Full text of The Northwestern Banker : May 1967, 73rd Year, No. 1031

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M AY

1967

MICR

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— Starts Page 35

South Dakota
Diamond
Jubilee
Convention

SPECIAL
SECTIO N

75,h
SOUTH D A K O TA BANKERS
ASSOCIATION C O N VEN TIO N

— Starts Page 51
vVx \ \ \ l 1 I I I I , .

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

Look into MNB s Bookkeep n g Services
you II be su rprised

Pleasantly Surprised! □ The MNB Datacenter is one
of the nation's most advanced bank computer instal
lations. Our up-to-date equipment and experienced
Datacenter staff are your assurance of fast, accurate
bookkeeping service tailored to your individual
needs. □ For more surprises, look into our new

"Proof of Deposit" system, first step toward fu ll bank
automation. □ These MNB extras are no surprise to
over half of Iowa's banks who are presently MNB
correspondents. We would like to have you join their
ranks. Call our Correspondent Department or Jim
Van Dine, head of the Datacenter, 319-365-0411.

^Uggjâuu

so many ways we can help you

MERCHANTS NATIONAL BANK
CEDAR RAPIDS, IO W A 52401

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

For m en who are in tune
as w ell as in touch
w ith y o u ...

T R U ST N O R T H E R N
You can depend on Northern Trust
officers to be in touch with you fre
quently, and to be in tune with your
desire to build a modern, profitable
bank. They bring forw ard-looking
programs to keep you out in front.
In the key area o f automation, for
example, your Northern Trust team
can help you with counsel and plans
fo r p ayroll accou n tin g or accou n t
re c o n cilia tio n . . . freight paym ent
plans to benefit local shippers and
carriers . . . and electron ic dem and
d ep osit b o o k k e e p in g and savings
accounting services for your bank.
You can Trust Northern to pro
vide valuable assistance in the other
banking areas, too— help with your
investment portfolio, overloans, busi-

ness developm ent, and even with
modernizing your facilities.
As a Northern Trust correspond
ent, you ’ll add men to your team who
are eager to get answers for you. T o
learn about The Northern Trust’s
correspondent banking services, call
or write N. Hall Layman, V ice Presi
dent, Banking Department.

NORTHERN
TR U S T
COMPANY

BANK
NORTHWEST CORNER LASALLE & MONROE
Chicago 6 0 6 9 0

> Financial 6 -5 5 0 0

• M em ber F.D.I.C.

No. 1031. N orthw estern Banker is published five times a month hy the N orthw estern Banker Company, 306 Fifteenth Street, Des Moines, Iowa 50309.
Subscriptions 50c per copy, $6 per year. Second class postage paid at Des Moines, Iowa. Address all mail (subscriptions, change of address. Form 3579,
manuscripts, mail items) to above address.

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

No rthwestern Banker, May, 1967

A .i .i t . Cttnvenes in itetrn it in M a y

president to vice president, also in the
trust department.

Mercantile Promotion

ORE than 1,500 bank men and
women from across the country
are expected to attend the 65th An
nual Convention of the American In
stitute of Banking at the StatlerHilton Hotel in Detroit, May 29-31.
The conference program was an
nounced by W il
lia m E. V o jt a ,
A.I.B. n a t io n a l
president and as
sistant vice pres
ident, The First
National Bank of
Chicago.
The k e y n o te
speaker will be
Gaylord A. Free
m a n , Jr., v i c e
G. A. F R E E M A N , JR.
,
.
„ ^
chairman of the
board, The First National Bank of
Chicago. Delegates will be welcomed
to the convention by its general chair
man, William B. Hall, executive vice
president, The Detroit Bank & Trust
Company.
The program also includes an edu
cational forum, presided over by the
A.I.B.’s director, Rudolph R. Fichtel;
a management conference chaired by

Vern Waldo, 1966 A.I.B. national pres
ident, and vice president, First Na
tional Bank of Nevada in Reno; a
chapter administration forum and a
case study in A.I.B. management.
This year’s convention has been re
duced to three days from the five days
of past years. As a result, working
sessions have been condensed and
time devoted to social and leisure ac
tivities has been decreased. The main
social event this year will be a dance
and entertainment at Detroit’s Cobo
Hall on Monday evening, May 29. Spe
cial events also are planned for wives
of the delegates.

New Continental VPs
Three new vice presidents have
been named by the Continental Illi
nois National Bank and Trust Com
pany, Chicago.
Ralph W. Abelt was advanced from
second vice president to vice presi
dent in the commercial banking de
partment.
Donald H. Remmers was advanced
to vice president from secretary in
the trust department. M. James Termondt was advanced from second vice

William R. Hardie has been named
an investment officer in the trust de
partment of Mercantile Trust Compa
ny, St. Louis. He has been with the
bank since 1956.

Joins First Wisconsin
First W isconsin National Bank of
Milwaukee has announced the ap
pointment of Robert N. Bee as vice
p r e s id e n t and international econo
mist.

NABAC Regional Planned
Over 700 bankers and their wives
are expected to attend the 18th North
ern Regional Convention of NABAC
in Grand Rapids, Mich., May 14-16.
Headquarters hotel will be the Pandlind Hotel.
General chairman for the conven
tion is Richard M. Gillett, president,
Old Kent Bank and Trust Company,
Grand Rapids.

LaMonte Promotion
Robert P. O’Connor, sales represent
ative for George LaMonte & Son, a
division of Georgia Pacific Corpora
tion, will move from the midwestern
office at Franklin Park, 111., to George
Lamonte’s main headquarters in Nutley, N. J., to become general sales
manager.
Paul Rogers, representative for the
southwestern territory, will continue
to work from the Franklin Park office
and be in charge of it.
The firm is well known in the bank
ing business as a leading supplier of
safety paper for checks.

Promote Fred Figge II

JET AGE SALE CLERKING
Requires M o d ern Supplies To Do the Job Right
Designed by an experienced sales clerk, this outfit combines all the features
you require.
★ Receipts for Each Buyer
★ No Additional Listing
★ No Posting of Accounts
★ Buyers Like It
★ Speeds Up Settling
★ Pays For Itself
★ Combats Skip Buyers
★ Versatile— Compact— Practical
See how it works in the pictures above.
Plastic sorting cabinet is shown a t left in left photo, mounted on steering wheel
desk. Beside it is plastic, double clip listing board for the listing clerk. Photo
a t right shows sorting cabinet and writing desk mounted on steering wheel for
convenience of sales clerk. Sold on a Money Back Guarantee.

BLACK SALE SYSTEM

Telephone Nos. 536-2651 or 536-2522

FULLERTON, NEBRASKA

W rite Us for Sample Sheets and information
Northwestern Banker, May, 1967

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

Fred J. Figge II has been promoted
to assistant treasurer of the Chase
Manhattan Bank, N.A., New York.
Mr. Figge, w ho is assigned to the
metropo 1i t a n di
vision, is the son
of R e g i n a l d
Figge, prominent
Iowa banker and
b a n k consultant
from Cedar Rap
ids.
B e fo r e joining
t h e C h a s e in
1963, Mr. F ig g e
graduated f r o m
F. J. F IG G E I I
Georgetown and
attended New York University. He
spent two years in the United States
Navy from 1955-1957. Currently, he
is in the Rockefeller Center office.

Why the furrowed brow? Worried whether the decision
to build would be wise at this time? Afraid of loss of
business while remodeling? Afraid of recession?
To help you decide . . . one fact: Delay now . . . pay
more later. Costs of men, materials, machines and
services have gone up an average of four per cent
per annum for the last three decades. The land on
which to build gets harder (if not impossible) to find.

status quo
...or go?

Weigh this with another fact: The bank that modern
izes or expands is in a better position to show gains
greater than competition (even during general busi
ness downtrend) . . . gains in deposits and loans,
gains in staff morale and productivity. Conversely,
your competitors get the jump on you if your facilities
aren’t ready to handle more business.
Talk it over (at no charge) with a Bank Building con
sultant who draws on our half century of planning,
building and equipping financial institutions. He’ll
analyze your unique situation . . . your location and
market. He'll work out a complete program for build
ing and give you a cost estimate that is guaranteed!

First Class
Permit No.
1146
St. Louis, Mo.
BUSINESS REPLY MAIL—No postage necessary if mailed in the United States

Postage will be paid by

OF AMERICA

With facts, you can decide. Bank Building has the
facts. Then, if you choose to be a bear . . . fine. We've
found, in dealing with hundreds of situations very
like yours, it pays to be bullish about building.

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

1130 HAMPTON AVE., ST. LOUIS, MISSOURI

att. Mr. Earl Klein

63139

status quo __or go?
be bullish about building

. . . Because to go ahead and build reflects your faith
in the economic future. Remodeling helps you retain
your competitive position. 1. Focal point in the revival
of downtown Rochester, N.Y., is new Security Trust
Co. building. 2. Dollar Savings Bank seized the op
portunity to build a new office in competitive New
York, and opened with 27,000 new accounts! 3. Har
lingen National Bank, Texas, showed courage to
build despite fluctuations in citrus growing in the Rio
Grande Valley. 4. Our surveys prove that he who re
models shows unexpected gains in all phases of
business during remodeling! Yes, you may put off
the decision to build or remodel. But is delay ever the
answer? Send for free brochure “Time for decision.”

1 Security Trust building, Rochester, N.Y.

2 Dollar Savings Bank, New York, N.Y

Send for brochure Time for decision.

OF AMERICA

we contemplate :

On or about
(date)
□

new building

□

Send for brochure "Time for decision."

□

new fixtures

□

modernized quarters

□

high rise

□

Please send a Bank Building consultant to discuss our project with us. W e understand
there is no obligation involved.

3 Harlingen National Bank, Harlingen, Texas

Title

Name

Bank name

Address

State

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Federal Reserve Bank of St. Louis

IN -7

4 Modernization

New York Promotions
Richard V. Banks and Joseph G.
Goetz have been named vice presi
dents at First National City Bank,
New York. Both men are in the bank
and corporate services department of
Citibank’s national division.

New Chicago FDIC Head
K.
A. Randall, chairman of the Fed
eral Deposit Insurance Corporation,
has announced several new appoint
ments, including the appointment of
John J. Early as supervising examiner
for the Chicago district.
Mr. Early has been supervising ex
aminer for the Atlanta district. Now,
44, he joined the FDIC in 1949 in the
Madison, Wis., district and later
served as an examiner in New York
and the New England states. In
1964, he was transferred to the Wash
ington office where he held various
positions including assistant chief of
the Division of Examination and ad
ministrative assistant to FDIC direc
tor W illiam W. Sherrill.

Thomas S. Lamont
Thomas S. Lamont, retired vice
chairman of the board of the Morgan
Guaranty Trust Company, New York,
and one of the last links to the era
of J. Pierpont Morgan, died last
month at Columbia-Presbyterian Med
ical Center, where he had undergone
open-heart surgery. He was 68 years
old.
Mr. Lamont, the son of one of Mr.
Morgan’s closest associates, was him
self a partner of Mr. Morgan for 14
years before the financier’s death in
1943.

Bond Market Change
Interest rates in the tax-exempt
bond market have changed dramati
cally in the last five months.
High-grade state and m u n ic ip a l
bonds maturing during the next few
years have shown a remarkable drop
in yields since late 1966. Investors—
chiefly commercial banks — have not
hesitated in their enthusiasm to buy.
Long-term tax-exempt bond yields,
on the other hand, have fallen only
about a fourth as much as short-term
local government securities.
Insur
ance companies and individual invest
ors — traditional purchasers of longterm municipals—have demonstrated
little willingness to step up and buy
them.
Over the last five weeks, the Bond
Buyer’s index of tax-exempt bond
yields— a measure of long-term secu
rities—has been almost flat, varying
only two basis points from 3.55 per
cent down to 3.53 per cent.

THE BANKER'S BEST FRIEND
VIC— Douglas Guardian's new system of Verified Inven
tory Control— is strong on protection and great on sim
plifying inventory loan detail. He helps your clients raise
cash and reduces your detail w ork to a m inim um . The results
when you and your clients rely on VIC: more secure loans
fo r you and greater fle x ib ility for your clients. The more
involved your client's inventory is, the more im portant VIC
is to you and him. For fu ll details about VIC— Verified In
ventory Control— w rite or call:

DOUGLAS-GUARDIAN WAREHOUSE CORP.
P. 0. Box 52978, New Orleans, La. 70150 • Phone 504-523-5353
Offices in 15 Principal Cities

Northwestern Banker, M ay, 1967

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

Raise your profit margin with new billing, quick payment of earnings,
training for your staff, and promotion
Red Shield Mortgage Insurance
What a great way to make things
better for yourself: offer an
important service to your
customers. Through Red Shield
you can provide sensible, simple
mortgage repayment insurance
that’s easy on your customers
financially, and easy to apply for.
As for yourself, Red Shield not only
helps your profits, but it’s tailored
to fit into your loan program with
a minimum of fuss. Computer
No rthwestern Banker, May, 1967

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

aids from ad mats to counter signs
and folders. But then all Red Shield
Creditor Insurance programs are
like that: tailored for
RED SHIELD
lending institutions.
While you’re getting
details on mortgage
repayment insurance
ask about the other
Red Shield plans.
For instance, did you
know we have Red Shield

Major Borrower Insurance for
loans from $10,000 to $250,000?
Better write us. Now.

The North Central
Companies
St. Paul, Minnesota
P r o t e c t i o n a ll w a y s

Maine Fidelity Life, Portland, Me.
North Central Life, St. Paul, Minn.
W est V irg in ia Life, Huntington, W.Va.
Royal O ak Life, Pittsburgh, Pa.

í)
l h

‘t i r

d i t i n '

Oldest Financial Journal West o f the Mississippi

for your M A Y , 1 9 6 7 , reading
Keep Up Subscription
“ Thanks for the generous space you gave
Mrs. Addicks and me in your March issue.
We do appreciate it.
“ As you know, I have retired as far as
the bank is concerned. We are moving from
Donnellson, Iowa, so kindly change my ad
dress with your April issue to:
M. Gl. Addicks
428 S. 3rd Avenue
Newton, Iowa 50208
“ Thank you. We still want the N o r t h
w estern
B a n k e r in our home as we
want to keep up with the current banking
news and your articles. You have a great
publication, and I believe I have been a
subscriber of it ever since you started this
publication.”
M. G. Addicks.

“ W ill Reprint Article”
“ First off, I want to thank you for the
excellent treatment given Bill Flory’s article
in the April issue of the N o r t h w e s t e r n
B a n k e r . Your presentation is so good that
I am wondering if you would mind getting
us a little additional mileage out of it.
What I am think of is making up a twopage reprint of the article and sending it
along with our various new member re
cruitment literature and correspondence. If
this is OK, I ’ll appreciate a note to that
effect.
William E. Bunion, Publica
tions Director, Bank Public
Relations and Marketing A s
sociation, Chicago, Illinois.

Seminar Refresher Meeting
A Senior Bank Officers’ Seminar
Refresher was held by the Independ
ent Bankers Association of America
last month at the Broadmoor Hotel
in Colorado Springs, Colo. The busi
ness sessions were conducted by Pro
fessors Charles Williams and Warren
Law of the Harvard University School
of Business. The SBOS sessions have
been held on the Harvard campus in
Boston since they were initiated eight
years ago.
Stanley R. Barber, IBAA president,
addressed the group and emphasized
the value of the courses like SBOS
because of the rapidly changing pace
of banking and the need for manage
ment people to keep constantly ahead
of these changes.

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

73rd Year

No. 1031

EDITORIALS
16

Across the Desk from the Publisher

15
30

Frontispage— “ In the Cool of the Evening”
“ Chuck W agon” Speakers Discuss Cattle Grading, Hog
Production— Ben Haller, Jr.
MICR . . a stronger link between correspondents
— Lewis E. Davids
MICR Moves Ahead
The Computer and Farm Business Records
M ajor Banks in Area Are Fully Automated
— A N orthwestern B anker Survey

FEATURE ARTICLES

35
36
37
38

SOUTH DAKOTA DIAMOND JUBILEE CONVENTION
51
61
68
72

History o f South Dakota Association
South Dakota 75th Anniversary Convention Program
You Will See Them at the South Dakota Convention
South Dakota Convention Committees

STATE BANKING NEWS
53 Minnesota News
54 Twin City News
75 North Dakota Convention Program
76 North Dakota Convention Committees
77 You Will See Them at the North Dakota Convention
79 Colorado Convention Program
79 See Them at the Colorado Convention
83 W yoming News
83 Montana News
85 Nebraska News
86 Omaha News
90 Lincoln News
92 Nebraska One-Day Seminar a Real Success— Ben Haller, Jr.
99 Iowa News
100 Discuss Changing A g Credit Needs at Ames Conference
104 Group Meetings Programs Listed
116 IB A Banking Conference Elects Clawson and Heineking
119 Des Moines News
122 In the Directors Room
122 Index of Advertisers
NORTHWESTERN BANKER
306 15th S treet, Des Moines, Iowa 50309, Telephone (A rea Code 515) 244-8163
Chairman
Clifford De Puy

Publisher
Malcolm K. Freeland

Business M anager
Larry W . Nothwehr
Advertising Assistant
Mildred Savich

Circulation Department
Lena Sutphin

Field R ep resen ta tive
AI Kerbel

Field R ep resen ta tive
Joe M. Smith

E ditor
Ben J. H aller, Jr.
M anaging E ditor
David L. Lendt
Auditor
Bertha Soderquist
Field R ep resen ta tive
Paul Masters

Frank P. Syms, Vice President, 550 Fifth Avenue, New York 36, JUdson 2-7126

Northwestern Banker, M ay, 1967

(Hun A u to m a tio n ('o u teren ee

STEPPING-STONES
less Society” will

C u m m in s BBS o n -p re m ise serv
ice now provides the sa m e scope
o f in fo rm a tio n available to th e
co m p u ter owners ----- on a per
a ccou n t basis.

Precomputed ledger card is designed
to be stamped-off or machine posted,
as you prefer—has all calculations
precom puted; pay-offs, accruals,
yield, annual interest, everything.
• Personalized coupon books and
transmittal letters for your custom
ers; complete on-premise loan rec
ords for you.
• We rent you a perforator or perforate
the books for you, as you choose.
• You increase efficiency, improve
service to customers.
• Costs less, gives you more than any
other system.
Precomputed ledger cards, without
payment book, are also available to
lenders already using a coupon or
other remittance system.
See your C u m m in s m a n , or a
N ation al F idelity representative,
or write for a brochure d escrib
ing th e BBS Service.

to the Check
be the theme
for the 5th National Automation Con
ference, to be held by the American
Bankers Association at the Americana
Hotel in New York, May 7-10.
More than 40 foreign countries will
be represented among the 1,800 per
sons expected to
attend banking’s
largest computer
c o n f e r e n c e . A.
H a l s e y C ook,
e x e c u t iv e v i c e
president of First
N a t io n a l
C ity
B a n k o f New
Y o r k , w ill be
chairman of the
th r e e -d a y p r o
G. S. M O O R E
gram.
Mayor John V. Lindsay of New
York will deliver a major address to
the conferees on Wednesday morn
ing, May 10. The keynote talk will be
given May 8 by George S. Moore,
president, First National City Bank,
New York.
Other major speakers will include
Robert S. Oelman, chairman of The
National Cash Register Company;
K. A. Randall, chairman of the Fed
eral Deposit Insurance Corporation;
Roy L. Ash, president, Litton In
d u stries Inc.; and Robert K. Wilmouth, senior vice president of The

NEW
CUSTOMER
PROGRAM

S T B G O R S T A IN L E S S

BY GORH AM
A package promotion, self-liqui
dating. A “ NAME” product. Details
of bank results on request.

C H A R L E S B IS H O P & CO
Bank Promotions
Box 2U6, Princeton, N. J.
DigitizedNo
forrthwestern
FRASER Banker, May, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

First National Bank of Chicago and
chairman of the A.B.A.’s automation
committee.

Joins Bank of America
Frank L. Burrell, Jr., has been ap
pointed vice president in the national
division in Bank of America’s San
Francisco head office, president R. A.
Peterson announced.
In his new post, Mr. Burrell will
specialize in dealing with firms in the
forest products, chemicals, oil and real
estate fields.

Bank W om en Plan
Wichita Regional
Women bank officers from 12 states
will convene in Wichita, Kan., June
8-10, for the 1967 Regional Conference
of the National Association of BankW omen Inc. The Lassen Motor Hotel
will be conference headquarters.
Mrs. Alice R. Jones, vice president
and director, Farmers & Merchants
State Bank, Derby, has been appointed
general chairman.
Miss Mary C. Loucks, cashier, Rushmore State Bank, Rapid City, S. D.,
is North Central Regional vice presi
dent and will preside during the con
ference. Miss Juanita White, man
ager, special services division, First
National Bank of Minneapolis, will be
a panelist on the opening day’s pro
gram.

Plan Chicago Facility
The American National Bank and
Trust Company of Chicago has be
come the first national bank in the
Chicago area to receive a permit to
open an off-premises, drive-in bank
ing facility from the Comptroller of
the Currency.
At the November 8, 1966, general
election, Illinois approved an amend
ment to the state’s Banking Act by a
two-to-one margin w h ic h p e r m it s
banks to open a single, drive-in bank
ing facility within 1,500 feet of the
bank’s quarters. Allen P. Stults, pres
ident, stated that upon completion of
the official vote canvass in December,
an application was forwarded to the
Comptroller seeking permission to
open such an off-premise office.
Current plans call for American
National to open its drive-in office in
the LaSalle-Wacker b u ild in g , 119
W est W acker drive, where tentatively
it is proposed to have drive-in service
windows on both the upper and low
er levels of Wacker.

You can expect a little extra from Chase Manhattan
The extras come from what we call Consolidated
Correspondent Service.
As we see it, any good bank can give you an
adequate portfolio review, or dig up volumes of
routine credit information on order. But service
goes a bit beyond the performance o f a profes
sional chore.True correspondent service is a pack
age concept. It consolidates all your needs as a
matter o f course; then'imaginatively seeks out
additional ways to be helpful.
And it’s who and what we are that makes it
possible for us to consolidate service and give
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

you more. People—plus knowledge, experience,
tradition, facilities and size make us unique as a
banker’s bank. That’s why we’re the nation’ s
number-one correspondent bank by quite a few
galloping lengths.
Call on us for anything. We’ll show you the
value o f Consolidated Correspondent Service—
why you can expect a little extra from your friend
at Chase Manhattan.

THE CHASE M ANHATTAN BANK
National Associiation/Mcmbcr Federal Deposit Insurance Corporation

I f your custom er in any industry
needs help in South A m e ric a ...

y u.m

Joins Wisconsin Bank
The board of directors of The Na
tional Manufacturers Bank o f Neenah, Wis., announced the election of
Douglas F. Graves of Freeport, 111.,
to succeed Samuel N. Pickard as pres
ident, to become
effective June 1.
Mr. Pickard will
continue his con
nection with the
b a n k as c h a ir
man of the board.
Mr. Graves, 48,
was born in Min
nesota but lived
in Iowa d u r in g
h is s c h o o l and
D. F. G R A V E S
college years. He
holds a Bachelor’s and Master’s de
gree from Iowa State University,
Ames.
Mr. Graves was an officer in the
trust department of the Northern
Trust Company in Chicago from 1949
to 1957 and later held an office in the
correspondent and commercial bank
ing division of the Harris Trust and
Savings Bank of Chicago from 1957 to
1961. He was selected as executive
vice president and director of the
First National Bank of Freeport, 111.,
in 1961 from which post he comes to
The National Manufacturers Bank of
Neenah.

Tulsa Banker Retires
The retirement of J. W. McCarter,
senior vice president and head of the
real estate loan department at the
First National Bank and Trust Com
pany, Tulsa, has been announced by
F. G. McClintock, chairman of the
board and chief executive officer.
Mr. McClintock also announced the
promotion of Merle J. Budd, vice
president, as head of the department
succeeding Mr. McCarter.

Give him the Royal treatm ent.
Treat him like a king: get in touch with “ Canada’s Leading Bank” . The Royal
has operated its own branches in South America for over 40 years. Officers of
the bank speak the language, know the people and their ways of doing busi
ness. With 26 branches in 6 South American countries, we can help you
help your customers solve problems fast— king-size or any size.
To give your customers fast, broad-gauge service and key facts on any busi
ness, anywhere in South America, contact our Head Office, New York Agency,
or any U. S. Resident Representative.

Plan Trust Conference
The 36th Midcontinent Trust Con
ference, sponsored by the trust divi
sion of The American Bankers Asso
ciation, will be held in Chicago No
vember
16-17, Division
President
Edwin H. Corbin, announced.
Mr. Corbin is also executive vice
president-trust, Security First Nation
al Bank, Los Angeles.

Chase Promotions

THE ROYAL BANK OF CANADA
Canada’s Leading Bank
Head Office: Montreal • New York Agency: 68 William Street
R esid e nt R ep re se ntative s in C hicago • D allas • Los A ngeles
P aris (E urope) • H ong Kong (F a r East)
Over 1,200 b ra n ch e s in C anada, th e C aribbean area a nd South A m e ric a , New York, London a nd
P aris. C o rre sp o nd e nts th e w o rld over.

No rthwestern Banker, May, 1967

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

W illiam R. Hinchman, Jr., and W il
liam J. C. Carlin have been promoted
to vice presidents and the Chase Man
hattan Bank, N.A., it was announced.
Mr. Hinchman is in the credit and
loan standards department and Mr.
Carlin is in the corporate plans and
staff department.

A dd either
or both to
sweeten the loan
y? Because Lawrence
Certified Inventory Control service
affords complete protection for
the collateral covered by your lien under Article IX o f the
Uniform Commercial Code. C.I.C., our exclusive and unique service, assures that this
inventory will not be simply on paper, but on hand when you want it and need it.
, if additional security is desired, our Certified Accounts Receivable Service
makes your borrower’ s receivables prime, additional collateral. C *A *R *S certifies
their validity, and guarantees that collections will follow your instructions.
or in combination C.I.C. and C*A*R*S are unbeatable sweeteners,
and permit credit extention not otherwise considered.
For complete details just call us.

LawrenceWarehouse Cwman»
CERTIFIED COLLATERAL PROTECTION SERVICES
NATIONWIDE FIELD WAREHOUSING SINCE 1913
37 D ru m m S tre e t, S A N F R A N C IS C O
2 00 P a rk A v e n u e , N E W Y O R K

• 100 N o rth La S a lle S tre e t, C H IC A G O

O F F IC E S IN P R IN C IP A L C IT IE S

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Federal Reserve Bank of St. Louis

A Time For

ûû/

ultivating

May is the time when Iowa starts to take on the look of rich, growing beauty that delights
as it reassures us every spring. It’s time to start cultivating our crops . . . whether
those crops be in the soil itself or are new ideas and new projects.
Central National Bank and Trust Company and its approximately 350 correspondent banks
look forw ard to this season with enthusiasm and stand ready to assist-their friends to cultivate
any business, industrial, or agricultural project from the first plowing to the final harvest.
The more than $1,700,000,000 in com bined deposits of these
banks is your assurance that any “ crop ” will have
ample financial backing.
A good thought to keep in mind as we approach
“ A time for cultivating . .

■ ■ ■ B
Vxí•

B a n k U n d e r t h e B ig “ C

CENTRAL NATIONAL BANK AND TRUST COMPANY
“ The Bank That Cares”
Locust a t Sixth Avenue

•

Drive-In / W alk-Up T eller

Fifth and Grand

M e m b e r F e d e ra l D e p o s it In s u ra n c e C o rp o ra tio n

Northwestern Banker, May, 1967

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

•

Des Moines, Iowa

Northwestern Banker, M ay, 1967

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

(b o o h . W illia m ,
T Y lx L ^ h si& m i^

V y ia s d im ,

Chairman, Federal Reserve Board,
Washington, D. C.

Bankers and businessmen are pleased with your
renomination as chairman of the Federal Reserve
Board.
In giving you a “ vote of confidence,” President
Johnson reassured bankers and financial authori
ties that there will be no unorthodox ventures into
untried fields of money management so long as you
are chairman. This is to be until January, 1970,
when your term expires.
It was to be expected that Representative Wright
Patman (D., Texas), chairman of the House Bank
ing Committee, would oppose your reappointment.
He was quoted as saying that President Johnson
had made “ a serious mistake.”
An advocate of easy credit, irrespective of eco
nomic conditions, Representative Patman conveni
ently overlooks your excellent record of long service
which is second only in duration to that of F.B.I.
Director J. Edgar Hoover. You have served on the
board, and as its chairman for four successive fouryear terms, since first appointed in 1951 by Presi
dent Truman.
Mr. Patman added in a statement that “ knowing
President Johnson, I cannot help but feel that he
received assurances that in the future you will ac
cept your responsibility to carry out the monetary
policies of the Administration and the Congress.”
Some Senate critics of your reappointment simi
larly expressed hope that President Johnson had at
least obtained agreement that the White House
would be consulted before any dramatic tight
money moves were made.
But— they noted that you have jealously guarded
the independence of the Federal Reserve Board
during the 16 years that you have been associated
with i t !
At the same time, Mr. Patman urged President
Johnson to consider with great care his choice of a
successor to1 Charles N. Shepardson as a reserve
board member. (By this, we assume that Mr. Pat
man has in mind someone who favors his views!)
Mr. Shepardson, who has often voted with you
for policies Mr. Patman has criticized, must retire
Northwestern Banker, May, 1967

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

from the board this month because of age. An
appointment acceptable to Representative Patman
might relegate you to part of a constant minority
on the board. That is why the choice of Mr. Shep
ard son’s successor will be viewed with real im
portance.
Perhaps Mr. Shepardson’s successor will be ac
ceptable to both President Johnson and to you, and
this seems to be a logical move. Representative
Patman’s views have been disregarded on previous
occasions without too much damage to the Ameri
can economy.

CDsucV l. C la te n o L J . J jm lq ju iA L :
Administrator, Wage and Hour and Public
Contracts Division, Department o f Labor,
Washington, D. C.

Your decision holding that uniforms for female
bank tellers would be in violation of the Equal Pay
Act if not provided for male tellers borders on the
ridiculous, in our opinion.
In response to an inquiry from a “ group of
female tellers,” you said that the cost of the uni
forms would be considered part of the female em
ployee’s compensation and would, therefore, be
a violation of the act unless compensation of male
employees doing equal work were supplemented or
some type of uniform were provided for them also.
You concluded by stating that since the request
came from the female tellers, the uniform, if pro
vided free of charge, would be primarily for the
benefit and convenience of the employees who re
quested them and not the employer. I f they were
provided for the female employees and not the
males it might constitute some type of discrimina
tion against the males.
If you are a typical married man, we are sure
that you have felt some degree of discrimination
all along! We doubt if you can change this trend
now, so why not be practical and admit that there
is a difference between men and women. Vivé la
difference !

Tìlalcolm

J^hosilarud

Publisher

This makes every other
Bank Check Catalog old-fashioned. . .

DELUXE

BUSINESS
CHECKS

. . . including our own . . .
which we thought was just
great only two years ago.

"Quick Reference”
makes it easier
to serve
Business Accounts

W e think most people would find it
difficult to become excited about a
new catalog of bank checks...unless
perhaps it was something they used
every day. Then they could become
trem endously enthused over the
prospect because there might be a
chance that this new catalog would
help them to satisfy their custom
ers’ check needs to a greater degree
and make their job a little easier.
The book might just be simpler to
use and understand and this would
be w elcom e, because helping a
custom er select checks for his
business account can get compli
cated and confusing at times.
W e believe this new DeLuxe
catalog can offer this excitement for
it is unlike any check catalog ever
issued. It is different because it has

DELUXE

been simplified. It features “ Quick
Reference” which eliminates page
after page of check forms and cuts
through the confusion of selectivity
th at besets bank custom er and
counselor alike.
This catalog was ju st released
and you may not have yours as
yet. But if you have, we know you
will agree, because you have used
it, that this catalog is an attractive,
practical sales aid that is making
your job easier. Our representatives
are distributing them as fast as
they can, but if you are intrigued
with its possibilities and don’t care
to wait, drop us a note and we’ll
send you one in advance of his
call. You’ll then be able to give
him the sales talk when he makes
his visit.

C H E C K P R IN T E R S INC.

20 S T R A T E G I C A L L Y L O C A T E D P L A N T S F R O M C O A S T T O C O A S T

Northwestern Banker, M ay, 1967

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

.V en’ S a ri

n
t/sIt innì s

been held by a senior retired banker.
Mr. Johnson was born in Lake Lil
lian, Minn., May 2, 1929. He attended
Gustavus Adolphus College and the
Minnesota School of Business between
1946 and 1949. He was founder and
editor of a newspaper in Lake Lillian
from 1949 until 1961. He has been
active in various civic organizations
and was campaign manager in Minmeseta for Vice President Humphrey in
one campaign.

Head Midwest Charge Cards

SWEARING IN Glen R. Johnson (right), Minneapolis, as new national director of the
U. S. Savings Bonds Division is Frederick L. Deming (left), Under Secretary of the
Treasury for Monetary Affairs. At center are Treasury Secretary Henry H. Fowler
and Vice President Hubert H. Humphrey.

L E N R. JO H N SO N w a s an
G
nounced last month as the choice
of President Lyndon B. Johnson as the
new national director of the U. S.
Savings Bonds Division of the United
States Treasury Department.
Mr. Johnson has been Minnesota
state director since 1962. Under his
direction, Minnesota’s annual percent

age gain in Savings Bonds sales rose
from 48th among the states to first.
He had served as deputy director for
Minnesota from May, 1961, until his
appointment as state director the fol
lowing January.
He is the first career employee of
the Savings Bonds Division to hold
the top post. Previously, this had

New officers of Midwest Bank Card
System, Inc., were elected immediate
ly following the first annual meeting
of members.
The new officers, who will serve
until March 29, 1968, are: W. Richard
Murphy, chairman of the executive
committee, Pullman Banking Group,
president; Robert W. Rogers, vice
president, Harris Trust and Savings
Bank, and Jack W. Whittle, director
of marketing, Continental Illinois
National Bank and Trust Company,
vice presidents; Homer Livingston,
Jr., assistant vice president, The First
National Bank of Chicago, treasurer,
and Lowell Taylor, vice president,
Central National Bank in Chicago,
secretary.
Since Midwest was organized about
seven months ago, more than 700
banks and 60,000 merchants have
affiliated with the various plans. Mid- A
west has about five million cardholder
families.

Purchase Dutch Bank

Covers Canada ... Spans the World
W ith o v e r 1 0 0 0 b ra n c h e s th ro u g h o u t
C a n a d a a n d a ro u n d th e w o rld a n d an
in te rn a tio n a l n e tw o rk o f c o rre s p o n d
e n ts — th e B a n k o f M o n tre a l is w ell
q u a lifie d to h e lp you a n d y o u r c lie n ts
n o rth o f th e b o rd e r a n d th ro u g h o u t
th e w o rld . W rite o r v is it a n y one of
o u r fiv e U n ite d S ta te s o ffic e s .

B a n k of M o n tr e a l
CANADA'S FIRST BANK

CowtaGwiaL...Spa/n6the. llW l
CHICAGO: Board of Trade Bldg.
141 W est Jackson Blvd.
NEW YORK • HOUSTON • SAN FRANCISCO • LOS ANGELES
MORE THAN 1000 OFFICES • ASSETS EXCEED $5 BILLION

Northwestern Banker, May, 1967

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

Homer J. Livingston, chairman of
the board of The First National Bank
of Chicago, announced that the bank
has agreed to acquire an 11 per cent
interest in N. V. Slavenburg’s Bank,
Rotterdam. The Netherlands.
The Slavenburg’s Bank was founded
in 1925 and in recent years has de
veloped rapidly in both domestic and
international banking fields. It is an
important bank in The Netherlands
with capital of over $10 million and
deposits of nearly $100 million. The
bank currently operates about 50
branches with locations in all major
Dutch cities.

New B of A Foreign Branches

Plans for new branches in Birming
ham, England and Lahore, Pakistan
were announced last month by the
Bank of America.
Both branches will be additions to
existing offices of the bank in the two
countries. In England, the new branch
will be the first of an American bank
outside London. The bank has two
branches in London and one in
Karachi.

“ Expect a lot when your correspondent is the Harris”

Site-seeing near Chicago?

W hen one o f your cus
tomers needs a new plant or office in the Chicago region, the Harris
can do a real job for you. W e have a separate Industrial Develop
ment Section staffed by experienced people w ho know where to go
and who to see in Chicago. For facts and preliminary studies, our
unique Chicago Information File yields a wealth o f location data. Call
on the Harris to help put your customers on the map in Chicago.

HARRIS

BANK

111 W. MONROE ST., C H IC A G O , ILL. 60690

Organized as N. W. Harris

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

C o. 1882—Incorporated 1907 • Member Federal Reserve System—Federal Deposit Insurance Corporation

Northwestern Banker , M a y , f967

MS o f A "C a stle in S p a in " A w a rd s
N K OF A M E R IC A has an
BAnounced
the bonus and best dis
play winners of its 1966 “ Castle in
Spain Sweepstakes” in which the
bank received more than two million
entries for its travelers cheques con
test.
Ernest J. Young, vice president,
who heads the bank’s world-wide
travelers cheques operation, named
three banks as winners of special
bonus prizes for agreeing to keep the
“ Castle in Spain Sweepstakes” mate
rial displayed and maintained through
October 15, 1966.

