The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
Nebraska Bankers Convention in Omaha https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Pages 23 to 32 « fr - - - <■ - ^ r - » y -fr V fr » ■> >S3 ? TIME AND MONEY Just as stockholders arc entitled to dividends, so does Merchants National correspondent service bring you dividends. Our location in a great farm and industrial center and the efficient handling of your items, make time and money for you and your depositors. Y o u r b u sin ess is in v ite d . A CEDAR R A P ID S B A N K CED A R R A P ID S SERVICING A L L IOWA MERCHANTS NATIONAL BANK OFFICERS J a m e s E . H a m il t o n , Chairman S. E . C o q uillette , President H. N. B o y so n , Vice President R oy C. F olsom , Vice President M ark J. M y e r s , V. Pres. & Cashier G eorge F . M iller , V. Pres. & Tr. Officer M a r v in R. S e l d e n , Vice President F red W. S m i t h , Vice President J o h n T. H a m il t o n II, Vice President R. W . M a n a t t , Asst. Cashier L. W. B r o u l ik , Asst. Cashier P eter B a il e y , Asst. Cashier R. D. B r o w n , Asst. Cashier 0 . A. K e a r n e y , Asst. Cashier S t a n l e y J. M o h r b a c h e r , Asst. Cashier E . B. Zb a n e k , Building Manager Cedar Rapids Iowa Member Federal Deposit Insurance Corporation N o r th w e ste r n B an k er, p u b lish e d m o n th ly b y th e D e P u y P u b lis h in g C om pan y, In c ., a t 527 7th S tr e e t, D e s M o in e s, I o w a . S u b sc r ip tio n , 35c per cop y, $3.00 per yea r . E n tere d as s e c o n d -c la s s m a tter a t th e D e s M o in e s p o st office. C o p y r ig h t, 1941. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 3 WHERE FRIENDLINESS IS A TRADITION . . . WHERE THE PROMPT. EFFICIENT HAND' LING OF EVERT CORRESPONDENT AND TRANSIT ITEM IS AN INVIOLABLE RULE O&w&L fyrU estdllu ßa+iJz T h e C e n t r a l N a t io n a l BANK AND TRUST COMPANY 2>ed AfoUted, 9awa https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 4 Behind Ramparts of Rolling Steel Blow, in this autumn of 1941, in mounting credit of the country, speeding in many numbers come ramparts of rolling steel for ways the great task at hand. For bank our Armored Force from industries which credit assists in converting plants to new once were devoted solely to the arts of uses, in helping to create additional plants, peace. And from a host of other plants which in making needed tools, in financing pur even a few years ago were as remote from chases of m aterials, in facilitating sub the making of munitions as they were from contracting and in dozens of other ways, war itself come hundreds of no less essential all necessary to swift and sure completion contributions to defense. of rearmament. As the national effort broadens, more and The Chase National Bank, in cooperation more of these often unsung industrial fighters with its correspondent banks throughout for democracy play their vital parts. Behind the country, is actively assisting industry in them, in turn, stands the mobilized bank its task of arming the nation. THE CHASE NATIONAL BANK OF THE CI TY O F NE W Y ORK Member Federal Deposit Insurance Corporation Northwestern Banker October https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ■LO . PROTECTING INVISIBLE VALUES NO. 24 ( j J / o n would never consent to own or manage property improves the scope o f the REG ULAR F IR E PO LIC Y ■ lacking adequate lire insurance. Yet other perils just as costly as lire are continuously ready to attack and de These perils are also covered: stroy assets entrusted to your care. Today far-sighted W IN D ST O R M * H A IL E X P L O SIO N • RIO T A IR C R A FT DAM AGE V E H IC L E DAMAGE SM O K E & SM UDGE financial institutions advise customers to broaden the pro tection o f the regular fire policy by adding the Extended Coverage Endorsem ent. Q( W ith properties better protected, mortgage loans im prove in strength. By the..same token, the credit stability of borrowers is cushioned to resist catastrophes besides fire that threaten security of loans. Consult the local HOME agent for further details about this lowcost, co m p reh en siv e coverage. T U I? I I A M I ? insurance I n l i nUiVilj COMPANY NEW YORK F I R E — A U T O M O B IL E — M A R IN E https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis and A L L I E D L IN E S OF IN S U R A N C E 6 B A N K E R S CHOOSE FISHER COMPANY FOR THEIR BANKING ROOM FIXTURES B E C A U S E WE H A V E 1 over 70 years of actual experience as design ers who know bankers problems. 2 ample capital to finance any bank fixture job. 3 a fine reputation for fair and honest dealing. 4 skilled workmen who know how to build mod ern up-to-date bank fixtures. As evidence of the approval which our work is receiving, here is a Partial List ol Banks Recently Completed Remodeled Banks National Bank of South Dak., Sioux Falls, S. Dak. Citizens State Bank, Postville, Iowa Hancock County National Bank, Garner, Iowa First National Bank, Dayton, Iowa Emmett County State Bank, Estherville, Iowa Citizens State Bank, Iowa Falls, Iowa Humboldt Trust and Savings Bk., Humboldt, Iowa Farmers Trust & Savings Bank, Spencer, Iowa Melbourne Savings Bank, Spencer, Iowa Decorah State Bank, Decorah, Iowa Hampton State Bank, Hampton, Iowa First National Bank, Sumner, Iowa First National Bank, Mason City, Iowa Iowa State Savings Bank, Creston, Iowa New Fixtures and Equipment National Bank of LaCrosse, LaCrosse, Wis. Austin Building & Loan Company, Austin, Minn. United Home Tr. & Sav. Bank, Mason City, Iowa Union Bank and Trust Company, Ottumwa, Iowa Carlsbad National Bank, Carlsbad, New Mexico Farmers & Merchants Sav. Bank, Ottumwa, Iowa First National Citizens Bank, Watertown, S. Dak. Council Bluffs Savings Bank, Council Bluffs, Iowa Carlsbad Savings Bank, Carlsbad, New Mexico Jefferson County Bank, “ THE H you are planning to modernize or build new banking quarters cau our representative to talk it over...No charge...No obligation FISHER CHARLES Northwestern Banker October Î9M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis State Savings Bank, Rake, Iowa Osage Farmers National Bank, Osage, Iowa North Side Bank, Racine, Wisconsin Fort Dodge National Bank, Fort Dodge, Iowa Citizens National Bank, South Bend, Indiana Gallup Savings Bank, Gallup, New Mexico Citizens National Bank, Goose Creek, Texas Farmers Bank, Frankfort, Indiana Home Trust & Savings Bank, Osage, Iowa Jefferson, Wisconsin COMPANY CITY, IOWA N O R TH W ESTER N O C T O B E R 19 4 1 NUM BER 651 FO R TY-SIX TH Y E A R Oldest Financial Journal West of the Mississippi River IN TH IS IS S U E Ed ito rials 8 A c ro s s th e D e sk f r o m th e P u b lis h e r. C LIFFO RD DE PUY Publisher Feature A r t ic le s F r o n tis p ie c e ............................................................................................................................................... ^ A t th e A . B . A . C o n v e n tio n ............................................................................................................... 11 R A L P H W. M O O R H E A D Associate Publisher P ic tu r e s a t th e A . B. A . in C h ic a g o ...............-.............................................................................. A lo n g t h e P a c ific C o a s t.................................................................................... Clifford De P uy 14 C le v e la n d C h a tt e r a t t h e F . A . A. C o n v e n tio n ............................ Ralph W. Moorhead 16 H EN R Y H . H A Y N E S L e g a l D e p a r t m e n t — H o w F a i r V a lu a tio n Is D e te rm in e d Editor N eb raska Convention in O m aha J. STUART D A V IS Associate Editor 527 Seventh Street, Des Moines, Iowa N e b r a s k a C o n v e n tio n P r o g r a m ........... -----.................................. 23 O m a h a “ G a te w a y to th e W e s t” ................................................... 24 O m a h a C le a r in g s .............................................................................. 29 G a in s D e p o s its B u t L o se s W e ig h t............................................ 30 L in c o ln L o c a ls ...................................................... ---........................... 31 Telephone 4-8163 Insurance A v e r a g e I s H a l f w a y B e tw e e n N o th in g a n d S o m e th in g G. W. Kem per 33 Bonds and Investments N EW Y O R K O FFIC E T h e M o n th ’s M a r k e t M a n e u v e r s ............................................. 37 Frank P. Syms V ice President 505 Fifth A ve. Suite 1202 Telephone MUrray Hill 2-0326 M IN N E A P O L IS O FFIC E Jos. A . Sarazen Associate Editor Telephone Hyland 0575 State Banking N ew s S o u th D a k o ta N e w s —................-..................................................... 43 M in n e s o ta N e w s ................................................................................ 45 R e g io n a l R o u n d -U p in R o c h e s te r ............................................. 46 T w in C ity N e w s ..—.................................................................. 49 D a k o ta N e w s ........................................................................ 53 Io w a N e w s ............................................................................................ S e e n a n d H e a r d a t t h e Io w a C o n v e n tio n ............................... 64 T h e Io w a C o n v e n tio n in P i c t u r e s ............................................. 65 N o rth 55 The Directors* Room A F e w S h o r t S to r ie s to M a k e Y o u L a u g h .. 74 M EM BER Audit Bureau of Circulations Financial Advertisers Association https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Across the Desk From the Publisher '$ y Making Money In Bie J Rne issue of the On Deposits a N ° rthwestern B a n k e r , we r i p discussed the subject “ Are You II m Refusing to Take Deposits?” We based this article on an interview we had with a prom inent bank president but we did not publish his nam e as he p re ferred th a t we not do so. In answer to th a t editorial we published in the Ju ly N o r t h w e st e r n B a n k e r a fu rth e r discussion of this subject under the heading “ Consider Cus tomers as Guests of Your Bank— A nd Treat Them So ”, and this was based on a letter from another banker who agreed w ith w hat we had had to say. W e are now in receipt of a letter from the origi nal bank president we interview ed who now de fends his position by sa y in g : “ I t was nice of you to omit m y nam e in your editorial ‘A re You R efus ing to Take D eposits?’ We did not only refuse a deposit of $1,500 b u t m ust have refused a t least a to tal of about $300,000 in tim e and savings de posits since last November. This w ould have cost our bank $6,000 per year, an am ount re ferred to in your Ju ly editorial as ‘a sm all cost for the average h a n k ,’ in m y opinion not a ‘sm all co st.’ I agree w ith you th a t it is bad psychology b u t I disagree w ith you w hen you say it is bad banking to refuse tim e and savings deposits. A ll of this depends on conditions. Our desire to please our custom ers is ju st as g reat as th a t of a prom inent au th o rity whom you quote as saying: ‘We should consider our custom ers as our g u ests.’ As fa r as we can learn, good form requires th a t we extend to our guests courtesies ra th e r th an gratuities. We are pleasing our custom ers w hen we operate our b an k from EV ER Y angle in such a m anner as to m ake it a safe place for th eir funds. “ As fo r the governm ent agencies—again you are rig h t. I realize th a t m any of the custom ers Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis who are once sent to th a t source m ay rem ain there fo r the rest of th eir days. In every case of refusal, however, we suggested th a t we be p e r m itted to send the funds to neighboring banks which w ere w illing to tak e them or to buy Sav ings and Defense Bonds for the custom ers, and in m ost cases we were successful in doing one or the other. W e have governm ent com petition w ith us, and I am fearfu l for the younger gener ation of bankers th a t the politicians will keep it w ith us. They do not hesitate to ask our assist ance when they need us, and usually th a t a ssist ance is cheerfully given. However, there is no appreciation shown through curative legislation. “ You say : ‘W e suggested th a t he m ight even get some re tu rn s on governm ent secu rities.’ AVe are paying 2 per cent on the tim e deposits and D/2 per cent on savings accounts w hich we still have. If we pay $2.00 a hun d red fo r our time deposits, I certainly would like to have you sug gest to me how we can m ake a profit on govern m ent bonds a t the present m arket, to say nothing of the speculative fe atu re of these bonds. Govern m ent bonds bought several m onths ago a t the present m ark et will lose the income for an entire year. I have seen the day when governm ent 4*4’s sold a t 80. Today 2 % ’s are selling at 110. W hen the 4^4’s were selling a t 80, this govern m ent owed b u t several billions and had m any bil lions due it from foreign nations which we th o u g h t m ight be paid, while now our governm ents are draw ing a low er ra te and selling above par, we owe 60 billions w ith the prospects of adding 150 billions more, and we know th a t the billions due us from foreign nations are no longer an asset. “ I th in k you are tak in g the rig h t course in w ritin g up item s of this kind and bringing to the surface the various opinions.” 9 W e are very appreciative of the position tak en by our b an k president and realize the difficulties existing in m aking m oney on deposits in these days. B ut, we still come back to the feeling th a t w hen a b an k is p rim arily open to receive deposits a t least the psychological effect is very bad in refu sin g to accept deposits when they are offered. W e Need Doers Not Dreamers Tn Present worldwide em ergency we need more doers and few er dream ers and th in k ers a t W ashington. I t is a sad com m entary a t this crisis in A m eri can affairs th a t New D ealers w ould p u t th eir theories first, ra th e r th an the best interests of the country as a whole. I t is also very discouraging to see New D eal ers, m any of whom have had no p ractical busi ness experience, superseding the business men who have h ad p ractical experience and whose ab ility and m anagerial experience is vitally needed now. One W ashington au th o rity puts it this w ay: “ A fu n d am ental w eakness w ithin governm ent is the subtle h ostility betw een ‘New D e alers’ and ‘business m en .’ I t is larg ely sentim ental, a han g over from pre-w ar in tern a l politics, m aking a m u tu al distrust. “ As reo rganizations occur, the ‘New D ealers’ come out on top, and the ‘business m e n ’ who are n o t ‘lib e ra ls’ are down in the heap. “ T h e re ’s no doubt th a t the w ar is being run by ‘New D ealers.’ M any of them are ideologically active, b u t adm inistratively incom petent. They are thin k ers, n o t doers (and w ar m anagem ent takes a lot of d o in g ).” C ertainly w ar m anagem ent takes a lot of “ do in g ,” and it is doers not dream ers and thinkers th a t we need in W ashington now. Deposit Losses Only I . I Per Cent I f anyone questions tliat Priv ate ow nership r of banks in the U nited °r e a rs S tates has been u n satis facto ry or unsound th ey only need to look at figures released recently by the F ed eral D eposit Insurance C orporation, w hich shows th a t from 1865 to 1940, or fo r 76 years, the deposit losses average 1.1 p er cent based on the assets of the com m ercial banks. In this re p o rt are found these in terestin g sta te m ents : (1) Losses in 76 years in commercial banks amounted to 15 billion dollars. (2) This amount is equivalent to 1.1 per cent https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis (3) (4) (5) (6) of the deposits per year, or slightly less than 1 per cent per year of total assets. Two-thirds of the total loss—$10,200,000,000—was charged off by operating banks in the regular course of business and therefore met largely from the income of the banks. The remaining one-third of the loss was incurred in the liquidation of the assets of banks which closed because of financial difficulties. The stockholders’ losses are estimated at $2,500,000,000 for the 76 years. The depositors’ losses for the same period were $2,200,000,000. This is certainly a record of w hich p riv ate b an k ing can be proud. In another p a rt of the re p o rt it says: “ I t is estim ated th a t over 40 per cent of the to tal n et charge-offs durin g the entire 76-year period occurred durin g 12 years in which the annual ra te of such charge-offs was more th an 1 per cent of deposits. These 12 years include four years in the 1870’s, one year in the 1880’s, two y ears in the 1890’s, and five years in the 1930’s. The annual range of n et charge-offs fo r the entire 76-year period was from one-third of 1 p er cent of deposits in 1940 to 3 per cent in 1933.” The re p o rts fu rth e r indicate th a t if durin g this period there had been a deposit insurance system so the public w ould not have gone thro u g h its panicky period, liquidation of the b a n k s ’ assets m ight have been carried out over a period of time and in an orderly w ay and th a t losses would have been g reatly reduced or perhaps entirely avoided. Seven Sources of The im pressions th a t in dividuals get of banks Bank Impressions come from m any sources, On Public b u t seven im p o rtan t ones were outlined recently by Joseph M. Dodge, presi dent of The D etroit B ank of D etroit, M ichigan, and they include the follow ing: 1. The establishment and its equipment. 2. The contact with individuals of the organi zation (no matter what position they may hold) both in and out of the business. 3. The nature and efficiency of the services rendered. 4. The advertising and publicity. 5. The activities of the business as a corpora tion. 6. The business policies and practices. 7. What the business fails to do and say, as well as from what it actually says and does. Northwestern Banker October 1941 Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 11 The A. B. A. Marches On \ Five Thousand Bankers Representing Every State in the Union Come to Chicago to Take Part in Sixty-seventh Annual Convention E F L E C T IN G th e in te re st and good fellow ship w hich alw ays p redom i n ates a t b a n k e rs’ g ath erin g s, th e sixty-seventh convention of th e A m eri can B an k ers A ssociation concluded on Ocotber 2d in Chicago w ill go dow n in h isto ry as one of th e o u tstan d in g a n n u al m eetings of th e organization. W ith aro u n d 5,000 reg istered for th e four-day session, lobbies, lounges and assem bly room s of th e big Stevens H otel in Chicago w ere co n stan tly jam m ed w ith a m illing crow d of goodn a tu re d financiers, seeking first b e tte r ban k in g m ethods to im prove th e ir service to th e public, an d th e n p a rtic i p atin g in th e fu n th a t goes w ith all conventions. P riv a te b reak fasts, lu n ch eons and som e d in n ers w ere sponsored by m any of th e city in stitu tio n s. R. R. Rollins, vice p resid en t of th e B ankers T ru st Com pany, Des Moines, w as host a t a luncheon for Iow a b a n k ers reg is tered a t th e m eeting; th e A m erican N a tion al B ank, Chicago, also sponsored a luncheon m eeting; th ese tw o being am ong m an y o th e r like affairs. H e n ry W. K oeneke, p resid en t of the S ecurity B ank, Ponca City, Oklahom a, w as nam ed p resid en t of th e A m erican B an k ers A ssociation to serve for the com ing tw elve m onths. Jam es H. Penick. president, W. B. W o rth en Com pany, B ankers, L ittle Rock, A rkansas, w as elected p resid en t of th e S tate B ank D ivision of th e A m erican B an k ers A ssociation a t th e an n u a l m eeting. F ra n k P. Pow ers, p resid en t, K an a bec S tate B ank, Mora, M innesota, w as elected vice p resid en t of th e division. W ood N eth erlan d , vice president, M ercantile-C om m erce B ank and T ru st Com pany, St. Louis, M issouri, w as elected ch airm an of th e division’s ex ecutive com m ittee. S tu a rt C. F razier, vice president, W ash in g to n M utual S avings Bank, Se attle, W ashington, w as elected p resi den t of th e Savings Division. Mr. F ra z ier w as elevated from th e office of vice presid en t, w hich he held d u rin g th e p ast year. W. W. Slocum, president, th e U nited Savings B ank, D etroit, M ichigan, w as elected vice p resid en t of th e division. T h ere are am ple profits in co u n try ban k s if th ese in stitu tio n s w ill com bine th e p rinciples and low cost of R m ass production w ith a personalized m erchandising program , it w as as serted a t th e convention by F red L. O’H air, p resid en t of th e C entral N a tio n al Bank, G reencastle, Indiana. C ultivation of th e field of selling cred it w ill yield large opportunities, Mr. O’H air declared, and closer contact w ith m ore people w ill re su lt in m u tu al u n d e rstan d in g by all. If a b a n k ’s m oney is to m ain tain its pro p er place in th e com m unity, b an k ers m u st be p rep ared to serve th e trade, he added. W illiam D uncan, Jr., secretary, Min nesota B ankers A ssociation, M inne apolis, M innesota, w as elected presi d en t of th e S tate S ecretaries Section of th e A m erican B ankers Association. Mr. D uncan w as elevated from th e office of first vice president, w hich he held du rin g th e p ast year. F re d M. Bowm an, secretary, K ansas B an k ers A ssociation, Topeka, K ansas, w as elected first vice p resid en t of the section. Mr. Bow m an w as elevated from th e office of second vice p resi dent. L au der Hodges, executive m anager, C alifornia B ankers A ssociation, San Francisco, w as elected second vice p resid en t of th e section. Two m em bers w ere elected to the board of control; th ey are: G. H arold W elch, secretary, C onnecticut B ankers A ssociation, New H aven, and Gordon D. Palm er, secretary, A labam a B ank ers A ssociation, Tuscaloosa. The n a tio n ’s b an king system a t p res en t faces n ot only th e problem of aid ing th e go v ern m en t in its defense ef fo rt b u t also in placing itself in such a stro n g position th a t w hen th e p resen t conflict abroad ends it w ill be able to m eet any situ atio n w hich m ay arise, Dr. M arcus N adler, professor of finance at New Y ork U niversity, de clared before th e Savings D ivision of th e an n u al convention. To be of g reatest aid to th e govern m en t now and, at th e sam e tim e, pave th e w ay for fu tu re stability, Dr. N ad ler, w ho is also co n su ltan t econom ist to th e C entral H anover B ank & T rust Co., New York, advocated th a t banks continue to stim u late savings, refuse cred it to those w ho w ould speculate, decline to g ra n t m ortgage loans for th e erection of new buildings w here such buildings m ight conflict w ith de fense needs and handle th e ir in v est m ents in such a w ay as n o t to com pete w ith go v ern m en t financing. T he savings business of m ost coun try banks is a stabilizing factor in th e b a n k ’s over-all activity, Roy R. Marquardt, p resid en t of th e Savings Divi sion of th e A m erican B ankers Associa tion, stated a t th e A ssociation’s annual convention. If savings deposits w ere rem oved from com m ercial banks a n u m ber of ban k s and b ranches w ould be unable to survive and w ould have to go out of business, Mr. M arquardt, w ho is also vice p resid en t of th e F irs t N ational B ank of Chicago, declared. Am ong early re g istra n ts from Middlew estern States w ere th e following: Iowa A n d e rs o n , W ., v ic e p r e s id e n t a n d c a s h ie r, C ity S ta te B a n k , a n d w ife, M a d r id ; A y e rs, G . H ., p r e s id e n t, S ib le y S ta te B a n k , S ib le y ; B a s s , H . L ., e x e c u tiv e v ic e p r e s id e n t, C ity S ta te B a n k , a n d w ife, O g d e n ; B ell, H . E ., e x e c u tiv e v ic e p r e s id e n t, F ir s t N a tio n a l B a n k , C o lfa x ; B oll, L a v e r a M ., g u est, S ta te B a n k , G la d b r o o k ; B u tle r , R . M., e x e c u tiv e v ic e p r e s id e n t, S ta te S a v in g s B a n k of B a x te r , B a x t e r : B y e r r u m , R . O., e x e c u tiv e v ic e p re s id e n t, F i r s t T r u s t a n d S a v in g s B a n k , a n d w ife, D a v e n p o r t ; B u c k le y , E . F ., v ic e p r e s id e n t, C e n tr a l N a tio n a l B a n k & T r u s t C o m p a n y , a n d w ife, D es M o in e s ; C o q u illette, S. E ., p r e s id e n t, T h e M e r c h a n ts N a tio n a l B a n k , C e d a r R a p i d s ; C ro n e, F r a n k C., e x e c u tiv e v ic e p r e s id e n t, N a tio n a l B a n k of W a s h in g to n , a n d w if e ; D e P u y , C liffo rd , N o r t h w e s t e r n B a n k e r , D e s M o in e s ; D ieh l, C la re n c e , v ice p r e s id e n t, I o w a -D e s M o in es N a tio n a l B a n k & T r u s t C o m p a n y , D es M o in e s ; D onliow e, A . T ., v ic e p r e s id e n t, C e n tr a l N a tio n a l B a n k , P r e s id e n t, I o w a B a n k e r s A ss o c ia tio n , a n d w ife. D es M o in e s ; G ro s z k ru g e r, P a u l, p r e s id e n t, T h e C itiz e n s N a tio n a l B a n k , B e lle P la i n e ; F r e d r ic k s e n , C a rl L ., p r e s id e n t, L iv e S to c k N a tio n a l B a n k , a n d w ife, S io u x C ity ; F u lle r , D . D ., v ic e p r e s id e n t, T h e J a c k s o n S ta te S a v in g s B a n k , M a q u o k e ta ; D o o little , C ly d e H ., t r u s t officer, I o w a - D e s M o in es N a tio n a l B a n k & T r u s t C o m p a n y , D e s M o in e s ; F o w le r, C. W ., p r e s id e n t, P o w e s h ie k C o u n ty S a v in g s B a n k , B r o o k ly n ; G o o d w in , W illia m J ., p r e s id e n t a n d c h a ir m a n of b o a rd , C e n tr a l N a tio n a l B a n k & T r u s t C o m p a n y , a n d w ife, D es M o in e s ; H aesem ey er, C. H ., p r e s id e n t, U n io n T r u s t & S a v in g s B a n k , S ta n w o o d ; H a m ilto n , J o h n T ., I I , v ic e p r e s id e n t, T h e M e r c h a n ts N a tio n a l B a n k , a n d w ife, C e d a r R a p i d s ; H a r r is , C. F ., p r e s id e n t, S ta te B a n k , a n d w ife, G la d b ro o k ; H a y n e s , H e n r y H ., N o r t h w e s t e r n B a n k e r , D es M o in e s ; H ill, G. L ., c a sh ie r, L isb o n B a n k a n d T r u s t C o m p a n y , L is b o n ; H o ffm a n , T h eo . W ., c a s h ie r, S tr a t f o r d S ta te B a n k , a n d w ife, S t r a t f o r d : H o r to n , H e r b e r t L p re s id e n t, Io w a -D e s M o in es N a tio n a l B a n k a n d T r u s t C om p a n y , D es M o in e s; J o h n s o n , V . W ., p r e s id e n t, F i r s t N a tio n a l B a n k , a n d w ife, C e d a r F a lls ; J o h n s o n , E . L ., p r e s id e n t, F i r s t N a tio n a l B a n k , W a te r lo o ; K a r s te n , O. L ., e x e c u tiv e v ic e p r e s id e n t, N e w to n N a tio n a l B a n k , N e w to n ; K a u ffm a n . B . F ., p r e s id e n t, B a n k e r s T r u s t C o m p a n y . D es M o m e s; K o o n s, V . D ., p r e s id e n t, F i r s t S ta te B a n k , B r i t t ; M cK ee, B . L ., v ice p r e s id e n t a n d c a s h ie r, M u sc a tin e B a n k a n d T r u s t C o m p a n y , a n d w ife, M u sc a ti n e ; M e s se rsc h m itt, R . M ., p r e s id e n t, F i r s t N a tio n al B a n k . W e st D es M o in e s: M iller, E . E . d ire c to r, V a lle y S ta te B a n k , R o c k V a lle y ; M iller, R a y m o n d G „ v ic e p r e s id e n t, C a p ita l C ity S ta t e B a n k , a n d w ife, D es M o in e s ; M iller, J . J ., c a sh ie r, W a te rlo o S a v in g s B a n k , a n d w ife, W a te r lo o ; N ag le , G eorge, d ir e c to r F i r s t C a p ita l N a tio n a l B a n k , a n d w ife, I o w a C ity ; P e a r s o n , F . L ., c a s h ’er, F i r s t S ta te B a n k , W e s t B r a n c h ; P e te r s e n , W illia m , a s s is ta n t c a s h ie r, S to r y C o u n ty S ta te B a n k , S to r y C ity ; P e n n e , R . H ., c a s h ie r, N a tio n a l B a n k of W a te r loo, W a te r lo o ; P r in c e . E d w a r d P ., p r e s id e n t, F ir s t S ta te B a n k , W e b s ta r C ity ; R ig b y , C. L , c h a irm a n , U n io n T r u s t a n d S a v in g s B a n k , S ta n w o o d ; R u s- Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 12 sell, S. I ., p re s id e n t, D ic k in s o n C o u n ty S a v in g s B a n k , M ilf o r d ; R u th e r, A rn o ld , c a s h ie r, C la re n c e S a v in g s B a n k , C la re n c e ; S a g e rs , M . O., v ic e p r e s id e n t, T h e J a c k s o n S ta te S a v in g s B a n k , M aquok e t a ; S t. J o h n , B . P ., c a s h ie r, F i r s t S ta t e B a n k , W e b s te r C ity ; S am , A d o lp h G., p re s id e n t, F i r s t N a tio n a l B a n k , S io u x C ity ; S c h a lle r, G eo. J ., c h a irm a n , C itize n s F ir s t N a tio n a l B a n k , S to rm L a k e ; S c h a lle r, H a r r y W ., p re s id e n t, C itize n s F i r s t N a tio n a l B a n k , a n d w ife, S to rm L a k e ; S c h m id t, W . F ., a s s is ta n t c a s h ie r, Io w a S ta te B a n k a n d T r u s t C o m p a n y , a n d w ife, Io w a C i t y ; S c h u tt, J . P ., p re s id e n t, V a lle y S ta te B a n k , a n d w ife, R o c k V a lle y ; S m ith , C h a rle s I., p re s id e n t, F i r s t T r u s t S a v in g s B a n k , A r m s tr o n g ; S u m m e rw ill, W . W ., v ic e p re s id e n t, Io w a S ta te B a n k a n d T r u s t C o m p a n y , a n d w ife, Io w a C ity ; S w e et, R . A., v ic e p re s id e n t, S to ry C o u n ty S ta t e B a n k , S to ry C ity ; S w ile r, W e sley H ., c a s h ie r, B u r lin g to n S a v in g s B a n k , a n d w ife, B u r li n g to n ; V a n M etre , D . U ., v ic e p r e s id e n t, M o u n t V e r n o n B a n k a n d T r u s t C o m p a n y , M o u n t V e r n o n ;W a g n e r , R o lfe O., p r e s i d e n t, C a p ita l C ity S ta te B a n k , a n d w ife, D es M o in e s ; W a tts , C h a rle s E ., c a s h ie r, C o m m ercial S ta te B a n k , P o c a h o n t a s ; W e lch , F r a n k C., p r e s i d e n t, T h e P e o p le s S a v in g s B a n k , a n d w ife, C e d a r R a p i d s ; W illia m , F . X . D ., v ic e p re s id e n t, F i r s t C a p ita l N a tio n a l B a n k , a n d w ife, I o w a C ity ; W i t te r, L . A ., p r e s id e n t, F a r m e r s T r u s t a n d S a v in g s B a n k , S p e n c e r; W o o d s, G eo. W ., e x e c u tiv e v ic e p r e s id e n t, F i r s t N a tio n a l B a n k , a n d w ife, C o u n cil B lu ffs. Minnesota A rv e s e n , C. B ., a s s is ta n t c a s h ie r, C a m b rid g e S ta te B a n k , C a m b rid g e ; A u r a n d , C a lv in W ., v ic e p r e s id e n t a n d t r e a s u r e r , N o r th w e s t B a n c o rp o ra tio n , M in n e a p o lis ; B a ird , J u l i a n B ., vice p re s id e n t, T h e F i r s t N a tio n a l B a n k , S t. P a u l ; B a rs to w , R . W ., p re s id e n t, S a n d s to n e S ta te B a n k , S a n d s to n e ; B e a tty , R . S., c h ie f n a tio n a l b a n k e x a m in e r, M in n e a p o lis ; B e a u lie u , P . D ., p r e s id e n t, A u s tin S ta te B a n k , a n d w ife, A u s tin ; B jo r g a a r d , O. E ., c a s h ie r, S ta te B a n k of C y ru s, C y r u s ; B re m e r, O Po, c h a i r m a n of b o a rd , A m e ric a n N a tio n a l B a n k , S t. P a u l ; B r o a d w a te r , D . E ., v ice p r e s id e n t a n d c a sh ie r, F a r m e r s a n d M e r c h a n ts S ta te B a n k , a n d w ife, P r e s to n ; B ro m b a c h , C. B ., v ic e p re s id e n t, F i r s t N a tio n a l B a n k a n d T r u s t C o m p a n y , a n d w ife, M in n e a p o lis : B u rg e s s , J o h n , v ic e p re s id e n t, N o r th w e s te rn N a tio n a l B a n k a n d T r u s t C o m p a n y , a n d w ife, M in n e a p o lis ; C h a p m a n , A . C., p re s id e n t, F i r s t N a tio n a l B a n k of O w a to n n a , O w a to n n a ; de L a ittr e , J o h n , a s s is ta n t s e c re ta ry . T h e F a r m e r s a n d M e c h a n ic s S a v in g s B a n k . M in n e a p o lis ; D e la n d e r, N . P ., vice p re s id e n t. T h e F i r s t N a tio n a l B a n k , S t. P a u l ; D u n c a n . W illia m , J r . se c '—ta r v , M in n e s o ta B a n k e r s A ss o c ia tio n , a n d w ife , M in n e a p o lis ; E ric k s o n , E lm e r V ., p re s id e n t, C a m b rid g e S ta te B a n k . C a m b rid g e ; E ric k s o n , H ild in g A., p r e s id e n t, F i r s t S ta te B a n k , I s a n t i ; E w a r t, K een e, a s s is ta n t' v ic e p re s id e n t. C itiz e n s S ta te B a n k , R e d w o od F a ll s ; F o rd , S. S., p re s id e n t, N o r th w e s te r n N a tio n a l B a n k a n d 'T r u s t C o m p a n y , M in n e a p o lis ; G a n d ru d , O lu f, p re s id e n t, S w ift C o u n ty B a n k of B e n s o n , B e n s o n ; G r a n g a a r d , M. O., v ic e p re s id e n t, F i r s t N a tio n a l B a n k a n d T r u s t C o m p a n y , M in n e a p o l is ;1 G u n d e rs o n , J o h n , v ic e p re s id e n t, P e o p le s AT S ta te B a n k of C a m b rid g e , C a m b r id g e ; H a u g e n , J . O., p re s id e n t, G le n w o o d S ta te B a n k , G le n w o o d ; H e a d le y , L . S., v ic e p r e s id e n t, F i r s t T r u s t C o m p a n y , S t. P a u l ; H ig h la n d , A lex, p r e s id e n t, E m p ir e N a tio n a l B a n k a n d T r u s t C o m p a n y , S t. P a u l ; H o g a n , J a m e s H ., p r e s id e n t, K e r r ic k S ta t e B a n k , K e r r ic k ; H o n e b r in k , W a lte r H ., v ic e p r e s id e n t, T h e F i r s t N a tio n a l B a n k , S t. P a u l ; J o h n s o n , W m . N ., v ic e p r e s id e n t, N o r th w e s te r n N a tio n a l B a n k a n d T r u s t C o m p a n y . M in n e a p o lis ; J o n e s , O. G., p re s id e n t, T h e G o o d h u e C o u n ty N a tio n a l B a n k , R e d W in g ; K ie c k e r, J o h n A ., v ic e p r e s id e n t a n d c a s h ie r, C itize n s S ta te B a n k , G ib b o n ; K in g m a n , H . S., p r e s id e n t, F a r m e r s a n d M e c h a n ic s S a v in g s B a n k , M in n e a p o lis ; K irb y , L . O., v ic e p r e s id e n t, T h e F i r s t N a tio n a l B a n k , a n d w ife, a n d d a u g h te r , H ib b in g ; L a g e s o n , A. J ., c a s h ie r, S ta te B a n k of C la rk s G rove, C la r k s G ro v e ; L id b e rg , A u g . H ., c a sh ie r, F i r s t N a tio n a l B a n k , R e d W in g ; M atzk e, H . 