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JAN U ARY 1 »5 0 The Outlook For Business Is Good—P a g e 19 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M IS S A M E R IC A O F 1950 STATEMENT OF CONDITION December 31, 1949 RESOURCES Loans and Discounts............................ $11,924,647.21 United States Government Securities 29,331,500.00 State, County, and Municipal Bonds 19,783,284.83 Other Bonds ........................................ 836,240.09 Overdrafts ............................................ 3.00 Bank Premises .................................... 811,330.62 Cash on Hand, Due from Banks and U. S. Treasurer....................... 22,682,650.57 í,nf i hä $85,369,656.32 LIABILITIES Capital S t o c k ........................................$ 500,000.00 Surplus .................................................. 4,200,000.00 Undivided Profits ................................ 454,095.16 Deposits ................................................ 80,215,561.16 111’I; HM ri {;*Tv ni Mí i7! m w -~ . iiiip fe iw i $85,369,656.32 Hull /I YOU ARE INVITED to hear The Merchants National Hour over WMT, 9 to 10 each Sunday evening . . . an outstanding production used to promote banking in Iowa. 1m sa ? % m '* * * § G ran t W ood '< c "‘When you hear the phrase "typically American’, what do you think of first? . . . “ Is it the rolling land . . . the pig tailed little girl next door . . . the whirling factories . . . the bountiful stores . . . the ninth inning of the hometown game . . . the banker work ing at bis desk? O f course ‘typically American’ is a vast panorama of scenes that combine to reflect the wealthiest, freest nation on earth. working at the heart of every business venture . . . ceaselessly striving to as sure security and prosperity for his customers. That’ s why it’ s wise to know your local banker . . . he’ s on your side . . . genuinely interested in helping your progress under the American system of individual oppor tunity. Visit your hanker this week . . . you’ ll find him a good man to know.” “ In the American scene you’ll nearly always find the local banker. He’ s Quoted from “ The Merchants National Hour” Dec. 18, 1949 Merchants National THE C E D A R R M em ber Federal No. 750. A P I D S I O W BANK A D eposit Insurance Corporation Northwestern Banker, published monthly by the Northwestern Banker Company, at 527 Seventh Street, Des Moines, Iowa. Subscription $3.00 per year. Entered as Second Class M atter January 1, 1895, at the Post Office at Des Moines, Iowa, under A c t of March 3, 1879. 35c per copy, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and for many years he held meetings at his home. Two famous Quakers, William Penn and George Fox, were guests there. So many gathered to hear the latter that he and banished from the coun try because of his allegiance to the “ abominable sect called Quakers,” John I m p r is o n e d was obliged to conduct his services out of doors under the sheltering branches of two huge oaks which afterwards came to be known as the “ Fox Oaks.” Bowne steadfastly refused to act contrary to his conscience. His earnest pleas for toler ance won the first official proclamation of religious freedom in America outside of Maryland. For a number of generations Bowne’s home remained in the possession of his The Quakers held forbidden meetings in this kitchen where they sat on ro ws o f benches before the fireplace Migrating to this country from his native England, John Bowne eventually settled in Flushing, Long Island, in 1651. With his wife Hannah he roamed through the woods selecting timber for their home which he built in 1661 and which reflected his posi tion as a prosperous farmer. The house is still standing. Now a part of Greater New York, the farm was bought by Bowne from the Indians for eight strings of wampum valued at about fourteen dollars. It was Hannah Bowne who first became a member of the Friends. Then out of curi osity John attended one of their meetings which had to be held in the woods because of the violent opposition to the sect. He was so much impressed by the beauty and sim plicity of their faith that he allied himself with the group, invited them to meet at his house thereafter, and soon became one of their leaders. descendants. It is now maintained by the Bowne House Historical Society as a shrine to freedom and tolerance. As a result, Bowne was thrown into a dungeon at Fort Amsterdam, was kept in solitary confinement on a bread-and-water diet, and ordered to pay a fine, but he re fused to do so or to renounce his beliefs. Because of his “ contempt of the authori ties,” he was deported to Holland. How ever, the Amsterdam Chamber of the West India Company in whose hands his case was put, released him, finding him a dis creet man and steadfast in his religion. as long as he does not disturb others or the government.” This official statement ended the perse Moreover, they wrote a firm letter to the cution of the Quakers. officials here: “ Let everyone be unmolested as long as he is modest, as long as his con duct in a political sense is unimpeachable, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The Home, brokers, is protector of through Am erica's American its agents leading homes and insurance and the homes o f American industry. Portrait o f George Fox hangs beside an early 18th century highboy in dining room By the time Bowne at last reached home, the province had passed into British jurisdiction ft THE H O M E ☆ Home Office: 59 Maiden Lane, New York 8, N. Y. FI RE • AUTOMOBILE • MA R I NE The H om e Indemnity C om pany, an affiliate, writes Casualty Insurance, Fidelity and Surety Bonds C o p y r ig h t 1 9 5 0 , T h e H o m e I n s u r a n c e C o m p a n y 4 CENTRAL B A N K A N D T R U S T NEW TRUSTEES HANOVER C O M P A N Y YORK Statement of Condition, December 31, 1949 GEORGE W . D A V IS O N Honorary Chairman W . A. M. BURDEN ASSETS W . A . M . Burden & Co. LOUIS S. CATES Chairman of the Board Phelps Dodge Corporation C O LB Y M. CHESTER Honorary Chairman General Foods Corporation Cash and Due from Ranks 4 2 4,355>883-3 2 U. S. Government Securities . . . 63 6>35L3t i -45 State and Municipal Securities . 53>387>763-9 i Other S e c u ritie s................................... i3>968>328-29 J O H N B. C LAR K President, The Clark Thread Co, JA R V IS CRO M W ELL President William Iselin & Company, Inc, B E R N A R D M. CULVER Chairman of the Board America Fore Insurance Group J O H N S T O N DE FOREST Attorney T H O M A S D IC K S O N President Berlin and Jones Company, Inc. W A LTE R G . D U N N IN G T O N Attorney Dunnington, Bartholow and M iller W IL L IA M a . Loans and Bills Purchased....................... Real Estate Mortgages . . . . . 443>6 i i >932-35 . 2,362,411-95 Banking H o u s e s ........................................ 10 , 150 , 009.00 Interest A ccru e d ........................................ 3>7I7>443-7° Customers’ Liability on Acceptances Outstanding 4 , 480,386 . 9° . . . . Total e l d r id g e ^ 1 , 592 ,385 , 470.87 Vice President W IL L IA M F. C. E W IN G Executive Vice President Alexander Smith and Sons Carpet Co, W IL L IA M S. G R A Y President FRED H. H A G G E R SO N President Union Carbide and Carbon Corporation C. JAR E D INGERSOLL Chairman o f the Board Kansas, Oklahoma and G ulf Kailway Co. K . T . KELLER LIA BILITIES C a p i t a l........................................ $ 2 1 ,000 ,000.00 S u r p lu s........................................ 90,000 ,000.00 Undivided Profits. 22 , 192 , 794.07 . . . » i33A9 2 >794-07 Reserves: President, Chrysler Corporation GE OR GE M. M OFFETT Chairman o f the Board Corn Products Refining Co. J O H N K . O L Y P H A N T , JR. Vice President EUSTIS PAINE Chairman o f the Board, N ew York and Pennsylvania Co., Inc. A U G U STE G. P R A T T Chairman of the Board The Babcock and Wilcox Company G W IL Y M A PRICE President Westinghouse Electric Corporation Taxes, Interest, etc. . . . . . . . . 4 , 980,012.28 Dividend: Payable January 3 , 1 9 5 0 ............................. A c c e p t a n c e s ............................. $7 , 347 , 443.16 In Portfolio............................. 2 , 286, 113.7 4 1 ,050 , 000.00 5 ,0 6 1 ,329.42 D e p o s i t s ..................................................................... 1 , 448, 1 0 1 ,335.10 Total LUCIUS F. R O B IN S O N , JR. $ 1 , 592 ,385 , 470.87 Attorney Robinson, Robinson and Cole J O H N P. STEVENS, JR. There are pledged to secure public monies and to qualify for fiduciary powers President, J. P. Stevens & Co., Inc. H E N R Y P. TU RN B U LL U . S. Government S e c u r i t i e s ................................. $ 5 2 ,9 1 5 ,7 7 2 .7 2 Montclair, N ew Jersey W ILLIA M W O O D W A R D N ew York, N. Y, N o r t h w e s t e r n Banker , J a n u a r y , Ì 9 5 0 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M EM BER 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 O R A T I O N 5 CONSIDER YOUR CHECKS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis from every angle Preparation of your checks, because their over-all quality your checks should of their important function, demands give you pride in sponsoring them. careful and detailed consideration. A clear indication that La Monte Safety The safety paper you select must meet Papers embody all these desirable at exacting standards. Maximum protec tributes is found in this fact: They are tion, superior writing surface and fine the choice of America’ s leading hanks appearance are all important. And in by a large majority. A Check Paper All Your Own Thousands of banks and many of the larger corporations use La Monte Safety Papers with their own trade-mark or design made in the paper itself. Such i n d i v i d u a l i z e d check paper provides maximum protection against both alteration and counterfeiting —makes identification positive. THE WAVY LINES ® ARE A LA MONTE TRADE-MARK Northwest ern Banker, J a n u a r y , 1950 6 A BAAKS BUSINESS IS ¿ (/ e ty à â d y s é ttd tk & fJ aybe you wonder why a bank publishes M its financial statement to the public at large. How many people stop to analyze the figures or think of all the accomplishments behind them? Yet when you learn some of the stories these figures tell, you begin to realize how important they are . . . to everybody. Take “Deposits,” for instance. Included in this figure are not only the cash balances of large and small businesses, but also the “nest eggs” of people in all walks of life . . . money wisely set aside for a home of their own, a college education, a future retirement free of financial worry. Or consider “Loans.” It would be hard even to estimate the improved equip ment this figure helped buy for the manufacturer or merchandiser . . . the new products it launched and the expansion it made possible . . . the jobs it thus created for more and more workers. Or for that matter —the family cars it financed, the new roofs it paid for, the vacation trips it transformed from dreams to realities. In myriad ways, you see, banks serve every body’s business and help meet the financial needs of people in every income group. During its 99th year, the Irving has been serving more people in more capacities than ever before . . . and will continue to gear itself to this pattern of American progress. Whatever your needs may be, you’ll find it good business to do your banking at the Irving Trust Company. Condensed S tatem en t o f Condition as o f D e cem b er 3 1 , 1 3 4 3 ASSETS L IA B IL IT IE S Cash and Due from Banks . 311,035,067 Capital S t o c k ................................... $ U. S. Government Securities . 452,413,721 Surplus............................... 55,000,000 Other Securities........................ 11,807,009 Undivided Profits.............. 13,005,689 Stock in Federal Reserve Bank 3,150,000 Loans and Discounts . 381,224,232 First Mortgages on Real Estate 3,753,217 Headquarters Building . 14,280,800 Customers’ Liability Total Capital Accounts D e p o s i t s .......................... . 50,000,000 . $ 118,005,689 1,052,448,028 Reserve for Taxes and OtherExpenses Dividend P a y a b l e ....... 2,918,630 1,500,000 Acceptances: Less Amount in for Acceptances Outstanding Other A s s e t s .............................. 6,011,678 Portfolio.......................... 6,884,569 3,788,799 Other Liabilities.............. 5,707,607 $1,187,464,523 $ M 8 7 ,464^523 United States Government Securities are stated at amortized cost. O f these, $ 3 4 ,5 6 0 ,5 2 6 are pledged to secure deposits of public monies and for other purposes required by law. IB V IA K ¿T R U S T IVEW VOI!K W illiam N. E nstrom , Chairman of the Board M EM B ER N o r t h w e s t e r n Banker , J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 FED ERAL Richard H. W est, President D E P O S IT IN S U R A N C E C O R P O R A T IO N The First National Bank of Chicago Statement of Condition December 3 ly 1949 Board of Directors Edward E. Brown Chairman of the Board Leopold E. Block Chairman, Finance Committee, Inland Steel Company Augustus A. Carpenter Director, Hills-McCanna Company A SSE T S Cash and Due from Banks 560,139,741.25 United States Obligations— Direct and fully Guaranteed Lnpledged . . . . . $ . 715,904,011.42 Pledged— To Secure Public Deposits and Deposits Subject to Federal Court Order 196,941,810.00 81,531,004.97 To Secure Trust Deposits 512,000.00 Under Trust Act of Illinois 994.888,826.39 98,869,256.81 Other Bonds and Securities J. D . Farrington President, Chicago, Rock Island and Pacific Railroad Company James B. Forgan Vice-Chairman of the Board Loans and Discounts . . . 790,957,228.52 . Real Estate (Bank Building) 2,555,847.71 Federal Reserve Bank Stock 4,350,000.00 Customers’ Liability Account of Acceptances 3,629,255.97 Interest Earned, not Collected . 5,885,554.16 Other Assets . . . . . 193,998.88 . $2,461,469,709.69 Walter M . Heymann V ice-President L IA B IL IT IE S Henry P. I sham President, Clearing Industrial District, Inc. James S. Knowlson Chairman of the Board and President, Stewart-Warner Corp. Capital Stock Surplus . . . . . . . . . . . . . Other Undivided Profits . . . $ 70,000,000.00 9,290,838.46 . 1,054,446.27 Discount Collected, hut not Earned . 1,500,000.00 Dividends Declared, but Unpaid Reserve for Taxes, etc. . . . 21,360,092.31 . 4,651,670.99 Liability Account of Acceptances Homer J. Livingston V ice-President Hughston M . Me Bain Chairman of the Board, Marshall Field & Company Time Deposits . Demand Deposits . . . . . . . Deposits of Public Funds . 75,000,000.00 . . $ 444,771,789.09 . . 1,641,425,482.72 . . 192,414,072.58 2,278,611,344.39 1,317.27 Liabilities other than those above stated . $2,461,469,709.69 Bentley G. McCloud President President, Norris Grain Co. John P. Oleson Banker President, A. H. Wetten & Co. Vice-Chairman, Quaker Oats Company Banker Chairman of the Board. Standard Oil Company (Indiana) Banker Madison, Wis. Robert E. Wood C. J. Whipple President. International Minerals & Chemical Corp. M EM BER FED ERA L Wil son & Me LIvaine Robert E. Wilson Harry A. Wheeler George G. Thorp Louis Ware Irvin L. Porter John P. Wilson Albert 11. Wetten R. Douglas Stuart James Norris D E P O S IT Chairman of the Board, Hibbard, Spencer, Bartlett & Co. IN S U R A N C E Chairman of the Board, Sears, Roebuck and Co. C O R P O R A T IO N • https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • Northwest ern Banker, J a n u a r y , 7950 8 IM II Kl TO HS ED W IN J. B EIN ECK E Chairman , T he S perry & H utchinson C o. E D G A R S. BLOOM MANUFACTURERS TRUST COMPANY Chairm an , A tlan tic, G ulf and West Indies Steam ship Lines A L V IN G . BRU SH Chairm an , A m erican H om e Prodi^cts C orporation Condensed Statement of Condition as at close of business December 31, 1949 LOU R . C R A N D A L L P resid en t, G eorge A . F uller Com pany C H A R L E S A . D ANA Chairman, Dana C orporation HKSOI HI KS H O RA CE C . FLA N IG AN Vice-C hairm an, Board of D irectors JOHN M . F R A N K L IN P resid en t, U n ited S tates Lines C om pany P A O L IN O G ERLI P resid en t, G erli & C o ., Inc. H A R V E Y D . GIBSON P resident F R E D E R IC K G R E T SC H Chairman, L in coln Savings Bank JOH N L. JOH NSTO N D irector, L am bert C om pany O SW A L D L. JOH NSTO N Sim pson T hacher & Bartlett K E N N E T H F. M ac L EI.LAN Cash and Due from Banks . . . . $ 700.693,983.16 U. S. Government Securities . U. S. Government Insured F. Id. A. M o r t g a g e s ....................................... 1,078,980,290.70 26,923,864.06 State and Municipal Bonds . . . . Stock of Federal Reserve Bank Other S e c u r itie s...................... 27,576,728.37 3,150,000.00 17.188,332.48 Loans. Bills Purchased and Bankers’ Acceptances...................... M o r t g a g e s ...................... Banking Houses . . . . 557,375,053.18 15.547,912.39 10,550,333.13 457,620.88 6,363,498.13 7,189,157.62 Other Real Estate Equities . . . . Customers Liability for Acceptances Accrued Interest and Other Resources P resid en t, U n ited B iscuit Com pany o f A m erica $2,451,996,774.10 JOHN T . M ADDEN P resid en t, Em igrant Indus trial Savings Bank JOHN I*. M A G U IR E P resid en t, John P. M aguire & C o., In c. C. R . P AL M ER D irector, C lu ett P ea bod y & C o ., In c. G EO RG E J. P A T T E R S O N P resid en t, S cranton & L ehigh Coal C o. W IL L IA M G . R AB E V ice P resident H A R O L D C. R IC H A R D Capital . . . . Surplus . . . . Undivided Profits . Reserves for Taxes, $45,000,000.00 60,000,000.00 31,964.647.94 Unearned Discount, Interest, etc. . Dividend Payable January 15. 1950 . Outstanding Acceptances . . . . Liability as Endorser on Acceptances and Foreign Bills . Cash held as Collateral or in Escrow D eposits...................... Hew York C ity H A R O L D V . SM ITH P resid en t, H om e Insurance Co. E R N E ST CVAHI CI TI ES 1 136.964,647.94 7,784,963.34 1.350.000.00 6,913,827.34 2,556.734.24 14,678,810.72 2,281,747,790.52 >,451,996,774,10 ST A U F F E N Chairm an, Trust C om m ittee Board o f D irectors U n ited S tates G overn m ent and o th e r secu rities ca rried at $84,599,284.02 are pled g ed to secu re p u b lic funds and trust dep osits and fo r oth er pu rposes as requ ired or p erm itted b y law. L. A . V A N BO M E L P resid en t, N ational Dairy P roducts C orporation GUY W. VAUGHAN Chairman, W right A erona utical C orporation Head Office: 55 Broad Street, New York City «O O F F IC E S IX G R E A T E R N E W Y O R K H E N R Y C. VON ELM Chairman, Board o f D irectors A L B E R T N. W IL L IA M S P resid en t, W estinghouse Air Brake Com pany N o r t h w e s t e r n Banker. J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 European Representative Office: 1, Cornhill, London, E. C. 3 Member Federal Reserve System Member New York Clearing House Association Member F ederaI Deposit Insurance Corporation 9 Harris Trust and Savings Bank Organized as N. W. Harris & Co. 1882, Incorporated 1907 115 W E ST M ON R OE STREET, C H IC A G O 90 Member Federal Reserve System • Member Federal Deposit Insurance Corporation STATEMENT OF CONDITION DECEMBER 31, 1949 L IA B IL IT IE S RESOURCES $180,789,983.34 Cash on Hand and Due from Banks 2 0 3 , 5 5 6 , 288 . 8 0 U. S. Government Securities 62,753,568.34 State and Municipal Securities 12,840,319.51 Other Bonds and Securities 151,414,487.42 Loans and Discounts 6 9 0 , 0 0 0 .0 0 Federal Reserve Bank Stock Customers’ Liability on Acceptances and Letters of Credit 211,714.75 Accrued Interest and Other Resources 2,431,964.58 Bank Premises 1,700,000.00 T O TAL Capital $ Surplus 8,000,000.00 15,000,000.00 Undivided Profits $ 28,173,887.75 5,173,887.75 General Contingency Reserve 7,425,090.00 Reserves for Taxes, Interest, Etc. 3,265,802.42 Dividend Payable January 3, 1950 240,000.00 Acceptances and Letters of Credit 211,714.75 Demand Deposits $507,880,157.90 Time Deposits 577,071,831.82 69,191,673.92 $616,388,326.74 TOTAL ~ $616,388,326.74 United States Government Obligations and Other Securities carried at $71,163,829 are pledged to secure Public and Trust Deposits and for other purposes as required or permitted by law. The basic policy of this Bank — in its Commercial Banking, Corporate and Personal Trust, Investment, Savings arid other Departments— is to supply a complete, discerning and resourceful banking service. . . DIRECTORS E D W I N C . A U S T IN FRED G . G U R L E Y Sidley, Austin, Burgess & H arper President, Atchison, Topeka & Santa Fe R ailw ay Company JA M E S M . B A R K E R Chairman of the Board, A llstate Insurance Company A R T H U R B. H A L L M A R K A. B R O W N S T A N L E Y G . H A R R IS Chairman, E xecutive Committee T H O M A S DREVER W A Y N E A. JO H N S T O N Chairman of the Board, A m erica n Steel Foundries President, Illinois Central Railroad jo h n Chicago https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis F. B. M cC o R I C H A R D E. P R I T C H A R D nnell P resident, Sears, Roebuck & Co. V ice-P resident F R A N K M cN A IR G U Y E. R EE D Chicago V ice-P resident A . H . M E L L IN G E R P A U L S. RUSSELL D irector, Illinois B ell Telephone Co. President CH ARLES H. M ORSE Chairman of the Board, Sw ift & Co. H all & Ellis E xecutive V ice-P resid en t F R A N K R . E L L IO T T . . l H A R O L D H. S W IF T D irector, Fairbanks, M orse & Co. . M cC a f f r e y President, International H arvester Co. JAM ES L. P A L M E R President, M arshall F ield & Co. S T U A R T J. T E M P L E T O N Wilson & M cllva in e Northwest ern Banker, J a n u a r y , 1950 10 THE ROYAL BANK OF C A N A D A H ead O ffic e , M o n t r e a l J A M E S M U IR President B U R N H A M L . M IT C H E L L T. H . A T K IN S O N Vice-President General Manager Condensed Annual Statement as on 30th November, 1949 ASSETS Cash, cheques and balances with other banks....................................... $ 432,912,986.68 Government and other public securities, not exceeding market v a l u e .................................................................................................................... Other securities, not exceeding market value...................................... C a ll-lo a n s........................................................ ....................................................... 1,058,661,626.62 116,817,041.92 69,097,830.05 Other loans and discounts. .............................................................................. Liabilities of customers under letters of credit..................................... 584.168,935.78 51,790,695.28 Other assets ......................................................................................................... 21.536 237.81 $2,334,985,354.14 LIABILITIES Capital, reserve and undivided profits Notes in circulation.................................. D eposits........................................................... $ 83,792,238.48 3,703,729.56 2,192,140,578.62 Letters of Credit outstanding................ Other liabilities........................................... 51.790.695.28 3,558,112.20 $2,334,985,354.14 Over 660 Branches in Canada— 62 Branches Abroad, including: LONDON, NEW YORK. HAVANA. BUENOS AIRES. RIO DE JANEIRO. SAO PAULO. MONTEVIDEO. LIMA, BOGOTA. CARACAS, BELIZE, NASSAU, also in PUERTO RICO, DOMINICAN REPUBLIC, HAITI, BARBADOS* DOMINICA, JAMAICA, ST. KITTS, TRINID AD . MONTSERRAT, ANTIGUA. GRENADA. BRITISH GUIANA* Auxiliary in France THE ROYAL BANK OF CANADA (FRAN CE) Paris NEW YORK AGENCY 68 William Street ED W AR D C. H O L A H A N JO SEPH W . G A N AN N Agents N o r t h w e s t e r n Banker , J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 ; 11 THE NORTHERN TRUST COMPANY C H I C A G O ★ S T A T E M E N T OF C O N D IT I O N D E C E M B E R 31, 1949 RESO U RC ES Loans and D iscoun ts................................ ................................................... $ 93,088,877.40 302,113,009.58 U. S. Government Securities................ ..................... Other Bonds and Securities.................. ................................................... 131,950,471.55 Federal Reserve Bank S to ck ................. ...................................... Bank Prem ises............................................. ................................................... 510,000.00 1,400,000.00 Custom ers’ Liability, Account Letters o f Credit and Acceptances Other Resources.......................................... ................................................... Cash and Due from B an ks..................... ................................................... 689,83 7.90 206,547.50 160,409,095.17 T O T A L ............................................................ .................................................... $690,367,839.10 LIABI L IT I E S Capital Sto ck .................................................................................................. $ 3,000,000.00 Surplus............................................................................................................ . 14,000,000.00 Undivided Profits......................................................................................... Reserve for Taxes, Interest, etc............................................................. Dividend Payable January 3, 1950....................................................... Letters o f Credit and Acceptances O utstand in g.......................... 4,703,748.84 Other Liabilities.......................................................................................... 14,180,492.61 135,000.00 723,477.46 227,045.17 D eposits: D em a n d .......................................................................... $451,888,001.79 T im e ................................................................................ 169,948,265.92 31,561,807.31 653,398,075.02 T O T A I............................................................................................................... $690,367,839.10 U. S. G overnm ent..................................................... United States Government securities carried in the above statement at $35,036,242.19 are pledged to secure public and other monies, as required by law; and United States Government and other securities carried at $581,955.48 are deposited with the State Authorities under the lrust A c M em ber Federal D eposit Insurance Corporation I» I II E C T o n s A. WATSON ARMOUR Director, A rm our & Com pany SEWELL L. AVERY Chairman, U. S. G ypsum Com pany, M ontgom ery Ward & Co., Inc. ALBERT B. DICK, JR. Chairman, A . B . Dick Com pany WILLIAM R. ODELL, JR. SOLOMON BYRON SMITH Vice President and Treasurer, International Harvester Com pany Executive V ice President, The Northern Trust Com pany EDWARD L. RYERSON JOHN STUART Chairman, Inland Steel Com pany, Joseph T. R yerson & Son, Inc. Chairman, The Quaker Oats Com pany EDWARD BYRON SMITH MERLE J. TREES Executive V ice President, The Northern Trust Com pany Chairman, Chicago Bridge & Iron Com pany SOLOMON A. SMITH, President, The Northern Trust Com pany > https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwest ern Banker, J a n u a r y , 1950 12 A timely service extended to correspondents by Among other services to correspondent hanks are: the Chase is the study and analysis o f a bank’s portfolio o f U . S. Governm ent and other securities. Specific recom m endations are made based upon the bank’s overall investment position and par C r e d it in fo rm a tio n on firm s a n d in d iv id u a ls , h e re and a b ro a d Q u a r t e r - h o u r a n d h a lf- h o u r m ail p ick -u p s e r v ice a ro u n d th e clo ck Q u ick co lle c tio n of c h e c k s , n o te s , d r a f t s , co u p o n s a n d c a lle d a n d m a tu re d b o n d s ticular requirements. T h e experienced staff and specialized facilities lo n g maintained by the Chase for reviewing in vestments have proved valuable to banks through P a rtic ip a tio n in lo ca l lo a n s w ith c o r r e s p o n dent banks p D e a le r s in S ta te a n d M u n icip a l B o n d s E x e c u tio n of o r d e r s fo r p u r c h a s e a n d s a le of a ll c la s s e s of s e c u ritie s out the country. Advice and inform ation on investments is only one o f the many helpful services that Chase offers A n a ly s e s o f in v e s tm e n t p o rtfo lio s . . . S a f e k e e p in g of s e c u ritie s E x p e d itin g fo r e ig n t r a n s a c t io n s th ro u g h b ra n ch e s an d co rre sp o n d e n ts o v e rse a s to its correspondents. THE CHASE NATIONAL BANK OF THE CITY OF NEW YORK c M em ber Federal D ep osit Insurance Corporation N o r t h w e s t e r n Banker, J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 13 DES MOINES O ldest Financial Journal West of the Mississippi The following letters are from Northwestern Banker readers. Your views and opinions on any subject are welcome in this column. "T h e In c o n siste n c y Is Y o u rs" “ In your December, 1949, issue of the N orthwestern B anker , you publish a letter addressed to me in your editorial, ‘Across the Desk from the Publisher/ which reached me by way of one of your readers. In this letter you point out what you think is an inconsistency in my remarks at the convention of the American Bankers Association. It seems to me, however, that the inconsistency is yours. I argued that I saw no good and sufficient reason for ex empting any commercial banks from a min imum participation in the national under taking of providing and supporting a na tional monetary and credit policy. That degree of centralized control we must have and will have whether all banks are subject to the reserve requirements of the Federal Reserve System or not. It is merely a question of whether there will be a lot of free riders. The question of undue centrali zation to which I addressed myself is in the administration of this national mone tary and credit policy by the Federal Re serve System. There I argued for reten tion and improvement of the regional char acteristics of the System. “ I brought these two ideas together in my recent testimony before the Subcommit tee on Monetary, Credit and Fiscal Policies of the Joint Committee on the Economic Report. A copy of my preliminary state ment at the hearing is enclosed. On page 4 you will find the paragraphs I have in mind.” Allan Sproul, President, Federal Reserve Bank, New York, New York " M o st In te re stin g " “ Charts 1, 2 and 3, ‘What Do You Want From Your Correspondent Bank?’ are most interesting indeed. “ Clift, as usual, you and your organiza tion on the N orthwestern B anker are always there with something of interestcountry banks and their city correspondents. I might add a few more things we have done for country banks, and might also give you some unusual requests we have received from correspondents.” George A. Malcolm, Presi dent, Drovers National Bank, Chicago, Illinois (Turn to page 42, please) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • 55th Year • No. 750 IN THIS JANUARY, 1950, ISSUE E D IT O R IA L S Across the Desk from the Publisher..... ..............................................14, 15 F E A T U R E A R T IC L E S Dear Editor............................................. Frontispage ............... The Outlook for Business Is Good.......... ..................................... . How to Advertise Your Bank and Your Community....................... What Women Should Know About Banking... ..........Agnes Kenny News and Views of the Banking World............Clifford De Puy 22, Bankers You Know—Tom S. Harkison.... ........... ............................ Record Attendance at First National Bank of Chicago Bankers Conference—Pictures ................................................................ Can An Executor Deduct His Commission Before Estate Is Settled?—Legal Questionsand Answers......................................... What Their Statements Show.......................................... ................ Business Level to Continue High....................................................... Year-End Investment Survey ...................................... .......... ...... . Dealer Credit and Wholesale Lines........................ E. A. Thompson Makes 3-Year Market Survey.......................................... ......... ....... BONDS AND 13 17 19 20 21 23 24 25 26 28 30 32 43 46 IN V E S T M E N T S The Investment Outlook for 1950...........................Raymond Trigger 51 IN S U R A N C E Those Extra Services You Give Your Customers ...Harold S. Bowen 55 S T A T E B A N K IN G N EW S Minnesota News ............. ............................ ................................. ............ 59 Twin City News.......... .......................................................................... 60 South Dakota News......... ......................... .................................. ............... 67 Sioux Falls News.............................................................................. 67 North Dakota News............................................................. 69 Nebraska News ................ ................. .................................... .................... 71 Omaha News ..... ................................. ...............................................72 Iowa News ....... .......................................................... .................. .........._______ 77 Des Moines News................................................... .............................. 84 County Association Officers Meet........... .......................................... 89 Conventions ....................... ...................................... .............................. 92 IN T H E D IR E C T O R S ’ R O O M A Few Short Stories to Start the New Year.. ................. .... ........... 94 N O RTHW ESTERN 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. STEPHENSON 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 Iowa-Nebraska Bank Directory. Review, Northwestern Banker, J a n u a r y , 19SO 14 the depression, they are certainly stronger and have a greater amount of deposits. The third most important thing that has hap pened to banking in the first half of this great cen tury has been increased regulation of the banking business, and more important, the great number of new government agencies, corporations and bureaus which have been established and in turn are competing with banking. W ith all of these important events, the inde pendent banking system of America has still fought bravely against government competition, in 1900 the total banks in the United States were 10,382 with deposits of $8,865,000,000 and today we have 14,812 banks with deposits of over $165,000,000,000. The total banks at the peak in the United States was a little over 30,000. As we look forward to the last half of the 20th century, there is a favorable trend on the part of the public against government ownership of banks. In a recent survey by the American Institute of Public Opinion, the question was asked, “During Across Élie Desk From the Du lili slier the next 50 years, do you think the government in Washington will own and run the banks?” The replies indicated that 54% voted “no,” 28% voted “ yes” and 1 8 % had no opinion.” W ith the recent nationalization of various key industries in England, this trend in the opposite G)&Wl. J'oI I w l. J jutul: direction in the United States is most interesting. 1900— 1950— 2000 In Australia, where the labor government was recently defeated, one of the reasons given was As we enter the last year of the first half of the 20th century, there are at least 3 main events the fact that the proposal to nationalize the banks which stand out in bold relief in relation to the banking business in the United States: As we endeavor to analyze the future of bank 1. The passage of the Federal Reserve Act of 1913. ing in America, we believe the most fundamental problem is to keep our financial institutions sound 2. The business depression of 1932. and strong so that our general economy will have 3. The increased control of banking and busi ness by the government. available credit when it needs it, and thus in turn The Federal Reserve Act which created 12 re gional reserve banks throughout the United States, with the Federal Reserve Board as the controlling factor in Washington, was fought bit terly by many bankers at the time, because they feared the concentration of too much banking power by the Federal Reserve Board. There probably are not many member banks which would vote to repeal the Federal Reserve Act, but there certainly are many who are opposed to the current wishes of some members of the board to get control of the reserve requirements of of that country caused a very severe drop in the popularity of the labor party. non-member banks throughout the United States. assist in promoting the welfare of industry and business in all of its various activities. In a N o r t h w ago it said : e st e r n B anker editorial 50 years “The gold standard for the United States is now a part of our law and probably beyond the reach of any financial theorist to change. The establish ment of this standard and the territorial develop ments of the last 2 years has thrust America out from her isolation, and forced her to take a per manent position in the markets and politics of the world. It takes neither a prophet nor the son of a prophet to foresee the wonderful developments and growth in power and influence throughout the world that is destined to be ours during the cen tury about to begin.” The depression of 1932-33 reduced the total num There was a “ financial theorist” who appeared ber of banks, either by liquidation or merger, but on the political arena in 1932 and later discarded as a result, while we have fewer banks than before the gold standard, but the rest of the prognostica- N o r t h w e s t e r n Banke r , J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 15 i tion holds true for the balance of the 20 tli century for 18 years since Franklin, the Federal Financial because certainly the United States is a world Favorite, started the “ tax, spend and elect” sys power and faces world problems. So, Father Time, we again lift our hats to you, tem which has made the W hite House incumbent and promise to make as fine a record as we can for Claus. transcription on your future scrolls. What do you mean, “There is no Santa Claus" when 1 president in less than 5 years, excluding war expenditures, has spent $191 billion, or more than the previous 32 presidents in 156 years spent amounting to $179 billion. Q bW l . Q a td L 5 - S ih a n d lu n tL : President, Lustron Corporation, Columbus, Ohio In the December issue of the B anker N orthw estern we discussed some of the loans now being then, and now, synonymous with the word Santa Hurrah for H a r r y ! Hurrah for Santa Claus! made by the Reconstruction Finance Corporation, and mentioned that the Lustron Corporation, of which you are president, had obtained loans amounting to $37,500,000 from the RFC. President, Valley Bank and Trust Company, Des Moines Now in a recent statement of yours, Mr. Strandlund, you told a House Committee that you “ launched the prefabricated housing business with $1,000 of your own money, and then borrowed the balance of $37,500,000 from the RFC." May we salute you as the master borrower of our present screwball government financial sys tem? All we can say is, that if you could talk the Reconstruction Finance Corporation into a loan of $37,500,000 and only have $ 1,000 of your own, you deserve a place in the Hall of Fame along with Charles “ Get-Rich-Quick” Ponzi of Boston and J. Rufus Wallingford, hero of the Fanciful Financial Tales of yesteryear. If any banker in the United States had made such a loan or any portion thereof, the boys in the W hite House would have called him a “ bank ing buzzard” and probably had him sent to jail for dereliction of duty in the handling of depositors’ funds. Is making an unsafe loan with (DojaJc ’Jhüdsüáclc 7YL. TYIxmí &otl: government funds any different? It certainly is. OsiWi. J'hsudL VYL. (BAstumnq&A.: President, Muskegon Savings Bank, Michigan So you advertised on your billboards, “There is no Santa Claus: Work— Earn— Save.” You were criticized by your community and changed your .copy to read, “Here is Santa C laus: W ork— Earn— Save.” You answered your critics by saying, "A ll I wanted to do was to impress our citizens that they shouldn’t depend on Santa Claus for everything. They should prepare for their own security rather than depend on government checks written in Washington.” Numerous banks have private libraries for their officers and employes as well as special research departments, N orthw estern but not many B anker with which the is familiar have offered prizes to stimulate reading by members of their staff as you have done. Congratulations! First of all, you have set an excellent example in your own reading habits since you have read more than 2,500 books yourself. Your plan, we understand, includes the follow ing program : 1. The best books of the past 3 centuries to gether with the better works of our time have been selected for your bank library. 2. No one is “forced” to participate in your library plan if they do not care to do so. 3. Prizes of money and of books will be awarded on September 30, 1950. 4. You suggest that employes keep track of the books they read and write a brief outline of how the books affect them. 5. One book at a time may be taken from the library for a period of 2 weeks without re newing and no charge is made in any way. The N orthw estern B anker will be interested in hearing the results at the end of September of your reading plan for your employes. Your idea appeals to us as an excellent one, because, as Joseph Addison, the famous British essayist, said several years before he died in 1719 : “Books are the legacies that a great genius leaves to mankind, which are delivered down from generation to generation, as presents to the pos terity of those who are yet unborn.” W h y , Mr. Brueninger, we are ashamed of you for even suggesting that thrift, and savings, and > economy are desirable attributes. Of course there is a Santa Claus, and has been https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwest ern Banker, J a n u a r y , J950 16 Central National Bank and Trust Company Fifth and Locust Street — Des Moines STATEM EN T OF C O N D IT IO N AT C LO SE OF B U SIN ESS DECEM BER 3 1 , 1949 ASSETS C ash and -due fr o m Federal Reserve and other banks ____ $28,420,542.26 United States Govern mental Securities___ 22,941,271.48 Obligations of United States Governmental A g e n c i e s ................... 2,114,407.90 $53,476,221.64 Municipal Securities........................ . 6,363,033.00 Market Bonds 851,532.83 Other Investments. ............................ 260,001.00 Loans and Discounts........................... O verdrafts...................................... 22,098,096.85 2,459.15 Stock Federal Reserve Bank 75,000.00 Accrued Interest Receivable . Bank Premises and Equipment 235,489.27 552,314.61 Customers’ Liability on Letters of Credit...................... 2,280.00 $83,916,428.35 ..... $ 1,250,000.00 ..................... 1,250,000.00 Undivided P rofits....... 1,304,565.78 Other R eserves........... A. T . D O N H O W E Vice-President W M . J. G O O D W IN Chairman, Board of Directors W . J. G O O D W I N , JR. President, Des Moines Clay Co. H. F. G R O SS Chairman, Iowa Mutual Tornado Insurance Assn. B. R E E S JO N E S President, T ow n Mutual Dwelling Insurance Co. LIABILITIES Common Stock E. F. B U C K L E Y President R O B E R T K. G O O D W IN President, Redfield Brick & Tile Co. TOTAL. Surplus D I R E C T O R S E D W . A. K I M B A L L Executive Vice-President, Iow a Manufacturers Assn. GUY 1,004,233.27 $4,808,799.05 E. L O G A N W ALTER E. M U IR G E O R G E A. P E A K Real Estate Reserves for Taxes, Interest and Other Expense 147,403.34 J U L IA N A. P E V E R I L L Chairman. H udson-Jones Auto Co. Discount C o lle cte d ...... ........... 181,190.06 W A L T E R L. S T E W A R T Vice-Chairm an Bank’s Liability on Letters of Credit Deposits ......... T O T A L .. .............................. 