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Federal Reserve Bank of St. Louis

"At MNB we will respond quickly and
accurately to your needs for overlines
and liquidity loans. Because we
realize the way these transactions are
handled can have a critical impact on
operational procedures and your abil­
ity to serve customers.
"O ur first priority is to provide
superior customer service. To be a
partner in helping meet challenges
and goals. We begin by developing an
in-depth knowledge of each individ­
ual correspondent bank's objectives.
Then, we provide our expertise and a
wide range of services to help attain

these goals w ith profitable results.
"By consistently delivering a high
level of performance and generating
fresh new approaches to fulfilling
needs, we are able to build confidence
and that special bond of trust that
comes from working and succeeding
together. "
Learn more about how MNB can
work for you. Call 319/398-4320 or toll
free, 1-800-332-5991 and talk to Terry
or any of our other MNB
Correspondent Bankers: John E.
Mangold, Stan R. Farmer, Jerry N.
Trudo or Dale C. Froehlich.

Merchants National Bank

Cedar Rapids, Iowa 52401

is i

Member F.D.I.C.

Northwestern Banker (USPS 397-620), June 1981, 88th year. No. 1413 is published monthly by the Northwestern Banker Co., 306 Fifteenth St., Des Moines, 1A 50309. Second class postage paid at Des Moines
send form 3579 to 306 Fifteenth St., Des Moines, IA 50309.

and at additional mailing office. POSTMASTER:
Federal Reserve Bank of St. Louis

«32,000 IN A CAMERA


|||j |r


i w v / ' . ' T ‘■J

In the next 3 to 5 years, you will make a major investment in money
handling systems.
That’s why Brandt Inc. recently invested $32,000 in a new Instar Motion
Analysis System. With this "instant replay” camera, our research and
design engineers can determine exactly how money moves through
our machines.
In fact, they can analyze motion one frame at a tim e — stop action,
reverse it, even compare mechanical movement to electronic data.
Whether a coin flips to the right or to the left may not mean much to you
now. But it could make a world of difference when you buy a money
handling system in 1983.
At Brandt, Inc. we consider research and development a way to re-invest
in the future of money handling.
Because, in the future, a lot more people will be counting on us.

B ra n d t

Brandt, Inc. Watertown, Wl 53094

Above: Brandt senior project engineer Bob Zwieg freezes a
coin movement using a motion analysis camera.
Inset: Electronic and mechanical data are synchronized
using a special monitor.
Brandt® Cashier® Countess®

everyone counts on us
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Service and profits.
That’s what you want from a travelers cheque.
And that’s what BankAmerica Travelers Cheques is
going a long way to deliver.

You can count on us to take care of time-consuming
chores like record keeping and data processing.
We also keep careful watch over inventory so your
supplies can be automatically replenished before
they get too low.

O ur unique cheques are countersigned on the
reverse side to discourage forgeries. But if
you follow our signature verification
guidelines and still have
problems with lost or
stolen cheques, remem­
ber: they’re our respon­
sibility, not yours.
Federal Reserve Bank of St. Louis



Whether it’s with personal touches like cheque
wallets and travelers’ handbooks, or major media
advertising and sales promotion, BA Cheque Cor­
poration is behind you 100%. We’re behind your 4
tellers, too. With time-saving package sales, training
materials and incentive programs like our annual
teller sweepstakes.

M U Ñ E.
BankAmerica Travelers Cheques are as welcome in
Paris,Texas as they are in Paris, France. In fact,
they’re accepted in over 150 countries and

refundable at more than 40,000 locations w orld­
wide. For domestic travelers, there’s even a 24-hour
toll-free number to call for customer assistance. So
it’s no wonder m i 11ions of travelers ta ke Ban kAmerica
Travelers Cheques whenever they leave home.

Service, of course, is only part of the story.
To find out the rest, call Frank Hyzdu, Sales
Manager, toll-free 800-227-3333 (in
California call 415-622-4721 collect).
He’ll tell you
just how profitable
BankAmerica Travelers
Cheques can be. And
w hy w e’re the cheque
that delivers.
From top to bottom.
a BankA m erica C ompany

Were going a long w ay for you.
Federal Reserve Bank of St. Louis


JUNE 1981 • 88th Year • No. 1413



This peaceful, beautiful scene istheGallatin Riveras itflows beside Highway 191
near Big Sky, Mont., locale of the Montana Bankers Association convention,
June 24-26.





Bank response to CRA

Walter Bruns describes action plan for Waseca, Minn.


In-house computer system

Richard Heckman gives experience from Cairo, Nebr.


Mini-computer is cost effective


James Jorgensen charts State Center, la, results




CEOs support dual banking

Results of CSBS nationwide survey are reported

100% solid state. Custom
designed. Attached to your
building or free standing.


Focus on the future

Merrill Johnson discusses financial futures hedging


Illinois Convention Program
You Will See Them at the Illinois Convention
Report and Pictures from AMBI Convention
Minnesota Convention Program
You Will See Them at the Minnesota Convention
South Dakota Convention Report and Pictures
Montana Convention Program
You Will See Them at the Montana Convention
Wyoming Convention Program
You Will See Them at the Wyoming Convention
Nebraska Convention Report and Pictures


Changing or traveling
billboard forcommunity
service and unique
Simple keyboard.

Daktronics has taken the service expense
out of message displays with 100% solid
state electronics. Our engineers will
custom design a display to enhance the
architecture of your building and will
provide a color drawing and quote at no
cost. Call or write for details today.



Box 299

Brookings, SD 57006

Phone 605-692-6145

o rth w e s te rn B anker, M a y, 1981
DigitizedN for
Federal Reserve Bank of St. Louis

Convention Calendar
Bank Promotions
Corporate News
Twin Cities
North Dakota


Des Moines

30615th Street, Des Moines, Iowa50309

Phone(515) 244-8163


E ditor

Business Manager

Malcolm K. Freeland

Ben Haller, Jr.

Mike Freeland

A uditor

Field R epresentative

Debbie Hibbert

Glen Hicks

A ssociate Editor
Louise Rltchhart

Field R epresentative
Paul Masters

No. 1413 Northwestern Banker (USPS 397-620) is published monthly by the Northwestern
Banker Company, 306 Fifteenth Street, Des Moines, Iowa 50309. Subscription $1.50 per
copy. $15 per year. Second class postage paid at Des Moines and at additional mailing office.
Address all mail (subscriptions, manuscripts, mail items) and POSTMASTER: send form
3579 to 306 Fifteenth Street, Des Moines, Iowa.

the only travelers cheque
with new services
that protect more than just
yourcustom ers’money.
People who lose their travelers cheques often lose other things with them.
Cash, credit cards, even their identification.
That’s why American Express® Travelers Cheques is introducing 5 exclusive
services designed to give your members extra vacation protection, at no extra
cost. And they’re available to all American Express Travelers Cheque customers
who lose their travelers cheques in the U.S. or Canada.
No other travelers cheque offers even one of the following services. So if you
want to give your members the best vacation protection, there’s only one
travelers cheque to sell: American Express.

Only American Express will help your members cancel their credit cards if they’re lost with their
travelers cheques^
W hen they call the American Express Refund Center to report their loss, they simply tell one of our refund representatives
that their credit cards are also missing. No matter what hour it is, they’ll be transferred to a special representative who will assist in
canceling any cards that were issued to them in the U.S. or Canada. That’s all there is to it.

Only American Express will issue your members a temporary ID card if all their identification is
lost with their travelers cheques.
Following verification, one of our Refund Center representatives will direct them to an American Express Travel Service
Office in the U.S. or Canada, where they can pick up their ID during business hours. It has our name
and phone number on it, so they can use us as a reference wherever they go.

Only American Express will cash a check for up to $200 if your members
need extra money with their travelers cheque refund.
After their U. S. or Canadian check is authorized, any of our Travel Service or Representative
Offices in the U.S. or Canada will cash it for them during business hours.

Only American Express will put its Travel Service at your members’service
24 hours a day if they need to change travel plans because of their loss.
One of our Refund Center representatives will transfer them to a Travel Service
Hotline representative who can help them arrange airline, car and hotel reservations.

Only American Express will send a Mailgram11for your
members at no charge anywhere in the U.S. or Canada, at any
hour of the day or night
Your members simply give the message they’d like to send to one of our Refund Center
representatives—the representative will take care of the rest. It’s a service which could prove
very helpful if your members want to notify someone of a change in travel plans and they’re
having trouble reaching them on the phone.

Now we protect more than just their money.
Now we help protect their vacation.
Federal Reserve Bank of St. Louis

North Dakota:


Convention Calendar


16-18— Independent
Com m un*
Banks of N orth Dakota annual conven­
tio n , H o lid ay Inn, D ickinso n.

A B A — A m erican Bankers A sso cia tio n
A IB — Am erican In s titu te of Banking
BAI — Bank A d m in is tra tio n In s titu te
B M A — Bank M arketing A sso cia tio n
IB A A — Independent Bankers A sso cia tio n
of A m erica
N A B W — N ational A sso cia tio n of Bank
W om en, Inc.
R M A — Robert M orris A ssociates

National Conventions & Schools
June 14-16— Nevada Bankers Association
62nd annual convention, Ormsby House,
Carson Citv, Nev.
July 12-17— ABA Natl. Adv. Ag Bkng.
School, la. State Univ., Ames, la.
July 25-Aug. 7— BAI School for Bank
Administration, University of Wisconsin,
Madison, Wise.
Aug. 9-14—Central States Conference,
Graduate School of Banking Post­
graduate Course, Univ. of Wise.-Madi­
son, Madison, Wise.
Aug. 9-14— ABA Bank Personnel Graduate
School, Univ. of Colo., Boulder, Colo.
Aug. 9-15—ABA Business of Banking
School, Univ. of Colo., Boulder, Colo.
Aug. 9-22— Central States Conference,
Graduate School of Banking, Univ. of
Wise.-Madison, Madison, Wise.

“ N

For Installment Loans




• A u to m a te d
• M anual


June 15-16— MBA Annual C onvention,
Radison S outh, B lo o m in g to n , M inn.
June 21-26— MBA M inn. School of Bkng.,
St. O laf College, N o rth fie ld , M inn.
Ju ly 26-31— MBA M id w est Bkng. Inst.,
Univ. of M in n., M orris.
Aug. 13-16— Independent Bankers of M inn,
annual con ven tion , A rrow w ood Resort,
A lexandria, M inn.

call or write:

' T ~ G.D. VAN

June 24-26— MBA Annual C onvention, Big
Sky of M ontana, Big Sky, M ont.

1678 Northwestern Bank Bldg.
Minneapolis, MN 55402
(612) 333-2261



June 14-16— IBA A nnual C onvention,
Chicago M a rrio tt H otel, C hicago.
June 21-27— IBA C om m ercial Lending
School, U n iversity of Illin o is , Urbana, III.
16-17— IBA
A g ric u ltu ra l
C redit
Conference, Ramada Inn, Cham paign, III.
O ct. 28-30— BMA M arketing in a C o m m u n i­
ty Bank Sem inar, Dallas, Tex.
Nov. 8-11— BAI 57th N ational C onvention,
Sheraton W a ikiki, H o no lulu, Hawaii.
Nov. 8-11— IBAA S e m in a r/W o rksh o p on
Bank O w nership, H yatt Regency, A tla n ­
ta, Ga.
Nov. 8-11— ABA N ational A g ric u ltu ra l
Bankers C onference, Sheraton W a sh in g ­
ton , W ash in g to n , D.C.
Nov. 15-18— ABA N ational C orrespondent
Banking Conference, H yatt Regency
Kansas C ity, Kansas C ity, Mo.
March 14-18, 1982— IBAA 52nd annual
con ven tion , Sheraton W a ikiki, H otel,
H o n o lu lu , Hawaii.



Digitized Nfor
o rth w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis

State Conventions & Schools

Ju ly 16-18— Iowa Independent Bankers
10th Annual C onvention, Lake O kob oji.
Sept. 20-22— 95th annual IBA con ven tion ,
Des M oines.

- J


Aug. 20-23— IBAA seminar/workshop on
bank ownership, The Broadmoor, Colo.
Springs, Colo.
Aug. 30-Sept. 11— ABA Natl. Installment
Credit School, Univ. of Okla., Norman,
Sept. 13-16— ABA National Personnel
Conference, Loews Anatole, Dallas, Tex.
Sept. 13-16— BMA 66th Annual Conven­
tion, Washington, D.C.
Sept. 27-30— National Association of Bank
Women’s annual convention, Hyatt Re­
gency, Chicago.
Oct. 3-7— ABA Annual Convention, San
Francisco, Cal.
Oct. 18-20—ABA International Banking
Conference, Grand Hyatt, N.Y., N.Y.
Oct. 18-21 — BMA Commercial Marketing
Conference, Boston, Mass.
Oct. 18-22— IBAA 22nd Bank Executive
Development Seminar, Ball State Univ.,
Muncie, Ind.
Oct. 25-31— ABA National Compliance

Ju ly 12-17 — The S chools of B kng., Trust
S chool, Nebraska Center fo r C o n tin u in g
E ducation, L in co ln .

June 10-12— W BA A nnual C onvention,
Jackson Lake Lodge, M oran, W yo.

R.C. Kemper Honored
R. Crosby Kemper has been n a m #
Banker Advocate of the Year by the
Small Business
A dm inistration
in W ashington,
D.C. Mr. Kemper
is chief executive
officer and chair­
m an of the board
of U nited M is­
Bancshares, a K ansas
City based 21bank
company, and U nited M issouri Bank
of K ansas City, N.A .
The W ashington office of the SB A
said, “ Mr. Kemper has long been the
advocate of small business. L ast
December when he was concerned
over the effect of high interest r a t #
on small firms, Mr. Kemper took the
lead in the country and lowered his
b ank’s prime lending rate, a move
th a t was followed by
in stitu tio n s.’’
Mr. Kemper was chosen from a
nationwide field of nominees by a
panel of 30 judges across the country.
He was invited to W ashington, D.C.
during N ational Small B u s in e #
Week M ay 10-16 to accept the award
in a W hite House Rose Garden

First Union Approves
50% Increase in Shares
Stockholders of F irst Uniofl|
Bancorporation, St. Louis, have
approved an am endm ent to the
articles of incorporation of the
company providing for an increase in
the num ber of authorized shares froii||
10.000. 000 shares of common stock of
the par value of $10 per share, to
15.000. 000 shares of common stock of
the par value of $10 per share.
Stockholders approved the amend®
m ent a t the com pany’s annual
F irst Union B ancorporation is a S t.
Louis-based bank holding company,
whose lead bank is F irst N a tio n #
Bank in St. Louis.


The check
w ho cam e in
from the cold.

W hen people ask how good our check
processing is, we tell them the story of the check
who came in from the cold:
The check arrived at 6 a.m. Continental Bank
couriers met his fhght. He hadn’t expected that.
He was still half-frozen from his ride in the plane’s
cargo hold. He thought he’d have time to relax,
warm up. But no.
They whisked him by helicopter to the
processing center. Funny, he hadn’t expected to be
cleared ’til late morning.
No one had time for small talk. The pace
they worked at w as dizzying. In the space of an
hour, he and over one hundred thousand other
checks had been captured, microfilmed, endorsed,

sorted and sent on their way. And the kicker?
The whole thing happened so fast he never had time
to thaw out.
It was as buttoned-up an organization as he’d
ever come across. And he’d come across plenty.
He’d come in cold and skeptical. He left mighty
If your cash letter’s turnaround time is less
than impressive, call John Tingleff at (312) 828-2191.
Get the heartwarming facts about how good our
turnaround is. How good yours could be.
Outstanding availability.
It’s what you expect from a top correspondent
At Continental Bank, it’s reality.

Continental Illinois National Bank and Trust Company of Chicago
231 South LaSalle Street, Chicago, Illinois 6 0 6 9 3
Federal Reserve Bank of St. Louis

N o rth w e s te rn B anker, Ju n e , 1981


Plan M u ltis ta te Bankers Group
PLAN being considered by
twelve m idwestern state bankers
associations could lead to form ation
of a m ultistate corporation designed
to more efficiently deliver services to
banks in those twelve states.
Edw ard L. Tubbs, president, Iowa
Bankers Association and chairm an,
M aquoketa S tate Bank, M aquoketa,
Iowa, said the concept of centralizing
the delivery of certain state bankers
association services has been dis­


cussed informally for a num ber of
years. Those background discussions
centered on the potential economies
which m ight be achieved by the
various state bankers associations
avoiding duplicating one another in
delivering certain m embership ser­
A num ber of the state association
executives m et early in January to
informally discuss presenting the
m ultistate concept to banker leaders




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(sit* '


Dept. RTA



of the state associations. A favoraW
decision from th a t m eeting led to
February m eeting in St. Loui
attended by the elected banke
leaders of the twelve states. Anothe
m eeting was held in middle of Ap^l
The concept currently bein
explored would provide for creation o
a m ultistate corporation ownei
equally by the twelve state associa
tions. T hat corporation w o #
provide for initial capital and resarc
and development funds forsubsidiar
corporations which m ight be formet
to deliver specific services.
Am ong service offerings bein;
considered by the m ultistate grouj
are an agricultural credit corporatira
secondary m ortgage m arketing com
pany, a bank money m arket fund an<
various insurance services.
Mr. Tubbs said no decisions hav
been made on im plem entation of
of these services, and th a t should Lb
central m ultistate corporation b
formed, each potential subsidian
would be evaluated independent o
other services.
Initial work done on the concep
has involved discussions on possibli
areas of activity which could increas<
efficiencies, and some initial lega
work has been done to identj^
possible constraints.
The boards of directors of th<
twelve state associations are aware o
the proposed concept, b u t none an
expected to determ ine their fir#
interest in involvement until addi
tional preliminary work is completed
The twelve sta te bankers associa
tions which have been participating
in initial m eetings are Illinois, low #
Kansas, M ichigan, M innesota, Mis
souri, N ebraska, N orth D akota
Oklahoma, South D akota, Texas anc
W isconsin.
Mr. Tubbs said the twelve we#
selected due to sim ilarities in the
industry in those states.
Additional m eetings are antici
pated b u t a final decision or
formation of the m ultistate corpor^
tion is anticipated to be severa
m onths away.

P l e a s e s e n d l i t e r a t u r e a n d ra te s

T»©S & A Inc. Q

N o rth w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis


R eg isters

"Accepted Sale Registers by Bank
Clerks Everywhere"
Tor inform ation w rite



O akland, Iowa



he resource to tap when a customer
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ou want to lend.
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ets you maximize your customer’s
redit availability. You continue to
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unctions, retain his deposit
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reativity for over a half century,
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Walter E. Heller & Company 105 W. Adams St., Chicago, III. 60603. Other Heller offices in New York • Boston • Philadelphia • Baltimore • Syracuse • Minneapolis
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Heller services are also available in Canada and twenty other countries around the world.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Bank Promotions
ROMOTIONS and other an ­
nouncements have been made by
the following banks:
Bank of America, San Francisco:
John W.
Palm er has joined
BankAmerica Travelers Cheques as
vice president for m arketing and
planning. John N achtrieb, president
of the subsidiary, said Mr. Palm er
will be responsible for planning and
implem enting worldwide m arketing
support activities for both B ank­
America Travelers Cheques and BA
Cheque C orporation’s other pro d u cts.
Before joining the company, Mr.
Palm er had been vice president and
m anagem ent supervisor w ith Doyle,
Dane and Bernbach, a New York
advertising firm.
Commerce Bancshares, Inc., Kan­
sas City: Laura L. Kemper has been
promoted to vice
president in the
m arketing
partm ent.
Kemper serves as
director of adver­
tising for the
38-bank M issouri
pany. She joined
organization in
1972 as a m arketing assistan t, was
named m arketing officer in 1975 and
m ost recently was director of
m arketing and vice president of
Commerce Bank of K ansas City,
N .A ., the holding com pany’s lead
Ms. Kemper received her BA
degree from Wellesley College in
M assachusetts and also is a graduate
of the G raduate School of Banking at
the U niversity of Colorado, Boulder.
Continental Illinois Corp., Chica­
go: W eston R. Christopherson, 55,
chairm an
chief executive
officer of Jewel
Companies, Inc.,
has been elected
a director of the
holding company
and its subsidi­
ary, Continental
Illinois National
Bank and T rust
cago. Mr. Christopherson joined the
Digitized for
rth w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis


chairman. Mr. Vitale, previouslv
vice president and head of domes™
liability m anagem ent and mone;
m arket activities, is in the treasur;
departm ent. Mr. Yohanan, als
previously a vice president, wiL
responsibility for the agribusine™
commodities and securities group, i
in the U.S. banking departm ent.

Jewel firm in 1951, was named
president in 1970, chief executive
officer in 1979, and chairm an in 1980.
Michael Tenenbaum , former presi­
dent of Inland Steel Company,
First National Bank of Kansa
retired from the board.
City: Two officer promotions and ^
election of four new officers has bee
Central National Chicago Corpora­ announced.
tion, Chicago: Jackson W. Sm art,
J r., chairman, president and chief Spaffordhas been
executive officer, announced the promoted to vice
election of five new directors president
following the annual m eeting of Jackie Hendren
shareholders. They are: M artin has been advan­
Bucksbaum , chairm an and chief ced to assistan t
executive officer of General Growth vice president.
Companies, Des Moines, la.; G eneR. New
assistan t
Hill, president of Grayhill, Inc., a cashiers are M ar­
m anufacturer of electronic compon­ tha
Carpenter, M.S. SPAFFORD
ents; Joel Labovitz, chairm an and Michael D. Ev.
chief executive officer of Fluid ans, Doris S. Mabe and W ay
Conservation System s Corporation, Olsen.
D uluth, M inn.; M artin Rich, presi­
Mr. Spafford is m anager of th
dent of Louis Rich, Inc., D avenport, tra n sit departm ent. He joined th
la ., a subsidiary of Oscar M ayer & staff in 1969 in night tra n sit and 1^
Co., and Solomon A. W eisgal, been tra n sit m anager and assistan™
president of Solomon A. W eisgal, vice president since 1979. He receive«
L td., a financial consulting firm in his BA degree from K ansas S at
Chicago. Mr. Bucksbaum and Mr. Teachers College in Em poria.
W eisgal also were elected directors of
M rs. H endren joined the s ta f f ^
the subsidiary Central National 1963 and is currently operation;
officer in international.
Shareholders also approved two
am endm ents. These increase author­
First National Bank of Arizonf
ized shares from 2,400,000 to Phoenix: A m ajor restructuring-g
3,500,000 and the common stock the commercial
from 2,200,000 to 3,300,000, and banking group,
reduce the par value of common stock the creation of a
from $10 per share to $1 per share.
An investor group comprised of ning group and
M essrs. Bucksbaum , Labovitz, Rich an addition to the
(and his brother, Norman), W eisgal executive office
and Sm art has entered into an were announced
agreem ent with principal sharehold­ recently by E d ­
ers of Central National Chicago ward M. Carson,
Corporation, subject to regulatory president
approval, to obtain control of Central chief executive
Mr. S m art also announced the
Webb Todd, a vice president, ha
promotion from senior vice president joined the executive departm ent f
to executive vice president of Denis assistan t to the president. Douj
R. Chevaleau, J . Peter Morrow and Metcalf, a senior vice president, ha;
John W. Thom pson, as well as the been named to head the financia
election of Joseph C. d ’Ouville as planning group. He will report to Mr
senior vice president.
Carson and be responsible for t j |
investm ent division
First National Bank of Chicago: financial planning.
The commercial banking grou]
David J . Vitale and Robert R.
Yohanan have been prom oted to under Bob Duckworth, an executivi
senior vice presidents, it was vice president, has been reorganize
announced by B arry F. Sullivan, into four divisions with these men a:


Y C a p ita l
I via

C a p ita l
v ia



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company off to a great future with Asset Money.
Contact John Olson, Lee Mork, Robert Olson or
Paul Weingart, (612) 372-7988, 780 Northstar
Center, Minneapolis, Minnesota 55402. Or Jack
Hart, (303) 571-0515, One Denver Place, Suite
1512, 999 18th St., Denver, Colorado 80202.

Clients with considerable working capital may wish
to conserve it by leasing needed equipment.
Decide on a Lease Purchase Contract with a
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Go with a leverage lease or purchase
equipment outright.
Whatever your clients’ business, whatever the
equipment they need-Lease Northwest, Inc. has
the financing options that put it to work.
Contact Dave Michael in Minneapolis at
(612) 372-7416, Roger Meier in Omaha at
(402) 536-2310, Jim Sheedy in Des Moines at
(515) 245-3392, Chris Floss in Fargo at
(701) 293-8136, or Jim Fetzer in Billings at
(406) 657-3581.

Financial corporation
An Affiliate of Northwest Bancorporation
Federal Reserve Bank of St. Louis


Lease Northwest, Inc.
Affiliated with Northwest Bancorporation


N o rth w e s te rn B a n ker, J u n e , 1981


division heads — world banking, Lee
Stava, senior vice president; real
estate financing, Bill L undquist, vice
president; consumer lending, Dave
Woods, vice president, and Commer­
cial banking services, Chuck Buhr,
vice president.
Dr. M orrison F. W arren, director
of the I.D . Payne Laboratory for
M ulticultural E ducation at Arizona
S tate U niversity, was elected a
director of F irst N ational Bank of
Arizona, Mr. Carson announced.
First National Bank in St. Louis:
Chief Executive Officer Clarence C.
Barksdale has announced two officer
promotions and appointm ent of two
new officers.
Dennis P. Downing, who joined the
bank in 1980, has been elected
international banking officer. Rose
M. Smoot, an employe since 1979,
has been appointed accounting officer
for F irst Union Bancorporation, the
holding company. She is a certified
public accountant.
Edw ard Leroy Campbell has joined
F irst N ational as data processing
officer and Jim D. Stills has joined
the bank as business development

Mr. H orton, a graduate of
Chillicothe Business College, joined
U nited M issouri in 1962. Mr. Peel
joined the bank in 1971 after
graduation from the U niversity of
Kansas. Mr. M annebach, a graduate
of the U niversity of M issouri at
Columbia, joined United M issouri
Bank of Ferguson in 1974 and
transferred to U nited M issouri Bank
of K ansas City last January.

the board of directors and chairma
of its finance comm ittee, as well as
director of American Express In te r­
national Banking Corporation and of
Firem an’s Fund Insurance Company.
Mr. W ay joined American E x p r e ^
from General Electric C o m p a n ^
where he was senior vice presidentfinance and chief financial officer. A t
G .E. he had served in various
financial and m anagerial areas in tlm
United S tates, L atin America ana
Northern Trust Company, Chica­ Europe since 1951.
Mr. G erstner, as vice chairm an,
go: Directors have announced the
will become a member of the
following prom o­
executive office. He has served
tions and new
executive vice president of the
appointm ents:
company and president of the Travel
Related Services Group since 1978,
Horner to vice
and will continue as head of TRS. In
president in the
addition, he is responsible for t l ^
dep art­
com pany’s participation in W arner
m ent.
Amex Cable Communications Inc., a
cable television business owned
Johnson, J r., and
jointly w ith W arner Communications
Linda D. Paulsen
Inc. Mr. G erstner is also a member r f
to second vice
the board of directors of the company
president in the tru s t departm ent.
Goverdhan P. Patel and A nthony and of American Express In te rn a ­
J . Argenio to second vice presidents tional Banking Corporation.
Mr. G erstner joined American
in the operating departm ent.
New appointm ents within the staff Express as president of the car^
include Jerom e F. Michelsen and Rita division in Jan u ary , 1978. He had
M. M ulroy, both named tru s t officer; previously been a director and
Donald F. Blair, M argaret M. Doyle, chairman of the finance comm ittee at
Sheila G. G ates and George L. McKinsey & Company, Inc., where
Holub, all named system s officer in he had served as a consultant
American Express, among other
the operating departm ent.
A ppointm ents from outside the clients.
bank include Jo Anne R. Moeller,
named second vice president in the
Doane Agricultural Service, S
hum an resources departm ent; M ich­
Doane A gricultural au
ael J . Furey named second vice
Farm Companies have
president in the tru s t departm ent;
Eric Chan named operations officer in recently completed a significant
the H ong Kong branch, and Kim L. m erger into one national agricultural
service organization. William
Lotka named tru s t officer.
Clymor has been named president
and chief executive officer of the
combined companies.

National Boulevard Bank of
Chicago: Kevin J . O’Neill has been
elected a system s
officer, according
to Henry K. G ar­
dner, president.
A graduate of the
U niversity
Notre Dame with
a BBA degree in
finance and econ­
omics, Mr. O’­
Neill also com­
pleted seminars
on CICS program m ing, system s
analysis, bank operations and
m anaging interpersonal relation­
ships. Before joining National
Boulevard, he was employed by
ROM OTIONS and other a n ­
Household Finance Corporation in
nouncem ents have been made by
the finance division’s thrift opera­ the following firms:
tions. Prior to th a t he had banking
experience w ith American National
American Express Company, New
Bank and T ru st Company as product York: Directors have elected Alva O.
m anager for its Tel-A -D ata subsidi­ W ay, president, and Louis V.
G erstner J r., vice chairm an, accord­
ing to Jam es D. Robinson III,
United Missouri Bank of Kansas chairm an and chief executive officer
City: Rodney G. H orton, H arry A. of the company.
Peel and Jack A. M annebach, J r.,
Mr. W ay joined American Express
have been elected vice presidents in in November, 1979, as vice chairm an
the commercial business develop­ and a member of the executive office
of the company. He is a member of
m ent departm ent.



Digitized Nfor
o rth
w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


The Westcap Corporation, Hous­
ton, Tex.: Mobley E. Cox, J r., has
been elected ex­
ecutive vice pres­
ident and a direc­
tor, it was a n ­
nounced by Clif­
ton Iverson, J r.,
president. M ost
recently, Mr. Cox
was first vice
president and a
director of Rotan
where he was m anager of t h ^
municipal bond departm ent.



When you come
to Harris Bank for
an overloan, you’ll
find we know ex­
a c tly w h a t you
need. And exactly what
you don’t need.
We know you need an
answer. And you d o n 't
need six or seven days
of sitting a ro u n d the
telephone waiting for it. That’s why we’re mak­
ing this statement: we’ll give you an answer
in three days. Or less. Or else.
Or else what? Or else we’ll explain what the
reasons were over a free lunch. And not at a
hot dog stand, either.
Quite frankly, we don’t expect to be paying
for many lunches. Because quick turnaround


is one of the things we
do best at Harris. In
c re d it m atters, and
in every oth er kind
of proble m solving,
from investment coun­
seling to asset m a nag e­
ment to economic advising.
And w e ’re able to make
those q u ic k tu rn a ro u n d s
with a minimum of error.
So, if you need an overloan, call your Harris
representative. Or call 461-2744. But don’t
expect a free lunch. Expect an answer within
three days.



H a rris Trust a nd S aving s B ank, 111 W. M o n ro e St., C h ica g o , III. 6 0 6 0 3 . M e m b e r F.D.I.C., Federal Reserve System .
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Visa Plans Premium Card,
Tie-in with Dean Witter
The Visa U .S.A . board of directors
has approved a proposal to move
ahead with the
development of a
plan to issue a
Visa card for
premium travel­
ers, according to
Charles T. R us­
sell, president.
A t its qu arter­
ly m eeting April
1-2 , the board
also approved an
application to perm it the name of
Dean W itter Reynolds, Inc. to appear
in the blue band of the Visa card
issued by a proprietary member, and
authorized the development of a plan
to allow members to share autom ated
teller machines (ATMs).
Under a program sponsored by the
$1.2 billion asset Bank One of
Columbus, Ohio, Visa cards will be
issued bearing the name of Dean
W itter Reynolds, Inc. in the blue
band. Dean W itter, one of the largest
brokerage firms in the U nited S tates,
plans to issue the Visa card in
connection with an offering of its new
Active A ssets Account.
Dean W itter becomes the 27th
company, and the second m ajor
brokerage firm, to take advantage of
the Visa “ Blue B and” program . The
program was begun nearly four years
ago when Bank One and Merrill
Lynch, Pierce, Fenner & Sm ith
combined to offer a Visa card to
access Merrill Lynch’s Cash M anage­
m ent Account. The “ Blue B and”
program provides m ajor m erchants
and other companies a way to identify
them selves on the card to reinforce
custom er loyalty, while at the same
time offering their custom ers a card
which has worldwide acceptibility.
The Bank O ne/D ean W itter
program is expected to begin
operation, with a pilot project using
Dean W itter employes on Ju ly 1 and
a test m arket in Pennsylvania on
A ugust 1.
The board’s decision on ATM
sharing authorized Visa to modify the
BASE 1 authorization system to
accommodate Visa card usage in a
network of shared ATM s. The
modification would also perm it
interchange am ong local and regional
ATM networks through the BA SE 1
system , and would perm it, b u t not
require, the display of the Visa m arks

N o rth w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


on ATM s in these networks.
The decision also encompasses a
modification of the BASE 1 system to
support interchange among regional
and local ATM networks which are
accessed solely by proprietary cards.
“ The developm ent of this system
will perm it our members the
flexibility to experiment with ATM
sharing and the development of
networks th a t use both the Visa card
and proprietary card s,” said B. Ray
Traweek, general m anager for
system s development Visa In te rn a ­

Independent Bankers of
Texas Organize Own Bank
A hearing will be held this m onth
on the application of independent
bankers in Texas to charter the
proposed Independent Bank of
Texas. F. H agen McMahon, execu­
tive director of the Independent
Bankers Association of Texas, which
represents 900 of the 1,100 indepen­
dent banks in th a t state, said the
proposed bank would provide partici­
pations and overlines, as well as
being a source for financing

independent banks. If approved, tf|jf
would be the ninth state to find a
bank chartered by independent
A spokesm an for the organizing
group, Ruben Johnson, chairm an 01
United Bank of Texas in A ustin, saic
his group believes th a t more than 40C
independent banks will purchase
stock in the bank. This would give the
new bank capital of about $17 m illio^
he said. It is capitalized initially at $E
million. H eadquarters would be
located in Dallas.
A uthority for establishing ar
independent bank was given by t%
state legislature in 1979.

Delos Cole Johns Dies
Delos Cole Johns, 82, former
president of the Federal ReserW
Bank of St. Louis, died recently of
complications resulting from open
heart surgery a t St. Luke’s H ospital,
K ansas City, Mo., President L a ^
rence K. Roos announced.
Mr. Johns was president in St.
Louis from M arch 1, 1951, to M arch
1, 1962. Prior to th a t he was general
counsel and secretary of the K a n s ^
City Federal Reserve Bank.

Aid in Writing Affirmative Action
Plan and Meeting EEO Offered by ABA


ED ERA L requirem ents th a t
banks with 50 or more employes
m ust have w ritten affirm ative action
plan and banks with 15 or more
employes m ust comply with the
Civil Rights A ct of 1964 can be a
tim e-consuming and complicated
process, especially for small or
comm unity banks. To help banks
comply with the often complex
affirm ative action and equal employ­
m ent opportunity m andates, the
American Bankers A ssociation’s
bank personnel division will intro­
duce a new educational offering this
summer: the ABA EEO (Equal
Em ploym ent O pportunity) Compliace School.
Scheduled for July 26-31 a t the
U niversity of Colorado in Boulder,
the school will offer specialized and
professional training for the growing
num ber of men and women who are
responsible for EEO compliance in
their banks. Besides learning how to
write an affirm ative action plan,
participants will also receive instruc­
tion on a broad range of EEO
compliance topics, including compli­
ance review procedures and manage-


m ent prerogatives, the R ehabilita­
tion Act of 1973, auditing and
reporting system s, Title V II of the
Civil Rights Act of 1964, the V ietnai#
Era V eterans’ R eadjustm ent A ssis­
tance Act of 1974, EEO compliance
procedures and investigation m an­
agem ent, and EEO support pro­
gram s (job posting,
procedures, recruitm ent and tra in ­
The participative form at features
general sessions, small group discus­
sions and case studies. Students w i#
also be divided into groups by bank
size where necessary to maximize
information and idea exchange and to
provide practical approaches to
bank-size related concerns.
Additional information on the
school, including application m ateri­
als and pricing schedules, may be
obtained by writing or calling Lois
Jacobson, assistan t director of th P
Bank Personnel Division, (202)
467-4861 or Lisanne Milford, Regis­
trar, (202) 467-6698, ABA, 1120
Connecticut Ave., NW, W ashington
DC 20036.

W e give our correspondents
the com plete picture.
At American N ational Bank, we offer more
than just a few pieces of correspondent
banking services. We can give you everything
you need.
T h a t’s because our people are more
than just credit specialists. T hey understand
every aspect of operations from top to bottom .
T h e result is better performance and faster

service from us. And a feeling of security for you.
W e’ve spent m any years putting together
the pieces to build and develop stronger
correspondent banking relationships. A nd that
helps us do a better job today.
To get the com plete picture of our
correspondent services, call Bob Sherm an at
( 312 ) 661 - 5125 .

