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V a lle y B a n k @
IN STA N T ACCESS

TELLER

vr-/fCCESS

# South Dakota - Iowa A TM s Shared O n-Lin e
• How banks fight interest rate volatility - Survey
• How banks utilize commercial finance
• ABA National Credit Conference program

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

"C onfidence. W h en y o u look to MNB
to co n v ert y o u r cash item s to in v estable balances, y o u can feel co n fid en t
th a t o u r Availability Schedule is sec­
o n d to n o n e. W h en w e clear y o u r cash
item s, y o u can rely on o u r ex p eri­
enced staff to id e n tify exception item s
a n d resolve situ a tio n s quickly.
Service, the keystone.
"Service — p e rso n al, in n o v a tiv e ,
so u n d — h as b e e n th e k ey sto n e of
M NB's C o rre sp o n d en t B anking D e­
p a rtm e n t a n d th e fo u n d a tio n for th e

creation of successful c o rre sp o n d e n t
re la tio n sh ip s for decades.
"C all for y o u r copy of o u r Cash
Letter Remittance Packaging Re­
quirements soon a n d w e'll sen d y o u
o u r Availability Schedule for com ­
p a riso n , to o ."
D ial 319/398-4320 or call, toll free,
1-800-332-5991 an d talk w ith Dale or
MNB C o rre sp o n d en t B anker John E.
M angold, Stan R. Farmer, Terry M.
Martin or Jerry N. Trudo.

Merchants National Bank 1:1
C edar R apids, Iow a 52401


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Federal Reserve Bank of St. Louis

M em ber F.D.I.C.

A BANKS OF IOWA' BANK

3

A SECURITIES SERVICES
SPECTACULAR!

From Manufacturers Hanover comes a package of
securities services so broad that we call it G eo Pac ?m
With G eo Pac , you get everything you need for
complete asset control in one coordinated package from
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GeoPac Safekeeping. For the quick response that’s
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book-entry systems of both the Depository Trust
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https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

New York keep you informed of trade status. It begins
with more timely, less costly Direct In put of Instructions.
GeoPac Securities Lending. With M HT as match ­
maker, sophisticated investors can earn extra income
by lending securities to eager borrowers.
For full details, ask for our new Geo Pac brochures.
Contact your M HT representative or Brian V. Carty,
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And bring a dazzling display of synchronization to all
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MANUFACTURERS HANOVER
America’s premier correspondent bank

National Division, 350 Park Avenue. New York, N.Y. 10022

Membe
fdic

N o rth w estern Banker, M arch , 1981

NORDWESTERN
V
MARCH 1981 • 88th Year • No. 1410
OLDEST FINANCIAL JOURNAL SERVING THE CENTRAL AND WESTERN STATES
MEMBER OF AUDIT BUREAU OF CIRCULATION • MEMBER BANK MARKETING ASSOCIATION

ON THE COVER
As reported in the Northwestern Banker Weekly Newsletter February 16, the
Valley National Banks In Sioux Falls and Yankton, S.D., have their four
on-premise ATMs on line through Banks of Iowa, Inc., computer center In Cedar
Rapids, la. Customers of the Valley Banks also may use their plastic cards to
access ATMs anywhere in Iowa. BICS handles ail transactions involving Banks of
Iowa affiliated banks, while other transactions are Instantly routed through the
Iowa Transfer System central switch for completion, a process that takes
customers anywhere in Iowa or at the South Dakota locations only 11 seconds.
This is a first In the nation for such across-state-lines ATM transactions. Shown
on the cover reviewing the customer procedure at a Valley Bank Instant Access
ATM are, from left: Dale Dooley, ITS executive director, Des Moines; Larry Eilers,
acct. exec., BICS, Cedar Rapids; Houston Haugo (next to ATM at right), pres.,
Valley National Bank of Sioux Falls, and Richard C. Taylor, president, and Gary
W. Stevenson, vice president, both with First National in Sioux City, Valley’s
correspondent bank, which is affiliated with Banks of Iowa.

FEATURES

21

Participation expands lending

“Secured lending division” concept explored by G. Pat Bacon

22

Turning a turkey into a success

Russell B. Donahue explains asset-based financing of company

23

Alternative financing . . .

. . . methods for secured loans discussed by Jack M. Fisher

24

Fighting rate volatility

Exclusive survey gives banker viewpoints on high rates

36

Beryl Sprinkel honored

Named Undersecretary for Monetary Affairs in U.S. Treasury

DEPARTMENTS
6
8
12
41
45
46
65
68

Calendar
Bank Promotions
Corporate News
Illinois
Minnesota
Twin Cities
South Dakota
North Dakota

73
74
82
84
85
87
91
104

Nebraska
Omaha
Lincoln
Montana
Wyoming
Colorado
Iowa
Des Moines

NORTHWESTERN BANKER
30615th Street, Des Moines, Iowa50309

Phone (515) 244-8163

Publisher

Editor

Business Manager

Malcolm K. Freeland

Ben Haller, Jr.

Mike Freeland

Auditor

Field Representative

Field Representative

Debbie Hibbert

Glen Hicks

Paul Masters

No. 1410 Northwestern Banker (USPS 397-620) is published monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des
Moines, Iowa 50309. Subscription $1.00 per copy, $12 per year. Second class postage paid at Des Moines and at additional mailing office.
Address all mail (subscriptions, change of address Form 3579, manuscripts, mail items) to above address.
DigitizedNorthwestern
for FRASER Banker, February, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Integrity in Managing Data Since 1897

• Over 45 million consumer credit records available for immediate access
• Northern and Western regional state coverage:
Colorado
S. Dakota
Wisconsin
New Mexico

Wyoming
Nebraska
Illinois
Hawaii

Montana
Iowa
Michigan
Guam

N. Dakota
Minnesota
Arizona

S y stem - to - S ystem • Tape - to - Tape • A u to d ata • C redisource
P re sc re e n e d P ro m o tio n s • A ccount R eview s • C redit C ard Recovery

CHILTON C O R PO RA TIO N
CREDIT BU R EA U SE R V IC E S
For more information, contact the office closest to you
Northern Region
2850 Metro Dr., Suite 533
Minneapolis, Minnesota 55420
(612) 854- 0915
E. L. “Pete" Hochenedel, III - Director


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Federal Reserve Bank of St. Louis

Western Region
600 13th Street
Denver, Colorado 80204
(303) 893-5454
R. M. “Bob" Denny - Director

N orth w estern Banker, M arch , 1981

6

DAK1R0NICS
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I9 8 0

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r

L

Convention Calendar

ABA—American Bankers Association
AIB—American Institute of Banking
BAI— Bank Administration Institute
BMA— Bank Marketing Association
IBAA— Independent Bankers Association
of America
NABW— National Association of Bank
Women, Inc.
RMA— Robert Morris Associates

National Conventions & Schools

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DAKTRONICS, INC.
Box 299 Brookings, SD 57006
Phone 605-692-6145


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Federal Reserve Bank of St. Louis

Mar. 15-18— ABA National Compliance
Conference, Fairmont Hotel, Dallas, Tex.
Mar. 15-18— BMA Community Bank CEO
Seminar, San Diego, Cal.
Mar. 22-24—ABA National Credit Confer­
ence, Chicago Marriott.
Mar. 22-25—ABA National Instalment
Credit Conference, Los Angeles Bonaventure.
Mar. 22-26— IBAA 51 st Annual Convention,
Las Vegas Hilton, Las Vegas, Nev.
Mar. 26-27— RMA Loan Portfolio Manage­
ment, San Diego.
Mar. 29-Apr. 4—ABA Business of Banking
School, University of Notre Dame, South
Bend, Ind.
Mar. 29-Apr. 2— BAI Bank Auditors’
Conference, Loews Anatole, Dallas, Tex.
Apr. 12-17— ABA Management Seminar on
Retail Banking, Vero Beach, Fla.
Apr. 22-24— BAI 2nd Annual Accounting &
Finance Conference, Chicago Marriott,
Chicago.
Apr. 27-28— RMA Branch Bank Loan
Administration, Columbus, Ohio.
May 18-20— BAI 4th Annual Bank Tax
Conference, Hyatt Regency/Crown Cen­
ter, Kansas City, Mo.
May 20-22— Association of Bank Holding
C om panies, 23rd Annual M eeting,
Waldorf Astoria, New York, N.Y.
June 8 -9 — RMA Branch Bank Loan
Administration, Boston.
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. 9-22—Central States Conference,
Graduate School of Banking, Univ. of
Wise.-Madison, Madison, Wise.
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. 18-21— BMA Commercial Marketing
Conference, Boston, Mass.
,
Oct. 28-30— BMA Marketing in a Com m ué]
ty Bank Seminar, Dallas, Tex.
Nov. 8-11—ABA National Agricultural
Bankers Conference, Sheraton Washing]
ton, Washington, D.C.
Nov. 15-18— ABA National Corresponde^
Banking Conference, Hyatt Reger~
Kansas City, Kansas City, Mo.

State Conventions & Schools
Colorado:
June3-6— CBA Annual Convention, Broad-|
moor Hotel, Colorado Springs, Col.
Illinois:
May 25-June 6— IBA Illinois Bankersl
School, Southern Illinois Univ., Carbc
dale, III.
June 7-13— IBA Agricultural Lending!
School, Illinois State University, Normal,I
III.
June 10-13— IBA Advanced Agricultural!
Lending Clinic, Illinois State Unit
Normal, III.
June 14-16— IBA Annual Convention,!
Chicago Marriott Hotel, Chicago.
June 21-27— IBA Commercial Lending!
School, University of Illinois, Urbana,
Sept. 16-17— IBA Agricultural
Crec
Conference, Ramada Inn, Champaign,!
Iowa:
May 7— Southwest Iowa Group of NABW|
Iowa convention banquet, Breckenridj
Westmark Inn, West Des Moines.
July 16-18— Iowa Independent Bankers!
10th Annual Convention, Lake Okoboji.l
Sept. 20-22—95th annual IBA convention,!
Des Moines.
Minnesota:
June 15-16— MBA Annual Convention,
Radison South, Bloomington, Minn.
Montana:
June 24-26— MBA Annual Convention, Bjj
Sky of Montana, Big Sky, Mont.
Nebraska:
Mar. 19-20— NBA Agricultural Outlook!
Conference, Holida Inn, Kearney.
May 7-9— NBA Annual convention, Lin-|
coin.
North Dakota:
Apr. 7-8— NDBA Consumer Credit Confer-|
ence, Ramada Inn, Jamestown, N.D.
Apr. 21-24— NDBA Teller/Staff Confer-I
ences, N.D.
May 17-19— NDBA 96th Annual Conven-|
tion, Holiday Inn, Fargo, N.D.
Sept.
16-18— Independent Community!
Banks of North Dakota annual conven­
tion, Holiday Inn, Dickinson.
South Dakota:
May 11-12— SDBA Annual Convention,!
Downtown Holiday Inn, Sioux Falls, S.D.
Wyoming:
June 10-12—WBA Annual Convention,!
Jackson Lake Lodge, Moran, Wyo.

7

W hen a custom er needs m ore than
your lending lim it or lease capacity,
th in k Bank of Am erica.

W hen your bank’s customers
decide to expand or replace major
equipment, they’ll probably turn to
you for additional financing. And
even if they ask for more than your
lending limit or leasing capacity, you
may still be able to honor their
requests. Because Bank of America
can help you with overline or lease
assistance.
We can also put the skills of our
account officers to work for you.They
have decision-making capabilities and

direct access to BankAmeriLease™
for any additional assistance you
might need.
With over 1200 offices around
the globe, Bank of America can pro­
vide a world of correspondent
banking services—including lease
participations. So the next time you
need a correspondent bank, rem em ­
ber us. We’re the banker’s banker.
In San Francisco, call
(415) 622-6909. In Los Angeles,
call (213) 683-3288.
B A N K o f A M E R IC A T O
Correspondent Banking Services

BA N K OF AM E R IC A NT&SA


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

T h in k w h at w e can do fo r you.^
N orth w estern Banker, M a rch , 1981

8

Bank Promotions
ROMOTIONS and other an­
P
nouncements have been made by
the following banks:

prising the re­
cently
formed
Cole-Taylor Fi­
Commerce Bank of Kansas City: nancial Group,
John L. Ronald has joined the bank Drovers Bank of
and
as senior trust officer in the trust Chicago
Main
Bank
of
division. Previously, he served as
Chicago,
have
vice president and trust department
manager of Mid-Continent Bank in been promoted to
and
Kansas City. Prior to that he was chairman
president
of
thenwith First National Bank of Chicago
as manager of investments for that respective finan­
bank’s probate division. Mr. Ronald cial institutions.
earned his BA degree from Marquette
University in Milwaukee and has
done graduate work for his MBA in
finance at the University of Colorado.
Continental Bank, Chicago: Luke
P. Miller, vice president in the trust
and investment services department,
has been named senior liaison officer
to the marketplace for all corporate
trust and investment services. He
has been head of employe benefit
plans services.
Drovers Bank of Chicago: Two top
executives at each of the banks com-

S.J. TAYLOR

SINGLE INTEREST
INSURANCE
For Installment Loans
BLANKET SINGLE
INTEREST
I NDIVIDUAL SINGLE
INTEREST PROGRAMS
• A ut om at ed
• Manual

PROTECT YOUR LOANS
AGAINST THO SE PHYSICAL
DAMAGE LOSSES.
CONTACT US ABOUT A
PROGRAM FOR YOUR BANK.
call or w rite:

G.D. VAN
WAGENEN CO.
1678 N orthw estern Bank Bldg.
M inneapolis, MN 55402
(612) 333-2261

Northwestern Banker, March, 1981


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

W.C. OLSEN

J.V. TOSTA

At Drovers Bank, President Frank
E. Bauder has moved up to chairman.
He is succeeded as president by
James J. Carmody, who has been
senior executive vice president and
director.
At Main Bank, President James V.
Tosto has been named chairman. The
new president is William C. Olsen,
formerly executive vice president.
Sidney J. Taylor, who has been
chairman at both banks, now
becomes chairman of the executive
committee, comprised of the chair­
man and presidents of Drovers and
Main. He also continues as chief
executive officer at both banks. Irvin
H. Cole continues as vice chairman at
both banks and also assumes the
duties of deputy chairman of the
executive committee. Mr. Taylor and
Mr. Cole are the principals in
management of the Cole-Taylor
Financial Group.
Mr. Taylor will provide leadership
in strategic planning for growth in
new areas and for development of

general banking business. He will
coordinate activities of Drovers a i#
Main, which he characterized as
“independent banks working to­
gether.” The banks are under
common ownership and have assets
of more than $330 million.
#
He noted that the four executive
officers at the two banks have more
than 100 years of banking experience
combined. Mr. Bauder joined the
organization in 1976 after serving g#
chairman of the parent company of
Central National Bank of Chicago,
and serving earlier as a lending vice
president at Continental Bank of
Chicago.
#
Mr. Carmody has almost 30 years
in banking, having served as senior
vice president, corporate banking, at
LaSalle National Bank of Chicago,
and as vice president in the broker#
division of the corporate banking
department at First National Bank of
Chicago.
Mr. Tosto has spent nearly 35
years in banking, all of it at M ai#
Bank, where he rose to the presidency
in 1976.
Mr. Olsen has 20 years in banking
and formerly served as a vice
president of LaSalle National Bank?
First Bank [N.A.] in Wisconsin, La
Crosse, Wis.: Stanton M. Jorgens
has been elected president and
managing officer of First Ban#
LaCrosse to succeed Lyle W.
Anderson, who will continue to serve
First Bank as chairman. Mr. Jorgens
also has been elected a director of
First Bank.
#
Mr. Jorgens began his affiliation
with First Bank System, Inc., in
1957, when he joined First National
Bank of Minneapolis. After extended
service with that bank, he joine
First Bank La Crosse in 1978 as
executive vice president.
Mr. Anderson has been associated
with First Bank System since 1937
and has served as president of the L®
Crosse bank since 1965. He was
appointed to the additional position
of vice chairman of First Bank in 1977.
First Bank La Crosse and First
Bank Milwaukee are divisions or
First Bank (N.A.), with headquar­
ters in Milwaukee.
First National Bank of Chicago:
Lawrence C. Russell, 42, has joinecr
the bank as a senior vice president
and head of the service products
department, which was created in the
bank’s recent reorganization. He wilL
have responsibility for the develop-

9

The ins and outs
of the agricultural
lending market

A correspondent bank that’s in the ag overline
market one year and out the next is just the kind of
correspondent bank you don’t need. Your agri­
business customers need credit they can depend on.
Continental Bank is committed to the ag market.
This year. Last year. Next year. Not because it’s a
good crop year, or prices are high, or loan demand
is down in other industries. We’re in it for the same
reason we’re in the correspondent banking business.
To build long-term banking relationships.
Continental Bank has always provided corre­
spondents with seasonal loans and agricultural

overlines. Because consistency is something you
have every right to expect from your bank.
You expect decisiveness, also. At Continental,
you get it. Credit requests go directly to your account
manager. The officer who can say “yes” or “no” on
most loans. You get a decision fast. From the person
who made it.
Call John Tingleff at (312) 828-2191. Tell him
you’re in the market for farm credit. You can bet
we’ll be in the market, too.
It’s what you expect from a top correspondent
bank. At Continental Bank, it’s reality.

CONTINENTAL BANK
Continental Illinois National Bank and Trust Company of Chicago
231 South LaSalle Street, Chicago, Illinois 60693

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

N orth w estern Banker, M arch , 1981

10

ment, marketing and delivery of
non-credit products throughout the
United States and, where appropri­
ate, on a worldwide basis. These
include such services as documentary
collections, letters of credit, money
transfer and lock box. The service
products department is one of six
that report to Richard L. Thomas,
president of First National.
Before joining First Chicago, Mr.
Russell was vice president, corporate
development, for the Olin Corpora­
tion in Stamford, Conn. Prior to that,
he was a partner for 11 years with
McKinsey & Company consulting
firm, New York.
First National Bank of Arizona,
Phoenix: Michael O. Montegary has
been advanced to
senior vice presi­
dent in document
processing ad­
ministration. He
started FNBA,
an affiliate of
Western Bancorporation, in 1964,
and was named a
vice president in „ „ . „ . . . . . v
1974 He became “ ■MONTEGARY
document processing administrator
in 1978, a title he still holds.

Hopkins, operations, and Nancy L.
Spencer, real estate and mortgage
loan department.
Stephanie J. Corley has joined the
bank as personal banking officer,
executive financial center.
First National Bank of Kansas
City: James M. Prevost has joined
the staff as a vice
president
and
Martha K. Car­
penter has been
promoted to as­
sistant manager
of the credit de­
partment. Mr.
Prevost will be
responsible for
coordinating the
J.M. PREVOST
installation and
internal operations of the new data
processing software being devel­
oped for First National and the
other banks affiliated with First
National Charter Corporation. He
joined the group in 1978 and was
named assistant vice president and
EDP auditor last year. He received a
BSBA and MBA from Rockhurst
College in Kansas City.
Miss Carpenter, who received a BS
degree from the University of
Missouri at Columbia, joined the
bank in March, 1980. Previously, she
was a trust administrator with
United Missouri Bank of Kansas
City.

First National Bank in St. Louis:
Clarence C. Barksdale, chairman and
chief executive officer, has announ­
ced promotions to assistant vice
president for Rosemary E. Carson,
First National Bank of St. Joseph,
real estate department; Edward A. Mo.: H. Kenneth Gilpin, Jr. has
—Our 61st Year—
THE CROP H A IL PROTECTION
FARM ERS PREFER
STATEMENT OF CONDITION At Close of Business December 31,1980
ADMITTED ASSETS
U.S. Government Bonds ................ $3,907,819.57
Other Bonds ...................................
1,138,827.23
Stocks .............................................
123,020.51
Accrued Interest, ect.........................
50,329.45
Cash in Bank and Home Office . . . .
354,498.69
Total Admitted Assets ............ $5,574,495.45
LIABILITIES
Reserve for Federal and State Taxes ....................... $ 161,442.19
Other Liabilities .........................................................
27,100.00
Total Liabilities ................................................. $ 188,542.19
Funds for Policyholder Protection ...........................
5,385,953.26
$5,574,495.45
Securities carried at $401,558.13 in above statement are deposited
with public authorities as required by law.

SQUARE DEALINSURANCECOMPANY
DES MOINES, IOWA 50308

Northwestern
 Banker. March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

fVlutuai

joined the bank
as senior vice
president, it was
announced last
month by Jacob
M. Ford, II,
chairman. Mr.
Gilpin will coor­
dinate and super­
vise the various
facets o f th e o p e ration s area.

H .K. GILPIN, JR,

Mr. Gilpin is a native of Iola, Kans.
He attended Rockhurst College ii
Kansas City and was graduated from|
the Intermediate School of Bankim
in Lincoln, Nebr., and the Gradual
School of Banking at Madison, Wis.l
Before joining First National he was a|
consultant for commercial banks!
located in the midwest and Rocky!
Mountain area.
™!
Manufacturers Hanover Corpora-|
tion, New York: Cyrus R. Vance,
partner at the Simpson Thacher
Bartlett law firm, and Frank AJ
Bennack, Jr., president and chief
executive officer of The Hearst
Corporation, have been electee
directors of MHC and Manufacturers
Hanover Trust Company, its prin^
pal subsidiary.
Mr. Vance was United States
Secretary of State under former
President Carter. He joined his laj
firm in 1947 and served in sever
capacities with the United States
government for nearly three decades.
He is also a director of IBI
Corporation and The New Yor
Times Co. Mr. Bennack is a long-tir
employe of the Hearst Newspapers.
Northern Trust Company, Chica-j
go: The following staff changes ha^
been announced following a recei
board meeting:
John P. Dover to second vice
president, personal banking depart-|
ment. Barbara J. Quirk name
personal banking officer.
Lois L. Ward to assistant
secretary, trust department.
New appointments from outside
the bank included:
Lynda T. Harrill to second vie
president, financial management!
department.
Dennis F. Regan and Robert J.|
Stegman to second vice president|
international department.
Mark E. Didriksen to second vice
president, personal banking depart-|
ment.
Deborah M. Meister to trus
officer.

Turn obstacles
into opportunities.
Gall Collateral Control
Calling Collateral Control can eliminate the
obstacles that stand between you and new business.
Call when you’ve got some difficult-to-monitor
inventories or accounts receivable. Whether it’s
agricultural products, manufactured goods or anything
that can be counted — Collateral Control will give
you secure working capital loans. That enables you to
say “yes” more often to present and prospective
customers. A word that keeps both of you growing.
Call when a customer will benefit from leasing.
Through Collateral Control’s bank participation
leasing program, you can invest as little as 10% or as
much as 75%. The customer works directly with you.

Collateral Control handles the details and paper work
The customer remains your customer because you’ve
added a service he needs. And you both keep growing
So next time an obstacle enters your loan picture,
or you think a customer should be leasing ...
call Collateral Control. And watch profitable
opportunities grow.

n
n T jI
TìT
Ajl
TL
TX
?TaH
? A/lll
T
UUJ

CONTROL
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Regional Offices: St. Paul 612/227-8047 • Omaha 402/393-3140 • Chicago 312/823-7895 • Dallas 214/824-4700
• Atlanta 404/659-3163 • San Francisco 415/788-6600 • N ew York 212/683-7529

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

12

Corporate
ROMOTIONS and other an­
nouncements have been made by
P
the following firms:
Blomstrand
Communications,
Inc., Chicago: Carol Blomstrand has
formed her own financial public
relations firm and will provide a full
range of publicity, promotion ser­
vices and products to the financial
community, primarily community
banks. Previously, Ms. Blomstrand
served five years as vice president/
advertising at Whittle Raddon
Motley & Hanks, Inc., a Chicagobased financial consulting firm,
where she provided similar services to
banks.
During the 12 years prior to that
time she held positions in editorial,
writing and consulting with national
consumer and financial publications.

/

Brandt, Inc., Watertown, Wis.:
Dale Taipale has been appointed the
new director of
engineering and
will report to
Lawrence
E.
Johnson, presi­
dent of Brandt.
Mr. Taipole was
previously with
Outboard Marine
Corp., Wauke­
gan, 111., where
he was senior
» T A IP A L E
manager before joining Brandt. In
his new post he will have
responsibility for all product engi­
neering activities of the company,
including research and development
of sophisticated money handling
equipment. He had a similar

w e talk b a n k in g

Your Customers Benefit...
They get instant, up-to-the-m inute in­
form ation on your services, incentives, and
rates.
Your Employees Benefit...
By having a system that visually com ­
m unicates support info rm atio n to your
custom ers. They save tim e in custom er
com m unications.
Your Budget Benefits...
You can cut the tim e and cost of
m aterials you now spend on inte rior co m ­
m unications, advertising, and signing.
Your Business Benefits...
Increased c o m m unica tions generate in­
creased results and that is the B ottom
Line.
You could see all the answers to the ques­
tion “ WHO BENEFITS” insta ntly and clear­
ly displayed on a com puterized visual co m ­
m u nication s system by Horizon Industries.

Z

THE SYSTEM
The Horizon CT Series is available in a variety of sizes
to meet your sp e cific need in in te rio r com m unica­
tions. Each system of solid-state m odular com ­
ponents, is finishe d in hand-rubbed solid oak
cabinetry and programmed by a simple-to-operate
detachable type w riter keyboard. Type in your m es­
sage or messages in any com binatio n of letters,
numbers, and sym bols. Your Inform ation is retained in
the system s memory and co n tin u a lly displayed in
super-bright, easy-to-read LED’s in your choice of
m oving display variations.

*
*
*
*
*
*

CHANGE DAILY
Marketing Areas and Applications
Money Market Certificate
* Premium Incentives
Rates
Selected Savings Programs * Interest Rates
Seasonal Loans
* Insurance Department
New Banking Services
* Customer Service
Safe Deposit Boxes
* Real Estate Department
Employee Recognition
* Community Events

A ll system s are portable w ith optional pedestals and
w all m ounting brackets.

“TH E C T -1 SYSTEM ” FR EE
HORIZON INDUSTRIES, INC.
7386 W ashington Avenue
Eden Prairie, MN 55344

612 941-0700
-

Northwestern
 Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

I
FILL OUT AND RETURN
I Receive an actual size reproduction ot the Horizon CT-1 Visual
I Communications system in a four color brochure and Horizon’s 28
page “Marketing Today” manual.
| Name____________________________________________________
Title_____________________________________________________
I Bank_____________________________________________________
. Address__________________________________________________
■ City_________________ State______________ Z ip _____________
| Phone___________________________________________________

responsibilities at Outboard Marinej
Mr. Taipale received a bacheloi
degree in engineering from the
University of Minnesota.
Financial Shares Corp., Chicago|
Lynn A. Gaffigan, 25, and William*
Darrow, 30, have joined tM
company, it was announced recently
by George M. Morvis, president.

U
L.A. GAFFIGAN

l

W.P. DARROW

Ms. Gaffigan was named ai
assistant vice president in the firm’sl
marketing consulting division. She|
was employed formerly at Continen­
tal Bank of Chicago, first as ^1
personal banker and later as al
supervisor of the employe banking!
center. Prior to that she was withl
Glenview State Bank in Glenview,
111. She is a 1977 graduate of tlj
University of Colorado at Boulder/
Mr. Darrow was named ai
assistant vice president in the
training division. Formerly, he was
with the corporate training divisiq
of Allstate Insurance Company ii
Northbrook, 111. He is a 19721
graduate of the University of Miami|
at Coral Gables, Fla.
ITT Corp., Minneapolis: Thom!
E. Wilshire, president of ITr
Consumer Financial Corporation, has
announced the appointment of Rogeij
L. Shipp as vice president-comptrg^
ler for the company. Mr. Shipp will
responsible for financial analysis]
planning, financial reporting anc
special systems projects. He joinec
ITT Aetna in 1975 in Dallas, Tex.
native of Waverly, la., he receiv^
his bachelor’s degree from Wartbur^
College there and his MBA in finance
from Indiana University.
Stephen J. Davis, president of IT^
Industrial Credit Company, St. Pai
announced the appointment of Pau|
J. McCarthy as vice president anc
director of corporate investment
control for that company. He will
responsible for credit and collection
management. He joined ITT Indus j
trial Credit in 1974. He is a graduate
of American International College
with a BS degree in busines
administration.

INTRODUCING THE
REMOTE DRIVE-UP SYSTEM FOR
COMMERCIAL TRANSACTIONS.

Now, you can speed up transactions and
give your commercial custom ers more p er­
sonalized service w ith the new LeFebure
A utom atic Transport System.
It's the first cable/rail rem ote drive-up
system built w ith the pow er and capacity to
handle commercial transactions w eighing
up to 40 lbs. w ithout fear of overload.
The advantage of the cable/rail concept
is its simplicity. There's no need for com pli­
cated elevator m echanism s and recharging
of batteries.
O ther features include a m aintenancefree stainless steel kiosk, an extra large
T ra n sp o rte r a n d a tw o -w a y so lid -s ta te

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

com m unications system.
Learn more about this rem arkable sys­
tem , an d h o w it can h elp y o u increase
commercial accounts. Talk to your LeFebure
Sales Engineer.

LeFEBURE
Division of Kidde, Inc.

KIDDE
Cedar Rapids, Iowa 52406

14

Mosler Safe Company, Hamilton,
Ohio: Announcement was made
recently of the
promotion
of
Peter
Mclnerney, John C.
Nelson and Jerry
D. Stites to re­
gional vice presi­
dent/ general
managers. They
report to Joe
MacDonald, sen­
P. MclNERNEY
ior vice president
/sales, installation and service at
corporate headquarters. These three

J.D. STITES

J.C. NELSON

men, Mr. MacDonald said, will be in
charge of all sales, installation and
service of Mosier’s complete lines of
security and transaction equipment

When you need credit insurance.

look for experience and service.
At ITT Life, we’ve got both experience and service. ITT Life has
been in credit insurance for the past 15 years. Add to that, the
expertise of the people who make up our credit insurance team —
Bob Regan, Vice President of Marketing; John Helgerson, Assistant
Vice President, Director of Marketing Services; and Glen Gilbertson,
Vice President, Director of Credit Insurance Sales — and you have
all of the knowledge and experience you deserve in credit insurance.
Service? ITT Life has one of the most advanced sales support
systems in the business. We also have the people to back up our
system — experienced people.
Want more information about ITT Life’s experience and service?
Call us at: (612) 545-2100. Glen Gilbertson, Vice President,
Director of Credit Insurance Sales.

IT T

ITT Life Insurance Corporation

An affiliate of international Telephone and Telegraph Corporation.
SHELARD TOWER, 600 SOUTH COUNTY ROAD 18, MINNEAPOLIS, MINNESOTA 55426
Not licensed in Maryland, New Jersey, New York, Pennsylvania and Vermont.

DigitizedNorthwestern
for FRASERBanker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

for financial institutions and com­
mercial businesses.
^
Mr. Mclnerney manages the
western region from regional head­
quarters in San Francisco. This
region covers all states from
Minnesota, Iowa and Missouri to t h ^
west coast, plus Hawaii and Alaska.
He began his Mosler career in 1959
and has been serving as the firm’s
west coast regional general manager.
Mr. Nelson will head the southerr^
region from Atlanta. It covers states
from Oklahoma, Arkansas and Texas
through the southeastern states. A
20-year Mosler veteran, Mr. Nelson
started as a sales representative in
Miami. Since 1975 he has been
regional general manager in Atlanta.
Mr. Stites is manager of the
eastern region, comprising the states
of Wisconsin, Illinois and Indiana*
through the New England states. He
joined Mosler in 1965 in Des Moines
as a technician. Most recently, he has
been regional general manager of the
eastern region.
*

MorAmerica Financial Corpora­
tion, Cedar Rapids, la.: Robert E.l
Johnson, presi­
dent, has an­
nounced the pro­
motion of Law­
rence R. Kroemer
to assistant vice
president
and
manager of sys­
tems and data
processing. Mr.
Kroemer joined
l .E. KROEMER
MorAmerica in
1977. He is a graduate of Kirkwood
Community College in Cedar Rapids.
United Guaranty Corporation,
Greensboro, N.C.: Marvin Legare,
63, announced his retirement*
effective January 31. He will continue*
as a director, a member of the
executive committee, and will serve
the company as a consultant. He
served as president of First Mortgage
Insurance Company, a predecessor
company, from 1963 to 1972, and as
chairman of United Guaranty since
1973.
W.L. Hemphill, president antif
chief executive officer, said the
position of chairman will remain
vacant and will not be filled at this
time. He also announced that Mr
Legare had been named chairman f
emeritus.

15

Y o u ’re lo o kin g a t 3 6
w a y s to s im p lify yo u r
in v e s tm e n t c h o ic e s .
If you’re looking for the right in­
vestm en t in a rapidly changing
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
for all securities and give you a
monthly computer report on your
portfolio’s performance.
For more information, call the In­
vestment Services Group at First
Bank Saint Paul, 291-5659. One of our
Investment Counselors will be glad to
talk with you about your investment
needs.

First Bank
Saint Paul
Investment Services Group
The First National Bank of Saint Paul
332 Minnesota Street
Saint Paul, Minnesota (612) 291-5659

A Full Service Bank


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

Member FDIC

N o rth w estern Banker, M arch , 1981

16

American of Chicago Gives Survey Results
HE PRIME rate will decline
T
sharply by the end of the first
quarter of 1981, according to a recent
survey of Midwestern banks.
The survey was taken for American
National Bank and Trust Company of
Chicago among its correspondent
banks throughout the Midwest. It
showed that 57% of the poll re­
spondents believe the prime rate
will fall to between 10 and 15%, by
the end of the first quarter. Another
41 % felt the prime would be between
14 and 17% at that time.
There was near-unanimity among
poll respondents on whether the
election of Ronald Reagan to the
presidency will help the nation’s
economy. 32%, about one in three
respondents, said that President
Reagan’s election would improve the
economy “very much,” while another
64% expect at least “somewhat ” of
an improvement.
In a more general view, 74 % of the
bankers said that the economic
situation will be better a year from
now.
On other banking subjects, higher
operating costs have apparently

caused widespread service fee
increases for checking accounts.
Sixty-three percent said they have
increased the fees they charge
customers for such accounts. All
respondents said they are offering
NOW accounts, interest-bearing
checking accounts, in their markets.
Fifty-one percent said that NOW
account service fees will offset costs,
but nearly one in three, or 31 %, said
those accounts will be operated at a
loss.
The study was conducted for
American National Bank by Market
Shares Corp., a Chicago-based
marketing and public opinion re­
search firm.

Detroit Bankers to Host
NABW Tri-Regional
“Performance Banking: Plan . . .
Produce . . . Profit” is the theme of
the National Association of Bank
Women, Inc. Tri-Regional Confer­
ence to be held April 12 through 14 at
the Dearborn Hyatt Regency,
Dearborn, Mich. Women bank
executives from three regions encom­

passing Illinois, Indiana, Iowa,
Kansas, Michigan, Minnesota, Mi ~
souri, Nebraska, North Dakota,
Ohio, South Dakota, and Wisconsin
will attend the meeting, which is
being planned by Detroit-area
bankers.
•

Murray Weidenbaum Will
Address BAI in Dallas
Chairman of President R onal^
Reagan’s Council of Economic
Advisors, Murray L. Weidenbaum,
will be the keynote speaker at Bank
Administration Institute’s 1981
Bank Auditor’s Conference set foQ
March 30-April 2 in Dallas.
Mr. Weidenbaum, who is director
of the Center for Study of American
Business, Washington University,
St. Louis, will discuss “A F u tu r^
with Less Regulation.”

MHT Aids Earthquake Fund
Manufacturers Hanover Trus
Company, New York, has donated 1
million lire to a fund set up by the
Italian Banker’s Association to help
alleviate the plight of the homeless
and the families of those who wer
killed in the recent earthquake.

How much of this "iron" does your bank own?
In the autom otive trade, the term “ iro n ” refers
to a vehicle valued at ho m ore than th a t offered
by the nearest junk dealer. T oday, a great m any
banks own cars like this . . . n o t because they
w ant to, b u t because som ebody forgot to verify
insurance coverage, the custom er forgot to pay
for his collision coverage, the vehicle was dam ­
aged when it was repossessed, or it was stolen
and subsequently wrecked after the bank re­
possessed it.
These losses are insurable. M atterhorn Bank
Program ’s single interest policy was designed for
consum er bankers, by consum er bankers.

DigitizedNorthwestern
for FRASERBanker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

M atterhorn also offers unintentional n o n ­
filing insurance, confiscation insurance, skip in ­
surance, and holder in due course insurance.
M atterhorn responds to yo u r needs. Perhaps
th at is why A m erica’s leading banks are calling
us. Perhaps th a t’s why yo u should ¿all us now.

/Malterhcrr\
/
BANK PROGRAMS, INC.

609 Bosley Avenue • Baltimore, Maryland 21204
TELEX: 908272
(301) 821-9500

17

Lease, buy dr both.
Don’t let the "lease” in our name fool you. We’re a full-service company. So we give you a choice.
Lease equipm ent to conserve working capital. D ecide on a Lease Purchase Contract
with a guaranteed purchase option at the end of the term. A leverage lease m ight suit your
financing needs. Or maybe you want to purchase equipm ent outright.
W hatever your business, whatever the equipm ent you need—from aircraft to com puters
to m achine tools—we. have the financing options that put
it to work for you.
.
_.
.
Call Dave Michael at 612-372-7416 in Minneapolis; LEASE NORTHWEST, INC.
Roger Meier, 402-536-2310, Omaha; Jim Sheedy, 515- AffiliatedwithNorthwest BancorPorat10n w n e m
245-3392, Des Moines; or Chris Hoss, 701-293-8136,
P n iu n n
Fargo. We’re on your side.
BANCO®

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

N o rth w estern Banker, M a rch , 1981

18

St. Joseph Merger Is Planned
HE planned merger of two St.
T
Joseph banks and construction
of a new facility were announced by
First Midwest Bancorp, Inc.,
Chairman of the Board Jacob M.
Ford, II.
In a press conference at First
National Bank, Mr. Ford revealed
the proposed merger of First National
and First Trust Bank, along with
construction of a new facility in the
northeast section of St. Joseph.

Jacob M. Ford, II, (center), chmn. of first
Midwest Bancorp studies scale model of
proposed new facility with Walt Randall
(left), sr. v.p., and Dale Maudlin, exec, v.p.,
both with 1st Natl.

First Midwest Bancorp is a
registered bank holding company
headquartered in St. Joseph. The
merger becomes official after approv­
al of the Comptroller of Currency,
expected by April 1.
The merger also will involve
construction of a new First National
Bank facility at Ashland Avenue and
Karnes Road. According to Mr.
Ford, bids for construction will be
reviewed in early March. The
building is expected to be completed
by the end of the year.
This will give customers the
advantage of three full service
banking locations: the downtown
location at 4th and Felix streets; the
existing First Trust location at 3727
Frederick; and the new facility at
Ashland and Karnes.
According to First National
President Roger Hegarty, the new
facility became necessary because of
“the tremendous increase of business
at both the downtown and Frederick
Avenue locations.”
The drive-through facility will be
the first of its kind in the St. Joseph
Northwestern
Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

or Kansas City areas, featuring a
faster, more efficient system to
handle deposits. Customers will be
able to use the drive-through
windows, Automatic Teller Machine
and night depository without leaving
their automobiles.

Daniel Wessling, Sr.
Daniel Raymond Wessling, Sr.,
93, of Granger, la. president of the
former Wessling Services, died
recently at Northwest Community
Hospital, Des Moines, of a heart
ailment.
Mr. Wessling organized the Lytton
Savings Bank, Lytton, la., at the age
of 28. He was president there from
1915 to 1936. He also served as
president of the Auburn Savings
Bank from 1921 to 1929, and of the
First National Bank of West Des
Moines from 1938 to 1939.
He launched Wessling Services in
1922 and continued working there
until retiring in 1974. This firm
created coordinated advertising pro­
grams for bankers and trustmen
throughout the United States.
Mr. Wessling was a pioneer
member of Bank Marketing Associa­
tion. He was also a member of the
Advertising Club of Des Moines and
was recipient of its first “Sweepstakes Award” for direct mail
advertising.

Delaware Bill Would
Lure Money Center Banks
A bill proposed recently to the
Senate in the State of Delaware would
offer income tax breaks to lure banks
earning more than $20 million a year
to resettle some of their banking
operations in that tiny state.
Prompted by the success of South
Dakota in attracting Citicorp to
relocate its credit card operations
there after the South Dakota
legislature eliminated usury ceilings,
Delaware’s proposed bill would tax
banks making more than $30 million
at just 2.7% . The tax rate on banks
making less than $20 million would be
8.7%. The bill was introduced
January 14, passed the House 33-3
with no trouble and appears certain to
receive similar favorable treatment
from the Senate, since 13 of its 21
members are cosponsors of the bill.
Two New York bank-holding
companies, J.P. Morgan & Co. and
Chase Manhattan Corp., already

have stated they will accept such an
invitation. Morgan would move some#
of its commercial banking operations
to Delaware. Chase indicates it will
transfer some of its credit card
operations there. The two moves
reportedly would generate 360 new#
jobs by the end of 1981 for Delaware.
As a contrast in the tax battle, New
York City banks pay local taxes of
13.8% and state taxes of 12%. New
York bankers, in fact, helped design®
the legislation last June in meetings
with Delaware Governor Pierre
DuPont’s administration. Democrat
opposition questions whether a
“Pandora’s box” is being opened.®
Others in various state governments
wonder if this is the start of full-scale
tax warfare among the states.

