Full text of The Northwestern Banker : June 1955, 61st Year, No. 815

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

Minnesota
Convention
— Page 63

Montana
Convention
— Page 81


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Federal Reserve Bank of St. Louis

THAILAND PRIME MINISTER MEETS BANKERS— Page 32

Serving the Heartland of America
It’ s Dairy Month in Iowa, an important symbol of the Hawkeye
State’ s rich harvest of grain and livestock, which furnishes a lion’s
share of the world’ s food supply.

Matching Iowa’ s renowned

yield of agricultural products is her outstanding achievement
in industrial production.
Located in the heart of the Midwest, The Merchants National
Bank provides unexcelled correspondent banking service.
account in this banker’ s bank of Iowa assures you

An

prompt,

accurate service on your grain drafts and other items in the grain
capital of the world.

THE

Merchants National
C E D A R

R A P I D S ,

BANK

I O W A

Member Federal Deposit Insurance Corporation
No. 815. Northwestern Banker, published monthly by the Northwestern Banker Company, at 306 Fifteenth S t., Des Moines, Iowa. Subscription,
35c per copy, $3.00 per year. Entered as Second Class M atter January 1, 1895, at the Post Office at Des Moines, Iow a, under A c t of M arch 8, 1879.


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Federal Reserve Bank of St. Louis

3

ÂA£ M t ON M K M AP?

Here are the advantages of
North Central’s services:

• Your choice of plans each fashioned to
benefit you—your customers: Credit life in­
surance—Savings life insurance—Mortgage
protection insurance —highly competitive
Ordinary life coverage—Accident and Sick­
ness insurance.
• Proven experience in the business and in
the area we are serving.
• Centrally located Home Office, with policies
and services geared to you and your com­
munity’s needs.
• North Central is the leading company of
its kind in this area. More banks use our
credit insurance than the total of all other
companies combined.
• A real desire to serve you.


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Federal Reserve Bank of St. Louis

Each dot on this map represents a bank using North
Central’s credit insurance service. Over 1000 stron gare you one o f them?

If you are, you know the many advantages o f North
Central’s insurance services. And there are real advan­
tages worth your checking. One thousand thirty-seven
bankers can’t be wrong. More banks in the North
Central States use North Central credit insurance than
the total o f all other insurance companies combined.
Join these one thousand thirty-seven bankers—pick the
insurance company that can serve you best. Ask for
complete information on North Central’s services.

Endicoft-on-Fourth, St. Paul 1, Minnesota

• Phone CApital 4-5388
N o r t h w e s t e r n B a n ke r, J u n e , 1955

No. 6

in a series of d iscu ssio n s important to e very banker <

your designer m ust k n o w
the banking business

to plan
new bank
quarters
for future expansion ...


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Federal Reserve Bank of St. Louis

Many a banker, barely settled in new quarters, finds
business growth can actually bring financial loss — if
these new quarters were not designed for future
expansion as well as present business volume.
And to plan for future expansion, your designer must
know banking operations. He must know them thor­
oughly, as a result of specialized knowledge and expe­
rience in the bank building field. Only then can you be
sure you have made a wise investment — and that,
when further expansion becomes necessary, your bank
can expand without costly major structural changes.
Our experience on nearly 3,000 bank quarters projects
enables us to gauge community growth, business in­
creases, departmental growth ratios, and to relate the
space requirements of expansion to your bank’s specific
operations. W e start with an analysis of your bank’s
basic functional needs.
Your present quarters, operations, and equipment are
surveyed. Lobby areas, space for executive, administra­
tive, teller and other departmental operations, back
counter facilities, the site and surrounding neighbor­
hood, parking facilities, traffic flow inside and outside
your bank are measured and evaluated.
On this basis we analyze your bank’s potential growth
and design quarters for top functional efficiency and
economical future expansion. This specialized plan­
ning has enabled many banks to expand .. . and expand
again . . . without expensive changes that rip the struc­
tural heart out of quarters occupied for only a few years.
Check our reputation and financial responsibility now
— and call us in early for consultation. W e’d like to
show you, without obligation on your part, how your
bank can benefit from our specialized services.

Headquarters: ST. L O U IS, 9 t h & S id n e y S t r e e t s
Offices in: A T L A N T A , W e s t e r n U n io n B l d g .
C H IC A G O , 3 3 3 N o r t h M ic h ig a n
M IA M I, 5 2 0 4 W e s t F l a g l e r
N E W YO R K, 103 P a r k A v e n u e
SA N FR A N C ISC O , 2 7 5 P o s t S t r e e t
Operating Outside the Continental U. S. as:
B a n k B u il d in g C o r p o r a t io n I n t e r n a t i o n a l
Operating in M exico as; E d if ic io s P a r a B a n c o s

also creators o f A m e rica 's outstanding office buildings

<

F U N C T IO N A LLY
^

D ES IG N ED

CONFERENCE
ROOM Z

considering n ew quarters
COUNTS

FO R E X P A N S I O N

OFFICERS AREA

□

P lan n ed w ith an e y e
on th e fu tu re , th e se n ew
q u a rte rs a r e d e sig n e d w ith
vault in fro n t, so b a n k can be
e x te n d e d to r e a r w ithout
h in d ra n ce , an d each d e p artm e n t|
e x p a n d e d p ro p o rtio n a te to its
g ro w th . Location of building
on lot m ak e s it possible
to e n la rg e structure
and still m aintain full
p a rk in g lot fa cilitie s.

□
InBVSSIS
■ Ih m

TELLERS WORK AREA p PASSAGE
SAFE DEPOSIT
V CASH VAULT

F I R S T F L O O R P LA N

»

CLINTON

NATIONAL

CLINTON,

Write for full information about our sendees. Or
better still, visit us in St. Louis and see tbis
organization of bank building specialists in action,
expediting each project from start to completion.


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Federal Reserve Bank of St. Louis

—

Send for your
complimentary copy
of this new survey
report, "What happens
to business after a
bank modernizes.”

to b usine ss

B an k

B u il d in g a n d E q u ip m e n t C o r p o r a t io n

o f

A m e r ic a

9th and Sidney Streets, St. Louis, Mo.
Send m y free copy of:
A BANK

:
1

W H A T H A P P E N S T O B U S IN E S S A F T E R

M O D E R N I Z E S .”

On or about.
EW

In
_IN
B
BU I L D I N G

______________ w e contemplatei

□

M O D E R N IZ E D

I

QUARTERS

I____ I F I X T U R E S

1N E W

_ T it l e _

after a bank
i
C it y

j

a n d

M O D E R N IZ E D
I------ 1 F I X T U R E S

fin

# «i II

««WW!

B an k_

m o d ern ise s?

BA NK

IOW A

Mr. J. B. Gander, President

.
w h a t happens

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St a t e .

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6

© irect Sendings now eliminate
handling by intermediate banks of
c o l l e c t i o n items g o i n g f rom
Republic to over 700 key points.
This can save days over routine
handling.

On special authority, we also hold
and enter for immediate collection
all return items. This special han­
dling has resulted in collection of
over 90% of N.S.F. items without
return to point of origin.

CAPITAL AND SURPLUS $60,000,000 ★

M EM BER

FED ERA L

D E P O S IT

LARGEST IN THE SOUTH

IN S U R A N C E

C O R P O R A T IO N

The Financial Center of the Southwest
N o r t h w e s t e r n B a n ke r, J u n e , 1955


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Federal Reserve Bank of St. Louis

7

D e a r E d ito r

Oldest Financial Journal West of the Mississippi

IN THIS JUNE, 1955, ISSUE
T h e fo llo w in g letters are from
N orth w estern B an ker readers. Y ou r
view s and op in io n s on an y sub ject are
w e lco m e in this colu m n .

“ No Ileal Prophets”
“ Just couldn’t resist writing you in con­
nection with your editorial article written in
your May issue of the N orthw estern
B an k er wherein you quote Bernard Baruch.
I can’t help agreeing with you, when he re­
ferred to economists and stated ‘I f they
knew so much they would have all the money
and we would have none.’ I do not think,
Cliff, there have been any real Prophets
since the Biblical days.”
Charles C. Kuning,
Vice
President, American Nation­
al Bank and Trust Company,
Chicago, Illinois.

“ Toy Bugle”
“ Since September, 1954, we have been pub­
lishing a newspaper for our Toy National
Bank, Farmers Loan and Trust Company,
and our four affiliated banks at Alta, Anthon, Marcus and Remsen, Iowa.
“ Enclosed you will find the most recent
issue o f the Bugle and we shall place you on
our mailing list if you so desire.”
Carleton C. Van Dyke, Vice
President, The Toy National
Bank, Sioux City, Iowa.

“ Good Reading”
“ Would you please send four copies of
‘Rain, Rain, Go A w ay!’ which appeared in
the April issue of the N orthwestern
B anker.

“ Would it be possible to get a few extra
copies o f a poem by Henry Van Dyke en­
titled ‘Be It Ever So Humble,’ which ap­
peared in your magazine about 10 years
ago? I gave several friends copies of this,
one going as far as California. I also have
one framed, and have several requests for a
copy if I can get them.

61st year

EDITORIALS
12

A cross the Desk from the Publisher

7
11
15

Dear E ditor
F rontispage
Trustees A re Personally Liable fo r Their N egligent A cts . . .
H. A . Jungbauer
Add a Farm Representative . . . A N o r t h w e s t e r n B a n k e r
S u rvey
Y ou r Bank’s Open House . . .
A N orth w estern B an k er
S u rvey
News and View s o f the Banking W orld . . . B en H aller, Jr.
H ow Banks Can M ake Better Loans to Help Customers . . .
N. P . Black
Bankers Y ou K now — T aylor S. Abernathy
Leo J. W egm an Is 80 Y ears Y ou n g . . . Clifford De P ay
W h at’ s New . . . fo r Banks and Bankers

FEATURE ARTICLES

16
19
22
23
24
26
30

BONDS AND INVESTMENTS
51

G row ing Econom y B rings U pw ard
Y ields . . . Raym ond T rig g er

59

Get Out o f the Office . . . W. R. B ottorff and J. L. A llen

Investment

63
66

84
86

73
75

93
94
97
100
104

77
81
83

Omaha News
Nebraska Group Story
and Pictures
St. Joseph News
Lincoln News
Iow a News
Des M oines News
Iow a Group Story
and Pictures

OTHER FEATURES
109
109
110

In the D irectors’ Room
Conventions
M ust E xecu trix Give Stockholders Chance to Buy D eceased’s
Stock?— Legal Questions and Answ ers
N O RTH W ESTERN BANKER
306 Fifteenth St., Des Moines 9, Iowa, Telephone 4-8163

Publisher

“ Fine Directory”

Clifford De Puy

“ Please send me one 1955 Iowa-Nebraska
Bank Directory which I understand you have
just released.
“ Have had a copy of your directory for a
number o f years. Feel you do a fine job on
getting this out.

Associate Publisher


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Federal Reserve Bank of St. Louis

on

STATE BANKING NEWS
M innesota Convention
Tw in City News
South Dakota Convention
R eport and Pictures
Sioux Falls News
N orth Dakota Convention
R eport and Pictures
M ontana Convention
Nebraska News

Mrs. C. J. Meyer, State Sav­
ings Bank, West gate, Iowa.

(Turn to page 8, please)

Pressure

INSURANCE

“ Thanking you fo r much good reading in
the N orthw estern B a n k e r .”

DEAR EDITOR . . .

No. 815

Malcolm K. Freeland
Editor

Ben J. Haller, Jr.

Circulation Departm ent

Associate E ditor

Walter T. Proctor

Mary Lou Murphy
Secretary

Associate Editor

Daryl F. Visser

Zorah Pender

A dvertising Assistant

Field R epresentative

A. M. Lemieux

Elizabeth Cole
A uditor

Field R epresentative

Pat Bergstrom

Al Kerbel

NEW YORK OFFICE
Frank P. Syms, Vice President, 505 Fifth Ave., Suite 1806

MUrray Hill 2-0326

DE PUY PUBLICATIONS: Northwestern Banker, Underwriters Review,
Iowa-Nebraska Bank Directory
N o r t h w e s t e r n B a n k e r, J u n e , 1955

8
DEAR EDITOR . . .
(Continued from page 7)
“ I also take your N orthw estern B anker
and it too is good reading.”

John
Ioiva.

C.

Elliott,

Creston,

“ I have just received the 1955 edition of
the Iowa-Nebraska, Bank Directory. It is
very useful in my business and I thank you
for sending me a copy.”
Walter T. Robinson, Vet­
erans Administration, Des
Moines, Iowa.

“ Fine Treatment”
“ I want to thank you for the line treat­
ment given the article ‘Simplify Your Book­
keeping’ by Charles H. Dembe, in the Mayissue of the N orthw estern B a n k e r .
“ May we have your permission to reprint
the article, please? Full credit would be
given, o f course, to the N orthwestern
B an k e r .”

Carleton H. Weidig, The
National Cash Register Com­
pany, Dayton, Ohio.

“ Interesting Old Building”

IMPROVED APPEARAN CE...
with SERVICE TO MATCH!
Yes, it’s more than a surface change.
This modernization gets right to
the heart of teller operations. Better

“ When I was driving in up-state New
York a few weeks ago with Gene McNeely
and Mrs. McNeely, we passed through the
little town of High Falls and one of the
interesting old buildings right on the street
carried this inscription:
“ S. and A. De Puy House— 1797” .
The architecture was quite good, but I
didn’t know you were that o ld !”
Ellsworth Moser, President,
United States National Bank,
Omaha, Nebraska.
Publisher’s N ote: Sometimes we feel even
older.

service, less space, greater conven­
ience, faster opening and closing

1 1 8 2 9 -R 2

procedures . . . all in an atmosphere
of friendly efficiency that every
customer expects from his bank.
Time passes quickly . . . so perhaps
the teller facilities in your bank no
longer reflect the modern services
you render. In that case, this is the
idea you’ve been waiting for, and,
best of all, such modernization is
accomplished at very low cost.

T -4 0 0

Y O U ’ RE S U R E O F
GETTING WHAT YOU

ìe Temute

m m

V

CEDAR RAPIDS, IOWA

CORPORATION

NEED FROM LeFEBURE
P le a s e sen d c o m p le te

.. . Because LeFebure

?nakes every type of
Durable Steel Teller
U n i t . . . to fit your
space and operation!
N o r t h w e s t e r n B a n k e r, J u n e , 1955


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Federal Reserve Bank of St. Louis

“ Pictures Desired”
“ The girls in the bank were so impressed
by the picture, ‘Rain, Rain, Go A w ay!’ in
the April issue of the N orthw estern
B an k er , and so many of them have small
children in the family, that we would like
very much to have you send us about a halfdozen copies.”
Pearl Gothmann, Bookkeeper,
State Bank o f Mound, Min­
nesota.
“ I would appreciate it if you would send
me four copies o f the pictures appearing in
the January, February, March and April
issues o f the N orthw estern B a n k e r . I
have never taken the time to look at your
magazine before this morning and after
reading it, I find that I have missed some­
thing. After reading the Letters to the
Bditor, I feel the pictures are worth hav­
ing.”
Miss A. M. Walton, First
Trust <y Savings Bank, Ce­
dar Rapids, Iowa.

in fo rm a tio n a b o u t T e lle r E q u ip m e n t a n d a r r a n g e m e n t s .

N A M E _______________________________________________
•

BANK NAM E

•

A D D R E S S ___________________________________________

•

C IT Y ________________________________________ S T A T E .

“ I would appreciate it very much if you
would please send me four copies o f the pic­
ture you featured in the February issue of
the N orthw estern B an k e r .”
Jeanne Armstrong, Jackson
State Savings Bank, Maquoketa, Iowa.

A

9

W

a r n i n g

• • •

Just as radar warns of enemy aircraft
before they can do damage, safety paper
detects and gives warning against check
tampering. This round-the-clock protec­
tion is assured your depositors when you
supply them with checks lithographed
on La Monte Safety Papers. At the same
time, you compliment your patrons by
serving them with a product of obvious
quality. Your lithographer can show you
samples of La Monte Safety Papers . . .
or we will gladly send them direct.


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Federal Reserve Bank of St. Louis

A Check Paper
A ll Your O w n
Thousands of banks and
many of the larger corpora­
tions use La Monte Safety
Papers w ith 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 protec­
tion against both alteration
and counterfeiting — makes
identification positive.

SAFETY PAPER FOR
E LA MONT E

& SON,

NUTLEY,

NEW J E R S E Y

N o r t h w e s t e r n B a n ke r, J u n e , 1955

10

Transit

Service

A complete, and constantly

The speediest possible

corrected, schedule of all mail

transit— rendered in an

arrivals and departures—

efficient and genuinely

by rail, by air, by highw ay

friendly manner are

postoffice— coupled with

yours when you avail

frequent pickups and dispatches

yourself of the

at the Post Office— assure

'Round-the-Clock’ service

the very fastest handling

provided by Iowa’s

of items sent to us.

Favorite Correspondent Bank.

fouffig F f lv e fife C etw sp e tttie jtl

Bank

CENTRAL
N oFRASER
r t h w e s t e r n B a n ke r, J u n e , 1955
Digitized for
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Federal Reserve Bank of St. Louis

Member Federai Deposit

and Trust Company
Des Moines, Iowa
Insurance Corporation

11

li you would like extra copies oi this picture we will be glad to send them to you with our compliments.— The Northwestern Banker.


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Federal Reserve Bank of St. Louis

N o r t h w e s t e r n B a n k e r, J u n e , 7955

12
and systematic search for talent is well under
way in other industries.
“ We have become competitive in this respect
with other organizations, and it is important that
we give close attention to its implications.
“ The success with which we solve this problem
of getting- and keeping staffs of superior caliber
will have an important bearing upon our com­
petitive position, and it will be reflected in the
growth of banks and in their earning power.”
A banking career must be made more interest­
ing and attractive to the graduates from our high
schools and colleges if the personnel problem is to
be satisfactorily solved.
Although, as you also suggested, the ratio of
officers to employees in the large commercial
banks is about one to nine and in the smaller
banks, one to three, the problem of recruiting
and training personnel still has to be solved, and
is of vital consideration regardless of the size of
the bank.

A c ro s s th e D e sk
F ro m th e P u b lis h e r
(DjqWl d/dkwv SummsiJxQhhL:
P ostm aster G eneral, W ashington, D. C.

The postal savings system which was estab­
lished in 1910, or 45 years ago, will probably be
abolished next year, and we think that is a step
in the right direction.
Total postal savings deposits now amount to $2
billion, 151 million, and these should be redepos­
ited in banks or used to buy bonds or for what­
ever purpose the depositors may wish.
W ith the F.D.I.C. guaranteeing deposits up to
$10,000 and with the postal savings system losing
depositors each month, this is certainly an appro­
priate period in which to do away with this
system.

CDb o x . J âslcL

J . J Iía w o l :

President, A m erican B ankers A ssociation, and
President, Republic N ational Bank, Dallas, Texas

As the N orthwestern B anker has propounded
many times, one of the very great problems fac­
ing bankers today is to develop future leadership
for their institutions.
You discussed this very ably in a recent ad­
dress in which you emphasized “ our entire per­
sonnel policy must bear the most careful examina­
tion.
“ W e must keep strongly in mind that intensive
t h w e s t e r n B a n ke r, J u n e , 1955
Digitized N
foro rFRASER
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Federal Reserve Bank of St. Louis

CDsucUi, JiswwdLk. ft. m ilk *,:
Senior V ice P residen t
N ational A ssociation o f M an u factu rers, N ew Y ork

“ So People May Prosper” is the name of your
new study in which your association presents a
program for national prosperity based on full
production and increased productivity.
This is an excellent study and well worth care­
ful analysis by bankers, businessmen and union
leaders in America.
The main points include :
1. A steady flow of investment capital— pri­
vate capital provided out of the savings o f indi­
viduals. W ith an investment of more than $12,000
needed for every job, and with about one million
new jobs needed each year, we must “ prevent and
eliminate interference with the basic processes
of capital formation.”
2. Incentive to invest capital. The obstacle of
discriminatory taxes must be removed.
3. Freedom from undue government control
and direction. Economic decisions must be made
by people who have a personal stake in the out­
come instead of by bureaucrats who have nothing
to lose personally.
4. An end of government competition with
business. Private venture, which must pay out
of pocket for its mistakes, cannot compete with
government, which passes the burden of its er­
rors and inefficiencies on to the taxpayer.
5. An atmosphere which encourages faith and
confidence in the future, based on favorable con­
ditions and circumstances.
6. Greater understanding of how our free
economy operates. This includes recognition of

13
the fact that higher real wages, greater benefits
and more security are largely the result of
growth in productivity and cannot be conjured
up by arbitrary means and methods.
7.
There must be industrial peace based upon
the practice of sound human relations between
employer and employee.
Many prominent union leaders and a few of
our hair-brained economists are constantly talk­
ing about improving our economy with the socalled hypodermic of “ purchasing power.” Cer­
tainly we need increased purchasing power, but
many of these ideas are based on an inadequate
and even dangerous prescription for national
growth.
In the long run, the continued success of our
business enterprises in the United States will
depend upon a “ climate of economic freedom”
where as a result of the investment of capital
we will have a greater total output of American
goods and services which in turn will increase
our net purchasing power.

¿ m a n u oL

tf& Il& A .:

Congressm an from N ew Y ork

To merge or not to merge, is one of the big
questions in banking circles today and as chair­
man of the House Judiciary Committee, you have
introduced three bills to control bank mergers
and consolidations.
As stated in your most recent bill, the object
is to “ prohibit any bank merger where it is found
by federal banking officials that the effect might
be to substantially lessen competition in any sec­
tion o f the country, or to tend to create a mo­
nopoly.”
According to your figures, during the past five
years there have been 494 bank mergers involv­
ing over $13 billion in resources.
In the functioning of any institution or group
of institutions, the final answer must be whether
they are serving the public satisfactorily.
When banks merge simply to become “ bigger”
and there is no useful economic purpose served,
then the merger should have not been made.
A merger of a bank or industrial institution
must eventually result in less overhead, lower
costs, more efficient service, which ultimately
benefit the depositor or the consumer.
The N orthwestern B anker realizes that bank
credit and bank deposits represent the life blood
of this nation and if anything is ever done to
control this credit in the hands of a few institu­
tions, it would be bad public policy and should
not be allowed.
As you put it, Representative Cellar, “ I am sure
all reasonable and prudent men will agree that
we need strong, independent, efficient, vigorously

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Federal Reserve Bank of St. Louis

competitive banks. I would not quarrel with the
reduction in the number of independent banks, if
thereby only weak banks were eliminated or, as
the result of consolidation, the public would re­
ceive superior service.
“ I am in favor of any influence which will
strengthen our banks and our banking system.
But I am against the paralysis which occurs when
monopoly takes over a vigorous competing bank­
ing system.”
America was built under the competitive sys­
tem and the public welfare is better served with­
out a monopoly of any kind, either in banking or
business.

(bsxui, (BhswL SpsimsL:
Chairman, H ouse Banking Com m ittee,
W ashington, D. C.

For some time, your House Banking Committee
has been studying bills to regulate holding com­
panies, and such a bill has been favorably report­
ed and will soon be debated by the House before
being referred to the Senate.
The main points of your House bill are these:
1. Require holding companies to get rid of all
non-banking interests.
2. Prevent holding companies from extending
activities to states where they do not now
operate.
3. Exempt mutual savings banks, trust founda­
tions, community chests and other non-profit
corporations founded for religious, charita­
ble or educational purposes.
4. Exclude companies controlling 25 per cent
or more of the voting shares of two or more
banks the total deposits of which did not
exceed $15 million on January 1, 1955.
Some of these features were in the original bill
sponsored by you, Congressman Spence, and we
will now have to wait and see what the final out­
come of this legislation is to be.
As Speaker of the House Sam Rayburn puts i t :
“ I believe there is ample room for big banks and
little banks just the same as we have big business
coexisting with small business, public and private
power.
“ In an expanding and healthy economy, with
all groups sharing equitably in the prosperity of
the nation, the home-owned and home-managed
banks and businesses aware of and responsive to
the needs of the people of their communities
should play as vital a role as the large metropoli­
tan institutions. I simply want us to make abso­
lutely sure that they are permitted to do so.”

N o r t h w e s t e r n B a n k e r, J u n e , 1955

14

T h e M id w a y N a t io n a l B
o f
CHAS. J. r i t t

ank

Sa in t Pa u l

S a in t Pa u l 4 , M in n e s o t a

e x e c u t iv e v ic e p r e s i d e n t

November 24, 1954
MR. C h a r l e s J. r it t . Executive Vice
President, explains below how a 100%
National System pays for itself every
3 years in The Midway National Bank
of St. Paul.

Gentlemen:

e im
jp « « i o n s and procedure,
ahine. in our Saving £ S . " “ “ 11 “ " ? » posti„g „aconverted all our r e o o r d ^ ^ o ^ f e “ ^ ^ «
seven Bank Teller’ machines
i3 ?perated W1th the use of
Commercial Bookkeeping »achiné" K
, ? Ull' i ! t m I n
tion machines, and one S'ultin?!'rv ? ®avings aad Combinamachine.
°ne U lltlPle-Duty Typewriter-Cookkeeping

“Our 100%
e/tfiùonal
System

«uck « ' L S 1" ; ™
. f results en
maximum audit control easv
t0 our customers,
operator trainina - at t h ,/i OPeratÍOa ’,vith simplified
tlon.
lng
at t,le lowest possible cost of opera-

Y

with the use of^ationa?1^00^ thf many econ°mies effected
department.' m s l ’ T ' ‘ J0“ 1
f M " « vary i„% a d
people workina in tho
. ourse> to the number of
work handled, 9and the t y L ^ f^ n * th? recIuirements of the
compared with the National syst^m^T0" formerly “sed as
tion of valuable bank personnel
thl° US* be“ er utilizafer personnel to departments w L ^ í f .opportunity to trans­
demand - is the bin™«t f - •
. thelr services are in
mechanization with National"machines.01 °btained throu9h

PAYS FOR
ITSELF

chines pay forrthímSlíeseéveíí thiee"*1 accountin9 ma"
in National systems has
* ‘í? 6 yf ars‘ 0ur faith
past eight years* experience
itf6 tha” Justified in the
mend National equipíLt to any bank."6 P ^
t0 reC0C!'

EVERY

CHARLE_______
executive vice president

Syeténat9 r é Ì i ? Sh 8e9ÍS,OT C0"Pan>'

— The Midway National Bank of St. Paul, Sf. Paul, Minn.
cost of operation. We suggest you call
your nearby National representative,
a trained systems analyst, for all the
facts on a National System specially
adapted to your particular needs and
problems. His number is in the yellow
pages of your phone book. There’s no
obligation, why not call him today?

Whether your bank is large or small,
you, too, can benefit from the advan­
tages of a modern National System.
Like the Midway National Bank of St.
Paul, you can gain fast, accurate cus­
tomer service, maximum audit control,
better utilization of personnel, new
economy—all at the lowest possible

•TRADE

MARK REG,

U. S

PAT, OFF,

G/fcatkmal
ACCOUNTING MACHINES
ADDING MACHINES . CASH REGISTERS

THE NATIONAL CASH REGISTER COMPANY,
977

N o r t h w e s t e r n B a n ke r, J u n e , 1955


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Federal Reserve Bank of St. Louis

OFFICES

IN

94

COUNTRIES

DAYTON

9, O H I O

15

Trustees A re É*ersouat¡u
Liable for
Aíefjlifjeut A rts
W ritten E specially fo r
The N orth w estern B anker

B y H. A . JU N G B A U E R
M a n a g er, G e n e r a l L ia b ility
T h e S aint P a u l C o m p a n ie s
S ain t P a u l, M in n eso ta

INCE many banks and bankers
are acting in a fiduciary capacity,
it is important that they know
their liability and how insurance can
be written for such liability.
Any time a bank or banker is act­
ing as a trustee, administrator, execu­
tor, guardian or conservator, they are
acting in a fiduciary capacity. While
doing so they are subject to the law
of negligence which holds them liable
for failing to act as the normal pru­
dent person would act under similar
circumstances.
It is a mistake to believe that the
estate or trust is responsible for their
acts and that the assets of the estate
or trust can be used to satisfy their
negligent acts. The law on this point
is very clear and the established prin­
ciples are:

S

(1) A fiduciary is always personally
liable for his negligent acts.
(2) Funds of an estate or trust can­
not be used to pay for the liabil­
ity of the fiduciary.

As proof of these principles we are
citing a few cases to clearly indicate
the scope of the law.
Personal Liability Cases

Trust Company vs. Morgan, 180 Ky.
609, 7 A.L.R. 396, note—A trust com­
pany was trustee for an estate which
included a hotel, an old brick building
with a rambling frame addition. The
hotel burned and three guests lost
their lives in the frame addition. The
trustee was held liable for $6,000 to
the widow of one of the guests, on the
allegation that it failed to comply
with the statutes and ordinance re­
quiring fire extinguishers, standpipes,
hose and lights in the hallways, and
fire escapes on the outside, and rea­
sonable means of egress.
Eustace vs. Johns, Admr., 38 Cal. 3.

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Federal Reserve Bank of St. Louis

as such, and the trial court entered
judgment that the plaintiff recover of
the estate the sum of $2,500 damages
assessed, with costs, but the St. Louis
court of appeals held that the admin­
istratrix, individually,- and not the es­
tate was liable for her negligence.
Liability Policy Needed

“.

.

.

broadest form available is
prehensive general lia b ility .”

com ­

The sidewalk in front of a lot held by
an administrator was left in unsafe
condition, causing injury, and the ad­
ministrator attempted to escape lia­
bility on the theory that he was only
the agent of the estate and its bene­
ficiaries. The court rejected this plea
and declared that he had voluntarily
assumed the office and must perform
the duties due to the public as well as
to the beneficiaries, and that the estate
could no more be held liable for his
neglect of a personal duty than for a
fine which might be imposed upon
him for an offense committed while
in possession of the estate.
Horn Trunk Company vs. Delano,
162 Mo. 402. An administratrix held
three buildings, an automatic sprin­
kler tank resting on two of them. The
tank collapsed and property of the ten­
ants was damaged by the water. One
of the tenants sued the administratrix

The solution for protecting a fiduci­
ary’s liability is a liability policy cov­
ering bodily injury and property dam­
age. As soon as a bank or banker
has accepted a fiduciary capacity, it
should be determined whether a liabil­
ity policy is in existence and at ade­
quate limits of liability. If so, the
name of the fiduciary can be added
as an additional insured without any
additional premium charge.
If no policy is in effect, it is strong­
ly recommended that a liability policy
be immediately purchased, and the
broadest form of policy available is
the comprehensive general liability
policy.
In the case of a bank or banker
acting as a fiduciary, such a policy can
be written to provide coverage for all
trusts, guardianships and estates and
will further provide automatic cover­
age for all new fiduciary appoint­
ments.
In the case of an individual who
will infrequently act in such a capac­
ity, the owners’, landlords’ and ten­
ants’ form is also available, but it does
not provide as broad coverage nor
does it contain the automatic coverage
feature of the comprehensive general
liability policy.
If you are now acting in such a ca­
pacity, we urge you to make it your
next item of business to determine
whether liability insurance is in force
because “fiduciaries are personally lia­
ble for their negligent acts.”—End.
N o r t h w e s t e r n B a n ke r, J u n e , 1955

16

if You A t'v Ptuuuiuy to „ . .

\ iId a F a r m
A NORTHW ESTERN BANKER
S u rvey

ORE bankers in this area are
finding it a profitable move,
and very satisfactory public
relations-wise, to add a farm repre­
sentative to the staff of their banks.
In a survey recently conducted by
the Northwestern Banker, it was
found that bankers are pleased with
their decision to add a farm represent­
ative, and report the following as be­
ing the qualifications that should be
required for such a position:
The prospective farm representative
for your bank should be on the con­
servative side, with a farm or ranch
background, knowledge of the area in
which he is to be stationed, and should
be able to approach and “get along”
well with farm groups.

M

Education 1inportant

Most of the banks contacted selected
men who had been graduated from
state agricultural colleges, had stud­
ied agriculture in college, or had had

experience as county agents. Educa­
tion appeared to be most important,
with county agent or farm group ex­
perience next.
The bankers believe the man se­
lected for this position in the bank
should know something about animal
husbandry, be able to assist farmers
in setting up a feeding program and,
after some experience, be able to de­
velop farmer-relations projects at his
bank.
The following discussions by bank­
ers in this area offer many insights
into their selection of farm represent­
atives for their banks, and the duties
performed by the men chosen. These
should prove not only interesting, but
also may serve as criteria to be used
by any other banker wishing to ren­
der a better service to a very impor­
tant segment of his customer-popula­
tion by adding a farm representative
to the staff of his bank:

E. W . KANE

President
Worthington National Bank
Worthington, Minnesota

In our case, we are exceedingly for­
tunate. Mr. Thue, who came with us
about four years ago, had been agri­
culture teacher here in the high
school several years, and prior to that
had had several years’ experience in
several schools.
He was gone from Worthington for
about a year, but was well acquainted,
and during the time he was in school
here, he was supervisor of the vet
training program. During the wintermonths he had an adult farm school
and I think they had a class every
week, so he was well acquainted with
some of our farmers. Many of our
farmer customers were very pleased
when we brought him back to Worth­
ington.
He had never had any credit expe­
rience before, but because his ideas
of values and thinking were sound, he
has turned into an excellent credit
man with our farm customers. At
the present time he is handling a large
part of the credit with our farmers.
Eases the Load

THE OWNER of this farm found the advice of his bank’s farm representative most help­
ful in establishing a line of credit and in his farm operations. This satisfied customer of
the Worthington National Bank in Worthington, Minnesota, is proof of the value of a
good farm representative.

Digitized for
N oFRASER
r t h w e s t e r n B a n ke r, J u n e , 1955
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Federal Reserve Bank of St. Louis

Another thing which has pleased
me very much is that he has taken a
big load off my shoulders, as prior to
the time he came here, I spent a lot
of my time with our farmers, espe­
cially discussing feeding operations,
endeavoring to watch price trends,
etc. With our other work I was not
able to do justice to the large number
of customers we have.
He spends most of his time at his
desk in the bank now, makes up most
of the farmer financial statements, as­
sists in writing the hail insurance, at­
tends farmer meetings, handles most
of the farmer loans, and has been very
helpful working with some of our men
who need guidance. Every bank has
a certain number of customers who
have to be watched very carefully or
they get out on the limb, and he has
done an outstanding job in this.

y'

17

Representative
,

. . . to the staff of your bank read
what these bankers say about the selection
training and duties of the men note
operating as farm representatives in
their banks.

Of course, it is difficult to say what
success a man will have if he hasn’t
had bank experience until you have
tried him out. I think first he should
be the conservative type, a man who
knows farm values, something about
farm operations, and someone the
farm customer will respect and have
confidence in. I would not want to
hire the type of young man whose
first thought was to load every farmer
with a lot of high priced machinery
to make a big showing. The right
type of man is valuable. Otherwise,
I think he would be a pain in the
neck. Each bank should secure a man
who is known in the community, and
in whom the farmers would have con­
fidence. He could be an agriculture
teacher, county agent, and I know
some cases where a man in the bank
has been picked and has been very
successful.
We are happy about our situation,
and if any bank wants to contact us
at any time, we will be very glad to
confer with them.
W IL L IA M BU XTO N III

President
Peoples Trust and Savings Bank
Indianola, Iowa

Our primary requirement was to
find a man living in our locality who
had already proved that he would be
accepted by our customers. In addi­
tion, we preferred a man with a farm
background who was a college gradu­
ate with a major in some type of agri­
culture.
To perform successfully he must be
a man who is not afraid to work with
irregular hours. Since he is largely
on his own, he must be able to plan
and carry out his work with a mini­
mum of supervision. He must be able
to organize his work and speak be­
fore diverse groups. Tact is a must
as well as some suitable clothes to
make farm visits.
We had no formalized program of
training. For some time he rode with

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Federal Reserve Bank of St. Louis

,

one of our directors who was making
our real estate appraisals and check­
ing chattels. He sat in on our daily
loan committee meetings and monthly
directors’ meetings. He was used as
a substitute teller and operated our
bank offices several times to get the
“feel” of other bank operations.
Want No Extension Director

We are very definite that we do not
want our man to be just another ex­
tension director. We want to know
where the answers are and give ad­
vice only when it is requested. His
duties include:
Visiting farms on new loan appli­
cations.
Checking chattels on renewals and
extensions.
Appraising farm real estate.
Managing farms.
Liaison officer for 4-H and F.A.A.
groups.
Serving farm customers in the
bank.
Handling bank booth at county
fair.
Handling p u b l i c relations and
business promotion projects of the
bank involving farm interests.
Clerking of farm sales.
Part of Loan Department

We consider our farm representa­
tives as part of our loan department
and as such he specializes in matters
relating to farming.
Very little of his time is spent in
soliciting new business. It has al­
lowed us to make sounder loans from
both the customer standpoint as well
as our own. He keeps us in touch
with farmer point of view and farm
price trends. Most of the time is
spent in promotional projects already
carried on by the bank, but having
one man assigned results in consistent
and continuous program. This has
made it possible for us to offer farm
management service.

J. M. PATTON

President
The Mitchell National Bank
Mitchell. South Dakota

Three years ago at this time we’
hired our first farm representative.
A lot of thought and effort was given
to this particular matter. We inter­
viewed a number of young gentlemen
who were graduates of the state agri­
cultural college and had considerable
experience as county agents.
We felt they should have this par­
ticular experience in that they had,
through that experience, learned how
to approach farm groups and get along
well with them. We wanted a young
man, one who is not too set in his
ideas and could be molded to the
thinking of banks.
Good Will Representative

The specific duties of the farm rep­
resentative as concerns this particular
bank is that he is to make inspections
of all loans for which we receive ap­
plications, check present chattel mort­
gages, write a report relative to each
particular inspection that he makes,
assist the customer with any particu­
lar feeding program that he may have,
and be an all-around good will repre­
sentative of The Mitchell ' National
Bank.
He is likewise expected to partici­
pate in all farm organizational meet­
ings, such as 4-H, Achievement Days,
F.F.A., G.I. vocational education, etc.
Once a month he edits a mailing
piece, later forwarded to our farm cus­
tomers, which discusses pertinent
farm problems of the day.
Excellent Benefits

We feel we have received excellent
benefits from the farm representa­
tive, in that we have a better idea o f
each farmer’s operation, and we havebrought in many new ideas, such as
a land judging contest, with the win­
ners participating in the national con­
test in Oklahoma City. We have de­
veloped a feed lot conference and are
trying at all times to keep the name,
N o r t h w e s t e r n B a n k e r, J u n e , J 9 S S

18
Mitchell National Bank, before the
various groups and organizations.
E. F. GALT

Chairman of the Board
The First National Bank
Great Falls, Montana

We feel that modern banking re­
quires one or more of its staff to be
well versed in agriculture in all of its
phases in order that we may give our
customers the best service. This is
especially true today when we vis­
ualize the many changes that have
taken place in agricultural techniques
in recent years.
As to the qualifications we consider
essential for this sort of a job, first
of all it’s my opinion that one of the
prime requisites should be that the
person should have a farm or ranch
background, preferably a boy who has
been reared on a ranch. The particu­
lar type of farm the individual is
reared on may vary for different
areas, but I believe for Montana that
a young fellow who has been around
a diversified farm operation has per­
haps a little better over-all knowledge
of livestock and the raising of grain
crops. Secondly, the person should be
college trained in the field of agricul­
ture. There are many particular fields
in agriculture which one could be
schooled in but we think a major in
animal industry (husbandry), and ad­
ditional courses in agricultural eco­
nomics would perhaps be the best
background for this type of work.
Personal Interview

In selecting a person for this job
we would want a personal interview
with the applicant and would like to
select from a current graduating class

of a college that is recognized as hav­
ing a good agricultural curriculum.
The applicant should be above aver­
age as a student. He should have
taken an interest in extra-curricular
activities during his college days.
This would include a multitude of ac­
tivities, but they would tend to round
out the personality traits of the indi­
vidual. We believe that a personal
interview is an absolute necessity and
that every effort should be made to
bring out from the applicant an ex­
pression as to why he feels a job as
an agricultural representative of a
bank would be to his liking.
While we feel it is important that
all bank personnel be thoroughly fa­
miliar with bank routine, in selecting
an agricultural representative we
have in mind that his primary duties
are largely getting thoroughly ac­
quainted with the territory, the bank’s
customers engaged in agriculture, and
fully conversant with all agricultural
activities of every nature that take
place in the general trade area of the
bank, gradually absorbing the bank
routine with these duties rather than
spending full time in the initial stages
of his employment by trying to learn
bank routine.
Our Plan Works Well

We have followed this procedure in
training our agricultural representa­
tives and have found it works well.
We feel we gain a lot of time in
bringing them along to where they
are of real value to the bank.
In the initial stages of employment,
about half of the time is spent in the
country; the rest of the time is spent
at a desk on the officers’ rail so he

MOST BANK S who have an outside farm representative expect this man to check each
loan application, give an accurate description o f all real estate and chattels involved and,
in general, maintain close supervision of the bank’s farm business. Banks in various
areas have farm financing requests peculiar to their own vicinity, but most midwest
banks find it helps to have a staff member who is an expert on farm problems, such as
financing of cattle shown in picture above.
N o r t h w e s t e r n B a n ke r, J u n e , 1955

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may have an opportunity to become
better acquainted with our customers.
As time goes on, interviews with agri­
cultural customers are turned over to
him for the taking of financial state­
ments and other pertinent data with
regard to loans that may be applied
for. In the course of two or three
years, depending on his aptitude for
this type of thing, he will be making
loans and will be the person in the
bank to whom agricultural type of
business is largely referred.
There are many phases to a problem
of this kind, of course, and I have
only briefly touched on a very few of
them.
TED J. WELCH

Vice President
Peoples Bank and Trust Company
Cedar Raoids, Iowa

We have had a farm representative
here at the bank since 1940. This
man came to us with a background of
agricultural training, both from the
educational and practical sides. He
was graduated from Iowa State Col­
lege at Ames and served as county
agent at Fairfield from March, 1927,
to March, 1928. He also was employed
by Collins Farms Company, Govern­
ment Feed and Seed loan office, and
the Farm Security Administration,
which is now Farm Home Adminis­
tration.
Since coming with our bank he has
been active in the outside promoting
and contacting of our present farm
customers, and also in the solicitation
of prospective new customers. He has
participated in the extension of agri­
cultural credit, both here in the bank
and outside in the field, by reason of
his inspecting and appraising of farm
real estate, machinery and other
forms of chattels. He has supplied
us with opinions with respect to the
efficiency or capability of various
farmers and their farm operations.
Large lines of credit are, of course,
referred to the loan committee and
approved in the directors’ meetings.
These approvals are based on the
financial statements and the recom­
mendation made as a result of the out­
side contacts.
In addition to this direct work, our
farm representative has been active
in public and civic affairs as they have
to do with agriculture.
This type of activity is rather in­
tangible so it is rather difficult to
appraise the actual value or direct
benefit that you get from it. How­
ever, we do feel that there are certain
benefits to be derived and, of course,
advertising people will confirm the
fact that any time you get your rep­
resentatives, your bank name and
their activities before the people in a
favorable light that there are definite
benefits to be derived.—End.

