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issues and
1 implications

and risk
• Fed provides

South Dakota
North Dakota

IBAA Elects New Officers in San Diego
Federal Reserve Bank of St. Louis

"A t MNB we will respond quickly and
accurately to your needs for overlines
and liquidity loans. Because we
realize the way these transactions are
handled can have a critical impact on
operational procedures and your ability
to serve customers.
"O u r first priority is to provide
superior customer service. To be a
partner in helping meet challenges
and goals. We begin by developing an
in-depth knowledge of each individ­
ual correspondent bank's objectives.
Then, we provide our expertise and a
wide range of services to help attain

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

Merchants National Bank
Cedar Rapids, Iowa 52401

is i

Member F.D.I.C.
Federal Reserve Bank of St. Louis



Associates Acquisition Financing.
If your customers have the
drive and determination to
make an acquisition work, The
Associates can make sure the
financing works, too.
We’ll help them finance
their buy-out using the assets of
the company they acquire as
collateral. Our asset-based
lending program can give them
the backing they need to get
their new program going.

And we’ll provide a steady
supply of credit and working
capital, too. So that they have
the financial resources to match
their own resourcefulness.
We know what it takes to
make an acquisition successful.
We’ve been a leader in the
finance business for over 60
years. We’ve participated in
mergers, divestitures and
acquisitions all across the

Associates Commercial Corporation Business Loans

country. And we’re ready to
help support theirs with over
$6 billion in Associates assets.
So if they’re ready to make
that move, we’ll help
you and them get
the financing

Our money's

20 N. Clark St. Chicago, IL 60602 (312) 781-5827

Business Loans Offices in Atlanta, Boston, Charlotte, Chicago, Cleveland, Dallas, Denver, Detroit, Houston, Kansas City, Los Angeles, Miami, Nashville,
New York, Oklahoma City, Philadelphia, St. Louis and Thmpa. Associates Commercial Corporation is a subsidiary of Associates Corporation of North America,
a Gulf + Western Company
Federal Reserve Bank of St. Louis


MAY 1983


90th Year


No. 1436


Newly-elected officers of the Independent Bankers Association of America are
pictured at their recent annual convention in San Diego. From left to right, they
are: Pres.—James D. Herrington, chmn. & pres., Coldwater Natl., Coldwater,
Kans.; 1st Vice Pres.— Paul H. Bringgold, pres., First Natl., Cannon Falls, Minn.;
2nd Vice Pres.—A.J. (Jack) King, pres., Valley Bank, Kalispell, Mont.;
Treas.—James R. Taylor, pres. & CEO, McKeesport Natl., McKeesport, Pa., and
Exec. Dir.— Kenneth A. Guenther, Washington, D.C. Convention report and pic­
tures on page 21 .



Opportunities and risks!

Citizens and Southern chairman describes comeback



Jay Tomson looks at issues and implications


Centennial celebration!

Drovers Bank marks 100 years of service in Chicago


Fed provides diskettes

Pilot program assists community bankers with IBM 34s


MABSCO Ag ready to expand

Restructuring makes program acceptable to all

29 Illinois
44 North Dakota
46 You Will See Them at the
North Dakota Convention
49 South Dakota

50 You Will See Them at the
South Dakota Convention
54 Colorado
55 You Will See Them at the
Colorado Convention

6 Calendar
8 Bank Promotions

Twin Cities



Des Moines
Index of Advertisers
306 15th Street, Des Moines, Iowa 50309

Phone (515) 244-8163

Publisher & E ditor

A ssociate Publisher

A ssociate E ditor


Ben Haller, Jr.

Steve Burch

Becky McBurney

Malcolm K. Freeland

No. 1436 Northwestern Banker (USPS 397-620) is published monthly by the Northwestern Banker Company, 306 Fifteenth Street, Des
Moines, Iowa 50309. Subscription $1.50 per copy. $18 per year. Second Class postage paid at Des Moines, Iowa and at additional mailing
office. POSTMASTER: Send all address changes to Northwestern Banker, 306 Fifteenth Street, Des Moines Iowa 50309.

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

Are Your Loan Officers Using A
Cross Selling System?
Let Us Show You How To...

Take Five and Prosper!

Left to Right: Jon Jorgenson, Dick Moore, Mike Melies, Ted Batchelder, John Benson

the Crédit Insurance Division of

Central States of Omaha
Federal Reserve Bank of St. Louis

PHONE: (402) 397-1111
Northwestern Banker, May, 1983


Convention Calendar

June 16-17—MBA Real Estate Conference,^
Colonial, Helena.
June 28-July 2—MBA Annual Convention &
Membership Meeting, Sun Valley.

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

Seminar, Hyatt on Hilton Head, Hilton
Head Island, S.C.
Nov. 2-5—IBAA 23rd Seminar on the OneBank Holding Company, Marriott’s Hilton
Head Resort, Hilton Head Island, S.C.
Nov. 13-16—ABA National Agricultural
Bankers Conference, Bonaventure, Los
Angeles, Calif.
Nov. 13-17—BMA Trust Marketing Con­
ference, Fairmont Hotel, Dallas, Tex.

National Conventions & Schools
May 15-18—BAI Tax Conference, Hyatt Re­
gency Hotel, Orlando.
May 22-25—ABA National Operations and
Automation Conference, Miami Beach
Convention Center, Miami Beach, Fla.
May 22-27—BMA School of Trust Sales and
Marketing, and Essentials of Bank
Marketing School, University of Col­
orado, Boulder, Colo.
May 22-June 3—BMA School of Bank Mar­
keting, University of Colorado, Boulder,
May 28-June 2—ABA National AIB Leaders
Conference, Sheraton Washington, Wash­
ington, D.C.
June 5-8—BAI Strategic Planning, Four
Seasons Hotel, Houston.
June 5-17—ABA Stonier Graduate School
of Banking, Rutgers University, New
Brunswick, N.J.
June 9-11—Association of Bank Holding
Companies, Annual Meeting, Opryland
Hotel, Nashville, Tenn.
July 11-12—IBAA Spread Analysis and Asset/LiabiIity Management Workshop,
Hyatt Regency Minneapolis on Nicollet
Mall, Minneapolis.
July 13-16—Central States Conference,
Jackson Lake Lodge, Wyo.
Aug. 8-9—IBAA Spread Analysis and Asset/Liabi Iity Management Workshop,
Caesar’s Tahoe, Lake Tahoe, Nevada.
Sept. 11-14—ABA National Personnel Con­
ference, Hyatt Regency, Phoenix, Ariz.
Sept. 12-14—IBAA Commodity Marketing
Seminar, Chicago, III.
Sept. 13-16—BMA National Corporate
Marketing Conference, Westin Alpine
Resort, Vail, Colorado.
Sept. 14-16—ABA Senior Operations Sem­
inar, Marriott’s Marco Beach, Marco Is­
land, Fla.
Sept. 18-21—NABW Annual Convention,
Hyatt Regency, Dallas, Tex.
Sept. 18-21 —BAI National Convention, Fair­
mont Hotel, San Francisco.
Sept. 18-23—RMA Loan Management Sem­
inar, The Ohio State University, Colum­
Sept. 18-30—ABA National School of Retail
Banking, University of Oklahoma,
Norman, Okla.
Sept. 20-23—ABA National Bank Card Con­
vention, Bonaventure, Los Angeles, Calif.
Oct. 8-12—ABA Annual ABA Convention,
Honolulu, Hawaii.
Oct. 23-25—ABA International Banking
Conference, Grand Hyatt New York.
Oct. 23-26—BMA 68th Annual Convention,
Atlanta Hilton, Atlanta, Ga.
Oct. 30-Nov.2—RMA 69th Annual Fall Con­
ference, Fairmont Hotel, San Francisco.
Nov. 2-4—ABA Chief Financial Officer

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

State Conventions & Schools

June 9-11—CBA Annual Convention, Broad­
moor Hotel, Colorado Springs.
July 31-Aug. 12—Colorado Graduate School
of Banking, University of Colorado,
Sept. 21-24—Independent Bankers of Col­
orado Annual Meeting and Convention,
Keystone Resort.
Sept.—CBA Caravan Meetings, (locations
throughout the state)

May 23-31—IBA Bankers School, Southern
Illinois University, Carbondale.
June 9-11—IBA Annual Convention, Chi­
cago Marriott Hotel.
June 12-18—IBA Agricultural Lending
School, Illinois State University, Normal.
June 15-18—IBA Advanced Ag Lending
Clinic, Illinois State University, Normal.
June 19-25—IBA Commercial Lending
School, Illinois State University, Normal.
July 10-22—Illinois Executive Graduate
School of Banking, University of Illinois,
Champaign, III.

May 19-20—Iowa Young Bankers Con­
ference, Des Moines.
June 1-3—NABW Iowa State Conference,
Downtown Holiday Inn & Conway Civic
Center, Waterloo.
June 6-17—38th Annual Agricultural Credit
School, Iowa State University, Ames.
June 19-24—Iowa School of Banking, Uni­
versity of Iowa, Iowa City.
July 21-23—Iowa Independent Bankers An­
nual Convention, Okoboji.
Aug. 18-22—IBA Outward Bound, Colorado.
Sept. 18-20—IBA Annual Convention, Mar­
riott Hotel, Des Moines.

June 11-14—NBA Washington Visit.
July 10-15—NBA Trust School, Regency
West, Omaha.
North Dakota:

May 23-24—NDBA 98th Annual Convention,
Civic Auditorium, Grand Forks.
June 5-10—NDBA North Dakota School of
Banking, Grand Forks.
Sept. 14-16—Independent Community
Banks of North Dakota Annual Conven­
tion, Kirkwood Motor Inn, Bismarck.
Sept. 26—NDBA Northeast Group Meeting.
Sept. 27—NDBA Northwest Group Meeting,
Sept. 28—NDBA Southwest Group Meeting,
Sept. 29—NDBA Southeast Group Meeting,
Oct. 25-26—NDBA Bank Women’s Confer­
ence, Holiday Inn, Fargo.
South Dakota:

May 16-17—SDBA Annual Convention, Con­
vention Center, Sioux Falls.

June 16-18—WBA Annual Convention,
Jackson Lake Lodge, Moran.

Drovers Offers Banks
Discount Brokerage
Drovers Bank of Chicago has an­
nounced its new Cole-Taylor Dis­
count Brokerage Service will soon®
be available to all its correspondent
bank customers.
The service can save a bank’s
customer from 40% to 80% in fees
on each transaction and it may also ®
qualify for special tax treatment. As
a Drovers Bank correspondent, the
local bank will share in the fee in­
John J. Crotty, Jr., senior vice ®
president, said the new service
features: (1) Low Commissions, (2 )
Personal Service, and (3) Instant Ac­
cess to the Market.


June 20-21—MBA Annual Convention, Hy­
att Regency, Minneapolis.
June 26-July 1—Minnesota School of Bank­
ing, St. Olaf, Northfield.
July 24-29—Midwest Banking Institute,
University of Minnesota, Morris.
Aug. 7-12—MBA Commercial Lending
Aug. 7-20—Prochnow Graduate School of
Banking, University of Wisconsin,
Aug. 18-21—Independent Bankers of Min­
nesota Annual Convention, Arrowwood
Lodge, Alexandria.

May 19-20—MBA Commercial Lending Con­
ference, Colonial, Helena.

Chicago Graduate School
Appoints New Dean
John P. Gould, Jr., has been ap- | |
pointed Dean of the University of
Chicago’s Graduate School of Busi­
ness, it was announced last month.
The appointment is effective July 1.
Dr. Gould, 44, is a specialist in f)
microeconomics, industrial organ­
ization, capital investment, and the
economics of information. He has
taught since 1965 at the business
school, where he received his M.B.A. fl)
and Ph.D. degrees.

There are some things our
credit insurance programs don’t cover.

But not many.
We don’t insure castles in the
sky. But when your customers’
credit insurance needs are more
down to earth, whether for a home,
car, personal loan, or line-of-credit,
you can depend on the USLIFE
Credit Insurance Group to deliver.
Fact is, we have the most com­
plete coverage you can find. Some­
thing you would expect from one of
the largest credit insurance organ­
izations in the business.
For example, we offer a special

policy that offers more flexibility
and much higher coverage. The
kind of coverage your customers
may want for large personal loans
or other large credit needs. And
when it comes to hard-to-find lineof-credit coverage, come to the
USLIFE Credit Insurance Group.
How are our three companies,
USLIFE Credit Life Insurance Com­
pany, Sooner Life Insurance Com­
pany, and Security of America Life
Insurance Company, able to offer

you the best in products and fast,
personalized service nationwide?
One major reason: credit insurance
is our only business. Which means
credit insurance isn’t gravy to our
staff of salaried representatives—
it’s their bread-and-butter.
So, if you want to expand your
b u s in e s s , ta lk to th e c re d it
insurer that has the policies you
need to cover anything. Well, al­
most anything. To see for yourself,
just call toll-free, 1-800-323-4747*

tfc ilF E
USLIFE Credit Life Insurance Company • Sooner Life Insurance Company • Security of America Life Insurance Company
1-800-323-4747 *(within Illinois, call 312-490-6000)
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


Myrna K. Hellerman, corporate
personnel services.
Anthony W. Arredia, John L.
Brecht and Robert E. Kline, opera­
tions and management services.
ROMOTIONS and other announ­ Commerce customers the opportuni­
Peter D. Klinkow, Joseph M. San­
cements have been made by the ty to make securities transactions at tos, Nancy B. Boruch and Douglas ®
following banks:
up to 70% savings on commissions. R. Schultz were elected vice pres­
Centerre Bancorporation, St. Louis: The new service is provided in co­ idents of Continental Illinois Leas­
B.A. Bridgewater, president and operation with National Financial ing Corporation.
chief executive officer of Brown Services Corporation, a subsidiary
Northern Trust Company, Chicago: ®
Group, Inc., has been elected a direc­ of Fidelity Brokerage Services.
H a ro ld
tor of the bank holding company.
Continental Illinois National O’Connell, Jr.,
Commerce Bank of Kansas City: Bank and Trust Company of Chi­
John H. Robinson, managing part­ cago: Several new vice presidents re c e n tly was
named a vice
ner of Black & Veatch, Engineers- have been elected as follows:
president in the
Architects, has been elected a direc­
Gerald B. Moore, bond and trea­ executive and
tor of the bank.
sury services.
p ro fe s sio n a l
David L. Scott is a newly-elected
Morris Gold, financial services.
division of the
vice president and will head the cor­
Francis T. Smith, general banking personal bank­
porate services department. He had services.
ing department.
been vice president at Commerce
Thomas W. Cherry, special indus­ Prior to joining
Bank of Clay County, N.A. Mr. tries services.
The N o rth ern H P- O’CONNELL, JR.
Scott began working for Commerce
Robert P. Gibbs, Paul R. Frey, Trust, Mr. O’Connell was vice presi­
Bank of Kansas City, N.A., in 1963. Carl W. Jordan, Mark C. Rohman,
dent and general manager of the ex- ^
In 1980, he joined the correspondent James D. Slesser and Susan E. ecutive
financial center of Continen­
department, where he was vice presi­ Spika, U.S. banking services.
of Chicago, a position he
dent for two years.
Mary Ann King, real estate ser­ held for a 10-year period.
William R. Salmonson has been vices.
United Missouri Bancshares, Inc.,
named assistant vice president and
Edward J. Calkins and Cornelius
manager of the bank’s new discount Twomey, trust and investment ser­ Kansas City: Tim O’Connor has ®
been named assistant vice president
brokerage service. This provides vices.
in the marketing department. His
responsibilities include advertising,
research and sales promotion activities for the affiliate banks of the ®
$2.8 billion holding company. Addi­
tionally, he handles marketing of
Ultra automated tellers and United
Missouri’s new PLUS SYSTEM® .
(SM - owned by Plus System, Inc.), ®
automated teller machine
Citibank (South Dakota), N.A. is a national bank established in Febru­
ary, 1981 and is wholly-owned by Citicorp, New York. In less than two
years, we’ve grown from a start-up phase to an organization currently
Mr. O’Connor began in the mar­
employing over 950. We currently seek a Commerical Loan Officer with
keting department of the company’s ^
3+ years of experience in correspondent banking, middle-market ($5lead bank, United Missouri Bank of ™
50MM in sales) commercial loans, and agribusiness loans.
Kansas City, N.A.
The qualified candidate should have a business/ag/accounting educa­

Bank Prom otions



tional background and broad experience in banking, including credit,
marketing, and products/services.
In addition to excellent career growth potential, you will enjoy living in
Sioux Falls, rated as one of America’s ten best communities. You’ll
enjoy a friendly area offering diverse cultural, sporting, and recrea­
tional activities.
If your qualifications match our requirements, find out more about a
career opportunity with Citibank (South Dakota), N.A. Please send
your resume and letter of introduction with salary requirements to:
Citibank (South Dakota), N.A.
P.O. Box 6000 • Suite 1166-NW
Sioux Falls, South Dakota 57117
An Equal Opportunity Employer M/F/V/H

for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

Manufacturers Hanover, NCR
Manufacturers Hanover Trust
Company and NCR Corporation have
agreed to form a joint venture to
establish a shared network of auto­
mated teller machines and point-ofsale terminals in New York State
and Northern New Jersey. It will be
the largest regional network of its
type in the country, according to the
two partners.
The service, to be called MATRIX,
is targeted to start operations in late
summer. Participation will be open
to commercial banks, thrifts and re­
tailers in the two states.


: We cut the
red tape.

We’re an insurance company that’s good for you as well
as your customers.
That’s because we’ve taken all the red tape out of hail
insurance. Paperwork won’t stack up on your desk, so
it won’t stack up on ours — and that means your
policyholders get faster, better service.
With more than 65 years’ experience, Dawson is a
respected, vital force in hail insurance. We’ve served
three generations of farmers with complete crop pro­
tection at competitive rates, backed up by what we feel
is the best personal service in the business.
And all without red tape.
Because we believe hail insurance
doesn’t have to be complicated.
Crop Hail Insurance from Dawson. It
couldn’t be easier.

P.O. Box 1820 • Fargo, ND 58107
In North Dakota

CALL TOLL FREE: 1 - 8 0 0 - 437-4680
Federal Reserve Bank of St. Louis

1 - 8 0 0 - 342-4848
Northwestern Banker, May, 1983

EMC Insurance Net Income Climbs
ET INCOME after taxes for EMC
Insurance Group Inc., Des
Moines, for the year 1982 amounted

largely to new money that became
available to the company and its
subsidiaries from several financial
to $3,970,808, compared with transactions:
$3,526,578 for 1981.
There was a substantial increase
Income per share, primary, was in the company’s share of property
eighty cents ($.80) for 1982, com­ and casualty insurance operations
pared with eighty-one cents ($.81) through its pooling agreement with
for the year before.
the parent Employers Mutual Cas­
Results for both years reflect the ualty Company. The property and
consolidation of financial state­ casualty insurance subsidiaries’
ments of the company and its three share of the pool was 17%, com­
property and casualty insurance pared with a 9% share in 1981.
subsidiaries (Dakota Fire Insurance
Another factor improving the fi­
Company, EMCASCO Insurance nancial position of EMC Insurance
Company and Illinois EMCASCO Group Inc. included an increase in
Insurance Company); its reinsur­ reinsurance ceded from the parent
ance subsidiary (EMC Reinsurance company to EMC Reinsurance Com­
Company), and its life insurance pany. Effective January 1, 1982,
subsidiary (Employers Modern Life EMC Reinsurance Company’s par­
ticipation in Employer’s Mutual
Assets of EMC Insurance Group reinsurance business was increased
Inc. totaled $136,512,819 at year from 5% to 25%. Effective January
end, up $40,139,831 since December 1, 1983, that participation has been
31, 1981, when the total was further increased to 50%.
The sale of 400,000 shares of com­
The increase in assets was due mon stock of EMC Insurance Group
Federal Reserve Bank of St. Louis

Inc. to the public in February, 1982,^
also contributed to the increase in ^
The impact of the new money re­
ceived in 1982, combined with the
company’s use of these funds to pur- ^
chase high-yielding long and short
term securities, contributed signif­
icantly to the increase in net invest­
ment income of EMC Insurance
Group Inc. in 1982, according t o ^
Robb B. Kelley, chairman and chief
executive officer.
Net investment income for the
year totaled $10,369,712. This was
59.6% greater than the 1981 total in- £
vestment income of $6,497,974.
Premiums earned by all the EMC
Insurance Group Inc. companies
totaled $43,787,118.
First Bank System Forms
Venture Capital Company
First Bank System, Inc., through #
a general partnership agreement
with Community Investment Enter­
prises, Inc., has formed a venture








capital firm called FBS Venture
Capital Company. Community In­
vestment Enterprises is a venture
capital company with offices in Min­
neapolis and Phoenix. Both companies are headquartered in Min­
Donald H. Soukup, president of
Community Investment Enterpris­
es, will also be president of the new
company. The current portfolio con­
sists of 27 publicly and privately
held companies, most of them in the
electronics field and the early
development stage.
“Our investment philosophy will
remain the same,” said Mr. Soukup.
“We will continue to provide capital
to qualified growth companies. We
will work closely with them sharing
the experience we have had from
dealing with many types of busi­
nesses during their growth stages.”
“FBS Venture Capital Company
will improve First Bank System’s
ability to sponsor new and emerging
companies that have substantial
growth potential,” said Phillip L.
Hendershott, First Bank System

senior vice president for banking
related businesses. “We feel for­
tunate that we will be able to pro­
vide this service in conjunction with
a management team that has more
than 25 years of experience in the
venture capital business.”
FBS Venture Capital Company
has offices at 7515 Wayzata Blvd. in
Minneapolis and 6900 E. Camelback
Road in Scottsdale, Arizona.
Manufacturers Restructures
Consumer Finance Unit
Manufacturers Hanover Corpora­
tion, New York, has renamed its con­
sumer finance subsidiary Manufac­
turers Hanover Financial Services,
The subsidiary had been known as
Manufacturers Hanover Consumer
At the same time, several of the
subsidiary’s operating units are also
being renamed to reflect the dif­
ferent markets they serve:
•The 40 multi-product offices will
operate under the name Manufac-

turers Hanover Financial Services.
They had been Finance One Finan­
cial Centers.
•The five industrial banks in
Denver will operate as Manufac­
turers Hanover Industrial Banks.
They had been Continental In­
dustrial Banks.
•The thrift organization in Los
Angeles will operate as Manufac­
turers Hanover Financial Center. It
had been Finance One Thrift of
The 324 consumer loan offices in
30 states will continue to operate as
Finance One offices, and the 28 con­
sumer loan offices in Puerto Rico
and the Virgin Islands will continue
to operate as CommoLoCo.
Manufacturers Hanover Finan­
cial Services, Inc., is a subsidiary of
the $64 billion-asset Manufacturers
Hanover Corporation and one of the
largest bank-related consumer fi­
nance companies in the nation. With
headquarters in Huntingdon Valley,
Pa., the subsidiary now has 400 of­
fices in 30 states, Puerto Rico and
the Virgin Islands.

Drovers Bank has ju st made discount
brokerage available to its correspondent bank
customers. This means fees generated for you,
and substantial savings for your customers.
And Drovers specialists can advise you how
to market this new and valuable service in
your area.
Discount brokerage: another reason
Drovers is one of the fastest growing
correspondent banks in the
midwest. Call John Crotty or Kathy Hardy at
1-800-621-8991. In Illinois, 1-800-572-2498.
Remember, fees for you, savings for your
customer. And it all starts with a phone call
to Drovers.

Drovers Bank of Chicago
47th & Ashland Avenue, Chicago, IL 60609 • 1-312-927-7000.
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


It’s Official — Banco is Now Norwest
structing was announced last Sep­
tember and October when a series of
regional offices were established to
1 changed its name to Norwest Cor­ bring corporation management and
poration. The name change was ap­ policy much closer to the scene of
proved overwhelmingly by stock­ local bank and subsidiary opera­
holders at their annual meeting in tions. That involved appointment of
a series of regional vice presidents
late April in Minneapolis.
Norwest Chairman John W. Mor­ and support staff (September,
rison told shareholders that the need NWB).
This second phase, Mr. Morrison
for a uniform identity is a conse­
quence of organizational and stra­ told shareholders and staff person­
tegic re-structuring. “ We have nel, is an extension of the re­
transformed ourselves from an Up­ structuring that will give visible
per Midwest bank holding company manifestation to the increasingly
into a broadly diversified financial wider scope of the services offered to
services organization with 800 loca­ customers of all sizes by the corpora­
tions in 42 states and several foreign tion. It is designed to make Norcountries, and the time has come to west’s area-wide and world-wide ca­
achieve a clearer awareness of that pabilities known and daily available
among our customers, employees to customers, regardless of where
and in all of the communities we their personal or business interests
take them on the globe.
Mr. Morrison said this unifying
concept will give greater visibility to
the public of the fact that Norwest
actually is a $17.6 billion financial
services organization to which each
customer has access through his or
her local financial institution that
will continue to offer personalized
service. With this, Norwest banks
and subsidiaries will “remain in­
volved citizens in the communities
we serve,” he stressed.
He pointed out that “our message
to investors should be recognized as
far more than a bank-holding com­
The company adopted the unify­ pany.” This re-structuring and ex­
ing name of Banco in 1972, although
most of the subsidiaries retained
their individual, and widely varying,
corporate names. The new name now
identifies the more than 30 different
names and graphic identity systems
by which the corporation’s 86 com­
mercial banks and several specialized
financial services subsidiaries pre­
viously were known.
Customers of Norwest Banks will
be able to use up existing supplies of
checks. Shareholders were advised
that existing stock and bond certif­
icates remain valid and need not be
exchanged for new ones. The current
New York Stock Exchange Ticker
symbol (NOB) will not change. On
May 2 the corporation began ap­
pearing as NORWST in newspaper
bond and common stock quotation
tables for the NYSE and Midwest
Stock Exchange. Preferred stock is
listed as Nwst pf.
The first phase of Norwest reNDER the re-positioning plan it
announced last September,
Northwest Bancorporation on May



Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

panding geographic distribution, h e ,
added, should “make us an inter­
esting investment prospect.”
The logistics of changing the cor­
porate names was a mammoth un­
dertaking. It involved replacement (
of more than 4,000 signs and the
redesign of checks, letterheads,
business cards, contracts and other
items at the company’s more than
120 corporate entities. Each bank or
subsidiary now has the name Nor­
west in its title. All banks have
Norwest Bank as their initial identi­
ty, followed by the name of the city.
Special events in each Norwest
location marked the changeover on
May 2. This included the simultan­
eous release of more than 75,000
helium-filled balloons. In Minneapolis-St. Paul, two helicopters car­
rying Norwest executive flew over
Twin Cities Norwest locations as the
executives were interviewed live on
WCCO radio. In Marion, la., motor­
ized hang gliders were involved in
the event there, while in Billings,
Mont., the day was announced by
the sound of bells from the bank’s
carillon tower. A double event took
place in Ottumwa, la., when Nor­
west Bank Ottumwa also opened on
that date a branch office in the new
downtown shopping mall.
The name changes in signage and
other graphics for the corporation
will continue to be implemented
throughout the balance of 1983, at
which time Norwest is expected to
appear continuously as a total cor­
porate identity.

look into


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In Nebraska call us toll free at 800-642-9907- Outside Nebraska call us toll free at
800-228-9533. Member FDIC.