They were:
First State Bank of Decatur, Deca
tur, Ind.;
The C o n n e c t ic u t National Bank,
Bridgeport, Conn.;
Gulf-to-Bay Bank and Trust Com
pany, Clearwater, Fla.
Each bank will have a choice of
either an RCA Victor Home Enter
tainment Center, an AMF pool table,
or a suite of Baumritter furniture for
the employee lounge.
Similar prizes will be offered to
bank winners of the Best Display
contest in which banks were asked to

set up an original display for the
travelers cheques sweepstakes.
A panel of judges in San Francisco
named the following banks as win
ners:
The First State Bank of Gallup,
Gallup, N. M.;
Berkley National Bank, Beckley,
W. Va.;
Bank of Louisville-Royal Bank &
Trust Company, Louisville, Ky.
The president of the Gulfjto-Bay
Bank in Clearwater, H. E. Long, is
particularly well-known to Iowans
through his interests in banks in the
Hawkeye state.

Heller Names Chief Exec.
Walter E. Heller & Company has
elected Norman B. Schreiber, presi
dent of the firm since 1964, to serve
additionally as chief executive officer,
it was announced by Walter E. Heller,
chairman and founder of the inter
national commercial financing com
pany.

Since 1907

Western Mutual Insurance Co.

O pe ra tin g
Under

Fire and
A llie d Lines

A u to m o b ile
Casualty

A m erican
A ge n cy
System

Inland Marine
Travel A c c id e n t

.»

’

Homeowners
Farmowners
SMP

Inquiries
W elcom ed

Home

Office

6 1 6 -T e n th St.
DES MO INES, IO W A

A Multiple Line Non-Assessable Company

No rthwestern Banker. May, 1967

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

N. B. S C H R E IB E R

F. A. C O L E

Also announced was election of
Franklin A. Cole to executive vice
president, a newly created position.
Cole has been vice president in
charge of the firm’s Factoring Division
since 1963 and will continue to head
factoring operations in addition to
new responsibilities.
Mr. Heller also said that two new
directors have been elected to fill
vacancies created by retirement from
the board of Harry E. Abrahams,
member since 1920, and Ray H. Matson, member since 1964. New direc
tors are John E. Drick, executive vice
president of The First National Bank
of Chicago, and Norman M. Mesirow,
founder and managing partner of
Mesirow & Company, Chicago broker
age house.

Promoted by Amex
Frank M. Thompson has been
elected vice president-personnel of
American Express Company, it has
been announced by Howard L. Clark,
president.
Form erly director of personnel and
industrial relations for the Bulova
Watch C o m p a n y , Mr. Thompson
joined American Express Company in
1964 as personnel director.

You can solve
som e harrow ing problem s
(when you know the right people)

We’ ve been in the business o f solving
harrowing problems, discing problem s—
all sorts o f cultivating and agricultural
problem s—for a long time.
We were one o f the first m oney-center
banks to have an agricultural specialist
on our staff. And today, with six full
time farmers’ bankers on the premises,
we have one o f the largest agricultural
banking departments in the world.
As a correspondent we invite you to

turn to us for many kinds o f assistance
in extending your bank’s influence on
your com m unity’s agricultural progress.
Sometimes we participate with you in
operating or feeder lines of credit. Or
we can assist by purchasing notes from
you. Either way, our aim is to help you
be more effective with your customers.
It’s easy to give your farm customers
a h e lp in g h a n d w h en y o u k n ow th e
right people. And you do. The people at

C O N T IN E N T A L

B A N K

Continental Illinois National Bank and Trust Company of Chicago
Continental Bank International, New York
Branches: London • Osaka • Tokyo
Representative Offices: Brussels • Madrid • Mexico City • Milan • Zurich
Member Federal Deposit Insurance Corporation

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

©C.l.N.B. 1967

Northwestern Banker, May, 1967

22
But Joe’s love of travel did not go
UH A
h n n iversaunnoticed,
ri/ and he was among the first

C elebrities
OE Snyder is anything but a
plain Joe.
A globe-trotting assistant vice pres
ident in the national division of
Manufacturers Hanover Trust Com
pany, New York, Mr. Snyder is cur
rently celebrating his 40th year with
Manufacturers Hanover and his 30th
representing the
bank in the midwestern states of
Indiana, Illinois
and Iowa.
Joe has been
in the national
division of Manu
fa ctu re rs H an
over since 1934,
and has been cov
e r in g th e mid
J. S N Y D E R
west since 1937.
A graduate of the Ameriran Institute
of Banking and the School of Banking,
University of Wisconsin, he was
elected an assistant secretary in 1941
and an assistant vice president in
1950.
His career has touched many fields
— from commercial artist to profes
sional baseball player to director of
athletics for New York City banks to

bank auditor, examiner, and national
division representative.
A native New Yorker, he studied
mechanical engineering at Cooper
Union, then assisted his father in the
family commercial art studio in
Greenwich Village, before becoming a
professional ball player in 1921.
Once owned by the St. Louis Cardi
nals, Joe was on the roster of the
Chicago Cubs and also played in the
3-1 Leaghe, Blue Ridge League, Inter
national League, Pacific Coast Winter
League, and the Mexican Outlaw
League.
In 1927 his dual interest in sports
and banking led him to accept the
job of director of athletics for all the
New York City banks. He captained
and managed the citywide champions
in both baseball and basketball in
1927 and 1928.
Deciding to cast his lot permanently
with banking in 1929, Joe became
secretary to Harold C. Richard, the
president of the State Bank of New
York, and when the then Manufactur
ers Trust Company absorbed the State
Bank, Joe became an auditor. In 1933,
he was appointed chief examiner of
Manufacturers Trust Company.

MUNICIPAL BONDS
FOR INVESTMENT

men selected in 1934 to start the
bank’s out-of-town division.
Since 1932, Joe has attended 11
Olympic Games as a serious observer,
and his wanderlust has led him to
vacation in such faraway places as
the jungles of Africa, the ski slopes
of the Alps, and the beaches of
Hawaii.
An active sports enthusiast, Joe still
spends a winter vacation each year
skiing with Mrs. Snyder, an accom
plished sportswoman in her own right,
in Kitzbuhel, Austria. He also swims,
plays golf, and is a devotee of the
outrigger canoe and catamaran sail
ing.
Among his special activities, Joe is
chairman of the annual sports dinner
of the Forest Hills Men’s Club, New
York, of which he is a director and
vice president. He also is a member
of the Sun and Surf Beach Club,
Atlantic Beach, N. Y., the Des Moines
Club, and the Elks Club, Peoria, 111.
He is married to the former Dorothy
Ada King. They live in Forest Hills,
N. Y., and plan to take a two year
trip around the world following Joe’s
retirement in April, 1968.

U C Bank Men Promoted
United California Bank, Los Ange
les, has announced the election to
vice presidents of James L. Bastable,
B. R. Fox, M. R. Hardman, B. P.
Mitchell, J. J. Pepperling, R. A. W al
ter, and C. A. Wilkinson. All were
form erly assistant vice presidents.

S h a rp E y e !

STATE
COUNTY
CITY
SCHOOL
FREE FROM ALL FEDERAL INCOME TAXES
FREE FROM MONEYS AND CREDITS TAX IN IO W A

THE WHITE-PHILLIPS CO., INC.
First National Bldg.

Fleming Bldg.

DAVENPORT OFFICES
Phone 326*2527
Teleptype 319-322-0026
DES MOINES OFFICES
Phone AT 2-1456
Teletype 515-261-4723

No rthwestern Banker. May. 1967

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

ALERTNESS paid off for Mrs. Doris Bur
ton of Fontana, Calif., who is shown above
receiving a check for $5,000 from Thomas
G-. Roodhouse (right), v.p. & genl. aud. of
Security First National Bank, Los Angeles,
while her husband, Ed, looks on. The re
ward was for her display of citizenship
and courage in reporting immediately to
police that she had spotted Roger L. Wil
liams in Las Yegas. The latter disappeared
more than eight months ago from the
bank’s Fontana branch, where he was em
ployed, and took a substantial amount of
money with him.

How
narrow-minded
can you get?
Massey-Ferguson has had narrow
row farming in mind for years.
We have had t o ; it’s a real comer
in the corn belt.
Besides 3 and 4-row narrow
row corn heads, we’ve even de
veloped a 6-row. Plus planters
and cultivators to match. A com
plete narrow-row system is just
one example of how our engineers

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

keep ahead of the corn belt
farmer’s needs.
The equipment our engineers
design has an impact on entire
farm communities. The greater
crop yields from this equipment
create greater wealth for farmers
and their communities.
The quality of these machines
—in design, in engineering, in

manufacture, and most impor
tantly, in perform ance — has
m ade M a sse y -F e rg u so n the
world’s largest manufacturer of
tractors, self-propelled combines
and diesel engines.
M F means business in the
corn belt. You can count on it.
_5 7 _M a sse y -F e r g u so n Inc.
D es M oin es, Iow a
Northwestern Banker, M ay, 1967

MBÈBÊÊÈ

around money the finest is
1

5 O L D S T Y L E C O IN W R A P P E R
A U T O M A T IC 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
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 i n d i c a t e d b y
d if fe r e n t s ta n d a rd c o lo rs to d i f f e r e n t i a t e d e n o m in a tio n s .
p a te n te d " r e 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
T r i p le d e s i g n a t io n t h r o u g h c o lo rs , p r i n t i n g a n d le tte rs .
a lw a y s in re g is te r . . . e lim in a te s m is ta k e s . A c c o m m o d a te s
T a p e re d e dg e s.
a ll c o in s fro m l c to $1.00.
6
K W A R T E T C O IN W R A P P E R
T U B U L A R 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
E s p e c ia lly d e s ig n e d fo r m a c h in e f illin g . . . a re al tim e -s a v e r.
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
P acked fla t. In s ta n t p a te n te d " P o p O p e n ” a c tio n w ith fin g e r
n ic k e ls , $2.50 in d im e s , $5.00 in q u a rte rs .
t ip p re s s u re . D e n o m in a tio n s id e n tifie d by 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 .
7 F E D E R A L B IL L 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
R A I N B O W COIN W R A P P E R
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
C o lo r co d e d fo r q u ic k , e a sy id e n tific a tio n . Red fo r p e n n ie s . . .
o
f e x tra s tr o 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
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
d e x trin e g u m m in g used.
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 edg e s.
8 C O L O R E D B IL L S T R A P
D U ZIT A L L COIN W R A P P E R
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
E xtra w id e . . . e x tra s tro n g . D e s ig n e d fo r a re a s w h e re h a lv e s
a m o u n t a p p e a rs o n to p a n d b o tto m o f p a c k a g e . E xtra w id e
a re w ra p p e d in $20.00 p a c k s . . . “ red b o rd e re d w in d o w ” fo r
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
ease 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
a n d s to ra g e . P u re d e x trin e g u m m in g .
in h a lv e s . T a p e re d e dg e s.
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 e ase o f s e a lin g . P a cke d 1000 to a c a rto n .
SEE

THE

D O W N E Y

Northwestern Banker, May, 1967

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

Y OUR

D E A L E R

COM PANY

•

S E N D

FOR

FREE

HANNIBAL,

S A M P L E S

M IS S O U R I

DEPT.

,À

You don’t
waste our time;
w hy should we waste
yours?
We recognize what you’re up against. Today’s banking
climate demands people who can make the most o f time.
Our correspondent representatives are these people.
Or they don’t stay with us.
Sure, they smile. And talk pleasantly. But they
talk constructively. About things you’re faced with.
About the things Citibank can do to take worries off
your shoulders.
These men are ready to analyze your needs. Come up
with sensible answers. You won’t get idle
chatter from them.
You can count on something a lot better—the latest
ideas in creative banking.

FIRST NATIONAL CITY BANK
M em ber Federal Deposit Insurance Corporation

Uptown Headquarters: 399 Park A venue

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

D ow ntown Headquarters: 55 Wall Street

Northwestern Banker. M ay, 1967

lA iSaU e Huffs M u t u a l N a tio n a l
the recent sale of
FOLLOWING
ownership control of The Mutual
National Bank of Chicago, 79th and
Halsted, directors of both LaSalle Na
tional Bank, 135 South LaSalle, and
Mutual National, have agreed to take
the necessary action to merge Mutual
into LaSalle with LaSalle National as
the continuing bank.
Date for the actual merger has not
been established pending the neces
sary approval of regulatory authori
ties, but it is contemplated the merger

will be accomplished in about 60 days.
As of February 28, 1967, LaSalle
had total deposits of $306 million. Mu
tual National had deposits of $66 mil
lion. Total capital funds of LaSalle
National were $21.5 million. Mutual
National’s capital funds were $6.4 mil
lion.
Shareholders of Mutual National
will receive $5.6 million in cash and
50,000 shares of 5.75 per cent cumula
tive preferred (par value $60) distrib
uted on the basis of $56 cash and

one-half share of the preferred for
each common stock share of Mutual
National.
To effect this merger agreement,
capital stock of LaSalle National will
be increased by $3 million by the cre
ation and issuance of the 50,000
shares of the 5.75 per cent cumulative
preferred.

G ra n d Opeit in y

W E ’RE IN THE
COMMODITY
BUSINESS, TOO!

First Nebraska Securities is now
a member of the

CHICAGO BOARD OF TRADE
and
Chicago Mercantile Exchange

THE MAYOR of Park Ridge, Illinois, W.
Bert Ball, raises the United States Flag in
front of the new headquarters building of
NAB AC, The Association for Bank Audit,
Control and Operation, for the first time
as the banking trade association marks its
move into its new headquarters at 303 S.
Northwest Highway, Park Ridge, Illinois.
Present at the brief ceremony are, left to
right: Mayor Ball; F. Byers Miller, exec
utive director of NABAC; Willis F. Jones,
president of Park Ridge Chamber of Com
merce, and Winslow E. Pike, administra
tive director of NABAC.

To Host Safe Group

with a complete Commodity Department and an experi
enced staff. This new department is geared to give you
swift, competent service in commodity futures, particularly
live cattle futures, which are of special interest to cattle
men, feeders and farmers. Our service covers the complete
gamut of commodities, however, and we urge you to write
today for our weekly commodity market report. W e are
as close as your telephone. Call us for prices and informa
tion on the commodity markets. You are welcome in per
son, of course. W e are anxious to help you. W e are open
8:00 to 5:00, Monday through Friday.

Colorado will host the 1967 “Gold
Nugget Convention” of The American
Safe Deposit Association June 14-17,
it has been announced by Mrs. Freda
Herren, general chairman.
According to Mrs. Herren, about
300 banking delegates from through
out the nation are expected to attend
the convention, which will be held in
the nationally known Brown Palace
Hotel in downtown Denver.

Plan Bank PRMA National
Meeting in Denver
F ir s t N e b r a s k a S e c u r it ie s , I n c .
Members New York Stock Exchange
Am erican Stock Exchange (Assoc.)
Midwest Stock Exchange
Chicago Board of Trade
Chicago M ercantile Exchange
NEBRASKA

OMAHA

LINCOLN

GRAND ISLAND

100 C ontinental B u ilding
19th and Douglas
Telephone 341-1500

Lincoln B uilding
1001 “ 0 ” Street
Telephone 477-9221

513 West 3rd Street
Telephone 382-0746

IO W A

SIOUX CITY

ATLANTIC

Box 1198
5th and Nebraska
Telephone 252-4524

9 East 6th Street
Telephone 243-5500

Northwestern
Banker, M ay, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

HASTINGS
Securities B uilding
2nd and Denver
Telephone 463-3141

“ Expanding Banks’ F r o n t ie r s —
Management Trail Blazing” is the
theme around which the 52nd annual
convention of the Bank Public Rela
tions and Marketing Association is
now being constructed. The conven
tion will be held October 8-12 at the
Denver Hilton in Colorado.
Serving as program chairman for
the big annual meeting is Edward C.
Boldt, senior vice president, First Na
tional Bank of Memphis.

27
Grocer: "W ith REC-CHEK, I get my
sales, purchase, and expense figures—
by category—with my bank
statement every m onth."

Farmer: "W ith REC-CHEK,
we do our bookkeeping in
the time it takes to write
our checks. The printed
cost and income
breakdown we get every
month helps us in
the planning."

A BANKING SERVICE THAT
BRINGS THEM INTO YOUR BANK

Doctor: " I and my colleagues have
more time for patients w ith REC-CHEK
keeping track of the money for us.
And the expense analysis is very
helpful."
Now you can offer your demand depos
itors the most modern, most desirable
banking service yet devised —RECCHEK—and open up new avenues of
incom e for your bank. The unique
REC-CHEK system produces, as a by
product of your regular check-clearing
process, a complete monthly break
down of income and expense for each
demand depositor, regardless of his
type of business. Doctors, farmers, busi
nessmen, lawyers, and executives all
have been enthusiastic in their praise
—and so have their bankers.
How It Works
With the REC-CHEK system, each de
positor selects a series of 3-digit codes
to cover the various categories of his
income and expense items. Then, using
REC-CHEK deposit slips and checks,
he simply enters the appropriate code
number each time to identify the type
of transaction. That’s all the depositor
does; the rest is automatic. Each month
( as a by-product of your check-clearing
process) you send him a monthly and
year-to-date record of all his income

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Federal Reserve Bank of St. Louis

Executive: "The wife and I can budget
realistically w ith REC-CHEK. At tax
time we're able to give the accountant
complete information imm ediately."

and expense items —by category. And
REC-CHEK flexibility covers virtually
any type of account; it is simple enough
for anyone to use.
A Profitable Customer Service
REC-CHEK not only attracts and holds
those all-important demand depositors
for your bank —it does so at a profit.
The initial installation cost is quickly
amortized by the addition of a modest
monthly service charge to each partici
pating account. Your customers will
realize that they cannot obtain such a
service anywhere for that price. As a
REC-CHEK franchisee, your contract
provides for exclusive rights to this sys
tem in your banking area. And RECCHEK is equipped to help you get off
to a fast, sound start with “in-bank”
training and customer promotion ma
terials. You also have the right to re
enfranchise correspondent banks for
whom you do processing, thus strength
ening correspondent relationships by
addin g new services, and adding
income.

Proved Nationwide
REC-CHEK is a well-established na
tional system and expanding rapidly.
In banks throughout the country it has
met with enthusiastic response wher
ever it has been installed. REC-CHEK
is backed up with research and develop
ment by specialists in banking, account
ing and electronic data processing. The
REC-CHEK system produces its bene
fits by the astute use of the member
bank’s own Electronic Data Processing
equipment. But if your bank does not
yet have EDP, you can easily have
REC-CHEK accounts processed by a
correspondent bank or an independent
processing service.
Complete Information
For further information and a demon
stration of how REC-CHEK works for
various types of accounts, write RECCHEK Inc., Box239, Nevada, Iowa 50201.
Patent Pending

Northwestern Banker, M ay, 1967

F eF eb u re O b serves 7 5 Y ea rs
leFEb u r e c o r p o r a t io n
celebrates its 75th anniversary
year. The Cedar Rapids based
bank equipment firm was founded in
1892, and began operations as the Le
Febure Ledger Company.
At that time, founder E. L. LeFe
bure had patented and was producing
America’s first self-indexed ledger
system.
The company kept pace with the
many changes in record handling and
form housing requirements from that
date to the present.
In recent years LeFebure added
cash handling, motor banking and a
wide range of security equipment to
its line, and now supplies 3,900 items
used in financial operations.
A nation-wide sales force serves
10,000 institutions annually, making
it one of the best recognized names
in the banking industry.
In 1966, the company became an
operating unit of Walter Kidde &
Company, Inc.
In making the a n n i v e r s a r y an
nouncement, LeFebure President K.
W. Watts said, “W e are, of course,
mindful of this com pany’s history.
We have great pride in the tradition
of accomplishment through innova-

T
this

/$ •

• 1 8 9 2 -1 9 6 7 • 7 5 Y E A R s 'N

/ Q:
O

o\
T1

tion which kept our growth going
over the years. W e’re a young and
enthusiastic group—with great inter
est in the future and the part we can
play in making operational banking
realize the potential which will sure
ly be offered.

The building, located at the exact
geographic center of Chicago’s loop,
was originally scheduled for com ple
tion in mid-1969. The bank now con
templates moving its current opera
tions into the new building by late
1968. The building should be com
pleted by early 1969.
Since the issuance of the last progress report by the bank in December,
1966, considerable progress on the
building has been made both above
and b e k w ground level.
The bank expects superstructure
steel to rise above the 13th floor by
June 1 and the 30th floor by Septem
ber 1. Topping out of the 38,000 tons
of superstructure steel is scheduled
for late December, 1967. As of the
end of March, an estimated 10,000 tons
of superstructure steel had been
erected.
Below ground, the walls of the
safety deposit vault and silver vault
have been completed.

First of Chicago Progress
Construction of The First National
Bank of Chicago’s headquarters build
ing is approximately six months
ahead of schedule, Homer J. Livings
ton, chairman of the board, announced
recently in Chicago.

mm 3
Merchants
Mutual
Bonding Co.
Io w a ’s O ldest Surety Com pany

T h is progressive com
pany with experienced
conservative manage
ment is proud of its 300

NEW
MARKET SURVEY
Programme and other helps in
developing the bank's farm
and ranch business. For
FREE brochure write:

bank agents in Iowa.
W. W. Warner
P re s id e n t

M. J. Corbin
V ice P re s id e n t

HOME OFFICE
TH E FARM PIC TU R E.
P.O. Box F

URBANA, IL L IN O IS 61801

jK m n M & m m E sn im m M m
Northw estern Banker, May, 1967

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

2100 Grand Ave.
Des Moines, Iowa

ORVILLE R. GOERGER (right) receives
the Silver Medal Award as St. Louis Ad
vertising Man of the Year from G. L.
Halenkamp, president of the Advertising
Club of Greater St. Louis. Mr. Goerger is
vice president and director of public rela
tions and advertising for Mercantile Trust
Company, St. Louis.
The award is given for service to the
profession, the recipient’s company and to
the community. He has excelled in all
three. He has been most active in organi
zations within the advertising and public
relations business and is a past president
of the St. Louis Club. He has been chair
man of the Promotion Committee of Down
town St. Louis, Inc., a director of the
Better Business Bureau, vice presidentcommunity relations for the Girl Scout
Council of St. Louis, commissioner of the
Metropolitan Youth Commission, publicity
chairman for the St. Louis Arts and Edu
cational Council, member of advisory com
mittee and chairman of publicity and pub
lic relations committee of the Community
Center for the Deaf, as well as member
ship in other prominent civic and chari
table organizations.

In a Park Avenue conference room. A rare pause for a man on the road some 26,000 miles yearly.

T H E C O M M IT T EE O F O N E
Most of the top 100 corporations use him. Smaller companies give him $1 billion in business.

industry in your area. (50% of our business accounts are smallThey say this is the age of committees.
If so, one of the world’s largest banks, Chemical New York, to medium-size companies outside the New York area.) Fa
is bucking the age in its approach to serving corporate cus miliar with businesses widely diversified in size, products, and
tomers. Our approach is the “committee of one”—and it may problems, he can cope quickly and thoroughly with yours.
If you could benefit from our kind of thorough banking
be one of the reasons our resources have increased two billion
knowledge and personal attention, why not meet with our
dollars in the last four years alone.
Each of our bankers serving business throughout the coun “committee of one.” All you need do is to contact our man
•
■
try is an across-the-board banking expert, rather than a lim serving your area, or National Division, Chemical Bank New York Trust
I1GIT11C&I
ited specialist. The result: Your time with him can be spent
Company, New York, N.Y. 10015. -WT
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Your Chemical banker serves not just one industry, but all The bank that works hardest for you.

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

Northwestern Banker, M ay, 1967

TOP LEFT— Looking ovci' animals used in the exhibits are (from
le ft): Mervin F. Aegerter, a.v.p., 1st Natl., and program emcee;
Dr. J. L. Sumption, a speaker from Canada; Paul Jensen of Mis
souri, also a speaker; Don Ostrand, v.p. in charge of 1st Natl’s
correspondent bank dept., and Dr. Jose A. Fernandez Chaves, di
rector of Spanish government’s experimental hog farm. TOP
RIGHT— Winners of weight evaluation contest (banker’s divi
sion), receiving awards from “ Miss Chuck Wagon,” Gwen Marsh,
are (from le ft): 1st—Paul Kosch, pres., 1st Natl., David City,
Nebr.; 2nd—Vernon R. Mulig, v.p. & ag rep., 1st Natl. B&T, Beat
rice, Nebr., and 3rd—Wayne Laughery, Guthrie County State
Bank, Guthrie Center, Iowa. LEFT— Western girl trio entertained
visitors during noon barbecue.

"C h u ck
Co tile

W agon"
(tra
d
in
g
. H o g i'ro d a etio n

ANKERS from five states, along
B
with their farmer-feeder custom
ers totaling nearly 800, many of them
in their leisure clothes and boots,
went to Ak-Sar-Ben Field in Omaha
recently to “ see” and “ hear” what’s
new in livestock and agriculture as
presented by the First National Bank
of Omaha at its Annual “ Chuck
W agon Roundup.”
This number was nearly double
those present for the same event a
year ago, and a check of the parking
lot disclosed automobiles and buses
from 45 Nebraska counties, 18 coun
ties in Iowa, and two each from Kan
sas, Missouri, and South Dakota. In
addition, a number of guests came by
private and commercial planes from
South Dakota, Iowa, and Kansas.
The day’s program featured a tal
ented group of well-known livestock
specialists who utilized live animals
in demonstrating their various topics,
all of which was aimed at providing
profit-making ideas for bankers, farm
ers, and livestockmen.
Don Ostrand, vice president, First
National Bank of Omaha and head of
the correspondent department, welNorthwestern Banker, May, 1967

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

R y BEN H A L L E R , JR.
Editor

corned the capacity crowd at 10:00
a.m. and introduced Fred Gilmore,
president of the Union Stockyards
Company and chairman of the agri
cultural committee and a member of
the board of governors of Ak-Sar-Ben.
Weight Judging Contest
Just before the noonday break for
lunch, a weight evaluation contest
was staged with the entire crowd par
ticipating. After estimating individ
ual weights on four steers and a
group of “ odd lot bulls” represented
by six members of the correspondent
bank department of the First Na
tional Bank, prizes were awarded to
the winners in each of the three divi
sions. All nine winners were awarded
AM and FM transistor radios.
Championship Beef Served
First National Bank’s “ Chuck W ag
on Luncheon” again this year fea
tured championship beef from the

1966 Nebraska State Fair champion
ship Shorthorn steer that had been
purchased by the First National Bank
from Jeanne Aegerter, Seward, Neb.
This choice beef with all the trim
mings was served with a background
of western music and appropriate
“ Chuck W agon” atmosphere.

Summary
Mervin F. Aegerter was the “W ag
on Master” and master of ceremonies
and summarized the program by say
ing, “ From the information presented
here this afternoon, foresight and
good judgment are the apparent fore
runners to successful management.
This applies to any operation, regard
less of how large or small and wheth
er it be diversified or specialized in a
specific product. There is no doubt
but what management decisions will
play a major role in the economics of
future pork production.”
It was also pointed out in both cat
tle and swine breeding that hybrid
vigor obtained by crossbreeding is an
expression of the increase in perform
ance of the offspring as compared to
the average of the parents.
The entire event was held in the
new, modern sales ring at Ak-Sar-Ben
Field, and it was announced that the
Third Annual “ Chuck W agon Round
up” is planned for Thursday, March
28, 1968.—End.

Second to none
in correspondent
banking service

Because... the correspondent
banker at the First is a thorough,
systematic banker and business
man. His firsthand knowledge and
insight in many business fields,
augmented by his extensive
banking experience, mean the kind
of correspondent banking service
that is second to none.

FIRST

NATIONAL

BANK
o f K ansas City, M issouri

FIRST
NATIONAL BANS.

R SI
’AL BANK

cB a n k jn
Kansas

x/< r

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

Main Office— 10th 8c Baltimore
Kansas City, Missouri
Phone 816 BA 1-2800/TELEX 04-2210
Member Federal Deposit Insurance Corporation.

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

Here are 5 ways
LeFebure can improve
your operation
Ask about our other
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Ways to cut your cost per transaction. Ways to provide
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All these are vital to the success of your business. And
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quirements. He's not out to sell you something you don't

need . . . he has everything you need. He can aid in the
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For specific information on the items shown here,
mail the coupon or call 319-366-2771.
Incidentally, your LeFebure man has a few thousand
other ideas you might like.

IMPROVED SECURITY . . . Grace and beauty complement the absolute security of LeFebure Vault Doors. Flat sill entry
and durable stainless steel highlight the six new doors now available.
IMPROVED FORMS AND INDEXING . . . Speed and accuracy keynote LeFebure's Tendex card record system. Fast
finding and filing, fewer misfiles, less indexing, hand or machine posting in minimum space all assure faster service,
lower costs.
IMPROVED CHECK FILING . . . With standard Chex-Pediter unit, up to 200% more accessibility. Patented three-point
suspension system means easy file arranging, complete flexibility, maximum visibility, and lower cost per transaction.
IMPROVED MOTOR BANKING . . . LeFebure's planning experience provides the ideal motor banking unit for any ap
plication. Trouble-free stainless steel fronts, manual/automatic electric deal drawer, and many other features give you
efficient, fast, weather-proof transactions.
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Please s e n d m e i n f o r m a t i o n o n : Q V a u l t D o o r s □ Form s a n d I n d e x i n g □ C h e c k Filing
E qu ip m en t
Q M o t o r B anking
□ C a s h H a n d l i n g S yste m s
□ I a m i n te r e s t e d in h a v in g
an o b j e c t i v e s tu d y m a d e o f m y o p e r a t i o n at n o o b l i g a t i o n .
I Name

Institution

I Address
1 C ity

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Federal Reserve Bank of St. Louis

S ta te

Zip

S u b s id ia ry o f W a ite r K id d e & C o m p a n y , In c .

Northw estern Banker, M ay, 1967

How are your Directors
and Officers protected
against lawsuits?

A sk the m an from

SCARBOROUGH
the bank insurance people

SCARBOROUGH & COMPANY/BANK INSURANCE SINCE 1919/FIRST NATIONAL BANK BUILDING/CHICAGO 60603
Northwestern Banker, May, J967

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

s t r o n g e r fin k

b e tw e e n c o r r e s p o n d e *

EPTEM BER 1, 1967, is “ D” Day
for check clearing by com mer
cial banks in the United States.
It is already assured nationally that
nine out of 10 drafts and checks will
clear the beachhead of being “ machin
able.” That is, the items can, by vir
tue of being encoded in M.I.C.R., be
handled as cash items through com
puters of the Federal Reserve Sys
tem.

What about the one in 10 items
which will not be able to be handled
as a cash item by Federal Reserve
Banks under the new criteria? Are
we “ home safe” ? Proponents of ma
cro economics may be tempted to as
sume that we are. This is quite mis
leading because, while the national
figures indicate nine out of 10 checks
are M.I.C.R. encoded, the fact is that
there is a material difference from
state to state and region to region as
well as bank to bank in the propor
tion of encoded items. (See accom
panying report from Fed Districts on
current extent of encoding.)
Large Banks Favored
It should be recognized quite frank
ly and objectively that in those states
where large sized banks prevail that
there have been greater proportions
of accounts which hâve been encoded.
This is simply because the scales of
size have made it economical for those
institutions, of typically over $25 mil
lion, to utilize computers.

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

Banks of lesser size, until now,
have not had quite the same com
pelling economic motivating reasons
to rigorously encourage their custom
ers to convert their checks to M.I.C.R.,
since the bank did not directly and
immediately obtain economies of com
puter processing. Frankly, this is an
area in which the individual banker
can incur a great deal of customer
ill-will if he does not succeed in con
vincing the check writer that using
checks encoded with M.I.C.R. is now
to the customer’s own advantage.
It is also an area in which the bank
er would be well advised to absorb,
at least initially, the printing cost of
M.I.C.R. check conversion if neces
sary.

B y L E W IS E. D A V ID S

Hill P ro fesso r o f
Bank M anagem ent
University o f M issouri
Colum bia, M issouri

Functional cost analyses tend to
show that the unit costs of handling
M.I.C.R. encoded items is substantial
ly lower for banks using computers.
Does this mean that smaller, unit
banks must be higher cost institu
tions, and relatively less profitable?
The answer is YES as well as NO.
Those small unit banks which resist
innovational developments will per
sist in their traditional cost relation
ships.
However, the innovational,
computer-using bank’s costs for han
dling checks will go down. This will
mean that the non-computer using
banks will have relatively higher
costs.
Handwriting on Wall
One of my sad experiences has been
to have sat in, over a several year
period, on several unsuccessful pro
posals which were made to establish
computer oriented service bureaus,
clearing house arrangements, corre
spondent or cooperative facilities. The
plans would have permitted the small
unit banks to make common, and thus
economic, use of data processing fa
cilities which were beyond the finan
cial resources of one or two small
competing banks, but not beyond the
resources of those larger number of
small banks invited to participate.
To an interested but objective obM IC R . . .

(Turn to page 50, please)
Northwestern Banker, M ay , 7967

/" '" X
V W

DATA
PROCESSING
IN BANKS

M IC H M o res A h ea d
Federal Reserve Survey Shows 9 7 .1 %
O f Daily Check V olu m e Is Coded
check processing
equipment is now responsible
for the handling of approximate
ly 97.1 per cent of the daily check vol
ume at the 12 Federal Reserve Banks
in the United States, according to a
recent one-day survey made at all
Federal Reserve Banks and branches.
The survey involved the inspection of
nearly 18 million items.
W ith the September 1, 1967, dead
line drawing near, there are still over
500,000 daily items received by the
Fed that do not bear the magnetic
ink routing symbol-transit number
designation. After September 1, all
such items sent as cash items will
be handled by the receiving Federal
Reserve office as follows:
a. Items of $1,000 or more received
from banks located outside the
city of the receiving Federal Re
serve office will be charged back
and entered for collection as non
cash items; and
b. All other items will be charged
back and returned.
Making an analysis of the 2.9 per
cent of the checks that were not en
coded during the one-day survey, the

l e c t r o n ic

Fed found that 35 per cent repre
sented checks drawn by corporations
and 21 per cent checks drawn by in
dividuals. It was also significant that
24 per cent were made up of “ coun
ter” checks or “ scratched” checks
(checks drawn on one account but
used for drawing on another account
or bank). Multiple drawee items (3
per cent); preauthorized life insurance
premium drafts (6 per cent); munici
pal warrants (5 per cent), and trans
fer or depository drafts (2 per cent)
were the largest other individual cate
gories.
Since the introduction of the Mag
netic Ink Character Recognition Pro
gram by the American Bankers Asso
ciation, bankers have become increas
ingly aware of the operating problems
caused by “headache” items. The
term “headache” items is used to de
scribe any of a number of types of
nonstandard checks, drafts or similar
instruments which, because of their
design or size, cause errors or re
quire special handling in present
check handling operations. Efforts
have been made and are continuing to
be made by the ABA individual com
N O N C O M P L Y IN G

F E D E R A L RESERVE
BANK OR BRANCH

TO TAL
IT E M S
R E V IE W E D

T o ta l

IT E M S

P e rc e n t
o f A ll
Ite m s
R e v ie w e d

2 ,0 1 9 ,6 0 3

5 2 ,5 8 6

2 .6 0

6 1 0 ,0 0 0

1 1,394

1.87

2 ,6 2 9 ,6 0 3

6 3 ,9 8 0

2.43

M IN N E A P O L IS

61 1,306

1 1,580

1.89

H e le n a

1 0 1 ,4 0 4

2,691

2 .6 5

7 1 2 ,7 1 0

14.271

2 .0 0

C IT Y

5 7 8 ,7 5 5

2 8 ,9 0 6

4 .9 9

C it y

2 6 3 ,0 6 5
2 4 8 ,0 0 0
2 3 4 ,09 1

4 ,7 5 8
2 2 ,5 2 5
1 3,1 36

1.81
9 .0 8
5.61

1,323,91 1

6 9 ,3 2 5

5 .2 4

1 7 ,6 9 2 ,4 3 0

5 2 2 ,3 2 4

2 .9 5

C H IC A G O
D e t r o it

KANSAS
D enver
O k la h o m a
Om aha

S y s te m

Northwestern Banker, May, 1967

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

mercial banks, and the Federal Re
serve System to eliminate such items
from the check collection system.
The chart featured on this page
shows the results of the one-day sur
vey for the Federal Reserve Bank of
Minneapolis (9th Fed); the Federal
Reserve Bank of Kansas City (10th
Fed), and the Federal Reserve Bank
of Chicago (7th Fed), which cover the
areas served by the N orthwestern
B anker . Comparisons are made with
the figures obtained for the whole na
tionwide system.
Survey figures show that the most
work must be done in the St. Louis
Federal Reserve area. Noncomplying
items in the Memphis area ran 13.12
per cent of the total, and noncom ply
ing items in the Little Rock area ran
11.13 per cent of the total. Both cities
are offices of the St. Louis Fed.
In the N orthwestern B anker area,
it appears that there is much work left
to be done in the Omaha branch of
the Kansas City Fed, where 5.61 of
the items did not comply, and this
amounted to over 13,000 items per
day. All other areas in N orthwestern
B anker area were better than the na
tional average of 2.95 per cent of non
complying items.
Hugh D. Galusha, Jr., president of
the Federal Reserve Bank of Minne
apolis, expresses the feeling of all of
the officials of the Fed when he says,
“W e are most gratified to note the
progress made in recent years by the
banks of the Ninth Federal Reserve
District in the MICR program. Nev
ertheless, more is yet to be done; 1.65
per cent or approximately 10,000 items
received by this bank each day do not
bear the magnetic ink routing symboltransit number designation. Current
ly, the Federal Reserve Bank of Min
neapolis is assisting banks by supply
ing them with facsimiles of checks on
those customer accounts which have
not yet placed the necessary informa
tion on their checks. The Fed has
also expressed a willingness to work
with the banks on problems of check
design, and also to assist in encour
aging large regional, national or gov
ernmental concerns to convert to the
MICR format.
George H. Clay, president of the
Federal Reserve Bank of Kansas City,
and Charles Scanlon, president of the
Federal Reserve Bank of Chicago, ex
pressed equal concern and the offer to
cooperate fully with area banks.
Another one-day survey is being
planned by the 12 Federal Reserve
Banks and offices in the system. After
results are tabulated, they will be
compared with previous surveys to
show the continuing progress being
made on the MICR program.— End.