33 N. LaSalle 60690 /LaSalle at Wacker/222S. Riverside Plaza/<312)661-5000
Branch offices in London and Cayman Islands. International offices in Argentina, Brazil,
Colombia, Germany, Holland. Hong Kong, Mexico. Peru and Singapore.
Federal Reserve Bank of St. Louis

Member F.D


ABA to Review Fed’s Electronic Check Plan
H E American Bankers Associa­
tion has agreed to review the
Federal Reserve System ’s electronic
check collection proposal and to
assist the Fed in a thorough
evaluation of the feasibility of an
ECC operation. ECC, as proposed by
the Fed, would use the Federal
Reserve System funds transfer
network to speed collection of large
dollar checks.
Daniel M. Doyle, first vice
president of the Federal Reserve
Bank of Chicago and chairm an of the
Fed system ’s comm ittee on com m un­
ications and paym ents, invited the
ABA to participate in this Fed
Mr. Doyle called the ABA input
“ essential.” He added, “ the Federal
Reserve S ystem ’s assessm ent of
electronic check collection so far
indicates it would improve the
nation’s paym ents system and our
service to deposit institutions by
increasing funds availability while
reducing float. B ut we w ant and need
the view of the banking com m unity in
order to move further on this
Increasing the use of electronics in
the paym ents system and in reducing
float were im portant features of the
F ed’s pricing proposals issued last
fall. The Fed is required under the
M onetary Control A ct of 1980 to
begin pricing its services, including
Named to chair the Fed and ABA
groups were William C. Conrad,
senior vice president and m anager,
Federal Reserve Bank of Chicago,
D etroit branch, and William V.
B unting, senior vice president,
United Virginia Bank, Richmond.

Charles E. Lord Touted as
John Heimann’s Successor
Charles E. Lord, who was
promoted to first deputy Comptroller
of the Currency ju s t three days before
John G. Heim ann resigned on April
16, effective M ay 15, was being
considered by W ashington profes­
sionals as a likely successor to Mr.
Mr. Lord, 52, began his career in
1949 as an a ssista n t national bank
examiner. Two years later he joined
H artford N ational Bank & T ru st Co.,
became president there in 1967 and
chief executive officer in 1972.
Doctors discovered lung cancer in

N o rth w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


1975 in Mr. Lord and he underw ent
surgery and radiation therapy during
a long recovery period. He resigned
his bank duties in 1976. L ater he
served as corporation officer a t Yale
U niversity, from which he had
graduated in 1949. Later, he joined
the Com ptroller’s staff in 1979.
M r. Heim ann was appointed
Comptroller by President C arter in
July, 1977. Prior to th a t appointm ent
he had served as superintendent of
banks and commissioner of housing
and comm unity renewal in the S tate
of New York. He was previously
associated with the investm ent

banking firms of E.M . W a rb u r g
Pincus and Company, Inc., and
Sm ith Barney and Company, Inc.

Deluxe Net Is Up 38%
Deluxe Check Printers, In c o rp o ri
ated, St. Paul, M inn., reports sales
for the first quarter of 1981 were
$123,703,728, a new record for a
three-m onth period and up 23% over
the first quarter of 1980 when sale#
were $100,559,264, according to
Eugene R. Olson, president.
N et income for the period was
$12,811,619, up 38.2% from last
year’s earnings of $9,271,907. N e #
income per share for the quarter was
$1.12 compared to 81 cents in 1980.

Continental Has Own Helipad
O N TIN EN TA L Bank, which a
year ago pu t helicopters in the air
to speed the m ovement of the two
million checks it processes each day
for collection through the nation’s
banking system , has become the first
financial institution in Chicago’s
146-year banking history to establish
its own heliport, according to Richard
M. Gladziszewski, C ontinental vice
president and head of check
processing operations.
Before C ontinental began using
helicopters in its check processing
operation, checks were shuttled by
ground couriers over a 22-mile route
of city streets, expressways, and toll
roads to O’H are International
A irport where check pickups and
deliveries every 30 m inutes coincided
with 195 daily private and comm er­
cial flights a t the airport.
“ Given the best of conditions, the
one-way ground tim e to O ’H are was
about 25 m inutes. However, it had
been our experience th a t 45 m inutes
per trip was the general rule rather
than the exception,” Gladziszewski
Since th a t tim e, the role played by
helicopters a t Continental has grown
dram atically, w ith 13 daily roundtrips scheduled between downtown
and O ’Hare. In addition four
round-trip flights are made each day
to M idway A irport.
“ The helicopters enabled us to
move checks much more quickly—
flying over streets and highways
normally clogged by traffic, by snow,
or both. B ut while our flying tim e was
only 11 m inutes, four miles of city
streets separated our check process­
ing center and the landing pad we
were using.


A HELICOPTER operated by C o n tin e n ts #
Illin o is N ational Bank and Trust C om pany
of C hicago tou ches dow n at the ba nk’s new
helipad so u th w e st of C h ica g o ’s Loop.

“ W ith our own heliport—the firs#
ever built at street level in
Chicago —we have eliminated ground
travel altogether, and we’ve m anaged
to shave another two m inutes off the
actual flying tim e,” he said.
Two million checks processed each
day at Continental Bank —more than
any other bank in the natio n —are
delivered to 400 bank endpoints,
which in tu rn serve a network of mor<#
than 14,000 banks around the
country. Currently, 97 % of all dollars
deposited daily are made available to
C ontinental’s check processing cus­
tom ers in one day or less, M r #
Gladziszewski said.

« yourcorrespondent bankingservice
is now.




The M onetary Control Act of
1980 is now in place. All of its
ram ifications, its exact impact,
cannot yet be predicted. T here’s
no question th a t major changes
are in the wind. The only ques­
tion is how should you react.
At The N orthern Trust, we
suggest you take a long, hard
look a t your present banking
needs. How well are you being
served now? W hat are you g et­
ting for w hat you pay? Who is
best equipped to m eet your future requirem ents?
As you go down the list of
services you re q u ire —check
collection, wire transfer, w hat­
e v e r—we'd like you to keep
in m ind the Cost/Benefit equa­
tion. Because this is where
The N orthern Trust earned its
Our safekeeping and cash
letter services rank among the

fastest and most accurate avail­
able anywhere. Our prom inent
position in prim ary and secon­
dary bond and money m arkets
provides you and your custom ­
ers g reater selection and ready
liquidity. And our consulting
services for short- and long-term
profit planning are unique
among Chicago banks.
W here do we stand on loan
participations? We are actively
seeking both commercial and
agricultural, large and small.
T here’s another, even more
im portant factor you should be
aw are of: we have a deep and
continuing com m itm ent to
the correspondent m arket.
We honor our relationships
and we respect the re la ­
tionships th at you have
so carefully built with
your own customers.

Federal Reserve Bank of St. Louis

If you’d like more inform a­
tion as to how our speciallytrained officers m ight work in
your behalf, contact C urtis E.
Skinner, Senior Vice President,
The N orthern Trust, 50 South
La Salle Street, Chicago, Illinois
60675. Telephone (312) 630-6000.
M ember F.D.I.C.

The more you want
your bank to do,
the more you need
The Northern.



Utah Bankers Assoc. Convention June 15-17
H E UTAH Bankers Association
will hold its annual convention
June 15-17 at Sun Valley, Idaho.
Charles R. Canfield, president, U tah
Bankers Association, will call the
m eeting to order at 9:00 a.m .,
M onday, June 15. Mr. Canfield will
introduce the board and comm ittee
chairman, and summarize the year’s
problems and accom plishments.



The keynote address will be
presented by Ezra Taft Benson,
president of the Council of Twelve
L . D.S. Church. O ther addresses will
be given M onday by U .S. Senator
Orrin H atch, U tah Governor Scott
M. M atheson, U tah Senator Kay S.
Cornaby and Representative Sher­
man H armer, J r.
W ednesday, June 17, Harold W.
Anderson, executive secretary of the
U tah Bankers Association, will
present the executive director’s
report. Following other comm ittee
reports, addresses will be presented
by M irvin D. Borthick, commissioner
of U tah financial institutions, Frank
W. Abagnale and Edw ard T. Alter,
U tah S tate Treasurer.
Robert Bischoff, president, Com­
mercial Security Bank, will present
the legislative report. Closing the
morning session will be a report of the
election comm ittee and the installa­
tion of new officers. A djournm ent
will be at noon.
Convention chairman is Ron
Swenson, Tracy Collins Bank.

Fed Adopts Formal
Policy on Credit Life
The Federal Reserve Board on M ay
1 adopted a policy statem ent
generally prohibiting employes, of­
ficers, directors or others associated
w ith a S tate member bank from
profiting personally from the sale of
life insurance in connection w ith

N o rth w e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis

loans made by the bank.
The policy adopted by the Board
calls for such income to be credited to
the bank, or, alternatively, to a bank
holding company or other affiliate of
the bank, so long as the bank receives
reasonable compensation for its role
in selling the insurance.
The policy perm its state members
banks to allow their employes and
officers to participate in the income
under a bonus or incentive plan not to
exceed more th an 5 % of the
recipient’s annual salary. The policy
statem ent calls for compliance within
two years unless there is a further
delay for clearly dem onstrated
The policy statem ent was recom­
mended to the Board, and to the other
federal regulators of financial in stitu ­
tions represented on the Council, by
the Federal Financial Institutions
Exam ination Council.

Manufacturers Hanover
Plans Growth Strategy
In rem arks prepared for an address
to the annual m eeting of M anufac­
turers Hanover
New York recent­
ly, John F. McGillicuddy, chair­
m an and presi­
dent, said the
holding company
is pursuing two
strategies for fu­
first, to realize J.F. McGILLICUDDY
the full m arket potential of the
holding company structure now in
place, and second, to develop a
blueprint for taking full advantage of
any changes in bank regulations.
M r. M cGillicuddy said “ we are
preparing ourselves through a careful
exam ination of options under every
conceivable scenario, ranging from
no change at all to a complete
dism antling of the M cFadden A ct,
the Douglas Am endm ent and GlassSteagall. We are looking
demographic tre n d s,” he continued,
“ the m ovem ent of corporations, the
composition of the middle m arket —
even the performance and potential of
each of the nation’s 14,000 banks,
should laws be changed to perm it
out-of-state m ergers and acquisi­
tio n s.”

Concluding his rem arks, M r ^
McGillicuddy said “we b e lie v "
further change will come to banking,
and the reason we believe th a t is
because m arket forces will simply
demand i t.”

Management Operations,
Lending Featured by ABA
The m anagem ent, operations an<#
lending functions in branch banking
are the subjects covered in the
American Bankers A ssociation’s first
series of branch m anagem ent m od­
ules — a collection of three p ro g ra m #
tha can be used individually or in
combination — available through
A B A ’s American In stitu te of B ank­
Each module is a 15-hour p ro g ra n #
w orth one A IB credit (three credits
total) applicable tow ards several AIB
diplomas. Qualified instructors may
be available in a bank or through the
local AIB chapter if the program i #
used as an in-bank program .
Developed for branch m anagers,
assistan t m anagers, and m anage­
m ent trainees, the series stresses
functional, on-the-job skills; addi-®
tional modules are currently being
developed in other im portant branch
banking areas.
The M anagem ent module address­
es m ajor m anagem ent theories a n c #
techniques, focusing on ways a
branch m anager can contribute to
bank goals through the effective use
of branch resources. Basic procedures
and operational guidelines affecting®
branch personnel are featured in the
Operations module. An overview of
the lending function, legislation and
rules affecting lending and factors toA
consider in m aking loans decisions®
are covered in the Lending module.

Free MasterCard Travelers
Cheques at Continental


Continental Bank is offering
M asterC ard Travelers Cheques w ith­
out charge to purchasers th ro u g h ^
A ugust 15 in a program to introduce
Chicago-area consumers to the new
The new checks are available at all
of C ontinental’s Chicago locations.^
The bank is one of four initial issuers
of the checks, which are being
introduced under the M asterC ard
International program . Checks will
feature the M asterC ard symbol a n d ^
the name of the issuing bank.


W h at we sell, everybody’s selling!
W h at makes Westcap any better?
The Westcap Corporation is a
major regional distributor of cer­
tain ty p es o f fix e d -in c o m e
securities to primarily small and
medium sized financial institu­
tions— nationwide.
And so are a lot of other

Our sales people sit in the same room
with our traders. They personally know
one another. When you call Westcap you
can reach your contact. He or she will
know your name; you’ll know his or hers.
I t ’s a nice kind of attention we both
benefit from.

W h at m akes W estcap a b e tte r
o p tio n in this kind o f m arket?
In one overused w o rd — service.
In a n o th e r oversim plified phrase:
We are able to give o u r custom ers
th e kind o f atten tio n they deserve,
an d quite frankly in the co m p u ter­
ized business w orld, the kind o f
atte n tio n they crave and appreciate.
There are simple reasons fo r our

Now let’s talk about size.
We are not the smallest firm of
o u r kind by any means. We d o n ’t
ran k am ong the giants either.
We are a m odest sized company,
capable o f p erfo rm in g every service
y o u ’ll need. A nd, though we have no
a rg u m e n t with the giants, we believe
o u r size favorably affects the quality
o f service we offer.

Under one roof
P rim arily it’s because we are a
“one ro o f” operatio n . Sales persons,


D. A n n O rr, V ic e P resid en t-T rad in g,
k e e p s an ear to th e grou n d to know
w h at and w h ere the attractive in v e st­
m e n ts are. T h a t’s her job . “ My ability
to p e r fo rm for ou r c u sto m ers,” says
D. A n n , “ is d ir e c tly related to my
k n o w le d g e o f w hat th ey are tryin g to
a c c o m p lish in th eir in v estm en t goals.
T h r o u g h o u r sa le s p e o p le , I have
im m ed ia te and con stan t a c cess to our
c u sto m e r s and can com m u n icate to
th em w hat is a vailab le in the m arket
r e la tiv e to th eir g o a ls at any g iven
tim e. T h is ‘d ia lo g u e is v ita l’.”

Because we’re not a Goliath, we strive
fo r a better and closer customer relation­
ship. That means putting our personal­
ities upfront in an honest effort to serve
our smallest customers as we would our
Anybody can sell securities! We
do it ju st a little closer to o u r cus­
tom ers. They appreciate the difference.

tra d e rs , o p eratio n s and m anage­
m en t enjoy a physical proxim ity at
o u r H o u ston offices.
That means immediate execution over
the phone— buying, selling or trading.
It also m eans everyon e’s available
at the Other end o f your p h o n e— at
o n e num ber.
W hat is th e W estcap advantage? Jim
O g g , F ir s t V ic e P r e s id e n t , S a le s
p o in ts ou t that “ ou r trad in g d esk is on
th e sa le s flo o r. So w h en w e ask a
trad er fo r a b id , w e o ften get it — now
w h ile th e c u sto m e r is still on the
p h o n e . In to d a y ’s v o la tile m arket that
k in d o f s e r v ic e m e a n s m ore th an
c o n v e n ie n c e — it c o u ld m ean m oney.
T im e is m o n e y w h e r e a c u sto m e r
is c o n c e r n e d , w h eth er h e ’s b u yin g or
s e llin g . W e’re very m u ch aware o f
th at, h e r e at W estca p .”

A nd, th e person you talk to on
M on d ay will be th e re T h u rsd a y
w hen you call again.
It elim inates the problem o f call­
in g N ew Y ork fo r o n e service,
C h ic a g o fo r a n o th e r a n d n ev er
re a c h in g th e sam e person twice.
Even w hen in the same city, some
firm s are so fragm ented, you can
b e c o m e d is c o u r a g e d by b e in g
s w itc h e d fro m d e p a r t m e n t to
d e p a rtm e n t.
N ot so at Westcap!

M ob ley E. C ox, Jr., E x e cu tiv e V ice
P r e sid e n t...............“T h e ch ore o f m an­
a g e m en t is m ade e a sier w h en your
r e s o u r c e s are c lo s e at h a n d . O ur
r e s o u r c e s are our p e o p le . A nd th e y ’re
r ig h t h ere, sh a rin g a rooftop , trading,
b u y in g an d s e llin g togeth er. We are
c lo s e - a t - h a n d p e o p le at W e stca p .
T h a t’s o n e o f the reason s m anage­
m en t, lik e e v er y o n e e ls e , is availab le
to y o u w ith a p h o n e c a ll.”

The W estcap Corporation
1300 Main Street!Houston, Texas 77002¡713:651-1111
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker. J u n e , 1981


Ben DuBois Dies at Age 95
EN DuBois of Sauk Centre, M inn., one of the founders of the Independent
Bankers Association of America and the association’s chief executive for
30 years, died April 25 a t his home. He was 95.
Mr. DuBois was one of 28 small town M innesota
bankers who gathered M ay 9, 1930, at a resort lodge on
Lake M innewaska near Glenwood to organize opposition
to a m ultibank holding company m ovem ent in the state.
From th a t nucleus, the association grew into the
national organization now known as IB A A with more
than 7,300 member banks in 48 states.
Mr. DuBois, then m anaging officer of F irst S tate Bank
of Sauk Centre, agreed in 1933 to take over adm inistrative
duties of the association tem porarily after the secretary
resigned. Mr. DuBois recalled his statu s report a t the
time: “ The association h a d $90 a n d 90 m em bers.” The assignm ent lengthened
into 30 years, continuing until Mr. DuBois retired in 1963.
D uring his career with IBA A , Mr. DuBois traveled extensively throughout
the nation in his role as chief spokesm an for independent banking. He spent a
lot of time in W ashington, tirelessly contacting key governm ent figures,
including presidents, in his unceasing efforts for the independent banking
cause in which he believed so fervently.
Ben DuBois was born May 22,1885 in Sauk Centre, the first of three sons of
Dr. Julian A. DuBois, a pioneer prairie doctor.
Mr. DuBois joined M erchants N ational Bank as assistan t cashier in 1908.
Four years later, in 1912, he moved several doors up M ain Street to work for
his father at F irst S tate Bank. This, too, was to be a tem porary job but Ben
advanced to vice president, and then became president when the doctor died in
M r. DuBois was the b ank’s board chairm an a t the tim e of his death.
M rs. DuBois died in 1974. Surviving are two sons, B .F . “ P a t” DuBois,
president of F irst S tate Bank and former president of IBAA; Dave, vice
president of the bank; and two daughters, M rs. L aura Tonn, also a bank
employe, and M rs. M ary Fox, whose husband, Earle, is a retired officer of the

Fed Defers Reserves for
Small Banks by 6 Months

hold Vi of 1 percent of all deposits.
Those offering transaction accounts
or nonpersonal tim e deposits are
The Federal Reserve Board has subject to reserve requirem ents.
extended for six m onths the deferral
The Board indicated th a t it likely
of reserve requirem ents for nonm em ­
will seek, in the near future,
ber depository institutions w ith less authorization from Congress to
than $2 million total deposits.
establish a perm anent exemption
The M onetary Control A ct of 1980 from reserve requirm ents for smaller
made certain deposits of nonmember depository institutions.
as well as member depository
institutions subject to Federal
reserve requirm ents. To lessen the
First National Charter
burden for very small institutions
and in view of operational considera­ To Purchase Own Shares
tions, the Board deferred u nti M ay,
F irst N ational C harter Corpora­
1981, reserve requirem ents for tion, K ansas City, has announced it
institutions w ith less than $2 million will offer to purchase up to 100,000
to tal deposits, as of December 31, shares of its common stock at a price
1979. This deferral will now extend of $33 per share. Directors approved
until November, 1981. The Board the plan a t their m eeting April 30.
extended the deferral period to
A tender offer for the shares will be
provide the Reserve Banks with made following approval by regula­
additional time for im plem entation of tory authorities which was expected
the M onetary Control Act.
about June 1. The offer will be in
The deferral affects nearly 18,000 effect for 30 days.
depository institutions, including
Gordon E. Wells, chairm an of the
approxim ately 17,000 credit unions. K ansas City-based bank holding
These institutions are estim ated to company, said the shares purchased
o rth w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


will be used for future a c q u is itio n
and other corporate purposes.
F irst N ational C harter is the
parent company of 23 M issouri
banks, including F irst N ational Bank
of K ansas City.

LaCrosse Promotions
Two officer promotions were
approved at the annual board of
directors m eeting of F irst B a n #
(N.A.) for the LaCrosse division,
LaCrosse, Wis.
P. Michael M ahoney was prom oted
to senior vice president and senior
lending officer. He has been se rv in g
as a vice president responsible for
corporate banking and lending since
joining the LaCrosse division of F irst
Bank (N.A.) in 1979. Prior to th at.
Mr. M ahoney was a vice presiden#
affiliated w ith the Milwaukee divi­



Ronald W essels, has been prom c#
ted to vice president, corporate and
correspondent banking. Mr. W essels
joined the LaCrosse division in 1979
as an assistan t vice president. Prior
to moving to LaCrosse, Mr. W essel#
had been associated w ith the Farm ers
Home A dm inistration in W isconsin.

ABA Offers NOW Training
The American Bankers A ssocia­
tion has developed an in-bank
training program designed to help
educate custom er contact employes
on NOWs — the “ NOW A c c o u n t^
Seminar for Custom er Contact
The objective of the three-hour
seminar is to help front-line employes
increase their understanding of NOV^I
accounts so they can better explain
the service accurately and effectively
to bank custom ers.
A complete in-bank training
program , the seminar m ay b #
incorporated into the b an k ’s teller
training program . Bankers also are
encouraged to contact their local
American In stitu te of B anking
chapter to see if the chapter has p la n #
to sponsor the seminar.


W hen a custom er asks
for more than your lending lim it,
think Bankof Am erica.

When your banks customers decide to
expand their credit lines to inventory
equipment, whether farm machinery, earthmoving equipment, automobiles or what­
ever, they’re likely to turn to you for that
financing. And if the amounts they ask for
are greater than your legal lending limit, you
can ask Bank of America to provide you
with overline assistance.
In addition to offering funds, we can put
the lending skills of our account officers
to work for you. Backed by specialists in
equipment finance, they can assist you to

help keep those borrowers your customers.
With over 1200 offices around the globe,
we can provide a world of banking services,
including import-export assistance, as
well as domestic overline participations. The
next time you need a correspondent bank,
remember us: were the bankers banker.
In San Francisco, call (415) 622-6909.
In Los Angeles, call (213) 683-3288.

C o rre sp o n d e n t B a n kin g S e rv ic e s

Think what we can do for you.

Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Nuveen Offers Tax-Free Money Market Fund
OHN Nuveen & Co. Incorpor­
ated, Chicago, national specialist
in tax-free municipal bonds, has
launched a tax-free money m arket
fund specially designed for in stitu ­
tional investors.
“ The Nuveen T ax-Exem pt Money
M arket Fund, Inc., provides a
tax-exem pt investm ent vehicle for
tru s t bankers, investm ent advisers,
broker-dealers, insurance companies
and corporations,“ explained Rich­
ard J . Franke, Nuveen president.
“The F u n d ’s purpose is to help
institutions m anage their own
short-term tax-free investm ent needs
and those of their clients.
Imm ediacy is a key feature of the
Fund. Both custom er purchases and
share redem ptions are made by
toll-free telephone. In keeping w ith
the institutional nature of the Fund,
the minimum initial investm ent is
O ther features include: daily
tax-free dividends exem pt from
Federal income taxes; no sales or
redem ption charges; and a constant
$1 value going into or out of the
Fund. (The Fund seeks to m aintain a
constant $1 value by employing the
amortized cost m ethod of valuing its
The Fund meets the high quality
investm ent param eters and opera­
tional needs of institutional accounts,
Franke said. M aster accounts are
available for bank tru s t departm ents,
investm ent dealers and others who
are acting as agent, adviser, fiduciary
or custodian for their clients.
Complete sub-accounting services
provide m onthly statem ents of each
client’s account.
The F u n d ’s portfolio will have an
average m aturity of 120 days or less
and be comprised of municipal bonds,
municipal notes and project notes of
no more than one-year m aturities.
Investm ents of the Fund are of the
highest quality: notes rated M IG-1,
M oody’s Investors Service; A -l,
Standard & Poor’s Corporation; or
F -l, Fitch Investors Service; m unici­
pal bonds rated M oody’s A aa or Aa
and S & P ’s AAA or AA; or unrated
securities of equivalent quality. The
interest and principal on project
notes are guaranteed by the U .S.
Sam e-day tax-free dividends can
be earned when the investor places an
order by Noon E astern Time and
wires Federal Funds th a t are received


N o rth w e s te rn B a n ker, J u n e ,
Federal Reserve Bank of St. Louis


by 2:30 pm E astern Time. Same-day
redem ptions are made by wiring
Federal Funds to the investor’s bank
account if orders are received prior to
Noon E astern Time.

Brandt Award

The self-study teller workbook
encourages the new employe t "
practice new skills through exercises
and examples. A T rainer’s Guide is
also available for the program
adm inistrator.
To order the T rainer’s Guide,
request publication num ber 626101
467-4118. The cost is $10 for members
and $12.50 for nonmembers. Tellei^
num ber
626100, are $20 each for members and
$25 for nonmembers.

Sees Innovation in
Mortgage Lending

Ronald E. Doll (le ft) o f W ayzata, M in n ., was
honored at a recent aw ards cerem ony as the
No. 3 d is tric t m anager in 1980 fo r B randt,
Inc., a leading m an ufacture r of m oney
ha nd lin g eq uipm en t sold and serviced
th ro u g h 45 authorized d is tric t m anagers in
the U nited States. Headquartered at 1013
Ford Road, and a P lym o uth reside nt, Mr.
Doll received his award from Arthur W.
Engelberth (rig h t), d ire c to r of m arketing
and sales fo r the W atertow n , W is.,
m anufacturer. The award is based on
percent o f sales qu ota reached fo r the year,
com pared to th a t o f oth e r B randt d is tric t

ABA Offers New, In-Bank
Teller Training Program
The core of any b an k ’s training
program is teller training, and
hallm arks of a good program —
flexiblity, applicability and practical­
ity — are characteristics of the
American Bankers A ssociation’s new
in-bank Teller Training Program .
Especially beneficial for small
banks ($500 million or less in assets),
the program combines formal in­
struction w ith on-the-job skills.
Recommended form at for the pro­
gram is to combine 2-3 hours of
supervised instruction per day for 10
days, which allows trainees to use
and m aster new skills on-the-job.
The program stresses basics such
as the role of the teller, handling cash,
checks and other negotiable in stru ­
m ents, effective transactions, balan­
cing, knowing and prom oting bank
services and security. Specific bank
procedures and practices are easily
incorporated into the program .

Lawrence A.
operating officer of General E lectri®
Credit Corporation, told m ortgage
bankers a t the
National Second
M ortgage Con­
ference in S co tts­
dale, Ariz., th a t
finance com pan­
ies like his will be
competing more
and more with
savings and loan
associations and
m ortgage b ank­
Stressing innovation in financial
services today, Mr. Bossidy said the
home equity second m ortgage m arket
is ready for innovative thinking
because of the $1 trillion in h o m ^ |
equity which will become available in
the next few years. This will require
any financial organization wishing to
obtain a share of the m arket to
practice strategic and
excellence and innovation, he said.
General Electric Credit Corpora­
tion announced last m onth th a t its
new private m ortgage insurance
corporation subsidiary, General Elec^
trie M ortgage Insurance Corpora­
tion, has been licensed in six
additional states, bringing to 30 the
total num ber of states in which it is
Looking a t innovative products
th a t m ay result, he cited Shared
Appreciation M ortgages, presently
confined to the first m ortgage
industry. He said SAM s m ay soon be<
used by second m ortgage insurers.
He listed variable rates, interest-only
paybacks and revolving lines of credit
as some other innovation variations
th a t m ay be seen ahead in the secon
m ortgage m arket


Every time money orders leave
your institution they leave paperwork be'
hind. So do official checks and interest
and dividend checks.
Think of all the reconciling, filing
and storing. The tracing and refunding.
Then think of what those jobs cost in
time and money.
If you use American Express®pn>
grams for these items, handling them takes less time and costs
less money. Because we do the paperwork for you.
The Financial Institution Money Orders (FIMO®) are
printed with your name and supplied at no cost. You pay a modest
fee for each money order sold, but you control the profit because
you decide what to charge.
The Official Checks are tailored to your design and also
supplied free of charge. W hat’s more, your unlimited'amount
checks guarantee you substantial monthly income from the re'
mittance options we offer.
The Continuous Form Checks are tailored to your design
as well. And while there’s a modest fee for each, you’ll find it a
small price to pay for the interest and dividend check paperwork
that’s eliminated.
Remember, you’re in business to make money, not paper'
work. So send us the coupon for more information. It could be
the last piece of paperwork you handle for a long time.

Money Orders
Official Checks
Continuous Form Checks!
Mr. Gil Rosenwald
Please send me more information on I
V.P.—Marketing and Sales Operations
D Money Orders D Official Checks '
Travelers Cheque Division
D Continuous Form Checks
American Express Company—37th Floor
American Express Plaza, New York, NY 10004







Federal Reserve Bank of St. Louis




N o rth w e s te rn B a n ker. J u n e , 1981


First of Arizona Teller Plan a Big Hit
VER the past year, hundreds of
F irst N ational Bank of Arizona
tellers have added a touch of class to
their windows . . . and their statu s.
Handsom e nam eplates w ith shiny
bronze, silver and gold stripes have
sprouted up on teller windows
throughout The F irs t’s statew ide
branch system .
Beyond their eye-pleasing appeal,
these nam eplates signify achieve­
m ent and pride for hundreds of tellers
who have earned them through The
F irs t’s B est in the W est teller
certification program .
Begun in November 1979, the Best
in the W est program has proved itself
to be an im portant p art of The F irs t’s
employe recognition policy.
Ja n e t Dana, who coordinates the
program out of The F irs t’s education
and training departm ent, says, “ I
think it’s been successful. The tellers
needed a program like this and it ’s
som ething they deserve. A nd the
applications keep coming in .”
Through the Best in the W est
program , tellers have the opportun­
ity to earn recognition as profession­
als by dem onstrating their expertise
in custom er relations, teller proce­
dures and bank policies.
This recognition may be earned on
three levels, symbolized by nam e­
plates w ith bronze, silver and gold
stripes. A fter applying for the
voluntary program , tellers qualify for

BMA Offers Marketing for
Community Bankers
A practical “ how to ” sem inar on
Planning and B udgeting for com­
m unity bankers is being offered by
the Bank M arketing Association
June 24-25 at the Crown Center Hotel
in K ansas City, Mo. Charles Hinkle,
professor of business adm inistration
at the U niversity of Colorado,
instructor for the entire full-day
workshop, is listed by BMA as one of
the banking ind u stry ’s foremost
experts in planning and budgeting for
H ighlights of the workshop include
these practical applications:
• W hy should you plan, and w hat
are the components of an effective
• How to examine your own
strengths and weaknesses.
• Specific steps for developing a
m arketing plan.
• O pportunity to work out your

N o rth w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


the stripes and other rewards through
evaluations by their custom ers and
supervisors, their length of employ­
m ent and w ritten tests. Successive
testing and evaluations are required
to advance from level to level. In
addition to the stripes, tellers who
rate successfully also become eligible
for pay raises and gift certificates.
The program has been enthusias­
tically received by tellers, says Ms.
Dana. She added th a t the num ber of
tellers qualifying in the program has
dropped significantly over the last
few m onths because so m any tellers
already have qualified.
Nearly 500 of the approxim ately
1,100 tellers in The F irst system have
achieved the gold stripe, the highest
level in the program . In addition to
the m aterial results, other intangible
benefits have come out of the
program .
Mr. Dana says she has been
flooded with calls and letters from
b a n k s th ro u g h o u t th e c o u n try
inquiring about the program which is
one of few in existence. The fact th a t
The F irst ended the year w ith the
lowest teller turnover rate of any
m ajor bank in the state can be
attrib u ted in large measure to the
program , says Ms. Dana.
For these reasons, the first
anniversary of the Best in the W est
program was a proud m oment for The
First, said Ms. Dana.

offering discounted CDs includ^
Continental Illinois N ational Bank
and T rust Co., Chicago, and
Seattle-First N ational Bank, W ash­
Mr. Ford noted th a t the n e ^
discounted CDs will be issued by
F irst National in minimum am ounts
of $150,000 with a m aturity ranging
from 14 days to one year. All CDs will
be issued in bearer form only.
Mr. Ford said th a t corporate
treasurers and institutional investors
find the discounted CDs particularly
attractive. ‘‘The discounted CDs,
priced below face value and p a y in g
full face am ount at m aturity, will
allow easier yield comparisons with
Treasury bills and other money
m arket securities which are issued on
a discounted b a sis,” he com m ented#
‘‘The purchaser will know im m ediate­
ly the yield of the C D . It will no longer
be a case of comparing apples with
oranges,” he said.
Com m enting on the m arket for t h #
discounted CDs, Mr. Ford said, ‘‘The
new CDs are tools which will
ultim ately make the business of
buying and selling interest-bearing
notes less complicated for a #
involved. Therefore, we look for a
good m arket as the investor
comm unity becomes more familiar
with the new C D s.”

J.P. Morgan & Co. Applies
To Open Bank in Delaware

J .P . M organ & Co. Incorporated,
New York, announced th a t a p p li e s
own specific problems with other tions seeking perm ission for its
wholly owned subsidiary, M organ
bankers in sim ilar situations.
Holdings Corp., to acquire a
• H andout m aterials, booklets,
bank to be organized in
etc., for personal use and reference.
BMA notes th a t the num ber of W ilm ington have been subm itted t #
registrants will be limited to make the the Delaware Bank Commissioner
workshop more effective. The fee is and th a t related applications will be
$125 for members, $175 for non-BMA subm itted to the Federal Reserve
members. C ontact William St. John Board.
The new bank, to be called M o rg a#
at BMA, 309 W est W ashington,
Bank (Delaware), plans to engage in a
Chicago, 111. 60606.
‘‘wholesale” commercial banking
dom estically and interna­
1st of St. Louis Offers
tionally, holding deposits, m aking
Discounted CDs
loans and providing a range of othe#
F irst N ational Bank in St. Louis is banking and financial facilities,
offering discounted certificates of principally to corporate custom ers
deposits, it was announced by and financial institutions.
Richard F. Ford, president and chief
J .P . M organ & Co., whose
operating officer.
principal subsidiary is M o rg a #
F irst National is one of a few G uaranty T rust Company of New
banks in the country to offer this new York, stated th a t it hopes over time
item of CD, which experts believe to engage in interstate banking by
m ay eventually dom inate the $112 establishing or acquiring banking
subsidiaries as appropriate o p p ortun#
billion CD m arket.
O ther m ajor banks currently ities develop.


“ If (Hosier’s drive-in system s were
only as good as everyone else’s,
they wouldn’t be good enough
for M osler!”
Trans-Vista 800 gives you
the best upsend/downsend
choice in the business.

Robert E. Morano
Engineering Product Manager
Remote Transaction Systems

When you’re planning new drive-in facilities or
adding to what you have, Mosler wants you to get the
maximum benefits possible, so we give you the best
system choices possible. Mosler has the answer to
almost any drive-in situation. Also the most innovative
and practical ideas for your customers and tellers.
New Mosler Trans-Vista 800 teller terminals are
designed for upsend and downsend configurations
and are efficiently arranged undercounter for more
usable workspace. The upsend system’s clear
plastic tubing allows for complete visibility between
teller and customer.
With our optional Customer Identification
System, Mosler gives you an innovative solution to
the time-consuming problem of drive-in customer
identification. And Trans-Vista 800’s improved
operation makes your transactions faster and easier
than ever.
And of course we back our Trans-Vista 800
systems from start to finish, beginning with our expert
facility planners to our highly trained service technicians.
Because not only do our drive-in systems have to be
good enough for us. They must be good enough for you.

An American-Standard Company
Hamilton, Ohio 45012

Where quality products
are the product of quality people.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


After 64 years
still has the same name!

Not only have we had the same name all these years but our business
philosophy has also remained as it was back in 1917.
Competitive premiums, prompt, courteous service and fair loss
adjustments have been as consistent as our name.


“The Premium Won’t Break You

Jim Dawson

Bob Dawson

Lyle Askerooth


A Loss Might!”


Tom Dawson

BOX 1820 FARGO, ND 58107
If you are NOT a Dawson agent,
call our office toll free 1-800-437-4680
or (N.D. toll free 800-342-4848) and we will send
one of our key people to visit with you.


Dennis “ Chris”

Norm Selzle

N ofor
rth w
e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis

Pat Dawson

Bev Ingersoll



Community Development Corporation

A bank response to CRA

Vice President
F irst National Bank
W aseca, Minn.