2,280.00 78,776,755.90 .. $83,916,428.35 U. S. G o v e rn m e n t a n d o th er se cu ritie s c a r rie d a t $ 4 ,0 1 0 ,6 1 9 .6 4 a r e p le d g e d to se cu re U. S. W a r Lo a n D e p o sit A cco u n t, P u b lic F u n d s, a n d T ru st D e p a rtm e n t Fu n d s. N o r t h w e s t e r n Banker , J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 F R A N K R. W A R D E N Vice-President M em b e r F e d e ra l D ep o sit In su ra n c e C o rp o ra tio n r* Northwestern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis To the ACCURACY, DEPENDABILITY and SPEED of Allen-Wales adding machines have now been added modern styling and pleasing color —the bright look for the right figures. ALLEN W WALES ALLEN-WALES ADDING MACHINE DIVISION OF THE NATIONAL CASH REGISTER COMPANY https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 444 NEW MADISON YORK AVENUE 22, N. Y. & 19 The Outlook T or MtusinessHood A Banker and an Economist Give Their Views on What We Can Expect as We Go Into 1950 PEAKING at the 18th Mid-Conti nent Trust Conference of the Trust Division of the American Bankers Association, held early last month in Chicago, W. Randolph Burg ess, chairman of the board of the City Bank Farmers Trust Company, New York City, and Dr. Howard R. Bowen, dean of the College of Com merce and Business Administration of the University of Illinois, analyzed the business economy of the Nation, and came up with answers that would indi cate the financial, industrial and com mercial interest of this country are headed for another good year in 1950. S gant plans for agriculture are there fore not supported by the principal farm leaders. “ On October 29th, President Truman announced that he would hold in re serve the Congressional appropriation M r . Mtaryess S a y s : “ Some say the American people have lost their ancient virtues of thrift and patriotism, and are willing to sell their votes for a mess of pottage; that they will continue to cast their votes, not for the long term good of the coun try, but for their own immediate self ish advantage. There seem to me am ple reasons to believe that this is not true, and that if we will go to work at it intelligently the books can be balanced and we can fulfill the respon sibilities imposed by our various na tional trusts. “ Here are a few of the reasons for hope: “ On November 18th, Louis Johnson, Secretary of Defense, speaking in Bos ton, said that the Department of De fense hoped to slash two billion dollars off its budget and still leave the coun try ‘adequately prepared to face any military crisis.’ “ On November 8, 1949, Paul Hoffman was reported in the press as saying that he would seek considerably lower dollar aid for western Europe next fis cal year, and Senator Connally, the Democratic chairman of the Senate Foreign Relations Committee, states that E.C.A. aid should be reduced by one billion dollars from this year’s level. “Within the past few months Allan Kline, president of the American Farm Bureau, and Albert Goss, president of the National Grange, have come out in favor of flexible price supports for agriculture, and in opposition to both the rigid 90 per cent of parity supports and the Brannan Plan. These extrava https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis the problems we face. They reveal the presence of leaders with courage and conscience. The coming months will be a testing time to see what kind of leadership will prevail, the unscru pulous appeal to blind self-interest, or the appeal to reason in the long term national interest. “ Which way the pendulum swings will depend on the willingness of men of good will and understanding to give time to explaining the issues to the people, and will depend also on the keenness of conscience with which re sponsible groups within our country, like this group of bankers, are willing to put the national interest ahead of their own immediate interest.” Mir. Mtoiren S a y s : W . R A N D O L P H BUR GESS “ There are reasons for hope’’ for increasing the combat groups in the Air Force from 48 to 58. “Within the past few weeks the junior democratic senator from Illi nois announced his opposition to the unbalanced budget and urged a budget balance through reducing expendi tures. “ The Secretary of the Treasury and, subsequently, the President of the United States have announced in un mistakable terms that it is the policy of the United States to maintain the present gold value of the dollar. “A widely respected former Secre tary of State, James Byrnes, a Demo crat, has spoken out fearlessly and vig orously against excessive spending and too big government. “At least three responsible commis sions and committees have reviewed the Federal budget, and all have re ported that it can be brought into bal ance without sacrificing any essential objective. “ All of these are signs in the sky that the American people are gradual ly awakening to an understanding of “American economy has greater sta bility and resilience now than it ever had before. This stability derives from the knowledge, experience and fears gained since 1929 in meeting the vicissitudes of depression, war, and inflation. Under the impact of the problems faced during this period the science of economics has developed at an almost unprecedented rate. Today we have a far more effective intellec tual equipment to guide private and public economic policy than was avail able a generation ago. “ The experience of the great depres sion and the intellectual and institu tional developments to which it gave rise have produced powerful supports for the economy which will become effective in the event of depression. It may well be that these supports are so strong that they have over-compen sated for any likely depression and that the overriding danger is inflation. Many shrewd economists argue that our fear of depression will lead us to adopt strongly inflationary policies whenever we are faced with the slight est downward trend in business. As a result, recovery from depression will be rapid, but an inflationary potential for the subsequent recovery will be generated. Thus, the economy will be consistently biased toward even high er prices. “Although there may be something (Turn to page 47, please) Northwest ern Banker, J a n u a r y , 1950 20 If off to A d vertise Your Êtaoh a ad Y oa r t oat ai a a it y EPRODUCED on this page are three of a series of seven advertisements by the Burlington Bank & Trust RCompany, of Burlington, Iowa, which ran in its local Dasjkwwdi P a A ~ ssta s»4 im m otai te eh« œorefajt, «Ke« «im the 4a» with páeníék«« «ad ehädr«» ptayte«, » « th« «Kd af th» day so r »« w M asd R«tìmm«et day» too will b* peace?»! « ¡d restful if prepararte« ha«« fe»»» wad« for Hum. Regular «avi»* «a w« «ara b th* way to ha«« money w h « working day» nr* over.* Pat your good «stobrttoss to «a«« into affect »ew, and deposit a part o f your next paycheck at the Burtiagta JR»»* *«d Trust Compauy. Your Savings Account will be appreciated and every effort will be made to mah» your basteras ptawajst and profitaM«, BURLINGTON BANK AND TRUST COMPANY ‘Tour Financial Partner—To Work With You and For You” S ou th ««! Comer Mais and Jeffers*» S tm t* Member of Federa! Deposit Insurance ftorpemton A print o f the above picture may- be «wared upon request at the Burirngtoii Bank & Trust Co. newspaper during the past summer and early fall months. Actual size, the advertisements measured four columns wide by eleven inches deep, their purpose being to tell customers about the savings and checking facilities of the hank. Special attention to the advertisements was gained by calling attention to the many out-of-door recreational centers available to the community. Responsible for the idea of this type of advertising was Mrs. Juanita Bindon, assistant trust officer of the Burlington Bank & Trust Company, who makes the fol lowing comment: “The thought was that during that particular time of year people were interested in out-of-door recreation and would notice these pictures. Also these pictures gave us a good opportunity to stress the advantages and impor tance of bank savings and checking accounts. Comments ranging from approval to quite enthusiastic have been received. “This series has identified our advertising and we plan to continue the same general setup with local photographs and copy featuring the industrial, farming and business life of the community.” JZAAK WALTON LAKE W resfsan fe good mesta! f l a t t sad ¡rosy Burimgtoaiaps 8s*»d boyr» «B the welt ¿ ju , beautiful W a t H A CUurse. If t e «ver Wed to Stefa a tea* s te ri* « drive you tarn* it Ííttes a tot at ïp etice to ptey a good «m x of golf. The “gam« of <ae teg ' takes persistence too, pad it is the regularity> at a «aviar ' ' that ; ttfí the dollars. Step at the BarBagtai Bat* aed Trust Company each pay day f®1- a ®?re 4 o)ia « 3E your Savin»» Account. for year special wil! be establish*»* good S f l aad a friendly Because of She iriasaiton ant that the beautiful Irjtak Walton L port of their reserve water supply. it gives, few people realise » « U H « . 8 . «servo»-, a A parallel may be mad« which is a resone money supply for dr opportunities sod e»«rgs»ei«*. la the meantime, your savin*« »«count:t gives you a ferite* of security and power, which ha» a great ìnflunsce on yesr M tjviti« and health. Build your reserve at the Burlington Bank and Trust Company, Yau writ find vs to be your fteanrial partner to work, with you and for m in all year finaociM undertakings. : BURLINGTON BANK BURLINGTON BANK —AND— TRUST COMPANY “Your Financial Partner -To Work With Yon and For Ym ” Southeast jgaroetj Main and Jaffraeen Street« e Insured to by t i» Fsdersl - Ó? te« *Mvr rirtan- ™« « »Kat«« N o r t h w e s t e r n Banker, J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 21 W hut W om en Should K n ow A bou t Kuuhiuy It Is a Wise Woman Who Becomes Better Acquainted With Her Banker, and Takes His Advice By A G N E S K E N N Y M ilw a u k e e , W isco n sin M IS S A G N E S K E N N Y “ W is e m anagement of funds^ requires thought and planning” her—if she has it, she can always find someone to manage it for her.” In that very statement lies the story of many heart-rending losses. Every in telligent woman should make an effort to learn the fundamentals, at least, of money management and it has been my privilege during my banking ex perience to be the medium through which that knowledge was acquired by some of those with whom I came 1. That the financial world is man’s in contact. It was a happy satisfaction domain and unless one has an aptitude to me to see women who, discouraged for higher mathematics, it is waste of and despondent both mentally and energy to attempt to invade it; physically, after the loss of a loved 2. That money is wealth and will in husband, or son, or brother, emerged sure happiness; from that depression with a feeling of 3. That banking is a cold business confidence in their ability to overcome and the banker is not interested in the personal problems of his customers. Each of these fallacies could be the theme of a separate story, but because TH E A U T H O R they are closely related, I shall con One of the first women executives sider them briefly in this account. in American banking, Miss Kenny Y EXPERIENCE as organizer and manager, for many years, of the women’s department of a large metropolitan bank gave me an unusual opportunity for observation of the attitude of women toward bank ing as a business and profession. Com monly heard among women are three fallacies about banking and finance which are rather generally accepted: M First: If we regard the financial world as one where money is earned and increased through cautious invest ment, we shall admit it is primarily man’s domain, but we must admit, also, that the largest part of that ac cumulation is inherited by women. If 70 per cent of the wealth of our nation is possessed by women—mostly wid ows—and if, according to statistics, their life-lease is longer than that of men, it would seem to be just good common sense on the part of women to learn something about the manage ment of money. The idea that a man just naturally understands financial problems is a thread-bare theory and not based on fact. Frequently we hear: “A woman doesn’t need to know much about money. If she hasn’t any, knowledge of it is of no benefit to https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis retired recently as head of the W o m en s Department of the First Wisconsin National Bank of Milwau kee. Starting originally as a school teach er 31 years ago, she took a summer job at the First National. She liked the position, the bank liked her, so she stayed on, and a year later organ ized the bank’s women s department. Since that time she has advised count less women on their financial prob lems. Miss K enny was the organizer and president for two terms of the Asso ciation of Bank W om en. While re tired from the bank, through writing and speaking she expects to keep right on helping women with their banking, investment, and budget needs. the obstacles that had seemed unsurmountable. But the will to learn is essential to, such development. M oney N ot A lw a y s H a p p in e ss Second: A study of economics would elucidate the relation between money and wealth but I shall not attempt an excursion into that scientific realm. Not money itself, but what money will buy in economic goods and services constitutes wealth, and money pro vides wealth when it serves the pur pose for which it was intended. Money as such cannot insure happiness, for the cold hard metal cannot produce the inner human satisfaction that is procured by the services money can buy. Only the miser, who loves to see the greenbacks and the metal ac cumulate before him, is the one who can be thrilled by its sight and touch. “Unhappy lies the head that wears a crown” may well be said of the one who does not realize that only by using money for her own needs and for the service of others is true hap piness assured. Wise management of funds requires thought and planning and any woman of average intelligence and a will to know can learn to plan her expendi tures and her investments. For the woman who has a large income it is usually advisable, and often necessary, to have the assistance of a wise coun selor who can relieve her of the worry such management might entail. But she should acquaint herself with the basic principles so that she may follow intelligently the procedure. The much maligned budget idea is a remedy for most financial ailments. Third: It is quite true that in times (Turn to page 45, please) No rthwest ern Banker, J a n u a r y , 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Xetrs a tut Views O F T H E B A N K IN G W O R L D By CLIFFORD DE PUY, Publisher FTER completing a 6,000-mile round trip by way of the south west and the Pacific Coast to the American Bankers Convention in San Francisco, one of the very impor tant “items” to report was that we never scratched a fender nor changed a tire. A cific. We viewed it through our bi noculars, as no one is allowed to enter the estate without special permission. The official name over the entrance is “Piedra Beanca Rancho.” Only Mr. Hearst’s sons use the “cas tle” now, as W. R. Hearst, who is 89 years of age and not well, lives most of the time at Beverly Hills. NO PICTURES—When you enter the Paramount Studios in Hollywood, the first sign which greets you at the main gate is that “ no pictures” may be taken inside. Amateur competition is no doubt too great. * In the Los Angeles amusement field year, still play to packed houses. “The Drunkard” is owned by Mil dred Use and must be a “gold mine.” There are no theatre seats, as such, hut each person is seated at a table, and beer, root beer, coffee, sandwiches and pretzels are all included in the price of admission. After the perform ance of “ The Drunkard” is concluded the “Olio” starts, which includes vaudeville acts, specialty dancing num bers, and much community singing by the audience. The master of cere monies the night we were there called out the names of 10 to 15 guests and told where they were sitting and from what part of the country they came. If you want your name mentioned, just tell the box office in advance and you can get some free publicity. At a dinner party in Los Angeles, we met a gentleman who had been 30 years with Scotland Yards and is now retired, and the surprising thing he told us was that no member of the Scotland Yard’s organization ever car ries a gun. He said that only once in his experience had a “Yardsman” ever been shot by a criminal. * * * SUICIDE TABLE—Virginia City, Ne vada is located in the famous gold mining region of that state. One of the most color ful places in the city is the Sawdust Corner Saloon where they show you the Suicide Table where 3 different men took their lives at different times after losing from $25,000 to $50,000 playing poker. THE DRUNKARD— Xo show on Broad way or anywhere else in the world has had as long a run as the Drunkard which is now in its 17th year at the Theatre Mart in Los Angeles. 7 VF AD * “The Drunkard,” in its 17th year and the “Turnabout Theatre” in its 9th SAN SIMEON ENTRANCE— This is the entrance to the William Randolph Hearst estate where he has his San Simeon Castle built at a cost of over a million dollars on the hill in the background. It overlooks the Pacific half-way between Los Angeles and San Francisco. In driving up the coast road from Los Angeles to San Francisco, we stopped to look at the W. R. Hearst San Simeon Castle which is located on a high mountain overlooking the Pa- * “The Drunkard” was first produced in 1843 by P. T. Barnum at his Ameri can Museum in New York City. It was presented as a great moral lesson and played with great success for more than a year. The show made its initial Hollywood bow at the Theatre Mart in 1933 and has played continuously at the same location, and has been seen by over 2 million people. Many of the Hollywood stars have seen the show from 10 to 20 times. TURN ABOUT THEATRE— This enter tainment establishment is in its 9th year in Los Angeles and gives you a puppet show the first half of the evening, and then you turn your seats around and the second half of the show is given by real live per formers, on a stage at the other end of the theatre. LONGEST RUN IN THE WORLD! ^ B I I M I T a ^ theatre mart q fa D R M M A R D ★ REFRESHMENTS INCLUDED IN ADMISSION CLINTON AT VERMONT NO. 211-21 , EVERY NIGHT * ELSA LANCHESTER 6T.L, YALE PUPPETEERS towîT L O n E GOSLAR BURNETT DOROTHY NEUMANN • LEOTA LANE 716 N. LA CIENEGA • CR. 6 1005 ^ >■ I I IPs t® 1» Wmm CARMEL BY THE SEA—Thei•e was probably no more beautiful place along the Pacific Coasf than Carmel By The Sea with its wind blown trees and rug ged coast line. Its famous “17-mile drive” is one of the most interesting in California. If someone asks you how you are enjoying the “liquid sunshine” in California you will know they are local community boosters, because they are really talking about the fog. * * * Carmel-By-the-Sea is one of the most beautiful spots on the Pacific Coast and the famous “ Seventeen Mile Drive” is most delightful. In the town of Carmel itself there are no street numbers, no street lights and no mail delivery. In the latter case you have to take your mail to the post office and also receive your mail at that point. * * * In Monterey is located the “FIRST Theatre of California” which was built in 1847 by Jack Swan. The first paid performance was in 1848. Judging from the acting the night we were there, they had not improved much during the past 101 years. * * =!= Since we know Duncan Hines per sonally, we follow his books when travelling, but in San Francisco we saw this interesting sign, “Bob’s—Not recommended by Duncan Hines, but what an adventure, and food you’ll remember.” * * * When you take a cruise around the San Francisco Bay natives remind you that they have three famous bridges, the Golden Gate, the Bay and Harry!! Thanks to Harry??? there have been no shipments in and out of the San Francisco docks for several months. =i= * * In Los Angeles we visited the Para mount Studios on the front gate of which it says “Positively no cameras permitted on studio premises.” Evi dently they can’t stand competition of “us amateurs.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TOP OF THE MARK -Very few ^ visitors in San Francisco miss having a cocktail or a cup of tea at the Top of the Mark where a most interesting and colorful view of San Francisco Bay may be seen. When flic sun goes down in the Pacific and the lights of San Francisco, Berkeley, Oakland and the Bay area come on, it is really awe inspiring. ■ At the Cafe Continental, which is within the studio grounds and op erated by Paramount, we had the pleasure of seeing Charles Coburn, Allan Ladd and Cecil B. DeMille, among others. The previous night we had seen Robert Taylor, Barbara Stanwyck, Sonja Heilie and her new husband, William Gardner, Jr. (Turn to page 38, please) LARGEST SKI LIFT The world’s largest ski lift is located in Squaw Valley near Tahoe, California, and while Aspen, Colorado and Sun Valley, Idaho have re ceived more publicity, they have no place where you can leap from a higher ski lift. DIVORCE CENTER— Reno, Nevada, still is known as the divorce center of the United States and reached its peak period in 194(> when divorces granted in that city amounted to 11,145. VALLEY 24 H a n kers You Tam S. • Ht President The National Bank of South Dakota Sioux Falls “A banker’s work does not end in the bank” OM S. H A R K ISO N , president of the National Bank of South Dakota in Sioux Falls, is a banker with wide ly diversified community interests. He does not believe that a banker’s work ends in the bank, but rather he thinks there is a responsibility to work for the betterment of the city and state. Instead of pursuing this goal of civic betterment through one main chan nel, Mr. Harkison diverts his energy to many endeavors, as witnessed by his prominent work in the American Legion. Masonic bodies, his church and various other civic groups. Along with this outside work in public life, Mr. Harkison has con tributed freely of his time to the pro motion of hanking interests through the South Dakota Bankers Associa tion, of which he is now president, and through the American Bankers Association, where he is serving on the federal legislative committee. Mr. Harkison’s many activities do not detract anything from his atten tion to executive supervision of the National Bank of South Dakota. He is keenly aware of rapidly changing times and trends and summarizes to day’s most important problem facing N o r t h w e s t e r n Banker , J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 hankers with this comment, “ W e must give adequate, comprehensive, yet conservative service to customers and the public (with proper return to stockholders) to maintain the dual system of hanking without govern ment control and ownership.” Pom Harkison is a native of Penn sylvania by birth, having been born in Honey Grove in that state on April 3, 1896. His entire business life has been spent, however, in the threestate area of North Dakota, South Dakota and Minnesota. After attend ing high school he entered the bank ing business in North Dakota in 1916 and also attended business college. From 1917 to 1919 he served in the Coast Artillery Corps, then in the finance division of the Quartermaster Corps during W orld W ar I. He returned to the banking field following his army service, continuing in North Dakota, his last position in that state being as cashier of the First National Bank at Cando. He left there in March, 1936 to join the credit department of the First Bank Stock Corporation in Minneapolis. A little more than a year later, in July, 1937, he joined the National Bank of South Dakota in Sioux Falls as vice presi dent. His election to the presidency followed in January, 1944. Deposits of the bank at the present time are approximately $18,000,000. Mr. Harkison was married to M il dred McIntosh on July 1 , 1919 and they have one daughter, Jean M., 22. This month marks the completion of Air. Harkison’s term of office as Po tentate of El Riad Temple AA O N M S at Sioux Falls. He is a member of the Masonic Order, York and Scottish Rite Bodies, the Shrine, and is vice president of the Midwest Shrine A s sociation. In 1944 he was Commander of the Sioux Falls American Legion Post, is currently treasurer of the Kiwanis Club, treasurer of the Minnehaha County Chapter of the American Can cer Society and a former director of the Sioux Falls Chamber of Com merce. His church association in cludes a trusteeship of the First Bap tist Church. For relaxation, Air. Harkison turns to hunting, fishing and golf, hut claims he is below average in each. His political affiliation is Republican. R eco rd A tten d unce nt F irst N ational Manli o f Chieau o K ankers Con fer enee More than 700 bankers from 35 states attended the third annual conference of bank correspondents, sponsored recently by The First National Bank of Chicago. The conference was the largest ever organized by the bank to develop an even closer personal relationship with its correspondent banks and to render them a constructive service by a practical discussion of mutual problems. Four panel discussions were scheduled 'simultaneously in four separate rooms. Walter M. Heymann, vice president, presided at the discussion on Public Eelations and Savings. Verne L. Bartling, assistant vice president, presided at the discussion on Managing a Country Bank. The discussion on Bank Operations was led by C. Edward Dahlin, attorney. Austin Jenner, vice president, John H. Grier, vice president, and Lewis Miller, assistant vice president, covered the discussions on government and municipal securities. The panel discussions were repeated four times in order to give everyone an opportunity to sit in on all the discussions. Pictured above are a few of the bankers attending the First National Bank Conference. Beading from left to right, they are: Upper left— Ernest Hultgren; Verne L. Bartling, assistant vice president; and John J. Anton, vice president and head of the bankers division, all of the First National Bank, Chicago. Upper center— T. H. Swiler, assistant cashier Burlington Bank & Trust Company, Burlington, Iowa; Will Lane, president New Vice President A major appointment of interest to bankers has been made by Lawrence Warehouse Company, nation-wide op erators of field warehouses, according to an announcement made by Law rence S. Coates, the company’s execu tive vice president. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Security Savings Bank, Marshalltown, Iowa; M. G. Addicks, vice president Citizens State Bank, Donnellson, Iowa; Frank C. Crone, president National Bank of Washington, Washington, Iowa; William Buxton, III, president Peoples Trust & Savings Bank, Indianola, Iowa; and B. M. Wheelock, vice president Security National Bank, Sioux City, Iowa. Upper right— Tom N. Hayter, vice president First National Bank, Sioux Falls, South Dakota; and Henry Visser, cashier First National Bank, Hawarden, Iowa. Lower left— T. H. Wake, Jr., president Jones National Bank, Seward, Nebraska; Harold R. Deitemeyer, cashier First National Bank, Beatrice, Nebraska; Robert L. Stout, president First Na tional Bank, Tekamah, Nebraska; W. W. Blasier, president Farmers State Bank, Jesup, Iowa; Fred Peters, assistant vice president United States National Bank, Omaha; C. J. Schneider, president Plattsmouth State Bank, Plattsmouth, Nebraska; and A. C. Glandt, vice president and cashier First National Bank, Lincoln, Nebraska. Lower right— G. Y. Somero, president First National Bank, Ely, Minnesota; Robert Pye, secretary Minnesota Bankers Asso ciation, Minneapolis; N. V. Torgerson, president Farmers State Bank, Adams, Minnesota; C. F. Dabelstein, president Olmsted County Bank & Trust Company, Rochester, Minnesota; John Carlander, president State Bank of Faribault, Minnesota; and Frank Powers, president Kanabec State Bank, Mora, Minnesota. Murray T. Wellman, who has been associated with Lawrence since 1926 and well known to bankers in the east and middle west, has been appointed vice president in charge of sales for the eastern division of the company. Mr. Wellman’s new assignment will cover sales development and manage ment in the eastern division, with offices at present quarters, 72 Wall Street, New York City. Branch offices at Philadelphia, Atlanta, Charlotte, Washington, Boston. Buffalo and Pitts burgh will be actively continued under his supervision, with further expan sion anticipated in the southeast. Northwest ern Banker, J a n u a r y , 1950 26 LEGAL # «fi A ft E x :ve u tor Hvdnvt # ont m ission Ht»fart» Estait» i s S v itic i? U . Cunningham, a banker, was ex ecutor of the estate of a decedent which was subject to the Federal es tate tax. In computing its net value for Federal estate tax purposes he de ducted from the gross a reasonable estimate of the amount that would he allowed him as executor by the laws of the jurisdiction in which the estate was being administered. His commis sions, however, had not at that time been either awarded by court decree or paid. Should he be sustained in taking the deduction? Yes. It is well settled that expenses of administration, including executors’ commissions, are deductible in com puting net estates for the purpose of Federal estate taxes before they have been paid or allowed by the court hav ing jurisdiction of the probate of the estate provided such expenses are a reasonable estimate of the amount al lowable under local law. The U. S. tax court has so stated in a recent decision. Q. Olson, a banker, owned a build ing which he leased for a term of two years to Svenson, who conducted a grocery store therein. Both parties understood and agreed that Svenson could install and remove trade fixtures at any time during the term of the lease. There was no understanding, however, that, after the end of the lease and the surrender of possession of the premises, Svenson could re move them. Also there were no spe cial circumstances which would per mit a removal after that time. If Svenson should surrender possession of the premises without removing his trade fixtures could he remove them at a later date under the general rule applicable in such matters? No. The rule is well established that ordinarily, and in the absence of spe cial circumstances, a tenant may not remove his trade fixtures or improve ments after he has surrendered posses sion of premises leased by him. In many cases such surrender by the ten ant without taking fixtures with him N o r t h w e s t e r n Banker, J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7950 This and O th e r T im e ly L e g a l Q u e stio n s A re A n s w e re d b y th e LEG A L D EPA RTM EN T of the N O RTH W ESTERN BAN KER is regarded as an abandonment of them by him. Iowa, Nebraska, Mis souri, Kentucky, Illinois, Indiana, Michigan and Wisconsin are among the jurisdictions in which decisions supporting various aspects of these views of the law may be found. Q. Colton pledged certain shares of corporate stock to an Illinois hank as security for a loan. Attached to the certificate was an irrevocable stock power duly signed by Colton. It be came necessary for the bank to sell the stock, which it did, and, as an inci dent to the sale, the bank guaranteed Colton’s signature on the stock power. Later Colton died. His sole heir con tended the signature was not genuine and sued the corporation to require it to issue the stock to him. The cor poration defended the suit and proved the signature genuine. It sought to recover its expenses in this regard from the bank that guaranteed the sig nature. Could it do so? No, according to a recent Illinois Appellate Court decision. The signa ture guarantee meant only that the bank assured anyone choosing to de pend upon it that the signature was genuine. Liability of the bank was limited to the loss suffered by anyone acting, to his detriment, upon the as surance in the event the signature was false. It follows that, since the sig nature on the stock power was gen uine, there was no liability. Q. Cowbell, a retired banker, went into the stock and bond business and became a registered broker and dealer under appropriate Federal law. He wilfully violated certain provisions of the law in that he failed to disclose certain features of his operations to his clients and the Securities Commis sion revoked his license. He took the matter to court and a majority of his clients came in as amicus curiae and informed the court that they under stood fully their dealings with him; that they were satisfied with, and had, profited by, such dealings; and that they wished to continue to use his services. On such a showing should the registration be reinstated? No. It is no defense to a proceeding before the Securities Commission to revoke the registration of a brokerdealer that the majority, or even all, of his clients understand completely the nature of their dealings with him and are satisfied with, and have prof ited by and wish to continue with, his method of doing business with them. Where a willful violation of the stat utes occurs and a revocation is in the public interest it will be sustained even though no one is misled or has suffered injury. Q. The North Dakota Legislature passed in 1948 a law prohibiting the establishment and maintenance by the state and its political subdivisions of parking meters requiring the deposit of coins or tokens for the privilege of parking cars on the streets and high ways. Several cities had parking meters prior to the passage of the law. These had been established by ordi nances and other acts of their various governing bodies, the memberships of which were made up of bankers and others. These cities challenged the law claiming it to be unconstitutional. Should they prevail. No. The North Dakota Supreme Court has held recently that the law in question is a valid enactment and that the parking meter ordinances of the various cities involved were nullified. In doing so it pointed out that the cities were merely the agencies of the state in regulating the use of the (Turn to page 57, please) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S ia b w u w L 4 , Ç o n d iiiü Ÿ L December 31, 1949 RESOURCES Loans and Discounts..................................... $ 27,442,761.36 Overdrafts........................................................ 4,006.58 State and Municipal Bonds.......................... 11,421,539.26 3,090,388.52 Corporation Bonds..................................... Stock in Federal Reserve Bank.................. 150,000.00 Bank Office Building..................................... 899,000.00 Furniture and Fixtures................................... 1.00 Income Earned But Not Collected.............. 427,827.47 Bonds of United States and Government Agencies $67,508,020.34 Due From Federal Reserve Bank................ 21,862,851.84 Cash and Sight Exchange 25,768,550.45 115,139,422.63 $158,574,946.82 LIABILITIES Capital Stock ..................................................$ 2,500,000.00 Surplus ............................................................ 2,500,000.00 Undivided Profits........................................... 2,727,498.34 Reserve for Contingencies........................... 1,080,225.29 Accrued Taxes, Interest and Other Expenses...................................................... 187,729.42 Dividend Declared and Unpaid.................. 50,000.00 U. S. Government Deposits........................ $ 7,338,623.38 Deposits............................. 142,190,870.39 149,529,493.77 $158,574,946.82 United States Government and other securities carried at $17,231,243.94 are pledged to secure public and trust deposits and for other purposes required by law. Northwest ern Banker, J a n u a r y , 1950 28 * W h a t Their Statem ents Interesting Statement Figures Are Shown in These Reports Received by the NORTHWESTERN BANKER (Last three figures omitted) December 31, 1949 ILLINOIS—Chicago Deposits Loans Am. Nat. B & T Co.$ 247,207 62,269 Central National .... 60,798 17,821 City Nat. B & T Co. 333,303 73,097 Cont. Illinois B & T 2,348,174 361,653 Drovers Nat’l Bk.... 84,496 9,336 Drovers Tr. & Sav... 30,100 5,220 First National ...... 2,278,611 790,957 Harris Tr. & Sav.... 577,072 151,414 LaSalle National ... 81,880 19,031 Live Stock Nat’l.... 55,287 10,282 Northern Trust Co. 653,398 93,089 IOWA—Des Moines Bankers Trust Co,.... Capital City St. Bk. Cent. Nat. B & T Co. D. M. B & T Co.... First Federal St___ Iowa-D.M. Nat’l .... Iowa State ............ Valley B & T Co... Sioux City First National ....... Live Stock Nat’l.... Security National .. Toy National ........ Other Iowa Banks National Bank of Burlington ........ Cedar Falls— First National .... Cedar Rapids— Merchants Nat’l.... Clinton—City Nat’l Davenp’t B & T Co. Dubuque— Amer. Tr. & Sav. Independence— Farmers State Sav. Iowa City— Iowa St. B & T.... Ottumwa— Union B & T Co... National Bank of Waterloo ............ Waterloo Sav. Bk.... Deposits Loans $ 220,237 ! 65,622 61,532 17,157 321,945 71,350 2,159,927 458,735 80,573 9,310 30,528 5,217 2,078,525 844,049 508,577 169,572 71,786 15,505 54,692 11,555 656,262 91,571 54,456 9,378 78,777 8,100 3,172 105,503 7,640 18,729 17,529 3,369 22,098 2,403 1,108 25,474 3,746 8,086 57,986 8,000 83,031 7,764 3,151 108,862 6,635 17,147 15,655 2,786 24,302 2,343 401 24,786 3,667 8,458 20,805 25,251 27,789 25,828 7,757 4,071 7,404 6,619 18,861 26,443 26,112 23,486 5,857 4,271 7,558 5,573 9,933 3,795 10,360 3,160 4,078 595 4,266 592 80,215 14,266 72,925 11,924 3,294 23,849 77,541 14,188 73,929 12,460 3,108 22,189 20,981 5,652 19,420 4,292 5,481 1,447 5,440 1,121 11,031 4,008 10,882 3,767 14,369 5,304 14,311 4,834 25,629 19^00 6,149 5,937 23,941 17,629 6,632 4,795 14,608 11,031 71,332 45,639 17,090 10,284 104,700 10,420 18,707 100,991 341,122 32,655 57,300 347,625 108,382 8,861 18,700 110,236 8,229 92,636 2,975 26,964 304,244 17,551 7,918 90,598 3,634 52,788 121.174 20,488 137,498 386,584 64,760 52,091 110,934 28,089 MINNESOTA—Duluth First and Am. Nat’l 69,556 Northern Minn. Nat. 43,618 Minneapolis First National ...... 340,570 Marquette National.. 38,602 Midland National .... 56,800 Northwestern Nat’l.. 354,070 St. Paul Empire National .... 28,921 First National ...... 309,172 Stock Yards Nat’l.... 19,743 MISSOURI—Kansas City City Nat’l B & T Co. 144,580 Commerce Tr. Co.... 389,902 Inter-State National 61,412 Northwestern Banker , J a n u a r y , 7950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis December‘31.1948 December 31, 1949 St. Joseph Loans Deposits Loans 23,209 $ 6,428 $ 23,267 $ 5,824 29,523 3,951 30,463 4,282 American National..! First National ......... First St. Joseph 8,863 Stock Yards ........ Tootle-Lacy Nat’l.... 21,695 St. Louis First Nat’l ............. 434,928 Mercantile Comm. B & T Co.............. 354,648 Mississippi Valley Trust Co............... 211,399 N EBRASKA— Lincoln Continental Nat’l .... 30,971 First National ........ 48,767 Nat’l Bk. o f Com.... 35,667 Omaha Douglas Co. Bank.. 8,645 85,162 First National ....... Live Stock Nat’l..... 59,859 Omaha National .... 149,529 South Omaha Sav... 2,216 23,658 Stock Yds. Nat’l..... United States Nat’l 70,207 NEW YORK CITY Bankers Tr. Co...... Bank o f Manhattan Central Hanover B & T Co.............. Chase National ..... Chemical B & T Co. Guaranty Tr. Co.... Irving Trust Co...... Manufac’rs Tr. Co... Nat’l City Bank....... New York Tr. Co... Public National ..... December 31.1948 Deposits 1,431,528 1,127,809 1,244 4,284 10,171 18,114 1,589 3,290 177,147 442,114 178,559 113,837 342,493 121,659 83,737 213,402 86,447 5,441 7,175 12,082 29,330 47,246 33,567 5,984 7,603 12,722 1,754 18.393 21.394 27,443 1,851 4,308 15,627 83,958 61,499 144,812 2,170 24,422 71,448 19,580 20,862 29,620 1,706 4,855 16,305 576,711 1,325,472 462,758 1,127,930 571,153 455,974 1,448,101 4,384,572 1,449,656 2,299,856 1,052,448 2,281,748 4,669,252 627,300 505,319 145,974 1,350,507 436,846 954,967 384,977 572,923 1,381,717 237,059 156,562 NORTH DAKOTA— Fargo First Natl B & T Co... 25,269 6,519 25,058 5,042 6,588 6,199 10,950 23,318 18,056 43,643 6,313 5,263 11,009 102,931 27,893 380,894 431,000 278,446 1,619,817 107,770 33,327 418,458 SOUTH DAKOTA— Sioux Falls First National ....... 23,944 Nat’l Bk. o f S. D.... 17,922 Northwest Sec. Nat. 43,745 CALIFORNIA— Los Angeles California Bank ..... 440,391 Farmers-Merchants 275,712 Security-First Natl. 1,602,888 San Francisco American Trust Co. 937,432 Bank o f America..... 5,775,110 Crocker First Nati. 316,533 OTHER BANKS First Wise. Nat’l, Milwaukee ........... 530,921 Republic Natl., Dallas 339,871 Royal Bank of Can ada, Montreal ..... 2,192,140 Valley National of Phoenix, Ai’iz...... 224,876 1,400,785 432,451 4.237.000 1,482,834 1,435,190 560,799 2,330,237 1,034,441 1,113,182 429,048 2,223,383 623,902 4.643.000 1,422,000 642,398 256,426 515,990 140,307 374,736 927,884 377,497 : 2,804,522 5,639,523 2,807,070 77,100 320,275 84,158 90,297 150,529 520,790 311,745 97,646 172,436 653,267 2,067,489 657,457 104,721 230,427 120,697 29 S j/te LIVE STOCK 'lA îm I îm u i/ BANK UNION STOCK YARDS • TELEPHONE YArds of'H iU c a g c 7-1220 Close of Business— December 30, 1949 RESOURCES Cash and due from banks................. .....................$ 1 7 ,5 6 3 ,6 5 4 .0 7 U. S. Treasury securities (Average maturity less than 18 months)........................... 2 7 ,6 1 6 ,1 2 2 .6 4 State and municipal securities (Average maturity less than 2 years) ............................. 1,7 5 0,2 3 1*0C) Other marketable bonds.......................................... 4 2 1 ,4 8 2 .2 3 Loans and discounts.................................................. 10,282,2 5 5.63 Federal Reserve Bank stock.......................»-.......... 7 5 ,0 0 0 .0 0 Bank building.......................................................... 2 5 0 ,0 0 0 .0 0 22 1,793.53 Interest earned, not collected................................ Current receivables and other assets................. 8 4 ,7 6 1 .7 0 T otal................. $ 5 8 ,2 6 5 ,3 0 0 .8 6 L I A B I L I T I E S Capital...........................................................................$ 1 , 000 , 000.00 Surplus............................................................................ 1 ,5 0 0 ,0 00 .0 0 Undivided profits and reserves............................ 4 1 9 ,2 7 0 .6 2 U n e a r n e d d i s c o u n t ........................................................ 55,691.66 Liability under Letters of Credit............................. 3 ,0 00.00 D e p o s i t s ........................................- ................................... 5 5 , 2 8 7 , 3 3 8 . 