37
ITHIN five years most commercial farmers in
Iowa will have a computer as a “hired man!”
The nice thing about this particular “hired man”
is that he’ll always be available, and the farmer w on’t
have to find little jobs to keep him busy because he’ll be
sharing this hired help with the farmer up the road—
or in the next county.
The “hired man’s” job—keeping the records of the
commercial farmer’s receipts and expenses, supplying
him monthly and yearly totals and even helping him
analyze them.
* *
Such was the consensus of bankers attending a W ork
shop Session on the subject of Computer Use in Farm
Business Records and Analysis at the Annual Ag Credit
Conference held last month on the campus of Iowa State
University in Ames.
Everett Stoneberg, Iowa State University economist
who acted as foreman of the workshop, pointed out that
farm record keeping by EDP equipment was not some
thing coming— it’s here now. And the interest exhibited
by bankers certainly bore that out.
Under the leadership of Mr. Stoneberg, the workshop
discussion centered around the various systems available
today, how they work, and problems encountered.

THE
CO M PU TER
a n d

FARM
R U S IN E S

RECO RD S

Available Systems
Represented in the workshop group were people
knowledgeable about various farm record EDP systems
currently offered by banks. In brief, those mentioned
were as follows:
Farm Business Association. This is a non-profit or
ganization of some 2,800 farmers. Computer portion of
the service comes from the computer center at Iowa
State University.
Member farmers are visited by a management con
sultant to aid them in setting up records for their own
specific operations. It is then the individual farmer’s
responsibility to make the appropriate entries in his rec
ord book for income and expenses.
The record book is then sent to the Farm Business
Association for totaling of the various categories. A
printout is subsequently sent to the farmer for his
analysis.
As a sidelight, the totals are also retained at Iowa
State and extensive analysis and comparisons are made
for these 2,800 farms. As a result, a member-farmer has
the opportunity to compare his performance with the
average of this sizable group of commercial farmers.
The cost to the farmer is about $60 to $100 per year.
* =t= *
Farm Bureau. This service, available to Farm Bureau
members, is currently being utilized by about 800 Iowa
farmers.
Here again, the farmer makes the entries in his record
book and sends it to the computer center on a quarterly
basis. A printout of totals is then sent back to him.
This shows essentially cash flow, but does not provide
sufficient information for a true analysis of the business
as a whole or for individual enterprises.
Cost is about $40 to $50 per year.
* * *
Rec-Chek, Inc. This is a record-keeping system origi
nally developed by the Nevada National Bank and now
operating as a separate corporation. It is available on
a franchise basis to bankers who in turn offer it to their
customers.
This system works through the farmer’s checking acCOMPUTER AND FARM . . .
(Turn to page 120, please)
Northwestern Banker, M ay, 1967

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

Major Banks in
\

tion, maintains a regional data center in Billings located
approximately one block from the bank. This regional
data center provides computer services to the Midland
Bank and four other affiliates.
C. C. BREIKJERN
Vice President and Cashier

First National Bank
Casper, Wyoming

UR IBM 1440-8K system with two disk drives was in
stalled in March of 1964, after two years of experi
ence with unit record equipment. W e initially took the
approach to automate the high volume departments of
our own bank rather than to jump into the service area
and during the last three years have been successful in
writing programs for and converting the following de
partments: Mortgage Loan W /E scrow Analysis, Install
ment Loan, First-O-Matic Loan (Revolving Credit Plan),
Statement Savings, CDs and Time Open, Demand De
posit, and Payroll.
In December of 1966 we accepted delivery of an IBM
360, Model 30, 32K system with three disk drives and are
presently in the process of converting from the 1440 to
the 360. W e will be running our 1440 auto-coder pro
grams under the disk operating system, utilizing the
1400 compatibility feature until such time as our present
programs can be rewritten in PLI.
Now that we have the high volume departments in
our bank under computer control, we are ready to take
on additional service work. W e presently provide a
general ledger service for a mining company, amortiza
tion schedules and printing of 1099s for a savings and
loan, name and address stickers for a local printer and
computer time for an oil company where they furnish
their own programmers and operators.
W hen our new 360 is in full operation we look forward
to processing items for other banks throughout the state,
using data phone transmission as well as doing other
local service w ork for other businesses.

UTOMATION has definitely become a way of life
for major banks in larger cities in the midwest
and mountain states. Many of those banks which
serve correspondent banks, as well as large commercial
accounts in their respective areas, are working with
their second and even third generation computer sys
tems.
Replies received from executive and operating officers
in a survey conducted by the N orthwestern B anker to
determine the extent of automation facilities in upper
midwest states show that considerable “hardware” is
scheduled for delivery this year. This new equipment
will supplant initial installations that are now inade
quate due to growth, much of it generated by the earlier
equipment itself. Additional banks are studying larger,
more sophisticated replacement equipment that will be
ordered in the future.
In most areas, a full range of computer service now is
available to smaller banks through the tested facilities of
city correspondent banks. The following replies to the
survey show the scope which these installations provide
for internal work, other banks and commercial accounts:

KENNETH B. JACOBSON

R. A. JOHNSON

Vice President and Cashier

Midland National Bank
Billings, Montana

American National Bank
Cheyenne, Wyoming

HE Midland National Bank is an affiliate of First
Bank Stock Corporation and, as such, all of our auto
mation services are provided by First Computer Corpo
ration of Minneapolis. The First Computer Corporation,
a wholly owned subsidiary of First Bank Stock Corpora-

OR our in-shop automation program, we are pres
ently using an IBM 1240 Bank Data Processing Sys
tem with 8,000 positions of core storage, a 1412 Magnetic
Character Reader, a 1442 card read-punch, a 1443 printer
and two 1311 disk drives. Some consideration is pres-

Northw estern Banker, May,

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

1967

V-

Area Are Fully Automated
A NORTHWESTERN BANKER Survey

ently being given to a proposal presented for an IBM 360
System, Model 30. Our usage of such a system would
be at least two years away.
Presently we have our demand deposits, savings, cer
tificates of deposit, loan amortization schedule print-outs,
and payroll on our system. Outside local service includes
applications, through a CPA firm, for accounts receivable
processing, and staff job-cost analysis; a savings and loan
company for their savings program; and a public library
program of book inventory and past due listings.
One out of town bank is now using our service for
demand deposits. Their savings and certificates of de
posit w ill be converted in the near future. W e hope to
serve some other banks in these areas also.
As our in-shop system has been in operation for less
than one year it is not practical to determine how much
money, if any, the equipment may have saved us.
Our bank is the first one in the state of W yom ing to
make available computer service for other banks and
outside businesses. W e are pleased with the acceptance
we have had o f the services offered in the relatively
short period of time our system has been in operation.
DAVE ISFERDING
Operations Officer

American National Bank
Denver, Colorado

E ARE presently utilizing a Burrough’s 300 series,
tape oriented computer.
During the past year
much has been accomplished in creating new system ap
proaches for inter-department and correspondent bank
servicing. Many adaptations were incorporated into the
over-all design to provide greater system flexibility, opertional speed, more current and complete information,
and a wider variety of analytical information to meet
banking objectives.
Some of the applications currently in operation on the
computer are demand deposit accounting, savings ac
counting, time certificates, real estate coupons, inven
tory, proof of transit and various sub-routines to aid
inter-bank operations. In addition to in-bank applica
tions, six correspondent banks are being provided with
automated demand deposit and savings accounting serv
ices.
Plans for the remaining months in 1967 include the
development of installment loans and payroll applica
tions; which would be available to correspondent banks
and customers desiring this service.
However, computerized changes and new systems de

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

velopment takes time. It is our belief, through experi
ence in electronic data processing, that quality in output
is far more important than quantity or volume in input.
The revenue derived from computer servicing is of a
substantial amount and is at present justifying the cost
of maintaining and operating a computer center. As the
“ quality output” is achieved in newer system creations
and operations, we will continue to offer a wider variety
of services to our correspondents and customers.
DAVE CHEEVER
Public Relations Officer

The Colorado National Bank
Denver, Colorado

RIEFLY, our equipment now includes an IBM 1460,
1401 and 360 Model 30 and 40. The 1460 and 1401
will be phased out within six months, as the 360 is put
into full operation.
Our computer system presently is being utilized for
the following Colorado National Bank services: check
ing, savings, the BankAmericard credit card, expense
accounting, payroll. Trust and commercial loans are in
the process of being placed on the computer.
For outside business, we offer the following services:
automated payroll, labor allocation, water billing, Medac
(automated billing and accounting for doctors and den
tists), and correspondent banks (the same services as
the Colorado National Bank).
There’s no doubt that the com puter has saved a great
deal of time and expense in those areas, and has im
proved record-keeping. It’s difficult to say at this time
how much money the bank has saved by using auto
mated equipment.

NEIL L. KING
Vice President

First National Bank
Denver, Colorado

E ARE presently operating three General Electric
415, an IBM 1410 and a Burroughs B260. A 360/40
system will soon replace the 1410.
The computers now perform a wide range of opera
tions for our bank and more than a score of participat
ing institutions. These services include: demand de
posit accounting for 28 banks, savings accounting for 28
banks, installment loan accounting for 17 banks, account
reconciliation for the First National and others, payroll
for The First National, customer payroll for First and

No rthwestern Banker, M ay , Î 967

DATA

V ~V
J
----

PROCESSING
. IN BANKS
^

others, bond analysis for 14 banks, accounts receivable
for two companies, mutual fund accounting, and personal
and corporate trust accounting for our bank.
Among the operations planned to be added to the com
puter program are commercial loan accounting, mort
gage loan accounting and certificates of deposit account
ing.
ROBERT J. STERLING
President

Bankers Trust Company
Des Moines, Iowa

ANKERS TRUST COMPANY is now using an IBM
360 Model 30 computer, with 32,000 positions of core,
which was installed December 1, 1966. Other equipment
in this configuration includes a Model 1419 check readersorter which can sort up to 1,600 checks per minute; four
tape drives, one Model 2311 disc file and a Model 1403
printer which has a maximum capacity of 600 lines per
minute.
A newer and faster printer which has a maximum
potential of 1,400 lines per minute will replace the cur
rent one in April and three additional disc drives are
to be added to the configuration in May. Because of
anticipated potential use of the computer at Bankers
Trust Company, it is intended that the Model 30 central
processing unit will be phased out later in 1967 to be
replaced by the faster and more flexible Model 40.
Bankers Trust Company has been increasing its use
of the computer continually since April of 1963 when the
bank first began sharing time with a local insurance
company. Initial use of the computer was limited to up
dating and maintaining demand deposit accounts. Serv
ice charges and full account analysis have been natural
by-products after conversion of demand deposit account
and proof-transit operations to the computer. Currently
the computer is used, to provide a full deposit proof and
transit operation, savings accounts, time certificates, and
installment loan updating. The Trust Department rec
ords are all maintained on the computer as well as all
stock transfer w ork handled by the bank. All expense
allocations required by the bank’s functional cost analy
sis program are handled on the computer and the bank’s
payroll is processed. General ledger accruals have also
been automated.
W hile Bankers Trust Company was operating on its
IBM 1401 equipment, the system was oriented primarily
to the use of magnetic tape for the storage of its media.
W ith the advent of the “360” equipment the bank has
made the decision to use disc files primarily for storage,
in order to accommodate direct access inquiry devices
which are presently on order. All programs currently
operating in “ compatibility” (original 1401 programs)
are in the process of being rewritten in order to obtain
the speed and flexibility offered by the new hardware.
Paramount at the present time is the implementation
of the new IBM multi-bank demand deposit package, to
be utilized by both Bankers Trust Company and its cor
respondent banks. The bank’s staff is currently convert
ing its investment portfolio to the computer and will
soon commence looking at programs involving automa-

Northwestern
Banker, May, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

tion of the commercial and mortgage loan departments,
safekeeping, improved cost accounting and general
ledger bookkeeping.
Future use of the computer is being treated in two
phases by Bankers Trust Company. These include de
signing and implementing a “ Management Information
System” for the bank and developing package programs
which will supplement the marketing effort of the bank
through sale of electronic data processing services to \
bank customers.
It is apparent that the transfiguration of the computer
from a high speed, sophisticated bookkeeping and ac
counting machine to a tool which can and must serve as
the basis for a management information system is upon t
us. The manner in which this problem is treated now
may very well have long lasting and serious effects upon
the competitive position of our respective institutions
for some time to come.
Profit planning in the banking industry in recent
years has contended with continued increases in current
operating costs as they relate to current operating in
come, due in part to the strong advent of time money.
k
Consequently, banks have searched for additional ways
to augment income and the computer serves as an ex
cellent tool for this purpose, if managed properly. The
ability to offer more and diversified services in trying to
attract new customers and retain old ones will certainly
be important. Decisions involving how remote from
banking itself a bank should stray in developing soft
wares for customers will have to be made. Sound cost
analysis must be implemented if profits are to be assured
in this area.
L. M. TESDELL, JR.
Data Processing Officer

Central National Bank & Trust Company
Des Moines, Iowa

E HAVE two IBM systems operating at the present
time, the first being an IBM 360 computer with
large core memory, magnetic disks, magnetic tapes, 1,100
line-per-minute printer, 1,600 document-per-minute check
reader/sorter, paper tape and punched card input de
vices. The second system is an IBM 1460 computer with
magnetic disks, magnetic tapes, 1,100 line-per-minute
printer and punched card input device. W e have on or
der an IBM 360 computer with 131,000 characters of core
memory, magnetic disks, magnetic tapes, 1,100 line-perminute printer, punched card input device and teleproc
essing terminals for teller access.
W e are currently using the systems for our own tran
sit department, demand deposit accounting, savings,
trust accounting, farm department accounting, payroll
and safekeeping. In the planning stage is the installa
tion of the installment loan department on equipment.
W e are also handling for other banks demand-deposit
accounting, savings and payroll, and also planned for the
future will be farm accounting and installment loans for
outside banks. W e also offer to our customers payroll
accounting, sales analysis, cost accounting and account
reconciliation. W e also plan future services of billing,
accounts receivable and inventories.
Computers have been a necessary factor in handling
the great volume of banking transactions and manage
ment reporting requirements. It would be impossible
to hire enough people for manual handling and report
ing. The time and cost involved would make fully man
ual operation unfeasible.
One of the most interesting parts of computer w ork is
associated with the checking account posting that is
done for many banks throughout Iowa. The banks

punch all check and deposit figures into paper tape and
the information is transmitted to our bank each after
noon over telephone lines. It is received in the bank
on a machine which punches an identical paper tape to
be used as information input to our computers. The
Central National Bank has been a pioneer in this data
transmission technique. This manner of accounting per
mits us to process items affecting bank accounts in other
banks without the actual exchange of checks.
IVER A. ANDERSON
Cashier

and
RALPH J. MRAK
Assistant Vice President

First American National Bank
Duluth, Minnesota

U T O M A T IO N is continuously making progress
changes at our bank. The most recent change was
the establishment of the Electronic Services Division for
the purpose of refining all internal programs, to get
management information, and to market computer serv
ices with special emphasis towards correspondent banks,
and other financial institutions.
In refining the internal accounting function, manage
ment now is knowledgeable on float, availability of
funds, and the profit and loss picture on all demand de
posit accounts. Further, the proof-transit operation is
fully automated to take care of deposit analysis, ex
change and all service charge calculations.
Another growing feature of the Electronic Services
Division -is the aid we give our correspondent banks and
other financial institutions in account numbering, and
in the conversion steps towards automating their routine
accounting functions, primarily demand and time deposit
accounting, and savings certificate accounting.
The internal accounting function which this bank has
fully automated now includes:
Demand Deposit Accounting
Proof-Transit
Installment Loans and Mortgage Loans
Savings Certificates
Christmas Club
Investment Portfolio
Bank Payroll, and
Common Trust Funds “A ” and “ B ”

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Federal Reserve Bank of St. Louis

In June or July of this year, all of the savings ac
counts will be automated to a “ Statement Savings” type
plan, which will result in giving the bank customers a
more complete service, and will also provide manage
ment with additional information of great value for
business development purposes.
At the present time, 20 banks within 200 miles of Du
luth are enjoying the advantages o f processing their de
mand deposits and savings certificates (some have both)
on our computer.
In addition, some 15 of our major commercial account
customers are on the computer for the drudgery tasks of
account reconciliation, and company payroll accounting.
W e also have a fair number of correspondent banks
who request these services for their own customers.
It is frightening to think where we would be had we
not accepted the computer in 1963. At that date we had
232 employees, today we have 192. At that date we
were an $88 million bank. Today we are at $107 million.
Under the old conventional system it is not difficult to
imagine the frightening aspect of additional equipment,
personnel, and space area requirements. W e are indeed
grateful for automation.
WILLIAM R. CHAPMAN
President

Midland National Bank
Minneapolis, Minnesota

E ARE using an IBM 1440 system and have just
up-graded the system to include higher capacity
and faster accessories.
The following applications are available to banks or
business firms: Demand Deposit Accounting, Transit
Processing, Savings Accounts Accounting, Mortgage
Loan Accounting, Certificate of Deposit Accounting, A c
count Reconciliation Plan and Payroll Check Service.
Our transit automation was particularly advantageous
because the volume of non-par items has almost doubled
in the past year. The automation, therefore, has not
only been profitable but it has helped materially with
faster service and prevented the necessity for going out
and hiring more people in an already stringent labor
market. W e are positive that the equipment is not only
saving us time and money, but that it complements our
Full Service Bank concept, giving faster and more ac-

No rthwestern Banker, M ay, 1967

(* • * )

V iJ

DATA
PROCESSING
IN BANKS

curate service for ourselves and oth
ers. W e expect to constantly up-date
and expand the programs and the
machinery to the point where we will
undoubtedly require an IBM 360.
W e will soon be putting our Instant
Money or Check-Loan program on
the computer as well as other install
ment loan operations. W e are re
searching departmental cost account
ing and several other programs for
ultimate computerization.
RUSSELL K. SMITH
Cashier

1st National Bank & Trust Co.
Helena, Montana

HIS bank does not own any data
processing equipment, outside of
our IBM 1201 proof machines and an
IBM 1203 coder. Our deposit accounts
are being serviced by the Helena re
gional data center, along with seven
other affiliates of First Bank Stock,
with a 1204 computer. Our install
ment loan department, payroll and cer
tificate of deposit functions are being
processed by the First Computer Cor
poration in Minneapolis. Our conver
sion to automation has to date not
saved us any time or money, but we
would hope that in the long run it
will.

3. W e are now offering, in addition
to our other customer services,
mortgage loan accounting for
banks and m o r tg a g e brokers.
Perhaps I should advise that our
regular customer services are de
mand deposits, savings, time cer
tificates, installment loans and
payrolls. W e are now in the
process of developing proof-tran
sit programs for correspondent
banks, which should be available
by mid-summer.
For our own internal use we are
at the present time using our
computer for demand deposits,
savings, time certificates, install
ment lo a n s , m o r t g a g e loans,
trust, payroll, cost accounting
and expense accounting, bank
safekeeping, and several other
minor accounting practices.
Our fee income from computer serv
ices is beginning to provide a signifi
cant contribution to the gross income
of the bank as we have projected over
half a million from computer services
for 1967.

The computer has made it feasible
for us to develop a more sophisticated
cost accounting program during the
first few years which, as time goes
by, will enable us to better answer
questions such as how the equip
ment has saved us time and money
as in relation to the general profit
picture. Unfortunately, our previous
accounting practices were not ade
quate to enable us to answer very
specifically what we have saved since
we entered the computer field. W e
can say that since installing our first
computer in 1961 we have been able
to move forward rapidly in computer
service to banks and commercial ac
counts and to convert most o f our in
HOWARD M. JOHNSON
ternal accounting jobs to the com
Senior Vice President
The Omaha National Bank
puter, and through this transition
Omaha, Nebraska
have maintained a steady and increas
ing over-all profit picture for the
E ARE very pleased to be able bank. In other words, we have been
to report several significant steps
able to absorb the high cost of pro
in our program:
gramming and machine rental within
1. At the first of the year we in the framework of our established
stalled an IBM 360, Model 30, earnings relationships.
computer which enables us to de
You asked for suggestions other
velop more sophisticated account banks may wish to follow. It is dif
ing and reporting programs, pro ficult to make any suggestion that
vides additional speed and capac has not been hashed and rehashed
ity, and provides us with disc
many times in speeches and magazine
storage for the first time.
articles throughout the country, but
2. At the first of the year we from our experience I can re-empha
opened our second computer cen size that entering the computer field,
ter, this one being at Scottsbluff,
either internally or externally or
Neb., and serving the western
both, is a major commitment of the
part of Nebraska and eastern
bank and must be treated according
W yom ing primarily in a radius
ly, starting with the directors and
of 100 miles in all directions
managing officers and filtering all
from the center.
through the organization.

Northwestern Banker, M ay, 1967

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

It will be very difficult to obtain A.
an immediate payoff from the com
puter in spite of the rosy proposals
made by all hardware salesmen. It
should be considered as a long range
program with the payoff arriving in
five to 10 years. Probably the one
phase that is most important, and in
the early years was treated with the
least importance, is the human or
ganization a computer department
needs more than good machinery and
technicians. At least as important, if
not more important, is knowledge- >
able and well-motivated managers
and supervisors to establish proper
procedures, p e r f o r m a n c e measure
ment, and the ability to obtain and
maintain proper staff, as this new
field offers those of us with tradition
al banking experience little or none
of the previous guidelines to follow.
DON J. MURPHY
President

South Omaha Stockyards National Bank
Omaha, Nebraska

UR bank is well down the auto
mation road. Demand deposit
accounts, savings accounts and certifi
cates of deposit are all being proc- 4
essed by computer. Installment loans
will likely be next, although that is
probably nearly a year away.
W e do not have a computer on our ^
premises. Our w ork is being proc
essed by the United States National
Bank, Omaha. Like most banks not
having their own computers, the
items are taken to that bank’s com
puter center for processing and re
turned to our bank early the follow
ing morning before business hours.

W e feel that a saving is being made
by having our w ork done on com
puter. However, more important, it
has eliminated a group of people and
consequently reduced our personnel
problems. W e will be able to handle
an increase in future business volume
with a relative small increase in cost.
Space is also a factor in most banks.
W e are currently in a remodeling
project and would be having to take
on additional area if we were still
doing our own work. This, of course,
is a saving to us. From a long range
standpoint, I have no doubt that we
will realize a substantial saving from
automation and consequently improve
our profit picture.
Suggestions in c o n n e c t io n with
automation:
1. Plan ahead four to six months so
that all necessary pre-automation
r e q u ir e m e n t s can be accom
plished and assimilated. Also
provide ample time for training.

W hen your important customers
ask for the world...

Give it to them.
Ju st call in the oldest, most
experienced international banking
department in the Midwest.
W hen you work with The First, you don’t
plunge into the international scene w ithout
a guide. You start with a banker whose
fu ll-tim e job is working with bankers from
your part of the country. He speaks
your language right from the start. A nd
with an international problem, he calls
in the international experts to get you a
prom pt, effective international solution.
He’s got plenty of experts to call in:
The First’s big international banking

department in Chicago. The full-service
branches in London and Frankfurt. The
representative office in Tokyo. The First
Chicago International Banking Corporation
in New York. And then, over 500
foreign correspondents.
The First stands ready to work with you
in many ways. Others include:
Investment management and other
trust services; bond and money desk
service; agricultural loans; overline
support on larger loans.
W hen you’d like to talk with a banker
who talks your language, and a bank to
help you with all manner of problems—
phone Area Code 312 FR 2-6800.

The First National Bank of Chicago
C h icag o • Lond on

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

Frankfurt • T okyo

Northwestern Banker, M ay, 1967

VW J

4.
5.

DATA
PROCESSING
IN BANKS

In other words—avoid crash pro
grams.
Assign responsibility for automa
tion to one person and have him
report back periodically.
Keep all officers and employees
fully in fo r m e d of anticipated
ch a n g e s .
W h e n changes are
made be sure the contact people
have the necessary knowledge to
properly handle c u s t o m e r in
quiries and complaints.
Automate one department at a
time.
Don’t worry too much about cus
tomer reaction. Change isn’t re
sisted as much as bankers think
it is. As long as the customer
gets service that he feels is as
good or better than before it will
be accepted.
MORGAN B. ILER
Vice President and Cashier

The United States National Bank
Omaha, Nebraska

T THE present time, our princi
ple equipment is a General Elec
tric 415 eight tape system. It is
planned that the tapes will be re
placed by discs later this year. Addi
tionally, we have retained our basic
GE 225.
As for future equipment, we an
ticipate expansion of our activities
and related equipment but the spe
cific hardware which will be used is
not yet clearly defined. As an affili
ate of the Northwest Bancorporation
group, we expect to have the opportu
nity of participating in some fairly so
phisticated hardware systems within
the next five years or so.
W e have a reasonably full range of
services which we are providing to
banks and commercial businesses —
some of these t h r o u g h c u s t o m e r
banks. Included are the following:
Bank Services: Demand Deposit A c
counting, Savings, Certificate of De
posits, Club Accounts, Payroll, Install
ment Loans, Real Estate Mortgage
Loans and Account Reconciliation.
Commercial Services: Accounts Re
ceivable, M e d ic a l Billing Service,
Rent Collection, Payroll, Mortgage
Loan Accounting, Account Reconcili
ation, Payroll Cost Distribution and
Check Printing (MICR) Analysis.
The use of computers by our bank
has been invaluable. It has permitted
us to provide service which we could
not have hoped to do in any other
way. It has also placed us in a com

Northwestern
Banker, May, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

petitive position which any bank of
our size must maintain if it is to sur
vive. Our equipment has unquestion
ably saved us time and eased many
operating problems in areas that we
formerly had difficulties. However,
it may be that we have simply
changed the areas where w e have
problems because running a data
processing center tends to be a very
complex and often frustrating experi
ence.
It would be difficult to say that
data processing equipment at this
point has contributed significantly to
the current profit picture of our bank.
Equipment of this nature and its op
eration is costly. There is no ques
tion, however, that such operations
are essential to the future growth of
our bank and we do foresee a period
ahead when data processing revenues
(profits) will be a major factor in
the health and prosperity of the
bank.
SI ROGERS
Assistant Vice President

The First National Bank
Saint Paul, Minnesota

ITH two computers in service
and another on order The First
National Bank of Saint Paul is well
along in its program of automation
of bank functions. The two comput
ers presently being used are a NCR
304 magnetic tape model and an IBM
1401 card computer. The machine on
order, which will bring the bank into
the third generation of equipment, is
a Burroughs 5500.
This third gen
eration of com pu
ter equipment will
p ro v id e p ro ce ss
and economic ad
v a n t a g e s in two
n e c e s s a r y areas.
F ir s t, th e t h ir d
g e n e r a tio n
of
equipment expands
th e c a p a c it y o f
programs that can be put into the
system. Second, it will provide for
the volume of increases which have
taken place in recent years and are
planned for in the future.
To date The First National of Saint
Paul has automated the functions of
the following areas: Mortgage Loan;
Installment Loan, Commercial Loan;
Savings Deposit; Savings Certificate;
Demand Deposit; and Transit. Other
areas of the bank are under study and
the move into third generation equip
ment promises to offer even wider ex
pansion of the automation program.
The bank offers a variety of com
puter services to other banks includ
ing demand deposit, savings and sav
ings certificate accounting programs.

Also, the bank offers programs for
payrolls, accounts receivable, and ac
count reconcilement to corporations.
DUDLEY J. McGRATH
Cashier

First National Bank
Sioux City, Iowa

UR system is an IBM 1440/1412
Data Processing System.
We
have “beefed-up” the original equipment considerably, increasing core
storage from 8,000 to 12,000 positions,
adding a third disk drive and replac
ing the 1443 (240 line per minute)
printer with a 1403 Model 3 (1,100 line
per minute) printer. W e have also
added a separate 1444 card punch.
These changes and additions in com
puter hardware have increased its
productivity by over 30 per cent.
W ith the exception of possibly add
ing a fourth disk drive sometime in
the future, our next step would be
into the “ third generation” family of
computers.
The present applications within our
bank which we are processing on the
computer are: Demand Deposit A c
counting, Account Analysis, Savings
Accounting, Christmas and Vacation
Club, Stock Transfer, Dividend Dis
bursing, Transit Cash Letters, Payroll, Audit Vertification and Furni
ture and Fixtures.
Services on our computer which we
offer to our customers at present are:
Demand Deposit Accounting for Cor
respondent Banks, 1099 Preparation
— Correspondent Banks, Payroll, In
ventory Analysis, Sales Analysis, A c
counts Payable, Insurance Agency
Accounting, Packers Carcass Evalua
tion, Mailing Lists, A m o r t iz a t io n
Schedules and Personnel Job Cost
Allocation.
W e currently have under develop
ment Accounts Receivable Account
ing, Inventory Control, and College
Student Registration and Grade Re
porting, which we hope to have avail
able to offer to our customers in the
near future.
For the past tw o years, we have
also cooperated with a local television
and radio station in furnishing to
them election returns by precinct.
W e have made no attempt at fore
casting results, however. W e are
now cooperating with one o f the local
high schools in planning “ a computer
dance.” Information concerning each
male and female participant along
with certain qualifications which they
would desire in their date will be
fed into the computer and the com
puter will make the selection of the
pairings.
The move to automation has great
ly reduced the time which was pre
viously expended on our internal de
tail functions. In addition, the avail-

«
45

You wouldn’t
call the man from
Manufacturers Hanover
a “drummer.”

Why call
his work
"correspondent
banking”?

“ Correspondent banking” was all
right back in the days when traveling
bankers were called “ drummers.”
And traveling involved wooden
wheels and a bag of oats.
But today? With supersonic jets
and 340 h.p. under the hood?
At Manufacturers Hanover, we
think the term “ correspondent bank
ing” is as dated as whip sockets. These
tired, old words don’t half describe
the dynamic interaction that goes on
daily between a customer bank and
ourselves. A nd “ corresp on d en t
banker” is a pretty stale way of saying
what our National Division men are:

Professional interbank specialists
whose job is to match your bank’s
goals with the banking, trust and
international services performed at
one of the world’s great banks.
And to get the job done, our men
travel more miles in one hour than
the bygone drummers covered in a
month’s trip.
Of course, you may still prefer to
call it “ correspondent banking.” And
you may still call our men “ drum
mers.” That’s up to you. The im
portant thing is:
Call us.
You can dial direct.
. . . it’s good to have a great bank behind you

MANUFACTURERS HANOVER TRUST
Member Federal Deposit Insurance Corporation

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

Northwestern Banker, M ay, Ì967

fâ )
ViJ

DATA
PROCESSING
IN BANKS

ability of management information,
the contents and frequency of which
were simply a physical impossibility
on our previous manual system, have
an immeasurable value.
W e installed our computer in Janu
ary, 1965. A comparison of number
of officers and employees on the pay
roll show an increase of only four
between December 31, 1964, and De
cember 31, 1966. Two of these were
additions in our Trust Department.
During the same period our bank
grew in size nearly $8% million.
In 1966 gross revenue received
from outside data processing services
amounted to .54 per cent of total
gross earnings of the bank. In 1967
the dollar amount of that figure will
more than triple.
E. C. THOMPSON, JR.
President

Security National Bank
Sioux City, Iowa

E HAVE had an IBM 1440 com
puter since November, 1965, and
expect to take delivery of a 360 short-

ly after the middle of the year. We
are doing our own demand deposit ac
count, savings and personal loan ac
counting, but are not scheduling any
other application for ourselves until
1968.
W e are doing payroll work for
quite a number of Sioux City firms,
account reconciliation, and demand
deposit accounting for several corre
spondent banks. W e have a number
of other banks scheduled for com
puter work later this year.
W e found that the installation and
conversion were costly, but all of our
people have been convinced that this
was the proper route. W e find we
are able to handle the increased vol
ume of business with little or no
change in personnel. Our experience
has been excellent and we would
attribute this to the quality of per
sonnel, not only in the computer de
partment, but throughout the bank.
L. H. OLSON
Vice President

The Toy National Bank
Sioux City, Iowa

HE Toy National Bank has con
tracted with the W estern Iowa
Automated Services, Inc., to do all of
their data processing. Western Iowa
Automated Services is a new corpo
ration organized by the Toy National
Bank in conjunction with other banks

to process demand deposits and vari
ous other banking services applicable
to data processing. Western Iowa is
presently using an IBM 1240 bank
data processing system with 8K and
two disk drives plus IBM 1260 proof
inscribers. Based on the growing
needs for computer service, we an
ticipate the installation of the IBM
360 series in the not too distant fu
ture. W e feel this new system is
necessary because of the ever increas
ing need for improved high speed
equipment.
The equipment is located within
our main banking facility where we
have been able to utilize space made
available with the reduction of the
bookkeeping and transit departments.
In addition to our own demand de
posit accounting and transit opera
tion we have been processing demand
deposit accounting for four other
banks since last summer. W e are
now in a position to make available
to a limited number of neighboring
banks our demand deposit accounting
service. Although w e are authorized
only direct tranmission of items at
this time, t e l e p h o n i c transmission
would not necessarily be restricted by
us.
The success of data processing, we
have found, is in the formulation of
a good foundation and advanced plan
ning and work. The time spent in
laying out the proper blueprint be
fore the actual operation is begun will
more than offset any time that ap
pears to be saved by an early instal
lation.

JOHN PECKHAM
Assistant Vice President

TRUST

COUNCIL

CREDIT INSURANCE
TO SUIT YOUR
LOAN OPERATION
W e s te rn -S o u th e rn Life p rovid e s a
w ide range o f in d iv id u a l and g ro u p
c r e d it in s u r a n c e c o v e ra g e p la n s
s p e c ific a lly d esig n ed to m eet the
n e e d s o f lo a n d e p a r tm e n ts a n d
c re d ito r c o rp o ra tio n s re g a rd le ss of
th e size o r m ode o f loan o p e ra tio n .
B road coverage, lib e ra l age, te rm
and a m o u n t lim its w ith a ttra ctive
c o m m is s io n and co n v e n ie n t re p o rtin g
s y s te m m a ke s W e s te r n - S o u th e r n
plans p ro fita b le p ro g ra m s easy to
a d m in iste r. W rite to d a y fo r co m p le te
d eta ils.
C R E D IT IN S U R A N C E
DEPARTM ENT

C O UNCIL M EM BERSHIP

A ssu res

investm ent Com petence
fo r
C O M M U N IT Y

BANK

T R U S T D EPA R TM EN TS
W RITE FOR D E T A IL S

P.0. Box 1119 • Cincinnati, Ohio 45201

WESTERN-SOUTHERN LIFE
INSURANCE COMPANY
A Mutual Company— William C. Safford, President

STUDLEY,

SHUPERT

T ru s t In v e s tm e n t C o u n cil
860 SUBURBAN STATION BLDG.

Northwestern Banker, May, 1967

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

Northwestern National Bank
Sioux Falls, South Dakota

INVESTMENT

• PHILA., PA. 19103

UR installation consists of 12K
1440 IBM system with three disk
drives and a 1412 reader sorter. Our
encoding and proof of deposits is be
ing handled by NCR 481 encoders.
Skeleton crews for the computer
were employed prior to the actual ar
rival of the computer. These men
began to w ork on programs for our
demand deposit accounting and trust
department accounting both from the
standpoint of being ready for the
computer as well as to provide prac
tical experience for them on C day.
After putting on some of the in
bank services, programs were devel
oped to handle requests coming in
from customers for such services as
fine sorting checks and account rec
onciliation, payroll accounting and
correspondent bank work.
Several interesting programs are
being researched and worked on at
the present time or are already avail
able. The most prominent program

A S S O C IA T E

"*•£;’’ *

M EMBER

VS/
AW A RD ED TO

BANK OF MALVERN
Malvern, Arkansas
IN R E C O G N IT IO N
O F D IS T IN G U IS H E D S E R V IC E
T O T H E C O M M U N IT Y A N D IN
C O M M E M O R A T IO N O F

2 8 9 BANKS...LARGE AND SMALL...HAVE
BEEN MERCANTILE CORRESPONDENTS
FOR MORE THAN 50 YEARS
( a n d a lm o s t e v e r y m o n th , e v e n m o r e “ C e n tu r y C lu b "
p la q u e s lik e th is a re a w a r d e d )

A mere half-century of correspondent relation

If you’re seeking a good bank to team up with

ship is not even very unusual here at Mercantile.

for the next century or so, give us a ring. W e’ll

In fact, 91 of our 289 “ Club” banks have been

both enjoy it— and we’ll make a date right now to

with us more than 75 years— and another six have

award your Mid-Century Plaque in 2017.

been correspondents more than a century.
W hy? Probably, because they like our unusually

Mid-Century Member— for 50 to 74 years of corre
spondent relationship

personal correspondent service— and those con

Century Club Associate Member — for 75 to 99
years of correspondent relationship

scientious, hard-working “ Men from Mercantile” .