Northwestern Banker, May, 1983


GREETING Iowa bankers at the Continental Bank of Chicago’s Des Moines conference last
month were these members of the host bank’s calling team in Iowa, from left: Walter Kuntz,
Pam Windham and Mary Nihlean, banking associates, and Bob Holland, vice president,

who heads the team in the Hawkeye State.

At Continental Bank’s Conferences—

Speakers View Deregulated Climate
ANKERS attending the annual
Executive Forums held last
month in Wisconsin, Illinois and

originally feared, primarily because
internal runoff was from higheryielding CDs, as they expired, and
Iowa by Continental Bank of Chi­ not from deposit accounts.
cago heard a forecast from the host
Mr. Kundert feels it’s a mistake
bank’s economist that includes:
for banks to sell against MMMFs on
•Real GNP growth in 1983 of the basis of FDIC coverage...“its
3.9%, compared to the minus .9% of only one of the advantages we
have,” he said. He listed conve­
•Inflation rate for 1983 about 4%, nience (ATMs, e.g.), location,
down considerably from the peak of transfer between checking and
15% in March, 1980.
Money Market Accounts as other
•Unemployment rate of 9.7% by advantages. Consequently, he looks
late 1983, compared to the 10.7% for a continued decline in MMMFs.
figure of 1982.
Mr. Kundert said its important
•Interest rates stable for near- for each CEO to ask these questions
term, feeling downward pressure in about his bank:
late ’83.
•Who are you? What do you want
•Cattle prices ($71.00 highest to be and do?
price at interior Iowa markets mid•Who are your customers? Which
April) down during summer, and ones do you want?
averaging $64.00 for the year.
•What products do you want to
•Hogs expected to hit mid $50s offer?
by mid-year, then to mid-$40 by
•W hat’s your distribution sys­
tem? Branch system may be dead,
Vice President Terry L. Francl but you have to determine what
and Industrial Economist Joan D. replaces it.
Schneider split the assignments for
•How do you price? If you
haven’t been aggressive in setting
the economic forecast.
Vice President William L. Kun- service charges, get at it. Rather
dert discussed details of Continental than paying rates tied to an index
Bank’s “Money Market Account (inflexible), have a weekly rate
and Deregulation.” He said 80% of change capability (flexible).
•Do you survive?
bank customers are aware of the
Gary Raddon, president, and Jack
new account. He said, as did other
speakers, that the “cost effects of Whittle, chairman, of Whittle Rad­
the MMDA won’t be as much as don Motley & Hanks Financial Mar­
for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

keting Group, Chicago, split the
platform duty on “Profiting From
Change,” They see a phase out of
Reg Q at, or shortly after, the forth­
coming June 28 meeting of the
DIDC. How to profit in heavy com­
petition in a deregulated environ­
ment was the thrust of this talk.
“Searching for ways to increase
income to offset this increased cost
of interest paid,” stated Mr. Rad­
don, “will be key to bank profitabili­
ty.” He said its the goal in one bank
his firm works with “to cover 100%
of our salary expenses through ser­
vice fees. Many of you now are at
20 % on this measure, while many of
the 350 banks we serve now are at
75% to 100%.”
They went through steps of devel­
oping a market program, listing
“ convenience” as the primary
reason for a customer selecting a
financial institution. One point Mr.
Raddon emphasized several times is
that the local bank(s) “own the
market.” He added, “you’ve worked
hard for years to develop that
market, and you should make an
outside firm sell to your customers
through you! By 1990, he stated,
“you’ll be a distributor and you’ll be
buying services from others, and
selling them, but don ’t give up your
market! You own it. Keep it, and sell
the products from others.”
The Des Moines program conclud­
ed after the noon luncheon with a
“Survival Stretegies” panel that
was moderated by Senior Vice Presi­
dent John B. Tingleff, who formerly
headed the correspondent bank divi­
sion and now is in charge of expan­
sion and acquisition activities in Il­
linois. Also on the program with him
were Vice President Alison L. Falls,
manager of Continental’s U.S.
B anking A dm inistration; Neil
Milner, executive vice president of
the Iowa Bankers Association, Des
Moines; John R. Hughes, president
of Hills Bank & Trust Co., Iowa Ci­
ty, and Mr. Raddon and Mr. Kun­
After a brief statement by each
panelist, an extended question and
answer period concluded the con­


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Northwestern Banker, May, 1983


What's faster than
a speeding mouth?

o> J t ¿ 4


O ur cash availabilities. Most
m oney center banks talk a big gam e.
B u t start to pin them down. Inquire
about schedules. A sk if your cash
letter w ith item s on Seattle, A tlanta,
N ew York or Topeka banks can be
available the sam e day. A nd the
brags and boasts will start to fade.
You’ll hear, “Hey, you don’t
need us. Call a Superm an!’
Funny, at C ontinental B ank,
w e don’t think sam e-day cash
availability is an act of heroism. To
us, it’s business as usual. B u t then,
w e happen to have one of the best
schedules in America.
P a rt of it is luck. W e’re in
Chicago, the nation’s transportation
hub. T he other part is good planning,
good technology and good oldfashioned hard w ork. We have two
helicopters for continuous mail
pickup. A n exclusive zip
code. A nd non-stop, 24
hour-a-day processing. We
present checks for collection
to 400 endpoints daily, 250
_/{ of w hich are direct sends.
Frankly, on
speed alone, w e generally
beat the Fed hands down. A nd not
m any banks can say that.
Let us show you how your
availability could be better. Call
Robert C. Vasko at (312) 828-4046. O ur
correspondents get the best there is.

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Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis


m in



m u ® ;»
in tu ì»
in u lti»
liiiu u tb ^
llllliu illl

O pportunities


and risk s!




The Citizens and Southern National Bank
Atlanta, Ga.
...from his keynote address at the annual conference
last fall of Robert Morris Associates at the Sheraton
Bal Harbour, Fla. While Mr. Brown is discussing the
loan loss trauma experienced by a $4.5 billion bank, the
remedial steps taken, reassessment of goals and objec­
tives and development of an “early warning system ”
contain management principles of value to executive
officers for banks of all sizes.
T’S MY PLEASURE to share with you some of the
C&S experiences which relate to the broad issue of
and Risks,’’ the issue which is, of

course, at the very heart of the banking industry. The
issue of “Opportunities and Risks’’ is also the para­
mount one that must be addressed by banks and bank^ ers if we are to compete worldwide in the financial ser­
vices industry.
While I don’t intend to spend a great deal of time
dwelling on past history at C&S, I think it’s appropri­
ate to mention some circumstances which you may
£ find can be applied to your own work environments.
The Disaster
A number of you will recall that at the end of 1977
C&S posted a loss of almost $10 million and eliminated
the dividend after continuous payment for more than
^ seventy-five years. In addition, we received a number
Federal Reserve Bank of St. Louis

four bank rating from our federal regulators, and our
classified assets as a percent of capital were probably
as high as those at any bank in the nation. So much for
the past. I mentioned it only to say that we were faced
with the most basic opportunities and risks at that
time. Our opportunity was survival; our risk was col­
When I say to you that we engaged in long range
corporate planning at that time, you might be inclined
to think, perhaps, a five-year span of time. The truth is
that our long range planning was a day at a time. We
were beset with dwindling liquidity, withdrawals by
corporate depositors, and the real possibility of not be­
ing able to accomplish enough soon enough to remain a
viable organization.
It was our judgment that we could survive, that the
opportunity was there. Our immediate task was to stab­
ilize the situation so that the risks were diminished.
It was necessary for us to change radically the entire
management philosophy and style.
The Road to Recovery
Among the very first steps we took was the estab­
lishment of goals and objectives against which our
senior managers could be measured. The reorganiza­
tion, while undertaken throughout the entire bank,
was emphasized at the senior management level. A
management committee was established with the re­
sponsibility for designing systems for and monitoring
every major function in the organization. Other critical
committees also were created, and each committee was
given its own written charter which specifically spelled
out its role and the expected results. Primary emphasis
Northwestern Banker, May, 1983


“Above all, good management must face the task of hiring good people
and of requiring superior performance from those people. Those people
who perform must be appropriately rewarded.”
outside the management committee was placed on the
credit policy committee because of the obvious need to
correct the severe credit problems apparent in the C&S
portfolio at that time.
To the amazement of many of our critics and even
some of our supporters our efforts yielded results. We
not only survived, but we have prospered with three
consecutive years of record earnings and a fourth very
likely this year. Today, our strategic planning process
extends outward to five years and for some activities
even beyond that. We have set specific goals for asset
quality, for growth in core deposits, for earnings, and
for profitability, measured by return on assets and
return on equity. And we measure ourselves and our
entire staff based on the objectives that are set annual­
ly related to these important goals.
Hindsight Is a Luxury
There are those who would say that these measures
should already have been in place, that any good man­
agement would have seen that there were committees
and that their responsibilites were carefully defined.
Hindsight might suggest that many of these things
should have been done, but bank management is rarely
offered the luxury of making decisions based on hind­
sight. The real truth is that what worked in banking at
C&S twenty years ago or even ten year ago, did not
work five years ago. It is equally true that what worked
to bring C&S back to strength and profitability during
the last five years will need to be modified if we are to
be successful over the next five years.
While it has been said so often as to be almost trite,
the fact is that the banking industry is changing so
rapidly that many of the old solutions are no longer
useful. W hat’s more, the pace of change promises to in­
crease in the future rather than to subside. While hind­
sight itself may be a luxury, those organizations which
learn the lessons of the past, whether through direct
experience or through observing the activities of
others, and those organizations which react to these
harsh lessons, will prosper.
In other words, those organizations which best
match the new opportunities with the new risks in­
herent in those opportunities are the organizations
which will be the leaders in the financial services in­
dustry of the future.
Dealing with Opportunity and Risk
Opportunities and risks come in many forms. Good
management must be prepared to deal with them in
whatever form they occur. I would like to share with
you some of my perceptions of several important areas
where good management must deal with opportunities
and risk.
Above all, good management must face the task of
hiring good people and of requiring superior perfor­
mance from those people. Those people who perform
must be appropriately rewarded. Good management
for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

must also be willing to separate those who do not per­
form. Perhaps in the past banks have been willing to
settle in some cases for people who were not the best.
Perhaps in the past banks have been willing to accept
less than superior performance and have been reluc­
tant either to reward richly those who have performed
or to weed out those who have not. The risks of hiring
or keeping employees who cannot positively contribute
to profits have increased as the cost of labor has in­
Today, productivity in banking is paramount. There
is no place for fat on the payrolls of the financial ser­
vices industry. No other opportunities can be seized
nor risks avoided unless a financial institution has a
staff which is more than simply competent. It must be
superior. Proper hiring and training of people signif­
icantly impacts the probable success in all other bank­
ing activities; the risk of poor staffing is failure in all





Utilize New Technology
have said that productivity is essential. In addi­
tion to better people, good bank management will, in ^
the future, deploy developing technologies to increase
productivity as never before. The financial risks of new
technologies both in terms of dollar costs and cus­
tomer service disruptions can be enormous. The results
of choosing the wrong systems can be devastating, q
But the risk of protecting the status quo and the
related decline in productivity can be worse.
As we adapt to changing technologies, we will also
be presented with the abilities to offer new products to
new markets. If we hesitate to take advantage of the £
opportunities that we are offered, if we perceive our­
selves as less than we can be, the opportunities will
pass us by. The railroads believed that they were in the
railroad business. It took the airlines to demonstrate
to them that they were really in the transportation ^
business. If we perceive ourselves as eyeshade bank­
ers, then Merrill Lynch, Sears, and American Express
will show us that we were in the financial services in­
There are risks in making the effort to broaden our 0
product offerings and to broaden our markets. I be­
lieve that the opportunities are worth the risks we
must take to meet the new competition.
Our “Early Warning System’’
do not propose to tell you how each of you in your
institutions can best estimate the risks and yield of
each opportunity that presents itself. I can tell you
what we have done at C&S to try to create “Early Warn­
ing Systems” and to protect the yield from our opportunities as it relates to risk.
There is a continuing and consistent emphasis on
credit quality from top management. Our city exOPPORTUNITIES AND RISKS...
(Turn to page 24, please)


D eregulation — issues and implications

Citizens National Bank
Charles City, la.
Mr. Tomson, a director of the Federal Reserve Bank
of Chicago, recently addressed a seminar conducted by
the Iowa Transfer System. This is an extract from his
keynote speech.
HAT are the issues of our great industry today?
There are at least three which I believe to be of
real importance that I would like to discuss with you.
These are as follows:
•Should the entire competitive framework of the
banking industry be deregulated?
•Should the banking industry per se continue to be
treated, from a regulatory standpoint, as a separate in­
dustry? Stated differently, are we a relevant line of
•To what extent and in what manner should the fed­
eral government continue on in the business of deposit
Let’s take a look at the first issue regarding the
• competitive framework of banking and the cur­
rent movement toward deregulation. Regulation bas­
ically offered three areas of protection to the commer­
cial banks.
The demand deposit franchise was the exclusive
province of the banks.
The marginal cost of funds was controlled
through Regulation.
The charter franchise offered reasonable geo­
graphic protection.
Piecemeal legislation, offered beginning with the
1970 amendments to the Bank Holding Company Act
of 1956 and culminating with the 1980 monetary de­
control statutes, has altered the first two areas of regu­
lation but left the problem of the third area, geographic
protection, to be dealt with in the future. If we believe
what we see regarding the apparent trends (i.e., inte­
gration into the banking market by non-bank entities),
then it may well be that the statutory deregulation of
this final area may come to pass as a non-event for

Federal Reserve Bank of St. Louis

those of us actively participating in the retail financial
Questions we well might ask are, “Who will benefit
the most from deregulation?” and, “What are the ma­
jor advantages that it will offer?” I, for one, would not
anticipate that we’ll have higher interest rates for the
saver, cheaper interest rates for the borrower, greater
stability and safety for the public, and a more efficient
industry inviting new risk capital and fantastic
growth, all at the same time.
The concept of deregulation is inviting. It offers par­
ticipants who are producing the products and services
for the market place the opportunity to expand the
scope of their activities extensively. But, it also invites
new and more intense competition and provides a great­
er opportunity for error and failure. So, the concept of
deregulation is also distressing. Those of us who have
thrived and prospered under the aegis of a regulated
environment are not apt to walk glibly into this brave
new world in a spirit of unity with those who would
reshape the future too briskly, away from what has
been an extended, pleasant experience.

Are we a relevant line of commerce which should
• enjoy a separate status from industry? As we
observe some of the unique attributes of the industry
becoming diminished or even disappearing, there will
be those who will point out that banking is no longer a
relevant line of commerce. I wonder, however, if the ab­
stract nature of this business, which has made it sub­
ject to a significant degree of public suspicion through­
out much of the history of western civilization will re­
cede to any appreciable extent in the latter years of the
twentieth century.
The ability to control, to direct, to employ financial
assets continues to convey an aura of power. This is an
innovative and creative business and deregulation car­
ries with it a growing propensity for concentration of
In the early part of this century, reform was a pop­
ular work on the political scene and regulation of bus­
iness and banking was much in vogue during the terms
of Teddy Roosevelt and Woodrow Wilson, particular­
ly. While the progressive movement was steering its
way somewhere between laissez faire and socialism,
and attempting to do away with the inevitable evil of
the large corporations and trusts, we experienced what
was referred to as the “bankers panic” of 1907. Con­
gressional investigations resulting from this revealed
that members of J.P. Morgan and Company, First Na­
tional Bank of New York and National City Bank of
New York controlled directorships of 110 of the
greater industrial and financial corporations of this na­
President Wilson was acutely aware of this concen­
tration and recognized the great monopoly of this
country as a money monopoly. He stated that, “The
growth of the nation, and all our activities, are in the
hands of a few men who are necessarily concentrated
upon the great undertakings in which their own money
is involved and who necessarily chill and check and
destroy genius and economic freedom.”
Even with the genius of Carter Glass, the Federal
Reserve Act of December 23, 1913, could not be passed
without the support of William Jennings Bryan, and
the new law recognized his demands that no banker
Northwestern Banker, May, 1983


“the most important
management task
for any bank
will be strategic

should be appointed to sit on the Board of Governors
of the Federal Reserve System.
Granted, the world of finance and financial services
has changed since 1900, but those who don’t know the
lessons of history may well be destined to repeat them
or at least some of them.
It is well to remember that of the financial indus­
tries, banking is by far the largest. Commercial banks
employ well over $100 billion in equity capital, easily
outdistancing the second place property casualty com­
panies which operate on approximately 50% of that
figure. These two industries are significantly larger
than the entire securities industry.
There is a unique aspect about the commercial bank­
ing industry. It is extremely fragmented. With nearly
15,000 banks in the United States, the share of bank­
ing assets held by the largest banks remains signifi­
cantly less than that of any other industrialized coun­
try. The three largest U.S. banks, for example, have
18% of commercial banking assets and the ten largest
only 34%. Compare this to Canada, where the five
largest banks hold 90%; England, where six banks con­
trol 70%; France, where three control 55%, and Ger­
many, where three control 42%.
Depending upon your particular point of view, you
might find these statistics either satisfying or rather
The third area, that of the role of the federal
• government in the deposit insurance business,
should provide for a growing amount of augmentation
and debate in the coming months of this decade.
It is perhaps here that I feel we may well start to fa­
miliarize ourselves with the term of re-regulation as op­
posed to de-regulation.
Alex J. Pollock, vice president for corporate plan­
ning, research and development, Continental Illinois
National Bank, Chicago, writing in February, 1982, on
the Future of Banking: A National Market and Its Im ­
plications, feels that it is firmly established that the
deposit liabilities of banks and savings and loans are
de-facto guaranteed by the government. This risk
must be managed. The contingent liability is too huge
too allow the insured institutions to go unmonitored
and the debacle of a systemwide failure is unconscion­
able. Perhaps the solution of the 1930’s is nearing an
end but we can well anticipate that something will
replace it.
Many of us, particularly from the community bank

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

sector, who have been the victims of intimidation by ^
our respective regulators when it comes to capital
ratios, would like to see considerably more attention
given to risk-related federal deposit insurance prem­
iums. It would seem that such a possibility would be
most compatible with a more competitive and de-regu- 0
lated financial environment.
The challenge to you and to me as community bank­
ers is simply, “How well can we perform under de-reg- ®
ulation?’’ There is a great deal of competent and well
conducted research taking place regarding this quest­
ion in academia as well as within the industry itself.
Various viewpoints and prejudices exist and conclu­
sions may be in some cases more polemical than objec- ®
tive. I have a compendium of excellent research papers
and articles representing Proceedings of a Conference
on Bank Structure and Competition, conducted by the
Federal Reserve Bank of Chicago on April 12-14, 1982.
It contains a number of scenarios. If you are interested ®
in learning the viewpoints of a group of prominent ob­
servers from around the United States regarding the
future of our industry and its participants, get a copy
and read it.
In order for us to succeed in the coming years of this ®
decade, we know that we will need to improve our man­
agement skills, improve on our level of technological
competency and carefully review our product lines for
profitability. C. Todd Connover, the Comptroller of the
Currency of the U.S., has stated that the most impor- ®
tant management task for any bank will be strategic
planning, because government will no longer define
your market place or the services you can provide. Con­
sequently, innovation will become more important.
In drawing my own conclusions regarding the fu- W
ture, I am considering what I believe to be the sound
observations of a veteran money center banker, John
F. McGillicuddy, chairman of Manufacturers Hanover
Trust Company, New York. Mr. McGillicuddy observed ^
in an address on January 12th of this year in New York
that while the movement toward functional integra­
tion (in financial services) is inevitable, he does not see
it as moving at the pace that many would have us be­
lieve. When he reviews and considers the wave of merg- £
ers and the conglomerate movement of the 1960’s, he
says that more of these failed than succeeded, and
warns that you can’t paper over existing problems
through that procedure.
He also concludes that there will always be room for £
the well managed company that decides to do only one
or two things, but do them well, and recites the lack­
luster performance of the New York City banks in at­
tempting to move into outstate New York since
branching was permitted in 1976. He admonishes that 0
short term results must not be allowed to jeopardize
the future, and concludes that no one is about to in­
herit the world of financial services.
Finally, I will reiterate what I have said in the past,
that a progressive environment stimulates continual 0
change. Witness retailing, transportation, agriculture,
and manufacturing. If community banking is to sur­
vive and prosper, it must do so while demonstratng to
the public that it can, in fact, prosper under the type of
competition and change that de-regulation will unques- 0
tionably intensify.



LEFT— Nebraska Indep. Bkrs. Assn, was represented by Jim Moylan, exec, dir., Omaha; Vic Michel, NIBA bd. member and pres., Hender­
son State; Wes Bowen, sr. v.p., Packers Natl., Omaha, and Dennis Brewster, pres, of NIBA and pres., Butte State. RIGHT— Benton O’Neal,
vice chmn., 1st Natl., St. Joseph, Mo., and Evelyn O’Neal; Bob Larson, pres., State Bk. of Cairo, Nebr., and Ruth Larson, and Bill Manriing,
v.p., 1st Natl., St. Joseph.

I BAA Advances James Herrington
*T o Presidency for 1983-84 Term
Editor and Publisher

Valley Bank of Kalispell, Mont. The
post of treasurer will be filled for a
second year by James R. Taylor,
ELEGATES attending the 53rd president and CEO of the McKees­
annual convention of the In­ port National Bank in McKeesport,
dependent Bankers Association in Pa.
San Diego in late March elected
In his president’s report, Mr. Mc­
James D. Herrington as president Cormick gave a detailed review of
for 1983-84. He is chairman and IBAA legislative activities the past
president of the Coldwater National year. He cautioned his audience to
Bank in Coldwater, Kans. As presi­ be aware of and oppose the Meat
dent of the IBAA, which has mem­ Packers Bill which has been intro­
bership of more than 7,000 indepen­ duced in several states, stating, “it
dent banks in the nation, Mr. Herr­ will take away banks’ security in­
ington succeeds Robert L. McCor­ terest in cattle sold.’’ Mr. McCor­
mick, Jr., president and CEO of the mick also said, “ IBAA worked hard
Stillwater National Bank and Trust to support noon presentment. This
Company in Stillwater, Okla.
was a classic IBAA issue - favorable
Paul H. Bringgold, president of to smaller, independent community
First National Bank in Cannon banks, and unfavorable to larger
Falls, Minn., was advanced to be and holding company banks.”
first vice president of IBAA. Suc­
Mr. McCormick said further,
ceeding him as second vice president “One over-riding political issue of
is A.J. (Jack) King, president of 1982 was the Garn-St. Germain bill



to bail out savings and loans. In one
swoop they destroyed the banking
structure we’ve had for 50 years.”
He had harsh words for Secretary of
the Treasury Donald Regan (for his
stand on 10% withholding and mis­
leading statements about banks), for
the Comptroller of the Currency (for
his chartering policies allowing nonfinancial institutions to have na­
tional charters), and FDIC Chair­
man Wm. Isaac (for his stance
favorable to one giant, powerful
overlord as federal regulator of
banks). For added kickers he took
pokes at the ABA, and President
Reagan’s plan to remodel the bank­
ing industry. “The IBAA is waging
guerilla warfare,” he emphasized,
“trying to buy time and space. We
think the present system is fair and
we’ll do all in our power to slow
down or halt the changes.”
Mr. McCormick was followed by
Treasury Deputy Secretary R.T.
McNamar, who defended the gov­
ernment’s position on interest and
dividend withholding. He warned
the IBAA that if its members op­
pose the Administration’s compre-

LEFT— Bob Bark, pres., Valley State, Oslo, Indep. Bkrs. of Minnesota dist. 8 dir; Quent Bedell, pres., State Bk. of Vernon Center and dist. 2
dir.; Lowell Wakefield, pres., 1st Natl., Wayzata, and pres, of IBM, and Norb M. McCrady, exec. secy, of IBM, all of Minnesota. RIGHT—
James A. Jorgenson, exec, v.p., State Bk. of Kenmare, and pres., Indep. Comm. Bks. of N.D.; Gary S. Nelson, .v.p., Scandia American Bk.,
Stanley, and member ICBND exec, cncl.; Arlene Leingang, exec, secy., ICBND, Bismarck; Gene Hamilton, v.p., Farmers & Merchants,
Beach, member ICBND exec, cncl., and James Walth, pres., Union Bk., Halliday, and v.p. of ICBND, all of North Dakota.
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


Illinois was represented at the IBAA convention by a good contingent, several of whom are shown above, from left: Lyle P. Campbell,
chmn., Peotone B&T, Peotone; Ed Meyer, pres., Peoples Bank of Cambridge; June and Bill Hocter, exec, v.p., Illinois Bkrs. Assn., Chicago;
Carol and Don Lovett, pres, of IBA and chmn. & pres., Dixon Natl.; Jim Carmody, pres., and John Crotty, sr. v.p., Drovers Bank of Chicago;
Bob Regnerus, 2nd v.p., American Natl. B&T, Chicago, and Frank Bauder, chmn., Drovers Bank.