19

M in n

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Y O U R BAN 1EC’ S OPEN H O U SE
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . m inim a

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t f Y o u 9r e Hluuniuif un Open H ou se —
H ere A r e Tips fo r You
A NORTHWESTERN BANKER Survey

ACH year many banks in the
N o r t h w e st e r n B a n k e r territory
schedule open houses. They
usually are held to commemorate the
bank’s anniversary, to display new
bank buildings or equipment, to aid
in observing “ Know Y o u r Bank
Weeks,” to show off their remodeled
quarters, or for other such purposes.
It is no minor task to plan a suc­
cessful bank open house, and many
persons faced with this problem have
never had such experiences during
their careers. For this reason the
B anker
surveyed a
N o r t h w e st e r n
group of bankers who recently have
conducted open houses in their own
banks—and their comments on their
open houses follow.
If your bank is planning an open
house, you may get several good ideas
from their comments and observa­
tions. And many of the men whose
comments appear below have volun­
teered personal assistance to any bank
writing them for help in planning an
open house.

E

L. M. LANNING

Cashier
City State Bank
Madrid, Iowa

We moved into our new quarters
last November and held open house
the following Saturday. The bank
was open from 2 p. m. until 9 p. m.
We had previously publicized the
event by local newspaper advertising
along with printed invitations to bank­
er friends and others who might not
see the article in the local paper. The
Boone, Iowa, radio station also was
good enough to announce the occasion
as a matter of public interest.
Souvenirs were presented to every­
one—rosebuds to the ladies, including
the very young ladies, and bank pen­
cils and notebooks to the men. Tiny
tot checks were presented to the
youngsters as they came through the

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Federal Reserve Bank of St. Louis

door, the presentation being made by
two of the bank’s young ladies. These
checks were redeemable at any local
store for one ice cream cone.
This idea worked well for us, as the
children left soon to get their ice
cream cones and were not under the
feet of the grownups every time they
turned around. No special displays
were featured as our layout was en­
tirely new and we had several features
of our own to interest the people.
We laid out a line of tour, with staff
members located all along the line and
especially at features we wanted to
have explained. These included the
night depository and letter slot, drivein window, microfilming equipment,
the vault and other equipment.
The tour was completed in the base­
ment, where coffee and cookies were
served from our built-in snack bar.
Our basement is large, so we easily
seated everyone as they came for re­
freshments. This proved very popu­
lar, as the people could stay and visit.
We had more than 2,000 visitors.
If we were doing it again, we would
recommend the use of circulars to in­
form each boxholder in the territory
of the occasion. We gave name tags
to all officers, employees, directors and
their wives; this helped them take
greater interest and kept things mov­
ing.
Guest books proved to be quite a
bottle neck in our case. If these are
used there should be more than one,
and so located that persons don’t have
to stand in line to register. Waiting
in line can spoil even the best show
on earth.
P. E. W ILMS

Executive Vice President
First National Bank
Sleepy Eye, Minnesota

Our open house was publicized be­
fore hand in the local newspapers,
with only a limited number of invita­

tions being sent out. These were sent
to banker friends and others who
might be interested, but would have
no way of receiving the information
through the newspaper.
Cigars were given to all men and
roses to the ladies in attendance. Of
special interest to those attending was
the currency display supplied by the
Chase Manhattan Bank, New York.
The open house was held from 2 to
9 p. m., with bank personnel conduct­
ing guided tours of the bank. Seven
$25 United States savings bonds were
presented guests of the bank during
the day, and this proved to be the
most popular part of the open house.
GORDON JONES

President
Bunk o f Brady
Brady, Nebraska

In getting the news to our custom­
ers concerning our open house, we
sent out invitations.
Pencils and novelties were present­
ed to the guests attending, and coffee,
doughnuts and candy were served as
refreshments. Since Brady is a small
town of 370 persons, guided tours
were not conducted in the bank. The
most popular features included the
flowers and gifts given the guests dur­
ing the three-hour open house.
T. E. HUDSON

President
Farmers and Merchants Bank
Beach. North Dakota

Our bank relied mostly upon the
local newspapers for publicizing our
open house. We used two advertise­
ments in advance of the occasion, and
felt this sufficient notice. No invita­
tions were sent out.
We presented the guests with pen­
cils, key cases, thermometers and oth­
er small gimmicks as a good will ef­
fort. Cigars and candy were also
given the guests. Entertainment was
in the form of musical numbers from
N o r t h w e s t e r n B a n ke r, J u n e , 1955

20
a band we obtained for the occasion.
The open house lasted the full day,
from 9 a. m. until 4 p. m. Bank per­
sonnel were assigned duties of distrib­
uting flowers and other gifts. We per­
mitted the people to roam through the
bank as they wished and ask questions
as they wished. For this reason
guided tours were not conducted.
One of the more popular features of
the open house was the registration
for drawing five prizes. Other popu­
lar features included the gifts and
Christmas decorations throughout the
bank.
C. G. JOHNSON

Executive Vice President
The First National Bank o f Plains
Plains, Montana

Two items were regarded by our
bank as being equally popular at our
open house. We had on special dis­
play a 50-year anniversary cake, and
present for the occasion were two de­
positors who had done business with
our bank all 50 years.
The open house was publicized
through the local newspapers and in­
vitations were sent to all customers
of the bank. Souvenirs were given
to all guests, including even the small
children.
An organ in the lobby furnished
music during the open house held
from 2 to 9:30 p. m. Coffee and cake
were served. During the afternoon
we had a free movie and in the eveing a free dance. These proved quite
popular.
The personnel of the bank acted as
hosts for the occasion, greeting each
visitor and guiding them through the
bank, pointing out features of inter­
est. I doubt if our open house was
actually unique in any way, but it
was well accepted and enjoyed.
E. C. H ABBERSTAD

President
Farmers and Merchants State Bank
Blooming Prairie, Minnesota

Last year our bank marked our 50th
birthday, but since it fell on a regular
banking day we held our anniversary
open house on the previous Saturday,
from 1 to 5 p. m.
We p u b lic iz e d the celebration
through newspaper advertising al­
most exclusively, and sent out only
a few personal invitations to some of
our banker friends and close associ­
ates.
During the open house our em­
ployees were scattered throughout the
bank, welcomed the guests and did
what they could to make them feel
welcome. We passed out cigars and
roses, and served coffee, cookies and
doughnuts to the groups and ice cream
cups to the children.
As the visitors entered, they regis
J
Northwestern
Banker, June, 1955
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

tered and later in the day a $25 U. S.
savings bond was presented the win­
ner. We enjoyed a steady stream of
traffic through the bank from the time
we opened until we closed the doors,
and although the open house was sim­
ple, it was well accepted.
O LIVER A. HANSEN

Executive Vice President
Liberty Trust and Savings Bank
Durant, Iowa

Our bank’s open house was last
October and followed a remodeling
program. It was also to commemorate
the bank’s 50th anniversary.
In a rural area, we were quite con­
cerned about the selection of a date
for the open house. Because of the
building program, we were limited in
this respect. We wished to have it
before cold weather set in, and since
we had been in a “mess” for several
months while work was being done,
we were anxious to hold the event
and return to normal operations.
Corn harvesting made us hesitate
having it in October, but we decided
to alleviate this problem somewhat by
having an evening opening open house
as well as one in the afternoon. If we
were to hold another open house and
didn’t have to consider building proj­
ects, we would certainly hold it in a
less busy season for the farmers.
Our officers had visited many bank
open houses and observed bank pa­
trons being overlooked because of a
desire of bank personnel to visit with
banker friends — a natural situation.
For this reason we scheduled our
open house on two different days.
We held a bankers’ open house on
Tuesday evening and a public open
house on the following afternoon and
evening. This left us free to carry
on normal banking operations without
interference.
The bankers’ open house began at
5 p. m. and was followed by a buffet
dinner at the American Legion home,
one-half block from the bank. The
stress was on plenty of tasty food
rather than on formality. This was
followed by a social hour with cheese,
other spreads, shrimp, etc., being
served.
The public open house began at 2
p. m., with the ladies in attendance
receiving flowers and the children
rulers and balloons. The church la­
dies who had served the dinner the
night before served ice cream, cake
and coffee in the bank basement.
A brochure was printed and distrib­
uted which traced the bank’s growth
during the 50-year period. This book­
let is available to any bank wishing
to use it as a style for their own bro­
chure.
The local newspapers were most co­
operative and radio stations equally

so, necessitating a minimum of paid
advertising. We probably should have
placed a notice of the open house in
the statements mailed out October 1,
but this was not done. Personal let­
ters were sent to the banks in the area
requesting a reply. This proved 100
per cent effective in determining the
number to expect at the bankers’ open
house—we had 16 shrimp left over.
The bank personnel cooperated very
well and seemed to enjoy both events.
The girls registered the guests and
handled the flowers and souvenirs.
An officer was always at the door to
greet everyone as he entered. Other
bank personnel were posted at various
points of interest and were told not
to leave these posts.
The tour was arranged to keep one
line of traffic, which was possible.
This proved much more effective than
having one person take a small group
through individually. One of our cor­
respondent banks furnished us with
three men to help us these two days;
they helped with everything, from
greeting guests to moving the ice
cream truck.
As for special displays—the bank’s
and our many friends supplied us
with one of the finest floral displays
one could ever hope to see. These
flowers, a currency display, colored
pictures on the wall, and the new
bank addition proved of great interest
to the viewers.
The open house, at first a little dis­
turbing because of our inexperience in
that line, turned out to be a big
“party,” with bank employees, direc­
tors and the community pleased with
the results.
One of the highlights for us was
when a customer brought in a threetier angel food cake, beautifully hand
decorated. We are now convinced
that an open house is not a problem,
but something that can be enjoyed by
everyone concerned.
K. O. SATTRE

President
Blue Earth State Bank
Blue Earth, Minnesota

People were informed of our recent
open house by a general mailing,
which in turn was supplemented by
two full page advertisements in our
local newspaper.
All persons entering the bank were
presented with house plants in small
jars, key rings and treasure chest
keys, and other such gifts. The bank
personnel were assigned specific duties
in acquainting visitors with the bank.
The new deposit vault and proof ma­
chines proved of great interest to the
public.
The open house was held on two
days, from 2 to 9 p. m. the first day,
and from 2 to 6 p. m. the second.

L

Our open house was unique from
others in that we strived to sell our
services and we did sell them—espe­
cially our savings accounts by offering
premiums.
S. J. K R YZSK O

President
Winona National and Savings Bank
W inona, Minnesota

Our open house was very well pub­
licized beforehand, as we used both
newspaper advertisements and direct
mail. Treasure chest keys were mailed
to residents of the area and personal
invitations were sent out.
An entire 12-page section of The
Winona Republican-Herald was de­
voted to the two-day open house, two
days prior to the event. The section
not only invited the public to the open
house, but acquainted them through
pictures with the officers and em­
ployees of the bank. The paper also
pointed out the many special services,
new and old, offered by the bank.
The two-day open house was held on
Friday and Saturday from 5 to 9 p. m.
and 2 to 5:30 p. m., respectively. Gifts
of all kinds were presented as sou­
venirs—potted plants, Watkins Prod­
ucts, renewable memo books, automat­
ic pencils, balloons and door prizes.
The door prizes were a 15-cubic foot
freezer, an electric roaster, an electric
mixer and two toasters.
A special open house reception was
held for the business men and corre­
spondents. All personnel were as­
signed set duties. Guided tours were
not conducted, as we roped off the
bank tour route and used directional
cards as guides.
The most popular feature was the
treasure chest, as persons tried to
open it with the keys they had re­
ceived in the mail; the large prizes
for registration, and the museum we
have on the second floor. This muse­
um was mostly furnished by E. L.
King, former president of the bank,
who was internationally known as a
sportsman, big game hunter and col­
lector.
The most unique thing about the
open house was the way it was
planned and carried out to the letter.
We would do exactly the same if we
did it again.
LER O Y O. W ALLIN

Executive Vice President
Big Horn County State Bank
Hardin, Montana

We recently had an open house
which proved a most successful ven­
ture. Having built a completely new
building and having equipped it with
all new fixtures, we were quite proud
of what we had to show.
We had a preview opening, for bank­
ers only, from 7 to 10 p. m. on the

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

evening prior to our public open
house. We served refreshments at
this occasion and handled all activi­
ties in an informal manner.
No invitations were sent out for the
public opening, but we took a com­
plete section of the local newspaper
prior to the opening, inviting the pub­
lic to attend. We worked up quite a
spread in the paper, having pictures
of all of our officers, directors and em­
ployees. The entire section was used
in explaining the new services to be
offered in our new institution.
During the open house we gave
away imprinted balloons and suckers
to the children and souvenir key
chains imprinted with the bank’s
name. We also gave away a number
of valuable door prizes, and conducted
a guessing contest as to the weight of
our new vault door, the winner re­
ceiving a $25 U. S. savings bond.
No refreshments were served at the
public open house, and we feel that
we were wise in this decision, as there
was a continual flow of persons
through the bank all day, and we
know it would have created quite a
mess had we attempted to serve any­
thing.
The hours for the public opening
were from 10 a. m. to 4 p. m. and we
chose Lincoln’s birthday, which was a
legal holiday, so it would not be nec­
essary to do any business during the
day. All bank personnel spent the
entire day in the bank and we dele­
gated specific duties to each of them.
We attempted to have the crowd
follow a particular pattern, going
through the various departments, and
having their operations explained to
guests by the personnel on duty.
The most popular feature was the
guessing contest on the vault door and
we received many comments on this.
All in all, we feel we wouldn’t plan
it any differently if we were to do it
again as it worked out very satisfac­
torily.
E. D. SALTZMAN

President
The First National Bank
Bismarck, North Dakota

Our open house was held three days
last July when we opened our new
bank. The first day of the open house
was devoted to out-of-town guests and
we sent invitations only to people
out of town. The second and third
days were devoted to in-town people
and our customers. No invitations
were sent out for these two days, as
the great number needed would cause
complications and p erson s missed
might feel poorly toward the bank.
The open house was publicized by
a series of newspaper ads in the Bis­
marck Tribune, and on radio and tele­
vision.

We gave away more than 7,000 roses
to the ladies, a brochure of the new
bank, and our principal souvenir, an
ash tray with an imprinted picture of
the new bank building, the tray being
in the shape of the state of North
Dakota.
No refreshments were served, but
we did have music at various times.
On the first day the open house was
from 9 a. m. to 5 p. m. The other
days we, of course, were open during
banking hours and then reopened an
hour after closing and remained open
until 9 p. m.
Bank personnel were on duty and,
among other things, conducted guided
tours which we mapped out before­
hand to prevent a crossing of lines
while going through the bank. As our
bank personnel did have their bank­
ing duties, we trained 10 young col­
lege girls and young matrons to con­
duct the tours during the banking
hours. The evening hours were con­
ducted by our own personnel.
I don’t know that our open house
was unique from others, but I have
never been at an open house where
the guided tours were as well han­
dled as they were in our bank. Our
many friends remembered us with a
profusion of flowers, as it was our
75th anniversary.
AL SANDERMAN

Cashier
Melbourne Savings Bank
Melbourne, Iowa

In planning for our May open house
celebrating our 50th anniversary, the
first thing we did was inform our busi­
ness men’s organization that this was
coming and they entered into the
thing and helped us a great deal.
We informed the newspapers and
sent out invitations to every customer
on our books and everyone else whose
name we could get. We thought we
shouldn’t miss anyone if it could at
all be helped.
As souvenirs we gave plastic fly
swatters (pastel colors) to the ladies
and a ball point pen. To the men a
ball point pen, different in color, and
to all a piece of birthday cake, coffee,
scratch pad, and cake napkins. The
pens, souvenir cake napkins and
scratch pads were imprinted with the
bank’s name and address.
The cakes were individual cakes
with the letters MSB imprinted in the
frosting. To the children we gave
balloons and an ice cream cone check.
As an added aid to us, the Mel­
bourne business houses opened their
places of business at night, not to ^ell
anything, but to make the town seem
O PEN

H O U SE . . .

(Turn to page 94, please)
N o r t h w e s t e r n B a n k e r, J u n e , T955

22

News and Views
OF THE BANKING WORLD
By BEN H A LLER , JR ., E d i t o r

1IRST NATIONAL BANK in St.
I Louis was recently the recipient
of 6,300 pounds of pennies—worth
$10,000 — deposited by Notre Dame
High School of nearby Lemay, Mis­
souri. The 1,000,000 pennies were orig­
inally deposited in the Southern Com­
mercial Bank, but were later trans­
ferred to First National for proofing.
The money, collected by the 500 all­
girl student body, is to help build a
new Notre Dame high school. The

I

students earned the one million pen­
nies by washing ears, baby sitting,
bake sales, and house-to-house collec­
tions.

The girls started in January and col­
lected the money in small amounts. It
represents the nucleus of a $650,000
building fund.
* * *
Through the efforts of The Hanover
Bank, New York City, “a little bit of
Brooklyn”—a container of genuine Ebbets Field soil—has been transplanted
in Dallas, Texas, to soothe the home­
sickness of a Dodger fan now located
in the Lone Star State.
The Dodger fan is James Shireff, an
engineer with the petroleum engineer­
ing firm of DeGolyer and MacNaughton, Dallas.
Recently, one of Mr. Shireff’s asso­
ciates visited The Hanover, made

known the plight of the Dodger fan in
Dallas, and it was decided there was
nothing better than bona fide Ebbets
Field earth.
The Hanover not only succeeded in
getting the soil, but arranged to dig
it right out of the infield area around
second base, scene of many a rhubarb.
* * *
Dual promotions in Bank of Amer­
ica were disclosed recently by S. Clark
Beise, president, when he announced
that Fred Yeates, vice president and
director of publicity, has been as­
signed vice presidential duties in the
executive department at the bank’s
San Francisco headquarters and that
Willard AY. Williams will take over
the duties formerly performed by Mr.
Yeates.
Identified with the publicity depart­
ment since he joined Bank of America
in 1937, Mr. Yeates has a wide and
varied experience in the field of jour­
nalism and as a creative writer for
motion pictures and radio. He was
the original editor and producer of
the Richfield Reporter when that well
known news program first went on
the air in 1931. He was appointed
assistant vice president of the bank in
1946 and named vice president in 1953.
Mr. Williams has been with Bank of
America since 1936 when he was first

N avajo A r tis ts at W o r k

BIG M EDICINE— The lobby of one of the most modern banking offices in the Southwest
recently provided a strikingly contrasting background for two venerable practitioners
o f the most ancient of Indian arts—-sand painting. Thousands of newcomers to Arizona
thronged the Valley National Bank’s W illetta office in Phoenix to admire the sacred
ceremonial designs “ painted” by two famed Navajo medicine men with the aid of vials
of colored sand and infinite patience.
The demonstration was a free public preview o f an intriguing feature of the nationallyknown Phoenix All-Indian Ceremonials. At the end o f the week’s display, the W illetta
office reported that “ a substantial number o f new accounts has been opened.”
N o r t h w e s t e r n B a n k e r, J u n e , 1955


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

employed as a junior clerk. He has
been associated with Mr. Yeates in
the publicity department at the bank’s
San Francisco headquarters.
*

H
= *

Frank M. Covert, recently retired

vice president of the Drovers National
Bank of Chicago, has purchased a
home in St. Petersburg, Florida, and
will reside in that city from now on.
Mr. Covert started his banking career

FRANK M. COVERT
Retires at Drovers National Bank

in Plainfield, Wisconsin, in 1915. He
joined the Drovers Bank staff in 1917
and has been calling on midwestern
bankers as a representative of the
Drovers National ever since.
Mr. Covert has been active also in
Chicago civic affairs for many years.
* * *
John S. Coleman, president of Bur­
roughs Corporation, last month an­
nounced construction would start im­
mediately on a new building near
Paoli, Pennsylvania, to accommodate
the rapidly accelerating research and
development program in electronics,
particularly devices for the armed
services.
The building will have 28,500 square
feet of floor space and will be erected
on a newly acquired 104 acre tract.
Paoli is the location of the company’s
new Research Center, a 105,000 square
foot laboratory which was occupied
just a year ago.
Burroughs also announced it was
leasing 10,000 square feet of floor
space in another building in Paoli.—
End.

23

A Review o f Bank Examinations Shows:

Hanks
M a k e H etter Loans
To
Help
Cu
llo ir

B y N. P. B L A C K
S u p e r in te n d e n t o f B a n k in g
S ta te o f Iow a
D es M o in e s , Iow a

HE Iowa banking department
now has under its supervision
562 state chartered banks with
160 bank offices, 278 credit unions and
250 small loan companies.
The year 1954 was the most profit­
able year in the history of Iowa bank­
ing.
During the year the all-time high in
assets reached $2 billion. Deposits—
an all-time high of $1,823 million;
loans—an all-time high of $682 million.
The increase in loans was two times
greater than the increase in deposits.
Could this be a caution signal?
Capital structure of all banks made
an all-time high of $153 million. After
paying liberal cash dividends, banks
added more than $4 million to their
capital structure—49 per cent more
than the previous year.
Net profits for 1954, $22,700,000, $1
million or 5 per cent more than the
previous year, the like of which may
not happen again this year or the
next. Why do I make that statement?
One reason is: Profits from sale of
government securities by Iowa state
chartered banks are $3,600,000; recov­
eries from charged off assets, $1,400,000, making a total of $5 million.
Now this $5 million profit came
from what we refer to as “non-recur­
ring” profits. Recoveries from charged
out assets can occur only one time.
The government bond market through­
out the year was the most favorable
market, to make profits, through buy­
ing and selling government securities,
than any year of more than 40 years
of my personal banking experience.

T

Bond Market Reversed

We now find the government bond
market is in the reverse. Many of
our banks presently show a deprecia­
tion in their bond portfolio. In some
cases, the depreciation is so large it
stands out like a “ sore thumb.” Could
this be a caution signal?

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

It is my opinion local banks should
make an honest effort to take care of
honest and reliable borrowers in their
local community. We should put forth
an effort not to let discount compa­
nies, Morris Plan banks, building and
loan and Federal Savings and Loan
Associations take good business away
from the banks. Farmers buying new
farm machinery, cars, etc., are likely
to be better off with a direct loan
from the bank than by getting credit
through their local dealer.
Advantages to Farmers

The interest on a direct loan from
the bank is usually lower. Most
banks, I believe, usually charge inter­
est on the remaining unpaid balance;
whereas, on contracts, interest may be
figured in advance on the full amount
of the loan.
Another advantage of the direct
loan is that the farmer will usually
be in a stronger bargaining position
if he has his financing all worked out,
and then pays cash for his purchases.
It is better also for a farmer to get
his machinery and car loans from the
same bank where he gets his produc­
tion credit. In that way he will have
all his short term debts with one bank
and he will be better able to keep his
finances in good shape and keep his
credit rating sound. Farmers should
keep in mind that with a direct loan
from the bank, they get title to the
machinery or cars at the time of pur­
chase. Under contract, title remains
with the dealer and he can take back
the property without foreclosure.
Of course, it is very important that
you properly prepare the loan papers.
Do not make a farmer the loan for
six months if he cannot pay it in six
months. Some bankers tell me they
do not have a loan in the bank with
the period of the loan being more
than six months. If a farmer cannot

N. P. BLACK, Iow a’s superintendent
of banking, says the note case is
the heart of the bank. “ I f the notes
are not good, the bank is not good.
Who should be better able to judge
and evaluate local loans than the
local board o f directors?”

pay the loan in six months then, in
my thinking, it is not a six months’
loan.
Take a Mortgage

It seems to me it is much more
sound to take a mortgage on the prop­
erty to be purchased, including the
farmer’s other personal property as
collateral security for other notes up
to a certain amount due on or before
12 months or 18 months as the case
may be—the chattel mortgage to de­
scribe the note for ........... dollars to
be payable a certain amount at a cer­
tain date with proceeds from sale of
hogs, cattle, or grain, whatever it hap­
pens to be. Then another payment
at a certain date payable with pro­
ceeds from whatever he plans to sell
at that time; a third payment, if neces­
sary, under the same provisions.
Do not make a note or mortgage for
six months if the borrower cannot
pay it at that time. Two or three
renewals with no payments made is
one sure way to get your borrower on
the supervising authority’s slow list
when he does not rightfully belong
there. If you set the loan up properly,
and the security is sound and pay­
ments are made when due, then such
a loan should not be criticized by any
supervising authority.
Reputation of Directors

I sincerely believe the average citi­
zen, in choosing a bank with which to
do business, is most concerned with
the men who are responsible for its
HOW B A N K S . . .

(Turn to page 106, please)
N o rth w e ste rn

Banke r , J un e ,

19 5 S

24

B a n h e rs

YK n o w

T a ylor S.
.4 hrraathy
President
The First National Bank
o f Kansas City, Missouri
Third generation o f a prominent
banking fam ily.”

H E nam e A b ern a th y has been
syn onym ous w ith Kansas City
ban kin g fo r m ore than 75 years
— ever since James L. A b ern a th y , a
L eavenw orth , Kansas, fu rn itu re m an ­
ufacturer, first m oved to that city in
1886 and established T h e First N a­
tion al B ank o f Kansas City.
T h e a ccom p lish m en ts o f the b a n k ’ s
fou n d er and his son and successor,
H arry T. A b ern a th y , are past h is­
tory, but the outstan din g career o f
the th ird generation o f the b an k in g
fa m ily — that o f T a y lo r S. A b ern a th y
— is still b ein g w ritten.
It was in 1915 that M r. A b ern a th y
a ccep ted his first p osition w ith T h e
First N ation al, w an glin g a jo b as a
$30-a-m onth hank runner w ith ou t his
fa th er’s k n ow led g e o f the fact. H e
used this p osition to learn the te ch ­
niques o f ban k in g, w h ile makingfrien d s with the p e o p le w h o h a n ­
dled the w ork b ey on d the cages.
H ow ever, he left T h e First N ation al
after tw o years, having advanced to
a $100-a-m onth teller, and m oved
ov er to the Gate C ity N ational.
T h e m ove was som ew hat in flu enced
b y his father-in-law , fo llo w in g M r.
A b ern a th y ’s m arriage to Patti H a rd ­
ing in 1916. H e began w ork in g at

T

N o r t h w e s t e r n B a n k e r, J u n e , 1955


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

the bank in 1917 as an assistant cash­
ier au th orized to len d m on ey. A fte r
fo u r years he m ov ed up as cashier
and after nin e years with the bank,
in 1926, E. F. Sw inney, presid en t o f
the First N ation al, ca lled h im b ack
to serve as that b a n k ’s vice president.
Mr. S w inn ey’ s tutelage to o k the in ­
form a l course o f in trod u cin g h im to
custom ers, and he soon had m ade
m any friends in the ban k in g w orld .
As the years passed, M r. Sw inney d ied
and H arry A b ern a th y su cceeded to
the p resid en cy , with Carl A lle n d o e rfer fo llo w in g him .
In January, 1947, a p rogression o f
titles o p en ed the p resid en cy to T a y ­
lo r A b ern a th y , w ith the sen ior A b e r ­
nathy m ov in g up as presid en t o f the
execu tive com m ittee and M r. A lle n d o e rfe r as chairm an o f the b oard.
A s on e man puts it, “ M r. A b e r ­
nathy is n o hale fe llo w , n o b a ck
slapper. His w arm th shows q u ietly
th rou g h a certain native elegan ce or
air that p e o p le m ight associate with
the th ird generation type. Pie is slen­
der and erect, wears d o u b le breasted
suits with the p r o p e r u n ob tru sive­
ness and his grey h air accentuates
the you th fu ln ess o f his fa ce .”
In a qu iet, natural way he likes

first nam e associations, and when he
walks into an office it’s usually,
“ H ello, J o e ,” “ H ow ya, T a y lo r ? ”
His system o f d e cid in g on loans is
based on three p o in ts: (1 ) Is the
m an a g o o d m ora l risk ? (2 ) Is his
p ro d u ct in d em a n d ?
(3 ) D oes he
have the a b ility and the exp erien ce
to m ake g o o d ?
F a v ora b le answers
to these three questions are lik ely to
cou nt m ore than the collateral.
M r. A b ern a th y ’s e d u ca tion was re­
ceived at Irving-on -the-H u dson, a
p rep sch o o l in N ew Y o rk , and H am ­
ilton C ollege in C lin ton , N ew Y ork .
In a d d ition to servin g the First
N ation al as its presiden t, he also is
treasurer o f the U n iversity o f Kansas
C ity, a d ire cto r o f C entral C oal and
C oke C o rp o ra tio n , the E m p loy ers R e ­
insurance C o rp o ra tio n , the Kansas
C ity P u b lic Service C om p an y, Luziers, Inc., the V e n d o C om p an y, and
the A rm y N ational B ank, F ort L eav­
en w orth , Kansas. He is a trustee
o f the M idw est R esearch Institute,
the A m erica n R o y a l A ssociation and
the Starlight T heatre, and serves as
a m em b er o f the d ow n tow n com m it-

ABERNATHY . . .

(Turn to page 60, please)

25

Wherever you or your customers do business, it
helps if you know the right people. One way to
know them is through Bank of America— for this
bank’s fast-growing International Department
maintains overseas branches, traveling represent­
atives, and correspondent connections in every
part of the world. They assure you of maximum
dependability— maximum service— in every type
of transaction. For information, wire or write
Bank of America, 300 Montgomery Street, San
F ra n cisco, or 660 South Spring Street, Los
Angeles. Attention: International Banking De­
partment.

ifiattk o f A m erica
N A T IO N A L s a v i n g s A S S O C IA T IO N

BANK OF A M ER ICA (IN TERN ATION AL), N e w Y o rk
a w h o lly o w n e d s u b s id ia r y

OVERSEAS BRANCHES: L o n d o n • M a n ila • T o k y o • Yokoh a m a • K o b e • O s a k a • B a n g k o k • G u a m • D u e s s e ld o rf • S in g a p o r e


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Federal Reserve Bank of St. Louis

REPRESENTATIVES: N e w Y o rk • M e x ic o C it y • M ila n • P a r is • Z u ric h • N e w D e lh i • H a v a n a

N o r t h w e s t e r n B a n ke r, J u n e , 1955

26

L eo •#.
W egm a n
Ls HO Yearn ,
Yon a g
By CLIFFORD DE PU Y
Publisher
The Northwestern Banker
F A M IL Y PO RTRAIT of the Wegmans shows (left to righ t): Edwin L. Wegman, vice
president, Citizens Savings Bank, Anamosa; Clarence M. Wegman, FDIC examiner, West
Des Moines; Leo J. Wegman and his wife, Ida, Anamosa; Mrs. Irma (Wegman) Bird,
Dyersville, and Col. Leonard J. Wegman, vice president, Citizens Savings Bank, Anamosa.

EO J. WEGMAN, president of the
Citizens Savings Bank of Ana­
mosa, Iowa, was 80 years old
on May 17, and during those years he
has lived a fascinating, interesting
and successful life as a bartender,
banker, and for six years, state treas­
urer.
At 18 years of age he got a job as
bartender in Loose Creek, Missouri.
At 23 years of age he sold his saloon
for $10,000, which was the first “big”
money he ever made.
Following this, he took a six months
course in telegraphy at Janesville, Wis­
consin, and subsequently got a job
with the Chicago, Milwaukee and St.
Paul Railroad at Sexton, Iowa, for $40
a month. Realizing that the brakemen
were getting $70 a month, he went
to Mason City and after three months
as a brakeman he fell off a boxcar
and decided that he preferred an in­
side job to the hazards of “braking.”
He went to the Indian Territory,
which was later to become the state of
Oklahoma, and got a job at the First
National Bank of Madill. He was
there three months and then organ­
ized a bank at Tishomingo, which was
the capital of the Chickasaw nation.
After six months, he left this bank and
worked for the Rock Island Railroad
at Freeburg, Missouri, and opened the
station there. After ten months in

L

this job he was asked to come to St.
Benedict, Iowa, to take the cashiership of the Peoples Savings Bank,
which was then controlled by the late
Gardner Cowles and Ed Murtagh. He
work there for two years at $75 a
month.
On November 26, 1901, he married
Ida C. Heinen.
In 1903 he bought an interest in the
Charles E. Walters Company of Oma­
ha, and became secretary and director,
and was associated with this organiza­
tion for one and one-half years, when
he sold out his interest.
He bought the German Savings Bank
at Halbur, Iowa, in 1908 and ran it un­
til 1914. He then took over the Ger­
man American Bank at Carroll, Iowa,
which was a private bank. While in
Carroll, Iowa, he organized the Ded­
ham Savings Bank at Dedham, Iowa.
In 1931, “hell started popping” and
the banks were closed at Dedham, Carroll and Templeton. These banks sub­
sequently payed out between 85 and
100 per cent.
In 1932 he entered politics and was
elected treasurer of Iowa on the Demo­
cratic ticket and served six years, four
years under Governor Clyde L. Her­
ring and two years under Governor
Nelson Kraschel.
In 1939, D. W. Bates, then superin­
tendent of banking, asked him to go

to Anamosa to try and save the Citi­
zens Savings Bank. He became presi­
dent of this institution and the F.D.I.C.
told him subsequently that he did a
“wonderful job of rehabilitation.” The
bank now has a capital of $75,000, sur­
plus of $100,000, reserves and profits
of $150,000 and deposits of $5 million.
In 1941 he bought the Dyersville Na­
tional Bank, which now has a capital
of $50,000, surplus $150,000, profits
$100,000 and deposits of $4,500,000.
Mr. Wegman has always been out­
spoken in his views on banking or
politics and is well known for his
fiery political speeches, as well as
speaking his mind at bankers’ conven­
tions.
He is a member of the Roman Cath­
olic Church, and during the years past
he has held many civic and public po­
sitions such as mayor, president of
C ham bers of Commerce, different
group chairmanships of the Iowa
banking groups, vice president and
treasurer of the Iowa Bankers Asso­
ciation.
His family, in addition to his wife,
consists of Clarence M., Irma H., Ed­
win L., and Leonard J. Wegman.
That “ Leo,” as he is called, may
have many more happy and success­
ful years is the sincere wish of his
many friends throughout the country.
—End.

Bank Women Meet

fives from the Midwest Division have
recently been elected to membership
in the National Association:
Mrs. Velma Feeney, assistant cash­
ier, The Peoples Bank of Kansas City,
Missouri; Mrs. Doreen A. Hanson, as­
sistant cashier, State Bank of Wood
Lake, Minnesota; Mrs. Ann Taylor
Holt, secretary to the executive offi­
cers, First National Bank, Holdrege,

Nebraska; Miss Grace H. Orr, assistant
trust officer, Farmers & Merchants
Savings Bank, Burlington, Iowa; Mrs.
Helen V. Recknor, assistant cashier,
The Peoples National Bank, Liberal,
Kansas; Miss Hallie F. Shearer assist­
ant cashier, The First National Bank,
Farragut, Iowa, and Miss Lydia Web­
er, assistant cashier, McIntosh County
Bank, Ashley, North Dakota.

The regional meeting of the Lake
Division and Midwest Division of the
National Association of Bank Women
was held at the Pantlind Hotel, Grand
Rapids, Michigan, recently, with 106
women executives in attendance.
A workshop for state committee
chairmen was held.
The following women bank execuN o r t h w e s t e r n B a n k e r, J u n e , 1955


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Federal Reserve Bank of St. Louis

~y/

27

T h e se hands can borrow from any bank in town
A frank statement about loans
. . . how they’re made . . . why
they’re sometimes turned down.
•••
The hands above belong to a skilled
craftsman. He’s a solid citizen and a
hard worker. He’s also proud of his
work, independent about money as a
hog on ice, and downright strait-laced
about meeting his obligations.
That makes him a good risk for
any banker. Here’s why.
Y o u r M on ey at Stake
Most of the money in banks is money
that belongs to the public . . . money
that you deposit in your bank. Bank­
ers therefore must see to it that this
money of yours is lent out only when
there’s an excellent prospect of its
being paid back. That’s why occa­

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Federal Reserve Bank of St. Louis

sionally some loan applications are
turned down.

a high batting average in order to
stay in business.

W illing to T ak e a R is k ?
Bankers naturally like to lend money.
That’s their principal source of in­
come. They’ll take a considered risk
but they can’ t afford to take long
chances with other people’s money.
All in all, it speaks well for American
business and the individual American
that the great majority of loan appli­
cations are granted. When you hear
someone growl about being turned
down, ask yourself this question:

Banker’ s Judgment
There you have it. The banker has to
be somewhat of a financial perfec­
tionist. You may not always agree
with his judgment but of this you
can be constantly certain: his deci­
sions are based on experience and oldfashioned horse sense. Hemakesthem
competitively, knowing that you can
always go to another bank. As long
as this remains banking’ s way of do­
ing business, your money will be in
good hands.
The Chase Manhattan Bank is
proud of banking’ s contribution to
the progress of our country.

“ Would I be willing to risk my oivn
money on this 'promise to pay?”
Abu might or you might not. Bank­
ers make mistakes, too. But the
difference between a bank and an
individual is that a bank has to have

The Chase Manhattan Bank
H E A D O F F I C E : 1 8 P ine S t r e e t , N e w Y o r k 1 5
( Member Federal Deposit Insurance Corporation)

N o r t h w e s t e r n B a n k e r, J u n e , 1955


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Federal Reserve Bank of St. Louis

n e x t B o a r d of D ir e c t o r s M e e tin g ?


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Federal Reserve Bank of St. Louis

YES!

If your plans for a new banking
office are at any stage from preliminary talks
to architect’s drawing board, you’ll want these
three, special full-color brochures at your next
meeting.
The first shows the famous development in
vault door design that has become the almost
universal symbol of the modern bank. It gives
you an idea, too, of the diversity of magnif­
icent and distinctive architrave treatments now
available for your own installation — with this
great Century Series Vault Door by Mosler.
The second shows an ingenious new DayNight Deposit Safe by Mosler that almost
“talks.”
And the third shows the new Mosler “Picture
W indow” for Drive-In Banking — a brand new
concept, both in modern styling and in fullyautomatic push button operation.
Have your secretary mail the coupon below
for this special material on new “bank of the
future” equipment. W e’ll rush it to you in time
for that meeting you have coming up.

IF IT’S MOSLER . . . IT’S SAFE

•* M o s le r S a f e fe r
World's largest builders o f safes and bank vaults . . .
Mosler built the U. S. Gold Storage Vaults and the famous
bank vaults that withstood the Atomic Bomb at Hiroshima

The Mosler Safe Company, Dept. N W B -6
3 2 0 Fifth Avenue, New York 1 , N . Y.
Please send me, free and without obligation, the three new full-cclor
brochures which describe and illustrate Mosler’s latest developments
for the “ bank of the future.”

30

117h a t * N ew
...

for Banks and Bankers

For more inform ation about the items in this column and where
they can be purchased, write Walter T. Proctor, Associate Editor,
NORTHW ESTERN BAN K ER, 306 15th Street, Des Moines, Iowa.

O PINS ARE NEEDED with the

N

new E-Z Stick-On Identification
Badges. They made a big hit recently
at the Independent Bankers’ Associa­
tion Convention in Washington when
bankers learned that all they had to
do was peel away the back of the
badge, then simply place the badge on
their lapel.
It holds fast to coats, shirts, or whathave-you and, best of all, you can get
them direct from the factory at rock
bottom prices. Every time there is a
meeting where these badges are used,
more orders pour in from other
groups. Be first in your area!
The badges stay put, but can be
peeled off with ease, then put back
on over and over again.
* * *
“The Executive” is the name of this
metal and plastic combination name

plate which has been designed to fit
the surroundings of the present day
office. The plastic is unbreakable,

plate is in keeping with modern office
design.
* * *
The Super Tek-tiv Coin Bag Seal is
the most advanced quality seal avail­
able to date. Outstanding among its
features is the specially treated NonBrako Cord, the finest coin bag seal
cordage available. Actual tests have
shown it to be fray-proof, withstand­
ing all sorts of extra hard usage and
pressures.
Noteworthy is the solid, first quality
lead seal, and a patented, metal, 33
toothed bag clip that “grips but never
rips” precious coin bags.
Quality coin bag seals such as the
Super Tek-tiv are a wise investment
for three particular reasons—the sav­
ings in coin bags, the ease of opera­
tion, and the extra tamper-proof pro­
tection.
Many banks have reported favor­
ably on the Super Tek-tiv.
*

chip-proof Tenite in either black or
brown.
Metal faces with one-half inch cut­
out lettering are either aluminum or
brass. Title lines in five-sixteenth
inch le tte r in g or door and wall
plaques also are available. The name

* *

Establishment of exclusive nation­
wide sales and servicing facilities for
the new “ Landmark” line of clocks
has just been announced. The new
Landmark line of exterior and inte­
rior clocks will be sold to financial
institutions exclusively by Diebold.
Self winding clocks are the only
units qualifying for Western Union’s
hourly synchronizing service from

Self - Winding

il u ik

S

jEHzmam
NIGHT
and

-

in .

Used car market conditions
vary greatly from one part of
the country to another. See the
picture in your area with the
N.A.D.A. Official Used Car
Guide . . . published in six
regional editions.

anc

FOR CAFETERIAS
and Dining Rooms

Accurate • Concise • Thorough
• Based upon actual sales trans­
a c t io n s by a u to d e a le r s
throughout six regions
• Facts in compact, easy-to-use
form
• Includes average loan, "as is” ,
and retail values for all models

I
MONROE DELUXE
FOLDIN G
PEDESTAL
BANQUET TABLES

Subscribe for all your $ " f PER YEAR
key employees
only §
(quan tity prices

W R IT E F O R F R E E
C A T A L O G , D IR E C T
P R IC E S A N D
D IS C O U N T S

m

NATIONAL AUTOMOBILE DEALERS
USED CAR GUIDE CO.