Century Club Member— for 100 years or more of
correspondent relationship

Just as we imagine you would, too.

M E R C A N T I L E M A K E S B A N K IN G E A S I E R F O R Y O U — W H E R E V E R Y O U A R E

M E R C A N T IL E
St Louis, Missouri
T R TT S T
O M F **'Aÿ<'' N
Y
-ovt- SHIS

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

N o r th w e s te r n B a n k e r, M e r y . 1 9 6 7

rt r )
V y

DATA
PROCESSING
IN BANKS

currently in use is our feedlot ac
counting program. Designed for the
commercial feedlot operator, the pro
gram will take starting weight, start
ing cost, weekly feed and yard and
vet costs and correlate them to cur
rent cattle weights and value and
give an operator a visual check on
the gain and value of the lot in a
convenient and compact report. The
report furnished weekly gives a fast
and efficient way of checking on
gains and profit on a weekly basis,
giving the operator a real tool in mar
keting decisions.
W hile large personnel reductions
have not been apparent, it is evident
that our volume will be able to grow
before we have to add more person
nel.
Now, after one year of computer
operation, we can safely say that
automation has opened a new area
for providing additional services for
our customers. For advice to others
who have been contemplating the
move, we can only offer that the pure
dollar and cents analysis of your own
situation must be the guide. There
is no substitute for pre-planning and
with computer deliveries as they are,
this period is automatically built in
for you.
MARVIN L. MELCHERT
Assistant Vice President

Northwestern National Bank
Minneapolis, Minnesota

HE bank’s present computer sys
tem is now operating at full ca
pacity around the clock. To meet the
anticipated needs of the next five to
10 years, the bank’s planning officers
r e c o m m e n d e d the purchase o f a
“third generation” computer system
to supplement this equipment. The
additional equipment will provide one
of the most powerful business com
puter systems available. W hen it is
installed this spring, it will permit
Northwestern National to use data
communication techniques, p u t t in g
the bank into an on-line environment
with its offices and correspondent
banks, and permitting instantaneous
transmission of information. It will
be capable of accepting multiple pro
gramming and processing of various
kinds of information simultaneously.
W e are already rapidly extending
EDP services to country banks. Cor
respondents within a 100-mile radius
of the bank are using Northwestern’s

No rthwestern Banker, May, 1967

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

present computer for their demand
deposit accounting, savings and sav
ings certificates. A continuing de
mand for these and other services
adaptable to expanded computer oper
ations is anticipated.
In 1959 when the first technical po
sition was established to implement
a computer program, there were 1,409
people working at the bank. As of
November, 1966, there w ere 1,401 peo
ple, including approximately 100 in
computer oriented positions. In this
same period, item count on checks
and drafts went from 70 million to
93 million; savings account openings
increased by nearly one-half; individ
ual and special checking account
openings went up by one-third; and
activity in all loans and other bank
t r a n s a c t io n s s h o w e d marked in
creases.
DON L. WENTHE
Vice President and Cashier

The National Bank of Waterloo
Waterloo, Iowa

UR IBM 360/30 only arrived Oc
tober 28 and we began convert
ing December 1, 1966, and by now we
are smoothly in operation with our
proof of deposit, transit and demand
deposit accounting.
W e installed a 360/30, 65K system
with a 1419 sorter. W e are on ran
dom access through the use o f three
disc drives, and we make up full
statements tw o up on our printer.
W e are continuing to program other
departments of the bank and we are
also contacting other banks and busi
nesses to provide services for them.
As to whether we are making any
money or saving any time, we feel
it is much too early to do any cost
accounting. However, from appear
ances of the demand, it seems that
our machines will be running full
time and w e’re planning to get into
the black before another year ends.

P. JAMES VanDINE
Vice President

Merchants National Bank
Cedar Rapids, Iowa

AST fall we installed an IBM 360,
the first one in the state of Iowa.
Previously, we were the first bank in
the upper midwest to install EDP
equipment and MICR related equip
ment. An even larger computer, a
Model 40, will join the present Model
30 in the near future.
Our data processing service is in
operation 24 hours a day. A staff of
33 people operate our computer cen
ter, which handles all the work for
the bank, as well as outside work for
40-plus major data processing custom
ers. In addition to our own work

and work for business accounts, we
handle part or all of the EDP needs
for eight banks in this area. More
are being added.
W hen full service is utilized by
these banks, they can eliminate proof
ing and posting machines — every
thing except an encoder which gives
a transaction proof.

Y
f

X
F. PHILLIPS GILTNER
Executive Vice President

The First National Bank
Omaha, Nebraska

T THE present time, we are
awaiting delivery of a second
NCR 315 computer. The addition of
this system will give the bank com
plete on premises backup for all of
its processing needs.
We have completed the automation
of demand deposits, installment loans,
mortgage loans, transit, First Charge,
check reconciliation, payroll, auditing,
cash items, teller proving, and floor
planning systems. All of these serv
ices are available to correspondent
banks and local businesses.
A complete system of bank cost ac
counting is under consideration along
with the automation of all of the trust
department accounting activities.
In addition to the above banking
applications, processing of other appli
cations not related to banking is be
com ing a daily routine.
The use of the computer has been
healthy for the bank and has con
tributed to the bank’s overall profit
picture. The availability of quick
accurate reporting and development
of pertinent data in almost every
phase of banking has enabled our
management to make more profitable
decisions on a day to day basis.

HAROLD L. GANDY
Assistant Vice President

Iowa-Des Moines National Bank
Des Moines, Iowa

N JANUARY of this year, the IowaDes Moines received its first third
generation computer, an IBM 360/
Model 40 with 65K. W e have another
360/Model 40 on order for delivery in
the third quarter of this year.
This equipment will replace our
G.E. 225’s.
W e plan to use this new equipment
to implement our central file and in
developing a management informa
tion system for our bank.
W e have automated the following
bank applications: Proof-transit, de
mand deposit accounting, savings ac
counting, certificates o f deposit ac
counting, real estate loans, install
ment loans and trust.
The above applications are avail
able to all of our correspondent banks.

49
M e m b e r F ed e ra l D e p o s it In s u ra n c e C o rp o ra tio n © B a n ke rs T ru s t C o m p a n y , 1 9 6 7 .

One good bank
deserves another.
Hundreds o f out-of-tow n banks trust
Bankers Trust to handle their dealings in the
New York money market.
Our special skills in handlingmoney are ex
actly what we’d expect a good bank to expect.
Take our Security Services. They include
every banking facility you’d want. (We’ll even
maintain a special post office box for you, so
your dividend money doesn’t float around.)
And when we perform a Custodian Serv
ice we don’t just keep securities locked up in
our vaults. We do all the coupon clipping
and paper work besides.
Not only is Bankers Trust a primary dealer
in U .S. Government and Agency securities,
as well as in the obligations of states and
municipalities, but our people know pretty
much all there is to know about all types of
investments. When they work for our corre
spondent banks they work as hard as they
do for us. Which means that what we know,
you know.
So if you’re a bank looking for additional
facilities on Wall Street, why not look into
Bankers Trust?
It may well be that we deserve one another.

You’ll fin d a b a n k e r a t B a n k e r s T ru st.

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

Northwestern Banker, M ay, 1967

X
1T )
W

DATA
PROCESSING
IN BANKS

server it was rather clear that petty
and personal subjective factors often
obscured the basic soundness and vir
tues of joint or cooperative arrange
ments for service centers.
It seems logical to assume that
prior to “ D” Day some of the larger
city bank correspondents will be more
than willing to offer their fine and
efficient collection services and facili
ties to small banks which have items
which the regional FRB will not ac
cept as cash items.
It is also logical to consider such
correspondent facilities as expedient
stop-gaps which provide a needed
“ breather” to permit the smaller nonconform ing banks to adapt to today’s
electronic technology. “ D” Day will
serve as a distinct period in which
both city and country correspondents
should take a good clear look at the
costs and benefits of their relation
ships. Undoubtedly, in some mar
ginal cases correspondent balances
will have to be increased.
The non-machinable items are thus
to be relegated to a second class stat
us akin to non-par items. The com
bination of non-par or non-machinable
drafts and checks seems likely to
stimulate renewed pressure for legis
lation both at the state and national
level to restrict or financially penal
ize their continuance. (Minnesota has
just passed legislation phasing out
“non-par” items by 1968.)
One of the fascinating aspects of
the September 1, 1967, adoption of
“ machinability” of checks is that stu
dents of systems of money settlement
have in their sights even more sig
nificant evolutionary, and perhaps
even revolutionary, ways for transfer
of funds.

i e n

. . .

(Continued from page 35)

The 100 per cent Checkless-Cashless
Society undoubtedly is not going to
come about overnight in the United
States, but parts of a total giro sys
tem are in operation today.
Funds are being remitted between
major money market centers via the
use of computers tied to long distance
telephone lines. Funds are being
credited to hundreds, even thousands
of accounts by the use of “ one” check
payroll payments. Customer accounts
are being debited by banks at the
automatic request and pre-authoriza
tion of the customers for such routine
periodic payments as utility bills,
such as gas, electric, water, garbage
collection, insurance and mortgage
payments. Overdrafts are automati
cally and legally being converted into
consumer loans. The press has been
critical of the “ shotgun” approach of
some banks in issuing multiple credit
cards to some individuals on an un
solicited basis. Yet, actual internal
controls of those institutions are more
than adequate to prevent such aggres
sive marketing to jeopardize the in
stitution.
P la n s f o r pre-authorized “ over
draft” loan arrangements and credit
card facilities have again attracted
more than considerable interest on
the part of the public. Almost all of
the plans are variations or modifica
tions of giro systems which bypass
issuance and extensive use of checks.
A New Dimension
A few years ago it was quite com
mon to hear some banking authorities
learnedly discuss the inevitability of
branching out only in cities and met
ropolitan areas, but also across state

lines. It now appears that a new
dimension in banking structure is ap
pearing. That is, use of computers
linked by telephone hookup to banks
either branch, or correspondent re
lated.
Already some of these systems are
resulting in a city correspondent in
one state providing needed and w orth
while banking services for customers
of country banks in other states. The
city correspondent is reimbursed for
his service, the country banker has a
profitable relationship, and the customer of the country bank is pro
vided with highly skilled services
which heretofore were unavailable.
As a result, in some non-branching
states, more than one large city bank
is now re-examining previously held
positions that continued growth and
profit would be d e p e n d e n t upon
branching. It now appears that im
aginative use of electronic data proc
essing may strengthen rather than de
stroy correspondent relationships.
Conclusions
“D” Day— September 1, 1967— will
provide another opportunity for city
correspondents to help their country
correspondents adjust to one of a
number of steps along the path to
what ultimately may be a checkless
and cashless economy.
It is also a day on which both the
city and non-member country bank
should re-examine the services pro
vided, and the earning (interbank)
balances required to sustain the serv
ices.
Both should recognize that
handwriting is on the wall. It is be
coming somewhat clearer that W ash
ington monetary policy is moving
slowly but surely in the direction of
requiring all banks, non-member as
well as member, to maintain their re
serves at their regional Federal Re
serve District Bank. This could re
sult in a new day for correspondent
relationships and the structure of
dual banking.— End.

1 2 0 1 SOUTH SI XTEENTH STREET

O M A H A 8, NEBRASKA
U n i t e d S tates
JffiCKeckBaojt Comfitiy

No rthwestern Banker, M ay, 1967

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Federal Reserve Bank of St. Louis

S o u th

O a k o t a H a n k e r s O b s e r v e i H a t n o n d • J u b ile e

HEN South Dakota bankers gath
er in Rapid City May 18 for their
75th annual convention they will be
celebrating more than just the Dia
mond Jubilee meeting of the associa
tion—they will be marking their 83rd
birthday as the oldest state bankers
association in the United States!
Organized in 1884 as the Dakota
Baankers Association when the area
was still Dakota Territory, it official
ly became the South Dakota Bankers
Association when Congress made it a
state on November 2, 1889. North Da
kota became a state at the same time
and also continued its own state bank
ers association under its own name.
The American Bankers Association
had been founded in 1875, but no state
associations were formed until the
Dakota Bankers Association organ
ized in 1884. It was an era of color
ful history.
Just 10 years earlier, Colonel George
Armstrong Custer violated the Lara
mie Treaty of 1868 (which created a
great Sioux reservation that included
all land west of the Missouri River)
by taking a military expedition into
the Black Hills. His soldiers discov
ered gold near the present-day town
of Custer and in 1875 the gold rush
was on, followed by discovery of the
Homestake Lode in 1876. The latter
developed into Homestake Mining
Company, at Lead, the biggest gold
mining operation in the country.
Colonel Custer and his 200 troops
were all killed by more than 2,500 In
dians at the Little Big Horn across
the border in Montana in 1876; Chief
Crazy Horse surrendered in the same
year, while Chief Sitting Bull escaped

Greetings
to the

SOUTH D A KO TA
BANKERS A S S O C IA T IO N
75th Diamond Jubilee
Convention

to Canada; then Sitting Bull returned
to South Dakota in 1881 and was final
ly killed in 1890.
Through these latter t u r b u le n t
years, banks came into existence in
scattered places. The first bank in
South Dakota was e s t a b lis h e d in
Yankton in 1871 and was chartered
under Dakota Territory laws Decem
ber, 1872, as First Dakota National
Bank and Trust Company, with Moses
K. Armstrong as its first president.
Depositors of the first bank, some of
whom lived 100 miles away, were
serviced to their entire satisfaction
without telephones, autos, planes, rail
roads—sometimes it took a month to
consummate a loan, and it often took
a week to take a deposit to the bank
and another week to get back home.
By 1884 there were 36 active na
tional banks in the Territory, 18 of
them in South Dakota. Numerous
private banks existed, but no records
of them were c o m p ile d . Private
banks were the backbone of financing
for years. The first bank in the Black
Hills was the First National Bank of
Lead, founded in 1879. In 1885, this
bank was reorganized and one of
South Dakota’s leading banking fam
ilies entered the picture; that of R. H.
Driscoll, whose son Robert E. and
grandson were still very active until
the death of R. E. Driscoll this past
winter. Another banking family still
in the industry is that of W. L.
Baker of Sioux Falls, treasurer of the
South Dakota Bankers Association in
1900-1901. His son, W. W. Baker, and
three grandsons are with the First
National Bank in Sioux Falls.
W hen the association was organized
in 1884, one of the bankers attending
that first meeting traveled from Yank
ton to Fargo by horseback, reporting

later that he had seen only three per
sons the entire journey, which took
a week. Association dues were $5
per member and meetings were held
once a year.
By 1890, South Dakota had bank
capital of $5,000,000 and deposits of
$6,000,000. This grew to $15,000,000
deposits by 1900 with population of
400,000. South Dakota’s deposit struc
ture on December 31, 1966, was $1,120,000,000, with a state population of
685,000 people.
The convention of 1892 had a reso
lution adopted which advocated “ the
importance of maintaining a 100 cent
dollar—a dollar that was worth to the
working man a full 100 cents the
world over.” In 1901, one speaker at
the convention stated “ The future of
South Dakota is very bright. . . . The
bankers should be careful not to en
courage inflation; that will change the
condition o f prosperity. W e are now
getting along as well as we ought to,
and we should let well enough alone.”
The year 1900 saw many banks liqquidated in the state due to bad loans
and small deposits, all caused by an
era of poor crop conditions, while ear
lier the good crops had attracted the
state’s big population growth. In the
1920’s, the number of banks increased
to well over 700; however, by 1932
there were fewer than 150 banks in
the state. Today, there are 245 na
tional and state banks and branches
in South Dakota.
In the earlier years of the South
Dakota Bankers Association, conven
tions were not held each year, conse
quently the Association itself is 83
years old but is now observing its
75th Diamond Jubilee convention this
month. The program for the conven
tion appears on page 61 in this issue.
—End.

Congratulations to the

SO UTH D A K O T A BANKERS A S S O C IA T IO N
75th D IA M O N D JUBILEE C O N V E N T IO N
Marking 75 Years of Service to South Dakota Bankers

BELVIDERE STATE BANK
Kadoka-Belvidere
South Dakota
Our 60th Year of Service

C IT IZ E N S B A N K
Vermillion, South Dakota
with branches in
Wakonda, Gayville, Tabor and Volin
Assets $12,800,000

Member Federal Deposit Insurance Corp.

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Federal Reserve Bank of St. Louis

M em bers F ederal D ep osit Insurance C orporation

Northwestern Banker, M ay, 1967

We're sending in our First te a m ...
NORTH DAKOTA BANKERS ASSOCIATION

SOUTH DAKOTA BANKERS ASSOCIATION

82nd Annual Convention

75th Annual Convention

May 11-13, Fargo

May 18-20, Rapid City

■ Our new team of correspondent specialists serving North and South D akota and
M ontana will be waiting to greet you at the two big D akota conventions. First
Banker E d K alafat wants you to meet his new partners, Dean Tollefson and B ob
Gruman. Along with them will be George Henry, head o f First’s Correspondent
Division, D ave Boies o f the Trust Departm ent, and Investm ent men, Fred Haw
and D on Bergum. Join them all in the First o f M inneapolis hospitality center
at each convention headquarters for good conversation and cheer.

Northwestern Banker, May, 7967

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Federal Reserve Bank of St. Louis

Joins Hector Bank
Bradley C. Edgar has joined the
staff of the Security State Bank of
Hector. He has been credit repre
sentative for International Harvester
Company.

M in n e s o t a

NEW S
R. J. HUBBELL
K. A . WALES

President
Secretary

Capital Increases

St. Paul
Minneapolis

P a r ttanhiny I till Siynetl into
hair tty M innesota G overnor
AST month, Minnesota Governor
Harold LeVander significantly al
tered the banking picture in Minne
sota when he signed into law the
“par” banking bill.
Nearly 400 Minnesota bankers, who
have made it a practice to deduct a
charge from the face amount of outof-town checks cleared through their
bank, now have about 19 months to
determine how best to operate under
the new system.
The problem for these bankers is a
very real one, for it has been esti
mated that they will lose about $3
million through the elimination of
these charges. They must, beginning
N o v e m b e r 1, 1968, pay the face
amount of all checks.
Most nonpar bankers are expected
to start charging their depositors a
service fee to recover the loss of rev
enue and meet the cost of handling
checking accounts. As an added buf
fer against loss of income, the legis
lature provided that state banks could
put up to 30 percent of their reserves
into interest-bearing government se
curities.
Proponents of the bill originally
had asked that the effective date be
the end of this year but agreed to
the 10-month delay as a compromise.

Completes Remodeling
The First National Bank of Lake
ville recently completed a remodeling
and enlarging of facilities and a twoday open house was held to mark the
event. The bank now has approxi
mately 1,600 square feet of main floor
capacity with an expanded area for
insurance and loans.
Carleton H itchcock is president of
the bank, S. C. Gustafson is vice presi
dent and cashier, and Dick Kehrer is
assistant cashier.

To Head Insurance Dept.
Duane R. Carlblom has joined the

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Federal Reserve Bank of St. Louis

Farmers National Bank of Waseca
and will head the bank’s insurance
department. He has been with the
Farm Bureau Insurance agency in
Windom.

President at Madison Lake
William J. Daleiden has been elect
ed president of the Peoples State
Bank of Madison Lake filling the va
cancy created by the death of Ruben
Riese. Mr. Daleiden has been vice
president for several years.
Dr. R. M. McLaughlin of Madison
Lake was added to the bank’s board
of directors.

Moves Into New Building
The Stearns County National Bank
of Albany has moved into its new
building and an open house will be
held when remaining work is com
pleted.

Bellingham Observes
Anniversary
The State Bank of Bellingham re
cently observed its 25th anniversary.
William B. Conitz is president and
Myrtle E. Witte is cashier.

Promoted at Blue Earth
L.
G. Banken has been promoted to
vice president of the Blue Earth State
Bank, according to a recent announce
ment by K. O. Sattre, president.
Mr. Banken has been with the bank
since 1956 and was elected assistant
vice president in 1964.

Added to Cloquet Staff
Eugene B. Lindberg of St.
been added to the staff of
National Bank of Cloquet.
been finance manager of the
office of Commercial Credit
tion.

Paul has
the City
He has
St. Paul
Corpora

The following increases in capital
have been announced by the Banking
Division of the Department of Com
merce:
Drovers State Bank of South St.
Paul, from $500,000 to $600,000.
Carver County State Bank of Chaska, from $30,000 to $100,000.
State Bank of Cyrus, from $25,000
to $50,000.
Blackduck State Bank, from $30,000
to $45,000.
Farmers Terminal State Bank of
Newport, from $75,000 to $150,000.
Wanda State Bank, from $120,000 to
$180,000.
W right County State Bank of Monticello, from $90,000 to $100,000.
Farmers State Bank of Lake Ben
ton, from $50,000 to $60,000.
Cosmopolitan State Bank of Still
water, from $100,000 to $250,000.
Randall State Bank from $25,000 to
$50,000.
Rochester State Bank o f Rochester,
increase of capital stock from $175,000
to $225,000 by sale of new stock.
Calumet State Bank, Calumet, in
crease of capital stock from $25,000 to
$75,000 by stock dividend.

Professional Fraternity
Member
S. J. Kryzsko, president of the W i
nona National and Savings Bank, was
recently initiated as an honorary
member of Alpha Kappa Psi, a na
tional professional business frater
nity, by Zeta Theta Chapter at St.
Mary’s College. The fraternity is the
oldest professional business frater
nity of its kind and has members
across the United States.

Retires From Duluth Bank
Harry W hittemore Gooch, vice pres
ident and personnel director of First
American National Bank, retired last
month after 25 years of service. He
had also been manager of the Duluth
Clearing House Association, a post he
had held for the past 10 years.
Claude A. Lutzka, First American
assistant vice president, has been
named to succeed Mr. Gooch as the
bank’s personnel director and as man
ager of the Duluth Clearing House
Association.
Northwestern Banker, M ay, 1967

54
À

28-MINUTE Technicolor film tell
A ing
the story of the city’s prog
ress of the past decade and its
promise for the future has been pro
duced by First National Bank of
Minneapolis as a public service.
Titled “ In Touch W ith Tom orrow ,”
the film has as its narrator Eric
Sevareid, head of CBS News in Wash
ington and a former Minneapolis
newspaper man. Underlying theme of
the film is that among America’s
m ajor cities, Minneapolis is one of
the finest for good family living, yearround recreation and for business
opportunity.
Co-sponsor of the film is the Greater
Minneapolis Chamber of Commerce,
which has had a special committee
w orking on the film with the bank
since 1965. Film ing was by Empire
Photosound, Inc., local firm which has
w on honors at the Edinburgh and
Venice film festivals.
First National will make 16mm.
prints available without charge for
programs by churches, schools, clubs
and other interested organizations.
Bookings are handled by the bank’s
advertising department. In addition,
it will be used extensively in indus
trial development and personnel re
cruitment by Minneapolis companies.
The bank has a long record of suc
cesses with documentary motion pic
tures. Its “ Minnesota: Star of the
North,” highlight of First National’s
100th anniversary in 1957, has had
12,000 showings before almost 2% mil
lion persons. Also, the bank’s 1961
and 1964 films on the Minnesota Twins
have enjoyed tremendous popularity.
All have been non-commercial, civic
promotion films.
First National’s introduction of the
film to the community covered a twoweek period. Prior to any public
showings, the bank held a press-radioTV preview, plus 14 private showings
for customers who were invited in
groups by the bank’s various divi
sions. These were late afternoon
affairs for the men, luncheons for the
ladies.
Northwestern Banker, May, 1967

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Federal Reserve Bank of St. Louis

The first public showing of “ In
Touch W ith Tom orrow ” was a gala
civic luncheon sponsored by the cham
ber of commerce. Toastmaster was
Ray Scott, sportscaster for the Minne
sota Twins and Green Bay Packers,
who regularly handles First National’s
radio assignments.
* * *
Gerald L. Bryan, state banking com
missioner from 1962 to 1964, has
joined Piper, Jaffray and Hop wood as
a registered representative. He was
form erly vice-president of the corres
pondent bank department of the Na
tional City Bank of Minneapolis. Be
fore his appointment as banking
commissioner, Mr. Bryan was vice
president and a director of the State
Bank of Anoka.
* * *
The merger between J. M. Dain &
Co., Inc. and Kalman and Company,
Inc., has been approved and was
effective April 1. The new firm is
known as Dain, Kalman & Co., Inc.,
as reported previously by N orthwest
ern

B anker .

Wheelock Whitney, chief executive
officer and chairman of the executive
committee of Dain, Kalman, an
nounced that the Kalman personnel
will m ove to expanded quarters in
the Rand Tower, where Dain, Kalman
will occupy the entire second floor
and portions of the third floor in addi
tion to the present street level space.
The present Kalman office space will
be closed in the next few months.
In St. Paul, company business will
be centralized in offices formerly
occupied by Kalman in the Endicott
Building.
Both Twin Cities quarters will
undergo extensive remodeling and ex
pansion to accommodate added per
sonnel and modern electronic equip
ment.
Paul R. Doelz, chairman of the
board, and Whitney, stated that the
objective of the new organization is
to give the Upper Midwest one of the
Nation’s strongest regional investment

banking firms. The firm holds mem
bership in the New York, American
and Midwest Stock Exchanges.
In addition to Doelz and Whitney,
officers of Dain, Kalman are: James G.
Peterson, president; B. M. Storey, Jr.,
executive vice president; J. M. Dain,
honorary chairman of the board.
B. A. Turner, president of Endicott
Corporation, a wholly-owned subsidi
ary of the new company, will continue
in that capacity and has been named
a vice president.
Dain, Kalman maintains offices in
Minneapolis, St. Paul, Southdale, Du
luth, Fargo, Great Falls, Casper, St.
Cloud, Sioux Falls, Marshall, Billings
and Minot.
* * *
Henry T. Rutledge, president of the
Northwest Bancorporation, recently
reported that in 1966 the Bancorpora
tion group again established new
highs in average loans and deposits,
gross income and net operating earn
ings which were up 12.5 per cent over
the prior year. In 1966 net operating
earnings amounted -to $24,023,821, or
$4.29 per share on 5,602,100 shares out
standing. This compares with $21,359,147, or $3.81 per share on 5,608,037
shares in 1965. Dividends in 1966
amounted to $1.85 compared with
$1.70 in 1965. The current quarterly
rate of 47% cents per share is equal
to $1.90 per annum.
Also recently reported were consoli
dated net operating earnings for the
first quarter of $5,974,096, a record
high, and up 15.6 per cent from the
$5,166,903 reported for the first three
months of 1966.
* * *
Edina State Bank has named four
directors in what its president, Clark
T. Arnott, described as an effort to
broaden the representation of busi
ness on the board.
Named were Charles Deckas, presi
dent of Charles Applicance Company;
Lester W. Gorder, Jr., vice president
of John G. Kinnard Company; Jerry
Rosbacli, owner of Honda Motor

Our partner in time. Speedisthe

ofthe

game. Midland’s D oug Johnson and John Ordos call the signals and
their clever friend is fast with the answers. W e ’ve got the winning
combination to solve banking problems: Transits, investments, credits,
operations, collections, and personal services. Midland correspondents
are only a phone call away with skill, experience, and computer-fast
service.
T H E B A N K W IT H T H E B IG W E L C O M E

Midland National Bank
ofMinneapolis |*
C a ll 3 3 2 - 0 5 1 1 4 0 1 S e c o n d A v e . S o. • M i n n e a p o l i s , M i n n . 5 5 4 4 0
M e m b e r F e d e ra l D e p o s it In s u ra n c e C o rp o ra tio n

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Federal Reserve Bank of St. Louis

Northwestern Banker, M ay, 1967

Minnesota News
month in the main banking room of
the First National Bank of St. Paul.

Sports, and Harry W. Spell, south dis
trict manager for Northern States
Power Company.
They succeed Newell Gaasedelen,
one of the incorporators of the bank
when it was founded two years ago;
Dr. R. W. Giere, another founding di
rector, and Charles M. Converse and
Robert Gile, Jr., who have been direc
tors for the past year.
Mr. Arnott also announced the pro
motion of Richard G. Boemer to cash
ier.
>k * =1=
First Bank Stock Corporation re
ports record consolidated net operat
ing earnings for the quarter ended
March 31, 1967. At $6,530,788 they
were the highest for any quarter in
the corporation’s history and repre-

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in m i d - A m e r i c a . . .
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IN LIN C O LN
THE C O R N HUSKER
IN O M A H A
INOIAN H IL L S IN N
IN O M A H A
T H E B LA C KSTO NE

Northwestern Banker, May, 1967

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Federal Reserve Bank of St. Louis

Donald Lindeman, left, and James Russell,
both computer sales representatives at The
First National of Saint Paul, survey the
cartoonist’s view of the equipment they
work with daily.

sent an increase of 14 per cent from
the $5,726,658 reported for the same
period in 1966. Earnings per share
for the period were $.92 based on
7,063,630 shares of common stock out
standing. This compares with $.81
per share earned for the first three
months of the previous year on the
same number of shares.
April 18 was election day for the
more than 3,000 members of the
Minneapolis Chapter of the American
Institute of Banking— e d u c a t io n a l
wing of the American Bankers Asso
ciation. James H.
T re a nor, assist
ant cashier of the
Midland National
Bank was elected
president and Vie
Sandvig, assist
ant
cashier
of
the Northwestern
N a tio n a l Bank,
vice president.
The new sec
J. H. T R E A N O R
ond vice presi
dent will be Robert Torvik, cashier
of the First Bloomington-Lake Na
tional Bank, and Bob Beck of the Fed
eral Reserve Bank will serve as treas
urer for the 1967-68 fiscal year.
William R. Chapman, president of
Midland National Bank of Minne
apolis, addressed the Spring Confer
ence of the W isconsin Installment
Bankers Association on April 27. The
conference was held in Milwaukee at
the Pfister Hotel. Mr. Chapman’s sub
ject was “ Must There Always Be
Changes?”
* * *
The Honey well-Emett “ Forget-MeNot Computer” that was featured in
Life magazine was displayed last

The computer, a whimsical spoof of
the serious science of automated cal
culation, was designed for Honey
w ell’s electronic data processing divi
sion by Rowland Emett, who is re
garded as England’s foremost cartoon
ist.
The four dimensional contraption is
made of bamboo, birds, door knobs,
lamp shades, playing cards and meas
uring tapes. After leaving the First
National of St. Paul, it will visit 16
cities in the United States in a six
months tour.
Also displayed last month in the
main banking room was an exhibit of
contemporary Turkish Art, on loan
from the Ben and Abby Grey Founda
tion. This exhibit in a u g u r a t e s a
planned series of displays with an in
ternational theme, which will run
throughout the year.
* * *
Carl R. Pohlad, president, Marquette
National Bank, announces the election
of William .T. Addington as corres
pondent bank officer and Philip J.
Gallivan, Jr., as commercial loan
officer.

P. J. G A L L I V A N , JR.

W . J. A D D I N G T O N

Mr. Addington, who comes from St.
Croix Falls, Wis., graduated from
Carlton College, Northfield. He joined
Marquette National Bank in Novem
ber, 1965, and was assigned to the
credit department. In October, 1966,
he was appointed a representative in
the banks and bankers department.
Mr. Gallivan graduated from Cretin
Military Academy in 1957, attended
St. Mary’s College, Winona, and grad
uated from St. Thomas College, St.
Paul, with a B.A. in accounting in
1962. He joined Marquette in June,
1963, as a credit analyst and in 1965
was appointed commercial loan repre
sentative.

Elected Director
Kenneth Vail, cashier o f the Byron
State Bank, has been named to the
bank’s board of directors, according
to D. W. Campbell, president.

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Banker,

May,

1967

Minnesota News
executive secretary, were planning to
be in Washington at this time.
Lieutenant Governor Goetz
Also making a surprise appearance
at the luncheon was James Goetz,
Lieutenant Governor of the State of
Minnesota, who spoke to the group on
the Governor’s recently announced
budget which includes several tax re
forms.
>Jc

SPEAKERS TABLE at the Installment Credit Conference. From LEFT: Edward J.
Welsch, chmn., installment credit committee of the Minnesota Bankers Association, and
v.p., First Natl., St. Paul; Robert J. Hubbell, MBA pres, and pres., Eastern Heights
State, St. Paul; Paul Gandrud, MBA v.p. and v.p., Swift County Bank, Benson; and
John T. Suedbeck, pres., First National Bank, Marshall. Mr. Suedbeck was keynote
speaker for the conference.

At Installment Credit Conference

MHscuss T e e h n iq u e s -C h a r g e C a rd s
TRULY full service bank, re
gardless of size, actively offers
installment credit to its customers.”
These were the words of John T.
Suedbeck, president of the First Na
tional Bank of Marshall, in his key
note address to the nearly 600 bankers
in attendance at the recent Install
ment Credit Conference in Minne
apolis.
The one-day Conference was spon
sored by the Installment Credit Com
mittee of the Minnesota Bankers
Association, under the leadership of
committee c h a ir m a n
Edward J.
W elsch, vice president of the First
National Bank of St. Paul.
The Conference followed a different
format this year, and reception to the
new approach was very good. Nearly
the complete program was given over

to Discussion Seminars on six different
topics of interest and importance to
installment lending officers.
Each of the Seminars were run
simultaneously for 45-minute periods.
Between these 45 minute sessions
there was a short break allowing
bankers to make their way to another
Seminar. In this way, Conference
delegates were given the opportunity
to attend five of the six sessions.
Speakers appearing before the Con
ference in addition to Mr. Suedbeck,
included Richard E. Kelley, vice presi
dent of the First National Bank, Chi
cago, and Robert J. Hubbell, MBA
president and president of the East
ern Heights State Bank of St. Paul.
Mr. Hubbell’s appearance was not ex
pected as he and Ken Wales, MBA

CONFERENCE DIGNITARIES. At LEFT,
(left), MBA v.p., and Robert Hubbell (right),
shown with James Goetz, Lieutenant Governor
Minnesota. Mr. Goetz was a surprise guest for
No rthwestern Banker, M ay, 7967

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Federal Reserve Bank of St. Louis

Paul Gandrud
MBA pres., are
of the State of
luncheon during

5f:

Mr. Suedbeck, in his address to the
Conference delegates, pointed out that
today nearly every bank is active to
some degress in installment credit.
“ And so it should be,” he said.
The basic function of banking is
that of extending credit, and unless
the bank is offering installment credit
as well as other types, it is not a
truly “full service” bank, according
to Mr. Suedbeck.
He emphasized while discussing
some of the pure mechanics of in
stallment lending the importance of
instilling confidence and apprecia
tion in every lending situation.
Mr. Suedbeck also warned against
the use of the installment credit de
partment as a training ground for
junior officers. The department is im
portant enough to the bank, both in
terms of immediate profit and profit
from other bank services, that it
should be elevated on a plane with
other bank departments.
The successful installment credit
officer is a mature men well versed in
the banking, lending and the art of
dealing with people. “ It is people, not
collateral, who repay loans,” he said.
* * *
MBA president Robert Hubbell ap
peared before the Conference briefly
to discuss current legislation of inter
est to banking. He presented quite a
complete report of a new bill (Senate
File 1529) recently introduced alter-

the conference. RIGHT: Richard E. Kelley, v.p., First Natl.,
Chicago, and Truman L. Jeffers, assistant secretary and pub
licity director of the Minnesota Bankers Association. Mr.
Kelley was the luncheon speaker.

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M E M B E R FED E R A L D E P O S IT IN S U R A N C E C O R P O R A T IO N

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Federal Reserve Bank of St. Louis

Northwestern Banker, M ay , 1967

Minnesota News

ing the services which a savings and
loan association can offer.
He noted that the bill will give
S & L ’s the right to act as fiscal agent
for federal tax and loan accounts, to
start a trust department, offer payroll
savings plans, make home im prove
ment loans and other items which
will, in essence, give them the right
to do anything a bank does with the
exception of offeriyig checking ac
count service.
Mr. Hubbell urged bankers to con
tact their legislator and voice their
opposition to this bill giving S&L’s
these broad sweeping powers.
Paul Gandrud, MBA vice president

and vice president of the Swift County
Bank, Benson, reviewed up-coming
Association activities. He pointed out
that the annual convention of the
Minnesota Bankers Association is
scheduled for June 12-14 at the St.
Paul Hilton Hotel.
* * *
As the main speaker of the day,
Richard E. Kelley, vice president of
the First National Bank of Chicago,
presented a most complete picture of
the current situation on bank credit
cards. He reviewed the growth of
credit cards in the Chicago market
and in states surrounding Chicago.
He then spent considerable time at-

Congrat ul at i ons and Best Wi s he s
to all

South Dakota Bankers
on their
75th A N N U A L

CONVENTION

tempting to apply this information
to the situation facing bankers in
Minnesota.
He pointed out that there are
three basic ways in which a bank can
enter this field of revolving credit.
First, the bank can issue its own
charge card; secondly, the bank can
offer a card under the banker of an
other bank; and thirdly, through some
form of overdraft checking system.
At this point in his discussion of
revolving credit, he asked bankers to
consider the vital importance of this
field. He pointed out that although
installment credit has increased great
ly in recent years, the banks’ share of
that business has remained at about
40 per cent since W orld War II.
Credit unions have become much
more important in the field, he said,
but the big growth has been in retail
revolving credit. Sears, for example,
had an increase in installment re
ceivables of over $200 million during
1966, bringing its total to almost $3
billion. Every major department store
is in the field and other firms, such
as oil companies, are becoming more
active.
“ If we as bankers don’t move into
revolving credit, it is highly probable
that our share will not only fail to
increase above 40 per cent, but it may
well decrease,” according to Mr.
Kelley.
Mr. Kelley went on to point out
that Minnesota bankers have a pecu
liar problem in that law places a 1
per cent a month ceiling on revolving
credit in Minnesota.
“W ith that sort of a lid, I doubt
that you could profitably issue cards
unless your particular market offers
you near exclusivity or you have such
a sleepy competitor that you feel sure
you could pick up 3 to 6 months’ lead
over him,” he stated.
In summary, Mr. Kelley stated that
banks must get into the granting of
revolving credit in a big way to in
crease their share of the installment
credit market. “ Bank charge cards,
particularly of the compatible type
issued by the Midwest Bank Card
System, now seem the best way to
proceed for most banks,” he said.—
End.