N April of 1978, Comptroller of the Currency Heimann
issued Interpretive Ruling 7.7480 which authorized a
bank to establish a wholly-owned Comm unity
•D evelopm ent corporation as a subsidiary of the bank.
This ruling came as an indirect result of the Comm unity
Reinvestm ent A ct and the regulators’ efforts to
encourage lenders to greater com m itm ent to their
comm unity. N orth Carolina N ational Bank created the
•firs t com m unity developm ent corporation. Since then
four others have been approved. On M arch 11, 1981,
F irst National Bank of W aseca became the sixth and
sm allest bank in the country to be approved to own and
operate a CDC. I t is the only rural bank and the only
•b a n k in the 9th Federal Reserve D istrict to have such
The Com ptroller’s ruling provided broad authority for
bank CDCs, b u t with some protective restrictions.
Generally, a CDC can acquire, own, lease, rehabilitate
•a n d m ortgage real estate. I t can conduct surveys,
research or provide technical assistance to governm ent
or private entities. The CDC, however, m ust be civic,
comm unity or public in nature. The m ajority of its board
of directors m ust come from the com m unity at large. To
%>rotect the bank, the Com ptroller restricted bank
investm ents to no more than 2 % of capital and surplus
for any one CDC project, and no more than 5 % of capital
and surplus in all projects. To insure th a t investm ents
be p u t into the com m unity, the Com ptroller indicated
•c h a t profits m ay not be “ upstream ed” to the parent
bank for a period of a t least three years. The Comptroller
encouraged CDC’s to look, in particular, at projects th a t
improve low and m oderate income neighborhoods and
small businesses.
Charlotte Experience
L e t’s look at a few examples of w hat some CDC’s are
N orth Carolina N ational Bank (NCNB) entered into
^ ;he com m unity developm ent business because it saw
C harlotte becoming a decaying urban center and no one
Federal Reserve Bank of St. Louis

was doing anything about it. I t decided to become a
corporate citizen to rebuild some m arginal area and
bring m oderate and upper income people, heretofore
com m uters, back into Charlotte. Shortly after its
creation, NCNB looked toward central city revitaliza­
tion. In 1979 it entered into a joint venture with a
developer to construct 27 townhouses for middle and
upper income residences in the 4th W ard urban renewal
area of Charlotte. I t also acquired a 39-unit apartm ent
and renovated it into a condominium unit w ith prices
ranging from $39,000 to $89,000.
N C N B’s CDC, in addition, agreed to be a property
m anager for other townhouse units in the 4th W ard.
Upon completion of all projects, the assessed valuation
in the 4th W ard rose from $7.6 million in 1976 to over $90
million. In 1980, the CDC obtained 20 acres of land in the
3rd W ard urban renewal area and agreed to develop it as
a planned unit condominium developm ent geared to low

from Rockford
Vocational Technical
Center, Scott
Sodergren (left) and
Angelo Bonacquisti
(right), get
instruction from their
teacher, Sherman
Crenshaw, while
helping rehabilitate
property acquired by
First Rockford

N o rth w e s te rn B a n ker, Ju n e , 1981


“First National Bank’s management feels the COC will play an <n
important role in its commitment to the Waseca community.”
and m oderate income families. In addition to the equity
investm ents, NCNB established a low interest home
m ortgage program for buyers of property in the 3rd
W ard. The CDC became the agent to handle the
servicing of these loans. To date, N C N B’s CDC has been
a positive success story and model for other CDC’s.
Chicago Experience
In April, 1979, F irst National Bank of Chicago
received approval for the F irst Chicago Neighborhood
Development Corporation (FCNDC). FCNDC, w ith a
capitalization of $1 million, placed a great deal of
emphasis on equity investm ents in residential,
commercial and industrial developm ents. I t promoted
joint ventures w ith other equity companies and limited
partnership syndications. Initially, FCNDC established
contacts w ith local development groups, the Chicago
Rehab Network (an association of comm unity
organization’s emphasizing residential development)

TYPICAL landscaped courtyard in The Parkways, C hicago, where
co n s tru c tio n on 20 three -story apartm ent b u ild in g s began last
S eptem ber and w ill be com pleted in June, 1982, at a co st of $25
m illio n . F irst N ational C hicago is involved in th is developm ent.

and the Chicago Association of Neighborhood Develop­
m ent Organization.
To date, FCNDC has made one $600,000 investm ent
in a fifty-percent partnership with the Chicago area
Renewal Effort Service Corporation (RESCORP) and
City Lands Corporation, a subsidiary of the holding
company which owns South Shore Bank of Chicago, in a
$35 million multi-family residential development: The
Parkw ays. Construction for this 20 building/446 rental
unit project began in Septem ber, 1980. FCNDC is also
involved in doing m arket feasibility studies and is
working closely w ith commercial development groups in
m any different neighborhoods of Chicago.
1st Rockford Experience
F irst National Bank of Rockford, 111., a $180 million
bank, established F irst Rockford Development
Corporation (FRDC) in July of 1979. Richard J .
Brynsteson, a real estate and commercial lending
officer, was assigned to this new subsidiary as president.
DigitizedN ofor
rth w e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

He singles out two projects in which his CDC is c u rre n t!#
involved. The first is the Vo-Tech Project worked out
with the local school district and Vocational Technical
Center. The CDC agreed to provide a home and
m aterials, and the Center would provide the labor for
rehabilitation of the home. Mr. CDC leaders felt with t h #
rising cost of new homes, m any citizens would be looking
into remodeling and rehabilitation. Mr. B rynteson
reports the program , in its first year, worked very
satisfactorily, and the CDC hopes to provide an
additional home for the fall sem ester. The one from th i#
year was to be completed this m onth and a buyer expects
to take possession immediately.
The second Rockford project is one undertaken in
conjunction with the Com m unity D evelopm ent
D epartm ent of the City of Rockford. Application for a ®
U rban Development Action G rant through HUD calls
for the acquisition, rehabilitation and sale of 11 homes in
the H aight Village residential district. A lthough not
totally qualified as slum residential property, they h a v ^
deteriorated and are no longer an asset. This project wilr
upgrade the home, yet keep them in a price range
affordable by the low and m oderate income resident.
Tem porary approval has been received from the city and
the next step is to receive the necessary d o c u m e n tatio n
to implem ent the project.
Waseca Plans
F irst N ational Bank of W aseca, while assim ilating
ideas from other CDC’s, is taking a different approach^
We anticipate cooperating with city governm ent®
developers and the W aseca Development Corporation
through joint ventures to acquire and renovate older
housing stock or replacing w ith new housing stock for
resale. The CDC would work w ith city governm ent om
tax increm ent projects or tax exem pt bond projects t h a r
benefit low and m oderate income families and those th a t
improve existing commercial facilities. Furtherm ore, we
anticipate the CDC to be a catalyst to secure federal
state and local funds and being approved by SBA as ^
local developm ent company under the Section 50T
program . F irst N ational B ank’s m anagem ent feels the
CDC, known as the F irst N ational Neighborhood
Development Corporation, will play an im portant role in
its com m itm ent to the comm unity.
In 1979, W aseca voters approved a $10 million
m ortgage revenue bond program and the authority for
this program runs until 1983. N othing has been issued
yet under this authority, bu t if the bond m arket would
back off to a 9 V2 rate, then m ortgages could be issued ak
a IOV2 rate th a t would be helpful to the purchasers. The
CDC will proceed with its plans, in any event, b u t it
would be more beneficial if the bond issuance would be
available a t the lower rate.
Bank owned CDCs are for comm unity-orientec||
bankers who need a vehicle for revitalizing declining
residential and commercial neighborhoods. They can be
positive forces for effective change and provide a
mechanism for banks to play a positive, realistic role
beyond the normal constraints placed on the banked
today. Bank CDCs are a practical response to CRA. □


“W h y w e c h o s e
an in -h o u se
co m p u ter s y s t e m ”
A N orthw estern B anker interview w ith
S tate Bank of Cairo, Neb.
A CUSTOMER printout from State Bank of Cairo’s in-house
computer is examined by John Stokman (left) and Dick Heckman,
v.p.s of the bank.

i CD

Y TH E Spring of 1980 it became apparent th at
we would have to do som ething about our data
processing sy stem ,” says Richard Heckm an, vice
resident of the S tate B ank of Cairo in Cairo, Neb. “ Up
ntil then we thought we had the best of two
worlds . . . off-premise processing of our DDA and
C .D .’s and Savings A ccounts, coupled w ith in-house
handling of Proof, Loans and General Ledger,” he
9 B ut, according to Mr. Heckm an, “ Things began to go
w rong.” The proof and posting machines began to have
mechanical problems more frequently and p arts were
becoming increasingly more scarce. Added to th at, the
koff-premise processing by the correspondent bank (plus
carrier service) increased in cost from $7000 in 1974 to
$28000 in 1980. For a bank w ith $22 million in deposits
and processing 2000 to 4000 item s per day, the expense
of processing seemed to be getting out of hand.
. By the end of the summer, it became apparent to Mr.
Heckm an th a t his choices narrowed down to these three:
Go completely off-premise to a correspondent
bank d a ta service—and also buy another proof machine.
(An on-line operation was out of the question


2. Buy new or re-built proof and posting machines
and operate as in the past.
3. Buy an in-house com puter system .
Alternatives Explored
A t this point, President Bob Larson assigned
Heckm an and Vice President Tom Em erton to explore
the alternatives. Their research took them to in-bank
dem onstrations of vendor installations a t six locations,
m any interviews with m arketing representatives,
extensive discussions w ith correspondent bank
processing centers, and num erous phone interviews with
users of various system s.
“ As a result of this research,” Mr. Heckm an said, “ It
became increasingly clear th a t an in-house computer
system was the way to go. W hen we took our findings to
the board, the deciding factor was simply a m atter of
c o st.”
“ Off-premise processing was too expensive to cost
justify, and I had no way to control th a t cost in the
fu tu re .” As to the idea of buying proof and posting
(Turn to page 36, please)

LEFT— Pat Moss keys information to the
computer and reports “the system is simple
to operate, and the conversion was
painless.” CENTER—Jackie Purdy re­
moves management report from printer.
RIGHT— Customer Marvin Roth watches
Catherine Schultz bring up his CIF on the
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981

H EN federal regulators announced in early 1980
th a t they intended to rescind rules th a t prohibited
commercial banks from offering Negotiable Order of
W ithdraw al accounts to custom ers, the directors of
financial institutions were elated. However, there was
no cause for joy among those small town bankers whose
operations were ill-equipped to perform interest
com putations on the fluctuating daily balances
perm itted by this form of checking service.
“ We knew we had to offer the NOW accounts in order
to stay competitive, b u t we ju st did not have the
capability of offering th a t service with our existing
bookkeeping equipm ent,” recalls Jam es E. Jorgensen,
president of Central S tate Bank in S tate Center, la ., a
rural comm unity less than an hour’s drive from the
downtown financial district of Des Moines.
Central S tate Bank, with $16 million in total deposits
spread am ong2,600 checking and savings accounts, had
been relying on two electronic posting machines to
record proof of deposit, demand deposit accounting, and
loan transactions. Interest-bearing account bookkeep­
ing for services such as certificates of deposit and
passbook savings were being performed by a
correspondent bank in Des Moines.
Explored New System s
“ We explored the feasibility of having our
correspondent bank perform the NOW account
bookkeeping for u s ,” says Mr. Jorgensen. “ We also
investigated the practicality of purchasing a com puter
system for in-house use. It was decided at the outset
th a t whichever route we elected to take, it would be done
with the intention of converting all of our services to th a t
one m ode.”
Mr. Jorgensen ultim ately called in A rt Jo u ra of D ata
Business E quipm ent, Des Moines, the Iowa affiliate of
Benchm ark Com puter System s headquartered in
Omaha, Nebr. Mr. Jo u ra dem onstrated a low-cost
m inicom puter system for Mr. Jorgensen. Im pressed by
the small com puter’s capabilities, Mr. Jorgensen
decided it would be prudent to purchase this system and
use it to perform the NOW bookkeeping in-house.
In November, 1980, the com puter—a Model 20/24
built by CADO Com puter System s of Torrance,
Calif. —was delivered to Central S tate Bank. On
Jan u ary 5, 1981, Central S tate Bank was transacting
the first of its nearly 200 NOW accounts. Normal
transition bookkeeping problems were resolved within a
Cuts Costs in H a l f
“We had looked at several com puter system s other
than the one recommended by D ata Business
E quipm ent,” says Mr. Jorgensen. “ The CADO system
proved to be less costly than the others by one-third, yet
it was every bit as versatile as the larger sy stem s. On the
other hand, had we elected to utilize the correspondent
b ank’s service bureau, it would have cost up to $2,600
per m onth, including item transportation charges.
Based on a five-year projection, we estim ate th a t the
CADO in-house system is costing us less than half th a t
am ount each m onth. T h a t’s less than the cost of one
M r. Jorgensen says the m inicom puter owned by his
bank is more properly classified as a microcom puter. It
consists of three video display term inals (each with its
own typew riter-like keyboard for d ata entry and
Federal Reserve Bank of St. Louis

CENTRAL State Bank in State Center, la., uses the CADO System
C o rp o ra tio n ’s M odel 20/24 to enter tra n sa ctio n s and generate
statem e nts.

Mini-computer proves
cost effective for
rural bank’s NOW s
A N o r t h w e s t e r n B a n k e r interview with
JA M E S E. JO R G EN SEN , President
Central S tate Bank
State Center, la.

com m ands), a high-speed paper printer which translates
electronic impulses into English at the rate of 150
characters per second, and a W inchester disk memory
unit capable of storing up to 13 million bits of
information. Interestingly enough, the system occupies^
about the same space as a standard office desk.
The system is upgradeable, which m eans th a t the
bank m ay choose at a later date to add more video
keyboard term inals, printers, and storage capacity to
the computer. A pre-program m ed package of banl^i
bookkeeping program s came with the purchase.
Developed by program m ing expert Leonard W aldorf,
these program s were the principal reason Central State
(Turn to page 36, please)
N o rth w e s te rn B a n ker, Ju n e , 1981


N A TIO N ’S commercial
9 1 bankers decisively reject in ter­
state bank branching and bank
ownership as necessary to m eet the
dem and for interstate banking
^ervices according to a landm ark
national survey of bank chief
executive officers and other senior
banking executives released by the
Conference of S tate Bank Supervi­
s o r s a t its recent annual convention in
H o u sto n .
According to the study, fully 84%
of the nation’s bank CEOs support
the present structure of the dual
R a n k in g system and believe it flexible
enough to accommodate as m uch in
the way of demand for interstate
banking services as the industry may
experience. Only 11 % of these senior
£>ank officials do not see the present
system as flexible enough to meet

C3B3 Survey Shows:

8 4 % of bank C EO s su p p ort
p resen t dual banking s y s te m

necessary sta tu to ry changes being
made by the states. Recently, the
S tate of Delaware enacted legislation
perm itting banks in other states to
operate within its borders, provided
they meet certain requirem ents.
South D akota has a similar law on its
“ Do you sup po rt the present s tru c ­
books, while M aine perm its out-ofture of the dual banking syste m ? ”
state banks to branch within its
boundaries, provided the home states
84% Yes
11% No
of such banks offer Maine banks
reciprocal rights.
th a t dem and and support greater
Both opposition to the present
Federal control in order to prom ote structure of the dual banking system ,
th e grow th of interstate banking under which both the states and the
Federal governm ent share authority
The study was conducted am ong a to regulate in terstate bank branching
scientifically selected random sample and bank ownership, and support for
of 369 bank CEOs (or their designees Federal preem ption by repeal of
n the b an k ’s executive committee) M cFadden and Douglas are confined
by M arket Facts-W ashington, a largely to the n ation’s largest banks,
nationally-recognized public opinion those with domestic assets of $1
and m arket research firm headquar­ billion or more, the study found.
tered in Chicago. Banks of all sizes These banks account for ju st 1% of
>were carefully represented in the the nearly 15,000 commercial banks
sample, assuring the accuracy of the in the U nited States.
results, which are subject to
The study also found th a t while
m axim um expected sam pling error of these largest banks typically seek
no more than four percentage points, higher grow th during the 1980s than
•p lu s or minus.
do smaller banks, they expect lower
Moreover, when asked w hether, in average annual real grow th rates
the event the M cFadden A ct and during the decade than do smaller
Douglas Am endm ent were repealed,
they would favor Federal preem ption
“W hat m edian average annual real
taf authority in this area, or state
gro w th rate do you expect in th is
actions and agreem ents to govern
in terstate bank ownership, only 18%
A ssets under $50 m illio n - 9.2%
A ssets more than $1 b illio n - 5.8%
of these senior bank executives
supported Federal preem ption, while
*71% said they would support the
banks. For example, the nation’s
sm allest banks, those w ith dom estic
assets of less than $50 million, expect
“ In the event the M cFadden A ct and
a m edian average annual real growth
D ouglas A m en dm e nt were repealed,
w o uld you favor Federal preem ption
rate of 9.2 % , while banks with more
of a u th o rity in th is area, or state
than $1 billion in assets expect to
a ctio n s and agreem ents to govern
grow at a significantly lower real
in te rsta te bank o w n e rsh ip ? ”
annual average rate of 5.8 % . I t is this
Federal preem ption - 18%
gap between high grow th goals and
S tate actio n - 71 %
low growth expectations which
explains why senior m anagers of
Federal Reserve Bank of St. Louis

larger commercial banks feel particu­
larly hard-pressed to actualize their
growth targets, and why they are
more likely to endorse Federal
preem ption, which they believe will
aid them in closing the gap between
their high grow th goals and their
lower-than-average grow th expecta­
tions, the study concludes.
Am ong other evidence of low
support within the industry for any
m ajor changes in the present
structure of the dual banking system ,
or for Federal preem ption, the study
cites the fact th at, when asked to
volunteer those factors they believe
are likely to slow or limit the growth
of their banks during the 1980s, ju st
5% of the nation’s bank CEOs
W hat fa cto rs are lik e ly to slo w or lim it
the g ro w th of your bank durin g the
Poor na tion al eco no m ic
c o n d itio n s - 49%
Poor re g io n a l/lo c a l eco no m ic
c o n d itio n s - 45%
C o m p e titio n - 42%
C apital fo rm a tio n pro blem s - 16%
G eographic expansion
re s tric tio n s - 5%

mentioned current restrictions on
geographic expansion, either intraor interstate. For the industry as a
whole, poor national economic
conditions (volunteered by 49%),
poor regional a n d /o r local economic
prim arily from th rift institutions and
money m arket funds (42%), and
problems in forming adequate capital
needed for grow th (16%), were all
mentioned much more frequently
than current restrictions on geo­
graphic expansion as likely barriers
to bank growth. Even among the
large, $1-billion-plus banks, probCSBS SURVEY . . .
(Turn to page 36, please)
N o rth w e s te rn B a n ker, Ju n e , 1981


Focus on the future
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W ritten Especially for
T he N orthw estern B anker


Associate Vice President
Financial Instrum ents Specialist
Dean W itter Reynolds, In c .,
Omaha, Nebr.

recognizing the volatility of to d ay ’s interest rate
I Nsensitive
m arket, we come to realize the necessity of
understanding financial futures as a tool available to
reduce risks.
Futures hedging, securing a position in the financial
futures m arket equal and opposite to an exposed cash
m arket position, may be applied to m any areas in a
b an k ’s operation. The m ost widely used hedges are in
three overlapping areas: asset and liability m anage­
m ent, portfolio hedging, and yield improvement
(cash/futures com binations which provide a higher yield
than straig h t cash investm ents).
Because controlling a m argin spread between assets
and liabilities is not always possible, it is im portant th a t
banks layer assets and liabilities into m aturity
categories. An overall assets and liabilities breakdown

N o rth w e s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis

gives m anagem ent a direction for planning, while
layering points to areas th a t could present imm ediate
risk in a volatile interest rate m arket.
L e t’s assum e a bank sees the following exposure in its
short-term comm itm ents:

0-30 days
31-60 days
61-90 days

$ 5MM

$ 1MM

$4MM Asset
$4MM Liability

To correct this imbalance, the banker could purchase
(Turn to page 37, please)



... Like testing for air pollution.
Or helping a firm with a truck safety program.
O r m aking water flow tests for fire protection.

These are just som e o f the
services Employers M utual
Com panies offers its
policyholders. We have our
ow n specialists to p e rform
them, and o u r ow n
environm ental health
laboratory located in our
H om e O ffice building.
Employers M utual
Com panies was founded in
the concern for the health
and safety o f others. It
started, in 1911, by w ritin g
w o rke r’s com pensation
insurance. Today Employers
M utual w rites all lines o f
insurance, but continues its
tra d ition o f service.
We w rite insurance, yes.
And do much more.

E m p lo y e r s M u t u a l C o m p a n ie s
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981

(Continued from page 33)
lems in forming sufficient capital for
growth (47%), com petition from the
thrifts and money m arket funds
(33%), and poor national economic
conditions (33%) are all m entioned as
barriers to grow th more frequently
than are current restrictions on
geographic expansion (26%).
Am ong other significant findings,
the study revealed:
• While a m assive 79% m ajority of
these senior bank executives believe
th a t the relatively low interest rates
paid by banks are responsible for
their recent loss in m arket share to
the money m arket funds, ju s t 10%
feel th a t the present geographic
restrictions on bank ownership are
the more responsible factor for this
loss of m arket share. Even among the
nation’s largest banks, ju s t 9% see
current geographic restrictions at
fault here.
• Overall, 83% of all bank CEOs
disagree th a t “ the present dual
banking structure is so complex and
restrictive th a t it presents a real
(Continued from page 32)

Overall, the mood of the American
banking industry is decidedly b u llis h
as Ronald Reagan completes his first
100 days as President. By a m argin of
better than 2-to-l, a 65 % m ajority of
the nation’s senior banking execu^
tives now see the economy a®
barrier to grow th of my b a n k .” J u s t “ generally going in the right
15% agree th a t this is the case, and direction” or as “ definitely on the
even among the CEOs of the nation’s right tra c k .” B yw ay of contrast, ju st
$1-billion-plus banks, opinion is 26% feel th a t the economy is nov^
“ generally going in the w ro n *
evenly divided, 53% to 47% .
• While opinion in the industry is direction,” or is “ seriously off on the
evenly divided, 47% agree versus wrong tra c k .” The short-term
47 % disagree on the item, “ sooner or outlook is even more positive: fully
later, rapid and sweeping technologi­ 87% of the nation’s bank C E O ^
cal changes in the commercial expect the economy to make “ some
banking industry will make wide­ or “ a lo t” of progress by this time
spread in terstate bank ownership next year, while ju st 9% expect the
inevitable,” there is a clear consensus economy to “ stand still” or “ lose
(70% agree, 14 % disagree) th a t “ the ground” during th a t time.
real question in the debate over
As a result, the study notes, 49%
interstate banking is not about the of the n ation’s bank CEOs rate the
adequacy of interstate banking job being done by Ronald Reagan as
services, b u t about who should President as “ excellent,” while
determ ine w hether interstate bank another 39% term his p e rfo rm a n c e
ownership is needed.” Even CEOs of “ p retty good,” for an overall positive
$1-billion-plus banks agree w ith this rating of 88 % . J u s t 5 % give Reagan
point of view by a 51% -to-44% negative ratings of “ only fair” or
m argin.
“ poor.”
comm unity. If we hadn’t converted to this in-hous^
com puter system , we alm ost surely would have lost the
NOW account business to other nearby com petitors in
M arshalltown (the county seat) and in Des Moines. ” □
Do you agree tha t the present dual
banking s tru ctu re is so com p le x and
re strictive tha t it presents a real bar­
rier to the gro w th of your bank ?”

Bank was able to sta rt productively using its new
com puter so quickly.
System Offers V ersatility
Central S tate Bank today utilizes the microprocessor
not only to enter transactions, b u t also to generate
statem ents for all services with the exception of CD
accounts, which still are handled in Des Moines by the
correspondent bank. (Central S tate Bank plans to bring
its CD bookkeeping in-house a t an unspecified future
date.) Mr. Jorgensen says th a t every one of the eight
employees a t the bank makes a practice of using the
sim ple-to-operate com puter as p art of his or her daily
work routine. Three non-specialist operators currently
squeeze the m ost use from the system ; their training was
accomplished at the bank and required only a few days of
System security is m aintained by built-in passw ords.
W ithout knowledge of the passw ords, unauthorized
persons cannot gain access to the com puter’s store of
bookkeeping records. And, since the com puter is a
self-contained system not linked by telephone to any
external sources, there is no danger of tap-ins.
Moreover, Mr. Jorgensen says, the system is
mechanically reliable: “W e’ve had no problems w ith the
hardware. Our w orst problem was th a t we had to give up
our New Y ear’s weekend in order to transfer all our
bookkeeping records from paper into the computer
memory bank. We were able to do this within the three
days, ju st in tim e to begin transacting NOW accounts.
“ Our average NOW account has a balance of $10,000.
T hat is a substantial sum, especially for a rural
o rth w e s te rn B a n ker, J u n e ,
Federal Reserve Bank of St. Louis


(Continued from page 31)
equipm ent, he recalls, “ it seemed like taking a step
backw ard.”
E quipm ent Selected
Exploring on-premise com puter system s led him to
select the Texas Instrum ents System offered by M odern
Banking System s, Inc. of Om aha for these reasons:
1. Direct E n try System : “ M .B .S. seemed to k n o \^
more about this than any of the other vendors I talkecr
to .”
2. M aintenance Service: “ From the users I talked
to, the M .B.S. users were uniformly enthusiastic and
3. Cost Justification: “ Looking a t the figures
supplied by the company I calculated th a t 3 % per m onth
(of the total cost of hardw are, software, m aintenance
service, sales tax, supplies, freight, etc.) would pay for
the system in five y e a rs.”
4. Software Reliability: “ I was impressed by the fact
th a t their system doesn’t require specially trained
personnel . . . and the fact th a t M .B .S. wrote the entire
software package and m aintains it them selves.”
5. M arket Penetration: “ I t appears th a t there arf|
more M .B.S. computers installed in N ebraska and Iowa
than by any other vendor. This told me som ething.”
Finally, Mr. Heckm an said, “ I suppose there was a
subjective reason in our decision. I t seemed to me th a t
the Modern Banking System users expressed ai|
attitu d e th a t this is a company th a t cares. ”

(Continued from page 34)
four T-bill contracts, each calling for the delivery of
$1,000,000 90 day U .S. Treasury Bills. This hedge
extends the four million dollar risk exposure as follows:
0-30 days $ 5MM
31-60 days $10MM
61-90 days $10MM

$4MM Assets $4MMto
$ 1MM
90 days
$14MM $4MM Liability


Risk exposure is alleviated, and if loan demand
m aterializes, the T-bill hedge can be offset by selling
some, or all of the contracts.
Bond Hedging
L e t’s examine the b ank’s bond
I portfolios in relationship to possible
m arket depreciation and we m ay see a
lack of liquidity, loss of income, and
lack of m anagem ent’s ability to
respond to new needs. In order to
prevent substantial portfolio losses,
one can invest in the short-term
m arket, or take advantage of a
positive-shaped yield curve and short
hedge. This type of hedge is used
when rising interest rates are
For example: On June 13, 1980, a
positive yield curve showed long­
term investm ent paying 2 % higher
►yields than short-term investm ents.
A t this tim e a bank could have
bought Treasury Bonds, 113A % of
2010, at a dollar price of 121 yielding
9.60% , and sim ultaneously it could
have sold 14* December 1980 T-Bond
futures contracts a t 85 21/32. W hen
the yield curve changed from positive
to negative by December 11, the bank
could have offset its position by
►selling the cash T-Bonds at a dollar
price of 89.8125, a loss of
$311,875.00, and buying back its 14
December 1980 T-Bond contracts at
63 12/32, a profit of $311,937.00.
► The profit made from the futures
position would have com pensated for
the cash bond loss. A t this point, the
bank would have had the flexibility to
invest in the short-term m arket and
►capitalize on the high income
available. If this strategy had been
implemented in 1978-79-80, some of
the portfolio m arket depreciation
th a t possibly exists today could have
'been minimized.
Hedging Study Needed
In terest rate futures can bring
flexibility to an investm ent program .
W ith the outlook for continued
Federal Reserve Bank of St. Louis

volatility in the interest rate m arkets
in the decade of the 80s, a thorough
understanding of the various applica­
tions of interest rate futures hedging
seems to be an appropriate study
program for 1981.

* The T-Bond contracts are quoted on the
basis of an 8 %-20 year bond. A factor is used
to adjust price for different coupon rates and
maturities. It is necessary to use a ration
hedge to achieve better correlation.

Better business
through risk
An interest rate
futures program
tailored to my
bank’s needs
The needs of your bank are unique, and when it comes to planning an
interest rate risk management program you deserve personalized service.
The expert personnel of Dean Witter Reynolds' Financial Futures Divi­
sion offer you on-site development of a complete hedging program
responsive to your special requirements. We can provide training for your
personnel, coordination of a total program and access to our computerized
market/arbitrage analyses.
For more information, please write or call Merrill R. Johnson or
Randall C. Peck, Regional Specialists in Financial Futures Hedging,
Dean Witter Reynolds Inc., 1818 Douglas Street, Omaha, Nebraska
68102. (402) 449-1600.

One investment firm
you’ll be glad to hear from.

Member SIPC

N o rth w e s te rn B a n ker, Ju n e , 1981


How to add to your
loan portfolio - but minimize
additional exposure and expenses.
BarclaysAmerican/Business Credit can help you
accommodate a good customer or prospect who
might not be bankable. Or one whose needs exceed
the limits you have set. Or whose credit might have
temporarily slipped.
How? Through a loan participation with us. It
can give your customer a secured lending arrange­
ment that meets his needs, and yours. It can also
provide uniquely professional and flexible loan
T hat’s because we’re staffed to control and admin­
ister each loan. We can evaluate and monitor most
forms of collateral —receivables, inventory, machin­
ery and equipment or real estate. We can even man­
age specialized assets in widely scattered locations

that your bank may not be set up to handle.
Also, through regular visits to the borrower, we
review company operations, analyze trends, and per­
form financial and collateral audits to control and
minimize our mutual exposure. And all without cost
to you.
Our experience is broad and deep. Our resources
are extensive. Our approach is thorough. And our
decisions are made quickly.,
Next time you’re faced with a loan request that
isn’t quite right for you, consider BarclaysAmerican/
Business Credit. We can help
you keep and strengthen
existing customers, as well
as gain new ones.
B usiness Credit
A n a ffilia t e of k j
© BarclaysAmerican/Business Credit, Inc. 1981

Service is the difference between our money and other money.
BarclaysAmerican/Business Credit, 18662 MacArthur Boulevard, Suite 420, Irvine, CA 92714 (714) 752-6405
One Main Place, Suite 930, EO. Box 50547, Dallas, TX 75250 (214) 651-0361
180 North LaSalle Street, Suite 424, Chicago, IL 60601 (312) 346-8370
530 North Water Street, Drawer 8-C, Milwaukee, WI 53202 (414) 272-3102
1717 Cargill Building, Minneapolis, MN 55402 (612) 339-2222
N o rth
e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis

J .D . L E M M E R M A N



T .N . R O C H F O R D

P resident

1 st V ice Pres.

2nd Vice Pres.


90th Annual

Illinois Bankers
Association Convention
June 14-16
Chicago Marriott Hotel
Chicago, 111.
TH AN 1,200 bankers and spouses are expected to attend the 90th
annual convention of the Illinois Bankers Association June 14-16 at the
Chicago M arriott on M ichigan Avenue. IB A President Jack D. Lemmerman,
president of the National Bank of M onm outh, will preside a t the meeting. Mr.
Lem merm an and IBA Executive Vice President William J . Hocter, have
announced the following list of distinguished speakers who will address the
convention. Association business, a legislative discussion and report, and
election of officers also will be p a rt of the program .

Monday, June 15
a.m . —Charles Schultze, chairm an of the Council of Economic A d­
visors, 1977-81.
a.m . —Llewellyn Jenkins, president-elect, American Bankers Associa­
a.m . —Congressman Dan Rostenkowski, chairm an of the House W ays
& M eans Committee.
noon—Georgie Ann Geyer, foreign correspondent of the W ashington
S tar (at the spouses luncheon).
p.m . —James Little, director of financial futures, Clayton Brown &
Associates, Inc. (workshop).
p.m . —Frank Abagnale, former im poster, forger and con m an (work­


Exec. Vice Pres.

C. S C H U L T Z E


L. J E N K I N S
Federal Reserve Bank of St. Louis



à àk

N o rth w e s te rn B a n ker, J u n e , 1981


Illinois News





Tuesday, June 16
a.m . —Senator Charles H. Percy, chairm an of the Senate Foreign Rela­
tions Committee.
a.m . —IB A A nnual M eeting and Business Session.
a.m . —Sam Donaldson, ABC-TV W hite House correspondent.
noon—Dr. Earl Butz, Secretary of A griculture, 1971-76 (Convention
p.m . —Gerald Lowrie, Executive Director, ABA Government Rela­
p.m . —Paul Harvey, News Com m entator.

President Lemmerman is scheduled to tu rn over the IBA presidency to
Jam es A. Fitch, president of South Chicago Savings Bank, who has been first
vice president this p ast year. O thers nom inated for IBA office in 1981-82 at
the 10 IBA group m eetings this spring were: for first vice president, Donald R.
Lovett, chairm an and president, Dixon N ational Bank; for second vice
president, Kenneth A. Skopec, president, The M id-City National Bank of
Chicago; for treasurer, Thom as F. Bolger, president, M cHenry State Bank.
Thomas N. Rochford, president, Bank of Illinois, Cham paign, has been
treasurer the p ast year.

You Will See Them at the 90th Annual
Illinois Bankers Convention June 14-16
H E following m etropolitan b ank­
ers and service and equipm ent
dealers have indicated th a t they will

Bauder, chairman; Irwin Cole, vice
chairman; Jam es Carmody, presi­
dent; John C rotty and M ax Roy,
be attending the Illinois Bankers senior vice presidents; A ndy RumA ssociation’s 90th annual convention ents, vice president, and K athy
in Chicago, June 14-16.
H ardy, assistan t vice president.
First National Bank: John SegreAmerican National Bank: M .E.
Tobin, chairman; K .H . A ddington, do, Shavawn Peterson, William G.
president; R .F . Sherman, senior vice Heise, Ray R ostan and David Korspresident; R .E . Akin, vice president; lund.
M .W . Jum p, G .S. Stum p and M .T.
St. Louis
Manion, second vice presidents; H .J .
W einer, correspondent bank repre­
First National Bank: T. B arton
sentative; D .F. Reher, R.D. Regner- French, senior vice president; Mike
us and M .J. Clawson, correspondent Flier, vice president; Gary Hemmer
bank officers.
and Ed Campbell, assistan t vice
Drovers Bank of Chicago: Sidney presidents.
Taylor, chairm an executive com m it­
Mercantile Trust Company: Rob­
tee and chief executive officer; Frank ert O. Blom quist, executive vice
o rth
w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis


president; Eugene A. Leonard, senior
vice president; Richard J . Bagy, J r.
and Jerry L. Fleschner, vice
presidents; M atthew A. Favazzm
assistan t vice president, and C h a rl^ j
A. E vans, banking representative. |
Bank Equipment and Other Firms
Bank Building Corporation, St.
Louis: Rick A lt, Jo h n Sutton and M^>
Brandt, Inc., Watertown, Wis.:
Dawayne A. Miller, Des Plaines, 111.,
and Neal Perry, Alsip, 111.
Daktronics, Inc., Brookings, S.D.:
Jack Bauer and Jeff Robbins, district
sales m anagers.
W.M. Dalton and Associates, Inc.,
Newton, Pa.: Monroe Abels.
Financial Institution Services, j
Inc., Nashville, Tenn.: Homer
Illinois Bank Building Corpora^
tion, Olympia Fields, 111.: Jack Van


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

Maybe you’ve been processing
all your checks through the Fed
to save operating costs. You
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money by processing those
checks through us. We have the
advantages that can make it
well worth your while:
professional sta ff — over 77
years of accumulated banking
experience to assure you of
competent, efficient service.
proxim ity — we’re probably
closer than the Fed. And our
messenger will visit your bank
daily . . . accommodating your
work schedule . . . and ours.
price — our pricing schedule is
competitive with the Fed’s. And
we give you something extra of
real value: someone you know
— on a personal basis — on the
other end of the phone whenever
there’s a problem or question.
Call and ask for our brochure.
And ask us to make a free
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Let us show you how we can
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N eedless to say,
the F edless Connection
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process your cash letters.