0 ., p r e s id e n t, T h e C ity N a tio n a l B a n k of D u lu th , D u lu th ; O ’B r ie n , F r a n k C., v ic e p r e s id e n t, N o rth w e s te r n N a tio n a l B a n k a n d T r u s t C o m p a n y , M in n e a p o lis ; O d in , O. H ., e x e c u tiv e v ic e p r e s id e n t, M a rq u e tte N a tio n a l B a n k , a n d w ife, M in n e a p o lis ; O lson, L a w r e n c e O., c a s h ie r, M id la n d N a tio n a l B a n k a n d T r u s t C o m p a n y , M in n e a p o lis ; O lson, L y n n S., v ic e p r e s id e n t, F i r s t N a tio n a l B a n k , M o q u e t; O lson, O s c a r A., p r e s id e n t, T h e F i r s t N a tio n a l B a n k , B r a h a m ; P e a v e y , R o g e r W ., p r e s i d e n t, S e c u r ity N a tio n a l B a n k a n d T r u s t C o m p an y , a n d w ife, F a r i b a u l t ; P e y to n , B . M u r r a y , t r e a s u r e r , A m e ric a n B a n k e r s A s s o c ia tio n ; a n d p r e s id e n t, M in n e s o ta N a tio n a l B a n k , a n d w ife, D u lu th ; P o w e rs , F r a n k P ., p r e s id e n t, K a n a b e c S ta te B a n k , a n d w ife, M o r a ; P r e s to n , O tis R ., a s s is ta n t c a s h ie r, F e d e r a l R e s e rv e B a n k of M in n e a p o lis , M in n e a p o lis ; Q u ay , A . H ., v ic e p r e s id e n t, - F i r s t N a tio n a l B a n k a n d T r u s t C o m p a n y , M in n e a p o lis ; R ep p e , G. N ., p r e s id e n t. F i r s t S ta te B a n k , G r a n d M e a d o w ; R in g la n d , J . F ., p r e s id e n t, S to c k y a r d s N a tio n a l B a n k , S o u th S t. P a u l ; S a n d s , A r th u r W ., p r e s i d e n t, W e s te r n S ta te B a n k , S t. P a u l ; S a ttr e , K . O rla n o . v ic e p r e s id e n t a n d c a s h ie r, B lu e E a r t h S ta te B a n k , B lu e E a r t h ; T h o m so n , J . C am ero n , p re s id e n t, N o r th w e s t B a n c o r p o ra tio n , M in n e a p o lis ; T o rg e rs o n , N . V ., p r e s id e n t. F a r m e r s S ta te B a n k : A d a m s ; U e la n d , A rn u lf, v ic e p r e s id e n t, M id la n d N a tio n a l B a n k a n d T r u s t C o m p a n y , M in n e a p o lis ; W ilk in s , C h a rle s W .. v ic e p r e s id e n t a n d c a sh ie r, F i r s t N a tio n a l B a n k , A u s tin ; Z etzel, J o s e p h H ., d ire c to r, C itize n s S ta te B a n k , G ib b o n . Nebraska A lte r, I . R ., e x e c u tiv e v ic e p r e s id e n t, F i r s t N a tio n a l B a n k , a n d w ife, G r a n d I s l a n d ; A rn s b e r g e r , H . A., a s s is ta n t c a s h ie r, F i r s t N a tio n a l B a n k , O m a h a ; B a tte y , W a lk e r S., v ic e p r e s id e n t, T h e C o n tin e n ta l N a tio n a l B a n k , L in c o ln ; C o o p er, C. L ., p re s id e n t, F a r m e r s S ta te B a n k , W a lla c e ; E a ste rd a y , P h il R ., e x e c u tiv e v ice p r e s id e n t, F i r s t N a tio n a l B a n k , L in c o ln ; E d g e r to n , R . E ., p r e s id e n t, A u ro ra , N e b r a s k a — F i r s t N a tio n a l B a n k , A u r o r a ; H arw ell, L . C., p r e s id e n t, S ta te B a n k of D u B ois, D u B o is ; G an z, C a r l D ., c a s h ie r. F a r m e r s a n d M e r c h a n ts B a n k , A lv o ; G re e n , T . F ., c a sh ie r, B a n k of V alley , V a lle y ; H u g h e s , W illia m B ., sec r e ta r y , N e b r a s k a B a n k e r s A ss o c ia tio n , O m a h a ; THE A . B. A . T he p ic tu re s a t th e r ig h t w ere ta k e n a t th e c o n v e n tio n of th e A m e ric an B a n k e rs A s so c ia tio n re c e n tly con clu d ed in C hicago. B e a d in g fro m l e f t to r ig h t th o se p ic tu re d a re : 1— Charles E. W atts, c a sh ie r C om m ercial S ta te B a n k , P o c a h o n ta s, Io w a ; Fred Cummings, D ro v e rs N a tio n a l B a n k , C hicago; P aul Groszkruger, p re s id e n t C itiz en s N a tio n a l B a n k , B elle P la in e , Io w a , a n d R. L. Penne, c a sh ie r N a tio n a l B a n k o f W a te rlo o , W aterlo o , Io w a. 2— George H. L ihell, M itch ell W. Shearer, George W. McSw eeney, p re s id e n t, a n d A lv in Schneider, a ll o f De L u x e C heck P r in te r s , In c . 3— H arry R. Sm ith, B a n k o f A m e ric a, S a n F r a n cisco; a n d Leo H. P aulger, F e d e ra l R e se rv e B a n k , W a s h in g to n , D. C. 4— M. A. Georgen, a s s is ta n t v ice p re sid e n t, L eslie M c M ahon, vice p re s id e n t, a n d W illiam H. M iller, v ice p re sid e n t, a ll o f th e C ity N a tio n a l B a n k , C hicago. 5— M. A . G raettinger, C hicag o ; H. W. K oeneke, p re s id e n t S e c u rity B a n k , P o n c a C ity, O klahom a, a n d p re s id e n t A m e ric a n B a n k e rs A s so c ia tio n ; Mrs. H. W. K oeneke a n d Mrs. M eier, P o n c a C ity , m o th e r of M rs. K o e n ek e . 6— John Thompson, v ice p re s id e n t a n d c a sh ie r B a n k of C e n te rv ille , C e n te rv ille , S o u th D a k o ta ; W illiam C. Rem pfer, c ash ie r F i r s t N a tio n a l B a n k , P a rk s to n , S o u th D a k o ta , a n d Mrs. W illiam C. R em pfer. 7-—H. W. B artling, C e n tra l N a tio n a l B a n k , C hicago; A. G. Sam, p re s id e n t F i r s t N a tio n a l B a n k , S ioux C ity, Io w a ; A. A. Ellerd, a s s is ta n t to th e p re s id e n t C e n tra l N a tio n a l B a n k , C h icago; a n d K . E. W ehrly, v ice p re s id e n t C e n tra l N a tio n a l B a n k , C hicago. 8— N. V. Torgerson, p re s id e n t F a rm e rs S ta te B a n k , A dam s, M in n .; S. E. C oquillette, p re s id e n t M e rc h a n ts N a tio n a l B a n k , C e d ar R a p id s, Io w a ; a n d G. N . Reppe, p re s id e n t a n d c a s h ie r F i r s t S ta te B a n k , G ra n d M eadow , M in n e so ta . 9— George V. LaM onte, Jr., Jam es T. Anderson, R oy J. D ougan a n d C. S. Richm ond, a ll o f th e L a M o n te S a f e ty P a p e r C om pany. Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis J o h n s o n , A lv in E ., p r e s id e n t, L iv e S to c k N a tio n a l B a n k , O m a h a ; J o h n s o n , J o s e p h V ., p re s id e n t, J o h n s o n C o u n ty B a n k , T e c u m s e h ; K o to u c , O tto, p r e s id e n t, H o m e S ta te B a n k , a n d w ife, H u m b o ld t; L ey , R o llie W ., p r e s id e n t, S ta te N a tio n a l B a n k , W a y n e ; M c D e rm o tt, J . F ’., v ic e p r e s id e n t, F i r s t N a tio n a l B a n k , O m a h a ; M isko, R . E ., p r e s i d e n t, F i r s t N a tio n a l B a n k , a n d w ife. O r d ; M oser, E lls w o rth , e x e c u tiv e v ic e p r e s id e n t, IT. S . N a tio n a l B a n k , O m a h a ; N e u m a n n , C. C., e x e c u tiv e v ice p r e s id e n t, F a r m e r s a n d M e r c h a n ts N a tio n a l B a n k , O a k la n d ; N o v ak , J . A., v ic e p r e s id e n t, H o w e lls S ta te B a n k , a n d w ife, H o w e lls ; N o v ak , L . F ., c a s h ie r, B a n k of B r a i n e r d , a n d w ife, B r a i n e r d ; P e c k , J . O., v ic e p r e s id e n t, T h e C o n tin e n ta l N a ti o n a l B a n k , L in c o ln ; P la c e k , E . E ., p r e s id e n t, F ir s t N a tio n a l B a n k , a n d w ife, W a h o o ; R id g e , R a y R ., v ic e p r e s id e n t, O m a h a N a tio n a l B a n k , a n d w ife, O m a h a ; R o s site r, E . W ., p r e s id e n t, B a n k of H a r tin g to n , a n d w ife, H a r t i n g t o n ; S c h n e id e r, H . A., p r e s id e n t, P la t ts m o u th S ta te B a n k , P la t ts m o u th ; S c h u le r, E a r l, v ic e p r e s id e n t, S e c u r ity N a tio n a l, L a u r e l; S m ith , M rs. E s te lla T 1.. v ic e p r e s id e n t, B a n k of B r a i n e r d , B r a i n e r d ; S o re n s e n , J . M., e x e c u tiv e v ice p r e s id e n t, S te p h e n s N a tio n a l B a n k , F r e m o n t ; S to u t, R o b e r t I ., p r e s id e n t, F i r s t N a tio n al B a n k , a n d w ife, T e k a m a h ; S tr a in , T . B ., p r e s i d e n t, C o n tin e n ta l N a tio n a l B a n k , L in c o ln ; W a k e, T . H ., J r . , v ic e p r e s id e n t, J o n e s N a tio n a l B a n k , S e w a r d ; W a u g h , S a m u e l C., e x e c u tiv e v ic e p r e s i d e n t a n d t r u s t officer, T h e F i r s t T r u s t C o m p a n y , L in c o ln . North Dakota B r u n s d a le , C. N ., d ir e c to r , T h e G oose R iv e r B a n k , a n d w ife, M a y v ille ; H u g h s , T . D ., v ice p r e s id e n t, F a r g o N a tio n a l B a n k , F a r g o ; K jo s J . G., d ir e c to r , T h e G o o se R iv e r B a n k , a n d w ife, M a y v ille ; O r th F r e d R., p r e s id e n t. F ir s t N a tio n a l B a n k , G r a n d F o r k s ; S h o u w e ile r, E . W ., v ic e p r e s id e n t a n d c a s h ie r, N a tio n a l B a n k of F a ir m o u n t, F a ir m o u n t; S co tt, F r a n k R ., p r e s id e n t, T h e M e r c h a n ts N a tio n a l B a n k a n d T r u s t C o m p a n y , F a r g o ; S ette, T h e o . W ., m a n a g e r c r e d its d e p a rtm e n t, B a n k of N o r th D a k o ta , a n d w ife, B is m a rc k , S h a w , E . L ., p r e s id e n t, T h e F a r g o N a tio n a l B a n k , F a r g o ; S te r n , W illia m , p r e s id e n t, D a k o ta N a tio n a l B a n k , F a r g o ; S tu s r u d , O. C., p r e s id e n t, T h e G oose R iv e r B a n k , a n d w ife , W a y v ille . South Dakota C a ta la n , A r t h u r B ., p r e s id e n t, F i r s t .N a tio n a l B a n k , M ille r; D e a n , R oy, p r e s id e n t, T h e R a p id C ity N a tio n a l B a n k , R a p id C ity ; H a r k is o n , T om S., v ic e p r e s id e n t, T h e N a tio n a l B a n k of S o u th D a k o ta , S io u x F a ll s : H a y te r, Tom , v ice p re s id e n t, F i r s t N a tio n a l B a n k a n d T r u s t C o m p a n y , a n d w ife, S io u x F a l l s ; L o c k h a r t, C a rro ll H ., v ic e p r e s id e n t, F ir s t C itiz e n s N a tio n a l B a n k , a n d w ife, W a te r to w n ; M o rris , L . T ., p r e s id e n t, F i r s t C itize n s N a tio n a l B a n k , a n d w ife, W a te r to w n ; R e m p fe r, W m . C., c a s h ie r, F i r s t N a tio n a l B a n k , a n d w ife, P a r k s t o n ; T h o m so n , J o h n N ., c a s h ie r, T h e B a n k of C e n te rv ille , a n d w ife, C e n te r v ille ; W a ts o n , R a lp h M., p r e s id e n t, N o r th w e s t S e c u r ity N a tio n a l B a n k , a n d w ife, S io u x F a lls . C O N V E N T IO N 10— R. M. W atson, p re s id e n t N o rth w e s t S e c u rity N a tio n a l B a n k , S ioux F a lls, S o u th D a k o ta ; M iss Jean Crane, C hicago; Mrs. Carl Fredrickson, S ioux C ity, Io w a ; Mrs. R. M. W atson, a n d Carl Fredricksen, p re s id e n t L iv e S to c k N a tio n a l B a n k , Sioux C ity , Io w a. 11— Mrs. O rval A dam s a n d Mr. Adam s, vice p re s i d e n t U ta h S ta te N a tio n a l B a n k , S a lt L a k e C ity. 12— Gene Sm ithson, R o c h este r, N ew Y o rk ; L loyd Sm ith, George L. Todd, R o c h este r, N ew Y o rk , a n d H. G. Jackson, C hicago, in th e T odd C om pany b o o th a t th e A. B. A. c o n v en tio n . 13— H arold V. A m berg, vice p re s id e n t F i r s t N a tio n a l B a n k , C hicago; a n d Jam es R. L eavell, p re s id e n t C o n tin e n ta l-Illin o is N a tio n a l B a n k & T ru s t C om pany, C hicago. 14— Mrs. R ay Ilg, B o sto n ; P h illip s W alker, a s s is ta n t c ash ie r, a n d R ay Ilg, v ice p re sid e n t, b o th of N a tio n a l S h a w m u t B a n k , B o sto n ; a n d E. N. V an H om e, e x ec u tiv e vice p re s id e n t A m e ric a n N a tio n a l B a n k , C hicago. 15— C. R. B ell, p re s id e n t C om m ercial N a tio n a l B a n k , A n n isto n , A la b a m a ; A. G. M axw ell, v ice p re s id e n t C itiz en s & S o u th e rn N a tio n a l B a n k , A t l a n t a ; F red Cuscaden, v ice p re s id e n t N orthern T ru s t C om pany, C hicag o ; a n d H arry M. Garwes, v ice p re sid e n t C itiz en s & S o u th e rn N a tio n a l B a n k , S a v a n n a h . 16— W illiam N. Johnson, vice p re s id e n t N o rth w e s te rn N a tio n a l B a n k , M in ne a p o lis; I. G. M aulhardt, v ice p re s id e n t C a lifo rn ia B a n k , Los A ngeles, a n d F rank C. O ’Brien, vice p re s id e n t N orthw estern N a tio n a l B a n k , M in n e ap o lis. 17— D. H. Reim ers, p re s id e n t L iv e S to c k N a tio n a l B a n k , C hicago, a n d H. G. B engel, v ice p re s id e n t Illin o is N a tio n a l B a n k , S prin g field . Illin o is. 18— Mrs, W i’liam H. M iller, Mrs. Tom Ford, Tom Ford, A m e ric a n N a tio n a l Bank, C hicago; Mrs. A lden B agn ali a n d A lden B agnali, vice p re s id e n t L iv e S to c k N a tio n a l B a n k , C hicago. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis News and OF B A N K IN G THE V iews W O R LD By Clifford D ePuy Along the P a cific C oast AVE you ev er flown to California in one of th e Mainliner U nited Air Line planes? T hey are beautiful planes and excellently operated, b u t afte r you have stopped a t Omaha, th e n Cheyenne, w ith o u t any trouble and are finally lifted 14,000 feet in th e air over the m ountains, th e n dropped dow n in Salt Lake City from th a t a lti tude, you have to be a good “flyer” if you don’t reach for a paper cup. A t th e high altitu d es we noticed th a t th e stew ardess w as attach in g th e oxy gen tubes for m any of the passengers. This is a ru b b e r tube w hich plugs in by y o u r seat and a t th e end has a pipe stem w hich you place in y o u r m outh and increase y o u r oxygen intake. T his generally revives m ost of th e p assen gers th a t are affected by th e altitude. As fa r as we are concerned, we m ay w ind up w ith a tin cup on the corner, b u t w e’re not v ery pleased to be hold ing paper cups on an airp lan e trip. A ir trav el, of course, is m arvelous as far as speed is concerned, as we left Des M oines a t 5:50 in th e m o rn in g and reached San F rancisco at 3:47 th a t afternoon. H O utside of th e view from th e Rain bow Room in R ockefeller C enter th e re is no m ore in sp irin g or beau tifu l pano ram a to be enjoyed an y w h ere th a n from th e cocktail lounge on th e 20th https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis floor of th e Mark Hopkins Hotel in San Francisco. If you go th ere about 5:30 in the evening w hen th e sun is com m encing to set, you can see th e daylight fade and th e lights of th e city come on and it is a m ost b eautiful scene. On one side is the Golden Gate. Across from th a t is th e City of Oakland, and up the h arb o r a w ay is both th e sum m er and w in ter hom e of some of th e boys w ho forgot to m ake out th e p roper income tax reports, or otherw ise get in tro u ble. It is the Alcatraz Island “Hotel.” The island, w hich w as used for the W orld’s F air, is now being m ade into an a irp o rt and the Pacific Clippers w ill leave from th is base in th e near future. At the San Francisco Rotary Club m eeting, held at th e Palace Hotel, we h eard a w om an from London tell of h er experiences du rin g the presen t em ergency. W hile we som etim es th in k th a t th e E n glish do not have any hum or, she told us of some in terestin g incidents w hich proved th e contrary. One shop keeper had th is sign out in front: “We keep open during air raids —in case of a direct hit we close at once.” A nother sto ry she told w as about the w om en w ho are tak in g th e ir p a rt in th e m ilitary life of E ngland and th ey are issued p ink cards for identification purposes, and one day th is sign appeared in th e London p a pers: “All E nglish women in military service must show their pink forms w henever required.” A n o th er sto ry she told w as about th e m an w ho picked up an unexploded bom b and w as holding it on his lap w hile seated in a bus. T he conductor cam e along and said, “W h at is th a t? ”, and th e m an replied, “It is an unex ploded bomb which I am taking to the police station.” The conductor said, “For heaven’s sake! put it under your seat!” Incidentally, Miss Spencer w as th e head of a p arach u te m an u factu rin g com pany w hich h ad been in h e r fam ily for a h u n d red years. She m ade her first p arach u te jum p a t th e age of fo u r teen and she said h e r fa th e r told h er then, “If at first you don’t succeed— don’t bother.” Jack Piver, pu b lish er of the Pacific Insurance M agazine of San Francisco, in pointing o ut th e p ro m in en t b u ild ings to us said, “Over there is the San Francisco city hall, but we spell it haul.” T here are probably o th er cities w here th is m ight also apply. I). Porter Dunlap, vice president, and Harry R. Smith, a ssistan t vice p resi dent of th e B ank of A m erica in San Francisco, know hu n d red s of bankers th ro u g h o u t th e U nited States, as these gentlem en are in charge of th e Coun try B ank Division. Mr. D unlap, w ho is “tall, brow n and handsom e,” is a reg u lar a tte n d a n t at all A. B. A. conventions and has done m uch to build up th e ir out of tow n accounts. L. E. Townsend, a ssistan t vice p re s ident and publicity d irector of the B ank of A m erica, is v ery w ell know n to m em bers of th e F inancial A dvertis e rs’ A ssociation, in w hich he has tak en an active p a rt for m any years. J u st previous to the F. A. A. m eeting last LEO E. STEVENS, MRS« STEVENS, MRS. W. 0. REED AND MR. REED OF PASADENA fflf I f f ' II i . WMMMk m onth, Lew got out a v ery clever piece of publicity in b ehalf of th e A ssocia tion, soliciting new m em bers. Lew w as elected first vice p resid en t at the Cleveland convention last m onth. Mr. and Mrs. Fred Clinchard of Oak land, C alifornia, e n te rta in e d us one n ig h t a t th e Bal T ab arin in San F ra n cisco. Mrs. C linchard w as Barbara Edwards, d a u g h ter of th e late George P. Edwards, fo rm er p u b lish er of the Coast B anker. It w as th e opening n ig h t for Belle Baker, w ell-know n sing er and re c ite r of poem s, w ith a double m eaning and p len ty of zip, so, of course we can ’t p rin t th em here and w e know how disappointed you are. A. P. Gianiiini, w ith w hom we h ad a v isit a t th e head office of the B ank of A m erica in San Francisco, sits out in th e m ain room w ith th e o th er officers of th e bank, and at 71 y ears of age, keeps his fingers on every detail of th e ir 495 b ran ch es in 307 C alifornia com m unities. M any of th e re sta u ra n ts w ere closed in San F rancisco because of a strike, b u t Julius’ Castle on T elegraph Hill w as open as u su al and th e food w as as fine as ever. i t* ■■ T H f ---------------- — ■ M YS T g s ¥ * — SIGNAL. HILL, LONG BEACH— WHERE THE DEAD PAY DIVIDENDS. hhhmbbhhhbbhhhik. “Nuts 2-U” is th e w ay MacFarlane’s Candy Shop in San Francisco ad v er tises its w ares. The Coast B a n ker w as purchased re cently by Harry Lutgens, w ho is a m em ber of the State P ersonnel Board and form er p u b lisher of the San Rafael In d ependent. O thers w ho bid for the publication w ere W illiam AV. Chapin, p ublisher of th e A rgonaut of San F ra n cisco, and Clifford De Puy, pu b lish er of th e N o r t h w e s t e r n B a n k e r . Sale of th e m agazine took place in Superior Judge T. 1. Fitzpatrick’s court, in or d er to settle the estate of its form er ow ner, the late George P. Edwards, w ho established the m agazine thirtyth re e y ears ago. Arch AVr. Anderson, p resid en t of the C alifornia Bank, Los Angeles, and for m erly vice p resident of the C ontinen tal Illinois N ational B ank and T ru st Com pany, feels th a t he is g ettin g back hom e since he re tu rn e d to California, as th is used to be his old home, al though he w as born in K entucky. Arch know s b an k ers from coast to coast, because of th e w ide traveling he has done in his previous banking connections. The slogan of the Earl Carroll Thea tre Restaurant is “Through these por tals pass the most beautiful girls in the world.” The com edian of the show changes th is a little and says, “Through these portals the most beau tiful girls in the world pass out.” The E arl C arroll T h eatre R estau ran t is p attern ed afte r the form er In te rn a tional Casino in New York. You buy a ticket at the box office w hen you go in. This entitles you to your dinner and the show. The prices range from $3.00 to $5.00, plus the tax, and th e difference in price depends upon w here you sit—not upon w h at you eat. The w aiters have nothing to do w ith the p aym ent of your bill, as th a t is taken care of w hen you enter. The re sta u ra n t seats about 2,000 people. Carlos G. Stratton, governor of Ro ta ry Intern atio n al, spoke before the Los Angeles R otary Club at the Bilt(T u rn to page 36, please) 8 I . 1 THE MYSTERY OF LIFE DAVID STATUARY IK THE BEAUTIFUL FOREST LA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Rod Maclean, m anager, advertising and publicity of the C alifornia B ank of Los Angeles, w as out of the city w hen we called, but we had a v ery pleasant visit w ith Michael Donnelly, assistan t m anager of ad v ertisin g and publicity. MOTHERHOOD C3ISTERY AT PASADENA Cleveland Chatter A bout the F. A . A . Convention H E 1941 F. A. A. convention last m onth a t Cleveland w as an o u t stan d in g m eeting. A bout 400 a t tended it, and th is w as th e larg est a t tendance since th e 1929 convention. The excellent pro g ram arran g ed u n d er the supervision of P resid en t R. J. Izant, E xecutive Vice P resid en t Pres ton Reed and o th er F. A. A. officers and th e cen tral location, w ere no doubt responsible for th e large attendance. T M idw estern cities w ere w ell re p re sented a t Cleveland. The Iow a dele gation, how ever, w as sm aller th a n u s ual because th e Iow a B ankers Associa tion convention w as held in Des Moines on th e sam e dates as th e Cleve land m eeting. D. R. W essling of Wessling Services, Des Moines, atten d ed all of th e sessions, as did Warren Garst, cashier, th e Hom e State B ank of Jeffer son, Iowa. Mr. G arst had tak en his son and d au g h ter to place th em in school a t A ntioch College in Ohio, and Mr. W essling w as able to cover the m eeting as a p a rt of his w idespread trav els w hich take him all over the country. Mr. W essling, although liv ing in Des Moines, has a d au g h ter in h er th ird y ear at N o rth w estern and his son, Dan, is at Syracuse, New York, connected w ith th e L ib erty M utual In surance Company. Among speakers unable to be p res en t at the m eeting w as Albert Journeay, vice president, th e P u rse Com pany. He was called to New York on account of th e illness of a sister, and, therefore, did not get to p articip ate in the g eneral session on “F u n d am en tals of A d vertising.” By Ralph W . Moorhead Associa te Publisher N EW F. A . A . O F F IC E R S P r e s id e n t— V icto r Cu llin, A s sist an t S ecreta ry , T h e M is sissip p i V a lle y T ru st C o m p a n y , St. Louis, M issouri. First Vice P r e s id e n t — L. E. T o w n send, Vice P re s id e n t, B a n k of A m eric a , San Francisco. S e co n d Vice P r e s id e n t— L ew is F. G o rdon , A ssista n t Vice P re s id e n t, T h e C itize n s a n d S o u th e rn N a tio n a l B an k, A tla n ta . T h i r d Vice P r e s id e n t — J. L. Laff e rty , Vice P re s id e n t, T h e F ort W orth N a tio n a l B an k, F ort W o rth , Texas. Guy Cooke, v eteran F. A. A. m em ber from th e F irst N ational, Chicago, w as one of the sta r m em bers on th e general session devoted to “F u n d am en tals of A dvertising.” W hen asked for a defi nition of advertising policy, Guy said, “An ad v ertisin g policy is like the con stitu tio n of th e U nited States. It can be am ended or changed at alm ost any tim e.” T his w as a very good answ er to a question from the floor from one AT THE F. A . A . A fe w of th o se a tte n d in g th e re c e n t F in a n c ia l A d v e rtis e rs A s so c ia tio n C o n v e n tio n in C lev elan d a re p ic tu re d on th e oppo site p ag e. R e a d in g fro m le f t to r ig h t th e y a re, 1— D orcas Camp bell, E a s t R iv e r S a v in g s B a n k , N ew Y o rk C ity ; V ictor Cullin, M ississip p i V a lle y T ru s t C om pany, S t. L ouis, new p re sid e n t o f th e F. A. A., a n d Clyde Draughon, M e rc h a n ts N a tio n a l B a n k , M obile, A la b am a. 2— W alter D istelhorst, F i r s t N a tio n a l B a n k , L o u isv ille ; D. R. W essling, W esslin g S erv ices, D es M oines; Stephen Fifield, B a r n e tt N a tio n a l B a n k , Ja c k so n v ille , F lo rid a , a n d J. J. Spindler, p re s id e n t F a rm e rs a n d M e rc h a n ts B a n k , H ig h lan d , Illin o is. 3— Mr. and Mrs. R obert L indquist, A m e ric an N a tio n a l B a n k & T ru s t C om pany, C hicago; Rod M cLean, The Northwestern Banker October 19'ti https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis m em ber w ho asked “How effective is th e excuse ‘Our ad v ertisin g budget is ex h au sted ’?”. A nother in terestin g sidelight on ad vertisin g fu n dam entals w as given by I. I. Sperling, a ssistan t vice p resid en t of the Cleveland T ru st Company, w ho quoted General Leonard P. Ayres as follows: “A n adv ertisin g budget is a sm all piece of m oney surro u n d ed by sacred cows.” The California delegation, n ot large in num bers, m ade up for it in quality w ith L. E. Townsend, a ssistan t vice president, th e B ank of A m erica, at San Francisco, and Rod Maclean of the B ank of California at Los Angeles, re p resen tin g th e golden state. Mr. Tow n send w as honored by election as first vice presid en t of th e F. A. A. Inciden tally, he is related to Charles F. Town send, w ell know n Des Moines photog rapher. A fam iliar face now a t the S tatler H otel in Cleveland w here th e conven tion w as held is th a t of G. C. Lee, new assistan t m anager. Mr. Lee w as form erly m anager of th e E lm s H otel at E x celsior Springs, M issouri, and later of th e M ontrose H otel in Cedar Rapids. The bond and in v estm en t m en had their in n in g at C leveland w hen E. A. Pierce, senior p a rtn e r of M errill Lynch, Pierce, F e n n e r & Beane, spoke at th e session on “T he F inancial Ad v ertisers O bligation and O pportunity.” He tossed out several base h its on this (T u rn to page 20, please) C O N V E N T IO N — C a lifo rn ia B a n k , L os A ngeles, a n d J. K. W aibel, C o n tin e n ta l Illin o is N a tio n a l B a n k & T ru s t C om pany, C hicago. 4— Robert J. Izant, C e n tra l N a tio n a l B a n k , C lev e lan d ; H arry B. W indsor, F e d e ra l S a v in g s & L o a n A s so c ia tio n , C lev e lan d ; D ale Brown, N a tio n a l C ity B a n k , C leveland, a n d P reston Reed, e x ec u tiv e vice p re sid e n t, th e F . A. A. 5— George E verett, F i r s t B a n k & T ru s t C om pany, U tic a , N ew Y o rk ; Joseph M. Dodge, p re sid e n t, T he D e tro it B a n k , D e tro it; a n d L ew is Gordon, C itiz en s & S o u th e rn N a tio n a l B a n k , A tla n ta . 6— I. I. Sperling, C leveland T ru s t C om pany; W illiam Sherrill, F i r s t N a tio n a l B a n k , St. L o u is; a n d H om er M cK ee, vice p re s id e n t B la c k e tt-S a m p le H u m m ert, In c ., C hicago. »M i I R » ’“» s https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis s SM How fair Valuation Is Determined Under the Bankruptcy Act N IOWA B anker w as a m em ber of th e m unicipal governing body of the city in w hich his b an k w as located. T here w as p resen ted to th a t body the m a tte r of w h e th e r his b an k should be designated as a depository for its funds. W as he, by reaso n of his in terest, disqualified from voting? Yes. A member of a governm ental body having a direct personal interest in a matter coming before such body is disqualified from voting thereon, as a general rule. No special circumstances exist here that would warrant a de parture from the requirements of such rule. A F o r th e purposes of th e B an k ru p tcy Act a person is insolvent w h en ev er th e aggregate of his p ro p e rty shall not, a t a fair valuation, be sufficient in am o u n t to pay his debts. Proceedings w ere filed ag ain st L aletin, a m erch an t, to have him declared b an k ru p t. Some of his assets consisted of notes and ac counts receivable. Should th e face am ounts of th e accounts and notes be taken as th e ir fair value in d eterm in ing w h e th e r he w as b an k ru p t. No. In determ ining whether a debt or is insolvent under the Bankruptcy Act, the fair valuation of the accounts receivable and notes owned by him is not the amounts shown on the face of the accounts and the notes but what with reasonable diligence can be real ized w ithin a reasonable time from their collection. Suppose th at, in th e preceding ques tion, a su b stan tial am o u n t of th e al leged b a n k ru p t’s assets w as th e stock of a lum ber yard, th a t is, th e lum ber, p ain t and so fo rth contained therein . Should th e w holesale or re ta il value of such stock be used in determ in in g th e fair valu atio n for th e purposes of th e B an k ru p tcy Act? Fair valuation as used in the Bank ruptcy Act excludes on the one hand the sacrifice price that would result from an execution or foreclosure sale and on the other hand the retail price that could be realized in the slow proccess of trade. This latter value should be excluded because it could only be gained by large expense and the many risks of a mercantile venture. As a Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis These and Other Timely Legal Questions A re Answered By the LEGAL DEPARTMENT consequence, the wholesale value of the merchandise should be used. S tack w as appointed tru ste e of his fa th e r’s p ro p erty u n d er his fa th e r’s will. As such, he took possession of certain d ry p astu re land in N ebraska and used it for him self. W as he chargeable w ith, and req u ired to ac count to th e beneficiaries of th e tru st, for th e fair and reasonable re n ta l value thereof? Yes. One standing in a trust capac ity, who takes possession of and uses trust property for his own benefit, is chargeable with and w ill be required to strictly account for the fair and reasonable rental value thereof. T he Board of E ducation of a N o rth D akota city, p u rsu a n t to negotiations by one of its m em bers w ho w as a local banker, re n te d th e high school au d i to riu m for one evening to a p riv ate concern for use in p u ttin g on an en tertain m en t. S tatu to ry a u th o rity ex isted for re n tin g th e au ditorium in such circum stances. T he ow ner of th e local th e a te r sought to enjoin th e lease. Could he do so? No. Where a lease of public prop erty is executed under express statu tory authority, it is valid. However, in the absence of a special statute, the general rule is that, except for some casual use not prejudicial to, nor in consistent with, the main purpose for which the school property was ac quired, a lease thereof, or of a portion thereof, is not valid. Foxw ell obtained a loan from a M in nesota b ank and pledged w ith it cer tain p rom issory notes as security. He was indebted to Johnson on an o th er m a tte r and did not pay such indebted ness as agreed. Joh n so n obtained a ju d g m ent against Foxw ell and g a r nisheed th e bank. As an incident to the g a rn ish m en t proceedings, Jo h n son paid th e b an k th e m oney due to it from Foxw ell and p u rsu ed his claim ag ain st F oxw ell’s assets th a t had been pledged w ith th e bank. W as Johnson subrogated to th e b a n k ’s rig h ts in the p ro p erty pledged to it by Foxwell? Yes. In Minnesota if a judgment creditor garnishees a bank and pays the bank the amount owed to the bank by the judgment debtor, such judg ment creditor is subrogated to any rights the bank may have as a holder of the judgment debtor’s promissory notes. G rant b ought from McNiel certain sh ares of stock in a com pany in w hich McNiel w as an officer. T he re g istra tion papers for th e com pany filed p u r su a n t to th e F ed eral Securities A ct of 1933 contained v arious false sta te m ents. By reason of this, a right of action accrued to G ran t ag ain st McNiel six m onths after th e p u rchase w hen th e m a rk e t value w as su b stan tially less th a n th e am o u n t paid for the stock. G rant assigned th e stock to H olt for one dollar and H olt sought to sue McNiel on th e rig h t of action. Could he do so? No. In a recent decision the W is consin Supreme Court held that causes of action similar to the one outlined in the question are penal in nature and do not survive, and that they therefore are not assignable. A South D akota b an k bought a farm a t a foreclosure sale. D uring th e re dem ption period th e b an k leased the p ro p erty and collected re n ts thereon in th e m istak en belief th a t it had the rig h t to do so. A ctually th e m ortgagor had th e rig h t to such ren ts. Can he compel th e b an k to pay to him the re n t m oney received by it du rin g the redem ption period? Yes. A bank, which purchases mort gaged property at a foreclosure sale and leases and collects the rents on the property during the redemption period in the mistaken belief that it has the right to do so, is liable to the mort gagor for such rents under the general rule that one who receives money from another which in equity belongs to a 19 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker October 19M m third person has no right to retain it as against such third person. An Iowa B anker sought to give his son $5,000. T he son had not been p a r ticu larly stable financially and owed considerable sum s of m oney. One of the so n ’s cred ito rs learned of the p ro posed gift a fte r th e b an k er had offered it to th e son h u t before the son had accepted it and such cred ito r sought to req u ire th e son to accept th e gift so th a t it m ight be subjected to the pay m en t of th e c re d ito r’s claim. Could he do this? No. A creditor of a donee of a gift inter vivos has no such interest, leg li or equitable, as to enable him to con trol the right of the donee to refuse acceptance, or to renounce, the gift. A New H am pshire statu te requires persons using a public street for a parade to procure a special license th e re fo r from the local authorities. W here a religious group m arching along a side w alk in single file, c a rry ing signs and placards advertising th e ir religious beliefs, are required to obtain such license, does an u n consti tutional in terferen ce w ith religious w orship, or the practice of religion, occur? No. According to a recent United States Supreme Court decision, a stat ute requiring persons using a public street for a parade or procession to procure a special license therefor from local authorities does not constitute an unconstitutional interference with religious worship, or the practice of religion, as applied to a group march ing along a sidewalk in single file carrying signs and placards advertis ing their religious beliefs. C L E V E LA N D C H A T T ER (C ontinued from page 16) subject, declaring th a t it is high tim e th at th e security dealers do som ething on the rig h t kind of a public relations cam paign to convince th e general pub lic th a t th e secu rity dealer is essential to the c o u n try ’s economy. He said, “To th e g reat m ajo rity of our fellow countrym en, the security m ark et is a m ystery. The security dealer has as definite a rig h t to display his w ares as has th e dealer in ships, or shoes, or sealing wax. The trouble is, secu rity dealers have done next to nothing about it.” The R esolutions Com m ittee did a fine piece of w ork in ren d erin g a con cise rep o rt alm ost entirely free from the u sual legal phrases w hich ordina rily m ake such rep o rts im pressive, but non-understandable. T his w as due in large p a rt to its chairm an, Merill An derson, New Y ork A dvertising Agency executive w ho pointed out th a t this y e a r’s re p o rt contained one “w hereas.” Behind the Scenes in the Foreign Department Co n t in e n ta l I llinois N ational B a n k and T ru st Com pa n y of C hicago One of the lucky recipients of the various attendance prizes a t Cleveland was James T. Anderson of George LaMonte and Son.” “J im ” w as aw arded a $80 cam era and no doubt will m ake good use of it. He w as planning a trip into th e m iddle w est shortly after the Cleveland m eeting w hich w ould take him to Des Moines, M inneapolis, K an sas City, and Omaha, and including the A. B. A. convention in Chicago. Mr. and Mrs. Frank P. Syms of New York w ere am ong th e early arriv als at th e convention, m otoring to Cleve land. It w as Mrs. Sym s’ first visit to Cleveland. Mr. Syms is eastern vice president for th e N o r t h w e s t e r n B a n k er M ember Federal Deposit Insurance Corporation ■--------- ------------------------------------------------------- Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis . The exhibits at th e F. A. A. m eeting w ere excellent. A featu re w as one panel devoted to photographs and snapshots of F. A. A. m em bers tak en (T u rn to page 35, please) S A FEG U AR D S that The outside window ledge of a forty-story building presents a double hazard — the physical danger of falling, and a man's own mental inhibition. Yet so simple a device as the fabric safety belt secures him against falling, and gives him confidence in place of fear. » » Within the wide scope of this country's banking and business activities. La Monte Safety Papers serve a double purpose of protec tion and assurance. La Monte Safety Papers pro vide an effective safeguard against the alteration and counterfeiting of checks and other valuable https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis mafar co documents. And thereby they create a satisfying sen se of security. » » These intangible values cannot be appraised in dollars — but 75 % of the country's lead in g banks, and m any of its more important corporations, attest by their long-con tinued use of La Monte Safety Papers the merit of this unique product. » » Your Printer or Lithographer will gladly submit samples of La Monte Safety Papers and explain how you can have your own Trade Mark or individual design incorporated in the check-paper itself. A Logical Correspondent Over $155,000,000.00 was paid to shippers of live stock to this market in 1940. At present prices this total should be much greater in 1941 These figures emphasize the value of an account with THE Stock Yards National Bank of SO U TH OM AHA MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION Northwestern Banker October 19Í1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 23 44th Convention NEBRASKA BANKERS ASSOCIATION Omaha, October 9 -1 0 H ead q uarters — H o te l Paxton The Program CARL D. GANZ P r e sid e n t, N eb ra sk a B a n k ers A ss o c ia tio n GAIN N ebraska b an k ers and th e ir m an y frien d s are looking fo rw ard to an an n u al conven tion, th is tim e to th e forty-fourth m eeting of th e N ebraska B an k ers As sociation to be held in Om aha on T h u rsd a y an d F rid ay , O ctober 9 and 10, w ith h e a d q u a rte rs and all business sessions a t th e H otel Paxton. R eg istratio n w ill begin on W ednes day afternoon, O ctober 8, on th e m ez zanine floor of th e H otel P axton, and th is desk w ill be m ain tain ed for th e d u ratio n of th e convention. T here w ill be no g en eral sessions of th e con ven tio n u n til T h u rsd ay afternoon, w hen th e first business an d program m eetin g w ill s ta rt in th e H otel P ax to n ballroom a t 1:30. T he N ebraska B an k ers A ssociation E xecu tiv e Council w ill be in session late th e aftern o o n of W ednesday, Oc tob er 8, to be follow ed by a dinner. Im m ediately follow ing th e a d jo u rn m e n t of th e convention on F rid ay , th e new executive council w ill go into session for an o rganization m eeting. T he A ssociation of P a st P resid en ts of th e N eb rask a A ssociation w ill have its a n n u al d in n er on F rid a y evening, A O ctober 10, w hile on T hursday, the day preceding, m em bers of th e Ne b rask a F ifty Y ear Club w ill enjoy a luncheon. L adies’ h ead q u arters d u r ing th e convention w ill be in P a rlo r C, H otel Paxton. T he com plete convention program is as follows: Thursday Morning, October 9 8:00 R eg istratio n a t th e Convention desk on th e m ezzanine, H otel Paxton. 