5 8 Total..................................................................... T$ 5 8 ,2 6 5 ,3 0 0 .8 6 ¿ ß v € i/ u / (2 D t''ie o l< y i& F red erick H e n r y P rince O r v is T. H enkle J ohn W. A u stin Treasurer, The Union Stock Yard & Transit Company President, The Mercury Manufacturing Company I v a n E. B e n n e t t H aro ld p . J o h n st o n Vice President and Cashier Vice-President W illiam W ood P rince J ames F. D o n o v a n President, The Union Stock Yard & Transit Company Trustee, Central Manufacturing District T h o m as E. W ilson G u y A. G lad so n Chairman o f the Board W ilson & Co., Inc.. W inston, Strawn, Shaw & Black D a v id H. R eimers President SERVING AGRICULTURE AND INDUSTRY - J t 'i i e e m e m b e r https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis f e d e r a l d e p o s i t i n s u r a n c e c o r p o r a t i o n Northwest ern Banker, J a n u a r y , 1950 30 Itasi aoss luta vi to i aatiaav Hii/li -j-H E new year begins on a note of | optimism, The Northern Trust Com pany reports in its monthly bulle tin, Business Comment, but the long term outlook is less hopeful because of the passing of the crest of demand for durable capital and consumer goods and houses and also because of the great expansion of mortgage and installment credit. “ The tenor of the statements of business men and the concensus of economists are strongly on the side of a continued high level of output and sales well into 1950,” the bank states. Several factors are cited as chiefly responsible for this. “Large building contract awards during the late fall assure a record volume of construction work, seasonal influences allowed for. In the steel industry, heavy bookings are reported to re quire close to capacity operations for some months. In the first part of 1950, the output of automobiles is likely to exceed the same period of 1949. New models will stimulate de mand and a larger supply of steel will permit higher production schedules than last year. “ The distribution to veterans of the dividend on National Service Life In (ommercefrust (ompany9 Established 1865 Kansas City, Missouri Member Federal Reserve System Statement of Condition at Close of Business December 31, 1949 R E S O U R C E S Cash and Due from Banks___________________ $136,273,151.97 U. S. Obligations, Direct and Fully Guaranteed, 111,258,730.74 $247,531,882.71 State and Municipal Bonds__________________ $ 33,299,164.57 Stock of Federal Reserve Bank_______________ 540,000.00 Other Bonds and Securities---------------------------- 9,681,713.29 43,520,877,86 Loans and Discounts_________________________________________ 121.174 471.72 Bank Premises ___ ________________________________________ 1,697 389.87 Customers’ Liability Account Letters of Credit________________ Accrued Interest Receivable__________________________________ 274,915.84 436,625.82 Overdrafts --------------------------------------------------------------------------- 2,682.96 Total Resources-------------------------- _-------------------------------- ,$414,638,846.78 LI ABI LI TI ES Deposits: U. S. Government--------------------------------------- $ 4,696,615.61 Other Deposits -------------------------------------- 385,205,445.41 $389,902.061.02 Capital ------------------------------------------------------- $ 9,000,000.00 Surplus ---------------------------------------- 9,000,000.00 Undivided Profits----------------------------------------- 5,657,254.61 23,657,254.61 Liability Account Letters of Credit___________________________ 274.915.84 Accrued Interest, Taxes and Expense__________________________ 778.195.64 Other Liabilities_____________________________________________ 26 419.67 Total Liabilities -------------------------------------------------------------$414,638.846.78 M E M B E R F E D E R A L D E P O S IT N o r t h w e s t e r n Banke r , J a n u a r y , 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis IN S U R A N C E C O R P O R A T IO N surance, supplemented by large bonus payments in some states, will augment incomes by almost 3 per cent in early 1950. With a record number of new dwellings being completed, the de mand for furnishings and household equipment should remain high. The war-created pent-up demands for con sumer durables and for new automo biles appear to have been filled, but the industries are now experiencing the wide dimensions of a market cre ated by full employment. The hurdle of high prices required by high labor costs continues to be overcome by the presence of a large volume of liquid assets, by heavy government expendi tures and cash payments at home and abroad, and, increasingly, by the easy credit terms that facilitate purchases.” The accelerated use of mortgage and consumer credit is perhaps the surest indication that demands cannot con tinue at present levels indefinitely, the bank says. The forces that this coun try may depend upon to overcome cyclical influences in major durable expenditures, the bank emphasizes, are the exercise of restraint during the boom, physical and technological growth and the spirit of free enter prise. “ An economy of private property and individual choice is tremendously strong, with four million businesses competing to find something to sell to the public at a profit and with each individual working to better his sta tion in life. Under these conditions a depression, and particularly a se vere and long lasting one, is an ab normality rather than an inherent weakness. The great danger is that remedies may be applied that will damage the incentives that are the mainspring of our system.” Third Term Office James L. Sharp, manager, foreign department, First National Bank in St. Louis, has been elected to a third term as treasurer of the Export Man agers’ Club of St. Louis, Inc. Mem bers of the club are interested in for eign. trade, including transportation, insurance and banking. Last year the St. Louis area han dled a volume of about 200 million dollars in foreign business, made up of approximately 125 million dollars in exports and 75 million dollars in imports. Dividend The board of directors of Manufac turers Trust Company, New York, has declared the regular quarterly divi dend on the bank’s capital stock in the amount of 60 cents per share, pay able January 15, 1950, to stockholders of record December 15, 1949. 31 Typing Perfection w ith \J Remington Noiseless DeLuxe Gray Typewriter Where Q U IE T is essential, there’s no typewriter to compare with the New Remington Noiseless DeLuxe Gray. Using the pressure printing principle employed on fine printing presses, typebars are swiftly, silently p-r-e-s-s-e-d against the paper. Result: faster, more productive typing with a minimum of sound and typescript extra ordinary in its evenness of tone. In addition, scientific tests prove that Q U IE T increases typists’ efficiency and boosts morale. A typist expends 2 0 % more energy . .. produces 5 % less under noisy conditions. Conversely, a 1 5 % reduc- g tion in noise brings a 5 % increase in typing efficiency. No small wonder that executives, who need typing perfection and want Q U IE T , specify Remington Noiseless Typewriters. Call your nearest Remington Rand representative for informa tion on the New Remington Noiseless DeLuxe Gray Typewriter or write direct to Dept. N T 12, 315 Fourth Ave., New York 10. C o p y r ig h t 1950 b y R e m in g to n R an d I n c . T Z gm ujton T HE FI RST https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NAME IN TYPEWRI TERS Northwest ern Banker, J a n u a r y , 1950 32 Y ea r-E n d In vest num i S u rr ey ferings are quite possible in the future. "In the tax-exempt field, heavy vol near their 1949 level,” the survey ume is anticipated,” the survey con pointed out. “As with the utilities, a tinued. “ The apparent willingness of decline in railroad equipment finan voters to approve bond issues, dem cing may also be offset by refundings. onstrated by authorizations in Novem Industrial financing will continue to ber’s elections, could bring 1950’s of be placed privately and will decrease ferings of state and municipal bonds in amount. close to the 1949 total. Add to this “ The World Bank will go into the volume the Housing Authority issues market with a refunding offering of and a substantial increase in tax-ex $100 millions, its first public financing empt offerings is probable. With little since the initial 1947 issues of $250 likelihood of any reduction in taxes, millions. While financing by the fed and the probability that tax exemption eral government has been by way of will become more limited, tax-exempt the short term market, long term of bonds will continue to be in demand. “ In general,” Halsey, Stuart noted, “the biggest demand for corporate bond offerings will continue to be that of insurance companies and banks. The demand undoubtedly will be aug mented by the requirements of pen sion funds, requirements which may very well become tremendous. “According to the supply-demand equation, bond prices should continue steady with a tendency to advance. This projection is bolstered by the probability that prices for long-term governments will remain around pres ent levels.” PROBABLE substantial increase in tax-exempt bond offerings, a A volume of utility and railroad finan cing near the 1949 level, and a decline in industrial bond issues were pre dicted for 1950 by Halsey, Stuart & Company, Inc., in its annual Year-End Bond Survey for 1949. “ The total new money requirements of the utilities, including the gas and telephone companies, are likely to be lower, but it is possible that refund ings in 1950 of issues now outstanding will bring the total utility offerings S T A T E M E N T OF C O N D I T I O N Edgar E. Mountjoy Retires DECEMBER 31, 1 9 4 9 RESO U RCES C a s h a n d D u e fro m B a n k s . U. S . G o v e rn m e n t B o nd s . O th e r Bonds . . S e c u r it ie s 3 7 ,5 7 0 ,4 4 1 .8 9 7 6 , 5 0 4 ,1 8 4 .0 0 1 6 ,8 3 2 ,2 3 1 .3 2 D i s c o u n t s .............................. 1 0 4 , 7 2 1 ,3 6 3 . 0 5 B u i l d i n g s ............................................. 1 ,6 2 7 , 2 2 1 .2 8 Loans an d Bank and $ . F u r n itu r e A ccru e d and F ix t u re s . . In te re s t R e c e iv a b le . . Edgar E. Mountjoy, deputy manager of the American Bankers Association and for thirty years in charge of its National Bank Division, has retired. Mr. Mountjoy was also in charge of the association’s Retirement Pension Plan Studies. 6 6 2 , 7 3 6 .0 2 . 9 3 6 , 1 4 8 .9 4 C u s t o m e r s L ia b ilit y o n L / C 4 3 3 , 2 2 0 .2 9 O th e r 4 6 7 , 3 4 0 .8 3 R e s o u r c e s ...................................... T o ta l R e s o u r c e s . TO th itir t h tin y $ 2 3 9 , 7 5 4 ,8 8 7 .6 2 L IA B IL IT IE S D e p o s i t s ............................................. U n e a rn e d D is c o u n t . . . $ 2 2 4 ,8 7 5 ,9 3 7 .3 6 . 1 ,9 4 7 , 2 5 1 .9 6 L e tt e r s o f C r e d i t ...................................... R e s e r v e s fo r T a x e s , In te r e s ts , e tc 4 3 3 , 2 2 0 .2 9 1 ,1 7 8 , 1 0 0 .8 8 C a p ita l Fu n d s P r e f e r r e d S to c k . Com m on S to c k . 3 ,2 5 0 , 0 0 0 .0 0 S u r p lu s . . 4 ,5 0 0 , 0 0 0 .0 0 . $ 7 0 0 , 0 0 0 .0 0 U n d iv id e d P ro fits 1 ,5 4 5 , 3 7 7 .1 3 R e se rv e s 1 , 3 2 5 , 0 0 0 .0 0 . . T o ta l L ia b ilitie s . 1 1 ,3 2 0 ,3 7 7 .1 3 $ 2 3 9 ,7 5 4 ,8 8 7 .6 2 HOM E O F F IC E PH O EN IX , A R IZ O N A Jlasuj&U Ba+vk ¿n ¿lie, (locJiy M(u**tlcu+i Stated VALLEY NATDONAL BAN IK. G LEN D A LE MIAMI TO LLESO N S U P E R IO R SA FFO RD K IN G M AN MEMBER OF W IC K E N B U R G C O O L ID G E L I T C H F IE L D P A R K THE FEDERAL N o r t h w e s t e r n Banker, J a n u a r y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis P H O E N IX TU CSO N DO U GLA S 7950 CASA GRAN DE G LO B E A JO M OREN CI DEPOSIT M ES A C L IF T O N N O G A LES INSURANCE SU N N Y SLO P E PRESCO TT W IN S L O W H A YDEN C H A N D LER W IL L C O X CORPORATION Mrs. Eva H. Kimball, dean of women at the City National Bank and Trust Company of Chicago, was honored by the officers and other personnel on the occasion of her 70th birthday. General Charles G. Dawes, right, chairman of the board, was present during the open house when Philip R. Clarke, left, president of the bank, presented Mrs. Kimball with a tele vision set. 33 F irst W isconsin N a t io n a l B a n k o f M ilw a u k e e Statement of (Condition as of December Jlsk, I ç¿¡.ç d ir e c to r s W illiam G. Brumder Senior Vice President W illiam M errill Chester President, T. A. Chapman Company RE SOURCE S Cash and Due from Banks.................................... $147,506,291.45 321,159,012.76 $468,665,304.21 U. S. Government Securities.................................. Other Bonds and Securities................................................................ 18,354,583.84 Stock in Federal Reserve Bank............................... ........................ 600,000.00 E. J. D empsey Attorney, Oshkosh Loans and Discounts.................................................. ......................... 90,296,980.69 W Accrued Income Receivable............................................................. 1,334,914.95 Bank Buildings and Equipment........................... ......................... 3,344,849.65 Other Resources.......................................................... ......................... 2,044,050.81 alter G eist President, Allis-Chalmers Mfg. Co. Joseph F. H eil President, The Heil Co. W alter V. Johnston Industrialist W alter K asten $584,640,684.15 LI ABI LI TI ES C a p ita l........................................................................... $ 10,000,000.00 Surplus ........................................................................... 10,000,000.00 Undivided Profits.................................... ................ 9,158,860.22 Robert E. Pabst Special Reserves (includes amount sufficient to am ortize U . S. G o vern m en t and all other securities to p a r )....................................... 9,872,838.02 $ 39,031,698.24 Cyrus L. Philipp Reserve for Interest, Taxes, Expenses, Etc.. . . ......................... President G eorge E. Long President, Koehring Co. Ernst M ahler Executive Vice President, Kimberly-Clark Corp. President, Union Refrigerator Transit Co. H arold H. Seaman Industrialist Lawrence F. Seybold D e p o sits ........................................................................ 530,920,793.73 W a r Loan Deposit Account.................................. 11,923,900.77 Other Liabilities.......................................................... ......................... Executive Vice President, Wisconsin Electric Power Co. W m. Charles O. T homas President, Pal-O-Pak Insulation Co. Joseph E. U ihlein , Jr . Vice Presidents Banker Robert A. U ihlein , Jr. Vice President, Jos. Schlitz Brewing Co. W illiam Carl M. Flora Pierre N. H auser W illiam J. K lumb Edwin R. O rmsby Edwin Buchanan G eorge T. Campbell D. W esley Correll Edward R. D roppers President, Appliance Corp. of America Robert A. U ihlein 1,754,116.39 $584,640,684.15 T aylor President, Jos. Schlitz Brewing Co. 542,844,694.50 President, W alter K asten Executive Vice President, W m . T aylor Senior Vice President, W illiam G. Brumder Executive Vice President Erwin C. U ihlein 1,010,175.02 John S. O w en Chester D. Raney Joseph W . Simpson , Jr. Robert A. Z entner Comptroller, Clarence H. Lichtfeldt UNPARALLELED STATEWIDE SERVICE Through affiliated banks and correspondent bank relationships — embracing over 90 per cent of all banks in Wisconsin — the First Wisconsin offers unparalleled statewide banking service. D. V ogel Real Estate and Investments https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M E M B E R F E D E R A L D E P O S I T I N S U R A N C E C O R P O R A T I O N Northwestern Banker, January, 1950 34 Northern Trust Company Net earnings of The Northern Trust Company, Chicago, for the year ended December 31, 1949, after expenses, taxes and additions to reserves, were $1,085,429,32 compared with $1,021,213.04 in 1948. Dividends of $540,000 were paid and $545,429.32 was added to undivided profits. Earnings amounted to $36.18 per share as compared with $34.04 in the previous year. The earnings on aver age capital stock, surplus and undi vided profits were equivalent to 5.09 per cent compared with 4.89 per cent last year. Deposits at the year end amounted to $653,398,075.02 compared with total deposits of $656,262,273.77 at the end of last year. First National, Minneapolis Directors of First National Bank of Minneapolis, at their year-end meet ing, voted a $3,000,000 increase in the bank’s surplus, raising its total of capital and surplus to $20,000,000. In addition to the surplus increase, Henry E. Atwood, First National presi dent, also announced the promotion of several officers. In the banking de partment, Victor F. Rotering, M. O. Grangaard and Guy W. LaLone were advanced from vice president to the newly-created position of senior vice president. Associated with the First National since 1908, Mr. Rotering has served since 1929 as vice president. Mr. Grangaard joined the bank’s staff in STATEMENT OF CONDITION DECEMBER 31. 1949 RESOURCES Cash and Due from Banks . . . . U. S. Government Securities State, Municipal and Other Securities . Stock in Federal Reserve Bank . Loans and D iscounts............................. Bills of Exchange and Commodity Loans Bank Premises and Equipment . Real Estate for Bank Expansion Acceptances — Customers Account TOTAL . . . . $114,591,708.63 63,432,228.30 2,965,594.37 750,000.00 150,529,676.98 33,697,881.68 2,344,024.04 2,314,923.23 7,446,282.13 $378,072,319.36 LIABILITIES Capital Surplus . . . . . . . . $ 12,000,000.00 13,000,000.00 Undivided Profits......................................... Reserve for C o n tin g e n cie s....................... Reserve for Taxes, etc.................................. Acceptances — Customers Account Deposits: Individual . . . $214,303,231.05 Banks . . . . 122,005,318.38 U. S. Government . 3,562,296.17 TOTAL 339,870,845.60 Republic National Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DALLAS M EM B ER 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 O R A T IO N hwest ern Banker, January, 1950 Digitized forNort FRASER 1923, and six years later was elected vice president in the department of banks and bankers. Mr. LaLone, vice president in charge of offices and affili ates, began his career with the First National in 1921, and previously was with the Minnehaha State Bank. In addition to their positions at First National, Mr. Rotering is president of First Hennepin State Bank and Mr. LaLone is president of First Minne haha National Bank and First Produce State Bank. Mr. Grangaard also is a director of First Edina State Bank. New Vice President $ 25,000,000.00 2,400,218.25 2,500,370.86 854,602.52 7,446,282.13 $378,072,319.36 of M . O. G R A N G A A R D Now Senior V ice President First N ational, M inneapolis Guaranty Trust Company of New York announces the appointment of Kent G. Colwell as a vice president. Associated with the bank since 1919, he continues with the foreign depart ment at the main office, where he has served successively as assistant man ager and second vice president since 1926. Prior to 1926 he served in official capacities in the bank’s branches in Europe. Supervisor The Royal Bank of Canada an nounces the appointment of Thomas F. Whitley as supervisor of the bank’s 233 branches in Ontario. He succeeds S. A. Duke who has been the bank’s Ontario supervisor since 1941. C. L. Walker has been appointed to succeed Mr. Whitley as manager of the bank’s main Toronto branch. 35 Continental Illinois National Bank and Trust Company of Chicago BOARD OF DIRECTORS Statement o f Condition, December 3 1 ,1 9 4 9 W ALTER J. C U M M IN G S Chairman R E SO U R C E S J. Q . A D A M S Real Estate Cash and Due from Banks............................ $ 671,839,584.51 CARL A . BIRDS ALL United States Government Obligations. . 1,394,028,594.11 President C H A U N C E Y B. BORLAND Managing Owner, Borland Properties D. A . CRAW FORD President, Pullman Incorporated EDW ARD A. C U D A H Y Chairman o f the Board, The Cudahy Packing Company Other Bonds and Securities.......................... 100,843,486.84 Loans and Discounts....................................... 361,653,124.16 Stock in Federal Reserve Bank..................... 4,800,000.00 Customers’ Liability on Acceptances. . . . 2,434,750.51 Income Accrued but Not Collected.......... 7,906,851.27 Banking H o u s e ................................................. 9,600,000.00 JO H N F. CU N EO President, The Cuneo Press, Inc M ARSH ALL FIELD $2,553,106,391.40 President, Sun and Times Co. LAW RENCE P. FISHER Director, General Motors Corporation CHARLES Y . FREEMAN L IA B IL IT IE S Chairman, Commonwealth Edison Company Deposits .........................................................$2,348,174,295.69 JAMES R. LEAVELL Banker W IL L IA M H . MITCHELL Partner, Mitchell, Hutchins 3C Co. Acceptances ................................................. 2,434,/50.51 Reserve for Taxes, Interest, andExpenses 8,123,849.54 President, Standard Oil Company (Indiana) Reserve for Contingencies.......................... 18,106,473.71 H . A . SC A N D R ETT Income Collected but Not Earned............ 376,569.89 Capital Stock ............................................... 60,000,000.00 McCormick Estates S u rp lu s.......................................................... 100,000,000.00 FRANK F. TA Y L O R Undivided P ro fits........................................ 15,890,452.06 A . W . PEAKE Railroad Executive, retired JU D SO N F. STO N E Vice President H ERM A N W A LD E CK $2,553,106,391.40 Executive Vice President R. L. W IL L IA M S President, Chicago and North Western Railway System CHARLES D. W IM A N President. Deere 8i Company United States Government obligations carried at #255,416,479.62 are pledged to secure public and trust deposits and for other purposes as required or permitted by law M em ber Federal Deposit Insurance Corporation You are invited to use the facilities of our Bond Department to meet your investment requirements for United States https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Government, State, and Municipal securities. Northwestern Banker, January, 1950 36 Volume Over $75,000,000 Guaranty Trust Company of New York 140 Broadway Fifth Ave. at 44th St. Madison Ave. at 60th St. ___________________________ L O N D O N • P A R IS • Rockefeller Plaza at 50th St. BRU SSELS Clarence L. Landen, president and general manager of the Securities Ac ceptance Corporation of Omaha, re ports a very prosperous year for his organization in the fiscal period ending September 30, 1949. “ The business of the company,” says Mr. Landen, “ con- Condensed Statement of Condition, December 31, 1919 RESOURCES Cash on Hand, in Federal Reserve Bank, and Due from Banks and B an k ers........................................ $ 5 8 6 ,9 7 3 ,4 4 4 .9 1 U. S. Government O b l i g a t i o n s ........................................ 1 ,0 8 8 ,0 7 2 ,3 9 9 .7 3 Loans and Bills P u r c h a s e d ............................................... 9 5 4 ,9 6 7 ,5 7 1 .1 2 Public S e c u r i t i e s .......................... $ 5 4 ,8 4 6 ,5 0 0 .4 3 Stock o f Federal Reserve Bank . 9 ,0 0 0 ,0 0 0 .0 0 Other Securities and Obligations . 7 ,4 1 0 ,5 3 4 .0 0 Credits Granted on Acceptances . 9 ,6 1 3 ,9 5 6 .1 4 Accrued Interest and Accounts R eceivable....................................... 9 ,1 8 0 ,9 8 9 .2 5 Real Estate Bonds and Mortgages 5 ,3 8 5 ,1 9 7 .8 9 9 5 ,4 3 7 ,1 7 7 .7 1 5 ,0 8 3 ,0 6 7 .7 8 4 1 ,3 0 2 .8 6 Bank P r e m i s e s ......................................................................... Other Real E s t a t e .................................................................. Total R e s o u r c e s ........................................... $ 2 ,7 3 0 ,5 7 4 ,9 6 4 .1 1 LIABILITIES CaP > * a l ..............................................$ Surplus F u n d ................................. Undivided Profits . . . . 1 0 0 ,0 0 0 ,0 0 0 .0 0 2 0 0 ,0 0 0 ,0 0 0 .0 0 7 0 ,5 6 8 ,4 8 2 .5 4 Total Capital F u n d s ..................................................... $ 3 7 0 ,5 6 8 ,4 8 2 .5 4 D e p o s i t s .............................................. $ 2 ,2 6 7 ,4 1 6 ,9 4 7 .2 6 Treasurer’s Checks Outstanding . 3 2 ,4 3 9 ,0 5 1 .7 4 Total D e p o s i t s .......................... ...... ! . ! 7 2 ,2 9 9 ,8 5 5 ,9 9 9 .0 0 A c c e p ta n c e s ........................................$ 1 8 ,0 8 9 ,2 6 4 .3 1 Less: Own Acceptances Held for 7 ,5 9 8 ,8 3 6 .5 7 I n v e s t m e n t .................................. ^ , $ Dividend Payable January 3, 1 9 5 0 : Regular '. . $ 3 ,0 0 0 ,0 0 0 .0 0 Extra . . . 2 ,0 0 0 ,0 0 0 4 )0 Items in Transit with Foreign B ran ch es. 1 ,7 2 4 ,7 0 3 .3 8 Accounts Payable, Reserve for Expenses, Taxes, etc. . . . 1 0 ,4 9 0 ,4 2 7 .7 4 5 ,0 0 0 ,0 0 0 .0 0 4 2 ,9 3 5 ,3 5 1 .4 5 6 0 ,1 5 0 ,4 8 2 .5 7 Total Liabilities $ 2 ,7 3 0 ,5 7 4 ,9 6 4 .1 1 Securities carried at $118,968,756.80 in the above Statement are pledged to qualify for fiduciary powers, to secure public moneys as required by law, and for other purposes. J. LU T H E R C LE V E L A N D Chairman of the Board W IL L IA M L. K L E IT Z President DIRECTORS G EO RG E G. ALLE N Director, BritishAmerican Tobacco Company, Limited, and Chairman of the Board, Duke Power Company W IL L IA M B. BELL President, American Cyanainid Company I . V . CHARSKE Chairman, Executive Committee, Union Pacific Railroad Company J- LI' I H ER C L E V E L A N D Chairman of the Board W . PALEN C O N W A Y C H A RLES P. COOPER President, The Presbyterian Hospital in the City of New York W IN T H R O P M . C R A N E , Jr. President, Crane & Co., Inc., Dalton, Mass. ST U A R T M . C R O CK E R President, The Columbia Gas System, Inc. JOHN W . D A V IS of Davis Polk Wardwell Sunderland & Kiendl C H ARLES E. D U N L A P President, Berwind-White Coal Mining Company CANO D U N N President, I he J. G. White Engineering Corporation W A L T E R S. F R A N K L IN President, The Pennsylvania Railroad Company LE W IS G A W T R L JOHN A. H A R T ! ORD Chairman of the Board, The Great Atlantic & Pacific Tea Company CO R N E LIU S F. K E L L E Y Chairman of the Board, Anaconda Copper Mining Compan> M O RR IS W . KELLO GG Chairman of the Board, The M . W . Kellogg Comj»any W IL L IA M L. K L E IT Z W IL L IA M C. PO TTER G EORGE E. R OOSEVELT Northwestern Banker, January, 1950 Retired of Roosevelt & Son E U G E N E W . STETSO N Chairman, Executive Committee, Illinois Central Railroad Company I H OM AS J. W AT SO N Chairman of the Board, International Business Machines Corporation CHARLES E . W ILSON President, General Electric Company R O B ER T W . W O O D R U FF Chairman, Executive Committee, The Coca-Cola Company M em ber Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis President CH ARLES S. M U N SO N Chairman of the Board, Air Reduction Company, Inc. C L A R E N C E L. L A N D E N “ Largest in H istory of the C om pany” tinues to consist primarily of purchas ing from dealers’ instalment notes re ceivable acquired in the sale of auto mobiles and other consumer durable goods on the time sales financing plan, and in extending personal loans to individuals. During the year, the to tal volume of business transacted amounted to $75,716,951.07, as com pared to $70,918,386.81 for the previous year. The volume of business han dled by the company during the fiscal year represented an increase of 6.77 per cent over the volume of the pre vious year, and was the largest in the history of the company. Automobile production in 1949 has broken all previous records. It is quite likely that automobile produc tion and sales during 1950 will not equal the record of 1949, which may affect the volume of automobile time sales paper available to the company. On the other hand, it is expected that a larger percentage of new cars will be sold on the installment plan. To what extent the factor of reduced vol ume possibilities will be offset by the increased demand for time sales finan cing is quite indeterminable. Perhaps the net result will be a volume of business for our company in the 1950 fiscal year about equal to that which we have enjoyed during the past year.” American National, Chicago Nineteen hundred forty-nine was a satisfactory and active year for Amer ican National Bank and Trust Com pany of Chicago during which the bank increased its surplus and ex panded its quarters, Lawrence F. Stern, president, announced recently in his annual report to stockholders. The bank’s net earnings for the year 41 New Board Member John M. Olin, president of Olin In dustries, Inc., of East Alton, Illinois, has been elected to the board of direc tors of Bankers Trust Company, New York, it was announced by S. Sloan Colt, president. Mr. Olin, a graduate of Cornell, is gent will have his desk at the First National and will continue to visit the bank’s friends around the country. Fred B. Tedford became associated with the Union Trust Company in 1922, and came to The First National Bank of Chicago at the time of the merger of the Union Trust Company with the First National in 1929. He was an assistant vice president in the foreign banking department. American Trust, San Francisco Deposits of American Trust Com pany on December 31st totaled $937,432,332.12, as compared with $927,883,- TF 808.36 for the corresponding date in 1948. Loans and discounts totaled $374,736,073.31, as compared with $377,496,804.78 on December 31, 1948. Total re sources stood at $992,288,273.96. Net operating earnings for the year 1949, after amortization of securities and provision f o r income taxes, amounted to $4,325,910.11, as compared with $3,652,664.10 for the previous year. Dividends declared during 1949 amounted to $1,238,736.50. Capital, surplus and undivided profits at the end of 1949 amounted to $39,942,401.55 as compared with $37,760,654.58, an in crease of $2,181,746.97. r COM ST , L O U IS J O H N M . O L IN On Board of Bankers Trust, N ew York a director of the St. Louis Union Trust Company, Midwest Rubber Reclaim ing Company, Illinois Terminal Rail road Company, and is a member of the Board of Washington University. Retirements at First National Bentley G. McCloud, president of the First National Bank of. Chicago, having passed the retiring age of 65, retired as president following the an nual stockholders’ meeting on January 10th. He will continue as a director of the bank and as a member of the executive committee, so that his ex perience and knowledge will still find expression in the bank’s councils. Mr. McCloud originally went to work for The First National Bank in 1903. Irvin L. Porter entered the employ of the bank in 1901 as a clerk. He was elected manager of the bond de partment in 1919, assistant vice presi dent in 1923, vice president in 1925, and director in 1945. He will continue as a director of the bank. Thomas J. Nugent began his bank ing career in 1901 as a messenger with The First National Bank and received his early training in various depart ments of the bank. He was elected assistant vice president in 1920, and vice president in 1931. He has been a member of the banks and bankers division for nearly 20 years. While retiring from active service, Mr. Nu https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a Statement of Condition, December 31, 1949 RESOURCES Cash and due from b a n k s .....................................................$ 64,598,240.16 U. S. Government Securities 68,604,322.69 (Including those pledged $12,544,164.99) Other Bonds and S e c u r it ie s ............................................... 8,917,417.63 Federal Reserve Bank S t o c k ............................................... 300,000.00 Loans and D is co u n ts ............................................................... 83,737,675.25 Customers' Liability on Acceptances and Letters of C r e d i t ............................................................... 287,290.19 Bank B u i l d i n g .......................................................................... 1,344,511.95 Other Real E s ta te .................................................................... 1,856.46 Accrued Earnings Receivable ( n e t ) ................................ 366,944.51 Overdrafts ............................................................................... 25,084.35 Other R e s o u r c e s .................................................................... 159,143.43 $228,342,486.62 LIABILITIES Capital ..................... .............................................. - - - $ Surplus and Undivided P r o f i t s .......................................... Reserve for Taxes, Interest, e t c . ..................................... Acceptances and Letters of C r e d i t ..................................... Other L i a b i l i t i e s .................................................................... Deposits: U. S. Government, and other Public Funds ................................$ 14,662,226.98 Other Deposits ................................ 196,736,713.43 6,000,000.00 9,652,747.28 648,618.63 287,290.19 354,890.11 211,398,940.41 $228,342,486.62 Member Federal Deposit Insurance Corporation 94 Years of Banking Experience Nort hwest ern Banker, January, 1950 42 DEAR EDITOR (Continued from page 13) O P E R A T IO N ELB O W R O O M This month our St. Paul plant moves into new quarters. Just completed is a nice, one-story structure containing 43,000 square feet and, qualitatively, on a par with our Chicago and Kansas City buildings. Despite several additions constructed during twenty-seven years o f occupancy, we finally outgrew our old building and, while we leave it with reluctance, we are happy to get off each other’s shoulders and have room to stretch. Needless to say, we invite any bankers to visit us when they are in the Twin Cities . . . and especially on Saturday, February 18th, when we will have our formal opening. As a part of our building program we plan to break ground for a new small plant in Paoli, Pennsylvania, which is much needed to relieve our New York plant. Later on, perhaps in 1951, we hope to build another small unit near Boston, also needed to take some of the load off New York. W e do not look upon these projects as constituting an expansion program, but rather as a decentralizing of manu facturing operations in the interest of dependable service. During the war we learned the importance of the multiple plant setup, when on many occasions we switched orders to speed up service. As more and more banks encourage their customers to use imprinted checks, the question of fast, professional service will become paramount. We will be ready with experienced people, special ized machinery and well-built plants. Whether you send us one order, or a hundred thousand, we will continue to provide topnotch service. "Of Primary Importance" “ I was very interested in looking over your new survey entitled, ‘What Do You Want From Your Correspondent Bank?’ It certainly reveals the things of primary im portance in dealing with correspondent ac counts, which is very beneficial for all of us who are servicing this type of an account.” Titos. J. McCullough, Vice President, First St. Joseph Stock Yards Bank, St. Jo seph, Missouri "Certainly Interesting" “ This is to compliment you and the N o r t h w e s t e r n B a n k e r , upon your recent survey in the December issue entitled, ‘What Do You Want From Your Correspondent Bank V “ It certainly is very interesting and I will see that the article is called to the attention of our correspondent bank officers.” IF. M. Sherrill, Advertising . and Publicity Manager, The First National Bank, St. Louis, Missouri "Splendid Job" Deluxe M a n u f a c t u r i n g P la n t s a t : NEW CHECK PRINTERS cPnc. YORK. 8*3 CLEVELAND. C H IC A G O . KANSAS C IT Y , S T . P A U L i First in "Best Arranged" CANADA’ S OIL FIELDS The Royal Bank of Canada can answer your customers’ questions about Western Canada’s fabulous oil develop ment whether they are interested in oil financing or wish sound advice on establishing business connections in Canada. Branches of the Royal Bank have been lo cated in Turner Valley, Leduc, Devon and Red water oil fields since the earliest days. Address enquiries to E. B. Durham, Supervisor, The Royal Bank of Canada Calgary, Alberta C A N A D A ’S " O I L " B A N K 55 br anc hes in A lb e r ta , the "oi l" p r o v i n c e . O v e r 7 20 br anc hes in C a n a d a , the W e s t Indies, C e n t r a l and South A m e r i c a . New York, London and Pa ris. H e a d Office, M on treal. Assets exceed Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ I can’t refrain from telling you what an unusually fine issue the December number of the N orthwestern B anker is. In addi tion to many other good qualities, it cer tainly reflects the holiday spirit. “ You are doing a splendid job and again I congratulate you.” Joseph Same, Manager Pub lic Relations Dept., Commer cial National Bank 4 Trust Co., New York, New York THE ROYAL BANK OF CANADA $ 2 ,2 2 2 ,0 0 0 ,0 0 0 “ Your article in the December issue of the N orthwestern B anker on ‘What Do You Want From Your Correspondent Bank?’ is the best arranged article on this subject that I have seen, and I would like very much to have a dozen extra copies to dis tribute among my associates whose duties are the solicitation of correspondent bank connections.” J. C. Frost, Second Vice President, Chase National Bank, New York, New York California Bank Election of E. M. Carver to assist ant vice president and David S. Lockie to assistant secretary has been an nounced by Frank L. King, president of California Bank. Mr. Carver has been a member of the bank’s staff since 1928 and two years ago was as signed to the La Brea-Wilshire Office as manager, where he will continue as assistant vice president and manager. Mr. Lockie of the real estate loan de partment staff has been with the bank twenty years. During the war he served as captain in the Army Fi nance Division for four years. 43 lipiiter Credit and Continental Illinois At a regular meeting of the board of directors of Continental Illinois Na tional Bank and Trust Company of Chicago on December 27th, the sur plus account of the bank was increased to $100,000,000 from $90,000,000 by transferring $10,000,000 from undi vided profits. Capital stock remains at $60,000,000. W holesale Lines By E. A. THOMPSON, Executive Vice President Securities Acceptance Corporation, Omaha OST dealers require financial as sistance to carry an adequate in ventory, and to render a complete financing service we must be prepared to extend wholesale credit to dealers. If this type of financing is not thor oughly understood and handled prop erly, it will cause a lot of headaches and result in severe losses for the finance company. Even with complete knowledge you can’t escape some trou ble and losses if you do a sizable vol ume of this kind of financing. The handling of wholesale credit can be divided into four principal proce dures, which are: 1. The adoption of a sound over-all policy. 2. The selection and approval of the dealer for credit. 3. The acquisition of floor-plan re ceivables. 4. The policing of these receivables once they are on the books. Extension of wholesale credit has always been the most hazardous type of financing for the finance company. Larger amounts of money can be lost faster on wholesale than on any other type of receivable. However, if whole sale credit is properly handled by in telligent and experienced personnel, losses in this type of receivable should not be more than normal. When losses are abnormal, it is generally because the danger signs were not recognized and obeyed. There are many more dollars in volved in each unit of wholesale today than ever before in the history of our industry. We will soon be doing busi ness with a dealer body which as a whole is steadily becoming worth less and less financially—not individually but collectively. M Security Dealers Elect The annual election in District No. 8 of the National Association of Se curities Dealers, Inc., comprised by the states of Illinois, Iowa, Indiana, Michigan, Nebraska and Wisconsin, has resulted in one new governor and four new members of the district com mittee. Clarence A. Bickel, partner of Rob ert W. Baird & Company, Milwaukee, has been elected to the national board of governors. Vern S. Bell, president, Bell & Far rell, Inc., Madison, Wisconsin: Harry G. Williams, vice president, Quail & https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Company, Davenport, Iowa; Joseph E. Dempsey, president, Dempsey & Company, Chicago, Illinois, and Ed ward C. George, vice president, Harriman, Ripley & Company, Incorporated, Chicago, Illinois, are the new members of District Committee No. 8. Those retiring are: Clarence A. Bickel, Mil waukee; Michael D. D e a r t h , Des Moines; Paul L. Mullaney, Chicago, and P. A. Walters, Chicago. Chase Promotions Promotions and appointments on the official staff of the Chase National Bank, New York, were announced by Winthrop W. Aldrich, chairman of the board, as follows: Charles Cain, Jr., vice president and executive officer of the foreign depart- neui! Now available for the first tim eP A Y A B L E O N L Y AS O R I G I N A L L Y D R A V N AND W H E N P R O P E R L Y I N D O R S E D T H E N A T IO N A L A N YW H ER E. B A N K U. S. A The AUTHORIZEDSIONATURC ¿'■'‘f'j-'p P.M 9 T "ó check certifier that meets the recommendations of the ABA est rö not write in the amount of the check. It features dual locks and a tamper p roof, non-resettable numbering meter that assure positive internal control at all times! Assure SAFETY with the new Todd Protectograph Certifier! It is made by bonded employees and is sold only to bona fide bank purchas ers. It provides insurance against loss by counterfeiting of your certifying plate! Find out now about this new Todd Certifier. Just clip and mail the coupon below for full information. MAIL TODAY! Here is the most important new devel opment in check-handling equipment for banks since the invention of the Todd Protectograph checkwriter and check signer! Here is the long-awaited method of check certifying that meets every recommendation of banking authorities. Here is greater safety for banks...certification that defies rub ber stamp or machine duplication... guaranteed by insurance! This new Todd Certifier indelibly certifies with a 4-color impression that does not obliterate other writing on the check. It protects the drawee bank from liability because the bank does THE TODD COM PAN Y, Inc., R ochester 3 , N.Y. föcLL " CO M PAN Y, IN C . Please give me full Information about the new Todd Certifier, without cost or obligation to me. Bank_______________________________________________ ______ Address- ROCHESTER SALES OFFICES IN NEW YORK PRINCIPAL CITIES DISTRIBUTORS THROUGHOUT THE WORLD City- - Zone State- By Nort hwest ern Banker, J anuars , 1950 44 ment, and Thomas H. McKittrick, vice president, were appointed senior vice presidents of the bank. David Rockefeller, Einar C. Funck and Otto T. Kreuser, second vice presi dents in the foreign department, were promoted to vice presidents. Also ap pointed vice presidents were Woodruff Johnson of the commercial banking department, Edgar H. Hall of the branch administration department, and John D. Revene in charge of the bank’s Times Square branch. Named Chairman William A. McDonnell, president of the First National Bank in St. Louis, has been elected chairman of the board of directors of the St. Louis Chamber of Commerce. Mr. McDonnell had been vice chairman of the Chamber of Commerce directors, and is active in many other civic enterprises. He served as general chairman of the 1947-48 St. Louis Community Chest campaign. New Service A new service for correspondent banks has been inaugurated by City National Bank & Trust Company of Kansas City, Missouri, in the form of a mailing card issued by its foreign department giving valuable current information to those interested in for eign commerce. The card is mailed every two weeks, or oftener when the situation requires, and gives selling rates for drafts paj able in foreign currencies, buying rates for foreign currencies, quotations on pound sterling futures, quotations on bonds of the International Bank for Reconstruction and Development and other current information on for eign exchange. This service may be received by writing the foreign de partment of City National Bank. Nine New Members Join The Twenty-five Year Club of George La Monte & Son, Nutley, New Jersey, welcomed nine new members at the annual dinner for the combined Twenty-five and Twenty Year Clubs. George V. La Monte, president of the company, presented a handsome gold watch and a diamond studded membership button to each of the new members. There are now 69 members in the Twenty-five Year Club and the total membership of the two clubs numbers 127, all of whom have been in La Monte employ for twenty years or more. Ail Lighted Up The First National Bank of Chicago has just completed a project which converted a previously poorly-lighted area around its building into one with illumination comparable to that of State Street a short block away. The project involved three separate installations. The first consists of 13 double-light standards on the side walk at the curb on three sides of the building. The standards are 17 feet six inches high and each has two lamps of 1,000 watts each. The second installation is that of reproductions of the bank’s painted outdoor bulletins placed in the two display windows at Dearborn and Mon roe Streets. These displays, with the name of the bank in raised golf-leaf letters on a white background and the bank emblem and other embellish ments lighted with neon, are flood lighted by eight fluorescent lamps which reflect light from the signs for a considerable distance on the side walk. The third installation is a vertical neon sign, First National Bank. The background of the sign is 106 feet high by two feet wide, with two-color por celain running from the fourth floor to the fifteenth floor levels. Four-foot porcelain enameled letters with an average width of three feet are in stalled on the face of the vertical background. Foresight and Hindsight Business prophets tell us what is go ing to happen; business profits tell us what happened. Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 45 W hat Women Stunt hi Know A bout Hanking (Continued from page 21) pleasant acquaintanceship, but also be cause they recognize that women, to an amazing degree, form the pattern which the family finances take. They realize, too, that women are sometimes their best advertising medium. There is much truth in the oft quoted say ings: “Tel-ephone, tel-egraph, tell a woman” and “The hand that rocks the cradle rules the world” (some wag facetiously remarked: “Nowadays too few want the job of rocking the cra dle; they would rather play bridge” ). Except for other business men who have similar problems, the majority of people do not realize the tremen dous responsibility of the banker. He has the funds of thousands of people in his keeping and lack of good judg ment or rectitude on his part can pro duce disastrous results. No one is more conscious of this fact than the banker himself. And even though some may fail now and then on the social side, in personal or human rela tions, the majority of them are men of integrity and high principles. A little reflection, then, on these ideas so generally entertained by wom en, that banking is a man’s business, that money insures happiness, and that bankers are cold and impersonal, will lead to the conclusion that they are not based on fact, and it is the wise woman who becomes acquainted with her banker and turns to him for help whenever occasion demands.