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Interest bank

Commercial National
Bank of Peoria


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

N o rth w e s te rn B a n ker, Ju n e , 1981


Illinois News

Scheltema, president; Dick Van
Scheltema, Kelly Crofoot and Ted
Kirby, executive sales representa­
tives; B etty Pesavento, adm inistra­
tive assistant; B arbara Ganz, interior
design, and M arge Breuel, m arket­
Kirchner Moore & Company,
Denver, Colo.: Thomas Langdon.
LeFebure Corporation,
Rapids, la.: F redL . G irbert, regional
sales m anager; Vince Zara and Tim
Sm itha, sales engineers.
Mosler Safe Company, Hamilton,

Ohio: Barney Cross, Bob Cardozo,
A rt Snyder, Chuck H agm ann, Tony
Giuntoli, Don Stephan and Dennis
M cClarren.
Saint Louis Terminal Warehouse
Company, St. Louis, Mo.: Bob
Dolan, vice president, and Jack
Moses, Chicago district m anager.
Scarborough and Company, Chica­
go: Mike Rice, senior vice president­
m arketing; Bob M arshm an and
George Ballantine, vice presidents,
and Dennis Sullivan, m arketing

Money M arket
interest rates,
checking privileges and withdrawal
anytime. Additionally, custom ers
get $100,000 FD IC insurance and the
security of local deposits—two
powerful m otivating factors seldom
offered by Money M arket Funds.
Dr. Honegger explained, “ I t is
based upon a very simple concept.
The bank enters into a combination
deposit/line of creditor agreem ent
with Money M arket Account custom ­
ers. W hen a custom er makes a Money
M arket Account deposit, the funds
are placed in a NOW Account
(earning 5 V4 %). Sim ultaneously, the
bank loans the custom ers additional
funds to be placed in a savings
account. These additional funds also
committed to “ founding m em ber” earn 5% % interest.
participation in the network. In total,
Assum e the bank wishes to net a
20 institutions accounting for $ 1.5 10% return to the custom er in the
billion in deposits have joined the Money M arket Account. The bank
simply charges the custom er enough
Mr. Loflin stated th a t custom ers of interest for the money loaned to
each participating institution will be reduce the custom er’s total return to
eligible to apply for a m agnetically 10 % . The transaction is expressed
encoded card which will provide ac­ (Money M arket Account interest =
cess to any ATM in Network. Normal NOW interest paid + savings in ter­
transactions such as deposits, est paid - loan interest charged).
w ithdraw als, and loan paym ents can
The Money M arket program has
be transacted through the machines. undergone scrutiny by bank regula­
Because the ATM s are on-line w ith tors and they have indicated the
the member in stitu tio n ’s com puter Money M arket type account con­
(through a “ switching center” ), forms to current regulations. While
custom ers also can request balance the concept is relatively simple, the
information electronically on any of difficulty arises in trying to
their accounts. Specially prepared implement the program within the
codes on the cards, as well as other regulatory and operational fram e­
electronic security m easures, limit work.
information to the account owner
Crestwood Promotes Officer
only, Mr. Loflin said.
Participating institutions are p res­
Crestwood Bank has announced
ently initiating discussions with the promotion of Susanne Burch to
shopping and commercial center consumer
owners leading to placement of officer.
M rs.
banking machines in locations which Burch, formerly
will best serve their thousands of personal banking
officer, will be in
charge of the
departm ent.
Prior to joining
the bank in 1979,
complete and works quite well. she was in charge
Actually, it works so well i t ’s our of teller operaBURCH
fastest growing account by a wide tions at B urbank S tate Bank. She has
m argin. W e’ve hired 2 additional completed num erous AIB courses.
people to work exclusively on it.
“ Our promotional efforts have been Sandwich Celebrates 125th
minimal. W e’ve used only a small
The Sandwich S tate Bank, eighth
am ount of direct mail because of the oldest banking institution in Illinois,
difficulty in handling the num ber of is celebrating 125 years of continuous
responses we g e t.”
service. Located in a comm unity of
The concept is called the Money 6,000, the bank has experienced
M arket Account. Like m ost Money steady growth and now has assets of
M arket Funds, if offers custom ers over $49 million.

Rockford Banks, S&Ls Plan ATM Network
LANS have been announced for
the form ation of a cooperativelyP
owned network of electronic banking
machines to be located throughout
the G reater Rockford m arket area.
According to Mack Loflin, senior
vice president and treasurer, F irst
Federal Savings and Loan A ssocia­
tion, Rockford, the group, to be
incorporated as The Rock Valley
Network, Inc., will own and install
autom atic teller machines and point
of sale term inals in convenient
locations throughout the area.
Customers of participating financial
institutions will be able to tran sact
through any of the machines. Mr.
Loflin said th a t as m any as 30
financial institutions and 25 m ach­
ines are expected to be involved when
the network is fully operational in
July, with plans calling for more than
40 machines in place by year-end
Currently, 16 financial institutions
in W innebago County representing
approxim ately 75% of total deposits
reported by commercial banks and
savings and loan associations have

Morton Bank Creates New Competition
For Money Market Mutual Funds
ORTON Com m unity Bank has
created the Money M arket type
account, a new product th a t enables
banks to directly compete with
Money M arket M utual funds.
M orton Com m unity Bank presi­
dent, Gordon Honegger states,
“ G etting all the problems solved has
taken our accountants, attorneys,
bank personnel, and m arketing
agency nearly a year to complete.
Thousands of hours have been
invested, but now the package is
N o rth
e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

By joining hands we can do a lot better for our
customers and ourselves.
National Boulevard can help augment
your banking operations, expanding the scope
of existing services and im plem enting new
ones for your respondent customers.
Our “One-On-One” correspondent bank­
ing professional works closely with his coun­

terpart at your bank. His job: to coordinate
financial resources, facilities and capabilities
for maximum benefit.
At National Boulevard there’s only one
way—the One-On-One way—for us to work
together. And w hen we do, we make a combi­
nation that’s practically irresistible—and
highly profitable.

The Bank for the New Downtown.
400-410 N. M IC H IG A N AVE., C H IC A G O , IL 60611
ONE ILLINOIS CENTER (111 E. W acker), C H IC A G O , IL 60601
(312) 8 3 6 -6 5 0 0 • MEMBER FDIC
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Illinois News



of Sears Bank

S and T rust Company have elected
as directors James R . Wolfe, president
and chief executive officer, Chicago
and N orth W estern T ransportation
Company, and David D. Peterson,
recently retired chairm an and chief
executive officer, Sciaky Bros., Inc.
M ssrs. Wolfe and Peterson fill
vacancies created by the retirem ent
of W. Wallace Tudor and Joseph W.
Also announced at Sears Bank
were the following promotions:
Michael E. God­
win, senior vice
cashier - execu­
George Dusenbery, second vice
m ent
Mara Tomsons,
second vice presi­
dent-investm ent



division; Thomas B. Hall, assistan t
vice president-trust division; Paul
Pechter, assistan t vice presidenttru s t division; Susan L. Weidenbach,
tru s t adm inistration officer; Lawr­
ence Harb, investm ent officer; Daniel
N ofor
rth w
e s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis


Ropas, operations officer; Kathleen
McCuen, tru s t tax officer, and
Randall Koch, assistan t
tru st
operations officer.
* * *
A t Gladstone-Norwood Bank the
following promotions have been
announced by Kenneth H. Fox,
president: Angela A. Kulik to vice
president, Robert A. Klamp to
assistan t vice president and Robert
A. Widmaier to assistan t vice
president and facility m anager.
M rs. Kulik has 25 years of banking
experience, and joined GladstoneNorwood in 1975. Mr. Klamp also
joined in 1975, Mr. W idm aier in 1977.
Also at Gladstone-Norwood, Pat­
rick J. Schoenstine has been elected
assistan t cashier and Elaine Ciborowski has been elected instalm ent
loan officer.
Mr. Schoenstine was previously
with the Bank of Lincolnwood, and
graduated from W ilbur W right
College. M rs. Ciborowski joined
Gladstone-Norwood as a loan clerk in

nounced the following advancem ents:
Jacoby Dickens to board v i c ^
chairm an, George Jones to executive
vice president, Lennetta Wells to vice
president/cashier and Mark H. Allen
to m arketing officer.
Mr. Dickens, president, has been
board member since 1979. M r. Jones,
one of the original organizers of the
bank, was m ost recently vice
president. Ms. Wells joined S e a w a y
in 1967 and was m ost recently vie ™
assistan t vice president/operations
officer. M r. Allen was previously
assistan t to the president.
* * *
Jack D. Hubbard has been
appointed vice president of O ’H are
International Bank. Mr. H ubbard
will coordinate all m arketing a c tiv it#
ies. He was formerly employed as
m arketing officer at M erchants
National Bank of Aurora.

Tremendous Response to
First Women’s Seminar


Former KSDK television personal­
ity Karen Foss was the keynote
speaker at Southern Illinois’ firs t#
financial seminar for women spon­
sored by Belleville National Bank,
bank president Louis E . Tiemann
“ Response to this program , w hich#
is a ‘first’ for women in Southern
Illinois, has been trem endous,’’ Mr.
Tiemann noted. “ In the first two
days we have received over 200
acceptances from women in th e #
BancNorthwest-Chicago has a n ­ Southern Illinois area. We may need
nounced the promotion of Melrose B. to think of scheduling another similar
O’Rourke to executive vice president. m eeting later this y e a r.’’
Prior to joining B ancN orthw est in
1979 as a senior vice president, Mr. Robert E. McNeill Dies
O’Rourke was with B lyth E astm an
Robert E. McNeill, J r ., retired
Dillon, New York City. He holds a chairman of the board of M anufactur­
BA degree from the U niversity of ers H anover T rust Company and its
M innesota.
holding company, M anufacturers^
* * *
Hanover Corporation, died recently
a t age 75.
M idland Bancorp, Inc., parent
Mr. M cNeill’s business career was
company of Sears Bank and T rust the quintessential self-made success
Co., has reported 1981 first quarter story: from teller in a tiny rural b a n k ^
results of income before security of Okeechobee, Fla. to leader of one of
losses of $368,000, down 45 percent the giant banks in the industry,
from a year ago. A ssets totaled M anufacturers H anover T rust Com­
$493.7 million versus $503.0 million a pany , fourth largest in the U . S . A key
year ago. Emory Williams, president, participant in the 1961 m erger of th e ^
reported the decline in earnings was Hanover Bank and M anufacturers
attributable to the loss of interest T rust Company, he was elected
income on non-performing loans, president of the merged institution
among other factors.
and named chairm an and chief
* * *
executive officer in 1963. He retired in £
Seaway N ational Bank has a n ­ 1971 after reaching retirem ent age.


KEY SPEAKER Louis Rukeyser, host of W all Street W eek TV show , and AM BI chm n ., Charles L. Daily. RIGHT - David E. Connor, chm n.
^ A M B I/P A C and pres., C om m ercial N a t’l. Bk., Peoria, and Jim Hill, v.p ., Harris Bank, Chicago.

29-19, which then sent th a t bill
directly to the Senate floor for third
The Changing Commercial Bank
reading. However, SB 578 was Environm ent was the subject of a
behind 129 other bills and it was not presentation made by George J.
known a t press tim e when it would be Vojta, executive vice president,
Citicorp, New York. Mr. V ojta said
A nticipating favorable legislation, th a t commercial banks are at a
A M B I’s one general session featured definite disadvantage to m any other
comm ents by Jam es W. H augh, m ajor companies in the financial
partner, Peat, Marwick, Mitchell arena. He added th a t the regulators
M .J. are not prone to acting on behalf of
Swords, president, M .J. Swords the banks.
Associates, Inc. K ansas City. Mr.
Elected to assist Mr. Lohman in
Swords said th a t prices for com m un­ m anaging the affairs of AM BI,
ity banks have dropped since the high startin g in Septem ber were: vice
in 1972 due to high borrowing costs chairman,
and a reluctance to lend money on a chairman and president,
F irst
high portion of the purchase price. National Bank, Rock Island; vice
Today, he said, financing 85% of chairman, Jam es B. Lund, chairm an,
book is common.
M atteson-Richton Bank, M atteson;
Mr. Swords told delegates th a t in secretary, Jerry D. Gummere,
pricing a bank, earnings on equity president, Peoples Bank, Bloom ing­
and the price/earnings ratio are ton, and treasurer, W illiard Bunn
extremely im portant. Referring to III, President, Springfield M arine
activity in 1981, he said if you are Bank, Springfield. Jam es B. W att
selling, you may have missed the continues to serve as president of the
m arket. If you are buying, it m ay be a 278 member organization.
good time to buy.
A M B I’s next function will be the
Mr. H augh said th a t he feels th a t Executive G raduate
School of
in the near future, bank holding Banking a t the U niversity of Illinois,
companies will be able to purchase July 11-23.
savings and loan associations.

A M B I Elects W alter Lohm an
A LTER “ B ud” Lohm an, chair­
m an of the F irst N ational B an k ,
Springfield, was
elected chairm an
of the Associa­
tion for Modern
^Banking in Illi­
nois, at the 1981
annual m eeting
held a t Linconshire,
►last m onth. He
8* I
Charles L. Daily,
chairm an, M idAmerica Bank and
T rust Company of Edgem ont, E ast
• S t . ouis, effective in Septem ber.
Key Speaker Louis Rukeyser, host
of Wall Street Week, told delegates
th at the Fed m ust stop bouncing
around in an hysterical m anner
•b e c au se we need a more steady and
predictable m onetary policy. He said
th a t Dr. Beryl Sprinkel, now
Undersecretary of the Treasury for
M onetary Affairs (and formerly with
^ H a rris Bank, Chicago), m ay change
the relationship between the W hite
House and the Fed in th a t Dr.
Sprinkel favors a stable policy.
Mr. Rukeyser blam ed the govern­
m en t for inflation and high interest
rates, adding th a t the governm ent
never did anything for you th a t it
didn’t do to you first! He predicted
the winners in the future will be the
financial institutions who prepare for
deregulation. Elim ination of Regula­
tion Q, according to Mr. Rukeyser, is
highly desirable and should be ex­
A week after the convention, HB
666 was passed 93-59, authorizing
m ulti-bank holding companies in
Illinois. The following day, M ay 20,
.the Senate amended SB 578 to adopt
the language of HB 666 and passed it
Federal Reserve Bank of St. Louis

NEW CHMN. W alter“Bud” Lohman, ch m n ., F irst N a t’l. Bk., S p rin g fie ld , and U.S. Senator
Alan J. Dixon. RIGHT - George J. Vojta, exec, v.p., C itic o rp , New York, and Ted Roberts,
ch m n ., AM BI n o m in a tin g co m m itte e , and exec, v.p ., H arris Bank, Chicago.
N o rth w e s te rn B anker, Ju n e , 1981

■ XX-,



T kl
% N ESCftk
:sa/. ISI

- <

; ; ; Oj, ^

The name comes from a Sioux word meaning “sky-tinted
water." It's well known as one of the most scenic states in
the nation, with more than 15,000 lakes scattered across
the state.
Join Peter Gillette, President, Larry’ Buegler, Senior Vice
President, Don Pederson, Senior Vice President and their
associates from the Correspondent and Bond Departments
in the "North Star State" for the state bankers convention,
June 15 and 16 at the Radisson South in Minneapolis.




Of Minneapolis
An Affiliate cf Northwest Bancorporatron


■0Siÿfej# JX


à-1' ' ;
x m

m ,
Federal Reserve Bank of St. Louis











1 st V ice Près.

2nd Vice Près.


91st Annual

Minnesota Bankers
Association Convention
June 15 & 16
Radisson South Hotel
Bloomington, Minn.
PPR O X IM A TELY 1,500 bankers and spouses are
expected to attend the 91st annual convention of the
M innesota Bankers Association Ju n e 15-16 a t the
Radisson South Hotel in Bloom ington. MBA President
Richard E. G andrud, president of Pope County State
Bank in Glen wood, will preside a t the annual meeting.
> D uring the p ast year he has been assisted by 1st Vice
President Robert J . Welle, chairm an of the F irst
National Bank in Bemidji, who is scheduled to succeed
Mr. G andrud as 1981-82 president. Serving as second
vice president the p ast year and slated to move to first
>vice president is John P. Ingebrand, president of
Kanabec S tate Bank in M ora. The nom inating
comm ittee has selected H erbert A. Lund as the
candidate for second vice president. M r. Lund is
president of Security S tate B ank in A lbert Lea. Donald
>A. Sirek, president of the S tate Bank in New Prague,
has been nom inated for a second term as treasurer.
The nom inating comm ittee also has proposed the
names of three district representatives for the
14-member MBA board of directors. They are: John
lBerg, president, W ayzata Bank & T ru st Co., D istrict 3;

Federal Reserve Bank of St. Louis


John Lundsten, president, Buffalo N ational Bank,
D istrict 6 , and Jam es Gesell, president, Cherokee State
Bank, St. Paul, D istrict 4.
The convention gets underw ay the first day with golf
and tennis tournam ents in the m orning, special interest
sessions in the afternoon and a first night party and
entertainm ent th a t evening. The second day will feature
two business sessions, the annual banquet and special
entertainm ent. The program follows:
Monday, June 15
8:30 Ladies’ Golf Tournam ent, L afayette Country
7:30 M ens’ Golf Tournam ent, Hazeltine Golf Club,
8:30 M ens’ Golf Tournam ent, Rolling Greens, Hamel.
9:00 Tennis Classic, N orthw est Racquet Club, St.
Louis Park.
11:00 -6:00 p.m . R egistration and inform ation desk
1:00 Bankers Special In terest Sessions (concurrent) —
Fed Pricing, Truth-in-Lending Simplification.
2:30 Bankers Special In terest Sessions (repeated).
2:00 E xhibits open.
2:00 Ladies’ hospitality center open.
4:00 H ospitality rooms open.
6:30 F irst N ight P arty, Carlton Celebrity T heater—
Dinner and show—“ The K ingston T rio’’
9:00 H ospitality rooms and exhibits open (optional).
Tuesday, June 16

R egistration and inform ation desk open.
Prayer breakfast.
E xhibits open.
F irst business session. Presiding: Richard E.
G andrud, president, MBA; president, Pope
County S tate Bank, Glenwood.
Address —Lee Gunderson, president, American
Bankers Association; president, Bank of Osceola,
A ddress—Robert MacNeil, executive editor,
“ M acNeil-Lehrer R eport,’’ W ashington, D.C.
9:30 Ladies’ hospitality center open.

. 12:00 Luncheons:
• Ladies’ luncheon.
N o rth w e s te rn B a n ker, Ju n e , 1981


Minnesota News


• Pioneer and MBA P ast Officers’ luncheon.
• D elegates’ luncheon.
2:00 Second business session. Presiding: Mr. Gandrud.
R eport—Trum an Jeffers, executive vice presi­
dent, MBA.
5:00 All Convention Reception.
6:30 A nnual B anquet and E ntertainm ent.
Singer—Sharon Carnes.
Comedy tea m —Skiles & Henderson.
Dancing to Jerry M ayerson O rchestra.
Convention adjournm ent.

be attending the 91st annual
convention of the M innesota Bankers
Association in Bloomington, June
American National Bank: R .E .
Akin, vice president.
First National Bank: Colin Jo h n ­
ston, vice president, and Jerom e
W agner.
First Bank: Dennis Evans, presi­
dent; Robert J . Anderson, executive
vice president; Kenneth A. W ales,
senior vice president; Raym ond H.
Johnson and Donald Bergum, vice
presidents; Allen G . Highum , Jerom e
R. Larson, William M acDonald,
Minnie Schroeder, Dolores W alstrom
and Edw ard W helan, assistan t vice
presidents; Zylpha Gregerson, M ich­
ael P. LaVigne and Lenny Kiskis,
correspondent bank officers; Larry
Nelson, bond officer; Beverly Kieffer,
correspondent banking representa­
tive; Bradford Benzick, cash m an­
agem ent representative; June Sw an­
son and Clarice W olhart, adm inistra­
tive assistants, and Frank Greamba,
application m anager.
Marquette National Bank: Carl R.
Pohlad, president; Thomas Welch,
Michael Daly, Philip J . Gallivan and
William C. Rosacker, senior vice
presidents; William J . A ddington,
vice president; Richard E. Holmes
and William K. Klein, assistan t vice
presidents; Larry H . K raayenbrink,
correspondent bank officer; Larry M.
Lange, correspondent bank credit
officer; John Campion, vice presi­
dent-investm ents; Ralph Nelson,
assistan t vice president- investm ents ;
N o rth
e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis



First National Bank: Charles E.
A m er, chairm an and chief executive®
officer; Andrew G. Sail, president
and deputy chief executive officer;
senior vice
Jam es Kam merer and Dean Fordyce, John
president; Dale S. H anson, vice
investm ent officers.
president-wholesale banking g ro u p s
Midland National Bank: H arry
head; Richard C. Swanberg, vice
Benson, president/chief executive
president; Donald R. Lindeman,
officer; Ernie Pierson, executive vice
Jam es A. Russell, Robert J.
president; S tan Peterson, vice
Peroutka, Jerom e J. Borovansky,
president; Dick Erickson and Mike
Clayton L. Johnson, Robert F. Hall ®
Bodeen, assistan t vice presidents.
Roy T. Ziegler, D.A. Senneseth and
National City Bank: C. Bernard Eric M. Kehle, assistan t vice
Jacobs, chairman; Jam es H. Hearon presidents; Kenneth A. Cain, corres­
III, president; W alter E. Meadley, pondent banking representative;
J r., senior vice president-invest­ Gene W. Anonsen, investm ent®
m ents; Gary M. Andrew, vice officer.
president-investm ents; Ronald Bole
and Doug A. Hedin, investm ent
San Francisco
officers; Donald L. Sm ith, vice
Wells Fargo Bank: Ingrid Canto,
president-correspondent banking.
correspondent banking officer.
Northwestern National Bank:
Bank Equipment and Other Firms
Peter Gillette, president; Larry
Buegler and Don Pederson, senior
Banco Financial Corp., Minneapol­
vice presidents; Dick Storlie, Mike is: John Olson, president; Lee T.
Kelly, A rlan Tengwall and Bob Mork, executive vice president, a n d 1
Ziemer, vice presidents;
John Robert L. Olson, senior vice
Thomson, Lyle Knudson, Craig president.
Jones, Paul Koch and Gerry Tovsen,
Brandt System s,
assistan t vice presidents; Ken Vegors
Wis.: Ronald E. Doll, M innetonka. <
and Jim Dem pster, correspondent
Chilton Corporation, Minneapolis:
banking officers; Dave Lubar,
commercial credit officer; Jack Jam es W eiss, general m anager, St.
Malerich, correspondent credit offi­ Paul.
Daktronics, Inc., Brookings, S.D.:
cer; M arv Anderson and Curt
Robbins, data services officers; Bob Graf, district sales m anager.
Muriel Hogan, commercial credit
Dawson Hail Insurance, Fargo,
representative, and Gloria Jones, N.D .: Lyle A skerooth, vice presi­
correspondent banking representa­ dent, and Dennis Christofferson,
special agent.
Deluxe Check Printers, St. Paul:
St. Paul
Ron Hendrickson, Tom Meyer, Gary
American National Bank: William Engfer and Bob Schaeppi.
Langford, senior vice p r e s id e n tFinancial Institution Services,
bond departm ent; Robert E. Sipple,
Inc., Nashville,Tenn.: M elSom m ers. 1
senior vice president; David M.
General Bank Equipment and
Hyduke, group vice president—
Inc., Omaha: Irv Culver,
commercial; Michael M. McNeil, vice
president—correspondent banking; system s specialist.
Donald H. Johnson and Steven E.
J.T. Miller Companies, Minneapo­
Rykkeli, vice presidents.
lis: Jerry Dreier, m anaging partner;

You Will See Them at the Annual
Minnesota Bankers Convention
H E following m etropolitan b ank­
ers and service and equipm ent
dealers have indicated th a t they will




Loons on the lake.
Walleyes on a stringer.
Iron from the earth, and crops. Big crops.
And at the heart, business thrives.
Minnesota bankers keep it strong and steady.
We salute you.
Federal Reserve Bank of St. Louis

F irs t B a n k
M inneapolis
We’ll be there.
First Bank Place
Minneapolis, M N 55480
Phone: 612/370-5474
Member FDIC

N o rth w e s te rn B a n ker, J u n e , 1981


Minnesota News

Jerrold T. Miller, Andrew M. M yers
and Dirk J . Miller partners; Andy
Anderson, sales m anager; Russ
B ennett and Russ Hendrix, sales
Mosler Safe Company, Hamilton,
Ohio: Larry Odegard, Dick Strain,
Harvey Larson and Earl Fredrickson.
North Central Life Insurance

Banks w ith more than $25 million
in assets are required by federal^
supervisors to use the accrual basis.
Mr. Pint listed four disadvantages
to the cash basis: 1. Failure to
correlate income with the expenses
incurred to produce th a t income. 2 .’
Saint Louis Terminal Warehouse Wide m onth-to-m onth fluctuations
Company, St. Louis: Dave Miller, in earnings. 3. Inability to prepare
district m anager.
meaningful comparisons or analysis
of interest rate m argins. 4. Inability
to have meaningful budgeting.
He cited accounting problems
the present tim e. The S.E. to the relating to CDs as a principal
S.W . portions of the state and concern. Mr. P int pointed out th a t
extending generally up into the “ conversion to the accrual basis of
Minnesota Bankers Association
central portions have very good to accounting has become a relatively’
simple process, aided significantly by
Pope County State Bank, Glenwood adequate m oisture conditions. How­ the use of computerized recordkeep­
ever much of the western portions
INNESOTA banks had a good and nearly all of the northern p arts of
In an accom panying letter, M r..
1980, with deposit grow th aver­ the state remain very dry. We don’t
informed directors of M innesota’
see much encouragement for live­
aging about 10%
banks th a t his
stock prices, and prospects for both
and with earn­
departm ent and the FD IC have
crop yields and prices are ju st so-so.
agreed on a divided exam ination
Dairying has been good, b u t of course
strong average
program for their banks under which ^
this is some apprehension over the
growth of about
the two bodies will take annual turns
current price support prospects. If
11% . Loan de­
in examining the b a n k s. He estim ates
m and remained
th a t 90% of M innesota banks will be
of our small businesses as well as our
flat p retty much
eligible for this program . The others
agriculture will suffer.
throughout the
will continue to be examined more^
I feel th a t if the Economic
frequently since they may require
Recovery Program is allowed to
growth of less
“ more than normal supervisory
than 1 % . So far
work, th a t we will see signs of
a tte n tio n .”
in 1981, it appears th a t although the inflation control in the next few
country bank deposits are generally m onths, and with this a drop in
showing a m odest increase, the interest rates, which could make 1981 New Chandler President
m etropoitan bank deposits are down a satisfactory year for all p arts of our
Alvin C. Peterson has sold his
slightly, w ith loan demand rem aining state ’s econom y.
controlling interest in the S tate Bank
soft throughout the state. A t a recent
of Chandler to W endale P. Vanderbankers m eeting, a show of hands
Broek, Dean A. Peterson and Lonnie(
indicated th a t about half of the banks Commissioner Urges Banks
E. Clark. Mr. VanderBroek, formerly
were still showing a slight increase in To Go on Accrual Basis
cashier, succeeds Alvin Peterson as
earnings over 1 year ago, although
Michael J . P int, M innesota com­ president. Dean Peterson, formerly
m ost did not feel th a t this would hold missioner of banks, sent a special assistan t cashier, was elected cashier.
up throughout 1981.
letter last m onth
Alvin Peterson was elected board
Heavy industry has been, and to all state char­
rem ains somewhat off, due prim arily tered banks in
to their difficulty in passing on M innesota u rg ­
Hastings Officer Election
inflation increases in m aterials and ing them to con­
productivity, b u t they seem to be vert from cash
N orthw estern N ational Bank of,
gaining on this situation through basis to accrual
H astings has announced the election
vigorous employment of improved accounting
of Arne U nseth
in-house technology. Smaller indus­ they have not yet
to an officertries seem to be suffering considerably done so. “ The
instalm ent loans.
more, although there are certainly importance
Mr. U nseth has
m any bright spots in this area, it m aking such a
been w ith N orth­
seems th a t they are generally finding change to accrual accounting cannot w estern
it necessary to cut back a b it and wait be overem phasized,’’ Mr. P int said in February, 1981.
for a more vigorous economy.
his letter. He noted th a t the rapid For the
The 1980 crops were good, and w ith changes in banking environm ent, three years he
the rather satisfactory price gains, including the need to react quickly to was a loan officer
the agricultural sector made a strong these changes, “ emphasize the with Mid AmerA. UNSETH
contribution, which has continued importance of obtaining meaningful icaN ationalB ank
into the early m onths of 1981. This and timely financial inform ation from of Roseville. Mr. U nseth has 14 years
very im portant p a rt of M innesota’s which bank m anagem ent can base of experience in the fields of banking
economy is mixed and uncertain at decisions and plan for the fu tu re .’’
and finance.
Company, St. Paul: John Lorenz,
Bob Florin, Bill Gasper, Roger
Pulkrabek, Bruce Glewwe, Parker
R einhart, Dick Simmons, Roily
Allen, Norm M ineau, Dave Okeson
and Greg Taylor.

Predicts Inflation Control, Rate Drop


N o rth
e s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis

We’ll be there!
Minnesota Bankers A ssociation Convention
June 15, 4:00 PM - 6:00 PM, June 16, 9:00 PM - Midnight
Radisson South Hotel, Bloomington, Minnesota
Come visit with us, relax and enjoy yourself at our hospitality
suite. And we’re all looking forward to seeing you!

Jim Reagan

Dave Hyduke

Bob Sipple

Bob Jacobson

Don Johnson

Steve Rykkeli

Jana Kirkeby

Craig Redalen

Chuck Mahnke

IFS Am erican National
L£J Bank and Trust Com pany
C orrespondent Division
5th and Minnesota, St. Paul, Minnesota 55101
(612) 298-6331
M e m b er F.D.I.C.
Federal Reserve Bank of St. Louis


LECTED senior vice presidents
at N orthw est Bancorporation are
Paul M. Eisen, formerly senior vice

the U niversity of M ontana, M issoula,
joined the bank in 1978. Prior to
joining N orthw estern, Mr. Geiken
president- m arketing a t N orthw estern was employed by N orthw est Compu­
National Bank of M inneapolis, and ter Services, Inc., an affiliate of
David Jarvis, formerly vice president N orthw est Bancorporation. In addi­
with the Pillsbury Company in the tion to being N orthw estern’s cashier,
area of business development. In Mr. Geiken is the operations division
addition, Josie H. Corning was m anager.
elected vice president-corporate com­
m unications, and Diane M. Palmer,
vice president-governm ent relations.



Carol L. Warner was prom oted to
vice president from assistan t vice
president. Ms. W arner, a graduate of
the Bank A dm inistration In stitu te,
joined N orthw estern in 1972 and has
supervised several operations areas.
Ms. W arner is presently the custom er
accounting operations m anager.
* * *



Mr. Eisen, who joined N orthw est­
ern in 1977, will be in m arketing
services. Mr. Jarvis will have
responsibility for three of Banco’s
largest financial service com panies—
Banco M ortgage Company, N o rth ­
west Growth Fund and Banco
Financial Corporation.
* * *
N orthw estern N ational Bank of St.
Paul has announced the promotion of
two officers, according to G. Richard
Slade president.
John G. Geiken was prom oted to
vice president and cashier from vice
president. Mr. Geiken, a graduate of

N o rth w e s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis

F irst Bank Minneapolis has
completed the acquisition of both the
London branch and New York-based
Edge A ct subsidiary of Rainier
National Bank of Seattle.
Together, the two acquisitions
have assets of over $300 million and
approxim ately 80 employes. The
acquisitions have been approved by
the Federal Reserve and the Bank of
The acquisition of the London
branch m arked a first in United
S tates banking circles. I t is the first
acquisition of an American b an k ’s
London office by another American
D.H . Ankeny, Jr., chairm an and
chief executive of F irst Bank
M inneapolis, said th a t the two
acquisitions substantially expand the
b an k ’s ability to serve the interna­

tional needs of its corporate and
institutional clients.
He said key officers and p e rso n n e l^
of the London branch and Edge Act
office in New York have been
The Edge A ct office, now known as
F irst Bank Minneapolis In ternation-0
al, is located in New York’s financial
district at 100 Wall Street. The
London branch is a t 35-39 M oorgate.
* * *
David F. Griebel, corporate
m arketing m anager and assistan t
vice president,
F irst Bank M in­
been invited to
teach a t the S ton­
G raduate
School of B ank­
p resti­
gious school, lo­
cated at R utgers
State U niversity,
New Brunswick, N .J ., provides a*
three-year program for senior finan­
cial m anagers. M r. Griebel will teach
Strategic and Corporate Planning
from June 15-19.

Directors of N orthw est B ancorpor­
ation have approved details of a
m anagem ent succession plan revealed*
last fall, it was announced by
Chairm an Chester C. Lind.
Mr. Lind said he will step down as
Banco’s chairm an and chief executive
officer on October 1 of this year, but*
will continue as a director and
chairm an of a newly formed executive
committee. A t th a t tim e, John W.
Morrison, presently vice chairm an of
Banco and former chairm an and chief|
executive officer of N orthw estern
National Bank of Minneapolis,
Banco’s largest affiliate bank, will
assum e the top position of Banco as
chairm an and chief executive officer.4
Mr. Lind further explained th a t the

Ifyou think your correspondent
bank is stringing you along
maybe its time you severed the ties.
Sometimes, getting the answers you need from
your correspondent banker can be a frustrating
experience. One that consumes too much of your
valuable time. And one that could contribute
to your loss of a customer.
At Midland National Bank, we won’t string
you along. Because most of our business
as a bank comes from dealing with businesses
and other banks. So, frankly, we’re willing
to put a lot of effort into making
our relationship with you work.
We’ve organized our bank
in a way that allows you to
deal directly with a decision
maker, rather than having
to go through several review
committees. Our correspondent
team is dedicated to responding to
your needs quickly. And, our
expertise with small and mid-sized
businesses puts us in a unique
position to understand your
customers’ needs.
So the next time you feel like
your correspondent bank is giving
you the business, call the Midland
National Bank correspondent team,
toll free at 1-800-752-4200: And see
how the bank for business can
go to work to improve yours.
*In North and South Dakota, call 1-800-328-8678.