MHT Opens Jordan Office
Manufacturers Hanover Trust
announced the official opening of a
regional representative office ir^
Amman, Jordan last month.
Carmelo L. Foti, assistant vice
president, has been named the bank’s
representative. Mr. Foti was most
recently assigned to the Middle^
Eastern management group in the
bank’s head office in New York.

J.T. Miller Organizes
Acceptance Subsidiary

,

J.T. Miller Company, Minneapo­
lis, announces the formation of Miller
Acceptance Corporation, to act as
brokers in negotiating the sale of^
large blocks of insured second liens
on a national scale. This activity will
serve the financial community by
insuring second liens against
default and selling them in large’
blocks to financial institutions, such
as pension and profit sharing funds.
The originators of the second liens are
primarily banks, savings and loans
and mortgage bankers.
’
Miller Acceptance Corporation will
act in concert with Miller Mortgage
Company, another J.T. Miller
affiliate, which has been originating
second mortgages and contracts for*
deed for major Twin Cities’ banks on
an insured default basis for some
time.
President of the newly formed t
Miller Acceptance Corporation is1
James R. Wagner. Mr. Wagner
brings to the company 20 years
experience in the securities industry,
most of it with the New York Stock *
Exchange firms.

Thetimetore examine
yourcorrespondentbankingservice
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 at 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 get­
ting for w hat you pay? Who is
best equipped to m eet your fu­
ture 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
reputation.
O ur safekeeping and cash
letter services ran k among the


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

fastest and most accurate avail­
able anywhere. O ur prom inent
position in prim ary and secon­
dary bond and money m arkets
provides you and your custom ­
ers greater 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 r e la ­
tionships th a t you have
so carefully built with
your own customers.

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.

The
Northern
Trust

20

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

Tom Dawson

20 SOUTH EIGHTH STREET

Dennis “ Chris”
Christofferson

Norm Selzle

Digitized
FRASER
N o for
rth w
estern Banker. M a rch , 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Loss Might!

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.

21

Y CONSIDERING business lenders as their own
“secured lending division,” banks, even in these
B
challenging economic times, can still make large loan
accommodations, broaden service offerings, have better
loan portfolio control and maintain relationships with
marginal borrowers.
• In many cases, banks find themselves unable or
unwilling to service large unsecured loan requests. Such
requests may be turned down because they require
highly specialized lending techniques, costly underwritting and time-consuming administration or because of
^self-imposed or legal lending limits.
At the same time, many bankers agree on the
impracticality of offering secured loans because of the
sophisticated appraisal and monitoring techniques
involved. They are well aware that these lending
Activities require highly specialized staffs, expensive
technological support, complex procedures, and large
numbers of personnel to properly monitor a secured
portfolio.
I
Business Lenders Provide an Answer
Business lenders, however, have developed both the
capacity and professional expertise required to conduct
such lending activities. Their loan administration
includes daily review of collateral, regular on-site
inspections, receivables verification and, if equipment is
mvolved, expert appraisal.
The secured lender’s ability to manage collateral is
critical because, in any economic environment, the value
of collateral, especially receivables and inventory, is
^ilways changing. Such controls help minimize exposure
for both the bank and the secured lender.
Thus, a participation arrangement with a secured
lender can expand a bank’s services without requiring
the establishment and maintenance of a costly secured
ending department. The business lender assumes
responsibility for arranging and administering the loan,
while the bank benefits from its share of the income.
Limitations Imposed on Banks
Business lenders, for example, are often called upon to
provide money when banks have reached the limit on the
amount they can or are willing to lend. Self-imposed or
legal restrictions may apply to the type of loan
requested, or the maximum allowable credit may be
ixed either to the banks’ total capitalization or portfolio
concentration levels.
In other cases, participations benefit banks by
enabling them to maintain customer relationships while
reducing credit exposure. This exposure is reduced both
y precluding the need for the bank to commit additional
dollars to a borrower with which it is uncomfortable and
because the business lender offers professional
monitoring and control of collateral.
Services provided by business lenders are also
pplicable to companies with unique financing needs,
such as those with insufficient borrowing histories or
those growing so rapidly that financial ratios don’t fall
within lending guidelines.
Business Lender a Viable Alternative
Because few bankers wish to decline viable financing
requests, referring such loans to, and participating with,
a business lender represents a reasonable and practical
alternative.
Being able to offer additional financing through the
secured lending division” often permits borrowers to

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

Participation. . .
can expand lending
capabilities
of banks

By G. Pat Bacon
Senior Vice President
BarclaysAmerican/Business
Credit
Milwaukee, Wis.

maintain profitability and growth and allows the bank to
maintain its relationship with what will become,
hopefully, a strong customer.
And, the more services a bank can offer its borrowers,
the greater its position will be in the community.
Knowing about and utilizing the variety of services
offered by business lenders can help a bank meet the
financing needs of its customers and maintain its status
as a valuable and necessary community resource.
Case History of Food Firm
Such was the case recently when a regional food
processing company was experiencing significant
financial stress arising from a variety of sources
including soaring commodity prices and its own
expansion programs.
BarclaysAmerican/Business Credit financing, in
participation with the local bank, enabled this company
to obtain and carry contracts with large chain grocery
stores. Accounts receivable and inventory loans helped
ease the firm’s cash flow problems. Equipment financing
was extended to allow the processor to purchase modern
equipment and apply its own techniques, thus
PARTICIPATION . . .
(Turn to page 38, please)
THE AUTHOR G. Pat Bacon is senior vice president and manager
of the central division headquartered in Milwaukee, of Barclays­
American/Business Credit of Hartford, Conn, where he is
responsible for business financing activities in 14 midwestern
states. He holds a Bachelor of Science and Commerce degree
from the University of Iowa.
Northwestern Banker, March, 1981

22

H o w t o tu rn a

turkey in to a
s u c c e s s sto r y
By
RUSSELL B. DONAHUE
Executive Vice President
Associates Commercial
Corporation
Chicago, 111.

HEN Louis Rich, Inc., a major processor of turkey
W
products first arranged an asset-based financing
package with Associates Commercial Corporation to
build sales and support a growing product line in 1977,
company sales stood at $99 million with a net profit of
$800,000. By 1979—-after Associates Commercial and
several banks extended a $28 million line of credit to the
company—the company’s sales soared to $165 million,
with a net profit of $3.6 million.
In the early seventies, Louis Rich first sought
asset-based financing because it was the one way the
company could obtain the money it needed without
sacrificing equity. Ever since, Louis Rich, Inc. has been
a case study in the productive use of asset-based
lending.
What prompted Louis Rich to utilize asset-based
financing instead of taking a more traditional financing

THE AUTHOR, Russell B. Donahue, is executive vice president
of Associates Commercial Corporation and head of the business
loans division, which provides commercial financing services to
small- and medium-sized businesses throughout the United
States. Prior to joining Associates Commercial Corporation in
1978, Mr. Donahue was with James Talcott, Inc. for 20 years,
serving most recently as president of the business finance
division.
Mr. Donahue is a major participant in affairs of the commercial
finance industry. He is the immediate past chairman and former
president of the National Commercial Finance Conference, the
asset-based lending industry’s trade association, and is a regular
speaker and author on issues impacting the industry.
A native of the Chicago area, Mr. Donahue is a graduate of
Northwestern University. He has served as a director of
Northwestern’s Alumni Club of Chicago and has been an active
participant in various civic organizations in Chicago and Atlanta,
Ga., where he was based for a number of years.
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route? . . . the kind of business acumen and philosophv
that has helped this 60-year old company evolve from W
small family-run operation, supplying butcher shops
and grocery stores with chicken and eggs, to the nation’s
largest processor of turkey products.
Asset-Based Financing Sustains Growth
Had the management pursued a traditional financing
route, such as unsecured bank loans or the issuance of
common stock, it may not have been able to secure all
the working capital it needed to realize future growtlw
Instead, with the use of asset-based financing, the
company was able to build the plant and equipment
necessary to sustain its sales growth. After the company
first approached Associates Commercial, sales had
grown nearly $65 million in just two years.
q
The Louis Rich, Inc. success story spans much longer
than just two years. It was the result of a slow and
steady acquisition of plants, equipment, employees and
a broad customer base.
Concentration in Market
After recognizing the consumption trend for low-fat,
low-cholestorol luncheon meats in the sixties, Louis
Rich, Inc. concentrated its resources into one segment of
the poultry market—for turkey and turkey-related^
products. In an effort to take the seasonality out of this
business and to capture another segment of an otherwise
mature market, corporate management sought to
expand its product line to meet growing consumer
needs. By the early seventies, demand for Louis Riel#
products grew significantly and the company ventured
into new markets. Processing plants were then
purchased in Newberry, S.C., and Modesto, Cal.
Throughout the decade, planning for continue
growth and expansion placed constant demands on the
company’s working capital and retained earnings.
For most companies, it would have been extremely
difficult to add to the kind of plant and equipment
necessary to generate Rich’s sales growth wit'
traditional financing techniques. But, because
management already had experience with asset-based
lending and fully understood the value of this financing
tool, the company not only was able to meet its sales
goals but also to increase net income in absolute term
and as a percentage of sales. Louis Rich, Inc. ’s net worth
almost doubled during this period, from $5.3 million to
$9.38 million.
But in 1977, how was a privately owned company
with a net worth of $5.3 million, able to obtain a $17.
million line of credit?
Provides Flexibility
Through asset-based financing, many growin
companies today are discovering the flexibility the
need to meet their capital requirements.
Asset-based financing provides an alternative to
companies, which either may have no access to equity
financing or insufficient retained earnings to secure
working capital. With tangible assets, such as account
receivable, inventory, equipment and real estate
pledged as collateral, many companies are able to take
SUCCESS STORY . . .
(Turn to page 38, please)

23

TanE"

artici

Alternative
financing methods
for secured loans

#

upe

By JACK M. FISHER, Jr.
Senior Vice President
Collateral Control Corporation
St. Paul, Minnesota

HE combination of record high interest rates,
T
double digit inflation and a sagging economy will
rniake 1980 a year long remembered by most commercial
lenders. Only those lenders who faced the challenge with
innovative ideas were able to enter 1981 on an optimistic
note.
During times such as we saw in 1980, a lender is forced
ither to reject increaseing credit lines of existing
customers or reject new loans. However, this does not
really address the primary concern of the lender, which is
increasing profits for the bank. So what is the answer? It
is, in part, alternative financing methods for secured
oans, some examples of which include bank
participation leasing as well as inventory and receivable
management.
Bank Participation Leasing
A bank participation lease program enables the
individual banker to compete with the large commercial
bank leasing division and the direct leasing company.
As a co-owner of the leased equipment, the bank is
entitled to shelter its income through the benefit of
vestment tax credit and depreciation.
Through a bank participation leasing program a bank
acquires full leasing capabilities immediately without
large start-up costs in items such as documentation and
specialized training of bank personal, all of which are
rovided at no cost to the bank.
The bank has the flexibility to vary its participation
percentage in each lease and the local banker, who is
familiar with his customer’s special financing
requirements, can tailor the payments and terms to the
istomer’s capability, thus freeing the customer from
conforming to rules of a traditional leasing company.
Almost all equipment that would qualify for a typical
term loan would qualify for a lease; e.g., farm
machinery, computers, telephone systems, construction
iuipment, large trucks and so forth. Bank
participation leasing is often the workable alternative to
the typical loan arrangement.
While bank participation helps a lender finance capital
investment, collateral management organizations also
n help provide secured financing for working capital.

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Doc

Inventory and Receivables Management
With high interest rates and inventory build-ups,
many companies may develop working capital
requirements which are greater than their ability to
borrow unless the lender can look with confidence and
assurance as to the collateral supporting the loan
request. The banking community must prevent
collateral from disappearing and this means careful
credit management and control over collateral to
prevent conversion and loan losses.
Undercapitalized or rapidly growing companies
frequently put the greatest demand on bankers and
analysis of the financial statements can lead to a
turn-down instead of a loan. To meet these requests,
bankers can apply a collateral management program to
provide the needed degree of security.
Many bankers simply do not make inventory and/or
accounts receivable loans because they lack both the
available and the specifically trained personnel. The
independent collateral management specialists provide
the expertise and greatly reduce the likelihood of loan
losses attributable to the disappearance of collateral.
Accounting firms normally perform only annual
audits while the collateral management specialists
perform inventory audits and/or accounts receivable
inspection as frequently as the banker’s needs dictate.
Should the banker desire it, daily inventory movement
and/or accounts receivable adjustments can be reported
with little or no interruption of the borrower’s routine
while continuous daily control is maintained.
Quite often, collateral management specialists assist
the borrower by suggesting improved ways of managing
inventory and more efficient methods for reporting to
management the collections, receivable balances, and
inventory levels.
Independent or third party collateral management
does not replace the need to make frequent comparisons
of the loan balance to the collateral reports. The
collateral management report is of great assistance
ALTERNATE FINANCING . . .
(Turn to page 38, please)
Northwestern Banker, March, 1981

24

How midwest*
fighting interest*
OLATILITY of interest rates the past months has j
V
created continuing pressure on chief executive
officers and their financial officers to walk a tightrope
in

t e

r

e

s

t

*

with the investment portfolios in all banks, large or
small. With the outlook for a continuation of sucfPj
economic conditions, the pressure will continue. The

•

total average earning assets* net interest margin
Community banks
Herman Lerdal, president, First National Bank,
Mitchell, S.D.: The major adjustment we are making is
to convert many of our loans to a
floating rate. We are attempting to
be more professional in determining
the cost of money. We have asked
our correspondents for help and, to
date, we have found no two
correspondents who price money in
the same manner. I believe that as
much as being sensitive to the rates
we charge we are becoming much
more conscious of the rates we are
willing to pay. We are not bidding
so competitively on some money
market certificates as we did one year ago. I believe that
the economy, along with high interest rates, has made us
a more conservative lender and has made us more cost
conscious as well.
We do not plan to use Interest Rate Futures, but two
years ago I did not plan to pay interest on demand
deposits either.
David Taylor, president: Iowa Trust and Savings
Bank Centerville, la.: Our bank is being adversely
affected by the present high money
market rates because a significant
percentage of our loan portfolio is in
fixed rate real estate and term loans.
We are taking the following steps to
alleviate our problem:
1. On maturing and new loans,
we use variable rate notes with the
rate being a percentage over the
money market rate.
2. We notify real estate salesmen
we will be willing to use “blended
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rates” on real estate loans now in our portfolio, offering a
20-25 year amortization schedule with a three-year
maturity, so we will have the opportunity to renegotiate
interest rates up or down.
3.
Shorten the maturity of our investment portfolU
by investing in securities with maturities of one year
less.
We do not plan to use Interest Rate Futures at the
present time.
Marvin R. Campbell, president, Citizens State Bank,
Brainerd, Minn.: We have been struggling with the
effects of volatile money market
rates for the past two or three years,
and have been actually aware of this
volatility during the past 18
months, especially since our bank
has been “locked-in” with a heavy
volume of real estate loans for the
financing of one-family dwellings.
Fortunately, some years ago, we did
exercise a certain modicum of
wisdom in placing call dates on all of
our real estate loans. As these loans
fall due, we naturally shorten the
term and adjust the rates.
Meanwhile, we are emphasizing our service for local
real estate needs in an attempt to better serve o
community in the real estate loan area in spite of all
the inherent problems. Despite the decline in activity
the real estate department, we continue to maintain
qualified and well-informed real estate officers to serve
the public, so that we are in a position to process
estate loans from beginning to end and subsequently sell
them in the secondary market. We are hoping — in
praying — that interest rates will decline so we can
accelerate our activities in this area, as this represents a
COMMUNITY BANKS . . .
(Turn to page 26, please)

25

anks are
rate volatility
orth w estern
B anker
recently asked several
fficials from city correspondent banks, as well as from
"ommunity banks, to share their ideas on what they are
doing to meet these trying conditions. Their comments
delude their views on interest rate futures:

A N o r t h w e ste r n B a n k er S urvey

City banks
William P. Langford, senior vice president, American
iational Bank & Trust Company, St. Paul, Minn.: The
year 1980 demonstrated the extreme
volatility of interest rates. Not only
were the amounts of several changes
large but the velocity of change was
•igh. These factors, plus varying
relationships of different investment
rates, made the year a learning
experience for many of us. Several
months produced surprising “bot,m-line” results which sent people
back to recheck figures.
Our bank reacted to these
conditions in several ways. Our asset-liability
committee tightened up procedures and policies.
Emphasis was redirected to variable rate assets to
compensate for increasingly more important variable
rate liabilities. Shorter maturities were purchased to
maintain liquidity, but not to the exclusion of some
lpnger maturities. The after-tax yield of governments
jrsus municipals was watched carefully to determine
relative value. Other considerations included marketa­
bility of the investment, call features, yield curve, and
any new products.
We have not employed the use of Interest Rate
utures yet, but continue to monitor their potential use.
Dennis R. Vellek, senior vice president, Toy National
ank, Sioux City, la.: We have gone to variable rate
tes and are watching liability costs on a weekly basis,
e are not using interest rate futures at present, but are
Doking at this.
J. David Brock, vice president, The Northern Trust
mpany, Chicago: There is little doubt that increasing

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competitive pressures, rising costs,
economic uncertainties, and volatile
financial markets characterize to­
morrow’s banking environment. As
a result, anticipating new condi­
tions and developing new strategies
will be the greatest challenge for
“high performance” bankers.
The future is change! Bank
executives seek a new approach to
the financial planning required to
evaluate new strategies. For our
clients, that approach is often the use of an interactive
computer model that provides a total system for
dynamic financial planning. This model, or similar
models, allows management to evaluate alternative
strategies. The effects of internal and external changes
on bank profitability can be projected almost instantly.
The interactive model allows for altered assumptions
and quickly determines the answers to all “What If”
questions.
In short, our banking clients have turned to
technological innovation to cope with today’s volatility.
Dwain C. Carlson, vice president and manager,
municipal and government bond division, First National
Lincoln, Lincoln, Nebr.: Due to the
extreme volatility in money market
rates and inability to forecast
interest rate moves, the most
prudent approach to managing the
bank’s portfolio has been utilization
of short term taxable and tax free
investments in the 3 - 4 year
maximum maturity range. Exten­
ding maturity beyond this range
exposes the portfolio to tremendous
interest rate risk and places
CITY BANKS . . .
(Turn to page 28, please)
Northwestern Banker, March, 1981

26

“We have changed our commercial loan portfolio so that more than #
75% of the outstandings are floating in some relationship to the
prime rate.”
COMMUNITY BANKS . . .
(Continued from page 24)

very important and viable part of our service to this
community.
In the process of reducing our real estate loan volume,
we are freeing up funds for other lending purposes. In
order to provide us with the necessary liquidity to meet
and respond to the volatility which exists, and which we
predict will continue in the years ahead, we are limiting
ourselves to short-term variable rate loans related to a
prime rate which is adjusted from time to time on a
prearranged, negotiated basis. We feel this program will
be accepted as customers become acquainted with the
fact that money market funds have changed and will
continue changing in the future and that they must be
prepared to understand and cooperate with lending
institutions in this changing and challenging
environment.
We have no plans at the present time to utilize
Interest Rate Futures. “Futures” is a word that terrifies
me; probably because I have some knowledge of this type
of activity in other areas of our economic system. I also
confess we lack the necessary sophistication to
implement the utilization of such a program.
Nevertheless, our bank in the years ahead will not
neglect to study the possibilities of such activities, but
confess that at this time we have no intentions of even
attempting the utilization of such programs.
We also feel that “Future” activities would demand
day-to-day information for proper decision-making that
is available only in larger money center communities.
Jay F. Bordewick, president, First Wyoming
Bank-Casper, Casper, Wyo.: In the last year and a half,
we have changed our commercial
loan portfolio so that more than
75% of the outstandings are
floating in some relationship to the
prime rate. We have also put our
commercial portfolio on a demand
basis. We recognize that in this
extremely volatile market we need
more exposure to, and more
experience with, asset and liability
management and are trying to get
up to speed in this area as rapidly as
possible. We also know that in this environment, from
our industry’s standpoint, while it is not business as
usual, it is still business and we are endeavoring not to
over-react to the market place as we find it. At this time
our response to using interest rate futures would be
“No.”
Robert S. Ross, president, The City National Bank,
Shenandoah, la.; There aren’t many very good answers
to an unsatisfactory situation. What we are doing in
each loan department, where we can, is to write all loans
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on a demand basis except for those on a very short terr^
i.e., 30 or 60 days. These are on a floating rate, tied as a
rule, to New York or some form of regional prime. On
real estates we are keeping notes short with mortgages
on normal terms. We, of course, have difficulty with
installments. The head of that department, D .I?
Mullins, vice president, tries to keep interest charges at
high enough level to average out over the longer periods
of time.
Warren DeKrey, president, Dakota Northwestern
Bank, Bismarck, N.D.: Historically, we have always
been able to hit the direction of the
change in the rate market, but never
the magnitude of the change. What
we have been doing is the following:
1. In an up market we attempt to
always float the rate or shorten the
maturity on loan assets and involve
a “balloon payment” where appli­
cable.
2. On the liability side we
attempt to lengthen the maturity on
negotiable CDs by offering a small
rate inducement for investors to go long. In addition,
we will shift our marketing thrust to attract lower cost
money. This again is during an up market.
3. In a down market we attempt to lengthen the
maturity on loan assets from say 90 to 180 days and p ri||
floating notes with a floor rate. The purpose of the floor
is to protect us from an artificially low prime and allows
us not to work from an in-house or local prime rate. Since
we are not a money center bank, our cost of money never
drops as quickly or as low as the national prime wouj|
indicate we peg our loans.
4. In the down market we would also price our
negotiable certificates to encourage the investors to
shorten their maturities.
In answer to question number two about Interest R a#
Futures, we simply have not used this vehicle in the
past, but we are going to explore their use in the future.
John W. Glover, president, Community State Bank of
Rock Falls, 111.: We are in the process of limiting ^
mortgage lending to a maximum of a 5 year m aturity
We are also tying all commercial and agricultural loans
to a floating base rate, which is figured at 3% above a
forward moving average of the money market C.D. rate.
This rate is set on the second Tuesday of each month. Wq
are also trading our bond portfolio to keep our yields as
current as possible.
As far as interest rate futures are concerned, we are
looking at them as a hedge. I feel that most banks will go
this direction as soon as our regulators decide they a ^
comfortable with them.

27

Northw estern Bankers,
M eet T he Associates
Money-For-Business Team.
People VVbrth Knowing.
You’ll like do in g business with T h e Associates.
For over sixty years, o u r fin an cin g profes­
sionals have b e en h elp in g business people
— m a n u fa ctu rers, processors, w holesalers—
acquire the w orking capital they n e ed for
so u n d grow th a n d expansion.
T h ro u g h T h e A ssociates’ p articip atio n
p ro g ram s, we have h e lp e d bankers m aintain
a n d en h an ce th e ir relatio n sh ip with th e ir
custom ers. L oans are frequently m ade to
b ank custom ers th a t w ould n o t ordinarily
be possible w hen the bank is o p eratin g
in d ep endently. W ith T h e A ssociates M oneyFor-B usiness Team , bankers a re assured

th e closest businessm an-to-businessm an
coo p eratio n , com bined with decisiveness
an d professionalism .
For in fo rm atio n a b o u t o u r b an k ers’
p articipation p ro g ram s, call T h e Associates,
Business Loan Division. People w orth know ing.

T he Associates
Business Loans
-Suite 3600
55 E. M onroe StreetChicago, IL 60603
(312) 781-5800

Business Loan Offices in A tlanta, Boston, C harlotte,
C h e rry Hill, NJ, C hicago, Dallas, D etroit, H ouston, Los Angeles,
Miami, New York, St. Louis, San Francisco, Tulsa.
Associates C om m ercial C orp o ratio n is a subsidiary o f Associates C orp o ratio n o f N orth A m erica, a G ulf + W estern Com pany.


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N o rth w estern Banker, M a rch , 1981

28
CITY BANKS . . .
(Continued from page 25)

tremendous pressure on the manager to trade the market
for performance, which involves potential losses. The
yield curve has been extremely negative in slope with
any extension involving a substantial give-up in return
versus Federal Funds, Bankers Acceptances, short
municipals, etc. There has been a good supply of short
term interim financing in the municipal area that
provides 1 - IV2 % spread on a taxable equivalent basis
over comparable maturity Governments & Federal
Agencies. We certainly recommend shortening the
average life of the portfolio if fixed rates - fixed term
securities are going to be utilized. Unless progress is
made in decreasing the inflationary factor, Federal
Funds may prove to be the most prudent commitment in
1981.
We have also utilized IDA bonds with a floating rate
feature tied to a percentage of the national prime. This
provides an interest sensitive asset and generates a
corporate relationship to the bank.
We have investigated the potential application of
interest rate futures to the balance sheet but have not
utilized the application. We definitely anticipate
involvement in interest rate futures if the volatility of
interest rates continues as was experienced in 1980.
Curtis Kyhl, vice president and investment officer,
The National Bank of Waterloo, Waterloo, la.: We have
been studying the interest rate
futures for the last three years,
monitoring the prices and changes
relative to our asset and liability
requirements. We have not made a
financial commitment into the
futures as of this time, but have
done so for some trust portfolios we
manage that have a high degree of
financing risk.
We have been monitoring the
financial futures as a means of
hedging our exposure. I have attended several seminars
on investment rate futures, but do not feel comfortable
at this time to recommend the use of financial futures to
our board.
Hopefully, within the next year or so, we will be more
actively involved.

Robert A. Peterson, vice president, Security National
Bank, Sioux City, la.: Given the extreme volatility in
the money market rates, we have
intensified our asset/liability mana­
gement. Specifically, we want to
know what our bank’s interest
sensitivity is in future months. If we
have more interest sensitive assets
being repriced in the next quarter
than interest sensitive liabilities, we
know that rising interest rates will
increase our bottom line and
decreasing rates will have a negative
impact on the bottom line. There are
steps which we can take, then, either to neutralize the
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effect of interest rates on our bottom line or react to
anticipated moves in interest rates.
#
We have significantly shortened our investment
portfolio, continued to put on more floating rate loans,
and have been very hesitant to make long-term,
fixed-rate commitments of any kind. Due to the fact that
our bank has high liquidity compared to last year, m u #
of our efforts to counteract interest rate volatility is
concentrated in the 270-day and less period.
We have only standby plans to use interest rate
futures. Given the fact that we have high liquidity, we
are able to put that cash to work to accomplish whatev#
moves in interest rate we anticipate. We are very
hesitant to use interest rate futures at this time because,
frankly, we are not convinced that we know how well our
assets and liabilities hedge each other. A hedge is
wonderful unless you double up!
#
We are reserving our use of interest rate future to the
situation wherein our liquidity is extremely low and we
need to balance interest sensitivity.
Robert F. Corey, executive vice president and cashi^,
Drovers Bank of Chicago: Our immediate answer is that
we are recognizing the setting of
today. As the Reagan administra­
tion and the 97th Congress enter
their new stewardship, they are
confronted with the economy
apparently on the brink of a
material, postwar recession and a
built-in and deeply ingrained
underlying rate of inflation which is
rapidly again approaching the
double digit territory, and a promise
apparent of double digit interest
rates for years to come. These major concerns a.
coupled with a disturbingly rapid deterioration in tl
American work ethic and private sector initiative.
This nation also enters the second year of the new
decade of the 1980’s in an environment of financial
market distress and disarray, which previously h|p
somewhat been taken for granted. Many have said,
“What we need is confidence to cure some of oui
financial ills.’’ On the other hand, some say
“confidence’’ is a feeling you have before you really
understand the situation.
f
Deteriorated financial balance sheets have somewhat
become the rule - not the exception - and perhaps less
uncomfortable than would have been the case just a few
short years ago.
Bankers and many of their customers alike certainj|
can relate themselves to the aforementioned serious
problems. Trusting that most everyone will agree, thest
problems, to say the least, are quite alarming.
Drovers has recognized, and its management is
concerned about, the volatile rate changes that hai
taken place recently in the market and has reacted to this
concern by establishing as a high-priority item an asset
and liability management team. As most would realize,
an asset and liability management approach has two
fundamental aspects: (1) matching assets with liability
so that the bank is not exposing itself, in
disadvantaged manner, to future trends and interest
CITY BANKS . . .
(Turn to page 32, please)

THE NORTHWESTERN VIEW • Number Six

BANK CARDS:
MAKING PROFITS FROM
PLASTIC
Credit. Someday we may find historians
(using that single word as the watch­
word of Twentieth Century finance.
Because, in one form or another, the
development and implementation of
credit is part of what makes up modern
finance. And indeed, revolves around,
i It’s all but eliminated the need for the
presence of cash.
Of course bank cards —“ credit
cards’’ to consumers —make up a
good proportion of that credit scene.
And as society becomes more and
i more credit dependent, the bank card
will become even more important than
it is today.
One can easily see the attraction
the bank card holds to both consumers
and merchants alike. Ease of purchase
i is reason enough for both. But perhaps
not so evident is the attraction it holds
for local banks themselves.

W hy get into
bankcards?
Undoubtedly, as a local bank you’ve
probably seriously considered getting
into the bank card market — if you’re
not already. And as with most banks
making this venture, your reasons
probably fall within two categories.
One reason is a purely defensive
stance: everyone else has it. Perhaps
you fear you’ll lose some of the
business of your valued merchants
unless you implement a bank card
program. Worse, your competition will
be picking up that, and additional
business.
This is a very legitimate reason.
And, for the most part, a well-founded
reason. But it's not the best reason for
adding bank cards to your full-service
line-up.
Just as with any other service your
bank chooses to offer, the best reason
to begin a bank card program is to
make a profit.
And that’s not always easy.

Avoiding the loss leader
As an agent bank ready to begin a
bank card program, you’ll soon find
many proprietary banks don't leave you
with much room for profit.
This is because many proprietary
banks charge one overall processing
fee, regardless of how much or how
many services you use. The bank will
determine a flat percentage, and
charge you the same.
This isn’t always a detrimental
system, because some of your
customers wiji be doing the kind of
business with you that will offset that
percentage and keep your bank card
program in the black.
But in the majority of cases, most
of your customers will be doing a far
smaller volume. And at that point your
bank has suddenly turned a potential
profit center into a loss leader.

W hat to do?
Select a proprietary bank who can put
your bank card program substantially
into the black. Select a bank with a
proven system of processing and a
reliable system of processing. Select a
local bank so float can be significantly
reduced.
Select a bank that can offer you
the same type of convenience you
want to offer your customers.

ASK THE EXPERTS.
ASK US.

At Northwestern National Bank of
Minneapolis, we can offer you all this
and more.
Our fee system is different from
most other proprietary banks. Instead of
a flat percentage, we charge you only
for what services you use. And that
could mean profits for your program.
At Northwestern, our bank card
system is a proven system, developed,
refined, and implemented with
hundreds of banks throughout the
region. It’s a system that’s reliable.
What’s more, we’ll go beyond the
paper and plastic to work with you to
help you best analyze marketing
strategies. We’ll visit with your current
merchants to help you educate them
and set up new programs. We’ll train
bankers and tellers — your front line —
to help them best promote bank cards
to your customers.
When you’re looking to add bank
cards to your services, and when you
want to keep those bank cards
profitable, ask the experts. Ask us. We’ll
help you set up a program that works
for you, works for your customers,
works for your profitability. We’re on
your side.

Correspondent Banking
Department

O NORTHWESTERN
M National Bank
\áJ Of Minneapolis

Telephone (612) 372-8200


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Federal Reserve Bank of St. Louis

Banco

We take the foreign intrigue
out o f international banking.
We’ve simplified international banking
services for our correspondent banks and their
customers. For example, instead of dealing
w ith one person w hen you open a letter of
credit, and a different person the next day,
you deal w ith one individual. An international
specialist w ho handles your letters of credit
and collections from beginning to end.
Our bankers make every aspect of

international banking easier. T hey untangle
the complexities of trade finance, foreign
paym ents and money transfers, foreign
exchange, and more for you and your
customers.
Take the mystery out of international
banking. Call Bob Sherman, Correspondent
Banking Division or Jerry Langley, International
Banking Division at (312) 661-5000.

American
National Bank
and Trust Company of Chicago
33 N. LaSalle 6 0 6 9 0 / LaSalle at W acker/222S. Riverside P laza/(312)661-5000
Branch offices in London and Cayman Islands. International offices in Argentina, Brazil
Colombia, Germany, Holland, Hong Kong, Mexico. Peru and Singapore.


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Federal Reserve Bank of St. Louis

31

Diebold Delivers 6000th ATM to Florida
IEBOLD, Incorporated has
delivered its 6000th TABS®
Total Automatic Banking System.
Q The milestone unit was ordered by
Flagship Banks, Inc., and will
become the 49th TABS in Flagship’s
“24 Hour Jack” automatic banking
network in Florida.

D

Raymond Koontz (left), chmn. and c.e.o. of
d ieb o ld , Inc., is shown above with Philip F.
Searle, chmn. and c.e.o. of Flagship
Banks, Inc., Miami, who was in Canton,
Ohio, at Diebold headquarters to receive
delivery of the 600th Diebold TABS Total
Automatic Banking System. The pictured
Wtachine is the 49th Diebold unit to join
Flagship’s ATM network in Florida.

Philip F. Searle, Flagship chair­
man and chief executive officer, met
with Diebold chairman, Raymond
Koontz, at Diebold headquarters in
Canton, Ohio, to examine the new
unit.
* Flagship was one of the pioneers
m electronic banking when “24 Hour
Jack” was first introduced to
Floridians in 1973 with equipment
produced by another manufacturer.
j^The need developed for additional
!
Jcocations and more versatile and more
modem equipment. The Diebold
TABS 9000 was selected to meet this
need because we wanted to offer our
stomers a dependable electronic
banking system with the most
comprehensive services available
through a statewide ATM network,”
explained Mr. Searle. When the
Conversion is completed this spring,
the new Diebold TABS 9000 Series
Machines will have completely
replaced Flagship’s original 30 ATM
network and expanded the system to
|>5 locations throughout the state.

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Federal Reserve Bank of St. Louis

Utilizing the state-of-the-art tech­
nology of the Diebold TABS 9000,
Flagship Bank customers can
conduct a wide range of transactions
through “24 Hour Jack” automatic
tellers. The Flagship Bank “24 Hour
Jack” automatic teller machines
provide customers with access to all
their accounts with their bank, rather
than to only one checking and one
savings account. In addition, the
service can accommodate a wide
range of payment functions. More-

over the service enables Flagship
Bank customers to obtain applica­
tions for loans and credit cards and to
reorder checks by using the unique
communications capability of the “24
Hour Jack” network.
Flagship Banks, Inc. currently has
88 banking offices throughout
Florida, and is one of the state’s
largest statewide bank holding
companies. It has over $2.2 billion in
assets.
Diebold, Incorporated delivered
the first TABS system in May 1974.

Nine
to
one.
A recent national study shows that people who ask for
travelers cheques by name ask for American Express at
least 9 times more often than they ask for BankAmerica?
So if you’re not selling American Express, you’re disap­
pointing an awful lot of customers.

American Express Travelers Cheques

‘ Reliable at the 95% confidence level.
Northwestern Banker, March, 1981

32

CITY BANKS . . .
(Continued from page 28)

rates, and (2) pricing its deposits and loans so that there
is a sufficient interest rate spread.
This asset and liability management team will be
charged with, among other things, the responsibility for
developing the financial plans personally tailored to our
bank’s asset and liability structure. Specifically, this
management team should monitor the following:
1. Local and national economic conditions,
2. Trends and forecasts of interest rates,
3. Anticipated changes in the loan and investment
portfolios,
4. Anticipated changes in volume, rates, and matur­
ities in the bank’s sources of funds,
5. Mismatches in the Asset & Liability maturity
schedule,
6. Liquidity needs,
7. Capital adequacy, and
8. Cash and Float management.
It will be management’s intention, along with its
regular review of its financial plan, to include certain
“what ifs” that might take place in the marketplace,
assisting us to make the proper decision going forward,
and to identify the progress we have made in correcting
any obvious imbalances that might have taken place.
We must monitor the interest rate sensitivity of all
assets and liabilities through time and to match them as
closely as possible. Obviously, we should see early in
time the changes we might experience should rates move
materially higher or lower, and we think this will be most
beneficial.
The Chicago Board of Trade has experienced record
growth in trading volume in interest rate futures.
Forty-five million contracts were completed in 1980 and
this exceeded the previous high of 33 million in 1979, and
represented also the 11th consecutive year of record
trading volume.
It has been pointed out that financial instrument
futures trading grew to 19.5% of the Exchange’s total
trading volume in 1980, and it should also be noted that
the wide interest rate fluctuation experienced in 1980
brought many new financial instrument users into the
market.

1st Chicago Arranges
$150 Million Korea Loan
The First National Bank of Chicago
has arranged a $150 million, one-year
loan to the Korean National
Agricultural Cooperative Federation
to finance the export of U.S. rice to
Korea.
NACF is owned by 1,527
agricultural cooperative throughout
Korea. It was established in 1961 to
assist in developing Korea’s agricul­
tural industry and administering
agricultural policies of the Korean
government
The financing package was devel­
Northwestern Banker, March, 1981


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Federal Reserve Bank of St. Louis

U.S. Treasury Bond futures are now the Chicago
Board of Trade’s third most active contract, showing, i ^
turn, the largest growth in 1980. Treasury Bond volume
totalled approximately 6.5 million contracts, increasing
215% over the previous year. Drovers certainly
recognizes the importance of this financial hedge and has
begun to identify how this market can constructively b ^
used, not only for ourselves but approaching the subject
for our customer base as well.
We certainly would suggest that we should all become
more exposed to this market and develop the necessary
expertise by exploring the possibility of its application^
which we feel will prove beneficial to ourselves and the
financial community.

Richard C. Taylor, president, First National Bank;
Sioux City, la .: The high and volatile interest rates have
created serious problems for our
customers, but they can create even
greater problems for us as bankers.
The lack of stable interest rates
creates conditions and uncertainties
we must deal with on a daily basis.
We have an asset/liability
management committee, composed
of officers from all areas of
responsibility within the bank. The
principal purpose of this committee
is to minimize our exposure to the
volatility of the market. We monitor our rate-sensitiv0
assets and liabilities with the goal of maintaining our
spreads. We review historical information, current
conditions and trends to develop volume and rate
forecasts for deposits, loans and investments. These
forecasts and our assessment of changes in the interest
rate cycle are used to determine our pricing policy and
our strategy for maintaining an appropriate rate
sensitive ratio. At times we have found it necessary to
accept a smaller spread for a short period of time in order
to properly manage the gap between our rate sensitiv#
assets and liabilities.
Although we have not made use of interest rate
futures as of this time, several of our officers have
attended seminars on the subject. We are analyzing the
merits of interest rate futures but are approaching i#
with a great deal of caution due to differing accounting
interpretations and possible speculative aspects.

oped in conjunction with the U.S.
Department of Agriculture’s Com­
modity Credit Corporation GSM 102
program. The program, by providing
U.S. government loan guarantees,
generated private sector sales of
agricultural commodities of approx­
imately $700 million in fiscal 1980.
This figure could rise to $2 billion in
fiscal 1981.