hensive game plan, but have no al­
ternatives to offer Congress, they
will be left out of the debate.
The second government official to
be heard from was Preston Martin,
vice chairman of the Fed Board. He
spoke without text, and in general
on several topics, but without spe­
cific endorsement or recommenda­
tion, other than to caution IBAA to
continue to work within the political
Frank Cappiello, noted financial
commentator on PBS’ “Wall Street
Week,” was the final speaker at the
first general session. After the anx­
iety, conflict and concern evidenced
earlier in that session, his talk gave
a positive, up-beat look at the recov­
ering economy. He said the recovery
will be slow, but continued.
Second General Session
A more positive attitude con­
tinued through the second general
session. IBAA’s new Employee Pen­
sion and Profit Sharing Plan was ex­
plained by Bill Lind, vice president
and trust officer of the American
National Bank and Trust Co. of St.
Paul, Minn., whose bank is trustee
for the IBAA plan. Richard J. Died-

rich, vice president of the St. Paul
Fire and Marine Insurance Co., St.
Paul, Minn., used slides to stress the
importance of an emergency plan as
part of “ Insurance Risk Manage­
ment in Banking.”
A fast pace was added to the pro­
gram with the appearance of the
very personable Sen. David L. Boren
(D., Okla.), a personal friend of
IBAA President McCormick, who
has been a supporter of the with­
holding repeal move. He stated firm­
ly, “We are not going away until
this thing is settled.” Regarding the
flood of letters to Congress on the
withholding issue, Sen. Boren drew
a loud laugh and applause when he
said, “Am I annoyed by the 8,500
letters I ’ve received from Okla­
homans? Certainly not! Where else
could all of us up for re-election in
1984 get such a mailing list of active
voters who have money in the
Sen. Boren decried the announced
intention of Sen. Robert Dole (R.,
Kans.), Senate majority leader, to
seek revenge on bankers for oppos­
ing withholding by actively pursu­
ing ways to institute higher taxes on

banks as punishment. He cautioned
bankers to keep an eye on the two
financial committees — the Senate
Financial Committee and the House
Ways and Means Committee. “Some £
of these people will be aiming at the
tax -d ed u ctib ility of m unicipal
banks,” he said. “Some will want to
reduce or eliminate the reserve for
bad debt losses, which would be bad £
legislation. We need to be encourag­
ing an increase in or adequate re­
serves to preserve the safety of the
banking system and the public’s
money,” he stressed.
Sen. Boren concluded by stating,
“The challenge the next few years is
of significant importance. The struc­
ture of the financial industry needs
to be studied more and the impact in
the future of changes made today.”
Before closing, Sen. Boren took
FDIC Chairman Wm. Isaac to task
for his statements earlier that week
espousing one type of banking in­
stitution — “a supermarket of all
financial services.” He said, “His
statement about market discipline
means to me having one institution
like Citicorp — or, if from the
Treasury, one called Merrill Lynch. ’’

LEFT— Don Heineking, pres, of Iowa Independent Bankers and pres., Security State, Hubbard; Arnie Schultz, v.p. of MB and pres., Grundy
Natl., Grundy Center; Richard Betrglund, exec. v.p. of 11B, Des Moines, all three from Iowa, with Ken Guenther, exec. v.p. of IBAA,
Washington, D.C. RIGHT—Welcoming guests at American Natl. B&T of St. Paul, Minn., open house were, from left: Bob Jacobson and 0
Tom Resch, v.p.’s, and Bob Sipple, sr. v.p.
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

He criticized Chairman Isaac furw ther by saying “disclosure regula­
tions (on past due loans) is wrong
legislation at the wrong time.”
Sen. Boren received loud applause


for his comments on small business
philosophy being the foundation on
which this nation was built.
USD A Deputy Secretary Richard
E. Lyng reviewed current policies of

his department, especially the PIK
program. “We are convinced PIK
will work well. It will reduce excess
stocks, yet keep ample supplies of
grains on the market to keep the

LEFT— Staffing exhibit for Daktronics, Inc., of Brookings, S.D., were Bud Weisser (left), sr. sales exec., and Frank Kurtenbach, sales mgr.,
both of Brookings. RIGHT— Mike Baker (left), of Wyatt Co. actuarial firm, San Diego, and Wm. F. Lind, v.p.-trust div. for American Natl.
B&T, St. Paul, Minn., which is trustee for the IBAA sponsored employee benefit plains.

:M Ê Ê Ê Ê -



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Less than prime rata

3 f»
LEFT—C.A. Crowe greeted visitors to exhibit of Collateral Control Corp., St. Paul, Minn. He is a sales repr. living in Walnut Creek, Calif.
RIGHT—At the booth of HBE Bank Facilities, St. Louis, Mo., were Tom Lombardo (left), v.p. & eastern div. sales mgr., St. Louis, and George
Gerza, acct. exec., Minneapolis.


LEFT—Ken Conrad, v.p.-dir. of mktg. for Modern Banking Systems, Inc., Omaha, Nebr., explains details of the Micro 300, which he
describes as the first truly on-line proof machine that will perform all proof operations in a bank. Operator is Donna Curry of MBS of Kan­
sas, Piqua, Kan. Unit at lower left is Tl DS10 Disk Drive computer. RIGHT—Pictured at exhibit of Professional Bank Services, Inc. are, from
left: C.D. Charlie Bennett, chmn. & pres., Farmers Bank, Hardinsburg, Ky.; George Freibert, pres, of PBS at headquarters in Louisville, Ky.;
Leonard Jorgenson, pres., State Bank of Kenmare, N.D.; Nancy Coon, mgr. of PBS branch office in Bismarck, N.D., and Duane Anderson,
pres., Liberty Natl., Dickinson, N.D.
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


LEFT— Mick Guttau, pres., Treynor State; Dick Lehmeier, v.p., Tipton State; Tom Dunlap, pres., South Story B&T, Slater, and Don Heineking, pres., Security State, Hubbard, all of Iowa. RIGHT— Dean Mehlhaff, pres., So. Dak. Bnkrs. Assn., and pres., Eureka State, Eureka;
Elaine and Ray Plowman, dir. and retired pres., First State Bank, Armour; Judy and Milt Schwartz, exec, mgr., SDBA, Pierre, all of South


grain supply up so other nations
cannot move in on us. We don’t
know whether we’ll do PIK for two
years, but this should be announced
soon. Two years would certainly get
rid of the surplus. We have taken
out 36% of the planted cropland.”
Mr. Lyng noted that government
food storage of dried milk (1.2 billion
pounds), b u tte r (450 m illion
pounds), and cheese (700 million
pounds) keep building faster than
the government can give it away.
This, he said, is due to the power of
the dairy lobby.
The chairman of the Democrat
National Party, Charles T. Manatt

of California, urged his audience
several times to remember that
“withholding at source works both
ways.” With that theme, the native
of Audubon, la., who still owns
seven farms there, petitioned IBAA
members to support Democrats who
supported bankers in opposition to
the withholding issue. He said about
President Reagan, “I ’m up to my
keister with the President beating
up on bankers.”

in lieu of regulations. He spoke
again in favor of one federal bank
Chairman Isaac said the current
FDIC “watch” list contains 425 pro­
blem banks. A year ago that number
was 370. There have been 12 bank
failures in 1983, he noted, but the
1983 total could exceed 1982’s total
of 42 failed banks.
A series of special sessions were
offered in addition to the two gen­
eral sessions, and all were well at­
The final speaker was FDIC tended. Banquets and entertain­
Chairman Wm. Isaac, who pre­ ment were offered Thursday and
sented again his plan for “market­ Saturday nights during the convenplace discipline” to control the com­ tion. The 1984 convention will be
petition and risk-taking in banking, March 26-28 in New Orleans.

(Continued from page 18)
ecutives and other members of top management are
personally involved and spend whatever time is neces­
sary to be satisfied that our systems are appropriate
and that they are working. The absence among senior
management of such emphasis and involvement is a
clear signal to others that credit quality is not a high
A. We require written loan policies, and they are
distributed to every lending level in the organization.
B. For any loans which are less than satisfactory, we
require a written plan by each account officer which ex­
plains how he or she will improve the credit.
C. We measure the performance of account officers,
their department heads, their division heads, and the
members of the management committee against pre­
determined performance standards on a quarterly
D. We particularly stress the reduction of credit
losses and the reduction of non-performing assets. A
criticized or classified asset is either upgraded accor­
ding to an acceptable written plan, or we make every
effort to move it out of the bank.
Each new credit or relationship is scrutinized also
for its net opportunity against written policies and
A. Each credit is reviewed by industry, by
geographic location, by type of credit risk, and for pur­


for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

B. When the quality of a loan is questionable, we insist that the account officer himself properly criticize
and classify the credit before the bank examiners do it
for us.
C. We do not offer credit products (or any other pro­
ducts for that matter) until we have trained or hired
the experienced personnel to handle them properly.
Even with good controls in place we sometimes fail,
but we believe that without a highly-structured, credit­
monitoring system, in time failure is assured.
We Cannot Afford Failure
As an industry we cannot afford failure. It is ab­
solutely essential that we refine our fail-safe systems
to deal with current conditions and that adaptation to
changing conditions be built into them.
The heart of the American economy and the free enterprise system beats in the banking industry. We can
create money as no other industry can. We can grant
credit which can stimulate the entire national
economy. We have an enormous opportunity to improve the condition of our society and its people. It is
our responsibility to put firmly in place the necessary
systems and controls to evaluate opportunity and
risks together. It is our obligation to the nation
perhaps more than that of any other industry.
I believe that our nation is fortunate to have a vig­
orous and progressive banking system, one that is
ready and well-prepared to fulfill its obligations. You
have a heavy obligation to quality, a heavy obligation
to protect the quality of our banking system. I am confident that it is in good hands.












fire, deposits had gained $1 million!
The “temporary” headquarters
turned out to be an excellent loca­
tion and Drovers still offers its
banking services from that same fa­
cility at 47th and Ashland, where
the Centennial Birthday Party was

Sidney J. Taylor, chmn., exec, comm.; Frank E. Bauder, chmn., and James J. Carmody,

pres, and c.e.o., flanked by officers and customers, cut the ceremonial cake at the celebra­
tion of the 100th birthday of Drovers Bank of Chicago, February 12. Over 3,000 people jammed
the lobby of the bank to join in the celebration.

Drovers Bank Marks 100th Year
of Chicago
capped the celebration of its 100
years of service on February 12


when more than 3,000 people crowd­
ed into the main lobby to help the
bank celebrate in a gala “Drovers
Birthday Party.”
Since that same date of February
0 12 a century ago, despite wars, de­
pressions, economic chaos and a dis­
astrous fire, Drovers Bank has nev­
er closed its doors on a banking day.
Drovers President James J. Car• mody and other bank officers and
staff welcomed the crowd of visitors,
who were entertained with a color­
fully decorated bank lobby and pro­
vided popcorn, punch and pastry, as
• well as candy and potato chips for
the youngsters.
Two galleries of pictures were on
display—one that traced the history
of Drovers Bank from its founding
• through the years, another that por­
trayed the early days of the Chicago
Union Stockyards. The bank’s his­
tory recalls that when Drovers Bank
first opened its doors at 4191 South
® Halsted in the Town of Lake (Chi­
cago only extended south to 39th
Street), it had seven employees,
capital of $ 100,000 , and first day’s
deposits of $499.98. Today, Drovers
® has more than 240 correspondent
banks, and has assets, including sis­
te r in s titu tio n s , of a lm o st
Drovers Bank was named for the
® “drovers” who brought herds of
Federal Reserve Bank of St. Louis

Texas longhorns north on the Chis­
holm and other western trails to rail­
heads in Kansas to feed the eastern
populous regions of the United
States in the late 1800s. That name
indicated to cattlemen that the
bank’s owners understood their
needs. Armed with that knowledge,
the record books also show, some of
them rode horseback right into the
bank lobby to pick up their cash!
To maintain this close relation­
ship with cattlemen and livestock
firms doing business in the old
Yards, personal calls in the middle
of the Yards were standard proced­
ure for Drovers Bank personnel, as
well as calls on related firms in the
Yards area. Some of the bank of­
ficers even moved closer to the
Yards so they could extend the
hours of their working days to fit
those of their livestock customers.
With this solid underpinning of ser­
vice and personal relationship, the
bank continued to grow.
As a result, Drovers executives in
1895 constructed and moved into a
beautiful new building nearby. How­
ever, a disastrous fire in 1934 com­
pletely destroyed everything but the
vault. Undismayed, bank officials
opened in another location within
hours, and no banking hours were
lost in the move. The gains in depos­
its in this period were described as
“remarkable” and provided strong
evidence of customer confidence. At
the end of the first week after the

United Missouri Bank to
Handle PIK Payments
announced recently it has completed
arrangements with United Missouri
Bank of Kansas City, N.A. to serve
as AGRI-PIK’S “depository and
distribution” agent on all checks in­
volving farmers’ PIK contracts and
payments to dealers, manfacturers,
lenders and farmers.
national clearinghouse service for
PIK contracts, enabling farmers to
arrange equipment and other acqui­
sitions with these contracts now, in­
stead of waiting until later in the
year. It also enables farmers to use
their PIK contracts with more than
one supplier.
Peter G. Genovese, vice chairman
of United Missouri Bancshares,
Inc., parent of United Missouri
Bank of K.C., stated they were
pleased to be able to serve the
agricultural and business communi­
ty through the creative banking ap­
proach designed especially to fit
Paul L. Shahan, executive vice
president, United Missouri Bank of
K.C., worked out the details of the
arrangement for the bank. He said
this summer and fall, when farmers’
PIK grain is delivered against the
advance cash sale, checks from
elevators representing payment to
farmers will be mailed directly to a
special lock-box at the Kansas City
bank. Within five days the bank will
verify the documentation, and pre­
pare and mail payments to dealers,
manufacturers, lenders and farmers
as directed by AGRI-PIK SER­
VICES, INC. No other dispersals
can be drawn on the account.
Dr. Ronald Posluns, president of
AGRI-PIK, also announced that a
letter was being sent asking that
USD A create a special auditing ser­
vice to work with AGRI-PIK and all
other entities who accept the assign­
ment of farmers’ PIK contracts.
This is to assure farmers that their
interests are being properly ad­
ministered, he said.
Northwestern Banker, May, 1983

involved acquisition by the Des
Moines RCPC of a Burroughs
B-9489-16 disk drive which is used
to create the mini disk (diskette).
The purchase price of this equip­
tape produced as a standard product ment from Burroughs is $6,258. The
by ACH main frame computers. To Des Moines RCPC leases it for $296
resolve this problem, the IBM 34 per month ($3,552 per year).
Users’ Group in Iowa (about 30
Tom Killeen, assistant vice presi­
banks at last year-end) petitioned dent in charge of the Fed’s Des
the Iowa Transfer System, which is Moines office reports, “ In early
responsible for the Iowa Automated December, 1982, three Iowa finan­
Clearing House Association, to find cial institutions began receiving
a means to convert the ACHs mag their ACH output on diskettes.
tape output to the diskette format Those financial institutions were:
used by the IBM 34. In the mean­ Citizens National Bank, Charles Ci­
time, members of the Users’ Group ty; First National Bank, Clarion,
had no alternative but to key in and St. Ansgar State Bank, St. Ansmanually the data supplied from the gar.” He reported further there were
ACH by the Fed’s Regional Check no technical problems with the pilot,
Processing Center in Des Moines.
the program is cost effective in a
The Federal Reserve Bank in Rich­ Fed environment, and receiving in­
mond, Va., conducted a study of stitutions find the diskettes bene­
diskettes as an ACH output medium ficial.
during the fourth quarter of 1981,
“After a highly successful pilot
and found it practical. The Des program, ’’ Mr. Killeen stated recent­
Moines RCPC was designated by ly, “this service was opened to all in­
the Chicago Fed to conduct a similar terested financial institutions in
pilot for the Seventh Federal Re­ February, 1983. At this time we an­
serve District. The Iowa pilot began ticipate adding from 20 to 30 new
in November, 1982, adopting the diskette receiving banks before
procedures used in Richmond. This year-end.’’

Fed provides diskettes instead of
paper reports to IBM 34 users
NOTHER new service being of­
fered by the Federal Reserve
System in its efforts to woo more
business from banks is the creation
of diskettes at Automated Clearing
Houses for banks with IBM 34 com­
puters so that banks will not have to
key in manually the ACH data
transmitted daily to them.
Formerly, the banks involved in
this pilot project had their computer
work done by a city correspondent
bank or a service bureau, and those
centers used the mag tapes normally
supplied by the Fed offices, which
operate the ACHs. The alternative
for a community bank not using an
outside computer processor is to
receive from the ACH a paper re­
port, from which the local bank pro­
cesses each account manually.
With the advent of the IBM 34 in
the past 24 months, some communi­
ty banks have opted to do their own
computer work on-premise. One draw­
back has been the inability of the
IBM 34 to operate from the mag

EQUIPMENT used in conversion of mag tape to diskette form at the Federal Reserve’s Des Moines RCPC is shown above. At left, operator
D?nuTSP° mpUt terminal which issues all commands to the central computer and instructs it to call up the information for a specific bank.
RIGHT—Instead of getting mag tape output, this Burroughs Mini-Disk Drive converts the information to a diskette, which is then mailed to
the bank for use in the IBM 34 mini computer.

ABA Risk - Insurance
Management Seminar
The Security and Risk Manage­
ment Division of the American
Bankers Association has announced
its next Risk and Insurance Man­
agement in Banking Seminar which
will be held at the Hyatt Regency in
New Orleans, June 7-9. The two-andone-half day seminar provides the
banker/executive responsible for the
bank’s risk and insurance manage­

Banker, May, 1983
Federal Reserve Bank of St. Louis

ment program with effective work­
ing knowledge of risk management
principles, im portant bank in­
surance coverages and markets.

nounced by John J. Wuest, senior
vice president, special lending area,
Mercantile Trust Company N.A.
Mercantile Business Credit will pro­
vide companies with revolving lines
of credit secured by their accounts
Mercantile Forms Unit to
receivable, inventory and equip­
Make Asset-Based Loans
Mercantile Trust Company N.A.
The new subsidiary primarily will
has established a subsidiary, Mer­ serve middle-market companies,
cantile Business Credit Inc., to those with annual sales of $5 million
make asset-based loans, it was an­ to $200 million.

• MABSCO Ag Ready to Expand
ABSCO Agricultural Services,
Inc., (MASI) held its annual
meeting in St. Louis, Mo., April 6












MASI is a subsidiary of MABSCO
Bankers Services, Inc., which is
owned by thirteen state bankers
and authorized a substantial change associations representing 6,700
in its operation to the benefit of par­ banks.
ticipating banks. Four members
were added to the board which now
totals fifteen. Reelected as president Associates Commercial Plans
was Edward L. Tubbs, chairman of New Chicago Headquarters
Maquoketa State Bank, Maquoketa,
Associates Commercial Corpora­
la. The secretary/treasurer position tion has signed a lease for new cor­
is held by Leslie W. Peterson, presi- porate headquarters in a building
dent of Farmers State Bank in Tri- now under construction in down­
mont, Minn. Jim C. Potter, Des town Chicago. The building, now
Moines, la., remains executive vice known as One Park Place at 150
president and chief operating of­ North Michigan Avenue, the north­
west corner of Michigan Avenue and
The board approved the restruc­ Randolph Street, will be renamed
turing of the MASI program with The Associates Center by its devel­
Rabobank Nederland in order to ar­ oper, Collins Tuttle & Company.
range for the compliance of the pro­ Assoicates Commercial is the Chi­
gram with a recent ruling of the Of- cago-based commercial finance sub­
fice of the Comptroller of Currency sidiary of Associates Corporation of
North America (The Associates).
A working agreement reached
Associates Commercial Corpora­
with Rabobank last August provid­ tion will relocate this fall to offices
ed for Rabobank Nederland to pur- occupying approximately 100,000
chase agricultural loan participa­ square-feet on six floors of the ultra­
tions of up to 80% from MASI af­ modern 41-story office tower. The
filiated banks in the thirteen firm will move from offices present­
MABSCO region. This program ly in Mid-Continental Plaza, 55 East
helps banks meet their competition; Monroe Street.
better serve their ag customers; and
Associates President Harold D.
will increase their profits. Changes Marshall said: “We began opera­
in the operations, as outlined at the tions in Chicago a decade ago in a
annual meeting, will result in the 10,000-square-foot office employing
elimination of LIFO (last in/first fewer than 50 people, and we expect
out) after a loan is in default. The that within a year of our relocation,
revised program calls for pro-rata Associates Commercial Corpora­
sharing of losses after default which tion’s staff in downtown Chicago
will bring the program into confor­ will surpass 350, a sevenfold in­
mity with the OCC’s interpretive crease.’’
The Associates, with interna­
MASI is currently purchasing tional administrative offices in
loans in six states: Iowa, North Dallas, provides commercial fi­
Dakota, Nebraska, Oklahoma, Mich­ nance, consumer lending, diversified
igan and Wisconsin. The program is financial services and insurance
ready to be implemented in substan­ through approximately 700 domes­
tially all of the remaining MABSCO tic and foreign offices. Associates
states. Approximately one hundred Commercial Corporation is a major
banks have expressed interest in the independent source of capital for
MASI program and have been sent transportation, industrial and com­
preliminary sign-up packages and munications equipment, business
loans and factoring. Founded in
Mr. Potter said “Bankers who 1918, The Associates has assets of
have used the MASI program report more than $5 billion.
a high degree of satisfaction with
the handling of loans that have been
sold. MASI is optimistic that with Association Management
the negotiated changes now being Company Is Formed
implemented, the program will be
The formation of W att and
readily acceptable to all interested Associates, Inc., a new Springfield,
111., based association management
Federal Reserve Bank of St. Louis

firm, is announced by James B.
Watt, and Linda Selsor Watt. The
new company will provide profes­
sional contract management to both
national and state trade associa­
tions, and professional societies.
W att and Associates, Inc. will
provide a full range of association
services including: strategic, tac­
tical, and financial planning; bud­
geting, educational administration,
membership development, news­
letter and report production. Mr.
W att said: “We plan to provide all of
the services a modern association re­
quires to effectively serve its
members in a professional and time­
ly manner. Additionally, we will con­
sult actively on legislative strategy.
Prior to the formation of W att
and Associates, Inc. Mr. W att for
six years was president of the Asso­
ciation for Modern Banking in Ill­
inois (AMBI). In this capacity he led
the effort to modernize banking law
in Illinois by passage of multi-bank
holding company legislation, the
first substantive reform of bank
structure law in over 55 years.
Under his administration, AMBI
grew substantially and introduced a
highly regarded professional educa­
tion program to the banking in­
dustry. Prior, Mr. W att was a senior
vice president and secretary of the
Bank Marketing Association, Chi­
cago. He is a Certified Association
Executive, and has lectured here
and abroad and written widely on
professionalism in association
management. He received his Mas­
ters Degree in Marketing and Fi­
nance from the University of
Rochester, New York, and holds a
Bachelors in Management from
Canisius College, Buffalo, N.Y.
Linda Selsor W att was Children’s
Consultant for the Illinois Commis­
sion on Children for almost seven
years, prior to the formation of W att
and Associates, Inc. In that capaci­
ty Ms. W att performed extensive
legislative policy analyses on human
services issues, authored policy posi­
tions, and provided logistical sup­
port in conference planning and ad­
ministration. Prior to joining the
Commission, she interned with the
United State Senate Sub-Committee
on Children and Youth, Chaired by
Sen. Walter F. Mondale. Ms. W att
holds a MSW Degree from the Uni­
versity of Michigan in Policy Devel­
opment and a Bachelors Degree in
Philosophy and Psychology from
Millikin University, Decatur.
Northwestern Banker, May, 1983


If a bank answ ers, hang up.
As a correspondent of The Boulevard Bank, you don’t deal with a bank, you
deal with a person — a professional correspondent banker. Each one is a
senior Boulevard officer and each one is capable of making some seventy
Boulevard banking services available to you and your customers.
This unique Boulevard combination of “ big bank” service and personal
attention involves four basic areas - Loan participations, Assets-Liability
Management Services, Operational and Clearing Services and Management
and Marketing Services.
It also involves our day-to-day dedication to applying people and
state-of-the-art technology in helping our correspondent customers meet
the challenges and benefit from the opportunities of today’s and
tomorrow’s economy.
If you’d like to find out more about the Boulevard approach to correspondent
banking, call (312) 836-6868. And talk to a person, not a bank.

Earning your business every day.

National Boulevard Bank of Chicago

410 N. M IC H IG AN AVE., C H IC A G O , IL 60611

for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

ONE ILLINOIS CENTER (111 E. W acker), CHICAG O . IL 60601

(312) 836-6500







Vice President


Exec. Vice Pres.

1 9 8 3 Annual

Illinois Bankers
Association Convention
June 9-11
Chicago Marriott Hotel






" p HE ILLINOIS Bankers Association 1983 Annual
I Convention will be held June 9-11 at the Chicago
Marriott Hotel. Former Secretary of State Alexander
Haig is scheduled to address this, the first convention
of the recently-consolidated IB A.
Donald R. Lovett, chairman and president of the
Dixon National Bank, serves as president of the IBA
and is assisted by Vice President James A. Forster,
chairman and president of The De Kalb Bank, De
Kalb; Secretary T.R. McDowell, president, The First
National Bank of Westville, and Executive Vice Presi­
dent William J. Hocter.
For entertainment this year, convention-goers will
be treated to a Big Band Dance featuring Dick Judson
and the Sunshine Brass.
Thursday, June 9
11:00 Registration and exhibits open.
2:30 Concurrent Workshops.
7:00 Opening reception, Big Band Dance featuring
Dick Judson and the Sunshine Brass.

Federal Reserve Bank of St. Louis


Friday, June 10
8:00 Exhibits and Registration open.
8:30 Opening Ceremonies.
9:30 *Dr. Roy E. Moor, senior vice president and
chief economist, First National Bank of
10:15 Break.
10:45 Speaker.
Noon Reception.
12:30 Prochnow Graduate School of Banking Lun­
“Asset/Liability Management—the concept, the
myth, the tru th ”—Donald Bernstein, president,
Financial Solutions Corporation, Oakbrook.
2:30 Concurrent Workshops.
4:30 Complimentary Reception, Exhibit Area.
Saturday, June 11
8:30 #“The Reagan Revolution”—Dr. Barry Asmus,


Northwestern Banker, May, 1983



Illinois News

economist, Boise State University, Boise,
«James Cairns, president-elect designate,
American Bankers Association, and president of
Peoples National Bank of Washington, Seattle.
ABA Annual Meeting.
«Sander Vanocur, chief diplomatic correspon­
dent, ABC News, Washington, D.C.