— The End. past (I hope) the banker was fre quently described as a man with a glassy eye and a marble heart, but even in those days that description was a caricature. If, in her approach for assistance, a woman has met a person whose manner is abrupt and whose interest seems casual, she is likely to conclude that “a banker is your best friend” statement may be good advertising but doesn’t work out in practice. Fortunately, however, that type of banker is the rare excep tion. We cannot deny that bankers have themselves to blame for much of the abuse which has descended upon their heads because too often it was taken for granted that the ele ments of banking were understood by the majority of people, and no special effort was put forth to educate the cus tomer in the fundamental principles which guide the banker in his man agement of business. They have come to see that unless such education is provided there always will be that lack of understanding. In these days, bankers, as well as men and women in any other business, are awake to the efficacy of friendly, human relations and the public rela tions officer who can find and correct the weak spots among the manage ment and the personnel of his com pany is contributing an important service. Progressive bankers appreciate their women customers, not only for their l ï ï CANADA o ffe r s y o u r c lie n ts OPPORTUNITIES UNLIM ITED. . . . . . opportunities to every United States banker who wishes to further the interests o f his clients in this vast and rapidly ex panding market. Since 1817 the Bank of Montreal has helped Canada grow . . . has grown with it. And as the first Cana dian bank with a United States office, it has a long and successful record of assisting American bankers and busi nessmen in transacting Canadian business. W e invite you-—and your clients-:— to use the facilities of our offices in New York, Chicago, or San Fran cisco, or our Foreign Department in Montreal. * * * a exporting or For up-to-date information on establishing FIELD WAREHOUSE RECEIPTS by plant in C anada, or on Canadian i m p o r t i n g , a s k th e B o f M . A s a starter, we’ll send you WILLIAM H. BANKS WAREHOUSES, INC. our PROVIDE: SAFETY for your BANK LOAN S; THIRD PARTY CONTROL of PLEDGED MERCHANDISE; Definite DESCRIPTION of CO M M ODITY stored. ALL ADEQUATELY BONDED. M any of your customers have INVENTORIES, which, when repre sented by proper WAREHOUSE RECEIPTS, afford your bank PREFERRED COLLATERAL for its bank loans. Write or telephone us today for complete details. W rite for booklet C -5 0 to any D IV IS IO N 1 0 0 -p a g e , fact-p a ck ed booklet “ Canada o f our U . S. offices, or to our F o re ig n D e p a r t m e n t in M ontreal. B a n k , of TOA MILLION CANADIANS M o n t r e a l Canada’s First flank InCanada since i 8 i y . .. In U.S. since i8jp u. s. O F F IC E S Des Moines, Iowa jr St. Louis, Mo. ie Madison, Wis. ic Angola, Indiana Grand Rapids, Mich. if Fayetteville, Ark. if San Antonio, Texas https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T o d a y .” WILLIAM H.BAMS WAREHOUSES (INC.) ‘8 0 -i^Zcte^ NEW YO R K........................64 Wall St. CHICAGO...............27 S. La Salle St. SAN FRANCISCO - 333 California St. HEAD OFFICE MONTREAL LONDON 47 Threadneedle St., E. C. 2 9 Waterloo Place, S. W. 1 2 0 9 SO. L A S A L L E ST.. C H IC A C O . ILL. Jiehl ZUaAeIumA£ 'Receipt*. B ftid y in t^ THE GAP B e tw e e n B A N K IN G and IN D U S T R Y RESO U RCES Q .V ER $2 B IL L IO N Nort hwest ern Banker, January, 1950 46 M akes a crucial point in the Treasury secu it-Year M arket Sarveif rity markets.” IN A comprehensive study entitled I “ 1950-1952—The Next Three Years in the Treasury Security Market,” Au brey G. Lanston & Company, Inc., New York City, specialists in U. S. Govern ment securities, declared that a “cru cial point in the Treasury security markets” will be reached in 1952. The study is published in two parts, Part I being the “Discussion,” and Part II containing “Charts and Tables.” Pointing out that during the years 1950-1952, $44 billion of marketable bank-eligible Treasury bonds—three- quarters of the total outstanding— will be refunded, the booklet said that “based on the Treasury’s ownership survey (as of June 30th) commercial bonds will lose through these refund ings about three-quarters of their pres ent eligible-bond portfolios” ; that un less the Treasury or the Federal Re serve System, or both, make additional ineligible bonds available, “nonbank holders who wish to acquire such bonds will be unable to do so” ; and that “with the year 1952, we will reach the high point in these refundings and M General conclusions drawn by the firm, on the basis of its appraisal of bj Securities èP ìeben lèn gt RESOURCES Cash and Due from Banks............................................................................. $ 5 1 ,4 3 6 .6 7 2 . Bonds (Carried at less than Market Value) : U. S. Government and TJ. S. Government Guaranteed Bonds ..................................... S 3 4 ,3 6 2 ,4 1 7 .0 8 Federal Land Bank, State and Municipal Bonds ............................................................. 1 2 ,6 6 1 ,1 9 7 .3 7 High Rated Corporation Bonds..................... 4 9 7 ,0 2 8 .0 7 4 7 ,5 2 0 ,6 4 2 .; Federal Reserve Bank Stock . 150,000 .i Loans and Discounts. 5 2 ,7 8 8 ,0 5 1 . New City Bank Building. 1,647,121.1 Other Real Estate............. .................. ........... Furniture and Fixtures (Cost over .$200,000) Customers’ Liability Account of Letters of Credit. 2 0 9 ,1 8 6 . Customers’ Liability on Acceptances Outstanding. 1 1 6 ,8 2 0 . Accrued Interest Receivable. 3 2 0 ,8 3 4 . Overdrafts ................................... 6 ,2 1 3 . Total Resources .....................................................................................$ 1 5 4 ,1 9 5 , ¡44. 1.1 1.1 L IA B IL IT IE S Capital Stock (Paid In) . . . .$ 4 0 0 ,0 0 0 .0 0 Capital Stock (Earned) . 1 ,6 0 0 ,0 0 0 ,0 0 0 ,0 0 $ 2 ,0 0 0 ,0 0 0 .0 0 Surplus (Earned) ...........7 7 7 ............................ . 3 ,0 0 0 ,0 0 0 .0 0 Undivided Profits (Earned)..................................... 3 ,1 7 0 ,5 9 1 .7 5 Invested Capital ,1 7 0 ,5 9 1 . ............. Valuation Reserves 4 3 1 ,3 9 4 . Reserve for Interest and Taxes. 2 8 2 ,8 6 6 . Unearned Interest 4 0 4 ,5 5 7 . Our Liability Account of Letters of Credit Issued 2 0 9 ,1 8 6 . Our Liability on Acceptances............................................................. ¿.¿.v 1 1 6 ,8a 2* 0„ . Deposits ............................................................................................................. 1 4 4 ,5 8 0 4 2 8 Total Liabilities .....................................................................................$ 1 5 4 ,1 9 5 ,5 4 4 The above statement is correct. R. C. K EM PER, President. DIRECTORS R. V. AYCOCK P r e s i d e n t , G r a n d A v e . B a n k o f K a n s a s C it y P r e s id e n t, V a u g h n In v e s t m e n t C o m p a n y PAU L D . B A R T LE TT P r e s i d e n t , H a r t - B a r t l e t t - S t u r t e v a n t G r a in C o . EDGAR L. BERKLEY P r e s id e n t , W a x id e P a p e r C o m p a n y E. K E M PE R C A R T E R C h a ir m a n o f B o a r d , T h e C a r t e r - W a t e r s C o rp o r a tio n R. B . C A Y W O O D P r e s id e n t, H . D . L e e C o m p a n y , In c. A R TH U R B . CHURCH P r e s . & G e n . M g r . M id la n d B r o a d c a s t in g C o. W IL L IA M N . D E R A M U S P r e s id e n t , T h e K a n s a s C it y S o u th e r n R a il w ay C om pany H EN RY N . ESS W a t s o n , E s s , W h i t t a k e r , M a r s h a ll & E n g g a s , A ttorn ey s ALDEN L. H ART P r e s id e n t , U n ite d U t i lit ie s , I n c o r p o r a t e d J. F R A N K H U D S O N P r e s id e n t , I n t e r s t a t e S e c u r it ie s C o ., I n c . L E S T E R H U T C H IN G S C h a ir m a n o f B o a r d , W e s t e r n A u t o S u p p l y C om pany M O R T O N T . JO N E S P r e s i d e n t , K a n s a s C i t y F i r e a n d M a r in e Insu ran ce C om pan y RU FU S CRO SBY K EM PER P r e s id e n t GEORGE C. K O PP E x e c u t iv e V ic e -P r e s id e n t W . M . L IS T P r e s id e n t, L is t C o n s tr u c tio n C o m p a n y H ARRY M ORELAND P r e s id e n t , G r e a t L a k e s P ip e L in e C o m p a n y E. C. R H O D E N P r e s id e n t , F o x M id w e s t T h e a tr e s , I n c . H ERM AN R . SU TH ERLAN D M a n a g in g 1 P a r tn e r , S u th e r la n d L u m b e r C o . S u th e r la n d M a n u fa c t u r in g C o m p a n y J . P . W H IT A K E R P r e s id e n t , W h ita k e r C a b le C o r p o r a tio n H E R B E R T H . W IL S O N P r e s id e n t , E m e r y , B ir d , T h a y e r C o m p a n y KEARNEY W ORNALL V ic e -P r e s id e n t CITY NATIONAL 1913 M E M B E R F EDERAL DEPOSIT insurance corporation survey /Condensed Statement of Condition City National’ s ESTABLISHED A U B R E Y G. L A N S T O N firm head releases 3-year I 0 TH AND GRAND • KANSAS C 1 1 T 10 . m the picture as it may develop during the next three years; are: “a. Between now and 1952, the is sues selected by the Treasury for re funding purposes may be limited to a term of five years or less at yields that will fail to replace the income received from maturing bonds. This means higher bond prices in general, “b. Barring a demand for capital and credit that would be consistent only with a substantial and protracted business boom, the amount of funds seeking investment in government se curities of more than five-year term will be greater than the amount of such securities available. This also means higher bond prices in general. “c. If, for any unexpected reason, Treasury security prices were to un dergo any material price decline, offi cial support would be rendered Treas ury bonds to whatever extent was needed, although not necessarily with in the same pattern as the support of 1947-1948. “d. The passage of time has so short ened the term of outstanding Treasury bonds that the longer maturities may reach a new low level in yield; (1) the longest-term ineligible obligations currently offer the best protection against both a strong and a weak mar ket, and (2) the longest-term bank-eli gible issues offer the best protection of income for a stable to a strong market.” O New York Trust Promotions t ' o n Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Following a meeting of the board of trustees of The New York Trust Com pany, Charles J. Stewart, president, announced the following promotions: 47 In the banking division Edward S. Peterson, treasurer, was promoted to vice president and treasurer; Edward L. Palmer, assistant treasurer, was promoted to assistant vice president, and Harry H. Bock, manager of the credit and investment research de partment, was appointed assistant treasurer. In the investment division Charles B. Eddy, Jr., assistant secre tary, was promoted to assistant vice president. On th e C o ver Dividend The board of directors of the City National Bank and Trust Company of Chicago at a recent monthly meeting declared a regular quarterly dividend of $1.50 per share of stock, payable on February 1, 1950, to stockholders of record on January 20, 1950. THE OUTLOOK FOR BUSINESS IS GOOD (Continued from page 19) in the theory of a persistent bias to ward inflation, I do not think that the day of depression is over. I believe that after the deferred demand for dur able goods disappears, and the cold war subsides, we may face a serious depres sion that even our new found knowl edge and our new attitudes will not be sufficient to cope with. But I do not expect to see a 1933 again in my lifetime. “The boom is likely to continue for at least another six months or a year. However, the private sector of the economy is getting progressively weak er. The actual course of business will depend on the developments in the cold war.”—The End. The young lady on the January cov er of the N orthwestern B anker is “Miss America of 1950,” and she does not have her “ tongue in her cheek” as she enters the new year. No in deed—but she is “sticking out her tongue” at the rest of the world and suppressing a slight smile as she gazes into the great new universe which she has not yet explored. What the year 1950, which marks the middle of the twentieth century, will unfold before her sparkling eyes is as much a mystery to her, as to all of us. “ They are idols of hearts and of house holds; They are angels of God in disguise: His sunlight still sleeps in their tresses, His Glory still gleams in their eyes: Those truants from home and from Heaven They have made me more manly and mild; And I know now how Jesus could liken The kingdom of God to a child.” In 1949 there were 3,590,000 young Americans born in the United States and in 20 years to 25 years the re sponsibilities of our nation will rest upon their shoulders, and we wish for them all the best of good luck. But to “Miss America of 1950” we give our special love and devotion, be cause she is our Current Queen, and we bow humbly at her throne as we tear off the months of the calendar, one by one, on our last year in the first half of the most momentous cen tury of all recorded time. THE DROVERS“ YELLOWBOY ADVICE IS W ELL KNOWN TO BANKERS WHOSE CUS TOMERS SHIP LIVESTOCK TO CHICAGO. IT IS THE SYMBOL OF FAST, FRIENDLY SERVICE IN COLLECTING LIVESTOCK DROVERS RATIONAL BANN DROVERS TRUST & SAVINGS BANN And who is our Queen—our Miss America on the cover? She is Frances T)e Puy Peterson, daughter of Mr. and Mrs. Talbot Peterson of Appleton. Wisconsin, and the granddaughter of Mr. and Mrs. Ray E. Peterson, of Ap pleton, and Mr. and Mrs. Clifford De Pny, of Des Moines. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, January, 1950 i f tr a n s it W h a t hapï>eiaS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Come loss . . . dispute . . . carelessness or items are mistake, it’ s reassuring to know that you have Recordak microfilm copies of all items Recordak.) produced free of charge by handled by your bank. In this m anner, Recordak microfilming provides unparalleled protection— protec It’ s reassuring— because these records are photographically accurate and complete . . . are on compact rolls of microfilm which can’t be altered without detection. tion that’ s a by-word in thousands of banks . . . that cuts time and dollar losses . . . often nips fraudulent activities in the bud— within banks, and depositor-organizations, as well. Thus, all the information you need to put two and two together quickly is at your finger tips— ready to be reviewed in the Recordak Film Reader, which enlarges every item to convenient reading size; ready to be reproduced as large-size facsimile prints, if you wish. (Facsimile prints of lost transit Learn in detail how Recordak micro filming protects your bank while cutting https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis operating costs in transit and bookkeeping. Write today for a copy of "I n bank after bank after bank.” It’s free. Recordak Cor poration (Subsidiary o f Eastman Kodak Com pany), 350 Madison Ave., New York 17, N . Y . (Subsidiary of Eastman Kodak Company) originator of modern microfilming — and its application to banking systems " Recordak ” is a trade-mark 50 New Issues iQ Q 4 P u rc h a s e d a n d O ffe re d by H a lse y , S tu a r t & C o. I n c . a lo n e o r w ith a sso c iate s* Amount Issue of Amount of Underwriting Issue Corporate Interest $ 8.300,000 ARKANSAS POWER 8c LIGHT COMPANY 334% Sinking Fund Debentures, Due 1974 . . . . $ 4,450,000 9.000. 000 ASSOCIATED TELEPHONE COMPANY, LTD. First Mtge. Bonds, Series F, Due 1979, 27/s% . . . 5.450.000 10,665,000 ATLANTIC COAST LINE RAILROAD EQUIPMENT TRUST SERIES J, 214% Equip. Trust Ctfs., Due 1950-64 ..................................................... 3.315.000 7.000. 000 THE CALIFORNIA OREGON POWER COMPANY First Mtge. Bonds, Series due 1979, 2/g%................. 4.750.000 10.000. 000 CENTRAL ILLINOIS PUBLIC SERVICE COM PANY, First Mtge. Bonds, Series C, 314%, Due 1979 . 4,000,000 9.140.000 CHESAPEAKE AND OHIO RAILWAY EQUIP MENT TRUSTS OF 1949 (2 issues) 214% Equip. Trust Ctfs., Due 1950-64 ....................................... 3.790.000 6.600.000 CHICAGO AND NORTH WESTERN RAILWAY COMPANY SECOND EQUIPMENT TRUST of 1949, 2%% Equip. Trust Ctfs.,’ Due 1950-64 . . . . 3.600.000 13.000. 000 THE COLUMBIA GAS SYSTEM, INC. 3% Debentures, Due August 1974 .......................... 5.850.000 6.930.000 DELAWARE, LACKAWANNA AND WESTERN RAILROAD COMPANY EQUIPMENT TRUSTS, Series H & I, 214% Equip. Trust Ctfs., Due 1949-64 . . 4.230.000 40.000. 000 DUKE POWER COMPANY First & Refg. Mtge. Bonds, 2/g%, Series Due 1979 . . 9.500.000 12.000. 000 EASTERN GAS AND FUEL ASSOCIATES First Mtge. & Col. Trust Bonds, 3%% Series Due 1974 2.100.000 11.920.000 ILLINOIS CENTRAL EQUIPMENT TRUSTS SERIES BB 8c DD 214% Equip. Trust Ctfs., Due 1949-59 5.520.000 8,000,000 INDIANAPOLIS POWER 8c LIGHT COMPANY First Mtge. Bonds, 3% Series, Due 1974 .................. 3.250.000 7.500.000 IOWA POWER AND LIGHT COMPANY First Mtge. Bonds, 234%, Series due 1979 .................. 5.450.000 41.000. 000 LOUISVILLE GAS AND ELECTRIC COMPANY First Mtge. Bonds, Series due 1979, 234% ; . . . . 14.050.000 7.500.000 MISSISSIPPI POWER 8C LIGHT COMPANY First Mtge. Bonds, 314%, Series due 1979 ................. 5.800.000 35.000. 000 NEW ENGLAND TELEPHONE AND TELE GRAPH COMPANY, 25 Year 3% Debs., Due 1974 . 14.650.000 32.145.000 NEW YORK CENTRAL RAILROAD EQUIPMENT TRUSTS of 1949 (3 issues) 254 & 234% Equip. Trust Ctfs., Due 1950-64 ................................... .... 11.145.000 10.425.000 NORTHERN PACIFIC RAILWAY EQUIPMENT TRUSTS of 1949 (2 issues) 214 & 234% Equip. Trust Ctfs., Due 1950-64 ...................... .......................... 5.325.000 10.000. 000 NORTHERN STATES POWER COMPANY (WIS.) First Mtge. Bonds, 3% Series due 1979 ...................... 3.550.000 10.000. 000 OKLAHOMA GAS AND ELECTRIC COMPANY First Mtge. Bonds, Series due 1979, 3 % .................. 2.500.000 80.000. 000 PACIFIC GAS AND ELECTRIC COMPANY First & Refg. Mtge. Bonds, Series S, 3% due 1983 . . 21.250.000 11.000. 000 PENNSYLVANIA ELECTRIC COMPANY First Mtge. Bonds, 234% Series Due 1979 . . . . 2.750.000 9.990.000 PENNSYLVANIA RAILROAD EQUIPMENT TRUST, SERIES W 214% Equip. Trust Ctfs., Due 1949-63 ........................................................ .... 3.990.000 10.000. 000 POTOMAC ELECTRIC POWER COMPANY First Mtge. Bonds, 2/&% Series due 1984 .................. 5.350.000 7.500.000 ROCKLAND LIGHT AND POWER COMPANY First Mtge. 314% Bonds, Series C due 1978 . . . . 5,000,000 7.500.000 SOUTHERN RAILWAY EQUIPMENT TRUST, SERIES RR, 214% Equip. Trust Ctfs., Due 1949-64 . . 2.550.000 28,260,000 SOUTHERN PACIFIC COMPANY EQUIPMENT TRUSTS, SERIES BB 8c CC, (2 issues) 214% & 2y8% Equip. Trust Ctfs., Due 1950-64 ............................... 6.960.000 12.000. 000 WESTCHESTER LIGHTING COMPANY Genl. Mtge. Bonds, 3% Series due 1979 .................. 5.650.000 10.000. 000 WEST PENN POWER COMPANY First Mtge. Bonds, Series N, 234%, Due 1979 . . . 7.900.000 6.870.000 WHEELING AND LAKE ERIE RAILWAY COM PANY, Genl. & Refg. Mtge. 234% Bonds, Due 1974 4.870.000 Municipal $13,760,000 ALLEGHENY COUNTY, PA. 2 Sc2l/s%Bonds, Due 1950-79 (2 issues) 25.000. 000 BOSTON, MASS., CITY OF ,, Various rates Notes, Due 1949 (5 issues) 11,250,000 Var. rates Bonds, Due 1950-79 & 1994 (2 issues) 130.000. 000 CALIFORNIA, STATE OF 21/4% Veterans Bonds, Due 1951-70 1.750.000 CHATTANOOGA, TENN., CITY OF 21/4, 21/2 & 4% Bonds, Due 1950-74 6.480.000 CONNECTICUT, STATE OF iy8% Bonds, Due 1950-79 6.420.000 DADE COUNTY, FLA. Various rates Bonds, Due 1950-69 10.000. 000 DENVER, COLO., CITY &COUNTY OF Various rates Bonds, Due 1954-78 t 5,000,000 DETROIT, MICH., CITY OF Various rates Bonds, Due 1950-78 f 8,000,000 east b a t o n rouge parish CON. SCH. DIST. No. 1, LA. 21/2% Bonds, Due 1950-68 2.000. 000 HEMPSTEAD, N. Y„ TOWN OF 2.60% Bonds, Due 1950-89 f 9,196,000 HOUSTON IND. SCH. DIST., TEX. 214, 2% & 3% Bonds, Due 1955-78 8.750.000 IOWA, STATE OF }/4%Service Comp. Bonds, Due 1949-53 1.500.000 LANE CO., ORE. SCH. DIST. No. 4 (Eueene) 214 & 2% Bonds, Due 1949-68 450.000. 000 LOUISIANA, STATE OF a i c i nnn Var- rates’ Veterans' Bonds, Due 1953-64 3.251.000 5 Sc 2.30% Bonds, Due 1952-68 1.500.000 MIDDLETOWN, O., CITY OF 2 & 214% Water Rev. Bonds, Due 1950-79 3.415.000 MILFORD, CONN., TOWN OF 1.70% Bonds, Due 1950-69 5.000. 000 MISSISSIPPI, STATE OF Highway Bonds, Var. rates, Due 1958-71 5.000. 000 NASHVILLE, TENN., CITY OF 4 & U/2% Elec. Rev. Bonds, Due 1952-59 1.645.000 NEW h a v e n , c o n n ., c it y of 1.40% Bonds, Due 1951-69 4.000. 000 NEW ORLEANS, LA., CITY OF 2/2 & 214% Bonds, Due 1951-89 2.060.000 NIAGARA FALLS, N. Y., SCHOOL DISTRICT 1.60% Bonds, Due 1950-69 27.000. 000 NORTH DAKOTA, STATE OF 1.40% Veterans’ Bonds, Due 1950-58 3.000. 000 OKLAHOMA CITY, OKLA. BOARD OF EDUCATION 4, 114 & 2% Bonds, Due 1952-74 3.000. 000 OREGON, STATE OF 114% Veterans’ Welfare Bonds, Due 1962 30.000. 000 PENNSYLVANIA, GENERAL STATE AUTHORITY Var. rates Bonds, Due 1952-74 15.000. 000 PENNSYLVANIA, STATE HIGHWAY Sc BRIDGE AUTHORITY 1 & 11/4% Bonds, Due 1953-61 5.000. 000 PHILADELPHIA, PA., SCHOOL DISTRICT 2% Bonds, Due 1951-74 6.600.000 PITTSBURGH, PA., CITY OF 1.80% Bonds, Due 1950-69 30.000. 000 P<?RT OF NEW YORK AUTHORITY Air Terminal Bonds, 2 Due 1979 2.450.000 PROVIDENCE, R. I., CITY OF 2% Bonds,- Due 1952-73 2.678.000 ROANOKE, VA„ CITY OF 114 & 2% Bonds, Due 1950-79 415,000,000 the SANITARY DISTRICT OF CHICAGO , „ 2'/2% Const. Bonds, Series 13, Due 1969 6.525.000 134% Tax Anticipation Warrants 9,000,000 SEATTLE, WASH., CITY OF 2!4% Mpl. Lt. & Pr. Bonds, Due 1954-74 5,000,000 SOUTH CAROLINA, STATE OF 1.90% Hwy. Ctfs. of Indebt., Due 1951-59 42,935,000 ADDITIONAL MUNICIPAL BONDS, VARIOUS ISSUES D e s c r i p t i v e c ir c u l a r s o r p r o s p e c t u s e s a n d c u r r e n t q u o t a t i o n s w i l l b e s u p p lie d fo r a n y o f t h e s e s e c u r itie s u p o n r e q u e s t . * To Dec. 12, 1949 t Issues beaded jointly by Halsey, Stuart & Co. Inc. and others All other issues were headed, or purchased and offered alone, by Halsey, Stuart & Co. Inc. 53.595.000 ADDITIONAL RAILROAD BONDS AND EQUIP Send For Year-End Bond Survey A concise yet comprehensive survey of activities and influences operating in the bond market as a whole— and in each major classification. Request your copy to day, without obligation. Write for leaflet NB-9. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 44.400.000 MENT TRUST CERTIFICATES, VARIOUS ISSUES a d d i t i o n a l p u b l ic u t i l i t y b o n d s , v a r i o u s ISSUES HALSEY, 123 S. LA S A L L E STU ART STREET, AND C H I C A G O O TH ER 90 • 35 PR IN C IP A L &, C O . WAL L STREET, C I T IE S 32.185.000 42.150.000 I NC. N EW YORK 5 51 INVESTMENTS Tin» in vestm en t Onttool* for lit •111 There Is a Delicate Balance Between Inflation and Deflation, But Aspects Point to Continued High Levels of Activity. By RAYMOND TRIGGER Investment Analyst New York City T HE government bond market, which sets the tone for all quality investments and, to a large extent, at least through the “bank quality” grades of corporates, the price level, is not a particularly glamorous affair any more. After World War I, prices of governments ranged, upon occasion, pretty widely; some dipped to around 15 points under par. World War II, though, brought about a much more rigid control. For what it is worth, the more recent war was financed at a lower rate, but that consideration means little because the aggregate borrowing was so much larger. The present market is so tightly controlled that qualified observers and advisors have no hesitancy in forecast ing, within an eighth or quarter point, the price level of governments before trading actually starts. For that mat ter, they have undertaken to say at what price a particular issue will sell a year hence. Their services would not be retained, and paid for if their record was notoriously poor. Indeed, the reverse is the case. They are re markably good. But, it isn’t all due to their inherent abilities. They are helped significantly by the reiterated aims of the “Washington authorities.” Those aims are almost always achieved under present day conditions. This is a discussion of factors affecting your investment port folio. If you have any questions, or 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. against itself. Not all the governors endorse everything Allan Sproul and Marriner Eccles say, although Mr. Eccles was for more than a decade chair man of the Federal Reserve Board and Mr. Sproul is president of the Federal Reserve Bank of New York. December was enlivened, briefly, by a skirmish between the Reserve and the Treasury. The Reserve tightened short term rates a little one day, but the Treasury jumped the gun with its “premature” or, as some contend, “well-timed” announcement of its re funding plans. They included oneyear certificates on a lVs per cent ba sis, or to yield only a trifle more than the rate to which 91-day bills had been pushed by the Reserve. The latter, of course, retreated since it feels morally Two Purposes Consequently, it is always profitable bound to do nothing likely to jeop to look into what appears to be the ardize any Treasury financing or re purposes of the authorities. The first funding operation. The Treasury, for good or evil, has glance reveals that there are two and the whip hand. It is apparent that its that they are sometimes in conflict. The Treasury, responsible for a huge top men feel that business is likely to continue moving along at about the and unwieldy debt, is determined to proper pace for some months, at least, finance it at low interest rates. The to come. Consequently, the Treasury Federal Reserve, emasculated of some has no objection to plenty of cheap of its powers during the war, would like to have more of a say. The money being available for borrowers Treasury, thus far at any rate, has who may wish to buy a home, or an had all the better of it. For one automobile, or d u r a b l e household thing, the Treasury, whatever its poli equipment and the like. Still, the Treasury made some con cies may be, is run by one man; the cession to those who contend that the Reserve is often a house divided https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis debt is badly out of balance and should not be constantly refunded into short term, low-interest obligations, when it offered a 4M-year note carrying 1% per cent. Of itself, that is not much, but some bankers see a change of heart taking place under the constant bar rage of some Reserve officials and a good number of the country’s top com mercial bankers. From this premise the argument runs along to suggest that the Treasury might move over a little toward the position of the Re serve if business gets a little better in early 1950 months and, more particu larly, if credits extended to consumers continue to rise at a fairly rapid pace. Outlook for 1950 What, then, is the outlook for busi ness in 1950? It is important because it will be a major factor in determin ing Treasury policies and it is Treas ury policies which set the prices for government bonds. The national economy was recently reviewed by one of the most respected members of the Federal Reserve Board, M. S. Szymczak. He was talk ing to credit men gathered together in the midwest. His summary: “The present balance is a delicate one, which could easily be upset by expansion of government expenditures and deficit financing on the one hand, or by any pronounced curtailment of consumer or business demand on the other.’ The problem, of course, is to try to foresee which way this delicately bal anced economy will swing. Mr. Szym czak offered a list of factors favoring inflation and another making for de flation. They are well worth the at tention of the commercial banker. As pects pointing to continued high levels of activity: A record level of construction activ ity, which government experts think will remain high in 1950. Consumer spending for goods and services, running only 2 per cent beNort hwest ern Banker. January. 1950 52 Investments low the record high set in the first quarter of 1948. Continued large-scale demand for autos, houses and durable goods. National Service Life Insurance re funds of $2.8 billion to be paid in 1950. Continued high federal spending which will bolster consumer income. Deflationary Side On the deflationary side, Mr. Szymczak offered: Many postwar demands for goods and services have been satisfied. Business spending for new plant and equipment is declining. Wholesale prices continue to drop. While industrial production h a s picked up since July, 1949, it is still about 12 per cent under year earlier levels. Bumper crops foreshadow continued pressure on farm prices and incomes. More liberal pension programs and postwar wage increases have saddled many business concerns with relative ly large and inflexible cost structures which may seriously impede price re ductions that might be needed if de mand should start to fall off. There is another constructive fac tor, also mentioned by Mr. Szymczak, that is of great, though intangible im portance. It is the remarkable ab sence of speculative excess. The over all financial position of business is sound, happily. Member Federal Home Loan Bank System Dece m her H O M E 3 1. 1949 F E D E R A L S AV I N G S A N D L O A N A S S O C I A T I O N of Des Moines ASSETS DIRECTORS C. B. Fletcher C h a ir m a n o f th e B o a r d Arthur S. Kirk Cash, Investm ents and Securities Cash on H and and in B a n k s ..? 618,158.60 U. S. B o n d s........................................ 1,292,847.21 Federal H om e Loan Bank Notes .............................................. 55,000.00 $ 1,966,005.81 P r e sid e n t Dr. Lawrence E . K elley V ic e P r e sid e n t Jonathan M. Fletcher E x e c u tiv e V ic e P r e sid e n t John R. Buckley, Jr. V ic e H om e Federal Building and Equipm ent. Other A ssets ........................................................ C ou n sel Joseph N . Chamberlain R ea l E sta te P r e sid e n t E m e r itu s , S im p s o n C o lle g e R osw ell Garst T h om a s H y b r id C orn C o. Dr. M arvin J. Houghton D e n tist J. Io w a T. 249,372.34 15,080.72 $15,156,869.24 & In su ra n ce L I A B I L I T I E S Dr. John L. H illm an & 12,726,410.37 P r e sid e n t H arold J. H ow e G a rst 200,000.00 Federal Hom e Loan Bank S to c k .......................... Loans Conventional Loans ....................$4,905,187.29 G. I. L o a n s.......................................... 5,072,962.20 F. H. A . L o a n s ................................. 2,490,367.54 F. H. A . Im provem ent L o a n s .. 156,786.78 Loans on Savings A c c o u n t s ... 101,106.56 Schilling P ow er & L ig h t C o. Savings Accounts ............................................................ $12,983,575.05 Earnings Payable January 1, 1950. 149,760.51 Advances from Federal H om e Loan B ank. . . . 750,000.00 Loans in Process .......................................................... 508,816.95 Other L iab ilities ............................................................ 37,651.47 Specific Reserves .......................................................... 1,538.32 Reserves Reserve for C ontingen cies.......... $250,000.00 Federal Insurance R eserve......... 425,526.94 U nallocated Reserve ....................... 50,000.00 725,526.94 $15,156,869.24 G R O W T H OF T H E HO M E F ED ERAL Organized under State Charter— M a y 6, 1936 Issued Certificate for Federal Insurance of Accounts— September 21, 1936 Converted to Federal Charter.— April 2S. 1939 Decem ber D ecem ber Decem ber Decem ber Decem ber D ecem ber D ecem ber 3L 31, 31, 31, 31, 31, 31, ASSETS 1936..........................$ 22,781.88 Decem ber 31, 219.879.90 Decem ber 31, 1937........................ 1938........... 473,286.99 Decem ber 31, 1939........................ 908,953.20 Decem ber 31, 1940........................ 1,519,623.15 D ecem ber 31, 1941......................... $2,007,458.08 D ecem ber 31, 1942......................... 2,382,920.45 D ecem ber 31, Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 1943 1944 1945 1946 1947 1948 1949 ........... 3.385,610.88 ........... 5,610,071.53 ........... 6,722,411.21 ........... 8,919,749.94 .............10.863,435.23 .............12,249,660.02 .............15,156,869.24 Reverting to government bonds and, of course, investment securities re sponsive to the price of governments, the upshot of the foregoing would seem to be that the course of business in the first half of 1950 will be such as not to call for any drastic revision of recent Treasury policies, but that more concern will be shown on pre venting excessive rises by government than on preventing modest declines. Supporting this view is the fact that the whole bond market gives more the appearance of topping off than of pre paring to ascend to new, sustained high levels. The tax-exempt sector is viewed in differing lights. One observer will point out that dealer inventories are too high and that the early 1950 mar ket will be affected adversely by Fed eral Reserve selling of Treasurys. An other will contend that the need for tax shelter is not likely to be lessened by any significant lightening of income taxes in view of the prospective Fed eral deficit and that reinvestment de mand in the early weeks of the year will solve any problems that may actu ally exist with respect to dealer inven tories. The optimists would appear to have the stronger position. Only recently, in connection with a major borrowing by New York City Housing Authority (guaranteed by New York City), the following comment was published: “Early maturities probably will be taken by banks and others who have been buying one to 12 year bonds. The rating would justify even small banks in making such purchases and yet the yield probably will be such as seldom goes with an A rating. The long end should attract fire and cas ualty companies and the stock life insurance companies.” As a matter of record, this forecast was realized when the bonds were publicly offered. Housing Issues Presently, or at least some time in the first half of 1950, the new Housings, issued by local authorities under the terms of the Housing Act, 1949, will be coming to market. Income from these bonds will be exempt from Federal taxation and certain other taxes and they—as indirectly guaranteed, or at least supported by the Federal govern ment—will be classified as “riskless” by the omniscient examiners from the office of the Controller of the Currency. The ultimate volume of these obliga tions will be huge and it may be that their prices will reflect the expectation of this, despite all their virtues. Smaller, but still not an inconsider able issue, will be on the market from the World Bank in the first 1950 quar ter. These are to be refunders, matur ing in three to 12 years and, presum- 53 Investments ably, tailor-made for bank consump tion. There are of coursq, several opinions of the activities of the bank and the quality of its bonds, but the problem really boils down to the size of its debt. It has only $250,000,000 outstanding in U. S. currency and the impending operation is a refunding, not new borrowing. Against this rela tively modest debt, there is an obliga tion of the U. S. to produce up to $2.5 billion to care for the bank’s obliga tions. Thus, unless and until the bank expands vastly more, its bonds should hold investor-respect. "Tax Selling" A feature of every December is the flood of counsel on taxation and, fre quently, security markets do reflect “tax selling,” or, as often, “tax switch ing.” There are a variety of angles in the picture created by the perfectly legitimate ways in which taxes can be held to the minimum. Ordinarily, for example, “tax sell ing” implies sales made late in Decem ber, or even for “cash” on the last day of the year. In passing, the New York Stock Exchange closed the Saturday before Christmas, but remained open the Saturday before New Year’s in or der to provide a market place for laggardly loss takers. But “tax selling” need not be re stricted to establishing losses in a given calendar year. Establishing profits is sometimes profitable, too. A great many investors, including the professional managers of commercial bank investment portfolios, shy away from taking profits because a 25 per cent long-term capital gains tax is in volved. In addition, it will be pointed out, the investment sold cannot be re placed with one of comparable quality to yield as much as the original hold ing. This is true, as far as it goes, be cause the opportunity to take a profit implies that the price has risen and, correspondingly, the yield has fallen and that yields from comparable in vestments likewise will be lower. This, however, is not the complete story. When a capital gain is taken, the profit can be considered an “antici pated” income. This income will, roughly, offset the lower actual income realized from the reinvestment of the funds. Income for income, then, there is no loss or profit. The benefit arises from the fact that the “anticipated” income is taxable at only 25 per cent, whereas actual income, had it not been “anticipated,” would be subject to a tax of 38 per cent in most cases and of 53 per cent on incomes between $25,000 and $50,000 a year. The argument just presented relates only to fully taxable incomes. It would not apply to par tially exempt governments or fully ex empt municipals. The benefit from realizing capital losses is that they may be applied against profits generally. That is well understood and a well-established cus- SHORT TERM PAPER W e offer, subject to prior sale and usual option, the six-months notes o f the following makers in denom i nations o f $ 5 ,0 0 0 and multiples thereof. Acceptance Corp. of Florida O r la n d o WHEEL0 CK & CUMMINS, INC. Bankers Investment Company H u tc h in so n Commercial Securities Co., Inc. IOW A AND GENERAL MARKET MUNICIPALS PUBLIC UTILITY, INDUSTRIAL, AND RAILROAD SECURITIES IOW A CORPORATE SECURITIES B a to n R o u g e Doty Discount Corporation D e tr o it Gale & Company S t. UNDERWRITERS DISTRIBUTORS L o u is Interstate Finance Corporation E v a n s v ille Members Midwest Stock Exchange 200 Equitable Bldg. DES MOINES 9, IOWA 135 South LaSalle St. CHICAGO, ILLINOIS Liberty Loan Corporation C h ic a g o Manufacturers' & Jobbers Finance Corp. S h elb y, N . C . Merchants Loan & Finance Com pany S t. L o u is Major Trend Predicted by Northwestern Acceptance Co. M ilw a u k ee (YIawA.commentary fortnightly O’Dea Finance Company D e s M o in e s Pekin Finance Company Last June 4— just before common stocks established a bottom for the 1946-49 bear market— Dayton & Gernon went on record to say ‘'a major reversal of trend is about to take place.” A 25 point advance in the Dow Jones industrial average since June 13. accompanied by recent demonstrations of exceptional market strength, indicates that a new bull market has already commenced. SEND FOR THIS FREE SERVICE TODAY P e k in , Illin o is Itiver Valley Finance Co. D avenport Southwestern Investment Co. A m a rillo Thorp Finance Corporation T horp, W is. LTniversal Finance Corporation O m aha COMMERCIAL PAPER COLLATERAL LOANS DAYTON M e m b e rs M id w e s t & G ERN O N S to c k E x c h a n g e a n d C h ic a g o B o a r d o f T r a d e 105 SOUTH LA SALLE STREET, CHICAGO 3. ILLINOIS Phone: Central ¿>0780 MADISON, WIS. • LA CROSSE, WIS. * EAU CLAIRE, WIS. FOND DU LAC, WIS. • MINNEAPOLIS, MINN. # WAUSAU, WIS. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis R .C . L O N G & C O . ESTA B LISH ED 1924 120 South LaSalle Street Chicago 3, Illinois Phone: Randolph 6 -4 3 7 0 Northwestern Banker, January, 19 50 54 Investm ents SECURITIES ACCEPTANCE C0RP0IIATI0N AND SUBSIDIARIES O M A H A C o n s o lid a te d B a la n c e S h e e t — S e p t e m b e r 3 0 , 1 9 4 9 A S S E T S C A S H IN B A N K S A N D ON H A N D ................................................. .$ 4,016,209.24 N OT ES R E C E IV A B L E : Autom otive and other lien instalm ent notes (approxi m ately 16 per cent of instalm ents mature later than one year) .............................................................................................$19,491,128.21 Dealers’ floor-plan lien notes.......................................................... 3,688,015.16 Personal instalm ent loans on automobiles, household goods, etc. (approxim ately 8 per cent of instalments mature later than one y e a r )................................................... .. 2,279,184.84 Other notes receivable, $153,675.04 secured by miscel laneous collateral (approxim ately 59 per cent mature later than one y e a r ) ........................................................................ 353,675.04 Greatest Benefit 25,812,003.25 R E P O S SE S SE D A U T O M O B IL E S , ETC. carried at unpaid balances of respective notes plus repossession and reconditioning costs..................................... 8,450.00 C A S H S U R R E N D E R V A L U E OF L IF E I N S U R A N C E ____ 35,907.25 P R E P A ID IN T E R E S T A N D I N S U R A N C E ................................. 85,807.44 E Q U IT Y IN H O M E O FF IC E B U IL D IN G : Building and land (at cost, less reserve for amortization of $43,835.07) ....................................................................................$ L e s s : M ortgage not assumed (payable in m onthly instalm ents of $776.44 including interest at 3 % ) 76.165.93 76.164.93 1.00 A U T O M O B IL E S U SED IN B U S IN E S S ........................................ F U R N IT U R E A N D 1.00 F I X T U R E S ........................................................ 1.00 $29,958,380.18 L IA B IL IT IE S NOTES P A Y A B L E , U N SE C U R E D : Bank loans and commercial paper (short t e r m ) ................ $16,755,000.00 Promissory notes, 3 % , due serially at $500,000 per an num on July 1, 1950 to July 1, 1954, inclusive................ 2,500,000.00 D IV ID E N D S P A Y A B L E $19,255,000.00 (Paid October 1, 1 9 4 9 )....................... ACC O U N T S P A Y A B L E AN D ACCRU ED IT E M S : Accounts payable ................................................................................. $ Accrued interest, miscellaneous, taxes, etc............................ Federal income ta x es.......................................................................... 112,385.75 184,931.67 70,797.90 619,692.22 875,421.79 D E A L E R S ’ P A R T IC IP A T IN G LO SS R E S E R V E S ................... 1,154,412.90 R E S E R V E FO R C R E D IT L O S S E S ..................................................... 425,000.00 D E F E R R E D IN C O M E — Unearned discount, interest, insurance and carrying charges................ 2,184,676.93 S U B O R D IN A T E S IN K IN G F U N D N O T E , due January 1, 1963 (sinking fund paym ents of $100,000 due within one y e a r ) ................................................. $ 1,950,000.00 C A P IT A L STOC K A N D S U R P L U S : Preferred stock— 5 % cumulative, par value $25.00, liquidating value $26.25— Authorized, issued and outstanding 60,000 s h a r e s ..$ 1.500.000. 00 Preferred stock authorized and unissued—20,000 shares, $25.00 par value, on which prefer ences, etc., have not been designated.............................. Common stock, par value $2.00— Authorized 1,000,000 shares Issued and outstanding 750,000 shares................................. 1.500.000. 00 (includes 939 shares reserved for conversion of $4.00 par value stock not yet exchanged for $2.00 stock) Earned surplus (per accompanying su m m a ry )..................... 1,001,482.81 5,951,482.81 $29,958,380.18 CLARENCE C h a ir m a n o f th e B o a r d Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis L. L A N D E N P r e sid e n t and 1950 The greatest benefit of matching losses against profits is derived when the losses are of the short-term variety and the gains come from investments held more than six months. Thus, if a long-term profit of, say, $10,000 is taken in January and, with proceeds reinvested in comparable securities which, due to general conditions, drop in market value, a $5,000 loss taken within six months of purchase will be sufficient to wipe out the tax liability on the profit since only half of long term profits are subject to tax. Thus, if 1950 sees steady to strong bond prices in early months and softer prices later on, the stage is set for just such an operation. It couldn’t be done in the final weeks of the year because the profits would have evap orated, or shrunk, while losses would have increased. On the other hand, if bond prices remain steady to strong all year, there will be no offset loss taking, but the long-term profits ac cepted early in 1950 will be the “antici pated” income, with its advantages, earlier discussed. It is readily acknowledged that each investor has his own particular prob lems and that none of the foregoing will be applicable to some, although it may be profitable to others. The main point, though, is simply that the tax angle deserves consideration all year round, not just in the second half of December.