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octo m: 1048 ■'1 1 Sm I What Bank Customers Say About a 5-Day Wee Survey— Pages 18, 19 Iowa Bankers Convention — Page https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 83 EVANS WOOLLEN, JR.— NEW PRESIDENT OF A. B. A.— See Page 13 Attend Your State Convention! The pleasure of seeing old friends, and making new ones, plus the exchange of ideas on better hank management, are the best parts of the Iowa Bankers Association Convention. W e look forward to our annual state convention Octo ber 2 4 -2 7 in Des Moines, where this bank will he represented as usual by sev eral of its senior officers. W e also urge our many correspondents to attend and profit from this valuable meeting. A CEDAR R A P ID S BA N K CEDAR RAPIDS SERVICING A LL IOWA. OFFICERS JAMES E. HAMILTON, Committee Chairman Executive S. E. COQUILLETTE, Chairman of the Board JOHN T. HAMILTON II, President MARK J. MYERS, Vice President FRED W . SMITH, Vice President GEORGE F. MILLER, Vice President and Trust Officer M ARVIN R. SELDEN, Vice President R. W . M ANATT, Vice President L. W . BROULIK, V ice President PETER BAILEY, Cashier R. D. BRO W N, Assistant Cashier O. A . KEARNEY, Assistant Cashier STANLEY J. MOHRBACHER, Asst. Cashier EVERETT C. PRATT, Assistant Cashier C. F. PEREMSKY, Assistant Cashier VICTOR W . BRYANT, Assistant Cashier JAMES E. COQUILLETTE, Assistant Cashier V THE MERCHANTS NATIONAL BANK t M EM BER F E D E R A L DE PO SIT IN SU R A N C E C O R P O R A T IO N k Northwestern Banker, published m onthly by the De P uy Publishing Company, at 527 Seventh Street, Des Moines, Iowa. Subscription, 35c per copy, $3.00 per year. Entered as Second Class M atter January 1, 1895, at the P ost Office at Des Moines, Iowa, under A ct o f M arch 3, 1879. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis edar https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis R a p i d s , Iowa Bon use LcJ Monte. rtcs fron .on ,he ¡„stifled op"' ,k l ° 0K ..,IH «■ * funds sotisfoc- • ^ They H " v c ' m'S111t h e ,r .--ks chec^ -ion ef kn0W; te d ed o g - " 5' o re * » » P " >' c 0 „ „ .e rfe * " < ; o"cr0,i0n Z . e n joy * • using - ^ d iS' i ° c,i0n °d d ,s fio es. o " d p0 pe- kno wn S A F E T Y P A P E R FOR C H EC K S ______. . GEORGE LAMONTE & SON, NUTLEY, NEW JERSEY HBBi A Check Paper A ll Your Own Thousands o f banks and m an y o f the larger corporations use La M onte Safety Papers with their own trade-mark or design made in the paper itself. Such INDIVIDUALIZED check paper provides maximum protection against both altera tion and counterfeiting — m akes identification positive. Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis SATIONA1' . jjs»tU^X. ^¡jJ.__ N'>- GROUSELAND /yyyyyt/er //ow e o f f/yeJVy??t/iP resid en t Portrait by Peale when Harrison was twenty-seven W ,HEN his prospective father-in-law asked how he proposed to maintain a wife, young William Henry Harrison replied, placing his hand on his sword, “ This is my means of support/’ As his military prowess proved, the statement was no empty boast. Moreover, in time Anna Symmes Harrison, the girl he married, had the distinction of . being the wife of the ninth President and the grandmother of Benjamin Harrison, the twenty-third. In 1800, five years after his marriage, Harrison was appointed first governor of the vast new Indiana Territory which even tually was carved into several states. In the seat of government, the old French town of As the Indians in the area outnumbered which established his military reputation His home, architec the whites five to one and as the territory and provided the slogan “ Tippecanoe and turally inspired by Berkeley, the famous Vir was hemmed in on three sides by foreign Tyler too” for the campaign in which he was ginia mansion in which he was born, was powers, elected President. When the War of 1812 completed in 1804. Known as the White midable. Reflecting the hazardous times, began, Harrison left Grouseland to take House of the West, it became the social Grouseland, like a feudal castle, was at command of the Army. and political center of the territory. once a home and fortress, with walls two Alter remaining in the ownership of the feet thick and windows protected family until 1843, the house passed through Vincennes, he acquired a 300-acre estate called Grouseland. Harrison’s problems were for inside and out by heavy shutters. a period of decline until, ransacked by relic One of these bears the mark of a hunters, it was used as a stable. Finally, bullet which an Indian fired at Har through the efforts of the Francis Vigo rison as he was pacing the room Chapter of the Daughters of the American with his baby in his arms. From a Revolution it was saved from demolition lookout platform on the roof the and now in the chapter’s custody is being approach preserved as an historic landmark restored of unfriendly visitors could be seen, and within the house to its former grandeur. concealed passages provided speedy exit in case of surprise attack. In a grove near the house Harri son held a conference with the Shawnee chieftain Tecumseh and his warriors who defiantly refused to come to terms with the American 7he Home, through its agents and brokers, is America’s leading insurance protector of American Homes and the Homes of American Industry. a THE HO M E FIRE • a government. In 1811, a year later, NEW Y O R K Harrison defeated Tecumseh’s men Winding, stairway suggests a similar one at M t. Vernon https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis at the famous battle of Tippecanoe AUTOM OBILE • MARINE INSURANCE 6 ★ I m * the in Chicago FO R BO N D IN V ESTM EN TS Correspondent banks are cordially invited to use the First National’ s Bond Department in their bank investment programs. To serve you, and to insure prompt trans actions in United States Government, State and Municipal Bonds, there is an adequate staff, coordinated by experienced officers. BOND DEPARTMENT A ustin Jenner James P. Feeley John H. G rier Lewis M iller H arold J. S chlüter OFFICERS Vice-President Vice-President Vice-President Asst. Vice-President Asst. Vice-President Assistant Cashiers George B. Wendt Leroy F. Winterhalter P. Alden Bergquist Joseph A. Smole Samuel Sachnoif The First National Bank of Chicago Building with Chicago and the Nation Since 1863 M EM BER ★ Northwestern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis FEDERAL DEPOSIT INSURANCE CORPORATION ★ https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “A Friendly Welcome iron Iowa’s Friendly Bank’ WM. J. GOODWIN Chairman, Board of Directors E. F. BUCKLEY President FRED H. QUINER Vice President J. R. CAPPS Vice President IRWIN ABRAM Vice President W. G. KANE Vice President C. M. LARSON GEORGE NELSON Assistant Cashier E. R. BOWLIN Assistant Cashier DALE C. SMITH Assistant Cashier Assistant Cashier https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis I f there is anything any of our officers Annual Convention ot the Iowa Bankers can do to add to your comfort, conven- Association, Des Moines, October 25, 26 & ience or pleasure while attending the 62nd 27th — please feel free to call upon them. CENT RAL N A T I O N A L BANK and TRUST COMPANY • DES MOINES, Iowa Member Federal Deposit Insurance Corporation FRANK R. WARDEN Vice President H. C. WINDER Cashier NOEL T. ROBINSON ViceFRASER President and Trust Officer Digitized for https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis A. T. DONHOWE Vice President G. W. BARTMESS. JR Assistant Cashier I. L. WRIGHT Trust Officer LEHMAN PLUMMER Vice President EMMETT E. JOHNS Vice President J. E. QUINER Assistant Cashier D. R. WITHINGTON Assistant Cashier ALBERT C. ROBERTS Trust Officer RAYMOND W. JONES Trust Officer 1 \ J P 1 M 1 18 i f . « P ' l a S 1 ‘ ¡fe v ?1 4 ' Ik v 1I - ’* , I || m JIB * y,Jjf 9f|l| J j tL k i f t ■••ll ■’S ? ■ 1 ‘ HP \ 4 A permanent record of every check is made through the use of the Recordak, an ingenious machine that photographs both sides of the check simultaneously anon micro-film. iSsSliliS*® j’ i ■ i is P L E F T : This is a view of our general bookkeeping departm ent — where effi ciency and accuracy are the watchwords. ro to r irv&nl iln S r A T R IG H T : T h is v ie w o f our transit department de picts the listing and sorting of items. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ll l m u IIm m 11111 u r , Mi *r » y i H rasp j S ^ A B O V E : This battery of “ proof” machines in our transit department helps to “ speed up” the clearance of all items. j 11 T h e N ational Central C ontrol and P ro o f M achine pro vides definite proof and control on all incoming items. Its record is absolutely in balance every minute o f the day. For, should its operator err in recording an amount, or should the depositor err in adding his deposit ticket, the machine will lock automatically! N o other machine has this feature! On depressing the error key, the amount o f the error is automatically printed on the master tape, and correction is made immediately. With its record thus continually in bal ance, proved control figures are immediately available at the end o f the day for final balancing o f all departments. THE NATIONAL CASH A bank handling even so few as 2000 items a day can use one o f these National Central Control and ProSuf .Machines with profit. It will eliminate peaks and bottlenecks, and keep an even flow o f work going to all departments from the time the bank opens until it closes. For fuller description o f this, and all the other National Accounting Machines expressly designed for bank use, ask your local National representative for your copy o f the handsome and helpful illustrated 64-page booklet shown below. Or, write to The National Cash Register Company, Dayton 9, Ohio. Sales and Service Offices in over 400 cities. REGISTER COMPANY, B o o k le t describes rhe services o f each o f the National line. Shows how they can speed work in every department o f your bank. Ask your local National representative to bring you your copy. You 11 find it informative and helpful. Have it handy when accounting problems arise. A N e w , Illu s t r a t e d , 6 4 - P a g e https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DAYTON 9, OHIO Q/fratlonal CASH REGISTERS’ ADDING MACHINES ACCOUNTING MACHINES Northwestern Banker, O ctob er, 1948 12 F ield Warehouse Receipts SOLVE THE PROBLEM of the ever increasing demand for F IN A N C IN G in connection with increasing IN VEN TORIES. ★ ★ ★ ★ ★ ★ ★ FIELD W A R E H O U S E RECEIPTS, issued by W ILLIA M H. BANKS W A R E H O U S E S , IN C., representing inventories stored R IG H T O N THE B O R R O W ER 'S O W N PREMISES, furnish Banks with SA FE and SO U N D C O L L A T E R A L to inventory Ioans, with a minimum of inconvenience to the Borrower and maximum pro tection for the Bank. ★ ★ ★ ★ ★ ★ ★ Dave Coffman and Jim Fletcher will be attending the IO W A BANKERS A S S O C IA T IO N M EETIN G at Hotel Fort Des Moines, Des Moines, Iowa, on O ctober 24th to 27th, and will be very happy to discuss our service with you in person. They will ap preciate the opportunity of a visit with you. ★ ★ ★ ★ ★ ★ ★ Division Offices: DES MOINES, IOWA ANGOLA, INDIANA • • ST. LOUIS, MISSOURI MADISON, WISCONSIN WESLACO TEXAS • GRAND RAPIDS, MICHIGAN • FAYETTEVILLE, ARKANSAS WILLIAM H. BANKS WAREHOUSES ( I N C . ) 2 0 9 SO. L A S A L L E ST., C H I C A C O . ILL. m ^ ¿e l i i IVaAeiuruAe 'R exxip ti B n id q in q . THE CAP B etw een BANKING and INDUSTRY Nort hwest ern Banker. O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O N T H E C O V ER A new president and vice president of the American Bankers Association were elected for the year 1948-49 at the closing session of the 74th Annual Convention. Evans Woollen, Jr., was elected to the presidency, having served in the post of vice president during the past year. Mr. Woollen is chairman of the board of the Fletcher Trust Company, Indianapolis, Indiana. F. Raymond Peterson, chairman of the board of the First Paterson Na tional Bank and Trust Company, Pat erson, New Jersey, was elected vice president. At a meeting of the Executive Coun cil of the Association, following the close of the convention, Frank P. Powers was re-elected treasurer of the association. Mr. Woollen was educated at Hotch kiss School and Yale University, re ceiving his A.B. degree from Yale in the class of 1920. During World War I he served as second lieutenant in the 73rd Field Artillery. He started his business career in 1920 as a bank clerk, being identified with Fletcher Trust Company since that time. In 1935 he was elected president and a director of his bank. He was ad vanced to chairman of the board in January, 1948. He was vice president and director of the Fletcher Joint Stock Land Bank from 1935 to 1943. Since 1942 he has been vice president of the Indianapolis Clearing House Association. He is a director of the State Life Insurance Company of In dianapolis. Mr. Peterson began his banking ca reer in the State Bank of Girard, Kan sas, in 1914 while attending high school in that city. From 1917 to 1919 he served as a lieutenant in the Fi nance Department of the U. S. Army. Returning from military service he became a Kansas state bank examiner in 1919. Later in 1919 he became cash ier of the First State Bank at Chero kee, Kansas. From 1922 to 1935 (except 19271928 when he was vice president and cashier of the Citizens National Bank, Okmulgee, Oklahoma), he was nation al bank examiner in the tenth, eighth, eleventh and second Federal Reserve districts. In 1936 Mr. Peterson was elected executive vice president of the First National Bank of Paterson, Paterson, New Jersey, and the following year was advanced to the presidency of that institution. In 1942 he assumed the title of chairman as well as that of president. Upon the consolidation of the First National Bank and the Paterson National Bank on June 1, (Turn to page 103, please) https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DES MOINES O ldest Financial Journal West of the Mississippi • 53rd Year • N o. 735 IN T H IS O C T O B E R , 1948, ISSU E EDITORIALS Across the Desk from the Publisher.................................................. 14 FEATURE ARTICLES On the Cover...................................................................................... 13 Frontisp'age ............................... 16 Should the Government Continue to Support Farm Prices?............. .............................................. A N o r th w ester n B a n k e r Survey 17 What Bank Customers Say About a 5-Day Week................. .......... ...... ....................................A N orth w estern B a n k e r Survey 18, 19 Bankers Welcome Return of Regulation W....................................... ................................................A Northwestern Banker Survey 20 Cigarette Currency ..................................................Talbot Peterson 21 How a Minnesota Banker Fights Communism................................... 22 How Bankers Would Reduce the High Cost of Living...................... ................................................ A Northwestern Banker Survey 23 News and Views of the Banking World.....................Clifford De Puy 24 Bankers You Know—Ralph R. Brubacher......................................... 25 What Will Happen If We Have War—or Peace..... Beardsley Ruml 26 Purchase Price of Property Is an Income Tax Deduction—Legal 28 BONDS AND INVESTMENTS Lower Prices for Bonds Are on the Way..............Raymond Trigger 41 Iowa Investment Bankers Field Day...... :.......................................... 45 Inflation and Its Causes.................................................................... 46 INSURANCE Do You Want to Manage Your Own Agency?........................ .......... .................................................................. Bert A. Hedges, C.L.U. Stability Through Life Insurance................................... .................. What Group Insurance Does............................................................ Liability Coverage for Doctors.... .................................................... 53 55 56 62 STATE BANKING NEWS Minnesota News ................................................................................ Twin City News........................................................................... South Dakota News........................................................................... Sioux Falls News....................................................................... North Dakota News....... .......... Nebraska News .......................................................... Omaha News ............................................................................... Stage Columbus Parade .............................................................. Bank Check on a Post Card........ ............................................. . 65 68 71 72 73 75 76 78 80 IOWA CONVENTION SECTION The Iowa Convention........................ Directors Meeting in Des Moines....................................................... The Executive Committee for the Iowa Convention.....................94, Other Convention Committees............................... They Will Attend the Iowa Bankers Convention.............................. Banks Promote Soil Conservation.................................... Coin Collectors’ Column...................................................... 83 90 95 95 99 IN THE DIRECTORS' ROOM A Few Short Stories to Make You Laugh....................................... 114 Conventions ........................................................................................114 NORTHWESTERN BANKER 527 Seventh St., Des Moines 9, Iowa, Telephone 4-8163 CLIFFORD DE PUY RALPH W. MOORHEAD P u b lis h e r Associate Publisher HENRY H. HAYNES BEN J. HALLER, JR. MALCOLM K. FREELAND Editor Associate Editor Associate Editor ELIZABETH COLE HAZEL C. HADLEY SADIE £. WAY A dvertising Assistant Auditor Circulation Department PAUL W. SHOOLL JOSEPH W. FRANKS Field Representative Field Representative NEW YORK OFFICE Frank P. Syms, Vice President, 505 Fifth Ave., Suite 1806 MUrray Hill 2-0326 DE PUY PUBLICATIONS: Northwestern Banker, Underwriters Review, Des Moines Insurance Directory, Iowa-Nebraska Bank Directory. Northwest ern Banker, O cto be r, 1949 110 112 14 the Russian plan of life under Communist control is so beautiful and so lovely and so delightful and so filled with the very atmosphere of a “ happier future world,” then why in the name of all that is holy, or perhaps we should say unholy, don ’t you go to Russia to live ? (Dswm, WjaplsL J. cHoaL: Chairman, Federal Deposit Insurance Corporation A c ro s s th e D e s k F ro m th e P u b lis h e r (Dsiwe (HsuvhdL QoJw am l : The “red” dean of Canterbury, England It has always been surprising to us, Dean, that a man of your intelligence and educational back ground should be such an 'avowed advocate of Communism. Communists everywhere are endeavoring to destroy every form of religion, whether Catholic or Protestant, and we should think that you, of all men, would be lighting what Communism stands for in every nation where it exists or where it is endeavoring to get a foothold. With this in view, we read with great regret your statement, “ Russian Communism has doubtless made many mistakes and done many things I could not have approved, but in general they are working toward a happier future world.’ ’ Does confinement of their own people in con centration camps mean a happier future world?’ Does a secret police where even sons spy on fathers mean a happier future world? Does ruling by force and intrigue mean a hap pier future world? c” Does the elimination of political opponents by murdering them mean a happier future world? Does elimination of churches and religion mean a liap'pier future world? ' No, never. As Mho N orthwestern B anker has said many times before, Dean, to men of your kind, that if Northwestern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis It is gratifying to know that the F.D.I.C. has recently made a final payment of $12,600,000 to the United States Treasury, thus repaying all the money which was originally advanced to the corporation including $150,000,000 from the United States Treasury and $139,000,000 from the 12 Federal Reserve Banks. In addition to this, your corporation now has a capital and surplus of over 1 billion dollars. This 15-year record is certainly an excellent one and indicates the sound and healthy condition of the 13,600 member banks. Although these mem ber banks have now paid back all of the capital funds to the government, they do not have any claims on this capital even though it was original ly contributed by them. Through the 15-year period since the F.D.I.C. has been in existence, banks have paid of 1 per cent of tlieir total deposits for insurance protection. Your corporation, Mr. Harl, has also met all of its operating expenses and its losses which have been somewhat less than 80 million dollars with out receiving any additional assistance from the United States Government. In your annual report which you have just issued for the year ended December 31, 1947, you point out that, “ In about one-fourth of the 404 closed banks to which the corporation has ex tended aid to protect depositors, defalcation has been the principal cause of failure. Banks are urged to provide more adequate fidelity bond protection against defalcation.” Also, in your report on page 20, you state, “ A survey by the Corporation, covering over 70 per cent of the insured banks, indicated that roughly half of the banks, on the dates of their 1947 exam inations, had less than the minimum blanket bond coverage suggested by the American Bankers Association, while only one-fifth had the fair amount or more. The situation at the close of the year was better. Banks which had low coverage when examined generally made appropriate in creases during or following the examinations. The Corporation expects to make a complete sur vey of blanket bond coverage in effect as of 1948 examination dates in relation to the amounts sug gested by the American Bankers Association.” In a few cases the N orthwestern B anker has found objections to this plan of requiring banks to increase their blanket bond coverage as out 15 lined by the A.B.A. and urged by your corpor ation. The Illinois Banking Department has opposed the idea to standardize bank fidelity insurance, and Arthur C. Lueder, auditor of public accounts, said recently, “ We have in Illinois over 500 state chartered banking institutions. No two of them are alike. Each one of them differs in some re spect from all the rest. We feel it our duty to respect the individuality of each bank rather than deal with it as a mere unit in a system. We all know that fidelity risks vary among banks just as credit risks vary among borrowers.” It is our belief, Mr. Harl, that in spite of some criticism of the recommendation to increase the fidelity coverage in banks, that most institutions believe it is “ good business” to carry adequate coverage. Since the Government no longer has any money invested in the F.D.I.C., and since the 13,600 member banks now own the Corporation even though they do not control it, the N orthwestern B anker believes that member banks should be treated as partners, and not as a branch of a Gov ernment bureau, as has been the case in a few instances where examiners have been autocratic and dictatorial rather than cooperative and help ful. According to the report of the “ Hoover Com mission,” it suggests that the F.D.I.C. should be operated as a special trust fund within the Treas ury and that the Federal Reserve Board accept responsibility for bank examination and super vision. It remains to be seen whether this plan is adopted. (Dsuah. (Zk.. tfLufiu- S- Economist for General Motors Corporation For those of us who try to interpret the eco nomic trends and “ What lies ahead” we some times have difficulty in making the various opin ions of you experts fit into a general trend. Recently, Dr. Tucker, you said that you were “ getting more and more scared every day, and that the greater the delay in stopping the boom, the greater the danger of a more serious reces sion.” It certainly seems to us that of all the econo mists in the United States who should not be scared you would be the one, due to the tremen dous backlog of orders of the General Motors Corporation. In a recent bulletin of the Cleveland Trust Company they pointed out that, “ As long as the automobile, steel and building industries are all operating at or near their present high levels, the https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis appearance of any serious business recession is very unlikely. On the other hand, if the volume of business in all three should drop off substan tially, a recession would be virtually certain. This is more in an optimistic vein, and since at the moment the automobile, steel and building in dustries are going at top speed, it is hard to see how any recession is likely to take place in the very near future. (D s w o ffo k n , C - J h o m f i i J O f L : President, Mortgage Bankers Association of America According to the annual survey of your Mort gage Bankers Association of America, which you made recently, the total mortgage debt of the United States increased from $34,720,784,595 in 1946 to $44,069,054,006 December 31, 1947, a gain of nearly 27 per cent. This mortgage debt at the end of 1947 was held by various institutions as follows : 1. Commercial and Savings Banks, $14.2 Billion, 32 per cent of total. 2. Mortgage Companies and individuals $10.2 billion, 23 per cent of total. 3. Savings and Loan Associations, $9.0 billion, 20 per cent of total. 4. Life Insurance Companies, $8.5 billion, 19 per cent of total. Fraternal societies held less than 1 per cent of the total. Your report, Mr. Thompson, also indicates that comparing 1946 with 1947 : 1. Mortgage holdings of commercial banks in creased 40 per cent. 2. Life Insurance Companies holdings increased 13 per cent. 3. Mutual Savings Banks holdings increased 3 per cent. 4. Individual lenders holdings increased 10 per cent. Only savings and loan associations showed a lower rate of increase in 1947 according to your records. We were also interested to read that, “ The volume of veterans’ loans held totalled $6,460,530,000 or 15 per cent of the mortgage debt, and the volume of FHA loans was $4,315,530,000 or 10 per cent.” Certainly there should be no “ jealousy” on the part of banks as to other competition in the mortgage field since they still “ top the list” with $14.2 billion in loans or 32 per cent of the total. Northwestern Banker, O c to b e r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 17 Should the Governm ent Continue to Support Form Bankers Express Difference of O pinion On This Im portant Q uestion A NORTHWESTERN BANKER Survey T THE last session of Congress it was voted to extend through 1949 the present support of farm prices at 90 per cent of parity. The public is beginning to resent maintenance of farm prices at a com paratively high level, funds for which are obtained through Federal taxa tion, which at the same time the consumer is forced to pay high prices for his food. To ascertain how the banker feels about it, the N orthwestern B anker asked the following question of a number of bankers in its territory: A “In your opinion, should Govern ment support he reduced to some lower percentage of parity, or perhaps be removed altogether? How would such changes affect your business and that of your customers? Would infla tion be affected?” Bankers replying to the above ques tion seem to be about evenly divided in their opinions as to whether or not parity should be reduced or elimi nated. Here is what they say: L. SKJELSET, president, the First National Bank, Bowbells, North Da kota: “ I know of no good reason why sup port of farm crop prices should be re duced below 90 per cent of parity. The high prices the consumer pays now are not caused by the prices paid to farmers. The housewife pays the same price for a loaf of bread now as she did when wheat was a dollar a bushel higher than it is now. “The prices that the farmer has to pay for farm machinery is away out of line with what he receives for crops. I can remember when my fa ther paid $85 for a binder and received 75c to 80c per bushel for wheat. The farmer now pays $500 for a binder and receives about $2 per bushel for wheat. It took just a little more than 100 bushels of wheat then to buy a binder, and now it takes 250 bushels. “ It is my candid opinion that if the so-called farm program is abolished, agriculture will sooner or later run into serious trouble and we will all suffer with the farmer.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis JULIAN FROST, vice president, De catur County State Bank, Leon, Iowa: “ In my opinion, the government support program s h o u l d not be thrown out the window merely be cause the things farmers must buy have risen to such an extent that the program places the things he sells on a much higher plane. In other words, if the plan was sound and equitable at the time it was originally initiated, it is sound and necessary today. “ I am certain that the average farm er’s margin of profit in 1947 and 1948 is much less than it was during the early years of World War II, even though the price level was much low er at that time. “Have you priced a new tractor, binder, combine, manure spreader, or any other machinery lately? Compare these prices with those of 1941. Also, compare 1941 wages with those pre vailing in 1948. “ I agree that we have an inflation problem, but knocking farm prices down to prewar levels and leaving wages and the general price level on the present basis is not the answer.” JOHN N. THOMSON, president, the Bank of Centerville, Centerville, South Dakota: “ Support programs for farm prod ucts were necessary during the war to assure farmers against a disastrous price drop following termination of hostilities. Supply and demand kept the prices of farm commodities and livestock generally above the support levels until recently, so that as yet the government has spent very little to stabilize prices excepting for some few commodities like potatoes. “There is considerable merit to the theory that elimination of price sup ports and loss of the purchasing power of the farmers would mean loss of markets for the products of the fac tories and unemployment on a large scale with a resultant economic de pression of serious proportions. “Although some political influences were no doubt present, I believe Con gress felt that continuation of the price supports was more beneficial to the economy of the entire nation than its cost to the taxpayers. I also be lieve that Congress recognized that the present 90 per cent of parity sup port program is not the final solution and that a revision somewhat like the long range flexible support plan des ignated to be effective in 1950 should be effected. No doubt further revi sions will be enacted before that time. “ Stability of the general price level, for both the products of the farm and of the manufactured goods which the farmer buys, should be the goal of any program enacted by Congress and would result in the greatest benefit to both consumer and producer alike. “ Obviously stability of production of farm products is practically impossible because of so many variable and un controlled factors that enter into the final production, such as the weather and the large number of individual farmers, each with his own plan of production. “ Regimented plantings and controls of individuals are not desirable. There fore, some flexible plan of subsidized price supports seems inevitable. The perfect plan has not yet been devised, but the problem is being given serious study and progressively better pro grams should evolve.” JOE R. TURNER, cashier, Mason State Bank, Mason City, Nebraska: “ Price support is necessary only as long as our labor laws allow unions to build a wall that prevents or hin ders the farm boy from competing for any or all jobs. “Prosperity depends upon a well balanced income to all workers and a fair price for all commodities. Thus the worker must be able to shift from one industry to another in order to keep wages and production in the proper balance.” SAM FREDERICKSON, ca sh ie r, First State Bank, Okabena, Minne sota: “ In my opinion, the government support of parity prices should be re(Turn to page 48, please) Northwestern Banker, O c to b e r, 1948 18 W hat Bank Customers The Banking Public On This Highly Special Survey By 37,4% Saif Yes N RECENT months there has been a growing amount of discussion throughout the United States re garding the 5-day business week. Quite naturally, the question of whether bank custom ers w ant a 5-day bank w eek also has been raised. To find out h ow bank custom ers in the m iddlew est feel on this im portant question, the N orthwestern B anker, I as a service to its 10,000 banker read ers, has just completed a survey among bank customers in Iowa, Min nesota, Nebraska, North Dakota and South Dakota, asking them, “Do you think banks should be authorized to operate on a 5-day week?” Several other questions related to this subject also were asked. CHART NO, 1 "Do you think banks should be authorized to operate on a 5-day week?” Combined Results Yes 37.4% 5-STATE AVERAGE No 62.6% Yes 47.6% No 52.4% CITY Because of many differences in prob lems of city and country banks, certain aspects of this survey bring out marked variations. For that reason, Charts 1 and 2 give the vote in cities (which for the purpose of this survey have been classified at 35,000 or more) and in the country (which includes county seat towns and smaller rural areas). Breakdown COUNTRY No 71.6% CHART NO. 2 'Do you think banks should be authorized to operate on a 5-day week?” Results by States || Yes 40% IOWA City— Yes 53% No 47% MINNESOTA No 60% Country— Yes 28.5% No 71,5% ||||||||||||||||||||||IIIIIIIIIIHl|l yes 49% ■ ■ ■ ■ ■ ■ ■ ■ No 51% City— Yes 65% No 35% Country— Yes 38% No 62% NEBRASKA iimilllllllllllHIHHI Yes 32% n© City— Yes 38% No 62% NO. DAKOTA IIIIIIIIIIIIIIIIIIIIIIIHII Yes 37% City— Yes 50% No 50% SO. DAKOTA IHIIIIIIIIIIIIIIIIIIH Country— Yes 28.7% No 71.3% No 63% Country— Yes 21% No 79% Ves 29% no City—Yes 32% No 68% N orthw estern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Country— Yes 26% No 74% The answers to the questions on this survey (presented in chart form below for easy comparison), indicate that bank customers throughout this sec tion of the country are opposed to a 5-day week for banks. The tabulated results show 62.6 per cent of bank customers voting “No” and 37.4 per cent voting “Yes.” A breakdown of this five-state average gives an almost even vote in cities, 47.6 per cent voting in favor of a 5-day bank week and 52.4 per cent against it. The vote in smaller towns is 28.4 per cent favoring a 5-day bank week, but 71.6 per cent opposed to such a move. In considering the practicability of the 5-day bank week in the middlewest, one major factor must be taken into consideration, as brought out by the many comments received in the survey. The middlewest is primarily an agricultural area, and, as such, it is necessary that a large percentage of the population of this section devote a great deal of its time to the valuable farming industry. The farmers’ busi ness, and the affiliated businesses that supply needed goods and services, do not operate on the same basis as busi ness in industrial centers where fac tories can be started on Monday morn ing and shut down on Friday night. In the latter instance, agreements be tween employers and employes de- 19 Say A bout a 5 -ih iy W eek Gives Its Views Important Subject The NORTHWESTERN BANKER OS.«% Saif N o termine how long production hours will he. In the case of the middlewest’s biggest business—fanning— there is no compromise. Mother Na ture rules the roost and from early spring until late fall the farm business and affiliated businesses have to keep in step. Use of modern equipment and machinery has modified this more in recent years, and may continue to save more and more time in the fu ture. But right now, it looks like Saturday is still a big day in the middlewest, according to survey re plies. Saturday Closing Bearing this out is Chart No. 4 which shows replies to the question, CH A RT NO. 3 “Would you be inconvenienced if your bank closed all day Saturday?” The week- undoubtedly revolved around the employe problem. answer was an affirmative vote of 66.2 per cent. The second part of Chart No. 4 gives replies on the question, Night Depository “Would you be inconvenienced if your bank closed a half-day on Saturday?” Here the bank customers voted 83.8 per cent in favor of Saturday after noon closing. It is interesting to compare this new survey with one on the same question which the N orthwestern B anker made among bankers in the same five states 18 months ago, the results of which appeared in the May, 1947, N orth western B anker. Bankers in these five states voted 58 per cent in favor of a 5-day bank week and 42 per cent against it. The reason for this vote by bankers in favor of a 5-day bank Another question in the bank cus tomer survey was, “Does your bank provide an after-hours depository?” The bank customer was asked to check “Yes,” “No,” or “Don’t Know.” The answers were so varied, and since some of the towns surveyed evidently had no night depositories, it would not give an accurate picture to chart these replies together. The individual per centages by states under the “ Don’t Know” heading might give bankers an idea, however, as to how well their cus tomers are aware of one of the bank’s impoidant services: (Turn to page 103, please) ''/ire the Present Hours of Your Bank Satisfactory to You?" CH A RT NO. 4 Yes 91% Part I "Would you be inconvenienced if your bank closed all day Saturday?" 5-State Average Iowa Minnesota Nebraska North Dakota South Dakota Yes 66.2% No 33.8% Yes 66% 54 68 67 76 No 34% 46 32 33 24 Part II = = No 9% 1 I 5-State Average low a Minnesota Nebraska North Dakota South Dakota https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 91% 9% 94 6 94 6 93 7 83 17 "Would you be inconvenienced if your bank closed a half-day on Saturday?" 5-State Average Iowa Minnesota Nebraska North Dakota South Dakota Yes 16.2% No 83.8% Yes 16% 8 20 18 19 No 84% 92 80 82 81 Northwestern Banker, O cto be r, 1948 20 Rankers W elcom e Return o f Regulation 11 Installm ent Loan D epartm ents of Banks W ere C o n se rv a tiv e ly O p e ra te d W ithout any Regulation A NORTHWESTERN BANKER Survey HE return last month of Regula tion W to the installment lending field will have little effect on the operation of such departments in banks, according to results of a sur vey of the subject just completed by the N orthwestern B ank er . Rankers were asked this question: T “ How will the resumption of Regu lation W affect the activity of your installment loan department? Are you in favor of its return? Almost without exception, bankers replying to the question said that even though the regulation had been re moved several months ago. they had continued to operate their installment loan departments on a conservative basis and in keeping with the former Regulation W requirements. Their comments are as follows: M. J. McGILLIYRAY, vice presi dent, Citizens State Bank, Clark. South Dakota: “ We will scarcely notice Regula tion W going into effect. In fact, so far as we are concerned, and all the local automobile, appliance and fur niture dealers are concerned, the down payment as required under old Regu lation W was being followed very closely in making installment con tracts. “The public has been pretty well educated to the provisions of the reg ulation and seemed always to have enough to make the down payment, even though the regulation had been dropped.” L. R. GILLETT, president, National Bank of Norfolk, Norfolk, Nebraska: “We do not feel that Regulation W will affect our installment loan activ ity in any appreciable volume. Since the war we have insisted on as much down payment as the new regulation provides for, and adhered to the terms. “Yes, we are in favor of the return of the regulation and feel that the down payment should have been made a little stronger in most instances.” W. A. GARRETT, cashier, Farmers & Merchants State Bank, Preston, Minnesota: “This new ruling will not affect our bank. Though the old Regulation W was eliminated, we considered it sound banking to follow the same re quirements; hence, very little, if any, change in complying with the new requirements.” J. A. NELSON, president, Farmers State Bank, Luverne, Iowa: “While we dislike very much to be bothered with it, we believe that as long as production has not caught up with demand, Regulation W is a necessity, and we believe that it might be of some assistance in curtailing inflation.” AUTOMOBILE LOANS —Bankers are not wor rying' too much about what will happen to their ;tuto installment loans with Regulation W effective. They have been operating on a one-third down-payment basis, believing this to be in keeping with sound banking practice. Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C. A. GOLDEN, vice president, Northwest Security National Bank, Dell Rapids, South Dakota: “ It is our opinion that the regula tion will lessen the sales to the group of purchasers who do not now have sufficient cash available to make the required increased down payment, which is better for all concerned un der existing conditions.” FIRST STATE BANK, Har v e y, North Dakota: “We have been requiring the 25 per cent down payment on smaller items and have been getting the one-third payment on cars, so the ruling will not affect us.” A. H. BRUN1NG, cashier, Mapleton Trust & Savings Bank, Mapleton, Iowa: “ We will not be affected by Regula tion W to any degree, since we have generally followed the plan as origi nally set up.” MARIE BECHTEL, cashier, the Bank of Cresbard, Cresbard, South Dakota: “ We think Regulation W is a good measure to follow when going into reversed conditions: however, it will affect us very little, as our loans are short term. “The resources of the territory we serve arrive from grain and livestock mainly and, due to the upward trend in the past few years, the farmers, as well as the laboring class of people, are in a much better financial condi tion, operating on their own resources. “Our loans are short-term single payment; therefore, Regulation W will not affect the activity of the install ment department.” JESSE OLSON, president, the State Bank, Redwood Falls, Minnesota: “We do not expect Regulation W to affect our installment loan depart ment. Our operations in the past have been within the limits of the regulation, even though the regulation (Turn to page 51. please) 21 ( hjavvUv t'nrnm eu By TALBOT PETERSON Appleton, Wisconsin ONEY has been defined as any thing which is universally ac ceptable in final payment for goods or services. The American In dian used wampum or shells; gourds were used at one time in Haiti, and M MILITARY GOVERNMENT - GERMANY LAW No. 51 C U R R E IS rC Y MILITÄRREGIERUNG - DEUTSCHLAND Kon»rollgebiel des Obersten Befehlshabers G e s e t z N r. 51 Währung M ilita ry G overnm ent C urrency poster issued in Germany No. 51 E ditor’ s N ote: For some time a strange form of monetary exchange, which the Northwestern Banker has called “ Cigarette Currency,” has been la use in many European countries. Believing that Northwestern Banker readers would be interested in the experiences of one army officer in using this “ c u r r e n c y w e asked Talbot Peterson, son-in-law of Clifford De Puy, publisher of the Northwestern Banker, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis in some countries in the past, cattle were used as a medium of exchange. Ever since t h e Western Allies stormed ashore in Normandy in June of 1944, something as strange as wam pum or gourds has become the unoffi cial medium of exchange in many European countries. It is grown in the American South East, packed in groups of twenty and named Chester field, Old Gold or Camel. It is the tiny, but mighty cigarette. It played an important role during the war, but an even more important one during the now present cold war. To understand this strange faith and trust in the tiny cigarette as a form of exchange you must consider the situation in countries that barter with them. In France, the money printed by the Germans was not trusted or supported by the French people. When the Western Allies arrived they came with their own printed money, known as invasion francs. There fore, you had money in France printed in three different ways and by three different powers. The French printed money, the German printed French m o n e y and the American-British printed French money. When we first landed in France aft er the invasion, we found that certain sizes or types of French money were not trusted by the French people. to tell us what he knew about this strange “ tobacco exchange” system. First Lt. Talbot Peterson enlisted in the Army ^January 1, 1943, and was appointed to OCS (infantry). He served in Europe with the 38th In fantry of the 9th Division. Took part in the Normandy, Northern France and Rhineland Campaigns. He was wounded twice, and on limited duty served in Troop Movements at Le For example, for no reason, in parts of Normandy the French shopkeeper would not accept Allied printed five franc invasion notes. It has been said that without a firm established LT. T A L B O T PETERSO N “ C igarettes had a quoted value like A. T. & T. on the stock m arket.” form of money, that the people trust, they will exchange commodities and services for other commodities and (Turn to page 38, please) Havre, France. Was awarded the Bronze Star, Army Commendation Ribbon, Combat Infantry Badge, Unit Citation and Purple Heart with Clus ter. At present he is commanding officer of the 85th Mechanized Cav alry Reconnaissance Troops of the Army Organized Reserve in Appleton, Wisconsin, and. is Assistant Personnel Director of the Valley Iron Works in A ppleton. Northwestern Banker, O cto be r, 1948 22 Hoir a M in n esota Hanker Filili Is I oin in a a ism He Pulls No Punches in His Battle for Freedom of Living and Free Enterprise w o o d w a r d , execu tive vice president of the Colum bia Heights State Bank, Minne apolis, Minnesota, doesn’t like com munism. Now that, in itself, is not uncommon. A lot of other Ameri cans share his dislike. But what is un usual in Mr. Woodward’s case is that he’s turning his aversion to a foreign ideology into an informative service and at the same time building up good will for his bank. It all started when Mr. Woodward, glancing through his evening paper, saw something that startled him. The Minneapolis Chamber of Commerce, composed of hard-headed business men, had very nearly adopted a reso lution supporting the proposed Mis souri Valley Authority, he read. Co lumbia Heights is a suburb of Minne apolis. The banker brought his feet down with a jar. When a conservative or ganization such as the chamber had almost sided with proponents of what he considers a communistic plan, something ought to be done, he de cided. So he hit upon an idea. Readers of the Columbia Heights Record, a community weekly newspa per, soon began noticing a kind of erbert H No. 8 o f a series on com munism by Herb Woodward. V. P- W c Don’t W ant Communism - So Let’s Not Adopt It Piecemeal! If, step by step, the government jroes into business and drives out private enterprise, we soon become a Communist state. Liberty goes out the window. Dictatorship takes over. The bureaucrats become auto crats. The Freedom which Wash ington and Franklin and Jefferson fought for is lost. L E T S START CURBING THE BUREAUCRATS AND DO-GOOD ERS. Let’s cut our taxes and pay our debts and get back to the American system of Free Enterprise. COLUMBIA HEIGHTS STATE BANK INDEPENDENT AND OWNED AT HOME DEPOSIT HERE AND WE USE THE MONEY TO BUILD THIS VICINITY . MEMBER FD1C. advertisement most of them had never seen before. Briefly, with plenty of punch, the ads pulled the rosy veil away from communism and told the readers, in understandable language, about their banker’s opinion of such a doctrine. The first ad ran back in April. They’re still going strong. Every week in the Record, Herb Woodward —as the ads identify their author in homespun familiarity — has been ex posing popular fallacies concerning communism. He’s been warning his readers how communism bores from within. He’s been proving to them the uncontestable superiority of the American way. “As we all know,” Mr. Woodward explains, “communism is becoming a terrible menace in this country. A lot of unthinking people, including busi ness men, are being led astray from the American system of government by communistic propaganda. “ For instance, I think it is safe to say that 80 per cent of the American people think that the Tennessee Val ley Authority (TVA) is a fine thing. This is because of propaganda put out by paid government bureaucrats. by Herb Woodward, V. P. No. 5 of a series ' THE WORLD'S HIGHEST W AGES Is W h a t T h e C o m p e titiv e S yste m G iv e s A m e ric a STARVATION WAGES IS WHAT COMMUNISM LIVES RUSSIA. “Yet TVA pays practically no inter est nor taxes. In general, it costs U. S. taxpayers millions of dollars to give Tennessee people low power and light rates. Nobody has been publicizing this side of the picture. “ It is time, I figured, that business men and other patriotic people awoke and started putting out facts to offset misinformation given out by bureau crats.” Mr. Woodward figured his adver tisements, if they were to succeed, would have to be brief, snappy and readable. “We all know,” he smiles, “that most of us are headline readers. I keep that in mind.” One of the headings asked: “ If com munism helps the workers, why does Stalin have more secret police than the czar ever had?” Another pointed out: “America has freedom. Freedom brings competi tion. Competition leads to progress.” Mr. Woodward enlarges on the lat ter point: “ They call our system capi talistic. The correct name is competi tive. Russia has capitalism. There the government owns the capital and the bureaucrats manage it. Here the (Turn to page 52, please) No. 4 of a series on communism by Herb Woodward, V. P. The Competitive System Under American Freedom «ives Us 75% OF THE WORLD’S AUTOS. WE WORK 7 MINUTES TO EARN A LOAF OF BREAD. RUSSIANS WORK 70 MINUTES. WE WORK 10 MINUTES FOR A QUART OF MILK AND RUS SIANS 78 MINUTES. A WOOL SUIT IS WORTH 28 HOURS HERE AND 580 HOURS THERE. OUR WORKERS CAN BUY 10 TIMES MORE WITH THEIR WAGES THAN RUSSIANS. IS IT ANY WONDER OUR PEO PLE DON’T FALL FOR COM MUNISM, GOVERNMENT OW N ERSHIP AND BUREAUCRACY? m COLUMBIA HEIGHTS STATE BANK ___ PAY YOUR TAXES AT THIS BANK 80% OF ITS BATHROOMS AND FURNACES AND 60% OF ITS TELEPHONES. OUR POPULATION OF 6% TURNS OUT 36% OF THE WORLDS PRODUCTION. 