1983 I BA Board of Directors
Region I: Dave Albertson, State National
Bank, Evanston; Herbert Dolowy, Lincoln
National Bank, Chicago; James Lund, Matteson-Richton Bank, Matteson; Kenneth
Skopec, The Mid-City National Bank of
Chicago; Charles Waterman, South Holland
Trust & Savings Bank.
Region II: John Andersen, The First Na­
tional Bank of Lake Forest; Thomas Bolger,
McHenry State Bank; William Gooch, Jr.,
York State Bank & Trust Co., Elmhurst;
LeRoy Mattison, Kane County Bank and
Trust Co., Elburn; George Metzger, First
American Bank of Bensenville.
Region III: Neil Bach, Bank of Pontiac;
James Forster, The De Kalb Bank; Donald
Lovett, Dixon National Bank; T.R. McDow­
ell, First National Bank of Westville; Charles
Wilson, First National Bank of the Quad
Cities, Rock Island.
Region IV: James Coultas, Elliott State
Bank, Jacksonville; John W. Luttrell, First
National Bank of Decatur; Warren Martin,
Capitol Bank & Trust Co. of Springfield; Sam
Scott, Scott State Bank, Bethany; James
Winningham, State Bank of Arthur.
Region V: Thomas Andes, First National
Bank of Belleville; Gerald Feezor, Peoples
Bank of Marion; Walter Moehle, Old Ex­
change National Bank, Okawville; George
Ryrie, First National Bank & Trust Co.,
Alton; Harlan Yates, Cisne State Bank.
Large Bank Category: Jay Buck, The
Northern Trust Company, Chicago; David
Connor, Commercial National Bank of Peor­
ia; Martin Farmer, The First National Bank
of Chicago; William Plechaty, Continental Il­
linois National Bank and Trust Company of
Chicago; David Webber, Harris Trust & Sav­
ings Bank, Chicago.

Seven Promoted in Galesburg
Seven officer promotions were
recently announced at First Gales­
burg National Bank and Trust Com­
pany, Galesburg.
D onald
Robinson was
nam ed senior
vice president;
James C. Dunsworth was pro­
moted to assis­
tant vice presi­
dent and man­
ager of the in­
stalm ent loan
department; G.
for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

Noon Convention Luncheon.
•Dr. Paul Nadler, professor of finance, Rutgers w
University Graduate School of Management.
3:00 «General Alexander Haig, visiting statesman
and executive, Woodrow Wilson School of Pub­
lic and International Affairs, Princeton Univer- a
6:00 Convention Banquet Reception.
7:00 Convention Banquet featuring Danny Gans and
Kathy Lee Johnson.

Shirleen Hilgenberg to assistant
vice president and director of mar­
keting; Mark W. Johann and Sandra
J. Treash to assistant vice president
in the commercial loan department;
Mark E. Horn to loan officer in the
instalment loan department, and
Patricia G. Ronne to assistant trust
Mr. Robinson joined the bank in
1969 and will continue as head of the
bank’s investment and trust divi­
sion. Mr. Dunsworth joined the
bank in 1978 as a loan represen­
tative. Mrs. Hilgenberg joined First
National in 1974, and was promoted
to marketing officer in 1978. Mr.
Johann has been with the bank since
1977, and an assistant vice presi­
dent since October, 1980. Mrs.
Treash most recently served as lend­
ing operations officer. Mr. Horn
joined First National in 1980 as a
loan representative. Mrs. Ronne just
recently joined the bank and pre­
viously was with Fourth National
Bank of Tulsa, Okla.

New Executive Appointed
At Thornridge State Bank
Robert J. Necastro has been ap­
pointed executive vice president £
of Thornridge
State Bank in
South Holland.
M r. N e ca stro
will be in charge
of the day-to-day
operations of the
bank, working
as second-incommand under
Robert Loffredi,
With a BS degree in Economics
from St. Joseph’s College, Mr. Ne­
castro went on to obtain a masters •
degree in business administration
and a major in economics from In­
diana University Northwest, Gary.
Appointed in Skokie
First National Bank of Skokie
recently announced the appoint-

Banking Center Ribbon Cutting Held


CHICAGO television news anchor man Fahey Flynn, a customer of National Boulevard

Bank, Chic., for over 40 years, performs the ribbon-cutting honor for the opening of
Boulevard bank’s newly renovated South banking center at the employee preview held in
March. Pictured left to right are: Joe Obeytek, guard; John Harahan, v.p.; Richard T.
Schroeder, exec, v.p.; Fahey Flynn; Charles Schroeder, chmn.; Bruce Bulmer, v.p., and Bill
Schneider, capt. of the guards. All teller and personal banking transactions are being conducted In the new center in the Wrigley Bldg, on Michigan Ave. in Chicago.


ment of Mary T. Hojnacki as com­ American Machine its subsidiary bank in March, 1982, as an attorney,
mercial loan officer in the bank’s cor­ Hawthorne Bank of Wheaton, and the position she held prior to this
whereby American Machine and Sci­ promotion.
porate division.
* * *
Ms. Hojnacki joins the bank after ence, Inc., would purchase approx­
several years as commercial loan imately 123 acres of vacant land
Jeffrey W. Taylor has been ap­
representative in the U.S. banking owned by Sears Bank located in
department of the First National Third Lake. The sale price of each pointed assistant vice president of
asset is approximately $2.7 million. Main Bank of
Bank of Chicago.
The completion of the transac­ Chicago, accor­
Evanston Chairman Elected
tions is subject to a definitive agree­ ding to William
Lawrence Kahme has been elected ment, approval by the board of di­ C. Olsen, presi­
chairman of the board and chief ex­ rectors of Midland and American dent.
Mr. Taylor,
ecutive officer of the Evanston Machine & Science, Inc., and appro­
is a grad­
Bank, Evanston. Mr. Kahme has priate bank regulatory approvals.
uate of Clare­
served as vice chairman of the board
mont McKenna
of First Security Bank of Chicago
College and the
since 1977.
Having acquired a BA degree
University Law
from City College of New York, Mr.
School, has been associate general
Kahme took advance study courses
and loan representative for
at Akron University, the University
Bank and Drovers Bank
of Illinois and Roosevelt University.
of Chicago since 1981.
Joins Lombard Bank
* * *
Bruce W. Taylor has joined the
Alfred R. Mueggenborg has been
Bank of Yorktown, Lombard, as vice
vice president of Drovers
president, commercial lending, ac­
Main Bank and Bank of
cording to Edward J. Shaw, presi­
Yorktown — all members of the
Cole-Taylor Financial Group — ac­
Mr. Taylor began his banking
cording to Frank E. Bauder, chair­
career at Main Bank of Chicago in
man of all three banks.
1977 and transferred to Drovers
Mr. Mueggenborg has been asso­
Bank of Chicago in 1979 as corre­
with Drovers Bank since
spondent banking officer, the posi­
recently as vice presi­
tion he held until his recent appoint­
Thomas E. Elyea, vice president dent.
* * *
of Continental Illinois National
Senior V.P. Named
Kathleen T. Hardy has been named
president and director of
Charles J. Wisniewski has been elected
president of Drovers Bank.
named senior vice president of lend­ Continental Bank of Oakbrook Ter­
Ms. Hardy has held several posi­
ing for Chicago Heights National
by Continental Illinois Corporation, tions with Drovers Bank including
Bank, Chicago
the holding company for both banks. correspondent bank officer and
Heights, where
Mr. Elyea succeeds Robert J. Vin- assistant vice president. Prior to her
he will supervise
opal, who resigned to pursue other association with Drovers, she was
all lending ac­
with LaSalle National Bank.
business interests.
* * *
Mr. Elyea joined Continental in
Mr. Wisniew­
1969, was named second vice presi­
Robert C. Williams, chairman,
ski formerly was
in 1974, and was elected a vice president and chief executive officer
with American
president in 1976. Most recently he of Chicago Bank of Commerce, re­
National Bank
was manager of the general banking cently announced the promotion of
in South Chi­
services training division.
three officers: Linda A. McCoy to
cago H eights,
* * *
vice president from personal bank­
where he served C.J. WISNIEWSKI
ing officer; Connie Watkins to vice
as executive vice president and was
- finance and administra­
a member of the board.
been elected vice president and Don­ tion from controller, and R. Scott
Midland Bancorp to Purchase na Kay Meredith assistant counsel Reining to assistant vice president
of Amalgamated Trust & Savings from commercial banking officer.
Hawthorne Bank of Wheaton
Bank, according to Ira Frank, Jr.,
* * *
Midland Bancorp, Inc., the parent president.
Lincoln National Bank of Chicago
company of Sears Bank and Trust
Mrs. Blumenthal joined the bank
Company, Chicago, and American in 1976 as assistant trust officer and has announced the election of Peter
Machine & Science, Inc., Elgin, has been assistant vice president Rusin to its board of directors. Mr.
Rusin is chairman of the board and
jointly announced the signing of a since 1979.
non-binding letter of intent whereby
Ms. Meredith, who was also elec­ executive director of Northwest
Midland would purchase from ted assistant secretary, joined the Hospital.
Illinois News
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


Jana Kirkeby
S p eak s Fed Funds
When you need to buy or want to sell Fed funds
what is a fair price, and what about risk and op­
erational details?
Someone who understands Fed funds and
who cares about independent community
banks can help answer your questions. That’s
Jana Kirkeby, and that’s American.

We are particularly sensitive to the needs and
pressures faced by independent community
banks. We believe in cooperation, not competi­
tion for your customers.
We want to be your partner and help you solve
your problems. It’s easy to put an American
correspondent banker to work for your bank.
Just call (612)298-6331.


Banker, May, 1983
Federal Reserve Bank of St. Louis

B A N K *





Bank in St. Peter and joined North­
western of Mankato March 1 of this

Duluth Executive Elected
The election of Robert Fischer as
executive vice president, commer• cial division of First National Bank
of Duluth was recently announced
by Dennis W. Dunne, president.
Mr. Fischer
began his career
® with First Na­
tional Bank of
D u lu th m ore
than 25 years
^ ago, joining the
9 b a n k ’s t r u s t
departm ent in
1958. He was
elected assistant
^ trust officer in
1962, named trust officer in 1966
and was elected vice president and
trust officer in 1971. Since 1979, Mr.
Fischer has served as senior vice
^ president for First National Bank of
Duluth. He is a graduate of the Uni­
versity of Minnesota, the National
Trust School in Evanston, 111., and
has completed post graduate work
£ in commercial law.
Promoted in Maplewood
Terry Ann Saber has been pro­
moted to assistant vice president of
Western State Bank, Maplewood.
Ms. Saber joined the bank in 1980 as
the manager of human resources and
was promoted to human resources
officer in 1982. She is also responsi­
ble for the coordination of the bank’s
strategic long-range planning.
Also at the
bank, Molly A.
Lynchosky has
been hired as an
operations of­
ficer. Prior to
joining Western
S ta te in late
em ployed
A n ah eim Na- M.A. LYNCHOSKY
tional Bank as assistant vice presi­
dent, operations.
Federal Reserve Bank of St. Louis

Edina Bank Names One
Wendell E. Lotthammer has been
named executive vice president and
comptroller for
the retail opera­
tions divisions
at First Bank
P re v io u s ly
serving as vice
president of op­
e ra tio n s, Mr.
L o tth a m m e r
was first em­ W.E. LOTTHAMMER
ployed at First Bank Robbinsdale in
1962 as a management trainee. Prior
to joining First Bank Southdale he
held the position of vice president
and senior operations officer at First
Bank Merchants in St. Paul.
Also announced was the election
of Thomas W. Hoban, executive vice
president and chief executive officer
at the Hennepin County Medical So­
ciety, to the bank’s board of direc­
Ortonville President Named
Terrence D. Gere has been elected
president and a director of North­
western State Bank of Ortonville.
He most recently served as senior
vice president and senior loan officer
of First Northwestern State Bank of
Thief River Falls. Both banks are af­
filiates of Northwest Bancorporation.
Mr. Gere succeeds Ronald A. Arndt,
now president of First National
Bank of Jamestown, N.D. With
Northwest Bancorporation since
1966, Mr. Gere has been with the
Thief River Falls bank since 1979.
Mankato Addition Announced
Northwestern National Bank of
Mankato recently announced the ad­
dition of Todd S. Wyatt as assistant
vice president in the commercial
banking department.
Mr. W yatt began his banking car­
eer in 1973 with the Nicollet County

Luverne Announcements Told
At Northwestern State Bank of
Luverne, Alan Hoyt has been pro­
moted to assistant vice president.
Mr. Hoyt started with the bank in
1977 in the instalment loan depart­
ment. His primary responsibilities
include personal loans and commer­
cial loans.



Anna Van Batavia, administra­
tive assistant and security officer at
the bank, has been named Woman of
the Year in Luverne. She has worked
at the bank for 22 years.
New President Elected at
First Bank Blue Earth
Peter L. Hollister has been elected
president of First Bank Blue Earth.
He su cceed s
Carl W. Bangert, who retired
April 1. Mr. Hol­
lister had been
serving as presi­
dent of F irst
B ank B a b b itt
since 1978. Mr.
Bangert began
b a n k in g
career in 1949
and has served as president of First
Bank Blue Earth since 1970.
Mr. Hollister began his banking
career in 1968 as an adjuster at First
Bank Minneapolis. He joined First
Bank Rolla, N.D., in 1974 as assis­
tant vice president and manager of
installment lending and was pro­
moted to vice president in 1975. He
was elected president of First Bank
Babbitt in 1978.
Patrick J. Gates has been elected
acting president of First Bank Bab­
bitt and will retain his current re­
sponsibilities as a vice president of
First Bank Virginia. Mr. Gates has
been associated with First Bank
System since 1973.
Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis


Larry Kraayenbrink
makes a strong case
for CashLine...
the one toll-free phone call
that keeps you fully invested every day.
When Larry Kraayenbrink calls on you, he brings
more than just his attache case. He also brings 19 years of
experience plus a variety of Correspondent Banking
services, including CashLine, a service no other Twin
Cities’ bank offers.

CashLine, the most efficient way to improve
cash management.

One call to CashLine each day (as late as 2:00 PM),
gives you yesterday’s collected balance plus the float that
is collected today. Using the current data you’ve
provided, CashLine automatically sweeps excess
amounts into Fed Funds, keeping you fully invested.
With CashLine, you know exactly where you
stand every day. There’s no guesswork. No idle funds. No
additional calls to make. No waiting for an open line. And
because it’s a fully computerized service, there’s no
waiting for a bank employee to look up your data.



You’re only a phone call away from the
experience you need.

Larry Kraayenbrink thoroughly understands all of
our services and how they can best work for community
banks like yours. His experience, knowledge, and
dependability make him the type of person you can deal
with comfortably and in complete confidence.
For more information on CashLine, give Larry or
any of our experienced correspondent officers a call
today. They’ll explain how CashLine can keep your bank
fully invested.


A F&M Marquette National Bank
6 th & M a r q u e t t e
M in n e a p o li s


Bill Klein
Federal Reserve Bank of St. Louis

Bill Addington

Dick Holmes

Sandy Sickles

Joan McCarthy

Mark Schabert

Phil Gallivan,
Vice President

Northwestern Banker, May, 1983


Northwestern National Bank of
Minneapolis recently named four
senior vice presidents in the bank’s
domestic and international lending
areas. The four are: David M. Nash
and Todd L. Parchman, domestic
banking group, and Daniel G. Brian
and John C. Sandvig, international
banking group.
Mr. Nash will take over respon­
sibilities as department head along
with Mr. Parchman, who is current­
ly responsible for managing the





bank’s energy departm ent, in­
cluding the Denver Energy office.
Mr. Brian and Mr. Sandvig will
share responsibilities held formerly
by Dharani Narayana who becomes
senior vice president and business
manager, financial institutions
group, Northwest Bancorporation.
Mr. Nash, who will be responsible
for the domestic lending activities in
the bank’s Midwest II department,
has been vice president and head of
the retail, wholesale and transporta­
tion division since 1979.
Mr. Parchman has been vice presi­
dent and head of the energy and
natural resources division since
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

Mr. Brian will be responsible for
the Latin American division, in­
cluding the Miami Edge Act office
and the Mexico City representative
office; and the U.S. and Canada divi­
sion. He has been vice president and
manager of the Latin American divi­
sion since 1979.
Mr. Sandvig will be responsible
for the Asian, Middle Eastern, Afri­
can and European territories, in­
cluding the new Hong Kong subsid­
iary; the New York Edge Act office,
and international customer services.
He has been vice president and
regional manager of the U.S. and
Canada division since 1981.
* * *

president of First Bank Edina.
Mr. Stern has
served as assis­
tant vice presi­
dent of commer­
cial banking at
S t. A n th o n y
Falls for the
past three years
and has been
with First Bank
Minneapolis for
24 years. He has
experience in the main office depart­
ments of instalment banking, credit,
correspondent banking, personal
banking and retail banking.
* * *

David G. Herzer has been elected
senior vice president of administra­
tion of First Bank System, Inc. He
will report to
John L. Gigerich, executive
vice president
and chief admin­
istrative officer,
and will be re­
sponsible for the
bank card cent­
er, c o rp o ra te
center office ser­
vices and First
Data Processing Corporation, Mil­
waukee. He will also coordinate en­
terprise-wide office automation stra­
tegies and disaster recovery plans.
Mr. Herzer previously was presi­
dent and chief operating officer of
First Bank Milwaukee, Wis. His re­
sponsibilities at that bank will be
assumed by A1 K. Simpson, First
Bank Milwaukee’s chairman and
chief executive officer.

Jennifer Freeman has been ap­
pointed vice president, asset-lia­
bility m anage­
ment division,
for N orthw est
She previously
held a similar
p o sitio n w ith
N o rth w e s te rn
National Bank
of Minneapolis.
T ran sferrin g
with Ms. Free­
man from the bank are William
Breesman and David Wheaton, asset/liability management analysis.
Joining the group from the treasury £
staff will be Stephen R. Kaufman,
financial anaylyst. Ms. Freeman has
been with the bank since May, 1981.
She previously was with Honeywell,



National City Bank of Min­
neapolis, in conjunction with the ^
World Affairs Center of the Univer­
William K. Stern has been named sity of Minnesota, was host to a
the new manager of First Bank Min­ private reception at the Minneapolis
neapolis’ St. Anthony Falls office. Club on February 24, in honor of his
He replaces J. Scott Hutton, who Excellency, Janos Petran, Hungar- ^
recently left the office to become ian Ambassador to the United




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524 Plymouth Building
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Minneapolis, Minnesota 55402
In Minnesota call: 1-612-333-2261
Out-of-State: 1-800-328-2052

L es Lukken

Marketing Representative
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983

Minnesota News
States. National City Bank is the on­
ly U.S. bank with a representative
office in Hungary. James H. Hearon, III president and chief executive
officer, presided over the reception
and dinner which was attended by
Governor Rudy Perpich, Mayor Don
Fraser, Wendell R. Anderson, repre­
sentatives from the Greater Minn­
eapolis Chamber of Commerce, and
the University of Minnesota, as well
as business leaders from the com­
Ambassador Petran was also fea­
tured at a special Newsmaker Lun­
cheon at the Minnesota Press Club
on February 25, where he spoke on
Hungary’s New Economic Mechan­
ism, a policy which combines state
socialism with free enterprise.

been promoted to credit officer. He
has been with National City since
Richard P. Hoyland, vice presi­
dent at the bank from 1971 to 1980,
has returned to National City after
spending three years serving as a
financial consultant.
Peter J. West recently joined the
bank as a real estate loan officer.
Previously he was associated with
C.I.T. Corporation in Wisconsin and
First National Bank of Minneapolis.
* * *

the organization’s financial institu­
tions, including credit unions, sav­
ings and loans, investment com­
panies and correspondent banks.
Since September, 1980, Mr. Nara­
yana has been senior vice president,
international banking group, at
Northwestern National Bank of
Minneapolis, the corporation’s lead
bank. He first joined Northwestern
in 1969 as a management trainee.
* * *

The Independent State Bank of
Minnesota has announced the eleva­
Larry D. Buegler, chairman and tion of Lee S.
chief executive officer of North­ Erhard to vice
western National Bank of St. Paul, p re sid en t and
has announced the appointment of the election of
Gordon E. Lindquist and John F. John A. Henke
Carlson to the board of directors.
and Gary L.
M almquist to
a ss is ta n t vice
National City Bank of Min­
neapolis has announced that John F.
Mr. E rh a rd
Crinklaw has been named senior
has assumed full
vice president-credit and deposit
re s p o n s ib ility
m a n a g e m e n t.
Mr. C rinklaw
has been with
N ational C ity
since 1971.
W. Randall
Payant, assis­
Mr. Lindquist is president and
tant vice presi­
chief executive officer of MSI In­
dent, was named
surance in St. Paul. Mr. Carlson is
group head of
executive vice president and chief fi­
group B-comnancial officer of Cray Research,
mercial and inJ F- CRINKLAW
dustrial relationships. Mr. Payant
has been with the bank since 1979.
Robert J. Reardon, president of for marketing the services of this, a
Also at the bank, Howard W.
Block, Jr., previously assistant the Otto Bremer Company, has an­ “bankers’ bank’’. He has been em­
cashier in the credit department, has nounced that the Bremer Financial ployed in a contact position for the
Group recently joined the FAST- past year with four years of prior
BANK® service, an upper midwest banking experience in addition to
network of 90 shared electronic seven years of credit and sales posi­
banking terminal locations. This tions outside of banking.
Mr. Henke has been employed in
represents an extension of Bremer’s
banking for almost 20 years and
own Anytime Teller service.
presently serves in the operations
* * *
area. Mr. Malmquist serves in the
Northwest Bancorporation has lending area and has been in bank­
nominated Darin P. Narayana to the ing 11 years.
newlyestablished corporate level
* * *
p o s itio n
senior vice presi­
William T. Arnold and Joseph
dent and man­
A.L. Errigo, Jr., have been elected
ager of its finan­
directors of Western State Bank of
cial institutions
St. Paul. Mr. Arnold, retired vice
banking group.
president of Northwestern National
In his new posi­
Bank of Minneapolis, is a self-em­
tion, Mr. Nara­
ployed consultant. Mr. Errigo
yana will be re­
serves as chief executive officer for
sponsible for the
the Community Development Cor­
development of
poration for the Archdiocese of
stra te g ie s for
Saint Paul and Minneapolis.

Banker, May, 1983
Federal Reserve Bank of St. Louis


Leave the snarls o f M oney Order
processing to tlie Paperliger.
Your back office has enough to do processing
all your daily proof items without having
to get involved in the problems of your
Money Orders.
Money Orders are probably only a service item
with you, not the meat of your business.
They are our main business. Travelers Express
(the Paper Tiger) has been in the funds
transfer field for over 40 years.
We'll take over that back office workload and
free your people for more cost-efficient work.
Federal Reserve Bank of St. Louis

We supply drafts that are faster and simpler
to issue; and do all the reconciling, tracing,
storing, filing, payment stopping and handle
all the other problems that occur daily.
Find out more about how the Paper Tiger can
help you lower your costs and reduce problems
with Money Orders and Official Checks, too!
He’ll work expressly for you.
For more information call 1-800-328-5678 and
ask for Gene Fewis.
Travelers Express/v working fo r you.

Northwestern Banker, May, 1983


Minnesota News

F&M bank’s exhibition, “ The Design Decade: 1931-1941” included functional and decorative art objects from the era during which the F&M
Marquette Bank Building was designed and erected. The exhibit included household items, entertainment accessories, jewelry and
clothing. RIGHT—Minnesota Governor Rudy Perpich (left) joined F&M Marquette President Carl H. Pohlad for a reception celebrating the
first anniversary of the merger of Marquette National Bank of Minneapolis and F&M Savings Bank.

F&M Marquette National Restores
Bank Lobby to Its 1941 Elegance
&M Marquette National Bank
celebrated the first anniversary
of the merger of Marquette National

chitectural landmark. The design of
the building reflects the simplified
architectural and design classicism
Bank of Minneapolis and F&M Sav­ known as the Art Moderne. The re­
ings Bank in February and March storation transformed the bank’s
with receptions for customers and headquarters into one of the most
community leaders.
attractive and convenient financial
Receptions were held in the newly centers in the Twin Cities, said April
restored F&M Marquette National Nead, an F&M Marquette spokes­
Bank Building, Sixth and Mar­ person, enhancing the design integ­
quette Avenue in Minneapolis. The rity of the building’s original design.
building, labeled the “architectural
“To bring focus to the interior
wonder of the Minneapolis loop” and exterior design elements, we
when it was completed in 1941, re­ also sponsored an exhibition of func­
mains a distinctive Minneapolis ar­ tional and decorative art objects
Richard O. Weyrauch Dies
Richard O. Weyrauch, 71, died
last month at his home in St. Louis
Park in suburban Minneapolis. Mr.
W eyrauch had
r e tir e d
F irst National
Bank of Minne­
apolis as a vice
p re s id e n t
Mr. Weyrauch
joined First Na­
tional as a mes­
senger in 1931.
He was in the in­ R.O. WEYRAUCH
vestment department as a salesman
and counselor starting in 1935 until
joining the correspondent bank de­
partment in 1949. He became an of
Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

ficer of the bank at that time, was
promoted to assistant vice president
in 1955 and was elected a vice presi­
dent in 1967.
Mr. Weyrauch was widely known
in southern Minnesota and Iowa,
where he called on banks throughout
his career with the correspondent
During his banking career he
served three years, 1965-68, on the
Minnesota Bankers Association
Council, representing Twin Cities
banks. He was a member of the
MBA’s Pioneer Club, which recog­
nizes 50-year bankers.
Following his retirement June 30,
1973, Mr. Weyrauch owned the First
National Bank in Maiden Rock,
Wis., but sold it in December, 1981.
Mr. Weyrauch and his wife, Marion

from the 1930s and a display of
Twin Cities Moderne architecture,’’
Ms. Nead said. Entitled “The De­
sign Decade: 1931 - 1941,” the ex­
hibition included household items,
entertainment accessories, jewelry
and clothing from private Upper
Midwest collections and from the
Minneapolis Institute of Arts and
the University of Minnesota. As a
result of an enthusiastic public
response, the exhibition was extend­
ed an additional three weeks.
F&M Marquette is the fourth
largest bank in the Ninth Federal
Reserve District with assets and deposits in excess of $1.3 billion. It is
the lead bank of Bank Shares Incor­
porated, the third largest bank
holding company in the District.
J., continued living in their home at
3835 Joppa Ave., So., Minneapolis,
55416, following his retirement.
Elected in Robbinsdale
Gregory L. Nilson was recently
elected a com­
mercial banking
officer of First
Bank Robbins­
dale. He began
his career in
banking in 1974
at the N orth­
w e ste rn
N a­
tio n a l
B ank
S o u th w e st in
klll_ tl
B lo o m in g to
progressing from a part-time teller
to a commercial loan officer.