Midland National
Bank Of Minneapolis BancA®
401 Second Ave. So., 55480 Member FD1C
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Minnesota News

Banco executive office, Banco’s
corporate m anagem ent team , will
consist of Mr. M orrison, Robert A.
Krane, elected Banco president and a
director in the fall effective Jan u ary
1, and Executive Vice Presidents
Walter C. Johnson and Gerald M.
Mr. Lind commented, “ Banco’s
m anagem ent philosophy has served
this organization well, and this
current transition period is another
example of its m erits. Our company
currently is gearing up more
aggressively than ever before to meet
the regional and national com petition
th a t’s building. I think our new
m anagem ent team will carry out the
challenge w ith great success.’’
* * *
David E . Beal, president of Banco
M ortgage Company of Minneapolis,
an affiliate of
N orthw est Bancorporation, has
appointm ent of
Ronald P. Laur­
ent as vice presi­
dent and m ana­
ger of the insured
sion’s northeast
region office.
Mr. L aurent recently left govern­
m ent office as president of the
Government National M ortgage
Association, having been selected for
th a t position by President C arter in
1979. He has served as president of
the Illinois M ortgage Bankers
Association, and in 1977 served on a
HUD task force.
* * *
National City Bancorporation of
Minneapolis has announced its
intention to acquire the outstanding
common stock of the National City
Bank of Ridgedale. The corporation
plans to make an offer to Ridgedale
shareholders with the acquisition
subject to regulatory approval.
* * *
N orthw estern National Bank of
Minneapolis has announced the
election of Kenneth N. Dayton and
Geri M. Joseph to the board of
directors. Both have served on the
board previously. Mr. D ayton is
chairm an of the executive comm ittee
of D ayton H udson Corporation. Ms.
Joseph recently
appointm ent as U .S. am bassador to
the N etherlands. She was previously

N o rth w e s te rn B anker, J u n e , 1981
Federal Reserve Bank of St. Louis

an editor and colum nist for the
Minneapolis Tribune.
Also announced were the following
promotions in the international and
domestic groups: Gary B. Hawk to
vice president-international finance
departm ent; Karen J. Fairchild to
assistant vice president-foreign ex­
change division; Stuart H. Mason to
assistan t vice president-national
departm ent, eastern division; Kim E.
Cornell to national accounts officer,
and Dennis J. McFadden to
officerw estern region.
Also announced at N orthw estern
National were the elections of Randon
S. Pintens to personal banking officer
at Nicollet-Lake and David S.
Krussow to operations officer at
* * *
F irst Bank Minneapolis has
promoted the following employes
assistan t
vice presidents to
vice presidents:
David A. Baumgarten, national
central divisioncorporate b an k ­
ing; Douglas S.
m id­
west corporate
banking I divi­
sion, and F. Wil- D.A. BAUMGARTEN





ada division, international b a n k in g ^
Steven L. Decatur, national weslr
division, corporate banking; Sabina
S. Sten, agri-business division,
special industries; Robert L. Zier,
student loan servicing; Sandra J
Anderson, midwest corporate b an k ­
ing division, and R. James Hancock,
midwest corporate banking I divi­



The following employes received
officer appointm ents: Joan L. Calott,
tru s t investm ents; Carole H. Apple­
by, tru s t operations; Elizabeth L.
Stirriup, tru s t operations-securities
processing II, and Julie P. Harry,
bond investm ents-m unicipal under­
* * *
William L. Mullins has been
elected executive vice president ancH
director of FBS Financial, Inc.,
M inneapolis, according to an an­
nouncement by Phillip L. Hendershott, president. Mr. M ullins re­
mains in his current capacity as
president and m anaging officer of
FBS M ortgage Corporation, the
wholly owned m ortgage banking
subsidiary of FBS Financial, Inc.
FBS Financial, Inc. is th
m ortgage banking and equipm ent
leasing subsidiary of F irst Bank
System , Inc.
* * *

F irst Bank System , Inc., has
liam Johnson, midwest corporate announced the form ation of FBS
banking II division.
Business Credit, Inc., a commercial
The following officers have been finance subsidiary. Approval from
promoted to assistan t vice presi­ the Federal Reserve Board to engage
dents: SusanO. Seltzer, U .S .A .-C an­ in commercial finance activities was







Minnesota Protective Life Insurance Company
Federal Reserve Bank of St. Louis

T E LE P H O N E (61 2) 9 4 4 -3 9 0 0

N o rth w e s te rn B a n ker, J u n e , 1981


Minnesota News

received in January. FBS Business
Credit became fully operational at the
end of the first quarter of this year.
John E. McCauley serves as
president of the new subsidiary. He
had previously held a position as
senior vice president in the m etropoli­
tan corporate banking departm ent of
F irst Bank Minneapolis. Mr. M c­
Cauley has over 26 years of
experience in the financial services
FBS Business Credit will offer
asset-based business financing to
m anufacturers, wholesalers and pro­
cessors, independently and through
participations w ith FBS affiliate and
non-affiliate banks.
FBS Business Credit, Inc., is
officed at 200 Soo Line Building, 105
South 5th Street, Minneapolis.
* * *

He also has 11 years of banking
experience from the F irst N ational
Bank of St. Paul.
* * *

MBA Lending Workshops


A special session on asset-liability
m anagem ent will be featured in a
series of lending workshops being
Donald W. Zollars, 60, who for the sponsored by the M innesota Bankers
last 11 years served as president of Association, according to K enneth#
the Second N orthw estern National Wilcox, chairm an of the MBA lend­
Bank of M inneapolis, died recently. ing committee.
Mr. Wilcox, president, N orthw est­
* * *
ern N ational Bank, Owatonna, says
Robert Nichols, president, Bremer the overall goal of the workshop is to #
Service Company, Inc., has an­ sharpen and update the skills of bank
nounced the prom otions of Terry m anagers and lenders w ith special
Cummings to senior vice president- emphasis on asset-liability m anage­
controller, and L. Lee Madetzke to m ent. Experienced credit profession­
vice president-credit. Before joining als will also discuss loan pricin g ,#
Bremer as controller in 1976, Mr. floating rates, loan policy, com peti­
Cummings served eight years a t the tion, legislative issues, and internal
American N ational Bank & T ru st Co. loan review. The concluding session
of St. Paul. Mr. M adetzke joined will address “ In terest Rate Scenario
Bremer as a credit officer in 1976, 1981,’’ he said.
after working as a credit examiner for
The workshops are scheduled for
F irst Bank System s.
April 14 at the Holiday Inn,
Miller & Schroeder M unicipals,
Brainerd; April 15 at the Radisson
Inc. has named three to new officer
T.C. Bank Acquires Weaving Hotel, St. Paul, and April 16 a t the
positions in the M inneapolis-based
Holiday Inn, M ankato.
municipal bond firm.
Edward J. Hentges, former vice
Applications Approved
president-finance of Lesters of
The Federal Reserve Bank of
M innesota, Inc., has joined Miller &
Minneapolis has announced its
Schroeder as financial vice president;
approval of the application by Hugo*
David Henrikson has been prom oted
Bancorporation, Inc., Hugo, to
to vice president, and Paul R.
become a bank holding company
Ekholm has been named assistan t
through the acquisition of the F irst
vice president.
S tate Bank of Hugo.
Mr. H entges was associated w ith
Also approved was an application’
Lesters of M innesota since 1972. He
by the Fischer Corporation, Lewis­
received his business adm inistration
ton, to acquire F irst S tate Bank of
degree from the U niversity of
M innesota.
Mr. Henrikson has been a
New Pipestone V.P.
registered representative with Miller
Jerry Remund has been elected
& Schroeder for eight years and
vice president of the F irst N ational
before th a t was a vice president of
Bank of Pipestone.
G uaranty S tate Bank of St. Paul.
Mr. Ekholm has been a financial
consultant for Miller & Schroeder for James W. Reagan, pres., A m erican J.T. Gowan New President
N a tion al Bk. & Tr. C o., St. Paul, Marjorie
five years, following his graduation Pohlmann
The F irst N ational Bank of Chaska
and Am erican N ational Bk.
with a BA degree from St. Olaf in G roup v.p. Ronald Bosrock, before bank’s has elected Jam es T. Gowan
newest art w ork.
chief executive
* * *
American N ational Bank of St. officer. He suc­
Robert McKenzie has joined W est Paul recently unveiled a wool ceeds Gerald A.
St. Paul S tate Bank as m anager- tap estry depicting the new Saint Paul Rekow, who has
business devel­
skyline. The eight-foot-by-eight-foot been elevated to
opm ent, accord­
tapestry was hand woven by the position of
ing to J. Robert
award-winning Twin Cities weaver vice chairman.
Stassen, presi­
Marjorie Pohlmann and hangs on the
Mr. Rekow has
dent. Mr. M c­
west wall of American National been associated
Kenzie was pre­
B ank’s newly-remodeled skyway with F irst N a­
viously vice pres­
tional for
ident and branch
The ta p e stry ’s five overlapping years, and has been president since
m anager of the
panels highlight im portant land­ 1974.
W est St. Paul
m arks in downtown Saint Paul such
Mr. Gowan has served as president
office of M idwest
as the Cathedral, the Capitol of the M innesota Bankers A ssocia­
Federal Savings
Building and Landm ark Center. The tion and on American Bankers i
and Loan Association in Signal Hills. work took three m onths to complete. Association comm ittees.
N o rth
e s te rn B a n ker, J u n e , 1987
Federal Reserve Bank of St. Louis

Dick Franzmeier Dick Swanberg Dewey Senneseth
Lois Martin
Jerry Borovansky John Mullen Jerry Haenggi Jerry Nichols

Don Lindeman

Ken Cain

Chuck Arner

Jim Russell
Dale Hanson
Julie Hanson

Andy Sail

Our MBA team has been
128 years in the making.
We’d like to meet with you at the Minnesota
Bankers Association Convention, June 15-16,
to listen to some of the concerns you have
for the 1980’s.
Then, we’d like to discuss how our 128 years
of correspondent banking experience combined
with the strength and stability of First Bank
Saint Paul can help you continue to be
competitive in the years to come.
Through the years, we’ve worked hard to
establish a reputation for responding quickly
and efficiently to the requests of our customers.
Federal Reserve Bank of St. Louis

The bottom line for you. . . we’re committed
to contributing to your profits by providing
you with many correspondent services. So,
when you ready, we’re ready. See you at
the convention.

C orrespondent Bank Division

We do our job.
You get the credit.
The First National Bank of Saint Paul »Member FDIC

N o rth w e s te rn B a n ker, J u n e , 1981


Minnesota News

Unique Drive-In Serves Edina

Septem ber when the state banking
commissioner, Michael Pint, was
looking for a way to broaden the field
of bidders in such circum stances and
to perm it state banks to have an
equal opportunity to bid on such a
bank. The bill moved through the
legislative process in the ensuing
m onths with practically no changes
and had been described in detail to
member banks of the M innesota
Bankers Association. A key p a rt of
the bill authorizes a bank a s­
sum ing a failing bank to retain an
office in the failed bank prem ises,
thus waiving current detached
EDINA DRIVE-IN features one lane for commercial transactions and five remote lanes in a facility
restrictions of existing
head-on configuration.
facility law.
A fter Gov. Quie had signed the
ATIO NA L City Bank of M innea­ capability of two additional lanes.
recently passed bill on April 29, Mr.
polis opened its new full service
W hen shopping for their security
branch office in Edina, in Ju ly 1980. system according to Ms. Elaine Holder said he became involved in the
Construction of the facility presented H artm ann, vice president and proposed assum ption on behalf of
some unusual problems because of the cashier, “ We were looking for a Mr. F arrar a t 2 p.m . Thursday, April
shape of the parcel of land on which system th a t is simple to operate, bu t 30, and the deal was completed in j ust
the office is located. The building is of gets the job done and which does not less than 24 hours, after conferences
an Indian H ead design and the create a lot of false alarm s.” They with federal regulatory officials.
There are two other banks in
drive-in lanes are installed in a unique chose to use M osler’s Trans-V ista
F irst N orthw estern N a­
head-on configuration with the teller drive-in equipm ent, as well as
of F aribault had 1980
elevated and facing the drive-in M osler’s HiLine security system .
year-end deposits of $72,437,000.
Now 16 years old, N ational City The S tate Bank of F aribault had
Since Edina, a suburb of M innea­
polis, is heavily populated with opened its doors at the downtown year-end deposits of $47,716,000.
offices and white-collar businesses, Minneapolis Sheraton Ritz Hotel.
one lane of drive-in traffic, which is Since then, they have grown to
devoted strictly to commercial become the eighth largest bank in the Retirement, Promotion Told
The retirem ent of Robert F.
transactions, is located at the S tate of M innesota with assets of
drive-in windown of the bank. The $289 million. I t is now headquartered Poirier, executive vice president and
b an k ’s office currently features five in the old Federal Reserve Bank director of F irst N ational Bank of
D uluth, was announced recently. Mr.
rem ote drive-in units with the add-on building in Minneapolis.
Poirier joined F irst National in 1958
as an assistan t vice president. He has
been a mem ber of the board since
1969. Mr. Poirier began his banking
career in Virginia, moving to Florida
N D ER authority of a new law interests in several upper midwest in 1939. He joined N orthw est
Bancorporation in 1950.
signed April 29 by M innesota states. The F aribault National had
Gov. A lbert Quie, F irst N ational deposits of approxim ately $3 million
Bank of H astings assum ed the and was founded in 1911.
The purchase was made from Dean
deposit liabilities and purchased
rem aining assets of the F irst Johnson, chairm an of Faribault
N ational Bank of Faribault. This is National. His brother,
the first tim e under existing Johnson, had been president until
M innesota law th a t such a tran sac­ resigning from the bank within the
tion has been perm itted and it allows p ast year. Joe Grandgeorge, who has
the H astings bank to retain an office been senior vice president at Union
in Faribault, located 40 miles away. Story T rust & Savings Bank in
The transaction, assisted by Ames, la ., which is owned by Mr.
Holder and Associates of Ames, la ., F arrar, will m anage the Faribault
F irst N ational President Dennis
was consum m ated at 1:30 p.m . on office as executive vice president. The W .Dunne also announced the pro­
May 1, ju st before the FD IC was only other full-time officer a t th a t motion of H enry Royer to executive
ready to close the Faribault bank a t 3 bank, B ette Miller, assistan t vice vice president-loans. Mr. Royer
p.m . and take it over, according to president, will continue w ith the joined the bank in 1965, m ost
Mr. Holder. F irst N ational of staff.
recently serving as senior vice
H astings, w ith deposits of approxi­
The new law under which a problem president-com m ercial loans. He is a
m ately $28 million, is owned by bank could be assum ed by any other graduate of Colorado College with a
Frank F arrar, who has banking bank in the state first took form last bachelors degree in economics.


1st National, Hastings, Buys Faribault
National Under Terms of New State Law


N o rth
e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis


An open imitation from
Marquette National Bank.
We hope to see you at the
Minnesota Bankers

Investment Division
Banking Division

lack Campion
Bill Rosacker

Ralph Nelson
Bill Addington

)im Kammerer
Dick Holmes

Dean Fordyce
Bill Klein

JoAnn Krueger
Larry Kraayenbrtnk
Larry Lange

When Dick Gandrud kicks off the Minnesota
Bankers Convention at the Radisson South
in Bloomington, M arquette’s Correspondent
and Investment Divisions will be there.
Look them up and ask them how to sweeten
your correspondent and investment
banking in the ’80 s.

Your Complete Correspondent

A Mamnelte National Bank
777 Marquette Avenue, Minneapolis, MN 55480

Member FDIC.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, Ju n e , 1981


The I
remote area that’s
inaccessible to
holdup men.
While that
would have been
more difficult
before for logistical
reasons, the Insider
makes it both a
practical and efficient
way of doing business,
thanks to its ability to
rapidly transport
Makes the personal
banker truly personal

When helping a

Papers and
money go into
the transaction tray
and away for process­
ing. The tray never leaves
the tube as a further se­
curity measure.

...the most
concept since

The banking industry
challenged us to create a
system that would allow
personal bankers to spend
more time with customers. The
Insider is the system that
meets that challenge. It's
another “ first” from the
company that’s first in ideas.
The Insider is a pneumatic
tube system that transports
cash and papers back and
forth inside your bank. That
seemingly simple capability
makes possible several
revolutionary advantages.
Increases security

Imagine the security benefits
of moving all cash and
negotiables away from the
banking floor to a secure,
Federal Reserve Bank of St. Louis

Because tubes can
be positioned at 90
degree angles, no
long arcs are
required for the
trays to go around
corners. Tubes
don’t have to be

customer conduct a
transaction, the personal
banker merely inserts forms
and cash in the Insider’s
transaction tray conveniently
located at his desk. Materials
are whisked away to a central
teller station for processing
and returned immediately.
While they’re being
processed, the personal
banker can strengthen the
bank/customer relationship
and cross sell other services.
He no longer has to leave his
customer sitting alone while
he plays errand boy.

Wouldn’t that give you a
competitive advantage,
especially when opening new
Better use of lobby space

Besides desk console units,
the Insider may be designed as
stand-up lobby stations. These
stations take up less room
than conventional teller
The Insider is perfect for
serving more customers
without enlarging your facility
and it costs just a fraction of
an ATM.
Visual customer/teller
contact can be maintained
from a secure teller station or
through closed circuit TV. A
clearly audible two-way
intercom system facilitates
voice communication.
More efficient use of

Similar in operation to a
drive-up facility, one employee
can service several Insider
stations at the same time. So,
fewer employees are needed.
It can also rush documents
between departments within
your bank reducing foot traffic
and saving time.
Easily installed in existing

The Insider’s trays travel
through easy-to-install
rectangular tubes.
Thanks to the ingenuity
of LeFebure engineering,
the tubes can be pos­
itioned at 90-degree angles
and n e e d n o t be b u rie d .
Instead, they are covered
by riser platforms just six
inches above floor level.
The Insider can be installed
with a minimum of disruption
and expense.
Federal Reserve Bank of St. Louis

Upright lobby stations can be
positioned to provide visual contact
with the central teller station.

How can it put you on
the inside track?

Bankers are discovering new
uses for the Insider every day.
Think what it can do for your
operation. Explore the
possibilities with your
LeFebure Sales Engineer.
He’s a wealth of ideas and he
offers the most
complete line
of banking
and security
equipment in
the industry

today. Equipment that reflects
innovative thinking and solves
problems like the Insider.
His services are yours for the
asking. Dial (319) 366-2771 and
we’ll have him contact you.

Division of Kidde, Inc.


Box 2028
Cedar Rapids,
Iowa 52406
Yes, I want ideas.
□ Send me your
free brochure
about the Insider.
□ Have my nearby LeFebure Sales
Engineer contact me.

City __
State _
Zip ----Phone _


You’re looking at 36
ways to sim plify your
investment choices.
If you’re looking for the right in­
v e s tm e n t in a ra p id ly ch a n g in g
market, talk to the people at First
Bank Saint Paul.
Our Investment Services Group
has 36 full-time professionals ready
to help you with the most sophisti­
cated tools available.
They will be able to show you the
largest inventory of municipal bonds
in this region, plus a wide variety of
government securities, repurchase
agreements, commercial paper and
other money market items. Then help
you ta ilo r a program to fit your
specific investment objectives.
We can also provide safe-keeping
fo r all se c u ritie s and give you a
m onthly com puter report on your
portfolio’s performance.
For more information, call the In­
vestm ent Services Group at First
Bank Saint Paul, 291-5659. One of our
Investment Counselors will be glad to
talk with you about your investment

F ir s t B a n k
S a in t P a u l
Investment Services Group
The First National Bank of Saint Paul
332 Minnesota Street
Saint Paul, Minnesota (612) 291-5659
A Full Service Bank
Federal Reserve Bank of St. Louis

Member FDIC


NEW OFFICERS of the S outh Dakota Bankers A ss o c ia tio n fo r 1981-82 are, from left:
Im m ed. Past P res.— John W. Thomson, pres., Bank of C enterville; P res.— Nels E.
Turnquist, chm n. & c .e .o ., N atl. Bank of South Dakota, S ioux F alls; 1 st Vice Pres. — Dean
O. Mehlhaff, pres., Eureka State, and 2nd Vice P res.— Charles W. Ekstrum, pres., 1st
0 N a t l. , P h ilip .

Neis Turnquist Will Head SDBA in ’81-’82
members, conducted by S tate Vice
President M orris W inter, chairm an
the Andes S tate Bank in Lake
Andes, members elected Charles L.
Seaman as the new member of the
T T H E IR 89th annual conven­ ABA Executive Council for a
tion in Sioux Falls last m onth, two-year term , effective a t the
South D akota bankers elected Nels conclusion of the ABA convention in
E. T urnquist, chairm an and chief San Francisco next October to
executive officer of the N ational Bank succeed Mr. W inter. Mr. Seaman is
of South D akota, Sioux Falls, as their president of F irst S tate Bank in
president for 1981-82. He succeeds W arner.
pJohn W. Thom son, president, The
The first day of the convention was
Bank of Centerville. Dean O. devoted prim arily to sports fun, as
Mehlhaff, president, E ureka S tate golfers, bowlers and tennis enthusi­
Bank, was advanced to the first vice asts took p art in their respective
presidency, and Charles W. E k ­ tourneys. The w eather cooperated
strum , president, F irst N ational with good sunshine m ost of the day,
Bank of Philip, was elected second and a light rain welcomed by all
vice president. J .I . M ilton Schwartz, South D akotans was reserved for the
continues as executive second day when the m eeting was
m anager.
indoors a t the civic convention hall. A
D uring the m eeting of ABA joint social hour, hosted by associate


members, completed the first d ay ’s
Dr. Paul S. Nadler, professor of
business adm inistration at R utgers
U niversity, was the keynote speaker.
He told bankers “ I would not be
quick to put in brick and m o rtar” in
the next few years, stating, “ ATM s
will proliferate, banks will be free to
pay the going rates in five years,
you’ll keep one central location to
handle bigger business and exception
cases, and you’ll need the personal
touch only for special needs.”
ABA President Lee Gunderson
told how “ ABA is developing an
agenda for change to position
banking so it can compete effectively
and profitably.” He stressed repeat­
edly th a t ABA supports fully the goal
of defeating inflation as the nation’s
num ber one priority. He repeated
how ABA is asking Congress to limit
money m arket m utual funds, which
have taken in $120 billion of
funds —much of it from b an k s—by
lim iting the interest they can pay,
ju st as banks are limited, a n d /o r pay
reserves, disclose th a t they are not
insured, and eliminate their checking
Mr. Gunderson cited “ the chang­
ing mood in W ashington, recognizing
th a t regulations have gone far
beyond w hat was intended, due to
over-pressure of consumer groups.
The Hon. Douglas MacArthur II,
career am bassador of the United
S tates S tate D epartm ent, and a
41-year veteran in th a t service, gave
a m asterful look a t global policy
reflected by several decades of
American policy. He detailed how it
moved from 160 years of “ isolation­
ism ” to world prominence and
dominance after W orld W ar II
because we had the atom bomb, we

P ictured at the la d ie s’ b o w lin g to u rn a m e n t are: Seated— Neva
Erickson (le ft), S ioux F alls, and Harvey Knopke, B eresford.
s ta n d in g — Tish Selk (le ft), Omaha, and Ruth Thompson,

Dennis Kirkeby, v.p ., 1st N a tl., S ioux F alls, and his w ife , Karen;
Ron Jenkins, pres., C om m ercial T rust & Savings, M itc h e ll; Peter
Gillette, pres., N.W . N a tl., M in n e a p o lis, and Curtis Kuehn, sr.

B eresford.

v.p ., 1st N a tl., S ioux F alls.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker. J u n e , 1987


South Dakota News

40-year plaques were presented to Matt Marttila (le ft), a .v.p.,
M ilban k branch of 1st N a tl., A bderdeen, and Larry Engelhart,
v.p., F irst Bank, N .A ., Aberdeen. N ot present to receive his award
was D.D. Behl, chm n. & pres., F&M State, S cotla nd .

had the resources to rebuild the world
and we were quite independent of
reliance on other nations for basics
and we were exporting oil. From this
benevolent intervention period, as he
term ed it, we evolved into the “ tired
croupier” syndrom e and made the
m istake of following the same old,

Merle Dean, ch m n ., Farm ers State, C anton, and Bob Sipple, sr.
v.p ., A m erican N a tl., St. Paul. RIG HT— Larry Hansen, v.p ., U.S.
N a tl., Omaha, Robert S. Baker, v.p. & cash., 1st N a tl., S ioux
F alls.

tired foreign policy from 1960 on. Our
errors in world policy—especially Viet
Nam, w ith its cost to the nation of
$100 billion annually—drained our
resources. Our foreign policy then
lapsed into the doldrum s, featured by
indecision th a t lasted until the last

In the m eantim e, A m b a ssa d o r#
M acA rthur related, Russia kept
spending five to six times our annual
defense expenditures and has built
itself into a position of m ilitary
suprem acy—on the ground, in t h e #
air, on the sea, under the sea, and in
nuclear power and weapons. I t will

John A. Robb, a.v.p ., C hem ical Bank, New York; Cynthia Young,
bond un d., St. Paul F&M , Aberdeen; Calmer Thompson, sr. v.p .,
1st N a tl., B eresford; Dave Volk, state treasurer, Pierre, and Fran
Wallach, asst, m gr., C hem ical Bank, New York.

Doug Schmidt, a .v.p ., 1st N a tl., S ioux C ity; Ed Begeman, Jr.,
v.p. & m gr., Parker o ffice , N.W . N atl, of S ioux F alls, and his w ife,
Arlene; Mike Broderick, pres., F irst A m erican Bank, C anton, and
his w ife , Louis, and Gary Stevenson, v.p ., 1 st N a tl., S ioux C ity.

Tom Pohlman, corr. bk. o ff., N.W . N a tl., S ioux C ity; Mark
Wahlstrom, a.v.p. & br. m gr., N.W . N a tl., S ioux F alls, and Don
W. Dwight, v.p. & m gr., S p rin g fie ld , N.W . N a tl., S ioux Falls.

Vern Holter, v.p., N atl. Bank of S outh Dakota, V e rm illio n ; Morris
Winter, pres., Andes State, Lake A ndes; Wilma Weeks, corr. bkg.
oper. o ff., Bill Wogstad, sr. inv. o ff., S e cu rity N a tl., S ioux C ity.

N o rth
s te rn B a n ker, Ju n e , 1981
forw eFRASER
Federal Reserve Bank of St. Louis

South Dakota News

Bob Anderson, exec. v.p., 1st Natl., Minneapolis; Pat McGraw,
sr. v.p. & cash., Natl. Bk. of So. Dak., Sioux Falls; Dennis Evans,
pres., 1 st Natl., Minneapolis, and NelsTurnquist, pres., Natl. Bk
of S.D.


Tom Brisbine, Sr., pres., Sanborn County Bk., Woonsocket;
Larry Schacht, pres., Andes State, Lake Andes; Ray Plowman,
pres., 1st State, Armour, and Ivan Steen, v.p., N.W. Natl., Sioux

Pictured at the 19th hole luncheon are, from left: Morris Winter,
pres., Andes State, Lake Andes; Curt Lovre, dir. and retired
chmn., N.W. Natl., Sioux Falls; Don Pederson, sr. v.p., N.W.
Natl., Minneapolis, and Buck Moore., pres., N.W. Natl., Sicux
W.E. Schirber, pres., Dewey County Bank, Timber Lake; Robert
Bennis, Sioux Falls; John O’Donnell, pres., and Dale Rogers,
v.p., both with 1st Natl., Lemmon.

Dale Teich, pres., Farmers & Merchants, Huron, and his wife,
Pat., and Ev and Don Lindeman, a.v.p., 1st Natl., Sf. Paul.
Federal Reserve Bank of St. Louis

Ann Gormley, v.p., American Slate, Pierre; Lee Groskopf, v.p. &
mgr., Robbinsdale branch, 1st Natl, of Black Hills, Rapid City,
and Jana Kirkeby, corr. bk. repr., American Natl., St. Paul.
N o rth w e s te rn B a n ker, Ju n e , 7981


South Dakota News

Stan Peterson, v.p., Midland Natl., Minneapolis; Robert Hawley,
v.p. & mgr., Bristol branch, 1 st Natl, of Aberdeen; Bev and Lyle
Paschke, v.p. & mgr., Redfield branch, 1st Natl, of Aberdeen.

Tom Laird, v.p., Security State, Tyndall, and his wife, Emma;
Frank Farrar, Britton, and Jim Laird, a.v.p., Correspondent
Resources, Inc., Edina, Minn.

Stan Fredericks, v.p., Toy Natl., Sioux City; Dwayne Halse, pres.,
Farmers State, Falndreau; Boyd Hopkins, pres., Live Stock State,
Mitchell, and Rich Breyfogle, v.p., Toy Natl., Sioux City.

Bruce Hebei, a.v.p., 1st Natl., St. Paul; H.R. Page, pres., and
Roger Newell, v.p. & cash., both with Farmers & Merchants
State, Plankinton.

continue to push and test the United
S tates to learn the will and
determ ination of our nation. He feels
we may have turned the corner in this
situation with the election of a
President com m itted to a strong
national defense to ensure peace.
He said it is im perative, therefore,
th a t the U nited S tates get its internal
house in order, w ith the first goal of
whipping inflation so the economy
will move back into high gear th a t
made it strong. W hen this is done, he
said, “ these are the priorities of the
President. This will require pain and
belt tightening by all so th a t we can
more quickly undo 20 years of
drifting indecision.”
E . Gerald C orrigan, president of
the Federal Reserve Bank of
Minneapolis, also stressed the
importance of getting inflation under
control and bringing it back as close
to zero as possible within a few years.
He said the Federal Reserve Board
and its components remain com m it­
ted to this goal. “ I see no other

N o rth w e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

choice,” he said, ‘‘than to keep the men who have been together since
heat on to beat inflation . . . One their U niversity of M ichigan days at
thing you can count on is th a t the Ann Arbor appear to be getting
Federal Reserve will do its job —the better with age. Their performance,
Fed will continue its policy of and the ensuing dance, offered a
re stra in t.”
fitting climax to a fine convention. □
He said the Fed welcomes
President R eagan’s ‘‘initiative to
inject some discipline into fiscal
First National Joins In
policy . . . President R eagan’s plan
for budget reduction is the key pin to Operation Evergreen Plan
success. We need to earn tax
The F irst N ational B ank of the
reductions and not make them Black Hills recently participated in
gratuitously . . . We m ust not let the Rapid City beautification plan
some setbacks
underm ine
our known as Operation Evergreen.
Service clubs, youth groups, govern­
purpose or confidence.”
P resid en t T hom son in his address m ent agencies and local businesses
noted th a t the SDBA had been able to have been helping with this project
prevail on the State Investm ent for the p ast two years. The project
Council to leave $30 million of CDs in involves planting trees and shrubs
South D akota banks by arriving at a around sparsely-vegetated areas in
plan to compute a fair rate paid by the the city.
The bank purchased 500 evergreen
The convention banquet the second seedlings. A volunteer group of 33
evening was followed by outstanding bank employes and their families
entertainm ent furnished by The helped plant the trees on a S aturday
Arbors quartet. These four young morning.

South Dakota News

Henry Schelle, chmn., Tri-County State, Chamberlain; Jim
Hongslo, v.p., Security Natl., Sioux City; Dale Teich, pres.,
Farmers & Merchants, Huron; Bob Knopke, pres., 1st Natl.,
Beresford, and Ken Roeder, c.b.o., Security Natl., Sioux City.


A commemorative engraved Duck Stamp Album was presented to
retiring SDBA Pres. John Thomson by officers of Northwestern
Natl., Minneapolis. Pictured are, from left: Mr. Thomson’s son,
JohnThomson, who is a.v.p., corresp. bk. d ep t, N.W. Natl.; Mr.
Thomson; Barry Lindholm, corr. bk. off., and Dick Storlie, v.p.,
both with N.W. Natl.

South Dakota
Bill DeBondt; his wife, Doris, who is a.c., State Bank of Hudson;
Dwight Bos, Mid-America Financial Supply, Sioux Falls, and
Aggie and Ken Snedeker, cash., State Bank of Hudson.

Celebrating their birthdays together the night of the convention
banquet were Mrs. Erling Haugo (left), Sioux Falls, and Mrs. R.
G. Knodel, McLaughlin.
Federal Reserve Bank of St. Louis

Howard Peters, pres., American State, Wessington Springs; ABA
Pres. Lee Gunderson, and Bill Addington, v.p., Marquette Natl.,
N o rth w e s te rn B anker, Ju n e , 1981


South Dakota News

First National’s Fun Run Largest Ever

Black Hills Bank Sponsors
Charles M. Russell Display
The F irst National Bank of the
Black Hills in Rapid City and the
Rapid City Fine A rts Council
co-sponsored w hat officials term the
m ost im portant collection of Charles
M. Russell paintings and sculpture
ever assembled in South D akota. The
exhibit was on display in the F irst
National Bank main office lobby
April 12 through May 3.

HELPING runners review the course before the race was Myles Kennedy, v.p.

There was a V IP reception prior to
opening the exhibit to the public. A t
this time, Paul Evans, president of
the Rapid City Fine A rts Council,
presented an award to President
Charles T. Undlin which recognizes
F irst Naitonal Bank
outstanding achievement in support
of the arts. There were over 600
people at the V IP reception and the
bank averaged 300 people per day
viewing the art exhibit, seven days a
week. Approxim ately 60 tour groups
FUN RUN in Rapid City attracted 236 participants, aged 6 to 52.
were scheduled during this time
IRST National Bank of the Black female categories. There were draw ­ including area school children,
Hills, along with two area busi­ ings for a num ber of prizes and free re­ organizations and clubs.
nesses, sponsored a 3-mile Fun Run freshm ents furnished to all partici­
for Rapid City and the surrounding pants.
Increase Capital Stock
area. Trophies were awarded to the
The Fun Run was the largest race
The following banks have amended
top five finishers in both male and ever held in Rapid City.
their articles of incorporation to
increase capital stock: Farm ers and
M erchants S tate Bank, Iroquois,
Gettysburg Staff Changes
secretary. She was promoted to from $50,000 to $200,000, and F irst
t cashier in 1977.
S tate Bank, W arner, from $30,000 to
An announcem ent of officer
changes made by F irst B ank—G et­
tysburg has been made by Loren
Miller, president.
Aberdeen Officer Promotion
Ruby P o tts has been prom oted to
Phyllis Johnson has been prom o­
cashier and operations m anager. Ms.
to insurance officer a t the Hecla
P o tts has been w ith the bank since
of the F irst N ational Bank of
1952 and has served in m ost
where she has been
departm ents of the bank. In 1976 she
working since 1973.
participated in an officer training
program and was prom oted to
Elevated in Brookings
assistan t cashier in 1977.
M ary
Ann Fransen has been
Cheryl Thompson of the F irst
promoted to assistan t cashier and
National Bank in Brookings has been
tim epay m anager. Ms. Fransen has
Ja n Sieler, who has been cashier promoted to personal bank represen­
been with the bank since 1970 and and m anager of tim epay since joining tative and assistan t m arketing officer
worked as a bookkeeper, teller and G ettysburg in 1977, has resigned.
at the downtown office.


forw eFRASER
N o rth
s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis

South Dakota News

^Advanced in Rapid City
One bank officer was promoted and
two new bank officers were elected at
the F irst National Bank of the Black
Hills, in Rapid City, President
►Charles T. Undlin has announced.
Jack Holzberger was promoted to
vice president and m anager of the
H ot Springs branch. Gary Schweit­
zer was elected assistan t vice
►president and operations and system s
officer and M. Joan Palo was elected
insurance officer at the Newell
Mr. Holzberger is a graduate of the
►University of M ontana in M issoula
with a BS degree in business
adm inistration specializing in per­
sonnel adm inistration. He began
working in G reat Falls, M ont, as a
►trainee in 1968. Mr. Holzberger was
promoted to assistan t vice president
in hum an resources in 1974. He
transferred to F irst National Bank in
1978 as vice president of hum an
Mr. Schweitzer graduated from
Black Hills S tate College with a BS in
business adm inistration, accounting
emphasis. Prior to his employment
with F irst National Bank, he worked
for Banco Incorporated, which is
responsible for the internal audit
function of N orthw est Bancorporation. He was the supervisor for the
►Rapid City office since 1979.
Ms. Palo began working for the
bank in the operational area in 1976.
She was moved into the insurance
and instalm ent loan area in 1980.


Northwestern Bank Begins New Parking Ramp
O R TH W ESTERN Bank, Downtown Branch, in Sioux Falls,
recently held ground breaking
ceremonies for a new two story
parking ram p. A nticipated compie-


tion date is in A ugnst, 1981. W hen
opened the ram p will have space for
305 cars. A pproxim ately 50 bank and
com m unity leaders attended the
ground breaking ceremony.

BANK and community leaders gathered for Northwestern Bank Sioux Falls’ recent ground­
breaking ceremonies.

Northwestern Bank Donates Buddy Bear

Buck Moore “Boss of Year”
The Sioux F alls C hapter of J aycees
International has announced the
)selection of C.P.
“ B uck” Moore as
“ Boss of the
Y ear” for 198081. Mr. Moore is
, president
chief executive
officer of N orth­
western National
Bank of Sioux
, Falls.
Ja y cees cited
Mr. M oore’s com m unity involvement
as imm ediate p ast president of the
Sioux Falls Chamber of Commerce
and his 1981 role as president of the
Downtown Development Corpora­
tion. Also considered was Mr.
M oore’s active role in corporate
activities representing the South
D akota affiliates of N orthw est
Federal Reserve Bank of St. Louis

THE LOVABLE four-foot Buddy Bear was the va'entine at the Crippled Children’s School
and Hospital in Sioux Falls. Anja Hoekman, principal of the school, Don Hirtzel, vice
president and branch manager of Westwood branch, and C.P. “Buck” Moore, president of
Northwestern Bank, Sioux Falls, watched the enthusiasm of the students with their new

Watertown Appointment

Day County Bank Purchased

B oydB . H opkins, Sr. and Boyd D.
B.C. Solum, president, F irst
National Bank of W atertow n, has Hopkins, J r., owners of the Live
announced the appointm ent of Stock S tate Bank of Mitchell, have
Lenora Mueller as assistan t opera­ announced the purchase of the Day
tions m anager. M rs. Mueller joined County Bank of W ebster w ith a
branch a t Pierpoint.
F irst N ational in 1961.
N o rth w e s te rn B a n ker, Ju n e , 1981


New Devils Lake President

North Dakota
C. N. Davis, pres., Cando
H. J. Argue, exec, dir., Bismarck


Bank of N.D. Farmer Program Successful
H E farm real estate division of
the Bank of N orth D akota has
announced th a t over $20 million has
been loaned to beginning farmers.
Through the Beginning Farm er
Program , the bank has assisted 313
beginning farm ers in financing farm
land. Rodney Anheluk, assistan t
cashier, said the Beginning Farm er
Program has been successful over the
past three and a half years of
operation. In addition, loans am ount­
ing to over $2.3 million have been
comm itted to beginning farmers
which are expected to be funded in the
near future.
The Beginning Farm er Program is
a combined effort by the Bank of
N orth D akota and Farm ers Home
A dm inistration to assist beginning
farm ers in the purchase of farm real
estate. U nder this program the Bank
of N orth D akota and Farm ers Home
A dm inistration may combine to
provide 100% financing of the
appraised value. The term may be up
to 40 years and the interest rate may


deviate 2 % below the rate for
established farmers for the first five
years of the loan. By law, the Bank of
N orth D akota may lend only to actual
farm ers who are residents of N orth
Dakota. All beginning farm er loans
originate at local Farm ers Home
A dm inistration offices.

Promoted in Bismarck
Keith Ulmer has been promoted to
assistan t vice president and m anager
of F irst Bank
N orth,
head Plaza, ac­
cording to Rob­
ert E. W estbee,
joined F irst Bank
Bismarck in 1973
in operations. He
was elected per­
sonal banking ofK. ULMER
ficer in 1978, and is currently
assistan t m anager of the Personal
Banking Center.

J. J. O'Dell, pres., Brighton
D. A. Childears, exec, mgr., Denver

Central Bank Realigns Executive Row
ONALD D. Hoffman, president
of Central Bank of Denver since
1967, became board chairm an upon
the retirem ent of M ax G. Brooks
June 1. Joseph R. Lincoln, formerly
executive vice president, was elected
president and Jam es B. Osbourn was
promoted to executive vice presidentloan adm inistration.


N ofor
rth w
e s te rn B anker, Ju n e , 1987
Federal Reserve Bank of St. Louis

Mr. Brooks, 65, will continue as a
director of Central Bank, as well s
several other banks in the area and
also as a director of Central
Bancorporation, Inc. He joined
Central Bank in 1945, became
president in 1957, and was elected
chairm an upon the death of his
father, Elwood Brooks, in 1965. He is


Jim Collinson, who has been
associated with Devils L ake’s First
National Bank since 1946, has
stepped down as president. John
Olsen, vice president since 1968, h a s #
taken over as president.
Mr. Collinson became president in
1968 when his father, Robert
Collinson, retired. Robert Collinson
had joined F irst N ational in 1909.#
The elder Collinson remained board
chairman until his death, a t which
time Jim Collinson took over. He will
not remain on the board.
Mr. Olsen joined the bank in 1 9 6 3 #
and has served as teller, cashier and
vice president. He is a graduate of the
U niversity of N orth D akota w ith a
degree in business adm inistration.