—The End. Dividend Total capital stock and surplus............................................ $ 4,001,482 81 T O T A L S U B O R D IN A T E D N O T E , C A P IT A L STOCK A N D S U R P L U S ...................................................................... F R A N C IS P. M A T T H E W S tom. The fact that it is well-estab lished dilutes its value though, because everybody else is doing the same thing at the same time. That means, of course, that year-end tax selling often is done at lower prices, and at greater losses than need be. The principles are sound enough, but the timing may be poor. Actually, there is no reason why sales a n d purchases of securities shouldn’t be done with an eye to tax advantages at any time during a cal endar year. Everything that can be adduced in support of taking losses or profits in December for tax purposes is just as valid in January. As a mat ter of fact, there is a wrinkle frequent ly overlooked that suggests taking ac tion early, rather than late in the year. T rea su rer Directors of The Northern Trust Company, Chicago, have approved the transfer of $2,000,000 of accumulated undivided profits to surplus, increas ing the total surplus to $14,000,000. The regular quarterly dividend of 4V2 per cent ($4.50) was declared payable January 3, 1950, to stockholders of record December 20th. 55 IN S U R A N C E Those E xtra Services You Oive Your Custom ers By HAROLD S. BOWEN Local Agent Norwalk, Ohio WANT to tell you about Joe Brown. Joe is a purchasing agent for The Acme Manufacturing Company of Middletown and wants a new televi sion set for his home. They are high priced and, of course, he would like to get one for as small an outlay of money as possible, everything consid ered. As purchasing agent, Joe gets a few hundred thousand dollars of semi finished materials each year from a mill supply agency in Chicago, and he believes they would send him a televi sion set, less the local dealer’s margin and perhaps less the distributor’s small handling charge. Of course, he is tempted. Joe knows he will have to pay the shipping charges, run the risk of dam age and delay, hire a local radio repair shop to condition, adjust and install the set, and perhaps have a furniture man unpack the crate and rub down the cabinet. Joe doesn’t know any thing about television and surely the local dealer will show little interest in giving him the initial service he needs, and how to properly operate the set. He wonders what difficulties he will experience in getting a replacement from the manufacturer if this particu lar set is defective. Of course, Joe cannot lose in dollars more than the total outlay for the set, hut he will lose some good will by not dealing at home with his fellow townsmen. As Joe had good business judgment, he buys the television set at home through regular channels. He likes the plus values of the local dealer. There are four plus values which exist in every successful agency: 1 The agent represents the A m eri can Free Enterprise System. 2. His agency attracts men of in tegrity and intelligence to the insur ance business. 3. The agent inspires confidence in, and counsels with, the assured. 4. The agent is a ivorthy represent ative of his insurance companies. Still a Vital Part of the service, Joe hasn’t wanted to stand the penalties of buying whole sale. Joe buys his suits from the local clothing store or home town tailor who has the best fitter available al though he could get suits wholesale, too. The best recognized brands are always available through a few she nanigans at the Chicago contact. A short time ago Joe needed a new fur nace, but he didn’t buy it through Chi cago for he knew his local heating engineering firm would carefully ana lyze his home heating conditions, pre scribe the proper type, install and bal ance the delicate heating mechanism and give him years of personal instant service. Thus, we see that Joe decides the personal service connected with these tangible commodities is worthy of its hire. He likes the plus values of the local dealers. When it comes to intangibles, Joe selects the best physician in town, the best investment counsel he can get, and a skilled local attorney for legal advice. Joe has always been a good citizen and, in making purchases where the skill of the seller has been a vital part Joe also buys insurance, not only for himself and his family, but for his Buys Insurance Did y o u k n o w that our Cash Letter Policy not only gives protection but enables you to cut operat ing expenses substantially. Ask us for details. You will not obligate yourself. F IR S T N A T IO N A L https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK B U IL D IN G C H IC A G O plant. Joe knows that his trained insurance agent is skilled in analyzing the soundness of companies, is thor oughly acquainted with the companies he will recommend, and with their ad justment practices. These are plus values for which Joe has some appre ciation. Joe may not have considered, how ever, other plus values when he buys from a well qualified agent in Middletown, an instant friend at time of loss, a constant, local adviser of the chang ing values—both in his home and in his plant—and the new hazards to which the Acme Manufacturing Com pany may inadvertently become ex posed. So, Joe calls his local agent one day and says, “Bill, we have a quotation on fleet automobile insur ance for our salesmen from a firm which would save us possibly 20 per cent. What service is your agency giv ing us that should persuade our plant to pay you more for the same protec tion?” So, Plus Value Bill comes over in person and across the desk goes over some of the intangibles and some of the definite services he renders. It Is Bound “Now, Joe, as your local agent I represent great financial institutions. You know insurance is a large busi ness; yes, larger than steel or automo bile manufacturing. I am a Middletown citizen who can pledge hundreds of thousands of dollars of credit for you right at this moment. If you au thorize $20,000 of insurance on the contents of a new warehouse you have leased down on South Street, I simply say to you ‘It is bound’ and you are covered. If a loss should result to- S carborou gh & C om p a n y In su ra n ce C ou n selo rs 3, I L L I N O I S STATE to B a n k s 2 43 2 5 Nort hwest ern Banker, January, 1950 56 Insurance Yes, it is time to consider the many values we cherished through the year just past— our friends and our ability to serve them. night under one of the perils insured, my companies would pay you. “You see, Joe, the priceless ingredi ent in any business relationship is the seller’s integrity and loyalty to your best interests. Strange as it may seem, although I am known as an agent of my insurance companies, I am essen tially your agent. I analyze your needs and at your instruction place insur ance in the companies I represent, the insurance which you and I agree is necessary for your protection. My companies are financially sound and will accept all of your insurance order given through me. “To my years of experience and my training is added the loyalty to your best interests before the contract is recommended, in its placing and in its constant servicing. Joe, do you realize that I not only recommend that my companies trust you, but I vouch for you—even guaranteeing the payment of your account—and if you do not pay me in the first 30 days, I advance the money for you. The 24 hours a day service you receive from the in stant I bind the coverage must con tinue uninterrupted. Plus Values It is also time to take stock of our ability to render the same good service, or to improve the guality of the aid we can offer our clients. Here at Western we are proud of the fine men and women who represented us last year and “The plus values, Joe, you get from me as a resident insurance agent in your home town are not available at any price in any other place. If I let you down, if I should ever err in hon est judgment, I might lose your busi ness. I can’t afford to do that. The geography of my business area is re stricted. If any insurance company should lose your business, it is only one of many thousands of accounts, but I must live, eat and sleep fitfully, thinking of your business hazards and the ways of preventing you from loss due to insurable hazards.” Joe Brown appreciates these plus values which are rendered by his local insurance agent. He is a man of good business judgment.—The End. Assistant Treasurer California Trust Company’s board of directors has elected Golden R. Larson assistant treasurer, Frank L. King, president, announces. A mem ber of the Trust Company’s staff since last May, Mr. Larson was formerly associated with the War Assets Ad ministration as chief of the budget division and from 1933 to 1943 was review examiner with the Federal Deposit Insurance Corporation, Wash ington, D. C. New Quarters In a move that provides improved accommodations for customers of its 34th Street Office, Central Hanover Bank and Trust Company, New York, has opened in new quarters on the southwest corner of 34th Street and Madison Avenue. The new offices are at 34 East 34th Street, diagonally opposite from the former location. The banking floor has 12 tellers, positions, with the popular style of open counters. The main floor also includes a large officers’ platform and a conference room which is informal ly furnished for the convenience of visitors to the bank. The entire floor is paneled in Appalachian white oak and the ceilings are acoustically treated. The lower floor includes -complete safe deposit facilities, with coupon look forward to another fine year of service throughout the mid-west. agency We feel that our contract allows com plete protection to every policy holder and agent. WESTERN MUTUAL INSURANCE COMPANY Write for Facts On Agency Contracts Strictly An Agency Company « AUTOMOBILE • WORKMEN'S COMPENSATION . PUBLIC LIABILITY INSURANCE ALLIED M U T U A L CASUALTY COMPANY Ninth & Grand Des Moines 8, Iowa Harold S. Evans, President 4th and Park Streets Northwestern Banker, January, 7950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Des Moines 9, Iowa Insurance booths for customers and a conference room. There is also a spacious board room which is available for corporate meetings, trade organizations and other groups. Ample provision has been made on the mezzanine for the employes. Two lounges, one for men and one for wom en, are connected by a kitchenette where the employes may prepare and eat their own lunches. Becomes Cashier Irving W. Lonergan, formerly an as sistant cashier of the First National Bank in St. Louis, has been named cashier. He succeeds C. B. (Ben) Q, In 1925 Gilmore established a trust with a Minnesota bank to pro vide monthly payments for life to his daughter. At her death the remainder was to go to his grandchildren. In 1948 the bank filed its account of the administration of the trust from its inception. Exceptions were taken thereto because of losses sustained on certain securities bought by the trus tee from its bond department. The trust instrument provided that as to trust investments in securities held by the bank it should be entitled to its regular commission thereon and the bank resisted the exception by assert 5i ing that such provision permitted self dealing. Should it be sustained? No, according to a recent Minnesota Supreme Court decision involving sim ilar facts. In so holding the court pointed out that the rule of law against self dealing in trust matters is so well established and so strictly applied that there could not be read into the instru ment by implication a waiver of such law in the circumstances. If a settlor intends to waive the protection af forded by law against self dealing by a trustee he must say so* in clear and unmistakable language. 1900— 1950 OUR ANNIVERSARY W e thank our many banker agents for their friendship, encouragement and cooperation during the past 50 years. To each of you, we rededicate our resources and all our energies in continued service. IOWA MUTUAL INSURANCE COMPANY IOWA MUTUAL CASUALTY COMPANY De Witt, Iowa AGENCY COMPANIES MULTIPLE LINES IR V IN G W . L O N E R G A N Cashier of the First N ational Bank, St. Louis Schmidt who retired under the bank’s retirement and pension plan. Mr. Lonergan began his banking ca reer in 1906 as a runner for the old National Bank of Commerce. Subse quently he was an employe of the former Mercantile National Bank and the St. Louis Union Trust Company before becoming associated with the First National Bank in St. Louis in 1919. For many years he was an as sistant cashier and manager of the bank’s foreign department. In 1941 he transferred to the commercial de partment. LEGAL QUESTIONS AND ANSWERS (Continued from page 26) streets and that the state was acting within its constitutional rights in pro hibiting the maintenance by the cities of parking meters which called for payment for the use of the streets. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A g e n t s Li ke O u r Compani es . . . because they Get All 3 Hawkeye-Security-Industrial is working constantly to build more sales for agents. Every service is provided to help agents step-up production, providing service without red tape . . . prompt, equitable settlement of claims . . . skilled field representatives to work closely with all agents. Yes, here are three fine companies to do business with. HAW KE YE ¿^ C A S U A LT Y S E C U R I T Y HU F I R E IN D U ST R IA L < ^ > CO. IN S . C O . IN S. CO. Nort hwest ern Banker, January, 1950 58 tatement ofCondition December 31, 1949 RESOURCES Cash and Due from Banks..................................................................... $111,212,573.03 U. S. Government Obligations*............................................................ 137,243,106.37 Other Bonds and Securities*.................................................................. 25,170,569.66 Loans and Discounts.............................................................................. 100,990,962.60 Stock in Federal Reserve Bank............................................................. 450,000.00 Customers’ Liability on Acceptances.................................................... 1,503,998.02 Income Earned but not Collected......................................................... 1,005,093.04 Banking House........................................................................................ 2,800,000.00 Other Resources...................................................................................... 88,123.36 Total Resources........................................................................ $380,464,426.08 LIABILITIES Capital Stock...........................................................................................$ 5,000,000.00 Surplus................................................................ 10,000,000.00 Undivided Profits................................................................................... 3,177,621.41 Reserve for Contingencies...................................................................... 3,518,185.90 Reserve for Interest, Taxes, etc............................................................. 1,662,616.27 Income Collected but not Earned......................................................... 1,532,144.52 Letters of Credit and Acceptances........................................................ 1,503,998.02 Deposits................................................................................................... 354,069,859.96 Total Liabilities........................................................................ $380,464,426.08 *United States Government and other securities carried at $60,594,197.46 are pledged to secure U. S. Government War Loan Deposits and other public funds and trust deposits and for other purposes as required or permitted by law. N a t io n a l B a n k o f M in n e a p o lis Marquette Avenue Sixth to Seventh Streets Member Federal Deposit Insurance Corporation • Affiliated with Northwest Bancorporation D IR E C T O R S Ja m e s F. B ell T homas L. D a n ie ls C h a ir m a n , C o m m itte e on F i n a n c e a n d T e ch n o lo g ica l P r o g r e s s , General Mills, Inc. B enton J. C ase D ir e c to r , Janney, Semple, Hill & Company P r e s id e n t , The D ayton Company S teph en P. D uffy P r e s id e n t, C larence R. C h a n e y V i c e C h a ir m a n o f B o a r d , Northwestern National Bank of Minneapolis G eorge B. C lifford , Jr . T r e a s u r e r , The Cream of W heat Corporation Our Own Hardware Company J ohn B. F a egr e Faegre and Benson, Attorneys F r an k T. H effelfinger C h a ir m a n o f B o a r d , F. H . Peavey and Co. F. P e a v e y H effelfinger Joh n C rosby Northwestern P r e s id e n t , Archer-Daniels-Midland Company G. N elson D ayt o n D ir e c to r , E x e c u tiv e V i c e P r e s id e n t General Mills, Inc. F. H . Peavey and Co. Banker, Ja n u ar y , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 C larence E. H ill C h a ir m a n o f B o a r d , Northwestern National Bank of Minneapolis F r an k P. L eslie V ic e P r e s id e n t a n d T r e a su r e r , The John Leslie Paper Co. R obert F. P ack C h a ir m a n o f B o a r d , Northern States Power Company Joh n S. P illsbu ry C h a ir m a n o f B o a r d , Pillsbury Mills, Inc. Joseph F. R ingland P r e s id e n t, Northwestern National Bank of Minneapolis L ucian S. S trong P r e s id e n t a n d T r e a su r e r , The Strong Scott Manufacturing Co. D .J . S trouse R e tir e d H arold W . S w e a t t P r e s id e n t , Minneapolis-Honeywell Regulator Company H arold H. T earse V ic e P r e s id e n t a n d G en era l M an ager, Searle Grain Company J. C am eron T homson P r e s id e n t , Northwest Bancorporation V a l e n t in e W urtele P r e s id e n t , Minnesota Paints, Inc. 59 Minnesota N. A. WELLE President Bemidji ROBERT E. PyE Secretary Minneapolis Leonard P. Peterson, who has accepted Several important changes were a position as vice president of The Montana National Bank of Havre, made in the official staff of the Winona Montana. National and Savings Bank, Winona, A native of Emmetsburg, Iowa, Mr. Minnesota, last month following the death of E. L. King, Sr., 72, president. Boies began his banking career in E. L. King, Jr., was advanced from 1927 with the former First Minneap vice president to chairman of the olis Trust Company, and since then hoard of directors and S. J. Kryzsko has been associated with the Iowa was elected president, his former posi Trust and Savings Bank at Emmets tion being executive vice president burg, the Brenton State Bank at Dallas and trust officer. He will also continue Center, Iowa, and the Brenton County Bank & Trust Company at Vinton, as senior trust officer. Other official changes include the Iowa. For the past several years he has naming of John Ambrosen as vice president in addition to his present been engaged in the mercantile busi duties as cashier; the promotion of ness in Wisconsin and recently has E. W. Miller, former senior assistant spent some months in California. cashier, to assistant vice president; New Cashier at Luverne the promotion of W. P. Theurer from George W. Goodell has been elected assistant trust officer to trust officer, in addition to present title of assistant cashier of the First National Bank of cashier, and W. M. Lambert’s advance Luverne, Minnesota, succeeding G. P. ment from assistant cashier to senior Bauman, who resigned recently. The bank name was changed from assistant cashier. E. L. King, Sr., had been president Luverne National Bank to the present of the Winona Savings Bank since name on January 1, 1950. 1914 and president of the merged banks since 1928 when the consolida Increase Edgerton Stock Stockholders of the State Bank of tion took place. Mr. King also had been associated with the J. R. Wat Edgerton, Minnesota, recently voted to kins Company in Winona since 1904, increase the capital stock of the bank serving there as president from 1931 from $25,000 to $50,000. to 1944 when he retired and was suc ceeded as president by his son, E. L. With Owatonna Bank King, Jr. Philip C. Johnson, former cashier and manager of the Gevena State Bank at Geneva, Minnesota, has been made Co mplete Remodeling Remodeling operations in the City assistant cashier of the Security Bank National Bank of Duluth, Minnesota, and Trust Company in Owatonna. He has also worked in the Security were completed last month after nine State Bank at Ellendale and was in months of continuous work. Instead service in the southern Pacific area of holding an “open house” for public inspection of the new facilities, Presi for 32 months during World War II. dent H. C. Matze wrote each bank customer and many other persons, in Open New Building The new bank building housing the viting them to come in any time and First State Bank at Big Fork, Minne inspect the new quarters. Included in the remodeling were sota, was opened last month for public new vaults, fixtures, service rooms, inspection at an “open house.” The bank is completely modern through directors’ room and increased office out. Officers are L. M. Latterell, presi space. dent; O. J. Latterell vice president, and C. F. Gilbertson, cashier. With Lakefield Bank Election of Samuel P. Boies as vice president and cashier of the Farmers Extensive Fire Damage The State Bank of Bricelyn, Minne State Bank at Lakefield, Minnesota, sota, which recently was redecorated recently was announced. He succeeds Winona Bank Changes https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis at a cost of $2,500, suffered extensive fire damage from an early morning fire last month. Estimate of the dam age was set at $25,000. Workmen made temporary repairs so that bank operations could be resumed two days after the fire, but E. O. Lund, presi dent of the State Bank, said no re building would be done until spring. The main damage was done to the rear of the building to washrooms, a stairway and a business room. Increase Deposit Interest An increase to 2 per cent interest on time savings deposits went into effect last month at the Farmers State Bank of Eyota, Minnesota, and the Elgin State Bank, it was announced by Clare Talen, president of the two banks. The new rate is an increase from 1% per cent. Joins Benson Board E. C. Alsaker of Benson was recently appointed to the board of directors of the First State Bank of Benson, Min nesota, succeeding the late C. K. Lene, according to C. E. Gesme, bank presi dent. Buys North Branch Stock A. F. Johnson, president of the Mer chants State Bank, North Branch, Minnesota, has purchased the stock interests of Elias Nordgren, chairman of the board, and H. J. Anderson, vice president. Mr. Nordgren has served as an offi cer and director of the bank since 1895 when it was a privately owned institution. It was incorporated under the present name in 1903, he became vice president in 1906 and president in 1940. In 1949 he was named board chairman and was succeeded as presi dent by Mr. Johnson. Mr. Anderson has been a director for 32 years. Mr. Johnson joined the bank in 1918. August Nordstrom is vice president and C. T. Braff is cash ier. Both are directors. John A. Holt, St. Paul, has been elected a di rector, and the other vacancy is to be filled this month at the annual meet ing. Houston Cashier Retires C. S. Johnson, who has been em ployed at the Security State Bank of Houston, Minnesota, for the past 30 years, has resigned as cashier. Returns to Detroit Falls Kent S. Rogstad has returned to the staff of the First National Bank in Detroit Lakes, Minnesota, in the posi tion of assistant cashier. Northwestern Banker, January, 1950 60 E IGHT employes who have served more than 25 years with the Mar quette National Bank of Minneapolis or its affiliated banks were honored recently at a dinner of the Trail Blaz ers club. Russell L. Stotesbery, president of Marquette, presented engraved gold watches to Frederick F. Zander, Mabel Dahl, Edmund Jones, Gina Nilsen, William F. Kunze, Gertrude Dordan, Arthur W . Erickson and Lucile Evans. The club has a total membership of 22. It is limited to employes and of ficers of the Marquette group of banks who have been with the organization more than 15 years, and was founded a year ago by the late Ralph W . Man uel, to whom special tribute was paid at the dinner. Members with 15 to 25 years of serv ice were presented with specially de signed jeweled pins. In the 20-year group were Ruth Anderson, Ella Hallgrain, Signor Silverness, Earl Cardie, Carl Brackey, Merth Mortenson, Paul Petterson, Morris Sampson, Harold Higley and Ethelynde Kelly. In the 15-year group were Grace Johnson, Ruth Wittich and Ronald Harrison, Marquette cashier, who was initiated into the club. Arthur W . Erickson was elected president; Signor Silverness, vice president; Lucile Evans, secretary and treasurer, and Paul Petterson, director for three years. * * * Julian B. Baird, president of The First National Bank of Saint Paul an nounced last month that one million dollars has been transferred from un divided profits to surplus of The First National Bank. The adjustment now establishes the First in Saint Paul’s surplus at $12,000,000 with capital remaining at $6000,000. * * * Ernest G. Peterson, assistant man ager of the savings department at First National Bank of Minneapolis since 1926 retired December 31st after 50 years’ service. He has been active in Christmas club savings work since the club’s inception 23 years ago. QjwsudmsmL S xcmuíl&a Specialists in Corporate and Municipal Securities of the Central Northwest J. M. Dain & Company ST. PAUL MINNEAPOLIS TELEPHONE ATLANTIC Northwestern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 8 1 41 DULUTH TELETYPE MP-73 Directors of the First National Bank of Hopkins recently authorized a call to contractors for bids for construc tion of a new bank building on prop erty acquired by the bank in the Min neapolis suburb. Walter A. Zastrovv, president, said plans call for a one-story building, 60 by 89 feet, of reinforced concrete and steel. The structure will have brick and stone facing and will be air conditioned. * * * \YiMiam B. Geery, 82, former gov ernor and chairman of the board of the Federal Reserve Bank of Minne apolis, died recently in St. Paul, where he lived. At one time he was vice president of the former St. Paul Na tional Bank. He retired February 1 1937. * * * William R. Chapman, vice president of the Midland National Bank of Min neapolis, spoke recently on “ Loans to Small Business” at the Michigan Bankers Association’s annual bank study conference at the University of Michigan in Ann Arbor. . * * * Arthur E. Nettum, assistant man ager of the North Side office of the First National Bank of Minneapolis, recently was elected treasurer of the West Broadway Businessmen’s Asso ciation of Minneapolis. * * * E. O. Jenkins, president of the First Bank Stock Corporation, spoke recent ly at a meeting of the Chamber of Commerce at Cloquet, Minnesota. He discussed the growth and develop ment of American banking and de scribed First Bank’s operations in Minnesota, North and South Dakota and Montana. The First National Bank of Cloquet is a First Bank af filiate. * * * Robert E. Conn, Jr., trust officer at the Northwestern National Bank of Minneapolis, recently was appointed a member of the national military affairs committee of the American Legion, according to an announcement First National Bank of Minneapolis D IR E C T O R S Statement o f C ondition D ecem ber 31, 1949 Henry E. Atwood, Atherton Bean, President Executive Vice President, International M illin g Co. Russell H. Bennett. RESOURCES Cash and Due from Banks United States Government Securities . 127,537,699.96 Other Bonds and Securities . 26,868,479.79 Loans and Discounts.................................... . 104,700,127.64 Accrued Interest and Accounts Receivable Customers’ Acceptance Liability . 82.3,614.74 . 161,955.60 Other Real Estate (For Future Development of Banking Premises) . . . . . 500,000.00 Total Resources Bruce B. Dayton, 845,336.83 Bank Premises and Furniture and Fixtures Other Assets Treasurer, Meriden Iron Co. President, The Cream o f Wheat Corp. John Cowles, President, M inneapolis Star and Tribune Co. Donald D. Davis, President, M innesota and Ontario Paper Co. Daniel F. Bull, . $108,088,181.72 . . . . . 214,489.04 . . . . . . $369,739,885.32 Secretary and Treasurer, The Dayton Co. Paul V. Eames, President, Shevlin- M cC loud Lumber Co. Harry J. Harwick, Chairman, M a yo Association, Rochester, M inn. John H. Hauschild, Chairman of the Board, Chas. W . Sexton Co. W. L. Huff, Executive Vice President, M inneapolis-H oneywell Regulator Co. C. T. Jaffray, Director, First Bank Stock Corporation John H. MacMillan, Jr., President, Cargill, Inc. L IA B IL IT IE S Malcolm B. McDonald, Capital S t o c k ..................................................... Surplus . . $ 6,000,000.00 ............................................. ........ Undivided Profits . . . . . General Reserve for Contingencies . . . . 1,933,929.86 . 2,128,712.19 . Reserve for Interest, Expenses, Taxes, etc. Acceptances and Letters of Credit . 14,000,000.00 . . . . 3,225,046.54 . 823,614.74 Other L i a b i l i t i e s ...................................................... Demand Deposits . . $287,992,604.24 Time Deposits » . 52,577,334.43 . . . Total Liabilities . . . . . 1,058,643.32 340,569,938.67 $369,739,885.32 United States Government obligations and other securities carried at $59,747,244.79 in the foregoing statement are deposited to secure public funds and for other purposes required by law. M EM BER FED ER A L D EPO SIT INSURANCE CO RPO RA TIO N https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • Vice President * Sumner T. McKmght, President, S. T . M cK n ight Co. Howard I. McMillan, President, O sborn e-M cM illa n Elevator Co. S. G. Palmer, Retired Leslie N. Perrin, President, General M ills, Inc. A. F. Pillsbury, Director, Pillsbury M ills, Inc. Arthur H. Quay, Vice President F. B. Wells, President, F . H . Peavey & Co. Alfred E. Wilson, Vice President and Chairman o f Trust Committee C. J. Winton, Jr., President, Winton Lumber Co Sheldon V. Wood, President and General M anager, M inneapolis Electric Steel Castings Co. Edgar F. Zelle, President, Jefferson Transportation Co. A FF IL IA T E D W ITH FIR ST B A N K STO C K CO RPO RA TIO N Northwestern Banker, January, 1950 62 Minnesota News by George N. Craig, national com mander. Mr. Conn survived the Bataan death march and three years in Japanese prison camps. He is a past command er of his American Legion post and second vice commander of the Fifth (Minneapolis) district of the Legion. * * * Joseph F. Ringland, president of the Northwestern National Bank of Minneapolis, recently was elected by the board of directors of the Federal Reserve Bank of Minneapolis to serve as the Ninth federal reserve district representative on the federal advisory council during 1950. The directors appointed six new q CK officers of the bank and promoted three others. Arthur AV. Johnson, Christian Kies, Marcus O. Sather, George M. Rock well and Clement Van Nice were named assistant cashiers. Clayton E. Tillander was named chief examiner. Earl B. Larson was promoted from assistant vice president to vice presi dent; Harold C. Core from personnel officer to vice president in charge of personnel, and Maurice H. Strothman, Jr., from assistant counsel to assistant vice president and assistant counsel. * * * Three Twin Cities men were elected to the board of governors of the new Midwest Stock Exchange in Chicago B A A //, recently. Named were Merrill M. Cohen, of J. M. Dain & Company; Guybert M. Phillips, of Caldwell, Phillips & Company, and Robert M. Rice, of R. M. Rice & Company. The new exchange was created by a merger of exchanges in Chicago, Cleveland, the Twin Cities and St. Louis. * * * William T. Hoy, a founder and at one time president of the former Northeast State Bank of Minneapolis, died recently in Los Angeles. He was 84 years of age. Funeral services and burial were in Minneapolis. * * * J. Cameron Thomson, president of the Northwest Bancorporation, an nounced recently the addition of Curtis A. Lovre of Brookings, South Dakota, to the Banco staff as contact officer. Mr. Lovre has been with the Brookings branch of the Northwest Security National Bank of Sioux Falls, South Dakota, since 1937. Orin Samstad, vice president and cashier of the Union State Bank of Montevideo, Minnesota, was named vice president and manager of the Brookings branch to succeed Mr. Lovre. He has been associated with the Banco group since 1928. ^ ijc A group of 32 school children was feted at the annual Christmas party sponsored by the Girls club of the First National Bank of Minneapolis. Statement of Condition, December 31, 1949 RESOURCES Loans and Discounts...................................................$ 2,975,126.05 Vaults and Fixtures..................................................... 1.00 Interest Earned Not Collected..................................... 84,087.58 U. S. Government Obligations...... $12,348,265.73 Other Bonds and Securities.......... 938,182.29 Cash and Due from Banks........4,628,397.80 17,914,845.82 TOTAL................................................................'.....$20,974,060.45 LIABILITIES C apital...........................................................................$ 250,000.00 Surplus........................................................................... 500,000.00 Undivided Profits and Reserves............................... 366,022.95 Reserved for Interest Expenses and Taxes............. 96,507.11 Interest Collected Not Earned................................... 18,764.13 D eposits......................................................................... 19,742,766.26 TOTAL.....................................................................$20,974,060.45 The Stock Yards National Bank South Saint Paul, Minn. M EM BER FEDERAL D E P O S IT western Banker, January, 1950 Digitized forNorth FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis IN S U R A N C E C O R P O R A T IO N The 65-voice bank chorus presented its annual series of pre-Christmas con certs around a Christmas tree in the bank lobby the week preceding Christ mas. Customers of the Northwestern Na tional Bank of Minneapolis also were “serenaded” with carols during the week preceding Christmas. The bank’s chorus of more than 50 voices sang daily from a special platform erected over a stairway of the bank. The music was piped to affiliates of the bank in the Minneapolis area. An outstanding feature of the Christmas observance staged by the First National Bank of Saint Paul this year was the daily noon-hour program of Christmas music presented by the First National Bank’s Male Chorus Monday through Friday of the week preceding Christmas. The thirtyvoice Male Chorus, comprised entirely of bank employes, was directed by Christopher Herseth, assistant cashier. Elsie Stokes Bookstaver, organist, and Jacqueline Parker, soprano soloist were also featured on the one-hour programs. >1« >K Donald R. McReavy, Minneapolis mortician and civic leader and a direc tor of the Third Northwestern Nation- Minnesota News al Bank of Minneapolis, died recently at the age of 43. Funeral services and burial were in Minneapolis. 4= * Joseph F. Ringland, president of the Northwestern National Bank of Min neapolis, told some 1,250 employes at the bank’s annual Christmas party that the 10 banks in the Northwestern group now serve more than 300,000 accounts, including 148,000 checking and savings accounts, about 52,000 in stallment loan and mortgage custom ers and 27,000 safe deposit box cus tomers. * * * Bank debits in the Ninth federal re serve district dropped 9 per cent in November, 1949 compared with the November, 1948, total, according to a recent report by the Federal Reserve Bank of Minneapolis. Debits for the 133 cities reporting in the Ninth district totaled $2,797,672,000, compared with $3,066,720,000 for November, 1948. However, for the 11-month period ending November 30th total debits for the district were $29,920,128,000 against $31,638,939,000 in the first 11 months of 1948, a drop of 5 per cent. Minneapolis bank debits for Novem ber were off 9 per cent, while St. Paul debits slumped 10 per cent. The decrease was attributed in part to the coal and steel strikes. * * * Arnold J. Ryden, Jr., cost account ant supervisor, at the Northwestern National Bank of Minneapolis, recent ly was elected president of the Twin Cities Harvard Business School Alum ni Club. * * * The First National Bank of Minne apolis during the past five years has experienced one of the steadiest peri ods of deposit growth in its 92-year history, Henry E. Atwood, president, reported recently. He spoke to about 900 employes of the First National and affiliated banks at the ninth annual “assembly” party for officers and staff members. In 1944, he said, “our average daily deposits, excluding government war loan deposits, totaled $260,000,000. Comparable figures were $282,000,000 in 1945, $311,000,000 in 1946, $323,000,000 in 1947 and $326,000,000 in 1948.” Deposit figures for 1949 will approxi mate those of 1948, it is believed, Mr. Atwood said. The bank’s net operat ing earnings after taxes probably will 63 be as good for 1949 as in 1948, when the bank had net earnings of $1,827,000, he added. * * * Leon L. Smith, assistant cashier of the First National Bank of Saint Paul, has been appointed an assistant vice president of that institution according to an announcement made by Julian B. Baird, the bank’s president. Mr. Smith entered the First Nation al’s service September 19, 1919, and has worked in practically every de partment of the bank. He was elected an assistant cashier January 9, 1945, and in that capacity has been an active loaning and credit officer. * * * J. Cameron Thomson, president of the Northwest Bancorporation, testi fied in Washington recently before the subcommittee on monetary, credit and fiscal policies of the joint congression al committee on the economic report. Mr. Thomson testified as chairman of two special committees of the Com mittee for Economic Development. He cautioned the congressional group that the present strength of American financial institutions will not be main tained unless more favorable condi tions for sale of stocks are created. F irst a nd A m e r ic a n N a t io n a l B ank OF DULUTH, MINNESOTA STATEMENT OF CONDITION, DECEMBER 31, 1949 R E SO U R C E S Cash on Hand and Due from B a n k s.................................... $15,701,925.71 U nited States Government Securities............................... 37,773,461.49 Municipal Securities ................................................................. 3,544,197.49 Other Bonds and Securities................................................... 4,111,098.20 Loans and Discounts................................................................. 14,608,280.76 Federal Reserve Bank S tock................................................. 120,000.00 Banking House ............................................................................. 1.00 Am erican Exchange P roperty............................................... 1.00 Interest Earned But N ot C ollected................................... 218,071.91 L IA B IL IT IE S Capital Stock ............................ ..................$ 2,000,000.00 Surplus ............................................................ 2,000,000.00 Undivided Profits .................................... 1,366,703.67 787,049.23 Reserves .......................................................... Total Capital A ccoun ts..........................................$ 6.153,752.90 Reserve for Interest, Taxes and E xpenses.................... 260,575.78 Discount N ot E arned................................................................. 106,445.18 Deposits : Demand .............................................. $46,840,700.92 Tim e ........................................................ 21,043,488.58 1,672,074.20 U . S. G overnm ent.............................. Total Deposits ............................................................. 69,556,263.70 $76,077,037.56 O FFIC ER S B A N K IN G D E P A R T M E N T E M M O N S W . C O L L I N S ____V ice President J. D A N IE L M A H O N E Y ____V ice President R O B E R T W . H O T C H K IS S . .V ic e President H U B E R T U . M O O R E ............Vice President W I L L A R D F. A R I O ...........................V ice Pres. S Y L V E S T E R T. S T R A I N ....................Cashier W I L L I A M K. A L F O R D . . .A s s t. V ice Pres. W A L T E R L. F R E D R IC K S O N A sst. V . Pres. H A R R Y W . G O O C H ......................... A sst. Cash. E A R L E J. A N D R E E ....................... A sst. Cash. JO S E P H C. J O R G E N S O N ......... Asst. Cash. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W I L L IS D. W Y A R D , President W I L L IS A . P U T M A N , Vice President Banking Department E D W A R D L. P A L M E R , Vice President Trust Department $76,077,037.56 M ORTGAGE AN D IN S T A L L M E N T LO AN D EPARTM ENT L. R E X H A T T E N ..................... Vice President W A L T E R L. G R A N D Y ...................Vice Pres. F. R U D O L P H J A C O B S O N . . .A sst. Cashier TRUST D EPARTM ENT C H E ST E R D. S E F T E N B E R G . . . Vice Pres. V E R N O N K. F A L G R E N . .A sst. V ice Pres. A R T H U R M. OV E N T I L E .A sst. Vice Pres. M O R R IS S. K N U D S E N . . . Asst. Tr. Officer K E N N E T H W . D E N N IS . .A sst. Tr. Officer JO H N L. E V A N S ............................Comptroller Member Federal Deposit Insurance Corporation Nort hwest ern Banker, January, 1950 64 Minnesota News Two Minneapolis bank women re cently were elected to office by the Credit Women’s Breakfast Club of Minneapolis. Joan Peterson of the Marquette National Bank of Minne apolis was named treasurer. Also elected to office was Helen Rodgers of the Northwestern National Bank of Minneapolis. * * * Two Minneapolis bankers recently were appointed vice chairmen of the 1950 Red Cross fund campaign in Hen nepin county (Minneapolis). They are Cecil A. Burnham, assist ant vice president of the First Nation al Bank of Minneapolis, and Wendell T. Burns, vice president of the North western National Bank of Minne- apolis. Mr. Burns served as chairman of the 1947 fund raising campaign, and Mr. Burnham held a similar post in the 1949 drive. * * * Roger Shepard, St. Paul, has been redesignated as chairman and W . 1). Cochran of Iron Mountain, Michigan, as deputy chairman of the Federal Reserve Bank of Minneapolis. The board of governors of the Fed eral Reserve System, which made the appointments, also renamed Mr. Coch ran as Class C director for the threeyear term ending December 31, 1952. W . A. Denecke of Bozeman, Mon tana, was appointed to a two-year term as director of the Reserve bank’s branch at Helena, Montana.