis .......... . N o r t h w e s t e r n N a t i o n a l ................ M in n e o ta .............. . .F a r m e r s & M e r c h a n t s ................ M o n te v id e o ......... . .U n io n S t a t e . ....................................... M o n tic e llo ............ . .W r ig h t C o u n ty S t a t e ....................... M o o rh e a d . . . . . . . . F ir s t N a t i o n a l ................................... M o r a ........................ . K a n a b e c S ta t e . ................... ............... M o r r is ..................... . C itiz e n s ................................................. M o r r is ..................... . M o rris S t a t e ....................................... M o u n d ..................... .S t a t e B a n k o f ..................................... M o u n ta in L a k e . . . F a r m e r s S t a t e ................ . . . . I). .1. S c h r o e d e r ......... M u r d o c k ................ . F i r s t S t a t e ............................................ N a s h w a u k ............ . .F ir s t N a t i o n a l ..................................... . . . . A . G. L a r s o n ................. N ew Y o rk M ills. . F a r m e r s & M e r c h a n t s ................... N e w U l m .............. . S ta t e B a n k o f ................................. N o r th B r a n c h . .. . M e rc h a n ts S t a t e ................................. N o r th f ie ld .............. .F i r s t N a t i o n a l ..................................... N o r th f ie ld .............. .N o rth fie ld N a t i o n a l .......................... N o r th f ie ld .............. .S ta te B a n k o f ..................................... N o r t h r o p .............. ..N o r th r o p P e o p le ’s S t a t e .............. ___ H . C. M ie lk e ............... O r m s b y ................... .F a r m e r s S t a t e ..................................... O r to n v il le .............. .N o r th w e s te r n S t a t e .......................... ___ G. A . H u d y .................... O s a k is ..................... . F i r s t N a t i o n a l ................................... P a r k R a p id s . . . . . C itiz e n s N a t i o n a l ..................... P a r k R a p id s . . . . . .S ta te B a n k o f ................... P e q u o t L a k e s . . . . F a r m e r s S t a t e ............................ P la i n v ie w .............. • P e o p le s S t a t e ........................................ ___ T . Z a b e l........................... P r e s t o n ................... F a r m e r s & M e rc h a n ts S ta t e . . . . P r i n s b u r g .............. P r in s b u r g S t a t e ................................. ___ S . H . L e e ......................... R ed W i n g ............ G oodhue C o u n ty N a t i o n a l . . . . . . . . . H . J . C r o k e ................... R ed W i n g .............. F i r s t N a t i o n a l ..................................... R ed w o o d F a ll s . . ■C itiz e n s S t a t e ..................................... R ed w o o d F a ll s . . •The S ta t e B a n k ................................... R e n v ille ................ ■ O ’C o n n o r B ro s . S t a t e ..................... R ic e .......................... . F i r s t S t a t e ............................................ R o c h e s t e r .............. . F i r s t N a t i o n a l ..................................... R o c h e s t e r .............. . O lm s te d C o u n ty ................................. R o c h e s te r .............. . U n io n N a t i o n a l ................................. R o s e a u ................... . .C itiz e n s S t a t e ..................................... R o th s a y .................. . F a r m e r s S t a t e ..................................... R o u n d L a k e ......... .F a r m e r s S t a t e ..................................... R u t h t o n ................ . .F a r m e r s & M e r c h a n t s ..................... . . . . J . L . E k s e ..................... S t. C h a r l e s ............. . F i r s t N a t i o n a l ..................................... S t. C l a i r ................ . S t. C la ir S t a t e ................................... S t. C lo u d .............. ..S t. C loud S t a t e ................................... . . . . G. J . M e in z ................... S t. J a m e s .............. .F i r s t N a t i o n a l ..................................... C a p ita l 10,000 30.000 25,000 10,000 25,000 25,000 12,000 25,000 75,000 15,000 25,000 10,000 25,000 25,000 40,000 25,000 35,000 25,000 25,000 50,000 100,000 25,000 12,000 10,000 50,000 25,000 25,000 20,000 10,000 100,000 10,000 25,000 25,000 45,000 25,000 10,000 25,000 50,000 25,000 25,000 10,000 25,000 50,000 45,000 40,000 100,000 10,000 20,000 10,000 25,000 50.000 50,000 50,000 150,000 100,000 200,000 10,000 12,000 . 50,000 25,000 25,000 25,000 25,000 10,000 40,000 6,000,000 450,000 1,000,000 5,000.000 50,000 50,000 20,000 100,000 60,000 35,000 25,000 20,000 25,000 20,000 25,000 25,000 40,000 25,000 75,000 50,000 50,000 25,000 10,000 25,000 30,000 25,000 20,000 15,000 25,000 50,000 10,000 125,000 100,000 25,000 25,000 30,000 15,000 200,000 124,700 125,000 25,000 25,000 25,000 20,000 50,000 25,000 25,000 50,000 S u r p lu s a n d P r o f its 15,932 18,125 23,766 16,146 25,059 59,042 14,578 19,570 50,126 6,502 9,944 53,575 17,391 7,968 31,856 11.620 33,288 9,012 23,951 18,236 330,254 10,533 2,558 15,867 67,492 10,501 28,498 9,503 13,775 27,798 15,063 9,660 61,032 14,402 11,581 15,293 16,238 36,952 22,172 27,346 13,503 22,636 47,523 7,219 26,557 32,710 5,359 25,166 13,871 12,648 36,116 36,885 64,484 158,851 34,813 239,933 25,002 8,437 85,185 16,806 25,297 25,166 65,476 9,092 32,156 4,895,745 8,725,473 41,985 657,059 5,954,310 43,036 37,978 24,110 72,442 68,186 31,661 9,478 12,500 89,170 11,369 51,135 28,220 155,317 24,833 64,954 58,408 37,989 8,780 16,784 36,440 17,246 25,036 21,198 11,434 14,035 31,904 13,317 159,481 71,388 81,599 15,697 30,705 8,247 192,513 69,733 83,524 35,219 7,174 26,230 20,463 30,764 20,789 27,720 24,630 L o an s and D is c o u n ts 173,060 317,286 260,930 152,627 296,423 260,506 215,083 180.023 417,658 134,751 106,938 353,896 361,576 277,754 493,346 222,528 273,132 243,937 226,719 205,825 956,586 143,074 77,823 197,740 363,131 196,001 189,604 140,158 117,073 1,154,330 122,637 89,832 375,852 80,865 142,964 84,815 119,466 446,871 154,291 166,415 85,081 259,896 354,517 236,236 254,354 204,317 43,852 245,434 173,297 129,184 444,328 283,083 391,337 615,317 549,746 1,454,681 225,280 103,375 431,589 316,634 282,390 290,376 367,474 74,920 590,569 18,578,478 42,598,889 775,693 9,790,956 48,466,135 390,218 523,049 297,870 815,145 704,208 394,855 200,424 261,344 429,936 131,772 364,184 263,511 307,001 185,451 296,562 168,411 401,343 75,396 112,301 290,212 359,299 134,129 142,333 98,812 282,613 268,361 75,738 694,282 604,377 445,208 165,831 406.088 86,523 1,412,843 1,501,786 833,937 346,148 151,263 381,605 230,863 372,644 302,477 336,396 339,782 B onds and S e c u r itie s 71,774 154,008 195,193 57,600 101,563 514,545* 108,352 69,923 408,812 18,621 28,570 452,614 62,440 77,447 63,202 130,301 138,608 111,626 111,766 110,217 1,180,699 35,574 40,488 579,602 171,534 609,972* 98,252 31,300 211.699 13,430 32,900 88,008 246,575 85,921 55,602 83,400 135,623 286,445 230,595 39,200 99,500 304,316 96,300 193,251 574,924 42,975 140,662 20,852 63,550 218,653 89,311 548,803 1,565,533 350,671 1,093,526 129,323 83,023 536,699 99,250 59,700 208,077 187,608 37,580 51.800 48,414,904 59,819,357 312,025 5,267,510 56,385,584 352,578 148,305 143,867 729,512* 234,887 172,661 15,794 72,542 163,212 62,898 144,200 115,739 1,246,834 106,506 591,459 425,377 393,781 20,930 40,000 229,665* 268,937* 126,967 189,349 146,923 157,162 232,356 27,768 1,271.386 941,349 262,135 71,775 63,950 31,593 2,923,382 458,235 695,274 114,433 56,600 32,075 63,900 281.912 68.375 75,002 240,840 C ash a n d D ue F ro m B a n k s 57,727 183,674 141,868 65,960 110,843 105,287 103,562 578,427 46,516 67,638 168,570 98,210 57,235 115,192 145,849 100,218 45,678 146,614 119,512 1,707,706 84,830 25,502 94,173 213,549 139,158 55,983 29,013 477,386 113,296 23.074 142,327 155,596 61,946 25,863 67,613 210,294 175,753 189,419 28,153 76,311 137,497 105,284 162,615 159,122 38,567 109,378 27,650 49,358 271,224 98,974 284,678 1,300,098 546,567 2,243,076 138,934 35,557 705,501 229,129 74,788 167,328 154,679 27,074 222,553 5,455,462 73,383,077 363,829 7,003,627 54,353,267 257,296 96,637 116,083 281,593 445,636 121,743 46,820 323,911 53,979 204,986 67,330 317,084 110,552 321,448 131,975 118,331 39,567 60,597 166,664 109,086 118,017 73,360 341,555 48,841 772,293 344.448 729,565 118,518 157,050 49,588 1,655,695 740,239 865,002 285,009 53,414 82,076 158,920 180,755 48,826 109,305 440,347 Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D e p o sits 277,580 610,450 567,533 250,871 470,269 696,989 387,789 313,972 1,368,189 183,793 180,096 884,728 486,883 380,635 608,361 462,163 455,458 368,303 440,121 380,070 3,533,016 220,735 98,871 306,405 1,057,502 472,618 642,079 256,555 163,715 1,663,845 227,422 130,446 524,501 403,517 256,477 146,867 248,958 716,268 585,151 547,986 129,980 395,609 736,673 398,722 535,164 871,632 111,810 456,413 195,266 208,703 876,475 399,386 1,119,837 3,295,435 1,322,384 4,433,951 955,577 202,721 1,562,023 615,207 364,745 612,715 648,128 123,865 789,370 68,000,300 161,274,089 1,321,832 20,386,822 151,712,199 924,698 694,114 518,911 1,417,363 1,109,514 961,492 309,864 347,868 862,940 222,357 659,915 404,653 1,698,887 358,964 1.075,512 634,856 831,638 104,628 188,122 470,344 596,148 387,005 409,819 336,546 484,010 770,289 132,029 2,522,499 1,736,072 1,337,493 318,349 576,384 139,701 5,654,377 2,560,408 2,221,117 690,673 232,620 455,615 406,989 763,850 376,913 408.003 964,022 February 19M 50 TOW N BANK C A S H IE R C a p ita l S t. P a u l ............ . .. A m e ric a n N a t i o n a l ................... .............. P . A . F . S m i t h ............. 1,676,000 S t. P a u l ............ . . . C o m m e rc ia l S t a t e ....................... 150.000 S t. P a u l ............ .............. G. H . G r e a v e s ............... 30,000 S t. P a u l ............ . • E m p ir e N a t i o n a l . . . . . . . . . . . 500,000 S t. P a u l ............ . . . F a r m e r s & M e r c h a n t s .............. 50,000 S t. P a u l. _____ . . . F i r s t N a t i o n a l .............................. 6,000,000 S t. P a u l . . . F i r s t S t a t e ..................................... 100.000 S t. P a u l ............ . . . G ra n d A v e n u e S t a t e ................ ..............H . W . W a lli n ............... 50,000 S t. P a u l ............ . . . M id w a y N a t i o n a l ....................... 224,000 S t. P a u l ............ . . . S e c u r ity S t a t e .............................. 60,000 S t. P a u l ............ . . . W e s te rn S t a t e .............................. .............. W . H . K o r tu m ............. 25,000 So. S t. P a u l . . . . ■ D ro v e rs E x c h a n g e ..................... .............. H . G. S w a n s o n ............. 100,000 So. S t. P a u l . . . • ■ •Stock Y a r d s N a t i o n a l . . . . . . . .............. A . A . B ib u s .................... 250,000 S t. P e t e r ............ . . F i r s t N a t i o n a l .............................. ..............C. T . O ls e n .................... 50,000 S t. P e t e r ............ . . -N ico llet C o u n ty . ..........................................H . C. F i l l e r .................... 50,000 S a n b o r n .............. 25,000 S a u k C e n te r . . . •M e rc h a n ts N a tio n a l .............. . 50,000 10,000 S a r g e n t .............. . . . S a r g e n t B a n k ................................ 25,000 S h e lly .................. 20,000 S h e r b u r n ............ . . .F a r m e r s S t a t e . .............................. ............E . E . J o h n s o n ................ 50,000 S le e p y E y e . . . . . . .F i r s t N a t i o n a l .............. ............... .............. P . E . W ilm s ................. 25,000 S lee p y E y e . . . . . . .S ta t e B a n k o f ................ .. ............ 40,000 S p rin g fie ld . . . . . . . F a r m e r s & M e r c h a n t s ................ ............F . E . P ie s c h e l................ 50,000 S p rin g fie ld . . . . . . . S t a t e B a n k o f ................................ 25,000 S t a r b u c k ............ . . .F i r s t N a t i o n a l ................................ 25,000 . . . F i r s t S t a t e ....................................... 35,000 . . .F ir s t N a t i o n a l ................................ 25,000 200,000 . . . F i r s t N a t i o n a l ......... .................... 50,000 T h ie f R iv e r F a lls U n io n S t a t e . ................................... 20,000 T r i u m p h ............ . . . T r iu m p h S t a t e ......................... .. . 20,000 25,000 T y l e r ................... 12,000 . . . F a r m e r s S t a t e .............................. . . . . . . . H . M . G r o n n e r ............ 25,000 . . .F i r s t N a t i o n a l ................................ 10,000 . . . .S ta te B a n k o f ................................ 15,000 . . .V e r g a s S t a t e ................ ............ ..............J . S c o r e ........................... 100,000 ..............F . W . P o t t e r .................. 50,000 V i r g i n i a ............ . . . V ir g in i a S t a t e ................................ ..............R. H . W i lle n b r in g . . . 30,000 .. . W a d e n a C o u n ty S t a t e ................ 25,000 . . . .F irs t N a t i o n a l .............................. ..............R . C ecil P e t t e r s o n . , . 250,278 . . . C i t i z e n s S t a t e .............................. 40,000 . . . S e c u r ity S t a t e ................................ ..............C. D. O ls o n ..................... 25,000 100,000 . . . F i r s t N a t i o n a l .............................. 30,000 . . .A m e ric a n S t a t e ................ ........... ..............W m . F . M a a s ................ 25,000 W a te r v il le ......... , . . .S e c u rity S t a t e .............................. ..............B. W . R a d e m a c h e r . . 25,000 . . . F a r m e r s S t a t e ................................ ..............R . H . L e y ...................... 25,000 ............W . T. B la c k m a r r . . . . 15,000 ............A . H . B jo r l e e ............... Wp-lch 35,000 W p II s 25,000 ..............G len R. V i l l a .................. 25,000 H e n ry F r i c k ................ 25,000 10,000 ............ W . R . S ie m s .................. 100,000 ..............A . E . N o r d s tr o m . . . . 100,000 ..............G eo. W . O d e ll................ 25,000 ..............E . W . N u n .................... 50,000 ..............S. B. E r i c k s o n ............. 35,000 ............J n o . .1. R u p p .................. 50.000 350.000 .............. C. F . W i t t ....................... 200,000 .............. H . A . T o r n o w ............... 200,000 ............J o h n A m b r o s e n ........... 54,500 M. C. L e o n a r d ............ . . . W o r th in g to n N a t i o n a l .............. 25,000 W y k o ff.............. . * I n c lu d e s ca sh a n d d u e fro m b a n k s . LeRoy Officers elected at th e a n n u al m eet ing of stockholders of th e F irs t State Bank, held at LeRoy, w ere F. T. Young, president; Dr. G. A. H alver and Jo h n Meyer, vice p residents; H. H aw kins, cashier; Miss L ulu Runnestran d , a ssista n t cashier, and W alter Rendahl, bookkeeper. Officers of th e F irs t N ational B ank of LeR oy are: Jo h n Hall, president; Jo h n M iller and W. G. P resser, vice presidents; C. O. Strom , cashier; Miss Alma Dowd and George Sum nicht, as sista n t cashiers. Madison The an n u al m eeting of th e Klein N ational B ank of M adison w as held and C. H. K lein w as re-elected p resi dent; G ran t Jacobson, vice president. O ther d irectors re-elected w ere C. P. Klein, O. W. Schulz and M. A. Klein. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl S u r p lu s a n d P r o f its 760,773 474,398 17,546 340,409 52,589 542,132 119,443 59,382 221,042 35,641 50,375 73,048 300,473 47,601 72,851 33,077 37,354 8,888 16,427 20,000 40,058 56,235 44,844 24,171 16,734 8,193 11,275 49,297 303,349 75,171 17,880 36,441 25,952 15,756 12,123 12,000 14,732 387,927 64,728 40,578 50,671 13,044 17,714 28,311 88,890 19,862 8,761 12,927 40,373 12,584 36,000 61,350 25,540 17,738 18,634 77,779 26,504 9,061 55,491 110,440 42,285 244,602 219,270 287,360 65,441 10,306 L o a n s an d D is c o u n ts 7,150,689 1,142,755 260,119 4,270,070 344,548 57,214,326 508,156 325,168 1,937,180 114,524 453,789 1,203,603 2,738,604 478,317 451,381 174,761 266,075 119,237 120,212 262.019 188,865 297,435 660,941 454,234 242,927 151,729 255,285 313,707 997,102 404,103 166,614 221,137 137,480 157,031 120,578 127,269 78,308 765,732 370,585 307,058 214,730 250,278 312,867 320,363 1,218,130 235,403 123,251 160,251 419,466 57,584 210,359 311,000 470,305 156,892 135,230 671,557 357,377 113,428 271,308 306,688 433,208 1,613,039 2,378,295 1,254,247 533,728 127,156 Also re-elected w ere Leo A. Nikolai, cashier; Roy O. S tem srud and B ert G. Berg, a ssistan t cashiers; M artin N iko lai, teller; A lden C hester and E lm er N erge, bookkeepers. A t th e an n u al m eeting of th e stock holders of th e State B ank of Madison, th e follow ing officers w ere re-elected: M. A. A nderson, president; Olaf T. Mork, executive vice p resid en t and cashier; L. O. Oppegaard, assistan t cashier. B onds and S e c u ritie s 27,823,698* 2,921.370 193,433 1,903,426 912,178 25,578,461 1,615,894 727,247 2,530,419 676,476 407,820 1,148,373* 4,935,092* 358,063 97,500 62,521 539,931 19,250 101,950 80,746 420,620 190,141 106,563 146,729 104,181 48,930 78,995 84,355 2,320,544 455,035 55,544 45,577 151,806 90,300 73,342 127,269 124,309* 1,406,620 677,438 421,011 259,287 39,858 171,293 258,918* 482,844 90,000 52,411 104,612 110,125 79,424 136,960 216,717 54,900 125,729 183,379 514.154 611,005 59,500 464,549 526,425 163,527 3,041,063 2,051,519 2,126,157 243,334 102,500 C ash a n d D ue F ro m B a n k s 1,698,028 204,093 4,065,134 554,530 81,803,571 424,672 210,873 1,734,345 201,474 394,031 498,811 342,624 128.824 134,926 41,927 64,024 40,807 310,530 285,797 259,211 341,896 126,770 49,597 79,557 135,742 746,692 391,961 50,312 153,632 244,740 76,386 48,142 42,948 1,175,113 352,083 217,376 172,887 34,578 190,078 664,154 157,025 36,120 36,260 115,225 49,598 216,083 245,937 166,260 193,059 49,765 702,540 387,308 101,012 187,812 371,937 107,554 1.434,109 1,344,314 1,131,777 655,751 85,951 D e p o sits 32,298,150 5,206,378 613,836 9,393,754 1,688,691 152,531,282 2,362,916 1,162,625 5,625,724 1,080,562 1.177,558 2,125,856 7,156,051 1,236,792 783,478 308,982 880,983 152,397 248,760 341,965 841,956 692,027 949,068 871,491 434,805 224,316 373,063 467,553 3,591,237 1,149,205 240,637 366,029 492,858 303,122 211.190 205,717 174,333 2,940,524 1,302,029 876,367 586,210 287,216 616,226 536,532 2,219,718 440,077 178,570 276,984 601,987 159,319 497,403 699,822 648,927 447,885 332,016 1,720,543 1,274,404 299,728 856,192 1,060,489 629,374 5,707,901 5,361,827 4,199,622 1,350,072 280,605 Keewatin At th e an n u al m eeting of stock holders of th e F irs t N ational B ank of K eew atin, all officers w ere re-elected. T hey include: Edw . W. Leach, p resi dent; Generoso Conte, vice president; F. V. W akkinen, cashier; E lizabeth W akkinen, a ssistan t cashier, and Leach, Conte, Mike Michelich, E rik Johnson and F. Y. W akkinen, direc tors. Grand Rapids State First National, Milaca D irectors for th e b an k w ere elected to serve d u rin g th e com ing y ear as follows: M. K. Rudd, R ay B. Hixson, A lbin Allen, A. E. Allen, Jam es Hove, and J. A. Allen. Officers elected from th e board of directors are: J. A. Allen, president; Jam es Hove, vice p resid en t and cashier; Jam es Irving, assistan t cashier; and M argaret Swam, auditor. T he sam e officers as in th e p ast w ere re-elected as follows: R ay Beckfelt, G rand Rapids, president; A lbert Erlandson, W arba, vice president; C. C. Wilcox, G rand Rapids, cashier; M yron R. Sheer, G rand Rapids, a ssistan t cashier; and th e directors are Mr. Beckfelt and Mr. W ilcox, of G rand Rapids; Mr. E rlandson, of W arba, and R alph W hitm as and H. J. D ockstader, of Bovey. 