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I How Banks Help Farmers With Farm Service Programs — Pages 15, 16, 17 The Nebraska Bankers Convention — Page 67 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BUSINESS AND GOVERNMENT LEADERS COMPARE NOTES— Page 7 READY TO SERVE YOU OFFICERS James E. H amilton Chairman E xecutive Committee S. E. Coquillette “In the Land o f the Chairman of the Board J ohn T. H a m il t o n President F red W . II, S m it h , Vice President Gold that Grows” * R e g in a l d B. F igge , Vice President M a r v in R. Seld en , Vice President R. W. Manatt, Vice President L . W . B r o u l ik Vice President S. J . M o h r b a c h e r , Vice President J . E. C o q u il l e t t e , Iowa’s gleaming harvest will soon be speeding to Vice President E verett C. P r a t t , Cashier the far corners of the earth . . . a heart-warming, nourishing ambassador from the “ breadbasket of the world.” Cedar Rapids, where thousands of cars of grain are processed each year, is the grain capital of the world. Since 1881 The Merchants National C. F . P e r e m s k y , Asst. Cashier V ictor W . B r y a n t , Asst. Cashier A. E. L in d q u is t , J r ., A s s t. Cashier N . J. D autrem ont, A s s t. Cashier R obert A . H a h n , A s s t. Cashier W . F. V om acka, Asst. Cashier TRUST DEPARTM EN T G eorge F . M ille r , Bank has been serving the middle west. An account Vice President R. D. B r o w n , Trust Officer here guarantees you prompt and accurate service on O. A . K e a r n e y , Trust Officer R u ss e l l I . H e s s , all your grain drafts and other items. Utilize our Trust Officer nationwide service with all major grain markets from the grain center of the world. *The Courtesy of Iowa Development Commission THE Merchants National Bank OF CEDAR RAPIDS, IOWA N o. 796. N orthw estern Banker, published m onthly by the N orthw estern Banker Com pany, at 527 Seventh Street, Des Moines, Iow a. Subscription, 35c per copy, $3.00 per year. Entered as Second Class M atter January 1, 1895, at the P ost Office at Des Moines, Iowa, under A ct o f M arch 3, 1879. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A BRIGHTER VIEW FROM HIS POSITION T ry his s p o t— pu t y ou rself in you r b o r row er’ s p o s itio n — then y o u ’ll see w h y N orth C en tral’s P rotected L oan Plan can m ean so m uch to him. I f he has an accid en t, gets sick or should die, N orth Central takes care o f his lo a n . . . k now ing h e’s p rotected brings real peace o f m ind. G e ttin g b a ck to your greatest risk, death p o s itio n — y o u r or disability o f a borrow er, is elim inated. E v e ry ty p e and size o f loan can be covered . . . the plan is specially designed for you r needs assuring the v e ry m inim um o f operational care. P ro te cte d L oans F urtherm ore, are a b ou t the finest p u b lic relations you r bank can have. F or com p lete in form ation N orth C en tral’s P rotected a bou t L oan P lan, write, wire or p h on e: C redit Insurance D ivision . A representa tiv e will be at y ou r desk at you r con ven ien ce. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, November, 1953 4 TMt MOSiCK SAFE iOMPANY’ .........H M h N EW M O S L E R E L E C T R IC DRIVE-IN W INDOW is fu lly automatic, operates with sim ple “ push button.” New Symbol o f the M odem Bank the new MOSLER CENTURY 10 bank Mosler beauty is functional beauty in this magnificent, modem bank vault door. The design is the combined work of famed industrial designer Henry Dreyfuss and Mosler engineers. No detail was overlooked to make its ease of operation and security as outstanding as its appearance. In corporated are all the virtually impregnable protective features that have made Mosler the overwhelming choice of leading banks the world over. Digitized forNort FRASER hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis vault door 5 '"S YO U ’RE LOOKING AT the substance of America's bold, new concept of tomorrow in banking . . . M odern Ideas . . . developed under M osler leadership to bring your ow n bright, forw ard-looking vision o f the m odern bank to full reality. Ideas that introduce not only a new kind o f glistening, functional beauty . . . but a new kind o f “ super service” that will help you bring in new accounts. NEW M O S L E R “ S N O R K E L ” CURB TELLER makes drive-in b an king service p ossib le “ right downtown.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M O SLE R D U A L N IG H T D E N EW M O S L E R T E L L E R ’ S P O SITO R IES h elp b a n k in g establishments stay “ open for business” around the clock. C O U N T E R U N I T S and “ Swing-Way” Seats combine to reduce teller fatigue, in crease overall efficiency. M O DERN REV O -FILE g i v e s bank clerks and tellers finger tip control over thousands of cards. THE CO M PLETE LINE of Mos ler Record Safes includes Ledger Desk Safes, which protect signature and credit cards where they’ re used. IF IT ’S M O SLER . . . I T ’S SA FE •* M osler Safe fzir World's largest builders o f safes and bank vaults . . . M osler built the JJ. S. Gold Storage Vaults at Fort Knox and the famous bank vaults that withstood the Atomic Bomb at Hiroshima Northwestern Banker, November, 1953 6 4ent Bam, ^ Centrally located in the financial heart of the Southwest . . . offering every correspondent banking service . . . serving in Texas alone the majority o f the state’ s 900 hanks . . . R e p u b lic is truly the “ B a n k er's Bank"’ o f the Southwest. Capital and Surplus $ 5 0 , 0 0 0 , 0 0 0 . 0 0 • Largest in the South NATIONAL BANK OF DALLAS V MEMBER Nort hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis FEDERAL DEPOSIT INSURANCE CORPORATION ON THE COVER Three of the prominent speakers ad dressing the 67th annual convention of the Iowa Bankers Association in Des Moines last month are pictured on the front cover of this issue of the N orth w estern B anker. Left to right are: G. Keith Funston. president, New York Stock Exchange; Dr. You Chan Yang, South Korean Ambassador to the United States, and James Q. du Pont, administrative as sistant, E. I. du Pont de Nemours & Company, Inc., Wilmington, Delaware. For complete report and additional pictures of the Iowa convention turn to page 85. Peter F. Bailey Peter F. Bailey, vice president of the Merchants National Bank of Ce dar Rapids, died last month at the age of 67. Mr. Bailey was attending the IowaIndiana football game when he had a heart attack and died at the hospital a few hours later. His son, John P. Bailey, a freshman at the University of Iowa, was in the grandstand at the time his father died. Peter Bailey started his banking career with the Cedar Rapids National Bank in 1909 and became associated with the Merchants National Bank in 1931 when the two banks were con solidated. In addition to his son he is also survived by his wife. A Deposit Record There is a record mid-year deposit of over 193 billion dollars in the na tion’s banks, according to tabulations completed by R. L. Polk & Company, as the 118th edition of Polk’s Bank Directory rolled off the press in midSeptember. Thousands of copies of this massive 2,900 page directory of international banking will be mailed to subscribers in all corners of the globe. The cur rent 118th edition reports the latest statement figures, executive informa tion and other pertinent data for every bank known to exist in the world. Deposit gains recorded for June 30, 1953, reflect a continued upward trend all over the country. Here are the dollar totals as com piled by Polk. Banks declared $212,431,714,102 in total assets. Last June’s figure was $204,951,469,498. Capital ac counts rose to $16,424,623,572 as pre viously mentioned, a gain of over $7 billion. Total deposits were listed at $193,336,375,481, in comparison with the $187,119,398,244 reported at mid year 1952. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DES M O I N E S Oldest Financial Journal West of the Mississippi 58th Y ear N o. 7 9 6 IN THIS NOVEMBER, 1953, ISSUE EDITORIALS Across the Desk from the Publisher............................... ............. ........10, 11 FEATURE ARTICLES On the Cover............. ......................... ....................... 7 Frontispage ..................................................................................... 73 How Banks Help Farmers With Farm Service Programs............... .......................................... A N or th w ester n B a n k e r Survey 15,16,17 Charge Plans Are Simplified by Machine Processing..Robert Renner 18 How We Modernized Our Statement and Ledger Sheets...................... ....................................................................................... C. W. Fishbaugh 19 Banker’s Job Is to Tell and Sell................................ ....Clifford DePuy 20 Our Chicken Loans Are Big Business................................ Shelby Ford 21 News and Views o f the Banking W orld........................Ben Haller, Jr. 22 Bankers You Know— William H. McDonald.......................................... 24 BONDS AND INVESTMENTS Administration Making Progress Toward a Balanced Budget........... .......... —-..................-...........- - -......................Raymond Trigger 43 INSURANCE Do Americans Want Lower Insurance Rates?........... John W. Gunn 47 STATE BANKING NEWS Minnesota News ........ 55 Twin City News..................................................................................... 56 South Dakota News..................................................................................... 59 Sioux Falls News................. 59 North Dakota News....... ............................................................................ 63 Montana News .............................................................................................. 64 Nebraska News ...................... 67 Nebraska Convention Program........ ................. 67 Meet Your Omaha Hosts at the Coming 56th Nebraska Convention _______ __________ _______ ________ ____ _____ _____ 70, 71 Discuss Agricultural Credit............................................................... 72 Omaha News ............................................. 74 Lincoln News ....................................................................................... 79 See Them in Omaha at the 56th Nebraska Convention............. .. 81 Iowa News .................................................................................................... 85 New High of 3,057 Persons Recorded at Iowa Convention......... 85 In the Directors’ Room..................................................................................101 Conventions .................................................................................................... 101 Is Waiver o f Notice Legal When Selling Chattel A fter Default? — Legal Questions and Answers.... ................................. 102 NORTHWESTERN BANKER 527 S eventh S t ., Des Moines 9, Io w a , Telephone 4-8163 CLIFFORD DE PUT RALPH W . MOORHEAD P u b lis h e r A s s o s c ia t e P u b lis h e r HENRy H. HAyNES BEN J. HALLER, JR. E d it o r M a n a g in g E d it o r A d v e r t i s i n g D ir e c t o r ELIZABETH COLE ANNE WALLIN MARy LOU MURPHy A d v e rtis in g A s s is ta n t PAUL W. SHOOLL F ie ld R e p r e s e n t a t iv e MALCOLM K. FREELAND A u d it o r C ir c u la tio n D e p a rtm e n t A. M. LEMIEUX F ie ld AL KERBEL R e p r e s e n t a t iv e F ie ld R e p r e s e n t a t iv e NEW yORK OFFICE Frank P . S ym s, V ice P re sid e n t, 505 F ifth A v e ., S u ite 1806 M U rray H ill 2-0326 DE PUY PUBLICATIONS: Northwestern Banker, Underwriters Review, Iowa-Nebraska Bank Directory Nort hwest ern Banker, November, 1953 8 Kennedy to Washington Treasury Secretary Humphrey has appointed David M. Kennedy, 48, of Chicago, Illinois, as assistant to the secretary. Secretary Humphrey said that Mr. Kennedy will assist and advise Deputy to the Secretary W. Randolph Burgess «■■S Hii i n ¡¡ ■ H iî“ Sl D A V I D M. K E N N E D Y R eceives appointm ent Venn' representadle on the scene L ocated in New Y ork City, the forem ost financial and com m ercial capital . . . with branch offices in Europe and correspondents throughout the w orld . . . Guaranty Trust Company has the experience and facilities to render prompt, efficient service to correspondent banks. Guaranty Trust Company at Mew York Capital Funds $380,000,000 140 Broadway, New Y ork 15 Fifth Ave. at 44th St. New York 36 Madison Ave. at 60th St. New York 21 Rockefeller Plaza at 50th St., New York 20 LONDON: 32 Lombard St., E.C. 3 • Bush House, Aldwych, W.C. 2 PARIS: 4 Place de la Concorde BRUSSELS: 2 7 Avenue des Arts Member Federal Deposit Insurance Corporation Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis in Treasury financing and debt man agement. At the time of his appointment Mr. Kennedy was a vice president in the bond department of the Continental Illinois National Bank and Trust Com pany of Chicago, with which institu tion he was connected since 1946. Mr. Kennedy will have offices at the Treas ury Department in Washington and the Federal Reserve Bank in Chicago. In April, 1930, Mr. Kennedy joined the Board of Governors of the Federal Reserve System and served in various capacities, including technical assist ant in the Division of Bank Opera tions and assistant chief for research in government finance in the Division of Research and Statistics. He also served as special assistant to the chair man of the Board of Governors of the Federal Reserve System. First Autoramp A six-story parking facility, striking ly similar to the modernistic First National Bank and Trust Company of Tulsa, will be built for the bank just one block away from the bank build ing in downtown Tulsa. Ground-breaking for the $450,000 “ First Autoramp” was held in midSeptember, and the structure is ex pected to be completed by the first of the year. r 9 S T A T E M E N T OF C O N D I T I O 0N I AND A D V IS O R Y D IR EC TO R S N ATH AN ADAM S HONORARY CHAIRMAN OF THE BOARD G E O . N . A LD R ED G E CHAIRMAN EXECUTIVE COMMITTEE At the Close of Business September 3 0, 1 95 3 A . H . B A IL E Y PRESIDENT HIGGINBOTHAM-BAILEY CO. ASSETS United States Government O bligations.................................... Public Housing Authority Obligations (Fully Guaranteed) State, County and Municipal B o n d s ........................................... Stock in Federal Reserve B a n k ................................................. Other Bonds ............................................................................... Loans and D i s c o u n t s .................................................................. Income A c c r u e d ......................................................................... Letters o f Credit and A c c e p t a n c e s ........................................... Banking House and E q u ip m en t................................................. Other A s s e t s ............................................................................... $187,797,754.02 108,733,626.15 11,492.686.11 13,704.080.33 900,000.00 2 ,557,237.39 198,671,937.97 1,550,084.60 1,179,979.04 6 ,803,205.89 49.457.39 H EN R Y C. C O K E , JR . COKE & COKE ATTORNEYS RO SSER J . CO KE COKE & COKE ATTORNEYS | J . T . E L L IO T T ELLIOTT LUMBER CO. E A R L F A IN INVESTMENTS E D G A R L . F L IP P E N CHAIRMAN OF THE BOARD M . 1. FR E E D M A N INVESTMENTS W . A . G REEN , JR . PRESIDENT W . A. GREEN COMPANY T . E. J A C K S O N SOUTHWESTERN MANAGER PITTSBURGH PLATE GLASS COMPANY LIABILITIES Capital S t o c k ................................................S 15.000.000.00 Surplus F u n d ........................................... 15,000,000.00 Undivided P r o f i t s ..................................... 4 ,6 19 ,0 1 3 .6 4 Reserved for C o n tin g e n c ie s ....................................................... Reserved for Taxes, Etc................................................................ Deferred I n c o m e ......................................................................... Letters o f Credit and A c c e p ta n c e s ........................................... DEPOSITS: I n d i v i d u a l ........................................... 3 2 3,934,016.42 B a n k s ................................................. 154,929,166.47 U. S. G o v ern m en t............................... 11,973,641.81 C A R R P . C O L L IN S CHAIRMAN OF THE BOARD FIDELITY UNION LIFE INSURANCE CO. E. D eG O LYER DeGOLYER & MacNAUGHTON $ 5 3 3,440,048.89 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D IR EC TO R S ER N E S T L . K U R T H PRESIDENT SOUTHLAND PAPER MILLS LUFKIN, TEXAS S 34,619,013.64 3,026.059.84 3,431.968.73 346,202.94 1,179,979.04 C . L . M A IL L O T PROPERTY MANAGEMENT AND INVESTMENTS W . B. M ARSH MANAGER HARRIS-LIPSITZ INTERESTS EUGEN E M cELV A N EY SENIOR VIC E PRESIDENT H A R R Y S . M OSS INDEPENDENT OIL OPERATOR W m . F. N E A L E PRESIDENT Wm. F. NEALE & CO. S 490.836.824.70 J . B. O ’H ARA CHAIRMAN OF THE BOARD DR. PEPPER CO. $533,4 4 0 ,0 4 8.8 9 H YM A N PEA R LSTO N E PRESIDENT HIGGINBOTHAM-PEARLSTONE HARDWARE CO. W . L . P R EH N GENERAL MANAGER SOUTHWESTERN BELL TELEPHONE CO. J . FR ED S C H O E L L K O P F , J R . PRESIDENT THE SCHOELLKOPF CO. A growing bank E. E. S H E LT O N PRESIDENT DALLAS FEDERAL SAVINGS & LOAN ASSOCIATION sells itself R. H. S TEW A RT, JR . MANAGER GRAHAM PAPER CO. in terms of A RCH S. U N D ER W O O D PRESIDENT UNION COMPRESS & WAREHOUSE CO. LUBBOCK, TEXAS expanding usefulness. JA M ES RA LPH W O O D PRESIDENT SOÙTHWESTERN LIFE INSURANCE CO. 7i/o PRESIDENT #■ i *1* 78th y e a r o f d e p e n d a b le co rre sp o n d e n t se rv ice M EM BER FEDERAL DEPOSIT IN S U RA N C E CO R P O R A T IO N Northwestern Banker, November, 1953 10 A f r o s s t l i e D e s k From I lie P u b lish e r OSsjoUi, (b it,, 'btfudm v (x). W xJU nlsL^ : Economist, Prudential L ife Insurance Company, Newark, New Jersey. In your recent speech on the Business Outlook for 1954, you predicted that there would be no recession and you based your reasoning on at least four facts which were these : 1. Government purchases will still provide strong impetus to the economy. 2. Purchases by consumers will increase, be cause of rising hourly wage rates. 3. Consumer spending will increase from $235 billion, our present rate, to about $242 bil lion in 1954. 4. State and local spending will rise, and more than absorb the decline of about $2 billion in federal expenditures for 1954. Most of the bankers at the American Bankers Convention were likewise much more optimistic than they were pessimistic about 1954. Your belief in a “ better tomorrow” is also voiced by W. Randolph Burgess, Deputy Secretary of the Treasury, who believes there are at least three good reasons why we can make any needed adjust ments in our economy without disastrous results. “ First, this country, even when we achieve a balanced budget, will be pursuing a tremendous spending program for defense. Even though the expenditures are met by taxes, the program is an Digitized for Northwestern FRASER Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis inflationary force which will be with us for some time to come. “ Second, we have almost startling evidence from Europe of countries which have turned from infla tion to prosperity by putting into effect vigorous programs for sound money. “ Third, we have the long history of economic progress of this country. It is free competitive enterprise that has made us great. As we move away from controls and subsidies and artificial props and gradually reduce taxes, we release more fully the forces that brought us prosperity in the past. As we strengthen the dollar and renew peo ple’s confidence in it, we stimulate the flow of savings which has always provided the capital to build America. Surely we are not afraid of these great, free forces.” As one economist said recently, if we do have a recession it will be the most advertised one in our history. With our present a d m in istra tion ready to pounce on the first sign of a slowing down of busi ness, and with bankers pledged to do their share to finance all of the legitimate demands in their local communities, the N o r t h w e s t e r n B a n k e r looks as you do, Dr. McKinley, and as does Mr. Burgess, hopefully into 1954 which we believe will be a year where inflation and deflation do not go to either extremes, but where a more nearly bal anced national budget will be established, and business generally will be able to proceed on a more even keel. Û )q jc ü l (x) . 9 L . (B A s m io ti.: Retiring President, American Bankers Association, Des Moines. Some one has said “There is no substitute for knowledge” and this certainly applies to the bank ing business today, more than ever before. This was a point which you made in your fare well address before the American Bankers Associ ation annual convention. As you put it, “ It is imperative that the officers of our small banks as well as our large ones sup plement their local viewpoint with information on our national economic problems. There are al ready a number of small banks where the manag ing officer conducts regular planned staff meetings with studies and discussions regarding the func tioning of money. “Many bankers realize that bank tellers and con tact men must not be overlooked in their training. They are not only potential officer material, but they are already ‘the banker’ to many of the cus tomers. Their comments on topics of the day carry weight, and their banking education should pro vide them with factual and useful information. With such a program to stimulate them, more 11 young- men with aptitude than ever before will be attracted to our banks. “ Young men often ask: ‘Is there a future in banking?’ My answer is: ‘The future is excellent for the man with financial aptitude who is willing to work and prepare himself.’ Bankers in all parts of this country have told me of the widespread need for more young men of this type. This all adds up to the fact that there must be more trained men for our financial institutions—men with an adequate understanding of banker-economics.” The only way we are going to get more trained men is to continue the very fine banking schools which have been started over the country, and which are increasing in number from year to year. Likewise, the American Institue of Banking, which offers courses by chapter meetings in the larger cities, and by correspondence courses for those in the smaller cities, must be encouraged. The ultimate answer is for every bank officer as well as bank employee to get as much increased knowledge as possible, both about banking and, as you say, about “ Our National Economic Prob lems.” After being criticized and abused during the past 20 years, bankers have at last regained their rightful position and stature in the nation, and the only way to hold that position and to increase their value to the community is by acquiring more knowledge about the business in which they are engaged, plus additional information about the problems which face our national welfare. Knowledge is power. (D su ctiv (D a .. ¿ W i t JL. Department of Agricultural Economics, Purdue University, L afayette, Indiana. Are we losing the pioneer spirit in America? That is the question which you discussed in a recent address before a bankers convention. If we have changed our philosophy (and there are some who have) from how much can we do, to how little can we do, then America will eventually pass out of the picture as Rome has done, and they will simply read about us in the history books of some future generation. The N o r t h w e s t e r n B a n k e r does not believe that we have lost our pioneer spirit to make Amer ica great, but we do believe that any philosophy, whether it comes from labor unions or from the Chamber of Commerce, which believes that we can produce less goods, and perform less services dur ing shorter hours, and for more money, will cause us to eventually become a “lost nation.” We do believe in shorter hours, and more pay, but during those shorter hours and for that addi tional pay more goods must be produced or more https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis service must be rendered if our economics are to continue on a sound basis. As you put it, Dr. Butz, “During the days ahead, we must all revitalize in ourselves that pioneer spirit which made America a great nation, but which has been in conflict in recent years with an other philosophy. “ Our forefathers in America, who opened the in land waters to navigation, who turned the sods of the prairie, who pushed the ribbons of steel across our plains to link two great shores in a transporta tion system, who dug the gold from the hills of California and the copper from the buttes of Mon tana—those men lived by a philosophy of work and production. That was their creed. They asked, ‘How much can T do? How fast can I run? How deep can I dig?’ “Today in America there are too many people who ask, ‘How little can I do? How slow can I run? How shallow can I dig?’ “ The former philosophy carved a great nation out of the wilderness in a little over a century; the latter philosophy works on the side of the com munist world. It must be uprooted from our midst. “ We are so strong and our production potential in America is so great that we can never be de stroyed from without unless we first disintegrate and deteriorate from within.” So we would say to bankers and businessmen everywhere, we believe you will continue to assist in improving our “ production potential” so that we may assume our place not as the leading nation in this hemisphere, but as the leading nation of the world. (D&w l lûaUacsL J. (Bsm m lL: United States Senator from Utah. For many months the N o r t h w e s t e r n B a n k e r has advocated the abolishing of the Reconstruc tion Finance Corporation, and legislation for that purpose has now been enacted. As you very ably expressed it, Senator Bennett, “We all agree that there is no permanent substi tute for equity capital, but the habits and attitudes of 20 years can’t be eradicated in a day.” As we have remarked many times, if a loan is sound and good it should be made by local banks in the community, and if it is not sound and good it should not be made by a government agency, the losses of which agency must eventually be borne by the taxpayers. Nort hwest ern Banker, November, 19S3 Banker, November, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis High on our listof the things we have to be thankful fo r... is the large and ever-growing list of CORRESPONDENT ACCOUNTS it is our privilege and pleasure to serve. focaad "pTtettedtf, 'S cut& CENTRAL NATIONAL BANK and Trust Com pany DES MOI NES, IOWA ^ Nort hwest ern Banker, November, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ìV-, “ One of the most remarkable things about our National 135 machines is the fact that they have reduced operator training time to a matter of minutes,” reports Mr. Scott. “ They are clear ly the answer to the operator training problem.” With the Unit Pian we train operators in minutes!” W illia m Ml. S c o t t , P r e s id e n t T h e P e n n s y lv a n ia E x c h a n g e B a n k N ew Y o r k , N. Y . Here in the branch office of the Pennsylvania Exchange Bank opposite Rockefeller Plaza, President Scott reports, “ We find the National Unit Plan tremendously helpful in saving time and money and effort. Eight important steps are performed automatically when the statement-ledger is placed on the automatic printing table of our National 135’s. And we like the way they post statement-ledgers and journals simultaneously, all in original print.” Mr. Scott adds that the National Unit Plan produces “ the neatest statement and ledger I’ve ever seen!” How much money will the National Unit Plan save you in your bank? Call your nearby National representative today and find out. He’s a systems analyst who will gladly demonstrate the National Unit System to you. Just call him, or write to us at Dayton 9, Ohio. C /fcafional ACCOUNTING MACHINES ADDING MACHINES • CASH REGISTERS THE NATIONAL CASH REGISTER COMPANY, Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D a y to n 9 , O hio - .. ............ ................ .... .. ....... ........ ...................... .... c 15 H o ir Farm Hanks H elp Service P ro Loans, Financial Advice and Cooperation on All Projects Are Establishing Better Farmer-Banker Relations A NORTHWESTERN BANKER Survey ITH agricu ltu re con tin u in g to occu p y a strategic position in our n ation al econ om y, and also in relation to our g ro w in g population, th e N orthwestern B anker th o u g h t it w ou ld be w e ll to see h ow local b a n k ers are cooperatin g w ith th eir fa rm er W is accomplished through our custom ers, encouraging and helping them to improve their production practices. We have sponsored some soil testing in cooperation with the Nebraska Con servation Foundation, Inc.” cu stom ers. C. A. Phillips, president, Cambridge State Bank, Cambridge, Nebraska: “ Our specialty has been CCC loans and a payment plan on farm equip ment. I was state appointed super visor for organization of Chaeo Soil Conservation District 10 years ago and still serving. Was one of promoters of the Frenchman-Cambridge Irriga tion District, have been a director for six years and still treasurer.” This survey disclosed that the vast majority of banks in the midwest take a deep interest in all activities relating to farming and spend a great deal of time and money in promoting them for the welfare of the community. One evidence of this is the increasing number of banks who are appointing a farm specialist to the staff. The various state bankers associa tions have done much for many years through their agricultural committees, thus encouraging individual banks to participate at a local level in the ad vancement of farming practices. The following replies to this special sur vey tell some of the specific things that banks are doing. The bank offi cer whose name is listed is in charge of farm operations: I. E. Tilgner, cashier, Jefferson County Bank, Daykin, Nebraska: “Our bank has been trying to cooperate with our farmers in every possible manner. “ This year we have been primarily interested in establishing a soil build ing program. Gerald Stahl of the Ne braska Soil Conservation Foundation has made a number of soil tests in our community and at the same time he takes a cropping history of the farm. When the results of these tests are received from the University of Nebraska, along with their recommen dations, Mr. Stahl briefs the group on the basic fundamentals of soil build ing, after which a general discussion takes place. The bank serves a lunch at the close of the meeting. We try to keep these meetings small, six to 15 people, so that all may enter into the discussion. “We have also sponsored other farm meetings. Recently we sponsored a meeting at which agronomists from the University of Nebraska reviewed the results of the wheat test plots near our town. “Wherever it is possible we are try ing to work with our county agent and with 4-H groups. We feel that if they call on us for help, it is an oppor- N ebra sk a Fred W. Kerst, president, City Na tional Bank, Crete, Nebraska: “ This bank has done nothing specific any more than to properly finance any farmer, to help start young farmers, and to properly start herds of young stock. “ In soil work we have done nothing except to finance where needed for extra fertilizer, to help with terracing costs and similar activities.” Robert L. Voss, vice president, First National Bank, Fremont, Nebraska: “We work with our Soil Conservation Districts and Extension Service in this area on their programs. We make loans to farmers for improved prac tices and to 4-H Club and FFA mem bers for their projects. “Work on soil conservation is most ly channeled through programs of government agencies. Individual work https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis PERSONAL VISITS to farms are the surest way to keep in close touch with farmer customers, their needs and to get their ideas on new projects. An increasing number of banks have appointed a full-time outside farm representative who handles farm busi ness, including processing of farm loan applications. Northwestern Banker, November, 1953 16 tunity for the bank to serve the com munity and itself.” Bureau meetings as a member and attend extension service demonstra tions. We also make loans available H. E. Roe, executive vice president,for conservation improvements on the Bank of Bennington, Bennington, Ne farm and for commercial fertilizer.” braska: “We make personal visits to the farmer’s home. When we hold F. H. Riepe, cashier, Danville State open house at the bank a man from Savings Bank, Danville, Iowa: “We the soil conservation office is present belong to the Cattle Feeders Associa and also our county agent. We show tion of Des Moines County, Iowa, and charts and pictures of what soil con work with them during the year and servation will do, followed by a ques finance the cattle feeders that need tion and answer period.” financing. We do anything that we believe will help the farmer. “We have cooperated with the Soil John J. Adkins, cashier, Battle Creek State Bank, Battle Creek, Ne Conservation in every way and be braska: “For the past three years lieve it a very good thing. “Any farmer who is entitled to credit our bank has sponsored an Annual Farm Forum. This is an evening can get it at our bank, especially the meeting, with the bank furnishing the young farmer who is just starting.” entire program. The meeting usually has two speakers and one movie. These are timely topics for the farmer, such as soil conservation, the use of fertilizer, the feeding of corn cobs, farmer’s legal papers, etc. Refresh ments are served following these meetings. “ This bank is a member of the Ne braska Conservation Foundation and at the present time is cooperating with the field representative in taking soil samples and discussing the farm er’s conservation program with him on his own farm.” John Stuclilik, vice president, The Farmers State Bank, Aurora, Nebras ka: “For the year 1953 we are fi nancially backing an FFA program through the vocational agriculture in structor, which is emphasizing the breeding of lean hogs, fertilization, soil conservation and profitable potato raising in this area. “ Soil c o n s e r v a tio n is promoted through distribution of pamphlets. Soil sampling kits are made available and forwarded by this bank to the Department of Agriculture at the Uni versity of Nebraska. We encourage fertilization and make extensive loans on this project.” F. G. Stilgebouer, president, State Bank, Benkelman, Nebraska: “ Some years we have paid for subscriptions to 4-H News in every home where there is a member or leader. In re gard to soil conservation we are work ing with our county agent and our customers for the best type of farm ing and the use of fertilizers on the land.” Io w a Noel J. Liechty, vice president, Ank eny State Bank, Ankeny, Iowa: “ In our bank we make country calls to the farmer’s homestead, attend Farm Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ONE PROJECT carried out by many banks is sponsorship of a field day, includ ing free luncheon. Above is part of group enjoying watermelon provided by Bank of Steinauer, Steinauer, Nebraska, at bank’s Conservation Field Day last year. J. P. Fed lie, vice president, HartfordCarlisle Savings Bank, Carlisle, Iowa: “ Our bank sponsored a corn and soy bean yield contest. We have done 4-H Club promotion work and we pub lish a farm paper covering local activi ties.” Mortimer Goodwin, president, Union Story Trust and Savings Bank, Ames, Iowa: “What we have done to im prove our relations with our farmer customers took place many months ago. The plan worked out very well, however. We arranged an income tax clinic for farmers early last January, at a time which was far enough in advance of the filing dates for federal income tax returns so that they could take advantage of any suggestions be fore making out their return. We in vited Professor H. B. Howell of the Agricultural Economics Department of Iowa State College, Ames, to con duct the clinic, and he was assisted by two representatives from the office of the Collector of Internal Revenue in Des Moines. “ The farmers were invited to an evening meeting in Ames and after it was over we served them coffee and doughnuts. “ The clinic was designed to bring out ways to avoid paying out unneces sary amounts in taxes. The basic plan seemed to appeal to the revenue men, and they were helpful with sugges tions. Professor Howell has had a great deal of experience in the farm accounting field and is a close student of income tax matters as they affect farmers, and his presentation was good. “ Prior to the meeting we invited the farmers to submit questions which they would like to have discussed, and we screened them to get the most im portant ones for the question and an swer period which followed Professor Howell’s main address. This was a very popular feature of the clinic. “This has rambled on perhaps too long, but it may give you some idea of what we did. As a matter of fact, we also set up an income tax clinic about a month later for people other than farmers, and were gratified at the response. Over 500 people at tended the two meetings. "We also provide our farmers with work-sheet forms in the late fall for their use in preparing their income tax returns. These seem to be well received. “We plan to make these clinics an annual affair.” Lee Chandler, president, Iowa Sav ings Bank, Dike, Iowa: “ In coopera tion with other banks in the county and in conjunction with the County Extension Service, we co-sponsored an all-day Farm Management Clinic, serv ing all in attendance luncheon at noon. In this connection, I spoke on the sub ject ‘How to Use Bank Credit.’ We also advertise for and carry all loans offered us to finance 4-H Club projects. Frequently our staff attends 4-H meet ings and we speak on credit and book keeping methods. “ In cooperation with other banks in our county we have financed publica tion of a booklet for the County Soil Conservation Committee, explaining their work here and the advantages to be gained by full cooperation.” G. L. Kimberley, cashier, Exchange State Bank, Collins, Iowa: “We oper ate a farm labor service (employment agency) for farmers. We also do fi nancing for 4-H Club calf projects and FFA work. Our bank makes commer cial fertilizer loans; makes soil testing kit available to farmers, and provides publications and books for our farm ers.” 17 BEEF AND D A IR Y CATTLE are the source of much of the income in the midwest, consequently banks lend a great deal of cooperation to the various organizations and projects designed to improve this part of the farmer’ s business. S ou th D a k o ta (). A. Hodson, president, Blackpipe State Bank. Martin, South Dakota: “ Our bank participates actively in 4-H Club work and has an officer as direc tor of the local REA board. We spon sor an annual calendar picture con test, with the winner announced at the annual free Pancake Day Feed, in which we take an active part. “ Soil conservation and increased fer tility program is just in its infancy here.” Arthur J. Owens, cashier, the Onida Bank, Onida, South Dakota: “We em ploy a full time farm and ranch fieldman. This man does not work from an office but is rather a practical ranch operator who owns and operates a large ranch in this community. “ Soil conservation activities are taken care of by the state college at Brookings.” vice president and cashier, First State Bank, Roscoe, South Dakota: “ Our bank loans addi tional money to farmers for purchase of better milk cows, hogs and chickens and other poultry. For this area we advise more dairying and less small grain farming. “We handle about 75 units and insist on one-third fallowing and encourage operators to sow more alfalfa and sweet clover. Fallowed lands have paid big dividends in the past two years.” W. Christen, M. G. Slaathaug, president, Peoples State Bank. Summit, South Dakota: “We urge the use of fertilizer, weed spray and so forth and offer financing for these purposes. We also urge im provement of livestock quality and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis will finance the purchase of herd sires and females. This bank also provides public hall facilities for farm meet ings. “Our advertising is designed with a soil conservation motif and along this same line we provide funds for the publication of the Roberts County Soil Conservation District reports. In meet ings of our local bank group to work out ways in which we can better assist farmers we include the county agent and SCS man.” M in n e s o ta H. C. Feig, president. Farmers State Bank, Raymond, Minnesota: “ Our bank hands out pamphlets, our men attend local Farm Bureau meetings and we give especial help with 4-H activities. “We have an active county agent who is continuously on the job. Our bank encourages loans for farm im provements and fertilizers.” W. I). Yaeger, cashier, Sanborn State Bank, Sanborn, Minnesota: “ Our bank participates in FFA and 4-H Club activities, financially and otherwise. “We advise the use of fertilizers and green manure crops.” Donald J. Murphy, president, Farm ers State Bank ot Osseo, Osseo, Minne sota: “ Our bank, in cooperation with other rural banks in the area, provides a scholarship for a rural youth to at tend the University of Minnesota farm school yearly. “We have done considerable adver tising along the lines of soil conserva tion and increased fertility and have made a number of loans in this con nection.” Virn Kirk, cashier, Worthington State Bank, Worthington, Minnesota: “ Our county bankers association has provided, for the past two years, a scholarship to the University of Min nesota farm school for a rural youth for a one year term.” N o r th D u h o t u .1. F. McEntee, president, Citizens State Bank, New England, North Da kota: “We have, from time to time, had discussions with our farm cus tomers as to better farming practice for our community. We have also discussed the best way to eliminate the high cost of farming. “ In our efforts to promote soil con servation and increased fertility we have visited fields where good soil conservation is used and have had many discussions with our farmer friends regarding this program. Our interest in this activity is showing good results.” C. H. Erbele, cashier, Elk Valley State Bank, Larimore, North Dakota: “ Our bank finances 4-H Club activities and pays the expense for a student to attend the agricultural short course at N.D.A.C. “ Our bank supported the soil con servation district scrapbook and es say contests and acted on the commit tee judging soil conservation farm awards.” E. V. Freeman, president-cashier, State Bank, Souris, North Dakota: “ Our bank, together with the other two in the county, contributes awards to winners of farm management and soil conservation practices contests of this soil conservation district.” ( E d i t o r ’ s N o t e : This survey will be continued in the next issue of the N orth w estern B a n k e r .) Nort hwest ern Banker, November, 1953 4 'ha rge Plans Sim plified bp M a ch in e P rocessin g Bank Machines Facilitate Cycle Breakdown, Billing and Payments ' -.a ; W ritten Especially fo r The Northwestern Banker By ROBERT RENNER Vice President and Cashier Industrial Trust and Savings Bank Munde, Indiana PROCESSING —Charge slips are “ broken down” into eight cycles and charge account envelopes are proved on the proof machine—all at the same time! Manual sorting and “ recapping,” and expensive car bon forms, are not needed. F YOU already know what the Frank lin Charge Plan is, please just skip these first few paragraphs, down to “ Processing Charges and Credits.” We think it’s a good idea, though, to give a brief explanation of the Charge Plan, for those who are not completely fa miliar with it. Our hank was one of the first in Indiana to sign up with Franklin National Bank, Franklin Square, Long Island, for use of the new “Charge Ac count Plan,” which originally went into operation in that bank in 1951. I Briefly, this is how it works: the bank purchases, at a 5 per cent dis count, the charge sales slips of any store taking part in the plan. Mer chants extend credit only to customers having an Industrial Trust & Savings Bank Charge Plate, issued by us. When a customer charges more than $10, the merchant telephones our charge account department for au thorization. This takes very little time, as we have phones just for this pur pose. The merchant endorses his sales slips and sends them into the bank each day just like a regular deposit. Both charge slips and credit slips (for returns) are enclosed in a pre printed envelope. We accept the charge slips without recourse, and credit the merchant’s account with the full amount, less our discount. If there are any credit slips for returned merchandise, the total of these is first subtracted from the total of charge slips, before deducting our service charge (see illustration of envelope). So far as the merchant is concerned, he has nothing further to worry about, because we take care of all the book keeping and collection work. Custom ers’ accounts are maintained by us in much the same way that a department store runs its cycle billing depart ment. Attracts Merchants , xwis H LA asear? roV?olVoEJ*asiT IBMKYOV AMOUNT J*-9 n -O JT ÍJé s . ,SDVSTRIAL i HIM HO. TIL m i» J *3 ; M ERCHANTS DEPOSITS — Sales slips and credit vouchers (for returned merchandise) are placed in an envelope. The net total of sales slips less credit vouchers less service charge is included as part of the merchant’s regular deposit (see deposit slip, upper right). At lower right is a sample of the receipt issued by the National Teller’ s machine; notice that it is for the full amount of the deposit, which includes a charge account envelope total of $80.75. Nort hwest ern Banker, November, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Obviously, the plan holds huge at traction for the merchant. He can offer customers credit at no charge to them, no risk to himself, and no capital investment. And our discount is small compared to the cost of book keeping, collection, stationery, post age, telephone expenses and so on. Big advantage of the plan for custom ers is that by having a single charge plate from the bank, they can shop in any store displaying an Industrial Trust Charge Account emblem in its window, and receive one statement, make one payment, for all purchases. Perhaps the greatest benefit to be realized by the bank is not the profit to be gained from the plan, but the publicity and new business we have received. Balances on merchants’ acCHARGE PLANS . . . (Turn to page 32, please) it OM' UV* M od ern ized O nr Statem ent and L ed ger Sheets Changes Made in Arrangement, Copy, and Style of Joint Accounts With Right of Survivorship Written Especially fo r The Northwestern Banker By C. W. FISH BAUGH Assistant Cashier Security Trust & Savinss Bank Shenandoah, Iowa OR years there has been little change made in statement and ledger s h e e t s . Machines have changed but the sheets remained basi cally the same. We looked at ours and decided we would try and do some thing to simplify them and bring them up to date. One thing that had been presenting a problem was the increased number of joint accounts with right of surviv orship. It seems that since World War II the number of customers re questing this type of account has tri pled. No doubt the joint holding of defense bonds increased this practice. To type the whole clause on a sheet took too much time, so we ordered a rubber stamp reading: “Joint account, with right of survivorship, payable to either or the survivor.” We stamped this on both the ledger and statement sheets. It was a decided improve ment, but we found the bookkeepers had a habit of failing to stamp this on the sheets. The account would be opened correctly but after a month or so and several new sheets some post er would neglect to stamp the sheet. With the rapid turnover in employes it was hard to localize the carelessness, so correcting this presented an endless problem. We felt it was important that these sheets be stamped. It is true that the signature card governs the ac count, but most customers prefer to see this on their statement each time. Then it is important to the loan de partment. When making a loan it is customary to look at the customer’s account. A right of survivorship on the account might make a difference in which the loan would be granted. We decided we should have a special sheet for these accounts. By starting the account with a special sheet we felt the bookkeepers would be sure and use the same type sheet each time a new one was made. We have found F https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis this to be true. For a color we chose orange. The joint account signature cards are usually orange so this worked very well. Then it was a con trast to our light green sheets and stood out in the ledgers at a glance. We had these sheets headed: “Joint Account” and the joint account clause. While making this change we made several others. On the ledger sheets we had “A ” printed on one side and “ B” on the other side on the number line. This would save the bookkeep ers having to type this on the sheets to indicate the first and second sides. We also had the bank name printed at the bottom of the sheet instead of at the top. This not only gives us a few more lines on each sheet but makes the customer’s name more vis ible. The name is the important part of the sheet and it should be in such a place that there is nothing to ob struct the bookkeeper’s view. We had a quarter inch blank line printed at the bottom of the sheet to try and avoid low postings. Bookkeepers are human, and being human they put off today what can be done tomorrow. So, each day making a new sheet is put off until they are almost posting in air. This means an untidy sheet and one that is hard to read. With this narrow strip across the bottom it calls attention to stop. Being black it makes it almost impossible to read any printing on it. After a couple of times posting on this strip and the poster realizes it is easier to make a new sheet when this line looms up. We modernized our statement sheets by changing the old type block letter ing to the more modern script type. We MODERNIZED . . . (Turn to page 99, please) SOMETHING N E W —Above is a facsimile of the top and bottom sections of the revised “ Joint Account” ledger sheet used by the Security Trust & Savings Bank, of Shenandoah, Iowa. The color is orange, to contrast with other ledger sheets the bank uses. Note the quarter inch dark line at the bottom of the page. It helps to avoid low Dostings, compels the use of a new sheet. Nort hwest ern Banker, November, 195J 20 < --------------------------------- ----------------THE NEW PRESIDENT of the F.P.R.A., L. L. Matthews (standing), president o f the American Trust Company, South Bend. Indiana, visits with Preston E. Reed (le ft), executive vice president of the F.P.R.A.; Lucy V. David, secretary of the F.P.R.A., and William B. Ilall, retiring president of the F.P.R.A., and vice president of the Detroit Bank in Detroit. 4 H anker's *tobM s to Tell anil Sell Public Should Know More About Banking Activities Say F.P.R.A. Speakers By CLIFFORD DE PUY Publisher The NORTHWESTERN BANKER HE 38th annual convention at De troit last month of the Financial Public Relations Association em phasized that banking should be in a “gold fish bowl” where all can see just how a bank operates. T As Howard C. Petersen, president, Fidelity-Philadelphia Trust Company of Philadelphia, said, “ Today the trend seems to be toward doing our banking in full view of the public—the kind of view that one gets when looking into a goldfish bowl. But there was a time when bankers gave a different impression, that they held secrets too difficult for the average man to un derstand. “Today, the trend is—and I hope it continues—toward bringing our varied activities out into the open. Our cus tomers must understand what we are doing and why, and the responsibility for imparting this knowledge must rest squarely with public relations’ specialists who not only understand the full import of each of the bank’s many activities, but who, likewise, are able to convey this understanding to an ever-widening group of people— staff, shareholders, customers and the general public.” V IE W of the grand ballroom at Sheraton-Cadillac Hotel during F.P.R.A. general session luncheon. Banker, November, 7953 Digitized for Northwestern FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The F.P.R.A. now has 1,732 mem bers, which is an increase over last year of 91 members, and a 10-year in crease of 927 members. The 1954 convention will be held in Washington, D. C., October 17th to 21st. — New Officers Lee L. Matthews, president of the American Trust Company of South Bend, Indiana, was elected president of the Financial Public Relations Asso ciation. Vice presidents named were: First vice president, Rod Maclean, assistant vice president, Union Bank & Trust Company, Los Angeles. Second vice president, W. W. Delamater, vice president, Tradesmen’s Land Title Bank & Trust Company, Philadelphia. Third vice president, W. E. Single tary, assistant vice president, Wachovia Bank & Trust Company, WinstonSalem, North Carolina. Treasurer (re-elected), Harold W. Lewis, vice president, First National Bank, Chicago. Ten members were elected to the board of directors: For one year terms: John J. Kirn, president, The Farmers and Citizens Bank, Lancaster, Ohio; Howard A. PUBLIC RELATIONS . . . (Turn to page 60, please) — *. ^ A 21 Our Í ItiekvnLoans A r e Hitj Musiness Broiler Financing Can Be Profitable If All Important Factors Are in Balance W ritten Especially for The Northwestern Banker By SHELBY FORD President First State Bank Springdale, Arkansas UR bank has been in the broil er financing business about 13 years, and we have loaned ten million dollars on chickens and not lost a dime! When I came to Springdale in 1939 the broiler industry was very small compared with our production today. As I recall at that time, northwest Arkansas area was producing around five million birds per year. Now the annual production is approximately sixty million birds for the three coun ty area, that is, Washington, Benton, and Madison counties in northwest Arkansas. The beginning of the broiler indus try in Springdale started some 20-odd years ago, at which time the Chamber of Commerce assisted one of our citi zens in starting a small hatchery. From this small beginning, through careful care, hard work and careful study, the broiler raising gradually grew on a sound basis until it is to day our largest industry in a very di versified agriculture section of north west Arkansas. O After thinking about the above (our natural advantages) it was decided there were some other factors that would have to be coordinated before a bank could afford to risk its deposi tor’s money on “chicken paper.” A Good Baby Chick 1. It is vital to be assured the hatcheryman had a good baby chick to start with. A good chick is the foun dation of the grower’s success. One cannot grow feathers on a cue ball. A weakly, poorly bred chick is a loss to all concerned in the beginning. One cannot make profitable growth out of a poor chick in eight to ten weeks, regardless of how good the other qual ifications may be. 2. The grower should be inclined to devote his time to raising broilers—has the right attitude to want to take supervision from hatcherymen and feed men and processors to obtain the SH ELB Y FORD best results. Broiler raising is not a half-time job; growers need to be chicken-minded to raise good broilers. They also need to believe in their endeavor and ability enough to be will ing to put up some collateral to pro tect the risk. 3. The feed dealer or hatcheryman or processor should have good feed which will produce a good broiler in the minimum length of time. There are many good feeds and there seems to be progress from season to season in producing better broiler feed for mulas. Proper Facilities 4. The grower must have the proper facilities, such as equipment, housing and labor, to amply care for the chick ens at all times, being sure of plenty C H IC K E N L O A N S . . . (Turn to page 36, please) Potentialities The potentialities of developing our section into a major broiler producing area in 1939 were obvious. The geo graphic location, climatic conditions and millions of people in our cities and towns, with a radius of 600 miles, were among the important factors. Our people, too, were accustomed to making a living on small farms, with intensified farming; therefore, they would be naturally inclined to fit the poultry program in with their dairy ing, fruit farming and truck farming programs, provided they could see it was profitable. Soon this was realized by a few and as time went on more and more brooder houses were being constructed on our farms until today, most every farmer has some facilities for raising broilers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W ELL-CARED FOR flocks, with ample quality feed, are essential to the success of farmers raising broiler chickens. The author’s bank participates in the financing of this operation through the local feed dealers. Nort hwest ern Banker, November, 1953 22 N ew s and OF THE BANKING WORLD By BEN HALLER. JR.. Managing Editor ONOVAN E. CROULEY, vice pres ident, N o rth w e ste rn National Bank, Minneapolis, has been reap pointed as chairman of the livestock committee of the American Bankers Association. During his first term, the committee began work on a livestock lending D Foreign Department of Manufacturers Trust Company, 55 Broad Street, New York 15, New York. * * Thirteen speeches in five days was the schedule last month of Joseph AAulliams, Jr., Bank of America vice presi dent, in controllers’ department, San Francisco. Mr. Williams was feature United Nations Week speaker in Reno, Ne vada, and as such filled out a weeklong program of addresses to service clubs and civic groups and to the Uni versity of Nevada. sary as “ head man” of that institution last month. Below is a reproduction of a full page ad which appeared in the Tulsa World and Tulsa Tribune. It is signed by all 423 employes of the bank (count ’em), and departs from dignity in the careless but sincere message of con gratulations to Mr. McClintock. * * * Twenty-five years is a long time for one man to be president of a bank, as a lot of bank presidents of lesser vin tage will testify. And anniversaries within a bank organization are often too dignified, or worse, ignored in the bank’s promotion. AVith these two thoughts in mind, the employes of the First National Bank and Trust Company of Tulsa hit on a novel approach, and a real sur prise to R. Otis McClintock, president of the bank, who had his 25th anniverD O N O V A N E. C R O U L E Y R eappointed chairm an of A .B .A .’ s livestock com m ittee. Ita n se F la g The secret of the message was well kept by everyone and Mr. McClintock’s first view of the ad and “ Happy Birthday” notice was when he opened the newspaper that morning. manual. The manual, a guide to live stock lending principles, will be re leased to all banks about January 1, 1954. The committee was founded as part of the Agricultural Commission of the A.B.A., to work with banks on a g r ic u ltu r a l problems. Committee members represent every section of the country, serving as an advisory board for banks in agricultural lend ing matters. Earlier this year at the Farm and Ranch Congress in Denver, Mr. Crouley assured ranchers that “banks would continue to finance the live stock industry in spite of changes in the price and profit picture.” ^ ^ * * * Manufacturers Trust Company is distributing copies of a World Time Chart showing, in easy, readable form, the time differences in over 100 coun tries throughout the world as com pared with Eastern Standard Time in New York City. Also included is a map of the standard time variations in the United States. Copies may be obtained from the o r t h w e s t e r n Banker , N o v e mb e r , 1953 Digitized forNFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Surprise birthday and anniversary ad honoring R. Otis McClintock. A NEW FLA G is flying in New York’s financial district — The Hanover Bank’ s “ house flag.” Recently unfurled for the first time, the 8' x 12' white banner carries a three-foot replica of the bank’s seal and “ The Han over Bank” in one-foot letters in blue. The flag flies from a fourth-story flag pole (above) extending over the sidewalk at the bank’s 70 Broadway main office. In background is famed old Trinity Church. N. Baxter Jackson, chairman of the board of Chemical Bank & Trust Com pany, New York, last month was elect ed president of the New York Clear ing House Association. Mr. Jackson is the 44th individual to serve as president of the New York Clearing House, and he is the fifth chief executive of Chemical Bank & Trust Company to be elected to this position. As president of the New York Clear ing House Association, Mr. Jackson succeeds Alexander C. Nagle, presi dent of First National Bank. Also at the 100th annual meeting of the asso ciation, J. Stewart Baker, chairman of the board, Bank of the Manhattan Company, was elected chairman of the clearing house committee, succeeding AVilliam E. Kleitz, president, Guaranty Trust Company. George Champion, senior vice president, Chase National Bank, was re-elected secretary. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T h e O f f i c e r s of T h e O m a h a ht la t i o n a ! B a n k i n v i t e y'ou to o u r s u i t e in t h e Pom p a d o u r R o o m of t h e H otel Fo n ten elle d u rin g the N ebraska Ba n k e r s C o n v e n t i o n Nort hwest ern Banker, November, 1953 24 H a n k ers YK n o w W illiam MM. McMMonald Chairman o f the Board McDonald State Bank North Platte, Nebraska . a personal story that links in one lifetim e several generations o f Nebraska and American history.” ROM whacking bulls to riding herd on deposits in one of Nebraska’s Foldest banks is a capsule report on the career of 92-year-old William H. McDonald, widely-known chairman of the board of the McDonald State Bank in North Platte, Nebraska. But behind those few descriptive words lies a personal story that links in one life time several generations of Nebraska and American history— generations that have seen the evolution from virgin prairie to rich farms and ranches; the development of towns where Indians once lived; periods of panic, depression and boom ; the Civil War and four international wars, but with it all the steady march of progress that has seen his home county develop into one of the busi ness, cultural and financial centers of Nebraska. William McDonald began life in true pioneer fashion. His father, Charles McDonald, was on a west bound stage coach in January, 1860, when the coach stopped for the noon day meal at a two-room log cabin store at Cottonwood Springs, 17 miles southeast of the present city of North Platte. That afternoon Mr. McDonald Nort hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis bought the store and the former owner took his place on the west bound stage. Cottonwood Springs was a large spring beneath an im mense cottonwood tree a mile south of the Platte River. Between the spring and the river was a favorite camping place of the Sioux Indians. It was in such surroundings that W il liam H. McDonald was born on June 14, 1861, the first white child born in the county. The Indian squaws made much over the white baby, the first one they had seen. They often took him to their tent, and Mr. McDonald is the only banker who has eaten dog stew, about which he remarks, “ They said I liked it.” A friend made a small wagon for him that was pulled by four little Indians, their pay being a cracker each. The two-room cabin grew into a stockade under the progressive guid ance of the elder McDonald and in a few years it enclosed what would now be a full city block, with build ings and living quarters facing on two fronts, and eight foot high red cedar posts facing the other two sides. Mr. McDonald’s mother was Ora Henry, whose brother also ran a store near Fort Kearney, and another brother, Dr. Charles A. Henry, built the first brick store building in Omaha. Her sister married James E. Boyd, later Nebraska’s first Demo cratic governor. Camp McKean, later named Fort McPherson, was built near the Mc Donald Stockade in 1863. The fol lowing year, the big Sioux uprising occurred and future comradeship with the Indians was denied. Mr. McDonald states, “ My parents counted over 1,000 vehicles in one day on the Trail. This acted as a fence to the buffalo. They were the Indian’s food supply and he could not live without them.” Another memorable event in the life of Mr. “ Mac,” as he is called by his many friends today, was in 1869 when W. F. Cody, chief scout of the 5th Cavalary, came to the nearby fort. Henceforth a friendship between the two families existed and the McDon alds later financed Buffalo Bill’s shows at home and abroad. Mr. “ Mac” is a warm admirer of Colonel BANKERS YOU KNOW . . . (Turn to page 50, please) « 25 Heres the story. the complete story o f w hat B ank o f A m erica correspondent service can do fo r you examp l e . F or ' tu rret itontinf/ Here is a unique service which gives you the fastest possible collection and returns— and it is available only through Bank of America. You may send cash letters directly to any Bank o f America branch with items payable in the locality o f the branch whenever warranted by the size or importance o f the 1 items. In such event, through the use of an advice form which Bank o f America supplies, your account is credited with the amount o f such cash letters the same day they are collected by the branch. T h e b e n e f i t s o f D i r e c t ilo u iim j A r e Quicker presentation o f items, resulting in earlier availability o f funds and reduction in float. Rejected items are returned to you directly by the branch to which they are sent, saving several days involved in returning such items through usual channels. Send for your copy today https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • Just write Bank of America, Dept. ADf San Francisco, California Mmxk ai N A T I O N A L J a v Si n Ag s A S S O C I A T I O N MEMBER FEDERAL DEPDSIT INSURANCE CORPORATION Nort hwest ern Banker, November , ì 953 26 New Combination Unit A new combination money chest and record container designed to pro tect cash from burglars and important records from fire, has been developed by the Mosler Safe Company, Hamil ton, Ohio. The new unit was shown to the public for the first time at the Na tional Business Show last month at Grand Central Palace, New York. According to Mosler, the multi-pur pose protective unit cannot be stolen because it is anchored in a steel-clad, reinforced concrete block, too heavy for burglars to cart away. For the protection of large sums of cash, Mosler has built an armored- steel, burglary resistive money chest into the upper portion of the concrete block. Because the money chest is specifically engineered to resist safe crackers, it takes one of the lowest rates of safe-burglary insurance. De pending upon territory and type of business, this savings in insurance premiums can exceed 50 per cent. For the protection of important rec ords and ledger books, a Mosler fireresistant record container has been anchored into the lower portion of the. reinforced concrete block. The insu lated record container is also large enough to hold several cash register trays which a retail merchant may want to safeguard overnight. fÿ / it a i r e t í a i y Both the money chest and the rec ord container feature their own indi vidually operated “Counter-Spy” com bination lock. In addition, the money chest is equipped with an Underwrit ers’ Laboratories tool resisting label, W e ftk ¡n DOUBLE D UTY— 'The Mosler Safe Com pany has built an armored-steel burglaryresistive money chest into the upper por tion of a steel-clad reinforced concrete block. For the protection of important records and ledger books, Mosler has anchored a fire-resistant record container into the lower portion of the block. The in sulated record container is also large enough to hold several cash register trays which a merchant may want to safeguard overnight. You Get the Money Quickly The proceeds o f live stock All you need do is ask your sales in Chicago are speedily sh ipp ers to instruct their transferred to your bank if Chicago commission firms to routed through us. The stock route through this bank the yards postoffice is just across money received from live the street and the advice is stock sales. We shall be pleased mailed on the day o f receipt. to send you instruction cards. as well as their approved relocking device label for added protection against attack by drills, sledges and explosives. LIVE STOCK BANK tA a lio n u / c f7 C ( 7/( C « fJ O E S T A B L I S H E D 18 6 8 U N IO N ST O C K YARDS Member Federal Deposit Insurance Corporation Northwestern Banker, November, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MEMBER FED ER A L D E PO SIT IN SU R A N C E C O R P O R ATIO N 27 “ Fired? I quit!” Read how banks helped farm machinery replace the horse. Give the grey mare above a carrot for horse sense. She retired knowing full well that only a stubborn mule would try to compete with any breed of 1953 tractor. Today most American farmers (along with a good many farmers abroad) burn gas instead o f oats to get their horsepower. Thus the me chanical marvels turned out by America’s farm machinery manufac turers have been put to work around the world. In less than 50 years their inventive genius created machines and implements that have stepped up the plowman’s daily “ turnover” from 2 to more than 30 acres. Bank money helped But without banks things might have https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis been a lot different down on the farm. From the early steel-wheeled mon sters to the most modern hydrauliclift beauties, banks have helped manufacturers turn out faster, tough er, easier-to-use farm machinery. How? Well, bank loans help tractor and implement companies right down the line—stocking raw materials, acces sories- gearing assembly lines to new models—freeing working capital for development and research. On the marketing level, bank loans help fi nance dealers, and come full circle by helping individual farmers buy tractors and implements. What this means to you Add all this up and you only need half a squint to see that commercial banking hoes a long row in the manu facture and distribution of the ma chinery used by American farmers to grow and harvest some of the biggest, most bountiful crops in the world. This is true because of one grass roots fact: It’s competitive banking’s job to make the community’s idle funds available whenever and wherever busi ness finds opportunities for profitable enterprise. It follows, as reaping follows sow ing, that under these conditions there are jobs for men and women, returns for investors, and a rich harvest o f material advantages for Americans* rural and urban. Chase National Bank is proud o f the part it is playing in American progress. * * * The C H ASE National Bank OF T H E C IT Y OF N E W Y O R K (Member Federal Deposit Insurance Corporation 1 Nort hwest ern Banker, November, 1953 28 Out-of-Town Business Appointment of Charles A. Becker as an assistant vice president of Man ufacturers Trust Company, New York, ican Smelting and Refining Company. Previously Mr. Becker was associated with the Commercial National Bank and Trust Company. Mr. Becker will be assigned to the out-of-town business dep artm en t, southern-western division. He is a member of the Robert Morris Asso ciates and is a resident of Saddle River, New Jersey. For walk-up customers there is an auto bank lobby, complete with Diebold Bandit Resistive Enclosure, tell ers’ wickets, package receiver and bandit-resistive doors. "Drive-into" Auto Bank C H A R L E S A. B E C K E R A ssistant v ice president was announced by Horace C. Flanigan, president. Mr. Becker is a graduate of Colum bia College and came to the bank in 1951 after employment with the Amer The Commerce Trust Company of Kansas City, Missouri, the first bank in that city to offer drive-in banking, now boasts complete “drive-into” bank ing facilities that cater to both those customers who wish to do their bank ing from their cars and to those who wish to park and do their banking walk-up style. Its newest customer convenience, the auto bank, is located on Tenth Street in Kansas City, directly con nected to the Commerce Building, which houses the main banking quar ters of the Commerce Trust. The auto bank facilities are completely con tained within the adjoining structure, thus providing the “drive-into” fea ture. They are specifically designed to handle both drive-in and walk-up customers. Interior of Diebold bandit-resistive en closure which comprises a part of the Com merce Trust’s new auto bank is shown here. Unit features key-locked cash drawers, combination-locked teller’ s lockers, and well lighted, ample counter space. The bullet-resistive steel and glass structure features drive-up windows at either end, windows for walk-up customers along the front. Built into the same structure which houses the walk-up unit, and having a common interior with the walk-up facilities, are two Diebold drive-up windows for the convenience of the auto bank customers who prefer this method of time-saving banking. NCB North. . . South. . . East. . . W est. . . E TRAVELERS CHECKS are best ★ backed by America's greatest world-wide bank ★ accepted like cash ★ e x tra profits for you! ★ refunded if lost or stolen ★ satisfied customers! Y o u keep ALL the selling commission — 3A of 1% THE N A T I O N A L CIT Y B A N K OF N E W Y O R K Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 55 W a ll Street, New York 15, N. Y. M em ber Fe d eral Deposit Insurance Corporation 29 I m m e a s u r a b l e . . . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis One bank asset that never shows up on a Statement of Condition is the value of good customer relations. These are immeasurable. They are composed of many seemingly small things which cannot be reduced to mathematical computation, such as providing customers with checks lithographed on La Monte Safety Papers. Thousands of bankers have found that the safety and appearance of these fine papers earn approval from even the most critical customer. Ask your lithographer for samples or write us direct. A Check Paper All Your Own Thousands of banks and many of the larger corporations use La Monte Safety Papers with their own trade-mark or design made in the paper itself. Such i n d i v i d u a l i z e d check paper provides maximum protection against both alteration and counterfeiting—makes identification positive. TH E WAVY LIN ES ® ARE A LA M O N TE TR A D E-M A R K Nort hwest ern Banker, November, 1953 30 N ow in Noir THE FOREIGN Banking Department of The First National Bank of Chicago is now in their new and larger quarters. M oving this department was the first step in the bank’ s program to provide better service through more adequate room by utilizing part of the space in the two buildings recently acquired by the bank— the former Chicagoan Hotel building on Madison Street and the Hartford Building at the corner of Dearborn and Madison. The bank’s space in the new locations has been directly connected with the main banking quarters by means o f a wide passageway four stories high. A part of the interior of the new quarters is pictured above. Special Meeting of National Cash Register Directors of The National Cash Reg ister Company have called a special meeting of stockholders for November 18, 1953, at Baltimore. The purpose of the meeting is to vote upon a proposed amendment and restatement of the charter of the company to increase the authorized number of shares of common stock and to make certain other changes in the charter. If the proposal is approved by the stockhold ers, it is expected that the board of directors will declare a 10 per cent common stock dividend, payable be fore the end of the year. The manage ment expects to recommend to the board of directors that the present quarterly cash dividend of 75 cents be maintained after the issuance of the proposed stock dividend. Proxies to be mailed to stockholders submit four proposals: 1. To increase the authorized num- ber of shares of common stock from 2,050,000 to 3.000,000. 2. To authorize the directors to is sue authorized but unissued shares without action of stockholders. 