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FEBRUARY
1948

What Shall We Do
About Livestock Loans?
(S u rvey )—Pas« 15

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Federal Reserve Bank of St. Louis

MAPLE T. HARL, CHAIRMAN OF THE F.D.I.C.— Page 14

A Strong Record
Over a period of 67 years, the Merchants National
Bank of Cedar Rapids has steadily increased both in
size and in the number of the bank correspondents it
serves. It has established a record recognized through­
out the nation as a bank of character, strength and
service. Let us serve you, too, in the midwest area.

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THE
MERCHANTS NATIONAL
= = ]BANKI= =
O F F I C E R S
JAMES E. HAMILTON, Chairman Executive
Committee
S. E. COQUILLETTE, Chairman of the Board
JOHN T. HAMILTON II, President
H. N. BOYSON, Vice President
MARK J. MYERS, Vice President
GEORGE F. MILLER, Vice President and
Trust Officer
MARVIN R. SELDEN, Vice President
FRED W. SMITH, Vice President

R. W. MANATT, Vice President
L. W. BROULIK, Vice President
PETER BAILEY, Cashier
R. D. BROWN, Assistant Cashier
O. A. KEARNEY, Assistant Cashier
STANLEY J. MOHRBACHER, Asst. Cashier
EVERETT C. PRATT, Assistant Cashier
C. F. PEREMSKY, Assistant Cashier
VICTOR W. BRYANT, Assistant Cashier
JAMES E. COQUILLETTE, Assistant Cashier

Cedar Rapids

Iowa

Member Federal Deposit Insurance Corporation

Northwestern Banker, published monthly by the Northwestern Banker Company, at 527 Seventh Street, Des Moines, Iowa. Subscription, 35c
per copy. $3.00 per year. Entered as Second Class Matter January 1, 1895, at the Post Office at Des Moines, Iowa, under Act of March 3, 1879.


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Federal Reserve Bank of St. Louis

n

BARTOW
MANSION
0 fa 7 ra t7

OLF packs ranged the woods and
the rocks swarmed with rattle­
snakes 300 years ago in the region where
the Bartow Mansion now stands in New
York’s Bronx County. Harried settlers
offered a bounty of twenty shillings “ for
every grown wolf killed by a Christian
but only half as much when it was de­
stroyed by an Indian” and decreed that
“ one day every spring be improved for
the destroying of rattlesnakes.” Even
more deadly than these natural enemies
of man were hostile Indian tribes.
To this harsh country came Anne Hut­
chinson, vainly seeking a “ Land of
Peace” after religious persecution, but
marauding savages killed her and all her
family except for one little girl. Accord-

W

ing to legend,
this sole survi­
vor of the mas­
sacre was taken
by the Indians
and later m ar­
ried a chief.
Dining room, like the home's exterior, follows Grecian style o f architecture.
Today, in a
com m unity of suburban homes and
This third Lord’s grandson, John Bar­
apartment houses, modern parkways
tow, bought the manor house in 1790.
have replaced the trails of the long-van­
Aaron Burr, who had married the former
ished Indians. In the words of an old
Theodosia Bartow, was one of many
chief, “Your Empire State was once
famous guests entertained there by the
laced by our trails, trails that we have
wealthy and influential proprietor. In
trod for centuries, trails worn so deep
1836 John’s grandson, Robert Bartow,
by the feet of the Indian that they be­
acquired the estate and built the present
came your roads of travel.”
house which remained in the family’s
In Pelham Bay Park in the northern­
possession till 1888 when New York
most limits of New York City the Bartow
City purchased it for park development.
Mansion marks, in a figurative sense, the
Restored and refurnished in the orig­
end of a trail leading back to many fam­
inal period through the efforts of the
ilies who figured prominently in the
International Garden Club, the beauti­
region’s history, principally the Bartows
fully proportioned mansion now stands
and the Pells.
as one of the few remaining links with
In 1654 Thomas Pell purchased 9,000
the region’s past.
acres from the Indians and became first
The Jiome, through its agents and
Lord of the original Manor of Pelham,
brokers,
is America's leading insurance
comprising the present Pelham Bay Park
protector of American Jdomes and the
and many nearby towns. Tradition has
it that the deed of purchase was signed
jHomes of American Industry.
by the Indian chief who married
Anne Hutchinson’ s daughter. A
granddaughter of this union later
married Thomas Pell, third Lord
of the Manor, from whose eleven
children many of the Pell family
N E W
Y O R K
trace their descent.
AUTOM OBILE
MARINE INSURANCE
FIRE

* THE HOME *

Graceful staircase, one of many inventive details.


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Federal Reserve Bank of St. Louis

4

^LitTOliß|bs S^vinßsl^ssbook Machii
m

PROVIDES

ALL

THESE

IM PO RTANT

e /

ADVANTAGES

NEAT, LEGIBLE RECORDS — M achine-posted passbooks and
ledgers increase accuracy and neatness for customer and bank.
MAXIMUM SPEED — Passbooks only are posted at the w indow .
Y ou do not do your bookkeeping on the customer's tim e!

FLEXIBILITY — Permits a choice o f ledger posting plans.
N o other method o f handling
savings accounts can match the
mechanized speed, efficiency and
economy of Burroughs Savings
Passbook Machines. Here again
is p ro of of Burroughs alertness
to modern banking needs and
Burroughs leadership in ma­
chines and methods If you want
to give your savings account
customers faster, better service
and improve your internal con­
trol, be sure to get the full story
on the new Burroughs Savings
Passbook Machine.
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

COM PACTNESS, EASE OF O PERA TIO N — Requires a m ini­
mum o f space . . . expensive cage alterations are not necessary.
A nyone can learn to operate it with a few minutes’ instruction.
BETTER CONTROL — Insures that bank’s and customer’s records
are in agreement, and provides better audit control.
LOW COST — Low purchase price and low maintenance expense
m ake it economical to buy and use.
WHEREVER

T H E R E ’S

BUSINESS

T H E R E ’S

Burroughs

o

W hen a banker thinks about checks in
terms of quality and functional value heis
naturally attracted to La Monte Safety

P a o e r- a product which has served the
....... ,, it has become
Paper « H
nation so long an£t

we"

wledged
th e
in its
e ader

W fs.

if

:

WÈËÈ
•K;

,,,

'

,

.

SAFETY PAPER FOR CHECKS


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Federal Reserve Bank of St. Louis

BRCß cvrv

GEORGE LAMONTE & SON, NUTLEY, NEW JERSEY

JMWÍ513-1
c r io N

kB __ S » ’

OlSM' 1

T*1**
fa* D
noli*1

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con*TBU

coçSfiBiî

rtOHO^g

. . fiffi THQUSiSB-^

N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

6

★

★

Use the
in Chicago
FOR W ORLD-W IDE BANKIN G
On every type o f foreign trade and finance,,
including the rem ittance o f funds, the sale o f
com m ercial and travelers’ letters o f credit,
the handling o f foreign collections, and the
purchase and sale o f exchange, the officers o f
our Foreign Banking D epartm ent are prepared
to render advice based on long experience.
A com petent and thoroughly trained staff will
be pleased to discuss your particular foreign
trade problems with you and handle your
international transactions.
Calls or correspondence are invited.

The First National Bank of Chicago
Building with Chicago and the Nation Since 1863

★
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

ir

7

/M okOAr
CÜXM O jCU

The National 2000 Proof Machine literally locks out
errors! If the operator makes an error in recording an
amount — or if the depositor has erred in adding his
deposit ticket — the machine locks automatically! On
depressing the error key, the amount of the error is
automatically printed on the master tape, and the cor­
rection is made immediately. No other machine has
this feature!
This is typical of the superior adaptation to actual
banking needs that will be found in all National
m echanized accounting systems expressly designed for
banks. Ninety-four of the one hundred largest banks
in the United States use Nationals, as do thousands of
smaller ones. There’s a National mechanized account­
ing system for ev ery need of ev ery department of ev ery
bank — large or small. Read about them in the hand­
some, new booklet shown.
A new, illustrated b ooklet of some 60 pages de­
T H E

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Federal Reserve Bank of St. Louis

N A T I O N A L

C A S H

scribes the services of each of the machines in the
National line. Shows how they can speed the work in
ev ery department of your bank. Ask your National
representative to bring you your copy. You’ll find it
both informative and helpful, and you’ll want to keep
it in a convenient place for reference when accounting
problem s arise. The
National Cash Register
Com pany, D ay ton 9,
Ohio. Sales and Service
Offices in over 400 cities.

R E G I S T E R

C O M P A N Y

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

Senior Credit Analysts

Credit Information
for Chase Correspondents
As a part of our service to correspondent banks we endeavor
at all times to furnish complete and accurate credit infor­
mation both for their own use and to assist them in answer­
ing their customers’ inquiries.
Our extensive facilities, both foreign and domestic,
enable us to give prompt attention to the credit inquiries

Credit Departm ent Management

of our banking friends.
Among other services to correspondent banks are:

Issuance of letters of credit

Safekeeping of securities

Collection of checks, drafts and other bank documents
Transm ission of funds abroad and shipment of currency
Information and advice regarding banks’ investments
Participation in local loans when desired by correspondents

Central Index {contains 2,000,000 cards}

Performing a wide range of incidental services

TH E

CH ASE

N A T IO N A L

O F THE C IT Y O F N E W

BANK

YORK

Member Federal Deposit Insurance Corporation

C redit Investigators
N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

Ih m r E d ito r

DES M OINES
O ldest Financial Journal West of the Mississippi

The following letters were received
from Northwestern Banker readers.
Your views and opinions on any sub­
ject will be gladly published in this
column.

"Thought Inspiring Editorials"
“ The N o r t h w e s t e r n B a n k e r has .just
reached me in my retirement in Pasadena,
California. In order to qualify as having
some knowledge of the region covered by it,
I might add that I have spent about 10 years
as deputy superintendent of banking in the
Iowa Banking Department and 10 years in
Washington, D. C., helping to liquidate the
collateral held by the War Finance Corpora­
tion and the Reconstruction Finance Cor­
poration when the borrowing institutions
had failed.
“ On receiving this January number of
the N o r t h w e s t e r n B a n k e r , I turned at
once to page 14 ‘Across the Desk from the
Publisher’ and read your five open letters
addressed to prominent thinkers on the
affairs of our nation in which you referred
to their salient conceptions as expressed by
them on the way of life in these United
States.
“ I know o f no way to better emphasize
and impress the thoughts o f these men on
the average American citizen than to set
out what they have expressed and then add
very aptly as you have done, your own ideas
o f the direct application o f these subjects.
“ I have occasionally taken the liberty of
passing some of your ‘open letters’ on to the
persons addressed and to others in regions
outside of the area covered by the N o r t h ­
w estern

B anker.

“ I congratulate you on the thought in­
spiring influence of your editorials.”
W. 0. Seed, 122 North
Orange Grove Avenue, Pasa­
dena 2, California

t

53rd Year

•

No. 727

IN THIS FEBRUARY, 1948, ISSUE
EDITORIALS
A cross the Desk

from

the Publisher.......................................................... 10

FEATURE ARTICLES
D ear E ditor ........................................................................................................
F rontispage— George W ashington _____________ __________ __________
W hat Can Y our D irectors Do to Help Y our Bank Make M oney?.....
...................................................................................................M aple T. H arl
W hat Shall We Do A bout Livestock Loans?—
N orthwestern Banker Survey............................................................
News and Views o f the Banking W orld ....................... Clifford D e P u y
A bout Bankers You K now — Clive T. J a ffra y ...........................................
F irst National Bank o f Chicago Holds Correspondent Conference.
Story and P ictu res....................... ............................................................. 18,
Is a Signed Agreem ent Void When It Has Not Been Read?— Legal..

9
13
14

15
16
17
19
20

BONDS AND INVESTMENTS
Increased Investment Return Seen as Top-G rade Bond Earnings
R ise................................. ....................................... ........ Raym ond T rig g er 27

INSURANCE
Group L ife Insurance Helps Individual Sales....Edwin C. M cDonald 31

STATE BANKING NEWS
M innesota News ..........................................................................
Tw in City N ew s.........................................................................................
South Dakota N ew s............................ ...... ......... ...... .................................. .
Sioux Falls N ew s.........................
North Dakota N ew s............................................................................
Nebraska News ............................. ..................... .................................... .........
Omaha News ........................
Lincoln Locals .................. ....... ........ .............................. ........... ........ .
Iow a News ...................... .......... ......... ........ ................. .......... ....... ...... ...........
Des M oines N ew s.... ...... .............. .......... .............................................. .
Sioux City N ew s..... ............... ....... ............................... ......... ..................
Conventions ....................

35
37
41
41

43
45
47
49
53
60
62
64

IN THE DIRECTORS' ROOM
"One of the Finest"
“ The N o r t h w e s t e r n B a n k e r is one of
the finest of the many banking publications
which I see in the course o f a year.”
C. A. Hemminger, Assistant
Cashier. American National
Hank <$• Trust Co., Chicago,
III.

"Are Bankers Afraid?"
“ Bankers are casting reflections on their
ability to operate banks due to the fact
that the public cannot understand why one
bank charges a service charge for services
and another bank in the same area does not.
Are bankers afraid of the public?

(Turn to page 64, please)

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Federal Reserve Bank of St. Louis

Short Stories to Start the D ay R igh t.......................................................... 66
NORTHWESTERN BANKER
527 Seventh St., Des Moines 9, Iowa, Telephone 4-8163
CLIFFORD DE PUY
RALPH W. MOORHEAD
Publisher
Associate Publisher
HENRY H. HAYNES
BEN J. HALLER, JR.
MALCOLM K. FREELAND
Editor
Associate Editor
Associate Editor
ELIZABETH COLE
HAZEL C. HADLEY
SADIE E. WAY
Advertising Assistant
Auditor
Circulation Department
PAUL W. SHOOLL
JOSEPH W. FRANKS
Field Representative
Field Representative
NEW YORK OFFICE
Frank P. Syms, Vice President, 505 Fifth Ave., Suite 1806
MUrray Hill 2-0326

DE PUY PUBLICATIONS: Northwestern Banker, Underwriters Review,
Des Moines Insurance Directory, Iowa-Nebraska Bank Directory.
N o r t h w e s t e r n B anke r, F e b r u a r y , 1948

10

Across the Desk
From the Publisher
CbsLcüi Q o h n K .

W

x

J

ís u l

:

Presiden t, Continental Bank and T ru st Com pany o f N ew
Y ork

In these days when there is so much talk about
how to slow down inflation and get our country
back on a sound economy, the N orthwestern
B anker was very interested in reading your state­
ment presented at the annual meeting of your
stockholders in which you said:
“ The nation’s production machine is geared
for an output of unprecedented proportions in
1948. To operate this machine at capacity will
require adequate labor, raw materials, and credit.
The problem of producing on such a vast scale
without creating further inflation constitutes a
challenge to government, industry, and labor, but
the objective can be accomplished if it is ap­
proached with courage, wisdom, and a real sense
of responsibility by all concerned for the welfare
of the country as a whole. Sound measures to
combat a temporary inflationary trend are de­
sirable, but hasty, experimental action, based on
untried economic theories, could aggravate the
present problem, or even produce a severe re­
action in the form of a deflationary movement.
“ The nation’s commercial banking’ system is
as anxious as any other group to see a stable and
healthy economy. But any attempt to restrict its
ability to provide ample credit for sound, producN o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

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Federal Reserve Bank of St. Louis

tive purposes would be completely ineffectual in
checking inflation, especially while government
lending’, direct and indirect, continues, and as long
as the government retains and attempts to acquire
additional broad powers over our economy. In fact,
such action might paralyze our production ma­
chine, and its cumulative effects could set in mo­
tion a disastrous, deflationary trend.
“ Natural economic forces (continued high pro­
duction, fair prices, and cooperation between
capital and labor) could stabilize the post-war
period, but only if government adopts a sound and
conservative fiscal policy, free from inconsisten­
cies and confusion as to objectives.”
We heartily endorse your statement, Mr. Mc­
Kee, when you emphasize that any attempt to
prevent banks from providing ample credit for
sound and “ productive purposes,” would be in­
effectual especially in checking inflation while
government lending both “ direct and indirect”
continues.
Every banker and businessman knows that dur­
ing the last 12 to 15 years the government has
been the greatest competitor of the banking busi­
ness in the United States, yet at the same time,
it expects the banks to carry the real load of
government financing.
What is needed today more than ever before,
is sound thinking and sound business practices
on the part of our own government, so that we
can keep business on a sound and even keel.

(D qjcUl , V Y l. $ . S ^ ijm c ia L :
M em ber F ed era l R eserv e B oard o f G overnors

Since the policies as suggested by the Board of
Governors of the Federal Reserve System have a
very direct bearing on the financial institutions
of the United States, we read with a great deal of
interest your discussion of “ Our Monetary and
Credit Problems Today” in which you discussed
some of the problems facing the Board regarding
inflation.
There were two things about your speech which
we noted with considerable interest, (1), that the
public debt was one of the major factors in the
present inflation, and (2), that you were not sug­
gesting that the Board keep reaching out for
more power and more controls.
Since the recent drop in government bonds,
and your pegging at 2% per cent, of the long
term government securities, bankers have been
asking what of the future as it relates to their
own government portfolios.
In discussing the government’s position as a
borrower, you said “ The Government is no longer
merely another borrower in the market. It is by
far the largest borrower. The Federal debt ac­

11
counts for nearly three-fifths of the entire in­
debtedness of the country, and interest on the
debt is a major item in the Federal budget,
amounting to more than 5 billion dollars a year.
In this situation, special arrangements have had
to he made for selling and managing the public
debt. The Treasury and the Federal Reserve
work closely together in issuing, retiring, and
refunding the debt, This greatly increased im­
portance of the public debt is one of the major
factors in the present inflation.
‘ ‘ Reserves are the heart of commercial banking,
and control over commercial bank credit has tra­
ditionally been exercised by control of these re­
serves. Three techniques have been used to exer­
cise this control: (1) varying the discount rate,
or the rate of interest at which member commer­
cial banks may borrow from the Reserve Banks :
(2) open market operations; or the buying and
selling of Government securities by the Reserve
System: and (3) varying the level of reserve re­
quirements, that is, the amounts which member
banks deposit with Federal Reserve Banks as
legally required reserves.
It is our belief, Mr. Szymczak, that the banks
of the United States now have enough Govern­
ment controls and regulations and that they do
not need any more from Washington or the Fed­
eral Reserve Board, although your “ demoted”
friend Marriner Eccles seems to think otherwise.
It is our National debt and not increased bank
loans which are causing inflation and we are sure
that the banks of the United States can be counted
upon to continue on the conservative side in
handling any of their local credit situations.
In the meantime, Mr. Szymczak, you might sug­
gest to H. T. in the White House that he cut 5
billion dollars off our Government expenses and
that would really help to stop further inflation.

C d su vt, (ü

íU m m l

7 1 . ¿n A jU w n L :

President of the Irving Trust Company, New York

In the last few weeks we have been reading
many annual reports of the financial institutions
of the United States, and it occurred to the
N orthwestern B anker that the charts which you
presented in your report showing how your “ dol­
lar income” was derived and also indicating how
your expenses were divided were very interesting­
ly and graphically portrayed.
It is the belief of the N orthwestern B anker
that the more attractive and simplified bank state­
ments can be made, the better it will be for the
banks, for their customers, their stockholders and
the general public.
Perhaps the time will come when the labor union

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Federal Reserve Bank of St. Louis

organizations of America will issue financial state­
ments so that the public can know as well, what
goes on “ behind the scenes” of their organiza­
tions, as they now know about banks and other
business corporations.
We have reproduced the chart showing “ your
income dollar” and how it is divided and as you
point out in your report: “ The chart shows that
out of every dollar of income received, 44c was
derived from Interest and Dividends on Securities,
35c from Interest on Loans, 20c from Fiduciary
Fees, Commissions and Other Income, and only a
WHERE THE INCOME DOLLAR CAME FROM

H O W THE INCOME DOLLAR W A S USED
Salaries and
Wages

Dividends

negligible amount from Net Securities profits, Re­
coveries and Miscellaneous Credits. The chart
also shows that out of every dollar of income re­
ceived, 35c was paid in Salaries and Wages, 19c
for Other Operating Expenses, 9c for Taxes, 4c
for Deposit Insurance, 4c was transferred to Re­
serves, 9c was added to Undivided Profits, and 20c
was paid in Dividends to stockholders for the use
of their capital. ’ ’
With deposits of over $1,072,000,000, an operat­
ing income of $19,660,000, operating expenses of
$13,355,000, and operating profits of $6,305,000 for
1947, we want, to congratulate you on this show­
ing, Mr. Enstrom, and especially on the simplified
manner in wrhich you have presented your figures.

N o r t h w e s t e r n B a n ke r, F e b r u a r y , Ì 948

12

A Complete Correspondent Service
Rendered in an Efficient and Friendly Manner

CENTRAL NATIONAL BAN
SB w Bi

B

BBL

own

B TB A^BI B

B

B Bi A^BI BB

B r

BB

and Trust Company • Des Moines
Member

Federal

N o r t h w e s t e r n B a n ke r, F e b r u a r y , J 948


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Federal Reserve Bank of St. Louis

it I n s u r a n c e C o r p o r a t i o n


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Federal Reserve Bank of St. Louis

13

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

14

W h at Can Your H irectors Ho to
H elp Your Hank M a k e M o n e y ?
What Directors Should Do to
Operate a Sound Institution
By MAPLE T. HARL, Chairman
Federal Deposit Insurance Corporation
Washington, D. C.
HAVE no desire to list a detailed
recital of the law with respect to
the duties and responsibilities of a
bank director.
I cannot urge too
strongly, however, that you become
familiar with the laws applicable to
your bank.
I am more concerned with the posi­
tive, than with the negative, aspects
of the director’s responsibilities. A di­
rector is not chosen because the stock­
holders believe he will observe the
law and avoid breaking it, but be­
cause they believe he will make a posi­
tive contribution to the welfare of the
bank, its stockholders and depositors,
and will enable it to serve the com­
munity more adequately.
He should be a man with broad ex­
perience, s o u n d judgment, mental
alertness, a judicial temperament,
staunch integrity, and a keen interest
in the public welfare. If he has all
these qualities, and if he, then, in the
best sense of the words, lives up to
those qualities which caused his selec­
tion as a director by his fellow stock­
holders, then it must follow, as the
night follows the day, that he will per­
form his legal and his moral responsi­
bilities completely.

I

Responsibilities
Let us examine a few of his respon­
sibilities more specifically.
1. It is his duty to direct the affairs
Digitized forNFRASER
o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

of the bank, for the directors are the
bank. Even though they meet only
periodically, and even though they
serve only on a part-time basis, they
are the continuing representatives of
the stockholders, responsible to the
stockholders, to the depositors, and to
the general public for the proper ful­
fillment of banking functions in the
community.
2. Since the directors perform their
functions on a part-time basis, one of
their most important duties consists of
the selection of full-time executive
officers and employes, and the estab­
lishment of sound personnel policies.
It is no mere routine that the stock­
holders meet annually to elect the
directors and that the directors there­
after choose the officers and employes.
It has often been said that banks do
not fail, that it is the bankers who
fail. We can go further and say that

A b a nk d i r e c t o r sh o uld —
7. D i r e c t a f f a i r s o f th e bank.
2. S e l e c t p e r s o n n e l c a r e f u l l y .
3. C a r r y a d e q u a t e fi d e lit y c o v e r ­
a g e.
4. P r o v i d e s p e c i a l i z e d tr a in in g .
5. M a in ta in sound o p e r a t i n g p r in ­
c ip le s .
6. E s ta b lis h loan and in v e s tm e n t
p o lic i e s .
7. S u p p l y sufficient lo c a l financing.
8. P r o v i d e c i v i c l e a d e r s h i p .

when a banker fails, that failure is
usually the moral, if not the legal, re­
sponsibility of the directors.
When a banker fails, the directors
have usually selected personnel un­
wisely, established an inadequate per­
sonnel policy, or have not acquainted
themselves with the condition and
operation of the bank.

Carry Fidelity Bond
3. Then, since your selection may
not be perfect, carry adequate fidelity
coverage. Practically every b a n k
which the corporation has been com­
pelled to aid financially in recent years
had suffered a shortage as a result of
an employe’s or officer’s act. In prac­
tically all of these instances, the fidel­
ity insurance carried by the bank was
inadequate. As you know, the Fed­
eral deposit insurance Taw confers
upon our corporation the power to re­
quire individual banks to secure ade­
quate coverage. As you can imagine,
this is a power which we do not wish
to be compelled to exercise. However,
we do urge you most strongly to carry
adequate fidelity bonds in order to
minimize the effect of errors in the
selection of personnel. The “fair”
coverage recommended in the sched­
ules of the American Bankers Asso­
ciation constitutes a desirable mini­
mum in most banks.
(Turn to page 17, please)

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A View Down the Cattle Alleys of the Union Stock Yards, Chicago

IV/im / Shall W e Ho
A b o u t liv e s to c k L oa n s’/
Bankers in Large Marketing Centers Give Their
Views on Loans as Related to Present High Prices
A NORTHWESTERN BANKER
SURVEY
ITH cattle prices hitting the mid­
dle and high twenties in the
major marketing centers, bankers
the Middlewest who make feeder
loans, and that includes almost all the
bankers in the smaller towns and
. cities, are wondering what the future
holds for livestock prices, and won­
dering how far they can go safely in
financing the feeding operations of
the farmers in their communities.
In an effort to bring to our readers
an answer to the livestock loaning
question, we have asked a number of
bankers in the larger marketing cities
to give us their opinion on the subject,
and they have responded with inter­
esting and helpful information. Their
answers might be summed up in the
statement that about all anyone in the
banking business can do today in
servicing their farmer borrowers is to
use his judgment in making livestock
loans, and require the proper margins,
and not try to look too far into the

W


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Federal Reserve Bank of St. Louis

future. Follow the price and economic
trends closely, and conduct the bank­
ing
in business accordingly.
Here is what bankers in marketing
centers say:
I. E. Bennett, vice president, Live
Stock National Bank, Chicago:

“ The inquiry as to what should be
our attitude toward financing livestock
feeding at present unprecedented cost
levels for feeder stock and grain is a
natural and pertinent one. Are live­
stock prices, which have already far
exceeded anything that seemed prob­
able a year ago, now at the peak and
about to start down the hill, or is
there another ascent ahead before they
cross the great divide? We have wit­
nessed the recent rather disturbing
setback in middle grades of fat cattle,
many of which came to market at a
loss to the feeder. Is this only a tem­
porary fluctuation or does it mark the
beginning of a downward trend?

“Events now in the making hold the
answer to these questions. What is
done about aid to war stricken coun­
tries and political and labor develop­
ments on the domestic scene will have
a direct bearing, as will also the out­
come of this year’s crops both at home
and abroad—all factors that cannot be
known positively at this time. Grain
prices and livestock prices are closely
tied together, and a major factor in
advancing livestock prices has been
the rapidly advancing grain markets
during the past year.
“From a supply and demand stand­
point, the livestock industry appears
on a sound basis. Numbers are down
substantially compared to the human
population, meat is more popular than
ever before in our diet, and the tend­
ency to market at light weights has
reduced the pounds of finished product
per animal. There is indeed little in
the picture to indicate that the sup(Turn to page 32, please)
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948.

i

16

News und Views
OF THE BANKING WORLD
By CLIFFORD DE

J

OHN C. WRIGHT, president of the

La Salle National Bank of Chicago,
has announced that their bank has
voted to increase the bank’s capital
from $600,000 to $1,500,000 through is­
suing 18,000 shares of $50 par stock in
addition to the 12,000 shares now out­
standing.
The World Bank operations were
on the black side for the first time dur­
ing the final quarter of 1947.
Income exceeded expenses and “set
aside” for a special reserve fund by
$1,317,610, which was enough of a net
to wipe out the previous quarter
deficit.
The bank statement for the final
quarter of 1947 showed income of
$4,513,694 from charges on the $497,000,000 in loans it has granted.
Total subscriptions to the bank by
member countries now amount to
$8,263,100,000.