51 1 Sta tem en t o f C ondition NORTHWESTERN NATIONAL BANK AND TRUST COMPANY M ijm eapolis, Minnesota ★ ( D e c e m b e r 31, 1 9 4 0 ) RESOURCES Cash and Due from Federal Reserve and other Banks. . . . $ 54,353,267.47 U. S. Government Securities, direct and fully guaranteed . . 44,766,628.43 Other Bonds................................................................................ 11,618,956.66 Loans and D iscounts................................................................. 48,466,135.24 Stock in Federal Reserve Bank inMinneapolis........................ 300,000.00 Customers’ Liability on Letters of Creditand Acceptances . . 38,717.98 Interest Earned but not C o lle c te d .......................................... 336,484.70 Banking H o u s e ......................................................................... 4,288,000.00 Other R esources......................................................................... 51,613.01 Total R esources........................................................ $164,219,803.49 LIABILITIES Capital Stock—C o m m o n ............................... $5,000,000.00 S u rplus............................................................. 5,000,000.00 Undivided P r o f i t s .......................................... 954,310.73 655,744.64 Reserve for Contingencies.............................. Total Capital A ccounts............... $ 11,610,055.37 Reserve for Interest, Taxes and Other Expense 542,363.37 Interest Collected but not E a r n e d ............... 316,467.76 Letters of Credit and A cceptances............... 38,717.98 D e p o s its ......................................................... 151,712,199.01 Total L iab ilities........................... $164,219,803.49 The Northwestern Bank B uilding — Favored by business men ivho select their office homes for prestige and strategic location. NORTHWESTERN NATIONAL BANK AND TRUST COMPANY o f M in n e a p o lis M EM BER FEDERAL D E P O S IT IN S U R A N C E C O R P O R A T IO N Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M 52 Twin C ity News p ID E L IT Y STATE BANK, M inneap| olis, is com pletely re co n stru ctin g its bank building. C onsistent increase in business volum e m ade th e plan n ed en larg em en t and im provem ents neces sary, it w as explained by V. E. M ikkelson, president. T here w ill be a new exterior, an d th e in te rio r has been redesigned to m ake th e ban k in g area m ore efficient and m ore accessible to th e public. The safety deposit v au lts are to be m oved to th e basem ent, w h ere new p riv ate room s w ill be installed. The low er level w ill be com pletely air condi tioned. R esignation of tw o natio n al b an k ex am in ers and addition of an exam iner to his staff has been an nounced by L. H. Sedlacek, chief n atio n al b a n k ex am in er for th e N in th F ed eral R eserve district. R esigned are F. E. Reid, w ith th e M inneapolis force eig h t years, now as- JA M IE S O N & COMPANY Stocks B onds G rain q Cotton Butter E ggs Com m odity Brokers • M em bers N ew York Stock E xchange i and O th er P rin c ip a l E x ch an g es • ST. PAUL — MINNEAPOLIS • G overnm ent — M unicipal Corporation Bonds • CHARLES C. RIEGER M anager Bond Department M in n e ap o lis — A tlan tic 8235 L______________________________ Northwestern Banker February 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis By James M. Sutherland Special Correspondent sista n t m anager of th e Coeur D’Alene bran ch of F irst N ational Bank, Boise, Idaho, and K eene E w art, a ssistan t vice p resid en t of th e Citizens State Bank, Redwood Falls, M innesota. His father, L. R. E w art, is executive vice presi den t of th e bank. T ra n sferred to M inneapolis from the Chicago office is E. D. Van R ahee, w ho sta rte d here 10 y ears ago and w as m oved to Chicago in 1937. F. R. S ch lich ting, vice presid en t of th e D rovers E xchange S tate Bank, South St. Paul, has been elected p resi d en t of th e local K iw anis Club. A pproxim ately 75 executive heads of B rem er banks atten d ed th e annual year-end conference in St. Paul. B usi ness sessions of th e two-day affair w ere held in th e A m erican N ational Bank, w ith G. J. Johnson, vice president, in charge. Six of th e banks com pleted rem odel ing jobs last y ear and o thers w ill do th e sam e th is year, it w as reported. H ig h light of th e m eeting w as th e an n u al d in n er given by Chairm an Otto B rem er at th e M innesota Club. N ew officers of th e Tw in City Bond Club, elected a t th e an n u al m eeting, are C. H. L oom is, F irs t N ational Bank, St. Paul, president; R. C. M ees, Paine, W ebber & Company, M inneapolis, vice president, and G. M. P h illip s of Cald well, Phillips Company, St. Paul, secre tary -treasu rer. E lected for tw o-year term s on th e board of directors w ere O. Jack Talbot of N o rth w estern N ational B ank & T ru s t Company, C. M yron W ebster, K alm an & Company, and M ilo M eier, C. S. A shm un Company, all of M inne apolis. C harles R. Park has been ad m itted to p a rtn e rsh ip in th e in v estm en t banking firm of M airs-Shaughness & Company, St. Paul, and the firm ’s nam e has been changed to P ark-S haughnessy & Com pany. T he change in nam e rep resen ts no change in the business, w hich has been carried on by L aw ren ce E. S h au gh n essy and C harles R. Park since th e la tte r becam e associated w ith the concern last A pril 1st. R etirem en t of Frank M. Prince, sen ior m em ber of th e board of directors of F irs t N ational B ank & T ru st Com pany, M inneapolis, and its ch airm an since 1915, w as announced a t th e a n nual m eeting of th e bank. Mr. P rince had been a director continuously since 1915. E lected directors w ere John C owles, presid en t of th e M inneapolis S tar J o u r nal Company, and Sheldon V. W ood, p resid en t and general m anager of the M inneapolis E lectric Steel Castings Company. Oscar E. E rtl, su p erin ten d en t of th e B. F. N elson M anufacturing Company, w as nam ed a m em ber of the advisory board of th e b a n k ’s W est B roadw ay office. D irectors at th e ir m eeting elected A. E. W ilson vice p resid en t and ch air m an of th e tru s t com m ittee. In this capacity he succeeds R obert W . W ebb, form er p resid en t of th e F irs t M inne apolis T ru st Com pany and since 1933 ch airm an of th e b a n k ’s tru s t com m it tee. Mr. W ebb w as nam ed a vice p res ident and w ill continue in th e tr u s t de p a rtm e n t in an advisory capacity. O ther changes in th e tru s t d ep art m en t included: H en ry V. B ruchholz, secretary since 1921, elected vice presi dent and secretary; P aul R eyerson , as sistan t secretary and a ssistan t tru s t officer since 1930, nam ed vice presid en t and tru s t officer; L ee A. Short, nam ed a ssistan t secretary in addition to his post of a ssista n t tru s t officer, w hich he has held since 1937; F rank B. W eek and 53 •MINN ESOT A F lo y d Li. D w ight, elected a ssista n t tru s t officers. W eek h as been w ith th e de p a rtm e n t since 1929. D w ight h as been vice p resid en t an d tr u s t officer of M er ch an ts N ational B ank & T ru s t Com pany, Fargo, N o rth Dakota. M alcolm B. M cDonald, nam ed gen eral counsel last October, w as elected vice p re sid e n t an d g en eral counsel of th e bank. In th e com m ercial d ep artm en t, C. B. Brom bach w as p rom oted from a ssist a n t vice p re sid e n t to vice p resident. A. M. B lood and E. C. M addaus w ere nam ed a ssista n t cashiers. W ith th e b an k since 1923, Blood h as m anaged its foreign exchange d e p a rtm e n t since 1928. M addaus e n te re d th e em ploy of th e b an k in 1916 an d has been m an ag er of th e perso n al loan d e p a rtm e n t since 1928. F ive new d irecto rs of N o rth w e ste rn N ational B ank & T ru s t C om pany w ere elected a t th e sixty-eighth an n u al m eet ing. T his in creased th e board to 23, 18 o th er d irecto rs being re-elected. N ew d irecto rs a re B en ton J. Case, d irecto r of Jan n ey , Sem ple, H ill & Company; T hom as L. D aniels, vice p resid e n t of A rcher-D aniels-M idland Company; John B. F aegre of F aegre, B enson & K rause, atto rn ey s; F . PeaA^ey H effelfinger, vice p re sid e n t of F. H. P eavey & Com pany; an d F ran k P. L eslie, vice p re sid e n t of th e Jo h n L es lie P a p e r Company. D irectors re-appointed all officers and designated R. E. M acgregor as senior vice president. Two new vice p re si d ents w ere elected: W en d ell B u rn s and F ran k C. O’B rien, b o th fo rm er a ssist a n t vice presidents. Mr. B u rn s w ill be active in th e com m ercial loaning de p artm e n t, as w ell as su p erv isin g th e bond d ep artm en t. Mr. O’B rien w ill be in charge of b u siness developm ent. In th e tr u s t d ep artm en t, E h \rood H. N ew h art w as m ade a ssista n t tr u s t offi cer, and E lm er O. A nderson, a ssista n t com ptroller, assigned to th e tr u s t de p artm e n t. E. D. StoAA^e, fo rm erly as sista n t tr u s t officer, w as nam ed a ssist a n t secretary. The b a n k ’s activities a re a t th e ir hig h est peak, P re sid e n t S hirley S. Ford reported. H e pointed out th a t all p re ferred stock had been re tire d and th e b ank h ad acqu ired sole o w nership of th e N o rth w e ste rn B ank B uilding Com pany, w ith th e m ortgage debt ex tin guished. Two new d irecto rs w ere added to th e board of M idland N ational B ank & T ru st Com pany, w hile 15 o th er direc to rs and th e officers, headed by E dgar L. M attson, presid en t, w ere re-elected. NEWS The new directors are F rederic B. Carr, p resid en t and tre a su re r of Halle tt & Carey Company, pioneer M inne apolis g rain firm, and Sam uel SeAATa l l , tre a su rer, M inneapolis Iro n Store. C entral N ational B ank also added tw o new directors at th e ann u al m eet ing. T hey are E arl W. W illiam s, W il liam s E lectric Company, and Dr. Clar ence E. A rlander, both active in affairs of th e d istrict for years. • Son succeeded fa th e r as a d irector of th e Chicago-Lake S tate B ank at the ann u al m eeting. R alph W. M anuel re tired as director and his son, M alcolm O. M anuel, w as elected to fill the va cancy. E. W. Oredson w as elected assistan t cashier of M innehaha N ational B ank at th e an n u al m eeting. He had been associated w ith th e b an k since 1927 and w as its chief clerk. (PahtneM in a NEW PROSPERITY ☆ ☆ 1941 can m ake m any an A m erican farm a "LAND OF FREEDOM " if fa rm e r, d e a le r, b an k er work together as Partners in a New Prosperity. r *' «i „a i ¿sii Every new Minneapolis-Moline Ma chine put into action on the farm brings its owner closer to FREEDOM. By lessen ing hard work and long hours, MM equip ment gives the farmer more time to enjoy life with his family — more opportunity to obtain those n ecessities and comforts which make him independent. In the coming year with its widening demand for more farm produce, thou sands of deserving farmers will want and need new MM Tractors and Machines. In many cases only through the ''credit” co operation of MM dealers and bankers will purchasing be possible. Amazing new features distinguish the Tractors and Farm Machines in the 1941 MM Line. Farmers enabled to use this bet ter equipment will not only be raising their own incomes but indirectly creating better busi ness for MM dealers, bankers, and the community at large. BRANCHES NEAR EVERYWHERE c( Minneapolis-Moline Ï" i * ___ è 1:1- MODERN FARM MACHINERY J " _ Minneapolis-Moline POWER IMPLEMENT COMPANY ¡¡'iTOfìSVi Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis »• n February Í9M MINN E S O T A A t th e an n u al m eeting of Cam den P a rk State B ank, R. R. N elson, cashier, was m ade vice p resid en t and cashier, w hile O. AAT. V eth w as nam ed vice p re s ident. I. A. O’S h au gh n essy, p resid en t of the Globe Oil & Refining Com pany, w as elected a d irecto r of F irs t N ational Bank, St. Paul, succeeding W . P. D avid son. L ym an E. AVakefield, Jr., w ith th e bank since 1933, w as elected assistan t NEWS cashier, F irs t N ational Bank, M inne apolis. At th e an n u al m eeting of F irs t T ru st Company, C. E. D en ney, presid en t of the N o rth ern Pacific R ailroad, w as nam ed a director, to fill th e vacancy created by th e death of C. W. B unn. T hree a ssistan t vice p residents of A m erican N ational Bank, St. Paul, w ere advanced to vice p residents at th e a n n u al m eeting. T hey are Guy E. D ailey, S. R. F rederick and Clarence E. M aley. F red J. Gode, com ptroller, w a s elected cashier and M erlin A. A hlberg, m anager of th e collection d ep artm ent, was m ade com ptroller. C. P. R eis, credit d ep artm en t m anager, w as m ade a ssistan t cashier. E m pire N ational B ank & T ru st Com pany stockholders elected C. K. Blandin, G rand Rapids, M innesota, a direc tor a t th e an n u al m eeting. He is p res ident of th e B landin P ap er Com pany and form er pu b lish er of th e St. P aul Pioneer P ress and Dispatch. Bloom ington-Lake N ational Bank, M inneapolis, held its an n u al m eeting and elected L ondell Joh nston, form er chief clerk of th e bank, a ssistan t cash ier. D irectors of the F ed eral R eserve B ank of M inneapolis have nam ed A. AV. M ills auditor, to succeed F ra n k C. Dunlop, w ho re tire d J a n u a ry 1, 1941. Mills form erly w as assista n t auditor. D unlop had been w ith th e ban k since its organization in 1914. C. P alm er Jaffray, of th e inv estm en t banking firm of P iper, Jaffray and Hopwood, w as elected presid en t of th e M inikahda Club in M inneapolis, w hile Clarence E. H ill, vice presid en t of N o rth w estern N ational B ank & T ru st Company, w as m ade treasu rer. A. A. McRae, vice p resid en t of N o rth w estern N ational B ank & T ru st Com pany, w as elected tre a su re r of th e M innesota H ospital Service A ssocia tion a t th e an n u al m eeting. P. A. F. Sm ith, w ho resigned as cash ier of A m erican N ational Bank, St. Paul, after 12 y ears a t th a t post, w as honored by em ployes and fellow exec u tives a t a p a rty a t th e St. P aul A th letic Club. He had been w ith th e b an k since 1903. A fter a vacation in F lorida he w ill re tu rn to St. P aul to supervise m an u factu rin g firm s he owns. B ank Shares C orporation, M inneap olis b an k holding com pany, has ju st paid a dividend of 80 cents a sh are on its class A com m on stock. N orm an N elson of P iper, Jaffray & Hopwood, is new ch airm an of d istrict four of th e N ational A ssociation of Se curities Dealers. He w as elected a t a m eeting in M inneapolis, succeeding L aw ren ce B. AVoodard of W oodard-Elwood & Company, M inneapolis. Jam es M acRae, Jr., of B lyth & Company, w as nam ed secretary. Northw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bi 55 been vice p resid en t and executive m anager, w as elected president. Thom as D. H ughes of M inneapolis, w as re-elected vice president; L ester E. S m ith w as re-elected cashier and W ard D. D w ight w as nam ed a ssistan t cash ier. No changes w ere m ade in officers or directors at th e F irs t N ational B ank and T ru st com pany, th e D akota N a tional bank, n o r a t th e N orth w estern M utual Savings and Loan association. NORTH M A R T IN A A S P r e s id e n t N ew R o c k fo rd DAKOTA NEWS Minot Stockholders of The F irs t N ational bank in M inot h eard re p o rts show ing considerable in creases in th e volum e of deposits and loans a t th e ir an n u al m eeting. E lected to th e board of directors were: R. A. H. B randt, Dr. A rchie D. McCannel, Soren J. R asm ussen, H en ry H. W estlie, H. E. B yorum , Lee H. P iper and W. E. Tooley. Dr. M cCannel is president; B ran d t and B yorum , vice p residents; Tooley, cashier, and H. C. D ahl and C. F. A nderson, a ssista n t cashiers. Tolna All officers of th e F a rm e rs & M er chants S tate B ank of Tolna w ere re elected a t th e an n u al m eeting. T hey are R. E. E ngen, cashier, R ichard F. Shoem aker, a ssista n t cashier, an d R ay Flohr. T he board of directors is com posed of K en n eth W ish art, E. D. B eck m an and R. E. E ngen. Mandan T. G. C. K ennedy, p ro m in en t M andan b u sin essm an w as elected to th e board of directo rs of the F irs t N ational B ank of M andan. E lected by stockholders of th e M an dan in stitu tio n , K en n ed y replaces R. L. Sm ith of M inneapolis. Re-elected to th e board of d irectors were: F. B. H eath of B ism arck, W. T. C um m ins of M andan, A. R. W einhandl of M inneapolis, and J. R. M adsen of M andan. M adsen w as re-elected p resid en t of th e b ank at th e d irecto rs’ reo rg an iza tion m eeting. W einhandl w as re-elect ed vice p resid en t and A. E. L ubke w as re-elected cashier. Valley City All officers and directors of th e A m erican N ational B ank w ere re elected a t th e a n n u al m eeting of th e board of directors. A. C. T horkelson is president; R. M. H ougen, vice p resid en t and cashier, and M agne M ickelson, a ssista n t cash C. C. W A T T AM S e c r e ta r y F arg o ier. Besides Mr. T horkelson and Mr. H ougen, o th er directors are K arl J. Ol sen, Roy A. P lo y h ar and W illiam L. Paulson. All officers of th e F irs t N ational B ank of V alley City w ere re-elected. E rie L. F ouks continues as p resid en t and o th er officers are L. T. Sproul, vice president; J. T. Sanger, cashier, and D. W. Buckm an, a ssistan t cashier. D irectors are J. M. Connors, Mr. Fouks, Mr. Sanger and Mr. Sproul, all of V alley City, and L. H. Ickler, Jr., p resid en t of th e F irs t N ational of Jam estow n. Lidgerwood Dan S. Riley, for several years executive vice presid en t of th e F irs t N ational b ank w as nam ed presid en t of th e in stitu tio n a t a m eeting of the board of directors. O ther officers chosen a t th e m eeting w ere C. A. Bonzer, re-elected vice p resi dent; H. W. T illem ans, cashier; Floyd F. Miles, assista n t cashier; and Mr. Bonzer, Mr. Riley, Jam es Goolsbey, O. F. Strege and T illem ans, directors.. Fargo Floyd L. D w ight, vice presid en t and tru s t officer of th e M erchants N ational B ank and T ru st com pany of Fargo, and associated w ith th e b ank since 1929, has resigned to tak e th e position of a ssistan t tru s t officer of th e F irs t N ational B ank and T ru st com pany of M inneapolis. Both banks are affiliates of th e F irs t B ank Stock corporation, M inneapolis. T his w as announced follow ing the annual business m eeting of th e Fargo bank. F ra n k R. Scott, p resid en t of th e M er ch an ts N ational, w ill also take th e title of tr u s t officer, th e directors decided, an d A d rian M cLellan has been nam ed a ssista n t tru s t officer. T he ban k also elected Sherm an H. F in g er as assistan t cashier. F ra n k J. Carlisle w as nam ed ch air m an of th e board of directors of th e F argo N ational b an k a t th e ann u al m eeting and E arl L. Shaw, w ho has Rolette •At th e an n u al m eeting of th e R olette S tate B ank th e follow ing officers w ere re-elected: C. 0. M yhre, p resi dent; Chas. L aughery, vice president; W. A. Moen, cashier; and M artin M ortenson, director. T he assets of th e old R olette State Bank, th a t closed in 1928, w ere sold in D ecem ber and a final dividend paid to depositors on D ecem ber 20th, 1940, a 10% dividend w as paid, m aking a total of 55% paid to depositors of th e old R olette State Bank. Legislation W hile th e N orth D akota legislature has been in session for n early one-third of th e tim e allotted to it for its session v ery few bills have been introduced, and so far no legislation directly affect ing banks. An a ttem p t w ill be m ade to am end th e a n ti corporation farm act by p ro viding th a t no land shall escheat to the county w here th e corporation refrain s from farm ing th e land th ro u g h h ired help, or so long as it farm s such land u n d er re n ta l contracts en tered into in good faith w ith bona fide farm ers of th e S tate of N o rth Dakota. The S tate E x am in er’s office has been conferring w ith th e S tate T ax Com m issioner and th e A tto rn ey G eneral w ith a view to introducing a m easure for providing for a different m ethod of tax in g banks, w hich, in his opinion, w ill elim inate th e inequitable situ a tion existing so far as sm all ban k s are concerned. T his act w ould provide for an excise ta x of 4% upon th e n et incom e of banks, plus th e incom e from ta x exem pt securities and w ould be in lieu of all o ther taxes except those on real estate. If and w hen th e bill is in troduced p rin ted copies w ill be for w arded to each b an k in th e state. An atte m p t w ill also be m ade to am end th e provisions of th e Social Se c u rity Act, of th e U nem ploym ent Divi sion, so as to cover em ployers of one or m ore instead of eight or m ore as at present. Repetition “You have a w onderful figure, dear.” “M ust w e go all over th a t again?” Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M 56 • N ORTH Continental, Chicago At a m eeting of th e board of direc tors of th e C ontinental Illinois N atio n al B ank and T ru st C om pany of Chi cago th e follow ing prom otions w ere announced: In th e com m ercial ban k in g d e p a rt m ent, R ich ard A. A ishton and C harles Z. H enkle w ere appointed vice p re si dents, and P au l M. C arrick w as m ade a second vice president. E d w ard J. Mc- DAKOTA N EW G rath, New Y ork rep resen tativ e, w as appointed a second vice president. Tilden Cum m ings and M erle G lanville w ere m ade assistan t cashiers. Otto Koenig, savings d ep artm ent, w as also m ade an a ssistan t cashier. A rth u r W. R oberts, in charge of th e foreign de p artm en t, w as m ade a vice president, and M elville A. Powell w as appointed an assistan t cashier in th a t d e p a rt m ent. s • In the tru s t departm ent, R onald M. Kim ball, secretary, w as m ade a vice presid en t and w as succeeded as secre ta ry by A llan B. H ussander. B yron E. B ronston, C harles G. Sedgwick, and E dm ond B. Stofft, tru s t officers, w ere m ade second vice presidents, and Clair W. F u rlo n g w as m ade a tru s t officer. J. H. Leslie, Carlyle E. W akefield, an d H arold L. W eis w ere appointed assis ta n t secretaries. W h at North Dakota Statements Show D ECEM BER 31, 1940 The N orth w estern B an ker is pleased to p u blish Bank Statem en ts received before going to press— p u t us on you r m ailing list and send US you r statem ents im m ed ia tely after each call. If your bank is not included in th e list below it is because Y O U d id not send in you r statem ent. Please do so next tim e. BANK TOW N B is m a r c k ......... B is m a r c k ......... B is m a r c k ......... B o w m a n ......... C a n d o ................ C a rrin g to n . . . C a r s o n .............. C a s s e lto n ......... C o o p e rs to w n . . . . . .F irs t S t a t e ................................. C r o s b y .............. . . . . F a r m e r s S t a t e ....................... D ev ils L a k e . . D ev ils L a k e . . D e n h o ff............ D ic k in s o n . . . . D u n s e ith ......... . . . . S e c u rity S t a t e ......................... D r a k e ................ D u n n C e n te r. . . . . .U n io n B a n k .............................. F a irm o u n t. . . . F a r g o ................ F a r g o ................ F a r g o ................ G a c k le .............. G r a f t o n ............ G a r r is o n ......... H a n k in s o n . . . H an n afo rd . . . H e b r o n .............. H e t t i n g e r . . . . . . . . F i r s t N a t i o n a l ......................... H o p e ................... H u n t e r .............. Ja m e sto w n . . . J a m e s to w n . . . K illd e e r ............ K u lm ................ L a n g d o n ......... L a n k i n .............. M a n d a n ........... M in n e w a u k a n . . . . F a r m e r s S t a t e ......................... M in o t................ M in o t................ M u n ic h ............ N e c h e ................ N o m e ................ N o r th w o o d . . . O a k e s ................ P a g e ................... P o r t l a n d ......... R e g e n t.............. R ic h a rd to n F a r m e r s S t a t e ....................... R o l e t t e .............. R u g b y .............. S h a r o n .............. S o u r is ................ T o l n a ................ T o w n e r ............ V a lle y C ity . . . . . . . A m e r i c a n N a t i o n a l .............. V a lle y C ity . . . . . . . F ir s t N a t i o n a l ......................... W a h p e to n . . . . . . . . C i t i z e n s N a t i o n a l ................... W a h p e to n . . . . . . . .F a r m e r s S e c u r i ty ................... . . . .F i r s t I n t e r n a t i o n a l .............. C A S H IE R C a p ita l , .$2,000,000 100,000 200,000 50,000 25,000 30,000 . . . A . W . O m d a h l___ .. ___ W . P . C a m p b e ll. . . . . . . A . C. B r o w n ............ . . . ,M. J . G r e tte n b e r g . ___ E . W . M u e lle r ......... . . . Z. E . L u b k e .............. . . . . H. S. H e r m a n ........... ___ G len V . D i l l .......... Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19hl 15,000 15,000 15,000 100,000 15,000 40,000 100,000 25,000 20,000 25,000 25,000 50,000 15,000 . . . E . R . F o s s ................ . . . R . E . G e id t.............. . . . R . M. H o u g e n .... . . . . O . J . O ls o n .............. ___ H . G. F i s h e r ............... . . . .0 . N . S te n e h je m . . . . . R. G. R a s m u s s o n . . W i lto n .............. * In c lu d e s ca sh a n d d ue fro m b a n k s . 20,000 25,000 20,000 75,000 75,000 15,000 150,000 20,000 25,000 15,000 30.000 175,000 350,000 150,000 25,000 75,000 15,000 15,000 20.000 35,000 25,000 15,000 25,000 100,000 100,000 25,000 15,000 15.000 25,000 25,000 20.000 15,000 15,000 50,000 50,000 75.000 70,000 15,000 25,000 19,900 50,000 45.000 35.000 S u r p lu s a n d P r o f its 524,709 $ 75,904 225,463 5,232 35,579 64,440 12,619 18,991 26,936 11,169 51,750 7,135 4,273 82,496 6,230 35,785 7,004 19,319 162,724 352,863 217,409 8,758 85,717 3,000 8,364 11,629 16,726 26,540 9,730 8,600 17,731 44,354 38,392 16,325 22,618 15,566 40,245 6,539 19,782 38,813 15,392 23,447 8,675 28,136 21,702 7,537 20,467 7,407 14,806 12,298 34,208 6,624 12,054 10,027 17,185 24,412 73,697 59,610 40,427 17,441 8,260 4,855 22,747 1,621 4,750 Loans and D is c o u n ts $ 1,788,178 614,195 1,342,345 188,715 280,475 133,002 98,118 182,416 172,414 209,844 132,116 195,365 15,643 693,723 88,343 424,653 67,089 165,456 1,185,207 3,462,493 2,008,403 103,170 706,840 108,235 87,994 81,921 412,638 136,923 131,015 122,558 596,819 653,500 112,640 100,334 223,408 90,051 695,638 122,012 686,297 608,135 82,213 187,478 81,754 153,043 185,433 48,784 203,172 91,909 103,504 85,576 92,591 110,096 199,497 142,146 346,181 371,944 435,841 921,909 691,505 279,332 84,225 64,681 437.103 172,991 56,139 C a s h a n d D ue B onds and S e c u r itie s F ro m B a n k s $12,435,250 $ 9,107,796 401,706 401,223 1.607,880 693,195 15,100 114,913 133,550 103,661 72,654 335,139 73,500 33,626 121,575 82,397 186,738 63,468 16,368 289,610 650,150 577,325 297,576 463,531 13,317 11,154 374,362 883,164 18,400 61,747 101,452 120,383 34,818 50,207 113,633 86,694 980,687 939,658 1,792,295 2,340,065 1,402,138 860,430 43,134 33,851 233,050 208,819 62,885 36,802 201,087 47,888 114,533 42,200 189,936 96,345 248,976 97,233 79,922 39,703 39,075 21,485 467,843 205,474 515,841 247,901 127,418 -104,621 96,411 73,252 14,301 87,664 51,280 100,515 609,126 345,181 141,890 56,979 77,321 126,669 430,012 341,399 126,352 38,028 106,015 95,668 40,074 28,926 119,379 86,295 55,717 159,992 49,319 26,141 95,520 71,157 106,577 37,589 134,164 31,706 75,438* 576,143 76,699 43,121 42,621 46,803 79,469 22,569 76,495 88,059 102,263 213,572 132,316 304,284 129,657 348,986 247,310 217,130 222,901 62,811 86.111 145,479 104,952 33,958 84,740 71,791 242,379 23,229 53,496 99,292 45,149 D e p o s its $24,240,019 1,300,929 3,326,557 474,807 469,273 491,043 203,081 348,232 380,575 491,653 1,254,791 893,825 25,138 1.798,095 148,693 544,921 137,780 327,580 2,797,591 7,269,166 3,947,573 161,831 997,829 206,720 309,466 207,824 651,257 449,944 216,633 152,321 1,194,388 1,300,470 305,086 250,676 299,827 201,939 1,553,455 295,926 832,118 1,316,043 395,726 351,216 114,959 465,376 343,438 108,541 336,947 211,675 244,659 140,183 694,294 178,544 308,216 203,282 522,017 683,330 301,711 1,438,436 1,047,259 402,568 297,815 168,903 698,659 216,218 175,983 57 elected president; N. O. Bowman, vicepresident, and Jam es W. K earns, cashier. MONTANA NEWS Helena E T H E L W. W A L K E R S e c r e ta r y - T r e a s u r e r H e le n a R. D. M O U N T A IN P r e s id e n t C o n ra d Stanford All d irecto rs and officers of th e B asin State B ank w ere re-elected for an o th er year. T he directors are: M. T. T hom p son, N. B. M atthew s, Geo. H. Goyins and L o re tta J. M atthew s. T he officers are: M. T. T hom pson, p resident; N. B. M atthew s, vice-president and cashier; and Geo. Goyins, a ssista n t cashier. Lewistown At th e an n u al m eeting of th e N a tional B ank of L ew istow n, all d irec tors w ere re-elected. Follow ing th e a n n u al m eeting, th e re-elected directors, consisting of H a rry E. Lay, Cassius W illiam son, E. O. Jen k in s, A. W. John so n and R. S. B aker, perfected th e ir o rganization by re-electing th e follow ing officers: A. W. Johnson, p resident; H a rry E. Lay, vice president, and R. S. Baker, cashier. Com pletion of th e m ost successful y e a r in th e h isto ry of th e N o rth w est e rn B ank of Lew istow n w as rep o rted for th a t in stitu tio n by vice president and cashier A rnold Stoll at th e an n u al m eeting. The directors nam ed w ere: H. L. DeKalb, F. L. Dissly, C. A. Johnson, A rnold Stoll and Tom Stout, and fol low ing th is election and h earin g of rep o rts, th e directors perfected the organization w ith th e ren am in g of the follow ing officers for th e ensuing year: F. L. Dissly, president; A rnold Stoll, vice p resid en t and cashier; R. L. Dusek, a ssistan t cashier. Townsend Stockholders of th e T ow nsend State B ank m et and th e following directors w ere elected: J. P. K earns, N. O. Bow m an, Jam es W. K earns, D. J. Mc C arth y and Mrs. O. T. K earns. A t a d irecto r’s m eeting, J. P. K earns w as All directors and officers of the U nion B ank & T ru st w ere re-elected and include: M. S. Gunn, E. J. M urphy, R obert P. Porter, E. D. MacHaffie, A. T. H ibbard, F ra n k Bogart, J. G. R eitsch and H. C. Schuyler, directors; A. T. H ibbard, president; J. G. Reitsch, vice p resid en t and cashier; F ra n k Bogart, vice president; H. C. Schuyler, vice p resid en t and tru s t officer; Ben R. D raper, assistan t cashier; C. E. McGuiness, a ssistan t cashier; Jo h n Carl son, Jr., a ssistan t cashier; R ichard C. Hinze, a ssistan t cashier and assistan t tru s t officer, and L ynn L. Leggett, auditor. R obert M. Leslie, assistan t cashier, w as th e only new ly-elected officer. T. O. H am m ond, for th e p ast th ree y ears p resid en t and executive officer of th e F irs t N ational B ank and T ru st com pany of th is city, w as elected ch airm an of the board of directors and F re d H einecke, form er vice president, w as elevated to th e presidency. Mr. H einecke w as also nam ed presid en t of th e F irs t M ontana Company, an affil iate of th e bank. It w as also announced th a t W alter B rutsch had been elected vice p resi dent and tru s t officer, W alter Schulke, a ssistan t cashier and A. L. P ark, audi tor. O ther officers of th e b ank who w ere re-elected are: L. S. Hazard, cashier; George E. Stadler, assistan t W h at Montana Statements Show D ECEM BER 31, 1940 The N orth w estern B an ker is pleased to pu blish B ank Statem en ts received before going to press— p u t us on yo u r m ailing list and sen d us you r statem ents im m ed ia tely after each call. If you r bank is not in cluded in th e list below it is because Y O B d id not send in you r statem ent. Please do so next tim e. BANK C A S H IE R TOW N A n a c o n d a . . . . . . . . D a ly B a n k & T r u s t C o .................... ----- O. B. S ilv e y ............. B ig T im b e r . . . . . . .C itize n s B a n k & T r u s t ................... B illin g 's .............. . . .M id la n d N a ti o n a l . ....................... . . . . A. R . H a m m e r . . . . B il lin g s .............. . . . S e c u r i t y T r u s t ..................................... B o z e m a n ............ . . . S e c u r i t y B a n k & T r u s t ................ . . . M e ta ls B a n k & T r u s t ..................... B u t t e ......... .. B u t t e .................. . . . M in e rs N a ti o n a l . ............................ . . . . T. J . F e n lo n ............ C o lu m b u s .......... . . .Y e l l o w s t o n e B a n k s ..................................... L. .1. W a lla c e .......... . . , B a n k o f G la c ie r Co............................ . . . .F ir s t N a t i o n a l ..................................... , . . .S ta te B a n k & T r u s t .......................... . . . F o r s y th S t a t e ..................................... . . . F i r s t S t a t e ............................................ . . . .F ir s t N a t i o n a l ..................................... . . . M o n ta n a B a n k & T r u s t C o . . . . . . . . C o n ra d N a tio n a l .............. ............... . . . Y e llo w s to n e B a n k s .......................... . . . . B. M ey er H a r r i s . . . . . . F ir s t N a t i o n a l ..................................... ___ F . M . E l l i o t t ........... . . . R o n a n S t a t e ....... ................................ . . . . H . E. O ls s o n ......... . . . S i d n e y N a t i o n a l ................................. . . . . 0 . !.. A n d e r s o n . . . . . . B a s in S ta t e B a n k . .............. ............. . . . . N . B. M a tt h e w s .. O scar E . E nebo . . . . . . F i r s t S t a t e ............................................ W h ite f is h .......... . . . F i r s t N a ti o n a l B a n k o f ................... ___ P . C. L i l l y .................. C a p ita l .. .. .. .. .. .. .. 100.000 200,000 100,000 100,000 600,000 100,000 50,000 30,000 100,000 25,000 40,000 600,000 100,000 250,000 50,000 200,000 25,000 30.000 25,000 35,000 50,000 S u r p lu s a n d P r o f its $ 212,761 34,329 213,117 182,425 68,213 668,101 48,542 17.520 19,070 108,607 81.111 43,855 3,050 311,793 179,156 81,345 11,633 160,643 42,526 14,740 23,000 8,755 18,663 Loans and D is c o u n ts $ 721,450 325,802 1,547,192 2,108,860 445,598 2,349,377 322,241 539,577 232,669 412,474 1,093,437 243,428 222,722 2,521,071 1,240,943 779,901 382,312 658,520 256,025 326,681 135,301 184,978 143,523 Bonds and S e c u r itie s $ 2,366,991 180,337 2,059,245 578,517 223,545 6.074,675 426,627 171,976 34,301 811,111 522,966 350,286 32,600 4,183,025 842,890 1,097,565 134,906 1,276,952 110,104 69,659 373,306 52,377 292,900 C a s h a n d D ue F ro m B an k s $ 1,322,761 630,112 2,665,916 1,954,627 479,051 6,565,227 908,701 272,839 358,245 406,826 367,130 159,443 76,686 4,999,967 797,028 1,538,864 308,304 2,661,339 212,604 159,941 111,443 98,578 287,577 Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D ep o sits $ 4,094,788 1,017,809 5,961,685 4,322,875 1,003,482 13,818,111 1,574,948 936,512 678,258 1,458,585 1,818,922 696,187 348,653 11,042,241 2,863,415 3,175,368 766,666 4,344,413 519,154 531,542 578,981 301,190 687,075 February Í.94Í 58 cashier and cashier. L. H. W est, a ssistan t Hamilton E x p e r i e n c e ” — a word so frequently used in these adver tisements, has an exact meaning. We are able the better to serve other banks because for more than one hundred and thirtyseven y e a rs we have been dealing with the daily operating problems that are common to all banks. Out of our own experience we have learned how best to meet your needs. ... THE . . . P H IL A D E L P H IA NATIONAL BANK O R G A N IZ E D 1803 P H IL A D E L P H IA , PA . C apital, S u r p lu s an d U n d iv id e d P ro fits E lection of officers for 1941 for th e two H am ilton banks w ere announced. C. H. Raym ond, nam ed presid en t fol low ing th e death of W allace M cCrackin last fall, w as re-elected to th e post for th e R avalli County Bank. M ortim er A. W hite and Jo h n G. Howe, of H am ilton, are vice presid en ts and C harles H. Jam es w as chosen as cashier. F red Lew is is d irector to serve w ith th e officers as th e directorate. L. P. P arm en ter, of H elena, w as re elected presid en t of th e Citizens State Bank. V. C. H ollingsw orth w as elec ted vice president. W. A. M cElroy, vice president, and Alm on L. Kleve, cashier. Bozeman D irectors and officers of B ozem an’s th ree banks w ere all re-elected a t th e an n u al m eetings of the stockholders. T he Com m ercial N ational B ank di rectors and th e ir officers are: C harles V andenhook, president; D. R. Green, vice presid en t and cashier; Judge G. Y. P atten, W. W. Spain and W. H. Lovelace, R. H. E llio tt and C harles H. Bell are a ssistan t cashiers. At th e G allatin T ru st and Savings B ank the directors and th e ir officers are: W. S. Davidson, president; H. B. McCay, vice president; Brooke H a rt m an, vice president; J. R. C ham bers and C. S. K enyon. E. S. E dsall is cashier and L. C. Bergen, assistan t cashier. D irectors of the Security B ank and T ru st Company, and th e ir officers are: A. G. B erthot, president; E. J. P arkin, vice president; Nic A akjer, J. D. Street, cashier; Dr. C. C. Seerley. H en ry Gossack is a ssistan t cashier. Fromberg The an n u al m eeting and election of officers of the C lark F o rk Valley B ank w as held last m onth. Officers are T. J. Benson, president; J. H. O’Connor, vice president, and George W. Graff, cashier. The new board of directors consists of C. C. Green, E. R. Dingus, Mr. O’Connor, Mr. Benson and F red W. Graff, of Laurel. $ 44 , 000,000 M em ber of Federal D eposit Insurance C orporation Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19¿tí Reserve Director P. B. McClintock, cashier of th e F arm ers N ational B ank of Chinook, has been notified of his election as a d irector of th e H elena b ran ch of th e M inneapolis F ed eral R eserve Bank. M cClintock has been cashier of the Chinook b ank for seven years. 