Minnesota News

Marvin Campbell Retires
Marvin R. Campbell will retire as
chairman and chief executive officer
of Citizens State Bank in Brainerd
next month. He was advanced to
chairman last August, at which time
Warren Williams was elected presi­
dent and chief operating officer in
anticipation of Mr. Campbell’s re­
Mr. Campbell
has received a
number of hon­
ors in his 43-year
banking career
and the most re­
cent one was be­
ing awarded the
‘‘H onora ry
Chapter Farmer
D e g re e ”
Brainerd’s Future Famers of Amer­
ica. This is the highest degree that
an FFA chapter can bestow on a
non-member. Mr. Campbell was hon­
ored for “helping advance vocation­
al-agriculture and the FFA, and for
rendering outstan d in g service,
counsel and guidance.” A 4-H
member as a youth, he was born and
reared on a farm in Grafton, N.D.,
and was involved in agricultural
lending throughout his banking
career. He is also a past director of
the Minnesota 4-H Foundation.
Mr. Campbell began his banking
career in Grafton. He was president
of the First National Bank of
Crookston, Minn., for more than 16
years, then joined Citizens State in
Brainerd. Assets at that time to­
taled $21 million and have increased
over the years to today’s total of
over $60 million. He will have been
chief executive officer of Citizens
State for 12 years at the time of his
While at Citizens State, Mr.
Campbell was instrumental in two
4) remote bank office building pro­
He has always been active in pro­
fessional organizations, serving as
chairman of the American Bankers
Association’s communications com­
mittee and as president of the Min­
nesota Bankers Association in
1970-71. He is a director of the
Bremer Bank Service Company.
In addition, Mr. Campbell’s wide
variety of community and business
interests earned him many honors,
including being named “Business­
man of the Year” for Aakers
® Business College in Grand Forks,
Federal Reserve Bank of St. Louis

N.D., “Boss of the Year for 1967,”
membership in the Red River Valley
Hall of Fame in Crookston, and
“Citizen of the Year” in Brainerd for
Mr. Campbell and his wife, Mary
Lou, have 12 children and will con­
tinue to reside in Brainerd.

Cannon Falls Promotes Three
First National Bank, Cannon
Falls, recently announced the pro­
m o tio n s
Karen Anderson
in te rn a l
auditor; Jan is
Johnson to head
computer oper­
ator, and Patty
G u sta fso n to
head teller.
Ms. A n d e r­
son, who has
w o rk e d


th e




Worthington Promotes Two
State Bank of Worthington re­
cently announced the promotion of
Jerald R. Tiggelaar to vice president
and Neil R. Smith to vice president
and cashier.
Mr. Tiggelaar has been with the
bank since 1973, starting as an ag
loan representative. Mr. Tiggelaar’s
primary duties are agricultural and
commercial loans.
Mr. Smith, a 1972 graduate of
Northern State College, has been
with State Bank since 1978 as

Elected in Red Wing
Kathy M. Siewert has been elec­
ted personal banking officer, mar­
keting, at First
N o rth w e s te rn
B ank of Red
Ms. Siewert
a tte n d e d S t.
Cloud State Uni­
v e rsity where
she earned a BS
degree in mar­
keting in March,
1982. S h o rtly
after graduation she began her train­
ing at First Northwestern Bank.


bank for nearly 12 years, has been
the assistant cashier for the past
two years. Ms. Johnson has worked
at the bank for nine years as a book­
keeper. Ms. Gustafson brings eight
years of banking experience to her
new position, three of those being
with First National.

Richfield Director Elected
Fred P. Berdass was elected to
the bo ard of
directors of the
Richfield Bank
& T ru st Co.,
Mr. Berdass
has been a resi­
d e n t of th e
B lo o m in g to n
business com­
m u n ity since
1947 when BerFP- BERDASS
mo, Inc., a metal stamping com­
pany, was founded.

Elected in Excelsior
The Minnetonka Bank, Excelsior,
has announced the election of Merry
E. Whittaker as assistant vice presi­
dent in charge of personnel, and Ber­
nice J. Nixon as assistant cashier in
charge of compliance.



Ms. Whittaker has been with the
bank 13 years, most recently as an
instalment loan officer. Ms. Nixon,
who previously worked for the Cred­
it Bureau of Lake Minnetonka, joined
The Minnetonka bank in January,
Northwestern Banker, May, 1983


In check collection,*
you can pinpoint our advantage at*
over 14,000 locations on the map

Our h igh -sp eed computer
equipm ent, technical expertise, and
quality service put your check
collection in the fast lan e.
In check collection, speed is of the essence. And First
Bank Saint Paul leads the field. But to provide faster
availability and better service, innovation must be an
ongoing commitment. You'll find that kind of commitment
with us.
Here's what we mean.

Faster availability.
We have the ability to go direct to over 14,000 direct send points to improve availability for our customers.
Our high-speed delivery and state-of-the-art computer
eguipment reduces float, saves you time and money and
improves your availability all around. No other bank is
better eguipped. This helps us continually expand our
daily sends as well. Just one example: We have
overnight availability to Duluth, Fargo/Moorhead and
Sioux Falls clearing houses.

No presorting required.
We handle all of your sorting reguirements. And you
still get the sam e availability as presorting provides.
Again, our computerized eguipment saves you time,
eguipment costs and money to train operations

No extra cost for reject items.
With our sophisticated reject re-entry eguipment,
you can eliminate time-consuming delays. All reject

items are processed at regular rate and regular

We make fast adjustments —not excuses.
We take total responsibility for check processing.
Every item is microfilmed. If an adjustment has to be
made, we correct it in two to three days.

Banker, May, 1983
Federal Reserve Bank of St. Louis


We offer complete financial services.
A case in point: Our Cash Management Services
provide End Point Analysis to constantly improve your
availability in the most economical manner; FirstLink,
a dial-up toll free service that gives you complete
information on the previous day's balance, debits and
credits, float breakdown and current market rates;
Audio Balance Reporting, Account Reconciliation, and
much more.
At First Bank Saint Paul, we are continually working to
improve our services. That means more flexibility and
faster availability. And when you're reducing float time,
any cost differential up front will more than be
outweighed by the money you save in the long run.
So if you'd like to put your check collection in the fast
lane, check into our services.
For more information, call Correspondent Banker Jim
Russell at (612) 291-5581 or any First Bank Saint Paul
Correspondent Banker.

d|b First Bank Saint Paul


Member First Bank System

Correspondent Banking Division
332 Minnesota Street
Saint Paul, Minnesota 55101 (612)291-5585





Correspondent Banker Jim Russell discusses
direct-send points with Cash Management
Officer Linda Darling.
Federal Reserve Bank of St. Louis







V.P. Treas.

Exec. Director

98th Annual

North Dakota Bankers
Association Convention
May 2 3 -2 4
Civic Auditorium
Grand Forks, N.D.
HE 98TH ANNUAL North Dakota Bankers Asso­
ciation Convention will be held May 23-24 at the
Civic Auditorium in Grand Forks. This year’s conven­
tion will once again include golf, bowling and tennis
tournaments. Registration will begin at noon on the
23rd, with “Legal Interest Special Sessions and State
Legislative Review’’ scheduled for the afternoon. The
first evening will feature the President’s Reception
followed by dinner and dancing to the music of Dick
King’s Classic Swing Band.
The second day will begin with Prayer Breakfast at
7:30 a.m., followed by the first general session at 9:30.
NDBA President John M. McGinley, president, Amer­
ican State Bank & Trust Company, Williston, will call
the session to order. He has been assisted this past
year by President-elect Darold Petersen, president,
Lakeside State Bank, New Town; Vice President/
Treasurer Robert Westbee, president, First Bank,
Bismarck, and Executive Director Harry J. Argue,

Banker, May, 1983
Federal Reserve Bank of St. Louis

Monday, May 23
7:30 Men’s Golf Tournament, Grand Forks Country
7:30 Ladies’ Golf Tournament, Lincoln Park Golf
Course, Grand Forks.
12:00 Registration desk opens, Civic Auditorium.
1:00 Men’s and Ladies’ Bowling Tournaments, Red
Ray Lanes, Grand Forks.
Men’s and Ladies’ Tennis Tournaments, Grand
Forks, Tennis Centre. (Time will be determined)
1:30 »“Legal Interest Special Sessions and State
Legislative Review’’—Keith C. Magnusson,
NDBA associate director/staff counsel, Bismarck.
6:00 President’s Reception, Civic Auditorium.
7:00 Dinner.
•Speaker—Jeanne Robertson, Burlington, N.C.
(Tallest girl ever to compete in the Miss
America Pageant)
9:00 Dance—Music by Dick King’s “Classic Swing
Band,” Grand Forks.
Tuesday, May 24
7:30 Prayer Breakfast, Town House Motor Inn.
•Speaker: Albert H. Quie, Governor of Min­
nesota, 1979-1983.
9:30 General Session—Civic Auditorium.
Call to order, NDBA President John M. McGin­
10:00 »“Management in the ’80’s—1Theory Y and
Beyond”—Rev. Thomas A. McGrath, professor
of psychology, Fairfield University, Fairfield,






N orth Dakota
Hard working people. Perfecting a tomorrow that w ill rise high
above the dreams of today. With the help of
North Dakota bankers. We salute you.
We look foward to seeing you in Grand Forks, May 23 and 24,
at the North Dakota Bankers Association Convention.


First Bank Minneapolis
R ankina D
pnartm pnt
Correspondent Banking
First Bank Place, Minneapolis, MN 55480 (612) 370-4762
Federal Reserve Bank of St. Louis

North Dakota News
11:00 Break.
11:15 »“Risk Management”—Lester Jordan, banking
consultant, Denver, Colo.
12:30 Delegates’ Luncheon.
NDBA Business Meeting.
2:15 »Speaker: Lou Holtz, head football coach,
University of Arkansas, Fayettesville.
3:00 »‘‘The American Bankers Association, How to
Get Your Money’s Worth”—Mark W. Olson,
chairman ABA Government Relations Council,


and president, Security State Bank, Fergus
Falls, Minn.
»‘‘The Reagan Revolution”—Dr. Barry Asmus,
professor of economics, Boise State University,
Boise, Idaho.
Reception, Civic Auditorium.
Convention Banquet.
Installation of 1983-84 NDBA Officers.
Entertainment: Skiles and Henderson.

You Will See Them At The 98th Annual
N.D. Bankers Association Convention
HE following m etropolitan
bankers and service and equip­
ment dealers have indicated that

respondent banking officer.
First National Bank: Bob Meithey will be attending the North singer, second vice president.
Dakota Bankers Association Con­
St. Paul
vention in Grand Forks, May 23-24.
American National Bank: David
First National Bank: Richard W. M. Hyduke, group vice presidentSchoenke, president; Kenneth A. commercial; Gary R. Rohlfsen, as­
Wales, senior vice president; Jack L. sistant vice president; Bruce C. Ben­
Quitmeyer and Dolores D. Wal- nett, investment officer.
First National Bank: James A.
strom, assistant vice presidents;
Thomas L. Mork, and Bruce
Leonard P. Kiskis, correspondent
banking officer; Charles F. Rooney, Hebei.
Bank Equipment and Other Firms
bond investment officer.
F&M Marquette National Bank:
Dawson Hail, Fargo: Jim Dawson,
William K. Klein and Jack Cham­ president, and Chuck Fosberg, trea­
pion, vice presidents.
Midland National Bank: Stan
Mosler Safe Company, Hamilton,
Peterson, vice president.
Ohio: Doug Moore, area manager
Northwestern National Bank: W. and Larry Odegard, sales represen­
James Armstrong, president/chief tative.
executive officer; Richard D. Schnei­
North Central Life Insurance Co.,
der, executive vice president; St. Paul: H. Parker Rinehart;
Donald G. Pederson, senior vice Michael Walsh and Larry Walsh,
president; Richard C. Storlie and general agents.
John McCune, vice presidents;
Professional Banking Services,
James R. Holker, assistant vice Inc., Bismarck: Nancy Coon, vice
president; John D. Huston, cor- president.

Grand Forks Promotes Four
At First National Bank in Grand
Forks, Mark Rios has been promo­
ted to branch manager of First Na­
tional’s Air Force Base facility;
Warren Berg to loan recovery of­
ficer; Gary Williams to trust opera­
tions officer, and Steve Spicer to in­
stalment loan officer.
Mr. Rios joined the bank staff in
1980. Prior to his transfer to the
Base office, he held the position of
instalment loan officer and auto loan
manager at the bank’s main office.
Mr. Berg joined in 1980 and pre­
viously was manager of the Air
Force Base facility.

Banker, May, 1983
Federal Reserve Bank of St. Louis

Kathleen O’Connell, 53, wife of
Maurice 0 ‘Connell, and Gladys Hu­
ber, 38, vice president for invest­
ments with the bank and director of
computer operations, were all shot
to death in March.
John Huber, 38, husband of Glad­
ys Huber, turned himself into au­
thorities at the Stark County and
southwest Law Enforcement Center.
Also shot was Dinah Riegel, the
wife of Gladys Huber’s brother,

PBS Opens Regional
Office in Bismarck
Professional Bank Services, Inc.,
a bank consulting firm headquar­
tered in Louisville, Ky., has an­
nounced the opening of a Regional
Office in Bismarck.
T his office
will serve the up­
per midwest and
will be under the
direction of Nan­
cy E. Coon, who
since 1980 has
been associated
with the Inde­
pendent Com­
munity Banks of
North Dakota,
Mr. Williams joined the staff in most recently as acting director.
1980 as the trust operations ad­ Prior to 1980, Ms. Coon served as
ministrator. He has held the posi­ paralegal and real estate closing
tion of assistant trust operations of­ agent with the Bielagus and Mar­
ficer since 1982.
tina Law Firm of Amherst, N.H.
Mr. Spicer served in the data pro­
cessing department of First Na­
tional, prior to transferring to the in­
stalment loan department in 1982.
Promoted in Cando
Nancy S. Baerwald has been pro­
to loan officer of Towner
Dickinson Bank President
County State Bank, Cando. Ms.
Killed in Shooting
Baerwald joined the bank in 1976 as
Maurice O’Connell, 53, president a bookkeeper and secretary. Her
and chief executive officer of the responsibilities now include con­
American State Bank of Dickinson, sumer, SB A and real estate lending.


“guest o f honor”feeling

Welcome to Grand Forks
for the

9 8 th A n n u a l C o n ven tio n
o f the

N o rth D a k o ta B an kers A s s o c ia tio n
May 22-23-24, 1983
“ We loo k forw ard to being your h o s ts ”

The Greater Grand Forks
• Community National Bank
• First Bank of East Grand Forks
• The Dakota Bank
• First National Bank in Grand Forks
• First Bank of North Dakota
• Valley Bank and Trust Company
• Citizens State Bank of East Grand Forks
Members FDIC
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983

South Dakota
Hard working people. Putting in a full day's work today to
reap the good life of tomorrow. W ith the help of
South Dakota bankers. We salute you.
We look forward to seeing you in Sioux Falls, May 16 and
at the South Dakota Bankers Association Convention.

First Bank Minneapolis
Correspondent Banking Department.
First Bank Place, Minneapolis, MN 55480 (612) 370-4762
Federal Reserve Bank of St. Louis



9 1 st Annual

South Dakota Bankers
Association Convention
May 15-17
Convention Center



First Vice Pres.

Sioux Falls, S.D.

HE SIOUX Falls Convention Hall and Holiday Inn
City Centre will be this year’s site for the 91st An­
nual Convention of the South Dakota Bankers Asso­



Second Vice Pres.

Exec. Manager



Federal Reserve Bank of St. Louis

ciation, being held May 15-17.
Special hospitality activities and fellowship break­
fast will be held at the Holiday Inn City Centre while
the Convention Hall will host the exhibits, evening
social activities and the general session program.
Sunday evening, May 15, will feature a Hawaiian
Luau at the Airport Holiday Inn, beginning with the
special reception at 6:30 p.m. Island dinner and enter­
tainment begins at 7:00. This year again there will be a
Fellowship Breakfast, golf, tennis and bowling, YMCA
Health Center tour and a Historic Sioux Falls tour.
“Show Time” for this year’s convention will feature
The Four Lads singing some of their gold records.
SDBA President Dean O. Mehlhaff, president, Eur­
eka State Bank, will preside at the annual meeting.
During the past year he has been assisted by First Vice
President Charles Ekstrum, president, First National
Bank, Philip, Second Vice President John Haerter,
president, Farmers State Bank, Hosmer, and Exec­
utive Manager J.L Milton Schwartz.
Richard E. Brown, vice president, marketing/public
affairs, Northwestern National Bank, Sioux Falls, has
been serving as chairman for the 1983 Convention.

Sunday, May 15
Registration desk opens, Holiday Inn City Centre.
Hawaiian Luau, Airport Holiday Inn.
Monday, May 16
Men’s golf tournament. Tee-off times assigned.
Tennis tournament - Westward Ho Country
9:30 Ladies golf tournament, prompt shotgun start,
Westward Ho Country Club.
9:30 Wicker and Custom Design for Your Walls
- Hospitality and Special Activities Center.
YMCA Health Center Tour, depart from Activ­
ities Center.
10:30 Slide Show - Historic Homes of Sioux Falls.
1:00 Historic Sioux Falls tour.
1:15 Depart Citibank Tour.
2:00 Bowling Tournament - Suburban Lanes.
5:00 Registration desk and exhibit hall open, Sioux
Falls Convention Hall.
6:00 Joint Social Hour, Sioux Falls Convention Hall.
Northwestern Banker, May, 1983

South Dakota News
Tuesday, May 17
7:30 Fellowship Breakfast, Holi­
day Inn City Centre.
•John Lillibridge, chairman,
F ir s t F id e lity , B urke,
8:30 Registration desk and exhibit
hall open.
9:30 General Session Program.
•Welcome - R ichard E.
Brown, convention chairman.
•Call to order - Dean O.
Mehlhaff, SDBA president.
•Address: Governor William

W ell
see you
at the
May 15-16-17

People Banking on People
100 South Phillips Avenue
Sioux Falls, SD 57102
The First National Bank In Sioux Falls
Member F.D.I.C .

Banker, May, 1983
Federal Reserve Bank of St. Louis

10:15 »Keynote Address: “ The
S tra te g ic A rm s L im ita ­
tion“—Admiral Elmo Zumwalt, U.S. Navy.
11:15 Break.
11:30 »Address: Llewellyn Jenkins,
immediate past president of
the ABA.
12:00 R e p o rt of th e SDBA
Nominating Committee. Elec­
tion of SDBA Officers.
12:30 All Convention Past Pres­
idents’ Luncheon.
2:00 »Address: “Some Observa­
tions on the Enterprise of
Free Individuals“—Dr. David
K. Hart, University of Wash­
ington, Seattle, Washington.
3:00 Bankers Area-Wide Advertis­
ing Marketing Slides.
3:30 »President’s Address: SDBA
President Dean O. Mehlhaff.
3:45 »Executive Vice President
Report — J.I. Milton Schwartz.
4:00 Adjournment.
6:00 Presidents’ Reception, Sioux


Falls Convention Hall.
7:00 Banquet.
8:00 “The Four Lads’’—Theatre,
Sioux Falls Convention Hall.
9:00 All Convention Dance featur­
ing Myron Lee and the Cad- £

You Will See Them At The 91st Annual •
S.D. Bankers Association Convention
HE following m etropolitan
bankers and service equipment
dealers have indicated that they will
attend the South Dakota Bankers
Association’s 91st annual conven­
tion in Sioux Falls, May 16-17.
First Bank: Richard W. Schoenke,
president; Robert J. Anderson, ex­
ecutive vice president; Kenneth A.
Wales, senior vice president; Lee C.
Hamilton and William W. Hamilton,
vice presidents; J.P. Mansfield, III
and Edward L. Whalen, assistant
vice presidents.
F&M Marquette National Bank:
William K. Klein, vice president;
Richard E. Holmes and Jim Kammerer, assistant vice presidents.
Midland National Bank: Stan
Peterson, vice president, and Mike
Bodeen, assistant vice president.
Northwestern National Bank: W.
James Armstrong, president/chief
executive officer; Richard D. Schnei­
der, executive vice president; Don­
ald G. Pederson, senior vice pres­
ident; Richard C. Storlie and John
McCune, vice presidents; Clifford A.
“Ted” Taney, assistant vice presi­
dent; R.L. “Buzz” Hulett, cor­
respondent banking representative.

First National Bank: J. William
Henry, executive vice president;
Charles Friese and Don Ostrand,
vice presidents; Jim Flodine and
Robert Meisinger, second vice pres­
idents; Diane Casart.
Omaha National Bank: Delmar
Olson, vice president.
St. Paul
American National Bank: David
M. Hyduke, group vice presidentcommercial; Jana L. Kirkeby, cor­
respondent bank officer; William J.
Carlson, investment officer.
First National Bank: Michael T.
Mishou and Bruce Hebei, vice presidents; Donald R. Lindeman, assis­
tant vice president; Richard M.
Carey, correspondent banking of­
Sioux City
First National Bank: Richard C.
Taylor, president; Gary W. Steven­
son, vice president.
Northwestern National Bank:
Tom Pohlman, assistant vice presi­
Security National Bank: Gene
Hagen, president; Steve Hatz, vice
president, and Ken Roeder, correspondent bank officer.









Let Dwaine Stinger, Vice
President, or Roma Kroll,
Assistant Vice President,
show you how their experi­
ence can help you get fast
action in handling Federal
funds transactions, money
transfers, security purchases
and sales.

Gary Stevenson
Vice President


Choose one of our services or as many as you need:




You get an accurate, efficient system for
obtaining the best availability of your funds to
help increase the profitability of your bank.
You get a full range of loan services including
overline and liquidity loans, assistance with your
ag loans, commercial loans and others.
You get a total program for both MasterCard
and Visa that includes card issuing, processing,
corporate cards, account servicing and assis­
tance with merchant calls. And you get the
geographic advantages of being closer to your
Bank Card Center.

You get an entire department of Trust professionals
to assist you in meeting your client’s needs.
You get the speed and efficiency of the Banks
of Iowa computers, plus the most successful
EFTS/Instant Access processor in the territory.
You get our guarantee that whether you need a
specific service, or just an idea or two, First
National is always ready to help.

First National Bank m

MEMBER FDIC • 712-277-1500 • Sioux City, Iowa 51101 • A BANKS OF IOWA’ BANK
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


South Dakota News

Toy National Bank: Stan Fred­ ha: Ed Batchelder, vice president
ericks and Leo Stavas, vice pres­ and Wayne Kincaid, representative.
Two Join Sioux Falls Bank
Sioux Falls
The First National Bank in Sioux
First National Bank: Tom Long,
Dennis Kirkeby and Jerry Feldhaus, Falls has announced the addition of
Ronald W. Madsen and Calvin E.
vice presidents.
Willemssen to the bank’s officer
Bank Equipment and Other Firms
Mr. Madsen has joined FirstBrandt Systems, Money Handl­ SiouxFalls as vice president/operaing Machines, Inc.: David Grimes, tions. He most recently was an ac­
Scott Grimes and Herb Duysen, count manager with Northwest
sales representatives.
Computer Services in Minneapolis.
Chiles, Heider & Company, Oma­
ha: Jon Narmi, vice president; Dave
Van Metre, senior vice president,
and Jeff Moran.
Daktronics, Brookings, S.D.:
Elmer “Bud” Weisser, region sales
Mosler Sage Company, Hamilton,
Ohio: Doug Moore, area manager;
Larry Odegard and Lindsay MichalR.W. MADSEN
ski, sales representatives.
Prior to moving to Minneapolis,
U.S. Checkbook Company, Oma­ he was with The First National

Daktronics Expands Its Manufacturing

Bank of the Black Hills in Rapid City for 18 years. He is a 1963 grad­
uate of The National College of
Business in Rapid City and has com­
pleted the Graduate School of Bank­
ing at The University of Wisconsin
at Madison.
Mr. Willimssen joined FirstSiouxFalls as vice president/commercial
lending. Most recently with The
First Bank in Fargo. Mr. Willemssen was with The First Bank of
South Dakota in Sioux Falls from
1977 to 1981. Prior to that he was
associated with the Sioux Falls Area
Chamber of Commerce and the South
Dakota Agricultural Extension Ser­

ings, S.D., has announced the company’s plan to expand its manfacturing efforts by con­
structing a new plant. The announcement in early April was followed by a ground breaking
ceremony. Construction will begin as soon as weather permits, with completion planned
for August. The present building will house administration, sales, engineering and
customer service. Daktronics currently designs and manufactures “ all sport” scoreboards,
custom scoreboards, information displays, electronic voting systems and control systems.
Dr. Kurtenbach stated that the company projects a 20% growth rate in sales and a possible
15% increase in employees. Daktronics currently employs 141 people. Pictured above are,
from left: Faye Dahl, representating Daktronics employees; Ron Bjerke, City Commis­
sioner; Elmer Weisser, president of Area Chamber of Commerce; Dr. Kurtenbach; Dave
Kosbau, Waltz Construction; Ron Einspahr, chmn. of Economic Development Committee
of Chamber; Duane Sander, Daktronics co-founder and board member; Brookings Mayor
Roger Prunty; Sherwood Berg, pres., South Dakota State University.