30 YEARS OF COMMUNISM IN THE WORLD’S LARG EST AND RICHEST COUNTRY HAS GIVEN RUSSIA LESS THAN 2% OF THE AUTOS, BATHROOMS. FURN ACES AND PHONES. COMMUNISM, MEANING GOV ERNMENT OWNERSHIP. BRINGS INEFFIENCY. RUSSIA EVEN HAS TO IMPORT FOOD. HER BEST MACHINES ARE NEARLY ALL IMPORTED FROM AM ERICA OR COPIED FROM OURS. Next week we will compare Russian and American wages. COLUMBIA HEIGHTS STATE BANK HOME TOWN PRIVATE ENTERPRISE bank, we w ant your OWNS THI> b u s in e s s . FAVORABLE RESPONSE—A bove are reproduced three of a series of advertisements which the Columbia Heights State Bank has sponsored in its local newspaper. There has been a large response to the series of ads— while a few individuals took exception to the copy, a large majority of the reaction was favorable. Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BEEFSTEAK ON THE HOOF— At 40 cents a pound, the cattle in the above picture represent a small fortune for the farmer who owns them. Prices w ill continue high until cattle become more plentiful and the corn they eat becomes cheaper. Hotr H ankers 11 on id H ednee The Hif§It Cost o f Lirintg E x cessive Public Spending Blamed for P resent Inflationary Conditions A NORTHWESTERN BANKER Survey HE people who are complaining most about the high cost of living, the general public, are the very ones who are causing it, according to views expressed by bankers respond ing to a N orthwestern B anker survey on the question: T “ If you had the authority to art, and were in a position to do so, what meth ods would you employ to reduce the high cost of living'?” While excessive government spend ing is cited as one cause of high liv ing costs, most bankers feel that the public is largely to blame for the high prices it pays for goods and services. One banker suggests that the public be forced to buy government bonds, depending on individual incomes, thereby draining off the purchasing power that is now being used to l id prices higher and higher. Bankers answer the question as fel lows: W I L L H. L A N E , president, Security Savings Bank. Marshalltown, Iowa: “ Many factors are responsible for the high cost of living. Quite obvi ously the supply of money (and bank deposits) has been, and still is, in ex cess proportion to production of de sired goods. Our annual production is now running about five times annual consumption which should, devoid of political juggling, bring about a bal https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ance within the next two years. The price of agricultural products will be the first evidence of that change. Had it not been for the rearmament pro gram and the Marshall Plan this change would be in real evidence now. We must reduce the cost of govern ment, which will in turn permit oper ation of our economy on a basis of lower prices.” E. .1. GRABER, cashier, Farmers State Bank, Marion, South Dakota: “ I believe the black market is the biggest curse that ever hit our coun try and is a big factor in upping the prices, especially on cars and farm commodities. Severe penalties should be imposed on anyone buying or sell ing any commodity at premium prices.” PETER EG INTON, III, president, Bank of Paxton, Paxton, Nebraska: “We believe the high cost of living can best he reduced by the public it self. By a general refusal to buy any thing—farm machinery, autos, etc.— except the necessities — that is too high, or marked up, we believe we would soon reach a stabilization of prices, and a fairer ratio between the prices of various commodities and ar ticles, or at least one that would cer tainly resemble what we formerly believed was fair and just.” G. H. CLARK, president, Commer cial State Bank, Marshalltown, Iowa: “ Farm price supports should be greatly reduced or eliminated. Or ganized strikes should be outlawed and picketing should forever be elimi nated by legal action. Employers should run their own business. Gov ernment expense should be greatly re duced, both state and national. The U. S. government should retire from the loaning field; there is too much dependence upon government support. Taxes should be reduced by reducing expenses. The state of Iowa should waive collection of state income tax.” B. B. HOBSON, cashier, Blaekpipe State Bank, Martin, South Dakota: “Why not a bill to restrict the pur chasing power of the entire income tax paying public? Force the pur chase of U. S. government bonds, in amounts depending on income, and in rates according to the amounts pur chased, corporations included.” L. W. BARNES, cashier, McClelland Savings Bank, McClelland, Iowa: “Bend every effort to stop the wave of strikes, increasing wages, etc., which all lead, to an ever-increasing spiral of higher prices on all com modities.” (Turn to page 44, please) Northwestern Banker, O c to b e r, 1948 24 Neim and Views OF THE BANKING WORLD By C L IF F O R D DE PUY, Publisher prompted by the many inquiries from member banks seeking a simple method of determining monthly earn 1. Sales of Savings Bonds for Jan ings on installment loans. Some of uary through July 1i)48 were $5,035,- the most practical methods wTere 464,000 compared to $4,381,255,000 foi* studied by the committee, and are T HE U. S. Savings Bond Division of the Treasury Department re ports that: the same period in 1947. 2. A 53 per cent increase in the net gain of cash sales over redemptions and maturities in 1948 as compared with 1947, seven months, January through July. 3. Over 2,000 companies and 2,500,000 new workers (a 50 per cent in crease) were added to the Payroll Sav ings Plan during the recent Security Loan Drive. Total deposits of all insured com mercial and mutual savings banks declined $5,533,000,000 in the first half of 1948 even though loans and dis counts continued to increase, Chair man Maple T. Harl of the Federal Deposit Insurance Corporation an nounced. The substantial reduction in holdings of United States Govern ment obligations and the decline in cash and amounts due from other hanks exceeded the growth in loans and in holdings of securities other than United States Government obli gations. At the Omaha National Bank, Roily Bremer had an item in “Around the Bank” which said, “This bank is just like the day—we have a Moneu, Noonan, Knight.” These officers are D. J. Monen, vice president, Thomas R. Noonan, assist ant cashier, and W. B. Knight, comp troller. And in case you want Moore, how about taking a walk over the Ridge down the Lane through the Dale and out to the Rhodes. If you look these up they are Ray R. Ridge, vice president; Wm. 1). Lane, director, W. Dale ( lark, president and A. J. Rhodes, assistant vice president. P.S. But Darner, it probably could have been Wirtz. Lehman Plummer, vice president of the Central National Bank and Trust Company of Des Moines, and chair man of the committee on consumer credit of the American Bankers Asso ciation, has announced that his com mittee has completed a booklet, “Know Your Earnings on Installment Loans.” According to Mr. Plummer, “This study on earnings accrual has been Northwestern Banker. Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis LEH M AN PLUM M ER “ Studies earnings on installm ent loans” explained in detail in this publication. “The application of the proper method obviously depends on the cir cumstances of the individual bank, the accuracy desired, and the amount of detail involved. Each bank should analyze its own requirements, and the accrual method selected should be the one best suited to its own needs.” Marshall Corns, formerly president of Marshall Corns and Company, Management Engineers and Consult ants to Banks and Bankers, has be come associated with Wolf and Com pany, Certified Public Accountants and Management Engineers. He will head their hank division which renders financial and business audits, account ing, management and consulting serv ices to banks and bankers. Wolf and Company maintains offices at 7 South Dearborn Street, Chicago, and in New York, Philadelphia, In dianapolis, Des Moines and Oklahoma City. Jack VV. Edge, executive vice presi dent of the Farmers Trust and Savings Bank of Spencer, Iowa, sponsored a four-county group meeting including Dickinson, Emmet, Clay and Palo Alto, which was held at the Okoboji Country Club. R. M. Evans, governor of the Fed eral Reserve Board of Washington, spoke on bank holding legislation and of the board’s desire to prevent fur ther expansion of this form of banking especially on the west coast. Mr. Evans also pointed out that during the last three to four months people have been going into debt more than at any time this. year. Joseph F. Ringland, president of the Northwestern National Bank of Min neapolis was another guest speaker and he believes that “inflation of bank credit has to some extent run its course and we may have seen the peak of deposit volume.” A general discussion followed on corn loans and to what extent they thought the farmers would seal their corn in anticipation of selling it later at a higher price than the ceiling price. About 40 to 50 bankers and thenwives attended the meeting. Preston Delano, comptroller of the currency, in his 1947 annual report believes, “that banks must do every thing they can to arrest post-war in flation, otherwise we will face eco nomic disaster.” The Comptroller also pointed out that, “The supervisory agencies have no desire to impose restraints upon lending operations which would tres pass upon the field of bank manage ment. “We do feel, however, that we can ask the banks, through their own voluntary cooperation, to forego what may be an immediate advantage for the sake of the larger and more en during advantage of all.” According to figures which have re cently been compiled, there are 11 hank holding companies in the United States which own or control 330 banks with more than 800 banking offices in 20 different states. The resources of these various cor porations at the beginning of 1948 were as follows: Transamerica C orp o ra tio n , San Francisco, California, $7,385,000,000: Northwest Bancorporation, Minne apolis, Minnesota, $1,350,000,000; First Bank Stock Corporation, Minneapolis, Minnesota, $1,270,000,000; Marine Mid land Corporation, Buffalo, New York, $1,160.000,000; Wisconsin Bankshares (Turn to page 57, please) H a n k ers Y ou K m ar Hnlph I f . Krubaehvr President, The Toy National Bank, Sioux City, Iowa A L P H R. B R U B A C H E R , president o f the T oy National Bank and the Farmers Loan and Trust C om pany of Sioux City, Iowa, has 35 years of banking experience behind him to help meet the m any problem s con fronting a bank president each day. A man with an analytical eye on the future, M r. Brubacher tries to weave the answers to these daily problem s into the pattern that will eventually form the best policy for the success of tom orrow ’s business. Under his fine leadership since 1937, deposits of the T oy National Bank have advanced from $7,000,000 to $26,000,000. A m on g the m any problem s facing hankers today, the most im portant, in Mr. Brubacher’s opinion, “ is to cor rectly gage conditions and prices so that banks m ay m aintain a sufficient volum e of loans to keep up earnings and yet have those loans made upon such a basis that serious future losses w ill not be incurred. Surely the pres ent high prices cannot continue, but to attempt to prophesy when there will be a m aterial change is the prob lem . Those factors which bring about our present high level of business ac tivity such as high com m odity prices, the demand for goods, both for in R https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis “ A man with an analytical eye on the future" ventory and for consum ption, and for housing, a high volum e of exports, a plentiful money supply, and capital investments for new plants and equip ment, are items which must be watched. A decline in the volum e of such items will affect the entire economy. “ In trying to foresee the future, those factors which cannot be gaged by statistics, nam ely, p o l i t i c a l changes, international com plications, and business confidence, must always he considered; therefore, it would seem that the uncertainties are such that the only safe course is to proceed with the utmost of caution even at the cost o f sacrificing volum e and profits for a reasonable assurance that only safe investments are being m ade.” M r. Brubacher gained his first banking experience as an auditor for the Farmers Loan and Trust C om pany in 1913 when James F. Toy owned 16 banks outside of Sioux City. In addition to this connection, he was assistant cashier of the T oy National Bank, retaining both positions until 1919 when he becam e cashier of the T oy National. He was a vice presi dent of the bank from 1924 until his election to the presidency, retaining his cashier’s, duties concurrently un til 1930. Upon the death of M r. Toy in 1937, Mr. Brubacher was elected president of the Toy National Bank, and about a year later was named president of the Farmers Loan and Trust, where he had been a vice president. Ralph Brubacher was born in Storm Lake, Iowa, Septem ber 1, 1883. He attended public schools there and in 1909 was graduated from Iowa State College with a degree of Bach elor of Civil Engineering. A t Iowa State he was a m em ber of Tau Beta Pi, honorary engineering fraternity, and Phi G am m a Delta. A fter his graduation, M r. Brubacher spent sev eral years in the west and in Alaska working as an engineer on various projects. On N ovem ber 30, 1923, M r. Bru bacher was married to Lueetta M. Cameron. He is a past director and treasurer of the Sioux City C ham ber of C om merce. W hen the Regional A gricu l tural Credit Corporation was organ ized in 1932, he was nam ed as a director, later serving as president. (Turn to page 103, please) Northwestern Banker, O c to b e r, 1948 26 117###/ W ill ll##/#/##*## If We H are W a r — o r P eaee Four S u b je cts W e Must C onsid er W hen W e A re Thinking A bout the W orld and Its Econom ics By BEARDSLEY RUML Chairman of the Board R. H. Macy & Company New York DO NOT believe that we shall have . war in the foreseeable future. Whether I am right or not makes no difference for this discussion, be cause if I am wrong, we have very lit tle to discuss anyway. On the other hand, I do not believe that we are going to have peace in the foreseeable future, either; and this does give us something to think about. If I am wrong about this, and I sin cerely hope I am, that would make quite a difference—literally, quite a difference. If we are not going to have peace in the foreseeable future, then we are going to have defense programs in definitely, and this means armament indefinitely. It means armament in definitely, not only in the United States, but largely, if not generally, throughout the world. What does adequate armament for the United States mean in terms of economics—first in terms of dollars? The figure of thirty billion dollars a year is mentioned as a likely require ment for defense in the budget two or three years away. And, after that, thirty billion a year, or more indefi nitely. This compares with some eleven billion originally planned for the next fiscal year; and so we may be facing total federal budgets of some fifty to sixty billion a few years from now and for as long as we need arma ment for defense. But there is another aspect of a thirty billion dollar a year armament program that has been frequently com mented upon, namely, that the money requirements do not fully state the true economic problem. It is not the dollars themselves that build defense; it is particular kinds of raw materials, industrial plants and skilled labor. At the moment, such materials, plants and labor are being rather fully uti lized, and a vast increase in productiv ity, such as occurred from 1940 on, is not in the picture. Fortunately such an increase in productivity is not re quired for defense. Since the armament program we are Northwestern Banker, Octo ber, ?948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis the standard of living during the com parable period. This is unfortunate, even for the United States, where an improvement in conditions of life for very large numbers of people is both technically possible and morally im perative. Four Things to Think About In addition to the question of war and peace, there are four other sub jects which we must think about when we are thinking about the world and its economics. These four subjects are deeply affected by the armament out look, but each in a special way, and each has complications of its own which are worth mentioning. The four subjects which I have in mind, and there are doubtless others, are: 1. Prosperity in the United States. 2. Reconstruction of war-torn areas, particularly of Europe. 3. Policies affecting state trading and state interference with trade. 4. Development of the underdevel oped areas of the world. BEARDSLEY RUM L N o Peace M eans Indefinite Arm am ent Let us discuss them briefly in order. First, prosperity in the United contemplating will require two or States. Our own prosperity is a neces three years to reach a thirty billion sary condition for a wholesome world dollar a year total, it is proper to offset economic situation. This is not a self this demand on our productive capac ish proposition, although its political ity by the ordinary annual increase in overtones are enormous. productivity resulting from improved The economic consequences for the technical methods and a growing la world of prosperity in the United bor force. Under conditions such as States arise as a result of three con we are thinking about, the annual in ditions that exist when we have a high crease in productivity might well be level of productive employment and as much as 4 per cent, or, over a confidence that it can be sustained. three-year period, as much as 12 per (a) When we are prosperous, we cent, perhaps as much as twenty-five are more willing to receive imports, billion dollars a year. and to take from the world its special This increase would be an over-all ized production of finished goods and increase, and would not be fully appli raw materials. (b) AVhen we are prosperous, we cable to the particular requirements of an armament program. Nevertheless, are more ready to share with others the offset is considerable, and reduces our technology and know-how. (c) When we are prosperous, we are the apparent burden of the defense undertaking. I say “apparent burden” more willing to cooperate in the pri because the increase of productivity vate financing of the export of capital allocated for armament will not be goods. The second subject which I menavailable for what otherwise might be (Turn to page 60. please) a general and substantial increase in OVERNIGHT • • COLLECTION a n d TRANSIT SERVICE . Direct Sending • W e are strategically located to give you the quickest collec tion and transit service. • To insure the best results flowing from our central location, we send your items by air or rail mail, whichever is faster. • To save time and money, we route all collections and transit items direct, wherever possible. The Omaha National Bank Member Federol Deposit Insurance Corporation https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwest ern Banker, O c to b e r, 1948 28 LEGAL Purchase P rice o f i*rope ri y Ms An incóate Tax Miedaction W here It !s C onsid ered in the N ature of Dam ages To Secure Relief f^om High Ground Rental C o n tract Q . A hotel company owned and oper ated a large hotel building, which building was on leased ground. The ground rental was very high and the lease had 80 years to run. To get out from under the exhorbitant ground rental the hotel company bought the underlying land for $400,000, paying $200,000 more than, or twice, what it was worth. In making its federal in come tax return for the year of the purchase, the hotel company sought to take a deduction of $200,000 com puted as hereinbefore outlined in ar riving at its net income for tax pur poses? Could it do so? Yes, according to a recent U. S. Cir cuit Court of Appeals, Sixth Circuit, decision. In so holding the court pointed out that $200,000 of the pay ment for the land was not prepayment of rent to secure future tenure, but was actually consideration for the can cellation of the ground rental lease hold and therefor an expenditure in the nature of damages to secure relief from an unprofitable contract. Be cause of this, it was an expense of doing business in the year when made and was therefore deductible in com puting net income for tax purposes. Q . A u Iowa trust company was named by one of its depositors exec utor of his will. His estate was large but it did not involve any trusts or creditors. On his death a dispute arose between his heirs but they quickly got together to avoid a will contest and entered into a contract providing for the settlement of all their differences and the division among themselves of the decedent’s property. The contract also provided that there should be no probate of the estate. The court having jurisdiction of the estate property approved the agreement because, among various benefits supported by ample evidence, it promoted family peace and avoided a will contest. The agreement, as approved, deprived the executor of Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis This and Other Timely Legal Questions Are Answered by the LEGAL DEPARTMENT the opportunity of administering the estate and thereby earning a fee. Would such be permitted? Yes, under a recent decision by the Iowa Supreme Court involving analo gous facts. In so holding the court pointed out that in most states family settlements are favored and that, gen erally speaking, the beneficiaries of a will may agree to disergard the instru ment and have the estate distributed in any manner they see proper. Be cause of this and because the executor named in the will would be expected to give full value in services rendered for compensation received, it was de cided that such executor had no legal interest in the estate of which he was deprived by the settlement agreement. Q .Buckley, a Missouri banker, was appointed guardian of the person of Smith, who was of unsound mind. Smith had a moderate estate and it was necessary for Buckley to entrench upon the principal to support and care for Smith properly. Was it necessary that the guardian secure court ap proval before he spent any of the prin cipal of his ward’s estate in such fash ion? No. The corpus of the personal es tate of an individual of unsound mind may be entrenched upon by the guard ian of his person to the extent neces sary for proper care and maintenance without first obtaining permission from the court to do so. This rule is not applicable in the few jurisdictions where statutes require the procure ment of court approval. No such statute exists in Missouri. Q . Guilbert, the cashier of a Nebras ka bank, rendered certain personal services outside his regular office hours to a corporation in that state with the understanding he would be paid a reasonable value therefor. On the completion of the work the cor poration took rather a dim view of the value of the services and Guilbert a rather optimistic one. They could not get together and Guilbert sued. Judg ment was rendered in his favor for an amount greater than the corporation had in mind but less than he asked, together with interest from the date of judgment. Should he have received interest from the date of the comple tion of the work? No. In order to recover interest there must be a fixed and determinate amount which could be tendered and interest thereby stopped. Where the reasonable value of services rendered is not ascertained and adjudication thereof is required, interest is allow able only from the rendition of judg ment. This is especially true where a greater sum is claimed than is al lowed. The Nebraska Supreme Court has so held in a recent decision. Q . Grand, a Minnesota banker, died leaving a will creating a trust of cer tain parts of his property and naming his bank as trustee. The trust pro vided that the income from the trust property should go to his widow din ing her lifetime and at her death the corpus should go to his daughter by an earlier marriage. It developed that the income was not sufficient for the widow’s needs. The trustee sought to encroach on the corpus to take care of them. The will did not provide in any way that this could be done and the daughter by an earlier marriage was not agreeable thereto. Could the bank do so? No. Power to encroach upon the corpus for the support of the bene ficiary of a testamentary trust is non existent unless it is given by the will, (Turn to page 110. please) 29 are building good public relatio n s £ Fo ur-year-old " M iss P e n n y " (above) is featured in series of local newspaper ads by The First National Bank of Canton, Ohio, to tell the story of the bank’s services in "language a child can understand." W. J. Capehart, executive vice-president, First Trust Company of Georgia Chairman John A. This complete guidetoArizona, National Bank, Orlando, Fla., addressing public Sibley (left) presents Agricultural Award to George M . Bazemore, President of First National Bank of W aycross, Ga. W ith award goes $1000 Scholarship for a 4 -H member. issu ed b y th e V a lle y N a tio n a l B a n k , b r o u g h t th o u s a n d s o f v is ito r s t o th e s ta t e — cre a tin g g o o d w ill a n d fu tu r e c u s t o m ers fo r th e b a n k . school class in banking— part of a plan sponsored by Florida Bankers Association, in which all Or lando banks cooperate. The background pattern illustrated here is the famous Hammermill Safety Chainline design. There are two other pleasing designs to choose from. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, O cto be r, 1948 30 C o stly Mailing A g ricultural A w a rd A startling lesson in inflation may be had from the envelope in which Gilbert C. Nee, manager of the Wuhu General Hospital, Wuhu, China, re cently sent a deposit to his checking account in The City National Bank and Trust Company, Kansas City, Missouri. On the envelope which brought twenty-five American dollars for deposit there were seven hundred thousand Chinese dollars’ worth of stamps. The outstanding service of the banks of Illinois to agriculture was recognized at the first general session of the 74th Annual Convention of the American Bankers Association when the Illinois Bankers Association was presented with the 1,000-point rating award of the A.B.A. Agricultural Com mission. The award was presented in recog nition of the high quality of regular bank services provided to the farmers of the state, as well as for special activities conducted by the associa tion’s member banks in the agricul tural field during the past year. This is the eighth consecutive year that Illinois bankers have received the award. The agricultural activities of the Illinois Bankers Association are under the guidance of the association’s agri Dividend The board of directors of the City National Bank and Trust Company of Chicago, at their regular meeting Sep tember 28, 1948, declared a regular quarterly dividend of $1.50 per share of stock, payable November 1, 1948, to shareholders of record on October 20, 1948. cultural committee, with county key bankers appointed throughout the state to serve farmers in their par ticular area. The 1947-48 committee was under the chairmanship of Charles Huegely. Farmers a n d Merchants National Bank, Nashville. Elected Vice P resid ent John E. Bierwirth, president, The New York Trust Company, has an nounced the election of John E. Cookman as vice president in the banking division. 1Your Government Vortfolio G o vern m e n t p o r tfo lio m anagem ent is an important function o f every bank today For many years we have assisted our correspond ent banks in the handling o f their portfolios. W e encourage them to send us their lists peri odically for review and suggestions. W e also handle the purchase and sale o f Treasury obligations for our correspondents without charge or profit to us. W e shall be pleased J O H N E. C O O K M A N B anking D iv isio n Officer Mr. Cookman, graduate of Yale, 1931, has been associated during most of his business career with The New York Trust Company. He served four years with the U. S. Navy during World War II and was appointed assistant treasurer in the banking division upon his return in 1945, and was promoted to assistant vice president in 1947. Mr. Cookman will be in charge of the Trust Company’s business in the states of Missouri, Nebraska, Colorado and Kansas. to discuss this service with you in more detail. N ew Duo M icrofilm er H arris Trust and Savings Bank O rg a n iz e d as N . W . H a rris & Co 1882 • In c o rp o ra te d 1907 115 West Monroe Street, Chicago 90 Member Federal Deposit Insurance Corporation Northwest ern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis By exposing only half the width of 16 mm. film at one time, a new micro filming machine more than triples the image capacity per foot of film and cuts film requirements by two-thirds in many business applications, accord ing to Recordak Corporation, subsidi ary of Eastman Kodak Company. The new machine is the Recordak Duo Microfilmer, exhibited before the American Bankers Association, at their annual meeting in Detroit. The duo feature of microfilming has been under experiment for several https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 31 Transactions promptly and efficiently handled '7 think this would be a good time to express the sentiments o f all the boys and girls here. In handling transactions from day to day we have found that ice get the best service from the Chase Bank. It does not make any difference whether the transaction is large or small we always find that it is promptly and efficiently handled and we appreciate that.” Extract from a letter received from one of our correspondent banks A correspondent bank th a t attends to small duties w ith all the care and efficiency expected in large assignm ents, clearly proves both its desire and its ability to serve. T he value of w orld-w ide correspondent relationships m aintained by the Chase is strengthened by efficient daily service, often fo r the benefit of individuals it may never meet, and firms whose representatives may never have occasion to visit the Chase. Broaden customer service ivith Chase correspondent facilities THE C HAS E OF THE NATI ONAL C IT Y OF N EW BANK YO RK M em ber Federal Deposit Insurance Corporation Northwest ern Banker, O c to b e r , 1948 Çoflàjuli d(sm M j years by Recordak engineers and is now introduced as a means of provid ing greater film economy to microfilm users who photograph large volumes of small documents every day. Two film units, operating on the duo principle, will be available. One has a reduction ratio of 35 to one; the other 28 to one. Both these units use a 50-foot roll of 16 mm. film. The film is run through the machine once to expose one-half of the width, then reversed and run through again to expose the other half. Two additional film units will pro vide reductions of 24 to one and 19 to one. Utilizing the full width of the film in one exposure, these units will use the conventional 200-foot supply rolls and 100-foot take-up spools. Thus the Recordak Duo Microfilmer be comes a versatile all-purpose micro filming machine. Using the duo film unit with a re duction of 35 to one, banks can photo graph three times as many checks per foot of film as with conventional mod els which use the full width of the Hi mm. film for a single image. A 50foot roll of film will accommodate pic tures of 10,000 checks, face only. 2 ((BijohA When you Prom otions are in the market to S&1L BANK STOCKS Either control or m inority in terest c a rry in g a n a c tiv e E xecutive Position T w enty-four y e a r s of efficient, con fid en tial, p e rs o n a l se rv ic e in sellin g b a n k s. A sk the co u n try b a n k d e p a rtm e n t of a n y re se rv e city b a n k . BANKS FOR SALE W e h a v e b a n k s for s a le r a n g ing in size from o n e m illion to tw en ty m illion d o lla rs a n d re q u irin g in v e stm e n ts of $50,000 to $500,000 for control. Bankers Service Co. HENRY H. BYERS, President Box 1435 Tel. 2-7800 D es M oines 5, Io w a (Offices in the Register & Tribune Bldg.) Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Irving Trust Company, New York, announced recently the promotion of two officers and three elections to its official staff. Charles H. Lafferandre. in charge of administration of the bank’s headquarters building at One Wall Street, and Edgerton A. Pattison, in direct charge of accounting at Main Office, were made assistant vice presi dents. Peter D. Crawford of the head quarters loaning organization, Hubert R. Miller on the staff at the Park Ave nue and 46th Street branch office, and Cordon T. Wallis of the business ex tension division at the Main Office were elected assistant secretaries. C red it C onference A national conference of bankers to discuss present economic trends and the relation to credit problems will be sponsored by the Credit Policy Com mission of the American Bankers Association in Chicago, Illinois, De cember 13th, 14th and 15th, it was an nounced by Lester E. Shippee, chair man of the commission, and executive vice president of the Hartford-Con necticut Trust Company, Hartford, Connecticut. The conference will be a series of working sessions with outstanding bankers and economists leading dis cussions. It is planned that the meet ing will be held at the Sherman Hotel. “Approximately a year ago, banks inaugurated a nationwide anti-infla tion program with leadership from the American Bankers Association in co operation with state bankers’ asso ciations, Mr. Shippee said. “ This pro gram introduced a degree of self-dis cipline in banks, which contributed largely to the present high standard of screening all commercial loans. Bankers today, as a result of the pro gram, are more alert than ever in discouraging loans, the proceeds of which would further contribute to already existing inflationary forces. “ In this meeting we will consider further measures essential to our country’s welfare as we return to a Make Inventory Loans Secured by Our WAREHOUSE RECEIPTS DES MOINES OFFICE At this season processing and marketing of seed corn, soy beans, popcorn and other seeds is B ig B u sin ess in Iowa and will require substantial financing by the 51 5 Iowa-Des Moines National Bank Building T . C. C A N N O N D is tr ic t M a n a g e r banks. OMAHA OFFICE Your Bank can make safe, sound loans against cus tomer inventories of seeds and other commodities when secured by our Warehouse Receipts. And the product can be stored on the customers’ premises. 1105 First National Bank Building E L M E R J. O T T E S O N D is tr ic t M a n a g e r For added safety and protection in making loans, and to permit larger lines of credit, suggest to your custom ers that they make use of St. Paul Terminal s Field Warehousing services. • OTHER OFFICES St. Paul Milwaukee In q u iries W ill R e c e iv e P ro m p t A tten tion Chicago New York W e'll Be Seeing You At The Convention! Philadelphia R. C. Schall, manager of our Field Warehouse division, and T. C. Cannon, Iowa district manager, will be at the Fort Des Moines Hotel October 24th through 27th for the Iowa Bankers Association Convention. They will welcome the opportunity to talk with you about making loans secured by Warehouse Receipts. Buffalo Dallas Atlanta Charlotte Jacksonville Minneapolis Detroit I ndianapolis Boston Pittsburgh Syracuse Memphis Albany, Ga. Shreveport Miami i St. Paul Terminal Warehouse Co. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ST. PAUL, M IN N ESO TA Northwestern Banker, O cto be r, 1948 34 more normal and properly balanced national economy. "Details of the program and other arrangements will he announced as rapidly as they are completed.” Mr. Shippee said. Los Angeles headquarters; Marvin Randall, Los Angeles main office, and Clarence Binning, Los Angeles head quarters. New Motion Picture A motion picture screen play, dram atizing the story of commercial banking and produced for the Conti nental Illinois National Bank and Trust Company of Chicago, had its premiere showing in Detroit, Septem ber 26th at the convention of the American Bankers Association in the session of the Public Relations Coun cil of that body. Bankers Honored Bankamericans honored at a recent luncheon upon completion of 25 years of service with the bank include: Robert E. Dorton, assistant vice presi dent, International Banking Depart ment; E. M. Kennedy, trust officer, Los Angeles headquarters; John E. Walter, assistant counsel, legal department, The film explains the banking sys tem from the standpoint of the coun try banker and shows how the team work of correspondent banks makes possible the flow of goods from soil and factory to the consumer. Entitled “ Back of Every Promise • . .” the picture is the fourth in the Continental Illinois Bank film li brary. It was made by Wilding Pic ture productions. Promotion Frank Fuchs, assistant vice presi dent, First National Bank in St. Louis, has been promoted to vice president and will continue to represent the bank in the Kansas, Colorado, Iowa, Nebraska, Minnesota and Wisconsin territories where he is well ac quainted. C red it Study ****** \ V H " — 4e« i S e « 'i'* e ....... C o t.e»i#B i o ''“ 0 i;he ■" W • cotfeSP ^ , ^by ^ -f b al s 4 -)OtVdebts to W 6 e and up Y° “ oW ur$e facV^ieS* of faU . . in , rOUtfbe' à by r° *od tn: ^ Up SPe tbe n CVt1 Vtb \Vb tec rece^e ** ... „ o r e ^ „„¿cot. * e ' St. Louvs <• fr o * .. \et W se£V 1 ot co-op— orotb?1 ^ V - 0 servie« ? C ocete ^ ,\Vecú«° oo aU Uetrvs etvrP°rJoU° erv'vc«5 aiekeeP ¿ sAe . au1 ovc’v?'at pur tuent ao veto’ Go reqo’est troo oo iót»' çatv toao services <is With activity in consumer instal ment credit increasing, there is a pro nounced need in many banks for a reasonably accurate method of deter mining the earned and unearned por tion of the income derived from this service, according to Lehman Plum mer, chairman of the committee on consumer credit of the American Bankers Association, and vice presi dent of the Central National Bank and Trust Company, Des Moines, Iowa. Mr. Plummer announced recently that the committee has completed a new booklet, “ Know Your Earnings on Installment Loans,” to help fill this need. The booklet is available, on request, to A.B.A. member banks. “This study on earnings accrual,” Air. Plummer said, “has been prompted by the many inquiries received from member banks which were in search of a simple method of determining monthly earnings on instalment loans. Some of the most practical methods were studied by the committee on consumer credit and are explained in detail in this publication. “The application of the proper meth od obviously depends on the circum stances of each individual bank, the accuracy desired, and the amount of detail involved. Each bank should analyze its own requirements, and the accrual method selected should be the one best suited to its own needs.” Included in the booklet are six methods for computing earnings on instalment loans, a method of accrual audit control, and a monthly earnings schedule for q u i c k l y computing monthly earnings. S e rv ice insurance Alore than 1,900,000 veterans rein stated nearly 12 billion dollars of lapsed National Service Life Insurance in the 15-month period before the July Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 35 It’s a personalized service your bank will want... It’s a complete service in beautiful, full-color Gift Checks . . . and it’s sweeping the country! Over 400 banks in 38 states have discovered how their customers appreciate this brand-new solution to the "gift prob lem . . . how the Gift Checks themselves help to bring in customers as well. They’re offered to you, Each Gift Check is specially designed and lithographed in full color and there’s one for every widely observed gift occasion. Each check has a matching greeting card jacket and a mailing envelope as well. new imprintedwithyourbank'sname! Gift Check promotions will not only further personalize your banking service, hut add new names to your customer list. The service provides, at no extra cost to you, a manual of operations and a supply of operational forms. Promotional material such as folders, showcards, and newspaper mats are available at cost. Send today for information and specimen checks. ri ---------------------------- ----- --------------- " “" ' " “" " GIFT CHECKS FOR THESE OCCASIONS j I \ 1 . G radu ation 4 . Father’s D a y 7. [ 2 . W edding 5 . Birth 8. Ch ristm as Easter 3 . W edding A n n iv e rs a ry 6 . Birthday 9. Sp ecial O cca sio n ■ 10 . M other’s D ay Manufacturers Trust Company H ead O ffic e: https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 55 B ro ad St., New York 15, N. Y. Member Federal Deposit Insurance Corporation Northwestern Banker, O c to b e r, 1948 36 The H UM ( e n t r a i S t a le s S ell otti SCHOOL—F rom Minnesota to Texas and from Washington to New York, 453 bankers from 27 states and the District of Columbia assembled on the University campus at Madison, Wisconsin, to attend the fourth annual two-week session of the 1948 School of Banking at the University of Wisconsin, spon sored by the Central States Conference of bankers’ associations. Herbert V. Prochnow, director of the School and vice presi dent of the First National Rank of Chicago, officials of the 31st deadline, Veterans Administration announced. During July, the last month in which the easy reinstatement program was in effect,, over 280,000 veterans reinstated nearly one and threequarter billion dollars of lapsed NSLI. The easy reinstatement program school, and many of the faculty of over 120 lecturers, consisting of bankers, attorneys, business executives, officials in banking and government agencies and members of the faculties from 12 universities and colleges, coming from all over the country, were on hand to greet the students. The picture above was taken in front of one of the University buildings. permitted veterans to reinstate their lapsed insurance by certifying that their health at the time of reinstate ment was as good as it was at the time of lapse. Normally, no physical ex amination was required regardless of the period the insurance had been in active. With the expiration of this program on July 31st, veterans still are permit ted to reinstate on a comparative health basis within three months from the date of lapse. After three months, however, the insured must pass a physical examination. —one of the 357 different industries in the St. Louis area__making St. Louis industry the m ost d iversified o f a n y c i t y in the nation. This also makes centrally located St. Louis one of the most economically stable places to do business in the United States. Our experience in serving so many differ ent kinds of industry over a period of 90 years proves especially valuable to our correspondents. Whatever your problems you'll find our service of real value. complete We invite you to join our many corre spondents who find their association with "The First in St. Louis” (the largest bank in the area) both pleasant and profitable. Member Federal Deposit Insurance Corporation THE FIRST IN ST. LOUIS NATIONAL BANK 1111 Ili ! Éiiiii ST. L O U I S ' L A R G E S T B A N K Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis " . . customers and tellers alike say that machine method is faster than man ual method . . no question but that our internal operation has also been improved . . . " FORT WAYNE NATION AL BANK FORT WAYNE, IND IA NA ” . . . customers like neatness and speed with which transactions are handled . . . handle more depositors per teller than ever before . . . " LAFAYETTE NATION A L BANK LAFAYETTE, IN DIA NA " . . . window detail has decreased to amount necessary to serve customer . . . customers have remarked on speed of tellers compared to old system . . . " PEOPLES NATION AL BANK OF WASHINGTON SEATTLE, WASHINGTON BANKS REPO RT: " . . . we can say without reservation that our customers consider the change a progressive step . . . we are well pleased with our installation . . . " FIRST NAT IO NAL BANK OF PORTLAND PORTLAND. OREGON " C u s t o m e r s a p p r o v e !" w h e n the c h a n g e is m a d e to B u r r o u g h s C o m m e r c i a l " . . . customers have been very well pleased . . . estimate that lobby lines are disposed of 20% to 30% faster . . . tellers have been assisted in balancing . . . we are highly satisfied with the installation . . . " T e l l