59 N EW S H . R. YOUNG P r e s id e n t A rlin g to n Colfax Dr. F. E. Boyd w as again elected presid en t of th e F irs t N ational B ank in Colfax a t the a n n u al m eeting of th e board of directors. Follow ing th e a n n u al m eeting th e new board of d irecto rs m et and elected th e follow ing officers and employees: F. E. Boyd, p resid en t and ch airm an of board; H. E. Bell, executive vice p re si d en t and cashier; J. H. Cairns, a ssista n t cashier; R. E. Cum m ings, a ssista n t cashier; Jean Keipp, sten o g rap h er and bookkeeper. Winterset Officers and d irecto rs of th e U nion State B ank m et in W in te rse t for th e ir an n u al m eeting, according to H. L. Paul, cashier. All th e officers, d irecto rs and office m anag ers in th e b an k w ere re-elected for th e com ing year. D irectors are: C harles G. Crow, H. V. H untoon, W. D. Kale, H. L. Pauli, Clyde J. S hearer, Chas. Rowe and Chas. D. V an W erden. Officers are: H. V. H untoon, president; W. D. Kale, vice president; H. L. Pauli, cashier, and N. E. H ollen, a ssista n t cashier. George State Bank The sam e directo rs w ere re-elected for th e ensu in g y e a r as w ell as th e sam e officers, nam ely: directors, George B. W inch, Floyd M. Casjens, J. D. V an Loh, R. J. B rin k m an , R. W. Rossow and E. E. M anuel. T he re elected officers are E. E. M anuel as president; R. J. B rin k m an as vice p resi dent and R. W. Rossow as cashier. W. F. L ehm an as teller an d E lm er Pfeifer as bookkeeper. Storm Lake T he an n u al m eeting of stockholders of th e C itizens F irs t N ational B ank w as held for th e purpose of election of directo rs and officers for th e com ing year. T he board of directors chosen was: W. A. M yers, E loise Schaller, H. W. Schaller, R. E. Sheffield, J. E. Spooner and E. R. Stock. The board th e n elec- FRAN K W A RN ER S e c r e ta r y D es M oines ted officers for the c u rre n t y ear as follows: H W. Schaller, president; R. E. Sheffield, vice president; W. A. M yers, cashier; E. R. Stock, a ssistan t cashier. Oakland T he an n u al m eeting of th e stock holders and directors of th e Citizens State B ank of O akland w as held w ith th e follow ing officers and directors re elected for th e ensuing year: W. W. M cRory, president; L. W. Ross, vice president; D. F. Busse, cashier; C. M. E vans, a ssistan t cashier; Reid McRory, a ssista n t cashier; Dr. Leo G. Dick, director; F. F. M cA rthur, Jr., direc tor; D. L. Ross, director and attorney. A t th e reg u lar m id-year m eeting th e re g u la r seven and one-half p er cent sem i-annual stockholders dividend w as announced by the board of direc to rs of th e O akland Savings Bank. W. L. Spencer, president, pointed out to the directors th a t th is reg u lar divi dend ra te had been m aintained for th e p ast six years, in addition to th e b ank h aving increased th e su rp lu s account from tw en ty to forty th o u san d dollars d u rin g th is period. Total resources at th is tim e are show n to be over threeq u a rte r m illion dollars, w ith deposits listed at $697,000, and loans and dis counts a t $437,000. cashier, and H. F. M artin, a ssistan t cashier. The directors are J. V7. W inger, Sr., H u b ert Schouten, Dr. W illiam R ankin, L. A. Rovane, Dr. C. B. H inkley, Dr. J. R. W edel, G E Sm ith, R alph B. Sm ith and R. J. McCleary. J. A. D unlap continues in th e office of presid en t of th e K eokuk N ational, w ith C. R. Joy as vice president; E. R. Cochrane, vice presid en t and cashier; L. A. W hetstone, C. A. V ollers and E lizabeth L aurinson, a ssistan t cash iers. T he directors are Jo h n A. D unlap, E. R. Cochrane, A. D. Ayres, U pham B aker and Thom as H. Joyce. All officers and directors w ere re elected in th e an n u al m eeting of the K eokuk Savings B ank and T ru st Co. E d w ard K. Jo h n sto n e w as re-elected to th e office of president; Thom as F. Talbot is vice president, and W alter Thiele, cashier. D irectors include: Mrs. H ow ard L. Connable, S tanley L. H art, Dale E. Carrell, Sr., C yrus E. Phillips, E. K. Johnstone, T. F. Talbot and W alter Thiele. Muscatine All directors, officers and em ployes w ere renam ed a t th e an n u al m eeting of th e M uscatine B ank and T ru st Co. D irectors, all re-elected at th e stock h olders’ m eeting, w ere C. R. M usser, W. E. D owner, A. R. Tipton, Charles M. H u ttig and A rth u r C. H ansen. C. R. M usser w as re-elected ch air m an of th e board, and o th er officers, all chosen to serve for a n o th er year, are W. E. Downer, president; B. L. McKee, vice p resid en t and cashier; W. F. Siem ers, a ssistan t cashier; E. C. Rosenm und, assistan t cashier, and B. P. Olsen, auditor. All directors and officers of the Cen tra l State B ank have been re-elected. T he directors, all re-elected, are: F re d Beach, R obert Shield, R obert K. B arry, R. S. Jackson, R. E. Reuling, W illiam Cashm an, and C. A. Edm onds. Keokuk E. A. E bersole and Jam es W. Huis- The officers, also all re-elected, are F red Beach, presilent; C. A. Edm onds, kam p, Jr., w ere nam ed vice p residents executive vice president; Glen D ow n w hen th e S tate C entral Savings B ank held its an n u al m eeting in th e direc ing, cashier; L. D. K rieger, a ssistan t cashier and tru s t officer, and L. J. to rs ’ room. O ther officers include W. A. Logan, H orst, a ssistan t cashier. president; M arie H ayes, a ssistan t cash ier, and H elen K ollm yer, a ssistan t cashier. Jam es H uiskam p, Jr., and E bersole w ere also elected to th e board of direc to rs w hich includes Jam es W. H uis kam p, Sr., J. M. Joyce, E. C. Taber, G. L. W eissenburger, R. S. F isher, W. A. Logan, and W. N. Sage. All officers and directors of th e Se c u rity S tate w ere re-elected for 1941. T hey include G. E. Sm ith, president; R. J. McCleary, vice p resid en t and 1941 Convention H. R. Young, presid en t of th e Iowa B ankers A ssociation, announces th a t th e Council of A dm inistration of the Iow a B ankers A ssociation has voted to hold th e n ex t convention of th e association in Des Moines, on Monday, T uesday and W ednesday, Septem ber 8, 9 and 10, 1941. The H otel F o rt Des M oines w ill be th e convention head qu arters. T his w ill be th e 55th a n nual convention of th e association. Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February Î9M Another Step-up in Service W ith the recent a d d itio n of three m ore air m ail routes, planes n ow carry m ail to and from Des M oines to all p o in ts of the com pass. In m ost cases, air m ail doesn't enter in to the h a n d lin g of cor respondence betw een y o u r b an k and ours. B u t it does enable us to speed up o u r service to you on m atters th a t m u st go east, south, or w est and return. O n an in q u iry requiring an answ er from the so u th --y e t n o t u rgent enough for w iring--D es M oines’ air m ail service n o w en ables us to p u t the required in fo rm a tio n in to y o u r h an d s tw o or three days earlier th a n w o u ld previously have been possible. In short, Des M oines' im proved p o sitio n as an air m ail cen ter m akes it still m ore advantageous for you to have an account in Des Moines. F rom the outset, the B ankers T ru s t has taken ad v an tag e of air m ail to expedite the business of o u r cu sto m ers--ju st one of the m any reasons w h y m ore Iow a bankers each year are deciding to “use the B ankers T ru s t in Des M oines." https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • ' - I:-S COMPANY https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 6tK and Locust Des Moines Heading west, mail on this plane will reach the Pacific Coast in 11 hours. The answer can be back in Iowa within 36 hours. 62 W h at Iowa Statements Show D ECEM BER 31, 1940 The N orth w estern B anker is pleased to pu blish B ank Statem en ts received before going to press p u t us on yo u r m ailing list and sen d us yo u r statem ents im m ed ia tely after each call. If you r bank is not included in th e list beloiv it is because Y O U d id not send >in you r statem ent. Please do so next tim e. BANK C A S H IE R C a p ita l .B a l ia s C o u n ty S t a t e .......................... $ 25,000 I o w a S t a t e . . .......................................... 50.000 .S e c u rity S t a t e ........................................ 50,000 .A m e s T r u s t a n d S a v in g s ................ A m e s. 75,000 . U n io n S to ry T r u s t & S a v in g s . . . . . . . F . H . S c h le ite r ......... 100,000 .A m e ric a n N a t i o n a l ............................ 25,000 A t l a n t i c S t a t e ........................................ 50,000 . f i r s t S t a t e ............................................... 30,000 S ta t e S a v in g s ....................................... 50,000 B oone S t a t e B a n k & T r u s t C o.. . 150,000 .C itiz e n s N a t i o n a l ................................ 100,000 .B u r li n g to n S a v in g s ............................ 100,000 .N a ti o n a l B a n k o f ................................ 200,000 B u rn s id e S a v in g s ................................ 10,000 . F ir s t N a t i o n a l ........................................ 100,000 . C e d a r F a lls T r u s t & S a v in g s ......... 50.000 .G u a ra n ty B » n k & T r u s t C o ............ . . . R e g in a ld B. F ig g e . . . 200,000 C e d a r R a p i d s . . . M e r c h a n t s N a t i o n a l ............................ 500,000 P e o p le s S a v in g s ................................... . . . W m .R in d e r k n e c h t,.I r . 250.000 . F ir s t N a t i o n a l ........................................ 50,000 .F i r s t S t a t e .............................................. . . . L e s te r F . S m i t h ......... 50,000 .F ir s t S e c u r i t y ........................................ 100,000 . P a g e C o u n ty S t a t e ............................ 50,000 . C ity N a tio n a l ................ ............... ...... 400,000 , C lin to n N a t i o n a l ................................. 60,000 . F i r s t N a t i o n a l ........................................ 25,000 F i r s t S t a t e .............................................. 25,000 I o w a S a v in g s .......................................... 25,000 .C o u n c il B lu ffs S a v in g s ..................... . . . E . H . S p e t m a n ............ 150,000 C o u n c il B l u f f s .. . .S t a t e S a v in g s B a n k ............................ 100,000 C r a w fo rd s v ille . . P e o p le s S a v in g s .......................... .... . . 20,000 . .C rom w ell S ta te S a v in g s ................... 15,000 .B a n k e rs T r u s t C o................................ . . . F . C. A t k i n s ................ 1,000.000 .C a p ita l C ity S t a t e .............................. 150,000 .C e n tra l N a t i o n a l ................................. 1,000,000 .Io w a-D es M o in es N a t i o n a l .............. 2,500,000 .V aliev S a v in g s ..................................... 150,000 .D a v e n p o rt B a n k & T r u s t ................ 600.000 F i r s t T r u s t & S a v in g s ....................... 135,000 .D e W itt B a n k & T r u s t ..................... . . . J . Y ve F lo e r c h in g e r . 25,000 . .A m e ric a n T r u s t & S a v in g s ............ 250,000 . F i r s t N a t i o n a l ........................................ 300,000 .D u n la p S a v i n g s .............................. .... 25,000 .L ib e rty T r u s t & S a v in g s ................ . . . R . D . R y a n ................... 75,000 C e n tr a l S a v in g s ................................... 60,000 J . W . E d g e ................... Io w a T r u s t & S a v in g s ..................... 25,000 .E m m e t C o u n ty S t a t e ....................... 50,000 .I o w a T r u s t & S a v in g s ..................... 25,000 S t a t e S a v in g s ..................... .. 40.000 .The S ta te B a n k ..................................... . H a r r y T. H u f f ............ 100,000 .F o r t M a d is o n S a v in g s ....................... . . . H . H . M o h r f e ld ......... 205,000 I o w a S t a t e ............................................... 100,000 50,000 .H a n c o c k C o u n ty N a t i o n a l .............. .F a rm e rs S a v in g s ................................. 20,000 .S t a t e B a n k ......... .................................... 50,000 F i r s t N a t i o n a l ........................................ 50,000 60,000 G rin n e ll S t a t e ....................................... G ru n d y C e n te r. F a r m e r s S a v in g s ................................ 20,000 .F ir s t N a t i o n a l ....................................... 50,000 .H u m b o ld t T r u s t & S a v in g s ............ . J . L . C a m p b e ll............ 50,000 .F a r m e r s S ta te S a v in g s ..................... 100,000 P e o p le s T r u s t & S a v in g s ................. . . . M . F . H e n d e r s o n . . . . 100,000 Io w a S ta t e B a n k & T r u s t ................ . . . M. B. G u th r ie .............. 100,000 ..Tefferson S t a t e . . . . ............................ 50,000 .F a r m e r s S t a t e ....................................... 75,000 K e llo g g S a v in g s ................................... 25,000 .K iro n S t a t e ............................................ . . . C . E . D a h l .................. 25.000 C o m m u n ity N a t i o n a l ................ ........ . . .1 . R . D y e r ..................... 50,000 .P e o p le s S a v in g s ................................... 15,000 .F ir s t N a t i o n a l . ...................................... . . . R . E . T o o l..................... 60,500 50,000 L isb o n B a n k & T r u s t ..................... C itv S t a t e ................................................. ...J. H . W h i te ................ 25,000 . M a n s o n S t a t e ....................................... 25,000 75,000 . la c k s o n S ta te S a v in g s ..................... M a r s h a ll to w n . F id e l ity S a v in g s ................................... 100,000 S e c u r ity S a v in g s ................................... 50,000 .F a rm e rs S a v in g s ................................. 25,000 350,000 F ^ r s t N a t i o n a l ..................... .................. 100,000 U n ite d H o m e B a n k & T r u s t .......... . . . R . A . P o t t e r ................ 50,000 . F i r s t N a t i o n a l ....................................... . . ,H . F . F o s s ..................... 400,000 .M o n tic ello S t a t e ................................... . . H . M. C a r p e n t e r . . 50,000 M o u n t V e rn o n B a n k & T r u s t. . . . . D. U . V a n M e tre . . . . 125,000 .C e n tra l S t a t e . ................ ...................... 125,000 .M u s c a tin e B a n k & T r u s t ................ 100.000 .J a s p e r C o u n ty S a v in g s ..................... . . . A . E . H in d o r f f ......... 100,000 . N e w to n N a t i o n a l ..................... 40,000 .C itiz e n s S t a t e . ...................................... . . .D . F . B u s s e ................... 35,000 O a k la n d S a v in g s ................................ 50,000 .F i r s t N a t i o n a l ..................... .. 50,000 C ity S t a t e ................................................. 20,000 O n slo w S a v in g s ................................... 100,000 .O sa g e F a r m e r s N a ti o n a l................ 300.000 .U n io n B a n k & T r u s t .......................... 50,000 P e l l a N a t i o n a l ....................................... . . . H . P . S c h ö lte .............. TOW N Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl S u r p lu s a n d P r o f its S 31,991 79,410 15,780 109,620 36,568 34,208 115,453 10,000 23,757 79,133 73,426 192,960 97,231 19,846 32,294 35,371 121,738 2,217,153 167,420 106,113 22,274 65,397 52,999 318,011 103,326 56,836 21,424 15.661 236,943 98,564 33,726 19,912 851,266 121,165 714,078 1,633,136 305,466 2,310,690 58,797 56,590 159,992 418,525 33,056 51.402 105,803 137.617 128,686 51,865 35,940 175.867 96,454 36,084 24,180 26,583 52,167 18.264 32,764 26,995 29,809 83,290 84,995 88,622 119,695 103,427 20,268 67,337 33,983 62,663 9,939 17,933 46,325 20,208 35,200 83,941 192,257 79,592 22,084 317,596 66,025 33,848 98,517 64,445 70,016 212,205 203,019 66,327 34,385 46,500 109,066 71,590 37,002 91,446 271,375 49,297 Loans and D is c o u n ts $ 324,134 803,753 381,732 895,615 596,698 252,172 788,486 300,331 444,833 1,650,218 1,034,153 2,168,595 1,486,790 243,999 356,896 545,992 1,578,028 9,206,893 2,782,552 185,900 333,805 960,770 620,982 2,609,063 304,324 466.939 238,790 200,245 2,785,971 1.459,656 208,223 155,849 11,118,964 1,314,868 10,045,243 15,233,085 3,834,793 9,110,588 1,702,640 520,589 1,673,031 1,648,026 194,867 783,217 609,322 560,597 1,101.263 456,280 201,641 1,407,551 715,588 232,975 387,068 161,536 690,547 238,723 477,958 380,097 309,811 719,114 585,919 768,807 1,655,654 783,056 124,127 453,647 213,162 825,686 163,965 215,494 339,584 300,904 392,757 1.370,075 1,036,228 785,625 140,336 2,436,207 1.332,487 236,786 3,342,700 525,731 912,438 1,249,944 2,686,592 651,270 483,660 494,494 638,281 767,215 263,731 738,307 1,993,228 513,726 B onds and S e c u r itie s S 92,123 132,855 38,173 1,074,176 433,257 52,600 615,685 56,000 95,540 234,875 501,407 322,829 1,170,105 9,055 663,456 124,698 989,607 15,172,850 811,353 801,213 269,166 95,062 151,811 1,943,221 505,916 169,271 101.575 80,290 692,505 280,223 44,700 30,150 5,606,700 1,197,221 3,556,137 12,207.003 571.066 15,442,880 843,135 60,461 2,829,613 6,807,964 163,311 79,285 424,983 187,823 279,916 173,992 143,780 727,132 1,735,886 348,493 71,999 131,294 30,300 66,650 86,500 49,101 123,986 441,446 862,860 563,491 293,351 161,010 585,338 125,261 47,900 185,846 26,064 399,741 139,940 92,176 114,914 41,360 1,127,311 535,355 119,961 1,345,576 50,220 393,878 972,876 129,608 1,125,563 1,703,616 303,413 381,567 104,856 126,300 528,778 229,572 102,052 296,503 2,157,442 442,825 C ash a n d D ue F ro m B a n k s D e p o s its S 415,535 § 770,958 986.056 1,814*656 246,565 628,600 246,565 1,753,983 514,608 1,423,206 152,843 401,429 398,434 1,754,665 74,581 396,813 195,528 680,626 970,287 2,637*807 784,928 2,184,333 1,606,311 3,818,018 979,518 3,388,703 116,935 342,186 578,780 1,511.689 505,023 1,110,360 917,752 3,163,560 16,588,930 39,322,378 2,027,576 5,257,635 527,771 1,382,575 318,687 853,641 903,462 1,781,247 435,368 1,122,853 1,950,528 5,828,559 942,630 1.618,800 242,227 804,721 202,417 502,026 155,942 397,095 1,636,644 4,802,446 514,839 2,071,694 199,245 403,203 52,386 203,472 8,036,141 22,784,563 3,188,770 873,531 10,944,448 27,884,238 21,415,291 46,524,285 2,114,929 6,125,372 31,489,461 9,765,693 1.062,797 3,383,222 360,936 865,898 1,498,241 5,553,395 2,766,837 10,462,569 142,452 447.104 445,056 1,187,023 197,909 1,079,304 480,773 1,067,031 869,590 2,092,061 296,139 871,247 299,040 574,463 1,305.048 3,168,953 1,165,335 3,344,024 183,088 636,189 358,035 753,474 102,191 349,769 175,346 799,218 418,024 659,633 647,708 1,137,425 270,860 653,152 101,789 470,715 310,258 1,305,667 985,193 2,242,743 1,723,886 555,500 2,923,010 1.127,838 923,041 1,724,434 242,236 851,048 765,667 267,071 111,544 315,555 1,302,486 453,106 138,750 294,883 816,910 250.624 291,370 677,959 199,044 549,271 723.032 273,865 2,081,437 800,454 2,380,201 4,310,161 2,010,761 799,884 49,933 263,673 2,897,454 7,385,218 1,898,768 653,563 800,261 244,315 716.709 4,483,589 791,658 253,358 2,690,788 864,556 5,508,788 2,865,931 3,526,379 813,746 1,440,209 524,831 670,722 149,371 697,133 160,463 1,505,966 464,969 1,348,212 450,047 484,473 175,691 1,248,014 390,439 6,307,092 2,587,478 1,586,320 678,713 63 TOW N BANK C A S H IE R P e r r y ......................... F i r s t N a t i o n a l ................................................C. S. J o h n s o n .............. R ed O a k .................. H o u g h to n S t a t e ........................................... O sc a r H e lg e r s o n . . . . R ed O a k .................. M o n tg o m e ry C o u n ty N a t i o n a l ............. Iv a n E r i c k s o n ............. R e in b e c k ..................L in c o ln S a v in g s ........................................... J . W . H e p p e r le ............. S h e ld o n ....................... S e c u r ity S t a t e ...............................................R . A . S c h n e id e r ........... S h e n a n d o a h ...........S e c u r ity T r u s t & S a v in g s ........................W . H . L o n g m a n . . . . S io u x C it y ..............F i r s t N a t i o n a l . . ...........................................F r i t z F r i t z s o n ............. S io u x C it y ..............L iv e S to c k N a t i o n a l ..................................M . A . W ils o n ................ S io u x C it y .............. S e c u r ity N a t i o n a l .........................‘............... R . E a r l B r o w n ............ S io u x C it y ..............T o y N a t i o n a l ..................................................E . E . E r i c k s o n ............. S io u x C it y ..............W o o d b u ry C o u n ty S a v in g s ....................C. T . M c C lin to c k . . . . S p e n c e r .....................C la y C o u n ty N a t i o n a l ............................... A . E . A n d e r s o n ........... S p e n c e r .....................F a r m e r s T r u s t & S a v in g s ...................... K . R . T u t t l e .................. S p ir it L a k e ............ F i r s t N a t i o n a l ............................................... J . R . C o r n e l l................ S to r m L a k e ............ C itiz e n s F i r s t N a t i o n a l ............................. W a y n e A . M y e rs . . . . S to r m L a k e ............C o m m e rc ia l T r u s t & S a v in g s ...............E . J. K n e b e l.................. S to r m L a k e ............S e c u r ity T r u s t & S a v in g s ...................... G. B . E g i n t o n ................ S t u a r t ........................F i r s t N a t i o n a l ................................................ C. L . B e e c h .................. S t r a t f o r d ....................F a r m e r s S a v in g s ......................................... E . L . J o h n s o n ............... T i t o n k a .....................T ito n k a S a v in g s ........................................... E d w a rd B o y k e n ........... T o le d o ........................N a tio n a l B a n k o f .........................................A s a T h o m a s .................. V i c t o r ....................... V ic to r S t a t e . . . ................................................ H e n r y von A sw e g e . . V i n t o n ...................... S t a t e B a n k o f ............................................... C h a rle s B . B a r r o n . . W a p e llo .................... S ta t e B a n k o f ................................................H o ra c e B. H a m m e r . . W a s h i n g to n ............N a tio n a l B a n k o f ........................................ E . F . M iic k .................... W a te r lo o .................. N a tio n a l B a n k o f ........................................ R . L . P e n n e .................. W a te r lo o .................. W a te rlo o S a v in g s ........................................ J . J . M ill e r .................... W a y la n d ...................W a y la n d S t a t e ............................................. M elv in G. R o t h ........... W e s t D es M o in e s . F i r s t N a t i o n a l ...............................................H . M . C u r r e y ............... W e s ts id e ................... W e s ts id e S t a t e S a v in g s .......................... F r a n k H o f f m a n ........... * In c lu d e s c a sh a n d d u e fr o m b a n k s . Burlington Dan T. Riley, V. P. Cullen an d T hom as L. D yer w ere nam ed to th e board of d irecto rs of th e N ational B ank of B u rlin g to n a t th e an n u a l m eeting. O ther directors, re-elected, are: H. D. B anta, F. A lbert K lein, S. N irdlinger, G. D. P a rk e r, N orval P rugh , F. E. Sandeil, Sam S trause, L. M. W ilson an d Jo h n H. W itte, Jr. Re-elected officers are: F. A lbert Klein, ch airm an of th e board; Jo h n H. W itte, Jr., p resident; S. N irdlinger, vice p resident; V. P. Cullen, executive vice-president; T hom as L. Dyer, cash ier; F. J. N orton, a ssista n t cashier. C a p ita l 50,000 100,000 50,000 25,000 50,000 60,000 400,000 250,000 250,000 300,000 100,000 85,000 75,000 55,000 75,000 50,000 50,000 35,000 20,000 15,000 80,000 10,000 65,000 25,000 80,000 250,000 175,000 25,000 25,000 25,000 S u r p lu s a n d P r o f its 108,669 68,155 40,796 50,619 38,723 62,497 200,652 285,088 253,327 374,770 112,070 96,631 88,216 23,983 210,000 41,442 48,839 35,796 16,144 58,598 62,643 9,050 102,143 16,238 44,364 305,115 211,580 33,621 27,511 25,141 re-elected and th e officers w ere elected as follows: S. T urkington, president; N. J. Lease, vice president; K. A. Coates, cashier, and D. F. McNeill, as siste n t cashier. Officers rep o rted net earn in g s of $9,000 for th e y e a r 1940 and a dividend of $10 per sh are w as paid to th e stockholders. Iowa City A t th e an n u al m eeting of th e Iowa S tate B ank and T ru st Company, offi L oans and D is c o u n ts 634,651 1,352,493 554,981 669,974 378,966 549,596 2,529,401 3,016,013 3,387,543 2,186,354 1,818,678 980,111 1,330,640 331,476 1,205,269 339,033 427,374 163,062 162,163 340,603 627,207 152.233 818,051 293,487 401,154 2,617,110 3,018,355 283,978 247,930 381,446 B onds and S e c u ritie s 83,529 443,628 130,207 69,376 128,276 345,349 1,652,292 1,069,850 607,990 3,240,039 618,924 288,347 105,930 176,120 195,827 235,500 187,140 120,276 76,200 92,212 197,101 193,153 390,855 38,974 267,144 3,068,089 4,026,025* 143,077 62,099 C a sh a n d D ue F ro m B a n k s 720,531 620,337 500,677 217,835 502,242 600,350 3,153,086 3,918,930 3,803,969 3,925,781 605,732 959,239 705,019 335,249 958,195 162,906 520,631 182,981 146,410 204,454 514,467 94,046 526,293 212,265 895,239 2,307,494 137,041 164,422 72,631 D e p o s its 1,300,150 2,283,254 1,112,351 887,861 938,900 1,384,685 6,873,772 7,423,742 7,474,374 8,827,902 2,811,657 2,074,676 1,975,015 838,440 2,056,535 658,289 1,038,765 408,023 351,815 559,721 1,205,816 405,580 1,586,026 500,096 1,432,135 7,433,887 6,763,175 507,847 436,193 401,334 cers re-elected by th e directors were: Ben S. Sum m erw ill, president; Dean E. M. M acEwen, vice president; M. B. G uthrie, cashier; W alter F. Schm idt, a ssistan t cashier; AV. W. Sum m erw ill, credit m anager, and M. E. Taylor, auditor. D irectors re-nam ed included R ay J. B aschnagle, M. B. G uthrie, George J. K eller, Dean E. M. M acEw en, George A. Thom pson, Guy Stevens and Ben S. Sum m erw ill. Red Oak The M ontgom ery C ounty N ational B ank stockholders held th e ir a n n u al m eetin g an d re-elected th e p re se n t offi cers and d irecto rs for 1941. T hey are: G. W. A rth erh o lt, p re si dent; W. W. A rth e rh o lt, vice p re si dent; Iv an E rickson, cashier; d irec tors: W illiam C ochrane, C harles E. Carey, C harles W. M iller, C harles A. Reese, N orm an N. T u rn er, A. R. T racy and C. C. W olfe. Waukon At th e a n n u al m eeting of th e W au kon S tate B ank th e fo rm er officers w ere re-elected as follows: S. W. Ludeking, president; F. H. Klees and G. W. E aton, vice p residents; C. H. Megorden, E lm er Fogt, W. C. K iesau an d Leo Sam ek, cashiers; Miss Nellie Beall, secretary; M isses E v ely n Leikvold and F lorence K osbau, bookkeepers. Crawfordsville T he an n u a l m eeting of th e Peoples Savings B ank, C raw fordsville, w as held last m onth. All directo rs w ere Northwestern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bl 64 Groups One and Eleven to Meet In Sioux City and Burlington WO groups of th e Iow a B an k ers As sociation are holding th e ir an n u al Group M eetings th is m o n th —G roup One in Sioux City on W ednesday, F eb ru a ry 12, and G roup E leven in B u r lington th e evening of F riday, F e b ru ary 21, and all day th e 22d. P rogram s for th e tw o m eetings ap p ear below: 12:00 Noon L uncheon, M artin H otel Ball Room; presiding, E. E. M anuel, president, George State Bank, George, chairm an G roup One. Invocation, Rev. George C. Pullm an, pastor, F irst C ongregational Church, Sioux City. Group One, S ioux City, F ebruary 12 1:15 P. M. M eeting called to order, E. E. M anuel, president George S tate Bank, George, chairm an Group One. A ddress of W elcome, R. R. Brubacher, p resid en t The Toy N ational B ank, Sioux City; president, Sioux City C learing H ouse Association. Response, J. P. Schutt, presid en t Valley State Bank, Rock Valley. A ppointm ent of Com m ittees. R em arks, H oyt R. Young, cashier, A m erican N ational Bank, A rlington; p resid en t Iow a B ankers Association. R em arks, R alph L. Bunce, deputy su p e rin ten d en t of B anks, Des Moines. A ddress, Incom e Taxes, 1941 Model, Louis S. Goldberg, Sioux City, law yer, Certified Public A ccountant. T 9:00 A. M. R egistration, M artin H otel, Mezza nine floor. 10:00 A. M. Ju n io r B ankers M eeting — M eeting called to order, A. C. E ck ert, vice president, S ecurity N ational Bank, Sioux City. G reetings, H oyt R. Young, cashier, A m erican N ational Bank, A rlington, presid en t Iow a B an k ers A ssociation, A dding m achine contest (m achines courtesy B urrough Adding M achine Co.) E xhibition, D w ain Loyd, a ssista n t cashier, State Savings B ank, H ornick; w inner, G roup One contest, 1940: w in ner, State C onvention contest, 1940; aw arding of prizes. R em arks, N ational D efense Loans, R. R. B rubacher, presid en t T he Toy N ational Bank, Sioux Sity; m em ber N ational Defense Council of Iowa. Address, “My B anker and I,” Dr. F red C. W iegm an, presid en t M idland College, F rem ont, N erbaska. R em arks, F ra n k W arner, secretary Iowa B ankers Association. R eport of Com m ittees. A djournm ent. 4:30 P. M. G roup conference of C ounty Asso ciation Officers. Im m ediately follow ing th e close of the Group M eeting a conference w ill be held in this room of th e officers of the County B ankers A ssociations w ith th e Group C hairm an and Group Secre tary, P resid en t H oyt R. Y oung and S ecretary F ra n k W arner. W ill these officers please assem ble as quickly as possible so th a t th is im p o rtan t p a rt of th e program w ill not be delayed? 5:00 to 6:15 P. M. Social hour, C avalier Room, base m ent M artin Hotel. 6:30 P. M. B anquet, Ball Room, H otel M artin; floor show and en tertain m en t. F or the L adies L ounge and H ead q u arters 12:00 Luncheon, M artin Hotel. C om plim entary th e a tre tickets. 6:30 P. M. B anquet, Ball Room, M artin Hotel. W elcom e to Sioux City Group E lev en , B u rlington , F ebruary 21 and 22 6:00 P. M., F e b ru a ry 21 Stag p arty, B urlington C ountry Club. Sioux City bids you w elco m e to the m eeting of Group 1, Iow a Bankers A ssociation, on February 12. A d v a n ce information ind icates that it w ill b e a profitable d a y — a d a y you'll not soon forget. So pack up your troubles in your old kit b ag and join us in our hom e town— the hom e market for the great northwest, the hom e of the fam ous Shrine W hite Horse Patrol, the hom e of the internationally fam ous M onahan Post Band. SECURITY NATIONAL BANK Member Federal Deposit Insurance Corporation Northwestern Ranker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 9:30 P. M. Dance, Ball Room, B u rlington Hotel. 2:00 A. M., F e b ru a ry 22 G rapefruit Fling, R eilly’s H ash House. 10:00 A. M., F e b ru a ry 22 R egistration, H otel B urlington. 12:00 Noon L uncheon, m usic by Rollins-Root orchestra. Invocation. C u rren t E vents, V incent Cullen, ch airm an Group Eleven. P h u n and Philosophy, Tom Collins, K ansas City. P re sid e n t’s R em arks, H oyt Young, p resid en t Iow a B ankers A ssociation. T he B anking D epartm ent, Dave Bates, Iow a su p erin ten d en t of b a n k ing. On th e Desk of th e Secretary, F ra n k W arner, secretary Iow a B ankers Asso ciation. A djournm ent. 65 IO W A w ere increased over $2,500 du rin g th e p ast y e a r u n d er th e capable m anage m en t of A. R. Eaudi, cashier, and from earnings! N EW S FROM HERE AND THERE The By J. A. Sarazen, Associate Editor J. A. S A R A Z E N A T T H E an n u a l m eeting of th e Sioux City C learing H ouse Asso ciation R. R. Brubacher, president, Toy N ational Bank, w as elected p resid en t of th e association to succeed J. P. H ainer, vice president, F irs t N ational Bank. M. C. E idsm oe, president, W oodbury County Savings Bank, w as elected vice presiden t, to succeed Mr. B rubacher. R. E arl Brow n, cashier, S ecurity N a tional B ank, w as ren am ed secretary. T his is th e te n th consecutive y ear E arl has held th is position. A. S. H anford, president, F irs t N a tional Bank, Sioux City, left J a n u a ry 21, for his an n u a l trip to H ot Springs, A rkansas, w h ere he w ill v acation for the nex t 60 days. The M orningside Saving B ank, Sioux City, h ad an increase of $105,000 in deposits d u rin g th e p ast y e a r and a nice increase in L. & D. am o u n tin g to $126,000. F ootings are $766,000. The M orningside w hich John Scott, is increase in deposits like am o u n t in loans State B ank, of presid en t, had an of $50,000 and a and discounts. At th e a n n u al m eeting of th e V alley S tate B ank, Rock Valley, J. P. Schutt, w ho has served th e b an k as cashier since it w as organized 28 y e a rs ago, w as elected p resid en t to succeed H. Peelen, w ho has retired . G. G. V erm eer, em ploye of th e b an k for th e last tw enty-tw o y ears and as sista n t cashier for th e p ast fifteen years, w as elected cashier. A. I . H alstead, w as re-elected vice president, and in addition to those m entioned above, o th er directo rs are W. B. H an sen and E. E. M iller. A ccording to Mr. S chutt, th e b an k had a good y e a r and footings h it the m illion m ark for th e first tim e th e last day of 1940. y ear W oodbury A v ery sm all b an k is th e C hatsw orth Savings Bank, w ith deposits of slightly over $70,000, b u t su rplus and profits end statem en t County S avin gs of th e Bank, Sioux City, lists deposits of $2,811,000, an increase for th e y ear of $200,000. L. & D. are listed a t $1,818,000, an in crease for th is period of $185,000. A t th e an n u al m eeting of th e F irst N ational Bank, H aw arden, G. F. B urket, form erly vice president, w as elected presid en t to succeed Mr. Stone. D irector E. T. D unlap w as elected vice Your Group Meeting On February 12 the bankers of Group I w ill m eet at Sioux City. The officers and directors of the FIRST NATIONAL BANK of SIOUX CITY w ant to extend yo u a m ost cordial w el com e to visit this bank w h ile you are here. W hile your group on ly m eets once a year, the officers and directors of the FIRST NATIONAL BANK h a v e their "Group M eeting" every d a y in order to d iscu ss plans and d evelop program s w hich w ill better serve you in the handling of your grain and h a y item s in this market. A s Sioux City is one of the outstanding grain and livestock m arkets of the Northwest, w e are esp ecia lly equipped to h andle your correspondent b u sin ess in this city. M EM BER FED ERA L D E P O S IT IN S U R A N C E C O R P O R A T IO N j The V alley S tate B ank, Rock Valley, held a b an q u et J a n u a ry 23 h onoring re tirin g president, H. Peelen. I t w as atten d ed by stockholders, th e e n tire force of th e bank, a few close friends of Mr. Peelen, and som e of th e outof-town city b ankers. IN SIO U X C IT Y N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19^1 * 66 • IOWA president. Two new d irecto rs w ere added to th e board, W . B ru n sk ill and John K irkpatrick, H. V isser, cashier, announces th a t th e b an k re tire d $5,000 p referred and paid th e com m on stock holders a six p e r cent dividend in 1940. W e re g re t to le a rn of th e d eath of M. R. Stone, p resid en t of th e F irs t N ational B ank, H aw arden. He passed aw ay a t th e age of fifty-four. Dr. J. W. D en n iston w as elected to th e board of directors of th e D unlap Savings B ank a t th e ir a n n u al m eeting. NEWS He succeeds C ashier Glen M illard, w ho has served in a tem p o rary capacity for th e last tw o years. D eposits here are up $55,500 and loans and discounts $36,000 over a y ear ago. One of the best y ears ever says Mr. M illard. C. A. Slife, cashier, F a rm e rs State Bank, H aw arden, announces w ith some pride th a t all segregated tru s t certifi cates w ere paid in full in 1940. Two 20 p er cent dividends w ere paid am ounting to $10,250. C om paring y ear end statem ents, 1939-40 of th e Soldier V alley Savings Bank, Soldier, we w ere in terested to note th a t th e ban k increased deposits ju s t $1,000 du rin g th e p ast y ear and a like am o u n t in loans and discounts. W ell, th e tre n d is in th e rig h t direction at least. T he F irst N ational, Be Mars, reduced p referred $1,600 in 1940 and paid th e com m on stockholders a 4 per cent divi dend. Since th e first of th e y ear p re ferred has been reduced a n o th er $2,000, b ringing it dow n to $15,000. B U R L I N G T O N W e l c o m • e s Y o u D eposits of The C itizens F irst N a tional Bank, Storm Lake, are listed at $2,056,500 in th e y ear end call sta te m ent, th e first tim e over th e tw o m il lion m ark at th e tim e of a call. Officers are ju stly proud of th e loan volum e am ounting to $1,205,000. T he in te re st ra te here on cash deposits is 1 p er cent, savings 2 per cent for th e first $1,000 and n o thing on larg er am ounts. T he Secu rity Trust, Storm Lake, en joyed a good y ear in 1940. D eposits increased $221,700 and now are $1,038,000, w hile loans and discounts w en t up $56,000 to $427,375. D uring th e y ear 1940, th e Be M ars Savings B ank increased deposits $196,778 to $1,550,000 and loans and dis counts w ere increased by $184,000 to $900,000. Burlington b an k s exten d heartiest g reetin g s to m em bers of G roup 11 a n d other visiting bankers in anticipation of our a n n u a l group m eetin g here Saturday, F ebruary 22. The F irst State, M aplton, reduced in te re st ra te s th e first of th e y ear to u n i form 2 p er cent rate. The b an k has been paying 2 Y2 p er cent on tw elve m o n th s’ cash deposits. M ake this h o lid a y a d a y of profit a n d p leasu re by com ing to Burlington! W e w ill ex p ect y o u F e b ru a ry 22! A t th e an n u al m eeting of th e F irs t N ational Bank, M issouri Valley, H. F. F oss, form erly cashier, w as elected vice president. Mr. Foss sta rte d w ith the b an k in 1893 and has been cashier since 1918. H. M. S ilsby, assista n t cashier since 1918, w as advanced to cashier. D uring th e p ast y ear deposits increased m ore th a n $100,000 and loans and discounts w en t up $37,000. B u rlin gton Savings Bank F arm ers & M erchants Savings B ank N ation al B ank o f B u rlin gton Karl G. Kalde, has resigned his posi tio n as vice p resid en t of th e S tate Sav ings B ank, Council Bluffs, an d left Ja n u a ry 26, for Los Angeles, Calif., YOUR STATE BANKERS ASSOCIATION K OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS \ F! E. D A V E N P O R T & C O . 