If we think we are having higher
prices in this country—and we are—
than we had a few years ago, we are
still pretty well down the list com­
pared with other countries as indi­
cated by the “Price Increases since
1939” or 9 years ago, and which an
economist has recently pointed out are
as follows:
China .
Italy
France
Finland
Turkey

8,900%
5,090
760
550
315

Mexico
U. S. ...
Canada
Australia

138%
104
66
47

Since spring is not too far off, we
hope, we were interested in reading
a story by Bennett Cerf in the Satur­
day Review of Literature telling about
one of the most famous golf shots he
ever saw. “The greatest golf shot I
ever saw was made by Publisher Al­
fred Knopf at the Hollywood course in
Deal. Knopf’s ball was buried in the
side of a ditch near the 14th green.
He elected to play it. The mud fell
in all directions, the ball fell in the
cup, and Mr. Knopf fell in the ditch.”
Julian B. Baird, president of the
First National Bank in St. Paul, re­
ports net operating earnings after Fed­
eral and State taxes of $1,431,683 in
1947 as against $1,350,264 in the pre­
vious year.
The 1947 earnings were equal to
6.83 per cent on the average capital
N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948

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Federal Reserve Bank of St. Louis

PUY, P u b lish er

funds employed during the year and
equal to 47 cents on each $100 of re­
sources employed.
“Dividends were paid in the amount
of $720,000,” Mr. Baird reports, “or at
a rate of 12 per cent on the Capital
Stock and equal to 3.4 per cent on the
a v e r a g e stockholders’ investment
amounting to $20,963,000. The bank
has maintained an uninterrupted divi­
dend record for 83 years.

stock banks in the middlewest and isheaded by a group of men who know
the live stock business from begin­
ning to end. It is a member of the
First National group at St. Joseph and
officers include George E. Porter,
chairman: Joseph A. Greenfield, presi­
dent; Thos. J. McCullough, vice presi­
dent; M. E. Blanchard, cashier; E. J.
Komer, assistant cashier; and H. H,
Broadhead, Jr., assistant cashier.
March 4th is the anniversary day.
Frank E. King, president of the
California Bank of Los Angeles, re­
ported net current operating earnings
of $1,510,000 for 1947 as compared with
$1,204,000 for the previous year.
Deposits at the end of 1947 were
$452,165,443, a gain of $9,803,000 over
the previous year.
Capital stock, surplus and undivided
profits now total $17,203,000.
Maxwell Carlson has been elected
president of the National Bank of
Commerce in Seattle at the age of 42.
Mr. Carlson is one of the youngest
men in the United States to be presi­
dent of a $350,000,000 institution.

JU L IA N B. BAIRD
“ High level of business activity in 1947”

“Loans and discounts reached the
record total of $102,537,200 at the year
end, an increase of $20,000,000 over
the previous year end. This increase
reflects the high level of business ac­
tivity in our trade area and notably
the large volume of grain and other
agricultural products moving to mar­
ket at high prices.
“The bond account is carried on the
year-end statement at $125,917,692, of
which $116,426,976, or 92 per cent is
in U. S. Government obligations. Of
the Government obligations, 86 per
cent matures, or has an optional date,
within 5 years.
“After making provisions for appro­
priate reserves, $253,629 was added to
undivided profits for the year, which
made the total capital structure of the
bank $21,035,390 as of December 31,
1947.”
The First St. Joseph Stock Yards
Bank of South St. Joseph, Missouri,
is this year celebrating its fiftieth
anniversary.
This is one of the outstanding live

Willis E. Morgan, formerly assist­
ant sales manager of the Burroughs
Adding Machine Company, of Detroit,
has been named sales manager suc­
ceeding Ray R. Eppert who was made
vice president in charge of marketing.
Thomas B. McCabe, former Chair­
man of the Philadelphia Reserve Bank
will be the new Chairman of the Fed­
eral Reserve Board of Governors to
take the place of Marriner S. Eccles
who has been chairman since 1935.
Mr. Eccles will remain as vice chair­
man although his “demotion” is quite
a blow to his prestige.
Many bankers have felt that Mr.
Eccles was too much of a New Dealer
both in his political and economic
ideas and are glad to see him “reduced
in rank.”
Mr. McCabe served during the war
as an assistant to the Secretary of
State and as an Army-Navy liquidat­
ing commissioner.
In 1916 he joined the Scott Paper
Company of Chester, Pennsylvania, as
a salesman and 11 years later became
its president.
Mr. Eccles’ “demotion” also indi­
cated a victory for Secretary of the
(Turn to page 65, please)

17

A b o u t H auliers You K n ow

HOW YOUR DIRECTORS CAN
HELP YOUR BANK
(Continued from page 14)
When you have selected your offi­
cers and employes well, urge them to
equip themselves for advancement
through specialized training. There
are excellent facilities a v a i l a b l e
through the American Institute of
Banking, the ABA-sponsored Graduate
School of Banking at Rutgers, the
Central States School of Banking at
the University of Wisconsin, and the
Pacific Northwest School of Banking
at the University of Washington.
5. If the part-time directors of the
bank are really to direct its affairs,
they must be acquainted with them
sufficiently to establish and maintain
sound policies and principles of opera­
tion. There are two recognized meth­
ods of accomplishing this, both of
which are essential:
A. A continuing control over the
chief function of any bank, namely
the loan and investment function; and,
B. A periodic review of accomplish­
ment to determine whether estab­
lished policies have been followed, and
whether they are effective.
Let us consider the latter first. It
is obvious that a director cannot know
how the bank is functioning unless he
attends meetings of the board of di­
rectors regularly.
A bank which elects a director who
does not actively participate, but mere­
ly lends his name for so-called “pres­
tige” purposes, is making a serious
mistake. A director, who permits his
election in such a manner and feels
that he is making a contribution to
the bank, may have a rude awaken­
ing. For such action he cannot
evade or avoid his other responsibili­
ties. Instead, by continued failure to
attend board meetings, he runs the
risk of a suit for damages resulting
from his negligence.
4.

Periodic Audits
We should recognize the natural
tendency of directors to rely in ex­
aminations upon the directors who are
full-time officers of the bank. To avoid
the hazards inherent in such a proce­
dure and to complement the qualifi­
cations of the directors, I recommend
most strongly that the board also have
a recognized outside certified public
accountant prepare an audit periodi­
cally. With the detail work thus com­
pleted, the board can devote its limited
time to a study of the results of the
examination, to a consideration of its
recommendations, and to a determi­
nation of appropriate courses of action.
The reports of examination made by
your department of banking and by
(Turn to page 28, please)

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Federal Reserve Bank of St. Louis

CLIVE T. J A F F R A Y
Chairman of the Board, First Bank Stock Corporation, Minneapolis
‘ ‘ An active banker at 82”

NE ol the most outstanding careers of modern banking was started inauspiciously 67 years ago when Clive T. .) affray began his apprentice­
ship at the age of 15 with the Merchants Bank of Canada. Mr. Jaffray is
better known today as chairman of the board of First Bank Stock Corporation
in Minneapolis, a director for over 50 years ol the First National Bank in that
city and one of the most enthusiastic sportsmen in the country. At the age
of 82 years lie still reports to his office in the bank at 8 a. m. each morning
for a full business schedule. The First National Bank, of which he was presi­
dent for seven years, has just completed another successful year, with de­
posits of $372,735,406.

O

Clive Jaffray was born in Berlin, now Kitchener, Ontario, on July 1, 1865.
In 1887 he left the Merchants Bank of Canada to join the Northwestern
National Bank of Minneapolis. Eight years later he resigned his assistant
cashier’s position there to become cashier of the First National. Deposits of
the latter hank at that time were $2,393,000. He became a member of the
board in 1898. Mr. Jaffray then was elected vice president in 1905 and
succeeded to the presidency in 1917. Seven years later he resigned this posi­
tion to become president of the Minneapolis, St. Paul and Sault Ste. Marie
Railway. He retained his directorship on the First National board, however,
and last month was honored at a dinner on completion of his 50th year of
service to the hoard of directors.
In 1929 the First Bank Stock Corporation was organized with Mr. Jaffray

(Turn to page 64, please)
Northwestern B a n ke r, F e b r u a r y , 1948

18

Bentley G. McCloud, president o f the First National Bank o f
Chicago, visits with General Robert E. Wood (righ t), chairman
o f the board o f Sears, Roebuck & Company, and a director of
the First National Bank. General W ood was the Conferencedinner speaker.

W . T. Payne (le ft) cashier o f the State Bank of Herscher,
Illinois, talks to John J. Anton (center), and Thomas J. Nugent,
both vice presidents o f the First National Bank of Chicago,
and both officers in the banks and bankers division.

First N ational Bank o f Chicago
B old s C orrespondent Conference
450 Bankers from 32 States in Attendance
ORE than 450 bankers from 32
states came to Chicago last
month to attend a conference
of bank correspondents by the First
National Bank of Chicago. As indi­
cated on the large map of the United
States, which was part of a display
arranged by the First National, bank­
ers attended from Rhode Island to
California, and from Florida to Idaho.
Among the larger groups listed by
states were the following: Iowa, 95;
Indiana, 92; Michigan, 43; Illinois, 39;
Wisconsin, 34; Minnesota, 31; Nebras­
ka, 19; North Dakota, two; and South
Dakota, two. The conference was one
of the largest meetings ever organized

M

by a metropolitan bank to develop an
even closer personal relationship with
its correspondent banks, and to render
them a constructive service by a prac­
tical discussion of mutual problems.
To attend the four panel discussions
of banking problems, the bankers were
divided into four groups for the day
and one-half period of meetings. Each
group met in the same room, with the
speakers moving from group to group.
All discussions were led by officers
of the various departments of the First
National Bank.
The panel discussion on Federal In­
come Taxes was led by Charles Z.
Meyer, comptroller, and Forrest G.

Paddock, assistant comptroller. Aus­
tin Jenner, vice president, and Lewis
Miller, assistant vice president, led the
panel on Government and Municipal
Securities.
Internal Bank Operations panel was
led by C. Edgar Johnson, vice presi­
dent; C. Edward Dahlin, attorney;
Howard S. Alsip, assistant cashier, and
Alfred Langenbach, assistant cashier.
The panel on Foreign Banking Trans­
actions and Safe Deposit Operations
was headed by Harry Salinger, vice
president; C. Edward Dahlin, attorney;
R. Kenneth Newhall, assistant cashier;
Guy A. Crum, assistant cashier, and
(Turn to page 42, please)

At the left, below, is a group of Minnesota bankers who attended the Conference o f Bank Correspondents; at the right, the
First National Bank Choral Club, an organization of 90 voices.


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

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L eft to right— R. L. Stout, president First National Bank,
Tekamah, Nebraska; E. W . Lyman, vice president United States
National Bank, Omaha; and T. H. Wake, president Jones Na­
tional Bank, Seward, Nebraska.

L eft to Light— E. D. Saltzman, president First National Bank,
Bismarck, North Dakota; LeRoy Abbott, viee president Guardian
State Bank, Alliance, Nebraska; and Fred R. Orth, president
First National Bank, Grand Forks, North Dakota.

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L eft to right— A . F. Agena, cashier State Savings Bank,
Baxter, Iow a; P. G. Folvag, cashier Benton County Savings
Bank, Norway, Iow a; A. J. Bird, cashier Citizens State Bank,
Belle Plaine, Iow a; and Verne Bartling, assistant vice president
First National Bank, Chicago.

L eft to right— Douglas G. Swale, viee president First National
Bank, Mason City; M. A. Arneson, president Clear Lake Bank
& Trust Co., Clear Lake, Iow a; and J. F. Kennedy, president
First National Bank, New Hampton, Iowa.


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Federal Reserve Bank of St. Louis

n

-Left to right— V. H. Reid, president and cashier Security
State Bank, Hubbard, Iow a; Ernie Hultgren, First National
Bank, Chicago; H. S. Lekwa, vice president and cashier Ackley
State Bank, Ackley, Iow a; and Vic von Meding, assistant cashier
First National Bank, Chicago.

L e ft to right— E. W . Collins, viee president First and Am eri­
can National Bank, Duluth; H. F. Nichols, president First Gales­
burg National Bank, Galesburg, Illinois; A . E. Hanstedt, assist­
ant cashier Gillet State Bank, Gillet, W isconsin; Percy Smith,
president First National Bank, Rochester, Indiana; Hugh A gri­
cola, president First National Bank, Gadsden, Alabama; and
Mel H. Thies, assistant vice president First National Bank,
Chicago.

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20

LEGAL

Is A

Sif f i i e i i Agr ee Void

W hen Mt U ns A o l ISeen Etend?
Q

. As an incident to a transaction
in Iowa several years ago involving
the Home Owners Loan Corporation
a creditor of a mortgage debtor signed
an agreement to accept certain bonds
in payment of his indebtedness. Later
on he sought to assert that he had not
read the agreement and that it there­
fore was not binding on him. Should
he be sustained legally in such a con­
tention?

No. The Iowa Supreme Court in a
recent decision involving similar facts
held that a creditor who allegedly
signed an agreement with the Home
Owners Loan Corporation to accept
bonds in payment of his indebtedness
without reading or knowing the con­
tents of the agreement was guilty of
negligence and could not avoid the
effects of the agreement because of his
failure to read it. Illinois has held
similarly in a like case.

Q

. Abelson, a banker, was also an
insurance agent. He wrote a policy
for a friend of his binding his company
to pay the entire loss in the event of
the destruction of certain property.
The friend also purchased similar in­
surance from another covering the
same contingency as to the same prop­
erty. A loss occurred. Abelson’s com­
pany paid off. Could Abelson’s com­
pany recover a ratable proportion of
the amount paid by it from the other
insurance company, as a general rule
of insurance law?

Yes. It is a well-known principle of
the law of insurance that if several
insurers bind themselves to pay the
entire loss in case of the destruction
of the subject of the insurance, and
one insurer pays the whole loss, the
one so paying has a valid right against
his co-insurers for a ratable propor­
tion of the amount paid by him, be­
cause he has paid a debt which is
equally and concurrently due by the
other insurers.

Q

. Collins executed in favor of
Mapes a $5,000 negotiable promissory
note, payable, with interest, at the rate
of $1,000 per year. Mapes negotiated
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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

This and Other Timely Legal
Questions Are Answered
by the
LEGAL DEPARTMENT

the note to his bank three years later
at a time when one of the installments
was in default. At the time of the ne­
gotiation the bank knew of the de­
fault. Was the bank, at law, a holder
in due course as to the remaining
sums due under the note or any part
thereof?

No. There appears to be no dispute
under the law that one who purchases
a note payable in installments, some
of which installments have matured
but are unpaid, is not a holder in due
course as to any portion of the note,
the whole note being dishonored
where the purchaser had notice of the
default. Missouri, Minnesota, Georgia,
and the federal courts are among the
jurisdictions that have so held.

Q.

Morton was charged with a crime.
Two of his banker friends went on
his bond which was to guarantee his
appearance at the trial. Morton ab­
sconded and did not appear. One of
the bondsmen paid the amount of the
bond. Could he require the other to
pay his share of the expenditures?

Yes. The relation of cosureties on
a bail bond is the same as that be­
tween cosureties upon any other ob­
ligations. The liability is joint, and if
one discharges it he is entitled on gen­
eral principles to contribution from
the other or others. Specific decisions
to this effect exist in Minnesota and
Washington.

Q.

Bradley, a Nebraska banker, en­
tered into a deal with Schommer
whereby Bradley was to sell and
Schommer was to buy a gasoline fill­
ing station in the town in which they
lived. The matter Avas handled ver­
bally and Schommer made a doAvn pay­
ment to Bradley. Schommer did
nothing more for some time and Brad­

ley finally told him he would not go
through with the deal. The agree­
ment, since it Avas verbal, was one that
Bradley understood one way and
Schommer another. Did the fact that
the doAvn payment had been made
and accepted giAe Schommer the right
to require Bradley to deed the station
to him?

No. The agreement here involved
was void because it involved the sale
of realty and was not in writing.
Schommer could not compel Bradley
to convey to him on account of the
down payment because part payment
of the consideration of an oral con­
tract for the sale of real estate unac­
companied by other acts of part per­
formance is insufficient as a basis for
a decree of specific performance of
the contract.

Q.

A banker OAvned a building in
need of repairs. He contracted with
a builder to furnish the material and
labor to make the repairs. The build­
er commenced the repair Avork. When
the job AA’as about half completed the
building AA’as destroyed through no
fault of the builder, thus making it
impossible to complete the contract.
Could the builder, as a general rule,
recover from the banker for the rea­
sonable value of the labor performed
and materials furnished?

Yes. According to the great weight
of authority, one who contracts to
furnish labor or materials on a build­
ing in the process of construction or
repair, or to furnish or install fixtures
therein, may recover on quantum
meruit for the reasonable value of
labor performed and materials fur­
nished in partial performance of his
contract, where without the contrac­
tor’s fault the building or structure is
destroyed rendering full performance
impossible. Florida, Illinois, Minne­
sota, Mississippi, Missouri, Nebraska,
Ohio, Tennessee, Texas, and Wiscon­
sin are among the jurisdictions that
have so held.

Q.

A banker and others, who liAed
in a residential section of a Minnesota

(Turn to page 64, please)


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Federal Reserve Bank of St. Louis

21

OMAHA
NATIONAL
BANK

Member Federal Deposit
Insurance

Corporation

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

22

Announces Promotions
Manufacturers Trust Company, New
York, announces the promotion of
Edward J. Colbert and Charles J.
Pinto from assistant secretaries to
assistant vice presidents.
Edward J. Colbert became associated
with the bank in 1916 and coincident

of his duties in the bank has been to
head the division of correspondent
banks.

as a lieutenant (s.g.). When he re­
turned to the bank he was assigned to
Division B, covering the northwest
states.
Mr. Hunt, a member of the Illinois
Northwest Bancorporation
Bar,
joined the bank in July, 1934, and
J.
C. Thomson, president of North­
west Bancorporation, in Minneapolis, shortly thereafter he was made a junMinnesota, announced that the con­
solidated net income of the corporation
and affiliated institutions for 1947, aft­
er provision for charge-offs and write­
downs, amounted to $4,297,643, or $2.77
per share, compared with $4,495,528, or
$2.90 per share, in 1946.
The corporation paid in 1947 two
regular dividends of 40c per share,
plus a special dividend of 20c per
share, aggregating $1.00 per share, for
a total of $1,547,767, as compared with
80c per share, for a total of $1,238,614,
in 1946.

Northern Trust, Chicago
The board of directors of The North­
ern Trust Company, Chicago, has an­
nounced the promotion of two officers,
election of five new officers, and re­
tirement of one officer.
In the banking department two
R O B E R T E. H U N T
To Assistant Vice President

E D W A R D J. CO L BER T
Assistant Vice President

ior analyst in the comptrollers’ de­
partment. In 1936 he became associ­
ated with trust investments, and in
1939 joined Division B of the banking
department. Mr. Hunt was elected as­
sistant cashier in 1942 and is now as­
signed to Division B to cover a large
part of Iowa. In the Air Corps serv­
ice from September, 1942, to December,
1945, Mr. Hunt was discharged as a
major. He received a special citation
for meritorious service.

with his promotion has been selected
to take charge of the bank’s newest
office at Eighth Avenue and 26th
Street. With the opening of that office
on January 5th, Mr. Colbert moved
from his former location at First Ave­
nue and 74th Street where he was
officer-in-charge.

Commerce Trust, Kansas City
Election of George W. Dillon as vice
chairman of the board, Joseph C. Wil­
liams as president, and A. B. Eisen­
hower as executive vice president of
the Commerce Trust Company, Kansas
City, was announced by the board of
directors following the annual meet­
ing.
James M. Kemper, who has been
president of the bank for the past 22
years and also held the position of
chairman since 1939, will continue to
head the bank under one title, chair­
man of the board.
Joseph C. Williams, the new presi­
dent, Missouri-born, has been a vice
president of the bank since 1925. He
started with the bank in 1923 when
he became an assistant vice president,
coming to the bank with the organiza­
tion of the Continental Bank & Trust
Company, which was absorbed by
Commerce Trust at that time.
Mr. Williams, as one of the impor­
tant officers of the bank, has served
on the discount committee and the
board of directors for many years. One

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Guaranty Trust, New York

Becomes

JO H N V. HAAS
Assistant Vice President

officers were promoted and one new
appointment was made. John V. Haas
and Robert E. Hunt were promoted
from assistant cashiers to second vice
presidents, and James D. Hinchliff
was elected assistant cashier.
Mr. Haas came to the bank as a
senior audit clerk in the auditing de­
partment in February, 1935. He was
later transferred to the banking de­
partment and in 1938 he was named an
assistant cashier. Mr. Haas was on
leave from the bank from February,
1944, to December, 1945, to serve in
the United States Navy. He entered
as lieutenant (j.g.) and was discharged

The annual meeting of stockholders
of Guaranty Trust Company of New
York, held January 21st, was presided
over by J. Luther Cleveland, chairman
of the board. The following directors,
whose terms had expired, were re­
elected for a term of three years:
George G. Allen, F. W. Charske,
Charles E. Dunlap, Walter S. Frank­
lin, Lewis Gawtry, John A. Hartford,
Cornelius F. Kelley, and William L.
Kleitz.
W. Palen Conway retired as chair­
man of the executive committee, under
the company’s retirement system, aft­
er nearly 37 years of service with the
bank.
The board of directors, at their an­
nual meeting after the stockholders’
meeting, made the following official
appointments: Robert W. Stephens,
vice president, formerly second vice
president: Reidar E. Gundersen, sec-

23

ONE OF 18 REASONS WHY HAMMERMILL
SAFETY IS THE UNIFORM CHECK PAPER

'

'N l
jifa

SAFETY
MADE COMPLETE IN
ONE M IL L ...E V E R Y STEP
UNDER ONE

Typical of the eighteen exacting laboratory tests which all Hammermill
Safety must pass is the one shown above. It records whether the paper is
properly "sized " to meet Hammermill’s standards of writability.
It is one reason w hy Hammermill Safety is u n ifo r m . . . in its smooth
writing surface, protective qualities, color and strength. A note on
your bank letterhead will bring samples. Address Hammermill Paper
Com pany, 1513 East Lake Road, Erie, Pennsylvania.

UNIFIED CONTROL


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

24
ond vice president, formerly assistant
treasurer; Percy Wiesenauer, trust
officer, formerly assistant trust officer;
Robert S. Denvir, assistant trust offi­
cer, formerly assistant secretary; Al­
fred W. C. Spindler, assistant treas­
urer, formerly assistant secretary;
Frederick G. Duncan, assistant treas­
urer.

California Banks
California Bank’s, Los Angeles, Cali­
fornia, loans and discounts totaled
$97,240,473 at year end, a gain of 19
per cent over the 1946 total of $81,485,530, Frank L. King, president, an­
nounced.
With total resources of $473,835,660
as compared with $461,830,598 a year
ago, the statement reveals an all-time
high for commercial deposits, the lat­

N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948

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

ter having increased $14,000,000 to
total $279,264,417.
Capital stock, surplus and undivided
profits aggregate $17,203,000, an in­
crease during the year of $584,704, all
of which is reflected in undivided prof­
its now totaling $4,203,304. Surplus
and capital stock each remain at $6,500,000.
Final net profits for 1947 were $1,105,007, Mr. King stated.

ment was made by Walter J. Cum­
mings, chairman of the board of direc­
tors.
Mr. Birdsall’s 28 years with the bank

Continental, Chicago
Carl A. Birdsall was elected presi­
dent of the Continental Illinois Na­
tional Bank and Trust Company of
Chicago. Fie had been vice president
in charge of the banking department,
and is a director. James R. Leavell,
who retires from the presidency, will
continue as a director. This announce­

CARL A. B IR D S A L L
Now President

began in August, 1919, when he was
discharged from the Army as a captain
in the air service and entered the
employ of the Continental and Com­
mercial National Bank, a predecessor
of the present institution. He was
successively elected assistant cashier
in 1923, second vice president in 1927,
and vice president in 1930. He is a
trustee of the Equitable Life Insur­
ance Company of Iowa.

American Express
Following a meeting of the board of
directors, President Ralph T. Reed of
the American Express Company an­
nounced the election of Howard L.
Clark to vice president of the Ameri­
can Express Company, and John P.
Wagman to vice president of The
American Express Company, Inc.,
from respectively assistant vice presi­
dent and assistant treasurer.
The appointment of Albert R. Cotterill as assistant secretary of both
American Express and The American
Express Company, Inc., was an­
nounced at the same time.

Crocker First National
Five promotions among the officers
and staff and the election of one new
director of Crocker First National
Bank of San Francisco were an­
nounced following the annual meeting
of the stockholders. All other officers
and directors were re-elected.
William W. Crocker, president of
the bank, announced that Frederick

25
Crocker Whitmore has been elected to
the board of directors.
Mr. Crocker also announced the fol­
lowing promotions: Hart H. Tantau,
from assistant cashier to assistant vice
president; John C. Boyle, note depart­
ment, and F. R. Stent, new business
department, were promoted to assist­
ant cashiers. Donald B. Parker was
promoted to assistant cashier in charge
of the savings department. Lester T.
Bartman of the Oakland office of the
bank was promoted to assistant cash­
ier. William P. Bradford was ap­
pointed chief clerk.

Harry Graefe of Graefe and Com­
pany, Des Moines, was elected presi­
dent of the Iowa Investment Bankers
Association last month at the annual
business meeting in Cedar Rapids.
Other officers elected were: First vice
president, Thomas Crabbe, Thomas L.
Crabbe and Company, Cedar Rapids;
second vice president, J. H. Ruhl, vice
president, Quail & Company, Daven­
port, and secretary-treasurer (re­
elected), Sherman W. Fowler, assist­
ant vice president, Iowa-Des Moines
National Bank, Des Moines.

City National, Kansas City

Four new members of the board of
governors were elected to replace

Investment Bankers Meet

those whose terms expired this year.
They are: Ernest Kosek, Ernest Kosek and Company, Cedar Rapids; Tom
J. Landstorfer, secretary of McCrary,
Dearth and Company, Inc., Des
Moines; Carl Stutz, retiring president
of the Association and secretary of
The White-Phillips Company, Inc.,
Davenport, and Vic Becker, president
and treasurer of Becker and Cownie,
Inc., Des Moines.
It was voted to hold the annual field
day in Des Moines next September
22nd and 23rd.

First National, Chicago
Homer J. Livingston, vice president,
was elected a director of The First

The board of directors of City Na­
tional Bank and Trust Company of
Kansas City, Missouri, elected Harry
Moreland, president of Great Lakes
Pipe Line Company, and Kearney Wornall, vice president, to its membership.
George C. Kopp, vice president, was
made executive vice president of the
bank. Other promotions are: James

M A N Y M ID W E STE R N BANKERS,
WHOSE

CUSTOMERS

LIVESTOCK

TO

RECOGNIZE

THE

SHIP

CHICAGO,
GENUINE

UTILITY OF DROVERS FRIENDLY
SERVICE HERE IN THE ‘Y A R D S ’
A T THE

C E N T E R OF T H IN G S .

KEARNEY W ORNALL
Elected A Director

R. Gayler from assistant vice president
to vice president; Jack Black, John
Yonts, Ewart H. Burch and James F.
Mack from assistant cashiers to as­
sistant vice presidents; Chester L.
Brewer, Jr., Guy S. Hadsell, Emory F.
James, Jr., Jack S. Kitchen, Chas. W.
Koester and Allen Morrow from spe­
cial representatives to assistant cash­
iers.
City National increased its capital
by a 100 per cent stock dividend, this
increase taken out of its surplus ac­
count. This makes the invested capi­
tal structure $2,000,000 capital, $3,000,000 surplus, and $1,300,000 undivided
profits.

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

Members, Federal Deposit Insurance Corporation

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

26
National Bank of Chicago at the an­
nual meeting of the stockholders of
the bank. All present members of the
board were re-elected.
At a meeting of the directors, Ver­
non C. Bartels and Harold W. Lewis,
formerly assistant vice presidents,
were elected vice presidents.
The following new officers were
elected: William E. Ebben, Marion C.
English, John S. Gleason, Jr., Milton
C. Haase, Robert H. Hagey, Henry P.
Isham, Jr., Robert P. Keeth, Nelson
L. Kramer, Frederic E. Lee, and Vic­
tor C. Von Meding, assistant cashiers
in the commercial department: Henry
O. Koeneman, assistant cashier in
the savings department; William E.
Swiney, assistant trust officer; William

H a n k s

a n d

G. Schmus, Chauncey M. Weaver, and
John J. Winterhalter, assistant secre­
taries in the trust department; Ralph
J. Mohan, assistant attorney in the
law department, and H. John Wegener,
assistant cashier in the operating and
personnel department.

Adds to Official Staff

to help in solving any problem arising
in field warehousing.
Mr. Wubben started with St. Paul
Terminal Warehouse Company in 1923
and was the first employe in its field
warehouse division. Since that time
the company has become one of the
largest operators of field warehouses
in the midwest and its receipts are

H. G. McNeely, president of the St.
Paul Terminal Warehouse Company,
has announced the appointment of L.
H. Wubben as operations manager of
the Field Warehouse Division of this
company. Mr. Wubben has had twen­
ty-four years of experience in field
warehousing, and his host of friends
throughout the midwest will be glad
to know his services will be available

I t a n k e r s will find this

institution especially well equipped to handle
their Chicago accounts. Our com plete facilities
are at the disposal o f all in need o f this service.