10:30 T he R esolutions Com m ittee w ill hold its first m eeting in P arlo r C on th e m ezzanine, H otel P ax ton. 11:00 Conference on installm en t loans in ballroom , H otel P axton, A r th u r L. Coad, chairm an, Com m it tee on Consum er Credit, presid ing. W ade R. M artin, d irector of banking, and Oliver P. Cordill, a ssistan t cashier, F ed eral R e serve Bank, w ill be p re se n t to explain th e state and federal reg ulations. 11:30 T he N om inating Com m ittee w ill hold its first m eeting in P a rlo r D on th e m ezzanine, H otel Paxton. 12:15 L uncheon. D iscussion of bank- ing practices, H. E. Ley of W ayne presiding. P lates 50c. P arlo r A, T he Paxton. 12:15 Luncheon ten d ered to th e F ifty Y ear Club by th e Association. M ain dining room. Thursday Afternoon, October 9 1:30 Call to order by P resid en t Carl D. Ganz. Invocation pronounced by Rev. S tephen E. McGinley, dean, T rin ity C athedral. In tro d u ctio n of m em bers of the F ifty Y ear B ankers Club. R em arks of th e president. A ppointm ent of com m ittees. 2:00 “P rogress of th e Defense P ro gram and Our R esponsibilities In I t ”—B rigadier G eneral F. E. Uhl, C om m anding G eneral Seventh Corps Area. 2:15 “T he W age-H our Bill as Related to B anking”—Leslie K. Curry, vice president, M ercantile Com m erce B ank & T ru st Company, St. Louis. 3:15 “Low-down on W ashington H igh U ps”—S trickland Gillilan, AVashington, D. C. (T u rn to page 27, please) N o rth w e ster n Banker O ctober 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 9 mm An air view of downtown Omaha, showing retail and wholesale centers O to d lK t— "Gateway to the W e st" LTHOUGH Omaha, N ebraska, is w ell k now n by such slogans as “The G atew ay to th e W est” and “Crossroads of th e N ation,” th e re is an o th e r w hich th e Om aha C ham ber of Com m erce m ig h t w ell use. T h a t is— ‘Omaha—The H a rtfo rd of th e W est.” F o r Om aha has 135 in su ran ce agen cies, bran ch es and hom e offices, em ploying m ore th a n 3,000 persons. The an n u al prem iu m incom e is w ell over $35,000,000. W oodm en of th e W orld, th e largest fra te rn a l life in su ran ce society, head q u a rte rs in Omaha, as does th e W ood m en Circle. The W oodm en have as sets of $127,000,000 an d m ore th a n 400,000 m em bers. The Circle, 132,000 m em bers and assets of m ore th a n $32,000,000. Key city in th e n a tio n ’s ric h e st A gri cu ltu ral E m pire, Om aha is also a finan cial center. A lthough 39th in popula tion—225,000—Om aha stan d s 18th in an n u al b an k clearings. C learings a v e r age $1,600,000,000 p e r year. Om aha has n in e b an k s—six national, th re e state and savings — w hose to tal deposits average $140,000,000. B ank loans a v e r age about $150,000,000. Om aha is th e hom e of a b ra n c h F ed eral R eserve B ank an d th e larg est F ed eral L and B ank in th e country. E ig h t building and loan associations are lo cated in Omaha. W ith 56,000 sh a re holders, th e y have m ore th a n $38,000,000 in assets. A Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W holesale trad e te rrito ry for Omaha em braces all or p a rt of nine states. W holesale trad e averages $400,000,000 in Om aha each year. H u n dreds of th o u san d s v isit B oys’ Town, F a th e r F la n a g a n ’s in te rn a tio n ally fam ous boys’ home. Located ju st outside of Omaha, it is th e subject of tw o m otion pictures. Jo slyn M emorial, p er capita th e n a tio n ’s second m ost popular a rt m u seum , is a $4,000,000 civic center. T hree in stitu tio n s of u n iv ersity ran k are located in O m aha—C reighton U ni versity, U n iversity of Om aha and th e U n iv ersity of N ebraska M edical Col lege. Om aha is th e n atio n ’s fo u rth largest rail center and one of th e w o rld ’s larg est livestock and m eat packing centers. W ith 15 packing plants, it produces $115,000,000 w o rth of m eat and by products annually. A p rim a ry g rain m arket, O m aha also m akes m ore b u tte r th a n any o th er city in th e w orld. One of th e w o rld ’s larg est livestock and m eat packing centers can be in cluded on th e sight-seeing to u r of m any delegates w ho a tten d th e N e b rask a B ankers C onvention on Octo ber 8th, 9th an d 10th. In O m aha’s m agnificent livestock yards, m ore th a n eight m illion head of cattle, sheep and hogs have been m a r keted in a single year. M ore th a n 60 p er cent of these anim als are slaugh tered and processed in th e g reat pack ing pi,ants adjacent to th e m arket. A bout three-fifths of th is enorm ous am ount of live stock comes to Om aha from its ow n state of N ebraska. The rest is co ntributed by m ore th a n tw en ty o th er states. H isto ry of th is m ark et covers' h alf a century. The U nion Stock Y ards Company, Ltd., of Omaha, w as o rgan ized in 1883. It actually opened for business in 1884, du rin g w hich year about 100,000 head of livestock w as handled. H ow ever, 88 p er cent of this stock w as shipped elsew here for pack ing th a t year. R ealizing th a t tru e suc cess as. a livestock m a rk e t could n ot be atta in e d w ith o u t packing plants, th e yard s officials set about to p er suade large packers, chiefly Chicago, to establish bran ch es in Omaha. How w ell th ey succeeded is testified to by th e p resen t b a tte ry of fifteen packing p lan ts in Omaha, w hich m ake it one of the larg est m eat packing centers in th e w orld. , T here are no co n tracts or w ritten tran sactio n s “on th e m ark et.” Sales an d purchases are by w ord of m outh, w ith every m an ’s w ord his bond and th e Om aha Live Stock E xchange standing back of every m em ber. So successful has th is m ethod been th a t it is a byw ord th a t no one has ever lost a p en n y th ro u g h dealing on th e Om aha E xchange. T he various com m ission firms, th e Stock Y ards Com- pany, a bank, and several o th er neces sary in stitu tio n s are housed in th e fine Live Stock E xchange B uilding, erected in 1926 a t a cost of a m illion dollars. D elegates also are invited to visit th e U nion Pacific H istorical M useum. L ocated a t 15th and Dodge Streets, it contains one of th e m ost com plete exhibits of its k in d in th e m iddle w est. T he h u n d red s of pieces on display p re sen t an intensely in te re stin g and a u th en tic record of th e settlin g of th e west. T h ere are curious household articles and farm in g im plem ents used by th e pioneers, valuable docum ents, photos and draw ings of histo rical events, In dian relics, and m an y o th er pieces th a t recall th e stru g g les and triu m p h s of th e early settlers. T he M useum is open from 9 a. m. to 5 p. m., except Sunday. Special eve ning p a rtie s can be arra n g e d on ap p li cation. V isitors m ay p a rk cars, w ith out charge, in a p a rk in g lot adjoining th e building. Greetings — NEBRASKA BANKERS/ We invite you to see our display of Modern Bank Machines at the Paxton Hotel while attending the Nebraska Bankers Convention in Omaha We maintain factory-trained service representatives in the follow ing towns, for constant, efficient service to our thousands of Cash Register and Accounting Machine users in Nebraska and adjacent territory: OMAHA LINCOLN SIOUX CITY GRAND ISLAND SIOUX FALLS The NATIONAL CASH REGISTER CO. ACCOUNTING MACHINE SALES DIVISION 1511 Howard St., Omaha A d vertisem en t "Roll of Honor" Banks . . . N E B R A S K A . . . It is an honor to be listed among the H ON OR RO LL BANKS. It indicates that the bank has SURPLUS and UNDIVIDED PROFITS equal to or greater than its capital T h e ba n k s lis te d on this p a g e are so m e of N e b r a s k a ’s o u ts ta n d in g “H o n o r R o l l ” B an ks. B y ca r efu l m a n a g e m e n t a n d sou n d b a n k in g th e y h ave a c h ie v e d th is e n v ia b le p o s itio n . T h e s e ban ks w ill be e s p e c ia lly g la d to h a n d le a n y collection s, sp e cia l c r e d it r e p o r ts or o th e r business in th e ir c o m m u n iti e s w h ic h y o u m a y e n tru st to th e m . C o r r e sp o n d e n c e is in v ite d . TOW N A v o ca_____ ____ ___ F a rm e rs S ta te B a n k _______ F u lle rto n _______ . F ir s t N a tio n a l B a n k ____________ G ran d Is la n d ___ F ir s t N a tio n al B a n k ____________ C A P IT A L SU RPLU S P R O F IT S . —.E lm er H allstro m . ________ $ 15,000 $ 23,500 O F F IC E R BANK 50,000 64,100 —E. J. W olbach— _______ 200,000 550,000 E. M. B lack ____ _______ E. E. J a c k m a n __ G ra n t__________ ___F a rm e rs N a tio n a l B ank L incoln________ F ir s t T ru s t C o .________________ ______ S. C. W a u g h ____ M cCook________ F ir s t N a tio n a l B a n k ____________ ___R olland L arm o n . Live S tock N a tio n a l B ank 75,000 109,380 50,000 ______ 30,000 ______ P au l H a n s e n ___ ________ 500,000 89,950 764,386 . ..H. V. J e lin e k ___ _______ 25,000 32,000 50,000 67,172 ____ C. W. W r ig h t___ ..... . _- . M itch ell________ ___F ir s t N a tio n a l B a n k ____________ O m a h a _________ ____ 300,000 67,663 357,324 ____ W ilb e r_________ ___ W ilber S ta te B a n k ______________ . W is n e r_________ ___ F ir s t N a tio n a l B a n k ____________ ______ N eil D. S aville— ________ Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 26 The sto ry of Om aha is spiced w ith historic rom ance and is leavened w ith the realization of dream s come true. W hen Coronado, a d v en tu ro u s Span ish cavalier, cam e n o rth out of Mexico in 1541 and discovered w h a t is now know n as N ebraska, he w as lured by tales of fabulous w ealth in th e k in g dom of Q uivera, an d of gold in th e Seven Cities of Cibola. H e found n eith er. T he tales of g re a t w ealth w ere n o t exaggerated, for th o u san d s cam e to N ebraska la te r and m ade th e ir own w ealth by developing th e co u n try as th e o p p o rtu n ity presented. The gold of N eb rask a lay in th e soil. It rem ained for th e pioneers w ho cam e w est betw een 1846 and 1875 to discover th e fo rtu n es th a t lay ready for th e m aking in th e g reat inland em pire th a t now stretch es from th e Mis sissippi to th e Rockies, m ost of w hich is trib u ta ry to Omaha, com m ercially speaking. O m aha w as nam ed for th e Omaha Indians, or M ahas, as some called them . T he O m ahas w ere a sm all trib e th a t lived along th e banks of th e Misro u ri river. E v en as early as 1804, Omaha w as “a t th e crossroads of th e n atio n ,” for explorers cam ped n ear th e p resen t site of th e city and Lew is and C lark m en tioned th e locals in th e ir journals. F u r Symbol of Service Tenth and O Streets in Lincoln, Nebraska, is a landmark. For seventy years, on that site has stood the First National Bank of Lincoln. During that time there have been many changes wrought in our services, but our correspondent banks have found no change in the careful, thoughtful, helpful attitude of the personnel of this institution. An account in the First National Bank of Lincoln will afford you the full measure of our 70 years of experience in Nebraska's Capitol City. May we serve you? The First National Bank of Lincoln tra d e rs and th e U nited States m ilitary forces found th e w est banks of th e Mis souri in th e O m aha vicinity a choice place to re st d u rin g th e ir travels. A m ong o th er h istorical events was the fam ous W in ter Q uarters of the M orm ons in 1846. P u sh in g w estw ard tow ards th e ir goal in U tah, these pil grim s sp en t a w in te r encam ped on high g ro u n d w hich is nor N orth Omaha. T he w estw ard ru sh of th e “FortyN in ers” followed and t h o u s a n d s trek k ed along th e Oregon T rail, w hich crossed th e M issouri riv e r w here Om aha now stands. A lone trad in g post on th e w est b ank of th e riv er flourished, for th e tra v e le rs h ad to purchase supplies a t th is last outpost of civilization. Om aha cam e into actual existence in 1845, w hen th e new tow nsite w as platted. O m aha boom ed and grew, and on F e b ru a ry 2, 1857, it w as incor porated. T he first census of Omaha, in 1860, gave th is city a population of 1,883. T en y ears la te r th e population had increased to 16,000. O m aha’s fu tu re w as assu red by P re s ident A braham Lincoln, w ho desig nated th e alread y th riv in g tow n as the e astern te rm in u s of th e first tran sco n tin en tal railroad. In 1863 gro u n d w as b roken for th e trem endous project. As th e w est opened up u n d e r th e impetus of th e railro ad era w hich followed the Civil W ar, O m aha flourished an d grew. E ach new step in progress h ad its im portance, b u t th e m aster stroke cam e w h en th e U nion Stock Yards began to operate in 1884 afte r earlier efforts to m ake O m aha a livestock m ark et h ad failed. W ith th is new m agnet to a ttra c t th e a tten tio n of the e n tire m iddle w est upon Omaha, it leaped fo rw ard again and th e opening of th e tw e n tie th cen tu ry found a tru e m etropolis of th e plans established. Send me information about your SPECIAL BANKERS BROKERAGE CONTRACT With The LINCOLN, NEBRASKA GEORGE W . HOLMES ........................ P r esid en t P. R. E A ST E R D A Y ..Executive V ice P r esid en t DONALD P. EASTERDAY......A ss t. V ic e P res. L. C. C H A PIN .............................. V ice P r esid en t ERNEST U . GUENZEL............. A ss t. V ice P res. STANLEY MALY........................V ice P r esid en t CLIFFORD G . W E S T O N ....A ssistan t C a sh ie r B. O . CAMPBELL...........Junior V ic e P r esid en t A . C. GLANDT.........................................A ss is ta n t C a sh ie r HOW ARD FREEMAN............................... C a sh ie r R. J. BECKER............................................. A s s is ta n t C a sh ie r Member Federal Deposit Insurance Corporation Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NORTHWESTERN NATIONAL LIFE INSURANCE CO. 431 Farm Credit Building, Omaha Name __________________________ A d d ress_________________________ 27 In ea rly O m aha th e residences w ere confined to a d istric t along th e Mis souri riv e r now occupied by th e w hole sale bu sin ess section of th e city. T he original to w n site w as laid out in 322 blocks, each 264 feet sq u are an d sep a ra te d by stre e ts 100 feet wide. T he individual responsible for th e w id th of th e stre e ts is n o t know n, b u t som eone of th a t ea rly day 84 y ears ago m u st have realized th a t w ide stre e ts w ould som e day be an asset to th e city th a t w as to be. T oday O m aha’s a re a is 25,275 acres, or ab o u t 40 sq u are m iles. T h e F ir s t N a tio n a l B an k OF DENVER. COLORADO ■ ■ ■ S p e c i a l i z i n g in th e b u s i n e s s o f b a n k s s in c e 1 8 6 5 ■ at 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 IO N P R O G R A M N EB R A SK A C O N V E N T IO N (C ontinued from page 23) 4:30 Social H o u r—Ballroom , Paxton. • H otel Thursday E vening Charter N o . 2 0 9 6:30 B anquet. F loor Show. D ancing. Peony P ark. Friday Morning, October 10 8:30 B reakfast. D iscussion of safety box practices. R. H. K roeger, ch airm an , Safety Box C om m it tee, presiding. P lates 50c. In P a rlo r B. 10:30 Call to o rd er by P re sid e n t Carl D. Ganz. 10:35 M eeting of m em bers of th e A m erican B an k ers A ssociation for election of officers for N e b raska. R ay R. Ridge presiding. 10:45 R ep o rt of R esolutions C om m it tee. 10:55 R ep o rt of N om inating Com m it tee a n d election of officers. 11:05 “T he V alue of R esearch an d th e In d u stria l Use of A g ricu ltu ral R aw M aterials’”—L. F. L iving ston, du P o n t C orporation, W il m ington, D elaw are. 12:15 L uncheon. D iscussion of gov e rn m e n ta l com petition, in P a rlo r D, J. A. Cline, Jr., of Bloomfield, presiding. 1:00 L unch eo n for v isitin g w om en. Style show . First National Bank o f Omaha The Oldest National Bank From Omaha West Friday Afternoon 1:30 Call to o rd er by P re sid e n t Carl D. Ganz. A nnouncem ents. 1:35 “T he J u n io r B an k ers A ssocia tio n s”—a sta te m e n t by R. F. Clarke, p resid en t, B anking H ouse of A. W. Clarke, Papillion. YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS F. E. DAVENPORT & CO. Nationalized 1 8 6 3 O F F IC E R S T. F. J. C. J. J. L . D a v t s ............................................. P r esid en t W . T h o m a s ............................. V ic e P r esid en t F . M c D e r m o t t ..................... V ic e P r e s id e n t D . S a u n d k k s .......................... V ic e P r e s id e n t T . S t e w a r t , I I I . V i c e P r e s , and C ashier F . D a v is .................................. V ic e P r e s id e n t W . E . S p ea r E . G. S olom on Member Federal Reserve System A . H . C h i s h o l m .....................................A ss is ta n t C ash ier O. H . E l l io t t ......................................... A ssista n t C ashier C. H . V e b k r ..............................................A ss is ta n t C ash ier E . N. S o l o m o n ........................................A ssista n t C ash ier E . F . J b p s e n ............................................ A ssista n t C ash ier H . A . A r n s b e r o e r ..............A ssista n t C ash ier T ru st Officer A ssista n t T ru st Officer Member Federal Deposit Insurance Corporation OM AHA N o rth w e ster n B anker O ctober 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 28 • NEBRASKA 1:45 “P ulling T o g eth er”—H ow ard J. G ram lich, secretary , A m erican S h o rth o rn B reeders A ssociation, Chicago. 2:45 “Step Out and Sell—W. G. Pow er, C hevrolet Sales Division, De troit. Friday E vening 8:00 H orse Show, w ith Bob H aw k ’s radio program , “Take I t or Leave I t ”, an d M onty M ontana’s tro u p e of m ovie stu n ters. 8:00 T heatres. Entertainm ent—Thursday 12:15 L uncheon hon o rin g th e F ifty NEWS Y ear B ankers Club, in the m ain dining room, H otel Paxton. 4:30 Social H our. Ballroom , H otel Paxton. 6:30 B anquet at Peony P ark. Floor show. Dancing. Entertainm ent—Friday 1:00 L adies’ luncheon in m ain dining room, H otel Paxton. Style show. 6:00 D inner of A ssociation of F o rm er P residents. P a rlo r C, th e P ax ton. 8:00 H orse show a t Ak-Sar-Ben coli seum , Bob H aw k ’s “Take It or L I V E STOCK NATIONAL B AN K- OM A H A S ta te m e n t of C o n d itio n S e p t e m b e r 24, 1941 RESOURCES Loans and D iscounts..................................................................................$10,241,333.24 Bonds and Other Securities..................................................................... 6,141.86 Stock in Federal Reserve Bank............................................................... 30,000.00 Banking House and Fixtures................................................................... 1.00 Other Real E state..................................................................................... None U. S. Government Securities......................................... $2,646,392.19 Cash, Sight Exchange and Due From Federal Reserve Bank.............................................. 5,196,254.07 7,842,646.26 $18,120,122.36 Capital Stock (Com m on)......................................................................... 500,000.00 Surplus (Earned) ..................................................................................... 500,000.00 Undivided Profits ..................................................................................... 313,549.27 Reserve for Taxes, Interest, Etc............................................................ 189,077.16 Unearned Discount ................................................................................... 9,657.83 Dividend Payable September 30, 1911................................................ 7,500.00 D eposits: Banks ............................................................................$8,635,661.15 Other Deposits ........................................................... 7,964,675.95 16,600,338.10 $18,120,122.36 Deposits 4,986.823.44 13,554,317.08 16.600.338.10 In k e e p in g w ith o u r p o lic y of fu ll c o o p e ra tio n w ith th e N a t io n ’s D efen se e ffo rt w e d esire also to e x te n d a d e q u a te a n d h e lp fu l c re d it to a ll a p p ro v e d b u sin e ss concerns in c lu d in g th e v i ta l L iv e S to c k a n d A g ric u ltu re enterprise's. A L V IN E . JO H N S O N , P re s id e n t Th is B ank H a s No Affiliated Companies M e m b e r of Fed era l R e s e rv e S y s te m and F ed eral D e p o s it Insurance Corporation Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Leave I t”. M onty M ontana’s troupe of m ovie stu n ters. 8:00 T heatres. Local com m ittees, m ade up of Oma ha ban k ers and th e ir wives, w ho have charge of th e convention, are as fol lows: General Committee on Arrangements: J. F. Davis, chairm an; R. R. Ridge, E llsw o rth Moser, A. J. H allas, A. L. Coad, H C. K arpf, L. H. E a rh a rt. Reception: J. A. C hangstrom , ch air m an; A. L. V ickery, J. B. Owen, H. O. W ilson, O P. Cordill, J. F McDer m ott, L Dale M atthew s. Entertainment: R. H. K roeger, ch air m an; G. A. Gregory, H. A. A rnsberger, R. H. M allory, Jo h n McCumber, Jam es H. Moore. Hostesses: Mrs. W. A. Saw tell, ch air m an; Mrs. A. L. Coad, Mrs. G. A. Gregory, Mrs. V. B. Caldwell, Mrs. C. D. Saunders, Mrs. P au l H ansen, Mrs. C. O. D arner. Banquet and Dance: H. A. A rnsberger, chairm an; Jam es H. Moore, E lls w o rth Moser. Horse Show and Theatre: W. B. Mil lard, chairm an; H. C. K arpf, J. B. Owen. Stock Show: A. L. Coad, chairm an; Jo h n McCumber, H. O. W ilson. Hotel: A. L. V ickery, chairm an; L. Dale M atthew s, Oliver P. Cordill. LIABILITIES Capital, Surplus and Undivided Profits Loans and Discounts September 24, 1933__$ 616.038.60____$1,660,388.45____ $ September 24, 1937__ 877,379.88____ 4,28 0,256.42____ September 24, 1941 __ 1,313,549.27____ 10,191.821.96____ • Publicity: A. J. H allas, chairm an; Paul H ansen, R. R. Ridge. Clearing House Meeting N ew presid en t of th e P latte Valley Regional Clearing H ouse A ssociation elected last m onth a t the d in n er m eet ing of th e association in G rand Island is Jo h n Spear of th e F o rt K earney S tate Bank. He succeeds C. E. A rterburn, St. Paul. O ther officers are: A. E. Dwehus, D annebrog S tate Bank, vice president; W illiam T. Green, G rand Islan d F irs t N ational Bank, secretary-treasurer. N inety-three guests and m em bers, rep resen tin g 14 cen tral N ebraska tow ns, atten d ed th e m eeting. F ea tu re d on th e p rogram w as a discus sion of federal regulation of in stall m en t buying, by O. P. Cordill, assist a n t cashier of th e O m aha b ranch of th e F ed eral R eserve B ank and area a d m in istrato r of th e act, and a discus sion of th e N ebraska sm all loan law passed last spring, by H en ry A. Schneider, P lattsm o u th banker. 29 an d $318,000 for N ebraska Public Serv ice properties. T he bonds to finance th e sale w ill ru n for th irty years, bear from 2% to 3% p er cent in te re st and w ere sold a t 96. In Chicago, to close th e deal for C onsum ers, w ere C harles B. Fricke, president; P h il H ockenberger, vice president; C. C. Sheldon, treasu rer, all of Columbus, N ebraska, an d Dyo Davis, Silver Creek, N ebraska, a di rector. A. SAW TELL, p resid en t of th e C onsideration w as announced as ♦ Stock Y ards N ational B ank of $185,000 for C entral States properties South Omaha, is general ch airm an in charge of th e 1941 “b u d d y ” pro g ram w hich is being carried out again as a featu re of th e Ak-Sar-Ben Stock and H orse Show in Om aha O ctober 5-11. O m aha Boy Scouts, G irl Scouts and Camp F ire G irls again w ill be “b u d dies” to h u n d red s of m id w estern 4-H Club boys and girls in Om aha th e w eek of th e show. T he pro g ram includes a big b arbecue a t Elm w ood park , a p a rad e an d a y o u th rally. On com m ittees appointed by C hair m an S aw tell are Charles MeCumsey, p resid en t of th e F ed eral L and B ank ★ of Omaha, invitations; Charles 1). Saun ders, vice p resid en t, F irs t N ational Specialists in Nebraska B ank of Omaha, ch airm an of th e re ception com m ittee; Charles Stewart, Municipals presid en t, In term ed iate C redit B ank of Om aha, recep tio n com m ittee; A. J. ★ Hallis, vice p resid en t, Stock Y ards N a tional, recep tio n com m ittee; Ellsw orth Moser, executive vice president, U nited S tates N ational B ank of Om aha, barbecue. Farnam Bldg, W T he citizens’ com m ittee for th e arm y and navy announced recently it has asked 12 nationally-know n business leaders to lead a nationw ide cam paign unifying a “sp irit of high m orale b e tw een civilians and th e arm ed forces of th e U nited S tates.” One of those asked to serve on the com m ittee is W. Dale Clark, p resident of th e Om aha N ational Bank. WE RECOMMEND Municipal and Canadian Government and General Bonds G R EEN W A Y & CO. P u rch ase of tw o n o rth e a st N ebraska p riv a te ly ow ned pow er com panies by th e C onsum ers’ Public P ow er district, offshoot of N eb rask a’s th re e h y d ro electric d istricts, w as an nounced re cently by J o h n N uveen & Com pany, in v estm en t b ankers. T he deal involved th e N eb rask a elec tric p ro p e rtie s of th e C entral States E lectric Com pany of Cedar R apids, Iow a, an d th e p ro p erties of th e N e b rask a P ublic Service Com pany, sub sid iary of th e Sioux City Gas and E lec tric Com pany, Sioux City, Iowa. The tw o com panies serve fifteen tow ns at reta il and tw o a t w holesale, including Ponca, Allen, N ew castle, Concord, Dix on, W aterb u ry , M askell, M artinsburg, Obert, D akota City, H ubbard, W in n e bago, Jackson, H om er, Macy, Rosalie and W althill, N ebraska. Provincial Bonds Inquiries Invited Buffett & Company Investment Securities Omaha National Bank Bldg. Omaha, Nebraska OMAHA, NEBRASKA TERMINIX W o r l d ' s L a r g e s t in T e r m i t e C o n t r o l Write or telephone for FREE INSPECTION of your property No Obligation IN NEBRASKA ( TERMINIX BEAL TERMINIX COMPANY 4330 Leavenworth Street Telephone GL-4111 OMAHA IN IOWA TERMINIX IOWA 527 Seventh Street Telephone 4-8163 DES MOINES N o rth w e ster n B anker O ctober Î 9 b l https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 30 G a ins Deposits But Loses Weight Omaha World-Herald Photos and A FTE R . . . A lv in E . Jo h n s o n b e fo re e . J o h n s o n , P re sid e n t of th e L ive Stock N ational B an k of Omaha h as lost 100 pounds in w eight in th e last few years, b u t w hile he has been losing w eight, th e Live Stock N ational has been g ettin g deposits so th e genial p resid en t is v ery h appy in deed. l v in A F o u r or five y ears ago, Mr. Jo h n son w eighed 280 pounds. Today he tips th e scales at 180' pounds or 100 pounds less th a n his previous top figure. A t 180 pounds, Mr. Jo hnson w eighs 15 pounds less th a n he w eighed 25 y ears ago and 30 pounds less th an w hen he w as m arried. W e asked Mr. Jo h n so n how he did it and th is is w h at he said: “My reduction in w eight was bro u g h t about en tirely by diet. H ow ever, 1 try to exercise daily for a con d itioner b u t not for th e purpose of reducing, as I believe th e only sensible w ay to take off w eight is to reduce the in tak e of food. I believe if any person w ho is overw eight w ill see a com petent physician and follow his instructions, he can lose w eight. The trouble is, th e average person cheats, and cheating h u rts no one b u t him self as you cannot go on a diet and th e n sneak to th e icebox and get a handout every now and th e n .” Today, A lvin Jo h n so n is as jovial and genial as ever, b u t he looks like a new 1942 stream lin ed m odel of w h at th e w ell-dressed young m en w ill be w earing. GREETINGS to NEBRASKA BANKERS ASSOCIATION Organized August 4, 1902 CONDENSED STATEMENT OF CONDITION of NATIONAL BANK OF COMMERCE OF LINCOLN, NEBRASKA At the Close of Business, September 24, 1941 RESOURCES Loans and Discounts.......................................................................................$ 5,806,341.72 Overdrafts ....................................................................................................... 412.18 Banking House, Furniture and Fixtures........................... 246,390.00 Real Estate ..................................................................................................... 12,500.00 U. S. Bonds....................................................................................................... 4,548,000.00 Other Bonds ..................................................................................................... 1,500.00 W arrants ........................................................................................................ 898.30 Customers Liability tor Letter of Credit................................................... 5,000.00 Stock Federal Reserve Bank........................................................................ 22,500.00 Cash and Sight Exchange...................................... 4, 785, 186.33 $ 15,428, 728.53 LIABILITIES Capital ...................... Surplus ..................... Contingent Reserves Undivided Profits .... ........$350,000.00 ........ 400,000.00 ........ 500,000.00 ........ 95,804.98 Reserve for Dividends... Letters of Credit.... Deposits ................ 1,345, 804.98 14,000.00 5,000.00 . 