S. w. EVANS

E. L. NEWELL
Member Federal Deposit Insurance Corporation

L IV E

STO C K

NATIONAL BANK
S I O U X

Northwestern Banker, May, 7967

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Federal Reserve Bank of St. Louis

C I T Y

Aberdeen Bank Appoints
The appointment of Philip A. Dennert as an assistant in the farm loan
department of the Farmers & Mer
chants Bank of Aberdeen has been
announced by G. L. Hill, executive
vice president.
Mr. Dennert is a graduate of South
Dakota State University with a degree
in animal science. After graduation,
he was associated with his father in
farming and livestock operations.

S o u th MPakota B a n k e r s A s s o c ia tio n

7 5 th
A nnual Convention
J. S. H O L D H U S E N
P resident
SOBA

Sheraton-Johnson Hotel
May 18, 19, 20, 1967
RECORD registration of bankers and wives is expected for the 75th Diamond
A
Jubilee Convention of the South Dakota Bankers Association in Rapid City May
18-20. The special program will feature several prominent speakers of national stat

W . P A I L IN G
1st V ice-P res.
SDBA

R. F. P E T S C H O W
2nd V ice-P res.
SDBA

R. H. W A L R A T H
Chairman
N om in ating Comm.

R. W . T E R W I L L I G E R
E xec. Secy.-Tre.as
SDBA

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Federal Reserve Bank of St. Louis

ure and a number of entertainment activities.
Association President J. S. Holdhusen, president of the Ipswich State Bank, Ipswich,
will preside at the business sessions. Serving with him during the past year have
been these elected officers: W alter Pailing, president of American National Bank &
Trust Company, Rapid City, first vice president, and Robert F. Petschow, president of
Corn Exchange Bank, Elkton, second vice president.
Robert H. Walrath, president of First National Bank, Watertown, is immediate past
president. R oy W. Terwilliger is executive secretary-treasurer, with offices at Huron.
The three days of activity start with the annual golf tournament at Arrowhead
Country Club on Thursday, May 18. The annual bowling tournament, which has
gained considerable popularity since it was started several years ago, will be held the
same afternoon. Trophies will be presented by the N orthwestern B anker and the
SDBA. The day’s entertainment will be topped off with the President’s Reception at
Arrowhead Country Club, after which registrants majr order dinner at the Club.
The official convention banquet will round out the events of Friday, May 19th, and
the convention will close at noon on Saturday. Special entertainment has been
arranged for the ladies.
The complete program follows:
THURSDAY, MAY 18
A.M.
8:00 Annual Golf Tournament—Arrowhead Country Club. Twosomes and foursomes
tee off from 8:00 to 10:00 a.m. only and and all golfers in the tournament must be
off the greens by 2:00 p.m. Special Senior Division Trophy for those age 55 and
over.
8:30 to
11:00 Ladies Get-to-Gether Brunch— Crystal Room, Sheraton-Johnson Hotel.
P.M.
1:00 Annual Bowling Tournament-—Gateway Lanes. Starts promptly at 1:00 p.m. and
all bowlers should be registered by 2:00 p.m.
6:30 President’s Reception—Arrowhead Country Club. Music for entertainment and
dancing until reception concludes at 8:30 p.m.
FRIDAY, MAY 19
Ballroom— Sheraton-Johnson Hotel
A.M.
8:00 Central States Graduate School of Banking Breakfast— Crystal Room.
A.M.
9:30 Call to Order—J. Stuart Holdhusen, President, South Dakota Bankers Associa
tion; President, Ipswich State Bank, Ipswich.
Presentation of Colors— Rapid City Boy Scouts of America.
Invocation— Reverend Howard F. Bomhoff, South Canyon Lutheran Church,
A.L.C., Rapid City.
National Anthem—Walter Linderman, Soloist; Mrs. Katie Dyvig, accompanist.
W elcom e to Rapid City— Henry Baker, Mayor of Rapid City.
10:00 President’s Address— Mr. Holdhusen.
10:15 Address— Dr. Charls E. Walker, Executive Vice President, American Bankers
Association, New York, N. Y.
11:00 Report of the South Dakota Bankers Association Resolutions Committee—
James D. Jelbert, chairman; vice president and manager, First National Bank of
the Black Hills, Spearfish.
SOUTH DAKOTA CONVENTION . . .
(Turn to page 66, please)
Northwestern Banker, M ay, 1967

South Dakota News

N e w H orn e f o r C o m m u n ity S ta te 9 C a k e P r e s t o n

THESE ATTRACTIVE new quarters have recently been occu
pied by the staff of the Community State Bank in Lake Preston,
S. D. Interior picture shows glass enclosed bookkeeping room
behind teller stations and vault door at left. H. Kopperud is
president of the bank.

Welcome to the Black Hills for the
75th Diamond Jubilee SDBA Convention
NEWELL

BELLE FOURCHE

New iiuildinfj
Open to I*ublie
HE Community State Bank of
Lake Preston opened for business
April 10 in its new building, which
has been under construction since last
September. The one-story brick build
ing has terazzo floor in the lobby;
carpeting in the rest of the floor area
with officers on one side and the in
surance department on the other; two
private offices; vault and storage vault;
bookkeeping room, and community
room.
The interior is well lighted and has
controlled air that provides even heat
or air cooling to conform to the sea
son. All fixtures in the building are
new with the exception of bookkeep
ing equipment.

SDBA Ag Conference

I& U

HOTSPRINGS
NO MATTER WHERE YOU DO B
IN THE BLACK HILLS OF SOUTH DAKOTA
YOU ARE ALWAYS CLOSE TO ONE OF
OUR CONVENIENT OFFICES.
■
!a%
F

ir s t

Í Í a t io n a l

ANK

OF THE BLACK HILLS

RAPID CITY— Main Office— Robbinsdale Office • DEADWOOD • BELLE FOURCHE •
LEAD • SPEARFISH • HOT SPRINGS • STURGIS • NEWELL • VILLA RANCHAERO

No rthwestern Banker, M ay, 7967

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Federal Reserve Bank of St. Louis

Nearly 300 bankers, county agents,
extension workers, FH A supervisors
and others gathered in Huron last
month for the annual South Dakota
Bankers Association Agricultural Con
ference.
The Conference is always an out
standing meeting and this year’s was
no exception. The SDBA Agricultur
al Committee, under the leadership of
C o m m itte e C h a ir m a n D. W ayne
Meyer, vice president of Peoples State
Bank of De Smet, brought together
another fine array of experts in vari
ous fields to address the Conference.
Speakers included Stanley Barber,
president of the W ellman Savings
Bank of Wellman, Iowa, and presi
dent of the Independent Bankers As
sociation; Robert C. Liebenow, presi
dent of the Corn Industries Research
Foundation, Washington, D. C.; Ted
Brown, president of the Security
State Bank of Sterling, Colo., and
chairman of the A BA agriculture
committee; and Jewel Roningen, pres
ident of the Sioux Falls Stock Yards
Company.

S e e You e t t h e . ..

D IA M O N D

JA C K G E R K E N
Assistant Vice President

MAY

18, 19, 2 0

SHERATON JOHNSON HOTEL
RAPID CITY, SOUTH DAKOTA

ORTHWE
STERN
N A T I O N A L
Q A IS r iC
IN SIOUX FALLS: DOW NTOW N, COLONIAL & STOCKYARDS;
BROOKINGS, CHAMBERLAIN, HURON, DELL RAPIDS, GREGORY
AND M ADISON.
No rthwestern Banker, M ay , 1967

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Federal Reserve Bank of St. Louis

É. ■ * € *
Grand Prize in Bank o f America Travelers Cheque
If you sell Bank of America Travelers Cheques,
you can win a once-in-a-lifetime trip: a three-week
world tour for two. And you name the destinations:
Honolulu, Tokyo, Hong Kong, Bangkok, Beirut,
Istanbul, Athens, Rome, Nice, Madrid, Lisbon,

Paris, London — or wherever in the world you’d
like to go. Prize includes first-class jet transporta
tion, accommodations at deluxe hotels, meals, guide
services, and all arrangements — plus $1,000 in
Bank of America Travelers Cheques.

376 OTHER VALUABLE PRIZES:
25

300

S E C O N D P R IZE

T H IR D P R IZ E S

F O U R T H P R IZ E S

FIFTH P R IZE S

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LISBON

MADRID

Sweepstakes is a round-the-world trip for two
W ho can enter?
Tellers . . . platform officers . . . any
one anywhere in the 50 states who
sells Bank o f Am erica Travelers
Cheques to the public, except em
ployes of Bank of America.

When does the
sweepstakes begin?
It starts M ay 15 and con tin u es
through the summer. Deadline for
entries is October 15, 1967. Winners
will be determined in a public draw
ing at Bank of America.

H ow does it work?
Official entry blanks will be distrib
uted to you before May 15. Each time
you sell Bank of America Travelers
Cheques, just attach an entry blank
to each Purchaser’s Application.

H ow can you win?
The more Bank of AmericaTravelers

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Federal Reserve Bank of St. Louis

Cheques you sell, the better your
chance to win. Be on the lookout for
customers who are planning trips.
Encourage them to protect their
travel funds with Bank of America
Travelers Cheques . . . the w orld’ s
most accepted bank cheques. With
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will appreciate the extra profits.
CONTEST RULES:

1. When attaching entry blanks to Pur
chasers’ Applications, please use paper
clips only. (Bending or stapling makes
it difficult for our electronic equipment
to process these forms.)
2. No substitute prizes will be awarded.
All prizes have been selected by MardenKane, Inc. of New York.
3. Tax liability on all prizes will be the
sole responsibility of the prize winner.
4. Grand Prize winner must complete
the World Tour by October 31, 1968.

Winner may choose one or as many des
tinations as he wishes, as long as thé
trip is completed within three weeks.
5. The sweepstakes is void where pro
hibited, taxed or restricted by Federal,
State or local laws or regulations.
6. Entry in the sweepstakes constitutes
full permission to publish names,
addresses and photographs of winners
without further compensation.
7. Winners will be determined by a
public drawing, held by the Bank of
America, from all entry blanks received
during the contest period.
8. Winners will be notified by mail
upon completion of the drawing. A
complete list of winners will be on file
at Bank of America, San Francisco.
ni

\ in f t U , I

S outh

D a k o ta

News

Your man
At the
American!

South IPukotn P r o g r a m
(Continued from page 61)

C. E. W A L K E R
Speaker

ARTHUR A. HAESSIG
Vice President
BANKS and BANKERS

We'll be looking for you
at the South Dakota
Diamond Jubilee
Convention in Rapid City
May 18-20
and
North Dakota Convention
in Fargo May 10-12

“ The Largest Independent
Full Service Bank
in the Upper M idw est"

A. W . R O B E R T S O N
Speaker

J. D. J E L B E R T
Chairman
Resolutions Comm.

11:15 Address— Professor George Walter, Lawrence University, Appleton, Wis.
Noon Announcements and adjournment.
12:00 Ladies Luncheon and Program— Esquire Club. Program by Mrs. Vera
Ward, Yankton. Buses will pick up ladies at hotels and motels, and will
return to them at conclusion of program at 3:00 p.m.
12:00 Past President’s Luncheon— Crystal Room.
P.M.
2:00 Call to Order- -J. Stuart Holdhusen, president, South Dakota Bankers
Association.
Address— Senator A. Willis Robertson, Washington, D. C.
2:45 Address— Donald McLaughlin, chairman of the board, Homestake Mining
Company, San Francisco, Calif.
3:30 Presentation of the 40-50 Year Pin Awards— R oy W. Terwilliger, execu
tive secretary-treasurer, South Dakota Bankers Association.
Necrology— Mr. Terwilliger.
4:00 Meeting of South Dakota American Bankers Association Members— Scott
Lovald, State ABA vice president; president, First National Bank, Philip.
4:30 Announcements and adjournment.
5:30 to
6:30 SDBA Associate Members Joint Social Hour— Crystal Room and Ball
room.
7:00 Convention Banquet and Entertainment— Rapid City Civic Auditorium.
Stage Show— Browning Family of Lee’s Summit, Mo.
SATURDAY, MAY 20
Ballroom— Sheraton-Johnson Hotel
A.M.
8:00 State Bankers Committee Breakfast— Crystal Room.
8:30 Ladies Mount Rushmore Breakfast— Mount Rushmore. Three Rapid City
host banks will provide transportation to Mount Rushmore leaving
Sheraton-Johnson Hotel at 8:30 a.m. for Mount Rushmore, returning at
11:15 a.m.
A.M.
9:30 Call to Order—J. Stuart Holdhusen, president, South Dakota Bankers
Association.
Report of the South Dakota Bankers Association Nominating Committee

CONGRATULATIONS
TO THE SO UTH D A K O T A BANKERS A S S O C IA T IO N

A M E R IC A N
N A TIO N A L
BANK A N D TRUST
COMPANY
S e v e n th an d R o b e rt
S a in t P a u l

Thanks fo r 75 Years o f Service to Banking in South
Dakota. W e 're 78 years old . . . But have always
looked to SDBA fo r guidance.

THE PIERRE NATIONAL BANK
420 South Pierre Street

Pierre, South Dakota 57501

222-6666
Member Federal Deposit Insurance
Corporation • Federal Reserve System

N o rth w e s te rn

B anker,

M ay,

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

1967

M em ber

F e d e ra l

D e p o s it

In s u r a n c e

C o r p o r a t io n

CHARLES WALCOTT

BERNARD BRODERICK

RICHARD TAYLOR

V ic e P re s id e n t

A s s is ta n t C a s h ie r

V ic e P re s id e n t

WE'LL GUARANTEE YOU A "RARE" TIME AT SOUTH DAKOTA'S DIAMOND JUBILEE
This is the year of the "Jubilee" at the SDBA Annual
Convention, May 18-20 in Rapid City. It'stheirdiamond
year. We'll be on hand, and we hope to see you there.
It will be a good opportunity to talk over old times, and
perhaps bring up new questions you may have about
correspondent banking.

st.

F ir st N a tio n a l B a n k
..... .

--------1

I I

MEMBERS FEDERAL DEPOSIT INSURANCE CORPORATION

F o u rth a t J a c k s o n

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

•

in S i o u x C i t y

F ifth an d P ie r c e

So uth

D a k o ta

News

---------------------------------------------- \

Your man
At the
American!

S. L O V A L D
State V ic e- Pr es .
ABA

DR . W . J U D D
Speaker

W M . SH ER R IL L
Speaker

— Robert H. Walrath, chairman; president, First National Bank, Watertown.
Election and Installation of Officers.
10:00 Address—W illiam Sherrill, member of the board of directors, Federal
Deposit Insurance Corporation, Washington, D. C.
10:45 Address— Dr. W alter Judd, former Minnesota Congressman, W ashing
ton, D. C.
11:30 Drawing for attendance prize.
Noon Announcements and formal adjournment of the 75th Diamond Jubilee
Convention.
12:00 Annual Executive Council Executive Session Luncheon— Crystal Room.
— End.

W ill
S ee Them a t th e
South Ilo h ot a C onvention
Fon

JOHN D. CLEARY
Assistant Vice President
B A N K S an d B A N K E R S

W e'll be looking
for you at the
South Dakota
Diamond Jubilee
Convention
in Rapid City
May 18-20
" The Largest Independent
Full Service Bank
in the Upper Midwest ’ ’

HE following metropolitan bank
ers, service and equipment dealers
have indicated they will be attending
the South Dakota Bankers Associa
tion’s annual convention in Rapid
City, May 18-20:
Chicago
American National Bank and Trust
Company: J. Roy West, assistant vice
president.
Continental Illinois National Bank
& Trust Company: Charles W. Battey,
vice president, and Paul Jonescue, as
sistant cashier.
First National Bank: Clarence E.
Cross, Jr., assistant cashier.
Denver
Central Bank & Trust Company:
Don Echtermeyer, vice president.

Minneapolis
First National Bank: George Henry,
vice president; Fred Haw assistant
cashier; Dave Boies, assistant secre
tary, and Bob Gruman and Dean Tollefson, representatives.
Marquette National Bank: R. W.
(Bill) Crouley, senior vice president,
and Avery G. Fick, assistant vice
president.
Midland National Bank: Douglas M.
Johnson, vice president, and John W.
Ordos, assistant cashier.
National City Bank: Patrick W.
Colbert, Jr., vice president, and W il
lia m W o h le n h a u s , correspondent
bank officer.
Northwestern N ational Bank: C.
Paul Lindholm and Donald M. AnderI

Congratulations to the

A M E R IC A N
N A TIO N A L
BANK AND TRUST
COMPANY
S e v e n th an d R o b e rt
S a in t P a u l

222-6666
Member Federal Deposit Insurance
Corporation • Federal Reserve System

Northwestern Banker. May, 1967

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Federal Reserve Bank of St. Louis

S O U T H D A K O T A BANKERS A S S O C IA T IO N
75th D IA M O N D JUBILEE C O N V E N T IO N
Marking 75 Years of Service to South Dakota Bankers
FARMERS STATE BANK
W in n e r , S o u th
B ra n c h e s in W h i t e

D a k o ta

R iv e r a n d

M is s io n

M A IN OFFICE

SOUTH BRANCH

M A IN A VE . a t E IG H T H
3 3 6 -1 2 0 0

M IN N E S O T A A V E . a t 33rd
3 3 6 -0 4 3 0

EAST BRANCH
g ^ ^ w wcoocwoMLv:

EAST 10th a t O M A H A
3 3 6 -2 1 4 5

> CONVENIENT
LOCATIONS
/

TO SERVE Y O U
IN SO UTH D A K O T A

• D rive-In Banking Service
• FREE C ustom er Parking
• C onvenient N ig h t Depository

BANK A T THE SIG N OF THE WEATHERBALL
M EMBER

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Federal Reserve Bank of St. Louis

F E D E R A L D E P O S IT I N S U R A N C E 'C O R P O R A T I O N

Northwestern Banker, M ay, 1967

S o uth

D a ko ta

News

son, vice presidents, and Frank T.
Lewis, assistant cashier.

Stock Yards National Bank: L. M.
Broom, president.
Sioux City
First National Bank: Richard C.
Taylor and Chas. H. Walcott, vice
presidents, and Mike Broderick, Jr.,
assistant cashier.
Live Stock National Bank: Stanley
W. Evans, president, and Edward L.
Newell, vice president.
Security National Bank: Thomas C.
Horn, senior vice president; John A.
Diefendorf, vice president, and R. E.
Gene Hagen, assistant vice president.
Toy National Bank: Burton L. Poulson, vice president, and Conrad E.
Aronson, vice president.
Sioux Falls
Northwestern National Bank: Curtis
A. Lovre, president; H. Ivan Steen,
vice president, and John Krastins and
John J. Gerken, assistant vice presi
dents.
National Bank of South Dakota:
Martin J. Colton, p r e s id e n t , and
George Peterson, vice president.

New York
Chase Manhattan Bank: Alden K.
Small, second vice president, and
James P. Hartz, representative.
First National Bank: C. Norman
Gustafson, assistant cashier.
Irving Trust Company: Mr. and
Mrs. Donald C. Jackson, vice presi
dent, and Rohn M. Laudenschlager.
Omaha
The Omaha National Bank: H. H.
Echtermeyer, senior vice president,
and Del Oison, correspondent bank
officer.
St. Paul
American National Bank: Art A.
Haessig, vice president, and John D.
Cleary, assistant vioe president.
First National Bank: Wallace L.
Bossand
and David A. Shern, vice
presidents, and Henry N. Snyder and
John E. Raymond, assistant vice pres
idents.

C O N V E N T IO N
G R E E T IN G S
Make plans to attend the SDBA’s 75th Diamond Jubi
lee Convention. The Black Hills are at their best in
the early spring.
We’re looking forward to seeing and visiting with our
banker friends this month (May 18-20) in Rapid City.

3 S T -A .T I0 3 N T -A .X j
a n d

Rapid C ity

T r u s t

B ^ 3 S T IX

C o m .p a n .y

Sturgis

Hot Springs

Member Federal Deposit Insurance Corporation

W E 'R E

YOUNG,

BUT W E

C O N G R ATU LATE

A S S O C IA T IO N

ITS

7 5 th

THE

SOUTH

D IA M O N D

DAKOTA

BANKERS

J U B IL E E

FARMERS & MERCHANTS BANK
ABERDEEN, SOUTH DAKOTA

Aberdeen's Only Home-Owned Bank
M em ber

F e d e ra l

D e p o s it

In s u r a n c e

C o r p o r a t io n

M e m b e r F e d e ra l R e s e rv e S y s te m

Northwestern Banker, M ay, 1967

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

Bank Equipment and Other Firms
Bankers Service Company, Des
Moines: Robert C. Wilson, president.
Central States Health and Life Com
pany: William Hoffman and Claude
Faber, branch manager.
Chiles & Company, Omaha: James
Michels, Vermillion office.
Dawson H ail Insurance: James
Dawson and Lyle Askerooth.
Diebold, Inc.: Laird P. Gillem.
North Central Life Insurance Com
panies: Elmer Diedtrich and Bill
Stohr.
Old Security Insurance Companies:
F. N. Coulson, Jr., and Ross Forbis,
vice presidents.
St. Paul Insurance Companies: Ellwood E. Linder and Richard Stengel,
bond supervisors.
U. S. Check Book Company: Keith
Kohrs and Ron Ford, representatives.

Observes 7 0 Years
The Commercial Trust and Savings
Bank of Mitchell this year observes
the completion of 70 years of opera
tion in Mitchell. The bank opened
its doors on January 6, 1897.
H.
R. Kibbee, Jr., son of one of the
founders of the bank, is chairman of
the board. George Toft, president,
has been with the bank for 40 years.
Boyd Knox is executive vice presi
dent.
According to Mr. Toft, no special
observance of this 70th anniversary
will be made by the bank.

Staff Addition at Huron
Keith G. Moe has been appointed
agricultural r e p r e s e n t a t iv e at the
Northwestern National Bank in Hu
ron, according to
W illiam T. Lar
s o n , a s s is t a n t
v i c e p r e s id e n t
and a s s i s t a n t
manager.
Mr. Moe is an
agricultural busi
ness graduate of
S o u t h D a k o ta
State University,
and prior to his
K. G. M O E
a p p o in tm e n t to
the bank, he was with the Huron of
fice of the Production Credit Associa
tion.

Retires After 5 0 Years
A 50-year banking career reached
its climax recently when J. Norman
Shelby stepped down as president of
the Mitchell N a t io n a l Bank. He
joined the bank in 1917, and was re
cently honored at a banquet spon
sored by employees o f the Mitchell
National Bank.

Stop by and see us while you’re at the NDBA Convention
May 11-13, or the SDBA May 18-20. We’ll be there, too,
and we truly welcome a visit with you. Matter of fact,
we eat it up. We look forward to offering you a bit of our
hospitality . . . some pleasant conversation . . . even a
word or two about our correspondent banking
if you choose to discuss it. Come see us.

M arquette National Bank
SEVENTH AT MARQUETTE, MINNEAPOLIS, M IN N ESO TA/333-5411
Member Federal Deposit Insurance Corporation

Carl Pohlad, President
C o r r e s p o n d e n t B ank D e p a r t m e n t : R. W . ( B ill) C r o u le y , S e n io r V ic e P r e s id e n t • O t t o H . P re us, V ic e P r e s id e n t •
A v e r y F ic k , A s s is ta n t V ic e P r e s id e n t • S te w a r t S to te s b e r y , C o r r e s p o n d e n t B a n k O f f i c e r • W . J . ( B ill) A d d in g t o n ,
C o r r e s p o n d e n t B a n k R e p r e s e n t a t iv e •
L en E ric k s o n , C r e d i t O f f ic e r .

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Federal Reserve Bank of St. Louis

No rthwestern Banker, M ay, 1967

S outh

D a ko ta

News

7.11h C onvention C om m ittees
ENERAL Chairman for the 75th
Diamond Jubilee Convention of
the South Dakota Bankers Associa
tion in Rapid City May 18-20, is Ron
J. Campbell, vice
p r e s id e n t of
American Nation
al Bank & Trust
Company, Rapid
C fty. Headquar
ters for the con
v e n t i o n will be
Sh era ton-J oh nson
Hotel.
Servin g with
Mr. Campbell in
arranging th e
many functions of the convention are
these committee members, with the

W. LINDERM AN

A. L. G R A S S

first listed on each committee being
chairman.
Housing Reservations
Walter Linderman, assistant vice
president, American National Bank &
Trust Company.
Golf Tournament
Arlo L. Grass, assistant vice presi
dent, First National Bank of the
Black Hills; Frank M. Kober, senior
vice president and cashier, First Na
tional Bank of the Black Hills, and
Dwight Guffey, assistant vice presi
dent, Rushmore State Bank.
Bowling Tournament
Hugh A. Caton, assistant vice presi

H. A. C A T O N

C. T. U N D L I N

dent, Rushmore State Bank, and G. R.
Bock, assistant cashier, American Na
tional Bank & Trust Company.
President’s Reception
Charles T. Undlin, executive vice
president, First National Bank of the
Black Hills, and Russell Halvorson,
vice president, American National
Bank & Trust Company.
Ladies Luncheon
Mrs. Charles T. Undlin, Mrs. H. Pat
Dixon, Mrs. Richard Peterson, Mrs.
Earl Keller, Mrs. Ron Campbell and
Mrs. Hugh Caton.
Banquet and Entertainment
Russell Halvorson, vice president,
American National Bank & Trust
Company; Richard P. Peterson, vice
president, First National Bank of the
Black Hills, and Lyle Welsh, vice
president, American National Bank
& Trust Company.
Registration
Miss Mary C. Loucks, cashier,
Rushmore State Bank; Mrs. Kathryn
Fitzgerald and Mrs. Esther Estrup,
First National Bank of the Black
Hills; Miss Frances Vincent and Mrs.
Lucille Crow, American National
Bank & Trust Company.
Publicity
H. Pat Dixon, assistant vice presi
dent, First National Bank of the Black
Hills.

PS»

R. H A L V O R S O N

MISS LOUCKS

H. P. D I X O N

E. K E L L E R

THANKS

CANTON

to the

Sends Greetings

SOUTH D A KO TA
BANKERS A SS O C IA TIO N

to the

For
75 Years of Service to
South Dakota Bankers
DAKOTA STATE BANK
Colman, South Dakota 57017
Member FDIC

Northwestern Banker, M ay, 1967

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

SOUTH DAKOTA
BANKERS ASSOCIATION
75th Diamond
Jubilee Convention

Transportation
Earl Keller, senior vice president,
American National Bank & Trust
Company, and Gerry S. Ashmore, vice
president, First National Bank of the
Black Hills.

Greetings
to the

SOUTH D A KO TA
BANKERS A SS O C IA T IO N
75th Diamond Jubilee
Convention
DAKOTA STATE BANK
Tripp, South Dakota

FARMERS STATE BANK
Canton, South Dakota

Member FDIC

Personal service is a matter of working to solve customer problems. Working
at providing a service particularly tailored to each customer’s needs and wants.
Devoting the time and the talent to insure that each correspondent bank of the
Security National continually receives the best service. The Security National
Bank is famous for their “ personal service”. Tom, John, and Gene work at it!

“ Where Customers Send Their Friends99

SECURITY NATIONAL BANK
6TH AND PIERCE STREETS

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Federal Reserve Bank of St. Louis

•

SIOUX CITY, IOW A

•

MEMBER F.D.I.C.

Northwestern Banker, M ay , 1967

Get nnalitied assistance tram
a First at Tulsa SPECIALIST
Behind every First of Tulsa correspondent banker
there stands a specialist ready and willing to offer his
help . . . anytime, anyplace! Like First National’s
President, Jo h n R o b e rtso n . His many years of first
hand experience in agricultural banking have proved
invaluable to bankers across the country. Whether it’s
help with an agriculture, oil or operations p r o b le m ,

you’ll find John Robertson a specialist that’s ready to
offer his assistance anytime . . . anyplace!

THE FIRST NATIONAL BANK AND TRUST COMPANY OF TOLSA
Northwestern Banker, M ay, 1967

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

DICK
WAGNER

DEAC
RHODES

JACK
SANDERS

JOHN
BROACH

L e t F irs t N a tio n a l’s B a n k s a n d B a n k e rs
D iv isio n go to w o rk fo r you. C a ll 918
LU 7-2141.

North Dakota Bankers
W ill M eet in Fargo

6:30

HE North Dakota Bankers, meet
ing for their annual North Dakota
Bankers Association Convention in
Pargo on May 11, 12 and 13, will again
be meeting on their normal schedule
of Thursday, Friday and Saturday.
Henry Ness, assistant vice president,
Fargo National Bank and general
chairman for the event, reports that
the host banks in Fargo felt this
schedule was better received by those
attending.
A. A. Mayer, president of the Da
kota National Bank in Bismarck, is
president of the North Dakota Bank
ers Association and W illiam J. Daner,

9:00

SCHEDULE OF ACTIVITIES
NORTH DAKOTA BANKERS
ASSOCIATION
82nd Annual Convention
May 11-13, Gardner Hotel
Fargo, North Dakota
THURSDAY, MAY 11
P.M.
12:00
6:30
8:30

Registration— Gardner Hotel.
Social Hour— Gardner Hotel.
Dance-Gardner Hotel.
FRIDAY, MAY 12

A.M.
9:00

Registration— Elks Club.
Speakers—

7:30

Social Hour — Municipal Audi
torium.
Banquet — Municipal Auditori
um.
“ The Goof-Off Era” — John
Christiansen, Scottsdale, Ari.
Dance— Elks Club.
SATURDAY, MAY 13

A.M.
9:30

Call to Order.
N ecrology Service.
Gary L. Lerberg, cashier, Peo
ples State Bank, Par shall— Leg
islative Report.
Business Meeting — Election
and Installation of 1967-1968
Officers.
President’s Report.
A.B.A. State Meeting.
Adjournment.— End.

Dickinson Bank Appoints
Gerald P. W ilier has joined the staff
of the American State Bank of Dick
inson and will serve in the install
ment loan department. He was for
merly loan manager for The Associ
ates in Dickinson and previous to
this was with the Dickinson Credit
Bureau.

Edward R. Foss
A. A. M A Y E R

W . J. D A N E R

Bismarck, is the organization’s secre
tary.
General headquarters for the con
vention will be the Gardner Hotel,
with the Elks Club as the site for the
convention’s two business sessions.
The Friday evening social hour and
banquet will be held at the municipal
auditorium.
Complete program details were not
available at press time, however the
following general schedule will be fol
lowed, according to Mr. Daner:

G. L. L E R B E R G

F. B. M I L L E R

Jerry Pratt, D ir e c t o r , Upper
Midwest Research and Devel
opment Council, Minneapolis.
Roger West, Federal Deposit
Insurance Corporation.
Herb Thorndal, North Dakota
State Bank Examiner.
Dr. F. Byers Miller, Executive
Director, NAB AC.
P.M.
12:00
2:00

Men’s Luncheon— Elks Club.
Golf Tournament.
Bowling Tournament.

Edward R. Foss, 82, died last month
following a six and a half weeks’ ill
ness. Mr. Foss had been in banking
in Portland since 1929. He was pres
ident of the First and Farmers Bank
from 1954 to 1962 when he retired. He
was vice chairman at the time of his
death.

Leaves Langdon Bank
Norman Graber, auditor of the First
Bank of Langdon, has resigned to ac
cept a position with the Polar Rural
Telephone Mutual Aid Corporation at
Park River.

N o rth B a h o ta B a n h ers V isit N a tio n 9s Capital

PICTURED ABOVE during the North Dakota Bankers Associ
ation annual Washington Conference last month in the nation’s
capital are several of the 23 bankers and four wvies who at
tended, and members of North Dakota’s Congressional delega
tion. The bankers had a worthwhile exchange of views with
Governor Brimmer of the Federal Reserve Board, Comptroller
William B. Camp, and FDIC Chairman K. A. Randall. The
group also had a conference with the State Department, fol
lowed by a tour of the diplomatic reception rooms. Left to
right above are: Robert Ranes, Melrose Manufacturing Co.,

Gwinner; L. C. Kempf, pres., Grant County State Bank, Carson;
V. F. Hegeholz, v.p., Grant County State Bank, Carson; U. S.
Senator Milton R. Young (N . D .); Gordon Weber, pres., Farm
ers State, Lisbon; A. A. Meyer, pres, of N D B A and pres.,
Dakota Natl., Bismarck; U. S. Rep. Thomas Kleppe (N. D .);
U. S. Senator Quentin Burdick (N . D .); Richard Carley, pres.,
Casselton State, Casselton, and his son, Cole Carley; George
Thompson, mgr., Bank of N. D., Bismarck, and Robert Harkison, exec, v.p., 1st Natl., Fargo.
N o rth w e s te rn

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Federal Reserve Bank of St. Louis

B anker, M a y ,

7967

N o rth

D a ko ta

News

in charge of the various functions for
Favf/o C onvention C om m ittees
the three-day meeting are as follows.
The first listed is chairman:
iH anniny
fo r St'Àm i C onvention
Registration & Reservations
W. R. Braseth, president, Fargo Na
tional Bank; Warren DeKrey, vice
president, First National Bank &
Trust Company; Clark Jenkins, vice
president, Merchants National Bank
& Trust Company, and D. L. Scott,
assistant cashier, Dakota National
Bank.

H. N. N ES S

A. M. E R I K S M O E N

W . R. B R A S E T H

tion of the North Dakota Bankers
Association. The convention will be
held in Fargo May 11, 12 and 13.

FFICERS of banks in Fargo have
been working for several months
on committees that are planning all
activities for the 82nd annual conven-

A .K . SIM PSO N

R. D. H A R R I S O N

General chairman for the conven
tion is Henry N. Ness, vice president,
The Fargo National Bank. Members
of the steering committee are: W. R.
Braseth, president, The Fargo Na
tional Bank; A. M. Eriksmoen, presi
dent, The Dakota National Bank;
R. D. Harkison, president, The First
National Bank and Trust Company,
and A. K. Simpson, president, Mer
chants National Bank and Trust Com
pany.
Members of the other committees

T. B A R T H O L O M A Y

U)sdcom& TloA th (D a lw ia (Bank&hA
S to p

w h ile

and
in

Visit

F arg o

fo r

The Annual NDBA Convention
AI Simpson, President
Tom Bartholomay, Vice President
Wesley Pearson, Cashier
David Gordon,

V ì]e r e l i a n t ó

Earl W. Anderson, Vice President
Clark Jenkins, Vice President
John Riley, Vice. Pres. & Trust Officer
Trust Officer

NATIONAL BANK & TRUST CO. OF FARGO

FARGO. NORTH DAKOTA

Banquet and Socials
Tom Bartholomay, vice president,
Merchants National Bank & Trust
Company; Homer Ludwig, vice presi
dent, First National Bank & Trust
Company; Robert G. Olson, assistant
vice president, Fargo National Bank,
and S. A. Turing, assistant vice presi
dent, Dakota National Bank.
Exhibit Committee
Marion Loffer, vice president, First
National Bank & Trust Company;
E. F. Sexton, assistant vice president,
Fargo National Bank, and William
Sweeney, assistant cashier, Merchants
National Bank & Trust Company.
Entertainment Committee
Stan A. Stapher, vice president and
cashier, Dakota National Bank; James
Mattson, assistant cashier, Fargo Na
tional; W es Pierson, cashier, Mer
chants National Bank & Trust Com
pany, and G. E. Hobbs, assistant vice
president, First National Bank &
Trust Company.
Transportation Committee
Earl W. Anderson, vice president,
Merchants National Bank & Trust
Company; C. S. Miller, vice president
and cashier, Fargo National Bank;
Kenneth H. Hermanson, assistant vice
president, Merchants National Bank,
and J. R. White, assistant cashier,
Dakota National Bank.
Ladies Committee
Mrs. A. M. Eriksmoen, Mrs. W. R.
Braseth, Mrs. A. K. Simpson and Mrs.
R. D. Harkison.

MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION

SLOW . . . BUT SURE
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and

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R a p id

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» D A W S O N HAIL
IN S U R A N C E
Northwestern Banker, May, 1967

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Federal Reserve Bank of St. Louis

Grafton Announces Changes
A promotion and an addition to the
staff of the Grafton National Bank
has been announced by A1 Severson,
president. Vic Johnson, who has been
with the bank for nine years, has been
promoted to auditor.

Elect Two New Directors
L. E. Herzog, president of the First
State Bank of Cooperstown, has an
nounced the election of Dr. D. D.
Clark and Donald W. Loder to the
board of directors of the bank at a
special stockholder’s meeting held last
month.

N o rth

Y ou W ill S ee Them a t th e
N orth D u h otu C onvention
following metropolitan bank
T HE
ers, service and equipment firms
have indicated they will be attending
the North Dakota Bankers Associa
tion’s annual convention at Fargo,
May 11-13.
Chicago
Continental Illinois National Bank
and Trust Company: Charles W. Battey, vice president, and Paul Jonescue, assistant cashier.
First National Bank: Clarence E.
Cross, Jr., assistant cashier.
Minneapolis
First National Bank: George S.
Henry, vice president; Ed Kalafat, as
sistant vice president; David Boies,
assistant secretary, and Don Bergum,
representative.
Marquette National Bank: R. W.
Crouley, senior vice president, and W.
J. Addington, correspondent bank rep
resentative.
Midland National Bank: Douglas M.
Johnson, vice president, and John W.
Ordos, assistant cashier.
National City Bank: Patrick W. Col
bert, Jr., vice president, and William
Wohlenhaus, correspondent bank of
ficer.
Northwestern N ational Bank: C.
Paul Lindholm, Leonard P. Gisvold
and Donald M. Anderson, vice presi
dents, and John M. Johnson, assistant
cashier.
New York
Chase Manhattan Bank: Ian Mac
Donald, a s s is t a n t t r e a s u r e r , and
James P. Hartz, representative.
First National City Bank: C. Nor
man Gustafson, assistant cashier.
Irving Trust Company: Donald C.
Jackson, vice president, and Rohn M.
Laudenschlager.
Manufacturers Hanover Trust Com
pany: Carl G. Carlson, assistant vice
president.
St. Paul
American National Bank: Art A.
Haessig, vice president, and Donald H.
Johnson, assistant vice president.

First National Bank: Donald W.
Buckman, vice president, and John
E. Raymond, assistant vice president.
Stock Yards National Bank: Hoyt
Lathen, vice president.
Bank Equipment and Other Firms
Bankers Service Corporation, Des
Moines: Robert C. Wilson, president.
Central States Health & Life Com
pany, Omaha: Bill Hoffman and Fran
cis Riederer.
Dawson Hail Insurance, Fargo: Jim
Dawson, Bob Dawson and Lyle Askerooth.
Diebold, Inc., Minneapolis: Alvin G.
Schlegel.
North Central Companies, St. Paul:
Roger Pulkrabek and Bill Stohr.
Old Security Insurance Companies,
Minneapolis: F. N. Coulson, Jr., and
Ross Forbis, vice presidents.
St. Paul Insurance Companies, St.
Paul: Ellwood E. Linder and Richard
Stengel, bond supervisors.

Quarterly Report
For Savings Bonds
Sales of Series E and H United
States Savings Bonds in Region III
during the first quarter of 1967
showed a decrease of $248,000 for the
eight-state area, or just 2% per cent
for this unsettled period in the econ
omy. The state by state report shows
these figures:
REGION III
United States Savings Bonds
Combined Sales of Series
E and H
(in Thousands of Dollars)
ST ATE

Jan.-March
1967

Jan.-March
1966

Per Cent
Change

Colo.
Iowa
Minn.
Mont.
Neb.
No. Dak.
So. Dak.
Wyo.

9,470
30,731
17,798
4,843
22,636
4,153
5,970
1,679

8,935
34,633
16,266
4,756
20,566
4,400
6,289
1,683

+ 5.99
-11.27
+ 9.42
+ 1.83
+10.07
- 5.61
- 5.07
- 0.24

97,280

97,528

ACCIDENT, SICKNESS and HOSPITAL
INSURANCE AT COST!
Bankers are Select Risks and we have special coverage
designed for Bank M en and W om en. Write for Application

D a k o ta

News

—
Your man
At the
American!

DONALD H. JOHNSON
Assistant Vice President
BANKS and BANKERS

We'll be looking
for you at the
North Dakota
Convention
in Fargo
May 10-12
" The Largest Independent
Full Service Bank
in the Upper M idw est"

A M E R IC A N
NA TIO N AL
BANK A N D TRUST
COMPANY
S e v e n th an d R o b e rt

and Information.

S a in t P a u l

Minnesota Commercial Men's Association
2550 Pillsbury A ve. S.

Minneapolis 4, Minnesota

2 2 2 -6 6 6 6

Member Federal Deposit Insurance
Corporation • Federal Reserve System

No rthwestern Banker, M ay, 1967

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

golden heritage

• • • A r t B rid g ew ater h a s n ow com pleted
5 0 y ea rs o f service w ith Central B a n k . H e h a s w atched
and helped th e Central g row fro m $ 6 m illion in 1 9 1 7

to $ 2 0 0 m illion in 1 9 6 7 .
y

M ax Brooks, Chairman o f the Board and President, w ith Don Echtermeyer, A rt Bridgewater, B ill Gossett and Jo hn Edmiston o f Central's Correspondent team.

A r t B rid g e w a te r s ta r te d a t th e C e n tr a l as a m e sse n g e r b o y .
S in ce th e n , h e h as h a d a w e a lth o f e x p e rie n c e i n e very
p h a se o f b a n k in g . . . fr o m te lle r to p e rs o n n e l to
o p e ra tio n s to c a s h ie r.
N eedless to say, w h e n y o u ’ve s p e n t a h a lf c e n tu r y o n th e jo b ,
y o u k n o w y o u r b u s in e s s . A n d w h e n y o u ’ve e n jo y e d y o u r
jo b f o r 50 y e a rs . . . as A r t B rid g e w a te r h as . . . y o u have
a s in c e re d e s ire to h e lp p e o p le .
W h y n o t ca sh i n o n A r t B r id g e w a te r ’s v a lu a b le k n o w -h o w ;
h e ’ s o ne i n a m illio n ! W id e ly - k n o w n . . . h ig h ly -re s p e c te d ,
h e ’s a n o th e r i m p o r t a n t re a s o n w h y th e C e n tr a l is
D e n v e r’s " h e lp in g e s t” b a n k !

No rthwestern Banker, May, 7967

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Federal Reserve Bank of St. Louis

79
dents; and Terry Ryan, loan officer,
S en a tor
Sparti man.Howard Im eri
and Paul Christensen, correspondent
bank representative.
To A d d r e ss C olora d o C onvention
First National Bank: Eugene H.
O L O R A D O b a n k e r s will meet
again at the beautiful Broadmoor
Hotel in Colorado Springs for their
65th annual convention of the Colo
rado Bankers Association. The dates
fo r this y e a r ’ s
meeting are June
1, 2 and 3.
P r e s i d i n g at
the official func
tions during the
t h r e e d a y s will
be Neil F. Rob___
erts, president of
the Ass o c i a t i o n
JBKM and president of
M
MMMM F i r s t N a t i o n a l
N. F. R O B E R T S
^
~
Bank, Denver.
As customary, business sessions will
be held on Friday and Saturday morn
ings, June 2 and 3.
The men’s and ladies’ golf tourna
ments will be held on the famous
Broadmoor Championship course and
ladies’ courses starting on Thursday
morning, June 1.
Thursday evening registrants will
take part in the annual social hour
and buffet dinner that is served in the
hotel, followed by dancing in the
main ballroom. On Friday morning,
bankers and their wives will again be
guests for breakfast of Central Bank
and Trust Company of Denver.
The ladies will have their usual
luncheon and entertainment Friday
noon, and will join the men Friday
evening for the annual banquet and
floor show which is always held in
the International Center on the Broad
moor grounds.
Principal speakers for the business
sessions will be:
• Mr. Roberts, with his president’s
address.
® J. Howard Laeri, vice president
of the American Bankers Association
and vice chairman, First National
City Bank, New York.
• Joe Powell, professional speaker
and entertainer.
• Hon. John J. Sparkman, United
States Senator from Alabama; chair
man of the Senate Banking and Cur
rency Committee.
Presiding at the Saturday morning
session will be P. H. McDonald, first
vice president of the association and
president of Colorado National Bank
and Trust Company at La Junta. Dur
ing this season, CBA President Rob
erts will induct new members of the
association’s 50-Year Club.
Also on Saturday, new state officials

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Federal Reserve Bank of St. Louis

for the ABA will be elected during a
special meeting conducted by Ken
neth E. Baird, ABA state vice presi
dent for Colorado. Mr. Baird also is
vice president of the First National
Bank in Pueblo.
Election of officers for the Colorado
Bankers Association for 1967-68 will
conclude the annual meeting at noon
Saturday, June 3.
Serving with Mr. Roberts and Mr.
McDonald the past year has been Del-

J. J. S P A R K M A N

J. H. L A E R I

ano E. Scott as second vice president.
Mr. Scott is president of Routt Coun
ty National Bank at S t e a m b o a t
Springs. James C. Searboro is execu
tive vice president of the association
in CBA headquarters in Denver.

S ee T h em a t
T h e C on ven tion
HE following bankers, service and
equipment firms have indicated
that they will be present at the Colo
rado Bankers Association annual con
vention in Colorado Springs, June 1-3.
Chicago
American National Bank: William
O. Kurtz, vice president; W illiam Aidrich, assistant vice president, and
Robert O. Walcott, assistant cashier.
Continental Illinois National Bank
& Trust Company: W. E. Resseguie
and Charles R. Hall, vice presidents.
First National Bank: E. J. Hultgren, vice president.
Denver
Central Bank & Trust Company:
Max G. Brooks, chairman and presi
dent, and Arthur G. Bridgewater, Bill
Gossett and Don Echtermeyer, vice
presidents.
Colorado National Bank: J. J. Dur
kin, senior vice president; E. Huff
man, vice president, and J. L. Guyer,
correspondent bank officer.
Denver U. S. National Bank: Neil
F. Roberts, president; D. R. Ferrel,
George Alff and Kent Olin, vice presi

Adams, president; Carrol L. Stubbs,
senior vice president; W. R. A lex
ander, senior vice president and trust
officer, and Bruce D. Alexander, J.
Rodney Uhrich and Royce B. Clark,
vice presidents.
Kansas City
City National Bank & Trust Com
pany: John J. Kramer, executive vice
president, and Roy A. Thompson and
George W. Sherman, vice presidents.
Commerce Trust Company: Carl
Charlson and B. M. Lamberson, sen
ior vice presidents, and David D.
Bryan, assistant cashier.
First National Bank: Gordon E.
Wells, executive vice president; Olney
D. Newman, senior vice president,
and Eugene B. Foncannon, vice presi
dent.
Lincoln
First National Bank: Dale M. Shoe
maker, vice president, and Allen Nor
ris, vice president and ag representa
tive.
Los Angeles
Security-First National Bank: James
C. Barrett, Jr., vice president, and Joe
Bennett, assistant vice president.
United California Bank: James L.
McElney, vice president.
New York
Chase Manhattan Bank: John S.
Hejinian, second vice president, and
John E. Donaldson, representative.
First National City Bank: R. B. Silleck and A. W. Peters, vice presidents.
Irving Trust Company: Mr. and
Mrs. W illiam F. Klausing, assistant
vice president.
Manufacturers Hanover Trust Com
pany: Donald H. McCree, Jr., assist
ant vice president.
Omaha
First National Bank: Don R. Ostrand, vice president, and G. Robert
Brown, assistant vice president.
The Omaha National Bank: Fred
Douglas and David R. Johnson, vice
presidents.
Bank Service and Equipment Firms
Bankers Service Corporation: Rob
ert C. Wilson, president, and M. E.
Karsten, executive vice president.
Central States Health & Life Com
pany, Omaha: Bill Hoffman, E. V.
Guentzel and Carl Bloom.
Diehold, Inc., Denver: R. F. King,
regional manager, and Wm. Kelley,
sales engineer.
National Fidelity Life, Kansas City:
Merlin Menk, Jerry Steffen and Dick
Welle.
Old Security Insurance Companies,
Kansas City: F. N. Coulson, Jr., and
Ross Forbis, vice presidents.
No rthwestern Banker, M ay , 1967

C o lo ra d o

News

rado Farm Bureau, to the board of
directors.
Mr. Hoffman was born in Loveland
in 1923, was graduated from North
High School in Denver in 1941 and
started with Central Bank the same
year.
Mr. Brooks joined Central’s staff
when his late father became presi
dent in January, 1947. At that time,
total resources were $8,865,022.

Donald Hoffman Is Named
President of Central B&T
Directors of Central Bank & Trust
Company, Denver, elected Donald D.
Hoffman as president of the bank.
He was form erly executive vice presi
dent. He succeeds Max G. Brooks,
who asked to be relieved of the duties
of that office which he had held con
currently with the position of chair
man of the board since the death of
his father, E l w o o d B r o o k s .
Max
Brooks will continue as chairman and
chief executive officer.
In further action, directors ad
vanced R. J. (Jim) Nelson, a staff

D. D. H O F F M A N

member since 1950, from senior vice
president to succeed Mr. Hoffman as
executive vice president. Stockhold
ers also elected Mr. Nelson and Dean
R. Kittel, administrator for the Colo-

actions
speak
louder
than
adjectives
m

correspondent
banking
Since 1860,
the ACTION BANK
firs t o f a ll!

The
First National Bank
o f Denver
17th and WELTON
t

Northwestern Banker, M ay, 1967

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Federal Reserve Bank of St. Louis

R. J. N E L S O N

Moves To Loveland
Ray G. Payton, vice president and
director of the Bushton State Bank,
has been named trust officer of the
First National Bank in Loveland, ac
cording to Paul Rice, president of the
bank.
Mr. Payton served two years in the
trust department of the Commerce
Trust Company, Kansas City, and for
four years was a practicing attorney
specializing in probate and tax work.

Present “ Trees” to City
Instead of the time-honored key to
the city, the American National Bank
of Denver last month presented a
tree. In fact, they presented 1,500
honey locust trees to beautify the
city.
The third annual gift of trees to
the city from American National will
be supplemented by another 6,000
trees to be given out early in May at
the bank.

New Officers for Denver AIB
Newly elected officers of the Denver
Chapter, American Institute of Bank
ing, were installed last month. Tak
ing over as president is R oy Willis,
assistant vice president of the Central
Bank. John Shaddock, Colorado Na
tional Bank, is immediate past presi
dent and new education committee
chairman.
Allen Jensen, First National Bank
of Denver, and Patty Pease, Jefferson
County Bank, are the new vice presi
dents. LaRae Orullian, G u a r a n t y
Bank, is the treasurer.

Blind Receptionist Honored
Jo Ann Keyes, receptionist and tele
phone operator at the Boulevard Na
tional Bank in Denver, was the sub
ject of a feature story last month in
the R ocky Mountain News. Miss
Keyes is a normal 19-year-old young
lady in every respect except one— she
is legally blind.
David Ferguson, president of the
bank, had high praise for Miss Keyes
and noted that if all bank employees
had her determination, it would be a
much better bank.

ALBANY

CHICAGO

MEMPHIS

NORFOLK

ALBUQUERQUE

CINCINNATI

MIAMI

OKLAHOMA CITY

AMARILLO

CLEVELAND

MINNEAPOLIS

PH ILADELPHIA

COLUMBUS, OHIO

MOBILE

PHOENIX

DALLAS

NASHVILLE

PITTSBURGH

DAYTON

PORTLAND

DENVER

ST. LOUIS

DETROIT

SAN ANTONIO

EVANSVILLE

SAN FRANCISCO

FT. WAYNE

SEATTLE

FT. WORTH

SHREVEPORT

HARTFORD

SPOKANE

HOUSTON

SPRINGFIELD, MASS.

WILLIAM IRBY
ATLANTA

TAMPA

INDIANAPOLIS
LLOYD OLSON

BALTIMORE

LOS ANGELES

BIRMINGHAM

LOUISVILLE

NEW ORLEANS

TULSA

BOSTON

MADISON

NEW YORK

WASHINGTON, D. C

TUCSON

50 good reasons for doing business with Commerce Trust:
1. William Irby
2. Lloyd Olson
3-50. Forty-eight cities
with fast, one-plane transit service to Kansas City
Is it any wonder that so many banks do
business with Commerce Trust? Direct oneplane, transit service from 48 of the nation’s
50 largest cities to Kansas City makes
our location the most accessible in the
nation.
And no other bank in our wonderfully-

central location can match Commerce Trust
men like Bill Irby and Lloyd Olson, or offer
you the benefits of completely automated
transit service. With our own post office
and a complete night transit department,
we are staffed, equipped, and ready to help
you reduce your float.

COMMERCE TRUST COMPANY
Kansas City, Missouri

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Federal Reserve Bank of St. Louis

M e m b e r Federal D e p o s it Insurance C o rp o ra tio n

Northwestern Banker, M ay , 1967

C o lo ra d o

News

H unk o f D en ver M a k e s P r o g r e s s

would be offered by Denver U. S.
First step was a teaser ad campaign.
This informed the public that “ Some
thing new is coming to Denver U. S.”
In addition to media advertising, five
separate mailings, during the months
of February and March acquainted
33,000 Denver U. S. checking custom
ers and 3,000 Denver area merchants
with the service.

One Million Cars

INTERIOR REMODELING of the four-story Bank of Denver building was being com
pleted at the end of April, and new facing for the exterior on three sides should be
finished by September 30, according to Walter C. Emery, pres. The bank’s area will be
increased by 4,000 square feet, as well as affording two drive-up windows and space
for future installation of five free-standing drive-up units. The 120-room Standish
Hotel which occupies the upper three floors of the bank building also is being remodeled
and modernized.

The “W orld’s Largest Motor Bank”
last month recorded the arrival of the
1,000,000th car for drive-through serv
ice on the occasion of its third anni
versary in April.
The one-millionth driver entered the
Denver U. S. National Bank motor
facility on April 6 and was greeted by
Board Chairman Roger D. Knight,
Jr., and President Neil F. Roberts.

in tro d u c e “ C heek C asher **
OR several years, Denver United
States National Bank had sensed
there was a need for a service to aid
both the customer and the merchant
in today’s growing “cashless” society.
In late fall of 1966, a market research
study was launched by Denver U. S.
to investigate two problems that are
present in a metropolitan trade area
of one million people: (1) The dif
ficulty an individual has cashing a
personal check with an unfamiliar
merchant. (2) The merchant’s prob
lem of increasing numbers of “bad”
checks. Tw o surveys conducted by
the bank verified the magnitude of
these problems; therefore, Denver U.
S. immediately began developing a
service to alleviate them. Result of
the w ork is the Guaranteed Check
Card— “ The Check Casher”—the first
such c u s t o m e r - m e r c h a n t oriented
service to be provided in the Denver
area.
This new Guaranteed Check Card
service provides identification for the
customer for the cashing of personal
checks on his Denver U. S. National
Bank account and guarantees to the
participating merchant that the check
will be honored by the bank for any
amount up to $100.
The Guaranteed Check Card will
save Denver U. S. customers time be
cause no other identification is needed.
As it is not a credit card, no line of
credit must be established. Having
proved financial responsibility to the
bank, the customer will be issued a
Guaranteed Check Card at no cost.
New customers without references
from their previous bank will have a

N o rthw estern Banker, M ay, 1967

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Federal Reserve Bank of St. Louis

short waiting period before being is
sued a Card.
The merchant will benefit by being
guaranteed that any check properly
accepted for up to $100 from a Denver
U. S. customer will be solidly backed
by the bank. He needs no special
equipment, nor does he need to fill
out any special forms to process these
checks. He merely writes the code
number and expiration date of the
GCC on the back of the check and
handles it the same as any other
check he might receive. The mer
chant does not have to bank with
Denver U. S. and this service will cost
him nothing in discounts or fees. He
will be protected from loss and will
know that a GCC proves the reliabil
ity of convenient, solid Denver U. S.
checking accounts.
On March 15, 1967, 40,000 Guaran
teed Check Cards were mailed to
some 85 per cent of the Denver U. S.
checking customers. These cards are
now being honored by approximately
3,000 Denver area merchants. Since
the Card is good only when presented
with pre-printed Denver U. S. checks,
it cannot be used with payroll or
counter checks. The Card is, of
course, honored by all Denver U. S.
tellers.
The responsibility o f introducing
the Guaranteed Check Card fell on
the shoulders of the Bank Operations
Division with Vice President Donald
Buchanan as project chairman. It
was decided that a dual-communica
tions effort must be made: (1) To in
form the merchants. (2) To tell the
general public of the new service that

1,000,000th car to go through Denver U. S.
National Bank’s Motor Bank was driven
by Mrs. Ruth Metzler, who is shown re
ceiving a $100 savings account, commemo
rative certificate and bouquet of Colorado
carnations from Roger D. Knight, Jr.,
chmn. of the bank board.

The motor bank opened its doors
for business in April, 1964, and has
been very well received by Denver
U. S. customers. On the average, sta
tistics show that each motor bank
teller accepts 100 deposits and cashes
70 checks per day.

Berthoud Bank Marks 7 5 Years
The Berthoud National Bank last
month celebrated its 75th anniversary
with a public open house to mark the
event.

New Building in Englewood
Construction of a new 10-story, $3
million bank and financial center
building for the Continental National
Bank in Englewood was launched last
month.
The bank, which obtained a nation
al bank charter and changed its name
from Englewood State to Continental
National last month, will occupy
about 50 per cent o f the new build
ing.

W y o m in g N e w s
J. W . HAY, JR.
Rock Springs
President
Wyoming Bankers Association

A ppointed by Lusk Bank
Gene F. Lenz has been named vice
president of the Lusk State Bank, ac
cording to Dale Fullerton, executive
vice president. Mr. Lenz has been
manager o f a Cheyenne finance com
pany and prior to moving to Chey
enne was associated with finance com
panies in Des Moines, Iowa, and Den
ver.
Mr. Fullerton will continue to take
an active part in the bank but will be
devoting more time to outside inter
ests.

NABAC Elects Officers
At the recent spring meeting of the
W yom ing Chapter of NABAC, held in
Casper, new officers were elected.

They are: President, Vern J. Smith,
University National Bank, Laramie.
Vice president, Dick Scarlett, First
National Bank of Lander. Treasurer,
Andrew Semsey, S t o c k m e n s Bank,
Gillette. Secretary, Dominick Bettas,
First National Bank of Kemmerer.
New directors are: Howard Baker,
Jackson State Bank; Cliff Kirk, First
National Bank of Casper, and George
Mcllvaine, First National Bank of
Rawlins.

Check W arning System
In an effort to protect Laramie busi
ness from bad check artists, the Lara
mie Chamber of Commerce has insti
tuted a “Check Alert W arning Sys
tem” for 141 participants.

M o n ta n a

NEWS
A. S. BRUBAKER
R. C. WALLACE

President
Secretary

Terry
Helena

T h ree S p ea k ers A r e .Xatnetl far
M a p tiroup M e e tin g s in M on ta n a
ONTANA bankers start their an
M
nual series of seven group meet
ings on Friday, May 12, at Deer
Lodge. Speakers for the meetings
have been announced by A. S. Bru
baker, president of the Montana Bank
ers Association and president, State
Bank of Terry. Mr. Brubaker and
Robert C. Wallace, Helena, secretary
of the MBA, will give reports at each
meeting on association activities dur
ing the current association year.
The seven meetings are scheduled
as follows:
May 12— Group 6, Deer Lodge.
May 13—Group 7, Laurel.
May 15— Group 2, Miles City.
May 16— Group 4, Malta.
May 17—Group 5, Lewistown.
May 19—Group 1, Kalispell.

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Federal Reserve Bank of St. Louis

The program involves a chain-reac
tion series of telephone calls and de
pends completely on the cooperation
of participating firms. When a mer
chant suspects he has received a bad
check, he calls the bank on which it
was drawn.
If he determines the
check is bad, he calls the Chamber of
Commerce and the machinery begins
turning.
Through a series of calls, every par
ticipating member is informed in a
matter of minutes.

New Building in W orland
Bids have been let and construction
started on a new building for the
Stockgrowers State Bank in Worland,
according to George T. Muirhead,
president.
The new building is being con
structed on the site of the old build
ing, with the old bank building hav
ing been razed to make room. Bank
operations have been moved to tem
porary quarters across from the W or
land post office.
Completion of -the new building is
expected within a year, Mr. Muirhead
reported.

recently accepted his final payment
from the Midland National Bank. He
first retired as vice president in 1961,
however he has continued as a direc
tor of the bank until reaching the
compulsory retirement age of 70.
Mr. Hammer joined -the Yellow
stone National Bank, a predecessor to
the Midland National Bank, in 1916.
He was named an assistant cashier in
1932 and was advanced to cashier in
1935. In 1959 he was named vice pres
ident of the bank. He has been a di
rector since 1954.

May 20—Group 3, Cut Bank or East
Glacier.
“ Touch Tone in Banking,” a demon
stration of telephone access to com
puter operations and information, will
be presented by a sales representative
of Mountain States Bell Telephone
Company.
“Banking Safeguards” will be dis
cussed by W. J. Ortman, national mar
keting manager for Honeywell, Inc.
“A Report on Banking History in
Montana” will be given by Dr. K.
Ross Toole, staff member at the Uni
versity of Montana.

51 Years W ith Billings Bank
Arnold R. Hammer, who has prob
ably accumulated more years of bank
service than any other local banker,

MEMOIRS of his 51 years of service with
M idland National Bank are being shown
by Arnold Hammer (left) to John E.
Tenge, pres, of the bank.
Northwestern Banker, M ay, 1967

84
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Good seed, ample fertilizer, adequate equipment,
proper chemicals, irrigation . . . it all adds up to a lot of
capital needed by today’s farmer to be successful.
This is the “ grow power” you are called upon to
help provide for your farm customers. And when you need
help . . . call the U. S. National. Let US help you with
your agricultural loans and provide “ grow power”
for your bank.

Phone 341-8765
M e m b e r, Federal D e p o s it In s u ra n c e C o rp o ra tio n

orth
w e s te r n Banker, M a y ,
DigitizedN for
FRASER
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Federal Reserve Bank of St. Louis

1967

”

the check was a token of his convic
tion of the need for such a hospital in
Gothenburg. The new 50 to 60 bed
capacity will provide for acute and
extended care.

N e b ra sk a

NEWS
THOMAS J. ARON
HARRIS V. OSTERBERG

President
Exec. V.P.

Sponsors Explorer Post

Crete
Omaha

N eb ra sk a H ankers ta Haiti 7 0 th
i'anrentian in O m aha , M a y 7 -it
E B R A S K A bankers and their
wives will be gathering in Oma
ha at the Sheraton-Fontenelle Hotel
May 7-9 for the 70th annual conven
tion of the Nebraska Bankers Associa
tion, as reported in last month’s issue
with complete convention coverage.
A summary of the program released
by Thomas J. Aron, NBA president,
shows the three-day convention com
mencing on Sunday with the execu
tive council meeting. The opening
business session and annual banquet
will be on Monday, and closing busi
ness session and luncheon on Tues
day. Mr. Aron is president of the
Grate State Bank.

resentatives to the ABA will take
place Tuesday morning under the su
pervision of Dale E. Walkenhorst,
ABA state vice president. Dwight L.
Clements, cashier of American E x
change Bank, Elmwood, will review
“ The Nebraska Legislative Scene” in
his capacity as chairman of the NBA
committee on legislation, with de
t a i l e d c o m m e n t s by William E.
Brandt, NBA legislative representa
tive.
Dr. W. E. Kuhn, professor of eco
nomics at the University of Nebras
ka’s College of Business Administra
tion, will discuss “ The Kaleidoscope
of U. S. Banking Competition.” Clos
ing speaker will be the Hon. Elvin
Adamson, member of the Nebraska
legislature, who is a rancher from
Valentine.
The 70th annual convention will
c o n c l u d e Tuesday with the noon
luncheon.

Surprise Birthday Gift
H O N . N. T. T I E M A N N

W . W. A L E X A N D E R

Assisting him at the convention
will be Marion R. Morgan, vice presi
dent of the NBA and president of the
First National Bank, El wood.
The first session Monday afternoon
will feature an address by the Hon.
Norbert T. Tiemann, Governor of Ne
braska, who is w ell known in the
state as president of the Commercial
State Bank at Wausa. He will be fol
lowed to the platform by W illis W.
Alexander, Jr., president of Trenton
Trust Company of Trenton, Mo., and
president of the ABA state bank divi
sion. A special guest at this time will
be C. R. “Bob” Haines, acting director
of banking for Nebraska.
The convention banquet will take
place in Omaha’s Civic Auditorium,
just a two-block walk north of the
Sheraton-Fontenelle Hotel. The eve
ning e n t e r t a i n m e n t will be Mai
Dunn’s Orchestra playing “ The Hits
of the Big Band Era.”
The election of new Nebraska rep

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Federal Reserve Bank of St. Louis

Mr. and Mrs. William Kittenbrink
demonstrated recently for their fel
low townspeople of Gothenburg, Neb.,
what it feels like to receive a genuine
surprise birthday gift— only this time
the usual process
was reversed.
The occasion
w a s th e 89th
b i r t h d a y of Mr.
Kittenbrink, who
is p r e s i d e n t o f
the F i r s t State
Bank in Gothenb u r g. H e a n d
Mrs. Kittenbrink
appeared before a
WM. K ITTEN BRIN K
meeting of the lo
cal committee promoting a $650,000
community hospital and took the
group completely by surprise by pre
senting a check to the fund for $100,000.
The only stipulation with the gift
was that voters approve a $500,000
bond issue for the hospital. Mr. Kit
tenbrink spoke only briefly at the
meeting, telling the committee that

L. V. Lane, president of the Am eri
can National Bank of Kimball, has
announced that the bank is sponsor
ing a Boy Scouts of America Explorer
Post, the first such Post in the Ne
braska Panhandle area.
Explorer Scouts are senior scouts
in the upper teens. They meet every
two weeks in the community room of
the bank. Their special project at
this time is learning bank operations
during these meetings in the bank.

Opens Commodity Department
First Nebraska Securities, Nebras
ka based investment firm, has an
nounced the opening of a complete
commodity department with an expe
rienced staff, according to an an
n o u n c e m e n t by Thomas Vaughn,
manager of the newly organized com
modities department.
Mr. Vaughn said the new depart
ment is geared to give service in all
commodity futures, particularly live
cattle futures, which are of special
interest to cattlemen, feeders and
farmers.

Joins Bellevue Bank
Colonel Ellsworth L. Merkel, who
retired from the Air Force March 1,
1967, has joined the Bank of Bellevue.
Colonel Merkel, who will be a vice
president and di
r e c t o r of the
bank, will man
a ge th e b a n k ’ s
facility at Offutt
A ir F o r c e B as e
and will super v i s e all b a n k
services as they
p e r t a i n to t he
military.
In announcing
E. L. M E R K E L
this appointment,
Hugh Campbell, president of the
Bank of Bellevue, explained that
Colonel Merkel’s Air Force back
ground and experience will greatly
strengthen the bank’s ability to meet
the specialized needs of military personnel.

Bassett Bank Moves
Into New Building
The Commercial Bank of Bassett
has moved into its new bank building
and has been conducting business in
the new quarters since March 20.
Dale W. Rees, vice president, an
nounced that the formal opening will
be held at a later date.
Northwestern Banker, M ay, 7967

86
enced personnel who are being pre
pared for positions of greater respon
sibility.
* * =k
An unusual collection of rare an
tique watches arrived in Omaha for
an exclusive one-week showing at the
Motor Bank of the South Omaha
Stockyards National Bank at 24th and
L. The Braniff plane bringing the
priceless watches was met at Eppley
Air Field by an armored car which
transported the collection to South
Omaha with a police escort.

WO Omaha banks received awards
last month for a r c h i t e c t u r a l
beauty and design of their buildings
and grounds.
They were among 10 winners an
nounced in the seminannual competi
tion sponsored by the wom en’s divi
sion of the Omaha Chamber of Com
merce to honor new and newly re
modeled buildings for achitectural ex
cellence and i m p r o v i n g neighbor
hoods.
In the new construction category,
Security National Bank at 3500 Farnam Street, was selected for its taste
fully designed new building.
A special award was given to North
Side Bank, 32nd and Ames Streets, for
beautifully designed and landscaped
park by the bank.
* * *
Mortgage financing of $11,500,000
with open end provisions which could
raise the amount to $15,350,000 will
be provided for the Westroads Shop
ping Center by Teachers Insurance &

N o r t for
h w eFRASER
s te r n B anker, M a y , 1967
Digitized
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Annuity Association of America, New
York.
This was announced by James W.
Rouse & Company, Inc., Baltimore,
Md., mortgage broker.
Interim construction financing is
being furnished by Dovenmuehle,
Inc., and the Continental Illinois Na
tional Bank, both of Chicago.
* * *
James P. Kineen of Chiles & Com
pany of Omaha attended the recent In
stitute of Investment Banking.
The week-long Institute is spon
sored by the Investment Bankers As
sociation of America in cooperation
with the Wharton School of Finance
and Commerce on the University of
Pennsylvania campus in Philadelphia.
A three-year executive development
program for investment bankers, the
Institute is designed to develop indi
vidual leadership ability and to foster
efficiency in all phases of investment
banking operations. The Institute is
an invaluable program for experi

WILLIAM F. GRAVES, a.v.p. and adv.
mgr., views antique watch collection with
Mrs. Neel Scheffey.

The 35-watch display, valued at
over $50,000, but actually priceless be
cause the items are irreplaceable, is
from the private collection of Zale
Jewelry Company of Dallas. It was
acquired over many years of w orld
wide travel by Morris Zale, company
founder.
The watches, dating back to the
16th Century, were brought to Omaha
by Mrs. Neel Scheffey of Dallas, Zale’s
public relations representative. Meet
ing the plane were Bernard Sullivan,
manager of Zale’s South Omaha store,
and bank officials, w ho planned the
showing as a part of the Nebraska
Centennial celebration.
The oldest watch in the collection is
an e x t r e m e l y rare and historical
“ Nuremberg Egg.” The conservative
date of this watch is 1590 or earlier.
Also included is an especially rare
combination watch and snuff box,
watches designed in the form of a
basket, others shaped like musical in
s t r u m e n t s , and s u n a nd m o o n
watches, many of them jeweled or
enameled in exquisite detail.
Nearly all of the watches are hand
crafted designs, made by the finest
watchmakers of their time.
The collection has been on national

PUNCH TAPE
and ONB Computer
Service please
The National Bank
of Neligh
J o h n G l a n d i , E x e c u t i v e V i c e P r e s i d e n t , te lls w h y -

“Our punch tape system has been ‘clean as a
whistle.’ No items leave the bank. No unencoded
items to worry about. The transition to this
system was very smooth.”
“We saved hiring- an additional person
and hold hours to 38 per week, mini
mizing- overtime.”

“ Tape takes less time than the old
proof machine, listing the account
number, amount, for both deposits
and checks.”

“ The data center does all the posting
so we sold off $33,000 worth of equip
ment, buying one F-1500 costing
$10,000.”

“ In the future, I expect tape trans
mitted to the ONB Computer Center by
‘telephone’ to provide us with an even
faster operation.”

W h i c h e v e r electronic d a t a p ro cessing m e t h o d you a re i n te re s te d in, we w o u ld w e lc o m e an o p p o rtu n ity o f p ro v id in g
you c o m p l e t e info rm ation . W r i te or p h o n e the C o rr e s p o n d e n t Ba nk D e p a r t m e n t t o d a y A r e a 4 0 2
3 4 1 -0 1 0 0

THE OMAHA NATIONAL B A N K
Computer Centers at: Omaha • Grand Island • Scottsb/uff

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Federal Reserve Bank of St. Louis

N orthw estern Banker, M ay , 19 67

N ebraska

News

S ta ri N ew lini hi ini/ in P on en

ARCHITECT’S DRAWING for new Bank of Dixon County building.

is underway on
the new building for the Bank of
Dixon County in Ponca, according to
F. R. Kingsbury, president. The bank
will expand from its present 750
square feet of floor space into 2,400
square feet in the new building. The
facilities will include a drive-in teller
window, open counter teller area, con

ference room, private office, officers’
area and bookkeeping area, as well as
a new vault.
The frame o f the building will be
structural steel, with the exterior
made of rock and glass. The building
will be air conditioned. Parking lot
will be provided in the rear of the
bank.

tour for several years, with exhibits
at colleges and universities, civic cel
ebrations, and other special events. It
was recently shown at the Smithson
ian Institution in Washington.
* =i= *
Phillip J. Tierney of Harris, Upham
& Company, Omaha, has announced

that plans are progressing on sched
ule for the Nebraska-Iowa Investment
Bankers Field Day scheduled for May
16 and 17 in Omaha.
A cocktail party, Calcutta auction
and dinner are scheduled for the eve
ning of May 16 at Omaha Athletic
Club, commencing at 5:30 p.m.

o n s t r u c t io n

The Field Day will be held at the
Omaha Country Club starting at 11:00
a.m. Golf tee-offs start at 11:30 a.m.
Dinner will start at 7:00 p.m., fol
lowed by awarding of prizes.
Committees have been appointed as
follows:
Door prizes: Bruce Haney, Chiles &
Company; John Frenking, J. Cliff
Rahel & Company, and Bruce Gilbert,
First Nebraska Securities, Inc.
Ticket coordinators: Darrel Gottsch,
Burns Potter and Company, and Wm.
Stone, Merrill, Lynch, Pierce, Fenner
& Smith.
Golf and Calcutta: Mike Van Horne,
Van Horne Investments, Inc.; Robert
S. Kirke, Shaw-McDermott & Compa
ny, Des Moines, and AValter Horning,
G. H. W alker & Company.
Squawk Exchange: Frank Williams,
Robert E. Schweser Company; Joe
Kennedy, Dean W itter & Company,
and Joe Haller, Chiles & Company.
Tickets: Jean Gardiner, Rosalee I jo gan, Nebraska Investment Bankers,
1003 Omaha National Bank Building.
For general information, Iowa mem
bers may contact John Hunt, IowaDes Maines National Bank, or Nor
man Conway, Jr., Conway Bros., both
of Des Moines. For golf, Iowa mem
bers should contact Robert Kirke,
Shaw-McDermott & Company.