City National B ank
AND T IIU S T C O M P A N Y o / C h ic a g o
2 08

SOUTH

LASALLE

STREET

(M E M B E R F E D E R A L D E P O S IT IN S U R A N C E C O R P .)

L. H. W U B B E N
Named Operations Manager

held as collateral by banks throughout
the country. Mr. Wubben will be lo­
cated in the St. Paul office.

Bankers Trust, New York
Joseph V. Sauter, formerly trust of­
ficer of Bankers Trust Company, has
been elected an assistant vice presi­
dent by the board of directors, it was
announced by S. Sloan Colt, president.
He has been with the bank since 1931.

Inventory Loans
Secured by Our Warehouse Receipts
Are Prime Collateral
Consultation service without obligation.
Address inquiries to our nearest office.

ST. PAUL TERMINAL WAREHOUSE CO.
ST. PAUL, MINNESOTA

Experienced and Responsible Operators of Field Warehouses
IO W A OFFICE
515 Iowa-Des Moines National Bank Bldg.
Des Moines — Tel. 2-1208
T. C. Cannon, District Mgr.
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

OTHER OFFICES
St. Paul — Minneapolis
Milwaukee — Chicago
Indianapolis — Detroit

27

INVESTMENTS

In crea sed In vestm en t R etu rn Seen
A s Top-G rade R ond Earnings R ise
Prudent Portfolio Management and Higher
Interest Rates Will Mean Larger Rewards in 1948
By RAYMOND TRIGGER
Investment Analyst
New York City
bonds inch higher. Nonetheless, the
outlook is not particularly cheerful for
the careless or indolent manager of
investment funds. Markets in 1948 are
unlikely to cover up investment mis­
takes any more than they did, save
for brief periods, in 1947. The re­
wards this year will go to the careful
and prudent buyers. But there is
some comfort to be extracted from
the fact that those rewards will, in
all likelihood, be a little larger.
During the course of 1948 potential
investors should have an interesting
variety and a large volume of new is­
sues placed before them for considera­
tion. The best grade issues of indus­
wages as presently owned obligations trials and utilities may not be offered
mature.
at really inviting prices because the
The country’s 15,000 commercial issuers know they enjoy excellent
bankers may be relied upon to keep credit and can usually find some way
their heads despite various warnings to raise money without resorting to
and threats that may emanate from higli-coupon, long-term bonds. They
Washington. Wise and prudent lead­ may even raise some equity money, as
ership exists and it will make itself indeed they should, if the business
increasingly heard. One of the results boom persists and some intelligent tax
will be an even more careful screen­ revision comes out of Washington. If
ing of applications for commercial so, of course, pressure on the highloans. Higher interest rates make it grade bond market will be correspond­
all the more likely that the total vol­ ingly lightened.
Rediscount Rate
Quality Still Best
In passing, the rediscount rate is of ume of such advances by commercial
There is, however, no substitute for
only academic interest to most com­ banks will be held to entirely defen­
mercial bankers because the country’s sible limits since moderately larger quality and 1948 would appear to be
banks are borrowing so little from earnings can be attained without one of the least likely-looking years in
which to abandon the axiom. If a suf­
the Reserve Banks. What is impor­ sharply expanding loans.
ficient amount of high-grades come on
Two-fold Importance
tant, though, is the mounting total of
the
market at reasonably inviting
The
significance
of
a
rising
trend
straws all blowing in the same direc­
tion. On balance, the country’s lead­ in interest rates to the managers of yields, well and good; but if they do
ing bankers found reason to welcome banks’ investment portfolios is two­ not there is still no warrant to down­
the rising trend of interest rates. fold. They cannot look for any wind­ grade the portfolio.
Happily, 1948 promises to see an­
Some expressed the hope that moder­ falls from security profits this year,
ately larger earnings might be secured but they can hope to gradually lift other spate of tax-exempts, some of
from operations in 1948. It seems en­ the average return on portfolio hold­ which may be of prime quality and
tirely reasonable, particularly in the ings as they reinvest the proceeds of priced at levels to interest even those
who do not need any great amount of
case of banks which have rigidly ad­ maturing obligations.
At the same time, the case for stick­ tax shelter. After all, the voters in
hered to the policy of maintaining a
portfolio of relatively short govern­ ing to ultra-conservative policies will many states have ordered that bonuses
ments. These bankers will be able to strengthen as the earnings provided be paid and all the financial officers
put their funds back at work at better by good, high-grade and top-grade of those states can do is to go to mar-

EAR-END surveys and forecasts
by the heads of most of the coun­
try’s largest banks have been re­
ported in the newspapers. They were
generally much alike, of course, be­
cause the conditions faced by bankers
are much the same in all parts of the
■country. Expenses rose in 1947 and
earning power could not be stepped
up quite as rapidly. Toward the end
of the year though, the Washington
authorities relaxed somewhat and in­
terest rates did stiffen.
It is worth reminding the younger
generation of bankers that the slight
rise in interest of recent months still
leaves rates historically low. Artifi­
cial controls have been in use for so
long that infinitesimal rates could
■come to be taken as normal until one
looks back over a few decades. For
example, a rise in the rediscount rate
from 1 to 114 per cent appears unim­
portant when one recalls rates of 65
per cent in extreme cases some 20-odd
years back and call money rates as
high as 365 per cent for short periods
•earlier in the century.

y


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Federal Reserve Bank of St. Louis

This is a discussion of factors
affecting your investment port­
folio. If you have any questions,
er if you find yourself in dis­
agreement with comments here­
in, your letters, addressed to the
NORTHWESTERN BANKER, will
be welcome and will be answered
here if the subject matter is of
general interest. Under no cir­
cumstances will the editor of this
column discuss specific securities.

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

28

Investments

ket and buy the money at whatever
rates prevail. In another sector, rath­
er inactive during and since the war,
there may be some sound omissions.
The ordinary obligations of most rail­
roads are not in high esteem among
conservative investors, but rail equip-

D ie b o ld
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T

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Canton 2, Ohio

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ond ST. PAUL

ment certificates have lost none of
their particular appeal to commercial
bankers. The facts are that at the
close of 1947 more than 70 per cent of
freight cars and more than 87 per cent
of passenger cars in service on the
roads were more than 15 years old.
More than 58 per cent of the locomo­
tives were more than 25 years old. No
great amount of imagination is re­
quired to forecast several hundred mil­
lions of new rail equipment financing
in 1948.
A market development that has left
observers entirely bewildered has been
the continued decline in the price of
the World Bank’s 10-year 214 s and 25year 3s into the low 90s. Yields at
these levels are extremely liberal and
the price of the 3s, for example, com­
pares with transactions at 103 and the
initial offering price of 100 a few
months ago.
The total of the Bank’s two issues
is only $250,000,000 and the Bank is
believed to have around $500,000,000
in U. S. dollars on hand. The Bank
started with around 725 millions, bor­
rowed 250 millions more and has lent
in the neighborhood of 500 millions.
It has staggering “applications” for
loans on file and is considering their
merits, but the realities of the situa-

r

\

LOTS OF LITTLE O RDERS
Even tho the trend in printing, as in
other fields, has been toward bigger
mechanical equipment and larger units
o f sale, DeLuxe for years has focused
on small, fast machines so as to be in
position to produce lots o f little
orders.
Last year we made checks for 9,756
banks and the total billing to some
o f them was so small that many print­
ers would feel it hardly worth record­
ing. Nothing tickles us more, how­
ever, than to make out a nice new
sales card for a bank we never sold
before and record thereon $1.35, or
$2.90, or perhaps even as much as
$4.50.
It is harder to build a business made
up o f tiny units, but it is a nice busi­
ness when it finally gets rolling. To

keep it rolling you have to maintain
a dependable, service-conscious or­
ganization. So DeLuxe is dependable,
and if you should happen to have
one little order — say for 200 Per­
sonalized Checks — we’d like to have
it. Should you happen to have a hun­
dred thousand such orders, we’d like
to have them too.
W h a t we are trying to say — poorly
expressed, perhaps — is that we not
only are dependable but rather big,
in a small sort o f way, and we can
handle lots o f little orders in a fast,
accurate manner. W ith five plants, all
with the same standards o f workman­
ship, all with identical procedures, all
can meet some pretty exacting deliv­
ery deadlines.

N E W Y O R K , CLEVELAN D,

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

Cushion of Dollars
In addition to its current holdings
of U. S. dollars, the Bank has a most
important cushion upon which it could
fall back should the need ever arise.
Something more than 2.5 billions could
be “called up” from the United States
in U. S. dollars to “meet obligations
of the Bank,” along with large
amounts of other currencies. Since
the outstanding bonds are payable in
dollars, “other’ currencies wouldn’t be
particularly helpful, but the untapped
2.5 billions of U. S. dollars are ten
times the face value of presently out­
standing bonds.
Viewed realistically, the Bank isn’t
lending (caustic critics might call it
donating) any more U. S. dollars at
present for the reason, probably and
among others, that the Marshall Plan
dominates the picture. It would, pre­
sumably, resume lending should ERP
be turned down by the Congress. And
its loans might be considered pretty
poor basic assets by a prudent U. S.
banker. Even so, it’s hard to see how
the U. S. owner of the Bank’s bonds
could get hurt, paradoxical as the state­
ment sounds.
As it happens, the Bank has full
power to “support” the market for its
bonds. It hasn’t done so, but it has.
the right and certainly has ample
means, perhaps $500,000,000 in U. S.
dollars. Nor has the Bank ever said
that it would not support its bonds at
some future date. Should the Bank de­
cide to return to the U. S. money mar­
ket for additional funds, it shouldn’t
have any trouble in restoring outstand­
ing bonds to par, or even to the old
peaks of around 103 for the 3s.
Viewed from any angle, then, the
situation presents a curious paradox
and perhaps an inviting opportunity
to investors willing to look into the
unusual nature of the Bank’s obliga­
tions.
It is not within the province of this
department to advise on the invest­
ment appeal, or lack of it, of any spe­
cific bond, but it is perhaps not over­
stepping to direct attention to World
Bank bonds at current levels in the
mid 90s.—The End.

with the same type o f equipment, we

Manufacturing Plants at \


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Federal Reserve Bank of St. Louis

tion suggest that no additional impor­
tant loans are imminent.

C H IC A G O ,

K A N S A S C I T Y , ST . PAUL

HOW YOUR DIRECTORS CAN
HELP YOUR BANK
(Continued from page 17)
the appropriate Federal banking agen­
cy, also provide your board of direc­
tors with facts about your bank. An
able board of directors will wish to
read and discuss the report thorough­
ly and to take prompt and effective
action upon the examiner’s recommen­
dations.

Investments

29

6.
Let us turn now to the most posi­fields. Make every sound loan that and financial fields. You must provide
tive role of the board, namely, the will facilitate that production. Be ag­ leadership, therefore, in the solution
establishment of its policy for the ac­ gressive, particularly in serving the of these problems. It is your civic
quisition of loans and investments. At needs of small business. Conversely, responsibility to stimulate thought on
no time do the directors of a bank avoid making any loan which does not these problems, to aid in the education
perform their function more fully facilitate production, or contribute to of your community, and to help mold
than in passing upon loan applications. satisfying the legitimate needs of con­ public opinion into a living and active
force.—The End.
In larger banks, sound principles of sumers.
Civic Work
administration, in the interest of an
7. There is another positive respon­
economy of time and effort, require
transfer of a portion of that function sibility of your directors to your com­
to designated officers, or to a loan munity. There will continue to be an
committee. Nevertheless, such officers increase in the legitimate demand for
or loan committees are but the agents credit to finance agriculture, industry,
■of the directors. The latter must set and trade in most communities. One
up the guideposts by which those of the chief reasons for the existence
of a bank is to supply that need. To
agents operate.
One inviolable guidepost need not do so, your total capital account must
be emphasized, namely, the necessity be sufficiently large to warrant as­
for a limitation on the amount of sumption of the risks involved.
8. Let us direct our attention to a
loans to a single interest, to officers,
to directors and to their interests. broader, far-reaching responsibility of
Such limitations have received general bankers and bank directors. Today,
recognition in statutory form, but the proper solution of the economic
your directors may wish to set more and financial problems of our nation
and of the world is of paramount im­
stringent limitations.
portance, because this is an interde­
Good Farm Loans
200 Equitable Bldg. Des Moines, Iowa
A recent survey conducted jointly by pendent world, and I need not tell you
Phone 4-7159
A.T.T. DM 184
the Federal Reserve Board and the that one state cannot stand alone. You,
Federal Deposit Insurance Corpora­ bankers and bank directors, have a
tion revealed a number of important unique competence in these economic
facts with respect to loans made by
banks to farmers. In the middle of
1947, the insured banks had outstand­
ing two and one-half million loans to
farmers amounting to almost two and
one-fourth billion dollars. Over two
million of those loans, amounting to
one and one-half billion dollars, were
farm production loans. Two-thirds of
those loans were small, less than $500
each. The large proportion of small
loans shows the large extent to which
the insured banks are meeting the
credit needs of small farmers through­
out the nation.
Your board of directors will serve
the farmer best by continuing a policy
for your farm mortgage loans which
requires each farmer to have an ade­
quate equity in his farm. Where equi­
ties are inadequate, urge the farmer
to amortize his mortgage rapidly, now,
while prices are high and farmers are
more prosperous than ever before.
Banks generally have recognized the
INVESTM ENT COUNSEL
opportunities for service to their com­
munities by aiding the efforts to re­
Individuals, Institutions, Trust Accounts and Estates
lieve the acute housing shortage.
RICHARD R. ROLLINS, I nc .
To test your present policy let me
ask you two questions: Are your re­
Representing
cently acquired u r b a n mortgages
SHERIDAN - FARW ELL & MORRISON, Inc .
based upon realistic appraisals? Are
the carrying charges a reasonable
INVESTMENT COUNSELLORS
share of the owner’s assured level of
E IG H T - SO UTH M IC H IG A N A V E N U E
income?
Chicago 3
Let me summarize my thoughts
with respect to your determination of
Des Moines Office
lending policy. To win the peace and
405
Bankers
Trust Building
to avert inflation, this country needs
increased production in a great many

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Federal Reserve Bank of St. Louis

MUNICIPAL and CORPORATE
SECURITIES
Underwriters and Distributors

Wheelock & Cummins, Inc.

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

30

ON RECORDFinancial Statement as of December 31, 1947
ASSETS
$ 463,051.53

20.7%

S. Bonds (amortized value).............................................

1,244,710.00

55.5%

First Mortgages (none delinquent).....................................

205,274.05

9.2%

Due from Agents (current balances)........................... .......

265,427.18

11.8%

Building and Loan Shares....................................................

20,000.00

.9%

Real Estate Owned................... ............................................

2 , 000.00

.1%

Due from Reinsurance Companies.....................................

9,066.25

.4%

Accrued Interest on Investments......................... .............

9,014.48

.4%

Cash Value of Life Insurance...........................................

23,258.30

1.0%

$2,241,801.79

100.0%

C a s h .............................................................. .............................
U.

f

LIABILITIES
Current Bills ................................................................. ...........

$

4,671.74

Employees Bond Account.......................................... ........

104.00

Government Withholding Tax............................................

2,288.50

Current Reinsurance Premiums..........................................

19,713.15

Reserve for Taxes....................................................................

74,112.46

Reserve for Unearned Premiums........................................

1,121,704.28

Reserve for Unpaid Losses...................................................

278,240.36

Reserve for Schedule " P " .....................................................

30,460.00

Surplus ........................ ............................................................

710,507.30
$2,241,801.79

All policies issued by the Western Mutual Fire Insurance Company are non-assessable

WESTERN MUTUAL
FIRE INSURANCE CO.
Des Moines, Iowa

N o r t h w e s t e r n B anke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

31

INSURANCE

Group Life in su ra nce H elps
Individual Sales
By EDWIN C. McDONALD
Second Vice-President
Metropolitan Life Insurance Company
New York City
i

THINK the next decade will wit­
ness the continued march of group
insurance in all its forms. The mass
principle of marketing life insurance
through employers is here to stay.
The merchandising of any product on
a basis which is efficient, economical,
and effective in the sense that it reach­
es the lower income group where the
need is great seems certain to become
an increasingly important factor in
our national economy.
Granted that the individual wants
the freedom to choose his own con­
sultant on insurance matters, he can­
not afford to miss the advantage of an
insurance bargain as offered him by
his employer as part of his insurance
program and the privilege of paying
for the protection through easy install­
ments deducted weekly or monthly
from his pay check. The employer’s
participation in the cost and the attrac­
tive rate structure which can be used
for a group or wholesale plan for a
limited amount of insurance offer ad­
vantages quite out of the question in
an individual deal on a retail basis.

I

Group Sales Do Help
Periodically one hears the observa­
tion that group plans interfere with
the production of individual insurance.
I always ask for proof of those state­
ments and I’ve yet to see anything to
support it. On the contrary, I know
of evidence on the other side. For
example, in towns where group life
insurance is widespread, I note the
strictly ordinary companies do a fine
business and agents make exceeding­

Widespread Interest

e d w in
c. M cD o n a l d
“ Group Plan makes the salesman’s
road easier”

insurance as an integral part of a
well-rounded program of protection for
an employe having individual insur­
ance. There are many indications that
the very existence of a group plan
makes the salesman’s road easier in
the placing of ordinary business. Prop­
erly designed and understood, individ­
ual and group insurance are partners,
and not competitors, in serving the
insurance needs of the employes.

Did you know that adoption o f our Cash Letter
insurance enables you to dispense with detailed
Cash Letter tran scripts and keep only a duplicate
adding machine tape? Ask us fo r details.
F IR S T

N A T IO N A L


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Federal Reserve Bank of St. Louis

BANK

B U IL D IN G

Furthermore, any salesman of life
insurance who honestly believes that
group benefits impair his chances of
producing further business should re­
call (a) that before insurance compa­
nies undertook group insurance there
were so-called relief societies or em­
ploye benefit associations in many or­
ganizations and (b) that even if life
insurance companies stepped out of
this field completely, that would be
no guarantee that many corporations
wouldn’t establish life insurance plans
of their own in some fashion or other.

ly good money. Flint, Michigan, and
Schenectady, New York, are two ex­
cellent examples of this point.
There is plenty of room for group

C H IC A G O

The interest of the insurance car­
riers in this branch of the business is
well illustrated by the fact that at the
end of 1946, 150 companies were en­
gaged in group insurance, and employ­
ers had bought almost $30,000,000,000
of group life insurance for their em­
ployes.
Do we deserve the credit for this
tremendous growth? Well—some—but
employers deserve a great deal of
credit for their foresight, ingenuity,
and courage in undertaking these
group plans. I have always felt the
insurance industry does much too lit­
tle in its public advertising to congrat­
ulate business men for their part in
making this protection available to
workers. It strikes me that you
should consider publishing an adver­
tisement periodically patting the em­
ployer on the back for installing a
group program. Furthermore, such
advertising would have some effect
with the public in showing employers
who are thoughtful about the welfare

Scarborough & Company
Insurance Counselors
IL L IN O IS

•

STATE

to Banks

4325

N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

32

Insurance

of their employes and indirectly help
to support the competitive enterprise
system.—The End.

W HAT SHALL WE DO ABOUT
LIVESTOCK LO AN S?
(Continued from page 15)
ply of meat will overtake demand for
many months to come, barring a major
economic reversal.
“ In our opinion feeder loans, made
with reasonable care, are both desir­
able and constructive, even at the
present high level of costs. Produc­
tion must be maintained if further
inflation and price spiraling is to be
avoided, and where the risk exposure
is held within conservative limits in
relation to the borrower’s capacity to
absorb a possible loss, we believe
financial assistance to feeders should
not be withheld merely because there
are some uncertainties in the picture.

“Fortunately, most livestock feeders
have prospered during recent years
and are in a generally strong position
financially. Most of them, also, realize
the uncertainties with which they are
confronted, and are well aware of the
fact that one of these days the market
will turn downward and they will in­
cur a loss in some one year or in some
one or more lots of cattle or sheep or
hogs, as the case may be. The prob­
lem is not so much how to avoid such
a loss entirely, desirable as that would
be if possible, but rather how to min­
imize it and provide in advance the
necessary cushion to take up the shock
without serious damage. The cushion
can and is being provided in many
cases by reducing or eliminating the
land debt out of current profits—also
by investment of surplus earnings in
Government bo'nds, which can act as
a secondary reserve for livestock feed­
ers the same as for banks.
“As to how to minimize the loss

CONTACT . ..
Direct contact with business and banking
abroad enables us to give fast and depend­
able service to correspondents. If you have

a p ro b lem o f fo re ig n trade, call on . . .

T he C O N T ] N E N T A L
BANK & TRUST COMPANY

o f NEW YORK
3 0 B r o a d S t r e e t , N ew Y o r k 1 5 , N .Y .
M E M B E R FE D E R A L D E PO SIT INSURANCE C OR PO R A TIO N

Resources of

OVER 2 ,9 0 0 ,0 0 0 DOLLARS
Experience of

OVER TWENTY-SEVEN YEARS
Now dedicated to the Surety
and Fidelity Bond needs of
the Middle W est.

Surety Division
The State Automobile Insurance Association
DES

MOINES,

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

IOWA

when the break comes, the situation
of individual feeders varies, as does
the type of feed they wish to utilize,
and no rigid rules can be laid down
that are applicable to every case. Gen­
erally speaking, it would seem desir­
able that feeding operations involving
a full grain ration be limited for the
present to short term programs in­
volving moderate numbers and more
frequent turnovers. Cattle weighing
800 pounds or more and carrying suffi­
cient flesh so that they can be turned
within 100 to 150 days appear to in­
volve the least risk, but calves and
light yearlings may work out very
well if only hay and grass is to be
utilized before the new corn crop is
available. The growth factor in these
kinds will cheapen materially the cost
per pound after a season on grass,
especially if weather conditions are
favorable, but where full grain feed­
ing throughout is involved the cost of
putting on the grain at present grain
prices would appear to make these
kinds extremely hazardous.
“Definitely, it is not our opinion
that livestock feeders or those financ­
ing them should cease operations be­
cause of the uncertainties in the pic­
ture. Rather, we believe that they
should go right ahead doing business,
but on a conservative rather than an
expanded basis.”
Charles H. Griesa, vice president,
The Inter-State National Bank, Kan­
sas City, Missouri:
“ It seems that here again is an­
other example of a commodity not
under Government control, the price
of which is being regulated by supply
and demand.
“We are now going through a cycle
in which our cattle population is on
the decline, which is being caused by
a number of factors at a time when a
greater percentage of our population
than ever before has an appetite for
meat and has the money or credit with
which to purchase it. Feed for live
stock is extremely high and scarce, for
various reasons, there is a tendency
on the part of some breeders of live
stock to disperse their herds, income
taxes are high and a discouraging fac­
tor in risking capital, and the embargo
on Mexican cattle which has shut out
approximately 500,000 head of cattle
per year from our market are all fac­
tors causing our live stock population
to decline.
“ By reason of the outlook, meat ra­
tioning is being proposed, which I
believe would be a serious mistake.
Should present prices continue to in­
crease, that factor in itself will be a
damper on buying of meat by the gen-

Insurance
eral public and result in it going
farther.
“When the trend will reverse itself
is simply a matter of conjecture. In
the meantime, we believe loans should
be well margined and made to ex­
perienced operators who have other
good equities to cushion a decline
when it comes.
“For many, many months, inter­
ested people have been concerned
about the high price of cattle and
other live stock. By reason of their
uncertain feeling about the market,
many of them have chosen to stay out.
Now prices are at their all time peak,
but who knows when there will be a
decided trend the other way? If left
alone, economic conditions will no
doubt handle the situation as they
have in the past.”
C. Karpf, president, Live
Stock National Bank, Omaha:
“The picture changes so rapidly that
it is impossible to make much of a
prediction as to what might happen.
The noise in Washington and the un­
certainty as to what they are going
to do, is causing a lot of concern to
the cattle feeders, and it is my opinion
that a lot of cattle are being marketed
for two reasons, one, the fear of what
Washington is going to do, and the
other, high-priced corn.
“Personally, I do not feel comfort­
able with loans on $24 cattle; based on
the experience of feeders in the past
three or four weeks, these cattle would
have to bring from $29 to $31 per hun­
dred in the course of 90 to 100 days to
do any particular good. Weather con­
ditions play quite a part in the feed
lot at this time of the year. Gains
have not been satisfactory since No­
vember and probably will continue un­
satisfactory through February and
March. It is sort of an uphill business
feeding cattle in zero weather, and
then with the early thaws yards get
into terrible condition, and I do not
believe that cattle which normally
put on 2 to 2 V2 pounds of gain a day
will do much over a pound a day, and
this makes the cost absolutely pro­
hibitive.
“We have felt that there would be
plenty of cattle for the market prob­
ably through February and the early
part of March, and then rather a dras­
tic shortage from that time on.
“Of course you know there is no set
rule for making live stock loans, but
I definitely feel that at this time it is
necessary to have a margin, above the
feed which goes into the cattle, in cash
or at least plenty of evidence that the
feeder is able to sustain a substantial
loss. There has been rather a bad
slump in prices in the past two weeks
Henry


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Federal Reserve Bank of St. Louis

which I think will range from $2.00 to
$4.00 a hundred on the better class of
cattle. We are coming into the season
of the year when the plainer grades
are in demand and I do not believe
they have been hurt as much as the
better cattle, that is the cattle selling
from 30 cents on up.
“ I think it is anybody’s guess as to
what the future may hold for the cat­
tle feeder but would seem a pretty
good time to back up and at least at­
tempt to conserve some of the profits
made during the good times.”
A BANKER at a large marketing
center says:
“My opinion in connection with cat­

33

tle loans is that a margin of 20 to 25
per cent should be obtained. In other
words, it has been customary in the
past to lend feeders the purchase
price of cattle, providing they have
enough feed on hand and show a state­
ment of substantial worth. To all ap­
pearances it looks as though the cattle
market is going higher owing to the
scarcity of cattle and feed. No one
can be definitely assured of this and
I do not believe people will be able to
afford the purchase of much meat at
prices which will be necessary on ac­
count of the cost of cattle. This might
lead to a buyer’s strike and certainly
a lot of families who are eating meat
would use other kinds of food in order

3 8 7 Y ears of E xperi ence
Is Back of Your Allied Mutual Policies
The judgment and experience of Allied Mutual officers and directors
helped this company show an underwriting profit for the problempacked year of 1947.

S T A T E M E N T OF A S S E T S AND L IA B I L IT I E S
As of December 31, 1947
ASSETS
Bonds (Amortized Value)
Government ............................................................................................ $2.728,283.27
Iowa County ..........................................................................................
84,850.02
Railroad (Government Guaranteed).................................................
120,029.73
Miscellaneous ....................................
10,000.00
Federal Savings and Loan Certificates..........................................................................
Deposits (not on interest)
Central National Bank and Trust Co., Des Moines........................$ 123,579.52
Iowa-Des Moines National Bank, Des Moines..............................
25,000.00
5.000.
The Grundy National Bank, Grundy Center, Iowa..
5.000.
Earlham Savings Bank, Earlham, Iow a.......
5.000.
Farmers State Bank, Luverne, Iowa.............
5.000.
Iowa State Bank, Des Moines, Iow a.............
5.000.
Security Savings Bank, Farnhamville, Iowa
400.00
Cash in O ffice....................................................
Agents' Balances (Under 90 Days Old).....................
Interest Accrued
Bonds ........................................................................
Federal Savings & Loan (Dividends Declared)..

$2,943,163.02
71,500.00

00
00
00
00
00
173,979.52
283,721.94

8.832.16
826.25

9,668.41

Total Admitted Assets.................................................................................................

$3,482,032.89

LIABILITIES
Reserve for Liability and Workmen's Compensation Claims...................................
Reserve for All Other Claims...........................................................................................
Estimated Expense of Investigating and Adjusting Claims.......................................
Reserve for Unearned Premiums.....................................................................................
Reserve for Taxes................................................................
Reserve for Current Accounts...........................................................................................
Reserve for Dividends........................................................................................................
Funds Held Under Reinsurance Treaties..........................................................................

$ 645,168.59
334,171.79
44,472.47
1,616,302.80
109,564.81
16,212.90
6,374.58
2,869.00

Total Liabilities .......................................................................................................
'Surplus to Policyholders...........................................................................................