14, 063, 923.55 $ 15, 428,728.53 M em b er o f th e F e d e r a l D e p o s it In su r a n c e C o rp o ra tio n Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis We cordially invite you to visit our display of MONROE ACCOUNTING MACHINES FOR BANKS at Nebraska Bankers Association Convention October 9 and 10 Mezzanine Floor Paxton Hotel Monroe C alculating Machine Company, Inc. 279-282 Aquila Court OMAHA, NEBRASKA 413 Security Mutual Life Ins. Bldg. LINCOLN, NEBRASKA Bank Help Wanted M a n y a ttr a c tiv e p o s it io n s n o w o p en from C h ica g o to P a c ific C o a st for p o s t in g m a c h in e o p era to rs, ste n o g r a p h e r s, t e lle r s and a s s is t a n t c a sh ie r s. C oun try bank e x p e r ie n c e p referred . W r ite fo r a p p lic a tio n b lan k . T H E C H A R L E S E . W A L T E R S CO. P . O. B o x 1313, O m aha, N e b r a sk a 31 Mr. an d Mrs. J. B. F ra z ie r, Jr., an d th e ir d au g h ter, Miss S hirley A nn, an d son, D uncan, have re tu rn e d from C har lottesville, V irginia, w h ere th e y sp en t some tim e a t th e old hom e of th e F ra z ie r fam ily. Mr. F ra z ie r is vice p resid en t a t O m aha of A. C. A llyn & Com pany, in v estm en t b ankers. John F. “Frank” Coad, 70, Omaha b an k er for a h alf cen tu ry , died re cently a fte r an illness of tw o m onths. Mr. Coad served as p resid en t of th e P ackers N ational B ank of South Oma ha for 20 y ears u n til tw o y ears ago, w hen he w as nam ed ch airm an of th e board. H e h ad served as p resid en t of th e O m aha C learing H ouse A ssocia tion several tim es and w as p resid en t of th e Coad Real E sta te Company. He w as b o rn on a farm n e a r P eru, N ebraska. W hen th e U nion Pacific railro ad w as built, Mr. Coad’s fa th e r operated a cattle ra n c h w h ich ex ten d ed from th e W yom ing line to B ridge port, N ebraska. In 1883, th e fam ily moved to Omaha. Mr. Coad becam e a m essenger boy at th e P ack ers N ational w h en his fath e r becam e president. In 1896, th e son w as appointed a sta te b an k exam iner fo r th re e years. S urviving are tw o dau g h ters, Mrs. George W igert an d Mrs. C. A. Jeffrey, both of Omaha; a son, E rn e st, Omaha; seven b ro th e rs an d fo u r sisters. W hen five th o u san d p ersons re c e n t ly atten d ed th e H ow ard county fa ir a t St. P aul, N ebraska, to see th e “P ag ean t of A m erican F reedom ,” an d th e crow n ing of a “Goddess of F reedom ,” N e b rask a A m erican Legion C om m ander J. F. McDermott, vice p re sid e n t of th e F irs t N ational B ank of Omaha, crow ned th e queen, Alice B ukow ski, 18, of St. Paul. T he p ag ean t w as spon sored by th e A m erican Legion and civic organizations. ANK clearings clim bed again in A ugust w ith a to tal of $14,161,280 as com pared to th e Ju ly to tal of $13,503,693. T his w as a large increase over A ugust of last year w hich had a to tal of $11,929,485. C learings for th e first eight m onths of 1941 passed th e 100 m illion m a rk w ith a to tal of $100,085,662 com pared w ith th e $98,836,973 total for th e sam e period last year. B N ebraska B anking D irector W ade R. M artin has announced ap p ointm ent of Jam es R. Cox, York, and L. L. H al stead, Lincoln, as sm all loan com pany exam iners u n d er th e new state law tra n s fe rrin g control of th e sm all loan in d u stry from th e secretary of state to th e b an king d ep artm ent. H alstead has been a state ban k exam iner. F u n e ra l rite s for E dw in H. B u rn ham , form er Fairfield banker, w ho died d u rin g a v isit to his son, H. C. B urnham , in P ortland, w ere held re cently in Lincoln. Mr. B urnham , th e m in ister said, w as born in Richview , 111., May 22, 1857, and for 84 y ears “lived a long useful, and h appy life. H e w as m a r ried to Miss Ida May C hurch Decem b er 10, 1882, and she died D ecem ber 11, 1939. In Fairfield, he w as p resi dent of th e b an k u n til his re tire m e n t in 1925. T he county com m issioners recently ordered th e county atto rn e y ’s office to draw up a resolution increasing the county’s revolving food stam p fund from $25,000 to $40,000. T he o rder cam e after Com m issioner M iller told th e o th er m em bers of th e board, “unless th e p resen t system of p u rch asin g th e stam ps w as changed, th e banks w ill refuse to sign th e coun ty ’s orders.” ”Convention Time" G R E E T IN G S T O TH E 1941 State Convention and the privilege of NEBRASKA BANKERS ASSOCIATION H. M. BYLLESBY and COMPANY (Founded 1902) F A R N A M BU ILDIN G OM AHA Chicago Minneapolis Our officers look forward this month to our New York Philadelphia visiting our many clients and friends. C o n t in e n t a l R a t io n a l E>a/ k °r LINCOLN Member Federal Deposit Insurance Corporation Northwestern Banker , October Í.94T https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 32 • NEBRASKA C onfronted w ith a 10 day w aitin g period betw een th e tim e th e county tre a s u re r p re se n ts th e w a rra n t at th e b an k for th e purch ase of th e stam ps and th e tim e th e y receive paym ent, officials of th e different L incoln banks have asked th a t th e board m ake some Since N E WS • a rra n g em en ts to pay w hen th e p u r chase is made. As th e p resen t resolution stands, th e only p a rt contrib u tin g to th e solution of th e “b an k ers’ problem s” is it will allow C ounty T re a su re r B erg to p u r chase m ore stam ps at a tim e. Com 1881 m issioner M iller indicated th a t eith er an o th er resolution w ould be presented at th e n ex t board m eeting or th e pres e n t one am ended to get around th e ID day w aitin g period. In an opinion to the board, D eputy County A ttorney R ussell M attson said he d idn’t see how th e com m issioners could legally get around th e “w aiting period.” Wins G o lf Championship Lee Loerch, assista n t cashier in the F irs t N ational Bank, b rought the county golf cham pionship to T ekam ah recen tly w hen he w on th e an n u al B u rt C ountry golf to u rn am en t at Oakland. Mr. Loerch scored 106 to win. F. E. DAVENPORT & CO. H as served th e B a n k ers in T im elo ck , S a fe and V au lt In sp e c tio n • We are proud of this record and of our relations as the official experts of The Nebraska Bankers Association G oes to Omaha Miss M arilyn Wood, w ho has been em ployed in the A griculture office in W ilber for th e p ast tw o years, has gone to Om aha w here she has ac cepted a position w ith th e F ederal L and Bank. • Our 24-Hour Continuous Service Guarantees You Immediate Attention • Distributors of YALE & TOWNE MFG. CO. Bank Locks and Day Protection Equipment New Cashier T he C urtis S tate B ank has an nounced th e election of W. A. R ey nolds of Indianola as cashier, replac ing Scott W ilkinson, d rafted into the arm y service. F. E. D A V E N P O R T & C O . OMAHA Some Bankers make A L L oftheir profits from BANK LO A N S " " " SOM E " " " " SERVICE CH ARGES " " “ MUCH " " " " ADDED SERVICES " " " ADDED P R O F I T S FROM LIFE INSURANCE • You "owe” it to your clients to recommend the right policy in a good company. • You can have the privilege of completing the transaction and make the profit. We have an unusual plan— write us about it. G U A R A N T E E M U T U A L L IF E C O M P A N Y OMAHA. NEBRASKA Now in our 40th Year of Service Northwestern Banker October i9 k t https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A verag e Is H alfw ay Betw een N oth ing and So mething — W h ere Do HEY have a tough tim e keeping up ap p earances now. T h eir lim ousine is several y ears too old, th e ir ch au f feur looks seedy. She doesn’t go lu n ch ing and p arty in g w ith h e r old abandon and his su its no longer b ear th a t p e r sonal tailo red look. H is fa th e r left a lot of m oney, b u t he had n ev er been tau g h t to do a n y th in g b u t spend it. And spend it he h as—alm ost all of it. He and his p re tty w ife m uch agree th a t som eth in g ’s w rong w ith th e social sys tem and th a t people b o rn to w ealth and position should be protected. T hey’re fairly su re th a t fascism rec ognizes such su p erio rities and w ould preserve th em .” T his new s item clipped from th e daily pap er seem s to me to be typical of th e m en tal attitu d e of m an y salesm en. T he ‘w orld owes me a liv in g ” attitu d e. T he w orld ju s t doesn’t owe anyone a living. You owe you rself a living an d it w ill be accom plished only to th e degree of sincere effort th a t you p u t into m aking it a happy an d p rosperous living. A nd in this connection y o u r m en tal attitu d e is so im p o rtan t. F o rg e t self and go afte r desires. “T he rig h t m en tal a tti tude can ’t replace an a m p u tated leg but it can adopt, ad ap t and forget a wooden one.” It is also stim u latin g to th e sales m a n ’s m en tal a ttitu d e to realize th a t he is in one of th e biggest businesses in the world. T h ere w ere w ritte n in ac cident and sickness prem iu m s d u rin g the y ear 1940 som ething in th e neig h borhood of 275 m illion dollars in p re m ium s and probably th a t volum e of business paid com m issions to some energetic salesm en of betw een 75 and 80 m illion dollars. So th e re is m oney to be m ade in th e accident and sick ness business. B ut it isn ’t ow ing it to you, you m u st go out and w o rk to get it. I usu ally refer to th e fu n d am en tals of successful selling as being divided into th re e law s w hich have a profound effect on the re su lts obtained b y sell ing. T he first is th e “law of averages.” E v e ry th in g in th e in su ran ce business depends on th e law of averages. Our T YOU Stand? By G e o rg e W . Kem per Superintendent A. and H. Dept Fireman's Fund Indemnity Co., San Fran cisco GEORGE W. K EM PER statistics on w hich we base our rates are governed by th e law of averages. So, too, is the ag en t’s re su lt based en tirely on th e law of averages. A personal experience of m y ow n a couple of years ago illu strates very forcibly th e effect of this law on th e salesm an. A book salesm an cam e into m y office to p resen t his sales arg u m en t to me for th e subscription of a m aga zine. He used a m ethod of visual sell ing w hich m ethod I consider one of the m ost effective in our business. He had a sales book filled w ith pictures and ch arts w hich he tu rn e d carefully page by page as he w ent th ro u g h his sales p resentation, w hich served to focus atten tiv ely not only m y eye b u t m y ear on th e business at hand. W hen he finished, n ot havin g any need for th e p artic u la r m agazine, I told him “no,” he th an k ed me, and sta rte d to leave th e office. I stopped him for a m om ent w ith th e rem ark : “W hy don’t you go into th e in su ran ce business? You could m ake a lot of m oney selling insurance.” He tu rn ed , cam e back, and said to me: “W hy should I? My incom e on this business is ju st as definite as is your incom e on a flat salary basis. It all depends on th e law of averages, I m ake 42 calls every day, n o t 38 or 39 or 40, b u t 42, if it takes me u n til ten o’clock at night. F ro m 42 calls I w ill get 19 in terview s and th is w ill give me eight o p portunities to m ake m y p re s entation, w hich w ill produce four sales. My incom e p er w eek is $150 and I can depend on it. The law of av er ages tak es care of it b u t I m u st m ake 42 calls every day.” The second law governing success ful selling I call “th e law of d eterm in ation.” T his is th e law w hich governs tim e control and is probably th e m ost im p o rtan t single factor in th e success of an agent. The m ost difficult th in g for all of us to be is to control o u r selves, to regulate th e spending of our tim e and not w aste it. I t ’s nice to go to th e ball gam e in th e afternoon, or to play a gam e of golf b u t w here one’s tim e is governed by th e n um ber of calls th a t m ust be m ade and affected by th e law of averages, it ju st can’t be done. If w e are to control our tim e we m ust set dow n some v ery definite rules or m easurem ents w hich govern our tim e and in th is connection, one sales ex p ert says th a t th e salesm an’s av er age w eek should be sp ent som ething like this: Study-—six hours (at hom e in th e evenings, not du rin g th e w ork day), Office — six hours. F ield w ork, 38 hours, com prised of seven h o urs per day for five days and th re e hours on Saturday. T h at is not a difficult sched ule to follow b u t it is im p o rtan t beNorlhwestern Banker October 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 34 cause if it is n o t follow ed th e n th e re is th e possibility of th e h u m an elem ent of sh irk in g one’s w o rk and th a t af fects th e law of averages w hich is im p o rta n t in resu lts. If th is schedule is followed th is sam e e x p ert says th a t it should produce 70 calls p e r week, 26 interview s, seven applications and 14 prospects. T he 38 field h o u rs sp en t in soliciting business m u st have som e definite m on e ta ry value so if we establish it on th e basis let us say of tw o cents p er m in u te th a t m eans th a t one w eek ’s field h o u rs has a m o n etary v alue of $57.60, so th a t th e nu m b er of applica tions produced should equal or exceed $57.60 to m ain tain one’s average. Of course an average is only halfw ay be tw een som ething and n o th in g so th a t th e problem is alw ays to exceed th e average and as th e salesm an becomes m ore proficient his average is raised higher, th en too as his average be comes h ig h er he is able to a tta in m ore of th e desires of life w hich he has set dow n as so necessary to w elfare and happiness. The th ird law of selling is “th e law of p re sen tatio n .” The salesm an w ho ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ ★ "Allied Mutual P a y s" More Than a S logan —a n e s ta b lis h e d fa c t d e m o n str a te d o v e r a th o u sa n d tim e s e a c h m o n th . ALLIED M U T U A L CASUALTY COMPANY Harold S. Evans, President Hubbell Bldg. ★ ★ ★ ★ ★ ★ ★ Des Moines, Iowa ★ ★ ★ ★ ★ ★ m akes a sloppy p resen tatio n of his sales ta lk m ight ju st as w ell m ake no atte m p t w hatever. D on’t serve up y o u r sales ta lk as you w ould serve a m ulligan stew , serve it as your wife w ould serve a full course dinner, p re pare it carefully, go over y o u r m ate rial so th a t you say w h at you w an t to say in th e few est possible w ords to m ake it effective. G enerally th ere are four steps to th e presen tatio n , th e first is “atte n tio n .” T his involves th e ap proach w hich m u st be carefully planned and carefully w orked o ut so th a t you are able to arouse th e proper a tten tio n and create th e p ro p er in te r est so th a t you can cross th e bridge over th a t stream of d isin terest to the side of “in te re st,” and th a t is th e sec ond step of th e sale. H aving created in terest, th e n th e th ird step becomes “desire.” T ere is th e body of your sales arg u m en t and yo u r m aterial should be logically and carefully p re p ared to arouse desire w hich ends in th e last step or th e closing, “action.” I recom m end h eartily th e use of m ethods of visual selling. T he com bination of eyes and ears is te n tim es m ore effective th a n e ith er alone. So p rep are yourself some ty p e of visual selling m aterial w ith adequate in fo r m ation and attra c tiv e pictures. I suggest to you, Mr. Salesm an, th a t w hen you buy y o u r n ex t su it of clothes in stead of an e x tra p a ir of tro users th a t you get an ex tra p a ir of shoes. T hey say th a t “o p p o rtu n ity knocks b u t once.” I say to you th a t oppor tu n ity knocks as often as you clench y o u r fist and knock on th e door. ★ W ar Risk Rider N o rth w estern N ational Life of Min neapolis has adopted a new aviation and w ar risk exclusion rid e r w hich w ill be included in all policies begin n in g October 6, applied for by men now m em bers of or w ho contem plate en listm en t in th e arm ed forces, R.O. T.C. students, and oth ers betw een ages 18 and 28 except those in classes I I I or IV u n d er th e Selective Service Act. U nder th e new rid er, th e com pany’s liability is lim ited to th e am ount of prem ium s paid if death occurs within ten years: 1. F ro m an y cause w hile serving outside of th e states of th e U nited States and th e D istrict of Columbia in th e naval, m ilitary, or a ir force of any n atio n engaged in w ar, declared or u n declared, or w ith in six m onths after term in atio n of such service if death resu lts from an y w ounds, in ju ries, or disease suffered or com m encing w hile in such service; or 2. As a re su lt of w ar or any act in cident th ereto, w hile serv in g inside Northwestern Banker October 19H https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 35 the sta te s of th e U nited S tates and th e D istrict of Columbia, in th e naval, m ilitary, or a ir force of an y n atio n engaged in w ar, declared or u n d e clared, or w ith in six m o n th s a fte r te r m ination of such service; or 3. As a re su lt of service in or about, or tra v e l or flight in, an y species of airc ra ft (except as a re s u lt of rid in g as a fare-paying p assen g er of a com m ercial a ir line flying on a reg u larly scheduled ro u te b etw een definitely es tablished airp o rts) w h e th e r in tim e of peace or w ar, w h e th e r w ith in or w ith out th e U nited S tates, and w h e th e r or n o t in naval, m ilitary , or a ir force service. T he rid e r expires te n y ears from date of issuance, th u s au tom atically lifting all re stric tio n s on p ay m en t of th e d e a th benefit a t th e end of th a t time. “In view of th e p re se n t tre n d of n a tional affairs, sound u n d e rw ritin g dic tates th a t som e form of w a r clause be m ade effective a t th is tim e,” P re si den t O. J. A rnold declared in com m en tin g on th e com pany’s action. “N w N L ’s clause h as been m ade as liberal as good practice p erm its. It has alw ays been m y view th a t life policies should be k e p t as free as pos sible from re stric tiv e clauses; th a t is w hy th e com pany’s new aviation and w ar ris k exclusion rid e r au tom atically becom es non-effective a fte r te n y ears.” L ast F e b ru a ry th e com pany im posed lim itatio n s on th e am o u n t of in su ran ce it w ould issue w ith o u t a w ar clause on m em bers of th e arm ed forces of th e U nited States, m em bers of th e N ational G uard, R eserve Of ficers, and m en reg istered fo r Selective Service. On certain classifications it w ould issue no in su ran ce w ith o u t a w ar clause. W here in su ran ce w as is sued th e am ounts, including in su ran ce previously issued, ran g ed from $2,500 to $5,000. Use of th e new rid e r su p e r sedes th is practice. T he new rid e r ap plies to those aged 18 to 28 in classes I and II u n d e r th e Selective Service Act. Several form s of th e new aviation and w a r risk exclusion rid e r have been p rep ared w ith slig h t differences m ade necessary because of various state d e p a rtm e n ta l rulings. C L E V E L A N D C H A T T ER (C ontinued from page 20) years ago, an d m an y of th em ta k e n a t previous m eetings. Y outhful p o rtra its of v e te ra n m em bers as F re d S taker, Com m erce T ru s t Com pany, K ansas City, Clifford De P uy, N o r t h w e s t e r n B a n k e r publisher, an d v ario u s o th er m em bers w ere b oth in te re stin g an d in som e cases m ystifying. H aro ld K lein, Iowa-Des M oines N ational B ank, oc- MONEY-SAVING Legal Reserve Non - Assessable Standard Policy Forms ■ W hen you represent Western Mutual you offer your insurance clients the latest in standard policy contracts at worth-while money-saving rates. In ad dition, all Western Mutual policies are non-assessable and are backed by full legal reserve. ■ FIRE AND AUTO POLICIES A Western Mutual Agency contract offers you every sales advantage in cluding definitely lower cost. Investi gate what a Western Mutual contract can accomplish for your agency. Trained Field Service Men Always Ready To Serve You W estern M utual Fire Insurance Co. 9th and Grand Des Moines, Iowa "Over a Third of a Century of Safety and Service With Savings" Northwestern Banker October 19'rl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis cupied a p ro m in en t place on th is panel in a b ath in g scene sn ap sh o t tak en some y ears ago at A tlantic City. H a r old w as u nable to a tte n d th e Cleveland m eeting on account of th e Iow a Con vention, and also th e In v e stm e n t B an k ers an n u al F ield Day, held on conflicting dates. F. A. A. delegates an d th e ir w ives enjoyed th e dance follow ing th e m eet ing of th e C leveland C hapter of th e A. I. B. The A. I. B. m eeting w as ad dressed by Rodney P. Lien, Ohio State S u p erin ten d en t of B anks, w ho is w ell know n, p a rtic u la rly in Iow a w h ere he w as for y ears connected w ith th e N a tion al B ank of W aterloo. A L O N G THE P A C IF IC CO AST (C ontinued from page 15) m ore H otel on “R otary and th e R otary In te rn a tio n a l S itu atio n ” w hen w e w ere there. He said th a t th ere w ere now 5,060 R o tary Clubs in th e w orld, and it w as th e only organization of its kind th a t w as in tern atio n al. He believes th a t th e w ar w ill end in th e fall of 1943 and th a t th e w orld is d riftin g tow ards th e elim ination of priv ate p ro p e rty and it is up to business m en to see th a t th is tre n d is changed. REFRESH YO U RSELF R Y S T O P P IN G A T A N Fidelity & Surety Bonds Blanket Bonds FONTENELLE Guest rooms fashioned for 1950 - the smartest dining rooms in America - and beautiful lobbies - all air-conditioned Burglary & Forgery for Sum m er coinfort! D ine in the Bombay-Black Mirror Boom and the Amber Room Coffee Shop. Relax in Insurance the fa sc in a tin g K ing C o le Room. 6 FLOORS OF PERFECTLY AIR CONDITIONED NEB. ☆ NATIONAL SURETY CORPORATION VINCENT CULLEN President EMPLOYERS MUTUAL CASUALTY COMPANY DES MOINES An Agency Company — Assets Over $4,000,000 • Automobile Insurance Workmen’s Compensation • General Liability • Elevator Insurance • Plate Glass Insurance N orth w e stern Banker O ctober 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis The Philharmonic Orchestra of Los Angeles is a v ery fine organization and we h eard th em on th e n ig h t they fin ished th e ir sum m er season, un d er th eir w ell-know n conductor, Artur Rodzinski. T he H ollyw ood Bowl series are ad vertised as “Symphonies Under the Stars.” And, incidentally, m any of the H ollyw ood “s ta rs ” also occupy the boxes a t these perform ances. H ollyw ood Bowl seats about 25,000 people and it w as dug out of th e side of a hill, w hich m akes it a n atu ra l am p h ith eatre. Seats can be secured as low as 50 cents, and th ere has been a real effort to popularize fine m usic in th is way. T hrough th e courtesy of Leo J. O’Flaherty and John E. Stewart, Jr., of B lythe & Company, Inc., of Los Angeles, we w ere given a pass to go th ro u g h th e L ockheed A ircraft Corpo ratio n at B urbank, California. This com pany is now operating on th ree shifts, w orking tw enty-four ho u rs a day and em ploying 34,000 em ployes at th e L ockheed p lan t and 9,000 a t th e Vega plant, w hich th ey also own. T h eir slogan is “Look to Lockheed for L eadership,” and a t least they have d em onstrated it in th e production of th e P-38, w hich is th e fastest plane in th e w orld and atta in s a speed of over 400 m iles p er hour. T his is an Intercep ter-P ursuit plane. It is a heavily a r m e d , exceedingly m aneuverable tw in-engined, single-seater, w hose p u r pose is to rise sw iftly to in tercep t and shoot dow n approaching enem y bom b ers. T his form idable fighter is being built both for th e U nited States A rm y A ir Corps and for th e R. A. F. T he P-38 is operated by one man, w ho also in addition to m aneuvering th e plane, has five m achine guns to m anipulate. T his sounds like a diffi cult task, b u t th e m achine guns are fired by him th ro u g h th e use of keys w hich are im m ediately u n d er his steer ing controls. The problem w hich th ey are facing is one of altitude, as these planes have an altitu d e of 35,000 feet and as the air is exceedingly light a t th a t height, oxygen tubes and tan k s m u st be a r ranged for th e flyer. It is the belief th a t in due tim e th ey w ill have reg u lar oxygen cham bers bu ilt in these planes, so th a t the pilot can w ork a th erm o sta t and give him p len ty of oxygen, depending upon his altitude. As we w en t th ro u g h the plant— passes to w hich, by th e way, are h ard er to get th a n to th e m ovie studios— we noticed m ottos in im p o rtan t places, tw o of w hich w ere “Time is short”— (T u rn to page 40, please) 37 The Month’s Market Maneuvers T he G erm an w ar machine gained som e speed on th e E a s te rn f r o n t in S eptem ber — m em b e r b a n k reserv e re q u ire m e n ts w ere in creased to t h e m axim um now p e r m itted — S ecretary JA M ES H. CLARK E M o rgenthau recom m ended a r e tu rn of n o t m ore th a n 6 p er cent on capital, th e re st to be sy phoned off in tax es—b u t th e m a rk e ts w ere only m oderately lower. W e are w ritin g th is S atu rd ay m o rn ing, S eptem ber 27th—th e re are still tw o days of tra d in g left th is m o n th — b ut le t’s look a t som e of th e th in g s w hich have h appened in th e p ast four w eeks. W h en th e N ew Y ork Stock E xchange finished its tra d in g session of A ugust 30th, th e Dow-Jones average for in d u stria l stocks stood a t 127-70— off ab o u t a p o in t and a q u a rte r from th e Ju ly close. A rally based on m ore optim istic foreign new s carried th e average to 129.32 on th e 16th—b u t th is soon faded aw ay. Y esterday the m a rk e t closed a t 125.81—a drop of som ew hat less th a n tw o points for th e m onth. The volu m e of trading during the m onth w as m oderate. On th e 16th, w h en stock s rallied about tw o points, trading in creased and 980,000 shares w ere bough t and sold— on th e 25th w hen th e m arket broke over a point, fo llo w in g M orgenthau’s ta x recom m en dations, 1,170,000 sh ares traded—the high for th e m onth. B ut th ese w ere excep tion s in a m onth characterized by d u lln ess. S trangely enough, for eign m arkets act b etter than our ow n. In du strial stock s on the London E x change are n ow w ith in strik in g d is tance of the le v els w hich prevailed be fore th e outbreak of w ar. N o lack of confidence indicated there. B ut even m ore strange, p erh ap s— G erm an econom ic a u th o ritie s have ha4 to adapt re stric tiv e m easures to p re v en t both stock and bond prices from risin g to levels considered too high. B uyers th e re m u st re g iste r all p u r chases, b an k s no longer m ay g ra n t loans for buying securities, and corpo ratio n s have been “advised” to inv est m ore of th e ir liquid assets in reich tre a su ry bonds. The g o vern m en t m a rk e t ivas low er Prepared for The Northwestern Banker By Jam e s H . C larke Assistant Vice President Am erican National Bank & Trust Co. Ch ic ago in Septem ber— no great change, ju st som e easing off. There w as som e fear, of course, of w h a t a raise in reserve req u irem ents w ould do— but w h en the a n n o uncem ent came, it had been fu lly discounted. On A u g u st 30th, the long 2%’s of 1965 w ere quoted at 111.18 on th e bid side— this m o rning th e y are 111.5— the 2’s of 1947 w ere 106.4 are now 105.28— and so forth. N ot m uch change. M unicipal bonds rem ained firm as did the better-grade corporates, but som e w eakness appeared in sec ond-grade bonds— especially rails. T he Dow-Jones daily average of ten second-grade rail issues is now h o v er ing aro u n d its 1941 low. T his despite th e fact th a t rail earnings are vastly im proved—in m any cases th e increases are phenom enal—and th e rails w ill n o t be g reatly affected by th e new ta x es. B ut on th e o th er side, th ere is th e w age co ntroversy w hich has resu lted in a strik e vote by th e ra il unions. W age increases dem anded by th e u n ions w ould add $900,000,000 to th e ro ad s’ an n u al payrolls — a sizable am ount. T his am o u n t w ould pay the w ages of a standing arm y of th ree and a h alf m illion m en a t $21 per m o n th — an d w ould alm ost equal the en tire value of all th e w h eat an d cotton com bined raised in th e y ear of 1939. (The la te st for w hich figures are available.) T he unions do not expect to be g ran ted all of th is—-'but one-third th e am ount probably w ill be allowed. A nd in view of th e fact th a t last y e a r’s total n et earn ings of all roads w as $191,000,000 —70 p er cent of w hich w as earned by only four railroads-—-one-third increase w ill h u rt. N o n ew g o vern m en t financing ap peared in Septem ber — som e is ex pected, how ever, in October. The large sales of U. S. Tax N otes in A ugust, plus the sizable incom e tax p aym ents on the 15th of Septem ber, have placed the T reasu ry’s w ork in g balance in a com fortable p osition. It is possible, h ow ever, that S ecretary M orgenthau w ill anticipate the N otes w h ich m ature in D ecem ber by som e October finan cing—also p resen ts a good opportunity to raise n ew m oney if necessary. The daliy sta tem en ts of th e T reasury showr ever-increasing am ounts b ein g e x pended for N ational D efen se—the ball is rollin g now , and by th e first of 1942 w ill be really under w ay. The only corporate offering of real size in th e p ast four w eeks w as $14,737,000 St. P aul U nion D epot F irs t 3% ’s of 1971, priced a t 102%. T here is a bid slightly above th a t now, so the deal a p p aren tly w as d istrib u ted sa t isfactorily. In last m o n th ’s article, we m entioned th e W isconsin P ow er and L ight 3% ’s due in 1971, w hich w ere about to be offered. These reached th e m ark et late in A ugust—w ere priced at 106%, and th e reception w as not en thusiastic. T he c u rre n t bid is about 105 y2. There are a n u m b er of deals on the fire now , but offering dates are u n cer tain. There is the $90,000,000 of A m erican Telephone and Telegraph 2% ’s of 1976, $38,000,000 of Central Illinois Public Service 1st M ortgage B onds due in 1971 and $9,000,000 of N otes due serially to 1951, $45,000,000 of Florida P ow er and L ig h t F irst M ortgage B onds— to m en tio n a few . I t is expected th a t new bond offer ings w ill be a t prices closely approxi m ating those of issues o u tstan d in g — no b argains so long as this firm ness continues. The bond m ark et has given a good account of itself in th e face of an increase in reserve req u irem en ts and th re a ts of fu rth e r m easures, de spite th e P re sid e n t’s “shoot first” or der to th e N avy and reverses for R us sia. T he m ost im p o rtan t new s in Septem b er and in all m onths now is produc tion for N ational Defense. W e are g et tin g our first bits of new s now of sh u t dow ns caused by lack of m aterials and p rio rities — w ith unem ploym ent resu ltin g in such industries. The changeovers to w ar productions w ill produce m any u n certain ties w hich w ill have a d irect bearin g on corporate earnings. A nd taxes w ill take a heavy toll. Sm all w onder th a t th e stock m a r k et is so cautious in th e face of a firm bond m ark et—fed by a p lethora of funds seeking investm ent. Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 38 Central States Election T he C entral S tates G roup of th e In v e stm e n t B an k ers A ssociation of A m erica at its a n n u al m eeting in Chi cago elected Jo h n S. Loomis, p resid en t of th e Illinois C om pany of Chicago, as its ch airm an for th e n e x t association year, w hich m eans he w ill ta k e office a t th e close of th e n atio n al LB.A. con ven tio n in Decem ber. D. D ean McCor mick, Chicago m an ag er of Alex. B row n & Sons, w as elected vice ch airm an, and Jo h n E. B lunt, 3d, vice p resid en t of Lee H igginson C orporation, Chicago, w as nam ed secretary -treasu rer. N ew m em bers elected for three-year term s on th e G roup executive commit- tee w ere: Carl J. E asterberg, R iter & Co., Chicago; Ludlow F. N orth, th e W i s c o n s i n Company, M ilwaukee; P lu m m er P. P urdham , B urns, P o tter & Company, Omaha; and H em pstead W ashburne, Chicago rep resen tativ e of th e M ercantile-Com m erce B ank and T ru st Com pany of St. Louis. N athan D. McClure, Chicago vice p resid en t of H arrim an Ripley & Com pany, will be an ex-officio m em ber of th e com m ittee as th e re tirin g ch air m an of th e Group. Morris Plan Meeting R ichard H. Stout, p resid en t of the M orris P lan B ankers A ssociation, an in The INTERSTATE FINANCE CORPORATION of Dubuque, Iowa ^^URING the current fiscal year this seventeenyear-old Iowa owned and operated corporation will handle more than $12,000,000 in wholesale and retail automobile transactions. Interstate offers financing with rates as low as $3 per $100 per year. Our plan protects purchasers of new cars and late model used cars with nation wide travel services including all the principal benefits of Motor Club membership. One standard form of note is issued by Interstate Finance Corporation to cover all short term obliga tions. This obligation is held by leading banks and institutions, and is offered in convenient maturities and denominations at current discount rates. Prompt reply and complete information to all inquiries. Address your request to . . . INTERSTATE FINANCE CORPORATION HOME O FFICE Northwestern Banker October 19bî https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DUBUQUE, IO W A nounced th a t Joseph E. B irnie, p resi den t of th e M orris P lan B ank of Geor gia has been nam ed general chairm an for th e tw enty-second an n u al conven tion of th a t association. Mr. Birnie w as for som e y ears th e association’s executive secretary. T his y ear th e convention w ill be held a t Sea Island, Georgia, on Novem ber 3, 4 and 5, and a record-breaking attendance is expected. P resid en t Stout also announced the ap p o in tm en t of th e follow ing com m it tee chairm en: A uditing, H en ry S. K eith, Brockton, M assachusetts; credentials, L. R. M ur ray, Cedar R apids, Iowa; e n te rta in m ent, R oyden C. B ryan, W ilm ington, D elaw are; exhibits and displays, F red R. W aldron, T erre H aute, Indiana; golf, F ra n k J. B raun, Springfield, Ohio; new s and publicity, R aym ond W. H a rt ley, Providence, R hode Island; ladies' en tertain m en t, Mrs. E m sley A. Laney, W ilm ington, N orth Carolina; nom ina tions, H a rry E. Small, Cleveland, Ohio; program , B u rto n E. F o rster, Knox ville, Tennessee; reg istratio n s, R. L. Hosea, F o rt W orth, Texas; resolutions, R ay W ise, Dayton, Ohio; sectional as sociations, F ra n k J. K enney, W aterbury, C onnecticut. Approve Merger A t a special m eeting of th e stock holders of M anufacturers T ru st Com pany, New York, approval w as given for th e m erg er ag reem ent providing for th e m erger of th e M ortgage Corpo ra tio n of New Y ork into M anufactur ers T ru st Company. T he stockholders also authorized an am endm ent to th e certificate of incor poration in creasin g th e authorized cap ital stock of th e com pany from $47,606,180 to $48,116,180 so as to create 15,000 additional sh ares of th e convert ible p referred stock for issuance to the stockholders of th e M ortgage C orpora tion of New Y ork p u rsu a n t to the m erger agreem ent, and to create 10,500 shares of com m on capital stock re quired to be reserved against conver sion of such additional sh ares of con vertible p referred stock, such am end m ent to be executed and filed upon the m erger becom ing effective. Auditors in Chicago The sev en teen th an n u al convention of th e N ational A ssociation of Bank A uditors and Com ptrollers, scheduled to be held October 8 to 11 inclusive, at Chicago’s fam ous P alm er House, will be of historic significance. I t w as in Chicago th a t th e association was founded in th e y ear 1924. In th e short span of tim e elapsed since its founding th e group has grow n to 50 confer- 39 ences located in th e p rin cip al cen ters of th e nation. T he m ost recen tly o r ganized conference is located a t Ma nila, P h ilip p in e Islands. T he official staff is headed by N a tio n al P re sid e n t C harles Z. M eyer, C om ptroller of T he F irs t N ational K entucky; T reasu rer, Jo h n C. Shea, A uditor, W h itn ey N ational B ank, New O rleans, L ouisiana. T he M anaging E d ito r of its official publication The N ational A u d itg ra m is D. R. Cochard, w ho is also in charge of th e national h e a d q u arters a t Cleveland, Ohio. T he pro g ram planned for th e four d ay m eeting w ill afford o pportunities to discuss c u rre n t b an k problem s a ris ing out of ever-changing economic con ditions, law s and regulations. P erso n nel problem s caused by th e national em ergency and o th er legislation w ill be included. Speakers a t th e general sessions include m en of prom inence in banking, com m erce and accounting C. L . M E Y E R P r e s id e n t GOOD FARMERS ARE A . . . B ank of Chicago, u n d e r w hose able lead ersh ip th e association h as m ade n o te w o rth y progress. O ther officers are: F irs t Vice P re sid e n t C. W. Borton, A ssistan t Vice P resid en t, Irv in g T ru s t Com pany, N ew York, N ew York; * o fields. T he featu red speaker a t th e an nual ban q u et w ill be Dr. P aul F. Cadm an, econom ist, th e A m erican B ank ers Association. A ccording to C. E dgar Johnson, as sistan t vice presid en t of T he F irs t N a tional B ank of Chicago and G eneral C onvention C hairm an, an attendance of over 500 auditors, com ptrollers and o th er o p eratin g ban k m en re p re se n t ing every state in th e Union, are ex pected to reg ister for th is m eeting. In addition to th e o u tstan d in g p ro gram , a un iq u e featu re of th e conven tion w ill be an educational display of equipm ent, form s and services p re sented by leading m anufacturers. v t/ o r g a n i z a t i o n eighteen years ago the twelve Federal inter mediate credit banks have supplied good farmers with nearly five and one-quarter billion dollars in credit to carry on their current operations. In thus bringing together desirable credit needs, these banks counterbalance loans to— cotton and tobacco growers in the south, dairymen in the northeast, cattle and lamb feeders in the mid-west, fruit raisers and range owners in the far west, and for other essential agricultural purposes the country over. S in c e Capital to finance this accommodation is obtained through the sale of consolidated debentures, which are the joint and several obliga tion of the twelve banks. The reliable record of good farmers and inherent strength of the issuing institutions have been important factors in establishing the debentures on a sound investment basis. C. E D G A R J O H N S O N C o n v e n tio n C hairm an Second Vice P resid en t, O ttm ar A. Waldow, C om ptroller, N ational B an k of D etroit, D etroit, M ichigan; Secretary, H ugh E. Pow ers, C ashier, Lincoln B ank & T ru s t Com pany, Louisville, THE FEDERAL INTERMEDIATE CREDIT BANKS SPRINGFIELD, MASS. BALTIMORE, MD. COLUMBIA, S. C. NEW ORLEANS, LA. ST. PAUL, MINN. OMAHA, NEB. HOUSTON, TEX. BERKELEY, CAL. ST. LOUIS, MO. WICHITA, KAN. SPOKANE, WASH. LOUISVILLE, KY. F u rth e r in fo r m a tio n re g a rd in g th e D e b e n tu re s m ay be o b ta in e d fro m CHARLES R. DUNN, Fiscal A gent 31 Nassau Street, New York, N. Y. Northwestern Banker October Í941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 40 w hich w as organized in St. Louis in 1896. T he C orporate F iduciaries Associa tio n of St. Louis and th e St. Louis C learing H ouse A ssociation w ill act as hosts to th is conference. D avid R. Cal houn, Jr., vice president, St. Louis U nion T ru st Company, is ch airm an of th e com m ittee on arrangem ents. Invitations Issued In v ita tio n s to a tte n d th e tw elfth M id-Continent T ru st C onference of th e T ru st D ivision of th e A m erican B an k ers A ssociation to be held in St. Louis a t th e S tatler Hotel, N ovem ber 6 and 7, have been sen t to m em bers in th e conference d istrict by Carl W. Fenninger, p resid en t of th e T ru s t Division, w ho is vice p resid en t of th e P ro v id en t T ru s t Com pany, P hiladelphia. T his y e a r’s conference is expected to a ttra c t m ore th a n u su al in te re st be cause it w ill com m em orate th e fortyfifth a n n iv e rsa ry of th e T ru st Division, Heads De Luxe Check G. W. M cSweeney, for th e last ten y ears associated w ith De L uxe Check P rin te rs, Inc., as g eneral sales m an ager, w as nam ed p resid en t of th e o r FHA TITLE II LOANS ■ ■ ■ Iowa Banks W elcomed As Originating Brokers ■ ■ ■ Insured Loans Purchased At Prevailing Premium ■ * An Approved FHA Mortgagee 1021 Fleming Bldg., Des Moines, Iowa BONDS P u blic U tility In d u stria l R a ilroad M u n icipal an d c o m p a n y Incorporated 100 W e s t M on roe S tr e e t, C h ic a g o N ew Y ork R e p r e s e n t a t iv e s : M ilw a u k e e A V aterioo Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Seventh Annual Outing The Iow a In v estm en t B ankers As sociation had th e ir S eventh A nnual O uting at W akonda C ountry Club in Des Moines last m onth and over 198 reg istered for th is delightful g a th e r ing. In th e afternoon golf w as played by those w ho desired to do so, and in the evening th e re w as a ban q u et w here “no speeches” w ere made, b u t w here golf prizes and atten d an ce prizes w ere given to those at th e m eeting. R obert M cCrary, of M urdoch, D earth and W hite of Des Moines, shot a low gross of 75 in th e to u rn am en t. T he Blind Bogey, betw een 86 and 96, w as w on by K enneth H inkel, also of Des Moines, w ith a 95. A L O N G TH E P A C IF IC CO AST ■ G e n e r a l M o r tg a g e C o rp o ra tio n A .C . A L L Y N ganization at a recent m eeting held in St. Paul. H e succeeds W. R. H otch kiss, w ho now becom es chairm an of th e board of directors. George L. M itchell, w ho has been executive vice p resid en t of De Luxe, continues in th a t office. T. C. H otch kiss has been prom oted to vice p resi dent in charge of production, and C. C. D ean w ho has been in charge of the Chicago office, now becom es vice presi dent in charge of lithography. O m aha D e s M oin es B o sto n C edar R a p id s (C ontinued from page 36) “It tak es ‘put ou t’ to g et ‘output.’ H ow about you rs?” The com pany is now h irin g 175 to 200 m en p er day, according to B ert W. H ollow ay, publicity d irector of the Lockheed A ircraft C orporation. A t th e p resen t tim e th e L ockheed Com p any has a back log of orders am o u n t ing to $382,000,000 and Vega has orders on h and of $115,000,000. These tw o p lants on Ja n u a ry 1, 1940, em ployed 7,900 people, and now em ploy 43,000, and th is w ill be increased v ery sh o rtly to a total of 50,000 for both plants. W e asked Mr. H ollow ay about sabo tage and he said th a t the m an in charge of th e ir ow n police force w as th e form er head of th e F ederal Bu reau of In v estigation for S outhern California and th a t th ey had an expert system of guards, as well as p rivate detectives all th ro u g h th e plant, w ho operated as w orkm en. He said they had had v ery little trouble so far and th a t before anyone w as em ployed th eir en tire h isto ry and fam ily background w as checked in every detail. W hen the w ar is over it is th e ir plan to m an u factu re planes costing from $1,000 to $2,500 and th u s reach w h at th ey believe w ill be an increased de m and for com m ercial planes at a m ini m um investm ent. 41 The H u dson Bom ber, of w hich m ore th a n a th o u sa n d have been delivered to B ritain , are now flying th e A tlantic in steadily in creasin g n um bers, and th e first of th ese fighters cam e off th e line in Ja n u a ry , 1939. If th e w a r is to be w on w ith planes, certain ly here is a facto ry w h ich is m aking a definite co n trib u tio n in th a t respect. A n o th er place w here th ey are w o rk ing n ig h t an d day is T erm in al Island, n e a r L on g B each and across from San Pedro. H ere th e B eth eleh em S hip b uildin g C om pany an d th e California S hip bu ild in g Corporation are fev erish ly w orking 24 h o u rs a day to create th e “bridge of sh ip s” w hich w ill help c a rry food and m unitions to E ngland. I t w as n o t u n til a fte r “Tobacco R oad” h ad been ru n n in g th re e y ears L eo E. S tev en s and Mrs. S teven s, w ho live in Pasadena, v ery courteous ly chauffeured us aro u n d th a t b eau ti ful city w hile w e w ere there. Leo w as fo rm erly vice p resid en t of th e Iow a L oan an d T ru st Com pany of Des Moines, and is a p ast p resid en t of th e Iow a B ankers A ssociation. He on B roadw ay th a t we decided to see w h a t it w as all about, and so now “The D runkard,” w hich is in its n in th year, we decided m u st have some m erit, so we enjoyed an evening a t th e T h eatre M art in Los A ngeles w h ere th is play is c u rre n tly ru n n in g . This, by th e w ay, is th e longest ru n of an y play in all th e h isto ry of the A m erican th eatre. “The D runkard” or “The F allen S aved ” h ad its in itial c u rta in in 1843 in N ew Y ork City u n d e r th e m anage m e n t of P. T. B arnum of circus fame. T he play w as th e n ta k e n quite se ri ously an d ra n for over a year. It w as rep eated a t in te rv a ls for about seven y ears in N ew York, Boston, P h ilad el ph ia an d o th e r cities. Im p ressed w ith th e possibilities of th e scrip t for m odern audiences, Galt B ell, a fte r considerable research, de cided to revive n o t only th e play itself b u t th e e n tire m usic hall atm osphere, including th e olio. On J u ly 6, 1933, “The D ru n k a rd ” m ade its in itial H olly wood bow. In San F ran cisco a taxicab driver w ill n ev er charge you m ore th a n $1.00 to tak e you an y w h ere in th e city, no m a tte r w h a t th e distance is; an d in Los A n g eles th e y w ill tak e you a n y w h ere for $1.50. In Los A ngeles th e re are ab o u t 150 Owl D rug Stores, an d th is chain em ploys ap p ro x im ately 1,400 people. W hen w e w ere th ere, th ese stores w ere being picketed all over tow n, and w hen we in q u ired as to th e cause of th e strik e, w e found th a t o riginally 16 em ployes h ad stru ck , th a t 12 of th em h ad gone back to w ork, leaving only 4 on strik e, b u t th e U nion w as picketing each sto re w ith tw o or m ore pickets. Thus, a t least 300 pickets w ere p a ra d ing in fro n t of 150 stores, from w hich only 4 em ployes w ere on strike. I t is a city ordinance in Los A ngeles th a t if a n ap artm ent has a k itch en , it has to have a garage. GENERAL MOTORS T W hile in P asadena we also had a v ery delightful v isit w ith W . O. Reed, w ho is freq u en tly ta k e n for J esse Jones, and Mrs. R eed. Mr. Reed w as fo rm erly deputy su p erin ten d en t of banks of Iowa, an d m ore recen tly w as associated w ith th e R econstruction F inance C orporation in W ashington, D. C., b u t he is now re tire d and devotes his tim e to playing golf and having fun. Mr. Reed is an uncle of H en ry H. H ayn es, editor of th e N o r t h w e s t e r n B anker . ACCEPTANCE CORPORATION is engaged primarily in facilitating wholesale distribution and retail sales of the following products of General M otors C o rp o ratio n and its w o rld 'w id e a ffilia te s: CADILLAC, BUICK, OLDSMOBILE, PONTIAC, CHEVROLET automobiles; fr ig id a ir e appliances for refrigeration and air conditioning; d e l c o lighting, power and heating equipment; GMC trucks; BEDFORD, v a u x h a l l and other foreign made automotive vehicles. The business consists of investments in self'liquidating credits, widely diversified as to region and enterprise, capital em ployed being in excess of $ 8 0 , 0 0 0 ,0 0 0 . In obtaining short term accommodation, g m a c issues one standard form of note. This obligation it offers to banks and institutions, in convenient maturities and denominations at current discount rates. GENERAL MOTORS INSTALMENT PLAN These notes are available, in limited amounts, upon request. e x e c u t iv e o f f ic e T he m ost po p u lar song on th e Pacific coast now is en titled “She W as Once is now associated w ith th e R econstruc tion F in an ce C orporation in Los A nge les, and has been in California for th e p ast 15 years. NEW YORK BRANCHES IN PRINCIPAL CITIES a Soldier’s S w eetheart, But N ow S h e’s J u st an Offieer’s M ess.” Northwestern Banker October Í9M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 42 W e v isited th e R ose B ow l in P asa dena, w hich is th e scene each y e a r of th e E ast-W est football cham pionship gam e w hich is played on New Y ear’s Day. The Rose Bowl has a capacity of 90,000, an d a t th e Stanford-N ebraska football game, played last N ew Y ear’s Day, th e gam e grossed $333,000, of w hich P asad en a’s sh are w as $71,000. The Rose Bowl is w ith in $56,000 of be ing free and clear of all indebtedness. T he m ost fam ous bridge in P asadena is th e Colorado S treet Bridge, b e tte r know n as “Suicide B ridge,” as over 100 people com m itted suicide by ju m p in g off of th is bridge before a high w ire fence w as co n stru cted w hich now pre- v en ts th em from ending th e ir lives in th is b eau tifu l city. W hy anyone w ould w a n t to com m it suicide a fte r reaching P asad ena is h a rd to und erstan d . The Santa A n ita P ark is located oil th e old L ucky B aldw in estate near P asadena, and it is one of th e finest racin g courses in th e country. In ex cess of $2,000,000 has been sp en t in b uilding th is fine racin g course w ith its b eautiful buildings and paddocks. T he racing season opens late in De cem ber, and continues w ith th e excep tio n of Sundays an d M ondays, u n til M arch. D uring th e season over $1,000,000 is freq u en tly b et on th e races, and stock in th e corporation pays from 50 to 100 per cent p er year. T his is som ew hat b e tte r th a n governm ent bonds on th e p re se n t m arket. In th e Pasadena Guide of w here to go and w h a t to see, th e F o rest L aw n C em etery is n ot m entioned, although th is is one of th e m ost b eautiful cem e teries in th e U nited States. P erh ap s th e C ham ber of Commerce w an ts all prospective C alifornians to th in k th a t th e y live forever in P asa dena. One of th e m ost fam ous statu es in th is b eautiful cem etery is one of D avid by M ichelangelo B uonarroti, and is a rep ro duction m ade by this fam ous sculptor w h en he w as 26 y ears of age. T he en tire statu e is m ade out of a single block of m arble, and w eighs ten tons. T he statu e itself is 16 feet and 9 inches tall. A nother fam ous piece of sta tu a ry in th e F o re st L aw n C em etery in Pasadena is “The M ystery of L ife” by P rofessor E rn esto Gazzeri. “If We Should Call the Roll” A roll call of the many banks whom we serve as correspondent in Sioux City would reveal a list of "Blue Blood" banks unsurpassed in the four states we serve. Particularly, would it disclose many banks whose origin dates back several decades. For the Live Stock National Bank has served the Sioux City market area almost half a century and has grown up right along with many of the banks it serves. Let us share with you our years of correspondent bank experience in Sioux City. O F F IC E R S C. L . F r e d r ic k se n , P r e s id e n t M . A . W ils o n , V ic e P r e s id e n t W . G. N e ls o n , A s s is ta n t V ic e P r e s id e n t W . C. S ch en k , C ash ier H . C. L in d u sk i, A s s is ta n t C ash ier C. L . A d a m s, A s s is t a n t C ash ier J. S. H a v e r, A s s is ta n t C ash ier D IR E C T O R S C. R. M c K en n a , P r e s., J o h n so n B is c u it Co. B . L. S iffo rd , A tto r n e y , S iffo rd & W a d d e n G. F . S ilk n itte r , P r e s id e n t, S io u x C ity S to c k Y a rd s C om pan y C. L . F r ed rick sen , P r e s id e n t M . A . W ils o n , V ic e P r e s id e n t H . C. B o s w e ll, S e c r e ta r y -T r e a su r e r , W e s te r n C o n tr a ctin g C orp o ra tio n “The Bank at the Y ards” Member Federal Deposit Insurance Corporation W hile F o rest L aw n C em etery in Pasadena m ay be th e m ost beautiful in all C alifornia, probably th e m ost fa m ous cem etery is on th e top of th e w ell-know n S ignal H ill in L on g Beach. W hen oil w as discovered in th is te r rito ry , oil w ells w ere dug all aro u n d th e Signal H ill C em etery, and in o rder n ot to d istu rb th e peaceful slum bers of th e dead, pipes w ere p u t dow n be low th e graves and th e n are drilled in a t an angle, or, in th e language of the oil com panies, t h e y w ere “w hip stock ed .” In plum bing language, th is w ould probably be called an elbow. All of th e relatives of people w ho are now b u ried in th e cem etery on Signal H ill receive royalties from th e oil w hich is tak en out from u n d ern eath th e graves of th e ir deceased. The N orth A m erican A viation Cor poration, w here th e governm ent “took o v er” w ith th e ir troops, is now w o rk ing a t full capacity, and not far from th is p lan t th e D ouglas A ircraft Corporation is building w h at is know n as th e blackout plant. T his p lan t is b u ilt of solid concrete, w ith w alls six feet thick, is painted en tirely black, has no w indow s, will be air-conditioned and w ill have the latest lighting equipm ent. An airplane looking dow n upon th is p lan t w ould im agine th a t it w as a plot of ploughed ground. The p lan t is not y et ready for m anufacturing, b u t w ill be v ery sh o rt ly, and is considered th e “last w o rd ” in a m odern airp lan e factory, and is supposed to be bom b proof. Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 43 A . I. B. Meeting SOUTH DAKOTA L . T . M O R R IS P r e s id e n t W a te r to w n NEWS Study Group to Meet The S o u th eastern South D akota Study G roup of th e A m erican In s ti tu te of B anking w ill m eet ev ery o th er T h u rsd a y evening a t eig h t o’clock d u r ing th e year. The first m eeting took place October 2 in th e d ire c to rs’ room of th e A m erican S tate B ank of Y ank ton. P h ilip P ier of th e A m erican S tate B ank has been elected p re sid e n t of th e group to succeed R ussell B. Knudsen, also of the A m erican State. M aurice K latt of th e F irs t D akota N a tional B ank of Y ankton w as chosen secretary -treasu rer. M em bers of the board of g o vernors w ere elected as follows: Jo h n N. T hom pson, B ank of Centerville; A. E. D iefendorf, Security S tate B ank of Irene; L. C. Olson, Se c u rity S tate Bank, Gayville; an d R. B. Stevens, C itizens Bank, V erm illion. Com m ercial L aw w as chosen as the course of stu d y for th e term , and F ra n k B iegelm eier, Y ankton atto rn ey , is th e in stru cto r. Former Banker Dies F ra n k K uhn, 58, sta tistic ia n for th e federal g o v ern m en t th e last four y ears and fo rm er b a n k e r a t H ebron and E u rek a, South D akota, died a t Bis m arck, N o rth D akota, recently. Improvements to Be Made Im p ro v em en ts w hich w ill en tail a com plete rem o d ern izatio n pro g ram for all its b an k in g facilities w ere sta rte d recen tly a t th e N ational B ank of South D akota in Sioux F alls u n d er superv isio n of H arold Spitznagel, arch itect, an d th e H en ry C arlson Com pany, general contractors. A n appro x im ate $15,000 w ill be sp en t on th e project, Tom S. H a rk i son, vice presid en t, said. D esigned to equip th e b an k to handle a m uch larg er b u siness th a n before and to offer cu stom ers an even m ore com plete service, th e program w ill cover an eig ht w eek period. B usiness w ill continue a t th e b ank w ith o u t in te rru p tio n d u rin g th e en G E O R G E M. S T A R R I N G S e c r e ta r y - T r e a s u r e r H u ro n tire two m onths of rem odernization, Mr. H arkison said. The im provem ents are to include an a ir conditioning system , new fu rn i tu re, fixtures and lighting. All com m ercial cages and bookkeep ing facilities are to be m oved to th e n o rth side in order to enlarge th e of ficers’ section. The w alls and ceiling on th e n o rth side u n d er th e balcony are being accoustically treated. F lu o rescent lighting is to be used th ro u g h o u t and rift saw n oak fixtures w ill be employed. A ccepts Position S usan B jorklund, of Deadwood, has accepted a position w ith th e W hitewood B anking Com pany at W hitewood, in th e clerical departm ent. P. W. Crowlie is receiver. Association Meets A bout 50 rep resen tativ es from b anks in Clark, Codington, H am lin and Deuel counties atten d ed a m eet ing of th e E a ste rn South D akota R e gional Clearing H ouse A ssociation at th e C ountry Club in W aterto w n last m onth. The m eeting opened w ith a din n er a t 7 o’clock and a discussion of the new consum ers credit regulations. L. T. M orris, p resid en t of th e South Da kota B an k ers’ Association; Tom Harkinson, p resid en t of th e N ational bank of South D akota a t Sioux Falls; and Dick DePue, Brookings, ch airm an of th e a g ricu ltu ral com m ittee of the B a n k e rs’ association w ere leaders in th e discussion. P residing a t th e m eeting w as S. B. C rothers, re tirin g presid en t of th e as sociation. T he group w as e n tertain ed by th e F a rm e rs and M erchants B ank of W atertow n. New officers elected for th e 1941-42 term are: A. J. Boeder, F irst N ational B ank of E stelline, president; G. O. H augen, C itizens State B ank a t G ar den City, vice president; Jo h n Holen, F irs t Citizens B ank of W atertow n, secretary. T he Sioux Falls C hapter of the A m erican In stitu te of B anking held its an n u al com m encem ent banquet in Sioux F alls last m onth. Tom H arkison, vice presid en t of th e N ational B ank of South D akota of Sioux Falls, and Oliver A. Bray, as sista n t cashier of th e N orthw est Se c u rity N ational B ank of Sioux Falls, p resen ted g rad u ate certificates to th e follow ing five m em bers of the chapter: Ben F. Borgers, Orson Geegh, E ugene Hobbs, C hristina M ueller and G. Oliver N ordby. Celebrate 50th Anniversary F ifty y ears of continuous banking service to Y ankton and su rro u n d in g te rrito ry w as rounded out last m onth by one of th e com m unity’s pioneer in stitutions, th e A m erican State Bank, and although no special observance w as given th e occasion locally, several of its correspondent banks in Chicago rem em bered th e an n iv ersary event and sen t large b askets of flowers. P resen t officers and em ployes are: M. P. Ohlm an, president; Jam es M. Lloyd, vice president; H arold E. E d m unds, cashier; H. C. N yberg and R us sell B. K nudsen, a ssistan t cashiers; O. D. H ansen, P hilip Pier, Roy J. J o r gensen, Bob F erd in an d and Tom Dief endorf. Obtains State Charter The state banking d ep artm en t re cently announced th a t th e old Onida N ational B ank has sta rte d operations u n d er a state instead of federal ch ar te r and is know n as th e Onida B ank w ith no change in capital stru c tu re or personnel. The bank becam e th e th ird this year to sw itch to state regulation, a step some b an k ers re p o rt is a ttractiv e be cause state-chartered b anks are p e r m itted to charge exchange on checks. B anks a t A rlington and W ilm ot changed over in Jan u ary . Banking Commission Meets Two m eetings w ere called recently by E rlin g Haugo, su p erin ten d en t of banks. The b anking com m ission m et for th e purpose of establishing u n i form system s of operation for b ran ch offices. George A. S tarring, secretary of th e South D akota B an k ers’ Associa tion and a com m issioner rep resen tin g state banks having b ran ch offices, also m et w ith th e com m issioner. As a re su lt of th is m eeting, new rules and regulations p ertain in g to the operation of b ran ch offices have been prom ulgated. A b ran ch office is au thorized u n d er th e code to function w ith o u t capital w here p a re n t banks Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 44 have sufficient capital and are w ork ing w ell w ith in th e ratio of deposits to capital and surplus. H augo also had th e state exam iners in for a m eeting to discuss classifica tion of loans, app raisem en t of assets and various phases of banking. Statem ent o f Condition T h e F i r s t N a t i o n a l Ba n k OF SAINT PAUL as o f September 2 p, 1 9 4 1 R esources ^69,059,020.0 3 Cash on H and and Due from Banks 30,006,044.61 U. S. Governm ent Securities Bonds and Securities 4 ,^ 6 ,9 2 9 .Í2 Loans and Discounts 69,071,166.68 417,704.17 Interest Earned but not Collected Custom ers’ Liability on Account of Acceptances, Letters of Credit and Foreign Bills 3 5 ,775-23 360,000.00 Stock in Federal Reserve Bank 3,000,000.00 Bank and Office Building $176,126,639.84 L ia b ilities $6,000,000.00 C apital Stock Surplus 6,000,000.00 Undivided Profits 1,608,846.49 Unallocated Reserves for Losses 1,044,909.02 Reserve for Accrued Taxes, Interest and Expenses 574,260.88 Reserve of M anufacturers and Others on Notes purchased from them 705,085.21 Discount Collected but not Earned 108,968.98 Acceptances, Letters of Credit and Foreign Bills Deposits 3 5 ,775-23 160,048,794.03 $176,126,639.84 United States Government obligations and other securities carried at $ 18 , 898, 130.47 in the foregoing statement are deposit ed to secure public funds and for other purposes required by law. Richard C. Lilly, P r e s id e n t F rederic R. Bigelow, C h a i r m a n , B o a r d o f D ir e c to r s M em b er F ed era l D ep o sit In s u r a n c e C orp o ra tio n AFFILIATED WITH FIRST Northwestern Ranker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK STOCK CORPORATION Community Chest Treasurer W. E. Stevens, presid en t of th e N a tional B ank of South D akota of Sioux Falls, a t the req u est of th e executive com m ittee of th e C om m unity Chest, has accepted th e position of tre a su re r for th e approaching cam paign. All funds received du rin g th e cam paign, afte r being audited, w ill be placed in his custody daily follow ing rep o rt luncheons. At the close of the cam paign, funds are assigned to a perm a n en t account and w ith o th er funds collected du rin g th e y ear from sub scriptions m ade du rin g th e com paign, are checked out m onthly to th e 11 agencies according to th e ir respective allotm ents. Prominent Banker Dies F u n eral services w ere held in the B ethesda L u th e ra n C hurch in B ristol recently for A lbert E d w ard Lundeen, 61, presid en t of F irs t N ational B ank th ere and pro m in en t in civic affairs w ho died as a victim of encephalitis. Night Depository Installed C onstruction of th e new overnight safety depository at th e F arm ers and M erchants B ank in W aterto w n is now com pleted. T he safety deposit, designed as a convenience to custom ers of W atertow n banks, w ill p erm it the placing of day ’s receipts in th e b an k following reg u lar b anking hours. It w as explained th a t th e service w ill be available to custom ers of both the F a rm e rs and M erchants B ank and th e F irs t C itizens Bank. The Line Is Dizzy W ith infinite patience th e law yer had trie d to call a client on the ’phone. F ive tim es he had h eard th e busy sig nal, b u t now a t th e six th attem p t he got through. H e h eard th e b u rr-r of th e telephone rin g in g at th e o ther end. A coldly detached voice answ ered after a slight delay. “H ello!” said th e law yer, eagerly, “Is Mr. Toploft th e re ? ” “Yes,” came th e reply. “Did you w ish to speak to him ?” T h at w as th e break in g point. “N ot a t all, n ot at all,” answ ered the law yer politely. “I ’m ju st calling up to h an d him a cig arette.” 45 change S tate B ank in South St. P aul is p resid en t of th e association. G oes to Mankato M IN N E S O T A NEWS O. G. J O N E S P r e s id e n t R e d W in g Invited to Parley S. M. W aters, M inneapolis, form er head of th e M ortgage B an k ers A ssocia tion of A m erica, w as appointed to re p rese n t th e association, w ith its p re si dent, D ean H ill of Buffalo, a t th e con ference of farm m ortgage lenders, in su ran ce com pany executives, natio n al farm leaders and g o v ern m en t officials, held S eptem ber 26th in W ashington. T he m eeting w as called by A. G. Black, gov ern o r of th e F a rm Credit A dm inistration. Bank Remodeled The lobby, fixtures and equipm ent of th e F a rm e rs and M erchants State B ank of Bloom ing P ra irie have been rem odeled and im proved. T he 25 y ear old building housing th e b an k th u s has un d erg o n e th e first m ajo r im p ro v em en t since its construction. Elected to Office D irectors of th e F irs t N ational Bank, Crookston, M innesota, recen tly elected E. W. Spring, one of th e ir n um ber, a directo r since 1932, to th e vice p re si dency v acated by th e recen t d eath of S. A. W allace, w hose place on the board has not been filled. Mr. Spring, local m erch an t, is a b ro th e r of W. W. Spring, vice presid en t, N o rth e rn N a tion al Bank, D uluth. T he directo rs also adopted a reso lu tio n expressing th e ir deep re g re t a t th e loss of Mr. Wallace. W IL L IA M D U N C A N , J r . S e c r e ta r y M in n e a n o lis Banks Sponsor 4-H Work Six h u n d red and fo rty 4-H Club m em bers and 50 4-H senior leaders are v ery g ratefu l to th e follow ing banks in D akota county for th e ir co n trib u tio n tow ard th e 4-H achievem ent b a n quet, w hich is given to all 4-H m em bers w ho com plete th e ir projects and to senior leaders w ho have w orked w ith th ese club m em bers d u rin g th e year. E ach of th e banks listed below gave $10 tow ard th is banquet, w hich w as held in Lakeville high school on S at urday, Septem ber 20th. F ran cis Poepel, cashier of th e V er m illion S tate Bank, is secretary -treas u re r of th e D akota C ounty B ankers A ssociation, and he rep o rted to the county extension office th a t a sum of $100 had been donated by th e H astings N ational Bank, F irs t N ational B ank of H astings, Stockyards N ational B ank of South St. Paul, D rovers E xchange S tate B ank of South St. Paul, W est St. P au l S tate Bank, F irs t S tate B ank of R osem ount, F irs t N ational B ank of L akeville, F irs t S tate B ank of Castle Rock, F irs t N ational B ank of Farm ington and th e V erm illion State Bank. F. R. Schlichting of th e D rovers E x H a rry M. M achenzie, for five y ears cashier of th e M innesota N ational B ank in E ast G rand F orks, left th ere n ear th e end of Septem ber to become vice presid en t of the F irst N ational B ank of M ankato. A n affiliate of the F irs t B ank Stock C orporation as is th e M innesota N a tional here, th e M ankato bank lists re sources of $350,000,000. M ackenzie w ill be replaced in E a st G rand F o rk s by Lee E v e re tt of th e N ational B ank of Jam estow n. Gladiolus Show More th a n 5,000 prize gladiolus blooms w ere exhibited in th e m ain lobby of th e N o rth w estern N ational B ank and T ru st Com pany in M inne apolis for tw o days recen tly as the M innesota Gladiolus Society in co operation w ith th e M innesota State H o rticu ltu ral Society staged its tw elfth an n u al show. The gladiolus show w as one of a nu m b er of flower show s presen ted in th e m ain b anking lobby of th e “N o rth w estern ” th is year. T hrough these show s th o u san d s of people v isit the b ank each year. D uring th e shows, w hich usually continue for tw o days, th e b ank rem ains open for visitors u n til 9 p. m. A featu re of th is y e a r’s gladiolus exhibit w as a trib u te to the prom o tional skill of Guy E. M asters, vice presid en t and cashier of th e N o rth w estern, w ho succeeded in com bining th e flower show w ith a special golf ex hibition by P a tty B erg on th e opening day of th e show. Increase Capital Stock Stockholders of th e F irs t S tate B ank of Floodwood, a t a special m eeting last m onth, voted to am end th e by-laws for an in crease in th e capital stock from $20,000 to $25,000. P. H. C hristenson is p resid en t of th e bank, S. B. R uohoniem i, cashier, and Carl V. L ind and Miss S. M. Swen, as sista n t cashier. Dr. J. D V an Valkenbu rg re tire d from th e board of direc tors. P re se n t directo rs are Mrs. C hris tenson, Mr. R uohoniem i and C hris Nielsen. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A view of the lobby of the N o rth w estern N atio n al B ank w ith the gladiolus show in fu ll swing Northwestern Banker October 1941 46 •MINN ESOTA P a tty appeared before N o rth w estern em ployees and show v isito rs as a spe cial featu re of th e T hom as E. W ilson & Co. tw enty-fifth an n iv ersary . In tu rn th e M innesota Gladiolus Society honored Miss B erg by n am in g one prize gladiolus a fte r th e cham pion golfer and an o th er for T hom as E. W il son, head of th e com pany w hich is a leading packing and sp o rtin g goods firm. B oth bloom s w ere grow n by A rth u r K oerner of N ew port, M inne sota. NEWS* Regional Roundup in Rochester of A . I . B . Fiftieth Anniversary L ast m o n th th e F irs t N ational B ank of M arshall celebrated its 50th a n n i v ersary , m ark in g an im p o rta n t m ile stone in th e p rogress of th e north w est. T he p re se n t b an k officers are as fol lows: Jo h n M. S hrader, president; Hugo H. Gieseke, vice president; K en n eth E. Sheffield, cashier; Ira M. E van s and Carl D. P eterson, assista n t cashiers, an d H. W. Addison, Dr. B. C. Ford, H. H. Gieseke, E. V. Molle and J. M. S hrader, directors. Banker Travels C. O. Strom , cashier of th e F irs t N a tional B ank of Le Roy, has been doing a little trav elin g th is sum m er. In his trav els Mr. Strom w en t to Mexico, California, W ashington, Oregon and Yellow stone N ational P ark , and he has ju s t re tu rn e d from a n in terestin g and successful fishing trip to th e Lake of th e Woods. LEGAL INVESTMENT A very successful m eeting was held in R ochester, M innesota, recently of A m erican In s titu te of B anking mem bers and th eir frien d s am ong whom some of the most prom inent in atten d an ce were, from le ft to rig h t: Roy O. Overmann, chairm an A. I. B. E ducational Com m ittee M innesota B ankers A ssocia tio n ; George T. Newell of New York, n atio n al presid en t, A. I. B .; O. G. Jones, Bed W ing, p resid en t M innesota B ankers A ssociation; D. Wesley Correll of M il w aukee, n atio n al executive councilm an; and S. T. Kryzsko of W inona, asso ciate councilm an fo r Southern M innesota. H E R E is a definite need at this tim e, according to George T. N ew ell, presid en t of th e A m erican In stitu te of B anking and vice presid en t of th e M anufacturers T ru st Com pany of New York, for b e tte r train ed b a n k ing employes. Mr. N ew ell m ade th is statem en t in ad dressing th e A. I. B. Regional R oundup at a m eeting held in R oches ter, M innesota, in cooperation w ith the Olm sted County and W inona C hapters, w ho acted as co-sponsors. T For INSURANCE COMPANIES JAMIESON & Accounts Insured up to $5,000 Convenient . . . Safe COMPANY Stocks Bonds Grain Q Cotton Butter Eggs Commodity Brokers Members 3 % (Current Rate) New York Stock Exchange and Other Principal Exchanges • ST. PAUL — MINNEAPOLIS • St. Paul Federal Savings & Loan Association Government — Municipal Corporation Bonds • CHARLES C. RIEGER Axel A. Olson, Sec’y-Mgr. 4 East Fourth St., ST. PAUL, MINN. Bond Department Northwestern Banker October 19ki https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Manager Minneapolis — Atlantic 8235 Mr. N ew ell pointed out th a t the A m erican In stitu te of B anking is now in its 41st y ear and has a to tal m em b ership of over 69,000. “Our task ,” he said, “is to help p re v en t th e d estruction of th e free en ter prise system w hich some individuals are determ ined to destroy. “The A. I. B. rep resen ts o p p ortuni ties for b an k em ployes to b e tte r th em selves in economics, law, accounting and public relations. “B anking is an accum ulative endeav or and education is a jo u rn ey th a t can not be tak en in a given tim e, also edu cation has alw ays m oved forw ard th ro u g h all th e ages in spite of w ars and depressions.” The m eeting, w hich consisted of a ban q u et at th e R ochester C ountry Club, w as atten d ed by 188 ban k ers and th e ir wives. S. J. K ryzsko, a ssistan t cashier of the W inona N ational and Savings B ank of W inona, and associate councilm an for so u th ern M innesota, acted as p resid ing officer and proved him self m ost capable in th is capacity as well as an excellent story-teller. A welcom e to th e b an k ers p resen t w as given by H e rb e rt H alverson, p res ident of th e U nion N ational B ank of R ochester, and p resid en t of th e Olm sted County C hapter. A response w as m ade by B. F. P erkins, presid en t of th e F irs t N ational B ank of W inona, and p resid en t of th e W inona Chapter. G reetings from th e M innesota B ank ers A ssociation w ere extended by Roy 47 In M inneapolis ICs THE FIRST Since 1864, when Minneapolis was just a sprawling town on tlie banks of the Mississippi, the First National has done what a good bank can do to further the development of its community and the territory which it serves. Bankers elsewhere with business to transact in Minneapolis have learned to depend on the experience and service that distinguish the First National. First National BANK a n d TRUST COMP ANY OF Member Fedirai Deposit Insurance Corporation Minneapolis n n k e t * M. O. Grangaard • C. B. Brombach V ic e P r e s id e n t ® V ic e P r e s id e n t B a n k A d v is o r y D iv is io n , A f fi l i a t e d with f i r s t W. A. Volkm ann • J. J. Maloney A s s is t a n t C a s h ie r K. T. M artin b a n k • A s s is t a n t C a s h ie r J. M. Downes s t o c k c o r p o r a t i o n Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 48 • M I N N O. O verm ann, ch airm an of th e A. I. B. educational com m ittee. D. W esley C orrell, natio n al execu tive councilm an, an d a ssista n t cashier of th e F irs t W isconsin N ational B ank of M ilw aukee, gave som e in terestin g in tro d u cto ry re m a rk s and th e n intro- ESOT A NEWS duced th e g u est speaker of th e eve ning, Mr. Newell. Mr. Correll said, “In d u strialists have learned long ago th a t success depends upon im proving th e ir own w o rk ers and associates. B ankers th ro u g h the A. I. B. are also helping to im prove S tatem ent of Condition M ID L A N D N A T IO N A L B A N K A N D TRUST COM PANY of Minneapolis ★ (O ctober 1, 1941) DIRECTORS NT. C. B EIM RESOURCES Chairman of the Board, Cash and Due from Banks_________ $ 8,168,606.59 U. S'. Government Securities_________ 5,194,065.16 State, County and Municipal Bonds__ 833,000.00 Other Bonds and Securities__________ 454,410.77 Loans and Discounts_______________ 10,675,726.07 Overdrafts ________________________ 2,898.12 Income Accrued___________________ 56,132.05 Furniture and Fixtures_____________ 46,026.23 Customer’s Liability on Letters of Credit --------------------------------------9,317.06 W . H . B a rb e r C om pany AARON CARLSON M in n e a p o lis FREDERIC B. CARR President and Treasurer, Chairman of Board, G reg g M a n u fa ctu rin g C om pany G. L. H EEG AA RD President, M a n d a n M e rc a n tile C o m p a n y Vice President, $25,440,182.05 R u s se ll-M ille r M illin g C o m p a n y C H A R LES B. JO R D A N President and Manager, J o r d a n - S te v e n s C o m p a n y Deposits Demand __________ $20,709,462.71 Time -------------------- 2,708,601.99 23,418,064.70 $25,440,182.05 Matzke Elected President President, M cC ab e B r o th e r s C o m p a n y I n te r n a tio n a l E le v a to r C o m p a n y h . c l a y M cCa r t n e y Treasurer , T o ro M a n u f a c t u r in g C o m p a n y W A LTO N R. M URRAY Vice President J . R. RAN DA LL President, R e s e rv e S u p p ly C o m p a n y M A URICE SCHUM ACHER B u ild in g C o n tr a c to r SAMUEL SEWALL Treasurer, M in n e a p o lis I r o n S to re A R N U L F U ELA N D Vice President President, D a v id C. B ell I n v e s tm e n t C o m p a n y Vice Pres., S t. A n th o n y & D a k o ta O FFIC ER S E dgar L . Ma t t s o n P r e s id e n t A r n t jl f U e l a n d ............................................................. V ice P r e sVidi ce tn o t r W . M a s e r , A sst. C ash , a n d A sst. T r . O fficer W a lto n R . Murray - V ic e P r e s id e n t E . W a l t e r E n g stro m - - - A s s is ta n t C a s h ie r W . E . B r o c k m a n ...................................................... V ice P r e sW idielnlti a m R . Ch a pm a n - - A s s is ta n t C a s h ie r L a w r e n c e O. O l s o n ..................................C a s h ie r E verett L. T h o m pso n - A s s is ta n t T r u s t O fficer R o b e r t S. S t e b b in s - - A s s is ta n t C a s h ie r C l i f f o r d C. S o m m e r - - - A s s is ta n t C a s h ie r F ra n k W . P eterso n ........................... A u d ito r FEDERAL DEPOSIT Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H erm an C. M atzke w as elected p res ident of th e City N ational B ank of D uluth recently, succeeding th e late H en ry S. M acgregor, w ho died Ju ly 23rd. Joseph G. Sellwood, a m em ber of th e board of directors since 1937, w as elected to th e office of vice president, th e position form erly held by Mr. M atzke. T he b a n k ’s new presid en t has been associated w ith th e in stitu tio n since Decem ber, 1902, and w as elected assist a n t cashier in Jan u ary , 1912; cashier in A pril, 1929, and vice president, Ja n u a ry 9, 1940. JA M E S C. W YM AN E le v a to r C o m p a n y ME MB ER V ance Torgerson, cashier of the F a rm e rs State B ank of Adams, M inne sota, is “in th e arm y now ” an d is sta tioned a t F o rt F ran cis in Cheyenne, W yom ing. V ance grad u ated in Ju n e from th e U n iv ersity of M innesota B usiness School. H is fa th e r is N. V. Torgerson, p resid en t of th e F arm ers State Bank, w hich has ju st celebrated its 25th an n iversary. President B E N C. McCABE PA U L E. VON K U STER G overnm ent and O ther B onds carried at $5,010,000.00 are p led g e d to secure p u b lic and trust funds and for other purposes as requ ired by law. Ora G. Jones, Jr., a ssistan t cashier of the Goodhue C ounty N ational B ank of Red W ing, M innesota, g rad u ated last Ju n e from th e H a rv a rd B usiness School at Cam bridge. His father, O. G. Jones, is p resident of th e M innesota B ankers A ssociation. EDGAR L. M ATTSON President, Reserve for Interest, Expenses and Taxes _________________________ 56,548.82 Reserve for Unearned Income_______ 131,701.75 Bank’s Liability on Letters of Credit_ 9,317.06 Capital Account: Common S tock ______ $1,000,000.00 Surplus ------------------- 500,000.00 Undivided Profits ___ 222,298.65 Reserve for Contingencies _____ 102,251.07 1,824,549.72 M. M. H ayd en , president, F irs t N a tional B ank of R ochester, M innesota, sta rte d his business career w ith H arg er & Blish in Des Moines m any y ears ago, w hen th is firm w as one of th e biggest d istrib u to rs of ediphone m achines and equipm ent in the m iddle west. H a lle t & C a re y C o m p a n y H. S. GREGG W. C. H EL M LIABILITIES th e ir b an k clerks and officers. B ank ing has become stream lined and b an k ers m u st becom e stream lined th em selves if th ey are to succeed. The A. I. B. can help to accom plish th is purpose.” Follow ing th e speaking program dancing and bridge w ere enjoyed by th e guests. INSURANCE CORPORATION Prominent Man Dies F u n e ra l services for Carl K. B ennett, w ho died recen tly at H astings, M inne sota, w ere held a t his form er hom e at O w atonna Sunday. Mr. B en n ett w as w ell know n in A lbert Lea and th ro u g h out so u th ern M innesota. He w as for y ears one of th e p ro m in en t b an k ers of th a t district, being head of th e N ation al F a rm e rs B ank of O watonna. 