B ecau se it’s the o n ly b a n k in the St. Joseph stock yards, the
F irst Stock Y ard s B a n k does b u sin ess w ith th em a ll-s h ip p e r s ,
fe e d e r s , c o m m is s io n m e n , d e a le r s , tr a d e r s , T h e
Stock Y ard s C om p an y and the packers.
W h e n you need the services of a b an k that k n o w s
the livestock in d u stry from one end to the other —
call F irst Stock Y ard s B ank.

F IR S T ST O C K Y A R D S B A N K
N o rth w e s tern

Banker,

May, 1967

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

The NBC Patio Room at the NBA Convenv

tion will be strictly for good times.
So we hope you'll drop in on the Mezzanine before
and after the meetings. Relax, enjoy

the refreshments, see your friends. And meet your
hosts from NBC— your Capital City Correspondent.

—

V—

~ —

National Bank of Commerce . . . in Lincoln
^ V-_______S v.

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

,r-0>___ M

Northwestern Banker, M ay, J967

90
These dates coincide with the Univer
sity of Nebraska vs University of
Minnesota football game in Nebraska
University stadium.

HILES & COMPANY, Omaha in
vestment banking firm, has ap
pointed George E. Easley manager of
its Lincoln, Neb., office in the Stuart
Building at 1321 “ P” street.
Mr. Easley is a graduate of the Uni
versity of Notre Dame where he
earned a BBA degree with a major in
finance. Following six months of
training on the Midwest Stock Ex
change, he attended Northwestern
University’s special school on the New
York Stock Exchange operation and
took further training in their security
analyst courses. For the past four
years he has been an active stock
broker with another Lincoln firm.

B atik

A Lincoln native, Mr. Easley is a
first lieutenant in the Nebraska Air
National Guard and a member of the
Lincoln Optimist Club and the Knights
of Columbus. He is president of the
Lincoln Midget Football program and
chairman of the Catholic Social Serv
ice Bureau Advisory Board.
In addition to the Omaha and Lin
coln offices, Chiles & Company also
maintains offices in Lexington, Neb.,
and Vermillion, S. D.
=t= * *
The First National Bank & Trust
Company of Lincoln will host its an
nual Correspondent Bank Conference
in Lincoln on September 29 and 30.

G ets C en ten n ial

National Bank of Commerce last
month lowered its 90-day CD date to
individuals to 4% per cent, according
to Robert A. Wekesser, senior vice
president. Larger CD’s or those re
quiring pledging will be at a loAver
negotiated rate.
* * *
Nebraska Governor N. T. Tiemann
met with Nebraska bankers and busi
ness executives in the Nebraska Cen
ter for Continuing Education last
month to discuss establishment of a
state business development corpora
tion. A bill authorizing this type of
corporation (LB853) was introduced
in the legislature by Gov. Tiemann
and the Judiciary Committee recom
mended it for passage.
The purpose of the corporation is
to assist Nebraska companies with
necessary intermediate capital financ
ing. The pool of funds would largely
be made up of funds invested by
financial institutions. The Small Busi
ness Administration could match the
funds to double the capital pool.
Taking part in this effort and in the
one-day conference was the Nebraska
Bankers Association.
* * *
Two investment bills were killed in
the legislature last month. UB303 and
LB304 would have given Nebraska
cities under 100,000 population broad
er authority for investment of funds
in local banks through CD’s or time
deposits.

Hosts Agricultural Forum

ONE OF FOUR PAINTINGS being prepared for the Otoe County National Bank, N e
braska City, is being shown in photo above by the artist, Mrs. Lorraine Kimmel, to
Don Roberts, president of the bank.

S A PART of the Centennial Cele
bration for the State of Nebras
ka, the Otoe County National Bank
recently put on display the first of a
series of four paintings being done
especially for the bank. As shown in
the accompanying photo, the artist is
Lorraine Kimmel, wife of R. P. Kimmel, one of the bank’s directors.
Otoe County National celebrated its
own Centennial tw o years ago. The
bank was opened May 8, 1865. New
buildings were built and occupied in
1882, 1916 and 1963.

N o rth w e s te rn

B anker,

May,

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

1967

The first picture finished by Mrs.
Kimmel and shown here took her 150
hours. The painting shows the first
high school, courthouse, the bank,
early day stagecoach, the blockhouse
used for protection against Indians,
first Methodist Church, stagecoach
operation, early day oxen travel, and
river crossing by boat. Nebraska City
was the crossing point for pioneers
going west on the Mormon Trail.
Mrs. Kimmel expects to have the
other three panels completed for the
bank later this year.

An Agricultural Credit Forum was
sponsored recently by the Otoe Coun
ty National Bank of Nebraska City,
according to Donald M. Roberts, pres
ident.
The meeting was presided over by
Carroll R. Brand, assistant vice presi
dent and farm representative, who in
troduced the featured speaker, P. A.
Mack, agricultural loan officer of the
Harris Trust and Savings Bank, Chi
cago.
Approximately 200 customers and
guests registered for the drawing
which climaxed the meeting. A check
in the amount of $83.33, which repre
sents the interest on $1 million for
one day, and other prizes were given.
The Otoe County National Bank
also sponsors an annual “ Cattle Tour”
to various points of interest each fall
as an additional service to its farm
customers.

91
i

M eet Julius Ried
Roger Cunningham

A llen Norris

...a man behind
the men you know
at the
Julius Ried, Assistant Cashier, is in charge of
the Proof-Transit Department at the "First.”
He is a perfectionist with 22 years of experience
in operations. The very type of man you would
select to provide you with fast and dependable
transit service.
Maybe you have met Julius or have had occasion
to talk to him on the phone. If you have, you
know he’s a man with many interests. Likes to
bowl, play cards, and tackle intricate woodwork
ing projects. He constantly seizes opportunities
for self-improvement as witnessed by his comple
tion of numerous courses offered by the A.I.B.
and the University of Nebraska. But, most of all,
Julius enjoys doing things that involve total
family participation. Things he, his wife, and
their two children, ages 12 and 7,
can enjoy together.
At work or at play, Julius is a "goer”
...the type that gets things done,
and done right.

FIRST NATIONAL BANK
&Tpust Company of Lincoln
12th and N Street • Lincoln, Nebraska
M em ber F .D .I .C .

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Federal Reserve Bank of St. Louis

N orthw estern Banker, M ay, 1967

N ebraska

News

MEMBERS of the N B A committee on bank management who were present for the
meeting are, from le ft: Del L. Sommerhalder, exec. v.p.., Farmers State, Aurora; James
H. Oliver, pres., Ravenna Bank; T. L. (Ted) Armbruster, cash., State Natl. Bank of
W ayne; H. J. “Dutch5’ Luchtel, comm. chmn. and v.p., Columbus Bank, Columbus, and
John L. Lewis, v.p. and cashier, Bank of Peru.

O n e -n a y Sem inar a R ea l S u ccess
By

BEN H A L L E R , JR.
Editor

R E S O U N D I N G s u c c e s s was
chalked up for the Bank Man
agement Seminar sponsored at Kear
ney by the Nebraska Bankers Asso
ciation.
The one-day meeting was
held this year in lieu of the three-day
session held the past 20 years in June
on the campus of Doane College at
Crete, Neb. Association officers and
members of the committee decided a
change of pace would be in order and
their judgment was confirmed by
more than 200 bankers who registered
for the new meeting.
The program theme centered strict
ly on those decisions that must be
made by management in the area of

personnel, financing, profits and man
agement actions.
Presiding officer was H. J. “ Dutch”
Luchtel, chairman of the NBA Bank
Management C o m m i t t e e and vice
president of Columbus Bank & Trust
The entire
Company, C o l u m b u s .
meeting was held at the Holiday Inn
in Kearney, just off the Interstate
highway.
Registration began Tues
day evening, wThen a cocktail hour
and dinner was held. Business ses
sions began promptly at 9:00 a.m. the
next morning and adjourned exactly
at 3:30 p.m. as billed in the program.
Robei’t P. Folsom, vice president
and investment officer, Fourth Na

tional Bank & Trust Company, W ich
ita, Kan., was the first speaker, dis
cussing “Liquidity Requirements and
Asset Allocations.”
He emphasized
that any rule of thumb was good
only as a guide to an individual bank.
His bank has a continuing program
for analyzing volatility of deposits pe
riodically in 10 classifications of de
posits.
Over a period of time this affords a
perspective from which a volatility
factor can be developed for each clas
sification. The formula arrived at for
his bank then serves as the guide for
investment of excess funds. In the
past four years Mr. Folsom ’s bank
has decreased its government port
folio from $44 million to $22 million
while deposits have increased, thus
freeing up more than $20 million for
loans and tax exempt bonds with the
subsequent increase in earnings.
In response to a question, Mr. Fol
som said his bank looks on industrial
revenue issues as not true municipal
bonds but rather as unsecured com
mercial term loans with little or no
compensating balance; consequently,
his bank avoids such issues.
Joseph C. Fenner, vice president,
First National Bank of Chicago, gave
a slide presentation on “ Use of De
bentures for Capital.” He presented
a strong case for this source of new
capital, but also listed just as care
fully the drawbacks and pitfalls with
banks in certain circumstances.
Among the advantages he listed
was the dollar savings in issuing de
bentures as opposed to new capital,
since debenture interest is tax de
ductible, whereas dividends are paid
out after income taxes. In addi
tion, for a bank needing new cap
ital funds, and using no projection in
net income, the debenture issue costs

SPEAKERS at Nebraska Bank Management Conference in
Kearney were from left to right: LEFT— John L. Sullivan, Jr.,

“Dick” Spear, district sales mgr., Northwestern Bell Telephone,
and George Toogood, state sales mgr., General Telephone, Co

pres., Roeland Park State Bank, Mission, Kans.; CENTER—
Joseph C. Fenner, v.p., First Natl., Chicago; RIGHT— R. F.

lumbus, demonstrating “ Touch-Tone” data dialing to four Ne
braska bankers.

N o rth w e s tern

Banker,

M ay,

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

1967

T H R O U G H 81 Y E A R S O F S O L I D G R O W T H
Like the sturdy oak that has stood solid and
secure against the storms, South Omaha Stockyards National Bank has weathered depressions,
panics and national crises fo r 81 years, to emerge
a stronger bank with an unshakable soundness.
Located in the heart o f the w orld’s largest live
stock market, South Omaha Stockyards National
has a unique and specialized experience in all
banking m atters concerned with agriculture and
the livestock industry.
But m ore than that . . . assets in excess o f $40
million attest to a grow th, a strength, a depth o f
experience in all areas o f bank service outside the
agricultural and livestock fields, as well. May we
be o f help to you ?
M e m b e r F e d e ra l D e p o s it In s u ra n c e

C o r p o r a t io n

Northwestern Banker, M ay, 1967

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

N ebraska

News

stockholders less than half as much
as a capital stock issue would cost.
Also, with the interest cost on deben
tures fixed, the net income per share
will increase at a faster rate than net
income. This is labeled as “ leverage”
or “ trading on equity.” A bank show
ing such favorable gains is in a better
position later, Mr. Fenner noted, to
sell stock because of its better posi
tion in the eyes of investors.
For banks in a good capital posi
tion, debentures can be issued in lieu
of CD’s, he said, since reserves and
FDIC assessment costs do not apply
as they do on time deposits.
Am ong the drawbacks, Mr. Fenner
stated, are the fact a debenture is
pure and simple a debt and must be
repaid. Secondly, the long-term inter-

est at a fixed rate could become bur
densome. Third, there are statutory
limitations on amount of debt a bank
may incur.
William H. Osterberg, secretary of
the NBA, gave a lucid, comprehensive
rundown on the bills currently in the
legislature that could affect banking
in any way. One bill of prime inter
est was the combination sales tax-income tax bill sought by Governor N.
T. Tiemann. It has since been en
acted into law with the emergency
clause that makes the 2Vz per cent
sales tax effective in May. Subse
quent legislation passed has elimi
nated the intangible tax law that was
burdensome to banks, particularly if
the new taxing law passed. This has
now all been resolved as NBA spokes
men hoped it would.

N BA
OMAHA, MAY 7 -9
Suite 127-129

E d w in V a n

H o rn e

IOWA GROUP
MAY 9 -1 2 , MAY 2 3 -2 6

. . . A GOOD T IM E
TO GET TO G ETH ER !

Investme
OMAHA

John

Van

H o rn e

In c .
LINCOLN

John J. Sullivan, Jr., president, Roeland Park State Bank, Mission, Kan.,
talked about “Employee Salaries and
Benefits.” His thesis was that banks
need to hire competent young men
who are willing to go through the
learning steps of the banking busi
ness, accept the increasing responsi
bilities at new promotion levels, and
serve as the management succession
pool so badly needed in many banks
today.
To acquire this supply of young
men he offered two basic solutions.
1. Recruit effectively on college cam
puses with the incentive to young
men that they will have a challenging
career in which real service to people
is involved. 2. Be willing to pay com
petitive salaries and fringe benefits
that other industries are offering to
lure these college graduates into their
businesses.
Neil F. Roberts, president, Denver
U. S. National Bank, Denver, and
president of the Colorado Bankers As
sociation, covered the subject “Chart
ing a Management Course,” once the
right men have been selected and put
at various management levels. His
talk was an excellent review of the
successful program being carried out
in his own bank and a review of this
particular speech will appear in the
next issue of N orthwestern B anker
so our readers may have more de
tailed information.
W. W. Cook, Sr., president, The
Beatrice National Bank & Trust Com
pany, Beatrice, had “ Profit and Bank
Services” as his subject. Mr. Cook
reviewed a number of services in
each bank, illustrating with consid
erable humor how a real profit pic
ture in the bank depends on realistic
pricing of services and not giving
them away.
R. F. Spear, district sales manager,
Northwestern Bell Telephone Compa
ny, Omaha, gave the final presenta
tion, “ Touch Tone Telephone in Bank
ing.” This illustrated demonstration
utilized a touch tone phone setup that
was linked to the Bell System com
puter in New York. Utilizing touch
buttons rather than the conventional
dial system, he transmitted numbers
representing identification card, name,
type of t r a n s a c t i o n and d o l l a r
amount, and received oral response
from the computer. Approximately
40 oral words or phrases have been

YOUR STATE BANKERS ASSOCIATION
OFFICIAL SAFE, VAULT AND
TIMELOCK EXPERTS

F. E. DAVENPORT & CO .
OMAHA

N o rth w e s te rn

B anker, M a y ,

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Federal Reserve Bank of St. Louis

1967

First National Bank hosts 750 Midwest bankers and
livestock men at second annual Chuck Wagon Roundup.

Studying a pen of hogs used during part of Chuck Wagon program are (L -R ) Meru Aegerter, Asst. V. P., First National
Bank; Dr. L. J. Sumption. Lethbridge. Alberta, Canada, speaker; Paul Jensen, Hog Builders, Inc., speaker; Don Ostrand,
V. P. in charge of Correspondent Banking Dept., First National Bank, and Fernandes Chaves, Spanish hog producer.

A t First National Bank of Omaha the livestock business is
important business.
Y et its ever changing character makes expert study and
analysis more important than ever.
T o assist bankers and livestock people throughout the midlands
with their efforts to keep abreast of the business, First National
Bank assembled a host of experts to review and discuss every
m ajor aspect of the business during the second annual Chuck
W agon Roundup held in Omaha recently.
The overwhelming response to this program enforces our
belief that “ it pays to provide a little extra” in today’s
competitive world.
If you have a livestock situation that needs attention, contact
the First . . .

Nebraska Bankers Convention, May 7-8-9, Sheraton-Fontenelle
Visit our Hospitality Suite # 117 during the Nebraska Bankers
Convention

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Federal Reserve Bank of St. Louis

FIRST
NATIONAL
BANK
OF OMAHA
Mem ber Federal Deposit Insurance Corporation

Always the First to Serve You.
Northwestern Bonher, May, 1967

N ebraska

News

F irst N a tion a l o f F rem on t
O eeu pies N ew

COMPLETED last month is this new First Natl. Bk. bldg, in Fremont.

CHANGE of name and change
o f location occurred almost si-

multaneously last month for the First
National Bank of Fremont. Just a

programmed into the machine, and
the touch-tone activates the desired
response when the correct numbers
are punched in the right sequence.
Assisting him was George Toogood,
Nebraska sales manager for General
Telephone Company, Columbus. After
several demonstrations of banking
functions through the equipment, the
meeting was adjourned to permit in

dividuals who had an interest to use
the equipment personally.
The success of the one-day meeting
is a good indicator that practical
meetings like this, rather than strict
ly theory, are helpful to most bank
ers. The NBA Bank Management
Committee i n d i c a t e d that similar
plans would be followed for the next
seminar.— End.

short time before moving into the
beautiful new building to house its
expanding business, First National re
ceived approval from the Comptroller
of the Currency to change its official
name to First National Bank and
Trust Company of Fremont, accord
ing to J. D. Shiermeyer, president.
Several years of planning have
gone into the new building. It is a
two-level structure of 15,000 square
feet, divided between the commercial
and installment loan departments by
a glassed-in concourse. The lower
lobby provides space for bookkeeping,
trust department, vault and lounges.
A special feature now available to
First National patrons is the drive-in
facility with twin entrances and exits,
and substantial area for customer
parking.
A public grand opening was held
over the weekend of April 22 and 23
and included special prizes selected
by an IBM sorter. Following tours
through the new building, guests
were offered refreshments and small
gifts.
A special showing for bankers was
held the following day, April 24. They
were welcomed at a buffet dinner by
Wm. N. Mitten, chairman, Mr. Schiermeyer, and other officers and direc
tors of the b?nk.

Y o u a r e I M P O R T A N T .. .

To the Correspondent Staff at

T H E F IR S T N A T IO N A L B A N K
4-th a n d

F e lix , S t. J o s e p h , M i s s o u r i

Phone: 816

Member Federal Deposit Insurance Corporation
Northwestern
Banker. May. 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

9 -2 7 2 4

Standing: John Giddens, Jack
Killackey, Roger Hegarty.
Seated: Jake Ford, Benton
O’Neal, Macon Dudley.

H O W

S A F E

Y O U R

L O A N

With the Borrower Out of the Picture ?
How often have you made what you
considered a perfectly sound loan to a
“one-man company” on heavy equip
ment and then had to sweat out a col
lection or take a loss when the borrower
died unexpectedly? We suspect this has
happened at least once to every bank
lending officer.
Used heavy equipment—trucks, cater
pillars, earth movers, and even farm
equipment such as a combine or cottonpicker—has a way of plunging down
ward in value when word gets out that
the owner is dead. Forced sales never

seem to bring the true value of equip
ment.
But you can protect your borrowers
and their heirs (and your bank, too)
against these hazards by insuring those
large-payment, short-term installment
notes under our new “ Debt-Cancella
tion Protector” plan.
Our new “ Dsbt-Cancellation Protec
tor” actually makes it possible for both
the borower and the lender to be pro
tected on loans that can (and do) run
as high as $100,000 to $1 million . . .
and at insurance rates that are practical

(and sensible) for the borrower to as
sume.
If your bank is making loans of this
type, you’ll want to know more about
our “ Debt-Cancellation Protector.” A
note or phone call to our home office
will bring more information to you.
When you know more about our
DCP plan, we think you will agree
with us that it can help make your
loans SAFER even though the borrower
does drop out of the picture.

National Fidelity now ranks among the top 12°/0
of American and Canadian life companies
ASSETS . . $44.6 Million

M o re
in s u r a n c e
can

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m id w e s te r n
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a tio n a l fid

INSURANCE COMPANY

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Federal Reserve Bank of St. Louis

e lit y

KANSAS CITY, MO. 64106
Northwestern Banker, May, 1967

L o o k in g fo rw a rd to seein g y o u
at th e M ay G ro u p M eetin g s to o

GROUP
D ATE
4
7
W e d n e s d a y , M a y 10
3
2
T h u rs d a y , M a y I I

TO W N
.D e c o r a h
C le a r L ak e
O k o b o ji

TO W N
GROUP
DATE
5
T u e s d a y , M a y 23 ..... .........
C o u n c il B lu ffs
.....................J e ffe r s o n
6
W e d n e s d a y , M a y 24
8
T h u rs d a y , M a y 25 ______
Anam osa
................C e n t e r v ille
10
F r id a y , M a y 26

“ D e s M o in e s ’ L a rg e s t L o c a lly O w n e d B a n k 99

Celebrating our fiftieth year in business.
It is our pleasure to serve you on any banking need.
Just write or call . . . Homer Jensen or Gordon Dodge

6th Ave. and Locust St., DES MOINES, IOWA 50309
PHONE 515-283-2421
Member: Federal Reserve System— Federal Deposit Insurance Corporation
Northwestern Banker. May, 7967

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

99
New this year are zip codes for
each town. Telephone numbers and
business hours have been updated, as
has much of the other information.
Extra copies can be ordered for $4
each by writing the N o r t h w e s t e r n
B a n k e r , 306-15th Street, Des Moines,
Iowa 50309.

Iow a

N EW S
DALE C. SMITH

President

A . E. LINDQUIST, JR.

Secretary

Des Moines

Rifle Display

Des Moines

Group Meeting Speakers
Pros and cons of bank charge card
systems will be discussed at the eight
Iowa group meetings this month.
Lionel S. Wishneff, director, market
research, Chase M a n h a tta n Bank,
N.A., New York, will be on the “ north
ern Iowa circuit,” speaking at Groups
4, 7, 3 and 2.

vice president and von Schrader
c h a ir m a n of the board. Cashier
Leonard W ells was promoted to execu
tive vice president and cashier. Mr.
Weidenbach continues as president on
a semi-active basis. He started his
banking career in 1910 and came to
Eldon in 1941 from Norfolk, Nebraska,
where, for many years he was asso
ciated with the National Bank of
Norfolk as vice president and cashier.
The sale was negotiated hy Bankers
Service Corporation, Des Moines.

19 6 7 Bank Directory
Now Available
Copies of the 1967 edition of the
IOWA-NEBRASKA BANK DIREC
TORY have been mailed to subscrib
ers.
Listing complete year-end figures
and current personnel for the 674
banks in Iowa and the 434 banks in
Nebraska, the new Directory serves
as the most accurate and complete
guide of its kind.

The First National Bank, Marion,
recently displayed a large collection
of antique Winchester Carbine rifles
in the lobby, according to Phil Morris,
president. The display was made
possible by Harold Marks, a gun col
lector in the area.

Marshalltown To Expand
Security Savings Bank, Marshall
town, has started construction on an
addition which will extend the present
building about 100 feet south with an
entrance to be located on east Main.
The additional space will provide
accommodations for tw o new trust
officers as well as a reception area and
four private offices for the personal
loan department, according to Ralph
M. Wilson, bank president.
He said the area form erly occupied
by the personal loan department will
be converted into a board o f directors
room and an office for the bank
auditor.
Most of the interior will be walnut
paneling and brick. Completion is set
for June.

T ipton t'om p ivtvs ituiiding
J. C H R Y S T A L

H. R. JENS EN

L. Carl Ostrander, assistant secre
tary, Marine Midland Grace Trust
Company, Buffalo, N. Y., will be the
credit card speaker for the “ southern
circuit,” speaking at Groups 5, 6, 8
and 10.
Homer Jensen, v i c e p r e s id e n t,
Bankers Trust Company, Des Moines,
will present a film on the activities of
the Foundation for Commercial Banks
in his role as Iowa chairman.

Eldon Bank Sold
Max von Schrader, Sr., chairman of
the board, and J. C. Blackford, presi
dent, of the Union Bank & Trust Com
pany of Ottumwa, have purchased
controlling stock in the First National
Bank of Eldon, from Robert Weidenbach, president, and his wife, Iona,
who has been a vice president.
At a meeting of the board of direc
tors, both purchasers were elected di
rectors. Mr. Blackford was elected a

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

ARCHITECT’S SKETCH of new building for Tipton State Bank.

PEN house was held recently by
the Tipton State Bank in its new
building, and 1,586 people registered,
according to L. D. Suchomel, presi
dent.
The new structure occupies 6,400
square feet. An attractive lounge area
greets visitors as they enter the bank.
Furnished with color TV and modern
furniture, the area serves as a meet
ing place for customers.
Along the north end of the lobby,
the officers desks are located. Each
officer has a private office adjoining
his area.

Six teller windows are situated
along the east side of the lobby. The
bookkeeping department is adjacent
to the tellers.
A walk-up window and customer
desks are added conveniences, as is
the large, well-lighted community
room in the basement.
A special breakfast was held for
businessmen with 139 registering, and
416 bankers, directors and wives at
tended a special “bankers open house.”
The bank currently has deposits of
$7,199,720, and total capitalization of
$828,387.
No rthwestern Banker, M ay, 1967

100

Iowa News

EXTERIOR of new building completed by First National Bank, New Hampton.

Open H o u se a t N ew H a m pton
VER 100 area bankers attended
an open house held by the First
National Bank in New Hampton in its
new building last month.
Designed in an early American mo
tif, the bank is both functional and at
tractive. The main lobby has a brick
tile floor, while the officers’ area is
carpeted.
A curved counter for tellers, extend
ing along the length of one side of

the lobby is a highlight of the inte
rior. Pictures and decorative items
carry out the Early American theme.
Protective equipment, including a
new vault door, was furnished by LeFebure Corporation, Cedar Rapids.

Joins Bank PKMA Staff
James Brian Watt, manager of the
marketing division of Marine Midland
Trust Company of Western New

PRESIDENT’S OFFICE — J. F. “ Rusty”
Kennedy, pres., First Natl. Bank, New
Hampton, seated in his new office, is greet
ed by IBA Pres. Dale C. Smith of Des
Moines, and Tom Feeley, architect from
Chicago.

York, Buffalo, has been named admin
istrative manager and director of re
search of the Bank Public Relations
and Marketing Association. He will
assume the post August 1.

GUARDSMAN SPMP
(Single Premium Mortgage Plan)

Earn Commission Dollars
and provide m ortgage pro te ction fo r y o u r customers:
Designed especially for bankers, this plan features:
F L E X IB IL IT Y — P rovides in s u ran ce equal to th e m o rtg a g e .
S IM P L IC IT Y — S in g le p re m iu m covers th e e n tire m o rtg a g e perio d .
E C O N O M Y — Pay one p re m iu m and save $ $ $ c o m p ared to o th e r m o rtg ag e
in s u ra n c e rates.
S E C U R IT Y — P rovides a g u a ra n te e th a t th e house w ill b eco m e a secure hom e
in ev e n t of d e a th .
W a n t th e p r o f it a b le fa c ts ?

C a ll o u r D e s M o in e s h o m e o ffic e
( 5 1 5 ) 2 8 3 -2 5 1 1 o r w r ite :

ilt t im n u u T
8 0 8 F ifth A venue

•

Des M o in e s , Iow a 5 0 3 0 9

Northwestern
Banker , May, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

•

Life / A & H / G ro u p / S u b s ta n d a rd / D en tal Plans

101

^¡J*"—y
•y /

Local Service
from the
Men from
La Salle

l
r\

( in v e s tm e n ts , fo r

)

Cy Kirk
Vice President

Max Roy
Vice President

Many of our customers have found our investment service to
be very helpful. They use it in connection with their own
portfolios and as an added accommodation to their important
customers. If you are not now benefiting from this service,
ask your man from La Salle about it.

Ron Fairs
Senior Vice President, Investments

Remember, La Salle National is big enough to provide all of
the correspondent services you need . . . yet organized to give
you the personal attention so important to a lasting, mutually
satisfactory relationship. If you don ’t already know your
man from La Salle, write and we will have him arrange a
meeting right away.

THE LOOP B A N K ...W IT H COMPLETE
CORRESPONDENT SERVICES

N A T I O N A L

BANK

135 South LaSalle Street • Chicago, Illinois 60690
Telephone:—312-782-5200

Member Federal Deposit Insurance Corporation

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

No rthwestern Banker, May, 1967

102

Iowa News

PROBLEMS IN FINANCING TODAY’S AGRICULTURE was the subject given this
panel for discussion at the Agricultural Credit Conference at Iowa State University.
Panel members included: Eugene Smith, pres., Warren County Bk. & Tr., Indianola;
Robert Patten, v.p., Monticello State Bk.; Donald Doolittle, farmer from Blairsburg;
and John M. Shanda, v.p., Home State Bk., Jefferson. Also pictured are Herbert Howell
and Everett Stoneberg (at microphone), Iowa State University Economists in charge of
the Conference.

At Ag Credit Conference, Ames

iH seu ss Changing A g C redit N eed s
EARLY 300 bankers from points
as far away as Chicago attended
the Annual Agricultural Credit Con
ference held last month in Ames. The
two-day affair is co-sponsored by Iowa
State University and the Iowa Bank
ers Association.
Again in charge of the Conference
this year were Herbert Howell and
Everett Stoneberg, well-known Iowa
State University Economists. Aiding
them were numerous top specialists
in various fields serving on the Iowa
State staff.
Subject matter presented varied
from a look at Iowa agriculture in

9 7

1980 to use of the commodity markets
to electronic data processing applica
tions in farm records.
Conference speakers in addition to
Mr. Howell and Mr. Stoneberg in
cluded W aldo Wegner, director of the
Iowa State Center for Industrial Re
search and Service; E. R. Duncan,
Iowa State agronomist; and John Tim
mons and Wallace Ogg, economists at
Iowa State University.
Other Iowa State staff members
served as resource people in a series
of workshops during the last session
of the Conference.
Representing the banking industry

ÎÀ . (B an ksJi_______

W e have been C O N FID E N TIA LLY serving
banks and bankers since 1948 negotiating
the sale of Controlling and Minority stock

Robert C. Wilson

in country banks and supplying experienced
Bank Personnel.
One of our representatives will be in attend
ance at all of the State Bank Conventions
and the Iowa Group Meetings — he'll be
glad to meet and visit with you about buying

Henry H. Byers

or selling a bank or about personnel problems.

BANKERS SERVICE CORPORATION
1301 Register & Tribune Bldg.
Des Moines, Iowa 50309
Tel. 5 15 - 2 4 4 - 3 1 13

Northwestern Banker, M ay, 1967

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

Myron Karsten

on the program were three well- ^
known “country bankers” from Iowa
who combined with an Iowa farmer
to present a panel discussion on the
subject of Problems in Financing To
day’s Agriculture. The panel is pic
tured above.
In general, each of the panel mem
bers pointed out that in his respective ^
area farm income was not keeping
pace with the need for capital on to
day’s changing fa r m o p e r a t io n s .
Banks and other lenders are being
called on to provide a greater per
centage of total capital managed.
Also stressed was the importance of
knowing the farm customer and his
operation.
Inventories, profit and
loss statements, cash flow records,
complete farm records on each enter
prise— all were mentioned as means
of knowing the prospective borrower
and his operation well enough to
make intelligent loans and be of max
imum service.
The only way to really know the
farm operation and determine man
agement ability, however, is through
continuing close contact on the farm.
This point was emphasized by each
of the bankers on the panel.
Specific points mentioned included:
1. Make efforts to insure that you
are providing all credit for a specific
farmer. Multiple borrowing from sev- A
eral sources serves to place more
strain on the farmer than he may be
able to handle.
2. How do you curb proposed ex
penditures for improvements which
may well not be needed from an in
creased production standpoint?
3. Make a stand on interest rates
and stick to it. Cost of other inputs
has risen, so why should the cost of
capital not rise also as the cost of
obtaining the money increases.
4. Accurate records must be kept
on each specific enterprise to accu
rately judge whether a profit is ac
tually being made. Records and in
telligent analysis of those records
continues to become more important.
* * *
Donald Doolittle, the Blairsburg
farmer on the panel pointed out some
interesting comparisons gained from
records of 200 farmers who are mem
bers of the Farm Business Associa
tion.
He noted that in the 10-year period
from 1955 to 1965, the following
changes had taken place on these
farms:
Operating expenses—up 90 per cent.
Fixed expenses—up 140 per cent.
Feed and livestock inventory — up
80 per cent.

103

i n

' s

i n

r l d

Let’s Discuss It At
The Iowa Group Meetings
New rates. New services. New problems and
new opportunities.

FRED D. CUMMINGS
Vice President
Correspondent Banks

And you’ve got to be up-to-the-minute on
everything.
A good reason to get together with your
Drovers men. They’re experienced, skilled,
helpful. Won’t you make it a point to see us?
BERNIE MILLER
Assistant Vice President
Iowa Representative

0 % e D r o v e r s N a t io n a l B a n k
MEMBER F.D.I.C.

47TH & A S H L A N D A V E . • C H I C A G O , I L L I N O I S 60609- P H O N E 927-7000

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

Northwestern Banker, May, 1967

104

Iowa News

MPecornh E n terta in s Eraup 4
UNIQUE presentation of direct
verification will be presented by
John Nelson, C.P.A. from Decorah at
the Group 4 meet
ing in Decorah
on Monday, May
8.
R e g i s t r a t io n
will start at 10:00
a.m. in the Col
lege Union, Luth
er C o lle g e , and
the formal after
noon meeting will
be h e ld th e r e .
M. F. C H E V A L I E R
The official pro
gram for Group 4 follows:
A.M.
10:00 Visiting and r e g is t r a t i o n ,
Lobby, College Union, Luther
College.
10:30 County officers meeting— Win
neshiek Hotel.
P.M.
1:30 Call to Order—M. F. Chevalier,
chairman, Group 4, executive
vice president, Citizens State
Bank, Postville.
Invocation—Rev. Paul Hjelle,
Department of Religion, Luther
College.
Address of W elcome—Alvin S.

2:20

2:35

3:10

3:35

Renaas, president, Winneshiek
County Bankers Association,
and executive vice president,
Decorah State Bank.
Response to W elcom e— R. L.
Jipson, president, First Nation
al Bank, Oelwein.
Greetings— Mayor E. C. Landswerk, and Dr. Calir Kloster,
vice president, Student Person
nel Services, Luther College.
Appointment of Committees—
Chairman M. F. Chevalier.
Musical Selections— Miss Anita
Larson, senior, Luther College.
Direct Verification—-John Nel
son, C.P.A., member of Hacker
and Nelson, Decorah.
Some Observations— IBA Presi
dent Dale C. Smith, vice presi
dent, Central National Bank
and Trust C o m p a n y , Des
Moines.
Current IBA Activities—Arthur
L in d q u is t , secretary, Io w a
Bankers A s s o c ia t io n , D es
Moines.
The I n d e p e n d e n t Banker—
Stanley R. Barber, president,
Independent Bankers Associa
tion, and president, Wellman
Savings Bank, Wellman.

3:50

Bank Credit Cards— Lionel S.
Wishneff, director, Market Re
search, Chase Manhattan Bank,
N.A., New York.
4:05 F o u n d a t io n for Commercial
Banks— Homer Jensen, Iowa
chairman, Foundation for Com
mercial Banks, and vice presi
dent, Bankers Trust Company,
Des Moines.
4:15 Adjournment.
5:30 Social Hour— Nob Hill (Five
miles north on Highway 52).
6:30 Banquet— Nob Hill.
7:45 Address— Max R, Clark, super
intendent, Vocational Technical
School, District 1.
8:00 Address— “ Let’s Take Another
Look,” J. B. Rowe, DX Oil Com
pany, Waterloo.
Following the dinner program, a
dance will be held at Nob Hill. Dur
ing the morning, golf privileges will
be available at Oneota and Silver
Crest Golf Clubs.
Ladies attending the meeting will
attend a luncheon and style show at
the Cliff House at 1:00 p.m. A tour
will also be made through the Norwegian-American Museum.
The group meeting is sponsored by
members of the Winneshiek County
Bankers Association.— End.

New Dumont President

YOU ARE INVITED
TO DECORAH
GROUP 4
MONDAY
MAY

An Outstanding Program Awaits You.
Winneshiek County Bankers Urge AH To Attend.
IO W A STATE BANK, CALMAR
DECORAH STATE BANK, DECORAH
SECURITY BANK & TRUST COMPANY, DECORAH
OSSIAN STATE BANK, OSSIAN
FARMERS STATE BANK, RIDGEWAY
CITIZENS SAVINGS BANK, SPILLVILLE
No rthwestern Banker, May, 1967

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

Russell L. Harrison has been ad
vanced from executive vice president
and cashier to president of the State
Bank of Dumont. He succeeds his
father, Dallas M. Harrison, who has
retired after serving the bank as pres
ident for 16 years. He will continue
as chairman of the board.
Mike Thornburgh has been ad
vanced from assistant cashier to cash
ier.