$2,775,136.94
706,895.95

Balance ....................... ................................ ...................................................... .......
‘ Includes $250,000.00 Guaranty Fund

$3,482,032.89

ALLIED M U T U A L
CASUALTY COMPANY
Harold S. Evans, President
Hubbell Building

Des Moines 7, Iowa

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

34

Insurance
to cut down their cost of living. In
fact I know a lot of people right now
who are only eating meat once or
twice a week.
“We have recently been making
some cattle loans to substanial people
but we have insisted upon a margin
which naturally has met with resist­
ance, but on the other hand we have
been able to secure it, not always at
20 to 25 per cent as sometimes the
loans have justified a smaller margin.

public
national

Bank
a n c T T ru st C o m p a n y
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“ I think that all commodities are
government controlled and, while it is
true that good cattle are very scarce,
I still feel the government can con­
trol both the cattle and the hog mar­
kets. This in my estimation has been
definitely shown in lard, wheat, corn,
and soy beans. The lard market, with
which we are more familiar, was
around 30 cents a pound last spring,
with a heavy demand, and it dropped
as low as 17 cents a pound, with hogs
on the upgrade and no demand for
lard. In fact you could not give it
away. Since then the picture has
again changed and lard is selling in
the neighborhood of 28 cents, due I
feel to government buying.”
ANOTHER BANKER close to the
live stock feeding and marketing situa­

Announcing . . .

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Organization of the BANKERS SERVICE
COMPANY, Inc., has been completed and
services of this firm are now available for
midwestern bankers.
THE BANKERS
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the sale of bank stocks . . . will furnish
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will specialize in the sale of controlling
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which carry an active executive position.
Henry H. Byers, a veteran of over 23
years experience in this field, is president
of the BANKERS SERVICE COMPANY,
Inc. Consult us first. . . . No charge or
obligation. . . . All transactions confidential.
H enry H. B yers

B an kers S ervice Co., I nc.
Register and Tribune Bldg.
DES MOINES, IOWA
Tel. 2-7800
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 19 48


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Federal Reserve Bank of St. Louis

P. O. Box 1435

tion makes the following comment:
“Naturally, we think live stock
values are dangerously high, but we
thought this a year or so ago and
since that time they have gradually
increased more. It is my opinion that
unless some restrictions are placed on
live stock products by Congress, they
will go higher yet. Relative to loans
on live stock based on the present
price of cattle, it is our policy to insist
on cash margins sufficient to absorb
any ordinary decline in prices. While
we realize such declines might be
more drastic than we anticipate, we
look to the financial stability of the
individual to take care of such un­
usual losses should they occur. The
borrowers who have been in the game
for the last several years have realized
nice profits from their operations and
are in the position to put in such a
cash margin as we require. There­
fore, we are not hesitant to go along
with our established borrowers on
this basis.
“ I do not feel that it is any time
for comparatively new operators to
expand their operations because un­
less they have accumulated enough
profits from their past operations to
be in a position to absorb extraordi­
nary losses, I don’t feel that it is good
business for either the bank or the
borrower to get too far out at this
stage of the game.
“Personally, I do think that the de­
mand for such loans will not be very
great unless the outlook for profitable
handling is much more inducive than
it is at the present time. We know
that the present cost of feeder cattle
plus the high price of grain is narrow­
ing the margin to such an extent that
there are very few operators at the
present time that are realizing any
profits from their feeding operations.
This is another good reason why
banks should be very cautious in mak­
ing loans to new prospects for cattle
feeding.
“ Regarding the high price of meat
holding through 1949, any comments
on this would be a guess and one
guess is as good as another. I do know
that there is a scarcity of meat prod­
ucts, and because of the unfavorable
margins in feeding operations at the
present time and which we have been
experiencing for the last six or eight
months, our summer marketings of
fed cattle will be much less than they
have been in the last few years. We
know the demand is by far exceeding
the present supply and because of this
condition, I do not believe there is
much possibility of prices declining.”

35

Minnesota

NEWS
JOHN CARLANDER
President
Faribault

ROBERT E. PYE
Secretary
Minneapolis

Mr. Griggs also announced promo­
tion in the banking department of
seven of the bank’s present officers,
and the naming of two new officials.
New officers named were John A.
MacFadyen as assistant secretary, and
Ralph E. Wagner, assistant cashier.
Assistant cashiers advanced to assist­
ant vice presidencies were Albert L.
Horak, John C. Buckley, Edward J.
Peterson, Walter A. Chabot, Russell
M. Walters and Charles E. Taylor.
Sigfred J. Nelson, an assistant cash­
ier, was named cashier.

Pioneer National Bank

Increase Stock
Stockholders voted to increase from
$50,000 to $100,000 the capital stock of
the State Bank of Faribault, Minne­
sota, whose resources were reported
to be more than $3,200,000. President
John Carlander and all other officers
were re-elected.

W. R. Van Slyke
William R. Van Slyke, widely known
mining engineer and fee agent for
some of the Range’s largest iron min­
ing properties, died in his sleep at his
home at Ely Lake, Eveleth, Minnesota,
recently.
Mr. Van Slyke was president of the
First National Bank at Eveleth at the
time of his death.

A. E. De Sutter
Andrew E. De Sutter, Minnesota
banker and businessman, died last
month of a heart attack. Mr. De Sut­
ter was president of the Farmers and
Merchants State Bank.

Aitkin
The Security State Bank of Aitkin,
Minnesota, opened last month as suc­
cessor to the 33-year-old Farmers Na­
tional Bank of Aitkin.
Incorporators of the new bank are
Glen Wilson of Lake Wilson, Joseph
Thompson of Princeton, and Charles
E. Lyons, B. N. Welliver, A. W. Hoff­
man, H. W. Hoffman, Thornton Get­
ting and Dr. I. L. Mitby, all of Aitkin.
Officers are Glen A. Swenson, presi­
dent: Thornton Getting, executive vice
president; Chas. E. Lyons, vice presi­
dent; A. W. Hoffman, vice president;
J. M. Thompson, cashier.

Austin
Stockholders of the First National
Bank of Austin, Minnesota, elected
Ward D. Dwight cashier to replace
K. A. Kramer at the annual stockhold­
ers meeting.
Mr. Kramer resigned as cashier last
month to take a position as president
and director of the Northfield National
Bank and Trust Company, Northfield.
Surplus was increased from $200,000 to $250,000 giving the bank a cap­
ital of $200,000 and a surplus of $250,000.

Browns Valley
Stanford Ronning, cashier of the
Union State Bank, Browns Valley,
Minnesota, for the past seven years,
has purchased a controlling interest in
it from Robert E. Berry, president,
and former state banking commission­
er at an undisclosed price. Mr. Berry
will become chairman of the board of
the institution, whose total assets were
in excess of $2,000,000 on December
31st.

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Federal Reserve Bank of St. Louis

Duluth
Bank of Commerce and Savings
Two new directors were elected by
stockholders of the Bank of Commerce
and Savings, Duluth, at their annual
meeting.
They are Dr. P. G. Boman, Duluth
physician and a member of the board
of education, and Virgil J. Pedrizetti,
a certified public accountant in the
city. O. A. Schultz was renamed
president.

City National Bank
A new director was elected and all
of the present directors and officers of
the City National Bank of Diduth were
renamed at the bank’s annual meet­
ing.
Chosen a new director was John
Swanstrom, vice president and treas­
urer of the Diamond Calk Horseshoe
Co. He is a native of Duluth and a
graduate of the University of Minne­
sota. H. C. Matzke was reappointed
president.

Duluth National Bank
H. Warner Griggs was promoted
from assistant cashier to assistant vice
president at the Duluth National Bank.
Julian V. Hagberg was renamed presi­
dent and all other officers and directors
were re-elected.

First and American National
All officers and directors of the First
and American National Bank of Du­
luth were renamed and one member
of the bank’s staff was promoted at
the annual meeting last month.
Kenneth W. Dennis, who has been
with the bank’s trust department
since 1936, was appointed assistant
trust officer, it was announced by
Willis D. Wyard, president.
Total capital accounts of the bank
were increased nearly $300,000 and
total deposits increased over the 12
months’ period by more than $4,800,000.
Of this increase, savings deposits ac­
counted for close to $500,000. Loans
and discounts showed an increase of
over $4,000,000, which reflects the de­
mand for credit by individuals, busi­
nesses and industries in this area.
A great many loans were to re­
turned veterans, and as at the yearend there was outstanding on the
books of the bank over $2,300,000 in
t lo p q p

C xT

1 0 3 VI ^

Total deposits now are $68,591,000;
savings deposits are $21,463,000; loans
and discounts are $15,644,000, and cap­
ital accounts are $5,819,000.

Northern Minnesota National
The election of Joseph D. Harrold,
prominent Duluth contractor, as a new
member of Northern Minnesota Na­
tional Bank board of directors, was an­
nounced by Richard L. Griggs, board
chairman, following the stockholders
meeting.

Selmer N. Wallin, a teller at the
Pioneer National Bank of Duluth, was
promoted to assistant cashier at the
bank’s annual meeting. Present of­
ficers and directors were renamed.

Proctor First National
John L. Peyton, former cashier of
the Pioneer National Bank in West
Duluth, was elected vice president of
the Proctor First National Bank at
the annual meeting of stockholders
and directors.
Renamed as the bank’s president
was H. H. Peyton.

Western National Bank
A new director was named to the
board of the Western National Bank
in West Diduth by stockholders at
their annual meeting.
He is Gordon H. Butler, president
of Polaris Concrete Products Co., who
fills the place of Harry W. Lanners,
Duluth, attorney and prominent civic
leader who declined re-election due to
pressure of other matters.
Alfred Hoel was re-elected president.

Elbow Lake
H. A. Smith, Elbow Lake, Minne­
sota, was named president of the Bank
of Elbow Lake last month after an­
nouncing that he had purchased the
controlling interest in the bank from
St. Olaf College.
Other officers elected were M. C.
Wedum, Alexandria, vice president;
Hugh Nelson, former Douglas county
treasurer, cashier, and Harriett Rosengren, assistant cashier.

Elk River
At the annual meeting of stockhold­
ers of the First National Bank of Elk
River, Minnesota, the officers elected
were L. K. Houlton, president; S. R.
Houlton, and Roy Ellingson, vice
presidents; Stanley Wheaton, cashier,
and Merlin Hetrick, assistant cashier.

Faribault
Dr. Carl Hansen, veterinarian, and
Donald F. Oches, secretary-treasurer
of Oches Brothers, Faribault, Minne­
sota, department store, were elected
to the board of directors of the Secu­
rity National Bank at the annual stock­
holders meeting.
Roger W. Peavy was re-elected presi­
dent. All other directors and officers
were renamed.

Goodhue
John E. Blomquist was elected
president of the Goodhue State Bank,
Goodhue, Minnesota, at the annual
meeting of the stockholders. Also
elected were D. D. Center, vice presi­
dent; W. N. Englund, cashier and B. B.
Barry, assistant cashier. Elected to
the board of directors were Mr. BlomN o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

36

Minnesota News

quist, Center, South Dakota; Mr. John­
son, M. S. Kinseth and F. G. Sjoblom.
W. R. Sawyer is retiring president.

as a bank officer since 1903. Mr. Pat­
terson will continue as a director.

Hibbing

Grand Rapids
Homer I. Bastien is the newly
elected cashier of the First National
Bank of Grand Rapids, Minnesota.
He succeeds Grover P. Mitchell, who
resigned last month to become the
executive head of the First National
Bank of Eveleth.
The directors of the bank also made
another change when William G. King
was designated as executive vice presi­
dent. F. E. King is the bank’s presi­
dent.

Henning
Dr. A. J. Lewis was elected president
of the First National Bank of Hen­
ning, Minnesota. He succeeds R. R.
Patterson, who resigned after serving

First National Bank
M. T. Mahan, formerly cashier, was
named vice president of the First Na­
tional Bank at Hibbing, Minnesota,
and James R. Godrey was appointed to
Mr. Mahan’s post.

Merchants and Miners Bank
Max H. Barber has been elected
president of the Merchants and Miners
Bank, Hibbing, Minnesota, to succeed
the late A. L. Egge.
In addition to Mr. Barber, other
Merchants and Miners officers include:
Andrew G. Anderson, vice president;
S. J. Egge, executive vice president;
E. R. Sundberg, cashier; A. O. Hulstrand and M. V. Borgeson, assistant
cashiers.

Hinckley
The Farmers and Merchants State
Bank of Hinckley, Minnesota, changed
ownership last month when the estate
of A. E. Eddy sold the controlling in­
terest in the bank to several Hinckley
residents, after the death last month
of Mr. Eddy. R. A. Nelson, J. F. Dan­
ger, C. C. Wickstrom, Dr. A. W. Nyline
and Mrs. Eddy are now stockholders.
The new president of the bank will
be Mr. Danger and Mr. Nelson will
continue as cashier and will become
the bank’s executive officer. The rest
of the bank staff remains the same.

International Falls
B. B. Kotilinek was elevated from
the executive vice presidency to the
presidency of the International State
Bank, International Falls, Minnesota,
by directors at their annual meeting.
Orman Effertz was promoted to as­
sistant cashier and Ed A. Paulson to
teller.

Kalispell
The annual meting of the stockhold­
ers of the First National Bank of
Kalispell, Minnesota, was held last
month with the following elected to
the board of directors: F. M. Burks,
chairman; H. C. Keith, A. F. Winkler,
Gilbert Miller, Clifford Haines, H. G.
Mebust, and Robert Leslie. Mr. Miler and Mr. Haines are new members
of the board, increasing the member­
ship from five to seven.

Le Roy
First National Bank

AND

MEN

WITH

A

MISSION

The farmer like any other businessman
hires help, buys machinery, makes plans,
schedules his work, processes and markets
his produce. In addition he coordinates
all the intricate details for running the
farm so he is the executive manager of
his business as well. This is a large and
comprehensive job by anybody’s stan­
dards.
In years past many a farm lad has for­
saken the farm in search of a less arduous
means of earning a livelihood. Lately
modern farm machinery has progressed a
long way toward the elimination of time
consuming and “back breaking” jobs
that all farmers considered out and out
drudgery. To get the job done in a hurry
with a minimum of hard work M i n n e a p o l is - M o l in e
has designed and pro­
duced a well rounded line of m o d e r n
m a c h i n e r y . There is still plenty of hard
work on most farms and therefore Minneapolis-Moline is doing its utmost to pro­
duce more and more modern machinery
so that the farmer may overcome most of
the adversities and hardship of his
m i s s i o n in supplying the ever increasing
demand for food and fibre.
Bankers are cooperating with MM
Dealers in the extension of counsel and
credit to progressive farmers for the pur­
chase of MM M o d e r n M a c h i n e s — de­
pendable, economical “machine tools” of
the industry that is basic to our present
and future economic well being.

M inneapolis -M oline P ower I mplement C ompany
M IN N EAP O LIS 1, M IN N E S O TA , J . S. A.

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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

At a board meeting following the
stockholders meeting of the First
National Bank, Le Roy, Minnesota, the
following officers were elected: C. B.
Hall, board chairman; M. E. Lappin,
president; F. Stuart Hale, vice presi­
dent; W. G. Prosser, vice president;
C. O. Strom, cashier; and G. H. Sumnicht and Alma Dowd, assistant
cashiers.

First State Bank
Fredric Bhend was added to the
board of the First State Bank of Le
Roy. Other members, re-elected, are:
F. T. Young, G. A. Halver, John Meyer,
H. Hawkins, Matt Klassy, M. B. Morse,
O. H. Eastwold and J. L. Moser.

Luverne
H. L. Smith, president of the Luverne National Bank, Luverne, Minne­
sota, has announced that Henry C.
Lehr of Sioux Falls has taken up his
duties as assistant cashier of the Luverne bank. Mr. Lehr has been con­
nected with the National Bank of
South Dakota at Sioux Falls and has
lived there for the past five years.

Litchfield
The First State Bank of Litchfield,
Minnesota, held its annual meeting
last month. Officers elected were G. A.
Hollaar, president; D. N. Tharalson,
vice president and cashier, and Donald
Nordlie, assistant cashier.

MORE MINNESOTA NEWS
ON PAGE 42

37

HE Thirteenth Avenue State Bank,
only state bank chartered in Minne­
apolis since 1929, has opened for busi­
ness in northeast Minneapolis. It has
a capital and surplus of $140,000.
Raymond J. Julkowski is president;
Walter A. Kostick, vice president; Ray
IVIikolajczyk, vice president and cash­
ier; Walter S. Larson and Dr. Walter
S. \\rarpeha, directors along with the
officers.

T

Roger R. Shepard, St. Paul, has been
reappointed class C director and chair­
man of the board of the Minneapolis
Federal Reserve bank and federal re­
serve agent. W. 1). Cochran, Iron
Mountain, Michigan, was renamed
deputy chairman of the bank. Henry
E. Atwood, president of the First Na­
tional Bank of Minneapolis, was reap­
pointed by the bank’s directors to the
federal advisory council. Malcolm E.
Holtz, Great Falls, Montana, and R. M.
Harris, Columbus, Montana, have been
reappointed by the board as directors
of the bank’s branch at Helena, Mon­
tana.
R. C. Lilly, chairman of the board
of the First National Bank of St. Paul,
has been elected a trustee of the Col­
lege of St. Catherine, St. Paul.
Malcolm B. McDonald has been
elected president of First Edina State
Bank. He succeeds Alfred E. Wilson,
who resigned because of pressure of
duties as vice president and chairman
of the trust committee of First Na­
tional Bank of Minneapolis, with
which First Edina State is affiliated.
In addition to his new duties, Mr.
McDonald will continue as a vice
president of First National Bank. Mr.
Wilson will continue as a member of
the First Edina State board of di­
rectors.
Previously, the election of James E.
Dorsey, Jr., as an assistant cashier of
First Edina State had been announced.

Seventeen state banks in St. Paul,
West St. Paul and South St. Paul
showed gains of $6,731,520.33 in de­

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Federal Reserve Bank of St. Louis

posits last year, according to a report
by F. A. Amundson, Minnesota state
banking commissioner.
Deposits increased to $79,099,367 as
against $72,367,647 a year previously.
Assets climbed to $85,416,877 from
$78,266,184, and loans and discounts
mounted to $18,882,772 from $13,411,492.
Directors of the Camden Park State
Bank of Minneapolis at the annual
meeting of stockholders voted to in­
crease capital stock of the bank to
$100,000, double the present amount.
Directors of First Robbinsdale State
Bank have advanced Sven Grundstrom
from assistant cashier to cashier.
Joseph W. Roche, who has been serv­
ing as vice president and cashier, will
continue as vice president.
In banking since 1925, Mr. Grund­
strom started his career with the for­
mer Metropolitan National Bank.
Later he was associated with First
Minnehaha National Bank and First
Hennepin State Bank before joining
First Robbinsdale as an officer in 1940.
Directors of First Service Corpora­
tion, operations subsidiary of First
Bank Stock Corporation, at their an­
nual meeting in St. Paul elected Au­
gustus H. Kennedy chairman of the
board of directors and Ellwood C.
Jenkins president. All other official
positions were filled by re-election of
present officers.

Mr. Kennedy, who is president of
First Bank Stock Corporation, has
been president of First Service Cor­
poration since 1941. As chairman of
the board he succeeds C. T. Jaffray
who will continue as a director.
Francis O. Kelly has been elected
assistant secretary of the Northwest­
ern Mortgage Company, according to
an announcement by J. J. Fehr, presi­
dent. Mr. Kelly has been a member
of the company’s staff since 1937 as
farm manager and supervisor.
The Northwestern Mortgage Com­
pany is affiliated with Northwest Bancorporation.

For the fourth successive time, Min­
neapolis area banks started off a new
year with more than $1,000,000,000 on
deposit. At the close of business De­
cember 31, 1947, total deposits of the
14 national, nine state and one savings
banks reached $1,097,665,552 for the
second highest total since the 1945
peak of $1,158,901,799.
First National Bank of Minneapolis
has taken first place with deposits
totaling $372,735,406. Northwestern
National Bank, which had been first
for five years, had deposits of $362,260,088.
Northwestern topped First National
in loans, however, with $108,179,708
to $95,280,878 for the latter.
Jay W. Craig and F. Wesley Weldon
have been elected directors of Colum-

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N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

38

Minnesota News

bia Heights State Bank. Their election
was made possible by sale of stock to
them by L. A\T. Hill, St. Paul, former
president, according to H. S. AVoodward, executive vice president. Other
officers elected were Arthur L. Gluek,
president; H. AAT. Mogg, vice president;
C. T. Olsen, cashier, and Fabian Eickhoff, newly elected assistant cashier.
Deposits in the Farmers and Me­
chanics Savings Bank of Minneapolis
totaled more than $150,000,000 at the
close of business January 10th, John
deLaittre, vice president, announced.
Eugene R. Locke has been promoted
from assistant cashier to cashier of

the First Minnehaha National Bank,
Minneapolis, J. G. Byam, president,
announced. Arvid A. Lund, formerly
vice president and cashier, will con­
tinue as vice president.

Garraugh, Morrow Peyton and Ralph
F. Peterson were elected assistant
cashiers. Homer C. Luiek was elected

manager of the credit department.
O. Jack Talbot was elected assistant

Joseph F. Ringland, president of
Northwestern National Bank of Min­
neapolis, announced election of eight
new officers and promotion of two
others.
Mr. Ringland also announced reelection of all present directors and
officers, with exception of Henry J.
Riley and Harry S. Quiggle, who re­
tired as of December 31st.
In the bank’s commercial depart­
ment, T. AA7. Pelton, Charles T. AleT.

W.

PELTON
1" ’ P E Y T O N
Named Assistant Cashiers

co llectio n
se rv ic e
• • • •

g eared to
yo u r need
for speed

Your Bank wants speed when it presents a check or note
for collection. The kind of speed that means

prompt presentation and earliest availability of funds.
At American National we’re prepared to provide that
kind of action. Our staff is experienced, dependable,
skilled at operating the high speed machines that
make swift service possible.
We’d like to have you visit us to see this service in action.
Meanwhile, we welcome your inquiry with the view
to securing you the most advantageous mail and express
scheduling — both by rail and air.

AMERICAN NATIONAL BANK
AND T R U S T

C O MP A N Y

OF CHI CAGO

MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

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

2

it Ç/lfÆi

tyécrjAhÿ/cm

R. E. C O N N , JR.
Trust Officer

H. C. L U IC K
M gr., Credit Dept.

secretary of the bond department.
Robert E. Conn, Jr., was elected trust
officer in the trust department. Two
officers of the trust department, Paul
S. Brorby and Raymond Clausen, were
promoted to assistant vice presidents.
At the bank’s Lake street office, C.
Addison Dahl was elected assistant
manager.
At the annual meetings of directors
of Minneapolis affiliates of Northwest­
ern National, several new directors
were elected.
Frank C. O’Brien, president, an­
nounced re-election of all present di­
rectors and officers of Second North­
western National Bank. George Chris­
toferson, president of Third North­
western National Bank, announced
election to the board of L. S. Grossman and James Massie. Clyde Jorgen­
sen, president of Fourth Northwestern
National Bank, announced re-election
of all present officers and directors.
At Fifth Northwestern National,
Rustan O. Thayer, president, an­
nounced election of Lyle AA7right, to
the board. L. A. Egler, president of
Central Northwestern National, an­
nounced election of Charles D. Pyle to
the board. Frank F. Sefeik, president,
announced re-election of all officers
and directors of Northwestern Nation-

Minnesota News

39

al Bank of Hopkins, Minneapolis sub­
urb.
John I/. Larson has retired as assist­
ant secretary of Farmers and Me­
chanics Savings Bank of Minneapolis,
according to Henry S. Kingman, presi­
dent. He was elected assistant secre­
tary in 1934 and the following year
became head of the combined farm
real estate and farm loan portfolio.

Headed by A. L. Ritt, president, all
officers and directors of Midway Na­
tional Bank of St. Paul have been re­
elected.

facilities , fa cts, contacts
■ is at your service *n ^ 1S

Henry E. Atwood, president of the

First National Bank of Minneapolis,
has been elected a vice president of
the Minneapolis area Boy Scout Coun­
cil.
Carl 1). Strom was elected cashier
of the First Bloomington-Lake Na­
tional Bank of Minneapolis. Leonard
R. Oberg, formerly vice president and
cashier, will continue as vice presi­
dent.
Paul W. Anderson, president of Farwell, Ozmun, Kirk and Company, St.
Paul, has been elected a director of
Empire National Bank and Trust Com­
pany of St. Paul, C. E. Johnson, presi­
dent, announced. Mr. Anderson is a
civic and business leader in St. Paul,
being a former president of the St.
Paul Association of Commerce.
E. Walter Engstrom and James A.
Galbraith, assistant cashiers, have

t h e F W W i« ® » « “ *

•

ith

onsin with complete, modern f a d
, ,
n the-ground knowledg
.

•

Of Wisconsin busi-

stry agriculture... plus correspo" en
,,er9 2 % o f all the hanks thro g

co n ta cts '" 1
.
nd always
, , p At your service
out this s a •
beyond
, to serve in many ways that g
ready
„„tin e efficiency.
( mere routine
the usual limits of me
hankers

BANKS

ft* 0

GeoRCE 1
].
RlCHAR°
DONA.ED

L a w le ss

Di vi s i on

yice President
President
President

Harper

been promoted to assistant vice presi­
dents by Midland National Bank of
Minneapolis, Arnulf Ueland, president,
announced. All other officers and the
21 directors were re-elected. Mr. Uel­
and also announced the bank’s quar­
ters will be expanded and remodeled.
Election of Samuel Mairs to the
board of directors of First National
Bank of St. Paul was announced by
Julian B. Baird, president. Mr. Mairs
is chairman of the board of directors
of Archer-Daniels-Midland Company.
Mr. Baird also announced that the
bank paid dividends amounting to
$720,000 in 1947, maintaining an un­
interrupted dividend record of 83
years.
Herbert C. J. Olson has been elected
vice president of Fidelity State Bank
of Minneapolis, C. Herbert Cornell,
president, announced. Ferdinand Ringoen was promoted from credit man­
ager to cashier, William Tustison from
installment loans department manager
to assistant cashier, Leo Hunt from

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

FIRST WISCONSIN NATIONAL BANK
OF M I L W A U K E E

•

W i s c o n s i n ' s 8a n k f o r B a n k s

N o r f h w e s t e r n B a n k e r, F e b r u a r y , 1948

Minnesota News

40

installment loans department assist­
ant manager to assistant cashier, and
F. Walter Grimes to auditor.
Three officers of the First National
Bank of St. Paul were promoted at the
hank’s annual meeting, Julian B.
Baird, president, announced.
Promoted were Wilfred I). Provan,
from assistant cashier to assistant vice
president; Lee A. Sauer, from assist­
ant cashier to assistant vice president,
and Frederick W. Manke, from assist­
ant cashier to comptroller. Named as­
sistant cashiers were Emmett T. Mc­

L. FR E D R IC K SE N
President

M AR K A. W IL S O N
Vice President
W IL L IA M G. N E L SO N
Vice President
W IL L IA M C. SCH ENK
Asst. V. Pres, and Cashier
C LIFFO R D L. A D A M S
Asst. Vice President
JOH N S. H A V E R
Asst. Cashier
JAM ES L. SM IT H
Asst. Cashier and Auditor
K IN L E Y W . SM IT H
Asst. Cashier

Walter J. Bergquist. Janies G. Goblisch, cashier, was promoted to vice
president, and Russell H. Johnson was

named to succeed him as cashier.
Conrad L. Hedberg was elected assist­
ant cashier.
Herbert I*. Buetow, director of First

State

Bank,

has

Our Group One Meeting
Officers and directors of the Live
Stock National Bank of Sioux City
extend a warm welcome to its many
friends who will attend our annual
meeting of Group 1, February 12, in
Sioux City. W e hope you will derive
much profit and pleasure from this
convention.
Our officers likewise gain a great
deal from this meeting. Each year
we look forward to greeting our
many correspondents and friends
and to the exchange of ideas. Be
sure to come to our group meeting
this month.

t

1

Elected directors of First Grand
Avenue State Bank, according to
Frank H. Delaney, president, were
Richard Ordway, Winter Dean and

Merchants

Donnell and Donald W. Buckman.