e r ’s M a c h i n e s N early five m illion checking account customers in 46 states are now being THE STATE NATION AL BANK OF EL PASO EL PASO. TEXAS " . . . manner in which tellers accepted new system very gratifying to manage ment of bank . . . customers prefer official registered receipt to passbook . . . depositors well pleased with system and results obtained . . . " FIRST NA TI ON AL BANK OF PHILADELPHIA PHILADELPHIA, PA. served by Burroughs Commercial Teller’s Machines. That they— and the tellers and bank management— like this modern kind of banking is proved by the scores of " . . . many depositors expressed sur prise that something of this nature had not been done when balancing of passbooks was eliminated many years ago . . . all claims for equipme stantiated . . . " UNION enthusiastic reports already received from banks all over the country. You, too, will find this increased customer good will an important banking asset. " . . . thorough st passbook system co system . . . we dec . . . large majo complimented us Your Burroughs representative can give you the complete story on users’ experience. WHEREVER THERE’S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BUSINESS " . • • g coupled w made ou acute very THERE’S B u rrou gh s ice was service to of new tellers, p customer on all transacti lieve all banks will eliminate . . . " PUGET SOUND NATION AL BANK TACOMA, WASHINGTON " . . machines of great assistance to tellers in speeding up counter work and in providing a complete audit record of all transactions . . . customers' re action has been uniformly favorable . . . teller reaction excellent . . . " HOWARD NATION AL BANK & TRUST CO. BURLINGTON, VERMONT Northwestern Banker, O cto be r, 1948 Cigarette (Continued from page 21) services until they agree upon some thing of known value that can be used as a media of exchange. In Normandy the exchange system or barter system was in wide use—a cow for a wagon or a barn for a near-by farm house. In larger cities where many different stores existed, with many different goods for sale, this system was not adopted and they settled unofficially for the most part for a thing that was in demand, and could be exchanged for something they needed. Here en tered the cigarette, and joined hands with the franc, the mark and the dollar to become a media of exchange. To best illustrate how the cigarette was used, and is still being used, let us assume that we are American sol diers in Europe in the year 1945, the place is not important, for the usual system is the same all over Europe. We enter the Post Exchange, we buy a carton of cigarettes. With the car ton we go to the nearest town or city. We enter a camera shop. We see a German type camera in the showcase, a low priced one. After much barter collection service . g e a r e d y o u r f o r t o n e e d s p e e d Your Bank wants speed when it presents a check or note for collection. The kind of speed that means prompt presentation and earliest availability ol lunds. At American National we’re prepared to provide that kind of action. Our staff is experienced, dependable, skilled at operating the high speed machines that make swift service possible. We’d like to have you visit us to see this service in action. Meanwhile, we welcome your inquiry with the view to securing you the most advantageous mail and express scheduling — both by rail and air. AMERICAN NATIONAL BANK AND TRUST COMPANY OF ME MB E R FEDERAL D E P O S IT I N S UR AN C E COR P O RA TI O N Nort hwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis CHICAGO ing we obtain the camera and leave as payment our carton of cigarettes. We don’t see it,' but no doubt as soon as we leave the shop, the owner races into the back room to show his wife. She in turn takes the carton and heads for the market place, or the nearest farm house, and returns with an arm ful of much wanted food. The farm er, who lives from his land, may smoke a pack or two from the carton and then return to town and with the cigarettes obtain tools for his farm, or a shirt or supplies for his home. Thus it goes on and on. In some cases the carton may exchange hands five or six times before it is ever opened. This led some people into a new manner of counterfeiting. They would open the carton very carefully, remove the cigarettes, and stuff the packs with something that would feel the same and then close it up and pass it on. One such trick ended most unhappily for a certain American col ored G. I. He was found very dead on the docks of a port city. Money is a commodity itself and, like all other commodities, its value is determined by the relationship be tween supply and demand. This be came true of the cigarette. The value of a carton of cigarettes on the market became as much of a quoted figure among G. I.’s as the rise and fall of A. T. & T. on the stock market among Wall Street brokers. Most of the time it was about $20 per carton. Its rise and fall depended on the number of Americans or those with American cigarettes in the area, the amount of cigarettes that we were shipping to our troops overseas, and the number that some large racketeer was able to obtain for his own private black mar ket use. During the Battle of the Bulge, for example, when cigarettes were not finding space in the holds of ships, the demand remained the same in Paris, but the supply was stopped for a time, and therefore the price rose with the passing of each week. In 1946, an American colonel stationed in Budapest, Hungary, obtained the use of a villa with swimming pool for one year in payment of which he gave three cartons of cigarettes. In 1945 you never left a tip after a meal in a French, Belgian or German eating place—you left a cigarette. You never paid francs for a bottle of Chanel Number Five—you left a few packs of cigarettes. As G. I.’s found out, you could obtain anything from an apart ment to a blonde with your ciragettes. In time, however, the American Crim inal Investigation Division and the French police clamped down on this cigarette-barter system, b u t never killed it. As English and other cigar ettes appeared on the counters for 39 sale, and the French money situation stabilized a bit, the cigarette was al most removed from the field in France, but in Germany it kept on, there to become a part of the battle in the cold war. In Germany as in France, certain kinds of cigarettes were considered higher in value than other kinds, just as certain kinds of money or stocks are considered higher in value. Pall Malls, for example, were worth about two to four dollars more in value be cause of their added length. The less known brands of American cigarettes were worth less than the top name ones. Due to a mistake in the spring of 19-15, the American Post Exchange received a new type of cigarette. They were called Zippers, and tasted like burnt cork. They had been meant for German prisoners of war, but somehow t h e y reached American troops instead. It didn’t take the French or Germans long to hear about the bad taste of this type of “money,” and inside of a week you couldn’t even give them away. In our zone of Germany we tried to put a stop to the black market, and the system of barter with cigarettes and candy bars. It became one of our main tasks in Germany. At first we issued orders through our Military Government, establishing the legal ten der of currency in our zone. We told the Germans that Allied military marks would be equivalent to any other at the same face value and that “ no person shall discriminate between Allied military marks and any other legal tender mark currency of equal face value.” Also in an attempt to put a stop to the cigarette currency in Article II of Military Government Law Number 51, we stated, “Except as au thorized by military government, no person shall make or enter or offer to enter into any arrangement or trans action providing for payment in or delivery of a currency other than marks.” This, however, did not seem to stop the barter system, the black market or the wide use of the cigar ette and other such luxury items from being used in place of the established marks. The German police with the American M.P.’s made large scale raids, arrests were made and people sent to jail, but still the basic truth remained, that the German people did not think their money was worth as much as packs of cigarettes. Their unstabilized currency was named by them “ Tapetenmark” (wall paper money). We had to do something, outside of issuing of orders. We had to deliver a blow at the large black marketeer, who had millions of marks gained by his activities, and we had to establish some form of more stable https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ST w ith f a c ilit ie s ,) ™ * * ’ c o n t a i ■„ is at your service m T,. * Wisconsin is at : J T ire 1 irst . th complete, modern fac.Ut.e COnS1 , on-the-grOUna k" ° ^ , w ith of Wisconsin tms.e .^co rresp o n d en t neSS,indUST S r o o f alUltebanWstltrou?Uc o n tacts wit to o„t this State. . _ • beyond , to serve in many ways ready to - - - ana always - BANKS AND efficiency- y ice President G eokgeT . O M pb^ \ ' . s t V i c e P resid en t Richaro j. Lawless president DONALO A - H akpeh - ^ - FIRST WISCONSIN NATIONAL BANK OF MILWADKEE • Wi s c o n s i n ’s Bank for Banks Northwestern Banker, O c to b e r, 1948 40 money. One night a ship docked at a German port, a cargo was unloaded in airplanes, trucks and jeeps rushed away into the night. Early the next morning, all the G. l.’s in Germany were routed out of bed at an early hour, told to gather all their cash on hand, and to go to the local Army Finance office. There they had to exchange their old marks for new crisp printed ones of a different type. Any huge amounts were questioned. From that minute on it was the legal T i n : W i i i t e tender, no more money would be ex changed at the Finance Office. Any G. 1. who had been mixed up with the black market took a loss, and the German with the millions of marks he had gained from using or bartering with cigarettes or other goods also took a loss. Even with these strict measures, in flation was running wild in Germany, and the black market and barter hoys were spreading still more confusion in our zone. Therefore in June 1948 we - I * i i i i.i.ip s Co m pan y, Inc. MUNICIPAL If the new mark is trusted and if it becomes stable, it will replace the barter and cigarette-candy bar system of exchange. But if the Russians and their German allies succeed in some move to shake the faith in it, the bank ing of Germany will again move from the established local on the main strasse, into the back alleys and dark shops, and once again the mighty Pall Mall and Chesterfield will replace the pfennig and the mark.—The End. BONDS Davenport. Iowa — Chicago, 111. Underwriters IO W A-ILLIN O IS MUNICIPALS established another new currency policy in our zone. It will be interest ing to note, in addition to the cry that came from the Russians, what effect this will have on the cigarette market, for one of the underlying reasons for this new currency is to wage war on the evils of the black market cigarette exchange, and to establish a form of currency that the people can trust and use in obtaining their desired needs. It can be said with safety, I think, that the confusion and unstable condition that existed in Germany with the use of cigarettes and other goods in place of Russia in the Cold War, and one of the reasons why they opposed with such force our new currency. It is a known fact that Communism spreads in an economic situation that is domi nated by fear and confusion and lack of faith in the announced legal tender of their land. Distri butors and GENERAL M ARKETS W e invite yo u r offerin g s Eight Y F ifty- of INVESTMENT BANKING 1 8 9 0 — 1 9 4 8 StiieL Nicolaus & Company Í N C O K P O K A T E ST. LOUIS Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis • I) CHICAGO rs 41 INVESTMENTS Loircr Are on the Pricesfor Hoods 1 1 7 ##/ The Portfolio M anager Still W ants Im proved Q u a lity and Shortened M aturities By RAYMOND TRIGGER Investment Analyst New York City MONG the most valuable ap praisals of the general eco nomic, business and financial prospects of the U. S. are those writ ten by competent professional observ ers sufficiently close to the scene to be fully informed, yet sufficiently re mote to be shielded from the daily hurly-burly of minor price changes and unfounded rumors. London comes at once to mind as the place from which to observe the American scene. In that great finan cial center are fully competent, profes sional journalists specializing on fi nance and economics. Recently, a leading editorial in The Financial Times undertook to discuss the pres ent state of affairs and what might happen in the next few months. A paraphrased summary should interest students in this country. After noting that Wall Street is still suffering from the indecision that has afflicted it since last spring, and that the New York market, even to an extent greater than the London mar ket, has a Berlin neurosis, the point is made that any real narrowing of the present wide area of disagreement between Russia and the Western pow ers might free the market to respond to the undeniably favorable elements in the general business outlook. The extraordinarily generous U. S. harvest is considered the most impor tant constructive factor in that these prospective harvests justify the hope that natural economic forces will re move much of impetus of inflation without help from Washington and pave the way to a period of relative price stability at high levels of pro duction. employment and income. It is admitted that there are weak spots in the industrial sector, but it is contended, there are many more strong ones. The suggestion is made that investing be done on an increas ingly selective basis, but the danger of a general business setback is ruled out for some time to come. A https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis This is a discussion of factors affecting your investment port folio. If you have any questions, or if you find yourself in dis agreement with comments here in, your letters, addressed to the NORTHWESTERN BANKER, will be welcome and will be answered here if the subject matter is of general interest. Under no cir cumstances will the editor of this column discuss specific securities. Election Aspects Further, relaxation of the tension in Berlin probably would be followed by a sharply expanded volume of finan cial transactions, although markedly higher prices likely would not be seen prior to the elections in November. On this subject, the analysis continues, a decisive Republican victory would be greeted by a broad general ad vance, but second thoughts on a Re publican victory could be more sober ing. The Republican policy, it is felt might take the form of drastic budget economies, modified farm price sup port, trimming of foreign aid and other actions which would curtail government demand for goods and services. In such an event, the con clusion is, Wall Street might lament the. passing of the much criticized democratic policies which have at least for three years sustained an un precedentedly high level of produc tion. employment and profits. To which could be added the thought, expressed at other times in this column, that the grand strategj' of the Republicans, assuming a No vember victory, may be a sharp, but brief business reaction, followed by a vigorous recovery. This would be on the theory that the present boom cannot persist, uncorrected, indefinite ly and that the longer it is maintained artificially, the more time will be needed to correct it and that the last thing the Republicans would want would be a crash shortly before the 1952 elections. If, the argument might run, a setback is inevitable, the sooner it is over and done the better. A somewhat similar line of reason ing may prevail in Washington’s fi nancial high places, assuming the Re publicans take over in January. If, the argument would run, a long-term 214 per cent rate on governments must, soon or late, yield to natural forces, the sooner the better. The present administration appears irrevo cably committed to protecting that rate and. in general, to preventing gov ernments of any maturity from drop ping under par. The devotion to the principle ap pears absurd. After all, British in vestors. over many decades, were un perturbed at discount prices — some times heavy — for their “consols.” More recently, and at home, the prices to which governments descended dur ing and after World War 1 provoked no catastrophe. The banks were closed in 1933 because of conditions created by the excesses of the late 1920’s, not because of the free government bond markets of the late teens and early 1920’s. There have always been a few, gen erally unorganized and largely inar ticulate, who have harped on the un wisdom and ultimate futility of mone tizing the debt in order to maintain a long-term 214 per cent rate. Higher Rates Favored Time and events have been running in their favor and, lately, powerful voices have been raised in their sup port. Mr. Parkinson of the Equitable Life Assurance Society was perhaps the first prominent financier to come out in favor of a higher rate. The latest monthly letter of The National City Bank of New York studies the bond price support program in some detail and comes up with this para graph: Northwestern Banker, O cto be r, 1948 42 Investments “ Nevertheless, t h e unmistakable tendency has been for the Federal Reserve’s total portfolio of govern ment securities to rise. This is a tend ency which, under the circumstances, is undesirable and unhealthful. The crux of the problem obviously lies in the peg levels for the War Loan 214 and 2 V2 per cents. There are two di rect ways out of this dilemma. One would be to place restrictions on sales. The other would be to allow the price to decline below par so that the holder of a war loan would suffer some loss if he sold out prior to maturity. The first solution is that of a controlled economy. The second is that of a price economy.” One of the most conservative and highly regarded of the investment ad visory services points out that while “these statements shed no light upon the subject, they will probably serve as a rallying point for that group which opposes present levels of sup port and which up to now has been largely without public spokesmen. Public discussion of the merit of the bond support policy will probably continue to grow, possibly becoming a factor adding to the difficulty of con tinuing present pegs.” A. G. Becker & Co. Members NEW YORK STOCK EXCHANGE CHICAGO STOCK EXCHANGE NEW YORK CURB EXCHANGE (ASSOCIATE) Chicago 3 120 SO. L A S A L L E S T R E E T New York 5 54 P IN E S T R E E T ' A N D O TH ER C ITIE S Corporate Affiliate À. G. Becker & Co. IN C O R P O R A T E D Established 1893 Underwriters and Distributors of Investment Securities M U N IC IP A L B O N D S Iowa Illinois C O R P O R A T IO N B O N D S Public Utility Industrial Railroad W r i t e f o r c u r r e n t list q u a il Davenport Bank Building & co. Davenport, Iowa Waterloo ORice — Commercial Building M ember Chicago Stock Exchange Northwestern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Another thoughtful contribution has; been made in a handsome booklet, Se curities of the U. S. Government, just published by The First Boston Corp. of New York and Boston. The perti nent paragraph: “Our goal with respect to the man agement of the public debt should be away from a rigid pegging of the price of money, which has aggravated the postwar inflation. Until this is done, we can do little in the fields of mone tary and credit policy to alleviate the hardship of inflation. The unbalance that is rapidly developing in our in flated economy may eventually solve the problem by producing a painful deflation. Perhaps it is already toolate to prevent this unsatisfactory solution, but at least we should learn from our experience to try to prevent in the future such lack of coordination in our major economic policies as would again bring us to a similar sit uation.” The present money managers are in an untenable position. Deflation, or at least a check to inflation, is the avowed objective. Higher interest rates on short-term governments and on advances made by commercial banks are deflationary. But higher earnings from loans make all the more tempting a shift from low-yielding governments. The policy of the Re serve of protecting par and somewhat higher prices is a direct encourage ment, even an invitation, to make the shift. In fact, the System has bought something close to 1.5 billions in re cent weeks. If one could be confident that pres ent policies would be continued to the last ditch, one might conclude that there is no particular need to be ur gently concerned. The contrary, how ever, is the realistic attitude. There may well be a new administration and new policies in fiscal matters within a matter of months. For what it is worth, the moral aspect of the problem perhaps de serves notice. The obligation to pro vide support at par or higher for every obligation of the government,, regardless of whether or not payment is due, is said to be a moral obliga tion, essential to the protection of the government’s moral credit standing. This, of course, is a matter of opinion. An informed opinion has been sup plied, editorially, by The Wall Street Journal. It follows: “A bond is an obligation to pay a certain sum of money at a certain time. Morality does not require it to be a demand obligation payable at the lender’s will at a price which com pletely disregards the current state of the money market. Certainly moral- investments 43 ity does not require maintenance of -a market at an above-par premium.” Reserve Increase The Reserve has elected to exercise Some of the power granted it to raise reserves. The banks haven’t been hard pushed to figure out ways and means to meet the higher require ments. In the first place, they had some excess reserves. In the second place,'nothing was easier than to sell nff governments to the System. The rough and unexpected imposition of higher requirements has worked out about as expected. While it was simple enough for the banks, as a whole, to sell governments, the lash was felt with varying degrees <of severity. Not every bank had a comfortable bundle of governments; not every bank had excess reserves. The percentage increase was higher on the “country” banks than on the big-city institutions. The insurance companies, busily competing with commercial banks for good loans, are as free to sell their governments to the Reserve as ever, but they have not been asked to set aside larger re serves. For some strange reason, banks are more often thought of as •devils, particularly in election years, and insurance companies apparently get by as angels. The politicians know this and capitalize on it. In the long run, the banks will take care of themselves, but there are occasions when the distinction is uncomfortable. There is so little in the over-all pic ture that suggests higher prices for governments and so much evidence that the line cannot be held forever that counsel to continue an extremely cautious attitude is hardly worth the giving. Appropriately modified, the same advice is offered with respect to corporates. The outlook over nearby months is not cheerful. Lower prices seem inescapable. When the test comes, though, quality will make itself felt. Accordingly, the manager of an investment portfolio who has hewed close to the line; who has steadily improved quality and shortened ma turities, is safe enough. STATE MUNICIPAL and REVENUE BONDS B A LLA R D -H A S S E T T CO M P A N Y Central N ational Bank Building Des M oin es, Iow a BONDS Public Utility— Railroad Industrial— Muni cipal Bankers are cordially invited to avail themselves of the complete invest ment facilities of our organization. Equipment Obligations The conductor of this column has occasionally mentioned the appeal of rail equipment obligations. They are not only top-flight credits; they are generally of short to medium maturi ties and they come due with gratifying regularity inasmuch as they are is sued as serial obligations. By all accounts, there will be a considerable volume of these obliga tions coming to market before the end of the year. Usually, there are only three factors deserving special study. The term of the obligation is one. Actually a ten-year equipment trust https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E. H. Rollins & Sons Incorporated 135 SO U TH LA S A L L E ST RE ET, CH ICAG O 3 New York Boston Philadelphia San Francisco Northwestern Banker, O cto be r, J948 44 Investments P R I E S T E R & CO. Eighth Floor Davenport Bank Building DAVENPORT, IOW A L isted and Unlisted S ecu rities H. E. Jacobs H. C. Priester H. M. Sweet L am son B ros, c Co. V 207 Equitable Bldg., Des Moines, Iowa Phone 4-3266 S t o c k a m > C B o m m o d it y Established 1874 W . H. Sievert, M gr. r o k e r s W . E. C opelan d, A sso c . M gr. C. E. D euben, A sst. M gr. H om e Office— 141 W . Jackson Blvd., C h icago, 111. O T H E R Bloomington, III. Cedar Rapids, la. Davenport, la. Dubuque, la. Fort Dodge, la. A. E. HEUPEL, vice president, First Iowa Falls, la. Marshalltown, la. Kansas City, Mo. Mason City, la. Lafayette, Ind. New York City LaSalle. III. Omaha, Nebr. Lincoln, Nebr. Peoria, III. Waterloo, la. Quincy, III. St. Louis, Mo. St. Paul, Minn. Sioux City, la. Storm Lake, la. OWEN P. McDERMOTT Skaw , M c D e r m o tt & C o - INVESTMENT SECURITIES MUNICIPAL INDUSTRIAL RAILROAD PUBLIC UTILITY 914 Liberty Bldg. DES Phone 3-6119 MOINES Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H O W B A N K ER S W O U LD R ED U CE H IG H P R IC ES (Continued from page 23) B R A N C H E S JAMES C. S H A W is probably just as sound as a fifteenyear obligation, since both terms pro vide an ample margin over the depre ciated value of the collateral and the expected useful life of the equipment. Another is the margin put up by the railroad. Earlier this year there were some no-margin certificates of fered. Theoretically, a case of sorts could be made in defense of the prac tice, but precedent is against it. On the other hand, a 25 per cent margin is probably more than is needed. Something in between, say 10 or 15 per cent, likely is the most desirable set-up. Finally, there is the “name” ele ment. Some underwriters and anal ysts argue that the credit standing of the railroad which leases the eqiupment, might prove to be a vauable last bulwark. In ordinary times, though, the earning power of the equipment is great enough to meet all obligations under which it is pledged. For the present, the advice is not to pay too much for the added security of a good “name” and to make a sympathetic appraisal of the equip ment obligations issued on rolling stock leased to roads not having top credit standing.—The Find. 9, I O W A National Bank, Groton, South Dakota: “ It seems to me that the tremendous spending by the government creates an additional pressure for goods and the high support prices on raw mate rials, such as wheat, potatoes, etc., are self evident to keep prices up and my way of thinking is to take the support off and let supply and demand govern the situation. The present administration has been manipulat ing the affairs like a bunch of school boys, both national and international: the Berlin situation shows that now.” Announce Conference The First National Bank in St. Louis has announced that its 1948 Confer ence of Bank Correspondents will be held on Thursday, November 4th. at Hotel Jefferson, St. Louis. From 9:30 to 11:30 a. m. the bank will hold open house. At the morning session Mr. Donald Danforth, presi dent of Ralston Purina Company, St. Louis, will deliver the luncheon ad dress. Mr. Danforth is recognized as an outstanding industrialist. The afternoon session, from 1:45 to 4:30, will be addressed bj^ Herbert F. Boettler, vice president, and John 1. Hayward, assistant vice president of the First National Bank, and Ro land C. Behrens, vice president, and Investments hum In v estm en tH a n k ers Members of the Iowa Investment Bankers Association and a number of guests from M inneapolis, Chicago, Cincinnati, and N ew Y ork City, met at Hyperion Field Club in Des Moines last month, for the annual picnic and field day of the organization. There were about 150 in attendance. There were the usual prizes for go lf, numerous desirable attendance prizes, and of course the annual sweepstakes drawing. A bove are pictured a number of those at the Field Day. ing from left to right, they are: Head 1— Harry Graefe, Des Moines, president o f the A ssociation: Sherman Fowler, assistant vice president, low a-D es Moines N a tional Bank, secretary and treasurer; T. J . Landstorfer, T. C. Henderson and Company, Des M oin es; and Warry Westphal, assistant vice' president, low a-D es M oines N ational Bank, chair man for the occasion. 2— Roland White, Harris Trust Company, Chicago; Fred A. Sheppard, counsel and assist ant vice president of the St. Louis Union Trust Company, which is affili ated with the First National Bank. Mr. William A. McDonnell, president of the First National Bank, will pre side at the morning and afternoon https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Jerry 4b D ay Nordberg, K. II. Rollins and Company, Chicago; Frank Warden, vice president, Central N ational Bank, Des M oines; and Vernon Grant, Iowa Securities Commissioner, Des M oines. A Walter Vieth, V ieth, Duncan and W ood, Davenport; Charley Main, Balman and M ain, Chicago; Homer Kaupp, Juran and M oody, St. P aul; Pug Ryan, WTil]iam Blair and Company, Ottum w a; and Frank Filip, Filip and Company, Cedar Rapids. 4— D. E. McFarland, Kalman and Companv, M inneapolis; P. K. Van Winkle, P aine, W ebber, Jackson and Curtis, Chicago; Paul Stevens, Paine, W ebber, Chicago; and George Bell, Paine, W ebber, Des Moines. 5— The crowd of live ticket holders around the rostrum as the sweepstakes drawing neared the finish. 6— Frank Warden, Central N ational Bank, Des M oines; Tom Crabbe, Crabbe and Company, Cedar Rapids; and Sherm Fowler, Des Moines. sessions. Guest speaker at the (i: 15 evening session, following dinner, will he Beardsley Ruml. chairman of the board of directors of R. H. Macy & Company, Inc.. New York City, and for several years chairman of the Fed- eral Reserve Bank of New York. Mr. Ruml, a man of broad experience, is widely known in business and finan cial circles as one of the country’s top executives. Mr. Walter W. Smith, chairman of the First National Bank, will preside at this session. Northwestern Banker, O c to b e r, 1948 46 Investments in flt it io n a m t i t s f 'a u s e s UR inflation has reached a dan gerous stage but we must beware of trying “quack” remedies that will only make a crackup more certain, says an “ABC” in flation study by the family economics bureau of Northwestern National Life l nsurance Company. To judge whether any proposed remedy will really get at the causes of our trouble, we have to clearly understand those causes; this would be simpler “if various groups trying to hang the blame for high prices onto each other had not fogged up the facts O which the ordinary citizen needs to know,” says the study. “Actually government, business, labor, farmers, and plain John Q. Citizen himself are spreading inflation, knowingly or unknowingly,” it goes on. “The figures indicate that our na tional financial policies have been re sponsible for about two-thirds of our currency inflation to date, but that the greatest upward force on prices today is our general scramble to take things away from each other.” To understand the process that has knocked the buying power of the 1948 Greetings to the Iowa Bankers Association MUNICIPAL BONDS EXCLUSIVELY VIETH, DUNCAN & WOOD MUNICIPAL BONDS V alter E. Vieth A. M. MacLaughlin Davenport Bank Bldg. Phone 2-5379 Davenport, Iowa n ji J mtam e« t CVov/e S/to cA . ¿¡/¿-ex'/; (Fa>cAxiTt<je Underwriters and Distributors o f Corporate and M unicipal Securities L. H . R Y A N : Io w a R epresentative U nion B ank & Trust C om pany B ld g. O ttu m w a , Io w a ■/35 SfcuC /i IfetC fccA / e S ftw eet T elep h o n e F ra n k lin 2-4/5/ Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis T eletype C G y46 dollar down to 57 pre-war pennies, one needs to remember, says the study, that money is simply a way of split ting up work and goods into small handy pieces, or shares, so we can “swap” them conveniently. China has shown us how, when a country prints up new dollars much faster than it produces new goods, the money gets cheaper and buys less— each dollar’s share of goods is smaller. We haven’t inflated our money any thing like as much as China, the study says, but in 1939 there were 33 billion dollars in cash and bank checks cir culating in the United States, and to day there are nearly 109 billion—over three times as many, against less than twice as much goods—our industrial production has only increased about 80 per cent and our farm production has increased about a third. The biggest jump in our money supply occurred when, by borrowing enormously from the banks during the war, the government “hocked” future tax collections for many years, ahead and poured these billions im mediately back into circulation. Most governments have financed war at least partially this way because it is easier and more popular at the time; it permits “both guns and butter,” and puts off the real financial pinch until later, the.study points out. Some 50 billion of these borrowed dollars have not been paid back to the banks, and are therefore still out in circulation, pushing upward on prices; this 50-odd billion amounts to auproximately two-thirds of the 76-billion dollar inflation in our money supply, says the study. “ Since continued huge government spending leaves little or no surplus with which to cut down this powerful inflationary force,” the study says, “the ordinary consumer can judge the sincerity of any government campaign to reduce the high cost of living by whether such a plan starts with severe government economies and a real at tack on the government debt.” With millions more workers em ployed, and wage rates more than double their 1939 levels, total indus trial payroll dollars have multiplied over twice as fast as output of new goods; this has been another strong inflationary force, says the study. By inflating the worker’s cost of living, rising food prices have been an im portant factor in successive rounds of wage increases. Yet rising wage rates, by boosting prices of goods the farmer buys, have thereby boosted govern ment price supports under farm crops, and so helped prop food prices still higher. Thus inflation feeds on itself, the study points out. Meanwhile, though we already en- Investments joy by far the highest average stand ard of living any nation has ever known, the study says, we as con sumers are actually trying to buy still more autos, houses, meat, etc., than the nation is producing, and are bid ding for them with an ever-increasing flow of paper dollars. In a pioneer village it was easy to see that the inhabitants’ only real in come was the goods they produced, the study says, and that they could not enjoy a still higher standard of living by passing around more money; they would only be trying to take things away from each other. This is exactly what we have been doing in our over grown “village” of 146,000,000 people, says the study, and it has driven prices ever higher. Remedies? The study says price control tries to mark up the buying power of cheapened dollars by official orders, but people resist accepting cheapened money for more than they think it is worth in goods; therefore reduced production and black markets are the unfailing results. We already have “unofficial” price ceilings set by the auto factories on new cars, the study points out, yet thousands of average respectable American citi zens are buying at much higher black market prices, to get their cars at once, and other average respectable citizens “are not above taking delivery on a car they do not need, in order to pick up some quick easy money by reselling it on the black market.” This, the study says, indicates that price control would again prove to be a “hollow-illusion,” which instead of remedying the over-supply of dollars and under-supply of goods, the real causes of inflation, would actually make them worse. Since three-quarters of our inflated money supply consists of borrowed or “credit” dollars, the government al ready has four powerful anti-inflation weapons in its arsenal: (1) Restric tions on both bank and consumer credit, (2) Economies in government operation, (3) Taxation policies, (4) Reduction of the inflationary federal debt. These are ample for the gov ernment to do its part, but the public must cooperate on all fronts if we are to “ease out” without a bust, the study says. The public holds what is probably the quickest anti-inflation remedy of all, but it is not an easy one, the study says; it is to trim down our individual demand to fit actual supplies available. “This automatically brings the sharp knife of free competition into play.” But it means that millions of people would forego many things they want immediately—a new car, a new re frigerator, some extra steaks and pork chops. The U. S. is now producing, and eating, 10 per cent more meat per capita than in 1929, a prosperous year; if we would plan our menus to fit these supplies, cutting down on scarcer, higher priced items, instead of bid ding for still bigger individual shares I V e f o o r th e ffe 47 r s a le notes of th ese representative finance companies Automobile Banking Corporation Philadelphia Colonial Finance Company Lima, Ohio Commercial Securities Company Baton Rouge, La. Consolidated Finance Corp. Indianapolis, Ind. Contact Purchase Corporation Detroit Interstate Finance Corporation Dubuque, Iowa Interstate Securities Company Kansas City, Mo. Liberty Loan Corporation Chicago Mercantile Acceptance Corporation 1San Francisco Mercantile Discount Corporation Chicago INVESTM ENT COUNSEL Individuals, Institutions, Trust A ccounts and Estates Manufacturers & Jobbers Finance Corp. RICHARD R. ROLLINS, INC. Mossier Acceptance Company Representing National Discount Corporation New Orleans SHERIDAN -F A R W E L L & MORRISON, I nc. INVESTMENT COUNSELLORS h ic a g o South Bend North American Acceptance Corporation Chicago E I G H T - SOU TH M I C H I G A N A V E N U E C Shelby, N. C. Northern Illinois Corporation 3 De Kalb, III. Ask for our booklet, “ M oney Management” O’ Dea Finance Company Des Moines Office 405 Bankers Trust Building Securities Acceptance Corporation Des Moines Omaha Southwestern Investment Company Amarillo, Tex. John M. Beyer • Calvin L. Rueffel Iowa and Illin o is M U N IC IP A L BONDS https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Chicago ASHWELL & COM PANY BEYER-RUEFFEL & CO. Investment Securities Kah! Building Winter & Hirsch, Incorporated 176 WEST ADAMS STREET CHICAGO, ILL. Davenport, Iowa Commercial Paper Collateral Loans Northwestern Sanken, Octo ber, 1948 48 Investments of meat than will come out of the total 1948 supply, we would quickly take the “steam” out of soaring meat prices without hardship measures like or ganized buyers’ strikes, the study says, suggesting that war-time slogans like “ Eat a little less meat,” “Cut out waste,” “Make it last or do without,” and “ Save for victory” apply equally well to winning the war against infiation. "Unless we do these things volun tarily, price inflation will force it by gradually exhausting the buying power of more and more people; this process is already going on,” the study warns. “ It is vital that the govern ment lead our people now, in realistic joint action against inflation, while there are still consumer savings and other reserves of buying power to cushion any corrective recession that develops.” S h o u ld t h e tm oreru n teu t C o n tin u e 1o S u p p o r t F o r m P r i c e s ? (Continued from page 17) moved altogether. Our business would be affected in that perhaps our de posits would be reduced, there would be less buying of automobiles, trac tors, and other farm machinery. 1 believe our inflation problem would be helped to a great degree.” DEWEY KTJIKEN, executive vice president, Landmands National Rank, Kimballton, Iowa: “ It would be foolhardy and per haps fatal to our economic condition of the present to completely remove all parity support to the farmer. 1 do believe that a slight downward movement in the support price will G r e e tin g s If t l l l l l i COMPANY T II0 M M to & IOWA BANKERS p p 1, In v e s tm e n t S e c u r it ie s Merchants Bank Bldg. C E D A R R A P ID S , I O W A p ★ HAROLD L. ALLEN INVESTMENT CO. ★ ★ SECURITIES OF IOWA CORPORATIONS 412 E quitable Bldg. BOUGHT Des Moines SOLD Harold L. Allen, Pres. QUOTED K. M. Ressler, Secy.-Treas. P rom pt R eply to Inquiries S P E C IA L IZ IN G . . . in H ig h -G ra d e T V lu n m p a L ß o n d A , SPARKS & CO. 528 Liberty Building Telephone 3-5154 DES M O IN E S, I O W A Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis become the wiser move, when our production reaches the point where surplus warrants it. Basically, how ever, our farm income must be kept high at considerable cost, if necessary, to maintain in the end the necessary high national income. For, as his tory has proven over and over again, the prosperity of the farmer is re flected in a like condition in every industry, large or small. “As a banker in a farmers’ terri tory, we are largely interested in the well-being of the farmer.” A. R. OLSON, vice president, the First National Bank, Beresford, South Dakota: “ In my opinion, the present sup port of farm crop prices at 90 per cent of parity should be continued. The government is not supporting high, farm prices but merely trying to es tablish a bottom price so there will not be a repetition of demoralizing farm prices and general depression throughout this country such as hap pened a few years ago. If farm crop prices could be held at 90 per cent of parity or even slightly above this amount, there would be no high farm prices. But when corn, wheat and grains of all kinds go 100 per cent and more above parity, we can hardly understand why such inflated values should be blamed to support of farm crop prices at 90 per cent of parity. “ I feel that with a bumper grain crop coming up this year and the European countries again producing good crops, there will soon be a sur plus of grains in this country and that prices on such grains will soon drop to parity prices and the high prices of food will soon be adjusted. With cheaper grains and feeds this will also take care of the meat and egg prices, as well as poultry. “ The only way we can avoid an other depression in this country is to support farm crop prices at 90 per cent of parity and in this way give the farmer sufficient compensation for his investment and labor so he in turn can purchase the manufactured articles which he might need on the same basis. “As stated above, I can see no con nection between the present support of farm crop prices at 90 per cent of parity and high prices of food. Inflation will take care of itself, as far as the farmer is concerned, when we get back to parity prices.” 49 Investments W. YY. ALLEN, cashier, SecurityState Rank, Madrid, Nebraska: “ I am certain that the government should not be so much in business that they are considered competitors with general industry. It has been a great help in maintaining a good price, but the general public would benefit if the high cost were lowered. I believe the government, should reduce its support gradually, and perhaps take three or four years to get out of its supporting position.” W e are pleased to announce the appointment of LEONARD G. MAJOR as our representative and the opening of an Ottumwa office 208 East Second Street Ottum wa, Iowa Telephone 6070 WHEELOCK & CUMMINS, INC. INVESTMENT SECURITIES M em ber Chicago Stock Exchange Chicago Des Moines A. G. DUELING, cashier, Farmers State Bank, Ormsby, Minnesota: •‘It is our opinion that this support should be continued indefinitely, and as to the per cent of parity, that should probably be adjusted from time to time. “ Probably it would be in order to lower the per cent to 75 per cent if this will materially help combat the high cost of foods. At 75 per cent of parity agriculture would still be on a solid foundation and that is the main object as we see it. Agriculture should have an all-time protection from the disastrous conditions in the early 30’s. “ If the support should be removed entirely we would not feel safe in granting credit to a large share of our farm borrowers, for we remember the situation of the early 30’s too well.” H. E. IVERSON, cashier, Farmers State Bank, Canton, South Dakota: “ it is our opinion that government support could be reduced to a lower percentage of parity, providing the price of articles which the farmer has to purchase will be reduced accord ingly. The prosperity of the farmer is essential in creating a market for manufactured articles. The govern ment debt and expense of today makes it essential that the farmer, business man and manufacturer alike enjoy a sufficient amount of prosperity so they will pay their share of government, and gradually provide for retirement of the government debt. We would not favor the removal of price sup port, as we have seen that this can bring about a depression through fall ing of prices, when the public is forced to keep selling. “ We doubt if a reasonable reduction in government price support would affect our business, but we feel the reduction should be effective on what the farmer has to buy, as well as on that which he sells. It would have no effect on inflation if a regulated pattern would be followed.” Municipal Public Utility Railroad Industrial B onds S to ck s H. M . Byllesby and Company Incorporated 135 South LaSalle Street, Chicago 3 Teletype Telephone Financial (i-4600 New York - CG 273 Philadelphia - Pittsburgh - Minneapolis M U N IC IP A L B O N D S Specializing in Iowa County, City, School and Municipal Utility Revenue Issues C D. B a r l e t o n IN V E S T M E N T e h C o . S E C U R IT IE S DES MOINES BUILDING He s Moine s , I owa TELEPHONES: 4-8156, 4-8157 ELMER G. RASCHE, vice president, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, O cto be r, 1948 50 Investments ÊUth Y e a r f o r ? 'N o r t h e r n e r s 93 LaPorte City City, Iowa: State Bank, LaPorte “ In my opinion, the government support should be reduced to a lower percentage of parity, but not removed entirely for the present. “ Our customers, especially the farm ers, could take a lot less for cattle, hogs and grain if replacements were not so high. This would undoubtedly curb inflation to a large extent. CITIZENS STATE BANK, New Ulm, Minnesota. “ In our opinion, the government support of parity should be reduced to some lower percentage of parity. We believe the final results of such a move would be beneficial, and cer tainly inflation would be checked.” ADDING TO ITS long and successful history, “ The Northerners’’ program, Chicago’s oldest continuously sponsored radio show, began its 18th year o f broad casting last month over stations WGN and WGNB, 9:30 p. m., C.D.S.T. The Northern Trust Company of Chicago, sponsor o f the program since its incep tion, inaugurated its first show on a Chicago station in January o f 1931. It was not until September of the same year, however, that something similar to the pres ent format, including women soloists, “ The Northerners” octet and an orchestra, Avas instituted. “ The Northerners” moved to station WGN in April, 1935, where it has continued its now well-established, highly successful pattern, which includes “ The North erners” octet, girl duo and orchestra, under the baton o f Walter Steindel, promi nent Chicago musical director. Shown above broadcasting from station W GN’ s large audience studio is “ The Northerners” cast on the occasion o f their anniversary. G reetin g s . . . IOWA BANKERS RAVENSCROFT & CO. J. E. PIEB, cashier, Belvidere State Bank, Belvidere, South Dakota: “The majority of people, other than farmers, that I have talked with in this territory believe that farm prices are being supported at too high a level. However, they do not favor a no-support program. “ It appears that the present high support levels must be causing some inflationary pressure which should be modified next year. Any effort to lower them this year would cause a great deal of confusion and disrup tion, I believe.”