3. To grant to directors the power to make, alter and amend by-laws. 4. To eliminate from the charter mis cellaneous provisions which are either unnecessary or obsolete. Commenting upon the proposed ac tion, Stanley C. Allyn, president of the company, said: “ The company was organized in 1926 under the laws of Maryland in connection with the reorganization of an Ohio corporation of similar name. At that time there were inserted in the company’s charter a number of now obsolete provisions which it is felt should be eliminated. In recent years the management has declared two 10 per cent stock dividends and contemplates the declaration of one or more such dividends. Among other things the proposed charter changes will facilitate action in this direction.” Of the 2,050,000 shares of common stock which the company is now au thorized to issue, 1,969,807 shares are now issued and outstanding. Stock holders of record at the close of busi ness on October 30, 1953, will be en titled to notice of and to vote at the special meeting. Publicity Manager William A. Durbin, public relations director, Burroughs Corporation, has announced the appointment of John L. Rose as manager of communica tions and publicity. He will be in charge of Burroughs Corporation’s publications, motion pic ture program and press relations. M anufacturers FOR BANK FIXTURES AND BANK REMODELING of Fixtures LOOK TO JAEGER FOR RESULTS SPECIAL BANK FURNITURE MADE TO ORDER E xe cu tive Desks Coupon Booths Tab les Bank Chairs Counter Tops Check A sso rting Racks S e tte es Jaeger Manufacturing Company is staffed with experienced engineers and designers who will be happy to consult with you or your architect about your Bank Remodeling or Bank Fixture needs. Every Jaeger job is backed by over 70 years* experience. ! JAEGER M A N U FA C TU R IN G C O M PA N Y I 8th and Vine Streets, Des Moines 9, Iowa ! □ W e Would Like Information on Remodeling and Modernizing Our Bank Fixtures. i □ W e Would Like Information on New Bank Interiors. S Bank Name............................................................................................................... | Address............................................................................. By.................................. ------------------------------ --------------------------------------------------------------------------- Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M anu facta ring * Com pany 31 lost motion on your cash or collection items Whether it’s noon or nine— or any other time by your clock or ours, any day o f the week— you can know that your cash items are getting first-class attention at the Continental Illinois Bank. C o n t in e n t a l I llin o is N a t i o n a l B a n k https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and Trust Company o f Chicago L OC K B OX H, C H I C A G O 9 0 , I L L I N O I S Member Federal Deposit Insurance Corporation Nort hwest ern Banker, November, 1953 32 Chartfr I*la as ... (Continued from page 18) counts who are new customers more “ Charge Envelopes.” The proof ma than exceed our present outstandings. chine handles all normal activity as But what we wanted to tell you is well, of course. how charges, credits and payments A few minutes after the doors close can be processed by machine, so per for the day, the regular proof machine haps we’d better get down to that operation is completed, and the ma side of the story. chine is cleared. Since our charge ac count department must stay open Processing Steps During the day, charge account en until 5:00 o’clock, they can use the velopes are entered into the regular proof machine in whatever manner deposit total on our National proof they wish until that hour. machine. The offsetting entry is made And use it they do! Charge slips through a d e b i t key designated are broken down into eight cycles and C H IC A . O O charge account envelopes are proved by the machine, alffat the same time. Here is the operation: t. Enter (from " envelope) the net amount of the deposit—$80.75 in the illustration—into a credit key. The key normally designated as “ Depos its” might be used for this purpose. 2. Enter amount of credit vouchers into another credit key — perhaps the general ledger credit key. At s IL L . BILLING- — Cycle trays are removed from the tile when it is time to “ bill” that particular cycle on the National “ Class 31” machine. the same time, sort credit vouchers into corresponding bin. 3. Enter amount of service charge (discount) into a credit key; the journal credit key might be used. 4. Enter charge slips, one by one, into eight debit keys used for the eight cycles. At the same time, distribute the slips into the corresponding bins. (If you have more than eight cycles, more of the proof machine’s debit keys may be used, of course). A good connection for you to m a k e ! Errors Are Found In Chicago, the correspondent banking facilities of the American National Bank can open up an entirely new "area of operations" for the out-of-tow n banker. For, in addition to performing the usual routine correspondent banking functions, the American National offers many extra services. Based on our broad experience— and thorough knowledge of business and industry in the greater Chicago area — these extra services are being used to advantage by banks all over the country. Are you one of them ? A m e r ic a n N a t io n a l B a n k a n d T r u s t C o m p a n y o f C h ic a g o LA S A L L E AT W A S H I N G T O N , C H I C A G O Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 90, IL L IN O IS MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION That’s all there is to it! Not only are cycles distributed and totaled, but errors are found and cor rected immediately. If an amount has been incorrectly entered on the charge envelope, or if any error in addition or subtraction has occurred, the proof machine will lock up as soon as the operator tries to process the next en velope. If the merchant has failed to include a charge slip, or included one too many-—or if the operator herself makes a mistake—the machine will in dicate it by “ locking up.” In fact, by having the operator enter the individual items on charge slips (instead of just entering the total), you automatically check the addition on the charge slips themselves. The operation is fast, simple, and foolproof. The cycle breakdown is completed and totals secured for each cycle, as well as for the amount of sales drafts, cre d its and service no matter what the nature of your prob our m an at the Irv in g is like a m em ber of your own sta ff. . . call lem may be. Besides his own capacities to serve— he has direct access to special on him just as fr e e ly . ists in all fields of commercial banking Have you ever hesitated to call for plus, of course, the world-wide facilities assistance—assuming that your request might be considered too demanding or of the Irving. • even too trivial? Please remember that your man at the Irving won’t feel that • • Would you like to learn more about how you can broaden your service to your cus way at all. tomers by making Irving Trust Company vour New York correspondent? We’ll be His job is clearly defined—to see that glad to talk to you any time you say. you get all the service we can provide, IR V IN G T R U S T C O M P A N Y ONE W ALL S T R E E T Capital Funds over $123,000,000 W illiam https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N . E nstrom, • NEW Y O R K 15, N. Y. Total Resources over $1,200,000,000 Chairman of the Board Domestic Banking Division, MEMBER R ichard H. N olan H arrigan , FEDERAL D E PO SIT W est, President Senior Vice President in Charge IN SU R A N C E CORPORATION N o r t h w e s t e r n Ban ke r, N o v e m b e r , 1953 34 charges—all at the same time. And the envelopes are all proved automati cally. Needless to say, the five-part carbon form used in making a cycle sort manually is eliminated. There is one more very important factor. The National proof machine automatically counts the number of slips in each cycle. By keeping track of the number of slips we have for each cycle, right up until the time they are mailed out, we know imme diately if a slip is missing. As you may have noted from the description above, we do not break out the credit slips into cycles on the ma chine, but simply put them all into one compartment and one total. We could break them out, of course, but have found that there are so few that it would not be worth while to make a machine job of sorting them. Processing Payments Customers make payments directly to the bank, at any teller’s window. The stub at the top of the customer’s statement is removed, and amount of payment “certified” by National tell er’s machine. At the same time, the amount adds into the “ miscellaneous” total, which is used for no other pur pose. The proof machine operation during the day is this: payments are entered through a key called “charge pay ments,” and the offsetting entry is, of course, either a charge to the teller’s cash or a distribution of the custom er’s check. The charge account department breaks payments down into eight cy cles in the same manner that charges and credits are broken down. A cred it key is used to enter the total from a teller’s machine, and eight debit keys are used for the cycle breakdown. Then the total from the next teller’s ma chine is entered, and so forth. Need- I t vea lli/ sta rted in * / r : When Leduc’s No. 1 well “ blew in” , Canada’s ailing oil industry boomed in spectacular fashion. Since then, oil reserves have increased 25 times, production potential 15 times. In 1952, approximate production was 58,000,000 barrels. PAY M E N T —When the customer makes payment at the bank, both stub and state ment are “ certified” by the National Tell er’s Machine. At the same time, the amount adds into a separate control total for charge account payments. The stub is retained by the bank and used as a posting medium to the customer’s statement and history record card. f si less to say, payments are actually credits, though we use proof machine debit keys to break them out into cycles. Edmonton, "Canada’s Oil Centre” , has been served by Imperial Bank since as early as 1891- There are now seven branches in this city as well as many others providing complete banking services through out the oil areas and accumulating up-to-date information on current conditions, trends and opportunities. We have found that using the proof machine to break down charges, cred its and payments has eliminated ex pensive forms and saved time. But perhaps even more important is the fact that all work is kept in proof and under absolute control at all times. Breaking down cycles by hand as against the proof machine operation is like the “batch” system of distributing deposits compared to a modern proof machine distribution. Cycle billing enables us to accom plish the entire billing job on one National “Class 31” accounting ma chine. A “history record card” like that used by department stores is posted automatically for each custom er as statements are prepared. Cycles prove out exactly to the penny, and without difficulty. LET IMPERIAL BANK KEEP YOU UP-TO-DATE ON CAN ADA! We invite interested U.S. banks to investigate our services as a correspondent bank. Write: Imperial Bank of Canada, Head Office, Toronto IM P E R IA L ' tlte Inm lc th a t seitdem In u ft" IMPERIAL BANK OF CANADA N o r t h w e s t e r n Ban ker, N o v e m b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1953 54-3 We started the charge plan about seven months ago, on March 26th, and have been discriminating in the selec tion of both merchants and customers. We have 66 stores and approximately 5,100 charge accounts so far. This is expected to increase substantially as more and more people become familiar with the plan.—The End. The First N atio n a l B an k of Chicago Statement o f C on dition September 30, 1953 ASSETS Cash and Due from B a n k s ......................................$ 621,031,971.61 United States Government Obligations . . . . 754,160,523.83 Other Bonds and S ecu rities...................................... 142,213,261.25 Loans and D i s c o u n t s .............................................. 1,189,544,002.87 Real Estate (Bank Buildings and Adjacent Property) . 1,928,349.77 Federal Reserve Bank S t o c k ...................................... 5,550,000.00 Customers’ Liability Account of Acceptances . . 2,677,874.28 Interest Earned, not Collected . . . . 7,646,410.31 Other A s s e t s ............................................................. 993,579.89 ,725,745,973.81 LIAB ILITIE S Capital Stock . . . . 90.000, 000.00 95.000, 000.00 S u r p lu s .............................. 7,129, 794.96 Other Undivided Profits . 2,649, 009.76 Discount Collected, but not Earned 1,800, 000.00 Dividends Declared, but Unpaid 30,316, 588.99 Reserve for Taxes, etc. . 35,500, 000.00 Bills Payable . . . . 2,753, 103.79 Liability Account of Acceptances 505,798,356.51 Time Deposits . . . . 1,759,496,912.19 Demand Deposits 195,215,178.29 2,460,510,446.99 Deposits of Public Funds Liabilities other than those above stated ______ 87,029.32 S2,725,745,973.81 United States Government obligations carried at $261,492,717.25 are pledged to secure United States Government and other public deposits, trust deposits, and for other purposes as required or permitted by law. Board of Directors E dw ard E. B rown C hairm an o f the B oard J. D . F a r r i n g t o n P resident, C h ic a g o , R o c k Island and Pacific R ailroad C o m p a n y R . D o u g l a s St u a r t H u g h s t o n M . M c B a in C hairman o f the B oard , M arsh al] F ield & C om pany B entley G . M cC loud D irector, Q u ak er O ats C o m p a n y L o u is W a r e P resident, Intern ational M in erals & C h e m ic a l C o rp . B anker H arry C. M urphy Ja m e s B . F o r g a n V ic e -C h a irm a n o f the B oard W alter M . H eym ann V ice -P re sid e n t H e n r y P. I sham P resid en t, C le a rin g I n dustrial D is tr ic t, I n c . J a m e s S. K n o w l s o n C hairm an o f the B oard and P resid en t, S te w a r t-W a r n e r C o r p . H o m e r J. L i v i n g s t o n P resident P resident, C h ic a g o , B u rlin gton & Q u in c y R ailro ad C o m p a n y C . J. W h ip p l e C hairm an o f the B o a rd , H ib b a rd , Sp en cer, B artlett & C o . L o u is B . N e u m i l l e r P resident, C aterpillar T r a c t o r C o . J a m e s F. O a t e s , Jr . C h airm an , T h e P e op les G a s L ig h t and C o k e C o . J o h n P . W il s o n W ilson & M c llv a in e R o b e r t E . W il s o n C hairm an o f the B oard , Standard O il C o m p a n y (In d ian a) C larence B . R a n d a l l C hairm an, Inland Steel C o m p a n y R obert E . W ood G i l b e r t H . S c r ib n e r W inston & C o m p a n y C hairm an o f the B oard, Sears, R o e b u c k and C o . The First National Bank of Chicago https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, November, 1953 36 CHICKEN LOANS . . . To B a n k ers Ia w r en c e ON A FIELD WAREHOUSE RECEIPT is lik e CERTIFIED o n a c h ec k (Continued from page 21) of feed and water before chicks at all times. The hatcheryman or feed deal er or processor should be sure the grower does not get over-expanded and get more capacity than he can properly finance or care for. 5. The feed dealer, or hatcheryman, or processor should have available the proper technical supervision, make pe riodic checks of the flocks they are feeding. This man should also be trained in some laboratory on the de tection and control of chicken diseases or, in other words, be a “chicken nurse,” so at the first symptoms of disease the losses may be held to a minimum. (i. Growers should be culled very carefully, starting with farmers who own their places and have some live stock, and can at least have some equity, either in cash or collateral, to protect the dealer and bank. Market Outlet Important A G uarantee of INTEGRITY, SECURITY and FACILITY INTEGRITY. The integrity of the Lawrence Warehouse Com pany, expressed for forty years in conscientious service, has won the confidence of bank loan officers throughout the United States, Canada and Mexico. SECURITY. Sound, experienced Lawrence operation is backed up by legal liability and fidelity bonds totaling $1,000,000 at each of our more than 2500 field warehouse locations. This unique bond coverage provides the most comprehensive security available to banks and other receipt holders today. FACILITY. Especially popular with banks is the exclusive Lawrence-IBM Commodity Collateral Report for loan offi cers. This modern, electronic record not only cuts the cost of servicing commodity loans — it also keeps the banker continuously up to date on inventory values. IawrenceWarehouse Company -------NATIONW IDE FIELD W A REH O U SIN G -------3 7 D ru m m 1 0 0 N . La S a lle S t ., C h ic a g o O FF IC E S N oFRASER r t h w e s t e r n Banke r, N o v e m b e r , for Digitized https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis S tre e t, S a n 2 , I II . IN 1953 F ra n c is c o , C a lif o r n ia • 7 9 W a ll S tre e t, N e w Y o rk 5 , N .Y . P R IN C IP A L CITIES 7. Growers should have the best pos sible market outlets at all times, so they can dispose of the broilers at the best price at the proper time. A broiler needs to be sold when he is ready. Holding usually results in loss to all concerned. The broiler business is not always rosy as we have very poor periods in our markets for weeks at a time. No doubt you recall the 18 cent market a year ago last January and February, and March, and also the 21 and 22 cent market we had in 1951 during the holiday sea son for about two months. The aver age cost here is about 23 cents per pound, barring any loss from disease hazards. Before any one finances any com mercially grown chickens, they must determine that the region in which they are located is suitable with re spect to type of grower, cost of land, and buildings and other factors. After having decided that the Ozark regions of northwest Arkansas had met all the qualifications for a good broiler producing area, and seeing the need for some plan of financing, if we ever expanded, I figured out the following plan: Dealer Statement First the dealer must be honest and capable of properly managing a feed and hatchery business, and he must have proper equity or capital in his business so we can afford to help fi nance the deal on a sound basis. If our decisions are favorable thus far, we ask the dealer to furnish us with his financial statement. We analyze the statement and determine his net worth, taking into consideration with his net worth especially the amount t, r. r ¿si? V D o r T BANKS from all parts o f the co u n try h a v e b een H anover Correspondents for o v e r 5 0 years V IrJ^i . Jif?V ------------- — ‘ « „ „ ..... » » A ^ 'B a n k e d C o m p l y ••■ . . 1 didn’t intend to put you good fM s to - cerely appreaate n might K / ’^ ÍÍ li Q Í 7 add, you folks atthe ) some/loW ^ alieaysd » the riekt and nice thtng. TI T U a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E 4 v n V E R H A N K H . A T S O V l i» Memter Federal Depo* France C o x i a n : cp Northwestern Banker, November, 1953 of the liquid assets, and from this analysis we set up a line of credit for the dealer secured by discounting and endorsing notes and chattel mort gages with recourse to the bank. This chicken paper is executed and delivered usually to the dealer at the time the baby chicks are delivered to the grower. The chicken notes are usually secured by the baby chicks, as well as part of any other assets the grower may have, such as cattle or farm machinery. We recommend two cows as additional security, or the equivalent thereof in addition to each 1,000 chicks covered by the mortgage. Advance 50 Per Cent The notes and mortgages are made up on a basis of the anticipated feed cost of raising the chickens for broil er market, which we figure at market value on the basis of say 70 cents per bird. Should the grower have a 10,000 chicken capacity, for example, the dealer would draw the note and chat tel mortgage for $7,000; the dealer, in turn, would take this particular note and chattel to our bank and endorse same over to us with recourse, and our bank would take this paper into our work and advance the dealer 50 per cent of the face amount of the paper or, in this instance, $3,500. We would continue this process with ad ditional paper until the dealer reached the amount agreed upon when we granted him the line of credit. The paper is usually made for 90 days, or In Kansas City ifs City National.. when the chickens are sold, whichever is the sooner. Sometimes with dealers with excep tionally high net worth, and a large amount of liquid assets, we will grant ADEQUATE housing that assures yearround comfort for the chickens is another vital necessity. This structure is typical of modern broiler buildings. him an open line of credit up to a certain amount, then above that agreed amount on the open line, the dealer will discount chicken paper as out lined above up to the amount agreed upon for total line of credit. Upon the basis outlined above the bank has 35 cents per bird in the deal. (Turn to page 40, please) There IS a reason for D ie b o ld superiority inAFTER-HOUR DEPOSITORIES AFTER HOUR rOoi^oUiPi . . . p rov id in g a friendly, experienced group o f officers always interested in p ro m o tin g the business o f your bank and its custom ers. Custom-built— precision engineered— the only depository designed tor customer convenience and bank protection. C ity National I N F E D E R A L C O R P O R A T I O N O R P O R A OHIO P re-em inent Since 1859 D E P O S I T I N S U R A N C E C CANTO N, M E M B E R Kansas City 10, Missouri Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T E D 39 ¿ ¿ ¿ ¿ d e fy BANK BOOKKEEPING MACHINE^ ^ ...b e c a u s e it m eets to d a y ’s need for lo w er costs Operators like the Burroughs because they get more work done and done right, with less effort. Even inexperienced operators quickly gain the skill and speed that make for an efficient, smooth-running bank bookkeeping department. Bankers have judged the thousands of B u rrou gh s Bank B ook k eep in g Machines in use in banks today— and in every case the verdict is the same— faster, more efficient bookkeeping methods . . . greater productivity— fewer errors, less operator fatigue . . . everyday savings in motion, money and manpower. This practical endorsement is under standable because it comes from the men who specified the design and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WHEREVER construction of the Burroughs Bank Bookkeeping Machine. It is the direct result of the advanced features that were recommended by bankers across America and engineered into this fine bookkeeping tool by Burroughs. Your local Burroughs man can show you how this banker-suggested, banker-approved machine can help your bank get more things done faster. Call him today or write Burroughs Corporation, Detroit 32, Michigan. T H E R E ’S B U S IN E S S T H E R E ’S Burroughs Nort hwest ern Banker, November, 19S3 40 CHICKEN LOANS . . . (Continued from page 38) The dealer will have flocks on feed of various ages, thus being sold at different times; therefore, we have a staggered production which gives us an over-all good basis for security on the chickens. We ask the dealer or hatchery man to give credit on his books for the full amount of the note and mortgage made at the time the baby chicks are delivered to the grower. Each time feed is delivered the amount is charged against this account. When the broilers are sold, should the feed bill be insufficient to use all the credit, the dealer makes the ad justment. Just as soon as the broilers are sold, the dealer comes to the bank and pays that particular grower’s note and delivers his note and mortgage back to him. We have an agricultur ally trained man in our bank and, in addition to visiting and working with farmers, he spot-checks the chattels to see that none are sold with note not paid. We finance some growers direct. We secure these loans on the same basis as any other chattel mortgage, which takes considerable more collateral as we do not have the dealer as an en dorser. We require insurance on the chick ens against fire and tornado hazards. DROVERS NATIONAL BANK* PROVIDES A WORLD-WIDE SERVICE for ITS CORRESPONDENTS We do far more than provide fast service on livestock items. We provide a world-wide collections-transit-credit information service for our correspondent banks. Drovers service is friendly and fast. We invite your inquiry about it. * The Drovers National Bank is a direct member o f the Chicago Clearing House Association and the Federal Reserve System. It is one of Chicago's oldest banks, established on February 12, 1883. The dealers usually furnish us with a reporting form policy, with a loss pay able clause in the policy protecting the bank. I do not know of any insur ance you can secure on chicks against disease hazards. The equity of the grower is usually the baby chicks and the facilities for raising the broilers, and the cost of labor involved in raising the birds. Examiners Critical The bank examiners for the first year or two were very critical of our chicken paper. We have had as much as $350,000 in chicken paper at our peak growing periods. Each time when they examined us, they would ask, “How are you getting along with your chicken paper?” 1 would answer, “You can see it is all current and no past due notes.” I reasoned with the examiners and told them the banks in a cotton country loaned on cotton, and a cattle country on cattle, and in a hog country on hogs, and therefore, as we were in a chicken country, if we did much business, we would have to loan on chickens. Lately, they have not said much about our chicken notes. In the past 12 years we have loaned approximately ten million dollars on chickens as outlined above, and to date we have not lost a dime on chicken paper. Of course, some of our dealers have lost money at times, but our dealers pay the bank and work out their deficit with their customers. The key to the whole situation as I see it, in regard to financing broil ers, after taking into consideration the things I have enumerated, is to have the right type of dealer and, in turn, he will select the right type of grow er, and if he is honest and financially responsible, he will take into consider ation that his name is on the back of the notes. I am convinced that broiler paper handled properly in the proper terri tory is one of our best risks.—The End. Instant Appeal! The LEE Bungalow SAVINGS Jdlrovors IlanltS Drovers National Bank and Drovers Trust & Savings Bank UNION STOCK YARDS, CHICAGO 9, ILLINOIS Members, Federal Deposit Insurance Corporation S iz e M a d e o f b r illia n t S t y r e n e P la s t i c . in c o n t r a s t i n g c o l o r s . F in e d e t a ils o f a r e a l h o m e . M o v a b le g a r a g e d o o r , open w in d o w s , f la g s t o n e p a th , sto n e w a ll, g r e e n la w n , s h in g le r o o f , c la p b o a r d s id in g a n d o th e r fe a tu re s. P e rm a n e n t c o lo r s — n o t ju s t p a in t . H o ld s a p p r o x im a t e ly $ 5 0 — c o s t s y o u le s s t h a n 5 0 c e a c h . LA R G E SPA CE Send THE fo r LEE FO R IM P R IN T — IK G O LD li s t o f r e p r e s e n t a t iv e s PLASTIC MFG. CO. 173-175 Lee Ave., Bridgeport, Conn. N o r t h w e s t e r n Banke r, N o v e m b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1953 41 24-HOUR TRANSIT SERVICE Our 24-hour Transit service and air mail dispatch often make funds available days earlier. Many correspondents save valuable time by air mailing all western items to A M E R IC A N T R U ST C O M P A N Y. This 24-hour Transit operation assures you swift service. Our many offices and west-wide relationships offer exceptional facilities for collection. Air mail your West Coast items to A M E R IC A N T R U ST C O M P A N Y, San Francisco. S t a t e m e n t o f C o n d itio n S eptem ber 30, 1953 R E S O U R C E S C ash o n H a n d and in B an ks LIABILITIES $ U . S. G o v e r n m e n r O b lig a t io n s 2 2 6 ,7 6 5 ,3 4 6 .0 1 3 6 3 ,1 8 1 ,7 9 9 .6 3 State, C o u n ty , and M u n ic ip a l B o n d s 5 2 ,8 8 7 ,8 5 3 .9 2 O th e r B o n d s and Securities 2 4 ,9 2 5 ,1 2 5 .2 5 S to c k in Federal R eserve B a n k 1 ,6 5 0 ,0 0 0 .0 0 L o an s and D is c o u n t s 5 7 2 ,7 4 1 ,2 7 9 .5 5 B an k P rem ises and E q u ip m e n t 1 0 ,8 4 8 ,8 1 1 .9 0 O th e r R eal E state 1 .0 0 C u sto m e r s’ L iab ility un der A c ce p ta n ce s 1 ,5 7 1 ,1 7 4 .2 0 A c cru ed Interest R e c e iv a b le and O th e r A sse ts T o ta l R esou rces 7 ,1 2 1 ,0 6 6 .6 8 $ 1 ,2 6 1 ,6 9 2 ,4 5 8 .1 4 D e p o s its $ 1 ,1 7 3 ,0 9 3 ,7 7 2 .1 5 A c ce p ta n ce s O u ts ta n d in g 1 ,6 0 0 ,1 1 9 -9 0 R eserve for U n earn ed D is c o u n t 8 ,0 4 3 ,9 9 4 .6 1 R eserve for Interest, T a xes, etc. 9 ,3 9 9 ,9 8 8 .5 1 O th e r Liabilitie 1 ,5 4 8 ,9 2 6 .9 6 C apital F u n d s: C apital S to c k 20,000,000.00 Surplus 3 5 ,0 0 0 ,0 0 0 .0 0 U n d iv id e d Profits T o ta l Liabilities 13 0 0 5 ,6 5 6 .0 1 $ 1 ,2 6 1 ,6 9 2 ,4 5 8 .1 4 United States Government and other securities carried at $174,464,591-50 are pledged to secure U. S. Government Deposits, other public funds, trust deposits, and for other purposes as required or permitted by law. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, November, 1953 42 How do you get a new schoolhouse? It starts with your local school board—recognizing the need. Then it goes on the ballot. If the voters approve, they authorize issuance of Municipal Bonds to pro vide the necessary money. Next comes the public sale of these bonds. In competitive bidding, a bank or investment dealer usually buys the whole issue, making the building funds immediately available. The bonds are then offered to investors. For 71 years, the Harris Bank has been buying and selling bonds in just this way. Since 1882, we have provided over nine billion dollars for schools, highways, bridges, water systems, sewers, parks and other community improvements in all parts of the country. This part of our business gives us a particularly satisfying feeling, because it helps so many people in so many ways. A community gets the facilities it needs for the betterment of local living. The taxpayers of the community pay for their new facilities over a period of years, thus easing the tax burden without postponing the benefits. And the investors who buy the bonds are pro vided income free from Federal income tax. * * Many banks in every section of the country look to our Investment Department for guidance in the purchase of Municipal Bonds—a field in which we are proud to have played a leading part for more than 70 years. HARRIS Trust O r g a n iz e d as N . W . H a rris & C o ., 1882— In c o rp o r a t e d 1907 and Savings BANK 115 W. MONROE STREET, CHICAGO 90 M em ber Federal R eserve S ystem ...M em ber Federal D eposit Insurance C orporation t h w e s t e r n Ba n ke r, N o v e m b e r , 1953 Digitized N foro rFRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 43 IN VESTM EN TS ;a^.' Ü *- -'/■ r A dm inistration M alting Tow ard a Ha hi n edHudget Federal Reserve Now Offering Reserves to the Banking System Before They Are Needed, and Not Waiting Until the Demand Becomes Great By RAYMOND TRIGGER Investment Analyst New York City HE sharp rise that developed last month in the bond market in gen eral and in the government securi ties market in particular is raising some pointed questions. It was bound to. The secondary market rally that surged up in late September carried the price of the much-buffeted new is sue of Treasury S^s to over 103, near ly five points above the below-par level which it touched in the jittery market of the late spring. Recoveries of like extent were staged by the issues of long-term 2%s, with the bank-eligible 2%s of 1972-1967 at last recapturing a rank equal with the restricted Victory issue due the same year. In the field of Treasury one-year paper, the new est issues of certificates of indebted ness rose to premiums of more than five-eighths of one point above issue price, while the new 2% per cent notes due in 1957 went to a premium of 1% points. Even more striking was the progres sive easing of short-dated investments, with the 91-day discount bills going to a yield of 1.3 per cent, the lowest since the Federal Reserve-Treasury “accord market” of March, 1951; and more than a full 1 per cent below bill yields reg istered in the fall of last year. Of most significance, perhaps, was the Treasury’s action in supplanting its Series B nonmarketable tax savings notes with a new series offering yields ranging from 1.56 per cent for six months to 2.21 per cent for two years. The yields on the withdrawn issue had ranged from 2.16 per cent to 2.47 per cent. Heavy switching out of bills into the Series B notes made it necessary for the Treasury to withdraw the May issue. As yields on the marketable bills plunged toward IV2 per cent, the old series of savings notes became a double embarrassment. Not only was the borrowing costing the Treasury T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis too much money, but there was always the possibility that the Treasury, al ready crowding its statutory debt lim it, might be swamped overnight with vast subscriptions to the notes of the May series. Market Movement The market’s movement since Labor Day has been a most drastic, if not be wildering, performance for the world’s top-rated basic investments, especially in remembrance of its plunge in the opposite direction in the late spring. Divergent theories are being put forth to account for it. The extremes of these theories may be summed up as follows: (1) The Treasury and the Federal Reserve System, chastened by the dis quieting decline in the market last spring, have had a change of heart, and despite continued lip-service to a “new deal” in “sound money,” they are back at the old “populist” stand promoting in the market a constant bias to cheap money and higher bond prices. To further this bias, the Re serve is willingly furnishing “streams of bank reserves” on which the Treas ury can float its deficit or other finan cings. The only threat to an indefi nite maintenance of this money anes thesia over the national economy would be a sudden new booming of industrial production and of credit ex pansion to proportions beyond the re sources of the capital and consumer markets. (2) Essentially, the adjustment is only a perfunctory change in the eco nomic climate. The nation’s industrial plant is at last relaxing after years of overwork and the change—a change evidenced by a slowdown in the sea sonal fall expansion of bank loans— had to be felt in the bond market. As the demand for capital slackened, mar ket yields were bound to fall and prices bound to rise. That prices rose so sharply in late September is only a testimonial to the thinness of the postwar market for government se curities. The secondary price rally this autumn likely was overdone, just as the spring decline. As technicians of the Federal Reserve, the Treasury and the private bond houses become more adept at maintaining a free mar ket for the war-swollen public debt, it would be reasonable to expect an abatement of the wide price swings such as took place this year right be fore and after the summer. Change in Economy The truth probably lies somewhere between these extremes. Unquestion ably there has been a change in the national economy in the form of a vis ible slowdown both in business activ ity and in the seasonal demand for industrial credit. And there has been a change in the official policy about money management. But both shifts, upon close examination, would seem to be superficial, not radical, and tran sient, rather than lasting. They do not point, necessarily, to either a busi ness “depression” or to an abandonNorthwestern Banker , November, 1953 44 Investments merit of the “honest money” objectives professed by the Eisenhower Admin istration and spokesmen for the cen tral bank. The change in the Treasury’s atti tude toward the market is best evi denced by its readiness to undertake substantial new-money financing in the short-term market, despite the heavy concentration of public debt payable within one year. The change in the Federal’s attitude is shown by its continued open market purchases of Treasury securities despite the growing likelihood that the annual fall expansion of business activity will fall measurably below that of last year. It must be kept in mind, however, that the Treasury, professedly, is not abandoning its plans for stretching out the maturity of the public debt by re fundings into long-term issues. And that the Federal’s open-market pur chases last month and this were made with due consideration being given to the fact that the Treasury is about to raise from $1,500,000,000 to $2,000,000,000 more of new money in the market to finance the current deficit. Perhaps the most meaningful change in the Federal’s practices is its zealousness to furnish needed reserves to the bank ing system before they are needed, in stead of grudgingly, and after the re serves were needed, as was the case last spring. Administration Progress Another consideration of signifi cance is the fact that the Eisenhower Administration in its first year in office seems to be making substantial prog ress toward its professed goal of a Municipal Bonds FI RST OF IOWA CORPORATION Des Moines 9, Iowa 200 Equitable Building Phone 4-7158 M utual Funds M U T U A L , IN C . A n open-end management type mutual fund diversifying its invest ments am ong com m on stocks, preferred stocks and bonds. S E L E C T I V E F U N D , IN C . __. An open-end m anagem ent typ e m utual fund diversifying its investments am ong bonds, preferred stocks, and other senior securities. C S / t / Y i r f f ' / ' ) S T O C K F U N D , IN C . A n open-end management typ e m utual fund diversifying its invest ments among com m on stocks and other equity securities. Fa ce Amount C ertifica te C om pany ______ __ S Y N D I C A T E O F A M E R I C A . IN C . A fa ce am ount certificate com pany issuing installm ent certificates o f 6, 10, 15 and 20 year m aturities and single paym ent face am ount certificates. This is not an offer to sell these securities. T h ey are subject to the registration and prospectus requirements o f the Federal Securities A ct. Inform ation about the issuer, the securities and the circum stances o f the offering is contained in the prospectus which must be given to the buyer. Copies o f the prospectus relating to the shares o f capital stock or certificates o f the above com panies m ay be obtained from the national distributor and invest m ent manager: 251 Roanoke Building " M inneapolis 2 , Minnesota Please send me the prospectus relating to the company I have checked: □ Investors Mutual, Inc. N A M E .................................................................................................... □ Investors Stock Fund, Inc. AD D RESS □ Investors Selective Fund, Inc. □ Investors Syndicate o f Am erica,Inc. C I T Y ............................................................................................................ Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis balanced budget. If this goal is achieved by the next congressional appropriations and tax legislation, the money managers will no longer be be deviled by a Treasury deficit having to be financed in a capital market heavily beset by the requisitions of an expanding private enterprise econ omy. In appraising the likely course of official money policy, it is a sound practice not to rely altogether on the public statements of the responsible authorities, but to keep testing what is being preached against what is be ing practiced in the marketplace. How ever, the testing goes both ways, too. In watching what is unfolding in the market, it must be kept in mind that full patterns are not always deducible from the first meanderings of threads. And that it is likewise good policy to test back the seeming pattern against the public professions of intent. At the Washington convention of the American Bankers Association state ments of pointed meaning to all pro fessional investors and especially to banks were made by Secretary of the Treasury George Humphrey and J. L. Robertson, a member of the Fed eral Reserve Board. Mr. Humphrey said, “We must ap proach our objective cautiously, but resolutely, and always press toward it . . . the balance between the money and credit supply and the actual flow of goods is best maintained by letting the price of money rise and fall with the demand for money. At the same time, our Federal Reserve System can and should use its powers to keep the market for credit orderly and to avoid excesses in either direction, to avoid either inflation or deflation. . . . The Federal Reserve has a good money pol icy. It is free to allow the demand for money to have its normal and nat ural effect and to supply funds to keep pace with the normal growth. . . . It is our firm intention to offer more intermediate and long-term issues at opportune times in the future. We will use care not to press the market in competition with state, municipal and private financing.” Reserve Board Governor Robertson said, “The choice is not between high and low interest rates. The choice is between (1) letting interest rates rise and fall through the interplay of the demand for credit and a supply attuned to economic needs; and (2) on the oth er side, expanding the supply of credit to drive down—or hold down—inter est rates, even though the excess cred it thus created accomplishes nothing except a rise in prices. We have chosen the first course in the belief that it is in the interest of the people as a whole.”—The End. 45 V IM It KCTOItS "SEES:, * ~ CLINTON R. BLACK, JR. R. Black, Jr. President, C. M A N 1JF A C T U R E R S c. |p ■ T rap J ^ W -J 5^ B Corporation ms m ± m m ■) 1wB * w r y*7 JL EDGAK S. BLOOM Director, Mew York and Cuba Mail Steamship Company n ALVIN C. BRUSH l lo LO T U ieH S ed 0 Chairman, American Home Products Corporation . _ S ta tem en t . O) .. . L o ild ltW ll September 30, 19o3 CHARLESC. CLOUGH LOU K. CRANDALL President, George A. Fuller Company H E S O .R C E S CaSh and Dl.e from Banks . . . $ 758,266,534.85 U. S. Government Securities . . . 750,865,789.98 U. S. Government Insured F. H. A. M o r t g a g e s ................................... 77.819,118.10 0 0 State. Municipal and Public Securities 133,761,880.48 Stock of Federal Reserve Bank . . 4,511,700.00 Other S ecu rities.............................. 26,800,048.77 Loans, Bills Purchased and Bankers’ Acceptances................................... 1,008.844,795.73 M o rtg a g e s....................................... 12,560.194.48 ^ Banking H o u s e s .............................. 14,371,004.58 Customers’ Liability for Acceptances 11,950,590.38 Accrued Interest and Other Resources 7,003,720.80 QOG '70!“ 97Q l !“ $2,806, / 00,3 , O. Id CHARLES A. DANA Chairman, Dana Corporation Horace c. k lam ga n john m . kkan kun President, United States i.ines com pany joiin g em m ell , jr . Ciyde Estates paolino gerli President, Gerii &Co., inc. to.LN L. iohnston Director, Phillips Petroleum Company " ' s i m i a n \ h Z Z S& B a n ie tt KENNETH F. MacLELLAN President, United Biscuit Company of America JOHN T. MADDEN President, Emigrant Industrial Savings Bank J f %B I I I HT1IE i02 - d ^ j ^ . M a Suire& Co- lnc■ geokge v. McLaughlin Capital . . . . $ 50,390,000.00 Surplus . . . . 100,000,000.00 Undivided Profits . 27,291,407.78 --------------------Reserves for Taxes Vice ('hairman Triborough Bridge and Tunnel Authority c. k . palm er Director, d u e t t Peabody ceorge Unearned Discount, Interest, etc. . Dividend Payable October 15, 1953 Outstanding Acceptances . . . Liability as Endorser on Acceptances and Foreign B i l l s ......................... Other L ia b ilitie s .............................. Deposits ............................................. &Co., me. j. pa 11 erson &Lehigh President, Scranton coa l Co. w illiam g. rabe Chairman, Trust Committee HAROLD c. RICHARD Netv York City HAROLD V. SMITH $ 177,681,407.78 22,258,445.45 1,763,650.00 12.670,547.26 16.588,980.04 1.960,112.48 2,573.862.235.14 ----------------------- $2,806,785,378.15 President, Home Insurance Co. vam ra\ifi L. A. VAN t>U.ILL United States Government and other Securities carried at $157,783,229.40 are pledged to secure public funds and trust deposits and for other purposes as required or permitted by law. Chairman, National Dairy Products Corporation HENRY C. VON ELM Honorary chairman Head Office: 55 Broad Street, New York City GEORGE G. WALKER MOKE THAIS IWO OFFICES 1IS 4, It EAT E 1C XKW YORK M e m b er Federal Deposit Insurance Corporation Electric Bond and Share Co. . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A. Northwestern Banker, November, I95Î ^ T * « * * 1'*et ¿T ' iw LEGAL LIABILITY BOND $ 1 ,0 0 0 ,0 0 0 .0 0 •'°'*4'' | Legal Liability . behind every WAREHOUSE RECEIPT TERM INAL RESOURCES over $ 4 ,5 0 0 , 0 0 0 . 0 0 ( i ) the most modern, extensive field warehous ing service, (2) sound financial resources, and (3) the most complete and comprehensive bond coverage. W e can help you to extend accommodations to Offices in Principal Cities Des Moines Office 511 lowa-Des Moines National Bank Bldg. George V. Mickelsen, District Mgr. 2-1208 Omaha Office 312 Electric Bldg. W. H. Otto, District Mgr. Atlantic 7190 valued customers in excess of open-credit limits —-with the protection of sound and dependable collateral. Experts in every phase of inventory loan procedure, we inspect, organize, supervise and control inventory— and convert it to highly preferred collateral for you. ST. PAUL TER M IN A L W A R EH O U SE CO Digitized Northwestern for FRASER Banker, November, T953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 425 EAST 8th STREET ST, PAUL, MINNESOTA 47 IN S U R A N C E f# o A m erica ns W a n t L ow er In su ran ce H ates? Questionable, Says This Insurance Executive, Who Believes Americans Reluctant to Pay the Price of Safer Driving By JOHN W. GUNN Chairman of the Board Employers Mutual Casualty Co. Des Moines, Iowa E SEE much these days in the insurance papers and also in the general press concerning the cost of automobile insurance. Ev eryone seems to think that it is too high. Some say that the companies are pricing themselves out of the mar ket, like the butter producers, and that some substitute like oleo will take over our market if we don’t watch out. The suggested substitute, of course, is state insurance. Agents and public critics alike say that high rates are not the answer to our problem, and that some thing must be done to lower the cost of accidents, or people will rebel against private insurance. For a generation, at least, the Amer ican people have been horrified by the terrific loss of life and property result ing from highway accidents. For years the National Safety Council and hun dreds of local organizations have con ducted safety campaigns, coined safety slogans, published safe driving advice and broadcast warnings, appeals and imprecations. W Warnings to All Insurance companies, newspapers, radio stations, automobile clubs and service clubs nation-wide have adopted the cause of automobile accident pre vention, spending millions of dollars in their efforts. Educators, ministers and public officials have thundered from their rostrums and pulpits. Fa thers have warned their children, wives have warned their husbands and policemen have warned every body. In short, everyone talks about safe ty. But, as in the case of the weather, no one has done anything significant about it. If 1953 continues as it has begun, we will set a new high record in automobile accidents and fatalities this year. Probably more than 39,000 people will die contributing to it. No adult American driver can truth fully say that he doesn’t know how to drive safely, and how to avoid acci dents. Very few people want to kill their fellow drivers, and still fewer choose their automobile as a means of committing suicide. Then why, if we don’t want to have accidents, and we know how to avoid them, do we con tinue to have them? Are we like the arctic lemmings, who are moved pe riodically by an instinct of self-de struction to plunge blindly over cliffs into the sea? That does not seem rea sonable if, as we have been told, selfpreservation is the first law of nature. We do not believe that the American people are collectively going insane, despite the obvious inference from our highway record. What is the answer? Answer Is in Discipline We believe the answer lies in the American habit of resisting discipline. As a people, we don’t like to be “pushed around,” as we call it. We don’t mind seeing the other fellow dis ciplined if it is for the common good, but somehow we like to believe that Scarborough’s Loss Prevention program will save your bank many headaches and many dollars. It is yours along with the broadest protection at the lowest cost. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis | | JOH N W . GUNN we are capable of running our own lives as we see fit. The truth of the matter is, we don’t want highway safe ty if it means giving up our own indi vidual freedom to do as we please. We are consciously proud of being a free people, and we are not averse to living dangerously, if that is the price of freedom. How many of us would be willing, under pain of imprisonment in jail, to always observe the following safe driv ing maxims? 1. Never to get behind the wheel after a drink of beer or spirits. 2. Never to drive faster than 40 miles per hour. 3. Never to take our eyes off the road to look at the scenery, a bill board, a Burma Shave jingle, or a pretty girl. 4. Never to pass a vehicle without a long, clear view ahead. 5. Never to park in a prohibited zone, no matter how urgent our business near by. 6. Never to let our annoyance at an other driver cause us to do some thing foolish. These are only a few things that cause accidents, yet the observance of them is the price of safety. Do we really want to pay that price? Sure, we want the other fellow to do it, but do we want to do it ourselves? Do we want safety, after all? We can have it if we want it. All Scarborough & Company Insurance Counselors to Banks F IR S T N A T IO N A L B A N K B U IL D IN G . C H IC A G O 3 , IL L IN O IS . STale 2 - 4 3 2 5 Nort hwest ern Banker, November, 1953 48 Insurance we have to do is stop talking about it, and do something; and that something is rather simple. It has been available to us for many years. All we have to do, individually, is to obey to the let ter our motor vehicle laws. All we have to do collectively is to insist that judges apply the maximum pen alty in every case of conviction under those laws. In other words, we need only to believe that our traffic laws were meant to be obeyed, and to be sure that every other driver believes likewise. For those who won’t be con vinced without a jail sentence, we must be ready to send them there to think it over. r We don’t need a traffic cop in every block or a patrolman in every mile of highway. We simply need self-disci pline for the majority, and the exam ple of certain, severe punishment for the minority who will not discipline themselves. Don’t you think that if you went to jail for one year for driv ing after a “couple of beers” that your friends and neighbors would quit such foolishness pronto? If your son were put away for six months for reckless dirving and fined $1,000, don’t you think his young friends would drive with some discretion thereafter? Sounds Harsh We suspect that this simple remedy ■A That New MORTGAGE PROTECTION PLAN Real sounds very harsh when we apply it to ourselves. Are we, after all. ready to apply it? Do we, after all, want safety on the highways? We seriously question it, or we would have had it long since. There has been too much emphasis, in our opinion, upon safety campaigns, safety education, and upon continual talk about the subject. If talk would bring about an end to our highway slaughter, we would have very few ac cidents today. At this late date, more talk is rather futile. What we need is action. The American people can have safe highways, and much lower insurance rates, if they really want them. Do they? Do you? —The End. Heads Credit Division LOAN BUILDER William H. Muhl was named vice president in charge of the credit in surance division, North Central Life Insurance Company, President Theo dore S. Sanborn announced. “ This position was made necessary due to the rapid expansion of our com- Bankers who have seen it agree . . . here is one of the finest mortgage protection plans of all. It provides maximum protection to you and your customers at minimum costs. In fact, the net cost in most cases is only a fraction of one per cent per year for the duration of the mortgage. It's ''tailor-made'' to fit your customers' needs. Let us give you the complete story. WRITE FOR DETAILS NOW . . . B ANK E R S S E C U R I T Y LIFE I NS U R A NC E S O C I E T Y LIFE DEPARTMENT DES MOINES 7. IOWA N. J Fire Extended Coverage Inland Marine Automobile W I L L I A M H. M U H L W ith North Central L ife OVER 50 YEARS OF DEPENDABLE S E R V IC E WRITE US ABOUT OUR AGENCY CONTRACTS! W e have some choice agency openings . . . You’ ll like our liberal Agency Contract! Authorized in lotva, Nebraska, South Dakota Established in 1 9 0 0 ... Mutual Fire and Automobile Insurance Company HOME OFFICE N o r t h w e s t e r n Banke r, N o v e m b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1953 CEDAR RAPIDS, IOWA pany in recent years,” Mr. Sanborn said. During each of the past three years North Central’s sales have more than doubled, and the first three quar ters of 1953 have already seen last year’s sales doubled. So far during 1953 the company has paid for more than $12,000,000 of life insurance in addition to the disability coverage placed in force. All of this business was written in the north central states.” As vice president, Mr. Muhl will as sume a greater share of the company’s increased administrative responsibili ties while continuing to direct the development of the company’s direct insurance division. Insurance 1st rtf S t. P a u l fv n tv n n ia i Ends OPEN HOUSE —’When the First of St. Paul announced a three-day public open house as one of the closing attractions of its Centennial year observance, congratulatory flowers came from friends of the bank all over the country. Some of them, are shown here on a huge stage in the center of the First’s main banking floor. C ENTENNIAL year for the First National Bank of Saint Paul is over, as far as the observance phase of it goes. Now the First is reflecting on the first nine months of 1953 and wondering how so much observance could possibly have been crowded into that period. Keynote of the observance was a Centennial medallion, a well-done bronze affair suitably inscribed. It was developed in various forms for various uses and thousands of them were distributed during the 1953 Centenial year. Many other items came off the Centennial production line to remind the public and the banking world that the First was 100 years old. First public announcement of the impending Centennial year was made in Christmas greeting cards and a full page Christmas greeting in the local newspapers in December of 1952 “ on the eve of the Centennial.” This was followed by a series of news stories, feature articles and advertisements in local newspaper, radio, TV, billboards and banking magazines. But all these things were almost incidentals. There were bigger things. The first, in a rather constant nine months series of luncheons, dinners and parties, was an employes’ Centen nial party the evening of January 13th, when all the bank’s staff gath ered in a local hotel for dinner, skits that good naturedly lampooned the bank, and dancing. The event was handled in its entirety by the em ployes. As time went on there were special https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis group tours, special group luncheons, a bankers’ sons and daughters lunch eon, flower shows, a Red River ox cart parade through the city’s loop one noon hour, an employes’ doll dress- 49 ing contest, and luncheon club pro grams. When customers came to the bank on January 5th there was an 18 by 24 foot stage in the center of the First’s block-long banking floor, and on it a Centennial exhibit present ing items contemporary to the bank’s early days. It was the first of nine monthly exhibits carrying the Centen nial theme. The grand finale, toward which ev erything had been aimed since the first Centennial announcement, came in September with a Centennial edi tion of the bank’s house organ, a fourpage rotogravure section, an employes’ open house, a three-clay public open house, three days of luncheons for business men and women of the city, and a Centennial observance closing ceremony on the banking floor, with the well-known Meredith Willson as master of ceremonies. Approximately 400 persons a day at tended the luncheons for the business men and women, and Mr. Willson, in the closing ceremony, interviewed Philip L. Ray, chairman of the First’s executive committee; Richard C. Lilly, chairman of the board; Julian B. Baird, president, and Parker Paine, grand son of the Parker Paine who in 1853 established on Third Street in St. Paul the bank that was the forerunner of the First National.—The End. FLOO A SAINT PAU BANKER’ BLANKE BOND WITH <ll! E X T E N D E* D$ L.,;'i î Iv- s' 1 =- COVERAGE lost c o m p r e h e n s iv e c o v e r a g e y o u c a n h a v e ■ ■ c e l l e d cla im s e r v i c e YOUR SAINT PAU L A G E N T TODAY Nort hwest ern Banker, November, 1953 50 Insurance BANKERS YOU KNOW . . . (Continued from page 24) Cody, whom he states was one of the nation’s greatest showmen and was victimized at the end of his career by associates. The railroad in 1869 soon stopped travel on the Trail. In 1872, the family moved to North Platte, with young William whacking bulls, and as he recalls now, “ 1 could see the town kids eyeing me and 1 really popped the bull whip to impress them.” Young Bill McDonald’s education began in a school dugout in Cotton wood Canyon. Later he moved to a log school at the fort, attended a pri vate school in Omaha during 1868 and 1869, and then went on to schools in North Platte. After that lie went to Lincoln University in Lincoln, Illi nois, and Bailey’s Great Commercial College at Keokuk, Iowa. F ire On January 2, 1878, Charles Mc Donald purchased the interest of Lester Walker in the banking firm of Walker Brothers, in North Platte, the new firm being known as Mc Donald and Walker. On November 8, 1878, James C. Walker sold his interest to his partner and the firm became the Banking House of Charles McDonald, with William H. McDon ald becoming associated with his father at that time. Later, on January 3, 1902, the bank was incorporated under Nebraska laws as the McDon ald State Bank, its present name. The elder McDonald was president from 1878 until his death at the age of 93 in 1919. He was succeeded by his son, Mr. “ Mac” serving as presi dent until 1926, and as chairman of the hoard since then. This year, the McDonald State Bank is observing its 75th anniversary of founding and it has the unique distinction of having And Extended Coverages N O W BEING WRITTEN BY IO W A ALLIED MUTUAL AGENTS ALONG WITH AUTOMOBILE, WORKMEN'S COMPENSATION and PUBLIC LIABILITY LINES A LLIE D M U TU A L CASUALTY COMPANY Harold S. Evans, President 4th and Park Streets Digitized Northwestern for FRASER Ban ker, N o v e m b e r , 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Des Moines 9, Iowa as chairman of the board a man who has been with the bank since its organization three-quarters of a cen tury ago. He still presides at all board meetings. J. Y. Castle, now president, is only the fifth man to hold that office in the bank. In all, Charles McDonald had five sons and two daughters. In addition to Mr. “ Mac,” only one brother sur vives, James Boyd McDonald, who lives in Omaha and is a director of the McDonald State Bank. William McDonald was married to Minnie Belton on June 16, 1886. They had one daughter, Miss Janet, who still lives with her father at the family home in North Platte. This home has a wealth of historical references in it and any evening Mr. “ Mac” and Miss Janet may he found giving of their information to some high school student or reporter from a distance. A past president of the North Platte Chamber of Commerce, he has always interested himself in com munity affairs. He was chosen to cut the ribbon completing the last gap of the Lincoln Highway in Nebraska. He attended the American Bankers Association convention in Kansas City in 1889. The Nebraska delegation at this meeting formed the Nebraska Bankers Association in 1891. He has since missed only four conventions of the Nebraska Bankers Association, and is a familiar figure to both young and old bankers throughout the state. He is a short, wiry individual, quick of speech and action. He is 5 feet 7 inches tall and his active weight was 140 pounds. He is a 32nd degree Mason, a Shrill er, a member of the Elks, and is the next to the oldest living member of Tangier Temple, Shrine, in Omaha. A natural question in the minds of all those who meet or read about Mr. “ Mac” is, “ How does he compare those early years with the present, what does he think of current busi ness and world conditions in view of his years of experience?” Looking back on the eventful years that have slipped by since his boy hood on the Nebraska prairies, Mr. “ Mac” tells us, “ Have no fears of the immediate future because during my active life 1 have seen really tough times when drouth, discontent, weak government and panic gave us bad problems. With everyone working, plenty of money, and plenty of pro duction, how can we have deep con cern? All we have to do is hold our heads and act reasonably in all our dealings.” It is such a true pioneer spirit, still looking to the future, that assures this country of future progress. Insurance A tte n d O ne-ïïhiy C on ferenHeads ce Garold Preston Office Weasmer of Preston, Iowa, is the new assistant cashier in charge of the Preston office of the Farmers Savings Bank of Spragueville. SPECIALIZING IN AUTOMOBILE FIRE WINDSTORM CONFERENCE — In a recent one-day meeting of its correspondent bankers from a 13-state area, the City National Bank and Trust Company of Kansas City gave the 774 in attendance a program of speakers jammed with a goodly supply of “ take home” ideas. After a welcome by R. Crosby Kemper, City National president, the guests heard Aubrey G. Lanston, president of Aubrey G. Lanston & Company, Inc., New York invest ment firm, discuss the “ General Investment Outlook.” In this talk he said he does not feel that there will be a return to the pegged market, with which view the Federal Reserve and the Treasury apparently see eye to eye. Other speakers on the program included Charles G. Young, Jr., vice president and trust officer of City National, who outlined “ Recent Developments in Retirement Plans for Banks.” A good share of the afternoon was taken up with a spirited panel discussion of the livestock situation from the grange to the range. J. Milton Freeland, vice presi dent of City National, was moderator, assisted by Claude K. McCan, chairman of the Victoria National, Victoria, Texas, and one of the southwest’s larger cattle producers; Maurice Johnson, vice president and sales manager, Staley Milling Company, Kansas City, and Cliff J. Kaney, president of Swift and Henry Livestock Commission company, Kansas City. The closing speaker was Fred G. Gurley, president of the Atchison, Topeka and Santa Fe Railway Company, Chicago. Pictured above in photographs taken at the meeting are, left to right (in photo at le ft): Mr. Kemper, Mr. Gurley and Mr. Lanston; and in photo at right, Dale Ainsworth, vice president, City National, and Frank Farris, president, American State Bank, Oswego, Kansas. I NS URANCE CENTRAL STATES MUTUAL INSURANCE ASSOCIATION Mt. Pleasant, Iowa E. A. HAYES President O. T. WILSON Secretary E s t a b lis h e d in 7 9 2 9 Bank Officer Honored Directors and officers of Missouri’s largest bank, the Mercantile Trust Company of St. Louis, honored Hord Hardin, their executive vice president, at a testimonial banquet last month. The occasion was the 50th anniversary COLORADO INSURANCE GROUP I n s u r a n c e f o r F in a n c ia l I n s titu tio n s "Pays When Your Borrowers Can't" Sidney Maestre, right, chairman of the board, Mercantile Trust Company of St. Louis, presents a silver service and scroll to Hord Hardin, executive vice president of Mercantile. Mrs. Hardin looks on. of Mr. Hardin’s devotion to the bank ing profession. Hord Hardin, recognized as one of the foremost credit experts in the United States, began his banking ca reer as an office boy with the Missis sippi Valley Trust Company on Octo ber 3, 1903. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 51 ALLEN J. LEFFERDINK C.L.U. PRESIDENT N o r t h w e s t e r n Ban ker, N o v e m b e r , 1953 Recordak Junior Micron'"*' The Recordak Commercial Microfilmer The Recordak Triplex Microfilmer .................liinnifirmnwirnn~- ' R egardless of the size of your bank— for even the smallest banks to realize sav large, small or anywhere in between ings— over and above all microfilming — you’re sure to find a Recordak Micro costs— which are proportionate to those filmer that will give you the advantages o f realized by the largest Recordak users. modern microfilming at lowest cost. A n d y o u can b u y or rent y o u r Recordak This is possible because Recordak doesn’t manufacture just one microfilmer— or two. M icrofdm er, as yo u please. ■f -f i Instead you’ll find a versatile line of high- For complete details, write Recordak precision machines designed with all banks , Corporation (Subsidiary o f E astm an all requirements , all budgets in mind. Kodak Company), 444 Madison Avenue, Thus, Recordak has made it possible https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis New York 22, N . Y . Remember these extra values, too — RECORDAK specializes in microfilming only . . . has been analyzing the needs of banks of every size for 25 years. A nation-wide staff of specialists is always at your call. RECORDAK film, lenses, and microfilmers are made by Kodak . . . assurance in itself of top quality and performance. RECORDAK maintains 26 conveniently located film processing stations. Your microfilms are processed the same day they are received by skilled specialists using high-speed professional equipment. RECORDAK gives prompt Free Facsimile Service to all customers whose transit letters are lost or destroyed en route. “ Recordak” is a trade-mark 1928 (Subsidiary o f Eastman K o d a k Com pa ny) originator of modern microfilming — and its application to banking systems https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 54 m r m J : |í t a k e s EXTRA r EFFORT f mm í. to reach the top of a challenging peak. Rapid Credit Information The prompt and efficient fulfillment of your correspondent banking requirements often takes extra effort, too . . . the kind you can count on at Chemical Bank & Trust Com pany. It is traditional for “ Old Bullion” to go all the way to serve you better. In addition to complete facilities, Chemical offers you the skill of long experience to help you build revenues by satisfying your customers’ every banking need. Yes, you can call on Chem ical with confidence. 24-Hour Transit Dealings in Government and Municipal Bonds Safekeeping Facilities Portfolio Analysis World Wide Banking Fast Wire Service Experienced Consultation C h e m ic a l Ba n k DigitizedNorthwestern for FRASER Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis & TRUST COMPANY FOUNDED 1824 165 B R O A D W A Y , N E W Y O R K 15 M e m b e r F e d e r a l D e p o s it In s u r a n c e C o r p o r a t io n 55 turity, will pay the holders 2 per cent interest. Duluth banks have been paying 1 per cent on regular savings accounts, in which the deposits are being made available on demand, and also have been accepting longer term money on one-year certificates of deposit at the rate of 1% per cent. Named Cashier Division Meeting The Farmers and Merchants State Bank officers and their wives and bank force attended the annual meeting and banquet of the Southwest Division, Minnesota Bankers Association at Worthington, Minnesota. A record crowd was in attendance. Two hundred and ninety-six steak dinners were served following a social hour at the Worthington Country Club. V. L. Kirk, cashier, State Bank of Worthington, was elected president; J. L. Ekse, cashier, Farmers and Mer chants State Bank of Ruthton, was elected vice president; Harry N. Dirks, Farmers and Merchants State Bank of Minneota, was elected secretarytreasurer. Has Birthday J. C. Miller, president of the First National Bank of Bertha, Minnesota, observed his 91st birthday recently. The venerable banker is in his 55th year in that profession and daily puts in an appearance at the bank to at tend to his work. With Mr. and Mrs. J. B. Gebhard, Mr. Miller organized the State Bank of Bertha and in 1902 the name was changed to the First National Bank of Bertha. with the Union State Bank of Montivedio, Minnesota, for the past five and one-half years. Meet in Le Center At a meeting of the Le Sueur Coun ty Bankers Association held at Le Center, Minnesota, officers were elect ed for the ensuing year. They are: G. F. Parkos, First National Bank, New Prague, president; Wm. N. Kennedy, cashier, Elysian State Bank, vice pres ident, and Quinton Peterson of the Le Seuer State Bank, secretary and treasurer. The late F. B. Strom was president of the county association at the time of his death. New Savings Plan Announcement was made that all Duluth, Minnesota, banks will offer to their customers two-year savings certificates which, when held to ma Carl V. Lind of Crookston has been named cashier of the First State Bank of Mabel, Minnesota, to succeed C. S. Johnson. Mr. Lind and his family moved to Mabel October 15th. He was to take over active manage ment of the bank November 1st, when Mr. Johnson leaves for Hokah to take charge of the Commercial State Bank which he organized two years ago. Buys School Bonds The Eveleth, Minnesota, First Na tional Bank was the successful bidder on the $85,000 School Rehabilitation bonds with a bid of 2.75 per cent. They offered a premium of $12.50. The bonds will run for a span of 10 years, with the last installment due December 31, 1962. The proceeds from the sale of the bonds will be used for a number of projects by the board of education. it tulli ituifs tta b y itv v f County Meeting The annual meeting of the Fillmore, Minnesota, County Bankers Associa tion was held at Preston last month. The following officers were elected for the ensuing year: Charles Da h ling, First National Bank, Harmony, president. K. L. Churchill, First National Bank, Spring Valley, vice president. Elmer Anderson, Ostrander, secre tary. E. H. White, First National Bank, Mabel, treasurer. New Assistant Cashier G. W. Milne, president of the Guar anty State Bank and Trust Company, St. Cloud, Minnesota, has announced that at a recent meeting of the board of directors, Douglas M. Johnson was elected to the position of assistant cashier. Mr. Johnson has been connected https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BA B Y BEEF — This fine 885-pound Hereford steer went on the auction block at the 1953 Minnesota Junior Livestock Show and brought $336 to its owner, Robert Ulland of Corning, northwest of Austin, Minnesota. Purchaser of the prize animal was First National Bank o f Minneapolis, and George S. Henry and Richard S. Banfield, vice presi dents of the bank, are pictured left to right above with young Ulland. Obtained origi nally from Dr. J. H. Hoeven of Aberdeen, South Dakota, the steer was reared from calfhood by Ulland and won the Freeborn County 4-H championship this year. Nort hwest ern Banker, November, 1953 56 T HE village of Crystal, Minneapolis suburb, is awaiting word from the Minnesota State Commerce Commis sion on its recent application for a bank in that community. About 25 residents rode a chartered bus to a hearing before the commis sion. Incorporators of the bank seek ing the charter are Herbert K. Walker, Hobert J. Bronstad and Ralph Benethum of Crystal. They were repre sented at the hearing by State Senator Raymond J. Julkowski, Minneapolis attorney. * * * Rollin G. Andrews, Minneapolis in vestment banker, active in Minneap olis civic groups, has been re-elected to one presidency and named to an other top post. Mr. Andrews was returned to the position of president of the First Universalist Church of Minneapolis at the annual meeting of the congregation. He also was elected chairman of the Minneapolis and Hennepin county chapter of the American Red Cross, succeeding Arnulf Ueland, president of the Midland National Bank of Min neapolis, who had headed the chapter for two years. Mr. Ueland was elected an honorary member of the board of directors. Mr. Andrews, who headed the Minneapolis-Hennepin county Red Cross fund campaign in 1950, is vice presi dent of J. M. Dain & Company of Min neapolis. He also heads the Minneap olis Better Business Bureau. Wendell ï . Burns, senior vice presi dent of the Northwestern National Bank of Minneapolis, was renamed treasurer of the Red Cross. ^ * Various Minneapolis bankers have been named committee chairmen in planning for the local observance of National Thrift Week starting Janu ary 17th. Gerald P. Uttley, general chairman, named A. W. Gray of the Midland National Bank of Minneapolis to head the scholarship committee; Loyal Simenson, Fidelity State Bank of Minneapolis, luncheon, and Alice L. Foss, Farmers & Mechanics Savings Bank of Minneapolis, publicity. * * * Eugene Oredson of the Edina State Bank has been named a member of the board of directors of the Retail Credit Association of Minneapolis. * * * The First National Bank of Minne apolis and Kalman & Company, Inc., are participating in the underwriting of a new issue of $75,000,000 threeyear 3 per cent dollar bonds of the International Bank for Reconstruction and Development. * * * Earl E. Crabb and Dr. O. B. Jesness of Minneapolis have been elected mem bers of the board of directors of the Green Giant Company of Le Sueur, Minnesota. Mr. Crabb recently retired as chairman of the board of directors of Investors Diversified Services, Inc. Dr. Jesness is head of the department of agricultural economics at the Uni versity of Minnesota. * * High-speed automatic elevators are to be installed in the 19-story First National Bank-Soo Line Building, third tallest general office building in Min neapolis. The project, costing an esti mated $400,000, will start in March and be completed by December, 1954. * * * Kenneth 1). Morlan, assistant cashier at the Midland National Bank of Min neapolis, died recently at the age of 50. He had joined the bank in 1952 and was a graduate of the American Institute of Banking and the school of banking at the University of Wiscon sin. Surviving are his wife, a daugh ter and a brother. Services and burial were in Minneapolis. * * * Henry Verdelin, former Minneapolis banker, has been elected president of the San Francisco Bank. Mr. Verdelin formerly was a vice president of the First National Bank of Minneapolis. He was national president of the American Institute of Banking in 193637. He became senior vice president of the San Francisco Bank in April, 1952. * Gordon Murray, president, and Clark Bassett, vice president of the First National Bank of Minneapolis, have been reappointed to various commit- H ospital and S u rg ic a l In su ran ce fo r B a n k e rs Now your preferred risk classification as a Banker makes it possible to include your wife and children at the same LOW RATES. Room and Board from $4.00 to $12.00 per day Surgical Benefits of $75.00, $100.00 or $125.00 Fee of $4 pays for $8 a day Hospital policy to March 15, 1954 Minnesota Commercial Men's Association 2550 Pillsbury Ave. So. Northwestern Banker, November, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1953 Minneapolis 4, Minnesota M id la n d N ational Bank M i n n e a p o l i s 1, M i n n . — M A i n 0 5 1 1 MEMBER FEDERAL DEPOSIT INSURANCE CORP. Minnesota News tees of the Chamber of Commerce of the United States. * * * Ashton Carhart, vice president of the First National Bank of Minneap olis, has been elected to the board of trustees of Shattuck School at Fari bault, Minnesota. * * * Stockholders of the Northwest Bancorporation have voted to adopt a de ferred compensation profit sharing plan for employes of the corporation, according to an announcement by J. Cameron Thomson, president. Out of the 1,547,892 shares outstand ing, 64 per cent were voted in favor of the plan. The program provides for setting aside in a trust fund each year, begin ning with 1953, a small part of profit for the ultimate benefit of employes age 30 and over who have completed five or more years of service with the corporation and its affiliates. * * * The Minnesota group of the Invest ment Bankers Association of America, in conjunction with the University of Minnesota’s general extension divi sion, is offering a course in funda mentals of investment banking on the university campus. The course is under the direction of George C. Power, Jr., investment coun sel. Sji sji ^ Deposits in Minnesota banks are continuing to increase, according to figures released recently. Charles M. Wenzel, state commismer of banks, said resources of statesupervised banks in Minnesota in creased by 82 million dollars during the year ending June 30th. The total .as of that date was $1,230,000,000, as compared with $1,148,000,000 on the isame date the preceding year. Both loans and discounts in banks of the St. Paul area showed large in creases. They totaled $242,544,747 as of September 30th, a gain of $21,791,086 over the figure a year ago of $220,753,661. Deposits rose from $584,755,929 in the same period to $606,815,580, an in crease of $22,059,551. Minneapolis and suburban banks had deposits of $1,264,546,409 on Sep tember 30th, an increase of more than 47 million dollars over the total on June 30th. Deposits at the Farmers & Mechan ics Savings Bank of Minneapolis reached an all-time high of $203,705,430. Loans and discounts also reached an all-time high of $440,387,890, an in crease of more than 20 million dollars from June 30th. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Establishment of sound audit pro grams to stop an increase in embez zling by bank employes was advocated in Minneapolis recently by A. S. (Chico) Chaves, cashier and comptrol ler of the Live Stock National Bank of Omaha. Mr. Chaves made the suggestion in a talk to 625 junior bank officers at tending a Minnesota Bankers Associa tion staff conference. The junior officers at the conference also heard a talk by Harry E. Mertz, secretary to the technical commis sions, National Association of Bank Auditors and Comptrollers. He urged them to adopt modern op erations and to find out what it is costing their bank to do business. * % * The sixth women’s forum of the First National Bank of Minneapolis got under way recently with a capac ity attendance at both opening ses sions. The speaker was Dr. E. L. Butz, head of the agricultural economics de partment at Purdue University. Speakers at subsequent sessions were A. R. .laqua, director of the in stitute of insurance marketing at Southern Methodist University; Wal ter C. Nelson, president of the Eberhardt Company; Alfred A. Stoll, Min neapolis attorney; Arthur C. Regan, vice president and secretary of the First National Bank, and Harold E. Wood, president of Harold E. Wood & Company of St. Paul. Part of the bank’s public relations program, the forums are conducted under the supervision of King Bennethum, assistant cashier. * * * Harold Underhill, assistant manager of the bookkeeping department for the First National Bank of Minneapolis, won a $25 award for having the high est average grade of men students in the American Institute of Banking courses leading to the standard cer tificate.—The End. 57 MADE FOR Y O U ! S P E C IA L B A N K E R ’S CA SES INDEXED 1— 2— 3— A to Z— 21 pockets Jon. to Dec.— 12 pockets 1 to 31 — 31 pockets FULL CA N VA S INDEXED 1— A to Z 2— 3— OR PRESSBO ARD 1 ALL Jan. to Dec.> INDEXES ON 1 to 31 ) EACH CASE BAN KER’S SAFETY MAILERS H EA V ILY G U M M ED FLA PS 1, 2 & 3 INCH EXPANSION Tops of gussets turn in over contents before sealing, which avoids gapping corners, gives protection against tampering, and reinforces the tight sealing security of the full wide flap with its extra heavy gumming. Safety flap protects contents when opened with knife. Only two seals required; making possible a great saving on each thousand envelopes. The ordinary Registered Mail Envelope requires three or four seals to insure safety. Sizes— 11" x 5"— 12" x 10"— 15" x 10" See. IfcutA. StcUixuiesi, S p e c if Sm eoct Sm ead manufacturing company, inc. H A S T IN G S , M IN N E S O T A NewYork--64Wall Street SanFrancisco--333CaliforniaStreet Chicago: Special Representative's Office, 38 South Dearborn Street 5 7 5 TZrancdee (Zonada •Resources Exceed $2 Billion Northwestern Banker, November, 1953 58 Minnesota News Nels L. Oison Nels L. Oison, 81, well-known re tired banker, business pioneer and early day public official, died at his home in International Falls, Minne sota, following three weeks of ailing health. He was chairman of the board of International State Bank, which he served as president for 24 years prior to his retirement in 1944. Elected President The Citizens State Bank of Echo, Minnesota, h a s recently advanced Leonard M. Nelson to the position of president, succeeding the late E. L. Broecker, and Gregor A. Weber, for merly assistant cashier, is now the cashier. Mr. Nelson has been with the bank since its organization in 1936 and Mr. Weber, who began his bank ing experience in Montevideo, joined the staff in 1946. sponsoring a Minnesota Bankers schol arship for some high school graduates in Faribault county, and which will be announced at a later date. Other officers elected at this meet ing were: P. J. Flo, Bricelyn, vice president; Palmer Eckhardt, Frost, secretary, and Herman Junge, treassurer. M. Stallard has become associated with the company as manager of its mu nicipal department. On Bank Board James H. Grina has been elected to the board of directors of the Swift County Bank, Benson, Minnesota. Mr. Grina, cashier of the bank, re places the late J. C. Knight. The elec tion took place during a regular meet ing of the directors. President at Fairmont Albert E. Fillmore, Jr., was elected president of the Fairmont, Minnesota, National Bank, succeeding the late John F. Haeckel. Mr. Fillmore has been a member of County Meeting the board for several years. E. L. Kaffmann, local banker, was The new president was born in St. elected president of the Faribault Paul. He came to Fairmont with his County Bankers Association at the an parents at the age of 12, and has been nual meeting held recently in Minne a continuous resident of the city. sota Lake. There were 45 bankers in attendance and all 13 banks in Fari Department Manager Dean Witter & Company, Chicago bault county were represented. The association went on record as investment firm, announces that Sam CARL L. FREDRICKSEN President CLIFFORD L. ADAMS Vice President JOHN S. HAVER Cashier JAMES L. SMITH Asst. Cashier and Auditor KINLEY W. SMITH Asst. Cashier BEN E. HOLTDORF Asst. Cashier RAWS A. JENSEN Asst. Cashier Prior to his recent connection, Mr. Stallard was in the Chicago office of White, Phillips & Company. He was a B17 pilot with the rank of first lieu tenant in the Air Force during World War II, and served in the European theater. Make Everyone Happy! WILLIAM C. SCHENK Vice President STANLEY W. EVANS Vice President SAM M. S T A L L A R D W ith Dean W itte r & Co. W hen you use the prompt service of the Live Stock National Bank for your Sioux City items, you make your own customers happy, too. For Sioux City items sent direct to us, avoid costly delays of more round-about routes. R. K. DRAPER Representative Digitized for N o FRASER r t h w e s t e r n Ban ke r. N o v e m b e r , 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MEMBER F E DE RAL DE POS I T I NS U R ANC E CORPORATI ON 59 Buys Interest Richard D. Jones, who has been con nected with the Pipestone, Minnesota, National Bank the last three and a half years, has purchased an interest in the Citizens State Bank of Arling ton, South Dakota. Mr. Jones will move with his family from Pipestone to Arlington and will assume his new duties November 1st. He is vice president and cashier of the Pipestone Bank. Heads Group Five W. E. Shoberg, vice president of the Rapid City National Bank, was elected president of Group Five of the South Dakota Bankers Association at a meet ing held in Rapid City. Other officers are: W. J. Schoen, Lead, vice president, and John Baggaley, First National Bank, Deadwood, secretary-treasurer. Speakers during the afternoon and evening sessions included Hugo Carl son, Pierre, executive secretary of the State Natural Resources Commission, and L. Birch, vice president of the Denver National Bank, who reported on the current livestock picture. Carroll Lockhart, president of the South Dakota Bankers Association, Watertown, gave a talk on banking in a changing economy. Carl E. Bahmaier, Huron, executive secretary of the association, presented the 1953-54 program. Humorist Samuel Ramsay, Boston, Massachusetts, entertained at the banquet. On Advisory Committee J. A. Johnson, Mt. Vernon, was elected to represent South Dakota on the advisory committee of directors of the Omaha Federal Land Bank. The election was held at a meeting of some 100 officials of South Dakota National Farm Loan Associations. Alvin Hanson, Artesian, was elected alternate. Mr. Johnson replaces George Ernst, Aberdeen. Visit Deadwood About 40 directors of the Northwest Bank Corporation were in Deadwood, South Dakota, recently on the first lap of a three-day convention trip. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The directors were honored guests at a luncheon at Deadwood and trav eled to Sylvan Lake later that after noon. Following a dinner there, the group was entertained with a special performance of the Trial of Jack Mc Call. 50 Years Lyle L. Branch completed his 50th year with the First National Bank of Pierre, South Dakota, recently, and friends planned a dinner to observe the occasion. Mr. Branch started as a bookkeeper in the bank in 1903 after he was gradu ated from high school. He has been president of the bank since 1951. Charter Approved An application for charter for a new bank at Big Stone City, South Dakota, has been approved. With the raising of necessary capital stock the depart ment of banking and finance at Pierre announced the approval after the bank has a common capital of not less than $25,000. The manager to be employed as executive officer must be satisfac tory to the commission. In Watertown Bank David G. Paterson, Jr., has accepted a position as the farm loan member of the staff of the Farmers Merchants Bank of Watertown, South Dakota. After Mr. Paterson had completed service in the Navy during World War II, he accepted a position in State Col lege and later took over the old Pater son homestead, long operated by an uncle. Along with his farming opera tions he also taught one of the veteran on-the-farm programs at De Smet. Andrew Kopperud Andrew Kopperud, 73, former presi dent of the Farmers and Merchants Bank of Watertown, South Dakota, died there recently. He was a former president of the South Dakota Bankers Association and last spring ended a year’s term as governor of the 175th District of Ro tary International, an area covering South Dakota and parts of Iowa, Min nesota and Nebraska. A native of De Smet, he served for 17 years as vice president and treas urer of the Federal Land Bank and Intermediate Credit Bank of Omaha. During his residence in Omaha, he was chairman of the agriculture com mittee of the Chamber of Commerce. He formerly lived in Webster and Lake Preston. His activity in the banking field in cluded a term as a member of the executive council of the American Bankers Association. Stdte Bank Examiner Leo Olson, Sioux Falls, South Da kota, has been appointed a state bank examiner by Superintendent of Banks Roy Fenner. Mr. Olson had been associated for 35 years with the Northwest Security National Bank in Sioux Falls. He retired recently as assistant cashier. S io u x F a ils T HE Third Annual Livestock Round up conducted by the Northwest Se curity National Bank was attended by approximately 125 bankers and com mission men from South Dakota, Iowa and Minnesota. Speakers were Tony Westra, vice president and agricultural director of the bank; Dr. Max Meyers, chief of the agricultural economic division of South Dakota State College, Brook ings; Rex Beresford, livestock special ist from Iowa State College, Ames, and Don Cunningham, executive secretary, Sioux City Livestock Exchange, and well known market news commenta tor. % * * Northwest Security National Bank clerked the ninth annual national Co lumbia sheep sale held at the Sioux Empire Fairgrounds. * * Paul Batcheller, a director of NorthWest Security National Bank, was re-elected to the Chamber of Com merce board of directors. * * * ' T. N. Hayter, vice president of the First National Bank, was elected treas urer of the Sioux Falls Taxpayers Association at its annual meeting. * * * A. M. Sprague, head teller at the First National Bank, was taken ill while on vacation in Montreal, Can ada, and was taken to the Montreal General Hospital. Doctors said he might be hospitalized there for a month. * * * Local bank clearings dropped from $26,740,255 in September, 1952, to $25,033,795 in September, 1953.—The End. Northwestern Ban ker, N o v e m b e r , 1953 60 South Dakota N e w s Anniversary Brochure George A. Malcolm, president of the Drovers Banks in Chicago has sent out a beautiful brochure published in commemoration of the 70th anni versary of the founding the Drov ers National Bank. It describes in chronological fashion the history of the Drovers Bank since its opening on Lincoln’s birthday, February 12, 1883, when total deposits on that momen tous day were $499.98. Today the Drovers National has $95,000,000 in deposits and the Drovers Trust and Savings has in excess of $31.000.000 on deposit. This booklet is profusely illustrated throughout with art work and photo graphs, most of it being printed in a soft green or printed on a soft green background, which lends much to the appearance. Without detracting in any way from the balance of the interesting facts and anecdotes in this brochure, one of the highlights definitely is the sec tion titled “ Twelve Eventful Years.” In it are recorded in fascinating liter ary style the several exciting and elec trifying periods which officers and directors of the Drovers Banks went through, starting with New Year’s Day, 1922, when financial problems of the day necessitated a sale of principal interests in the bank. This was smoothly handled by then President William C. Cummings and then Cash ier George A. Malcolm (now presi dent), with the bank remaining in a sound condition. Subsequent years brought more emergencies, including the enforced bank “holiday” of 1933, after which the Drovers Banks re opened immediately with an excellent record. The crowning blow of the “Twelve Eventful Years” came May 19, 1934, when a disastrous fire destroyed the Drovers Banks and a number of sur rounding buildings in what was de scribed as Chicago’s worst fire since the epic Chicago fire of 1871. The Drovers expressed confidence in its customers by operating “on faith” for five days until bank vaults could be opened and permanent records checked. Contents of the five vaults were intact and it was learned that in the five days of operating “on faith,” 90,000 checks had been cashed, rang ing from $1.17 to $150,000, but only $1,500 had been paid in overdrafts, all of which was subsequently collected. In the meantime, savings deposits were up $200,000 and commercial de posits were up $1,000,000! In the 19 intervening years Drovers Banks resources have increased five times. PUBLIC RELATIONS . . . (Continued from page 20) Lincoln, vice president, The Puget NORTHWEST SECURITY NATIONAL BANK of Si oux Fal l s, South Dakota S o u t h D a k o ta ’ s L e a d in g B a n k BRANCHES AT BROOKINGS, CHAMBERLAIN, DELL RAPIDS, GREGORY. HURON, MADISON A ffiliated with N orth w est B ancorporation M em b er F ed era l D e p o s it In su ra n ce C orporation Digitized Nfor o rFRASER t h w e s t e r n Ban ke r, N o v e m b e r , 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Sound National Bank, Tacoma, Wash ington and Wilson Parfitt, assistant vice president, First National Bank, McKeesport, Pennsylvania. For two-year term: E. T. Hetzler, assistant vice president, Bankers Trust Company, New York City. For three year terms: John P. Anderson, vice president, First Nation al Bank & Trust Company, Paterson, New Jersey; John J. Ahearn, manager, public relations, American Security and Trust Company, Washington, D. C.; J. A. Ansley, vice president, The Lee County Bank, Fort Myers, Flor ida; Carl A. Bimson, president, Valley National Bank, Phoenix, Arizona; Dan W. Hogan, Jr., executive vice presi dent, City National Bank & Trust Company, Oklahoma City, and John T. Williams, vice president, The Bankette Company, Boston, Massachusetts. To be re-elected by the board are Preston Reed, executive vice presi dent, and Lucy V. David, secretary. Executive offices are in Chicago. Departmental Every phase of banking had its own South Dakota News departmental discussion, but one which received an accolade for its presentation and extreme interest was given by Gaylord A. Freeman, Jr., vice president, First National Bank of Chi cago, on the subject “ Building Bank Correspondent Business Through the Development of Mutually Beneficial Correspondent Relationships.” Mr. Freeman used charts to illus trate his points. Many questions which followed indicated how vitally interested all those present were in his subject. President's Address William B. Hall, retiring president of the F.P.R.A., and vice president of The Detroit Bank, Detroit, in his ad dress to the convention said in part: “ If we expect continued acceptance of our product, we must channel our efforts as individuals—as an associa tion—to assist in procuring an ade quate bank staff. “How serious is the problem? You be the judge! “ In 1933 we were wholesalers of credit, employing 281,000. “ In 1953 we are department stores of finance, employing 500,000—serving more than 90 million depositors. “ In 1933 and prior years we at tracted the cream of the employment crop. We were in a buyer’s market, we could select with care. “ In 1953 high schools and colleges report very few students interested in banking. To secure people, we have had to lower employment standards. “ In 1933 and prior years there was little turnover. “ In 1953 turnover in many banks was in excess of 50 per cent—the na tional average in 1951 was 30 per cent. “ Tellers, bookkeepers, proof clerks and the balance of staff are necessary to provide good service. Even more important, however, is the need for management. “ The change in character of banking from wholesale to retail, the numeri cal increase in depositors, staff and customers, has increased the require ments for number and quality of the management group. “ Human relations is our field. By sharing ideas, by reviewing programs already in process, by applying the tested sales techniques with which we work every day we can develop the best selling program any industry has ever presented to high school and col lege graduates. “That is our real challenge today! “To sell—rather, to resell—banking as a profession. “To secure a quality staff that can produce the quality of service the cus tomer expects; the quality of service of which we are proud.”—The End. 61 How to turn a MINUS into a PLUS S o m e t i m e s , w h e n a g o o d c u s to m e r w a n t s a c o m m e r c i a l lo a n it lo o k s a s if y o u 'll h a v e to turn him d o w n . If y o u d o , y o u m a y b e m in u s a c u s t o m e r , a l o a n a n d a p r o f it. M a n y b a n k e r s h a v e s o lv e d th is p r o b l e m b y s u g g e s t i n g a f i e l d w a r e h o u s e l o a n on th e c u sto m e r's in v e n to ry . U n d e r § 1 th is p l a n , D o u g l a s - G u a r d i a n WE BREAK A BOTTLENECK M achines create bottlenecks in a factory whenever they fail or whenever their capacity is overtaxed. In our business, the casting of type has for years constituted a potential bottleneck because of the unprecedented growth in the use of imprinted checks. If we had continued to set type manually for Personalized Checks, as we had to do not so many years ago, we now would be operating nearly three times as many machines as actually are in use. Fortunately, about ten years ago we began to install "automatic teletype setters” which, thru themedium ofholes cut in a paper tape, actuate the keys on the typecasting machine at aspeed nearly three times as fast as could be done manually by a good operator. These machines proved to be lifesavers, but they were too limited with respect to selection to cast the type needed for busi ness checks. We decided, therefore, to attempt to enlarge the scope of the units. N ow, after three years of study and experimentation, we are happy to report i s s u e s w a r e h o u s e r e c e i p t s on th e b o r r o w e r 's m e r c h a n d i s e that we have installed our first high-speed tape operated unit that will cast two styles of type in seven sizes, out of four separate magazines, thus enabling us to almost triple our machine output. This does not necessarily mean that our labor costs have been cut two-thirds, because other factors tend to increase contributory costs, but it does mean that we can push nearly three times as many lines thru a typecasting unit, thus providing a cushion that insures faster service in a department which otherwise might bottleneck our entire production. To the best of our knowledge, this new unit is the only one of its kind in operation anywhere and our only problem now is to get more of them. We always have to buy six of everything to keep our facilities up to date, and sometimes we get impatient because our funds will not permit immediate capital expenditures in such large amounts, but as soon as we can we intend to equip all of our plants with this latest device. w ith o u t m o v in g it o f f his p r e m ise s. R e s u lt : Your c u st o m e r gets his m o n e y —y o u r b a n k gets t w o f o l d s e c u r i t y (t h e w a r e h o u s e r e c e i p t s and the m e r c h a n d i s e ) a n d , of course, you keep a cus t o m e r p lu s h is g o o d w i l l a n d the p r o f it on his l o a n . ¡~ DOUGLAS-GUARDIAN WAREHOUSE CORPORATION 118 N . F r o n t S t r e e t N ew O r le a n s , L a . Please have your nearest representative call on me. I Nam e of Bank_________________________________________ Address_________________________________________ Manufacturing Plants at: 1 Your Nam e and T itle________________________________ CLI FTO N, PAOL I, CLE V E LA ND, CHICAGO, KA NS A S C ITY, ST. PA UL CHECK PRINTERS cO n e . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I O F F IC E S IN 20 P R IN C IP A L C IT IE S I i------------------------------------------------ j Northwestern Banker. November, 1953 62 When it comes to financing oil business opera tions or an expansion program, the specialized services of National Bank of Tulsa include a friendly interest in your customers’ problems and the business experience, understanding and re sources to help you meet their needs. i nh ill ip p p m M The officers and directors of NBT have a prac tical knowledge of both the operations and finan cial requirements of the oil business, including petroleum engineering, drilling operations and the production, storage, refining and transportation of oil. Next time your customers want an oil loan, contact "‘ The Oil Bank of America” for this spe cial correspondent service. r fh ji (D ill $ G M k o l C im M c a N a t io n a l B a n k o f T u l s a Offering Complete Banker. November, 1953 Digitized Northwestern for FRASER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ban kin g and T rust Services M e m b e r F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t i o n 63 X ori li D akota NEWS S H A R P E PR U ETZ C. C. W ATTAM S e cre ta ry P r e s id e n t Fa rg o K u !m O w ners H o ld " O i l " } WNERS of oil lands in the Wiliston Basin were the “serving O committee” on October 25th, when a free barbecue was held in connection with an oil discovery dedication pro gram at the Clarence Iverson well site, south of Tioga, North Dakota. The servers were those who were wheat farmers in the area before the Iverson well flowed oil in April, 1951. They provided the barbecue, were hosts for the meal, and donned chef’s aprons to do the serving. Each farm er on the committee wore an apron on which his name was stamped. According to Clifford Hansen, chair man of the barbecue committee, who has a few oil wells himself, more than 1,600 pounds of beef was pur chased and prepared for the event. He and Olaf Giske, another farmer with an oil well, organized the bar becue. The dedication ceremony took place at the site of the original oil discovery at 3:00 p. m., with the president of Ameriada Petroleum Corporation, Al fred Jacobsen, giving the dedicatory address. A monument was unveiled and pre sented by the governor of North Da kota, Norman Brunsdale. Other speakers at the dedicatory ceremonies in c lu d e d Congressmen Usher L. Burdick and Otto Krueger and Senators W. M. Langer and Milton L. Young. Directors in Fargo Robert S. Macfarlane, president of the Northern Pacific Railway Com pany, was elected a director of the First Stock Corporation at the board’s meeting held recently in Fargo, North Dakota. At the same meeting directors amended the corporation’s by-laws so that the anunal meeting of stockhold ers and directors will hereafter be held the third Wednesday of April each year instead of the second Tues day in February. E. O. Jenkins, First Bank Stock president, indicated that the corpora tion’s annual reports will continue to reach stockholders by mid-February. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis After the business session the meet ing closed with election and installa tion of officers for the ensuing year. I. E. Giedt, executive vice president of the Farmers State Bank of Richardton, was elected association president, and John A. Kampf, assistant cashier of The First National Bank of Dick inson, was elected secretary-treasurer. Deferring the annual meeting date to April, he said, is designed to give stockholders an opportunity to study the year’s operations before partici pating in formulation of plans for the year ahead. The trip to Fargo, Grand Forks and East Grand Forks marks the fourth consecutive year in which the corpo ration directors have held their meet ing in communities, other than the Twin Cities, served by one of the affili ated banks. New Cashier The new cashier of the Citizens State Bank, Mohall, North Dakota, is a banker in name as well as profes sion. His name is John Davis Banker, who came from Park River. Some years ago he was employed in Minot, where he had his first bank job. His appointment was announced by E. L. Hubbard, president of the bank. Again Receives Award For the 22nd consecutive year North Dakota has won the 1,000-point rating of the American Bankers Association in its national agricultural program. Fred A. Irish, chairman of the board of the First National Bank and Trust Goes to Tioga G. C. Anderson, cashier of the Bank Company, Fargo, and chairman of the at Rhame, North Dakota, for the past North Dakota Bankers Association ag two years, takes over management of ricultural committee, has been notified a bank at Tioga the first of November. of the award by A. G. Brown, director J. R. Pendergast of Bowman will of the A.B.A. Agricultural Commis take over the duties of cashier of the sion. The rating program was initiated 25 Rhame bank. The job at Tioga comes as a big years ago to measure the extent that advancement to Mr. Anderson, as he banks of the nation are carrying out will be in complete charge of the fair an effective agricultural program. Mr. ly new bank there in the oil boom Brown wrote: “We have taken particular note of area. Clarence Hestekin, f o r m e r Rhame banker, and Ralph Perrin are the cooperation in the soil conserva large stockholders in the Tioga bank. tion program and feting the award winners, and the agricultural short course scholarship program. Also the Tri-County Meeting response of your committee members The annual banquet and business meeting of the Tri-County Bankers and county key bankers rated among Association was held at Langdon, the highest of all the states. All this North Dakota, according to Myles L. is very fine and we congratulate you and your committee on the construc Johnson of Langdon, president. About 40 people from the 13 mem tive agricultural activities of your ber banks in Pembina, Walsh and association and its members.” Cavalier counties attended the meet Stock Team to Chicago ing. North Dakota’s 1954 champion 4-H At the business session election of officers was held. Present officers are livestock judging team will take on Mr. Johnson, president; R. W. Clapp of national competition in Chicago in Adams, vice president, and Dorian La- November when it competes with oth er state winning teams during the Rocque of Walhalla, secretary. International Livestock Exposition. The team, from Renville county, won County Bankers Elect The annual meeting of the Stark the northwest district contest in Mi County Bankers Association, includ not before taking state honors in ing banks in Adams, Bowman, Dunn, Fargo, September 3rd. Placings of the three other district Golden Valley, Hettinger, Morton and Stark counties, was held at Hettinger, teams in the Fargo contest were North Dakota, with L. C. Mensing, Dickey, Cavalier and Mercer, in that executive vice president of the First order. Members and coach of the Renville National Bank of Hettinger, president county team are Earl and Wilfred of the association, presiding. Nort hwest ern Banker, November, J953 64 North Dakota N e w s Sauer and Robert Vanerstrom, all of Carpio. Robert Lee, Carpio, was al ternate on the team. Kenneth W. McCoy, Mohall, Renville county ex tension agent, is coach. High individual scorer in the state contest was Richard Schmitz, Oakes. Suit Dismissed Federal Judge Harold L. Medina last month set forth in a 115,000-word opinion, probably the longest in Amer ican history, his reasons for dismiss ing the government’s anti-trust suit against 17 investment banking firms. He had announced the dismissal in a brief memorandum September 22nd and now the 423-page legal tome spells out why. Judge Medina indirectly chided the government for bringing the suit, es timated to have cost the defense $7,500,000 and the government from $1,500,000 to $3,000,000. He said the government had a “ fun damental factual misconception of the way investment banks in general func tion and have functioned for many years.” The judge expressed doubt that the suit would have been brought if all the evidence produced by the defense had been available to the government before the complaint was filed. Judge Medina filed his opinion al most six years after the government filed the complaint on October 30, 1947. Trial began November 28, 1950, and ended last May 19th, after 309 court room days. The judge said some of the govern ment arguments in the case “would indeed make the law an ass.” Resigns Mrs. Alice Paris, assistant cashier at the Citizens State Bank, in Mohall, North Dakota, has submitted her res ignation, effective December 31, 1953. Mrs. Paris went to work there Janu ary 2, 1937. Ag Short Course The Agricultural Short Course at North Dakota Agricultural College for the ensuing year commences January 4, 1954, and runs for eight weeks. The executive council at the Minot con vention, and resolutions adopted, en dorsed the continuance for another year of sponsoring of students by North Dakota banks, either singly or in conjunction with other bankers. Last year North Dakota banks spon sored 50 students and there were 74 additional students, who were not sponsored, taking the course. It is the hope of association officers that banks throughout the state will again participate in this program. “ The Royal put us in touch with the right people” and 780 B ra n ch e s in S o u th A m e r ic a , N ew Canada, Y o rk , th e W est London and In d ie s , H EA D Y o rk A g e n c y — 6 8 W illia m O F F IC E . M O N T R EA L S tre e t, N e w Y o rk 5 , N . Y . • T O T A L A S S E T S E X C E E D $ 2 ,6 7 5 ,0 0 0 ,0 0 0 Northwestern Banker. November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Reginald Thompson Reginald Thompson, 46, a vice pres ident of the Montana National Bank, Billings, died recently at a Billings hospital. He had been a patient for three weeks. Death was attributed to cancer. Mr. Thompson came to Billings in 1940 as a representative of the Uni versal Credit Corporation. He entered the armed services March 4, 1942, serv ing as a technical sergeant with the 93rd Ferrying Squadron in the AsiaticPacific theater. He was discharged in 1945 and re turned to Billings. He became associ ated with the Montana National Bank in 1947. Daly Bank and Trust Company, Anaconda, Montana, noted its 70th anniversary in the community recent ly. Many telegrams and letters of congratulations were received by J. L. Kelly, president, and E. L. Kunkel, Jr., executive vice president. Included was one from the Wells Fargo Bank and Union Trust Company, San Fran cisco, one of the first business asso ciates of the bank in the days of Marcus Daly. The bank was founded six years before Montana became a state and the year the townsite of the city was completed. It was first known as the Hoge, Daly & Company. C e n tra l P a r is . THE R O Y A L B A N K OF C A N A D A N ew Mr. and Mrs. John Quickenden re cently entertained the entire staff of the Northwestern Bank, Lewiston, Montana, at their country home. An outdoor picnic had been planned and prepared but was foiled by a pouring rain. The 35 guests were all happily accommodated inside. The Quickenden’s grounds were much admired for they offer innumerable varieties of flowers, a beautiful lawn and a fine vegetable garden. Celebrate 70 Years Through more than 700 Canadian branches, the Royal Bank offers you direct and helpful access to whatever aspect of Canadian business may interest you or your customers. Address inquiries to our Business Development Dept., at the Bank’s Head Office in Montreal. O ver Entertain Bank Staff Building Opens Grand opening of the new Fairview Bank, Fairview, Montana, was held recently. Construction of the one-story brick and tile structure was started last March. The building, 30x70 feet, is equipped with recessed lighting, acous- Montana N e w s tical ceiling and a modern heating plant. Vault space includes a standard bank vault, safety deposit vault and storage vault. New counters and fix tures have been added. The bank was organized in 1941 by the late Leo J. Lukanitsch and, ac cording to A. J. Huber, executive vice president and cashier, the institution has a total footing of $1,087,000 for its 12 years of operation. The bank’s cap ital and surplus totals $50,000, with undivided profits amounting to $16,820. The Fairview Bank serves the Yel lowstone Valley area on the MontanaNorth Dakota line. S* In T h in k . . FIRST.. and th e le t ELMO THOMPSON, MAGIC EMPIRE Forums for Women A series of five weekly lectures, de signed to familiarize women with fi nancial and legal matters, is being sponsored by the Midland National Bank, Billings, Montana. They started last month. The same lecture will be given twice daily, at 2:30 p. m. and at 8:00 p. m.. in order that a wide audience may be reached, bank officials said. Present accommodations are suitable for 200 women at each session. The periods will include 55 minutes of lecture, a five-minute break and a 30-minute question period. G. Sidney Houston, vice president of the First Service Corporation of St. Paul, was the speaker at the first meetings. JOE BYRD, HARRY LANE, DICK WAGNER o r DEAC RHODES h e l p You w ith P erson al S erv ............ . JL ice on — S0 #■ q J 0 jA B O ^ U L Q rVLsA □ TRANSIT SERVICE □ SAFEKEEPING □ INVESTMENTS □ EXCESS LOANS □ CURRENCY □ BANK OPERATIONS □ PERSONAL □ COLLECTIONS □ CREDIT INFO □ FOREIGN SERVICE □ TRUSTS \ Farm Representative John Reichel, a native of Montana, has been appointed agricultural rep resentative of the First National Bank, Great Falls, it was announced by E. F. Galt, president. The appointment is consistent with adopted practices of banks in assign ing full-time representatives to serve farming and ranching interests, Mr. Galt said. 65 andin the OIL INDUSTRY It’s BOTH Remember, the other 38 o fficers of our bank, many of them specialists in varied fields, give help to our correspondents. Just . . "Think . . F I R S T ’ ñs /»y PROFITABLE and PLEASANT Elected President Joseph W. Chivers of Helena, 91year-old veteran of the Montana bank ing "and loan business, was elected president of the Montana Building and Loan League. Election of officers and group dis cussions concluded the organization’s 29th annual convention. Mr. Chivers, former vice president, succeeds Stanley O. Snyder of Havre. Jack F. Hoon, Missoula, advanced from second vice president to first vice president. J. George Graham of Great Falls was elected second vice presi dent and Paul A. Johnson, Great Falls, was re-elected secretary-treasurer, to begin his eighth consecutive term in that office. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NOW! . , TRANSIT for Faster „ . ____________ _ »- t h e f ir s t # Service NATIONAL BANK AND TRUST C O M P A N Y O F M e m b e r F e d e r a l D e p o s i t I n s u r a n c e T U L S A C o r p o r a t i o n Northwestern Banker, November, 1953 66 COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT 'FACILITIES • COMPLETE CORRESPONDENT FACILITIES • COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES * COMPLETE CORRESPONDENT FACILITIES COMPLETE CORRESPONDENT FACILITIES * « COMPLETE CORRESPONDENT FACILITIES • • Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 67 A nn inaici* Proif n a n fo r ôtith A n nual Convention O f N ebraska H ankers Will Meet at Hotel Fontenelle in Omaha, November 10-11; Robert L. Garner Announced as Final Speaker ï S IX top-ranking speakers will make to Guaranty Trust in New York as their appearance before the 56th assistant treasurer. In 1928 he was annual convention of the Nebras made treasurer and in 1929 was elect ka Bankers Association at Hotel Fon ed vice president. He served as vice president and tenelle in Omaha, November 10th and 11th. Association President William treasurer until 1943 when he resigned F. Wenke, in announcing the com to become financial vice president and pleted program, revealed that the final a director of General Foods Corpora speaker the second day of the con tion where he remained until his ap vention will be Robert L. Garner, vice pointment as vice president of the president of the International Bank International Bank in February, 1947. Mr. Garner has been a member of for Reconstruction and Development. Speakers announced earlier are: the Banking Board in the state of Everett D. Reese, president of the New York and in 1942 helped organize American Bankers Association, who the First War Loan Drive in the Sec will be making one of his first state ond Federal Reserve District. He was association appearances since his elec born in Bolton, Mississippi, was grad tion in September; Guy E. Reed, well- uated in 1916 from Vanderbilt Uni known executive vice president of versity in Nashville, Tennessee, and Harris Trust and Savings Bank, Chi later studied journalism at Columbia cago; Dr. Kenneth McFarland, Tope University. The Nebraska Club of the School ka, Kansas, an educational consultant; of Banking will hold its breakfast on Frank W. Mueller, manager of the Sioux Falls district of the Chamber Wednesday morning. A luncheon is of Commerce of the United States, scheduled again for Wednesday noon, and D. Emmert Brumbaugh, Clays- after which Mr. Garner will be the burg, Pennsylvania, who is president final speaker. The complete program follows: of the Independent Bankers Associa tion. Mr. Wenke, who is president and cashier of the Pender State Bank, has been assisted during the past year by W. H. Munger, president of the First National Bank in North Platte, as vice president; James H. Moore, vice presi dent of the Omaha National Bank, as treasurer, and Carl G. Swanson, Oma ha, as secretary. Mr. Garner’s appearance will bring to the Nebraska convention for the first time a representative of the im portant International Bank for Re construction and Development. Mr. Garner has a lifelong background in finance. He began work in 1919 for the Guaranty Trust Company of New York, later transferring to the Guar anty Company where he worked for five years on both foreign and domes tic loans. After two years in the financial department of the Continen R O B E R T L. G A R N ER tal Insurance Company he returned N e b ra sk a co n ven tio n sp ea k er https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W IL L IA M F. W E N K E P re sid e n t B a n k e rs A ss o c ia tio n N e b ra sk a Monday, November 9th P. M. 4:00 Executive Council meeting. 