CARL

Other St. Paul banks in the First
Bank group also announced elections
and promotions.

h

e

OF

SIOUX

B

CITY,

an k
IOWA

... ............................................................... e
" t / ie
Hlember Federal Deposit Insurance Corporation

N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948

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

Sam W . Campbell, former special
Minnesota state assistant attorneygeneral, has been elected a vice presi­
dent and trust officer of Marquette
National Bank, Minneapolis.
Russell L. Stotesbery, president, also
announced that Walter S. V. Brown,
president of Brown Steel Tank Com­
pany, Minneapolis, was named a di­
rector to fill a vacancy left by the
death of Harry W. White of the White
Investment Company. George S. Coonrod was promoted from assistant
cashier to assistant vice president. All
other officers and directors were re­
elected.
A. L. Ritt was re-elected president
of Highland Park State Bank of St.
Paul. John 1). Rongitsch was named
assistant cashier.
Election of Curtis C. Goodson, Benj­
amin G. Griggs and William AV. Skin­
ner as directors of First Trust Com­
pany, St. Paul, was announced by
Louis S. Headley, president.
Harry L. Holtz was elected an as­
sistant trust officer. Stanier E. Mason,
formerly with First Service Corpora­
tion, has become a member of the
firm’s staff as an investment assistant.

All officers and directors of ChicagoLake State Bank, Minneapolis, were
re-elected at the directors annual meet­
ing. Edmund Jones, president, said
the bank’s surplus account was in­
creased from $50,000 to $75,000, bring­
ing its capital structure to $125,000.
Owen Harris has been promoted
from auditor to assistant cashier of
University National Bank, Minneap­
olis, according to an announcement by
Russell L. Stotesbery, president. All
other officers and directors were re­
elected.

Minnesota bank debits increased 22
per cent in 1947, the Minneapolis Fed­
eral Reserve Bank reported. Debits
last year totaled $22,926,379,000, an alltime record. Minneapolis led the state
with $12,383,535,000 of debits in 1947.
In St. Paul, debits totaled $5,338,788,000 in 1947, a 17 per cent gain from
1946.

:

L ive S t o c k

Na t í o n a l

been

elected president of the bank. He
succeeds Arthur W. McNee.
Arthur W. Melander was elected
cashier.

f

C. F. Codere, a director of First Na­
tional Bank of St. Paul, First Bank
Stock Company and First Trust Com­
pany, has been elevated to chairman
of the board of St. Paul Fire and Ma­
rine Insurance Company. He former­
ly was president of the firm.—The
End.

41

South Dakota

NEW S
A. E. DAHL
President
Rapid City

GEORGE M. STARRING
Secretary
Huron

second vice president and C. H. Ander­
C. H. Lockhart was elected presi­ son was elected treasurer.
Fred Roesch, vice president of the
dent of the First Citizens National
Bank of Watertown, South Dakota, at First National Bank, is a retiring di­
rector.
the annual meeting.
He succeeds L. T. Morris, president
since 1933 when the bank was formed George Nelson
Funeral services for George Nelson,
by consolidation of two older institu­
tions, one of which, the First Citizens, 76, a longtime resident and former
he also headed. He was renamed business man of Viborg, South Dakota,
were held there last month.
chairman of the board.
Mr. Nelson, who was born in Carroll,
The bank at its annual meeting
also elevated L. C. Barger and John Illinois, came to Viborg 50 years ago.
S. Holen from the posts of assistant After teaching school, he entered the
banking business and was for many
vice presidents to vice presidents.
Mr. Lockhart previously had been a years president of the First National
Bank of Viborg.
vice president.
R.
D. Goepfert was renamed a vice He is survived by his widow and
president, and other officers also were several children.
re-elected to their previous positions.
The First Citizens National Bank’s Succeeds Father
John N. Thomson has succeeded his
year end statement shows total re­
sources of $11,853,086. Capital stock is father, James S. Thomson, as president
$150,000, surplus is $150,000 and undi­ of the Bank of Centerville, South
vided profits and reserves are $204,545. Dakota, following the latter’s retire­
Deposits on December 31st were $11,- ment.
He will remain as chairman of the
348,540.
board of directors, however.
The
elder
Mr.
Thomson
has
been
associated
Elect New Officers
At the annual stockholders’ meeting with the Bank of Centerville since
of The Bank of Union County, Elk 1890, for almost 58 years of continuous
Point, South Dakota, officers elected service.
Elmore L. Johnson was named vice
were: O. D. Hansen, president; E. R.
Arneson and O. D. Hansen, Jr., vice president; Leonard M. Nelson, cashier,
presidents, and H. Boomgaarden, cash­ and Phyllis L. Norgren, new assistant
ier. O. D. Hansen formerly was execu­ cashier. Deposits in the bank Decem­
tive vice president and the younger ber 31st totaled $2,546,884.
Hansen had been assistant cashier.
Observe 254h Year
Directors elected were A. J. Beck,
Celebrating the 25th anniversary of
chairman of the board, who was for­
merly president also; O. D. Hansen, the founding of the business institu­
E. R. Arneson, Edward Holden and tion with which they are associated,
O. D. Hansen, Jr. Named secretary employes of the Citizens State Bank
of Clark, South Dakota, and affiliated
of the board was Mr. Boomgaarden.
branches at Bradley, Vienna and Wil­
low Lake, enjoyed a birthday event
Heads Civic Group
L.
H. Ickler, president of the Aber­and party in Clark recently.
The event started with a bowling
deen National Bank, was named to
head the Aberdeen, South Dakota, party, followed by a dinner party at
Civic Association at a meeting of the a local cafe, a party in the lobby of
the local banking house and a theater
board of directors last month.
He succeeds Henry J. Schmitt, edi­ party thereafter at the Clark Theatre.
tor and publisher of the AmericanNews, as president.
Make Annual Report
Elected first vice president, succeed­
The Mitchell National Bank of Mit­
ing Wilbur T. Kearns, was Charles A. chell, South Dakota, distributed to all
Howard, Jr. H. E. Kriesel was named stockholders and bank patrons one of

Heads W a te rto w n Bank


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Federal Reserve Bank of St. Louis

the most informative annual reports
published by any South Dakota bank.
After a brief descriptive explanation
of each phase of bank operations dur­
ing the past year, the annual report
pays tribute to M. F. Patton who died
a few weeks before the year end.
Mr. Patton was president of the Mit­
chell National Bank for 24 years, pre­
viously having served the bank in
various capacities since 1904.
Every annual report then was signed
personally by J. M. Patton, vice presi­
dent, and J. N. Shelby, cashier.
Figures from the December 31st
statement show total capital accounts
of the bank as $307,907 and deposits
of almost $9,400,000, an increase of
$2,400,000 over 1946 figures.

S io u x F a lls N e w s
S. HARKTSON, president of
I the National Bank of South Da­
kota, was re-elected a director of the
Luverne (Minnesota) National Bank.
Henry C. Lehr, who had been auditor
of the National Bank of South Dakota,
with which he was connected for about
five years, has become assistant cash­
ier of the Luverne (Minnesota) Na­
tional Bank.
TOM

Carl F. Gray liT, president of the
Wilson Storage and Transfer Com­
pany, was elected to the board of di­
rectors of the Northwest Security
National Bank at its annual meeting.
Herman F. Veenker retired from the
board, and John O. Barton, retiring as
an active vice president of the bank,
remained as a board member. Tony
Westra became an assistant cashier
while retaining his position as agri­
cultural and livestock representative,
President Ralph M. Watson said. All
other officers and directors were re­
elected.
Ralph M. Watson, president of the
Northwest Security National Bank,
enjoys calling attention of his Demo­
crat friends to the new Roosevelt
dimes. By using a magnifying glass
and looking closely under Roosevelt’s
face and to the left of the year number,
one can see the initials J. S. and then
Mr. Watson tells his Democrat friends
that the initials are those of Joe Stalin
—just to watch ’em howl.
W. C. Duffy, president of the Union
Savings Bank, has been elected a di­
rector of the Sioux Falls chapter of
the Izaak Walton league.
C. A. Christopherson, chairman of
the board of directors of that institu­
tion, was elected trustee of the First
Congregational church at its annual
business meeting.
N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

42

South Dakota News

Sioux Falls banks started 1948 with
deposits of $96,684,226, believed to be
the highest ever recorded at the an­
nual bank call in the city’s history.
That figure represents a 15 per cent
increase over deposits listed by the
five banks here at the beginning of
1947. The total then was $83,827,667.
Loans and discounts show a 30 per
cent increase over the January, 1947,
figure. At the annual bank call this
year, loans and discounts totaled
$20,367,637. A year ago the total stood
at $15,591,068.
Bank statements as of December
31, 1947, showed:
Loans and
Deposits
Discounts
N ’west Sec. Nat’l _____$47,087,033.44 $9,159,748.86
First National ........... 21.999,513.29
5,505,788.54
Nat’ l Bk. S. Dak.......... 18,792,396.59 3,420,695.15
Union Savings ........... 5,965,166.46
1,457,581.55
Sioux Valley ............. 2,840,116.76
823,823.16

The figures for the Northwest Se­
curity National Bank and the National
Bank of South Dakota include figures
of those institutions’ branch banks in
South Dakota.
The National Bank of South Dakota
has installed the new type Burroughs
teller machine which provides check­
ing account customers with a regis­
tered deposit receipt for each deposit
made, eliminating the need for pass­
books. It is among the first banks in
this area to adopt the “registered de­
posit receipt” plan.

ers State Bank of Osseo, Minnesota,
met last month for their annual meet­
ing. All old officers were re-elected
and Miss Lorna Mae Hiller was named
assistant cashier. Miss Hiller is the
first woman to ever hold an office in
the Farmers State Bank.

Spring Valley
Three officers of the First National
Bank of Spring Valley, Minnesota,
were advanced at the annual meeting
of stockholders and directors.
James Sample, former president,
was elected chairman of the board of
directors, and George C. Gullickson,
former cashier, was advanced to the
presidency.
LeRoy Fiegel, former asistant cash­
ier, was named cashier to succeed Mr.
Gullickson. Kenneth Churchill and
Miss Elsa Schoebel were renamed as­
sistant cashiers.

St. James
J. E. Hegstrom was named president
of the First National Bank at St.
James, Minnesota, at the directors
meeting. W. C. Wagner was advanced
from assistant cashier to cashier and
will take over the desk and duties of
Mr. Hegstrom. T. C. Olsen is assist­
ant cashier.

Willmar
Election of Fred W. Riegger as a
vice president of the First Security
National Bank of Willmar, Minnesota,
was announced by O. F. Grangaard,
president, following the annual meet­
ings of stockholders and directors.
Mr. Riegger returns to that section
of the state after two and one-half

W. C. Duffy, president of the Union
Savings Bank, was re-elected presi­
dent of the Sioux Council, Boy Scouts
of America, at its annual meeting in
Sioux Falls. The council comprises
33 counties in South Dakota, Iowa and
Minnesota.

Mrs. G. E. liindroth was elected as­
sistant cashier of the Sioux Valley
Bank, with which she has been con­
nected for the past 2% years.—The
End.

MORE MINNESOTA NEWS
Montevideo
All officers of the Security National
Bank of Montevideo, Minnesota, were
re-elected at their annual meeting.
There was one change in the board of
directors, George C. Klein of Chaska
being elected to succeed the late Otto
Schultz.

New Ulm
Stockholders of the Farmers and
Merchants State Bank of New Ulm,
Minnesota, at the annual meeting
elected the following directors for the
ensuing year: Ben I. Vetter, T. O.
Streissguth, and John P. Heymann.
Mr. Heymann is a successor to the late
Dr. J. H. Vogel on the board.

Osseo
The board of directors of the Farm­
N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

ROBERT CONN, Northwestern
National Bank, received the Bronze
Star from General M cLain in M in­
neapolis recently for meritorius
service performed while a Japanese
prisoner.
Mr. Conn, already the
holder o f the Silver Star and the
Purple Heart, kept secret records of
Japanese atrocities, names and other
pertinent data while a prisoner, a ft­
er being one o f the hundred sur­
vivors o f the Bataan Death March.
The records kept by Mr. Conn
later contributed greatly towards
the conviction o f a number of Jap­
anese army men at the war crimes
trials. Mr. Conn returned to the
Northwestern N ational’ s trust de­
partment after the war.

years as president of the Northfield
National Bank & Trust Company from
which position he recently resigned.

Winona
First National Bank
At the First National Bank of
Winona, Minnesota, the retirement of
E. E. Shepard as vice president and
trust officer and the election of R. C.
Hinze as vice president and trust of­
ficer was announced. Mr. Hinze had
been vice president and assistant trust
officer.

Merchants National Bank
Promotion of Ray H. Bublitz from
assistant cashier to cashier, succeeding
H. A. Tornow, who was elected vice
president, and the election of C. D.
Tearse as chairman of the board was
announced at the Merchants National
Bank of Winona following the annual
meeting. Mr. Tearse has been vice
president.

Winona National and Savings Bank
Election of two additional directors,
Ralph Boalt and Douglas B. Robinson,
and the promotion of William P.
Theurer from assistant trust officer to
the additional office of assistant cash­
ier, took place at the meeting of the
Winona National and Savings Bank.

FIRST NATIONAL CORRE­
SPONDENT CONFERENCE
(Continued from page 18)
E. D. Baughman, secretary and man­
ager.
During the discussions ample oppor­
tunity was afforded for questions on
the subjects covered, and members of
the operating department of the First
National Bank were available after
the sessions to answer more detailed
questions.
The bankers were guests of the First
National Bank for a luncheon, recep­
tion and dinner on the first day of the
meeting, and at a luncheon on the sec­
ond day, folowing which a visit to
all departments of the bank was ar­
ranged.
The First National Choral Club and
instrumental quartet provided music
at the dinner, with the speaker of the
evening, General Robert E. Wood,
chairman of the board of Sears Roe­
buck & Company and a director of the
First National Bank, introduced by
Bentley G. McCloud, president of the
bank.
General Wood says the United States
is still a comparatively young country,
capable of continued development, and
opportunity still knocks at many
doors. Industry must keep alive to
its opportunities. Much capital will
be needed in the future, in view of
which, banking is coming into its
greatest era. If bankers will continue
to exercise their courage, character,
and ability, they can look forward to
remarkable progress for the next ten
years.

43

North Dakota

NEWS
F. A. FOLEY
President
Rolta

Returns to Jamestown
Roy M. Christensen has returned to
Jamestown, North Dakota, after an ab­
sence of almost six years, to assume
an official position with The National
Bank of Jamestown, with which insti­
tution he was associated from 1937 to
1942. The directors of The National
Bank of Jamestown elected him assist­
ant cashier at a recent meeting.
Mr. Christensen began his banking
career in Minneapolis in 1933, follow­
ing which he was employed by the
Potter County Bank at Gettysburgh,
South Dakota, from July, 1935, until
February, 1937, when he moved to
Jamestown to become associated with
The National Bank of Jamestown.
He left there to go into service in
July of 1942, serving three and onehalf years in the United States Army
Signal Corps, 21 months of which were
spent in Headquarters, United States
Forces, China-Burma-India Theater at
New Delhi, India. He returned to
civilian life in the spring of 1946, since
which time he has been associated
with the Rolette County Bank of
Rolla, as cashier.
Mr. Christensen will specialize in
consumers finance and installment
credits.

Approve Increases
The state banking board has ap­
proved increases in common stock of
two state banks, R. S. See, secretary,
announced recently.
The Security State Bank of Hannaford, North Dakota, was given permis­
sion to raise its common stock from
$20,000 to $25,000. An increase from
$35,000 to $50,000 was approved for
the Merchants Bank at Rugby.

C. C. WATTAM
Secretary
Fargo

Mr. Haslam was born in Lucan, On­
tario, Canada, and had lived in Devils
Lake 58 years. He formerly operated
a general store there, and for many
years was treasurer of the different
Masonic lodges; also was city and
school treasurer for approximately
sixteen years and was a director of
the Ramsen County National Bank.

Increase Interest Rates
The Bank of North Dakota has an­
nounced an increase of one-fourth of
1 per cent per annum in interest rates
paid on time deposits of public funds.
Manager H. C. Bowers, in Bismarck,
said the increase was made possible
by a boost in federal government in­
terest rates which resulted in in­
creased revenue.
Under the new schedule Mr. Bow­
ers said the bank will pay threefourths of 1 per cent per annum on
six-month maturity deposits and 1 per
cent per annum on 12-month deposits.

The Stock Growers Bank in Napo­
leon, North Dakota, has doubled its
capital stock from $25,000 to $50,000.
Cashier George Heitmann says that
the increased capitalization was made
because of larger deposits which now
total nearly $2,300,000.

Honor Retiring Banker

A new banking exchange has been
opened in Stanton, North Dakota, by
R. J. Bohrer in a former bank build­
ing.
First customer when the exchange
began receiving deposits was Herb
Lang.

T. A. Haslam

Devils Lake Deposits Up

Funeral services for T. A. Haslam
of Devils Lake, North Dakota, were
held recently in Seattle.

Deposits in Devils Lake, North Da­
kota, banks vaulted to new highs in
the past year, with over $11,000,000


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Federal Reserve Bank of St. Louis

Move Exchange Office
The First State Bank of Munich,
North Dakota, has moved the Osnabrock Exchange from the First Na­
tional Bank Building to the place
formerly known as the Great Western
Bank Building.

O. H. Olson
O. H. Olson, 82, president of the
First State Bank of Sharon, North
Dakota, and resident of Steele county
nearly 60 years, died in Sharon re­
cently.
Mr. Olson served as register of deeds
of Steele county from 1908 to 1912,
and in 1913 entered the banking busi­
ness in Sharon in the bank which later
was named First State Bank. He had
also served on the school board and
in other civic posts.

Double Capital Stock

Civic and business leaders of Cooperstown, North Dakota, joined recent­
ly in a testimonial dinner honoring
A. G. Hoel, assistant cashier of the
First State Bank, who has retired
after 37 years’ service.
A native of Lanesboro, Minnesota,
Mr. Hoel moved to North Dakota as
a young man and served as president
and general manager of the Hannaford
Mercantile Company at Hannaford,
from 1906 to 1911. He then joined the
former First National Bank of Cooperstown and continued as an officer
when it became the First State Bank
in 1938.

Open New Exchange

listed in the year-end statements of
the First National Bank and Ramsey
County National Bank.
Deposits totaled over five times the
total at the close of 1940, the last year
before crop returns increased to reach
new records in the last two years.
The First National Bank lists de­
posits of $5,856,323 at the close of the
year compared to $5,321,048 at the end
of 1946 and $1,254,791 at the close of
1940.
The Ramsey County National Bank
had $5,282,332 in deposits compared to
$4,831,396 on December 31, 1946, and
$893,825 at the end of 1940.

Add Directors in Minot
Two new directors of the American
State Bank in Minot, North Dakota,
were elected at the annual meeting
of stockholders, increasing the board
from five to seven.
Elected directors were Alton C.
Anderson, one of the owners of Ander­
son Ace Hardware stores in Minot,
Bismarck and Jamestown, and T. A.
Solheim, who recently was named vice
president of the bank.
The directors voted to increase the
surplus of the bank from $35,000 to
$50,000.

Changes in Fargo
Two new directors, one to fill a va­
cancy caused by death and the other
adding to the board, were elected at
the annual meeting of the Dakota
National Bank of Fargo, North Dakota.
John L. McCormick, president of the
Northern Improvement Company, was
named a Dakota National director to
fill the vacancy caused by the recent
death of Maurice Kaufman.
A. J. Daveau, president of the
Daveau Music Company, was elected
as an additional director.
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 7948

44

For 92 Years
SOUND BANKING SERVICE

O FFICERS
H E R B E R T M. B U SH N E LL
President

E L L S W O R T H M OSER
E xecutive Vice President

V IC TO R B. C A L D W E L L ........................ Vice President
H. M A L L O R Y ...................... Vice President

R IC H A R D

TH O M A S F. M U R P H Y ...........................Vice President
C A SP E R Y. O F F U T T ............................... Vice President
E D W A R D W . L Y M A N .............................V ice President
H A R R Y E. R O G E R S...................Asst. Vice President
A U S T IN

L. V IC K E R Y .............. Asst. Vice President

H A R O LD T. U E H L IN G ..............................Trust Officer
ARTH UR

I). A N D E R S O N ........................ .. ...... Cashier

JA M E S L. SH IE L D S ........................ A ssistant Cashier
N E LS L. SH O LIN .............................A ssistant Cashier
E LD R ID G E
HENRY

C. M cE L H A N E Y . ...Asst. Trust Officer

B. P IE R P O N T ................ Asst. Trust Officer

G EO RG E E. W IN S L A D E ............ Asst. Trust Officer
LEO M. B R O W N ............................................ C om ptroller

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

45
W. Lyman was promoted from as­
sistant vice president to vice presi­
dent, and George E. Winslade of the
trust department was promoted to as­
sistant trust officer.
Mr. Lyman is 36 years old, was born

Leads Southeast Banks

Edgar McBride
Edgar McBride, 55, former president
of the Nebraska Bankers Association
and active in state Democratic circles,
died at his home in Blue Hill after a
lengthy illness. Mr. McBride was
president of the Commercial Bank at
the time of his death.
A delegate to the 1936 National
Democratic Convention at Philadel­
phia, Mr. McBride had served the
party in many capacities.
He was chairman of the executive

The First National Bank of Falls
City is the first in southeast Nebraska
to have deposits aggregating six mil­
lion dollars.
The bank’s latest statement shows
deposits of $6,038,316.87.

E. A. Duff

Edwin Allen Duff, 72, banker and
president of the former Duff Grain
Company, died in Nebraska City, Ne­
braska, last month.
A native of McGregor, Iowa, Mr.
Duff was president of the First Na­
tional Bank of Syracuse and the First
National Bank of Unadilla and was a
director of the U. S. National Bank of
Omaha.

Two Promotions

GEORGE E. W IN S L A D E
Assistant Trust Officer with the
U. S. National

The board of directors of The United
State National Bank of Omaha, Nein Lincoln, Nebraska, attended grade
and high school there and graduated
from the University of Nebraska in
1934. He was five years with the First
National Bank of Chicago, coming to
The United States National Bank in
1940.
Mr. Winslade, 35 years old, was born
in Omaha, lived in Schuyler and Ra­
venna, Nebraska, graduated from Ra­
venna high school in 1929 and from
the American Institute of Banking in
1938. He was employed by the bank
in 1930 and has been with the trust
department since 1940.

E D G AR M cB R ID E

council of the Nebraska Bankers As­
sociation from 1941 to 1942 and in 1944
was elected association president.
Mr. McBride started his banking
career as cashier of the Commercial
Bank of Blue Hill in 1916 and in 1933
was named president. He also became
treasurer and a director of the Farm­
ers Grain and Stock Company of Blue
Hill and the Glenwood Telephone
Company of Blue Hill.
A former district Legion command­
er, Mr. McBride had been chairman
of the Blue Hill City Council more
than 20 years.
His wife and four children survive.

With Examiner s Office
Joe V. Johnson, Jr., Tecumseh, Ne­
braska, has withdrawn as a student
from the University of Nebraska to
accept an appointment as assistant na­
tional bank examiner, having success­
fully passed the examination for the
position. He has been assigned to the
10th Federal Reserve District and
went to Kansas City to report for duty.

Doubles Capital Stock
Due to the tremendous growth ex­
perienced since its founding in 1943,
the York State Bank, York, Nebraska,
has doubled its capital stock.
Announcement of the capital stock
increase came from Dean Sack, found­
er and president of the banking con­
cern, and from Andrew Grosshans,
J. A. Boyle, Cliff E. Miller and Hollis
Gewecke, stockholders and directors.

EDW ARD W . LYM AN
Now Vice President at the U. S. National
of Omaha

braska, at their January meeting, an­
nounced two promotions. Edward

Did you know that your Banker’s Blanket Bond
does not protect your Cash Letter while it is in
transit by mail or express? Ask about our
Cash Letter Policy, which fills the gap.
F IR S T

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Federal Reserve Bank of St. Louis

BANK

B U IL D IN G

•

Auburn

C H IC A G O

The annual meeting of the Carson
National Bank, Auburn, Nebraska, re­
veals that some changes have been

Scarborough & Company
In su ra n ce C ounselors
3, I L L I N O I S

•

STATE

4325

N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

46

N eb raska N e w s

made in the officership and director­
ship of the banking institution.
Vergil Lehr was elected president,
John Zacharias, executive vice presi­
dent and cashier; Mrs. Lois E. Becker,
assistant cashier. The directors are:
Vergil Lehr, R. M. Armstrong, Paul
Bize, John Zacharias and John Ferneau.

Bayard
At the annual shareholders meeting
of the First National Bank of Bayard,
Nebraska, officers were elected as fol­
lows: J. A. Stockwell, president; M. L.
Bigler, vice president; and H. L. Mc­
Kibbin, cashier. Directors elected are
M. L. Bigler, H. L. McKibbin, W. J.
Stafford, J. A. Stockwell and Viola M.
Stockwell. All stock of the bank
formerly held by the Ostenberg family
has been purchased by J. A. Stockwell
and H. L. McKibbin.

Beatrice
Officers of the First National Bank,
Beatrice, Nebraska, last month re­
vealed plans for expansion of bank fa­
cilities.
Major change will provide new and
larger quarters for the street level
location presently occupied by the
Gish Shoe store.

Blair
The Washington County Bank, Blair,
Nebraska, sponsored a dinner at First
Methodist Church last month in recog­
nition of the men and women of Wash­
ington county who have acted as 4-H
club leaders.
George Hedelund, vice president of
the bank, praised the leaders for the
encouragement they had given the 4-H
boys and girls in giving them the
benefits of training for farm life. He
said that the bank had noted with in­
terest the business careers of the 4-H
members when they had established
themselves on farms in the county.

Cairo
Announcement has been made in
Cairo, Nebraska, by G. C. Raven and
W. E. Sorensen of the Raven-Sorensen
insurance firm that Wayne Sorensen
has been accepted as a member of the
firm which will continue under the
same name. Mr. Sorensen is assistant
cashier of the State Bank of Cairo.
Mr. Raven is president of the bank
and AV. E. Sorensen is cashier.

Columbus
Directors of the Central National
Bank, Columbus, Nebraska, made
three promotions in the roster of of­
ficers at their annual meeting.
W. L. Boettcher was advanced from
assistant vice president to vice presi­
dent. G. W. AVolf, auditor, was made
an assistant cashier and will also re­
tain the title of auditor. Harvey
Loseke, in the personal loan depart­
ment, was added to the list of officers
as an assistant cashier.
Officers who were re-elected to the
positions they held last year are: J. O.
Peck, president; Frank P. Dietz, vice
president; Howard Burdick, cashier;
Robert O. Burman, assistant cashier;
Minnie Asche, assistant cashier.
R. M. Campbell was re-elected chair­
man of the board and Howard Bur­
dick was re-elected secretary.

Elmwood
After a little over twenty-two years
of service, Emily Gonzales has re­
signed as cashier of the American Ex­
change Bank of Elmwood, Nebraska,
where she has served in various ca­
pacities since the death of Captain
C. S. Aldrich in 1926. She entered the
bank at that time as bookkeeper and
held different positions until in 1938 on
the death of the president, John P.
Cobb, she was elected cashier and has
held that position ever since.

Kearney
Tom C. Russell has been promoted
from assistant cashier to cashier of
the Fort Kearney National Bank,
Kearney, Nebraska, and J. W.- Poynter
has been elevated from assistant vice
president to vice president of the same
bank.
Thomas Gass, president, was re­
elected as were all other officers and
directors.

Bornemann becomes the new assistant
cashier.
Deposits of the First National Bank
are $3,902,099 and total assets are
$4,097,334.

Grand Island
Commercial National Bank
Stockholders of the Commercial Na­
tional Bank, Grand Island, at their an­
nual business meeting added two new
directors to the board, and voted a 50
per cent stock dividend.
The new directors are Harold A.
Prince and W. A. Reutlinger.
The stock dividend will increase the
bank’s capital from $100,000 to $150,000.
It also has a surplus of $100,000.
The bank’s shareholders re-elected
the following to the board: David
Kaufmann, Edward Huwaldt, Vernon
Rice, E. AV. Augustine, and AV. E. Clay­
ton.
The directors later elected the fol­
lowing officers: David Kaufmann,
president; Edward Huwaldt, executive
vice president; Vernon Rice, cashier;
Leslie Belford, assistant cashier.

Overland National Bank
The board of directors of the Over­
land National Bank, Grand Island,
was increased from five to six, at the
annual meeting of stockholders.
The new director is A. J. Luebs.
Other directors, all re-elected, are
George J. Armstrong, M. M. Shapiro.
George AV. Monson, C. J. Cords, and
Herman W. A. Hehnke.
Directors of the bank re-elected the
following officers: George P. Arm­
strong, president; M. M. Shapiro, vice
president and chairman of the discount
committee; George AV. Monson, cash­
ier; AVillard AV. AVestover, assistant
cashier.