—The End. SPECIAL OFFER Accident Insurance, $5000 Principal Sum for only $2.00 Paid Up in Full to the Middle of next June. New President at Dawson O. S. Knudsen retired from active duty on December 31, 1949, as presi dent of the Northwestern State Bank at Dawson, Minnesota, and was suc ceeded by Glenn E. Blomquist as presi dent. Mr. Blomquist’s election took place at the annual meeting earlier this month. Mr. Knudsen began his banking ca reer in Lanesboro, Minnesota, in 1902, moved to Dawson in 1934 as executive vice president and was elected presi dent in 1947. Mr. Blomquist started in the First National Bank in Dawson in 1922, joined the Northwestern State Bank at the time of its organization in 1931 as assistant cashier, became cashier in 1934 and vice president and cashier in January, 1946. Other officers are John L. Mahlum, vice president; Henry Globstad, cash ier, and Wendell Anderson and E. A. Thronrud, assistant cashiers. John A. Stoneburg John A. Stoneburg, 87, former presi dent of the First State Bank of Cam bridge, Minnesota, died there last month following a year’s illness. MINNESOTA COMMERCIAL MEN’S ASSOCIATION 2 5 5 0 Pillsbury Ave. So. Minneapolis 4 , Minnesota The Northern Minnesota National Bank of Duluth, has presented awards to five additional employes for 25-year service, W. F. McLean, first vice presi dent, announced last month. They are Russell M. Walters, Ed ward E. Mitchell, Miss Ruth E. Lent, Mrs. Josephine Siems and Mrs. Jennie Borgeson. Statement of Condition as of December 31, 1949 ASSETS First Mortgage Loans_! ).3 5 3 .9 0 5 .9 9 Loans on Passbooks-_ 5 1 .2 4 8 .9 1 F. H. A. Title 1 Loans _______________ 4 5 ,7 8 2 .3 6 Properties Sold on Contracts __________ 1 2 6 ,9 6 3 .5 4 Heal Estate Owned and S e c u r itie s __________ 6 3 ,0 4 2 .0 4 Investments and S e c u r itie s __________ 3 7 3 ,5 8 5 .0 0 Cash on Hand and in Banks _______________ 3 7 4 ,5 8 2 .0 9 Office B u i ld i n g ______ 6 4 .7 0 8 .6 8 Furniture, Fixtures and Equipment, Less De preciation _________ Deferred Charges and Other A s s e ts _______ 9 ,5 8 6 .7 5 LIAB ILITIES C a p it a l------------------------- $ 9 ,2 0 3 ,4 8 2 .3 2 Home Loan Bank Advances ---------------- 5 5 0 ,0 0 0 .0 0 Loans in Process______ 3 7 1 ,8 9 5 .1 8 Other L iab ilities______ 7 .3 6 3 .2 2 Specific Reserves $ 1 ,2 0 9 .1 7 General Reserves 2 6 8 ,5 9 0 .8 0 S u rp lu s----- 6 0 .8 5 4 .6 7 Total____________ $ 1 0 ,4 6 3 ,3 9 5 .3 6 3 2 9 ,4 4 5 .4 7 Total____________ $ 1 0 ,4 6 3 ,3 9 5 .3 6 St. Paul Federal Savings & Loan Association 3 5 3 Robert Street, St. Paul, Minn. Ga. 7593 O FF IC E R S A N D D IR E CTO R S L O U IS P E T E R S O N , President G U S T A V C. A X E L R O D , V ice President and Attorney A X E L A . O L SO N , Executive Secretary DR. C A R L G. B U R T O N , V ice President R O B E R T W . O L SO N , Assistant Secretary R U T H D O R N , Assistant Treasurer C H A R L E S J. F L Y N N R O B E R T H E IN G EO RG E H. L Y S E R Nort hwest ern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 Present 25-Year Awards To Honor Buffalo Banker A memorial fund has been estab lished and two plans proposed for its use in honor of Walter D. Oakley, Buffalo, Minnesota, banker, who died at the age of 71 recently. Mr. Oakley was a pioneer of Buf falo and served in many public offices in the town during his lifetime. At the time of his death he was president of the Oakley National Bank. Retired on Pension Three veteran staff members of First National Bank of Minneapolis have retired on pension, bringing to a close their banking careers totaling over a century of service. Two of those retired were Miss Agnes C. Murphy, head switchboard operator, and Miss Selma T. Sandeen, of the St. Anthony Falls office. They have been with the First National since 1917 and 1920, respectively. Ernest G. Peterson, assistant man ager of the savings department, also retired. He joined the bank in 1899. Minnesota News Home Loan Mortgages 2 .1 Regulations to bar restrictive cove nants based on race, creed or color in connection with home loan mort gages guaranteed for veterans under the G. I. Bill will go into effect in February, Veterans Administration an nounced. The new regulations will apply to all such covenants created and re corded subseciuent to February 15, 1950, and to all G. I. mortgages guar anteed or insured by VA after that date. Loans guaranteed or covenants recorded prior to February 16th will not be affected, VA said. Years 65 ailhDePaij Henry H. Haynes, editor of the De Puy Publications, which in clude the N orthwestern B ank er , the U nderwriters R e v ie w and the I o w a -N ebraska B an k D irec tory , is this month completing 25 years with these publications. Mr. Haynes came to the De Puy Publications from the associate editorship of Farm and Fireside, a Crowell publication in New York City. Prior to that, Mr. Haynes had considerable experience in the editorial and advertising field dating back to his college days at the Univer sity of Illinois, where he was a member of Sigma Nu fraternity. As applied to mortgage lenders, VA said any guarantee issued for a loan on property subject to a recorded covenant barred by the regulations would be affected in the event of sub sequent default and foreclosure. In such cases the lender’s option of trans ferring the property to VA, which he normally has the right to do, would be nullified if the covenant was still effective of record at the time of the proposed transfer. Also, with respect to mortgages guaranteed or insured by VA after February 15th, the borrower may be declared in default on his loan, with the entire unpaid balance immediately due and payable, if he thereafter re- Today, Mr. Haynes is well known to hundreds of bankers and insurance men throughout the country. It is the sincere wish of every member of the De Puy Publications’ staff that Henry will have many more years of association with our organization. cords such a covenant on the prop erty. The type of covenants referred to are those designed to restrict the oc cupancy or use of the property as to race, creed or color. VA said the new regulations are being issued to bring the agency’s loan guaranty program into full accord with a recent decision of the United States Supreme Court. The court held that such covenants are contrary to public policy and are City National Bank and Trust Company of Chicago , Condensed Statement of Condition— December 31 1949 RESOURCES LIABILITIES $ 4,000,000.00 $ 93,480,322.95 C a p i t a l ........................................ . 175,124,383.46 S u r p l u s ........................................ 4,000,000.00 State, Municipal and Other S e c u r itie s ................................... Undivided P r o fit s ......................... 4,007,849.70 5,170,844.12 Reserves for Interest, Taxes and C o n t in g e n c ie s ......................... 2,701,481.36 Cash and Due from Banks . . U. S. Government Securities . Loans and Discounts 73,097,400.29 . . . . 240,000.00 Dividend payable Feb. 1, 1950 . 60,000.00 Accrued I n t e r e s t ......................... 932,804.29 Customers' Liability on Letters of Credit and Acceptances . . Letters of Credit and Acceptances Outstanding ......................... 1,154,157.90 1,148,251.17 Other L i a b i l i t i e s ......................... 81,055.55 113,160.57 D e p o s i t s ........................................ 333,302,622.34 Federal Reserve Bank Stock . Other R e s o u r c e s ......................... https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis $349,307,166.85 $349,307,166.85 M em ber Federal D eposit Insurance Corporation Northwestern Banker, January, 1950 66 Minnesota News not sustainable by action in the Fed eral courts. The new regulations have been is sued to the various VA field offices which administer the loan guaranty program, and copies will be distrib uted to builders, lenders and others participating in the program. National City Bank At the regular meeting of the board of directors of The National City Bank of New York, James V. Bohen and Harvey S. Gerry were appointed vice presidents. Both were assistant vice presidents and have been with the bank for their entire business careers, Mr. Bohen having a service record of more than 33 years and Mr. Gerry one of 20 years. Mr. Bohen is in charge of the bank’s foreign exchange department and Mr. Gerry, who is sta tioned in Paris, represents the bank on the continent of Europe. The following were appointed assist ant vice presidents: Leland S. Brown, Sven Borup Jensen, John C. Slagle, John E. Thilly, Clarence S. Welch, Thomas R. Wilcox and Allen F. Maybee. The following were appointed as sistant cashiers: Robert M. Goodwin, Curtis P. Nunn, William E. Preston and Robert F. Stanton. 3 l BANK at the Y A RD S STATEMENT OF CONDITION At the close of business December 31, 1949 RESOURCES Loans and Discounts......................................................................................................$ 4,070,673.03 United States Bonds and Notes................................................................................... 12,424,384.54 M unicipal Bonds ............................................................................................................. 769,350.87 Other Bonds and Securities......................................................................................... 864,486.05 27,000.00 F ederal R eserve Bank Stock....................................................................................... Interest Earned, Not C ollected ..................................................................................... 84,895.50 Cash on Hand and Due from Banks......................................................................... 8,266,973.48 $26,507,763.47 LIABILITIES C apital Stock .......................................................................................... $400,000.00 Surplus ....................................................................................................... 500,000.00 U ndivided Profits ....................................................................................... 84,936.13 R eserve for C ontin gen cies.................................................................... 163,093.57 Total Capital A ccou n ts.................................................................................$ 1,148,029.70 Reserve for Interest, Taxes and E xpenses.............................................................. 64,720.53 Interest C ollected, Not E arned................................................................................... 43,729.48 Deposits .......................................... 25,251,283.76 $26,507,763.47 CARL L. FREDRICKSEN President CLIFFORD L. ADAMS V ice President JAMES L. SMITH Asst. C ashier and Auditor á MARK A. WILSON Vice President WILLIAM C. SCHENK Asst. V. Pres, and C ashier KINLEY W . SMITH Asst. C ashier JOHN S. HAVER Asst. C ashier STANLEY W . EVANS Asst. Cashier Live Stock National Bank 4 SIOUX CITY M EM B ER 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 O R A T IO N Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 Dawson Changes Orva S. Kundsen, president of Northwestern State Bank of Dawson, Minnesota, has announced his retire ment. Directors of the bank have elected Glen E. Blomquist to the post of president and advanced Henry Globstad from assistant cashier to cashier. Mr. Knudsen started work at the Scanlan-Habbarstad Bank, Lanesboro, Minnesota, in 1902. He left the vice presidency of that bank to become ex ecutive vice president of Northwest ern State Bank of Dawson in 1934 and was elected president of the latter bank in 1947. Glenn Blomquist started work at Northwestern State Bank, Dawson, in 1931, when he was elected assistant cashier. He was made cashier in 1934 and vice president and cashier in 1947. Chairman of the Board John M. Shrader, president of the First National Bank, Marshal, Minne sota, since 1939, has been advanced to chairmanship of the board of that bank; and Kenneth E. Sheffield, vice president of the bank since 1946, has been elected president. Mr. Shrader reached normal retire ment age in September, 1949. He was elected cashier of the First National Bank, Marshall, in 1923 and served with the bank continuously since that time. Before that he had been vice president of the Marshall State Bank from 1918 to 1921. Mr. Sheffield was born at Waverly, Minnesota, and attended Marshall schools. He commenced work at the First National Bank, Marshall, as a bookkeeper-clerk in 1918, was elected assistant cashier in 1923 and cashier in 1939. American National, Chicago Harley V. McNamara, president of the National Tea Company, Chicago, was elected a director of the Ameri can National Bank and Trust Com pany of Chicago at the annual stock holders’ meeting. He succeeds Daniel Peterkin, Jr., president of the Morton Salt Company, who retired from the board after serving since September, 1940. At the meeting of directors follow ing the stockholders’ meeting, three members of the bank’s staff were ad vanced to new positions. In the trust department, Howard J. Johnson, as sistant trust officer, was elected assist ant vice president. Gerald E. Keidel, assistant manager of the foreign de partment, was elected assistant cash ier and assistant manager. Ira Frank, Jr., of the banking department was elected assistant cashier. 67 Wessington Bank Sold The Farmers and Merchants Bank of Huron, South Dakota, has pur chased assets of the Bank of Wessing ton, it was announced last month by W. M. Griffith, president of the Farm ers and Merchants Bank. Mr. Griffith emphasized that the transaction, which is to be completed within the next 30 to 60' days, is not a consolidation, but simply a voluntary liquidation by the present owners of the bank who wish to go into other business. The Bank of Wessington has been owned and operated the past 15 years by S. P. Seiersen as president and his two sons, Carl, vice president, and Harold, cashier. When the consolidation is completed the Farmers and Merchants Bank’s deposits will be nearly $7,500,000. The Bank of Wessington’s deposits are slightly more than half a million dol lars, capital is $34,000 and loans total $385,000. The Seiersen family is retaining the Wessington Bank building, fixtures and equipment and will operate a check-cashing and bank messenger service in that community. On Vacation Ray G. Stevens, president of the Citizens. Bank of Vermillion, South Dakota, is vacationing in P a l m Springs, California, and will return home about the middle of April. The Citizens Bank is now in its 35th year of operation. Leo John Lukanitsch Leo John Lukanitsch, 62, prominent Fairview, Montana, banker, died sud denly last month. Born in Lake Henry, Minnesota, he was reared in New York City. Later the family moved to St. Cloud, Minnesota, where they lived briefly before locating in Sisseton, South Da kota. There he started the banking career which he was to pursue throughout his entire life. In the Citizens National Bank of that city he rose to an executive capacity and remained there until 1925. Later he was an officer of the Fed eral Land Bank of Omaha, Nebraska, in charge of collections in the states of Iowa, Nebraska, South Dakota and Wyoming. He continued his banking connections in Hartington, Nebraska, and Madison, South Dakota. He organized the Fairview Bank in Fairview, Montanta, which opened December 6, 1941. Under his super vision the bank has enjoyed a steady and continuous growth. Bank Debits Down South Dakota bank debits were down 5 per cent in November. A similar drop also was shown for the January-November period. The monthly report of the Ninth Federal Reserve District showed South Dakota debits for November at $188,226,000, compared with $198,311,000 for that month in 1948. For the 11 month period, debits ran $2,030,719,000, com pared to $2,144,494,000 in 1948. Two major South Dakota cities, how ever, showed increases for the 11 months. Pierre’s debits ran 106 per cent of last year, while Lead’s debits were 148 per cent, or up 48 per cent. George A. Starring George A. Starring, 67, executive head of the Greater South Dakota Association and former secretary of the South Dakota Bankers Association, died last month from a general cancer condition. Mr. Starring had been ill for about two months. Mr. Starring was born in Princeton, Illinois, on July 13, 1882, but moved to South Dakota with his parents at an early age to Beadle county. After receiving his elementary education there he attended Huron College, re ceiving his B.A. in 1907, then took fur ther study at Chicago University. After a number of years in educa tional work he became secretary of the South Dakota Farm Bureau Federa tion in 1923, and in 1925 joined the South Dakota Bankers Association, holding this position until 1936 when he was called upon to help organize the Greater South Dakota Association. He was succeeded in his South Dakota Bankers Association post by his son, George M. Starring, who resigned from that post two years ago. Mr. Starring’s work with the GSDA has been outstanding, bringing him recognition from all parts of the state for his interest in all types of develop ment of South Dakota agriculture and industry. In 1947 he was given the first Distinguished Service Award now given annually by the University of South Dakota for the state resident doing the most outstanding job in the field of commerce. In addition to his son, George M., he is survived by his widow and one daughter, Mrs. Henry Kinser, Chicago. Changes Positions William Schmagel, who managed the insurance department at the First National Bank of Lemmon, South Da kota, for two years, has resigned to accept a similar situation with the Bank of Lemmon as assistant cashier. S io u x F u lls N o tts PARSONS of the Federal I Reserve Bank in Minneapolis spoke to the Rotary club on business and agricultural conditions in the north west. * * * r-R ANK Sioux Falls Elks lodge No. 262 took over the advance gift drive of the March of Dimes. John McQuillen, vice president and trust officer of the NorthwestSecurity National Bank, was named co-chairman of the ad vance gift campaign for the benefit of polio victims. * * * O. A. Bray, assistant cashier of Northwest Security National Bank, was installed as secretary of Sioux Falls chapter No. 2, Royal Arch Masons, and as treasurer of Minneha ha lodge No. 5, A. F. & A. M. THE NATIONAL BANK OF SOUTH DAKOTA Huron Member Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S io u x Falls Vermillion Affiliated xvith FIRST BANK STOCK CORPORATION Nort hwest ern Banker, January, 1950 68 South Dakota News F. J. Cinkle, cashier and vice presi dent of the National Bank of South Dakota, was re-elected treasurer of the Sioux Empire Fair association. Tony Westra, agricultural and live stock representative of the Northwest Security National Bank, was named to the executive committee of the fair organization. At the annual stock holders’ meeting Mr. Cinkle reported a net gain from operations of $12,901.50 for the past fiscal year. * * * Tom S. Harkison, president of the National Bank of South Dakota, pre sented certificates for each member of three winning area teams in the 1949 soil and moisture contest here. was the fourth annual event. * * * Counterfeit $10 bills made their ap pearance in local business places, and police officers, bank officials and mer chants were alert to a rumor that spurious $20 notes might also be passed here. A dozen or so of the fake tens came to the notice of W . E. Perrenoud, cashier of the First National Bank & Trust Company and secretary of the Sioux Falls Clearing House association. Four of the bills showed up in one shipment of tens from here to the Federal Reserve Bank in Min neapolis. STATEMENT OF CONDITION N O R T H W EST SECU RITY N A TIO N A L BANK of Sioux Falls, South Dakota South Dakota’s Leading Hank RESOURCES Cash on Hand, in Federal Reserve Bank, and Due from Banks and Bankers.......................................... $11,579,136.71 U. S. Government Obligations............................................... 19,256,063.97 State and Municipal Bonds.................................................... 990,498.43 Other Bonds and Securities................................................... 1,741,688.05 $33.567,387.16 Stock in Federal Reserve Bank in Minneapolis.............................................. 45,000.00 Overdrafts .......................................................................................................... 2,730.36 Loans and Discounts ........................................... 10,949,837.15 Commodity Credit Corp., Grain Loans............................................................. 997,177.36 Banking Houses ................................................................................................ 218,386.72 Includes Banking Houses at Sioux Falls, Brookings, Cham berlain, Dell Rapids, G regory, Huron and M adison, all clear of encum brance. Interest Earned but Not Collected..................................................................... Customers' Liability on Letters of Credit............... 174,786.49 30,088.00 TOTAL...................................................................................................... $45,985,393.24 LI ABI LI TI ES Capital Stock— Common ...................................................... $ 500,000.00 Surplus .................................................................................... 1,000,000.00 Undivided Profits and General Reserves............................ 464,917.96 Reserve for Interest, Taxes, and Other Expenses.......................................... Interest Collected but Not Earned................... A........................................... Deposits: Time ................................................................................ 7,607,635.17 Demand ........................................................................... 35,308,289.30 U. S. War Loan............................................................... 829.331.00 _ , „ Letters of Credit.............................................................................................. $ 1,964,917.96 149,361.22 95,770 59 $43.745,255.47 30,088.00 BRANCHES AT BROOKINGS, CHAMBERLAIN, DELL RAPIDS, Affiliated with Northwest Bancorporation Member Federal Deposit Insurance Corporation Northwestern Banker, January, 1950 Ralph M. Watson, president of the Northwest Security National Bank, announced the resignation of Curtis A. L/ovre as vice president and man ager of the Brookings branch of that institution. Succeeding him in the Brookings bank is Orin Samstad, for mer vice president and cashier of the Union State Bank of Montevideo, Minnesota. Mr. Samstad is also a former Watertown, South Dakota, and Fergus Falls, Minnesota, banker. * * * Sioux Falls bank clearings showed a 6 per cent increase in November, 1949 over those for November, 1948. The figures were $24,677,007 for No vember, 1949 and $23,227,315 for No vember, 1948. Local business in gen eral continued to show gains. * * * W. C. Duffy, president of the Union Savings Bank, became a new vice president of the Sioux council, Boy Scouts of America, at the scouters’ annual meeting here. He presented the Silver Beaver award to three men with outstanding records of service to boyhood. Mr. Duffy, himself, is a past recipient of this honor. * * * R. T. Foster, vice president and gen eral manager of the John Morrell & Company plant here, was host to 32 bankers in the Sioux Falls area at an all day inspection tour of the Morrell establishment. All departments and offices were visited and processes ex plained to the visitors. They were also guests at a noon luncheon. =t= TOTAL...................................................................................................... $45.985,393.24 GREGORY, HURON, MADISON Mr. Perrenoud was in a group of members of the Split Rock Lake as sociation escorting Gov. George T. Mickelson on an inspection tour to site of the proposed Split Rock Lake east of the city. * * * Ross Hunt, assistant vice president of the National Bank of South Dakota, retired as president of the Exchange club when succeeded by Tom Barron. He was elected to the board of direc tors. * * * December 31, 1949 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis This * * The agricultural finance class from South Dakota State College spent a day at the Northwest Security Na tional Bank studying the relationship of banking to farming. * * * Tony Westra, Northwest Security National’s agricultural and livestock representative, was a speaker on a Rotary club panel, reviewing the progress of agriculture during the past 10 years.—The End. 69 S o rtii D akota XE W S J. F. McENTEE President New England Increase Capital Stock Stockholders of the Drayton State Bank, Drayton, North Dakota, last month voted to increase capital stock from $25,000 to $50,000. Surplus is $50,000, undivided profits total more than $25,000 and total capital structure now is in excess of $125,000, with to tal assets of more than $1,600,000. A previous capital increase in 1944 had boosted that figure from $15,000 to $25,000. Bank Debits Lower North Dakota’s bank debits were about $8,000,000 lower for November, 1949, than for the same month in 1948. A Federal Reserve Bank bulletin showed bank debits for 13 North Da kota cities during November, 1949, totaled $205,000,000 as compared with $213,944,000 a year previous. Bank debits for all of 1949 up through November also fell behind 1948 the bulletin showed. The total for 1949 was $2,118,308,000. In 1948 the total was $2,113,898,000’. Two Bankers Elected Murray A. Baldwin, manager of the Dakota Clinic, was elected president of the Fargo Chamber of Commerce by the board of directors last month. N. D. Black, Jr., publisher of the Fargo Forum, and Adrian McClellan, vice president of the Merchants Na tional Bank and Trust Company, were renamed first and second vice presi dents, respectively. Fred A. Irish, chairman of the board of the First National Bank and Trust Company, was renamed Chamber treasurer. Blanding Fisher Blanding Fisher, 67, president of the Ramsey County National Bank in Devil’s Lake, North Dakota, died last month following a heart attack. Mr. Fisher had been in his usual health and was at his desk in the bank when he suffered the first attack. Blanding Fisher was born in Wahpeton, North Dakota, on September 16, 1882. His father, Charles N. Fisher, was the founder of the Ramsey County National Bank. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C. C. WATTAM Secretary Fargo Mr. Fisher attended grade school and high school in Devil’s Lake and attended Carleton College from 1899 to 1901. He transferred to the Uni versity of Minnesota from which he graduated in 1903. Following his grad uation he became cashier of the Ram sey County National Bank, becoming president on the retirement of his father in 1918. He was never married. Mr. Fisher’s interest in banking and finance was not confined to the insti tution with which he was directly connected for 46 years. He had served as president of the North Dakota Bank ers Association in 1924-1925 and had long been a member of the advisory committee of Reconstruction Finance Corporation. His brother, S. K. Fisher, is a vice president of the Ramsey County Na tional Bank. Automotive Company and was active in the J. M. Leach Manufacturing Com pany, The Shell American Petroleum Company and The Globe American Corporation, he came to the Harris Trust and Savings Bank as vice presi dent in 1928. He was made a director of the bank in 1942 and elected execu tive vice president in 1946. In 1943 Mr. Brown was president of the Reserve City Bankers Association. He is a former president of the Indi ana Society of Chicago, he is now chairman of the finance committee of Goodwill Industries and a director of the Community Fund of Chicago. Joins Banking Department R. S. (“Dick” ) Banfield, vice presi dent of First National Bank of Minne apolis since 1945, has been trans ferred to fhe Department of Banks and Bankers as of the first of this year. Heads Harris Trust Mark A. Brown was elected presi dent of the Harris Trust and Savings Bank, Chicago, at the board of direc tors’ meeting following the annual stockholders’ meeting on January 11th. He succeeds as president, Paul S. Russell, recently deceased. Mr. Rus sell, 56, died Sunday afternoon Janu ary 8th. He had entered a hospital Christmas Eve for treatment of a respiratory ailment and in the early afternoon he had said that he was feeling greatly improved. Soon after ward a nurse found him dead in bed, apparently of a heart attack. Guy E. Reed, formerly vice presi dent, was elected executive vice presi dent. Mr. Brown was born in Fairmount, Indiana, and attended Wabash College in the class of 1911. After extensive business experience in Kokomo, Indi ana, where he organized the Kokomo P A U L S. R U S S E L L 1894-1950 Guy E. Reed came to, the bank in 1923. He is a graduate of the Uni versity of Nebraska, class 1911. He was born in Holdredge, Nebraska. After graduation he was associated with the University for several years and later was in the banking busi ness in Lincoln, Nebraska, with the First National Bank of that city. Mr. Reed was elected vice president of the Harris Trust in 1928 and made a director of the bank in 1946. He is chairman of the Chicago Crime Com mission and a trustee of the Univer sity of Nebraska Foundation. He is also a trustee of Wells College, chair man of the American Library Associa tion Endowment Trustees and a direc tor of the Chicago Association of Commerce. In 1941 he received the Distinguished Service Award from the University of Nebraska. In 1949 Mr. Reed was awarded the Chicago Merit Award by the Rotary Club of Chicago. Mr. Reed is a director of American Steel Foundries, Kawneer Company, Universal Oil Products Company and G. D. Searle Company. Northwestern Banker, January, 1950 70 ¡¡¡¡» ¡g T f i e U N IT ED N a t i o n a l U STATES W K o f O m a h a 1950 JANUARY ANKING ERVICE) Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 71 district. In addition, the district may pay off any or all of the bonds at any time with tax money. Davenport Bank Changes Succeeds Father at Ponca At the December meeting of the board of directors of the Bank of Dixon County, Ponca, Nebraska, F. R. Kingsbury was elected president to succeed his father, Clarence A. Kings bury, 87, who died several weeks ago. The elder Mr. Kingsbury had prac ticed law in Ponca for more than 55 years and had been president of the Ponca bank for 25 years. F. R. Kingsbury has been cashier and executive officer of the bank since 1920 and is also chairman of the board of directors of the American State Bank at Newcastle, where his father also had been associated for a number of years as director. F. A. Kingsbury, who has been as sistant cashier in the Bank of Dixon County since his return from service in January, 1946, was elected cashier. He is a Morningside College graduate and served three years in the Army. New Bank at Chester The State Bank of Chester, Nebras ka, commenced operations on Janu ary 3rd after receiving its charter from the state banking department last month. Capitalization of the new bank was set at $47,250. It replaces the Chester Co-operative Credit Asso ciation, now dissolved. Officers of the bank are: G. H. Navis, president; Ray Peake, vice president; G. D. Van Cleef, cashier, and Willa Van Cleef, assistant cashier. Arthur H. Wherry Arthur H. Wherry, 82, long-time resident of Pawnee City, Nebraska, died from a heart attack at his home last month. In 1927 Mr. Wherry was one of the organizers of the Citizens State Bank, served as a director, and became its president about 10 years ago, a position he held at the time of his death. Named by Governor T. H. Wake of Seward was named by Nebraska Governor Val Peterson to the State Building Commission, a newly created board for the purpose of supervising improvements to the capitol building. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Mr. Wake is president of the Jones National Bank of Seward, past presi dent of the Seward Rotary Club, Chamber of Commerce, and active in many other local organizations - and activities. Pick-Up Service In an effort to give Cozad, Nebraska, merchants more security for their over-night cash problems, the Cozad State Bank is now offering a new pick-up service for after-banking hours depositors. Cozad merchants who find them selves with an over-abundance of cash in the evening, or after banking hours, can now call the bank or W. E. Young, vice president, or Curtis Richey, as sistant cashier, and they will pick up the money and make the deposit. On Lincoln C. of C. Board Carl D. Ganz, vice president and trust officer of the National Bank of Commerce, Lincoln, Nebraska, was elected last month as one of the six new directors of the Lincoln Cham ber of Commerce. County Bankers Hosts County officials were guests of the Buffalo County Bankers Association at the dinner meeting in Kearney, Ne braska, last month. Following the dinner, the group discussed the state deposit law as it affects county deposits in Buffalo county banks. Leo Ryan, president of the asso ciation, announced that Kearney will be host to the Fifth District Bankers Association next spring, and briefly discussed the program for the con vention. Reduces Bond Interest The Nebraska City, Nebraska, school board last month accepted the offer of the Farmers Bank to reduce the in terest rate on the district’s $70,000 debt from 2 to 1.75 per cent. The bank, holder of the bonds, made the offer voluntarily and not at the request of the board. The reduction in interest means a saving of $175 per year to the school Directors of the Jennings State Bank of Davenport, Nebraska, have an nounced a change in top management. H. B. Jennings has relinquished the presidency he has held since 1930 to become vice president and chairman of the board of directors. M. M. Jennings, Sr., has moved from vice president to president and M. M. Jennings, Jr., will be cashier. Dean Wight is the assistant cashier, and Mrs. M. M. Jennings, Sr., joins the board of directors. The bank was started in 1894 by W. H. Jennings, father of the presi dent and vicp president. H. B. Jen nings became president after his fath er’s death in 1930. New C. of C. Officer Vernon Weyrich, cashier of the Ne braska State Bank in Oshkosh, Ne braska, was elected vice president last month of the Oshkosh Chamber of Commerce. Founders Day Meeting Ten chapters of the American In stitute of Banking have already held Founders Day Meetings as part of the Institute’s fiftieth anniversary commemoration, and 35 others have definite arrangements under way for similar meetings, it was announced by Hartwell F. Taylor, president of the Institute. Mr. Taylor, who is assist ant vice president of The Bank of Virginia, Richmond, Virginia, stated that many more of these Founders Day Meetings will be held throughout the nation between January and June, 1950. The A.I.B. is the educational section of the American Bankers Asso ciation. The purpose of the Founders Days, according to Mr. Taylor, is to mark the Golden Anniversary of the A.I.B., and to honor the founders and past presidents of individual chapters along with others who contributed to their development. Dividend The board of directors of the First National Bank in St. Louis has de clared a dividend of $1.10 per share, 60 cents of which is an extra dividend paid December 21st to stockholders of record December 14th, and 50 cents payable February 28, 1950, to stock holders of record February 20th. The directors also voted additional com pensation for employes in service prior to January 1, 1949, equivalent to onehalf month’s salary on earnings up to $4,000. Adjusted amounts will be paid those in service since January 1st. Nort hwest ern Banker, January, 1950 72 N ebraska N e w s Lake City, Utah and Sioux City, Iowa. He is a director and vice president of the Nebraska Savings and Loan Asso ciation, director of the First National Bank of Beatrice, Nebraska, director M ELVIN BEKINS was elected to the board of directors of The United States National Bank of Omaha at the regular December meeting. Mr. Bekins is president of Bekins Van and Storage Company of Omaha and is associated as an officer and di rector of Bekins’ companies in Salt OVER SEVENTY-EIGHT YEARS OF BANKING EXPERIENCE Statement of Condition The First National Bank of Lincoln LINCOLN, NEBRASKA (ORGANIZED 1871) At the Close of Business December 31, 1949 ASSETS Cash and Due from Banks............................................... $13,316,994.80 U. S. Government Bonds................................................... 29,242,520.35 Other Bonds and Securities............................................. 1,833,487.35 Federal Reserve Bank Stock........................................... 82,200.00 Loans ................................................................................. 7,174,741.41 Interest Earned, Not Due................................................... 165,146.28 Bank Building and Equipment......................................... 488,470.76 Total Assets.........................................................$52,303,560.95 LIABILITIES Capital S to ck ........................................... $1,500,000.00 Surplus ..................................................... 1,260,000.00 Undivided Profits ................................... 596,099.82 3,356,099.82 M E L V I N B E K IN S Elected director of the U nited States National Bank of Omaha and member of the executive com mittee of the United Benefit Life In surance Company and a director of the Omaha Grain Terminal Company. Mr. Bekins won his letter at the University of Nebraska on the basket ball team and was captain of the Uni versity baseball team in 1921. He served in World War I in the Quarter master Corps, in World War II in civilian capacities and has been on the Army Advisory Committee for the United States Army since 1947. * * Discount U nearned........................................................... 56,774.06 Reserve for Taxes, Etc...................................................... 123,578.25 Deposits ............................................................................ 48,767,108.82 Total Liabilities $52,303,560.95 OFFICERS GEORGE W . HOLMES . . . . President BURNHAM YATES E. U. GUENZEL . . . . . . . . Vice-Pres. and Cashier R- R B E C K E R Vice-President Vice-President .CLIIJ ORD G 'WESTON • Vice-President LYLE p STONEMAN . . Vice-President G. H. C R A N E A sst. Cashier Vice-President R. A. GESSNER . . . . . HOWARD FREEMAN . Exec. Vice-President A. C. GLANDT . P. R. E A S T E R D A Y ......................Chairman M em ber Federal Deposit Insurance Corporation Asst. Cashier * * Among six Nebraskans elected trus tees of the Midwest Research Institute of Kansas City, Missouri, are W. Dale Clark, chairman of the board of the Omaha National Bank, and .1. L. Welsh of the Butler-Welsh Grain Company of Omaha. Their terms will expire in December, 1952. * * The majority of bank customers to day are women, according to Miss Anna T. Olsson, savings department manager of the Live Stock National Bank of Omaha and associated with that bank for 31 years. She has seen a decided change in the trend since the days when “pop man aged mom and also the bank book.” Now, women do most of the banking YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVENPORT & CO. OM AHA Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nebraska and write most of the checks, she has discovered. “There has been a big change since the war.” she stated. “Women proved they can hold down man-sized jobs and earn their own living.” * * Omaha National Bank, has been re elected president of the Knights of Ak-Sar-Ben, Omaha civic organization which is known throughout the world. James P. Bee, former Omaha banker, was named vice president, and F. F. Pettis, department store executive and also a former Omaha banker, was named secretary-treasurer. Mr. Millard and Mr. Pettis also were re-elected to four-year terms on the Board of Governors of Ak-Sar-Ben. The Ak-Sar-Ben Bridge Corporation also named Mr. Pettis secretary-treas urer. W. T). Bane is president. * Horne. * W. B. Millard, Jr., president of the * bank’s capital stock. About 34,300 farmers and stockmen in the four states ultimately will share the divi dend, which totaled exactly $1,569,106, according to President E. N. Van * Creighton * * * * * * * The Federal Land Bank of Omaha has paid a 15 per cent dividend amounting to more than $1,500,000 to 198 cooperative National Farm Loan Associations in Nebraska, Iowa, South Dakota and Wyoming, which own the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis at CONDENSED STATEMENT A t the Close o f Business December 31, 1949 R E SO U R C E S Cash and Due from B an k s........................................................................... $22,422,441.83 U . S. Government and other B onds........................................................ 8,717,381.76 Commodity Credit Corporation L o an s.................. 14,292,440.75 $45,432,264.34 Loans and Discounts .................................................................................................................. 20,488,683.56 Stock in Federal Reserve B a n k ............................................................................................... 75,000.00 $65,995,947.90 L IA B IL IT IE S Capital ................................................................................................................... $ 1,250,000.00 Surplus .................................................................................................................. 1,250,000.00 Undivided Profits ............................................................................................. 1,453,437.29 Reserve for C ontingencies................................................................................ 400,000.00 Reserve for Taxes, etc.................................................................................................................. Deposits .............................................................................................................................................. 4,353,437.29 230,000.00 61,412,510.61 $65,995,947.90 the In t e r -S ta te Na t io n a l B a n k LIVESTOCK EXCHANGE BLDG. ¿Sp N . I6TH. AND GENESEE STS. Member Federal Deposit Insurance Corporation * Six employes, including two vice presidents, were made members of the 25-Year Club of the First National Bank of Omaha recently. The new members, bringing the roster to 33, are Vice Presidents J. T. Stewart, III, and O. H. Elliott; Tellers Paul H. Burke and Carl Ericksen; Catherine Davis of the transit depart ment, and Robert W. Davis of the real estate division. “Oldest” employe of the bank is its board chairman, T. Tj. Davis, who has been with the institution 45 years, ac cording to President Fred W . Thomas. Mr. Thomas presented the six new members of the club with watches at a luncheon at the Omaha Athletic Club. * alumni, their annual homecoming gathering recently in Omaha, were warned by Daniel Monen, retiring president of the Alumni Association, that Govern ment support of schools has “many rough edges and hidden hooks.” Mr. Monen is vice president of the Omaha In the sixty years since 1890 there have been m any that were marked by financial and com mercial uneasiness. There were momentous decisions to be made, decisions that could only be based on vigilance, thoughtfulness and cour age. Down through the years the officers and directors of the Inter-State have employed these qualities to protect and benefit our cor respondents and depositors. They are your assurance that a correspondent banking con nection at the Inter-State stands for safety, security and whole-hearted cooperation. * Santa’s mail box for 28 children at the Creche Home in Omaha was at the The Omaha National Bank again. bank’s 258 employes saw that the Creche youngsters did not go without gifts after the children wrote their “lists.” Nearly everybody wanted xylophones and the girls also were partial to bride dolls. Christmas came December 22nd for children at the home. * 73 Vigilance, Thoughtfulness and Courage T. Bruce Robb, manager of the de partment of research and statistics for the Federal Reserve Bank of Kansas City, spoke before the Omaha Down town Kiwanis Club at a luncheon re cently at Hotel Fontenelle. His topic was “ Let’s Look at the Current Busi ness Situation.” * University New s STATEMENT OF CONDITION DECEMBER 31, 1949 RESOURCES Loans and Discounts___________$12,082,639.72 Overdrafts .............. 38.21 Banking House ....................... 85,000.00 U. S. Bonds............................. 12,084,000.00 Other Bonds.......................... 25,000.00 W arran ts................................... 116,442.36 War Savings Stamps......... ...... 300.00 Stock Federal Reserve Bank. 37,500.00 Other Assets ................. 19,804.65 Cash and Sight Exchange____ 6,988.017.77 Due from Federal Reserve B ank....................................... 6.279,986.81 LIABILITIES Capital ................ $600,000.00 Surplus __________ 700,000.00 R ese rv es_________ 550,000.00 Undivided Profits 165,238.78 Reserve for Dividends........... Deposits _____ $34,981,227.59 War Loan Deposits . . 686,263.15 2,015,238.78 36,000.00 35,667,490.74 $37,718,729.52 $37,718,729.52 NATIONAL BANK of COMMERCE LIN C O LN , N EB R A SK A 47 years at 13th and O St reet s Member Federal Deposit Insurance Corporation Nort hwest ern Banker, January, 1950 74 Nebraska News National Bank, in charge of the trust department. Speaking at the homecoming ban quet at the Fontanelle Hotel, Mr. Monen urged alumni to support Creighton to keep the university a private school. * * In addition to capital and surplus of $27,500,000, the Republic National Bank will have undivided profits of $2,500,000, giving it a capital, surplus * Mr. and Mrs. John F. Davis were guests on their wedding anniversary recently at a dinner given by Mr. Davis parents, Mr. and Mrs. T. L. Davis. John Davis is vice president of the First National Bank of Omaha, of which his father is board chairman. Mr. and Mrs. T. L. Davis also enter tained at a dinner recently to honor their son-in-law and daughter, Mr. and Mrs. John 1/auritzen, on their tenth wedding anniversary. Mr. Lauritzen is a vice president of the bank. Profit-Sharing Plan To Increase Capital And Surplus The importance of Dallas as a ma jor financial center, and the Republic National Bank as a leading bank in the Nation was further enhanced last month when plans were proposed for increasing the capital and surplus of the Republic National Bank to $27,500,000, which will result in the bank having capital, surplus and undivided profits of $30,000,000. FRED F. F L O R E N C E President Republic N ational Bank D allas and undivided profits Further, the bank will for contingencies of stockholders will have of $30,000,000. have a reserve $2,500,000 and full ownership The First National Bank St. Joseph, Missouri STATEMENT OF of the capital of the Republic National Company, amounting to $3,000,000. In making the announcement of the proposed capital increase, Fred F. Florence, president of the Republic National Bank, stated that the unusu ally strong capital structure will en able the bank to maintain its favorable position in the handling of the grow ing volume of business in the south west. Mr. Florence also pointed out that such a large capital structure will add strength to the basic foundation of banking and business throughout the entire southwest, and will be an important contribution toward the maintenance of Dallas as a financial center. CONDITION at the close of business December 31, 1949 RESOURCES Cash and Due from Federal Reserve and Other Banks.......................... $ 8,554,529.72 U. S. Government Obligations..................................................................... 