1 N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 OM AHA 67 • IOWA w here he has accepted a position w ith th e B ank of A m erica. Mr. K alde has been an in stru c to r in th e OmahaCouncil Bluffs c h ap ter of th e A. I. B. and w as vice p resid en t of th e P o tta w attam ie C ounty B ankers A ssociation. O ther changes a t th e S tate Savings Bank, include th e advan cem en t of Clyde Blanchard, fo rm er assista n t cashier, to th e position of cashier. H. L. T inley, has been vice p resid en t and cashier and rem ain s as vice p resi dent. Two new directors w ere added to the board: George B u tler, local b u si ness m an and F. S. B ecker, farm er and stock m an of T reynor, Iowa. A. C. Blanchard, president, left J a n u ary 16, for New O rleans, w h ere he usually goes each w in te r to spend a few m o n th s w ith his d aughter. NEWS • C. E. K indw all, cashier, A lbert City Savings Bank, has no fau lt to find w ith business conditions. D uring th e p ast y ear deposits increased 10 p er cent and loans and discounts up 20 p er cent. W hen we visited th e F irs t N ational B ank, W oodbine, we reg re tte d to learn th a t S. R. DeCou, cashier, w as ill a t hom e w here he has been confined for th e last tw o w eeks. W e w ere pleased to learn, though, th a t he w as expected back a t th e b ank in an o th er w eek or ten days. Anniversary L ast m onth W. W. B lasier com pleted tw enty-five y ears of continuous service as p resid en t of th e F arm ers State Bank, Jesup. T his b ank has been served by only tw o presidents, Jam es D alton and W. W. Blasier. Jam es D alton w as th e fa th e r of Mrs. W. W. Blasier. A d in n er and th e a tre p a rty w as held by th e directors and em ployees and an ap p ro p riate gift w as p resen ted to Mr. Blasier. Several corresponding banks sen t flowers for th e occasion. The Council Bluffs S avin gs B ank is gettin g along v ery w ell w ith th e erec tion of th e ir new b an k in g hom e and expect to m ove into th e first u n it F eb ru a ry 10th. The p re se n t q u arters, w hich has serv ed th e b an k for so m any years, w ill th e n be to rn dow n and th e m ain u n it w ill be b u ilt in its place and this is expected to be read y for occu pancy n e x t A ugust. T he p ast y e a r th e b ank increased su rp lu s $25,000, paid em ployees a 10 p e r cen t bonus and paid stockholders a 12 p er cent divi dend. D eposits are $4,800,000. The F irst N ational, Council Bluffs, has paid a 20 p er cen t stock dividend, reducing p re fe rred from $25,000 to $10,000. T he com m on is now $90,000 and su rp lu s and undivided profits are $63,000. D uring th e y e a r deposits in creased $65,500 and loans and dis counts w e n t u p $122,000. The year-end sta te m e n t of The City N ational Bank, Council Bluffs, lists de posits of $440,000 m ore th a n th e yearend sta te m e n t of 1939. L oans an d dis counts also m ade a v e ry nice gain for th is period am o u n tin g to $418,000. CLOSE TO BASIC CHICAGO'S INDUSTRIES • To Chicago come the biggest jobs in the printing industry: mail order catalogues, nationally circulated magazines, a large share of the nation’s greeting cards, advertising pieces, books, directories, labels and wrap pers as well as many other types of printing. In addi tion, this city is rich in the related industries pro ducing printing plates, typography and presses. The American National is well equipped to represent outof-town banks and their customers in all transactions Jam es M cDonald, president, Sioux V alley Savings B ank, of S m ithland, passed aw ay J a n u a ry 24, a t th e age of 91. He had lived in W oodbury C ounty for 87 y ears and h ad been m ak in g his hom e w ith his son, AV. M. M cDonald, cashier of th e bank, for th e p ast sev eral years. H elen Trainer, bookkeeper, C itizens N ational, W ebb, w as m a rrie d J a n u a ry 18, to B u rd ette Boese, local m an ag er for S tan d ard Oil Co. She w ill m a in tain h e r position in th e bank. touching this basic Chicago industry. A M E R IC A N N A T IO N A L BANK AND TRUST CO M P A N Y LA S AL L E S T R E E T AT W A S H I N G T O N M e m b e r F e d e ra l D e p o sit In s u ra n c e C o rp o ra tio n COMMERCIAL • CHECKING • SAVINGS • N orthw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TRUSTS F ebruary 1941 68 cashier; R. L. Chase, a ssista n t vice president; Jam es F. H a rt and Jam es D e s M o i n e s N e w s B urson, a ssistan t cashiers; F. C. Davis, com ptroller. Bond d ep artm en t — S herm an W. D ES M OINES b an k s and one W est H. S ivright, vice president; H arold P. Fow ler, a ssistan t vice president; Des M oines b an k held th e ir a n Klein, a ssistan t vice president; George A rth u r H. Keyes, a ssistan t cashier. nual m eetings recently. D. Jorgensen, V erne T. B onnett, F ra n k T ru st d ep artm en t — Clyde H. Doo H e rb e rt L. H o rto n w as re-elected R. Sage, and C harles D. McCoy, as little, tru s t officer; V ictor H. Pulis, W. presid en t of th e Iowa-Des M oines N a sista n t cashiers. F. Howell, and Noel T. Robinson, as tion al B ank and T ru s t Co. O ther offi D ep artm ent of banks and b an k ers— sistan t tru s t officers. cers of th e b an k w ere re-elected as E rw in W. Jones and Clarence A. Diehl, M ortgage loan d ep artm en t—Orville follows: vice presidents; E v e re tt M. Griffith, M. G arrett, a ssistan t vice president; A lbert J. R obertson, vice president. a ssistan t vice president. L aird M. F ry er, a ssistan t cashier. D ep artm en t of com m ercial b anking D epartm ent of b ank ad m in istratio n The follow ing m em bers of th e board —Jo h n De Jong, vice p resident; H a rry —H a rry G. W ilson, vice presid en t and of directors of th e Iowa-Des Moines N ational B ank and T ru st Co. w ere re elected: F red Bohen, W. H. B renton, G ardner Cowles, jr., J. H. Cownie, E. C. Finkbine, H erb ert L. H orton, Louis C. K urtz, M. M andelbaum , Joseph MuelC e n t r a l H a n o v e r B a n k a n d T r u s t C o m9 p a n y haupt, E. H. Mulock, Amos C. Pearsall, A lbert J. R obertson, Oliver P. T hom p NEW YORK son, and Carl W eeks. At th e C entral N ational B ank and T ru st Company, W illiam J. Goodwin w as re-elected ch airm an of th e board of directors and president, and the follow ing officers w ere re-elected: E. F. Buckley, A. T. Donhowe, and L ehm an Plum m er, vice presidents; J. R. Capps, cashier; Jo h n W. H aw k, E m Statement of Condition at Close of Business m ett E. Johns and F red H. Quiner, December 3 1 ? 1940 a ssistan t vice presidents; Irw in A bram , G. W. B artm ess, jr., J. E. Q uiner, H. C. ASSETS W inder and D. R. W ithington, a ssistan t Cash and Due from B a n k s ................................. $ 7 3 2 ,6 3 9 ,4 8 3 .0 2 cashiers. U . S. Government Securities..........................................3 9 0 ,2 2 4 ,2 6 7 .8 9 Bond d ep artm en t—P ra n k R. W ar State and Municipal S e c u r i t i e s ........................... 3 5 ,5 7 2 ,7 4 9 .1 9 den, vice president. Other S e c u r i t i e s ...................................................... 2 4 ,2 6 0 ,4 3 0 .1 0 T ru st d ep artm en t — I. L. W right, tru s t officer; George L. Nissly, assist Stock in Federal Reserve B a n k ........................... 2 ,4 3 0 ,0 0 0 .0 0 a n t tru s t officer. Loans and Bills P u r c h a s e d .......................................... 1 8 4 ,8 7 8 ,6 0 2 .0 9 T he follow ing w ere re-elected to the Real Estate M ortgages............................................... 6 ,2 9 5 ,0 9 5 .6 8 board of directors of th e C entral N a Banking H o u s e s ...................................................... 1 4 ,9 9 0 ,0 1 0 .0 0 tional B ank and T ru st Company: Other Real E s ta t e ...................................................... 1 ,6 1 0 ,5 9 5 .8 8 G. E. B ram m er, E. F. Buckley, H a rry Interest A c c r u e d ...................................................... 1 ,9 0 0 ,5 8 9 .1 2 Goldman, W illiam J. Goodwin, H. F. Customers’ Liability Account o f Acceptances . 3 ,2 5 6 ,8 4 2 .7 9 Gross, Jo h n A. Gunn, G rover C. HubTotal $ 1 ,3 9 8 ,0 5 8 ,6 6 5 .7 6 bell, M ark L. Johnson, Guy E. Logan, W alter E. M uir, George A. Peak, Ju lian A. Peverill, C harles N. Pierce, W alter LIA B IL IT IE S L. S tew art, W. E. Tone, and H en ry C a p i t a l ....................................... $ 2 1 ,0 0 0 ,0 0 0 .0 0 M. AVilson. S u r p l u s ..........................................6 0 ,0 0 0 ,0 0 0 .0 0 G. B. Jen sen w as re-elected p resi Undivided Profits . . . 1 5 ,1 0 3 ,6 8 9 .1 2 $ 9 6 ,1 0 3 ,6 8 9 .1 2 dent of th e Des Moines B ank and T ru st Reserve for Taxes, Company. A. W. C rossan and T. P. Interest Accrued, etc......................................... 3 ,1 7 1 ,0 1 3 .7 7 F a irw e a th e r w ere re-elected vice p resi Dividend Payable dents and H. F. Gall, cashier. January 2, 1 9 4 1 ............................................... 1 ,0 5 0 ,0 0 0 .0 0 The follow ing w ere re-elected to the Acceptances................................................................... 3 ,4 2 6 ,3 6 7 .5 9 board of directors: A. W. Crossan, T. D eposits.............................................................................. 1 ,2 9 4 ,3 0 7 ,5 9 5 .2 8 P. F airw eath er, L. E. Gifford, E. R. Hoffman, A. C. H olm an, J. W. Jenney, Total $ 1 ,3 9 8 ,0 5 8 ,6 6 5 .7 6 G. B. Jensen, C. F. Long, B. J. Pow ers, J. A. Pow ers, C. E. Roush, L. N. SamThere are pledged to secure public monies and to qualify for fiduciary powers pel, and H. A. U m frid. U. S. Government S e c u r i t i e s ....................................... $5 ,0 5 0 , 7 3 0 . 0 7 B. F. K auffm an w as re-elected p resi den t of th e B ankers T ru st Company, M ember Federal Deposit Insurance Corporation and th e follow ing officers w ere re elected: N o rthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19bi 69 • IOWA NEWS • the follow ing directors: George M. S. C. Pidgeon, R. R. Rollins, C. H. a t W est Des Moines w ere re-elected Bechtel, H arold R. Bechtel, R. O. ByerStephenson an d C. W. M esm er, vice as follows: B. L. S tew art, C. V andenburg, A. L. rum , L. F. Collignon, F ra n k A. Jo h n presidents; F. C. A tkins, cashier; F. S. Lockwood, se cretary and tr u s t officer; M esserschm idt, M. O. M esserschm idt, son, A. L. Lagom arcino and Dr. A. L. Syverud. L. N evin Lee, a ssista n t vice p resid en t R. M. M esserschm idt. R. M. M esserschm idt is president; and m an ag er of th e m ortgage d e p a rt The directors th en renam ed th e fol m ent; W illiam E llison and A. F. E ric k M. O. M esserschm idt is vice president. low ing officers: George M. Bechtel, son, a ssista n t cashiers; G. A. M oeckly, president; R. O. B yerrum , executive Davenport vice president; H arold R. Bechtel, vice assista n t cash ier and m an ag er of th e Officers and directors of th e F irst president; F ra n k A. Johnson, cashier personal loan departm en t. T ru st & Savings B ank w ere all re and tru s t officer; Louis M artin, assis The follow ing w ere re-elected to th e ta n t cashier; W. C. Siddle, a ssistan t board of directors: P au l Beer, J. G. elected at th e ann u al m eeting. tru s t officer. Stockholders first m et and re-elected Gamble, F. W. H ubbell, E. T. M ere dith, jr., R ussell Reel, B. F. K auffm an, Dr. O. J. Fay, J. W. Howell, J. W. H ubbell, S hirley Percival, Jo h n D. Shuler, S. C. Pidgeon, and R. R. Rol lins. R obert A. Brow n, p resid en t of th e In ter-S tate B usiness M en’s A ccident Company, of Des Moines, w as added to th e board of d irecto rs of th e V alley Savings Bank. All officers and board m em bers w ere re-elected. F re d e ric k M. M orrison is presid en t; W infield W. Scott, vice p re s ident; J. R. A stley, cashier; E d w ard P. K autzky, a ssista n t vice president; and F ra n k M. Thom pson, and M arvin L. Payne, a ssista n t cashiers. B oard m em bers re-elected are W al te r P. Davis, L ucius W. F itch, H arold J. Howe, A rth u r S. K irk, George M ahnke, F re d e ric k M. M orrison, W in field W. Scott, J. E. Tone, a n d Allen W hitfield. Two officers of th e C apital City State B ank w ere prom oted and tw o tellers w ere elevated to official positions. R aym ond G. M iller, cashier, w as elected a vice p resid en t and added to th e board of directors; J. N. Coffey, a ssista n t cashier, w as nam ed cashier; and F re d C. S u tto n and C. A llen E vans, tellers, w ere elected a ssista n t cashiers. Rolfe O. W agner w as re-elected p resi dent; George W. R ichter, vice p re si dent an d George Radcliffe, a ssista n t cashier. D irectors re-elected are, W. F. D on ovan, M onroe S. D utcher, R alph L. Jester, H. F. Liebsle, L y n n C. Oxley, D. J. V an Liew, H. E. W agner, and Rolfe O. W agner. E m ploym ent of tw o staff m em bers for th e new ly organized Iow a State B ank w as announced by G. A. Fram pton, president. T h eir titles have not been assigned. George H. Borg, son of th e v e te ra n E ast Des M oines grocer, Jo h n C. Borg, and Lew is A. R odenbaugh, jr., for 16 y ears w ith th e Iowa-Des M oines N a tional B ank and T ru st Com pany, w ill join th e b an k Feb. 1. D irectors of th e F irs t N ational B ank WHEN BIG BUSINESS WAS BORN IN AMERICA . . . th e D ro vers N a tio n a l B a n k w a s e s ta b lis h e d W e s t w a r d e x p a n s i o n — w a v e u p o n w a v e oi m ig r a tin g p io n e e r s — c r e a t e d a n u r g e n t n e e d in A m e r ic a fo r f a s te r in l a n d tr a n s p o r t a ti o n ; h u n d r e d s of th o u s a n d s of m o re e fficien t fa r m im p le m e n ts ; b e t te r m a r k e ti n g f a c ilitie s to a b s o rb h u g e v o lu m e s of fa r m p r o d u c ts e v e r y w o r k in g d a y in th e y e a r . T h u s , b ig b u s in e s s w a s b o r n in th e M id w e s t— 1873 to 1893. F o r o n ly b y l a r g e c o n c e n tr a tio n s of c a p ita l w e r e th e tr a n s c o n tin e n ta l r a i lr o a d s m a d e p o s s ib le ; o n ly in l a r g e fa c to r ie s c o u ld th e " n e w f a n g l e d " r e a p e r s b e p r o d u c e d e c o n o m ic a lly ; o n ly th e n c o u ld m e a t p a c k in g d e v e lo p a s th e g r e a t e s t s in g le i n d u s tr y in th e U n ite d S ta te s , a c c o u n tin g fo r a p p r o x im a te ly 7 % of th e to ta l v a l u e of a ll m a n u f a c tu r e . T h e D ro v e rs N a tio n a l B a n k w a s e s ta b lis h e d in 1882 r ig h t a t th e s t a r t of a n e r a w h ic h is n o w r e c o g n iz e d a s th e g r e a t e s t p o p u la tio n a n d in d u s tr i a l e x p a n s io n th e w o r ld h a s e v e r k n o w n . It s e r v e d th e b a n k i n g n e e d s of m a n y l a r g e a n d f a m o u s c o n c e r n s ; its r e p r e s e n t a ti v e " r a n g th e d o o r b e lls " of h u n d r e d s of c o r r e s p o n d e n t b a n k s e v e r y m o n th in th e y e a r . T h u s D ro v e rs S e rv ic e d e v e lo p e d o n a f r ie n d ly b a s i s of c lo s e a s s o c ia tio n s . T o d a y , a f t e r fifty -n in e y e a r s of in t e n s iv e e x p e r i e n c e , it is still s e r v in g th o s e s a m e in t e r e s ts f a ith f u lly ; it m a in ta in s a b r o a d e fficien t s e r v ic e f o u n d e d u p o n s o u n d b a n k i n g p r in c ip le s a n d a l iv e to th e c h a n g in g c o n d itio n s of a n e w e r a ; it is n o w a s a l w a y s a lo g ic a l c h o ic e a s th e C h ic a g o c o r r e s p o n d e n t of M id w e s te r n B a n k s . Y o u r In q u iry W ill R ec eiv e P ro m p t A tte n tio n M em bers, Federal D eposit In su ra n c e C orporation DRCYERS NATIONAL SA N N I DROVERS TRUST 0 SAVINGS SANN U N I O N S T O C K Y A R D S , C H I C A G O N orthw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 1941 70 A Remarkable Family resigned, as director of th e U nion B ank and T ru st Co. Re-elected p residents w ere F ra n k von Schrader, U nion Bank; W alter T. Hall, F id elity Savings Bank; E m m ett A. W ork, F a rm e rs and M erchants Sav ings Bank, and C. D. E vans, South O ttum w a Savings Bank. O ther officers and directors: U nion B ank & T ru st Co.: H. L. Pol lard and R. W. F u n k , vice presidents; M ax von Schrader, cashier; C. P. Glenn, W. C. M iller an d F re d Dimm itt, a ssistan t cashiers; C. G. M errill, tru s t officer; J. H. A nderson, E. C. M an ning, M. C. Gilmore, Pollard, F ra n k von Schrader, C. K. Blake, F u n k , W. T. H arper, M errill, Coupland, N. F. Reed and M ax von Schrader, directors. F id elity Savings Bank: W alter L ight, executive vice p resid en t an d cashier; Roy E. Stevens, F. A. P alm er, vice presidents; C. R. Colton, auditor; R u th A. W a rn e r and E m m a A nderson, as sistan t cashiers; Dr. M. B annister, C. C. and A. W. Low enberg, W. H. McElroy, G. F. Spry, Stevens, W. S. V in son, L ight and Hall, directors. F a rm e rs & M erchants Savings Bank: D. W. Johnson, vice president; E. A. W im m er, cashier; K a th ry n Glenn, as sistan t cashier; G. B. B aker, Miss Glenn, F red H ardsocg, Johnson, W. H. R obertson, P. C. W arder, W im m er, W ork and Dr. E von W alker, directors. South O ttum w a Savings Bank: W al te r Schoech, vice president; H. H. E vans, cashier; C. D. and H. H. E vans, Schoech, M aud Pollard, W. H. Rowe, Miss Grace H arlan and W. S. Suttle, directors. BANK M AN AG EM EN T Charles L. Beucher, a ssista n t cashier of the Citizens S ta te B ank, P ostville, sta n d ing beside the airplane in w hich he and his fa th e r ta k e m any trip s. T H E R E is a rem ark ab le fam ily living in Postville, Iow a—not especially because th e y follow th e b an k in g b u si ness, b u t in m an y o th er ways. W e re fer to th e fam ily of Leo B eucher, th e la tte r being cashier of th e Citizens State B ank there. T hree g enerations of th e B eucher fam ily have been, and are, b a n k e rs in Postville. The elder B eucher, fa th e r of Leo, w as a b an k er th ere and w as m ayor of Postville m any y ears ago. Leo is now cashier of th e bank, and his elder son, Charles, is a ssista n t cashier of th e sam e in sti tution. The youn g er son, Alan, is o u t stan d in g in his m usical ability, h aving an u n u su a l singing voice, plays several different in stru m e n ts in th e local high school o rch estra and band, and is as sociated w ith all m usic activities of th e com m unity. Alan, a ju n io r in high school, is also an o rato r of ability, N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 19'tl h aving w on m any contests of this n a tu re both a t hom e and State-wide. Both Leo and C harles L. B eucher are airp lan e en thusiasts. T hey have both ow ned th e ir own planes, and last F all flew to g eth er to several football gam es in Iow a and o th er states. P e rh ap s th e activities of th e B eucher fam ily are no different from those of h u n d red s of o th er b an k ers th ro u g h o u t the country, b u t w hen one considers th a t P ostville is a tow n w ith som e th in g u n d er 1,000 population, th e ir ac com plishm ents seem to us indeed re m arkable. Ottumwa All officers and directors of th e four O ttum w a banks, w ith one exception have been re-elected. C. C. Coupland replaces .T. E. Espy, (C ontinued from page 18) A careful study of th e m any factors involved in such an analysis cannot help b u t provide sufficient m aterial for a w ell-rounded program (p articip a tion of all banks essential), in w hich all m edium s at our disposal should be used. By far th e m ost im p o rtan t m edium a t our disposal (and a t th e disposal of every b ank regardless of size or loca tion) is th e h u m an elem ent w ith in our own in stitutions. W e know th a t it is th ro u g h th is group, consisting of our officers and em ployees, as w ell as di rectors and even stockholders, th a t our b an k is in te rp re te d to th e indi- Banks Sold or Bought! quietly, quickly and in a personal manner JAY A. WELCH Haddam, Kansas “35 years Practical B a n kin g E xperience.” 