Hastings
City National Bank

Arthur H. Anderson is a new di­
Gordon
rector of the City National Bank of
Anna Sorensen retired as cashier of Hastings, Nebraska, it was announced
the First National Bank of Gordon, last month following the annual meet­
Nebraska, last month. This closed 25 ing of the bank’s stockholders.
years of efficient service with one of
Officers of the bank re-elected at the
the largest banks in the northwest sec­ meeting are: A. J. Koelling, president;
tion of Nebraska.
Dr. Foote, vice president; F. A. Han­
B.
D. Berkheimer, president of the sen, cashier; and Vern Manahan, Mrs.
First National, has announced that Carrie A. Stone, Carl Witt and Gerald
George B. Comer has been promoted W. Walley, assistant cashiers.
Mr. Koelling reported that the City
to the position of vice president and
cashier. Leonard Duerfeldt was ad­ National has increased its capital stock
vanced to a vice presidency, having from $100,000 to $150,000.
(Turn to page 50, please)
joined the bank a year ago. Miss Edna

rfeTOOTLE-LACY
Promptness and efficiency have always been the watchword in our many
friendly dealings with our correspondents . . . but in addition to these
important factors we have long tried to add a sincerity of purpose and
personal interest which increases the mutual value of our pleasant
association.
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

N eb raska N ew s

47

Mrs. F. J. Turinsky, Omaha, and Mrs.
E. F. Nagle, Los Angeles, California;
brothers, Irving, a prominent Omaha
insurance man, and Alfred, Dallas,
Texas.

ILLARD 1) E E R E HOSFORD,
JR., was elected to the board of

W

directors of the Omaha National Bank.
He is a 1935 graduate of Yale Univer­
sity and served as a Navy lieutenant in
World War II. Mr. Hosford is assist­
ant general manager of the John Deere
Plow Company at Omaha.
Clyde O. Darner, with the Omaha
National Bank 26 years, was elected
a vice president and cashier. He is
a leader in Nebraska Masonic activi­
ties.
Stephen J. Wirtz, with the Omaha
National 31 years, and A. J. Rhodes,
with the institution 18 years, were pro­
moted to be assistant vice presidents.
Sumner Slater and Victor D. Smith
were made assistant trust officers.

E. J. Seitz, cashier of the North Side
Bank who has been with the institu­
tion 10 years, also announced his
resignation to join the Midwest Carpet
and Linoleum Company about Febru­
ary 1st.
W. R. Roberts, president of the
bank, announced that L. Dale Mat­
thews will be the new vice president,
succeeding Mr. Hall. An Omahan
since 1917, Mr. Matthews was with the
Packers National Bank of Omaha for
19 years. He rose to be vice president
and a director. For the last several
years, he has been with the Kirkpatrick-Pettis Company, Omaha invest­
ment bankers.

At the South Omaha Savings Bank,
E. Bosanek, South Omaha
grocer for 25 years, was named a new
director. Clarence F. Witt, president,
was re-elected as were all other officers
and directors.
Frank

Robert H. Hall was to resign Febru­
ary 1st as vice president and a director
of the North Side Bank of Omaha to
devote all his time to his insurance
business, he announced recently.
The Omaha civic leader had been
with the bank 18 years. He is past
president and now a member of the
board of trustees of the Children’s
Memorial Hospital at Omaha, sched­
uled to open its doors in February
after a long and successful fund-rais­
ing campaign.
Mr. Hall also is president of the
Omaha Cardinals Baseball Club of the
Western League. The new offices he
is opening for the R. H. Hall Insur­
ance Agency in the W.O.W. Building
will adjoin new offices of the baseball
club.

TOOTLE

P R E S ID E N T

GRAHAM

G. L A C Y

CH. OF T H E

B O AR D

Depoits
Omaha National ...$142,340,186.01
First N a t i o n a l...... 87,442,284.00
Livestock National. 69,523,852.36
United States Nat’l. 69,275,258.42
Stock Yards Nat’ l . . 28,861,393.16
Packers National . .
9,908,734.09
Douglas County Bk.
8,064,419.00
North Side B ank ..
5,818,552.59
South Omaha Sav.
Bank .......................
2,174,533.84

Stanley R. Zerzan, 56, manager of
the currency department of the Fed­
eral Reserve Bank, died last month
in a hospital following a heart attack.
Survivors: Wife, Alma; sons, Jack
and Gerald, both of Omaha; sisters,

The engagement of Miss Gloria
Lynn Cassidy, daughter of Dr. and
Mrs. W. A. Cassidy of Omaha, to Wil­
liam A. Sawtell, Jr., son of Mr. and


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Federal Reserve Bank of St. Louis

F R E D T. B U R R I

R. E. W A L E S

CASH IER

V IC E P R E S ID E N T

E. H. S C H O P P

E. L. G R U M E

ASST .

Omaha bank deposits tapered off,
while loans increased, in the last quar­
ter of 1947.
This was revealed in bank state­
ments in response to a call of the
Comptroller of Currency for figures as
of December 31st.
Omaha’s nine banks reported de­
posits of $421,409,213. This was $2,971,433 less than on October 6th, the
date of the last bank call. Loans were
$93,262,902, which was $2,849,788 more
than the October 6th figure.
Bankers said that Christmas buying,
new car purchases and real estate ac­
tivity are reflected both in deposits
and loans. The United States Treas­
ury recently has been making repeated
withdrawals on its war loan accounts
in the banks, also tending to bring de­
posits down.
The figures on December 31st, by
individual banks:

Two new assistant cashiers were
named by the Douglas County Bank,
K. G. Harvey, president, announced.
They are Howard W. Nielsen, with the
bank since 1941, and Charles AY. AATatts,
who joined the institution in 1947.
Both are World War II veterans, each
having served 40 months in the army.

NATIONAL BANK
M IL T O N

Edward A\T. Lyman, recently elected
as a vice president of the United States
National Bank of Omaha, has been re­
elected treasurer of the Omaha Com­
munity Chest.
Mrs. Daniel W. Campbell was elected
third vice president of the Chest, to
succeed Mrs. C. W. Mead, retiring
board member.

CASH IER

Totals

$421,409,213.47

Loans
$29,143,569.84
19,710,781.00
20,646,592.03
13,698,091.90
4,325,667.07
1,716,508.72
1,545,890.00
930,653.65
1,545,148.43
$93,262,902.64

Mrs. W. A. Sawtell, has been an­
nounced. The bridegroom-to-be is the

ST. JOSEPH, MO.
Member Federal Deposit
Insurance Corporation

AS S T . C ASH IER

N o r t h w e s t e r n Ba n ker, F e b r u a r y , 1948

48

Nebraska News

son of the president of the Stock Yards
National Bank. The bride-to-be was a
Princess in last year’s Ak-Sar-Ben
Coronation Ball. She is a graduate of
Brownell Hall at Omaha and of Stan­
ford University. She is a member of
the Omaha Junior League.
Thomas R. Noonan, assistant cash­

ier of the Omaha National Bank, has
a secret weapon against would-be
forgers.
Unfortunately, however, according
to the FBI, Mr. Noonan did not bring
it into use soon enough. James Del­
bert, 33, an ex-convict of Peru, Indiana,
was held recently at Fallon, Nevada,
for allegedly forging Mr. Noonan’s
name to bogus cashier’s checks.
The forger had bought a cashier’s
check at the bank in Omaha. Mr.
Noonan signed it as he does hundreds
of times daily. Then the forger copied
the Noonan signature on other checks.
Now, Mr. Noonan is sad because he
didn’t use his “secret weapon.” It is
a Chinese “chop.” The “chop” is his
name in Chinese characters with the
English translation printed beside it.
It is a rectangular piece of ivory about
114 inches long. The signature is
carved at one end.
The user presses the “chop” on an
ink-pad and then imprints it on his
check.
Each customer of a Chinese bank
has his individual “chop.” Bank tell­
ers have learned to recognize them at
a glance.
Mr. Noonan’s “chop,” inclosed in an
onyx-like case, was a gift from Dr.
Solomon Ho-Asjoe of Hong-Kong. Mr.
Noonan befriended the doctor’s sons,
Bill and Ted, who now are Creighton
University students at Omaha.
A plan to split stock of the Securities
Acceptance Corporation of Omaha has
won stockholder approval, President
Clarence Li. Landen said. There will
be $1,000,000 of $2 par value common

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

stock in place of $300,000 of $4 parvalue stock. Directors voted a 10-cent
dividend on the new $2 par-value
stock, payable April 1. All officers and
directors of the Omaha firm were re­
elected.
Members of the South Omaha
Merchants Association re-elected Clar­
ence F. Witt their president for 1948
at the annual meeting held last month.
Mr. AVitt is president of the South
Omaha Savings Bank.
Other officers chosen for the year
included John Flynn, Jr., first vice
president; Walter Korisko, second vice
president; I. L. Thrane, third vice
president; William Fitzgerald, fourth
vice president; T. .1. Spencer, treasur­
er, and Louis Leigh, secretary.
Charles F. Bongardt, attorney and
Ray R. Ridge, senior vice president of
the Omaha National Bank, were the
principal speakers.
During 1947, $5,696,774,800 in checks
were handled by Omaha banks. These
bank debits were 25 per cent higher
than in 1946.
Bank clearings for the year were
estimated at $5,838,487,656, a gain of 22
per cent over the previous year.
Omaha bank deposits were lower at
year’s end, as the high cost of living
was tapping rainy-day funds.
Ne­
braskans bought $144,000,000 of Gov­
ernment savings bonds last year, $40,000,000 more than in 1946.
W. Dean Vogel, vice president of the
Live Stock National Bank of Omaha,
has been re-elected a member of the
Omaha Community Chest Board of
Governors. S. R. Kirkpatrick, Omaha
investment banker, has retired as a
member of the board.
David Davis, Jr., son of the vice
president of the Omaha National Bank,
was paired in one of the semi-finals
of the annual Omaha Squash Club

tournament at the Omaha Club. He
reached the finals by defeating How­
ard Kennedy.
W. R. Millard, Jr., senior vice presi­
dent of the Omaha National Bank, has
been re-elected for a three-year term
as a director of the Douglas County
Chapter of the Red Cross at Omaha.
W. Leroy Wilcox was renamed chair­
man of the Chapter. Charles Mead is
secretary, James P. Lee, treasurer. Mr.
Lee is a former Omaha banker, now
an official of the Omaha and Council
Bluffs Street Railway Company.

About 40 12-minute “ 1-cent” parking
meters have been installed in Omaha
in front of banks and utilities offices,
for the convenience of persons who
want to make only brief auto stops.
Richard H. Mallory, vice president
of the United States National Bank of
Omaha, who became the thirtieth
president of the Omaha Downtown
Kiwanis Club, was presented with a
president’s lapel-pin by Raymond
Grossman, installation officer and past
president of Kiwanis International.
Mr. Crossman is an Omaha attorney.
John F. Davis, a vice president of
the First National Bank of Omaha,
has been named a member of the
Knights of Ak-Sar-Ben Council to suc­
ceed John L. Barton, attorney.
Mr. Davis was seated on the council
with two other new members, W. D.
Hosford, Jr., and John J. Gillin, Jr.
Denman Kountze, Jr., 18, son of the
former Omaha banker, suffered in­
juries in a traffic accident in Omaha
recently. He was walking near Fiftyfourth and Dodge Streets when he
was struck by the front fender of a
car driven by F. A. Forgette, 65, of
Mead, Nebraska.

A group headed by Dillon Read &
offered 710,500 shares of

Company

Nebraska News
Northern Natural Gas Company com­
mon stock at $27 a share recently.
Proceeds will go toward retirement
of the Company’s $6 preferred stock.
Northern Natural Gas has headquar­
ters in Omaha.

partment and George V. Yates to the
position of assistant secretary. Eugene
W . Pester was advanced from assist­
ant trust officer to trust officer.
All other officers and directors were
re-elected.

Lawrence Brinker, Omaha invest­
ment banker, was one of the judges
in The Omaha World-Herald’s holiday
contest to select the best 10 books of
fiction written before 1930. The judges
had to wade through 3,500 entries.
Prof. Harry F. Fore of the University
of Omaha English Department was
awarded first prize.

At the annual meeting of the Union
Bank of College View, the financial
report disclosed that the bank during
1947 had increased its capital stock
from $75,000 to $100,000.
All officers were re-elected, with
C. C. Cortney continuing as president,
and Katherine Dougan advanced to
the vice presidency.

A man obviously under the influence
of too much Christmas cheer, went up
to a bank teller’s window in Omaha
and wanted to cash a $600 bond. He
visited several windows before he
found a sympathetic ear. Asked for
identification, he took out the upperplate of his false teeth. His name and
Army serial number were inscribed
on it.
The bank employe suggested that
the man come back later. He was
back the next day, but John Barley­
corn didn’t accompany him this time.
The bond was cashed and he opened
a bank account.

At the First National Bank, Burn­
ham Yates, vice president, was elected
to the board of directors. Phil R.
Easterday was re-elected chairman of
the board and George W. Holmes was
re-elected president. All other officers
and directors also were re-elected.
Byron Dunn, president of the Na­
tional Bank of Commerce, announces
that Marshall Hewitt and William
Strateman have been advanced from
assistant vice presidents to vice presi­
dents, and Robert Wekesser has been
elected auditor.
Percy Mays, vice president and cash­
ier of the Citizens State Bank was

49

named to the board of directors of
that bank at the annual meeting.
With people of Lincoln and the sur­
rounding territory depending to a
greater extent on credit privileges,
there was a very apparent increase in
business during 1947. To some extent
Christmas buying, larger payrolls, in­
flated currency, and minor factors also
were contributory influences.
The increases were noted both in
advances in bank clearings, and in the
loan records for the year as shown in
reports to the comptroller of the cur­
rency, as of December 31, 1947. Clear­
ances for the years, according to the
banks were $59,000,000 over those for
1946, when the total was $271,872,725.
Clearings for December, 1947, were
$30,320,307. For the same month in
1946, the aggregate was $26,797,120.
In their reports to the comptroller
for the 1947 year-end, the three down­
town national banks listed total loans
of $19,524,815, approximately $5,565,000
greater than on the same date in 1946.
Loans of the three suburban banks
increased proportionately.
An opinion out of the state’s attor­
ney general’s office, prepared for the
benefit of the state banking depart­
ment, advises that the department is
without authority to collect a fee for

Fiftieth Anniversary
March 4 marks our fiftieth year o f services to
the live stock and packing businesses at the St.
Joseph yards.
Our close contact with these in­
terests enables us to give the very best correspond­
ent service on

live stock

shipments to

the St.

Joseph market.
W e welcome the opportunity o f serving you.

TOCKHOLDERS of the First Trust
Company elected Samuel C. Waugh
president at their annual meeting last
month. He succeeds George AY.
Holmes who had held the position
since 1927.
Mr. Holmes was elected to the post
of chairman of the board; Mr. Waugh
was former executive vice president.
The stockholders chose Neil W. Hall
as manager of the mortgage loan deq

Y O U R STATE B A N K ER S A S S O C IA T IO N
O F F IC IA L S A F E , V A U L T A N D
T IM ELO C K EXPERTS

First St. •Joseph
STOCK YARDS BANK
South St. Joseph, Mo.
OFFICERS
J. A. Greenfield, President
Thos. J. McCullough, Vice President
M . E. Blanchard, Cashier
Louis J. Komer, Assistant Cashier
H. H. Broadhead, Jr., Assistant Cashier

“ ONLY BANK IN THE YARDS ”

F. E. DAVENPORT & CO.
OM AHA


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

50

N eb raska N ew s

issuing licenses to executive officers of
co-operative credit associations. At
the same time the banking department
was advised that a fee may be charged
banks.

NEBRASKA NEWS
(Continued from page 46)
Total deposits at the City National
for 1947 amounted to $8,470,195 com­
pared to $8,206,038 in 1946.

Former Lincoln acquaintances of
Lloyd Brace, Boston, Massachusetts,

have learned with considerable satis­
faction that he has been elected presi­
dent of the First National Bank of
Boston, one of the nation’s largest
banks.
Mr. Brace was well known in Lin­
coln during the early ’80s and later
years.
The Lincoln Telegraph and Tele­
phone Company has asked the Ne­
braska railway commission for permis­
sion to issue $1,000,000 in 2% per cent
bonds, none of which will be offered to
the public. Company officials have an­
nounced that a considerable portion
of the money will be used to retire
present outstanding bank obligations.
Speaking at a state meeting of the
Nebraska County Assessors Associa­
tion, Governor Val Peterson compli­
mented Nebraska state banks on hav­
ing had much to do with the Cornhusker state being in a “relatively
good position to ride out a depression.”
At the same time he pointed out that
the state banks at the close of the year
were in an exceptionally strong posi­
tion. He did this by citing 1947 state
bank deposits as $417,000,000 in excess
of those of 1929, and' $778,000,000
greater than the total for 1941. The
governor made it clear that he was
NOT anticipating or forecasting a de­
pression.—The End.

Hastings National Bank

assets, including all phases of its busi­
ness, was announced last month by
George M. Lathrop, who has managed
and owned a majority of the company
stock for some time.
Abstracting, insurance, legal, real
estate and other matters will be con­
ducted from now as they have in the
past by Mr. Lathrop.

C.
L. Van Horne, formerly of the
York State Bank, is the new assistant
North Platte
vice president of the Hastings National
Bank.
First National Bank
This was announced during the an­
nual meeting of directors and officers.
Ray C. Langford, who became asso­
All other officers re-elected for the ciated with the First National Bank
coming year are: Howard G. Pratt, as vice president in January, 1912,
president; O. A. Riley, vice president; retired as executive vice president of
Charles E. Deets, cashier; and J. Leo the bank at the annual meeting.
Swigle, Joseph Bauer and L. J. McWhen Mr. Langford became associ­
Cune, assistant cashiers. Directors are ated with the bank, the deposits were
C. E. Byers, Dr. O. A. Kostal, Mr. Pratt, $480,000. He has taken an active part
Mr. Riley, R. R. Vance and Stephen in the development of the bank, which
Swigle.
today has deposits of more than $9,The bank declared a dividend of 368,000.
$75,000 which will bring the capital
At the meeting of the board of di­
stock in the bank up to $200,000, equal­ rectors, the following officers were
ing the surplus account.
elected: Keith Neville, president; Ray
Total deposits at the Hastings Na­ C. Langford, chairman of the board;
tional for 1947 amounted to $12,154,694 W. H. Munger, executive vice presi­
compared to the 1946 total of $12,223,- dent; L. W. Langford, vice president
986.
and cashier; Robert Crawford, A. R.
Sudman and Anna M. Hayes, assistant
cashiers.
Hooper
The First National Bank of Hooper,
McDonald State Bank
Nebraska, passed another milestone
J. Y. Castle, executive vice presi­
last month, marking up 62 years of
dent, was elected president of The
service to the community.
In 1900 the bank, then known as The McDonald State Bank of North Platte
State Bank of Hooper, exchanged its at the annual meeting of the board of
state charter for a national charter un­ directors. Mr. Castle succeeds L. B.
der the present name of The First Dick who has been president since
National Bank of Hooper. A. M. Till­ 1943 and who recently announced his
man, who with others purchased stock retirement.
W. H. McDonald continues to serve
in the bank in 1903, has been its presi­
dent throughout most of the years as chairman of the board, with Geo. H.
since that time, with the exception of Larkin as vice president and G. W.
about four years while he resided in Taylor as cashier.
On January 1, 1948, the McDonald
Omaha.
State Bank celebrated its 70th anni­
versary. Mr. Castle pointed out that
Nebraska City
deposits have advanced from $228,Dissolution of First Trust Company 000 in 1902 to $5,318,000 today.
of Nebraska City and acquisition of its

Thedford

"H IDDEN ”
CO LLA TERA L
th a t F ie ld W a re h o u sin g
b rin g s to L IG H T . . .

is available inventory of raw ma­
terial or finished goods, on which
the William H. Banks Organization
issues its field warehouse receipts.
These receipts may be used as collateral for a satisfactory
loan, while inventory remains stored on the premises of the
borrower, to be released as needed. The entire procedure is
fast, simple and economical. Investigate today.

W illia m H . B a n k s W a r e h o u s e s , Inc.
G e n e r a l Offices:

209 S. LA SALLE STREET
CHICAGO, ILLINOIS
Telephones: State 0204-0205
D iv is io n O ffic e s :

DES MOINES, IOWA
★
W ESLACO . TEXAS
★

OGDEN, UTAH
★
FAYETTEVILLE, ARK.

N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

★

ANGOLA, INDIANA
ST. LOUIS, MO.

Leroy Abbott, of Alliance and Chris
Abbott of Hyannis have purchased
controlling interest in the Citizens
State Bank of Thedford, Nebraska, it
was announced last month. T. P.
Hamilton, president of the bank since
1930, owned most of the stock.

Kenesaw Bank Burns
Fire last month virtually destroyed
a brick building in downtown Kene­
saw, Nebraska, housing the Adams
County Bank, a general store and
hardware owned by Major John Widener.
The bank occupies the corner of the
L-shaped building. An explosion was
reported to have occurred inside the
bank, blowing out windows and dam­
aging the roof.

Eight Banks Join A.B.A.
The following Nebraska banks have
become members of the American
Bankers Association: Citizens State
Bank of Carleton, State Bank of Colon,
Farmers State Bank of Davey, Bank
of Palmyra, Bank of Peru, State Bank
of Stella, Bank of Talmage, and Ne­
braska State Bank of Weeping Water.

N eb raska N ew s

t Bro m o tio n s F ir st N a tion a l O m aha

51

Creighton, Herman Kountze, John A.
Creighton, C. T. Kountze, F. H. Davis,
and the present Board Chairman, T. L.
Davis.
Other promotions resulting from the
annual meeting included appointment
of E. N. Solomon and John R. Lauritzen as assistant vice presidents.
Reuben L. Swanson, Lawrence E.
Erickson, Charles K. Vorhees, and Carl
N. Bloom were named assistant cash­
iers.
The stockholders and directors voted
to increase the capital of the bank
from $1,500,000 to $2,000,000. They
also voted to increase the surplus from
$1,500,000 to $2,000,000. Total resources
of the bank are more than $92,000,000.

City National, Chicago

T. L. D A V IS
Elected Chairman of Board

nRED W. THOMAS was named the
I seventh president of the First Na­
tional Bank of Omaha at the annual
directors’ meeting.
T.
L. Davis, president for many
years, was named chairman of the
board, and will continue active in that
capacity.
A native of Sargent, Nebraska, in
the Sand Hills, Mr. Thomas is the son
of a pioneer banker. He attended Cen­
tral High School in Omaha and re­
ceived his Bachelor of Arts Degree
from the University of Nebrask. He
later took special work at Weimar,
Germany.
After an apprenticeship in the old
Union National Bank of Omaha, he
became cashier of the Live Stock Na­
tional Bank. In 1917, he joined the
First National as cashier. Mr. Thomas
later was elected vice president.
He is chairman of the State Advis­
ory Board of the Reconstruction Fi­
nance Corporation.
Mr. Thomas is engaged in many
educational and charitable activities.
He has served as regent of the Uni­
versity of Nebraska, and now is a
trustee of the University of Nebraska
Foundation. He is trustee of Doane
College, Crete, and vice president of
Brownell Hall.

BANKS

Bought and Sold

Confidentially and with becoming dignity

BANK EMPLOYEES PLACED
43 Years Satisfactory Service

CHARLES E. WALTERS CO.
OMAHA,


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Federal Reserve Bank of St. Louis

At the annual meeting of the stock­
holders of the City National Bank and
Trust Company of Chicago, William
L. Ready, president of the United
States Gypsum Company, was elected
to the board.

FRED W . T H O M A S
Named to the Presidency

Mr. Thomas is also president of the
Omaha Library Board, a vestryman of
Trinity Cathedral, trustee of the Ne­
braska Children’s Home Society, and
a trustee of Clarkson Episcopal Hos­
pital. He is married and lives at 6414
Underwood Avenue in Omaha.
Mr. Thomas’ is the fourth family
name to be associated with the presi­
dency of the First National in its
nearly one hundred years. The bank
was founded in Civil War days and
received what is now the oldest char­
ter from Omaha West.
Its presidents have been Edward

At a meeting of the directors which
followed the stockholders’ meeting,
Ben Franklin Meyer was elected as­
sistant vice president; John Barbee,
assistant trust officer, and Arthur
Herold, assistant cashier. All other
officers were re-elected.

increase Capital
The Security State Bank of Hol­
brook, Nebraska, is changing its arti­
cles of incorporation to permit a
larger capital. Due to the increased
volume of business it was decided by
the board of directors to increase the
figure from $20,000 to $25,000.

9 * t J lin c o ln —

M

iy X O R E

Q a * iii* ie * ttc U —

people every day are making use of

Continental services.

Long known as "Nebraska's

friendly

Continental

bank,"

the

pledges

prompt,

friendly and efficient service.

*

k a

CONTINENTAL RATIONAL
0

/ K
f

LINCOLN

Member Federal Deposit Insurance Corporation

NEBRASKA

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

52

Pa u l H a n s e n , V i c e - P r e s i d e n t of L i v e S to c k N a t i o n a l B a n k , w h o sp eci aliz es in i n v e s t m e n t p r o g r a m ­
m i n g fo r c o r r e s p o n d e n t b a nk s , is s h o w n ab ov e ( l e f t ) w i t h Russell L o r i n g , a s s is ta n t to M r . H a n s e n .

Investment Planning
Fitte d to Your Needs . . .
Years of experience that assure knowl­
edge of your needs are behind the in ­
vestment portfolio service available to
you at Live Stock National B ank. W e
now serve more than 400 banks in the
Great Plains and Rocky M ountain area
with the unbiased, personal help you
want in building a sound investment
program for your bank.
T h is service includes portfolio analysis
and program building based on co­
operative studies with you to fit y o u r
n e e d s . Y o u also get prompt executions
on your orders to buy or sell securities

and the added convenience of safe­
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T here’s a ’’plus” quality in this better
investment planning service for you.
That extra is the accumulated years
of experience of our team of officerspecialists. A ll of our officers came up
through the ranks, or had years of ex­
perience in correspondent banks. One
of these is Paul Hansen, vice-president,
who specializes in investment program­
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advantage of this ’’plus” correspond­
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Member of Federal Reserve and Federal Deposit Insurance Corporation
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

53

Promotions

at

Davenport

V.
O. Figge, president of the Daven­
port Bank and Trust Company, Dav­
enport, Iowa, has announced that J.
M. Hutchinson has been made execum

Urnup M e e tin g s This 3Sonth
ROUPS One and Eleven of the
Iowa Bankers Association will
G
follow their usual custom and again
this year hold their meetings in Sioux
City on February 12th, and in Burling­
ton on February 23rd, respectively.
With February 22nd this year falling
on a Sunday, the usual preconvention
party will take place the evening of the
22nd, and the main meeting on Mon­
day, February 23rd.
Programs for the meetings are as
' follows:

Group One, Sioux City
February 12th
11:00 A. M.—Group Conference
of County Association Officers
12:00 Noon—Luncheon
Martin Hotel Ballroom
Presiding:
A. E. Muir, President,
Onawa State Bank; Chairman, Group
One.
Invocation: Rev. George W. Dunn,
Pastor, First Methodist Church,
Sioux City.

HHHmn ■ m

i

The Toy National Bank, Sioux City;
State Chairman, United States Sav­
ings Bonds sales.
Remarks: About “the School of Bank­
ing at the University of Wisconsin,”
Charles H. Walcott, Assistant Cash­
ier, Security National Bank, Sioux
City.
Remarks: Walter T. Robinson, Loan
Guarantee Officer, Veterans Admin­
istration, Des Moines. (A room will
be available for instruction by a G. 1.
loan officer.)
Adjournment.
5:00 to 6:00 P. M. Social Hour
Cavalier Room, Basement,
Martin Hotel
6:30 P. M.—Banquet, Ballroom
Martin Hotel
Music and Entertainment
Presiding: C. L. Fredricksen, Presi­
dent, Live Stock National Bank;
President, Sioux C i t y Clearing
House Association.
Address: “Personal Relationships,” Dr.
C. H. Bliss, D.D.S., Sioux City.

J. M. H U T C H IN S O N
Now Executive Vice President

tive vice president. He formerly held
the title of vice president and trust
officer.