Kansas Bankers Form
Own Mortgage Firm
The Kansas Bankers Association
has formed a corporation to establish
a secondary market for mortgage

loans initiated by member Kansas
banks. The new firm will be call™
KB A Mortgage Corp., a wholly
owned subsidiary of the KBA and its
member banks. Working capital will
be provided from the banks according
to deposit size. William H. Cole has
been appointed executive vice
president and manager of the
company.
It will be similar in operation to
Iowa Bankers Mortgage Corpor™
tion, established by the Iowa
Bankers Association last year as the
first such association owned corpora­
tion.
A

33

Survey Probes Community Banks
RE “Community banks” meetLing
i the management challenges
A
of the ’80s?
A recent survey conducted by the
^public accounting firm of McGladrey
Hendrickson & Co. attempts to
answer that question.
Entitled “Accounting and repor­
ting practices of community banks,”
0 the survey was mailed to nearly 2 ,0 0 0
banks with assets of $ 2 0 0 million or
less around the nation. Roughly 20 %
of the selected banks responded to the
survey, according to James M.
f|Koltveit, a partner in McGladrey’s
Rock Island, 111., office, who
coordinates the firm’s services to
banks.
The resulting 36-page report
^includes data on one-bank holding
companies, multi-bank holding com­
panies and independently-owned
banks. Of the 387 banks responding
to questions about their ownership,
►288 were independently-owned, 53
were part of a multi-bank holding
company and 46 were owned by
one-bank holding companies.
Forty-fivepercent of the banks were
►located in Midwestern states, 19.7%
in both Southeastern and Western
states and 14.1% in Northeastern
states. In assets, 40.6% reported less
than $25 million; 17% reported
►
$25-50 million; 20.7% reported
$50-100 million and 21.7% reported
$1 0 0 -2 0 0 million.
Nearly 60% of the banks reported
they offered their customers some
►
form of electronic fund transfer
service, and less than 1 0 % said they
still rely on manual data processing
systems.
Interestingly, geographic location,
►as well as asset size, figures in a
bank’s selection of data processing
services, the survey showed. While
the larger banks were more likely to
have an in-house computer, McGlad►rey’s research showed banks “located
in the Northeastern and Southeas­
tern states proportionately use more
in-house computer equipment for
their data processing needs than do
*banks in the Midwestern or Western
states.”
Nearly 40% of the banks use their
data processing systems to create
“Customer Information Files” that
centralize all records of a customers’
accounts.
But when it comes to determining
the cost of the services they provide,
only 23.4% of the community banks
' reported they used a formal cost

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Federal Reserve Bank of St. Louis

accounting system.
Nearly half (48.8%) of the banks
reported they utilize a “Customer
Profitability Analysis” to compare
the cost of their services with their
earnings on a particular customer’s
accounts. But only a third of those
using formal cost accounting systems
also used the “Customer Profitability
Analysis.”
The survey also polled the banks’
participation in trust activities,
ownership of subsidiary firms and
utilization of outside auditors, and
sampled information included in the

banks’ annual reports.
The McGladrey organization, with
50 offices in 12 states, offers a range
of financial/management assistance
including auditing, tax consulting,
specialized industry services (e.g.
banking), international services,
accounting, new business evaluation,
cost control, developing or refining
organizational structures, designing
information systems and other
on-going advisory services.
Copies of the bank survey are
available from McGladrey Hendrick­
son & Co., 525 17th St., Rock Island,
111., 61201.

Nme
to
one.
A recent national study shows that people who ask for
travelers cheques by name ask for American Express at
least 9 times more often than they ask for Citicorp? So if
you’re not selling American Express, you’re disappointing
an awful lot of customers.

American Express Travelers Cheques

*Reliable at the 95% confidence level.
Northwestern Banker, March, 1981

34

Daktronics Adds New Product Line

quarter net income advanced 20 % to
$10.5 million from $8 .7 million for the# |
period a year ago.
• Net income of the Fireman’s
Fund insurance subsidiaries rose to
$210 million for 1980, an increase of
13% over $186 million earned the#^|
previous year. Net income for the
fourth quarter increased 7.1% to $55
million from $52 million a year ago.

1st National of St. Louis
Building Topped Out

ics, Inc., Brookings, S.D., has announced the purchase of product,
patent and trademark rights to the Data-Time touch pad. Dr. Aelred Kurtenbach
(right), pres, of Daktronics, said the new swim timing systems will be added to
the firm’s current list of scoreboard and timing products. He is pictured with
Frank Kurtenbach, standard scoreboard sales mgr. The printer timing unit is
being developed currently by Daktronics in cooperation with Chronomix
Corporation of Sunnyvale, Cal., and will interface with the touch pads. The
product will be marketed under the name of Daktronics/Data Time, with
shipments commencing in early spring. Daktronics was the official supplier of
scoreboards to the 1980 Olympic Winter Games. It manufactures solid state
scoreboards for all sports, as well as time and temperature and message display
systems used by banks nationwide, voting systems for a number of state
legislative chambers, and custom designed visual display and control
equipment.

Topping-out ceremonies for the
new, 30-story First National Bank^l
Building in St. Louis were held®
recently at the site on Eighth Street
between Market and Walnut Streets
in downtown St. Louis.

American Express Earnings Are Up
MERICAN Express Company,
New York, reported a prelimin­
A
ary consolidated earnings gain of

the previous year. Fourth quarter net
income was $42 million, a 37 %, or $12
million, increase over the previous
year’s weak fourth quarter.
TRS revenues for the year were
$1.7 billion, 34% higher than
revenues of $ 1.2 billion for 1979.
Contributing to revenue increases for
the year were outstanding growth in
Card charge volume, solid gains in
Cardmembership in the U.S. and
internationally, and increases in the
U.S. and Canadian Cardmembership
fees. Card charge volume advanced
32 % , the highest annual increase in
more than a decade. Worldwide
Cardmembership reached 11.9 mil­
lion, a gain of 13 % over a year ago. In
addition, continued growth in
Travelers Cheque sales worldwide
helped to produce a 7.6% increase in
average Travelers Cheques outstan­
ding, which amounted to $2.5 billion
for the year. First Data Resources
Inc., a provider of data-based
services to financial institutions
which was acquired in January 1980,
also contributed to the overall 1980
TRS revenue increase.

9.0% for 1980, the thirty-third
consecutive year of increased net
income and earnings per share.
Net income for the year was $376
million, or $5.27 per share, compared
with $345 million, or $4.83 per share,
for 1979. Consolidated revenues for
the year were $5.5 billion, compared
with $4.7 billion the previous year, an
increase of 18%.
Fourth quarter net income rose
13% to $92 million, or $1.30 per
share, compared with $82 million, or
$1.15 per share, for the period a year
ago. Revenues for the quarter
advanced 17% to $1.5 billion from
$1 .2 billion for the year-earlier period.
“During the year, the Company
successfully met challenges created
by double-digit inflation, volatile
interest rates, increasing energy
costs and the continuing downturn in
the insurance cycle,” said James D.
Robinson II, Chairman of American
Express Company. “Our favorable
performance demonstrates the resil­
ience of our basic businesses in a
difficult economic environment.”
• Net income from International
• Net income of Travel Related Banking Services rose to $41 million
Services was $177 million for 1980, a for 1980, an increase of 15 % from $35
gain of 17% over $151 million earned million earned in 1979. Fourth
Northwestern
Banker, March, 1981

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Federal Reserve Bank of St. Louis

A TOAST— Missouri Gov. Christopher S.(
Bond, (center), St. Louis Mayor James F.
Conway (left), and Clarence C. Barksdale,
chmn. First National Bank in St. Louis,
toast the successful topping out of the new
First National Bank Building.

The final steel girder was pulled to
the site by a pair of Anheuser-Busch
Clydesdales, and then hoisted by
construction crane to the top.
The project—the largest building#]
of its type in the state—is a
tri-venture of First National Bank in
St. Louis, International Business
Machines Corporation and The
Equitable Life Assurance Society of<
the United States. Clarence C.
Barksdale, chairman of First Nation­
al, was master of cermonies.

Will Buy Foreclosure
Merchandise from Banks
A specialized purchasing depart­
ment with exclusive responsibility for
buying foreclosure merchandise from
financial institutions, has been
formed by M.F. Bank & Company,
Inc., Minneapolis, largest indepen­
dent in its industry.

35

# Nuveen Reviews Municipal Issues
NCOME from municipal bonds
owned by banks at year-end lagged
30% behind available market yields,
#John Nuveen & Co. Incorporated
found in its 12 th semi-annual survey
of commercial banks throughout the
country.
“Bank portfolio managers have
#their rebuilding work cut out for
them,” commented Gerald S. Rob­
erts, vice president, manager of
Nuveen’s protfolio management
systems, who conducted the study of
# 1 0 0 commercial bank bond accounts.
Holding bonds to maturity is
becoming a discarded portfolio
strategy, according to survey
findings. Mr. Roberts predicted that
^holding periods will be determined by
anticipated rate cycles and spread
management forecasts. (Spread is the
net difference between the cost and
use of funds.)
>
“A strategy for the 80’s would
consider bond portfolios as a means of
‘leasing’ tax-free income,” Mr.
Roberts said. “This shift in
Ijperception could make the bond
account a more efficient earnings
tool. Under a strategy of flexible,
opportunistic portfolio management,
banks would step up their buy, sell
#and swap programs.”
Based on survey responses, Mr.
Robertsexpects banks to become more
active in bond swapping as the bond
markets improve (as interest rates
come down and bond prices rise).
Highonthe list of purchase candidates
will be issues from energy-rich states:
Alaska, Florida, Kentucky, Louisi­
ana, Montana, New Mexico, Okla­
h o m a , Texas, West Virginia and
Wyoming.
Mr. Roberts believes that munici­
pal bond issues will be increasingly
structured to buyers’ requirements,
including banks preference for issues
of no longer than 1 0 -year maturities.
“More innovations such as put
options, variable rates and warrants
.will be introduced,” Mr. Roberts
said. (A “put” option gives the buyer
the right to sell a long-term bond at
par before maturity, i.e. after 5 years
or annually thereafter with 60 days
lotice.)
Mr. Roberts also foresees greater
use of financial futures to hedge
banks’ investment accounts. He
estimated that only the larger banks
f the Nation’s 14,000 commercial
anks utilize financial futures as a

I


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Federal Reserve Bank of St. Louis

risk management technique.
The 100 banks represented in the
Nuveen Portfolio Management Sys­
tems survey held $1 2 .6 billion of
municipal securities as of December
31, 1980—representing 8 V2 % of the
total municipal bonds held by
commercial banks. The average
municipal bond account was $1.15
billion. Banks ranged in size from $5
billion in total assets to $25 million.
Excluded from the survey are New
York City and Chicago banks.

New NABW Treasurer
The National Association of Bank
Women, Inc. president, Jane
McGavock Smith, announced that
Carol L. Korda has been appointed to
the position of NABW treasurer for
the 1981 year.
Ms. Korda, assistant vice presi­
dent of portfolio management, First
Bank Systems, Inc., Minneapolis,
Minn, becomes treasurer after having
served as chairman of NABW’s
Finance Committee and bank educa­
tion degree program advisor for
NABW’s Educational Foundation.

A recent national study shows that people who ask for
travelers cheques by name ask for American Express at
least 11 times more often than they ask for Barclays? So if
you’re not selling American Express, you’re disappointing
an awful lot of customers.

American Express Travelers Cheques

*Reliable at the 95% confidence level.
Northwestern Banker, March, 1981

36

John Burt Retires As
Regional Administrator

Beryl Sprinkel
is named
Undersecretary
of
Monetary Affairs
BERYL W. SPRINKEL

PROMINENT Chicago banker, Dr. Beryl W. Sprinkel has been
appointed Undersecretary of the Treasury for Monetary Affairs
A
by President Ronald Reagan. He has served Harris Bank as director
of the economic research office.
Commenting on Dr. Sprinkel’s high level appointment in the new
administration in Washington, D.C., Charles M. Bliss, chairman and
chief executive officer of Harris Bank, stated:
“For 28 years, Beryl Sprinkel was Harris Bank’s unofficial
ambassador, maintaining a speaking schedule that took him all over
the United States and to many foreign countries. We were indeed
fortunate to have Beryl with us for so many years; his contributions to
the bank have been substantial.
“Beryl’s appointment as Undersecretary of the Treasury for
Monetary Affairs does him great honor, and reflects credit on our
institution as well. I am enormously proud of his success and, like all
his colleagues at Harris Bank, wish him well in his new post. I can
think of no one who is better prepared to assume the demanding duties
of that office than Beryl Sprinkel. The nation will surely gain by his
service.’’
Mr. Bliss announced that Robert J. Genetski, vice president and
economist, has been appointed to succeed Dr. Sprinkel as director of
the economic research office. Mr. Genetski joined
Harris Bank in 1971. He authors the bank’s
monthly economic newsletter, “Barometer of
Business,’’ and is a panelist on the bank’s
nationally circulated monthly cassette series,
“Harris Sound of Business.’’ With Sprinkel, he is
co-author of a book entitled, “Winning with
Money,’’ published by Dow Jones-Irwin, Inc.
Before joining the bank Mr. Genetski was a
research analyst with National Economics
Research Associates, New York, and an
economist with Morgan Guaranty Trust
Company, New York. He has lectured at New York University, the
University of Chicago, and at the National Trust School sponsored by
ABA at Northwestern University in Evanston.
He earned his Ph.D. and M.A. degrees in economics at New York
University after receiving his B.S. degree from Eastern Illinois
University, Charleston. His fields of specialization include business
cycles and forecasting and monetary theory and policy.

DigitizedNorthwestern
for FRASERBanker, March, 1981
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Federal Reserve Bank of St. Louis

*

John R. Burt retired last month
after more than 31 years of service in
the office of the
Comptroller of
th e C u rre n c y .
Mr. B urt has
been regional ad­
m in istrato r of
the Tenth Na­
tional Bank Re­
gion in Kansas
City since Janu­
ary, 1968, follow­
J.R. BURT
ing a three and
one-half year assignment as deputy
regional administrator in that office.
From July, 1978, to June, 1979,
Mr. Burt was on leave from his
Kansas City assignment to serve a #
acting regional administrator of the
Second National Bank Region in New
York City.
A native of Albion, Nebr., he
received his BS in B u sin esl
Administration from the University
of Nebraska, then worked a year for
the Albion National Bank before
joining the OCC. He received his
commission as a national banl#
examiner in 1955. Early in his career
he served as examiner-in-charge of
subregional offices in Clinton, Okla.,
as well as in Lincoln and Omaha.
In 1975 Mr. Burt was honored w itl^
the D epartm ent of T reasu ry ’s
M eritorious Service Award for
sustained superior performance in
formulating and maintaining un­
usually high standards of banl^
supervision. In 1979 he received a
Special Achievement Award for
outstanding work during his assign­
ment in New York City. Later in 1979
he joined the federal Senior E xecutiv^
Service, the senior level group of
federal administrators.
John W. Rogers, deputy regional
administrator under Mr. Burt, will
act as regional administrator untir
Mr. Burt’s successor is named.

Continental Bank Will
Open Puerto Rico Office
Continental Illinois National Bank
and Trust Company of Chicago has
announced plans to open a wholesale
branch in Puerto Rico in early 1981,
becoming the fourth U.S. bank ancj^
only Midwestern bank with a
presence on the island. The office will
be located in the Mercantil Plaza
Building on Ponce de Leon Avenue in
the Hato Rey financial district of Sar0
Juan.

37

introduced at the 1981 convention
meeting of the council March 22 at
Commercial & Farmers Bank, the Las Vegas Hilton Hotel,
Executive Director Howard Bell
Ellicott City.
Mississippi—F.J. Rein, Brook- announced.
haven Bank & Trust Company.
Montana—A.J. “Jack” King, Continental Will Open
Valley Bank of Kalispell.
Ohio—J. Richard Pollock, Union South American Officers
Continental Illinois National Bank
Bank and Savings Company, Belle­
and Trust Company of Chicago
vue.
Vermont—Howard L. McDonald, recently announced plans to open
First National Bank of Vermont, branches in Buenos Aires, Argen­
tina, in December and in Santiago,
Springfield.
Wyoming—G.W.
Mcllvaine, Chile, in January to engage in
wholesale banking activities in the
Saratoga State Bank.
The new directors will be commercial and interbank markets.

J st Chicago Unveils Correspondent Service
HE First National Bank of
T
Chicago has announced TransCheck Optimizer, a new service for
^jrrespondent banks that upgrades
check clearing procedures.
The pilot system, offered jointly by
the bank and University Analytics,
Inc., can be used to evaluate the
effects of changes in availability
schedules and the Federal Reserve’s
check processing charges that will
take effect later this year under the
Monetary Control Act of 1980.
0 The heart of the sophisticated
model is a series of reports that are
used during a four-phase study
program to examine and improve a
bank’s check clearing system.
0 “TransCheck Optimizer can save a
bank substantial dollars through
float reduction,” explained Dan
Ferguson, head of cash management
consulting services for the bank.
©First Chicago’s Consulting Services
Staff will analyze a bank’s check
clearing network through the model,
and will assist in implementing a
more efficient check processing
©ystem,” he added.
The service reflects the bank’s
strong focus on correspondent
banking needs.

een

©BAA Elects Directors
Member banks in 13 states have
chosen their representatives to serve
on the executive council of the
Jndependent Bankers Association of
Am erica for a three-year term which
began January 5, 1981. The term
continues to January 2, 1984.
Votes cast in triennial mail poll
-were tallied at IBAA headquarters in
^ a u k Centre, Minn. Director elec­
tions are held annually in one-third of
the states in which the association
has membership. There are 7,400
J|P<:ember banks nationwide.
Four directors reelected are: John
B. Barnett Jr., Monroeville, Ala.;
J.W. “Bill” Grant, Madison, Fla.;
Keith W. Campbell, Sheldon, la.,
^m d David A. Hunsucker, Catawba,
% .C .
New directors were named in nine
states as follows:
Illinois—B.F. “Chip” Backlund,
^Bartonville Bank.
Kansas—John F. Suellentrop,
State Bank of Colwich.
Kentucky—Henry A. Taylor,
First Security Bank of McLean
flpounty, Island.
Maryland—John S. Whiteside,

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Federal Reserve Bank of St. Louis

A re c e n t n a tio n a l study shows th a t people w ho ask for
travelers cheques by n am e ask for A m erican Express at
least 16 tim es m ore often th a n they ask for Visa? S o if
you’re n o t selling A m erican Express, you’re disappointing
a n awful lot o f custom ers.

»IWIERIQOJSIB
■EXRRESS

Am erican Express Travelers Cheques

*Reliable at the 95% confidence level.

Northwestern Banker, March, 1981

38
SUCCESS STORY . . .
(Continued from page 2 2 )

advantage of new attractive business situations so
important for future growth.
Independent finance organizations like Associates
Corp. of North America and its commercial finance
subsidiary, Associates Commercial Corp., often work in
partnership with regional banks to meet the financing
needs of small- and medium-sized borrowers. Perhaps
the most important aspect of this partnership is the
financing flexibility borrowers can receive at
competitive rates. An added advantage is that these
growing companies can tap an open line of credit, when
they need it, without compensating balances.
Participation Increases Credit
Asset-based lenders and banks who participate as
partners in a financing package often are able to extend
more credit than an unsecured lender because of the
security provided by the pledged assets of the
borrowers. Perhaps that is why today, more than ever
before, banks and independent finance companies are
entering financing partnerships to help growing
businesses like Louis Rich.
The flexibility of asset-based lending is evident in how
Louis Rich applied the $17.3 million loan and expanded
this line of credit while maintaining private ownership
and fostering growth.
Soon after obtaining the initial credit line, the
company endured a depressed market for its products
and a pre-tax loss of $1.5 million in the first half of fiscal
year ending March, 1978. By the end of that year,
however, the company realized a $350,000 profit on sales
of $123 million.
The pattern of sales growth seemed set and the
company sought and increased its credit line to $22
million in September, 1978 and to $28 million in June,
1979.

Ratios Not the Only Measure
For growth-oriented companies seeking capita^
asset-based lenders look to balance sheets, but lending
decisions are based on much more than ratios. Lenders
carefully scrutinize the quality of a company’s assets, its
prospects for future development and success. Perhaps
more important is the dedication of its management
set and meet both short- and long-range goals.
For the president or corporate treasurer of a small- or
medium- sized business, there are several other
attractive aspects of asset-based financing that may be
of particular interest.
®
Asset-based loans may be secured by all or a portion of
a company’s assets. Companies have utilized these
funds to finance acquisitions, stabilize an established or
seasonal business, or to meet important cash-flow
needs.
®
A company may receive as much as 75 to 85% of its
outstanding receivables and 50 to 55 % of inventory used
as collateral. Asset-based loans are more flexible than
traditional loans because they are repaid on a revolving
basis. Funds often are more readily available to
businesses as interest rates climb because asset-based
loans rates float with the prime.
Attractive Alternative
G
For these and other reasons, asset-based financing is
fast becoming an attractive alternative for business
whose goal it is to achieve the kind of success that Louis
Rich, Inc. has.
The Louis Rich, Inc. success was the result ¿P
management’s innovation, the concentration of
resources to meet consumer needs and its determination
to build for growth. But this “ success story’’ does not
end here. In 1980, Louis Rich Inc. was bought by Oscar
Mayer & Company for $29 million worth of Oscar May ®
stock.
I t ’s these kinds of results that underscore the
flexibility of asset-based lending services and the
potential they can provide to growing companies.
Q

ALTERNATE FINANCING . . .
(Continued from page 23)

virtually choose the degree of security needed and find it
available.
□

because the bank, the bank’s customers and the
collateral management company work together as a
team.
Benefits to All Parties
The bank benefits by minimizing risks, broadening its
earning base and increasing its credit extending
capacity. The bank’s customer benefits from credit
availability, less costly bank financing and increased
profit margins. The collateral management specialist
will provide the valuable assistance for banks wanting to
make profitable secured loans.
The services of the collateral management company
have greatly expanded over the past 10 years and even
more so within the last five years. The services include
bank participation leasing, field warehousing for the
growing demand of banker’s acceptance financing, as
well as audits of inventory and/or accounts receivable on
anything from a one time report, with no continuing
liability on the part of the collateral management
company, to the full and on-going guarantees of
collateral management pledged for loans. The lender can

PARTICIPATION . . .
(Continued from page 2 1 )

DigitizedNorthwestern
for FRASERBanker, March, 1981
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Federal Reserve Bank of St. Louis

•

improving the quality of its product and helping it keep
pace with competition.
By improving its operations, this firm remained £
leader in its industry, met the needs of its consumers and
created more jobs for the community in which it is
located. In addition to increased purchases made within
the community by the company and its employees, the
firm now generates additional tax revenue which lessen®
the burden on the area’s taxpayers.
A Service Whose Time Has Come
Clearly then, secured lending is a service whose time
has come. Business in general has developed a great^|
acceptance of it. Banks are calling in such lenders more
often to participate, and business lenders have improved
their ability to provide the service required to meet
current business demands.
It is truly a service which can expand a bank’^
capabilities —no matter what the economy looks like. U

39

Announces Credit Conference Program
OMMERCIAL lenders must
learn how to survive in a
world of narrowing interest margins,
shorter-lived and more expensive
"deposits and increasing competition
if they want to be a continuing source
of profitability for their banks,”
stated M. Brock Weir, chairman of
the Commercial Lending Division of
'the American Bankers Association
and chairman, AmeriTrust Com­
pany, Cleveland, Oh.
Announcing the advance program
.for the 33rd N ational Credit
^Conference, March 22-24, at the
Chicago Marriott, Mr. Weir said that
more than 1 ,0 0 0 senior leaders are
expected to attend and will have the
^opportunity to explore in depth the
internal and external factors that will
affect credit availability, quality, risk
and loan profitability in the coming
year.

“C

F.H. SCHULTZ

L. GUNDERSON

General session speakers on the
1981 program include: Frederick
Schultz, vice chairman, Board of
Governors, Federal Reserve System;
Lee E. Gunderson, president of ABA
and president of the Bank of Osceola,
Wis.; and Harry Keefe, president of
Keefe, Bruyette and Woods, Inc.,
New York.
Recognizing the specialized needs
of different-sized banks, two confer­
ence workshops will be subdivided
• according to deposit size. These are
on “Asset/Liability Management
After Deregulation” and “Adequacy
of Loan Loss Reserves.”
^

^
^

^
w

To be covered in a series of special
interest sessions on Monday after­
noon, March 23, are topics such as
in terest rate futures, corporate
bankruptcy, predicting loan losses,
industrial revenue bonds, corporate
financial services and automation
demands of the commercial lender.
Then a second set of small group
discussions will follow featuring
interbank lending, international


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Federal Reserve Bank of St. Louis

lending, synthetic fuel/ener^y finan­
cing, equipment leasing and structuring/documenting loans and revol­
vers.
A roundtable format encouraging
banker participation will be incorpor­
ated on Tuesday afternoon, and a
multitude of subjects will be offered,
including loan negotiation tech­
niques, problem loans, energy
financing, accounting standards and
exam procedures.

“This vast array of general and
specially -targeted ses sions—more
than 40 in all—will insure that
lenders who attend the National
Credit Conference will walk away
with valuable knowledge that they
will be able to utilize in their banks,”
Mr. Weir emphasized.
Registration forms for the ABA
N ational Credit Conference are
available by writing to the Commer­
cial Lending Division, American
Bankers Association, 1120 Connecti­
cut Avenue, NW, Washington, DC.

Sixteen
to
one
A re c e n t n a tio n a l study shows th a t people w ho ask for
travelers cheques by n am e ask for A m erican Express at
least 16 tim es m ore often th a n they ask for T h o m as C o o k f
So if you’re n o t selling A m erican Express, you’re disap­
p o in tin g a n awful lot o f custom ers.

Am erican Express Travelers Cheques

‘ Reliable at the 95% confidence level.

Northwestern Banker, March, 1981

40

Does your correspondent bank
minimize float in
check clearing?

A Mercantile Banker
m akes it sm ooth-sailing.
If check clearing were a one-bank
operation, it would be easy. But it
isn’t. It takes a solid, broad-based
organization.
Mercantile has that organization —
one set up to handle the two most im­
portant elements in the check clear­
ing process.
Availability. First, there’s our
geographical convenience. We
operate four regional computer
centers to speed processing: Kansas
City, Macon, Springfield and St. Louis.

Central Group, Banking Dept.
Mercantile Trust Company N.A.
St. Louis, MO. (314) 425-2404
N orth
estern Banker, M a rch , 1981
Digitized
forwFRASER
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Federal Reserve Bank of St. Louis

Over 200 direct send points to collect
checks drawn on distant locations in
a hurry. We continually keep tabs on
airline schedules for daily deliveries to
major banks around the country as
well as to “ remote disbursement”
banks.
Float. Just as important, Mercantile
experts can provide fast, accurate
cash letter analysis. And they’ll
recommend ways to cut float to rock
bottom. Another tool is the automated
balance reporting system we make
available to our customers.

Technology plays a big role, too. Our
high-speed computers work 24 hours,
processing 500,000 items every day.
That’s why, on the average, your
checks will clear in less than 0.9 days.
All in all, 1600 Mercantile employees
are ready to help make your check
clearing job smooth-sailing. And
that’s just one of the many cor­
respondent services we provide.
To find out more about us, call a
Mercantile Banker today.

W e ’re w ith you.

•

MERCRflTILE
B R fK

.

41

in 1964 as assistant cashier. Ms.
Guilinger, who has been associated
with the Trust Bank since 1949, was
named assistant cashier in 1979.

Beaulieu Elected Director

Evergreen Park Promotions
Martin Ozinga, Jr., president of
the First National Bank of Evergreen
OPark, has announced the following
promotions: Mary Ann Ball, assis­
tant cashier; Terry L. Blummer, vice
president; Linda Heide, personal
banking officer; John Cronin, vice

M.A. BALL

T. BLUMMER

John H. Beaulieu, president of
Glenview State Bank, has been
elected to the board of directors of the
Association for Shared Electronic
Funds Transfer, also known as the
president; Terrence Healy, vice Money Network. The Network is a
president; Barbara Heidegger, per­ not-for-profit organization composed
sonal banking officer; Kevin Mavity, of 14 Chicago metropolitan area
assistant vice president, and Carol financial institutions that are work­
Overzet, computer operations officer. ing together to establish a network of
automated teller machines.
Other financial institutions are
expected to join the system as
Amalgamated Trust Elects
licensees by applying to the
Two New Vice Presidents
association’s board of directors and
Robert D. Gecht and John S. Pope meeting a modest fee requirement.
were elected vice presidents of
Amalgamated Trust & Savings
Sears Bank Promotions
Bank, Chicago.
Emory Williams, chairman and
In addition, the bank promoted
five other individuals: Patricia A. chief executive officer, Sears Bank
Levine to assistant manager, person­ and Trust Company of Chicago, has
al banking department; Beulah announced the following promotions:
Horton to assistant manager, Roger Johnson, second vice presi­
business services; Julie Marinich to dent, operations division; Martha
manager, teller operations; Edmund Huhta, assistant vice president,
Szefc to manager, teller operations, personal banking division; Alice
and Karen Slotnick to assistant
manager, teller operations.
Mr. Gecht, who joined the bank in
April 1980 as a management trainee
and attorney, is a cum laude graduate
of Harvard College. He received his
MBA from the University of Chicago
Graduate School of Business and his
law degree from the University of
Chicago Law School. Mr. Gecht
serves in the commercial loan
R. JOHNSON
M. HUHTA
department.
Mr. Pope, who joined the bank in
March 1979 as assistant vice
president and assistant general
counsel, is a graduate of the
University of Dayton. He received
his law degree from John Marshall
Law School, Chicago, and his MBA
from the University of Chicago
Graduate School of Business. Mr.
. ráásmMvM
MmmM
Pope will head trust administration.
A. JOSS

Elected at Monmouth Trust

K. MAVITY

C. OVERZET


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Federal Reserve Bank of St. Louis

Mark Pingrey, president of the
Monmouth Trust and Savings Bank,
has announced Tom Johnson has
been elected executive vice president
and Ruth Guilinger has been named
cashier.
Mr. Johnson joined the Trust Bank

B.G. LEVITT

Joss, assistant vice president,
investment division; Barton G.
Levitt, assistant vice president,
executive division; Barbara Cleven­
ger, corporate trust officer; Sherrell
Coutain, retirement benefits officer,
trust division; Lynne Brongel,
assistant controller, finance division,
and Peggy Thomas, audit manager,
finance division.
Northwestern Banker, March, 1981

42

Illinois N ew s

manager of The Money System. She
joined First National Bank in 1971. <D
Other promotions include John L.
EPOSIT and loan figures for Illinois banks reporting $200 million or Wickman to trust operations officer
more deposits are shown in the chart below as reported at year-end. and Larry L. Stewart to data
Comparative figures for a year earlier also are reported.
processing operations officer.

Largest Banks in Illinois

D

(Last three figures omitted)

1.
2.
3.
4.
5.
6.
7.
8.
9.
10 .
11 .
12.
13.
14.
15.
16.
17.
18.
19.

20 .
21 .
22 .
23.
24.
25.
26.
27.
28.
29.
30.
31.

December 31,1980
December 31,1979
Deposits
Loans
Deposits
Loans
Continental Natl. B&T, Chicago .. . $27,313,667$27,629,701 $24,007,200$23,791,380
First Natl., C hicago ....................... . . 21,361,154 16,788,573 21,106,060 15,563,358
4,760,948 3,445,371
4,542,405 3,241,837
Harris Bank, Chicago....................
4,164,617 2,890,320 3,919,959 2,412,658
Northern Trust, C h ic a g o ..............
1,968,953 1,148,396 1,895,400 1,069,288
American Natl. B&T, Chicago . . . .
880,502
665,681
781,196
584,137
LaSalle Natl., Chicago..................
472,585
404,311
521,663
Central Natl., C hicago..................
389,976
438,719
291,024
363,590
268,741
Exchange Natl., Chicago..............
415,947
292,733
357,840
303,427
Springfield Marine Bank ..............
411,556
160,222
390,800
Lake View T&S, C h ic a g o ..............
203,500
378,273
273,169
Sears B&T, Chicago.......................
385,180
275,896
223,786
353,408
Northwest Natl., C hicago ............ . . . . 355,670
237,190
123,532
249,062
BankforS&Ls, Chicago................ . . . . 326,374
115,613
322,795
242,901
Citizens B&T, Park Ridge..............
332,645
238,896
208,542
347,958
214,941
Natl. Blvd. Bank, C hicago............ . . . . 322,580
304,801
241,336
Glenview State Bk., Glenview . . . .
260,543
211,280
237,724
301,957
Commercial Natl., P e o ria ............ . . . . 302,072
243,179
180,321
251,226
183,609
First Natl. B&T, Evanston............ .. . . 276,420
134,174
First Natl., Evergreen Park............ ___ 275,455
248,611
133,816
178,301
280,640
Pioneer B&T, C hicago .................. . . . . 268,813
187,267
178,697
First Natl., Springfield.................. . . . . 256,326
257,786
185,485
223,724
Chicago-Tokyo B a n k .................... ___ 249,954
231,305
200,066
American Natl. B&T, Rockford . . . . . . . 249,243
138,020
219,615
140,583
Lake Shore Natl., Chicago............ ___ 244,443
184,438
240,906
183,635
Oak Park T&S, Oak P ark................ . . . . 231,789
115,339
223,505
104,877
State Natl., Evanston..................... . . . . 228,752
146,669
208,672
147,377
Mount Prospect State Bk............... . . . . 226,029
164,001
211,907
146,691
First Natl., Skokie........................... . . . . 223,644
143,506
228,138
147,379
Illinois Natl. B&T, Rockford ........ ___ 212,371
76,692
187,405
84,377
First Natl., Des P la in e s ................ . . . . 211,088
106,534
202,978
113,701
Heritage/Pullman B&T, Chicago . ___ 205,404
125,470
200,000
138,167

Astoria Charter issued
A charter has been issued to the
Farmers State Bank & Trust
Company of Astoria according to
William C. Harris, commissioner of
banks and trust companies.
The state bank’s total capitaliza­
tion $ 1 ,0 0 0 ,0 0 0 will consist of
$300,000 in capital stock; $300,000 in
surplus and $400,000 reserve for
operating expense. There will be
2 0 ,0 0 0 shares of stock with a par
value of $15 each.
Officers are: James E. White,
president; Charles R. Davis, execu­
tive vice president; Jerry Trower,
vice president and cashier, and Sara
Conlin, assistant cashier.
Directors are: Charles R. Davis,
Bartonville; Dennis W. Gorman, Jr.,
James E. White, Quincy; Jon
Mummert and Kenneth K. Stevens,
Astoria.

New Directors at Skokie

Central National Addition
Don E. Cousins, president of the
Central National Bank of Sterling,
has announced
the addition of
Andrew R. Cullum, senior vice
president, to the
staff. He will be
responsible for
the area of busi­
ness
develop­
ment. Mr. Cullum was formerly
associated with
A- CULLUM
the National Bank of South Bend,
Ind.

AMBI Creates New School
Plans for the creation of a two-year
“Executive Graduate School of
Banking’’ sponsored by the Associa­
tion for Modern Banking in Illinois®
has been announced by Charles L.
Daily, chairman.
The school, to be held two weeks
each year, beginning July 11-23,
1982, will be located on the campus of®
the U niversity of Illinois in
Champaign. It will be open to both
member and non-member banks.

Erman G. Kramer, chairman and
chief executive officer of the First
National Bank of Skokie, announces
the election to the board of directors
of Lawrence F. Nein, president of Hickory Hills Promotions
Sargent-Welch Scientific Co., and
James H. Olis, executive vice
James G. Davis, president and chief
president
of Burbank State Bank of
executive officer of Aparacor.
Hickory Hills, has announced three
promotions. Kenneth C. Kline has
Rockford Promotions
advanced from cashier to vice
Howard Bell, president of First president and cashier. He joined the
National Bank of Rockford, has bank in October 1978. Mr. Kline
announced several promotions and a received a BS degree from Loyola
retirement.
University.
Ralph Dyreson, senior vice presi­
Debra A. Nies has been promoted
dent of the consumer credit from operations officer to assistant
department, has recently retired. Mr. cashier. She has held a succession of
Dyreson began his banking career in positions since joining the bank in
1949, and joined First National in December 1975. Mrs. Nies graduated
1958.
from Southern Illinois University
Carl Accardo, vice president, has with a BS degree.
been appointed to succeed Mr.
Dyreson as head of the consumer
H.C. Application Denied
®
credit department. Mr. Accardo Criquelion Named Director
The Federal Reserve Board on joined First National in 1956, and is a
Marceau Criquelion, executive vice
January 30 denied the application of graduate of Northern Illinois Univer­ president of the State Bank of
Batavia Banc Corporation, Chicago, sity.
Auburn since 1966, has been named
to become a bank holding company
Nancy Robertson has been promo­ to the board of directors. He replaces ^
by acquiring Batavia Bank, Batavia. ted to assistant vice president and A.J. Rutkoski, who died in late 1980.

Northwestern
Banker, March, 1981

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Federal Reserve Bank of St. Louis

43

Uncertainty.

These are uncertain
times. We have been
in a serious recession,
but we’re not sure
how deep it has been
or how fast we are
climbing out. Money
rates reached
unheard of heights,
but we don’t know
how much they will
drop or if they will drop
back to normal. Some of our
large, basic industries are in
trouble. Our economic stability is
dependent on a steady flow of
petroleum imports which may or
may not prove dependable.
All of this uncertainty makes
business lending very difficult.

However, SLT can
eliminate some of the
uncertainty that lenders
face by guaranteeing
your customers’ inventory
as pledged collateral.
For over 50 years, we
have worked with
s and commercial
lenders to collateralize
loans and make lending
safer and more profitable.
Give us a call; we can eliminate
uncertainty from your
loan portfolio.

SLT WAREHOUSE COMPANY
P 0 Bo* 242. St Louis. M o . 63166 • 314/241-9750 • Offices in Maior Cities
N A T IO N W ID E C O L L A T E R A L C O N T R O L S E R V IC E S


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Federal Reserve Bank of St. Louis

N o rth w estern Banker, M arch , 1981

44

Julie Hanson, Correspondent Banking Division Assistant (612) 291-5586

“By helping your correspondent banker,
Fm helping you even m ore.”
“ As a C orrespondent Banking Division
Assistant, my job is to help our Correspondent
Bankers find the best solutions to our
custom er’s banking problems.
“ This means preparing groundw ork for five
year development plans, financial statements,
and cash m anagement reporting systems. It also
means considering how to minimize the float in
a custom er’s correspondent account. Or
whether to use lock box accounts to reduce
float.
“ A nd, if a customer has questions about
check clearing, financial regulations, acquiring
a bank or overline participations, I can use the
full resources o f First Bank Saint Paul to find
the answers fast.
N orth
estern Banker, M arch , 1981
Digitized
forwFRASER
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Federal Reserve Bank of St. Louis

“ We know there are no pat solutions to
today’s banking problems. But we can give the
best help possible. A nd th a t’s really what my
job is about. People helping one another to get
things done.”

♦

First Bank
Saint Paul

Correspondent Bank Division

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

45

Board members are Mr. McCoy,
chairman; Mr. Williams; Mr. Her­
manson; Wayne Rogge, and Wilford
Miller.

Applications Approved

Promoted in Maple Grove
James Heig, president of North^ western State Bank Northwest in
Maple Grove, announced that
Michael A. Bue and William R.
Belford were elected senior vice
presidents and Roger L. Helm and
£ Shirley A. Brinks vice presidents.

Mr. Meadley, also senior vice
president of the National City Bank,
Minneapolis, said the committee
reviewed a survey conducted by the
MBA last fall to determine the need
and content of a program. The survey
indicated an overwhelming need to
hold regional workshops with the
focus on Future Maturity Considera­
tions, Economics of Profit and Loss
in Bond Portfolio, and GAP
Management - Interest Sensitivity.
Plans for the workships are now being
finalized.

New Crookston Officers

0

(II

0

0

•

®

®

Newly-elected officers at the
Crookston National Bank are Peter
M.A. BUE
W.R. BELFORD
A. Carlson, president and chairman
of
the board; Robert R. Sobolik,
Mr. Bue joined the bank in 1974 as
executive
vice president and trust
a vice president and is responsible for
officer; Connie Grivno, promoted
loan administration.
Mr. Belford joined the bank in 1973 from cashier to instalment loan
as operations officer and was named officer and assistant trust officer, and
vice president in 1977. His responsi­ Margee Keller, promoted from
bilities are operations and personnel. assistant cashier to cashier.
Newly-elected directors are Mr.
Mr. Helm joined the bank in 1976
as an assistant vice president and is Carlson; Mr. Sobolik; Delton Roelofs, president of Red River
responsible for real estate lending.
Mrs. Brinks joined the bank in Distributors, Inc., and James A.
1968. She was elected assistant vice Breyer, comptroller of Minn-Dak
president in 1978 and her responsibil­ Growers Association of Grand Forks,
ities are branch operations and N.D.
marketing.
Mr. Heig also announced the Holding Company Approved
The Federal Reserve Bank of
election of Janet M. Ardolf as human
resource officer and Sue E . Muecke as Minneapolis has announced its
approval of the application by Cokato
instalment banking officer.
Bancshares, Inc., Cokato, to become
a bank holding company through the
acquisition of the State Bank of
MBA to Hold Workshops
Minnesota Bankers Association Cokato.
investments committee chairman
Walter Meadley announced the Boyd Bank Purchased
The State Bank of Boyd has been
development of three investments
workshops to be held in Minnesota purchased by Keith Williams, Leland
this spring. He said the first will be at McCoy and Craig Hermanson.
Mr. Williams has been named
the Holiday Inn North, Mankato, on
April 28, the second at the Hilton Inn president; Mr. Hermanson, vice
in Minneapolis on April 29, and the president; Carol Nehring, cashier;
concluding workshop at the Holiday Kay Quenemoen and LeVilla Saue,
Inn in Brainerd on April 30.
assistant cashiers.