49 Twin C ity News rH A N K MOODY P R IN C E , 87, form er r ch airm an and fo rm er p resid en t of th e F irs t N ational B ank & T ru s t Com pany and one of th e o u tstan d in g fig ures in th e financial h isto ry of M inne apolis and th e n o rth w est, died Septem b er 10 a fte r an illness of several years. Mr. P rin ce had re tire d from th e b an k last J a n u a ry 1, a fte r an associa tion dating back to 1878, w hen he joined its staff as a teller. B orn in A m herst, M assachusetts, Ju ly 23, 1854, he m oved w est to Still w ater, M innesota, in 1874 and cam e to M inneapolis fo u r y ears later. In 1882 he re tu rn e d to S tillw ater as cashier of th e F irs t N ational B ank there; th en ten y ears la te r he took th e post of sec re ta ry and tre a s u re r of th e M innesota Loan and T ru s t Company. A ugust 1, 1894, he becam e cashier of th e F irs t N ational B ank in M inne apolis and th e first of th e follow ing y e a r w as nam ed a director. In 1895 he also w as m ade a vice p resid en t and in 1905 advanced to th e presidency, co n tin u in g in th a t office in 1917. W ith th e m erg er of F irs t N ational and S ecurity N ational B anks, Mr. P rin ce becam e ch airm an of th e board of directors, a post he held u n til his retirem en t. He also w as at one tim e a directo r of th e F irs t N ational B ank of Cloquet and a tru ste e of H en n ep in C ounty Savings Bank. George AY. R onald, form erly w ith the F irs t and A m erican N ational B ank of D u lu th and m ore recen tly business m an ag er of th e M inneapolis Star Jo u r nal, h as ta k e n th e post of vice p re si den t of th e F id elity and Colum bia T ru s t Com pany in Louisville, K en tucky. P re sid e n t John N. P eyton of th e F ed eral R eserve B ank of M inneapolis has nam ed E. \ \ T. S w anson, vice president, By Jam es M. Sutherland Special Correspondent T. H. H odgson, a ssistan t counsel, and R. D. B ak er to supervise th e new con sum er credit regulations in the N inth F ed eral R eserve D istrict. Clive T. Jaffray, chairm an of F irst B ank Stock Corporation, has been nam ed a director of P illsb u ry F lo u r Mills Company. Forty-nine graduates of the educa tion courses offered by M inneapolis chapter, A m erican In stitu te of B ank ing, Inc., received th e ir certificates at the ann u al com m encem ent dinner. S hirley S. Ford, presid en t of N o rth w estern N ational B ank & T ru st Com pany, p resen ted th e certificates. P rin cipal speaker w as Dr. Donald J. Cowl ing, presid en t of Carleton College, w hile L ubin Boeme, ch ap ter president, presided. C hristian Ries w as ch air m an of the ban q u et com m ittee. Ask every new Account —Just test this sentence for a month, when you have opened a new account and are about to supply your customer with his first check book: "Die/ y o u e v e r think o f having y o u r ow n nam e p rin ted on your ch eck s?” —Then show him this little L. H. Check Book by De Luxe — an attractive gold stamped leather cover — with 200 checks on N ational Safety Paper, imprinted with his name — all for $1.25. Seven out of ten will buy it. Plants at NEW YORK CLEVELAND D e CHECK L u x e C H IC A G O K A N S A S C IT Y ST. PAUL P R I N T E R S , INC. Lithographers a n d Printers Northwestern Banker October 194-1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 50 Robert. S. B eatty has tak en over his duties in M inneapolis as chief national ban k exam iner for th e N in th F ed eral R eserve D istrict, succeeding L. H. Sedlacek, new d eputy com ptroller of th e currency. Mr. B eatty form erly w as natio n al b ank exam iner at Chicago. A pproxim ately 250 persons atten d ed th e m idsum m er frolic of M inneapolis ch ap ter, A m erican In stitu te of B ank ing, a t L afay ette Club, L ake M inne tonka. T hom as M. K elley, F irs t Na- tional B ank & T ru st Company, w as in charge as chairm an of the c h a p te r’s e n te rta in m e n t com m ittee. The an n u al fall ban q u et of St. Paul chapter, A m erican In stitu te of B usi ness, w as held Septem ber 10 at St. P aul A thletic Club, w ith Dr. W alter H. Judd, m edical m issionary to China for several years, as speaker. John B urgess, vice presid en t of N o rth w estern N ational B ank & T ru st Com pany, has been nam ed chairm an NEW PROSPERITY "fr 1941 can make many an American farm a "LAND OF FREEDOM" if farmer, dealer, banker work together as Partners in a New Prosperity. if Every new Minneapolis-Moline Ma chine put into action on the farm brings its owner closer to FREEDOM. By lessen ing hard work and long hours, MM equip ment gives the farmer more time to enjoy life with his family — more opportunity to obtain those necessities and comforts which make him independent. In the coming year with its widening demand for more farm produce, thou sands of deserving farmers will want and need new MM Tractors and Machines. In many cases only through the ''credit'' co operation of MM dealers and bankers will purchasing be possible. Amazing new features distinguish the Tractors and Farm Machines in the 1941 MM Line. Farmers enabled to use this bet ter equipment will not only be raising their own incomes but indirectly creating better busi ness for MM dealers, bankers, and the community at large. BRANCHES NEAR EVERYWHERE Min n ea p o lis -Mo lin e of th e Consum er C redit Council of th e A m erican B ankers Association. He succeeds K enton R. Cravens, Cleve land, w ho resigned afte r being “d ra ft ed” to serve as con su ltan t for th e se curities division of th e Federal Re serve System . An im posing list of speakers w as secured for the fo rtieth an n u al con vention of th e N ational A ssociation of S upervisors of State Banks, to be held a t St. P aul H otel, Septem ber 24 to 27. A ccording to Jo h n D. H ospelhorn, president, th e list includes Gov. H ar old E. Stassen, Leo T. Crow ley, ch air m an of th e F ed eral Deposit Insurance C orporation, and Ronald R ansom , vice ch airm an of th e board of governors of th e F ed eral R eserve System. S o uthern M innesota m em bers of th e A m erican In stitu te of B anking had an o p p o rtu n ity to m eet N ational P resi dent George T. N ew ell, New York, at tw o regional ro undups late in Septem ber. F irs t w as S eptem ber 26th, a t R ochester, followed by one at M an kato, Septem ber 27th. T w in Cities ch ap ters sent delegations to both. R u r a l H ennepin-A noka Clearing H ouse A ssociation held its annual m eeting a t H otel Del Otero, Lake M in netonka, and advanced H. C. Laumann from vice presid en t to president. The new head is vice president of th e State B ank of Mound. O ther officers nam ed w ere S. H. S ev erson, cashier of F irs t N ational Bank, Mx*. H opkins, vice president, and W ayne T. B lackm arr, cashier of Wayzata S tate Bank, secretary -treasu rer, to succeed Mr. Severson. D irectors nam ed w ere W. H. A. K oehler, p resid en t of th e State B ank of Mound; A. L. Lindm an, vice p resi den t and cashier of F irs t N ational Bank, Anoka, and Joseph M. B aylor, cashier of th e S tate B ank of Rogers, re tirin g president. John de L aittre, a ssistan t secretary of F arm ers and M echanics Savings Bank, M inneapolis, w as elected to the board of directors of the F inancial Ad v ertisers A ssociation at th e annual convention in Cleveland. Duluth Men Promoted MODERN FARM MACHINERY Minneapolis-Moline P O W E R I M P L E M E N T C O M P A N Y SITC m S ta Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Prom otions w ere received last m onth by V ernon K. F alg ren and W alter G randy, both em ployes of the F irst and A m erican N ational B ank of Du luth. Mr. F alg ren w as prom oted to assist a n t tru s t officer. B orn in D uluth Sep tem ber 24, 1904, he is th e son of a pio- 51 • MINNESOTA neer resid en t of th e city, E. H. Falgren , p resid en t of th e E a st E n d Ice and Coal Com pany, w ho cam e to D u lu th in 1883. Mr. G randy, also prom oted last m onth, w as m ade a ssista n t cashier. He is th e son of th e late Jo h n G randy, w ho cam e to D uluth in 1881 an d w as a co n tracto r h ere for 50 years. Banks Cooperating B anks all over th e co u n try are co op eratin g w ith th e g o v ern m en t in all defense activitites, and also are m ak ing th e ir co n trib u tio n to th e efforts of th e U nited Service O rganizations in any projects w hich th e la tte r m ay sponsor. Note th e large th erm o m eter ju st This bank is helping the U. S. O. drive above th e b an k nam e on th e corn er of th e Goodhue C ounty N ational Bank, a t Red W ing. The th e rm o m e te r show s th e pro g ress of an U. S. O. drive, and a t th e tim e th e p ictu re w as ta k e n th e “te m p e ra tu re ” stood a t 1300, w ith a high of 2000 to be reached. O. G. Jones, p re sid e n t of th e M innesota B an k ers A ssociation, is also p resid en t of th e Goodhue C ounty N ational Bank. Bank Repays Depositors W ith th e issuance of th e eig h th and final dividend checks to depositors in th e closed F irs t S tate B ank of Bad ger on th e 15th of last m onth, every cent of m oney th e y had in th e b an k in the tim e of closing w as repaid. S erv ing as tru ste e in th e liquidation proc ess w as th e Citizens S tate B ank of Roseau. The b an k closed in M arch, 1933, and https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis NEWS • reopened Ju ly 12th, th e sam e year. T hro ugh th e liquidation agreem ent u n d e r th e tru steesh ip proposed the depositors received 40 p er cent a t th a t tim e and th e public funds on deposit w ere paid in full in accordance w ith the statu te. T his w as accepted. New Representative Named E d w ar E. Schiebel of New Ulm has been appointed New Ulm re p re se n ta tive for th e M innesota F ederal Savings and Loan A ssociation of St. Paul, ac cording to Jo h n F. Scott, p resident of th e organization. M innesota F ederal is th e largest sav ings and loan association in th e n o rth w est, w ith resources exceeding $22,000,000. It w as organized in 1922 and has enjoyed a steady grow th since th a t time. Meet At Fairmont A record crow d of 197 m et at F a ir m ont last m onth for th e gath erin g of th e m em bers of th e Corn Belt Clear inghouse Association. A rrangem ents had been m ade for only 147, b u t a t d in n er 197 m ouths w ere counted. Al though th is w as a considerable in- THE SOUTH ST. PAUL MARKET offers ample supplies of western and Canadian cattle of good quality. Prices are established by competi tion. Market prices and weighing are supervised. THE STOCK YARDS NATIONAL BANK offers 45 years of experience in financing feeders to county banks who require assistance in taking care of their customers’ needs. Our complete banking facilities assure prompt and efficient handling of all South St. Paul transactions. We invite your account Stock Yards National Bank South St. Paul, Minnesota 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 IO N Northwestern Banker October ISM 52 Y o u r client’s statem ent is a useful but impersonal statisti cal rep o rt. crease, those in charge of th e din n er m anaged to provide food for all. P rin cip al speaker of th e session w as W illiam D uncan, Jr., of M inneapolis, secretary of th e M innesota B ankers A ssociation, w ho gave an interestin g talk on service charges and on legisla tion affecting banks. M. T. L aingen, cashier of th e Odin State Bank, w as elected presid en t of the association, succeeding A rth u r P e t erson of T rium ph. N. F. Benson of Jackson w as elected vice president, succeeding Mr. Laingen. H. C. Mielke of N o rth ro p w as elected director for M artin county. It is the e a r n in g record over lo n g p erio d s o f a c tiv ity w h ich in d ic a te s th e p e r s o n a lity , c h a r a c te r , and e f f ic ie n c y of m a n a g em e n t. We expect our correspondents to take interest in our published statem ents of condition; yet it Bank Building Sold N egotiations have been com pleted w hereby H erm an E. M iller purchased th e building and equipm ent of the U nion State B ank of H okah from the b ank directors. F o r th e p ast several m onths direc to rs have been liquidating th e re sources by paying out to th e depos itors th e ir full am o u n t of m oney de posited at th e bank. T hey w ill have possession of th e b ank u n til N ovem ber 1st. Becomes Manager d iv id en d record e x te n d s u n C. J. L ieser, for th e p ast eleven years on th e staff of th e M urray C ounty State B ank of Slayton an d o th er local banking institu tio n s, has resigned to become m anager of th e F a rm e rs State B ank a t Osseo, M innesota. In form er years he w as an em ploye of th e F irst N ational B ank of Iona. broken for 98 years. Annual Meeting Held sh o u ld be a m a tter o f eq u a l significance to them th a t our ... THE . . . P H IL A D E L P H IA NATIONAL BANK ORGANIZED 1803 P H IL A D E L PH IA , PA . C apital, S u rp lu s an d U n d iv id e d P r o fits $45,000,000 M em ber of Federal D eposit Insurance C orporation Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T he an n u al m eeting of the South w estern M innesota Clearing Associa tion w as held in Pipestone, Saturday, Septem ber 20th, according to W alter Lange, secretary -treasu rer of th e or ganization. T he p rogram included a business m eeting, banquet, speeches and a dance w inding up th e d ay’s activities. Bank Assets Sold The rem aining assets of th e F irst State B ank of F erg u s F alls w ere sold as a re su lt of ad v ertisin g to C. E. Johnson, F a rib a u lt atto rn ey , for the sum of $395. E ig h t dividends w ere paid to th e depositors of th e F irst State Bank, aggregating 55 per cent of th e deposits. T he rem ain in g assets of the A m eri can State B ank w ere sold to C. R. Shefveland of St. P au l for $170. The A m erican S tate B ank paid 83 per cent on its deposits in eight distributions. The A m erican State w as in v ery good condition and should not have been closed, b u t it w as caught in th e storm . 53 To Liquidate Assets NORTH DAKOTA J. I. H EG G E P r e s id e n t H illsb o ro NEWS Favorable Legislation Passed Several stockholders of th e defunct F irs t S tate B ank of K ulm , received m essages from S enators Nye an d Lang er recen tly sta tin g th a t a bill w hich w ould excuse stockholders of th e b an k from double liab ility h ad been passed by th e U. S. Senate. A. J. S m ith received telegram s from both S enator N ye and Senator L anger, E. A. B ow m an from Senator Nye and P e te r B illigm eier from Senator L a n ger. All th e m essages w ere v irtu a lly th e same. T h ere are eighty-six stockholders in th e d efu n ct F irs t S tate B ank, an d th e b u rd e n of a double liability w ould be h a rd to bear. A bout th re e y ears ago Mr. Sm ith m ade a trip to W ashington, D. C., in th e in te re st of th e stockholders of th e bank, an d enlisted th e aid of Senator Nye w ho secured for Mr. Sm ith an audience w ith th e Senate b an k in g and cu rre n c y com m ittee. Mr. S m ith ex plained th e sto ck h o ld ers’ po in t of view and asked th a t legislation be passed absolving th e stockholders from th is double liability, and now a fte r m ore th a n tw o years, a favorable m easu re has been passed by th e S enate and now goes to th e H ouse. T his am en d m en t to th e federal reserv e act w ould apply only to th e K ulm bank, S enator Nye said. G o es to California F re d J. B eaudry, te lle r a t th e F irs t N ational B ank of M inot, left la st m on th for San F rancisco w h ere he re p o rted for an ap p o in tm en t in n o rth e rn C alifornia w ith th e B ank of A m erica. H e h as been w ith th e local firm 15 years. Employes Promoted N ational B ank of Jam esto w n offi cials recen tly anno u n ced th e prom o tio n of one k ey em ploye an d th e a r riv a l of another. Roy M. C h ristiansen, te lle r h ere for five years, has been prom oted to as sista n t cashier. Before com ing to Jam esto w n Mr. C h ristian sen w as con C. C. W A T T A M S e c r e ta r y F a rg o nected w ith th e P o tter C ounty State B ank a t G ettysburg, South Dakota, and th e F irs t N ational B ank of M inne apolis. George A. A nderson, a ssistan t cash ier for th e p ast tw o y ears at th e F irst N ational B ank of Miles City, M ontana, h as tak en over his duties a t th e Jam es tow n bank. Mr. A nderson has been in th e b anking business for 10 y ears and has been connected w ith banks at L angdon and Glen Ullin. L. H. E v erett, a ssistan t cashier at th e N ational Bank, has been tra n s fe rre d to a com pany b ank at E ast G rand F orks, M innesota, and w ill leave soon to assum e his new position. Defense Bonds N o rth D akota is still below average in b anks qualifying for sale of defense bonds, and in th e am o u n t of bonds and stam ps p u rchased since th e drive opened. P resid en t Hegge asks im m ediate cooperation of th e banks w ho have failed to qualify and full coop e ratio n of those w ho have qualified in th e sale of Series E Defense Savings Bonds. It is expected th a t sh o rtly afte r Sep tem b er 1, P resid en t Roosevelt w ill a n nounce th e ap p o in tm en t of an adm in is tra to r in charge of organization in each state and th a t a v ery com plete setu p w ill be provided to fu rth e r pro m ote in te re st in these bonds. F ailu re to qualify u n til a fte r th e a d m in istrato r is appointed w ill necessitate ex tra w o rk on th e p a rt of th e a d m in istrato r in a rra n g in g his setup an d delay th e w ork. P lease w rite to th e F ed eral Re serv e B ank a t M inneapolis im m edi ately for qualifying blanks if you have n o t already qualified. A ccepts Minnesota Position J. W. M ilsten of th e F irs t N ational B ank of V alley City has been tra n s ferred to W heaton, M innesota, and h as left to assum e his duties as cash ier. Mr. M ilsten has been w ith th e local in stitu tio n for th e p ast th ree y ears and his tra n sfe r comes as a fine prom otion to him . He w as succeeded by W oodrow W acholz. Judge F re d Jan so n iu s of Bism arck, w hile in G arrison recently, announced th a t th e fo rm er F irs t State B ank of G arrison, w hich comes u n d er his ju ris diction as d istrict judge, is m aking a g reat effort at th is tim e to settle th e affairs of th e bank. T he local board of receivers includes N. S. Phillips, E. E. W acker an d K. I. K napp. If th is is possible, it is planned to sell all assets, th e larg est being th e brick building w hich houses th e postoffice, th e B ielen B arber Shop and an u p stairs ap artm ent. A percentage of th e m oney m ay be paid this fall to depositors providing th e affairs can be liquidated. T he b ank closed in 1931. Open Branch Bank The F irst S tate B ank of Sharon has opened a b ran ch office a t A net w hich w ill be in charge of M elvin G ilbert son, w ho has been w ith th e b ank at Sharon for a nu m b er of years. Morken Heads New Branch The F irs t S tate B ank of M unich has opened a new b ran ch b an k a t Osnabrock. A lfred M orken w ill have charge of th e new branch. Chemical Director H arold H. Helm, vice p resid en t of th e Chem ical B ank & T ru st Company, New York, w as elected a d irector of the b ank at a m eeting of th e board of directors. He is a m em ber of th e board of directors of th e Corn P roducts R e fining Com pany and of th e A ssociation of R eserve City B ankers. He is also a m em ber of th e Econom ic Policy Com m ission of the A m erican B ankers As sociation. Mr. H elm w as grad u ated in 1920 from P rin ceto n U n iversity and im m ediately entered th e credit d e p a rt m ent of th e Chem ical N ational Bank. H e w as appointed a ju n io r officer in 1926 and in 1929 a vice p resid en t of th e Chem ical B ank & T ru st Company. H e is a tru ste e of th e K im berley School and a m em ber of T he P rinceton U n iversity F und. R ecently he w as elected vice ch airm an of th e G raduate Council of P rin ceto n U niversity and vice p resid en t of th e P rin ceto n N a tional A lum ni Association. Elected President T he board of tru ste e s of The New Y ork T ru st Com pany has elected Jo h n E. B ierw irth as p resid en t to succeed A rtem us L. Gates, w hose resignation w as accepted follow ing Mr. G ates’ con firm ation by th e Senate, as assistan t secretary of th e N avy for aeronautics. Mr. B ierw irth has been vice presiNorthwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 54 d en t of the b ank for nearly tw elve years. P rio r to th at, he w as vice p resi dent and d irector of Thom pson-Starre tt Company, Inc. of New York, con tracto rs and builders, following his service in th e A m erican E xpedition ary Force. F ro m th e inception of his association w ith th e T ru st Com pany Mr. B ierw irth has been a senior vice president, active in all phases of its business, p articu larly as a com m ercial banker. Issues Manual A practical guide in te rp re tin g the consum er credit regulations laid down by th e Board of G overnors of the F ederal R eserve System has been pre pared by th e C onsum er C redit D epart m ent of the A m erican B ankers Asso ciation and is now being d istrib u ted to th e A ssociation’s en tire m em ber ship, it is announced by W alter B. F rench, A.B.A. dep u ty m anager in charge of th e departm ent. The guide, in booklet form, has been prep ared as a m anual to aid banks en gaging in consum er credit lending to conform w ith th e new regulations pro m ulgated by th e R eserve Board, Mr. F ren ch said. In addition, th e booklet w ill be of assistance to th e equipm ent and autom obile dealers and agents w hose p aper th e banks handle, he stated. The 57 page m anual includes the tex t of th e executive order issued by th e P resid en t covering the em ergency regulation of consum er credit, th e full tex t of th e regulations set fo rth by the R eserve Board in pursu an ce of th e order, and in terlin ed in terp retatio n s of th e B oard’s regulations w hich have been draw n up by both th e R eserve Board and th e A.B.A.’ consum er credit experts. In addition, th e booklet contains num erous specific questions concering th e application of th e regulations and th e ir answ ers. Statistical p resen ta tions of hypothetical consum er credit loans m ade u n d er th e new regulations are included. Copies of th e booklet m ay be ob tained at th e A ssociation’s New York h eadquarters. Dividend The board of directors of M anufac tu re rs T ru st Com pany declared the reg u lar q u a rte rly dividend of 50 cents p er share on th e Common Stock, pay able on October 1, 1941 to stockholders of record on Septem ber 15, 1941. T he board also declared th e reg u lar q u a rte rly dividend of 50 cents per share on th e p referred stock, payable October 15, 1941 to stockholders of record on Septem ber 30, 1941. Northwestern Banker October 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 55 IO W A A. T. D O N H O W E P r e s id e n t New Officer Named Officials of th e Iow a S tate B ank and T ru s t C om pany of Iow a City have an nounced the app o in tm en t of W. W. Sum m erw ill as ju n io r vice p resid en t of th e bank. Sum m erw ill has been in charge of th e cred it d e p a rtm e n t of th e Iow a State B ank for th e last th re e years. He w en t th e re from Sioux City w h ere he w as an ex am in er of th e farm credit ad m in istratio n , w o rk in g out of Sioux City and W ashington, D. C. S um m erw ill is 32 and w as g rad u ated from th e U n iv ersity of Iow a in 1932. O ther officials of th e b an k include: Ben S. Sum m erw ill, p resident; D ean E. M. M acEw en, vice president; M. B. G uthrie, cashier, and W alter Schm idt, a ssista n t cashier. N EW S FRAN K W A RN ER S e c r e ta r y D es M oines calves caught in last y e a r’s M arshall county scram ble, w hich had been fed d u ring th e year and th e Com m ercial S tate offered sim ilar prizes to ow ners of calves caught in last y e a r’s scram ble for out-of-county boys. T he la tte r prizes w ent to Carl L eavers, G rundy county, first; Jam es McDonald, H ardin county, second, and E ugene W right, H ardin county, third. Capital Increased Increased capitalization of th e V al ley Savings B ank of Des Moines w as announced by F red erick M. M orrison, p resid en t of th e bank. The increase w as voted at a special m eeting of th e stockholders, held Sep tem ber 12th, at w hich tim e th e articles of incorporation w ere am ended to cover th e larger capitalization, M orri son said. Follow ing the stockholders’ m eet ing, th e directors of th e b ank a u th o r ized a 33 1/3 per cent stock dividend to all stockholders on record as of Septem ber 3, 1941. D ividend certifi cates w ere m ailed Septem ber 17th. As a re su lt of th is action, M orrison stated, th e capital stru c tu re of t h . Val ley B ank w ill now include: $200,000 in com m on stock, $200,000 surplus, and $100,000 undivided profits. The increased capital stru c tu re w as deem ed advisable in order to keep pace w ith th e steady g ro w th of th e b an k ’s total resources, w hich have now in creased to over $7,000,000. Attend Mortgage Session F o u rteen Iow a in su ran ce and b an k ing m en atten d ed a convention of th e M ortgage B ankers A ssociation of A m erica October 1st to 3rd in New York, New York. J. S. Corley of Des Moines, assistan t tre a su re r of th e B ankers Life Com pany, spoke at th e convention. Those w ho attended include Jo h n W. L eavitt, Cedar Falls; F ra n k C. W aples, Cedar Rapids; C. L. Roe, Sioux City; W. W. Beal, W aterloo; F. W. Studier, W averly, and G. W. Fow ler, R. B. P a t rick, N evin Lee, F red Quiner, Jo h n M. McGill, Carl M. Adams, O. M. G arrett and J. R. Astley, all of Des Moines. Decorah Banker Dies F u n e ra l services w ere held in th e F irs t L u th e ra n C hurch of D ecorah re cently for C harles Johnson, 56, vice p resid en t of th e D ecorah S tate B ank, w ho suffered a stro k e last m o n th and rem ain ed unconscious u n til his d eath a few days later. Mr. Jo h n so n h ad been associated w ith th e D ecorah S tate B ank since 1918, first as a ssista n t cash ier an d th e last four y ears as vice president. Fat Cattle Near Iowa City Banks Offer Prizes The th re e b an k s of M arshalltow n, th e S ecurity Savings, F id elity Savings and Com m ercial State, donated the prizes for th e calf scram ble w in n ers at th e C entral Iow a F a ir th is year. The S ecurity Savings donated $50 in prizes for th e w in n e rs of th e scram ble for th e first n ight, open to M arshall coun ty boys, th e m oney divided as follows: F irst, $15; second, $10; th ird , $8; fourth, $7; fifth, $5, and sixth, $5. T he F id elity Savings also donated $50, divided th e sam e w ay, an d for th e six w in n ers of th e second n ig h t scram ble, open to 4-H boys outside of M ar shall county. The S ecurity Savings offered special prizes of $5, $3 and $2 on scram ble W hen in Iow a C ity recently, W. W. Summ erwill, vice p resid en t of the Iow a S tate B ank & T ru st Company, m entioned some v ery fine f a t cattle he had seen in a feedlot east of tow n— we v isited the farm w ith our cam era, and the above picture is the result. The cattle, all w hite faces, are owned by Jo h n Dwyer, who has a m agnificent farm of 327 acres th ree miles east of Iow a City. Mr. Dwyer feeds 600 to 700 cattle a year, and a t the tim e the p ictu re was ta k e n had 270 on p astu re or full feed. He raises as much corn as possible on his farm , and w ith the exception of two years, says since 1930 his corn has averaged 90 to 100 bushels to th e acre. Northwestern Banker October 19bl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T h a t Iowa farmers are progressive is again evidenced by the fact that in 1940 six and one-half times as many farm homes had electricity as in 1920. This means rural prosperity of course, but it also means improvement in living standards and increased farm operating efficiency. While this significant development was taking place, there was similar growth in resources of the Bankers Trust Company—$4,700,000 in 1920 to $23,399,000 in 1940. Just as Iowa farmers have been quick to connect up to power lines, so more and more correspondent banks have sought to connect with the services of this bank. There's sound reason behind the comment, frequently heard in Iowa banking circles: “Use Bankers Trust in Des Moines." https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis WHAT’S BEEN HAPPENING IN : -f C o m p a r is o n in n u m b e r o f farm h o m e s r e c e iv in g e l e c t r i c it y 1920 Aft i i 1940 l A iA 11,247 iA A l i 73,584 A A A m C o m p a r is o n o f r e s o u r c e s B a n k e r s T ru s t C o m p a n y 1920 1940 ip*'" ESS $ $ $ $ $ 4 ,7 0 0 .0 0 0 •'5 v v Y ^ y Y ^ v ^ v v O v v y :W 1 ;H ; yss tn m J f y y w v v y y y ^ 2 3 ,3 9 9 ,0 0 0 p y m i HU: ■.....I ........ : a » 11 ' * ■■¿up?