Convention Report
The N orth D akota
B an k er^
Association convention was ju st
concluded as this issue went to the
printer. A complete report with
pictures will appear in the July issue.
Tom A. Roney, president of F o ste r#
County Bank & T rust Company in
Carrington, was scheduled to be
elected president of the NDBA,
succeeding C.N. Davis, senior
adm inistrative officer a t F irst S ta te #
Bank of Cando. John M. McGinley,
president of American S tate Bank in
W illiston, was scheduled to advance
from vice president to president­
elect, succeeding to the post held b y #
Mr. Roney this p ast year.
a p ast president of the Colorado
Bankers Association.
Mr. Hoffman has been with1
Central Bank since 1941 when he
began his banking career as a
messenger. He was first elected an
officer in 1950, became executive vice*
president in 1958, and was elected
C entral’s president in 1967 a t age 43.
In 1977 he was nam ed chief executive
officer and will continue in th a t
capacity as board chairm an.
M r. Lincoln is a graduate of both
the business and law colleges of the
U niversity of Denver. His Central
Bank career began while he was still
attending college, and he joined theg
b ank’s tru s t departm ent shortly after
graduation. He was named vice
president in 1963, senior vice
president and secretary in 1970, and
an executive vice president in 1974.g
As president, Mr. Lincoln will

Colorado News

—become chief operating officer.
® M r. Osbourn, with the bank 29
years, is a graduate of Yale
U niversity. He joined Central as a
member of the Central Bankers
basketball team in 1953. Prior to his
recent promotion, he was senior vice
president in the financial services
adm inistration group.
William J . Keller, president of
^ A s p h a lt Paving Co., and M arvin F.
Owens, who retired from Central
Bank recently, have been added to
the board. Mr. Owens, 65, joined
Central Bank in 1954 as vice
^ p re sid en t. In 1965, he was elected
senior vice president-com m ercial
banking division.


sion. Formerly w ith F irst National 1973. He also was vice president of
Bank of Denver, he has a bachelors the data services division of
degree from R utgers U niversity at M erchants N ational Bank of Cedar
Rapids, la ., from 1968 to 1973.
New Brunswick, N .J.
Named vice president and tru s t
A recent addition to C entral’s
commercial lending departm ent, officer. Mr. Lee said, were Leo L.
Richard L. Fenwick was prom oted to Beserra, David
assistan t vice president. He holds a O. Ellis, Donald
Ellsw orth,
bachelors degree in international L.
affairs from the U niversity of Lester L. G arri­
Colorado, and has had extensive son,
experience with several financial Luchini
Recent officer elections include: E tten.
O ther new vice
Jean M. Alexander-m ortgage loan
servicing; Norma J . Anderson- presidents named
residential m ortgages; Richard H. are Terrance J .
M cElroy-correspondent
banking; Tangen, corresJoanne M. M oe-corporate tru st;
Daniel A. Rich-personal tru st; Jean
M. Sm ith-tax officer; Shelley C.
Stenkuhler-commercial loans; Cyn­
thia S. Sutherland-operations; M ark
E. Thompson-commercial loans, and
John M. W eber-operations.

Convention Report




Announced a t presstim e were the
following staff changes:
John E. Bush joined Central in
1975 as general counsel. He has
previously employed by the S tate of
Colorado. He has a bachelors degree
in business finance and a bachelor of
laws degree from the U niversity of
Colorado. The title of secretary was
added to his previous title of vice
president and general counsel.
Allen K. Thom as was prom oted to
senior vice president. A former
petroleum engineer w ith Mobil Oil
Corporation, Mr. Thom as heads the
natural resources division a t Central.
He earned a bachelors and m asters
degree in petroleum and natural gas
engineering from the Pennsylvania
S tate U niversity. He joined Central
in 1973.
Jam es J . Fallon, who joined the
bank a little over a year ago, was
prom oted to assistan t vice president
in the correspondent banking divi­
Federal Reserve Bank of St. Louis

The Colorado Bankers Association
convention was underway as this
issue was being mailed. A complete
report w ith pictures will appear in the
July issue.
W .W . Peter G rant, president of the
Colorado N ational Bank of Denver,
was scheduled to be elected president
of the CBA for the coming year,
succeeding Jam es J . O’Dell, chair­
m an and president of P latte Valley
Bank, Brighton.



pondent banks; Susan M. Ashby,
retail banking; Gary Jaeckel, energy;
Joseph P. McCann, general business
services, and Elaine Vandemoer,

New Lakewood Director

William Frogge, president of
Lakewood Colorado National Bank,
has announced th a t the board of
directors recently elected Virgil L.
Hill a member of the board. Mr. Hill
First National Names 13
is president of the Consolidated
The board of directors of the F irst M utual W ater Company, a Lake­
National Bank of Denver has elected wood-based organization providing
Donald L. Neil executive vice w ater services to the Lakewood,
president and Joseph F. Phernetton W heat Ridge, and east Jefferson
senior vice president, according to County areas.
Robert E. Lee, president and chief
Four Appointed in Denver
executive officer.
Mr. Lee noted th a t 11 vice
United Bank of Denver has
presidents also were named by the announced the appointm ents of
Edw ard L. Stowe to vice president
M r.Neil, 39, joined F irst of Denver and tru s t officer and Lyndol B.
May 1 from Texas Commerce Carter to assistan t vice president.
Bank-Tanglewood in H ouston, where
Mr. Stowe joined the bank in April,
he had been president, chairm an of 1981, from the American National
the board and chief executive officer Bank & T rust Co. in St. Paul, Minn.
since the bank opened in November, He holds an LLB degree from the
U niversity of W isconsin Law School
Mr. Phernetton, 43, joined the at Madison.
bank June 1 from the Banks of Iowa
Mr. Carter joined United Bank in
Com puter Services, Inc., Cedar 1979 and was named commercial
Rapids, where he was president and banking officer in 1980.
director. He will m anage F irst of
Also announced were the appoint­
D enver’s D ata Services. Mr. P her­ m ents of Sidney N. Held and Gary A.
netton has been with BICS since W hite to personal banking officers.
N o rth w e s te rn B anker, Ju n e , 1981


Colorado News

New Arapahoe Bank Approved United Banks Reports
United Banks of Colorado, Inc., a First Quarter Earnings
Denver-based holding company, has
received Federal Reserve Board
approval for a new bank in Arapahoe
N. Berne H art, president and
chairman of United Banks, said the
new bank, United Bank of Arapahoe,
will be located on Arapahoe Road off
Interstate 25. The approxim ate
opening date is expected to be in
June, 1981.
Gary J . Roberts has been
appointed president of United Bank
of Arapahoe, according to Mr. H art.
Mr. Roberts is now a vice president of
United Bank of A rvada.
The new bank will be opened in a
tem porary facility. Construction on
the perm anent building is expected to
commence in mid-year with the
official opening scheduled for early

Appointed AVP at Lakeside
Gregory R. V artanyan has been
appointed assistan t vice president
and assistant de­
partm ent m ana­
ger of instalm ent
loans at Lakeside
National Bank of
Denver, accord­
ing to W alter M.
Orr, president.
V artan­
yan joined the
bank in 1979 in
operations G R' VARTANYAN
departm ent. He was subsequently
elected loan officer and assistan t
cashier. Mr. V artanyan holds a
bachelors degree in economics from
the S tate U niversity of New York.

New S. Colorado Directors
Fred Hitchcock, president of South
Colorado N ational Bank of Denver,
has announced the election of Joe
Onofrio to the board. Mr. Onofrio is
president of Joe Onofrio Music
Company in Denver. Also elected to
the board was W ilma Shook,
assistan t vice president-commercial
and real estate loans of South
Colorado National Bank. She joined
the bank in 1964.

United Banks of Colorado has
reported higher earnings for the first
quarter over a year earlier. N. Berne
H art, president and chairm an, said
income before securities transactions
advanced 15 percent to over $6.5
million. On a per share basis,
earnings were $1.38 a share, up 11
Mr. Flart said loans have increased
16 percent, reaching $1.5 billion.
Total deposits were up 15 percent to
more than $2 billion. Total assets
climbed 17 percent to $2.8 billion.

New Calhan Loan Officer
Farm ers S tate Bank of Calhan has
announced the hiring of Samuel J.
Husson, Jr. as instalm ent loan
officer. The past eight years Mr.
Husson has been m anager of AVCO
Finance of Colorado Springs. He
holds a graduate certificate from the
Command and General Staff College
of the LbS. Army.

Joins University National
Lynn M. Jefferies has joined
U niversity National Bank of Denver
as a commercial loan officer,
according to Charles L. Ferguson,
president and chairm an of the board.
Mr. Jefferies was previously vice
president of commercial loans at
M etropolitan S tate Bank in Com­
merce City. He graduated from
Brigham Young U niversity with a
m asters degree in public adm inistra­

Idaho Executive Changes
The Idaho Bank & T rust Co. has
elected Ted E. Ellis president and
chief adm inistrative officer. Mr.
Ellis' banking career has spanned 35
years, the p ast five with IB&T.

Holding Company Approved
The Federal Reserve Board has
announced its approval of the
application by M etro Bank Corp. of
Denver, to become a bank holding
company by acquiring M etro N ation­
al Bank of Denver.
N o for
e s te rn B a n ker, Ju n e , 1981
Federal Reserve Bank of St. Louis



Also announced was the promotion
of J . G rant Bickmore, president for
18 years, to vice chairm an of the
board and chief executive officer. Mr.
Bickmore rem ains president and chief

executive officer of IB&T C o rp .,^
parent company for both Idaho Bank®
& T rust and F irst Bank of Troy.
Mr. Ellis joined F irst Security of
R exburgin 1947, and is a graduate of
the U niversity of W ashington. Mr.
Bickmore began his banking career as
a janitor-bookkeeper-teller at Down­
ey S tate Bank in the early 1930s, and
later worked as a state and federal
bank examiner.

Lakeside Employment
Program Successful
C utbacks in federal spending will
have little or no effect on the f e d e r a l
employment program Lakeside N a­
tional Bank of Denver has adopted as
its own.
Portions of the program —namecL
CETA for Comprehensive Em ploy­
m ent and Training A c t—may be
discontinued by the Reagan A dm in­
istration, but Lakeside’s program
will continue, according to bank V i c ^
President Jim Reese.
The classes tau g h t by the bank are
both professional and business-like in
their approach. They consist of a
m onth of concentrated study, w ith ^
eight-hour days crammed with®
classroom lectures, role playing and
observation of various bank d e p a rt­
m ents.
“ The idea is to give each stu d e n t^
the basic skills necessary to perforni
functions within a b a n k ,’’ Mr. Reese
pointed out. “ W ith these skills as a
foundation, the students are better
equipped to gain meaningful jobs iiw
the banking in d u stry .’’
A lthough the CETA program does
not guarantee employment at the
conclusion of instruction, Lakeside
National Bank has placed nearly
three quarters of its students with
banks in the Denver m etropolitan
area. Nearly one third of the
graduating students have been hired
by the bank itself.
“ W hat started as a self imposed
comm unity obligation by the bank
has turned into a 100 percent
com m itm ent by the entire sta ff—
from President W alter Orr, J r. on
down to the newest teller,’’ Mr. Reese
Eighteen students have gone
through Lakeside N ational classes to
date, with no drop outs and an
extremely high placem ent rate. As
the b ank’s program became known in
the m etropolitan area, other banks
began contacting Lakeside to see
when the next graduating class would
be available for interviews.

At United Bank of Denver we have
the best Correspondent Bankers
in the Rockies and Eastern Plains.
And to stay out in front, we’re
always trying to find ways to serve
our customers better.
In the field of Correspondent
Banking that means seeing our
customers more often. Getting to
know their tanks and their needs,
n short, we believe the best
service comes from knowing the
customer best.
That’s why our nineteen Corre­
spondent Bankers are going to be
spending up to 40% of their time

Dorit call us.
We’re calling onyou.
Federal Reserve Bank of St. Louis

on the road railing on you. Not sit­
ting behind their desks. The phone
company may not like our style,
but we’re sure our customers will.

SS United Bank of Denver
Correspondent Banking Group
1740 Broadway
Denver, Colorado, 80217
National Association,
Member FDIC

1' ' i


78th Annual

Montana Bankers
Association Convention

June 2 4-26
Big Sky

Vice Près.

IG SKY has been chosen again as the site for the
78th annual convention of the M ontana Bankers
Association, June 24-26. An attendance of nearly 700
persons is expected.
Presiding a t the convention will be Jerry B. ®
W allander, president of the MBA and chairm an and
president of F irst S tate Bank of Froid. Scheduled to
succeed him as president for 1981-82 is Robert L.
Reiquam, who has been vice president this p ast year.
Mr. Reiquam is president of F irst N ational Bank in ®
Miles City. The MBA treasurer is Erie C. Gross,
president, Little Horn S tate Bank, H ardin. John T.
Cadby is executive vice president a t MBA headquarters
in Helena.
M en’s and women’s golf tournam ents will be offered, ®
as well as an extensive program of interest to spouses
attending the convention. The program follows:


Tuesday, Ju n e 23


P.M .

A.M .

Board of Directors R eception—K arst Kamp.
Board of Directors D inner—K arst Kamp.
W ednesday, Ju n e 24
Board of Directors M eeting—South Cheyenne.
R egistration—N orth Cheyenne.

P.M .

A.M .


N o rth
e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis


N om inating
Com m ittee
M eeting—South
T hursday, Ju n e 25
25 Year Club B reakfast—South Cheyenne.
Continental B reakfast—Convention Center
R egistration—Lodge Lobby.
Business Session—Convention Center.
W elcome—Jerry W allander, MBA president.
A ddress—David K. H art, professor,
D epartm ent of Business, Governm ent & Society,
School of Business A dm inistration, U niversity
of W ashington, Seattle.
Governor Ted Schwinden.
A ddress —Edw ard
counsel and secretary, Connecticut Bank &
T rust, H artford, Conn.
Ladies Special In terest Session—Convention
Cafeteria. Karla Jones, Self Unlimited Semi­
nars, Kalispell, M ont.
Ladies Golf T ournam ent—Meadow Village Golf




■i %

The nam e com es from a S p an ish w o rd m eaning
“m ountainous." It's the fourth largest state in the U .S.,
w ith the Rockies covering tw o-fifths of its total area.
Join P eter Gillette,. P resident, Larry Buegler, Senior Vice
P resident, D on P ederson, Senior Vice P resident a n d their
associates from the C o rresp o n d en t a n d Bond D ep artm en ts
for the state bankers convention, June 24-26 at Big Sky.

X A J Of Minneapolis


Member FDIC



B anco
Federal Reserve Bank of St. Louis


Montana News


Cocktail Reception—O utside Patio.
D inner—Lodge Dining Room.
Golf & Tennis Awards —Lodge Dining Room.
Double Feature Movie (Tentative) —Jefferson
Dancing with “ M any Sounds of N ine.”
Friday, June 26

AM .



Ladies Aerobic Exercise C lass—Cheyenne Room
or Patio.
Ladies Singles Tennis T ournam ent—Lodge
Tennis courts.
Golfer’s Lunch—Black O tter-Golf Course.

P .M .



M en’s Golf T ournam ent—Meadow Village Golf
Ladies Special In terest Session—Convention
Center Cafeteria.
Louise Abel, Consulting Certified Graphoanalyst, Helena, M ont.
Mixed Tennis T ournam ent—Meadow Village
Special In terest Session—M adison Room.
“ Personaly sis’’—Patrick A. Powers, M anage­
m ent Technologies, Billings, M ont.
“ W illmar 8” Film —M adison Room.


P ast Presidents B reakfast—Cheyenne Room.
Continental B reakfast—Convention Center
Business Session—Convention Center.
A ddress—C.C. Hope, J r., p ast president of
ABA and chairm an of ABA Council.
A ddress—Gerald Corrigan, president, Federal
Reserve Bank of M inneapolis, M inneapolis,
George H olthus, UM ACHA, M inneapolis,
Annual membership meeting.
Ladies Cham pagne R eception—C het’s Lounge.
Ladies B runch—Lodge Dining Room.
Bernice Erickson H at Show—Lodge Dining

P .M .


Playmill Theatre Variety Show—Lodge Dining
W ater Color D em onstration & Class —Outside
Special In terest Sessions —Convention Center.
Reception—Outside Patio.
P resident’s B anquet—Lodge Dining Room.
Dancing w ith “ M any Sounds of N ine.”

You Will See Them at the 78th Annual
Montana Bankers Association Convention
H E following m etropolitan bankers and service and equipm ent
dealers have indicated th a t they will


B illin g s

S ecu rity Bank: Homer Scott, J r.,
chairman; Tom Scott, Richard Kjoss,
be attending the M ontana Bankers Jerry W oods, Bill Wilson and Gene
Association Convention June 24-26 at Coombs.
Big Sky.
C hicago

F irst
Our con gratu lation s to P resid en t Jerry W allander and the “ O fficial
F a m ily ” for p lan n ing an o u tsta n d in g con ven tion program!

Be seeing you at B ig Sky . . .

N ation al


Jerom e

W agner.
D enver
F irst N ation al Bank: Joe Sylvan,

senior vice president; Terry Tangen,
assistan t vice president, and Chic
Hall, correspondent bank officer.
U n ited B ank of D enver: Robert H.
Dressel, senior vice president, and
Vernon L. Hendrickson, vice presi­
M inneapolis


"Q U mxÍ

íaj& í

rf-omily ßonJz"
N o rth
e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

F irst Bank: Dennis E vans, presi­

dent; Robert J . Anderson, executive
vice president; Michael E. Boncher,
vice president; John L. Franklin and
Edw ard W helan, assistan t vice
M arquette N ation al Bank: Richard
E. Holmes, a ssista n t vice president,
and Jam es Kammerer, investm ent


! M ontana pride.

Land of the cowboy.
Home of the range. Cattle graze.
Lumbermen log. Miners mine.
And skiers ski beneath the big sky.
While Montana bankers build the momentum.
We salute you.
Federal Reserve Bank of St. Louis

First Bank
W ell be there.
First Bank Place
Minneapolis, M N 55480
Phone: 612/370-5474
Member FDIC

N o rth w e s te rn B a n ker, J u n e , 1981


Montana News

N orthw estern

C o rresp o n d en t
B anking, T w o
W ords S ay It All
S ecu rity B ank
W e o ffe r c o m p le te c o rre s p o n d e n t b a n k in g
T rust Services in c lu d in g pension and p r o fit
sharing plans.
Investm ent Services in clu d in g c o m p u te riz e d
in v e s tm e n t p o r tfo lio
R apid C le a rin g o f Cash Letters
W ire Transfers
P a rtic ip a tio n s and O v e rlin e s
Bank S tock Loans
C o m p le te D ata Processing in c lu d in g
te le p ro ce ssin g
C o in and C u rre n cy S hipm ents
A t S e cu rity Bank w e u n d e rsta n d the needs
and p ro b le m s o f an in d e p e n d e n t bank. A nd
w e 'v e g o t the exp e rie n ce and th e re p u ta ­
tio n th a t assures you w e kn o w how to help.
Let Gene C oom bs te ll you m ore.

Gene Coombs



"I look f o r w a r d to seeing y ou at the
W y o m i n g B ankers Ass oc ia ti on C o n v e n ­
tion in Jackson H o l e or at the M o n t a n a
B ankers Ass oc ia ti on C o n v e n t i o n in
Big Sk y."


29TH & 3RD AVE. N. ♦ (406) 657-3609 * BILLINGS, M O N TA N A

N ofor
e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis

N ation al

B ankÄ

Peter Gillette, president; Larry®
Buegler and Don Pederson, senior
vice president; Arlan Tengwall and
Dick Storlie, vice presidents, and
Dennis McFadden, correspondent
banking officer.
S t. P au l

Langford, senior vice president;
Michael M. McNeil and Robert W 0
Jacobson, vice presidents.
F irst N ation al B ank: Andrew G.
Sail, president and deputy chief
executive officer; Donald R. Linde-^
man and Richard E. Pringle,
assistant vice presidents; Richard M.
Carey, correspondent banking repre­
A m erican N ation al B ank:

b e a ttle


S ea ttle -F irst N ation al B ank: Sam ­

uel R. Noel, vice president and
m anager; Steven C. Pum phrey, vice
president and area m anager; John S ..
M adison and Edw ard R. Campbell,
assistan t vice presidents.
B ank E qu ip m en t and O ther Firm s
B ran dt, Inc.: Cleon P. Folkins,.
Spokane, W ashington.
D elu x e Check P rinters, S t. Paul:

Dick Lesch, Chuck Froehle and Ron
F inancial In stitu tio n
S ervices, <l
In c., N a sh v ille, T ennessee: Gary

M osler S afe C om pany, H am ilton ,
Ohio: John Tharp
and R alph.



NABW Regional Conference
To be Held in Kalispell
“ Performance Banking: Plan . . .
Produce . . . P rofit” is the them e of
the N ational Association of Bank
W om en’s N orthw estern Regional
Conference to be held June 27-29 a t.
the Best W estern in K alispell.1
Women bank executives
Alaska, Idaho, M ontana, Oregon and
W ashington will attend the m eeting,
which is being hosted by M ontana,
Sunday m orning, June 28, the
bankers will hear a panel of bankers,
banking association officials and
others in the field of governm ent a n d .
public affairs discuss how to become
more involved in legislative and
regulatory processes. In the after­
noon three concurrent workshops will
be offered.
On M onday m orning, Ju n e 29,

We’ll be there!
Come visit with us, ask questions, learn a little bit more
about what we have to offer.
We’ll be there—Jack Barry, Bob Sipple and Bill
Langford. And we’re looking forward to seeing you!

Jack Barry

Bob Sipple

Bill Langford

Montana Bankers Association
June 24, 25, 26
Big Sky

Am erican National
Bank and Trust Com pany
C orrespondent Division
5th and Minnesota, St. Paul, Minnesota 55101
(612) 298-6331
Federal Reserve Bank of St. Louis


Montana News

S.P. Oison New President in Kalispell


IRST N orthw estern National
Bank of Kalispell has elected
Stephen P. Olson to succeed Victor
H. Lohn as president and chief
executive officer. Mr. Lohn continues
as chairman of the board of this
N orthw est Bancorporation affiliate.
Mr. Olson joined the Kalispell
bank as senior vice president in 1977.
He began his banking career with
Banco in 1964 when he joined another

N orthw estern National
Bank of Sioux Falls, S.D . He was a
system s analyst, operations a t the
Banco corporate office from 1966 to
1968 and rejoined the Sioux Falls
affiliate in 1968 as operations officer.
Mr. Olson held several m angem ent
positions there before joining F irst
N orthw estern National Bank of
Kalispell. He is a graduate of N orth
D akota S tate U niversity.

workshops will be offered again.
Afternoon speakers will include Bob
Waller, president,
F irst
Billings, and B etty J . Lindstrom ,
vice president, Federal Reserve Bank
of Helena. B etty Shrader, NABW
vice president and executive vice
president of Sterling Bank in Los
Angeles, will address the bankers at
the evening banquet.

M rs. M urphy began her banking
career in 1956 w ith M etals Bank and
T rust Company, B utte. D uring 1961
through 1968, M rs. M urphy held
numerous positions in Tracy-Collins
Bank, Salt Lake City, U tah; The
Merc, G ranger, U tah; and United
California Bank, Frem ont, Califor­
nia. She joined Miners Bank of
M ontana, n.a., in 1968, where she has
held m any operational positions as
well as being in charge of the
personnel departm ent.

Elected at Miners Bank
Darlene C. M urphy
elected assistan t cashier
Bank of M ontana, n.a.,
according to Tim othy

has been
of M iners
of B utte,
J . Shea,

Advanced in Billings
Jim R itter has been prom oted to
industrial loan officer at Security
Bank, N.A. of Billings. He joined the
bank in 1979 as an account adjustor,
after attending M ontana State
U niversity and E astern M ontana

Joins First Bank Havre
Since 1898 M ontana
banks have relied
upon us for efficient,
correspondent services.
Let us explain how
we can assist your bank.

Steven D. Velk has joined F irst
Bank Havre as a commercial loan
officer, according to Gordon Clarke,
president. Mr. Velk began his
banking career in 1974 as a
m anagem ent trainee with Citizens
Bank of M ontana, and was promoted
to vice president in 1980. He

completed his undergraduate work at
the U niversity of M aryland a n P
Northern M ontana College.
Mr. Clarke also announced the
promotion of Bill Filler to assistant
vice president and m anager-instal­
m ent loans. Mr. Filler joined F i r ^
Bank Havre in 1978, and was
promoted to m anager of the
instalm ent loan departm ent in 1980.
Also announced was the prom otion
of Phyllis Hull to operations officer.
Ms. Clarke joined F irst Bank
Bozeman in 1975 as proof operator.
She transferred to F irst Bank Havre
in 1979 as teller supervisor.
John S to tt, an ag loan officer w itfr
F irst Bank Havre, recently received
his m aster of science degree in animal
science from Brigham Young U niver­
sity. His thesis on the effect of w h o l^
eggs and tallow in the diet on blooa
cholesterol and heart disease was
selected to be published in the
International Poultry Science J o u r­

Elevated in Great Falls
Karen M. Motil has been elected
operations officer of F irst Bank G reat
Falls, John Reichel, president,
has announced.
M rs. M otil joined
the bank in 1957
as a stenograph­
er, and was des­
1971. She was
promoted to a s­
sistan t
operaKM- M0TIL
tions officer in 1975, and in 1976
assum ed supervisory responsibilities
of the b an k ’s bookkeeping and
operations areas.

Ed Jasm in, President
Frank Shaw,
Senior Vice President

Serving Southeastern Montana
Continuously Since1882

Sadie Hunter, Cashier
Del Barnekoff,
Asst. Vice President


<fll>First Bank Miles City

f ir s t n a t io n a l b a n k

Member First Bank System

in Miles City •

M e m b e r F .D .I.C .

Of Helena

AnAffiliateof Northwest Bancorporation
Helena, Montana 59624
Member FDIC


(406) 442-5050
o rth
w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


W orking together, getting things done.


to service is
your Source of
strength in

First of Denver is the source you can
depend on
for prompt decisive answers and
action on your loan participation requests,
for the newest, most comprehensive
cash management systems,
for an availability schedule which sets
the standard in the Rocky Mountain
for highly skilled bankers who make it
their business to anticipate changes in the
agri-business and metro markets that can
affect your bank and customer needs.
And we respect and protect the
integrity of your customer
So consider the Source.

First. First of Denver

The First National Bank of Denver, Correspondent Bank Department, P.O. Box 5808 T.A. Denver, Colorado 80217
(303) 893-2211 Member First National Bancorporation
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


1st Vice Pres.

73rd Annual

Wyoming Bankers
Association Convention
June 10-12
Jackson Lake Lodge
Moran, Wyoming
N O TH ER exciting program is in store for bankers
and families who plan to attend the 73rd annual
convention of the W yoming Bankers Association at
Jackson Lake Lodge, M oran, June 10-12. WBA
President George E. Cooke, former president of
American National Bank, Powell, and W BA Executive
Director M. Clare Mundell have announced advance
details of a well-balanced convention.
Serving as W BA officers the p ast year w ith Mr. Cooke
have been F irst Vice President A lbert E. B radbury,
president, F irst National Bank, E vanston, and Second
Vice President Donald R. “ Buzz” W assenberg,
president, S tate Bank of Big Piney.
F irst convention activities, as usual, will be the M en’s
Golf Tournam ent and the Fishing Derby on W ednesday,
June 10, followed by the social hour and indoor picnic at
the Lodge th a t evening. The L adies’ Golf Tournam ent
will be staged T hursday m orning while the first general
business session is in progress. T hursday afternoon has
been left open, then the annual banquet and dance take
place th a t evening. The second general session will
conclude the convention at noon Friday.
Inform ation for those wishing to register for golf,
tennis or fishing has been sent to all members. The
“ coaches” for various activities are:
Golf: John Edm iston, senior vice president, Denver
National Bank, Denver; Gene McMillen, senior vice
president, F irst W yoming Bank, N .A ., Rawlins, and
Eugene Hayes, president, F irst W yoming Bank —
W heatland.
F ishin g: Dean Bark, vice president, Jackson S tate
Bank, Jackson, and Sherrod France, president, Rawlins
National Bank.
Tennis: Dick Nelson, president, F irst N ational Bank,


N ofor
e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

2nd Vice Pres.

Exec. Dir.

John Easterbrook, vice president at F irst N ational
Bank, Laramie, is billed as athletic director and his two
assistants, listed as trainers, are Bill Tum elty, vice
president, and Rich M cElroy, both with Central Bank of
“ The Rare M om ent” band from Denver is well-known
for its professional accom plishments and will play for
the dances both W ednesday and Thursday nights.
R egistration desk opens Tuesday, June 9, 10:00
a .m .-12:00 noon and 1:30 p.m . to 5:00 p.m .;
W ednesday, June 10, 9:00 a .m .-12:00 noon and 1:30
p .m .-5:00 p.m .; Thursday, Ju n e 11, 8:00 a .m .-9:30 a.m.
The complete program follows:
W ed n esd ay, Ju ne 10
P .M .


Social Hour, Stockade Terrace.
Indoor Picnic, E xplorer’s Room.
E ntertainm ent, “ The Rare M om ent.”
Dancing to the music of “ The Rare M om ent.”
Casual clothing.
T hursday, J u n e 11

A .M .

9:30 F irst General Session. Presiding: George E.
Cooke, president; former president, American
National Bank of Powell.
9:30 Pledge of Allegiance to the Flag.
9:35 Invocation—Reverend Jo h n W right, P astor, Our
Lady of the M ountains Church, Jackson.
9:45 A ddress—David S. Broder, David S. Broder A s­
sociates, Incorporated, W ashington, D.C.
10:30 President’s R eport—Mr. Cooke.
10:45 A ddress—C.C. Hope, p ast president, American
Bankers Association, W ashington, D.C.
11:30 Report of Nom inating Com m ittee and Election of
Officers— George W. M cllvaine, president, S ara­
toga S tate Bank, Saratoga.
11:45 Recess
12:00 Jo in t luncheon preceded by refreshm ents—A nte­
lope Room, ground floor.
P .M .

6:00 Social Hour, Stockade Terrace.
7:15 Seventy Third A nnual B anquet—E xplorer’s
Room. A thletic Association will present awards
during banquet.
9:00 E ntertainm ent, “ The Rare M om ent.”
9:30 Dancing, “ The Rare M om ent.”

As Correspondent Bankers, we know a good
reputation is a measure of professional
We’ve built our reputation by providing
responsive, efficient service.
If that’s what you expect from a
correspondent relationship,


John Edmiston
Judy Hoy
Steve Sheridan


fy fA


We may be just what
you’re looking for.



;:-ïs . K l

John Edmiston
Judy Hoy
Steve Sheridan




Denver National Bank
17th and Lawrence • P.O. Box 5586 TA
Denver, Colorado 80217 • (303) 534-4000
Member F.D.I.C.
Federal Reserve Bank of St. Louis



ABA Past Pres.

F rid ay, Ju n e 12
A .M .
8:00 P E E P S (P ast President’s Breakfast) —Prospec­



to r’s Room. LES CHICKS (P ast Presidents’
W ives Breakfast) —Vigilante Room.
Second General Session E xplorer’s Room. P re­
siding: Donald R. W assenberg, second vice presi­
dent; president, S tate Bank of Big Piney, Big
Resolutions Com m ittee R eport—Donald P.
Kraen, chairman; president, W yoming Bank &
T rust Company, Buffalo.
A ddress—B. LaRae Orullian, president and
CEO, The W omen’s Bank, N .A ., Denver, Colo.
A ddress—Senator Alan Simpson, W ashington,


D.C. (Hometown-Cody).
11:00 Associate Business Session. Planning Committee
R eport—George W. M cllvaine, chairman; presi­
dent, Saratoga S tate Bank, Saratoga. By-Law^
Committee R eport—A. Edw ard Kendig, chair­
man; president, F irst N ational Bank in W heatland, W heatland.
12:00 A djournm ent.
P .M .

12:30 Luncheon—P rospector’s Room. Officers of W BA
and members of executive council. H osted by
newly elected president of W BA, Donald R. W as|

W elcom e to the W yom ing Bankers Convention
at Jackson Lake Lodge, from
Wyoming’s largest state-chartered bank — serving
Northeast Wyoming since 1907

and Trust Company

Member Federal Deposit Insurance Corp.

DigitizedN for
w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


W yom ing N ew s

„You Will See Them at the 73rd Annual
Wyoming Bankers Association Convention
H E following m etropolitan b an k ­
ers and service and equipm ent
dealers will be attending the 1981
W yoming Bankers Convention June
10-12 at Jackson Lake Lodge:
B illin g s
Dick Kjoss,
president; Jerry W oods, executive
vice president, and Eugene Coombs,
vice president.

™ S ecu rity


C hicago
F irst N a tio n a l Bank: Catherine D.

D en ver
B ank of D enver: Don
U chterm eyer, senior vice president;
Bill Tum elty, vice president, and
Rick M cElroy, correspondent b ank­
# Colorado N a tio n a l B ank: Bruce
Rockwell, chairman; Peter G rant,
president; Robert Kropf, senior vice
president; David Fowler and Charles
Kirk, vice presidents, and M ark
UVarshauer, corresondent bank offi­
D en ver N a tio n a l B ank: Samuel D.
Addom s, president; John A. Edmisi o n , senior vice president, and Steve
^Sheridan, vice president.
F irst N a tio n a l B ank: Joe Sylvan,
senior vice president; Terry Tangen
and H arry Devereaux, assistan t vice
U n ited B an k of D enver: Donald W.
Robotham , executive vice president;
Robert H. Dressel, senior vice
president, and Vernon L. Hendrickfcon, vice president.
^ Central

L incoln
F irst N atio n a l B ank: Gary Bieck,

S alt L ake C ity
Z ions F irst N ation al Bank: G.W .

J r., vice president
correspondent banking officer.


S ea ttle
S ea ttle -F irst N ation al Bank: Sam ­

uel R.
m anager;
George E.

Noel, vice
A rthur L.
and area

M anegre,
m anager,
assistan t


B a n k E q u ip m en t and O ther Firm s
A m erican
E x p ress
C om pany
[T ravelers Cheque and M oney Order
D iv isio n s] E nglew ood, Colo.: Edwin

J . L ichtw ardt, senior district m ana­
B enchm ark Com puter S y ste m s,
Omaha: Joe Soltis, sales m anager.
B ran dt S y stem s: Cleon P. Folkins,

Spokane, W ashington, and Bernard
W. Hillyer, Denver, Colorado.
C h iles-H eider & C om pany, O m a­
ha: Fred Douglas.
D elu x e Check P rinters, S t. Paul:

John Carroccio, Tom Hedrich and
Ned Henry.

Tom Reed has assum ed the
presidency of the F irst N ational Bank
of Chugw ater. M r. Reed is replacing
Tracy Swanson, who recently joined
the W estern Bank of Cody as
Mr. Reed is a graduate of the
U niversity of N ebraska w ith a BS
degree in business adm inistration.

Glenrock Charter Approved
A sta te charter for a second bank in
Glenrock has been approved by the
state banking commission, b u t still
m ust be approved by FID C. Ed
Cleary will head the planned bank,
which will offer all commercial
banking services. Mr. Cleary is
presently a vice president of the Bank
of Casper.

Torrington Additions
The F irst N ational Bank in
Torrington has announced the
addition of Larry Franklin, Dennis
Greenwald and Charles Youtz to the
board of directors. M ssrs. Franklin
and Greenwald are area farm ers, and
Mr. Youtz is an investm ent banker in

G eneral B ank E qu ip m en t and
S y ste m s, In c., Omaha: Thomas C.

Sternberg, president, and B .J.
Gehrki, architectural coordinator.
K irchner M oore and C om pany,
D enver: William Potocnik and Louis

J . Swiatek, vice presidents.
M osler Safe C om pany, H am ilton ,
Ohio: John Tharp.
U n ited S ta te s Check B ook C om ­
p any, Omaha: E d Batchelder, vice

president, and

W ayne


Wyoming National Earnings
The W yoming National Corpora­
has announced earnings for the
111 F irst
N a tio n a l
B ank:
Peterson and Bill Henry, vice first quarter of 1981. Consolidated
presidents; George M cFadden, m ar­ net income before securities tran sac­
tions was $1.07 million, up 21.8%
keting officer.
from the comparable period in 1980.
O m aha N a tio n a l B ank: Jo h n D. This was equal to $1.34 a share.
E le m e n ts and Daniel F. Boehle, vice
D uring the p ast 12-month period,
consolidated deposits have increased
U n ited S ta te s N a tio n al Bank: Jim by $34.1 million, or 13.4% . Dem and
Campbell, president; Howard Niel- deposits were down $10.1 million, or
|jjen and L arry H. H ansen, vice 11.1% . Total loans increased by
$33.3 million, or 22.7% .
Federal Reserve Bank of St. Louis

New Chugwater President

F in an cial In stitu tio n
In c., N ash ville: Gary Letey.

llHce president, and M ark Zaback,
correspondent officer.
O m aha


For credit collections
and information. transit
items, excess loans and
all correspondent
services . . .

First National Bank
of Casper
CASPER WYOMING (307)235-4201

N o rth w e s te rn B a n ker, Ju n e , 1981



OFFICERS of the Nebraska Bankers Association for 1981 -82 are
pictured with their famous State Capitol building in the
background. From left, they are: Immed. Past Pres.—Jerry Roe,
pres., Bank of Bennington; Pres.— Wm. W. Cook, Jr., pres.,
Beatrice Natl. B&T; Pres.-Elect— Harold P. Stuckey, pres.,
Lexington State, and Exec. Vice Pres. — Roger M. Beverage.