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Federal Reserve Bank of St. Louis

The Federal Reserve Bank of
Minneapolis has announced its
approval of the applications of
Lakeland Agency, Inc., Pequot
Lakes, to become a bank holding
company through the acquisition of
the Lakeland State Bank, Pequot
Lakes, and to continue to engage in
general insurance activities in Pequot
Lakes.

Appointed in Bemidji
The First National Bank of
Bemidji has announced the appoint­
ment of Evelyn
Goplin to mar­
keting
officer.
She joined the
bank staff in
1963 as a book­
keeper, more re­
cently becoming
involved in mar­
keting and ad­
vertising.

Bank Examiner Promoted
Michael J. Pint, Commissioner of
Banks, has announced the promotion
of Allyn R. Long from bank examiner
to financial institutions examination
director. Mr. Long, together with
Terry Meyer, will direct 12 field
examiners in the examination of over
850 locations in the state. Mr. Long
began his career with the banking
division in 1964.

Named Hopkins Manager
William C. Behrenbrinker has been
named manager of the First Bank
Hopkins Minne­
tonka office and
senior marketing
officer.
Mr. Behren­
brinker began his
banking career in
1978 as a collec­
tor in the finance
division of First
Bank Hopkins.
W.C.
He was promoted BEHRENBRINKER
in April 1980 to commercial lending
officer.
Mr. Behrenbrinker holds a BS
degree in history from the University
of Minnesota in Duluth.
Northwestern Banker, March, 1981

First Bank Minneapolis recently
announced the promotion of 16
employes. Inclu­
ded in the promo­
tions are six as­
sistant vice pres­
idents. They are:
Jack L. Quitmeyer,
EastWest correspon­
dent banking di­
vision of the cor­
respondent bank­
J. QUITMEYER
ing department.
He was correspondent banking
officer.
Terry L. Adams, USA/Canada
division of the international banking
department, from international bank­
ing officer.
Roger L. Scharton, executive
banking division, from retail banking
officer same division.
Elizabeth B. Anderson, teller
services division, from retail banking
officer same division.
M. Claire Canavan, strategic
planning department, from resources
management officer same depart­
ment.
Carol L. Anderson, security
division, from security officer same
division.
Ten new officers named are:
Oliv A. Fluck and Therese M. Keen
to international banking officer.
Andrus K. Peterson to commercial
banking officer, equipment finance
division. August W. Braaksma to
commercial banking officer, agri­
business division.
Carol J. Troth to personal banking
officer.
Daryl H. Moritko to trust officer.
Darlene H. Sarenpa to money
market officer.
Teresa A. Goodno to investment
officer.
Elizabeth J. Gustafson and Elaine
M. Pawloski to operations officer in
Northwestern
Banker, March, 1981

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

mortgage operations and cash cations, has been reassigned as
management operations respectively. assistant general auditor.
* * *
* * *
Directors of First Bank Southdale
in Edina have promoted Thomas A.
Swan from personal banker to
commercial loan officer in the
commercial loan department, and
Katie A. Nordstrom from credit
analyst to personal banking officer.

T.A.SW AN

K.A. NORDSTROM

Mr. Swan is a graduate of St. Olaf
College and currently is attending the
University of Minnesota’s evening
Masters of Business Administration
program. Ms. Nordstrom graduated
from the University of Minnesota in
1975 and has been with First Bank
Southdale since 1972 when she was
first employed as a part-time teller.
* * *
The Federal Reserve Bank of
Minneapolis has announced three
promotions: Gary P. Hanson to
senior vice president for support
services, Ronald E. Kaatz to vice
president for automation services,
and William G. Wurster to assistant
vice president for computer services.
Leonard W. Fernelius, who has been
senior vice president for support
services, now assumes supervision of
operations, continuing as senior vice
president. He succeeds John A.
MacDonald, who retired after 44
years of service. Charles L. Shromoff,
assistant vice president for data
processing and interbank communi-

First Bank Saint Paul has
promoted five employes and named
seven others as
new officers. Ju­
dith A. Owen
was promoted to
vice
president
and division head
in the commer­
cial real estate
and home loan
area: Darryl R.
Nelson and Roy
J.A. OWEN
Ziegler to assis­
tant vice president, investments;
John C. Whitaker to assistant vice
president, commercial banking, and
Bruce A. Soma to assistant vice
president, consumer banking.
Gene W. Anonsen, Doisey A.
Landry and Martha J. Vujovich have
been named investment officers;
Ronald D. Herrmann, money market
officer; Michael J. McGroarty and
Todd A. Nieland, commercial
banking officers, and
Ann M.
Wagner, real estate officer.
* * *
Northwestern National Bank of
South St. Paul President Robert S.
Branham has announced the follow­
ing promotions:
Donald L. Sheldon has been
promoted from vice president and
cashier to vice president and control­
ler. His career at Northwestern
started in 1964. Arnold A. Niemela,
appointed cashier, joined the bank in
1954 as a messenger. James R.
Hildman has been promoted from
personal banking officer to adminis­
trative services officer. Mr. Hildman
is a University of Minnesota
graduate. Marlys M. Robole, promo­
ted to assistant controller, started
her banking career in 1953.

If you think your correspondent
bank is stringing you along,
m aybe its tim e 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
BankOf Minneapolis B

anco®

401 Second Ave. So., 55480 Member FDIC


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Federal Reserve Bank of St. Louis

48

M innesota New s

Faye Rodgers, formerly personal
banking officer, has now been
appointed mortgage loan officer. She
has worked at the bank for over 13
years. Marie F. Hadlich, promoted to
personnel officer, is a graduate of
Heredfordshire Technical College,
Hereford, England and has received
an AA degree from Inver Hills
Community College. Ms. Hadlich
joined the bank in 1975. Janet A.
Schlussler has been promoted from
supervisor of proof transit-bookkeep­
ing to assistant cashier. Ms.
Schlussler has been employed with
the bank for 12 years.
* * *
James W. Reagan, chairman and
president of American National Bank
and Trust Company, St. Paul, has
announced the addition of James W.
Koch as trust marketing officer, and
Richard A. Stewart as assistant vice
president and manager of personal
banking.

J.W. KOCH

R.A. STEWART

Mr. Koch has a BA degree from
Norwich University, Vt., and a law
degree from William Mitchell College
of Law, St. Paul. Mr. Stewart has
over 15 years of experience in
consumer banking in the Twin Cities’
area.
*

*

*

Charles E. Caylor and Mark S.
Paynter have been appointed finan­
cial analysis officers for First Bank
System.
Mr. Caylor joined FBS in 1980
after serving as an assistant bank
examiner for the Federal Deposit
Insurance Corporation in Chicago.
He holds an MBA from the Indiana
School of Business.
Mr. Paynter joined FBS in 1980.
He is a CPA and graduated from
Brigham Young University.
* * *

Customer Since 1911

A SALUTE was given to Eastern Woolen
Company and the Edelstein family by
American National Bank and Trust
Company of St. Paul at a special luncheon
celebration last month. The occasion
recognized a banking relationship that
dates back to 1911. In honor of this long
association, which may be the longest
banking relationship in the Twin Cities,
Janet
Foreman
(above),
commercial
banking officer at American, presented
Harry Edelstein, pres, of Eastern Woolens,
aspecial plaque commemorating the event.

Hennepin County District Court
appoints a receiver.
The Tennant Employees Credit
Union was organized as a state
chartered credit union in 1958.
Persons doing business with the
credit union were limited to employes
of the Tennant Company. However,
the Commissioner indicated the
credit union was an organization
separate and independent from the
Tennant Company.
The Commissioner indicated that
with the appointment of the National
Credit Union Administration as
receiver shareholders and depositors
will receive full payment up to the
$1 0 0 ,0 0 0 per account limit.
*

*

*

Northwest Computer Services,
Inc., a subsidiary of Northwest
Bancorporation, recently named
James W. Eyster senior vice
president of systems, Anthony J.
Mangan, Jr. senior vice president of
operations and Jack W. Kent vice
president of human resources.
Mr. Eyster formerly was customer
services director at GTE Data
Services, Seattle. He earned his
bachelors, masters and doctorate
degrees at Ohio State University,
Columbus.
Mr. Mangan, who was previously
The Commissioner of Banks,
Michael J. Pint, has declared the vice president of systems and
Tennant Employees Credit Union, programming, has been with NCS
Minneapolis, insolvent and suspen­ since 1973 and has managed several
ded further operations. The Credit activities in the operations and
Union will remain closed until the technical support functions.
Northwestern Banker, March, 1981


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Federal Reserve Bank of St. Louis

Mr. Kent previously was vice
president of staffing in the corporate ^
office of Banco and vice president of
human resources at Northwestern
National Bank of St. Paul. He has
been with Banco since 1969.
* * *
ilk
C. Bernard Jacobs, chairman of the
board and chief executive officer of
National
City
Bank of Minnea­
polis announced
the appointment
of Bill T. Mitch­
ell to the bank’s
official staff.
Mr. Mitchell
was named an
assistant
vice
president in the
B.T. MITCHELL
credit
depart­
ment. He recently joined National
City’s staff, having pursued a career
in banking since his graduation from
the University of Minnesota at
Minneapolis.
John D. Gatzlaff has been named
vice president and manager of the
commercial loan
division,
First
Bank Southdale.
Previously
he
served as assis­
tant vice presi­
dent, commercial
loan
division,
First Bank St.
Paul. He was
first employed in
1971 with First J.D. GATZLAFF
•
Bank St. Paul.
Mr. Gatzlaff received his BA in
economics from Luther College,
Decorah, la. and his MBA from the
University of Iowa.
®
Robert F. Zicarelli, chairman and
chief executive officer of Northwest
Growth Fund,
Inc., was elected
vice chairman of
the National As­
soc. of Small
Business Invest­
ment Companies
at the associa­
tion’s
annual
meeting recently
in Boca Raton,
Fla. The nation- R F- ZICARELLI
al trade association represents small
business investment companies and
minority enterprise
companies.
Northwest Growth Fund is a sub- •

*
.
011

a

Independent banks
face som e very real threats
to their survival in the 80's.
But they don't have to face them alone.
As an independent banker, community bankers by providing
you are facing some enormous
a full range of correspondent serchallenges and changes.
vices. We will continue to provide
An important part of our
and improve those services in
role as your correspondent partthe future,
ner is to give you the support you
That's important. But even
need to meet those challenges. So more important, is the respect
you can compete and survive in
and support we can give to you,
a world of giant banking groups.
the independent banker. So you
For over 30 years, we've
will not only survive the 80's —
been helping independent
you will prosper.

•


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

Am erican
N ational Bank
and Trust
C om pany
Correspondent Department
5th & Minnesota Streets
St. Paul, Minnesota 55101
(612) 298-6000

The Independent Bank's Correspondent Partner.

50

M innesota N ew s

sidiary of Northwest Bancorporation.
Mr. Zicarelli has served on the
NASBIC board of governors for the
past seven years and is past president
of the Midwest Regional Association
of SBICs.
* *

St. Paul Landmark Removed

* * *

*

A THIRTY-YEAR East St. Paul landmark
was removed from view recently when the
king-sized Number 1 that has been lodged
over the front entrance of First Bank
Merchants since the
building
was
completed in 1950 was taken down. The
bank is installing new signage to comply
with First Bank System requirements. The
new signage is the first in a series of
“face-lifts” for the bank, according to
President J. David Waddington.
B.A. AYD

J. DAVISON

M. THURSTON

to assistant vice president. He is a
portfolio specialist of corporate bonds
in the securities investment depart­
ment, and was elected an investment
officer in 1979.
Ms. Petersen was promoted to
assistant vice president. She is a
portfolio specialist of liquidity in
securities investment, and was
elected an investment officer in 1979.
Ms. Ayd was elected a mortgage
officer. She is manager of the
mortgage servicing department. Ms.
Davison was elected a construction
loan officer. She is a loan
administrator in the income mort­
gage department. Mr. Thurston was
elected a mortgage officer. He is a
mortgage reviewer and underwriter
in the residential mortgage depart­
ment.
Northwestern Banker, March, 1981

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Federal Reserve Bank of St. Louis

^

PaulL. Carlson and Robert Platzer
have joined the staff of Cherokee
State Bank of St. Paul. Mr. Carlson
graduated from Gustavus Adolphus
College with a degree in economics •
and business. Mr. Platzer has an
associate degree in financial manage­
ment from Inver Hills Community
College.
* * *
™

The board of trustees at F&M
Savings Bank approved promotions
for John D.
Kightlinger and
Linda M. Peter­
sen, and elected
three new offi­
cers: Barbara A.
Ayd, Jacqueline
Davison
and
Michael Thurs­
ton.
Mr. Kightling­
er was promoted J.D. KIGHTLINGER

L.M. PETERSEN

Metropolitan Economic Develop­
ment Association (MEDA), D u n -^
woody Industrial Institute, the
Science Museum of Minnesota,
Junior Achievement and St. Thomas
College.

Donald G. Dick, president of First
Bank Grand, St. Paul, has announ­
ced the promotion of Jerome R. Welle
to assistant vice president, Thomas
E. Gormley and Gardner E. Story to
personal banking officers and Paul J.
Aslanian to the board of directors.
Mr. Welle has been an officer and
manager of the real estate loan
department.
Mr. Aslanian is vice president of
financial affairs and associate
professor of economics and business
at Macalester College.
* * *

David A. McGowan has been
elected vice president and controller
of
Northwest
Bancorporation.
Prior to joining
Banco,
Mr.
McGowan served
as director of fi­
nance and con­
trol at Medtronic
Inc. in Minnea­
polis.
He graduated
from the Univer- DA‘ McGOWAN
sity of Denver with a bachelors
degree in both accounting and
finance, and earned his MBA from
Northwestern University Graduate
School of Management.
* * *
First Bank Minneapolis and
Rainier National Bank of Seattle
jointly announced they have signed a #
letter of intent providing agreement
in principle that First Bank
Minneapolis will purchase both
Rainier International Bank, New
York (an Edge Act corporation) and #
the London Branch of Rainier.
Applications have been made to
the Federal Reserve and the Bank of
England for approval.
D.H. Ankeny, Jr., chairman and III
chief executive of First Bank
Minneapolis, and G. Robert Truex,
Jr., chairman of Rainier National
made the announcement. Mr.
Ankeny said that with the proposed €1
acquisition the bank “will be better
positioned to serve the international
operations of its corporate and
institutional clients.’’
9

Northwestern National Bank of
Minneapolis made contributions
totalling $451,880 for distribution in
a recent month to more than 100
non-profit organizations according to
Douglas Wallace, vice president of
the bank’s social policy and program
division.
The gifts were part of the $ 1.1
million in charitable contributions
given away by Northwestern during
the past year.
The total includes major gifts to
the Minneapolis Society of Fine Arts,
Leo C. Holzinger and P. Robert
the United Way, the Minnesota
Private College Fund, KTCA Public Larson were elected to the board of
Television,
Minneapolis
Public directors of Northwestern National
Schools, University of Minnesota, Bank South of Minneapolis (formerly ®

M innesota New s

ern Bank and Trust Co. in St. Cloud.
Recent Camden promotions in­
clude Harvey Becker, senior vice
president and cashier; James D.
Wright, assistant vice president and
manager of detached facility; Rick
Finke, loan officer and assistant
manager of detached facility; Janet
Becker, credit and compliance officer;
Steve Holmquist, personnel officer;
Art Green, instalment loan officer
* * *
and assistant manager of instalment
Northwestern National Bank of loan department; Vi Zimwinkle,
Minneapolis has announced the assistant cashier, operations; Paula
election of Rob­
Craft, assistant cashier, operations,
ert C. Brown to
and Nancy Mattison, instalment loan
senior vice presi­
officer.
dent of the bond
* * *
department. Mr.
Brown remains
First Bank System, Inc. has
president of Chi­
announced the following elections
cago-based Bancand promotions
Northwest.
in its financial
Prior to joindivision: Albin
S. Dubiak, vice
“ S B« “
R.C. BROWN
west in 1975, Mr.
president, was
Brown was a vice president at First elected to the
National Bank of Chicago. He additional posi­
received his MBA from the tion of treasurer;
University of Chicago in 1959.
William B. Nar* * *
yka, vice p re s i­
•
Control Data Corporation has d ent, was elected
A.S. DUBIAK
announced the election of two new to th e a d d itio n a l
members to the company’s board of
directors. Elected were Walter F.
Mondale, former vice president of the
• United States, and Marvin G.
Rogers, executive vice president,
finance, of Control Data.
* * *
Fourth
Northwestern
National
• Bank), according to W. Merton Dres­
ser, president.
Mr. Holzinger is president of T.K.
Gray, Inc., distributors of equip­
ment and supplies to the printed
# circuit and graphic arts industries.
Mr. Larson is the vice president,
finance, of Fairview Community
Hospitals.

<§>

4)

O

©

®

Q

National City Bancorporation
reported earnings before securities
transactions for the year ended
December 31, 1980, of $3,973,000,
equal to $2.04 per share, up 20.8%
from $3,288,000 or $1.68 per share
during the same period of 1979. For
the fourth quarter, earnings before
securities transactions and net
earnings were $1,206,000 or $.62 per
share compared with $754,000 or $.39
per share in the fourth quarter of
1979, an increase of 60%.
Net earnings for the year were
$2,199,000 or $1.13 per share
compared with $2,930,000 or $1.50
per share for the same period one year
ago, according to Frederick L.
Deming, president and chief execu­
tive officer.
* * *
Joining the staff at Camden
Northwestern State Bank of Minnea­
polis is Thomas A. Welch as senior
vice president and second officer. Mr.
Welch transferred from Northwest­


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

W.B. NARYKA

B.W. BEAN

position of controller, and Bruce W.
Bean, vice president, will assume
responsibility for long range and
strategic planning.
Ronald H. Carlson has been
appointed regional internal audit
officer and Thomas A. Sachariason
has been appointed liaison credit
officer- northern Minnesota group.

Elected at Fridley State
Mary T. Ingaldson has been
elected assistant cashier of the
Fridley State Bank. She has been
associated with the bank for 11 years
and for the past five years has been in
charge of customer service.

Grand Rapids Director
Dennis A. Dorholt,

owner of

51

Denny’s Midwest Inc., in Grand
Rapids, was elected a director of the
First Northwestern National Bank of
Grand Rapids by the bank board at
the recent annual meeting.

New Director at Luverne
Kris Gabrielson has been elected a
director of the Northwestern Bank of
Luverne. The an­
nouncement was
made by Gerald
V. Wethor, presi­
dent. She is a
graduate
of
Bowling Green
State Universi­
ty, Ohio, and has
a degree in busi­
ness administra­
tion. She is em­ K. GABRIELSON
ployed by the Rock County
Conservation District.

St. Cloud Promotions
Four individuals have received
promotions at the First American
National Bank of St. Cloud,
according to president A.D. Didier.
Donald Philipsek has been promo­
ted to senior vice president. He is
responsible for the bank’s cash
management and investment pro­
grams.
T. Arthur Grove, manager of the
bank’s detached facility in Rice has
been promoted to vice president.
Michael R. Cleland, a commercial
lending officer, has been promoted to
assistant vice president.
Thomas Brasel has been promoted
to a loan officer at the bank’s office in
Rice.

Elected to Dawson Board
A. Robert ‘Bob’ Lee has been
elected to the board of the Northwest­
ern State Bank of
Dawson, accor­
ding to Everett
E. Kelley, Presi­
dent. Mr. Lee is
owner of Lee
Motor Company;
a Ford dealer­
ship.
Mr. Lee will be
replacing Morris
Benson on the
board. Mr. Benson replaced Norman
Nelson in August 1967.
Northwestern Banker, March, 1981


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Federal Reserve Bank of St. Louis

53

W hen farm ers,
feeders and ranchers
have to produce,
so do you.
F a rm e rs , m e r c h a n ts , m a n u f a c tu r e r s , a lm o s t a ll
of y o u r c u s to m e rs . T h e ir w o rk c a n ’t w a it fo r g o o d
tim e s . A n d g o o d tim e s o r b ad , th e y a ll d e p e n d
o n y o u fo r h elp . S o w h e n y o u n e e d a c o rre s p o n d e n t,
y o u n e e d o n e y o u c a n d e p e n d on.
You n e e d F ir s t M in n e a p o lis.
F ir s t M in n e a p o lis g iv e s y o u o n e sim p le
c o m m itm e n t. W h e n y o u n e e d u s, w e’ll b e th e r e .
P e rio d . I t ’s o ffic ia l policy.
So w h e n y o u r c u s to m e r s a r e r e a d y to p ro d u c e
a n d y o u fin d y o u n e e d a c o rre s p o n d e n t w h o c a n
p ro d u c e , w e’ll b e read y .
If y o u h a v e q u e s tio n s a b o u t a n y of o u r
C o rre s p o n d e n t S e rv ic e s, c a ll K en W ales, S e n io r
V ice P re s id e n t, (612) 370-4687. Y ou’ll g e t a n s w e rs
a n d a c o m m itm e n t y o u c a n c o u n t on.

•

First Bank Minneapolis

"When you need us,well be there.”
F ir s t N a tio n a l B a n k of M in n e a p o lis , 120 S o u th S ix th S tr e e t • M in n e a p o lis , M N 55402 • M e m b e r FD IC .


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Federal Reserve Bank of St. Louis

N o rth w estern Banker. M arch . 1961

54

M innesota N ew s

Largest Banks in Minnesota
E P O SIT and loan fig u res for M in n es o ta banks reporting $70 m illio n or
more d ep o sits are show n in the chart b elow as reported at year-end.
C om parative figures for a year e arlier also are reported.

D

(Last three figures omitted)

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
32.
33.
34.
35.
36.
37.
38.
39.
40.
41.
42.

Decernber 31,1980
December31,1979
Deposits
Loans
Deposits
Loans
Northwestern Natl., Mpls................ .$3,388,517 $2,331,593 $2,683,480 $1,982,988
First Natl., Mpls................................ . 2,509,430 1,813,316 2,204,755 1,665,541
First Natl., St. Paul........................... . 1,818,643 1,260,356 1,703,239 1,162,157
829,942
851,151
Farmers & Mechanics Sv., Mpls. .. . . . 865,675
840,110
Northwestern Natl., St. P a u l.......... . . . 294,235
222,955
298,448
223,813
228,700
American Natl. B&T, St. P a u l........ . . . 266,488
248,999
209,986
Marquette Natl., Mpls.............. .. . . . . . . 239,755
146,215
211,508
147,712
Midland Natl., Mpls.......................... . . . 238,437
149,130
220,289
150,986
Natl. City Bank, Mpls........................ . . . 215,568
170,792
199,596
148,403
First Natl., Duluth............................. . . . 193,188
131,573
191,500
138,313
N.W. Natl. S.W., Bloomington . . . . . . . 188,679
114,960
112,212
168,755
Northern City Natl., D uluth............ . . . 165,867
105,039
149,636
103,824
Midway Natl., St. P a u l..................... . . . 156,235
92,869
143,370
87,934
Northwestern Natl., Rochester. .. . . . . 147,031
134,914
115,578
111,604
First Edina Natl., E d in a .................. . . . 130,480
118,724
101,723
88,321
First Natl., Rochester....................... . . . 123,635
87,826
112,889
84,737
First SouthdaleNatl., E d in a .......... . . . 120,335
95,697
117,048
84,959
Central Northwestern Natl., Mpls. . . . . 120,310
103,479
115,686
107,714
First Minnehaha Natl., Mpls............ . . . 115,968
76,165
106,403
78,356
First Natl., H opkins......................... . . . 111,891
98,214
81,761
70,888
Merchants Natl., Winona................ . . . 105,805
77,646
99,690
75,065
Richfield B & T ................................... . . . 101,967
66,967
70,596
94,485
Northwestern Natl., M an kato ........ . . . 97,482
62,347
87,072
62,204
N.W. Natl. BankWest, Hopkins . . . . . . 95,787
68,239
67,507
88,768
First American Natl., St. Cloud . . . . . . . 95,087
99,924
80,243
77,947
Commercial State, St. P a u l............ . . . 94,043
62,586
87,461
62,849
First Natl., Moorhead....................... . . . 93,415
63,302
62,854
84,425
61,714
Fidelity B&T, Mpls............................ . . . 93,244
95,737
69,602
First Natl., Austin............................. . . . 93,023
61,216
84,066
63,399
Marquette B&T, Rochester............ . . . 85,677
43,301
84,677
47,598
First State Bk., St. P a u l.................. . . . 85,362
61,699
76,807
56,674
Northwestern Natl., So. St. Paul. . . . . . 85,043
50,012
77,690
49,773
First Northwestern Natl., Marshall. . . . 82,547
56,202
73,137
58,785
First Natl., Anoka............................. . . . 81,732
56,761
76,604
60,449
Fifth Northwestern Natl., Mpls. . . . . . . 81,114
79,244
63,853
64,860
First Northwestern Natl., W in o n a.. . . . 80,385
54,313
76,495
53,841
First Natl., Mankato......................... . . . 79,522
51,597
72,690
53,799
Community St. Bk., Bloomington . . . . 77,983
46,301
72,205
42,869
Zapp Natl., St. C lo u d ....................... . . . 74,762
50,525
68,275
50,605
First Natl., Virginia........................... . . . 72,703
51,219
70,500
53,721
45,674
First N.W. Natl., Faribault.............. . . . 72,437
68,211
47,230
WayzataB&T ................................... . . . 71,451
51,069
62,580
42,671

Faribault Promotions
James A. Loehr, president of First
Northwestern National Bank of
Faribault, has announced the follow­
ing promotions:
William M. Wise, from senior vice
president to executive vice presidentloan administration; Weldon H.
Reineke, from vice president to senior
vice president-bank administration;
Burl A. Leo, from vice president to
senior vice president-commercial
lending; Lowell Kuntze, from assis­
tant cashier to assistant vice
president-real estate loans; Harvey
J. Harger, from assistant cashier to
assistant vice president-instalment
loans; and James L. Lovrien, from
assistant vice president to assistant
vice president and cashier-opera­
tions.
Northwestern
Banker, March, 1981

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

The following officers received new
descriptive titles:
Darlene C. Keough, from assistant
cashier to operations officer; Bruce E .
Bahlmann, from assistant cashier to
ag loan officer, and Cora Langeslag,
from credit officer to instalment loan
officer.
Dennis Williamson is a newly-elec­
ted officer to the bank, with
responsibility of credit department
supervision. He graduated from the
University of Nebraska and was
formerly with Center Bank of Omaha.

Joins St. Cloud Natl.
Dale W. Johnson has been named
senior vice president-commercial
loans at St. Cloud National Bank &
Trust Co. Prior to joining St. Cloud

National in 1980, Mr. Johnson was a
commercial loan officer at First Bank
Minneapolis. He has served for seven
years as a FDIC examiner.

Officer Promotions
Northwestern National Bank of
Hastings has announced the election
of Douglas J .
Laumeyer as vice
president.
He
joined the bank
in 1978 and is
manager of the
instalment loan
department.
■H
■
Other promo­
tions include Ju ­
dith E. Sandberg
to
commercial D.J. LAUMEYER

J.E. SANDBERG

K. ANDREA

loan officer and Kirk Andrea to
instalment loan officer.

Elected in St. Cloud
Tim Stern, president of Northwest­
ern Bank and Trust Company of St.
Cloud, has announced that Victor
Rolle has been elected an assistant
vice president in the instalment loan
department. He joined Northwestern
Bank in 1965 as manager of the
Northwest Insurance Agency. His
past position was that of personal
loan officer.

Joins Spring Valley Bank
Kim Gutenkunst has joined First
Bank Spring Valley as assistant vice
president in the
instalment loan
and agricultural
lending depart­
ment. He was
associated previ­
ously with First
Bank Cooperstown in North
Dakota. He join­
ed that bank in
1977 as ag loan K. GUTENKUNST
officer and manager of timepay, then
assumed additional duties in 1978
when he was appointed assistant
cashier. He received a BA degree in
ag economics from North Dakota
State University in Fargo.

55

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F


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Federal Reserve Bank of St. Louis

C

N orth w estern Banker, M arch , 1981

56

M innesota N ew s

Kastelic Named President
First Northwestern National Bank
of Ely has elected Joseph G. Kastelic
president. He succeeds Joseph R.
Pellikka who became chairman of the
board.

1964 at Red River State Bank in
Halstad, and joined Peoples State in
1970.
Q.P. Walseth joined the bank in
1954 and is now reducing his
activities in the bank. Last
September, control of the bank was
transferred to Frazee Bancorporation, a one-bank holding company.

Executive Changes at
St. Louis Park Bank

J.G. Kastelic (left) and J.R. Pellika.

Mr. Kastelic previously was
executive vice president of the bank.
He joined First Northwestern in
1958, and became cashier and a board
member in 1964. He earned a
bachelors degree in business adminis­
tration from St. John’s University.

Directors of the Citizens State
Bank of St. Louis Park approved the
following officer changes at thenrecent meeting:
Constance L. Bakken to chairman,
Roger L. Hauge to president, Marion
E. Brummer to senior vice president
and cashier, Patrick F. Wells and
Harriet D. Richter to vice president,
and Marion O. Diekmeier to assistant
vice president.

MBA to Hold Workshops

New President at Frazee
Dennis D. Dalziel was elected
president and director of Peoples
State Bank of Frazee at the annual
meeting last month. He was named
president following the resignation of
Q.P. Walseth, who had been
president of the bank since the death
of his father, H.E. Walseth, in 1965.
Mr. Dalziel, a life-long banker,
started with Northwestern National
Bank of Sioux Falls, S.D., in 1958.
During the past 22 years he has
served with banks in Sioux Falls,
Madison and Huron in South
Dakota, as well as in Oakes and
Fargo, N.D.
Other promotions announced by
the board were: Douglas Hilmoe to
vice president, secretary and direc­
tor; Beulah Frank to succeed Mr.
Hilmoe as cashier, and Linda Hesby
to assistant cashier. Q.P. Walseth
was named advisor.
Mr. Hilmoe received a degree in ag
business and economics from South
Dakota State University, then
worked for the State of South Dakota
and the Dakota State Bank of
Coleman before moving to Frazee in
1975.
Mrs. Frank has been employed at
Peoples State for 30 years. Ms.
Hesby started her banking career in
Northwestern Banker, March, 1981


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

also received a graduate degree in
Sociology in 1970, was electee^
executive vice president and a
director last June.
Ms. Brummer, who was recently
named senior vice president and
cashier after serving with the bank®
since 1966, also was elected a
director. She is a recent graduate of
the Graduate School of Banking,
Madison.
Ms. Richter started with the bank®
in 1968, became a real estate officer in
1975 and was named recently to head
that department.
Mr. Wells is a graduate of the
University of Minnesota. He has®
been an officer since 1978 and heads
the instalment loan department.
Ms. Diekmeier is a business college
graduate and started with the bank in
1953 as a teller. She has been serving®
as a personal banking officer.

C.L. BAKKEN

R.L. HAUGE

M. BRUMMER

¡P.F. WELLS

Minnesota Bankers Association
investments committee chairman®
Walter Meadley announced the
development of three investments
workshops to be held in Minnesota
this spring. He said the first will be at
the Holiday Inn North, Mankato, on®
April 28, the second at the Hilton Inn
in Minneapolis on April 29, and the
concluding workshop at the Holiday
Inn in Brainerd on April 30.
Mr. Meadley, also senior vice®
president of the National City Bank,
Minneapolis said the committee
reviewed a survey conducted by the
MBA last fall to determine the need —
and content of a program. The survey ®
indicated an overwhelming need to
hold regional workshops with the
focus on Future Maturity Considera­
tions, Economics of Profit and L o ss^
in Bond Portfolio, and GAP®
Management - Interest Sensitivity.
Plans for the workshops are now
being finalized.

25-Year Employe Promoted

H.D. RICHTER

M.O. DICKMEIER

JoAnn Bielke, a 25-year employe of
Oakley National Bank of Buffalo, has
been promoted to cashier. According
to President Virg Hegeholz, Ms.
Bielke has served in every area of the
bank in the past 25 years.

Ms. Bakken purchased controlling
interest in the bank last May and has Named Loan Officer
been serving as vice chairman. She
Paula Kelly was named instalment
received her BS degree from the loan officer at First National Bank of
University of Minnesota.
Fergus Falls. Ms. Kelly began
Mr. Hauge, a 1964 graduate of the working for First National in 1976 in
University of Minnesota, where he the loan processing department.

57

1

2

A U TO M A T IC COIN W R A P P E R

5 OLD S T Y L E COIN W R A P P E R
B a s ic c o in w ra p p e r in e x tra s tro n g k r a ft s to c k . P rin te d in 6
d if fe r e n t s ta n d a rd c o lo rs to d if f e r e n t i a t e d e n o m in a tio n s .
T r i p le d e s ig n a t io n th r o u g h c o lo rs , p r i n t i n g a n d le tte rs .
T a p e re d e dg e s.

A m o u n ts a n d d e n o m in a tio n s a u to m a tic a lly in d i c a t e d b y
p a te n te d ‘ ‘ re d b o rd e re d w in d o w s ” . A m o u n t s in w in d o w s
a lw a y s in r e g is t e r . . . e lim in a te s m is ta k e s . A c c o m m o d a te s
a ll c o in s fro m l c to $1.00.

TUBULAR

COIN W R A P P E R

E s p e c ia lly d e s ig n e d fo r m a c h in e fillin g . . . a re a l tim e -s a v e r.
P acked fla t. In s ta n t p a te n te d ‘ ‘ Pop O p e n ” a c tio n w ith fin g e r
t ip p re s s u re . D e n o m in a tio n s id e n tifie d b y c o lo r c o d in g . . . 6
d if fe r e n t s ta n d a rd c o lo rs .

RAINBOW

6

7

D U Z IT A L L COIN W R A P P E R
E xtra w id e . . . e x tra s tro n g . D e sig n e d fo r a re a s w h e re h a lv e s
a re w ra p p e d in $20.00 p a cks . . . “ red b o rd e re d w in d o w ” fo r
e a se o f id e n tific a tio n . A c c o m m o d a te s $20.00 in d o lla rs , $20.00
in h a lv e s . T a p e re d e dg e s.

F E D E R A L BILL S T R A P
P a cka ge c o n te n ts c le a rly id e n tifie d on fa c e s a n d e d g e s b y
c o lo r c o d e d p a n e ls w ith in v e rte d a n d re v e rs e fig u re s . M a d e
o f e x tra s tro n g s to c k to a s s u re u n b ro k e n d e liv e rie s . O n ly p u re
d e x trin e g u m m in g used.

COIN W R A P P E R

C o lo r c o d e d fo r q u ic k , e asy id e n tific a tio n . Red fo r p e n n ie s . . .
b lu e fo r n ic k e ls . . . g re e n fo r d im e s . . . to in d ic a te q u a n tity
a n d d e n o m in a tio n s . . . e lim in a te s m is ta k e s . T a p e re d e dg e s.

4

K W A R T E T COIN W R A P P E R
W ra p s 4 d e n o m in a tio n s in h a lf size p a c k a g e s . A m in ia tu r e o f
th e p o p u la r " A u to m a tic W ra p p e r” . . . 25c in p e n n ie s , $1.00 in
n ic k e ls , $2.50 in d im e s , $5.00 in q u a rte rs .

8

COLORED

BILL S T R A P

E n tire s tra p is c o lo r c o d e d to id e n tify d e n o m in a tio n . P rin te d
a m o u n t a p p e a rs on to p a n d b o tto m o f p a cka g e . E xtra w id e
fo r m a rk in g a n d s ta m p in g . E xtra s tro n g s to c k fo r s a fe d e liv e ry
a n d s to ra g e . P u re d e x trin e g u m m in g .

9 BANDING S T R A P S
Id e a l fo r p a c k in g c u rre n c y , d e p o s it tic k e ts , c h e c k s , e tc . . . . d o n o t b re a k
o r d e te rio ra te w ith age. Size 10 x % in c h e s a n d m a d e o f s tro n g b ro w n
K ra ft s to c k w ith g u m m e d e n d fo r ease o f s e a lin g . P acked 1000 to a c a rto n .

O

SEE YOUR DEALER OR SEND FOR FREE SAMPLES
T H E C. L. DOWNEY COMPANY • HANNI BAL, MI SSOURI


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Federal Reserve Bank of St. Louis

•

DEPT.

N o rth w estern Banker, M arch , 1981

FROM TOP
TO TH EB
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Federal Reserve Bank of St. Louis

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Federal Reserve Bank of St. Louis

60

M innesota N ew s

Promoted in Blaine
First Northtown Natonal Bank in
Blaine has announced the promotion
of Janet M. Hoffer to vice presi­
dent in charge of
retail banking,
marketing and
real estate. She
began her bank­
ing career with
First Bank Sys­
tem in March
1967.
J.M. HOFFER
Also promoted
was Conrad M.Newburgh
to
assistant vice president. Mr. New­
burgh joined the bank in October
1979 in commercial lending and
business development. He has a
bachelors degree from the University
of Minnesota and a masters degree
from Michigan State.
Charles E. MacArthur, Jr. has
joined as manager of the instalment
loan department. He received a
bachelors degree from Marquette
University in Milwaukee.

New President Named
At Stillwater Bank
A.R. (Dick) Kircher retired at the
end of February as president of the
Cosmopolitan State Bank and is
succeeded by James H. Gillespie.
Directors also appointed Howard M.
Guthmann, senior partner in the
accounting firm of Wilkerson,
Guthmann and Johnson, as chairman
of the bank.
Mr. Kircher joined the bank in 1960
and was its president since 1964. Mr.
Gillespie joined Cosmopolitan State
last August and was elected to the
board in November. Mr. Guthmann,
also was elected to the board in
November.
Arthur L. Edstrom, who joined the
bank in 1937 and has served as a
director since 1965, continues as
senior vice president and a director.

Holding Company Approved
The Federal Reserve Bank of
Minneapolis has announced its
approval of the application by
Borresen Investments, Inc., West­
brook, to become a bank holding
company through the acquisition of
the Westbrook State Bank.

M.D. Hewitt New President
The board of directors of Farmers
State Bank of Dorset announced the
Northwestern
Banker, March, 1981

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

appointment of Mark D. Hewitt as
president of the bank. Mr. Hewitt has
been executive vice president for the
past three years. Prior to that he was
with the First Bank System. Mr.
Hewitt is the fourth generation of
Hewitt’s to serve as president of
Farmers State Bank.

assistantbranchmanager at the South
Oak office to replace Mrs. Thompson.
Mr. Peterson joined Northwest
Bancorporation in Minneapolis in
1967. In 1973 he moved to Owatonna
to direct the marketing function of
Northwestern Bank.
Mrs. Thompson joined Northwes­
tern Bank in 1979. She has been
assistant branch manager since the
New Duluth Officers
South Oak office opened in 1980.
Election of nine new officers of the
Ms. Hanson joined the staff in 1979
First National Bank of Duluth was and has worked in the personal
announced by President Dennis W. banking department.
Dunne.
Mr. Dunne also announced the Zapp National Promotions
assignment of Leonard E. Griffith,
Henry J. Mareck, president, Zapp
senior vice president, to government
relations development, with Lance National Bank of St. Cloud, has
Green, vice president, assuming Mr. announced the promotion of Susan
Griffith’s previous responsibilities as Mohs, Marlene Winter and Mary
Kay Thelen to assistant cashiers.
director of marketing.
The bank’s new officers are: Scott
E. Fisher, loan officer; Sheryl A. Retires at Grand Rapids
Koyiol, trust officer; Mary Marx
W.V. (Bill) Sommer, senior vice
Lundeen, customer service officer;
Jean Nevala, assistant controller; president at First Northwestern
Barbara K. Newman, customer National Bank in
service officer; Robert W. Palmquist, Grand Rapids,
loan officer; Peggy A. Scandin, loan retired February
officer; Steven J. Sertich, customer 25 after more
service officer, and James D. Walker, than 38 years of
service. He join­
personnel officer.
ed the then First
National Bank as
Hugo Facility Opens
a teller in the
President Mark Houle announced summer of 1940,
the First State Bank of Hugo opened and has been
a detached facility at 7984 Lake D r., associated with
Lino Lakes.
the bank since then, except for three
James M. Schafer has been named and one-half years with the Air Force
as manager of this office and also as during World War II. He became a
assistant vice president. Mr. Schafer senior vice president in 1967 and a
was formerly an examiner for the director in 1972. He will continue on
Federal Reserve Bank of Minneapolis the board through 1981.
and was associated with the First
State Bank of Wyoming, Minn, for
two years. He is a graduate of Fed Approves Holding Co.
Bismarck State Junior College.
The Federal Reserve Bank of
Minneapolis has announced its
Owatonna Personnel Changes approval of the application by
Kenneth E. Wilcox, president of Security State Holding Company,
Northwestern National Bank of Lindstrom, to become a bank holding
Owatonna, has announced the company through the acquisition of
following personnel changes. James the Security State Bank of Lind­
N. Peterson has resigned as assistant strom.
vice president/marketing officer to
accept the position of southeastern Becker Company Approved
Minnesota regional marketing coor­
The Federal Reserve Bank of
dinator for Banco. Wanda F. Minneapolis has announced its
Thompson, assistant branch mana­ approval of the application of
ger at the South Oak office, has been Financial Bancshares Company,
elected marketing officer and will Becker, to become a bank holding
assume Mr. Peterson’s responsibili­ company through the acquisition of
ties as director of marketing. Allegra the Santiago State Bank, Santiago,
A. Hanson, instalment loan inter­ and to acquire a general insurance
viewer and collector, has been named agency.