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis




Three Appointed at BankWest
Three new officers recently were
appointed at BankWest, announced
Charles H. Burke, president of the
bank. The three
are Ann Gormley, Tom Zeman
B ern ie
Ms. Gormley
joins BankWest
after five years
with the Amer­
ican State Bank,
P ierre, where
she was a vice


EXPANSION — Dr. Aelred Kurtenbach, president and co-founder of Daktronics, Inc., Brook­



president and loan officer. With
BankWest she will be involved in
customer services and will direct
teller operations in the Pierre bran­
Mr. Zeman joins BankWest from
the Northwestern National Bank of
Sioux City, Iowa, where he was an
agriculture loan officer. He is an ag
loan officer with BankWest, also.
Mr. Christenson has lived in
Pierre for several years. He recently
retired from the State Division of
Criminal Investigation where he
was assistant director and director
of field operations. With BankWest
he is facilities and security manager.





South Dakota News


D Sioux Falls Advances Four
The board of directors of First
Bank of South Dakota, Sioux Falls,
recently advanced four officers, ac­
cording to David S. Birkeland, presi­
li' dent and chief executive officer.
Gene Odenbrett has been elected
vice president in Madison; Lewis




Rohrer has been advanced to vice
president and trust officer in Rapid
City; Dennis Holzwarth was ad­
vanced to assistant vice president
and investment officer, and Daniel
• P. Murphy to trust development of­
ficer, both in the Sioux Falls trust
Mr. Odenbrett joined First Bank
System in 1964 at Vermillion in the
® Lien Insurance Agency, and trans­
ferred to Madison in 1972. Mr. Rohr­
er started in Rapid City in 1960 and
was elected assistant vice president
and trust officer in 1978. Mr. Holz® warth joined the Main Office in 1974
as an officer trainee. Mr. Murphy
began his employment with First
Bank at South Dakota in 1982.




Elected in Rapid City
Steve London has been elected
managing officer
of Western Bank
M o rtg ag es in
Rapid City. Mr.
London, who has
over ten years
ex p erien ce in
mortgage lending and servic­
ing in western
South D akota
and Wyoming,
has managed Western Bank Mort­
gages since June, 1982.
Federal Reserve Bank of St. Louis

A former country banker and
currently vice president of the
Correspondent Bank Department,
Steve Hatz has a special understand­
ing of what community bankers
need in today’s marketplace.
Steve also has a personal com­
mitment to his correspondent bank
customers. They know they can
count on him to provide not only
the best in ag overline, data
processing and cash management
services, but the information, ad­
vice and guidance necessary for a
better, more profitable operation.
If that’s the kind of service
you’d like to be able to count on
from a correspondent banker, call
Steve Hatz at Security National
today 712/277-6554.

Sioux City, Iowa 51101 Member F.D.I.C.

Northwestern Banker, May, 1983






Vice Pres.

Exec. Manager

82nd Annual

Colorado Bankers
Association Convention
June 9-11
Broadmoor Hotel
Colorado Springs
HIS YEAR again bankers will congregate at the
Broadmoor Hotel in Colorado Springs for the 82nd
Annual Colorado Bankers Association Convention be­
ing held June 9-11.
“CBA 83: A New Spirit in Banking!” is the theme
for this year’s convention which will feature golf, ten­
nis, skeet and trap shooting, a Fun Run, and a Hawai­
ian Luau. Evening entertainment will be provided by
Rare Moment and The Great Broadmoor Orchestra.
Early registration will be from 4:00 - 6:00 p.m. on
Wednesday, June 8 , at the Broadmoor West, lower
level, exhibit hall.
President Allen R. Koeneke, chairman and presi­
dent, First National Bank in Rifle, will preside at the
convention. He has been assisted this past year by
Vice President Norman M. Dean, chairman and presi­
dent, United Bank of Greeley, and Executive Manager
Don A. Childears.
Thursday, June 9
7:00 Fun Run, start and end at Broadmoor West
Parking Lot.
7:30 Men’s Golf Tournament, Broadmoor Golf Club.
8:00 Men’s and Ladies’ Doubles Tennis Tourna­
ments, Broadmoor Tennis Courts.
8:00 -4:30 Exhibit hall open, lower level, Broadmoor
8:00 -6:00 Registration, lower level, Broadmoor
8:00 -9:30 Complimentary breakfast.
9:00 Skeet and Trap Shooting, Broadmoor Shooting
11:00 Ladies’ Golf Tournament, Broadmoor Golf

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

2:30 “Beer B ust’’—Broadmoor West, Lower Level, ^
Exhibit area.
Free beer, cheese and crackers, compliments
CBA. Music by “Honky Tonk Quartet.’’
6:00 “Touch of the Islands’’—Hawaiian Luau. Buses
leave from 6-6:30 for Mountainside outdoor pic- ®
nic area. Free cocktails until 7:30.
Friday, June 10
9:00 -12:00 Business Session, Ballroom, Broadmoor
•Opening address: President Allen R. Koeneke,
chairman and president, First National Bank,
•Address: “ Interstate Banking in the West”—
Alex W. “Pete” Hart, executive vice president,
First Interstate Bancorp, Los Angeles.
Installation of Officers.
Panel: “Banking Competition in Colorado.”
Panel Moderator: Harley Patton, Central Bank
of Denver.
Panelists: Rollin D. Barnard, president, Mid­
land Federal Savings and Loan Association,
Denver; Carroll Beach, president, Colorado
Credit Union League, and Dick Tucker, president, Tri-State Industrial Bank of Denver.
• “Banker on Trial”—a presentation on bank
security. Jerry Kenna, president, Profit Protec­
tion, Inc., Miami, Fla.
12:00 Cocktails.
12:30 Luncheon, Broadmoor, International Center.
Luncheon speaker: John Elkins, of the Naisbitt
Group, researchers for John Naisbitt’s current
best seller, Megatrends.
6:00 Cocktails, Broadmoor Main and South.
7:30 Dinner, Broadmoor Main Dining Room or
Ballroom, second floor Broadmoor Golf Club.
9:00 “Rare Moment” presents a spirited program of
broadway show music, International Center.
The Great Broadmoor Orchestra will provide
dancing until 12:30 a.m.








Saturday, June 11
9:00 -12:00 Business Session.
•Speaker: William H. Kennedy, Jr., chairman,

Colorado News


Financial System s
puts it a ll together
for You

National Bank of Commerce,
Pine Bluff, Ark., and presi­
dent of American Bankers
ABA meeting.
“Expanded Business Oppor#
tunities for Banking”—Anat
Yalif, supervising consultant
and director of strategic plan­
ning practice, Arthur Young
and Company, New York.
50-Year Club.
Address: speaker to be an­
12:00 Adjournment.

You Will See Them
At The 82nd Annual
• Colorado Bankers
Convention June 9-11
HE following m etropolitan
bankers and service and equip­
ment dealers have indicated they
will be attending the 82nd annual
convention of the Colorado Bankers
Association in Colorado Springs,
Continental Bank of Chicago: F.
Rockwell Lowe, vice president.
Central Bank: Don Hoffman, chair­
man; Joe Lincoln, president; Jim Os­
bourn, R.J. “Jim ” Nelson and
® George Patterson, executive vice
presidents; Don Echtermeyer, sen­
ior vice president; Bill Tumelty, vice
president; Rick McElroy, assistant
^ vice president; Phil Randell, cor^ respondent banking officer, and Eric
Anderson, correspondent banker.
Colorado National Bank: Bruce
M. Rockwell, chairman; Peter Grant,
0 president; Robert L. Kroph, senior
vice president; William W. MacMil
Federal Reserve Bank of St. Louis






. . . AND MORE!

3 4





P. O. BOX 514
(307) 266-5166

Northwestern Banker, May, 1983

Colorado News
lan, David W. Fowler, Larry Match­
es and Charles Kirk, vice presidents;
Gerre A. Leyden, Mark T. Warshauer, Kim Propst and Celeste
McLane, assistant vice presidents;
Kirk Hoffman and Ursula James,
banking officers.
Intrawest Bank of Denver: Robert
E. Lee, chairman and CEO; John
Eggemeyer III, president; Charles
H. Green, executive vice presidentcorporate banking; Robert S. Mc­
Rae, senior vice president-correspon­
dent banking; Margaret L. Zarlengo,
Terry J. Tangen, Harry J. Devereaux and Robert M. Swartz, vice
presidents-correspondent banking;
Anne D. Warhover, assistant vice
president-correspondent banking.

New York
Chemical Bank: R.J. Guilbert,
vice president and M.P. Bristoll,
assistant vice president.
Omaha National Bank: James Al­
len and Daniel Boehle, vice pres­
Seattle-First National Bank:
Stewart C. “Chuck” Cato, vice presi­
dent & area manager and Kenneth
M. Yokoyama, assistant vice presi­
Bank Equipment and Other Firms
HBE Bank Facilities: John Gardella, account executive.
Kirchner, Moore & Company,
Denver: John A. Schabacker, senior
vice president & manager sales de­
Kansas City
J. Michael Fleming, exec­
United Missouri Bank: Richard C.
president; W.R. “Bill”
King, president; E.L. Burch, execu­
vice president sales;
tive vice president; Philip D.
and William J. PoStraight, senior vice president;
Don L.
Richard H. Muir, vice president.
Shaw, sales.
Mosler Safe Company, Hamilton,
Ohio: Dave Donaldson, area man­
First National Bank: Steve An­ ager; Joe Otte and Jack Dark, sales
derson, vice president.

"There's nothing routine about being
a correspondent banker. And that's
what I enjoy about my job."

Mortgage Company Elects V.P. 0
Colorado National M ortgage
Company, Denver, recently elected
Larry Brown, vice president in
charge of the residential production
department. Prior to joining the •
company, Mr. Brown was associated
with Interwest Mortgage Company,
and Arvada Mortgage Company,
which is Florida based. He brings
with him 17 years of mortgage ex- ®
Executive Elected
James A. Simon has been elected
to the post of chief administrator ®
with the title of
executive vice
president of Cen­
tral Bank of Col­
orado Springs.
M r. Sim on
has over 12
years of finan­
cial m a n a g e ­
ment and com­
mercial bank ex­
p e rie n ce . He
spent three years with the Federal
Reserve Bank of Chicago as an ex­
aminer; three years at United Bank

"H ere are a few typical examples.
A couple of months ago, I was in
W yom ing putting together a loan for
the construction of a drilling rig."
: O : ,l
Federal Reserve Bank of St. Louis


Colorado News

of Denver as a senior loan analyst;
four years at Central Bank of
Denver as a vice president and unit
leader of correspondent banking
department and two years as vice
president in the correspondent bank­
ing department of the First In­
terstate Bank of Denver.
Elected at Arapahoe Bank
Colorado N a tio n al B ank Arapahoe has elected Robert Collins
III assistant vice president, respon­
sible for consumer and commercial
loans and compliance regulations.
Mr. Collins has over 14 years bank­
ing experience with the Colorado
National Banks.
Mr. Collins joined the Arapahoe
bank in 1980, after being with Col­
orado National Bank of Denver.
Elected in Greeley
Dick Feldhus has been elected
president of Colorado National
Bank - Greeley. Mr. Feldhus, who
brings 30 years of banking exper­
ience to his position, will also
assume the responsibility of chief
executive officer.
Floyd Harmon, who previously
held the position of president, has

been appointed vice chairman of the
Mr. Feldhus has held positions of
vice president and commercial loan
officer at Greeley National Bank, ex­
ecutive vice president at Cache Na­
tional Bank and president for both
the Bank of Manitou and West
Greeley National Bank.
Greeley Bank Sale Announced
George B. McKinley, president
and chief executive officer of Central
Bancorporation, Inc., and a group of
local Greeley investors comprised of
Walter M. Francis, Ronald T. Hinman, C.K. Kingsbury, Robert N.
Miller, Joel Rothman and Jerald
Stugart, announced that the bank
holding company has entered into a
definitive agreement to sell the Cen­
tral Bank of Greeley to the investor
group. The sale is subject to regula­
tory approval. The name of the bank
is be changed to First Colorado
Bank of Greeley upon approval.
Ronald T. Hinman will serve as
president and chief executive officer
of the bank, while Mr. Francis will
be executive vice president. No
changes in the operation of the bank
are anticipated.

"From there, it was dow n to Northern
C olorado to assist in the organization
and financing of a new bank charter."

Promoted in Boulder
Walter A. Browning, Jr., chair­
man of the board & chief executive
officer of First National Bank in
Boulder, has announced the promo­
tion of William
L. Vorlage, Jr.,
to vice president
of consumer lend­
ing. Mr. Vorlage
has been with
F irst National
Bank since 1973,
where he has
served as per­
sonnel depart­
ment manager WL VORLAGE, JR.
and most recently assistant vice
president and manager of First Na­
tional’s electronic banking depart­
Elected to Board
Dr. Lyle Wilcox, president of the
University of Southern Colorado,
Pueblo, has been elected to the
board of directors of IntraWest
Bank of Pueblo.
Mr. Wilcox, former dean of engi­
neering of Clemson University,
takes the seat on the board formerly
held by M.R. “Dutch” Watters.

T h e n to Utah to help a correspondent
bank arrange m em bership in
the VISA PLUS System?
I said I enjoy my job. And I'd like to go
to w ork for you. That's what it means
to be a Better Banker. Please give
me a call. I'm Rick McElroy."

of Denver

H ie Better Bankers.
1515 Arapahoe Street/Denver,
Colorado 80292
(303) 893-3456/Member FDIC.
Federal Reserve Bank of St. Louis



Colorado News

Denver National Promotions Announced
GALE Sellens, chairman of Nichol joined in 1977 as trust
■ the board and chief executive investment officer. Mr. Erskine for­
officer of Denver National Bank, has merly was assistant vice president
announced the promotions and ap­
pointments of the following bank
Van A. Horsley has been promo­
ted to senior vice president. Most
recently serving as vice president in
the commercial loan department,
Mr. Horsley joined the bank in 1974,
and presently manages the energy
Richard W. Green, John D. Holzman, and Dean M. Howell have been
promoted to vice presidents. Greg L.
McNichol was named vice president
and trust investment officer, and
James R. Erskine was appointed
vice president and manager of
Denver National’s Glenarm office.



of United Bank of Littleton.
Promoted to assistant vice pres­
idents were: William C. Barnett, C.
Jerome Chandler, Beth Ann Gargano, Paul Loux, David S. Mazar
and Pamela S. Whitehill.
Mr. Barnett will also serve as
compliance officer. Mr. Loux will
serve as systems and methods of­
ficer in addition to assistant vice
president. Ms. Whitehill will also
serve in the retail lending depart­
Patricia J. Reed has been pro­
moted to correspondent banking of­
ficer and Michael J. Drejza to retail
lending officer.
Elected to the
bank’s board of
directors were
Charles B. Wor­
th in g to n and
Thomas A. Rob­
erts. Mr. Wor­
thington is exec­
utive vice pres­
ident of Denver
National Bank, C.B. WORTHINGTON
which he joined in 1974. Mr. Roberts
is vice president of Par Oil Company.

Senior V.P. Retires
Kenneth W. Caughey, senior vice
president and trust officer of Col­
orado National Bank of Denver, will
retire from the bank after 28 years
of service. After his retirement he
will serve as consultant for the
holding company.
Mr. Caughey has been with the
bank since 1955 and has made sig­
nificant contributions, especially to
the trust department.
Also announced was the merging
of the bank’s trust and funds man­
agement departments into the Fi­
nancial Services and Funds Manage­
ment Department. Nelson B. Cole,
senior vice president of funds
management, will head this new de­
partment. Mr. Cole joined the bank
in 1973 as an assistant vice presi­
Mr. Green has been with the bank dent.
since 1967 and presently manages
Norman R. Augustine, president
the retail lending division. Mr. of Martin Marietta Denver Aero­
Holzman joined Denver National in space and vice president of Martin
1981 as municipal bond trader. Mr. M arietta Corporation, has been
Howell joined the bank in 1982 as elected to Colorado National Bank’s
bond investment officer. Mr. Mc­ board of directors.
for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

First Interstate • Denver
Offers Brokerage Services
First Interstate Bank of Denver
has begun offering discount broker­
age services to customers in Col­
orado through First Interstate’s
subsidiary, First Interstate Dis­
count Brokerage. The discount
brokerage service furthers First In­
terstate Bank’s commitment to pro­
viding a full range of financial ser­
vices to its customers.
Through the use of a toll-free
number (800/222-0468) customers
will be able to place their trade
orders coveniently from anywhere in
the United States. Once transac­
tions are completed, written notifi­
cations will be sent on the next
business day.
Customers with First Interstate
Bank checking or savings accounts
will be able to settle transactions
automatically and have dividends,
interest and the proceeds of security
sales deposited to account.
New Head for
Pikes Peak Region Group
The Commercial Banks of the
Pikes Peak Region have announced
the election of
Stephen S. Laine
as their presi­
d e n t for th e
1983-84 admin­
istrativ e year.
Mr. Laine is cur­
rently president
of the Garden of
the Gods Bank,
Colorado Springs.
The Commer­
cial Banks of the Pikes Peak Region
consists of a 25 bank membership in
El Paso County. This group was
formed in 1978 as a local clearing
house and medium of exchange be­
tween all the banks of the Pikes
Peak region. The organization con­
cerns itself with banking affairs,
political matters and community
growth and support.
Grand Opening Held
C. Gale Sellens, chairman and
chief executive officer of Denver Na­
tional Bank, recently announced the
grand opening of the bank’s newly
renovated Glenarm office at 16th
and Glenarm, downtown. The reno­
vation represents a return to the
bank’s original site on the main floor


Depend on IntraWest Computer
Services for the financial systems
you need to compete in the new
environment of fast-paced change
and deregulation.
Your bank’s needs are special,
which is why we offer some very
specialized services in our Financial
Data Processing package.
And as we change to bring you
new technological advances, our
commitment to bring you the best
personal attention will remain strong
and on-line.
IntraWest Computer Services,
providing financial systems for the
way you do business today—and
tomorrow. Call Joe Phernetton
today for more information.


t r a



s t f / j^

B anks
IntraWest Bank of Denver
Computer Services
633 Seventeenth Street
Denver, Colorado 80270
303 293-5491
Member FDIC
Member IntraWest Financial Corporation
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983

of the Security Life Building, where
the bank first opened for business in
The re-opening of the completely
remodeled Glenarm office is the cul­
mination of a 28 month process dur­
ing which the main bank relocated
to the newly constructed Denver Na­
tional Bank Plaza at 17th and Law­
rence in the burgeoning Skyline Ur­
ban Renewal Area. The Glenarm of­
fice remained open for business in
the Security Life Building, relocated
temporarily during the office’s reno­
vation, and is now permanently relo­
cated at the corner of 16th and Glen­
arm, adjacent to the 16th Street
Promoted in Golden
The board of directors of Colorado
National Leasing, Inc., Golden, re­
cently promoted Charles R. Schiell
to assistant vice president.
Mr. Schiell joined the company in
January, 1982, and has held posi­
tions as credit manager and lease of­
ficer, credit.
Plus System Begins
Central Switch Operation
Dale Browning, president of Plus
System, Inc., Denver, Colo., an­
nounced last month that less than
one year after the formation of the
new corporation designed to provide

nationwide shared automated teller
machine services, all computer en­
hancements to the national switch
to accommodate the national shared
program have been completed and
attachment of the first proprietary
member to the national switch has
been certified.
BancOhio completed all testing to
the national switch and was certified
on April 1. In addition, Affiliated
Bankshares of Colorado, Central
Bank of Denver, and The Colorado
National Bank of Denver were also
attached and certified. These four
proprietary members bring over 450
ATM’s to the PLUS SYSTEM na­
tional network.
Plus System, Inc., headquartered
in Denver, was formed by an alliance
of 35 of the nation’s largest banks
with assets ranging from $572 mil­
lion to $115 billion. These banks
have combined assets in excess of
$300 billion and include both moneycenter banks and regional banks. In
addition to the 35 equity owner
banks, which are called proprietary
members, Plus System, Inc., already
includes nearly 1,000 other financial
institutions which have been spon­
sored into the PLUS SYSTEM or­
ganization by proprietary members.
During the months of May and
June, the remainder of the member­
ship will be phased into the national
switch. It is anticipated that by fall
Plus System, Inc., will have approx-

imately 2500 ATM’s available to 16
million participating cardholders na- ®
tionwide. PSI has estimated that by
1987 over 10,000 ATM’s will be in­
terconnected through the Plus
System, Inc., national program.
Director Elected
Robert C. Blanz, president of
Mountain States Telephone and Tel­
egraph Company, has been elected 0
to the board of directors of United
Bank of Denver, according to Rich­
ard A. Kirk, chairman.
BMA School of Trust
Sales and Marketing
Registration is being accepted for
the one-week Bank Marketing Asso­
ciation School of Trust Sales and
Marketing to be held May 22-27 at
the University of Colorado in
The BMA Trust School is designed
for all levels of management previously disciplined in trust product
knowledge and currently working
within a bank trust department.
Tuition for the School of Trust
Sales and Marketing is $750 for
BMA members and $1,125 for non­
members. Additional information
and applications are available from
the Schools Department, Bank Mar­
keting Association, 309 West Washington Street, Chicago, IL 60606;






and Robert L. Hancock as assistant

Rock Springs Bank
Names New President
Ronald E. Bailey has been named
president of The American National
Bank of Rock Springs, an affiliate of
American Bank Corporation. Mr.
Bailey is a graduate of the Universi­
ty of Wyoming and the Colorado
School of Banking, Boulder.
Glenrock President Named
The board of directors of the
Security Bank of Glenrock has an­
nounced the appointment of Don
for FRASERBanker, May, 1983
Federal Reserve Bank of St. Louis

Pfaff to president of the bank. Mr.
Pfaff had been serving as vice presi­
dent and cashier from the bank’s
beginning in May, 1982. He joined
Security Bank from the Lingle State
Bank of Lingle where he had been
vice president and cashier. He has
19 years previous banking and fi­
nance experience.
Two Elected in Buffalo
The Wyoming Bank & Trust
Company, Buffalo, has announced
the election of John P. Gammon III

Joins Evanston Bank
Robert Adams has recently joined
Pioneer Bank of Evanston as assis- •
tant vice president, according to
Harry A. Palmer, president and
chief executive officer.
Mr. A dam s
attended Brig­
ham Young Uni­
versity and is a
graduate of the
Colorado School
B an k in g ,
B o u ld er.
m ost recently
was w ith the
Saratoga State
Bank, Saratoga,
where he served as senior vice presi­
dent and member of the board of di­
rectors. Prior to that he was vice
president of consumer loans at First
Wyoming Bank, Rawlins.

system’s Roseburg Branch as com­
mercial lending officer. In 1982, Mr.
Rubie moved to Missoula where he
served as assistant vice president of
the First National Montana Bank of
Missoula until joining Citizens Bank
in Havre.

New President Named at
Security Banks of Montana
Tom Scott, chairman of Security
Banks of Montana, has announced
that Richard A. Kjoss has been
named president of the Billings based
bank holding company in addition to
his duties as president and chief ex­
ecutive officer of Security Bank,
N.A., Billings.

bank. Mr. Bratton previously served
as president of the Whitehall State
Bank of Whitehall, and has been in­
volved in banking in Montana for
several years.
J. Stephen Peryam has been elec­
ted executive vice president and
director of the bank. Mr. Peryam
served as vice president and cashier
of the First National Bank of Plains
before joining the Broadus bank.
Garry Wallace has joined the
bank as vice president. For the past
several years he has been employed
as a loan officer of the Security
State Bank of Harlem.

ABA’s C om petitech Becomes
Best Seller With Banks
“Remarkable” and “gratifying”
is how Larry A. Johns, chairman of
the American Bankers Association
Community Bankers Council de­
scribes banker response to Compet­
itech, ABA’s monthly series on implementable banking techniques and
Mr. Johns explained, “When sales
of back issues of Competitech top
the 3,500 mark, I know we are right
on target in selecting topics. That’s
gratifying, too, because we’ve tried
very hard to select subjects to pro­
vide community bankers with the
operation know-how that they need
Of the first seven issues, “Teller
Perform ance M anagem ent—The
Key to Productivity,” has been the
best seller, Mr. Johns said. Other
especially popular issues have in­
cluded “ Controlling Bankruptcy
Losses” and “One Bank Holding
Because of their immediacy, Com­
petitech special issues in the GarnSt. Germain Act and withholding
regulations also have been in great
demand, Mr. Johns added.
Annual subscription sales of Com­
petitech have passed the 1,200
mark, noted Mr. Johns, who is also
president and chief executive officer
of Isabella Bank and Trust, Mount
Pleasant, Mich.

V.P. Elected in Havre
Richard G. Rubie has been elected
president in the commercial
lending department of Citizens
Also announced was the naming Bank of Montana, Havre, according
of William G. Wilson as senior vice to an announcement made by Doug­
president, finance, of Security las L. Davidson, president.
Mr. Rubie began his banking car­
Banks of Montana. He will be re­
sponsible for all fiscal affairs as well eer as a trainee at Missoula Bank of
as data processing at the holding Montana in 1970 and continued that
training with Bancorporation of
company level.
Montana, now Bank of Montana
System, working in various capaci­
Broadus Bank Announces
ties within the holding company and
Management Changes
several of its subsidiary banks, in­
The Powder River County Bank cluding Citizens Bank from 1975 to
of Broadus recently announced the 1977. He was elected Credit Officer
at the First Interstate Bank of
following management changes.
Phillip D. Bratton has been elec­ Oregon, N.A., in Portland in 1979, BMA Plans Essentials of
ted president and director of the and in 1980 was transferred to that Bank Marketing School
The Bank Marketing Association
has announced program details for
its annual Essentials of Bank Mar­
keting School scheduled for May
22-27 at the University of Colorado
in Boulder.
Golf Country Club, Havre
May 5
The Essentials of Bank Market­
May 6
Deer Lodge Community Center
is a one-week curriculum designed
& Elks Club, Deer Lodge
executives who wish to en­
7A & 7B
May 7
Yellowstone Inn, Livingston
hance their understanding of basic
May 10
bank marketing principles and their
5A & 5B
May 13
Rainbow Inn, Great Falls
day-to-day applications. The course
3A & 3B
May 14
Elks Club, Missoula
aids students in understanding the
May 17
Forsyth Country Club
relationship and role of marketing in
the total functioning of the bank.