THE MONROE COMPANY
28

CHURCH

STREET

C O LFAX.

N o r t h w e s t e r n B a n ke r, J u n e . 1955


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Federal Reserve Bank of St. Louis

on request)

IO W A

:

1 8 0 0 H S tre e t, N .W .

W a s h in g t o n 6 , D .C .

U. S. Naval Observatory. They are
in daily use wherever correct time is
important. Radio and television sta­
tions, airlines, railroads, government
agencies and all branches of Bell Tele­
phone depend upon self winding
clocks for accurate, dependable time.
Diebold Landmark clocks are avail­
able in many styles and types. Re­
volving, stationary and flush-mounted
models can be selected in styles de­
signed for compatibility with different
architectural motifs.

STICK-ON BADGES
Sticks on clothing. No Pins. Holds Tite.3x3 Inches
Fine for Meetings, Advertising and Conventions«
Excellent for Indentication BADGE LOW IN COST.

W RITE FOR F R E E SAM PLES -F R A N K D. JACKSON
J A C K - B I L T , 906 Central St. Kansas City 5, Mo.

31

A ,,Four-Track,,M ind!
T h e All-Purpose Burroughs
Sensim atic is Four Specialized Bank
Accounting M achines in one!

mSSÈmk

■W
COMMERCIAL
BOOKKEEPING

SAVINGS
ACCOUNTING

LOAN
ACCOUNTING

GENERAL LEDGER
ACCOUNTING


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Federal Reserve Bank of St. Louis

Y ou’ll be on the right track to more
efficiency when the all-purpose Burroughs
Sensimatic bank accounting machine
takes over all your major accounting
functions. By merely turning a jobselector knob you have the equivalent of
four specialized machines in one!
Versatile, fast, this modern machine
swiftly reduces your volume of work. And
it’s so easy to learn. Even an inexperienced
operator quickly becomes an expert.
Why not ask our representative for a
demonstration? You’ll find his office
listed in your local telephone directory.
Call or write Burroughs Corporation,
Detroit 32, Michigan.

WHEREVER
THERE'S

BANKING

T H E R E ’S

Burroughs and Sensimatic are trade-marks

N o r t h w e s t e r n B a n ke r, J u n e , 1955

32

Manufacturers Trust Election
The appointment of Walter W. Ross
as a vice president of Manufacturers
Trust Company was announced re-

W . W . ROSS
W . E. G L E A S O N
Prom oted by M anufacturers Trust
Company, New York

cently by Horace C. Flanigan, presi­
dent.

Mr. Ross joined the bank in 1939 and
is assigned to the security analysis
department. He was appointed an as­
sistant vice president in 1949.
Mr. Ross is a member of the board
of pensions and chairman of the exec­
utive committee of the Common In­
vesting Fund of the United Lutheran
Church in America.
Also appointed was William E. Glea­
son as an assistant vice president, who
has been with the bank since 1944.
For the past seven years he has been
manager of the specialized loan de­
partment.
The appointment of William P.
Burri, Richard J. Delaney, John F.
Murphy, Emil C. Wahl and John C.
Wedekind as assistant secretaries of
Manufacturers Trust Company, was
also announced.

A .B .A . Candidate
Erie Cocke, vice chairman of the
board and chief executive officer of
The Fulton National Bank of Atlanta,
Georgia, candidate for vice president
of the American Bankers Association,
received the endorsement of the third
neighboring state bankers association
last month when the Alabama Bank­
ers Association met at Biloxi, Missis­
sippi.
Previously Mr. Cocke had received
the endorsement of the Florida Bank­
ers Association and the active support
of the Georgia Bankers Association.

Elect William Scott
William P. Scott, assistant vice pres­
ident of La Salle National Bank, Chi­
cago, was elected president of the Chi-

The Banking Home
of the Live Stock Industry

Since 1868 this bank has specialized in
serving the Live Stock Industry—feeders,
producers, packers, com m ission men,
railroads, truckers, as well as the local
bankers for these various operations.
W h atever your requirements, we cor­
dially invite you to discuss them with us.

2T/ie

LIVE S T O C K
BANK
ESTABLISH ED

18 6 8

U N IO N STO CK YARDS
M em ber Federal Deposit Insurance Corporation
D A V ID H . REIMERS
Chairman of the Board & President
H arold P. Johnston • Alden S. B agnall • Ivan E. Bennett • Paul T . Betz
Vice-Presidents
G ordon P. Fairman • Frank J. Itzel • James L. Johnson • Joseph E. Lisek
Assistant Vice-Presidents

N o r t h w e s t e r n B a n ke r, J u n e , 1955


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Federal Reserve Bank of St. Louis

W I L L I A M P. S C O T T
Elected Chicago F P R A head

cago Financial Public Relations Asso­
ciation for the 1955-1956 year at the
annual luncheon meeting held last
month.
The Chicago Financial Advertisers
Association is comprised of over 100
men and women representing banks,
other financial institutions and news­
paper representatives from the Chi­
cago area.

ON THE COVER
The Prime Minister of Thailand was
guest of honor at a dinner held in San
Francisco recently by Bank of Amer­
ica officials. He is pictured on the
front cover of this issue of the N o rth ­
w e s t e r n B a n k e r with Mrs. Claire Giannini Hoffman, a director of the bank.
Among state representatives of Thai­
land in attendance with Prime Minis­
ter and Madame Pibulsonggram was
the director of the Bank of Thailand,
Dr. Rak Panyarachun. A Bank of
America branch is operated in Bang­
kok, Thailand.

33

1

Reminder to call in your man at the Irving!
• Faced with a tough assignment? He’s your man. Call
on him as freely as you would a member of your own
staff. In fact, he wants to be considered just that.
Broadly experienced himself, he has at his finger tips
the facilities of one of the world’s largest banking or'
ganiz;ations . . . a global network of correspondents . . .
experts in every field of commercial banking.
Once you ask his help, every assignment— no matter
how complicated or routine— rates equal priority. Your
man at the Irving is there to give you service— is just
waiting for you to say the word.

IRVIN G TRUST COMPANY
O neWall Street, N ew York t j.N .Y .
Capital Funds over $125,000,000

Total Assets over $1,400,000,000

W illiam N. Enstrom, Chairman of the Board


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Federal Reserve Bank of St. Louis

R ichard H. W est, President

Domestic Banking Division, N olan H arrigan, Senior Vice President in Charge
MEMBER

FEDERAL

D E P O S IT

IN S U R A N C E

C O R P O R A T IO N

N o r t h w e s t e r n B a n k e r, J u n e , 1955

34

Salle Building, which has been re­
named the Marquette Bank Building.
“ Our new bank home provides al­
most double the floor space of our
former location,” Mr. Stotesbery said,
“ and includes every new and modern
facility to make banking at the new
Marquette a convenient, efficient and
pleasant experience.”
The Marquette P a r k i n g Ramp,
which is under construction immedi­
ately adjacent to the south side of the
building facing Marquette Avenue,
will have a 350 car capacity. It is ex­
pected to be completed about Septem­
ber 1, according to officials of Baker
Properties, which is building the ramp.
Marquette customers will be able to
drive into the new ramp, park their
cars on the main floor, transact their
banking business at four convenient
walk-up teller windows facing the
ramp, and drive out in a matter of
minutes.
The new ramp is being built to ac­
commodate customers of the Mar­
quette Bank, the tenants of the Baker
Properties’ nearby office buildings and
to make it easier for the public to
park in a convenient location in the
loop area.

Yiavquottv N o t iimo I Vinns
Opini H o u se in N ew Jtuililint/

Dallas Promotion
THE NEW HOME of the Marquette National Bank at 7tli Street and Marquette Avenue.
Inset is Russell L. Stotesbery, Marquette president.

gifts will be provided and a special
N OPEN house for the general
prize of an all-expense vacation for
public will be held in the new
quarters of the Marquette Nationaltwo to Bermuda will be given away in
Bank of Minneapolis at Seventh Street a free drawing.
The bank, which will move from its
and Marquette Avenue, Monday, June
27, according to Russell L. Stotesbery, present quarters at 517 Marquette Ave­
nue on June 18 and 19, will occupy
president.
the entire main floor, second floor and
Employees and officers will guide
lower level banking floor of the La­
visitors to all parts of the bank. Free

A

Charles W. Howell, assistant cash­
ier, was elected an assistant vice presi­
dent of the Republic National Bank,
Dallas, Texas, at the regular meeting
of the bank’s board of directors last
month, Fred F. Florence, president of
the bank, announced.
Mr. Howell has been an employee
of Republic since February 15, 1949.
Before being elected an assistant cash­
ier in July of last year, he worked in
the city collections, auditing and mort­
gage loan departments of the bank.

For BANK REMODELING and BANK FIXTURES
It’s the JAEGER MANUFACTURING CO.
Every JAEGER job is backed by over 70 years’ experience in
remodeling bank fixtures and remodeling bank interiors. Here are
just a few of our recently completed bank interior remodeling jobs:
• C a p ita l C ity S tate Bank, Des Moines
• Scan d ia Savings & Loan, Des Moines
9 Boone S ta te Bank & Trust, Boone, Iow a

• Union S tate Bank, Clinton, M issouri
• Toy N ational Bank, Sioux C it y , Iow a
• Peoples N ational Bank, A lb ia, Iow a

J A E G E R ’S W IL L B E H A P P Y TO C O N S U LT W IT H Y O U O R
Y O U R A R C H IT E C T A B O U T Y O U R B A N K R E M O D E L IN G JOB,
W rite fo r in fo rm a tio n — n o ob liga tion .
TW O VIEW S of the
recen tly completed
interio r of the
Peoples National
Bank, A lb ia, Iow a

Digitized for
N o FRASER
r t h w e s t e r n B a n ke r, J u n e , 1955
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

IflF fiF R

3 n

ftw

Li

M ANUFACTURING CO.
8th and Vine, Des Moines 9, Iowa

35

T h is is w h e r e
w e c o m e in !

A -B
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—

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Sometimes printed information and local sources
just aren’ t enough to help you make decisions in
commercial lending. There have probably been
many times when you needed up-to-date, firsthand
knowledge —and needed it fast.
That’s just the service we can offer you, thanks to
our unique Divisional Organization—a system we’ve
had in effect for more than 50 years now. You see,
the officers in each of our ten Commercial Divisions,
instead of serving a certain geographical area, serve
certain specific industries.
These men have a close contact with their par­
ticular industries. They know the people involved,

and they get out in the field to study new develop­
ments firsthand. As a result, their knowledge is
intensive and current.
This knowledge is available to you through our
Division F —the Division that specializes in serving
our correspondent banks.
"Industry-specialized” loan information is just
one of the many correspondent services of The
First National Bank of Chicago. If you would like
to talk over the advantages of a correspondent rela­
tionship with us, just phone, write or wire us today.
A man from The First will be happy to call on you
at your convenience.

E d w ar d E . B r o w n ,
Chairman of the Board
James B. F o r g a n ,
Vice-Chairman
H omer J. L iv in g s t o n ,
President
W a lt e r M . H e y m a n n , Executive Vice-President
H ugo A. A nd erso n , Vice-President
G u y C . K iddoo , Vice-President

G aylo rd A. F r e e m a n , Jr ., Vice-President
H e rbe r t P. S n y d e r , Vice-President

The First National Bank of Chicago


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

MEMBER

FEDERAL

D EPOSIT

INSU RA NCE

COR PO R ATIO N

N o r t h w e s t e r n B a n k e r, J o n e , 1955

36

Joins Kansas City Bank

Through

THE

First National City’s
Credit Information
Service

As a First National City
correspondent, you have at
your command one of the
world’s largest sources of
credit in form ation —450,000
active credit files that help
you expedite replies to regu­
lar credit inquiries. And,
when you need unusual in­
formation for your own use
or for customers, our Head
Office Credit Department
can provide prompt, thor­
ough, personalized credit
investigations.
This is just one of the reasons
more and more banks are
choosing First National City
as their New York corre­
spondent. For more about the
advantages of having your
New Y ork correspondent
serve as your banker rather
than just a New York deposi­
tary, write us at 55 Wall
Street.

The appointment of F. Phillips Giltner as a vice president of City Na­
tional Bank & Trust Company, Kansas
City, Missouri, has
been announced by
R. Crosby Kemper,
president of t h e
bank. Mr. Giltner
will join the City
N a tion a l staff in
the near future.
A native of Jop­
lin, Missouri, Mr.
Giltner is 30 years
old and is the son
F. P. G I L T N E R
of Frank
p
QUtner, executive vice president of the
First National Bank of Joplin, and
Mrs. Giltner. The senior Mr. Giltner
this year is marking his 50th year in
banking.

Chicago Promotion

THE FA C TS Y O U W ANT on approximately
450,000 domestic and foreign firms are available
to you at a moment’ s notice in our active credit
files. First hand information on individual busi­
nesses in New York City comes to you from
First National City’s 72 New York Branches.

IN FO R M A TIO N FROM
O V E R S E A S is provided

by First National City
officers who keep pace
with changing conditions
through 59 of First
National City’ s own
branches overseas and
thousands of correspon­
dents. Here Leo N. Shaw,
Executive Vice President
in charge of Overseas
Division talks with
Highland C. Moore, Vice
President who coor­
dinates
correspondent
relations.

Philip R. Clarke, chairman, an­
nounced that at its meeting recently
the board of directors of the City Na­
tional Bank and Trust Company of
Chicago elected Richard E. Hanson a
vice president.
Mr. Hanson has had many years of
banking experience in New York and
Philadelphia and is well known to
bankers and business men throughout
the United States. Mr. Clarke said Mr.
Hanson would represent the City Na­
tional Bank and Trust Company of
Chicago principally in the eastern por­
tion of the United States.

Honor Edwin Mosler, Jr.
Edwin H. Mosler, Jr., president of
the 107-year-old Mosler Safe Company,
has been elected to the Young Presi­
dents’ Organization, it was announced
last month.

The F l R i T

c

i t

y

o f N e w Y ork
Head Office: 55 Wall Street, New York
Around-the-clock Transit Service * f. Collections . Credit Information
Bond Portfolio Analysis • Complete Securities Handling Facilities
Dealers in State and Municipal Bonds • Participation in Local Loans
Personalized Service • World-Wide Banking Facilities
Complete Metropolitan New York Branch Coverage

in tyicPi/cl tyticCe C /janAinrj
M e m b e r F e d e ra l D ep osit In su ra n c e C o rp o ratio n

orth
w estern -, Ha n ker, J a n e ,' 1955
DigitizedNfor
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

E D W I N H. M O S L E R , JR.
E lected to Y oung Presidents’ Club

Mr. Mosler became president of the
company, the world’s largest builder
of safes and bank vaults, in 1952 at
the age of 33.

37
There are 800 members in the na­
tion-wide organization, all of whom by
the age of 39 became presidents of
companies with a minimum of $1,000,000 a year in sales.
Mr. Mosler represents the fourth
generation of his family to head the
business.

Because
they mean
bigger profits

Promote Tulsa Banker
Richard A. Wagner has been elected
a vice president and head of the corre­
spondent bank department of the First
National Bank and Trust Company of
Tulsa, according to R. Otis McClin­
tock, First National president.

fo r your bank

When you sell National
City Bank Travelers
Checks, you keep the entire
selling commission —% of
1%. Besides this extra
profit, you’re doing- your
customers a real service.
For in America and Around
the World, NCB Travelers
Checks are readily accept­
ed like cash. If lost or
stolen, they are refunded
in full. In handy denomina­
tions of $10, $20, $50 and
$100, they cost only 754
per $100 and are good until
used.

s
s# 7
*
YO U R CUSTOMERS will appreciate the pro­
tection and convenience of the NCB Travel­
ers Checks you sell them. Spendable like
cash at hotels, motels, restaurants, trans­
portation offices, stores, service stations...
wherever travelers go.

R IC H A R D A . W A G N E R
Prom oted by First N ational Bank and
T rust Com pany, T u lsa

He succeeds Harry C. Lane as head
of the department. Mr. Lane left the
bank last month to become a vice pres­
ident of the First National Bank of
Wichita Falls, Texas.
Mr. Wagner, a 20-year employee,
started as a messenger boy at First
National. He has been a member of
the correspondent section for six
years. He was graduated last summer
from the school of banking at the
University of Wisconsin.

GET THIS SELLING KIT. We provide ex­

tensive sales aids free of charge, including
a complete merchandising kit—tailor-made
for your ready use, enabling you to tie in
with the vast national and international
advertising campaign in trade and con­
sumer publications building many new cus­
tomers for you.

Chicago Retirement
Robert S. Drew, vice president of
the Continental Illinois National Bank
and Trust Company of Chicago, re­
tired recently after more than 27 years
of service with the bank.
Following two years with the bank’s
securities affiliate, and 11 years in the
trust department where he had charge
of trust investments, Mr. Drew joined
the bond department to become asso­
ciated in the management of the de­
partment and of the bank’s portfolio
of securities. Appointed a vice presi­
dent in 1940, he also served as secre­
tary of the board of directors for the
past 12 years.

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

The FIRST

M

A T IO M

A L

C I T Y

B A M

K

REMEMBER THESE FACTS:

• You keep the whole selling commission—% of 1%.
• NCB Travelers Checks have been sold for over half
a century.
• Your customers are directed to their bank to buy
these checks.
N o r t h w e s t e r n B a n k e r, J u n e , 1955

38

Elect N ew D r overs D ir e c to r s

E. R. A D A M S

A. W . B R I C K M A N
E lected to the board of Drovers Banks,

C. M . S M I T S
Chicago

T h is n e w 4 - p a g e f o l d e r
d e a ls w ith d e s ig n , p la n n in g ,
co n stru ctio n a n d d e c o ra tio n
fo r fin a n c ia l in s titu tio n s.

T A special stockholders’ meeting
held recently, three new directors
were elected to the boards of both
Drovers Banks of Chicago. The three
were Edward R. Adams, Alfred W.
Brickman and Chris M. Smits. In ad­
dition, Leo R. Gruber was elected to
the board of the Drovers Trust and
Savings Bank. Robert Lough was
added to the board of the Drovers
National Bank.
Edward R. Adams is a Chicago at­
torney of long experience and a senior
partner of the law firm of Miller,
Gorham, Westcott and Adams. He is
also a director of John R. Thompson
Company, chain restaurant operator.
Alfred W. Brickman is president of
the Illinois Meat Company and a di­
rector of the Great Lakes Dredge &
Dock Company, and the American
Meat Institute. He has been promi­
nent in the meat packing field for
many years.
Chris M. Smits recently retired as a
senior officer in charge of credit and
lending operations at the Continental
Y
Illinois National Bank and Trust Com­
pany. Mr. Smits has had 48 years of
banking experience, having started
with the Continental National Bank
in 1907.
Leo R. Gruber is the new president
of both Drovers Banks. He was for­
merly vice president of both and also
cashier of the Drovers National Bank
for many years.
Robert Lopgh, a new director of the
Drovers National Bank, is a senior
vice president in charge of the invest­
ment divisions of the Drovers Banks.
He started wtih the Drovers National
Bank in 1914.

A

Guaranty Trust Appoints

t t s

W

Guaranty Trust Company of New
York announces the appointment of
John B. Goodwin as a vice president
and of Frank 0. Sandstrom as a sec­
ond vice president. Both were with

the asking!

'! ?

,

This new 4-page folder tells you, a financial executive, how modern
design and planning, related to your financial institution, can in­
crease the efficiency and business of your organization.
Modern, functional design, by Fairman, specialists in the finan­
cial field, can add new beauty and efficiency to your institution.
Fairman service is a complete service. From design to finished
project, from building materials to carpeting, Fairman direction and
supervision assures complete design unification.
This 4-page folder, well illustrated, tells you and shows you
how! W r i t e t o d a y , t h e r e 's n o o b l i g a t i o n .
C H A R LE S O- FA IR M A N ^
BARNES O FFIC E
B a n k

BUILD IN G

.

PHONE

D e s i g n e r s

Northwestern Banker, June, 1955

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

3404
a n d

.

IAC.

LO G A N SP O R T. INDIANA
B u i l d e r s

J. B. G O O D W I N
F. O. S A N D S T R O M
Promoted recently by Guaranty Trust
Company, N ew York

the Bank of the Manhattan Company
prior to its recent merger. Guaranty
Trust Company has assigned them to
commercial banking activities in the
middle west.

39

s

s P e e £ _ a n d _s e b 1 î£ I
7 n COLLECTING CHECKS AND DRAFTS
You

B e n e f it

y

By:

y

v Quick Conversion of Items to Cash

We Offer:
V Specialized Clearing and Transit Service
Round-the-clock Check Collection Process,ng

y

V Early Return of Unpaid Items
V Reduced Credit Risks

Special Saturda5^0l>erat,o action

y
y
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Accelerated^ Availability Schedule
V Direct Routing Service to Branch Offices
V Domestic and Foreign Non-Cash Co,lect,on Ser
V M a x im u m U se of

AMERICAN
TRUST
COMPANY

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®

BANKING

J
94 B A N K I N G O F F I C E S S E R V I N G N O R T H E R N C A L I F O R N I A

HEAD OFFICE: SAN FRANCISCO

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Statement of Condition
March 31 , 1955
L IA B IL IT IE S

RESO U RCES
Cash on Hand and in Banks
$ 258,206,381.94
U. S. Government Obligations
417,885,164.05
State, County, and Municipal Bonds
64,277,217.46
Other Bonds and Securities
24,771,889-89
Stock in Federal Reserve Bank
1,789,500.00
Loans and Discounts
637,911,048.67
Bank Premises and Equipment
12,192,934.71
Other Real Estate
1-00
Customers’ Liability under Acceptances
1,001,438.59
Accrued Interest Receivable and
Other Assets
11,711,780.09
Total Resources
$1,429,747,356.40


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

Deposits
Acceptances Outstanding

$1,322,020,712.84

Reserve for Unearned Discount

1,138,863.59
9,399,799.05

Reserve for Interest, Taxes, etc.

12,403,926.15
6,935,020.57

Other Liabilities
Capital Funds:
Capital Stock

22.250.000.

00

Surplus

37.400.000.

00

Undivided Profits

18,199,034.20

Total Liabilities

$1,429,747,356.40

United States Government and other securities carried at $174,173,781.46 are pledged to secure U. S. Government
Deposits, other public funds, trust deposits, and for other purposes as required or permitted hy law.
Member Federal Deposit Insurance Corporation

Northwestern Banker, June, 1955

40

Xión treat A

C. T . A U L P H

p

J. A. H O B S O N
R ecently promoted by Bank of M ontreal

Appointment of Cecil T. Aulph and
Percy H. Howarth as assistant general
managers of the Bank of Montreal at
its head office has been announced by
Arthur C. Jensen, Bank of Montreal
vice president and general manager.
Mr. Aulph has been first agent at
the bank’s New York office since 1947,
following two years as second agent
there. Previously he had had exten­
sive experience in Ontario, where he
was a s s i s t a n t superintendent of
branches when he was appointed to
New York in 1945. Earlier appoint­
ments included the assistant manager­

New Check System

P. H. H O W A R T H

ship of the bank’s main office in To­
ronto and in Winnipeg.
Mr. Howarth goes to Montreal after
four years as manager of the bank’s
main office in Toronto. Like Mr.
Aulph, he has had much of his career
in Ontario and has served successive­
ly as assistant superintendent and su­
perintendent of Ontario branches, fol­
lowing two years as assistant to the
general manager at the head office.
John A. Hobson, manager of the
Bank of Montreal’s Ottawa main
branch, has been appointed first agent
of the bank’s New York office.

An automatic bank bookkeeping sys­
tem designed to bring a high degree
of automation to the task of process­
ing the tremendous volume of checks
in commercial and personal checking
accounts, was announced recently
jointly by Burroughs Corporation of
Detroit, The Todd Company, Inc., of
Rochester a n d Addressograph-Multigraph Corporation of Cleveland, Ohio.
The new system, units of which
have already been developed experi­
mentally and tested, and are ready for
initial field testing, contemplates the
use of an invisible code placed on
paper checks as a by-product of other
necessary printing. Thus, coding is
done at little or no additional cost and
will identify both the depositor and
the bank on which the check is drawn.
Since the system has been adapted to
the use of paper checks, there need
be no change in customers’ present
check writing habits.
Devices for automatically reading
this code will make it possible to sort
checks automatically. Thus, with the
new system, banks will be able to sort
their own checks by customers and
for distribution to other banks with a
much greater degree of speed and effi­
ciency than has been possible up to
now.
n

r ~”

lia r wide experience in the handling of
requirements for correspondent banks has
given us the knowledge and reputation for

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prompt, complete and efficient service.

IA

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A N D T R U S T C O M P A N Y o f C h ic a g o
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S A L L E

S T R E E T

( M e m b e r F ed era l D ep o sit I n s u r a n c e C o r p o r a tio n )

N o r t h w e s t e r n B a n ke r, J u n e , 1955


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

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41

f o r Field, W a reh o u sin g . ..

..a n d B e S u r e I
L o a n o f f i c e r s everywhere consider a Lawrence Field Warehouse
Receipt as much a synonym for “ security” as a Certified Check. They
know that $1,000,000 in legal liability and fidelity bonds — in each of
more than 2500 Lawrence Field Warehouse locations — are hack of every
Lawrence receipt.

And these bank officers like the way Lawrence does business. The
Lawrence IBM Commodity Collateral Report, for example, is electron­
ically compiled to keep loan officers always informed on current inven­
tory values. It also reduces the cost of servicing loans.
S p e c ify L a w r e n c e — a n d b e S U R E !

L A W R E N C E O N W A R E H O U S E R E C E IP T S

Ia


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

w r en c e

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IS L IK E C E R T IF IE D O N C H E C K S

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W A R E H O U S IN G -------------------------------

37 Drumm Street, San Francisco, California
100 N. La Salle Street, Chicago 2, III.
•
79 Wall Street, New York 5, N .\ .
O F F I C E S

IN

P R I N C I P A L

C I T I E S

N o r t h w e s t e r n B a n k e r, J u n e . 7955

42

St. Louis Merger
Directors of First National Bank in
St. Louis and the United Bank and
Trust Company voted recently to en­
ter into an agreement of consolidation
which would merge the two banks
into a single institution under the
name of First National Bank in St.
Louis.
Under the consolidation agreement,
which must be ratified at special meet­
ings of the stockholders of both banks,
United Bank shareholders will receive
seven shares of First National stock
for each share of United Bank stock.
The merger would increase First
National’s capital stock from 700,000
shares to 770,000 shares with par value

of $15,400,000. Total capital funds of
First National after the merger would
be $44,250,000, as compared to $40,289,700 on April 11, the date of the last
official bank call.

Entitled “Doing the Town,” the pro­
duction involved the talents of 45
members of the bank’s staff who had
rehearsed evenings and weekends for
two months in preparation for their
one-night stand. The program includ­

Northern Trust Show
Bankers turned into crooners and
secretaries became chorus girls for an
evening as The Northern Trust Com­
pany of Chicago staged its annual mu­
sical and variety show at the Eighth
Street Theatre in Chicago last month.
The show, which was the subject of
stories in several major Chicago news­
papers, was enthusiastically received
by a capacity audience of Northern
Trust personnel and their families.

Laura Berkowitz, bank check department,
dances to the accompaniment of music by
“ Stage Door Johnnies”— Win Oviatt, Paul
Zimmermann, Frank O’Connor, Jim Sharp,
Jim Jackson and W illard Smith. The
Northern Trust’s annual variety show is
written and staged entirely by employees
o f the Chicago bank.

ed a total of 21 different acts, includ­
ing singing, dancing and comedy skits.
As in past years, it was written and
staged entirely by Northern Trust
staff members.
Samuel G. Creden, vice president,
banking department, served as master
of ceremonies for the production. Co­
directors were James H. Sharp, ma­
chine accounting, and Miss Sally
Keith, personnel department.

Tulsa Capital Increase

TRAVEL INFORMATION

throughout the free w orld!
In the United States and abroad, American
Express will supply your customers with val­
uable tourist and sightseeing information —
arrange for hotel, ticket and auto reservations.
Just another American Express Service. .. and
another reason why American Express Trav­
elers Cheques sales reached an all-time high
in 1954.
Additional services include:
•
•
•
•
•

Instant Acceptance—w ith no q u e stio n s a s k e d !
On-the-Spot Refunds — in c a se o f loss o r th e ft !
Exchange of Travelers Cheques — w ith o u t c h a r g e !
Uniformed Representatives — a t te rm in a ls a b r o a d !
Mail Service — a t a ll A m e ric a n E x p re s s o ffic e s !

A M E R IC A N EXPRESS DOES M O R E FOR Y O U
BY DOING M ORE FOR YO UR C U S TO M ER S

N o r t h w e s t e r n B a n k e r, J u n e , 1955


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

American
Express

Travelers
Cheques

First National Bank and Trust Com­
pany of Tulsa has adopted a resolution
providing for an increase of $4 million
in capital funds by the issuance of
160,000 additional shares of the bank’s
$10 per capital stock, President R.
Otis McClintock announced.
The issuance of the additional shares
of stock is subject to the approval of
the Comptroller of the Currency and
bank shareholders who will meet to
consider the proposal of June 6.
The shares will be offered to stock­
holders of record on that date at $25
per share on the basis of two new
shares for each five owned. An offer­
ing circular and explanatory letter
from President McClintock will be
mailed to the eligible purchasers.
Rights will expire at the close of
business on Friday, June 24, after
which the bank will make settlement

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

43

...foreign
transactions
. . . “routine” can seldom describe
your customers’ foreign transac­
tions. Our Foreign Department’s
experience in financing foreign
trade, in handling commercial let­
ters of credit, collections and an­
swering credit inquiries regarding
foreign firms and individuals may
be of distinct usefulness to you.

F ir s t B a n k

•

Founded 1 7 8 4 .

M em ber fed era l Deposit Insurance Corporation

N o r t h w e s t e r n B a n k e r, J u n e , 1955

44
with its underwriters, Merrill Lynch,
Pierce; Fenner and Beane, should
there be any unsubscribed shares.
The new financing will substantially
increase the bank’s current capital,
which totaled $15,488,665 on the April
11 statement of condition.
“This timely increase in capital
funds,” Mr. McClintock said, “is in
keeping with a noticeable trend among
leading banks throughout the nation,
and is strongly recommended by man­
agement to keep pace with and sus­
tain F i r s t National’s continuing
growth.”

Burroughs Acquires Todd
Burroughs Corporation of Detroit,
Michigan, will acquire The Todd Com­

pany, Inc., of Rochester, New York,
according to plans announced recently
jointly by John S. Coleman, president
of Burroughs Corporation, and George
L. Todd, president of The Todd Com­
pany, Inc.
Under the plan, subject to approval
by Todd stockholders, Burroughs will
acquire the assets and business of The
Todd Company in exchange for Bur­
roughs stock. As a result of the trans­
action, stockholders of The Todd Com­
pany will receive one and one-third
shares of Burroughs stock for each
one share of Todd Company stock
held. The Todd Company has called
a meeting of its stockholders for June
3, 1955, to act on the proposed sale
and acquisition.

In making the announcement, Mr.
Coleman and Mr. Todd emphasized
that although the products of the two
companies are not competitive, the
two companies have for many years
served substantially the same custom­
ers.

J O H N S. C O L E M A N
President, Burroughs Corporation

Burroughs Corporation t o l d its
stockholders that world-wide opera­
tions produced revenue of $43,482,902
for the first three months of 1955. In
1954 the first quarter revenue totaled
$42,214,623.
Combined earnings for the 1955 pe­
riod were $2,459,419, compared with
$2,315,935 for the same period in 1954.

Newly Elected
Louis B. Lundborg, vice president,
Bank of America, N.T. & S.A., San
Francisco, has been elected to the
board of directors, Chamber of Com­
merce of the United States.

FOR SPECIALIZED
GRAIN DRAFT SERVICE
Approving grain drafts comes very naturally to
City National men. They know the grain business. They
know the milling business. Trained specialists in other
lines of financing are also on the staff.

C
IT
YN
A
T
IO
N
A
L
Bank & Trust Com pany

N o r t h w e s t e r n B a n ke r, J u n e , 1955

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

ESTA B LISH ED
BOOKBINDERS
V ‘889 ^yBUS
INESSMACHINES

ST A T IO N ER S
\
OFFICE O U T F IT T ER S

Grand Ave.

at

Fourth

Des Moines. IA

45

speed you r collection s w hile y ou sleep
Your items are handled without a

clear a full day earlier under this

m inute’s delay when you use our

fast modern procedure.

A . M . F. (air mail field) labels or

spondent

envelopes.

customers in all parts o f the coun­

O ur messengers rush your mail
from the airport direct to the bank
for

immediate

processing, during

banks

and

O ur corre­
corporation

try use it actively and find it most
advantageous.
A sk

us to send y o u , w i t h o u t

charge, a supply o f labels or enve­

the day or night.
A s a result many o f your checks

lopes so that you may try it.

Continental Illinois National Bank


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

and Trust Company of Chicago
La S a lle / J a c k s o n , Clark and Q u in c y Streets
LOCK BOX

H, C H I C A G O

9 0, IL L IN O IS

M em ber fe d e r a l Deposit Insurance Corporation

N o r t h w e s t e r n B a n ke r, J u n e , 1955

46

A.

Ylooraian

& C om pa n y O bserves 5 0 Y

NEW PROJECTS recently completed by A. Moorman and Company of Minneapolis include the Iowa State Bank and Trust Company,
Fairfield, Iowa (le ft ), and the Austin State Bank, Austin, Minnesota (right).

MOORMAN & Company of MinA • neapolis
is celebrating its 50th

in the scope of its operations, up to
the present time.
This firm is currently working on
approximately 25 projects in 11 states;
from Marion, Indiana, in the east to
Boulder, Colorado, and Glasgow, Mon­
tana, in the west. They recently com­
pleted work on the Fidelity State
Bank in Minneapolis, and are in the
midst of a substantial remodeling pro­
gram for the Empire National Bank in
St. Paul. Other large current or re­
cent building programs are located at
Champaign, Illinois; Minot and Bis­
marck, North Dakota; Sioux City, Ma­
son City and Fairfield, Iowa.
One recently completed alteration

anniversary this year. This firm was
founded in 1905 by Albert Moorman,
as a cabinet shop in St. Paul. Origi­
nally the company fabricated fixtures
for stores, offices and bank buildings,
finally concentrating on fixtures for
bank buildings.
Around 1915 A. Moorman & Com­
pany was called on to assume charge
of simple remodeling or alteration
projects, and then of new bank build­
ings, in addition to continuing with its
regular work. As the midwest terri­
tory prospered, larger alteration and
bank building projects were included

project at North Platte, Nebraska, is
the same building that was originally
designed by Albert Moorman about 40
years ago.
While a number of their projects
are in large cities, much of A. Moor­
man & Company’s work is located in
smaller cities and towns.
The present director of the firm is
Frank Moorman, who graduated in
architecture from the University of
Minnesota in 1922, and became a part­
ner in 1928. Associated with the firm
are many highly trained architects
and engineers. Their headquarters are
in the Northwestern Bank Building in
Minneapolis.

Does y o u r b a n k h a v e
s t o r a g e ro o m for
b o r r o w e r ’s i n v e n t o r y ?
Obviously not. B U T . . . our Field Warehousing service accomplishes the same
purpose . . . SECURITY covering your borrow er’s inventory right where it stands.
Field Warehousing is also an avenue to new loans . . . and increased loans . . . on a
sound and profitable basis.
For the best in inventory collateral, contact the American Express office nearest you.

A

E

m e r i c a n
F I E L D

o r t FRASER
h w e s t e r n B a n ke r, J u n e , Ï955
DigitizedN for
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

x p r e s s

W A R E H O U S I N G
H o m e O ffic e :

ATLANTA
B A LTIM O R E
BOSTON
BUFFALO
C H IC A G O

C IN C IN N A TI
CLEVELAND
DALLAS
DENVER
D E T R O IT

65

C O R P O R A T I O N

B road w ay, N ew
KANSAS C IT Y
LOS A N G E L E S
M IA M I
M IN N EA P O LIS
M ONTREAL

Y ork

6,

NEW ORLEANS
ORLANDO
PH ILA D ELP H IA
PITTS B U R G H
SALT LAKE C ITY

N. Y .
SAN FR A N C IS C O
SEATTLE
ST. LO U IS
TORONTO
W A S H I N G T O N , D. C.

47

C reative
B a n k in g
... the vision to see,
the background to understand,
and the will to act.
These are the things we try to have
constantly available to you at the Harris Bank.

H A R R IS


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

Trust

and Savings B A N K
14 5 W. M O N R O E

STREET

CHICAGO

90

Member Federal Reserve System . . Member Federal Deposit Insurance Corporation

N o r t h w e s t e r n Banke r , J u n e ,

1955

48
everything about it was an amateur
production.
The seventh annual employee show
of Harris Trust and Savings Bank,
This year’s production took the form
Chicago, played recently to more than
of a complete and original musical
1,000 employees of the bank and mem­ comedy entitled “J. Burlington Beam­
bers of their families. Aside from the
ish.” The book and lyrics were writ­
12-piece pit band and the stagehands,
ten by James F. Bailey, one of the
bank’s trust officers, who was also
director of the show. The original
score for the Harris Trust show was
composed by William N. Flory, man­
ager of the business development de­
partment, who served also as musical
director.

Harris Trust Revue

V iolet Platt and W illiam Weiner with
men’s chorus line in soft-shoe number from
“ J. Burlington Beamish,” all - employee
musical comedy produced by Harris Trust
and Savings Bank Fellowship Club. Miss
Platt acted as choreographer and dance
director of the show.

One original tune was written for
the show by William O. Heath, vice
president in charge of the bank’s trust
department. The star of the show was
Beryl Sprinkel, a University of Chi­
cago, Ph.D., who is staff economist of
the bank. Ingenue leads were taken
by Sally Sweeney and Bob Edwards.
Choreographer and dance director of
the show was Violet Platt.
The hit of last year’s show was the
chorus line of the bank’s page ladies
and a senior chorus was repeated this
year, along with a junior chorus of
the bank’s lovelies. Even the sets and
costumes were designed and assem­
bled by bank personnel, under the di­
rection of Mildred Sass. The manager
of the show this year was Herbert
Ullmann.

......................................................................................................................................ninnnnmnnnminn-nnrr,^^^

m

THE HUNDRED LARGEST BANKS
O n occasion banking publications print
a list o f the nation’s one hundred largest
banks. Such a list no doubt is o f special
interest to people in the banking
fraternity, and perhaps also to certain
manufacturers who are seeking large
bank business. We at DeLuxe have
never attached much significance to it
because our interest is in all the banks
and not in any one segment.
R e c e n tly , h o w e v e r , on e o f ou r
embryonic sales analysts ran a tape
showing our 1954 sales to the hundred
largest banks, and the total was rather
impressive. Naturally, the first thing we
noticed was that there were nine banks
to whom we had sold nothing at all.
We then observed that five banks had
enriched us to the extent o f three dollars
each. This was more en couraging
because, believe you us, some o f our
nicest relationships started with less. O f
the remaining eighty-six banks, thirtyseven were substantial buyers, some

o r t h w e s t e r n B a n ke r, J u n e , 1955
DigitizedNfor
FRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

ru n n in g a rou n d fifty th o u s a n d dollars
and

a g o o d ly

n u m b e r w ell ov e r o n e

h u n d red th o u s a n d , w ith the trend o n
th e " u p ” sid e in a lm o s t all cases.
A c t u a lly ,

servin g

large

b an k s

is

no

different th an servin g sm all b a n k s. In a
w a y , it is really the ch eck user that w e
serve. I f h e gets his s u p p ly w h e n he
w ants it, and i f he lik es w h at he g ets,
th en it m a k e s little difference to us w hat
size b a n k he d o es bu sin ess w ith . T h is
year w e w ill h a n d le w ell over three and
o n e -h a lf m illio n orders for cu sto m e rs
w h o have their a c c o u n ts in m o r e than
tw e lv e th o u s a n d b a n k s, and w e h a ve to

Special Microfilm Job
Records of approximately 845,000
parcels of real estate property, valued
at $19 billion, are now being micro­
filmed by the city of New York as a
protective civil defense measure.

M ICROFILM PROGRAM — Dr. Luther A.
Gulick (righ t), city administrator for New
York City, starts a microfilming program
to protect some 845,000 parcels o f real es­
tate property worth $19 billion. W ith Dr.
Gulick are John K. Boeing, president,
Recordak Corporation (le ft), whose firm is
doing the microfilming, and Lewis Orgel,
register of New York City.

Microfilming started recently in the
Hall of Records, Manhattan, and si­
multaneously in Brooklyn. Records
dating from 1654 and through Septem­
ber, 1953, will be condensed to pocketsize rolls of 35mm film.
“We have undertaken this program
to protect the citizens of New York
City,” Dr. Luther A. Gulick, city ad­
ministrator, said at the Hall of Rec­
ords. “ Should an enemy atom bomb
fall on Mathattan, or on any of the
four Boroughs, nothing but chaos
would follow in attempting to prove
ownership and/or equity to property,
if the records were destroyed.”

p ro d u c e fo r th e little fe llo w w h o runs
the lo c a l fillin g s ta tio n w ith th e sam e
care as w e d o for the b ig b u sin ess ty c o o n .
Sim ilarly, w e render the sa m e fast service
to

all b a n k s,

large or sm a ll.

We

do

ap preciate, h o w e v er, that it takes m o re
tim e to w in the co n fid e n c e o f the large
b a n k s,

so

it is g ra tify in g

to

see the

c o n tin u e d g ro w th o f ou r bu sin ess w ith
th ese in stitu tio n s.

Murray M. Otstott
Over 52 years of service to the Drov­
ers Banks of Chicago was ended by
the death recently of Murray M. Otstott, aged 74. He was a director of
both the Drovers National and the
Drovers Trust & Savings Banks, and
vice president and cashier of the lat­
ter bank.
Mr. Otstott’s death removed a wide­
ly known figure from Chicago banking
and industrial circles. It followed by
about two months the death of George
A. Malcolm, Drovers president, with
whom Mr. Otstott had been associated
for many years.

49

Special methods, experienced men
keep First National Bank in St, Louis
first in fast collections
Saving an extra day’s time in collecting checks and drafts is
good business for you and your customers. At First National
we can, in most cases, save you that all-important extra day.
Special mail handling and the latest equipment help us make
the most o f our central location and excellent transportation
facilities. T o s p e e d c o lle c tio n s , a ir m a il is u se d to a ll p o in ts w hich
ca n n o t b e r e a c h e d o v e r n ig h t b y re g u la r m ail.