71 vidual, not only by actions th a t occur du rin g ban k in g h ours, b u t for tw entyfour ho u rs every day. In m any instances qualified em ployees can be encouraged to call on custom ers and prospects, p artic u la rly if those em ployees have dealings w ith the public—for exam ple tellers. To m ost people th ese m en are th e bank, for th e y are th e only p a rt of th e b an k w ith w hich th e y come in contact. W e m ig h t even encourage th e officers to m ake calls w ith th em —it w ould be good to be seen together. O ftentim es our directors and stock holders are overlooked entirely, p a r ticu larly th e stockholders. E v ery ef fo rt should be m ade to get th e stock holders in terested in th e bank. As ow ners of th e business th e y should be in terested in its w elfare. T hro u g h o r ganized effort on th e ir part, m uch good w ill w ould re su lt an d m uch business w ould be obtained th a t w ould benefit the b an k and in tu rn w ould benefit th e stockholders th ro u g h larg er e a rn ings or in creased value of th e stock. The success of such an u n d ertak in g , like th a t of an y other, w ill be d e te r m ined by th e support given by the ex ecu tive m anagem ent, th e e n th u si asm developed and th e cooperation given by th e b an k fam ily, and p a r ticu larly th e m a n n e r in w hich it is presented. C ertainly, th e job of p re sentin g such a pro g ram is n o t one for th e glad-hand-shaker, th e back-slapper, or th e hail-fellow-well-met. In stead it is th e job for th e T h in k er, th e Doer, and th e P lanner. TIME TO REVIVE INVESTMENT M ARKETS (C ontinued from page 13) vided th e new capital w hich is needed can be effectively conveyed th ro u g h its norm al channels from investors w ho are anxious to em ploy th e ir idle funds, into th e hands of business m en w ho can a t last use those funds. The financing of national defense divides itself into tw o m ain parts. F irst, we have those in d u stries w hich are w o rking directly on governm ent contracts. In m any cases, b u t by no m eans in all cases, th ey are producing highly specialized goods, w hich can be * fl [ ft f lb CLO SE TRUST O PERATIO N (C ontinued from page 20) tab lish in g ow nership, b u t th e y m ust perfo rm som e acts to safeguard p ro p e rty even th o u g h th e y have no legal obligation to do so. “Open b la n k e t policies m ay be m ade to pick up liab ility u n d e r conditions w hich no in dividual risk policy could provide, an d because of th e autom atic com prehensive in su ran ce provided for all in te re sts involved, a fiduciary is justified in cancelling liab ility in s u r ance fo rm erly carried by a deceased ow ner. F id u ciary accounts w ill b rin g m any risk s u n d esirab le to u n d e rw rit ers, b u t if all fiduciary liability in s u r ance is placed in one com pany, th a t com pany should ‘go along,’ regardless of th e type of risk rep o rted .” Just We Two “H ow ab o u t a d ate?” “Goodness, no.” “Oh, I d o n ’t m ean now. Some nasty w et w in te r aftern o o n w hen th e re ’s no body else in to w n .” used only in w arfare. P lan ts and m a ch in ery constructed for th is w ork are likely to lose th e ir usefulness w hen th e em ergency is over, th erefo re it is diffi cult or im possible to finance these in du stries in th e open m arket. B ut these are not th e only concerns w hich are going to be involved in n a tional defense. Beyond them lies the v ast a rra y of A m erican in d u stry —sup pliers of raw m aterials, tool and m a chinery builders, tra n sp o rt enterprises, and innum erable others, all of w hich will feel the pull of enlarged dem and, in one w ay or another. Some are sub contractors, some are not. Some will co n trib u te a large p a rt of th e ir o u tput TO BOTH IN DUSTRY AND A G RICU LTU RE Lo cated Yards in and the heart of the C h i c a g o ’s g r e a t U n io n Stock C en tral M an u f a c t u r i n g D is t r ic t , th is 7 3 y e a r o ld b a n k h a s d e v e lo p e d farm er fa cilitie s and e x c e p tio n a lly through m anufacturer q u a lifie d to se rv in g that act both make as C h ic a g o c o r r e s p o n d e n t for m id d le w e s te rn b ankers. LIVE STOCK N A T I O N A l BANK O F C H I C A G O Establ i shed 1868 UNION M em b e r F e d era l STOCK YARDS D e p o s it In s u r a n c e C o r p o r a t io n ci i>vn Rnn Icpv https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis it FP.hVUCIVI] 72 to natio n al defense, o th ers only a sm all part; b u t th e y are all w orking a t th e sam e job. So it is aro u n d th is group of indirect pro ducers th a t th e second phase of de fense financing is centered. T h ere is no reason w hy th e g o v ern m en t should u n d ertak e to finance th ese concerns. T here is no feasible m eans for th e gov ern m e n t to do so, w ith o u t d isru p tin g th e p re se n t stru c tu re of in d u stria l and gov ern m en tal finance. T hese e n te r prises, th e o rd in ary going concerns of A m erican business life, have alw ays financed th e ir ow n needs by selling securities in th e public m arkets. P ictu red above you see the gran d champion carload of A berdeen A ngus cattle which were entered in the recent In te rn a tio n a l L ive S tock Show in Chicago by Schm idt B rothers, who reside near C linton, Iow a. George Schm idt, of Delmar, and F erd Schm idt, D eW itt, have won th is cham pionship tw ice before, and in 1940 again w alked off w ith first honors. I t is said th a t a wise com bination of h ered ity and environm ent, w ith p len ty of em phasis on th e first, is the secret of Schm idt B ro th e rs’ success. We are indeb ted to Em il Johannsen, a ssistan t cash ier of the C ity N atio n al B ank, Clinton, fo r the picture. The question w hich confronts the A m erican business m a n n o w is, w h e th er he is going to expect th e gov e rn m e n t to go fu rth e r in supplying capital. Strong forces are operating in th a t direction. T he issue is sim ply one of p rivate ^ \ V E ± itin c j C o u n s e l D versus g o v ernm ental financing. The question is w h ether, w hen th e p resen t em ergency is over, corporation securi ties are going to be held p redom inantly by th e A m erican p riv ate in v estor or by agencies of th e U nited States govern m ent. EÏVÎCEE B a n k P u b l i c R e l a t i o n s R . W E S S L IN G , P R E S ID E N T <^A/[oLn.z±, ÛCo va ci “ P L E A S E send us 100 more ‘PAYC’ signature cards as soon as possible. This ‘P A YC ’ business is the finest thing that ever happened to this bank,. We are going to need ‘PA Y C ’ check books soon, b u t thought we might be able to make them last until you get here.” T hat’s the letter which one of my customers wrote just the other day. And why not ? They are increasing business with this rem arkable no m in im u m -b a la n ce checking plan. M any people who fo rm e rly ju s t cashed checks are now doing busi ness with all departm ents of the bank. This is the way to increase the volume in your bank. Drop me a line today for information about the “PAYC” plan! Very truly yours, AUSTIN KING NOTE: I f you are not on A ustin King’s territory, write anyway. We will relay your letter to the proper “TJ. S.” representative. U N ITED STATES C H E C K B O O K CO M PA N Y OMAHA. NEBRASKA N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 1941 N ew h o u se P ap er Co* “B etter P rin tin g Papers■ ” W ith th e a d v e n t o f 1941, w e ca n h e c o n fid e n t in o u r o u tlo o k f o r th e n ew y e a r. W e fe e l c e r ta in th a t th e s tro n g c o n v ic tio n s t h a t th e U n ite d S tate s s h a ll r e m a in n e u t r a l d u r in g th is p r e s e n t w ar, w ill give b u sin e ss re n e w e d h o p e a n d co u ra g e . W e a re o p e r a tin g a n d m a in ta in in g p a p e r w a re h o u se s in th e fo llo w in g c itie s: Des M oines, D ubuque, M oline, St. Paul, and M inneapolis 73 • T he in v estm en t b a n k ers of th e U nited S tates stan d read y an d anxious to play th e ir p a rt in supplying a n a lte r n ative to th is k in d of system . T hey do not control th e flow of capital. T hey cannot m ake it flow if low in te re st rates and high risk s m ake securities u n a ttra c tiv e to th e investor, or if low earn in g s and sta g n a n t m a rk e ts deprive th e b u siness m an of all incentive to issue new securities. In v e stm e n t b a n k e rs are no th in g m ore th a n m e rch an ts and m a rk e t spe cialists in securities. It is th e ir ta sk to b rin g lender and b o rro w er to g eth er and to give advice as to th e type of securities w hich are to be issued, w ith a view to m a rk e tin g those securities. F o r a n u m b er of y ears th e in v e st m en t b an k in g business has been ru n ning in low gear because th e condi tions of dem and and supply did not p erm it new offerings in an y consider able volum e. B ut conditions are chang ing. A new dem and for capital is com ing into sight, and th e re h as never been an y q uestion about th e large vol um e of in v estm en t capital w hich is to day looking for a job. F o r th e first tim e in y ears th e re is in prospect a rev iv al of th e in v estm en t m ark ets, w ith all th e benefits w hich such a rev iv al w ould confer b o th on business and on th e investor. FARM ERS ARE READ Y TO BUILD (C ontinued from page 15) p roject is started , additional building ex p en d itu res in v ariab ly follow. T h ere fore, th ese facts and figures are con sidered conservative. T hese 250 fam ilies are spending $126,700 for new farm hom es; $60,409 for rem odeling farm hom es; $40,837 for farm -hom e equ ip m en t and furnishings; $71,182 for new farm service buildings; and $20,277 for rem odeling farm serv ice buildings. T his is an ex p en d itu re of m ore th a n $319,405 or an average per farm fam ily of $1,278. T hese 250 fam ilies have u n d erw ay 411 building p ro j ects. T hey include 58 new farm homes; 156 farm hom e rem odeling jobs; 120 new farm service buildings; and 77 farm service buildings and rem odel ing jobs. T his is 1.6 building p rojects p er farm . In terestin g , p a rtic u la rly to persons w ho supply th e building needs of th ese farm ers, are th e 58 new farm homes. T here are 27 bungalow s and cottages, and 31 larg er hom es w ith tw o floors. Fifty-tw o of th e 58, or 90 p er cent, w ill have bathroom s; 56 designated th e o u t side w all finish, and b ro k en dow n it I O W A N E W S • show s th a t 29 w ill have clap-board, 8 b rick veneer, 8 shingles, 4 stucco, 4 n ativ e rock, 2 solid brick, and 1 con crete block; 55 designated th e type of roof w hich w ill be used in th e con stru c tio n of th e ir home. Of th is n u m ber, 36 p er cent selected asphalt; 27 p e r cent wood shingles; 24 p er cent asbestos; 9 per cent m etal; and 2 per cen t slate. Of th e to tal again, 69 per cent w ill have insulation; 66 p er cent w ill have storm doors and windows; and 36 per cent w ill have w eath er stripping; 66 p er cent w ill have w arm a ir heat; 21 p er cent w ill be heated w ith stoves; and 13 p er cent w ill derive th e ir h eat from h ot w a te r system s. I t w as learned in th e breakdow n of th e 250 e n tra n ts th a t th ey w ill average $2,062 per home. F o r hom e fu rn ish ings, th e 58 new hom e builders plan extensive purchases. F o r instance, 55 p er cent w ill buy new floor coverings; 43 p er cent w ill p u rchase new cu rtain s and draperies; 40 p er cent will buy new fu rn itu re; 36 p er cent w ill buy new cook stoves; and 38 p er cent w ill buy m echanical refrig erato rs. Going fu r th er, 33 indicated how m uch th ey w ould spend for equipm ent and fix- THE NATIONAL BANK OF WATERLOO ------------------------------------------------------------------------- ★ ------------------------------------------------------------------------- STATEMENT OF CONDITION as at th e close o f business D ecem ber 31, 1940 ------------------------------------------------ ★ ------------------------------------------------ RESOURCES C ash and due from b a n k s....................................... $2,307,494.85 Loans and discounts.................................................. 2,617,110.23 United States G overnm ent Securities................. 808,523.65 State, county and m unicipal securities............ 2,112,692.78 Other bonds ............................................................... 146,874.47 Stock in Federal R eserve Bank............................ 12,000.00 Overdrafts .................................................................... 174.41 Furniture and fixtures................................................ 7,590.51 A ccrued interest receiv a b le.................................. 33,341.76 $8,045,802.66 LIABILITIES Capital stock— com m on .........................................$ 250,000.00 Surplus ........................................................................ 160,000.00 U ndivided profits ...................................................... 145,115.91 R eserve for taxes, interest, etc................................ 43,503.43 13,295.88 Interest collected but notearn ed ......................... D eposits ........................................................................ 7,433,887.44 $8,045,802.66 ★ OFFICERS J ames M. Graham ....... President Cha s . S. M cK i n s tr y_...Vice Pres. E. L. P en ne ........ ................ Cashier H. F. H offer .... Assisiemi Cashier E. L. K ilg o re .... G .s.si.stant Cashier A. J . B urk ........ Assistant Cashier M e m b er F ederal R eserve S y stem M e m b er F ederal D eposit Insurance C orporation N orthw estern Banker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 1941 74 PECI fl LIZING IN y i t ò PROMPT DEPEND« BLE SERVI CE OPERATI NG THROUGH AGENTS EXCLUSIVELY The L ive Stock N atio n al B ank, Sioux City, Iow a, e n te rta in e d its officers and employees a t a C hristm as p a rty on M onday, Decem ber 23rd, in the South W arrior room of the W arrio r H otel. A fte r dinner a stu n t program w as given, and consid erable o rig in ality was displayed (and unexpected ta le n t uncovered) so th a t the judges had quite a difficult ta sk in aw arding the prize. This w as follow ed by an exchange of C hristm as g ifts, and Bingo was th en enjoyed fo r th e re st of the evening. Miss Katherine Anthens, Wm. C. Schenk and John S. Haver w ere the com m ittee in charge of arrangem ents. MUTUALSURETV COMPANY'/IOUJA DES 'r ic ic i M O IN E S , U uw IOWR L e k ifu a u js ^ tures. B roken down, th e figures show th a t 9 per cent w ill spend up to $99; 22 p er cent $100 to $199; 15 p er cent from $200 to $399; 24 per cent from $400 to $599; 12 p er cent from $600 to $999; 18 per cent, $1,000 or m ore. This is an average exp en d itu re of $507. In terestin g , too, is a breakdow n on th e 156 e n tra n ts w ho are rem odeling c N e w l/o r k s S p u l a r HOTEL LINCOLN 4 4 ™ TO 45 th STS.AT 8 thAVE. OUR CHOICEST ROOMS From 1400 RO O M S each with Bath, Servidor, and Radio. ★ Four fine restaurants awarded Grand Prix 1940 Culinary Art Exhibition. MARIA KRAMER PRESIDEHT John L Horgan Gen. Mgr. < 3° HOTEL EDISON SAME OWNERSHIP Bill 11 ■l’i U I j ï u u .1 IN THE C E N T E R OF MID-TOWN NEW YORK N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 19bi th e ir homes. F orty-four p er cent of th is nu m b er are adding bathroom s, w hile 28 p er cent are adding o th er rooms; 26 p er cent are adding a porch; 34 p er cent are rem odeling a porch; 28 p er cent are p u ttin g on a new roof; 50 p er cent are painting; 30 p er cent are doing cem ent w ork; 13 p er cent are doing b rick w ork; and 8 per cent are p u ttin g on new siding. Inside of these 156 farm homes, extensive re m odeling is going on. Fifty-six p er cent, for instance, are p ain tin g w alls and w oodw ork; 49 p er cent are p ap er ing walls; and 35 per cent are finishing th e basem ent; 33 p er cent are laying new floors; 33 p er cent are rem oving partitions; 33 per cent are in stallin g new h eatin g plants; 26 p er cent are in stalling insulation. O ther rem odeling jobs include th e addition of p artitions, by 26 p er cent; re-finishing floors 25 per cent; in stalling w ea th er strip p in g 15 p er cent; rem odeling th e k itch en 6 per cent; in stallin g a w ater system 2 p er cent; and w irin g for electricity 1 per cent. One h u n d red and tw enty-tw o of th e 156 farm fam ilies revealed th e am ount th e y are spending for rem odeling: 13 p er cent w ill spend up to $99; 20 p er cent w ill spend $100 to $199; 14 p er cent from $200 to $299; 7 per cent from $300 to $399; 8 per cent from $400 to $499; 12 p er cent from $500 to $599; 7 p er cent from $600 to $799; 5 per cent from $800 to $999; 8 p er cent from $1,000 to $1,999; 5 p er cent from $2,000 to $2,999; and 1 p er cent over $3,000 or m ore. Con tin u in g fu rth e r, 54 per cent of th e 156 plan to buy bathroom equipm ent; 44 p er cent k itch en equipm ent; 39 per cent w indow accessories; 39 p er cent 70 • IO f A floor covering; 30 p er cent electric fix tures; 13 p er cent new fu rn itu re ; and 11 per cent lau n d ry equipm ent. T here w ill be 195 farm service b u ild ings on 120 farm s. T h ere w ill be 51 new p o u ltry houses; 32 new barns; 28 new sheds; 27 new garages; 23 new corn cribs and gran aries; 8 new hog houses; 4 new outside toilets; 3 new m ilk houses; 3 new sheep houses; 2 new silos; 2 new sm oke houses; and 12 of m iscellaneous construction. One h u n d re d ten farm ers revealed th e p rin ciple m aterials to be used in th e con stru ctio n of th ese new service b u ild ings; 90 p er cent w ill use lum ber; 54 per cent w ill use cem ent; 26 p er cent steel; 5 p er cent insulation; 4 p er cent wood shingles; 3 p er cent stone; 2 p er cent tile; 2 p er cent com position roofing; 2 p er cent cello-glass, and asbestos shingles, 2 p er cent. Indications are th a t th e re w ill be no stop to b uilding in th e farm m ark et. This, perhaps, is due in p a rt to th e public b uilding agencies—FH A , HOLC, RFC, FNMA, FDIC, an d o th ers— to g eth er w ith b uilding m aterials asso ciations all over th e country. T hese agencies have p re tty w ell agreed on th e follow ing points: (1) th a t house service for th e farm needs im prove m ent; (2) th a t in helping farm ers w ith • We don’t like the word “bargain” ß u t - Ordinarily w e "freeze u p ” w hen w e hear it. But this D e Luxe Check book really is a bargain — an out standing value. Just think! 