5:30 Social Hour — Past Presidents and Executive Council. 6:30 Executive Council dinner. 6:30 Annual dinner — Past Presi dents’ Club. 7:009:00 Registration—Mezzanine, Fon tenelle Hotel. Tuesday, November 10th A. M. 9:0012:00 Registration—Mezzanine floor. Noon 12:00 Luncheon — Delegates, Ball room. P. M. 12:30 Ladies’ Luncheon and Enter tainment — Omaha Athletic Club. 1:30 Convention Session—Ballroom, Fontenelle Hotel. Presiding, W. F. Wenke, president, Nebraska Bankers Association. Invocation. Address of welcome. Response and President’s Ad dress—W. F. Wenke. Address — Everett D. Reese, president, The American Bank ers Association; president, Park National Bank, Newark, Ohio. Address—Guy E. Reed, execu tive v i c e president, Harris Trust and Savings Bank, Chi cago. Annual Meeting — Nebraska Conservation Foundation, Inc. 5:30 Social Hour—Delegates and la dies as guests of the banks of Omaha, Black Mirror Room, Fontenelle Hotel. 6:30 Convention Banquet — Ball room, Fontenelle Hotel. Northwestern Banker, November, 1953 68 Nebraska News Entertainment — “The Ker nels.” Address — Dr. Kenneth McFar1 a n d, educational consultant and lecturer to General Motors; educational director for Ameri can Trucking Associations, Inc. Dancing. ber of Commerce of the United Election of officers of Nebraska States. Bankers Association. Installation of officers. Election — American Bankers Association. Presiding, s t a t e P. M. vice president. 12:30 Luncheon — Delegates and la Remarks — Thomas C. Horn, dies, Ballroom, Fontenelle Ho president, N e b r a s k a Club, tel. School of Banking, University 1:45 Address — Robert L. Garner, of Wisconsin; executive vice Washington, D. C., vice presi president and cashier, The dent of the International Bank First N a t i o n a l Bank, Hay for Reconstruction and Devel Springs, Nebraska. opment. Address — D. Emmert Brum Adjournment.—The End. baugh, president, The Inde pendent Bankers Association; president, The First National Farmer Banquet The Winside, Nebraska, State Bank Bank, Claysburg, Pennsylvania. Report of Convention Commit sponsored a Farmer-Feeder meeting last month in the Winside Auditorium. tee on Resolutions. Report of Convention Commit Approximately 250 attended from Win side and surrounding communities. tee on Nominations. E. T. Warnemunde, vice president and cashier of the Winside bank, wel comed the group. C. B. Misfeldt, as sistant cashier, acted as toastmaster. William Prince, a former livestock feeder and farmer in the Winside area, was interviewed. Guest speakers of the evening were Don Cunningham, secretary of the Stock Yards Company in Sioux City, and John M. Shonsey, vice president of the Livestock National Bank, of Omaha. Wednesday, November 11th A. M. 8:00 Breakfast — Nebraska Club, School of Banking, University of Wisconsin. 9:00 Registration—Mezzanine floor. 9:30 Convention Session—Ballroom, Fontenelle Hotel. Presiding, President W. F. Wenke. Address — Frank W. Mueller, manager, Sioux Falls District, Northwestern Division, Cham- G EN E R.A L LEDGER. YOUR BANK \ TRANSIT S E R V IC E 1 SA FE 70th Anniversary K E E P IN G û u e . fro m ß c rn fs INVESTM ENT ADVICE LI /EX C ES S CURRENCY LOANS SER V IC E B A N K OPERATI ONS A D V I C E PERSO N AL SERV IC ES C O L L E C T I O N S CRED IT . IN FO RM ATIO N F O R E IG N DEPT. S E R V IC E S lcÁ m c u t y , -yyixyie c e v tA a / c m c to c o z u d f i v i t â tA é ¿d îd c r t | ’ The First National Bank of Fairbury, Nebraska, which has been at the same downtown corner from the beginning, celebrated its 70th birthday last month with an open house, prizes for the oldest cancelled check from the bank, the oldest bank statement, the oldest cancelled note, and the old est letter from the bank. The bank reserved both theaters for the afternoon and evening. Open house visitors received admissions. John Buckstaff was the first presi dent. In 1912 Isaac and Luther Bon ham, who owned the Bonham Nation al Bank, bought controlling interest in the First National, and the follow ing year the two banks were consoli dated. Luther Bonham became presi dent in 1920, after the death of his father. He is now board chairman, with Ivan C. Riley, president. ced e úÁ^e B A N K S FIRSTmXI0 NAL BANK A CONFIDENTIAL, F O U N D E D ON 2 5 B a n k e r s S er v ic e C o m p a n y HENRY H. BYERS. Pres Lock Box 1435 DES MOINES 5 IO W A MEMBER FEDERAL DEPOSIT Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis INSURANCE CORPORATION o B„°dusGoH L5 PERSONAL SERVICE Y EARS EXPERIENCE N B. SHAFFER. V P E. C. UNTIEDT, V P . Lock Box 1421 COLORADO SPRINGS COLO. Nebraska News 69 Tour Crete Bank A group of students from Rural School District 1 toured the Crete, Nebraska, State Bank in observance of “Know Your Bank Week.” The nine students were accompa nied by their teacher, Mrs. Matt Ren ner, and Mrs. Clarence Pracheil. They were shown through the bank vaults and bank offices, heard a de scription of the machinery used by the firm and heard a discussion on how a bank operates. The highlight of the tour came when they were shown a one thousand dol lar bill. Thomas J. Aron, bank president, said several other rural district school children were expected to tour the bank. In Size In Service In St. Joseph Soil Conservation With emphasis on Nebraska soil conservation districts, as proclaimed by Governor Robert Crosby of Ne braska, the Central National Bank of Columbus and Farmers State Bank of Humphrey have each purchased affili ate memberships of $25 in the Shell Creek Soil Conservation District. These contributions to the district will be used to promote activities and further the assistance to the district cooperators. Directors of the Shell Creek district voiced their apprecia tion for the interest shown by these firms. FIRST NATIONAL BANK In S t . J o s e p h , M o. MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION Chartered by Congress 1890 Hang Murals Two attractive murals have been hung in the lobby of the First Na tional Bank of Tekamah, Nebraska. The murals are about 40x60 inches in size. One is an airplane view of the city of Tekamah and the other is a view of Lake Quinnebaugh. They add much to the decorative attractiveness of the bank room. If the Shoe Fits . . . There’s an old saying: People take you In New Building at your own valuation. The Guardian State Bank, Alliance, Nebraska, is doing business at its new location, 224 Box Butte Avenue. The beautiful new granite structure is not completed but the bank announced it was necessary to move so heating and other facilities could be given atten tion by workmen. Roy Abbott, executive vice presi dent, said the formal opening of Al liance’s newest business structure would be delayed until the entire con struction job is completed. The exterior of the building is prac tically complete but the interior, up until recently, was still lacking mar ble fixtures at the teller windows, a marble railing setting off the officer’s desk from the lobby, considerable furniture and drapes. the reverse of it is true also. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis It’s true— and For in stance, when one of our correspondent banks tells us we have done a good job in the transacting of our business with them, it makes us more anxious than ever to keep our standards of service high! May we serve your bank? the Inter-State National Bank LIVESTOCK EXCHANGE BLOG. j A W U TK . AND GENESEE STS. M em ber F e d e ral Deposit Insurance Corporation Nort hwest ern Banker, November, 1953 70 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M eet S!osés ué N ebraska H OSTS to bankers and other guests attending the 56th annual con vention of the Nebraska Bank ers Association in Omaha Tuesday and Wednesday, November 10th and 11th, will be the six metropolitan banks— First National Bank, Five Stock Na tional Bank, Omaha National Bank, Packers National Bank, Stock Yards National Bank, and the United States National Bank. Upper Left First National Bank Seated, from the left: J. R. Lauritzen, vice president; J. T. Stewart, III, senior vice president; Fred W. Thomas, chairman of the board; John F. Davis, president, and O. H. Elliott, vice president. Standing, from the left: C. K. Voorhees, vice president; Carl N. Bloom, assistant cashier; E. T. Tanner, assistant vice presi dent, and E. N. Solomon, vice president. < ----------------------------------------------------------- Live Stock National Bank From the left: R. H. Kroeger, vice presi dent; Wade R. Martin, vice president; H. H. Echtermeyer, vice president; Henry C. Karpf, president; Paul Hansen, vice presi dent, and Russell A. Loring, assistant cashier. < ----------------------------------------------------------- Omaha National Bank Seated, from the left: Bruce H. Thomas, vice president, and W. Dale Clark, chair man of the board. Standing, from the left: Morris F. Miller, assistant vice president; Stephen J. Wirtz, vice president; Clarence C. Jones, assistant cashier, and John D. Carew, assistant cashier. President W. B. Millard, Jr., was unable to be present Avhen this photograph was taken. 71 Omaha Com ing .7671# Convention Groups of officers from these down town banks are pictured on this and the opposite pages. Outlying banks in Omaha are the Douglas County Bank, North Side Bank and the South Omaha Savings Bank. The officers and staffs of these insti tutions extend a cordial invitation to out-of-town bankers to visit them when in Omaha for the convention. Upper Right Packers National Bank From the left: C. A. Jeffrey, vice presi dent; L. J. Kozeny, assistant vice presi dent; K. E. Stanley, cashier, and A. L. Coad, president. Stock Yards National Bank Seated, from the left: A. J. Hallas, vice president; W. A. Sawtell, president, and John McCumber, vice president. Standing, from the left: J. P. Krogh, assistant vice president, and C. A. Masilko, cashier. United States National Bank From the left: Dean Vogel, vice presi dent; Ellsworth Moser, president; Austin L. Vickery, vice president, and Harold L. Potter, assistant cashier. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, November, 1953 Nebraska N e w s 72 i P i s c n s s A f / r i e u l t u r a l ( ' r e d i t Among bankers who participated in the first agricultural credit conference sponsored by the Nebraska Bankers Association and held in Lincoln are (from left) : Merl C. Townsend, vice president, Fremont National, Fremont; R. P. Rinne, First National of Fairbury, chairman o f the association agriculture committee; W. F. Wenke, president, Pender State, Pender, association president; Carl G. Swanson, Omaha, association secre tary; Kenneth A. Tool, executive vice president, First National, Wahoo, and Clarence A. Peterson, Holdrege. STEEL BANK and OFFICE UNITS to fit your needs and space. Tray housing counter units, tell er units, account ing machine desks, savings tubs, mon ey buses, double capacity files and cycle billing equip ment . . . insulated if required. TRAINED REPRESENTATIVES IN MOST PRINCIPAL CITIES _ 0 \ m Complete Line of TrayBinders, Stands, Record Handling: and Housing: Equipment. Nort hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “So bankers who assist them with R URAL banking is entering a new era with regard to loans to farm loans will need all the scientific knowledge of farming available to ers. This was the keynote of the first adapt loans to their needs,” Mr. Mur Agricultural Credit Conference held ray said. at Lincoln by the Nebraska Bankers Richard Ford, extension economist Association. with the University of Nebraska, said Association President W. F. Wenke farmers have to take greater risks to of Pender told the 80 bankers who day because it takes more money for attended that the purpose was to fa present day farming. miliarize them with the agricultural He said farmers will need credit to situation and how it affects credit. keep up their standard of living and Of present conditions Mr. Wenke provide for modern farming. remarked, “There might be some tight “But if farmers cannot get the cred ening of credit due to the attitude of bankers toward the future. Loans it they need from commercial banks, will be made more carefully and will they will turn to federal lending agen depend on the individual situation of cies,” Mr. Ford warned. He said that the institutions which the borrower.” W. G. Murray, head of the econom provide the type of credit needed for ics department at Iowa State College, modern agriculture will be doing the echoed this “individualized” advice lending business in the next genera and said this is a “selective-competi tion. Mr. Ford said that some bank tive” period in which individual cases ers lament the fact that federal lend will require more study. He said farm ing agencies are in competition with ers are in an increasingly competitive AG CREDIT . . . situation. (Turn to page 82, please) SanksAA, and JhciA, JdduiA, are cordially invited to The Model Rooms and Furnished House at Orchard & Wilhelm Co. COMPLETE HOME FURNISHINGS Sixteenth and Howard Streets Omaha https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 7a If it pertains to livestock . . We can serve you. Nort hwest ern Banker, November, 7953 74 ventory of bank records, and destruc tion of some of the records, will ap pear in the December Northwestern B anker.) * * * Donald H. Ostrand has been named assistant vice president of the North Side Bank of Omaha. He had been associated with the First National Bank of Omaha since 1950. He is a native Omahan and a 1948 graduate of the University of Nebras ka. In World War II he was a B-24 pilot in the Fifteenth Air Force in Italy. * M ISS AN NA T. OLSSON of the Live Stock National Bank of Omaha had an exciting week recently. All in the space of a few days she was named “Outstanding Woman of the Year” the Omaha Business and Professional Women’s Club and she Miss Olsson has been manager of the savings department of the bank and has had more than 40 years of business experience. The bank advancement was an nounced by President Henry C. Karpf of the Livestock National. * M IS S A N N A T . O L S S O N E le c te d a s s is ta n t c a s h ie r at L iv e Sto c k N a tio n a l B an k of O m aha also was named assistant cashier of the Live Stock National. The club award was presented at a dinner at the Omaha Athletic Club. * * A special display of old bank rec ords dating back nearly 100 years will be a feature of an “Open House” be ing held at the United States National Bank for bankers and their wives at tending the Nebraska Bankers Asso ciation Convention, according to Ells worth Moser, president. Interesting records that were written in the care fully penned style so customary in banking houses of the 19th century were uncovered during recent exten sive revising of storage facilities. At the same time as the inventory of records was being taken, a com plete history of the United States Na tional and its predecessor banks was compiled, so that an accurate account of a century of service to Omaha would be available when the bank ob serves its centennial in 1956. The many historical records that were uncovered will be on display in the board of directors’ room during the Nebraska convention. (A detailed article outlining the steps taken to re align storage space, compiling an in * * Land prices probably will work low er for the next five years, but the long-range trend is upward. That opinion was expressed in Omaha by Earl F. Crouse, assistant vice presi dent of Doane Agricultural Service. Inc., of St. Louis, Missouri. He spoke at the annual meeting of the Federation of National Farm Loan Associations of the Eighth Federal Land Bank District. The Federation elected the follow ing new executive committee mem bers: Eon B. Madson, Hampton, Iowa; A. M. Grubaugh, David City, Nebras ka; John Ross, Oshkosh, Nebraska, and Ray Hirscli, Yankton, South Dakota. * * John R. Cockle, Omaha attorney, has been named assistant trust officer of the Omaha National Bank. The announcement was made by W. B. Millard, Jr., president of the bank. Mr. Cockle left the law firm of Neely, Otis & Cockle to accept the position. A native of Omaha, he was gradu ated from the University of Nebraska in 1942. After serving as an Air Force pilot during World War II, he re ceived his law degree from Creighton University at Omaha in 1947. * * * The Omaha and Council Bluffs Con ference of Bank Auditors and Comp trollers held its first meeting of the P irst National' ¿Bank oí Omaha 0 Oldest N a t io n a l Bank. F r o m O m aha W est Digitized forNorthwestern FRASER Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Deposit Insurance Corpi ® 75 WHERE DO YOU BUY YOUR FEEDERS? https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 'A T THE OMAHA M A R K E T ! . . . I've always found they have a broader selection of the finest stocker and feeder cattle from the western range country. I'm sure of a clear title and accurate weights. You'll find successful stocker and feeder buyers rely on the Omaha Market for their replacements and as a dependable outlet for their fat stock." Wor/cté ¿ £(r£Sr ù tile Market! 4 U N I O N STOCK YARDS C O M P A N Y Nort hwest ern Banker, November, 1953 76 Advertisement N "R o ll o f e b r a s k a 99B anks r on H It is a n h o n o r to b e lis te d a m o n g th e H O N O R R O L L B A N K S. It in d ic a te s th a t th e b a n k has SURPLUS and U N D IV ID ED PROFITS e q u a l to o r g re a te r th a n its c a p ita l The banks listed on this page are some of the outstanding ‘'Honor Roll” Banks in Nebraska. B y careful management and sound banking they have achieved this enviable position. These banks will be especially glad to handle any collections, special credit reports or other business in their communities which you may entrust to them. Corre spondence is invited. TOWN BANK Auburn............................ Carson National Bank ............. Aurora....................... ......First National Bank in Aurora.......... Beemer............................ First National Bank......................... Bennington..................... Bank of Bennington......................... Bertrand..........................Bank of Bertrand......... ..... Bradshaw....... .................First National Bank............................ Brady...................... .........Bank of Brady........................ ................. Brule................................ Bank of Brule........................................... Bruning........................... Briming State Bank....................... .... Brunswick..................... Brunswick State Bank .... ....... Center......... .....................Center State Bank........................ Coleridge............ .............Coleridge National Bank.......... ............ Culbertson........... ........... Culbertson Bank .... ................................ DeWitt............................. DeWitt State Bank......................... ..... Elgin........ ........................Bank of Elgin..... ..................................... . Elkhorn....... ......... .... Farmers State Bank.................. ............ Ewing........ .......... .........Farmers State Bank______ __________ Fairbury...........................First National Bank.... ............. ..... Falls City....................... First National Bank...................... ..... Fremont.................. ........ First National Bank___________ ___ Fullerton....... ..................First National Bank.............................. Gallaway......... ...............Seven Valleys State Bank __________ Gibbon........... .................. Exchange Bank ....................................... Gresham.___ ___ _____ Gresham State Bank.............................. Hooper.... .........................First National Bank.............................. Hoskins............................ Commercial State Bank........................ Humboldt........................ Home State Bank ...... ..... ................ Lewellen___________ __ First National Bank_________ ___ __ Lincoln..... ....................... National Bank of ¡Commerce................ Lyons............................ First National Bank............................. Madrid............................ Security State Bank............................. Malmo..............................Security Home Bank............................... Marquette........ ............. First National Bank............... Maywood__________ ___ Farmers State Bank.............................. McCook............................. First National Bank.... ..... Nehawka......... ................ Nehawka Bank ....... ........... .............. Norfolk............................ DeLay National Bank............................. North Platte................. McDonald State Bank............... ............. Oakland........................... Farmers & Merchants National Bank Omaha...... .......................Live Stock National Bank....... ............. Omaha.... ...................... Omaha National Bank............ ............. Omaha........ .....................Stock Yards National Bank....... ........... Omaha..----- --------- -------- United States National Bank________ Ord................... ................Nebraska State Bank............................ Pawnee City........ ...........Citizens State Bank................................ Pickrell.......... ..................Pickrell State Bank_____ ____________ Pilger............... ................Farmers National Bank........................ Ponca........ .......................Bank of Dixon County.......... ................. Scribner_____ _____..___ First National Bank of Scribner....... Spencer........... .................Spencer State B ank.._______ _________ Springview............... First National Bank________________ Stamford....... .................-Stamford Bank ...................................... Stromsburg............. ........Stromsburg Bank ................................... Syracuse .......... ............. First National Bank_______________ _ Tekamah-.____ _____ __ First National Bank________ _____ ___ Tilden...-........................... The Tilden Bank.... ................................ West Point..................... First National Bank................ York........... ......................York State Bank__ ____ _____ _______ Scarborough’s planning and service are by-words in the banking fraternity. They are available to you, along with the broadest protection at the lowest cost. Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis OFFICER John T. Zacharias...... Frank M. Farr..... ........ E. H. Sutherland......... H. E. Roe......... ............ A. H. Walentine.... ....... L. W. Farquhar........... Gordon Jones ............. M. H. Adams................ Fred H. Bruning......... Leonard H a les........ ..... C. T. Britt..................... James L. Gray.... ......... 0. P. Simon................... R. E. Burkley.... ........... R. K. Draper, Jr.......... E. F. Saeger...... ........... Maud Brion ..... ............ Ivan C. Riley__ ___ __ _ G. P. Scholz...... .......... Wm. N. Mitten....... ...... E. M. Black.... ............... L. F. Johnson............... C. A. Brumbaugh....... Arthur W alford ......... G. H. Looschen.... ......... Ed Kollath ................... Otto Kotouc, Jr,......... J. L. Kats..................... Glenn Yaussi ............. W. C. Heintzelman..... F. H. Scott................... Amy H. Houfek........... D. M. Ferguson........... R. M. Roach............... . H. M. Krogh........... ...... Walter J. Wunderlich J. J. DeLay................... G. W. Taylor................ Chase C. Neumann..... Paul Hansen ________ W. B. Millard, Jr........ John McCumber ........ . Austin L. Vickery___ R. J. Cronk.................... J. A. Barr..................... 1). Reil ......................... Floyd Pope ................. F. R. Kingsbury....... . A. R. Kuhlman........ . George Sadlacek ____ H. G. Thorley............... Wm. F. Pentz.... ........ E. C. Nordlund............. Eugene Pratt ....... ..... . H. J. W ragge.... ........... G. P. Bauman_____ _ J. J. Jaeger, Jr__ ____ J. A. Boyle................ . CAPITAL $ 60,000 50.000 25.000 25.000 25.000 25.000 25.000 25.000 50.000 25.000 15.000 50.000 35.000 30.000 25.000 35.000 25.000 150.000 100.000 175.000 50.000 25.000 30.000 25.000 75.000 25.000 50.000 50.000 800.000 50.000 25.000 25.000 25.000 25.000 200,000 25.000 200,000 100,000 60.000 1,500,000 5.000. 000 500.000 2.000. 70.000 25.000 25.000 50.000 35.000 50.000 25.000 25.000 25.000 30.000 50.000 100.000 25.000 50.000 100,000 Scarborough & Company " Insurance 000 Counselors SURPLUS PROFITS $ 224,000 192.000 110.000 38.000 66.000 44.000 40.000 44.000 124.000 58.000 36,473 82.000 99,829 55.000 107.000 75.000 75.000 549,907 315.000 437,905 135.000 55.000 66.000 41.000 200,181 75,893 117.000 645.000 1.465.000 114.000 92.000 52.000 36.000 130.000 453.000 40.000 350.000 234.000 251.000 2.394.000 8.722.000 1.056.000 4,028,123 137.000 77,605 32.000 120.000 98.000 78.000 107.000 52.000 64.000 130.000 150.000 233.000 125.000 338.000 194.000 1 to B a n k s FIR S T N A T IO N A L BANK B U ILD IN G . C H IC A G O 3, IL L IN O IS . STate 2 -4 3 2 3 Nebraska News season recently, with 57 members pres ent. The speaker was Edward F. Lyle, vice president and comptroller of the City National Bank and Trust Com pany of Kansas City, Missouri. He spoke on the microfilming and storage of bank records. * * The house magazine of The Omaha National Bank, Around the Bank, won the Award of Excellence in a compe tition sponsored by the Society of Associated Industrial Editors. Com pany publications from 11 southwest- Morris F. Miller, assistant vice pres ident of the Omaha National Bank, is teaching a course in advanced credits at the University of Omaha. The course is being given in cooper ation with the Omaha Association of Credit Men. * * * 77 to repay short-term bank loans which provided construction funds. The stock is part of 750,000 shares authorized by a charter amendment approved by stockholders at a special meeting August 24th.—The End. * * Hit by Piano Melvin Adams, president of the Northern Natural Gas Company di Bank of Brule, Nebraska, suffered a rectors have set a dividend rate of cerebral concussion and a wrenched 5V2 per cent on 250,000 shares of pre knee when a piano toppled from a ferred stock with par value of $100. pickup truck on him. When the piano Treasurer Harry H. Siert said that suddenly shifted, Mr. Adams feared the stock was to be offered to the pub that it would fall on a child standing lic at par by an underwriting group nearby and tried to stop it, the 500headed by Blythe & Company. pound instrument striking his head Proceeds from the sale will be used and his left knee. AMERICAN NAT10NAL BANK ST. JOSEPH. MO. O F F IC IA L S T A T E M E N T — SE P T E M B E R 30, 1953 R ES OU RC ES Loans “ Award of Excellence” presented to Omaha National Bank. ern states were entered. The awards were based on editorial achievement and appearance. Mary Gleason, adver tising manager, is editor, and Jean Culp is assistant editor. At the pres ent time it is mailed monthly to the bank staff members, directors, stock holders and correspondent banks. * * * W. B. Millard, Jr., president of the Omaha National Bank, has been named to head a drive to raise $1,000,000 for the new Clarkson Hospital at Omaha. The drive was to begin after the close of Omaha’s Community Chest campaign. Clarkson Hospital recently sold its present building and nurses’ home and will erect a $3,500,000 hos pital near the University of Nebraska College of Medicine at Omaha. Mr. Millard said sale of the present Clarkson properties, plus money made available by the board of trustees, will total $2,500,000, leaving the milliondollar balance to be raised in the fund campaign. $ 7,348,752.18 Municipal Bonds ________________ 1,071,585.52 111,000.00 Banking Premises ________________ Federal Reserve Bank Stock ________ United States Obligations _$11,245,803.83 Cash and Sight Exchange 7,526,688.56 _ _ 30,000.00 18,772,492.39 $27,333,830.09 LIABILITIES Capital Stock $ Surplus ______ I »divided Profits and Reserves Deposits _ _ 400,000.00 600,000.00 _ 350,708.72 ___________ 25,983,121.37 $27,333,830.09 OFFICERS R . R . C A L K IN S P resid en t C H A R L E S K . R IC H M O N D A s s is ta n t V ic e P re sid e n t G E O . U . R IC H M O N D E x e c u tiv e V ic e P resid en t W. F R A N K L IN E V A N S A ss is ta n t V ic e P resid en t B E V E R L Y P IT T S V ic e P resid en t E . H. G I N Z K E Y A ss is ta n t C a sh ier W A L T E R W . L IM B A C K V ic e P resid en t W . H A R R IS O N G R I F F I T H A ss is ta n t C ash ier B EN T O N M. C A L K IN S , J R . C a sh ier TOM J . B U T L E R A ss is ta n t C a sh ier <Tln' Olì) flU'Ualilrli CHARLES E. WALTERS C O . https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M em ber F e d e ra l D epo sit In su ra n ce C o rpo ratio n Nort hwest ern Banker, November, 1953 neer Insurance Company and Folsom Bros. Company in Lincoln. He is a native of Lincoln, receiving degrees from the College of Business Admin istration and the Law College at the University of Nebraska, also attending Columbia University and New York University. His civic activities have embraced 20 years of work with Boy T WO new directors have been ap pointed at the National Bank of Commerce. Arnott R. Folsom suc ceeds his father, E. C. Folsom, de ceased. William I. Aitken takes the place of E. W. Miskell, who also died recently. Mr. Folsom is president of the Pio- OVER EIGHTY-TWO YEARS OF BANKING EXPERIENCE Statement of Condition The First National Bank of Lincoln LIN CO LN , N EB R A SK A (ORGANIZED 1871) At the Close of Business September 30, 1953 ASSETS Cash and Due from Banks........................................... $14,901,083.31 U. S. Government Bonds............................................... 24,268,337.48 Other Bonds and Securities......................................... 4,903,472.67 Federal Reserve Bank Stock......................................... 91,500.00 Loans ............................................................................. 14,438,348.79 Interest Earned Not Due................................................. 257,385.35 Banking House and Equipment................................... 593,997.24 Total A ssets............................................................ $59,454,124.84 LIABILITIES .$1,650,000.00 . 1,400,000.00 643,862.16 $ 3,693,862.16 ......................... 144,300.96 ......................... 271,431.08 ......................... 55,344,530.64 Capital Stock.............. Surplus ........................ Undivided Profits ...... Discount Unearned .... Reserve for Taxes, Etc, Deposits ...................... ,$59,454,124.84 Total Liabilities O F F IC E R S G E O R G E W . H O L M E S....C h airm an of B o ard HO W ARD F R E E M A N ..C h a irm an E xec. Com. BU RN H A M Y A T E S .................................. P resid en t E. U. G U EN ZEL........................... V ice-P re sid e n t LIN U S E. SO U TH W ICK...........V ic e-P re sid e n t A . C. G L A N D T ..V ice-P resid en t a n d C a sh ie r R. I. B E C K E R ................................V ice-P re sid e n t CLIFFO RD G . W ESTO N ...........V ice-P re sid e n t LYLE F . ST O N EM A N ..................V ice-P re sid e n t G . H. C R A N E .......... A ss is ta n t V ice-P re sid e n t R. A . G E S S N E R ........ A ss is ta n t V ice-P resid en t M A X SCH N EID ER A ss is ta n t V ic e-P re sid e n t LEO I. B E C K .............................A ss is ta n t C a sh ie r EUG EN E K. R E E C E .............. A ss is ta n t C a sh ie r ELM ER L. P ET E RSO N ..........A ss is ta n t C a sh ie r M. H. PO LLA RD , JR ............. A ss is ta n t C a sh ie r D A LE M. SH O EM A K E R ........................... A u d ito r Member Federal Deposit Insurance Corporation Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A. R. w. FO LSO M I. A I T K E N E le c t e d d ire c to rs of N a tio n a l B a n k o f Com m erce Scouts, Red Cross work and active association with the Chamber of Com merce, University Club and Lincoln Country Club. He is now serving as president of the Lincoln Symphony Association and is a trustee of the Y.W.C.A. Mr. Aitken’s father, M. I. Aitken, was the first cashier of the National Bank of Commerce. Mr. Aitken cur rently is a director of AddressographMultigraph Corporation of Cleveland, Ohio; the Aquila Company, Omaha; Coca Cola Bottling Company, Lincoln; Sahara Coal Company, Chicago and Harrisburg, Illinois, and Woodmen Central Life Insurance Company, Lin coln. He is also on the executive com mittee of several of these organiza tions. Mr. Aitken is vice chairman of the Water Advisory Board of the City of Lincoln, a former director of the Chamber of Commerce, is now a trus tee of First Plymouth Congregational Church, and is a member of the Lin coln Country Club. He was born and educated in Lincoln, completing his education at Harvard University. Mr. Aitken is a veteran of World War I. =t= * * Fred Aldrich, vice president of Con tinental National Bank, has been re elected vice president of the American Bankers Association for Nebraska. * * * Two Lincoln bankers were on the committee for the Nebraska Educa tion-Business Day. They were Burn ham Yates, president of First National, and Glenn Yaussi, vice president of the National Bank of Commerce. The day was designed to bring businessmen and school administrators together to discuss Nebraska education. * * * Byron Dunn, president of the Na- Nebraska News tional Bank of Commerce, has an nounced his bank is making plans to hold another annual forum for its cor respondent banks in February. * * * A curb teller ordinance was killed for the second time in three months by the Lincoln City Council. The first time it was defeated by a five to two vote. Opponents thought that the matter was finished. On final reading the ordinance was killed by a four to three vote. The final form of the ordinance would have established a $350 a year fee. * * * The board of directors of the Na tional Bank of Commerce of Lincoln, Nebraska, authorized calling a stock holders’ meeting to vote on changing the par value of the bank’s stock from $100 to $20 per share. They also voted to ask the stockholders to authorize a 12% per cent stock dividend on the old stock and to give the stockholders of record at this time the right to purchase an additional 12% per cent of new stock in proportion to their present holdings. This would give the bank $1,000,000 capital and $1,000,000 surplus. New District Manager R. C. Schall, vice president of the St. Paul Terminal Warehouse Com pany, St. Paul, Minnesota, has an- office. Mr. Peterson was transferred to Omaha from St. Paul where he had served in the field warehouse division of the company. Mr. Peterson is a graduate of the University of Minnesota and had ex 79 tensive service in theArmy Medical Corps and with the office of the Chief of Transportation, Washington, D. C. He succeeds Wally Otto, who re signed recently to join his brother in a private business in Michigan. Then, consolidate your buying of bank supplies and printing horn your friendly USCB sales man. U n it e d S t a t e s C h e c k B o o k C o m p a n y 1311 H O W A R D ST. OMAHA A ttend your NEBRASKA BANKERS CONVENTION November 10 and 11 You are c o rd ia lly in vite d to our COFFEE BAR in the Assembly Room (Turn left as you enter main door) Hotel Fontenelle R U S S E L L V. P E T E R S O N N am ed d is tr ic t m a n a g er in O m ah a nounced that Russell V. Peterson has been appointed branch manager of the company, in charge of its Omaha YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AN D TIMELOCK EXPERTS NATIONAL BANK of COMMERCE LINCOLN, NEBRASKA 50 Tears at 13th and O St reet s Home of Compl e t e Banking Ser vi c e Organized Aug. 4, 1902 Member Federal Deposit Insurance Corporation F. E. D A V E N P O R T & C O . OMAHA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker. November, 1953 80 Nebraska News S im J o s e p h MUNICIPAL BONDS CORPORATION BONDS and STOCKS JOHN DOUGLAS & COMPANY, INC. Omaha, Nebraska 530 Insurance Building Phone: W ebster 2281 INVESTMENT SERVICE FOR BANKS Specializing in Nebraska Municipal Bonds KIRKPATRICK-PETTIS COMPANY 540 Omaha National Bank Bldg. OMAHA, NEBRASKA LINCOLN O FFIC E — 618 First National Bank Bldg. to provide their Chicago accounts with complete banking service, in a prompt, efficient manner. Our facilities are at your disposal. C it y N a t io n a l B a n k A M I T R U S T C O M P A N Y o t C h ica go 208 SOUTH (.M E M B E R LA SALLE FEDERAL D EP O SIT IN SU RANCE CU w icL J a xja b lsL Qm ¿x a m p L Q n a o jn sL J STREET jd m s l adm l COR P.) J h h iL J c o c T Y L u n id p a L (B o n d A , We Sell Them! R o b e r t E . S 208 South Nineteenth Street Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis c h w e s e r C o . Omaha, Nebraska G ROUP III of the Missouri Bankers Association held its fall meeting last month in St. Joseph and elected G. R. Frederick of Stanberry chair man. The new chairman, who is cash ier of Farmers State Bank of Stan berry, succeeds Harry H. Broadhead, Jr., assistant vice president of First St. Joseph Stock Yards Bank. S. C. Mc Cormack, Jr., cashier of the Exchange Bank of Mound City, was elected sec retary. The principal speaker at the evening banquet was David Living ston of Washington, Iowa, whose topic was “New Slants on Agricultural Credit.” American National Bank’s punch howl at the meeting of Group III, Missouri Bankers Association, lacked for the first time in a half century the presence of Dan Harts, who was confined to his home by illness. * * =t= George E. Porter, president of First National Bank; R. R. Calkins, presi dent of American National Bank; Fidwin B. Wright, president of Drovers and Merchants Bank, and T. J. Mc Cullough, vice president of First St. Joseph Stock Yards Bank, were the St. Joseph bank officers who attended the A.B.A. convention in Washington. Mr. Porter made the trip by air. Mr. Calkins visited in New York before returning home. * * * R. E. Jones, Jr., vice president of First National Bank, St. Joseph, spent a mid-September vacation at Colorado Springs. * * * Vacation trips by Tootle-Lacy Na tional Bank officers, St. Joseph, as the season ended included three weeks in Estes Park for E. L. Crume, vice presi dent; a week in Minnesota for Paul Ahersold, assistant cashier; two weeks at Park Rapids for Charles Burri, as sistant vice president; two weeks in Houston, Texas, visiting a new grand child, for A. E. LaBouff, assistant cash ier and auditor, and early in October a trip to West Virginia for Milton Tootle, president, who later met Rus sell Wales, vice president, in New York.