The next time one o f our representatives calls on you, or the
next time you’re in St. Louis, let’s talk over the many ways
our collection and other correspondent services can benefit
your bank.
Our transit men sack regular mail by destination
for specific trains. This mail is taken by messenger
to St. Louis’ Union Station.

: p.m.

4 4 6
Our messengers make regular trips throughout the
day, according to train schedules.

First National’s jeep is at St. Louis’ Union Station. Our messenger has
a special admittance card so he can go directly to the mail car.

FREE BOOKLET, “ Sincerely Yours," lists
2 5 ways First National's correspondent serv­
ices can help you. For copies write to First
National Bank in St. Louis, St. Louis 2, M o.

Illlllllllllllllllllii

THE FIRST

NATIONAL BANK

IN ST.LOUIS

The end of another trip. Our direct bank-to-mail-car service often saves an
extra day’s time in getting final payment on items. We also speed airmail
by making pick-ups and deliveries at St. Louis’ main Post Office every
30 minutes.

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 it In su ra n c e C o rp o ra tio n

N o r t h w e s t e r n B a n k e r, J u n e , 19SS

50

Y

—When You Have a Custodian Account at Bankers Trust
A s a b a n k f o r b a n k ers, n e x t-d o o r to

y o u r o w n staff: p r o te c tin g th eir p h y ­

sev era l o f the n a tio n ’s p r in c ip a l se cu ­

sical safety, c o lle c t in g in c o m e , s u p e r­

rities tr a d in g m a rk ets, B an k ers T r u s t

v is in g

is in an id e a l p o s itio n to o ffe r u n u su ­

d e liv e r y . A ll y o u r secu rities in o u r care

a lly d e ta ile d and c o m p le te C u sto d ia n

are a lw a y s u n d e r your c o n tr o l.

S ervice.

H u n d re d s o f o u t -o f-t o w n b a n k s, c o r ­

Y o u r secu rities a n d th ose o f y o u r cu s­

p o ra tio n s , in stitu tion s, in su ra n ce c o m ­

p u r c h a s e , s a le , r e c e i p t a n d

tom ers are g iv e n the sam e e x p e r ie n c e d

p an ies a n d sim ila r o rg a n iz a tio n s use

g u a rd ia n s h ip as o u r o w n

assets. It’s

o u r C u sto d ia n S ervice. L et us s h o w y o u

lik e h a v in g an o p e r a tin g u n it in N e w

h o w it ca n w o r k f o r y o u . Just c a ll, o r

Y o r k , h a n d lin g y o u r secu rities w ith the

w r ite

system a tic v ig ila n c e y o u e x p e c t fr o m

Street, N e w Y o r k 15, N . Y .

to B an k ers T r u s t at 16 W a l l

Bankers T rust company
o r tFRASER
h w e s t e r n B a n ke r, J u n e , 1955
DigitizedNfor
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

NEW YORK
Member Federal Deposit Insurance Corporation

51

INVESTMENTS

Uro tri uff E eon om g firings I putirti
P ressu re on in resi m eni Yields
Private and Business Borrowing Continues at High Level;
Corporate Dividends Lip 6 Per Cent for First Quarter High
By RAYM OND TRIGGER
I n v e s tm e n t A n a lyst
N ew Y o r k C ity

HE extended course of the econ­
omy is still bringing upward
pressure to bear on basic invest­
ment yields. Although the business
loans of the nation’s banks are not
making new high records, the current
lending trend continues to smack of
boom, especially in low down payment
residential housing and in consumer
credit.
Installment loans outstanding to
consumers set a new record of $23,000,000,000 in March, up $1,600,000,000
from March, 1954. Borrowing to carry
stocks has continued to advance in the
face of the increase in margin re­
quirements from 5 to 60 per cent in
January and a second increase to 70
per cent in late April. Cash dividend
payments by all United States corpo­
rations rose 6 per cent this year to
set a new high for the first quarter.

T

Excess Reserves Shrink
The persisting volume of business
activity has had its effect in the bank­
ing system. Since late last year there
has been a steady shrinkage in the
free excess reserves of the nation’s
banks; that is, in the excess of re­
serves over borrowings from the Fed­
eral Reserve System. For the first
time since July of 1953, the net excess
of reserves was wiped out and a defi­
ciency position was registered.
The pressure brought by these in­
fluences on bond prices has not been
drastic, but it has been perceptible.
The corporate bond market has been
little affected, but probably only be­
cause the spring business boom was
accompanied by a falling off volume
of new corporate debt offerings. The
persistingly strong trend of stock
prices has brought equity financing
and flotations of convertible debt to
the fore in the primary market and
has relegated the issuance of straight
debt to a back seat. In consequence,

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

new issues of straight debt have been
distributed without much trouble at
the going yield level of the early
spring.
Medium grade corporate bonds are
selling in the secondary market at
yields of about 3% per cent, and top
grade issues are commanding yields
slightly under 3 per cent. In the newissue market, however, the 3 per cent
rate is still an inviolate floor. The
most recent big issue of prime straight
debt securities was Philadelphia Elec­
tric Company’s offering of mortgage
obligations at a 3.12 per cent basis.
This was successful. An offering of
about $190,000,000 of Bethlehem Steel
Corporations for subscription by com­
pany stockholders furnished an exam­
ple of the pricing of debt securities
convertible into equity. An interest
coupon of 3% per cent was designated
and a price of 100.
Temporary Respite

Impressive resistance to the heavy
tone of the bond market has been ex­

erted by the tax-exempt interest bonds
of local government. Much of the rea­
son probably lies in the abrupt de­
cline in the volume of borrowings to
finance toll turnpikes. This respite is
likely to be only temporary, however.
The building of turnpikes financed
by revenue bonds of local issue is by
no means over. It has been halted
only by delays. Some of the postpone­
ments are related to questions of route
raised by secondary engineering stud­
ies. Others are tied up for the mo­
ment by litigation.
Altogether, more than $1,000,000,000
of financing in seven states is affected.
Questions of route, of timing and of
procedure are holding up the issuance
of more than $300,000,000 of bonds in
Indiana, Connecticut, Oklahoma and
Texas. More than twice as much
more is marking time awaiting the
outcome of litigation in Illinois, Michi­
gan and Florida.
Despite the absence of turnpike fi­
nancing, the municipal calendar has
been disposing of a substantial flow
of new issues. Pricing has been sharp
and syndicates have been willing to
acquire merchandise not just for im­
mediate resale, but for investory
stocking. The Blue list’s total of deal­
ers’ offerings has been running to
$250,000,000 or more, about 25 per cent
above a year ago. Nevertheless, mu­
nicipal yields have not only held their
own, but have managed to decline
measurably. The Bond Buyer’s index
stood at 2.39 per cent early in May,
compared with 2.45 per cent in March,
2.54 per cent in January, and 2.49 per
cent a year ago.
Short-terms Down

Price recessions have been noted
only in the short-term serials because
commercial banks, commonly the big
buyers of such investments, have been
pinched for investment funds because
N o r t h w e s t e r n B a n k e r, J u n e , 1955

52

In v e stm e n ts

of the prior claim of the loan port­
folio on earning assets and because of
the continuing drain on the bank’s
statutory reserves.
It is something else when it comes
to the field of United States govern­
ment securities. With the Federal Re­
serve System maintaining a policy
ranging from neutrality to mild re­
straint, bonds of the Federal govern­
ment have been drifting downward to­
wards the year’s low prices. The
Treasury has been at a disadvantage
in its still-too-frequent trips to market
to finance deficit or to refund matur­
ing debt.
The most recent of the Treasury

operations was a combined cash-andexchange transaction consisting of an
offering of up to $6,386,000,000 of 15month 2 per cent notes. Of this,
$2,500,000,000 was for cash to pay off
payable-on-demand tax notes now ma­
turing. The rest of the borrowing was
necessitated by the maturing of $3,886,000,000 of lVs per cent certificates of
indebtedness on May 15.
Even well before the offering went
into effect, there was little enthusiasm
in the market for a new Treasury of­
fering, regardless of terms. Probably
the most expedient course would have
been to roll over the maturing debt
into securities due in a year or less,

Inform ed
and helpful
service for
banks

Debentures
Equipment Trust
Certificates

Since its founding near

turn of the century,

Bonds
Notes

Exclusively

this firm has been identified with the original
underwriting and distribution of debt obligations
for representative borrowers in virtually every
major field and locality in the country, while still
confining itself to the offerings of well established
communities and corporations.
We make available to bank investment officers an
exceptional diversity o f public utility, railroad,
industrial and tax-exempt securities, together with
helpful knowledge and service based on our long
experience in this field.
Your inquiry is invited. Send without obligation

with a view to keeping non-bank cor­
porate funds invested in government
paper. To do this, however, would
have meant backsliding into the prac­
tice of “unfunding the debt,” and
would have compelled the Treasury to
renounce part of the small gain that
it has made in recent years toward
its objective of lengthening out the
maturity incidence of the public debt.
In selecting a 15-month note, the
Treasury faced away from the easiest
way out, but the market outcome
could hardly be regarded as a tri­
umph. The new issue of 2 per cent
notes at once was traded at a slight
fraction below par and might have
done even worse had not the Federal
Reserve System intervened in the
market on the buying side by acquir­
ing $178,000,000 of Treasury bills—$60,000,000 by outright purchase and $118,000,000 by repurchase agreements with
government bond dealers.
A secondary effect of the financing
was to bring to a halt a rise in dis­
count bill yields which had taken the
average rate of discount at the weekly
auction to 1.65 per cent in April, as
compared with a rate of 1.029 per cent
last November. With the effectuation
of the new financing, the bill yields un­
derwent a sharp reversal of market
trend, and within a week the longest
maturities of the 91-day paper were
selling at returns of less than 1.4 per
cent. The bidding for the bills re­
flected the lack of appeal which the
Treasury’s new 15-month notes car­
ried to non-bank corporations, whose
short-term investments in anticipation
of tax liabilities are confined usually
to securities due in less than one year.
To have had to go to market to re­
fund maturing debt and raise new
cash at this time must have been an
unwelcome chore for the Treasury,
and the experience must have been
anything but agreeable to the Federal
Reserve. Yet recurrences of the same
embarrassment are bound to take
place with irksome frequency so long
as the Federal government continues
to operate at a deficit, and so long as
large aggregates of the existing public
debt continue to come due every few
months. The Treasury’s next major
debt-marketing ordeal will come up
in July, when the government will
be faced with the need for raising

for our latest list of select offerings.
W

a y n e

H

u m m e r

C H IC A G O

HALSEY, S T U A R T & CO.
123

SO U TH

LA

SA LLE

STREET,
AN D

C H IC A G O
O TH ER

90

•

P R IN C IP A L

35

W ALL

STREET,

N EW

Inc.
YO RK

5

C IT IE S

NEW YORK STOCK EXCHANGE

N o r t h w e s t e r n B a n k e r. J u n e , 1955


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

a

C o .

53

Foreign commerce and foreign travel have be­
come increasingly important to businesses, to
individuals, and to banks . . . in every part of
the country.
More and more o f your customers today
travel abroad and deal with the people o f many
lands. The Northern Trust Company welcomes
the chance to share the knowledge, experience,
and facilities o f its complete Foreign Banking


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

Department with these friends o f your bank.
World-wide foreign exchange, collections, in­
vestment assistance, letters o f credit and letters
o f introduction can be arranged easily and
quickly through the Foreign Banking Depart­
ment o f The Northern Trust Company.
Plan to discuss your needs with a Northern
Trust officer the next time you see him, or write
us and we will be happy to give you full details.

THE

NORTHERN TRUST
COMPANY
5 0 S o u t h L a S a l l e S t r e e t , C h i c a g o 9 0 , Illin o is • F R a n k l i n 2 - 7 0 7 0
MEMBER FE D ER AL DEPOSIT INSURANCE CORPORATION

N o r t h w e s t e r n B a n k e r, J u n e , 1955

54

In v e stm e n ts

from $5,000,000,000 to $6,000,000,000 in
cash.
How the Federal Reserve is whipsawed by such experiences is reflected
by the fact that the district reserve
banks saw fit to raise their rediscount
rates from IV2 per cent to 1% per cent
right before the Treasury financing.
The move had been expected in the
financial district and was probably
timed so that the financing could be
carried out in an atmosphere of mini­
mum uncertainty.
The raising of the Reserve Bank’s
rediscount rate in advance of the
Treasury did not cause even a ripple
of comment, critical or otherwise. A
few years ago such a sequence would
have raised a storm of questions
among observers dominated by the
war-born notion that a first function

of the Reserve System is to support
a low-interest structure for a Federal
government saddled by debt.
Return to Old Stand

The return of the Reserve System
to the old stand was underscored by
a speech made before a West Coast
banking audience by Allan Sproul,
president of the Federal Reserve Bank
of New York. He declared that it is
“healthy and useful” for the banks to
become more “dependent” upon bor­
rowing at the Reserve Banks and nat­
ural for interest rates to firm up in
response to an increasing demand for
loan funds. He said that changes in
the discount rates of the Reserve in­
stitutions might be made more fre­
quently in such a period. “ In such
circumstances,” he said, “the discount
rate could assume the role of an an­

chor for the whole structure of inter­
est rates. And eventually it might
lose some of its ponderous significance
as a symbol, while it gained in power
as a ready weapon of monetary pol­
icy.”
Such a day, however, is far distant
so long as vast aggregates of the pub­
lic debt are still held by the commer­
cial banks in the form of “ secondary
reserves,” that is, short-term securities
easily disposed of for cash whenever
the banks need loan or reserve funds.
The Treasury will have to make a
lot more progress than it has thus far
toward shrinking the floating debt
before the Reserve System rediscount
mechanism can be restored as a key
tool for enforcing monetary policy.—
End.

New Chicago Office
Bank Building and Equipment Cor­
poration’s fifth branch office has been
opened at 333 North Michigan Avenue,
Chicago, according to Vice President
E. T. Klein. J. T. Conlon, formerly
in charge of the firm’s New York
office, has been named manager.
Succeeding Mr. Conlon as manager
of Bank Building’s office at 103 Park
Avenue, New York, is Justus J. De­
Vries. Mr. DeVries has been associ­
ated with this office since January,
1952, and is assisted by T. F. G. Adair.
Bank Building and Equipment Cor­
poration is the world’s largest design­
er and builder of financial buildings.
Main offices are located at 906 Sidney
Street, St. Louis.

NOW START YOUR

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ocean bathing. Coffee Shop. Cocktail
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Heads Market Development
Mark B. Stringfellow has b e e n
named manager of market develop­
ment at Spencer Chemical Company.
He goes to Spencer from the Nopco
Chemical Company, Harrison, New
Jersey, where he was manager of the
plastics division. He was previously
with the Carbide and Carbon Chemical
Company, a division of Union Carbide,
where he was engaged in development
and engineering work.

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your

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o m

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Telephone RA 6-5432
N o r t h w e s t e r n B a n k e r, J u n e , 1955


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

55

r Q ) t's i t t i< /f{ t j / t e e l

\

%;

; ,:<

«

tjiie c t ¿¡jfi S .
President of the Magnolia Bank, Magnolia. Mississippi. S. E. Babington
recently was voted “ Distinguished Farm Banker of Mississippi” in a
poll of his state’s bank officials. Mr. Babington started in the financial
world as a bookkeeper in a New Orleans bank, and in 1934 joined the
Magnolia Bank. In 1935 he became cashier, and in 1942 president. He
is past chairman of the agricultural committee of the Mississippi
Bankers Association, and is currently vice-president and chariman of
the association’s executive committee.

Checking a dairy herd are Mr. Babington (le ft),
George A. Mullendore, County Agent, and Mrs.

Lillian T. Pritchard, a widow who operates a highproducing Jersey farm near Magnolia, Mississippi.

Dairy Loans In ’35? S u re ...
And Look What Happened:
Back in 1935 money for dairy loans in Mississippi
was as scarce as cash for Cadillacs. But one Missis­
sippi banker, S. E. Babington of the Magnolia Bank,
was going out in search of dairy farmers to finance!
And farmers from distant towns were traveling to
Magnolia to secure dairy loans.
"We couldn't see the logic of Mr. Babington’s plans
at the time, what with times so tight,” says a ferti­
lizer dealer in a neighboring town, “ but it turned into
one of the smartest moves we’ll ever see.” Through
these loans the Magnolia Bank helped the area be­
come a leader in milk production, with a large, stable
market in New Orleans and Baton Rouge, Louisiana,
and Beaumont and Port Arthur, Texas.
A lot of folks pitched in during 1935 to make dairy­
ing a good source of income for Pike County and its
neighbors. But the dairy farmer’s crutch was the
Magnolia Bank. Mr. Babington saw the potential
ahead in dairying and, as time went on, both the
bank and the dairy farms grew healthy together.
The farms have grown larger, and grazing conditions
have improved tremendously, Mr. Babington notes.
The countryside is green the year around, with wellfertilized temporary pasture taking up the winter­
time slack. These improved pastures spell income to
the dairyman. According to Mr. Babington they’re


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

the biggest factor in economical feeding, and nutritionwise help cut disease losses.
Today dairy loans are universally available, but the
Magnolia Bank continues as a leader in the field. In
fact, it is the largest commercial bank lender to dairy
farmers in Mississippi and Louisiana.
Cotton farming has also gained the attention of the
Magnolia Bank. And, as in dairying, this area marks
itself for farming distinction. Mr. Babington gives
the credit to Pike County Agent, George A. Mullen­
dore, and the Negro County Agent, Alphonse Marks.
The two have fostered such progressive farming
practices as soil testing. Pike is the only county in
the region with a soil testing lab, and the banks in
the county pay the lab’s expenses.
Intensive fertilization and cultivation practices are
evident throughout the area and, because of acreage
allotments, the Magnolia Bank is suggesting a higher
level of fertility this year over last. The bank is also
pushing fertilizer to combat drouth, and Mr. Babing­
ton is telling his farmers that corn fires from a lack
of plant nutrients, not from a lack of moisture.
His educational work and initiative have made S. E.
Babington a respected leader in his area’s prosperous
agricultural economy.

56

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document guides assure sharper pictures.
N o r t h w e s t e r n B a n ke r, J u n e , 1955


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

Eliminates a separate job of endorsing or
cancelling your checks. The Reliant does it
automadcally in the microfilming run. The
time saved quickly pays for the high-precision
endorser unit and endorsing or cancellingdies, optional at slight extra cost. This unit
conforms with the Reliant’s trim, all-metal
design . . . becomes an integral part of the
machine when attached.

57

your microfilming dollar
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lens kit is included m Reliant . . .
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Stops double feeding. The Reliant’s
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Here’s extra protection. Two rolls of
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Federal Reserve Bank of St. Louis

its a p p lic a tio n to b a n k in g s y s te m s
RECORDAK CORPORATION {Subsidiary o f Eastman Kodak Company)
444 Madison Ave., New York 22, N. Y.

CompanyStreet—
City--------

-State-

N o r t h w e s t e r n B a n ke r, J u n e , 1955

58

In v e stm e n ts

Nominated as Chairman
George E. Barnes, senior partner of
Wayne Hummer & Company, Chicago,
has been named by the nominating
committee of the Midwest Stock Ex­
change as its nominee to serve as
chairman of the board of governors of
the exchange for the coming year.
Mr. Barnes, a native of Garner,
Iowa, is a former governor and chair­
man of the executive committee of the
Chicago Stock Exchange and is a form­
er vice president and member of the
board of governors of the Association
of Stock Exchange Firms.
Having served with both state and
national tax committees, Mr. Barnes
has authored tax plans to give relief

from double taxation and elimination
of filing returns by small wage earn­
ers.
He has been active in the affairs of
the industry, particularly from the
standpoint of developing a money in­
volved commission table which was
adopted by the New York Stock Ex­
change.
Mr. Barnes has served previously as
president of the Oak Park and River
Forest, Illinois, Community Chests,
and is currently serving as a member
of the National Budget Committee,
Community Chest Councils of Amer­
ica; as a regional vice president and
member of the executive committee,
United States Lawn Tennis Associa-

(ptot& dLiL.

tion; as national chairman of the
Davis Cup Sponsors Committee and as
a director of the Suburban Trust and
Savings Bank, Oak Park; the Four
Wheel Auto Company, LaSalle Exten­
sion University, and of the Dixon, Illi­
nois, Evening Telegraph, and its sub­
sidiary newspapers.

BANKERS
(That's You)

p jw ia d tA .

BO R R O W ER S
(That's Practically
Everybody!)

Colorado Credit Life insurance is one of those
rare and wonderful things that is a "Good Deal"
for everybody! It protects the banker's good will
and public relations . . . protects against the
dreaded situation of having to collect from a
deceased borrower's bereaved family. Colorado
Credit Life protects the borrower from fear for
his family's future, and his family from the addi­
tional grief of debt in the time of crisis.

cnAtj a n d a im plsL to h a n d lsL , a n d

COLORADO CREDIT LIFE

(p a ijA , in w u u d ia isd i^ !

H ere's w hat J A C K G R IM M E T T , V IC E P R ESID EN T
O F T H E P A U L S V A L L E Y N A T I O N A L B A N K of P au ls
V a lle y , O k la h o m a , has to s a y a b o u t C O L O R A D O
C R E D IT LIFE:

"W e would like to take this opportunity of expressing our thanks and
appreciation for the prompt manner in which your good company has
taken care of death claims which our bank has had to file against
credit risks in the past.
"Our most recent case was under Certificate No............... on the life of
..................... . who committed suicide five days after loan was insured,
which claim was paid in five days. Our notice of claim was forwarded
to the Home Office in Boulder, Colorado, by newspaper clipping for
payment, this claim was in the amount of $2,100. We are very appreci­
ative of the simple manner claims are handled.
"W e are very glad to write you this letter, and if you so desire, you
may use it in any way you see fit for advertising purposes as we
feel that more banks should avail themselves of your fine service."

G E O R G E E. B A R N E S
Chairman, Board of Governors
M idw est Stock Exchange

The nominating committee of the
Midwest Exchange also announced the
nomination of Guybert M. Phillips,
Caldwell, Phillips Company, for the
position of vice chairman of the ex­
change.
Nominated for three-year positions
on the board of governors were Clyde
H. Bidgood, floor member; Clarence
A. Horn, First of Michigan Corpora­
tion; Robert L. John, Woodard-Elwoocl
& Company; Thomas S. Koehler, floor
member; James W. Pope, Glore, Forgan & Company; Leslie B. Schwinn,
L. B. Schwinn & Company; Oscar H.
Wibbing, O. H. Wibbing & Company,
and Robert C. Wilson, floor member.
Nomination was expected to be fol­
lowed by election during the first
week of June.
W ill a t t r a c t new
a cc o u n ts and reta in
present accounts.

SAVINGS
We invite your questions and requests for infor­
mation. Wire or call collect to the Colorado
Insurance Group Home Office in Boulder, Colorado.

BANK
COLORADO CREDIT LIFE
COLORADO
INSURANCE COMPANY

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No rthwest er n

Banker, J un e ,


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

1 95 5

THE
173-175

LEE
Lee

P L A S T IC
A ve.,

MFG.

Brid g ep o rt,

CO .
Conn.

59

INSURANCE
These Two Macomb, Illinois, Agents . . .

Get 00fit
Of the Office
. . . to Maintain Their Agency
Which Was Built on Farm-to-Farm Canvass
A N orth w estern B an ker
In terv iew w ith

W . R . B O T T O R F F a n d J. L. A L L E N

E V E R Y FARM ER
in the area is a
prospect for Mr.
Bottorff.

B o tto r ff-A lle n A g e n c y
M a c o m b , Illin o is

ALL US Before the Firemen” is
the slogan of the Bottorff-Allen
Insurance Agency, Macomb, Illi­
nois, but in either case, they know
what’s going on in case of fire, be­
cause James I. Allen, one of the part­
ners, is an active member of the vol­
unteer firemen of Macomb.
Mr. Allen had an insurance agency
of his own until four years ago when
he decided to join 71-year-old W. R.
Bottorff and form the progressive Bot­
torff-Allen Agency that maintains its
share of the business in and around
Macomb.

C

On the Farm

Mr. Bottorff has been selling insur­
ance for the American Insurance Com­
pany, New Jersey, for 44 years, and
received a beautiful gold watch from
that company on the occasion of his
40th anniversary with them. Until ten
years ago, Mr. Bottorff kept no regu­
lar office downtown because most of
his business was done “ out on the
farm.”
One might say that he kept his
office in his pockets, for he built a suc­
cessful agency while going from farm
to farm, visiting with the “man next
to the soil” and talking crops, live­
stock and farm prices as well as in­
surance on the machinery, buildings,
crops, etc.
The “direct writer” doesn’t have a

chance with certain lines that Bot­
torff-Allen pushes. For one thing, these
two men are out after the business.
Mr. Bottorff handles most of the farm
business, while Mr. Allen has charge
of the business in town. Since the
farm business comprises a good share
of the agency work, Mr. Allen also
helps with it on occasion.
The 71-year-old, and he certainly
doesn’t look it, can probably credit his
outdoor activities for his good health
as well as success with the farm busi­
ness in the area.
Success Sweet

Mr. Bottorff hardly knows what
losing a farm case means, once he has
sold it. This is because he never lets
a policy go into expiration.
Here’s how he does it: Let us say
that Mr. Farmer has decided to buy
coverage for his farm machinery and
has selected, at the suggestion of Mr.
Bottorff, a five-year policy. If Mr.
Farmer adds new equipment within
the five years, Mr. Bottorff will know
about it because he keeps in touch
with all his farm insureds. And in­
stead of making an endorsement for
a change in the contract to cover the
new equipment, Mr. Bottorff cancels
the old policy and writes a new fiveyear policy. Competition cannot keep
up with him, and it is next to im­
possible to get a policy away from him

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us send you the details.


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

for this reason. All the farm policies
with the agency are written on a fiveyear installment note basis.
James Allen, besides handling busi­
ness within the city, takes care of the
general liability policies, casualty, life
and workmen’s compensation, and di­
rects the agency’s promotions.
He maintains a consistent advertis­
ing program using circular letters,
spot announcements on radio, home
office aids, cards to the parents of a
newly-born baby, and cards also on
the occasion of deaths, birthdays, an­
niversaries, and other events of per­
sonal interest in the lives of the agen­
cy’s policyholders.
“Paste-Up Map”

Very successful has been the annual
service started four years ago of fur­
nishing fifth grade pupils throughout
the county with a “Paste-Up Map of
the United States.”
The map is on heavy cardboard that,
when folded open, is 17 inches wide
and 11 inches deep and in color except
where each of the 48 states is to be
pasted by the geography-studying pu­
pil. On the back of the folder is a
message to “ Mother and Dad,” telling
about the map . . . and the BottorffAllen Agency. A small booklet accom­
panies the map and contains each of
the 48 states in color with state names,
state capitals and important cities.

P R O V ID IN G G R O U P LIFE, A C C ID E N ­
TAL D E A T H A N D D IS M E M B E R M E N T ,
ACCIDENT A N D S IC K N E S S , H O SP IT A L
A N D S U R G IC A L B E N EF IT S

FIR S T N A T IO N A L B A N K B U IL D IN G , C H IC A G O 3 , IL L IN O IS

N o r t h w e s t e r n B a n k e r, J u n e , 1955

60

Insurance

Also in the booklet, the pupil finds a
test map with the states and their
capitals in the wrong places. He must
attempt to discover the 48 errors and
list them on a separate piece of paper.
“We found out that the pupils in
this county begin their study of the
United States in the fifth grade,” said
Mr. Allen, “so when we started this
special service, we contacted the
county superintendent of schools and
got a list of the fifth grade teachers in
the county. When we learned their
names we contacted them and told
them our plan. They were enthusias­
tic and used our paste-up map sets
and tests for classroom study.”
The program has been continued for

the past four years and probably will
continue indefinitely, according to Mr.
Allen, who said the agency receives
many letters from the school children
and their parents, as well as from the
teachers. This is one way of contact­
ing practically everyone in the county
since a new group of fifth grade pupils
and many new parents see the Bottorff-Allen names and message each
year.
The Macomb, Illinois, agency can
credit its success, then, to contacts and
service. Contacts are made daily by
the two men who do not believe busi­
ness can be built at the desk. More
contacts are made by advertising and
promotion.—End.

ABERNATHY . . .
(Continued from page 24)
tee of the Chamber of Commerce.
His social life is not neglected, as
he is a member of the Kansas City
Club, the Kansas City Country Club,
the River Club, the Saddle and Sir­
loin Club and enjoys hunting and
playing golf.
The Abernathys have a daughter,
Patricia, who lives in Kansas City.
The largest problem facing banks
and bankers today, according to Mr.
Abernathy, is that of developing com­
petent and educated official person­
nel to carry on the profession of
banking.— End.

Diebold Publication
Diebold, Incorporated, announced re­
cently the publication and availability
of its new 20-page multi-colored and
illustrated catalog No. AL-2817 which
describes use of Cardineer Rotary Card
Files in almost every phase of indus­
try. Entitled “Across the Land . . .
It’s Cardineer Rotary Record Sys­
tems,” the new publication will sim­
plify the complex problems of multi­
ple record keeping through utilization
of the rotary Cardineer. This new rec­
ord keeping unit is based on a prin­
ciple that rotation speeds the handling
of records, thereby reducing costs.
8$ !?> '.'AÄ "•/ ?

MERCHANTS
MUTUAL
In su ran ce a n d b o n d in g facilities of E m p loyers M utual C a su a lty
C om pany
protection
E m p loy ers

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Incorporated 1933
v :

■ .■ ■•

—
—

Home Office
2100 GRAND AVENUE

Des Moines, Iowa

Prompt, efficient p e rs o n a l s e rv ice b y m ore than 4,000
lo c a l a gen ts. N a tion w id e cla im s s e rv ice . B on din g
authorization of o v e r $1 m illion b y U. S. T reasu ry.
C all our a g e n t in y o u r com m u n ity, or write:

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

E. H. W ARNER
President and Manager

W. W . W ARNER
Secretary-Treasurer

Northwest ern Banker, June, 7955


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

In su ra n ce

Elect James H. Jarrell
James H. Jarrell, president of the
Old Republic Credit Life Insurance
Company of Chicago, was recently
elected president and a member of the
board of the Coal Operators Casualty

61

Coal Operators and also elected to the
board, at the stockholders’ meeting
held in Greensburg. Admitted assets
of Coal Operators are $8 million.

Increase Capital
At their annual meeting held recent­
ly, stockholders of the Great Northern
Insurance Company, in Minneapolis,
voted to increase the capital of the
corporation, raising it from $750,000 to
$ 1, 000,000.

Name New Director
J.
C. Higdon, president of the Busi­
ness Men’s Assurance Company, Kan­
sas City, Missouri, was elected a direc­
tor of City National Bank & Trust
Company of Kansas City last month.
On City National’s board, Mr Hig­
don takes the place of the late W. T.
Grant, founder of B.M.A. and chair­
man of the B.M.A. board at the time
of his death in November, 1954.

Reserve City Officers
J A M E S H. J A R R E L L
Expands insurance operations

Company of Greensburg, Pennsyl­
vania. He subsequently announced
that control of the company had been
acquired by a group which he heads,
along with William R. Stover, a vice
president of Old Republic, who was
named executive vice president of


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

Frederic A. Potts, president of the
Philadelphia National Bank, Philadel­
phia, was elected president of the As­
sociation of Reserve City Bankers at
the closing session of the annual con­
vention in Palm Springs, California.
Harris C. Kirk, executive vice presi­
dent, American Trust Company, San
Francisco, was elected vice president
of the association; Richard A. Aishton,
senior vice president, Continental Illi-

F R E D E R IC A. P O T T S
H eads Reserve City Bankers

nois National Bank & Trust Company,
Chicago, was named treasurer, and
Joseph J. Schroeder, Chicago, con­
tinues as secretary of the association.
Elected directors for the three-year
terms were the new treasurer, Mr.
Aishton; Henry T. Bodman, general
vice president, National Bank of De­
troit; Kenton R. Cravens, president,
Mercantile Trust Company, St. Louis,
Missouri, and William L. Day, presi­
dent, The Pennsylvania Company for
Banking and Trusts, Philadelphia.

Most Bankers . . .
use our facilities profitably. Underwriters
of Credit Insurance, Group Creditor, Hos­
pitalization, Life, Mortgage Plans, and
Disability Plans.

We

s p e c i a l i z e in d e a l i n g w i t h f i n a n c i a l
in stitu tio n s

i

!
CENTRAL STATES HEALTH AND ACCIDENT ASSOCIATION
W OW BUILDING, OMAHA 2 , NEBRASKA, T. LESLIE KIZER, PRES.

N o r t h w e s t e r n B a n k e r, J u n e , 1955

62

T

A ll a b o a r d fo r th e B a n k e r ’ s A s s ’n.
C o n v e n tio n s ! M in n e so ta (in M in n e ­
a p o lis, J u n e 1 3 -1 5 ); M o n t a n a (at
Y e llo w s to n e , J u n e 1 6 -1 8 ); W is c o n ­
sin (in M ilw a u k e e , J u n e 2 0 -2 2 ).

W e ’re lo o k in g fo r w a r d t o ta lk in g
o v e r m a tte rs o f m u tu a l in terest.
I f w e ca n b e o f se rv ice in th e m e a n ­
tim e , w e ’re as clo se as y o u r te le ­
p h o n e , ty p e w r ite r o r te le g ra p h .

D E P A R T M E N T OF B A N K S AND B A N K E R S
D . E . Crouley, V ice President
F. W . Conrad, V ice President
L. P. G isvold, V ice President
K . M . Barnett, V ice President
L. M . B room , V ice President
C. P. Lindholm , A ss’ t. Cashier
R . G. Ziemer, A ss ’t. Cashier
R . W . Heldridge, Representative
M em ber Federal Deposit Insurance Corporation

N A T I ON A L B A N K OF M I N N E A P O L I S • M A I N 0123

S ervin g Bankers
o r FRASER
t h w e s t e r n B a n k e r, J u n e , 1955
DigitizedNfor
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Since 1872

63

M in n esota H ankers
Conren tion P rogram
Outstanding Speakers Arranged for Annual
Meeting June 1 3-1 5 in Minneapolis

B

ANKERS attending the 65th annual convention of the Minnesota Bankers
Association, June 13-15 in Minneapolis, will find an innovation awaiting
them—“selective registration.”

In past years, a single registration fee has been charged all delegates to the
convention. The new plan allows a bank the opportunity of selecting events
they are most interested in sending delegates to, and paying for these activi­
ties only.
“We feel this plan will increase attendance greatly, allowing bank employees
within a 50-to-100-mile radius of the Twin Cities to attend the two morning
business sessions to hear outstanding speakers, and to do so economically,”
said Wally Engstrom, vice president, Midland National Bank, Minneapolis, and
general chairman of the convention committee.

W I L L I A M G. K IN G
President, M innesota Bankers
Association , Grand Rapids, M innesota

Highlighting the three-day conference will be talks by national leaders from
the field of finance, government and industry.
65T H ANNUAL CONVENTION PROGRAM
Monday, June 13

A.M.-P.M.
8:00-7:00
8:30-1:30

Registration—Mezzanine, Radisson Hotel.
Golf—Interlachen Country Club.
Men’ s Smoker

P.M.
6:30

Dinner—Interlachen Country Club.
Reports of Committees—Nominating and Resolutions.
Golf awards.
Entertainment.
(Turn to page 64, please)

M R S. I V Y B A K E R P R IE S T
Treasurer of the U nited States
W ashin gton, D . C.


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

L E W I S G. C A S T L E
Adm inistrator, St. Lawrence
Seaw ay Developm ent, W ash in gton , D . C.

W . J. K L E I N
V ice President, A llis-C h alm ers
Company, M ilw aukee, W iscon sin

DR. C H A R L E S W . M A Y O
U N E S C O D elegate
Rochester, M innesota

N o r t h w e s t e r n B a n k e r, J u n e , 7955

64

M in n eso ta

N ews

Chalmers Manufacturing Com­
pany, Milwaukee, Wisconsin.
“The United Nations, Its Prob­
lems and Future”—Dr. Charles
W. Mayo, Rochester, Minne­
sota.
Election of officers, resolutions,
announcements, recess.

W om en’ s Dinner

6:30

Rose Dinner — Garden Room,
Hotel Nicollet.
Millinery show and entertain­
ment.
Tuesday, June 14

A.M.-P.M.
7:00-2:00 Registration — Mezzanine,
Radisson Hotel.
First Business Session
Grand Ballroom, Radisson Hotel

A.M.
9:15

Call to order.
Invocation—The Reverend Ver­
non E. Johnson, St. Pauls Epis­
copal C h u r c h , Minneapolis,
Minnesota.
Greetings from the Governor of
the State of Minnesota — The
Honorable Orville L. Freeman.
Presentation of guests.
President’s Address — W. G.
King.
A.B.A. Meeting and Elections—
D. J. Fouquette, A.B.A. state
vice president.
“The National Scene”—Warren
E. Burger, assistant attorney
general, Washington, D. C.
“ Salesmanship in Banking Is
Good Public Relations”—W. J.
Klein, vice president, Allis-

A Canadian open-end m an­
agem ent type mutual fund w ith
objectives o f participating in
the developm ent o f the re­
sources and econ om y o f Cana­
da through diversified invest­
ments principally in com m on
stocks o f Canadian enter­
prises, and obtaining for its
shareholders certain tax ad­
vantages under Canadian law.

Noon
12:00 Minnesota Club of the Central
State School of Banking Lunch­
eon—Dyckman Hotel.
P.M.
12:15 Pioneer and Past Presidents’
Club Luncheon—Italian Room.
6:30 Social Hour—Gold Room, Mez­
zanine.
6:45 Banquet — Grand Ballroom,
Radisson Hotel.
Introduction and Installation
of New Officers—W. G. King.
Response—Don E. Crouley.
Entertainment—Sheik’s Sextet,
Johnson’s Magic Show, Danc­
ing Duos.
Dancing — Wes Barlow’s Or­
chestra.

Second Business Session
Junior Ballroom, Radisson Hotel

A.M.
9:30—Call to Order.
Greetings from the mayor of
Minneapolis, T h e Honorable
Eric Hoyer.
Presentation of guests.
Report of the executive secre­
tary.
Message from the newly elected
president.
“Voluntary H o m e Mortgage
Credit Program” — Wendell T.
Burns, vice president, North­
western National Bank, Minne­
apolis, Minnesota.
“Financing the St. Lawrence
Waterway Project”— Lewis G.
Castle, administrator, St. Law­
rence S e a w a y Development
Corporation, Washington, D. C.
“ Bountiful Promise”—Mrs. Ivy
Baker Priest, Treasurer of the
United S t a t e s , Washington,
D. C.
Adjourn.
Learnin’ for the Ladies

Wednesday, June 15
Agricultural Breakfast
Junior Ballroom, Radisson Hotel

A.M.
7:30

Call to Order—G. M. Robertson,
ch airm an, Agricultural and
Conservation C o m m i t t e e ,
M.B.A.
Remarks:
4-H Club Award; Acceptance—
Nancy Meyer, 4-H Houston
County.
Future Farmers of America
Award; Acceptance—Jack Mor­
ris, president, Minnesota FFA,
Winthrop, Minnesota.
Agricultural Scholarship Rec­
ognition; Acceptance — James
Bryan, Red Wing, Minnesota.
“ Faith, Hope and Parity”—Dr.
G. Burton Wood, head of De­
partment Agricultural Econom­
ics, Oregon State College, Corvillis, Oregon.

Gold Room, Radisson Hotel

A.M.
10:00

Call to Order—Wallace L. Boss,
vice president, First National
Bank, St. Paul; past president,
M.B.A.
“A Command Performance” —
Mrs. Jackie Greer, assistant
vice president, First National
Bank, Houston, Texas.
“Care and Feeding of Hus­
bands”—Dr. C. Gilbert Wrenn,
P r of essor, Educational Psy­
chology, University of Minne­
sota, Minneapolis, Minnesota.
Adjourn.
Presiding over this year’s sessions
will be William G. King, Grand Rap­
ids, Minnesota, president of the M.B.A.;
Don E. Crouley, Minneapolis, vice
president, and Floyd W. Larson, Min­
neapolis, executive secretary. Gover­
nor Orville L. Freeman and Mayor
Eric Hoyer of Minneapolis will bring
greetings to the delegates.—End.

Tax free municipal bonds
for bank investment

★
P ro sp e c tu s from a lo ca l rep re se n ta tive o f

D IV E R SIF IE D

S E R V IC E S , IN C.

or from the home office at

861 investors Building, 8th and Marquette
Minneapolis 2, Minnesota.

N for
o r t hFRASER
w e s t e r n B a n ke r, J u n e , 1955
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Allison-Williams Company
N O R T H W E S T E R N B A N K B U IL D IN G
M IN N E A P O L IS

A T L A N T IC 3475

65

All packed and raring to
All of us at The Saint Paul First’s Depart­
ment of Banks and Bankers have been
looking forward to the June Bankers Con­
ventions. We’re planning, of course, to
attend the Minnesota, Montana and Wis­
consin meetings and hope to have good
visits with our many banking friends.

We’ll be seeing you:
June 13-15 at the Minnesota Convention
Hotel Radisson, Minneapolis
June 16-18 at the Montana Convention
Canyon Hotel, Yellowstone Park
June 20-22 at the Wisconsin Convention
Hotel Schroeder, Milwaukee

Department of Banks and Bankers
B O S S , V ic e P r e s id en t

W ALLACE

L.

ELM ER

M.

VO LKEN AN T,

LEE

S A U E R , A s s is ta n t V ic e P r e s id en t

A.

DO NALD

W.

D O N ALD

L.

HENRY

N.