—The End. Specializing in M u n icip a l B o n d s fo r In stitu tional In v e stm en t W e Trade All Securities W e would appreciate an o p p o rtu n ity to b e o f service MERCHANTS NATIONAL BANK BUILDING— CEDAR RAPIDS, IO W A “ T h e m arket place fo r loica Securities' B est wishes to m em b e rs o f the Iowa B ank ers Association <? V T. C. HENDERSON&CO. E stablished 1930 M embers Chicago Stock Exchange Prospectus on request from Principal Underwriter INVESTORS SYNDICATE ---- Minneapolis, Minnesota T. C. Henderson, Pres. E. A. Petersen. V ice Pres. T. J. Landstorf er, Vice Pres. K. C. Shreve, Vice Pres. G. D. K aufm an, Vice Pres. O. D. Penn, S ecreta ry Helen W alker, T reasurer 2 0 6 Empire Bldg. Northwestern Banker, O cto be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Des Moines 51 Investments R e ce iv e s A w a rd Mrs. Evelyn K. Goodman of Rich mond, Virginia, was proclaimed win ner of the Jean Arnot Reid Award by the Association of Bank Women dur ing the annual convention of the association at Hotel Fort Shelby in Detroit. The award, established by the asso ciation in honor of a former president and founder, consists of an engrossed scroll and $100 in cash. It is pre sented annually to one of the ten wom en graduates of the American Institute of Banking with the highest scholas tic average. The award is based on qualities of scholarship, leadership, service and character, and is intended to inspire younger women in banking to advance in their profession. B A N K ER S W E L C O M E RETU RN O F R E G U L A T IO N W (Continued from page 20) has not been in effect. We believe this is in line with sound banking. “ The only reason we would be in favor of the return of the regulation is if it will help to hold down infla tion. We are very much opposed to any government regulation of credit in any form whatsoever. “ It should make the government’s face red to think of their spending policy, when trying to regulate the spending of private individuals.” J. F. HAMM, president and cashier, Livermore State Bank, Livermore, Iowa: “ The effect it will have on our vol ume of installment loans will be neg ligible inasmuch as we have main tained practically the same percentage of payment required to purchase price as was required when the regulation was previously in effect. Further more. the maturities have not been lengthened. If the desired effect can be obtained through this restriction we are for its strict enforcement. Too many retail outlets have been adver tising to sell their merchandise for 10 per cent down and the balance on long term credit.” W . H. BRAMER, cashier, Bank of Mullen. Mullen, Nebraska: “ The regulation will not affect the activity of installment loans in our bank. Our margin requirements in the past have been equal or even greater than required by Regulation W. Our opinion is that return of the regulation will curb reckless install ment buying and the loans made will be more substantial.” National Bank, Garrettson, South Da kota: “We do not anticipate any reduction of new installment loans on account of Regulation W, as it will require Specializing in no change from our present practices. We favor its return.” ORYAL SPAHN, vice president, First State Bank. Mapleton, Iowa: Investm ent M anagem ent for HIGH GRADE I m U r i d tin (. E s l a l e MUNICIPAL BONDS and Institutional Accounts Inquiries Invited lip o ke r k C o w n ie , Inch •I. C . E n •/v a r l 823-24 Insurance Exchange Bldg. DES MOINES 9, IOWA Insurance Phone 3-5189 Exchange Building Des Moines, Iowa A THE "CH ECK 1 he check desk in a bank could be an elaborate affair set out in the center o f the lobby or it could be o f modest design located at the statement window, or it could be combined with the new ac count department. It doesn’t mat ter much what form it takes or where it is placed as long as it can be reached conveniently by customers and as long as it con trols the distribution o f all checks within the bank. By concentrating all checks at one point almost any bank could save a lot o f money. The young lady in charge would soon be selling m ore Personalized Checks and giving away fewer stock checks, and in no time at all she would be recovering her salary. Each or der she sold would save the bank about seventy-five cents, and this, translated into about fifty percent D E SK ” o f the customers, would bulk up large over a period o f years. Then, too, customers wouldn’t have to wait in line at tellers’ windows and both tellers and offi cers would be relieved o f the job o f handing out check books. And o f course when the operating men began to see more and more of those "easy-to-sort” Personalized Checks moving smoothly thru the bookeeping department, they’d love it. T h e natural c o m b in a tio n o f D eLuxe Personalized Checks, DeLuxe advertising material avail able at no charge, the check desk itself and the young lady with a smile to preside over it, would make a worthwhile contribution to the bank, its customers and its operating division. It is indeed a "natural” . B. O. WANGNESS, president, First https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, O cto be r, 1948 52 Investments “ The resumption of Regulation W will have no effect upon our loan department. Our institution has main tained its own ‘Regulation W ’ in that we have always placed a conservative limit of amounts to be loaned on automobiles and other items now cov ered by the regulation. “We sincerely believe that the re sumption of the regulation, however, is a very wise move in curbing infla tion.” K. E. MARTIN, cashier, First State Bank, Goodrich, North Dakota: “The resumption of Regulation \V will not affect the activity of our in stallment loan department. We have been very conservative in making in stallment loans. We have always re quired down payments larger than Regulation W will require. We do not believe in making long term in stallment loans. “ This new regulation no doubt will affect the installment loan business in larger towns and cities, where most people work for salaries.” R. P. HAYES, vice president and manager, branch Northwest Security National Bank, Gregory, South Da kota: “We are happy to say that the re sumption of Regulation W is not go ing to have any effect on our install ment loans. “ Since Regulation W was repealed we have been sticking to its require ments and have been insisting on at least one-third down payment on auto mobiles and 20 per cent on other goods. As far as we are concerned it will not make any difference to us that Regulation W is again in effect. “Personally, 1 think that most banks have followed the same procedure and policy that we have and if the large mail order companies and department stores had stuck to the provisions of Regulation W, or near the provisions, we would not have had the resump tion of it.” H O W A M IN N E S O T A BA N KER F IG H T S C O M M U N ISM (Continued from page 22) people own the capital and individuals manage it.” “ Russia has the world’s most brutal government,” still another ad heading told readers. In an attack on govern ment ownership of barge lines, Mr. Woodward declared, “U. S. barge lines are piecemeal communism.” The bank executive is not unmind ful of the advertising value of his cam paign. “ I figure,” he says, “that the ads are attracting more attention than all the others we ran in the previous 10 years.” Y ou h a v e a standing invitation to visit the H A W K E Y E SECURITY C om p an ies at a n y time, of course, but while you 're here for the Iow a Bankers C onvention w e w ould like to extend a special invitation to see us. The H A W K E YE - SECURITY C om p an ies are just across the street from your convention headquarters. Congratulations on your fine con vention and en joy the hospitality of D es M oin es. Rem em ber, too, that team w ork is m aking your convention a su ccess . . . just a s team work m a k es a su ccess of your business. the Team w ork is the b a sis of the relationship betw een H AW K EYE-SECU RITY C om p an ies and their The C om p an ies work closely with A ge n ts . . . A gen ts. do all in their pow er to help A gen ts build sa les w hile performing insurance service in their comm unities. The series has been commented up on by numerous publications. Repre sentative George MacKinnon of the Third Minnesota district had texts of several of the ads published in the Congressional Record. Not all—but most—of the response has been favorable. A columnist in the Columbia Heights Record took some potshots at the ads. So did a reader of a paper at nearby Fridley, Minnesota. But Mr. Woodward esti mates the pros outnumber the cons by 20 to one. Mr. Woodward prepares the text for the ads himself. He put in a stint on the student paper at the University of Minnesota, he explains, so his knack of preparing copy is not exactly an accident. Members of the bank staff and customers pass on valuable sug gestions for the ads. He has been a banker in Minnesota and Montana more than 40 years. In 1931, he sold his interest in the First National Bank of Hobson, Montana, and later served as northwest man ager of the National Association of Owners of Railroads and Public Util ity Securities. In October, 1937, he or ganized the Columbia Heights State Bank, which now has assets of $2,- ‘ 032.146.—The End. Northwestern Banker, October, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 53 IN S U R A N C E YouWant Ytuuuge to Wo Your thru H ere A re Ten Q u estio n s for You to A n sw e r If You A sp ire to Be a G en eral A gent or M anager By BERT A. HEDGES, C.L.U. General Agent, Business Men's Assurance Company, Wichita, Kansas P RACTICALLY every life under writer who achieves any consider able degree of success receives from one to a dozen offers from as many companies who want to make him a general agent or manager. Glowing pictures of potential income “from your men” are painted. In four or five years, he is told. “You’ll have so much income from your agents you won’t have to pound the pavements yourself in personal selling.” Typical cases which usually include a few of the most successful managers or gen eral agents in his own city or with this particular company are cited. His wife is told that her husband is “too good a man to be just an agent all his life.” True, there has not been so much of this sort of thing in recent years. But sometime, probably soon, we shall get back to what 1 would call “normal conditions” rather than to sail bliss fully along on “order-taking” methods or lack of method. Agents who have never really learned the fundamental principles and practices of selling and others who have forgotten them will drop out of the business. Managers and general agents will fail to hold or recruit adequate manpower. Home office agency superintendents will be called upon to replace managers and general agents who have failed or are failing to show results. Manager Needed Let us say, the superintendent of agencies of a life company has been told he must appoint a manager or general agent in “Big Town.” It seems that this company once had an office there and still has a good many policy owners and a mediocre agent or two. It also seems to be a good insurance city for there are 15 or 20 good agen cies there. So Mr. Superintendent comes to Big Town. He goes through some of the same procedures my fellow-managers and I would follow if we were trying to recruit an agent. That is, he goes to a few policyowners, a few personal acquaintances, doctors, lawyers, secre tary of Chamber of Commerce, etc., and tries to impress upon them that he can offer a rare opportunity to the right man. And as do we as manag ers, so does Mr. Superintendent get the names of men already in the life insurance business—only more so. He is actually seeking men already in the business, whereas most of us manag ers and general agents, I think, are not primarily interested in agents now in business. This Mr. Superintendent is seeking only a man now with life in surance experience. For the purpose of my remarks, suppose one of these is you. You have been in the life insurance business two or three years. You have done pretty well. You have already topped a number of men of much greater experience. Without being egotistical, you can say you are on the road to real success as a life un derwriter. (If you have concluded you have actually achieved success rather than merely being on your way Did you know that this company pioneered in putting Bank Insurance on a scientific basis and forcing: rate reductions? Ask us about our counseling service. you’re probably heading for a down fall.) Mr. Superintendent makes an appointment with you. He tells his story—tells you how highly you have been recommended. He paints that glowing picture of that rare oppor tunity to which I referred in my opening paragraph. Naturally, you are flattered. It would be unnatural if you were not. Perhaps, by subtle inference, he plants in your mind a few doubts about whether your own manager or com pany quite appreciates your ability. Maybe they haven’t suggested you may some day become a manager. Maybe your manager is a relatively young man who won’t retire for 10 or 20 years, so you see no chance of stepping into his shoes. You like this town. You want to stay here. True, you are making a good income. You like to sell insurance. But, after all, Mr. Superintendent is right. You don’t want to be just an agent all of your life. (Or did Mr. Superintend ent put that idea into your mind?) Ten Quesisons I could never personally subscribe to the doctrine that any agent is “tied” to a given company or agency by any so-called code of ethics set up by com panies or managers among themselves. 1 see no reason why my agents would not feel as free to discuss other con nections as would an office supply salesman, a store manager, or anybody else. By the same token, I generally feel that any other manager or com pany has every right to hire any of Scarborough & Company Insurance Counselors F IR S T N A T IO N A L BANK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis B l'T I.D T N G . C H IC A G O IL L IN O IS STATE to Banks 4325 Northwestern Banker, O c to b e r, 1948 54 Insurance my agents at any time he cares to hire them as long as he doesn't prac tice misrepresentation of the facts. If one of my men isn’t happy in his association with my company and me, and I can’t make him feel differently about it. I’ll even help him find an other connection. And I’ll probably do a better job of it than he could. 1 never believed I could buy or force loyalty. But I do strongly advise you, Mr. Agent, to weigh carefully any and all “offers,” especially those which would bring you “fame and fortune” as a manager or general agent from another company or from your own for that matter. Ask yourself and Mr. Superintendent some such questions as these: 1. What is the job of a manager or general agent? 2. What are the essential character istics of a good manager? 3. Do I have those qualifications to a high degree? 4. What is the source of his income? 5. What volume of business must a general agent secure from his agency to offset his own personal production lost because of time and energy required to recruit, train, and supervise his men? (». What are the financial obligations involved? 7. Do 1 want to give up my present savings Ask Mr. Superintendent these ques tions. Ask them of yourself. Of course, you really should have a frank discussion with your own manager about the whole matter. After all, he knows more about your potentialities than anybody else. But if, for some reason you cannot do this, go to some successful “old-time” manager of an other company whom you respect and admire and ask his advice. You’ll be surprised, perhaps, to learn how glad most veterans are to advise and coun sel with men new in the business.— The End. is w h y in cre a sin g n u m b ers of Io w a ba n k s a re r e c o m m en d in g E m p loyers M utual for all ty p es of fidelity a n d surety bonds— “A college education for women is futile.” “Why?” “ If they’re pretty, it’s unnecessary; if they’re not, it’s inadequate.” at w o rth -w h ile H iERE RATES —Substantially lower on most types of bonds. Probate Bonds SECURITY — Largest casualty company in Public Official Bonds Iowa. Assets over $14,000,000. Treasury Dept. Approved List. C ity, School County, State License Bonds Beer, On LT. S. SERVICE —An Iowa company. C igarette, etc. every locality. bond needs. Individual, Schedule and Blanket Fidelity Bonds Agents in Prompt service on all your Write for information on this BETTER bond ing service fo r your customers. Contract Bonds C. L. WILLIAMS, Manager, Bond Dept. EM PLOYERS M U T U A L C A S U A L T Y C O M P A N Y Des Moines F I DELI TY A N D S UR E TY BO N D S • W O R K M E N ' S C O M P E N S A T I O N A U T O M O B I L E • PLATE G L A S S • PUBLI C L I A BI L I T Y I N S U R A N C E N o r t h w e s t e r n Banker, October, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis independence to assume the re sponsibilities of other men and their families and be subject to their beck and call? 8. Could I be worth more to this strange company than to my pres ent company? 9. How long did it take those eight or ten most successful general agents or managers of this city to become successful? 10. Finally, if this Mr. Superintend ent’s proposal offers such an un usual opportunity, why is he bring ing it to me, a man of relatively little experience in the life insur ance business as an agent and none at all as a recruiter and trainer of other men? 1948 W a stin g T im e Y O U R " E X T R A " TR U ST O F F IC E R Y o u will be surprised how our EXTRA M A N in your trust departm ent can increase your Trust Business. Connecticut G en eral m en are trained in C om plete Estate A n a ly sis a n d are in a position to sell to the client the services of your Trust Department and your Trust Officers. W h e n a Connecticut G en eral specialist from the C harles M . M a x w ell A g e n c y works with bankers, they find out quickly that he is cooperative and know s bankers' problem s. For full information on this v a lu a b le service address CHARLES M . M A X W E L L 640 Des Moines Building Des Moines Telephone 3-7644 Iowa State Manager Connecticut General Life Insurance Company Hartford, Connecticut Insurance 55 Stability Throuyh iALv insurance NEW campaign showing how typical American families are making progress towards great er family happiness and security by displaying initiative and using intelli gently the opportunities open to them has been launched by the life insur ance business, the Institute of Life In surance announced. A By telling how specific families in many sections of the country are getting ahead despite rising living costs and other problems, the cam paign will emphasize that the oppor tunity for progress is still open in this country to those families who are willing to put forth the effort in their jobs, and in their home and com munity relationships. Keynote of the campaign will be expressed in the phrase “As goes the family, so goes the nation,” which has run consistently through the Institute’s public service program on family problems since its inception two years ago. Emphasis will continue on sound family money management as an element in family happiness, but this will be subordinate to the main theme. Under the title of “American Family Close-Up,” the campaign will present pictorial stories based on interviews with representative families in various parts of the country. These families will tell in their own words how they have set up their family programs and just what the programs are giving them. These pictorial stories will ap pear as a series of advertisements in daily newspapers from coast to coast and in leading farm publications. The family experiences and accomplish ments will be the central theme of the advertisements. The new campaign was announced by Holgar J. Johnson, president of the Institute, who stated: “None of the families chosen for presentation in the new campaign is in the so-called high income brackets. Some have what would be regarded as relatively modest incomes these days. By and large, therefore, they can be regarded as typical of the great major ity of American families, meeting the same problems of this postwar period, living under relatively the same condi tions, and sharing the same aspira tions for themselves and their fami lies. “Thus the experiences of these fami lies can be an example to countless other American families and serve as an inspiration to them toward greater accomplishment through their own initiative and effort. Given roughly the same set of conditions, one family can do what others can do. That is why we in the life insurance business are happy to sponsor the new cam paign in the conviction that it will represent a contribution to the com mon welfare as well as to better fam ily living as a whole.” The Institute will carry out the campaign under the signature, “The Life Insurance Companies and Their Agents.” Approximately 160 life in surance companies are participating in the campaign as a cooperative public service effort. The advertisements will appear regularly in 375 daily newspapers in 232 cities with 36 mil lion circulation and in leading farm magazines with more than 6 million additional circulation. The essential philosophy of the new campaign is summed up in the fol lowing paragraph which will conclude each advertisement in the new series: “The Life Insurance Companies and Their Agents publish this story be cause families like the Lanks show us W e P a u s e to P a y T r i b u t e to O u r F r ie n d s o f th e B a n k in g F r a t e r n i ty w h o a re r e s p o n s i b l e in a la rg e m e a s u r e f o r o u r . . . A C H IE V E M E N T . . . since 1 9 2 3 under the Company’ s present management and active program GROWTH IN ASSETS JANUARY INSURANCE IN FORCE $ 10 0 , 0 6 2 . 0 0 1923 $1,404,500.00 $ 2 0 8 , 9 6 1 . 0 0 1928 $ 5 , 5 0 1 , 2 9 1 . 0 0 $ 7 0 0 , 9 1 9 . 0 0 1933 $ 8 , 2 1 2 , 7 9 7 . 0 0 $ 1 ,2 1 9 ,0 7 3 .0 0 1938 $ 1 3 ,3 5 6 ,8 2 1 .0 0 $ 2 ,8 2 2 ,9 3 9 .0 0 1913 $ 2 6 ,1 7 1 ,4 6 0 .0 0 $ 7 , 5 1 7 , 1 6 2 . 0 0 i\ o w in F o r c e O v e r 1 1948 1 $ 5 0 , 4 9 9 , 6 2 6 . 0 0 $ 5 5 ,0 0 0 ,0 0 0 L i f e in s u r a n c e POLICYHOLDERS NATIONAL LIFE INSURANCE COMPANY https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H o m e O ffices: Fourteenth Street - Main Avenue, Sioux Falls, South Dakota Northwestern Banker, O cto be r, 1948 56 Insurance how happiness is earned. Their suc cess reminds all of us that we can still get ahead by our own efforts. They prove that more of the better things in life come from doing a better job . . . that dreams for tomorrow depend on the successful handling of the family money today. And the exam ples of families like these inspire us to preserve our rights, to think for our selves, work at what we like, live as we choose. The way they live shows that we as Americans have both great responsibilities and great privileges. What this country amounts to depends on what happens to its homes.”—The End. 1 \Yhni U rn u p I n s u r a n c e U n es A BUNDANT evidence of the /A ability of American business ' ' t o meet its human obligations and responsibilities in an efficient and satisfactory manner is contained in the existence of group insurance and pension plans throughout industry,” according to Clarence W. Wyatt, vice president of the John Hancock Mutual Life Insurance Company. “The incidence of group protection for workers in industry,” Mr. Wyatt also said, “is not an achievement of management, or of labor, or of the in surance companies, but of all three // - 2 — 3 — 4 — 5 — 6 — 7 — 8 — 9 — 10 — 11 FOR ELEVEN STR AIGH T Y E A R S CHAM PIONS O F THE UNITED STATES The O n ly Bankers Life C o m p a n y A g e n c y with $50,000.000 in force. W . K. NIEMANN. Mgr. The W. K. N I E M A N N Agency B a n k e r s L ife C o m p a n y o f I o w a N ine-O -N ine Flem ing Building HOPKINS Des M oin es I NS URANCE B. C. H opkins B. W . H opkins INSURANCE AGENCY W . V . Hopkins working together as only American enterprise can work toward a common goal. “Last year,” he continued, “40 per cent of all group life claims on employed personnel was paid to families who had no other life insur ance. In the case of executive person nel, 12.5 per cent had no other life in surance. “Translate the millions of dollars in payments this represents into human terms and you can tax your vision of the great contribution employe pro tection plans are making to the whole some continuance of the American way of life. The beneficiaries of these policies do not have to turn to pater nalistic government for help in their distress because this help has been provided by the breadwinner himself through voluntai’y participation in a plan conceived and developed by private enterprise, and recognized and accepted by labor organizations as an instrument which permits a man to translate his own toil into security for his family, to retain his pride and his independence, and to divorce his fu ture fortune from the wheel of poli tics or privilege.”—The End. Dividend The board of directors of Manufac turers Trust Company has declared the regular quarterly dividend on the bank’s capital stock in the amount of 60 cents per share. The HOME INSURANCE COMPANY of NewYork COUNSELORS 206 Securities Building Phone 4-5253 Des M oin es 9, Iow a E X T E N D S G R E E T IN G S to m em b e rs o f the Iowa Bankers Association G r e e tin g s IO W A to th e BANKERS A S S O C IA T IO N TH E HOM E FLEET E . H. Davis A. Art E . Holm W m . D. Gehringer Augustine William K. Hankinson Carl M. Hall Andrew A. Ingram L. J. W herry W . J. Matthe« Don O. Jones Robert L. Aschim Cy Carpenter L. W . Roland C. S. Cathcart W . F. Roberson N A T IO N A L FIR E GRO U P 507 10th Street, Des Moines 9, Iowa Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1201 De» Moines Bldg. DES MOINES Insurance N EW S A N D V IEW S (Continued from page 24) Corporation, Milwaukee, Wisconsin, $690,000,000; Marine Bancorporation, Seattle, Washington, $382,000,000; Flor ida National Bank Group, Jackson ville, Florida, $380,000,000; Baystate Corporation, Boston, Massachusetts, $357,000,000; BanOhio Corporation, Co lumbus, Ohio, $355,000,000; Citizens and Southern Holding Company, Sa vannah, Georgia, $325,000,000; and First Security Corporation, Ogden, Utah, $305,000,000. From January through August, 1947, the Brooklyn Trust Company was menaced and harassed by the Financial Employes Guild Local 96 and United Office and Professional Workers of America, CIO, and now the company is bringing suit against the union for $250.000 damage during the strike. The Brooklyn Trust Company claims that the purpose of the union was “to gain control over the plain Company wins its suit because it is high time that such union tactics were prevented in the future. Hex Van Alstine, formerly with the Live Stock National Bank in Chicago, is now associated with the Nu-Art En graving Company, 920 North Franklin Street, Chicago, and has already sent out samples of some of their fine Christmas cards. John S. Coleman, president of the Burroughs Adding Machine Company, Detroit, Michigan, in reporting on the company’s activities for the first six months of 1948 up to June 30th, said that, “Total income from sales and A 57 service activities of Burroughs and its subsidiaries during the period was $50,099,740, as compared with $30,898,528 for the same period last year. “ Consolidated net earnings for the first six months of 1948 were $6,604,781, as compared with $2,657,382 for the corresponding period in 1947. Of these earnings, $1,024,869 were earnings of foreign subsidiaries during the first half of 1948, as compared with $749,485 earned by foreign subsidiaries for the first half of 1947.” Harry T. Abernathy, chairman of the executive committee of the First National Bank of Kansas City, Mis souri, and an executive of the institu- G ood Company with which to Insure tiff’s employes and to thereafter gain control over employes of all financial and banking institutions, for the pur pose of attempting to harm and ulti mately destroy such institutions, in keeping with the communistic philos ophy to which they (the defendants) subscribe and put into practice, i. e., to destroy such private banking enter prise in the United States of America and, in particular, within the City of New York.” A G ood Company to Represent We certainly hope that the Trust Oldest National Mutual Fire Insurance Company West of the Mississippi. Special Agents C. D. W herry Assets _________________________________________ $ 4,458,577 Surplus to Policyholders________________________ $ 1.028,042 Savings to Policyholders Since Organization____ $20,286.609 R. S. Ingham A . B. Mehaffey M IL L O W N ERS M UTUAL T. R. M cDonald R. ,1. Mugge ★ Hartford Fire Insurance Co. Citizens Insurance Co. R oom FIRE INSURANCE COMPANY OFFICERS F. D on M eurer .... Asst. Secretary II. B. Car s on ................President L. K. S ha r p ........ Vice Pres.; Secy. D on T. K irk m a n ... Asst, Secretary L. M c K i b b a n ........................... VicePresident H. E. H udelson .... Supt. of Agents J o h n W ise ........ ........ Treasurer I. E. S a m s .... Mgr. Canadian Dept. C. W . L et z .............................. Asst.Treasurer J o h n W atters ...... Asst. Manager, Canadian Dept. .J. E. R obb............................... Asst.Secretary 700, 507 W . 10th Street D E S M O IN E S https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Des M oines, Iowa H am ilton, Ontario Northwestern Banker, O c to b e r, 1948 58 Insurance tion since 1894, died recently at the age of 83. He had been ill several months. Before joining the bank as auditor, he had been treasurer of the Aber nathy Fourniture Company, headed by his father, the late Col. James L. Aber nathy, who was also the inactive presi dent of the First National and one of its original board of directors. Mr. Abernathy was elected assistant cashier in 1895, cashier in 1900, and president in 1927. He served in that post until 1941 when he became chair man of the board. In January, 1947, he succeeded the late Edward Swinney as chairman of the executive commit tee. At the same time his son, Taylor S. Abernathy, was elected president, thus representing the third genera tion of his family to hold that office.— The End. Loss of Income Insurance companies and fraternal societies in the United States are in suring nearly 19,000,000 per s ons against loss of income caused by sick ness or accident, as disclosed in a sur vey made by the Insurance Depart ment of the Chamber of Commerce of the United States. DISTRICT MANAGERS B. T. A ga rd , Sioux City D. A . Epperly, Atlantic H. G . Griffith, M a so n City C. E. Miller, W aterloo R. A . Roth, Dubuque Robert Sm yth, Ft. D odge R. L. Sw arzm an, D es M oines C. U. W a lk er, Burlington K. L. W a r b o y , C edar Rapids R. D. R yan, Davenport ★ ★ ★ C U R T IS W. PO O LE THE EQUITABLE LIFE Agency Manager Equitable Life Assurance Soc. of U. S. 1220 Des Moines Building Des Moines, Iowa A S S U R A N C E SO C IE TY O F THE UNITED STATES FORTY VEIIIS iii Progress M E R MUTUAI C H A. N T S BO N D IN G COM PANY Incorporated 1933 W e are proud of our record Hom e Office SAV IN G S & LO A N B U ILD IN G our Banker Representatives. NINTH & GRAND DES MOINES 8, IOWA Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis GREETINGS » ASSOCIATION A progressive company with experi are proud of our two hundred bank agents in Iowa. To be the exclusive representative of this company is an asset to your bank. © E. H. W A R N E R “ Mutual Insurance Is American Insurance99 Life insurance purchases in the United States in August showed an in crease of 6 per cent over purchases in the corresponding month of last year and were 82 per cent over the aggre gate reported for August in 1941, it was reported by the Life Insurance Agency Management Association of Hartford, Connecticut. Total pur chases in August were $1,707,401.000 compared with $1,616,330,000 in Au gust of last year and $936,310,000 in August, 1941. This is Iowa’s oldest surety company. We FIRE INSURANCE COMPANY P urchases Up IOWA BANKERS enced, conservative management. WESTERN METER This is the third annual study made by the Chamber’s Insurance Depart ment of the amount of protection against loss of income caused by sick ness or accident carried in private in surance companies. The figures do not include many millions of persons protected through other means, in cluding employe plans, mutual bene fit associations, Blue Cross and affili ated plans, union plans and other kinds of voluntary coverage. Des Moines, Iowa W e write a com plete line of bile & Plate Glass Insurance These figures are presented in a summary of the survey by A. L. Kirk patrick, manager of the Insurance Department of the Chamber, as pub lished in the August-September issue of American Economic Security, the Chamber’s magazine dealing with so cial security matters. to th e in the Insurance field and of Fire - Windstorm - Automo In addition, nearly 20,000,000 persons are insured against hospital expense; nearly 15,000,000 against surgical ex pense, and 1,900,000 against medical expense. INTER-STATE ASSURANCE COMPANY ACCIDENT SICKNESS HOSPITAL PROTECTION Secretary and M anager Robert A . Brow n, President W . W . W ARNER Des M oines, Iowa Assistant Secretary Insurance Purchases of ordinary life insurance in August were $1,125,117,000, up 2 per cent over August a year ago and 94 per cent more than the total in August, 1941. Industrial life insurance purchased in August amounted to $336,009,000, an increase of 3 per cent over the cor responding month last year and 27 per cent over August, 1941. Group life insurance purchases were $246,275,000 in August, an increase of 32 per cent over August a year ago and more than two and one-half times the figure for August, 1941. These pur chases represent new groups set up and do not include additions of insured personnel under group insurance con tracts already in force. In the first eight months of the year total life insurance purchases were $14,305,416,000, a negligible increase over the first eight months of 1947, and nearly twice the corresponding period of 1941. Purchases of ordinary life insurance accounted for $9,725,350,000 of the months’ aggregate, slightly over last year and more than double the 1941 total. Industrial life insur ance purchases represented $2,793,637,000 of the current year’s total, a slight increase as compared with last year, while group life insurance purchases amounted to $1,786,429,000, an increase of 2 per cent as compared with the first eight months of last year. levels, a slight seasonal decrease was recorded in August, 1948, it was an nounced by W. E. Mallalieu, general manager of the National Board of Fire Underwriters. August losses were estimated at $49,543,000, a decrease of 2.7 per cent from losses of $50,955,000 in July. August’s losses were 3.5 per cent below the estimated waste of $51,359,000 recorded in the same month last year. The slight decrease should give the nation little cause for complacency, Mr. Mallalieu said. Fire losses always have declined during the summer 59 months, and have soared again during autumn and winter months as more and more stoves, furnaces and fire places are operated during cold weath er, and heavier strains put on elec trical circuits. The threat of severe forest fires due to prolonged dry weather in the north eastern and other states also calls for utmost caution to prevent repetition of the disastrous conflagrations that occurred in Maine last year, he said. August’s losses brought the total for the first eight months of this year to $486,978,000, a sum greater than losses for the entire year of 1945. For the MAKING After a loss, no banker cares about the cost o f insurance. Fires Decrease T h en the question is: "A r e w e co v ered ?” .Although fire losses in the United States are running at record high T h e Saint Paul B anker’s Blanket Bond protection p o ssible. C r u m an d F o r ste r M anagers (F orm N o . 2 4 , with extended coverage) is designed to give the greatest B A N K E R S Call a Saint Paul agent. BLANKET BONDS L. R. (L e tt) M o elle r, E xec. S tate A g e n t . SAINT PAUL-MERCURY INDEMNITY COMPANY 111 W est F ifth Street Soln t P a u l 2, M in n eso ta Insurance Counsellors to Banks United States Fire Insurance Co. The North River Insurance Co. Westchester Fire Insurance Co. British-America Assurance Co. Western Assurance Co. GREETINGS TO OUR MANY I O W A B A N K E R F R IE N D S ! W e sincerely appreciate the m a n y fine b u sin ess contacts w e h a v e en joyed for years am o n g m em b ers of the Iow a Bankers A ssociation. W. H. FAULKNER State A g en t HOMER TEMPLETON M A X D. MILLER C. R. B AU M A Special A gents 505 Insurance Exchange Building Office Telephone No. 4-5932 DES MOINES. IO W A https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W e s p e c ia liz e in C r e d it L ife In su ra n c e a n d a re t h e o n ly Io w a c o m p a n y o ffe r in g th is t y p e o f p r o t e c tio n to Iow a h an ks. Webster Life Insurance Company 1733 G rand A v e n u e , Des M o in es, Iow a Northwest ern Banker, O c to b e r, Î94& 60 Insurance past twelve months, the fire losses totaled $709,621,000, an increase of 8.6 per cent over losses of $653,156,000 for the twelve-month period ending August 31, 1947. The fire loss estimates are reported under fire insurance policies and in clude an allowance for uninsured and unreported losses. Dinner Sp ea k er William A. McDonnell, president, First National Bank in St. Louis and vice chairman of the board of the St. Louis Chamber of Commerce, was one of the speakers at a dinner last month in honor of Ford Motor Com pany officials who were in St. Louis to dedicate the new 12 million dollar Lincoln-Mercury assembly plant lo cated there. W H A T W IL L H A P P EN IF W E H A V E W A R —-OR P EA C E (Continued from page 26) tioned in thinking about the world and its economics is the reconstruction of war-torn areas, particularly of Europe. We have a moral responsibility to par ticipate in this recovery, both by gift and by loan, and we have a clear eco nomic interest in the speedy restora tion of productivity and increase in living standards everywhere. But we have a special economic in terest in industrialized Europe, al though this does not preclude assist ance in other parts of the world where urgent needs are evident. Our eco nomic interest in industrialized Eu rope is due to the fact that only from this source can come substantial addi tions to the productive plant of the We Specialize in BANKERS BLANKET and FORGERY BONDS State Farm Membership Plan gives you more insurance for your money. One million five hundred and fifty thousand automohile policies in force. Your Inquiries Invited Over 8,000 agents in 43 states and Canada. State Farm Mutual policies are non assessable. WITMER-KAUFFMAN EVANS CO. Write for FRF,E Booklet for details. State farm Insurance Co's. (Established 1892) Iowa State Agency Royal Union Building Des Moines, Iowa 410 Equitable Bldg. Des Moines LOW INTEREST llllill TAXES Many bankers are profitably solving these problems for both the bank and the client through the personalized financial planning service of IOWA’S OLDEST LIFE INSURANCE COMPANY May we give you the details? FR A N K L. M cC O RM IC K G EN ER A L A G EN T EQUITABLE LIFE INSURANCE CO. OF IOWA 419 Equitable Building N orthw estern Banker, O ctob er, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis DES M OIN ES, IO W A world, not provided by the United States. State Interference The third subject which I men tioned as important in thinking about the world and its economics is that of state trading and state interference with trade. State trading and state interference with trade is by no means the exclusive prerogative of a totali tarian state. In connection with state trading and state interference with trade, it seems to me that one distinction is useful, namely, whether these practices are engaged in for the benefit of the econ omy of the nation as a whole, or whether their purpose is to support at public expense the special interest of some producer or group of produc ers who, by tradition, guile or force, have become the recipients of public bounty. Today there are many situa tions in which the welfare of a coun try as a whole must be safeguarded by state trading and state interference with trade. These countries will not abandon their powers over trade, un less they feel assurance in their secu rity and that their welfare lies along another road. In the end this should be the case, since state subsidies and restrictions on import are done by a state at an economic cost to its own citizens. Foreign Development The fourth and last subject that I mentioned as necessary in thinking about the world and its economics is the development of the underdevel oped countries. Most of the world’s population lives, exists, in underdevel oped countries. The economic oppor tunity for the western world in a hu mane program for making real for others what is potential in their own powers is literally fantastic. But it will not come quickly. To be sure, the leaders of the underdevel oped countries are aroused and they are impatient. They would like to believe that their development can be manufactured overnight by loans from the International Bank and technical scholarships from UNESCO. But these leaders do not really believe these things. They know that most of their capital goods must come from their own real savings. They know that their financial institutions are inade quate. They know that incentive to work and to serve must be provided. And after that they know that invest ment from the western world will be imperative and welcome. Today they talk about preferring governmental loans; tomorrow they will h a v e worked out ways of using private fi nancial institutions to the mutual ad vantage of all. Insurance Over the decades to come, the de velopment of the underdeveloped countries is for the world, developed and underdeveloped, its greatest eco nomic opportunity. And there is no reason why, with patience and good will, the development cannot proceed without exploitation, jealousy or fear. Û dùuvdij^ lOsdcnnuL to C on v en tion D e le g a te s of the Io w a Bankers A ssocia tion 1 have mentioned four points that are important in thinking about the world and its economics, prosperity in the United States, reconstruction of war-torn lands, state trading and inter ference with trade, and the develop ment of underdeveloped countries. L. E. ELLIS & CO., Gen’l Agcy. H. G. Zim m erm an H. A . Petersen A lice L. Voris 415 Securities Building DES M O IN E S All of these subjects, as I have said, are profoundly influenced by the prob lems of war and peace. All are dis torted by the many programs of arma ment which the absence of peace makes necessary. Do we have to take the absence of peace as a point of departure for think ing about the world and its economics? For the short run certainly yes; for the longer run, well, perhaps not. The Davenport A g e n c y of the Equitable its greatest one. ¥ Also, cash values and total disability income! ★ ★ T. D. C A R N A H A N G en eral A gen t The Minnesota Mutual Life Insurance Co. 913 Savings & Loan Building Des Moines https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis service rendered an ex panding clientele through a w ell trained sa le s and service organization. W h e n you or your clients h av e need for life insurance service, W rite or call NEWELL C. DAY, Gen'l Agent Equitable Life of Iow a 730 D avenport Bank Bldg. Ph. 2-6239 Davenport, Iow a 2 THERE ARE TIMES WHEN . . . YOU NEED A GOOD AGENT BAD ¥ H you do not reach Age 65, your fam ily w ill receiv e $250 per month until you would have been Age 65. It is one of the C o m p a n y 's leadin g a g en cies b ec a u se of the outstanding And then our thinking about the world and its economics will be a dif ferent, a difficult, but much more pleasant task. Perhaps we ourselves may be able to undertake this job some day. Who knows?—The End. — commencing Age 65! IO W A Life of Iow a is m aking its fifty-sixth year If we can advance simultaneously on moral and on constitutional lines, and if we can advance rapidly enough, we may at last reach a point where the economic burden of armament will once again he negligible. $250 PER MONTH FOR LIFE! 61 1. W h e n y o u P u rch a se Protection 2. At C laim Tim e Your A llied M utual agent is a good m an to know better. First of all, he is trained to recognize your ca su alty insurance n eeds . . . and to advise y ou intelligently on a ca su alty program tailorm a d e for you. A n d, at claim time, you 'll find your A llied M utual agent right on the job to sa v e y ou time and worry. Be safe, be thrifty. Be insured with your hom e town A llied M utual agent. Autom obile Puhlic Liability W orkm en's Compensation ALLIED M U T U A L CASUALTY COMPANY Harold Hubbell Building S. Evans, P r e s id e n t Des Moines 7, Iowa Northwestern Banker, O cto be r, 1948 Insurance 62 ËJabiUtg Coverage for ËËoetoi's ID YOU ever stop to think how many hours the doctor in your community devotes to caring for the sick? He spends so many hours that he has little time to devote to his personal affairs. The United States Fidelity and Guaranty Company, real izing this, has made a survey and finds that the doctors welcome an agent who will analyze his liability needs D and take care of insurance covering his legal liability. As the result of this survey, the company has devel oped a new Comprehensive Physi cians, Surgeons and Dentists Liability insurance policy made especially to fit the needs of doctors and dentists. This special contract has been de signed to cover all legal liability in one compact policy. It provides W hat D oes '(pmai off VYUnd" C o st? . . . if you place your insurance problems in the hands o f NOTHING The Central National Insurance Company. • • 0 • Soundly capitalized, and ably directed by trained personnel who have spent their entire business career in the finance and insurance fields, the C E N T R A L N A T IO N A L has the unique distinction o f being the O N L Y com pany equipped to meet A L L your insurance requirem ents, and at the same tim e supply the “ know -how ” to obtain m aximum insurance earnings. Complete coverage all in ONE package— all in ONE co m p a n y ; A utom obile Compre hensive — Fire — T heft — Collision — Liability — Health — A ccident — Creditor Group. N o brokers’ participation, thereby assuring you of highest earnings. Complete statistical inform ation on premiums and losses by branch — dealer — age, race, sex and occupation o f the insured— by year and make o f collateral. NO M ore D EPO SIT P r o te c tio n . — . M ore . . NO In fo r m a tio n G U A R A N TEE — M ore S ta tistic s MORE P ia jjitl THAN YOU CAN GET FROM ANY OTHER SOURCE! 