61

A nnouncing

BAI’s 1981 Accounting
and Finance Conference
April 2 2 2 4 ,1981 • Chicago Marriott H otel • Chicago, Illinois
-

A d d ressin g th e accou n tin g and fin an cial is s u e s o f critical
co n cern to all banks.
Thirty general and concurrent sessions, d e s ig n e d to m e e t
th e n e e d s o f b a n k a c c o u n tin g a n d f in a n c ia l o f f ic e r s , p u b lic
a c c o u n ta n ts w ith b a n k c lie n ts , re g u la to r s , b a n k a n a ly s ts ,
a n d in v e s tm e n t b a n k e rs .

M o r e th a n th i r t y o th e r in d u s try le a d e rs w ill a d d re s s v ita l
a c c o u n tin g a n d fin a n c ia l is s u e s a t c o n c u r r e n t s e s s io n s .
P r o m in e n t b a n k e rs , C P A s , e c o n o m is ts , re g u la to r s a n d
fin a n c ia l a n a ly s ts w ill p r o v id e u p d a te s o n to d a y ’s m o s t
im p o r ta n t b a n k a c c o u n tin g a n d f in a n c ia l to p ic s , in c lu d in g :

Accounting and Reporting Issues
• C u r r e n t A c c o u n tin g
Is s u e s

Outstanding General Session
and Luncheon Speakers

• I n te r e s t R a te F u tu r e s
• S p re a d P ric in g
• P ro d u c t P ro f ita b ility
#
Tax P la n n in g
#
C o n tro llin g E x p e n s e s
#
H o ld in g C o m p a n y
C a s h F lo w

• S E C A c c o u n tin g a n d
R e p o r tin g

D o n a ld E . M a u d e , Senior Financial Economist
M e rrill L y n c h , P ie r c e , F e n n e r & S m ith , In c .

• A n n u a l R e p o r t T re n d s

J o h n H . P e rk in s , President
C o n tin e n ta l Illin o is N a tio n a l B a n k

• A s s e t /L ia b i li ty
M anagem ent

• B an k P e rfo rm a n c e

Economic and Financial Issues

J o s e p h E . C o n n o r, Chairman
P ric e W a te rh o u s e & C o .

• F e d P o lic y a n d th e
E conom y

Dr. L e e J. S e id le r, Professor
N e w Y ork U n iv e rs ity

• C a p ita l A d e q u a c y
• Im p ro v in g P r o f ita b ility
• O n e -B a n k H o ld in g

• R a is in g C a p ita l
• B a n k V a lu a tio n

T h e H o n o ra b le Ja k e G a rn (R . U ta h ),
S e n a te B a n k in g C o m m itte e

Chairman

C o m p a n ie s

To register, c o m p le te a n d m a il th e c o u p o n w ith a c h e c k fo r
th e re g is tr a tio n fe e th a t in c lu d e s lu n c h e o n s , a re c e p tio n a n d
p ro g r a m m a te ria ls .

T h e H o n o ra b le H e n ry S . R e u s s (D . W is e .) Member
H o u s e B a n k in g , F in a n c e a n d U rb a n A ffa irs C o m m itte e

To obtain additional information, u se

th e c o u p o n o r c a ll
D e b ra M a r tin o r R ic h a rd W ils o n a t 3 1 2 /6 9 3 - 7 3 0 0 . T oll fr e e .
8 0 0 /3 2 3 - 0 1 4 6 ; in Illin o is , 8 0 0 /9 4 2 - 2 1 8 1 .

□ Please register me for BAI’s Accounting and Finance
Conference and send the forms necessary to select
concurrent sessions and make hotel reservations.
Fees: Member
$425
Nonmember $530

Name
Title

A rea of responsibility p

Rank

f l Holdina ComDanv
□ Other

Em ployed by
Address

□ Check enclosed

□ Please bill me
City

□ Please send me a detailed brochure and registration forms.

(

Zip

State
)

A.C.
Years of Bank experience

Telephone
yr.

Time in present position

yr.

Mail to: Attn. Debra Martin
Bank Administration Institute
P.O. Box 500
Park Ridge, IL 60068

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Federal Reserve Bank of St. Louis

N orth w estern Banker, M arch , 1981

62

M innesota N ew s

Elected in Maple Grove
James Heig, president of the
Northwestern Bank Northwest in
Maple Grove, announced the election
of J anet M. Ardolf as human resource
officer and Sue E. Muecke as
instalment banking officer.

J.M. ARDOLF

S.E. MUECKE

Ms. Ardolf has been employed by
Northwestern Bank Northwest since
September 1976 in the personal
banking and purchasing areas.
Ms. Muecke joined Northwestern
Bank Northwest in 1978 and has
worked in personal banking and
instalment lending. Since September
1979 she has been serving as
assistant manager at the Maple
Grove mall office.

Detached Facility Approved
An application for consent to
establish a detached facility at 31
Main Street West in Hayfield by the
Citizens State Bank of Hayfield has
been approved.

MBA Plans Workshop
Minnesota Bankers Association
operations committee chairman
James R. Smith, Fidelity Bank and
Trust Company, Minneapolis, has
announced plans for an operations
workshop.
Planning committee chairman
L.G. Grosz, Western Bank and Trust
Co., Marshall, said plans are to hold a
two-day session in May. Geared to
bank operations officers, the format
of the workshop will include peer
group discussions and special
interest sessions. Topics of high
priority will be pricing, audit and
controls, laws and regulations and
personnel supervision.

Promoted at Marshall
First Northwestern Bank of
Marshall has announced the follow­
ing promotions: Gary M. Hoffmann
to vice president in charge of
commercial banking, Terry L. Schleif
to assistant vice president commerNorthwestern Banker, March, 1981


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

cial banking, Scott R. Bendix to
marketing officer, Gary B. Johnson
to assistant cashier, Richard A.
DiNello to assistant controller,
Georgia B. Novak to assistant
insurance manager and Allan L.
Antony to cashier.
Mr. Hoffmann joined the bank in
1972 and holds a BA from Southwest
State University. Mr. Schleif started
at the bank in 1976 and has a BA from
Southwest State University.

New Pierz Director

Floyd L. Mathiowetz has been
named a director of the Farmers &
Merchants State
Bank of Pierz.
Mr. Floyd is em­
ployed by the
bank as assistant
vice president.
He joined Far­
mers & Mer­
chants in 1975. A
graduate of Man­
Retires at Virginia
kato State Col­
After 31 years of banking, R.O. lege, he was em- FL- MATHIOWETZ
Johnston, president of First Bank ployed as a bank examiner by the
Virginia, has announced his election State of Minnesota for three years.
to take early retirement effective
April 1 . He has been employed by
First Bank System since 1949, Named at Richfield
Martin Chorzempa, president of
working with affiliates in Missoula,
Mont.; Minneapolis, and LaCrosse, Richfield Bank & Trust Co., has an­
Wis., before moving to Virginia in nounced Michael
1970. He was named president there J. Kamas has
been named com­
in 1972.
mercial loan offi­
cer, Dale Luthy
Named Agency Manager
has been named
Dennis M. Johnson has been trust marketing
named manager of the Hopkins officer and Jill
Insurance Agen­
Edelstein
has
cy, Hopkins, an
been named em­
insurance subsi­
ploye
benefits
diary of First
officer.
M.J. KARNAS
System
Agen­
Mr. Karnas graduated from the
cies, Inc. (a First
University of Minnesota with a BS in
Bank System af­
business administration. Mr. Luthy
filiate) .
graduated from Concordia College in
Mr. Johnson
Moorhead with majors in business
began his insur­
administration and political science.
ance career with
Ms. Edelstein is a graduate of the
D.M. JOHNSON
First
System
University of Minnesota with a
Agencies, Inc. in 1974 as manager of degree in legal administration.
the Pipestone Insurance Agency,
Pipestone. Mr. Johnson graduated
from the Medical Institute of Promoted to Loan Officer
Minnesota in 1963.
First Northwestern Bank of
Winona has promoted Randal J.
Domeyer to commercial loan officer.
Fed Approves 3 H.C.s
The Federal Reserve approved the Mr. Domeyer joined the bank in
formation of three holding compan­ November 1980 as commercial loan
representative. He graduated from
ies.
Willmar Bancorporation, Inc., Iowa State University with an
Willmar, was approved to acquire agricultural financing and business
major.
Citizens National Bank of Willmar.
Approval was granted BancMidwest Corporation, St. Paul, to Promoted in Girard
acquire the Goodhue State Bank,
The State Bank of Girard has
Goodhue; Chisago County State announced the promotion of Rick
Bank, Center City, and White Rock Ham to vice president. Mr. Ham has
State Bank, White Rock.
been with the bank since 1977, and is
Finlayson Bancshares, Inc., Fin­ a graduate of Sangamon State
lay son, was authorized to become a University in Springfield. Also,
bank holding company through Barbara Nichelson has been promo­
acquisition of the First State Bank of ted to cashier. Mrs. Nichelson has
Finlayson.
been with the bank since 1971.

63
66

W ell give you Custody Service
you can believe in,
at a price you won’t believe.”
Gregory Culp, Assistant Vice President, Securities Processing.

“First Chicago’s Custody Service
is one of the lowest priced in Chicago
or New York.
“But accuracy is what it*s all
about. And First Chicago has de­
veloped an on-line system of com­
puterized checks and manual
cross-checks that makes reporting
errors almost impossible.
“We get it right. And you get it
fast.
“We give you quarterly reports
automatically. If you need informa­
tion in the interim, we can generate
a report and have it in the mail
within 24 hours.
“If you need it faster than that, we
can tell you what you want to know
instantly by phone.
“And we can back-date reports up
to 90 days.
“First Chicago’s sub-accounting
system can handle your customer,
trust and portfolio accounts with­
out intermingling.
“And we hold securities in New
York as well as Chicago.
“If your Custody Service isn’t
giving you all this, find out more
about ours. Phone for a free brochure.
“Better yet, let us do a free
analysis of your custody needs.
“Call your First Chicago Rela­
tionship or Bond Officer today.
“Or me, Greg Culp, (312) 732-5430.
“We’ll show you some speed and
accuracy for openers.”

FIRST CHICAGO
The First National Bank of Chicago
Chicago: John Ballantine, 312/732-4100 • Atlanta: Jack W. Winter, Jr., 404/892-0966 • Baltimore: Robert E. Probasco, 301/5 47-8700
Boston: Robert G. Barrett, 6Î7/247-4040 • Cleveland: Earle C. Peterson, 216/781-0900 • Dallas: James A. Edwards, 214/742-2151
Houston: Grant R. Essex, 713/658-1100 • Los Angeles: Thomas E. Flowers, 213/628-0234 • New York: Donald Glickman, 212/751-3910
San Francisco: William R. Lyman, 415/788-4311
© 1981 The First National Bank of Chicago. Member F.D.I.C.


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Federal Reserve Bank of St. Louis

N orth w estern Banker, M arch , 1981

64

STATE BANKING LEGISLATION - John S. Jackson, MBA gen. counsel, presented the MBA program and prospects, while Bernard
Brinkman (2nd from left) described his role as chmn., House Fin. Inst, and Ins. Comm. The Honorable Albert Quie (3rd from left) told of
budgetary problems he faces as governor. Sen. Robert Tennesson, chmn., Senate Commerce Comm., advocated branch banking.

20th MBA Management Conference
Looks At Branching; Other Issues
UDGING from comments made
J
at the 20th MBA Senior Bank
Management Conference, held in St.
Paul last month, expansion of branch
banking in Minnesota over the next
few years is remote.
The Honorable
Albert Quie,
governor of the state, told some 900
MBA members that “we should live
with the present branching law as it is
now.“
Bernard Brinkman, chairman of
the House Financial Institutions and
Insurance Committee, said that he
was not one of the lovers of branch
banking. He added that if you think
bigness is great, you ought to be in
the oil business. Mr. Brinkman owns
several service stations and a major
oil company recently gave him notice
to find a new supplier.
Robert Tennessen, chairman of the
Senate Commerce Committee, may
be the one strong hope for advocates
of branch banking. He feels that
changes must be made in order to
make the Twin Cities a strong
financial center. He said that unless
further deregulation occurs, banking
institutions may go the way of the
buggy whip manufacturer. He
advocates
unlimited
branching
throughout the metro areas and
unlimited branching within a 75 miles
area for others, with both to be
accomplished through either de novo
or merger. He further advocates
facilities for out-of-state banks be
approved for the Twin Cities.
Northwestern
Banker, March, 1981

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Federal Reserve Bank of St. Louis

MBA Legislation
John S. Jackson, MBA general
counsel outlined the following
MBA-sponsored legislation:
1. A bill to apply floating interest
rate ceiling (4 Vi % above Fed
Discount Rate) on all bank loans.
2. A bill to increase the interest
rate ceiling on checking account
overdraft loan agreements from 12 %
to 18% per annum.
3. A bill to authorize adjustable
interest rate mortgage loans. The
amount of the note may be amortized
over the term of the mortgage with a
maturity date of from three to five
years. The law would allow the lender
to adjust the interest rate to current
market levels at the end of the note’s
term, not to exceed Vi of one percent
for each year the note is outstanding.
4. A bill to eliminate federal
bankruptcy exemption schedule.
5. A bill allowing banks to recover
their reasonable costs in responding
to state or local agency document
requests.
Other Related Bills
Among related bills currently
proposed in the Minnesota legisla­
ture, three merit special concern:
A Bill Authorizing Creation of a State
Owned Bank
Senate File 260 represents new
legislation creating “the Bank of
Minnesota” which is to be operated
by a board of directors composed of
the members of the State Commerce
Commission and two public mem­
bers. The bill authorizes the opening

MALCOLM FREELAND
Publisher

of the bank when $20 million in state^
bonds are sold. The bank would
remain tax exempt until its total
capital, exclusive of bonds, reached
$40 million. The bill authorizes the^
bank to establish branch offices in
cities of 8,000 or more and requires
that the state-owned bank be the
exclusive depository for public funds.
Branch Banking Within Economic#
Development Regions
House File 136 is a bill that allows
banks to operate upon application
and approval branch offices at
locations within the economic#
development region in which the
principal office of a bank is located.
The bill prohibits branches in
communities of under 2,000 popula­
tion unless there is no principal office #
of a bank in such a community. The
bill allows establishment of branch
offices by merger, consolidation or by
purchase of all or a substantial part of
another bank located in the same
economic region in addition to de
novo branching. The bill would not
amend Minnesota’s detached facility
law so that banks could continue to
establish and maintain two detached ®
facilities.
A Bill Permitting Credit Unions to Be
Authorized Depositories of Public
Deposits
^
Senate File 178 amends Minnesota
Statutes relating to authorized
depositories for public funds (M.S.
118) by generally authorizing public
units to designate credit unions as £
depositories of their funds.

South Dakota
J. W. T hom son, pres., Centerville
J. M. Schwartz, exec, mgr., Pierre

V
T .J. Reardon New President
The board of directors of Western
Bank of Sioux Falls has announced
• the election of
Thomas J. Rear­
don as president
and chief execu­
tive officer.
•
Mr. Reardon,
who has been
with the bank
full-time
since
1968, has served
® as senior vice
president for the
past three years. A graduate of the
University of Santa Clara in
California, he has done postgraduate
® study in bank management, invest­
ments, bank automation and econ­
omics.
Thomas J. Reardon succeeds T.M.
Reardon as president and chief
® executive officer of Western Bank.
T.M. Reardon will continue to serve
as chairman of the board of directors.
m Arm our Realignm ent
The First State Bank of Armour
Chairman Morris G. Winter has
announced the retirement of Ray
Plowman as president and the
® election of R.W. Hamilton to
president, LeRoy Hofer to executive
vice president and chief executive
officer and N.C. Wenzel to vice
president and cashier.
®
Mr. Plowman has been with the
bank since 1946 and president since
1962. He will continue to serve as
director and vice president of the
board. Mr. Plowman is a past
® president of the South Dakota
Bankers Association (1978-79) and is
presently director for South Dakota
for the Independent Bankers Asso^ ciation. He is a graduate of
® Augustana College, Sioux Falls, and
was elected to the Sports Hall of
Fame in 1970.
Mr. Hamilton has been with the
H bank since 1954. He is a graduate of
South Dakota State University.

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Federal Reserve Bank of St. Louis

65
Bear” and a “Cowboy-On-Horse­
back” in the person of C.P. “Buck”
Moore, president, joined in the
ceremonies. Drawings for “Two Trips
For Two” to Orlando-Land, Fla. at
each office were promoted through­
out the week using the theme “Visit
Our Place In The Sun” , and “You
Could Win Your Place In The Sun” .
Four winning couples left for their
week of fun and sunshine this month.
To climax the day all Sioux Falls
bank personnel and their spouses
Mr. Hofer came to Armour were bussed to thé two locations and
December 1979 and prior to that had given guided tours of the facilities.
22 years banking experience. He is a
graduate of the National College of
Sioux Falls Realignm ent
Business in Rapid City.
Mr. Wenzel has been with the First
Following the annual meeting of
State Bank since 1943. Presently he the board of the Northwestern
is vice president and manager of the National Bank of
Delmont branch. Mr. Wenzel atten­ Sioux Falls, C.P.
ded the University of South Dakota “Buck” Moore,
at Springfield.
president,
an­
nounced a re­
alignment of the
Promoted at Hand County
bank’s
senior
Recently promoted at the Hand
County State Bank in Miller were management.
Wilbur
J.
Dick Froning, from vice presidentHeimerman,
sen­
cashier to executive vice president;
Chris Smith from assistant cashier to ior vice presi­ W.J. HEIMERMAN
cashier, and Nancy Williams from dent, has retired
from the bank following 32 years of
teller to assistant cashier.
Mr. Froning joined Hand County service. He was assistant national
bank examiner for two years prior to
Bank in 1958 as a teller.
joining Northwestern National Bank
in 1948, as assistant auditor. In 1954
Named in Sioux Falls
he became vice president and in 1961
National Bank of South Dakota in was elected director and secretary of
Sioux Falls has named Robert E. the board. He became senior vice
Leech senior vice
president in 1967. From January
president
and
1977 to the present time he has held
trust officer, ac­
the position of senior vice president/
cording to an an­
loan administration.
nouncement by
Nels E. Turnquist, chairman
and chief execu­
tive officer.
Mr. Leechjoins
the bank after
R.E. LEECH
serving the past
five years as.vice president and trust
department manager for the Brenton
(Iowa) Bank Group. He is a graduate
J.K. KOPPERUD
C.J. JANSSEN
of Ursinus College and has an MBA
from William and Mary.
Mr. Moore also announced promo­
tions within the banks administrative
New Northwestern Branches group.
James K. Kopperud was elected
Northwestern Bank of Sioux Falls
celebrated a milestone in its history of executive vice president/loan admin­
growth with the opening of two new istration and Gary G. Olson was
branches at the same time. The elected executive vice president/
offices, both in Sioux Falls, Marion branch administration. Promoted
Road and Stockyards, climaxed a from vice president position within
week of open house festivities with the administrative group were Fran
special ribbon cuttings. “Buddy C. Campbell, senior vice president &
Northwestern Banker, March, 1981

66

South D a ko ta N ew s

Were interested in handling
ag credit needs.
\burs.

t Security Bank, we’re peoi 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
demands.
So, start corresponding
with Security for ag lending,
data processing, overlines and
investments. You’ll discover
we’re people with an interest
in you.

A

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

People with
an interest
in you.

SECURITY NATIO NAL RA N K
Western Iowa’s Largest
SIOUX CITY, IOWA 51101 712/277-6554

MEMBER F.DJ.C.

© 1 9 8 0 Security National Bank

Northwestern
Banker, March, 1981

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Federal Reserve Bank of St. Louis

D.F. WANIATA

S.A. BOSTIC

senior financial officer, Charles J.
Janssen, senior vice president and
a director of human resources, and
Don F. Waniata, senior vice
president and director of marketing.
Sid A. Bostic, vice president was
elected senior vice president and
branch manager, downtown branch.
Fed Approves C iticorp
Move to South Dakota
The Federal Reserve Board has
given formal approval to Citicorp to
relocate its credit card operations
from New York to Sioux Falls, S.D.
The move is expected to begin this
spring, according to Citicorp offi­
cials, and will take between two and
two-and-one-half years to complete.
Only Visa and MasterCard bank
cards will be affected. Citicorp’s
Carte Blanche will remain in
California and its new Choice
operations will continue to be
headquartered in Baltimore.
Citicorp earlier obtained approval
for a charter for Citibank of Sioux
Falls from the Comptroller of the
Currency, a bank which by previous
agreement will operate under restric­
tions that preclude it from being a
deposit-taking entity, but rather one
that will function on behalf of the
credit card operation and in regional
loan functions already authorized.
The move was prompted by South
Dakota’s removal of ceilings on
interest rates. New York had a 12%
ceiling and the legislature subse­
quently wiped out its usury ceilings,
but Citicorp stuck by its earlier
announced decision.

South D a ko ta N ew s

67

Largest South Dakota Banks
D EPOSIT and loan figures for South Dakota banks reporting $50 million
or more deposits are shown in the chart below as reported at year-end.
Comparative figures for a year earlier also are reported.

1.
2.
3.
0
4.
5.
6.
7.
8.
9.
^ 10.
11.
12.
13.
14.
15.
<9 16.
17.
18.
19.

(Last three figures omitted)
Decernber31,1980
Deposits
Loans
$512,284
$370,332
Natl. Bk. of South D a k o ta ..........
284,535
425,109
N.W. Natl., Sioux F a lls ..............
171,500
280,800
First Natl. Black Hills, Rapid City
190,347
267,342
First Natl., A berdeen...................
85,822
147,497
United Natl., Sioux F a lls ............
146,432
90,923
First Natl., Sioux F alls.................
96,323
126,350
Aberdeen Natl................................
57,989
84,376
Western St., Sioux Falls ............
51,310
78,736
Commercial Bk., M itc h e ll..........
61,097
75,433
First Natl., Brookings .................
52,620
75,104
First Mitchell Natl., Mitchell
42,946
74,428
Farmers & Mer. B&T, Watertown
47,389
71,173
First Natl., W atertow n.................
48,744
70,752
BankWest, N.A., P ie rre *............
43,395
70,009
American St., Yankton.................
37,716
68,525
Farmers & Mer., Huron................
27,768
52,288
Bk. of Belle Fourche.....................
39,494
51,627
Farmers St., W inner.....................
51,397
30,491
Valley Natl., Sioux Falls..............

Decernber31,1979
Loans
Deposits
$362,735
$495,625
287,951
396,294
185,813
263,162
240,017
187,313
96,087
145,756
100,883
142,671
106,357
89,833
54,045
83,451
48,173
68,825
56,837
72,288
48,605
67,575
45,774
70,990
46,274
63,470
39,563
54,863
59,982
35,253
43,320
62,918
26,891
48,551
36,439
50,393
31,490
49,016

* formerly Pierre National Bank.

Promoted in M itchell
Ron Jenkins, president of Commer­
cial Bank of Mitchell, has announced
the promotion of
Deb Swank to in­
stalment loan of­
ficer. Mrs. Swank
joined the bank
in 1973 in the
bookkeeping de­
partment.
She
joined the Securi­
ty National Bank
Data Center in
D. SWANK
Mitchell in 1976.
She returned to Commercial Bank in
May 1980.

Big Stone S tate Prom otion
Ralph Ramsey, president of Big
Stone State Bank of Big Stone City,
has announced
the promotion of
Joanne
Ross
<i from cashier to
vice
president
and cashier. She
has been with the
bank for more
© than 20 years,
joining the staff
in 1960 as a
bookkeeper. Ms.
Ross was elected assistant cashier in
© 1966 and advanced to cashier in 1970.

Sioux Falls Prom otions
United National Bank of Sioux
Falls has named Deward Roth of
United’s Valley Springs branch to
assistant vice president. Mr. Roth
has served as branch manager and
assistant cashier of that branch since
1977.
Marilyn Isaacson of United’s
Vermillion branch has been promoted

D. ROTH

D. PAULSON

to operations officer. Ms. Isaacson
joined United National Bank in 1971
and has worked as teller supervisor
and operations supervisor.
Jane Brown, also of United’s
Vermillion branch, has been promoted to instalment loan officer. Ms.
Brown joined the bank seven years
ago and before this promotion was
instalment loan supervisor.
David Paulson joined the staff of
United National’s Viborg branch as a
loan officer. He is a recent graduate of
Southwest State University in
Marshall, Minn.

United National Opens Yankton Branch

#


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Federal Reserve Bank of St. Louis

UNITED NATIONAL Bank of Sioux Falls’ recently-completed Yankton branch.

U NITED National Bank of Sioux

Falls’ Yankton branch, which
opened for business in 1979, recently
moved into its new bank building.
While construction was underway,
the Yankton branch had been using a
temporary mobile facility located on
the same site.

The building, designed and built
by M.B.S., Inc. of Sioux City, la., is
located at the corner of 2nd and Cedar
Street, in downtown Yankton. It was
completed at an approximate cost of
$616,000 and includes about 3,000
square feet of lobby and office space
with an adjoining drive-up facility.
Northwestern Benker. March, 1981

68

First Bank Prom otes Three
Robert E. Westbee, president of
First Bank Bismarck, anounced the
following promo­
tions:
Stewart Thom­
son has been
promoted to vice
president
and
manager of the
agriculture loan
department. Mr.
Thomson began
his banking car­
S. THOMSON
eer in 1974 with
First Bank West, Great Falls, Mont.
In 1976 he transferred to First Bank
Bismarck.

J. MORRIS

officers and Connie Stromberg to
personal banking officer.
£
Mr. Eckhoff, a graduate of North
Dakota State School of Science,
joined First Bank in March 1978 as a
part-time loan adjustor. In Septem­
ber 1979 he accepted the position of £
instalment loan representative.
Mr. Reynolds began with First
Bank-Fargo in 1976 as a loan
adjustor and was named collection
supervisor in 1978. In 1979 he left to •
complete his undergraduate degree in
political science and business at
North Dakota State University in
Fargo. In March 1980 he came to
Wahpeton as an instalment loan #
representative.
Ms. Stromberg began her career at
First Bank in 1973 as a part-time
teller while attending North Dakota
State School of Science. She #
transferred to the personal banking
department in April 1979.

Loren Holscher has been promoted
from assistant vice president to vice
president in charge of bank
operations and personnel. A Univer­
sity of South Dakota graduate with a
degree in accounting, Mr. Holscher
began his banking career in 1974.
Loran Corum has been elected
assistant vice president. Mr. Corum
began his career in banking at First
National Bank after graduating from
Pasadena City College in Pasadena,
Calif.
Steve Larson has been named
marketing officer. He is a 1974
graduate of Bemidji State Univer­
sity, with degrees in business Elected to Board
administration and mass communi­
Oliver Hagen, Francis Schreder
cation. Mr. Larson joined the staff at and Vernon Smith have been elected
First National Bank in 1980.
to the board of directors of the First
Trust Company of North Dakota,
according to President Jack Riley.
Mr. Hagen is president and
managing officer of First Bank of
W ahpeton Prom otions
North Dakota- Fargo. Mr. Schreder
W.M. Sanger, president of First is president and managing officer of
Bank-Wahpeton, has announced the First Bank- Grand Forks. Mr. Smith
promotion of John Eckhoff and is president and managing officer of
Justin Reynolds to instalment loan First Bank- Benson, Minn.

®

m
®

-

J. ENGEL

Jon Morris has been elected
Largest North Dakota Banks
personal bank officer in the retail
banking division. Mr. Morris began
his banking career in 1978 as a Mary D EPOSIT and loan figures for North Dakota banks reporting $50 million ®
College bank intern. He is a 1980
or more deposits are shown in the chart below as reported at year-end.
graduate of Mary College with a Comparative figures for a year earlier also are reported.
bachelors degree in business.
(Last three figures omitted)
Jeff Engel has been elected
Decernber 31,1980
Decernber 31,1979
instalment bank officer in the retail
Deposits
Loans
Deposits
Loans
banking division. Mr. Engel began 1. Bank of North Dakota, Bismarck
$436,764
$329,079
$409,024
$290,798
his banking career in 1980 as a bank 2. First Bk. of N. Dakota, Fargo . . .
133,887
97,479
126,650
101,006
3. First Bank, Bism arck................
trainee.
128,699
89,651
119,746
99,026
Grafton Prom otions
The First National Bank in
Grafton has announced four promo­
tions:
Lyle Johnson, vice president, has
also been named senior loan officer.
Mr. Johnson attended Aaker’s
Business College in Grand Forks. In
1954 he joined the staff of First
National Bank.
Northwestern Banker, March, 1981


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Federal Reserve Bank of St. Louis

4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.

Dakota N.W. Bk., Bismarck. . . .
First Natl. B&T, F a rg o ..............
First Natl., M in o t.......................
First Natl., Grand Forks............
Fargo Natl. Bk. & Tr....................
American St. B&T, Williston . . .
American Bk. & Tr., M in o t........
Dakota Bk. & Tr., F a rg o ............
First N.W. Natl., Mandan..........
First Natl., Jamestown ............
First Bk. of N.D., Grand Forks. .
First Bk. of N.D., M in o t............
First Natl. B&T, Dickinson........
First Bk. of N.D., Jamestown ..
Walsh Co. B&T, Grafton..............

120,880
120,714
109,913
106,276
100,660
79,306
79,154
78,831
71,224
65,377
62,198
62,146
58,686
55,986
51,947

87,663
77,500
76,505
59,096
69,483
48,070
48,997
49,347
54,267
47,925
38,831
41,040
31,679
41,673
33,380

118,562
108,977
103,958
100,344
96,533
66,979
70,884
84,528
64,307
56,486
65,209
66,493
57,495
50,353
47,542

92,697
84,314 #
77,120
64,446
70,882
43,945
49,367
51,168 é
49,831
45,851
41,662
42,106
44,739
41,054 •
32,865

N orth D ako ta N ew s

New Lidgerwood Facility

FIRST BANK Lidgerwood recently moved
into new facilities, President Virgil Eckhoff
announced. An open house will be planned
at a later date.

Promoted in Grand Forks
Richard O. Wold, president of the
First National Bank in Grand Forks
® announced the following promotions:
Patrick McCue has been promoted
to the assistant manager of the
instalment loan department. Mr.
McCue joined the bank in 1964. He
® previously managed the Air Base
Facility. He is a graduate of Aakers
Business College.
Dorothy Stewart has been promo­
ted to personnel officer. Mrs. Stewart
'joined the staff in 1976. She has
worked in the personnel department
since 1977.
Susan Gollehon has been promoted
_ to the position of administrative
* assistant. Mrs. Gollehon joined the
staff at First National Bank in 1977.
Carla Lewis has been promoted to
the position of loan review officer.
-I Mrs. Lewis started at First National
* Bank in January 1980. She is a
graduate of Phillips University in
Oklahoma and holds an MBA from
the Eastern Washington University
^ in Spokanne, Wash.
M anagem ent Realignm ent
At the annual meeting of the board
of the Goose River Bank, Mayville, a
® realignment of senior management
positions and promotions within the
bank was announced.
Lloyd C. Kempf, formerly presi­
dent, was elected chief executive
® officer, a newly-created position, and
also chairman of the board. Wallace
C. Martz, formerly executive vice
president and cashier, was elected
president. Steven G. Dahlstrom has
® been promoted to cashier, in addition

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Federal Reserve Bank of St. Louis

to his duties as operations officer.
Esther M. Kuntz has been promoted
to assistant cashier-bookkeeping.
Mr. Kempf joined the bank in 1972
as president. Prior to joining the
bank, he served as president of the
Grant County State Bank, Carson.
He also served as chief deputy state
bank examiner and assistant secur­
ities commissioner for the state of
North Dakota.
Mr. Martz was a former officer
with First Bank of North DakotaGrand Forks, coming to May ville in
1973. He is a graduate of the
University of North Dakota and
served as vice president, executive
vice president and cashier prior to his
promotion. He is also a director of the
bank.
Mr. Dahlstrom joined the bank
shortly after graduation from Mayville State College in 1978. Ms. Kuntz
joined the bank in 1972.
Mandan Officers Promoted
The following promotions were
recently announced by J.E . Noonan,
president of First
Northwestern
Bank of Mandan:
Steve Ohm to
assistant
vice
president
and
manager of the
instalment loan
department,
James Drege to
assistant
vice
president
and
manager of the commercial loan
department, Chris Assel to commer­
cial loan officer, Loretta Hopfauf to
instalment loan officer and Ranette
Schmidt to customer service officer.

69

Elected in Cavalier
The First State Bank of Cavalier
has elected Jane Stevenson to
assistant cashier. Mrs. Stevenson
joined the bank as a bookkeeper in
1974. She was appointed auditor in
1976.
Fargo Directors Elected
George W. Schwartz, president of
First National Bank of Fargo, has
announced the election^ of John W.
Pierson and James W. Swedback to
the board. Mr. Pierson is executive
vice president at First National. Mr.
Swedback is president and chief
executive officer of Pioneer Life
Insurance Company.
John F. Alsop and Carl H.
Cummings have retired from the
board.
Stock Increase Approved
The application of the First State
Bank of Park River to increase capital
stock from $450,000 to $600,000 by
stock dividend has been approved.
W ilton Opens W ing Station
First State Bank of Wilton has
opened and is operating a paying and
receiving station at Wing.
M inot Facility Opens
First Western State Bank of Minot
has opened a drive-in/walk-up
facility at 15th St. and 22nd Ave.
Southwest in Minot.
Joins First Bank Drake
Marshall D. Halvorson has joined
the staff of First Bank in Drake as
vice president in agricultural lending.
He was formerly with Uscm as
business manager at Austin, Minn.
Previous to that he was employed as a
vice president with the Sterling State
Bank at Austin, Minn.
Promoted in Fargo
George Schwartz, president of
First National Bank of Fargo, has
announced the promotion of Elaine
Swanson to administrative assistant.
Ms. Swanson joined the bank in 1957.

L. HOPFAUF

R. SCHMIDT

Named in Valley City
Walt Bauer, president of First
Bank- Valley City, has announced
John Snustad has been named
assistant operations officer. Mr.
Snustad graduated from Concordia
College with a business administra­
tion degree.
Northwestern Banker, March, 1981

70

N orth D ako ta New s

WMcr! ha»bn ! o?rndfalM ri08« 5 k'«Df w» « ’ si ° , ws Arabic calender presented to him by George Yeoman, Oklahoma City. RIGHT- Lewis«*
Wilson, v.p., Bk. of N.D., R.E. Bob Caudel, sr. v.p., Bk. of N.D., and J.M. Peterson, v.p., First Natl. Bk. of Mandan.
^

6th Annual Mid-Winter Break in Bismarck Focuses on Agriculture
N EARLY

300 North Dakota
bankers turned out for the Bank
of North Dakota’s 6th annual
Mid-Winter Break, a state-wide
conference held in Bismarck each
February. R.E. “Bob” Caudel, senior
vice president of the Bank of North
Dakota, has been in charge of the
Break since its inception, and noted
that attendance has grown steadily
during the past six years.
This year’s Break was primarily
agriculturally oriented. After a
welcome by H.L. “Herb” Thorndal,
president, Bank of North Dakota,
Mr. Caudel called the meeting to
order and the Honorable Allen I.
Olson, Governor of North Dakota,
delivered opening remarks.
Speakers at the afternoon session
included the Honorable Kent Jones,

Northwestern Banker, March, 1981


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

By LOUISE RITCHHART
Associate Editor
Commissioner of Agriculture for
North Dakota, who discussed the role
of the state Department of Agricul­
ture in the 1980s, and Dr. Bill Dando,
geography professor at the Univer­
sity of North Dakota, who spoke of
the dramatic economic consequences
of the weather in 1981.
Robert H. Long, from the Bank
Administration Institute in Park
Ridge, 111., told the attendees “You
aren’t just in the money business!”
He discussed the role of new
technology in the banking industry,
emphasizing “People serving people
is getting too expensive.” He told of
one bank which is now charging
customers 50 cents to talk to a teller

more than twice a month if it’s a
service which could have been
handled by a bank machine. “ If
computers can do psycho-therapy
(which is being done in some |||
hospitals), computers can do banking
counseling,” he sai.d.
Marlin D. Jackson, chairman of
the ABA agricultural committee and
president of Security Bank in #
Paragould, Ark., gave a humorous
presentation which ended with praise
for the favorable impact of the Bank
of North Dakota on the state’s
agricultural industry.
f|l
Continuing the agricultural theme,
Dr. Hiram Drache^from Concordia
College in Minnesota spoke on
“Agriculture in Transition” and said
“American agriculture is the second •
greatest story ever told. The

N orth D a ko ta N ew s

71

John F. Marten, Farm Journal Magazine, West Lafayette, Ind. CENTER- Dr. Hiram Drache, Concordia College, Moorhead, Minn. RIGHTJeff Judy, internati, bking. off., Northwestern Natl. Bk., Minneapolis.

Christmas story is first.” He advised
bankers to look at more than just a
farmer’s money sheet when consider­
ing a loan. “There will always be
money available to loan to farmers.
You just may not be in on it. Look at
management ability,” he said.
A national agricultural overview
was presented by John F. Marten,
staff economist of Farm Journal
Magazine, Indiana. He predicted the
effects of weather and politics on
agricultural production and prices in
1981. George L. Yeoman, interna­
tional cattle exporter from Oklahoma
City, told of his experiences dealing
with Middle Eastern companies and
governments.
Jeff Judy, international banking
officer from Northwestern National
Bank of Minneapolis, said “The

mystique of international banking is
not real. I t’s not any harder to deal
internationally then domestically,
and there are larger profits and
benefits.” He said North Dakota
banks should be a resource to
encourage international sales, but
warned that bankers should be on top
of the pitfalls of export trade.
After a well-received humorous
presentation by comedienne Dorothy
Stager of Pipestone, Minn., Thomas
R. Smith, president of Fidelity
Brenton Bank and Trust of
Marshalltown, la., gave an outlook
for 1981. “Any ag banker who isn’t
paranoid after being in the business
the past 10 years is crazy,” he said.
He offered survival tips for bankers
which included “Expand your
knowledge, raise your objectivity

level (realize that some things you
think you know aren’t so), master
uncertainty and change, offer
leadership in your community, even
though getting involved in public
affairs means controversy, and
increase effectiveness and leadership.
“Bankers will become extinct if we
don’t get our act together. If it
doesn’t hurt, you’re not doing it
right,” he said. “Production will be
management’s most important task
in the intensely-competitive ’80s.”
Mr. Smith brought the three-day
session to a close with a sharp attack
on federal regulations which he said
discriminate against banks in serving
their customers. “Banks are distinct­
ly disadvantaged in this regulatory
society. Is deregulation a fond dream
with no chance of coming true?”

Il

O

Dorothy Stager, comedienne, Pipestone, Minn. RIGHT- Clown [Vicki Seeberg] gives ice cream to Dr. Bill Dando, Unlv. of N.D., Grand
Forks, and Robert Kein, assist, commissioner dept, of bking. and financial institutions of N.D.


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Federal Reserve Bank of St. Louis

Northwestern Banker. March, 1981

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Federal Reserve Bank of St. Louis

73

partment; Keith Ljunggren, vice
president-commercial lending; Juani­
ta Tilley, assistant vice president and
manager-new accounts; David Higbea, ag loan officer; Cheryl Karr,
operations officer-bookkeeping; Eve­
lyn Juggert, administrative assis­
tant, and Diane Witrhlik, accounting
officer.

Plan N BA Ag Outlook Conference
HE Nebraska Bankers Associa­
tion’s Annual Ag Conference will
be presented March 19 at Holiday Inn
in Kearney. Registration commences
at 8:30 a.m., and adjournment is
scheduled after the evening cocktailreception. The program follows:
9:00 Call to order—Roger Weiss,
chairman, NBA Ag Commit­
tee; president, Commercial
National Bank, Ainsworth.
9:15 Over-all Ag Economic Picture
—Speaker to be announced.
9:45 Cattle Outlook—Ken Mon­
fort, president, Monfort of
Colorado, Inc., Greeley.
10:45 Cattle Outlook—Speaker to
be announced.
11:15 Hog Outlook—Chris Ander­
son, Heinold Commodities,
Inc., Norfolk, Nebr.
Noon Luncheon speaker to be an­
nounced.
1:45 Outlook for Grain and Vari­
able Inputs—Neal Harland,
Scoular-Bishop Grain Co.,
Omaha.
3:15 Outlook for Ag Legislation—
Roger Beverage, executive
vice president, NBA.
3:30 Outlook for Feedlots—Bill
Foxley, president, Foxley &
Col, Englewood, Colo.
4:00 Grain Merchandising—Dan­
iel E. Markey, C.P.M., assis­
tant vice president and hed­
ging
specialist,
Merrill
Lynch, Chicago.
5:00 Cocktail reception. Adjourn.
T

®

•

•

#

Lloyd Kitrell Resigns
Lloyd R. Kitrell has announced his
resignation as chairman of the board
and chief executive officer of the City
National Bank and Trust and
Company of Hastings.
Mr. Kitrell joined the bank as
president and chief executive officer
in 1973.
James Stuart, Jr. has been elected
to succeed Mr. Kitrell as board
chairman.