200 checks, on N ational Safety Paper — im p r in te d w ith cu s tom er’s name—numbered—leather cover with customer’s name g old stamped (on initial orders). All for $ 1 .2 5 ! CHICAGO KANSAS CITY ST. PAUL P la n ts a t NEW YORK CLEVELAND CHECK P R I N T E R S , INC. Lithographers a n d Printers M ERCHANTS THE BEST MUTUAL BONDING COMPANY Incorporated N E W S A D D R E SS 1933 H o m e O ffice V A L L E Y B A N K B U IL D IN G Des Moines, Iowa • • This is Iowa’s oldest surety company. V / V/ • • R O O M V/ V/ V / V/ BLACK MIRROR A IR C O N D I T I O N E D YEAR ROUND F OR C OMF ORT * OMAHA'S COME TO T H E W O R L D ! N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis » S e c r e ta r y a n d M a n a g e r AMBER V / > H. WARNER V » W r i te to E. R O O M » V / BOMBAY » To be the exclusive representative of this company is an asset to your bank. y V/ V/ » enced, conservative management. We are proud of our hundred and fifty bank agents in Iowa. » experienced travelers know the value of stopping at a hotel of distinction. The Fontenelle is a name you can refer to with pride - pride that comes from knowing the accommodations will be excellent, atmosphere dignified and refreshing, the address self sufficient. Beautifully modernized throughout. A progressive company with experi February 1941 76 hom e buildings, a sta n d a rd of real se rv ice can be set up th a t m ay la te r be applied to a som ew hat corresponding building p ictu re in th e cities. R ep resen tativ es of th ese agencies m eeting recen tly appointed a “tech n ical” com m ittee w hose job it w as to LEGAL IN V EST M E N T For IN SU R A N C E CO M PANIES Accounts Insured up to $ 5 ,0 0 0 C o n v en ien t . . . S afe 3 % (Current Rate) St. Paul Federal Savings & Loan Association 4 Axel A. Olson, Sec’y-Mgr. East Fourth St., ST. PAUL, MINN. S A F E T Y IN IN VESTM EN T Accounts Insured Up To $5,000.00 __ n s T I F e d e r a l S a v in g s and Loan A ssociation 1 350 o r st. p a u i Cedar St. St. Paul, Minn. HC7ME h T ederal Savings AND LOAN ASSOCIATION OF DES MOINES — o u r F ed era lly In su red u p to $ 5 ,0 0 0 savin gs a cco u n ts are th e so lu tio n to you r in v e st m en t and trust p rob lem s. C urrent d ivid en d 3L£ p ercen t. Statement on request. Grand Avenue Des Moines, Iowa 904 N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 19M d raw up a set of 8 hom e plans p ra c tical for farm and ru ra l areas, th e plans to be th e basis for a trem endous hom e-builders service organization, co o perative betw een g overnm ent and the building in d u stry . F ig u res for con stru ctio n are low because from th e eight basic plans com pleted by th e experts, various building m aterials as sociations have developed m ethods of Iow a’s L argest B usin ess T raining School cost-cutting construction a t no sacrifice in stren g th , beauty, com fort, or econ Many banks, bond-houses, insurance companies and other financial in sti omy. T hey are low because secondary tutions employ A. I. B. graduates. m aterials equipm ent associations— W rite or telephone when you need plum bers, electricians, painters, h a rd efficient office employes. w are m en—have against th e stan d ard E. O. FENTON, President eight plans projected m inim um costs —m axim um perform ance lists th a t are not “if” lists, b u t “it” lists. To quote DES MOINES th e C entral H ousing Com m ittee . . . 1 0 th and Grand Tel. 4 -4 2 0 3 “Basic m inim um perform ance req u ire m en ts for sm all hom es by m eans of w hich needless cost of building m ay be avoided, w aste of m aterials, and labor from over-design elim inated.” The eight basic plans are already approved DES MOINES BUILDING-LOAN & by g o vernm ental lending agencies. SAVINGS ASSOCIATION And to th is approval, none of w hich are m easured in advance, is added the drive of cooperation in governm ent and th e building in d u stry to th e end th a t “th e app ro p riate federal agencies explore prom ptly th e possibilities of 4 1 1 6th Ave. Dial 4 -7 1 1 9 practical steps, especially in ru ra l E L M E R E . M IL L E R H U B E R T E . JA M E S areas, tow ard: (a) m aking m ortgage P r e s , a n d S ec. A s s t. S ec. m oney for sm all hom es actually avail Member Federal Home Loan Bank System able; (b) m aking construction loans read ily available; (c) qualifying local hom e-financing in stitu tio n s not now m aking such loans to m ake co n stru c R.J. FLYNN, Pré«. mm m M l -f- * tion and m ortgage loans—th e re is a O.L.DUNQAN Sacy. necessity for speeding up th e tim e req u ired for processing loans.” All of th is is interestin g , indeed, w hen it is realized th a t for building alone farm people spend $360,000,000 annually. T h at on top of this, th ey spend $190,000,000 for furnishings; and th a t th e farm building field is second only to u rb an resid en tial building. T his m eans th a t the farm building m ark et leads com m ercial building, factory erections, and social and recreational D e s M o in es construction. Obviously, th e stage is set for an expansion of th e farm building m arket. E v ery day th e farm becom es a m ore delightful place on w hich to live and H a c u & it G o 4 i raise a fam ily. F a rm people have m ore tim e to enjoy th e ir homes; m ore Our policy provides a maximum tim e to visit; m ore tim e to read —th ey assessment of 2 x/i°/0 in Zones One and Two—and 31/2% in are responsive to new ideas for m aking Zone Three (Western Iowa). b e tte r farm homes. T hrough im proved roads, autom obiles and telephones, farm fam ilies are as n ear to th e ir neighbors, friends, retail stores, and Insurance Association service stations as are th e ir city Carver B ld g. F ort D o d g e, Iow a cousins. American Institute of Business Oldest and Largest in Des Moines Hawkeye Mutual Hail 77 Honesty Marble Cake Groom: H ow did you m ake th is cake, dear? Bride: H eres’ th e recipe. I clipped it from a m agazine. Groom: A re you sure you read the rig h t side? T he o th er side tells how to m ake a rock garden. Index to Advertisers A A l l e n W a l e s A d d i n g M a c h i n e C o r p .......... A l l i e d M u t u a l C a s u a l t y C o .............................. A. C. A l l y n a n d C o m p a n y ................................. A m e r i c a n I n s t i t u t e o f B u s i n e s s .................. A m erican M u tu al L ife In s u ra n c e C o m p a n y ............................................................................ A m e r i c a n N a t i o n a l B a n k a n d T r u s t Co. “Say,” said th e m an as he entered th e clothing store. “I bought th is suit here less th a n tw o w eeks ago, and it is rusty-looking already.” “W ell,” replied th e clothing dealer, “I g u aran teed it to w ear like iron, d idn’t I?” 79 28 34 76 25 67 B B a n k e r s T r u s t C o m p a n y ................................60 -61 V. W . B r e w e r C o m p a n y ...................................... 36 B u r l i n g t o n B a n k s ................................................ 66 C C e n tra l H a n o v e r B a n k a n d T r u s t C o ... C e n t r a l N a t i o n a l B a n k a n d T r u s t C o.. . . C h a s e N a t i o n a l B a n k ........................................... C o n t i n e n t a l - I l l i n o i s B a n k a n d T r u s t Co. C i t y N a t i o n a l B a n k a n d T r u s t C o ............... C o n t i n e n t a l N a t i o n a l B a n k ............................ O 68 3 4 54 77 43 u t - o f - ^ o w n B a n k s O ut-of-tow n banks and bankers w ill find here D com plete banking fa cilities for prom pt and F . E . D a v e n p o r t a n d C o m p a n y .............4 3 -6 6 D e L u x e C h e c k P r i n t e r s , I n c ......................... 75 D es M oines B u ild in g L o a n a n d S a v in g s A s s o c i a t i o n ............................................................. 76 D r o v e r s N a t i o n a l B a n k ...................................... 69 economical handling of accounts in Chicago. We E would appreciate the opportunity of serving you. E l m s H o t e l ............................................................... 77 E m p l o y e r s M u t u a l C a s u a l t y C o m p a n y . . 29 B p p l e y H o t e l s .......................................................... 75 F F e d e r a l D i s c o u n t C o r p o r a t i o n ....................... F e d e r a l I n t e r m e d i a t e C r e d i t B a n k .......... F ir s t F e d e ra l S av in g s a n d L o a n A sso c i a t i o n ............................................. F i r s t N a t i o n a l B a n k , S i o u x C i t y ............... 36 37 C 76 65 Gr it y N A N II T i l L I S T G e n e r a l M o t o r s A c c e p t a n c e C o r p ............... 32 G u a r a n t y T r u s t C o ............................................... 42 2 0 8 II H a w k e y e M u t u a l H a i l I n s u r a n c e ............... 76 H om e F e d e ra l S avings and L oan A sso c i a t i o n ....................................................................... 76 5 H o m e I n s u r a n c e C o m p a n y .............................. H o t e l L i n c o l n .......................................................... 74 B a t io n a l of Chicago COM PANY S O U T H ank L A S A L L E S T R E E T (Member Federal Deposit Insurance Corporation) I I n v e s t o r s S y n d i c a t e .............................................. 33 Io w a -D e s M oines N a tio n a l B a n k a n d T r u s t C o .................................................................... 80 I o w a I n v e s t m e n t B a n k e r s A s s o c i a t i o n . . 30 J J a m i e s o n a n d C o m p a n y . . . . ............................ 52 L G e o r g e L a M o n t e a n d S o n ................................. 6 L e s s i n g A d v e r t i s i n g C o m p a n y .................... 76 L i v e S t o c k N a t i o n a l B a n k — C h i c a g o . . . 71 L i v e S t o c k N a t i o n a l B a n k - —O m a h a .............. 41 L i v e S t o c k N a t i o n a l B a n k — S i o u x C i t y . . 44 M M a n u f a c t u r e r s T r u s t C o m p a n y .................. M erch an ts M u tu al B onding C om pany. . . M e r c h a n t s N a t i o n a l B a n k ................................. M i n n e a p o l i s M o l i n e P o w e r I m p . C o .......... M u t u a l S u r e t y C o m p a n y o f I o w a ............... 40 75 2 53 74 77 R E S T - P L A Y - R E S T O R E HEALTH LET'S P S P U P WITH THE WORLD FAMOUS MINERAL WATERS OF N N a t i o n a l B a n k o f W a t e r l o o ............................ N a t i o n a l S u r e t y C o r p o r a t i o n ......................... N e w h o u s e P a p e r C o m p a n y ............................ N i e m a n , W . K ............................................................ N o rth w e ste rn N atio n al B an k an d T ru st C o m p a n y .................................................................. 73 22 72 28 51 O O m a h a N a t i o n a l B a n k ........................................ 17 P P h i l a d e l p h i a N a t i o n a l B a n k ......................... S St. P a u l F e d e r a l S a v i n g s a n d L o a n .......... S t. P a u l M e r c u r y a n d I n d e m n i t y C o m p a n y ............................................................................ S e c u r i t y N a t i o n a l B a n k ................................... S u c c e s s f u l F a r m i n g ........................................... 58 76 24 64 19 m u i c c n i ir>i MISSOURI Curative mineral waters . . . Opportunities for all sports and recreations . . . Air 7? conditioned sleeping rooms T T o w n M u tu a l D w e llin g I n s u ra n c e C o ... 26 . . . Write for information 72 38 or reservations. U U n ited S ta te s C heck B ook C o m p an y . . . . U n i t e d S t a t e s N a t i o n a l B a n k ......................... V V a l l e y S a v i n g s B a n k ........................................... 63 W C h a r l e s E . W a l t e r s C o m p a n y ....................... W e l c h , J . A .................................................................... W e s s l i n g S e r v i c e s ................................................ W e s te rn M u tu al F ire In su ra n c e C om p a n y ............................................................................ 40 70 72 ELMS HOTELJ 27 N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F ebruary 19^1 In th e DIRECTORS' R o o m Nicer Why, George “Well, I got th e license today.” “Oh, George!” “I m ean m y pilo t’s license.” “Oh, George.” “H ow w as th e p a rty last n ig h t? ’' “Oh, it w as a nice party , so we left and w en t to m y a p a rtm e n t.” Right at Home “H ave y o u r fiancee’s people ac cepted you y e t? ” “T hey su re have. I got baw led out y esterd ay for u sin g th e guest tow el.” It’s Easy H u n ter: H ow do you detect an ele phant? Guide: You sm ell a fa in t odor of pea n u ts on his b reath . The Old Thief “The new w asherw om an has stolen tw o of o u r tow els.” “T he thief! W hich ones, d ear?” “T he ones we got from th e hotel in M iam i.” 'Course It Does A farm er, ju s t a rriv e d in tow n, w as w alking across th e stre e t and h a p pened to notice a sign on a h ard w are store, “Cast Iro n Sinks.” He stood for a m in u te and th e n said, “A ny fool know s th a t.” Sell-Out A daily new sp ap er in Nice recen tly contained th e follow ing ad v ertisem ent: “M illionaire, young, good - looking, w ishes to m eet, w ith a view to m a r riage, a g irl like th e h eroine in M------’s novel.” W ith in 24 h o u rs th e novel in q ues tion w as sold out. Little Crowded L andlord: H ow do you like y o u r new quarters? Tenant: T hey a re n ’t q u arters, th e y ’re sixteenths. Several Days Later Young Man: W h at tim e is it g ettin g to be? Young Lady: I don’t know , b u t it w as S atu rd ay w hen you came. $$$ and ccc A big silver dollar and a little brow n cent, R olling along to g eth er w ent; Rolling along the sm ooth sidew alk, W hen th e dollar rem arked, for dollars can talk: “You poor little cent, you cheap little m ite, I ’m bigger and tw ice as bright. I ’m w o rth m ore th a n you a h u n d red fold. A nd w ritte n on me in letters bold Is th e m otto draw n from the pious creed: ‘In God W e T ru st,’ w hich all m ay read.” “Yes, I know ,” said th e cent, “I ’m a cheap little m ite, and I know I ’m not big, nor good, nor bright, A nd y et,” said th e cent, W ith a m eek little sigh, “You don’t go to ch urch as often as I.” And How! “Y our boy frien d talk s too m uch. He ra ttle s on like a flivver. I ’m afraid h e ’s a flat tire .” “I know , Dad, b u t his clutch is g ran d .” A Real Gal “Liza, you-all rem inds me of brow n su g ar.” “H ow ’s dat, Sam ?” “You am so sw eet and unrefined.” Just Admirers “W ho’s th e girl w ith th e F ren ch heels?” “She’s m y sister, and those guys a in ’t F re n c h .” Safety First Hopeful Cop: W h a t’s the idea of all th e speed? M otorist: My brak es w o n ’t w ork and I w a n t to get hom e before I have an accident. Boss: H enry, y o u ’re a liar. You took a day off to b u ry y o u r m other-in-law and I m et h e r in th e p a rk th is m orning. H enry: Oh, I d id n ’t say she w as dead, sir. I ju s t said I w ould like to go to h er funeral. “Yes, m y dear, I have lost Azor, m y precious little dog!” “B ut you m u st p u t an ad v ertisem ent in th e papers!” “The poor little pet can ’t read.” N orthw estern B anker https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis February 19M Nose Dive . “W aiter, th e re ’s a fly in m y soup.” “The poor th in g m u st have lost its balance. It w as sittin g on th e edge of th e bowl w hen I b ro u g h t th e soup in.” “I ’ve fallen in love w ith a burlesque sta r.” “Does she love you?” “Well, she shakes every tim e I look a t h e r.” Hobo—“W ill you give me a dim e for a cup of coffee?” G entlem an—“B ut I don’t d rin k cof fee.” G o Ahead B urglar: “Get ready to die. I ’m going to shoot you.” V ictim : “W hy ?” B u rg lar: “I ’ve always said I ’d shoot anyone who looked like me.” V ictim : “Do I look like you ?” B urglar: “Yes.” V ictim : “Then, for God’s sake shoot!” Boss—“On th e w ay th ere you will pass a baseball field.” Office Boy (hopefully)—“Yes?” Boss—“Well, pass it!” M other (visiting co-ed)—“I see th e streets here are ju s t filled w ith stu d ents.” Co-ed—“Oh, no, m other. Those are ju s t college m en.” “H ow is it th a t you w ere ousted from th e glee club?” “Oh, I had no voice in th e m a tte r.” “He has tw o wooden legs. H ow can he w alk?” “I guess he ju st lum bers along.” H usband—“F rom th e glim pse I had of h e r th is m orning, I ra th e r like our new cook. T here seem s to be a lot of go about h e r.” “Yes—she’s gone.” T he only tim e th e m odern girl trie s to be an angel is w hen she is driving a car. To ihe thousands of firms and individuals who purchased Allen W ales machines during the past twelve months, w e extend our sincere ap preciation. Total sales during that period exceed ed any other twelve months in the thirty-seven years' history of our company. W e invite users of adding machines who are not acquainted with the Allen W ales to try o n e—there is no obligation. Telephone our nearest agen cy or send coupon. i ALLEN WALES ADDING MACHINE CORPORATION 4 4 4 M adison A v en u e, N ew York, N. Y. d j ! SALES A N D SERVICE IN 4 0 0 AM ERICAN CITIES A N D IN 4 0 FOREIGN COUNTRIES □ Send us a machine to exam ine and try without obligation. I (• 1 L-J Have your salesm an call and survey our figure problem s— Ask for- I □ Mail us booklet describing the New Allen W ales Adding M achines. * litji NAME___________________________________________________________________________________ * ADDRESS_______________________________________________________________________________ i CITY 1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis STATE Again this year Banks in Iowa will lend millions of dollars on corn sealed in cribs throughout the state under the program of the Commodity Credit Corporation. This Bank is pleased to co-operate in financing corn loans. We stand ready to purchase a substantial amount of these loans from Iowa Banks. To insure satisfactory and prompt service, these loans will be handled again by our special corn loan department. Banks of Iowa are invited to make use of the complete correspondent facilities always available at Iowa’s Largest Bank. Io w a - M o in e s n a t io n a l & T r u st C o m pan y des M e m b e r o f The https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Federal D e p o s i t In su ran ce C o r p o r a t io n bank
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