7 fic C E N T R A L N A T I O N A L I N S U R A N C E COMPANY of Omaha, Nebraska Wm. R. Snyder, Pres. ★ J. Earl Thompson, Vice-President ★ Robt. J. McKee, Secy.-Treas. Specializing in BOND REQUIREMENTS Not The Originators But The PERFECTERS Of The RETROSPECTIVE PLAN Connecticut Mutual Life Insurance Co. p p Northwestern Banker, O cto be r, 1948 Iowa Bankers or Part-Time Contracts KIMBALL J. M. CORMACK GENERAL AGENT p P 635 Insurance Exchange Building P Des Moines MOORE https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis to Inquiries Invited for Brokerage and GENERAL AGENTS FOR CONTINENTAL CASUALTY COMPANY Greetings The Northwestern Mutual Life Insurance Co. of Milwaukee WILLIS General Insurance A few simple precautions would pre vent nine out of every ten home fires, an article in the October issue of Popular Science Monthly says. Many home owners fail to take these precautions because of a mistaken be lief that fire “always happens to the other fellow,” according to the author. Associate Editor Devon Francis. The article which calls attention to Fire Prevention Week, advises home own ers, hobbyists, and home craftsmen what they can do to increase the fire p Investment Bankers 201 Liberty Bldg., Des Moines Home Fires FROM for ■ ■ ■ blanket coverage for both their profes sional and personal hazards—and the unknown hazards which can turn into claims. It covers their office, home, and any other investment properties, owned or leased, the operation of any owned automobiles, including auto mobiles owned by nurses or assistants used in connection with the doctor’s business; also, hired automobiles. It extends coverage in connection with their private activities, sports activi ties and domestic servants. Under this Comprehensive form, the doctor or dentist pays only for the actual exposures during the period coverage. If he employs an assistant, acquires additional property, pur chases a new automobile, moves to a new location, changes his residence, he is covered automatically and no notice to the company is necessary.— The End. Sherry It. Fisher General Agent 912 Fleming Building DES M O IN ES "The Dividend Paying Company of IO W A America" Insurance safety of their houses by use of their own tools. “Your own home—your own firetrap—probably contains a dozen neg lected spots where fires can start,” the author warns. He lists careless handling of ciga rettes and matches as the leading fire cause, and says the other primary causes include faulty electric circuits, sparks dropping on wood-shingle roofs, defective chimneys, rubbish and spontaneous ignition, defective heat ing equipment, lightning, and im proper use of flammable liquids. The article cites a National Board of Fire Underwriters’ statement that “Money spent for prevention, such as for ash trays, approved electrical wir ing and appliances, repairs to chim neys, new stovepipe, metal waste and ash cans, fireproof cellar ceilings, and fire-resistive roofs, is more worthwhile than that for extinguishing equip ment.” When fire does break out, the article emphasizes that the first thing to do is to get everybody out of the house, and then call the fire department im mediately. Slamming the doors and windows of the room where the fire is burning will help confine it, the anthor says. at their annual meeting in Philadel phia last month. Mr. Rehfeld will officially take office at the annual con ference of the Associates which is to be held at the Statler Hotel in St. Louis, October 24th-27th. Other officers elected by the Asso ciates were: First vice president, Milton J. Drake, vice president of The Detroit Bank, Detroit, Michigan, and second vice president, Fred C. Witte, vice president of The Chase National Bank, New York. Heads Department Raymond T. Sanders has been ap pointed manager of the accident pre- 63 vention department of the Employers Mutual Casual t y Company, Des Moines, it was announced by John F. Hynes, president. He succeeds the late Oscar Nanfeldt, who organized the department. Mr. Sanders has been supervisor of the engineering and audit department of the Glens Falls Indemnity Company at Chicago, Illinois. During the war he was a safety officer at the Brooklyn, New York, navy yard. Mr. Hynes said the company’s pre mium volume of $7,832,365 for the first seven months of this year is 11 per cent ahead of the same period last year. Heads Associates The Robert Morris Associates elected Walter L. Rehfeld, vice president of the Mercantile - Commerce Bank & Trust Company, St. Louis, Missouri, as their president for the coming year The Ready for your travel pleasure . . . 5 1 .0 0 0 miles a «lay of Connecticut Mutual Life Insurance Company O v er one hundred y ea rs of D ep en d a ble Service Eastern Iowa Agency PAUL C. O T T O H i a w a t h a s are now in opera tion north, northwest and west from Chicago. Look at the m ap ! There are brand new H i a w a t h a s taking to the rails . . . new equipment on existing H i a w a t h a s . . . a total o f n in e thousand m iles a d a y o f H iaw ath a serv ice! N ew H iawatha equipment in cludes cars with the glass-roofed Skvtop Lounge, and new -type drawing room parlor cars. There are spacious diners with fresh dec orative schemes, T ip T op Tap cars with snack sections and cocktail rooms, reclining chair coaches with big lounging rooms. Look at the m ap. N ext time y ou ’ re in Milwaukee Road terri tory, we invite you to ride the H i a w a t h a s for a new travel thrill. H . Sengstacken, Passen ger Traffic M anager. 708 Union Station, Chicago 6, Illinois. M R General Agent 1112 D avenport Bank Building Davenport, Iow a https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis t h e il w a u k e e o a d T h e f r i e n d l y R a ilr o a d o f t h e f r i e n d l y W e s t Northwest ern Banker, O cto be r, 1948 W h e n ou r h u n g ry nation calls fo r p ork and bacon, Io w a has the answer. H a n d in hand with the H a w k e y e State’s huge corn crop goes an equally trem endous hog p rod u ction — which du rin g 1 9 4 7 sent som e 1 6 m illion p orkers to market . . . Converted into p ork chops and 1 roasts, bacon, sausage, p ickled p ig s ’ feet and other tasty •»Hzr* table item s, they brought Io w a fa rm ers m ore than °wA and "''iieir can «-ei; I, n*'Khin, / ' Proud * '>rod"«'-on. O/ A,;„ ar « n t A l l " “** ‘be $ 9 5 7 ,0 0 0 ,0 0 0 in cash incom e. A d d to this the estim ated $ 2 6 ,0 0 0 ,0 0 0 worth o f p o rk which the fa rm ers themselves consum ed, and Io w a ’s hog ra isin g w as alm ost a billion dollar business last y e a r . . . F o r ’4 8 the p ictu re is much “p p o S :;::1" * * ° » Z tia° k r k .,to , SSIS1 ,c<>™ed «■o the sam e. Even though produ ction is dow n slightly, p rices are higher this y e a r — and once again Io w a will be around a billion dollars to the good, thanks to its hogs. cilities a n'UlilnX addi, ° ttlis to 0a/ fe* r° «Ur °Co_ P °o n d a,lahl« noenrs [h verve rL • Cl he/ n• rese r«e;r c P'n« tUsrOfne * '«en. errer. FIRST NATIONAL BANK OF MINNEAPOLIS -* • * • ^ -------------------------------------------------- h e n r y e . atw ood, P residen t D EP A R T M EN T OF B A N K S M, o. GRANGAARD, V ice P resid en t a. J. MALONEY, A s sis ta n t V ic e P resid en t K . T . MARTIN. A s sis ta n t V ic e P resid en t AND BANKERS g . s . h e n r y , A s s is ta n t V ic e P resident J. m . d o w n e s , A s sis ta n t C a sh ier ------------------------------------------ s t y r k r . o m l i e . A s sis ta n t C ashier j o h n r . w i l s o n . A s sis ta n t Cashier c . E. c o r c h r a n , A s sis ta n t Cashier M e m b e r Federal D e p o s it In su r a n ce C orporation Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 65 were the only employes and deposits were only $77,000. Mr. Frick was ad vanced to cashier in 1916 and was elected president in 1933. Today the Wayzata State Bank has deposits of over $2,000,000 and has 14 staff mem bers. Associated with Mr. Frick at the bank is a son, Robert, who joined the bank after his army service and is now assistant cashier. Bankers Play Host Junior and adult 4-H Club leaders of rural Hennepin county, Minnesota, were guests of rural Hennepin bank ers at a steak fry at Webbs Place. Bass Hake, last month. The junior and adult leaders, along with the State Fair and Junior Livestock Show win ners, making up about 300 people, wound up their 4-H Club program for 1948, and discussed plans for the activities in 1949. Named Assistant Cashier The election of Howard Nelson as assistant cashier of the Luverne Na tional Bank, Luverne, Minnesota, was announced last month by Harold L. Smith, vice president and executive officer of the bank. Mr. Nelson had been assistant cash ier of the Pipestone National Bank. West Central Meeting A talk by Col. E. B. Miller and a golf tournament highlighted the an nual meeting of the West Central Division of the Minnesota Bankers Association at the Benson golf course last month. Over 100 banks from the six county area comprising Swift, Chippewa, Yel low Medicine, Lac qui Parle, Big Stone and Traverse counties, were in attend ance at the meeting. * Herman Hamre, cashier, State Bank of Wood Lake, and president of the West Central Bankers Division, pre sided at the dinner held in the golf clubhouse in the evening. Colonel Miller, survivor of the Ba taan “ Death March,” and a past de partmental commander of the Min nesota American Legion, gave the evening address. The site for next year’s meeting was not decided upon by the bankers. and George J. Meinz, it was announced that George J. Meinz had been elected as president to succeed Mr. Schoenar. The American National Bank was organized 28 years ago by the retir ing president and the new president. Other immediate changes in the offi cers of the bank included the election of W. J. Bohmer as vice president and Bernard R. Meinz as cashier. The fol lowing are assistant cashiers: C. E. Schoenar, Thos. P. Galerneault, Au gust J. Eveslage and Elinda G. Laubach. During the administration of the retiring president and the new presi dent, the American National Bank has grown to one of the biggest financial institutions in central Minnesota, with deposits of over $6,500,000. Advance Two at Red Wing Leon J. Kaliher, president of the First National Bank of Red Wing. Minnesota, announces the election of J. C. Johnson as vice president and Arthur Hahn, Delavan, Minnesota, acquired controlling interest in the State Bank of Boyd. Minnesota, from C. C. Elkjer recently. Mr. Elkjer had been president of the bank, and re signed at a meeting of the board of directors last month. New Head Teller L. L. Davis was appointed head pay ing and receiving teller at the Na tional Citizens Bank of Mankato. Min nesota. last month, it was announced by President P. R. Kenefick. He is a graduate of Mankato Commercial Col lege and has had several years of banking experience, working more re cently for the First National Bank of Bemidji. Leaves Eveleth Grove R. Gable resigned as vice president and director of the First National Bank of Eveleth, Minnesota, October 1st. Mr. Gable planned to be come associated with an uncle in the Ghent Nursery at Akron, Ohio. Mr. Gable moved to Eveleth just 31 years ago this month to join the First National staff. Hold Open House J. C. J O H N S O N V ic e President PAUL W IN T E R V O L D Cashier Paul Wintervold as cashier. Both men have been with the bank since 1916 and at the time of their advance ments were assistant cashiers. They succeed the late August H. Lidberg, who was vice president and cashier. Officer Changes at St. Cloud Completes 35 Years Casper C. Schoenar, for 28 years president of the American National Bank, St. Cloud, Minnesota, has re tired, according to,an announcement made by the bank. At a special meeting of the board of directors consisting of W. J. Bohmer. John Kolb, C. E. Schoenar, Alvin C. Frick, president of the Wayzata State Bank, Wayzata, Minne sota, last month observed his 35th anniversary of service to that institu tion and the Lake Minnetonka area. Mr. Frick began work for the Way zata State Bank September 13, 1913, when he and Cashier Frank Snure https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Purchases Bank Stock The Grand Marais State Bank at Grand Marais, Minnesota, held open house last month in celebration of its new banking quarters and its 32nd anniversary. More than a thousand persons visited the bank. They were greeted by A. M. An derson, president; L. P. Hinner and A. M. Fenstad, vice presidents; Rich ard I. Anderson, cashier; Mrs. A. M. Anderson, assistant cashier; Roger Scott, director, and Mrs. Fenstad. Mrs. Hirmer and Mrs. Scott. The new section of the bank pro vides an office for the president, one for the cashier and a bookkeeping room. Other rooms and fixtures were all remodeled. Increase Services Increased service is the keynote of operations at the First National Bank of Walker, Minnesota, where three additions have been made to the bank’s facilities. Northwestern Banker, O c to b e r, 1948 66 Minnesota News They include installation of 100 new safe deposit boxes; acquisition of a postage meter machine, and purchase of Recordak equipment. The bank is publicizing all these additional facili ties to its customers. shortly after its organization; Waino Jarvinen, vice president, a 30-year member of the staff; Joseph R. Pellikka, cashier, and Hazel Anderson, assistant cashier. Directors include the first three officers and Oliver L. Back and E. K. Rochan. 50th Anniversary Elmer N. Bennes The First National Bank of Menahga, Minnesota, was 50 years old last month. It was founded in 1898 as a private bank, reorganized as a state bank in 1904 and converted to a national banking institution in 1920 under the present name. Officers are M. Ristinen, president, who has been with the bank since Elmer N. Bennes, 66, vice president of the Northern State Bank at Thief River Falls, Minnesota, died at a hos pital there last month after a long illness. He was cashier of the bank at Wales for several years before moving to Thief River Falls in 1915. He was a member of the board of directors of the First National Bank before joining the Northern State Bank. Resigns As Cashier J. E. Farrell has resigned as cashier of the First National Bank of Waseca, Minnesota, after serving that bank for nearly 39 years. Mr. Farrell moved to Waseca from Mason City, joined the First National in 1910, was elected assistant cashier in 1916 and cashier in 1924. He will retain his position on the bank’s board of directors. 80th Anniversary The First National Bank of Man kato, Minnesota, marked its 80th anni versary last month. The first charter was issued to a group of Mankato business men in September, 1868, when that city had 2,000 residents.' The bank has occupied the same loca tion since its organization. A January, 1890, statement shows deposits of only $365,574. Today the deposits exceed $9,000,000. Officers are H. M. Mackenzie, president; B. W. Rough, vice president and cashier, and F. G. Walser, E. R. Zachman and R. B. Jude, assistant cashiers. Direc tors are P. L. Kimble, M. H. Mickleson, W. D. Willard, J. A. McGran and Mr. Mackenzie. Addresses Duluth Group Sickness, Accident and Hospital Insurance at Cost for Bankers m OVER 43 YEARS OF SUCCESSFUL SERVICE 0 W e have No A g e n ts— Simply write for Application and Literature to M IN N E S O T A C O M M E R C IA L M E N ’S A S S O C I A T I O N PAUL CLEMENT, Secretary 2550 Pillsbury Avenue, Minneapolis 4, Minnesota Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Oliver S. Powell, first vice president of the Minneapolis Federal Reserve Bank, addressed members of the Lake Superior district of the National Asso ciation of Bank Auditors and Comp trollers last month at the home of S. T. Strain, a national director of the organization. Mr. Powell conferred with Duluth bank leaders earlier in the day. Elected Cashier James. A. Irving of Little Falls, Min nesota, has been elected cashier of the Farmers National Bank of Alex andria, Minnesota, succeeding V. L. Thompson, who resigned to accept a position as vice president and cashier of the Rolette County Bank at Rolla,. North Dakota. Mr. Irving’s former position as cash ier of the American National Bank of Little Falls has been filled by Orley K. Ripplinger of Vermillion, South Dakota. A native of Stevensville, Montana,. Mr. Irving attended school in Fargo, North Dakota. He began his banking career there in 1934 and later served on the official staff of the First Na tional Bank of Milaca, Minnesota, from 1939 to 1946, except for two years’ duty in the armed forces. He was elected cashier of the American National in Little Falls in April. 1946. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 67 S p e e d y , c o m p le t e and frien d ly co rresp o n d en t serv ice The F IR S T N A T IO N A L B A N K o f Saint Paul Lilly, C h a irm a n , B oard o f D irectors Philip L. Ray, C h a irm a n , Executive- C o m m i t t e e Julian B . Baird, P resid en t DEPARTMENT o / BANKS an d BANKERS Wallace L. Boss, V ice P resid en t Lloyd L. Leider, Jsi Elmer M . Volkenant, A ssista n t V ice P resid en t Donald W . Bu Lee A. Sauer, A ssista n t V ice P resid en t Donald L. lie. Northwest ern Banker, O cto be r, 1948 »iS Minnesota News T w in C it y \ e w § T HREE St. Paul men were named recently to important posts with the Investment Bankers Association of America. G. James Caldwell, president of the Caldwell-Phillips Company, was ap pointed a governor of the organization for three years. The executive com mittee of the IRA’s Minnesota Section named Stanley R. Manske and L. E. Shaughnessy as chairmen of the legis lation and educational committees, re spectively. Mr. Manske is with the investment department of the First National Bank of St. Paul. Mr. Shaughnessy is head of Park. Shaughnessy and Company, investment brokers. The North Side office of the First National Bank of Minneapolis held open house recently to celebrate com pletion of extensive remodeling work in its quarters at 242 West Broadway. Officers, employes and advisory com mittee members served as hosts and showed visitors through the bank. The number of tellers’ windows has been increased, and windows are now set aside for loans and discounts, savings and statements. The enlarged quar ters include a private conference room and greater officers’ space. Three booths have been provided for safe deposit box customers. Summer aid conditioning and new lighting equipment are provided. UNDERWRITERS — Bernard W. Lohmar, assistant vice president, is manager of the North Side office, which was established in 1922. Michael M. Haiisniann and Arthur E. Nettum are assistant man agers. Advisory committee members are Mr. Lohmar, Frank J. Blosky, Henry S. Borman, Cuy \V. La Lone, James A. Murphy, Bruce E. Russell, Clarence G. Scherer and W. E. Stremel. The St. Paul Chapter of the Ameri can Institute of Banking will be host on Monday, October 25th, to the Re gional Interchapter Faculty Confer ence of the A.I.B. Conducting the Conference will be Mr. Lewis, national educational director of the Institute. The Conference will be held for the purpose of giving consideration to the teaching techniques, objectives and problems of Institute classes. Invita tions have been extended to officers and instructors of all A.I.B. chapters and study groups in Minnesota, Fargo and Minot, North Dakota, and Aber deen, Chamberlain and Yankton, South Dakota. Herbert Hallenberg retired as vice president and treasurer of the North west Bancorporation last month. Mr. Hallenberg joined Bancorporation staff in 1929. Previously he had prac ticed law in North Dakota for two years, was a Federal Reserve exam iner for 10 years and had been presi DISTRIBUTORS — DEALERS MUNICIPAL BONDS CORPORATION BONDS and STOCKS KALMAN & COMPANY Endicott Building ST. PAUL Garfield 3305 Northwest ern Banker, O cto ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis McKnight Building MINNEAPOLIS Atlantic 5313 dent of the First State Bank of Carson, North Dakota. Two Minneapolis banking institu tions won the bronze “Oscar of Indus try” trophy for the best 1947 annual reports in their classification. Northwest Bancorporation was judged as having the best annual re port of national banking institutions. Farmers and Mechanics Savings Bank was judged as having the best annual report of the savings banks. The “Oscars” are awarded by Finan cial World, New York financial maga zine which annually conducts a survey originated by Weston Smith, vice pres ident. The reports are rated by an independent board of judges. Sightseers from foreign countries were among the 3,018 visitors who viewed St. Paul from the city’s high est vantage point, the roof of the First National Bank of St. Paul, during August and September, Frank H. Delaney, vice president of the bank, re ported. Arnulf Ueland, president of the Midland National Bank of Minne apolis, recently was elected treasurer of the Minneapolis Civic council, which is the fund-raising group for seven Minneapolis civic and service organizatons. Stockholders of the First National Bank of St. Paul recently elected John S. Holl to the bank’s board of directors, according to an announce ment by Julian B. Baird, president of the bank. Mr. Holl is executive vice president of the Seeger Refrigerator Company of St. Paul. He also is a director of the St. Paul YMCA and of the St. Paul Association of Commerce. Directors of the First Merchants State Bank of St. Paul elected John W. Seeger a director. Mr. Seeger, who will fill a vacancy left by the death of Charles Poppenberger, is vice presi dent of the Seeger firm and general manager of the company’s St. Paul plant. Minnesota News The Northwestern National Bank of Minneapolis was host recently to the Minnesota Dahlia society, which spon sored its annual show in the bank’s lobby. More than 100 members of the St. Paul chapter, American Institute of Hanking, attended a golf party re cently. In charge of arrangements were Edward Rafferty and John Haider of the American National Bank of St. Paul. Robert YV. Webb, retired vice presi dent and director of the First National Bank of Minneapolis, died recently at his home in Minneapolis after a long illness. He was 79 years old. Mr. Webb was president of the for mer Minneapolis Trust Company. When this firm and First National Bank consolidated in 1933, he became chairman of the trust committee of the resulting First National Bank and Trust Company. In 1941 he was named vice president of the bank and continued in that capacity until his retirement December 31, 1946. Richard YY'. Heldridge of the install ment loan department of the North western National Bank of Minneapolis, is attending the command and general staff college at Fort Leavenworth, Kansas. Mr. Heldridge holds the rank of major and is assistant operations and training officer on the staff of the commanding officer, Minnesota na tional guard. He has been granted a 10-month leave of absence by the bank to enable him to take the course. He will return to the bank next June. Henry S. Kingman, president of the Farmers and Mechanics Savings Bank of Minneapolis, has been re-elected a director of General Mills, Inc., by stockholders of the company. Henry E. Atwood, president of the First National Bank of Minneapolis, recently was named chairman of the 1949 farm forum sponsored by the Minneapolis Chamber of Commerce. The forum was instituted in 1947 to help solve mutual problems of the farmer, laborer and industry. Mi1. Atwood is a former chairman of the Minneapolis Community Fund campaign and was a director of the Hennepin County War Chest. He headed the Minneapolis civilian de fense council in the early years of the war and was vice president of the Minneapolis area of the Boy Scouts. A program to curb inflation was out lined by Alfred H. YYTilliams, president of the Philadelphia Federal Reserve https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Bank, recently in St. Paul at a United States savings bond sales conference. Mr. Williams suggested that indi viduals should stop digging into sav ings, labor should hold down wage de mands, business firms should forego price boosts and the federal reserve should make full use of its power to control credit expansion. Election of Alfred E. Wilson as a di rector of the First National Bank of Minneapolis was announced recently by Henry E. Atwood, president, fol lowing a meeting of the bank’s board of directors. Mr. Wilson has headed the bank’s trust department since 1941 as vice president and chairman of the trust 69 committee. His banking career be gan in 1906. In 1929 he resigned as assistant comptroller of the First Na tional Bank to become secretary of the First Bank Stock Corporation, hold ing company with which the bank is affiliated. Ten years later he returned to an executive post in the First Na tional’s trust department, of which he is a senior officer. Clarence K. Chaney, vice chairman of the Northwestern National Bank of Minneapolis, delivered a presentation speech recently at the dedication of a memorial to 568 Hennepin County (Minneapolis) World War II dead. Mr. Chaney served as vice chairman of the memorial committee. The real measure of tools is their capacity for work . . their thorough performance under all field and weather condi tions. Precision-engineered MM Modern Machines and Tractors are “ work - hungry teammates” that get the job done rig h t, q u ick er! 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O cto be r. 1948 70 Minnesota News Bank deposits for August in the Ninth federal reserve district, com prising 133 cities in Minnesota, North and South Dakota, Montana, Wiscon sin and Michigan, were 12 per cent higher than in August, 1947, according to the district report. Debits totaled $2,886,295,000 in August, compared with $2,582,623,000 for August, 1947. The Minnesota total increased 9 per cent, from $1,890,553,000 in August, 1947, to $2,065,317,000 in August, 1948. William H. Netland has been elected assistant vice president of the North west Bancorporation according to an nouncement by J. Cameron Thomson, president. Mr. Netland is a graduate of St. Olaf college, Northfield, Minne sota, and was first employed by Bancorporation in 1940. He served in the navy during the last war. A booklet on “ Surety Protection in Banks” by F. A. Amundson, Minne sota commissioner of banks, has been sent to 15,000 banks throughout the nation at the suggestion of Maple T. Harl of Washington, D. C., chairman of the Federal Deposit Insurance Corpo ration, who was impressed with the publication. Mr. Amundson warns, in the book let, that many broken lives, disrupted homes and closed banks have resulted from the defalcations by officers and at the YA R D S OL B A N K CARL L. F R E D R IC K S E N President M A R K A. W I L S O N V ic e President W I L L I A M C. S C H E N K A sst. V . Pres, and Cashier C L I F F O R D L. A D A M S Asst. V ic e President J O H N S. H A V E R A sst. Cashier JA M E S L. S M IT H A sst. Cashier and A uditor K I N L E Y W . S M IT H A sst. Cashier STAN LEY W. EVANS F ield R epresentative More Than A Hall Century At th e Live Stock N a tio n a l B ank in Sioux C ity, w e h a v e b e e n m a k in g a n d k e e p in g friends a m o n g b a n k e rs in Iow a, S outh D akota, N e b ra sk a a n d M in n e so ta for 53 y e a rs . T h a t's w hy a m o n g o u r m a n y co rresp o n d en ts, w e n u m b e r m a n y of the seco n d a n d e v e n th e third g e n e ra tio n , in the s a m e b a n k s. H ere w e h a v e the w ill to se rv e you, a n d w e k n o w the b est w a y to do it, too! employes of banks—all because decent salaries and pleasant working condi tions were not provided. Serving his 25th year with the Min nesota state banking department, Mr. Amundson formerly was president of the National Association of Super visors of State Banks. China Clarke, president of the American National Bank in St. Paul, has been named to a committee which will conduct a long-range study of the needs of Hamline University, St. Paul. The First Grand Avenue State Bank of St. Paul, an affiliate of the First National Bank of St. Paul, opened for business recently at its new location at 1068 Grand Avenue. Open house was held. Among features of the new quarters are ample parking space, more tellers’ windows, year-Tound air conditioning, an enlarged safe deposit section, a completely modern interior, a private conference room, a streamlined floor plan for speedy service and a conven ient location. Frank H. Delaney is president of the bank. Other officers are Arthur L. Peters and James G. Goblisch, vice presidents; Franklin E. Truax, cash ier, and Conrad 11. Hedberg, assistant cashier. Directors are Mr. Delaney, Mr. Peters, Walter J. Bergquist, Winter Dean, Richard Ordway, John E. Port and Fred Weyerhaeuser. Merth E. Mortenson, vice president of the Marquette National Bank of Minneapolis, was installed recently as president of the Retail Credit Associa tion of Minneapolis at a dnner at the Golden Valley Country club. A 36-week course in “Fundamentals of Investment Banking” is under way at the University of Minnesota. The course is being given by the univer sity’s general extension division in conjunction with the Minnesota group of the Investment Bankers Associa tion of America. Robert McNaughten is instructor. 7¿ e L ive S t o c k National Bank Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Moves to Pipestone Don E. Helling, head teller at the State Bank of Faribault, Minnesota, moved to Pipestone last month to take over his new duties as assistant cash ier at the First National Bank. Goes to Montana Miss Caspara Christensen, who has been assistant cashier at the Northfield National Bank and Trust Com pany, resigned recently to go to Miles City, Montana, where she has accepted a position in the First National Bank as auditor. 71 Irene Bank Moved South Dakota N E W S J. M. LLOYD President Yankton Group Meetings Group meetings of the South Da kota Bankers Association will be held the first week in November. These dates were set by group officers at their meeting in Huron last month. The meetings are scheduled as fol lows: November 1—Belle Fourche. November 2—Mobridge. November 3—Open date. November 4—Aberdeen. November 5—Mitchell. November 6—Madison. All meetings will begin with a busi ness session, with technical talks in late afternoon. This will be followed by a cocktail hour and banquet, with only one address being made at the banquet. Sell Parker Stock Rav G. Stevens, Arthur H. Winter and Richard B. Stevens sold their con trolling interest in the Parker State Bank at Parker. South Dakota, recent ly to a group of Parker citizens. R. G. Stevens had been president of the bank. He is also president of the Citizens Bank at Vermillion. Vinal B. Clikeman was advanced from vice president to president of the Parker State Bank, Alan Bogue continues as vice president and C. E. Reddin as cashier. These three men, A. S. Bogue and C. C. Benning com pose the board of directors. Deposits of the bank at the time of the sale were $1,820,000, capital was $50,000. surplus was $10,000 and un divided profits and reserves, $34,000. Completes First Year The Volin branch of the Security State Bank of Wakonda, South Dakota, recently completed its first year of business in the Volin community. Martin J. Slemp is branch manager of the bank which has enjoyed great ly increased business since its open ing day. Howard Bank Sold O. J. Boos, president of the Miner County Bank at Howard, South Da kota, for 22 years, has sold his stock in the bank and retired as president. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis CARL E. BAHMEIER, JR. Secretary Huron He sold his stock to Mr. and Mrs. Arthur S. Thompson of Howard, and Eugene C. Mahoney, prominent Sioux Falls attorney and former resident of Howard. Mr. Thompson has been elected president of the bank and Mr. Ma honey a vice president. Other officers remain the same with J. F. Pesehong as vice president and O. A. Kvernes as cashier. Members of the board are the three new stockholders and the above two officers. Mr. Boos moved to Howard in 1926 from Hastings, Nebraska. He has been in the banking business since 1907, and will maintain an office in the Miner County Bank Building. The new president, Mr. Thompson, has been a Howard resident for six years, serving as head of the Miner County FHA office. Bank Clock Lighted As a service to its community, the Dewey County Bank at Timber Lake, South Dakota, has installed a light in its large main street bank clock so people in the community can see the clock through the night. It now serves as a landmark in the com munity. E. P. Sagmoe E. P. Sagmoe, 48, for more than 10 years cashier of the First State Bank at Sinai, South Dakota, died in the Brookings Municipal hospital recently following an emergency operation for appendicitis and other complications. He is survived by his wife and two daughters, Gail and Eleda and other relatives in Hendricks. Reappointed Appointment of James H. Lemmon of Lemmon, president of the South Dakota Association of Cooperatives, as one of the directors of the Central Bank of Cooperatives in Washington, was announced in Huron recently. Disclosure was made by Walter Las sen, executive secretary of the South Dakota Association. Mr. Lemmon’s term as a director, his fourth successive appointment as such on the national banking body, is for three years. The Farmers State Bank of Irene, South Dakota, and the postoffice com pleted the moving of equipment to their new quarters last month. The bank goes into a newly modernized building, while the postoffice will oc cupy the old bank building. The need for more room, better equipment, and adequate fire protec tion for their records prompted the stockholders to authorize the expendi ture for the modern bank building, according to A. E. Diefendorf, vice president. To Open Kadoka Branch Kadoka, South Dakota, county seat of Jackson County, which has been without a bank for 20 years, is at last assured of relief. The establishment of a branch bank by the Belvidere State Bank has been approved by the state banking department. The new bank will be housed in the countyowned building formerly occupied by the FSA offices and work on vault con struction is under way. State's Banks Honored Service of South Dakota banks to agriculture was recognized at the 74th annual convention of the American Bankers Association in Detroit last month when the South Dakota Asso ciation was presented with a 1,000point rating award by the A.B.A.’s agricultural commission. It was the 13th time South Dakota bankers have received the award. The state association’s bankers’ short course in agriculture, held at South Dakota State College, won spe cial citation. Members of the South Dakota As sociation’s agricultural committee are Carl J. Odegard, Huron; E. B. Dwight, Springfield; Max Gutz, Selby; L. A. Pier, Belvidere, and E. Schouweiler, Veblen. Rural Power Program A survey recently completed by the Greater South Dakota Association and published in the organization’s current membership bulletin, shows that there is no electric power shortage in that state, and that not only have electric facilities been increased to take care of the expanding rural electrification programs, but also there is now sur plus power to supply the needs of additional industries. The survey reveals the fact that pri vate and municipal electric~net gener ation in the past five years in South Dakota has increased from 196,827,000 kilowatt hours to 365,961,000 kilowatt hours, an increase of 85 per cent. About 83 per cent of this power is Northwest ern Banker, O cto be r, 1948 South Dakota News SERVICE Maintaining an inti mate, personalized correspondent serv- EXPERIENCE Officials with years o f service in this field, assuring a knowl edge of requirements and valuable assist- generated by the private utility com panies. The latest release from the Rural Electrification A d m in is tra tio n in Washington shows that during fiscal 1948. 1 970 miles were added to REA systems in South Dakota for servicing 4,033 additional consumers, with pow er purchased from private or munici pal utilities. The report shows further a cumulative total through June 30, 1948, of 5,613 miles on South Dakota REA lines serving 15,381 consumers. S io u x POLICY F u lls N e w s EKIRNE To cooperate with out-of-town banks rather than compete for business which is rightfully theirs. P u b lic N a tio n a l Bank and Trust Company o f N ew Y ork E sta b lish ed 1 9 0 8 V. ',>■ . ■ ; Member: S e w Y ork Clearing H ouse Association Federal D ep osit Insurance Corporation 5 M INUTES HAUGO, president of the Sioux Valley hank, flew to Louis ville. Kentucky, to attend the conven tion of the National Association of Supervisors of State Banks. He served as South Dakota’s superintendent of banks under Gov. Harlan .1. Bushtield and Gov. M. Q. Sharpe. A plat for Sunset addition to South Sioux Falls, a residential development, presented by Mr. Haugo, w^as accepted by the city commission of that com munity. Mrs. Jack Hunt resigned as teller of the Union Savings Bank. Doing so, she turned over to someone else the job of making coffee in the bank’s rear FROM DOW NTOW N At the Chelsea, every guest room is a large outside room, with its own private bath All are beautifully decorated and designed for comfort A truly outstanding downtown hotel perfect for those who wish to be in mid-city, and yet prefer a quiet home-like atmosphere The Chelsea is near-Radio Center, Huntington Library, Forest Lawn Memorial Park, China City, Movie Studios, Beaches. Rates from $3 00 room. But she missed the bunch at the bank so much that one day she baked a cake, brought it to the bank and served it to the employes in the back room after closing time. Two promising young men have bee< me attached to the Northwest Se curity National Bank, according to President Ralph M. Watson. They are Wilbur .1. Heiinerinan and I). C. Mc Farland, Jr. Mr. Heimerman was as sistant national bank examiner in the Sioux Falls district for two and one half years. Prior to serving four years and nine months in the U. S. army he was connected with the First National Bank of Cedar Falls, Iowa. Mr. Mc Farland, who has joined the credit department, was graduated July 22nd of this year from the University of Minnesota. During the late war he served four and one-half years in the army air force. Previously he was with Production Credit Associations in Minnesota and Wisconsin for three years, being assistant manager of three of them. O. A. Bray, assistant cashier of the Northwest Security National Bank, was re-elected grand treasurer of the grand commandery of South Dakota at its meeting in Rapid City. Gilbert A. McGarraugh, a native of this city and a former member of the state banking commission, died last, month in Brookings, his former home. He had retired from banking at Sturgis two years ago and had continued to live there. Funeral services were held in Sioux Falls and burial was made in Woodlawn cemetery here. Mr. McGarraugh’s first work in bank ing was at Dupree, South Dakota. Later he was engaged in similar work at Philip, Brookings and Sturgis. He belonged to Masonic bodies, the Episcopal church, the Brookings Kiwanis club and the Sturgis Rotary club. The widow, a daughter, two sons, a sister and eight grandchildren survive. Outline Program The Duluth chapter of the Ameri can Institute of Banking has mapped plans for an extensive educational program during 1948-49, according to Clyde V. Stube, chapter president. Committee appointments have been made and a drive is in progress to enroll 370 persons associated with the banking business in Duluth. F oo lin g a F oo l SOUTH Nort hwest ern Banker, Octo be r, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BONNI E BRAE “ Say, neighbor, you ought to pull your shades down when you kiss your wife. 1 saw .you last night.” “ Ho, ho! Joke’s on you! 1 wasn't home last night.” N o r t h lia k o l a \ E W S ARNE A. GREGOR President Leeds Group Meetings Group meetings of the North Dakota Rankers Association were scheduled to be held October 11th, 12th, 13th and 14th. The meetings were to be held at Valley City for the southeast group, with R. M. Hougen, vice president and cashier, American National Bank, in charge of arrangements; Devils Lake for the northeast group, with F. C. Hoghaug, v i c e president, Ramsey County National Bank, in charge; Mi not for the northwest group, H. C. Dahl, assistant cashier, First National, being in charge, and Mandan for the southwest group, with A. L. Hirsch. assistant cashier, Dakota National Bank, Bismarck, in charge. North Dakota Association President Arne A. Gregor, Leeds, was to give a report on the A.B.A. convention held in Detroit last month. Among other important subjects to be covered at the meetings, a tax conference was planned for the southwest group for those bankers who were unable to attend a similar meeting last De cember. Minot Man Honored Roy Janz, senior partner in Janz and Iverson, accounting firm of Mi not, North Dakota, and president of the American State Bank of Minot, was elected president of the North Dakota Certified Public Accountants Society at a meeting last month in Grand Forks. Mr. Janz helped re activate the organization which had been dormant 15 years. Name New Officer Election of Vernal L. Thompson as vice president and cashier of the Rolette County Bank, Rolla, North Dakota, and as a member of the bank’s board of directors was announced fol lowing a meeting of directors held last month. Mr. Thompson has assumed his new duties as managing officer of the bank, succeeding M. L. Lindeblad, who re signed as president to move to the west coast. F. A. Foley, associated with the bank since 1903 and presi dent from 1932 to 1947, was renamed to that position, but will serve in an inactive capacity. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C. C. WATTAM Secretary Fargo Mr. Thompson goes to Rolla from Alexandria, Minnesota, w h e r e he served since .January, 1947, as cashier of the Farmers National Bank. A native of Conrad, Minnesota, he was educated at Galesville, Wisconsin, and Milwaukee, and began his bank ing career in 1929 at Ettrick, Wiscon sin. He served there until 1942 when he joined the staff of the First Na tional Bank of Spring Valley, Minne sota. Later that same year he was elected an officer of the First State Bank of Graceville, Minnesota, remaining in that position until he went with the First State Bank of Benson, Minne sota, as cashier in 1945. From Benson he moved to Alexandria. The Rolette County Bank and all of the other aforementioned banks are affiliates of First Bank Stock Corpo ration. Elected Director At a meeting of directors and offi cers of the Union Bank at Halliday. North Dakota, J. O. Severtson was se lected as a director to replace A. J. Palmer who resigned recently. At the present time Mr. Severtson is the cashier at the Bank of Killdeer. Moves to Grand Forks Edward L. Olson of Ellsworth, Min nesota, joined the staff of the First National Bank in Grand Forks, North Dakota, last month. President Fred Orth has announced. A 1939 graduate of St. Olaf College in Northfield, Minnesota, Mr. Olson received a standard certificate from the American Institute of Banking. He served as bookkeeper and teller in the First & Farmers National Barik in Blue Earth, Minnesota, for a year, and then joined the staff of the Mar quette National Bank in Minneapolis. He was associated with the Minne apolis bank from 1940 to 1947, and was elected assistant cashier in 1940. More recently he was cashier and director of the Ellsworth State Bank of Ells worth. Lloyd E. Arndt Lloyd E. Arndt, 48, livestock agent for the First National Bank of Minot. North Dakota, died recently in a Minot hospital after admittance following a lingering illness. Mr. Arndt was prom inent in Minot civic work and through out North Dakota as a banker and stockman. He was secretary of the North Dakota Stockmen’s Association from 1940 until his death, was presi dent of the Minot Association of Com merce in 1946, and was a director of the latter at the time of his death. Celebrates 60th Year The First State Bank of Cando, North Dakota, passed its 60th year of operation last month. Starting out with capital of $10,000, this amount has been increased three times to the present amount of $75,000. Deposits total more than $4,700,000. Revision of Handbook Trust executives of banking insti tutions throughout the country have been notified by the Trust Division of the American Bankers Association of the completion of the new edition of its handbook on common trust funds entitled “Common Trust Funds, A Handbook on Their Purposes, Estab lishment and Operation.” The new edition is a 104-page book containing a general discussion of the factors in volved in establishment, complete planning, installation and operation, tax phases, and Federal Reserve regu lations applying to common trust funds. Since the first edition was published in 1939, common trust funds have grown steadily in popularity. Thirty states now have statutes authorizing them. The experience of the fifty or more trust institutions throughout the country that are now operating over sixty common trust funds has been drawn upon in formulating the operat ing suggestions contained in the new book. “The common trust fund,” says R. M. Alton, president of the Trust Divi sion of the American Bankers Asso ciation, and vice president in charge of Trust Department of the United States National Bank of Portland, Portland, Oregon, writing in the pref ace, “is needed to provide diversifica tion and liquidity in investments for small trusts and to enable corporate trustees to administer such trusts eco nomically and profitably to the benefit of the trusts and to themselves. It is our hope that the handbook will serve as a caution and as a guide to all trust institutions contemplating the installation of a common trust fund and that it will give a better under standing of the major problems in volved.” Northwestern Banker, O cto be r, 1948 74 FOR 92 YEARS SOUND BANKING SERVICE ★ Complete Nort hwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Correspondent Facilities 75 Aksamit has been employed as book keeper at the bank. N Joseph L. Sandford e b r a s k a N E W Joseph L. Sandford, 83, pioneer Ne braska banker and rancher, died in a Scottsbluff hospital last month. At the time of his death he was president of the First National Bank in Mitchell. Born in Missouri, Mr. Sandford moved to western Nebraska in the early ’90s and located in Sioux county where he built up large land holdings. He later helped organize banks in Mitchell and Morrill, and was presi dent of both, until the Morrill bank was disposed of recently. He was a charter member of the Mitchell Ma sonic Lodge. Two daughters and a son survive. S CARL G, SWANSON Secretary Omaha J. O. PECK President Columbus Increase Surplus Changes in Officers Directors of the Bruning State Bank of Bruning, Nebraska, increased the surplus fund of the bank from $40,000 to $50,000, giving that institution capi tal stock of $50,000 and surplus of $50,000. Fred H. Bruning, president, announced the increase in surplus following the meeting. The Nebraska State Bank of South Sioux City, Nebraska, has announced that A. G. Nelson, vice president, and K. L. Peters, cashier, have submitted their resignations, to be effective about January 1st, and Hal Bridenbaugh, well known Hubbard farmer, has been Closing Johnson Bank The First State Bank of Johnson, elected a director. Mr. Nelson and Mr. Peters said Nebraska, has notified its depositors their plans for the future were not of a decision to voluntarily liquidate its holdings. yet definitely formed. Officials of the banking institution The bank also announced the en explained that the voluntary liquida gagement of H. L. Brune, formerly of Winside, Nebraska, as an executive tion has been made necessary by the ill health of President James P. Kelley. officer of the bank. The latest statement of the bank Mr. Brune, 41, has had experience showed over $1,000,000 in deposits in banking and credit business. He and assets in excess of $1,000,000. The and his family have moved to Crystal bank was founded in 1892 by the late Lake from Sioux Falls, South Dakota, Peter Berlet. where he was engaged in the farm The village of Johnson, with a pop implement business. ulation of less than 500, is unique in Mr. Bridenbaugh, who became a that it has two banking firms, the stockholder at the time the bank’s other being the First National Bank, capital was increased early this year, which has $1,100,000 in deposits. First will be the seventh man on the board. State Bank officials hope to liquidate Other directors are J. J. Eimers, the institution by November 1st. William P. Warner, David Warner, E. E. Runge, Mr. Nelson and Mr. Rejoins Hastings Bank Peters. W. J. Crockett rejoined the staff of Mr. Bridenbaugh is a lifelong Da the City National Bank of Hastings, kota county resident and prominent Nebraska, last month as assistant cash farmer and livestock raiser. He col ier, President A. J. Koelling an lected the most votes in the April nounced. For the past year Mr. Crock primary for the Nebraska unicameral ett has been in Denver operating the legislature and will oppose Senator Highway Sign Company, which he Roy Carlberg in the November elec sold recently. tion. The former Hastings man went to Denver in July, 1947, following war service with the Army and a postwar Resigns at Wilber Sidney L. Broz, assistant cashier of assignment with the Maritime Com mission as assistant to the director of the Wilber State Bank at Wilber, Nebraska, has resigned because of ill the Mediterranean area. Mr. Crockett is a graduate of the health. Mr. Broz has been a member University of Nebraska and worked of the bank staff there for 18 years. President H. V. Jelinek, in announcing at the City National eight years be Mr. Broz’ retirement, said Mrs. Hattie fore entering the Army. Elected Director Clarence Bohling was elected a di rector of the Auburn State Bank, Au burn, Nebraska, at a meeting of the directors last month, according to Vir gil E. Warren, executive vice president and cashier. Mr. Bohling is a son of William Bohling, only remaining member of the original directorate. Surplus Account Boosted An increase in surplus of $50,000 and an increase of reserve accounts of $25,000 was announced by the Na tional Bank of Commerce of Lincoln, Nebraska, last month, following a meeting of the board of directors. Byron Dunn, president, said the in creases were made to allow the bank more chance to make loans in Lincoln. The bank’s capital remains at $600,000, and the undivided profits were unchanged at $175,000. Total surplus is now $650,000 and total reserve ac counts $525,000. Joins Scotia Bank Clarence H. Sixel, cashier of the Farmers State Bank at Plymouth, Ne braska, is resigning that position to become cashier of the State Bank of Scotia. In his new position he will succeed Benjamin C. Bilhorn, who died several weeks ago. Mr. Sixel is married and has three children. Did you know that adoption of our Cash Letter insurance enables you to dispense with detailed Cash Letter transcripts and keep only a duplicate adding machine tape? Ask us for details. F IR S T N A T IO N A L https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis BANK B U IL D IN G * C H IC A G O Scarborough & Company Insurance Counselors 3, I L L I N O I S • STATE 4325 Northwestern Banker, O cto be r, 1948 76 Nebraska News An inventory filed in County Court at Omaha listed an estate of nearly $900,000 for the late George Brandeis, Omaha department store executive. Chief items listed were 7,649 shares in the Central Land and Cattle Com pany, valued at $764,900; cash of $77,302; 81 shares of Omaha National Bank stock at par of $20; real estate in Fairacres, $25,000; 11 bonds of the Omaha Country Club, par $500. H AROLD T. LANDERYOU, 52. Oma ha investment broker and promi nent in lodge activities, died recently at his home after an illness of three years. He joined in the formation of Smith. Landeryou and Company in 1925. The firm, now Smith-Polian and Company, closed during Mr. Landeryou’s funeral, to honor the former partner and associate. Mr. Landeryou also previously had been connected for five years with two other Omaha companies, the First Trust and the Peters Trust. He was a past president of the Ne braska Investment Bankers' Associa tion. Nine Omaha national banks which reported deposits of $163,000,000 at the end of 1941 now have more than $389.000.000 on deposit. With income tax payments and per capita income, they help tell the story of Nebraska’s eco nomic climb. Per-person income in Nebraska has soared from $512 in 1941 to an esti mated $1,350 for 1947, a climb of 263 per cent. Nebraska’s money is in “solid hands,” a banker commented. Mostly, it is a cushion against leaner times. Small-town banks, whose deposits have jumped into the “million-plus” class for the first time, hold the “cushion.” Mis. .1. B. Frazier, Jr., the former Louise Leonard of Lincoln, Nebraska, died recently in an Omaha hospital after a long illness. Her husband is an Omaha investment banker. Sur vivors also include a daughter, Mrs. Harry Burrell of Omaha, and a son, John Duncan. Burial was at Lincoln. A number of contributions were made to the Children’s Memorial Hos pital in Omaha in memory of Mrs. Frazier. Home from a vacation in Estes Park, Colorado, are Mr. and Mrs. Dale Clark. Mr. Clark is president of the Omaha National Rank. Mrs. Clark spent five weeks at Elkhorn Lodge, where Mr. Clark joined her for the last two weeks. Harry Greenway, Omaha invest ment banker, has returned after a visit with his sister, Mrs. Arvid Peter son. who lives near Jackson. Minne sota. En route home, he stopped at Evanston. Illinois. and United States National Banks of Omaha were among the first firms to respond to a call for volunteers to help register young men in the 18-25 bracket in the first peacetime draft. Í A sign of the times: Omaha banks again have safety deposit boxes for rent. The Omaha National, First National Harry E. Rogers, assistant vice president of the United States Na tional Bank of Omaha, thought his golf buddies and the caddies were pulling a gag recently at Omaha’s Happy Hollow Club. They told him his tee shot on the 135-yard seven teenth hole had dropped into the cup. And it had. It was the first hole-in-one in hisgolfing career. .1. Clifford Rahel, investment bank er, was named sectional chairman of the initial gifts divison of the Omaha Communty Chest drive. Edwin N. Van Horne, president of the Federal Land Bank of Omaha, was named general chairman of the campaign, which was set to run from September 27th to October 13th Four former Pawnee City, Nebras ka, residents, all former classmates and long time friends, got together in Omaha recently for a reunion, their first since boyhood days. The group included Clark and Fred Haas, retailers; Edwin N. Van Horne, president of the Federal Land Bank of Omaha, and United States Senator Kenneth Wherry of Nebraska. The Haas brothers entertained at a reunion luncheon. Twenty-five per sons were present. Mr. and Mrs. VV. A. Sawtell are home after a vacation at Piney Ridge Lodge near Jenkins, Minnesota. Mr. ir s t N a tio n a l B a n k oí O m a h a Oldest National Bank. From Omaha West Member Federal Deposit Insurance Corporation N orthw estern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 77 " G O L D O N T H E H O O F " Live sto ck co n ve rts grass, silage, grain and hay into "g o ld on the h o o f." Fo r m any y e a rs, Stock Y a rd s N atio n al Bank has helped M id w est ag ricu ltu re and its allied industries to pro d u ce this new w ealth. W h e n it pertains to livesto ck, our m any yea rs of e xp erien ce, and our lo catio n in the h eart of O m a h a 's g re a t livesto ck m arket, enable us to give you co m p le te , e fficie n t banking se rv ic e . The only Bank in Omaha's Union Stock Yards Stock Yards National Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Omaha, Nebraska MEMBER O F FEDERAL DEPOSIT IN SU RA NC E C O R P O R A T IO N Northwestern Banker, Oe tobe r. 1948 78 Nebraska News Staffe t'a la m b a sP a r a d e the Minnesouri Angling Club on Lake Miltona, Minnesota. Mr. Spear is trust officer of the First National Bank of Omaha. Gordon Taft, former Omaha invest ment banker, with his wife, their son, Buddy, and daughter, Betsy, have been guests in Omaha of Mrs. Taft’s mother, Mrs. John J. Foster. Mr. Taft is associated with the office of the secretary of the army in Washington.. He has charge of the Civilian Awards Department. The Tafts live at Alex andria, Virginia. Bank Holds Soil Contest 4-H CLUB FAIR PARADE—The annual parade sponsored during the P latte County 4-H Club Pair at Columbus, Nebraska, by the Platte County A gricultural Society is a highlight of the early fa ll season in that county. A bove are some of the men responsible for the big parade and activities of the Society this year. From le ft to right are J. O. Peck, president The Central N ational Bank, Columbus, and president of the Nebraska Bankers A ssociation; Walter T. Matzen, William Smith, Julius Nyffler and Walter Loseke, all of Columbus. The little fellow in fron t of M r. M atzen is his inseparable companion, grandson Teddy M atzen. Mr. Loseke is president of the Society, M r. Peck is treasurer and M r. M atzen is im mediate past president. The Society owns land and equipment valued at $90,000 outside of Columbus which is used for Fair exhibits and events. Sawtell is president of the Stock Yards National Bank of Omaha. They were accompanied by their son, Steve, and their son and daughter-in-law, Mr. and Mrs. W. A. Sawtell, Jr. Steve Sawtell entered Northwestern Uni versity this fall. A dividend of 40 cents a share on the common stock was declared August 25th by the Northern Natural Gas Company, which has headquar ters in Omaha. The dividend was payable September 25th to stock of record September 10th. The American Investment Company of Illinois has acquired controlling in terest in the Omaha Wimsett System Company. The consumer finance business is operated by a subsidiary of American Investment, the Public Finance Company of St. Louis, Mis souri. The Wimsett name is being retained. The firm is a Nebraska cor poration. American Investment bought the majority stock interest of H. A. Jacobberger of Omaha and his son, Francis >1. Jacobberger, for a re ported $120.000. Fremont E. Strout, secret service agent in charge at Omaha, issued a warning recently to tavern owners and restaurant men to “beware of counterfeit bills.” He said that about a dozen countei’feit $10 bills were discovered in Omaha. The most likely places to try to pass them were taverns and cafes, he stated. Mr. and Mrs. Wallace Spear and their daughter, Sara, spent the month of August at their summer home at Thirty-five farmers have been en tered in the county soil conservation contest being sponsored by the First National Bank of Fairbury, Nebraska. Entries were received up to October 1st and the board of supervisors of the Jefferson County Soil Conserva tion District is selecting six of the best entries, which will be reviewed by representatives of the State Con servation Board and the First National Bank, and three winners named. A banquet will be given early in November when the winners will he announced. Begin Bank Addition A $45,000 building expansion pro gram was launched last month by the Commercial National Bank of Grand Island, Nebraska. Work was begun on a 42-foot addi tion to the rear of the present bank structure. The addition will be one story only, but with supports for a second story if one is ever needed. Most of the addition will be used for the bank’s vault and safety de partment. Capacity of that depart ment will be increased by 500 safety deposit boxes. Announce Engagement Mr. and Mrs. Frank Jensen of Oak dale, Nebraska, announce the engage- IN ST. JOSEPH No Other Bank Gives You MORE* for YOUR MONEY Than the TO O TLE-LACY Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MILTON TOOTLE FRED T. BURRI R. E. WALES P R E S ID E N T CASH IER V IC E P R E S ID E N T 79 Nebraska News ment of their daughter, Lavonne, to Herbert Newhard, son of Mrs. Ida Newhard. No definite date has been set for the wedding. Mr. Newhard, assistant cashier at the National Bank of Neligh, is a graduate of Neligh High and Chillieothe, Missouri, business college. THE NEW APPROVED Helping 4-H Youths The banks in Cheyenne county, Ne braska, have cooperated again this year in giving a boost to the promo tion of 4-H activities in the territory by following what has become their yearly custom of paying the subscrip tions for the National 4-H club News for all 4-H leaders and assistant lead ers in the county. According to County Agent W. P. Bullock, a total of 68 subscriptions were given this year for use by the leaders and the members of their clubs. The man behind this philanthropic project is Marius Christensen, cashier of the American National Bank in Sidney, who, since the gift subscrip tions started, has contacted the county banks and done the work of organiz ing the donations and paying the sub scriptions. The National Bank of Neligh is do ing the same thing for 4-H members in Antelope county. POSI-n-CHGIK MAIL LIKE A POST CARD ORIGINATED BY PRACTICAL BANKERS JUST WHAT YOUR CUSTOMERS WANT Burnham Campbell Resigns Burnham O. Campbell, after 35 years’ service, resigned last month as vice president and trust officer of First National Bank, Lincoln, Ne braska. Charles M. Davis Charles M. Davis, 83, banker, ranch er and livestock man, died last month of a heart ailment. Mr. Davis was Garden county’s first county treasurer and had served a couple of terms as county commis sioner. He owned a 15,000 acre ranch and had been a vice president and director of the Nebraska State Bank for several years. Copy ghted Post-A-Checks are ga in in g n e w p opularity e v e ry d a y. They are just w hat your thrift-minded custom ers want. This p ractical, convenient ch eck is printed on the sam e stock as the U. S. Postal Card AND REQUIRES ONLY ONE CENT POSTAGE. 25 ch ecks to a stapled tab, sup- . ported b y a ch ip b oa rd b ack and p a p er flylea f front. Check size, including perforated stub— 3 V i " x 8 V i". De tached, ch eck is 31/4 " x 51/s". Printed in blue on greem "S a fety-R ite" background , ch eck form includes town, nam e of b an k and ban k num ber printed for ind ivid u a l requirem ents. Post-A-Check offers you a new , practical custom er service! Printed on same stock as Government postal card. W R IT E A T O N C E F O R D E T A IL S A N D P R IC E S Created And Printed By The nEB RnsKn LINCOLN, s n u s b o o k to . NEBRASKA ‘ M ORE p e rso n a l serv ice — *MORE typ es of serv ice — ‘ MORE frien dlin ess — ‘ M ORE p e o p le w ho are interested NATIONAL BANK GRAHAM G. LACY CH. OF THE BOARD https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E. H. SCHOPP A S S T V IC E P R E S . E. L. CRUME A S S T V IC E P R E S . in y ou . ST. JOSEPH, MO. MILTON TOOTLE, JR. A S S T . C A S H IE R M em b er In su ra n ce F ed eral D ep o sit C o r p o r a tio n Northwestern Banker, O cto be r, 1948 SO Nebraska News i n n i i C h e c k o n a C u r d O ENVELOPE! No 3-cent stamp! N No trouble! That describes pre cisely the “Post-A-Check”—a banking merce at Lincoln. Nebraska. What is this “Post-A-Check” ? It is a penny postcard check which need innovation now being supplied cli not be placed in an envelope for mail ents of the National Bank of Com- ing. Value? It’s worth a saving of at least two cents every time a check is written for mailing, plus the cost of Bought and Sold an envelope. Confidentially and with becoming dignity It surely minimizes, as well, the BANK EM P LO Y EES PLA CED trouble connected with paying month 43 Y e ars S a tis fa c to ry S e rv ice ly bills and routine assessments such CHARLES E. WALTERS CO. OMAHA, NEBRASKA as utility rates. Originated by Byron Dunn of the FOR SALE—Corliss time lock money Lincoln bank and created by the Ne safe No. 85. Excellent working condi tion. Lloyd E. Peterson, Nebraska City, braska Sales Book Company, also of I incoln. the idea of using penny post Nebraska. card checks is gaining widespread ac ceptance in many sectors of the coun try. M O D ERN F I X T U R E CO. “ Since 1908’’ Pioneers like Mr. Dunn, who has provided National Bank of Commerce customers with post-a-checks for sev » - » C h a m p a St. P h o n e M A i n 47 8 » en years, predict that eventually use D e n v e r 4. Co lo ra do of the postcard checks will become universal. Bank officials estimate that the num ber of the handy checks written each month is currently running in the multi-thousands. Acceptance of the check has not been immediate, however. Many bank ers are still unconvinced. A lively I N C O R P O R A T E D debate as to the merits of the system N o w in c lu d e s has evolved. Y o r k V a u lts — M c C l in t o c k A l a r m s Dissenters have charged that the C a n to n 2, O h io postcard check results in one’s signa ★ ture becoming public property, easily BANK VAULT EQ U IP M EN T accessible for forgery exponents. BU RGLAR ALARM S • SAFES, In rebuttal, proponents of the post C H E S T S A N D VAULT DO O R S card check argue that, after all. one’s MICROFILM • ROTARY, VERTICAL signature will not be seen on the card AND VISIBLE FILING EQUIPMENT by any greater number of people than ★ would ordinarily see the signature of N a tion -w id e Service a letter. by fa c to ry Trained Exp erts The only exception would be the postal employes. To suspect them is Facto ry Branches in to reject an established governmental C H IC A G O , OES M OINES system whose integrity is its trade and ST. PAUL mark, they say. In reply to the disgruntled members BANKS BANK FIXTURES D ie b o ld Reporting Service To Meet Your Needs . . . Standard Consumer Reports— Automobile Purchase Reports— Farmer Reports— Business Reports— Employee Reports— Dealer Car Check Reports . . . AND Property Reports— Modernization Loan Reports— G. I. Loan Reports— covering re quirements for all types of loans approved by Federal Housing Adm inistration, Veterans Adm inistration, Banks and Finance Companies. CONTACT YOUR LOCAL CREDIT BUREAU FOR THIS SERVICE CREDIT BUREAU REPORTS, INC. (Form erly N ational Consumer Credit R eporting G E N E R A L O F F IC E — 381 FO U R T H A V E ., N E W C orporation) Y O R K 16, N. Y . Owned and Operated by Ten Hundred Fifty-one Reporting Bureaus Throughout the United States Northwestern Banker, O ctob er, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis of the Bank Management Commission, who would like to standardize the sizes and forms of checks, users of the postcard check claim that the hope that every business house in the country will use the same size check is merely a “dream” anyway. Another safety measure of the post card check, spelling doom to the would-be forger, is the special process ing which makes erasures on the cards easily detectable. The only per manent feature is the safety ink, which assures the writer no changes in bank names can be made. Unconcerned with any controversy going on about the merits of the check, customers of the National Bank of Commerce, and many other banks, are happily utilizing the postcards and using to better advantage the time formerly spent licking stamps and en velope flaps. Paying the bills nowadays amounts merely to writing the check on one side, the name and address of the payee on the other, as on any post card. Then all that’s necessary is a mail box—and money enough in the bank to cover the check. Increases Bond The State Bank of Bartley, Nebras ka, has increased by $10,000 the amount of securities it has pledged to secure Red Willow county funds on deposit in that bank, according to County Clerk Vernelle Austin. When a $10,000 bond became due and was retired, the Bartley bank placed two new $10,000 bonds on de posit in an Omaha bank, making the bank’s total security $40,800. World Wide In mid-August the weekly magazine Newswet k ran a story, “Flourishing Drive-Ins” without mentioning Kansas City’s motor bank. This was all to the advantage of the City National Bank & Trust Company, since it en abled Tom Collins, the bank’s public ity director, to write to Newsweek, these two paragraphs from Tom ap pearing in the current issue: “ It happens we have just moved into the newest, trickiest, slickest, prettiest, most convenient and up-todate bank building in America, of which more than 30 per cent is de voted to motor banking. We have the unique automobile banking set-up in the banking business, and nary a smidgin’ of a split syllable of a word did we get in your symposium about motor banking. “We have a 400-car garage built into our new establishment and a complete motor banking facility that surpasses anything anybody else has. We have Nebraska News it all—up to a gadget that will turn the car upside down and shake it for loose pennies that might have fallen back of the seat. . . . “ Tom Collins, Publicity Director The City National Bank & Trust Company, Kansas City, Missouri” The Board of Water Supply; Hono lulu, Hawaii, seeing this announce ment in Newsweek, wrote the City Na tional Bank & Trust Company, Kansas City, Missouri, for the design of its Motor Bank, having in mind the build ing of a similar operation for the con venience of its customers in paying their water bills. 81 Rand type,” the latter developed es pecially for the new machine. by transferring $15,000,000 from un divided profits. Capital stock remains at $60,000.000. Surplus Increased Dividend At a regular meeting of the board of directors of Continental Illinois Na tional Bank and Trust Company of Chicago, the surplus account was in creased to $90,000,000 from $75,000,000 The hoard of directors of The First National Bank of Chicago at a recent regular meeting declared a dividend of $2.00 per share on the capital stock of the bank, payable October 1. 1948, 9n jßiricoU i — *7h e G a*iti*ie*ttcd— increases Efficiency Of special interest to bankers is the maximum efficiency of machines con tributing to the transaction of bank ing business: hence the high efficiency W h e re a C o rre sp o n d e n t relationship m eans S E R V IC E TH AT S A T IS F IE S Member Federal Deposit Insurance Corporation The R em ington E lectric D eluxe of the new Remington Electric Type writer represents a long-awaited step forward. This new machine, named the “ Rem ington Electric Deluxe,” when it was first publicly displayed in September aroused comment among business men throughout the country because of its new, functional styling, radically dif ferent appearance, and improved pat ented mechanisms. The novel styling and exclusive mechanisms insure greater durability and longer life than has been known heretofore, and increase the ease and speed of operation, company spokes man said. The color scheme is two tones of gray, with keys of white and blue. Described as an “all-purpose” type writer, the new Remington Electric fits all standard typewriter desks. A new keyboard with keys streamlined and curved is designed to produce maximum speed of operation with minimum operator fatigue. Several type styles are available, including a new type face known as “ Remington YOUR STATE BANKERS ASSOCIATION OFFICIAL SAFE, VAULT AND TIMELOCK EXPERTS OFFICERS G. E. Porter Chairman of the Board .1. A. Greenfield President For faster clearance of your South west Iowa and Northwest Missouri items, send them to us. T. ,7. McCullough Vice President M. E. Blanchard Cashier L. J. Kom er Assistant Cashier H. H. Broadhead, Jr. We are equipped to handle these items in the most efficient manner and can save you time on the clear ance of them. A ssistant Cashier First St. Joseph STOCK VARUS B A X K S o u th S t. J o s e p h , Mo. ‘OMLY BA NK IN THE YARDS 99 F. E. D A V E N P O R T & C O . OMAHA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Northwestern Banker, O cto be r, 1948 82 It Couldn't K eep Face In days past, the Toonerville Trolley Eventually got there . . . b'golly! If a Transit today Was handled this way Modern Banking would certainly be folly! Y e s . . . the "slo w -b u t-su re" Transit sy stem is a thing of the past! draw n Just a s the Horse- Trolley disap p ea red b ec a u se it couldn't keep up with the ch an gin g world, the n eed for sp eed y transit service b y our correspondent ban ks h as outm oded old-fashioned, slow clearan ce on collection items. T o d a y , our transit item s are cleared in a matter of hours! Even items received at night are picked up b y a sp eed y crew w ho process an d h ea d them on their w a y before the rooster crows. There's no d ela y . W ith all the sp eed that a ccu racy and com p leten ess allow , your rush bu sin ess gets fast action . . . a s fast a s Air M a il can travel. Let us prove how friendly 24-hour transit service can sa v e you a s m uch a s a d a y 's time on transactions . . . build m ore profits and better customer relations for you . W rite for your su pply of special 24-H O U R TR ANSIT SERVICE ENVELOPES tod ay! TO C K ^B A N K A B A N K Member of .Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis H O F Federal N A E F R I E N D L Y Reserve and Federal B R A 2 4 ■ H Deposi t S O K U R I n s ur anc e A S E R V I C E Corporation QQ O O T h e i o u ’a 1 o n v e u t io n Prominent Bankers and Businessmen Will Appear On Program at 62nd Annual Convention in Des Moines, October 25th, 26th and 27th T HE high standard of presenting outstanding annual conventions is being upheld this year by the Iowa Bankers Association as a review of the program for the 62nd annual con vention in Des Moines, October 25th, 26th and 27th will prove. Representa tives of other national fields assume prominent speaking spots on the three day program, bringing messages of real interest to Iowa bankers. When Association President W. W. Blasier calls the meeting to order at 1:15 p. m. Monday, October 25th, the ring of his gavel will be a signal for a parade to the speakers platform of prominent business men such as Rob ert Lindquist, president Financial Pub lic Relations Association; John H. Grier, vice president First National Bank, Chicago; E. Howard Hill, presi dent Iowa Farm Bureau Federation; Evans Woollen, Jr., newly elected president of the A.B.A.; George B. Roberts, vice president National City Bank, New York; W. -A. Patterson, president United Air Lines; Louis Bromfield, Lucas, Ohio, and the Hon orable Marriner S. Eccles, member board of Governors Federal Reserve System, Washington, D. C. These and many prominent Iowa bankers and other fine speakers will present messages of real interest. A fine program of entertainment is also in store, featured by the 60 person Scottish Highlanders unit from the University of Iowa. The complete program is as follows: Monday, October 25th (First Day) 10:00 A M.— 1. Registration commences on Mez zanine Floor, Moines. Hotel Fort Des PROGRAM 1:15 P. M.— 2. Convention Called to Order W. W. Blasier President, Iowa Bankers Associa tion; President, Farmers State Bank, Jesup. 3. Invocation Reverend Alvin L. Morris Minister, Central Presbyterian Church, Des Moines. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 4. Remarks of tlie Vice President Leo J. Wegman Vice President and Treasurer, Iowa Bankers Association; President, Citizens Savings Bank, Anamosa; President, Dyersville National Bank, Dyersville. (Note: Mr. Wegman as vice presi dent of the Iowa Bankers Associa tion at this time assumes the Chair and presides over the Convention until after the presentation of the Ivory Gavel to the President.) 5. Annual Address of the President W. W. Blasier 6. Presentation to the President of the Ivory Gavel E. F. Sorg President, Farmers State Savings Bank, Independence. 7. Response AV. W. Blasier (The president resumes presiding) 8. Talk C. B. Mills Moline, Illinois. 16th president of Iowa Bankers Association (19021903). “The Birth of an Association” Memorials to the late: Mr. B. F. Kauffman and Mr. John McHugh. 9. Adopting Reports of Chairmen of the Association’s Committees 28th Annual State Conference of Offi cers of the County and Inter-County Bankers Associations in Iowa. For years at the annual State Conference of County Association Officers, always held at the time of the Annual State Convention of the Iowa Bankers As sociation, many subjects relating to still better “bank administration and operation” have been discussed. While this annual Conference is conducted under the auspices of the “Organiza tion of Officers of the County Bankers Association,” its discussions however are open to all Bankers and Bank Di rectors who may desire to attend. 2:10 P.M.— 10. Greetings to the Conference W. W. Blasier President, Iowa Bankers Associa tion (Turns meeting over to A. F. Han- w. w. B L A S IE R President, Iow a Bankers A ssocia tion sen, Conference President, Hart ley) 11. Remarks and Appointment of Nominating Committee A. F. Hansen Speakers 2:15 P.M.— 12. Address Robert Lindquist President, Financial Public Rela tions Association; Vice President, LaSalle National Bank. Chicago. “Beyond the Dollar Sign” 2:40 P. M.— 13. Address John H. Grier Vice President, Bank, Chicago. First National “The Government Bond Market” 14. Address C. Edward Dahlin Attorney, Law Department, First National Bank, Chicago “Some Legal and Practical Aspects of Everyday Banking Problems” 4:10 P. M.— 15. Report of Nominating Committee of “Organization of Officers of County Bankers Associations” 4:15 P.M.— 16. Session Adjourned. Monday Evening, October 25th (First Day) Host, tin* Des Moines Clearing House. Entertainment—admission by Con vention Badge and Ticket Only! (1) For the Ladies— 6:00 P. M. Dinner and Enter tainment, Younkers Tea Room (8th and Walnut Streets) Movie Theater Tickets will also be provided. Northwest ern Banker, O cto be r, 1948 Iowa News 84 (2 ) For the Men— 5:30 P. M.—Social Hour, Mez 10:30 P. M.—Caucus of Iowa A.B.A. memhers—Palm Room zanine Floor, Hotel Fort Des Moines The customary annual A.B.A. Cau cus will be held in the Palm Room, 0:00 P. M.—Buffet Supper, Mezzanine Floor, Hotel Fort Des Moines, at this time. All Iowa Grand Ballroom, Hotel Fort Des Moines Movie Theater Tickets will be provided. ★ nominations are made for the dif ferent Iowa A.B.A. offices and which nominations are then pre sented for election at the annual meeting of the Iowa A.B.A. mem bers to come the next morning, Tuesday, October 2(ith. Tuesday A.M., October 26th A.B.A. members in attendance at the Convention are urged to be present. It is at this caucus that ★ (Second Day) 8:00 A. M.— 1. Registration 0:45 A. M.— 2. Convention Called to Order President W. W. Blaster 3. Meeting of Iowa A.B.A. Members— (a) Remarks W. H. Brenton ★ A.B.A. vice president for Iowa; President, Brenton State Bank, Dallas Center, among other Iowa Banks. (b) Election of Iowa A.B.A. Offi Convention Time The First National Bank in Sioux City extends warm cers. (c) Any New or Unfinished Busi ness. (d) Iowa A.B.A. M e e t i n g Ad journed. (e) Mr. Brenton Turns MeetingBack to President Blasier. 10:00 A. M,— 4. Talk Albert J. Robertson greetings to all its m a n y friends w ho will attend the ann u al convention of the Iow a Bankers A ssociation this month in Des M oines. W e likew ise congratulate the Iow a A ssociation and its splendid officers on the com pletion of 62 y ears of faithful service to the Iow a banking fraternity. In the sa m e friendly spirit with which First National Bank officers convention, will we greet strive our also friends to at the serve our Iow a Iowa Regional Director, U. S. Sav ings Bonds Division; Vice President lowa-Des Moines National Bank, Des Moines. m any correspondent accounts in the Sioux City area. “The Continuing and Fall Cam paigns” 1.0:10 A. M.— 5. Address A. G. SAM, President J. T. Grant, Vice President H. H. Strifert, Assistant Cashier J. R- Graning, Cashier K, J. Shannon, Assistant Cashier E. A. Johnson, Assistant Cashier E. Howard Hill President, Iowa Farm Bureau Fed eration, Minburn W . L. Temple, Assistant Cashier J. Ford Wheeler, Auditor “The Importance of Farm Income to the Rest of the Economy” 10:35 A. M.— fi. Address Evans Woollen, Jr., Vintf NATIONAL President, American Bankers As sociation; President, F l e t c h e r Trust Company, Indianapolis Indi ana. BANK “The Government and the Lending Business” 11:15 A. M.— 7. Address Stewart Harra I in SIOUX CITY Director of Public Relations; Uni versity of Oklahoma, Norman. Oklahoma. “Seeing Ourselves As Others See Us” 11:45 A. M.— 8. Session Adjourned MEMBER FEDERAL RESERVE SYSTEM MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION --------- ★ ★ ★ D id y o u k n o w that your Banker’s Blanket Bond does not protect your Cash Letter while it is in transit by mail or express? Ask about our Cash Letter Policy, which fills the gap. F IR S T N A T IO N A L RANK B U IL D IN G Northwestern Banker. O ctober. 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C H IC A G O Scarborough & Company In su r a n ce C o u n selo rs 3, I L L I N O I S STATE 4325 to B a n k s https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 85 \bu G et th e M o n e y Q u i c k l y The proceeds of live stock All you need do is ask your sales in Chicago are speedily sh ip p e rs to instru ct their transferred to your bank if Chicago commission firms to routed through us. The stock route through this bank the yards postoffice is just across money the street and the advice is stock sales. W e shall be pleased mailed on the day o f receipt. to send you instruction cards. received from live <2 L IV E S T O C K B A N K < j[a / fo n a / ESTABLISHED 1868 U N IO N STO C K YARDS M e m b e r F e d e r a l D e p o s i t In su r a n c e C o r p o ra tio n Northwestern Banker. O cto ber, 1948 86 Iowa News Tuesday P. M., October 26th (Second Day) 1:;50 P. M.—1. Convention Called to Order President \V. W. Blaster 2. Address George B. Roberts One of the Economic Advisers to the Committee on Public Debt Policy; vice president, National City Bank of New York. “Living With the Public Debt” 2:15 P. M.— 3. Address A. L. Olson Vice president and in charge of • the administration of Regulation W, Federal Reserve Bank, Chicago. “The Responsibilities of Financial Institutions Under Regulation W” (Memo) Informal roundtable will follow Mr. Olson’s address. You may write your questions and give them to the presiding officer prior to Mr. Olson’s address, or you may ask your questions from the floor following his address. The reestab lishment of controls over consumer installment credit by Regulation W and becoming effective Septem ber 20, 1948, makes Mr. Olson’s address and this roundtable ex ceedingly timely.) 3:00 P. M.— 4. Session Adjourned Tuesday Evening, October 26th (Second Day) I.B.A. Convention Dinner 0:30 P. M. Sharp!—Annual Convention Dinner, Mezzanine Floor, Hotel Fort Des Moines, For All Holding Dinner Tickets— Open to Iowa bankers and wives who bought tickets by mail prior to the close of Wednesday, October 20, 1048. The “Organization of Past Presidents and Ex-Councilmen of I.B.A.” and the “50 Years or More Iowa Bankers” will have dinner places in the Grand Ballroom at tables specially designated for them. 7:44 P. M.—Welcome B. A. Gronstal I.B.A. President 1942-1943; Presi dent, Council Bluffs Savings Bank, Council Bluffs; President of the “Organization of Past Presidents and Ex-Councilmen.” 7:45 P. M. Grand Ballroom (a) Musical Program by the color ful and famous State Univer sity of Iowa Scottish High landers (60 persons). (b) Additional entertainment fea tures also outstanding. Address Hon. Josh Lee Former U. S. Senator from Okla homa; Member of the Civil Aero nautics Board, Washington, D. C. Midland National Bank “Sense and Nonsense” Wednesday A.M., October 27th (Third Day) OF MINNEAPOLIS S a lu tes the IOWA BANKERS ASSOCIATION A GAIN we’re happy to join in saluting the Iowa Bankers Association. Your help, we feel certain, has contributed much to the wealth and happiness of people in your grand state. W e’ll be at the convention — and will look forward to seeing many of your (a) President (b) Vice President-Treasurer 10:15 A M. — 4. Address W. A. Patterson President, United Air Lines, Chi cago “Air Transportation, Its Problems and Progress” 10:45 A. M.— 5. Address Louis Bromfield Malabar Farm, Lucas, Ohio “Agriculture as the Foundation of Our National Economy” 11:30 A. M.— members. W. E. Brockman, Vice President M idland National Bank 405 Second Avenue South, Minneapolis Member Federal Deposit Insurance Corporation N o r t h w e s t e r n Banker, O c t o b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 8:00 A. M.— 1. Registration 0:45 A. M.— 2. Convention Called to Order President W. W. Blasier 3. Election of I.B.A. Officers— 1948 6. Address Hon. Marriner S. Eccles Member, Board of Governors, Fed eral Reserve System, Washington, D. C. “The Economic Dilemma" 7. Receiving Invitations for 194!) Con vention 8. Any New or Unfinished Business 12:20 P. M — 9. Adjournment of 02nd Annual Con vention 87 AS ALWAYS A CORDIAL WELCOME AWAITS YOU AT THE VALLEY BANK VALLEY BANK AND TRUST COMPANY DES MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M O I N E S 75th ANNIVERSARY YEAR Northwestern Banker, O c to b e r, 1948 88 Iowa News Open LaMotte Office Stockholders of the Andrew Savings Bank of Andrew, Iowa, voted recently to increase the capital stock from $25,000 to $50,000 by issuance of $12,500 of new stock and payment of a $12,500 stock dividend. This doubling of capital was done to facilitate opening of an office at LaMotte, which has been without a bank for 17 years following the closing there of the Iowa Savings Bank. The LaMotte office is occupying the former bank building which had been kept intact domplete with fixtures and vault. Eber V. Flint, cashier of the An drew Savings Bank, advises that W. F. Bendtschneider, Morrison, Illinois, has been added to the staff to handle in creased business resulting from open ing the new office. Capital Stock Changes A number of changes in capital structure have been reported by the Department of Banking. Articles of incorporation were filed with the department for the Betten dorf Bank and Trust Company at Bettendorf, Iowa, providing for basic capital of $150,000 in common stock, a surplus fund of $50,000, undivided profits and reserves of $50,000, giving the new bank a total capital structure of $250,000. W. E. Bettendorf was named in the filing as president, and F. A. Lettow as executive vice presi dent. The new bank is not expected to commence operations for several months, since the bank building is still under construction. Iowa State Bank The Iowa State Bank, Des Moines, has increased capital stock from $100,000 to $200,000 through sale of $100,000 of preferred stock. Security Savings, Scranton A $15,000 stock dividend has in creased capital of the Security Savings Bank of Scranton from $25,000 to $40,000. Security State, Mt. Ayr Capital of the Security State Bank of Mount Ayr has been raised from $30,000 to $60,000 by issuance of a stock dividend. Dubuque Bank and Trust Stockholders of the Dubuque Bank and Trust Company voted to retire RFC preferred stock of $46,000 and issue common stock in lieu thereof. They also issued an additional com mon stock dividend of $50,000 and sold another $50,000 of common stock, thus giving the bank total basic capital of $200,000 in common stock. Mechanicsville T & S EQUIPPED and QUALIFIED TD SERVE YDUR EVERY RANKING NEED Hushurciis Over $ 7.ri,n n i),n n n .n ii The Mechanicsville Trust and Sav ings Bank has increased capital from $25,000 to $50,000 by payment of a common stock dividend. State Bank, Ft. Dodge A $50,000 common stock dividend and sale of $50,000 of new common stock has boosted capital of the State Bank at Fort Dodge from $100,000 to $200,000. In addition to the above capital changes, it was reported also by the Citizens Savings Bank, Hanlontown, that office service has been discon tinued at Fertile. Elected Director DAVENPORT B A N K AND T R U S ^ W 'Wlembex Jed cA o l COMPANY W Rma£Avc S y s t e m - M em ber Federal D eposit Insurance C orporation Third Street at M ain Northwest ern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Davenport, Iow a Will F. Riley, widely known Des Moines attorney, was elected a director of the Bankers Trust Company at a meeting of the board last months Mr. Riley fills the vacancy caused by the death of B. F. Kauffman last July. Mr. Kauffman had been head of the bank since its organization. Mr. Riley is a member of the law firm of Evans, Riley, Duncan. .Tones and Hughes. Sf) B a n k e rs h a v e p ro b lem s, too! If it isn’t one thing, it’s another . . . what with the many of the problems that plague the independent uncertainty of the weather and its effect on crops . . . banker . . . and the k n o w -h o w and enthusiasm to new developments in production . . . the problem of handle new problems as they develop. Call on the keeping up-to-date on a score o f different fields of Marquette when you need help, we re as near as your business, comm erce and agriculture . . . and the never- telephone . . . ending problem o f holding present business while you’ re in Minneapolis. exploring new channels o f activity . . . yes, bankers RUSSELL L. STOTESBERY President DEPARTM ENT have problems. T h e Marquette of Minnea polis has solutions to T H E S T R O N G F R I E N D OF or stop in for a visit the next time LYNN FULLER OF BAN KS CHARLES C. RIEGER OTTO H. PREUS Vice President T H E Assistant Vice President I N D E P E N D E N T MARQUETTE 517 MARQUETTE https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis AVENUE Executive Vice President AND B A N KERS B A N K E R BANK MINNEAPOLIS 2, M I N N E S O T A M EM B ER FEDERAL DEPOSIT INSU RAN CE C O R PO R A T IO N Northwestern Banker, O cto be r, 1948 90 Iowa News fH reeto rs M e e tin g lie s M o in e s J. Cameron Thomson, president of Northwest Bancorporation, presided at a regular meeting of the board of directors of N orth west Bancorporation in Des Moines last month. This was the Bancorporation’s second meeting held outside the Twin Cities. Opening the meeting in Des M oines, M r. Thomson said, “ Our meeting here is at the in vitation of the directors of our affiliate, the Iow a-D es Moines N ational Bank, and the two Iow a members of our board, Fred Bohen, president of M eredith Publishing Company, and J. M orrell Foster, vice president of John Morrell and Company at Ottumwa. Fred Bohen has been a director of the Baneoi’poration since September, 1929, and M orrell Foster since 1943. Because of their fine participation in the delibera tions of our board, it was a pleasure to reciprocate b y coming to Iow a.” Other Bancorporation affiliates in Iow a are F irst N ational Bank of Denison, F irst N ational Bank of M ason City, and L ive Stock N ational Bank o f Sioux City. A tten d in g the m eeting were Bohen; H arry A . Bullis, chairman of the board, General M ills, Inc., M inneapolis; Robert Congdon, mining and investm ents, Duluth; Edw ard B. Cosgrove, president, M innesota V a lley Canning Company, Le Sueur, John Crosby, M inneapolis; Thomas L. Daniels, president, A rcher-Daniels-M idland Company, M inneapolis; G-. Nelson D ayton, president, The Dayton Company, M inneapolis; John B. Faegre, partner, Faegre and Benson, attorneys, M inneapolis; F oster; Frank T. Heifel- Auditors Meet Lewis A. Rodenbaugh, Jr., vice president of the Iowa State Bank, Des Moines, has been elected presi dent of the newly formed central Iowa conference of the National Association of Bank Auditors and Comptrollers. H. P. McNeil, assistant cashier of the Ames Trust and Savings Bank, was named vice president, and W. A. Acuff, assistant auditor of the Iowa-Des finger, chairman of the board, F . H . Peavey and Company, M in neapolis; Clarence E. H ill, chairman of the board, Northwestern N ational Bank, M inneapolis; W ard Lucas, president, HayesLucas Lumber Company, W in o n a ; John S. Pillsbury, chairman of the board, P illsbury M ills, Inc., M inneapolis; Joseph F. Ringland, president, Northwestern N ational Bank, M inneapolis; A ugustus L . Searle, president, Searle Grain Company, M inne apolis; Harold W . Sweatt, president, M inneapolis-Honeywell Regulator Company, M inneapolis; Thom son; Frederick K , W eyerhaeuser, president, W eyerhaeuser Sales Company, St. P au l; and V alentine W urtele, president, M innesota Linseed Oil P aint Company, Minneapolis. In the pictures above, taken at the directors meeting, are, from left to right, Herbert L. Horton, president, Iow a-D es M oines National Bank, Des M oines; Joseph F. Ringland, president, Northwestern N ational Bank, M inneapolis; J. Cameron Thom son, president, Northw est Bancorporation. Edward E. Brown, chairman of the board, F irst N ational Bank, Chicago; Clyde H . D oolittle, vice president, Iowa-Des M oines N ational B an k; Clarence E. H ill, chairman of the board, Northwestern N ational Bank, M inneapolis. A lb ert J. Robertson, vice president, Iow a-D es M oines N ational B a n k ; Robert M actavish, vice president and secretary, N orth west Bancorporation, M inneapolis; and A rthur R. Evans, vice president, Northw est Bancorporation, Minneapolis. Moines National Bank, Des Moines, is secretary-treasurer. Thirty-nine representatives of 18 central Iowa hanks formed the new conference at a meeting in Des Moines last month. Mr. Acuff said the or ganization is primarily for auditors and comptrollers of banks within a 50-mile radius of Des Moines, hut members beyond that limit will be ac cepted. The conference will hold monthly meetings to discuss auditing procedure and to exchange ideas. C. F. Hollatz C. F. Hollatz, director of the Ventura State Bank at Ventura, Iowa, died re cently. He had been on the board since 1933. This vacancy has been filled by L. J. Kinsella, a long time resident of Bank Stationery Headquarters for Nearly 50 Years... W e specialize in printing m unicipal and other sp ecial bonds. • Customer Checks • Pocket Checks A sk about CER CLA all-m etal binding for custom ers' checks. • Counter Checks Write, phone or call for sa m p les and prices. • Letterheads and Envelopes • Bank Drafts and Notes • Statement Sheets • Ledger Sheets • Deposit Slips m Statement Folders • Pass Books • Check Covers Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis MERICAN Lithographing and Printing Co. Third and Keosauqua Way • DES MOINES Phone 4-8146 91 BANKERS . . . . . . . . . l a r g e a n d s m a l l . • • are g e t t i n g on Speed King Hinder. A djusto Tray t h e I e He b u r e BAND WAGO , THE S W I N G LeFebure H i-Lo Stand equipped with signature card files. E l-EB U R E METAL IS B O O K K E E P I N G AND OFFICE EQUIPMENT . . . • ’par greater S^tcienccf f • p a r p n e a t e r (C on v en ien ce / • P a r g r e a t e r O p e r a tin g . S c o n o n t y f There is a reason for this active acceptance for LeFEBURE Equipment. Your operating costs are higher and your volume is greater. You need the proper “tools” to offset these factors, and to receive full benefit from the improvements in bookkeeping machines. LeFebure H i-Lo Stand with T ransfer File and Pull-out Shelf. (S helf furnished on right or left side. Please specify.) There is an efficient LeFEBURE “ tool” for every accounting ¡ob . . . a “ tool" that increases employee satisfaction and output . . . thereby lowering your operating costs. Write for our free booklet . . . an important booklet that should be In the reference file of every executive interested in lower o p e ra tin g c o sts a n d g reater output. > / 'blt FE B U R E LeFebure Cheek Sorter. (F u r nished to accom m odate form s o f any size and with anydesired indexing.) Double Capacity Check File with rem ovable drawers. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis ORPORATIO CEDAR RAPIDS, IOWA, U. S. A Junior Model Bookkeeping Desk (replaces machine check ta b le). P rovidin g pull-out shelf, draw er and bottom shelf in same space. Machine Bookkeeping Desk with LeFebure Sorter on ex tended shelf. Junior Model Portable Tellers Unit. Northwest ern Banker, O c to b e r , 1948 92 Iowa News Ventura. H. A. O’Leary, Mason City, is president and Lawrence L. Bless is cashier. Remodel Humeston Bank The Citizens State Bank of Humes ton, Iowa, has recently remodeled and enlarged their banking quarters with modernistic designs. Cashier H. E. Long announces that 150 new safe deposit boxes have been added to in crease facilities in this department. Appointed as Director Dr. R. G. Moore was recently ap pointed as a director of the Dunlap Savings Bank, Dunlap, Iowa, to fill a vacancy caused by the death of the late Dr. J. W. Denniston. Dr. Moore will serve until January when a full term appointment will be made by the stockholders of the bank at the annual meeting. Moves to Bedford William G. Young, manager of the Clearfield office of the State Savings Bank of Bedford, Iowa, has been named cashier of the parent bank succeeding the late Wayne Paige. Mr. Young’s successor as manager of the Clearfield office has not been an nounced yet. Y O U R BANK FOR SOUTHERN IOWA Black Now a Colonel N. P. Black, commissioner of the Iowa Department of Banking, is now a full-fledged “Kentucky Colonel.” He was given the honor by the Governor of Kentucky when Mr. Black attended the annual convention in Louisville last month of the National Association of Supervisors of State Banks. Mr. Black was elected treasurer of that organization. Elect New Officers Members of the Iowa Savings and Loan League met in Des Moines last month for their annual meeting and election of officers. N. J. Caldwell, Carroll, was elected president. He succeeds Floyd D. Stubbs, Marshall town. Other officers are Jonathan Fletcher, Des Moines, first vice presi dent; Vern L. Meyers, Ames, second vice president, and E. M. Klapka. Fort Dodge, secretary-treasurer. Butler County Meeting Twenty-four bankers attended a meeting of the Butler County Bankers Association in Allison, Iowa, last month. After dinner, a business meet ing was held in the State Bank of Allison. All banks in the county were represented. Joins Investment Firm By keeping constantly in touch with the busin ess developm en t of Southern Iow a w e are a b le to provide com plete an d prompt correspondent service for a n y bank in this area. The service you obtain here is ba sed on the experi en ce g ain ed through 77 y ea rs of close personal con tact with Iow a banks and bankers. Wheelock & Cummins, Incorporated, Des Moines investment firm, an nounces the appointment of Leonard G. Major as their representative at Ottumwa, Iowa. Their new Ottumwa office is located at 208 East Second Street, Ottumwa. Mr. Major has been in the invest ment business for many years and is well known to Iowa bankers. Waterloo Promotions .... ir ill \[ Dill'iti i !!h TIÎ UdJ 11 m w 1M 1 1 11 O T T U M W A , , A I O W A OFFICERS MAX VON SCHRADER, President CLARENCE P. GLENN, Vice President J. C. BLACKFORD, Vice President FRANK M. POLLARD, Vice President and Cashier C. G. MERRILL, Vice President and Tr. Officer W. C. MILLER, Assistant Cashier GEORGE HALLER, Assistant Cashier MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION MEMBER FEDERAL RESERVE SYSTEM n orth w e stern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Promotion of seven employes of Na tional Bank of Waterloo, Iowa, was announced by James M. Graham, chair man of the board of directors, fol lowing a meeting of the board last month. R. L. Kilgore and Henry F. Hoffer were named assistant vice presidents. These are new offices. Both had pre viously been assistant cashiers. Four were named assistant cashiers: Miss Ruth G. Kloster, who has been in charge of personnel and headed the savings department; Richard E. McKinstry, who has headed the book keeping department; Robert C. Mexdorf, who has been in the personal loan department; Donald L. Wenthe, who has been purchasing agent and had charge of the paying and receiv ing tellers. Ralph Andrews, acting auditor, was named to the position of auditor. N O W IN OUR 46TH YEAR SERVING NORTHEASTERN IO W A COMPLETE SERVICE The co rre sp o n d e n t serv ice o ffered other b a n k s b y The W a te r lo o S a v in g s Bank is com p lete. For c le a r a n c e of items, particip ation in e x c e s s loan s, s a fe k e e p in g o f s e curities, trust dep artm en t functions, or a n y u n u su al p e r s o n a l serv ice, ca ll on us. W e w an t y o u to think of The W a te r lo o S a v in g s Bank as y ou r b a n k in W a te rlo o . OFFICERS HARRY G. NORTHEY, Chairman o 1 the Board C. E. CAMPBELL, President R. W . WAITE, Vice President CARLETON SIAS, Vice President J. J. MILLER, Vice President and Cashier FRANCIS R. LaBARRE, Assistant Vice President V. SPALDING MILLER, Assistant Vice President FORREST D. LOFTON, Assistant Cashier WILLIS J. VOLLENWEIDER, Assistant Cashier DALE K. DeKOSTER, Assistant Cashier JOHN R. SANDERS, Assistant Cashier W A T E R L O O SAVINGS B A N K https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis W aterloo, Iowa Member Federal Deposit Insurance Corporation Member Federal Reserve System Northwest ern Banker, O cto be r, 1948 94 Iow a News The E xecu tive Com m ittee for the Iow a Convention Pictured on this and the top of the opposite page are the Des Moines hankers serving on the Executive Committee for the 1948 Convention of the Iowa Bankers A s s o c i a t i o n . These men, appointed by Frederick M. Morrison, presi dent of the Des Moines Clear ing House Association, repre sent the Des Moines Clearing House Association and its affiliates. H E R B E R T L. H O R T O N President Io w a -D es M oines N ational Bank F R E D R IC K M. M O R R IS O N Chairman President, V a lley Bank and T rust Company G. B. J E N S E N President Des M oines Bank & T ru st Company J. W . H U B B E L L President Bankers Trust Company Northwest ern Banker. Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis E. F. B U C K L E Y President Central N ational Bank & Trust Company Iowa News R O L F E O. W A G N E R President Capital C ity State Bank W I L L I A M A. B R O Q U I S T President Iow a State Bank Iow a 95 N. P. B L A C K Superintendent Banking Departm ent O ther Convention Com m ittees A T THE LEFT is Frank R. Warden, vice president of the Central N ational Bank and Trust Company, who is chairman of the Convention Entertainm ent Committee, and at the right, Edward P. Kautzky, vice president of the V alley Bank & Trust Com pany, who heads the Autom obile Commit tee. Serving w ith M r. W arden on the E nter tainm ent Committee is Fred C. Atkins, vice president and cashier of the Bankers Trust Com pany; Ray G-. Miller, vice president of the Capital City State B a n k ; Harold P. Klein, vice president of the Iow a-D es M oines N ational B a n k ; and Winfield W . Scott, vice president of the V a lley Bank & Trust Company. A ssisting M r. K a u tz k y on the A utom o bile Committee is Lehman Plummer, vice president Central N ational Bank and Trust Com pany; and Albert W . Crosson, vice president Des M oines B ank & Trust Com pany. EDW ARD KAU TZKY Chairman, A utom obile Com m ittee V ic e Pres. V a lle y Bank & Trust Co. F R A N K R. W A R D E N Chairman, Entertainm ent C om m ittee V ic e Pres., Central N ational Bank & T rust Co. New Bank at Tipton Stockholders of the newly organized First National Bank of Tipton, Iowa, met last month to elect officers and directors. The bank is scheduled to open about November 1st in the for mer Farmers and Merchants Bank building. Capita] is $75,000, surplus is $25,000 and undivided profits $25,000. Elected president was Roger M. Bol ton, Tipton; G. E. Grünewald, Iowa City, was named vice president, and James L. Huygens is cashier. Mr. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Huygens has been assistant cashier of the First State Bank at Britt. Darrell L. Gavin, assistant cashier of the Se curity State Bank at Albert Lea, Min nesota, will be assistant cashier. Miss Marianne Paulsen has been employed as bookkeeper. Directors elected include Mr. Bolton, Mr. Grünewald, James C. Brady, Tipton; Arnold L. Meier, Clarence; Anders V. Mather. West Liberty; Walter J. Kiehl, Mechanicsville, and James C. France and John H. Pfautz, both of Tipton. The Tipton State Bank, with de posits of more than $4,000,000, also is located in Britt, a town of 3,000 popu lation in Cedar County. New Director Martin E. Sar has been elected a director of the First Security Bank and Trust Company of Charles City, Iowa, President E. L. Walleser has announced. Mr. Sar is a prominent farmer and hybrid seed corn producer in that community. Northwest ern Banker, O c t o b e r , 1948 96 Advertisement lo a a "Ito li o í H o n o r " It is an honor to be listed among the H O N O R RO LL BANKS. Jt indicates that the bank has SURPLUS and UNDIVIDED PROFITS equal to or greater than its capital T h e b a n k s lis te d on th is p a g e a re s o m e o f t h e o u ts ta n d in g " H o n o r R o l l ” R a n k s in l o u a . R y c a r e fu l m a n a gem en t and so u n d h a n k in g t h e y h a v e 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 b a n k s w ill b e e s p e c ia lly g la d to h a n d le a n y c o lle c tio n s , s p e c ia l c r e d it r e p o r t s o r o t h e r b u s in e ss in th e ir c o m m u n itie s w h ich y o u m a y e n tr u s t to th e m . C o r r e s p o n d e n c e is in v ite d . TOWN BANK Albert City.............. Albert City Savings Bank Andrew................... Andrew Savings Bank Audubon...................First State Bank .................. Bellevue...................First National Bank.............. Bennett......... ......... Bennett State Bank................ Bloomfield................Davis County Savings Bank Blue Grass............... Blue Grass Savings Bank_____ Britt...................... ,First State Bank................... Burlington...............Burlington Bank and Trust Co... Burlington ... ...... National Bank of Burlington... Cantril................ State Savings Bank....... ...... Carpenter...... ....... .Carpenter Savings Bank Carroll .....Commercial Savings Bank........ Cedar Falls....... First National Bank.............. Cedar Rapids First Trust & Savings Bank Cedar Rapids Guaranty Bank & Trust Co. Cedar Rapids............ Merchants National Bank Cedar Rapids..... Peoples Bank and Trust Co...... Cedar Rapids... ....... United State Bank................ Cherokee..................Cherokee State Bank....... Clarksville................Iowa State Bank Clermont...................Farmers Savings Bank... .... Clinton......... ........... Clinton National Bank Columbus Junction Columbus Junction State Bank. Corning...................Okey-Vernon National Bank..... Council Bluffs.......... First National Bank............... Dallas Center Brenton State Bank............... Davenport................First Trust & Savings Bank Davenport Northwest Bank and Trust Co... Des Moines.............. Bankers Trust Company....... . Des Moines............. Des Moines Bank & Trust Co... Des Moines........ Iowa State Bank ................ Dike....................... Iowa Savings Bank.......... Donahue Donahue Savings Bank Donnellson ...Citizens State Bank............ Dubuque ...............Dubuque Bank & Trust Co....... Dubuque.................. First National Bank............... Exira...................... Exchange State Bank.............. Fairfield .. First National Bank in Fairfield Farley... .Farley State Bank ................ Farnhamville............ Security Savings Bank............ Gladbrook................ Gladbrook State Bank ..... Grand Mound ..........Union Savings Bank Guthrie Center Guthrie County State Bank....... Guttenberg..... ........Security State Bank Hampton................. First National Bank Hawarden................ First National Bank ............ Hills................. ..... Hills Bank & Trust Co............ Hospers.................... Hospers Savings Bank Hubbard............ Security State Bank Humeston...................Citizens State Bank Independence............. Farmers State Savings Bank Iowa City................ .Iowa State Bank & Trust Co.... Iowa Falls............. ..Iowa Falls State Bank Kimballton...............Landmands National Bank....... Kiron.................... ...Kiron State Bank.................. Knoxville........ .... ....Community Natl. Bank & Tr. Co. Lake Park.... ...........Security State Bank................ La Porte City...........LaPorte City State Bank Northwestern Banker, Octo ber, 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis OFFICER „C. E. Kindwall.......... ..Eber V. Flint.......... ..A. A. Kruse............. ..Herman J. Kueter.... ..J. G. Engel............... Ed W. Shaw............. ..D. O. Farley.......... „V. D. Koons.............. .Wesley H. Swiler..... ..Thomas L. Dyer____ .. H. D. Koenecke......... ..E. R. Nicholson..... ..Robert M. Moehn.... .. W. E. Brown...... ..Frank J. Dvorak____ ..Van Vechten Shaffer. ..John T. Hamilton II.. Frank C. Welch........ ..Charles Kriz............ ,.W. F. Brunk.............. ..Clint L. Varnum....... ,.J. A. Erickson.......... ..L. J. Derflinger.:.... . ,.H. Lee Huston........ . ,B. P. St. John............ .Roy Maxfield.... ....... ..Thomas N. Scott....... .. F. A. Johnson ... ..... .L. WT. Fromme........... .J. W. Hubbell............ A. W. Crossan........... ..Wm A. Broquist....... Lee Chandler............ Walter E. Paustian... M. G. Addicks........... ..George F. Jansen..... ,J. V. Keppler..... ...... C. K. Cullings........... ..Glenn A. Sherman... „F. S. Ferring............ „0 . W. Madson........ ..Laverna M. Boll....... _.L. J. Stotesbery......... ,.M. C. Barnett______ ..H, B. Tangeman....... ..J. M. Boots .............. .. H. Visser..... ......... A. F. Droll________ „C. F. Sheel................ V. H. Reid................ .11. E. Long................ . E. F. Sorg................ . Ben S. Summerwill ... ,.S. H. Whitehorn....... „V. H. Trukken.... ...... „C. E. Dahl... ......... .. E. L. Job............... ..R. E. McDowell......... ,.L. C. McGill CAPITAL $ 30,000 50.000 50.000 50.000 30.000 40.000 25.000 50.000 200,000 200.000 25.000 20.000 50.000 100.000 1 00 ,00 0 200,000 500.000 300.000 50.000 120.000 35.000 35.000 200.000 60.000 80.000 100.000 100,000 200,000 100,000 1, 000,000 150.000 100.000 25.000 30.000 50.000 200,000 300.000 25.000 100.000 25.000 25.000 50.000 25.000 50.000 50.000 100.000 50.000 25.000 25.000 25.000 25.000 100,000 150,000 50.000 50.000 25.000 50.000 25.000 50.000 SURPLUS PROFITS $ 39,000 52,691 180,000 100,000 52.000 134.000 80.000 175.000 341.000 490.000 76.000 25.000 150.000 120.677 175.000 303.000 4,155,076 485.000 193.000 179.000 49,484 40.000 350.000 119.000 135.000 184.000 181.000 301.000 103,024 3,253,000 259.000 208.000 53.000 67.000 82.000 227,351 612,541 87,500 185.000 67.000 83.000 110.000 70.000 145.000 72.000 142.000 80.000 72.000 107.000 38.000 65.000 202.000 182,000 107.000 83.000 34.000 240.000 68,682 70.000 97 Advertisement loivu “ N oll o f H o n o r “ H unks It is an honor to be listed among the H O N O R RO LL BANKS. It indicates that the bank has SURPLUS and UNDIVIDED PROFITS equal to or greater than its capital TOWN BANK Larchwood........................ Security Savings Bank Leighton Farmers Savings Bank Lisbon...... ....................Lisbon Bank & Trust Co. Lone Tree .......................Lone Tree Savings Bank Lowden................... ..... American Trust & Savings Bank Luxemburg.......................Luxemburg Savings Bank...................... Madrid................................ City State Bank Mapleton........................... First State Bank . Mapleton........................... Mapleton Trust & Savings Bank........ Marathon.......................... Citizens State Bank Marengo... Iowa County Savings Bank Marion................................. First National Bank Marshalltown.................. Fidelity Savings Bank Massena...................... Farmers Savings Bank Maxwell............................ Maxwell State Bank Maynard.............. Maynard Savings Bank McClelland Savings Bank McClelland............ Miles..... ............. Miles Savings Bank MitcheliviHe.......... ........ Farmers Savings Bank .................. Mt. Ayr............................ Security State Bank Muscatine.......................... Muscatine Bank & Trust Co................. Nashua ............. ............First Nashua State Bank Nevada...............................Nevada National Bank New' London................... Farmers State Bank Tainter Savings Bank.......................... New Sharon................ Newton_____ iasper County Savings Bank Nora Springs................. First State Bank Norway............................. Benton County Savings Bank Oelwein............................. First National Bank Onslow........................... ...Onslow Savings Bank..................... Ottumwa............................Union Bank & 1rust ( o. pel]a...................................Marion County State Bank Pierson.............................. Farmers Savings Bank Portsmouth.......................State Bank of Portsmouth Postville............................ Postville State Bank ftake................................... ..State Savings Bank....... Randall................................Randall State Bank Randolph...........................Randolph State Bank____ ____ Riceville............................ First National Bank Rock Valley......... Valley State Bank Sac City............................ Sac City State Bank____ Sheffield.... .......Sheffield Savings Bank.............. Shelby........... Farmers Savings Bank.......................... Sheldon................... Security State Bank............................... Sigourney.......... First Trust & Union Savings Bank Sigourney................. Keokuk County State Bank Sioux City........................First National Bank. Sioux City..... Security National Bank Sioux City.. .... Woodbury County Savings Bank Soldier. .. ....... Soldier Valley Savings Bank Somers............................... Somers Savings Bank Spencer..............................Clay County National Bank Spencer................. ..........Farmers Trust & Savings Bank Spragueville.......... .........Farmers Savings Bank Springville................... Exchange State Bank.............. Stacyville..................... Stacyville Savings Bank Stanwood-...... ...... ........ Union Trust & Savings Bank............. Stratford________ Farmers Savings Bank Stuart.................................First State Bank Swisher__ _______ _______Swisher Trust and Savings Bank Tabor........................... .... First State Bank____ Teeds Grove......... feeds Grove Savings Bank Terril.................. State Bank of Terril................ Tipton........... ........ .......Tipton State Bank................................... Union............................. . ..Union-Whitten State Savings Bank Ute......................................Ute State Bank Victor............. .................. Victor State Bank Wapello.............................State Bank of Wapello Washington................. Washington State Bank https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis OFFICER R. W. Wyant.............. H. A. DeBruin.......... H. W. Sizer.................. Ralph R. Hudachek.... W. H. W itte.................. J. J. Ungs.................... L. M. Lanning.............. J. R. Welch. ............. N. W . Pike.............. ...... N. J. Olney.................... W . R. Hatter............... II. F. Lockwood.......... E. J. Paul....................... A. J. Cruise................. D. E. Petei's.................. L. H. Buenneke........... L, W. Barnes................ J. R. Witzigman......... R. P. Blake.................... G. A. Shifflet............... F. W. Allen................. A. L. Kout.................... L. R. Bassett............... V. Z. Breneman.... ...... . 0. H. Pathoven______ .A. E. Hindorff............. E. C. Moody................. P. G. Folvag.............. . ,M. C. Hanson............... Geo H. Paulsen........... Clarence P. Glenn....... K. H. Bean................... .Walter Karlson........... E. A. Schell........ ..... W . A. Kneeland........ Johnnie Rake........ ...... J. H, B r e k k e n ......... J. S. Zdychnec............. A. G. Dunton.......... . J. P. Schutt............. .... G. L. Hill. H. O. Webb.................... L. O. Stoker................. R. A. Schneider........... C. E. Baylor................. B. D. Helscher............. A. G. Sam .................. C. R. Gossett............ A. R. Miller................. O. S. Nordaker........... F. A. Whitney............ A. E. Anderson______ K. R. Tuttle.............. W. L. White................. H. O. Sanderson......... A. J. Heimerman___ Carl H. Haesemeyer. Robert D. Dixon........ W. L. Hawley............. Chas J. Koss.............. V. H. Patrick............... John Thomsen, Jr.... E. G. Untiedt.............. Dale H. Smith............ R. W . Hadley.............. E. W. Nun,.'...... ...... Henry Von Aswege.. L. H. Vardaman........ Frank L. Kos..... ........ CAPITAL 25.000 25.000 50.000 25.000 35.000 15.000 25.000 50.000 75.000 25.000 50.000 50.000 1 0 0 ,0 0 0 25.000 30.000 25.000 2 0 ,0 0 0 30.000 25.000 60.000 125.000 35.000 54.000 25.000 50.000 2 0 0 .0 0 0 25.000 15.000 50.000 2 0 .0 0 0 300.000 25.000 25.000 25.000 50.000 2 0 .0 0 0 25.000 25.000 25.000 35.000 50.000 25.000 25.000 50.000 62.000 50.000 400.000 500.000 2 0 0 .0 0 0 2 0 .0 0 0 .25,000 1 0 0 ,0 0 0 1 0 0 ,0 0 0 2 0 ,0 0 0 35.000 25.000 50.000 2 0 .0 0 0 50.000 30.000 30.000 25.000 25.000 1 0 0 ,0 0 0 45.000 25.000 30.000 25.000 50.000 Northwestern B an ker, SURPLUS PROFITS 45.000 45.000 69.000 37.000 56.000 24.000 76.000 55,302 81,836 28.000 155.000 270.000 435.000 27.500 32.000 55.000 28.000 65.000 33.000 77,239 576,647 99.000 150.000 45.000 1 1 0 .0 0 0 460.000 85.000 43.000 237.000 50,729 830,249 75.000 46.000 27.500 92,300 32.000 60.000 29,280 63.000 138.000 153.000 65.000 98.000 135.000 6 6 .0 0 0 106.000 621,000 582.000 353.000 70.000 45.000 217,480 2 1 2 .0 0 0 50.000 39.000 35.000 1 0 0 ,0 0 0 59.000 73.000 63.000 62.000 46.000 43.000 225.000 69.000 35,600 34.000 62.500 190.000 O cto ber, 1948 98 Advertisement i o tra “ ito li o f f lo u o r'* H anks 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 The hanks listed on this page are some of the outstanding ‘'Honor Roll” Banks in Iowa. By careful management and sound hanking they have achieved this enviable position. These banks will be especially glad to handle any collections, special credit reports or other business in their communities ivhich you may entrust to them. Correspondence is invited. O F F IC E R TO W N C A P IT A L B AN K ... A. J. Burk......................... C. V. N elson............... ......... ........... -A. J. Schm uecker........... ............ .(’ . H. M e g o r d e n ....... ........ H. C. N olting .................. ............. G. H. Ballard____________ ............. John H utchison__________ -L. C. Rum m ells................. . L. R oy T rou t................. . ............. F. P. G albraith__________ C. W. G rim es...................... ............. 0 . K. G reg g ........................ ............. 0 . E. Jones................. ........ ........... T. T. W arren.............. ........ _G. R. Art baud................... .......... H. L. Pauli..... ................ ............. .S. R. D eCou........................ ............. Ralph L. O r t h .... .............. ............. Waterloo............................ National Bank of Waterloo Farmers & Merchants Savings Bank Waterville..... ....... Watkins............................. Watkins Savings Bank Waukon...... ......... .........Waukon State Bank Waverly................ ........ First National Bank .......................... Wellsburg..........................Peoples Savings Bank Wesley................................Exchange State Bank West Branch....................First State Bank.................................... West Burlington............ West Burlington Savings Bank West Des Moines..........West Des Moines State Bank---------West Union...................... First National Bank......... ................ Wever.................................Farmers Savings Bank ....... Williamsburg...................Farmers Trust & Savings Bank-----Winfield...... ......... fa rm ers National Bank Winfield................ ....... .....Peoples State Bank .......... Winterset..........................Union State Bank. Woodbine..........................First National Bank ----------Wyoming....... ................ Citizens State Bank-------------- 250,000 25.000 20,000 100,000 75.000 25,000 .30,000 25,000 50,000 25,000 50,000 35,000 50,000 50,000 25,000 50,000 50,000 25,000 P R O F IT S SU RPLUS 1,044,886 40,000 380,000 175,000 180,892 69.000 41,002 136,000 69,000 45,000 110,000 52,000 157,000 75,000 36,000 133,000 220,000 115,000 YOU A R E IN V IT E D TO VISIT OUR NEW DRIVE-IN TELLERS WINDOW JJul Jbt&L u l QswJbiaJL Qo w jc l ! See our new drive-in window and customer parking area! This modern form of banking allows customers to drive from their homes or offices, do their banking and return without opening the car door. W e will also be happy to have you follow the new entrance stairway from the parking area and visit our officers on the main banking floor. OFFICERS R O L F E O. W A G N E R , P r e s i d e n t R A Y M O N D G. M I L L E R , E x e c . V i c e P r e s i d e n t J. N. C O F F E Y , V ice P r e s , a n d T r u s t O f f i c e r GEO. R A D C L IF F E , C a s h ie r C. A L L E N E V A N S , A s s t . V i c e P r e s i d e n t F R E D C. S U T T O N , A s s i s t a n t C a s h i e r F R A N K J. T A M S E , A s s i s t a n t C a s h i e r W A R R E N F E R G U S O N . A s s is ta n t C a s h ie r C A P IT A L C IT Y S T A T E B A N K EAST LOCUST AT FIFTH M em b er F ed era l R eserv e S y stem N o r t h w e s t e r n Ba nke r, O c t o b e r , 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1S7S M em b er DES MOINES, IO W A F ed eral D ep o sit In su ra n ce C o r p o r a tio n Iowa News Robert White. T h ey W ill A tte n d the hum R nnhevs Convention Th ey A re Coming to Des M oines for the 62nd Annual M eeting O and Roland H. Live Stock National Bank: David H. Reimers, president; A. S. Bagnall, vice president; Paul T. Betz, vice president, and J. Merrill Anderson, represent ative. Northern Trust Company: Charles M. Nelson, vice president; Robert E. Hunt, second vice president; John V. Haas, second vice president, and Lawrence A. Kempf, second vice pres ident. 128 Nam es A p p e a r On a List of Those W ho Say FFICERS of many of the larger banks in Iowa and other states will be on hand at the 62nd Annual Convention of the Iowa Bank ers Association, October 25th to 27th, to renew acquaintances with their many Iowa banker friends. The following bankers have re ported to the N o r t h w e st e r n B an ker that they plan to be in Des Moines for the convention: F. Balsley 99 Arerne L. Bartling, assistant vice presi dent; Leroy F. Winterhalter, assistant cashier, and Ernest J. Hultgren. Harris Trust and Savings Bank: Vin cent Yager, vice president; Charles A. Carey, vice president; Richard H. Wayne, assistant vice president; Clinton Bruce Town send, president, and Edgar H. Jorgen sen, cashier. City National Bank: Cedar Falls First National Bank: V. W. Johnson, president; Walter E. Brown, cashier, and Hoyt C. Messerer, assistant cash ier. Cedar Rapids First Trust & Savings Bank: Frank J. Dvorak, cashier, and L. W. Stritesky, assistant cashier. Merchants National Bank: S. E. Coquillette, chairman of the board: John T. Hamilton, II, president; Mar vin R. Selden, vice president, and L. AV. Broulik, vice president. Peoples Bank and Trust Company: Frank C. AA7elch, president; Paul H. Huston and William Rinderknecht, Jr., vice presidents, and Ervin F. Stepanek, vice president and cashier. « b t h e a s u r n N O R ^ H t A \o w * Chicago American National Bank and Trust Company: O. Paul Decker, vice presi dent; Charles C. Ivuning, vice presi dent; William B. Whitman, assistant vice president, and AA^alter Armstrong, assistant cashier. Central National Bank: Earl H. Sollenbarger, vice president. City National Bank and Trust Com pany: W. H. Miller, vice president; A. H. Lindgren, assistant vice presi dent, and John M. Davis, representa tive. . M o r e nr / f a c i h t i e:s , on a r e l y " 1! an of the th e c a m p l e o u J7tlJ Ban :k o f 1 x' N i k liso w 11 ¿ v a n t a g e to u se thhe a d v a n iu y f i n d it t ° J O Waterlo A r t j -s la n k r r - a , nt service of P rom p it, e ffi Continental Illinois National Bank and Trust Company: Norman B. Shaffer, vice president; Merle G. Glanville. second vice president; Arthur J. Frey, second vice president; Lee C. Parkin, representative and John K. Jensen, representative. Drovers National Bank: George A. Malcolm, president; Dale E. Chamber lin, senior vice president; F. M. Co vert, assistant vice president, and Fred D. Cummings, assistant cashier. First National Bank: John J. Anton and John H. Grier, vice presidents; https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis TH E C O K P O K M 'O N i RE IO N A L \N K DF RLOO N o r t h w e s t e r n Ban ke r, O c t o b e r , 1948 RIO Iowa News Milwaukee Iowa City Iowa State Bank & Trust Company: Ben S. Summerwill, president; W. W. Summerwill, vice president; W. F. Schmidt, vice president, and M. B. Guthrie, vice president and cashier. Kansas City City National Bank & Trust Com pany: Dale R. Ainsworth, vice presi dent. Commerce Trust Company: Richard L. Dunlap, vice president, and Am brose S. Rucker, Jr., assistant cashier. First National Bank: Harry B. Col lins, vice president. Inter-State National Bank: Charles H. Griesa, vice president. Donald A. Harper, assistant vice president. Minneapolis First National Bank: John ,1. Ma loney, assistant vice president, and Kenneth T. Martin, assistant vice pres ident. Marquette National Bank: Lynn Ful ler, executive vice president; Charles C. Rieger, vice president, and Otto H. Preus, assistant vice president. Midland National Bank: W. E. Brockman, vice president. Northwestern National Bank: F. W. Conrad, vice president, and A. F. Junge, assistant cashier. New York Chase National Bank: Francis G. Ross, vice president, and Hugh R. Kirkpatrick. Central Hanover Bank and Trust Company: F. M. Hampton, assistant vice president. Chemical Bank & Trust Company: John F. Hallett, assistant vice presi dent. Guaranty Trust Company; Dale E. Sharp, vice president, and Guido F. Verbeck. Jr., assistant treasurer. Manufacturers Trust Company: Ray mond Lockwood, vice president, and Joseph Snyder, assistant secretary. National City Bank: Richard E. Thomas, assistant cashier. New York Trust Company: Donald E. Coyle, assistant vice president. Public National Bank: Earl R. Gafford, vice president. Omaha First National Bank: J. F. McDer ■- *| | T h e y ’ ll be in CHICAGO \ by D a y lig h t T o m o rro w I hese m ay be y ou r c u s tomer’ s pigs. Within a few hours after they are sold, a Drovers “ Yellow B o y ” ad vice w ill be sp eed in g the proceeds to your bank. For th e “ Y e llo w B o y ” is th e symbol of Drovers fast, ef ficient service. It is widely r e c o g n iz e d as su c h by bankers whose customers ship livestock to Chicago mott, vice president; John Lauritzen, assistant vice president; C. N. Bloom, assistant cashier; E. T. Tanner, repre sentative, and Lee Snell, representa tive. Live Stock National Bank: Henry C. Karpf, president; Wade R. Martin, vice president; R. H. Kroeger, vice presi dent; Paul Hansen, vice president; W. Dean Vogel, vice president; H. H. Echtermeyer, vice president, and El mer C. Olson, assistant cashier. Omaha National Bank: John A. Changstrom, vice president; Clarence Jones? representative, and Robert Priborsky, representative. Stock Yards National Bank: W. A. Sawtell, president; John McCumber, vice president, and Phil Krogh, field representative. United States National Bank: Austin L. Vickery, assistant vice president, and Lenis Sholin, assistant cashier. Ottumwa Union Bank and Trust Company: w •* t ' o r d i a l l v i n v i t o y o u r C H IC A G O !»■■<•>! n o ss . . . Max von Schrader, president; C. P. Glenn, vice president; J. C. Blackford, vice president, and Frank Pollard, vice president and cashier. . St. Joseph First National Bank: Graham Porter, assistant cashier. First St. Joseph Stock Yards Bank: Thomas J. McCullough, vice president. DRDYERS NATIONAL BANK DROVERS TRUST & SAVINGS BANK UNI ON M e m b er s , STOCK F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t i o n YARDS. CHI CAGO St. Louis First National Bank: Frank Fuchs, vice president. Mercantile-Commerce Bank and Trust Company: E. E. Marshall, assist ant vice president; and Thomas L. Ray. assistant manager of bond department., Mississippi Valley Trust Company: Carl M. Hook, assistant vice president. N orthw estern B an ker, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O cto ber, 1948 Iowa News Sioux City First National Bank: A. G. Sam, president, and .T. T. Grant, vice presi dent. Live Stock National Bank: C. L. Fredricksen, president; M. A. Wilson, vice president; and S. W. Evans, repre sentative. Security National Bank: C. R. Gos sett, president; B. M. Wheelock, vice president, and Charles Walcott, assist ant cashier. Toy National Bank: Ralph R. Brubacher, president; and E. E. Erickson, vice president. Waterloo ings Bank at Mason City, Iowa, it was announced last month by Presi dent Harold R. Bechtel. Mr. Kirsch formerly was manager in Mason City for Household Finance Corporation. W . H. Daubendiek W. H. Daubendiek, 79, president of the Iowa State Bank at West •Bend, Iowa ,died at Lubeck, Germany, last month following a stroke. Mr. Dau bendiek was in Germany arranging for transportation of displaced per sons to the United States, having of fered previously to find homes for them. 101 M. V. Henderson M. V. Henderson, 74, Webster City, former Iowa bank commissioner, died in Webster City last month after an illness of several months. He was employed at the Hamilton County courthouse at the time of his death. He is survived by his wife, two sons and four daughters. Moving to Fairfield H. A. Stowell, who resigned recently as cashier of the Security State Bank of Keota, Iowa, has joined the First National Bank in Fairfield as assistant cashier. National Bank of Waterloo: Charles S. McKinstry, president; R. L. Penne, vice pi’esident; A. J. Burk, cashier, and R. L. Kilgore, assistant cashier. Waterloo Savings Bank: R. W. Waite, vice president; J. J. Miller, vice president and cashier; V. Spalding Miller, assistant vice president, and F. R. LaBarre, assistant vice president. A d d s S a fe ty Boxes Two hundred new safe deposit boxes have been installed in the First State Bank of Diagonal, Iowa. They will re place boxes presently in use. QUICK . . . EFFICIENT Collection and A dm it Sheffield R obbery Two youths, Bernard D. Morgan 26, Hampton, and Robert F. Safford, 23, Mason City, waived preliminary hear ing at Hampton last month on charges of robbing the Sheffield Savings Bank September 25th, and were bound over to the grand jury. Both men admitted their part in the $10,745 theft when captured by federal agents and county officers the day following the robbery. Sentence, if convicted on the charge, is an automatic life term in Iowa for holding up a state bank. Nam ed A s C ash ier G. J. Mosby has been elected cashier of the Elgin State Bank. Elgin, Iowa, succeeding the late B. J. Baumgartner. Mr. Mosby was postmaster at Elgin from 1934 until his election last month at the bank. In 1923 he began as as sistant cashier of the former Elgin Savings Bank, remaining with the bank until 1933 when he joined the postoffice staff. 85th A n n iv e rsa ry The First National Bank of Center ville, Iowa, founded September 23, 1863, by William Bradley, chalked up its 85th year of business last month. Transit Service To assu re y ou the fastest p ossib le serv ice, w e k e e p w a tch fu l e y e s on all train a n d p la n e s ch e d u le s . . . pick u p a n d d eliv er m ail at short intervals at the p ostoffice on ly a b lo ck a w a y . W e k n ow that time is the essen ce. H en ce all co lle ctio n a n d transit items a re routed d irectly w h erev er p ractical. C E C U R IT o f S io u x C îtÿ M em ber Federal D ep osit Insurance C orporation W ith Mason C ity Bank P. J. Kirsch has been appointed manager of the instalment loan de partment of the First Trust and Sav https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Banker, O c t o b e r , 1948 102 Iowa News Resigns at W a v e rly George A. Stephenson, cashier of the First National Bank at Waverly, Iowa, resigned his position last month after 22 years with tne institution. No announcement as to his succes sor at the First National Bank has been made. Fifteen Y e a rs O ld Marking the 15th year since federal ly chartered savings institutions were first authorized by Congress, the Home Loan Eank Board has reported that the 1,478 Federal savings and loan associations of the country now occupy a strongly entrenched position in the thrift and home financing During the fiscal year ended last 30, Federal associations increased combined resources by 16 per the statement said. field. June their cent, A ttend A ud itors M eeting Harold Winder, cashier, and J. E. Quiner, assistant cashier, of the Cen tral National Bank and Trust Com pany, Des Moines, attended the annual convention of the National Association of Bank Auditors and Comptrollers in Atlanta, Georgia, last month. Waterloo for the past three and a half years, has accepted a position with the Union Trust and Savings Bank of Stanwood, Iowa, as manager of the bank at Olin. 50 Y e a rs in Banking W. H. Bischel, president of the First Trust and Savings Bank at Aurelia, Iowa, will celebrate his Gold en Anniversary as a banker November 1st. On that date in 1898, Mr. Bischel began working in the Farmers Loan M anages O lin Office Willard Hoyman, who has been with the Production Credit Association at Looks Like Ever Plants PIONEER" w. H. B IS C H E L A F ifty -Y e a r Iow a Banker More and More Farmers Do Plant Dependable PIONEER Hybrid Seed Corn As you drive down the roads, it looks like every body plants Pioneer. You pass many fields of good corn marked with a Pioneer sign. Many thousand farmers plant Pioneer. When you plant Pioneer seed corn you can depend on it to work well in your corn planter, to germinate strongly and to make the biggest yields your soil and weather can give. For dependable corn crops plant Pioneer. PIONEER HI-BRED CORN CO. DES MOINES 9, IOWA GARST & THOMAS HYBRID CORN CO. C O O N RAPIDS, IOW A N o r t h w e s t e r n Ban ke r, O c t o b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1948 and Trust Company bank in Aurelia, of which James F. Toy of Sioux City was president. Mr. Bischel recalls that he started on his first job for the salary of $10 a month. His work consisted of doing janitor’s chores and other similar be ginner’s tasks. A hard coal stove was used for heating the bank and lighting was from kerosene lamps. As for the actual bank work itself, Mr. Bischel relates that there were no adding machines, posting machines, typewriters or other mechanical equip ment, hence all books were posted with pen and ink. Working hours began at seven in the morning, and although the window shades were drawn at 4 p.m., the doors were al ways left unlocked and the bank per sonnel worked in the bank until 6 p.m., often returning to do book work on winter evenings. From 1898 to 1903 there were so many bank burglaries that it was necessary to sleep in the bank. This made a 24-hour banker of Mr. Bischel but he figures that was all a part of the job and says there was no wages and hours law then. Up to 1913, he says one of the most difficult banking problems came in the fall of the year when there always was a shortage of currency because Iowa News farmers practically always carried cash to pay all their bills through the threshing seasons and until grain was marketed. This was overcome by the Federal Reserve Act of 1913. In 1935, Mr. Bischel purchased Mr. Toy's interests in the Aurelia Bank and it was then organized as the First Trust and Savings Bank with capital of $25,000 and surplus and undivided profits of $5,000, for a total of $30,000. Today this total is $126,000, the capital being $25,000 and undivided profits and surplus of $101,000. Mr. Bischel also organized the First Trust and Savings Bank at Galva in September, 1935, of which he is also president. In January, 1927, he and Mr. Toy organized the First Trust and Savings Bank at Alta. Associated with Mr. Bischel in the First Trust and Savings Bank at Aurelia are Arthur E. Hickey, vice president; H. H. Deyloff, cashier, and C. M. Johnson, assistant cashier. De posits of the bank are just under $ 2 .0 0 0 .0 0 0 . B A N K ER S Y O U K N O W (Continued from page 25) In 1944-45, Mr. Brubacher served as president of the Iowa Bankers Assoeiation. He is state chairman of the American Bankers Association’s treas ury savings bond committee, and a member of the Association of Reserve City Bankers. Mr. Brubacher is a member of the Sioux City Consistory, is a Shriller, and attends the First Congregational Church. He belongs to the Sioux City Country Club, is a director and treas urer of the Terminal Grain Corpora tion of Sioux City, and for the past 10 years has been a director of the Community Fund Board of Sioux City and has served as treasurer for the past five years. He served as general chairman of the Community Fund in 1928. Mr. Brubacher is a Republican. His favorite forms of recreation and relaxation are travel and football. 103 Wlitil Htm li i us/tun ers Saif A b o n l ti ô-ËNiff (Continued from page 19) “Don’t Know” Iowa Minnesota Nebraska North Dakota (in the city) North Dakota (in thecountry) South Dakota 19.5% 30 % 7 % 20 % 9 % 12 % The North Dakota breakdown is for the reason that in all the small towns surveyed in that state, none of the questionnaires revealed a “Yes” reply. Another interesting factor brought out in the survey is the overwhelming vote of approval given to present banking hours. This is shown in Chart No. 3. As is usual in most surveys, the per son voting “No” is much more apt to express himself because he probably has some conviction fixed in his mind regarding the question. Here are the comments received on the returned 1 7 6 e t& CUMMINS RESEARCH _ — — ENGINEERS DEVELOPED MODEL 300 m m sÊ S K Ê m 1 with this dominant thought in mind . . . ”To best serve our many banker friends by building a check perforator with more outstanding features than any other perfor ator yet made.” Here are some of the principal advantages: • • • • • • • • Compact, sturdy, portable, increases check filing cabinet capacity; makes it easier to file after perforation; aids in reducing number of misfiled checks; is easier to operate; gives maximum legibility of information on checks; has greater simplicity and adaptability; costs Vl the price of big bulky machines. Cummins Engineers accomplished all this with the aid of the .045 Punch. W e will be mighty pleased to show you how. O N T H E C O V ER (Continued from page 13) 1946, he became chairman and chief executive officer of the consolidated institution, the First Paterson Nation al Bank and Trust Company. Upon his discharge from the army in 1919, Mr. Powers accepted the posi tion as cashier of the Quamba State Bank, Quamba, Minnesota, a town seven miles from Mora. In 1922 he was elected president of the bank. In 1932 the bank was moved to Mora and the name was changed to the Kanabec State Bank. Mr. Powers has been its president ever since. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis & e t td e VISIT OUR EXHIBIT HOTEL FORT DES M OINES. OCTOBER 24-27 You will find out why banks have bought more than 3,000 Cummins 300 Perforators. SINCE 18 8 7 O R IG IN A T O R S Also ask to see the world’s best endorser — CUMMINS 250. O F PER FO R A TO R S & CUMMINS BUSINESS MACHINES CORPORATION Formerly CUMMINS PERFORATOR 47 62 Ravenswood Avenue N orthw estern Chicago 40, Illinois Ba nke r, O c t o b e r , 1948 104 Iowa News questionnaires from bank customers: Farmer: “Our bank closes Saturday afternoon. It is very inconvenient for the farmer and business men also.” Feed man: “The only reason we would not like to see the banks operate on a 5-day week is due to the fact we have most of our cars of feed coming in here on order bill of lading and should these cars arrive on the day the bank was closed, it might be pos sible the cars would be held up an extra day due to the fact we would not be able to get at the bill of lading. As far as the other banking business, ft would not make any difference to us.” Farmer: trouble with the bank. If I don’t hap pen to be going when I have deposits on hand, I mail them in. If the hank should close a half day or all day a week, it would not bother me. If I need a little cash, our Farmers Union store always takes care of that—or my check.” Dry cleaning and pressing plant owner: Why shorten the hours now? Why not wait until the depression hits, then you can give help to more people.” Insurance adjusters: “We do not think it is necessary for the banks to remain open on weekday nights, as ours does.” “I have never had any WE ARE FROM IOWA . . . and Proud of It! The h ea d q u a rters of John M orrell & Co., the n a tion 's old est m eat p a ck er, are right here in Iow a. To our plant at O ttum w a, Iow a, a n d n e ig h b o r in g p lan ts in Sioux Falls, S. D., a n d T op ek a, K ansas, com e som e of the finest livestock A m erica p rod u ces. A n d from these p lan ts to all section s of the cou n try a n d m a n y foreig n la n d s g o the fine h ig h -q u a lity M orrell Pride m eat p rod u cts for w h ich the nam e M orrell h as been distin g u ish ed for o v e r 120 years. Jo h n M o r r e l l & C o . E s ta b lis h e d in E n g la n d in 1 8 2 7 • • In A m e r ic a s in c e 1 8 6 5 P a c k in g P la n ts : O ttum w a, Iow a N o rth w estern B an ker, https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis O ctober, • S io u x F a lls, S . D . • T o p e k a , K ansas 1948 Not Enough Time Retail monument dealer: “1 think the 5-day week at eight hours per day is not sufficient time to transact busi ness or long enough time for a work ing man to earn a living, and a work ing man feels he should work no longer than a banker and that would set a precedent. No one (there are some exceptions) can accomplish enough in 5 short days so that the paying public can afford to pay a full week’s wages for the articles manu factured or work accomplished in that time. It is an inflationary act result ing in less accomplished for the same pay.” Drug stoie owner: “Banks, like re tail stores, are in business to serve the public. Many stores have gradually shortened their working hours, and now many of the same stores are won dering why they are not showing heavy sales gains. How can they ex pect to increase sales year after year and at the same time decrease service. The business will go to the stores that offer the best service to the customers. We haven’t shortened our hours since the war, but we have doubled our sales and are showing a 26.8 per cent gain over the corresponding period a year ago. The banks by giving less and less service will gradually see the' government taking over the functions which historically they should be doing. “Personally, I do not like to see the government becoming a greater and greater factor in the banking field. The government will be forced to as sume the responsibilities, if the banks fail to meet the challenge. We cash from $1,000 to $5,000 in checks daily including Sunday. We hope our banks will not close two days a week, thereby forcing us to carry an additional cash reserve for cashing checks.” Real estate agent: “As long as other business is conducted on a 6-day week, banks should do likewise.” Cafe owner: “A 5-day week would be lovely for these poor overworked bank people who come at 9 and work until 4—but not practical.” Photographer: “ It doesn’t seem to me that the average bank employe is overworked at the present hours. Working from 9:30 to 3:00 doesn’t seem to be a man-killing working day. They now are off on every imaginable holi day. WTthout counting them, we would imagine they have at least a dozen more holidays than any other business per year. What chance has the average factory worker to get into a bank at the present hours? Other business does 90 per cent of the check cashing as it is now. What is to be done with the money taken in by a firm doing a fairly large cash Iowa News business, that has to carry over cash from Friday noon until Monday noon, or nearly noon? To say nothing of the cash they must have on hand to cash checks should a payday fall on Fri day or Saturday.” Opened for Business October 15, 1934 Statement of the IOWA STATE BANK & TRUST COMPANY Iowa City, Iowa Need Depository W h o le s a le and r e ta il fo o d s advertising June HO, 1948 d e a le r : “ If our bank had an after hour de pository, all day Saturday closing would not be too great an inconven ience.” Life insurance agent: “I am in a town of about 7,000 people. Many people do their banking during the noon-hour, the only time available to them. I find my bank has only a skeleton force on at this time (they are mostly out for lunch, too) and so very slow service is the result—many customers and few tellers and clerks.” Retail clothier: “ I think all busi nesses are coming to a 5-day week, and I imagine the banks will have to start it. Lots of luck to you.” Newspaper 105 RESOURCES C a s h a n d D u e from B a n k s ...............................................