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Federal Reserve Bank of St. Louis

Michael B. Jacobson to assistant
vice president of agricultural loans.
Mr. Jacobson is a 1976 graduate from
the University of Nebraska, Lincoln,
with a BS in agricultural economics
and education. He has served as the
bank’s agricultural representative
since May 1980.
Dan H. Anderson to loan and
compliance officer. Mr. Anderson is
presently serving as an instalment
loan officer. He graduated from
Hastings College in 1975 with a BA
degree in business administration
and economics.
Mary C. Thaut has been named an
operations officer as manager of the
lower lobby bank operations. Miss
Thaut was first employed at City
National in 1973, after graduating
from Central Technical Community
College in Hastings.

D. WITRHLIK

E. JUGGERT

Mr. Farrell joined the bank in 1972
as vice president of commercial loans
and was elected a director in 1979. He
is a graduate of Wayne State College.
Mr. DeRosear joined the bank in
1970 after graduating from Hastings
College. Mr. Ljunggren joined the
instalment loan department in 1974
and was later elected manager.

Hastings Realignm ent
Norman Nackerud, president of
First National Bank of Hastings, has
announced the following promotions: Sioux City Prom otions
John Farrell, executive vice presi­
At the Nebraska State Bank of
dent; Dave DeRosear, vice president South Sioux City, Larry T.
and manager-commercial loan de- Wiederspan has been promoted from
assistant vice president to cashier,
Jeffrey C. Dible from assistant vice
president to vice president and
Morris K. Peterson from assistant
vice president to vice president.

K. LJUNGGREN

J. TILLEY

Stanton Announces Changes
At the Stanton National Bank,
Gloria Spence and Lynnette Banhave been promoted to assistant
cashiers.
J.B. Eberly has been elected
chairman of the board, succeeding his
father, G.D. Eberly, who died
recently. He is the fourth generation
Eberly to serve as chairman.
G.D. Eberly joined the bank in
1945, was elected president in 1952
and was elected chairman in 1964. He
retired as president in 1977 but
remained on the board until his
death.
Northwestern Banker, March, 1981

74

Omaha
The promotion of Michael A.
Novak to director of strategic plan­
ning and the
appointment of
Jane M. Mason
to Banco regional
marketing coor­
dinator,
have
been announced
by Donald J.
Murphy, chair­
man and chief
executive officer
M.A. NOVAK
of U.S. National
Bank.

J.M. MASON

J.H. BROWN

Mr. Novak has been with U.S.
National for 13 years and has held a
number of positions involving
marketing. He graduated from
Creighton University.
Ms. Mason has served as
advertising manager for National
Bank of Commerce, Lincoln. She
graduated from the University of
Nebraska at Lincoln.
Also at U.S. National, Jack H.
Brown, president of American
Community Stores Corporation, has
been elected to the board.
*

*

*

Bank of Rochester, Minn., as
assistant cashier in 1952. In 1961 he
joined Northwestern National Bank
of Hastings, Minn, as vice president
and became president in 1977. In
1969 he became executive vice
president of Center Bank, and was
promoted to president in 1973.
He was instrumental in the early
development of the Kearney Bank
and Trust Company of Kearney,
Nebr., which opened in 1976. He
served as president and chief
executive officer until 1979, when he
resigned because of ill health.

a Banco trainee in 1957 and worked
for banks in Austin, Minn.,®
Minneapolis, and Fargo, N.D.,
before coming to Northwestern
National in 1974 as vice president and
trust officer.
Mr. Brady is a 1968 graduate of®
Creighton University with a BA
degree. In 1969 he completed the
Banco management training pro­
gram. In 1971 he was elected an
officer in the commercial loan area.#
Since 1977, he has managed the
commercial loan department and has
been the bank’s credit administrator.
Mr. Sallenbach joined Northwest­
ern National Bank’s controller#
department in September, 1980. He
previously worked for Douglas
County Bank where he was assistant
cashier. Mr. Sallenbach graduated
from the University of Nebraska at #
Lincoln with a degree in accounting.
*

Northwestern
Banker, March, 1981

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Federal Reserve Bank of St. Louis

*

Donald J. Murphy, chairman of
the United States National Bank, has^
announced the following organiza­
tional changes:
Richard D. Shearer, vice president,
assumes new responsibilities in the
real estate division’s Regency office; *
John A. Hoffman, second vice
* * *
president, has been promoted to loan
Edward A. Kohout, president, services manager; Donna J. Eltiste,
Northwestern National Bank, has loan accounting officer, has been
elected manager of the loan *
announced the
accounting area, and Carl Scheer,
promotion
of
vice president, has been named
John R. Holtey
mortgage loan officer at the Regency
from vice presi­
office.
dent and trust
Mr. Shearer has been with U.S. {
officer to senior
National 20 years, joining with the
vice
president
instalment loan department. Mr.
and trust officer
Hoffman joined the bank in 1970 as a
and Patrick J.
data processing service representa­
Brady from vice
tive. Ms. Eltiste joined U.S. National *
president to sen­
J.R. HOLTEY
in 1968 as a correspondent bank
ior vice presi­
dent. Steve Sallenbach was appoin­ clerk. Mr. Scheer came to the bank in
1958 as vice president and manager of
ted controller.
Mr. Holtey is a 1957 graduate of the instalment loan department.
* * *
St. Olaf College, Northfield, Minn,
and received his JD degree from
Paul J. Amen, director of Banking
William Mitchell College of Law in
1965. He began his banking career as and Finance, has granted permission
to the First Northwestern Trust
Company to establish a branch office ®
at 10010 Regency Circle.
*

Bernard L. Engels, 52, died
recently while undergoing a heart
transplant at the Mayo Clinic in
Rochester, Minn. He was formerly
president and chief executive officer
of Center Bank.
Mr. Engels began his banking
career at the Northwestern National

*

S. SALLENBACH

P.J. BRADY

*

*

Following a meeting of the board of
American National Bank, board
chairman John M. Shonsey an­
nounced the election of Rick A. Bacon
as assistant cashier. Prior to joining
the bank in 1979, Mr. Bacon had been
a loan officer at another Omaha bank.

Jim Flodine, George McFadden, Fred Kuehl, Don Ostrand, Ralph Peterson.

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Federal Reserve Bank of St. Louis

76

Nebraska N e w s

G.R. RUSSELL

T.J. BELFORD

Harold M. Walton, president of
Center Bank, has announced the
election of two new members to the
Center Bank’s board of directors:
Thomas J. Belford, president of the
John A. Gentleman Mortuaries, and
G. Richard Russell, president of
Millard Lumber.
*

*

*

Robin Waller Abrams, vice
president-administration of the Cen­
ter Bank in Oma­
ha, was named as
the Outstanding
Young Omahan
of 1980 by the
Omaha Jaycees
on February 5 at
the Awards Ban­
quet at the Red
Lion Ballroom in
Omaha.
Ten outstanR.W. ABRAMS
ding Young Omahan nominees were
chosen. A panel of five prominent
community leaders then chose Mrs.
Abrams for the Distinquished
Service Award. She is the first
woman to receive the Distinquished
Service Award. She is the first
woman to receive the Distinquished
Service Award from the Omaha
Jaycees.

* * *
Douglas County Bank & Trust Co.
has made the following promotions:
Richard D. Mullin was promoted to
senior vice president-trust officer.
Mr. Mullin graduated from the
University of Kansas and received his
JD degree from the University of
Kansas School of Law.
Judd F. Wagner has joined
DCB&T as vice president-trust
officer. Mr. Wagner worked at
Omaha National Bank for 16 years
where he was second vice president in
the trust department.
Don Falk has been promoted to
vice president-customer service. Mr.
Falk began his career at the bank in
1964 as the bank messenger.
Northwestern
Banker, March, 1981

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

year in 1980 with net income totaling
$8,094,436, or $5.05 per share, Board O
Chairman John Woods reported last
month.
The year-end income figure
represents a 16 % gain over last year’s
record of $6,978,662, or $4.32 per ®
share.
Omaha National Corporation is the
holding company for The Omaha
National Bank, Realbanc, Inc., and
R.D. MULLIN
J.F. WAGNER
other financial subsidiaries.
Net interest income, which repre­
sents the difference between total
interest income and interest expense,
was $31,562,069 for the year, up 3%
from last year’s $30,649,708.
Fourth-quarter net earnings to­
taled $1,840,286, or $1.16 per share,
compared to the comparable 1979
figure of $1,505,642, or $.94 per
share.
Mr. Woods said Omaha National
E. SCHAFER
D. FALK
Corporation’s assets reached $1.01
Evelyn Schafer was also promoted billion at year-end, a 12% increase
to vice president-operations. Mrs. over $904 million in 1979.
Schafer’s career with DCB&T began
in 1960 in the bookkeeping depart­
ment. She is active in the National Elected in Arcadia
Association of Bank Women, where
The Arcadia State Bank has ^
she holds the position of vice
elected
Michael T. Leick a director.
chairman.
He is a CPA with Financial
* * *
Consulting Services, Inc. of Schuy­
Gene Zaloudek, president of the ler.
Omaha State Bank, has announced
The stockholders also voted to ^
the following officer promotions: increase paid in capital stock to 2,000
George L. Porter to vice president, shares, the total amount authorized.
Michael S. O’Neal to loan officer, and This increase is to come from retained
Keith Frederick II, Diane Lukert and earnings.
Kevin Hutchison to assistant opera­
tion officers.
Mr. Porter is in charge of the
instalment loan department and has Leon T. Kendall Named to
Chicago Fed Board
been with the bank since 1974.
* * *
Leon T. Kendall, president of
Mortgage
Guarantee Insurance Cor­
Packers Insurance Agency has
announced the addition of Ken Jones poration, M il­
waukee, has been
to the staff. Mr.
elected to a threeJones has 12
year term on the
years experience
board of the Chi­
in the insurance
cago Federal Re­
business, both
serve Bank by
commercial un­
medium-sized
derwriting and
banks in the
personal
line
Seventh Federal
sales.
Packers
Reserve District.
Insurance Agen­
L.T. KENDALL
From 1967 until
cy is an affiliate
1974, when he was named to head
of Packers Na­
K. JONES
MGIC, Mr. Kendall was president of
tional Bank.
Mr. Jones attended the University the Association of Stock Exchange
Firms. Previously he served as an
of Nebraska at Omaha.
economist
with the Federal Reserve
* * *
Bank of Atlanta, the U.S. Savings
Omaha National Corporation and Loan League and the New York
achieved its fourth straight record Stock Exchange.

THERE’S MORE TO WRITING INSURANCE THAN WRITING INSURANCE

. Like testing for air pollution.
Or helping a firm with a truck safety program.
Or making water flow tests for fire protection.
These are just som e o f the
services Employers M utual
C om panies offers its
policyholders. We have our
ow n specialists to p e rform
them , and o u r own
environm ental health
laboratory located in o u r
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
tradition o f service.
We w rite insurance, yes.
And do much more.

Employers Mutual Companies
DES M O IN E S IO W A


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Federal Reserve Bank of St. Louis

Northwestern Banker, March, 1981

78

Nebraska N ew s

Securities Association
Largest Banks in Nebraska
Elects New Officers
Incoming 1981-82 president of the D EPOSIT and loan figures for the top banks in Nebraska with $50
million deposits or more are shown in the accompanying chart as they
Nebraska Securities Industry Asso­
ciation is William J. Gourley, vice were reported at year-end. Comparative figures for a year ago also are
I
president of Dain Bosworth Inc., featured.
(Last three figures omitted)
"
Omaha. He succeeds Lauren G.
Decern ber 31,1980
December 31,1979
Faist, vice president of Kirkpatrick,
Deposits
Loans
Deposits
Loans
Pettis, Smith, Polian Inc., Omaha.
1. Omaha Natl. Bk........................................$622,321
$338,084
$600,277
$376,739
Mr. Gourley has been employed in 2. First Natl. B&T, Lincoln......................... 461,646
259,965
476,083
266,851
the securities industry for the past 17 3. First Natl., O m a h a ................................. 423,057
205,589
407,740
234,12%
233,374
356,977
268,298
years and is a member of the Nebras­ 4. U.S. Natl., Omaha ................................. 376,533
172,940
5. Natl. Bk. of Comm., Lin co ln................ 258,418
302,032
173,512
ka Bar Association.
91,112
6. Northwestern Natl., O m a h a ................ 128,043
121,809
87,957
Other newly-elected Association
7. First Natl., Hastings............................... 122,130
81,037
118,027
81,495
officers are: First vice president,
8. First Natl., Grand Island ....................... 111,559
72,498
94,506
72,334
9. First Natl. B&T, C olum bu s.................. 108,626
62,106
102,334
C.W. Poore, Jr., secretary-treasurer,
60,18%
55,832
84,074
56,843
Robert E.
Schweser Co., Inc., 10. DeLay First Natl. B&T, N orfolk............ 92,851
City Natl., H astings...............................
80,060
45,477
79,931
51,217
Omaha; Second vice president, 11.
78,587
56,000
12. Commercial Natl. B&T, Gr. Island . . . .
76,090
56,620
Charles Burmeister, president, First 13. Center Bank, O m a h a ............................. 77,578
46,761
70,888
46,891
Mid America, Inc., Lincoln; Secre­ 14. First Natl. B&T, Frem ont....................... 76,190
42,562
69,447
42,716
52,288
64,478
48,712a
tary, James Pittenger, executive vice 15. First Natl., Holdrege ............................. 73,335
16. First Natl. B&T, K earney.......................
73,060
49,110
70,651
51,400
president, Dean Witter Reynolds, 17.
Scottsbluff Natl. B&T.............................
70,874
40,441
64,883
43,974
Inc., Lincoln; Treasurer, Bill B. 18. First Natl. B&T, North P latte................ 68,464
52,029
62,466
52,500
Beavers, executive vice president, 19. Packers Natl., O m a h a ........................... 65,156
43,497
63,084
40,428
Chiles Heider & Co., Inc., Omaha; 20. First Natl., York ..................................... 64,919
49,483
59,565
46,518
43,189
62,491
40,867a
Board member, Joseph Soshnik, 21. First West Side Bk., Omaha.................. 64,306
American Natl., O m aha.........................
63,360
36,927
56,544
37,618
executive committee chairman, Kirk­ 22.
23. Southwest Bank, O m aha....................... 63,119
36,474
59,580
38,965
patrick, Pettis, Smith, Polian, Inc., 24. Platte Valley St. B&T, K earney............ 62,082
47,961
55,344
41,416
Omaha.
25. Gateway B&T, Lincoln...........................
61,151
52,113
54,683
43,729
26.
27.
28.
29.
30.
31.
32.

Overland Natl., Grand Island................
First Natl., M cC o o k...............................
Fremont Natl. B & T .................................
Guardian St. B&T, A llian ce..................
Douglas County B&T, O m aha..............
Gering Natl. B&T, Gering.......................
McCook Natl. Bank.................................

O’Neill Prom otions
J.B. Grady, president of O’Neill
National Bank, has announced
James L. Rabe has been elected to the
board of directors. Mr. Rabe, cashier
of the bank, has been with O’Neill
president, was also elected to the
National since 1974.
board.
Mr. Adams was elected
Other promotions announced in­
chairman
of the board. Another
clude: Cindy Cole, Veldeen Morrow
board
addition
was A.L. Spoeneman,
and Evelyn Thompson, all to
senior
vice
president.
assistant cashiers.
Bruning Announcem ents
Bruning State Bank has promoted
Darlene Reinsch from cashier to vice
president and cashier and Billy C.
Voss from assistant cashier to vice
president and assistant cashier.
President Frank L. Bruning has
also announced an open house which
will be held to showcase the new
addition to the bank. The new
improvements include an expanded
bookkeeping facility, drive-up win­
dow and administrative offices.

Benkelman Prom otions
The State Bank of Benkelman has
promoted Shirley Ann Mullanix from
assistant cashier to assistant vice
president and Douglas Hoschouer
from operations officer to cashier.
Surplus was raised from $250,000
to $450,000 by transfer from
undivided profits. Capital and
surplus now total $600,000.

Central City Promotion
Gary W. Webster, president of The
Farmers National Bank of Central
City, announced the promotion of
Harry Grebe to assistant vice
Board Changes in Brule
Philip E. Jossi has been elected president.
president of the Bank of Brule,
replacing Melvin H. Adams, who is Joins Minden Bank
retiring from active management.
Grant A. Pedersen has joined the
Mr. Adams will continue in an First National Bank of Minden as
advisory capacity.
vice president. The past three years
Mr. Jossi, formerly executive vice he has been an assistant national

Northwestern
Banker, March, 1981

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

59,788
59,780
57,270
56,121
55,699
52,554
50,441

36,896
43,597
35,185
38,818
34,852
38,965
32,932

56,050
56,285
59,612
54,694
52,659
48,787
45,301

39,459
43,007a
38,741
38,106
32,893
34,747
31,363

bank examiner with the Comptroller
of the Currency.
Promoted at York
^
The First National Bank of York
has announced the promotion of
Charles R. Bowman to assistant vice
president-marketing and Tim Lichti
to assistant cashier in charge of #
detached facilities.
Oak Creek Prom otions
The Oak Creek Valley Bank o f ^
Valparaiso has promoted Dennis L.
Siedel from vice president and cashier
to executive vice president and
advanced Robert J. Schmucker from
assistant cashier to cashier.
£
Joins Chambers State
Larry Adams has joined the staff of
the Chambers State Bank as vice ^
president and director. He w asw
formerly with Arthur Anderson & Co.
in Omaha.
Chambers State Bank has raised
its capital stock from $100,000 to ^
$200,000 by stock dividend.

79

* HOW DAN WILHELMSON
HELPED OUT A MOTEL W ITH A
* BURNING NEED FOR
PHONE SERVICE
#

#

^
^

D
w

N EE D : A fire roared through the
lobby of the El Rancho Motel In
Willlston, North Dakota, one Saturday
night, also destroying the switch­
board. Until phone service could be
restored, the motel was virtually out
of business.
S O L U T IO N : Arriving Sunday
morning at 6, Northwestern Bell Busi­
ness Manager Dan Wilhelmson rolled
up his sleeves and went to work with a
team of Bell technicians, getting
temporary service restored by 6 that
night. Then Dan arranged to have
a new switchboard, one especially
designed for hotel/motel operations,
hustled in.
R ESULT: By Tuesday night, the
motel was back to business as usual.


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Federal Reserve Bank of St. Louis

The new Hospitality Communications
Service, outfitted with the latest
technology, had been installed and six
motel employees had been trained
to use it. Dan and those 15 other Bell
people don’t normally work on
Sundays, but in a customer crisis you’d
have a tough time keeping them away.
They made the difference for the El
Rancho Motel.
At Northwestern Bell, it’s NWB’s
people who make all the difference,
especially to their customers.
To find out how Northwestern Bell
people can make a difference in your
business communications, call this
toll-free number: 1-800-328-4535, ext.
653. In Minnesota, call 1-800-752-4225,
ext. 653.

N o rth w estern Banker, M arch , 1981

80
Nebraska N ew s
New Director Appointed
Harry A. Hoch was appointed to
the board of directors of Commercial
National Bank &
Trust Company
in Grand Island.
The announce­
ment was made
by J.H . Oliver,
chairman of the
board for Com­
mercial Bank.
Mr. Hoch is
president of H &
H. HOCH
H Distributing of
Grand Island, and has been
associated with the Anheuser-Busch
Company for the past 22 years.

Johnny Carson, had served on the
board since 1941.

president of the Siouxland Chapter of
American Institute of Banking.
#

Promoted at Crete State
The Crete State Bank has
announced the following promotions:
Marlene Bals to assistant cashier and
auditor; Jon E. Michelsen to
assistant cashier and operations
officer, and Dorothy Craven to
assistant cashier and executive
secretary. Ms. Craven has been with
the bank 29 years.

New Callaway Director
James Smith has been named to
the board of directors of Severw
Valleys State Bank in Callaway. Mr.
Smith is assistant vice president and
cashier of the bank. He has been with
the bank since August 1974.

Siouxland Prom otions
Siouxland National Bank of South
Sioux City has announced the
promotion
of
Garnet Blanken­
burg to cashier.
Schwindt Elected Director
At the annual stockholders’ Mrs. Blanken­
meeting of the North Platte State burg joined the
Bank, Ronald L. Schwindt was staff of the new
elected a new director. Mr. Schwindt bank in Novem­
is president of R & C Petroleum, Inc. ber as operations
officer. She was
and L & R Petroleum, Inc.
previously em­
ployed by HawCarson Leaves Elgin Board
keye Bank Cor­ G . BLANKENBURG
H.L. Carson has retired as a poration. She is a graduate of the
director of the Bank of Elgin. Mr. Wisconsin School of Banking, and is
Carson, father of television star currently serving as second vice

We have been
providing banks
with advice on
tax-free investments
for more than
40 years.
We are specialists in tax exem pt
investm ents and w e ’re proud of our
reputation for service. W hy not give us a
chance to show w hat the Schw eser team
can do for you?

Talk to the Professionals
in tax-free investments.
ROBERT E.

Schweser Company
208 So. 19th St. Omaha, Nebr. 68102
**
(402) 344-4611
INCORPORATED

Investment Bankers

•

Underwriters

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


Northwestern
Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Seward Joins Instant Cash •
The Jones National Bank of
Seward has joined the Instant Cash
electronic banking network, and
began issuing Instant Cash cards i i ^
February, U.S. National Bank o r
Omaha President James R. Campbell
has announced.
Instant Cash is a member of the
Nebraska Electronic Transfer Sys-^
tern with over 100 terminals around
the state where banking transactions
can be performed, and has over
90,000 cards outstanding.
Appointed Ag Rep
Dennis L. Ball has been appointed
assistant vice president and ag
representative for the First National
Bank & Trust Company of Fremont,#
according to H.W. Hendriksen,
president. Mr. Ball was formerly
assistant vice president and ag
representative for McCook National
Bank. He graduated from Kansas#
State University at Manhattan with
a BS in ag economics.
Promoted at W ym ore
Dennis E. Osmera, president of the'
Wymore State Bank, has announced
the following promotions: Mike
Burchett to vice president and
cashier, Martha Thomas to vice
president and Carol Schuller to'
assistant cashier.
Prom otions at Imperial
The Chase County Bank & Trust,
Company of Imperial has announced’
the following promotions: Mel
Adams, from president and trust
officer to chairman and trust officer;
John Adams, from executive vice,
president, cashier and trust officer to
vice chairman, president and trust
officer; Melvin H. Adams, Sr., from
chairman to executive officer; Joy L.
Smith, from assistant cashier to (
cashier; Donald Banks, from assis­
tant vice president and trust officer to
vice president and trust officer, and
Channing Schwartz, from assistant
vice president to vice president and (
trust officer.

81

H igh Performance Banking
in a H ighly Competitive
Environment.
National Bank of Commerce
presents another Alex
Sheshunoff seminar
focusing on asset/liability
management.

NBC President Jim Nissen (left) with Alex Sheshunoff

On March 17, National Bank of Commerce will
continue its series of Sheshunoff seminars when
it brings Alex Sheshunoff to Lincoln.
In discussing asset/liability management,
Sheshunoff’s presentation will include:
• Protecting bank profits
• Determining loan portfolio interest rate
sensitivity
• Determining liability rate sensitivity
• Managing the interest “gap” through variable
rate notes, investment portfolio strategies,
use of hedging with T-bill futures and, asset/
liability management models
NBC believes in taking an aggressive approach
to correspondent banking. That’s why we
continue to bring you information you can use,
like the Sheshunoff seminars. These sessions
have proven to be a most valuable experience
in the past and we know this year’s seminar
will be no exception.
1981 will be a year of vigorous competition
for our industry and NBC’s Correspondent
Division is ready to help.
If you would like to attend the March 17th
seminar, please contact the Correspondent
Division of National Bank of Commerce.

NBC

National B an k of Commerce
The B an k w ith the Plus
NBC Center, 13th & O St., Lincoln, NE 68508
Telephone (402) 472-4321, WATS 800-742-7317
MEMBER FDIC
Accounts Insured to $100,000


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Federal Reserve Bank of St. Louis

N orth w estern Banker, M a rch , 1981

82

Lincoln
A

N INNOVATIVE approach to
bank building construction un­
folded at 66th & “O” Streets last
month, according to James Nissen,
president of National Bank of
Commerce.
Total time for the erection of the
building, which will be the home of
NBC’s new East Park Office, was
three days. Additional time will be
required to finish the roof and the
landscaping.
The East Park Office has
3,200-square-feet of office space and
will include the largest auto bank in
Lincoln, with seven drive-up lanes.
One of the drive-up lanes will be
served by a drive-up “Bank-In-TheBox” automated teller machine, open
24 hours a day.
Rapid completion of the building
was made possible by the use of a
novel design in bank building
construction pioneered by Bank
Building Corporation. Although
Bank Building Corporation has
constructed more than 700 banks
nationwide, the NBC building is the
first of its type in Nebraska,
according to the manufacturer.
“We received our approval to open
the facility at 66th and “O” in
October 1980 and we wanted to open
our doors to our customers as quickly
as possible,” said Mr. Nissen. “We
are very pleased that the BBC
building will allow us to open within
months of receiving approval, and in
addition, allows us to have a
custom-designed facility built by
bank building experts,” he added.
NBC’s approval to open the 66th &
“O” facility was conditioned on the
closing of its Patio Office at 10th
“O” Streets. The bank’s Rampark
Office is being remodelled to
accommodate Patio Officecustomers.
DigitizedNorthwestern
for FRASERBanker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

New Com m erce Directors
Robert S. Milligan, William L.
Howe and Thomas D. Potter have
been named to
the board of the
National Bank of
Commerce,
as
announced
by
James F. Nissen,
president.
Mr. Milligan is
president of Cen­
tennial Corp. Mr.
Howe is presi­
R.S. MILLIGAN
dent of Metro-

W.L. HOWE

T.D. POTTER

mail Corp. Mr. Potter is senior
executive vice president of the
National Bank.
A nti-C rim e Sem inars
Four, two-day, Anti-Crime Semi­
nars are scheduled for 1981 by the
Mosler Anti-Crime Bureau, the
non-profit security educational arm
of the Mosler Safe Company. The
Seminars, a continuation of similar
programs presented over the past 21
years, will be held in Washington,
D.C., April 14-15; Toronto, Canada,
May 12-13; Los Angeles, CA,
September 16-17; and Boston, MA,
October 20-21.
The programs are updated each
year to include the latest criminal
techniques and methods to combat
these crimes, according to Robert R.

Rosberg, director, Mosler AntiCrime Bureau. Experts dem onstrate
on stage how the modern criminal
cracks safes and defeats electronic
alarm systems. Slides and case
histories provide details of major
bank burglaries. Confidential tra in #
ing films dramatize procedures law
enforcement authorities recommend
for police response to criminal
emergencies,
kidnap / extortion
threats, check fraud, and banl®
robberies.
In addition, 1981 Seminars will
emphasize the Community AntiCrime Association concept supported
by case histories of highly successful®
organizations that now exist in
several areas of the country. Another
new subject concerns the current rash
of safe deposit vault burglaries. This
session will include detailed descrip-®
tions of several recent burglaries and
will be illustrated by official
photographs of the crime scenes,
some never before made public.
The third annual Mosler Security®
Officers School will be offered again
this year June 8-12 in Cincinnati,
Ohio. The school provides in-depth
instruction on subjects of vital
interest to any professional con®
cemed with crime prevention.
Sessions on physical and electronic
security,
check fraud,
bunco
schemes, extortion, swindles, kid­
napping and terrorism are taught by®
instructors who are acknowledged
authorities in their fields. Classes are
kept small to give students a rare
opportunity to discuss problems and.
special interests at length with these*
experts.
Information concerning the Mosler
Anti-Crime Seminars and Security
Officers Training School may be.
obtained by calling or writing Robert;
R. Rosberg, director, Mosler AntiCrime Bureau, 1561 Grand Blvd.,
Hamilton,
Ohio 45012.
(513)
867-4336.
Briganti Elected Chairm an
Joseph J. Briganti, president of
the Albany Bank & Trust Company"
N.A. of Chicago, has been named
1981 chairman of the Midwestern
Committee on Education for the
National Commercial Finance Con­
ference. The NCFC is the trade^
association for the asset-based
financial services industry which last
year provided in excess of $100 billion
in funds to small and mid-sizedbusinesses.

83

Look at these figures on
up-time with the N E TS Switch
as reported by M ICO R!

December 1, thru 31, 1980
8:00 a.m. til 10:00 p.m.
First National Lincoln Com puter C e n te r. . . 98.60%
■

Processing Bank A ........................................... 96.63%
Processing Bank B ........................................... 95.88%

Full 24 Hours Every Day
First National Lincoln Com puter C e n te r. . . 98.86%
Processing Bank A ............................................ 94.75%
Processing Bank B ............................................. 87.81%

Think about it.

I l l i i l l l l l FIRST N A T IO N A L LINC O LN
13th & M Streets
Box 81008
Lincoln, Nebraska 68501

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Federal Reserve Bank of St. Louis

Member, f .d .i .c .
N orth w estern Banker, M arch , 1981

84

Montana College with a BS degree in
business.

Colum bia Falls Prom otions
The Bank of Columbia Falls has
announced the following promotions:
Steven R. Warren to vice
president-loan portfolio; Lawrence L.
Sage to vice president-operations;
Jim M. Jacobson to assistant vice
president-instalment loans; Daniel P.
Murray to assistant vice presidentinstalment loans, and Paul D.
Johnson to assistant vice presidentreal estate portfolio.
Dan Lundgren and Patrick Camp­
bell were appointed directors. Named
directors emeritus were Conrad
Lundgren, MelH. Ruder and Charles
E. Taylor.

M issoula Prom otions
Directors of First Bank (N.AJ
Southside Missoula have promote!?
Michael Wm. Johnson to instalment
loan officer, and elected Constance
M. Centoni as assistant vice
president, cashier and personnel
•
resources officer; Chris Cole, instal­ officer.
ment loan officer; Jim Higgins,
Mr. Johnson is a graduate of the
marketing officer; Deb Lanning, University of Montana and started
assistant operations officer; Eileen work for the bank in 1978. Ms.
Salo, marketing officer, and Betty Centoni began her banking career in
Stinchfield, administrative assis­ 1957 for First Bank Butte, joined th®
Missoula bank in 1970 and has been
tant.
cashier since 1979.
First M ontana Prom otions
First National Montana Bank of
*
Missoula has promoted Duane New Great Falls Director
Kechter, vice president and opera­
G. Howard Van Noy, Great Falls
tions officer; Patrick McDonald, vice division manager of the Montana
president; Rosanne Frohlich, assis­ Power Company,
tant vice president and assistant has been elected
\
operations officer, and Nick Schlue- to the board of
ter, systems and programming First Bank Great
officer.
Falls, John Reichel, president,
announced fol>
Elected in Havre
lowing the an­
Stephen P. Clawson has been nual
stockhol­
elected assistant cashier of Citizens ders’ meeting.
Bank of Montana, Havre, according
Mr. Van Noy
to Kenneth W. Mahle, president. Mr. holds
degrees GH- VAN N0Y #
Clawson began his banking career from Montana State University in
with Citizens Bank of Montana in both mechanical and electrical
1979 after graduating from Northern engineering.

Record High Assets for
Bank of Montana System
Bank of Montana System reported
record operating results for 1980,
according to Charles W. Rubie,
chairman and chief executive officer
of the multi-bank holding company
headquartered in Great Falls.
Total assets at December 31, 1980,
reached an all-time high of $304.3
Largest Banks in Montana
4
million, up 8.9 percent from the
$279.4 million reported on the same
date a year ago. Consolidated D EPOSIT and loan figures for Montana banks reporting $50 million or
more deposits are shown in the chart below as reported at year-end.
deposits rose 9.0 percent from $245.1
f
million to $267.0 million, while net Comparative figures for a year earlier also are reported.
loans declined 3.4 percent from
(Last three figures omitted)
$162.8 million to $157.3 million.
Decernber 31,1980
Decernber 31,1979
Appointed new directors by the
Deposits
Loans
Deposits
Loans
board were Stephen Adams and 1. Midland N atl., Billings......................... $211,826
$150,464
$214,511
$145,484
Merritt J. Gates, both Wayzata 2. Security Bk., NA, B illin g s .................. . 206,158
131,484
212,665
139,75(?
bankers.
3. First Natl., Great F a lls ......................... . 153,484
137,741
85,993
96,343
115,292
138,357
Bank of Montana System serves 14 4. First Northwestern Natl., Billings . . . . 141,151
108,875
111,607
77,300
76,813
Montana communities through its 15 5. Northwestern Natl., Great F a lls ........ . 115,602
105,842
6. First Bk. Western Montana, Missoula . 103,078
75,829
77,805
full-service banks.
70,621
100,695
72,297g
7. First Natl. Montana, M is s o u la .......... . 97,614
Promoted in Helena
Ed Jasmin, president of North­
western Bank of Helena, has
announced the following promotions
and appointments: Alan V. Johnson,
vice president-marketing; Patrick T.
Riehl, controller; Paul Hoffmann,
vice president and instalment loan
manager; Kipman S. Smith, human
DigitizedNorthwestern
for FRASER Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18,
19.
20.

First Natl., B ozem an...........................
First Metals Bk., B utte.........................
Northwestern Bk., H elena...................
Conrad Natl., Kalispell.........................
First Security, Bozeman .....................
Montana Bk., Great F a lls .....................
First Natl., Anaconda...........................
First Natl., M ilesC ity...........................
First Natl. B&T, H e le n a .......................
First Northwestern, K alisp ell............
First Security B&T, Miles C ity ............
First Natl., Lewistown.........................
First Westside Natl., Great Falls........

.
.
.
.
.
.
.
.
.
.
.
.
.

85,563
81,696
81,632
80,495
76,439
74,531
72,892
69,771
68,229
66,668
65,547
61,408
50,907

64,510
42,613
50,360
55,332
47,999
57,654
41,905
45,918
45,935
44,213
36,399
41,156
39,331

82,241
85,069
85,501
79,653
71,032
79,173
67,365
69,811
68,491
63,115
58,317
56,538
50,544

58,27(?
45,517
52,481
56,272
51,175
53,53%
43,51ff
48,086
51,389
40,893
35,114
37,36%
40,17(7

Goss Elected President
4|!i The Richland National Bank of
Sidney has announced the promotion
of Robert J. Goss to president of the
bank. Mr. Goss joined the bank in
1971 and has served in all lending
•hreas, and as a member of the board
of directors.
In August 1980 he assumed
responsibility for management of the
bank as chief executive officer, and in
•^December 1980 was elected presi­
dent.
He is a graduate of Montana State
University in Missoula and of the
Graduate School of Banking in
#Madison, Wis.
The Richland National Bank has
also announced the promotion of Kae
Tihista to assistant cashier. She has
been with the bank five years in the
^teller and loan operation areas. Her
previous experience includes ten
years with banks in Glasgow and
California.
Joins Billings Bank
Laurie J. Hansen has joined the
staff of First Bank Billings as comp­
tr o lle r and mana­
ger of financial
administration.
A native of Glas­
gow, Mont., and
t 1977 Business
of Administra­
tion
graduate
from the Univer­
sity of Montana,
Ashe
formerly
•Worked for two
L.J. HANSEN
years as a staff accountant for Arthur
Anderson and Co. in Boise, and more
recently as a senior accountant for
0 ,Peat Marwick Mitchell and Co. in
Billings. Ms. Hansen is a Certified
Public Accountant.

Wyoming

Ferril, Ruegamer, Move Up
At Bank of Com m erce
Robert L. Ferril, president of the
Bank of Commerce in Sheridan since
1974, has been named vice chairman
of the board and will continue as chief
executive officer. Succeeding him as
president is William H. Ruegamer,
who has been executive vice president
the past two years.

R.L. FERRIL

W. RUEGAMER

Mr. Ferril has been in banking 24
years and formerly was president of
the Wyoming Bank and Trust
Company of Buffalo. He is also vice
president of Commerce BancShares
of Wyoming, which owns the Bank of
Commerce, Security Bank of Sheri­
dan, Security Bank of Buffalo, as well
as the soon to open Security Bank of
Gillette.
Mr. Ruegamer moved to Bank of
Commerce from Security Bank of
Bollings, Mont., where he had been
vice president in charge of commer­
cial loans. Prior to that, he was a
national bank examiner for 10 years.
Directors also elected Mrs. Nancy
Lewistown Prom otions
Joan Felke was named vice Schaffer an assistant cashier in
president and cashier and Mary Jo operations, and named Mrs. Patty
Ritchey was named human resource Berry as marketing officer.
officer for the Northwestern Bank of
Lewistown, according to President
Casper Prom otions
Warren Will.
Henry A. Hitch, president of the
Mrs. Felke has been employed at
the bank since 1970, most recently as First National Bank of Casper, has
cashier with responsibility for announced three promotions.
Rox Ann Beall, who started with
operations, accounting and invest­
the bank in 1977 in the dealer
ments.
Mrs. Ritchey began working for department, has been advanced to
Northwestern Bank in 1961. She will dealer operations officer.
Dolores MeCash, an employe of the
be responsible for personnel and staff
bank for 12 years in operations, has
training.


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Federal Reserve Bank of St. Louis

been promoted to assistant comptrol­
ler of the finance department.
Eva Davis, who joined First
National four years ago after 14 years
of bank experience, has been elected
assistant vice president.
New Kem m erer President
John M. Evans has been elected
president, c.e.o. and director of the
Fossil Butte Na­
tional Bank of
Kemmerer. Mr.
Evans, a 12-year
banker, has been
with the bank
since December
1979. He joined
the bank from
Colorado.
Dennis Diehl
has been hired as
J
EVANS
a loan officer. Mr. Diehl was a branch
manager with Capital Financial
Services in Florence, Ore. since 1976.
Brent L. Roberts has been hired as
security officer and auditor. Mr.
Roberts, a graduate of Utah State
Univ., came to the bank from First
Wyoming, Evanston.
Joins Rock Springs Bank
Robert V. Preston, president of
First Wyoming Bank in Rock
Springs, has announced that Tom
Olson has joined the bank as
instalment loan officer. He was
previously employed at First State
Bank, West Fargo, N.D. as assistant
vice president-instalment loans.
New Sheridan Directors
First National Bank of Sheridan
has announced the addition of Robert
F. Ernst and Nancy F. Prusak as
directors. Named directors emeritus
were Manville Kendrick and Carl G.
Ralston. Mr. Kendrick served on the
board for 40 years. John B . Kendrick,
Manville’s father, served on the
board from 1893 until 1907.
Northwestern Banker, March, 1981

86

W yom ing N ew s

Largest Banks in Wyoming
D E P O SIT and loan figures for W yo m in g banks reporting $40 m illio n or
more d ep o sits are show n in th e chart b elow as reported at year-end.
C om parative figures for a year earlier also are reported.

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.