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

V ic e P r e s id en t

THE

F IR S T

n a t io n a l b a n k

OF SA IN T PAUL

B U C K M A N , A s s is ta n t V ic e P r e s id en t
S M I T H , A ssista n t C a sh ier

S N Y D E R , R ep resen ta tive
MEMBER

FEDERAL

DEPOSIT

INSURANCE

CORPORATION

Northwestern Banker, June, 1955

66

NEW state bank is now open for
business in suburban St. Louis
Park.
Known as Park-Plaza State Bank,
the new institution is state chartered
and a member of the Federal Deposit
Insurance Corporation. It is located
in the new Knollwood Plaza shopping
center on highway 7 at Texas Avenue.
The bank is incorporated for $200,000 capital structure, divided as fol­
lows: capital $100,000, surplus $60,000,
and undivided profits $40,000.
W. A. Zastrow is president. For
many years he was president of the
First National Bank of Hopkins. He
also has been associated with the Wayzata State Bank and with the Farmers
State Bank of Lake Benton, Minne­
sota.
Other officers are Herman Holm­
gren, vice president: George .T. Heid,
formerly of the Liberty State Bank
of St. Paul and of the Northwestern
National Bank of Hopkins, cashier,
and Virginia Keefe, formerly of the
University National Bank of Minneap­
olis, assistant cashier.
Directors are Mr. Bolmgren, Earl

A

Ainsworth, Francis Edey, John O.
Louis, Carl A7. Carlson and Air. Zas­
trow.
*

*

*

Directors of the First Bank Stock

Corporation recently declared a quar­
terly dividend of 37% cents per share
on the corporation’s capital stock, pay­
able June 10 to stockholders of record
May 20. This represents the 70th con­
secutive regular dividend paid by the
corporation.
Ellwood O. Jenkins, president, re­
ported that consolidated net operating
earnings of the corporation, its 75
bank affiliates and its three non-bank­
ing affiliates for the first quarter of
1955 amounted to $2,310,608.
Deposits reported by bank affiliates
in Minnesota, North Dakota, South
Dakota and Montana totaled $1,273,757,396 on March 31, compared with
$1,229,024,728 a year ago.
*

*

*

The Northwestern State Bank of St.
Paul has increased its capital from
$150,000 to $200,000, Walter A7. Doric,
president, announced.
*

*

*

Paul J. Birkett, a member of the

board of directors of the Highland
Park State Bank of St. Paul, died re­
cently at the age of 56. He was a
partner in the Hove Food Market.
Surviving are his wife and a sister.
*

*

*

Shareholders and directors of the
First National Bank of St. Paul voted
recently to raise the bank’s capital by

Convention Greetings-

$2,000,000 through sale of additional
capital stock.
Julian Baird, chairman of the board
of directors, said the increase raises
the bank’s capital structure to $26,000,000, including $10,000,000 of capital
stock and $16,000,000 of surplus.
*

*

*

Albert J. Berglund of the First Na­

tional Bank of Minneapolis has been
elected president
of the Minneap­
olis chapter of the
American I n s t itute of Banking.
Gordon Cool of
the Northwestern
National Bank of
Minneapolis w a s
named first vice
president, and Ar­
thur Lee of the
a . j.
b e r g l u n d
Federal R e se rv e
Bank of Minneapolis, second vice pres­
ident. Arthur Erpelding of the Farm­
ers & Mechanics Savings Bank of Min­
neapolis was elected treasurer.
Named to the board of governors for
three-year terms were Arthur Hopper
of the First National, Vernon Swanson
of the Marquette National Bank of
Minneapolis, and Harold Underhill of
the First National Bank of Hopkins.
Chapter members voted to increase
the size of the board of governors by
three next year.
*

*

*

Paul Casserly, account executive of

TO

OURB A N K ER FRIEND S

JURAN 8. MOODY, INC
Municipal Securities Exclusively
T e le p h o n e :
St. P a u l— C A p it a l 4-9661

DigitizedNorthwestern
for FRASER Banker, June, 1955
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

93 E ast Sixth Street
St. P a u l 1, M in n e s o ta

Merrill Lynch, Pierce, Fenner and
Beane, was speaker at a recent dinner
meeting of the Financial Public Rela­
tions Association of the Twin Cities at
the Town and Country Club in St.
Paul.
*

=t= *

James P. Hesketh, a 29-year-old em­

ployee of the First National Bank of
Minneapolis, was the choice of the
Minnesota Bankers Association as typ­
ical Minnesota banker during the re­
cent observance of Know Your Bank
Week.
The state’s 670 state and national

67

C o n v e n tio n s a r e fo r w o r k
...a n d fo r fu n , to o !

• You bet we think conventions should be en­
joyed. We feel there’s much to be gained from
sharing the knowledge and experience of others
— whether it’s in a regular business meeting,
or in the informality of the golf course.
We at First National of Minneapolis urge
you to attend your state bankers’ convention.
And we take this opportunity to congratulate
you and the many men and women in your
state organization for your contributions to
banking during the past year.

FIRST

M in n e so ta B a n k e r s, R a d is s o n H o te l,
M in n e a p o lis , M in n ., J u n e 1 3 -1 5
W is c o n s in B a n k e r s , H otel S c h ro e d e r,
M ilw a u k e e , W is ., J u n e 2 0 - 2 2
M ic h ig a n B a n k e r s , H otel S tatier,
D etro it, M ic h ig a n , J u n e 3 0 - J u ly 2

NATIONAL BANK

O F M I N N E A P O L I S . . . rhe

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

Bonkers’BonkoftheUpperMidwest”
MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

Northwestern Banker, June, 1955

68

Minnesota News

banks held open house as a feature
of the week.
Mr. Hesketh, an attorney, works in
the probate division of First Nation­
al’s trust department. He attended a
series of civic luncheons during the
week as representative of the state
association.
*

*

*

Ray 1). Fuller of the First National
Bank of Minneapolis was elected to
the executive committee of the Ameri­
can Safe Deposit Association at the
group’s annual meeting in Richmond,
Virginia.
=1= *

the First Bank Stock Corporation, has
been elected a vice president of the
S. T. McKnight Company of Minne­
apolis.
*

T. D. Montgomery, manager of the

investment research department of

*

*

The University of Minnesota pre­
sented an outstanding achievement
award to S. Clark Beise, president of
the Bank of America at San Francisco,
at an alumni dinner of the school of
business administration.
Mr. Beise is a member of the uni­
versity’s class of 1923. A native of
Windom, Minnesota, he became presi­
dent of the largest privately owned
bank in the world a year ago.
*

*

>i=

Frederick W . Manke, vice president

and comptroller of the First National
Bank of St. Paul, served as chairman
of the arrangements committee for
the midwestern regional conference of
the Comptrollers Institute of America
this month in Hotel Radisson, Minne­
apolis.
*

*

*

A new “electronic look” in personal
checking accounts recently made its
first northwest appearance at the new
West Broadway office of the First Na­
tional Bank of Minneapolis.
Customers with Dime-a-Time check­
ing accounts began using a new pre­
punched check designed for handling
by high speed electronic equipment
at the bank. A year ago First Na­
tional introduced punched card checks
for large commercial accounts.
*

*

*

King Kenneth um, assistant vice

president of the First National Bank
of Minneapolis, was named treasurer
of the Committee for a Balanced
School Board in Minneapolis.
*

*

*

Minneapolis area banks reported an
all-time high in total loans in response
to a call of the Comptroller of the
Currency for their condition.
The 18 national and 13 state banks
in Minneapolis and suburbs had loans
totaling $487,597,129, a gain of nearly
$30,000,000 from the total reported on
the last bank call December 31.
Deposits totaled $1,331,589,740, a de­
cline of slightly more than $58,000,000
but still the highest on record for this
time of year.
=i= *

Mrs. Hazel E. Resell, assistant cash­

Inviting you to use our corre­
spondent facilities.
Your visit during the Minnesota
Bankers Convention June 13-1415 will be appreciated.

Stock Yards National Bank
of South St. Paul
SOUTH ST. PAUL, MINNESOTA

ier of the Fidelity State Bank of
Minneapolis, is the new president of
the Twin City group of the National
Association of Bank Women.
She succeeds Julia Cummings, of
the St. Anthony Falls office of the
First National Bank of Minneapolis.
Other new officers are Elizabeth
Hagerty of the American National
Bank of St. Paul, vice chairman, and
Mary Ellen MeLear of the First Na­
tional Bank of Minneapolis, secretarytreasurer.
Mrs. Virgille Peake of the North-

L o o k i n g for a correspondent
bank that’s friendly . . . inter­
ested in your problems . . .
quick to help? Come in any
tim e!
Write or phone Main 0511

M idland NATIONAL BANK
-tke, bankwütklke. big WELCOME !

M EMBER

FEDERAL

DigitizedNorthwestern
for FRASER Banker, June, 1955
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

D E P O S IT

IN S U R A N C E

C O R P O R A T IO N

401 Second Ave. S.
Minneapolis 1, Minnesota
Member Federal Deposit Insurance
C orporation

Minnesota News

69

Advertisement

M

in

n

e

s o

t a

"ito li o f

HonorHanks

The banks listed on this page are some of the outstanding “Honor Roll“ Banks in Min­
nesota. By careful management and sound banking they have achieved this enviable
position. These banks will be especially glad to handle any collections, special credit
reports or other business in their communities which you may entrust to them. Corre­
spondence is invited.
C A P IT A L
O FFICE R
..Cyril K ram er .................... ........... $ 25,000
50,000
_R. H. Pederson .................... ..........
60,000
..Ray Herron ...................... .
25.000
,H. J. D ockstader ................ ...........
150,000
..John F. Zander, J r .............. ...........
50,000
.Peter Seterdahl .................. ______
25,000
.E. F. V ollrath ..................... ...........
50,000
R. B. Johnson ............. ........
25,000
.A. Henderson .............. ....... ...........
S. T. Strain .......................... ........... 2,000,000
100,000
.11. H. Peyton .....................
30.000
.Gordon M. Elden ................ ______
25,000
-W. B. Frank ....................... ...........
50,000
-F. J. Heaney ........................ ...........
25,000
R. I. Anderson ........... ........ ...........
25,000
.1. S. Folland ........................ ...........
50.000
.Dennis Countryman .........
300,000
C. E. T aylor .............. ......... ........
100,000
A. A . Koskinen ................... ..... .
30,000
.Russell Zim m er .................. ______
25,000
A. H. Stellner ...................... ...........
H. S. Larson ........................ .........
45,000
E. A. Highum .... .................
50,000
.A rthur H. Tow ler ............. ______12,000,000
R. L. S to te s b u ry .................. ______ 1,000,000
-W. E. Brockm an ................ ______ 1.000,000
.Donovan E. Crouley........... ......... 12,000,000
50,000
.A. G. Sirek .......................... ...........
100.000
G. H. V etter ........................ .... .
.C. B. A rveson ...................... ........
10,000
50,000
-V. R. S m y th e ......................
D. H. Grina ........................... ...........
250,000
G. H. Hubmer ....................
50,000
R. O. Bishop ........................ ........... 2,500,000
-E. J. Huber ........................... ...........
50,000
.G eorge W. W e r s t le in _____
100,000
C. M. Banks ........................
25,000
25,000
B. W . Radem acher ............. ...........
H. G. Hamre ................ ....... ...........
25,000

TO W N
BANK
A ltu ra.................................Altura State Bank .............................
A pp leton ..............................Farm ers & M erchants State Bank
Bloom ing P rairie............F irst N ational Bank............ ............
B ovey...................... ........First N ational Bank......... ........ ......
Brainerd........................ ...Citizens State Bank ............................
B reckenridge................... First N ational Bank...........................
C eylon........... ..................... State Bank o f C eylon........................
Clarks G rove.............. ...... State Bank o f Clarks G rove...........
Clearbrook...................
First State Bank.................................
Duluth..................... .......First & Am erican N ational Bank
Duluth.................................Pioneer N ational Bank ...................
Dunnell.................................First National Bank....... ......... ........
F a irfa x ...............................The Citizens State Bank..................
Glencoe..................
Security State Bank........ .................
Grand M arais....................Grand M arais State Bank...............
Greenbush........................ .Greenbush State Bank.....................
Heron Lake.......................Heron Lake State Bank.....
H ibbin g................................ First N ational Bank..........................
H ibbin g.......................
Security State Bank........ ...... .........
Lake Benton..................... Farm ers State Bank..........................
Lake Lillian......................First State Bank............... ..................
L eR oy .......................
..FirstN ational Bank...................
Lew iston............................Security State Bank...........................
M inneapolis...................... First N ational Bank..........................
M inneapolis......................Marquette N ational Bank.................
M inneapolis...................... Midland N ational B a n k ....................
M inneapolis......................N orthw estern National Bank.........
New P rague......................State Bank o f N ew Prague.............
New U lm ................... ......Farm ers & M erchants State Bank
O tisco................. .......... ..... O tisco State Bank...............................
Park R apids.....................State Bank o f Park Rapids..............
R och ester...........................Union N ational Bank ........................
St. Clair............................. St. Clair State Bank...............
St. Paul...............................Am erican National Bank................
Shakopee.......................... F irst N ational Bank..........................
T h ief River F alls........... Northern State B a n k ..........................
Vernon Center................. State Bank o f Vernon Center.........
W aterville.........................Security State Bank..........................
W ood Lake........................ State Bank o f W ood Lake................

western National Bank of Bloomington-Richfield is publicity chairman.
The officers were named at a recent
dinner meeting of the group at the
St. Paul Athletic Club. They will as­
sume their duties in October.
Members of the organization will-be
guests of Mrs. Louise Nisen, president
of the Biwabik State Bank of Biwabik, Minnesota, on June 24. They will
inspect the new taconite plant at Bi­
wabik.
>1= *

*

Stockholders of the Northwestern
National Bank of Minneapolis have
approved an increase in surplus of
$2,000,000 through a transfer from un­
divided profits. Capital and surplus
now total $27,000,000, having more
than doubled in the past 10 years.
The transfer raises to $2,700,000 the
legal limit of a loan by the bank to

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

any one borrower, J. F. Ringland,
president, pointed out.
*

*

*

George J. Dochniak is the new presi-

SU RPLU S
PR O FITS
$
62,000
145,000
107,000
112,133
390,240
135,538
148,000
126,700
57,000
5,707,694
212,000
64,354
135,965
183,690
102,246
125,000
71.309
653,059
221,383
101,476
71,000
66,724
126.724
17,600,000
1,894,898
3,377,768
17,014,270
166,183
185,000
25,000
111,000
647.284
133,000
3,573,346
262,667
204,497
57,500
44,066
62,996

TWIN CITI NEAVS . . .

(Turn to page 71, please)

Underwriters — Distributors — Dealers
Municipal Bonds
Corporation Bonds
Preferred Stocks
Common Stocks
Investment Trusts

Member The Midwest Stock Exchange

Kalman & Company, Inc.
McKnight Building
Minneapolis
Atlantic 5313

Endicott Building
St. Paul
Capital 4-3303
Northwestern Banker, June, 19SS

Minnesota News

70

M in n eso ta C onvention C om m ittees
ILLIAM G. KING, Grand Rapids,
president, Minnesota Bankers As­
sociation, and Wally Engstrom, vice
president, Midland National, Minne-

W

apolis, general convention chairman,
have announced the appointments of
Leonard P. Gisvold, vice president,
Northwestern National Bank; George

al Bank;
Bank.

Al Grun, First National

Ladies’ Com m ittee — Chairman,
Esther Roberts, First National Bank;
vice chairman, Genevieve Howe, Mar­
quette National Bank; Nellie F. Ben-

G E O R G E S. H E N R Y
V ic e President
F irst N ational Bank

S. Henry, vice president, First Na­
tional Bank, and Otto H. Preus, vice
president, Marquette National Bank,
all of Minneapolis, as general conven­
tion committeemen for the M.B.A.
convention.
Named to other committee posts
were the following:
Golf Committee — Chairman, L. C.
Simensen, Fidelity State Bank; vice
chairman, Silas Olson, Midland Na­
tional Bank; C. M. Jorgensen, Fourth
Northwestern National Bank; John H.
Middlemist, Northwestern N ation a l
Bank; Sam Misencik, Midland Nation-

L E O N A R D P. G IS V O L D
V ic e President
N orthwestern N ational Bank

ARIZONA’S

Fort Huachuca (Army
E le c t r o n ic P r o v in g
Ground) has budgeted
$900,000 — and is asking f o r $ 1 6 mi l l i o n
more — for permanent
construction.
Research pioneers such
LA- as Motorola, Douglas
Aircraft, AiResearch,
Hughes Aircraft, Infilco and G o o d y e a r
are already well estab­
lished here.
F o r fa c t s & f i g u r e s , w ri t e
D e velopm ent

D e p t .,

or

Midland National Bank; Alice
Farmers & Mechanics Savings
M a r y Cunningham, Lincoln
Northwestern National Bank;
Bowstead, F e d e r a l Reserve

Hotels and Utility

36 OFFICES
ß

SERVING ALL
ARIZONA
H om e Office: P H O E N IX
MEMBER FE D ER AL D E PO S IT IN S U R A N C E C O R P O R A T IO N

Committee —

Chairman, Joseph M. Downes, First
National Bank; vice chairman, C. P.
Lindholm, Northwestern N ation a l
Bank; S. R. Silverness, Marquette Na­
tional Bank; Ray A. Mikolajczyk, 13th
Avenue State Bank; Carl Weiseke,

Tu c so n .
H . O . Chapm an, P res., S. H . W itm e r,

DigitizedNorthwestern
for FRASER Banker, June, 1955
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Federal Reserve Bank of St. Louis

send,
Foss,
Bank;
office,
Doris
Bank.

* T H E W R IG H T B R O T H E R S made a
reality o f their dreams as the result
o f P L A N N E D A C T IO N , w hich re­
sulted in m an’s conquering- o f the
skies.
Y ou can soar into a profitable career today if you take “ P L A N N E D
A C T IO N ” now and contact N ational Reserve L ife— the com pany Strong as
the Strongest— Enduring as Rushm ore! Our biggest expansion program is
sw eeping forw a rd from the T erritory o f Hawaii . . . from C alifornia to
Florida— and we have excellent opportunities available fo r men ready fo r
General A g en t capacity.
W rite us today and, o f course, all inform ation w ill be considered strictly
confidential. O pportunity is knocking at your door— and your fu tu re can be
w ith N ational Reserve Life. W rite tod ay!

our Industrial

Phoenix

O T T O H. P R E U S
V ic e President
M arquette N ational Bank

%

%

.

Chm , of the Board

Na t io n a l R e s e r v e
LIFE INSURANCE COMPANY
TOPEKA • • • SIOUX FA U S _______________

^

^ t r o n g as the Strongest - Enduring as Rushmore

Minnesota News
Fifth Northwestern National Bank; R.
V. Hagen, First Hennepin State Bank.
Banquet Committee — Chairman,
Keith M. Barnett, Northwestern Na­
tional Bank; vice chairman, R. O.
Weyrauch, First National Bank; John
D. Cleary, Marquette National Bank;
W. E. Neudeck, St. Anthony office,
First National Bank; Arvid A. Lund,
First Minnehaha National Bank.

Leslie N. Perrin, chairman of the
board of the Federal Reserve Bank
of Minneapolis, has announced that
Naugle-Leck, Inc., of Minneapolis has
been awarded the general contract for
alterations to the existing structure
and construction of an additional eight
stories to the Federal Reserve Bank
of Minneapolis.
*

*

Cyril L. Lamm, assistant vice presi­

TW IN CITY NEWS . . .
(Continued from page 69)
dent of the St. Paul chapter of the
American Institute of Banking.
Other officers announced at the or­
ganization’s commencement dinner in
Hotel Saint Paul are James K. Moore,
Margaret R. Everson and Patricia
Cates, vice presidents; Hedwig Konig,
secretary, and Daniel Haslerud, treas­
urer. Miss Everson also was elected
woman’s chairman.
Board members elected are George

dent at First National Bank of Minne­
apolis, last month brought to a close
his 44-year career as a banker.
Mr. Lamm started with First Na­
tional back in 1911 as a youth. Under
the guidance of seven First National

S

e

l e

c

t

I n

s

o

r

71

presidents, he has seen the bank grow
to its present major position with
over $367 million in deposits.
*

*

*

To celebrate the completion of its
distinctive new banking home, First
Edina National Bank, West Fiftieth
Street at Halifax Avenue, Edina, held
open house early this month, accord­
ing to Eugene W. Oredson, president.
First Edina National Bank, which is
Minneapolis’ largest suburban bank
with deposits over $10,000,000, com­
pleted the move to its new home last
month. The occasion marked the sec­
ond time since the bank’s founding in
1946 that it has outgrown its quarters.

u

r a

n

c

e

Francis, Frank H. Delaney, Jr., Ray­
mond E. Meyer and Mrs, Joanne
Smith Laumeyer. They will serve

two years.
The chapter’s annual golf tourna­
ment is set for August.
*

*

*

*

Carolyn Gottneid of the Midland Na­

tional Bank of Minneapolis will be
sent to the American Institute of
Banking Convention in Miami, Flor­
ida, for attaining the highest scholas­
tic standing among graduates of the
Minneapolis A.I.B. chapter’s course.
*

*

B

a

n

k

e

r s

!

*

Four changes in the official staff of
the Camden Northwestern State Bank
of Minneapolis have been announced
by Reuben R. Nelson, president.
Robert L. Eundquist, cashier, was
made a vice president. George M.
Whitfield, Donald D. Conner and Clar­
ence W. Kunnick were elected assist­
ant cashiers.
*

f

mGOOD

HEALTH MEANS GOOD INCOME!

Our Accident and Sickness Policies
Will Pay You Additional Income
During Periods of Disability.

• READY CASH FOR HOSPITAL AND SURGERY
Bills Means Speedier Recovery!
Our Hospital and Surgery Policies Are Designed
for Individuals and Their Family Groups

*

Warren O. Knowles, lieutenant gov­

ernor of Wisconsin, has been elected
to the board of directors of the North
Central Life Insurance Company of
St. Paul. Mr. Knowles, an attorney
at New Richmond, Wisconsin, is vice
president of the State Bank of Centuria and director of the Bank of New
Richmond and the Bank of Clear
Lake, all in Wisconsin.
>H *

*

G. R. Macomber, vice president of

the Richfield State Bank, was elected
president of the Independent Commu­
nity Bankers Association of Minneap­
olis. Other new officers are Andrew
L. Eeraas, executive vice president,
Citizens State Bank, St. Louis Park,
and John S. Cadwell, vice president
and cashier, Community State Bank,
Bloomington.

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Federal Reserve Bank of St. Louis

Over 50 Years of Successful Service
to Many Bankers
Write for Application and Literature

MINNESOTA COMMERCIAL
MEN’S ASSOCIATION
PAUL CLEMENT, Secretary
2550

P IL L S B U R Y

M IN N E A P O L IS

A VEN U E

4, M IN N E S O T A

Northwestern Banker. June, 19 5 5

72

Minnesota News

Doubles Capital
The State Bank of Clarks Grove in
Clarks Grove, Minnesota, recently in­
creased its capital stock to $50,000 by
declaring a 100 per cent dividend out
of undivided profits, according to R. B.
Johnson, cashier.
The State Bank has noted a steady
increase in business during the past
year, with customers particularly ap­
preciative of the remodeling job which
has given the bank very modern quar­
ters. Completed some months ago, the
remodeling resulted in new counters
giving more room in the lobby, ex­
tensive interior decorating, a new
front on the building, and a new room
added at the back of the existing struc­
ture.

increased to $75,000. Further progress
was noted in Duluth in 1882 when the
first telephone directory was pub­
lished and contained 30 names. Busi­
ness continued to expand and by 1884
paid-up capital had grown to $200,000.
President of the bank from its incor­
poration in 1879 until 1921 was H. M.
Peyton.

Completes 75 Years

He was succeeded by W. G. Hegardt,
who started with the bank in 1890 as
a paying teller. Mr. Hegardt was pres­
ident until his death in 1926, at which
time I. S. Moore was elected president.
Mr. Moore’s service dated back to
1887. He remained as president until
1929 when the American Exchange
was merged with the First National
Bank and he then served as president
of the consolidated First and Ameri­
can National Bank until 1938.

The First and American National
Bank of Duluth recently completed 75
years of service to the Duluth area.
It was late in 1879 that leading citi­
zens of Duluth, meeting by kerosene
lamp, organized a commercial bank
chartered as the American Exchange
Bank of Duluth with capital of $25,000.
In 1880 the first two telephones were
installed in Duluth. The following
year the bank’s paid-in capital was

The next president of First and
American National was George P.
Tweed. He died April 30, 1946, at
which time he was chairman of the
board. Willis D. Wyard, who joined
the bank in 1937, was named president
in January, 1943, and continues in that
position at the present time.
The First and American National
has capital accounts of more than
$7,000,000 and deposits exceeding $80,-

000,000. The bank has a staff of 175
persons.

On Advisory Board
I.
C. Rasmussen, Minnesota state
banking commissioner, last month
named George Buscher president of
the Alexandria State Bank, a member
of his nine-man advisory committee.

Lyons County Election
A. E. Persons, president of the West­
ern State Bank of Marshall, was elect­
ed president for the coming year at
the annual election of officers for the
Lyon County Bankers Association
held at the First National Bank in
Marshall, Minnesota.
Other officers elected were: Vice
president, Lewis H. Gregg, cashier,
Farmers State Bank of Russell; secre­
tary-treasurer, Emil Slavick, cashier,
Empire State Bank of Cottonwood.

Named Assistant Cashier
Election of John M. McGinley as as­
sistant cashier of the Union State
Bank in Thief River Falls, Minnesota,
is announced by E. O. Peterson, presi­
dent.

CARL L. FREDRICKSEN
President
CLIFFORD L. A D A M S
Vice President

How Come One of the Nation's Leading

W ILLIAM C. SCHENK
Vice President

Livestock Markets Is Located in Sioux City?

STANLEY W . EVANS
Vice President

Nowhere in America is there a more interesting and
unusual market location than the Sioux City market place,
serving four states— Iowa, Nebraska, South Dakota and
Minnesota.

JOHN

S. HAVER
Cashier
JAMES L. SMITH
Asst. Cashier an d Auditor
KINLEY W . SMITH
Asst. Cashier
BEN E. HOLTDORF
A sst. Cashier
R A W S A . JENSEN
Asst. Cashier
R. K. DRAPER
Representative
M A X TOWNE
Representative

Digitized Northwestern
for FRASER Banker, June, 1955
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Federal Reserve Bank of St. Louis

MEMBER

Sioux City's market grew because people knew that
something good had grown up there. A certain w ay of
doing business that was good. And, that is true of the
Live Stock National as well. Now in its 60th year, our
bank has gained a reputation for excellence with its cus­
tomers of many years standing.

FEDERAL

DEPOSIT

INSURANCE

CORPORATION

73

.B

Curtis
Sou ih

MateH eads

B a k ota Ban k ers

Carl Bahmeier Praised for
Executive Secretary W ork
By MALCOLM FREELAND
Associate Publisher
The Northwestern Banker

URTIS B. MATEER, cashier,
Pierre National Bank, Pierre,
was elected president of the
South Dakota Bankers Association at
the group’s annual convention held in
Aberdeen last month. He succeeds
Walter Johnson, vice president and
cashier, Farmers State Bank, Estelline.
Named to assist Mr. Mateer in the
role of vice president was W. Paul
Jones, president, Citizens Bank of Mobridge.
At the A.B.A. meeting, held in con­
junction with the convention, Art
Dahl, president, Rapid City National
Bank, Rapid City, was named a mem­
ber of the executive council; Carroll
Lockhart, president of the First Citi­
zens National Bank, Watertown, was
selected as a member of the A.B.A.
nominating committee, and Clarence
Harrington, president of the Dakota
State Bank, Colman, was named al­
ternate of the A.B.A. nominating com­
mittee.

C

Over 500 bankers, their wives and
guests gathered for the two-day meet­
ing, enjoying the true western hos­
pitality arranged by Chet Lind, presi­
dent of the First National Bank, Aber­
deen, and I. H. Ickler, president of
the Aberdeen National Bank.
Six bankers became eligible for the
40-year club and received award pins.
They were: Tom S. Harkison, presi­
dent, National Bank of South Dakota,
Sioux Falls; M. J. McGillivray, execu­
tive vice president, Citizens State
Bank, Clark; Julius Bertsch, cashier,
Fulton State Bank, Fulton; V. L.
Ferguson, former manager Midland
branch, Okaton State Bank, Okaton,
and O. R. Skola, cashier, First State
Bank, Eden.
High praise was given to Carl Bah­
meier, executive secretary, by officers
and members of the association. L. L.
Lillibridge, president, Burke State
Bank, Burke, and chairman of the res­
olutions committee, stated, “We ex­
tend our sincere appreciation to Carl

PICTURED above are some o f the registrants at the South
Dakota Convention. Reading from left to right are:

NEW OFFICERS— Elected at the South
Dakota Convention are: president, Curtis
B. Mateer, cashier, Pierre National Bank,
left, and vice president, W. P. Jones, pres­
ident, Citizens Bank of Mobridge.

Bahmeier for his aggressive attitude,
and especially commend his public re­
lations activity and his work in accom­
plishing programs for our associa­
tion.”
Walter Johnson of Estelline also
mentioned the fine work being done
by Mr. Bahmeier in his presidential
report, calling attention to the fact
that the executive secretary had made
74 speeches throughout the state in
the past year, appearing before service
clubs, farmers’ groups and veterans’
organizations.
Mr. Johnson emphasized the asso­
ciation’s activities and plans carried
out during his term as president, com­
menting on the following: the clistri-

spoke on “ Your Personnel and Customers,” using cartoons like
the one shown.
Third from left— C. O. Peterson, cashier, Bank of Lemmon;
John Cleary, assistant cashier, Marquette National Bank, M in­
neapolis, and Dr. F. C. Totten, vice president, Bank of Lemmon.
Right- Joe Koch, vice president. First National Bank, Aber­
deen, and A1 Johnson, president, First State Bank, Roscoe. Mr.
Koch was registration chairman.

L e ft— John Connors, vice president, Security-First National
Bank, Los Angeles, and Mrs. Tony Westra, Sioux Falls.
Second from left— Don Delano, assistant vice president, Cen­
tral Bank & Trust Company, Denver, and Byron Lopp, director
o f personnel, Central Bank & Trust Company, Denver. Mr. Lopp

THE NATIONAL BANK
Huron

Sioux Falls

Member of Federal Deposit Insurance Corporation


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Federal Reserve Bank of St. Louis

South Sioux Falls

Vermillion

Affiliated with F IR ST B A N K STOCK CORPORATION
Northwest ern Banker, June, 19 5 5

74

OVER 400 BANKERS and their wives registered for the annual
convention of the South Dakota Bankers Association in Aber­
deen last month. Pictured from left to right are some of those
attending the meeting:
1—
Joe Wolf, president, Campbell County Bank, Herreid;
Conrad Mogen, cashier, State Bank of W aubay; Arthur Haerter,
president, Farmers State Bank, Hosmer, and Harry Gross, presi­
dent, Bowdle State Bank.
2—
T. L. Seppala, president, Southern Hills Bank, Edgemont;
Carl Bloom, assistant cashier, First National Bank, Omaha;
C. W. Lyon, vice president, First National Bank, Omaha; Paul
Keller, representative, First National Bank, Omaha, and Walter
Burke, president, Pierre National Bank.
3—
Mark Atwood, cashier, Bank of Wessington, and George
Henry, vice president, First National Bank, Minneapolis.
4—
Larry Broom, vice president, Northwestern National Bank,
Minneapolis, and Chet Lind, president, First National Bank,

bution of the book “Your Bank”
among over 84 per cent of the high
schools in South Dakota; the special
work being done by Chet Lind and
Curt Price in the American Institute
of Banking; the use of films by banks
in telling the story of banking to
service clubs and community organi­
zations; the value of the Junior Em­
ployees’ school at the University of
South Dakota; participation by mem­
ber banks in 4-H and soil conservation
work; the value in participating in the
NAB AC program; the progress being
made by the insurance and pension
plans adopted by the association; the
cooperation received by members in
and out of the legislature on bills fa­
Northwestern Banker, June, 1955


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Federal Reserve Bank of St. Louis

Aberdeen. Mr. Lind was co-chairman o f general arrangements.
5—
W. H. Frei, president, Commercial State Bank, W agner;
Vic vonMeding, assistant vice president, First National Bank,
Chicago; Andy Nielo, representative, First National Bank, Chi­
cago (seated), and Conrad Aronsen, assistant cashier, Toy Na­
tional Bank, Sioux City.
6—
Carl Bahmeier, secretary, South Dakota Bankers Associ­
ation, and R. P. Peterson, vice president, First National Bank
o f the Black Hills, Rapid City. Mr. Peterson headed the nomi­
nating committee.
7—
Oscar Burke, president, Exchange Bank of Lennox, and
Wade Martin, vice president, Omaha National Bank, Omaha.
8—
Don Buckman, assistant vice president, First National
Bank, St. Paul, and Howard H. Peters, president, Bank of
Alpena.
9—
F. W. Hatterscheidt, president, and G. L. Hill, executive
vice president, Farmers and Merchants Bank, recently opened
in Aberdeen.

vorable to banking; the assistance
given the savings bond program by
member banks, and the working out
of a new system of dues so as to ac­
cumulate a reserve for the association.
The business sessions were high­
lighted by speeches from Calvin How­
ard, F.B.I. agent from Minneapolis;
Dr. Donald Manashaw, management
consultant from Los Angeles; Byron
Lopp, director of personnel, Central
Bank and Trust Company, Denver;
Barbara Rollins, national oratorical
champion from Dakota Wesleyan Uni­
versity, Mitchell, and Dr. David Guy
Powers, Columbia University, New
York.
Members of the convention crowded

the Aberdeen Civic Arena for the
annual banquet and stage review.
They were guests of the Aberdeen
banks at a social hour, smorgasbord
and dance on the previous evening.—
End.

Claremont Remodeling
A complete remodeling job is being
done at the First State Bank at Clare­
mont, South Dakota. The interior is
being enlarged and new furniture and
fixtures will be installed. The project
calls for new glass block windows and
a stone covering for the exterior.

MOKE SOUTH D AK O TA
NEWS ON PAGE 91

South Dakota News
Offers $ 1 ,0 0 0 Award
A trust fund which will pay $1,000
annually for music scholarships at the
University of South Dakota has been
established by Charles E. Barkl, chair­
man of the board
of directors and
form er president
of the Farmers
and M erch an ts
B a n k of Huron,
South Dakota. Dr.
Warren M. Lee,
dean of the col­
lege of fine arts
at the University,
---------- ------------- hails the scholar­
ships as a great
and direct service to present and fu­
ture students of music at the Univer­
sity.

Tom Garry, a member of the Brook­
ings staff of the Northwest Security
National Bank.
*

*

*

W. C. Duffy, president of the Union

Savings Bank, attended a national con­
vention of the Chamber of Commerce
in Washington last month, as coun­
cilor from the Sioux Falls Chamber
of Commerce, of which he is vice
president.
*

*

*

M. J. Colton, vice president of the

National Bank of South Dakota, made
a tour of inspection of the RalstonPurina plant in St. Louis during May.

75

Local bank clearings rose from $27,477,089 in April, 1954, to $33,366,872 in
April of this year. The increase
amounted to 21 per cent. Clearings up
to May 1 of this year topped by $11,000,000 those recorded for the first
four months of 1954.
*

*

*

Tom S. Harkison, president of the

National Bank of South Dakota, was
elected to a three-year term as direc­
tor of the Sioux Valley Hospital Asso­
ciation. He is among five new mem­
bers of the board of trustees elected
at the annual meeting of the associa­
tion.—End.

The annual awards will be known
as the Ronald Oakley Barkl Memorial
Scholarships in memory of Mr. Barkl’s
son who died February 28, 1926, while
a student of music at the University.
Recipients of the awards will be
known as Ronald Oakley Barkl Schol­
ars.
Charles Barkl was a University stu­
dent in 1893 and 1894.
The trust, which names the Security
National Bank of Sioux City as trustee
of the funds, provides that scholar­
ships shall be awarded to talented and
deserving students, of good character,
in any of the branches of the depart­
ment of music at the discretion of the
University scholarship committee.

S io u x F a lls N e w s

W

ILLIAM B. ORTMAN, former as­

sistant cashier of the Northwest
Security National Bank, has been
elected assistant manager of the bank’s
Madison branch.
He has assumed
1 his new duties as
-j m an ager of the
' newly created inI stallment loan de> partment.
i
A native of MarI ion, South Dako1 ta, Mr. Ortman is
a graduate of the
U n i v e r s i t y of
SOUth

w . B. O R T M A N

D a k O t a,

where he received degrees in business
administration and law. During World
War II he served with the Army Engi­
neers in the United States and in the
south Pacific.
*

*

*

A team from South Dakota State
College placed first in a dairy judging
contest sponsored by Hoard’s Dairy­
man. One of the team members was

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Federal Reserve Bank of St. Louis

NORTHWEST SECURITY
NATIONAL BANK
of

S io u x

F a ils ,

S o u th

D a k o ta

South Dakota’s Leading Bank
BRANCHES AT

B R O O K IN G S , C H A M B E R L A IN , DELL R A P ID S
G R E G O R Y , H U R O N , M A D IS O N
Affiliated with Northwest Bancorporation
Member of Federal Deposit Insurance Corporation

Northwestern Banker, June, 1955

76

T HIS T O O IS

Meet D. Clayton Arnold,
Vice President, National
Bank of Tulsa, and manager
of its Oil Department.
Banks, as well as oil men, rely
on “The Oil Bank of
America” when their cus­
tomers require this special­
ized service. The experience, ability and know­
how of N. B. T.’s Oil Department, certainly
a part of the ‘answer’, is available to your
bank . . . whenever needed.
If your bank is located in or near ‘oil country’
and if you are limited in anyway in meeting
the needs of your customers in the petroleum
field, you are invited to look to National
Bank of Tulsa’s Oil Department for prompt
cooperation and assistance.

Oil production loans offer sound financing
opportunities to banks who understand the
many ramifications of the industry itself. Petro­
leum’s stature and stability which is linked so
closely with world economy has ‘arrived’, and
National Bank of Tulsa is proud to be so closely
associated with it.

F w t

B e it e / iC w

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N a t i o n a l

Nort
hwest ern Banker, June, J955

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

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77

Lee JM.
Stenehjem
N orth Mtahota Ranhei*s A ssociation
Group Selects Willistoii as Site
For the 1 9 5 6 NDBA Convention
By W ALTER T. PROCTOR
Associate Editor
The Northwestern Banker

MUCH-NEEDED rain did not
dampen the spirits of even the
convention committeemen at
North Dakota Bankers Association
convention in Fargo last month, and
practically all of the more than 450
registrants—new attendance r e c o r d commented on the “wonderful rain'’
as they donned their raincoats to head
for convention meetings.

A

New Officers

Lee M. Stenehjem, vice president,
First International Bank, Watford
City, was named new president of the
North Dakota Bankers’ Association;
A. O. McLellan, president, Merchants
National Bank and Trust Company,
Fargo, was named vice president; and
A. M. Eriksmoen, cashier, Dakota Na­
tional Bank, Fargo, treasurer. C. C.
Wattam will remain the group’s' secre­
tary.
Mr. Stenehjem also was named dele­
gate to the ABA convention to be held
later this year in Chicago. Alternate
is Mr. Wattam, NDBA secretary.
At the first business meeting, M.
Agnes Newman, assistant cashier, Da­
kota National Bank, Fargo, and asso­
ciate councilman for North Dakota,
announced plans to entertain the re­
gional conference, District 10, Ameri­
can Institute of Banking, in Fargo, in
1956.
Treasury Department Aims

Elmer Rusted, United States Treas­
ury Department, Washington, D. C.,
thanked North Dakota bankers for

their outstanding work in savings
bonds sales, and told the treasury de­
partment’s three main aims: (1) a
balanced budget, (2) a free federal re­
serve system, and (3) proper manageOne of the highlights of the conven­
tion was the interest generated by the
livestock credit panel. D. E. Crouley,
vice president, Nothwestern National
Bank, Minneapolis, was moderator, and
panel members were: Tony Westra,
vice president, Northwest Security Na­
tional Bank, and A.B.A. livestock com­
mitteeman for past two years, Sioux
Falls, South Dakota; Yerlin K. John­
son, assistant professor, North Dakota
Agricultural College, Fargo; Joe Milton, North Dakota Livestock Breeders
Association, McLeod; and A. B. Moyer,
partner, Balthauser and Moyer, deal­
ers in buying and selling of sheep,
Fargo.
“Plug Livestock Industry”

Types of feed and feeding programs,
trends in the nation’s eating habits,
California’s entry into midwest cattle
sales competition, change from big
sheep operations to the raising of sheep
on regular farms, and the return on
every $100 spent for feed for different
kinds of stock, were a few of the sub­
jects tackled by panel members. They
agreed that “bankers should take more
interest in the livestock industry and
plug it more and more in this area.”
Earl A. Weydahl, state vice presi­
dent, A.B.A., announced that every
bank in North Dakota is now a mem-

NEWLY-ELECTED PRESIDENT Lee M.
Stenehjem, right, receives a warm hand­
shake and congratulations from outgoing
president, C. O. Thompson. Mr. Stenehjem
is vice president, First International Bank,
W atford City; Mr. Thompson is cashier,
First Security Bank, Underwood.

ber of the American Bankers Asso­
ciation.
Fred Florence Spoke

Fred A. Florence, president, Repub­
lic National Bank, Dallas, Texas, and
vice president, American Bankers As­
sociation, addressed a record audience,
telling them of the following points
which he believes are responsible for
“the truly remarkable business recov­
ery that has been in progress since
last summer” :
1. The resourcefulness of business
and industry.
2. The wholesome attitude of confi­
dence of our people who are the
customers.
3. A policy of government that is
motivated by a desire to stimulate,
rather than stifle, enterprise and
the functioning of responsive mar­
kets.

LEFT— The Honorable Walter H. Judd, congressman from Minnesota, and Mr. and Mrs. Fred A. Florence. RIGHT— L eft to right:
Moderator D. E. Crouley, vice president, Northwestern National Bank,
Minneapolis; Tony Westra, vice president, Northwest Security Na­
tion Bank, Sioux Falls, South Dakota; Verlin K. Johnson, assistant
professor, North Dakota Agricultural College, Fargo; Joe Milton,
North Dakota Livestock Breeders Association, M cLeod; and A. B.
Moyer, partner, Balthauser and Moyer, Fargo.