Group Eleven, Burlington

AFTERNOON
1:15 P. M.—Martin Hotel Ballroom
Meeting Called to Order: A. E. Muir,
President, Onawa State Bank; Chair­
man, Group One.
Address of Welcome: C. L. Fredricksen, President, Live Stock National
Bank; President, Sioux City Clearing
House Association.
Response: John J. Porter, Executive
Vice President, Lyon County State
Bank, Rock Rapids.
Appointment of Resolutions Commit­
tee.
Remarks: Newton P. Black, Superin­
tendent of Banks, Des Moines.
Address: “Dangers of Inflation,” R. F.
Patterson, Dean of the School of
Business Administration, University
of South Dakota, Vermillion, South
Dakota.
Report of Resolutions Committee.
Remarks: Frank Warner, Secretary,
Iowa Bankers Association.
Address: “Abraham Lincoln,” John
Hamer, Manager, M a s o n C i t y
Branch. Standard Oil Company.
Remarks: R. R. Brubaeher, President,

There will be a social hour starting
at 6:30 p. m. on the mezzanine floor of
the Hotel Burlington on February
22nd, followed by a buffet dinner. On
February 23rd registration will start
at 10:00 o’clock a. m. on the mezzanine
floor of the Hotel Burlington and din­
ner at 12:15 p. m., preceded by the in­
vocation. Following the dinner will be
the regular Group Eleven meeting as
follows:
Call to Order by Dale Kelley, chair­
man, Group Eleven.
Minutes by Frank Crone, secretary,
Group Eleven.
Greetings by W. W. Blaiser, president,
Iowa Bankers Association.
Remarks by N. P. Black, superintend­
ent of banking, state of Iowa.
Words of Wisdom by Frank Warner,
secretary, Iowa Bankers Association.
“What’s Ahead for Business”
“ Inflation Boom or Bust” by Arthur
R. Upgren, Professor of Economics,
University of Minnesota; associate
editor of the Minneapolis Star Jour­

nal.

Adjournment.

Did you know that this company pioneered in putting
Bank Insurance on a scientific basis and forcing
rate reductions? Ask us about our counseling service.

E. H. K E T E L S E N
Newly Elected Cashier

Mr. Hutchinson has been in the
banking business all his life, starting
in his home town of Decorah, Iowa in

Scarborough & Company
Insurance Counselors

F IR S T

N A T IO N A L


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Federal Reserve Bank of St. Louis

BANK

B U IL D IN G

•

C H IC A G O

3,

IL L IN O IS

V#

STATE

to Banks

4325

N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

54

Io w a N ew s

1914, and moving successively to Cedar
Rapids and Davenport where for the
last fifteen years he has been an officer
and director of the Davenport Bank
and Trust Company. He is at the
present time serving as a member of
the Executive Council of the Amer­
ican Bankers Association. He has also
served as a member of the Executive
Committee of the Trust Division of
the American Bankers Association.
Ernest H. Ketelsen has been made
cashier of the Davenport Bank and
Trust Company. He formerly held
the title of assistant vice president and
comptroller.
Mr. Ketelsen came to Davenport in
1924 from Walcott, Iowa. He became
associated with the Davenport Bank
and Trust Company at the time of its
organization in July 1932, and served
as assistant vice president and comp­
troller. He is a past-president of the
Iowa Association of Bank Auditors
and comptrollers.
The bank now has a Capital of $600,000; Surplus $3,000,000; Reserves and
Profits $1,904,408, and Deposits of $74,734,211.

Mortgage Bankers Elect
Milton S. Olson, vice president and
treasurer of the General Mortgage Cor­
poration, Des Moines, was elected
president of the Iowa Mortgage Bank­
ers Association annual meeting in
Sioux City last month. He succeeds
M. C. Eidsmoe, president of the Wood­
bury County Savings Bank, Sioux City.
Laird M. Fryer, assistant vice presi­
dent of the Iowa-Des Moines National
Bank, Des Moines, was elected vice
president, and Robert W. Turner,
president of the City National Bank,
Council Bluffs, was named secretary.

The six regional vice presidents
elected were: N o r t h w e s t—Joe T.
Grant, vice president, First National
Bank, Sioux City; Southwest—Walter
Hall, secretary of E. H. Lougee Com­
pany, Council Bluffs; North-central—
Max Guernsey, Wynkoop Mortgage
Company, Waterloo; South-central—
Hazelton H. Williams, vice president
Mahaska S t a t e Bank, Oskaloosa;
Northeast—N. J. Greteman, vice presi­
dent American Trust and Savings
Bank, Dubuque, and Southwest—Wil­
liam E. Hay, Iowa Securities Com­
pany, Davenport.
Members of the board of governors
are Mr. Eidsmoe, Douglas Swale, vice
president First National Bank, Mason
City; Earl Linn, president Weitz In­
vestment Company; Orville M. Garrett,
vice president Iowa-Des Moines Na­
tional Bank and Robert L. Beal, vice
president Iowa Securities Company,
all of Des Moines.

Pocahontas Officers Named
Bankers of the Pocahontas County
Bankers Association met last month
and elected officers for the coming
year. The following will serve the As­
sociation:
President—Guy G. Butler, president
Rolfe State Bank, Rolfe; Vice Presi­
dent—A. M. Kuhl, cashier First Na­
tional Bank, Fonda, and SecretaryTreasurer—Alfred Miller, cashier Po­
cahontas.

Taylor Guy
Taylor Guy, 94, vice president of the
Commercial Savings Bank in Carroll,
Iowa, since 1917, died of a heart attack
at his home last month.
Mr. Guy, a retired farmer, was an
extensive property owner, his hold­
ings including farm lands and busi­
ness buildings in Carroll and Jefferson.
Coming to Carroll county in 1871,
he had lived in Carroll since 1900.
In the fall of 1895, Mr. Guy retired
and moved to Atlantic. Five years

later he came to Carroll where he
lived until his death.

Andrew
Eber V. Flint was elected to succeed
the late J. L. Ripple as director of the
Andrew Savings Bank at the annual
stockholders’ meeting in Andrew,
Iowa. All other officers and directors
were re-elected.

Boone
Stockholders of the Boone State
Bank and Trust Company, Boone,
Iowa, held their regular annual meet­
ing last month and two new directors
were added to the previous board of
six members. The new members are
A. V. Doran and Morris F. Miller.
The entire staff was re-elected, with
one addition and three advancements
being made.
Morris F. Miller, formerly cashier,
was also named as a vice president.
C. M. Canady, formerly assistant
cashier, has been appointed as man­
ager, personal loan department, and
H. C. Overbeck, formerly assistant
cashier, was promoted to cashier.
Raymond Sherman has been added
to the staff as assistant cashier.

Buffalo
Rudolph Schroeder, president and
cashier of the Buffalo Savings Bank,
Buffalo, Iowa, has retired after serv­
ing 32 years and was replaced by C. C.
Wrage who was elected president and
cashier at the annual meeting.
Other bank officers elected were
Theodore Radetzki, assistant cashier,
and Rupert Kautz, vice president.
Frank DeHaven was the only new
member elected to the board of di­
rectors.

Burlington
George C. Swiler, president of the
Burlington Savings Bank in Burling­
ton, Iowa for 22 years, resigned that
post last month and is succeeded by
his son, Wesley H. Swiler, 43.
The resignation was accepted by the
board of directors at the annual meet­
ing and the elder Swiler was named
chairman of the board.
Charles L. Bosier was elected ex­
ecutive vice president. He has been
vice president since 1934. Martin
Grannaman, assistant cashier since
1925, was named cashier.
Melvin C. Gustafson and Wesley
Swiler were elected to the board, and
all other officers and directors were
re-elected.

Cedar Rapids
Merchants National Bank

S io n e e b b i n

C

e n t r a l

S P / ie c ia / S P e b v ice S B a n ^ in ^

N

a t i o n a l

B

a n k

IN C H IC A G O
RO OSEVELT ROAD AT HALSTED STREET
Member Federal Deposit Insurance Corporation
N o r t h w e s t e r n B a n k e r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

•

Member Federal Reserve System

John T. Hamilton, II, president of
the Merchants National I3ank of Cedar
Rapids has announced some changes
in the bank’s official family.
At the annual stockholders meeting,
Ray J. Mills, who is president of the
Iowa Mutual Liability Insurance Com­
pany, and E. J. Lattner, president of
the Century Engineering Company,
were made directors of the bank. At
the annual directors meeting, the fol­
lowing promotions were made: R. W.
Manatt and Leonard W. Broulik were
advanced to vice presidents: Mark J.

T 'his M oney
travels fast
M ore than three-quarters of

ask their com m ission men

a century’s experience has

to route their money through

taught us to appreciate the

this B ank, the advice of credit

value of speed in the trans­

goes to you on the day of

m issio n of proceeds

receipt.

from

The

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the sale of live stock in C h i­

p o st o ffice is ju st a c ro ss

cago. W hen your custom ers

the street and no time is lost.

We will he pleased to send you in­
struction cards to give your shippers.

fTïie

L IV E S T O C K
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'A t c i/ t o n a /

U N IO N S T O C K YARDS

ESTABLISHED


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Federal Reserve Bank of St. Louis

1868

M em ber Federal Deposit Insurance Corporation

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

56

Iowa News

Myers will now devote his time to his
duties as vice president; and Peter
Bailey was elected to cashier. James
E. Coquillette has been made an assist­
ant cashier.
James E. Hamilton continues as
chairman of the executive committee
and S. E. Coquilette as chairman of
the board.

Peoples Savings Bank
Personnel shifts at the Peoples Sav­
ings Bank in Cedar Rapids were an­
nounced after annual meeting of stock­
holders and directors.
In addition, Peoples stockholders
voted to change the institution’s name
to “ Peoples Bank and Trust Com­
pany.”
Ervin F. Stepanek, cashier, was ele­
vated to a vice presidency, and Carl

Volesky, with the bank for 12 years,
was named an assistant cashier. Mr.
Stepanek will continue as cashier, a
post he has held since 1933.

Cherokee
At the annual meeting of the Cen­
tral Trust and Savings Bank, Chero­
kee, Iowa, an excellent business year
for the banking firm was reported.
Officers for 1948 were elected as fol­
lows: Chairman of the board, A. W.
Jones; president, John Keeline; vice
president, James Dunn; cashier, Al­
bert Eggert; assistant cashier, George
Pingrey.

Charles City
The board of five directors was re­
elected for the coming year and three
new directors added at the annual

Wel come to Dur Group Meet i ng
in

Bu r l i n g t o n
Burlington banks extend a hearty invitation to
all members of Group Eleven and other bankers
to attend our annual Group meeting.

Monday, February 23
W e have arranged a fine program and we
have also prepared some excellent entertain­
ment for your pleasure on Sunday evening,
February 22.

Be sure and attend our Group

meeting and enjoy our well-known Burlington
hospitality.

REMEMBER TO BE WITH US AT OUR
SUNDAY EVENING PRECONVENTION
PARTY!

meeting of stockholders of the Com­
mercial Trust and Savings Bank in
Charles City, Iowa, last month.
New members of the board are W.
Loren Parr, cashier, William E. Frudden, secretary of the Geo. P. Smith Co.,
and Clyde M. Frudden, secretary-treas­
urer of N. Frudden and Son, Inc.
All officers were re-elected.

Clarence
At the annual meeting of the stock­
holders of the Clarence Savings Bank,
Clarence, Iowa, Harry Decker was
chosen as a member of the board of
directors for the position held by the
late Hans Klatt. This makes the pres­
ent board composed of Earl Elijah,
Joe Ditz, E. C. Hasselbusch, Henry
Von Muenster and Harry Decker.

Clinton
Directors of the Clinton National
Bank, Clinton, Iowa, elected L. J. Derflinger as new president while L. J.
Schuster, retiring president, w a s
named chairman of the board.
Previous to action by the board, Mr.
Derflinger had been serving in the
capacities of executive vice president
and cashier.
W.
J. Wegener has been assistant
cashier for a number of years and now
assumes his new duties as cashier.

Council Bluffs
Philip A. Waite was named cashier
of the Council Bluffs Savings Bank at
a meeting of the bank directors last
month.
Mr. Waite has been serving as as­
sistant cashier. He takes over the job
as cashier from E. H. Spetman. Sr.,
who formerly held positions of vice
president and cashier. Mr. Spetman’s
title will now be that of vice president.
W. M. Grote and James B. Gronstal,
formerly assistant cashiers, w e r e
named assistant vice presidents. Their
positions as assistant cashiers will be
filled by Robert Starr and E. H. Spet­
man, Jr.

Denison
Joseph M. Wansing, Denison. Iowa,
implement dealer was elected a di­
rector of The First National Bank of
Denison at the annual stockholders'
meeting. Mr. Wansing has been a
resident of Denison for many years
and is very active in public affairs.
He is president of the Crawford Coun­
ty Fair Association and is a director
of the Denison Chamber of Commerce.

Donnellson

Burlington Savings Bank
Farmers & Merchants Savings
Bank
National Bank of Burlington

At the annual meeting of stockhold­
ers of the Citizens State Bank. Don­
nellson, Iowa, Ed J. Dahms and Carroll I. Redfern were elected to the
board of directors, raising the number
of board members to seven. It was
announced at the annual meeting that
the surplus fund had been increased
from $25,000 to $50,000 making total
capital structure of the bank read
$118,376 with deposits of over S2.000,000.

De Witt
At the recent annual meeting of the
stockholders of the DeWitt Bank &
Trust Company, De Witt, Iowa, the di­
rectors were re-elected and the followN o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

57

OFFERING
HELPFUL
CORRESPONDENT
SERV ICE
IN DES MOINES

VALLEY BANK AND T R U ST COM PANY
D ES M O I N E S
7Sth
MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION


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Federal Reserve Bank of St. Louis

ANNIVERSARY
YEAR
N o r t h w e s t e r n B a n ke r, F e b r u a r y ,

1948

58

Iowa News

ing promotions were made in the per­
sonnel:
J. Yvo Floerchinger from cashier to
executive vice president; Thos. J.
Neessen from assistant cashier to cash­
ier, and Ivan E. Barber, teller, to as­
sistant cashier.

Eldora, Iowa, five of seven directors
were re-elected.
Hans P. Hansen and Morten Nelsen
were elected to succeed Folmer Faaborg and Thomas Christensen.

Eldora

The Security Savings Bank, Farnhamville, Iowa, has a new slate of of­
ficers.
Ben Hanson is chairman of the
The changes in the officers of the
board of directors which includes First National Bank of Hampton,
Oscar Peterson, Ray Ewing, Harry Iowa, were promotion of J. M. Boots
Madson and O. W. Madson.
to vice president from cashier, of Fred
O.
W. Madson was elected president. A. Keepf to cashier from assistant
He was previously cashier. Robert cashier, and Robert Schaefer to assist­
Anderson was promoted to cashier ant cashier.
from assistant cashier and Charles
The list of officers and directors now
Madson is now assistant cashier.
is composed of: D. D. Bramwell, presi­
dent; J. H. Boehmler, vice president;
J. M. Boots, vice president; Fred A.
Keepf, cashier; Robert Schaefer, as­
sistant cashier. Directors, D. D. Bram­
well, J. H. Boehmler, W. K. Bramwell,
H. E. Boehmler, Dr. H. H. Johnston,
M. J. Bramwell, C. C. Bramwell.

Farnhamville

W. S. Norton, a Stockton, Illinois,
banker, was added to the directorate
of the Hardin County Savings Bank,
Eldora, Iowa, at the annual meeting
of the board held recently. All officers
and other directors were re-elected.

Elkhorn
At the annual meeting of stockhold­
ers of the Landmarks National Bank,

Greene
D.
H. Ellis, vice president of the
First State Bank, Greene, Iowa, re­
ports that at the annual meeting of
the stockholders of the bank V. K.
Barth, cashier, was elected to the
board of directors. All other directors
and the officers were re-elected.

Independence
Farmers State Savings Bank
E.
F. Sorg, president of the Farmers
State Savings Bank, Independence,
Iowa, announces two promotions on
the official staff of that bank. At the
annual meeting C. L. Fiester was ad­
vanced from cashier to vice president,
and P. E. Sorg was elected to succeed
Mr. Fiester as cashier. Previously he
had been assistant cashier. E* E.
Everett, vice president, and Jean Hohl,
assistant cashier, complete the official
roster. All directors were re-elected
and a 14 per cent dividend was de­
clared payable semi-annually Febru­
ary 1st and August 1st. Assets of the
bank are $6,500,000, and loans are
$1,500,000.

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N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

DES M OINES, IO W A

R. J. O’Brien was elected president
and a director of the Security State
Bank in Independence to succeed J. F.
Baden who resigned at the annual
meeting of stockholders and directors.
Mr. Baden announced he was leav­
ing his post at the bank reluctantly to
go to Texas where he and his family
plan to live. He has disposed of his
interests in the bank to other stock­
holders.
Members of the board of directors
also named Roger Wheeland as ex­
ecutive vice president, Art Satterlee,
as vice president, John Corcoran, Jr.,
cashier, and Lewis Holland, assistant
cashier.

Indianola
Three changes were made in officers
at the 29th annual meeting of stock­
holders at the Peoples Trust and Sav­
ings Bank in Indianola, Iowa.
Guy Risinger was made assistant
vice president; L. Y. Van Syoc was
made cashier; and Richard W. Haldeman was made assistant cashier. Other
officers were re-elected with William
Buxton III continuing as president.

Keota
At the annual stockholders and di­
rectors meetings of the Security State
Bank, Keota, Iowa, officers were
elected as follows: W. F. Stoutner,
president; J. E. Leinen and M. F.
Beery, vice presidents; Harold A.
Stowell, cashier.
Directors besides

59

Iowa News
these are J. Forest Embree, P. P.
Hahn and F. F. Hagist. Thos. B.
Mills and Sally Mayer were elected
assistant cashiers. The bank paid a
dividend of 10 per cent on par value
of stock on December 31st.

Kir©s?

All directors and officers of the
Kiron State Bank, Kiron, Iowa, were
re-elected last month. President G. A.
Norelius announced a 10 per cent divi­
dend to stockholders. He also an­
nounced that a new tile floor is being
laid throughout the bank. Deposits
of the Kiron State Bank now exceed
$1,250,000.

Lake City

The following officers were elected
at the annual meeting of the stock­
holders of the Lake City State Bank,
Lake City, Iowa: Walter Jacobs, presi­
dent; Mary E. Peebles, John H. Rathjen, vice president; R. O. Moll, cashier,
and Paul W. Mack, assistant cashier.
L. W. Sievert, who has been presi­
dent of the bank for several years,
has sold his stock in the institution.

Ottumwa

Newell

The board membership of the First
National Bank of Newell, Iowa, has
been increased from five to six mem­
bers. In addition to the regular board
membership of F. C. Foley, M. A.
Armstrong, Arthur Nelson, A. J. Hill
and Loverne Erickson, Gilbert Hill
was elected to serve as the sixth mem­
ber. All officers remain the same for
the ensuing year.

Newton
The only change in officers of the
Newton National Bank, Newton, Iowa,
announced by O. L. Karsten, president,
following last month’s meeting was
the advancement of O. L. Minear to
the post of assistant cashier.

Farmers and Merchants Savings
The new president of the Farmers
and Merchants Savings Bank of Ot­
tumwa is Earl A. Wimmer, who was
elevated from the offices of vice presi­
dent and cashier at the annual meet­
ing.
Mr. Wimmer succeeds Emmet A.
Work as president. Mr. Work re­
mains on the board and as attorney
for the bank.
Succeeding Mr. Wimmer as cashier
is Miss Kathryn Glenn, who has been
assistant cashier. Elected a vice presi­
dent is P. C. Warder, who has been
serving on the board. Herbert Van
Cleave and D. J. Weeks were pro­
moted from tellers to assistant cash­
iers.

OUR GROUP MEETING

Lamoni

This month bankers in Iowa, Minnesota, Nebraska
and South Dakota will come to Sioux City to attend
our 1948 group meeting of Iowa Group No. 1. You
will find the First National Bank well represented
and we hope to see you here.

Farris T. Turner was elected presi­
dent of the board of directors of the
State Bank of Lamoni, Iowa, last
month. He fills the vacancy left by
the recent death of his father-in-law,
C. V. Anderson. G. N. Briggs con­
tinues as vice president, Verne Des­
kin as cashier and Miss Clara Allen
is assistant cashier.
Mr. Turner is a well known farmer
and stockman in Harrison county,
Missouri.

During your visit to Sioux City, visit us. Our
officers and directors extend to you a sincere invi­
tation to stop in and ask us about First National
correspondent service.

Lansing
Thomas M. Kerndt of Lansing, Iowa,
has resumed his former position with
the Kerndt Brothers Savings Bank,
having resigned his position as special
agent of the Federal Bureau of In­
vestigation. He was with the F.B.I.
for nearly five years.

A. G. SAM, President
J. T. Grant, Vice President
J. R. Graning, Cashier
E. A. Johnson, Assistant Cashier

Le Mars

H. H. Strifert, Assistant Cashier
K. J. Shannon, Assistant Cashier
J. Ford Wheeler, Auditor

MEMBER FEDERAL RESERVE SYSTEM
MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

John Alesch of Le Mars, Iowa, was
elected a new director of the First Na­
tional Bank to fill the vacancy left by
the death of Ben Ernsterhoff, who died
last fall.
Other directors of the bank and the
officers were all re-elected.

Marshalltown
M. C. Berkley, vice president of the
Fidelity Savings Bank, Marshalltown,
Iowa, for the last 20 years, has re­
signed, it was announced last month
by Roy R. Bradbury, president. Mr.
Berkley’s resignation will go into ef­
fect April 1st.
Mr. Berkley said he will continue
as a member of the bank’s board of di­
rectors and will retain his stock hold­
ings.

Y O U R ST A TE B A N K ER S A S S O C IA T IO N
O F F IC IA L S A F E , V A U L T A N D
T IM E LO C K EXPERTS

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OM AHA


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N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948

60

Iowa News

Re-elected as chairman of the board
was D. W. Johnson. One change was
made in the Farmers Bank directorate,
Asa G. Berry being elected to fill the
place of W. H. Robertson, resigned.

Fidelity Savings Bank
One new member of the board of
directors of the Fidelity Savings Bank,
Ottumwa, and all former directors and
officers of that bank were elected. The
new director is Stanley A. Haw.

Union Bank and Trust Co.
Retirement of four veteran Ottumwa
hankers was announced at the annual
meeting of the Union Bank and Trust
Company.
The combined service record of the
four totals 186 years with all that
service continuous and given in the
employ of the Union Bank and Trust
Company or with banks from which
the Union Bank combination was es­
tablished through the merger of 1931.
The retiring bankers are:
Frank von Schrader, H. L. Pollard,
Fred Dimmitt and John Weidenfeller.
Mr. Von Schrader, dean of Ottumwa
hankers, is retiring as chairman of the
bank’s board of directors with slight­
ly more than 60 years in the banking
business—one of the longest service
records in Iowa. He founded the Ot­
tumwa Savings Bank December 28,
1887, and was its president until the
merger when he became president of
the Union Bank and Trust Company.
While he is 88 years old, he is still
one of the first to arrive at the bank
each morning, and, by resolution of
the directors, he has been asked to re­
tain his desk at the bank.

Mr. Pollard, 54 years an Ottumwa
banker, has been vice president of the
Union Bank and Trust Company since
its organization.
He grew with the bank and occu­
pied the position of cashier, later vice
president, which position he held at
the time of the merger of the Ottumwa
National Bank, Iowa National Bank
and the Ottumwa Savings Bank and
Trust Company.
Mr. Dimmitt, another veteran em­
ploye of the bank, began his service in
March of 1899 and has completed ap­
proximately 49 years as an Ottumwa
banker, retiring as assistant cashier.
Mr. Weidenfeller, in charge of the
safety deposit department of the Union
Bank, has been in the banking busi­
ness for 23 years.

erty, Iowa, announces that all officers
and directors of that bank were re­
elected at the annual meeting of stock­
holders and directors last month.

S iv s

M o in v s

N

vm vs

T the Iowa-Des Moines National
Bank, following the annual meet­
ing, Herbert L. Horton, president, an­
nounced the election of George C. Ivoss
as a director, and the promotions of

A

Packwood
The stockholders of the Farmers
Savings Bank of Packwood, Iowa, held
their annual meeting at the bank last
month.
Officers elected for the coming year
are: president, Orville Leisure; vice
president, Mrs. Harry Pile; cashier,
J. E. Wallace; assistant cashier, Mrs.
C. W. Nelson; directors, Ira Davis, S.
H. Nelson, Mrs. Harry Pile, Orville
Leisure, Glen Bradfield, J. E. Wallace
and Harlan Myers.

Waterloo
National Bank of Waterloo
The 11 directors of the National
Bank of Waterloo were re-elected and
all officers retained in office including
Charles S. McKinstry, president, who
stated that the bank would make a
semi-annual dividend payment of $5
per share.

Waterloo Savings Bank
Harry G. Northey was elected chair­
man of the board of directors of the
Waterloo Savings Bank at a reoreranizational meeting of the board
following the annual meeting of stock­
holders.
Clarence E. Campbell was elected
president of the bank, succeeding Mr.
Northey, who had served in that ca­
pacity nearly 19 years.
Other new officers at Waterloo Sav­
ings Bank are the following: Francis
R. LaBarre and V. Spalding Miller,
both elevated from assistant cashiers
to assistant vice presidents; Forrest
D. Lofton, Dale K. DeKoster, John R.
Sanders and Willis J. Vollenweider.
all named assistant cashiers, and
Merle W. Rodgers, teller.

Director,

GEORGE C. KOSS
Iowa-Des Moines National

Bank

Gerald O. Nelson from assistant vice
president to vice president and Harry
L. Westphal from assistant cashier to
assistant vice president. He also an­
nounced the election of Janies R.

West Branch

LETTER AND CATALOG ARRIVE TOGETHER

T e n s io n E n v e l o p e C o r p .
M A N U F A C T U R I N G P L ANT

DES M O I N E S 14, I O W A '
.j
Grand Ave.
Phone 4 - 4 1 2 6 I
N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

The First State Bank of West
Branch, Iowa, held the annual meet­
ing last month and all officers and
directors were re-elected. Fred W.
Hinkhouse, president pointed out that
the bank is starting its 73rd year of
service to the West Branch community
and reports that the gain in business
in 1947 was larger than any previous
year of its history. A dividend of 12
per cent was paid and $15,000 was
transferred to the surplus account pro­
viding a capital structure now of $25,000 in common stock, $75,000 in surplus
and $41,000 of undivided profits.

West Liberty
R. S. Kirkpatrick, president of the
West Liberty State Bank, West Lib­

GER ALD O. N E L SO N
Promoted to Vice President

Brown to assistant cashier, Arthur J.
Petit to assistant trust officer and the
retirement of Rufus L. Chase from the

bank.

Io w a N e w s

Mr. Koss is president of the Koss
Construction Company in Des Moines.
Mr. Nelson’s advancement follows
21 years of service with the bank. He
was made assistant vice president in
1946 and is head of the instalment loan
department.
Mr. Westphal, bond department of­
ficer, has been with the hank since

bank will in no way be affected by the
change in name and that the trust de­
partment will continue under the di­
rection of Clyde H. Doolittle, vice
president.
All other directors and officers were
re-elected.
George A. Moeckly, assistant vice
president of the Bankers Trust Com­
pany and manager of the personal loan
department, was promoted to vice
president of the bank at the annual
meeting according to J. W. Hubbell,
president.
Mr. Moeckly has been with the bank
20 years. He also is president of the
Des Moines Retail Credit Association.

61

B. F. Kauffman, remains as chair­
man of the board.
There were no other changes in the
bank’s staff.
In his annual report, Mr. Hubbell
revealed that during 1947 the Bankers
Trust Company served over 3,000
more customers than during the pre­
vious year.

New directors elected at the Central
National Bank and Trust Company
were William J. Goodwin, Jr., presi­
dent of the Des Moines Clay Company,
and Edward A. Kimball, executive
vice president of the Iowa Manufac­
turers Association.
President E. F. Buckley said all

H A R R Y L. W E S T P H A L
Named Assistant Vice President

1933 and has been assistant cashier
since 1943.
Associated with the bank since 1930,
Mr. Brown has been manager of the
bank’s credit department.
Mr. Petit joined the bank in 1945,
since then he has been assistant in the
probate division of the trust depart­
ment.
In retiring from the bank, Mr.
Chase, widely-known assistant vice
president, rounds out 56 years of bank­
ing service, 49 of which were at the
same institution. Mr. Chase, affection­
ately known to his friends as “Buck,”
joined the American Savings Bank of
Des Moines as a messenger boy in
1891. His father was then cashier of
American Savings Bank. In 1893,
Chase went to work for the Bankers
Iowa State Bank which was merged in
1898 into the Des Moines Savings
Bank, one of the predecessor banks of
the Iowa-Des Moines National Bank.
He has seen the deposits of the bank
grow from $362,000 in 1893 to its pres­
ent total of over one hundred million
dollars. Mr. Chase has been a lobby
officer in the bank administration de­
partment for many years and has been
an active member of the Pioneer Club.
President Horton also announced
that the bank’s name was being short­
ened to Iowa-Des Moines National
Bank for public convenience. He
stated that the trust activities of the

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Federal Reserve Bank of St. Louis

WATERLOO

S E R V I N G ..
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IOWA B U S I N E S S
Prompt, efficient and complete
banking facilities make this
bank your logical choice for
Northeastern Iowa business.
You can be assured your ac­
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individual attention.
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€2

Io w a N ew s

other directors and all officers were
re-elected.
Stockholders of the Valley Bank and
Trust Company voted to amend the
bank’s articles of incorporation to in­
crease the common stock from $200,000 to $600,000.
The $400,000 increase will be ac­
complished by the issuance of a stock
dividend, Frederick M. Morrison,
president, said, which will be met by
transfer from earnings and other as­
sets in the capital accounts.
New member of the Valley Bank
board of directors elected was Ellis I.
Levitt, president of the State Finance
Company.
William A. Broquist, president, and
all other officers of the Iowa State
Bank were re-elected at the annual
meeting.
Carl Moody was also given the du­
ties of trust officer in addition to his
post as cashier.