Ames Parking Facility
University Bank and Trust Com
pany, Ames, has completed plans for
a parking lot office in downtown
Ames. Construction will be finished
in late summer at the building site
between Main and Fifth Streets. The
main bank is located on Lincoln W ay
near Iowa State University in West
Ames.

Joins Williamsburg Bank
Ernest H. Kellems has joined the
Farmers Trust and Savings Bank,
Williamsburg.
Graduating from the State Univer
sity of Iowa in February, Mr. Kellems
has a degree in accounting and
finance. Prior to this he served as an
instructor at the Nike Electronic
School in the U. S. Arm y at Fort
Bliss, Texas.

105

We are Looking Forward to
Seeing You at the Iowa
Group Meetings

C H R IS T Y
ARM STRONG

LEO
KANE

LEO
SCHLUETER

CALL CHRISTY OR LEO
at 582-1841 for
Service on:
*

V TRANSIT ITEMS
V BOND PORTFOLIO
V EXCESS LOANS
V CURRENCY SHIPMENTS
V BANK OPERATIONS
V COLLECTIONS
V CREDIT INFORMATION
V TRUST AFFAIRS

On the Spot Service
for the Tri-State Area
EAST, WEST, N O R TH , SO U TH , Location is one of the reasons why American
Trust's services are always a little faster for banks in the Tri-State Area.

Its con

venient location allows banks in this area to benefit by receiving fast, efficient

american trust

correspondent banking service. ■ Christy Armstrong, Leo Kane and Leo Schlueter

a n d s a v in g s b a n k

are familiar with the Tri-State Territory and are anxious to give personal and expert

9TH AND MAIN, DUBUQUE, IOWA

service, backed by American Trust's complete staff and banking facilities.

M EM BER: FDIC • ERS

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

Northwestern Banker, M ay, Î967

Iowa News

106

W a te rlo o H o sts G roup 7 H ankers

N
invites
G

E R

ATIONALLY-FAMOUS entertain
ment imported from Chicago will
be featured as a
part of the Group
7 meeting to be
held in Waterloo
on Tuesday, May
9. The business
program will be
held at the Water
loo Elks Club,
and the formal
program will be
r

to v isit o u r n e w

IBMCOMPUTER
CENTER

A.M.
10:30
11:00
P.M.
12:00
1:30

w h ile a tte n d in g
y o u r G ro u p M e e tin g

MAY 9

1:33

W ATERLOO

1:35

It's at 315 East 5th Street,
only 2 % blocks from
convention headquarters.

Ken Young, com
puter mgr., gla d ly
w ill show you how
NBW is now bet
ter than ever equlpped to pro
vide fast, accurate
s e r v ic e on a l l
Items and collec
tions.

_______ Vhe------------- .

NATIONAL BANK
O F W ATERLOO
1 1 0 EAST PARK AVENUE

WATERLOO,
PHONE 2 3 5 -0 3 3 1

IOWA

(Area Code 3 1 9 )

Computer Center: 315 East 5th St.
MEMBER
Federal Deposit Insurance Corporation
Federal Reserve System

No rthwestern Banker, May, J967

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

1:40

2:00

2:40

3:10

3:30

. c. g ie s e

f°h o w s .

Registration — Waterloo Elks
Club.
County Association Meeting—
Elks Club.
Luncheon— Elks Club.
Call to Order— Donald E. Noller, p r e s id e n t , Black Hawk
County Bankers Association,
and president, First National
Bank, Evansdale.
W e lc o m e — L lo y d Turner,
mayor of Waterloo.
Some O b s e r v a t io n s — Dale C.
Smith, president, Iowa Bankers
Association, and vice president,
Central National Bank and
Trust Company, Des Moines.
F o u n d a t io n for Commercial
Banks— Homer Jensen, Iowa
chairman for the Foundation,
and vice president, Bankers
Trust Company, Des Moines.
Bank Credit Card Systems—
Lionel Wishneff, director, Mar
ket Research, Chase Manhat
tan Bank, N.A., New York.
Community Bankers and Iowa
Export Manufacturing — Ken
neth A. Burns, International
Trade Specialist, U. S. Depart
ment of Commerce, Des Moines.
The I n d e p e n d e n t Banker—
Stanley R. Barber, president,
Independent Bankers Associa
tion, and president, Wellman
Savings Bank.
R e m a r k s — John Chrystal, su
perintendent of banking, Des
Moines.

3:35

U. S. Savings Bonds—Glenn L.
Ingle, state director, U. S. Sav
ings Bond Division, Treasury
Department, Des Moines.
3:40 Current IBA Activities—Arthur
E. Lindquist, Jr., secretary,
Iowa Bankers Association, Des
Moines.
4:00 C o m m itte e Reports— Reid C.
Giese, chairman, Group 7, and
vice president and cashier,
First National Bank, Sumner.
4:30 Adjournment.
5:15 Social Hour— Elks Club.
6:30 Banquet— Elks Club.
7:30 Entertainment— Lonnie Shorr,
m a s te r c o m e d ia n ; Celeste
Evans, and Doug Hart & Avis
(The Comedy King of the Tight
W ire).
Golf privileges will be available at
Sunnyside County Club during the
morning, and a special program for
the ladies has been arranged. A ladies’
luncheon will be held on the 8th floor
of Black’s Department Store, starting
at 1:00 p.m., and a style show will fol
low. Gifts will be presented during
the show.
Hosts for the Group 7 meeting will
be the member banks of the Black
Hawk Bankers Association.

Observes 60th Year
The Peoples National Bank, Albia,
observed its 60th anniversary last
month by holding a special open
house for the public, according to
J. E. King, president, and Lester
Poole, vice president.
Founded in April, 1907, the bank
has grown steadily to a deposit total
of nearly $7.5 million. Deposits the
first year were just $213,000. The
bank has 17 employees and an office
in Eddyville.

Honor Osage Banker
Albert Morse, executive vice presi
dent, Home Trust and Savings Bank,
Osage, was honored recently for his
20 year association with the bank. He
has served as assistant cashier, cashier
and vice president.

Meclianicsville Progress
A remodeling job at the Mechanicsville Trust and Savings Bank has been
completed. A new lighting system and
lower ceiling, as well as new carpet
ing, have been added. New draperies
were installed, the walls were papered
and paneled, the form er machine
room was converted to a board room
and the employees’ lounge was ex
panded.

107

P la n N A B A C
S h ort C ou rse
LANS for a “ Short Course in Bank
Auditing” have been announced
by NABAC, The Association for Bank
Audit, Control and Operation, to be
held at the State University of Iowa,
Iowa City, May 8-12. Similar type
meetings will be held later in Rich
mond, Virginia, August 28-September
1, and in Boulder Colorado, October
23-27.

The sessions are tailored for em
ployees of banks with assets under
$50 million, and are designed for inex
perienced staff members to receive
a basic orientation in audit, and for
beginning auditor personnel to expand
their knowledge and effectiveness.
The five-day courses cover discus
sion of bank accounting, auditing
principles, deposit auditir. g, trust
auditing, loan and collateral auditing,
cash, due from banks, and collections
and auditing, securities and safe de
posit auditing, income and expense
auditing, and organization of an audit
program and audit reports.
Applicants are required to have a
minimum of four years of bank ex
perience. Either two years of educa
tion beyond high school or two years
of public accounting experience may
be substituted for two of the four
years of bank experience.
Announcements were mailed Febru
ary 16 and registration already closed
at University of Iowa.
Enrollment is restricted to 50 peo
ple at each short course, which costs
$125 approximately, for tuition, room
and board, and university fees.

Williamsburg To Remodel
Preliminary plans were disclosed
recently on remodeling the Farmers
Trust & Savings Bank, Williamsburg.
Additional space will be acquired
by the bank by including the former
postoffice building in the construc
tion plans. An addition will also be
made at the rear of the building, and
a drive-in facility will be included.
Vault space will be doubled and cen
tral air conditioning will be installed.

Fairfield Motor Bank
The First National Bank, Fairfield,
has made preliminary plans to con
struct a permanent motor bank at
Kirkwood and Fourth Street. W ork
has started on the bank’s new build
ing, located on the southeast corner
of the square. A picture of the build
ing was featured in the April issue.

L o ts o f p o r t fo lio a d v is o rs
lo o k alike, d o n ’t th e y ?
Maybe your circumstances are like everyone else’s? We don’t think
so. Maybe there are stock answers to your investment portfolios?
Again, we don’t think so. In fact, we’re convinced there’s no easy
way in the investment portfolio business.
We don’t believe in look-alike proposals. And we don’t come up
with look-alike results. For example, one of our correspondent banks
increased its net operating earnings by 46.3% the initial year after
our in-depth study. We recommended and the bank bought securi
ties at a discount in order to realize capital gains. Our own bank has
an impressive average of 4.72% pre-tax investment return over the
past seven years, and no losses on securities.
Our recommendations are put together on an individual basis.
After a lot of homework. Piece by piece. With important things like
earning assets, loans, and other investments carefully scrutinized.
Sometimes we recommend extensive adjustments to achieve higher
yields. In every case, we end up with a tailor-made proposal apply
ing to your bank’s specific needs.
Get the full story of our investment portfolio analysis services.
Call Charlie Schoeneberger this week.

N A T IO N A L B O U LE V A R D B A N K
OF CHICAGO
W RIG LEY B U IL D IN G • 400-410 N. M IC H IG A N AVE.
CHICAGO 60611 • (312) 467-4100 • M EM BER FDIC

Northwestern Banker, May, 7967

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

108

Iowa News

1 Iv o r

Èa i I»lViion s foi' iìrou p

LL-STAR headline acts from TV,
night clubs and the movie in
dustry will again be presented at
“Am erica’s Largest Group Meeting”
in Clear Lake on
Wednesday, May
10.
Hosts for the
Group 3 meeting
th is y e a r will
be the members
of the B u tle r ,
W innebago a n d
W o r t h C o u n ty
Bankers Associa
tions.
All activi
J. M c W H I R T E R
ties will a g a in
take place at the Surf Ballroom, and
the formal meeting program will be
as follows:

A.M.
10:00
P.M.
12:15

1:00

Registration—Lobby, Surf Ball
room.
Noon luncheon is open for the
men. The ladies will have a
luncheon at the Ritz Club, Bayside, south shore of Clear Lake,
followed by a style show.
Call to Order—John McWhirter, chairman of Group 3 and
president, State Bank of Alli
son.
Invocation— Rev. Arthur Krebs,
p a s t o r , First Congregational
Church.
Address of W elcome—B. C.
Myhr, Mayor of Clear Lake.
Response— R. C. Keister, senior

4:00
5:00
6:30
8:00

9:30

vice president, First National
Bank, Mason City.
Some Observations — Dale C.
Smith, president, Iowa Bankers
Association, and vice president,
Central National Bank and
Trust Company, Des Moines.
W hat’s Ahead—John Chrystal,
superintendent of banking, Des
Moines.
United W e Stand— Homer Jen
sen, Iowa chairman for the
F o u n d a t io n for Commercial
B a n k s , and vice president,
Bankers Trust Company, Des
Moines.
Are Credit Cards the Answer?
— Lionel S. Wishneff, director,
Market Research, Chase Man
hattan Bank, N.A., New York.
Big Brother Is After You— Ed
Wimmer, public relations direc
tor, National Federation of In
dependent Business Men.
Report of Nominating Commit
tee— Election of officers.
IB A Progress—Arthur E. Lind
quist, Jr., secretary, Iowa Bank
ers Association, Des Moines.
Adjournment.
Pink Tea and Camel Juice
Soiree— Surf Ballroom.
S m o r g a s b o r d Banquet— Surf
Ballroom.
Variety Show featuring all-star
headline acts from TV, Night
Clubs and the Movie Industry.
Dancing to Ralph Zarnow’s
orchestra. Valuable door prizes

Well See Youat the
MayGroup Meetings
To

th e

b a n k e rs
C. GUSTAVESON

c r e d it

250

Io w a

u s in g

our

n e a r ly
now
life

p ro g ra m , we

FLEMING

h o p e to see a n d g re e t ea ch o f y o u a t y o u r g ro u p m e e tin g .
T o th o s e o f y o u w h o a re n o t f a m il ia r w i t h N a t io n a l F i d e l i t y ’s c r e d it
l i f e p ro g ra m s , w e w o u ld

lik e to t e ll y o u a b o u t th e m .

L o o k f o r us

at th e g ro u p m e e tin g s . W e ’l l b e lo o k in g f o r y o u .
O ne o f the Nation’ s Strongest b y A n y Standard o f Comparison

a tio n a l

fid

INSURANCE COMPANY
No rthwestern Banker, May, 1967

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

e lit y

f e

KANSAS CITY 6, MO.

will be awarded at the inter
mission. You must be present
to win.

NABW Plans Meeting
The National Association of Bank
W omen is planning its Tri-Regional
Conference in Wichita, Kan., June 8,
9, and 10, to be held at the Lassen
Motor Hotel. Dr. Robert W. Youngs,
First Presbyterian Church, Wichita,
will discuss “Come Alive; It’s a Pepsi
Generation.” Lynn Whiteside, direc
tor of personnel, Boeing Aircraft,
Wichita, will speak on “The Knowand-Do Manager.” Dr. W illiam Emory,
professor of marketing and director
of research, Washington University,
St. Louis, will speak on “ Creative
Thinking.”
New Iowa members in NABW since
the state meeting in Mason City last
September are the following:
Mrs. Em ory J. O’Gorman, assistant
trust officer, Miss Gladys Hueneke,
assistant cashier, First National, Du
buque; Mrs. Louise Swartz, assistant
cashier and auditor, Mrs. Mary Ann
P o c h o b r a d s k y , assistant c a s h ie r ,
United State Bank, Cedar Rapids;
Mrs. Agnes Malcolm, assistant cash
ier, First National Bank, Perry; Mrs.
Virginia M. Krueger, assistant cash
ier, First National Bank, Council
Bluffs; Mrs. Alice Rodriquez, assistant
cashier, W right County State Bank,
Clarion.
Miss Adeline A. Jungers, assistant
cashier, Hospers Savings Bank, Hospers; Mrs. Ileene L. Lockwood, assist
ant cashier, Eagle Grove State Bank,
Eagle Grove; Mrs. Ida R. Artz, assist
ant cashier, First State Bank, Nora
Springs; Mrs. Dorothy Troge, assist
ant cashier, The Home Trust & Sav
ings Bank, Osage; Mrs. Dorothy J.
Kennedy, assistant cashier, Citizens
First National Bank, Storm Lake.
Mrs. Jean Konzen, assistant trust
officer, American Trust & Savings
Bank, Dubuque; Miss Gladys E. Man
ning, assistant cashier, Iowa State
Bank & Trust Company, Iowa City;
Mrs. Peggy Magden, assistant cashier,
First National Bank, Denison; Miss
Add Doolaard, cashier, First National
Bank of Eldora; Mrs. Janet Ford, as
sistant cashier, Mechanicsville Trust
& Savings Bank, Mechanicsville; Mrs.
Edith Grimstad, vice president, Secu
rity Bank & Trust Company, Decorah; Mrs. Aileene C. Posey, assist
ant cashier, Council Bluffs Savings
Bank, Council Bluffs.
The NABW annual convention will
be held in Denver, Colo., October 4
through 8.

109

Central N ational Bank in
Chicago had an interesting
April.
April 19
April 3
We opened our new main banking
floor (the most complete, most
convenient one-floor banking
facility in Chicago). We offered
beautiful teflon-coated cookware
to new Savings and Checking
Account customers.

We held two fashion shows,
featuring the latest mad, mod
creations from New York’s
‘Paraphernalia” . It took our
president 3 hours to get through
the crowd.

April 20
We held two more
“ Paraphernalia” shows.
Our president stayed home.

April 6
Our supply of cookware ran out
We ordered more.

April 26
We ordered more cookware.

April 11
Gary Player spent the day with us,
demonstrating the golf form that’s
won so many championships. It
took our president 2 hours to get
through the crowd to his office.

April 28
Membership applications for
The Young Chicagoans Club
passed the 1,000 mark.

April 30
April 13

We set our clocks ahead an hour
and got ready for May.

We ordered more cookware

Central National Bank
in Chicago

April 17
We inaugurated The Young
Chicagoans Club... a completely
new concept in banking services
for people 21 through 30. 178
membership applications came
in this first day.

(The bank with the young ideas)
120 South La Salle Street
Chicago 60603
Phone: 312-782-2520

Member F .D .I.C . and Federal Reserve System

Northwestern Banker, May, Î967

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

110

Iowa News

íwi'Mtp

2 M e e ts in Ohohoji

HE New Inn on beautiful West
Okoboji will be the site for the
meeting of Group
2 on Thursday,
May 11. Sponsors
of the meeting
this year will be
the members of
the P o c a h o n t a s
Bankers Associa
tion. Highlight of
the evening activ
ities will be a
dance at the New
Inn.
The program follows:
A.M.
10:00 Registration— Lobby, New Inn.
P.M.
12:30 Noon luncheon for the men is
open. Luncheon for the ladies
will be held in the main dining
room, upstairs, New Inn.
1:15 Call to Order—John E. Rowles,
chairman, Group 2, and vice
president, Union Trust & Sav
ings Bank, Fort Dodge.
Invocation—Rev. Trevor Baskerville, pastor, First Methodist
Church, Spirit Lake.
W elcom e— Dwight P. Hansen,
Business Manager, Spirit Lake
Medical Center.

4:15
5:00
6:15
7:15

Greetings— Dale C. Smith, pres
ident, Iowa Bankers Associa
tion, and vice president, Central
National Bank & Trust Com
pany, Des Moines.
Remarks—John C. Chrystal,
superintendent of banking, Des
Moines.
Credit Cards, Pro and Con—
Lionel S. Wishneff, director,
Market Research, Chase Man
hattan Bank, N.A., N. Y.
F o u n d a t io n for Commercial
Banks— Homer J e n s e n , vice
chairman for the Foundation,
and vice president, Bankers
Trust Company, Des Moines.
Remarks—Arthur C. Lindquist,
Jr., secretary, Iowa Bankers
Association.
Adjourn.
Social Hour— Convention Hall.
Dinner buffet—Upstairs, New
Inn.
Dancing.

“ Best Bloomin'* City”
C. W. Fishbaugh, cashier, Security
Trust and Savings Bank. Shenan
doah, recently wrote an article for
Capper’s W eek ly e n t i t l e d , “ Best
Bloomin’ City in the U. S. A.”
The article describes the extensive

nurseries in the Shenandoah area,
which develop an annual business of
over $15 million. Over 5,000 acres of
seed and nursery stock is grown in
the Shenandoah region. Reprints of
the article were made for local dis
tribution.

Plan Chariton Facility
George Garton, president, First
State Bank, Chariton, has announced
plans for a new 22 by 50 foot parking
lot facility.
The building will be constructed
of brick with white stone aggregate
and charcoal colored tile facing
blocks on the exterior. The entire
area will be lighted and electrically
heated walks and drives are planned.

New Independence Building
Contracts have been awarded and
w ork is underway on a major re
modeling project at Farmers State
Savings bank in Independence.
Rudy Leytze, president, said that
when the project is completed in
about eight months the bank will have
about double the area it has now.
The wall between the present bank
and the former Coast to Coast store
will be removed, providing one large
area.

Offers Family Vacation
The Northwood State Bank is co
operating with several other Northwood business firms in offering an ah
expense paid vacation for a family in
the Northwood trade area. Registra
tion will be conducted for a period of
three weeks and a drawing will be
held on May 11.

B of A Appointments

WELCOME
Group 2

TO
Thursday

OKOBOJI
-

May 11

Bankers of Pocahontas County are most happy to extend an invita
tion to the bankers in Group 2 and their friends to meet at the New
Inn, Okoboji, on Thursday, M ay

II.

Two major appointments have been
announced by R. A. Peterson, presi
dent of Bank of America, San Fran
cisco. Directors last month elected
Lowell S. Dillingham, president of
Dillingham Corporation, to the bank
board.
Robert H. Fabian was named senior
vice president and general counsel.
He will administer the bank’s legal
department in Los Angeles and San
Francisco.

Lytton Open House
Extensive plans are being made now for an outstanding

program.

Let's all attend, and remember to bring your wives and employees.

First National Bank, Fonda
Palmer State Bank
Rolfe State Bank

Laurens State Bank

Commercial State Bank, Pocahontas
Pocahontas State Bank, Pocahontas

Humboldt Trust & Savings Bank, Gilmore City Office
Northwestern Banker, May, 1967

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

Theo J. Tokheim, president and
cashier of the Lytton Savings Bank,
announced that the bank held an open
house last month on the occasion of
the bank’s 52nd year and the recent
completion of an extensive remodel
ing job.
New teller counters, carpeting,
vinyl flooring covering and modern
ceiling panels have been added. Total
assets of the bank are now over
$2,500,000, and the capital structure is
more than $300,000.

Ill

W illia m B uxton III, president of the Peoples Trust & Savings Bank in Indianola, lowar
says "our bank likes to finance fam ily-owned Hy-Line M idwest Cage Layer Units because
they are usually very well m an ag ed.”

“ Loans on Hy-Line M id w e s t Cage U nits
are good business for our bank“
Hy-Line Midwest Cage Layer Units are an ideal way
for farmers to boost their income without buying
more land, according to Iowa bank president
Bill Buxton. “ Anyone who comes to us for a loan on
this kind of enterprise will find our bank very
interested,” he notes.
The Peoples Trust & Savings Bank has played an
important part in the growth of Midwest Cage Units
around Indianola. “ Good management and family
labor are big reasons why these units are so
profitable,” adds Mr. Buxton.

bankers to help their customers obtain financing and
set up sound money management programs.
These Hy-Line Midwest Cage Unit owners can expect
to earn a good return on their investment. Same holds
true for you and your bank.
There’s less credit risk involved when you finance
a poultry operation filled with layers that consistently
prove their profitability.
That’s why bankers give Hy-Line layers the
credit they're due.

D is tributo rs sell, service units

Over 100 farmers in Iowa, Minnesota, Missouri, and
North and South Dakota have Midwest Cage Units.
Many Hy-Line distributors work closely with local

Hif-Line
C H IC K S
D e s M o in e s , I o w a

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

Norih wesfern Banker, May, 1967

112
*

G ro u p

B a n k e rs

A n d

T h e ir

F r ie n d s
A re

C o r d ia lly
In v ite d

Attend our annual meeting and listen
to answers and suggestions which will be
of help to you and your customers. Profit
from the experience of others and learn
up-to-date information on banking problems.

Group 5
Tuesday, May 2 3
COUNCIL BLUFFS

YOUR HOSTS . . . Council

Bluffs Savings Bank
State Savings Bank
First National Bank

No rthwestern Banker, May, 1967

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

Iowa News

Ur »u p 5 to C ouncil M u ffs
ROUP 5 traditionally meets in
Council Bluffs and the meeting
there this year will be held at. Club
64 on Tuesday, May 23. Ted N. Howe,
p r e s i d e n t of
A d a ir C o u n t y
State Bank,
Greenfield, w i l l
p r e s i d e at the
meeting. Serving
with him as sec
r e t a r y the past
two years is W il
lia m L. R y a n ,
c a s h ie r , H o m e
Savings Bank in
T. N. H O W E
Persia. The evening social hour and dinner will be
at the Elks Country Club.
The complete program follows:

GROUP 5
Tuesday, May 23
A.M.
10:00

Registration and Visiting—Club
64. (Fee $10 per person, includ
ing luncheon, social hour, ban
quet and entertainment.)

P.M.
12:15
12:20

Luncheon— Club 64.
Invocation—Rev. W. E. Wicklund.
1:15 Call to Order—T. N. Howe,
chairman, Croup 5; President,
Adair C o u n t y State Bank,
Greenfield, Iowa.
1:30 W e lc o m e — David A. Lemon,
President, Council Bluffs Cham
ber of Commerce.
1:35 Observations and Introduction
of Guests—Mr. Howe.
1:45 General Remarks— Dale Smith,
President, Iowa Bankers Asso
ciation; vice president, Central
National Bank and Trust Co.,
Des Moines.
2:00 Iowa Superintendent of Bank
ing—John Chrystal, president,
Iowa S a v in g s B a n k , Coon
Rapids, Iowa.
2:15 Plomer Jensen—vice president,
Bankers Trust Company, Des
Moines, and state chairman for
the Foundation for Commercial
Banks.
2:30 “ Cons and Pros of the Bank
Credit Cards and Credit Card
Systems”— L. Carl Ostrander,
assistant secretary, Marine Mid
land Corporation of Buffalo,
N. Y., and consultant to Interbankard, Inc.
3:30 Talk—Arthur E. Lindquist, Jr.,
secretary, Iowa Bankers Asso
ciation.
4:00 Conference of County Officers.
5:30 Social Hour—E lk s C o u n t r y
Club.

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

7:00

Banquet— Elks Country
Introduction of Guests.
Entertainment.

Club.

I 'o f r e r

Milxecutire
H e p o r ts Chanties
OWA has undergone a more amaz
ing change than any state in the
Union during the last generation, A.
Paul Thompson, president of Iowa
Power and Light Company, told stockh o ld e r s at the com pany’s annual
meeting recently
(April 12).
Although agri
c u l t u r a ll y o r i
ented, Iowa’s in
d u s t r ia l product i o n h a s in
creased nine-fold
since W orld War
II, from $1 bil
lion to $9 billion
a n n u a 1ly , M r .
A. P. T H O M P S O N
Thompson said.
This expansion of the state’s econ
omy has resulted in a significantly
stepped-up construction program for
Iowa Power which, for 1966, amounted
to $16 million, he said. Included in
this program was the rebuilding of
the com pany’s River Hills Generating
Station, construction of a new work
center in Council Bluffs and comple
tion of the modernization of Des
Moines Power Station No. 2.
During the summer of 1966 the
com pany’s “peak demand”—the maxi
mum amount of electricity required

113

at a single instant—passed the 500,000
kilowatt mark, Mr. Thompson said.
This new peak occurred one year
sooner than expected due to acceler
ated growth.
A record $19 million has been budg
eted for plant construction in 1967,
the Iowa Power president said. This
will include the installation of four
more “fast start” gas turbine units for
the River Hills Station, construction of
another major work center in or near
the Des Moines area, and major con
struction on a 345,000 extra high volt
age transmission line. This line will
eventually span the state from Hills
in eastern Iowa to a major nuclear
electric generating plant on the Misrouri River in Nebraska to be built
by Consumers Public Power District,
he said.
Iowa Power is entering into an
agreement with Consumers for onehalf the capacity and energy of the
800,000 kilowatt nuclear plant which
has an expected in-service date of
1972.
Mr. Thompson predicted that the
com pany’s 1967 operating revenues
would approximate $66.6 million with
earnings of $7.4 million, or $2.32 per
share. This compares with 1966 reve
nues of $64.5 million and earnings of
$7.1 million, or $2.20 per share.
Year-end capital ratios were 34 per
cent common equity, 13 per cent pre
ferred stock, 7 per cent debentures
and 46 per cent in first mortgage
bonds, Mr. Thompson said. Future
financing, possibly in late 1967 or
early 1968, contemplates the use of
either debentures or first mortgage
bonds, he said.

W on ’t you drop in to see
us while you’re in
our city? W e ’ll he
looking for you

♦

/ >,

When you are in Council Bluffs fo r the Group 5 meeting why not
take a few minutes and stop in and visit with us? Our courteous
officers and staff will be pleased to discuss banking operations with
you. We will consider it a privilege to offer assistance. Make our
bank your bank . . . anytime!

COUNCIL

BLUFFS

SAVINGS

BANK

COUNCIL BLUFFS, IOW A
Member Federal Deposit Insurance Corporation

Northwestern Banker, M ay, 1967

114

Iowa News

J efferso n E n terta in s
6:00
ANKERS attending the Group 6
meeting in Jefferson will be meet
ing Wednesday, May 24, at the beauti
ful Jefferson Golf & Country Club.
Registration and golf will begin in
th e morning at
10:00 a.m., with
th e b u s i n e s s
m e e t in g slated
for the afternoon.
C h a i r m an of
Group 6 is Art
Lucht, president,
Union
Story
Trust & Savings
Bank, Ames.
In charge of ar
rangements f o r
the host Greene County Bankers As
sociation is Ronald P. Searcy, presi
dent of the county unit and assistant
cashier of Home State Banw in Jef
ferson.
The official program follows:

GROUP 6
Wednesday, May 24
Jefferson Golf & Country Club
A.M.
10:00 Registration and Golf. Regis-

J o i n

tration fee— $8.00; in c lu d e s
luncheon and dinner.
11:00 County Officers Conference.
Noon Buffet Luncheon.
P.M.
1:30 Invocation.
1:30 Call to O r d e r — R o n a ld P.
Searcy, president, Greene Coun
ty Bankers Association.
1:35 Remarks— Dale C. Smith, presi
dent, Iowa Bankers Associa
tion; vice president, Central Na
tional Bank & Trust Company,
Des Moines.
1:55 Remarks—John Chrystal, State
Superintendent of Banking.
2:10 Remarks— Art Lindquist, secre
tary, Iowa Bankers Association.
2:40 F o u n d a t io n for Commercial
Banks— H o m e r Jensen, vice
president, Bankers Trust Com
pany, Des Moines; state chair
man, Foundation for Commer
cial Banks.
3:00 Bank Credit Cards & Systems—
L. Carl Ostrander, assistant
secretary, Marine Midland Cor
poration, Buffalo, N. Y.
3:30 Adjourn for afternoon.
5:00 Social Hour— S p o n s o r e d by

U s

in
Jefferson
Your hosts, the members of the Greene County Bankers
Association, are

looking forward

seeing you

at this

informative and enjoyable meeting.
M eet with us in Jefferson on Wednesday, May 24.

First State Bank, Churdan
Jefferson State Bank
Rippey Savings Bank
Security Sav. Bank, Scranton
Northwestern
Banker. M ay, 1967
https://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Home State Bank, Jefferson
Community State Bank, Paton
First National Bank, Rippey
Peoples Trust, Grand Junction

Greene County Bankers Asso
ciation.
Banquet and entertainment.
NOTE: Afternoon tour and en
tertainment for the ladies.—
End.

W om en’ s Finance Forum
An annual W om en’s Finance Forum
was sponsored by the trust depart
ment of the Security National Bank
in Sioux City last month. Three con
secutive Wednesdays were chosen.
Speakers included, Ralph McClurg,
investment officer with Continental
Illinois National Bank and Trust Com
pany, Chicago; William S. Dillon, vice
president, American National Bank
and Trust Company, Chicago, and
James Whitt, C.L.U. associate direc
tor, Life Insurance Marketing, Louisi
ana State University, Baton Rouge.

Ag Forum Speaker
Robert D. Patton, vice president
and farm department manager, Monticello State Bank, spoke recently at
the 32nd annual agricultural finance
clinic sponsored by the Michigan
Bankers Association in East Lansing.

Plan Sioux City Merger
Plans to merge The Live Stock Na
tional Bank of Sioux City and the
Morningside Savings Bank were joint
ly announced April 20 by Stanley W.
Evans and Kermit A. Scheibe, presi
dents of the respective banks, follow
ing meetings of their boards of direc
tors.
Mr. Evans stated that the proposed
merger is subject to ratification by
the shareholders and the formal ap
proval of the Comptroller of the Cur
rency and other governmental regu
latory agencies. There will be no
change in the location of The Live
Stock National Bank, with the cus
tomers to be served from the Live
stock Exchange Building.
Mr. Scheibe stated that customers
of the Morningside Savings Bank
would continue to be served by the
present officers and employees of the
Morningside Savings Bank at the
present location as an office of The
Live Stock National Bank.
The proposed merger will permit
the combined resources and conveni
ences of both banks to be offered to
the present customers of Morningside
Savings Bank and The Live Stock
National Bank, Mr. Evans stated.

ACORN

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Registers

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Oakland, Iowa

Iowa News

Crtm p It I0/tins A n tun osti A lee tinti
ANKERS attending the meeting
of Group 8 on Thursday, May 25,
in Anamosa, have a unique treat in
store for them in
that the meeting
will be held at
the M e n ’ s Re
formatory. Tours
will he sponsored
through the in
stitution for both
the men and the
ladies. Social ac
tivities will take
Mm
place at the Fawn
G. H. S U IT E R
C re e k C o u n t r y
Club.
The program will be as follows:
A.M.
8:00 Golf— Fawn C re e k C o u n t r y
Club.
11:00 R e g i s t r a t io n —Coffee and do
nuts, Men’s Reformatory.
11:15 County Officers Meeting.
1:00 Luncheon— Men’s Reformatory
(Ladies are welcome.)
2:00 Tour of Men’s Reformatory for
the ladies only.
2:00 Call to Order—Glen H. Suiter,
executive vice president, Farm
ers Savings Bank, Princeton,
and chairman of Group 8.
Talk— Charles Hough, warden,
Men’s Reformatory.
Talk—Joe Coughlin, Director of
Correction, Des Moines.
Observations—Dale C. Smith,
president, Iowa Bankers Asso
ciation, and vice president, Cen-

tral National Bank and Trust
Company, Des Moines.
IB A P r o g r e s s — Arthur Lindquist, Jr., secretary, Iowa Bankers Association.
Bank Credit Cards— Pro and
Con— L. Carl Ostrander, assist
ant secretary, Marine Midland
Grace Trust Company, N. Y.
Foundation
for
Commercial
Banks— Homer Jensen, chair-

115

man of the Foundation for
Iowa, and vice president, Bank
ers T r u s t C o m p a n y , Des
Moines.
3:30 Adjournment.
3:40 Tour through the Men’s Re
formatory for men only.
6:00 S o c ia l H o u r — F a w n Creek
Country Club.
7:00 Buffet Dinner— F a w n C re e k
Country Club.
8:3011:00 Dancing.

C en terville H o s t fo r C rou p lit
10 bankers will hold their
GROUP
annual meeting at the Center
v ille C o u n t r y
Club on Friday,
May 26. Golfing
privileges will be
available during
the day, and the
formal activities
will start at 4:00
p.m.
The p rogram
follows:
J. C. BL A C K F O R D

P.M.
4:00

Registration— Centerville Coun
try Club.
5:00 Social Hour.
6:00 Buffet Dinner.
7:00 Call to Order—J. C. Blackford,
chairman of Group 10, and
p r e s id e n t , Union Bank and
Trust Company, Ottumwa.
Some O b s e r v a t io n s — Dale C.
Smith, president, Iowa Bankers
Association, and vice president,
Central National Bank and
Trust Company, Des Moines.

Remarks—John Chrystal, su
perintendent of banking, Des
Moines.
IBA Progress—Arthur C. Lind
quist, Jr., secretary, Iowa Bank
ers Association, Des Moines.
Bank Credit Cards—Pro and
Con— L. Carl Ostrander, assist
ant secretary, Marine Midland
Grace Trust Company, New
York.
F o u n d a t io n for Commercial
Banks—Homer Jensen, Iowa
chairman for the Foundation,
and vice president, Bankers
Trust Company, Des Moines.
10:00 Adjournment.

Honor Postville Bankers
The Postville Future Farmers of
America recently honored W. A.
Kneeland, president of the Postville
State Bank, and Marvin F. Chevalier,
president of the Citizens State Bank,
for their outstanding contributions to
the F.F.A. and the vocational agri
cultural program in Postville.

R E Ä D Y N OW

IOW A-NEBRASKA

..............
s up pl i er to the banking i nd ust r y
S I N C E

BANK DIRECTORY

C U R T IS

^Published hi/

lO O O

1 0 0 0 U n i v e r s it y A v e .

N o r t h w e s t e r n Ba n k e r
DES

1 8 8 2

IN C .

• S t. P a u l, M in n . 5 5 1 0 4

M OINES

COMPLETE INFORMATION
ON A LL BANKS IN

IOWA and NEBRASKA

ACCURATEDEPENDABLEPOCKET SIZE-

O ur

n /u u u

B u J ,e r

^ J rie n c ls

. . . who haue w ish ed uS w e i f in our
new en d eavor — ^ J h a n h sl

The c o m p le t e ly r e - e d it e d 1967 lo w a - N e braslca B a n k D ir e c t o r y is n o w r e a d y . U p
t o d a t e lis t in g s o f o ffic e r s , s ta t e m e n t
fig u r e s , a n d o t h e r v i t a l fa c t s a b o u t a ll
Io w a a n d N e b r a s k a B anks. P lus i n f o r m a
t io n a b o u t le a d in g b a n k s in th e N a t io n 's
m o s t im p o r t a n t c it ie s .
S t ill o n ly $ 4 .0 0
p e r c o p y . W r it e th e N O R T H W E S T E R N
B A N K E R to d a y fo r y o u r c o p y . The a d
d re s s is 3 0 6 F if t e e n t h S tr e e t, D es M o in e s ,
Io w a 5 0 3 0 9 .

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

W e l l looh fo r w a r d to See in (j you
a t the

Idday

Cfroup

'llleelinyS.

BANK INVESTORS

3617 Beaver Ave.
Des Moines, Iowa
Phone 515-279-3613
N o rth w e s tern

Banker,

M a y,

19 6 7

116

Iowa News

4 6

UH A I

STATE

OP THE
.g
IOW A BANKERS ASS0CIAT10!