Bill Cook, Jr., Elected President of NBA
RE CORD turnout of more than
1,000 persons attended the 84th
annual convention of the N ebraska
bankers Bill M arshall of G rand
Bankers Association in Lincoln last
Island and Ray Tiedje of Norfolk for
m onth. The convention form at
serving on his G overnor’s Citizens
provided a departure from th a t of Committee.
recent years and received a good
ABA President Lee Gunderson,
reception by those attending.
president, Bank of Osceola, W is.,
I t was the first tim e in several
years the NBA has m et in Lincoln,
since the recent ones were all held in
1981-82 OFFICERS
Omaha after Lincoln’s Hotel CornNebraska Bankers Association
husker was closed. G uests were
President— William W. Cook, Jr.,
housed in the Lincoln H ilton and
president and chief executive offi­
cer, The Beatrice National Bank
Clayton House downtown and in
and Trust Company, Beatrice.
several outlying motels, with regular,
President-Elect— Harold P. Stuckey,
chartered bus service providing
president and chief executive offi­
transportation between them and the
cer, Lexington State Bank and
Pershing Auditorium Convention
Trust Company, Lexington.
Executive Vice President— Roger M.
Beverage, Lincoln.
Remodeling in progress a t the
NBA Executive Council
Lincoln Country Club limited a tte n ­
dance at the first night reception—
hors d ’oeuvres party, bu t the
Group 1 — Charles Matzke, president,
Jones National Bank, Seward.
expansive Pershing facilities accom­
Group 3— Roger Weiss, president,
m odated large crowds Friday and
Commercial National Bank, Ains­
Saturday. Pershing’s two levels also
made it possible to have a formal
Group 5— Bill Deitemeyer, presi­
dent, First National Bank, North
trade show area again and 39 banks,
supply and service firms had booth
Group 7— Bob Zabawa, president,
American National Bank, Omaha.
N ebraska Gov. Charles Thone
Group 7— Tom Allen, president, The
opened the first general session
Omaha National Bank.
Group 7— G.W. (Sam) O’Keefe, ex­
Friday afternoon with a warm
welcome. He publicly thanked


DigitizedN for
w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis


stated, “ We believe Money M arket
M utual Funds should not be able t P
access funds w ith checks. If this
inequity is not remedied, then they
should have to m eet reserve
requirem ents, and face disclosure
requirem ents by revealing th a t t h e ^
are not insured. Otherwise, Congress
should bring about changes th a t
allow banks to compete with some
kind of new instrum ent into which all
banks can plug in to retain and gai®
deposits so they are able to keep their
own communities growing. We need
to be working toward the day when
this equity is achieved. We can’t
afford to w ait five to six y e a rs.’’ H™
called also for a balancing of this need
with realistic usury ceilings.
Mr. Gunderson was em phatic as he
pointed out th a t the ABA Bankings
Leadership Conferences provide sr
forum for discussion of the M cFadden
Act and Douglas Am endm ent and
they are not a forum for advocacy.
Since both are current topics, he s a id ^
it is only logical th a t A B /v
Leadership discuss them to keep
up-to-date and reaffirm a long-stand­
ing position until such time as grass
roots wishes indicate differently. ^
Retiring NBA President Jerry Roe
announced th a t the NBA President’s
Conference will be February 4-9 at
Canyon Hotel in Palm Springs, Calif.
He also discussed briefly a new NBiW
program of videotapes to be usea
with workbooks for in-house training
for every position in a bank. These
should be ready by fall, he said.
ecutive vice president, The United
States National Bank, Omaha.
Group 8— H. Jack Moors, chairman,
Citizens State Bank, Lincoln.
(James H. Oliver, chairman, Com­
mercial National Bank & Trust Co.,
Grand Island, was appointed to completetheterm on the Executive Coun­
cil of Mr. Stuckey, expiring in1982.
He represents Group 5.)
NETS Board [3 years]
Robert E. Burkley, chairman, First
National Bank, Fairbury.
Alice Dittman, president, First Na­
tional Bank, Omaha.
F. Phillips Giltner, president, First
National Bank, Omaha.
James D. Lutes, president, Scribner
Bank, Scribner.
Robert L. Zabawa, president, Ameri­
can National Bank, Omaha.
ABA Council
Jerry Roe, president, Bank of Ben­
nington, for two-year term expiring
October, 1983, effective at end of
ABA convention in October, 1981.

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Member FDIC

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In Nebraska 1-800-642-8270
In Iowa, Wyoming, and South Dakota 1-800-228-9225
Federal Reserve Bank of St. Louis


Nebraska News

A happy and unusual event occurred when Jerry Roe (left), pres., Bank of Bennington, was succeeded as NBA president by Wm. W. Coola
Jr. (right), pres., Beatrice Natl. B&T. Both men followed In their father’s footsteps as president of NBA. Beside Jerry is his father, HarolP
E. Roe, chmn. of Bankof Bennington, NBA pres, in 1959-60. Beside him is Wm. W. Cook, Sr., chmn. of the Beatrice Natl., who was NBA
pres, in 1965-66. RIGHT— Bill Cook, Jr., and his wife, Betty, are pictured with Karl E. Dickinson, pres., Gateway B&T, Lincoln, and ABA
Pres. Lee Gunderson.

Mr. Roe also thanked members of
the Task Force appointed at the 1980
convention in Omaha with a m andate
to research every aspect of structure
change for Nebraska, travel the state
to meet with all bankers, then
form ulate for the NBA Executive
Council a plan of action. The Task
Force completed this giant job and
the Executive Council followed the
report with a bill to the Legislature
perm itting two additional full service
facilities within a b a n k ’s home town,
bu t no m ulti-bank holding company
authority. However, both aspects of
this were before the N ebraska
Unicameral at convention time.
Incom ing NBA President W .W .
Cook, J r., called upon all N ebraska
bankers to make their opinions and
needs known to their respective NBA
executive council members so the
council can consider and represent all
N ebraska banks and their views. He
said a remedy of the B ankruptcy
sta tu te will have top priority with
NBA. Mr. Cook also said a series of

Reg ZTIL seminars will be held in five
cities in the state the week of
Septem ber 14.
Dr. Paul Nadler, professor of
business adm inistration at R utgers
U niversity, pointed out th a t money
will cost more in the next few years
because “you will be buying i t .” He
added, “ don’t believe those who say
you are going to be swallowed
up —you will survive and be
profitable. You can run your bank
b etter than others who don’t know
your territory. You have nothing to
fear. Read all the articles, then go
home and run your bank —profitably
—as you have been!”
Dr. Steve Falken, president of
Dealing w ith Change, Inc., Sands
Point, New York, similarly gave a
more encouraging viewpoint of the
future for comm unity bankers.
“ Banks are in a position to write some
of the brightest chapters in their
careers,” he stated, “ provided
they know how to use change
effectively and to ad v an tag e.” He

believes we’re in a transition period
from the 40-year old demand s id P
theory of economics into a new era of
supply side economics. He urged
bankers to position them selves in the
m ainstream of changes going on i
American life and identify “w hat ne Cl'
services can I offer? —to whom? —
how? —with w hat potential results?
Combine the knowledge change w ith
your goals so you play the counselor’^
role. Change with society to a ‘d a
more w ith less’ attitu d e by m aking
the m ost of the five elements of
productivity—time, labor, energy,
capital and m aterials. “ D eterm ina
where the action will b e ,” he
concluded, “ and make sure you’re
there and ready to lead.”
Jim Lutes, president of NETS and
the Scribner Bank reported there ara
now 304 N ebraska bank members in
NETS out of 454 banks in the state.
He said Omaha National has assured
NETS it will have 36 ATM s in the
near future to be shared, and F irs t
National of Om aha will soon have 20

Jerry Roe, retiring NBA pres., presented 50-year plaque to Gus P. Scholz, chmn. 1 st Natl. B&T, Falls City, and Mrs. Scholz. RIGHT— FirsU
night banquet speaker was Richard Morefield (left), U.S. Consul General in Iran, who was one of the hostages held there more than 44^
days, pictured here with his wife, Dorothea, and Mimi and Jerry Roe.

N o rth w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


Nebraska News



Bonnie Clark (left) and Elise Peterson of 1st Natl., Omaha, explain visa Plus System to interested bankers. RIGHT— Leonard Waldorf of
PsADO Systems and Joe Soltis of Benchmark Computer Systems, Omaha, adjust their display featuring mini-computer systems.

EFT— Marv Kelley, mktg. v.p., Packers Natl., Omaha, with Pat German (left) and Toni Rice, hostesses at PNB booth. RIGHT—Joe J.
Huckfeldt, pres., Gering Natl. B&T, and Nancy, with Carmen and Jim Campbell, pres., U.S. Nat!., Omaha.

Dennis Brewster, pres., Butte State; Thomas H. Allen, pres., Omaha Natl.; John Clements, v.p., Omaha Natl.; Dot Stull, Bank of
Valentine, and Wally Seiler, tr. off., Guardian State B&T, Alliance.


EFT— First National of Omaha’s friendly, singing robot finally caught up with Laurie Krantz, 1 st Nat!., Bayard. CENTER— Helen and
ack Moors, chmn., Citizens State, Lincoln, enjoyed the fun when Jack won a golf trophy from the Northwestern Banker. RIGHT— Nancy
Kraft of Omaha Natl., and Don Johnson, pres., Farmers Natl., Pilger, watch video explanation of an ONB service.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, Ju n e , 1981


Nebraska News

Speakers Fr. Thomas McGrath, Prof. Paul Nadler and NBC’s Irving Levine all stress their points during the general session.

term inals to be shared. Mr. Lutes
said N ETS is discussing the sharing
of its switch with one other state.
David N. Simmons, chairm an of
the NBA comm ittee on m arketing
and education and senior vice
president of Frem ont National Bank,
gave a preview of new television
commercials and tie-in advertising
Fred Medero, general counsel of
the Farm Credit A dm inistration,

reviewed details of the new Farm
Credit Act am endm ents. He said the
time table for the act indicates it will
be January or February, 1982, before
it is implemented.
The Rev. Thomas M cG rath, S .J .,
professor of psychology at Fairfield
U niversity, Fairfield, Conn., gave
one of the interesting talks of the
convention. He related his nationally
known seminar on cultural change to
the banking field. The changes in


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M unicipal Bond D epartm ent, 100 C ontinental Building
O m aha, N ebraska 68102 / (402) 444-1900

Lincoln, Omaha, Grand Island, Hastings, Columbus, Shelby, Nebraska
Des Moines, Atlantic, Cedar Rapids, Fort Dodge, Marshalltown, Iowa
Kansas City, Missouri • Wichita, Kansas • Chicago, Illinois • Houston, Texas

N o rth w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


society from a rigid family discipline"
and a “ my country right or w rong’’
concept, have been replaced, he said,
by the relationships th a t recognize
credibility, tru s t and love, witR
respect based on the integrity of eacff
individual’s value.
An interesting, although un ­
planned, followup to his talk took
place a few m inutes later at the n o o ^
awards luncheon.
Mike Eruzione, captain o fth e U .S .
Olympic Hockey Team th a t beat the
Russians, then Finland, for the Gold
Medals, gave his reasons why
young American team beat the long
odds. “ We were 20 young people”
he said “who loved, respected and
encouraged each other. You m ust
believe in som ething, work for it a n ^ |
have respect for each o ther—then you
win. W hether you are on top or
bottom and you respect people, good
things happen.”
Irving R. Levine, NBC N e w ||
economic affairs correspondent, said
unexpected gains in GNP in the first
quarter went to 6.4% and brought
inflation down slightly from double
digit levels, while unem p lo y m en t
stayed a t 7.3% instead of rising to
the expected 7.8% level. This places
President R eagan’s tax cuts in
jeopardy, he believes. He said the
President also is a victim of his own®
preaching in past years for a balanced
budget, since m any Congressmen
now w ant to solidify these cuts before
any tax changes are made.
The convention closed on a t#
upbeat note with a cocktail reception
hosted by eight N ebraska correspon­
dent banks, followed by a dinner at
which 850 were served, and the
musical entertainm ent featuring Te?4i
Beneke and his orchestra with special



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Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Nebraska News

State Bank of Chester Holds Open House

THE STATE Bank of Chester was recently extensively renovated, and approximately 400
customers and friends toured the bank during an open house celebrating the project’s
completion. Harold R. Porter is the bank’s president.

guest stars The M odernaires w ith!
Paula Kelly, Jr.
The correspondent bank hosts were |
F irst National Bank, G rand Island;
F irst National Bank, Lincoln; First)
National Bank, Omaha; Nation*
Bank of Commerce, Lincoln; Nortl
western National Bank, Omaha;
Omaha National Bank, Omaha;
Packers National Bank, Omaha, and
U.S. N ational Bank, Omaha.
Of particular assistance to NB j
officers and Executive Vice President
Beverage in the convention planning
were two staff members who executed
all the logistical work necessary tt
carrying out the convention p lan—
McBride and Conference Director
K athy Powers.

Committee Chairmen Name^

A t the N ebraska Bankers A ssocia­
tion annual convention in Lincoln last
m onth, the new NBA President,
Bellevue Promotion
Two Promoted in Elwood
W. W. Cook, J r., president of Be*
The F irst National Bank of
A t the F irst National Bank in trice National Bank & T rust C oT
Bellevue has announced the prom o­ Elwood, Delores Steinbrink has been announced appointm ent of the I
tion of Harold “ H a p ” Engelkam p to promoted from cashier to vice following persons to the 13 standing
assistan t vice president. Mr. E ngel­ president and Robert Hilton was committees of NBA:
kamp is in charge of m arketing and promoted from assistan t cashier to A gricu ltu re — Tom Stuckey, 1;
the facility at M ission and Franklin. cashier.
N ational Bank, Kearney.
B ank M an agem en t — Eam es Irvin,
president, Citizens S tate Bank,
B a n k P A C — Mel Adam s, president
Keith County Bank, Ogallala.
C om pliance — Tom Fischer, vice
president and general counsel, 1st
National, Lincoln.
C orrespondent B a n k in g — Don Oi
trand, vice president, 1st N ation­
al, Omaha.
Federal L eg isla tio n — John Cattle,
president, Cattle N ational Bank,
In sta llm en t C redit — Larry Wangrud, president, Kearney S tate
M arketing & E d u ca tio n — Mike
Novak, 2nd vice president, U.Si
We are specialists in tax exempt
N ational, Omaha.
investments and we re proud of our
P ersonn el — Tom Alexander, vice
reputation for service. Why not give us a
chance to show what the Schweser team
president, N ational Bank of
can do for you?
Commerce, Lincoln.
P lan n in g — G .E . Gunderson, presifl
Talk to the Professionals
dent, Commercial S tate, W ausa.
in tax-free investments.
S ta te L eg isla tio n — John Green,
president, W auneta Falls Bank.

We have been
providing banks
with advice on
tax-free investments
for more than
40 years.

F ou nd ation A llo ca tio n — Karl Dicki

Investment Bankers



In Nebraska call toll free (800) 642-8438
Member of the Securities Investor Protection Corporation j ^ |

o rth
w e s te rn B anker, Ju n e ,
Federal Reserve Bank of St. Louis


inson, president, Gateway Bank,
V oluntary E m p loyees B eneficiary
A s s n . — Don Smejkal, senior vice

president, DeLay
Bank, Norfolk.



Nebraska News


H H ^ K i I
Phil Giltner (left), pres., 1 st Natl., Omaha, and H.L. “Bud” Gerhart, Jr., pres., 1st Natl., Newman Grove, receiving their tennis trophies for
HI nning men’s doubles; Don Ostrand, v.p., 1st Natl., Omaha; Dick Draper, Jr., pres., and Dean Henn, v p., both with Bank of Elgin.

via Burke receives her prize from Claudia Boyden (right) of the NBA staff. In background are Dave McBride (left), NBA dir. of
communications, and NBA Pres. Jerry Roe, reading list of award winners. RIGHT—Jim Gray, Jr., v.p., Coleridge Natl.; Steve Hatz, v.p.,
and Scott Otis, corr. bk. repr., both with Security Natl., Sioux City, la.

John Lewis, v.p., U.S. Natl., Omaha, and his wife, Donnie; Ed Burke, pres., Farmers & Merchants, Imperial, and his wife, Sylvia; Rich
Breyfogle, v.p., Toy Natl., Sioux City; Tom Pohlman, corr. bk. off., N.W. Natl., Sioux city, and Dick Draper, Jr., pres., Bank of Elgin.

Gary Stevenson, v.p., 1st Natl., Sioux City; Wilbur Baack, sr. v.p., Natl. Bank of Commence, Lincoln; Mike and Ray Tiedje, pres., Bank of
orfolk; Tom Woolsey, bond inv. off., United Missouri Bank of Kansas City; Dean Sladek, pres., Citizens State, Clearwater, and Dick
uir, v.p., United Missouri Bank.

Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, Ju n e , 1981


Nebraska News

Orrin A. Wilson, sr. exec, v.p., and Wm. C. Smith, pres., both with 1st Natl., Lincoln; Donald D. Stull, chmn., Guardian State B&T,
Alliance, Gary Bieck, v.p., 1st Natl., Lincoln; Charles R. Leffler, chmn., and his son, Charles, pres., both with Bank of Swanton, and
Wayne Hoskinson, pres., Sioux Natl., Harrison.

Jack Selzer, pres., Scottsbluff Natl., and his wife, Shirley; Dale Borg, sr. v.p., Guardian State, Alliance, and his wife, Pat, and Larry
Hansen, v.p., U.S. Natl., Omaha, and his wife. Bobbie. RIGHT— Mike Eruzione, captain of the Gold Medal winning U.S. Hockey Team,
poses with six NBA staff members, from left: Cindy Gilg, Judee Wortman, Kathy Powers, Claudia Boyden, Marcia Hecox and Lvnne

Jim Moore, pres., 1st State, Fremont, checks out Brandt’s newest coin counter with Mark Grimes, Omaha, Brandt salesman.
RIGHT— Bernie Gehrki, architectural coordinator; Roger Fosbender, salesman, and Tom Sternberg, pres., at their display for Generid
Bank Equipment & Systems and Financial Structures Incorporated (FSI) of Omaha.
DigitizedN for
w e s te rn B a n ker, J u n e ,
Federal Reserve Bank of St. Louis


Nebraska News


N ebraska Bank
Deposits Gain 6.93%

n T J ASED on inform ation contained
D in the 1981 N ebraska Bank
Directory, which was mailed last
m onth by T he N orthwestern
J I a n k e r , N ebraska bank deposits
increased from $8,961,584,000 at
1979 year-end to $9,582,591,000 at
1980 year-end. This is a gain of 6.93 %
^ Loans for the 457 banks in the state
Ww ereup ju st .0036% , increasing from
$5,929,411,000 a t 1980 year-end.
N ebraska’s 117 national banks
Wield deposits a t the end of 1980 of
™í¡>5,469,062,000, an increase of
$235,099,000 over the 1979 deposits
of $5,233,963,000, an increase of
4.5% . The national banks represent
>25.6% of all banks in the state and
hold 57 % of the bank deposits in the
state. These 117 national banks had
year-end loans of $3,295,278,000, a
decrease of 2.7 % . National banks had
|55.6% of bank loans in the sta te in
N ebraska’s 340 state chartered
banks held 1980 year-end deposits of
3.727.621.000 a t the end of 1979, a
gain of $385,908,000, or 10.4% . S tate
banks, representing 74.4% of all
banks in N ebraska, held 42.9% of the
1980 deposits. This was a healthy
crease over 1980 when state banks
held 41.6% of the deposits. The 340
state banks had net loans of
$2,634,133,000 on the 1980 call
report an increase of $114,957,000, or
6% , over the $2,519,176,000 in
1979 loans.
For all 457 banks, N ebraska
averages $20,968,000 deposits per
bank. N ational banks (117) average
46.744.000 per bank, while state
banks (340) average $12,098,000 per
bank. Loans average $12,975,000 for
all 457 banks; $28,165,000 for
national banks, and $7,747,000 for
tate banks. L oan/deposit ratios
dropped off in all categories, w ith
loans holding fairly steady and
deposits increasing by nearly 7 %. All
454 banks in 1979 had an average
L /D ratio of 65.93% , bu t th a t
dropped off to 61.9% last year.
The deposits per person in
N ebraska, based on 1,570,006 people,
were $6,103 at 1980 year-end, a gain
of $325 over the $5,708 per person a
year earlier.
Federal Reserve Bank of St. Louis

Were interested in handling
ag credit needs.

t Security Bank, we’re peoL pie with an interest in
your success. People you can
count on for ag lending and all
your correspondent needs.
Our Correspondent
Banking Officers have a special
commitment to agriculture.
And we have our own Security
Agri-Credit Corporation to
help you with increased credit
So, start corresponding
with Security for ag lending,
data processing, overlines and
investments. You’ll discover
we’re people with an interest
in you.


Security Correspondent Bankers
Top to Bottom
Jim Hongslo
Steve Hatz
Ken Roeder
Wilma Weeks
Jim Young

People with
an interest
in you.

Western Iowa’s Largest

7 1 2 /2 7 7 -6 5 5 4


© 1 9 8 0 Security National Bank

N o rth w e s te rn B a n k e r, J u n e , 1981


Shareholders elected John CL
K enefick to the board. Mr. K eneficl^
president of the Union Pacific
Railroad, had served as a director of
the Omaha N ational Bank since 1972.
* * *

H E T H R E E Omaha Banco affili­
ates introduced a new bank pro­
duct the end of April called the Prime
Cash Fund. Center Bank, U .S. N a­
tional and N orthw estern will all have
the product, which is a com bination of
two services already offered by
banks: the high yield six m onth
certificate of deposit and a secured
line of credit. An initial deposit of
$10,000 or more is required to
establish a Prime Cash Fund.
Customers may then access their line
of credit either by w riting checks or
through telephone transfer.
The product was designed by
N orthw est Bancorporation to meet
the need of custom ers looking for a
high money m arket type yield,
imm ediate accessibility to their
funds, and the security of FD IC
Availale for inform ation regarding

the Prime Cash Fund are: John
N elso n , vice president-retail banking
m anager, U .S. N ational Bank; R obin
A b ram s, vice president, Center
Bank, and P au l E isen ,
president- m arketing, N orthw estern
N ational Minneapolis.
* * *

Omaha N ational C orporation’s
board of directors has approved an
increase of 20 cents per share in the
corporation’s annual dividend rate,
chairman Joh n D . W ood s announced.
The annual dividend was raised from
$1.60 to $1.80 per share.
The corporation’s board declared a
quarterly dividend of 45 cents per
share, reflecting the new annual
dividend rate. The corporation’s net
income for the first quarter totaled
$2,332,604, slightly below the
comparable 1980 figure of $2,335,976.


F irst N ational Bank of Om aha has
announced the promotion of W illiam
M . G dovic as
second vice presi­
Mr. Gdovic a t­
tended Bellevue
College and the
U niversity
N ebraska
Omaha. He join­
ed the bank in
1970, and became
m anager of the
personal banking departm ent in
1974. He is currently m anager of the
132nd and Center Street office.

New North Platte President
J.W . M cDermand has been named
president and chief executive officer
of the McDonald
S tate Bank of
N orth P latte. He
has been w ith
the bank since
1954, and was
m ost recently ex­
ecutive vice pres­
ident and cashier.
Also promoted
was Donald R.
W eber to vice J-W. McDERMAND
president and cashier. Ken V.
H aggard was elected vice president
and Linda M orrison was named
assistan t cashier.
Elected chairm an and vice chair­
man were Dale and Greg Stine, who
recently bought the stock of the
bank. R etiring are J.Y . Castle,
former chairm an, and George W 0
Taylor, former president.


New West Point Chairman


24th & “L”

Omaha, Nebraska 68107
Member FDIC
w e s te rn B a n ker, J u n e ,
Federal Reserve Bank of St. Louis



The following prom otions have
been announced a t the F irst National
Bank in W est Point: Gerald C.
Hunke, president since 1974, was
elected chairm an and chief executive
officer, and Allan C. McClure,
executive vice president since th a t
same date, was elected president and
chief operating officer. Mr. H unke
joined the bank in 1957, Mr. M cC lur0
in 1968.


Corner the
Banking C ard Market
This little symbol can give you a big advantage. It
epresents the Plus System. A brand new way to
ncrease your banking services, streamline your
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e competition.
The size and viability of the Plus System is un­
beatable. Plus System terminals have been intalled in nearly 200 locations. In the Omaha area,
cross the Great Plains. In the Rocky Mountain
ates. From Mexico to Canada.
Why offer a system that is confined to only one
tate, when you can offer a regional shared
ystem with access to terminals in over
e states. And the Plus System has just
egun to grow.
The Plus System gives your customers
ccess to their money 24 hours a day, 7
ays a week, extending their money han­
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istrument ever offered.


The Visa Banking Card is the access vehicle to
the Plus System. Visa now lends its name to a first
rate debit card that is automatically accepted
wherever Visa is accepted. In over 3 million mer­
chant houses, worldwide.
Most importantly, the Visa Banking Card is sup­
ported by the sophisticated Visa computer net­
work which gives the agent bank access to the
Visa system with revenue stream.
The Plus System will attract new customers.
M ake ban king easier for your present cus­
tomers. Reduce your paperwork and labor ex­
penses. And give you access to the Visa reve­
nue stream.
Put our corner in your corner.
C all: The C orrespondent Banking
Department. In Nebraska call us toll free at
800 - 642 - 9907 . Outside Nebraska call us
toll free at 800 - 228 - 9533 .

firstnational bank
of omaha

16th & Dodge • 16th & Farnam • 132nd & Center
member FDIC • 341-0500
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981

Prime Cash Fund certificates
require an initial deposit of $10,000 *
more. Customers may then access
their line of credit equal to the initial
deposit level by w riting checks or
through telephone transfers.
According to Norm an N ackeru®
president, “ The Prime Cash Fund
will not only provide immediate
access to their funds, b u t it will
guarantee a high yield for 26-w eek^
Deposits will be insured up to
$100,000 by the Federal Deposit
Insurance Corporation, which is not
true on money invested in a Money
M arket F u n d .’’
The interest rate paid on a Prime
Cash Fund certificate is determined
ECENTLY Alex Sheshunoff, representative from A rthur A nder­ at the tim e the account is opened. !
financial specialist and consul­ son & Co.
ta n t, presented a day-long seminar
NBC Executive Vice President New Director in Fremont
covering asset and liability m anage­ Tom Potter spoke to the group at the
M artin A.
M assengale,
m ent, sponsored by N ational B ank of luncheon break. Mr. P otter described
NBC’s com puter modeling system chancellor designate of the U niver­
More than 90 bankers from across which is available to correspondent sity of N ebraska a t Lincoln, has been
elected to the board of F irst National
N ebraska gathered in the N ebraska banks.
Center for Continuing E ducation for
The seminar was the fourth in a Bank & T ru st Company of F re m o n #
the seminar.
series of annual Sheshunoff sem inars
Mr. Sheshunoff discussed his sponsored by N ational B ank of Celebrates Anniversary
com pany’s asset/liability com puter Commerce for N ebraska bankers.
Farm ers and M erchants N ational
model. He also covered loan pricing
a t W est Point recently held an
Prime Cash Fund
options and investm ent portfolio
open house celebrating the 50tW
strategies, as well as discussing Offered in Hastings
anniversary of the bank. Special
regulatory considerations.
Prime Cash Fund, a new service, is recognition was given W .T. Knievel,
Jack Parker of Union Planters now available to custom ers at F irst chairm an of the board, for his 50
N ational Bank in M emphis, Tenn. National Bank of H astings. The years of employment w ith the b a n l^
discussed investm ent portfolio s tr a t­ Prime Cash Fund combines the high
egies. A question and answer period yield of a 26-week savings certificate G.R. “Bob” Brown Dies
followed with Mr. Parker, Edmond of deposit with a secured line of
G.R. “ B ob” Brown, vice president
Pace of Sheshunoff & Co., and a credit.
of the F irst N ational Bank of Omaha,
died recently. He was a vetere#
correspondent m an.


New President in Peru
David R. Wesely has been
appointed president of the Bank S
Pem . Mr. W es­
ely, 33, also en­
tered into an
option to acquire
an interest in the
bank at a future
F ormerly the
eastern N ebraska
regional m anager
for Postal F i­
nance Company,
Mr. Wesely attended Conception
Sem inary, the U niversity of N e b ra ^
ka a t Lincoln and a t Omaha, and is
currently enrolled at the U niversity
of the S tate of New York working
toward a degree in finance. He is a
licensed life and casualty unde^g
Digitized N
o rth
w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis



Specialists in
fulfilling your every
correspondent need...




Vice President & Manager
Correspondent Bank Division

Vice President

Vice President




Assistant Vice President

Correspondent Bank Officer

Correspondent Bank Officer




Correspondent Bank Officer

Correspondent Bank Officer

Correspondent Bank Officer

13th & M Sts. • P.O. Box 81008 • Lincoln, NE 68501
Phone: (800) 742-7462
Member, F.D.I.C.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981


Talk over your invest­
ment needs with us and
let us help you m ake prof­
itable decisions. We're
Bankers Trust, where
Iowa's future grows!

Come Grow M N
W ith Us I I


U w l

Des Moines, Iowa 50304
Member: FDIC/Federal Reserve System
Iow a’s la rg e st locally ow ned,
in d e p en d e n t b a n k
Use our to ll-free WATS lin e: 800-362-1688

N o rth w e s te rn B a n ker, J u n e , 1981
Federal Reserve Bank of St. Louis

recently. He had been associated with
the Dubuque Bank and T rust
Company in Dubuque for more than
30 years and had been president there
for several years before resigning to
join Toy National. In his new work he
will be associated w ith the m anage­
m ent team dealing with liability
m anagem ent and business develop­
m ent.

E. L. Tubbs, pres,, Maquoketa
IN. Milner, exec, v.p., Des Moines

Elected in Waterloo

Credit Unions To Join ITS
H E Iowa Credit Union League
has reached
agreem ent in
Drinciple for its member credit unions
™ join Iowa Transfer System Inc.
Beginning Ju ly 1, shareholders of
larticipating credit unions will be
ble to use the network of 122
ectronic bank card term inals in
Inks, grocery and other retail stores
o w ithdraw cash and make deposits
n their accounts.
Use of the term inals has been
im ited to custom ers of the 567 banks
Plow a, South D akota and N ebraska
h at own the transfer system .
Thus, the agreem ent m arks a
u rth e r blurring of the distinction
»etween financial institutions in
Iw a. Savings and loan associations
,lso have been invited to join the
ystem , b u t so far have balked
»ecause of w hat their representatives
iay is an excessively high entry price.
^ F in an cial details of the credit union
igreement were not released, alhough Gary L. Plank, executive
lirector of the league, said the cost
puld be allocated to participating
*edit unions by their size.
Plank said he expects 20 to 25 of
he largest credit unions, w ith as
nany as half of the 480,000 share­
holders in the state, to become a p art
n the system in the first year.
The invitation by banks to
om peting institutions to join their
lectronic fund transfer network
m onstrates the changing nature of
e money business.
Credit unions pay their members
n tere sto n accum ulated savings, and
he convenience of the transfer
^ ste m would appear to p u t them in
in advantageous com petitive posiion w ith banks.
B ut banks and S&Ls were given
he authority a t the beginning of this
« a r to offer N egotiated Order of
Withdrawal (NOW) accounts th a t
ilso pay interest.
And the inevitability of competiion apparently pursuaded banks to
g least recover some of their start-up
:osts for the transfer system by



letting com petitors buy in.
Iowa banks were pioneers in the
introduction of a statew ide electronic
funds transfer system .

Toy National, Sioux City,
Announces Staff Changes
Leslie H. Olson, president of the
Toy National Bank in Sioux City,
appointm ent of a
new officer and
promotions for
i i
five staff members were apfeCjf
proved a t the
bank’s 69th anJ fg p jflr
vice president in commercial loans.
Richard Davison prom oted to
assistan t vice president and assistan t
m anager of the consumer loan
departm ent.
Sue Lieber prom oted to personal
loan officer, Terry Nelson to data
processing officer, Sue Packard to
correspondent bank officer, and Scott
W illm ott to purchasing officer.
Mr. Jansen joined Toy National

Bruce S. Anderson has been
elected assistan t vice president at
and T rust Com­
pany of W ater­
loo, R.K. Sverdahl, president,
has announced.
joined the bank
in 1975 as a
teller, and was
elected m arket­
ing officer in B S- ANDERSON
1978. He received his bachelors
degree in political science from the
U niversity of N orthern Iowa and his
MBA from Drake U niversity.

Common Stock Increases
The following banks increased
common stock during the m onth of
March: Seym our State Bank, from
$100,000 to $200,000 by transfer from
undivided profits; Farm ers Savings
Bank of Traer, from $400,000 to
$450,000, by transfer from undivided
profits; F irst T rust and Savings
Bank of Oxford, from $100,000 to
$200,000 by transfer from undivided
profits, and Capital City S tate Bank
of Des Moines, from $1,000,000 to
$1,078,431 by sale of 784.31 shares at
$765 per share.

Farmers Savings Begins New Stratford Bank

Federal Reserve Bank of St. Louis

DESIGNER’S sketch of new bank b u ild in g under c o n s tru c tio n fo r the Farmers Savings
Bank at S tratfo rd. C o m p le tio n of the 3,200 square fo o t fu ild in g is expected in O ctober. Earl
F. Kooker & A ssociates of Spencer are ha nd lin g the pro je ct fo r David Hill, president. R.H.
Grabou of Boone was low bidder on the project.
N o rth w e s te rn B a n ker, Ju n e , 1981


Iowa News

Iowa Groups Look at Vast Changes

funds. Even so, IBA is attem pting to
control out-of-state funds through
legislative efforts. Opposition ^
strong, according to Mr. Milner, ana
the large brokerage houses continue
to ‘‘ship in” representatives to
remind consumers th a t they are not
getting a fair return from com m unij^
banks. Other current legislative
activity was reviewed by the IBA
IB IS Records

IBA OFFICIALS- Pres. Ed Tubbs, pres., M aquoketa St. B k .; L.C. “Bud” Pike, pres.,
Farmers Sav. Bk., G rundy Center; U.S. Senator Roger Jepsen; Tom Dunlap, pres.-elect
and pres., South S tory Tr. & Sav. B k., Slater, and Neil Milner, exec. v.p.

OM M ERCIAL bankers will see
more changes in the banking
industry in the next few years than
they have seen in the p ast half
cen tu ry .”
This was the statem ent made by
IBA President Edw ard L. Tubbs,
president of the M aquoketa S tate
Bank, a t the series of eight Iowa
group m eetings held last m onth.
Mr. Tubbs warned th a t “ if
comm unity bankers persist in doing
business as usual, our com petitors
are going to eat our lunch.” He
suggested th a t bankers will have to
be more responsive to the needs of
their custom ers.
Reporting on the recent IBA trip to
W ashington, D .C., Mr. Tubbs said
th a t regulators indicated
th a t
bankers should not try to regulate
money m arket funds - bu t to try to
compete with them . A t the present
rate of $3.4 billion per week going into
money m arket funds, Mr. Tubbs said
th a t it can decimate commercial
banks before Regulation Q is phased
out in 1986.
In an attem p t to compete against
the money m arket funds, Mr. Tubbs
indicated th a t the Iowa Bankers
Association m ay try to put a package
together either by working on its own
or by possibly working through the
recently announced Iowa Farm
Bureau fund. Originally, the Iowa
Farm Bureau said it planned to
develop its funds through banks of $1
billion in assets or more, b u t recent
discussions w ith members of the
Iowa Bankers Association may


Digitized N
o rth
w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


change this stand. A m ultistate
corporation, formed by 12 midwestern bankers associations may also
develop a money m arket fund for
member banks. (Details on the
m ultistate plan are described in a
separate article in this issue).
H eadquarters

Concluding, Mr. Tubbs announced
th a t IBA is discussing the purchase
of a headquarters building located on
the west side of Des M oines. A vote of
the m embership would precede a
purchase, however a num ber of
members of the IBA council feel th a t
increasing lease paym ents at the
present location may make a
purchase feasible.
The Iowa D epartm ent of Banking
does not have a rigid set of rules on
capital requirem ents, according to
Tom H uston, superintendent of
banking, who appeared a t each of the
eight m eetings. He said th a t an eight
to one ratio is acceptable - anything
lower bears watching. He expressed
concern over the increasing num ber
of classified loans and business
failures. He also warned delegates
about hedging on interest rate
futures. Looking at the area of public
funds, he said th a t it is increasingly
difficult to set current rates on such
Dealing with federal regulators can
be m ost difficult, according to Neil
Milner, executive vice president of
IBA. Speaking before each group, he
said th a t federal regulators are
opposed to controlling money m arket


A1 Tinder, executive director o
Iowa Bankers Insurance and Ser
vices, said th a t IB IS now has over $
million in prem iums annually
grossing over $1 million. In the pd|
year, some 12,000 bank officers an<
employees benefited from healtl
program s offered by the Association
and some $5 million in health anc
dental claims were paid out.
Dale Dooley, executive director o
the Iowa Transfer System , describee
the importance
of Automatec
Clearinghouse Associations, stating
th a t m ost corporate treasurers will (fl
studying plans to keep all money b
one central bank. For this reason, h
suggested th a t comm unity bank;
become active in ACHs.
Looking at the Iowa Trans
System program , Mr. Dooley sai(
th a t 52 Iowa communities now offe
shared term inals; 567 banks ar<
members of ITS; 101 participating
banks; nine processing centers; lJI
on-premise ATM s, and 64 off-prem
ise ATMs.
P ilo t Program

N ational system s, such as Vis
M astercard, and American Expre^?
are trying to squeeze out local and
regional debit card system s, accor
ding to Dale Dooley. He defends the
ITS system by saying th a t it h
designed to take care of the nationa
Coming up in A ugust through ITS
will be a pilot cash register system
concluded Mr. Dooley. DifferiiM
from previous system s a t checkout
counters, the new plan will tie
directly into m erchants’ cash regis­
ters so the m erchant will receive
immediate credit for transactions, j
Coverage on the second week o
group meeting, held in Des Moines,
Council Bluffs, Okoboji, and Clear
Lake, will be featured in the Ju ly
magazine issue of the N orthw este


“ T h e D r o v e r s D if f e r e n c e ”
s ta rts h e re .