16.505,654.86 Other Bonds and Securities......................................................................... 1,876,110.15 Federal Reserve Bank Stock....................................................................... 30,000.00 Loans and Discounts.................................................................................. 3.950.961.95 Bank Building, Fixtures and Other Real Estate.......................................... 1.00 Interest Earned Uncollected and Other Assets.......................................... 91,274.14 $31.008,531.82 LI ABI LI TI ES Capital ......................................................................................................... $ 500.000.00 Surplus ......................................................................................................... 500.000.00 Undivided Profits ........................................................................................ 351,112.96 Reserve for Contingencies.......................................................................... 68,971.18 Reserves for Taxes, Dividends. Etc............................................................ 64,923.15 DeP°sits ........................................................................................................ 29,523,524.53 Total....................................................................................................$31.008,531.82 MEMBER OF FEDERAL DEPOSIT INSURANCE CORPORATION A new profit-sharing bonus plan for employes of the Bank of America, a plan which combines all of the bank’s benefit plans in one, has been ap proved by the board of directors, ac cording to L. M. Giannini, president. It will be known as the Bankamerican Family Estate plan and became effec tive January 1, 1950. A percentage of the bank’s profits before taxes is paid into a fund which will provide for the costs of all bankprovided benefit funds, such as group insurance, hospital and surgical bene fits and sickness compensation, and for most of the premiums on retire ment plan benefits. By eliminating pay check deductions for such benefits the plan will result immediately in higher pay checks for all employes, regardless of length of service. For employes with more than five years of service the remainder of the fund will be devoted to creating individual employe income-producing estates to provide substantial additional income after retirement. This plan is not a non-contributory one, Mr. Giannini pointed out, and is therefore of interest in today’s discus sion of pension plans. It is directly related to the profit-producing efforts of staff members. If such efforts fail to produce sufficient funds, he said, the employes will be called upon to resume paying directly for their bene fits. On the other hand, any increased profits they produce are shared, thus providing employes with incentive for extra effort in building the institution and their individual estates. BANKS Bought and Sold Cwnfldantlally and with ba^miing dlanity BANK EMPLOYEES PLACED 44 Y e a rs S a tis fa c to ry S e rv ice CHARLES E. WALTERS CO. OMAHA. NKBRAiKA Nort hwest ern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 Nebraska 000 since June, and time deposits of individuals, partnerships and corpora tions of $18,936,000,000, a decrease of $73,000,000. Deposits of the United States government of $2,022,000,000 were $574,000,000 more than in June; deposits of states and political subdi visions of $5,183,000,000 showed a de crease of $216,000,000, and deposits of banks of $7,717,000,000 were $771,000,000 more than in June. Postal savings deposits were nearly $4,000,000 and certified and cashiers’ checks were $1,105,000.000. Net loans and discounts on Novem ber 1, 1949, were $23,439,000,000, which was $861,000,000, or nearly 4 per cent more than the amount reported for June 30th, but $380,000,000 less than at the end of 1948. The percentage of loans and discounts to total assets in November was 26.50, in comparison with about the same ratio in June, and 27.03 in December, 1948. American National Frank 0. Prior, vice president and director of the Standard Oil Company (Ind.), was elected a director of the American National Bank and Trust Company, Chicago, a special meeting of the bank’s board of directors. Mr. Prior was born at Escondido, California, in 1895. He was graduated from Stanford University in 1918. He served in the U. S. Army during World War I and began his oil industry ca reer with the Midwest Refining Com pany, Casper, Wyoming, in 1919. In 1928 he was appointed chief engi neer and general operating superin tendent of the Dixie Oil Company, Inc., Shreveport, Louisiana. He was elected director and vice president in charge of operations in 1929 and president of the company in 1930. Mr. Prior be came the first president of Standolind Oil and Gas Company in Decem ber, 1930. He has been vice president, director and a member of the execu tive committee of Standard Oil Com pany (Ind.) since January, 1945. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Cash of $1,069,000,000, reserves with Federal Reserve Banks of $10,609,000,000 and balances with other banks of $7,999,000,000, a total of $19,677,000,000, decreased nearly $700,000,000 since June. The CONTINENTAL NATIONAL BAMOFLINCOLN The total assets of national banks on November 1, 1949, amounted to more than $88,000,000,000 it was an nounced by Comptroller of the Cur rency Preston Delano. The returns covered the 4,988 active national banks in the United States and possessions. The assets were $3,350,000,000 over the amount reported by the 4,993 national banks as of June 30, 1949, the date of the previous call, and $300,000,000 more than reported by the 4,997 active banks as of December 31, 1948. The deposits of the banks on Novem ber 1st were more than $81,000,000,000, an increase of nearly $3,000,000,000 since June, but a decrease of $265,000,000 since December last. Included in the recent deposit figures are de mand deposits of individuals, partner ships and corporations of $46,416,000,000, which increased nearly $2,000,000,- B The banks held obligations of the United States government, direct and guaranteed, of $38,332,000,000, which is an increase of $2,735,000,000, or more than TVz per cent since June this year, and an increase of $3,352,000,000, or nearly 10 per cent, since last Decem ber. These investments were 43.34 per cent of total assets in November, compared to 41.83 per cent in June and 39.69 per cent in December last year. Obligations of states and politi cal subdivisions held in November amounted to $3,719,000,000, an increase of $308,000,000 since June, and other securities held were $2,193,000,000, an increase of $71,000,000. STATEMENT OF CONDITION National Bank Assets Í 75 News LINCOLN, NEBRASKA At the Close of Business December 31, 1949 RESOURCES Cash and Due from Banks....................................................................$ 8,928,315.96 U. S. Government Bonds and Certificates.......................................... 16,951,736.87 Municipal Bonds and Warrants.......................................................... 567,465.17 Other Bonds ......................................................................................... 441,432.08 Loans and Discounts (Including Overdrafts)..................................... 5,441,652.76 Stock in Federal Reserve Bank.......................................................... 36,000.00 Furniture and Fixtures and Safe Deposit Vaults............................... 47,708.66 Interest Earned But Not Collected...................................................... 118,227.00 Customer Liability Under Letter of Credit......................................... 10,000.00 Total..............................................................................................$32,542,538.50 LI ABI LI TI ES Capital Stock ......................................................................................... $ 600,000.00 Surplus ................................................................................................... 600,000.00 Undivided Profits and Reserves.......................................................... 302,082.65 Interest Collected But Not Earned...................................................... 35,873.71 Reserved for Taxes, Interest and Expenses....................................... 23,231.18 Letters of Credit Outstanding.............................................................. 10,000.00 Deposits ................................................................................................. 30,971,350.96 Total.............................................................................................$32,542,538.50 M em ber of Federal Deposit Insurance Corporation i r s t N a tio n a l O m aha a n k o í O ld est N a t i o n a l B a n k. F r o m O m a h a Member Federal H est I p-.-u' a tire O ’^pnrai tuw Nort hwest ern Banker, January, 1950 76 OVER 40 YEARS OF SERVICE • STATEM EN T OF CONDITION OVER 400 CORRESPONDENT BANKERS IN THE PLAI NS AND ROCKY MO U N T A I N AREA At Close of Business December 31, 1949 GREAT OFFICERS RESOURCES and DIRECTORS H EN R Y C. K A R P F, P resid en t W A D E R. M ARTIN , V ic e P resid en t R. H. KR O EG ER , V ic e P resid en t PA U L H A N SEN , V ic e P resid en t W. D EA N V O GEL, V ic e P resid en t H. H. ECH TERM EYER, V ic e P resid en t A LBE R T R. STELLIN G V ic e P resid en t a n d T rust O fficer JOHN M. SH O N SEY V ic e P resid en t C. G .. P EA R SO N , C a sh ie r A . S. C H A V ES, C om ptroller L. V. PU LLIA M , A ss is ta n t C a sh ie r ELM ER C. O LSO N, A ss is ta n t C a sh ie r LOUIS B A R T A , A s s 't C a s h ie r a n d A s s 't T rust O fficer M A R V IN R. W ERVE, A ss is ta n t C a sh ie r V ICTO R W. N IELSEN , A ss is ta n t C a sh ie r M A R SH A L L C. DILLON, A ss is ta n t C a sh ie r LESTER E. SO U BA, A u d ito r H. B. B ERGQ U IST, C o a l a n d G ra in L. S. BURK, C h ic a g o JA M E S J. FIT ZG ER A LD , P resid en t C o m m ercial S a v in g s & L o an A sso c ia tio n JOHN R. JIRDO N, L ivesto ck a n d G ra in , M orrill, N e b ra sk a LEO T. M URPH Y, V ic e P resid en t A llie d M ills, Inc. JA M E S L. PA X TO N , JR. P resid en t P axto n -M itchell C o m p a n y H ERM A N K. SC H A FE R , R etired V. J. SKUTT, P resid en t M utu al B enefit H ealth & A ccid en t A sso c ia tio n J. L. W ELSH, B utler-W elsh G ra in C o m p a n y Loans and Discounts......................................................... $21,394,260.08 C .C .C . Loans..................................................................... 2,410,351.87 Municipal and Other Marketable Securities............. 2,372,194.91 Stock in Federal Reserve Bank....................................... 60,000.00 Banking House and Fixtures........................ 1.00 Other Real Estate............................................................... None Interest Accrued on Government Securities, etc........ 195,350.52 U. S. Government Securities............... $15,065,145.89 Cash and Sight Exchange................... 21,752,701.38 $36,817,847.27 Total ...............................................................................$63,250,005.65 LIABILITIES Capital Stock (Common)...................................................$ 1,000,000.00 Surplus (Earned)............................................................... 1,000,000.00 Undivided Profits ............................................................. 1,005,636.19 Reserve for Taxes, Interest, etc...................................... 273,418.60 Unearned Discount........................................................... 101,316.31 Deposits ............................................................................. 59,859,634.55 Dividend Payable December 31, 1949............................ 10,000.00 T otal.................................................................................$63,250,005.65 LIVE ST CK*HBANK 0 O M A H A , T H E B A N K M em ber of Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis OF F ed eral N E B R A S K A F R I E N D L Y R eserve and F ed eral 2 4 - H O U R D e p o s it In su ra n c e S E R V I C E C o r p o r a tio n * Increase Surplus Fund The board of directors of the Citi zens First National Bank in Storm Lake, Iowa, has increased the surplus fund of that institution from $100,000 to $175,000, according to a statement by H. W. Schaller, president of the bank. Total capital funds exceed $500,000. Deposits of the Citizens First Na tional Bank total $6,500,000, President Schaller pointed out. Io w a V M I fJt VW WF S J. F. KENNEDY President New Hampton Group Meeting Dates The Iowa Bankers Association’s 1950 group meetings will get under way next month when Groups One and Eleven meet in Sioux City and Burlington. Another heavy registration is ex pected at Sioux City when Group One meets on Monday, February 13th. The usual meeting date is February 12th, but that date falls on Sunday this year. Attendance last year was 647. The Martin Hotel will be headquar ters. Group Eleven’s meeting will be held on Washington’s birthday, as usual, with headquarters again being at the Burlington Hotel. Frank C. Crone, president. National Bank of Washing ton, is chairman of the group, and C. L. Bosier, executive vice president, Burlington Bank and Trust Company, is secretary. Mr. Crone has appointed H. Lee Huston, vice president, Colum bus Junction State Bank, as chairman of the program committee. The eve ning preceding the annual meeting the customary dinner program will also be given. The meeting date is on Wednesday, February 22nd. With Burlington Bank R. J. Nachazel was recently elected assistant cashier of the Farmers & Merchants Savings Bank, Burlington, Iowa. Prior to assuming this position he spent three years as an assistant examiner with the Federal Deposit Insurance Corporation. The change was effective last month. Reports Bank Changes The state of Iowa department of banking reports the following changes have taken place recently in the status of Iowa chartered banks: Palo Savings Bank, Palo, increased capital from $10,000 to $25,000 by stock dividend. Peoples State Bank, Missouri Valley, increased capital from $35,000 to $52,500 by stock dividend. FRANK WARNER Secretary Des Moines Ocheyedan Savings Bank, Ocheyedan, increased capital from $25,000 to $50,000 by stock dividend. State Bank of Portsmouth retired $8,000 RFC preferred stock and issued a common stock dividend for a like amount. N A T IO N A L https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK B U IL D IN G An Iowa concern whose products come to the attention of millions of people, particularly in the western half of the United States, is the Dalton Press, located at Manson, Iowa. This firm manufactures a complete line of 12-sheet, record and apron calendars, and specializes in commercial color printing and binding. The Dalton Press also handles a complete line of advertising special ties and bank leather goods. However, principally through its calendar business, the Dalton Press is familiar to banks, insurance and in vestment companies. T h e Dalton Press was established in 1891 by the late John F. Dalton, a pioneer Iowa newspaper man. In the early 1900’s, the firm began the manufacture of calendars and also included bank printing in its line. Bank printing was discontinued in 1928, when the calendars became the company’s main item of manufacture. Another interesting fact about the Dalton Press is that it has been under the same family management for 59 consecutive years. At present it is owned and managed by Joe Dalton. Located in the small town of Man3on with a population of less than 2,000, the company’s calendars go all over the world. Two of its employes have been with the firm for 25 years and Joe Dalton, the present owner, Remodeling Completed Dwain Loyd, cashier of the Climbing Hill Savings Bank, Climbing Hill, Iowa, reports the completion of that bank’s remodeling which has been under way for some time. This in cludes a new addition with basement, heating plant and all new, low type fixtures. The vault has been enlarged and new fluorescent fixtures have been installed throughout the building. Big Crowd at Open House Nearly 2,000 persons attended The Home Trust & Savings Bank’s 50th anniversary open house in Osage, Iowa, last month. On display were selected items from the world’s largest coin collection (owned by the Chase National Bank, New York City), coun terfeit bills next to real money of the same denominations, and the bank’s old documents. Thirty-nine persons showed guests through the bank, explained banking operations, and demonstrated the use of machines. Many people learned many things about just what takes place during various banking transac tions, Walter E. Sheldon, president of the bank said. G roup One und E ieren ilteetinf/$ Officers of Group One of the Iowa Bankers Association are now husy making plans for the program and entertainment for the annual meeting of Group One in Sioux City, Monday, February 13th. Headquarters, as usual, will he at the Martin Hotel. The Group Eleven meeting will again be at Hotel Burlington in Burlington. The date for this meeting will he Wednesday, February 22nd. Did you know there’s a gap in your Cash Letter protection that you could “drive a truck through?” Ask us how to bridge it without costing you a cent. F IR S T Colorful History C H IC A G O Scarborough & Company Insurance Counselors 3, I L L I N O I S STATE to Banks 2 4325 Nort hwest ern Banker, January, 1950 78 Iowa News began his career as a printer’s devil at the age of eight. Gives Youth Awards Awards to Monroe county’s “out standing’’ 4-H boy and girl were pre sented last month by J. E. King, presi dent of the Peoples National Bank, Albia, Iowa. The awards are based on 4-H achievement records, character, leadership and scholarship. Prizes given by Mr. King were a wrist watch to the boy, Alex Koffman, and a cedar chest to the girl, Phyllis Visser, both Albia High School seniors. The awards are given annually by the bank as part of the county’s annual 4-H banquet program. ★ Cedar Falls Promotions Directors of the First National Bank in Cedar Falls, Iowa, last month ad vanced Walter E. Brown from cashier to vice president, promoted Hoyt C. Messerer from assistant cashier to cashier, and elected Elizabeth Iversen an assistant cashier. Mr. Brown, also a director, has been with the bank since 1928, having been cashier of the Aredale State Bank previously. Mr. Messerer joined the First National in 1940, moving from Arlington, Iowa, where he was with the American National Bank. Mrs. Iversen has been with the bank since 1911, was head bookkeeper before her recent election as assistant cashier, ★ and has been acting as auditor for the board of directors. B. A. Gronstal B. A. Gronstal, 60, former president of the Iowa Bankers Association, died last month in Council Bluffs, Iowa. He had been ill several months. Mr. Gronstal, until November, 1949, was president of the Council Bluffs ★ Condensed Statement of Condition DECEMBER 31, 1949 Cash U. S. State, Other Stock Loans Bank Other ASSETS and Due from B a n k s............................................ $ 5,637,542.64 Government B o n d s................................................. 7,145,679.30 County and Municipal B o n d s............................. 1,179,425 76 Bonds and Securities............................................ 43,117 43 in Federal Reserve B a n k ....................................... 25,500.00 7 757 314 11 and Discounts.......................................................... Building, Furniture and Fixtures......................... 163 059 59 A s s e t s ......................................................................... 34.04o’46 $21,985,679.29 B. LI ABI LI TI ES CaPitaI ......................................................$ S u r p l u s ........................................................... Undivided Profits ........................................ Reserve for Contingencies.............................. 400,000.00 450.000.00 149,477.03 111,500.00 Total Capital A ccou n t................................................. 3 1 110 977 03 Reserve for Taxes and Interest....................................... 69 267 05 Other Liabilities.................................................................... 125 00 Deposits .............................................................................. 20,805,310.21 $21,985,679.29 % I. T. Grant, President H. V. Bull, Vice President W. L. Temple, Assistant Vice President J. R. Graning, Cashier ? NATIONAL BAN K 4 t i n E. A. Johnson, Assistant Cashier H. H. Strifert, Assistant Cashier K. J. Shannon, Assistant Cashier E. E. Snell, Assistant Cashier in SIOUX CITY MEMBER FEDERAL RESERVE SYSTEM MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION ★ Northwestern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ★ ★ A. G RONSTAL 1890-1950 Savings Bank. At that time he sold his interest to the directors of the First National Bank and the two in stitutions were merged under the name Council Bluffs Savings Bank. A native of Estherville, Mr. Gron stal began his banking career there, later going to Sprit Lake. He former ly was with the state banking depart ment, and at one time held an interest in the Security State Bank of Keokuk. At the time of his death Mr. Gron stal was a stockholder in the Carroll County State Bank, of which a son, Joseph H., is vice president. Survivors include his wife, four oth er sons and a daughter. Change in Bank Hours Two Iowa banks have announced changes in their schedule of hours open to the public. Directors of the State Savings Bank at Baxter decided to keep the bank open during the noon hour in response to many requests. Banking hours there now are 9 a. m. to 3 p. m. Mon day through Saturday. Directors of the Rolfe State Bank announce that institution will be closed each Thursday afternoon. BANKERS TRUST COMPANY STATEMENT OF CONDITION 6th and Locust, Des Moines December 31, 1949 RESOURCES Loans and D is c o u n ts ........................................ $ 1 7 ,5 2 9 ,3 6 9 .5 5 Other S e c u r i t i e s .............................................. 6 8 5 ,6 7 6 .8 0 Municipal B o n d s .............................................. 1 .8 4 8 .8 9 1 .6 6 Stock in Federal Reserve Bank 6 0 .0 0 0 .0 0 Furniture and F i x t u r e s .......................... ...... 9 0 .0 0 0 .0 0 U. S. Government Bonds $ 2 2 ,1 2 1 .6 3 8 .5 7 Cash and Exchange . . 3 8 ,5 9 6 ,1 6 5 .0 3 1 6 ,4 7 4 ,5 2 6 .4 6 Customers’ Liability on Letters o f Credit and Trade Acceptances 4 .6 1 7 .7 5 $ 5 8 ,8 1 4 ,7 2 0 .7 9 LIABILITIES $ 1.000,000.00 Capital (Com m on Stock) ..................................................... 1 .000. 000.00 Undivided P r o f i t s ................................. 1,000.000.00 Reserve for Contingencies 1, 000, 000. 00 Surplus 2 1 1 ,7 7 6 .8 6 Other R e s e r v e s ................................. 1 4 2 ,1 6 9 .1 7 Reserve for Taxes and Interest 5 4 ,4 5 6 ,1 5 7 .0 1 D e p o s i t s ..................................................... Bank’ s Liability on Letters o f Credit and Trade Acceptances 4 .6 1 7 .7 5 $ 5 8 .8 1 4 ,7 2 0 .7 9 DIRECTORS OFFICERS PA U L BEER J. W . P r e sid e n t, T h e F ly n n D a iry C o. T H O S . A . B U R C H A M , M. D. R a d io lo g ist P resid en t C. W . M E S M E R W. V ic e H UBBELL C h a ir m a n of N a tio n a l th e B o a rd B y -P r o d u c t s , V ic e s. f V ic e In c. T r u s t O ff i c e r M c G in n P ., M e r e d ith H o te ls P u b lish in g C o. V ic e V ic e P r e sid e n t A. F. E R IC K S O N C o. A ssista n t S. C. P ID G E O N 3. P resid en t P resid en t, A ssista n t A tto rn ey E s ta te and In v es tm e n ts C a sh ie r R. K. P O P P L E A ssista n t R. R. R O L L IN S JO SE PH C a sh ie r M. N . B A IR D C ab C o. W I L L IA M F. R IL E Y R ea l C a sh ie r B. M O N A H A N A ssista n t REEL Y e llo w P r e sid e n t G. A . M O E C K L Y C o. G r e e n C o lo n ia l F u r n a c e RUSSELL T r u s t O ffic e r W M . E L L IS O N S H I R L E Y P E R C IV A L P r e s ., C a sh ie r P r e sid e n t V ic e P r e s id e n t & E. T . M E R E D IT H , JR. V. & F. S. L O C K W O O D . M cG i n n T a ngney P r e sid e n t L. N E V I N L E E F. S. L O C K W O O D V ic e P r e sid e n t & P resid en t F. C. A T K IN S E. J. L IN D H A R T P ., B oard F. W . H U B B E L L 3. V. th e S. C. P ID G E O N P r e s ., E q u ita b le L i f e I n s . C o . o f Io w a P r e s ., H UBBELL C h a ir m a n o f C a sh ie r S. G. B A R N A R D A sst. S ecy. & T ru st O ffic e r F . R O S E N F IE L D C h a irm a n o f B o a r d , Y o u n k e r B r o s ., I n c . J O H N D. S H U L E R P r e s id e n t , S h u le r C o a l C o . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Fed. Dep. Ins. Corp. Member Fed. Reserve System Northwestern Banker, January, 1950 80 Io w a News With Early Savings Bank Marvin Hansen has been elected as sistant cashier of the Early Savings Bank, Early, Iowa, succeeding Paul L. Dick, who resigned to accept an other position last month. He had been with the Early bank for 15 years. Mr. Hansen has been Sac county as sessor for the past two years. Four County Meeting Bankers from Union, Ringgold, Tay lor and Adams counties were enter tained last month as guests of the First State Bank of Diagonal, Iowa, at a dinner and meeting. Forty-seven persons, representing all but two of the 16 banks and six branch banks of the four counties, attended the dinner and program, during which a fourcounty association of bankers was discussed but no action was taken. Resigns at Tingley E. H. Kyle, cashier of the Tingley State Savings Bank, Tingley, Iowa, has resigned that position and will take up his new duties as cashier of a Sac City bank February 1st. Announces Bank Move Claus Loof, president of the Peoples Trust and Savings Bank, Grand Junc tion, Iowa, announces that title to another building across the street from the present bank site has been ac quired and the bank will be moved to its new offices about September 1st, provided remodeling is completed by that date. This operation will include a new front, new vaults, fixtures and safe deposit boxes. Moves to Newton Paul Craven, formerly assistant cashier of the Monroe State Bank at Monroe, Iowa, has joined the Newton National Bank, according to O. L. Karsten. president ofi the Newton bank. Mr. Craven had been with the Monroe bank for 13 years. Fred Henderson h i in a rmisi OTTUMWA, J u« IOWA Member of Federal Reserme System Statement of Condition December 31, 1919 ASSETS Cash on hand and on deposit with banks. .S3,397,466.22 United States Government Securities............ 4,262,696.57 United States Agency Bonds........................... 370,000.00 Municipal Bonds ............................................. 1,929,389.61 Other Bonds and Securities........................... 233,795.30 $10,193,347.70 Loans and Discounts............ Union Bank Building.............. Furniture and Fixtures............ Federal Reserve Bank Stock. Other Assets ....................... 5,303,842.96 86,500.00 26,589.38 30,000.00 3,057.96 $15,643,338.00 LI ABI LI TI ES Capital .............................................................. $ 300,000.00 Surplus .............................................................. 700,000.00 Undivided Profits ............................................. 253,506.94 $ 1,253,506.94 Dividend Payable January 3, 1950. Deposits ............................................. 21 ,000.00 14,368,831.06 $15,643,338.00 Fred Henderson, 72, a director of the First National Bank in Lenox, Iowa, since 1934, died last month at his farm home near Lenox. County Bankers Elect J. Lawrence Henss, assistant cash ier of the Wayland State Bank, Wayland, Iowa, was elected president re cently of the Washington-Louisa Coun ty Bankers Association in Wellman. At the Lyon County Bankers Asso ciation meeting last month, the newly elected officers were: President, John J. Porter, executive vice president and cashier, Lyon County State Bank, Rock Rapids; vice president, John Kruse, Little Rock office of Rock Rap ids State Bank, and secretary-treasur er, Warren Anderson, manager of the Doon office of Valley State Bank of Rock Valley. C. H. Budolfson, assistant cashier of the College Savings Bank at Ames,, was elected president of the Story County Association’s meeting in Ne vada. All but one bank in the county were represented. Other officers for 1950 include vice president, C. W. Yeager, manager of the Colo office of the State Bank and Trust Company of Nevada, and secretary-treasurer, T. F. Jacobson, assistant cashier of the Story County State Bank at Story City. D IRECTO RS J. H. A N D ER SON S. S. B A R K E R C. C. C O U PLA N D C. P. GLEN N M E R R IL L GILM ORE T. J. M ADDEN C. G. M E R R IL L H. L. POLIN G H. L. P O L L A R D N. F. REED F R A N K VON SCH R A DE R M A X V O N SCH RADER OFFICERS M A X V O N S C H R A D E R . President C LAR E N C E P. G LEN N , V ice President C. G. M E R R IL L , V . P . and Trust Officer .1. C. B L A C K FO R D . V ice President W . C. M IL L E R , Assistant Cashier F R A N K M. P O L L A R D , V . P. and Cashier GEORGE H A L L E R , Assistant Cashier LE O N A R D D A V ID SO N , Assistant Cashier Serving Southern Iowa for Seventy-eight Y ears Member Federal Deposit Insurance Corporation Nort hwest ern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 Buys Bank Building The First State Bank, Manchester, Iowa, has purchased for $25,000 the building which is has occupied since its organization in 1945. Charles Kel ley has been president and cashier of the bank since its founding six years ago. New Chamber President Edward Burchett, president of the Exchange Bank in Bloomfield, Iowa, has been elected president of the Chamber of Commerce there. 81 STATEMENT OF CONDITION Close of Business December 31, 1949 RESOURCES _$ 8.085.943.40 Loans and Discounts 50.000.00 489.89 Other Bonds and Stocks .. Overdrafts Government Obligations Municipal Bonds Cash and Due from Banks _ . $7,177,473.97 436.500.00 _ _ 4,632,353.50 12,246,327.47 $20,382,760.76 LIABILITIES Capital Stock— Common _$ 1 , 000.000.00 Surplus 250,000.00 Undivided Profits 206,549.42 83,343.33 Reserves 113,195.76 Unearned Discount _ 18.729,672.25 Deposits $20,382,760.76 VALLEY BANK AND T R U ST CO M PA N Y DES M O I N E S MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, January, 1950 82 Iowa News Resigns at Creston Guy R. Heflen resigned last month from his position as cashier of the First National Bank in Creston, Iowa, after 30 years association with the bank. He had been cashier about 12 years, first joining the hank in 1919. He has not announced any future plans. A. E. Jensen, president, announced that Vice President Frank Locke will now also assume the duties of cashier. H. Wilbur Porter H. Wilbur Porter, 72, president of the First National Bank in Glidden, Iowa, died last month. Mr. Porter, well known throughout the community, was serving his 50th year with the bank. He was a former mayor of Glidden. He began working as a bookkeeper of the bank in 1900. In 1916, he was advanced to cashier. He had held the presidency about 10 years. Bankers Trust Meeting At the annual meeting of the Bank ers Trust Company, Des Moines, three changes weie announced by James W. Hubbell, chairman of the board. F. S. Lockwood, vice president and trust officer, was also elected to the board of directors; Robert K. Popple, per sonal loan manager, was elected an assistant cashier, and S. G. Barnard Statement of Condition December 31, 1949 ASSETS Cash on Hand and on Deposit with Banks................... $ 8,649,564.96 United States Government Securities............................. 11,028,271.32 Other Bonds and Securities............................................. 387,381.24 Loans and Discounts......................................................... 7,403,894.20 Commodity Credit Corporation Loans........................... 1,195,619.81 Security National Bank Building, Vault and Fixtures 312,547.52 Federal Reserve Bank Stock........................................... 30,000.00 Customers' Liability on Acceptances Outstanding..... 1,332.00 Other Assets ...................... 11,070.19 $29,019,681.24 LIABILITIES Capital ...............................................................................$ 500,000.00 Surplus .............................................................................. 500,000.00 Undivided Profits ............................................................. 228,752.38 Acceptances Outstanding............................................... 1,332.00 Deposits ............................................................................. 27,789,596.86 $29,019,681.24 O F F IC E R S Charles R. G ossett, p r e s i d e n t Frank H . Abel, A s s i s t a n t C a s h i e r B. M . W heelock, V i c e P r e s i d e n t O rville Boe, A s s i s t a n t C a s h i e r Albert C. Eckert. V i c e P r e s i d e n t D aniel L. M iddleton, A s s i s t a n t C a s h i e r Daniel B. Severson, V i c e P r e s i d e n t Paul Snyder, A s s i s t a n t C a s h i e r R. Earl Brown, C a s h i e r E. C. Thom pson, Jr., A s s i s t a n t C a s h i e r Robert W . Lew is, A s s i s t a n t V . P r e s i d e n t Charles H. W a lc o tt, A s s i s t a n t C a s h i e r T R U S T O F F IC E R S Howard L. Johnson, V i c e P r e s i d e n t a n d T r u s t O f f i c e r L. C. Jensen, A s s i s t a n t T r u s t O f f i c e r C E C U R IT T 7 of Sioux City M em ber Federal Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D eposit was appointed a trust officer in addi tion to his present duties as assistant secretary. The other officers of the Bankers Trust Company, in addition to these Insurance Corporation ROBERT K. POPPLE Elected assistant cashier of Bankers Trust, D es M oines three men, are as follows: James W. Hubbell, chairman of the board; S. C. Pidgeon, president; C. W. Mesmer, vice president; F. C. Atkins, vice president and cashier; L. Nevin Lee, Wm. Ellison and G. A. Moeckly, vice presidents, and A. F. Erickson, J. B. Monahan and M. N. Baird, assistant cashiers At the close of the year total de posits were $54,456,157. Capital stock of the bank is $1,000,000, surplus $1,000,000, undivided profits $1,000,000 and a reserve for contingencies of $1,211,776. Total loans and discounts as of December 31, 1949, were $17,529,360. Mid-Winter Meeting The Iowa Investment Bankers Assocition will hold its Mid-Winter Meet ing in Davenport this year, on Thurs day and Friday, January 19 and 20. The festivities will open with a cock tail party and dinner the evening of the 19th, business sessions all day Friday, with a luncheon that noon. Adjournment will be late Friday after noon. The Des Moines members of the Association are planning to leave for Davenport on the Corn Belt Rocket at 2:15 p.m. on Thursday, returning to Des Moines on one of the Rockets Friday evening. Put in His Place Scotchman (on shipboard, catching sight of his fatherland): Hurrah for Scotland. Irishman (riled): Hurrah, hell! Scotchman: That’s right. Every man for his own country. 83 LIABILITIES RESOURCES (DECEMBER 31, (DECEMBER 1949) Loans and Discounts.....................$10,420,162.20 Cash ami Due from Banks......... 11,812,421.75 31, 1949) Deposits....................................$38,602,157.54 Capital...................................... 500,000.00 Surplus.................................... 500,000.00 U. S. Government Securities. . . 15,793,816.24 Municipal and Other Securities. 1,674,965.11 Banking H ouse.............................. 151,984.11 Furniture and Fixtures................ 114,405.21 Other Resources............................ 11,778.76 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Total Resources.....................$39,979,533.38 Undivided Profits and Reserves...................... 377,375.84 Total Liabilities............. $39,979,533.38 THE MARQUETTE NATIONAL BANK, MI NNEAPOLIS, MINN. R u ssell L ynn F uller L . Sto tesbe r y Executive l ice President President D EPA R T M E N T OF BAN K S AND BAN K ER S O t t o H. P r e u s Assistant Vice President C h a r l e s C . R ie g e r Vice President FEDERAL DEPOSIT INSURANCE CORPORATION Nort hwest ern Banker, January, 1950 84 Iow a News D e s 31 nin es X e u 's INFIELD W. SCOTT, senior vice president of the Valley Bank and Trust Company, was elected president of the Des Moines Chamber of Com merce last month for the year 1950- W attorney, who is also a director of the Valley Bank. E. M. McConney, president, Bankers Life Company; E. T. Meredith, Jr., of Meredith Publishing Company, and a director of Bankers Trust Company, were re-elected vice presidents, and Scott C. Pidgeon, president, Bankers Trust Company, was renamed treas urer. Directors re-elected for three year terms include Herbert E. Horton, pres ident, the lowa-Des Moines National Bank, and George C. Koss, also a di rector of the lowa-Des Moines Na tional Bank. Directors re-elected for one year in clude Edwin F. Buckley, president, Central National Bank and Trust Com pany, and R. R. Rollins, a director of Bankers Trust Company. banks, and a director of the lowa-Des Moines National Bank, has been nom inated as a director of Swift and Com pany, it was announced last month by Harold H. Swift, board chairman of the meat packing concern. The an nual shareholders meeting for the elec tion will be January 19th. * * * F. S. Eockwood, vice president and trust officer of the Bankers Trust Company, was honored at the annual >{? >fc W IN F IE L D W . SCO TT Elected president of the D es M oines Chamber of Commerce Mr. Scott has just completed a term as vice president after being active in the organization for many years. He succeeds Allen Whitfield, Des Moines James W. Hubbell, chairman of the Bankers Trust Company, was elected president of the Des Moines Clearing House Association at the annual meet ing last month. Herbert E. Horton, president, lowa-Des Moines National Bank, and Edwin F. Buckley, presi dent, Central National Bank and Trust Company, were elected vice presi dents. Fred C. Atkins, vice president and cashier of Bankers Trust, was re elected secretary. * =!= * W. Harold Brenton, Des Moines, president of the Brenton State Bank at Dallas Center, among other Iowa Place Your Order Now for 1951 BUSINESS CALENDARS 12 Sheets Memorandum Advertising Specialties Apron System • Bank Supplies Prompt Attention Given Mail Inquiries T he Da l t d n P r e s s Calendar Manufacturers MANSON, IO W A CORRESPONDENT BANKS Quality Printing F. S. Lockwood (left), is shown receiving a wristwatch from James W. Hubbell, board chairman, at Bankers Trust Company party in recognition of his 25 years service. bank party recently for his 25 years of service with that institution. Chair man of the board James W. Hubbell presented Mr. Lockwood with a beau tiful wrist watch as a memento of the occasion. Two other members of the bank staff were made members of the 10Year Club at the party. They are Eugene Escher, teller, and Clarence McCloud, personal loan department. The annual affair was a dinner-the ater party. * * * Two lowa-Des Moines National Bank staff members were elected recently to official posts in the Des Moines Junior Chamber of Commerce. Dee Frost, trust department, was elected a vice president, and Christy Armstrong, credit department, was elected to the board of directors. Mr. Armstrong later was selected by the new presi dent to serve as treasurer of the Ju nior Chamber during 1950. Also elected to the board of direc- Your Interests Are Our Interests: Contact us on any problem in which you think we can he of assistance. THE TOY NATIONAL BANK M em ber Federal Deposit Insurance Corporation Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 85 Statement of Condition DECEM BER 31, 1949 A S S E T S C a s h _______________________________________________$14,092,194.00 United States Government Securities------------------ 34,284,101.95 D IR E C TO R S L o a n s_____________________________________________ 23,849,149.(1 Municipal B o n d s _________________________________ 6,421,997.54 Bank Prem ises___________________________________ 700,000.00 Furniture and Fixtures---------------------------------------- 121,541.95 Federal Reserve Bank Stock------------------------------- 138,000.00 _______________________________________ 1,089.34 Overdrafts V . O. FIGGE P r e sid e n t $79,608,074.49 J. M . H U T C H IN S O N E x ec u tiv e V ic e P r e sid e n t L I A B I L I T I E S C H A R L E S J. JO H N S O N In d ep en d en t B isc u its, In c. Capital JO S. S. K IM M E L R ep u b lic E le c tr ic ___________________________________________$ Surplus _ _ _ _ ______________________________________ C om pan y F R E D E R IC K H . L A M B Reserves and Profits-------------------------------------------- P h y sic ia n Deposits H. E. L IT T IG ________________________ 600,000.00 4,000,000.00 2,082,442.68 72,925,631.81 D a venport $79,608,074.49 HERM AN STAAK V ic e P r e sid e n t C A B L E G. V O N M A U R P e te r s e n -H a r n e d -V o n M a u r, In c . T H O M A S J. W A L S H W a lsh C o n str u c tio n C. I). Lane C om pan y W ATERM AN and D A V EN P O R T B A N K W a term a n https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis AND T R U S T ^ ^ C O M P A N Y d ile m b c h R jc m w e S_ DAVENPORT. IOWA J V. M em ber Federal D ep osit Insurance Corporation Nort hwest ern Banker, January, 1950 86 Iowa N e w s tors was Ben Haller, Jr., associate edi tor of the N orthwestern B anker. * * * Five members of the Iowa-Des Moines National Bank staff received watches at the bank’s annual Christ mas party last month in recognition of their 25 years of service with the bank. The five now are members of the 25-Year Club. Herbert L. Horton, president, presented watches to the following Baird M. Fryer, assistant vice president, and Orville Gore, as sistant cashier, both of the mortgage loan department; Clarence Reibert, head currency teller; Maurice T. Me- Colgin, teller, and Mrs. Elizabeth (Betty) H. Nelson, who is known to many Iowa and out-of-state bankers as secretary to Erwin W. Jones, and Everett M. Griffith, vice presidents in the bank’s correspondent bank depart ment. James F. Hart, assistant vice presi dent, and James Burson, assistant cashier. Mr. Horton also announced the retirement from the board of di rectors of Charles S. Bendixen, who Iowa-Des Moines National Elects Two Directors Following the annual meeting at the Iowa-Des Moines National Bank, Her bert L. Horton, president, announced the election of Clifford L. Sampson and William Friedman as directors and the retirement on pension of C. L. S A M P S O N W M . F R IE D M A N Elected Directors BANKS FOR SALE Several Attractive Opportunities Now Available in Iowa and Adjoining States. Write Us Outlining Your Wants. All Negotiations Confidential. BANKERS SERVICE Henry H . Byers, President CO. E. M. Whisler, Secretary 1 1 08 Register & Tribune Bldg. Des Moines 9. Iowa V------------------------------------------------------------------------------------------------- S TA T EM EN T O F C O N D IT IO N December 31, 1949 RESOURCES Cash and Due from Banks____ ________ ________________________________________ $ 3.227.712.57 Loans and Discounts___________________________________________________________ 3,294,573.43 Bonds: U. S. Governments_______ __________________________ $ 6,280,608.33 446,420.47 Federal Land Banks........................... Municipals ................................................................... 