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Federal Reserve Bank of St. Louis

Northwestern Banker, June, 1955

TOP LEFT— L eft to right: Dave Grimes, Republic National
Bank, Dallas, Texas; Harold T. Uehling, T.O., The First Na­
tional Bank and Trust Company, Fargo; and Darrell H. Hamric,
vice president, Bepublic National Bank, Dallas, Texas. TOP
CENTER— L eft to right: F. H. Hemming, Canadian Bank of
Commerce, Winnipeg, Manitoba, Canada; Otto H. Preus, vice
president, Marquette National Bank, Minneapolis; C. E. Fodness and John Hjellum, president and vice president, respective­
ly, o f the Farmers and Merchants Bank, Wimbledon, North Da­
kota; and C. E. Langston, Canadian Bank of Commerce. TOP
RIGHT— L eft to right: C. P. Austinson, cashier, Northwood
State Bank, Northwood, North D akota; M. G. Pederson, First
State Bank, Hope, North Dakota; Walter L. Fredrickson, vice
president, First and American National Bank, Duluth, Minne­
sota; and A. O. Barstad, president, First State Bank, Harvey,
North Dakota. BOTTOM LEFT— L eft to right: Charles A.

“At the root of this,” Mr. Florence
continued, “is the courage and opti­
mism of the people of our nation.” He
said also that “it is my belief that a
substantial measure of credit belongs
to our government leadership for the
good business situation.”
Discussed Ag Credit

Leonard Simmer, president, Chillicothe State Bank, Chillicothe, Missouri,
told how he worked to get a new
amendment to the old water facilities
act so needy farmers in his area could
get more loans for their farms. He
said “the bottlenecks of ag credit have
all been removed except one . . . to
get the farmer to want to do it” He
said, “Let them know you want to
help them, and they’ll come to you.”
Many letters and telegrams inviting

the bankers to have next year’s con­
vention in other cities in North Da­
kota were supplemented by invitations
from the floor. Impressive was the
invitation by W. S. Davidson, Jr., vice
president, American State Bank, Williston, whose invitation was accepted
by written ballot.
Ladies’ Program

Ladies at the convention were en­
tertained at a dinner and style show
at the Gardner Hotel, and a luncheon
at the country club. Several of the
dresses worn by models at the style
show were won by ladies at the con­
vention.
New SDBA vice president, A. O. McLellan, was toastmaster at the annual
banquet, and introduced the Honor­
able Walter H. Judd, who delivered an

LEFT— L. P. Gisvold, vice president, Northwestern National
Bank, Minneapolis, center, is flanked on the left by H. C. Bow­
ers, manager, Bank of North Dakota, Bismarck, and on the right
by L. A. Sayer, Jr., vice president, Citizens State Bank, Finley,
North Dakota. CENTER— L eft to right: Ladies activities com­
mittee—Mrs. Earl L. Shaw, w ife o f president, Fargo National
Bank, Fargo; Mrs. O. J. Boyle, w ife o f vice president, Dakota

(Northwestern
Banker, June, 1955

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Federal Reserve Bank of St. Louis

Dawson, Dawson Insurance Agency, Fargo, host to bankers at
“ fish food party” ; J. R. Egeberg and H. L. Johnson, assistant
cashiers, Dakota National Bank, Fargo. BOTTOM CENTER—
Paul Pederson, assistant cashier, First State Bank, Hope; Leon
A. Sayer, Jr., vice president, Citizens State Bank, Finley; and
S. D. Jacobson, vice president and cashier, First State Bank,
Sharon, representing the three banks in Steele County, North
Dakota. BOTTOM RIGHT— Standing, left to right: Elmer
Rustad, United States Treasury Department, Washington, D. C.;
Verne Wells, president, Security State Bank, Robinson, North
Dakota; Jim Murray, Burroughs Corporation, Grand Forks,
North D akota; Alden K. Small and Carl Haugen, both of Chase
Manhattan Bank, New York City; J. H. Claypool, assistant vice
president, City National Bank, Duluth, Minnesota; and John R.
Windsor, manager, Harris Upham Company, Minneapolis. The
accompanist: Lenore Henley.

interesting talk on the Formosa ques­
tion.
The convention came to a close after
a dance in the Red River Room of the
Elks club.—End.

Tackle Estate Problem
For the 20th consecutive year, the
Merchants National Bank and Trust
Company of Fargo recently submitted
an estate planning problem to Dean
O. H. Thormsodgard, who presented it
to students in classes of wills and
trusts at the law school, University of
North Dakota.
Judges selected George T. Dynes
first place winner, Lowell W. Lundberg second place winner and Leslie
A. Kast third place winner.
Checks were awarded the winners

National Bank, Fargo; Mrs. A. O. McLellan, w ife o f president,
Merchants National Bank and Trust Company, Fargo; Mrs. W.
F. Graves, w ife of president, The First National Bank and Trust
Company, Fargo, and committee chairman; and M. Agnes New­
man, assistant cashier, Dakota National Bank, Fargo, and speak­
er at first session o f the convention. RIGHT— Fred A. Florence,
president, Republic National Bank, Dallas, Texas.

79

by A. 0. McLellan, president, Mer­
chants National Bank and Trust Com­
pany, at a luncheon—part of the State
Sales Congress, Life and Accident and
Health Underwriters of North Dakota.
After the luncheon an estate planning
panel, composed by T. L. Degan, at­
torney; Jerome E. Daily, C.P.A.; F. E.
Henderson, A.T.O., Merchants Nation­
al; John P. Crary, C.L.U., and John
A. Staples, attorney and C.P.A., dis­
cussed the problem which had been
presented to the students.

C on stru ction C utler W ut/ on Hunk

Heads Ag Committee
Oscar Lee, bank representative of
the First National Bank in Williston,
North Dakota, has been named chair­
man of the agricultural committee of
the Williston Chamber of Commerce
by President LeRoy Jorgenson.

Elected to Membership
Miss Hazel Johnson, cashier of The
Grafton National Bank, has recently
been elected to membership in the
National Association of Bank Women.
The National Association of Bank
Women is comprised of more than
2,000 women holding executive posi­
tions in national, state, and savings
banks and trust companies through­
out the nation.

A .I.B . Banquet
The Greater Grand Forks Chapter
of the American Institute of Banking,
Grand Forks, North Dakota, held its
annual banquet recently in the Rivi­
era dining room, of what?
New offi­
cers and a board of directors were
elected.
Representatives of the three Great
Falls banks attended the session, and
representatives came from the Gilby
State Bank, the Walsh County State
Bank at Grafton and the Grafton Na­
tional Bank and the Northwestern
State Bank at Hillsboro.

To Wallialla Bank
Harold Fode, a native of Jud, North
Dakota, started his new duties at the
Walhalla State Bank, Walhalla, re­
cently.
Mr. Fode is new to banking circles
in the state, having just recently grad­
uated from Dakota Business College
in Fargo.

fox’ the American State Bank, Williston, North Dakota, as reported in the May issue of
N

o r t h w e s t e r n

B

a n k e r

.

Laying of bricks has been started on
the new addition to the rear of the
Dakota National Bank, in Bismarck,
North Dakota, which will increase the
bank’s space 150 per cent, according
to A. A. Mayer, president.
Workmen will be ready to remodel
the front of the bank and put the fin­
ishing touches on a new interior by
early summer, Mr. Mayer said.

A. Sprinkle, assistant vice president;
J. S. Westlake, cashier, and M. J. Law­
rence, assistant cashier.
The board of directors is made up
of R. D. Becker, A. M. Christensen,
J. N. Ellison, Mr. Grant, I. E. Orheim,
Mr. Zehringer and Mr. Mousseau.
The Union National Bank is affili­
ated with First Bank Stock Corpora­
tion, which has banking affiliates in
North Dakota, South Dakota, Minne­
sota and Montana.

5 0 Years in Minot

Enderlin Cashier Retires

Unveiling of three quaint photomur­
als depicting the area served by The
Union National Bank, Minot, North
Dakota, highlighted that bank’s golden
anniversary celebration, which was
held one full week last month.
The photomurals which hang on the
north wall of the main banking room
were unveiled the first day of the cele­
bration. Colorful scenes of grain and
cattle and an aerial photograph of
Minot make up the panel.
Officers of the bank are: Harry M.
Grant, president; C. H. Zehringer and
R. M. Mousseau, vice presidents; W.

Albert F. Fir, cashier, Peoples and
Enderlin State Bank, Enderlin, North
Dakota, has retired after more than
39 years in the banking profession.
In May, 1944, he joined the staff of
the Peoples & Enderlin bank and has
been cashier about five years.

Bigger Bismarck Bank

Vice President and Cashier
Charles F. Anderson, formerly vice
president, First National Bank in Mi­
not, North Dakota, has been appointed
vice president and cashier. This
change is a result of the recent death
of Cashier Geary H. Wagner.

CANADA’S
FIRST
BANK

On Williston Staff
Orin Baertsch of Bismarck, North
Dakota, has been assigned to the loan
department of the American State
Bank of Williston, according to W. S.
Davidson, Sr., president.
Mr. Baertsch has been a member of
the state examiners’ staff at Bismarck
since 1934. He also had charge of ex­
amining the Bank of North Dakota.

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Federal Reserve Bank of St. Louis

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Federal Reserve Bank of St. Louis

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81

M ontana

Ha a h
o
r
sb ívvt »Mano

Thursday, June 16

Registration—Canyon Hotel, Yellowstone National
Park.
P.M.
5:45

Social Hour—Compliments of the Midland Nation­
al Bank, Billings; Metals Bank and Trust Com­
pany, Butte; First National Bank, Great Falls, and
the First National Bank and Trust Company,
Helena.
Dinner.
After-dinner Meeting of 25 Year Club—"Problems
of a Country Banker,” W. W. Hawkins, president,
First National Bank, Dillon.
Dancing.

7:00

9:00

6:00
7:00
9:00

Saturday, June 18

A. M.
10:00

Friday, June 17

Meeting of Montana Members of A.B.A.—G. P.
Drowley, president, First National Bank, Glen­
dive, and A.B.A. vice president for Montana, pre­
siding.
Address — J. H. Gormley, vice president, Seattle
First National Bank, Seattle, Washington.
Social Hour—Compliments, Union Bank and Trust
Company, Helena.
Family dinner.
Entertainment—Billings Jam Band.
Refreshments Thursday and Friday evenings will
be provided by associate members.

A. M.
Call to Order.
President’s Address—L. A. Christensen, president,
Bank of Glacier County, Cut Bank.
Address — Phillip L. West, vice president, New
York Stock Exchange
Movie—"Power Frontier,” produced by MorrisonKnudsen Company, Boise, Idaho.
Noon Luncheon.
P. M.
2:00 Call to Order.
Address—E. M. Adams, rancher, Melville, Montana.
10:00

Call to Order.
Address—Morris S. Rosenblatt, president and gen­
eral manager, Structural Steel Forge Company,
Salt Lake City.
Report of resolutitons committee.
Address—Ernest T. Baughman, assistant vice pres­
ident, Federal Reserve Bank, Chicago.
Report of nominating committee.
Election and installation of officers.
New and unfinished business.
Adjournment.
Executive council meets immediately after ad­
journment of this session.

The following were elected officers
of Group 7 of the Montana Bankers
Association at the annual group meet­
ing in Bozeman:
President, John E. Tenge, president
of Midland National Bank in Billings;
vice president, M. A. Davis, vice presi­
dent of the National Bank of Living­
ston, and secretary-treasurer, R. F.
Stevens, vice president of the Yellow­
stone Bank in Laurel.

Bank of Hinsdale, was chosen secre­
tary-treasurer. Mr. Kloster succeeds
P. T. Holm, cashier of the First Na­
tional Bank of Reserve.
J. C. Baker, vice president of the
First National Bank of Glasgow, was
elected for a three-year term to the
executive council of the Montana
Bankers Association, representing the
group. He succeeds C. H. Brocksmith,
executive vice president of the Farmers-Stockgrowers Bank of Glasgow.

Let Building Contracts

A.I.B . Election

The First National Bank in Havre,
Montana, has awarded contracts for
the construction of its new building,
according to R. M. Lockwood, presi­
dent.
The general contract was awarded
to Chris Fuglevand & Son of Havre
and other contracts went to Havre
firms. The architect for the building
is Thomas H. Tudor of Minneapolis
and the work is being supervised by
E. A. Tyler, a bank building specialist.

Elmer Wuest of the loan depart­
ment of the Security Trust & Savings
Bank in Billings, Montana, is the new
president of Yellowstone Chapter,
American Institute of Banking.
Others named include A. J. Krings,
assistant cashier at the Billings State
Bank, vice president, and Arlene
Lantz, Security Trust & Savings Bank,
secretary-treasurer.
Members of the board of governors
are W. H. Hancock, assistant cashier
of the Billings State Bank; Daniel J.
O’Donnell, assistant cashier, Security
Trust & Savings Bank; A1 Rhodes,
Midland National Bank; Ray Wise, Jr.,
assistant cashier, First National Bank,
and Walter Reiter, assistant vice presipresident of the Yellowstone Bank at
Laurel.

Group 7 Election

fj

3-

i -

Group 4 Election
More than 100 northeastern Mon­
tana and other bankers were regis­
tered for the annual convention of
Group 4 of the Montana Bankers in
Glasgow.
M. R. Kloster, executive vice presi­
dent of the Citizens State Bank of
Scobey, was elected president. C. R.
Tvedt, vice president of the FarmersStockgrowers Bank of Glasgow, was
named vice president, and R. E. Hill­
man, Jr., cashier of the First National

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Federal Reserve Bank of St. Louis

In Temporary Office
L. F. Curry, president of the First
Westside National Bank in Great
Falls, Montana, announces that tempo­
rary quarters have been opened for

the new bank with J. W. Connelly,
vice president and cashier, serving as
managing officer.

Marion R. Emswiler
Marion R. Emswiler, 26, a director
and assistant cashier of the First Na­
tional Bank of Ekalaka, Montana, was
injured fatally in a highway crash.
A companion, Paul Robey, Ekalaka,
suffered cuts and bruises.
The banker was the third brother to
be killed. His two brothers were cas­
ualties of World War II.

Moving to Livingston
Claude R. Erickson has been elected
president and director of the Living­
ston State Bank of Livingston, Mon­
tana, succeeding John O’Rurke, who
has resigned because of ill health.
Mr. Erickson, a resident of Havre
the past nine years, has been vice pres­
ident and director of the Citizens
Bank of Montana in Havre. O. R.
Rubie, president of the Citizens Bank
of Montana, said that Mr. Erickson
will continue as an inactive vice presi­
dent of the Citizens Bank and also as
a member of its board of directors.

Glasgow Remodeling
The First National Bank of Glas­
gow, Montana, is in the midst of a
major alteration program. An addi­
tional area to the west of the bank’s
present quarters is being incorporated
in the new scheme and will provide
an agricultural representative’s de­
partment, as well as a large posting
room, a new lounge and coat rooms.
Northwestern Banker. June, 1955

82
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Northwestern Banker, June, 1955


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Federal Reserve Bank of St. Louis

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N eb rask a

NEW S
J. V. JOHNSON
President
Tecumseh

York Open House
The First National Bank and Trust
Company, York, Nebraska, held the
formal opening of their new banking
quarters last month, according to a
report from J. R. McCloud, president.
The new, ultra-modern building has
more than doubled the firm’s space.
Genuine granite and Bedford stone
beautify its exterior, with a graceful
mixture of prima vera and birch
woods, tile flooring and recessed light­
ing to enhance its interior.
Shades of rose and green are carried
through the two story banking quar­
ters which now contain six expansive
vaults, a private conference room for
officers and customers, and a com­
pletely equipped modern kitchen for
the use of its employees.
Blonde prima vera dominates the
construction of fixtures, furniture and
wainscoting in the completely air con­
ditioned structure. Separating the of­
ficers’ quarters from the lobby and
the personal loan department from
the corridor are elegant railings of
aluminum and copper.
Black formica counter tops form a
pleasant contrast to the light wood of
the tellers’ cages, behind which each
employee now operates his own lock
cabinet to further protect customers.
Adding to the customer’s conve­
nience are three private rooms and a
larger family consultation room where
safety boxes may be opened in strict
privacy. Customers’ check desks are
also of the latest type, featuring wall
repositories for waste paper and an
inward slant to the desk’s under-struc­
ture for comfortable standing.
The bookkeeping department, for­
merly relegated to basement quarters,
now occupies the larger part of the
second floor where four bookkeeping
machines, an interior proof machine,
automatic endorser and microfilming
machine are aligned with careful con­
sideration for top efficiency. A fire­
proof vault has also been constructed
adjacent to this department for the
protection of records and supplies.

HARRIS V. OSTERBERG
Secretary
Omaha

Commerce and the First National
Bank. Byron Lopp, nationally recog­
nized public relations specialist for
the Central Bank and Trust Company,
Denver, appeared on the program.

Coleridge Open House
James Gray, president of the Cole­
ridge National Bank, reports that
about 800 persons visited the new
bank building in Coleridge, Nebraska,
during the grand opening held re­
cently.
The grand opening was held be­
tween the hours of 10 a. m. and 4 p. m.
during which time free coffee and
doughnuts were served.

Mrs. C. C. Neumann
Mrs. C. C. Neumann, wife of the
president of the Farmers and Mer­
chants National Bank, Oakland, Ne­
braska, died of a heart condition at
her home in Oakland last month. She
was 68 years of age and had been in
failing health for a number of years.

New Bank Examiner
Walter W. Braun will begin work as
an assistant national bank examiner
on June 13, for the Kansas City office.

C om plete

Mr. Braun was formerly employed
with the Beatrice National Bank, Bea­
trice, Nebraska.

Broken Bow Plans
T.
T. Varney, Jr., president of the
Broken Bow State Bank, Broken Bow,
Nebraska, is general chairman of the
75th Diamond Jubilee to be held in
his city on July 1 to 4.
One of the highlights of the celebra­
tion will be a pageant entitled “From
Prairie Sod.” The pageant will have
a cast of several hundred.

Elected at Kearney
Wayne R. McKinney, assistant cash­
ier of the Platte Valley State Bank,
Kearney, Nebraska, was recently elect­
ed president of the reorganized central
Nebraska conference of the National
Association of Bank Auditors and
Comptrollers.

Honor Otto Paege
Otto Paege, cashier, Citizens Nation­
al Bank, Wisner, Nebraska, was hon­
ored at a special dinner recently in
celebration of his 50 years in banking.

Heads Clearwater Bank
John Thiele, Sr., was named presi­
dent of the Citizens State Bank, Clear­
water, Nebraska, recently. He suc­
ceeds the late Dr. J. W. Bennie. Mr.
Thiele has been a director of the bank
for a number of years.

J. W . Anderson
J. W. Anderson, vice president and
director of the First National Bank,
Stromsburg, Nebraska, died recently.
He was active in community affairs
and a former mayor of Stromsburg.

in
e
lh
Hlem oilelin if

Ogallala Clinic
A one-day sales and human rela­
tions clinic was held last month in
Ogallala, Nebraska, with the event be­
ing co-sponsored by the Chamber of

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Federal Reserve Bank of St. Louis

NEW QUARTERS— G. E. Barks, president, First National Bank, Belden, Nebraska, is
shown in the inset as he works at his desk. The picture also shows the interior design
incorporated in the counters during the recent remodeling.
Northwestern Banker. June, 1955

84
lations. The Omaha National Bank
is registrar for the company’s pre­
ferred and common stock.
Mr. Millard had been on the board.
After 48 years of service, Max H.
Vance, vice president of the Stock
Yards National Bank, has decided it’s
time to go fishing.

e . t u r l e y is the new
president of the Omaha Chapter
of the American Institute of Banking.
Mr. Turley, assistant auditor of
the Omaha Nam v
|ji
tional Bank, suc■
ceeds H e r b e r t.
eorge

G

, a.

Vs

Starken.

Other new offi­
cers are: Robert
Wirtz, vice presi­
dent; John Carlso n , se cre ta ry ,
and Jack Conley,
G. E. T U R L E Y
treasurer.
New board members are Jerry Ratton and Messrs. Carlson and Conley.
Outstanding loans of the Federal
Land Bank of Omaha have climbed
more than four million dollars from
a year ago, V. A. Viergutz, president,
said last month.
He told a committee of National
Farm Loan Association secretarytreasurers the balance April 30 was
$210,949,000. A year earlier it was
$206,374,000.
The committee represents 167 asso­
ciations in Iowa, Nebraska, South Da­
kota and Wyoming.
*

*

*

Hiorace P. Bromfield, who was a vice

president of Securities Acceptance
Corporation, has returned to New
York City as a vice president of the
Chemical Corn Exchange Bank.
Until last January he was a vice
president of the former Corn Ex­
change Bank Trust Company before
coming here.
*

*

*

W. Dale Clark, board chairman of

the Omaha National Bank, last month
was named temporary chairman of a

committee to study the proposed pur­
chase of Metropolitan Utilities District
gas distribution properties.
The offer to buy was made last No­
vember by the Northern Natural Gas
Company.
*

*

*

Investors should study individual
stocks rather than trying to master­
mind the market as a whole, a Min­
neapolis investment expert said re­
cently.
“Nobody knows if the market is too
high,” said Arthur C. Regan.
He said analysis shows that two out
of every five stocks on the New York
Stock Exchange currently are selling
lower than 10 years ago.
Mr. Regan, vice president of the
First National Bank in Minneapolis,
was the second speaker of the fourweek Finance Forum of the Omaha
National Bank.
*

*

*

A parking company president, a
banker and an advertising executive
will represent the public on the board
of the Omaha and Council Bluffs
Street Railway Company.
Elected at the annual stockholders’
meeting last month were:
Denman Kountze, president a n d
treasurer of the Easy Parking Com­
pany.
W. B. Millard, Jr., president of Oma­
ha National Bank.
Morris E. Jacobs, president of Bozell
& Jacobs, Inc.
They were elected in accordance
with the new franchise that requires
that one-third of the directors are to
“represent public interest.”
They
were on a list of 10 submitted by
Mayor Rosenblatt.

Mr. Jacobs’ agency handles the bus
company’s advertising and public re­

Scarborough’s Chattel Mortgage N on-Filing Insurance
gives you the same protection afforded by actual filing
or recordin g—plus a very material saving o f time,
money, and worry.

=
|
§

M A X H. V A N C E
R etires at Stock Yards N ational

Mr. Vance, 65, has retired. He
started with the bank in January,
1907, as a messenger.
Upon retirement he was the bank’s
oldest employee in point of service.
* * *
Seventy-five members of the Robert
Morris Associates attended the annual
one-day conference of the Missouri
Valley chapter recently in Kansas
City, Kansas. All seven states in the
chapter were represented, plus a dele­
gation from Chicago.
James H. Moore, vice president of
the Omaha National Bank, Omaha,
was elected president of the chapter.
The new vice president is William L.
McDonald, vice president of the Na­
tional Bank of Tulsa, Tulsa, and Carl
H. Schupp, assistant cashier, City Na­
tional Bank & Trust Company, Kansas
City, was re-elected secretary.
*

*

*

George H. Norton, Jr., vice president

of the Omaha National Bank, spoke
to the Omaha Chapter of the National
Office Management Association last
month at the Fontenelle Hotel.
His topic was “Observing Today’s
Business.”—End.

Scarborough <Sl
m Company '"‘uron‘
ic e

Couns el ors

to B a n k s

FIR S T N A T IO N A L BANK B U ILD IN G . C H IC A G O 3, IL L IN O IS . STcite 2 -4 3 2 5

Northwestern Banker. June, J 9 5 5


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85

Our Men Talk Your Language


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Federal Reserve Bank of St. Louis

Our loan men don’t do all of their business across a desk. They
often go right to your store . . . or plant . . . or shop . . . so you can show
them what you need, on the spot. They have a working knowledge
of a lot of businesses, which helps them understand your
problems and your needs.
No matter what kind of business you’re in, you’ll find a loan officer
at The Omaha National Bank who knows the kind of financing you
want. A man you can do business with, because he talks y o u r language.

The Omaha
National Bank
“ Helping Omaha Grow Since 1 8 6 6 ’ ’
M e m b e r F. D. I. C .

Northwestern Banker, June, 19 55

86

l.avtje f r and.s A tte n d N eb ra sk a 1tetta ft
¡ ¡ fl

LEFT—Group 6— Seated: Mrs. Lichty; Howard Lichty, vice
president and cashier, Guardian State, Alliance, president of
Group 6. Standing: Roy Percival, executive vice president,
First State, Scottsbluff, vice president, and Charles T. Karpf,
cashier, First National, Morrill, secretary-treasurer.

EBRASKA bankers turned out
in force for each of the six
group meetings held throughout
the state recently. Excellent programs
backed up by good weather drew large
crowds every day. The meetings were
held on consecutive days in Lincoln,
Hastings, Scottsbluff and North Platte,
with a double attraction the final day
since meetings are traditionally held
in Columbus and Norfolk on that day.
Nebraska Bankers Association Pres­
ident Joe V. Johnson, Tecumseh, re­
viewed the association’s work and

N

m

RIGHT— Group 5— George W. Monson, executive vice president,
Overland National, Grand Island, secretary-treasurer of Group
6; George W. Taylor, executive vice president, McDonald State,
North Platte, president, and J. V. O’Donnell, president, Farmers
State, Lexington, vice president.

some of the future plans. Other com­
ing activities were outlined by Asso­
ciation Secretary Harris V. Osterberg,
Omaha. Projects announced for the
near future include the Bank Manage­
ment Conference June 8-10 and held
each year at Doane College in Crete;
several public relations clinics which
began late last month and will con­
clude this month, and the 3rd Annual
Agricultural Credit Conference to be
held at North Platte next September
21 and 22.
As usual, Nebraska Bankers Asso-

LEFT— Group 1— Seated, left to right, are: Nebraska Governor
Victor E. Anderson, Mrs. Anderson; George A. Knight, presi­
dent, Citizens State, Lincoln, president of Group One, and Mrs.
Knight. Standing are Myron Weil, vice president, National
Bank of Commerce, Lincoln, secretary-treasurer, and Richard
McMullen, cashier, State Bank of Stella, vice president.

ciation officials, representatives from
city correspondent banks, and pro­
gram speakers traveled around the
state on a special train. Accompany­
ing the “traveling circus” during the
week was Nebraska’s popular Gover­
nor Victor E. Anderson, who is also
president of the Havelock National
Bank in Lincoln.
New group officers were elected at
each meeting and their names and pic­
tures appear in the accompanying
photos.

RIGHT— Group 4— Charles T. Backer, vice president, First
State, Loomis, president of Group 4; Mrs. Backer; Mrs. J. A.
Diez, and J. A. Diez, cashier, Adams County Bank, Kenesaw,
vice president. Roger Thuman (not pictured), cashier, State
Bank of Trenton, is new secretary-treasurer.

Enlarge Hyannis Bank

John T. Baumann

Construction began last month on
the enlarging of the Bank of Hyannis,
Nebraska. The building will be ex­
tended to the bank’s lot lines to the
east and south of the present building.

John T. Bauman, 79, former West
Point, Nebraska, banker, died recently
at his home in Omaha.

H. J. Bornholdt, prominent banker,
businessman and civic leader in this
community, will be known as the H. J.
Bornholdt Memorial Scholarship, and
will be in the amount of $250.

Wausa Scholarship

Humboldt Change

The Commercial State Bank of
Wausa, Nebraska, will begin this year
the granting of a scholarship to a
member of the Wausa High School
senior class upon graduation. This
scholarship, in memory of the late

Robert L. McConnelee, 30, assistant
vice president of the Home State
Bank, Humboldt, Nebraska, has been
employed by the Chamber of Com­
merce in Nebraska City, Nebraska,
and will serve as manager.

Keappoint Elgin Banker
George Wright, president of the
Bank of Elgin, Nebraska, was reap­
pointed recently to the Nebraska State
Merit System Council.
Northwest ern Banker, June, 1955


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Federal Reserve Bank of St. Louis

LEFT— Henry Byers, president, Bankers Service Company, Des
M oines; V. C. Redding, director, and C. E. Clough, president,
both of First National of Minatare.
BIGHT— Fred Aldrich, vice president, Continental National,

Lincoln; H. L. Gerhart, president, First National, Newman
Grove, and vice president, Nebraska Bankers Association; F. L.
Ferrell, president, Nebraska State Bank, Oshkosh; John McCumber, vice president, Stock Yards National, Omaha, and
Dale M. Adams, vice president, First State. Scottsbluff.

LEFT— Thomas C. Horn, executive vice president and cashier,
First National, Hay Springs, and Vic vonMeding, assistant
vice president, First National, Chicago.

BIGHT— Harold Cathcart, assistant cashier, Gering National;
Don Delano, vice president, Central Bank and Trust, Denver;
A. C. Peterson, president, First State, Lodgepole, and John
Reece, assistant secretary, Wachob-Bender Corporation, Omaha.

LEFT— Harold Burgett, cashier, American National, Sidney;
M. G. Keller, president, First National, Ogallala, and Ernie
Tanner, assistant vice president, First National, Omaha.
RIGHT— Burnham Yates, president, First National, Lincoln;

A. J. Jorgenson, chairman, American National, Sidney; John
Hejinian, assistant cashier, Chase Manhattan Bank. New York
City; Clyde Sudman, vice president, and Howard E. Lichty, vice
president and cashier, both of Guardian State, Alliance.

LEFT— Train trippers in front of North Platte Country Club.
BIGHT— Leo Van Dittie, vice president, Central Bank and Trust

Company, Denver; C. H. Rowan, Nebraska State, Broken Bow,
and L. R. Charlson, Burroughs Corporation, Grand Island.


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Northwest ern Banker, June, 1955

88

Nebraska News

LEFT— Mrs. T. T. Varney, Jr., Broken Bow ; Carl G. Swanson
(standing), Chiles-Schutz Company, Omaha; Mr. Varney, presi­
dent, Broken Bow State, and John McCumber, vice president,
Stock Yards National, Omaha.
RIGHT— F. M. Deutsch, director, De Lay National, N orfolk;

F. A. Evans, president and cashier, Farmers and Merchants
State, Bloomfield; Herb L. Brune, executive vice president,
Nebraska State, South Sioux City, new vice president of Group
3, and Ed V. Hoffman, assistant vice president, First National,
Sioux City.

LEFT— Richard Dunlap, vice president, Commerce Trust, K an­
sas City, and B. M. DeLay, cashier, DeLay National Bank,
Norfolk.
CENTER— Group 3— Gilbert Otjen, DeLay National, Norfolk,
treasurer of Group 3; G. D. Eberly, president, Stanton National,
Stanton, president, and Adolph Stuchlik, National Bank of
N orfolk, secretary.

RIGHT— Group 2— Chase Neumann, executive vice president
and cashier, Farmers and Merchants National, Oakland, presi­
dent of Group 2, and Harold Roe, executive vice president and
cashier, Bank o f Bennington, vice president. Roland Gaeth,
assistant vice president, Fremont National, Fremont, secretarytreasurer, is not pictured.

Midwest Grain Market
Over 43 million bushels of grain were received and
handled in St. Joseph in 1954, making this city one of
the major grain markets in the U. S.
You can route grain drafts and other transit items to this
bank with complete assurance of prompt and efficient
handling. Your inquiries are cordially invited.

Only Bank At The Yards

b

u

r n

i i

ce

7 DAYS and 5 NIGHTS A WEEK

Y o u r items a re s p e e d e d
on their w a y b y

Member Federal Deposit Insurance Corporation

fastest a v a ila b le m ean s . . .

FIRST
The First National Ba n k
of

S O U T H

ST J O S t P H ,

M I S S O U U I

BANK

Denver

M em ber Fe d e ral D epo sit In su ran c e C o rp o ra tio n

PROVIDING BAN KIN G S E R V IC E S I N C E 1 8 6 0

Northwest ern Banker, June. 1955


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Federal Reserve Bank of St. Louis

y

89

C o m p l e t e , Fast, Profitable
Correspondent Services
Proceeds from the sale of livestock reach
you faster when routed through the
Stock Yards National Bank
THE ONLY BANK IN OM AHA’ S


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Federal Reserve Bank of St. Louis

GREAT UNION

STOCK

YARDS

STOCK YARDS
NATIONAL BANK
LIVESTOCK EXCHANGE BLDG.
MEM BER

FEDERAL

D EPO SIT

OMAHA, NEBRASKA
IN SU RA N CE

C O R PO R A TIO N

Northwestern Banker, June, 1955

90

Nebraska News

Ravenna Remodels
Expanded work space has been ac­
complished by the recent remodeling
being done by the Ravenna Bank, Ra­
venna, Nebraska.
One room has been equipped for
their use, and some of the bookkeep­
ing machinery will be moved back
there. Acoustic ceiling has also been
put up, which does away with a great
deal of noise and echo, which for­
merly was a problem in the banking
room.

Aurora Change
W. Ed Coblentz recently announced
that P. J. Refshauge had taken over
the active management of the First
Securities Corporation in Aurora, Ne­
braska. Mr. Coblentz is now devoting
his full time as an officer of the Farm­
ers State Bank.

Sargent Plans
With construction getting under way

recently, the new Farmers State Bank,
Sargent, Nebraska, is expected to be
ready for occupancy in July, according
to Western Bank Contractors of Kan­
sas City, Missouri, who holds the
building contract.
The modern 25 by 70 foot bank, de­
signed by E. H. Waddington, a Kansas
City architect, will have a face-brick
front with the entrance at the east
corner facing main street. The west
side of the building will be a combi­
nation of glass and wood paneling.
Going into the bank, patrons will
enter the public lobby. To the rear
of the lobby will be a vault. The west
half of the building will have a private
office in front, followed by an open
office, work area, conference room,
storage and utility rooms.

Burt County Officers
Lee Loerch, cashier of the First Na­
tional Bank, Tekamah, Nebraska, was
elected president of the Burt County

In Lincoln — NEW BANK BUILDING

The Continental National Bank’ s future
Banking Home will offer yon and Lincoln—• Modern Banking Quarters
® Drive-In Banking Service
• Adequate Parking Facilities
• Convenience for all your banking needs

“ Designed Today For Tomorrow’ s Banking’ ’

Bankers Association at the annual
meeting held recently. Quatin Lambley, cashier of the Burt County State
Bank, Tekamah, was elected secretarytreasurer.

Discard Tax Law
The Nebraska Attorney General’s of­
fice has ruled unconstitutional a new
law which allows banks to pay prop­
erty taxes only on real estate and
motor vehicles.
The measure, LB 254, provides that
the tax imposed on capital stock of
banks, industrial loan and investment
companies and trust companies should
be in lieu of all other taxes “on the
tangible or intangible property.”
In lieu of this, such banks and com­
panies are taxed “ a mere four mills on
the dollar of valuation of their capital
stock,” the opinion noted. It added
that tangible property owned by other
persons or companies is taxed at from
“35 to 55 or more mills.”
The ruling by Assistant Attorney
General Homer L. Kyle held that the
law violates sections of the state con­
stitution which:
1. Prohibit special legislation.
2. Require levying of taxes “by val­
uation uniformly and proportionately
upon all tangible property.”
3. Forbid exemption of any prop­
erty from taxation except as provided
in the constitution.
State Tax Commissioner Fred Her­
rington said a memorandum probably
will be sent to all county assessors
calling attention to the opinion and re­
questing them to add tangible prop­
erty to the tax schedules of banks.

w;itli construction to commence in 1956
THI

MUNICIPALS FOR BANKS
Member M idwest Stock E xchange

CHILES-SCHUTZ COMPANY
of Lincoln, N ebraska

~

11th ond " O “ Stre e ts

m em ber

f . d .i .c

.

Member Federal Deposit Insurance Corp.
Northwest ern Banker, June, 1955


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Federal Reserve Bank of St. Louis

Farm

Credit Building
Omaha

Nebraska News
New Drive-In
New drive-in banking facilities were
opened by the Platte Valley State
Bank, Kearney, Nebraska, last month.
It is the only auto-bank between Lin­
coln and Scottsbluff.

Mrs. Herman Lundberg
Mrs. Herman Lundberg, 75, wife of
the president of the State National
Bank of Wayne, Nebraska, died re­
cently. She had been ill since October
and had been in the hospital since
November.

Cozad Project
The Cozad State Bank, Cozad, Ne­
braska, was improved in appearance
recently when the outside of the build­
ing was sand blasted.

Rushville Increase
The Stockmen’s National Bank of
Rushville, Nebraska, r e c e n t l y in­
creased its capital stock from $70,000
to $105,000 by a stock dividend.

Nebraska Scholarships
The Nebraska Bankers Association
is offering 10 first-year state-wide $200
scholarships to the Norfolk Junior
College, Norfolk, Nebraska, for a
course in business administration and
banking. The scholarships are pri­

marily for young men interested in a
career in banking. Candidates for ad­
mission were to submit their applica­
tions not later than June 6. This is a
competitive scholarship. Winners will
be selected by the education commit­
tee of the Nebraska Bankers Associa­
tion.
Help in obtaining summer jobs in
banks and final placement in a perma­
nent position will be given by the Ne­
braska Association. For the first year,
scholarships will be available only at
the Norfolk Junior College. Expan­
sion of the program is planned for
1956.

Joins York Bank
Ed Shelledy, formerly assistant cash­
ier of the Farmers Trust and Savings
Bank, Spencer, Iowa, has joined the
First National Bank of York, Nebras­
ka, where he will have charge of oper­
ations and detail as well as working
on credits.

Bond Award
T. T. Varney, Jr., president of the
Broken Bow State Bank, Broken Bow,
Nebraska, recently was awarded the
U. S. Treasury Department’s highest
award for a voluntary worker engaged
in selling U. S. savings bonds.
The award was presented by exMayor Glen Cunningham, now state

91

director of the savings bond division.
Region 11, headed by Mr. Varney, pur­
chased $2,839,989, or 119 per cent, of
its quota of E and H savings bonds
in 1954.

Nebraska Women Elect
Miss Regina W. Nagle, assistant
cashier of the Douglas County Bank,
Omaha, Nebraska, was elected presi­
dent of the Nebraska Division of the
National Association of Bank Women
at the group’s annual meeting held in
Omaha recently.
Other officers named to assist Miss
Nagle are Treasurer Minnie Asche,
vice president of the Central National
Bank, Columbus, and Secretary Wanda
Vosik, assistant cashier, South Omaha
Savings Bank, Omaha.

MORE S. D AK O TA NEWS
New Kennebec Bank
A charter of incorporation has been
issued to the Lyman County Bank,
Kennebec, South Dakota.
The bank is capitalized at $25,000
and listed the following directors: C.
W. Tomhave, Vivian; N. C. Callanan,
Mitchell, and Ora Forell, Eugene H.
Strachan, David Mertens and Henry
A. Boe, all of Kennebec.
State Bank Superintendent Roy Fen­
ner said the Kennebec bank expects

where b e t t e r correspondent banking starts


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The

C entral
»

B a n k & Trust C o.
1 5 th & A r a p a h o e

D e n v e r, C o lo .

Member Federal Reserve System • Federal Deposit Insurance Corp.
Northwest ern Banker, June, 19 5 5

92

to open in early July and will occupy
a building purchased by stockholders.
Mr. Fenner said Mr. Tomhave and
Mrs. Callanan will control a majority
of stock in the bank. Both have a
controlling interest in the Vivian State
Bank at Vivian.
In addition to the $25,000 common
stock, the bank will have $15,000 sur­
plus and $10,000 undivided profits.

New Aberdeen Bank
The Farmers & Merchants Bank,
Aberdeen, South Dakota, opened for
business recently with a capital stock
of $100,000, surplus $50,000 and undi­
vided profits $50,000.
The officers of the new bank are:
F. W. Hatterscheidt, president; Leo
K. Mossing, vice president; G. L. Hill,
executive vice president and cashier,
and L. G. Grosz, assistant cashier.
It was estimated that 8,000 persons
attended open house at the bank.

Mrs. Richard Stevens
Mrs. Richard Stevens, 41, wife of a
Vermillion, South Dakota, banker, died
in a Minneapolis hospital last month
after an extended illness. Her hus­
band is vice president of the Citizens
Bank in Vermillion.
Other survivors include two chil­
dren, Julie Clare, age 7, and Timothy,
age 3; her mother, three sisters and
one brother.

'U jn jd s ü iw h ü ts ü iA ,

Construction of a North Sioux City
office for the Bank of Union County
of Elk Point, South Dakota, began re­
cently. The new office will be modern­
istic throughout with drive-in window
and night depository facilities. O. D.
Hansen, president of the bank, reports
that the building should be ready for
use in July.

It is believed the decision will be
appealed to the State Supreme Court.
The incorporators are Ellsworth
Leen, farmer, New Effington; L. H.
McKenna, druggist, Wilmot; Wilhelm
Nelson, farmer, New Effington; Melvin
Wall, merchant and county commis­
sioner, New Effington; Martha Morris,
insurance and finance, Sisseton, and
Frank R. McKenna, attorney, Sisseton.

Named Cashier

State Deposits Up

Open Branch Office

Ray Nelson of Pierre, South Dakota,
has taken over the duties of cashier
and manager of the Big Stone State
Bank, Big Stone City, succeeding Bob
Lambert who resigned to accept em­
ployment at Indianapolis, Indiana.

Court Orders Charter
Circuit Judge Harold W. King, Brit­
ton, handed down a decision recently
on the application granting a charter
for a second bank in Sisseton, South
Dakota.
Application was made for a charter
for a state bank in September, 1953.
The banking commission delayed ac­
tion on the application and it was
taken into court on a writ of manda­
mus by the applicants.
Judge King entered his judgment
that the banking commission at Pierre
issue a charter for the organization
of a state bank to be known as Sisse­
ton State Bank. The bank will be in­
corporated with $60,000 capital stock.

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Digitized for Northwest
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South Dakota’s 135 state banks had
deposits totaling more than $12 mil­
lion greater in April than they had
the year before, Bank Superintendent
Roy H. Fenner reported last month.
The total was $276,372,855.
Loans and discounts held by the
banks totaled more than $79 million,
or nearly $10 million more than in
April, 1954.
The amount of Commodity Credit
Corporation loans held by the state
banks dropped from more than $42
million last year to slightly more than
$18 million this year.

Bank Buys Auction Firm
Purchase of The Loken Company,
Watertown auction sale clerking firm,
by the Farmers and Merchants Bank
of Watertown, South Dakota, was
made public recently with the bank
announcing that it will operate “The
Loken System of Auction Sales.”
Louie H. Loken, operator of the
Loken Company, will continue in the
organization as manager of the sys­
tem, according to E. H. Paine, presi­
dent of the bank.

Moves to Gettysburg
William C. Hines has joined the per­
sonnel of the Potter County Bank at
Gettysburg, South Dakota, to head the
time pay department, according to C.
F. Stilgebouer, president.