(Last three figures omitted)
Decernber 31,1980
Deposits
Loans
$144,530
Wyoming Natl., C asper......................... $253,402
162,865
First Natl., C a s p e r................................. 251,643
81,014
Stockmen’s B&T, Gillette ..................... 114,539
93,946
52,558
First Natl. B&T, Cheyenne....................
84,775
28,047
Hilltop Natl., Casper .............................
79,536
42,494
Rock Springs Natl....................................
76,747
46,177
American Natl., Cheyenne.....................
74,319
53,110
First Natl., Riverton...............................
68,618
45,425
Bank of Commerce, Sheridan..............
66,674
40,789
First Natl., Laramie ...............................
60,567
34,559
First Natl., Sheridan...............................
40,614
First Wyoming Bk., NA, Cheyenne. . . . 59,578
59,477
40,336
First Wyoming Bk., NA, Kemmerer . . .
53,214
23,651
First Natl., G ille tte .................................
51,503
Jackson State B a n k ...............................
41,025
51,958
28,927
First Natl., Powell...................................
50,476
Converse County Bk., Douglas............
24,389
50,422
Rawlins Natl. Bk......................................
28,656
46,174
22,124
Shoshone First Natl., C ody..................
45,584
First Natl, Lander...................................
22,895
44,133
26,637
First Wyoming Bk., Casper...................
43,415
Citizens Natl B&T, Torrington..............
29,559
40,905
American Natl, Riverton.........................
27,290

W yom ing N atl. Prom otions
Robert W. Miracle, president of
Wyoming National Bank of Casper,
announced the
following promo­
tions:
David Bitner
to vice presidentcommercial loan
department; Jer­
ry Holland to
assistant
vice
president-Bank
Card
depart­
ment, and Gloria G.P. SNOWDEN

D. PEARSON

H.H. MITTAN

Northwestern Banker, March, 1981


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Federal Reserve Bank of St. Louis

D.E. BITNER

December31,1979
Deposits
Loans
$238,431
$130,409
220,045
151,345
104,798
66,281
85,099
52,163
57,683
21,303
66,770
37,199
77,571
45,104
70,496
50,220
65,794
47,168
61,665
37,069
54,540
33,234
62,024
47,135
51,948
36,925
39,441
24,269
52,743
40,793
48,342
28,508
47,706
23,114
49,056
29,126
48,567
21,461
39,447
23,591
45,021
26,822
44,814
33,275
35,725
23,394

J. HOLLAND

Snowden to senior escrow officertrust department.
Newly-elected officers are Helen
Mitton to marketing officer, Dorris
Pearson to student loan officer, Lynn
Neumiller to instalment loan officer
and Bob Dempsey to instalment loan
officer.
Mr. Bitner joined the bank in 1971
as a management trainee. He
graduated from the University of
Wyoming with a BS degree in
business administration.
Mr. Holland joined Wyoming
National in 1979 as an instalment
loan officer.
Promoted at G illette
Kenneth Naramore, president of
Stockmens Bank & Trust Co., in
Gillette, has announced the promo­
tions of Evelyn Young to assistant
vice president, Geri Lynn Appel to
teller operations officer and Judi
Wackerbarth to loan officer.
Ms. Young, who joined Stockmens
Bank in 1959, has been assistant

cashier, handling the collections
department. Ms. Appel joined the^
bank in 1971 and has been head teller.
Ms. Wackerbarth started with
Stockmens in 1978 and is advanced
from loan secretary.
H illtop National Prom otion *
N.P. Van Maren, president of
Hilltop National Bank of Casper, has
announced the promotion of Patricia
S. Mullen to assistant cashier- fu n d ^
management. She joined the bank in
1979. Ms. Mullen was educated at
Phillips University, Okla., and
College of Chaileston, S.C.
Saratoga O fficer Changes
G.W. Mcllvaine, president of
Saratoga State Bank, has announced
the following changes in officer staff:#
James I. Collins to vice president and
cashier and John Kosmicki and A.M.
Smith to vice presidents.
W yom ing National Corp.
•
Announces Incom e Increase
R.W. Miracle, president, announ­
ced that the consolidated net income
of the Wyoming National Corpora-#
tion for 1980 increased 7.24% to
$3,702,905 from $3,452,975 in 1979.
Income before securities transactions
for 1980 increased to $3,674,418 from
$3,472,346 in 1979, a 5.82% increase. #
The Wyoming National Corpora­
tion presently has an application
pending before the Board of
Governors of the Federal Reserve
Bank to merge into it First O1
Bankshares of Wyoming, a multi­
bank holding company with three
subsidiary banks located in Cheyenne
and Wheatland.
The company also announced a n #
increase in dividends to 36 cents per
share from 34 cents per share paid in
each quarter of 1980. The dividend
was payable February 13, 1981, to
shareholders of record January 3 1 ,#
1981, and is the forty-first consecu­
tive quarterly dividend paid by the
company since its inception in
August, 1970.
Promoted at Laramie
J.A. Guthrie, Jr., chairman of the
board of the Bank of Laramie, has
announced the following promotions:
Carol Sloan to cash management
officer, and Dianne Thorne and Jerry
Walker to commercial loan officers.
The bank recently celebrated its
25th anniversary.

87

banking division. Promoted to
Ferguson Nam ed Chairm an
assistant vice president were James
Charles L. Ferguson, president of Archuleta, manager of the time
University National Bank of Denver money department; Stephen P.
||ince 1974, has been named chairman Klekotka, manager of corporate
of the board replacing Donald T. product development; Terry W.
Carney, who recently resigned.
O’Connell, manager of the electronic
Mr. Ferguson joined University banking department, and Junious W.
National Bank in 1966 as a vice Smith, manager of the quality control
president and was promoted to and procedures department. Don M.
executive vice president in 1970. He Clary was promoted to commercial
graduated from the University of loan officer and Thomas R. Harris
Nebraska with a BS degree in was promoted to cost accounting
business administration.
officer.
Mr. Bowen joined Central in 1955.
He has a business administration
degree from the University of
Colorado.
Mr. Simon joined Central four
years ago. He has a business
administration degree from the
University of Iowa.
•

CL.FERGUSON

J.B. BLUE

The board also named J. Barclay
Blue executive vice president and a
director. He was previously senior
vice president and manager of the
Toan department. Mr. Blue joined
University National Bank in 1980.
He is a graduate of the University of
Colorado with a BA degree in
^conomics.
M cK inley Elected Director
George B. McKinley was recently
Jected to the board of Central Bank
■i If Denver, according to Max G.
Brooks, chairman. Mr. McKinley is
president and chief administrative
officer of Central Bancorporation,
Colorado bank holding
Inc.,
forni
mpany.
Central Bank Prom otions
Central Bank of Denver has
Announced the following officer
promotions: Promoted to vice
president were Dwight A. Bowen,
manager of the money management
epartment, and James A. Simon,
ice president of the correspondent

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Federal Reserve Bank of St. Louis

Garden of Gods Cashier
Stephen S. Laine, president, has
announced the appointment of Maura
L. O’Hara to
cashier of Gar­
den of the Gods
Bank, Colorado
Springs.
Ms.
O’Hara
joined Garden of
the Gods Bank
when it opened in
1977, after ac­
quiring
seven
M.L. O’HARA
years
banking
experience at other banks in Colorado
Springs. She has completed many
AIB and ABA courses.
First of Denver Prom otions
Theodore D. Brown, chairman and
chief executive officer of the First
National Bank of Denver, has
announced that Joseph Sylvan,
Patricia M. Knirk, Robert L.
Manning and Howard L. Thompson
have been named senior vice
presidents. The board also promoted
Dale L. Cornelius, Don P. Heilig,

Walter C. Kane, John D. Nelson and
Richard K. Otley to vice presidents.
Mr. Sylvan took over the
agriculture and correspondent bank­
ing department in December 1980.
Prior to that he was president of
Boulder Bank and Trust Company of
Tulsa, Okla.
Ms. Knirk, who manages the bank’s
heavy industries department, joined
First of Denver as an assistant vice
president in 1975. She is a Michigan
State University graduate.
Mr. Manning, who heads up First
of Denver’s special industries depart­
ment, is a 1969 graduate of Colorado
College. Following graduation, he
joined First of Denver’s trust
department.
Mr. Thompson, who manages the
bank’s loan review department,
began his career with First of Denver
in 1956. He is a 1952 graduate of the
University of Denver.

R.L. MANNING, JR.

H.L. THOMPSON

Mr. Cornelius taught in the Denver
public schools before joining First of
Denver in 1973. Mr. Heilig moved
from First of Southglenn, where he
was vice president of the consumer
loan department.
Mr. Kane, a University of Missouri
graduate, was formerly city adminis­
trator of Lakewood, Colo. Mr. Nelson
is a graduate of the University of
Colorado. He joined the bank in 1964.
Mr. Otley has been director of
advertising since 1972 and holds both
a masters and a bachelors degree
from the University of Denver.
New ATM Netw ork Formed
An electronic funds transfer
network comprised of more than 80
automated teller machines in ColoraNorthwastern Banker, March, 1981

88

Colorado N ew s

promoted from operations officer to
assistant vice president.
#
Douglas Burmester has joined the
D EPOSIT and loan figures for Colorado banks reporting $70 million or bank as assistant vice president in
more deposits are shown in the chart below as reported at year-end. the commercial loan department.

Largest Banks in Colorado

Comparative figures for a year earlier also are reported.
(Last three figures omitted)

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.

United Bank of Denver.......................
First Natl., Denver .............................
Central Bank of Denver.......................
Colorado Natl., Denver......................
Denver Natl. Bank...............................
American Natl., D enver....................
First Natl., Colorado S p rin g s..........
First Natl., Fort C o llin s ....................
Exchange Natl., Colorado Springs ..
Jefferson B&T, Lakewood................
First Natl., Boulder.............................
University Natl., Denver.....................
Greeley Natl. B a n k .............................
Colorado Springs Natl. Bk.................
First Natl., Englewood......................
United Bk. of Ft. Collins....................
Guaranty B&T Co., Denver................
U.S. Bk. of Grand Ju n ctio n ..............
First Natl., Greeley.............................
First Natl., P u e b lo .............................
Lakeside Natl., Denver.......................
First Natl., Grand Ju nctio n ..............
First Bk. of Westland N A, Lakewood
First Natl., G o ld en .............................
Cherry Creek Natl., Denver ..............
Continental Natl., Englewood..........
United Bank, G reeley.........................
Colorado St. Bk., Denver..................
Mountain States Bk., Denver............

Decernber 31,1980
December 31,1979
Deposits
Loans
Deposits
Loans
$1,374,056
$975,171 $1,212,711
$805,440
.1,338,546
893,764 1,341,469
866,446
.. 722,827
560,793
610,394
500,714
. . 719,334
514,794
691,602
489,683
.. 205,532
149,006
187,521
149,573
. . 214,166
91,556
186,373
69,467
•• 202,898
119,640
191,277
118,736
. . 171,130
131,250
163,387
122,056
. . 151,403
101,638
141,325
86,731
. . 146,325
97,636
138,134
100,393
. . 140,186
102,091
154,920
103,754
. . 135,175
92,947
120,173
82,136
. . 120,696
84,553
119,525
82,800
. . 114,590
79,271
110,350
70,849
. . 113,595
76,162
120,380
71,991
. . 113,487
87,660
106,207
75,201
. . 111,409
81,153
102,175
80,386
. . 107,345
72,408
92,704
65,301
. . 104,446
70,649
97,376
70,892
. . 100,417
61,004
97,040
62,975
.. 92,454
70,214
87,452
71,960
.. 89,092
57,669
87,483
61,713
.. 88,428
62,130
88,952
59,838
.. 88,316
63,826
82,196
54,667
.. 87,537
57,752
83,944
52,150
.. 85,756
67,289
86,144
66,481
. . 81,644
58,669
69,625
50,114
.. 81,371
39,875
79,631
41,870
.. 80,805
43,206
74,159
45,453

do has been formed by Columbia
Savings and Loan Association and
United Banks of Colorado, Inc.
Formation and operation of the
proposed network is subject to
regulatory approvals.
The announcement was made
jointly by Bob R. Baker, chairman
and president of Columbia Savings
and N. Berne Hart, chairman and
president of United Banks.
Membership in the network will be
available to other interested financial
institutions on a fee basis.

Denver National Prom otions
C. Gale Sellens, chairman of the
board and chief executive officer of
Denver National Bank, has announ­
ced the promotions of Harold J.
Ladwig to senior vice president and
trust officer, Logan J. Lucas to vice
president and controller and Rhonda
K. Dominick and Robert A. Gowans
to vice presidents.
Mr. Ladwig holds a finance degree
from Marquette University, and
joined the bank in 1969. Mr. Lucas
joined the bank in 1975, and is a
graduate of Metropolitan State
College. Ms. Dominick was employed
Digitized Northwestern
for FRASER Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

L.J. LUCAS

R.A. GOWANS

Twelve Promoted in Boulde?
The board of the First National
Bank in Boulder has announced the
promotions of Larry E. Meyer to
senior vice president of the co m m J
cial lending department and John W.
Sidwell to senior vice president and
controller. Also announced were the
promotions to vice president of Clair
A. Beckmann, Neil M. Severinsc^
and J. Thomas Frew.
First National Bank also has
announced the following promotions:
Barbara Bennett to operations
officer, Shirley Coatsworth m
operations officer, Richard Fogg to
trust officer, La Verne Kreglo to
assistant trust officer, Rebecca Lecy
to proof operations officer, Vicki
McEvoy to assistant cashier and Ron
Smullens to consumer lending officer.
Promoted at United Banks ^
James W. Swaeby and Jerold E.
Slocum have been elected vice presi­
dents by United Banks of Colorado,
Inc., a multi-bank holding company.
Mr. Swaeby, vice president-r#
source management, has been with
the United Banks organization since
1971. He served at United Bank of
Boulder prior to joining United
Banks in 1974. He is a graduate of th#
University of Colorado where he
earned a BS degree in business and an
MBA.
Mr. Slocum, vice president-infor­
mation management, joined Unite®
Banks Service Company in 1974 as
president and chief executive officer.
He previously was associated with
the Federal Reserve System in
Washington, D.C. He graduate®
from the engineering school of the
University of Southern California
and the Harvard Business School
Advanced Management Program.

by Control Data Corp., Honolulu,
before joining Denver National in
1974. Mr. Gowans joined the bank in Lafayette Promotion
First Natinal Bank of Lafayette
1979.
has announced the promotion oi*
Promoted in Sterling
Mark D. Cummins to loan officer. He
The Commercial Bank of Sterling had previously served as manage­
announces the promotion of Wayne ment trainee. Mr. Cummins joined
J. Pimple from vice president and the bank in July 1978. He received his
cashier to senior vice president.
BS degree in finance from tha*
Betty Jean McKee has been University of Colorado in 1978.

89
h ile y o u a r e r e - e v a lu a tin g c o s ts a n d c h a r g e s
fo r y o u r s e rv ic e s , ta k e a h a r d lo o k a t y o u r
m o n e y o r d e r p r o g r a m . E v e n s m a ll t h i n g s li k e m o n e y
o r d e r s c a n c o n tr ib u t e to p r o f its o r in c r e a s e e x p e n s e s .
W e b e li e v e t h a t T r a v e l e r s E x p r e s s h a s s o m e i m p o r t a n t
r e a s o n s f o r y o u to s w itc h f r o m y o u r o w n m o n e y o r d e r
p ro g ra m to o u rs :
• S a v e t e l l e r s ’ t i m e in is s u in g .
• S im p le r e p o r t i n g a n d r e c o r d k e e p i n g .
• N o c o s t fo r m o n e y o r d e r fo rm s a n d re p o r tin g fo rm s.
A n d , w e c o n tr o l th e in v e n to ry fo r y o u .
• S a v in g s in s p a c e a n d o v e r h e a d b e c a u s e w e s t o r e
p a id ite m s fo r y o u .
• L e s s b a c k r o o m w o r k ; w e d o it f o r y o u .
• F a s t e x c e p tio n ite m h a n d lin g .

▼T

• G o o d c u s to m e r r e la tio n s — w e h a n d le th e “n u is a n c e ”
p ro b le m s a n d d o th e “ lo o k - u p ” w o rk .
• B a la n c e s b u ild b e c a u s e th e y a r e n o t r e d u c e d b y
d a ily c le a rin g s .
N o o t h e r o r g a n iz a tio n c a n p r o c e s s m o n e y o r d e r s m o r e
e f f ic i e n tly t h a n T r a v e l e r s E x p r e s s . T h a t ’s b e c a u s e w e
a r e m o n e y o r d e r s p e c i a li s ts h a n d l i n g a r o u n d 6 5 m illio n
a y e a r ; w e h a v e t h e e q u ip m e n t, t h e s ta ff, t h e k n o w -h o w !
A n d , y o u c a n tr u s t th e s ta b ility a n d fin a n c ia l in te g ­
r i ty o f T r a v e l e r s E x p r e s s . A s a G r e y h o u n d C o m p a n y
w e a r e p a r t o f o n e o f A m e r i c a ’s l a r g e s t c o r p o r a t i o n s
a n d a re b a c k e d b y s u b s ta n tia l re s o u rc e s .
O u r fin a n c ia l r e p r e s e n ta tiv e s a r e n e a r b y . P le a s e
c o n ta c t y o u r n e a r e s t T r a v e le r s E x p re s s o ffic e o r
c a l l m e a t 612 5 4 6 -6161.

“I urge you to take a good
hard look at the profitability
of your own money orders.”
»

Travelers

Express»

C.A.E. Anderson, Jr.
President
Travelers Express Company, Inc.

1. North Central Region 3. Pacific Region
(800) 328-5678*
(800) 854-2421 *
In Minnesota, call:
C alifornia only:
(800) 742-5750*
(800) 472-2472*

5. Southeast Region
(800) 241-9250*
In Georgia, call:
(404) 325-1333

2. South Central Region 4. Midwest Region
(800)5 27-921 0*
(800)323-1511*
In Texas, call:
In Illinois, call:
(214)742-1605
(3 12)2 79-255 0

6. Northeast Region
(800) 257-8418*
In New Jersey, call:
(609) 424-4190

*Toll free WATS line


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Federal Reserve Bank of St. Louis

N o rth w estern Banker, M arch , 1981

90

Introducing

A Trust Assistance Program
for banks that want to size up.
Now you can provide your
customers with the same trust
service expertise we otter
to ours.
It's possible through TAP"-a
new Trust Assistance Program
from Bankers Trust.
Our staff works with you to
otter a variety of services in­
cluding trusts, estate planning,
investing, pensions and re­
tirement accounts — the types
of services your customers might
now be seeking elsewhere,
And to help assure success,
we will conduct tor you
and your customers a series

of seminars dealing with
trust services.
We've developed "TAP" to
encourage better trust services
throughout Iowa communities,
and to help you grow in
today's competitive financial
marketplace,
To initiate or expand the
scope of trust services at your
bank, call on Bankers Trust,
Correspondent Banking Dept.,
2nd Floor, Ruan Center, Des
Moines, Iowa 50309. Or simply
phone us at 1-800-362-1688 or
(515) 245-2475.

Bankers
Come C row T V
w ith us 1 1

| IO i
U vV

Iowa’s Largest Locally Owned Independent Bank
Member FDIC

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w estern Banker, M arch , 1981
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FRASER
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Federal Reserve Bank of St. Louis

91

facilities are being expanded into
recently acquired and remodeled
adjacent property. Also, 24-hour
banking will be introduced to the
Newton community through the
installation of a new ATM in the
downtown office.

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

I BA Ag Credit Conference to be March 16-18
HE IOWA Bankers Associa­
tion’s 1981 Agricultural Credit
Conference will be held March 16-18
at the Scheman Continuing Educa­
tion Center in Ames. An outstanding
array of timely topics and prominent
speakers, including keynoter Marlin
Cackson, a nationally-known bank
advocate from Paragould, Ark.;
James Gill of Illinois Ag Associates,
W. GREINER
M. JACKSON
Bloomington; IB A President Edward
Tubbs of Maquoketa, and William
vjreiner, executive director of the
Family Farm Development Author­
ity, will be present to discuss past,
present and future relations between
^ h e banking and agriculture indus­
tries.
Other speakers will include Dave
1
Kingland, IB A ag committee chair­
man, First National Bank, Mason
l|City, and Mary Garst, Coon Rapids
M. GARST
D. KINGLAND
cattle producer.
Registration begins at noon
Kathy Fisher, director of human
resources at IB A, will be on hand Monday, March 16, with the program
Wednesday noon with a motivational beginning at 1:00 p.m. Registration
©presentation, “The Answer is You.’’ fee is $50.
T

M eriw ether Nam ed President
The First National Bank of
ubuque has elected William G.
ruse to chairman of the board and
chief executive officer. Mr. Kruse,

New Appointees to Board
Roger L. Loerch, president of the
Manson State Bank, announces the
appointments of Jane B. Youell as
chairman of the board and Joe Egli as
a bank director at the local banking
institution.

J.B. YOUELL

J. EGLI

These appointments were effective
at the bank’s annual meeting,
following the retirement of E.W.
Youell, Jr., as chairman of the board
and bank director.
Mrs. Youell has been a bank
director of various banks for the past
25 years. Mr. Egli has been a partner
in Brown Supply, Inc., Fort Dodge,
for 25 years.

New Director, Officers
Charles E. Stoltz has been elected
to the board of American Trust and
Savings Bank of
Dubuque.
Mr.
Stoltz is presi­
Philip T. Kelly was elected to the dent and chief
board of directors. Mr. Kelly is executive officer
president of Communication Proper­ of the Dubuque
ties, Inc.
Packing
Com­
pany.
First Newton to Expand
Promotions in­
A major remodeling and expansion clude Ron Muel­
of the downtown facilities of the First ler to assistant
C.E. STOLTZ
Newton National Bank is underway, personnel officer
E. James Karlin, president, has and Byron Hardy to consumer
announced. The bank’s lending compliance officer.

1981 Iowa Group Meetings
W.G. KRUSE

J.B. MERIWETHER

who is in his 40th year at First
National, was president from 1973 to
the present.
J. Bruce Meriwether, executive
vice president, was elected to
president. Mr. Meriwether has been
with the bank since 1960.

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

Group
8
4
7
2
6
5
12
3

Date
May 4
May 5
May 6
May 7
May 18
May 19
May 20
May 21

City
Maquoketa
Cedar Rapids
Waterloo
Ft. Dodge
Des Moines
Council Bluffs
Okoboji
Clear Lake
Northwestern Banker, March, 1981

92

Io w a N ew s

First National Prom otions
Richard C. Taylor, president of
First National Bank in Sioux City,
has announced
the promotions
of three officers.
DickL. Coffman,
Stephen F. Sar­
gent and Doug­
las A. Schmidt
have been pro­
moted to assis­
tant vice presidei i ‘

rr
D- SCHMIDT
Mr. Coffman
joined the bank in 1975 and was
promoted to farm management
officer in 1977. He received his
undergraduate degree from the
University of Nebraska-Lincoln and
his masters degree from Iowa State
University in Ames.

would not seek re-election as a University in Des Moines in August
director.
of each year.
#
The Margaret I. Hendry Scholar­
ship is awarded to a NABW member
Promoted at Mason City
Harold G. Haver, president and and the Helen L. R hinehart
chief executive officer of United Scholarship is awarded to a woman
Home Bank & Trust Co., Mason employe who is not an officer of h e #
City, has announced the following bank.
The Iowa Group has also
promotions:
established a third scholarship
known as the Betty L. Steele
Scholarship. This scholarship is id®
the form of a $500 grant for the
purpose of enrolling a NABW
member recipient in the Management
Series Seminar and used specifically
for the enrollment fee and the#
individual study modules.
Applications may be obtained by
contacting: Patricia A. Wells,
M. SAWYER
M. MILLER
assistant cashier, Iowa State Bank
and Trust Company, P.O. Box 1700.#
Iowa City, Iowa, 52244.

P. ROE
D.L. COFFMAN

S.F. SARGENT

Mr. Sargent has been with First
National since 1969. He has seven
years of experience in data processing
at the bank and was recently named
the manager of the Morningside
office.
Mr. Schmidt joined the correspon­
dent banking department at First
National Bank in 1978. He received
his bachelor of business administra­
tion degree from the University of
Iowa in Iowa City.
Clinton Changes Announced
Dale Feaster, president of Iowa
State Savings Bank, Clinton, has
announced the promotion of Richard
J. Carlson to vice president and trust
officer and the appointment of Deb
Johnson as assistant cashier.
Mr. Carlson joined the Bank in
February 1979 as assistant vice
president, having previously man­
aged the Southridge Office of Central
National Bank, Des Moines.
Mrs. Johnson has served as head
teller for the bank since January
1979. She began her career with the
DeWitt Bank and Trust.
A.B. Oakleaf, a board member of
the bank since 1954, announced he
Northwestern
Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

J. BLEAKNEY

Belle Plaine Changes
C.P. Groszkruger, president o #
Citizens State Bank of Belle Plaine,
has announced several changes
within the bank.
M.D. Dreibelbis, executive vice
president, has retired. He joined the#
bank in 1952.
Promotions include John Lawlor,
from vice president to executive vice
president; LaDonna Kithcart, from
assistant cashier to assistant vice#
president, and Roger Severson, to
assistant vice president and farm
representative.

John Bleakney to vice president
and farm representative, Martie
Sawyer to assistant operations
officer, Michael Miller to accounting
officer and Paula Roe to personnel
officer.
Mr. Bleakney graduated from
Iowa State University with an ag
business degree, and joined the bank Kellogg-Sully Prom otions
®
in 1972.
Chuck Fritz, president of the
Kellogg-Sully Bank and Trust in
Seek Title Change Approval
Kellogg, has announced the promo­
The following Iowa banks have tion of Bob Terlouw from vice^
filed for approval for corporate title president to senior vice president and™*
changes: Spencer National Bank to Michael L. Grim from commercial
“United Central Bank of Spencer, loan officer and cashier to vice
N.A.” , Central National Bank & president and cashier.
Trust Company of Des Moines to
Mr. Terlouw joined the bank u w
“United Central Bank of Des Moines, 1954. He became a director in 1973.
N.A.” , and Cresco National Bank to
Mr. Grim joined Kellogg-Sully in
“United Central Bank of Cresco, 1976.
N.A.”
NABW to Award IBA
School Scholarships
The Iowa Group of NABW awards
two scholarships annually for one
session only at an Iowa Bankers
Association School. The two schools
are the School of Banking held at the
University of Iowa in Iowa City in
June of each year and the Instalment
Lending School held at Drake

Advanced in Ames
#
University Bank & Trust in Ames
has announced the following officer
promotions: Lois Pannkuk from
operations officer to vice president;^
Rick Carter from branch officer and^
marketing director to branch mana­
ger of the downtown facility, and
Letitia Harder from customer service
supervisor to assistant operations^,
officer.
m

93

Ready with
"'Single System
Banking With

The newest innovations in banking are ready
for you at the National Bank of Waterloo
Computer Center. This new facility, staffed
by experienced bankers, is ready to serve you
with practical, efficient data processing
services . . . at significant savings.
You'll find our correspondent banking and
U l l d a t a processing professionals responsive,
helpful and ready to meet your needs.
Call or write us today.

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NOW

National BankofWaterloo
B ank D a ta P ro cessin g P rofession als
Phone 1-800-772-2411 Waterloo, Iowa 50704


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

Member Federal Reserve System

FDIC

N o rth w estern Banker, M arch , 1981

94

orth
w estern Banker, M arch , 1981
DigitizedNfor
FRASER
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Federal Reserve Bank of St. Louis

95

Know your
customers.
Or else.

L o o k a ro u n d . B an k in g h as b e c o m e o n e of
to d a y ’s m o s t co m p e titiv e b u sin esses.
Y o u r c u sto m e rs a re b e in g w o o e d b y ev ery
financial institution in y o u r m a rk e t area.
#
T h e trick to k e e p in g y o u r c u sto m e rs loyal,
a n d to in creasin g y o u r profits, is k n o w in g as
m u c h a b o u t th e m as p o ssib le a n d k e e p in g
th a t in fo rm a tio n u p d a te d daily.
U n fo rtu n ately , c o m p le te u p -to -th e -m in u te
^ c u s t o m e r profiles a re rare. B a c k g ro u n d in ­
fo rm atio n is o fte n g a th e re d ra n d o m ly a n d
s to re d in m a n y d ifferen t place s, m ak in g it
difficult to o b ta in for useful p u rp o se s.
Until now . Until B a n k s o f Iow a C o m p u te r
S erv ices C e n tra l In fo rm atio n File (CIF).
™ W ith B a n k s o f Iow a C o m p u te r S e rv ic e s’
CIF, c o m p le te in fo rm a tio n o n y o u r c u s to m ­
ers c a n b e o b ta in e d in m o m e n ts, e ith e r o n a
display term in al o r as h a rd copy.

T h e o p e ra tiv e w o rd is ex h au stiv e. S in ce
e v e ry p o ssib le p ie c e of in fo rm atio n g a th e re d
is centrally sto re d , y o u h a v e im m e d ia te a c ­
cess to su c h things as th e sta tu s a n d history
o f a given c u sto m e r’s a c c o u n t a n d his a c ­
c o u n t relationships. T h e b u sin e sse s h e ’s in
a n d h o w th e y ’re doing. A n d a n y p e rtin e n t
fam ily inform ation.
T his in fo rm atio n is critical in m a k in g quick,
k n o w le d g e a b le , pro fitab le decisions.
C IF is th e m o s t e c o n o m ic a l, efficient a n d
sen sib le w ay to g a th e r all this in fo rm atio n
a n d to u se it for in c re a se d profits.
D o n ’t
k id
y o u rs e lf.
T h e r e a r e n ’t m a n y n e w
c u s to m e rs a r o u n d . W h a t
y o u n e e d to d o is e x p a n d
th e w ays y o u r existing c u s ­
to m e rs u se y o u r b an k .

B e c a u se a lot of o th e r financial institutions
w o u ld like th e m as cu sto m ers. A n d a re trying
to g et th em .
C a n y o u tru st y o u r c u sto m e rs? Y es — if
y o u ca n tru st y o u r in fo rm atio n retrieval sy s­
tem .
A n d th a t m e a n s CIF.
C o n ta c t u s to d a y fo r a n a p p o in tm e n t.
W e ’ll b e glad to e x p lain o u r sy stem a t y o u r
c o n v e n ie n c e .
F or m o re in fo rm a tio n call J o e P h e rn e tto n
o r B IC S m arketing a t (319) 3 9 9 -3 6 0 0 .

BICS

IS I
"Banks of Iowa Computer Services o
c

A “ BANKS OF IOWA’’ SUBSIDIARY


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Federal Reserve Bank of St. Louis

N o rth w estern Banker, M arch , 1981

96

Io w a N ew s

LEFT-Tricia Faulkender, sr. v.p. and dir., Financial Shares Corp., Chicago, and DaveMcNichols, v.p., banking professions, IBA. RIGHTBarry McCroskey, husband of Cindy McCroskey, conference and convention coordinator, IBA, and Tom Clarkson, v.p., communications
and government relations, IBA.

Staff Training Seminars Held Around State
ifi A NEW Twist- Turning Prosr \ pects Into Customers” was
presented at 12 locations around the
state during January and February.
The staff training seminars spon­
sored by the Iowa Junior Bankers
Association, were presented by
Financial Shares Corporation of
Chicago personnel.
The Des Moines seminar, held at

Northwestern
Banker, March, 1981

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

the Hyatt Hotel, followed a banquet
and was attended by approximately
325. Conducting the program was
Tricia Faulkender, senior vice
president and director of training
services for Financial Shares.
In a fast-paced, energetic style,
Ms. Faulkender stressed that the
purpose of ‘‘A New Twist” was to
motivate each staff member into

wanting to sell and to enjoy doing it^
She utilized slides to emphasize her
points.
Topics included in the program
were “The future is not what it used
to be,” “Selling is part of the change
and “Achieving personal and profes­
sional success.”
Ms. Faulkender said she believes
“Banks fall into two categories- those
that are aggressive and willing to try®
new ideas and those that are not.”
She identified the five trend-setting
states in regard to banking attitudes
but said unfortunately, Iowa is not
one of them.
£
According to Ms. Faulkender,
everyone in a bank is responsible for
selling, and describe in detail how
indirect selling is possible especially
for tellers. She described the “ Perfect®
Teller Contact” , which customarily
includes a ten second greeting, 75
seconds for processing and a five
second closing. A “Perfect Teller”
will work into this time 15 seconds of®
customer relations, she said.
The ten steps everyone in a bank
can utilize to sell are “Call customers
by name, clue sell, make outside sales
calls, cross-sell new prospects a n d #
existing customers, solve problems
pleasantly, provide efficient service,
maintain warm and professional
image, sell friends and relatives on
your bank, actively use your banking#
services and promote your bank
often,” Ms. Faulkender said.
Correction: At Peoples Bank and
Trust Company, Waterloo, Donald
L. Porchet has been named executive
vice president and John L. Calton
was elected executive vice president
of Peoples Bankshares, Ltd., a
locally-owned one bank holding
company.

‘Buy and good-bye
99

it

4- Som e insurance sales
>eople seem to think they
:an disappear after the sale.
Not us.
Our representatives will
>e there when you need
hem. With as much
Merest and enthusiasm as
he day they sold your bank
ts insurance coverages.
Why? Because Iowa
¿inks are our only
Customers. And our

company shareholders. So
the last thing we want is an
angry shareholder.
And because we sell
only to banks, we make
sure our representatives
know them inside and out.
(In fact, we have over 100
years of combined banking

insurance expertise at your
disposal.)
It all adds up to better,
tailored insurance programs
for your bank. From better,
service oriented people.
How long has it been
since you last saw your
insurance representative?
Maybe you should call
one of ours. At 5152 8 6 -4 3 0 0 or toll-free at
1-800-532-1423.

to

IOWA BANKERS INSURANCE & SERVICES, INC.
4 3 0 Liberty Building, Des Moines, Iowa 5 0 3 0 8


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

Providing insurance protection just to banks.

98

Io w a N ew s

Peter Garatoni Retires
Peter Garatoni, 69, chief executive
officer
and chairman of the board of
EPOSIT and loan figures for Iowa banks reporting deposits of $50
million or more at year-end are shown in the chart below. Comparative Union Trust &
Savings Bank of
figures from a year ago are featured.
Fort Dodge, has
(Last three figures omitted)
retired. Mr. Gar­
atoni’s
career
Decernber 31,1980
December 31,1979
Deposits
Loans
Deposits
Loans
spanned 45 years
1. lowa-Des Moines Natl............................$742,211
5742,211
$420,136
$663,886
$430,362
of banking from a
2. Bankers Tr., Des M o in e s ........................ 452,091
310,157
347,438
305,299
small, one-man
3. Davenport Bank & T ru s t.........................391,771
391,771
178,490
355,096
203,840
office
in Lehigh,
4. Merchants Natl., Cedar Rapids............ 354,272
187,344
378,716
208,201
5. Central Natl. B&T, Des M o in es............ 281,557
140,924
242,712
145,462
to head of north
6. Security Natl., Sioux City ..................... 220,881
119,141
224,092
126,827
central
Iowa’s
7. Natl. Bank, W aterlo o ............................. 158,396
85,305
161,015
88,385
largest
commerP GARATONI
8. Valley Natl., Des M o in e s ....................... 153,855
88,687
141,851
95,408
cial bank.
q
9. Toy Natl., SiouxCity ............................. 142,404
77,386
147,946
83,283
In 1934 Mr. Garatoni began work
10. First Natl., Sioux C ity............................. 137,925
84,526
134,554
91,512
11. American T&S, Dubuque........................ 136,018
83,375
134,090
83,138
as manager of the Lehigh office of the
12. First Natl., lowaCity .............................. 134,897
83,226
123,187
82,308
then Burnside Savings Bank. He has
13. First Natl., Dubuque................................ 129,654
80,347
116,418
70,919
been
continuously associated with
14. Peoples B&T, Cedar Rapids.................. 120,869
69,206
118,011
74,136
this bank, which later became 1 m m
15. Council Bluffs Sv. Bk............................... 119,574
79,635
111,826
81,542
16 Waterloo Savings Bk................................. 117,342
64,814
Union Trust & Savings Bank, with
111,238
69,545
17. DubuqueB&TCo...................................... 116^518
116,518
111,215
104,158
81,762
the exception of World War II service
18. First Natl., Mason C ity ............................ 115,623
83,944
109,543
82,399
in the Air Corps from 1942 to 1946.
19. Iowa St. B&T, lo w a C ity ......................... 107,656
65,050
98,228
63,289
Mr. Garatoni moved to Fort Dodge in
20. Northwestern Natl., Sioux C ity ............ 106,545
69,905
118,780
77,151
1949 when the Burnside bank’o
21. Peoples B&T, W aterlo o .........................105,179
105,179
58,455
93,552
57,820
22. Union B&T, O ttum w a.............................. 105,084
61,355
95,923
64,358
charter was transferred to become the
23. Northwest B&T, Davenport....................104,472
104,472
65,869
94,060
80,607
Union Trust & Savings Bank. His
24. Union T&S, Ft. Dodge ........................... 96,799
60,064
96,910
64,537
advancement within the bank
25. Security Sv., Marshalltown................... 95,505
54,966
87,939
58,383
continued and in 1971 he was elected
26. United Home B&T, Mason C ity ............ 94,558
63,546
86,651
67,662
27. First Natl., M u scatine........................... 94,082
Union Trust president. In Jan u ary
71,425
91,101
64,781
28. First Natl., Ft. Dodge............................. 93,107
59,555
83,463
61,173
1980 he was elevated to chief
29. Central St. Bk., Muscatine............
90,050
41,521
84,595
45,320
executive
officer and chairman. Mr.
30. West Des Moines St. Bk.......................... 89,097
58,942
76,731
57,282
Garatoni
will
continue to serve Union
31. Monticello State Bk................................. 87^181
87,181
49,547
82,172
53,916
Trust as board chairman.
32. First Natl., Council B lu ffs ..................... 86,583
52,091
80,762
52,964
33. First Natl., Burlington........................... 86,526
51,768
69,905
55,800
m
34. Citizens First Natl., Storm L a k e .......... 86,074
51,874
77,523
52,408
Joins
Iowa
City
Bank
35. JasperCounty Sv., N ew ton.................. | I 84,249
84,249
75,104
49,011
51,939
36. PeoplesT&S, Indianola........................ ' 83,541
83,541
45,758
73,627
49,560
A. Russell Schmeiser has joined
37. Hawkeye B&T, Burlington..................... 78,256
48,165
68,711
46,093
the First National Bank, Iowa City,
38. State Bk., Ft. Dodge............................... 78,222
57,489
71,143
57,749
as senior vice president, after having
39. Capital City St. Bk., Des M oines.......... 76,011
52,740
73,452
54,968
40. First Natl., Ames ................................... 75,693
36,914
received his Juris Doctorate from the
69,539
34,715
41. Farmers St. Bk., Marion......................... 74,519
40,988
70,855
44,185
University of Iowa in December. He
42. Hills B&TCo., Hills ............................... 70^534
70,534
41,865
58,472
38,061
received his BBA in 1971 and MBA in
43. State B&T, Council B lu ffs ..................... 70^250
70,250
40,536
58,306
38,890
1972, both from the University of
44. Clinton Natl., Clinton............................. 68^509
68,509
43,335
63,295
41,918
45. Bettendorf B&T Co.................................. 65^224
Iowa, and was affiliated with t l ^
65,224
35,443
56,142
41,675
46. Fidelity Brenton B&T, Marshalltown .. 64^576
64,576
48,246
60,721
48,007
bank from 1969 to August, 1978, at
47. Plaza St. Bk., Des M o in e s ..................... 63J78
63,178
45,463
56,111
40,287
which time he took a leave of absence
48. Maquoketa State Bk................................ 61^309
61,309
44,076
55,247
44,648
to attend law school.
49. First T&S, Davenport............................. 61,123
61J23
46,698
59,680
45,713

Largest Banks in Iowa

D

50.
51.
52.
53.
54.
55.
56.
57.
58.
59.
60.
61.
62.
63.

Jackson State B&T, M aquoketa............. 61,019
First Natl., C lin to n ....................................60^421
60,421
Brenton Natl., Des Moines ..................... 60Í284
60,284
Atlantic State Bk.........................................58Í976
58,976
Mahaska St. Bk., Oskaloosa................... 58^257
58,257
FarmersMer. Bk., Burlington................. 57^515
57,515
Decorah State B a n k ..................................56^002
56,002
State Central Sv. Bk., K eokuk................. 55^657
55,657
First Security B&T, Charles C ity ............. 54^460
54,460
First Natl., O ttu m w a ................................53^655
53,655
First Natl., Marion ................................. 53,357
53,357
Brenton First Natl., Davenport............... 52^489
52,489
PellaN atl.B k............................................ 50,980
Houghton St. Bk., Red O a k ..................... 50^093
50,093

41,034
37,775
39,704
26,142
40,610
20,624
31,408
28,763
36,799
32,460
29,956
36,277
30,060
36,916

55,891
56,756
59,645
52,226
57,994
53,153
50,046
51,780
48,943
51,196
48,064
48,901
43,190
46,370

43,525
39,471
41,604
28,039
41,078
22,324
32,633
27,609
35,116
32,178
34,757
34,371
29,909
37,058

Henry County Prom otions •
Elected to new positions at the
Henry County Savings Bank of Mt.
Pleasant were David H. Carrick,
executive vice president and cashier||
Linnetta Hunsaker, assistant vice
president and trust officer; Steven K.
Brimhall, assistant vice president
and
agriculture
representative;
James E. Henss, assistant viqj)
president; Carol Liechty, assistant
election of C. J. Gerzema to president. vice president; Gary K. See,
Gerzema Elected President
Mr. Gerzema has been with the bank assistant cashier and office manager;
W .D. Ley, chairman of the board of since 1958 and is a graduate of the Caralee Beames, assistant cashier;
Farmers Trust and Savings Bank in Wisconsin School of Banking and Ruth Wilson, assistant cashier, antj^
Buffalo Center, has announced the Agricultural Credit School, Ames.
Lotis Wittmer, assistant cashier.
Digitized Northwestern
for FRASER Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Should havecalled
Drovers.
They don't
keeptheir
Correspondents
hangingon
a loan.

Want straight talk
GT3
and fast action?
Then ... bank where
the bull stops.
Drovers Bank.
Work with correspondent
banking pros like
John Crotty, Max Roy,
Andy Ruments and Kathy Hardy
They won’t keep you
hanging on a loan ...
or a line.
Put us to the test.