—The End. Joins H o ld re g e Bank R. V. “Ray” Anderson has been ap pointed operations manager at the First National Bank, Holdrege, Ne braska, it was announced recently. The appointment of Mr. Anderson, who will be in complete charge of the proof, transit and bookkeeping depart ments, was announced by L. J. “Jo” Titus, bank president. Nebraska News . W Them in Omaha nt the .1fitti N ebraska Convention HEN the Nebraska Bankers As sociation holds its 56th annual W convention in Omaha on November 10th and 11th, officers and representa tives of larger banks throughout the country, and those associated with many industries serving the operating needs of banks, will attend to renew acquaintances and meet the younger bankers who are coming into the busi ness. Those who have informed the North western B anker of their intention to attend the Nebraska meeting are: Chicago American National Bank: Charles C. Kuning, vice president; William B. Whitman, assistant vice president, and Walter Armstrong, assistant cashier. Continental-Illinois National Bank & Trust Company: W. E. Resseguie, vice president, and John Q. Adams, second vice president. First National Bank: Verne L. Bartling, vice president, and Mrs. Bartling; V. C. von Meding, assistant cashier, and Nevin G. Bowser. Northern Trust Company: John V. Haas, second vice president, and Rob ert P. Kline, assistant cashier. Miller, Jr., assistant vice president, and John Painter, assistant cashier. First National Bank: Edward A. Huwaldt, assistant vice president. Inter-State National Bank: George C. Dudley and Arden Bruch, assistant vice presidents. Lincoln Continental National Bank: C. W. Battey, president; Edward A. Becker, senior vice president; Fred Aldrich and Howard Hadley, vice presidents, and W. E. Edgecomb. First National Bank: Burnham Yates, president; Howard Freeman, chairman of the executive committee; E. U. Guenzel, Linus Southwick, and Lyle Stoneman, vice presidents, and Elmer L. Peterson, cashier. worth, vice president; Guy S. Hadsell, assistant vice president, and R. C. Kemper, Jr. Commerce Trust Company: R ou n d ed 27 Years of Experience in th e INVESTMENT BUSINESS Smith, Polian &Co. 424 Omaha National Bank Bldg. Omaha 2, Nebraska JAckson 5065 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis New York Chase National Bank: J. D. Breaks, vice president; J. C. Frost, second vice president, and C. G. Callan, assistant cashier. Chemical Bank & Trust Company: James L. Sharp, Jr., representative. Guaranty Trust Company: Walter H. Potter, second vice president. Hanover Bank: Foster M. Hampton, assistant vice president. IO W A AND NEBRASKA MUNICIPAL BONDS Public Utility, Industrial, Railroad & Corporate Securities CENTRAL REPUBLIC COMPANY INVESTMENT BANKERS CHICAGO 90, ILLINOIS DES MOINES OMAHA H A R O L D R. C L E M E N T S V ic e P res. & Re s. M gr. IN S . E X C H A N G E B L D G . H A R R Y R. G R E E N W A Y V ic e P res. & Re s. M gr. FARN AM BLD G . MEMBERS P. V. OUR SERVICE First Trust Company: George W. Holmes, president; E. N. Thompson, executive vice president; John C. Whit ten and E. M. Hunt, vice presidents; Clarence C. Hinds, secretary-treasur er, and Dale Tinstman, assistant manager, investment department. National Bank of Commerce: Byron Dunn, president; Albert A. Held, exec utive vice president; William Strateman, Myron Weil, A. F. Jorgensen, H. E. Swedburg, Carl Ganz and Glenn Yaussi, vice presidents. lAiidsihwhitsJiA. oft,------------------------------------------------------------------------------------------------------- Kansas City City National Bank: Dale R. Ains 81 M ID W E ST GREETINGS to NEBRASKA BANKERS ASSOCIATION As you meet in Omaha, November 10-11 for your Annual Convention at the Fontenelle Hotel STOCK EXCHANGE INVESTMENT SECURI TI ES 1. Government bonds. 2. Municipal and corporate bonds 3. Listed and local stocks 4. Mutual Investment Funds T Monroe Calculating Machine Company, Inc. Underwriters — Distributors 423 So. I5th Street OMAHA, NEBRASKA ▼ 1342 P Street LINCOLN, NEBRASKA THE NATIONAL COMPANY Dealers • OF OMAHA MONROE ACCOUNTING MACHINES FOR BANKS 500 First National Bank Bldg. Members Midwest Stock Exchange Northwestern Banker, November, 1953 82 Nebraska News Manufacturers Trust Company: Har old L. Walsh, assistant vice president. Public National Bank & Trust Com pany: Earl Gafford, vice president. Toy National Bank: E. E. Erickson, vice president, and Conrad Aronson, assistant cashier. New York: John P. Eager, branch manager, Kansas City; Jack A. Lud wig, manager, Omaha, and Don B. Keller, representative, Omaha. Bank Equipment and Other Firms to Be Represented at the Nebraska Convention St. Paul Insurance Companies, St. Paul: L. R. Moeller, assistant secre St. Joseph American National Bank: Beverly Pitts, vice president, and Charles Rich mond, assistant vice president. First National Bank: J. M. Ford II, vice president, and Vern P. Meyer, assistant vice president. First St. Joseph Stock Yards Bank: Tom McCullough, vice president, and Harry H. Broadhead, Jr., assistant cashier. Tootle-Lacy National Bank: R. E. Wales, executive vice president; E. L. Crume, vice president, and Gilbert Tootle, assistant vice president. Bankers Security Life Insurance So ciety, Des Moines: Phil Blumberg, Omaha manager. Banks, William H., Warehouses, Inc., Chicago: Dave Coffman, executive vice president, and Jim Fletcher, Nebraska district manager. Bankers S e r v i c e Company, Des Moines: Henry H. Byers, president. Cummins Business Machines, Chi cago: Bud Greenspan, Nebraska rep resentative. Diebold, Incorporated, Canton, Ohio: St. Louis First National Bank: Frank Fuchs, Richard S. Gwinn, regional manager. Mercantile Trust Company: Holland LaMonte, George & Son, Nutley, New Jersey: J. S. Porterfield, sales vice president. Chalfant, assistant cashier. representative. Sioux City Live Stock National Bank: Carl L. Fredericksen, president; Stanley W. Evans, vice president, and R. K. Dra per, representative. Security National Bank: B. M. Wheelock, vice president, and Charles H. Walcott, vice president. Lawrence Warehouse Company, Chi cago: G. A. Johnson, assistant vice president. president, and Richard Brooks, assist ant vice president. Recordak Corporation, Rochester, W E SELL 0 F. E. D A V E N P O R T & O SAFE DEPOSIT BOXES — VAULT DOORS — SAFES OMAHA, NEBRASKA 9*i Jlittcoln — 'lite GosdittetUcU— Ask Our Trust Department About Estates and Estate Taxes ( o n t I M E N T A L |S|a T 10N A L L IN C O L N Member Federa) Deposit Insurance C orporation Northwestern Banker, November, 1953 St. Paul Terminal Warehouse Com pany, St. Paul: Richard C. Schall, vice president, St. Paul, and Russell Peter son, district manager, Omaha. Todd Company, Rochester, New York: H. J. Martin, manager, and T. M. Stovall, district representative. United States Check Book Company, Omaha: Homer Peterson, manager, Omaha; Howard A. Miller, North Platte; Austin King, Lincoln, and Ed Peck, Omaha. Walters, Charles E., and Company, Omaha: Robert L. Goethe, president; Paul L. Keller, Leo Goethe and Louis R. Boettcher, vice presidents. North Central Life Insurance Com pany, St. Paul: William H. Muhl, vice As the official experts of the Nebraska Bankers A sso ciation, we have served Nebraska bankers since 1881 in timelock, safe and vault inspection. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis tary, St. Paul; D. W. Lyle, manager; D. N. Shaw, state agent; E. A. Reed, state agent; Robert T. Earley, state agent, all of Omaha. AG CREDIT . . . (Continued from page 72) them. He asked, “But how anxious are commercial banks to get into real estate lending?” At another session a panel of bank ers discussed the best way to handle agriculture loans at the local bank. On the panel were John R. Fitzgibbon, assistant cashier and agricultur al representative of the Hastings Na tional Bank; Eldon F. Goble, assistant vice president and agriculture consult ant at the Beatrice National Bank; W. C. Heintzelman, president of the First National Bank, Lyons; T. J. Waldo, vice president and cashier of the Republican Valley Bank at Or leans, and the moderator, Robert L. Voss, vice president of the First Na tional Bank, Fremont. A point made in the discussion was that the farmer should be encouraged to come directly to the bank for the necessary credit to buy machinery. A question asked was whether the note should be for a long or short term. There seemed to be no cut and dried answer. Some said that the payment should be over a longer pe riod so the farmer wouldn’t have to renew the note. But others preferred the short term note for six months on the theory this gives the banker a chance to re view the farmer’s situation and dis cuss any future plans. Another panel talked of the various aspects of intermediate credit. This discussion went into the questions of Nebraska News 83 irrigation systems, soil conservation Lauritzen and Charles Vorhees, vice North Platte Award practices, portable buildings, founda presidents of the First National Bank The McDonald State Bank of North at Omaha, and Edward Huwaldt, vice Platte, Nebraska, awarded a silver tion stock and machinery. On this panel were Kenneth A. president of the First National Bank tray to the winning 4-H Club at the Tool, executive vice president of the of Kansas City. 1953 Lincoln County Fair in 4-H herdsFirst National Bank, Wahoo, and three manship. University of Nebraska officials, E. A. Change in Hours Olson, extension agriculture engineer; Four banks in Cheyenne county, L. W. Hurlbut, chairman of the agri Nebraska, have announced their deci culture engineering department; E. E. sion to close on Saturday afternoon. There must be a reason Peterson, extension agricultural econ This announcement was made by omist, and A. W. Epp, associate pro The Sidney National Bank, The First for superiority fessor of agriculture economics.—The State Bank of Lodgepole and The Pot End. ter State Bank. The Dalton State in Bank has been closed on Saturday aft ernoon for some time. 60th Anniversary The Peoples-Webster County Bank, Red Cloud, Nebraska, observed its 60th anniversary of service to the com munity by holding open house on their anniversary date last month. Some 452 persons signed the regis ter during the day. No business was transacted, the time being utilized in making welcome all those who called. All parts of the county were rep resented. Also present were Byron Dunn, former president of the First rm National Bank of Commerce at Lin Businessmen and The first Drive-Up was Diebold. coln, and Mrs. Dunn; Mrs. Fay VanTo st s A ll Today's finest Drive-Up is Landingham, cashier; Myron Weil, th e y Diebold. More than 30 Glen Yaussi and Herbert Swedberg, And this bank vice presidents of that bank; John R. exclusive features . , . dictated Diebold DRIVE-UP COUNTERS by the experience of 500 Drive-Up Banks. th e H o te l o f STAR FEATURES In KANSAS CITY FIRST NATIONAL BANK OF ARIZONA HEAD OFFICE • P H O E N I X , A R I Z O N A - M I S S O U R I Hotel Continental has every thing for enjoyment of living at its best; all rooms are out standingly gay and attrac tiv e .. . Guests enjoy all club facilities, including the swim ming p o o l, Turkish baths and Swedish m assage. Perfect location. Rooms from SOLVE THE PROBLEM OF INVENTORY LOANS with FIELD W AREHOUSE RECEIPTS issued by WILLIAM H. BANKS WAREHOUSES. INC. Dave Coffman and Jim Fletcher will be attending the NEBRASKA BANKERS ASSOCIATION MEETING and will be registered at the Fontenelle Hotel. They will appreciate an opportunity of a visit with you. DI VI SION O F F I C E S : with bath https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DES MOINES. IOWA SAN ANTONIO, TEXAS ST. LOUIS, MISSOURI ANGOLA, INDIANA WILLIAM H.BANKS WAREHOUSES Over 60 years of continuous service to Banks Northwestern Banker, November, 1953 84 LIVE STOCK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N A T IO N A L B A N K O M A H A , N E B R A S K A M EM B ER OF FED ERA L RESERVE AND FED ERA L DE P O S IT I N S O B A N C E CO RPORATION i A NUMBER of persons attending the Iowa Bankers conven tion last month are pictured on this and succeeding pages. Left to right in the pictures above are: LEFT— Lee A. Holland, executive vice president, Washington State Bank, Washington, and new president of Iowa Bankers Association, and Joe Menges, cashier, Alta Vista, and new vice president and treasurer of the Iowa Association. CENTER—Harry S. Lekwa, retiring Iowa Association presi- dent, and vice president, Ackley State Bank, Ackley; Eddy Gil more, former correspondent in Moscow for the Associated Press, and Chas. J. Spies, president, Iowa Trust and Savings Bank, Emmetsburg, andretiring vice president and treasurer of the Iowa Association. RIGHT— C. S. Young, president, Federal Reserve Bank, Chi cago, and Vivian W. Johnson, president, First National Bank, Cedar Falls, and a director of the Chicago Federal Reserve. N ew il iffSi o í 3 9ti5 7 P erson s R ecord ed a t Mourn S'on vent ion Excellent Speakers from Varied Fields Well Received C OMPREHENSIVE discussions of the agricultural outlook, nation al business needs and trends, the government bond market, bank ing operations, United States foreign relations and international military requirements were all wrapped up in a neat package of outstanding speak ers and delivered to 3,057 persons at tending the 67th annual convention of the Iowa Bankers Association in Des Moines late last month. The registration figure of 3,057 set a record high, exceeding last year’s attendance total by 336. The conven tion was held at Hotel Fort Des Moines. ) Lee A. Holland, executive vice pres ident and trust officer of the Washing ton State Bank, Washington, was elected president of the Iowa Bankers Association to s u c c e e d Harry S. Lekwa, vice president of the Ackley State Bank, Ackley. Joe Menges, cash ier of the Alta Vista State Bank, Alta Vista, was elected vice president and treasurer. He succeeds Chas. J. Spies, president of the Iowa Trust and Sav ings Bank, Emmetsburg. At the meeting of Iowa members of the American Bankers Association, John B. Keeline, vice president of the A.B.A. for Iowa, presided. He is pres ident of the Central Trust and Sav Left to right are: LEFT—Panel on United States government bonds—Andrew E. Wigeland, vice president, City National Bank and Trust Com pany; James H. Clarke, vice president, American National Bank and Trust Company; Richard H. Wayne, vice president, Harris Trust and Savings Bank, and John Grier, vice president, First National Bank, all of Chicago. RIGHT—Paul M. Shain, executive vice president, Benton https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ings Bank at Cherokee. Grover S. Krouth, president, Iowa Trust and Savings Bank, Oskaloosa, was re elected nominating committeeman. Joe H. Gronstal, vice president, Carroll County State Bank, Carroll, was elected alternate. J. H. Pullman, vice president, Fre mont County Savings Bank, Sidney, was elected to a three-year term on the A.B.A. executive council. At the annual luncheon meeting of the Iowa Club of the School of Bank ing at Madison, new officers were elected as follows: President, Carroll W. Grimes, exec utive vice president, First National County Bank and Trust Company, Vinton; Carroll W. Grimes, executive vice president, First National Bank, West Union; Joseph G. Knock, president, Iowa State Savings Bank, Creston; J. W. Lipton, Jr., vice president and cashier, Arthur Trust and Savings Bank, Arthur, and S. G. Barnard, secretary, Bankers Trust Company, Des Moines. Mr. Grimes is new president of the Iowa Club of the School of Banking at Madison. Mr. Lipton is new vice president, and Mr. Shain, Mr. Knock and Mr. Bar nard are new directors. Nort hwest ern Banker, November, 1953 80 Iowa News M itre P ictures from the lotea Convention MORE PICTURES from the Iowa Bankers Convention. Left to right are: UPPER LEFT— Charles H. Griesa, vice president, Inter-State National Bank, Kansas City; Mrs. Frank Fuchs, and Frank Fuchs, vice president, First National Bank, St. Louis. CENTER— The “ American Beauties” at the Iowa Bankers As sociation headquarters. Seated—Dora Springer and Rose Dooley. Standing—Pauline Marks, Elsie Hartnagle and Carole Hughes. UPPER RIGHT—Jack Porterfield and Robert P. O’Connor, George LaMonte & Son, Chicago. Bank, West Union; vice president, J. W. Lipton, Jr., vice president and cashier, Arthur Trust and Savings Bank, and secretary-treasurer, Gordon C. Hall, assistant cashier, Citizens State Bank, Wyoming. Dale C. Smith, assistant vice president, Central Na tional Bank and Trust Company, Des Moines, is retiring president. Directors of the Iowa Club elected for one year are: S. G. Barnard, sec retary, Bankers Trust Company, Des Moines; Hugh P. Ross, cashier, Lyon County State Bank, Rock Rapids; Jo seph G. Knock, president, Iowa State Savings Bank, Creston, and Paul M. Shain, executive vice president, Ben ton County Bank and Trust Company, Vinton. The entire morning of the first day was devoted to talks by 10 speakers on agriculture. Presiding over the meeting, which started with break fast, was J. E. King, chairman of the Iowa Bankers agricultural committee and president of the Peoples National Bank in Albia. The three principal speakers were Allan B. Kline, president of the Amer Northwestern Banker, November, 7953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BOTTOM LEFT—P. T. Webb, executive vice president, Manly State Bank; Robert Schaefer, cashier, Manly State Bank; Robert Bride, director, Manly State Bank; John Cleary, Marquette Na tional Bank, Minneapolis; Mrs. P. T. Webb; Harry Habata, en tertainer for the Marquette National, and Otto H. Preus (fore ground), vice president, Marquette National Bank, Minneapolis. BOTTOM RIGHT—Donald A. Harper, assistant vice president, First Wisconsin National Bank, Milwaukee; John R. Lauritzen, vice president, First National Bank of Omaha, and Mack A. Aldrich, vice president, First National Bank in St. Louis. ican Farm Bureau Federation, Chi cago; Dr. James H. Hilton, recently appointed president of Iowa State Col lege, Ames, and Fred H. Hatch, presi dent of the Chicago Live Stock Ex change. Mr. Kline attacked the system of fixed farm price supports advocated by certain government officials, the house agricultural committee in par ticular, and said he favored instead flexible supports that would fit in bet ter with a continued system of free enterprise in all phases of agriculture. He expressed great confidence in the ability of Iowa farm families to main tain a strong agriculture in this state. Dr. Hilton explained the scientific ap proach to farming advocated through the schools at Iowa State, explaining how improved methods of farming are made available through these scien tific studies. He called upon bankers to familiarize themselves with tech nical advances so they could judge loaning requirements of farmers in the light of these modernized prac tices that lead to greater production and income. Mr. Hatch’s belief that more confi dence has come into the cattle market and that livestock in general is now in a more stable position, was also expressed by a number of bankers who were asked for comments along this line during the convention. The general feeling of most is that farm conditions in Iowa are in pretty good shape, and probably better than most other farming areas. Other subjects discussed at the morning meeting were agricultural credit conditions, the Iowa Agricul tural Credit School at Ames (held two weeks each June), a commercial fertilizer loan program for banks, tree farming in Iowa, reforestation, grass land farming and financing the com mercial feed dealer. Another outstanding feature during the convention was a four-man panel of Chicago bankers who discussed “The U. S. Government Bond Market.” Moderator was James H. Clarke, vice president of the American National Bank and Trust Company. Others were John Grier, vice president, First National Bank; Richard H. Wayne, 87 B e st W is h e s . . . fo r a W o n d e rfu l T h a n k s g iv in g The directors, officers, and all members of Bankers Trust Company extend to you their sincere wishes for a most pleasant Thanksgiving Holiday. Des Moines, Iowa https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M em ber: F ed era l Deposit Insurance Corporation F ed era l Reserve System Northwestern Banker, November, 1953 Iowa N e w s .W«r<* P ic tu r e s HOSTS at the social hour during the convention were officers of the Central National Bank and Trust Company, Des Moines. Several of the officers are pictured above, left to right: LEFT— George T. Nelson, assistant cashier; Frank R. Warden, vice president; Lehman Plummer, vice president, and E. F. vice president, Harris Trust and Sav ings Bank, and Andrew E. Wigeland, vice president, City National Bank and Trust Company. James Q. du Pont, administrative assistant, E. I. du Pont de Nemours & Company, Inc., Wilmington, Dela ware, warned that business men should not appeal to the selfish motive in the public, but first realize them selves that what individuals want most is to be first spiritually and mor ally wealthy. G. Keith Funston, president of the New York Stock Exchange, was wel comed back to the state of his birth, and in return gave his “standing room only” audience a brilliant discussion on a topic that could have been made too complex by a less experienced man. His talk, “Equity Capital and the Stock Exchange,” pointed up the need for new capital in today’s ex panding business world. He men tioned the need for educating the pub lic to the soundness of investing in the business of American factories and enterprises, stating that the vast resource of constantly growing sav ings could well provide some of the funds so badly needed for new equity capital. Dr. You Chan Yang, South Korean Ambassador to the United States, brought his vast audience to their feet at the end of one of the most soul stirrin g , beautifully delivered ad dresses ever heard in Iowa conven tion halls. Short, smiling, yet serious, and immaculately groomed, Dr. Yang presented his side of the Korean issue in a masterful style that left no doubt as to his opinions on any point men tioned during his talk. His vivid descriptions of terror and destruction visited on his country by the Communists were followed by sin cere words of praise for American G. I.’s whom he said could never be Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis fromloira Buckley, president. RIGHT—Arthur T. Donhowe, vice president; E. R. Bowlin, vice president; Dale C. Smith, assistant vice president; Ed Blicjuez, assistant vice president; Harold Carlson, assistant cashier, and Emmett E. Johns, vice president. thanked adequately for their sponta neous giving of $15,000,000 out of their own pockets just to aid the more than 200,000 Korean children who were or phaned by the war. Repeatedly throughout his talk, Dr. Yang referred with great emotion to the love his country has for the United States, and their esteem for the honest and hon orable manner evidenced by this coun try towards Korea. Dr. Yang’s fluent style and descrip tive powers painted graphically the picture of a Korea that is 4,300 years old, a Korea that has never in all that time waged aggressive warfare, a country that has many times moth ered inventions such as movable type (before Guttenberg), submarines in 1593 to defeat the Jap navy, the en cyclopedia 300 years before it was first brought out in France, and the magnetic compass for navigation — just to mention a few. About India’s Prime Minister Jawaharlal Nehru, Dr. Yang had this to say: “Mr. Nehru is attempting some thing that history has always record ed in black and white—the folly of appeasement. Mr. Nehru is attempt ing to evolve a new Hindu rope trick. He is attempting to walk a tight rope and be nice to the Communists on one side and appear equally nice to the free world on the other side.” He then added, “ I do not go along with this ‘aerial tiptoeing.’ ” In concluding his talk, Dr. Yang re ported on a few of the statistics emerg ing from the Korean war: 200,000 or phans, 300,000 w i d o w s , 10,000,000 homeless and 20,000 known amputees. “The enemy now wants to talk,” he said. “ Shall we listen to him? Think it over!” Eddy Gilmore, noted Associated Press correspondent in Moscow and recently returned to this country aft er 11 years abroad, gave an insight into Russian everyday life in a mat- ^ ter-of-fact manner that pulled the hazy veil away from just how much the Russian people have and how good or bad it is. As two examples ^ he mentioned that a Russian vacuum cleaner he purchased had lasted ex actly one month, while the Russian refrigerator was still operating after some months but wouldn’t freeze iceY cubes in summertime! When any Russian is arrested, his bank account, if he has one, immedi ately is seized by the government. ^ Mr. Gilmore said he believes one of these four things will occur under Malenkov: 1. Premier Malenkov will return to the Stalin former type of vicious dietatorship. 2. He will form a more liberal gov ernment. 3. A military man will step in and .v. take over. 4. Premier Malenkov will try to im itate Stalin and then the organization will fall apart from dry rot. Mr. Gilmore said it appears to him"' that Malenkov’s regime is weak, it seems to be playing for time and doesn’t look like it will last long. He thinks Russia’s government will begin i to fall away at the edges, then con tinue to deteriorate. General James A. Van Fleet, former Commander of the 8th Army and U. N. Commander in Korea, was given a standing welcome as he approached the speaker’s rostrum. His topic, “Loyal Allies,” was most interesting and related his views as to which countries could be relied upon as our friends and what kind of military aid they needed. General Van Fleet spent 29 months in Greece prior to his top , assignment in Korea, where he again* distinguished himself. After his re tirement last March, he went around the world again, revisiting many coun- 89 W HERE EVERY C U S T O M E R IS IM PO RTAN T "A ■ f V A L L E Y BANK AND TRUST CO M PAN Y DES M O IN E S I MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Nort hwest ern Banker, November, 1953 90 Iowa News sports and fur clothing were flown in from abroad and from eastern cities for this special showing. All of this huge “wardrobe” was insured for more than $200,000. On Sunday night in the main ball room of the Hotel Fort Des Moines, Mrs. William G. Kane, whose husband is vice president of the Central Na tional Bank and Trust Company, Des Moines, gave a very fine piano lecturerecital of classical music. The principal entertainment for the convention, “Hippodrome of 1954,” United States Senator Alexander turned out to be a sparkling, fastWiley (Wisconsin) was the final moving parade of some of the finest speaker on the program. As chair acts ever to appear on the KRNT man of the Senate Foreign Relations Theater stage. Highlight of the “Hip Committee, Senator Wiley told Iowa podrome” was the “dancing waters” bankers that this country has had act. Specially designed fountains of world leadership thrust upon it, that water were played by remote control such leadership was not sought. “But in rhythm with the orchestra music, this is like a man who doesn’t want arching high in the air, then drop to go swimming but suddenly finds ping back, forming various patterns, himself in the water,” said the Sena presenting changing color patterns as tor. “He either swims or he sinks.” lights were changed, then swaying Senator Wiley stated that if it were back and forth in time with waltz not made possible for foreign markets music.—The End. to purchase U. S. surpluses, such as surplus farm commodities, that these surpluses would soon build up do Iowa League Officers New officers of the Iowa Savings mestically and have a depressing ef and Loan League elected at the annual fect on the market. The ladies’ program at the conven meeting in Des Moines are John Vasattion was headlined by a luncheon and ka, Cedar Rapids, president; E. P. Juel, style show at the Hotel Savery. Lat Council Bluffs, first vice president; C. est fashions in formal, informal, H. Warnock, Iowa Falls, second vice tries to obtain information and data that he reported in this talk. In sub stance, the General related that what all of these countries need is moderate supplies of military equipment and the only American manpower they want is experienced supervision from United States military men that can help train their forces. Other than this, he said, they do not want one American soldier for each of these countries is willing to fight for itself, and they do not ask that American blood again be shed. P ictures Taken at ON THE OPPOSITE PAGE are more pictures taken at the Iowa Bankers convention. Left to right in each picture are: 1. Seated—Jack G. Mitchell, manager of hog buying depart ment, John Morrell and Company, Ottumwa, Iowa, and Joe Snyder, assistant vice president, Manufacturers Trust Company, New York. Standing—Frederick W. Conrad, vice president, Northwestern National Bank, Minneapolis, and Paul W. Water man, Jr., vice president, Security-First National Bank of Los Angeles. 2. W. E. Brockman, vice president, Midland National Bank, Minneapolis; Mrs. W. Harold Brenton, Des Moines: Mrs. Arthui T. Donhowe, Des Moines, and W. Harold Brenton, president, State Bank of Des Moines. 3. Herb H. Echtermeyer, vice president, Live Stock National Bank, Omaha; Mrs. R. B. Mulder, Des Moines, and Paul Hansen, vice president, Live Stock National Bank, Omaha. 4. Dale H. Smith, executive vice president, Tipton State Bank, Tipton; Mrs. Smith, and John V. Haas, second vice president, Northern Trust Company, Chicago. 5. Carl L. Fredricksen, president, Live Stock National Bank, Sioux City; Lee A. Holland, executive vice president, Washing ton State Bank, and new president of the Iowa Association; Leland C. Parkin, second vice president, Continental Illinois Na tional Bank, Chicago, and L. F. Pingel, president, First State Bank, Sioux Rapids. 6. Seated—C. S. Young, president, Federal Reserve Bank, Chi cago, and James W. Hubbell, chairman, Bankers Trust Company, Des Moines. Standing—R. J. Swanson, president, Citizens State Bank, Clarinda; Scott C. Pidgeon, president, and Nevin Lee, vice president, both of Bankers Trust Company, Des Moines, and Banning MacFarland, vice president, Northern Trust Company, Chicago. 7. George S. Henry, Kenneth T. Martin and Ashton Carhart, all vice presidents of the First National Bank, Minneapolis. 8. S. G. Barnard, secretary, Bankers Trust Company, and Digitized for Northwestern FRASER Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis president, and E. M. Klapka, Fort Dodge, re-elected secretary-treasurer. R. T. Jenkins, Waterloo, and J. M. Camp were elected to the state executive committee and C. R. LaBarre, Algona, was elected a director of the na tional organization. 4 Farm Forum An estimated 500 area farmers and businessmen attended the Grinnell, Iowa, State Bank Farm Forum at Grinned college, hearing talks by farm leaders headed by Allan Kline, presi dent of the American Farm Bureau. Bank officials termed the opening forum as “highly successful.” The forum will be repeated next year, fea turing leaders in the farm field as the speakers. Iowan Honored Harry E. Petersen, former Council Bluffs, Iowa, resident, has been elected president of the Banking Advertisers Association of Southern California. He is vice president and director of advertising of Citizens National Trust and Savings Bank of Los Angeles. To Remodel ^ h Stockholders and directors of the Northwestern State Bank, Orange City, Iowa, have voted to begin an expan sion program which will more than ^ double the size of the bank’s office facilities. latraHankers C. Albin Rodine, Iowa-Des Moines National Bank, both of Des Moines. 9. William Haakinson, vice president and cashier, First Fed"* eral State Bank, Des Moines; Mrs. Melvin D. Synhorst, and Melvin D. Synhorst, Iowa Secretary of State, Des Moines. 10. Walter Armstrong, assistant cashier; Charles C. Kuning, vice president, and William B. Whitman, assistant vice president, all of American National Bank and Trust Company, Chicago. 11. Seated—Hollis F. Peck, manager of public relations de partment, John Morrell and Company, Ottumwa, and Ray O. Bailey, president, Jasper County Savings Bank, Newton. Stand ing— c. B. McClelland, John Morrell and Company, Ottumwa, and Dale E. Sharp, vice president, Guaranty Trust Company, ^ New York. 12. Nathaniel M. Symonds, vice president, Northern Trust Company, Chicago; Honorable Thomas E. Martin, congressman from 1st District, and candidate for United States Senator, Iowa City; W. W. Summerwill, president; Ben S. Summerwill, chair man, both of Iowa. State Bank and Trust Company, Iowa City; * (in the foreground) Edward P. Kautzky, vice president, Valley Bank and Trust Company, Des Moines, and W. F. Schmitt, vice president, Iowa State Bank & Trust Company, Iowa City. 13. Seated— Vincent Yager, vice president, and Richard H. Wayne, vice president. Standing— Thomas C. Barnes, assistant vice president; Gilbert McEwen, representative; Roland C. *• White, representative, and Clark Cox, assistant vice president, all of Harris Trust and Savings Bank, Chicago. 14. A model shows one of the latest fashion creations from Paris. 15. Seated—Everett M. Griffith and Gerald O. Nelson, vice < presidents; Calvin W. Aurand, president, and John deJong, vice president. Standing—E. Stanton Miller and Michael J. Costello, assistant cashiers; Harry L, Westphal, assistant vice president; Harry G. Wilson, vice president and cashier, and Orville M. Gar rett, vice president, all of Iowa-Des Moines National Bank, Des Moines. * https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis American Institute of B a n k i n g SECTION OF THE AMERICAN BANKERS ASSCCIATION ALSO SPONSORED 8' 92 Iowa News M o re Pictures from the Iowa Convention i > y EXHIBITS at the Iowa Bankers convention were well at tended and a number of the exhibitors are shown above. Left to right in each photo are: 1. Clyde H. Hayward and Bruce E. Ingels, Des Moines, and M. R. Pearson, Davenport, all with LeFebure Corporation. 2. J. H. Peterman, Boone, and Howard O. McCoy, resident vice president, Lincoln, Nebraska, both with Colorado Credit Life. 3. C. S. Beem, Ames, and James R. Rowen, manager, Des Moines, both with Burroughs Corporation. 4. Jack A. Ludwig, Omaha; John P. Eager, manager, Kansas City, and H. M. Breisch, Chicago, all of Recordak Corporation. 5. W. L. Ewald (seated), Davenport; C. H. Steinway, Water loo; J. M. O’Connor, Cedar Rapids, and Bob Raven, Waterloo, all of National Cash Register Company, and R. L. Becher, assistant cashier, Union Trust and Savings Bank, Fort Dodge. 6. R. C. Howenstine, assistant manager, midwest bank division, Mosler Safe Company, Chicago. 7. Arthur J. Radcliffe, Chicago, and M. I. Greenspan, agency manager, Omaha, both with Cummins Business Machines Corpo ration. 8. Ralph Rowan, Rowan Company, Des Moines. Joins Staff COMPLETE CORRESPONDENT BANKING SERVICE TO Y NATIONAL BANK Member Federal Deposit Insurance Corp. = "PARKING W HILE YOU BANK" SIOUX CITY, IOWA Nort hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Joseph H. Wolfe, for the past three years executive secretary of the North Carolina Bankers Association, has joined the staff of the American Bank ers Association as assistant secretary of the trust division and assistant to the executive manager, it was an nounced by A.B.A. Executive Manager Merle E. Selecman. Before his position as executive sec retary of the North Carolina Bankers Association, Mr. Wolfe was on the fac ulty of the Law School of Washington and Lee University at Lexington, Vir ginia. V- 93 • •«Exploring MARQUETTE Land -rc The tiiizens defend their hank During the last half of the nineteenth century, the Independent Bank was a new and struggling enterprise in many communities throughout Marquette Land. These banks possessed few safeguards and their str o n g boxes became tempting targets for various gangs operating in the Midwest. Perhaps the most famous of these bank rob beries took place in Northfieid, Minnesota in 1876. There a group under the leadership of Jesse James attempted a daylight raid. A street battle followed. When the smoke cleared away two of the bandits lay dead and the rest were in headlong flight. Seventy-five years ago a successful hold up might force a bank to close its doors. Today that cannot happen. Various forms of insurance pro tect the bank and its depositors. Banks, too, work together to increase the safety and quality of their operations. Russell L. Sfotesbery P r e s id e n t Carl R. Pohlad j V ic e P r e s id e n t For many years it has been Marquette’s privilege to work with other banks. We know the prob lems and requirements of the Independent Bank and have developed specialized departments to meet them. These are backed by resources large enough to provide assured protection, in a bank small enough to take a personal interest in you and your bank. DE P AR T ME NT OF BANKS AND B A N K E R S STRONG FRIEND OF THE INDEPENDENT BANKER https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Otto H. Preus John 0 . C leary V ic e P r e s id e n t R e p r e s e n ta tiv e Nort hwest ern Banker, November, ¡953 94 Iowa News Shearer Retires C. P. Shearer, long time Cumberland banker, has announced his retirement, because of ill health, as president and director of the Cumberland, Iowa, Sav ings Bank. One of the original incor porators and directors, Mr. Shearer has been associated with the bank since its organization in January, 1905. A native of Collins, Iowa, he grad uated from Iowa State Teachers Col lege in 1900, taught school in Iowa until 1903 when he moved to Cumber land and was engaged in the insurance business until the organization of the bank. He was named cashier in 1906, and elected president in 1937. Mr. Shearer’s interest in the bank has been sold to local residents. Bank officers indicated that meetings of the new stockholders and the directors would be held later to select a director and president to fill the vacancies. J. O. Stahl is cashier and C. C. Mills is vice president. Candidacy Announced The candidacy of Ralph Eastburn for election to the A.B.A. Executive Council, to take place at the Iowa convention in 1954, has been an nounced. Mr. Eastman is president of the Iowa State Bank and Trust Com pany in Fairfield, Iowa. Mr. Eastburn is secretary of Group 11 of the Iowa Bankers Association. He is a past president of the JeffersonVan Burén Bankers Association, and was a member of the State Banking Board for four years. Mr. Eastburn was born in Sigour ney, Iowa, on May 13, 1901. He at tended public schools in Delta, Iowa, and graduated from St. John’s Military Academy in Delafield, Wisconsin, and Gem City Business College at Quincy, Illinois, receiving a B.A. degree. All of his banking experience has been in Iowa. His first job was in Charles City. Later he moved to Delta as assistant cashier in the Peoples Savings Bank. In 1932 he went with the State Banking Department. In 1933 he joined the Federal Deposit In surance Corporation as examiner, later returning to the State Banking De partment. In this capacity he was sent to Fairfield in June, 1934, in charge of closed banks. He was elected executive vice presi dent of the Iowa State Bank and Trust Company at Fairfield in August, 1939, and was later elected president in 1941. Mr. Eastburn is married and has two sons, Ben B., 29, and Charles W., 27. On Board of Education take your business to somebody who wants it That's a good rule to follow in choosing a bank to do business with, too. First National in Sioux City specializes in correspondent banking service. We're eguipped to handle your account, and give you the advantages of a banking connection in a rich four-state trading area. Yes you can de pend on complete and exacting correspondent service when you deal with First National in Sioux City. You see, we want your business. JOE T. GRANT, President HAROLD V. BULL, Senior Vice Pres. WILLIAM L. TEMPLE, Vice President EARL E. SNELL, Vice President HAROLD H. STRIFERT, Cashier EDWARD V. HOFFMAN, A ssf. V. Pres. ERNEST A . JOHNSON, A ssf. V. Pres. ERNEST A . KENNY, JR., A ssf. V. Pres. HOMER V. GARRETSON, A ssf. Cashier GEORGE D. VINSON, A ssf. Cashier Carl L. Fredricksen, president of the Live Stock National Bank in Sioux City, has been appointed a member of the Iowa Board of Education. The appointment was announced by Iowa Governor William S. Beardsley. The board has jurisdiction over state-sup ported educational institutions. He succeeds Robert P. Munger, Sioux City attorney, who resigned due to ill health. Mr. Fredricksen is serv ing the remainder of Mr. Munger’s term, which will expire June 30, 1957. Stock Dividend Information from G. H. Ballard, vice president and cashier of the Peoples Savings Bank, Wellsburg, Iowa, tells of a 100 per cent stock dividend, in creasing the capital from $25,000 to $50,000. The capital structure now stands at capital, $50,000; surplus, $75,000; and undivided profits and re serves at $67,000. The Northwestern State Bank, Orange City, also by stock dividend, increased its capital from $65,000 to $ 100,000. At Lohrville BANK |N S I O U X CI T Y M em ber F e d e ra l M em ber Fe d e ra l R eserv e S yste m Deposit Insuran ce Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C orporation Elmer McClure, special assistant of County Assessor F. K. Willoughby at Rockwell City, has accepted a position with the Lohrville, Iowa, Savings Bank, and started his work there No vember 1. 