$ 1 ,6 2 8 ,6 7 3 .9 1 U. S. B o n d s ................................................................................. 5 ,4 1 2 ,3 1 0 .0 0 O th er CASH B on ds and S e cu ritie s............................................ 1 2 5 ,1 6 7 .1 4 .$ 7 ,1 6 6 ,1 5 1 .0 5 . 3 ,5 4 8 ,0 0 6 .5 3 101 .3 8 5 0 .0 0 0 . 2 8 .0 0 0 . OR ITS EQUIVALENT Loans and O v e rd r a fts D isc o u n ts....... ............................... B a n k in g H o u s e .................... Furniture a n d F ixtu res.... $ 1 0 ,7 9 2 ,2 5 8 .9 6 LIABILITIES C a p ita l Stock .........................................................................................................................$ Su rplus a n d U n d iv id e d Profits ............................................................................. D ep o sits ................................................................................................................................... F e d era l Tax 1 5 0 ,0 0 0 .0 0 1 8 2 ,1 0 7 .1 7 1 0 ,4 6 0 ,1 1 2 .3 9 A c c o u n t......................................................................................................... 3 9 .4 0 $ 1 0 ,7 9 2 ,2 5 8 .9 6 salesman: T always like to put in my nickel’s worth on this subject of shorter hours for all businesses. I think the ten dency is a vicious one, a product of the New Deal theme of less work and more pay, which if allowed to con tinue will hamstring our economy. 00 00 O F F IC E R S B e n S. S u m m e r w il l . President W . W . S u m m e r w il l , V ice P resident M il o N o v y , Ass’t Cashier W . F. S c h m id t , V ice President B e h E. S u m m e r w il l , A ss’t Cashier M. B. G u t h r ie , V ice Pres. & Cashier O. D. B a r t h o l o w , Ass’t Cashier J a s . H. S c h m id t , Ass’ t Cashier M. E. T a y l o r , A uditor MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION “Businesses should be permitted to operate whenever they want to, even to the extent of one hour a day and a resulting failure. This is in the in terest of a free economy. Businesses should stagger their help and operate longer hours in the interest of serving their customers. The chains, always smarter than the independents, are trending this way in the retail field. Personally, I think we’ll really have prosperity when production, retail services and other business organiza tions learn to stagger their help and operate at hours when other people are oft' their jobs and can get around to do business with them.” Physician: “Not unless all busi nesses and professions including med ical so operate.” Optometrist: “Our people all live on farms and ranches with the result that they seldom get into town before 2 or 3 o’clock in the afternoon. This causes the business men of the town a great inconvenience because the banks are closed at the time of peak business. In my estimation the banks would do a greater service by staying open until 5:30 p. m. on Saturday and staying closed all day Wednesday or Thurs day. if necessary.” T here is n o satisfaction e q u a l to that of a jo b w ell d on e. A ll of our facilities and p erson n el are a lw a y s a v a ila b le in w h a te v e r c a p a c ity w e m a y b e c a lle d u p on to serv ice you r bu sin ess in C linton a n d Eastern Iow a. Y our inquiries, a n d you r requ ests for serv ice, are m ost w e l com e. W e k n ow w e c a n d o the jo b a s y o u w an t it d on e. FIFTH AVENUE SOUTH-2 2 6 - NATIONAL ¿ ù r v ù BANK r r t, ß c r tv n Half-Day O.K. Jeweler: “Our bank closed one-half day on Saturday. At first it incon venienced us, but now we make ar https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Deposit Insurance Corporation N orth w estern B anker, O cto ber, 1948 Iowa News 106 rangements for it, so it works out O.K.” Electrical business dealer: ‘ Many farmers in this vicinity come to town only on Saturday afternoon, and can’t get in the bank, so they go from place of business to place of business trying to cash large checks. Also, the small salaried man, paid Saturday, wants his check cashed and has to depend on the stores.” Doctor: “This is rather strange to receive this questionnaire after being out of the banking business for nearly 25 years. To help you out with this I have asked several men about the 5-day week, and after making con tacts have come to this conclusion: That the banks close in this city at noon on Saturdays, so they close onehalf day each week as it is. A lot of traveling men who leave early Mon- day and get back late Friday oppose the Saturday closing; also school teachers and a lot of out-of-town peo ple. “ I believe if the banks were not open on Saturday or a half-day so deposits could be made, that there would be too much money on hand by individuals and merchants and we would prob ably see more robberies and crime, if two days’ receipts were on hand. The fact is they close as it is on every holi day, so I believe with the average two weeks vacation that would mean 30 days off each year. It would be nice to be in the banking business again and get two days a week off.” Weekday Closing Pharmacist: “We are in a farming community and Saturday is our busi est day. Our bank closes at noon on GOOD W ILL BUILDERS "Farmer's Tax Saving Guide" By Byron Ver Ploeg, Iowa Attorney Now of Drake U. Law Faculty. Price $1.00 — Sent on free approval. IDEAL GIFTS FOR FARM PATRONS Farm Work Sheets —New, complete guides for the farmer in assembling his income tax figures. Two sides—not the usual one page skeleton work sheet. Samples on request. also o t h e r INCOME TAX SUPPLIES (Time-saver forms for offices preparing tax returns) No. No. No. No. 1 2 4 5 Farm Schedules. Farm Accrual Schedules. Rent Schedules. Business Schedules. Type your Federal & State schedules in one operation No. 6 Deductions (Donations Taxes, Medical, etc.) No. 7 Capital Gains and Losses No. 8 Depreciation Schedules. TAX SUPPLIES CO. 120V2 High Ave. W. OSKALOOSA. IOWA Ample space where the returns themselves are inadaquate fSend f o r sam ple s and q u a n ti ty p r i c e s ) Saturday and this causes a very heavy request for change and check cashing facilities by our patrons. “Our bank is so busy Saturday morning that it takes an hour and sometimes longer of standing in line before we can transact our business. I t does not help to get our change on Friday and put it in the depository over night, because we have to stand in the same line to get our depository bag back on Saturday morning. “ I would be in favor of our bank closing a whole day during the week and remaining open its regular week day hours (9 a. m. to 2 p. m.) on Sat urday, or if we could get our change ready on Friday and leave it in the depository, have some way so we could get our change from the de pository Saturday morning. “Our only complaint on the present setup is that of our customers. They can’t get a check cashed on Saturday because most of them work until noon and the banks are closed, or the farm er can’t leave home until it is too late for the bank. “ I still believe that in business, Fri day can be made to take the place of Saturday.” Automobile dealer: “ In my opinion all businesses should be allowed to operate five and one-half days if they desire. A 45-hour week would benefit everyone and increase production and lower living costs.” Clothing merchant: “Business and labor should be on a six-day week. Help short now. Let’s wait until we have idleness among the trades and laboring men.” Farmer: “We are farmers and find it difficult to get in during the day in busy seasons to conduct business. From our standpoint, it would be nice to have banks open one night a week, preferably Saturday evening in our town, since all stores are open then for business.” Bank Is Essential handsome • fast • different Cleaners: “We live in a small town of 2,500 that is on a 6-day a week basis, and an agricultural community and the bank is essential to businessmen and customers alike—farm equipment, automobile dealers, building materials, package liquor. In our opinion, our You can see... hear... even feel the difference Clary fea tures make in adding ma chine operation. You’ll be amazed at its spectacular operation. Call us today for a free demonstration. FACTORY-APPROVED SERVICE IN YOUR CITY C L .M R Speed-o-leclm $179*0 M a d d s • s u b tr a c ts • m u ltip lie s OFFICEMACHINESUPPLYCO. adding machine & 220 8th Street Des Moines N o r t h w e s t e r n Ban ke r, O c t o b e r , 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis banks should operate on the same schedule as the rest of Main Street, especially in rural areas.” Lawyer: “We are not ready for the 5-day week in country towns, but 5Y2 days should be satisfactory.” Lawyer: “My business would not be inconvenienced if the bank should change to a 5-day week. Our bank is open from 9 to 12 and 1 to 3, and this is satisfactory. “The reason I think the 6-day week Iowa News is advisable is that this is a farming community and the farmers generally arrange to come to town on Saturday. It would seem that the farmers need the hank open on Saturday.” Real estate and loan agent: “This country was not built up on a 5-day work week, and we do not believe it a good plan to promote idleness.” Physician: “ I named Thursday p. m. for the simple reason that most of the professional men nowadays are taking a half holiday weekly, and that is usu ally on Thursday afternoon. Have been trying to educate my patients that way for the last several years.” Produce and seed business operator: ployes to ask for any such change in hanking hours. I do not mind, in the least signing my name to this.” (This hank customer’s name is withheld since it is the policy of the N o rth w e s t e r n B a n k e r not to publish names in a survey such as this.) Depository Needed Physician: “ If there was an after hour depository then it might be okay to give them time off on Saturday afternoon, but here it all depends upon whose ox is being gored. If bank employes called for me on my off days, I would like to hear them roar.” Mercantile salesman: “ Saturday, 107 being the busiest day of the week, is not the day for hanks to close. Since hanks are open only five hours a day, there is no reason to operate only 5 days.” Manager clothing store: “Person ally, I think the fellows that work at the bank have enough time off. Nine to 3! Boy, what hours. A store is open from 8 or i) to (> and later. “Why should the fellows at the bank work only half the time the rest of us have to? Answer that one truthfully yourself, then ask yourself your own question. What answer do you get?” Drugstore operator: “ In a farm trade area, if the hank is closed part “ The produce business is an unpre dictable business, especially on Satur day, therefore it’d he hard for us if they closed on that day, it being the heaviest of all the six days we’re open. You’ll find Tuesday and Thursday are light days in most business around here.” Favor 5-Day Week Dentist: “Factory workers and unions use a 40 hour week. Why'not banks as well as professional people?” Dentist: “Personally I shall he very glad when every business and profes sion is on a 5-day week.” Chiropodist: “ Due to the rising cost of living 1 wouldn’t be in favor of re ducing salaries to coincide with a 5day week.” Dry cleaning plant owner: “The average small business man has little time to do the things which are now required of him, much less have to go to his bank during the 5-day week. Five-day a week employes would ask for time oft to go to the bank. It’s haul enough now to get 40 hours work for 40 hours pay. The American people are growing fat and lazy on a 40-hour week.” Physician and surgeon: “As far as S b cn eeb b in C e n t r a l N a t io n a l B a n k IN F. E. DAVENPORT & CO. C H IC A G O ROOSEVELT ROAD AT HALSTED STREET Member Federal Deposit Insurance Corporation our local banks are concerned I can see no justification for the 5-day week. All business houses operate six days, all professional men operate five and a half days, closing Saturday at 1 p. m. “Our community is a small city of approximately 7,000; conditions in the larger metropolitan centers might warrant the 5-day week, hut I per sonally doubt it. “ I would consider it an inconven ience and, at times, a hardship to find hanks closed all day Saturday, or any other day for that matter, aside from legal holidays. It would appear to me an unwarranted demand for bank emY O U R ST A TE B A N K ER S A S S O C IA T IO N O F F IC IA L S A F E , V A U L T A N D T IM ELO C K EXPERTS S P /ie c io / S fe fa tic e i ß a n f a n o ' • Member Federal R eserve System Your "SILENT'' Salesman The Printed M essage from your firm is your “ Silent" Salesman. M ake sure it makes the best impression on your client by using the best quality of paper. FOR THE BEST IN PAPER STOCK C o n s u l t this Firm NEW HOUSE PAPER COMPANY ‘“'Better Printing Papers'1 Minneapolis St. Paul Dubuque Des Moines OM AHA https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis N orthw estern Ban ke r, O c t o b e r , 1948 108 Iowa News Federal Home Loan Bank of Des Moines IIKS MOINES, IOWA STATEMENT OF CONDITION, SEPTEMBER 30. 1948 R E S O U R C E S Cash ................................................$ 6 3 6 ,2 0 1 .8 8 U. S. Government Obligations. . 1 5 ,3 4 8 ,0 3 7 .0 2 Advances to Members................... 3 3 ,9 3 1 ,4 0 3 .5 1 Consolidated Obligations— Discount and Expense........... 1 8 .8 0 6 .1 7 Accrued Interest Receivable. . . 5 3 ,8 0 8 .9 0 8,067.91 Other Resources ........................... Furniture and Equipm ent (Cost $ 1 0 ,6 4 0 .0 1 ) ............. 1.00 Deposits— Members ............. $ 3 ,8 2 4 ,1 1 6 .7 9 Deposits — Others ................... 6 ,0 0 0 .0 0 Accrued Interest Payable. . . . 1 8 0 ,1 9 9 .4 4 Accounts Payable 4 3 4 .3 0 'Consolidated Obligations Outstanding ........................... 2 9 ,0 0 0 ,0 0 0 .0 0 Capital Stock Subscriptions Paid In .................................. 1 5 ,2 1 2 ,0 0 0 .0 0 $ 4 9 ,9 9 6 ,3 2 6 .3 9 $ 4 9 ,9 9 6 ,3 2 6 .3 9 L I A B I L I T I E S A ND C A P I T A L Surplus: Reserves ..$ 1 ,6 1 2 ,7 8 1 ,2 1 Undivided Profits . . 1 6 0 ,7 9 4 .6 5 1 ,7 7 3 ,5 7 5 .8 6 'Participation in $ 4 1 6 ,5 0 0 ,0 0 0 Consolidated Federal Home Loan Bank Obligations issued by the Home Loan Bank Board and now outstanding, which are the joint and several obligations of the eleven Federal Home Loan Banks. Backed by years of experience, the "First Trust" has complete collection facilities for the prompt handling of all items in our vicinity. FIRST TRUST AND SAVINGS BANK Davenport, Iowa MEMBER FEDERAL DEPOSIT INSURANCE CORPORATION "B u ild Friendship and ) ou Build Your Business' h e T ho m as D. M u r p h y C o . Red Oak. Iowa The Birthplace of the Art Calendar Industry Indoor Billboards, Quality Art Calendars, Specialized Calen dars, Art Blotters, Business and Social Greetings, W ood and Mechanical Pencils, Leather and other timely Specialties. N o r t h w e s t e r n Banke r, O c t o b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Automobile dealer: “Having been a banker for a number of years I believe that opening at 9 a. m. and closing at 3 p. m. and Saturday at 9 a. m. and closing at noon is very satisfactory. However, I feel that closing ALL DAY Saturday would work a hardship on a farming community such as we have. The banks now close each week day except Saturday at 3 p. m. and, per sonally, I feel that they have a snap compared to what the bankers 15 years ago had to put up with.” Farmer: “The Bible says ‘six days shall thou labor and do all thy work.’ “ 1 say that he who works only five days is not entitled to any conven iences. You asked what day in the week would he the best for me to have my bank closed. I will answer by ask ing you which night would you prefer to have your eleetrie eurrent cut off?” Works Seven Days Farmer: “I work seven days a week, Send us your items for special service. T of or all day Saturday, it throws their burden on the retail outlets and forces them to carry a large amount of cash over the weekend. For all concerned, that is the bank customers, a Wednes day or Thursday closing would be better.” 1948 14 to 16 hours a day, the year around and only make a living. Why can’t the banks stay open a little longer, especially during harvest season. Our local hank is under the poorest condi tions of any business in the city in my opinion and that of others.” Hardware business owner: “As long as the stores stay open Saturdays I be lieve the hanks should be open at least half-days. It is very nice to be able to call up and find out about a check during store hours. Most stores make deposits every day and do not want to have too much cash on hand. Two days’ cash on hand would invite rob beries.” Laundry: “Ten a. m. is too late to open. A very small skeleton crew could be on duty at 9 a. m. This would enable customers to make their de posits earlier when they happen to be near the bank, thereby saving extra trips for deposits only.” Farm implement and auto dealer: “Questions 2 and 3. When times conic hack to normal and in order to meet wage and hour requirements we think all business will want to change to 5-day week operation.” Lawyer: “ If necessary cut Saturday afternoon off, hut we need daily bank ing.” Feed and grain dealer: “Our bank should stay open until 3 o’clock or possibly 4 to increase service.”—The End. 109 to the Sixty-S&xm uL CbirmaL Qimvsmiimv of IOWA BANKERS ASSOCIATION O ctober 2 5 - 2 7 , 1948 Y our m a n y ord ers for I. B. A. S tan d ard Form s are v e ry m uch a p p r e cia te d . W e stock the fo llo w in g form s for im m ediate sh ip m ent. Personal Loan Notes Real Estate Mortgages FORMS NOS. 42, 43. 44 FORMS NOS. 6 AND 29 Chattel Mortgage Chattel Mortgage FORM NO. 45 FORM NO. 29 (Short form covering automobiles and other collateral taken to secure personal loans) Extension of Chattel or Real Estate Mortgage FORM NO. 36 Collateral Note FORM NO. 12 Collateral Receipt and Agreement Satisfaction of Real Estate Mortgage by Corporation FORM NO. 39 FORM NO. 49 Conditional Sale Contracts Agreement to Subordinate Landlord's Lien FORMS NOS. 26 AND 60 FORM NO. 55 Extension of Time lor Payment Safe Deposit Box Lease and Receipt FORM NO. 7 FORM NO. 41 (Supplemental to Form No. 26) S a m p les a n d p rices sent p rom p tly on request W a l l a c e -H o m e s t e a d PRINTING 1912 Grand Avenue © BINDING • C om pany ENGRAVING DES MOINES 5, IOWA Printers of the NORTHWESTERN BANKER for More than Thirty-nine Years https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis — N o r t h w e s t e r n Banke r, O c t o b e r , 1948 HO Iowa News H anks Qtion .Barringer was fox hunting one P r o m o te Soit í'on sereanight in Kentucky on the farm of a banker. He had not been invited to use the place but simply went on it as he had done on various occasions previous to the night in question. There was a water well on the premises that had no cover or guard rail and that was somewhat hidden by weeds. Bar ringer’s fox hound fell into the well and was killed. He sued the hanker for the loss. Could he recover? No. In coming on the property as he did, Barringer became a licensee of the owner and such owner owed him no duty except to refrain from any willful act which might result in injury to him. Also, as a licensee, Barringer was required to deal with the property as he found it. Since the loss of the dog did not result from any willful act on the part of the banker, the fox hunter could not re cover from the banker for it. The Kentucky Appeals Court has so held in a recent decision. A SPECIAL FEA TU RE o f the recent Pilot Rock Plowing Match and farm renovation day at Cherokee, Iowa, was the above display showing interest o f bankers in the important subject of soil conservation. This excellent display has been forwarded to Des Moines by R. E. Tool, executive vice president o f the First National Bank in Le Mars, and it will be set up for inspection at the Iowa Bankers Convention at the Hotel Fort Des Moines later this month. L E G A L Q U E S T IO N S (Continued from page 28) either expressly or by implication. Since the corporate trustee was not given power in any way to encroach These are not the days to "flirt" around with price. Better s e t t l e down and marry quality. on the prinicpal of the estate to in crease the widow’s payments it cannot do so and will have to be governed accordingly. The Minnesota Supreme Court has so held in a recent decision. G reetin gs to DES MOINES N o r t h w e s t e r n Banke r, O c t o b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1948 If you Buy, Sell, Rent, Trade, Borrow or Lend on Real E s ta te .............. Be Sure to Use Ion a B an kers ZAISERS NEW "A P P R O V E D " * * * Des Moines Bank a n d T r u s t Co* R EA L E S T A T E FO R M S • THE LATEST UP-TO-THE-MINUTE REAL ESTATE CONVEYANCE FORMS • EVERY FORM APPROVED BY THE IOW A REAL ESTATE ASSOCIATION 310 Sixth Avenue Write for Our Catalog of “ Approved Forms” Today * Fa ithfully Yo u rs f o r 87 Y e a r s Frankel’s Q . Laney, a North Dakota banker, leased a farm owned by him in that State to Graham. The lease provided that all increase from the foundation stock should he divided equally be tween them and that the instrument was subject to forfeiture for any breach of its conditions. Graham sold two ewes born of the foundation stock without notice to Laney and without dividing the proceeds with him. Was this’ action on Graham’s part a suf ficient breach of the terms of the lease * * G. B. Jensen, President A . W . Crossan, Vice President H. F. Gall, Cashier OTHM SB RS E STATIONERS 4/4 Se/e/zr// oes m ow es Iowa News to support a forfeiture of the agree ment by Haney? Yes. The North Dakota Supreme Court has so held in a recent deci sion. In doing so the court stated that, where a farm lease provides that all increase from foundation stock is to he divided equally be tween the lessor and lessee and that the lease is subject to forfeiture for any breach of its conditions, a sale by the lessee of two ewes born of the foundation stock without notice to the lessor and without dividing the pro ceeds with him is a sufficient breach of the conditions of the lease to war rant a forfeiture. Yes. Under the statutes of South Dakota binding service on a defend ant who cannot be conveniently found may be made by leaving the summons “at his dwelling house in the presence of one or more members of his fam ily, over the age of fourteen years.” In a recent decision the Supreme Court of that state held that service in circumstances similar to those out lined in the question complied with the statute, citing a Nebraska Su- Bankers https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis FO R SA L E — One No. 13 Burroughs th ree-register bank postin g machine in No. 1 condition. Top roll feed. Call or write Rubio Savings Bank o f B righton, Brighton, Iowa. BANK ON fin d in g G ood F ood at th e HOTEL F O R T DES M O IN E S Coffee Shop v CO M PLETE M A ILIN G AND P RIN TIN G SER V IC E Iowa FOR S A L E — One practically new D ic taphone, com plete with transcriber, re corder, shaver, cylinder case and nine cylinders. W rite HCS, c /o N orthwestern Banker, 527 7th St., Des Moines, Iowa. A lw a y s J to preme Court decision and other au thorities as precedents for its holding. Y o u C an Q .Andrews, a South Dakota banker, was named defendant in a civil action on a promissory note which was filed in the Circuit Court of the county in which he resided. The sheriff, in at tempting to serve him with the sum mons, could not conveniently find him, and, in lieu of service on him person ally, served his son with the papers. The son, at the time, Avas over four teen years of age and Avas just inside the gate leading to the house where he and his parents lived. He was some twenty-five to forty feet from the house. Was such service valid and binding on Andrews? Welcome 111 ENVELOPES Geared to the Banking Business from the IDEA TO THE MAIL BAG Copy — Plans — Art — Mailing Lists Multigraphing — Mimeographing Plancgraphing — Photo-Offset Multi-Color — Letter Press Printing Addressing Typing Machine and Hand Folding BA N KERS FLAP VÂR5 - TyPER ...s e a ls quickly and stays sealed . Protect bulky mail in these strong shouldered, wi de seamed, deeply gummed envelopes. W rite for sam ples end prices. Composition and Stencil-Cutting S. P. WHITING FRANK ARMSTRONG CLIFF BUNKER 424 East Grand Tel. 4-0106 DES MOINES 9. IOV/A a__________________________________ r T e n sio n E n v elo pe Co r p . N ew Y o rk 14, N. Y. M in n e ap o lis 1, M inn. St. Louis 10, Mo. Oes M oines 14, Io w a K a n sa s C ity 8, Mo. N o r t h w e s t e r n Banke r, O c t o b e r , 1948 Iowa News 112 TALLMAN SHOP COIN COLLECTOR COLUMN BANKING FIXTURES and STORE FIXTURES PHONE 24 CLARION. IOWA LETTERS THAT WORK Multigraphing— Mimeographing Addressing— Mailing ■ U n d e Su m 's C h ief Coinuife ISif Volum e Is H u m ble Cent Many Bank and Investment Houses are our elients. Prompt service to out of town customers. ■ With Exception of 1815, They Have Been Turned Out Yearly Since 1793 W O R K L E T T E R SERVICE 724 Securities Hldg., Des Moines DES MOINES BUILDING-LOAN & SAVINGS ASSOCIATION HE lowly cent has the distinction of being the most regularly issued coin of the United States. With the single exception of 1815, it has been coined continuously since 1793. Other denominations have been dis continued for years at a time, but the cent has never lost its popularity. Among coin collectors the cent is held in high esteem and, judging by T Oldest in Des Moines 210 6th Ave. ELM ER E. M IL L E R Pres, and Sec. FOR YO U R Dial 4-7116 H U B E R T E. JAM ES Asst. Sec. E N JO YM E N T . . . Listen to the “ W O R LD OF M USIC” KR N T. 1.150 KC I to 1 :30 p.m. Sundays Rowan Company 527 Seventh St. Des Moines, Iowa Distributors of ABBOTT COIN COUNTER PRODUCTS • Savings Banks • PENCILS • Pass Books • Coin Bags the prices paid for certain rare dates, it is undoutedly the most expensive to collect. One of the finest collec tions was formed by the late Howard R. Newcomb of Los Angeles. Part of it was sold at public auction in New York City in 1945, and 487 varieties dated from 1793 to 1814, having a face value of exactly $4.87 sold for $21,704.50. For the benefit of the unitiated, col lectors classify cents in two divisions, namely large cents and small cents. The large cents, which are about the size of our 25 cent silver piece, were coined from 1793 to 1857, inclu sive, with the single exception as already stated of 1815. The coinage of small cents began in 1856 and continued regularly to date. Those issued in 1856 are known as flying eagle cents. Only a limited number were struck in that year and they are rare. The same type, dated 1857 and 1858, is still plentiful. The 1859 Indian head cent was in troduced and continued until 1909. It was replaced by the finely engraved portrait of Lincoln, which has been issued continuously since then, and which in all probability will remain as the regular design for many years to come.-—By Stuart Mosher, editor of The Numismatist. Trust C onference Plans for the program of the 17th Mid-Continent Trust Conference of the Trust Division of the American Bank ers Association, which will be held in Chicago, Illinois, November lth-5th, are about completed, according to R. IOWA •LITHOGRAPHING •COMPANY FOUNDED BY GEORGE H RAGSDALE • ■ EDWIN G. RAGSDALE • SECRETARY 515 TWENTY EIGHTH STREET DES • M O IN E S Q U A L I T Y - E X P E R I E N C E N o r t h w e s t e r n Banke r, O c t o b e r , https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis 1948 • S E R V I C E Iowa News M. Alton, president of the division and vice president in charge of the trust department of the United States Na tional Bank, Portland, Oregon. The conference, which will meet in the Drake Hotel, will bring together representatives of banking institutions in Arkansas, Colorado, Illinois, Indi ana, Iowa, Kentucky, Kansas, Louisi ana, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio. Okla homa, South Dakota, Tennessee, Texas and Wisconsin. Again this year the Corporate Fidu ciaries Association of Chicago will be host to the conference. Michael A. Georgen, assistant vice president of the City National Bank and Trust Company of Chicago, is chairman of the committee on arrangements, and Kenneth W. Moore, vice president. Chicago Title and Trust Company, is vice chairman. Other members of the committee are Edward A. Berndt, Jr., assistant trust officer of the American National Bank and Trust Company of Chicago; J. Mills Easton, second vice president and advertising manager of The Northern Trust Company; Joseph T. Keckeisen, assistant vice president and secretary of the Trust Depart ment, The First National Bank of Chicago; Peter J. Laninga. assistant secretary of the Trust Department, Continental Illinois National Bank and Trust Company of Chicago, and Walt er E. Toon, assistant trust officer, City National Bank and Trust Company of Chicago. J IN D E X OF K R . J . F L Y N N , P R E S. https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis M OINES D . L . D U N G A N , SECY. 68 K a lm a n a n d C o m p a n y . . . K o c h B r o t h e r s .................... A D V E R T IS E R S 111 JL OCTOBER, 1948 A A lle n , H a r o ld L., I n v e s t m e n t C o m p a n y . . A llie d M u tu a l C a s u a lt y C o m p a n y . . . . . . . A m e r ic a n L it h o g r a p h in g an d P r in t in g C o m p a n y ........................................................ A m e r ic a n N a t io n a l B a n k an d T ru st C o m p a n y .......................................................... A s h w e ll an d C o m p a n y .................................... 48 61 90 38 47 it B a lla r d -H a s s e t t C o m p a n y . . ....................... 43 B a n k e r s R u b b e r S ta m p ................................. 113 B a n k e r s S e r v ic e C om p a n y , I n c ................... 32 B a n k e r s T ru s t C o m p a n y — D es M o i n e s . . 115 B a n k s, W illia m H., W a r e h o u s e s , I n c .. . . 12 B e c k e r an d C o w n ie, I n c ................................ 51 B e ck e r, A . G., an d C om p a n y , I n c ............... 42 B eh, C a r le to n D., C o m p a n y .......................... 49 B e y e r -R u e ffe l & C o m p a n y ............................ 47 B la ir, W illia m , an d C o m p a n y ...................... 46 B u r r o u g h s A d d in g M a ch in e C o m p a n y . . 37 B y lle s b y an d C o m p a n y ................................... 49 La M on te, G e o r g e an d S o n ............................. 4 L a m so n B r o th e r s a n d C o m p a n y ................ 44 Le F e b u r e C o r p o r a t io n .................................... 91 L e s s in g A d v e r t is in g C o m p a n y ..................... 113 L iv e S to c k N a t io n a l B a n k — C h ic a g o . . . . 85 L iv e S to c k N a tio n a l B a n k — O m a h a . . . . . 82 L ive S to c k N a tio n a l B a n k — S io u x C it y . . 70 >1 M a n u fa c tu r e r s T ru s t C o m p a n y .................. M a rq u ette N a tio n a l B a n k ............................. 89 M a x w e ll, C h a rle s M.— C o n n e c t ic u t G e n 54 e r a l L i f e ....................................................... M cC o r m ick , F r a n k L.— E q u ita b le L ife o f I o w a ............................................................ 60 M e rc h a n ts M u tu a l B o n d in g C o m p a n y . . . 58 M e rc h a n ts N a tio n a l B a n k ............................. 2-3 M id la n d N a tio n a l B a n k ................................. 86 M ill O w n e rs M u tu a l F ir e In s u r a n c e C o m p a n y .......................................................... 57 M in n e a p o lis M o lin e P o w e r Im p le m e n t C o m p a n y .......................................................... 69 M in n e s o ta C o m m e r c ia l M e n ’s A s s n ........... 66 M iss is s ip p i V a lle y T ru s t C o m p a n y ........... 34 M o d e rn F ix t u r e C o m p a n y ............................. 80 M o rr e ll, Joh n, a n d C o m p a n y ......................... 104 M o rr is P la n C o m p a n y ........... .......................... 111 M u rp h y , T h e T h o m a s D., C o m p a n y . . . . 108 C N C a p ita l C ity S ta te B a n k .................................. 98 C a rn a h a n , T. D., M in n e s o ta M u tu a l L if e . 61 C e n tr a l N a tio n a l B a n k in C h i c a g o ........... 107 C e n tr a l N a tio n a l B a n k an d T r u s t C o m p a n y ........................................................... 7 -8 -9 -1 0 C e n tr a l N a tio n a l I n s u r a n c e C o m p a n y . . . 62 C h a se N a tio n a l B a n k ...................................... 31 C h e lse a H o t e l ...................................................... 72 C h ic a g o , M ilw a u k e e , St. P a u l an d P a c ific R a ilr o a d C o m p a n y ...................................... 63 C ity N a tio n a l B a n k — C lin t o n ..................... 105 C ity N a t io n a l B a n k a n d T ru s t C o m p a n y — C h ic a g o ........................................................ 32 C o n tin e n ta l N a tio n a l B a n k — L in c o ln . . . . 81 C o r m a c k , K im b a ll J. M.— N o r th w e s te r n M u tu a l L i f e ...................................................... 62 C ra b b e , T h o m a s L., C o m p a n y ...................... 48 C r e d it B u r e a u R e p o r t s , I n c .......................... 80 C u m m in s B u s in e s s M a c h in e s C o r p ...............103 N a tio n a l B a n k o f W a t e r l o o ......................... 99 N a tio n a l C ash R e g is te r C o m p a n y ................. 11 N a tio n a l F ir e G r o u p — W . K . H a n k in s o n . 56 N e b r a s k a S a les B o o k C o m p a n y .................. 79 N e w h o u s e P a p e r C o m p a n y . .......................... 107 N iem a n n , W . K .— B a n k e r s L ife C o ........... 56 I) D a v e n p o r t B a n k a n d T r u s t C o m p a n y . . . 88 D a v e n p o r t, F. E., a n d C o m p a n y ........... 81-107 D ay, N e w e ll C., E q u ita b le L ife o f I o w a . . 61 De L u x e C h e c k P r in te r s , I n c ........................ 5i D es M o in e s B a n k an d T ru s t C o m p a n y . .110 D es M o in e s B u ild in g , L o a n an d S a v in g s A s s o c i a t i o n .......................................................112 D ie b o ld , I n c ........................................................... 80 D ir e c t A d v e r t i s i n g ............................................I l l D r o v e r s N a tio n a l B a n k ...................................100 K DES 112 J o se p h J e w e lr y C o m p a n y E llis, L. E.* a n d C o m p a n y ........................... 61 E m p lo y e r s M u tu a l C a s u a lty C o m p a n y . . 54 E n y a rt, J. C ............................................................ 51 L es s in g A dvertising Co. 113 F F a u lk n e r , W . H .— C ru m & F o r s t e r ......... 59 F e d e r a l H o m e L o a n B a n k — D es M o in e s . 108 F irst N a tio n a l B a n k — C h i c a g o .................... 6 F ir s t N a tio n a l B a n k — M in n e a p o lis ......... 64 F ir s t N a tio n a l B a n k — O m a h a .................... 76 F irs t N a tio n a l B a n k — St. L o u i s .................. 36 F ir s t N a tio n a l B a n k — St. P a u l .................... 67 F ir s t N a t io n a l B a n k — S io u x C it y .............. 84 F irs t St. J o se p h S to c k Y a r d s B a n k ......... 81 F ir s t T r u s t a n d S a v in g s B a n k — D a v e n p o r t ...................................................................... 108 F ir s t W is c o n s in N a tio n a l B a n k .................. 39 F ish e r , S h e r r y R .— C o n n e c t ic u t M u tu a l L ife ..................................................................... 62 F o r t D es M o in es H o t e l ..................................... I l l F r a n k e l C lo th in g C o m p a n y ..........................110 O O ffice M a ch in e S u p p ly C o m p a n y ...............106 O m aha N a tio n a l B a n k ...................................... 27 O tto, P a u l C.— C o n n e c t ic u t M u tu a l L if e . 63 1* P io n e e r H i-B r e d C o r n C o m p a n y ................. 102 P o lic y h o ld e r s N a tio n a l L ife In s u r a n c e C o m p a n y ............................................................ 55 P o o le , C u rtis W .— E q u ita b le o f N ew Y o r k ..................................................................... 58 P r ie s t e r a n d C o m p a n y ........... .......................... 44 P u b lic N a tio n a l B a n k an d T r u s t C o........ 72 <1 Q u a il a n d C o m p a n y . . . K R a v e n s c r o ft an d C o m p a n y ........................... 50 R o llin s , E. H., an d S o n s .................................. 43 R o llin s , R ic h a r d R ., I n c ................................. 47 R o w a n C o m p a n y ................................................ H 2 S St. P a u l M e r c u r v I n d e m n ity C o m p a n y . . 59 St. P a u l T e r m in a l W a r e h o u s e C o m p a n y 33 S c a r b o r o u g h an d C o m p a n y .................53-75-84 S e cu rity N a tio n a l B a n k ...................................101 Shaw, M c D e r m o tt an d C o m p a n y ........... .. . 44 S p arks an d C o m p a n y ................................... 48 State F a r m I n s u r a n c e C o m p a n y ............... 60 S tifel, N ic o la u s a n d C om p a n y , I n c ........... 40 S tock Y a r d s N a tio n a l B a n k — O m a h a . . . . 77 T T allm a n W o o d an d E le c t r ic S h o p ...............112 Tax S u p p lie s C o m p a n y .....................................106 T en sion E n v e lo p e C o r p o r a t io n ................... I l l C o o tie -L a cy N a tio n a l B a n k ....................... 78-79 U U nion B a n k an d T ru s t C o m p a n y ............. U nited S ta tes N a tio n a l B a n k ...................... 92 74 V M H a m m e r m ill P a p e r C o m p a n y ................. 29 H a r r is T r u s t a n d S a v in g s B a n k ........... 30 H a r t fo r d F ir e I n s u r a n c e C o m p a n y ...... 57 H a w k e y e C a s u a lty C o m p a n y ................. 52 H e n d e r s o n , T. C., an d C o m p a n y , I n c ........ 50 H o llin b e c k S ta m p an d C oin C o m p a n y . . .112 H om e I n s u r a n c e C o m p a n y ........................ 5 H o m e I n s u r a n c e C o m p a n y — E. H. D a v is 56 H o n o r R o ll B a n k s o f I o w a ..................96-97 H o p k in s I n s u r a n c e A g e n c y ...................... 56 I I n t e r -S ta te A s s u r a n c e C o m p a n y ................ 58 I n v e s t o r s S y n d i c a t e ........................................ 50 I o w a -D e s M o in e s N a tio n a l B a n k ......... .. . .116 I o w a L it h o g r a p h in g C o m p a n y ..................... 112 I o w a S ta te B a n k an d T r u s t C o m p a n y . . .105 V ie th , D u n ca n a n d W o o d ............................... V a lle y B a n k an d T r u s t C o m p a n y ............. 46 87 \v W a lla c e -H o m e s t e a d C o m p a n y ................... 109 W a lte r s , C h a rle s E., C o m p a n y .................. 80 W a t e r lo o S a v in g s B a n k .................................. 93 W e b s t e r L ife I n s u r a n c e C o m p a n y ........... 59 W e s te r n M u tu a l F ir e I n s u r a n c e C o ......... 58 W h e e lo c k an d C u m m in s ......... ...................... 49 W h it e - P h illip s C om p a n y , I n c ...................... 40 W illis an d M o o r e ............................................... 62 W it m e r -K a u ffm a n -E v a n s C o m p a n y . . . . 60 W o r k L e tt e r S e r v ic e ..........................................112 Z 1 10 k a isers N orthw estern Banker, O c t o b e r , 1948 114 Salesm anship Vacation R eading C o n te n tm en t A customer came to a cigar store counter and said: “Gimme a package of Paul Mauls.” “Paul Mauls? Yes, sir,” said the clerk. A few moments later, another man stepped up and said: “ I want a pack of Pal Mals.” The clerk said: “ Pal Mals? Yes, sir.” Then a third came in and ordered “ Pell Mells.” The clerk replied, “Pell Mells? Yes, sir.” A bystander said to the cigar clerk: “ Say, how do you pronounce the name of those cigarettes?” Said the salesman, “Just like the customer does.” A certain slippery individual hap pened to mention that he was sick of all these people going around preach ing the value of character. “Why do you belittle character?” a friend asked. “Well,” was the reply, “ I went down to my banker yesterday and asked for a loan on the strength of my char acter.” “And did you get it?” asked the other. “ No, he refused it on the strength of his.” Sam e D ifferen ce Lady (to tramp): If I thought you were honest, I’d let you go to the chicken house and gather eggs. Tramp: Lady, I wuz manager of a bath house for 15 years and never took a bath. A Quaker put up a sign on a vacant piece of ground next to his house: “ 1 will give this lot to anyone who is really satisfied.” A wealthy farmer, as he rode by, read it. Stopping, he said: “ Since my Quaker friend is going to give that piece away, I may as well have it as anyone else. I am rich. I have all I need, so I am able to qualify.” He went up to the door and explained why he had come. “And is thee really satisfied?” asked the Quaker. “ I have all I need and am well satis fied.” “Friend,” said the other, “if thee is satisfied, what does thee want with my lot?” R elia ble “ 1 don’t intend to he married until Pm thirty.” “ I don’t intend to he thirty until I’m married.” Careless First Ghost: How did you get that black eye? Second Same: I w a s slipping through a keyhole when somebody put the key in. M a y b e L y o n s C lu b “Why are you wearing that tooth brush in your lapel?” “That’s my class pin. I just gradu ated from Colgate.” R eal Insurance F a vorite D ream “ My wife tells me that almost every night she dreams she’s married to a millionaire.” “You’re lucky. Mine thinks that in the daytime.” T ru stw o rth y C O N V E N T IO N S October 25-27, Annual Convention Iowa Bankers Association, Des Moines, Hotel Fort Des Moines. Bride: What’s the best way to pro tect my wedding ring? Mother: Dip it in dish water three times a day. October 25-27, Annual Meeting, Rob ert Morris Associates, St. Louis, Statler Hotel. N ow H e K n ow s November 4-5, A .B .A . Mid-Continent Trust Conference, Chicago. Coroner: And what were your hus band’s last words, ma’am? Widow: He said: “ I don’t see how they make any profit on this stuff at a dollar and a quarter a fifth.” T ru e D efinition Professor in Higher Mathematics: Give an example of an imaginary spheroid. Student: A rooster’s egg. N o r t h w e s t e r n Banke r, O c t o b e r , 1948 https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis C u t-u p The Shakespearean actor had seen no bathroom on the way up to his room, and in the latter he looked in vain for a washbasin. “ Pardon me,” he said to the land lady, “but where can I perform my ablutions?” “Don’t start performin’ nothin’ here!” spanned the landlady. “We put up with quite enough from the troupe of acrobats we had last week.” November 10-11, Nebraska Bankers Association, Annual Convention, Omaha, Hotel Fontenelle. November 29-December 2, Financial Public Relations Association, A n nual Convention, H o l l y w o o d , Florida, Hollywood Beacb Hotel. December 6 10 , Annual Meeting, In vestment Bankers Association of America, H o l l y w o o d , Florida, Hollywood Beach Hotel. A small business man and his part ner closed their office at noon one Sat urday and went to the movies. When they were seated, one of them nudged the other and gasped, “Gosh. .Joe, we forgot to close the safe!” “What’s the difference?” answered the other. “We’re both here, ain’t we?” H u rry During the day Mrs. Brown dis charged her old maid and hired a new one. who answered the doorbell when Mr. Brown arrived home in the eve ning. Lie carried a bunch of roses which he handed to the maid, saying: “ Present these to Mrs. Brown, telling her I want to see her at once.” New Maid: “ All right, but you bet ter make it snappy, because she ex pects the old man any minute now.” https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis At Convention time, or at any time, we always welcome visits from other Iowa bankers. The opportunity of exchanging experiences and ideas on current prob lems, we believe, can always be mutually advantageous. ☆ M em b er F ed era l D ep o sit In s u r a n c e C o rp o ra tio n M em b er F ed eral R eserv e S y stem (Ü s d ü D M S L J h D U R IN G T H E I O W A B A N K E R S A S S O C I A T I O N C O N V E N T IO N W e ex ten d a co rd ia l w e lc o m e to a ll Io w a b a n k ers a tten d in g the a n n u a l c o n v e n tio n of the Io w a B ankers A ssocia tion in D es M oin es O cto b e r 24th th rou gh O cto b e r 27th. W e invite y o u to visit our Bank, m eet our officers a n d in sp ect our m od ern facilities. P lea se m ak e this Bank y ou r s e rv ice h e a d q u a r ters a n d fe e l free to c a ll o n us for a n y a ssista n ce that w ill h e lp y o u to e n jo y y o u rse lf m ore w h ile in D es M oines. A Strong, D ependable C orresp o nd ent Connection I0WA-DES MOINES NATIONAL BANK https://fraser.stlouisfed.org Federal Reserve Bank of St. Louis Member Federal Deposit Insurance Corporation
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