Drovers Bank

of Chicago

47th Street & A shland Avenue, C hicago, IL 60609 (312) 927-7000
M em ber Federal Reserve System


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Federal Reserve Bank of St. Louis

N orth w estern Banker, M arch , 1981

100

Iowa News

First N atl. Promotes Four
The First National Bank of Mason
City has promoted David L.
Kingland to senior vice president,
David A. Nauman to vice president commercial banking, A.R. “Al”
Gemaehlich to vice president marketing and Dixie Ann Mennen to
assistant vice president.

A.R. GEMAEHLICH

D.A. MENNEN

Mr. Brandt is president of
Edwards-Brandt and Associates, a
general insurance and real estate
firm. Mr. Reed is vice president and
midwest regional manager of Armour
Food Company.
Mr. Kingland began his banking
career with the First National Bank
in June 1972 as assistant vice
president. He was elected vice
president, agricultural department in
April 1974.
Mr. Nauman joined the First
National Bank in February 1977 as
assistant vice president in the
agricultural department. Prior to
that time, he was employed as an
examiner with the Iowa Department
of Banking.
Mr. Gemaehlich joined the First
National Bank in July 1969 as an
instalment loan interviewer. He was
elected assistant vice president and
marketing officer in June 1979.
Ms. Mennen joined the First
National Bank in 1945. Her duties
have included secretary to the late
president, Fred Heneman. She
transferred to the instalment loan
department in 1963.

First National Bank of Mason City
has also elected Ned C. Brandt and K.
Don Reed directors.
Edna Herbst Named to
Marion Bank Board
Edna A. Herbst of Cedar Rapids
has been elected to the board of the
First National Bank of Marion
according to an announcement by
Phil Morris, president. Ms. Herbst is
vice president and secretary of the
Cedar Rapids Television Company,
which operates KCRG-TV and
KCRG Radio and is a member of the
executive committee and editorial
board of the KCRG stations. She also
serves as director of promotion,
publicity and public affairs for the
stations.
Council Bluffs Changes
N.P. (Sandy) Dodge, Jr. has been
elected a member of the board of the
Council Bluffs Savings Bank. He is a
great grandson of N.P. Dodge, who
served as the bank’s president from
1870 to 1902. He is president of N.P.
Dodge Company in Omaha, a real
estate firm.
Officer promotions include: Dor­
othy D. Sloma, from assistant trust
officer to trust officer; Ronald W.
King, from assistant cashier to
Digitized Northwestern
for FRASER Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

K.E. SUMMY

B. WHYTE

M.A. SMITH

L.R. SHANK

assistant vice president; George Æ
Rossum, assistant cashier to assis­
tant vice president; Bill Whyte, from
assistant vice president of First
Wyoming Bank, Wheatland, to
assistant vice president; Kelly ^
Summy, from assistant cashier to
farm manager; Mary A. Smith, to
assistant cashier, and Linda R.
Shank, to administrative assistant to
the president.
®
T. M artin Nam ed President
Thomas S. Martin has been named
president of the First State Bank q£)
Mapleton. He has been with First
State the past nine years and most
recently served as executive vice
president. Mr. Martin is a graduate
of Coe College, and previously wa<|>
employed with Merchants National
Bank for five years.
New directors are James Hongslo,
vice president of Security National
Bank of Sioux City, and Kendaj)
Sexton, an area farmer.
The First State Bank was recently
acquired by the Security National
Corporation of Sioux City, which also
owns controlling interest in Securit]||i.
National Bank and Northwestern
State Bank, Orange City.
Burlington Prom otions
Douglas S. Grinde, president of
Hawkeye Bank and Trust of
Burlington, has announced the
following promotions:
Dennis Dietzman t vice president.
Frank Delaney III to assistant vie"
president and trust officer, Andrew
Opiekun to assistant vice president,
John Walz to trust officer, Stephen
E. Larson to assistant cashier an
manager of the Salem office, To «
Murphy to assistant cashier, Barry
Corson to assistant trust officer and
Tom Vance to insurance officer.
Mr. Dietzman is manager of th ^
instalment loan department and is et
graduate of Southeastern Commun­
ity College. Mr. Delaney holds a
masters degree from Western Illinois
University and has been with tha
bank for seven years.

MAKING THE
MOST OF THE

MONEY
MARKETS.

In today’s investment climate, the Money
Market is getting a lot of attention, and
for good reason: short-term, high-yielding
instruments are som e of the more
attractive investments available.

portfolios of many other Iowa banks. Our
specialists work full-time at keeping pace
with daily Money Market developments.
And we get up-to-the-minute market data
on our Telerate and Munifacts terminals.

The investment professionals at the
Iowa-Des Moines would like to help you
make the m ost of these opportunities.

In short, we’re equipped to help you
make the right moves at the right times
with the investment funds you’re
responsible for.

We help manage the Iowa-Des Moines’
own investment portfolio, as well as the

Call us and let’s discuss your needs.

IO W A-.

nesMoines
A

A

NAT IONAL BANK BANCO

Member FDIC An Affiliate of Northwest Bancorporation
7th and Walnut, Des Moines, Iowa 5 0 3 0 4 (5 1 5 ) 2 4 5 -3 1 3 1
Call toll-free 1 -8 0 0 -3 6 2 -2 5 1 4

Lynn Horak

John Hunt

Voldy Vanags

Janine Young

John Johnson

Roger Mahoney

Radona Watrous

©IOWA-DES MOINES NATIONAL BANK 1981


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Federal Reserve Bank of St. Louis

102

Io w a N ew s

Northwestern in 1974. He is a
graduate of Morningside College
where he majored in the social
sciences.
Appointed at Le Mars
Le Mars Savings Bank P resided
Gordon L. Mennen has announced
that Ross Harden has been appointed
an assistant cashier and loan officer.
Mr. Harden has seven years of
banking experience with the A.&
Academy National Bank. He is a
graduate of Augustana College,
Sioux Falls.
Mr. Mennen also reported that
Wayne Heien has been added to thF
auditing staff of the Le Mars Savings
Bank. He is a 1980 graduate of
Westmar College.

NORTHWEST Bank & Trust Co. occupies 14,000 square feet of the new Northwest Bank
Tower which opened in Bettendorf recently.

New Northwest Bank Tower Opens
HE NEW Northwest Bank
T
Tower in Bettendorf opened for
business recently. City officials,
bankers, officers and directors of the
bank and other dignitaries were
present for the ribbon cutting
ceremony. Mayor Glynn cut the
ribbon, decorated with new $100
bills, at the entrance of the new
facility.
Northwest Bank & Trust Co.
opened its doors on Washington
Street in 1941, and moved to West
Locust Street in 1953. In 1974 the
eight-story building on Kimberly
Road was opened.
The new Bank Tower at Middle
Road and Spruce Hills Drive is a
six-story high rise with Northwest
Bank occupying approximately
14,000 square feet on the ground and
second floors. The exterior of the
Bettendorf Tower is similar in
structure and appearance to the
Northwest Tower at Northpark, with
an exterior glass curtain wall which
essentially heats itself.
Brenton Declares Dividend
The board of directors of Brenton
Banks, Inc. declared a regular
dividend of 25 cents per common
share to stockholders of record
January 20, 1981. This represents an
increase of 6.4% over fourth quarter
dividends of a year ago. On an annual
basis, the current dividend rate
Digitized Northwestern
for FRASER Banker, March, 1981
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

equals $1.00 per share. On December
31, 1980, over 1,000 shareholders
held the 1,075,554 shares of the
com pany’s outstanding common
capital stock.
The board of directors also declared
a regular quarterly dividend on the
60,000 shares of Series A $9.50
cumulative preferred stock.
Sioux City Prom otions
Stanley W. Evans, president of
Northwestern National Bank of
Sioux City, announced promotions
for two bank officers, Timothy
Nelson and Roger Solheim, to
assistant vice president. Mr. Solheim
is the organization’s credit officer,
and Mr. Nelson has recently assumed
expanded responsibilities in the
bank’s real estate department.
Mr. Solheim earned his MBA at
the University of South Dakota. He
joined Northwestern in 1977.
Mr. Nelson became associated with

T. NELSON

R. SOLHEIM

New Directors Elected
David A. Shern, president, First
Trust and Savings Bank, Davenport,
announced that four new directoi#
were elected to the board. Also two
long time directors, H.J. Lischer and
A.W. Barnes, were elected directors
emeritus. The four newly-elected
directors are Howard Cherry, Ed*
mund E. Seyfried, Jr., Lawrence J.
Siegel and Julian Weigle.

H. CHERRY

E.E. SEYFRIED, JR.

L.J. SIEGEL

J. WEIGLE

Mr. Cherry is president of
Hansaloy Corporation and Howden
Corporation, both in Davenport. Mr.
Seyfried is president, MidwesP
Division, Martin Marietta Cement
Co. Mr. Siegel is president of
Samuels Jewelers, Inc. Mr. Weigle is
president of Swan Engineering and
Machine Co.
•

Io w a N e w s

Sioux C enter Changes
^T h e First National Bank of Sioux
Center recently announced two new
officer appointments. Richard L. De
Boer and Anita J. Van Bruggen were
¡jfomoted to instalment loan officer
and assistant cashier, respectively.
Prior to joining the bank in 1980,
Mr. DeBoer worked with Postal
Finance in Sioux City. Ms. Van
^ruggen has been with the bank since
1971 and has held several positions
since starting in the bookkeepingteller department.
The board of directors also
Announced several other promotions.
Lauren Kaemingk was promoted to
sr. vice president, Frances Wynia to
vice president, Dennis V. Benna to
vice president, and Beverly J. Jensen
S vice president and cashier. Stanley
W. Speer and Wilma Kempers were
appointed assistant vice presidents
and Jeff Timmer moved to agricultur­
al loan officer.
® Edna Kroon has retired after a
career spanning over 40 years. She
joined the bank in 1940 and was

elected to the board of directors in
1974. She was appointed to an officer
position in 1948 and her most recent
position was sr. vice president and
cashier. Ms. Kroon will continue to
serve on the board of directors.

New Brighton President
At their annual meeting, directors
of the Rubio Savings Bank of Brigh­
ton
advanced
Dean Edwards
to president from
executive
vice
president. Dr. M.
L.
McCreedy,
who had been
president, was
named chairman.
Mr. Edwards
joined the bank
D. EDWARDS
in 1953 and has
served the past 14 years as chief
executive officer. He is a 1979
graduate of the Graduate School of
Banking at the University of
Wisconsin in Madison.

I

103

Fourth Generation
Lindquist for Gowrie
Maurice W. Lindquist, president
of First State Bank of Gowrie, has
announced the
promotion
of
Nels A. Lind­
quist to the posi­
tion of executive
vice president.
Nels Lindquist
has served the
bank as assistant
vice
president
and vice presi­
N.A. LINDQUIST
dent for the past
three and a half years. He is the
fourth generation of the Lindquist
family to be associated with the
Gowrie bank. Frank Lindquist, a life­
long resident of Gowrie, was Nels’
grandfather.
Great-grandfather,
N.A. Lindquist, was first associated
with the Gowrie bank in 1894.
Nels Lindquist is a graduate of
Cornell College in Mt. Vernon. He
attended law school at Drake
University.

Statement of Condition
December 31,1980

Resources

Liabilities

Cash and Due from B a n k s ................. $ 22,556,044.82
22,204,578.87
U.S. G overnm ent S e c u r it ie s .............
20,955,010.83
M u nicipal B o n d s ...................................
7,753,250.53
U.S. A gency Bonds ............................
O ther S ecuritie s in c lu d in g $216,000
1,017,265.58
Federal Reserve Bank S t o c k .........
Loans, Net of Unearned
80,891,772.47
D isco u n t ($1,86 1,43 4.34 )...............
Less:
(579,208.23)
Reserve fo r P ossible Loan Losses
3,100,000.00
Federal Funds Sold ............................
B anking House, F u rn itu re
2,609,762.47
and F ixtu res .....................................
2,343,252.44
O ther A s s e ts .........................................
T O T A L ................................................ $162,851,729.78

C a p ita l....................................................
S urp lu s ..................................................
U ndivided P r o f i t s .................................
Reserve fo r C o n tin g e n c ie s .................
Total E quity C a p it a l........................
P rovision fo r Taxes, Interest
and E x p e n s e s ...................................
O ther L ia b ilit ie s ...................................
Interest Bearing Demand N otes
to U.S. Treasury ..............................
Federal Funds Purchased and
S ecuritie s Sold under A greem ents
to R e p u rch a se ...................................
D eposits ................................................
T O T A L ................................................

OFFICERS

John J. Savary

William G. Kruse

Assistant Vice President
Manager West Dubuque
Office

Chairman of the Board
& Chief Executive Officer

400.000. 00
800.000. 00
889,901.10
176,735.32
266,636.42

2 006,611.82
199,498.91
621,521.87

18 104,028.05
129 653,432.71
$162 851,729.78

William G. Kruse

Chairman of the Board &
Chief Executive Officer

Dale P. Repass

Vice President and
Trust Officer

John W. Law

Richard T. Tempelman

Mark J. Willging

President

Assistant Vice President

Trust Officer

Chairman of the Board,
John W. Law Co.

Gladys A. Hueneke

Kenneth E. Weitz

John K. Lawson

Senior Vice PresidentSpecial Lending

Assistant Vice President

Trust Administration
Officer

General Manager, John
Deere Dubuque Works

L. Richard Winter

Comptroller

Senior Vice President

David W. Spahn

Daniel E. Welu

Auditor

Vice President and Cashier

P. Jeanne Sinhold

Raymond J. Schirmer

Robert G. Koehler

Real Estate Loan Officer

Vice President—Accounting

Sara J. Candy

Thomas J. Stecher

Personal Banking Officer

Vice President—Operations

Mary A. Piersch

J. Bruce Meriwether

President

DIRECTORS

Wayne A. Norman

Edward A. Babka

Planning and Development
Officer, University of
Dubuque

President, Babka
Publishing Co.
Paul L. Britt

Roger J. Rhomberg

Personal Banking Officer
Manager Asbury Office

Vice President, General
Manager, Toledo Stamping
& Mfg. Co., Dubuque
Division

James E. Walsh

Alan L. Schuster

PaulJ. Gisch

N.J. Yiannias

Vice PresidentAgricultural Lending

Personal Banking Officer
Manager North Dubuque
Office

Senior Vice PresidentSpecial Lending

John M. Hansen

Mary Jo Keating

Vice PresidentInvestments

Advertising and Promotion
Officer

Richard A. Bean

Mark E. Small

Vice President—Finance

Credit Officer

Vice President—Loan
Administration
Leo M. Mallie


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

2
4
4
.......
$ 12

Paul J. Gisch

J. Bruce Meriwether

Thomas W. Buelow

Dubuque,
Iowa

TRUST DEPARTMENT

$

President, Rhomberg Fur Co.
President, Bird Chevrolet Co.
President, Dubuque Theatre
Corp; President, Key City
Investment Co.

Jim H. Houtz

President, CyCare
Systems, Inc.
Philip T. Kelly

President, Communication
Properties, Inc.

Northwestern Banker, March, 1981

104

The Iowa-Des Moines National
Bank will host, throughout the State
of Iowa, a series
of banking man­
agement confer­
ences.
“Insights ’81”
will be held in
five cities across
the state and will
cover key bank­
ing issues inclu­
ding bank tax
E.G. PRECHT
planning, inter­
national business, investments, oper­
ations, retail banking and bankcard
strategies.
Locations for “Insights ’81” are as
follows: Creston—Creston Elks
Lodge, Wednesday, March 18. Storm
Lake—Lake Creek Country Club,
Thursday, March 19. Ames—
Gateway Center Motor Hotel,
Tuesday, March 24. M uscatineHoliday Inn, Wednesday, March 25.
Waterloo—Sunny side Country Club,
Thursday, March 26.
Eugene G. “Bud” Precht, the
newly elected president and chief
executive officer of the bank will
preside over the meetings and
speakers include: William E. Clark,
second vice president and manager,
BankCard marketing; H. Lynn
Horak, group vice president and
manager,
investment
services;
Robert G. Millen, group vice
president and manager, retail
banking; Dennis R. Morrison, vice
president and controller; John A.
Sikkink, senior vice president and
cashier, and David L. Tremmel,
group vice president, international
banking.
Dorothy Wolfe, will handle reser­
vations.
 Banker, March, 1981
Northwestern
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Robert E. Lee, president and chief
executive officer of the Iowa-Des
Moines National
Bank announced
these promotions
following
the
February meet­
ing of the board
of directors:
John P. Rigler
has been named
second vice presi­
dent, Iowa bank­
J.P. RIGLER
ing. He joined
the Iowa-Des Moines as a manage­
ment trainee in 1976. He joined the
correspondent banking department
and was named correspondent
banking officer in 1979. Mr. Rigler
received his undergraduate degree
and MBA from the University of
Iowa.

Mark E. Conway has been namec
Iowa banking officer. He began at #<|
Iowa-Des Moines in 1977 as
management trainee. Most recently
he has been correspondent banking
representative. Mr. Conway is
graduate of Northeast Missouri StHJ
University and received a degree ill
Business Administration.
Christine A. Miller was name<]
personal banking officer and assis
tant manager, Douglas office.
joined the Iowa-Des Moines ii
March, 1978 as a managemei
trainee following graduation froi
Iowa State University and holds
Bachelor’s degree in Industi
Administration with an emphasis i^
Finance.
Gary R. Moritz was name<|
personal banking officer and ass¿
tant manager, Fort Des Moir
office. He joined the Iowa-De|
Moines in 1976 upon graduation froi
the University of Iowa.
Elizabeth A. Bryant was nai
credit officer. She joined
Iowa-Des Moines as a managemen|
trainee in 1979, and is a graduate
Colorado State University where sh|
majored in Finance.
John H. Barkley has been naniT
operations officer. He has been witj
the Iowa-Des Moines since 1957.
Frank J. Marcovis has been named
trust officer. He began at
Iowa-Des Moines in 1979, and is J
graduate of Drake University and
Nicholas J. Preftakes has beei
named real estate loan officer. Hi
joined the staff as a managers _
trainee in 1979. He received hij

N.J. PREFTAKES

C.A. URNESS

C.A. MILLER

G.R. MORITZ

J.H. BARKLEY

F.J. MARCOVIS

E.A. BRYANT

M.E. CONWAY

105

"Before I begin, I respectfully request the board not to
# pounce until the entire loon loss report is complete."
Loan losses make everyone
unhappy. You. Your customer.
Your board of directors.
||li< And, the fact is that most
loon losses ore the result
of poor documentation and
misunderstanding of the low; not
poor credit evaluation.
8*
Central National Bank can
help eliminate unnecessary loss

before the loon is mode. We have
the most accurate, up-to-date
loon manuals available in Iowa,
covering commercial/industrial,
consumer, and real estate loons,
including loan forms.
All materials in the manuals
ore current, written by bankers, and
reviewed by counsel. Many newlydesigned forms ore included,

and both the forms and procedures
ore designed for use by either
State or National banks.
Loons should be explained
to the customer, not the board of
directors. Get the latest loon
information available. Coll our
correspondent bonking department,
toll-FREE, 1-600-362-1615.
We'll explain it oil to you.

Central National Bank & Trust Company
DES MOINES (515) 245-7111 MEMBER FDIC

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Federal Reserve Bank of St. Louis

Northwestern Banker, March, 1981

106
Io w a N ew s
undergraduate degree and MBA from
the University of Iowa.
Cynthia A. Urness was named
computer services officer. She
transferred to the Iowa-Des Moines
in 1979 from Northwest Computer
Services as a Computer Service
Representative. She attended Grand­
view Junior College and has
completed AIB training courses.
John R. Harmeyer, president of
Plaza State Bank, announced the
following promotions: Roger E.
Johnson and Merle J. Baumhover to
vice president; Helen J. Hoon, Donna
M. Jones, Bonnie N. Luellen and
Veva Cramblit to assistant vice
president, and Val Lawrie, Colleen
Schaffer, Kathleen Vandermeulen
and Donna Yeager to assistant
cashier.
In his report to directors and
stockholders Mr. Harmeyer also
announced the bank’s assets at over
$73,000,000 a 12.5% increase in
deposits over 1979.
* * *
Paul D. Dunlap, president of
Hawkeye Bancorporation, reported
1980 financial results at the regular
quarterly meeting of the company’s
board of directors. Hawkeye Bancor­
poration’s net income for the fourth
quarter of 1980 was $2,816 million, a
33% increase over $2,113 million
recorded a year ago. Per share
earnings were $.68 compared to $.51.
For the full year, net income was
$10,347 million, up 20% from $8,645
in 1979. Net income per share was
$2.50, up 16% from $2.16 a year
earlier. Securities transactions did
not have a significant effect in either
year. All per share figures have been
adjusted for a 5 % stock dividend paid
in December, 1980.
Hawkeye Bancorporation reached
a new landmark in 1980. Year end
consolidated assets were $1,153
billion, the first time the company
has exceeded the billion dollar level.
Adel Bank Changes Nam e
Wayne Geadelmann, president,
Dallas County State Bank, Adel,
announced recently that the bank’s
stockholders approved a name
change for the $50 million bank to
The Brenton Bank and Trust
Company.
Mr. Geadelmann noted that 1981
marks the 100 year anniversary of the
Brenton organization; therefore, the
board felt it was appropriate to make
the change this year.
Northwestern
 Banker, March, 1981
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Federal Reserve Bank of St. Louis

Farley Prom otions
Stockholders of the Farley State
Bank in Farley have elected Dubuque
attorney Robert Buresh as a member
of the bank board of directors.
Directors at their meeting advan­
ced Joseph D. Daly from vice
president and cashier to executive
vice president and senior loan officer.
Daniel C. Willenbring, formerly
assistant cashier, was promoted to
cashier and operations officer. Nancy
Dunkel was advanced from secretary
to assistant loan officer and Joan
Honkomp was elected assistant
cashier.
Mr. Daly has been on the staff of
the Farley State Bank for 10 years.

president, died recently. Mr. Kirch-I
ner, 73, had been a director
Clarence Savings Bank for over tei
years.
New Hills Director
Ronald E. Stutsman, treasurer^!
Eldon C. Stutsman, Inc., Hills, has
been elected to the board of directors
of Hills Bank and Trust Company]
Mr. Stutsman replaces Eliln^B
Draker, who died in 1980.
Elected in Persia
Elected at Home Savings Bank pi
Persia were W.E. Darrington]
longtime director, to vice president!
Dorothy Elias to cashier and Jai
Wilson to assistant cashier. W.MJ
Stamp was elected to the board.

Evansdale Prom otions
The Evansdale State Bank has
promoted George R. Mullins to vice Brown Elected CEO
president and cashier and Keith
Frank J. Eicher, chairman anc
Comfort to assistant cashier. Gene
president,
Unibank & Trust of Coral]
Riley, executive vice president, was
ville,
has
an­
elected to the board of directors.
nounced the elec­
tion of John W.
Tipton Personnel Changes
Brown to chief
Promoted at Tipton State Bank executive officer
were R. J. Ferguson to executive vice and the board of
president and trust officer, R.L. directors.
Mr.
Lehmeier to vice president and Brown joined the
assistant trust officer and Michael H . bank in 1980 as
Cord to cashier and manager, executive
vice
instalment loan department.
president
and
J. W. BROWN
trust officer. He
Council Bluffs Prom otion
was previously employed at Ottumwq
David N. Walthall, president of and Sioux City banks.
State Bank and Trust of Council
Bluffs, has an­
Oxford Stock Dividend
nounced
Pam
The shareholders of First Trusl
Barnes, adminis­
and Savings Bank of Oxford voted tJ
trative assistant
increase bank capital from $100,00<j
in the real estate
to
$200,000 by stock dividend,
department, has
sets
of the bank at year end Decembe|
been promoted to
31,
1980
stood at $9,546,000.
real estate loan
1981
marks
First Trust an«
officer. She join­
Savings
Bank’s
50th
year.
ed the bank in
1971.
Indianola Elections
Mrs. Barnes
Peoples Trust & Savings Bank o|
has completed several American
Institute of Banking courses and is Indianola has announced the electioi
working toward her associate degree of the following officers: Parnell]
Merrit, marketing director a f
in business administration.
compliance officer; Dick C. Stofferl
commercial loan officer and assistant
Clarence Personnel Changes trust officer; Peggy Wickett, trusl
The Clarence Savings Bank has accounting officer; T.J. Richards]
announced the promotions of Tom loan officer and security offid
Jepson to vice president, David Kimberly Tierney Keller and Verlyi
Zeigler to vice president- ag M. Noring, loan officers; Margil
representative and Mary Lou Ruther Sams, student loan officer; Patricia
L. Riley, Milo officer manager, anc
to assistant vice president.
William Kirchner, director and vice Beverly Nicholls, head teller.

Hey, see that cute little bank across the
street? Boy are her bricks stacked/’
"Yeah, me and the other stores on the street really like the looks of her . . . kind of adds a little
class to the w hole block . . . y ’know what I mean?
"Somebody named Kirk Gross Co. came in, started with her Foundations an ’had her put
together in no time at all. Boy, they took care of everything from the bottom up . . . a real turn key
operation. Why, it was just a matter of weeks and there she stood . . . her big beautiful self.
"And believe me, I watched Kirk Gross put her together . . . Boy is SHE BUILT!”

(See Kirk Gross Co. if your new bank plans call for "a little class”)


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Federal Reserve Bank of St. Louis

N orth w estern Banker, M arch , 1981

108

Io w a N ew s

NEW OFFICERS of Gr. 11 arechmn., William Logan, pres., The State Central Sav., Keokuk, and secy., John F. O’Neill, pres., First N atl
Burlington. RIGHT - Speaker’Milo Hughes,’ sports announcer for WGN-TV, Chicago, with IBA Pres. Ed Tubbs. Mr. Hamilton made tr
luncheon address at Gr. 11.

Groups 1 and 11 Elect New Officers
By MALCOLM FREELAND
Publisher

and

BEN HALLER, JR.
Editor

by John F. O’Neill, chairman and
president of the First National Bank
in Burlington.
Delegates at both meetings
Bankers Association in Sioux City
and Burlington last month. The endorsed the candidacy of L.C.
registration at Sioux City hit 750, “Bud” Pike for the office of vice
while in Burlington it topped 590 president and president-elect of the
IBA at the annual election to be held
persons.
Harold Harms, president, First just prior to the state convention in
State Bank in Brunsville, was September. Mr. Pike is president of
advanced to chairman of Group 1 at the Farmers Savings Bank in Grundy
the Sioux City meeting. Bruce Kolbe, Center.
At the Group 1 meeting in Sioux
president of Valley State Bank in
City,
delegates endorsed the candi­
Sioux City, was named the new
secretary. Terms of the group officers dacy of Russell W. Spearman,
president of Citizens Savings Bank in
run for two years.
William Logan, president of The Sac City, for the office of treasurer of
State Central Savings Bank in the IBA.
IBA President Ed Tubbs, presi­
Keokuk, moved up to the chairman­
ship of Group 11 at the Burlington dent, Maquoketa State Bank, and
meeting. He is succeeded as secretary IBA Executive Vice President Neil

ORE than 1300 bankers and
M
spouses attended the meetings
of Groups 1 and 11 of the Iowa

NEW Gp. 1 Chmn. Harold Harms (left), pres., First State,
Brunsville, with newGp. 1 Secy. Bruce Kolbe, pres., Valley State,
Sioux City.
Digitized forNorthwestern
FRASER Banker, March, 1981
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Federal Reserve Bank of St. Louis

Milner, reviewed banking legislativi
matters and projects underway at th |
association level. Under discussion a|
this time with a number of othe|
states are two services that he
originated with the IBA. One is
credit corporation to serve the ajj
needs of member banks, an
representatives of 12 states have hel<j
preliminary discussions with 11
officials to probe the possibility
such an association-sponsored ser
vice. The other is the Idea Annuitj
program developed and launchej
successfully in recent weeks by
IBA. Representatives of seven
different state associations froi
across the nation met recently in D(
Moines with IBA officials to discus|
the possibility of franchising
same program in their states oj
behalf of member banks, in order
compete with other financial institi
tions.
The IBA also is pursuing
concept of support for the lot
Secretary of State’s tentative propc

Ed Tubbs, pres. IBA, presents an “award” to Les Olson, imme<]
past pres. IBA.

Iow a News

ate Nielsen, sr. v.p. & cash., Ida County State, Ida Grove, and
Jene Hagen, pres., Security Natl., Sioux City.

sal to computerize all loan security
itement filings now made with that
iffice. Current methods entail
irolonged detail search.
Mr. Milner reviewed the functionof the several divisions within
IA, giving a current status report
l each. He urged bankers to tie
lown now with ATM installations
îy key traffic locations in their

Les Olson, pres., Toy Natl., Sioux City; Howard Nielsen, v.p.,
U.S. Natl., Omaha; W. Dale Den Herder, pres., American State,
Sioux Center, and Jack Chase, pres., 1st State, Ida Grove.

counties, to forestall these locations
being taken over by competitive
institutions.
Tom Huston, Iowa superintendent
of banking, said the personnel
problems of his department have
become severe, due to the loss of so
many examiners because of the
lagging pay scales and dim future for
any positive change in total income

>ton Fredericks, v.p., Toy Natl., and Ruth and Loren Anderson,
™ , Cherokee State.

1 09

package. His proposal to alleviate
this by increasing fee schedules for
bank examinations must be approved
by the legislature, the executive
council and the state merit board.
Regarding the status of Iowa banks,
Mr. Huston said that although the
number of classified loans has started
to climb, with some loan losses, the
situation is not serious. He said the

Larry Miller, v.p., 1st Natl, Sioux City; Paul Gargula, comm. bkg.
rep., 1st Natl., Chicago, and Gene Duncan, Deluxe Check, Sioux
City.

JB hh

mmKKtk

___ __ __ ___

lEFT - Eddie Wolf, sr. v.p., Central Nat’l. B&T, Des Moines, and Charles Eastburn, pres., Iowa State B&T, Fairfield, RIGHT - Roger
ood, a.v.p., Bankers Trust, Des Moines; Don Erusha, pres., Solon State and Chelsea Sav., Belle Plaine, and Robert Regnerus, corr.
off., American Nat’l. B&T, Chicago, at Gr. 11.

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Federal Reserve Bank of St. Louis

Northwestern Banker, March. 1981

110

Io w a N ew s

LEFT: H. Peter DeRosieir, v.p.,'Nat’l. Blvd. Bk., Chicago, and L.C. “Bud” Pike, pres., Farmers Sav., Grundy Center and treas., Iowa BkrJ
Assn. Tom Dunlap, IBA pres-ellect and pres., South Story B&T, Slater, and Ed Tubbs, IBA pres., and pres., Maquoketa State. R IG H T -M f
and Mrs. Bernard Huston, Union B&T, Ottumwa, and Jerry Trudo, v.p., Merchants Nat’l., Cedar Rapids, at Gr. 11.

ratio of capital and reserves to total
assets for state chartered banks in
Iowa is over 9%. There are 21 state
chartered banks in Iowa with equity
of less than 7 %, down from the figure
of 33 banks a year ago.
Mr. Huston stated that although
he is well aware of the efforts of the
Iowa Bankers Mortgage Corporation
and the market problems it has
withstood this past year, he has sent
letters to bankers notifying them that
his department may have to classify

loans to the mortgage company.
The guest speaker at the Group 1
meeting was Robert L. Peterson, cochairman, president and chief
executive officer of Iowa Beef
Processors, Inc., Dakota City, Nebr.
Mr. Peterson reviewed the favorable
aspects of long-run markets—both
supply and world demand—and how
his company is gearing to keep pace
with innovative changes in produc­
tion and marketing.

Guest speaker at the Group 111
luncheon was Milo Hamilton, sports|
announcer for WGN TV in Chicag0
Mr. Hamilton is well-known through­
out eastern Iowa for his broadcasting
of Chicago Cubs baseball games wit!
Jack Brickhouse, and announcing of
the Chicago Bulls basketball game0|
He gave numerous anecdotes relating
to the broadcasting of the games, as
well as some comments on how the
extremely high salaries of sports
figures are affecting the business.

¡'Ill

George McFadden, mktg. off., 1 st Natl, Omaha; Dean Lindstrom,
pres., Crawford CountyT&S, Denison; David Vaselaar, exec, v.p.,
Sibley State, and Ralph Peterson, v.p., 1st Natl., Omaha.

John Wear, corr. bk. off., Omaha Natl., Omaha; Bill Greaves
v.p., Central Natl. B&T, Des Moines, and Mike Broderick, pres.
First American Bank, Canton, S.D.

John Martin, v.p., Omaha Natl., Omaha; Gary Stevenson, v.p.,
1st Natl, Sioux. City, and Jaimes W. Miller, chmn., Pioneer Valley
Sav., Sergeant Bluff.

Mark Conway, corr. bk. rep., and Linda Collins, 2nd v.p., botj
with lowa-Des Moines Natl., Des Moines, and James J. Johnsor
v.p., Security State, Sutherland.

Northwestern
 Banker, March, 1981
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Federal Reserve Bank of St. Louis

Iowa News

"111

Pictures from 1981 Iowa Group Meetings

ORTHWEST Iowa NABW breakfast meeting during the Gp. 1
fe tin g featured Neil Milner, exec. v.p. of the IBA, discussing
JA functions. Pictured with him are Wilma Weeks, chmn. of the
ABW group and corr. bk. off., Security Natl., Sioux City, and
da Kroon, dir., 1st Natl., Sioux Center.

Don Jordahl and Don Carmody, v.p.s with Bankers Trust, Des
Moines; Kenneth Burke, sr. v.p., Citizens 1st Natl., Storm Lake;
Wayne Johnson, pres., Everly State, and Ken Ogren, cash.,
Farmers State, Marcus.

lerry Meyer, a.c., Climbing Hill Sav.; Tom Coughlon, sr. v.p.,
Jorthwestern Natl., Sioux City; Lorraine Loyd, v.p., and Dwain
jyd, pres. & cash., Climbing Hill Sav.; Shirley Meyer, and Jerry
ist, v.p., Northwestern Natl., Sioux City.

Howard Logan, retiring chmn. of Gp. 1 and pres., 1st T&S,
Moville; Tom Pohlman, corr. bk. off., Northwest Natl., Sioux
City, and Gary Thies, sr. v.p., Mapleton T&S.

»teve Spark, Deluxe Check Printers, Webster City; Tom Kiernan,
,v.p., Alton Sav.; EaVon and Jerry Woodiri, a.v.p., Commercial
rate, Pocahontas.

John Lillibridge, pres., 1st Fidelity Bks., Burke, S.D.; John
Thomson, a.v.p., Northwestern Natl., Minneapolis, and Jim
Echtermeyer, v.p., United Natl., Yankton, S.D.


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Federal Reserve Bank of St. Louis

Northwestern Benker, March, 1981

112

Iowa News

Pictures from 1981 Iowa Group Meetings

Steve Hatz, v.p., Security Natl., Sioux City; Lila and Jim
Kennedy, ins. off., George State.

Jim Grimes, dist. mgr., Omaha, Brandt Systems, demonstrates
Model 1702 Brandt Automatic Coin Wrapper for Vern Jensen, v.p.
& t.o., Security Natl., Sioux City.

IN D E X O F
A D V E R T IS E R S
March, 1981
Acorn Printing ............................................................112
American Express................................. 31,33,35,37,39
American National Bank, C hicago............................ 30
American National Bank, St. P aul............................. 49
•Associates Commercial............................................. 27
Banco Financial........................................................... 55
Bank Administration Institute................................... 61
Bank of America (Correspondent).............................
7
Bank of America (Travelers Cheques).....................58,59
Bankers Trust Company............................................. 90
Banks of Iowa Computer Service............................ 94,95
Brandt, Inc.....................................................................113
Central National Bank, Des Moines............................ 105
Chilton Corporation-Credit Bureau Services.................. 5
Collateral Control Corporation ................................. 11
Continental Bank......................................................... 9
Control-O-Fax............................................................. 96

ACORN
^ ^ ** * *

Registers

" A cc ep ted S ale Register s b y Bank
Cler ks E v e r y w h e r e "
Tor i n f o r m a t i o n w r i t e

THE ACORN PRINTING CO.
O akland, Iowa
Northwestern Banker, Mareh, 1981


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Federal Reserve Bank of St. Louis

Gale Bobolz, sr. v.p., Security State, Hartley, and Carol,
Mary and Bernard Kersey, v.p., lowa-Des Moines Natl.,
Moines.

Les Olson, pres., Toy Natl., Sioux City, and Dick Welding, mgr]
community rel., la. Beef Processors, Dakota City, Nebr.

Daktronics................................................................... 6
Dawson Hail................................................................. 20
C.L. Downey ............................................................... 57
Drovers B ank............................................................... 99
Employers Mutual....................................................... 77
First National Bank, Chicago..................................... 63
First National Bank, Dubuque.................................... 103
First National Bank, Lincoln ..................................... 83
First National Bank, Minneapolis.......................... 52,53
First National Bank, Omaha....................................... 75
First National Bank, St. P a u l..................................... 44
First National Bank, St. Paul (Bonds)........................ 15
Kirk Gross .................................................................... 107
Horizon Industries....................................................... 12
Iowa Bankers Insurance............................................. 97
lowa-Des Moines National B ank................................ 114
lowa-Des Moines National Bank (Bonds)...................101
ITT L ife ......................................................................... 14
Earl Kooker................................................................... 6
Lease Northwest......................................................... 17
Lefebure....................................................................... 13
Manufacturers HanoverTrust ...................................
Matterhorn Bank Programs.......................................
Mercanti le Trust Company.........................................
Merchants National Bank, Cedar R apids..................
Midland National Bank, Minneapolis........................
National Bank of Com merce............................... . . .
National Bank of W aterloo.........................................
Northern Trust Com pany...........................................
Northwestern Bell Telephone Company....................
Northwestern National Bank, Minneapolis..............
St. Louis Terminal.......................................................
Robert Schweser.........................................................

3
16
40
2
47
81
93
19
79
29
43
80

Security National Bank, Sioux C ity ....................
Square Deal Insurance.......................................
Travelers Express Company...............................
United States National Bank, O m aha................
G.D. VanWagenen .......................................

Gronstal Elected President
John F. Gronstal was electc
president and chief executive offict
of the Carroll County State Bank!
Carroll. Joe H. Gronstal was electel
chairman of the board.
John Gronstal joined the bank i\
1954 as assistant cashier. He w£
elected cashier in 1958, vice preside
in 1964 and executive vice presidei
in 1978. He graduated froi
Creighton University in Omaha witf
a BS in commerce degree.
Seeks CBCT Approval
First National Bank of Muscatin«!
has filed for approval to open a ne\
CBCT branch on Highway 61 anc
Harrison St., Muscatine.

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SPECIALISTS WON'T HELP YOU A RIT.
JUST ONE WILL.

Certified service by factory-trained specialists — It’s available with
every Brandt product you buy.
That’s why we’ve hired a professional trainer, and devoted an entire
building to a service school in our Watertown, Wisconsin headquarters.

,0

Service specialists come from ail over the U.S. to get their basic training
here. It’s the only place they can get “ hands on” experience under the
watchful eye of a factory-based service expert. It’s also the only place
anyone can get certification to perform Brandt warranty service. Today,
our “ grass roots” service network has over 200 certified service
specialists throughout the U.S. One within 24 hours of you — maximum.

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Federal Reserve Bank of St. Louis

The lowa-Des Moines *
National Bank presents'
INSIGHTS ’81...
a conference offering *
helpful view s on
Iowa banking.
Volatile interest rates, changing regulations,
increasing competition, and an unstable econom y
m ake it extremely difficult for you to accurately m ap
your bank’s future course.
INSIGHTS ’81, a series of bank m anagem ent
seminars, is designed to provide the kinds of infor­
mation and tools you want to chart your bank’s
growth plan.
These seminars, to be held in cities across the

Creston
Storm Lake
Ames
Muscatine
Waterloo

State, will cover a variety of important topics
including bank tax planning, international business,
operations, investments, bankcard and retail
banking strategies.
Our President and Chief Executive Officer, Bud
Precht, will preside over the meetings. Bud and all
of us at the lowa-Des Moines are looking forward
to meeting with you. If you haven’t already m ade
reservations, call (515) 245-3306.

Creston Elks Lodge
Lake Creek Country Club
Gateway Center Motor Hotel
Holiday Inn
Sunnyside Country Club

W ed n esd ay , M arch 18
T hursday, M arch 19
T uesday, M arch 2 4
W ed n esd ay , M arch 2 5
T hursday, M arch 2 6

.

IOWA .

nesMioines
A national bank

m dr

M

M em ber FDIC

An A ffiliate o f Northw est B ancorporation

Banco

7th & W alnut, Des Moines, Iowa 50304 (515) 245-3131 or toll-free (800)362-2514

© 1981 lowa-Des Moines National Bank


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Federal Reserve Bank of St. Louis