Stockholders of Capital City State
Bank re-elected the bank’s seven of­
ficers and its ten directors and named
an eighth officer, Warren Ferguson,
who was named an assistant cashier.
•Rolfe (). Wagner was re-elected
president.

Four officers of the Home Federal
Savings and Loan Association were
promoted at the annual meeting.
Jonathan M. Fletcher, secretarytreasurer, was named executive vice
president and secretary; John R. Buckley, Jr., was advanced from assistant
secretary-treasurer to vice president;
Edith Keeling from assistant treasurer
to treasurer, and W. W. Burns, from
chief appraiser to the newly created
office of assistant vice president.
Officers re-elected include C. B.
Fletcher, board chairman, and Arthur
S. Kirk, president.
Officers of the Des Moines Building
Loan and Savings Association were
re-elected at the annual meeting, it
was announced last month by A. H.
Minnis, board chairman. Elmer E.
Miller was renamed president and sec­
retary.
Notre Dame’s famous Frank Leahy
was in Des Moines last month to ad­
dress a meeting of the Dowling Club
at which Harold Klein, vice president
of the Iowa-Des Moines National Bank,
was toastmaster. Coach Leahy was
greeted by a crowd of 2,000 enthusias­
tic sports fans. Mr. Klein also intro­
duced Bishop Gerald T. Bergan and
Dowling’s coach Johnny Knolla.

Sioux City Noirs

MERCHANTS
MU T UA L

BO N D IN G
COMPANY
Incorporated 1933

Home Office
SAVINGS & LOAN BUILDING

Des Moines, Iowa

This is Iowa’s oldest surety company.
A progressive company with experi­
enced, conservative management.
We are proud ol our two hundred
bank agents in Iowa.
To be the exclusive representative of
this company is an asset to your bank.

•
E. H. WARNER
Secretary and M anager

W. W. WARNER
Assistant Secretary

N o r t h w e s t e r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

re-elected, A. G. Sam, bank president,
announced.
J. E. Kelly was named assistant
cashier of the Morningside State Bank
at the annual meeting of the stock­
holders, John Scott, Jr., president, an­
nounced.
Renamed were Mr. Scott; J. E. DeWalt, vice president; C. I). Nissen,
cashier. The officers, in addition to
D. L. Griffen and 1). B. Harrington,
are directors.

There were no changes in the of­
ficers or the directors of the Toy Na­
tional, Security National, Live Stock
National and Morningside Savings
Banks.
Stockholders retained R. E. Brubacher as president of the Toy Na­
tional, Charles R. Gossett as president
of the Security National, Carl L. Fredricksen as president of the Live Stock
National and H. H. Epperson as presi­
dent of the Morningside Savings.

Harris Trust, Chicago
The following changes in the official
staff of the Harris Trust and Savings
Bank were announced by the board of
directors:
Rufus R. Jeffris, formerly assistant
vice president, was elected vice presi­
dent; William H. Froembgen and
Douglas S. Seator, formerly assistant

STOCKHOLDERS of the Woodbury
O County Savings Bank have voted
to declare a 100 per cent stock dividend
out of earnings and to increase the
bank’s capitalization from $100,000 to
$200,000. This action was taken at the
annual meeting, M. C. Eidsmoe, presi­
dent, announced.
Kenneth B. Pillar was named assist­
ant cashier of the bank. Other officers
and directors were re-elected.
J. R. Graning, assistant cashier at
the First National Bank, was elevated
to the post of cashier by the stockhold­
ers of that bank at the annual meet­
ing. He succeeds Fritz Fritzson who
retired the first of the year after
nearly a half century in the banking
business.
Mr. Graning entered the employ­
ment of the First National Bank
February 14, 1910, as a messenger and
his service has been continuous since
RUFUS R. JEFFRIS
then except for a period of military
Elected Vice President
service which took him overseas in
World War I.
secretary and assistant cashier, re­
Newly elected directors of the First spectively, were elected assistant vice
National Bank are G. Lawrence Avery, presidents.
Walter T. Mahoney, Robert L. Terry
Chalkley J. Hambleton, Jr., and Al­
and Joe T. Grant.
bert H. Vondenbosch were elected as­
All other officers and directors were sistant secretaries, Henry S. Kahn was

Io w a N ew s

63

Mourn B an kers in

Ninety-five Iowa bankers attended the Conference of Bank Correspondents sponsored by the First National Bank of Chicago.
of these Iowa bankers are included in the group pictured above.

elected assistant cashier, Norman Karow was elected pro-cashier, Horace
Moderwell was elected pro-secretary.
William S. Morrison and Henry W.
Michels were made assistant sales
managers, bond department, and Ralph
A. Heinsen, assistant manager, foreign
department.

Jones Re-elected
B. Rees Jones was re-elected presi­
dent of the Town Mutual Dwelling
Insurance Company, Des Moines, Iowa,
at the fifty-sixth annual meeting.
Directors re-elected were: William
J. Goodwin, Rex H. Fowler and B.
Rees Jones.
Officers re-elected were: Lester T.
Jones, vice president; Frank H. Dirst,
secretary; William J. Goodwin, treas­
urer; C. L. Henschel, assistant secre­
tary; Leslie L. Greve, assistant secre­
tary; and Gus Scurlock, superintend­
ent of agents. R. Lloyd Young and
Rex H. Fowler were elected members
of the executive committee.
President Jones reported that the
company now carries insurance in
force totaling $805,361,003 and is the
largest exclusive dwelling insurance
company in America. Insurance in
force increased $78,697,399 during the
past twelve months. Mr. Jones also
reported an increase in assets of $150,000, bringing the total assets as of
December 31st to $2,670,000.

Regional Manager
Eric Nissen has been appointed re­
gional group manager in Chicago for

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Federal Reserve Bank of St. Louis

Northwestern National Life Insurance
Company, with offices at 1 North La­
Salle. For the past 15 years Mr. Nis­
sen has been district group manager
for the Connecticut General headquar­
tered at Detroit, and for nine years
prior to that was a group representa­
tive of Aetna. A native of Boston, he
graduated from Boston University in
1923, with a degree in business ad­
ministration.

Bank of America

At the annual meeting of sharehold­
ers of Bank of America, San Francisco,
all directors were re-elected, and at the
directors’ meeting which followed, all
officers of the bank were reappointed.
In his annual report, President L.

Most

M. Giannini said that 1947 was a year
in which all the economic forces of
California, including the facilities of
Bank of America, were concentrated
on the task of catching up with the
requirements of greatly increased pop­
ulation. Significant change in the fi­
nancial position of the bank was in
the shift of employed funds from in­
vestment in long term premium securi­
ties to amortizing loans for such con­
structive purposes as building, buying
and equipping homes, expanding busi­
ness and industry, and creating more
employment.
“Let it be noted,” said Giannini,
“that our policy has been and will
continue to be to direct the credit
resources of this bank into sound loans
for constructive purposes which do
not aggravate the inflationary trend.”

W. D. Hanna

R O Y E. K IL E E N

JAM ES

L.

JO H N SO N

David H. Reimers, president of the Live

Stock National Bank o f Chicago, an­
nounces that Roy E. Kileen and James L.
Johnson have been promoted from assist­
ant cashiers to assistant vice presidents.

Walker D. Hanna, 55, investment
banker of Burlington, Iowa, died last
month after suffering a cerebral hem­
orrhage in Waterloo at Christmastime.
Born in Winfield, Iowa, Mr. Hanna
was graduated from the State Univer­
sity of Iowa in 1914. He was an official
of the Peoples State Bank in Wnifield
from 1915 to 1917 and in 1919 and
1920. Later he moved to Burlington
and at the time of his death he was
president of the Hanna-Kramer Com­
pany, investment bankers, and was
also interested in a number of other
corporations, including the Iowa-Illinois Telephone Company, Associated
Public Service Company, Muscatine
N o r t h w e s t e r n B a n ke r. F e b r u a r y , 1948

64

Bridge Corporation, Dexter Corpora­
tion of Fairfield, and Burlington In­
strument Company.
He is survived by his wife.

C O N V E N T MON S
Feb. 9, 10 and 11, A. B. A. Mid-Winter
Trust Conference, New York City,
Waldorf-Astoria.
Feb.

American National, Chicago
Edmund L. Andrews was named
vice president of the American Na­
tional Bank and Trust Company at
the annual meeting. Mr. Andrews,
who has been with the bank’s corpo­
rate trust division for the past 15
years, attended the University of Illi­
nois and Kent College of Law where

11-13, Midwinter A.B.A. Con­
sumer Credit Conference, St.
Louis.

paramount to the rights of home own­
ers in a residential district, nor is it
dependent upon a fixed location.
Where such business may be removed
without serious loss to the owners, a
court may, in its discretion, order its
complete abatement where the evi­
dence establishes that it has been con­
ducted so as to constitute a nuisance
seriously affecting the personal and
property rights of residents in its
vicinity.

DEAR EDITOR
(Continued from page 9)

Feb. 12, Group One, Iowa Bankers
Association, Sioux City, Hotel
Martin.

“ The same thing applies to interest paid
oh deposits. Some banks pay from % to 1%
more than others. Is it that some banks
only desire size or can they work magic
with their investments?
“ The above questions are a serious matter
as far as public relations are concerned.”
I. M. Thompson, President
and Cashier, Peoples State
Panic, Milan, Minnesota

Feb. 22-23, Group Eleven, Iowa Bank­
ers Association, Burlington, Hotel
Burlington.
June 11-12, North Dakota and South
Dakota Joint Convention in the
Twin Cities, Hotel Nicollet.
June 15-16, Annual Convention, Min­
nesota Bankers Association, Min­
neapolis.

BANKERS YOU KNOW

Oct. 24-27, Annual Convention Iowa
Bankers Association, Des Moines,
Hotel Fort Des Moines.

(Continued from page 17)
as chairman; four years later he was
named president of the Corporation
and in 1941 resumed the chairman­
ship, continuing in that capacity to
E D M U N D L. A N D R E W S
Now a Vice President

he completed his studies in 1926. He
was employed by a Chicago law firm
for several years before he began his
banking career in 1930. In 1933 he
joined the American National Bank
as a trust officer; he was elected as­
sistant vice president in 1945.
The board also advanced Milton J.
Hayes from assistant cashier to assist­
ant vice president. Mr. Hayes, who is
with the bank’s investment division, is
a graduate of the University of Chi­
cago. He came with the bank in 1935
as an investment analyst, and was
named assistant cashier in 1940.

LEGAL QUESTIONS
(Continued from page 20)
city, brought suit to require the re­
moval of a riding academy from their
part of town which was being op­
erated as a serious nuisance to them.
At the trial they were able to prove
their contentions and also that the
academy was not dependent upon a
fixed location to do business and that
it could be moved without any serious
loss to the owners. The trial court
ordered the removal. Should such
order be sustained on appeal?

Yes. In a recent case involving
analogous facts the Minnesota Su­
preme Court has held that a riding
academy is not an essential business
.N o r th w e s te r n B a n ke r, F e b r u a r y , 1948


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Federal Reserve Bank of St. Louis

« J. F L YNN . P r e s .
O. L D U N G A N . S e c y .

Ê M
Ê
M

Ê.

•

Des Moines

65
the present time. In addition to his
extensive bank duties, Mr. Jaffray
was president of the Soo Line Railway
from 1924 until 1937 at which time
he became chairman of the board. In
1944 he relinquished that post but
continues on the board as a director.
Mr. Jaffray’s name is associated
with many important events in Min­
neapolis banking history. The First
National-Soo Line building was erect­
ed under his direction and on its com­
pletion housed the First National
Bank, which had absorbed the Secu­
rity National Bank.
He is also a director of the North­
western National Life Insurance Com­
pany, Northwestern Fire and Marine
Insurance Company, Title Insurance
Company, Minnesota and Ontario
Paper Company, Twin City Rapid
Transit Company, Twin City Fire In­
surance Company, Pillsbury Mills,
Inc., and Osborne-McMillan Elevator
Company.
Throughout his business career,
Mr. Jaffray has maintained his inter­
est in outdoor sports. His enthusiasm
for a hunting or fishing trip is as
strong today as 50 years ago. When
his friends wished to honor him last
month on the 50th anniversary of his
directorship at the First National, he
had to be recalled from a hunting
trip in Texas. He was one of the
founders of the Minikahda Club in
Minneapolis a half-century ago as
well as the old Bryn Mawr course. A
tournament golfer for many years, he
still insists that a man’s golf score
need not be higher than his age.

NEWS AND VIEWS
(Continued from page 16)
Treasury John W. Snyder since these
two gentlemen have not seen eye to
eye on Mr. Eccles’ plan to curb bank
credit by requiring the establishment
of a special reserve in addition to the
reserves now legally required.
A. E. Dahl, president of the Rapid

City National Bank, Rapid City, South
Dakota, has certainly issued a stream­
lined statement in his 14th annual re­
port.
The report is artistically prepared,
graphically presented and beautifully
illustrated.
Deposits at the last call were over
$12,982,000.
The Saturday Review of Literature

published in New York is supposed to
have the best review of current books
of any publication issued, and we be­
lieve it does, but it also has a classified
department second to none, and es­

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Federal Reserve Bank of St. Louis

pecially in its column under the head­
ing of “Personals.”
Here are a few in which you may be
interested:
A R C H I T E C T U R E IS M Y H O B B Y : M e x i c o
m y passion.
M a k in g a liv in g as c o r p o r a ­
tion e x e c u t iv e ju s t in cid e n ta l an d s o m e ­
tim es
borin g.
W ould
like
interestin g,
s t im u la t in g c o r r e s p o n d e n c e w i t h adult, i n ­
tellig e n t fem ale.
B o x 680-X.
L O N E L Y S E A M A N w a n ts letters fr o m girls
w h o a re ju st as refined as s u g a r a n d t w ic e
as sw e e t. B o x 6 8 1 -X
V IV A C IO U S G I R L in vites co r re sp o n d e n ce
w ell-ed u ca ted , resp on sible g en tlem a n w ith
zest fo r g r a c io u s living.
B o x 682-X .
A R E YO U A G E N IU S IN N E E D OF A
S A T E L L IT E ? Y ou n g , attractive, neat w o m ­
an. E x c e l l e n t co n fid e n tia l s e c r e t a r y , k n o w l ­
e d g e b o o k k e e p i n g , t e n y e a r s office e x p e r i ­
ence.
C orrespondent.
P e rfe c t m an u script
or sta tistica l typist.
E x c e lle n t d riv er and
cook.
M u sica lly inclined w ith deep a p ­
p r e c ia t io n h ig h e r arts. A lu st f o r t r a v e lin g .
C o m m o n sense, u n d e rsta n d in g , lo y a lty , e n ­
thusiasm , sense o f hu m or, and p e rfe ct
health.
W h a t stim u la tin g position do you
o ffe r ? B o x 723-X.
THREE
S E N S IT IV E SOULS
(F E M A L E )
d esir e c o n g e n ia l spirits
(m ale).
C orre­
s p o n d e n c e d esired. B o x 722-X .
I F C Y N IC IS M H A S E S C A P E D YOU, if i n ­
tellig en ce, kindness, s in cere v e r sa tility and
cu ltu ra l pursuits are y o u r forte, sin cere
w o m a n in v ites su ch a g e n t le m a n ’s c o r r e ­
s p o n d e n c e . B o x 696-X.
G E N T L E M A N (v o c a tio n , b u sin ess; a v o c a ­
tion , p r iv a t e lib r a r y , t r a v e l ) w e l c o m e s v e r y
m a tu re fem in in e c o r re s p o n d e n ce on g r o w ­
in g older g raciou sly .
B o x 702-X .
A T T R A C T I V E y o u n g w r ite r, a rts z e a lo t;
c o r r e s p o n d w i t h “ m o d e r n m a n w h o is n o t
o b so le te .”
B o x 689-X.

IN D E X OE
A D V E R T IS E R S
FEBRUARY 1948
A
A l l i e d M u t u a l C a s u a l t y ......................................
A m e r ic a n N ational B an k and T ru st
C o m p a n y — C h i c a g o .........................................

33
38

It

B a n k e r s S e r v i c e C o m p a n y .........................
34
B a n k e r s T r u s t C o m p a n y — D e s M o n i e s . . 67
B a n k s , W i l l i a m H ., W a r e h o u s e s , I n c . . . . 50
B u c k h a m , H . B. a n d C o m p a n y , I n c ............ 0 8
B u r l i n g t o n B a n k s ................................................... 56
B u rro u g h s A d d in g M a ch in e C o m p a n y . . .
4
C
C e n t r a l N a t i o n a l B a n k in C h i c a g o ............
C entral N ational B an k and T ru st
C o m p a n y — D e s M o i n e s ................................
C h a s e N a t i o n a l B a n k ..........................................
C ity N a tio n a l B a n k an d T r u s t C o m ­
p a n y — C h i c a g o ........................ ..........................
C on tin en ta l B a n k and T ru st C o m p a n y . .
C on tin en tal N a tion a l B a n k — L i n c o l n . . .

54
8

26
32
51

D
D a v e n p o r t , F . E ., a n d C o m p a n y ............ 49, 59
D e L u x e C h e c k P r i n t e r s , I n c ..................
28
D es M oines B uildin g, L oa n and S avin gs
A s s o c i a t i o n .......................................................... (¡4
D i e b o l d , I n c ................................................................ 28
D r o v e r s N a t i o n a l B a n k ..................................... 2 o
F irst
F irst
F irst
F irst
F irst

F
N a t i o n a l B a n k — C h i c a g o ...................
6
N a t i o n a l B a n k — O m a h a ...................... 48
N a t i o n a l B a n k — S i o u x C i t y ............... 59
St. J o s e p h S t o c k Y a r d s B a n k .......... 49
W i s c o n s i n N a t i o n a l B a n k ................. 3 9
IT

CULTURED,
in terestin g
wom an
in v ites
c o r r e s p o n d e n c e s m a rt en g in e e r, on the m a ­
t u r e side. B o x 690-X .

H a m m e r m i l l P a p e r C o m p a n y ........................
H a r r i s T r u s t a n d S a v i n g s B a n k .................
H o m e I n s u r a n c e C o m p a n y .............................

YOUNG, intellig en t, fem ale, n o w h u m o r in g
the c o lle g e bursar, needs p a r t -tim e w o r k .
C an do ’m o s t a n y t h in g .
B o x 705-X.

I
I n v e s t o r s S y n d i c a t e ........................................... 29
I o w a -D e s M oin es N a tion a l B a n k and
T r u s t C o m p a n y ................................................. J )
I o w a L i t h o g r a p h i n g C o m p a n y ...................... 64

E U R O P E A N G E N T L E M A N , c a u g h t in b o r e ­
dom , w o u ld lik e to e s ca p e t h r o u g h c o r r e ­
s p o n d e n c e w ith a d v e n tu r o u s lady.
Box
711-X .
Y O U N G W O M A N , h i g h s c h o o l t e a c h e r , in
isolated ru ra l co m m u n it y d esires m u tu a lly
stim u la tin g correspon den ce.
B o x 712-X .
W O U L D M A TU RE , IM A G IN A TIV E LA D Y
be in trig u ed b y d escrip tion o f b ook s, flo w ­
e r s , a n d li vi n g * in r u r a l F l o r i d a b y g e n t l e ­
m an?
B o x 713-X .
W A N T E D : A B E A U T IF U L B RID E.
Sure­
ly som e S R L d am osel, p lig h ted fo r S prin g
n u p t i a l s , p l a n s h e r h o n e y m o o n in L a B e l l e
France.
If s u ch th ere be she w ill learn
s o m e t h i n g to h er a d v a n t a g e if she w ill
w r it e B o x 215-X.
G A L w h o l o v e s l i f e , l i b e r t y a n d is in t h e
p u rsu it o f ha p p in ess d esires m a le c o r r e ­
s p o n d e n ce . B o x 454-X.

23
24
3

K
K o c h B r o t h e r s ........................................................

L,
L a M o n t e , G e o r g e a n d S o n .............................
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 ......................
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 -----L ive. S tock N ational B a n k — O m a h a . . . .
L iv e S tock N a tion a l B a n k — S iou x C i t y . .

5
64
55
o2
40’

M
M e r c h a n t s M u t u a l B o n d i n g C o m p a n y . . . 62
M e r c h a n t s N a t i o n a l B a n k ..............
2
M i n n e a p o l i s - M o l i n e I m p l e m e n t C o ............ 36
M i n n e s o t a C o m m e r c i a l M e n ’ s A s s n ............ 37
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 C a s h R e g i s t e r C o m p a n y ............

61
7

O

S W A P N E C K TIE S!
(S atisfied s w a p p e r s
everyw here).
M ail
us
on e-to-six
ties
y o u ’ r e s i c k o f . Y o u ’ ll r e c e i v e p r o n t o s a m e
n u m b e r o f h a n d s o m e ly clea n ed different
t i e s w e g o t the' s a m e w a y .
Then you pay
m a i l m a n $1 p l u s p o s t a g e .
F a r -a w a y store
labels w o w
d em oiselles!
T iesw ap, B ox
547, W i l m i n g t o n , D e l .

O m a h a N a t i o n a l B a n k .......................................
O s g o o d , N i s s l y & G a n f i e l d ................................

Y O U N G I D E A L I S T lik e s to h e a r f r o m f e ­
m a l e w h o s e a i m is n o t m i l l i o n d o l l a r s . B o x
645-X.

S
St. P a u l T e r m i n a l W a r e h o u s e C o ............_. 26
S c a r b o r o u g h a n d C o m p a n y ...............31, 45, 53"
S t a t e A u t o m o b i l e I n s u r a n c e A s s n .............. 32

A R E Y O U B O R E D ? L o n e s o m e ? W h y , life
can be b eau tifu l!
A m g en tlem a n w ith
con tin en ta l b a c k g r o u n d and m a n ifold in ­
terests, w o u ld e n jo y c o r r e s p o n d e n c e w ith
s tim u la tin g y o u n g lady.
B o x 610-X .
E D IT O R (w om an) w ants
h om e of a gre e a b le people
see.
T o $65.
B o x 608-X.

r o o m , b a t h in
she w ill n ev er

W H Y R IS Q U E A T R I P TO P A R IS w h en
y o u c a n r e v e l in t h e d e l i g h t s o f M o n t ­
m a r tr e at h om e and taste the p r e -w a r
P a r i s g a i t e in t h e u n i q u e p i c t u r e s a n d
e x o t ic p a g e s o f L a V ie P a r is ie n n e ? S in gle
i s s u e s , $2.5 0; 5 c o p i e s , $10. B o u n d v o l u m e s ,
26 i s s u e s , $30. B o x 466- S.

21.
64

P

P u blic N ational B an k and T ru st C o ... .

34

K

R o l l i n s , R i c h a r d R., I n c ....................................

29

T
T e n s i o n E n v e l o p e C o r p o r a t i o n .................... 60T o o t l e L a c y N a t i o n a l B a n k ...................... 46, 47
V
U nited S tates N a tio n a l B a n k — O m a h a ..

44

V
V a l l e y B a n k a n d T r u s t C o m p a n y . ............

57"

\V

W a l t e r s , C h a r l e s E. C o m p a n y ......................
W e s t e r n M u t u a l F i r e .........................................
W h e e l o c k a n d C u m m i n s ..................................

Northwest ern

Banker,

February,

51
30”
29

1948

To the Point
Teacher: Which is correct: A hen
is sitting, or a hen is setting?
Tommy: I don’t know, Miss Brown;
but my pop says what bothers him is
when he hears one of ours cackle, is
she laying or is she lying?

Only Natural
Female voice to bus driver: “Can’t
you wait until I get my clothes on?”
Fifteen men twisted their necks out of
joint while the laundress climbed
aboard with a basket of clothes.

Hope
A tourist, traveling through western
Kansas, saw a man sitting by the ruins
of a house that had been blown away,
and stopped to ask:
“Was this your house, my friend?”
“Yep.”
“Any of your family blown away
with the house?”
“Yep, wife and four kids.”
“Great Scott, man, why aren’t you
hunting for them?”
“Well, stranger, I’ve been in this
country quite a spell. The wind’s
due to change this afternoon. So I
figure I might as well wait here till
it brings ’em back.”

Hold That Tiger
Guide: “Why didn’t you shoot that
tiger?”
Hunter: “He didn’t have the right
kind of expression on his face for a
rug.”

Poor Papa
“ It’s a mere formality, I know, sir,
but I’m here to ask your consent to
my marrying your daughter.”
“ Say, who in blazes suggested that
your asking my consent in such a
matter was a mere formality?”
“Helen’s mother, sir.”

sent a wire repeating just how every­
thing must be, and a letter reiterating
the instructions. When he arrived,
he was given a key and shown up to
his room.
In a couple of minutes he was down
at the desk again, practically livid.
“Look here,” he bawled at the clerk.
“You’ve given me a room in the back.
Didn’t I specify I wanted a room fac­
ing the ocean?”
“ That you did,” admitted the thor­
oughly fed up clerk, “but did you tell
us whether you meant the Atlantic,
or the Pacific?”

Only Temporary
“Oh, I like the scenery around here,”
observed the vacationist, “but the peo­
ple up here are queer.”
“Wa-al, yes, that’s so,” replied the
native. “But one good thing, most of
them go back home about September.”

Live Wire
It seems that a girl and a boy were
madly in love. So great was their love
that when fate separated them and
sent the boy to a distant city, he tele­
graphed messages of his devotion and
affection each morning. Every day
for three years the same Western
Union messenger boy knocked on the
girl’s door, bearing the messages of
undying love.
At the end of three years they were
married—the girl and the Western
Union boy.

Civic Duty
Minister (to mayor over phone): I
found a dead mule on my lawn this
morning. Please have someone re­
move it.
Mayor: But I thought it was the
minister’s duty to bury the dead.
Minister: So it is—but I always
notify the relatives of the deceased.

Lost Asset
New Excuse
A very touchy guy was going to
Florida, and wrote a hotel giving the
most exacting details as to just what
kind of accommodations he wanted.
When confirmation was received, he
N o r t h w e s t e r n Banker, F e b r u a r y ,


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

1948

Mama: I see where a woman was
awarded $2,000 for the loss of a thumb.
I didn’t realize a thumb was that val­
uable.
Papa: It must have been the one
she kept her husband under.

Of All Places
Maurice: “ For months I couldn’t
discover where my wife was spending
her evenings.”
Ralph: “How’d ya find her?”
Maurice: “One evening I went home
and there she was.”

Joy Juice
A government crop inspector visited
a Kentucky farm and began asking
questions:
“Do you people around here have
trouble with insects getting in your
corn?”
“We sure do!” said the farmer, “but
we jes fishes ’em out an’ drinks it any­
how.”

Business Cycle
When the salesman insults you and
tells you he hasn’t got any—it’s war­
time. When he just insults you—it’s
transition. When he merely says he
hasn’t got any—reconversion is under
way. And when you can tell him to
go straight to that very well-heated
place that, my friend, is normalcy.

Fast Thinking
Little Boy: I et six eggs for break­
fast.
Teacher: You mean “ate.”
Little Boy: Well, may be it was eight
I et.

Alibi
Judge (to private hauled into court
for swiping a car): Why did you do
it?
Private: Well, it was parked outside
a cemetery so naturally I thought the
owner was dead.

Unhappy Day
“So your married life was very un­
happy. What was the trouble? De­
cember married to May?”
“Lan’ sakes, no! It was Labor Day
married to de Day o’ Rest.”

Big Game
Hunter: Once when I was in the
jungle, a lion came so close that I
could feel his breath on my neck.
And what do you think I did?
Bored Listener: Turned up your
collar?


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