* |! W j S 111M - ' . ■: ■ 1 i M f r; I ? I ' ■=* ' 1 “ i r M 'v T ig ' ' il. ' U . HR:': ■ m & rJßSy https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ■ W £2£'s I ■ ■ I ¡ S Ì S l■ . v :; a s / 58 • IOWA New Officers Elected H om er M. Boyd, cash ier of th e F irs t T ru st & Savings B ank of A nthon, w as elected p resid en t of th e W oodbury County B ankers A ssociation a t th e gro u p ’s a n n u al m eeting in Sioux City last m onth. O ther officers elected w ere H. N. M cM aster, cashier of th e Corn Belt State B ank of C orrectionville, vice president, and W. G. N elson, a ssista n t vice p resid en t of th e Live Stock N a tion al B ank of Sioux City, secretarytrea su re r. T alks w ere given by A. G. Sam, p re s NEWS • id en t of the F irs t N ational B ank of Sioux City; H. H. E pperson, president of th e M orningside Savings B ank of Sioux City, and H en ry V isser, cashier of th e F irst N ational B ank of H awarden. H. W. Bush, a ssistan t cashier of the F a rm ers Savings B ank of Pierson, re tirin g p resident of th e association, p re sided. New Bank Home O ttum w a’s oldest bank, th e F arm ers & M erchants Savings Bank, last m onth w elcom ed its custom ers and friends to its new hom e in th e L ow enberg build ing in th e 100 block of E ast Second Street. The F a rm e rs & M erchants Savings B ank w as in corporated in Novem ber, 1915, and began active banking busi ness in M arch, 1916. The b ank has continued to operate ever since a t the sam e site and w ith th e sam e nam e. Its p resen t officers are: E m m ett W ork, president; E a rl A. W im m er, vice p res ident and cashier, and Miss K ath ry n Glenn, a ssistan t cashier. A Banker for 50 Years George W. R ichter, 67, vice p resid en t and d irector of th e C apital City State B ank of Des Moines, is one of 20 Iowa ban k ers w ho have been in th e banking business m ore th a n 50 years, and still are active. H e began w ith th e b ank as m essenger Ju ly 13, 1891. The oldest b an k er in Des M oines in length of service, he refuses to be classed as an “old m an .” He is on th e job every day, and betw een tim es plays a gam e of golf th a t is th e envy of some younger m em bers of the G rand View Club. New Cashier Elected George M yers, p resid en t of the F irst N ational Bank, announces th a t the board of directors of D eW itt’s oldest banking in stitu tio n has h ired J. R. R oberts of M arion, Iowa, as cashier. Mr. R oberts w ill also be financially in terested in th e bank. Attends Appraisal School THE GREATEST CHANGE OF ALL / A U R C O U N T R Y has em barked on a program w hich marks a difference in the life o f every citizen. Business is newly shaped, changing in all its aspects. In this stage, still transitional, perhaps the greatest outside assistance w hich any private enter prise can render to industry is performed by a business-minded bank. T he Am erican N ational Bank considers it a privilege and a duty to cooperate fully w ith Chicago business in m eeting the unusual conditions o f the present. The same spirit actuates our relationships w ith correspondent banks th ro u g h o u t the nation. This willingness to go beyond mere routine is a factor o f increas• ' 0$ ing im portance in inter-bank associations during these times. AMERICAN NATIONAL BANK AND TRUST COMPANY OF CHI CAGO LA S A L L E S T R E E T tjg AT W A S H I N G T O N Member Federal Deposit Insurance Corporation w O U R B U S I N E S S I S Northwestern Banker October 19kl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T O H E L P B U S I N E S S K. J. M cDonald of th e Iow a T ru st and Savings B ank of E stherville, w as at a farm ap p raisal school last m onth conducted u n d er th e auspices of the Iow a S tate B ankers A ssociation. These schools are held in districts and the one th is y e a r w as conducted on th e R alph T rittle farm n ear S pirit Lake. P aul B urson and R obert W ilcox of the Iow a State College staff, w ere in charge. A ttendance a t th e school w as not large b u t th e session w as in terestin g and v ery in structive. Heads Illinois Bank L ynn F u ller is p resid en t of th e Illi nois N ational B ank of Quincy, elected to th is position by th e directors re cently. Mr. F u ller, w ho has p u rchased a sub stan tial in te re st in th e b a n k ’s ow ner ship, is also presid en t of th e Jackson S tate Savings B ank of M aquoketa, Iowa, b u t he and his fam ily w ill m ake Quincy th e ir home. W illiam J. Singleton, one of the founders and d irecting heads of the Illinois N ational Bank, re tire s as p re s ident to become ch airm an of th e board. 59 • For Iowa President B. A. G ronstal, p resid en t of th e Council Bluffs Savings B ank, is a n nouncing his candidacy for p resid en t of th e Iow a B an k ers A ssociation at th e election to be held n ex t Septem ber, or at th e a n n u al m eeting of th e asso ciation. Mr. G ronstal, a n ativ e Iow an b orn a t E sth erv ille, began his b an k in g ca re e r in th a t city in 1905, w h ere for tw elve year's he w as associated w ith IOWA NEWS • vision of th e A. B. A., h e secured 100 p e r cent m em bership in th e A. B. A. for G roup Five, th e first group in th e state to a tta in th is percentage, an d the n ex t year, in 1938, he w as appointed to th e A. B. A. m em bership com m ittee. T he m any friends of Mr. G ronstal feel th a t w ith five tim es as m any state b an ks as natio n al banks in Iowa, and since th e re have now been th re e n a tional b an k ers holding th e office of p resid en t of th e Iow a B ankers Asso ciation, th e tim e has come w hen a state b an k er should be nam ed, and th ey are stro n g in th e ir su p p o rt of Mr. G ronstal for th e office. Observes 25th Anniversary L ast m o n th th e F a rm e rs Savings B ank of F o sto ria observed its 25th an n iversary. The F o sto ria b an k opened its doors on Septem ber 11, 1916, w ith th e follow ing officers in charge, all of them being resid en ts of th e F ostoria com m unity: J. L. A nderson, president; F. J. O’Brien, A lertn ess and Vision B. A. G R O N S T A L th e F irs t N ational B ank, and w as as sista n t cash ier of th e in stitu tio n w hen he sold his in te re st in 1918 to en list in th e first W orld W ar. H is arm y service w as in te rru p te d by illness, and w hen he w as m u stered out in 1919 he becam e associated w ith th e Iow a B anking De p a rtm e n t, w h ere he ev en tu ally held every position th e re from au d ito r to dep u ty su p erin ten d en t. He en tered th e em ploy of th e Council Bluffs Sav ings B ank in 1923, and w as elected p resid en t in 1936. T he Council Bluffs Savings B an k is th e oldest b an k in th e sta te of Iowa. In ad dition to serv in g his com m unity in alm ost every possible civic activity, Mr. G ronstal has been m ost active in th e Iow a and th e A m erican B ankers A ssociations. H e has ju s t concluded his office as a m em ber of th e A. B. A. E xecu tiv e Council from Iowa. W hen he w as se cretary of G roup Two of th e Iow a B an k ers A ssociation he obtained 100 p er cent m em bership from his group. In 1937 w h en Mr. G ronstal w as vice p re sid e n t for Iow a of th e tr u s t di- Hardly a century ago buffalo and deer roamed the fertile Missouri Valley where now stand Sioux City's great factories and stockyards. Then came men of vision and alertness, to transform the wilderness and prairie into busi ness and prosperity. The same vision and alertness which built Sioux City has helped mould First National Bank service. Your inquiry here is invited and your account will be welcome. A. G. Sam, President J. P. Hainer, Vice President J. R. Graning, Assistant Cashier Fritz Fritzson, Vice Pres, and Cashier E. A. Johnson, Assistant Cashier J. T. Grant, Assistant Cashier W. F. Cook, Auditor 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 C O R P O R A T IO N IN SIO U X C IT Y Bank fixtures and time lock safe for sale cheap. Z. G. Houck, Bellevue, Iowa. Northwestern Banker October 19hl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 60 • I O W A N E W S • last m onth a t th e Sioux F alls hospital in Sioux Falls, follow ing an illness of tw o m o n th s’ duration. Mr. U ntiedt w as th e fa th e r of E. G. U ntiedt, presid en t of th e State B ank of T erril. vice president; J. A. May, cashier. Di rectors, D. E. Beving, W m . R. G illette, J. H. G raham and C. H. Zishka. T he p resen t officers of th e b a n k are: F. J. O’Brien, p resident; H. A. O’F a r rell, cashier; H a rry Beving, a ssista n t cashier; D. E. Beving, vice president. D irectors, S. C. K lam pe, J. A. W ilson and F. L. Zishka. Auditors Hold Meeting The fo u rth an n u al m eeting of th e Iow a A ssociation of B ank A uditors and C om ptrollers w as held in Des M oines last m onth. T he officers elected w ere as follows: E. H. K etelsen, au d i to r of th e D avenport B ank & T ru st Com pany of D avenport, president; C. Paul Untiedt Dead P aul U n tied t of K anaranzi, M inne sota, p ro m in en t in business and a g ri cu ltu ral circles of th a t com m unity for m ore th a n fo rty years, passed aw ay R. Colton, au d ito r of th e F idelity Sav ings B ank of O ttum w a, vice president, and E. B. W ilkinson, state bank exam iner, M ason City, secretary-treasurer. M em bers of th e board of governors of th e group are as follows: J. L. Sm ith, au d ito r of th e L ivestock N a tional B ank of Sioux City; M. R. Selden, vice p resid en t of th e M erchants N ational B ank of Cedar Rapids; Don C. W itt, a ssistan t cashier of the F irs t N ational B ank of Oelwein, and G. Youssi, au d ito r of th e Ft. Dodge N a tional B ank of Ft. Dodge. Study Class Meets VALLEY S a vin g s B a n k DES MOINES, IOWA The P e rry stu d y class of th e A m eri can In stitu te of B anking held its first m eeting of th e c u rre n t class y ear last m onth in th e city hall there. T here w ere about 40 m em bers p resen t from Jefferson, Rippey, P erry , W oodward, G ranger, D allas Center, W aukee, Adel, P an o ra and G uthrie Center. T he course to be tak e n th is year is com m ercial law and th e in stru c to r is C harles Joy, P erry. Bank Officers Elected STATEMENT OF CONDITION AS OF SEPTEMBER 24, 1941 Officers F red erick M . M orrison P r e s id e n t W in field W . S co tt V ic e P r e s id e n t J . R . A stle y C a s h ie r E d w ard P . K au tzk y A s s t. V ic e P r e s id e n t F r a n k M. T h om pson A s s t. C a s h ie r Directors R o b e r t A . B ro w n W a lte r P . D a v is L u c iu s W . F itc h H a r o ld J . H o w e A r t h u r S. K irk G e o rg e M a h n k e F r e d e r ic k M. M o rris o n W in fie ld W . S c o tt J . E. Tone A lle n W h itfie ld R E S O U R C E S ,$4,167,381.65 Loans and D iscounts, O ther Bonds and Stocks, 148,300.00 26.89 14,320.72 O v erd rafts F u rn itu re and F ix tu re s, Custom ers L ia b ility on A cceptances____ 7,152.40 G o v e r n m e n t O bligations, D irect and F u lly G uaran teed ________ __________ $ 374,715.00 M unicipal Bonds 147,962.24 Cash and Due from B anks, 2,082,890.97 2,605,568.21 $6,942,749.87 L I A B I L I T I E S C apital Stock— Common 200, 000.00 Surplus ________________ 2 0 0 ,0 0 0 .0 0 U ndivided P rofits R eserves ________ 116,913.40 U nearned D iscount ______ __ B ank L ia b ility on A cceptances, D eposits ______________________ 50,736.37 54,639.40 7,152.40 6,313,308.30 $6,942,749.87 M E M B E R , F E D E R A L D E P O S I T Northwestern Banker October 19/iî https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I N S U R A N C E C O R P O R A T I O N Stockholders of th e Peoples State B ank of M issouri Valley held election of officers last m onth. Dr. J. L. Tamisiea w as re-elected president; D. A. Schw ertley, vice president; Jo h n A. K ovar, cashier; D. F. Schw ertley, as sista n t cashier, and H ow ard W ilding, clerk. T he board of directors consists of Dr. Tam isiea, Jo h n K ovar, D. A. Schw ertley, K ath erin e S chw ertley and F red Egan. Lenox Banker Dies R ay E. Cam eron, a life-long resident of Lenox and vice presid en t of the F irs t N ational B ank for th e last seven years, died recently a t th e age of 81. D eath came unexpectedly at home and resu lted from a h e a rt attack. Mr. C am eron had been connected w ith th e Lenox b ank for m any years and w as p ro m in en t in civic affairs. Johnson a Candidate D uring th e 55th an n u al convention of th e Iow a B ankers A ssociation, held in Des M oines th is p ast m onth, the nam e of V. W. Johnson, p resid en t of th e F irs t N ational B ank of Cedar Falls, w as freq u en tly m entioned by his friends as a possible candidate for the presidency of th e association for next year. H ow ever, it has only been w ith in th e p ast few days th a t he has defi n itely decided to becom e an active can didate for th a t office. Mr. Joh n so n is w ell know n to b an k ers th ro u g h o u t Iow a and p a rticu larly those of north- 61 -• ern Iowa. He has been active for m an y y e a rs in com m ittee w o rk for the association. He served for tw o y ears as se cretary of G roup 7, la te r for tw o y ears as its ch airm an. T he sta te con vention in 1937 elected him vice p re si dent, w hich office he held for one year. H e has, as his friends say, come up IOWA NEWS •- th e vigilantes of th e county, th e m en w ho v o lu n teer th e ir services for the p ro tection of th e banks from bandits. A g ath erin g of about 75 m en w as indicated as th e y assem bled for an aftern o o n of ta rg e t shooting. A fter d in n er in th e evening, th ere w ere card games. H erm an S taak of th e D avenport B ank & T ru st Com pany is presid en t of th e association, and included on th e com m ittee d irecting th e an n u al picnic w ere R udy Schroeder, Buffalo, ch air m an; F re d G ruenw ald, D avenport Bank; P e te r Thede, Dixon, and Louis M artin, F irs t T ru st & Savings Bank, D avenport. A ccepts New Position George M orrow, a ssistan t cashier of the Modale Savings Bank, has ac cepted a sim ilar position in a b ank at G uthrie Center, Iowa. Live Stock N ational Bank iM e ------- ----------------------------------------------UNION STOCK TELEPHONE YARDS STATEMENT OF YARDS 1220 CONDITION September 24, 1941 RESOURCES V. W . JO H N SO N th ro u g h th e v ario u s “c h a irs” and is now all th e m ore qualified to fill th e h ig h est office of th e association. Mr. Jo h n so n has also served d u rin g v a ri ous y ears in several Iow a offices of th e A m erican B an k ers A ssociation. F o r m an y y e a rs he has filled active positions in th e b u siness an d civic organizations in Cedar F alls and Black H aw k county. Group One Meets W ith 23 n o rth w e st Iow a b a n k e rs in atten d an ce, th e d istric t G roup 1 co nfer ence of th e I. B. A. w as held a t H otel Lew is in C herokee last m onth. P au l B u rso n an d R obert W ilcox, ex tensio n specialists of Iow a S tate Col lege, w ere giving lectu res on th e field trip th e b a n k m en m ade in th e m o rn ing to th e Stoneking farm so u th of Cherokee. T he specialists m ade and d istrib u ted “sk e tc h ” m aps of th e farm an d th e aftern o o n w as devoted larg ely to a discussion of w h a t could be done w ith resp ect to ro ta tin g crops, stopping w ashing, im proving prem ises and p re serv in g buildings on th e farm . Cash and due from b a n k s.........................................$ 2 2 ,4 1 9 ,5 0 2 .8 0 U nited States Governm ent secu rities.................. 2 ,2 5 3 ,6 5 8 .7 2 State and m unicipal secu rities................................ 4 7 9 ,9 3 7 .6 7 Other m arketable b o n d s.......................................... 1 ,0 9 7 ,4 4 5 .0 6 Loans and d isco u n ts.................................................. 6,2 5 6 ,5 0 7 .8 8 Federal R eserve Bank sto c k .................................... 7 5 ,0 0 0 .0 0 Bank b u ild in g ............................................................... 4 5 0 ,0 0 0 .0 0 Furniture and eq u ipm en t.......................................... 1.00 Interest earned, not c o lle c te d ................................ 2 6 ,3 0 2 .0 7 Current receivables and other a ssets.................... 4 2 ,0 3 1 .4 5 $ 3 3 ,1 0 0 ,3 8 6 .6 5 L I A B I L I T I E S C apital............................................................................. $ 1 ,0 0 0 ,0 0 0 .0 0 Surplus............................................................................ 1 ,5 0 0 ,0 0 0 .0 0 U ndivided profits and reserves.............................. 1 4 5 ,7 2 9 .6 7 Unearned d isco u n t...................................................... 3 1 ,38 8 .6 1 D e p o sits.......................................................................... 3 0 ,4 2 3 ,2 6 8 .3 7 $ 3 3 ,1 0 0 ,3 8 6 .6 5 BOARD DIRECTORS Ar t h u r G. Leonard President, Union Stock Yard & Transit Co. h . P rince Providence, R. I. R obert J. D unham W illiam J. O ’Co n n o r Ass t General Manager, Union Stock Y ard & Transit Co. Investments R ich a rd h a c k e t t General Manager, Central Manufacturing District R alph m . Shaw Winston, Strawn & Shaw O rvis T. H enkle T hom as e . W ilson Vice-President and General Chairman of the Board, Manager, Union Stock Yard Wilson & Co., Inc. & 'Transit Co. D avid h . R eimers President, The Live Stock National Bank of Chicago SERVING AGRICULTURE Bankers Hold Picnic The Scott C ounty B an k ers Associa tion held its an n u al picnic last m o n th a t th e T u rn e r cam p n e a r Buffalo for OF Frederick S in c e M E M B E R F E D E R A L D E P O S I T AND INDUSTRY 4868 I N S U R A N C E C O R P O R A T I O N Northwestern Banker October Î9H https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 62 —• I O W A Purchase Tipton Bank Jo h n W. Edge, of E m m etsb u rg , has p u rch ased th e controlling in te re st in th e T ipton S tate B ank from H en ry B. W alters an d R. D. S w artzlen d er and w ill m ove his fam ily th e re an d take over his duties as p resid en t of th e bank. Mr. Edge has for th e p ast 12 years been cashier and vice p resid en t of the C entral Savings B ank & T ru s t Com p any of E m m etsburg, th e controlling in te re st in w hich he has ju s t recently sold to th e B ren to n in te re sts of Des Moines. NEWS •- New Checking Account Service T he Iow a T ru st & Savings B ank of E sth erv ille has announced th e inaug u ra tio n of a new checking account service know n as th e Iow a T ru st PayAs-You-Use Plan. The purpose of th e plan is to extend to everyone th e availability and use of a checking account. W hile for the o rd in ary individual, th e reg u lar check ing p lan is practical and fair, m any people feel th a t th e cost of th e reg u lar account is too high for th e use w hich nimonRL BAflK sioux citv, louin securitv th ey m ake of it. T he Iow a T ru st PayAs-You-Use, as th e plan is know n, of fers a checking account in w hich no m inim um balance is required, and no m inim um m o nthly service charge is imposed. T he en tire cost of th e ac count is governed by th e custom er and th e use w hich he m akes of it. New Night Depository A nnouncem ent w as recen tly m ade by officials of th e F arm ers S tate Sav ings Bank, Independence, of a new service to soon be offered by th e bank, an after-hour depository. T his new service, a product of the O. B. M cClintock Company, m akers of b ank p ro tection devices, of M inneap olis, w ill be m ost w elcom e to local m er chants. I t w ill do aw ay w ith having to keep large sum s of m oney around th e store or on th e ir person after b an k ing hours. Moves to Des Moines Statement of Condition September 24, 1941 ASSETS Cash on Hand and on Deposit with Banks.............. ....$4,424,247.52 United States Government Securities...................... .... Bonds and Securities.................................................. 858,374.77 32,933.80 Loans and Discounts.................................................. .... 3,745,881.24 Security Bank Building, Vault and Fixtures............ .... 162,500.00 Federal Reserve Bank Stock...................................... 15,000.00 Other Assets ............................................................... 1,423.91 $9,240,361.24 LIABILITIES Capital ......................................................................... ....$ 250,000.00 Surplus ......................................................................... .... Undivided Profits and Reserves................................ 250,000.00 27,559.27 Deposits ....................................................................... .... 8,712,801.97 $9,240,361.24 Member Federal Deposit Insurance Corporation Northwestern Banker October 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C harles Thom ason of Lacona has m oved to Des Moines, w here Mr. T hom ason has accepted a position w ith the Iow a S tate B ank Mr. T hom ason for th e p ast th ree y ears has been m an ager of th e Lacona b ran ch of th e Peo ples T ru st & Savings B ank of Indianola. Bank Picnic E m ployes of th e C entral State B ank of M uscatine enjoyed th e ir fo u rth an nu al golf to u rn am en t and picnic re cently, golfing a t th e Mad Creek course and going la te r in th e afternoon to a cottage on th e Cedar R iver for a fried chicken dinner. In the golf to u rn am en t, Miss F lo r ence K oester w on th e tro p h y for the second consecutive year, holding low n et score. Glen D ow ning took low gross, scoring a 78. L. D. K rueger had th e low est n u m ber of putts. Miss K oester, w ho also w on th e golf tro p h y last year, now has h e r nam e on th e cup tw ice, and is leading all o th er com petitors, no o th er w in n er having m ore th a n one leg on th e trophy. The cup w ill go p erm an en tly to th e con te sta n t w inning it th ree tim es. A ccepts Position D irectors of th e M uscatine B ank and T ru st Com pany recen tly announced th e election of Boyd F. Jo rd a n to its staff of active officers. Mr. Jordan, w ho has assum ed his duties, w ill act in th e capacity of an a ssista n t cashier. H e has been actively engaged in the b an king business for m ore th a n 15 years. B. L. McKee, vice p resid en t and 63 • IOWA NEWS • cashier, stated th a t th is addition to th e official staff w as due to th e fact th a t th e deposits and activ ities of th e b an k have m ore th a n doubled d u rin g th e p ast eight years. carding the w all betw een th e two buildings. I t m ay be some tim e, how ever, b e fore a definite decision is made, th ey said. Check Transactions Up A ccepts Bank Position Check tran sactio n s th ro u g h Des M oines b an k s continued th e ir u p w ard clim b in A ugust, w h en a to tal of $100,876,000 w as registered. A ugust w as th e six th consecutive m o n th in w hich check p ay m en ts h ere have gone above th e $100,000,000 m ark. A ugust, u su ally th e low m o n th of th e y e a r in checking activ ity and a period w h en th e m axim um n u m b er of business people are on vacation, show ed a $9,738,000 gain in check p ay m ents as com pared w ith A ugust, 1940, and a $13,000,000 gain over A ugust, 1939. The to tal for th e first eight m onths of 1941 w as $841,553,000—a gain of $74,200,000 over those of th e like period of 1940. T he M arch figure w as $121,177,000; A pril, $111,929,000; May, $107,100,000; Ju n e, $101,261,000, and July, $109,009,- M aynard R iedem ann, son of Mr. and Mrs. George R iedem ann of Griswold, has accepted a position w ith th e G ris w old S tate B ank and sta rte d w ork at his new duties recently. Fighter An Irish p riest had been tra n sfe rre d from one p arish to another. One of his old flock m et one of th e new. “W ell,” he said, “and how do yez like F a th e r M urphy, D ennis?” “Ah, to be sure,” answ ered Dennis, “h e ’s a fine m an; a fine m an, b u t a trifle bellicose.” “Bellicose, is it?” Well, if th a t isn ’t queer. W hen we had him , he w as as th in as a rak e.” 000. Hartwick Bank Opens M any people of H artw ick and s u r rou n d in g com m unity, as w ell as a g reat n u m b er of out-of-town callers, atten d ed th e g ra n d opening of th e H artw ick S tate B ank held th e re recently. A n u m b er of b eau tifu l bouquets w ere sen t to th e b an k by w ell-w ishers, including: C entral N ational B ank & T ru s t C om pany of Des Moines, th e Iowa-Des M oines N ational B ank & T ru st C om pany of Des Moines, th e M erchants N ational B ank of Cedar R apids, th e Citizens N ational B ank of Belle Plaine; th e P ow eshiek C ounty Savings B ank of B rooklyn, P a rk Bros. C onstruction C om pany of Belle Plaine, Mr. and Mrs. C. C. Gay of Belle Plaine, th e G abriel G rocery an d th e W ilder G rain C om pany of H artw ick, an d Mr. and Mrs. A ugust B ailey of H artw ick. Investment Service State and Municipal Bonds U nited States Government Bonds Bank Purchases Building T he U nion B ank & T ru s t Com pany of O ttum w a has p u rch ased th e b u ild ing at 121 E a st Second Street, ju s t east of th e b an k building, it w as a n nounced recently. B ank officials said it is planned ev en tu ally to enlarge th e b ank by disYOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS BOND DEPARTMENT The First N a tio n a l B an k of C h icago Telephone FRAnklin 6800—LD 92-93 Teletype CGO 987 F. E. DAVENPORT & CO. OM AHA Northwestern Banker October 194Í https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 64 Seen and Heard at the Convention Iowa Bankers Hold Another Successful Annual Meeting in Des Moines H E 55th convention of th e Iow a B an k ers A ssociation, w hich w as held in Des M oines last m onth, h ad a to tal re g istra tio n of 1,600. T his com pares w ith 1,489 reg istered in Des Moines in 1940. T A lthough th e first day w as ra th e r rainy, over 150 b an k ers took p a rt in th e golf to u rn a m e n t a t th e W akonda C ountry Club, w h ere John Kamerick, stockholder in C om m unity B ank & T ru st Company, K noxville, w on w ith a low gross score of 79. The h ig h lig h t of th e convention w as th e recognition of th e 25 y ears of ex cellent service w hich S ecretary F ra n k W arn e r has given to th e A ssociation. T he n ig h t of th e b an q u et he w as p re sented w ith a p latin u m w atch and chain, given to him by th e A ssociation, to g eth er w ith a leather-bounci book w hich contained over 758 co n g ratu la to ry letters collected by th e A ssocia tion officers from b an k ers an d b ank officials th ro u g h o u t th e U nited States. The election of th e p resid en t of the A ssociation tu rn e d out to be a v ery ac tive political cam paign, and final vote show ed th a t Arthur T. Donhowe, vice p resid en t of th e C entral N ational B ank & T ru s t C om pany of Des Moines, had received 177% votes an d Max von Schrader, cashier of th e U nion B ank and T ru st Com pany of O ttum w a, had received 108%. T he half votes w ere cast by H oyt Young, p resid en t of th e A ssociation. A fter th e vote had been announced, Mr. von S chrader suggested th a t a u nanim ous ballot be cast for Mr. Don howe. F o r th e y ears 1942 and 1943, th e friends of Vivian AV. Johnson, p resi d en t of th e F irs t N ational B ank of Cedar Falls, have already tossed his h a t in th e rin g for th e presidency of th e S tate Association. Mr. Jo hnson has long been active in S tate A ssociation affairs, and w as vice p re sid en t in 1937 and 1938. Harry AV. Sclialler, p resid en t of th e Citizens F irs t N ational B ank of Storm Lake, and ch airm an of th e R esolutions com m ittee, em phasized in his report, w hich w as approved by th e Associa tion, th a t th ey are opposed to branch banking and also opposed to a tax on bank checks. C. F. Harris, executive vice presi d en t of th e B ank of G ladbrook, w as u n an im ously elected vice presid en t an d tre a su re r of th e A ssociation for th e ensuing year. E. N. Van Horne, O. Paul Decker, and Charles C. Kuning acted as hosts for th e ann u al b reak fast given by th e A m erican N ational B ank and T ru st Com pany of Chicago, in th e Oak Room to its friends an d custom ers. As usual, it w as a v ery delightful oc casion, and everyone p resen t had a fine tim e. Ted AVelch, a senior at Iow a City, w ho w orks in a b an k betw een his y ears a t th e U niversity, b ro u g h t his fath er, Frank A\Telcli, presid en t of the Peoples Savings B ank of Cedar Rapids, to th e convention. W e w ere glad to see F ra n k so w ell chaperoned. E. M. AVarner, p resid en t of the City N ational B ank of Clinton, has a cham pion golfer in his ow n fam ily, as Mrs. Warner recen tly w on th e Clinton C ountry Club cham pionship by shoot ing an 87, and defeating Mrs. George Dulaney, w ho shot an 89. A. G. Sam, p resid en t of th e F irs t N ational B ank of Sioux City, in speak ing of liquid refresh m en ts said: “L i quor not only kills th e parasites, b u t once in a w hile it also tak es th e ow n er.” Henry Scarborough, p resid en t of Scarborough and Com pany of Chicago, e n tertain ed a nu m b er of his b an k er friends a t a luncheon d u rin g th e Iowa convention. A ssisting Mr. Scarborough AT THE IO W A BANKERS CONVENTION R eading from le ft to rig h t, 1—Carl Trout, a ssista n t vice p resi dent, L ive Stock N atio n al B ank, Chicago, and H. R. Jackson, Iow a b ank exam iner, Iow a City. 2—Sherman W. Fowler, assist a n t vice president, Iow a-D es M oines N atio n al B ank & T rust Company, conversing w ith V. F. Becker, vice p resident, C arleton Beh & Company, Des Moines, during th e Iow a In v estm en t B an k ers A ssociation “ Field D a y .” The “ d a n g e r” sign w hich Vic has on was no doubt w arn in g th a t he was tough com petition in golf. 3— F. D. Galbraith, Iowa-Des Moines N atio n al B an k ; N. I. Sholin, a ssistan t cashier, and Austin L. Vickery, cashier, both of the U nited S tates N atio n al B ank, Omaha. 4— Frank Covert, assista n t cashier; George Malcolm, vice p resid en t and cashier, and Fred Cummings, all of th e D rovers N atio n al B ank, Chicago. 5— Dr. George S. Benson, p resident, H ard in g College, Searcy, A rkansas, and one of th e p rin cip al speakers a t th e convention. 6— George L. Nissly, a ssista n t tr u s t officer, and Emmett Johns, a ssistan t vice president, both of the C en tral N atio n al B ank, Des Moines, and R. M. Messerschmidt, p resident, F irs t N atio n al B ank, W est Des Moines. 7— Robert R. Reynolds, U nited S tates S enator from N orth Carolina, who spoke before the convention on “ W hat Is Going to H appen to Business a t th e E nd of the Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W a r,” and Frank Warner, secretary of the Iow a B ankers Asso ciation. 8—Ray Scott, a ssista n t cashier, and Fred Brady, vice p resident, b oth of th e Commerce T ru st Company, K ansas City. 9— R. R. Brubacher, presid en t, Toy N atio n al B ank, Sioux C ity; B. P. St. John, cashier, F irs t S ta te B ank, W eb ster City, and Arthur Donhowe, vice p resident, C en tral N atio n al B ank, Des Moines, and presid en t, Iow a B ankers A ssociation. 11—Charles B. Mills, Moline, Illinois, p resid en t of th e Iow a B ankers Asso ciatio n 40 years ago, and his son, Miles M. Mills, Des Moines. 12— George Schaller, form er p resident, F ed eral R eserve B ank, Storm L ak e; V. W. Johnson, presid en t, F irs t N atio n al B ank, Cedar F a lls; Clarence Diehl, vice presid en t, Iow a-D es Moines N atio n al B ank, Des Moines, and Charles Barron, cashier, State B ank of V inton. 13— Erwin Jones, vice presid ent, Iowa-Des M oines N atio n al B ank, Des Moines, and Frank Crone, executive vice presid en t, The N atio n al B ank of W ashington. 14—Bob Pierce and Ted Herring of th e N atio n al Cash R eg ister Company, Des Moines. 15— R. R. Rollins, vice p resident, B ankers T rust Company, Des M oines, and Frank Warden, vice president, Cen tr a l N atio n al B ank, Des Moines. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 66 —• I O W A of his organization w ere Duncan Mc Gill, Ward McFadden an d Lester Smith. A n u m b er of guests w ere asked to say a few w ords, an d am ong those w as George Malcolm, vice p re si dent of th e D rovers N ational B ank of Chicago, w ho said th a t th e ir in stitu tio n w as th e first custom er w hich Mr. Scar borough had in Illinois. Mr. Scar borough says th a t his p lan is to m ake th is a re g u la r affair a t th e Iow a con vention in th e fu tu re. H. J. Stuhmiller, p resid en t of the State Savings B ank of F ontanelle, an d NEWS •- tre a s u re r of th e Iow a B ankers Asso ciation, rep o rted th a t th e general fund of th e association had a balance on h an d as of May 31, 1940 or $919.50, th a t it received from th e office of secretary $33,614.19, and th a t th e re w as tra n s ferred from th e in su ran ce fund $8,000, or th e total received from th e general fund d u rin g th e y ear w as $42,533.69. The total n et cash on hand, as of May 31, 1941, w as $12,235.48. B. F. Kauffman, p resid en t of th e B ankers T ru st Company, had a m eet ing of “The Committee on Liquidation” Here is the Point of Prompt Collection o f W isconsin C hecks a n d D r a fts a t his hom e, 3425 G rand A venue, on T uesday of th e convention, b u t u n fo r tu n a te ly F ra n k h ad to atten d a special m eeting of railro ad executives in New York, and w as th erefo re unable to be on hand, b u t o th er m em bers of his efficient staff acted as hosts for him , including Scott C. Pidgeon, R. R. Rol lins, C. H. Stephenson and C. W. Mesmer, vice presidents, as w ell as F. C. Atkins, cashier, along w ith a num ber of directors of th e bank. W alter B. French, deputy m anager of th e A m erican B ankers Association, u rged b an k ers to com ply w ith th e sp irit as w ell as th e le tte r of th e new federal regulations on consum er cred it. He em phasized th a t th e regulations h ad been laid dow n by th e rig h t group; nam ely, the F ederal R eserve Board. H. R. Young, cashier of th e A rling ton N ational Bank, and re tirin g p resi d en t of th e Iow a B ankers A ssociation, in his an n u al address asked th a t the g overnm ent “knock the slats out of the damnable pork barrel, and that people send to Congress only those who be lieve in and w ill enforce economy.” Rolfe O. Wagner, presid en t of the Des M oines C learing H ouse Associa tion, did an adm irable job as th e p re siding officer th e n ig h t of th e banquet, and also w elcom ed th e delegates to the convention at th e opening session. in size among all banks in the United States, the First Wisconsin National of Milwaukee is the largest in the Wisconsin-Iowa-MinnesotaNorth and South Dakota area . . . Avith unusual facilities for prompt, efficient correspondent service throughout this important agriculturalindustrial region. B A N K S A N D B A N K E R S D IV IS IO N The First W iscon sin serves more than 85 p e r cent o f a ll the banks in Wis consin. . .plus many l e a d i n g banks in key cities o f neighboring states. Resources Over $285,000,000 G eorge T. C a m p b e ll------------------------------------ V ice P resident R ichard J. L a w le ss---------------------- A ssistant V ice P resident Established 1853 D onald A. H a rp e r------------------------ A ssistant V ice P resident F IR ST W ISC O N SIN N A TIO N A L R A N K OF MILWAUKEE Member of the Federal Deposit Insurance Corporation Northwestern Banker October 1911 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Senator Alben W. Barkley of K en tucky, and th e m ajo rity leader of the U nited S tates Senate, discussed the question “W hat the United States Faces Today”, and, am ong other things, said: “WTe fa ce n o w th e r e s p o n s ib ility of g iv in g a ll th e aid th a t w e can g iv e th o s e n a tio n s fig h tin g d e sp e r a te ly to p r e se r v e h u m a n lib e r ty . W e h o p e w e m a y do th is w ith o u t e n te r in g th e Avar. B u t, w h ile w e a b h o r Avar and loAre p ea c e , I am n o t a fra id to a ss e r t th a t if th e tim e a r r iv e s Avhen AAre m u s t la y a sid e te m p o r a r ily th e p e a c e fu l h a b its w h ic h w e lOA^e, w e sh a ll n o t be afraid to a ssu m e th e r e s p o n s ib ility Avhich ou r fo r e fa th e r s a ssu m e d w h e n th e y esta b lish e d an d d e fe n d e d o u r lib e r ty , our r ig h ts, o u r h o m e s an d ou r in s tit u tio n s .” Clifford B. Gregory, associate pub lisher of W allaces’ F arm er and Iow a H om estead, and d eputy ch airm an of th e Chicago F ed eral R eserve Board, discussed th e fa rm e rs’ view point and th e ir p a rt in th e w ar, and said: “My guess is th a t the A m erican farm er w ill 67 • IOWA enjoy p ro sp erity for about one y ear afte r th e w ar ends. Follow ing the w ar, th e farm w ill be p rep ared to cu t dow n produ ctio n to fit th e A m erican m a rk e t.” George F. Benson, p resid en t of H a rd ing College, Searcy, A rkansas, m ade one of th e m ost pow erful addresses given a t th e convention on “A m erica a t th e C rossroads”. A few of th e points em phasized by Dr. Benson are these: “America today faces the greatest crisis in her national history. The na tions of the world as a whole likew ise have never faced a greater crisis throughout the history of the human race. “This crisis may w ell prove as ser ious in consequences as that which ac companied the fall of Rome, and ush ered in the dark ages. “National indebtedness has already increased to more than $1,000 per fam ily, and is expected to he tw ice that w ithin five years. “Huge defense expenditures, which a few years ago we would have thought impossible, are