1983 Montana Group Meetings
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983

banking has
never been
One call to Norwest Bank
Omaha puts you and your cus­
tomer in contact with bankers all
over the world. For importing and
exporting. For business transactions in a foreign country. For
getting a line of credit half-way
around the globe. It can be con­
fusing. But it doesn’t have to be.
Norwest Bank Omaha is deeply
committed to international bank­
ing. More so than most other
financial institutions. So, when
your customer needs help with
banking in a foreign land, call us.
We can help.

Call Anne Hall in the Interna­
tional Banking Department,

Norwest Bank Omaha
(formerly U.S. National Bank of Omaha)
Member FDIC Affiliate of Norwest Corporation

mm y mm

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis





Elected in Kearney
First National Bank & Trust Co.,
Kearney, recently announced the
election of Pamela A. Colling as
trust officer.
Prior to joining the bank, Ms. Col­
ling was with the firm of McGinley,
Lane, Shanahan and Mueller, and is
a member of the Nebraska Bar Asso­












First of Omaha Acquires
First Security, Beatrice
The First National Bank of
Omaha on April 11 acquired title to
two holding companies and their af­
filiates in Beatrice following nego­
tiations that developed after a default on a stock loan. The result was
forgiveness of the indebtedness by
First National, and acquiring title to
the pledged stock, according to Dennis O’Neal, executive vice president
at First National Bank of Omaha.
The institutions involved are Bea­
trice State Co., which is the parent
of First Security Bank & Trust Co.,
founded in 1968, and Olympic In­
vestment Co., owner of First Securi­
ty Savings. Also involved were the
insurance agencies operated by each
institution. First Security Savings
is one of 36 industrial loan and in­
vestment companies chartered in
Nebraska. At 1982 year-end, First
Security Bank & Trust Co. had de­
posits of $17,299,000. Its capital accounts totaled $1,485,000, plus
$150,000 in capital notes and
$117,000 in Fed Funds purchased.
Loans were $13,153,000.
James L. Gillette, president and
cashier of both institutions, and his
wife, Nancy, vice president, have
resigned their posts. Mr. O’Neal
said John M. Urquhart, formerly
senior vice president of the bank,
has been named its president and
managing officer. He said all other
staff members will continue in their
present positions. It is anticipated
that First National will appoint one
of its staff as chairman of the bank,
and will probably have representa­
tion on the boards of directors.
Paul Amen, Nebraska director of
banking, said the negotiations were
settled under an existing statute
that permits a bank to take title to
pledged stock to satisfy a loan in
default. Under that statute, the
bank would have up to five years to
Federal Reserve Bank of St. Louis

dispose of property acquired in this
manner, such as the bank in Bea­
trice. However, the Nebraska legis­
lature passed LB 58 a few weeks ago
and it was signed immediately by
the Governor. That bill sets aside
Nebraska’s long-standing prohi­
bition against multi-bank holding
companies and authorizes a bank
holding company to own up to nine
banks, with a limitation that all of
them hold no more than 9% of the
total deposits in the state’s banks
and savings and loan institutions.
That law becomes effective approx­
imately September 1, which means
First National of Omaha can retain
or sell its ownership in the Beatrice
institutions, without regard for the
five-year divestiture period in the
previous law.
Fremont Bank Elects One
Kenneth D. Grant has been
elected vice president-cashier of
American National Bank of Fre­
mont, a newly chartered bank.
Mr. Grant, a Fremont native,
returns to Fremont from Sioux City
where he was credit department
manager for Toy National Bank and
president of Ken Way Distributing
Appointed in Grand Island
Jerome Niedfelt has been ap­
pointed to the board of directors of
Commercial Bankshares of Nebras­
ka, Inc., Grand Island, parent com­
pany for Commercial National Bank
and Trust Company. Mr. Niedfelt is
president of Platte Valley Construc­
tion Company, and is also a director
of the bank.

Grand Island Promotes Three
At Commercial National Bank &
Trust Company, Grand Island, Cor­
inne Brumbaugh was promoted to
assistant vice president, operations;
Geri Zaruba was promoted to assis­
tant vice president, teller manager,
and Patsy Kalkowski was appointed
assistant cashier.
Ms. Brumbaugh joined the bank
in 1974 and is responsible for wire
transfers, working with the general
ledger system and correspondent
bank transactions. Mrs. Zaruba is
supervisor over all Main Bank teller
operations and is also assistant
security officer. She has been with
the bank for nine years. Ms. Kalkow­
ski is manager of all new accounts
personnel and has worked at the
bank since 1979.
Two Join North Platte Bank
First National Bank and Trust
Company of North Platte recently
announced the addition of Stanley
D. Wieland and Alan A. Hans to the
bank’s staff.



Mr. Wieland will serve as vice
president of commercial loans. For­
merly with City National Bank of
Hastings, Mr. Wieland has been in
banking for 12 years.
Mr. Hans has joined the bank as
consumer loan officer. His past ex­
perience is in the consumer finance
area, the granting of credit and col­

Two Elected in Broken Bow
Broken Bow State Bank has an­
nounced the election of Corinne Andreasen as loan administration of­ Promoted in Doniphan
ficer, and Yolanda Daake as cus­
Jon Heath recently was promoted
tomer services officer.
to cashier of the Bank of Doniphan.
Northwestern Banker, May, 1983


PPROVAL was granted April 14
by the Federal Reserve Bank of
Kansas City to First of Nebraska,
Inc., to acquire the Valley State
Bank of Yankton, S.D., according to
Bruce R. Lauritzen, executive vice
president. Mr. Lauritzen said this
will allow First National Bank of
Omaha, the principal subsidiary of
First of Nebraska, to expand its
credit card operations.
The Fed approval was made possi­
ble by a recent change in the South
Dakota law which allows interstate
acquisition of a single South Dakota
Mr. Lauritzen said First National
Bank is working to substantially ex­
pand its credit card base of cus­
tomers, and the human resources re­
quired for that expansion will be
partially located in Yankton.” He
said the bank “hopes to issue cards
there by June 1. Within a year, per­
haps, we hope to have about 50 peo­
ple in our credit card operation alone
in Yankton.”
Mr. Lauritzen added, “we will
keep our Omaha credit card opera­
tion and expand it now that the
Nebraska usury law has just been
passed. (That law lifts completely
the interest limitations on credit
card charges, the same as South
It is anticipated that the purchase
will be consummated May 14 and
First of Nebraska will assume con­
trol on Monday, May 16. Mr. Laur­
itzen said no personnel changes are
planned at this time. Top officials of
the Valley State Bank are Erling
Haugo, chairman, and his son, Rog­
er Haugo, who live in Sioux Falls
where they own Valley National
Bank, and Valley Bank’s managing
officer, Robert D. Clausen, executive
vice president. One addition to the

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

staff on June 1 will be Keith H. Warrelmann, who is presently executive
vice president and cashier of the
Lauritzen’s Emerson State Bank in
Emerson, la. Mr. Warrelmann will
join the bank as vice president.
Valley State Bank has in excess of
$25 million in assets.



HE UNITED States National
Bank of Omaha recently elected
Jon A. Lindhjem as senior vice presi­
dent and chief financial officer and
Gregory P. Carlson as vice presi­
dent. Also announced was the elec­
tion of two second vice presidents,
three officers and a director.
Mr. Lindhjem
joins the bank
from The Mer­
c a n tile T ru s t
Company of St.
L ouis,
where he held
the position of
vice president/
Mr. Carlson
previously was
with Northwestern National Bank
Southwest, Bloomington, where he
held the position of vice president
and director of human resources.
Steven G. Wickard and Richard
H. Bangston were named second
vice presidents. Mr. Wickard joined
U.S. National in 1980 as a regional
credit trainee and was named com­
mercial banking officer in 1981. Mr.
Bangston joined in 1980 as an in­
vestment representative with two
years experience as a commodities
broker with First Mid America, Inc.
Anne P. Hall was elected interna­
tional banking officer; Vivian A.
Balak, personal banking officer, and
Ann S. Waller, investment opera-



tions officer.
Ms. Hall has been with Northwest
Bancorporation since 1980, serving
at banks in St. Paul and Hopkins,
Minn. Ms. Balak joined the bank in
1976 as an international banking
associate. She was promoted to per­
sonal banker in 1981. Ms. Waller
started as investment operations
supervisor in 1979.
Richard D. McCormick, president
and chief executive officer of North­
western Bell Telephone Company,
has been elected to the board.
* * *
Edward A. Kohout, president and
chief executive officer of North­
western National Bank has an­
nounced the elec­
tion of Duane
Carl Ellermeier
as vice president
in charge of the
agricultural lend­
ing and corre­
spondent bank­
in g
M r.
E l l e r ­ D.C. ELLERMEIER
meier has been
with the Columbus Production























« •*'














4 A












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most competitively organized
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bank can join this premier sys­
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By the end of this year, over
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the country will be bringing the
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1- 800 - 642- 9907;

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firstnational bank
of omaha
m em ber FDIC
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


Nebraska News


Credit Association since 1977 and 0
was assistant vice president, branch
manager of the Schuyler PCA office.
He has previously worked for Funks
Seed International, Cargill-Nutrena
Feed Division and the Columbus Ci- 0
ty Schools. Mr. Ellermeier holds a
BS degree from Wayne State Col­
lege and a MS degree from Texas A
& M University.
* * *
The board of directors of the Bank
of Millard announced the election of
Murray D. Backhaus to the post of
bank cashier.
Mr. Backhaus joined the bank in
1977 after U.S. Air Force service.
Prior to becoming bank cashier, he
had been operations and security of­




“ B ill”

First National Bank

St. Joseph, MO 64502 • Call: (816) 279-2721
Affiliate of First Midwest Bancorp., Inc.
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis



University of Nebraska-Lincoln 0
chancellor M artin A. Massengale
have been elected to the board of
directors of Omaha National Bank,
according to John D. Woods, chair­
man and chief executive officer.


You don't have to be a big bank to give your cus­
tomers big bank services—like estate planning. Now,
First National Bank can bring it to you.
That's right. At First National, our trust department
is full of estate planning experts. Our correspondent
bank officers—Bill Manring, Stan Hulett, Bob Ffolt or
John Kam—will be glad to set up a group seminar or an
individual consultation with you.
So give us a call. With the help of First National, you
can offer big bank estate planning, too. No matter what
size you are.



Mr. Esping is founder and board
chairman of First Data Resources,
Inc. Dr. Massengale, a nationally- 0
known agronomist, received his un­
dergraduate degree from Western
Kentucky University and his MS
and PhD from the University of



The First National Bank of
Omaha recently received approval
from the Comptroller of the Curren­
cy to establish a CBCT branch at •
63rd and Shirley in Omaha.
Recently Approved
Southwest Bank & Trust Com- 0
pany, Omaha, recently received ap­
proval from the Department of
Banking and Finance to establish a
detached auxiliary teller’s office on
the southwest corner of 108th & Q 0
Streets in Omaha.

"I need a correspondent banker
who’ll work as Hard for my bank
as he does for his own.”
T h at’s ju s t w h a t a w o rk in g re la tio n s h ip w ith NBC o ffe rs .
If you judge them by their ads, correspondent banks look
quite a bit alike. But the banks we serve are looking for
more than a friendly smile and a passing knowledge of
their special problems. They’re looking for a professional
partnership they can count on.
Our working relationship involves all the traditional
correspondent services plus programs that are uniquely
ours: from customized bank cash management services, to
a clearinghouse for banking forms, to financial planning
software packages for banks and their customers. Vital
contact includes our “ News Views’’ executive letter
citing industry trends and changing regulations.
In today’s competitive financial market, you need that kind
of support from your correspondent. Call us to hear more
about what our clients mean when they say, “ NBC works
for me.”

N S C ,

T he C o rre s p o n d e n t B a n k in g D iv isio n of N a tio n a l B a n k of C om m erce
N B C C e n te r, 13th & O S t., L in c o ln , N e b r a s k a 68508, T e le p h o n e (402) 472-4321 /
Federal Reserve Bank of St. Louis

Member FDIC


sidiary of USLIFE Corporation, ^
New York.
The sale, as previously described
when agreement in principle was an­
nounced February 23, will include
approximately $200 million of 0
USLIFE Credit Corporation con­
sumer finance receivables. USLIFE
Credit Corporation operates 187
consumer finance offices in 18
states. Dial has 460 financial ser- 0
vices in 38 states.

First Security Construction Begins
ROUND recently was broken
and construction has begun on
the permanent headquarters for
First Security National Bank of Lin­
coln, to be located at First Street
and West Fletcher Avenue, adjacent
to the bank’s temporary facility.
Nebraska Lt. Governor Donald F.
McGinley operated a front-end load­
er March 19 to break ground for the
building which will cover 7,400 sq.
ft. and is exptected to be completed
this fall. Donald O. Clifton, chair­
man, said 4,030 sq. ft. will be used
by the bank and the remaining 3,370
sq. ft. will be leased for retail or pro­
fessional use.
The new facility will feature ex­
terior brick veneer, a drive-up win­
dow, two remote teller stations for
motorists, a 24-hour ATM and a 204
sq. ft. vault that will hold cus­
tomers’ safe deposit boxes.
Deposits in the bank as of March
31 were $3,055,000, up $821,000
since December 31. Two new direc­
tors were also elected in March.
They are Ronald D. Grebe, president
of Lee’s Motors, Ashland, and
Douglas B. Rath, vice president of
Selection Research, Inc., Lincoln.

Art N. Burtscher has been elected
senior vice president of Gateway
Bank and Trust Company. Formerly
vice president, mortgage loan divi­
sion of First National Bank and
Trust Company of Lincoln, Mr.
Burtscher will have senior manage­
ment responsibilities in the lending
division. He is a graduate of Fort
Hays State University and Califor­
nia Poly-Technical U niversity
School of Mortgage Banking.
Gateway Bank has also announced
the promotion of Alan Austin to
senior vice president. Mr. Austin
has been with the bank since 1974.
He is a graduate of the University of
Nebraska and the Bank Administra­
tion Institute School of Bank Ad­
Banco’s Dial Unit Buys
Consumer Credit Firm
Northwest Bancorporation re­
cently announced that its consumer
finance subsidiary, Dial Corpora­
tion, has reached definitive agree­
ments to acquire the consumer
credit business of USLIFE Credit
Corporation, a consumer credit sub­

Architect’s drawing of First Security National Bank, Lincoln.
Digitized Northwestern
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

Commerce Bank Begins
Discount Brokerage Sales
Commerce Bank has announced ®
that its Discount Brokerage Service
began operations on April 11. The
service is available at all 82 Com­
merce Bank locations in Missouri, ^
providing customers a savings on 9
commissions of up to 70%.
Commenting on the new service,
David W. Kemper, president of
Commerce Bancshares, Inc., said, ^
“We believe we have put together
one of the finest complete discount
brokerage services in the Midwest,
if not the country. Because we offer
a complete service, Commerce cus- £
tomers will deal directly with Com­
merce Bank personnel for buying
and selling securities, instead of
working through a third party.”
The Commerce Bank Discount 0
Brokerage Service does not require
the customer to maintain a min­
imum balance or deposit to take ad­
vantage of the service. An on-line
computerized brokerage processing 0
system offers customers immediate
access to information about their ac­
count, including a 90 day history of
all activity. The system provides
fast, accurate executions of buy and <9
sell orders, and offers up-to-the
minute reports on current market in­
The discount brokerage services
are provided in cooperation with Na- <9
tional Financial Services Corpora­
tion, a subsidiary of Fidelity Bro­
kerage Services, Inc., Fidelity
Brokerage Services Inc., is a part of
the Fidelity Group, a diversified <9
financial services organization which
manages $16 million in assets.
Appointed to Board
William J. Morrow, senior vice
president of Commercial National
Bank of Ainsworth, has been ap­
pointed to the bank’s board of direc- 0


Specialists in
fulfilling your every
correspondent need...



Vice President & Manager
Correspondent Bank Division

Vice President



Correspondent Bank Officer

Correspondent Bank Officer

Correspondent Bank Officer

lllllin iilllllll FIRST N A T IO N A L LIN C O LN
13th & M Sts. • P.O. Box 81008 • Lincoln, NE 68501
Phone: (800) 742-7462
Member, F.D.I.C.
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


We’ll buy your O ttum wa.
Or se ll you som e Storm Lake.
As a registered securities d e a l­
er, Bankers Trust is an active mar­
ket maker in U.S. government
and government a g en cy securi­
ties and high-grade municipal
bonds, specializing in Iowa, Kan­
sas and Missouri municipalities.
We provide you and your cus­
tomers with a wide selection oi
investment opportunities and fast,
responsive service.
And our Investment officers —
Senior Vice President Robert M.
Young, Jr., and Assistant Vice
President Gregory R. Tucker —
are always ready to provide in­
vestment suggestions, based on

your needs and objectives.
So, call on us...for some munici­
p a l bonds, government a g en cy
paper, or simply some wellgrounded investment counsel.
Use our toll-free WATS line:

W ith Us
Iowa’s largest locally owned,
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Member: FDIC/Federal Reserve System

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Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis


L.C. “Bud” Pike, pres., Grundy Center
N. Milner, exec, v.p., Des Moines

Maxwell State Plans New Building
T WAS announced last month by
Morgan Monroe, president of the
State Bank in Maxwell,
that construction will start im­
mediately on a new 3,786 square
foot bank building.
The new Colonial style building
will allow the bank to now provide a
bag and envelope night deposit,
drive-up banking and on-site cus­
tomer parking for its customers. It
will be located approximately two
blocks north of the present bank
The interior will feature four of­
fices uniquely located on a semi­
circle opposite the four station teller

Daniel W. Ernst Dies
One of Iowa’s distinguished sen­
ior bankers, Daniel W. Ernst, died at
his home in Dubuque April 6 at the
age of 80. He
was chairman of
th e executive
c o m m itte e of
American Trust
and S a v in g s
B ank in D u­
buque a t the
tim e of his
Mr. Ernst was
b o rn in Des
Moines and began his banking
career there with the Iowa National
Bank, later working with the Iowa
banking department. In the mid­
Federal Reserve Bank of St. Louis

line with large wings for teller work
areas. A large safety deposit vault
and additional safety deposit boxes
will be included. Located behind the
teller counter will be a semi-private
computer area. An employee lounge
is also located on the main level.
The lower level will be utilized for
fire proof storage and mechanical
The Kirk Gross Company of Wa­
terloo, Iowa’s largest Turn Key de­
signer and builder of financial facil­
ities, has the single source respon­
sibility for the entire project and
estimates completion by late No­
vember or December, 1983.

1930s, he joined the Federal govern­
ment’s newly-organized Reconstruc­
tion Finance Corporation, working
in the Chicago and Washington of­
fices. In January, 1938, he was
elected a director and president of
American Trust and Savings, serv­

ing in that position until 1968, at
which time he was named chairman.
He retired from the latter post in
1977, but continued as chairman of
the executive committee.
Mr. Ernst was a 50-year member
of the Iowa Bankers Association.
He had previously been chairman
and director of Interstate Finance
Corporation and the Dubuque Fire
and Marine Insurance Company, a
director of Dubuque Securities Com­
pany, and was one of the founding
members of the Dubuque Industrial
Surviving are his wife, Elaine, and
one son, Daniel P. Ernst, who is a
Dubuque attorney.
Marion President Retires
Phil Morris, president and chief
executive officer of The First Na­
tional Bank of Iowa, Marion, has
elected to take early retirement ef­
fective April 30.
Mr. Morris has been associated
with the bank for the last 31 years.
Also retiring from the bank are
Don Healy, business development
officer since 1967, and J.D. Weimer,
senior lending officer with the bank
since 1961.
Kenneth J. Lensch, rural Marion
farmer, and Waldo I. Morris, presi­
dent of Morris and Co., have been
elected to the bank’s board of direc­
tors. The banks board now has a to­
tal of ten directors.
Sioux City Names One
Sidney Copeland has been named
to the newly created position of vice
president, loan development for
Northwestern National Bank of
Sioux City.
Mr. Copeland started his banking
career with Northwestern in Valley
City, N.D., and prior to the Sioux Ci­
ty assignment, he was agricultural
officer at Northwestern affiliates in
Slayton and Owatonna.

1983 Iowa Group Meetings

May 9
May 10
May 11
May 12
May 23
May 24
May 25
May 26

Cedar Rapids
Des Moines
Council Bluffs
Fort Dodge
Clear Lake
Northwestern Banker, May, 1983


Iowa News

New Format for Iowa CEO Conference

Associate Publisher
OWA bankers attending the re­
cent Iowa Bankers Association
sponsored CEO Conference were
presented with a new format for the
annual two-day session. Themed
“Tracking in the ’80s,” the bankers
pre-registered to participate in one
of three specific conference seg­
ments or “tracks.” These special­
ized tracks focused on—strategic
planning, microcomputer applica­
tions, and the development of a sales
organization within a bank’s work­


Microcomputer Track

The increasing interest in the use
of micro-computers was evident dur­
ing this track which offered the
bankers an opportunity to gain
hands-on experience with the com­
puters. The track was lead by Dave
Waldron, chairman, Financial Sys­
tems, Inc., Kearney, Neb., who pre­
sented an overview of the many mi­
crocomputer hardware products
available on the market. He then dis­
cussed many of the software pro­
grams which have applications with­
in the commercial banking industry.
As each program was presented,
bankers were given the opportunity
to work with the applications on Ap­
ple computers which were provided
through the courtesy of Computer
Emporium, a local retailer.
Strategic Planning Track

Designed specifically with the
medium to small sized community
bank in mind, this track was pre­
sented by Vince Prehn and Edward

Baker, partners, Baker/Prehn Asso­
ciates, Philadelphia. This session
began with a review of the evolution
of planning, a discussion on the
needs for strategic planning and an
examination of some planning fail­
ures and successes. After receiving
guidelines on building a strategic
plan using a 12-step “Flex-Plan”,
the bankers divided into small work­
shop units. Each of these units then
were assigned the task of designing
a strategic plan for “their bank.”

“track” systems and it is antici-^
pated that future CEO conferences
will reflect the concept.
Appointed in Mount Ayr
Mike Shough has been appointed#
assistant cashier of Security State
Bank of Mount Ayr, and will concen­
trate in the loan area. Mr. Shough
previously was with the audit staff
of Hawkeye Bancorporation, where#
he started in 1979. He most recently
was based out of Chariton as a
regional auditor.

Joins Davenport Bank
Brenton First National Bank of
Incentive Compensation/Sales Track
D avenport re­
This track was designed to give cently announced
the CEOs an opportunity to assess that Christopher
the leadership needed for developing Pieper has joined
a selling organization. Faculty par­ the bank as as­
ticipant Steve Barger, assistant vice s is ta n t
president, Hawkeye Bancorporation, p re sid en t and
examined the steps required to con­ commercial loan
vert a traditional “non-selling” bank officer.
environment into a successful sales
M r. P iep er
organization. He shared with the previously spent
bankers his experience in incorpor­ sev eral y e ars
ating all bank employees into one with Bettendorf Bank & Trust.
personalized, efficient and profitable
sales force. The newly constructed
sales team is designed to focus on Joins Staff in Hampton
the capabilities of each employee by
Roger Doughan, president of the
“orchestrating the several variables First National Bank of Hampton, q
that comprise the selling environ­ has announced that Robert K. Coop­
ment.” Mr. Barger concluded his er has joined the bank as senior vice
presentation with a review of several president and assistant trust officer.
case studies. Also included in this He previously was vice president
track was a guideline presentation and cashier of the Security State £
on establishing an incentive pay Bank, Lake Park.
system as part of the bank’s salary
Also promoted were: Phyllis Card
administrative program.
to vice president and cashier; Rock
The bankers who participated in a Bell to assistant vice president, and
critique of the new conference for­ Roxanne Ragsdale to assistant cash- ®
mat indicated that they favored ier.

LEFT—Dave Waldron, chmn., Financial Systems, Inc., Kearney, Neb., offers instructions during hands-on computer session to Jim Cuttell,
exec, v.p., George St. Bk.; Wayne Johnson, pres., Everly St. Bk.; Dennis Mittag, pres., Swea City St. Bk., and Gale Bobolz, (standing) sr. v.p.,
Security St. Bk. Hartley. CENTER—Vince Prehn and Edward Baker, Baker/Prehn Assoc., Philadelphia, lead the Strategic Planning track.®
RIGHT—Silas Keehn, pres., Federal Reserve Bank of Chicago, was featured luncheon speaker.
Digitized Northwestern
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis


Tb c o r r e s p o n d e n t b a n k in g
s e r v ic e s a t A m e r ic a n
Tbust a n d S a v in g s



When it comes to correspondent banking,
American Trust and Savings takes the cake.
In today’s economy individuals and
businessmen alike look to their bankers for
inflation-fighting programs, money-saving
plans and many special services. Yet you
might feel unable to serve all those special
If so, help yourself by calling American
TTust and Savings. Our Correspondent
Banking Team and Trust Department cuts
through the confusion surrounding
correspondent banking services. And Bernie
Miller has the recipe for success. Call

Over-line loan participation
Depository for excess funds
Bond investm ent counseling
Domestic an d foreign wire
transfer of funds
Currency and silver procurem ent
ACH (Automatic Clearing House
Cash letters
C ustom HR-10s
Keogh prototypes
Corporate profit sh arin g plans
Tax shelters
U nincorporated pension plans

Bernie Miller,
Correspondent Banker

3 1 9 /5 8 2 -1 8 4 1 .