F£S ô N W T ô p
il fLO ûR -you CAN'T


'President .

H E R E /

When you correspond with
Drovers you have a direct
line to the full senior man­
agement team. Starting with
Chairman Frank Bauder,
President Jim Carmody,
and Executive Vice
President Bob Corey.
They’re backed up by
som e of the best corres­
pondent bankers in the
business. People like
John Crotty, Max Roy,
AndyRuments, Kathy
Hardy, and Bruce


Drovers people are “The Drovers
Difference. ” They’re the reason
the bank’s correspondent
accounts have just about doubled
in under two years.


8 0 k

So if you’re looking for more
service with your services. . .
Put us to the test! Just pick
up the phone and call Frank,
Jim , Bob, John, Max,
Andy, Kathy, or Bruce.
You deserve “The
Drovers Difference.”
Member Federal Reserve System

Drovers Bank of Chicago
47th Street & Ashland Avenue, C hicago, IL 60609
Federal Reserve Bank of St. Louis

(312) 927-7000

N o rth w e s te rn B a n ker, J u n e , 1981


Iowa News

GR. 7-L.C . “Bud” Pike, treas., Iowa Bkrs. A ssn ., and pres., Farmers Sav. Bk., G rundy Center; Ron Fenton, ch m n ., Gr. 7 and pres.
S ecurity Sav. Bk., M arsh allto w n , and Bill Beohm, pres., Tama St. Bk. Mr. Beohm advanced from secy, to chm n. of the group, and Gordon
Wold, pres., Pow eshiek Co. Sav. Bk., B roo klyn , advanced to secy. RIGHT- IBA Past Pres. Les Olson, pres., Toy N a t’l. Bk., S io ux CilP,
Neil Milner, exec, v.p ., IBA, and Mrs. Les [Faye] Olson.

HOSTS for Gr. 8 in clud ed , from le ft: Lorna Wissink, pres., A ndrew Sav. Bk.: Allen Luett, pres., M iles Sav. Bk.; Roger Busch, v.p. & cash.
B aldw in Sav. Bk., and Mary Ann Trevathan, v.p. & cash., M aquoketa St. Bk. RIGHT-Alice and Tom Huston, supt. of bkg.; Joan and Clar
UAim htnn

/ o +a n r l i n n \



h m n

onrl n r o c


Mat I


\r\\Md f ' i t \ /

FEATURED SPEAKER-Ed Tubbs, pres, of IBA and pres., M aquoketa St. Bk., and w ife, Grace, show n w ith featured speaker at Gr. 8, U.S
Senator Roger Jepsen. RIGHT-Gr. 4, m eeting in Cedar Rapids, fin d s J im Coquillette, pres., M erchants N at’l. Bk., Cedar Rapids; Secv
Bruce Meriwether, pres., F irst N at’l. Bk., Dubuque; Chmn. John Mangold, sr. v.p., M erchants N at’l. Bk., Cedar Rapids, and Dale D oollf
exec, d ir., Iowa Transfer Svstem .

Fed Approves Two
Iowa Holding Companies
The Federal Reserve Board has
approved the applications of two
Iowa one bank holding companies.
Delhi Bancshares, Inc., will own
Delhi Savings Bank and Van Horne
Bancshares, Inc., will own Van
Horne Savings Bank.
John S. Bauch, president of the
Delhi Savings Bank is president of

N o rth w e s te rn B a n ker, J u n e ,
Federal Reserve Bank of St. Louis


Delhi Bancshares, and William J .
Beohm, executive vice president of
the bank, has the same position with
the holding company. Mr. Beohm is
president of the Van Horne holding
company. He is also chairm an and
president of Tam a S tate Bank, of
which Mr. Bauch also is a director.
Both holding company applica­
tions were handled by M osebach
Griffith & Co., an accounting firm in

Oelwein State Purchases
Arlington State Bank


An application by the Oelweii
S tate Bank to purchase assets anc
assum e liabilities of A rlington Stag
Bank and establish an office ii
A rlington has been approved by th<
S tate D epartm ent of Banking. Ai
application from A rlington Stati
Bank to discontinue corpora^
existence was also approved.


“Since my facelift by Kirk Gross Co«, people
look at me twice«”
And it seems I set more people stoppins in to see me since I discovered the new me with a Kirk Gross
Co. Building and Facelift prosram. Just a point and tuck here . . . a little remodeling make-up there and just
look at me now! A whole new modern look!
And believe me, Kirk Gross Co. is a real pro. They took care of the whole operation inside and out.
Everything from planning my new look right thru the finish . . . a real turn key operation.
And see that cute little mens store across the street? Well he told me last night that he thought I was really
cute! Not bad for a gal of my age . . . in fact I think he LIKES me.

(If your bank needs a little facelift and image improvement, see Kirk Gross Co«)

4015 Alexandra Drive
Waterloo, Iowa 50702
Phone 319-234-6641

Federal Reserve Bank of St. Louis


N o rth w e s te rn B a n ker, J u n e , 1981


Io w a N ew s

Independents to Okoboji, July 16-18
GRICULTURE and Banking
Go H and-In-H and in Iow a” is
the them e for the
10th annual con­
vention of the
July 16-18, a t the
New Inn in Oko­
boji, according to
Herm an Kilpper,
president of IIB
and president of
T rust Company, Des Moines.
Key speakers will include a
prom inent person from the USD A in
W ashington; W .C. Bennett, presi-

dent of the Independent Bankers
Association of America, Jim Leach,
U.S. Congressm an from the F irst
D istrict of Iowa; Tom H uston,
superintendent of banking, and
M aurice Barringer, treasurer of
Spread m anagem ent for banks in
Iowa will be the subject of a special
presentation by Dr. William Handorf, consultant from W ashington,
Couples golf is scheduled for
Thursday, July 16; m en’s golf will be
Friday, Ju ly 17, and women’s golf
will be Saturday, July 18. Mixed
doubles tennis will be T hursday, July

Red Oak Being Sold to
Omaha Banking Family

Joins First National Bank

Richard L. Kounkel has joined
N ational Bank in Sioux City as
Winfield S. M ayne, chairm an of
the M ontgom ery County N ational a senior family
Bank in Red Oak, and members of his banking officer,
family, have signed a letter of according
agreement to sell their controlling Richard C. T ay ­
interest in the bank to John and lor,
Bruce Lauritzen of Omaha, contin­
gained 13 years
gent upon regulatory approval.
Mr. M ayne’s son, Winfield G. financial experi­
Mayne, is co-chairman, and another ence w ith Postal
son, M ark R. M ayne, is president of FinancialCorporthe bank. M ontgom ery County ation in Sioux
City where he
National has $38 million in assets.
and branch
John Lauritzen is chairm an of the
F irst N ational Bank of Omaha, where m anager. He attended W estm ar
his son, Bruce Lauritzen, is a vice College, LeM ars, and Riverside City
president in the commercial loan College, Cal.
division. The father and son own the
Lauritzen Company in Omaha, which Wilma Weeks Awarded
has banks in several locations in Betty Steele Scholarship
N ebraska and w estern Iowa.
Wilma W eeks,
They presently own Em erson S tate banks operations officer a t Security
Bank, which is located about 10 miles National Bank of
west of Red Oak. Bruce Lauritzen Sioux City, has
said if the Red Oak purchase is been awarded the
approved by regulatory authorities, B etty L. Steele
application will be made to merge the Scholarship from
Em erson S tate Bank, which has the Iowa Group
assets of approxim ately $8 million, of the National
into the M ontgom ery County N ation­ Association
al Bank and retain an office in Bank Women.
The $500 scho­
larship was aw ar­
W. W E E K S
Elected Cashier in Clinton
ded to her on the
Jurgen R. D uhr has joined Iowa basis of her dedication to the bank
State Savings Bank of Clinton as and the comm unity it serves as well
cashier, Dale Feaster, president, has as her involvement in the NABW .
announced. Mr. Duhr received his
Ms. Weeks is currently the
accounting degree from the U niver­ chairperson of the N orthw est Iowa
sity of Iowa, and was previously group of NABW which covers a
employed by Clinton Corn Processing 19-county area and involves more
than 80 bank women.

N o rth w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


First State, Webster City, •
Names Skadburg President
Norm an D. Skadburg has been
elected president of the F irst State
Bank in W ebster
City. He suc­
ceeds Jack Marget, who retired
as president and
chief executive
officer of the $35
bank to pursue
in ter­
Mr. Skadburg
had been vice president a t Poweshiek
County National Bank in Grinnell
from Jan u ary , 1976, until accepting
this new position. He was head of t l ^
commercial and farm loan depart^™
m ent there, as well as serving as real
estate loan officer. He started his
banking career in 1971 as a farm rep
with Farm ers T rust and S aving^
Bank in W illiam sburg and was a vice ™
president in lending when he moved
to Grinnell.
Mr. Skadburg was graduated from
Iowa S tate U niversity in 1969 w ith m
B.S. degree in agricultural education
and received his M aster’s degree in
1971. In 1975 he received an A.A .
degree in banking and finance from
the Kirkwood Com m unity College ia
Cedar Rapids.

Honored in Laurens
Richard L. DeYoung, executive
vice president and tru s t officer of ther
Laurens S tate Bank, was recently
awarded the ‘‘Person of the Y ear”
award from the Laurens Chamber of
Commerce for his m any contribution^
to the com m unity.

Application Approved
The Federal Reserve Board has
announced its approval of ai§
application by
Griswold State
Bancshares, Inc., Griswold, to retain
Lary Insurance Agency, Griswold,
and thereby to continue to engage in
the sale of general insurance in 0
comm unity with a population of less
than 5,000.

Io w a N ew s


Waterloo Co. Plans to
[Acquire Parkersburg Bank

office. Mr. Ryan is a graduate of Iowa she was honored at a special employe
W estern Com m unity College and will m eeting and luncheon by E.C. “ T ed”
graduate from Buena V ista College in Thompson, chairm an of the board.
R.K . Sverdahl, president of November w ith a BA degree in
Miss Moline was born in Sioux
PeoplesB ankshares, L td., W aterloo, finance and banking.
City. She began her banking career
qid Eldon J . Hoppenw orth, presiwith Security in Septem ber, 1937, as
m t of the P arkersburg S tate Bank, Jane Moline Honored
a switchboard operator. F uture job
announced an agreem ent whereby
A fter working for the Security duties included work as a teller, in the
Peoples Bankshares, Ltd.
will N ational Bank of Sioux City for over proof and tra n sit departm ent,
undertake to acquire the outstanding 44 years, Jane Moline officially bookkeeping and collections, before
common stock of Parkersburg S tate retired April 30, 1981. Miss Moline
being named assistan t cashier and
iank from all of its shareholders. was recently recognized at a special
proof and tran sit supervisor in 1966.
(This intended acquisition is subject dinner held at the M arina Inn, as well
In 1972, Miss Moline became
to approval by regulatory authori­ as a t the April board of directors
assistan t vice president, and in June,
tie s . Mr. Sverdahl stated th a t no m eeting. Also, April 29 was declared
1976, she was named cashier for
'changes in officers, staff or board “Jane Moline D ay” at the bank, as
Security National Bank.
lembers at P arkersburg S tate Bank
[are contem plated.
Peoples Bankshares, Ltd. current­
l y owns Peoples Bank and T rust
| Company in W aterloo, with assets of
1124.6 million as of M arch 31, 1981.
IOn this same date, Parkersburg S tate
|B ank had assets of $26.5 million.
Peoples Bankshares, L td. is
| currently a one-bank holding cominy, owning 100% of Peoples Bank
Iand T rust Company in W aterloo. The
acquisition of the Parkersburg S tate
Bank will result in Peoples Bank|shares, L td. becoming a m ultibank
>lding company. Mr. Sverdahl
Iindicated th a t the intent of the board
of Peoples Bankshares, L td. is to
continue to offer new services and
¡acquire other financially related
"ganizations to better serve the

You’re Invited

(Council Bluffs Promotions
Robert J . Dunlap and Thomas M.
IRyan have been promoted to
(instalm ent loan officers a t State
iBank and T ru st in Council Bluffs.
Mr. Dunlap joined S tate Bank in
ibruary 1979 as a m anagem ent
trainee. In 1980 he was named credit
:ard m anager and was in charge of
¡student loans.

Iowa Independent Bankers
10th Annual Convention
July 16-18, Lake Okoboji

Special Events
July 16, Couples
Golf T ournam ent
July 16, Mixed Doubles
Tennis Tournam ent
July 17, M en’s Golf
Tournam ent
July 18, Ladies’ Golf
Tournam ent


Key Speakers
Dr. W illiam Handorf,
C onsultant
W ashington, D.C.
W .C. B ennett,
Independent Bankers Assn,
of America
Jim Leach, U.S. Congressm an


Mr. Ryan joined S tate Bank in
lA ugust 1978 as assistan t m anager of
Ithe b a n k ’s 35th Street office. In
September 1980 he was named
¡manager of the b ank’s Sherwood
Federal Reserve Bank of St. Louis

Send your convention registration to: Iowa Independent Bankers,
222 Equitable Building, Des Moines, Iowa 50309. Telephone

N o rth w e s te rn B anker, Ju n e , 1981


Betty Wagner, asst. oper. o ff., O maha N atl. Bk. and 1981-82 NABW regional director, w ith Francis Schmeling, cash., F irst St. Bk.,
M apleton and NABW regional vice president. RIGHT: Mary Louise Smith, form er Republican N ational C o m m itte e chairm an, and Betty|
Steele, v.p. and d ir., Brenton Banks, Inc., Des M oines.

NABW Convention Promotes Involvement, Professional Growth
É \ A # OMEN are m issing imporVV ta n t opportunities to enhance
their professional s ta tu s .”
This was one of the first points
stressed to nearly 200 women bank
officers attending the National
Association of Bank W omen’s Iowa
convention held May 7-8 at the
Breckenridge Inn in W est Des
Moines. The annual event was hosted
by the NABW Southw est Iowa
The statem ent, made by B etty L.
Steele, vice president and director of
Brenton Banks, Inc., Des Moines,
opened a morning panel session
entitled ‘‘The M ysteries of the
Legislative Process.” Panelists in­
cluded Neil Milner, executive vice
president of the Iowa Bankers
Association; Thomas H. H uston,
State Superintendent of Banking,
and W .R. Summerwill, president,
Iowa S tate Bank and T rust
Company, Iowa City.
Mr. Summerwill emphasized th a t
‘‘Banking doesn’t have an autom atic
constituency. I t ’s hand and foot

Associate Editor
power, not brain power, th a t wins
elections. If you w ant to make a
contribution, legislators need your
help. ’’ He said a good place to s ta rt is
to ‘‘get your hands on IB A ’s
Legislative R eport.”
Mr. Milner added, ‘‘When you
contact congressmen, remember th a t
even though they m ight be sym pa­
thetic to inconveniences or costs
you’re describing, you have to
emphasize the impact it m ight have
on their constituents. Remember,
their num ber one priority is to stay in
Forward B ut Polite
Mr. H uston reminded the group
th a t ‘‘Bankers are expected to be
active in their communities, and
th a t’s not ju st the first or second
person. You have been selected as
bankers because of your ability, and
you are looked up to in your
com m unities.”

He added, ‘‘You have to know yourl
politicians. Show up at t h ^ J
meetings —volunteer to help thermf
Be forward but polite. Show them!
you are truly interested in being ofl
help in the process. If you see a|
problem, go to b at to straighten tj
problem o u t.”
Other morning speakers included!
Elaine Szymoniak, Des Moines!
councilwoman; Francis Schmeling,f
NABW regional vice president ai
cashier of F irst S tate
M apleton, and Iowa group chairmen!
Following a luncheon break, a new!
group of panelists pursued the topic|
‘‘Banking M anagem ent Under Df
R egulation.” M oderating was K athyl
DeLucca, operations officer, IowaDes Moines National Bank. Panelists
included O .J. Tomson, president,]
Citizens National Bank in Charle
City; Kenneth M. M yers, president]
and chief executive officer, Central|
National Bankshares, Inc., Desl
Moines, and Alice M. Dittm an,]
president, Cornhusker Bank

PANELISTS Included, from left: Neil Milner, exec, v.p ., IBA; Thomas H. Huston, St. Supt of B kin g.; Betty L. Steele, and W.R.|
Summerwill, pres., Iowa St. Bk. & Tr., Iowa C ity. RIGHT: Alice Dittman, pres., C ornhusker Bk., L in co ln ; Kathy DeLucca, oper. of{_
lowa-Des M oines N atl. Bk.; O.J. Tomson, pres., C itizens N atl. Bk., Charles C ity, and Ken Myers, pres. Central Natl. Bankshares.
Northwestern Banker, June, 1981
Federal Reserve Bank of St. Louis


STATE sch o la rsh ip w inners, from le ft: Wilma Weeks, S ecurity Natl. Bk., Sioux C ity. Darlyne Iverson, Decorah St. Bk.; Michelle Blair,
Jrenton St. Bk., Dallas Center; Susan Sodey, Union Bk. & Tr., and Roxanne Larson, F irst N ational Bk., B u rlin g to n . RIGHT: Bernadine R.
lowell, tr. o ff., Jasper Co. Savings Bk., N ew ton, and Sylvia Groom, tr. o ff., K e llo g g -S u lly Bk. & Tr.

Inertia of Industry
Opening with a capsulized history
mf financial legislation, Mr. Tomson
^described the social and economic
effects this legislation “ sometimes
based on desperation” has brought
The critical problem of the '70s,
that time of “ regulations piled on top
of regulations,” was the inertia of the
banking industry, Mr. Tomson said.
“ We had had 30 years of great
stability. Banks were able to grow
^under Regulation Q, and outside
competition was not as great. We
thought inflation was a tem porary
problem. Too few of us had our eyes
m the horizon. We lost initiative to
'our com petitors during this time
because the banking industry was
nostalgic for the past, not aggressive
for the fu tu re .”
Mr. Tomson concluded, “ We m ust
"develop a strategy for change,
rem aining aggressive, yet philosoph­
ical. We m ust make use of
educational opportunities available. ”
The anticipation, planning and

implementing of regulatory changes
was discussed by Ms. D ittm an. She
stated th a t the keys to the solutions
were asset-liability m anagem ent,
variable rate loans, staff (“ If they
care, we’ll beat the competition
because we have the experience,” )
improved productivity and lower
capital rates.
Up Through the Trenches
Ms. D ittm an added th a t she has
seen “ a lot of men in pinstripe suits
who look like professionals, b u t don’t
have their b an k s’ best interests at
heart. Those of you here have come
up through the trenches.”
W rapping up the presentation was
Mr. M eyers, who stated “ Our
challenge now is not de-regulation,
but rather our unregulated com peti­
tors. We have to learn to compete
profitably under regulation or we’re
not going to be here when
de-regulation comes about.
“ H istory has shown th a t small,
ineffective institutions m ust either
band together, specialize, or not
survive. The same is true for the

banking industry. Any time in any
business you fail to meet a demand,
as when banks didn’t w ant to make
instalm ent loans, someone else will
move in to fill the void. We abdicated
to our com petition.”
Center of Controversy
Presenting the afternoon’s keynote
address was M ary Louise Sm ith,
member and former chairm an of the
Republican National Committee.
“ Im pacting public policy means
involvem ent—th a t’s the bottom
line,” she said.
“ The m ost obvious way of getting
involved is to become a candidate and
get elected. A nother way is through
lobbying, which has alm ost become a
branch of governm ent. And there is a
whole realm of paid, politically related jo b s.”
Ms. Sm ith concluded, “ You are in
the center of controversy and are
faced with problems, and you m ust
present your side of those problems
well. P artisan political involvement
is the key to this influence. And it’s
never too late to s ta r t.”

CONVENTION c o m m itte e m em bers in clud ed , from le ft, Judy Nelson, S ecurity Tr. & Sav. Bk.; Evelyn Rank, C itizens St. Bk., Clarinda;
Rosemary Spiegel, F irst St. Bk., H am burg; Ann Hendrickson, F irst St. Bk., Ham burg; Barbara Lightner, F irst Natl. Bk., Crestón, and
Shirley Carmen, Shelby Co. St. Bk., Harlan. RIGHT: M odule presenters Norma Harmison, W arren Co. Brenton Bk. & Tr., Indianola, and
Kay Stoterau, N orthw estern N atl. B k., S ioux C ity.
Federal Reserve Bank of St. Louis

N o rth w e s te rn B anker, J u n e , 1981


Io w a N ew s

Iowa CEOs Look at the Job Demands
OUR Iowa bank chief executive
officers reported last m onth at
the Iowa Bankers Association 2nd
Annual CEO Conference th a t the
average balances of NOW accounts in
their institutions range from $3,000
to $9,000. A lthough a relatively
small percentage of custom ers in
m ost cases appear to have converted
to NOW accounts so far, the total
dollars going into them account for a
far higher percentage of deposits.
Varying experience among the four

banks, and from other banks whose
experience they brought w ith them to
the meeting, indicates th a t the first
quarter of 1981 since NOW accounts
became legal does not provide a good
enough track record as yet on which
to base predictions.
One solid piece of evidence is th a t
the v ast m ajority of banks in the
state are offering the new transaction
account, b u t promotion of it varies
from one institution to another.
The NOW panel was p art of a one

THE IMPACT of NOW A cco u n ts was discusse d by these fo u r pa ne lists (from left): Robert
Wede, pres.. G ateway State, C lin to n ; David Vaselaar, exec, v.p ., S ibley State; John
Harmeyer, pres., Plaza State, Des M oines, and George Taylor, pres., C om m ercial State,
M arsh allto w n .

Bank A d ve rtisin g was discussed by Richard Gerdes (le ft), pres, of Richard Gerdes
A d ve rtisin g , Des M oines, and Future of Banking was discussed by Don Holder (rig ht),
pres, of Don H older & A ssociates, Am es.

DigitizedN for
w e s te rn B anker, J u n e ,
Federal Reserve Bank of St. Louis


President’s Report
IB A President Ed Tubbs, chair­
man of M aquoketa S tate Bank, gave
the 130 registrants a briefing on
legislation then pending in th
statehouse which had direct interest
to banks. Regarding all the pressures
of change on banks today, both from
competition and from legislative and
regulatory factors, Mr. Tubbs said
“ Our task is to keep com m unity
banks from becoming the dinosaurs
of the 1980s.”
R epresentatives of Peat, M arwick,
Mitchell & Co. gave a team look a
A sset/L iability M anagem ent, then
Des Moines and New York office
Rhoades, Inc. looked at “ The Future
of In terest Rate F u tu re s.” They wer
followed by the NOW account panel.
Three Workshops
Three workshops were offered after
lunch. One dealt with “ B a n A dvertising w ith Increased Com peti­
tio n ,” conducted by Richard Gerdes,
owner of Richard Gerdes A dvertis­
ing, Des Moines. M r. Gerdes
reviewed accepted factors th a t m a k up good advertising, both in print
and broadcast media, and gave
samples from his briefcase of wide
experience. A panel on “ Survivin
with the Current B akruptcy Law s’
was presented by Des Moines
attorney Thom as Flynn. The third
panel on “ Bank Security” was
conducted by FB I Special A gent
William B arrett Root from th
Omaha office. The three workshops
were repeated later in the afternoon
so each registrant could atten d at
least two of the sessions.



Seoted: Eddie A. Wolf, Sr. Vice Pres.; Left to Right: Williom D. Greaves, Vice Pres.; Raym ond Schneider, Corsp. Dk. Officer: Cyrus D. Kirk, Vice Pres.

B A N K O F DES M O IN E S ', N .A .
You may recognize these faces.
They’re the same correspondent
bankers who served you so well
when we were Central National Bank.
But now we’re United Central Bank
o f Des Moines, one o f eleven United
Central Banks across Iowa. We changed

our name to help communicate the
strength and unity in our eleven bank
holding company.
When you need correspondent
services, farm department services, or
data processing services, call
the professionals at United Central
Bank o f Des Moines, Toll-FREE,
1-800-362-1615 or 245-7261.


Security State Bank (Algona) ....................................................U N IT E D C EN TRA L B A N K & TR U S T C O M P A N Y OF A L G O N A
Cresco National Bank (Cresco) ................................................................................... U N ITE D C EN TRA L B A N K OF CRESCO, N .A .
Central National Bank (Des Moines) ................................................................U N ITE D CEN TRA L B A N K OF DES M O IN E S , N .A .
Iowa Trust & Savings Bank (Estherville) ........................U N ITE D CEN TRA L B A N K & TR U S T C O M P A N Y OF ESTHERVILLE
Union ITust & Savings Bank (Fort Dodge) ......................U N ITE D CEN TRA L B A N K A TR U S T C O M P A N Y OF FORT DODGE
Adair County State Bank (Greenfield) .............................U N IT E D C EN TR A L B A N K & TR U S T C O M P A N Y OF GREENFIELD
Kalona Savings Bank (Kalona)......................................................K A L O N A 'S U N ITE D CEN TRA L B A N K & TR U S T C O M P A N Y
Iowa County Savings Bank (M a re n g o )..................................U N IT E D CEN TRA L B A N K & TR U S T C O M P A N Y OF M A R E N G O
United Home Bank & Trust Company (Mason City) . . . . U N ITE D CEN TRA L B A N K & TR U S T C O M P A N Y OF M A S O N C IT Y
First TTust & Union Savings Bank (Sigourney)..................U N ITE D C EN TRA L B A N K & TR U S T C O M P A N Y OF S IG O U R N E Y
Spencer National Bank (Spencer) ............................................................................U N ITE D CEN TRA L B A N K OF S PEN CER , N .A .



Federal Reserve Bank of St. Louis

N o rth w e s te rn B a n ker, J u n e , 1981

U G EN E G. Precht, presidentand
chief executive officer of the IowaE
Des Moines Na-

Vicki K. Butler
to hum an resour-

and card services

JfT '
« 1

president, cardholder services. Mr.
Ertle was m ost recently with
N orthw estern National Bank of
M inneapolis, where he was assistan t
vice president, cardholder control.
Dillon L. Ross to second vice
president, credit adm inistration. Mr.
Ross is transferring from the U .S.
National Bank of Omaha, where he
was assistant vice president and
m anager, bankcard departm ent.


A /« A







Patricia L. Hanson to second vice
president, planning and control. Ms.
H anson joined Iowa-Des Moines in
liason. Ms. B utler joined the bank in February as bankcard controller.
Sana K. Danielson to card services
The consolidation of Banco Card officer-accounting. She joined the
Services and the form ation of the bank in 1973 as a collector and was
Iowa-Des Moines Card Services named collections officer in 1980.
Division has resulted in the following
William J. D ew hurst to card
promotions and title changes:
services officer-Omaha Sales and
Robert J. E rtle to* second vice Service office. Mr. D ew hurst recently


N o rth w e s te rn B anker, Ju n e , 1981
Federal Reserve Bank of St. Louis

transferred to Iowa-Des Moines froi
U.S. National Bank of Omaha whereT
he was m arketing m anager, bankcard
Thomas H. Franklin to cart
services officer-credit. He joined thi
staff in 1975 as a new accounts
supervisor and was named credit
m anager in February, 1981.
K atherine L. Plante to care
services officer-manager Minneapolis^
Sales and Services office. She was
m ost recently with the M idland
National Bank of Minneapolis where
she was a personal banking officer.
Stephen M. Thom pson to cart
services officer-customer service. He
transferred from N orthw estern Bank
of Minneapolis where he was a
bankcard collection supervisor.
* * *
Paul P. Gergen has been elected
executive vice president and chief
operating officer
of American Fed­
eral Savings and
Loan Association
of Des Moines.
Mr. Gergen re­
signed his posi­
tion last m onth
as president of
U niversity Bank
and T rust Com­
pany in Ames to
p p - GERGEN
accept this new post. A t American
Federal, which had assets at last
year-end of $604 million, Mr. Gergen
will supervise a restructuring of the
banking division and will overse
finance, loan and business develop
m ent activities.
Before moving to the presidency of
U niversity Bank & T rust in Ames
the 47-year old Mr. Gergen wa
senior vice president in charge of the
tru st departm ent at Bankers T rust
Company, Des Moines, where tru s t
assets tripled in the three years after
he joined th a t bank in 1974. Prior to
th a t he held tru s t departm ent posts
with American Bank and T rust
Company and F irst W isconsin T rust
Company, both in Milwaukee
* * *
Larry Wenzl, president of Capital
City Bank, announces the appoint­
m ent of John Jorgensen as executive
vice president. He will be responsible
for the entire lending area. Mr.
(turn to page 114, please)



Banks are banks



Most insurance
agencies think all banks
are alike.
Not us.
We’re owned by Iowa
banks. And do business
\ only with Iowa banks. Big
tones. Small ones. Medium-sized ones.
And we know the»

differences in individual
bank insurance needs.
That’s why we bring
over 100 years of combined
bank insurance experience
to bear on every member

bank. To tailor insurance to
their specific requirements.
And give them the best
possible, most efficient plan.
Anything else would
be bunk.
Like to know what we
can do for you? Call 515286-4300 or 1-800532-1423 toll-free. Today.

4 3 0 Liberty Building, Des Moines, Iowa 5 0 3 0 8

Federal Reserve Bank of St. Louis

Providing insurance protection just to banks.

Herman Kilpper, president, Bankers T rust, being interview ed by KRNT radio person alities
Steve Gibbons, le ft, and Ray McCarty (Sky Spy).

VER 1,300 runners partici- us during the G rand O pening,”
pated in the Grand Opening stated Herman Kilpper, president.
celebration of Bankers T rust Com­
p any’s new W indsor H eights office DES MOINES NEWS . . .
recently. This was the largest road
(cont. from page 112)
race event in central Iowa ever,
Jorgensen has had three years
beating out A m es’ M idnight M ad­
experience w ith Commercial State
ness of 1980 and the Drake M arathon
Bank in M arshalltown.
of 1978. Both were ju st under 1,000
* * *
official en tries,” according to race
coordinator Stanley L. Smith, who
Raymond G. Johnston, president
also sets up races for the Des Moines and chief executive officer of United
Central Bank of Des Moines, N .A .,
“ We were very pleased w ith the has announced the election of Robert
participation of not only the runners, G. Millen, executive vice president,
b u t of those who came out and joined to the board.





J u n e ,1981
Acorn P rinting Com pany .................................................. 1(1
Am erican Express Money Orders ................................... 2^
Am erican Express Travelers C he q u es...................
American National Bank & Trust Co., Chicago . .
Am erican National Bank & Trust Co., St. Paul . . . .51,7^
Banco F in a n c ia l................................................................... 1;
Bank B u ilding C o rp o ra tio n ..............................................11!
Bank of Am erica .................................................................2 i
Bank of Am erica Travelers C heques...............................4-!|
Bankers Trust Co., Des M o in e s ..............................
Barclays Am erican B usiness C r e d it.....................
B ra n d t..........................................................................
Com m ercial National Bank, P e o ria ............................... 4 j
C ontinental Bank, C hicago ....................................
Dawson Hail In s u ra n c e ...................................................... 21
Dean W itte r R e y n o ld s ........................................................ 3 ]
Denver N ational B a n k ...............................................
Drovers Bank of Chicago ........................................
Em ployers M u tu a l...............................................................3 l

M id -A m e ric a ...............................................................9(|
National Bank, D en ve r..............................................8 ]
National Bank, G le n d iv e ......................................... 7fl
National Bank, Lincoln ........................................... 91
National Bank, M iles C i t y ..............................
National Bank, M in n e a p o lis ............................4 9 ^
National Bank, O m a h a ..............................................91
National Bank, St. P a u l............................................51
National Bank, St. Paul (B o n d s ).............................6d

Gross Com pany. K i r k ...................................................... 101
Harris Bank, C h ic a g o ........................................................ 1j
Heller, W alter E...........................................................
Iowa Bankers Insurance & S e rv ic e s ...............................11!
lowa-Des M oines National B a n k .................................. 11(j
Iowa Independent B a n k e rs .............................................1o l
Islander Beach H o te l...........................................................1(
Kooker, E .F ......................................................................... 10(|

Marquette National Bank, M inneapolis ........................ 5!|
M erchants National Bank, Cedar R a p id s .............
M idland National Bank, M in n e a p o lis .............................5 l
M innesota Protective L ife .................................................. 51
M o s le r....................................................................................2ij

"Designers and Builders
of Financial institutions"



Waterloo, Iowa 50704 (319) 234-1221


LeFebure C o rp o ra tio n ................................................ 60^
Lincoln Benefit L if e ...................................................


We are still committed to
making your bank stand apart
from the rest. Our good name
depends on it.

heads his own
investm ent con­
M anage­
ment Company.
Mr. King resign­
ed in late M arch
as vice president
and head of bank
and tru s t invest­
m ents for Central
National Bank and T rust Company ol
Des Moines (now United Centra
Bank of Des Moines). Mr. King
be doing investm ent m anagem ent.


National Bank of Commerce, L in c o ln ...................
National Blvd. Bank, C h ic a g o ................................
N orthern Trust Co., C h ic a g o ........................................... 1(
N orthw estern National Bank, H e le n a ...................
N orthw estern National Bank, M in n e a p o lis ..............46,7ij
O ffice C o n ce p ts.................................................................109
Packers National Bank, O m a h a ....................................... 9(|
Schweser, Robert Co., O m a h a ................................
Security Bank, B illin g s ...................................................... 78
Security National Bank, S ioux C it y .................................9£j
S tockm en’s Bank & Trust, G ille tte .........................
United Bank of D enver........................................................ 71
United Central Bank of Des M oines, N .A ..................... 11 '
U.S. National Bank, O m a h a ..............................................8/|
Van Wagenen, G.D. & C o ..........................................
W estcap C o rp o ra tio n ........................................................ 21

N o rth w e s te rn B a n ker, Ju n e ,
Federal Reserve Bank of St. Louis


The last thing you need is a new
building. Your business is banking and



you know it well. Our business is bank
building and we’re here to assist you
whenever you face the decision to
* remodel or expand or build new
With over 8000 financial projects
completed since 1913, we know our
business well.
You’ll need answers to questions,
solutions to problems. And they’ve got
to be good ones. For if any question or
answer is wrong, the solution could be
a bank that’s too large or too small. Or
it might be in the wrong location,
offering the wrong combination of
services. Or it could be a new building,
when a building’s not needed at all.
Today's unforgiving business
environment leaves no margin for error.
You need someone with credentials.
Ideally, a team of financial building


Federal Reserve Bank of St. Louis

Bank Building
C orporation

specialists. A Project Analyst to ask
those right questions, a Project
Consultant to formulate the plan. A
Project Architect to give the plan form,
A Project Superintendent to oversee
construction or remodeling. Bank
Building Corporation has earned the
reputation for working rapidly,
accurately, within budget, and ontime—"performance according to
Whatever your size, wherever you’re
located, whatever your near and distant
future needs, we have faced and
solved your problem before. Many
Please call Tom Spalding at 314/6473800. Let’s become acquainted and
share more information.
The first thing you need is the
confidence that you’ve selected the
right firm. The End depends on such a
1130 Ham pton Avenue
St. Louis, M issouri 63139

Teamwork: One of
the reasons we’re
first in Iowa.
Mitch Christensen
Electronic Banking

Mike Bristle
Check Processing

Terry Stern
Note Department

Bob Peterson

Cyndi Watkins
Wire Transfer

Sue Van Dyke
Wire Transfer

If you’re a correspondent of the lowa-Des
Moines, you’re probably well acquainted
with your Correspondent Banking Officer.
However, there are a number of other
lowa-Des Moines people we’d like you to
know. You may never have contacted them
except by mail or phone, but they’re defi­



John Barkley
Float Analyst

George Kushman
Data Services

Linda Burks
Data Services

Jan Townsend

Anna Belle Sheets
Investment Services

nitely working for you. And, they’re
responsible for many of those extra
services you’ve come to expect from
the lowa-Des Moines.
The fact is, it’s our whole team that
enables us to be first in Iowa . . . by
putting Iowa first.




First in Iowa . . . by putting Iowa first.
7th and Walnut, Des Moines, Iowa 50304 (515) 245-3131 or toll-free (800) 532-1820
Federal Reserve Bank of St. Louis

© 1981 lowa-Des Moines National Bank Member FDIC
An Affiliate of Northwest Bancorporation