being piled up on record non-defense expenditures which had already staggered us. “The real question is this:—Can we possibly continue our huge relief meas ures, our record farm program, in creasing NYA and CCC expenditures, finance this m ost expensive of all wars, likely to last for several years, and maintain our financial structure; and if our financial stucture fails, can we preserve American democracy? “Again, I also warn that if our finan cial structure fails, American Democ racy w ill also fail. “There is only one w ay to avoid in flation: Pay for the war as we go in just as far as possible and thus avoid heavy indebtedness and heavy taxa tion over a long period follow ing the war. “There are just two w ays to accom plish that end: 1. Collect more taxes now. 2. Economize now in non-defense ex penditures and apply every possible dollar of revenue to the cost of the war.” “W hat is Going to Happen to B usi ness at the End of the War?” was dis cussed by Senator Robert R. Reynolds of N o rth C arolina and ch airm an of th e M iltary A ffairs C om m ittee of th e U nited States Senate. S enator R eynolds said: “The great danger to our country today is not only our becoming in volved in the present conflict, but the NEWS • real test of our democratic form of gov ernment w ill come when this war ends. “W hen once again we find millions of homeless, unemployed men and women tramping in the streets of our great metropolitan areas, seeking work and food, then the real test Avill come.” If our national debt reaches 100 bil lion dollars, as th e Senator says it may, he pointed out th a t th is w ould be a first m ortgage of about $3,000 against every fam ily in A m erica, and would exceed th e total of deposits by all our people in th e banks of the nation by 25 billion dollars. M. W. Ellis, presid en t of the F irst Security B ank and T ru st Com pany of Charles City and th e new state su p er in ten d en t of banks, p resented his banking board and deputy su p erin tendent of banks d uring the conven tion. These gentlem en include th e fol lowing: B. F. Kauffman, presid en t of the B ankers T ru st Company, Des Moines; Ralph Eastburn, executive vice presid en t of the Iowa State B ank & T ru st Company, Fairfield; B. A. Gronstal, presid en t of the Council Bluffs Savings Bank, Council Bluffs; B. P. St. John, cashier of the F irst DROVERS NATIONAL BANK DROVERS TRUST & SAVINGS BANK U N I O N S T O C K Y A R D S , C H I C A G O Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 68 • IOWA State B ank, W eb ster City; and R. L. Bunce, dep u ty su p e rin te n d e n t of banks, Des Moines. S. R. De Cou, cashier of th e F irst N ational B ank of W oodbine, and p resi dent of th e H arriso n C ounty B ankers Association, discussed th e question of em ploying “Outside Farm Representa tives” by Iow a banks. Mr. De Cou said: “Our re p re se n ta tives are v ery welcom e now by our farm er custom ers, and these g en tle m en check th e collateral ag ain st each m ortgage w hich we have in the bank. NEWS We have prep ared a reg u lar form w hich farm ers now fill out to give the bank a com plete analysis of its finan cial standing.” Mr. De Cou felt th a t th e ir re p re sen tatives w ere helping to increase the business of th e b an k as well as creat ing a b e tte r relatio n sh ip betw een bank custom ers and th e bank. Mortimer Goodwin, executive vice p resid ent of th e Pella N ational Bank, and a m em ber of th e A dvisory Com m ittee cooperating w ith B ank M an agem ent Com m ission of th e A. B. A., (ommercefrust (ompany 18-1 E stablished 1865 KA NSA S C IT Y , M ISSO U R I M em ber F e d e ral R eserve System Statement of Condition at Close of Business September 24, 1941 RESO U R C ES Cash and D ue from B a n k s______________________$93,691,268.82 U. S. O bligations, D irect and F u lly G u a ra n te e d _ 45,309,255.21 $139,000,524.03 State, M unicipal and F ed eral L and B ank B onds_ 24.282,900.30 Stock of F e d e ral R eserve B an k _________________ 270,000.00 O ther Bonds and S ecu rities_____________________ 15,749,634.68 40,302,534.98 L oans and D iscounts_________________________________________ 58,879,871.44 B ank P rem ises and O th er R eal E state O w ned________________ 2,492,289.99 C ustom ers’ L ia b ility A ccount L etters of C re d it______________ A ccrued 7,200.00 In tere st R eceiv ab le________________________________ 255,908.26 O verdrafts ----------------------------------------------------------------------------- 19,862.53 O ther R esources ____________________________________________ 11,465.69 T otal R esources ------------------------------------------------------------------ $240,969,656.92 L IA B IL IT IE S D eposits ------------------------------------------------------------------------------------ $227,661,314.58 C apital __________________________________________ $6,000,000.00 Surplus -------------------------------------------------------------- 3,000,000.00 U nd iv id ed • P ro fits------------------------------------------------- 4,149,333.70 13,149,333.70 R eserve fo r D ividends D e cla red ______________________________ 60,000.00 discussed the question of “Simplified Bank Forms and Procedure”, and, am ong o th er things, said: “This manual draws attention to many duplicate and useless procedures and off-sized forms which easily could be eliminated or simplified and re duced to a few standard sizes. By checking these, employe working hours can he shortened. “To he specific about this manual, it consists of ten sections. The first eight deal with descriptions of operating forms and procedures for the following phases of bank operations: (1) Paying and receiving; (2) interior proof and transit; (3) bookkeeping; (4) analysis; (5) loans and discounts; (ii) collections, drafts, certification and returns; (7) savings; (8) general ledger; and the re maining two deal with (9) sundry functions of safe deposit safekeeping, filing and destruction of records; (10) and general forms. “Operating forms, w ith accompany ing printing specifications, are illus trated. Some have been filled in to show typical transactions. This will be found very helpful to hankers seek ing to modernize their forms and pro cedure to eliminate non-essential work.” William C. Rempfer, cashier of the F irs t N ational B ank of P arkston, South D akota, and form er president of th e South D akota B ankers Associa tion, w as one of th e guest speakers a t th e convention and discussed “Earnings and Reserves—A Study”. Mr. R em pfer said: “T here is no secret to the problem of low earnings. In m y opinion, banks w hich are tro u bled by it are not receiving adequate com pensation for all of th e com m ercial b ank services being rendered to th eir custom ers. The services to w hich I refer are th e loaning of m oney, tra n s ferrin g of funds, safety deposit box accom m odations, checking account fa cilities, issuing b an k drafts, m aking change, p rep aratio n of payrolls, and so forth. Up u n til th e p ast few years ban k ers th o u g h t it p roper for the bor row ing custom er to pay for all of the o ther services ren d ered to non-borrow ing custom ers by m eans of a stiff in ter est rate. L ia b ility A ccount L etters of C re d it___________________________ 7,200.00 A ccrued In tere st, Taxes and E xpense_________________________ 64,519.35 Banks Sold or Bought! O th er L ia b ilitie s ____________________________________________ 27,289.29 q u ie tly, qu ickly and in T otal L ia b ilitie s ------------------------------------------------------------------- $240,969,656.92 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 tio n Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis a personal m an ner JAY A. WELCH H addam , K ansas “35 years P ractical B a n kin g E xp e rien c e .” 69 • IO WA NEWS • In com m enting on th e m ove from its form er h e ad q u arters in W illiam street, officials of th e b ank characterized it as th e inevitable re su lt of th e steady grow th and expansion th e b ank has enjoyed for m any years. In a recent statem en t E. C hester G orsten, P resi dent, hailed th e p u rchase of th e new building as sym bolizing 33 y ears of sound progress for th e institution. Said Mr. G ersten, “T he Public N a tional B ank and T ru st Com pany for some tim e has been rap id ly outgrow ing its old h ead q u arters office, as a logical re su lt of steadily expanding b an king business in loans, deposits /& u £ u d a ttU if& y about the P R O F IT A B L E T he P u b lic N a tio n a l B a n k & T ru s t C om pany of N ew Y o rk N ew M a in Office a t 37 B ro a d S tre e t— G e n era l v iew o f m a in b a n k in g floor “L et us m ake o u r charges adequate, let us m ake th em u n ifo rm to all of our custom ers, w ith no exceptions. W e should operate profitably and lay up reserv es for th e day w h en we shall need them . W e should o perate th e w ay th e re s ta u ra n t does, give aw ay w a te r and p ap er napkins, b u t m ake an ad equate charge for e v ery th in g else. If we do th is th e re w ill no longer be a low earn in g s problem and th e re w ill be ad equate reserv es to tak e care of all losses.” A tru c k d riv e r we know com plains th a t his son has g o tten his B. A. and M. A., b u t th a t his P. A. still has to su p p o rt him. y p y ^ Y C " (Pay-as-You-Cheek) Checking Plan! New Office Quarters On October 6th, T he Public N ational B ank and T ru st Com pany of New York w ill form ally open for business its new and g reatly enlarged m ain of fice q u a rte rs in th e B ank’s own 9-story building at 37 Broad Street. The new hom e of Public N ational, one of New Y ork’s im p o rtan t b an king organiza tions, is a handsom e and im pressive stru ctu re, soundly located in th e dow n tow n financial district. The building, w hich has been pointed out repeatedly as one of the finest exam ples of arch itectu re in its class, w as acquired by th e B ank from th e New York Stock E xchange, in an o u trig h t p u rchase for cash. Out-of-Town Banks Out-of-town banks and bankers will find here complete banking facilities for prompt and economical handling of accounts in Chicago. We would appreciate the opportunity of serving you. 'PAYC1 plan is a defB step in the r i g . ction and our experiw ith it has been A-l. aave opened a p p r « i >lv 400 new account a period of about 4/2 t h s , with an average ning balance i n th e ehborhood of $15 ..Most of our new acmts under the stem have been new cus ners." ’ Name of bank on request Recent " P A Y C " Pu rchasers: C IT IZ E N S S T A T E B A N K D O N N E L L S O N , IO W A IO W A S T A T E B A N K H U L L , IO W A C it y N a t io n a l B a n k AND TRUST 208 S O U T H COMPANY of Chicago L A S A L L E (Member Federal Deposit Insurance Corporation) Northwestern Banker October 19'tl https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Ask a "U .S." representative for com plete Information about the " P A Y C " plan, or write to — S T R E E T UNITED STATES CHECK BOOK CO. OM AH A, NEBRASKA 70 <"o O s C AND s n O * y n FOR BANKS and all o ther d epartm ents. T his fact is reflected in th e B an k ’s Ju n e 30th statem ent, w hich show s to tal loans of $81,258,252.92; total deposits of $170,701,011.37; capital su rp lu s and u n d i vided profits of $17,758,293.88 and to tal resources of $192,296,791.41. “In d eterm in in g th e new site, the factors involved and carefully con sidered w ere an address and facilities w a rra n te d by a b an k of 30 separate offices th ro u g h o u t G reater New York, th e com fort and convenience of cus tom ers, and our grow ing personnel, and m axim um econom y of operation.” The new hom e of Public N ational is a strik in g and b eau tifu lly p ro p o r tioned stru c tu re of Rockwood A la bam a Lim estone, above a g ran ite base. It is com pletely equipped w ith th e m ost up-to-date of m odern ban k in g fa cilities and appointm ents and w as airconditioned p rio r to the B ank’s occu pancy th is m onth. NEWS AND VIEWS AND COMPANY DES M O I N E S F R S I E E N R D V I 'A L Y C “A E Julius K. Waibel, ad v ertisin g direc to r of th e C ontinental-Illinois N ational B ank and T ru st Company, says th a t th e follow ing experience actually h a p pened in th e ir bank. H ere it is: “Page Girl (to Charles E. Clippinger, a ssistan t secretary ): ‘W ill you please sign y o u r nam e h ere?’ “ (C lippinger proceeds to affix his curly-w hirly signature.) “Page Girl: ‘O, please don't spoil it—it’s an im p o rtan t document! You should sign your nam e!’ ” MU T U A L BONDING COMPANY In c o rp o ra te d 1933 Home Office V A LLEY B A NK BUILDING Des M oines, Iowa • • T his is Iow a’s oldest surety com pany. A progressive com pany w ith ex p eri enced, conservative m anagem ent. W e are p ro u d of o u r h u n d re d and fifty b a n k agents in Iowa. T o be th e exclusive re p re se n tativ e of this com pany is an asset to y o u r bank. • • W r i te to E. H. W A R N E R S e c r e ta r y a n d M a n a g e r A Come to the Bismarck for luxurious comfort ___good food . . . and th a t e lu s i v e so m e thing called “friendly se rvic e ” that makes you feel right at home. Every modern hotel convenience is here at your beck and call . . . and the location is a t i m e - s a v i n g convenience. Write for booklet with map of downtown Chicago OTTO K. EITEL, MNG. DIR. "Marvel" 2-Trousers Suits For Fall 1941 Styled Tailored Priced to bring you back for another in fall '42 $30 a n d $35 Second Floor FRANKEL’S DES Northwestern Banker October 19M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MERCHANTS M O IN E S MISSOURI FAR MORE TO OFFER EOT FAR FROM BEING EXPENSIVE O p p o rtu n itie s for a ll sports and recreations. Curative m in e ral w a te rs. Air con dition ed s le e p in g room s ... W rite for inform ation or reservation s. 71 -• James H enry Clarke, a ssista n t vice p resid en t of th e A m erican N ational B ank and T ru s t C om pany of Chicago, and a u th o r of “The Month’s Market M aneuvers,” w hich ap p ears in each issue of th e N o r t h w e s t e r n B a n k e r , re cen tly m an eu v ered in to th e m arriag e m ark et, an d Margaret Frances Heagney now tells Jim w h a t k in d of a su it she w ould like b est on him , an d w h a t night, if any, he can play p oker w ith th e “boys.” Mr. an d Mrs. C larke are a t hom e now a t th e E d g ew ater B each Hotel. Grant McPherrin, ch airm an of th e F irs t F e d e ra l S tate B ank of Des Moines, in a re c e n t le tte r to us said: “I w a n t to co n g ratu late you on th e splendid S eptem ber issue of th e N o r t h w e s t e r n B a n k e r . I t is one of th e b est I have ever seen, and I enjoyed read in g it v ery m u ch .” IOWA NEWS •- president, F irs t N ational Bank, Cedar Falls; vice president, N ational B ank division, V. P. Cullen, executive vice president, N ational B ank of B u rling ton; vice president, Savings B ank divi sion, W. H. Swiler, cashier, B urlington Savings Bank, B urlington; vice p resi dent, S tate B ank division, H. G. Nico laus, W ilton Savings Bank, W ilton Junction; vice president, T ru st divi sion, J. M. Hutchinson, tru s t officer, D avenport B ank & T ru st Company. Dividends Savings and loan associations paid th e F ed eral g overnm ent $3,213,546 in dividends for th e first half of 1941, b rin g in g to $41,785,882 its earings on in v estm en ts m ade in m em ber hom e financing in stitu tio n s of th e F ederal H om e L oan B ank System d u rin g th e depression years, Jam es Tw ohy, gov e rn o r of th e system , announced. He said th a t rep u rch ases of shares in these associations in w hich th e gov ern m en t had invested am ounted to b et te r th a n $11,000,000 for the sam e pe riod. “U nder au th o rizatio n of th e Congress in 1933 and 1934, th e U nited States T reasu ry and th e H om e O w ners’ Loan C orporation invested m ore th a n $271,000,000—largely du rin g th e 1935-1937 period—in th e shares of some 1,100 C larence S. Rye, vice p resid en t of th e L ittle R iver B an k and T ru s t Com p an y of Miami, F lorida, a tten d ed th e Iow a B an k ers C onvention last m onth. In a re c e n t le tte r to us he said: “I assu re you th a t I ap p reciate receiving y o u r fine publication, th e N o r t h w e s t ern B a n k e r , an d look fo rw ard to it m onthly. W ere it n o t for y o u r m aga zine I w ould n o t be able to keep in form ed as to m y m an y b a n k e r friends in th e m iddle w est.” W illiam N. Mitten, p resid en t of th e Stephens N ational B ank of F rem o n t, N ebraska, issued a so u v en ir edition of th e “10 Y ear H isto ry of th e N o rth east N eb rask a 4-H Club F a ir,” w as w as held in F rem o n t. The fa ir w as a three-day occasion, an d it drew th o u san d s of people from seven counties, as it w as th e larg est of its k in d in th e state. Over 3,000 4-H Club m em bers p articipated. W. Bruce McLeran, publicity direc to r of th e D enver N ational B ank of D enver, in a recen t com m unication to us, said: “Y our com m ittee’s F in an cial P u b licatio n ’s article, as sen t out by th e F. A. A. is fine. R esult: Please e n te r a y e a r’s su b scrip tio n to th e N o r t h w e s t e r n B a n k e r in b ehalf of th e D en ver N ational B ank.” Also elected a t th e convention w ere th e follow ing A. B. A. m em bers: E xecu tiv e councilm an, B. L. McKee, vice p resid en t, M uscatine B ank & T ru s t Com pany, M uscatine; n o m in at ing com m itteem an, H. W. Schaller, presid en t, Citizens F irs t N ational B ank, S torm Lake; a lte rn a te n o m in at ing com m itteem an, V. AV. Johnson, HELPING CORRESPONDENTS ACHIEVE COMPLETENESS OF SERVICE The correspondent who forms a con nection w ith T he N o rth ern T rust Company opens an avenue to re sources of value to himself, his cus tomers and his community. Available to such out-of-town banks are the experience and the store of facts ac quired by this institution during more than half a century. Thus, in addition to handling the flow of normal, rou tine transactions, The N orthern Trust Company takes particular pains to serve completely the further needs of its banker customers. Inquiries con cerning the advantages of a connec tion here are invited. THE NORTHERN TRUST COMPANY 50 SOUTH LA SALLE STREET, CHICAGO Member Federal Deposit Insurance Corporation ★ ★ Northwestern Banker October 1941 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 72 DES MOINES BUILDING-LOAN & SAVINGS ASSOCIATION Oldest and Largest in Des Moines 411 6th Ave. Dial 4-7119 ELMER E. M ILLER Pres, and Sec. HUBERT E. JAM ES A sst. Sec. M em ber Federal H om e Loan Bank System Iow a’s L argest B u sin ess T raining School M any hanks, hond-houses, insurance com panies and other financial in s ti tu tio n s em ploy A . I. B. graduates. W rite or teleph one w hen you need efficient office em ployes. such in stitu tio n s in o rder to provide th e m w ith funds sufficient to en co u r age w ider and sounder hom e ow ner ship in th e ir com m unities,” said Mr. Tw ohy. “The fact th a t w ell over onefo u rth of th is sum already has been re tire d v o lu n tarily — considerably in advance of th e tim e such rep u rch ases w ere due—is a solid indication of the p ublic’s confidence in savings and loan associations, and th a t p riv ate in v est m e n t now has resum ed its p roper course. th a t enjoyed by individual in vestors,” Mr. Tw ohy pointed out. H e said th a t HOLC’s dividends for th e first period of 1941 am ounted to $2,839,538, and the U nited S tates T re a su ry ’s $374,008. Cu m ulatively, HOLC has received divi dends to date totalin g $32,528,132; the T reasu ry $9,257,749. “T his record of dividend paym ents and th e rep u rch ase of original share in v estm en ts is o u tstan d in g in th e a n nals of g o v ernm ent cooperation w ith p riv ate in d u stry ,” Mr. Tw ohy added. “It is a dram atic exam ple of how such tim ely assistance can b rin g about wide social benefits—in th is case th e protec tion and fu rth eran ce of th e in stitu tio n of hom e ow nership—and a t th e sam e tim e earn a reasonable profit on th e in v estm en t.” “T he savings of hu n d red s of th o u sands of p riv ate investors, flowing into associations th ro u g h o u t th e country, have m ade hom e-financing capital available to such an e x ten t th at, in addition to th e dividends paid th e gov ern m ent, m em ber associations of th e b an k system du rin g th is six-m onth p e riod also w ere able to rep u rch ase over $11,000,000 of th e original in vestm ent in th e ir shares, th o u g h less th a n $3,000,000 w as due on Ju n e 30th, th e sem i a n n u al dividend date,” said Mr. Tw ohy. “T he go v ern m en t receives th e sam e ra te of earn in g on its in v estm en ts as W recker T he w om an au to ist posed for a sn ap shot in fro n t of th e fallen pillars of an ancient tem ple in Greece. “D on’t get th e car in th e p ictu re,” she said, “or m y husband w ill th in k I ra n into th e place.” A d v e r tis in g program s for banks and tru st com panies. L e t us help you g e t ‘‘th in gs done.” W rite us today. E. O. F E N T O N , D irector American Institute of Business DES MOINES 10th and Grand Tel. 4-4221 J io w & it C a d i Our policy provides a maximum assessment of 2 /i % in Zones One and Two—and 3 ,/2% in Zone Three (Western Iowa). 'Z%(JLCZ± C o u n i B a n k P b l R l a t 2 5 E ± ¿ z A / [ o l t Z E l i , Û COCHO. For a Fresh Start STOP at a HOTEL Hawkeye Mutual Hail Insurance Association Carver B ld g. Fort D o d g e , Iowa More than 5 0 0 0 hotels on the continent and in n earby te rrito rie s, representing the seventh largest industry, allied for service and progress. AMERICAN Northwestern Banker October 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis o n s D. R . W E S S L IN G . P R E S ID E N T HOTEL ASSOCIATION 73 ADVERTISING INDEX A A l l e n W a l e s A d d i n g - M a c h i n e C o r p ............ A l l i e d M u t u a l C a s u a l t y C o m p a n y ............... A. C. A l l y n a n d C o m p a n y ................................. A m e r i c a n H o t e l A s s o c i a t i o n ............................ A m e r i c a n I n s t i t u t e o f B u s i n e s s .................... A m e r i c a n N a t i o n a l B a n k a n d T r u s t C o .. 75 34 40 72 72 58 Mule in a barn y ard , lazy and sick, Boy w ith a p in on th e end of stick. Kid jabbed th e mule; m ule m ade a lu rch — Services Sunday, F irs t M ethodist Church. B B a n k e r s T r u s t C o m p a n y ................................5 6-5 7 B i s m a r c k H o t e l ....................................................... 70 H . B. B u c k h a m a n d C o m p a n y , I n c ............... 70 B u f f e t t a n d C o m p a n y ........................................... 29 B y l l e s b y a n d C o m p a n y ........................................ 31 C C e n t r a l H a n o v e r B a n k a n d T r u s t C o .. . . C e n t r a ] N a t i o n a l B a n k a n d T r u s t C o.. . . C h a s e N a t i o n a l B a n k ........................................... C i t y N a t i o n a l B a n k a n d T r u s t C o ............... C o m m e r c e T r u s t C o m p a n y ............................... C o n tin e n tal-Illin o is N a tio n al B an k and T r u s t C o ...................................................................... C o n tin e n ta l N a tio n a l B a n k — L in co ln . . . . 73 3 4 69 68 B ette L oughren: “T his is th e fu n n iest looking p ictu re I ’ve ever seen.” Jean n e Loughren: “T h a t’s no pic tu re. You’re looking in a m irro r.” Mr. F orsm an: “W ere you copying his p ap er?” N eiland Thom pson: “No, sir, I w as only looking to see if he had m ine rig h t.” No, by Gum! A unt M innie w as tak in g h er first trip on a train . W hen th e conductor cam e th ro u g h th e car and called for tickets A untie readily gave up hers. A few m inutes later th e tra in boy com ing th ro u g h called, “Chew ing gum!” “N ever!” cried A unt M innie, brav e ly, “You can take m y ticket, b u t not m y gum !” 20 31 D F . E . D a v e n p o r t a n d C o m p a n y .......... 2 7 - 3 2 - 6 3 D e L u x e C h e c k P r i n t e r s , I n c ............................ 49 D es M oines B u ild in g , L o a n a n d S a v in g s A s s o c i a t i o n ............................................................ 72 D r o v e r s N a t i o n a l B a n k ...................................... 67 E E l m s H o t e l s ............................................................... E m p l o y e r s M u t u a l C a s u a l t y ............................ E p p l e y H o t e l s C o .................................................... 70 36 36 F F e d e r a l I n t e r m e d i a t e C r e d i t B a n k ............. F i r s t N a t i o n a l B a n k — C h i c a g o .................... F i r s t N a t i o n a l B a n k o f D e n v e r .................... F i r s t N a t i o n a l B a n k — L i n c o l n ....................... F i r s t N a t i o n a l B a n k — O m a h a ......................... F i r s t N a t i o n a l B a n k - — S t. P a u l .................... F i r s t N a t i o n a l B a n k — S i o u x C i t y ............... F i r s t N a t i o n a l B a n k a n d T r u s t Co.— M i n n e a p o l i s .......................................................... F i r s t W i s c o n s i n N a t i o n a l B a n k .................. F i s h e r C o m p a n y ..................................................... F r a n k e l C l o t h i n g C o m p a n y ............................ 39 63 27 26 27 44 59 47 66 6 70 G G e n e r a l M o r t g a g e C o r p o r a t i o n .................... G e n e r a l M o t o r s A c c e p t a n c e C o r p ............... G r e e n w a y a n d C o m p a n y ................................... G u a r a n t e e M u t u a l L i f e i n s u r a n c e C o.. . . 40 41 29 32 An illu s tra tio n of th e satisfactory nature of Central H anover coopera tion, as extended to customers through H H a w k e v e M u t u a l H a i l I n s u r a n c e A s s n . . 72 H o m e I n s u r a n c e C o m p a n y ................................. 5 H o n o r R o l l B a n k s ................................................... 25 good times and bad: I I n t e r s t a t e F i n a n c e C o r p o r a t i o n .................. 38 I o w a - D e s M o i n e s N a t i o n a l B a n k & T r u s t 76 J J a m i e s o n a n d C o m p a n y ...................................... 46 Iv K o c h B r o t h e r s .......................................................... 74 159 A m erican banks have been cor resp o n d en ts of this in s titu tio n for L G e o r g e L a M o n t e a n d S o n ................................... L e s s i n g A d v e r t i s i n g C o m p a n y ....................... L i v e S t o c k N a t i o n a l B a n k —-C h ic a g o . . . . L i v e S t o c k N a t i o n a l B a n k — O m a h a .......... L iv e S to c k N a tio n a l B a n k — S io u x C ity . . 21 72 61 28 42 m ore than 50 years. M M erch a n ts M u tu al B o n d in g C o m p an y . . . M e r c h a n t s N a t i o n a l B a n k ................................. M i d l a n d N a t i o n a l B a n k a n d T r u s t C o.. . M in n e a p o lis M oline P o w e r I m p l e m e n t C o m p a n y .................................................................. M o n r o e C a l c u l a t i n g M a c h i n e C o r p ............ N N a tio n a l B a n k of C o m m e rc e — L in c o ln .. N a t i o n a l C a s h R e g i s t e r C o ................................ N a t i o n a l S u r e t y C o r p o r a t i o n ......................... N o r t h e r n T r u s t C o m p a n y ................................. N o r t h w e s t e r n N a tl. L i f e I n s u r a n c e C o.. . N o r th w e s t e r n N atl. L ife In s u r a n c e C o m p a n y — W i l h e l m A g e n c y .............................. 70 2 48 50 30 30 25 36 71 34 CENTRAL HANOVER BANK AND TRUST COMPANY NEW YORK 26 O O m a h a N a t i o n a l B a n k ........................................ I’ P h i l a d e l p h i a N a t i o n a l B a n k ............................ P u b l i c N a t i o n a l B a n k a n d T r u s t C o .......... S S t. P a u l F e d e r a l S a v i n g s a n d L o a n .......... S e c u r i t y N a t i o n a l B a n k ...................................... S to ck Y a rd s N a tio n a l B a n k — O m a h a . .. S t o c k Y a r d s N a t i o n a l B a n k — S t. P a u l . . . 19 52 54 46 62 22 51 T T e r m i n i x C o m p a n y ................................................ 29 MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION U U n ited S ta te s C heck B ook C o m p an y . . . . V V a l l e y S a v i n g s B a n k ........................................... 69 60 W W a n t A d ......................................................................... C h a r l e s E . W a l t e r s ................................................ J a y A. W e l c h ............................................................... W e s s l i n g S e r v i c e s ................................................ W e s t e r n M u t u a l F i r e I n s u r a n c e C o ............ 59 30 68 72 35 Northwestern Banker October Î9M https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 74 In th e DIRECTORS' R o o m The girl shook h e r head. W e all th o u g h t it w as fu n n y as heck at th e tim e, b u t th e police m ade quite a fuss about it. Nitwitiana Those w ho go to college and nev er get out are called professors. Once th e re w as a m ean a rm y officer. He w as ro tte n to th e corps. No Inspiration A college stu d e n t is like a th erm o m eter because he is g rad u ated and m ark ed by degrees. aro u n d his forehead to tell how far up to w ash is face. T hey m ark ed th e exam s so strictly, th ey flunked him for h av in g a period upside down. Our g ran d m o th ers believed th a t th e re w as a destin y w hich shaped our ends, b u t th e m odern girl places m ore faith in girdles. A tom m yhaw k is w h a t if you go to sleep suddenly and w ake w ith o u t hair, th ere is an In d ian w ith. W e know a m an w h o ’s g ettin g so bard-headed he has to tie a strin g A nd alw ays rem em ber, Oswald, th a t th e difference betw een a model w om an and a w om an m odel is th a t th e form er is a bare possibility and the o th er a nak ed fact. Thankful PERMANENTLY SHARP! STUDENTS! BUSINESS FOLKS! Here's Your Daily SUCCESS COMPANION! SHEAFFER3 “ In W o rk in g T o g s ” (s h o w n ) A ls o S tream line balance m odels 3 9 % smaller writing point is always sharp — that means neater figures, more readable writing, clear carbons, distinct shorthand. SPIRAL GRIP for tireless writing. D ouble length p ropelling e raser. Sturdy, precise mechanism; outlasts all others. Uses double length, strong FINELINE leads. A lasting, welcome gift for anybody, any time. Just right for your own use, tool Make FINELINE yours today. KOCH BROTHERS PRINTERS - BOOKBINDERS - OFFICE OUTFITTERS STATIONERS - BUSINESS MACHINES GRAND AVENUE AT FOURTH Des Moines Northwestern Banker October 19^1 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A young hillbilly from an isolated ra n c h bought an ice cream cone, w alked outside to eat it, th en carried th e cone carefully back to th e soda fountain. H anding it to th e clerk, he said: “M uch obliged for th e use of the vase.” Targets A m in ister preached a serm on on th e d u ty of wives. “T here is, alas, a w om an in th is congregation w ho is often guilty of disobedience to h er husband. To m ake an exam ple of her, I w ill fling m y book at h e r head. He lifted up his book and in sta n tly every m arried w om an ducked. Quite a Fuss T he m agician w alked dow n to the footlights and asked a young lady to step up on th e stage. “Now, as th e clim ax to m y act, ladies and gentlem en,” he said, “I am going to saw this young lady in two rig h t before your eyes.” The crow d cheered and stam ped its feet. “As is custom ary before doing th is tric k ,” he continued, “I ’d like first to m ake sure th a t you all w an t to see . . .” A th u n d e rin g “Sure.” “A nd th a t th ere are no objections to m y perfom ing . . .” A “No” rocked th e house. “The g irl’s so ro rity sisters—do th ey object?” “N ot at all, to be su re.” “H ow about you,” he asked, tu rn in g to th e girl: “do you m ind being saw ed in tw o?” A n a rtis t w as p ain tin g in th e coun try. A farm er cam e up and w atched him. “A h,” said th e artist, “p erhaps you too are a lover of th e beauties of n a tu re. H ave you seen th e golden fin gers of daw n spreading across th e eastern sky, th e red-stained, suphurous islets floating in th e lake of fire in th e w est, th e ragged clouds at m id night, b lo ttin g out th e shuddering m oon?” “No,” said th e farm er matter-of-factly, “not lately. I ’ve been on th e w agon for over a y ear.” Tactful Tactics Two colored m en w ere discussing things in general. One w as telling how h e ’d ju s t got a job as a P ullm an p o rte r and th a t his conductor had told him he m ust tre a t th e passengers w ith tact. “W hat am dis here tact stuff?” he w anted to know. “L et me enlighten y o u r intelleck, b ro th ah ,” said th e o ther and w iser darkle. “Once Ah w as w o rk in ’ up at de W aldaw f hotel. One day Ah w as clean in ’ up and happens to open a bathroom door and dere w as a lady s ittin ’ in de tub. “Ah sh u ts de door quick and Ah says ‘Beg yo’ pahdon, suh!’ “Well, d at ‘beg yo’ p ahdon’ w as jes politeness, b u t de ‘su h ’—dat w as tact.” Out of the Frying pan Mrs. B row n w as tire d of th e borrow ing propensities of h e r neighbor, Mrs. Black. F irs t is w as som e household u ten sil she w anted, th e n some sm all article of grocery. The o th er day a knock cam e at Mrs. B row n’s door. It w as Mrs. B lack’s little girl. “Please, m other w an ts to know ,” she said, “if you w ill lend h e r some pepper and th e big flatiron you have.” Mrs. B row n w as d eterm ined to stop h e r n eighbor’s borrow ing. “Tell y o u r m o th er I ’ve got o th er fish to fry she snapped, and th e little girl w en t away. She w as back in a few m inutes, how ever, w ith a dish and th e usual request. “Please, m o th er w an ts to know if y o u ’ll lend h e r some of th e fried fish.” NOW, MORE THAN EVER, YOUR FIGURE WORK MUST BE SAFEGUARDED ALLEN WALES Machines, Manufactured Since 1903, Are Recognized For Their ACCURACY-SPEED and DEPENDABILITY More Than 100 Different ALLEN WALES Models More Than 400 Distributing Points in U. S. A. More Than 600 Percent Increase in Sales In The Past 6 Years These Figures Are Of Importance To All Users of Adding Machines Models Are Available For Every Type Of Business Covering The Widest Possible Range of Requirements Our Nearest Agency Will Be G lad To Let You Try One Without Obligation—Telephone Them or Write Us ALLEN WALES ADDING MACHINE CORPORATION 444 Madison Avenue, New York, N. Y. SALES AND SERVICE IN 4 0 0 AMERICAN CITIES AND IN 4 0 FOREIGN COUNTRIES https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis D E S M O IN E S . . . Crossroads o f the N a tio n 's A irlin es Des Moines is served by two major air lines . . . United's transcontinental East-West route . . . Mid-Continent's North-South system, which provide additional direct air mail connections with all important financial and business centers of the Nation. Checks and drafts, routed through Iowa's Largest Bank, reach their desti nation within a few hours for collection. Experienced personnel with modern equipment provide extra speed in the clearance of transit items. Iowa Banks and Bankers are invited to use the complete facilities of this Bank to give customers fast, dependable collection service. IOW A-DES MOINES NATIONAL BANK & T r u s t C o m pa n y Member Federal Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis
@FedFRASER