1,029,442.23 Other Marketable Securities_______________________ 809,921.72 8,566,392.75 Stock in Federal Reserve Bank....................................................................... Banking House ................................................................................................... Furniture and Fixtures________________________________________________________ Accrued Interest _______________________________________________________________ Overdrafts ......................................................................................................... Other Resources .............................................................................................. 19,200.00 35.257U8 9,685.02 72|447.95 660.77 4,136.28 $15,230,065.95 LIABILITIES Capital ......................................................................... Surp lus............. ........................................................... Undivided P ro fits......... ......................................... .. Reserve for Taxes, Interest, Contingencies, Etc. Discount Collected but Not Earned_______________________________________ Deposits: Demand .......................................................................$ 9,485,266.12 Time ............................................................................. 4,340,336.55 U. S. Government War Loan Account.................... 440,547.14 $ 400.000.00 240,000.00 159.529.61 126.930.83 37,455.70 14,266,149.81 $15,230,065.95 , NATIONAL FIFTH AVENUE SOUTH-226* BANK $ (ru zzi M e m b e r o f T he F e d e r a l D e p o s it In s u ra n c e C o r p o r a t io n . W a s h in g to n , D. C. $5,000 — MAXIMUM INSURANCE FOR EACH DEPOSITOR Northwestern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis — $5,000 J. F. HART J. B U R S O N Veteran officers retire has taken residence in Davenport, Iowa. Mr. Sampson is vice president and general manager for Iowa of North western Bell Telephone Company. He is also the newly elected president of the Greater Des Moines Committee. Mr. Friedman is a director and vice president of Younker Brothers, Inc., and the executive head of Younkers store for homes. He has been active in Community Chest and other civic affairs. In retiring from the bank, Mr. Hart and and Mr. Burson, widely-known officers, round out long years of bank ing service. Mr. Hart, a member of a pioneer Des Moines family, entered the employ of the bank as a clerk in May, 1897. He has been in charge of the savings and safe deposit depart ments. Mr. Burson joined the bank in De cember, 1903, as a bookkeeper. He has been a lobby officer in the bank administration department for many years. All other directors and officers were re-elected. They are: Herbert L. Horton, president, and Albert J. Robertson, vice president. Department of Commercial Banking —John De Jong, Harry H. Sivright, Harold P. Klein and George D. Jorgen sen, vice presidents, and James R. Brown, assistant cashier. Department of Banks and Bankers— Iow a Erwin W. Jones and Everett M. Grif fith, vice presidents. Department of Bank Administration—Harry G. Wil son, vice president and cashier; Rob ert L. Carson, comptroller, and Clar ence Mickelson and W. F. Howell, as sistant cashiers. Bond Department — Sherman W. Fowler and Harry L. Westphal, assist ant vice presidents. Trust Department —Clyde H. Doolittle, vice president; C. Ream Daughrity, trust officer; Arthur H. Keyes, assistant vice president, and Arthur J. Petit, assistant trust officer. Mortgage Loan Department—Orville M. Garrett, vice president; Laird M. Fryer, assistant vice president, and Orville Gore, assistant cashier. In stallment Loan Department — Gerald O. Nelson, vice president; Charles R. Clift and John T. McCormick, assist ant cashiers. tinnii 87 News K nlnrtjes 4 New in Des Moines With W. Harold Brenton as presi dent, the State Bank of Des Moines opened in the northwest part of the city on January 13. The bank is lo cated in what is called the Beaverdale district, a large suburban shop ping center. Lindley Finch, formerly executive vice president of the Bren ton State Bank, Dallas Center, Iowa, is vice president and cashier of the institution. Other officers are William H. Brenton, son of the president, as sistant cashier and head teller; Carl Fredricksen, assistant cashier and manager of the mortgage and per sonal loan departments. The State Bank of Des Moines is capitalized at $100,000, with surplus of $30,000 and undivided profits of $45,000. Harcourt Bank Sold O. B. Lundgren, cashier of the Union Trust and Savings Bank of Fort Dodge, Iowa, and associates, have pur chased the majority of the stock in the Harcourt Savings Bank, Harcourt, Iowa, from J. W. Ryberg and asso ciates. The sale was negotiated by the Bankers Service Company, Register and Tribune building, Des Moines. Mr. Ryberg will continue as cashier and active manager of the bank through 1950 and F. B. Walgren will continue as assistant cashier. Mr. Ry berg has been associated with the Harcourt Savings Bank for 25 years, coming to Harcourt in 1925, when he was elected cashier. MORE SPACE— The First National Bank, West Des Moines, has recently com pleted an addition to its banking quarters, which gives the institution almost twice the working and storage space formerly available. The new addition, accomplished by extending the building toward the rear, has provided a two-story area 44 feet long by 25 feet wide. On the ground or banking floor a private office, three tellers’ cages, and three safety deposit booths have been added, sur rounded by a spacious lobby. Above this space are several large rooms for stor age and consultation. The picture above was taken from the rear of the new addition, showing this new room. The stairway in the background goes to the rooms above, and to the left is the passageway leading past the vault, and to the front working quarters of the bank. R. M. Messerschmidt, long associated with Iowa banking in and now near Des Moines, is president of the First National Bank. American Trust & Savings Bank D UBU QUE, IO W A Organized 1905 Incorporated 1912 S T A T E M E N T O F C O N D I T I O N , D E C E M B E R 31, 1949 R E SO U R C E S Cash and Due from B an k s............$ 4,417,502.82 U . S. Government B onds................ 10,714,938.99 Federal Reserve Bank S tock........... 19,500.00 State, County and Municipal Bonds ........... 933,881.92 Corporate Bonds ................................. 209,786.63 Loans and! D iscounts.......................... 5,652,314.06 Overdrafts ............................................... 462.73 50,000.00 Bank Building ..................................... Other Assets .......................................... 348.80 F. E. DAVENPORT & CO. $ 1,017,883.09 D eposits: Demand .............. 10,985,989.68 Time ........................ 8,911,246.19 U . S. Gov........... 1,083,616.99 20,980,852.86 $21,998,735.95 $21,998,735.95 OFFICERS 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 E LO C K EXPERTS L IA B IL IT IE S Capital Stock . . . . $ 250,000.00 400,000.00 Surplus ..................... Undivided Profits. 267,883.09 Reserves ................... 100,000.00 D. W. ERNST. President ROY F. GLAB, First Vice President ('. .1. KLEINSCHM IDT. Vice President A. L. VOGL. Vice President and Cashier N. J. GRETEM AN, Vice President M em ber M em ber F ed era l F ed era l D e p o s it DIRECTORS D. B. CASSAT 1). W ERNST ROY F. GLAB W. N. GLAB OTTO F. HENKER R. E. O 'R O U R K E R eserve S ys te m . In su ra n ce C o r p o r a tio n OM AHA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, January, 1950 88 Iowa News Good Increase Total assets of $15,156,869 are shown by the year end statement of condi tion of the Home Federal Savings and Loan Association of Des Moines. The company had savings accounts of $12,983,575 and loans of $12,726,410. The savings account balance during 1949 showed an increase of $1,500,000. C. B. Fletcher is chairman of the board, Arthur S. Kirk is president, Jonathan M. Fletcher is executive vice president and Dr. Lawrence E. Kelley and John R. Buckley, Jr., are vice presidents of the Association. A. G. Sam Retires A. G. Sam, long one of the leading figures in Sioux City banking, this month completed a career which be gan a half century ago. Mr. Sam, at 67, will retire as chair man of the board of directors of the First National. He was president of the bank from 1941 to 1949. He plans to give up all active banking affilia made president in 1920, and continued tions, but will retain a directorship in in that capacity until 1939. the bank. Mr. Sam came to the First National He was guest of honor recently at Bank in 1939 as vice president and a party given at the Steak House by became president two years later. He officers of the bank. A gold wristwatch commemorating his 50 years of service was presented to him. Mr. Sam, a native of LaCrosse, Wis consin, began his career as a transit clerk with the old Chicago National Bank. He remained there until 1905 when the bank closed. He then went to the First National Bank in Minne apolis. In 1910 he became a bank ex aminer for the Twin Cities Clearing House. From 1915 until 1919, Mr. Sam was associated with the Stock Yards Na- v tional Bank in South St. Paul as cash ier, later as vice president. During this time he was also vice president of the St. Paul Cattle Loan Company. He left there to take a position of vice president with the Live Stock National Bank in Sioux City and was Farmers State Savings Bank A . G. SA M Retires as chairman of F irst National of Sioux City INDEPENDENCE. IOWA Statement of Condition, December 31, 1949 R E S O U R C E S C ash and Due fro m B a n k s ___________________________________________________________________________$ 8 9 0 ,5 4 2 .3 9 L o a n s and D is c o u n ts _____________________________________________ ____________ _________ ______ ________ 1 ,4 4 7 ,4 4 3 .0 0 4 9 o i6 3 6 .7 1 F ir s t R e a l E s t a t e M o rt g a g e s _____________________________________________________________ _________ U . S . G o v e rn m e n t B o n d s ____________________________________________________________________________ 2 ,7 6 4 |9 6 9 .4 5 M u n ic ip a l S e c u r itie s . . . _____________ ____ ______ _________ _________ . . . . . . _____________ _______ 2 3 7 3 1 3 .3 6 Bank P re m ise s O w n e d ............................................................................................................................' . I I I . ' . ' . ' . ' . I l l 3|68o !oO 12 4 5 6 02 F u rn itu re and F ix t u r e s _____________________________________________________________________________ _ O v e r d r a f t s ............................................................................................................. ' - ' .' .'.' .' .' .' .'.' .' .' .' .' .'.' .' .' .' .' .I l'l3 9 .9 3 C a p it a l S to c k $ 5 ,8 4 8 ,1 8 0 .8 6 L I A B I L I T I E S (C o m m o n )___________________________________________________________________________ 5 100 0 0 0 .0 0 n uT ,u-!. -----U n d iv id e d P r o f i t s ........................................................ D ep ° s i t * ..........................................................................................: : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : 1 5 0 ,0 0 0 .0 0 117 IRQ iq s . J s m I i :« ? $ 5 ,8 4 8 ,1 8 0 .8 6 29 Y e a r s o f C o n tin u o u s S e r v ic e O F F IC E R S !;■• £• SORG President E. E. EVERETT, Vice President C. L. FIESTER. Vice President P. E. SORG, Cashier Member Federal Deposit Insurance Corporation Federal Home Loan Bank of Des Moines DES MOINES, IOW A STATEM ENT OF C O N D IT IO N , D E C E M B E R R E S O U R C E S Cash ........................................................... $ 3 1 0 3 3 6 .8 2 Investm en ts: U . S . G overn m ent O b li ge,tions .8 1 7 , 5 7 3 , 4 7 0 . 5 0 Consolidated F H L B O b li gations . 1 ,2 7 5 ,1 4 6 .1 0 1 8 .8 4 8 .6 1 6 .6 0 A dvances O u t s t a n d i n g ..................... 2 3 ,5 2 5 ,1 6 9 .8 1 Accru ed In terest R e ce iv a b le . . . . 1 2 4 ,1 0 3 .9 7 7 ,1 1 2 .9 3 D eferred Charges ................................. O th er R eso urces 1 2 6 .5 0 F u rn it u re and E q u ip m en t (C o st $ 9 ,9 9 2 .7 8 ) 1 .0 0 $ 4 2 ,8 1 5 ,4 6 7 .6 3 31, 1949 L I A B I L I T I E S A N D C A P I T A L D eposits— M e m b e r s ........................ $ 9 ,2 3 0 ,0 9 9 .5 8 D eposits— O thers ........................... 2 ,0 0 0 .0 0 Accrued In terest P a y a b le ............ 1 3 5 ,9 6 1 .6 5 D ivid end s Payable— J a n u a ry 6 , 1 9 5 0 ........................ 8 0 ,7 0 8 .9 4 ‘ Co nsolid ated O b lig atio ns F H L Banks ............................................. 1 8 ,5 0 0 ,0 0 0 .0 0 C a p ita l Stock S u b scrip tio n s P aid In : U . S . G ove rn m ent . . $ 3 , 2 9 8 ,7 0 0 .0 0 M ember In s t i tutio n s 9 ,7 4 2 ,4 0 0 .0 0 1 3 ,0 4 1 ,1 0 0 .0 0 S u rp lu s: Reserves . . $ 1 ,7 0 4 ,2 0 0 .8 1 U ndivided Profits 1 2 1 ,3 9 6 .6 5 1 ,8 2 5 ,5 9 7 .4 6 $ 4 2 ,8 1 5 ,4 6 7 .6 3 P a rti ipation in $ 2 0 6 ,5 0 0 0 0 0 .0 0 Co nsolidated Fed eral Home Lo an B a n k O b lig atio ns issued by the Home Lo a n B ank B eard and now outstanding, w hich are the jo in t and several obligations of all Federal Home Lo an B a n k s. Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I950 retired from the presidency in March last year to become chairman of the board. He was succeeded by Joe T. Grant. While president of the Live Stock National Bank, he was also president of the Norfolk National Bank, Norfolk, Nebraska; president of the Sioux City Cattle Loan Company, and Trustee in Federal Bankruptcy on various reor ganizations of livestock and commer cial deals. Mr. Sam held the office of president of the Sioux City Clearing House Asso ciation at various times, and has been active in Sioux City’s civic affairs. He resides at the Warrior Hotel inSioux City with his wife, Ada. Use New Stamp Using the American Bankers Asso ciation commemorative postage stamp which was put on sale at Saratoga Springs, New York, on January 3rd, the Continental Illinois National Bank and Trust Company of Chicago made a first-day mailing from Saratoga Springs in special envelopes commem orating the 75th anniversary of the association. The envelopes were addressed to 5,000 bankers and corporation execu tives and contained the Continental Illinois’ new schedule of availability of funds on checks deposited with the bank. A slip calling each recipient’s attention to the envelope as a collec tor’s item accompanied the mailing. Iow a N ew s 89 C ou n ty A sso c ia tio n O fficers 3 ic e t BANKING CONFERENCE—The pictures above were taken at the 1948' meeting of the Iowa Organization of Officers of County Bankers Associations, held late last month in Des Moines. Reading from left to right, those pictured are, left, J. W. Edge, newly elected vice president of the organization, and president of the Farmers Trust & Savings Bank, Spencer; and L. L. Bless, new president of the organization, and cashier of the Ventura State Bank. New secretary of the organization is Ralph R. Hudachek, president of the Johnson County Bankers Association, and cashier of the Lone Tree Savings Bank. Center—V. W. Johnson, president, First National Bank, Cedar Trade Ties B. C. Gardner, president of the Bank of Montreal, told shareholders at the 132nd annual meeting that the broad Canadian trend seemed to be toward a closer balance in trade with “our nearest neighbour” and a contraction of exports to “important and tradi tional overseas markets.” In Canada price influences had achieved “ something approaching a balance of forces.” The most note worthy feature of the business trend was its relative stability, compared with developments in the United States, the president stated. Offset ting recessive influences in large part, “we have a vigorous program of in dustrial expansion.” Gaining self-con fidence and “ know-how” as an indus trial nation, “we are rediscovering our own frontier” in natural resources. Canada appeared to be undergoing a dynamic growth not unlike that of the LTnited States after World War I. Turning to Canada’s dollar dilemma, Mr. Gardner pointed out that, since the devaluated rates of exchange had been established by governmental fiat, there could be no assurance that they would accurately reflect comparative costs and prices. He suggested “per mitting a range of variation in ext change rates, cushioned perhaps by a stabilization fund designed to prevent violent short-term fluctuations.” “ In 1939 we had about a million cur rent and savings accounts on our books,” Mr. Ball recalled. “We now have over 1,750.000 accounts.” Loan https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Falls, and director from Iowa for the Federal Reserve Bank, Chicago; Henry Visser, cashier, First National Bank, Hawarden; and J. F. Kennedy, president, First National Bank, New Hampton, and president of the Iowa Bankers Association. Right— J. H. Pullman, Jr., cashier, Fremont County Savings Bank, Sidney; J. A. Nelson, cashier, Farmers State Bank, Luverne; Mark J. Orr, assistant cashier, Fremont County Savings Bank; and Ralph Eastburn, president, Iowa State Bank & Trust Company, Fairfield. One or more representatives from 112 banks, from 80 counties in Iowa, attended the conference. Total attendance was 177. accounts had more than doubled in number. All types of banking trans actions showed “commensurate in crease.” Personnel totaled 9,700, com- O p en ed fo r pared with 6,000 in 1939. The number of shareholders had also doubled, “and we are naturally glad to see this wider share ownership in our institution.” B u s in e s s O c t o b e r 15, 1934 Statement of the IOWA STATE BANK & TRUST COMPANY Iowa City, Iowa December 31, 1949 RESOURCES Cash and Due from Banks-------.------------------------------$2,630,798.84 U. S. Bonds______________________________________ 4,567,110.00 Other Bonds and Securities-----------------------------------121.266.78 CASH OR ITS EQUIVALENT__________________________________ $ 7,319,175.62 Loans and Discounts____________________________________________ 4,008,614.38 Overdrafts _____________________________________________________ 301.88 Banking House _________________________________________________ 50,000.00 32,790.14 Furniture and Fixtures----------------------------------------------------------------$11,410,882.02 LIABILITIES Capital Stock ___________________________________________________ 150,000.00 Surplus and Undivided Profits---------------------------------------------------229,508.49 Deposits _______________________________________________________ 11,031,373.53 $11,410,882.02 O F F IC E R S Ja s . H . S c h m i d t , A ss’t Cashier B e n S. S u m m e r w i l l , President M il o N o v y , A ss’t Cashier W . W . S u m m e r w il l , Vice President B e x E . S u m m e r w i l l , Ass’ t Cashier W . F. S c h m i d t , V ice President O. D . B a r t h o l o w , Ass’t Cashier M . B . G u t h r i e , V ice Pres. & Cashier M. E . T a y l o r , Auditor MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION Northwestern Banker, January, 1950 90 Iow a N e w s i 'IntraIUroup in ll CHRISTMAS CAROLS— Here is the Central National Choral Group of 32 voices, all members of the staff of the Central National Bank & Trust Company of Des Moines. The Choral Group staged a special program of Christmas Carols in the main banking room of the bank from 12:00 noon to 1:00 p. m. on December 22 and 23. The program was also broadcast over a local radio station. Spring Council Meeting The annual spring meeting of the executive council of the American D E P O S IT -B Y -M A IL Simplified banking by mail. Time-saving convenience for custom ers...for you. Handle in slack periods, reduce er rors. Deposit slip bears post mark , . . exclusive patented flap protects contents. Bankers Association will be held at the French Lick Springs Hotel, French Lick, Indiana, April 23rd through 25th, it was announced this month by F. Raymond Peterson, president of the association. Mr. Peterson is chair man of the board, First National Bank and Trust Company, Paterson, New Jersey. The executive council meets twice each year, in April and during the A.B.A. convention in the fall. It is the governing body of the association, second only to the general convention, and consists of the officers of the association, the president and vice president of each of its six divisions and sections, the chairman of the sev eral A.B.A. commissions, representa tives elected by the A.B.A. members in the 48 states and the District of Columbia, and twelve members-atlarge appointed by the association president. In addition to the meeting of the executive council, several of the asso ciation’s committees, commissions and councils will meet in French Lick at the same time. Three new directors were elected at the January meeting of the board of directors of the City National Bank & Trust Company, Kansas City, Mis souri. They are: Lawrence P. Engel, M.D., prominent surgeon of the southwest; Howard Flagg, past president and now direc tor and chairman of the finance com mittee of Employers Reinsurance TfeNSioN Envelope Corp. New York 14, N. Y. Minneapolis 1, Minn. St. touts 10, Mo. Des Moines 14, Iowa Kansas City 8, Mo, Did you know that this company has specialized in Bank Insurance since 1919— that it has the inside view on Bank Insurance problems? Consult us freely at any time. N A T IO N A L BANK B U IL D IN G Northwestern Banker, January, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1950 9nvsiAiijqjcdsi Addressojraph S r w iw fA , Addressing by hand or typewriter method costs 10 times as much as the m o d e rn Addressograph method. New Directors In desired papers and colors. Write for samples and prices. F IR S T Corporation, and Arthur L. Mullergren, consulting engineer, and chair man of the board, Western Light & Telephone Company, and president of the American Service Company. Dr. Engel, in addition to his exten sive practice of surgery, is associate professor of surgery at the University of Kansas School of Medicine and clin ical professor of surgery at the Uni versity of Kansas City Dental College. Howard Flagg is a well-known in surance executive with a legal back ground. He was engaged in the fire insurance business for twelve years and was president of Employers Re insurance Corporation from 1939 to 1943, being forced to retire because of ill health. At present, he is director and chairman of the Finance Commit tee of that company and is a director of the Central West Utility Company and of the Central Surety and Insur ance Corporation. Arthur L. Mullergren is a wellknown consulting engineer in the southwest. • C H IC A G O OMAHA — DES MOINES DAVENPORT Scarborough & Company Insurance Counselors 3, I L L I N O I S STATE 2 432 5 to Banks Io w a N e w s Newly Organized Fred Fadell, president, announced appointment of a staff of 10 men and women to the newly-organized adver tising and public relations firm of Fred Faded & Associates, Inc., with offices at 615 Minnesota Federal Build ing, Minneapolis, Minnesota. The firm has engaged only in the public relations business for the past four months and entered the adver tising field as of January 1st. Chemical Bank Report In its statement of December 31st, the Chemical Bank & Trust Company, New York, reported deposits of $1,449,655,700, compared with $1,435,190,392 on December 31, 1948, and total assets of $1,593,278,135, compared with $1,583,724,456 a year ago. Cash on hand and due from banks amounted to $432,295,401, compared with $487,514,147; U. S. government obligations to $598,546,438 against $415,567,186, and loans and discounts to $436,846,232 against $560,799,246. Capital stock and surplus were un changed at $25,000,000 and $75,000,000 respectively, and undivided profits of $13,623,977, compared with $10,727,059 on December 31, 1948. The indicated net earnings on the basis of the bank’s capitalization of 2,500,000 shares (par $10) amounted to $2.96 per share for 1949, as com pared with $2.83 for the preceding year. The regular dividend of $1.80 per share was paid. Guaranty Trust The statement of the condition of the Guaranty Trust Company of New York as of December 31, 1949, shows total capital funds of $370,568,482, as compared with $366,890,333 a year ago. The company’s capital and surplus re main unchanged at $100,000,000 and $200,000,000, respectively, and undi vided profits are $70,568,482. Regular dividends of $12,000,000 were paid dur ing 1949 and 1948, and an extra divi dend of $2,000,000 was declared in 1949, payable January 3, 1950. the board of directors, was elected sec ond vice president. Harris Trust and Savings At a Harris Trust and Savings Bank, Chicago, board of directors’ meeting, immediately following t h e annual stockholders’ meeting, Burton A. Brannen, formerly vice president and audi tor, was made vice president in charge of the auditing department. Delbert N. Urick, formerly assistant auditor, was elected auditor and Edward L. Moritz, formerly assistant auditor, was elected assistant vice president. The following were promoted in the bond department of the bank: In Chicago: Henry W. Michels, Jr., from assistant sales manager to man ager, trading department; Hiram R. Bright, from assistant manager to manager, municipal department, and William S. Morrison, Jr., from assist ant sales manager to sales manager. In the New York office: William J. Dumper, from assistant manager 91 to manager, municipal department, and Paul W. Wolf, from assistant sales manager to sales manager. Wage-Hour Handbook Bankers looking for information about and help in applying to their institutions the 1949 amendments to the Federal Wage-Hour Act and the new regulations issued by the WageHour Administrator thereunder will have their need filled when they re ceive from the American Bankers Association its new “Wage-Hour Hand book for Banks,” setting forth the pro visions of these amendments and the provisions of the regulations as they apply to banks. The Handbook is a 30 page study prepared by the A.B.A. Customer and Personnel R el a t i o n s Department, which not only presents clearly the provisions of the amended law, but also the changes in the regulations promulgated as late as December 24th and not yet generally available to CONDENSED STATEMENT FIRST NATIONAL BANK CEDAR FALLS, IOWA December 31, 1949 R ESO U RCES Cash and Due from B a n k s......... $ 957,838.84 United States G ov’ t Securities. 2,426,728.69 State and M unicipal B o n d s . . . . 320,093.87 Stock in the Federal Reserve Bank ................................................... 5,000.00 Loans and D isc o u n ts..................... 595,367.02 O verdrafts ............. 224.63 Banking H ouse .............................. 18,500.00 Furniture and F ix tu re s................ 5,999.44 L IA B IL IT IE S Capital Stock ................................... Surplus ................................................. U ndivided Profits ............................... Reserves ......................................... D eposits ......................................... 100,000.00 70,000.00 73,902.12 7,197.84 4,078,652.53 $4,329,752.49 $4,329,752.49 V. W. O F F IC E R S Johnson, P r e s i d e n t W . E. Brown, V i c e P r e s i d e n t J. B. N ew m an, V i c e P r e s i d e n t H . C. M esserer, C a s h i e r Elizabeth Iversen, A s s i s t a n t C a s h i e r M em ber Federal Reserve System M em ber Federal D eposit Insurance Corporation NATIONAL BANK OF BURLINGTON BURLINGTON, IOWA Statement of Condition, December 31, 1949 Heads Board of Trade Members of the Chicago Board of Trade, at their recent annual election, selected Carl E. Bostrom as their pres ident for 1950. Mr. Bostrom, vice pres ident of Lowell Hoit & Company, served as first vice president during the past year. Sylvester J. Meyers, vice president of Arcady Farms Milling Company, was elected first vice president. He had previously served as second vice president. Earle M. Combs, Jr., of E. M. Combs & Son, previously a member of the executive committee and a member of https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ASSETS Cash and Due from Banks---U. S. Government Securities. State, County, and Municipal Bonds ________________________ Other Bonds ............................ Loans and D iscounts............. Overdrafts ................................. Stock in Federal Reserve Bank Bank Building .......................... Furniture and Fixtures............. Other A s s e t s ......... - ................ LIABILITIES $ 2,247,686.66 2,657,091.94 1,464,831.01 458,969.01 3,794,922.73 1,298.39 15,000.00 65,314.00 49,210.04 156.38 Capital Stock _________________ 200,000.00 400,000.00 Undivided Profits .................... 139,682.81 56,642.25 Interest Collected but Not 25,003.36 Deposits ..................................... . 9,933,151.74 SI 0,754,480.16 $10,754,480.16 John H. Witte, Jr., President Vincent P. Cullen, Executive Vice President .$ Surplus ....................................... Thomas L. Dyer, Cashier F. J. Norton, R. K. Pearson, E. L. Hausknecht, Asst. Cashiers. Member F ed era l D eposit In su ra n ce Corporation Northwestern Banker, January . 1950 92 Iowa News banks in publications on the market. In addition, it interprets the amend ments and the new regulations, and draws extensively on the report of Harry Weiss, director of the Wage- SPECIALIZ1NG IN AUTOMOBILE FIRE WINDSTORM INSURANCE CENTRAL STATES MUTUAL INSURANCE ASSOCIATION Mt. Pleasant, Iowa E. A. HAYES President O. T. WILSON Secretary E s t a b lis h e d in 1929 MERCHANTS M U T U A L BONDING COMPANY Incorporated 1933 .X ' Home Office SAVINGS & LOAN BUILDING Des Moines, Iowa • This is Iowa’ s oldest surety company. Hour Division of Wage Determina tions and Exemptions, resulting from extended hearings held during the past two years in order to help bank ers to understand the thinking be hind the regulations as now issued. The 1949 amendments to the act rep resent the first overhaul of the law since its passage in 1938. These amendments and the revised regula tions will both take effect January 25th. C O N V E N T IO N S February 18-22, Mid-Year Meeting, Financial Public Relations Associ ation, Buffalo, New York, Hotel Statler. February 22, Annual Meeting Group Eleven Iowa Bankers Association, Burlington, Hotel Burlington. March 13-14, Annual Conference, Sav ings and Mortgage Division, A.B.A., New York City, Hotel Statler. April 3-5, Reserve City Bankers, Boca Raton, Florida. Boca Raton Club. April 14-15, Annual Convention, Inde pendent Bankers Association, Des Moines, Hotel Savery. April 17-22, Group Meetings, Nebraska Bankers Association, (towns to be announced). April 23-25, ABA Executive Council, French Lick, Indiana, French Lick Springs Hotel. May 19-20, 1950, Annual Convention, North Dakota Bankers Associ ation, Grand Forks, Dacotah Hotel. May 26-27, Annual Convention South Dakota Bankers Association, Rap id City, Alex Johnson Hotel. June 5, 6 and 7, 1950, Annual Conven tion, Illinois Bankers Association, Chicago, Hotel Sherman. June 7-8, Annual Convention Minne sota Bankers Association, Duluth, Hotel Duluth. June 11-16, 1950, 50th Anniversary Convention American Institute of Banking, Minneapolis. We are proud of our two hundred and fifty bank agents in Iowa. September 18-21, Annual Meeting, Financial Public Relations Asso ciation, Boston, Hotel Statler. E. H. W ARNER Secretary and Manager W . W. W ARNER Assistant Secretary Nort hwest ern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Directors of the Northern Trust Company at their annual meeting pro moted four officers and elected six new officers. The promotions were: John A. Adair, N. Flail Layman and David H. Thomas, Jr., from assistant cashiers to second vice presidents in the bank ing department, and James L. Porter, from assistant secretary to second vice president in the Trust Department. New officers elected were: John B. Rigler to assistant cashier, banking January 23-25, Second National Credit Conference, A.B.A.. Chicago, Ho tel Sherman. January 23-26, 1950, Annual Midwin ter Meeting A. I. B. Executive Council, Sea Islands, Georgia, The Cloister. February 13, Annual Meeting Group One Iowa Bankers Association, Sioux City, Hotel Martin. A progressive company with experi enced, conservative management. To be the exclusive representative of this company is an asset to your bank. N o rth e rn T ru s t September 24-27, Diamond Anniver sary Convention. A.B.A., New York City. October 11-12, Annual Convention Nebraska Bankers Association, Omaha, Hotel Paxton. October 22-25, 64th Annual Conven tion, Iowa Bankers, Association, Des Moines. IO W A •LITHOGRAPHING •COM PANY FOUNDED BY CEORCE H. RAGSDALE • • EDWIN G. RAGSDALE « SECRETARY 315 TWENTY EIGHTH STREET DES • M O IN E S QUALITY - EX P E R IE N C E •SERVICE DES MOINES BUILDING-LOAN & SAYINGS ASSOCIATION Oldest in Des Moines 210 6th Ave. Dial 2-8303 EL M E R E. M IL L E R Pres, and Sec. FOR YOUR H U B ER T E. JAM ES A sst. Sec. EN JO YM ENT . . . Listen to the “ W ORLD K R N T, 1350 KC OF M U S IC ” 1 to 1:30 p.m. Sundays 93 department; K e n n e t h Hoffmaster, David W. Dangler and William B. Cudahy to assistant secretaries in the Trust Department, and Mat t he w Beemsterboer and Ralph M. Smith to assistant managers in the bond de partment. All other officers of the bank were reappointed. E n velop e C om p a n y O p e n H o u se Good Reason May: Isn’t your husband wearing a new suit? Fay: No. May: He looks different. Fay: He’s a new husband. INDEX OF ADVERTISERS JANUARY, 1950 A Addressograph SalesAgency.................... Allen Wales Adding Machine Corporation ........................................ Allied Mutual CasualtyCompany............... American National Bank and Trust Company ....................................................... American Trust and Savings Bank— Dubuque ....................................................... 90 18 56 40 87 B Bank of America .......................................... Bank of Montreal.......................................... Bankers Service Company, Inc................ Bankers Trust Company— DesM oines.. Banks, William H., Warehouses, In c ... 37 45 86 79 45 MAKING ENVELOPES—Last month, just before the holidays, The Tension Envelope Company, of Des Moines, held open house for its many customers, and all others interested in the manufacture of envelopes, used for almost every con ceivable type of mailing. The group above is watching a machine which prints the face of the envelope, ten at a time. From left to right those pictured are Albert C. Berkowitz, president of the Des Moines Tension plant; Clark Ellis, sales manager; John Adams, secretary of the Des Moines Chamber of Commerce; Fred Atkins, vice president and cashier, and A. F. Erickson, assistant cashier, both of Bankers Trust Company, Des Moines, and George Smith, Des Moines Railway Company. Tension Envelope Company also has plants in Kansas City, Minneapolis, St. Louis and New York City. c California Bank ............................................. Central Hanover Bank and Trust Company ....................................................... Central National Bank and Trust Company ......................... Central States Mutual Insurance Association ................................................... Chase National B ank.................................... Chemical Bank and Trust C o m p a n y .... City National Bank— Clinton................... City National Bank and Trust Company— Chicago .................................. City National Bank and Trust Company— Kansas City............................ Commerce Trust Company.......................... Continental Illinois National Bank and Trust C om p an y .......................................... Continental National Bank— Lincoln.. 39 92 12 44 86 H Halsey, Stuart and Company, Inc............ 50 Harris Trust and Savings B ank............... 9 Hawkeye Casualty Company................... 57 Home Federal Savings and Loan Association ................................................... 52 Home Insurance Company.......................... 3 65 46 30 35 75 I) I Inter-State National B ank......................... Iowa-Des Moines National B ank............ Iowa Lithographing Company................. Iowa Mutual Insurance Company— DeW itt ........................................................... Iowa State Bank and Trust Company— Iowa City ..................................................... Irving Trust Company.................................. 73 96 92 57 89 6 K Koch Brothers ............................................... 92 L 88 88 LaMonte, George, and Son......................... Live Stock National Bank-—Chicago. . . . Live Stock National Bank— O m a h a .... Live Stock National Bank— Sioux City .................................................................. Long, R. C., and Company.......................... 63 91 7 72 61 75 74 38 78 33 Manufacturers Trust Company............... Marquette National B ank............................ Merchants Mutual Bonding Company. . . Merchants National B ank............................ Minnesota Commercial Men’s Association ................................................. Mississippi Valley Trust Company......... F https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Guaranty Trust Company............................ 36 4 16 Dain, J. M., and Company......................... 60 Dalton Press, Th e........................................ 84 Davenport Bank and TrustCompany.. 85 Davenport, F. E., and Company...........72, 87 Dayton and Gernon........................................ 53 De Luxe Check Printers, Inc..................... 42 Des Moines Building, Loan and Savings Association ........................... 92 Drovers National B ank................................ 47 Farmers State Savings Bank— Independence ............................................... Federal Home Loan Bank ofDes Moines First and American National Bank of Duluth ........................................................... First National Bank— Cedar F a lls........... First National Bank— Chicago................. First National Bank— Lincoln................. First National Bank— Minneapolis......... First National Bank— Omaha................... First National Bank— St. Joseph............. First National Bank— St. Louis............... First National Bank— Sioux C ity............. First Wisconsin NationalB ank................. N Gr 5 29 76 66 53 National Bank of Burlington................... National Bank of Commerce................... National Bank of South Dakota............. . National City Bank of New Y o rk .......... Northern Trust Company............................ Northwestern National B ank................... Northwest Security National B ank........ 91 73 67 95 11 58 68 O Omaha National B ank.................................. 27 R Recordak Corporation ......................... 48, Remington Rand, Inc........................ Republic National Bank— D allas........... Royal Bank of Canada............................10, 49 31 34 42 S St. Paul Federal Savings and Loan Association ................................................... Scarborough and Company...........55, 77, Securities Acceptance Corporation and Subsidiaries ................................................. Security National Bank................................ Stock Yards National Bank— South St. Paul ................................................................ 64 90 54 82 62 T Tension Envelope Corporation............... 90 Todd Company ............................................... 43 Toy National B ank........................................ 84 U Union Bank and Trust Company— Ottumwa ....................................................... 80 United States National B ank..................... 70 V >1 8 83 92 2 64 41 Valley Bank and Trust Company........... 81 Valley National Bank of Phoenix........... 32 w Walters, Charles'E., Company...................... 74 Western Mutual Insurance Company. . . 56 Wheelock and Cummins.............................. 53 Nort hwest ern Banker, January, 1950 94 In the DIRECTOR’S ROOM Modern Day Financing Selling Aid Nice Try A man can’t convince his lady love She really is adored, Till he buys her something she doesn’t need At a price he can’t afford. An antique dealer made the mistake of thinking a villager as simple as he looked; so when he saw a cat lapping milk from a china saucer of valuable design, he was all for making a cheap deal. After a little bargaining he bought the cat for five dollars, and then suggested that the animal would settle down better in its new home if he took along the saucer. “No fear, mister,” was the reply, “that’s the sixth cat I’ve sold with the help of that saucer!” He: Why does a woman say she’s been shopping when she didn’t buy a thing? She: For the same reason a man says he’s been fishing. Really Works An unsolicited testimonial from an ardent golfer to a hosiery manufactur er: “ Fifteen minutes after putting on a pair of your socks, I made a hole in one.” Sweet Remembrance If you’d keep her happy Hark to a sage; Remember the birthday But never the age. Judge Knows His Cases Officer: The charge against this man, your honor, is stealing nine bot tles of beer. Judge: Discharged. I can’t make a case out of nine bottles. A 1950 Thought It takes courage to keep from talk ing about others when others around you are talking; to stand up for an absent person who is being abused; to be somebody by holding fast to your ideals when it causes you to be looked upon as queer; to refuse to do a thing that is wrong, though others do it— but that is what makes you big. Des Moines Blueprint They Get Around “Daddy, what’s a parking space?” “Son, that’s a spot in which another car is parked.” The precocious brat, female, age nine, had been giving her mother a hard time. Finally, Mom, fed up with the kid’s antics, turned to her and said: “ Susan, I’m tired of telling you to behave; if you don’t, you’ll be pun ished. Do you know where bad girls go?” And Susan smiled brightly and an swered, “Yes’m. They go almost ev erywhere!” Caught Again Actor: I hear you and the leading lady are on the outs. Electrician: Yeah, it was one of those quick-change scenes with the stage all dark. She asked for “tights” and I thought she said “lights.” By All Means Student: I hear you’ve just returned from a trip abroad. Instructor: Yes, it was grand. I visited Paris and Rome, but the best thing was the trip over. If you ever go, don’t miss that. Old Stuff, New Way “You’ve been promoted?” “Yep. Used to be a drop engineer and now I’m a sandwich engineer. The boss used to come around and say ‘Drop whatever you’re doin’ and do this.’ Now he says, ‘Sandwich this in between whatever you’re doin’.’ ” Northwestern Banker, January, 1950 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis just Take It Easy Henry Ford, so the story goes, once offered his prescription for achieving longevity: “Don’t stand up if you can sit down; don’t sit down if you can lie down.” Sound Alive “What’s the best way to preserve your wedding ring?” “Dip it in dish-water three times a day.” No Bother at All “ I’m not quite sure I understand knee-action wheels.” “Why, it’s like this—the wheels give, so if you run over a pedestrian you hardly feel it.” The Odds Say “ No” Little Roger came home from Sun day School with a “mite box.” “Why do they call it a mite box, Mother?” he asked. “Because,” chirped his brother, “You might put something in it and you might not.” Nice Style First Gal: You wrote a confession story? Did it sell? Second Gal: No, but the editor came all the way from New York to see me. Heavenly Dirt First Cannibal: What’s that black soot? Second: That’s not soot, that’s holy smoke. We’ve got a missionary for supper. Digest Version What's the Difference? Instructor: Bobby, why have you only written a 10-line essay on “Milk” when all the others have written sev eral pages? Bobby: Maybe it’s because I wrote about condensed milk, ma’am. Office Boy: I et six eggs for break fast this morn’g. Bookkeeper: You mean ate, don’t you? Office Boy: Well, maybe it was eight I et. Factory Personnel Manager: And who should we notify in case of acci dent? Applicant: Anybody in sight. Give Him the Job https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis HELPING i W GROW By W o r k i n g T o g e t h e r wi t h CO RRESPO N D EN T BANKS Through this Bank, Iowa Banks and Bankers can offer a customer service as complete and useful as that available to business firms and individuals in large cities. Your Bank is invited to make the fullest use of the experienced staff, modern fa cilities, adequate resources and favorable connections of Iowa's Largest Bank. Many banks use our loan facilities to help meet the needs of customers who require larger lines of credit than can be extended locally. Fast collection of checks, drafts and other items; transfer of funds; credit information and other correspondent bank services benefit Iowa banks and their customers. ■ ■ I Total Resources Over One Hundred Million Dollars IOWA-DES MOINES NATIONAL BANK Member Federal Deposit Insurance Corporation mmmm https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WÊÊKÊ