Capital Increase Voted
J.
M. Patton, president of the Mitch­
ell National Bank in Mitchell, South
Dakota, announces that the capital

!N ST. JOSEPH

No Other Bank Gives You

MORE* for YOUR MONEY
Than the

THE TO O TL
A Name in Bankint
MILTON TOOTLE
PRESIDENT

R. E. WALES
EXEC. V . P.

FRED T. BURRI
VICE PRESIDENT

E. H. SCHOPP
VICE PRESIDENT

E. L. CRI
VICE PRESII

Nebraska News

93

S t. J o s e p h N e w s
ootle

n a t io n a l

bank

held

T its annual golf tournament and
party for its correspondents June 1
at the St. Joseph Country Club, with
an attendance of 150.
A luncheon was served for the golf­
ers at noon, a social hour was held
in the afternoon and at night a buffet
dinner was served. No speaking was
scheduled, except for presentation of
prizes.
*

*

St. Joseph bankers who attended the
Kansas State B a n k e r s Association
meeting last month at Hutchinson in­
cluded: E. L. Crume, vice president,
and Gilbert Tootle, assistant vice pres­
ident, Tootle National Bank; J. M.
Ford II, president, and Macon Dudley,
vice president, First National Bank;
T. J. McCullough, president, and Harry
H. Broadhead, Jr., vice president, First
St. Joseph Stock Yards Bank, and
Charles Richmond, vice president,
American National Bank.
*

*

*

George U. Richmond, president of
American National Bank, and Charles
Richmond, vice president, took a vaca­

tion in the middle of May and visited
their son and brother, respectively,
George Richmond, at Menlo Park, Cal­
ifornia.

SPEED

is essential at harvest time, both in the cutting of the grain and in the

handling of grain items. A night transit force working in the Union Station . . . the con­

stock of the bank has been increased
from $150,000 to $200,000 and the sur­
plus from $200,000 to $275,000, thus
making the bank’s total capital and
surplus account $475,000.
This increase was made possible by
a stock dividend of 500 shares from
undivided profits and the sale to pres­
ent and new stockholders of an addi­
tional 500 shares.

BANKS BOUGHT
50

and

Y E A R S O F C O N F ID E N T IA L D IG N IF IE D

venient location of the Bank to the Board of Trade Building . . . hundreds o f direct
clearing points are factors that enter into making the collection service of

The First’

outstanding. We sincerely believe that if you will use this service you will be convinced.

" S in c e 1 8 8 6 99

FIRST NATIONAL RANK

SOLD

S E R V IC E

Slie (¡¡Hi) Sellable
CHARLES E. WALTERS CO.
1313 FIRST N A T IO N A L B A N K B U ILD IN G

OM A H A, N EBR.

*MORE personal service — *MORE types of service — ‘ MORE
friendliness — ‘ MORE people who

are

interested in you.

NATIONAL BANK

ST. JOSEPH, MO,

for Four Generations
IILTON TOOTLE, JR.

CHAS. BURRI

GILBERT TOOTLE

A. E. LABOUFF

PAUL R. ABERSOLD

PHOEBE BUZARK

ROBERT DOUGLAS

ICE PRES. & CASHIER

ASST. VICE PRES.

ASST. VICE PRES.

ASST. CASHIER & AUDITOR

ASST. CASHIER

ASST. CASHIER

TRUST OFFICER


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

Member of Federal 'Deposit Insurance Corporation

Northwest ern Banker, June, 1955

elected treasurer of the Lincoln Squad­
ron of the Air Force Association.
=1= *

*

Byron Dunn, president of the Na­

tional Bank of Commerce, Lincoln, de­
livered the main address at the 1955
awards presentation at the University
of Nebraska, at which 20 Naval ROTC
Midshipmen were honored.
*

EORGE KNIGHT, president of the
G
Citizens State Bank, Lincoln, has
been elected president of Group 1 of

Bank of Stella, Nebraska, was named
vice president.

the Nebraska Bankers Association.
Myron Weil, vice president of the Na­
tional Bank of Commerce, Lincoln,
was named secretary-treasurer. Rich­
ard McMullen, cashier of the State

Glenn Yaussi, Sr., vice president and

*

*

*

trust officer, National Bank of Com­
merce, Lincoln, was elected to the
board of education for Lincoln in a
recent city election. He also was

*

*

clearings for the first
four months of 1955 showed an in­
crease of $3,387,811.89 over the same
period last year. Clearing house offi­
cials reported these comparative figures:
1955 ..................$160,045,500.24
1954 .................. 156,657,688.25
A gain of $2,158,744.86 was recorded
in April this year compared with the
corresponding month in 1954. The fig­
ures were:
April, 1955 .........$40,494,089.70
April, 1954 ......... 38,335,344.84
L in c o ln

Bank

*

*

*

Dr. Leland Forrest, chancellor of Ne­

serving NEBRASKA —

Northwestern
Banker, June,

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

i W 111

for Generations

Since

1871,

the

First

National Bank of Lin­
coln has been providing
made-to-order

banking

services.

braska Wesleyan University, spoke at
the annual banquet last month of the
Lincoln Chapter of the American In­
stitute of Banking.
His topic was “ Education Need Not
Be a Hindrance.”
Certificates, recognizing the comple­
tion of a series of required courses
on banking subjects, were presented to
R. Max Peterson, Darelle Meyer and
Jesse Carbaugh.

About 100 persons attended the
event and three new members were
elected to the board of governors.
Charles R. Ellis, vice president, was
named president for the coming year.

OPEN HOUSE . . .
W hether it’s an excess
loan or any other prob­
lem, think first of First
National of Lincoln— as
close to

you

as

your

telephone.

Speedy transit service

!0lh & O Streets

Phone 2-8561
Lincoln, Nebraska
1955

(Continued from page 21)
alive during our open house, which
ran from 2 to 9 p. m.
Out of town guests were served
lunch at noon in another building
with all directors and their wives
present. The directors and their wives
greeted the guests and saw that they
registered—the men and women in
one book and the children in another.
Displays featured at the event in­
cluded currency displays loaned by
the Chase Manhattan Bank through
the Iowa-Des Moines National; stamp
collections loaned by the First Na­
tional Bank of Chicago; several trays
of gold coins loaned by the Merchants
National Bank, Cedar Rapids; a print
of a painting by Grant Wood of Stone
City, and old pictures of the former
officers, directors and employees of
the bank in early years and pictures
of business men in our town 25 years
ago.
The big feature, of course, was the
36 floral pieces given us by banks, lo­
cal business houses and friends. In

Nebraska News
the evening the high school band
played an hour concert in front of
the bank.
What was the most important fea­
ture I wouldn’t know. It all went
over well. The flowers kept the wom­
en coming back day after day just to
view them.
A beautiful, gold-covered 20-page
brochure was distributed at the open
house, giving bank statements for the
50 years of operation. We should
have started working on this earlier,
as so many things we thought of later
were omitted from this brochure, but
it did give a good history of the bank.
We used 900 individual cakes, 1,000
pens and more than 500 balloons. All
fly swatters were gone by 8 p. m. All
in all, it was a wonderful occasion for
all of us.
C. R. H E W IT T

y

95

:,-a ;W t i a ./., a

President
Farmers State Bank
Dorset. Minnesota

Our open house was publicized in
advance through use of newspapers
and personal invitations. No special
displays were used or any form of
refreshments or entertainment, as
ours is a small bank.
Ball point pens and children’s banks
were presented to those attending the
all day open house. The employees of
the bank conducted the guests through
the bank’s interior and pointed out
special items of interest. Probably
the most popular feature of the open
house was a drawing for the door
prize.—End.

A .B .A . Banking School
Dr. Lawrence R. Hafstad, director
of the Atomic Energy Division of
The Chase Manhattan Bank, New
York City, and W. Randolph Burgess,
Under Secretary of the Treasury for
Monetary Affairs, will address the two
general assemblies at The Graduate
School of Banking summer session
this June, it has been announced by
Dr. Harold Stonier, director of the
school. The school, conducted by the
American Bankers Association, will
hold its annual session at Rutgers Uni­
versity, New Brunswick, New Jersey,
June 13 through 25. Over 1,000 bank
officers will attend.

A

«BBÉfiMi

W

H ere's a pattern m any p rogressive
bankers are following when a m anufac­
turer or w holesaler asks for a loan.
They suggest the Douglas-Guardian
Plan for borrowing on inventory. Under
this Plan, we issue warehouse receipts
to your b an k fo r the custo m er's m er­
chandise which secures the loan. Result:
The b orrow er gets the cash he needs.
Your bank m akes a lo an , a p rofit and
a fr ie n d . A n d , o f c o u rs e , D o u g la sG u ardian has the opportunity to serve
you both.
For more detailed information, phone
or write our nearest office.

DOUGLAS - GUARDIAN
WAREHOUSE

New York Election
Horace P. Bromfield, vice president
of the former Corn Exchange Bank
and Trust Company, New York, has
been elected a vice president of Chem­
ical Corn Exchange Bank.
YOUR STATE BANKERS ASSOCIATION
OFFICIAL SAFE, VAULT AND
TIMELOCK EXPERTS

CORPORATION

Executive Office: 118 North Front Street,
N ew O rleans I, Louisiana
NEW YORK 4, N .Y., 50 Broad St.
SAN FRA N CISCO 3, C a lif., 785 Market St.
LOS AN GELES 14, C a lif., G arfield Bldg.
C H IC A G O 2, III., 173 W. Madison St.
PORTLAND 4, O re ., U .S . N at'l Bank Bldg.
SPRINGFIELD, M o., McDaniel Bldg.
18 other convenient offices

F. E. DAVENPORT & CO.
OM AHA

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Federal Reserve Bank of St. Louis

Northwest ern Banker, June, 1955

96

Your m o s i c o u v e n t e n t source
of c o m p l é t é correspondent services

T

‘N
t § •

Bankers Trust Company

Enjoy prompt, accurate processing of all transit items by
specially trained personnel. . . and our bank wire is at your
service, too, providing you with immediate credit information
from across the nation. You are cordially invited to use
these and our other correspondent facilities.

Des Moines, Iowa

Member: Federal Deposit Insurance Corporation
Federal Reserve System

Northwestern Banker, June, 1955


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Federal Reserve Bank of St. Louis

97

John A. Schmidt
I o w

a

YEW S
B. L. McKEE
President
Muscatine

Nominate Guy Butler
G u y G. B u tler, p re s id e n t o f th e R o lfe
State B an k , R o lfe , Iow a , has b e e n e n ­
d o rse d b y G rou p 11 o f th e Io w a B a n k ­
ers A s s o c ia tio n and th e R oca h on ta s
C o u n t y B a n k ers
A s s o c ia tio n as a
n o m in e e fo r th e
office o f p re s id e n t
o f th e Io w a B anke r s A s s o c ia tio n
fo r th e y e a r 1956.
M r. B u tle r has
se rv e d as p r e s i­
d en t o f th e P o c a ­
h on ta s C o u n t y
B a n k ers A s s o c ia ­
G. G. B U T L E R
tion . H e s e rv e d as
ch a irm a n o f th e b a n k s and b a n k in g
co m m itte e , Io w a H o u se o f R e p r e s e n t­
atives, d u r in g th e 54th and 55th ses­
sion s. H e has had m u ch to d o w ith d e ­
v e lo p m e n t o f h is b a n k te r r ito r y as a
ca ttle fe e d in g area and has a c tiv e ly
su p p o rte d th e fa rm y o u n g p e o p le in
th e ir 4-H C lu b an d F .F .A . w o r k . H is
b a n k in g e x p e r ie n c e as an a ctiv e b a n k
officer and h is le g is la tiv e e x p e r ie n c e
as a m e m b e r o f th e Io w a G en era l A s ­
s e m b ly w o u ld p r o v id e h im w ith an
e x c e lle n t b a c k g r o u n d fo r th e office o f
p re s id e n t o f th e Io w a B a n k e rs A s s o ­
cia tion .

FRANK WARNER
Secretary
Des Moines

fo r each. T h e fo u r th and final q u e s­
tio n had a m in k co a t and a trip to
a n y p o in t in th e w o r ld w ith all e x ­
p en ses p aid as a rew a rd .
A ll he
had to d o w a s n a m e th e 14th state
a d m itted to th e u n ion , w h ic h w a s V e r ­
m on t. M r. B u rd ic a dm its th a t th is is
w h e r e h e “ let h is w ife d o w n ” as h e
n am ed O hio.
T h e c o u p le w a s q u ite
im p re sse d w ith th e ela b o ra te p re p a ra ­
tion s p re v io u s to th e a ctu al T V p r o ­
g ra m and state th at o n ly a b ou t 10 p er
ce n t o f th e co u p le s in te r v ie w e d are
a ctu a lly selected . On th e ir r e tu r n to
Iow a , M r. and M rs. B u rd ic w e r e on
a N e w Y o r k C en tral train w h ic h h it a
r o c k slide, th e en g in e p lu n g in g in to
th e r iv e r and m o s t o f th e ca rs w e r e
d erailed. M rs. B u rd ic r e c e iv e d a b a d ­
ly b ru ise d leg, b u t fe lt fo r tu n a te th at
n o th in g m o re se rio u s h a p pen ed .

Name Winfield Bailey
W in fie ld B ailey , ca sh ie r o f th e H om e
State B ank, R o y a l, Iow a , w a s e lected
p re sid e n t o f th e C la y C o u n ty B a n k ers
A s s o c ia tio n at its m e e tin g re c e n tly , it
w a s r e p o r te d b y W . O. H op k in s, p r e s i­
d en t o f th e C itizen s State B an k , W e b b ,
Iow a .
N a m ed to assist M r. B a ile y w a s G. J.
E d g e, ca sh ie r o f th e F a rm e rs T ru st
and S a v in g s B ank, S p en cer, w h o w ill
s e rv e as secreta ry -trea su rer.

J o h n A. S ch m id t, p re sid e n t o f T h e
W a tk in s S a v in g s B an k , W a tk in s, Iow a ,
d ied last m on th .
M r. S ch m id t w a s a p r o m in e n t r e ­
tired fa r m e r and h a d b e e n p resid en t
o f th e b a n k fo r th e p ast 21 y ea rs. H e
had b e e n a d ir e c to r fo r 37 y ea rs. H e
w as 75 y e a rs o f age.

Sioux City A.LB . Elects
D a rol M. R ich , assistan t ca sh ie r o f
th e M o rn in g s id e S a v in g s B an k , S iou x
C ity, Io w a , w a s n a m ed p re sid e n t o f
th e S io u x C ity ch a p te r o f th e A m e r i­
ca n In stitu te o f B a n k in g re ce n tly .
O ther officers n a m ed w e re : F ir s t v ic e
p resid en t, B ill W h itm a n , S e cu rity N a ­
tio n a l B ank; se c o n d v ic e presid en t,
W illis H. H arm s, assista n t ca sh ier,
W o o d b u r y C o u n ty S a v in g s B a n k ; s e c ­
reta ry , B e v e ly n O’ B rien , F ir s t N a­
tio n a l B an k , and trea su rer, W a y n e
H ettin g er, T o y N a tion a l B ank.
L e slie H. O lson, assista n t ca sh ier o f
th e T o y N a tion a l B an k , w a s a p p oin ted
a ssocia te c o u n c lim a n fo r Io w a to w o r k
w ith th e n a tion a l office in th is t e r r i­
tory .

Grand Mound Plans
A n e w n ig h t d e p o s ito r y h as b e e n in ­
sta lled b y th e U n ion S a v in g s B ank,
G ran d M ou n d , Iow a , a c c o r d in g to L. J.
S totesb ery , p resid en t.
O ver a p e rio d o f a y ea r, th e b a n k
to o k a p o ll a m o n g its c u s to m e rs in
co n n e c tio n with- b a n k in g h ou rs. T h e
p o ll d isclo se d th at th e cu s to m e r s fa ­
v o r e d b e in g clo s e d S a tu rd a y s and op e n
on e n ig h t a w eek . S in ce th e first o f
th e y ea r, the b a n k h as b e e n op e n u n til
9 p. m. on F r id a y an d c lo s e d on S a tu r­
day. T h e n ig h t d e p o s ito r y aids c u s ­
tom ers, p a r tic u la r ly o v e r th e w e e k e n d .

Ag Credit School
T h e 10th A n n u a l A g r ic u ltu r a l C redit
S ch ool, jo in t ly sp o n s o re d b y Io w a
State C olleg e, A m e s, and th e Io w a
B a n k ers A s s o c ia tio n , is sch e d u le d to
start M on d a y , J u n e 13, la stin g tw o
w e e k s, th ro u g h J u n e 24, a c c o r d in g to
R o b e r t E. H u n ter, d ir e c to r , E a rlh a m
S a v in g s B a n k , E a rlh a m , and A g C redit
S ch ool c o m m itte e ch a irm a n , and L.
M ilton V a n d e r S tow e, assistan t c a s h ­
ier, S e cu rity N a tion a l B ank, S iou x
C ity, c o m m itte e v ic e ch a irm a n . P r o ­
fe s s o r H. B. H o w e ll o f Io w a State C o l­
leg e is in d ir e c t ch a r g e o f th e sch ool.

H aiti Open H ou se a t M a rio n

Malvern Banker on TV
E u g e n e W . B u rd ic, p r e s id e n t o f th e
M a lv e rn T ru s t and S a v in g s B ank, M a l­
v e rn , Iow a , and h is w ife r e c e n tly a p ­
p ea red on th e N e w Y o r k te le v is io n
p ro g ra m “ T h e B ig P a y o ff.”
M r. B u r d i c states th at h e a n ­
s w e re d th ree q u estion s, w in n in g p rizes


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Federal Reserve Bank of St. Louis

REM ODELED QUARTERS were on display at the Farmers State Bank, Marion, Iowa,
last month. The main floor of the bank has been changed. New floors and a new lighting
system with a new acoustical tile ceiling have been installed. The new quarters also
have been air conditioned. A new counter has been installed with five teller windows.
New equipment includes a check printer and several new safe deposit boxes.
The new office of W . N. Shellenbarger, president, is shown at the left. At the right is
the main banking room with its five new tellers windows.
Northwestern Banker, June, 1955

98

Iowa News

Honor Clay Stafford
C la y S tafford, p re sid e n t o f th e A m e s
T ru st and S a v in g s B an k , A m e s, Iow a ,
w a s h o n o r e d at a su rp rise d in n e r at­
ten d ed b y 76 frie n d s last m o n th in o b ­
s e rv a n ce o f h is 40 y e a rs in b a n k in g .

Honor Lee Holland
L ee A. H olla n d , im m ed ia te p ast p r e s ­
id en t o f th e Io w a B a n k ers A s s o c ia tio n
and e x e c u tiv e v ic e p re sid e n t o f th e
W a s h in g to n State B an k , W a s h in g to n ,
Iow a , w a s r e c e n tly p resen ted th e C o m ­
m u n ity S e rv ice A w a r d b e s to w e d a n n u ­
a lly b y th e W a s h in g to n R o ta r y C lub.
M r. H olla n d h as ta k en p a rt in n u ­
m e ro u s a ctiv ities, in c lu d in g th e C o m ­
m u n ity C hest, o f w h ic h h e w a s o n e o f

th e o rig in a to rs in W a s h in g to n ; m e m ­
b e rsh ip on the b o a rd o f e d u ca tion ,
and in h e lp in g w ith m a n y c o m m u n ity
e n te rp rise s and p r o je c ts .

Ames Ad Campaign
“ A S alu te to P u b lic S e r v ic e ” is th e
title o f a series o f a d v e rtis e m e n ts
w h ic h has b e e n p u b lis h e d in th e
n e w sp a p e rs b y th e U n ion S to ry T ru s t
& S a v in g s B ank, A m e s, Iow a .
T h e th em e o f th e ca m p a ig n , a c c o r d ­
in g to M o rtim e r G o o d w in , p resid en t,
w a s to r e c o g n iz e an d fo c u s a tten tion
o n th e g o o d w o r k b e in g d o n e b y fa ith ­
fu l citize n s in e v e r y d iv is io n o f th e
lo ca l g o v e r n m e n t, su ch as th e t o w n ­
sh ip, city , c o u n t y and state.

DROVERS NATIONAL BANK*
IS STRATEGICALLY LOCATED
TO GIVE FAST COLLECTION SERVICE

The Drovers National Bank is strategically located at
the hub of a tremendous industrial empire . . . the
Union Stock Yards, the Packing House area, the Cen­
tral Manufacturing District and the great industrial
areas of the South Side. Many banks and firms are
using our direct collection service because of its con­
venience and speed. We are collecting agents for a large
number of firms located in this industrial area. We
invite your inquiry.
*The Drovers National Bank is a direct member of the Chicago Clearing
House Association and the Federal Reserve System. It has 'provided
continuous service to correspondent banks since February 12, 1883.

N E W L Y REM ODELED— Exterior view of
Titonka Savings Bank, Titonka, Iowa, is
shown here as it was completed recently.

Cantrii Celebration
O pen h o u s e w a s h e ld b y th e State
S a v in g s B an k , C an trii, Iow a , last
m o n th to o b s e r v e th e 25th a n n iv e rs a ry
o f th e ban k . O ver 1,000 p e o p le atten d ed
th e fu n c tio n in w h ic h th e b a n k s p o n ­
sored a d a n ce and g a v e s o u v e n ir s to
all w h o a tten d ed th e o p e n h ou se. T h e
C an trii L io n s C lu b h a d a fr e e p a n ca k e
fe e d s e r v in g c o ffe e and p o p c o r n . T h e
c lu b had also p r e v io u s ly ask ed th e
m e rch a n ts to p a in t th e sto re fr o n ts
w ith c o o p e r a tio n fr o m all.

Laurel Open House
O pen h o u s e w a s h e ld on J u n e 7, b y
th e P e o p le s S a v in g s B an k , L a u rel,
Iow a, in o b s e r v a n c e o f th e b a n k ’ s
46th a n n iv e r s a r y an d th e r e c e n tly r e ­
m o d e le d q u a rters, a c c o r d in g to a r e ­
p o r t fr o m L e w is L. H olla n d , ca sh ier.
C offee and d o u g h n u ts w e r e serv ed an d
re m e m b ra n ce s w e r e p re s e n te d to th o se
atten d in g .

New London Change

DroversBanks
Drovers National Bank and Drovers Trust & Savings Bank

UNION STOCK YARDS, CHICAGO 9, ILLINOIS
Members, Federal Deposit Insurance Corporation

COMBINED RESOURCES OVER ONE HUNDRED MILLION DOLLARS
N oFRASER
r t h w e s t e r n B a n ke r, J u n e , 1955
Digitized for
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

T h e N e w L o n d o n State B an k , N e w
L o n d o n , Iow a , op e n e d fo r b u sin e ss last
m o n th as a re su lt o f a m e r g e r b e tw e e n
th e Io w a State B a n k an d th e F a r m e r s
State B a n k o f th a t city .
O fficers o f th e n e w in stitu tio n a re:
E. A . H a y es, c h a irm a n o f th e b oa rd ;
D on a ld J. B ell, p re sid e n t; C. L. J e n ­
n in g s, v ic e p re sid e n t; R. C. E c k e y ,
ca sh ier; E. N. S m ith, assista n t ca sh ier,
and R o n a ld R itc h e y , assistan t ca sh ier.

Waverly Correction
In

th e

w estern

A p r il issu e o f th e N o rth ­
B a n k e r it w a s a n n o u n ce d th at

E d E n g e lb r e c h t, v ic e p re s id e n t o f th e
F ir s t N a tion a l B a n k , W a v e r ly , Iow a ,
w a s re tirin g . T h is item w a s in error,
sin ce M r. E n g e lb r e c h t d oes n o t c o n ­
tem p la te r e tir in g at th is tim e.

99

B ank fin a n cin g
helped this
broiler grow er
prosper!
MR .

AND

MRS.

BIERBAUM

„Just two years ago, Mr. and Mrs. C. H. Bierbaum,

PLAN

FOR

THE

FUTURE

B A N K E R L IK E S
B R O IL E R FIN A N C IN G

Route No. 1, Montgomery, Michigan, obtained
a loan for broiler production from The First
National Bank of Fremont, Indiana. Today, the
Bierbaums have paid for all of their broiler
equipment and have additional money saved
from the birds they have produced. They have
made a profit on every broiler raised on the
Purina Broiler Program.
Thanks to the careful supervision of their local
Purina Dealer and the loan from The First
National Bank of Fremont, this Michigan farm
couple has made additional profits from their
60-acre farm and brought more prosperity to
the trade territory.
For additional information about profitable
poultry and livestock financing you will want to
visit with our Purina Salesman serving your
trade area. He is a businessman and knows how
feeding operations of Purina customers in the
area he covers are currently financed. If you don’t
know his name and address, to invite him to drop
in and see you, write Ralston Purina Company,
1626 Checkerboard Square, St. Louis 2, Mo.

RALSTON


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Federal Reserve Bank of St. Louis

P U R IN A

“ Careful supervision o f the flocks by the local
Purina Dealer is the principal reason I have
financed broiler growers,” says Mr. Wayne Sidel,
Cashier, The First National Bank of Fremont,
Indiana. Mr. Sidel (above) is talking with Purina
Dealer Clark Floltzman, o f the Floltzman Hatch­
ery, Angola, Indiana.
“ W e financed the first Purina-fed broiler flock
in February o f 1 9 5 4 ,” says Mr. Sidel. “ T o date,
we have increased that service to 15 growers.
Collections are simplified because o f the fine job
o f supervision by the Purina Dealer. This super­
vision is the principal reason we have financed
broiler growers in this area.
“ I recently directed a potential broiler grower
to the local Purina Dealer because o f the suc­
cess we have had fin an cin g Purina broiler
growers through the cooperation o f the local
Purina Dealer.
“ It is my feeling you can’t beat the Purina broiler
financing program. It protects the feeder, the
Purina Dealer and the banker as w ell.”

PARTNERS

IN

PROSPERITY

COM PANY

St. L o u is 2 , M o.

N o r t h w e s t e r n B a n k e r, J u n e , 1955

100

Iowa News

D es M o in e s N ew s
O B ER T W . M cG E E w a s p r o m o te d
fr o m assista n t v ic e p re sid e n t to
v ic e p re sid e n t b y d ir e c to r s o f th e V a l­
le y B a n k an d T ru s t C o m p a n y last
m on th . H e jo in e d
th e V a lle y B a n k
staff in 1950, w a s
e l e c t e d assistan t
ca sh ie r in
1952
an d a d v a n ce d to
a s s i s t a n t v ic e
p re sid e n t in J a n ­
uary, 1954.
D ire cto rs o f th e
bank a l s o p ro­
m o te d Richard D.
Hulse fr o m a ssist­
ant ca sh ier to assistan t v ic e p resid en t.
H e jo in e d th e b a n k in 1948.

R

A b o u t 80 b a n k a u d itors an d c o m p ­
tro lle rs a tten d ed th e an n u a l all-day
se ssion o f th e Central Iow a Confer­
ence o f th e N a tion a l A s s o c ia tio n o f
B an k A u d ito r s a n d C o m p tro lle rs in
Des M oin es r e ce n tly .
T h e m e e tin g
w a s h eld at H o te l F o r t D es M oin es.
*

>i= *

Scott C. Pidgeon, p re sid e n t o f th e
B a n k ers T ru s t C om p a n y , and o th e r in ­
v e s to r s h a v e a cq u ired a su b sta n tia l
b lo c k o f s to c k in th e U n io n State
B a n k in W in te rs e t, Iow a .

* * *
David G. W right, ca sh ie r o f th e State
B a n k o f D es M oin es, has b e e n ele cte d
p re sid e n t o f th e D es M oin es C h a p ter
o f th e A m e r ic a n In stitu te o f B a n k in g.
H e su cce e d s E . Leslie Greaves, o f th e
Iow a -D es M oin es N a tion a l B ank.

S E R V I N G THE BANKS OF F O U R S T A T E S

O th er officers are Charles Drees,
B a n k ers T ru s t C om p a n y , first v ic e
p resid en t; W illiam Greaves, C en tral
N a tion a l B a n k a n d T ru s t C om p a n y ,
se c o n d v ic e p resid en t; Nancy Atwood,
F ir s t F e d e ra l State B ank, s e cre ta ry ;
Joseph Goldbach, Iow a -D es M oin es
N a tion a l B ank, trea su rer, an d Mary
Harry, C en tral N a tion a l B a n k and
T ru s t C om p a n y , ch a irm a n o f th e w o m ­
e n ’ s co m m itte e .
* *
A p p r o x im a te ly 650 p erson s, m o s tly
e x e c u tiv e officers o f 261 sa v in g s an d
b u ild in g and loa n a sso cia tio n s in Iow a,
M in n esota , M issou ri, N orth D ak ota
and S ou th D akota, a tten d e d th e 22nd
a n n u al m e e tin g o f s to c k h o ld e r s o f th e
F e d e ra l H o m e L o a n B a n k o f D es
M oin es.
Robert J. Richardson, p re sid e n t o f
th e D es M oin es F e d e ra l H om e L oa n
B ank, said th e b a n k ’s m e m b e r a s s o ­
cia tion s s h o w e d th eir g rea test g ro w th
in 1954, w ith assets in cre a s in g 20.9
p er cent.
T h e F e d e ra l H o m e L oa n B a n k o f
D es M oin es has 75 loa n a s s o cia tio n
m e m b e rs w ith assets e x c e e d in g $360
m illion . T h e y re p re se n t 96 p er cen t
o f th e sa v in g s and b u ild in g a n d loan
assets o f th e state, M r. R ich a rd so n
said.— E n d .

New Auto Bank
A n e w a u to b a n k has b e e n in sta lled
b y th e C o u n cil B lu ffs S a v in g s B an k ,
C o u n cil B lu ffs, Io w a , a c c o r d in g to a
r e p o r t fr o m L e w is R oss, p resid en t.
T h e n e w fa cilitie s are d esig n ed to
ease p a rk in g p ro b le m s and sa v e tim e.

Chariton Changes

COOPERATION . . .
/I n

G eorg e R. G arton , p re s id e n t o f th e
F irs t State B an k , C h ariton , Iow a , h as
a n n o u n c e d th a t L en a M. N orm a n , fo r ­
m e r ly assista n t ca sh ier, has b een
n a m ed ca sh ier.

important part of each of our services to

our correspondent banks is cooperation. You can depend
on the Security to cooperate with you . . . whatever your

Since
1905

needs.

If

there is any banking service you need in

Sioux City . . . call on us . . . we will do our best to
assist you.

• The latest
equipment and
methods, plus a
friendly attitude,
are geared to be
of service to
you at any time.

Security National Bank

MEMBER
FD!C
FRS

Sioux City, Iowa
The Friendly

Member Federal Deposit Insurance C o rp o ratio n

AMERICAN TRUST & SAVINGS BANK
Dubuque, Iowa

N o r t h w e s t e r n B a n ke r, J u n e , 1955


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

101

MARQUETTE NATIONAL BANK
OF

M I N N E A P O L I S


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

MEMBER

FEDERAL

•

SEVENTH

DEPOSIT

INSURANCE

AT

MAR QU E T TE

CORPORATION

N o r t h w e s t e r n B a n k e r, J u n e , J9 S S

102

lowa News
er c e ilin g w ith a co u stica l tile in stalled .
R e m o d e lin g in clu d e d a n e w fr o n t o f
R o m a n b r ic k and th e rm o p a n e w ith an
a lu m in u m fra m e d g la ss d oor. A n a lu ­
m in u m fa ce d c a n o p y p ro te cts th e e n ­
tra n ce and o n to p o f th e c a n o p y th e
b a n k n a m e a p p ea rs in g re e n p la stic
letters.

Oskaloosa Plans
R e m o d e lin g p lan s fo r th e M ahaska
State B an k , O skaloosa, Io w a , are n e a r­
in g co m p le tio n . A n e w glass fr o n t has
b e e n added and in te r io r w o r k is m o v ­
in g ahead. W a ln u t m illw o r k fo r th e
b a n k in te r io r has b e e n m ad e b y th e
J a e g e r M a n u fa ctu rin g C om p a n y , D es
M oin es.

A n e w v a u lt, b u ilt a c c o r d in g to s p e c i­
fica tion s fr o m th e D ie b o ld S afe C om ­
p a n y , has b een b u ilt in th e w e s t en d
o f th e n e w b u ild in g . T h e m a ssiv e
v a u lt d o o r at th e e n tra n ce o f th e v a u lt
w a s a lso b u ilt b y th e D ieb old S afe
C o m p a n y and is o n e o f th e ir latest
ty p e d oors. D e p o sit b o x e s are all in

Titonka Completes Plans
T h e T ito n k a S a v in g s B ank, T iton k a ,
Iow a , is n o w d o in g b u sin ess in its e n ­
la rg ed an d re m o d e le d b a n k in g h om e.
A b u ild in g w a s c o m p le te ly reb u ilt,
r o o f r e n e w e d and in su la ted and a lo w ­

P p w e rt c h a r a c t e r is t ic , o r m a n n e r o f o p e r â t jo n o f & n im p e llin g o r e ffic ie n t c a u s e (se e c a u s j e 1 v - hencf»
th e f c t m c ü v e c h a ra c te r of a n o p e r Ä a g S r fc r c e ^

It is absurd U credit inert mass with eßciency.

James Ward

r « U t V s P . a d e f in it e k in d
c o m n e h n e b , ? t K i atl d •a d ->U5t? ' <ÿ l t o f m e a n s to a n e n d ;
as’
e fficie n cy o f th e n a v y ,

B

a c t u d aCndVo o - ? h f t Ur2n p s rn| asu <
re(j *-»' a c o m p a r is o n

of

la w -

■rnotom.Luminous efficiencv

» » ?

/.

f

T

1' a s to r a g e b a t t e r y ,.

| m c i e n c y , in c o m p e t e n c e ; im p o t e n c e : im th lffi

Efficiency in handling your
correspondent banking needs
is one of many reasons why
The First National Bank is

EFFICIENT CORRESPONDENT BANKING SERVICE
better suited to serve you.
Contact any of the officers
listed below for complete in­
formation.
JO E T. G R A N T
President
HAROLD V. BULL
Senior V ice Pres.
W I L L IA M L. T E M P L E
V ice Pres.
E A R L E. S N E L L
Vice Pres.

H A R O L D H. S T R IF E R T ,
Cashier
EDW ARD V. HOFFM AN
A sst. Vice Pres.
E R N E S T A . JO H N S O N
A sst. Vice Pres.

th e n e w v a u lt, th e b o x e s h a v in g b een
m o v e d fr o m th e o ld v a u lt an d a la rg e
n u m b e r o f n e w on es added. N ea r th e
v a u lt e n tra n ce a re p riv a te b o o th s fo r
u se o f d e p o s it b o x cu sto m e rs.
T h e floors are o f M a r-F lex , a p r e p a r ­
a tion o f m a g n esia p o w d e r and m a rb le
ch ip s in a lig h t c o lo r e d p a ttern , L ig h t ­
in g is fr o m flu o re sc e n t fix tu re s h u n g A
u n d er th e a co u stica l tile ceilin g .

Madrid Open House
T h e C ity State B a n k , M adrid, Iow a ,
h eld o p e n h o u s e last m o n th in th eir
n e w and m o d e r n b a n k b u ild in g , g iv in g
th e p e o p le in th e M adrid area an o p ­
p o r tu n ity to v ie w th e ir m a n y up-tod ate b a n k in g fa cilitie s.
F iv e te lle r w in d o w s are p r o v id e d
a lon g w ith a sp a cio u s lo b b y , e lim in a t­
in g co n g e s tio n d u r in g b u s y h ou rs,
w h ile o ffice rs ’ q u a rte rs are su fficien tly
re m o v e d to a v o id d istu rb a n ce . P riv a te
c o n s u lta tio n ro o m s are also p r o v id e d .

Organize Dysart Bank
T h e D y sa rt N a tion a l B an k , D y sa rt,
Iow a , cea sed to d o b u sin e ss last m o n th
and in its p la ce a state b a n k has b e g u n
op e ra tio n .
S to ck h o ld e rs o f th e D y sa rt N a tion a l
B a n k v o te d to m a k e th is ch a n g e and
th e n e w b a n k h as b e e n a p p ro v e d b y
th e Io w a B a n k in g D ep a rtm en t. T h e
n e w ba n k , to b e k n o w n as th e D y sa rt
State B a n k , w ill b e ca p ita lized at $75,000, w h ic h is $10,000 m o r e th a n th e
p r e v io u s in stitu tio n .
T h e in c o r p o r a to r s o f th e state b a n k
are R . H. G riffin, F. H. S ch m id t, G. H.
G riffin, E. J. S ch m id t, J o h n D re w s and
Ja m es W ils o n , th e p re se n t b o a rd o f d i­
re cto rs o f th e D y sa rt N a tion a l.

Carl D. Peterson
C arl D. P e te rso n , p re s id e n t o f th e
C lim b in g H ill S a v in g s B a n k , C lim b in g
H ill, Io w a , d ied r e c e n tly w h ile v a c a ­
tio n in g in F lo rid a .

Elect M. G. Addicks
M. G. A d d ick s, p re s id e n t o f th e C iti­
zen s State B a n k , D o n n e llso n , Iow a ,
w a s e le cte d p re sid e n t o f th e D o n n e ll­
son L io n s C lu b re c e n tly .

E R N E S T A . K E N N Y , JR.
A sst. V ice Pres.
HOM ER V . GARRETSON
Asst. Cashier
G EO RG E D. V IN S O N
Asst. Cashier
M E R L E H. J O H N S O N
Trust Officer

A

CO N FID EN TIA L,

PER SO N A L

S ER V IC E

Founded on More Than 30 Years Experience
A ll N e g o t i a t i o n s C o n f id e n t ia l
The

Satisfacto ry

M atters

of

Q ualified
Know -H ow

N

That

Com es

a

In

Bank

In v o lv e s

A d d itio n

Purchaser,

O n ly

from

to

Long

M any

Fin d ing

the

S k il l

a

and

Expe rie nce

O u r E x p e r ie n c e C a n H e lp Y o u
W rite

a t io n a l

Ban k

M E M B E R

F E D E R A L

D E P O S IT

I N S U R A N C E

M E M B E R

F E D E R A L

R E S E R V E

S Y S T E M

N o r t h w e s t e r n B a n ke r, J u n e , 1955


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

of

A c ce p ta b le

Also Important.

Is

F ir s t

Sale

Im portance.

and

in

Sio

u x

C O R P O R A T I O N

C

or

In vite

No

Cost

Us
Us
to

In

C o nfiden ce

to

C all

for

a

About

Your

Personal

P ro b le m —

Conference — at

You.

it y

Bankers Service Company
BOX 1435

•

DES MOINES 5. IOWA

•

TELEPHONE 2-7800

a

103

PersimsT i m i '

7 . 0 0 0

I tim i» '

ford, Mrs. Ralph Eastburn, wife of the Fairfield bank’s presi­
dent, J. C. Blackford, vice president, Union Bank and Trust
Company, Ottumwa, and Mrs. Max von Schrader, wife of the
president, Union Bank and Trust Company, Ottumwa. A t the
right, James B. Nelson, left, demonstrates one of his many cast
iron mechanical banks for Frank Moorman, A. Moorman and
Company, Minneapolis. An exterior view of the new Fairfield
bank is shown on page 46.

A T THE REM ODELING open house of the Iowa State Bank
and Trust Company, Fairfield, Iowa, last month, officers of the
bank paused for a moment in the president’s office for a picture
by the N orthw estern B an k er cameraman. Seated around Ralph
Eastburn, bank president, are, left to right: E. G. Linder and C.
W . Eastburn, assistant cashiers, and W . B. Griffith, Jr., cashier.
J. M. Simmons, vice president, was absent at the time. Center—
Touring the bank’s interior are, left to right, Mrs. J. C. Black­

N E S T IM A T E D 7,000 p e rso n s filed
th ro u g h th e n e w Io w a State B a n k
and T ru s t C o m p a n y b u ild in g in F airfield, Io w a , last m o n th to v ie w th e
b a n k ’ s n e w ly c o n s tr u c te d h om e.
S ev era l sp ecia l fe a tu re s h e lp e d to
h ig h lig h t th e o p e n in g .
C a rlton W il­
son , W a s h in g to n , Io w a , a ttorn ey , and
D elzell G reen , F a irfield , d isp la y e d

A

it

th eir U. S. co in and p a p er m o n e y c o l­
le ctio n s, w h ile Ja m es B. N elson , F airfield, a ttra cted a grea t deal o f a tten ­
tio n w ith h is u n iq u e d isp la y o f ca st
ir o n m e ch a n ica l b a n k s.
T h e b ea u tifu l n e w b u ild in g , p ictu re d
on p a ge 46, w a s d e s ig n e d b y A . M o o r ­
m an an d C om p a n y , M in n ea p olis, and
c o n s tr u c te d b y C on n er B ro th e rs, Si­

g o u r n e y , Iow a .
M u sic fo r th e o c c a ­
s io n w a s fu r n is h e d b y M rs. E . G.
L in d e r at th e orga n .
M ore th an 80 b o u q u e ts w e r e r e ­
ce iv e d fr o m in d iv id u a ls, b a n k s and lo ­
ca l b u sin ess h ou ses. T h e s e w e r e d o ­
n ated to th e lo ca l c h u r ch e s and h o s p i­
tals o n th e d a y fo llo w in g th e open
h ou se.

through Home Improvement!

Im p r o v e m e n t. . .

An improved home means improved profit if the
loan to m ake it possible is issued by your
institution. W hether a house is being made warmer
or cooler, higher or wider, getting a new roof
or a new garage, it means profit —
if you get the business.


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

A big help in getting it is to offer credit life,
accident and health insurance. Your customers’ pennies protect
their dollars, and you gain in good will. A call, wire or
letter will bring the man from Old Republic to your desk with full details.