American ^Trust 0 Savings Dank^
The Dank^of O p p o rtu n ity
Town Clock Plaza, Dubuque, Iowa 52001 • 319/582-1841
Federal Reserve Bank of St. Louis

Member FDIC and FRS

Northwestern Banker, May, 1983


Iowa News

LEFT— Hawkeye Bancorporation Pres. Paul Dunlap (left) presents Myron J. Weil, exec, v.p., an oil portrait of Mr. Weil, who plans to retire
this year. Mr. Weil and Mr. Dunlap worked together in a Lincoln, Nebr., bank earlier in their careers, and Mr. Weil joined Mr. Dunlap a
number of years ago shortly after the latter founded Hawkeye. RIGHT— Donald R. Runger, sr. v.p., of Hawkeye, presents the firm ’s top
honor, the prestigious Directors’ Award to George E. Maher, chmn. & pres, of Houghton State Bank, Red Oak, whose bank was selected
again as Hawkeye’s top performing bank (seven of past eight years!).

range.” Reduced loan loss expecta­
tions should help this, he added.
(Shortly after the meeting, first
quarter results were made available £
Robert Murray, senior vice presi­ and showed an 11 % increase in earn­
dent and chief financial officer of ings — up from $3.7 million first
Hawkeye, gave a detailed review quarter 1982 to the current $4.1 mil­
with many charts of the company’s lion, a record high.)
An economic outlook for the £
annual report. He said it was a “bad
news, good news” situation the past banking industry was delivered by
year. The bad news, he said, was Nevins Baxter of Golembe & Asso­
that 1982 marked the first time in a ciates, Inc., Washington, D.C. He
decade that the company did not said the prospective “reduction in
achieve an increase in earnings per average earnings will lead to less 4)
share. That figure went from $1.76 in consistent and much wider varia­
1978 to $2.38 in 1981, but dropped to tions that will place a premium on
$2.18 in 1982. A chief cause, he said, performance and management.
was economy-related loan chargeoffs of $4.5 million. Mr. Murray said Joins Ocheyedan Bank
one-half that amount came out of
Richard J. Blahauvietz has joined
eight banks purchased in 1980-81
“so Hawkeye brand of lending is dif­ the Ocheyedan Savings Bank, Och­
ferent and it takes time to install eyedan, as an ag loan represen­
tative. He previously was employed O
Mr. Murray said the good news as a chemical sales representative
was that “despite the national econ­ for Ciba-Geigy Corporation, and has
omy and the changes in the banking an Agricultural Business degree
industry, 1982 was satisfactory for from Iowa State University.
five reasons:
“ 1. Performance compared with Ag Rep Appointed in Maxwell
The Maxwell State Bank of Max­
the nation’s holding companies was
well h as a n ­
“2. Assets compared to the rest of nounced the ap­
p o in tm e n t of
Iowa banking were exceptional.
“ 3. Hawkeye acquired eight Keith Bowden
as agricultural
banks with $238 million assets.
“4. Capital strength increased as representative.
Mr. Bowden
a percent of assets.
“5. Hawkeye’s value in the mar­ was graduated
ket place remained virtually un­ from Iowa State
U n iv e rsity in
Mr. Murray said he is “optimistic D ecem ber of
for an earnings recovery and per­ 1982, with a BS
haps more of a return to the 12-14% degree in animal science.

Hawkeye Bancorporation Officials
See Improved Economy in 1983
FFICERS and directors of HawkO
eye Bancorporation banks from
throughout Iowa met with officials
and stockholders of the parent hold­
ing company at the 15th annual
Hawkeye meeting in Des Moines
last month. Two dozen investment
firm representatives also attended
the annual meeting.
Hawkeye President Paul Dunlap
told his associates, “Just as the ag­
ing process cannot be reversed, it is
not possible for banking to reverse
itself to those days we once knew.
We at Hawkeye must remain inno­
vative and flexible in order to try
new ways if we’re all going to sur­
vive in this business. We must be
willing to change by bringing out
new products and new pricing.”
Mr. Dunlap pointed to the in­
creasing importance of fees from
related financial services as a source
of income. One is the addition of new
insurance customers. He said, “By
September 1 our goal is to add 500
new customers a week.” He also
reported that in one year Hawkeye
went from $1.5 million in the secon­
dary mortgage market in March ’82
to $15 million in March ’83, retain­
ing substantial service fee income.
“ In 1982,” Mr. Dunlap concluded,
“we will seek product perfection
rather than proliferation. Five
things we want to achieve in 1983
are: 1. Asset quality. 2. Earnings
quality. 3. Sales awareness. 4.
Customer sensitivity. 5. Employee
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

• Managing by the seat of your pants
could m ean losing your shirt.
In the past, banking was simple — buy low
and sell high. You could manage on instinct, by
^ the seat of your pants. Unfortunately, deregula­
tion has sent that philosophy the way of the
teller’s cage. With change constant and com­
petition fierce, bank-management decisions are
more complicated and crucial than ever before.
A BICS management decision support sys­
tem can help you meet this challenge. With
BICS, you can make decisions quickly — full
automation of operations lets you instantly
® gather into one source all information on bank
activity; at any moment you can determine the
current condition of your bank.
You can anticipate and prepare for the

future by testing your ideas and exploring pos­
sibilities with on-line financial modeling. You can
maximize marketing efforts with our central
information system that stores every piece of
customer information.
A BICS system means you, and all your peo­
ple, can make more profitable decisions. Which
means you get to keep your shirt and order a
dozen more.
Find out how you can profit;
call BICS marketing at (319)

Banks of Iowa Computer Services, Inc.
Federal Reserve Bank of St. Louis

A "Banks of Iow a " subsidiary.


Iowa News

Elected at Peoples Bank
continue his active duties as invest­
ment officer of the bank and a mem­
ber of the board.
Four employes were elected vice
Indianola, attended the annual
meeting of the corporations held presidents of Peoples Bank. Shirley
February 24, 1983, in the bank lobby. Cramer continues her responsibil­
Twenty one staff members were ities as personnel director and oper­
recognized for their years of service ations officer for the bank. Robert
with Peoples Bank. Together, they Davey is a loan officer serving
agricultural and commercial loan
re p re se n t 335
customers. Pam Merritt is the
years of service.
marketing director for Peoples
William Buxton
Bank. As installment loan and mort­
III was recog­
gage loan manager, Keith Wright
nized for his 55
supervises those departments as
years with the
well as serving customers.
In addition to
Six new assistant vice presidents
were named. Kimberly Keller is a
the official ac­
loan officer and the manager of the
tions and depart­
West Roads office of the bank. Dotti
mental reports,
the stockholders
Kieffer serves as the bank’s com­
were entertained by a skit and pliance officer in addition to her
several song and dance numbers de­ duties as a loan officer. Verlyn Nor­
veloped and performed by the bank ing also a loan officer, specializes in
employees. Dinner was catered by agricultural loans. Dean Phillips is
controller for the bank and treasurer
Crouse Cafe.
In addition to his duties as presi­ of PT&S Bancorp. As a loan officer,
dent of Peoples Bank, R.W. Buxton T.J. Richards specializes in instal­
was elected chairman of the board of ment and consumer lending. Dick
the bank, PT&S Bancorp, Peoples Stoffer is trust officer for Peoples
Company of Indianola and Farmers Bank and newly appointed business
Jbredit Corporation. William Buxton development officer.
III is retiring as chairman, but will
Nancy Onstot was elected real
VER 200 stockholders and staff
members of PT&S Bancorp and
Peoples Trust and Savings Bank,

ELECTED as vice president at peoples Trust & Savings were: (I to r) Robert Davey, Shirley
Cramer, Pamela Merritt and Keith Wright.

NAMED assistant vice presidents at Peoples Trust & Savings were: (I to r) Verlyn Noring,
Dotti Kieffer, Dean Phillips, T.J. Richards, Dick Stoffer and Kimberly Keller.
Digitized Northwestern
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

estate loan officer and has served
the real estate loan customers in the
past. Margaret Sams, elected loan
officer, will continue serving loan
customers, especially for student
loans, at the West Roads office.
Richard Davitt has been elected
president of Peoples Company of Indianola, a farm management com­
pany affiliated with Peoples Bank.
Mr. Davitt is the company’s farm,
Ruth Patrick was elected vice
president and Irolene Ashmore as­
sistant vice president of Farmers
Credit Corporation, a subsidiary of.
Peoples Bank. Ms. Patrick is an
assistant vice president and agri­
cultural loan officer with the bank.
Ms. Ashmore is assistant to senior
loan officer.
Doug Shull, of Shull and Com­
pany in Indianola, was elected to the
board of directors of PT&S Bancorp
and Peoples Trust and Savings
Major Remodeling Scheduled
For Fredericksburg Bank
As soon as weather permits, con-1
struction is scheduled to begin on a
major remodeling program for the
First State Bank of Fredericksburg,
according to Merrill Shaw, presi­
dent. Kirk Gross Company, Water-'
loo, is in charge of the project, which
includes expansion to both the east
and south. This expansion will give
the bank 7,550 sq. ft. when the pro­
ject is completed.
With the drive-up remaining on
the west, the full service facility will
have seven private offices plus a
large conference room. Situated be­
tween the offices will be a waiting
area with a 12 foot skylight, high­
lighting a brick & plant area. Pri­
vate coupon booths for safety depos­
it inventories will be located close to
the vault. A new teller counter, com­
plete with wings to give the tellers
additional work area, and a sit down
station is included. Behind the new
counter area, a full height wall will
be built to provide sound control
between the bookkeeping depart­
ment and lobby.
The entire facility will be redec­
orated using dark wood finishes,
grays and red as an accent, to create
a warm, friendly atmosphere. Only
the brick on the vault will remain.
Barring unforeseen delays, the
project is scheduled to take six to
eight months to complete.






You’ve dealt with them
before. T he insurance agents
who know everything about
selling insurance.
A nd very little about your
bank or its insurance needs.
But with IBIS, it’s like
dealing with yourself Because
we’re owned by 650 Iowa
banks, only for Iowa banks.
So you’re treated not as a
prospective customer, but as a
A nd our people don’t try
to sell you something off the
shelf. Rather, they create and
tailor specific insurance plans to
Federal Reserve Bank of St. Louis

meet your specific needs.
Plans based on your input,
a thorough analysis of your
operation, and with bank
insurance expertise from people
who have over one hundred
total years of experience.
In everything from
property and casualty insurance
through employee health and
life coverage to creditor
protection. A t rates more to
your liking, too.
A n a when you buy from
yourself, you get a bonus.
Dividends. (Last year, we
paid over $475,000 to Iowa

banks in dividends.)
So why be an insurance
company customer when you
are an insurance agency
shareholder? For full details,
call 1-800-532-1423 toll-

400 Financial Services Building/508 Tenth Street
Des Moines, Iowa 50308
Northwestern Banker, May, 1983


Iowa News

R.G. Dickinson Investment Seminar

area at Toy and three years of ex­
perience in auditing.

Donald Renier, (left) vice president and sales manager, and Robert G. Dickinson, (right)
chief executive officer of R.G. Dickinson & Co., visit with John Burman, senior vicepresident and director of research for Warburg Paribas Becker—A.G. Becker, Inc. An inter­
national investment banker, Mr. Burman serves as an advisor to several leading Japanese
and European financial institutions. In Des Moines for an investment conference spon­
sored by R.G. Dickinson & Co., he focused his attention on the uncertainty surrounding the
international monetary outlook as well as on the continuing economic recovery in the
United States. Forecasting a 1265-1315 Dow Jones Industrial average by year-end, Mr. Bur­
man recommends 80% market invested portfolios and pointed to stocks within certain in­
dustry groups which he favors for growth during the next market phase.

UCB - Greenfield Elects
President and CEO
T.N. Howe, chairman of United
Central Bank & Trust Company of
Greenfield, has announced the elec­
tion of Larry A.
Bergemann as
p re sid en t and
chief executive
officer, assum ­
ing the position
previously held
by Ken F. Leuthauser, who has
been named vice
chairman of the
bank. Mr. Leut- LA- BERGEMANN (
hauser plans to retire this fall.
Mr. Bergemann joined the Green­
field bank in June, 1982, as exec­
utive vice president. Prior to joining
the bank, he was vice president in'
the correspondent bank division of
United Central Bank of Des Moines,
N.A. Before joining UCB in 1981, he
was vice president and manager of
the commercial and correspondent'
lending areas of the Valley National
Bank in Des Moines, and also has
been associated with the Jefferson
State Bank, First State Bank, Fred-,
ericksburg, and the Farmers & Mer­
chants State Bank, Blooming Prair­
ie, Minn.

Three Elected in Sioux City
Toy National Bank, Sioux City,
recently announced the election of
Richard Baxter to vice president,
Helen Teig to credit officer and Paul
Hansen to auditor.

Mr. Baxter worked with Iowa
Trust and Savings Bank in Emmetsburg before joining Toy in 1974. Ms.
Teig has been with the bank nine
years. Mr. Hansen has had 11 years
experience in the data processing

Committed to
making your
bank stand
apart from the

Digitized Northwestern
for FRASER Banker, May, 1983
Federal Reserve Bank of St. Louis

Iowa Businesses Form
Export-Import Company
In response to Governor Terry
Branstad’s urgings for efforts to
help build Iowa’s job market, Johni
Ruan, founder and president of the
Ruan Companies, recently announced
the formation of a new international
trading company to be called the
Iowa Export-Import Trading Com-t
According to Mr. Ruan, “This
new business venture is an under­
taking by a group of leading Iowa
businesses to expand international^
markets for products grown, pro­
cessed or manufactured in Iowa.’’
These businesses include the Ruan
Companies; AGRI Industries; IBP,
Inc.; The Maytag Company; Pioneer^
Hi-Bred International, Inc.; Town­
send Engineering Company, and
Winnebago Industries, Inc. It was
noted by Ruan that other companies
may be participating in the near'

Iowa News

^future. These sponsoring companies
will hold seats on the new com­
pany’s board, with Mr. Ruan serv­
ing as both president and chairman
at the outset
(I According to Mr. Ruan, the Iowa
Export-Import Trading Company,
which will be housed in the Ruan
headquarters in Des Moines, will
provide Iowa companies with a
©single source for full international
trading service, including: market­
ing contacts in selected overseas
locations; international finance sup­
port; transport and shipping service;
©legal, documentary and regulatory
service, and risk management.
Joins Cambridge Bank
® William A. Moore has joined the
staff of the Camb rid g e S ta te
B an k ,
Camm bridge, in the
® position of of­
ficer trainee.
M r. M oore
has for the past
^ three years been
^ w ith the United
Central Bank of
Des M oines,
N.A., most recently as a retail
^ banker.
Ag Appreciation Day
A Success in Waverly
® Jim Arens, president of the First
National Bank of Waverly, announced
the successful promotion of Agri­
cultural Appreciation Day, held
^ March 18.
Several hundred people attended
the event, which included various
agriculture related exhibits and
stressed the im portant impact
^ which agriculture and related inw dustries has on the economic stabili­
ty of the community, the nation and
world trade.
Plans are being made to continue
^ and expand this event, honoring the
farmer, on an annual basis. The date
will coincide with March, which has
been designated Agriculture month.


For Correspondent Bank
services, there’s a big
advantage to w orking w ith
Valley Bank’s Professional
In fact, there
are tw o.
These two professionals make up our Correspondent Bank and
Money Desk Departments. We’re not the biggest in Iowa but we
think you’ll agree our service is the best.

Mark Christen
Vice President and Head
of our Correspondent
Bank Division
Mark Christen is Vice Presi­
dent in charge of the Corre­
spondent Bank Division. He’s
responsible for helping you
with Overlines, Transit Ser­
vices, and Investments.

Dennis Hagedorn
Vice President and
Money Desk Manager
Dennis Hagedorn manages
Valley Bank’s Money Desk.
He’s the one to count on to
help with Federal Funds, Cer­
tificates of Deposit, Safekeep­
ing, Securities, and Wire

Mark and Dennis make a good team. Both are dedicated bankers.
They’re always ready to give you their undivided attention, regard­
less of how small or large your request. And what’s more, they
consider it a privilege to work with you.

There’s Nothing Like Money in the Bank...
The Valley Bank

Valley National Bank i§i



Discover the Valley advantages.
Call TOLL FREE (800) 622-7262 (Iowa, only).
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983

Mr. Schuler joined Brenton®
Banks, Inc., in 1977 as internal
audit manager and has been con­
troller since 1980.
* * *


Kathy Forst, formerly marketing

officer with Iowa-Des Moines Na­
tional Bank, has left the bank to
take a position as marketing man­
ager and advertising director at®
Heritage Cablevision in Des Moines.
Ms. F orst’s father, John S.
Zdychnec, is president of First Na­
tional Bank, Ottumwa.
%* *
Kenneth D. Danilson has been
elected vice president of United Cen­
tral Bank of Des Moines, N.A., ac-®
Three officer promotions were re­ ly assumed additional responsibility cording to Robert G. Millen, presi­
cently announced at Iowa-Des for the bank’s wire transfer depart­ dent and chief executive officer. Mr.
Moines National
ment. Ms. Young joined the bank in Danilson will primarily be respon­
sible for agricultural lending.
Bank. J. Scott
Johnson and
* * *
C a th e rin e
S ta h l
w ere

elected national
banking officers,
and Karen S.
w as
n a m e d in v e s t­
m e n t o p eratio n s
o fficer.




Mr. Johnson joined the Iowa-Des
Moines in 1979 and joined North­
west Bancorporation’s regional
credit training program in 1980.
Upon completion of the training pro­
gram in 1982, he was named nation­
al banking representative.
Ms. Stahl joined the bank in Feb­
ruary, 1982, as a commercial bank­
ing trainee. Prior to joining IowaDes Moines, she was employed by
International Harvester Credit Cor­
poration as a finance sales represen­
Ms. Young has held various posi­
tions in the retail banking division
before being named supervisor of
the systems input department in
1979. She was named bond invest­
ment supervisor in 1981 and recent
Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

Northwest Bancorporation has
named John E. Ganoe regional vice
president and controller of its Bank­
ing Region IV, headquartered in Des
In his new
p o sitio n , Mr.
Ganoe will serve
as a key member
of the Region IV
s ta f f
w hich
serves most of
Iowa and covers
seven of the corp o r a tio n ’s 86
banks. His re­
s p o n s ib ilitie s
will include regional accounting,
reporting, forecasting and tax and
treasury issues, explained Region
IV President Harry C. Benson.
Since 1980, Mr. Ganoe served as
vice president and chief financial of­
ficer at Banks of Iowa. Prior to that,
he was with Unicare Services, Inc.,
as treasurer.
Mr. Ganoe is a certified public ac­
countant and has a degree in in­
dustrial administration from Iowa
State University.
* * *
Steven T. Schuler has been elected
vice president/controller of Brenton
Banks, Inc., where he is responsible
for financial planning and reporting,
tax planning and preparation, and
administration of the company’s
audit department.



Previously vice president and ag­
ricultural loan officer of Citizens Na­
tional Bank of Boone, Mr. Danilson
has also held positions as assistant ®
county supervisor and county super­
visor in Pocahontas and Ames. He
was graduated from Iowa State Uni­
versity with a BS degree, and is also
a graduate of the National Advanced ®
Agriculture Banking School in Ames.
Also announced was the election
of Lloyd E. Clarke, president of the
Companies of Clark, to the bank’s
board of directors.
Waverly Bank Promotes Six
First National Bank of Waverly
has approved the promotion of the®
following six employees: Rodney
Drenkow, vice president and trust
officer; David Huser, vice president
and agricultural representative;
Janice Johnson, vice president and®
cashier; Pauline Koch, vice presi­
dent of marketing and public rela­
tions; Beverly Leisinger, admini­
strative officer, and Sandra Soash,
assistant vice president and head®


Ivan L. Johnson, Senior Vice President and Michael
Austin, Vice President

William B. Greaves, Vice President and Cyrus D.
Kirk, Vice President

n today’s rapidly changing bank­
ing environment, you can always
count on one thing...United
Central Bank’s commitment to
provide Iowa bankers with quality
financial services. In the face of
deregulation and technological de­
velopments, our Correspondent
Bankers are prepared to help you
meet the challenges of the 80’s,
while not losing sight of your needs
of today.


Judy F. Willis, Secretary and Margo E. Foxhoven,
Operations Assistant


ur Correspondent Banking
staff has the experience to
understand your needs and
know how to meet them. If you’re
not getting the service you deserve
from your correspondent bank,
call us at 1-800-362-1615. NOW’S
THE TIME, and UCB’s the place to
satisfy your correspondent bank­
ing needs.


Member FDIC, Locust at Sixth, Des Moines, Iowa 50309
Federal Reserve Bank of St. Louis

Northwestern Banker, May, 1983


Iowa News

Remodeling Underway in Toledo

A MAJOR interior remodeling program is underway at the State Bank of Toledo, according
to A.J. Ziskovsky, pres. Utilizing only the space previously available, the bookkeeping de­
partment will be moved to the second level to provide the space needed to remodel. As il­
lustrated in the architect’s rendering, a series of five offices and a conference room will be
installed on the east wall. Two additional offices will be included on the west side, bringing
the total number of offices to five. A new modern teller counter will be located adjacent to
the vault and private coupon booths will be built for customer convenience. Architectural
and interior design services are being provided by the Kirk Gross Company of Waterloo,
with construction work being handled locally. Completion is expected in four to five months.

Commercial Manual Workshops Held

Elected in Council Bluffs
First National Bank, Council
Bluffs, has elected Robert C. Ed­
wards commercial loan officer and
a ss is ta n t vice
Mr. Edwards
a p p ro x ­
imately 11 years
ex p erien ce in
b a n k i n g and
other financial
Prior to joining
First National,
he served as
president of American Securities
and Loan for four years.
Holiday Inn/Civic Center
Opens in Waterloo
The new 10-story Holiday Inn/
Civic Center opened in Waterloo late
in March. Unique in both design and
services, the Inn is located down-^
town, directly across from the Con­
way Civic Center and features 230
guest rooms and suites, two restau­
rants, a spacious pub, and a Fun
Dome which offers swimming in am
inside pool, sauna, jacuzzis, exercise
equipment and an electronic game
MAY 1983

ONE HUNDRED commercial lenders throughout the state attended five workshops held in

March and April for a review and update of the Commercial Manual developed by the User
Committee for Forms and Procedures. Coordinating the one-day workshops were Randy
Steig, (left) Iowa Bankers Association exec, dir., who presented the forms review and up­
date, and Tom Salsbury, attorney with the Davis Law Firm and IBA’s legal counsel, who
gave a general review of Article IX. The complete set of manuals developed by the IBA in­
clude Ag, Consumer, Commercial and Real Estate and cost $500. The Commercial Manual
itself costs $160.

Regional Center Celebrates 10 Years

Acorn P r in tin g .................................................
A m erican N a tio n a l Bank & Trust, St. Paul
A m erican Trust & Savings Bank, Dubuque
A s s o c ia te s C o m m ercial C o rpo ratio n
B a n k e rs T ru s t C om pany, Des M o in e s .................................. 70
Banks of Iowa C o m pu ter S e rv ic e s .......................................75
Central Bank o f D e n v e r...................................................... 56-57
Central S tates of O m a h a ........................................................ 5
C o n tin e n ta l Bank, C h ic a g o .................................................... 16
Dawson H ail Insurance C o...................................................... 9 0
Drovers Bank of C h ic a g o .................................................... 10-11
F & M M arq uette N a tional Bank, M inne apolis
F in a n c ia l System s C o rp o ra tio n ........................
F irst N a tio n a l Bank, L in c o ln .............................
F irst N a tio n a l Bank, M in n e a p o lis ....................
F irst N a tio n a l Bank, O m a h a ...............................
F irst N a tio n a l Bank, St. J o s e p h ........................
F irs t N a tio n a l Bank, St. P a u l...............................
F irst N a tio n a l Bank, S ioux C i t y ........................
F irs t N a tio n a l Bank, S ioux F a l ls ......................

. 34-35
. . .55
. . .69
45, 48
13, 65
. 42-43
. . .51
. . .50

G reater Grand Forks C learing H o u s e .................................. 47
Gross, Kirk Co., W a te rlo o ........................................................ 83
IntraW est Bank of D e n v e r ...................................................... 59
Iowa Bankers Insurance & Services, In c ............................. 7 7 0
Kooker, E.F. & A s s o c ia te s ...................................................... 79
M erchants N a tio n a l Bank, Cedar R a p id s ........................... 2

The Federal Reserve Bank of Chicago recently commemorated the tenth year of operation
of the Des Moines Regional Check Processing Center. On hand to welcome some 200
bankers to an open house were: (left to right) Federal Reserve Bank of Chicago President
Silas Keehn, Tom Killeen, assistant vice president in charge of the Des Moines facility and
Allen Wolkey, vice president of customer service. During the first month of full operation in
1973, the office processed a daily average of over 543 thousand checks totaling more than
$170 million. Daily check volume passed the one million mark in 1979 and current daily
volume has doubled since the center was opened in 1973.

Northwestern Banker, May, 1983
Federal Reserve Bank of St. Louis

N a tionet, In c .............................................
N a tio n a l Bank of C om m erce, Lincoln
N a tional B oulevard Bank, C h icago . .
N orw est C o rpo ratio n, M inn e a p o lis . .
N orw est Bank, O m a h a ........................


O ffic e C o ncepts, W a te rlo o ...................................................... 78
S e curity N a tio n a l Bank, S ioux C i t y .......................................53
Travelers Express C o.................................................................. 39
U nited Central Bank, N.A., Des M oines . . .
U nited S tates Life C redit In s u r a n c e ...........
V alley N a tio n a l Bank, Des M o in e s .............
Van W agenen, G.D. Com pany, M inne apolis


First national Bank of Waverly • Waverly, Iowa

4015 Alexandra Drive • Box 2097
Waterloo, Iowa 50704
Phone 319-254-6641
Federal Reserve Bank of St. Louis



Our new name goes beyond a change of signs
and logos and colors. It personalizes the evolution
that has taken place in our corporation in the last
few years. We’re still a major banking organization
in the Upper Midwest with 86 banks in seven states.
And w e’re more than that. We’re leasing. Corporate
finance. Bonds. Money market investments.
Insurance. Consumer financial services. It all adds
up to more than banking. To an impressive range

of corporate and retail financial services. It’s the
direction of things to come. It’s Norwest.
Norwest Banks • Norwest Agricultural Credit •
Norwest Leasing • Norwest Mortgage • Norwest
Financial Services • Norwest Capital Management
& Trust Companies • Norwest Bank M inneapolis/
International • Norwest Business Credit • Norwest
Venture Capital • Norwest Insurance
Our stock exchange symbol will remain as always—NOB.

l l k

Members FDIC
Federal Reserve Bank of St. Louis

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