95 turns -»?. OFFICERS . ROLFE O. W AGN ER Chairman of the Board RAYMOND G. MILLER President J. N. COFFEY Vice President and Trust Officer GEO. RADCLIFFE Vice President mmmwmm 2 S 5 5 S S 5 1*' ■SHSSB a ssü sssmm »»Mr C. ALLEN EVANS Next time business or pleasure brings you to Des Moines, stop in at East Fifth and Locust and see the many changes we have made in recent months. As the climax of our 75th anniversary Vice President W ARREN FERGUSON Vice President FRANK J. TAMSE Cashier this year, we have done some extensive remodeling. The latch FRED C. SUTTON string is always out at Des Moines' Drive-In Bank, and if we can O . LEE MINEAR help in any way to make your visit more pleasant, our officers MARVIN VERMIE Assistant Cashier Assistant Cashier Assistant Cashier and entire staff will appreciate the opportunity. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, November, 1953 96 Iowa News Lisbon Bank Sold Sale of the Stuckslager stock inter est in the Lisbon, Iowa, Bank and Trust Company, to a group of local people took place last month. Operation will continue under the same management with the same offi cers and directors, with the exception of Leoral Evans, assistant cashier, who joined the Mount Vernon Bank and Trust Company in the same capacity. The Stuckslager family is with drawing from Lisbon business circles after a continuous and successful op eration over a period of 79 years. The banking firm of Stuckslager and Auracher, which consisted of the late Harrison Stuckslager and Gottlieb Auracher, began the banking business in Lisbon in October, 1874. The sons of these men, Willard C. Stuckslager and John Auracher, continued the business until their deaths. Officers are: President, H. A. Rieger; J. A. Fordyce, vice president; and Harry W. Sizer, vice president and cashier. Present directors are: Dr. J. R. Gardner, John McHugh, Everett Ferguson, H. A. Rieger, S. W. Wilder, Jay Fordyce and H. W. Sizer. Elgin Changes A number of changes have been made in the official family of the Elgin, Iowa, State Bank. These were neces- BANKS L°dUsG oH L; A CONFIDENTIAL, F O U N D E D ON 25 PERSONAL SERVICE YEARS EXPERIENCE B a n k e r s S er v ic e C o m p a n y HENRY H »YERS. P , „ Lock lo> U 3 J DES MOINES 5 IO W A N ■ SHAFFER V P E G U N TIED !. V P Lock to * M i l COLORADO SPRINGS COLO sary due to the recent death of Ernest Sehori, board member and president for many years. Max Thoma has been advanced from vice president to president and Charles Capper is the new vice president. The vacancy on the board has been filled by naming W. S. Rothlisberger. He was a former board member but re signed about eleven years ago when he moved to Wichita, Kansas. This again makes a complete roster of officers. Other board members be sides these are: G. J. Mosby, George Hanson, F. C. Muehlethaler and Thos. Pollock. Sells Two Banks Announcement was made by Guy F. Wilde that he had disposed of his bank stock holdings in the First National Bank of Fonda and the Pomeroy State Bank, both in Iowa. Mr. Wilde has been associated with the First National Bank as vice presi dent and president since 1920, being elected vice president in that year and becoming president of the bank in January of 1936. Mr. Wilde became associated with the Pomeroy State Bank in 1946 and was vice president of that bank. His stock holdings at Fonda were purchased by A. M. Kuhl and Walter W. Stege and Mr. Kuhl has been elected as president of the bank. A. L. Anderson, a director, was elected vice president and Mr. Stege has been elected as cashier, and also appointed as a member of the board of directors. Other members of the board of di rectors are W. F. Neavin. Richard W. Baskerville, James Murphy and A. M. Kuhl. Mr. Wilde’s stock holdings at Pome How to Help Y our Farm er Custom ers As shown by the farm survey in this issue of the NORTH WESTERN BANKER, hankers are keenly interested in the success of their farmer customers. One way in which hankers can further assist their farmer friends is to send them FA R M IN G F O R P R O F IT As Minor P. Baird, president of the Farmers State Bank, Superior, Nebraska, says " F a rm in g fo r P rofit is som ething I had been lo okin g fo r . fo r a long tim e. W e are obtaining fin e results and I fe e l w e are ren d erin g our territo ry a v e ry valu a b le service If you would like more information about this service, please write us now. There is no obligation, of course. (Doom ClqA kidtiihal Dept. 8 3 B, 3 0 6 Plymouth Bldg. Northwestern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 9nc. DES MOINES 9, IOW A roy were purchased by A. M. Kuhl and W. K. Wiewel. Mr. Wiewel being a former resident of Fonda and the for mer assistant cashier of the First Na tional Bank of Fonda. Mr. Kuhl will continue as president of the Pomeroy State Bank and Mr. Wiewel will be the executive vice president and cashier of that institution. A. A. Nahnsan, assistant cashier of the Pomeroy State Bank, will continue in that position. County Election Paul Claussen of the Farmers Sav ings Bank at Ricketts, Iowa, was elected president of the Crawford County Bankers Association. He suc ceeds Ted Federsen of the Crawford County Trust and Savings Bank of Denison. Mr. Claussen and other officers were elected at the annual meeting. The other new officers are Henry Linduski of the Westside State Savings Bank, vice president, and Howard Qualheim of the Crawford County Trust and Sav ings Bank, secretary-treasurer. Studying at Harlan Visitors at the Harlan, Iowa, Na tional Bank recently may have noticed a strange young man with a pleasant smile and a slight Danish accent. He is Christian Larsen of Faaborg, Den mark, an exchange student who is in this country to study the American banking system. Chris, who is 23, has had several years of experience working in a bank at Faaborg. His training for that job was obtained by attending commer cial night school where he studied bookkeeping. His two years of ad vanced schooling followed his comple tion of the required grade schooling which the Danish students attend until they are fourteen years of age. J. A. Cook .J. A. Cook. 67, cashier of Le Mars, Iowa, Savings Bank for the last 43 years, died recently after a week’s illness. Born in Arizona, he attended Westmar college and became associated with the bank in 1910. Two daughters and a sister survive. Banker 47 Years October 1 was a very special day for Johnnie Rake as, on that date 47 years ago. he entered the banking business in the town of Rake, Iowa, at the age of 16 years. He was employed at that time by the Rake Banking Company which was being operated by his uncle, A. A. Rake. This private bank was converted into the Rake Savings Bank in 1914 and in 1915 Johnnie Rake became the cashier, a position he has held ever since. He is one of the directors. 97 Statem ent o f Condition September 30, 1953 LIABILITIES RESOURCES Capital Stock................................$ 5,000,000.00 Surplus......................................... 18,000.000.00 1,501,590.90 Undivided Profits........................ Reserve for Contingencies.......... 1,971,916.50 Reserve for Interest, Taxes, etc.... 2,194,424.50 Income Collected but not earned.... 2,290,065.33 Letters of Credit and Acceptances 1,506,176.48 Bills Payable................................ 22,500,000.00 Deposits .......................... 400,404,550.88 Cash and Due from Banks.$132,095,683.42 U. S. Government Obligations. 117,877,889.02 Other Bonds & Securities. 32,320,404.82 Loans & Discounts........... 169,061,876.09 Less: Reserve for Possible Future Losses........... 2,396,4-18.60 Stock in Federal Reserve Bank.... 690,000.00 Customers’ Liability on Acceptances.................. 1,506,176.48 Income Earned but not Collected 1,082,902.10 Banking House....................... 3,000,000.00 Other Resources.............. 130,211.26 Total Liabilities..... ............. $455,368,724.59 Total Resources.....................$455,368,724.59 United States Government and other securities carried at $94,039,508.59 are pledged to secure public funds and trust deposits and for other purposes as required or permitted by law. DI R E C T OR S D e W alt H . A n k e n y T h o m a s L . D a n ie l s T h e o . H am m B rew in g Co. A rch er-D an iels-M id lan d C o m p an y D on a ld C . D a yto n Vice President, J am es F. B e ll President, Chairman, Committee on Finance and Technological Progress, G eneral M ills, In c. President and General Manager, B e n t o n J. C a s e President, President, Ja n n e y , Sem ple, H ill & C o m p a n y C laren ce R . C han ey Executive Vice President, O rch estral A ssociation o f M p ls., Inc. T h e D a y to n C o m p an y Ste p h e n P . D u ff y O ur O wn H a rd w a re C o m p an y John B . F aeg re F ae g re and B en son , A tto rn e y s President, G e o r g e B . C l if f o r d , J r . M inn esota & O ntario P ap er Co. F r a n k T . H e f f e l f in g e r W h eat C orporation F . H . P e a v e y and Co. Treasurer, T h e C ream o f https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Chairman of Board, F . P e a v e y H e f f e l f in g e r L u c ia n S . S t r o n g F . H . P e a v e y and C o . C l a r e n c e E . H il l H a rris U p h am & Co. F r a n k P . L e s l ie T h e Stro n g S c o tt M an u fac tu rin g C o. T h e Jo h n L eslie P ap er C o. President, Executive Vice President, President and Treasurer, D . J. S t r o u s e Retired President, H arold W . Sw e att G o o d r ic h L o w r y M inn eap olis-H oneyw ell R e g u la to r C o m p an y Executive Vice President R o b e r t F . P ack Chairman of Board, N o rth ern S ta te s P o w er C o m p an y Joh n S . P il l s b u r y Director, P illsb u ry M ills, In c. J o s e p h F . R in g l a n d President H a ro ld H . T e ar se Vice President and General Manager, S earle G ra in C o m p an y J. C a m e r o n T h o m so n President, N o rth w e st B an co rp o ratio n V a l e n t in e W u r t e l e Chairman of the Board, M inn esota P ain ts, In c. N A TIO N A L B A N K O F M IN N E A P O L IS Marquette A venue Sixth to Seventh Streets Member Federal Deposit Insurance Corporation Nort hwest ern Banker, November, 1953 98 Iowa News Brenton Open House Nearly 900 guests from all over Iowa and neighboring states last month helped Brenton State Bank commem orate a double anniversary in Dallas Center at an afternoon and evening open house. The event was in observance of the one hundredth anniversary of the ar rival of the Brenton family in Dallas county and the eightieth anniversary of Brenton State Bank. Bronze plaques of Dr. J. B. Brenton, William H. Brenton, Charles R. Bren ton and Clyde E. Brenton have been installed on a bank wall to commem orate the anniversaries. Dr. Brenton, a physician for 38 years, came to Dallas Center in 1853. ■Oldest in Des Moines« Des Moines Savings and l oan Association Current High 3% Dividend 2 1 Ö 6th Ave. Investments Insured To $ 10,000 Dial 2-8303 MERCHANTS BONDING COMPANY Incorporated 1933 William H. Brenton, his son, who was a farmer and livestock raiser, became interested in banking. He founded the present bank in 1873 with two part ners. In 1888, he bought out his partners and formed a partnership with his two sons, Charles R. and Clyde E. Bren ton. W. Harold Brenton, president of the bank in Dallas Center and State Bank of Des Moines, is a son of Charles R. Brenton. W. Harold Brenton also is head of nine other Iowa banks, and is presi dent of Brenton Brothers, Inc., which owns and operates several thousand acres of Iowa farm land in the produc tion of grains and livestock. Highlighting the open house were displays of Dallas Center pictures and bank instruments nearly 100 years old. The bank awarded $150 in savings bonds to those furnishing the oldest articles. Included in displays was an exhibit of coin and currency, from Colonial Helen Birmingham Kane Lecture Recitals Available “ Helen Kane is a splendid pianist and con vincing musician. Her distinct personality should interest any audience.” Rudolph Ganz, President Chicago Musical College Many o f you attended the Sunday evening lecture-recital at the Iowa B a n k e r s C o n v e n t i o n featurin g Helen Kane. Available for Concerts 4 14 5 Greenw ood D riv e P h o n e 5-0778 Des M oines days to the present, from Chase Na tional Bank, New York, N. Y. Open House Over 2,000 persons visited the new installment loan department when the First National Bank of Fairfield, Iowa, held “open house” recently. Flowers were presented to the ladies and cigars and candy bars to the men and children. The new department, under the di rection of Earl Rodibaugh, is located in the basement of the bank building. The area occupied by the department was completely remodeled and refinished before the opening. Bank officials voiced their apprecia tion to all those who took part in the opening and to those who visited the new department. Banking Hours A new schedule of banking hours for the Harcourt Savings Bank at Harcourt, Iowa, went into effect recently. By a recent decision of the bank’s directors, the hours of the bank are 9 a.m. to 3 p.m. Mondays through Fri days, and 9 a.m. to 12 noon on Satur days. Elected Vice President John B. Keeline, president of Cen tral Trust and Savings Bank, Chero kee, Iowa, was appointed state vice president for Iowa at the American Bankers Association convention. Mr. Keeline heads the organization committee for Iowa for the coming year. Resigns Being well Miss Edna Mae Fideler has resigned her position as teller at the First Trust & Savings Bank, Remsen, Iowa, and dressed depends on more Home Office 2100 GRAND A V E N U E than appearance. Des Moines, Iowa The man who wears Frankel This is Iowa’s oldest surety company. A progressive company with experi enced, conservative management. We are proud of our three hundred bank agents in Iowa. To be the exclusive representative of this company is an asset to your bank. S il »«as V- i Nort hwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M E S T A B L IS H E D K ? S T A T IO N E R S V 1889 y BOOK BINDERS OFFICE OUTFITTERS 7,— BUSINESS MACHINES G rand Av e . at Fourth De s M o in e s , Ia Kuppenheimer Clothes also feels OFFICE FORMS well dressed, BOUND BOOKS knowing that no CATALOGS RULED FORMS man looks better COLOR PRINTING than he does! LOOSE LEAF WIRE BINDING FR A N K EL S DES MOINES County and Municipal Supplies fowa News has accepted a similar position with the First Federal Savings & Loan Association in Sioux City. Miss Fideler started as a bookkeeper in the local bank immediately after graduation from St. Mary’s High school 10 years ago. Mrs. Don LeMoine, formerly with the First Trust, is back with the bank, temporarily. PREPARED. . . by more than 51 years of experience, the Waterloo Savings Bank is rendering the kind of dependable correspondent service you have Daughter o f O. E. Markitan Is Married s * 4 a right to expect and get. Last month the eldest daughter of O. E. Markitan, Miss Mary E. Marki tan, was married to Donald R. Erger of Walford, Iowa. The ceremony took place at 10:00 a. m. at St. Mary’s Church in Solon, Iowa, and a reception for some 130 friends and relatives took place at the ifhditorium at 12:30 p. m. In the eve ning, also at the auditorium, dancing was enjoyed by all of the guests and friends of the bride and bridegroom. O. E. Markitan, father of the bride, is cashier of the Solon State Bank at Solon, Iowa. BANKING HEADQUARTERS SINCE 1902 SAVI N G S B A N K M em b er — F e d e ra l In su ra n c e C o rp o ra tio n WATERLOO, IOWA MODERNIZED . . . (Continued from page 19) also had the danger strip printed on the statement stub. We kept the check entry and check count on the state ments as we have found this helps prevent giving out statements with the wrong checks. We also have the “ by” on the statement sheet so if there is a complaint we can tell which clerk made up the statement. We, of course, have the customer sign the statement stub which acts as our re ceipt for the statement issued. All in all we believe we have made several improvements besides getting neater sheets. We know that the book keepers have made fewer mistakes and this in itself has paid us well for the changes.—The End. U n b e l i e v a b l e but true, many brick ground floor villas with bedroom, living r oom, e l e c t r i c kitchen, tile bath, completely fur nished, $59.50 weekly. Two and three-bedroom villas s l i g h t l y higher. A tth e ocean, playgrounds, shop ping center, private coun- John W. Peniston has been trans ferred to the correspondent division as a special representative of the First National Bank, Kansas City, in north ern Missouri, Illinois and Iowa. Mr. Peniston has lived in Kansas City all his life and has been with the First National Bank since 1920. Mr. Penis ton joined the bank after attending tr * C,ub' SCARBOROUGH Associates G roup Insurance Plan i Fe d e ra l R e se rv e S ystem a n d D ep o sit AT 533 COMMERCIAL STREET To Travel Iowa I 99 has been selected by banks because it provides the most complete benefits at lowest cost. It is a loyalty builder. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Free booklet. Write today. P R O V ID IN G TAL DEATH GROUP AND LIFE, A C C ID E N D IS M E M B E R M E N T , A C C ID EN T A N D S IC K N E S S , H O S P IT A L AND BEN EFITS S U R G IC A L FIRST N ATIO N AL BANK BU ILD IN G , CH IC A G O 3 , IL L IN O IS Nort hwest ern Banker, November, 1953 100 Iowa News WANT ADS Rates 20 cents per word per insertion. Minimum: 10 words. NORTHWESTERN BANKER 527 7th St. Des Moines, Iowa lBE A Kansas City Junior College two years. He has worked in all departments of the bank and has been in auditing and discounts the past seven years. He was in the army two and one-half /£*Èi7 LellsII I How 300 Law Bldg. Dept. NB Kansas City, 50 80 61 40 E ................................................. 99 F m aking: su b sta n tia l in c o m e s . S tart and ru n y o u r BOOHl o w n b u s i n e s s q u i c k l y . M en , w o m e n o f a ll a g es, lea rn e a s ily . C o u rse c o v e r s S a les , P ro p e rty M a n a g e m e n t, A p p r a is in g , L oa n s, M o rtg a g e s, and r e la te d s u b je c t s . S T U D Y A T H O M E o r in c la s s ro o m s in le a d in g c it ie s . D ip lo m a aw a rd ed . W r ite TODAY f o r fr e e b o o k ! N o o b lig a t io n . A p p r o v e d f o r W o r ld W a r I I and K orea n V etera n s W E A V E R S C H O O L O F R E A L E S T A T E (E st. 1 9 3 6 ) Suite Ellinor V illa ge F irst of Iow a Corporation........................... F irst National Bank of A riz o n a ................ First National B ank— C h icago.................. F irst National Bank in D a lla s.................. First National Bank— K ansas C ity ......... First National Bank—-L in c o ln .................. F irst National Bank— O m aha.................... First National Bank—-St. Joseph.............. F irst National Bank— Sioux C i t y ........... F irst National Bank and Trust Com pany— Tulsa ................................................. Frankel Clothing C om pan y......................... B R O K Ej ? ' PAYS BIG! S EN D FOR FRE E, BIG, ILLUS TRATED CATALOG NOW! G rad u ates re p o rt Dornberger and C om pany........................... Douglas, John, and Company, Inc........... D ouglas-G uardian W arehouse C orp .. . . Drovers National B a n k .................................. 4-4 83 35 9 68 78 74 69 94 65 98 G Great Northern Insurance C o m p a n y ... 50 Guaranty Trust Com pany.......................... S Mo . H Hanover Bank, T h e ........................................ 37 Harris Trust and Savings B a n k .............. 42 Honor Roll B anks— N eb rask a.................. 76 I Imperial Bank of C anada............................. 34 In ter-State N ational Bank of K ansas «. City ................................................................... 69 Investors Diversified Services, I n c ......... 44 Iow a-D es M oines National B a n k ...............104 Iow a Lithographing C om pany................... 100 Irving Trust C om pany.................................. 33 J Jaeger M anufacturing C om pany............. J O H N W . P E N IS T O N Correspondent d ivision years during World War II and spent most of that time in ordnance work in the European theater. Mr. Peniston succeeds Herman Dresker, who has been transferred to the southwest territory. IN D E X OF A O V E ItT IS F H S NOVEMBER. 1953 IOWA LITHOGRAPHING • COMPANY A Acorn P rinting Co............................................ 100 Allied M utual C asualty C om pany........... 50 American National Bank— St. J o sep h .. 77 Am erican N ational Bank and Trust Co. 32 American Trust Co.— San F r a n c is c o ... 41 B Q U A L I T Y - E X P E R I E N C E • S E R V I C E YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVENPORT & CO. OMAHA Sale: Diebold triple time lock safe, nest of 100 steel type safety deposit boxes, two reconditioned Brandt money changers, one John son Lightning money changer, two reconditioned Staats money chang ers, two reconditioned Cummins check cancellers, late model Todd keyboard check protector, late model Paymaster check protector, two steel Kardex cabinets, 8-column Victor adding & substracting ma chine. C. A. DOYLE 316 Gibson Street, Eau Claire, Wis. For Northwest ern Banker, November, 1953 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank of A m e r ica ............................................. 25 Bank of M on trea l............................................. 57 Bankers Security Life Insurance Society ............................................................ 48 Bankers Service Company, Inc.............. 68-9G Bankers Trust Company— Des M o in e s.. 87 Banks, W illia m H., W arehouses, I n c ... S3 Burroughs Corporation, T h e ...................... 39 C Capital City State B a n k ............................... 95 Central National Bank and Trust C o ... 12 Central Republic C om pany......................... 81 Central States M utual Insurance A ssn .. 51 Chase National B a n k ...................................... 27 Chemical Bank and Trust C o m p a n y ... 54 Christm as Club, A C orporation.................103 City National Bank and Trust Company -—-Chicago ........................................................ 80 City National Bank and Trust Company — K ansas City ............................................. 38 Colorado Insurance G roup ........................... 51 Continental H otel .......................................... S3 Continental Illinois National Bank and Trust Company .......................................... 31 Continental National B ank— L in c o ln ... 82 I) Davenport, F. E., and C om pany..7 9 -8 2 -1 0 0 DeLuxe Check Printers, Inc........................ 61 Des Moines Savings and Loan A ssocia tion, The .......................................................... 9S Diebold, Inc.......................................................38-83 Doane A gricultural Service, Inc............... 9 6 30 K K irkp atrick-P ettis Company .................... Koch Brothers ................................................. 80 98 L. LaM onte, George, and S on........................... Lawrence W arehouse Com pany................ Lee P lastic ........................................................ LeFebure Corp................................................... Live Stock National Bank— C h ic a g o ... Live Stock National Bank— Omaha . . . . Live Stock National B ank— Sioux City. 29 36 40 72 26 84 58 M anufacturers Trust C om pany................ 45 M arquette National B a n k ........................... 9 3 Merchants M utual Bonding Company. . 98 Merchants National B a n k ........................... 2 Midland N ational B a n k ................................. 56 M innesota Commercial M en’s A s s n . . . . . 56 Monroe C alculating Machine Co., I n c ... 81 Mosler Safe C om pany.....................................4-5 Mutual Fire and Autom obile Insurance Company ........................................................ 4g N National Bank of C om m erce...................... National Bank of T u lsa ............................... National Cash R egister Com pany........... National City Bank of New Y o r k ........... National Company of O m aha.................... North Central L ife Insurance Company Northwest Security National B a n k . . . . Northwestern National B a n k .................... 79 62 14 28 81 3 60 97 O Omaha N ational B a n k .................................... 23 Orchard & W ilh e lm ........................................ 72 n Recordak Corporation ..............................52-53 Republic National Bank of D a lla s......... 6 R oyal Bank of C anada................................. 64 S St. Paul-M ercury Indem nity Company. . 49 St. Paul Term inal W arehouse Company 46 Scarborough and C om pany.............. 47-76-99 Schweser, Robert E., C om pany................ 80 Smead M anufacturing Company, I n c ... 57 Smith, Polian and C om pany...................... 81 Stock Yards National Bank— O m a h a ... 73 T Toy National B a n k . . . 92 U LTnion Stock Yards C om pany.................... United States Check Book Co................... United States National B a n k .................... 75 79 66 V V alley Bank and Trust Com pany........... V alley National B ank— P h oen ix............. 89 26 W W alters, Charles E., C om pany.................. 77 W aterloo Savings B a n k ............................... 99 W ea ver School of Real E s ta t e ...................100 101 Dry Sky “ The water shortage out west is real ly serious this time.” “ How do you know?” “ I just got a letter from Texas and the stamp was fastened on with a paper clip.” Utensil When a diner complained that he couldn’t eat the soup that had been - brought him, the waiter called the manager. “ I’m very sorry, sir,” said the man ager. “ I’ll call the chef.” , When the chef arrived, the diner still insisted that he couldn’t eat the soup. “What’s wrong with it?” demanded the chef. “Nothing,” calmly answered the diner. “ I just don’t have a spoon.” Platter Patter We live in perfect wedded bliss: No grief, no gripes. The way we manage it is this: I wash, she wipes. Great Achievement If you systematically save a part of your salary every week for ten years, ** at the end of that time you’ll be an exception. t Enemies “ How long was your last cook with you?” “ She never was with us. She was against us.” 7) W rong Father A Protestant pastor was walking down the street, wearing as is often , done, a Roman collar. Two Catholic boys came along. “Morning, Father,” said one of them. “ Sh-h,” cautioned the other, “he ain’t no father. He’s got a wife and two ) kids.” Winter Blues “ Back from vacation, eh? Feel any change?” -* “ Not a penny.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Don't Swallow Hard A little old lady approached the sword swallower at the conclusion of his performance. “You must be terrified while that horrible thing is inside you,” she said. The sword swallower gazed at her thoughtfully, then he widened his eyes and replied softly, “Only when the crowd applauds, madam. I'm afraid I might forget and take a bow.” She l ook Him Literally A shipyard worker was teaching a new lady riveter what to do. “ I’ll hold the rivet,” he said, “and when I nod my head, you hit it with the sledge hammer.” He left a widow and three children. C O N 1 E N T IO N S November 4-5, Mid-Continent Trust Conference, Drake Hotel, Chicago. November 10-11, Annual Convention, Nebraska Bankers Association, Omaha, Hotel Fontenelle. November 10-11. Bank M a n a g e m e n t Clinic, South Dakota Bankers As sociation, Marvin Hughitt Hotel, Huron. November 30-December 5, Investment Bankers Association of America, Hollywood Beach Hotel, Holly wood- Florida. 1954 January 25-27, ABA National Credit Conference, Chicago, La Salle Ho tel. February 8-10, ABA Mid-Winter Trust Conference, Waldorf-Astoria, New York City. May 10-12, Missouri Bankers Assn., Jefferson Hotel, St. Louis. May 12-14, Kansas Bankers Assn., Kan sas City, Missouri. May 21-22, North Dakota Bankers Assn., Hotel Dakotah, Grand Forks. May I dates to be announced), Annual Convention South Dakota Bankers Association, Deadwood. June 14-15, Minnesota Bankers Assn., Hotel St. Paul, St. Paul. June 21-23, Wisconsin Bankers Assn., Hotel Schroeder, Milwaukee. October 18-21, National Assn, of Bank Auditors and Comptrollers, San Francisco. Post-Mortem Home from the Capital, a business man looked out the window and saw a big log floating down the river. He pointed it out to a friend. “See that log,” he said. “That’s just like Wash ington. If you examine that log close ly you’ll find 10.000 ants on it—and each one thinks he’s steering it.” Not Worried “ I hope you’re not afraid of mi crobes,” apologized the bank teller, as he cashed the school teacher’s check with soiled currency. "Don’t worry,” said the young lady grimly, “a microbe couldn’t live on my salary.” For Women Drivers Only “Well, dear,” sighed the head of the house, after viewing the crumpled fender, “ did the officer scold you for driving upon the boulevard?” “No, he was just lovely, John,” ex plained the new driver. “He said the city really planted those 1,260 trees along Ash Street just to keep lady drivers from getting up on people’s front porches.” l akes Time Two small boys put their hands side by side. “Hah! Mine’s dirtier’n yours,” said one. “Well,” said the other, “you’re a year older’n me.” Use an Axe Mr. .Just Wed: What’s wrong with this cake, dear, it tastes gritty? Mrs. Just Wed: Don’t be silly, dar ling. The recipe calls for three whole eggs and I guess I didn’t get the shells beaten up fine enough. Indecent Farmer to His Wife: Now that we’ve struck oil, you’re going to have some decent clothes. Wife to Farmer: Nothing doing! I’ve worn decent clothes all my life. Now I’m going to dress like other women. Nort hwest ern Banker, November, 1953 102 LEGAL Is W aiver of Notice Legal Whea Selling Chattel A fter Default? Q. A bank took a chattel mortgage on certain personal property belong ing to Jones as security for a loan to him. Jones defaulted. The mortgage provided the bank could sell the prop erty on due notice and that the mort gagor waived notification concerning the sale. Was this waiver provision a valid one under the general rule of law applicable to such situations? wife and her husband both worked and she used her own money to pay household expenses in circumstances where she did not at the time intend that they would be repaid to her. His problem was whether, on her death, such outlays could be recovered for her estate. Could they? Yes. As a general rule a chattel mortgagor need not be notified of a foreclosure sale of the chattel when he has specifically waived such notice in the mortgage instrument. The Su preme Courts of Iowa and Nebraska are among the appellate courts that have held in accordance with this general rule. Other states in which it has been recognized and followed in clude Kansas, Michigan, Ohio, Okla homa, Texas and Wyoming. Q. In connection with the establish ment of a South Dakota paint manu facturing concern Jones made a loan of $3,000 to it, taking a promissory note due in six months signed “ Rich ard Roe, President, Hutchinson Paints, Incorporated,” and “John McCoin.” The latter was interested in the new company. The note was not paid and Jones sued McCoin who sought to es cape liability on the ground that he had received no consideration for the transaction. Should McCoin prevail? No. In a similar situation involving closely related facts the South Dakota Supreme Court has held recently that the defendant unquestionably received valuable consideration, as contem plated by law, for signing the note; that it was not necessary that the con sideration move directly to him; that a consideration is valid though it moves to a third person; and that it was sufficient to make the defendant liable that his comaker receive the funds paid over by the plaintiff for the note. Q . Liability, collision and other simi lar automobile insurance policies have long contained clauses relieving in surance companies from liability where the vehicle is used to carry passengers for compensation. Because Digitized forNorthwestern FRASER Banker, November, 19S3 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LEGAL DEPARTMENT of the NORTHWESTERN BANKER of the wartime, share-the-ride move ment and for other reasons, insurers have sought to write a more liberal and realistic provision. Many policies now exclude liability only when the car is in “use as a public livery or conveyance.” Suppose a bank em ployee has insurance containing the new clause and does not hold himself out to the public to transport for hire but occasionally let two fellow em ployees buy his gasoline on hunting trips. Is he covered by the insurance? Yes. The test applied by the courts to the clause in question is whether or not the insured vehicle has been held out to the general public for carrying passengers for hire and at the time of the accident was actually so used. An occasional or incidental use of the insured vehicle to transport passengers will not avoid liability under the clause, as such use does not constitute a holding out for hire of the vehicle to the general public. The Nebraska Supreme Court already has so ruled in interpreting the new clause, as has Illinois, Michigan and certain other jurisdictions. Q. A trust officer of a Minnesota bank became involved in straighten ing out an estate situation where a No. It is generally true, as between husband and wife, that the duty to support the family rests on the hus band. Where, however, a wife uses her own money, or permits her husband to do so, to pay household ex penses under circumstances which disclose that she did not intend to be repaid, she has no claim upon her husband for such expenditures. The Minnesota Supreme Court has so ruled in a recent decision, citing vari ous authorities, including the Illinois Supreme Court, in support of its position. ^ T Q. A North Dakota municipal sew- ^ age plant came to be operated so neg ligently that it was a nuisance and so that it damaged a nearby farm owned by a bank. The bank sought to re cover its damages. The municipality ' asserted as a defense that in operating the plant it was engaged in a govern mental function and was not liable for negligence. Should the munici- r pality be sustained? No. The North Dakota Supreme Court has so ruled recently in a simi lar case. In doing so, it concluded that f a municipality is liable for damages in an amount sufficient to compensate for the injury where it purposely or negligently so operates a sewage dis- . posal plant that it becomes a nui- ^ sance and injures nearby property. Kansas, Montana, Texas and Okla homa precedents were cited by the court in support of its position. a. Through them it pointed out that, where negligence reaches the level that it becomes a nuisance, as was the case here, a tort different in charac- ^ ter from mere negligence comes into ■ being and that a municipality should be liable for injuries resulting from nuisances which it purposely or neg ligently creates. +- NOT JUST RICH PEOPLE. All People. Yesterday’s poor people are today’s rich people. Today’s poor people are tomorrow’s rich people. People’s dreams are your business— you can help to make their dreams come true. You need people and people need you. Christmas Club brings people to your institution. Christmas Club is the full time business of Christmas Club A Corporation— not a side-line. There is a definite "K n o w How” to educating the people in thrift habits that lead to individual financial security. "People are more important than m oney.” Christmas Club, A Corporation builds savings— builds character and builds business for financial institutions. BUILDS SAVINGS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • BUILDS CHARACTER • BUILDS BUSINESS FOR FINANCIAL INSTITUTIONS ROUTE G R A I N DRA F TS T H RO U G H THIS B A N K ® As another large crop is being harvested, Iowa Banks are invited to route grain drafts and other items to this Bank for fast collection. You are further invited to make full use of our personnel, facilities, resources and experience to meet all of your requirements as a correspondent Bank. DEPARTMENT of BANKS and BANKERS G ER A LD L. N ELSO N V ic e IOW A S LARGEST BANK FOUNDED 1868 E. STAN TON EVERETT M. P r e s id e n t M IL L E R A s s is t a n t G R IF F IT H V ic e M IC H A E L C a s h ie r J. P r e s id e n t CO STELLO A s s is t a n t C a s h ie r TO TA L RESO URCES OVER ONE HUNDRED MILLION DOLLARS I0WA-DES MOINES NATIONAL BANK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Deposlf Insurance Corporation : > ____________ _ / !