»CREDIT LIFE INSURANCE COMPANY
b

Jam es H. Ja rre ll, President
307 N. M ichigan A venue, Chicago 1, Illinois
N o r t h w e s t e r n B a n ke r, J u n e , 1955

104

Iowa News

iit'tmp
AMeetinyA
Fine S p ea k ers. T im ely T opics
E C O R D a tten d a n ces w e r e re p orted
all o v e r th e state last m o n th at
th e eig h t g ro u p m e e tin g s o f th e Iow a
B a n k ers A sso cia tio n .
F in e w e a th e r
an d a gala a rra y o f w e ll-k n o w n sp e a k ­
ers c o n tr ib u te d to th e g o o d tu rn ou ts.
A s p rin g ra in th e first d a y in C ou n cil
B lu ffs lasted o n ly five o r ten m in u tes
and a sh o rt th u n d e r s to r m at T ip to n
th e last d a y o f th e first w e e k ’s m e e t­
in gs had n o e ffe ct on a tten d a n ce, and
th e w e a th e r fo r th e rest o f th e first
w e e k ’s m e e tin g s and all o f th e s e co n d
w e e k o f m eetin g s w a s p e rfe ct.
T h e re w a s p le n ty o f g olf, v is itin g
and “ sh op ta lk ” in a d d ition to th e
e x c e lle n t b u sin ess m e e tin g s and talks,
an d b a n k ers th r o u g h o u t th e state saw
p lea sa n t c o u n t r y clu b s and fine n e w
g ra d e an d h ig h s c h o o l b u ild in g s
w h ic h are p a rt o f th e Io w a p r o g r e s ­
siv e e d u ca tio n a l sy stem .
E x c e r p ts fr o m so m e o f th e s p e a k e r s ’
d iscu ssio n s fo llo w :

R

Dr. Arthur A . Smith, v ic e p resid en t
and e c o n o m is t o f th e F irs t N ation al
B an k o f D allas, T exa s, b e lie v e s th at
th e dolla r, n o w w o r t h 52 cen ts, w ill
d ro p to a v a lu e o f 25 cen ts in his life ­
tim e. “ C redit is n ’t ba d as lo n g as it
d o e s n ’t in cre a se th e tota l b u rd e n on

cu r r e n t in co m e . T h e b ig g e s t d a n g er
in cre d it is in its a b u se ra th e r th an
u s e .”
* * *
N. P. Black, state su p e rin te n d e n t o f
b a n k in g , r e p o r te d th a t Io w a b a n k s
had th e b est y e a r in th e ir h is to r y and
s h o w e d a n et p rofit o f $22,700,000. In
1954, Io w a b a n k s m a d e $3,600,000 p r o f­
it fr o m th e sale o f g o v e r n m e n t b on d s.
A t th e n o r th e r n g ro u p , E . B. W ilk in ­
son, assista n t to M r. B lack , g a v e th e
r e p o r t on Io w a ban k s.
* * *
King R. Palmer, state d ir e c to r o f th e
sa v in g s b o n d d iv is io n o f th e T r e a s u r y
D ep a rtm en t, said 75 p er ce n t o f g o v ­
e rn m e n t b o n d s a re b e in g h eld and
o n ly 25 p er ce n t are b e in g cash ed. On
J a n u a ry 1, 1955, 21 p er ce n t o f th e
n a tio n a l d eb t w a s in sa v in g s bon d s.
* * *
Byron L. McKee, p re s id e n t o f th e
Io w a B a n k ers A s s o c ia tio n an d e x e c u ­
tiv e v ic e p re s id e n t o f th e M u sca tin e
B a n k an d T ru s t C om p a n y , u rg e d b a n k ­
ers to “ get m o r e y o u n g p e o p le in te r ­
ested in e n te rin g th e b a n k in g b u s i­
ness, an d to m e e t th e co m p e titio n
w h ic h b a n k s fa ce fr o m o th e r in s titu ­
tio n s an d in d u stries w h ic h are s e e k ­
in g th e e m p lo y m e n t o f y o u n g p e o p le .”

A Strong Bank Since 1856

Oldest Bank

Iowa's

Frank W arner, s e c r e ta r y o f th e
Io w a B a n k ers A s s o cia tio n , r e p o r te d on
th e re ce n t Io w a leg isla tu re, an d said
“ th ere w e r e 1,049 b ills in tro d u ce d , 266
o f w h ich a ffected b a n k in g . O ne b ill,
w h ic h w a s passed, n o w g iv e s ba n k s
th e rig h t to o w n rea l estate w h ic h is
u sed fo r p a rk in g p u rp o se s b y c u s to m ­
ers.
T h e in sta llm en t loan la w w a s
im p r o v e d an d a m en d ed an d Io w a n o w
is on e o f n in e states w ith th e b e s t la w
o f th is k in d on its b ook s. T h e le n d in g
p e r io d is n o w 37 m on th s, w ith $2,500
as th e m a x im u m a m o u n t len d a b le u n ­
d er th e la w .”
* * *
Ben S. S u m m er w ill, p re sid e n t o f the
Io w a State B a n k and T ru s t C o m p a n y
o f Io w a C ity, an d p re sid e n t o f th e
State B a n k D iv is io n o f th e A .B .A .,
g a v e a r e p o r t on w h a t h is d iv is io n is
d oin g .
H e said a lso in r e fe r r in g to
F ra n k W a rn e r, “ H e is on e o f th e grea t­
est state b a n k secre ta rie s in th e n a ­
tion an d th e A .B .A . has m a n y tim es
tried to in d u ce h im to co m e to N e w
Y o rk , b u t he has p r e fe r r e d to sta y
in Io w a .”
* * *

.1. N. Christenson, assista n t to th e
p resid en t, Q u a l i t y P a rk E n v e lo p e
C o m p a n y o f St. P aul, sp o k e on “ P e r ­
son a l P o w e r in th e A to m ic A g e ,” and
said, “ L e t ’s be a rch ite cts and n o t ju st
b u ild in g in s p e c to r s ” . . . “ d o n ’t m a k e
h a p p in ess a d estin a tion , m a k e it a w a y
o f life ” . . . “ it ’s n o t n a tion s th a t fail,
it ’s in d iv id u a ls th at fa il.” . . . “ th e
m o re th e g o v e r n m e n t ca n d o fo r y o u
th e m o re th e g o v e r n m e n t ca n d o to
y o u ” . . . “ th e U n ited States u sed to
be k n o w n as th e m e ltin g pot, b u t n o w
it is th e p re ssu re c o o k e r ” . . . “ d a r k ­
n ess p r o d u c e d th e la m p and fo g th e
co m p a s s .” — E nd.

Our 100th Year of Continuous Banking in
Southwest Iowa. Complete Commercial
Banking, Including Trust, Safe Deposit,
Installment Loans and Auto Teller Service.

CBUNCIL BLUFFS SAVINGS BANK
C O U N C IL BLU FFS, IO W A
Member Federal Deposit Insurance Corporation

Scarborough’s Transit Cash Letter Policy now insures

against loss of "on us” checks and pays "extra expenses”
in case of loss. It saves far more than it costs. Write
for details.

o r t h w e s t e r n B a n ke r, J u n e , 1955
Digitized forNFRASER
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Federal Reserve Bank of St. Louis

=
|
=

Scarborough &
TjäCompany ,,s“'°n'eC
o

u n s e lo rs to B a n k s

FIRST N A T I O N A L BANK B U I L D I N G . C H I C A G O 3, I LL I N O IS . STate 2- 43 2 5

Iowa News

GROUPS 5, 10, 6 A N D 8, Iowa Bankers Association, held
meetings recently in Council Bluffs, Centerville, Knoxville and
Tipton, respectively. Even though there was a quick spring rain
at Council Bluffs and a short, but noisy thunderstorm at Tipton,
attendance was high at all four meetings. Pictured above, left
to right, are some of the people in attendance at these meetings:
1. Joseph G. Knock, president, Iowa State Savings Bank,
Creston, newly-elected chairman of Group 5, and Ed H. Spetman, Jr., auditor and assistant cashier, newly-elected secretary,
Group 5.
2. E. T. Tanner, assistant vice president, First National Bank
of Omaha, and L. W. Ross, president, Council Bluffs Savings
Bank.
3. Lloyd. P. W ay, vice president and director, State Bank of
Bussey; K . H. Bean, president of the Marion County State
Bank, Pella; William W . Burrell, president, Pleasantville State
Bank, Pleasantville ; Ed G. Doughman, president, State Bank of
Bussey, and Walter Brown, manager, farm service department.
Community National Bank and Trust Company, Knoxville, at
the Group 6 meeting.
4. R. K McGee, executive vice president, Clarke County State
Bank, Osceola, and chairman, Group 10; John H. Young, presi­
dent, First National Bank and Iowa Trust and Savings Bank,
both of Centerville; Dr. Arthur A . Smith, vice president and
economist. First National Bank, Dallas, Texas; King R. Palmer,
state director, U. S. Savings Bond Division; Robert F. Malmberg, vice president and cashier, Centerville National Bank.
5. E. L. Job, president, Community National Bank and Trust
Company, Knoxville; Eagle Plume, Blackfeet Indian Tribe,
America’s foremost interpreter of Indian Lore, Life and Culture;
and Dave Stirling, Rocky Mountain National Park artist and
painter, the last two being speakers at the women’s meeting.


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Federal Reserve Bank of St. Louis

105

6. Everett M. Griffith, vice president, Iowa-Des Moines N a­
tional Bank, Des Moines, who gave response to welcome at the
Knoxville meeting; Joy C. Collins, president, Iowa State Sav­
ings Bank, Knoxville; N. E. Kelly, president, Farmers and Mer­
chants State Bank, Winterset, and chairman, Group 8, and J. R.
Drake, president, Pella National Bank, and secretary, Group 6.
7. N. P. Black, state Superintendent of Banking; Byron L.
McKee, executive vice president, Muscatine Bank and Trust
Company, and president, Iowa Bankers Association; John B.
Keeline, president, Central Trust and Savings Bank, Cherokee,
and vice president, Iowa Bankers Association (inset is Mrs.
Keeline, first runner-up to “ Miss Iowa Banker” at the 1954 Iowa
Bankers Association convention) ; and Edward Burchett, presi­
dent, Exchange Bank, Bloomfield, and chairman of the board,
Valley Bank and Trust Company, Des Moines, and secretary of
Group 10.
8. Domingo R. Paulino, inspector of branches, Philippine N a­
tional Bank, Manila, and Keith M. Barnett, vice president,
Northwestern National Bank of Minneapolis. Mr. Paulino has
been sent to the United States by his bank for one year’s train­
ing and observation regarding agricultural credits. He has al­
ready spent three months with the National Bank of Commerce
in Seattle, two months with the Anglo California National Bank
of San Francisco and is presently spending two months with
the Northwestern National Bank of Minneapolis.
9. L. G. Suchomel, executive vice president, Tipton State
Bank, and president, Cedar County Bankers Association; Ed­
mund W . Braack, vice president, Davenport Bank and Trust
Company, and chairman, Group 8; Dr. Smith; and L. S. Lein,
vice president, Jackson State Savings Bank, Maquoketa, and
secretary, Group 8.
Northwest ern Banker, June, 1955

106

Iowa News

H O W BANKS . . .

so u n d d e v e lo p m e n t o f th e c o m m u n ity .

(C o n tin u e d fr o m p a ge 23)
m a n a g em en t. It is th e d e p o s ito r s w h o
tru st th e ir m o n e y w ith th e b a n k w h o
en a b le th e b a n k to g r o w and to m a k e
c o n s e r v a tiv e loa n s, a ssistin g in th e

T h e re p u ta tio n o f th e d ir e c to r d oes
n ot d e p e n d o n th e b a n k , b u t th e r e p u ­
ta tion o f a b a n k , to a g re a t e x te n t, is
th e r e fle ctio n o f th e re p u ta tio n , sta b il­
ity, and in te g r ity o f its d ir e c to r s and

officers. T h e r e fo r e , w h y n o t b u ild o u r
b a n k s o n so u n d fo u n d a tio n s and u se
th e g o o d ju d g m e n t o f th e d ir e c to r s ?
A fte r all, th e n o te ca se is th e h ea rt
o f th e ba n k . I f th e n o te s are n o t g o o d ,
th e b a n k is n o t g o o d . W h o sh o u ld b e
b etter able to ju d g e and ev a lu a te lo ca l
loa n s th an th e lo c a l b o a r d o f d ir e c ­
tors?
H ig h ly r e s p e c te d and s in c e r e m e n
ca n n o t b e u sed as r u b b e r stam ps. Y o u
m u st let th e m h a v e th e c h a n ce to
lea rn th e fa c ts th e m se lv e s. W h y n o t
g iv e th e d ir e c to r s th a t o p p o r tu n ity ?
W o r k m o r e c lo s e ly w ith th em . I am
su re y o u w ill find th e ir ju d g m e n t m o s t
h e lp fu l.— E nd.

Winterset Change
G e o rg e P a u li o f W in te rs e t, Io w a , has
r e sig n e d fr o m h is p o s itio n as assista n t
ca sh ie r at U n io n State B a n k , an d is
n o w a ssocia ted w ith th e F . L . W a r r e n
C o n s tru ctio n C om p a n y .

Bank of America Changes
M a y 31 m a rk ed th e r e tir e m e n t o f
F r e d A . F e r r o g g ia r o , ch a irm a n o f th e
b o a rd o f d ir e c to r s o f B a n k o f A m e rica ,
C a lifo rn ia ’s sta te w id e ba n k .
M r. F e r r o g g ia r o , w h o rose fr o m m e s ­
se n g e r to c h a irm a n o f th e b o a r d o f
th e w o r ld ’s la rg e st p riv a te e n te rp rise
ba n k , w ill c o n tin u e as a m e m b e r o f
th e b o a r d o f d ire cto rs. In a d d itio n th e
v e te r a n b a n k e r w ill s e rv e o n se v e ra l
o f th e b a n k ’ s co m m itte e s .

J. W . T A P P

Û tti

M em ber . . .

Fe d e rai Deposìt

In su ran ce Corporation

Fed erai R e se rv e System

Then, co nso lid ate youi buying
oi bank supplies and printing
from your friendly USCB sales-

U nited States Check B ook Company
Nort hwest ern Banker, June, Ï955


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Federal Reserve Bank of St. Louis

J esse W . T a p p w a s e le cte d ch a irm a n
o f th e b o a r d to s u c c e e d M r. F e r r o g ­
g ia ro. H e has b e e n v ic e c h a ir m a n o f
th e b o a r d and e x e c u tiv e officer in
ch a rg e o f th e S o u th e rn C a lifo rn ia d iv i­
sio n o f B a n k o f A m e rica . H e h as b een
p r o m in e n t fo r m a n y y e a rs in A m e r i­
ca n B a n k e rs A s s o c ia tio n affairs and
c u r r e n tly is s e r v in g as ch a irm a n o f
th e a g r icu ltu ra l co m m is s io n .
D ir e c to r s also a d v a n ce d L lo y d Mazzera fr o m v ic e p r e s id e n t to e x e c u tiv e
v ic e p r e s id e n t and ch a irm a n o f th e
b a n k ’ s g e n e ra l fin a n ce c o m m itte e .

YOUR STATE BANKERS ASSOCIATION
OFFICIAL SAFE, VAULT AND
TIMELOCK EXPERTS

man.
.Reading Time: 5 Seconds |

1311 HOWARD ST.

L. M A Z ZE R A

_____

OMAHA

F. E. DAVENPORT & CO.
OM AHA

Iowa News

GROUPS 4, 7, 3 AN D 2, Iowa Bankers Association, met re­
cently in Manchester, Waverly, Mason City and Estherviile.
Here are some of the people who attended those meetings, all
reading from left to right:
1. Paul Farnsworth, ehairman, Group 4, Iowa Junior Bank
Officers Association, and assistant cashier, Cresco State Bank,
Cresco; L. F. Gericke, president, Iowa Junior Bank Officers A s­
sociation, and assistant cashier, Postville State Bank, Postville ;
Reid C. Giese, assistant cashier, Pirst National Bank, West
Union; Harlan A . Pose, assistant cashier, Pirst National Bank,
New Hampton; Alvin Renaas, assistant cashier, Decorah State
Bank, Decorah, and Lloyd Jensen, assistant cashier, Oelwein
State Bank, Oelwein.
2. S. C. Kimm, cashier, Denver Savings Bank, Denver, secre­
tary and treasurer, Bremer County Bankers Association, and re­
tiring chairman, Group 7; L. H, Fink, cashier, American Savings
Bank, Tripoli, president, Bremer County Bankers Association,
and H. C. Stevens, president, Farmers State Bank, Plainfield,
vice president, Bremer County Bankers Association.
3. Richard W . Brooks, vice president and director of agencies,
North Central Life Insurance Company, St, Paul, and Eugene T.
Hastings, general agent, Waterloo, Iowa, North Central Life
Insurance Company.
4. Frank Warner, secretary, Iowa Bankers Association; A r­
thur A. Satterlee, vice president, Security State Bank, Inde­
Digitized pendence,
for FRASERand new chairman of Group 7 ; Ben S. Summerwill,
chairman of the board, Iowa State Bank and Trust Company,
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Iowa City, president, state bank division, A .B .A ., and A. J,

Federal Reserve Bank of St. Louis

107

Burk, vice president, National Bank of Waterloo, and chairman
of the nominating committee, Group 7.
5. J. V. Keppler, executive vice president and cashier, Pirst
National Bank, Dubuque, who was endorsed by Group 4 for
membership on the executive council of the A .B .À. from Iowa.
6. R. E. Tool, president, Farmers & Merchants Savings Bank,
Manchester, and president, Delaware County Bankers Associa­
tion, and R. L. Jipson, executive vice president, Pirst National
Bank, Oelwein, and chairman of Group 4.
7. Kenneth T. Martin, vice president, First National Bank,
Minneapolis, and C. E. Hagemann, president, State Bank of
Waverly.
8. Standing: W . Howard Stewart, vice president and cashier,
United Home Bank and Trust Company, Mason City, and presi­
dent, Cerro Gordo County Bankers Association, and L. C. Jor­
genson, executive vice president, Citizens State Bank, Iowa
Falls, and retiring chairman of Group 3. Seated: Loren Parr,
executive vice president, Commercial Trust and Savings Com­
pany, Charles City, newly elected chairman of Group 3, and
R. M. Christianson, vice president, Farmers Savings Bank, Joice,
newly-elected secretary of Group 3.
9. Standing: W . L. Vallie, cashier, First National Bank,
Spirit Lake, and secretary, Clay-Dickinson-Emmet-Palo Alto
County Bankers Association, and C. E. Miller, vice president,
Iowa Trust and Savings Bank, Estherviile, and president, ClayDickinson-Emmet-Palo Alto County Bankers Association. Seat­
ed: Vic B. Perkins, president, Farmers State Bank, Whittemore,
and secretary of Group 2, and U. Wendell Low, assistant cashier,
First State Bank, Webster City, and chairman of Group 2.

108

W A N T ADS

INDEX OF
ADYFIKTISHItS

Rates 20 cents per word per
insertion. Minimum: 10 words.
NORTHWESTERN BANKER
306 15th St. Des Moines, Iowa

FOR S A L E
C U M M IN S —
Electric Endorser
Electric Canceller
Hand Canceller
For photograph see inside back cover
of IO W A -N E B R A S K A B A N K D IR E C ­
TO R Y . All equipment guaranteed.
Cummins Business Machines
4775 Decatur Street
Omaha, Nebraska
W A N T E D E X E C U T IV E H E A D
FOR N E W S U B U R B A N B A N K
New bank in midwest city. Deposits
should grow to $10 million. New build­
ing with all parking and other facilities.
Officer wanted would be president and
in complete charge under direction of
board of directors. W rite Box K W E ,
c /o Northwestern Banker, 306 Fifteenth
Street, Des Moines, Iowa.
IN V E S T IG A T IO N S
31 Y ea r’s Experience; Licensed— Bonded.
Phones: 3-6344; N igh ts: 9-0140. Oper­
ators Available— Day or Night. National
A gency
Connections.
SH O AFSTALL
D E T E C T IV E SE R V IC E Member, Allied
Finance Adjusters 529 Flynn Bldg. Des
Moines, Iowa
W A N T E D : Young or middle-aged man
with some loan experience for position
of cashier in only bank of town of 1,000.
Potential opportunity of share in control.
W rite
RAC,
c /o
N ORTH W ESTERN
B A N K E R , 306 15th Street, Des Moines
9, Iowa.
Bank in good Iowa county seat town
wants assistant cashier. W rite JBT, c /o
N O R T H W E S T E R N B A N K E R , 306 15th
Street, Des Moines 9, Iowa, giving quali­
fications.

I

A c o r n P ub lishin g- C o m p a n y ............................ 108
A ll is o n -W i llia m s C o m p a n y ........................... 64
A m e r ic a n E x p r e s s c o m p a n y ........................ 42
A m e r ic a n E x p r e s s F ie ld W a r e h o u s in g
C o rp ............................................................................ 46
A m e r ic a n T r u s t C o m p a n y —
San F ra n c is c o ................................................... 39
A m e r ic a n T r u s t an d S a v in g s B a n k —
D u b u q u e .......................................................... • •100
A s h w e ll and C o m p a n y ....................................... 54

a
B a n k o f A m e r ic a ................................................... 25
B a n k o f M o n t r e a l................................................. 79
B a n k o f N e w Y o r k .............................................. 43
B a n k B u ild in g and E q u ip m e n t Corp. . . 4 - 5
B a n k e r s S e c u rity F ife in s u ra n c e
S o c ie ty ..................................................................... 108
B a n k e r s S e rv ic e C o m p a n y , In c .................... 102
B a n k e r s T r u s t C o m p a n y — D es M o in e s . . 96
B a n k e r s T r u s t C o m p a n y — N e w Y o r k . . . 50
B r o a d r ip p le H o t e l ................................................. 54
31
B u r r o u g h s C o r p o r a tio n .

C

C e n tra l B a n k an d T r u s t C o m p a n y — 91
D e n v e r ...............................................................
C e n tra l N a tio n a l B a n k an d T r u s t
10
C o m p a n y —-D e s M o in e s ...........................
92
C e n tra l R e p u b lic C o m p a n y ......................
C e n tr a l S ta te s H e a lth and A c c id e n t
61
A s s o c ia tio n
C h ase M a n h a tta n B a n k , T h e ...................... 27
C h ile s -S c h u tz C o m p a n y .................................. 90
C ity N a tio n a l B a n k and T r u s t
C o m p a n y — C h ic a g o ....................................... 40
C ity N a tio n a l B a n k and T r u s t
C o m p a n y — K a n s a s C ity ........................... 44
C o lora d o In su ra n c e G r o u p ........................... 58
C o n tin e n ta l Illin o is N a tio n a l B a n k
and T r u s t C o m p a n y ....................................... 45
C o n tin e n ta l N a tio n a l B a n k — L i n c o l n ... 90
C o u n c il B lu ffs S a v in g s B a n k ..........................104
II

95-1 0 6
D a v e n p o rt, F . E ., and C o m p a n y
48
D e L u x e C h eck P rin te rs, In c .....................
108
D e s M oin e s S a v in g s and L o a n A s s n ..
D ie b o ld , In c .......................................................... . 80
D o u g la s -G u a r d ia n W a r e h o u s e Corp. . 95
D r o v e r s N a tio n a l B a n k ................................ . 98
E m p lo y e r s M u tu a l C a s u a lty C o m p a n y . . 60

In v e s to r s D iv e rsifie d S e rv ic e s, In c ......... 64
I o w a -D e s M o in e s N a tio n a l B a n k ..............112
Io w a L ith o g r a p h in g C o m p a n y ..................... 104
I r v in g T r u s t C o m p a n y ..................................... 33
J

J a c k —B ilt ..............
J a e g e r M a n u fa c tu r in g C o m p a n y ...............
J u ra n & M o o d y ......................................................

30
34
66

K
K a lm a n an d C o m p a n y .....................................
K o c h B r o t h e r s ........................................................

69
44

I.
L a M o n te , G e o rg e & S o n ..................................
L a w re n c e W a r e h o u s e C o m p a n y .................
L e e P la s tic M a n u fa c tu r in g C o ...................
L e F e b u r e C o r p o r a tio n ......................
L iv e S to c k N a tio n a l B a n k — C h i c a g o ...
L iv e S to c k N a tio n a l B a n k — S io u x C ity

9
41
58
8
32
72

M
M a rq u e tte N a tio n a l B a n k ...............................101
M e rc h a n ts M u tu a l B o n d in g C o m p a n y .. 60
2
M e rc h a n ts N a tio n a l B a n k .............................
M id la n d N a tio n a l B a n k .................................. 68
M in n e s o ta C o m m e rc ia l M e n ’ s A s s n ......... 71
M o n ro e C o m p a n y , T h e ....................................
30
M o sle r S a fe C o m p a n y ....................................28-29
N

N a tio n a l A u to m o b ile D e a le r s U sed
C ar G uid e C o m p a n y ....................................... 30
N a tio n a l B a n k o f S ou th D a k o t a ............... 73
N a tio n a l B a n k o f T u l s a .................................. 76
N a tio n a l B a n k o f W a t e r l o o ....................... 106
N a tio n a l C a sh R e g is t e r C o m p a n y . . 14-111
N a tio n a l R e s e r v e L ife In s u ra n c e C o ... 70
N o rth C e n tra l L ife In s u ra n c e C o ..............
3
N o r th e rn T r u s t C o m p a n y ............................. 53
N o r th w e s t S e c u rity N a tio n a l B a n k . . . . 75
N o r th w e s te r n N a tio n a l B a n k ...................... 62

O

Old R e p u b lic C re d it L ife In s u ra n c e Co. 103
O m ah a N a tio n a l B a n k ..................................... 85

R
R a ls to n P u r in a C o m p a n y ................................ 99
R e c o rd a k C o rp o r a tio n ..................................5 6-57
R e p u b lic N a tio n a l B a n k o f D a l l a s ............
6
S

S c a rb o r o u g h an d C o m p a n y ..............5 9 -8 4 -1 0 4
S e c u rity N a tio n a l B a n k — S io u x C i t y . . . 100
Sp en cer C h e m ic a l C o m p a n y ......................... 55
S to c k Y a r d s N a tio n a l B a n k — O m a h a .. 89
S to c k Y a r d s N a tio n a l B a n k — S ou th
St. P a u l.................................................................... 68
T

F

F a ir m a n , C h a rle s G., & Sons, In c ............
F ir s t N a tio n a l B a n k — C h ic a g o ...............
F ir s t N a tio n a l B a n k — D e n v e r ...............
F ir s t N a tio n a l B a n k — K a n s a s C i t y . . .
F ir s t N a tio n a l B a n k — L in c o ln ...............
F ir s t N a tio n a l B a n k — M in n e a p o lis . . .
F ir st N a tio n a l B a n k — O m ah a
F ir s t N a tio n a l B a n k in St. L o u i s ............

38
35
88
93
94
67
90
49

T o o tle N a tio n a l B a n k , T h e ....................... 92-93

F

U n ite d S ta te s C h eck B o o k C o m p a n y .
U n ite d S ta te s N a tio n a l B a n k ...............
V

V a lle y N a tio n a l B a n k o f P h o e n ix . . . .
W

W a lt e r s , C h a rle s E ., C o m p a n y .

.106
, 82
70
93

~s

r

That
New MO R T G A G E
P R O T E C T IO N PLAN
Real LOAN BUILDER

Des Moines Savings
and loan Association
Investments
Insured

2 1 0 6th Ave.

II
H a ls e y , S tu a rt an d C o m p a n y , In c .............. 52
H a r r is T r u s t and S a v in g s B a n k ............... 47
H o n o r R o ll— M in n e s o ta ..................................... 69
H u m m e r, W a y n e , an d C o m p a n y ............ 52

JU N E. 1955

“Oldest in Des Moines

Current
High
3%
Dividend

F ir s t N a tio n a l B a n k — St. P a u l ................. 65
F ir s t N a tio n a l B a n k — S io u x C i t y ............ 102
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OAKLAND. IOWA '

o r t h w e s t e r n B a n ke r, Ju n e , 1955
Digitized forNFRASER
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

LIFE DEPARTM ENT

Y.

DES M O IN ES 7, IO W A

J

109

In the

DIRECTOR’S
m M
Real Crazy
J u d g e : W h a t p o s s ib le re a so n can
y o u h a v e fo r a cq u ittin g th is m an ?
F o r e m a n : In sa n ity , y o u r h o n o r.
J u d g e : A ll tw e lv e o f y o u ?

Must Be Informed
She: D arlin g , if
lose m y jo b .

I m arry y ou

I ’ ll

H e: T h e n c a n ’t w e k eep th e m a r­
ria g e a secret?
She: B u t s u p p o se w e h a v e a b a b y ?

Horse Sense
“ W h y d o y o u ca ll y o u r w ife P e g a ­
su s?”
“ W e ll, P eg a su s w a s an im m o rta l
h o rs e and m y w ife is an e tern a l n a g .”

New Opera
T h r e e s lig h tly in eb ria ted g en tlem en
a tten d in g an op e ra w e r e d isa g re e in g
a b ou t th e n a m e o f a c o m p o s itio n th e
o rch e s tra w a s p la y in g . One said it
w a s a s y m p h o n y fr o m M adam e B u t­
terfly. T h e s e co n d in sisted it w a s th e
S ex tette fr o m L u cia . T h e th ird n o ­
tice d a la rg e sig n at th e ed ge o f the
stage and said h e w o u ld w a lk d o w n
and find out.
In a c o u p le o f m in u tes h e retu rn ed .
“ W e ll, w h o w a s r ig h t ? ” in q u ire d
h is pals.
“ Y o u ’re b o th w r o n g ,” said he. “ It’s
th e R e fr a in fr o m S m o k in g .”

Tongue Twister
T h e M an: I w a n t a lo a f o f M u n s ie ’s
B rea d, a p a ck a g e o f K ru n ch ie s, som e
G o o d y S a n n y S pread, Old M a m m y ’ s
L a sses, O ran ge P u lly , a p o u n d o f A u n t
A n n ie ’s su g a r ca n d y , B itsey -B ite size.
C lerk : S orry . N o K ru n ch ie s. H o w
a b o u t K r in k ly K risp s, O atsie-T oasties,
M a lty -W h ea ties, R ic e lte s or E atu m W h e a tu m s?
M an: T h e W h e a tu m s, th en .
C lerk:
A n y th in g else?
T ootsies,
T a te r y C hips, C h eesie W e e s ie s , Ging ile B its, Its e y C akes, S w e e tzie T o o fu m s o r D ra m m a ’s D o u g h n ie s?
M an (t o d d lin g to w a r d th e m ea t d e­
p a r tm e n t): D ot to det som e m eat.

Hidden Desires
A sa ilor and a g irl w e r e rid in g on
h o r s e b a c k ou t in th e c o u n tr y . A s th e y
sto p p e d fo r a rest th e tw o h o rse s
ru b b e d n e ck s a ffe ctio n a te ly .
“ A h , m e ,” said th e sa ilor, “ th a t’s
w h a t I ’d lik e to d o .”
“ G o a h ea d ,” said th e girl, “ it ’s y o u r
h o r s e .”


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

H e: Oh,
cou rse.

w e ’ll

tell

th e

bah y,

of

Strange Movie
A fe llo w w a s te llin g a fr ie n d ab ou t
a m o v ie h e ’d w itn e s s e d th e n ig h t b e ­
fore.
“ T h e h e ro in e ca m e ou t fr o m
b e h in d a b u n ch o f r ib b o n s ,” h e re ­
lated, “ and th e h e ro a p p ea red a lo n g ­
sid e a p ile o f fru it.
T h e v illa in
sn ea k ed in b e h in d som e stra w an d h it
th e h e r o on th e h ead. H e d isa p p ea red
in th e s tra w .”
“ W h a t k in d o f a m o v ie w a s th a t? ”
in q u ire d th e frien d .
“ I k n o w it so u n d s o d d ,” s h ru g g e d
th e first fe llo w , “ b u t th a t’s th e w a y
it lo o k e d to m e. T h e w o m a n in fr o n t
o f m e k ep t h er hat o n .”

d o it,” h e ex p la in ed to h is w o r r ie d
w ife . “ T h a t lin e w a s e v en lo n g e r !”

C O N V E N T IO N S
June 3-4, W yom ing Bankers Associ­
ation, Annual Convention, Sheri­
dan.
June 8-10, Illinois Bankers Associ­
ation, Annual Convention, Jeffer­
son Hotel, St. Louis, Missouri.
June 13-15, Minnesota Bankers Associ­
ation, 65th Annual Convention,
Radisson Hotel, Minneapolis.
June 13-25, Graduate School of Bank­
ing,
Rutgers
University,
New
Brunswick, New Jersey.
June 16-18, Colorado Bankers Assocition, Annual Convention, Colo­
rado Hotel, Glenwood Springs.
June 16-18, Montana Bankers Associ­
ation, 52nd Annual Convention,
Canyon Hotel, Yellowstone Na­
tional Park.
June 20-22, Wisconsin Bankers Asso­
ciation,
Annual
Convention,
Schroeder Hotel, Milwaukee.
July 16-19, Central States Conference,
Hotel Alex Johnson, Rapid City,
South Dakota.

“ C a n ’t h elp it, S o n n y ,” m u m b led th e
o ld fe llo w . “ M y teeth are in it.”

July 24-August 6, School of Financial
Public Relations, FP R A , North­
western University, Chicago.
July 24-August 6, N A B A C School for
Bank Auditors and Comptrollers,
University of Wisconsin, Madison.
September 25-28, American Bankers
Association, 81st Annual Conven­
tion, Chicago, Illinois.
October 10-13, National Association of
Bank Auditors and Comptrollers,
Denver, Colorado.
October
11-12,
Nebraska
Bankers
Association, Annual Convention,
Cornhusker Hotel, Lincoln.
October 13-14, Western Regional Trust
Conference, St. Francis Hotel, San
Francisco.

What A Line!

October 13-16, National Association of
Bank W om en,
Westward
Ho
Hotel, Phoenix.

Sweet Troubles
T h e old m a n in th e m o v ie th ea ter
w a s g r o p in g a ro u n d on th e floor, d is­
tu r b in g th o s e a ro u n d h im .
F in a lly ,
th e u sh e r ca m e d o w n th e aisle and
a sk ed w h a t he w a s lo o k in g for.
“ A ca ra m e l,” th e old g en t rep lied .
“ W h a t!” e x c la im e d th e u sh er. “ D o
y o u m ea n to sa y y o u ’re g o in g to all
th is tr o u b le — d is tu r b in g all th ese p e o ­
p le — ju s t fo r a c a r a m e l? ”

In S ta lin grad , a b a d g e re d and d es­
p era te m an ca m e s to r m in g h o m e to
his w ife .
“ I ’v e h a d en ou g h o f th is
k in d o f liv in g ,” h e sh ou ted .
“ I ’ve
b een sta n d in g in lin e fo r th ree solid
h o u rs at th e to b a c c o sh op , a n d th ere
w e r e still d ozen s ah ead o f m e w h en
I left. G iv e m e m y gu n . I ’m g o in g
to s h o o t th e P rim e M in ister!”
S ev era l h o u rs a fte r h a v in g sto rm e d
ou t w ith h is gun, th e m an re tu rn e d
w ith a v e r y d is co u ra g e d e x p r e s s io n
s h a d o w in g his fa ce. “ H u m p h ! C o u ld n ’t

October 23-26, Iowa Bankers Associ­
ation, 69th Annual Convention,
Hotel Fort Des Moines, Des
Moines.
November 3-4, Midcontinent Trust
Conference, Rice Hotel, Houston.
November 13-16, Robert Morris Asso­
ciates, Annual Fall Conference,
Dallas, Texas.
November
14-18, Financial
Public
Relations Association, Hollywood
Beach Hotel, Hollywood, Florida.
December 1-3, A .B .A . National A gri­
cultural Credit Conference, M or­
rison Hotel, Chicago.

N o r t h w e s t e r n B a n k e r , J u n e , 1955

110

LEGAL

M u st E xecu trix Give Stockholders
Chunce to B u y B eceu sed 9s Stock?
This and Other Questions
Are Answered by the Legal Department

Q.

Many states have statutes that
run to the effect that a creditor may
secure an attachment against a debt­
or’s property Avhere the debt sought
to be collected was fraudulently in­
curred. Attachment actions, generally
speaking, permit a creditor to levy on
a debtor’s property promptly without
AAaiting for a final judgment. Sup­
pose a man knowingly makes a false
financial statement to a bank; and the
bank, in reliance thereon, lends him
money. Suppose further that he does
not repay. Will the bank, generally
speaking, have the right to attach his
property?

Q - An Iowa bank had a corporate
by-law which provided that, if a stock­
holder wished to sell his stock to an
outsider, he should first give to his
other stockholders, for a limited time,
the option to purchase at the price he
had been offered by that outsider. A
stockholder in the bank died and it
became necessary to sell his stock to
wind up his estate. W ould it be neces­
sary for his executrix to give the other
stockholders first refusal rights in
line with the by-laws in such circum­
stances?
N o, a c c o r d in g to a re ce n t r u lin g o f
th e Io w a S u p rem e C ou rt in a ca se in ­
v o lv in g the S e cu rity State B a n k o f
A lle rto n .
In so h old in g , th e co u r t
fo u n d a b y -la w o f th e ty p e h ere m e n ­
tio n e d to be a re s o n a b le re g u la tio n ,
and, as a g en era l p ro p o s itio n , to be
v a lid as to v o lu n ta r y tra n sfe rs.
It
fu r th e r fou n d , h o w e v e r , th at it d id n ot
a p p ly to a situ a tion w h ic h a rises
w h e n , b e ca u se
of
a s to c k h o ld e r ’s
death, tra n sm issio n or d e v o lu tio n o f
h is sh a res is in ev ita b le.

Q.

South Dakota, as do some other
states, has a statute which provides
that, if a person is forcibly ejected or
excluded from his property, he may
recover treble damages in an action
against the wrongdoer. A s an incident
to a purported mortgage foreclosure,
a South Dakota banker was forcibly
ejected from his home and he sued for
treble damages. The ejector sought to
defend on the ground that he acted
in good faith and on advice of counsel.
W a s the defense good?
N o. T h e S ou th D a k ota S u p rem e
C ou rt has so ru le d re ce n tly , sayin g,
“ W h e r e th ere is fo r c ib le e n tr y w ith in
th e c o n te m p la tio n o f th e statute, the
q u estion o f g o o d or bad faith ca n n ot
affect th e rig h t to tre b le d a m a ges and
w h e th e r th e a ct w a s d o n e u p o n a d v ice
Nort
hwest ern Banker, June, 1955

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

o f co u n s e l m a k es n o d ifferen ce. T h e
statu te r e c o g n iz e s th at fo r c ib le e n try
ten ds to a b re a ch o f th e p ea ce and its
o b je c t is to d eter su ch e n tr y w ith o u t
r e c o u r s e to leg a l p r o c e s s .”

Q.

Smith, a banker, was divorced by
bis Avife, and as an incident thereto,
she obtained a judgment for monthly
alimony payments against him. These
were paid by him for a while, but he
subsequently defaulted on them. Still
later he died. At the time of his
death be owed $1000 in payments on
which he had defaulted. Could his
divorced Avife recover them from his
estate?
Y es. W h ile th e d eath o f th e h u s­
b a n d o r d in a r ily te rm in a te s the righ t
o f a w ife to r e c e iv e fu tu re a lim o n y
p a y m e n ts, su ch death d oes n ot te r ­
m in a te h er rig h t to th o se p r e v io u s ly
due. T h e v ie w th at arrea rs o f in ­
sta llm en ts o f a lim o n y a c cru in g d u rin g
th e life o f the h u sb a n d , b e in g e sse n ­
tia lly in th e n a tu re o f an o rd in a ry
debt, s u r v iv e th e d eath o f the h u sban d
and m a y be r e c o v e r e d fr o m h is estate
has b een a p p lied o r r e co g n iz e d in a
n u m b e r o f ca ses in N ebrask a, W is c o n ­
sin, and e lse w h e re .

Y es. It is a m a tter o f w ell-settled
la w th at w h e n a d e b to r has in d u ced
h is cr e d ito r to len d m o n e y to h im b y
m ea n s o f h is fa lse r e p re se n ta tio n s to
th e c r e d ito r re g a r d in g h is fin an cial
c o n d itio n , th e r e s u ltin g in d e b te d n e ss
to th e c r e d ito r is on e w h ic h has been
fr a u d u le n tly c o n tr a c te d w ith in th e
m ea n in g o f statu tes a u th o riz in g th e
issu a n ce
o f a tta ch m e n t o n
that
g rou n d .
S tates so
r u lin g in clu d e
M in n esota, N ebrask a, W is c o n s in , C o lo ­
rado, K a n sa s an d oth ers.

Q.

A n Iowa banker was appointed
administrator of the estate of one of
his long-time friends and customers
who had died leaving no will. A claim
for a child’s share in the estate Avas
made by an individual \A'ho claimed
to have been adopted by the decedent.
It developed that the adoption statutes
bad not been complied Avith as to that
individual. Did this nullify his claim?
Y es. T h e Io w a S u p rem e C ou rt has
p o in te d o u t in a r e ce n t d e cis io n that
a d o p tio n is s tr ic tly sta tu to ry and that,
“ It is w e ll settled th at o n ly b y strict
c o m p lia n c e w ith th e statu tes g o v e r n ­
in g a d o p tio n ca n rig h ts o f in h e rita n ce
be a c q u ire d .”

•. ;
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fill I : ■

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tm0ËmÊmêmmËÊmmÊÊmÊm

Gl. ■ ;
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H

M R . j . M . P a t t o n , President,
The Mitchell National Bank

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M R . M ITCH E LL

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— J. M . Patton, Pres. The Mitchell NatT. Bank, Mitchell, S. D.

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Duty Combination Window Posting
Machine handling savings, install­
ment and real estate loans and
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tional Class 31 Multiple Duty Ma­

chine for our internal records.
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O/fcatlonal
ACCOUNTING

THE HATI0NAL CASH REGISTER COMPANY,

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

977

OFFICES

IN 94

COUNTRIES

MACMINIS

ADDING MACHINES . CASH R E G IS m S

Dayton

Gerald O. Nelson

Everett M. Griffith

M ichael J. C o stello

Vice President

Vice President

Assistant Cashier

C h ris ty F. Arm strong
A ssista n t Cashier

IIEAIH V«. O UK T E A M
to make these services available
1 Fast Transit S erv ice —nation-wide

coverage.

| Credit Information.
These officers of our Corre­
spondent Banking Depart­
ment are in frequent contact
with Iowa Banks. Our whole
Bank staff is working with
them to completely serve
your correspondent banking
requirements. Please give us
the opportunity.


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Federal Reserve Bank of St. Louis

1 Credit Overlines.

W e welcome invitations to participate.

| Safe-keeping of Securities.
| Bankwire Service

for transfer of funds.

| Government and Municipal Bonds
H orders executed for other securities.

| Trust Department Services.
| Depository for Reserves.

D e s M o in e s
N a t io n a l B a n k
Des Moines

•

Founded 1868

Member of Federal Deposit Insurance Corporation

for investment;